GR 78012; (May, 1989) (Digest)
G.R. No. 78012 May 5, 1989
DELTA MOTORS CORPORATION, petitioner, vs. COURT OF APPEALS, TENTH DIVISION and NATALIA CARPENA OPULENCIA, respondents.
FACTS
This case involves a Motion for Reconsideration filed by private respondent Natalia Carpena Opulencia against a Supreme Court Decision dated November 29, 1988. The underlying dispute stemmed from a Compromise Agreement executed in 1978 between the Opulencia spouses and Delta Motors Corporation (DELTA) concerning a loan obligation secured by a mortgage. The agreement was approved by the trial court. Due to the Opulencias’ failure to pay, DELTA sought execution. A sheriff’s sale was conducted in 1980, after which DELTA obtained possession of the mortgaged properties. The Supreme Court, in its November 1988 Decision, found irregularities in the execution sale proceedings but upheld the validity of the Compromise Agreement. It ordered the Opulencias to pay DELTA a specified sum within 90 days; failure to pay would result in the sale of the mortgaged properties.
ISSUE
The primary issues for reconsideration were: (1) whether possession of the properties should be restored to the Opulencias pending their payment; (2) the correct principal amount of the obligation; (3) the start date for the computation of interest; and (4) the sufficiency of the 90-day payment period.
RULING
The Supreme Court partially granted the Motion for Reconsideration. On the issue of possession, the Court ruled that ordering the immediate turnover of possession to the Opulencias would be impractical and unjust. Since the Opulencias were given a 90-day period to settle their long-standing debt, a turnover before payment would risk them regaining possession without fulfilling their obligation, unfairly prejudicing DELTA. The crucial act was for the Opulencias to pay within the granted period; upon full payment, possession would rightfully be restored to them.
Regarding the monetary award, the Court corrected the principal amount to P1,644,496.16, as this was the actual judgment debt under the Compromise Agreement, clarifying that the earlier figure included interest. On the interest, the Court set the commencement date at August 6, 1979, the date the trial court issued the writ of execution, at the stipulated rate of 12% per annum. Finally, the Court found the 90-day period for payment to be just and reasonable, considering the obligation had been pending for over a decade, and it provided the Opulencias a fresh opportunity to settle. The dispositive portion of the original decision was accordingly modified to reflect these adjustments.