7/23/2019 Velasquez v George Spec Pro

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VELASQUEZ V GEORGE

RULE 87

Maria Velasquez Vda. De George and her hildren! "lain#i$$s herein! are #he %ido% and

legi#i&a#e hildren o$ #he la#e 'en(a&in George %hose es#a#e is under in#es#a#e "roeedings.

)lain#i$$s alleged #ha# #he * de$endan#+&or#gagors are o$$iers o$ #he ,slan Assoia#es ,n. AndresMunoz! aside $ro& -eing #he #reasurer+dire#or o$ said or".! %as also a""oin#ed and quali$ied as

ad&inis#ra#or o$ #he es#a#e o$ 'en(a&in George in #he a-oe s"eial "roeedings. 'en(a&in

George! o%ned /0.81 or /2/ shares ou# o$ 384 shares o$ s#o5 in #he or". 6i#hou# "rior

a""roal $ro& #he "ro-a#e our# and %i#hou# no#ie #o #he heirs and #heir ounsel! #he de$endan#+

&or#gagors eeu#ed a Deed o$ irs# Real Es#a#e Mor#gage in $aor o$ #he de$endan#+&or#gagee

Erlinda Villanuea! oering 2 "arels o$ land o%ned -9 ,sland Asso. ,n said Deed! #he

de$endan#+&or#gagors also e"ressl9 %aied #heir righ# #o redee& #he said "arels. Su-sequen#l9!

a "o%er o$ a##orne9 %as eeu#ed -9 #he de$endan#+&or#gagors in $aor o$ Villanuea %here-9

#he la##er %as gien $ull "o%er and au#hori#9 #o ede! #rans$er and one9 #he "arels o$ land

%i#hin #he regle&en#ar9 "eriod "roided -9 la% $or rede&"#ion. A er#i$ia#e o$ sale%as eeu#ed

in $aor o$ Villanuea a$#er she su-&i##ed #he highes# -ids a# #he "u-li Au#ion. :his led #o #he

eeu#ion o$ a Deed o$ Sale and A$$idai# o$ ;onsolida#ion o$ O%nershi" -9 ir#ue o$ %hih

:;:s oering #he 2 "arels %ere anelled and ne% :;:s %ere issued in $aor o$ Villanuea.

)lain#i$$s #here$ore $iled a o&"lain# $or #he annul&en# o$ #he dou&en#s eeu#ed %hih led #o

#he sale #oge#her %i#h #he ne% :;:s. Villanuea on#ends #ha# #he "lain#i$$s+a""ellan#s hae no

a"ai#9 #o $ile #he o&"lain# -eause #he general rule laid do%n in Rule 87! se2 o$ #he Rules o$

;our# s#a#es #ha# onl9 #he ad&inis#ra#or or eeu#or o$ #he es#a#e &a9 -ring a#ions o$ suh na#ure

as #he one in #he ase a# -ar. :he onl9 ee"#ion is %hen #he eeu#or or ad&inis#ra#or is

un%illing or $ails or re$uses #o a#! %hih ee"#ion does no# a""l9 in #he "resen# ase. :;

dis&issed #he o&"lain#.

,SSUE<

6O= #he "lain#i$$s+a""ellan#s hae #he a"ai#9 #o $ile #he o&"lain#>

?ELD<

@es. :he on#en#ion #ha# #he "ro"er "ar#9 #o $ile #he o&"lain# is #he ad&inis#ra#or o$ #he es#a#e o$ 

'en(a&in George is %i#hou# &eri#. :he ad&inis#ra#or! Andres Munoz! is #he sa&e "erson harged

 -9 #he "lain#i$$s+a""ellan#s #o hae o#ed in #he 'oard o$ Dire#ors %i#hou# seuring #he "ro"er

au#hori#9 $ro& #he "ro-a#e our# #o %hih he is aoun#a-le as ad&inis#ra#or. ,n Ra&irez s

'al#azar %e ruled #ha# sine #he ground $or #he "resen# a#ion #o annul #he a$oresaid $orelosure

 "roeedings is #he $raud resul#ing $ro& suh insidious &ahina#ions and ollusion in %hih #he

ad&inis#ra#or has allegedl9 "ar#ii"a#ed! i# %ould -e $ar $e#hed #o e"e# #he said ad&inis#ra#or

hi&sel$ #o $ile #he a#ion in -ehal$ o$ #he es#a#e. And %ho else -u# #he heirs! %ho hae an in#eres#

#o asser# and #o "ro#e#! %ould -ring #he a#ion> ,nei#a-l9! #his ase should $all under #he

7/23/2019 Velasquez v George Spec Pro

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ee"#ion! ra#her #han #he general rule #ha# "ending "roeedings $or #he se##le&en# o$ #he es#a#e!

#he heirs hae no righ# #o o&&ene an a#ion arising ou# o$ #he righ#s -elonging #o #he

deeased. :he ase a# -ar $alls under suh an ee"#ion.

6?EREORE! #he order o$ #he ;our# o$ irs# ,ns#ane o$ 'ulaan! da#ed Bune C/! C384!

dis&issing #he o&"lain# and #he order da#ed Dee&-er C! C384 den9ing #he &o#ion $orreonsidera#ion are SE: AS,DE. :he said our# is here-9 ordered #o se# #he ase $or #rial on #he

&eri#s as a-oe india#ed.