GR L 3584; (September, 1907) (Digest)
FACTS
Artadi & Co. (plaintiff) sued Chu Baco (defendant) to recover P7,101.43 as the balance of a running account. The defendant did not dispute the debt but claimed it was not yet due. The defendant had previously approved an account showing this balance and later signed an instrument agreeing to pay a larger amount in monthly installments of P600. The plaintiff’s action was commenced on November 3, 1905. The court below entered judgment for the full amount claimed.
ISSUE
Whether or not the judgment for the full amount of P7,101.43 is supported by the findings of fact considering the agreement for installment payments and the date of the commencement of the action.
RULING
The judgment for the full amount is reversed. The Supreme Court found that the parties had agreed to an installment payment plan of P600 monthly. Given that the action was filed on November 3, 1905, at most two installments could have been due by that date. Therefore, any recovery should have been limited to these two installments. The case is remanded for a new trial to determine the correct amount due under the installment agreement.
