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Rural Bank of Milaor vs Francisca Ocfemia, Rowena Barrogo, et al

RURAL BANK OF MILAOR (CAMARINES SUR), petitioner, vs. FRANCISCA OCFEMIA, ROWENA BARROGO, MARIFE O. NI?O, FELICISIMO OCFEMIA, RENATO OCFEMIA JR., and WINSTON OCFEMIA, respondents.

G.R. No. 137686 | 2000-02-08

D E C I S I O N

PANGANIBAN, J.:

When a bank, by its acts and failure to act, has clearly clothed its manager with apparent authority to sell an acquired asset in the normal course of business, it is legally obliged to confirm the transaction by issuing a board resolution to enable the buyers to register the property in their names. It has a duty to perform necessary and lawful acts to enable the other parties to enjoy all benefits of the contract which it had authorized.

The Case

Before this Court is a Petition for Review on Certiorari challenging the December 18, 1998 Decision of the Court of Appeals1 [Special Thirteenth Division...