Sunday, April 30, 2023

Prescription: threat, intimidation vs. fraud.

 "On whether the complaint for reconveyance should be dismissed


We agree with the RTC’s and the CA’s rulings that petitioner’s argument on the failure of the complaint to state a cause of action is unavailing. When the ground for dismissal is that the complaint states no cause of action, such fact can be determined only from the facts alleged in the complaint and from no other, and the court cannot consider other matters aliunde.33 The test, therefore, is whether, assuming the allegations of fact in the complaint to be true, a valid judgment could be rendered in accordance with the prayer stated therein. Where the allegations are sufficient but the veracity of the facts is assailed, the motion to dismiss should be denied.34


In their complaint for reconveyance, respondents alleged that the transfer of the three parcels of land from TCAIC to ICCI was facilitated through threat, duress and intimidation employed by certain individuals. On its face, the complaint clearly states a cause of action and raises issues of fact that can be properly settled only after a full-blown trial. On this ground, petitioner’s motion to dismiss must, perforce, be denied.


We do not, however, subscribe to the RTC’s ruling that the action has already prescribed.


It is true that an action for reconveyance of real property resulting from fraud may be barred by the statute of limitations, which requires that the action shall be filed within four (4) years from the discovery of the fraud.35 The RTC, however, seemed to have overlooked the fact that the basis of respondents’ complaint for reconveyance is not fraud but threat, duress and intimidation, allegedly employed by Marcos’ cronies upon the relatives of the Montanos while the latter were on self-exile.36 In fact, fraud was neither specifically alleged nor remotely implied in the complaint.


Article 1391 of the Civil Code provides:


Art. 1391. An action for annulment shall be brought within four years.


This period shall begin: In case of intimidation, violence or undue influence, from the time the defect of the consent ceases.


In case of mistake or fraud, from the time of the discovery of the same.


And when the action refers to contracts entered into by minors or other incapacitated persons, from the time the guardianship ceases.


In the circumstances prevailing in this case, the threat or intimidation upon respondents is deemed to have ceased only upon the ouster of then President Marcos from power on February 21, 1986. The four-year prescriptive period must, therefore, be reckoned from the said date. Thus, when respondents filed their complaint for reconveyance on September 15, 1989, the period provided for by law had not yet prescribed. Therefore, petitioner’s motion to dismiss should be denied."


THIRD DIVISION

G.R. No. 166383,  October 16, 2009

ASSOCIATED BANK, Petitioner,

vs. SPOUSES JUSTINIANO S. MONTANO, SR., AND LIGAYA MONTANO and TRES CRUCES AGRO-INDUSTRIAL CORPORATION, Respondents.

https://lawphil.net/judjuris/juri2009/oct2009/gr_166383_2009.html