Banco de Brasil v. CA

Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 1

G.R. Nos. 121576-78               June 16, 2000 Court.

Court. Under this provision, there are only four (4) instances when extraterritorial service
of summons is proper, namely: "(1) when the action affects the personal status of the
BANCO DO BRASIL, petitioner,  plaintiffs; (2) when the action relates to, or the subject of which is property, within the
vs. Philippines, in which the defendant claims a lien or interest, actual or contingent; (3) when
THE COURT OF APPEALS, HON. ARSENIO M. GONONG, and CESAR S. the relief demanded in such action consists, wholly or in part, in excluding the defendant
URBINO, SR., respondents. from any interest in property located in the Philippines; and (4) when the defendant non-
resident's property has been attached within the Philippines." 54 In these instances, service
FACTS: of summons may be effected by (a) personal service out of the country, with leave of court;
(b) publication, also with leave of court; or (c) any other manner the court may deem
sufficient. 55
To enforce its preferred salvor's lien, Duraproof Services represented by its General
Manger Urbino filed a Petition for Certiorari, Prohibition and Mandamus assailing the
actions of Commissioner Mison and District Collector Sy. Banco Du Brasil, a non-resident However, where the action is in personam, one brought against a person on the basis of his
entity, was impleaded as one of the defendants. personal liability, jurisdiction over the person of the defendant is necessary for the court to
validly try and decide the case. When the defendant is a non-resident, personal service of
summons within the state is essential to the acquisition of jurisdiction over the
Upon motion of Urbino, the trial court allowed summons by publication to be served upon person. 57 This cannot be done, however, if the defendant is not physically present in the
defendants who were not residents and had no direct representative in the country. country, and thus, the court cannot acquire jurisdiction over his person and therefore cannot
validly try and decide the case against him. 58
After due hearing, the trial court rendered decision directing, among others, Banco du
Brasil to pay P300,00.00 damages to Duraproof Services. It must be stressed that any relief granted in rem or quasi in rem actions must be confined
to the res, and the court cannot lawfully render a personal judgment against the
Banco do Brasil filed, by special appearance, an Urgent Motion to Vacate Judgement and defendant. 61 Clearly, the publication of summons effected by private respondent is invalid
to Dismiss Case  on the ground that Decision of the trial court is void with respect to it for and ineffective for the trial court to acquire jurisdiction over the person of petitioner, since
having been rendered without validly acquiring jurisdiction over the person of Banco do by seeking to recover damages from petitioner for the alleged commission of an injury to
Brasil. his person or property 62 caused by petitioner's being a nuisance defendant, private
respondent's action became in personam. Bearing in mind the in personam nature of the
The trial court granted Banco du Brasil’s motion and set aside aside its earlier decision for action, personal or, if not possible, substituted service of summons on petitioner, and not
having been rendered without jurisdiction over Banco do Brasil's person. extraterritorial service, is necessary to confer jurisdiction over the person of petitioner and
validly hold it liable to private respondent for damages. Thus, the trial court had no
In a petition by Urbino, the assailed Order of the RTC was reinstated and giving way to the jurisdiction to award damages amounting to $300,000.00 in favor of private respondent and
entire decision. as against herein petitioner.

ISSUE:

WON the jurisdiction over the person of Banco du Brasil was validly acquired by the trial
court through summon by publication.

HELD:

NO.

First. When the defendant is a nonresident and he is not found in the country, summons
may be served extraterritorially in accordance with Rule 14, Section 17 53 of the Rules of

You might also like