CREDIT TRANSACTIONS

2-C
First Semester
SY 2013-2014
Laws
1.

Civil Code (R.A. 386 as amended)

1.1
1.2
1.3
1.4.

Loans (Arts. 1933 - 1961)

Deposit (Arts. 1962 - 2009)
Guaranty & Suretyship (Arts. 2047 - 2084)
Pledge, Mortgage & Antichresis (Art. 2236 - 2251)

2.

The Usury Law (Act No. 2655 as amended)

3.

Extrajudicial Foreclosure of Real Estate Mortgages (Act 3135 as amended)

4.

The Chattel Mortgage Law (Act No. 1508)

5.

The General Banking Law of 2000 (Republic Act No. 8791)

6.

Financial Rehabilitation and Insolvency Act of 2010 (Republic Act No. 10142)

Case Outline
LOAN
(Arts. 1933 - 1961)
Art. 1933

People v. Concepcion
De los Santos v. Jarra

44 Phil 126 (1922)

15 Phil 147 (1910)

Art. 1934

Saura Import v. DBP

Naguiat v. CA

44 SCRA 445 (1972)

412 SCRA 591 (2003)

COMMODATUM
(Arts. 1935-1952)
Art. 1935

Republic v. Bagtas
Pajuyo v. CA

6 SCRA 262 (1962)

430 SCRA 492 (2004)

Art. 1936

Producers Bank v. CA

397 SCRA 651 (2003)

Art. 1947

Mina v. Pascual
Quintos v. Beck

25 Phil 540 (1913)

69 Phil 108(1939)

SIMPLE LOAN OR MUTUUM

(Arts. 1953-1961)
Art. 1953

Republic v. Grijaldo
Martinez v. Ramos

122 Phil 1020;

15 SCRA 681 (1965)
28 Phil 589 (1914)

Art. 1956

Tan v. Valdehuez
Jardenil v. Solas
Soncuya v. Azarraga
Royal Shirt v. Co Bon Tic
Arwood Industries v. D.M. Consunji
Overseas Bank v. Cordero
Ramos v. Central Bank
Lirag v. SSS

66 SCRA 61 (1975)
73 Phil 626 (1942)
65 Phil 635 (1938)
94 Phil 994 (1954)
394 SCRA 11 (2002)
113 SCRA 303 (1982)
137 SCRA 685 (1985)
153 SCRA 338 (1987)

Art. 1957

Angel Jose v. Childa Enterprises

23 SCRA 119 (1968)

Art. 1959

Cu-Unjieng v. Mabalacat

54 Phil. 976 (1930)

Art. 1960

Velez v. Balzarra

73 Phil 630 (1942)

USURY LAW
(Act. 2655)
Reformina v. Tomol
Phil. Rabbit Bus Lines v. Cruz
First Metro Investment v. Este del Sol
David v. CA
Investors v. Autoworld
Mendoza v. CA
Solangon v. Salazar
Spouses Pascual v. Ramos
Eastern Shipping v. Court of Appeals
Eastern Assurance v. Court of Appeals
Rodzssen Supply v. Far East
Plantilla v. Baliwag
PNB v. CA
RCBC v. Alfa RTW Manufacturing

139 SCRA 260 (1985)

143 SCRA 158 (1986)
369 SCRA 99 (2000)
316 SCRA 710 (1999)
340 SCRA 735 (2000)
359 SCRA 438 (2001)
360 SCRA 379 (2001)
384 SCRA 105 (2002)
234 SCRA 78 (1994)
322 SCRA 73 (2000)
357 SCRA 618 (2001)
358 SCRA 396 (2001)
263 SCRA 766 (1996)
368 SCRA 611 (2001)

DEPOSIT
(Arts. 1962 - 2009)
Art. 1962

Calibo v. Court of Appeals

350 SCRA 427 (2001)

Art. 1972

Bishop of Jaro v. Dela Pea

26 Phil 144 (1913)

Art. 1975

CA Agro v. Court of Appeals

219 SCRA 426 (1993)

Art. 1979

Palacio v. Sudario

7 Phil 275 (1907)

Art. 1980

Gullas v. PNB
Serrano v. Central Bank

62 Phil 519 (1935)

96 SCRA 96 (1980)

Art. 1988

Aboitiz v. Orquina

39 Phil 926 (1919)

Art. 1998

delos Santos v. Tan Khey

58 O.G. 7693 (1962)

GUARANTY AND SURETYSHIP

(Arts. 2047-2084)
Art. 2047

Machetti v. Hospicio de San Jose

Lirag Textile v. SSS

43 Phil 297 (1922)

153 SCRA 338 (1987)

Art. 2048

Severino v. Severino
Willex v. Court of Appeals

56 Phil 187 (1931)

256 SCRA 478 (1996)

Art. 2050

De Guzman v. Santos

68 Phil 371 (1939)

Art. 2052

Municipality of Gasan v. Marasigan

63 Phil 510 (1956)

Art. 2053

Smith Bell v. PNB

42 Phil 733 (1922)
Wise & Co. v. Kelly
37 Phil 696 (1918)
Rizal Commercial Banking Corp. v. Arro
115 SCRA 777 (1982)

Art. 2055

SOCONY v. Cho Siong

Plaridel v. Galang Machinery
Republic v. Pal-Fox Lumber
Namarco v. Marquez
Vizconde v. IAC

52 Phil 612 (1928)

100 Phil 679 (1957)
43 SCRA 365 (1972)
26 SCRA 722 (1969)
149 SCRA 226 (1987)

Art. 2057

Estate of Hemady v. Luzon Surety

100 Phil 388 (1956)

Art. 2058

Wise & Co. v. Tanglao

Southern Motors v. Barbosa
Saavedra v. Price

63 Phil 372 (1936)

99 Phil 263 (1956)
68 Phil 699 (1939)

Art. 2059

Imperial Insurance v. De Los Angeles 111 SCRA 24 (1982)

Art. 2060

Luzon Steel v. Sia

Arroyo v. Jungsay

Art. 2065

Cacho v. Valles
45 Phil 107 (1932)
Mira Hermanos v. Manila Tobacconists 74 Phil 367 (1943)

Art. 2066

Tuason v. Machuca
PNB v. Luzon Surety

28 SCRA 58 (1969)
34 Phil 589 (1916)

46 Phil 561 (1924)

68 SCRA 207 (1975)

Art. 2079

Radio Corp. of the Phil. v. Roa

Villa v. Garcia Bosque
Hospicio de San Jose v. Fidelity

62 Phil 211 (1935)

49 Phil 126 (1926)
52 Phil 926 (1929)

Art. 2080

PNB v. Manila Surety

14 SCRA 776 (1965)

PROVISIONS COMMON TO PLEDGE AND MORTGAGE

(Arts. 2085 2092)
Art. 2085

Arenas v. Raymundo
19 Phil 46 (1911)
Rural Bank of Caloocan v. CA
104 SCRA 151 (1981)
Cavite Development Bank v. Spouses Lim
324 SCRA 346 (2000)

Art. 2088

Bustamante v. Rosel
Alcantara v. Alinea
Mahoney v. Tuason
Reyes v. de Leon

319 SCRA 413 (1999)

8 Phil 110 (1907)
39 Phil 952 (1919)
20 SCRA 369 (1967)

Art. 2089

PNB v. Agudelo
Central Bank v. CA

58 Phil 655 (1933)

139 SCRA 46 (1985)

Art. 2090

Dayrit v. CA

36 SCRA 548 (1970)

PLEDGE
(Art. 2093-2123)
(Supreme Court Circular 32-2001)
Art. 2093

Yuliongsiu v. PNB

22 SCRA 585 (1968)

Art. 2095

PNB v. Atendido

94 Phil 254 (1954)

Art. 2096

Ocejo Perez v. International Bank

37 Phil 631 (1918)

Art. 2099

Cruz v. Lee

54 Phil 10 (1929)

Art. 2105

Sarmiento v. Javellana

43 Phil 880 (1922)

Art. 2115

Manila Surety v. Velayo

21 SCRA 515 (1967)

REAL MORTGAGE
(Arts. 2124-2131)
(Section 47, General Banking Act of 2000)
(Supreme Court Circulars 99-10-05-0; 07-02)
(Act 3135)
(Rule 68, 1997 Rules of Civil Procedure)
Art. 2124

Dilag v. Heirs of Ressureccion

76 Phil 650 (1946)

Mobil Philippines v. Diocares

29 SCRA 656 (1969)

Art. 2126

McCullough v. Veloso
Santiago v. Dionisio

46 Phil 1 (1924)
92 Phil 495 (1953)

Art. 2127

Phil. Sugar Estate v. Camps

Afable v. Belando
Tady-Y v. PNB
Velasco v. CA

36 Phil 85 (1917)
55 Phil 64 (1930)
12 SCRA 19 (1964)
95 SCRA 616 (1980)

Art. 2128

Lopez v. Alvarez

9 Phil 28 (1907)

Art. 2129

BPI v. Concepcion

53 Phil 806 (1920)

Art. 2130

Litonjua v. L&R Corporation

320 SCRA 405 (1999)

Art. 2131

Lucena v. CA
Cristobal v. CA
Metrobank v. Peafiel
PNB v. Nepomuceno
DBP v. Aguirre
Piano v. Cayanong
Union Bank v. CA
Cometa v. Court of Appeals

313 SCRA 47 (1999)

328 SCRA 256 (2000)
G.R. No. 173976 (27 Feb. 2009)
394 SCRA 405 (2002)
364 SCRA 755 (2001)
7 SCRA 397 (1963)
311 SCRA 795 (1999)
351 SCRA 294 (2001)

ANTICHRESIS
(Arts. 2132-2139)
Art. 2132

Dela Vega v. Ballilos

Barretto v. Barretto
Legazpi & Salcedo v. Celestial

34 Phil 683 (1916)

37 Phil 234 (1917)
66 Phil 372 (1938)

Art. 2135

Pando v. Gimenez

54 Phil 459 (1930)

Art. 2137

Peralta v. Quimpo (CA)

51 O.G. No. 3, p. 1383,

Sept. 2, 1954

Art. 2139

Villanueva v. Ipondo

44 O.G. No. 11, p. 4377,

Sept. 24, 1947

CHATTEL MORTGAGE
(Arts. 2140-2141)
Art. 2140

Aleman v. Catera

Makati Leasing v. Wearever Textiles

1 SCRA 776;
111 Phil 377 (1961)
7 SCRA 250;
117 Phil 262 (1963)
122 SCRA 296 (1983)

Macondray v. Ruiz

66 Phil 562 (1938)

Montano v. Lim

Art. 2141

CONCURRENCE AND PREFERENCE OF CREDITS

(Arts. 2236-2251)
Art. 2237

De Barretto v. Villanueva

1 SCRA 288 (1961),

6 SCRA 928 (1962)

Art. 2241

Sampaguita Pictures v. Jalwindor

Uy v. Zamora

93 SCRA 420 (1979)

13 SCRA 508 (1965)

Art. 2242

Phil. Savings Bank v. Lantin

Manabat v. Laguna Federation

124 SCRA 476 (1983)

19 SCRA 621 (1967)

Art. 2244

PCIB v. National Mines

115 SCRA 873 (1982)

Art. 2245

Central Bank v. Morfe

63 SCRA 114 (1975)

REPUBLIC ACT NO. 10142 Financial Rehabilitation and Insolvency Act of 2010