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SUBIC BAY METROPOLITAN AUTHORITY, RICHARD J. GORDON, FERDINAND M. ARISTORENAS, MANUEL W. QUIJANO and RAYMOND P. VENTURA, petitioners, vs. UNIVERSAL INTERNATIONAL GROUP OF TAIWAN, UIG INTERNATIONAL DEVELOPMENT CORPORATION and SUBIC BAY GOLF AND COUNTRY CLUB, Inc., respondents.

SUBIC BAY METROPOLITAN AUTHORITY, RICHARD J. GORDON, FERDINAND M. ARISTORENAS, MANUEL W. QUIJANO and RAYMOND P. VENTURA, petitioners, vs. UNIVERSAL INTERNATIONAL GROUP OF TAIWAN, UIG INTERNATIONAL DEVELOPMENT CORPORATION and SUBIC BAY GOLF AND COUNTRY CLUB, Inc., respondents.

G.R. No. 131680 | 2000-09-14

D E C I S I O N
PANGANIBAN, J.:
A stipulation authorizing a party to extrajudicially rescind a contract and to recover possession of the property in case of contractual breach is lawful. But when a valid objection is raised, a judicial determination of the issue is still necessary before a takeover may be allowed. In the present case, however, respondents do not deny that there was such a breach of the Agreement; they merely argue that the stipulation allowing a rescission and a recovery of possession is void. Hence, the other party may validly enforce such stipulation.
The Case
Before us is a Petition[1] under Rule 45 of the Rules of...