University of the Philippines v. Philab Industries

Summary

PHILAB Industries sued the University of the Philippines for P702,939.40 representing the unpaid balance for laboratory furniture supplied to UP's BIOTECH facility. The furniture was funded by the Ferdinand E. Marcos Foundation through a donation agreement with UP. The RTC dismissed the case, but the Court of Appeals reversed, applying unjust enrichment principles. The Supreme Court ultimately ruled in favor of UP, finding that an implied-in-fact contract existed between PHILAB and FEMF based on their conduct and PHILAB's knowledge that FEMF was the actual payor. The Court rejected the unjust enrichment claim, holding that UP legally acquired the furniture through its MOA with FEMF and that PHILAB's proper remedy was against FEMF, not UP. The decision clarified that unjust enrichment cannot be invoked when another legal remedy exists.