Boston Equity Resources, Inc., Petitioner, Court of Appeals and Lolita G. Toledo, Respondents

BOSTON EQUITY RESOURCES, INC.
, Petitioner,
-Versus COURT OF APPEALS AND LOLITA G. TOLEDO, Respondents.
G.R. No. 173946, June 19, 2013
Justice Perez, Ponente
Facts:
The petitioner filed a complaint for sum of money with a prayer for
the issuance of a writ of preliminary attachment against the spouses
Manuel and Lolita Toledo. Herein respondent filed an Answer dated 19
March 1998 but on 7 May 1998, she filed a Motion for Leave to Admit
Amended Answer in which she alleged, among others, that her husband
and co-defendant, Manuel Toledo (Manuel), is already dead. The death
certificate of Manuel states "13 July 1995" as the date of death. As a
result, petitioner filed a motion, dated 5 August 1999, to require
respondent to disclose the heirs of Manuel. In compliance with the
verbal order of the court during the 11 October 1999 hearing of the case,
respondent submitted the required names and addresses of the heirs.
Petitioner then filed a Motion for Substitution, dated 18 January 2000,
praying that Manuel be substituted by his children as party-defendants.
It appears that this motion was granted by the trial court in an Order
dated 9 October 2000.
On 26 May 2004, the reception of evidence for herein respondent
was cancelled upon agreement of the parties. On 24 September 2004,
counsel for herein respondent was given a period of fifteen days within
which to file a demurrer to evidence.15 However, on 7 October 2004,
respondent instead filed a motion to dismiss the complaint. The trial
court, in an Order dated 8 November 2004, denied the motion to
dismiss for having been filed out of time, citing Section 1, Rule 16 of the
1997 Rules of Court.
Aggrieved, respondent filed a petition for certiorari with the Court
of Appeals alleging that the trial court seriously erred and gravely abused
its discretion in denying her motion to dismiss despite discovery, during
the trial of the case, of evidence that would constitute a ground for
dismissal of the case. Hence the CA denied the motion for
reconsideration instituted by the petitioner.
Issue:
Whether or not respondent is already estopped from questioning
the trial courts jurisdiction?
Ruling:
The Court ruled that jurisdiction over the person of Manuel should
not be an issue in this case. A protracted discourse on jurisdiction is,
nevertheless, demanded by the fact that jurisdiction has been raised as
an issue from the lower court, to the Court of Appeals and, finally, before
this Court. For the sake of clarity, and in order to finally settle the
controversy and fully dispose of all the issues in this case, it was deemed
imperative to resolve the issue of jurisdiction.
Petitioner calls attention to the fact that respondents motion to
dismiss questioning the trial courts jurisdiction was filed more than six
years after her amended answer was filed. According to petitioner,
respondent had several opportunities, at various stages of the
proceedings, to assail the trial courts jurisdiction but never did so for six
straight years. Citing the doctrine laid down in the case of Tijam, et al. v.
Sibonghanoy, et al. petitioner claimed that respondents failure to raise
the question of jurisdiction at an earlier stage bars her from later
questioning it, especially since she actively participated in the
proceedings conducted by the trial court.
Petitioners argument is misplaced, in that, it failed to consider
that the concept of jurisdiction has several aspects, namely: (1)
jurisdiction over the subject matter; (2) jurisdiction over the parties; (3)
jurisdiction over the issues of the case; and (4) in cases involving
property, jurisdiction over the res or the thing which is the subject of the
litigation.
The Supreme Court barred the attack on the jurisdiction of the
respective courts concerned over the subject matter of the case based on
estoppel by laches, declaring that parties cannot be allowed to belatedly
adopt an inconsistent posture by attacking the jurisdiction of a court to
which they submitted their cause voluntarily.
Here, what respondent was questioning in her motion to dismiss
before the trial court was that courts jurisdiction over the person of
defendant Manuel. Thus, the principle of estoppel by laches finds no
application in this case. Instead, the principles relating to jurisdiction

over the person of the parties are pertinent herein.

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BOSTON EQUITY RESOURCES, INC.

application in this case. Instead, the principles relating to jurisdiction

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