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Philippine Bank of Communications vs. Rivera

PHILIPPINE BANK OF COMMUNICATIONS, PETITIONER, VS. RIA DE GUZMAN RIVERA, RESPONDENT.

G.R. No. 217411* | 2023-12-13

D E C I S I O N
 
GESMUNDO, C.J.:
 
An "ON-US check" refers to a client's check drawn and deposited on the same branch of a bank. Once an ON-US check is cleared and credited to a payee's account, the bank can no longer enforce a stop payment order and debit the payee's account. When a late stop payment order is enforced and the payee's account is debited, resulting in the dishonor of the check drawn from such account, the bank is deemed to have committed a breach of contract which makes it liable for damages.

This is an Appeal by Certiorari[1] under Rule 45 of the Revised Rules of Court, which seeks...