- Petitioner
- Asia Banking Corporation
- Respondent
- Maria Luisa Corcuera
- Citation
- G.R. No. 28496
- Court
- Supreme Court En Banc
- Division
- En Banc
- Ponente
- Johns, J.
- Decided
- March 31, 1928
Summary
Asia Banking Corporation challenged a property conveyance by the insolvent Lichauco Corporation to Galo Lichauco's estate, involving 88 hectares transferred for P24,000 to satisfy a preexisting debt. The Supreme Court En Banc affirmed the lower court's judgment, finding that despite the corporation's insolvency, the consideration was not inadequate enough to constitute fraud against creditors. The Court distinguished this case from the related G.R. No. 28495, noting that the debt was enforceable at the time of conveyance and therefore did not violate Article 1292 of the Civil Code. While acknowledging the case was 'not free from doubt,' the Court held the conveyance valid, emphasizing that inadequacy of consideration must be so substantial as to 'startle a correct mind' to constitute fraud.