Anama Va Citibank

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G.R. No.

192048

DOUGLAS F. ANAMA, Petitioner,
vs.
CITIBANK, N.A. (formerly First National City Bank), Respondent.

DECISION

JARDELEZA, J.:

This is a petition for review on certiorari1 under Rule 45 of the Revised Rules of


Court seeking to reverse and set aside the Decision2 dated November 19, 2009
(assailed Decision) and the Resolution3 dated April 20, 2010 (assailed Resolution)
of the Court of Appeals (CA) in CA-G.R. SP No. 1077 48, denying petitioner's
action for revival of judgment.

In consideration for a loan obtained from respondent First National City Bank of
New York (now Citibank, N.A.) (Citibank), on November 10, 1972, petitioner
Douglas F. Anama (Anama) executed a promissory note in the amount of
₱418,000.00 in favor of Citibank.4 To secure payment of the obligation, Anama
also executed in favor of Citibank a chattel mortgage over various industrial
machineries and equipment located on his property at No. 1302, E. de los Santos
Avenue, Quezon City.5 For Anama's failure to pay the monthly installments due on
the promissory note starting January 1974, Citibank filed a complaint for sum of
money and replevin6 dated November 13, 1974 (docketed as Civil Case No. 95991)
with the Court of First Instance of Manila (now Regional Trial Court), Branch 11.
Anama filed his answer with counterclaim7 and his amended answer with
counterclaim,8 alleging, among others, that his failure to pay the monthly
installments was due to the fault of Citibank as it refused to receive the checks he
issued, and that the chattel mortgage was defective and void.9

On December 2, 1974, the Regional Trial Court (RTC), upon proof of default of
Anama in the payment of his loan, issued an Order of Replevin over the
machineries and equipment covered by the chattel mortgage.10

On January 29, 1977, Citibank, alleging that the properties subject of the Order of
Replevin which were taken by the Sheriff under his custody were not delivered to
it, filed a motion for [issuance of] alias writ of seizure.11 Citibank prayed that an
alias writ of seizure be issued directing the Sheriff to seize the properties and to
dispose them in accordance with Section 6, Rule 60 of the Revised Rules of Court.
The RTC granted the motion through its Resolution12 dated February 28, 1977.
The Ex-Officio Sheriff of Quezon City issued three receipts for the seized
properties on March 1 7, 18, and 19, 1977.13 Anama filed a motion for
reconsideration but this was denied by the RTC in a Resolution14 dated March 18,
1977.
Anama then filed a petition for certiorari and prohibition with writ of preliminary
injunction with the CA on March 21, 1977 (docketed as CAG. R. SP No. 06499)
on the ground that the above resolutions of the trial court were issued in excess of
jurisdiction and with grave abuse of discretion because of the lack of evidence
proving Citibank's right to possession over the properties subject of the chattel
mortgage.15

On July 30, 1982, the CA rendered a Decision16 (July 30, 1982 Decision) granting
Anama's petition for certiorari and prohibition and nullifying the RTC's orders of
seizure, to wit:

WHEREFORE, the petition is granted. The questioned resolutions issued by the


respondent judge in Civil Case No. 95991, dated February 28, 1977, and March 18,
1977, together with the writs and processes emanating or deriving therefrom, are
hereby declared null and void ab initio.

The respondent ex-of[f]icio sheriff of Quezon City and the respondent First
National City Bank are hereby ordered to return all the machineries and
equipments with their accessories seized, dismantled and hauled, to their original
and respective places and positions in the shop flooring of the petitioner's premises
where these articles were, before they were dismantled, seized and hauled at their
own expense. The said respondents are further ordered to cause the repair of the
concrete foundations destroyed by them including the repair of the electrical wiring
and facilities affected during the seizure, dismantling and hauling.

The writ of preliminary injunction heretofore in effect is hereby made permanent.


Costs against the private respondents.

SO ORDERED.17

On August 25, 1982, Citibank filed its petition for review on certiorari with this
Court (docketed as G.R. No. 61508) assailing the July 30, 1982 Decision of the
CA.18 On March 17, 1999, we promulgated a Decision19 dismissing Citibank's
petition for lack of merit and affirming the July 30, 1982 Decision of the CA. An
Entry of Judgment20 was subsequently issued on April 12, 1999.

Meanwhile, on November 19, 1981, during the pendency of CA-G.R. SP No.


06499 in the CA, the fourth floor of the Manila City Hall, where Branch 11 of the
R TC of Manila and its records, including the records of Civil Case No. 95991
were located, was destroyed by fire.21

On February 10, 1982, Anama filed a petition for reconstruction of record22 in the
RTC, which the latter granted in an Order23 dated May 3, 1982. On December 2,
1982, considering that G.R. No. 61508 was already pending before this Court, the
R TC issued an Order24 directing that all pending incidents in Civil Case No. 95991
be suspended until G.R. No. 61508 has been resolved.

On March 12, 2009, Anama filed a petition for revival of judgment with the CA
(docketed as CA-G.R. SP No. 107748).25 Anama sought to revive the CA's July 30,
1982 Decision in CA-G.R. SP No. 06499 and argued that Citibank's failure to file
an action for the reconstitution of the records in the RTC in Civil Case No. 95991
constituted abandonment of its cause of action and complaint against Anama.26 In
addition to the revival of the CA's July 30, 1982 Decision in CA-G.R. SP No.
06499, Anama sought to remand the case to the RTC for further proceedings in
Civil Case No. 95991, particularly his counterclaims against Citibank.27

In its comment, Citibank argued that the petition should be dismissed as an action
for revival of judgment is within the exclusive original jurisdiction of the RTC. It
also argued that laches has set in against Anama for having slept on his rights for
almost 10 years. Lastly, Citibank claimed that it did not abandon its money claim
against Anama when it did not initiate the reconstitution proceedings in the RTC.28

On November 19, 2009, the CA denied the petition for lack of jurisdiction.
Pertinent portions of the assailed Decision reads:

[W]e find that respondent bank correctly question (sic) this Court's jurisdiction to


entertain the instant petition to revive the July 30, 1982 decision in CA-G.R. SP
No. 06499. While concededly filed within 10 years from the April 12, 1999 entry
of the decision rendered in G.R. No. 61508, the petition should have been filed
with the appropriate Regional Trial Court which has exclusive original jurisdiction
over all civil actions in which the subject of the litigation is incapable of pecuniary
estimation and/or all cases not within the exclusive jurisdiction of any court,
tribunal, person or body exercising judicial or quasijudicial functions. x x x29

Anama filed his motion for reconsideration which the CA denied through its
assailed Resolution30 dated April 20, 2010.

On June 10, 2010, Anama filed this petition31 and argued that his petition for
revival of judgment should be filed in the court that issued the judgment sought to
be revived, the CA in this case.32

In its comment,33 Citibank agrees with the CA that jurisdiction over actions for
revival of judgments is with the R TC.34 Citibank also argues that Anama's petition
to revive judgment is already barred by laches and that it did not waive or abandon
its claim against Anama in Civil Case No. 95991.35

On December 30, 2010, Anama filed his reply.36


On August 25, 2016, Anama filed a manifestation37 reiterating the arguments on
his petition. On February 17, 2017, Citibank filed its comment38 stressing that the
CA did not err in dismissing the petition to revive judgment on the ground of lack
of jurisdiction. On March 16, 2017, Anama filed his reply.39

We deny the petition.

An action to revive a judgment is an action whose exclusive purpose is to enforce a


judgment which could no longer be enforced by mere motion.40 Section 6, Rule 39
of the Revised Rules of Court provides:

Sec. 6. Execution by motion or by independent action. - A final and executory


judgment or order may be executed on motion within five (5) years from the date
of its entry. After the lapse of such time, and before it is barred by the statute of
limitations, a judgment may be enforced by action. The revived judgment may also
be enforced by motion within five (5) years from the date of its entry and thereafter
by action before it is barred by the statute of limitations.

Section 6 is clear. Once a judgment becomes final and executory, the prevailing
party can have it executed as a matter of right by mere motion within five years
from the date of entry of judgment. If the prevailing party fails to have the decision
enforced by a motion after the lapse of five years, the said judgment is reduced to a
right of action which must be enforced by the institution of a complaint in a regular
court within 10 years from the time the judgment becomes final.41

Further, a revival suit is a new action, having for its cause of action the judgment
sought to be revived.42 It is different and distinct from the original judgment sought
to be revived or enforced.43 It is a new and independent action, wherein the cause
of action is the decision itself and not the merits of the action upon which the
judgment sought to be enforced is rendered. Revival of judgment is premised on
the assumption that the decision to be revived, either by motion or by independent
action, is already final and executory.44

As an action for revival of judgment is a new action with a new cause of action, the
rules on instituting and commencing actions apply, including the rules on
jurisdiction. Its jurisdictional requirements are not dependent on the previous
action and the petition does not necessarily have to be filed in the same court
which rendered judgment.45

Jurisdiction is defined as the power and authority of the courts to hear, try and
decide cases. What determines the jurisdiction of the court is the nature of the
action pleaded as appearing from the allegations in the complaint. The averments
and the character of the relief sought are the ones to be consulted.46
The principle is that jurisdiction over the subject matter of a case is conferred by
law and determined by the allegations in the complaint which comprise a concise
statement of the ultimate facts constituting the plaintiffs cause of action. The nature
of an action, as well as which court or body has jurisdiction over it, is determined
based on the allegations contained in the complaint of the plaintiff, irrespective of
whether or not the plaintiff is entitled to recover upon all or some of the claims
asserted.47 Jurisdiction being a matter of substantive law, the established rule is that
the statute in force at the time of the commencement of the action determines the
jurisdiction of the court.48

Batas Pambansa Bilang 129 (BP 129), otherwise known as the Judiciary


Reorganization Act of 1980 and its amendments, is the law which confers
jurisdiction to the courts. Section 19 of BP 129, as amended by Republic Act No.
7691,49 provides:

Sec. 19. Jurisdiction in civil cases. - Regional Trial Courts shall exercise exclusive
original jurisdiction:

(1) In all civil actions in which the subject of the litigation is incapable of
pecuniary estimation;

In determining the jurisdiction of an action whose subject is incapable of pecuniary


estimation, the nature of the principal action or remedy sought must first be
ascertained. If it is primarily for the recovery of a sum of money, the claim is
considered capable of pecuniary estimation and the jurisdiction of the court
depends on the amount of the claim. But, where the primary issue is something
other than the right to recover a sum of money, where the money claim is purely
incidental to, or a consequence of, the principal relief sought, such are actions
whose subjects are incapable of pecuniary estimation, hence cognizable by the
RTCs.50

As an action to revive judgment raises issues of whether the petitioner has a right
to have the final and executory judgment revived and to have that judgment
enforced and does not involve recovery of a sum of money, we rule that
jurisdiction over a petition to revive judgment is properly with the R TCs. Thus,
the CA is correct in holding that it does not have jurisdiction to hear and decide
Anama's action for revival of judgment.

A reading of the CA's jurisdiction also highlights the conclusion that an action for
revival of judgment is outside the scope of jurisdiction of the CA. Section 9 of BP
129 provides:

Sec. 9. Jurisdiction. -The Court of Appeals shall exercise:


1. Original jurisdiction to issue writs of mandamus, prohibition, certiorari, habeas
corpus, and quo warranto, and auxiliary writs or processes, whether or not in aid of
its appellate jurisdiction;

2. Exclusive original jurisdiction over actions for annulment of judgments of


Regional Trial Courts; and

3. Exclusive appellate jurisdiction over all final judgments, resolutions, orders or


awards of Regional Trial Courts and quasi-judicial agencies, instrumentalities,
boards or commission, including the Securities and Exchange Commission, the
Social Security Commission, the Employees Compensation Commission and the
Civil Service Commission, except those falling within the appellate jurisdiction of
the Supreme Court in accordance with the Constitution, the Labor Code of the
Philippines under Presidential Decree No. 442, as amended, the provisions of this
Act, and of subparagraph (1) of the third paragraph and subparagraph 4 of the
fourth paragraph of Section 17 of the Judiciary Act of 1948.

The CA also has concurrent original jurisdiction over petitions for issuance of writ
of amparo,51 writ of habeas data,52 and writ of kalikasan. 53

Not being one of the enumerated cases above, it is clear that the CA is without
jurisdiction to hear and decide an action for revival of judgment.

Anama's reliance on Aldeguer v. Gemelo54 to justify his filing with the CA is


misplaced.1avvphi1 The issue in Aldeguer is not jurisdiction but venue. The issue
was which between the RTC of Iloilo and RTC of Negros Occidental was the
proper court to hear the action.

However, venue and jurisdiction are entirely distinct matters. Jurisdiction may not
be conferred by consent or waiver upon a court which otherwise would have no
jurisdiction over the subject matter of an action; but the venue of an action as fixed
by statute may be changed by the consent of the parties and an objection that the
plaintiff brought his suit in the wrong county may be waived by the failure of the
defendant to make a timely objection. In either case, the court may render a valid
judgment. Rules as to jurisdiction can never be left to the consent or agreement of
the parties, whether or not a prohibition exists against their alteration.55 Venue is
procedural, not jurisdictional, and hence may be waived.56

As we have already ruled on jurisdiction, there is no more reason to discuss


whether laches has set in against Anama.

Considering, however, that the proceedings in Civil Case No. 95991 have been
suspended and remains pending since 1982, we deem it necessary to lift the order
of suspension and instruct the trial court to hear and try the case with deliberate
dispatch.

WHEREFORE, the petition is DENIED. The Decision dated November 19, 2009
and Resolution dated April 20, 2010 of the Court of Appeals in CA-G.R. SP No.
107748 are AFFIRMED.

We direct the trial court to proceed with the hearing and disposition in Civil Case
No. 95991 with all deliberate dispatch.

SO ORDERED.

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