Petitioner
Leaño
Respondent
Court of Appeals
Citation
G.R. No. 129018
Court
Supreme Court
Decided
November 15, 2001

Contract to sell land on installments - buyer's default in payment versus seller's attempted cancellation and ejectment

Summary

This case involves a contract to sell land on installments where the buyer defaulted on payments after April 1989. The seller filed an ejectment case while the buyer sought specific performance. The Supreme Court clarified that the transaction was a conditional sale, not an absolute sale, meaning ownership remained with the seller until full payment. While the buyer was in default and liable for outstanding obligations with interest, the Court ruled that actual cancellation under RA 6552 had not occurred since no cash surrender value was paid. The buyer could still reinstate the contract by updating her account totaling P183,687.00. The decision emphasizes the distinction between absolute and conditional sales and the protective provisions of the Realty Installment Buyer Protection Act.

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By the Intellegal Editorial Board · November 15, 2001

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