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PHILIPPINE BANK OF COMMERCE v. TOMAS DE VERA

This case has been cited 1 times or more.

2015-02-18
REYES, J.
To stress, the assignment being in its essence a mortgage, it was but a security and not a satisfaction of the petitioners' indebtedness.[34] Article 1255[35] of the Civil Code invoked by the petitioners contemplates the existence of two or more creditors and involves the assignment of the entire debtor's property, not a dacion en pago.[36] Under Article 1245 of the Civil Code, "[d]ation in payment, whereby property is alienated to the creditor in satisfaction of a debt in money, shall be governed by the law on sales." Nowhere in the Deed of Assignment can it be remotely said that a sale of the condominium unit was contemplated by the parties, the consideration for which would consist of the amount of outstanding loan due to iBank from the petitioners.