Petitioner
Spouses Alfredo
Respondent
Pci Leasing
Citation
G.R. No. 139233
Court
Supreme Court
Division
Second Division
Ponente
Callejo, Sr., J.
Decided
November 11, 2005

Summary

The Supreme Court partially granted the petition involving a vehicle financing dispute between spouses Rosario and PCI Leasing. The spouses defaulted on their loan secured by a chattel mortgage after purchasing an Isuzu vehicle. They argued that PCI Leasing, as alleged assignee of the vehicle seller, was barred from collecting the unpaid balance after repossessing the vehicle under Article 1484 of the Civil Code. The Court rejected this argument, finding no evidence of assignment and distinguishing between foreclosure and replevin. The Court affirmed the spouses' liability for P338,786.03 but deleted the excessive attorney's fees award of 22.10%, as the claimed amount already included legal expenses and the trial court failed to provide legal justification for the award.

Statutes applied

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By Intellegal Editorial Board · November 11, 2005

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