- Petitioner
- Odyssey Park
- Respondent
- Honorable Court of Appeals
- Citation
- G.R. No. 107992
- Court
- Supreme Court
- Division
- First Division
- Ponente
- Vitug, J.
- Decided
- October 8, 1997
Summary
Odyssey Park, Inc. entered into a contract to sell with Bancom Development Corporation for real property in Baguio City worth P3.5 million. After Bancom transferred its rights to Union Bank, Odyssey defaulted on payments, citing a protest from Europa Condominium Villas, Inc. Union Bank rescinded the contract after providing written notice. The Supreme Court affirmed lower courts' decisions validating the rescission, ruling that Republic Act No. 6552 was inapplicable to commercial property and that Civil Code provisions on rescission didn't apply to contracts to sell. The Court held that parties were bound by their contractual stipulations allowing rescission upon written notice for payment defaults, emphasizing that contracts to sell involve suspensive conditions rather than perfected obligations subject to rescission under Article 1191.