Salas vs. Court of Appeals 181 SCRA 296 , January 22, 1990.pdf

It is payable at a fixed or determinable future time

  • No School
  • AA 1
  • 10

This preview shows page 8 - 10 out of 10 pages.

it is payable at a fixed or determinable future time which is “P1,614.95 monthly for 36 months due and payable on the 21st day of each month starting March 21, 1980 thru and inclusive of Feb. 21, 1983;” [d] it is payable to Violago Motor Sales Corporation, or order and as such, [e] the drawee is named or indicated with certainty. 9 It was negotiated by indorsement in writing on the instrument itself payable to the Order of Filinvest Finance and Leas- __________ 8 Ex. “7”; Folder of Exhibits. 9 Section 1, Negotiable Instruments Law, underscoring supplied. 303 VOL. 181, JANUARY 22, 1990 303 Salas vs. Court of Appeals ing Corporation 10 and it is an indorsement of the entire instrument. 11 Under the circumstances, there appears to be no question that Filinvest is a holder in due course, having taken the instrument under the following conditions: [a] it is complete and regular upon its face; [b] it became the holder thereof before it was overdue, and without notice that it had previously been dishonored; [c] it took the same in good faith and for value; and [d] when it was negotiated to Filinvest, the latter had no notice of any infirmity in the instrument or defect in the title of VMS Corporation. 12 Accordingly, respondent corporation holds the SUPREME COURT REPORTS ANNOTATED VOLUME 181 Documents/Law School Ebooks/Negotiable Instrument Act... 8 of 10 9/2/2018, 7:51 PM
Image of page 8

Subscribe to view the full document.

instrument free from any defect of title of prior parties, and free from defenses available to prior parties among themselves, and may enforce payment of the instrument for the full amount thereof. 13 This being so, petitioner cannot set up against respondent the defense of nullity of the contract of sale between her and VMS. Even assuming for the sake of argument that there is an iota of truth in petitioner’s allegation that there was in fact deception made upon her in that the vehicle she purchased was different from that actually delivered to her, this matter cannot be passed upon in the case before us, where the VMS was never impleaded as a party. Whatever issue is raised or claim presented against VMS must be resolved in the “breach of contract” case. Hence, we reach a similar opinion as did respondent court when it held: “We can only extend our sympathies to the defendant (herein petitioner) in this unfortunate incident. Indeed, there is nothing We can do as far as the Violago Motor Sales Corporation is concerned since it is not a party in this case. To even discuss the issue as to whether or not the Violago Motor Sales Corporation is liable in the __________ 10 Section 31, NIL. 11 Section 32, NIL. 12 Section 52, NIL. 13 Section 57, Negotiable Instruments Law; Consolidated Plywood Industries, Inc. v. IFC Leasing and Acceptance Corporation, ( supra ). 304 304 SUPREME COURT REPORTS ANNOTATED Marina Port Services, Inc. vs. Iniego transaction in question would amount, to denial of due process, hence, improper and unconstitutional. She should have impleaded Violago Motor Sales.” 14 IN VIEW OF THE FOREGOING, the assailed decision is hereby AFFIRMED. With costs against petitioner. SO ORDERED.
Image of page 9
Image of page 10
  • Fall '19
  • Promissory note, Negotiable instrument, JUANITA SALAS

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern