Complainant, Jose Castillo, by counsel, respectfully submits a
disbarment complaint against Atty. Greg Alvarez, a member of the Philippine Bar for violating the Code of Professional Responsibility and Accountability (CPRA) and other pertinent laws governing the practice of law.
PARTIES OF THE CASE
Complainant, Jose Castillo, of legal age, Filipino, and a resident of #7
Smoothie St., Brgy. Dreamscape, Lipa City, Batangas;
Respondent, Atty. Greg Alvarez is a member of the Philippine Bar
with Roll No. 1234567 and has an office located at #127 Lemonde St., Brgy. Neolink, Lipa City, Batangas;
BACKGROUND OF THE CASE
This action offshoots from a complaint filed by Mark Lee before the Regional Trial Court, Branch 59, Quezon Province, against Jose Castillo, the respondent herein.
In the civil case filed on July 16, 2023, Mark Lee (complainant) sought an award for damages, including attorney's fees and other costs, and requested that Jose Castillo (respondent) be ordered to pay the remaining overdue rental amounting to P50,000.00, plus interest and penalties.
During the pre-trial hearing, the Court ordered both parties to attempt settlement. The parties agreed to the settlement and the Court directed the complainant to submit a proposed settlement agreement to the Court and to the respondent.
On December 23, 2023, Mark Lee, through his counsel, submitted a
proposed settlement amounting to P300,000.00, which included the overdue rental fees, attorney's fees, and damages.
On January 25, 2024, the Honorable Court issued an order directing
the respondent, Jose Castillo, to pay the settlement amount as proposed by the complainant.
STATEMENT OF FACTS
On July 20, 2024, Complainant Jose Castillo engaged the legal
services of Atty. Alvarez to represent him in a civil settlement case concerning breach of contract.
In the course of the pre-trial hearing, the Court required for the settlement of the case and ordered the respondent to pay for the corresponding proposed amount given by the complainant.
On January 26, 2024, the complainant entrusted Atty. Alvarez with
P300,000.00 to be paid to the opposing party as part of a settlement. On the same day, Atty. Alvarez issued a personal receipt acknowledging the receipt of the P300,000.00 as payment for the settlement. A copy of the receipt is attached hereto as Exhibit A.
However, on March 23, 2024, Jose Castillo received a letter from the opposing party’s counsel, demanding immediate payment for the settlement of the civil case. Upon learning of the opposing party’s demand, Jose Castillo made multiple inquiries to Atty. Alvarez regarding the status of the payment. Despite these inquiries, Atty. Alvarez failed to provide any substantial explanation or evidence that the payment had been made.
Despite the complainant's repeated requests for updates, Atty. Alvarez
did not provide any reasonable accounting or justification regarding the handling of the entrusted funds. Furthermore, Atty. Alvarez ignored all of Jose Castillo's communications, compounding his misconduct.
As a result of Atty. Alvarez’s failure to act in accordance with his
professional obligations, the settlement agreement collapsed, leaving the matter unresolved. Moreover, Jose Castillo has suffered significant emotional and financial distress due to the respondent’s breach of trust and failure to fulfill his duties as a lawyer.
CAUSES OF ACTION
Atty. Alvarez’s actions constitute grave misconduct and
misappropriation of client funds, both of which are grounds for disbarment under the Philippine law. The relevant provisions of the Code of Professional Responsibility (CPRA) and the Rules of Court provide as follows:
Canon 2, Section 1 of the Code of Professional Responsibility and
Accountability:
Propern Conduct. – A lawyer shall not engage in unlawful, dishonest,
immoral, or deceitful conduct.
Canon 3, Section 49 of the Code of Professional Responsibility and
Accountability:
Accounting during engagement. – A lawyer, during the existence of
the lawyer-client relationship, shall account for and prepare an inventory of any fund or property belonging to the client, whether received from the latter or from a third person, immediately upon such receipt.
When funds are entrusted to a lawyer by a client for a specific
purpose, the lawyer shall use such funds only for the client’s declared purpose. Any unused amount of the entrustedc funds shall be promptly returned to the client upon accomplishment of the stated purpose or the client’s demand.
Canon 3, Section 50 of the Code of Professional Responsibility and
Accountability:
Separate funds. – A lawyer shall keep the funds of the clients separate and apart from his or her own and those of others kept by the lawyer.
Canon 4, Rule 6 of the Code of Professional Responsibility and
Accountability:
Duty to update the client. – A lawyer shall regularly inform the client of the status and the result of the matter undertaken, and any action in connection thereto, and shall respond within a reasonable time to the client’s request for information. Section 27, Rule 138 of the Rules of Court:
A lawyer may be disbarred for grave misconduct or for conduct that is
unbecoming of a lawyer. Misappropriating client funds and failing to honor fiduciary duties clearly falls under this provision.
DOCUMENTARY EVIDENCE
To support the allegations of misappropriation and misconduct, the
following documents are submitted as evidence:
Exhibit A – A copy of the personal receipt issued by Atty. Greg Alvarez for the P300,000 received from Jose Castillo.
Exhibit B – A sworn statement from the opposing party, confirming that
they did not receive the P300,000.00 settlement payment.
Exhibit C – A sworn affidavit from Jose Castillo detailing the series of
events, including his repeated requests for an update on the payment and his discovery of the failure to remit the funds.
Exhibit D – Copies of emails, letters, and other communications sent by
Jose Castillo to Atty. Alvarez, requesting the status of the payment, all of which were ignored or left unanswered by Atty. Alvarez.
PRAYER
WHEREFORE, in light of the foregoing, Complainant Jose Castillo
respectfully prays that the Honorable Commission on Bar Discipline of the Integrated Bar of the Philippines:
1. Take appropriate action on this complaint and initiate proceedings for
disbarment against Atty. Greg Alvarez; 2. Conduct a full and fair investigation into the misconduct of Atty. Greg Alvarez; 3. Disbar Atty. Greg Alvarez for grave misconduct and misappropriation of client funds, and for violating the ethical standards required of a member of the Philippine Bar; 4. Order Atty. Greg Alvarez to return the full amount of P300,000 to the complainant, with damages, if applicable; and 5. Grant any other relief deemed just and proper under the circumstances. Lipa City for Pasig City.
April 25, 2024
ATTY. VICTORIA ELIZABETH T. SANTOS
Counsel for the Complainant Roll of Attorney’s No. 020995 - 05/23/2010; IBP No. 127 - 1/18/2024 - Pasig City; P.T.R. No. 1234567- Lipa City; MCLE No. VIII-020196 - March 20, 2025
Copy furnished through personal service:
ATTY. GREG ALVAREZ
#127 Lemonde St., Brgy. Neolink, Lipa City, Batangas Republic of the Philippines ) Lipa City ) S.S.
VERIFICATION AND CERTIFICATION OF NON-FORUM
SHOPPING
I, JOSE CASTILLO, of legal age, Filipino and a resident of #7
Smoothie St., Brgy. Dreamscape, Lipa City, Batangas, after having duly sworn to in accordance with law, do hereby depose and state:
1. That I am the Complainant in the above-entitled case;
2. That I have caused the preparation and filing of the foregoing
Complaint and I have read all the allegations therein which are true and correct based on my personal knowledge and authentic documents; and
3. That I further certify that there is no pending action or proceeding
involving the same issues in the Supreme Court, Court of Appeals, or any other tribunal or agency. If I should thereafter learn that the same or similar action is pending, I shall undertake to inform the Honorable Court of this fact within five (5) days therefrom.
IN WITNESS WHEREOF, I have hereunto affixed my signature.
JOSE CASTILLO Affiant
SUBSCRIBED and SWORN to before me this 24th day of April
2024 at Lipa City, Batangas, by Affiant who personally appeared before me, voluntarily executed this affidavit and read and understood the contents thereof.
ATTY. VICTORIA ELIZABETH T. SANTOS
Counsel for the Complainant Doc. No. ______ Roll of Attorney’s No. 020995 - 05/23/2010; Page No. ______ IBP No. 127 - 1/18/2024 - Pasig City; Book No. ______ P.T.R. No. 1234567- Lipa City; Series of 2024. MCLE No. VIII-020196 - March 20, 2025
