Philippine Supreme Court Jurisprudence


Philippine Supreme Court Jurisprudence > Year 1909 > March 1909 Decisions > G.R. No. 4761 March 2, 1909 - GUTIERREZ HERMANOS v. MARIANO FUENTEBELLA

013 Phil 74:




PHILIPPINE SUPREME COURT DECISIONS

EN BANC

[G.R. No. 4761. March 2, 1909. ]

GUTIERREZ HERMANOS, Plaintiffs-Appellees, v. MARIANO FUENTEBELLA, Defendant-Appellant.

Chicote & Miranda and Ramon Zaldarriaga, for Appellant.

Sierra & Roco, for Appellees.

SYLLABUS


1. SETTLEMENT OF ACCOUNTS; CONSENT THROUGH ERROR; BURDEN OF PROOF. — When a person who has agreed in writing to a settlement of accounts claims that he did so through error, the burden of proof is on him to show such error.

2. ID.; BALANCE DUE ON ACCOUNT-CURRENT NOT A LOAN. — The balance which results from a settlement of an account-current, between a commercial house in Manila and a dealer in the provinces, does not constitute a mercantile loan.

3. ID.; INTEREST ON BALANCE DUE. — The balance due on such a current account, in the absence of agreement, bears interest only from the date of a demand for its payment.


D E C I S I O N


WILLARD, J. :


On the 26th day of August, 1903, the defendant signed the following document, which at the trial in the court below was marked Exhibit A:jgc:chanrobles.com.ph

"All my accounts with the late Don Tomas R. Perez having been settled this day, I declare that I am indebted for the balance of $22,509.03, Mexican currency, resulting therefrom, which sum I bind myself to pay to his widow Dona Concepcion Valero, and all the receipts and vales dated prior to this are hereby annulled by both parties, the account of the business at Goa carried on by Don Simon Perfecto being the only one which remains unsettled.

"Lagonoy, August 26, 1903.

(Signed) "MARIANO FUENTEBELLA.

" $22,509.03.

"Note. — Signed in duplicate, one copy retained by each."cralaw virtua1aw library

When the plaintiffs as assignees of Dona Concepcion Valero brought this action against the amount mentioned in Exhibit A, he claimed that, in the settlement of the accounts as a result of which Exhibit A was signed, two mistakes had been committed against him.

He claimed that on the 12th and 23d of October, 1902, he had delivered hemp of the value of 5,424.30 pesos, which amount, as he said, had not been credited to him at the time when he signed Exhibit A and never has been credited to him. He himself produced at the trial a statement of account which was marked Exhibit 1, delivered to him by the agent of Dona Concepcion Valero some days before Exhibit A was signed and which formed the basis of the settlement. In the last item in this statement the defendant is credited with two deliveries of hemp on the 12th ad 23d of October of the value of 5,424.30 pesos. This entry shows that he was, in fact, given credit for this hemp at the time of the settlement and effectually disposes of his claim to the contrary.

The other mistake relates to a delivery of hemp on the 20th of November, 1901, of the value of 1,612.20 pesos. He says that he never was given credit for this amount. In Exhibit 1 there is an item crediting him with this amount, but later on in the same exhibit the same amount is charged to him, so that when Exhibit 1 was delivered to the defendant for his examination it did not appear that he had, in fact, been credited with this delivery. The doubt entry of this amount upon Exhibit 1 is explained by the witnesses for the plaintiffs who testified that this particular hemp was delivered by one Miguel Estela; that it was credited to the defendant because it was at first thought that it was his hemp, and that it was afterwards charged back to him on the theory that it was the hemp of Estela.

According to the defendant’s own testimony, he had Exhibit 1 in his possession for several days. He testified that he and the agent of the creditor spent several days in examining the accounts; that he, the defendant, kept books of account and kept books which showed the amount of hemp which he had delivered to Perez; and that he examined these books of his during the process of the settlement. After this examination he presented to the creditors’ agent a list of his objections to the account. The balance against him, as shown by Exhibit 1 as it originally was, amounted to 28,687.65 pesos. He claimed that, by reason of mistakes and errors in the account, it should be reduced by 6,178.62 pesos. The agent of the creditor allowed his entire claim in this respect, subtracted this sum from the original amount, 28,687.65 pesos, and the account was liquidated at the difference, namely, 22,509.03 pesos, which is the exact amount contained in Exhibit A. The plaintiffs’ witnesses testified that the claim as presented in the complaint was taken from the books kept by the creditor and was correct according to those books. The books themselves the plaintiffs produced in court and offered to the defendant for his examination. The defendant testifying as a witness, admitted that he was allowed a reduction of 6,178.62 pesos, but did not undertake to say how that amount was made up. We have no doubt that in it was included this sum of 1,612.20 pesos.

The defendant having signed Exhibit A, is bound by it unless at least he shows affirmatively that there was some mistake or error in the settlement. The burden of proof was on him to show such mistake or error, and, if this amount of 1,612.20 pesos was not included in the 6,178.62 pesos it was his duty to show it as he easily could have done. He testified that he himself kept books of account, but he did not offer them in evidence at the trial. Having before him when he signed Exhibit A his own books, showing the amount of hemp he had delivered, in which book the amount represented by this 1,612.20 pesos must have appeared, it is impossible to believe that he did not then make a claim for an allowance on account of that delivery.

It will have been observed that in Exhibit A it is stated that all the accounts pending between the parties had been arranged, except that relating to the business at Goa in charge of Don Simon Perfecto. On the 29th of August, 1903, the following document was signed by Simon Perfecto:jgc:chanrobles.com.ph

"The accounts of the business at Goa which I represent on account and by order of Don Mariano Fuentebella, having been this day settled with Don Tomas R. Perez, I hereby acknowledge the correctness of the balance of 7,434.95 pesos resulting against my account in the business, the sum of $647.03 as the purchase commission on 647.03 piculs of hemp only remaining unpaid; which sum shall be paid to Don Mariano Fuentebella as per contract.

"San Jose, Lagonoy, August 29, 1903.

(Signed) "SIMON PERFECTO."cralaw virtua1aw library

The plaintiffs included this amount in their complaint in this action and claimed that the defendant was responsible therefor. He denies such responsibility, alleging that he had nothing to do with the business of Perfecto at Goa except to ask the creditor at one time to deliver to Perfecto 2,000 pesos. The court found against the defendant upon this point and the evidence is entirely in favor of such finding. In the first place Exhibit A itself is a strong indication that the business at Goa belonged to the defendant. The agent of the creditor testified that the defendant told him, the agent, to settle the account with Perfecto, and that he, Perfecto, was authorized to make the settlement. The defendant himself testified that Perfecto was his purchaser at Goa and was in charge of the business there; that he, the defendant, had authorized him to buy hemp, giving him one-half of the commission which he received from the creditor; and that the creditor knew that Perfecto was the agent or purchaser of the defendant at Goa.

The business between the parties was entirely closed on the 20th of June, 1904. This action was commenced on the 22nd of June, 1906. The defendant claims that the balance which appeared against him on the 20th of June, 1904, constituted a mercantile loan made by the creditor to him and that, in accordance with the provisions of the Code of Commerce, no action could be maintained upon it until a notarial demand for its payment had been made by the creditor, and no such demand having been made, the action was prematurely brought. The account between the parties was an ordinary current account between a commercial house in Manila and a dealer in the provinces and embraces a great variety of transactions. It is apparent that the balance which results from the settlement of such a current account can in o sense be called a mercantile loan. (Gutierrez Hermanos v. De la Riva, 7 Off. Gaz., 215. (1))

The court below allowed the plaintiffs interest from the 20th of June, 1904. We think that in this respect the court erred and that the plaintiffs are entitled to interest only from the time of the presentation of their complaint. There was no agreement as to interest. The transaction did not constitute a mercantile loan so as to fall within the provisions of article 316 of the Code of Commerce relating to interest. Nor can the balance due on a current account be said to be due for the sale of merchandise, so as to bring the case within article 341 of the same code. It rather falls under articles 1108 and 1100 of the Civil Code. No demand for payment having been made before the bringing of this suit, interest can be allowed only from the presentation of the complaint.

The judgment of the court below is modified by providing for interest only from the 22nd day of June, 1906. In all other respects it is affirmed, with the costs of this instance against the Appellant.

Arellano, C.J., Torres, Mapa, Johnson and Carson, JJ., concur.

Endnotes:



1. 12 Phil. Rep., 458.




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March-1909 Jurisprudence                 

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  • G.R. No. 4978 March 1, 1909 - UNITED STATES v. MELECIO MABILING

    013 Phil 70

  • G.R. No. 4761 March 2, 1909 - GUTIERREZ HERMANOS v. MARIANO FUENTEBELLA

    013 Phil 74

  • G.R. No. 4874 March 2, 1909 - MARIANO VELOSO v. ANICETA FONTANOSA

    013 Phil 79

  • G.R. No. 4899 March 2, 1909 - JUANA DIZON v. EDMUNDO ULLMANN

    013 Phil 88

  • G.R. No. 4443 March 4, 1909 - CHO CHUNG LUNG v. FIGUERAS HERMANOS

    013 Phil 93

  • G.R. No. 4929 March 5, 1909 - JUAN BUENCAMINO v. NICASIA VICEO

    013 Phil 97

  • G.R. No. 4979 March 5, 1909 - UNITED STATES v. VICTOR ABLANA

    013 Phil 103

  • G.R. No. 3545 March 6, 1909 - REGINO ARISTON v. MANUEL CEA, ET AL.

    013 Phil 109

  • G.R. No. 3805 March 6, 1909 - ALBINO SARMIENTO v. IGNACIO VILLAMOR

    013 Phil 112

  • G.R. No. 4202 March 9, 1909 - MAMERTO GILLESANIA, ET AL. v. NICOLAS MENASALVAS, ET AL.

    013 Phil 116

  • G.R. No. 4714 March 9, 1909 - UNITED STATES v. EUSEBIO BURIAS, ET AL.

    013 Phil 118

  • G.R. No. 5099 March 9, 1909 - ANGEL ORTIZ v. GRANT TRENT

    013 Phil 130

  • G.R. No. 5144 March 9, 1909 - BEHN, MEYER & CO., LTD. v. COURT OF FIRST INSTANCE OF MANILA, ET AL.

    013 Phil 133

  • G.R. No. 4119 March 11, 1909 - EUGENIA PAGALARAN v. VALENTIN BALLATAN, ET AL.

    013 Phil 135

  • G.R. No. 5000 March 11, 1909 - UNITED STATES v. VICTOR SANTO NIÑO

    013 Phil 141

  • G.R. No. 5007 March 11, 1909 - SONG FO & CO. v. TIU CA SONG

    013 Phil 143

  • G.R. No. 5013 March 11, 1909 - JEREMIAH J. HARTY v. MUNICIPALITY OF VICTORIA

    013 Phil 152

  • G.R. No. 5200 March 11, 1909 - VICENTE BANDOY v. JUDGE OF THE COURT OF FIRST INSTANCE

    013 Phil 157

  • G.R. No. 3894 March 12, 1909 - JUAN IBAÑEZ DE ALCOA v. INSULAR GOVERNMENT

    013 Phil 159

  • G.R. No. 4555 March 12, 1909 - SEVERO HERNANDO v. SEVERO SAMBRANO

    013 Phil 175

  • G.R. No. 4962 March 12, 1909 - UNITED STATES v. VICENTE AGBAYANI

    013 Phil 178

  • G.R. No. 5030 March 12, 1909 - JUAN M. MANZANO v. JOSE TAN SUNCO

    013 Phil 183

  • G.R. No. 4802 March 13, 1909 - ANDRES PUIG, ET AL. v. ANTONIO MERCADO

    013 Phil 186

  • G.R. No. 4776 March 18, 1909 - MANUEL ORMACHEA TIN-CONGCO v. SANTIAGO TRILLANA

    013 Phil 194

  • G.R. No. 5002 March 18, 1909 - MARTIN BELEN, ET AL. v. ALEJO BELEN

    013 Phil 202

  • G.R. No. 3678 March 19, 1909 - CELESTINA SANTOS, ET AL. v. JUANA MARQUEZ, ET AL.

    013 Phil 207

  • G.R. No. 4898 March 19, 1909 - SALVADOR GUERRERO v. LEOPOLDO TERAN

    013 Phil 212

  • G.R. No. 4114 March 20, 1909 - JUAN BRUSAS v. EUTIQUIO INFANTE

    013 Phil 217

  • G.R. No. 4861 March 20, 1909 - F. W. PRISING v. MILTON E. SPRINGER

    013 Phil 223

  • G.R. No. 2935 March 23, 1909 - GOVERNMENT OF THE PHIL. v. GEORGE I. FRANK

    013 Phil 236

  • G.R. No. 3643 March 23, 1909 - AMBROSIA POSTIGO v. DOLORES BORJAL

    013 Phil 240

  • G.R. No. 3683 March 23, 1909 - MARIANO PERFECTO v. MUNICIPALITY OF GUINOBATAN

    013 Phil 245

  • G.R. No. 4275 March 23, 1909 - PAULA CONDE v. ROMAN ABAYA

    013 Phil 249

  • G.R. No. 4610 March 23, 1909 - AGUSTIN GA. GAVIERES v. FLORA BROTO

    013 Phil 266

  • G.R. No. 4891 March 23, 1909 - SOFIA DEVESA v. CRISPIN ARBES

    013 Phil 273

  • G.R. No. 5045 March 23, 1909 - GUILLERMO BOWLER v. PASTRO ALCAZAR

    013 Phil 282

  • G.R. No. 4796 March 25, 1909 - UNITED STATES v. SILVERIO PEREZ, ET AL.

    013 Phil 287

  • G.R. No. 4912 March 25, 1909 - UNITED STATES v. EMILIA GUY-SAYCO

    013 Phil 292

  • G.R. No. 5008 March 25, 1909 - IN RE: MANUELA AMANCIO TOMAS, ET AL. v. JORGE PARDO

    013 Phil 297

  • G.R. No. 3413 March 27, 1909 - POMPOSA BONJOC, ET AL. v. CANDELARIO CUISON

    013 Phil 301

  • G.R. No. 3876 March 27, 1909 - RUFINA YATCO v. JESUALDO GANA

    013 Phil 305

  • G.R. No. 4053 March 27, 1909 - IN RE: SERAFIN CANO URQUISA

    013 Phil 315

  • G.R. No. 4575 March 27, 1909 - TEODORICA ENDENCIA CUSAR v. INSULAR GOVERNMENT

    013 Phil 319

  • G.R. No. 4783 March 27, 1909 - LUCIO J. BUZON v. INSULAR GOVERNMENT, ET AL.

    013 Phil 324

  • G.R. No. 4799 March 27, 1909 - AGRIPINO SEGOVIA v. PROVINCIAL BOARD OF ALBAY, ET AL.

    013 Phil 331

  • G.R. No. 4825 March 27, 1909 - UNITED STATES v. BERNARDO SANCHEZ

    013 Phil 337

  • G.R. No. 4882 March 27, 1909 - RUPERTO MONTINOLA v. LUCRECIO HOFILENA, ET AL.

    013 Phil 339

  • G.R. No. 4937 March 27, 1909 - CRISPULO SIDECO v. FRANCISCO PASCUA

    013 Phil 342

  • G.R. No. 4946 March 27, 1909 - MANILA RAILROAD COMPANY v. MARIA DEL CARMEN RODRIGUEZ, ET AL.

    013 Phil 347

  • G.R. No. 4966 March 27, 1909 - LUCIO BUZON v. MAXIMO LICAUCAO, ET AL.

    013 Phil 354

  • G.R. No. 5074 March 27, 1909 - VICENTA FRANCO v. C. W. O’BRIEN

    013 Phil 359

  • G.R. No. 4192 March 29, 1909 - DAVID SALVACION v. EUSTAQUIO SALVACION

    013 Phil 366

  • G.R. No. 4559 March 29, 1909 - TOMAS S. GUISON v. INSULAR GOVERNMENT

    013 Phil 374

  • G.R. No. 4952 March 29, 1909 - TOMAS OLINO v. MARIANO MEDINA

    013 Phil 379

  • G.R. No. 4329 March 30, 1909 - UNITED STATES v. EPIFANIO MAGCOMOT, ET AL.

    013 Phil 386

  • G.R. No. 4226 March 31, 1909 - LA COMPANIA GENERAL DE TABACOS DE FILIPINAS v. CANDIDA OBED, ET AL.

    013 Phil 391

  • G.R. No. 4380 March 31, 1909 - UNITED STATES v. ESTANISLAO ANABAN, ET AL.

    013 Phil 398

  • G.R. No. 4462 March 31, 1909 - UNITED STATES v. AGRIPINO ZABALLERO, ET AL.

    013 Phil 405

  • G.R. No. 4705 March 31, 1909 - UNITED STATES v. ANTONINA LAMPANO, ET AL.

    013 Phil 409

  • G.R. No. 4885 March 31, 1909 - UNITED STATES v. VIDAL ROLDAN

    013 Phil 415

  • G.R. No. 4894 March 31, 1909 - GEO WHALEN v. PASIG IRON WORKS

    013 Phil 417

  • G.R. No. 4911 March 31, 1909 - UNITED STATES v. AGUSTIN CONCEPCION, ET AL.

    013 Phil 424