Cebu Winland Development Corporation v. Ong Siao Hua

Summary

Cebu Winland Development Corporation sold condominium units to Ong Siao Hua based on 155 square meters per unit, but actual area was only 110 square meters. The buyer sought refund for excess payment. The Supreme Court held that the action had not prescribed under Article 1543 of the Civil Code because 'delivery' requires transfer of both possession and ownership, and since deeds of sale were not executed, only possession was transferred. The Court applied Article 1539 for unit price sales and ordered proportional price reduction of P2,014,105.50 with interest, rejecting the lower court's rescission remedy under Articles 1330-1331 as inapplicable since the buyer continued occupying the property.