G.R. No. A.C. No. 10511. January 04, 2022
MILAGROS MELAD-ONG, COMPLAINANT, VS. ATTY. PLACIDO M. SABBAN, RESPONDENT.

FACTS

The administrative case stemmed from a complaint filed by Milagros Melad-Ong against Atty. Placido M. Sabban for unlawful acts in relation to a property subject of litigation (Civil Case No. 3413 for Reconveyance, Reivindication and Annulment of Instrument). The property, originally owned by Fe Tuyuan, was contested by Jose Melad (complainant’s father, later substituted by his heirs including complainant), Concepcion Tuyuan (defendant), and the Maguigads (intervenors represented by respondent). Respondent filed a Complaint in Intervention for the Maguigads in 1985. In 1995, while the case was pending, defendant Concepcion executed a Deed of Confirmation of Attorney’s Fees in favor of respondent’s father, Atty. Benito Sabban, transferring 10 hectares of the litigated property as compensation for legal services. Based on this, Atty. Benito and respondent applied for and were granted retention rights over portions of the property (5 hectares and 2.0507 hectares, respectively) by the Department of Agrarian Reform (DAR), despite the pending litigation and a notice of lis pendens. In 2008, respondent drafted a Compromise Agreement, which was approved by the court, partitioning the property among the Heirs of Jose, the Maguigads, and Concepcion. In the agreement, respondent acted as counsel for both the intervenors (Maguigads) and the defendant (Concepcion). On the same date, Concepcion executed deeds of sale covering her retained portion in favor of respondent and his family. In 2011, the Heirs of Jose discovered the earlier illegal retentions. In 2012, respondent negotiated the sale of about 130,000 sq. m. of the land, including portions under his name, to Camella Homes. In 2013, the Maguigads moved for execution of the compromise agreement, informing the court they had rescinded respondent’s services. A survey revealed the Camella Homes development encroached on areas allotted to the Maguigads and Heirs of Jose. Complainant alleged respondent committed unlawful conduct by acquiring an interest in the litigated property, representing conflicting interests, and executing falsities in the compromise agreement, violating the Lawyer’s Oath and the Code of Professional Responsibility.

ISSUE

Whether respondent Atty. Placido M. Sabban violated the Lawyer’s Oath and the Code of Professional Responsibility, warranting disciplinary action.

RULING

Yes. The Court found respondent guilty of multiple violations. First, he violated Rule 1.01 of the Code of Professional Responsibility (CPR) by engaging in unlawful, dishonest, and deceitful conduct. He and his father acquired an interest in the subject property through the 1995 Deed and DAR retention applications while actively involved in the litigation, concealing the pending case from the DAR. This constituted acquiring an interest in the subject matter of litigation, which is prohibited. Second, he violated Rule 15.03 of the CPR by representing conflicting interests. He represented the intervenors Maguigads, whose claim was adverse to defendant Concepcion, yet he also acted as counsel for Concepcion in the 2008 Compromise Agreement and subsequent motions, without obtaining written consent from all concerned clients. Third, he violated Canon 10 and Rule 10.01 of the CPR by failing to uphold the truth and engaging in misrepresentation. The Compromise Agreement he drafted and submitted to the court was fraudulent as it partitioned the property without disclosing that portions had already been awarded to tenants under DAR’s Operation Land Transfer and that he and his father had acquired interests in it, prejudicing the Heirs of Jose and the Maguigads. His actions demonstrated a betrayal of his oath and a lack of the good moral character required of lawyers. Considering the gravity of the offenses and the presence of aggravating circumstances (his father was previously disbarred for related conduct, and respondent showed no remorse), the Supreme Court DISBARRED Atty. Placido M. Sabban from the practice of law, with his name ordered stricken from the Roll of Attorneys. He was also ordered to return the fees received from the Maguigads, with interest.