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Domingo Gonzalo Vs. John Tarnate, Jr.

DOMINGO GONZALO, Petitioner, vs. JOHN TARNATE,JR., Respondent.

G.R. No. 160600 | 2014-01-15

FIRST DIVISION

DECISION

BERSAMIN, J.:

The doctrine of in pari delicto, which stipulates that the guilty parties to an illegal contract are not entitled to any relief, cannot prevent a recovery if doing so violates the public policy against unjust enrichment.

Antecedents

After the Department of Public Works and Highways (DPWH) had awarded on July 22, 1997 the contract for the improvement of the SadsadanMaba- ay Section of the Mountain Province-Benguet Road in the total amount of ~7,014,963 .33 to his company, Gonzalo Construction, 1 petitioner Domingo Gonzalo (Gonzalo) subcontracted to respondent John Tarnate, Jr. (Tarnate) on October 15, 1997,...