Metroheights Subdivision Homeowners Association v. Cms Construction

Summary

The Supreme Court ruled in favor of Metroheights Subdivision Homeowners Association against CMS Construction and MWSS for cutting their water connection without notice during a rehabilitation project. The Court applied Article 19 of the Civil Code (abuse of rights), finding that while respondents had the right to undertake water system improvements, they exercised this right in bad faith by cutting petitioner's water line without proper notice, causing a 3-day water outage. The Court emphasized that having a right does not excuse improper exercise of that right, and that basic necessities like water require careful handling with adequate notice to affected parties. The decision awarded P161,541.85 actual damages (the proven amount), P100,000.00 exemplary damages, and P50,000.00 attorney's fees, establishing important precedent for utility service obligations and notice requirements in infrastructure projects affecting private connections.