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PAT Ch1 - Litonjua V Fernandez

The document discusses the legal doctrine regarding agency and an important related ruling. Specifically, it states that for an agent to validly enter into a contract to sell property on behalf of the owners, there must be written proof of the agent's authority. The document then summarizes a case where buyers alleged they had an agreement with an assumed agent to purchase property, but there was no documentary evidence that the owners authorized the agent to sell. The court ruled there was no perfected contract of sale since the nature and extent of the agent's authority was not established in writing.

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Althea M. Suerte
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99 views1 page

PAT Ch1 - Litonjua V Fernandez

The document discusses the legal doctrine regarding agency and an important related ruling. Specifically, it states that for an agent to validly enter into a contract to sell property on behalf of the owners, there must be written proof of the agent's authority. The document then summarizes a case where buyers alleged they had an agreement with an assumed agent to purchase property, but there was no documentary evidence that the owners authorized the agent to sell. The court ruled there was no perfected contract of sale since the nature and extent of the agent's authority was not established in writing.

Uploaded by

Althea M. Suerte
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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III. KINDS OF AGENCY CASE 2 OF 1.

THERE IS NO DOCUMENTARY EVIDENCE ON RECORD THAT


3 RESPONDENTS-OWNERS SPECIFICALLY AUTHORIZED FERNANDEZ TO
LITONJUA vs. FERNANDEZ April 14, 2004 SELL THEIR PROPERTIES TO ANOTHER :. VOID
G.R. No. 148116 J. Callejo, Sr. a. SPECIAL POWER OF ATTORNEY IS NECESSARY TO ENTER INTO ANY
CONTRACT BY WHICH THE OWNERSHIP OF AN IMMOVEABLE IS
DOCTRINE: TRANSMITTED OR ACQUIRED EITHER:
Persons dealing with an ASSUMED AGENT are bound at their peril and they would hold the i. Gratuitously, or
principal liable, need to ascertain not only the fact of agency but also the nature and extent of ii. For a valuable consideration, or
authority. iii. To create or convey real rights over immoveable property, or
iv. For any other act of strict dominion
IMPORTANT RULING RELATED TO THE PROVISION/DOCTRINE: b. Declaration alone of agent generally insufficient to establish the fact or
Need written proof that authority was given, otherwise cannot assume agent extent of authority (only evidence was testimony of petitioner LITONJUA)
c. Persons dealing with an ASSUMED AGENT are bound at their peril
i. If they would hold the principal liable, need to ascertain not only
FACTS: the fact of agency but also the nature and extent of authority
1. MRS LOURDES ALIMARIO + AGAPITO FISICO = brokers who sold land
2. ANTONIO LITONJUA + AURELIO LITONJUA JR = petitioners/buyers
a. Given locator plan and copies of title showing that owners of property were
represented by MARY FERNANDEZ + GREGORIO ELEOSIDA
b. Brokers told petitioners that they were authorized by respondent Fernandez
to offer the property for sale
3. Petitioners met with respondent Fernandez and 2 brokers and agreed that the
petitioners would buy the property for the price of P150/m 2 with the owners
shouldering the capital gains tax, transfer tax, and the expenses for the
documentation.
a. Fernandez would also present a special power of attorney by the owners of
the property, authorizing her to sell the property for and in their behalf
4. Only AGAPITO FISICO attended the meeting and informed the buyers that
Fernandez was encountering problems with the tenants and was trying to work out a
settlement
a. After failed attempt at demanding finalization of transaction, buyers sent
another letter asking that the Deed of Absolute Sale be executed in
accordance with their verbal agreement and for the turnover of the
properties to them within 15 days from receipt of the letter.
b. Fernandez clarified that she did not agree to shoulder registration fees and
other misc expenses; did not agree to meet on Dec 8 to sign the Deed of
Absolute Sale and that it was actually the buyers (LITONJUAs) who said
they would prepare a Contract to Sell to give on the first week of December
but that there was no assurance that respondents would be back that week
i. Also changed his mind and decided the sale will no longer push
through due to said “alleged tenant” problems
5. Complaint for specific performance + damages filed against Fernandez and the
owners

ISSUES: W/N there was a perfected contract of sale [NO]

RULING:

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