Professional Documents
Culture Documents
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SECOND DIVISION.
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665
joinder of causes of action between the same parties one of which does not
arise out of the contract where the exclusive venue was stipulated upon, the
complaint, as in the one at bar, may be brought before other venues
provided that such other cause of action falls within the jurisdiction of the
court and the venue lies therein.
Same; Same; The restriction should be strictly construed as relating
solely to the agreement for which the exclusive venue stipulation is
embodied.In ne, since the other causes of action in petitioners
complaint do not relate to a breach of the agreement it forged with Cruz
embodying the exclusive venue stipulation, they should not be subjected
thereto. As San Miguel further enlightens: Restrictive stipulations are in
derogation of the general policy of making it more convenient for the parties
to institute actions arising from or in relation to their agreements. Thus, the
restriction should be strictly construed as relating solely to the agreement
for which the exclusive venue stipulation is embodied. Expanding the scope
of such limitation on a contracting party will create unwarranted restrictions
which the parties might nd unintended or worse, arbitrary and oppressive.
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CARPIO-MORALES, J.:
Petitioner, Uniwide Holdings, Inc. (UHI), whose principal ofce
is
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located in Paraaque City, entered into a Franchise Agreement (the
agreement) granting respondent, Alexander M. Cruz (Cruz), a veyear franchise to adopt and use the Uniwide Family Store System
for the establishment and operation of a Uniwide Family Store
along Marcos Highway,
Sta. Cruz, Cogeo, Marikina City.
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Article 10.2 of the agreement called for Cruz as franchisee to
pay UHI a monthly service fee of P50,000 or three percent of gross
monthly purchases, whichever is higher, payable within ve days
after the end of each month without need of formal billing or
demand from UHI. In case of any delay in the payment
of the
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monthly service fee, Cruz would, under Article 10.3 of the
agreement, be liable to pay an interest charge of three percent per
month.
It appears that Cruz had purchased goods from UHIs afliated
companies First Paragon Corporation (FPC) and Uniwide Sales
Warehouse Club, Inc. (USWCI).
In August
2002, FPC and USWCI executed Deeds of
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Assignment in favor of UHI assigning all their rights and interests
over Cruzs accounts payable to them.
As of August 13, 2002, Cruz had outstanding obligations with
UHI, FPC, and USWCI in the total amount of P1,358,531.89,
drawing UHI to send him a letter of even date for the settlement
thereof in ve days. His receipt of the letter notwithstanding, Cruzs
accounts remained unsettled.
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Thus UHI led a complaint for collection of sum of money
before the Regional Trial Court (RTC) of Paraaque docketed
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1
Id., at p. 14.
Ibid.
667
damages in the total amount of Phil. Peso: One Million Five Hundred
Seventy Nine Thousand Sixty One & 36/100 (P1,579,061.36), computed as
of 05 April 2004, inclusive of the two and a half percent (2.5%) monthly
interest, as and by way of penalty, and the three (3%) annual interest on the
unpaid amount, for which defendant should be held liable, with legal
interest thereon from the date of ling of this Complaint, until fully paid.
FOURTH CAUSE OF ACTION
13. By reason of defendants obstinate refusal or failure to pay his
indebtedness, plaintiff was constrained to le this Complaint and in the
process incur expenses by way of attorneys fees, which could be reasonably
estimated to reach at least Phil. Peso: Two Hun
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668
dred Fifty Thousand (P250,000.00) and for which defendant should be held
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answerable for. (Emphasis and underscoring supplied)
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Id., at p. 25.
Id., at p. 272.
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Rollo, p. 20.
669
669
Capati v. Dr. Ocampo, 199 Phil. 230, 233; 113 SCRA 794, 796 (1982).
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SECTION 5. Joinder of causes of action.A party may in one pleading assert, in the
alternative or otherwise, as many causes of action as may have against an opposing party,
subject to the following conditions:
xxxx
(c) Where the causes of action are between the same parties but pertain to different venues
or jurisdictions, the joinder may be allowed in the Regional Trial Court provided one of the
causes of action falls within the jurisdiction of said court and the venue lies therein; x x x
(italics supplied)
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670
Polytrade Corporation v. Blanco, 140 Phil. 604, 607; 30 SCRA 187, 190
(1969).
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15
671
Id., at p. 95.
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