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K-Phil., Inc. et al. Vs. Metropolitan Bank & Trust Co., et al.

K-PHIL., INC., SOO MYUNG PARK and NETWORK DEVELOPMENT HOLDING CORP., Petitioners, versus METROPOLITAN BANK & TRUST COMPANY, REGALADO E. EUSEBIO, in his capacity as Clerk of Court VI and Ex-Officio Sheriff, and REYNALDO R. CAMERINO, in his capacity as Sheriff IV, Regional Trial Court of Imus, Cavite, Respondents.

G.R. No. 167500 | 2008-10-17

D E C I S I O N


CORONA, J.:

This petition[1] seeks the reversal of the March 16, 2005 decision[2] of the Court of Appeals (CA) in CA-G.R. CV No. 80787.

In October 1996, respondent Metropolitan Bank & Trust Company (Metrobank) extended to petitioner K-Phil., Inc. (K-Phil) various loans and credit accommodations. These loans were secured by a mortgage[3] over two lots owned by petitioner Network Development Holding Corporation (Network) and occupied by K-Phil.[4] In addition, K-Phil also executed a deed of chattel mortgage[5] over its machineries and equipment.

Because of petitioners' alleged violation of the terms and conditions of...