This case involves a dispute over possession of a motorcycle that was mortgaged to the petitioner corporation. The respondent claimed he lawfully possessed the motorcycle. The petitioner corporation took the motorcycle from the respondent's business without following legal procedures. They also accused the respondent of theft. The court found the petitioners liable for damages, as they acted with malice and ill will in illegally seizing the motorcycle and making false accusations against the respondent.
This case involves a dispute over possession of a motorcycle that was mortgaged to the petitioner corporation. The respondent claimed he lawfully possessed the motorcycle. The petitioner corporation took the motorcycle from the respondent's business without following legal procedures. They also accused the respondent of theft. The court found the petitioners liable for damages, as they acted with malice and ill will in illegally seizing the motorcycle and making false accusations against the respondent.
This case involves a dispute over possession of a motorcycle that was mortgaged to the petitioner corporation. The respondent claimed he lawfully possessed the motorcycle. The petitioner corporation took the motorcycle from the respondent's business without following legal procedures. They also accused the respondent of theft. The court found the petitioners liable for damages, as they acted with malice and ill will in illegally seizing the motorcycle and making false accusations against the respondent.
This case involves a dispute over possession of a motorcycle that was mortgaged to the petitioner corporation. The respondent claimed he lawfully possessed the motorcycle. The petitioner corporation took the motorcycle from the respondent's business without following legal procedures. They also accused the respondent of theft. The court found the petitioners liable for damages, as they acted with malice and ill will in illegally seizing the motorcycle and making false accusations against the respondent.
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Uypitching vs Quiamco 510 scra 17
CORONA, J.
FACTS:
1982: respondent Ernesto C. Quiamco was approached
by Juan Davalan, Josefino Gabutero and Raul Generoso to amicably settle the civil aspect of a criminal case for robbery filed by Quiamco against them. They surrendered to him a red Honda XL-100 motorcycle and a photocopy of its certificate of registration. The motorcycle was parked in an open space inside respondent’s business establishment, Avesco-AVNE Enterprises, where it was visible and accessible to the public.
October 1981: the motorcycle had been sold on
installment basis to Gabutero by petitioner Ramas Uypitching Sons, Inc., a family-owned corporation managed by petitioner Atty. Ernesto Ramas Uypitching. To secure its payment, the motorcycle was mortgaged to petitioner corporation. When Gabutero could no longer pay the installments, told petitioner corporation’s collector, Wilfredo Veraño, that the motorcycle had allegedly been “taken by respondent’s men.”
January 26, 1991: petitioner Uypitching, accompanied
by policemen, went to Avesco-AVNE Enterprises to recover the motorcycle. Unable to find respondent, the policemen went back to Avesco-AVNE Enterprises and, on petitioner Uypitching’s instruction and over the clerk’s objection, took the motorcycle. February 18, 1991: petitioner Uypitching filed a criminal complaint for qualified theft and/or violation of the Anti- Fencing Law against respondent in the Office of the City Prosecutor of Dumaguete City. July 30, 1994: the trial court rendered a decision finding that petitioner Uypitching was motivated with malice and ill will when he called respondent a thief, took the motorcycle in an abusive manner and filed a baseless complaint for qualified theft and/or violation of the Anti- Fencing Law. Petitioners appealed the RTC decision but the CA affirmed the trial court’s decision. Thus, this petition.
ISSUE:
Whether or not the petitioners are liable for damages?
HELD:
WHEREFORE, the petition is hereby DENIED.
As they never questioned the findings of the RTC and
CA that malice and ill will attended not only the public imputation of a crime to respondent but also the taking of the motorcycle, petitioners were deemed to have accepted the correctness of such findings.
A mortgagee may take steps to recover the mortgaged
property to enable it to enforce or protect its foreclosure right thereon. There is, however, a well-defined procedure for the recovery of possession of mortgaged property: • if a mortgagee is unable to obtain possession of a mortgaged property for its sale on foreclosure, he must bring a civil action either to recover such possession as a preliminary step to the sale, or to obtain judicial foreclosure.
Petitioner corporation failed to bring the proper civil
action necessary to acquire legal possession of the motorcycle. Instead, petitioner Uypitching descended on respondent’s establishment with his policemen and ordered the seizure of the motorcycle without a search warrant or court order. Worse, in the course of the illegal seizure of the motorcycle, petitioner Uypitching even mouthed a slanderous statement.
There is an abuse of right when it is exercised solely to
prejudice or injure another. The exercise of a right must be in accordance with the purpose for which it was established and must not be excessive or unduly harsh; there must be no intention to harm another. Otherwise, liability for damages to the injured party will attach.
In this case, the manner by which the motorcycle was
taken at petitioners’ instance was not only attended by bad faith but also contrary to the procedure laid down by law. Considered in conjunction with the defamatory statement, petitioners’ exercise of the right to recover the mortgaged vehicle was utterly prejudicial and injurious to respondent.
On the other hand, the precipitate act of filing an
unfounded complaint could not in any way be considered to be in accordance with the purpose for which the right to prosecute a crime was established. Thus, the totality of petitioners’ actions showed a calculated design to embarrass, humiliate and publicly ridicule respondent. Petitioners acted in an excessively harsh fashion to the prejudice of respondent. Contrary to law, petitioners will fully caused damage to respondent. Hence, they should indemnify him.