FORCIBLE ENTRY AND UNLAWFUL DETAINER

PROCESS
1. File complaint 2. Give due course or not? a. Dismiss, or b. Issue summons. 3. Defendant files answer a. Answer to cross-claims and counterclaims filed

STEP 1: INITIATING PROCEEDINGS

1. Who may initiate proceedings: a. A person deprived of possession of any land or building by force, intimidation, threat, strategy, or stealth b. A lessor, vendor, vendee, or other person against whom possession of any land/building is unlawfully withheld (or his legal representatives or assigns) after the expiration or termination of the right to hold possession by virtue of any contract, express or implied (R70S1) i. In case of a lessor, he may only proceed against the lessee after: (R70S2) 1. Demand to pay/comply with the conditions of the lease, or 2. Serving a written demand upon the person found in the premises, or 3. By posting such notice on the premises, if no one is found thereon ii. The lessee must have failed to comply with such notice after: 1. 15 days in case of land, or 2. 5 days, in case of buildings. 2. What may be claimed: (R70S1) a. Restitution of possession b. Costs 3. Prescription period: 1 year after unlaful deprivation/ possession (R70S1) 4. Venue: MTC (R70S1) 5. Type of proceedings: SUMMARY, irrespective of the amount of damages or unpaid rent, Exc: (R70S3) a. If case is covered by agricultural tenancy laws or b. The law otherwise expressly provides

1. Verification requirement: WITH! 2. Pleadings a. What pleadings are allowed: (R70S4) i. Complaint; ii. Compulsory counterclaim; iii. Cross-claim pleaded in the answer; iv. Answers to these pleadings b. Prohibited pleadings and motions i. MTD except lack of jurisdiction over the subject matter, or failure to comply with S12 (conciliation requirement); ii. For a bill of particulars; iii. For new trial, reconsideration, reopening of trial; iv. Petition for relief from judgment; v. Extension of time to file pleadings, affidavits, and other papers; vi. Memoranda; vii. Certiorari, mandamus, prohibition against any interlocutory; viii. To declare defendant in default; ix. Dilatory motions for postponement; x. Reply; xi. Third-party complaints; xii. Interventions. 3. Affidavits a. What affidavits shall contain (R70S14) i. State only facts of direct personal knowledge of the affiants ii. Must be admissible in evidence iii. Must show their competence to testify to the matters stated therein b. Effects of violating this requirement i. May subject party or counsel to disciplinary action ii. Cause to expunge the inadmissible affidavit/portion thereof

ACTIONS THAT MAY BE TAKEN BY THE COURT, PROVISIONAL REMEDIES

1. What actions may be taken by the court on the complaint (R70S5) a. Dismiss outright for any of the grounds for dismissal of a civil action which are apparent therein, or b. If no cause for dismissal, issue SUMMONS. 2. Provisional remedies that may be granted: preliminary (mandatory) injunction a. Applicable rules: R58 b. Purpose: to prevent further acts of dispossession against the plaintiff c. When application filed: 5 days from filing of the complaint d. When resolved by the court: 30 days from the filing of the motion

PLEADINGS, AFFIDAVITS, AND OTHER PAPERS

STEP 2: ANSWER (R70S6)

1. When filed: 10 days from service of summons 2. Where filed/served: a. To the court b. To the plaintiff (copy, served) 3. Effect of not pleading a. Affirmative and negative defenses: deemed waived, except lack of jurisdiction over the subject matter. b. Cross-claims and compulsory counterclaims: BARRED 4. Effect of failure to answer: a. Court may render judgment as may be warranted by the facts alleged in the complaint and limited to what is prayed for therein i. How availed of: 1. Ordered by the court motu proprio 2. Upon motion by the plaintiff b. Court may in its discretion reduce the amount of damages and attorneys fees (excessive or unconscionable), without prejudice to R9S3(c) for two or more defendants)

2. When issued: 5 days after the termination of the preliminary conference 3. What it shall contain: the matters taken up in the conference, including but not limited to a. Whether the parties have arrived at an amicable settlement, and the terms thereof; b. Stipulations/admissions entered into; c. Whether judgment may rendered without further proceedings on the basis of the pleadings and stipulations and admissions. In this case, judgment shal be rendered within 30 days from the issuance of the order; d. Clear specification of the material facts which remain controverted; e. Other matters in order to expedite the disposition of the case.

STEP 3.5: SUBMISSION OF AFFIDAVITS AND POSITION PAPERS (R70S10)

1. When filed: 10 days from receipt of the record of preliminary conference 2. What the parties shall submit: a. Affidavits of the witnesses b. Other evidence on the factual issues defined in the order c. Position papers setting forth the law and the facts relied upon by them

STEP 2.5: ANSWER TO THE COUNTERCLAIMS OR CROSS-CLAIMS

1. When served and filed: 10 days from service of the answer in which they are pleaded

STEP 3: PRELIMINARY CONFERENCE (R70S8)

1. When held: 30 days after the last answer is filed 2. Appicable rules: pre-trial (R18), unless inconsistent with this rule 3. Effect of failure to appear: a. Of plaintiff: dismissal of the complaint i. If defendant appears: 1. Entitled to judgment on his counterclaim as per the preceding section(Court may render judgment as may be warranted by the facts alleged in the complaint and limited to what is prayed for therein) 2. Cross-claims dismissed b. Of sole defendant: Court may render judgment as may be warranted by the facts alleged in the complaint and limited to what is prayed for therein i. If there are two or more defendants sued under a common COA who pleaded a common defense: rule not applicable 4. When postponements allowed: only on highly meritorious grounds, without prejudice to sanctions as the court may impose on the movant

STEP 3.75: CLARIFICATORY ORDER

1. When ordered: if court finds it necessary to clarify certain material facts 2. When court can order this: within the period for rendering judgment (30 days after receipt of affidavits and position papers) 3. What the court may order submitted: a. Affidavits b. Other evidence on the said matters 4. Period for filing additional documents: 10 days from the receipt of the order 5. When judgment shall be rendered: a. 15 days from the receipt of the last affidavit, or b. Expiration of the period for filing the additional documents. 6. However, the court cant use this just to gain time for the rendition of judgment.

STEP 4: RENDITION OF JUDGMENT

1. When rendered: (R70S11) a. 30 days after receipt of affidavits and position papers or b. Expiration of the period of filing the same 2. Effect of noncompliance with conciliation requirement: dismissal without prejudice, revived after compliance with the requirement (R70S12)

STEP 3.25: RECORD OF PRELIMINARY CONFERENCE (R70S9)

1. Who issues it: court

HOW JUDGMENT RENDERED

1. What shall be awarded: a. If it is found that the allegations in the complaint are true: i. Restitution of the premises ii. Sum justly due as arrears of rent or reasonable compensation for the use and occupation of the presmises iii. Attorneys fees and costs b. If the allegations are not true: i. For the defendant to recover his costs ii. If a counterclaim is established, the court shall render judgment for the sum found in arrears from either party, and award costs as justice requires. 2. Effects on possession a. Judgment is conclusive only on possession, not on title or ownership. It wont bar an action between the same parties as to the title of the land/ building. (R70S18) b. Exc: If defendant raises the defense of ownership in the pleadings and the question of possession cannot be resolved without deciding the issue of ownership, the issue of ownership shall be resolved only to determine the issue of possession (R70S16)

b. The plaintiffs appeal is prima facie meritorious

STEP 5: EXECUTION
1. When it shall issue (code says if against defendant) a. Gen: immediately upon motion b. Exc: If appeal has been perfected, and defendant i. Files a supersedeas bond, and 1. Court approval: by the MTC, required 2. How sent to the RTC: sent by the clerk, along with other papers. 3. Basis of amount: rents, damages, and costs accruing down to the time of the judgment appealed from ii. Deposits the amount of rent due 1. If there is a contract a. Where paid: appellate court b. Amount: that due from time to time under the contract 2. If there is no contract a. Where paid: RTC b. Amount: reasonable value of the use and occupation for the preceding month/period at the rate determined by the judgment of the LC c. When paid: on or before the 10th day of each succeeding month/period

REMEDIES FROM THE JUDGMENT

1. Appeals to the RTC (record on appeal?) a. Mode of appeal: record on appeal b. Basis of appeal: i. Entire record ii. Memoranda and/or briefs as may be submitted by the parties or required by the RTC c. If it is found on appeal that defendant has been deprived of lawful possession pending the appeal by virtue of execution of the MTC judgment: he is entitled to i. Damages for deprivation of possession and ii. Restoration of possession may be allowed in the RTC judgment d. Judgment immediately executory, but may be appealed to the CA and SC. 2. MR 3. Petition for relief? 4. Petition for certiorari?

PAYMENTS
1. How payments to the appellate court are to be made: a. Deposited with said court/authorized government depositary bank, and held there until final disposition of the appeal b. Exc: if the court decrees otherwise, which is allowed when i. The parties agree, or ii. In the absence of reasonable grounds of opposition to a motion to withdraw, or iii. For justifiable reasons. 2. Effect of failure to make these payments: appellate court shall order execution with respect to restoration of possession a. When: upon motion of the plaintiff, and upon proof of such failure b. Effect on appeal: not a bar to an appeal taking its course until final disposition on the merits 3. Disposition of the money paid to stay the execution after RTC decides the case: in accordance with the provisions of judgment of the RTC

PROVISIONAL REMEDIES AVAILABLE DURING APPEAL

1. What may be issued: writ of preliminary mandatory injunction, upon motion of the plaintiff 2. When applied for: within 10 days from perfection of the appeal 3. Purpose: to restore the plaintiff in possession if the court is satisfied that a. The defendants appeal is frivolous/dilatory

PARTITION

1. Who can ask for it: a person with the right to compel the partition of real estate

MALACAANG Manila PRESIDENTIAL DECREE No. 115 January 29, 1973 PROVIDING FOR THE REGULATION OF TRUST RECEIPTS TRANSACTIONS WHEREAS, the utilization of trust receipts, as a convenient business device to assist importers and merchants solve their financing problems, had gained popular acceptance in international and domestic business practices, particularly in commercial banking transactions; WHEREAS, there is no specific law in the Philippines that governs trust receipt transactions, especially the rights and obligations of the parties involved therein and the enforcement of the said rights in case of default or violation of the terms of the trust receipt agreement; WHEREAS, the recommendations contained in the report on the financial system which have been accepted, with certain modifications by the monetary authorities included, among others, the enactment of a law regulating the trust receipt transactions; NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, as Commander-inChief of all the Armed Forces of the Philippines, and pursuant to Proclamation No. 1081, dated September 21, 1972, and General Order No. 1, dated September 22, 1972, as amended, and in order to effect the desired changes and reforms in the social, economic, and political structure of our society, do hereby order and decree and make as part of the law of the land the following: Section 1. Short Title. This Decree shall be known as the Trust Receipts Law. Section 2. Declaration of Policy. It is hereby declared to be the policy of the state (a) to encourage and promote the use of trust receipts as an additional and convenient aid to commerce and trade; (b) to provide for the regulation of trust receipts transactions in order to assure the protection of the rights and enforcement of obligations of the parties involved therein; and (c) to declare the misuse and/or misappropriation of goods or proceeds realized from the sale of goods, documents or instruments released under trust receipts as a criminal offense punishable under Article Three hundred and fifteen of the Revised Penal Code. Section 3. Definition of terms. As used in this Decree, unless the context otherwise requires, the term (a) "Document" shall mean written or printed evidence of title to goods. (b) "Entrustee" shall refer to the person having or taking possession of goods, documents or instruments under a trust receipt transaction, and any successor in interest of

such person for the purpose or purposes specified in the trust receipt agreement. (c) "Entruster" shall refer to the person holding title over the goods, documents, or instruments subject of a trust receipt transaction, and any successor in interest of such person. (d) "Goods" shall include chattels and personal property other than: money, things in action, or things so affixed to land as to become a part thereof. (e) "Instrument" means any negotiable instrument as defined in the Negotiable Instrument Law; any certificate of stock, or bond or debenture for the payment of money issued by a public or private corporation, or any certificate of deposit, participation certificate or receipt, any credit or investment instrument of a sort marketed in the ordinary course of business or finance, whereby the entrustee, after the issuance of the trust receipt, appears by virtue of possession and the face of the instrument to be the owner. "Instrument" shall not include a document as defined in this Decree. (f) "Purchase" means taking by sale, conditional sale, lease, mortgage, or pledge, legal or equitable. (g) "Purchaser" means any person taking by purchase. (h) "Security Interest" means a property interest in goods, documents or instruments to secure performance of some obligations of the entrustee or of some third persons to the entruster and includes title, whether or not expressed to be absolute, whenever such title is in substance taken or retained for security only. (i) "Person" means, as the case may be, an individual, trustee, receiver, or other fiduciary, partnership, corporation, business trust or other association, and two more persons having a joint or common interest. (j) "Trust Receipt" shall refer to the written or printed document signed by the entrustee in favor of the entruster containing terms and conditions substantially complying with the provisions of this Decree. No further formality of execution or authentication shall be necessary to the validity of a trust receipt. (k) "Value" means any consideration sufficient to support a simple contract. Section 4. What constitutes a trust receipt transaction. A trust receipt transaction, within the meaning of this Decree, is any transaction by and between a person referred to in this Decree as the entruster, and another person referred to in this Decree as entrustee, whereby the entruster, who owns or holds absolute title or security interests over certain specified goods, documents or instruments, releases the same to the possession of the entrustee upon the latter's execution and delivery to the entruster of a signed document called a "trust receipt" wherein the entrustee binds himself to hold the designated goods, documents or instruments in

trust for the entruster and to sell or otherwise dispose of the goods, documents or instruments with the obligation to turn over to the entruster the proceeds thereof to the extent of the amount owing to the entruster or as appears in the trust receipt or the goods, documents or instruments themselves if they are unsold or not otherwise disposed of, in accordance with the terms and conditions specified in the trust receipt, or for other purposes substantially equivalent to any of the following: 1. In the case of goods or documents, (a) to sell the goods or procure their sale; or (b) to manufacture or process the goods with the purpose of ultimate sale: Provided, That, in the case of goods delivered under trust receipt for the purpose of manufacturing or processing before its ultimate sale, the entruster shall retain its title over the goods whether in its original or processed form until the entrustee has complied fully with his obligation under the trust receipt; or (c) to load, unload, ship or tranship or otherwise deal with them in a manner preliminary or necessary to their sale; or 2. In the case of instruments, a) to sell or procure their sale or exchange; or b) to deliver them to a principal; or c) to effect the consummation of some transactions involving delivery to a depository or register; or d) to effect their presentation, collection or renewal The sale of goods, documents or instruments by a person in the business of selling goods, documents or instruments for profit who, at the outset of the transaction, has, as against the buyer, general property rights in such goods, documents or instruments, or who sells the same to the buyer on credit, retaining title or other interest as security for the payment of the purchase price, does not constitute a trust receipt transaction and is outside the purview and coverage of this Decree. Section 5. Form of trust receipts; contents. A trust receipt need not be in any particular form, but every such receipt must substantially contain (a) a description of the goods, documents or instruments subject of the trust receipt; (2) the total invoice value of the goods and the amount of the draft to be paid by the entrustee; (3) an undertaking or a commitment of the entrustee (a) to hold in trust for the entruster the goods, documents or instruments therein described; (b) to dispose of them in the manner provided for in the trust receipt; and (c) to turn over the proceeds of the sale of the goods, documents or instruments to the entruster to the extent of the amount owing to the entruster or as appears in the trust receipt or to return the goods, documents or instruments in the event of their non-sale within the period specified therein. The trust receipt may contain other terms and conditions agreed upon by the parties in addition to those

hereinabove enumerated provided that such terms and conditions shall not be contrary to the provisions of this Decree, any existing laws, public policy or morals, public order or good customs. Section 6. Currency in which a trust receipt may be denominated. A trust receipt may be denominated in the Philippine currency or any foreign currency acceptable and eligible as part of international reserves of the Philippines, the provisions of existing law, executive orders, rules and regulations to the contrary notwithstanding: Provided, however, That in the case of trust receipts denominated in foreign currency, payment shall be made in its equivalent in Philippine currency computed at the prevailing exchange rate on the date the proceeds of sale of the goods, documents or instruments held in trust by the entrustee are turned over to the entruster or on such other date as may be stipulated in the trust receipt or other agreements executed between the entruster and the entrustee. Section 7. Rights of the entruster. The entruster shall be entitled to the proceeds from the sale of the goods, documents or instruments released under a trust receipt to the entrustee to the extent of the amount owing to the entruster or as appears in the trust receipt, or to the return of the goods, documents or instruments in case of non-sale, and to the enforcement of all other rights conferred on him in the trust receipt provided such are not contrary to the provisions of this Decree. The entruster may cancel the trust and take possession of the goods, documents or instruments subject of the trust or of the proceeds realized therefrom at any time upon default or failure of the entrustee to comply with any of the terms and conditions of the trust receipt or any other agreement between the entruster and the entrustee, and the entruster in possession of the goods, documents or instruments may, on or after default, give notice to the entrustee of the intention to sell, and may, not less than five days after serving or sending of such notice, sell the goods, documents or instruments at public or private sale, and the entruster may, at a public sale, become a purchaser. The proceeds of any such sale, whether public or private, shall be applied (a) to the payment of the expenses thereof; (b) to the payment of the expenses of re-taking, keeping and storing the goods, documents or instruments; (c) to the satisfaction of the entrustee's indebtedness to the entruster. The entrustee shall receive any surplus but shall be liable to the entruster for any deficiency. Notice of sale shall be deemed sufficiently given if in writing, and either personally served on the entrustee or sent by post-paid ordinary mail to the entrustee's last known business address. Section 8. Entruster not responsible on sale by entrustee. The entruster holding a security interest shall not, merely by virtue of such interest or having given the entrustee liberty of sale or other disposition of the goods, documents or instruments under the terms of the trust receipt transaction be responsible as principal or as

vendor under any sale or contract to sell made by the entrustee. Section 9. Obligations of the entrustee. The entrustee shall (1) hold the goods, documents or instruments in trust for the entruster and shall dispose of them strictly in accordance with the terms and conditions of the trust receipt; (2) receive the proceeds in trust for the entruster and turn over the same to the entruster to the extent of the amount owing to the entruster or as appears on the trust receipt; (3) insure the goods for their total value against loss from fire, theft, pilferage or other casualties; (4) keep said goods or proceeds thereof whether in money or whatever form, separate and capable of identification as property of the entruster; (5) return the goods, documents or instruments in the event of nonsale or upon demand of the entruster; and (6) observe all other terms and conditions of the trust receipt not contrary to the provisions of this Decree. Section 10. Liability of entrustee for loss. The risk of loss shall be borne by the entrustee. Loss of goods, documents or instruments which are the subject of a trust receipt, pending their disposition, irrespective of whether or not it was due to the fault or negligence of the entrustee, shall not extinguish his obligation to the entruster for the value thereof. Section 11. Rights of purchaser for value and in good faith. Any purchaser of goods from an entrustee with right to sell, or of documents or instruments through their customary form of transfer, who buys the goods, documents, or instruments for value and in good faith from the entrustee, acquires said goods, documents or instruments free from the entruster's security interest. Section 12. Validity of entruster's security interest as against creditors. The entruster's security interest in goods, documents, or instruments pursuant to the written terms of a trust receipt shall be valid as against

all creditors of the entrustee for the duration of the trust receipt agreement. Section 13. Penalty clause. The failure of an entrustee to turn over the proceeds of the sale of the goods, documents or instruments covered by a trust receipt to the extent of the amount owing to the entruster or as appears in the trust receipt or to return said goods, documents or instruments if they were not sold or disposed of in accordance with the terms of the trust receipt shall constitute the crime of estafa, punishable under the provisions of Article Three hundred and fifteen, paragraph one (b) of Act Numbered Three thousand eight hundred and fifteen, as amended, otherwise known as the Revised Penal Code. If the violation or offense is committed by a corporation, partnership, association or other juridical entities, the penalty provided for in this Decree shall be imposed upon the directors, officers, employees or other officials or persons therein responsible for the offense, without prejudice to the civil liabilities arising from the criminal offense. Section 14. Cases not covered by this Decree. Cases not provided for in this Decree shall be governed by the applicable provisions of existing laws. Section 15. Separability clause. If any provision or section of this Decree or the application thereof to any person or circumstance is held invalid, the other provisions or sections hereof and the application of such provisions or sections to other persons or circumstances shall not be affected thereby. Section 16. Repealing clause. All Acts inconsistent with this Decree are hereby repealed. Section 17. This Decree shall take effect immediately. Done in the City of Manila, this 29th day of January, in the year of Our Lord, nineteen hundred and seventy-