COMMERCIAL LAW REVIEW

Syllabus
AY 2018-19

I. LETTERS OF CREDIT
a. Definition and Nature
b. Parties
c. Basic Principles

II. TRUST RECEIPTS LAW

a. Definition/Concept
b. Rights of the Entruster
c. Obligation and Liability of Entrustee
d. Remedies Available
e. Warehouseman’s Lien

III. NEGOTIABLE INSTRUMENTS LAW

a. Form and Interpretation
b. Completion and Delivery
c. Signature
d. Consideration
e. Accommodation Party
f. Negotiation
g. Rights of the Holder
h. Liabilities of the Parties
i. Presentment for Payment
j. Notice of Dishonor
k. Discharge
l. Material Alteration
m. Acceptance
n. Presentment for Acceptance
o. Promissory Notes
p. Checks

IV. INSURANCE CODE

a. Concept/Characteristics/Nature
b. Classes
c. Insurable Interest
d. Perfection
e. Rescission
f. Claims Settlement and Subrogation
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V. TRANSPORTATION LAW
a. Common Carriers: Diligence Required, Liabilities
b. Vigilance over Goods
c. Safety of Passengers
d. Bill of Lading
e. Maritime Commerce; Carriage of Goods by Sea Act
f. Warsaw Convention

VI. CORPORATION CODE

a. Attributes
b. Classes
c. Nationality
d. Corporate Juridical Personality
e. Incorporation and Organization
f. Corporate Powers
g. Board of Directors and Trustees
h. Stockholders and Members
i. Capital Structure
j. Dissolution and Liquidation
k. Mergers and Consolidation
l. Other Corporations
i. Non-Stock Corporations
ii. Foreign Corporations

VII. SECURITIES REGULATION CODE

a. State Policy, Purpose
b. Definition of Securities
c. Kinds of Securities
d. Procedure for Registration of Securities
e. Prohibition on Fraud, Manipulation, and Insider Trading
f. Protection of Investors
g. Civil Liability

VIII. BANKING LAWS

a. New Central Bank Act
b. Banks in Distress (RA No. 10846)
c. General Banking Law of 2000 (RA No. 8791)
d. Law on Secrecy of Bank Deposits

IX. INTELLECTUAL PROPERTY CODE

a. Intellectual Property Rights in General
b. Patents
c. Trademark
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d. Copyright

X. SPECIAL LAWS
a. Anti-Money Laundering Act (RA 9160, as amended by RA No. 9194)
b. Foreign Investments Act (RA No. 7042)
c. Financial Rehabilitation and Insolvency Act of 2010 (RA No 10142)
d. Electronic Commerce Act of 2000 and A.M. No. 01-7-01-SC or the Rules
on Electronic Evidence
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CASES:

I. LETTERS OF CREDIT

1. HSBC v NSC, GR No. 183486, 24 Feb 2016

2. BPI v De Reny Fabric Industries Inc., 35 SCRA 253 (1970)
3. FEATI Bank and Trust Co v. Court of Appeals, 196 SCRA 576 (1991)
4. Transfield Phils Inc v. Luzon Hydro Corp, 443 SCRA 307 (2004)
5. MWSS v Hon. Daway, 432 SCRA 559 (2004)
6. Bank of America v. Court of Appeals, 228 SCRA 357 (1993)
7. PNB v San Miguel Corp, G.R. No. 186063, January 15, 2014

II. TRUST RECEIPTS LAW

1. People v. Nitafan, 207 SCRA 726 (1992)

2. Lee v. Court of Appeals, 375 SCRA 579 (2002)
3. Colinares v. Court of Appeals, 339 SCRA 609 (2000)
4. Ng v. People, G.R. No. 173905, 23 April 2010
5. Land Bank of the Phils v. Perez, G.R. No. 166884, 13 June 2012

III. NEGOTIABLE INSTRUMENTS LAW

1. Metropolitan Bank and Trust Co. v. Junnel’s Marketing Corporation, Purificacion

Delizo, and Bank of Commerce, G.R. No. 235511, 20 June 2018 (negligence)
2. Citystate Savings Bank v. Tobias, G.R. No. 227990, 7 March 2018 (negligence -
banking)
3. Equitable PCI Bank v. Tan, G.R. No. 165339, 23 August 2010 (negligence; liability
of bank)
4. San Miguel Corporation v. Puzon, G.R. No. 167567, 22 September 2010 (delivery
of instrument)
5. Anamer Salazar v. JY Brothers Marketing Corporation, G.R. No. 171998, 20
October 2010 (discharge of instrument)
6. Gonzales v. PCIB, G.R. No. 180257, 23 February 2011 (accommodation party)
7. Prudential Bank v. CIR, G.R. No. 180390, 27 July 2011 (certificate of deposit)
8. PNB v. FF Cruz and Company, G.R. No. 173259, 25 July 2011 (negligence;
liability of bank, depositor)
9. PCIB v. Balmaceda, G.R. No. 158143, 21 September 2011 (liability of drawee
bank; crossed check)
10. Cayanan v. North Star International Travel Inc., G.R. No. 172954, 5 October 2011
(consideration)
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11. Allied Bank v. BPI, G.R. No. 188363, 27 February 2013 (liability of drawee bank,
collecting bank)
12. Equitable Banking Corporation v. Special Steel Products, G.R. No. 175350, 13
June 2012 (crossed check; liability of drawee bank)
13. People v. Wagas, G.R. No. 157943, 4 September 2013 (post-dated check; delivery)
14. Ting Ting Pua v. Spouses Benito, G.R. No. 198660, 23 October 2013 (check;
consideration)
15. Patrimonio v. Gutierrez, G.R. No. 187769, 4 June 2014 (holder in due course)
16. Areza v. Express Savings Bank Inc., G.R. No. 176697, 10 September 2014 (material
alteration)
17. MBTC v. Chiok, G.R. No. 175394, 26 November 2014 (checks)

IV. INSURANCE

1. The Insular Life Assurance Company, Ltd., v. Khu, G.R. No. 195176, 18 April
2016
2. BPI and FGU Insurance Corp v. Laingo, G.R. No. 205206, 16 March 2016 (liability;
agency)
3. HH Hollero Construction Inc v. GSIS and Pool of Machinery Insurers, GR No.
152334, 24 September 2014 (prescription)
4. Fortune Medicare Inc v. Amorin, GR No. 195872, 12 March 2014
5. Eastern Shipping Lines v. BPI/MS Insurance Corp and Mitsui Sum Tomo, GR
No. 193986, 15 Jan 2014
6. Alpha Insurance and Surety Co v. Castor, GR No. 198174, 2 September 2013
7. Malayan Insurance Co v. PAP Co (Phil Branch), GR No. 200784, 7 Aug 2013
8. Manila Bankers Life Insurance Co v. Aban, GR No. 175666, 29 July 2013
9. Mitsubishi Motors Philippines Salaried Employees Union v. Mitsubishi Motors
Corp, GR No. 175773, 17 June 2013
10. Paramount Insurance Co v. Spouses Remondeulaz, GR No. 173773, 28 Nov 2012
11. United Merchants Corp v. Country Bankers Insurance Corp, GR No. 198588, 11
July 2012
12. Malayan Insurance Co v. Philippine First Insurance Co. GR No. 184300, 11 July
2012
13. Florendo v. Philam Plans, GR No. 186983, 22 February 2012
14. Malayan Insurance Co v. Alberto, GR No. 194320, 1 February 2012
15. First Lepanto-Taisho Insurance Corp v. Chevron Philippines, GR No. 177839, 18
January 2012
16. New World International Devt Philippines v. NYK-FILJAPAN Shipping Corp,
GR No. 1714468, 24 August 2011
17. Country Bankers Insurance Corporation v. Lagman, GR No. 165487, 13 July 2011
18. Asian Terminals v. Malayan Insurance, GR No. 171406, 4 April 2011
19. Philippine Health Care Providers v. CIR, GR No. 167330, 18 Sept 2009
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20. Eastern Shipping Lines v. Prudential Guarantee and Assurance Inc., GR No.
174116, 1 September 2009
21. Heirs of Maramag v. Maramag, GR No. 181132, 5 June 2009

V. TRANSPORTATION LAW

1. Manay v. Cebu Air Inc, G.R. No. 210621, 4 April 2016 (flight schedules, CebuPac)
2. Designer Baskets Inc v. Air Sea Transport Inc, G.R. No. 184513, 9 March 2016 (bill
of lading, liability)
3. Travel & Tours Advisers Inc v. Cruz, G.R. No. 199282, 14 March 2016 (common
carrier; 2180)
4. Asian Terminals Inc v. Allied Guarantee Insurance Co., Inc, GR No. 182208, 14 Oct
2015
5. GV Florida Transport v. Heirs of Battung, GR No. 208802, 14 October 2015
6. MMTC v Cuevas, GR No. 167797, 15 June 2015
7. Unknown Owner of Vessel M/V China Joy v. ATI, GR No. 195661, 11 March 2015
8. Eastern Shipping Lines v. BPI/MS Insurance Co. Ltd, GR No. 182864, 12 January
2015
9. Loadstar Shipping Company, Inc. and Loadstar International Shipping Co. Inc v.
Malayan Insurance Co., Inc., GR No. 185565, 26 November 2014
10. Nedlloyd Lijnen BV Rotterdam and the East Asiatic Co., Ltd v. Glow Laks
Enterprises Ltd., GR No. 156330, 19 November 2014
11. Philam Insurance Co., Inc v. Heung-A Shipping Corporation, GR No. 187812, 23
July 2014
12. Mendoza and Lim v. Spouses Gomez, GR No. 160110, 18 June 2014
13. Asian Terminals Inc v. First Lepanto-Taisho Insurance Corp, GR No. 185964, 16
June 2014
14. Westwind Shipping Corporation v. UCPB General Insurance Co., GR No. 200289, 25
November 2013
15. Asian Terminals v. Philam Insurance Co., GR No. 181262, 24 July 2013
16. Spouses Perena v. Spouses Nicolas, GR No. 157917, 29 August 2012
17. Dela Torre v. Court of Appeals, GR No. 160088, 13 July 2011
18. Loadmasters Customs Services Inc v. Glodel Brokerage Corporation, GR No.
179446, 19 January 2011

VI. CORPORATION CODE

1. Roy III v. Herbosa, G.R. No. 207246, 22 November 2016 (capital)

2. Tee Ling Kiat v. Ayala Corporation, G.R. No. 192530, 7 March 2018 (transfer of
stocks)
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3. De La Salle Montessori International of Malolos Inc v. De La Salle Brothers, Inc,

G.R. No. 205548, 7 February 2018 (corporate name)
4. Sps Ong v. BPI Family Savings Bank Inc, G.R. No. 208638, 24 January 2018
(effects of merger)
5. Guy v Guy, G.R. No. 184068, 19 April 2016
6. Ricafort v. Hon. Dicdican, G.R. No. 202647-50, 9 March 2016
7. Mervic Realty Inc v. China Banking Corporation, G.R. No. 193748, 3 Feb 2016
(corporate rehab)
8. POTC, PHILCOMSAT v Sandiganbayan, G.R. No. 174462, 10 Feb 2016 (separate
corp personality)
9. Teng v SEC, GR No. 184332, 17 Feb 2016
10. Viva Shipping Lines Inc v. Keppel Philippines Mining Inc, GR No. 177382, 17 Feb
2016
11. Narra Nickel Mining and Development Corp. v. Redmont Consolidated Mines
Corp., G.R. No. 195580, 28 January 2015 (grandfather rule)
12. PNB v Aznar, GR No. 171805, 30 May 2011 (corporate juridical personality)
13. Commissioner of Customs v. Oilink International Corporation, G.R. No. 161759,
2 July 2014 (corporate juridical personality)
14. Ico v. Systems Technology Institute Inc v. Fernandez, G.R. No. 185100, 9 July
2014 (corporate juridical personality)
15. Palm Avenue Holding Co. Inc v. Sandiganbayan, G.R. No. 173082, 6 August 2014
(corporate juridical personality)
16. Olongapo City v. Subic Water and Sewerage Co., Inc., G.R. No. 171626, 6 August
2014 (corporate juridical personality)
17. Lanuza Jr. v. BF Corporation, G.R. No. 174938, 1 October 2014 (corporate
juridical personality)
18. FVR Skills and Services Exponents Inc v. Josuel et al., G.R. No. 200857, 22
October 2014 (corporate juridical personality)
19. Arco Pulp and Paper Co. Inc v. Lim, G.R. No. 206806, 25 June 2014 (piercing the
corporate veil)
20. WPM International Trading Inc v. Labayen, G.R. No. 182770, 17 September 2014
(piercing the corporate veil)
21. Hacienda Cataywa/Manuel Villanueva v. Lorezo, G.R. No. 179640, 18 March
2015 (piercing the corporate veil)
22. Forest Hills Golf and Country Club Inc v. Gardpro Inc., G.R. No. 164686, 22
October 2014 (articles of incorporation; by-laws)
23. Lopez Realty Inc v. Spouses Tanjangco, G.R. No. 154291, 12 November 2014 (by-
laws; meetings)
24. Yujuico v. Quiambao, G.R. No. 180416, 2 June 2014 (right to inspect corporate
books)
25. Ching v. Subic Bay Golf and Country Club Inc, G.R. No. 174353, 10 September
2014 (derivative suit)
26. Villamor v. Umale, G.R. No. 172843, 24 September 2014 (derivative suit)
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27. Abad v. PCSC, G.R. No. 200620, 18 March 2015 (intra-corporate dispute;
jurisdiction)
28. Alabang Development Corporation v. Alabang Hills Village Association, G.R.
No. 187456, 2 June 2014 (dissolution and liquidation)
29. Banc of Commerce v. Radio Philippines Network Inc., G.R. No. 195615, 21 April
2014 (merger and consolidation)

VII. SECURITIES REGULATION CODE

1. Cancio v. Performance Foreign Exchange Corporation, G.R. No. 182307, 6 June

2018
2. Abacus Securities Corporation v. Ampil, G.R. No. 160016, 27 Feb 2006
3. Gabionza v. Court of Appeals, G.R. No. 161057, 12 September 2008
4. SEC v. Prosperity.Com.Inc., G.R. No. 164197, 25 January 2012
5. SEC v. Santos, G.R. No. 195542, March 19, 2014
6. SEC v. Interport Resources Corporation, G.R. No. 135808, 6 October 2008
7. Philippine Veterans Bank v. Callangan, G.R. No. 191995, 3 August 2011
8. Cemco Holdings Inc v. National Life Insurance Company of the Philippines, G.R.
No. 171815, 7 August 2007
9. Citibank NA v. Tanco-Gabaldon, G.R. No. 198444, 4 September 2013
10. Pua v. Citibank N.A., G.R. No. 180064, 16 September 2013
11. Timeshare Realty v. Lao, G.R. No. 158941, 11 February 2008
12. SEC v. Hon. Laigo, G.R. No. 188639, 2 September 2015
13. People v. Tibayan, G.R. Nos. 209655-60, 14 January 2015 (Ponzi Scheme)
14. Primanila Plans v. SEC, G.R. No. 193791, 6 August 2014
15. SEC v. Universal Rightfield Property Holdings, Inc., G.R. No. 181381, 20 July
2015

VIII. BANKING LAWS

A. NEW CENTRAL BANK ACT

1. Banco Filipino Savings and Mortgage Bank v. BSP and the Monetary Board, G.R.
No. 200678, 4 June 2018
2. Busuego v. Court of Appeals, G.R. No. 95326, March 11, 1999
3. Koruga v. Arcenas, G.R. No. 159063, June 19, 2009
4. BSP Monetary Board v. Hon. Antonio-Valenzuela, G.R. No. 184778, 2 October
2009
5. Central Bank of the Philippines v. Court of Appeals, G.R. No. 88353, May 8, 1992
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6. Spouses Lipana v. Development Bank of the Philippines, G.R. No. 73884,

September 24, 1987
7. Vivas v. Monetary Board, G.R. No. 191424, August 7, 2013
8. Rural Bank of San Miguel v. Monetary Board, G.R. No. 150886, February 16, 2007

B. GENERAL BANKING LAW OF 2000

1. Teodoro Banas v. Asia Pacific Finance Corp, G.R. No. 128703, 10/18/2000
2. BDO-EPCI Inc. v. JAPRL Development Corp, G.R. NO. 179901, 4/14/08
3. Spouses Panlilio v. Citibank NA, G.R. No. 156335, 11/28/2007
4. Reyes v. CA, G.R. No. 118492, 8/15/01
5. Citibank NA v. Spouses Cabamongan, 146918, 5/2/06
6. Central Bank of the Philippines v. Citytrust Banking Corp, G.R. No. 141835,
2/4/09
7. DBP v. Guarina Agricultural and Realty Development Corp, G.R. No. 160758,
1/15/14
8. Consolidated Bank and Trust Corp v. Court of Apppeaks, G.R. No. 138569,
9/11/03
9. Advocates for Truth in Lending v. BSP, G.R. No. 192986, 1/15/13
10. Go v. BSP, G.R. No. 178429, 10/23/2009
11. RP v. Sandiganbayan, G.R. No. 166859, 4/12/2011
12. Nacar v. Gallery Frames, G.R. No. 189871, 8/13/2013
13. Oliver v. PSBank, G.R. No. 214567, 4/4/2016
14. Spouses Guevara v. the Commoner Lending Corporation, G.R. No. 204672,
February 18, 2015
15. Sinamban v. China Banking Corporation, G.R. No. 193890, March 11, 2015
16. Metropolitan Bank v. SF Naguiat Enterprises Inc, G.R. No. 178407, March 18,
2015

C. LAW ON SECRECY OF BANK DEPOSITS

1. BSB Group v. Go, G.R. No. 168644, February 16, 2010

2. GSIS v. Court of Appeals, G.R. No. 189206, June 8, 2011
3. Ejercito v. Sandiganbayan, G.R. Nos. 157294-95, November 30, 2006
4. Onate v. Abrogar, G.R. No. 107303, February 23, 1995
5. Intengan v. Court of Appeals, G.R. No. 128996, February 15, 2002
6. Marquez v. Desierto, G.R. No. 135882, June 27, 2001
7. Dona Adela Export International Inc v. TIDCORP and BPI, G.R. No. 201931,
February 11, 2015
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8. Philippine Savings Bank v. Senate Impeachment Court, G.R. No. 200238,

February 9, 2012

D. PHILIPPINE DEPOSIT INSURANCE CORPORATION

1. PDIC v. Philippine Countryside Rural Bank Inc., G.R. No. 176438, January 24,
2011
2. PDIC v. Citibank, G.R. No. 170290, April 11, 2012

IX. INTELLECTUAL PROPERTY CODE

A. OVERVIEW
1. Coca-Cola Bottlers, Phils., Inc. v. Gomez, 571 SCRA 18 (2008)
2. Pearl and Dean (Phil) Inc. v. Shoemart, Inc. G.R. No. 148222, August 15, 2003

B. PATENTS
1. Domiciano Aguas v. De Leon, G.R. No. L-32160, Jan 30, 1982
2. Manzano v. Court of Appeals, G.R. No. 113388, Sept 5, 1997
3. Creser Precision Systems Inc. v. CA, G.R. No. 118708, Feb 2, 1998
4. Smith Kline Beckman Corporation v. CA, G.R. No. 126627, Aug 14, 2003
5. Pearl and Dean (Phi) Inc. v. Shoemart,Inc. G.R. No. 148222, August 15, 2003
6. Phil. Pharmawealth Inc. v. Pfizer Inc., G.R. No. 167715, Nov 17, 2010
7. Pascual Godines v. CA, G.R. No. 97343, Sept 13, 1993
8. Maguan v. CA, G.R. No. L-45101, Nov 28, 1986

C. TRADEMARK

1. Kensonic Inc v. Uni-line Multi-Resources Inc, (Phil)., G.R. No. 211820-21/ 211834-
35, 6 June 2018
2. San Miguel Pure Foods Co. Inc., v. Foodsphere Inc., G.R. No. 217781, 20 June
2018
3. ABS-CBN Publishing Inc. v. Director of the Bureau of Trademarks, G.R. No.
217916, 20 June 2018
4. Mang Inasal Philippines Inc v. IFP Manufacturing Corp, G.R. No. 221717, 19 June
2017
5. Emerald Garment Manufacturing Corp v The HD Lee Company, Inc., G.R. No.
210693, 7 June 2017
6. Taiwan Kolin Corp., Ltd., v. Kolin Electronics Co. Inc., G.R. No. 209843, March
25, 2015
7. UFC Phils.Inc., v. Barrio Fiesta Manufacturing Corporation, G.R. No. 198889, Jan
20, 2016
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D. COPYRIGHT

1. Olano v. Lim Eng Co, G.R. No. 195835, 14 March 2016

2. Manly Sportwear Manufacturing Inc v. Dadodette Enterprises, G.R. No. 165306,
Sept 20, 2005
3. Joaquin v. Drilon, G.R. No. 108946, Jan 28, 1999
4. Pearl and Dean (Phi) Inc. v. Shoemart,Inc. G.R. No. 148222, August 15, 2003

X. SPECIAL LAWS

A. ANTI-MONEY LAUNDERING ACT

1. Republic of the Philippines v. First Pacific Network Inc., G.R. No. 156646, 10
November 2014
2. Republic of the Philippines v. Glasgow Credit and Collection Services, Inc, G.R.
No. 170281, 18 January 2008
3. Ret. Lt. Ligot v. Republic of the Philippines, G.R. No. 176944, 6 March 2013
4. Republic v. Bolante, GR 186717, 17 April 2017

B. FINANCIAL REHABILITATION AND INSOLVENCY ACT OF 2010

1. Metropolitan Bank and Trust Co. v. S.F. Naguiat Enterprises Inc., G.R. No.
178407, 18 March 2015
2. Victorio-Aquino v. Pacific Plans Inc, G.R. No. 193108, 10 December 2014
3. Philippine Bank of Communications v. Basic Polyprinters and Packaging
Corporation, G.R. No. 187581, 20 October 2014