Bernal, Patrick Marvin B.

JD4013 Atty. Abrenica

ADMITTED FACTS:

1. That Lee SG Co. is a legal entity based on Singapore Laws

2. That Juan Phils. Inc, is a legal entity based on Philippine Laws
3. That Lee SG Co. and Juan Phils. Inc. entered into a Distribution Agreement in 2007
4. That in October 2007, Lee SG Co. sent USD 300,000 to Juan Phils. Inc for Marketing
Plans
5. That in the first period, everything developed into normal way.
6. That the sales realized in 2006 was USD 360,000 and in 2007 was USD 210,000
7. That the shipment for two Purchase Orders amounted to USD 150,000.
8. That the product involved is ZARAP powdered juice drink.
9. That Lee SG Co. appointed Juan Phils. Inc as the sole and independent distributor in the
Philippines.
10. That the goods arrived in the Philippines on September 5 2007.

STIPULATION OF FACTS:

1. Juan Phils, Inc. requested for another shipment thru email. = DENIED
2. The marketing proposal was made to continue the agreement between Juan Phils, Inc.
and Lee SG Co. = DENIED
3. Because of the loss in income, the defendant asked the removal of ZARAP product
which took two months from the delivery (September 2007 to November 2007). =
DENIED
4. Juan Phils, Inc. shall pay a fixed price for the products shipped. = DENIED
5. Lee SG Co. sent several emails to President Bonifacio of Juan Phils, Inc requesting for
the payment of 2 purchase orders. It was only when Juan Phils Inc received the email that
respondent refused to pay for the 2 purchase orders = NOT STIPULATED
6. That there was a decline in the sale. NOT STIPULATED
7. That Juan Phils did not ask for the marketing support for lee but lee offered the
marketing support. DENIED
8. That Juan is an agent of Lee in the Philippines DENIED
9. That Juan Phils Inc. requested for a signed hard copy purchased order DENIED
10. That Lee requires a stand by letter of credit in favor of them. ADMITTED

Factual issues to be resolved

1. That there is a purchased order no. 123 and 456 that exist.
2. Whether Juan requested for the purchase of the item called ZARAP.

Legal Issues to be presented

1. That Juan is liable to pay for the purchased order 123 & 456.
2. Whether the distribution agreement is a sale contract or an agency contract.