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Unimasters Conglomeration, Inc. vs. Court of Appeals, et al.

UNIMASTERS CONGLOMERATION, INC., petitioner vs. COURT OF APPEALS and KUBOTA AGRI MACHINERY PHILIPPINES, INC., respondents.

G.R. No. 119657 | 1997-02-07

D E C I S I O N


NARVASA, C.J.:

The appellate proceeding at bar turns upon the interpretation of a stipulation in a contract governing venue of actions thereunder arising.

On October 8, 1988 Kubota Agri-Machinery Philippines, Inc. (hereafter, simply KUBOTA) and Unimasters Conglomeration, Inc. (hereafter, simply UNIMASTERS) entered into a "Dealership Agreement for Sales and Services" of the former's products in Samar and Leyte Provinces. 1

The contract contained, among others:

1) a stipulation reading: ". . . All suits arising out of this Agreement shall be filed with/in the proper Courts of Quezon City," and

2) a provision binding...