Legal Insights
Plain-language guides and case briefs on Philippine law — researched from the firm's law library of 184,000+ statutes, Supreme Court decisions, and agency issuances, and written so non-lawyers can understand and act on them.
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Sheriffs Cannot Bill or Collect Extrajudicial Foreclosure Fees—Only the Clerk of Court May
A sheriff who billed a bank P3,000 per extrajudicial foreclosure case was suspended. Only the Clerk of Court may collect these fees.
Breach of Trust as Just Cause for Dismissal in Philippine Banking
Philippine Supreme Court ruling on when a bank branch head's breach of trust justifies dismissal under Article 282 of the Labor Code.
Final Liquidation Court Orders Prevail Over Collection Suits: Solidbank v. CA
A final liquidation court order cannot be overturned by a trial court in a separate collection suit, explains the Supreme Court in Solidbank v. CA.
PDIC Role in Bank Insolvency Cases: Representative, Not Substitute Party
Explains Balayan Bay Rural Bank v. NLDC, clarifying PDIC's role as representative party, not substitute, in suits involving closed banks.
Loan Restructuring Qualified Acceptance and the Absence of a Binding Agreement
When a borrower's "acceptance" of a bank's restructuring offer is qualified, it becomes a counter-offer, not a binding contract.
Breach of Contract: Upholding Banks' Right to Set Off Loans Against Deposits
Supreme Court rules banks may set off deposits against unpaid loans when valid hold-out agreements exist, reversing lower court rulings.
Bank Liability for Unauthorized Joint Account Termination: BPI v. Fernandez
Supreme Court holds banks liable for releasing joint AND/OR account funds without required certificates, citing bad faith and breach of fiduciary duty.
Mortgage in Bad Faith: Banks' Duty of Diligence in Verifying Land Titles
When a bank accepts a mortgage without fully investigating suspicious facts on the property, it acts in bad faith and loses protection as an innocent mortgagee.
Mortgage in Good Faith: Upholding Banks' Due Diligence in Real Estate Transactions
Philippine Supreme Court clarifies when banks qualify as mortgagees in good faith despite defective titles, protecting foreclosures.
Perfected Contract of Sale When a Preliminary Agreement Becomes Binding
When does a preliminary agreement become a perfected contract of sale? The Supreme Court explains in this Philippine banking liquidation case.
Breach of Contract and the Limits of Bank Manager Authority: Apparent Authority in Real Estate Transactions
When does a bank branch manager's promise bind the bank? The Supreme Court explains apparent authority in Games and Garments Developers, Inc. v. Allied Banking Corporation.
Local Tax Refund Claims: Timeliness and Jurisdiction Under Section 195 LGC
Strict deadlines and the right court matter in local tax refund claims. China Banking Corp. v. City Treasurer of Manila explains why.
Revocation and Renewal: Understanding Surety Obligations in Philippine Banking
When a continuing surety expires or is revoked, a bank cannot hold the surety liable for loans made after that point.
Foreclosure Deficiencies: The Bank's Burden of Proof in Loan Recovery
In Metrobank v. CPR Promotions, the Supreme Court ruled that a bank must prove the exact deficiency amount after foreclosure, or lose its claim.
Indispensable Parties in Loan Disputes: The Land Bank v. Cacayuran Rule
Why failing to implead an indispensable party voids court rulings in loan agreement disputes, explained through Land Bank v. Cacayuran.
When Can a Bank Deposit Real Property Instead of Cash to Lift an Attachment?
Philippine Supreme Court clarifies that under Rule 57, only cash deposit or counter-bond can lift a writ of attachment.
Novation Requires Clear Creditor Consent Protecting Banks IN Debt Assumption Cases
Philippine Supreme Court ruling on debt assumption, assignment of credit, and the need for creditor consent under Civil Code.
Redemption Rights and Bank Foreclosures: What GE Money Bank v. Spouses Dizon Teaches Us
Partial payments during the redemption period do not perfect a mortgagor's right to redeem foreclosed property, unless the bank's conduct clearly induces reliance.
Assignment of Receivables and Bank Liability: The Chin Kong Wong Choi v. UCPB Ruling
When a bank buys receivables from a developer, does it inherit the developer's obligations to buyers? The Supreme Court clarifies.
Assignment of Credit vs. Assumption of Liability: Clarifying a Bank's Role in Property Development
When a bank buys a developer's receivables, does it inherit the developer's obligations to buyers? The Supreme Court clarifies the distinction.
Bank Deposit Secrecy: Upholding Depositor Rights in Insolvency Proceedings
The Supreme Court rules that a corporation's bank deposits stay confidential in insolvency unless the depositor gives written consent to waive secrecy.
Bank Deposit Secrecy in Insolvency: Creditors Cannot Waive a Debtor's Rights
Supreme Court rules creditors cannot waive an insolvent debtor's bank deposit secrecy rights without the debtor's written consent or receiver's conformity.
Breach of Contract in Letter of Credit Transactions: Proving Liability in Court
Philippine Supreme Court ruling on what a bank must prove to establish liability in letter of credit transactions, and why pleadings matter.
Cashier's Checks and Contractual Disputes: Bank Obligations and Purchaser Rights in Philippine Law
When can a purchaser stop payment on a manager's or cashier's check? The Supreme Court explains in Chiok v. Metrobank.