- Petitioner
- Star Electric Corporation
- Respondent
- R & G Construction Development
- Citation
- G.R. No. 212058
- Court
- Supreme Court
- Division
- Third Division
- Ponente
- Velasco, Jr., J.
- Decided
- December 7, 2015
Summary
Star Electric Corporation sued R & G Construction for unpaid progress billings under a construction subcontract for hotel electrical and mechanical works. R & G terminated the contract claiming defective workmanship and delay, then hired other contractors for repairs. The RTC ruled for Star Electric, finding insufficient evidence of defective work. The Court of Appeals reversed, applying Article 1192 of the Civil Code to find both parties breached their obligations. The Supreme Court granted Star Electric's petition, ruling that R & G failed to prove defective work and that project delays were caused by R & G's multiple plan modifications including adding floors to the building. The Court found R & G's refusal to pay was unjustified and awarded Star Electric P1,153,634.09 plus reduced attorney's fees, emphasizing that breach of contract claims require preponderant evidence and that construction delays caused by the principal cannot be attributed to the contractor.