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PNB Vs. Mega Prime Realty and Holdings Corporation

PHILIPPINE NATIONAL BANK, Petitioner, versus MEGA PRIME REALTY AND HOLDINGS CORPORATION,Respondent.

G.R. No. 173454 | 2008-10-06

D E C I S I O N


REYES, R.T., J.:

IN sales of realty, a breach in the warranties of the seller entitles the buyer to a proportionate reduction of the purchase price.

The principle is illustrated in these consolidated petitions for review on certiorari of the Decision[1] and Resolution[2] of the Court of Appeals (CA) in CA-G.R. CV No. 66759, which reversed and set aside that of the Regional Trial Court (RTC) in Malabon City. Earlier, the RTC invalidated the sale of shares of stock in PNB Management and Development Corporation (PNB-Madecor) by and between Mega Prime Realty Corporation (Mega Prime), as vendee, and the Philippine National...