This case has been cited 1 times or more.
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2008-08-13 |
CHICO-NAZARIO, J. |
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| In the present case, there is nothing substantial on record to show that Reynaldo Magaling, as President of Termo Loans, has, indeed, acted in bad faith in inviting Ong to invest in Termo Loans and/or in obtaining a loan from Ong for said corporation in order to warrant his personal liability. From all indications, the proceeds of the investment and/or loan were indeed utilized by Termo Loans. Likewise, bad faith does not arise just because a corporation fails to pay its obligations, because the inability to pay one's obligation is not synonymous with fraudulent intent not to honor the obligations.[46] | |||||