Saludo vs.

American Express
GR No. 159507 (April 19, 2006)

Facts:
Saludo was elected district representative of Southern Leyte and is a resident of Ichon, Macrohon,
Southern Leyte. He was issued and American Express (AmEx) credit card with his daughter as
supplementary card holder. In April 2000, his daughter’s card was dishonored when she made a
purchase in the US. Later, Saludo’s card was also dishonored when he used it to pay for his hotel in
Tokyo, Japan. He then filed a complaint against AmEx for the unjustified unilateral act of suspending his
credit card account in bad faith, saying this caused him inconvenience, embarrassment, and besmirched
political and professional standing. Saludo filed the complaint with RTC-Southern Leyte.

AmEx answered the complaint by raising the affirmative defense of lack of cause of action and improper
venue. It alleged that they were not residents of Southern Leyte and so is the petitioner since he
presented a cedula issued at Pasay City.

The RTC denied the affirmative defenses of AmEx. However, this was reversed by the CA and said that
venue was improperly laid.

Issue:
W/N the venue for the action was improperly laid

Held:
No. Sec. 2, Rule 4 of the Rules of Court provides that venue of personal actions may be commenced and
tried where plaintiff or where defendant resides, at the election of the plaintiff. Saludo, as plaintiff,
opted to file his complaint with RTC Southern Leyte being a resident of Ichon, Marohon, Southern Leyte
and an elected representative of the lone district of Southern Leyte.

The CA committed reversible error in finding that Saludo was not a resident of Southern Leyte . The
term “resides” for the purposes of venue means the place of abode, whether permanent or temporary,
of the plaintiff and defendant, as distinguished from “domicile” which denotes a fixed permanent
residence to which, when absent, one has the intention of returning.

A man may have a residence in one place and a domicile in another. Residence is not domicile, but
domicile is residence coupled with the intention to remain for an unlimited time. A man can have but
one domicile for one and the same purpose at any time, but he may have numerous places of residence.
Southern Leyte, as the domicile of petitioner Saludo, was also his residence.