GR L 4281; (March, 1908) (Digest)
G.R. No. L-4281
JOSE GARRIDO, Plaintiff-Appellant, vs. AGUSTIN ASENCIO, Defendant-Appellee.
March 30, 1908 | En Banc | Carson, J.
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FACTS:
1. Partnership Dissolution: Plaintiff Jose Garrido and defendant Agustin Asencio were partners in Asencio y Cia. The partnership was dissolved by mutual agreement due to financial difficulties.
2. Claims:
– Plaintiff: Sought recovery of his capital investment from Asencio, who retained control of the partnership’s books and funds.
– Defendant: Counterclaimed that losses exceeded profits, leaving no surplus for distribution, and demanded Garrido’s contribution to cover his share of losses under the partnership agreement.
3. Trial Court Ruling: Found defendant’s evidence (including the estado de cuentaspartnership account statementand supporting vouchers) sufficient to prove losses, dismissing Garrido’s claim and upholding Asencio’s counterclaim.
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ISSUE:
1. Competency of Evidence: Whether the trial court erred in admitting the estado de cuentas as competent evidence despite alleged non-compliance with the Code of Commerce’s bookkeeping requirements.
2. Sufficiency of Evidence: Whether the evidence substantiated the partnership’s losses.
3. Judgment Error: Whether the trial court erred in denying Garrido’s claim.
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RULING:
The Supreme Court affirmed the trial court’s judgment, holding:
1. Admissibility of Accounts:
– The estado de cuentas was admissible under Section 338 of the Code of Civil Procedure as a memorandum to refresh witness testimony.
– Garrido failed to object to its admission during trial or specify inaccuracies despite access to the records for six weeks.
– Under Behn, Meyer & Co. v. Rosatzin (5 Phil. 660), partnership books kept jointly by partners are presumed accurate unless proven fraudulent or mistaken.
2. Evidence of Losses: The trial court’s scrutiny of the accounts and vouchers supported its finding of losses, and Garrido provided no concrete proof of errors.
3. Judgment: No reversible error found; the trial court’s decision was upheld.
Disposition: Judgment affirmed with costs against appellant Garrido.
Concurring: Arellano, C.J., Torres, Mapa, Johnson, Willard, and Tracey, JJ.
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Key Doctrine: Partnership books maintained jointly by partners are prima facie evidence of their accuracy, and a partner challenging their validity must demonstrate fraud or mistake with specificity.