Fedman Development Corporation v. Federico Agcaoili

Summary

Fedman Development Corporation appealed Supreme Court's affirmation of lower courts' decisions favoring condominium unit purchaser Federico Agcaoili. The case involved a contract to sell Unit 411 in Fedman Suites Building where Agcaoili suspended payments after the developer failed to repair broken air-conditioning and properly maintain facilities. When FDC cancelled the contract and disconnected utilities, Agcaoili sued for damages. The Supreme Court ruled that trial courts properly acquired jurisdiction despite insufficient docket fees since Agcaoili paid assessed amounts without bad faith. FDC was estopped from challenging jurisdiction after actively participating in proceedings. The Court found FDC's unilateral interest rate increase unjustified and contract cancellation improper under the Maceda Law. FDC was held liable for substantial damages for breaching contractual obligations and failing to maintain essential condominium services, demonstrating the law's protection of real estate buyers on installment payments.