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University of Mindanao vs. Bangko Sentral ng Pilipinas (BSP)

UNIVERSITY OF MINDANAO, INC., PETITIONER, VS. BANGKO SENTRAL NG PILIPINAS, ET AL., RESPONDENTS.

G.R. No. 194964-65 | 2016-01-11

D E C I S I O N
 
LEONEN, J.:
 
Acts of an officer that are not authorized by the board of directors/trustees do not bind the corporation unless the corporation ratifies the acts or holds the officer out as a person with authority to transact on its behalf.

This is a Petition for Review on Certiorari[1] of the Court of Appeals' December 17, 2009 Decision[2] and December 20, 2010 Resolution.[3] The Court of Appeals reversed the Cagayan De Oro City trial court's and the Iligan City trial court's Decisions to nullify mortgage contracts involving University of Mindanao's properties.[4]

University of Mindanao is an...