King Mau Wu v Sycip (1) Although the contract of agency was executed in New York, CFI Manila has

Topic: Choice of the Forum Clause jurisdiction to try a personal action for the collection of a sum of money
arising from such contract, because a non-resident may sue a resident in the
Doctrine: Contracts executed in foreign country, cognizable by local courts; no conflict courts of this country where the defendant may be summoned and his
of laws where question involved is to enforce obligation arising from contract. property leviable upon execution in case of a favorable, final and executory.
(2) There is no conflict of laws involved in this case because it is only a question
Facts: of enforcing an obligation created by or arising from contract, and unless the
(1) This claim involves an action filed by King Mau Wu to collect P59,082.92 with enforcement of the contract be against public policy of the forum, it must
interests, arising out of a shipment of 1,000 tons of coconut oil emulsion sold by be enforced.
King, as agent of the Sycip, to Jas. Maxwell Fassett, who in turn assigned it to (3) As to the merits of the case, there can be no doubt that the sale of the 1,000
Fortrade Corporation. metric tons of coconut oil was not a separate and independent contract
(2) Under an agency agreement set forth in a letter in New York addressed to and from that of the agency agreement.
accepted by Sycip, King was made the executive agent of Sycip in the sale of o This is proven by 2 letters and a telegram written by Sycip, wherein he
Philippine coconut oil and its derivatives outside the Philippines, and was to be himself confirmed the said transaction and King’s commission.
paid 2½% on the total actual sale price of sales obtained through his efforts, and o The letter upon which Sycip relies for his defense is one of the several
in addition thereto, 50% of the difference between the authorized sale price and drafts which led to the execution of the agency agreement. Although
the actual price. such letter does not stipulate on the commission to be paid to King as
(3) After trial, the Court rendered judgment as prayed for in the complaint in favor agent, yet if he paid King a 2½% commission on the first 3 coconut
of King. emulsion shipments, there is no reason why he should not pay him the
(4) Sycip filed a motion for new trial based on newly discovered evidence, which same commission on the last shipment.
consists of:
a. Duplicate original of a letter covering the sale of 1,000 tons of coconut oil Disposition: Hence, King is entitled to collect 7,598.88 for commission and P50,000 for
soap emulsion signed by Maxwell to Sycip; ½ of the overprice or a total of P57,589.88, with lawful interests.
b. L/C of Chemical Bank & Trust Company in favor of Maxwell, and assigned
to Sycip;
c. A letter by the Fortrade Corporation to Maxwell, whereby Fortrade placed
a firm order of 1,000 metric tons of coconut oil soap emulsion and Maxwell
accepted.
(5) However, the motion was denied. Hence, Sycip appealed from the said judgment.
(6) Both parties are agreed that the only transaction or sale made by King, as agent
of Sycip, was that of the subject coconut oil.
a. King still maintains that he is entitled to the claimed commissions.
b. Sycip contends that the coconut oil transaction as aforementioned was not
covered by the agency contract as it formed part of an independent and
separate transaction, agreed upon on an earlier date, for which King has
already been compensated. Moreover, he contends that as the contract
was executed in New York, CFI-Manila has no jurisdiction over this case.

Issue: W/N CFI Manila has jurisdiction herein, despite the execution of the contract in
New York. (YES)

Held: