Professional Documents
Culture Documents
*
G.R. No. 155488. December 6, 2006.
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* FIRST DIVISION.
321
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Velayo-Fong vs. Velayo
322
AUSTRIA-MARTINEZ, J.:
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323
pines, made it appear that their common father, Rodolfo Velayo, Sr.
(Rodolfo Sr.) and petitioner had filed a complaint against Raymond
before the National Bureau of Investigation (NBI), accusing
Raymond of the crimes of estafa and kidnapping a minor; that
petitioner and her co-defendants also requested that respondents be
included in the Hold Departure List of the Bureau of Immigration
and Deportation (BID) which was granted, thereby preventing them
from leaving the country and resulting in the cancellation of
respondents’ trips abroad and caused all of respondents’ business
transactions and operations to be paralyzed to their damage and
prejudice; that petitioner and her co-defendants also filed a petition
before the Securities and Exchange Commission (SEC) docketed as
Case No. 4422 entitled “Rodolfo Velayo Sr. et al. v. Raymond Velayo
et al.” which caused respondents’ funds to be frozen and paralyzed
the latters’ business transactions and operations to their damage and
prejudice. Since petitioner was a non-resident and not found in the
Philippines, respondents prayed for a writ of preliminary attachment
against petitioner’s properties located in the Philippines.
Before respondents’ application for a writ of preliminary
attachment can be acted upon by the RTC, respondents filed on
September 10, 1993 an Urgent Motion praying that the summons
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“THIS IS TO CERTIFY, that after several failed attempts to serve the copy
of summons and complaint issued in the aboveentitled case at the given
addresses of defendant Erlinda Velayo as mentioned in the Order of this
Court dated September 13, 1993,
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4 Id., at p. 28.
5 Id., at p. 30.
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9
SO ORDERED.”
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9 Id., at p. 124.
10 Id., at p. 173.
11 Id., at p. 193.
12 Id., at p. 201.
13 Id., at p. 206.
14 Id., at p. 212.
15 Id., at p. 222.
326
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On March 28, 1996, the RTC issued an Order directing 16 the issuance
of the writ of execution against petitioner’s codefendant.
On May 23, 1996, petitioner, through her counsel, finally
received the
17
Decision dated June 15, 1994 and the Order dated May
29, 1995.
Petitioner filed an appeal with the CA questioning the propriety
and validity of the service of summons made upon her. Respondents
opposed the appeal, arguing that the petition should be dismissed
since it raised pure questions of law, which is not within the CA’s
jurisdiction to resolve under Section 2 (c) of Rule 41 of the Revised
Rules of Court; that, in any case, petitioner’s reliance on the rule of
extraterritorial service is misplaced; that the judgment by default has
long been final and executory since as early as August 1994
petitioner became aware of the judgment by default when she
verified the status of the case; that petitioner should have filed a
motion for new trial or a petition for relief from judgment and not a
motion to set aside the order of default since there was already a
judgment by default.
On May 14, 2002, the CA 18rendered its Decision affirming the
Decision and Order of the RTC ruling that it (CA) has jurisdiction
since the petition raised a question of fact, that is, whether petitioner
was properly served with summons; that the judgment by default
was not yet final and executory against petitioner since the records
reveal and the RTC Order dated January 3, 1996 confirmed that she
was not furnished or served a copy of the decision; that petitioner
was validly served with summons since the complaint for damages
is an action in personam and only personal, not extraterritorial
service, of summons, within the forum, is essential for the
acquisition of jurisdiction over her person; that petitioner’s
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16 Id., at p. 231.
17 Id.
18 CA Rollo, p. 95.
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allegations that she did not know what was being served upon her
and that somebody just hurled papers at her were not substantiated
by competent evidence and cannot overcome the presumption of
regularity of performance of official functions in favor of the
Officer’s Return. 19
Petitioner filed a Motion for Reconsideration
20
but the CA denied
it in its Resolution dated October 1, 2002.
Hence, the present petition anchored on the following grounds:
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II
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19 CA Rollo, p. 109.
20 Supra, note 2.
21 Rollo, p. 159.
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xxx
c) Appeal by certiorari.—In all cases where only questions of law are raised or involved,
the appeal shall be to the Supreme Court by petition for review on certiorari in accordance
with Rule 45.
329
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24 Olave v. Mistas, G.R. No. 155193, November 26, 2004, 444 SCRA 479, 490;
Western Shipyard Services, Inc. v. Court of Appeals, G.R. No. 110340, May 28, 2001,
358 SCRA 257, 264.
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25 Land Bank of the Philippines v. Monet’s Export and Manufacturing
Corporation, G.R. No. 161865, March 10, 2005, 453 SCRA 173, 184; Skippers
Pacific, Inc. v. Mira, 440 Phil. 906, 920; 392 SCRA 371, 382 (2002).
26 Cucueco v. Court of Appeals, G.R. No. 139278, October 25, 2004, 441 SCRA
290, 299; Microsoft Corporation and Lotus Development Corp. v. Maxicorp, Inc.,
G.R. No. 140946, September 13, 2004, 438 SCRA 224, 231.
330
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27 Crisologo v. Globe Telecom, Inc., G.R. No. 167631, December 16, 2005, 478
SCRA 433, 441; Central Bank of the Philippines v. Castro, G.R. No. 156311,
December 16, 2005, 478 SCRA 235, 244.
28 Now Sec. 15, Rule 14 of the 1997 Rules of Civil Procedure.
331
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ify a reasonable time, which shall not be less than sixty (60) days after
notice, within which the defendant must answer.”
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29 Asiavest Limited v. Court of Appeals, 357 Phil. 536, 554; 296 SCRA 539, 554
(1998); Valmonte v. Court of Appeals, 322 Phil. 96, 106; 252 SCRA 92, 100 (1996).
332
30
state is essential to the acquisition of jurisdiction over the person.
Summons on the defendant must be served by handing a copy
thereof to the defendant
31
in person, or, if he refuses to receive it, by
tendering it to him. This cannot be done, however, if the defendant
is not physically present in the country, and thus, the court cannot
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30 Banco Do Brasil v. Court of Appeals, 389 Phil. 87, 100; 333 SCRA 545, 557
(2000); The Dial Corporation v. Soriano, G.R. No. L82330, May 31, 1988, 161
SCRA 737, 743.
31 Section 7, Rule 14 of the Revised Rules of Court, now Sec. 15 of Rule 14 of the
1997 Rules of Civil Procedure.
32 Asiavest Limited v. Court of Appeals, supra, at p. 554.
33 Paderanga v. Buissan, G.R. No. 49475, September 28, 1993, 226 SCRA 786,
790.
34 Arcenas v. Court of Appeals, 360 Phil. 122, 130; 299 SCRA 733, 741 (1998).
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RTC. However, respondents did not pursue its application for said
writ when petitioner was subsequently found physically present in
the Philippines and personal service of summons was effected on
her.
Was there a valid service of summons on petitioner? The answer
is in the affirmative.
Petitioner’s bare allegation that the statement in the “Officer’s
Return that she was personally served summons is inaccurate” is not
sufficient. A process server’s certificate of service35
is prima facie
evidence of the facts as set out in the certificate. Between the claim
of non-receipt of summons by a party against the assertion of an
official whose duty is to send notices, the latter assertion is fortified
36
by the presumption that official duty has been regularly performed.
To overcome the presumption of regularity of performance of
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35 Romualdez-Licaros v. Licaros, 449 Phil. 824, 836; 401 SCRA 762, 771 (2003);
Spouses Madrigal v. Court of Appeals, 377 Phil. 345, 352; 319 SCRA 331, 337
(1999).
36 Section 3(m), Rule 131 of the Revised Rules on Evidence.
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tenable. While indeed default orders are not viewed with favor, the
party seeking to have the order of default lifted must first show that
her failure to file an answer or any other responsive pleading was
due to fraud, accident, mistake, or excusable neglect 37and then she
must show that she has a valid and meritorious defense.
In this case, petitioner failed to show that her failure to file an
answer was due to fraud, accident, mistake or excusable neglect.
Except for her bare unsupported allegation that the summons were
only thrown to her at the elevator, petitioner did not present any
competent evidence to justify the setting aside of the order of
default.
Moreover, when a party files a motion to lift order of default, she
must also show that she has a meritorious defense or that38something
would be gained by having the order of default set aside. The term
meritorious defense implies that the applicant has the burden of
proving such a defense in order to have the judgment set aside. The
cases usually do not require such a strong showing. The test
employed appears to be essentially the same as used in considering
summary judgment, that is, whether there is enough evidence to
present an issue for submission to the trier of fact, or a showing
that on the undisputed facts 39it is not clear that the judgment is
warranted as a matter of law. The defendant must show that she
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37 Section 3 of Rule 18 of the Revised Rules of Court, now Section 3(b) of Rule 9
of the 1997 Rules of Civil Procedure.
38 Villareal v. Court of Appeals, 356 Phil. 826, 846; 295 SCRA 511, 531 (1998);
Carandang v. Hon. Cabatuando, 153 Phil. 138, 153; 53 SCRA 383, 392 (1973).
39 Villareal v. Court of Appeals, supra; RESTATEMENT OF THE LAW, 2d, ON
JUDGMENTS, §67, Comment.
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40 Villareal v. Court of Appeals, supra; Group Developers and Financiers v.
Policarpio, G.R. No. L-73421, November 29, 1988, 168 SCRA 154, 160.
41 Original Records, p. 178.
336
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