Catherine Hiponia-Mayuga v · G.R. 211499

Petitioner: Catherine Hiponia-Mayuga
Respondent: Metropolitan Bank
Citation: G.R. No. 211499
Court: Supreme Court
Division: Second Division
Ponente: Mendoza, J.
Decided: June 22, 2015

Summary

Catherine Hiponia-Mayuga challenged the foreclosure of her property which her deceased husband Fernando mortgaged to secure Belle Avelino's loan from Metrobank. She alleged collusion between Belle and bank officer Thelma Mauricio and sought cancellation of the mortgage plus damages. The RTC validated the mortgage but awarded damages against Belle only. The CA deleted the damages award despite Belle not appealing, applying procedural exceptions. The Supreme Court partially granted Catherine's petition, reinstating damages against Belle since she failed to appeal, making the RTC decision final as to her. However, the Court upheld findings of no collusion or bank negligence, emphasizing that accommodation mortgages under Article 2085 of the Civil Code are valid, and that procedural exceptions in appeals benefit only appellants, not non-appealing parties.

Statutes applied

Civil Code, Art. 2085

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By the Intellegal Editorial Board · June 22, 2015

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