Equitable Pci Bank (Formerly Insular Bank of Asia & America/Phil. Commercial v. Manila Adjusters & Surveyors

Summary

This 44-year commercial banking dispute involved a Letter of Credit transaction from 1975. When Ilocos Sur Federation defaulted on fertilizer payments, MASCO claimed against the P1,000,000.00 LOC from Equitable PCI Bank. The Bank refused payment, denying receipt of required documents. The Supreme Court affirmed lower courts' factual findings that MASCO properly submitted the documents, emphasizing that factual questions are not reviewable under Rule 45 petitions. The Court ordered payment with modified interest calculations per Nacar guidelines: 12% annually until June 2013, then 6% thereafter. The case demonstrates strict compliance requirements in LOC transactions and the finality of concurrent factual findings by trial and appellate courts in commercial banking disputes.