G.R. No. L-9816; March 10, 1915
FELIX ULLMAN, plaintiff-appellee, vs. VICENTE HERNAEZ, defendant-appellant.

FACTS:
On April 5, 1900, Vicente Hernaez executed a promissory note in favor of Felix Ullman for 3,525 pesos Mexican currency. The note stipulated that the debt would be paid “as soon as I receive the portion that as an heir must come to me from the estate of Juana Espinosa, widow of Hernaez,” with annual interest at six percent. On January 5, 1913, Hernaez sold his hereditary rights from the estate of Juana Espinosa to Rosendo Hernaez for 25,000 pesos Philippine currency. Ullman filed a complaint for collection on June 2, 1913. The Court of First Instance initially sentenced Hernaez to pay the principal with interest from April 5, 1913, but upon rehearing, amended the judgment to include interest from April 5, 1900. Hernaez appealed, arguing (1) the contract was voidable because he was a minor when he executed it, and (2) the action had prescribed.

ISSUE:
1. Whether the promissory note is voidable due to the defendant’s minority at the time of its execution.
2. Whether the plaintiff’s right of action had prescribed.

RULING:

2. No, the action had not prescribed. The obligation was a conditional one, payable “as soon as” Hernaez received his inheritance. Under Article 1125 of the Civil Code, in conditional obligations, the right of action arises only when the condition is fulfilled. The condition was fulfilled on January 5, 1913, when Hernaez sold his hereditary rights and received 25,000 pesos, which was tantamount to receiving his portion from the estate. The prescriptive period began to run from that date. Since the complaint was filed on June 2, 1913, well within the applicable prescriptive period, the action was timely.

The Supreme Court affirmed the amended judgment of the lower court, ordering Hernaez to pay the debt with interest from April 5, 1900. Costs were taxed against the appellant.