- Petitioner
- Aquiles Riosa
- Respondent
- Tabaco La Suerte Corporation
- Citation
- G.R. No. 203786
- Court
- Supreme Court
- Division
- Third Division
- Ponente
- Mendoza, J.
- Decided
- October 23, 2013
Summary
Aquiles Riosa sued to annul a deed of sale and certificate of title claiming he was fraudulently made to sign what he believed was a loan receipt. The RTC ruled in his favor, finding fraud in the execution. The CA reversed, upholding the deed's validity based on the certificate of title's indefeasibility. The Supreme Court reversed the CA, finding no perfected contract of sale. Key findings included: (1) Riosa had no intention to sell, only to borrow money from Sia Ko Pio personally; (2) no board resolution authorized Sia Ko Pio to purchase for La Suerte; (3) material discrepancies in document dates; (4) improper notarization by ex-officio notary without certification; (5) continued possession and tax payments by Riosa supported his ownership claim. The Court emphasized that corporate powers must be exercised through proper board authorization and that meeting of minds is essential for contract perfection.