Development Bank of the Philippines vs CA

GR No, L - 28774
September 21 1982
DEVELOPMENT BANK OF THE PHILIPPINES, petitioner,
vs.
THE COURT OF APPEALS, HON. HERMOGENES CALUAG, JUDGE OF THE COURT OF FIRST
INSTANCE OF RIZAL, and SPOUSES HONESTO G. NICANDRO and ELISA F. NICANDRO,
respondents.
Facts:
There were 159 lots that was bought by DBP from the PHHC with a total of 91,188.30 square meters
located in Diliman Estate Subdivision West Triangle Quezon City.This was on made on Oct 25,
1955. But on October 14, 1958 the Acting General Manager of PHHC approved an order for sale of
lots Nos. 2 and 4 to the spouses Nicandro but only giving them duplicate duplicate copy of the sale.
The Nicandro then sought to register the dupilicate but was denied by local civil registry on the
premise that they do not have the copy of the original. Hence the petition of the Nicandros to
declare the agreement of DBP to PHHC void.
The court then declared the agreement null and void between DBP and PHHC
ISSUE:
Whether or not the legality of the agreement between DBP and PHHC is void
Ruling:
Petition is DENIED. Yes, the agreement between DBP and PHCC is void. The PHHC instead of
ratifying it instead repudiated it by selling it to the Nicandro. It is manifested that bad faith was shown
by selling a land that is already sold