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Security Bank and Trust Company vs. Mar Tierra Corporation, et al.

SECURITY BANK and TRUST COMPANY, Petitioner, versus MAR TIERRA CORPORATION, WILFRIDO C. MARTINEZ, MIGUEL J. LACSON and RICARDO A. LOPA, Respondents.

G.R. No. 143382 | 2006-11-29

SECOND DIVISION
 
D E C I S I O N 
 
CORONA, J.: 
 
May the conjugal partnership be held liable for an indemnity agreement entered into by the husband to accommodate a third party? 
 
This issue confronts us in this petition for review on certiorari assailing the November 9, 1999 decision[1] of the Court of Appeals (CA) in CA-G.R. CV No. 48107. 
 
On May 7, 1980, respondent Mar Tierra Corporation, through its president, Wilfrido C. Martinez, applied for a P12,000,000 credit accommodation with petitioner Security Bank and Trust Company. Petitioner approved the application and entered into a credit line...