Professional Documents
Culture Documents
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
*
G.R.No.152878.May5,2003.
ActionsDismissalsofCasesRefilingofCasesDocketFees Plead
ingsandPracticeThe procedure for dismissed cases where refiled is the
same as though it was initially lodged, i.e., the filing of answer, reply,
answer to counterclaim, including other footdragging maneuvers, except
fortherigmaroleofrafflingcaseswhichisdispensedwithsincetherefiled
complaintisautomaticallyassignedtothebranchtowhichtheoriginalcase
pertaineda complaint that is refiled leads to the reenactment of past
proceedings with the concomitant full attention of the same trial court
exercisinganimmaculateslewofjurisdictionandcontroloverthecasethat
was previously dismissed.On the task at hand, we see no reason why
RTCBr. 135 of Makati City should stop short of hearing the civil case on
the merits. There is no substantial policy worth pursuing by requiring
petitioner to pay again the docket fees when it has already discharged this
obligationsimultaneouslywiththefilingofthecomplaintforcollectionofa
sumofmoney.Theprocedurefordismissedcaseswhenrefiledisthesame
asthoughitwasinitiallylodged,i.e.,thefilingofanswer,reply,
_______________
*SECONDDIVISION.
593
VOL.402,MAY5,2003 593
RizalCommercialBankingCorporationvs.MagwinMarketing
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answer to counterclaim, including other footdragging maneuvers, except
fortherigmaroleofrafflingcaseswhichisdispensedwithsincetherefiled
complaintisautomaticallyassignedtothebranchtowhichtheoriginalcase
pertained. A complaint that is refiled leads to the reenactment of past
proceedings with the concomitant full attention of the same trial court
exercising an immaculate slew of jurisdiction and control over the case that
waspreviouslydismissed,whichinthecontextoftheinstantcaseisawaste
ofjudicialtime,capitalandenergy.
SameSameSameSame Once the dismissal attains the attribute of
finality, the trial court cannot impose legal fees anew because a final and
executory dismissal although without prejudice divests the trial court of
jurisdictionoverthecivilcase.Theadditionofthesecondsentenceinthe
secondparagraphdoesnotchangetheabsolutenullificationofthedismissal
without prejudice decreed in the first paragraph. The sentence [f]ailure on
the part of plaintiff to submit the said agreement shall cause the imposition
of payment of the required docket fees for refiling of this case is not a
directivetopaydocketfeesbutonlyastatementoftheeventthatmayresult
in its imposition. The reason for this is that the trial court could not have
possibly made such payment obligatory in the same civil case, i.e., Civil
Case No. 99518, since docket fees are defrayed only after the dismissal
becomes final and executory and when the civil case is refiled. It must be
emphasized however that once the dismissal attains the attribute of finality,
the trial court cannot impose legal fees anew because a final and executory
dismissal although without prejudice divests the trial court of jurisdiction
overthecivilcaseaswellasanyresidualpowertoorderanythingrelativeto
the dismissed case it would have to wait until the complaint is docketed
onceagain.Ontheotherhand,ifwearetoconcedethatthetrialcourtretains
jurisdictionoverCivilCaseNo.99518forittoissuetheassailedOrders,a
continuation of the hearing thereon would not trigger a disbursement for
docket fees on the part of petitioner as this would obviously imply the
settingasideoftheorderofdismissalandthereinstatementofthecomplaint.
SameSame Words and Phrases A final order issued by a court
has been defined as one which disposes of the subject matter in its entirety
or terminates a particular proceeding or action, leaving nothing else to be
done but to enforce by execution what has been determined by the court,
while an interlocutory order is one which does not dispose of a case
completelybutleavessomethingmoretobedecidedupon.Thesameistrue
with the Order of 16 November 2000 denying due course to petitioners
Notice of Appeal. There would have been no basis for such exercise of
discretion because the jurisdiction of the court a quo over the civil case
would have been discharged and terminated by the presumed dismissal
thereof.Moreover,wenotethegroundfordenyingduecoursetotheappeal:
theOrdersdated8September2000and6November2000arein
594
594 SUPREMECOURTREPORTSANNOTATED
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VOL.402,MAY5,2003 595
RizalCommercialBankingCorporationvs.MagwinMarketing
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timeor(c)ifhedoesnotcomplywiththerulesoranyorderofthecourt.
We also find nothing in the record to support respondent Uys conclusion
that petitioner has been mercilessly delaying the prosecution of Civil Case
No. 99518 to warrant its dismissal. A complaint may be dismissed due to
plaintiffs fault: (a) if he fails to appear during a scheduled trial, especially
onthedateforthepresentationofhisevidenceinchief,orwhensorequired
atthepretrial(b)ifheneglectstoprosecutehisactionforanunreasonable
lengthoftimeor(c)ifhedoesnotcomplywiththerulesoranyorderofthe
court.Noneofthesewasobtaininginthecivilcase.
Same Same To constitute a sufficient ground for dismissal, the
inattention of plaintiff to pursue his cause must not only be prolonged but
also be unnecessary and dilatory resulting in the trifling of judicial
processes. Admittedly, delay took place in this case but it was not an
interruptionthatshouldhaveentailedthedismissalofthecomplaintevenif
such was designated as without prejudice. To constitute a sufficient ground
for dismissal, the inattention of plaintiff to pursue his cause must not only
beprolongedbutalsobeunnecessaryanddilatoryresultinginthetriflingof
judicialprocesses.Intheinstantcase,theadjournmentwasnotonlyfleeting
as it lasted less than six (6) months but was also done in good faith to
accommodate respondents incessant pleas to negotiate. Although the
dismissalofacaseforfailuretoprosecuteisamatteraddressedtothesound
discretion of the court, that judgment however must not be abused. The
availability of this recourse must be determined according to the procedural
history of each case, the situation at the time of the dismissal, and the
diligence of plaintiff to proceed therein. Stress must also be laid upon the
officialdirectivethatcourtsmustendeavortoconvincepartiesinacivilcase
to consummate a fair settlement,and to mitigate damages to be paid by the
losing party who has shown a sincere desire for such giveandtake. All
things considered, we see no compelling circumstances to uphold the
dismissalofpetitionerscomplaintregardlessofitscharacterizationasbeing
withoutprejudice.
Same Same A court may dismiss a case on the ground of non
prosequitur but the real test of the judicious exercise of such power is
whetherunderthecircumstancesplaintiffischargeablewithwantoffitting
assiduousness in not acting on his complaint with reasonable promptitude.
Infine,petitionercannotbesaidtohavelostinterestinfightingthecivil
case to the end. A court may dismiss a case on the ground of non
prosequitur but the real test of the judicious exercise of such power is
whether under the circumstances plaintiff is chargeable with want of fitting
assiduousness in not acting on his complaint with reasonable promptitude.
Unless a partys conduct is so indifferent, irresponsible, contumacious or
slothful as to provide substantial grounds for dismissal, i.e., equivalent to
default or nonappearance in the case, the courts should consider lesser
sanctions which would still amount to achieving the desired end. In the
absenceofa
596
596 SUPREMECOURTREPORTSANNOTATED
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
patternorschemetodelaythedispositionofthecaseorofawantonfailure
toobservethemandatoryrequirementoftherulesonthepartoftheplaintiff,
asinthecaseatbar,courtsshoulddecidetodispenseratherthanwieldtheir
authoritytodismiss.
SameSamePreTrialBy means of pretrial, the trial court is fully
empowered to sway the litigants to agree upon some fair compromise.
Clearly,anothercreativeremedywasavailabletothecourtaquotoattaina
speedy disposition of Civil Case No. 99518 without sacrificing the course
ofjustice.Sincethefailureofpetitionertosubmitacompromiseagreement
wastherefusalofjustoneofhereinrespondents,i.e.,BenitoSy,tosignhis
name on the conforme of the loan restructure documents, and the common
concernofthecourtsaquowasdispatchintheproceedings,theholdingofa
pretrialconferencewasthebestsuitedsolutiontotheproblemasthisstage
in a civil action is where issues are simplified and the dispute quickly and
genuinely reconciled. By means of pretrial, the trial court is fully
empoweredtoswaythelitigantstoagreeuponsomefaircompromise.
SameSameDismissing the civil case and compelling the plaintiff to
refileitscomplaintisadangerous,costlyandcircuitousroutethatmayend
up aggravating, not resolving, the disagreementinconsiderate dismissals,
even if without prejudice, do not constitute a panacea nor a solution to the
congestion of court dockets.Dismissing the civil case and compelling
petitionertorefileitscomplaintisadangerous,costlyandcircuitousroute
that may end up aggravating, not resolving, the disagreement. This case
management strategy is frighteningly deceptive because it does so at the
expenseofpetitionerwhosecauseofaction,perhaps,mayhavealreadybeen
admittedbyitsadversepartiesasshownbythree(3)offour(4)defendants
not willing to contest petitioners allegations, and more critically, since this
approach promotes the useless and thankless duplication of hard work
already undertaken by the trial court. As we have aptly observed,
[i]nconsiderate dismissals, even if without prejudice, do not constitute a
panaceanorasolutiontothecongestionofcourtdockets.Whiletheylenda
deceptive aura of efficiency to records of individual judges, they merely
postponetheultimatereckoningbetweentheparties.Intheabsenceofclear
lack of merit or intention to delay, justice is better served by a brief
continuance,trialonthemerits,andfinaldispositionofthecasesbeforethe
court.
PETITIONforreviewoncertiorariofadecisionoftheCourtof
Appeals.
ThefactsarestatedintheopinionoftheCourt.
SiguionReyna,MontecilloandOngsiakoforpetitioner.
597
VOL.402,MAY5,2003 597
RizalCommercialBankingCorporationvs.MagwinMarketing
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Sycip,Salazar,HernandezandGatmaitanforrespondentA.Uy.
ErnestS.Ang,Jr.forprivaterespondents.
BELLOSILLO,J.:
WEAREPERTURBEDthatthiscaseshoulddragthisCourtinthe
banalattemptstodecipherthehazyandconfusedintentofthetrial
court in proceeding with what would have been a simple,
straightforward and hardly arguable collection case. Whether the
dismissal without prejudice for failure to prosecute was
unconditionallyreconsidered,reversedandsetasidetoreinstatethe
civil case and have it ready for pretrial are matters which should
havebeenclarifiedandresolvedinthefirstinstancebythecourta
quo. Unfortunately, this feckless imprecision of the trial court
became the soup stock of the parties and their lawyers to further
delaythecasebelowwhentheycouldhaveotherwiseputthingsin
properorderefficientlyandeffectively.
On 4 March 1999 petitioner Rizal Commercial Banking
Corporation (RCBC) filed a complaint for recovery of a sum of
money with prayer for a writ of preliminary attachment against
respondentsMagwinMarketingCorporation,NelsonTiu,BenitoSy
1
andAndersonUy.2
On26April1999,thetrialcourtissuedawritof
attachment. On4June1999thewritwasreturnedpartiallysatisfied
sinceonlyaparceloflandpurportedlyownedbydefendantBenito
3
Sywasattached. Inthemeantime,summonswasservedoneachof
the defendants, respondents herein, who filed their respective
answers, except for defendant Gabriel Cheng who was dropped
without prejudice
4
as partydefendant as his whereabouts could not
be located. On 21 September 1999 petitioner moved for an alias
writ 5of attachment which on 18 January 2000 the court a quo de
nied.
_______________
Magwin Marketing Corporation, et al., which was raffled to RTCBr. 135, Makati
CityRollo,p.4.
2CARecord,p.234.
3Id.,atp.237.
4Id.,atp.7.
5Id.,atp.237.
598
598 SUPREMECOURTREPORTSANNOTATED
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
6
Petitionerdidnotcausethecasetobesetforpretrial. Foraboutsix
(6) months thereafter, discussions between petitioner and
respondentsMagwinMarketingCorporation,NelsonTiu,BenitoSy
and Anderson Uy, as parties in Civil Case No. 99518, were
undertaken to restructure
7
the indebtedness of respondent Magwin
MarketingCorporation. On9May2000petitionerapprovedadebt
payment scheme for the corporation which on 15 May 2000 was
communicatedtothelatterbymeansofaletterdated10May2000
for the conformity of its officers, i.e., respondent Nelson Tiu as
President/General Manager of Magwin Marketing8
Corporation and
respondentBenitoSyasDirectorthereof. Only respondent Nelson
Tiuaffixedhissignatureonthelettertosignifyhisagreementtothe
9
termsandconditionsoftherestructuring.
On 20 July 2000 the RTC of Makati City, on its own initiative,
issuedanOrderdismissingwithoutprejudiceCivilCaseNo.99518
forfailureofpetitionerasplaintiffthereintoprosecuteitsactionfor
10
anunreasonablelengthoftimexxx. On31July2000petitioner
movedforreconsiderationoftheOrderbyinformingthetrialcourt
of respondents unremitting desire to settle11
the case amicably
through a loan restructuring program. On 22 August 2000
petitioner notified the trial court of the acquiescence thereto of
respondent Nelson Tiu as an officer 12of Magwin Marketing
Corporationanddefendantinthecivilcase.
On 8 September 2000 the court a quo issued an Order
reconsideringthedismissalwithoutprejudiceofCivilCaseNo.99
518
ActingonplaintiffsMotionforReconsiderationoftheOrderdated20July
2000dismissingthiscaseforfailuretoprosecute,itappearingthattherewas
already conformity to the restructuring of defendants indebtedness with
plaintiff by defendant Nelson Tiu, President of defendant corporation per
Manifestation and Motion filed by plaintiff on 22 August 2000, there
being probability of settlement among the parties, as prayed for, the Order
dated20July2000isherebysetaside.
_______________
6Id.,atp.234.
7Rollo,p.6CARecord,p.136.
8Id.,atp.6id.,atpp.4243.
9Rollo,p.7.
10Ibid.
11CARecord,p.242.
12Rollo,p.7.
599
VOL.402,MAY5,2003 599
RizalCommercialBankingCorporationvs.MagwinMarketing
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On15November2000petitionerfileditsNoticeofAppealfromthe
8 September 2000 Order of the trial court as well as its undated
OrderinCivilCaseNo.99518.On16November2000the
_______________
13OrderissuedbyJudgeFranciscoB.IbayCARecord,p.24.
14Rollo,p.8.
15Ibid.
16Id.,atp.9.
17OrderissuedbyJudgeFranciscoB.IbayCARecord,p.25.
600
600 SUPREMECOURTREPORTSANNOTATED
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
trialcourtissuedtwo(2)Orders,oneofwhichinsertedthedate6
November2000intheundatedOrderrejectingpetitionersmotion
forpretrialinthecivilcase,andtheotherdenyingduecoursetothe
NoticeofAppealonthegroundthattheOrdersdated8September
2000 and 6 November 2000 are 18
interlocutory orders and therefore,
noappealmaybetakenxxx.
On 7 December 2000 petitioner elevated the Orders dated 8
September 2000, 6 November 2000 and 16 November 2000 of the
trialcourttotheCourtofAppealsinapetitionforcertiorariunder
19
Rule 65 of the Rules of Civil Procedure. In the main, petitioner
arguedthatthecourtaquohadnoauthoritytocompelthepartiesin
Civil Case No. 99518 to enter into an amicable settlement nor to
deny the holding of a pretrial conference on the ground 20
that no
compromiseagreementwasturnedovertothecourtaquo.
On 28 September 2001 the appellate court promulgated its
Decisiondismissingthepetitionforlackofmeritandaffirmingthe
21
assailedOrdersofthetrialcourt holdingthat
_______________
18CARecord,pp.3233.
JudgeFranciscoB.Ibay,etal.
20Id.,atpp.1113.
Presiding Justice (now Associate Justice of this Court) Ma. Alicia AustriaMartinez and
AssociateJusticeJoseL.Sabio,Jr.Rollo,pp.2635.
601
VOL.402,MAY5,2003 601
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party need not pay docket fees22for the refiling of a case if the original case
hasbeenrevivedandreinstated.
On2April2002reconsiderationoftheDecisionwasdeniedhence,
thispetition.
Intheinstantcase,petitionermaintainsthatthetrialcourtcannot
coercethepartiesinCivilCaseNo.99518toexecuteacompromise
agreement and penalize their failure to do so by refusing to go
forward with the pretrial conference. To hold otherwise, so
petitioner avers, would violate Art. 2029 of the Civil Code which
providesthat[t]hecourtshallendeavortopersuadethelitigantsin
acivilcasetoagreeuponsomefaircompromise,andthisCourts 23
ruling in Goldloop Properties, Inc. v. Court of Appeals where it
washeldthatthetrialcourtcannotdismissacomplaintforfailureof
thepartiestosubmitacompromiseagreement.
On the other hand, respondent Anderson Uy filed his comment
after several extensions asserting that there are no special and
important reasons for undertaking this review. He also alleges that
petitionersattackislimitedtotheOrderdated8September2000as
towhetheritisconditionalastheCourtofAppealssofoundandthe
applicabilitytothiscaseoftherulinginGoldloopProperties,Inc.v.
Court of Appeals. Respondent Uy claims that the Order
reconsidering the dismissal of Civil Case No. 99518 without
prejudice is on its face contingent upon the submission of the
compromise agreement which in the first place was the principal
reasonofpetitionertojustifythewithdrawaloftheOrderdeclaring
his failure to prosecute the civil case. He further contends that the
trial court did not force the parties in the civil case to execute a
compromise agreement, the truth being that it dismissed the
complaintthereinforpetitionersdereliction.
Finally, respondent Uy contests the relevance of Goldloop
Properties, Inc. v. Court of Appeals, and refers to its incongruence
with the instant case, i.e., that the complaint of petitioner was
dismissedforfailure to prosecute and not for its reckless disregard
to present an amicable settlement as was the situation in Goldloop
Properties, Inc., and that the dismissal was without prejudice, in
contrastwiththedismissalwithprejudiceorderedinthecited
_______________
22Id.,atp.34.
23G.R.No.99431,11August1992,212SCRA498.
602
602 SUPREMECOURTREPORTSANNOTATED
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
_______________
24Resolutiondated18September2002Rollo,p.43.
25The2002RevisedManualforClerksofCourts,Vol.I,p.223.
26BaaresIIv.Balising,G.R.No.132624,13March2000,328SCRA36.
603
VOL.402,MAY5,2003 603
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What judicial benefit do we derive from starting the civil case all
overagain,especiallywherethree(3)ofthefour(4)defendants,i.e.,
MagwinMarketingCorporation,NelsonTiuandBenitoSy,havenot
contestedpetitionerspleabeforethisCourtandthecourtsaquoto
advance to pretrial conference? Indeed, to continue hereafter with
theresolutionofpetitionerscomplaintwithouttheusualprocedure
fortherefilingthereof,wewillsavethecourtaquoinvaluabletime
and other resources far outweighing the docket fees that petitioner
wouldbeforfeitingshouldweruleotherwise.
Going over the specifics of this petition and the arguments of
respondent Anderson Uy, we rule that the Order of 8 September
2000didnotreserveconditionsonthereconsiderationandreversal
of the Order dismissing without prejudice Civil Case No. 99518.
Thisisquiteevidentfromitstextwhichdoesnotusewordstosignal
anintenttoimposeridersonthedispositiveportion
ContrarytorespondentUysasseverations,theimpactofthesecond
paragraph upon the first is simply to illustrate what the trial court
would do after setting aside the dismissal without prejudice:
submission of the compromise agreement for the consideration of
thetrialcourt.Nothinginthesecondparagraphdowereadthatthe
reconsideration is subject to two (2) qualifications. Certainly28far
from it, for in Goldloop Properties, Inc. v. Court of Appeals a
similardirective,i.e.,[t]hepartiesaregivenaperiodoffifteen(15)
daysfromtodaywithinwhichtosubmitaCompromiseAgreement,
washeldtomeanthatshouldthepartiesfailintheir
_______________
27IssuedbyJudgeFranciscoB.IbayCARecord,p.24.
28SeeNote22atp.506.
604
604 SUPREMECOURTREPORTSANNOTATED
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
_______________
1994,234SCRA455Aquizapv.Basilio,No.L21293,29December1967,21SCRA
1434.
605
VOL.402,MAY5,2003 605
RizalCommercialBankingCorporationvs.MagwinMarketing
Corporation
ber2000?Ordowecountitfromthe6November2000Orderwhen
thetrialcourtdeniedtheholdingofapretrialconference?Ormust
it be upon petitioners receipt of the 16 November 2000 Order
denyingduecoursetoitsNoticeofAppeal?Thecourta quo could
not have instituted an Order that marked the proceedings before it
with a shadow of instability and chaos rather than a semblance of
constancyandfirmness.
Thesubsequentactionsofthetrialcourtalsobelieanintentionto
revive the Order of dismissal without prejudice in the event that
petitionerfailstosubmitacompromiseagreement.TheOrdersof6
and 16 November 2000 plainly manifest that it was retaining
jurisdiction over the civil case, a fact which would not have been
possible had the dismissal without prejudice been resuscitated.
Surely,thecourtaquocouldnothavedeniedon6November2000
petitionersmotiontocalendarCivilCaseNo.99518forpretrialif
thedismissalhadbeenrestoredtolifeinthemeantime.Bythenthe
dismissal without prejudice would have already become final and
executorysoastoeffectivelyremovethecivilcasefromthedocket
ofthetrialcourt.
ThesameistruewiththeOrderof 16November2000 denying
duecoursetopetitionersNoticeofAppeal.Therewouldhavebeen
no basis for such exercise of discretion because the jurisdiction of
thecourtaquooverthecivilcasewouldhavebeendischargedand
terminated by the presumed dismissal thereof. Moreover, we note
thegroundfordenyingduecoursetotheappeal:theOrdersdated8
September2000and6November2000areinterlocutoryordersand
30
therefore, no appeal may be taken from x x x. This declaration
strongly suggests that something more was to be accomplished in
the civil case, thus negating the claim that the Order of dismissal
withoutprejudicewasresurrecteduponthepartiesfailuretoyielda
compromiseagreement.Afinalorderissuedbyacourthasbeen
definedasonewhichdisposesofthesubjectmatterinitsentiretyor
terminatesaparticularproceedingoraction,leavingnothingelseto
be done but to enforce by execution what has been determined by
the court, while an interlocutory order is one which does not
dispose of a31case completely but leaves something more to be
decidedupon.
_______________
30CARecord,pp.3233.
31SeeNote26.
606
606 SUPREMECOURTREPORTSANNOTATED
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
SincethereisnothingintheRulesthatimposesthesanctionofdismissalfor
failing to submit a compromise agreement, then it is obvious that the
dismissal of the complaint on the basis thereof amounts no less to a gross
procedural infirmity assailable by certiorari. For such submission could at
mostbedirectoryandcouldnotresultinthrowingoutthecaseforfailureto
effect a compromise. While a compromise is encouraged, very strongly in
fact, failure to consummate one does not warrant any procedural sanction,
muchlessanauthoritytojettisonacivilcomplaintworthP4,000,000.00xx
xPlainly,submissionofacompromiseagreementisnevermandatory,noris
32
itrequiredbyanyrule.
_______________
32SeeNote22atp.506.
33Ibid.
607
VOL.402,MAY5,2003 607
RizalCommercialBankingCorporationvs.MagwinMarketing
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34
concession. Hence,ifonlytoinspireconfidenceinthepursuitofa
middle ground between petitioner and respondents, we must not
interpretthetrialcourtsOrdersasdismissingtheactiononitsown
motion because the parties, specifically petitioner, were anxious to
litigate their case as exhibited in their several manifestations and
motions.
We reject respondent Uys contention that Goldloop Properties,
Inc.v.CourtofAppealsisirrelevanttothecaseatbaronthedubious
reasoningthatthecomplaintofpetitionerwasdismissedforfailure
to prosecute and not for the nonsubmission of a compromise
agreement which was the bone of contention in that case, and that
the dismissalimposed in the instant case was without prejudice, in
contrasttothedismissalwithprejudicedecreedinthecitedcase.To
begin with, whether the dismissal is with or without prejudice if
grievously erroneous is detrimental to the cause of the affected
party Goldloop Properties, Inc. does not tolerate a wrongful
dismissal just because it was without prejudice. More importantly,
thefactsinGoldloopProperties,Inc.involve,asintheinstantcase,
a dismissal for failure to prosecute on the ground of the parties
inability to come up with a compromise agreement within fifteen
(15) days from notice of the courts order therein. All told, the
parallelismbetweenthemisunmistakable.
Even if we are to accept on face value respondents
understanding of Goldloop Properties, Inc. as solely about the
failure to submit a compromise agreement, it is apparent that the
presentcaseconfrontsasimilarproblem.Perhapsinitiallytheissue
wasoneoffailuretoprosecute,ascanbeobservedfromtheOrder
dated 20 July 2000, although later reversed and set aside. But
thereafter,intheOrderof6November2000,thetrialcourtrefused
toproceedtopretrialowingtothefailureoftheplaintifftosubmit
a compromise agreement pursuant to the Order dated 8 September
2000.Whenthecivilcasewasstalledonaccountofthetrialcourts
refusaltocallthepartiestoapretrialconference,thereasonorbasis
thereforwastheabsenceofanegotiatedsettlementacircumstance
that takes the case at bar within the plain ambit of Goldloop
Properties, Inc. In any event, given that the instant case merely
revolvesaroundthesearchforareasonableinterpretation
_______________
34CivilCode,art.2029seeSCAdm.OrderNo.2101seealsoA.M.No.99601
SC.
608
608 SUPREMECOURTREPORTSANNOTATED
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
609
VOL.402,MAY5,2003 609
RizalCommercialBankingCorporationvs.MagwinMarketing
Corporation
_______________
35Calalangv.CourtofAppeals,G.R.No.103185,22January1993,217SCRA462.
36SeeNote34.
37CivilCode,art.2031.
38BankofthePhilippineIslandsv.CourtofAppeals,G.R.No.117385,11February
1999,303SCRA19.
39Ibid.
610
610 SUPREMECOURTREPORTSANNOTATED
RizalCommercialBankingCorporationvsMagwinMarketing
Corporation
_______________
40Macasav.Herrera,101Phil.44,48(1957).
611
VOL.402,MAY5,2003 611
RizalCommercialBankingCorporationvs.MagwinMarketing
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CivilCaseNo.99518isdeemedREINSTATEDin,asitwasnever
takenoutfrom,thedocketsoftheRegionalTrialCourt,Branch135,
of Makati City. The trial court is ORDERED to exercise its
jurisdictionoverCivilCaseNo.99518,toCONDUCTthepretrial
conference therein with dispatch, and to UNDERTAKE thereafter
suchotherproceedingsasmayberelevant,withoutpetitionerbeing
charged anew docket or other legal fees in connection with its
reinstatement.Costsagainstrespondents.
SOORDERED.
Quisumbing,AustriaMartinezandCallejo,Sr.,JJ.,concur.
Petitiongranted,judgmentandresolutionreversedandsetaside.
o0o
612
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