Trinidad v. Fama Realty

G.R. No. 203336 · 2016-06-06 · J. DEL CASTILLO, J.: · Primary: Remedial; Secondary: Civil
REITERATION

Facts

1. The Antecedents: Petitioners, Spouses Gerardo and Corazon Trinidad, entered into Reservation Agreements (RAs) in 1991 with respondent Fama Realty, Inc. (FAMA) for the purchase of 14 lots in St. Charbel Executive Village for a total price of P17,620,800.00. A dispute arose concerning petitioners' payments, leading to a protracted legal battle. 2. Procedural History: The case has a complex procedural history spanning multiple administrative and judicial bodies. Initially, an action for specific performance was filed with the Housing and Land Use Regulatory Board (HLURB), resulting in decisions from the HLURB Arbiter, the HLURB Board of Commissioners, and the Office of the President, each modifying the terms of the sale and rescission. These decisions were subsequently reviewed by the Court of Appeals (CA) and the Supreme Court (SC) in G.R. No. 179811. The SC, in a Resolution dated June 6, 2011, directed the HLURB Arbiter to compute the balance due for the 10 lots awarded to petitioners and for petitioners to pay this balance, after which FAMA would execute the deeds of sale. However, disputes over the computation and subsequent appeals within the HLURB system, including a motion for consignation by petitioners and an appeal by respondents, led to further delays. 3. The Petition: Petitioners filed the instant Petition for Contempt directly with the Supreme Court, alleging that respondents' actions, including their appeal of the HLURB Arbiter's May 24, 2012 Order and their proposed computation of the purchase price, constitute indirect contempt. Petitioners argue that these actions are dilatory, disregard final and executory dispositions, constitute a collateral attack on prior rulings, violate HLURB procedural rules, and attempt to illegally collect more than the agreed purchase price. Petitioners seek to have respondents cited for contempt and their HLURB appeal dismissed.

Issue(s)

Whether the Supreme Court has jurisdiction to resolve a petition for indirect contempt for acts committed in relation to proceedings before the Housing and Land Use Regulatory Board (HLURB).

Ruling

The Petition is DISMISSED for lack of jurisdiction.

Ratio Decidendi

On Issue 1: The Supreme Court ruled that it lacks jurisdiction because the contempt charges should have been filed with the Housing and Land Use Regulatory Board (HLURB) itself. Under Section 12, Rule 71 of the Rules of Court, the rules on contempt apply to quasi-judicial bodies unless otherwise provided by law. The Court emphasized that the mode of filing contempt charges in court is only observed when there is no law granting contempt powers to the quasi-judicial entity involved. In this case, Executive Order No. 648 (the HLURB Charter) explicitly grants the HLURB Board the power to cite and declare any person or entity in direct or indirect contempt for failure to obey lawful orders or for disrespectful conduct. Furthermore, Rule 22, Section 81 of the 2011 HLURB Revised Rules of Procedure provides a specific mechanism for declaring a party in indirect contempt for refusing to comply with a decision or writ. Citing Robosa v. National Labor Relations Commission (NLRC), the Court reiterated that Rule 71 does not require the initiation of indirect contempt proceedings before a trial court if the quasi-judicial body has its own contempt powers. Therefore, for the respondents' perceived disobedience of the Arbiter's order and the final HLURB decision, the petitioners should have invoked the contempt powers of the HLURB rather than filing a direct petition with the Supreme Court.

Main Doctrine

Where contempt is committed against quasi-judicial entities, the filing of contempt charges in court is observed only when there is no law granting contempt powers to these quasi-judicial entities. If the law grants the quasi-judicial body the power to cite and declare any person in direct or indirect contempt, the party must invoke the contempt powers of that specific entity. Rule 71 of the Rules of Court does not require the initiation of indirect contempt proceedings before the trial court when the agency involved has its own statutory authority to punish for contempt.

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