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[ G.R. No. 136178. June 28, 1999]
BENJAMIN WEE, et al. vs. MARY L. GO
FIRST DIVISION
Gentlemen:
Quoted hereunder, for your information, is a resolution of this Court dated JUN 28, 1999.
G.R. No. 136178 (Benjamin Wee, representing National Commercial Main and JW Trading and Development Corp. vs. Mary L. Go, represented by her Attorney-in-fact, Felipe G. Wong.)
This is a petition for review of the Court of Appeals' decision,1 [Promulgated on February 27, 1998, penned by Justice Buenaventura J, Guerrero, concurred in by Justices Arturo B. Buena and Portia Ali�o-Hormachuelos, Rollo, pp. 21-141.] affirming with modification the decision of the Regional Trial Court, Branch 11, Zamboanga City,2 [Presided over by Judge Vicente L. Cabatingan, dated January 6, 1997, Rollo, pp. 65-76.] which affirmed in toto the decision of the Municipal Trial Court, Branch 1, Zamboanga City, in an unlawful detainer case filed by Mary L. Go against National Commercial Main, represented by its General Manager, Benjamin Wee.
On January 12, 1996, plaintiff Mary L. Go filed with the Municipal Trial Court, Branch 1 Zamboanga City, a complaint for unlawful detainer against National Commercial Main, represented by Benjamin Wee. Plaintiff Go leased a parcel of commercial land to defendant, with rentals payable on a month-to-month basis. After the expiration of the lease contract, plaintiff repeatedly demanded that defendant vacate the premises. Defendant refused to vacate the premises, thus, plaintiff filed the ejectment case, praying that defendant be ordered to vacate the premises, and to pay P20,000.00 as monthly rentals from January 1, 1996, until the property is vacated.
On May 14, 1996, preliminary conference was held, but despite due notice, neither defendant nor counsel appeared. Upon motion by plaintiff, defendant was declared as in default. On May 21, 1996, the Municipal Trial Court rendered decision in favor of plaintiff, ordering defendant to vacate the premises and pay P10,000.00 per month as rentals from January 12, 1996 until the same is vacated, and to pay attorney's fees.
On May 30, 1996, defendant filed notice of appeal. On June 4, 1996, the Regional Trial Court ordered the parties to file their respective memoranda and/or appeal brief within 15 days from notice. On July 9, 1996 plaintiff filed a motion for execution pending appeal. On July 11, 1996, the Regional Trial Court granted the motion for failure of defendant to file supersedeas bond. On July 19, 1996, the Court issued the writ of execution.
Defendant filed a motion for reconsideration of the order granting the writ of execution, which the court denied on September 16, 1996. On October 18, 1996, JW Trading and Development Corporation, as owners of National Commercial Main, filed a motion for intervention contending that as the lessee, it was an indispensable party.
On January 7, 1997, the Regional Trial Court affirmed in toto the Municipal Trial court's decision, and denied JW Trading's motion for intervention.
On February 3, 1997, defendant filed a petition for review with the Court of Appeals. On February 27, 1988, the Court of Appeals affirmed with modification the Regional Trial Court's ruling. The Court of Appeals ruled that the Municipal Trial Court correctly rendered the May 21, 1996 decision ordering defendant to vacate the premises when the latter failed to appear during the preliminary conference. It held that the original term of the lease, on a month-to-month basis, had expired when the complaint was filed. It stated that the decision binds the National Commercial Main, an entity without juridical entity, as it was properly named as a defendant. JW Trading's motion for intervention was correctly denied, as it was raised for the first time on appeal. However, the Court of Appeals increased the monthly rentals to P20,000.00 per month from January 1, 1996 until actual turnover of opposition to plaintiff. It deleted the award of attorney's fees.
On February 27, 1998, defendant National Commercial Main and JW Trading filed a motion for reconsideration. On May 12, 1998, plaintiff Go filed an opposition thereto. On November 4, 1998, the Court of Appeals denied the motion for lack of merit.3 [Rollo, pp. 43.]
Hence, this petition.
Petitioner asserts that it should not be declared as in default for failure to appear in the preliminary conference, since it has already filed an answer. It contends that it is entitled to, at least, a 5 -year lease extension since it has been occupying the premises for more than fifty years. It avers that the former Rules Of Court governs, thus that National Commercial Main, an association without juridical personality, may not be a proper defendant in the case.
We affirm the Court of Appeals' decision. Based on the Revised Rule of Summary Procedure, plaintiff is entitled to judgment if defendant failed to appear in the preliminary conference. Thus, based on the allegations in the complain, the Court of Appeals correctly ruled that defendant is liable to pay P20,000.00 monthly rentals, from January 1, 1996, until actual turn-over of the property to Go. Petitioner's averment of a five-year extension is not supported by contract, law or jurisprudence. Furthermore, the provisions of the 1997 Rules of Civil Procedure is applicable to cases pending in court at the time of its effectivity, since it involves procedural issued only. Hence, under the new rules, an entity without juridical personality can be made a defendant. At any rate, defendant is estopped in raising this issue when it failed to assert in its answer the non-suability of national Commercial Main.
We find no reversible error in the Court of Appeal's decision to warrant a reversal thereof.
The petition for review is denied. No costs.
Very truly yours,
(Sgd.) VIRGINIA ANCHETA-SORIANO
Clerk of Court
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