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Republic of the Philippines

Office of the President

National Capital Region
NHA Compound, Kalyaan Avenue
Diliman, Quezon City
Juan Dela Cruz

HLURB Case NO. _______

New San Jose Builders

New San Jose Builders
Third- Party Complainant
-versusGovernment Service Insurance System
Third-Party Defenedant


Respondent NEW SAN JOSE BUILDERS , INC. (NSJBI) by counsel respectfully
1. Respondent NSJBI admits the allegation contained in the following paragraphs
of the Complaint:
a. Paragraphs 1 and 2, insofar as the personal circumstance of the
b. Paragraphs 3,4,5,6,7 are admitted
Specific Denials
2. For reason/facts stated in its Affirmative Allegation/Defenses herein below
and/or lack of information sufficient t form a belief as to its truth or falsity,
respondent NSJBI specifically denies the allegations in the following
paragraphs of the Complaint:

a. Paragraph 6, insofar as it is made to appear that complainant was

required to sign a pro-forma MOA relative to the purchase price of the
condominium unit.
b. Paragraph 7, insofar as it is made to appear that pursuant to the above
mentioned MOA complainants religiously complied with their obligation
and in fact had fully paid the purchase price including the interest of
the above mentioned condominium unit as early as November 1999.
c. Paragraph 8, insofar as it is to appear that despite full payment of the
purchase price including the interest by the complainant and their
repeated demands from the respondent, the latter failed and refused
its obligation as provided in the Memorandum of Agreement.
d. Paragraph 9, insofar as it is to appear that the response of the
complainants request to the GSIS as the owner of the subject
condominium unit but again respondent failed and refused to comply
with its obligation.
e. Paragraph 11, insofar as it is alleged that the respondent committed
acts or omissions which in violation of the mutual covenants,
agreement and stipulations provided in the Memorandum of
Agreement executed by the parties.
3. Respondents re-pleads by reference the foregoing admissions and denials
and by way of Affirmative Allegation further avers that:
a. Respondent NEW SAN JOSE BUILDERS, INC. (NSJBI) is a corporation
organized and existing under the Philippine laws with principal address
at 234 ASD St. Quezon City.
b. Sometime in 1992 respondent NSJBI and GSIS entered into a Project
Agreement whereby NSJBI undertook to develop the property of GSIS
consisting of of several parcels of land. Located in Pureza St. Sta Mesa
c. NSBI undertook to construct and develop the said property in a turnkey
basis of fifty (50) 4-storey walk up condominium with 3,400 units.
d. The GSIS was to underwrite the financing needs of the buyers and the
acquisition of completed units.
e. The proceeds of the sale was supposed to be divide by the between
NSJBI and GSIS according to the agreed portion.
Sometime in 1997 respondent NSJBI entered into a loan agreement
with the GSIS wherein the latter extended Php 1,000,000.00
g. The loan was secured by several properties then being developed by
respondent NSJBI including the right on the improvements of a
property already owned by the GSIS.
h. The proceeds were used to finance new projects and for the completion
of the development of some of the properties offered as collateral.
4. Respondents NSJBI hereby re-pleads, by reference the foregoing , and by way
of special and affirmative defenses, further avers.

a. Complainant has no cause of action against the defendants NSJBI and

the complaint states none.
i. Complainant admits that GSIS is the owner of the GSIS METRO
ii. In the aforementioned Deed of Absolute Sale , it is clearly
stipulated that NSJBI has assigned all its rights , interest, and
participation over the subject condominium unit to GSIS.
iii. Since the title of the subject property is in the name and
possession of GSIS, respondent NSJBI obviously will not be able
to comply with the request of the complainants to release them
the aforementioned condominium certificate of title over the
subject property.
iv. As aforementioned right after the payments by the complainants
of the subject condominium units purchase price and prior to
the filing of the instant complaint, respondent NSJBI had already
requested for the release of the titles from GSIS because it is
already willing and ready to remit the share of the GSIS in the
proceeds of the sale of the condominium unit and the
corresponding mortgage value of its right in the aforementioned
Deed of Absolute Sale in favor of the complainant.
v. GSIS up to date had not yet acted on the respondents request
for the release of the title and for the signing of the Deed of
Absolute Sale.
5. Respondent NSJBI re-pleads by refence , the foregoing aegations and by way
of counterclaim, further avers:
a. As a result of the malicious filing of the present Complaint,
notwithstanding that complaint know that he has no cause of action,
respondent NSJBIs reputation is besmirched entitling it to moral
damages in the conservative sum of Php 250,000.
b. To serve as an example for the public good and to deter other from
instituting plainly unmeritorious complaints. Complaints should be
assessed exemplary damages of at least Php 250,000.
c. To defend itself from the baseless suit, respondent NSJBI is constrained
to engage the services of the counsel for the agreed fee of Php
100,000 which the plaintiff should reimburse to the respondent NSJBI.
6. Respondent NSJBI re-pleads, by reference , the foregoing allegations and by
way of Third-Party Complaint against Third-Party Defendant GSIS, further
a. Third party defendant GSIS is a government owned and controlled
corporation with principal office at the GSIS Building Roxas, Boulevard
Pasay City.

b. The defendant GSIS is the owner of the condominium unit subject of

this complaint and has the title thereto being sought by the complaint.
c. While it holds the mortgage on the interest of the respondent NSJBI
over the subject condominium unit it has given its consent to the sale
of the subject unit by NSJBI to the payment of NSJBIs mortgage
obligation proportioned unit.
d. Respondent NSJBI is ready and willing to pay respondent GSIS the
mortgage debt corresponding to the subject unit but it stubbornly
refuses to release the titles to the subject property.
e. Moreover, NSJBI has already executed the corresponding Deed of
Absolute Sale over the property, yet GSIS refused to sign the same.
f. Consequently in the event the remote possibility that defendant NSJBI
is held liable for any claim of Complainant, respondent GSIS should be
held liable for the same.
WHEREFORE, it is respectfully prayed that judgment be rendered dismissing
the complaint for failure to comply with the rules against forum shopping and/or
utter lack of merit and:
1. Dismissing the instant complaint for utter lack of merit against respondent
2. On its counterclaim , that complainant be ordered to pay NSJBI the following
a. Php 250,000 as moral damages
b. Php 250,000 as exemplary damages
c. Php 100,000 as attorneys fees
d. Cost of suit
3. In the remote possibility respondent NSJBI is held liable for any amount to
complainants, respondent GSIS be ordered to reimburse for the same.
Respondent NSJBI prays for such other relief and remedies as are just and equitable
under the premises.
Quezon City March 25, 2010.
Counsel for the Defendant
123 GHJ St. Quezon City
Roll No. 12345
PTR No. 12345 June 25, 1999, Quezon City
IBP No. 12345 June 25, 1999 Quezon City
Copy Furnished:
Atty. Juan Castillo
Counsel for the Complainant
123 FGH St. Quezon City

Due to lack of available messengerial staff during the material time copy of
the foregoing pleading will be served upon the addressee by registered mail as
shown by a registry receipt hereto attached