This case has been cited 2 times or more.
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2009-05-08 |
TINGA, J. |
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| In CA-G.R. SP No. 85870, the Court of Appeals promulgated the assailed Decision[14] dated 15 September 2006 granting PNA's petition for certiorari and setting aside the RTC's order for the issuance of the writ of possession. The appellate court relied on Philippine National Bank v. Court of Appeals[15] and Capital Credit Dimension, Inc. v. Chua[16] which both held that the obligation of a court to issue an ex parte writ of possession in favor of a purchaser in an extrajudicial foreclosure sale ceases to be ministerial once it appears that there is a third party in possession of the property who is claiming a right adverse to that of the debtor/mortgagor, and that the issuance of the writ of possession in such a case would be to sanction a summary ejectment in violation of the basic tenets of due process. The Court of Appeals thus held that the RTC should not just ignore PNA's claims but should allow their opposition to be heard in order to determine whether they are actual occupants of the subject property. The dispositive portion of the decision reads: | |||||
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2007-06-26 |
AUSTRIA-MARTINEZ, J. |
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| Furthermore, unlike a judicial foreclosure of real estate mortgage under Rule 68 of the Rules of Court where an action for foreclosure is brought before the RTC where the mortgaged property or any part thereof is situated, any property brought within the ambit of Act 3135 is foreclosed by the filing of a petition, not with any court of justice, but with the office of the sheriff of the province where the sale is to be made. As such, a third person in possession of an extra-judicially foreclosed property, who claims a right superior to that of the original mortgagor, is thus given no opportunity to be heard in his claim.[32] It stands to reason, therefore, that such third person may not be dispossessed on the strength of a mere ex-parte possessory writ, since to do so would be tantamount to his summary ejectment, in violation of the basic tenets of due process.[33] | |||||