ANSWER WITH COUNTERCLAIM

Defendant, through counsel, answering plaintiff’s complaint,

alleges:

1. That defendant ADMlTS the allegations in paragraphs 4 & 5 of the

complaint;

2. That defendant is without knowledge or information to form

a belief as to the truth of the averments in paragraph 6 & 7 of
complaint.

3. That defendant DENlES the allegations in paragraph 7 of

complaint, to the effect that plaintiff made demands to defendant to
pay the alleged overdue obligations, no such notice of demand
received by defendant.
AFFlRMATlVE DEFENSE

1. That, the defendant borrowed from plaintiff a total amount of

ONE MILLION FIVE-HUNDRED THOUSAND PESOS (Php.
1,500,000.00) on different dates as stated in the complaint in
accordance with the promissory note executed by the defendant on
the said date and secured by a mortgage over a tract of farmland in
Dolores, Eastern Samar and tract of land located in Oras, Eastern
Samar and it was the understanding between the parties that the
deficiency or difference in the assessed value over the loan amount will
be covered by a collection of defendant’s paintings from Italy, thus it
was parted with as full and complete payment of defendant’s obligation
alleged in the complaint.
 2. That, the mortgage sought to be foreclosed had already been
released by plaintiff himself, after defendant had transferred ownership
over the set of painting collections and said release is evidenced by a
document duly signed by plaintiff, copy of which is attached hereto as
Annex “1”, but which has not, as yet, been ratified and registered due to
the failure of plaintiff to produce his residence tax certificate.

COUNTERCLAlM

1. That, in accordance with the contract between the parties, and

upon effecting full payment of the obligation under the contract
of loan by virtue of former recovery, plaintiff was to release
defendant’s tract of lands from the Real Estate Mortgage
executed thereon, and to release the defendant from all claims
arising from the said contract of loan.

2. That, in accordance with a subsequent contract between the

parties, it is the plaintiff who is indebted to the defendant to the

amount of TWENTY THOUSAND PESOS (P20,000.00), by
virtue of a promissory note attached hereto as Annex “2”;

3. That plaintiff had refused, and still refuses, to pay the said amount of
P20,000.00.

PRAYER
WHEREFORE, defendant prays for judgment:

1. Dismissing the complaint with costs against plaintiff; and

2. On the COMPULSORY COUNTERCLAIM, ordering

plaintiff to pay and release defendant’s tract of lands from
the Real Estate Mortgage.
3. On the PERMISSIVE COUNTERCLAIM, ordering plaintiff to

pay the defendant the sum of TWENTY- THOUSAND PESOS

(P20,000), with interest thereon at the legal rate, from 9 th of
December, 2021 until the amount is fully paid.
Borongan City, Philippines, April 15, 2022.

MARA MARI CLARA

Counsel for Defendant Unit 69, XXX Building,
Borongan City E. Samar
IBP No. 98765
PTR No. 987654
Roll No. 98765
MCLE No. l-009876; 11/08/14