Sunday, October 16, 2022

CASE DIGEST : Optima Realty Corporation V. Hertz Phil. Exclusive Cars, Inc.,

 G.R. No. 183035               January 9, 2013

OPTIMA REALTY CORPORATION, Petitioner,

vs.

HERTZ PHIL. EXCLUSIVE CARS, INC., Respondent.

FACTS: Optima entered into a Contract of Lease with respondent over a 131-square-meter office unit and a parking spot in the Optima Building for a period of three years. On 9 March 2004, the parties amended their lease agreement by shortening the lease period to two years and five months, commencing on 1 October 2003 and ending on 28 February 2006. Renovations in the Optima Building commenced in January and ended in November 2005. As a result, Hertz alleged that it experienced a 50% drop in monthly sales and a significant decrease in its personnel’s productivity. It then requested a 50% discount on its rent for the months of May, June, July and August 2005.9 On 8 December 2005, Optima granted the request of Hertz. However, the latter still failed to pay its rentals for the months of August to December of 2005 and January to February 2006, Optima informed it that the lease would expire on 28 February 2006 and would not be renewed. On 30 January 2006, Hertz filed a Complaint. In that Complaint, Hertz prayed for the issuance of a TRO to enjoin petitioner from committing acts that would tend to disrupt respondent’s peaceful use and possession of the leased premises. On 14 March 2006, Summons for the Unlawful Detainer Complaint was served on Henry Bobiles, quality control supervisor of Hertz, who complied with the telephone instruction of manager Rudy Tirador to receive the Summons. On 28 March 2006, or 14 days after service of the Summons, Hertz filed a Motion for Leave of Court to file Answer with Counterclaim and to Admit Answer with Counterclaim. MTC ruled infavor of Optima. Hertz appealed the MeTC’s Decision to the RTC. RTC ruled in favor of Optima. On 18 June 2007, the RTC denied respondent’s Motion for Reconsideration of its assailed Decision. On appeal, the CA ruled that, due to the improper service of summons, the MeTC failed to acquire jurisdiction over the person of respondent Hertz. Motion for reconsideration was also dismissed by the CA. Hence this petition

ISSUE: (1)WON MeTC acquired jurisdiction (2)WON there is litis pendentia

HELD: (1) Yes, The Court ruled that the court acquires jurisdiction over the person by summons or voluntary appearance of the defendant. In this case, the MeTC acquired jurisdiction over the person of respondent Hertz by reason of the latter’s voluntary appearance in court. One who seeks affirmative relief from court appears voluntarily and is deemed submitted to the jurisdiction of the court however party who make special appearance to challenge the court jurisdiction cannot be considered as to submitted to its authority. As shown from the records of the case, Hertz ask for a affirmative relief.

(2) Litis pendentia requires the concurrence of the following elements: (1) Identity of parties, or at least their representation of the same interests in both actions;(2) Identity of rights asserted and reliefs prayed for, the relief being founded on the same facts; and(3) Identity Here, while there is identity of parties in both cases, the court find that the rights asserted and the reliefs prayed for under the Complaint for Specific Performance and those under the present Unlawful Detainer Complaint are different.

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