Philippine Supreme Court Jurisprudence


Philippine Supreme Court Jurisprudence > Year 1909 > March 1909 Decisions > G.R. No. 5045 March 23, 1909 - GUILLERMO BOWLER v. PASTRO ALCAZAR

013 Phil 282:




PHILIPPINE SUPREME COURT DECISIONS

EN BANC

[G.R. No. 5045. March 23, 1909. ]

GUILLERMO BOWLER, Plaintiff-Appellee, v. PASTRO ALCAZAR, administrator of the estate of MATEA ALVAREZ Y RUBIO, Defendant-Appellant.

Mariano Escueta, for Appellant.

C.W. Ney, for Appellee.

SYLLABUS


1. PROMISSORY NOTE: AGREEMENT TO PAY INTEREST AFTER MATURITY. — The inclusion, in the amount fort which a promissory note is given, of interest in advance of the maturity of the note, is not of itself sufficient evidence to prove an agreement to pay interest after maturity.

2. ID.; ID.; ALLOWANCE BY COMMISSIONERS. — Commissioners appointed to hear claims against an estate of a deceased person have no authority to allow a claim which arose after the death of such person, as for example interest due on a promissory note by virtue of an agreement made by the creditor with one of the heirs.

3. ID.; ID.; DEMAND NECESSARY TO START INTEREST. — When no agreement as to interest is made, the interest does not commence to run on loans not mercantile until some demand for payment is made.

4. PLEADING AND PRACTICE; BILL OF EXCEPTIONS; DEFECTS OF FORM. — When the evidence is attached to a bid of exceptions the failure to state in the bill that such evidence is made a part thereof is a mere defect of form which will be corrected, considering the bill so amended as to show that fact

5. ID.; ID.; FAILURE TO INCLUDE IMMATERIAL EVIDENCE. — The fact that certain evidence, which the bill of exceptions shows was immaterial, was not sent to the Supreme Court, is no ground for reversal.


D E C I S I O N


WILLARD, J. :


The plaintiff and appellee presented a claim before the commissioners appointed in the matter of the estate of Dona Matea Alvarez y Rubio based upon a written document executed by the deceased on the 10th day of January, 1896, which is as follows:jgc:chanrobles.com.ph

"I hereby acknowledge to be indebted to Don Guillermo Bowler in the sum of 13,915 pesos, received by me from him as a loan without interest, and I bind myself, with all my present and future property, to return the said amount within the period of two years from this date, that is, on January 10, 1898. And, in order that he may prove his rights in due time, I deliver to him this instrument, the execution of which has been witnessed by Don Marcos Arcenas, Don Antonio Laserna, and Don Rafael Rodriguez, all residents of this town. Capiz, January 10, 1896. — (Signed) Matea Alvarez."cralaw virtua1aw library

The commissioners held that the plaintiff was entitled to the amount due on the obligation, together with interest thereon at the rate of 10 per cent, and allowed the claim for the sum of P23,971.08. The administrator appealed to the Court of First Instance. In that court he admitted that the estate was liable for the balance due on the note, without interest, that is to say for P10,794.49, but claimed that it was not liable for interest thereon. The court overruled this claim, held that the defendant was liable for the interest at the rate of 10 per cent and ordered judgment for P27,072.25, with interest thereon from the 10th day of September, 1908, the date of the judgment, at 10 per cent per annum.

The only question in the case is whether the estate is liable or not for interest. The appellee devotes a large part of his brief to a discussion of the question as to whether parol evidence was admissible to show an agreement made in 1896 to the effect that the debtor should pay interest at the rate of 10 per cent per annum until the obligation was discharged, and he claims that such evidence was admissible. This discussion is entirely beside the case, as will be seen by an examination of the evidence. That evidence shows that no parol agreement of that kind was made. The only evidence in the case relating to what took place at the time the document was executed was the evidence of the debtor’s bookkeeper, who testified that, although the note was for the sum of 13,915 pesos, yet Dona Matea, as a matter of fact, received only 11,500 pesos, and that the difference between the amount of cash received and the amount stated in the note was the interest computed in advanced for two years and included in the note. This witness did not testify that there was any verbal agreement on the part of Dona Matea to pay interest nor any verbal agreement of any kind between her and the creditor. The appellee himself was a witness and he testified to no such conversation or agreement. The court below apparently held that the mere fact that interest was computed in advanced for the two years during which the note was to run and was included in the note was evidence of an agreement on the part of the debtor to pay interest after the maturity of the note. We do not think that this theory can be sustained. All that such evidence shows is that the creditor was to receive interest for the two years from 1896 to 1898, but it does not tend to prove any agreement as to what should be done with reference to the matter of interest after the note became due provided it was not paid, and there is nothing in the case to show that the parties did not contemplate the immediate payment of the note at its maturity. In fact, as the appellee himself says in his brief:jgc:chanrobles.com.ph

"In the second place, all the rules of evidence oblige us to presume that each one of the contracting parties expected that the debtor, or Dona Matea Alvarez, should exactly fulfill her obligation at its maturity. . . .The promisory note does not state anything as to interest after its maturity, for the very reason that the nonpayment of the same at the proper time was not anticipated by either party."cralaw virtua1aw library

If the prepayment of the interest for two years had the effect of eliminating the words "without interest" found in the note, it would leave the obligation without any clause expressly providing for the payment of interest, and under such circumstances interest can not be collected. (Art. 1755 Civil Code.)

It is well settled that where no agreement as to interest is made interest does not commence to run on loans not mercantile until some demand for payment is made.

The evidence, therefore, shows no obligation on the part of Dona Matea to pay interest after the maturity of the note, to wit, the 10th day of January, 1898. She died on the 26th day of May, 1897. After her death and on the 5th day of March, 1899, Marcos Arcenas signed the following document:jgc:chanrobles.com.ph

"The undersigned, in his own name and as attorney in fact of the heirs of Dona Maria Geronima Rubio, acknowledging the obligation of payment contracted by Dona Matea Alvarez y Rubio on January 10, 1896, in favor of Don Guillermo Bowler, as a true and lawful obligation, and to which this document refers, shall pay to the said Don Guillermo Bowler, on the 10th day of January, 1900, the sum of 13,915 pesos, and, as interest thereon, ten percent upon that amount from January 10, 1898, until the date of its payment, with the understanding that, in case of insolvency, Don Guillermo Bowler will be entitled to exercise his rights against the intestate estate of said Dona Matea Alvarez for the sum aforesaid. The payment of the above principal and interest I will make at the city of Iloilo to the order of Don Guillermo Bowler or of the person authorized to this effect by the same Don Guillermo Bowler. — Capiz, March 5, 1899. — (Signed) Marcos Arcenas."cralaw virtua1aw library

It is not necessary to consider in this case the legal effect of this document. It is not necessary to consider whether it made the heirs of the deceased personally liable for the payment of this debt. The acceptance of the estate by the heirs without the benefit of an inventory might make them liable personally for the debts of the deceased existing at the time of her death as was held in the case of Ortiz v. Aramburo (8 Phil. Rep., 98). Whether they would be liable for obligations incurred after the death of the deceased we have no occasion to consider here. The question to be considered is, what class of demands should be presented to the commissioner appointed to hear claims against the estate, and had the commissioners any authority to allow a claim for interest which claim did not exist at the time of the death of the deceased, but arose from dealings between the heirs and the creditor which took place after such death. This question has already been considered and decided in the case of the Philippine Trading Company v. Crossfield (5 Phil. Rep., 400). It was there held, speaking of the powers of the commissioners and of section 686 of the Code of Civil Procedure (p. 401):jgc:chanrobles.com.ph

"This section means that their jurisdiction is limited to claims which existed prior to the death of the deceased and which survived him, and that they have no jurisdiction over any claim which did not arise during his lifetime. Causes of action which arise after a person’s death are not proper claims for presentation to such committee."cralaw virtua1aw library

This claim for interest not existing prior to the death of the deceased, and the cause of action therefor having arisen after the death of Dona Matea, the commissioners erred in allowing it.

The appellee makes the point in his brief that we can not consider the evidence because it is not expressly made a part of the bill of exceptions. The testimony of the witnesses was attached to the bill of exceptions, was duly certified by the official stenographer, and was sent here with the bill of exceptions, but it is true that there is no statement in the bill of exceptions that it is made a part thereof. This however, was a mere formal defect which, under the provisions of section 500 of the Code of Civil Procedure, could be corrected by an amendment to the bill of exceptions, and the bill of exceptions in this case will be considered as amended by inserting a clause therein to the effect that the evidence is made a part of the bill of exceptions.

The appellee also says that not all of the evidence has been brought here and specifies certain books of account which were presented as proof and which have not been sent to this court. But an examination of the record shows that the evidence contained in those books is entirely immaterial because the fact which they tended to prove were proved by other evidence in the case and relates to matters about which there was no dispute, namely that Dona Matea Alvarez received only 11,500 pesos when the note was made, and that certain payment were made after her death by the heirs.

The judgment of the court below is reversed and the case is remanded with instructions to enter judgment allowing the claim of the plaintiff in the sum of 10,794.49 pesos, Mexican currency, reduced to Philippine currency at the rate named in the decision of the court below, with interest thereon at the rate of 6 per cent per annum from the date of the presentation of the claim by the plaintiff to the commissioners. No costs will be allowed to either party in this court. So ordered.

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

Johnson, J., concurs in the result.




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    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