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F:
Cesario and Teresita Carungay entered into an agreement with Ernesto
Deiparine on August 13, 1982 for a construction of a 3-storey dorom in Cebu.
They paid 970k and Deiparine bound himself to erect th said building "in strict
accordance with the plans and specifications".
Nicanor Trinidad, a civil engineer, shall be the representatives of the Carungay.
Trinidad sent Deiparine a document "General Conditions and Specifications"
prescribing a 3,000 psi minimum acceptable strength of the building.
Trinidad reported to Carungay that Deiparine was deviating from the plans.
Carungay issued a memo that he must first give his approval before the pouring
process of cement commences. This was ignored.
Both parties agreed to cylinder tests. Carungay suggested core testing as this
is more effective and scientific than the cylinder tests.
Based on 24 core samples, all failed the 3000 psi test. Only 3 passed the 2,500
samples failed. 5 passed the 2,000 psi test.
Carungay filed a complaint with the RTC of Cebu for rescission of the
construction contract and for damages. Deiparine argued that RTC has no
jurisdiction, it is the Philippines Construction Development Board (which is
actually inexistent) that has jurisdiction.
RTC ruled in favor of Carungays. CA affirmed in toto the appealed decision.
I: WON the contract between the two was validly rescinded?
H:
The implementing body being referred to is the Philippine Domestic Construction
Board not the Philippine Construction Development Board as maintained by
Deiparine.