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SUPREMECOURTREPORTSANNOTATEDVOLUME490
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the period falls on such days.A TRO is effective only for a period
of twenty days from
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SECOND DIVISION.
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notice to the party sought to be enjoined. The rule does not specify
that the counting of the twentyday period is only limited to
working days or that Saturdays, Sundays and legal holidays are
excluded from the twentyday period. The law simply states
twenty days from notice. Section 1, Rule 22 of the Rules of Court
is pertinent, to wit: How to compute time.In computing any
period of time prescribed or allowed by these Rules, or by order of
the court, or by any applicable statute, the day of the act or event
from which the designated period of time begins to run is to be
excluded and the date of performance included. If the last day of
the period, as thus computed, falls on a Saturday, a Sunday, or a
legal holiday in the place where the court sits, the time shall not
run until the next working day. It is clear from the last sentence
of this section that nonworking days (Saturdays, Sundays and
legal holidays) are excluded from the counting of the period only
when the last day of the period falls on such days. The Rule does
not provide for any other circumstance in which nonworking days
would affect the counting of a prescribed period.
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Rollo, p. 39.
Records, p. 60.
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The Court agrees with petitioner that the amount of the bond
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decides that the plaintiff was not entitled to it, and the bond is usually
conditioned accordingly. Thus, the bondsmen are obligated to account to
the defendant in the injunction suit for all damages, or costs and
reasonable counsels fees incurred or sustained by the latter in case it is
determined that the injunction was wrongfully issued. (263 SCRA 288
289)
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SO ORDERED.
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SO ORDERED.
Id., at p. 47.
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from the time the obligee judicially or extrajudicially demands from them
the fulfillment of their obligation.
However, the demand by the creditor shall not be necessary in order that delay
may exist:
(1) When the obligation or law expressly so declare x x x.
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Escolta, Manila
Attention : MS. JULIET T. GO
Administrator
This is to inform you that in view of the nonpayment of Noahs Ark
Merchandising of its loan obligation with Far East Bank and Trust Company, we
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have withheld the February 1998 to May 1998 rental payments to your office and
have correspondingly applied said amount to the outstanding obligation of Noahs
Ark Merchandising. We will continue to do so for the succeeding months until such
time said loan is fully settled.
Please note that we have not been delinquent in our rental payments and
should not be charged with penalties for nonremittance of the same. x x x
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PNB MADECOR v. Uy, 415 Phil. 348, 359 363 SCRA 128, 139
(2001).
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It is clear from the facts that FEBTC and Noahs Ark are
both principal obligors and creditors of each other. Their
debts to each other both consist in a sum of money. As
discussed above, the eight promissory notes of Noahs Ark
are all due and the lease payments owed by FEBTC
become due each month. Noahs Arks debt is liquidated
and demandable and FEBTCs lease payments are
liquidated and are demandable every month as they fall
due. Lastly, there is no retention or controversy
commenced by third persons over either of the debts.
Novation did not occur as private respondent argued.
The Court has declared that a contract cannot be novated
in the 11absence of a new contract executed between the
parties. The legal compensation, which was acknowledged
by FEBTC in its May 19, 1998 letter, occurred by operation
of law, as discussed above. As a consequence, it cannot be
considered a new contract between the parties. Hence, the
loan agreement, as embodied in the promissory notes and
the real estate mortgage, subsists.
Since the compensation between the parties occurred by
operation of law, FEBTC did not waive Noahs Arks
default.
As a result of the absence of novation or waiver of
default, FEBTC is therefore not estopped from proceeding
with the foreclosure.
Private respondent further argues in his memorandum
that FEBTC was in bad faith when it initiated the
foreclosure proceedings because Noahs Ark had been
requesting for accounting and reconciliation of its account
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Bert Osmea & Associates Inc. v. Court of Appeals, 205 Phil. 328 120
180
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WHEREFORE,
the petition
is GRANTED and the
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decision and resolution of the Court of Appeals dated
August 26, 1999 and April 3, 2000, respectively, are
PARTIALLY REVERSED and SET ASIDE, retaining only
the portion which increases the amount of the injunctive
bond to Five Million Pesos (P5,000,000). The writ of
preliminary injunction
issued by Judge Urbano C. Victorio,
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Sr., in an order dated May 7, 1998 in Civil Case No. 98
88266, is hereby DISSOLVED. No costs.
SO ORDERED.
Puno (Chairperson), SandovalGutierrez, Corona
and Garcia, JJ., concur.
Petition granted, judgment and resolution partially
reversed and set aside.
Note.Compensation shall take place when two
persons, in their own right, are creditors and debtors of
each other, provided the proper requisites are present. (Re:
Properties Proposed to be Purchased by Associate Justice
Jose C. Vitug, 439 SCRA 509 [2004])
o0o
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Id., at p. 47.
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