SECOND DIVISION
[G.R. No. 221495. January 22, 2018.]
SPOUSES AVELINO ARABE and AIDA ARABE, petitioners,vs. CECILIA MANAHON, respondent.
NOTICE
Sirs/Mesdames :
Please take notice that the Court, Second Division, issued a Resolution dated 22 January 2018 which reads as follows:
"G.R. No. 221495 (Spouses Avelino Arabe and Aida Arabe v. Cecilia Manahon)
After a judicious study of the case, the Court resolves to DENY the instant petition and AFFIRM the June 5, 2015 Decision 1 and September 8, 2015 Resolution 2 of the Court of Appeals (CA) in CA-G.R. CV No. 04779 for failure of petitioners Spouses Avelino (Avelino) Arabe and Aida Arabe (petitioners) to sufficiently show that the CA committed any reversible error in rescinding the Amicable Settlement and ordering the delivery and return of ownership and possession of Lot 2394-A to respondent Cecilia Manahon (Cecilia).
As correctly ruled by the CA, Avelino's failure to pay Cecilia the amount of P92,500.00 pursuant to their Amicable Settlement entitles Cecilia to rescind the same. Consequently, Cecilia must return the P12,300.00 she received from petitioners, while the latter are obliged to give ownership and possession of Lot 2394-A to Cecilia. It is settled that rescission does not merely terminate the contract and release the parties from further obligations to each other, but abrogates the contract from its inception and restores the parties to their original positions as if no contract has been made. Consequently, mutual restitution, which entails the return of the benefits that each party may have received as a result of the contract, is thus required, 3 as in this case.
SO ORDERED."
Very truly yours,
MA. LOURDES C. PERFECTODivision Clerk of Court
By:
(SGD.) TERESITA AQUINO TUAZONDeputy Division Clerk of Court
Footnotes
1.Rollo, pp. 21-35. Penned by Associate Justice Jhosep Y. Lopez with Associate Justices Gabriel T. Ingles and Marilyn B. Lagura-Yap concurring.
2.Id. at 42-44.
3.Gotesco Properties, Inc. v. Spouses Eugenio and Fajardo, 705 Phil. 294, 303 (2013); citation omitted.