G.R. No. L-44888 February 7, 1992
PILIPINAS SHELL PETROLEUM CORPORATION, petitioner, vs. FIDEL P. DUMLAO, Judge of the Court of First Instance of Agusan Del Norte and Butuan City, BONIFACIO CANONOY, Judicial Administrator of the Estate of Regino Canonoy, CARMEN VDA. DE CANONOY, TEODULO CANONOY, REGINO CANONOY, JR., MARIANITA CANONOY GUINTO and GLORIA CANONOY BASA, respondents.

FACTS

Ricardo M. Gonzalez, District Manager of Shell Philippines, Inc., filed a petition for letters of administration over the intestate estate of Regino Canonoy. The heirs opposed, arguing Gonzalez was a stranger and not an interested person. The court appointed heir Bonifacio Canonoy as administrator, which order became final. Subsequently, Shell filed a monetary claim against the estate. After issues were joined and pre-trial was set, the administrator moved to dismiss the entire estate proceeding, alleging the original petitioner Gonzalez lacked interest, thus depriving the court of jurisdiction.
The respondent judge granted the motion and dismissed the case. Shell moved for reconsideration, contending that the interest of the petitioner is not a jurisdictional fact and that any defect was waived. The motion was denied, prompting Shell to elevate the case via a petition for review.

ISSUE

Whether the trial court committed grave abuse of discretion in dismissing the estate proceedings for lack of jurisdiction based on the original petitioner’s alleged lack of interest.

RULING

Yes. The Supreme Court granted the petition and set aside the dismissal order. The Court ruled that the interest of the petitioner in an administration proceeding is not a jurisdictional fact. Jurisdiction over the subject matter is conferred by law and is determined by the allegations in the petition regarding the death of the decedent, residence, and the fact of intestacy. The petitioner’s interest pertains only to his legal capacity to sue or his qualification to be appointed administrator, which is not jurisdictional.
Furthermore, the defense of lack of legal capacity was deemed waived. The heirs actively participated by opposing the appointment of Gonzalez, proposing their own administrator, and acquiescing to the court’s appointment of Bonifacio Canonoy without appealing that order. By seeking affirmative relief and submitting to the court’s authority for an extended period, they are estopped from challenging jurisdiction based on a procedural defect long after the court had acted. The respondent judge exhibited undue haste in dismissing the case, thereby committing grave abuse of discretion. The estate proceedings were reinstated for resolution of Shell’s claim.