Goyanko vs. UCPB (g.

r no 179096) Feb 6, 2013

FACTS:
In 1995, the late Joseph Goyanko Sr. invested 2 million pesoseosess with Philippine Asia
Lending investors Inc. (PALII). After his death, represented by his son, Goyanko Jr., filed a claim
over his estate and at the same time Sr.’s illegitimate family filed a claim as well, over the
investment to PALII. Due to the proceedings, PALII, deposited the proceeds with UCPB under the
name Phil Asia: ATF (in trust for) the heirs of the late investor. Thereafter, UCPB allowed PALII
to withdraw P1.5M under that account. When the heirs were about to claim the proceeds of the
investment, UCPB refused to restore the amount to the petitioner. On litigation, the trial court
disregarded the statement (ITF) to charge UCPB with any trust relationship with PALII and the
decedent’s heirs.
On appeal, despite the arguments of the petitioners that a trust was created, the appellate
court found against the heirs. In their argument, the CA’s iteration was that the transaction was a
mere deposit between UCPB and PALII. The ITF addition has no effect.

ISSUE:
WON a trust agreement occurred?
HELD:
No. in order for a trust to come into being, Article 1444 of the CC must be satisfied. From
the facts at hand, the high court found insufficiency. In fine, the following elements must exist:

1. a competent trustor and trustee;

2. an ascertainable trust res; and
3. sufficiently certain beneficiaries.
The lack of one is fatal to the existence of a trust. Furthermore, there must be a present and
complete disposition of the trust property, notwithstanding that the enjoyment in the beneficiary
will take place in the future. It is essential, too, that the purpose be an active one to prevent trust
from being executed into a legal estate or interest, and one that is not in contravention of some
prohibition of statute or rule of public policy. There must also be some power of administration
other than a mere duty to perform a contract although the contract is for a third party beneficiary.
A declaration of terms is essential, and these must be stated with reasonable certainty in order that
the trustee may administer, and that the court, if called upon so to do, may enforce, the trust.