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PNB vs. AIC Construction Corporation and Sps. Bacani

PHILIPPINE NATIONAL BANK, PETITIONER, VS. AIC CONSTRUCTION CORPORATION, SPOUSES RODOLFO C. BACANI AND MA. AURORA C. BACANI, RESPONDENTS.

G.R. No. 228904 | 2021-10-13

D E C I S I O N
LEONEN, J.:
 
Courts may equitably reduce unconscionable interest charges, especially if it was determined through subjective and one-sided criteria, thus violating the principle of mutuality of contracts.
 
This Petition for Review on Certiorari[1] under Rule 45 of the Rules of Court assails the Court of Appeals' Decision[2] and Resolution,[3] which modified the ruling of the Regional Trial Court[4] and imposed the legal rate of interest on the parties' credit agreement.
 
AIC Construction Corporation (AIC Construction) is a domestic construction company owned by the spouses Rodolfo and...