- Petitioner
- Integrated Packaging Corp.
- Respondent
- Court of Appeals
- Citation
- G.R. No. 115117
- Court
- Supreme Court
- Division
- Second Division
- Ponente
- Quisumbing, J.
- Decided
- June 8, 2000
Summary
This case involves a breach of contract dispute between Integrated Packaging Corp. and Fil-Anchor Paper Co. over a printing paper supply agreement. The Supreme Court affirmed the Court of Appeals decision ordering Integrated Packaging to pay P763,101.70 for delivered printing paper. The Court ruled that Fil-Anchor did not breach the contract since Integrated Packaging failed to pay on time, justifying suspension of deliveries under Article 1583 of the Civil Code on installment sales. The Court also held that Fil-Anchor cannot be liable for Integrated Packaging's separate contracts with Philacor due to the relativity of contracts principle. The decision establishes important precedents on reciprocal obligations in supply contracts and the application of Civil Code provisions on installment sales and contract relativity.