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Philippine Virginia Tobacco Administration Vs. Ricardo P. Tensuan, Et Al.

PHILIPPINE VIRGINIA TOBACCO ADMINISTRATION, petitioner, vs. HON. RICARDO P. TENSUAN, as Judge of the Court of First Instance of Rizal, Branch IV, Quezon City, and EASTERN VIGAN VTPA, INC., SAN NICOLAS FACOMA, INC., ILOCOS SUR TOBACCO INDUSTRIES CORP., TAGUDIN FACOMA, INC., SAN JUAN TOBACCO PLANTERS, INC., STA. MONICA TOBACCO PLANTERS ASSN., NORFEX-VILLAVICIOSA, BOUNDARY VTPA, BADOC, TOBACCO PLANTERS, INC., LUZON PRODUCERS CORP. BALAOAN FACOMA, INC., BANGUED NORFEX BANGUED TOBACCO PROD. ASSN. ARINGAY FACOMA, INC., SOUTHWESTERN SAN QUINTIN TOBACCO PLANTERS, INC., BANGUED FACOMA, INC., CENTRAL RELIANCE TOBACCO FARMERS CORP., LIDLIDDA VTPA, INC., FILIPINO AGRICULTURAL PRODUCERS, INC., LA UNION AGRICULTURAL DEVELOPMENT CORP., UNITED SAN ILDEFONSO VTG ASSOCIATION, INC., ASINGAN FACOMA, INC., and ALLIED TOBACCO PLANTERS, INC., respondents.

G.R. No. L-58817 | 1990-08-20

D E C I S I O N


PARAS, J.:

The legal issue raised for our determination is whether or not Central Bank Circular No. 416, dated July 29, 1974 and issued pursuant to the authority granted under Act No. 2655, as amended (The Usury Law), and prescribing
that:

". . . the rate of interest for the loan, or forbearance of any money, goods, or credits and the rate allowed in judgments, in the absence of express contract as to such rate of interest, shall be twelve (12%) percent per annum,"

is applicable to the decision of respondent court dated December 28, 1970 to Civil Case No. 11973 entitled "Eastern Vigan VTPA, Inc., et al. v....