Petitioner
Spouses Nestor Cabasal
Respondent
Bpi Family Savings Bank
Citation
G.R. No. 233846
Court
Supreme Court
Division
First Division
Ponente
Zalameda, J.
Decided
November 18, 2020

Summary

Spouses Cabasal sued BPI Family Savings Bank and employee Alma De Leon for damages after their real estate sale fell through when the bank refused to allow mortgage assumption. The RTC awarded damages finding bad faith, but the CA reversed, holding no bad faith was proven. The Supreme Court affirmed the CA, emphasizing that abuse of rights requires clear proof of bad faith or negligence. The Court found respondent De Leon acted properly in explaining bank policy against mortgage assumptions, and petitioners failed to establish that her statements caused the sale's failure. The foreclosure was upheld as valid since petitioners were already in default. This case reinforces that banking institutions may establish reasonable policies and that damages claims require concrete proof of bad faith, not mere business disappointment.

Statutes applied

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By Intellegal Editorial Board · November 18, 2020

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