Matute v. Court of Appeals

G.R. No. L-40058 · 1987-04-30 · J. GUTIERREZ, JR., J.: · Primary: Civil; Secondary: Remedial
REITERATION

Facts

The Antecedents: Jose S. Matute, co-administrator and heir of the estate of Amadeo Matute Olave, sought to annul the sale of the Ponciano Reyes Street property executed by former co-administrator Matias Matute in favor of respondent Rufino Nasser. The sale was authorized by the probate court with conditions, including a minimum price per square meter and deposit of proceeds within 24 hours. Procedural History: The probate court initially approved the sale to Nasser on November 3, 1966, after setting aside an earlier approval for another buyer. Subsequently, Matias Matute was removed as co-administrator and replaced by Jose S. Matute. Jose Matute filed motions to cancel the sale and cite Matias and Nasser for judicial examination, alleging non-compliance with deposit requirements. The probate court denied the cancellation but later modified its order, disapproving Matias Matute's report on the proceeds and directing him to deposit the full consideration within five days, failing which the sale approval would be set aside and an annulment action filed. Pursuant to this, Jose Matute filed an action for recovery of real property (Civil Case No. 6663). Other heirs and Nasser's successor-in-interest intervened. Nasser moved to dismiss, citing res judicata and prematurity, which was denied. The trial court rendered a decision annulling the sale. On appeal, the Court of Appeals set aside the trial court's decision and dismissed the complaints. The Petition: Petitioners argued that the probate court's June 7, 1967 order was final and executory, that the Court of Appeals' finding of payment was unsubstantiated, and that the appellate court erred in applying res judicata. They contended that no motion for reconsideration was filed against the June 7, 1967 order.

Issue(s)

Whether the probate court's June 7, 1967 order had attained finality. Whether Rufino Nasser paid the P280,000.00 purchase price for the Ponciano Reyes property. Whether there was collusion between Matias Matute and Rufino Nasser to defraud the estate. Whether the action for annulment was barred by res judicata.

Ruling

The petitions are DISMISSED. The questioned decision of the Court of Appeals is AFFIRMED.

Ratio Decidendi

On the finality of the probate court's June 7, 1967 order: The Court held that the probate court's June 7, 1967 order, which set aside its earlier order approving the sale and directed an annulment action, had not attained finality. This was because Rufino Nasser had filed a motion for reconsideration of this order, which remained unresolved by the probate court. The filing of this motion for reconsideration meant that the order was not yet final and executory, thus allowing for the subsequent independent action for annulment to proceed. The Court emphasized that the record clearly showed Nasser's motion was filed and never resolved, contrary to the petitioners' assertion. On whether Rufino Nasser paid the purchase price: The Supreme Court was convinced that Rufino Nasser paid the P280,000.00 as the full purchase price for the Ponciano Reyes property. This conclusion was based on substantial evidence, including a receipt issued by co-administrator Matias S. Matute acknowledging receipt of the full amount, a sworn statement by Matias Matute verifying this receipt, and a specific report and accounting submitted by Matias Matute detailing the disbursement of the proceeds. The Court considered these documents as judicial admissions by Matias Matute under Section 22 of Rule 130 of the Revised Rules of Court, despite his later contradictory manifestations which were deemed discredited. On the alleged collusion between Matias Matute and Rufino Nasser: The Court found no proof of collusion between Matias Matute and Rufino Nasser to defraud the estate. The circumstances cited by the petitioners, such as the payment in legal tender instead of a check, the non-deposit of the purchase price, and the fact that both parties had the same counsel, were deemed insufficient to establish collusion. The Court noted that the probate court's order did not specify the mode of payment and that the directive to deposit the funds was addressed to the administrators, not the buyer. The shared counsel, without other clear evidence, did not prove conspiracy. On whether the action was barred by res judicata: The Court clarified that the instant case was not barred by res judicata, specifically referring to G.R. No. L-33023. The issue in the prior case was the propriety of filing an independent civil action to annul the sale, and the petition therein was dismissed. The present case, however, was filed to resolve the substantive issue of whether Rufino Nasser actually paid the P280,000.00 purchase price, which was a different and distinct issue from the procedural question in the prior case.

Main Doctrine

The Supreme Court affirmed the Court of Appeals' decision, finding that the respondent Rufino Nasser had indeed paid the purchase price of P280,000.00 for the Ponciano Reyes property, and that the evidence presented, including judicial admissions by a co-administrator, supported this conclusion. The Court also clarified that the probate court's order setting aside the sale had not attained finality due to an unresolved motion for reconsideration, thus allowing the independent action for annulment to proceed.

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