VICTORIA LEGARDA, vs. THE HONORABLE COURT OF APPEALS, NEW CATHAY HOUSE, INC., THE HONORABLE REGIONAL TRIAL COURT OF QUEZON CITY, BRANCH 94.

  • G.R. Number: G.R. No. 94457
  • Promulgated: 1991-03-18
  • Ponente: Gancayco, J.

Doctrine

The mistake of counsel ordinarily binds the client, but relief may be granted where there is gross or palpable negligence of counsel.

Gross, repeated, and inexcusable negligence by counsel that causes grave injustice and unjust enrichment warrants Court intervention to protect the client.

A lawyer must give adequate attention, care, and time to cases and accept only as many matters as he can properly handle; failure to do so breaches professional duty.

Facts

Petitioner lost title and ownership of a valuable property after counsel's repeated neglect allowed adverse judgments to become final, resulting in the lessee becoming owner.

Counsel abandoned the case repeatedly, failing to act after receipt of the appellate adverse judgment and thus allowing the judgment to lapse and become final.

Petitioner sought relief from this Court to set aside the judgments, sheriff's sale, and subsequent deed of sale and to recover reconveyance of the property.

Issues

Whether the Court should relieve the client from the consequence of her counsel's gross and repeated negligence and set aside the adverse judgments and transfers.

Ruling

The petition is granted: the questioned RTC decision, Court of Appeals decision, sheriff's certificate of sale, and final deed of sale are declared null and void; New Cathay House, Inc. must reconvey the property and the Register of Deeds must cancel and reissue registration to petitioner; preliminary injunction made permanent; damages awarded.

Keywords

G.R. No. 94457, mistake of counsel binds the client, gross or palpable negligence of counsel, specific performance with preliminary injunction and damages, lease agreement, default, ex-parte motion, final and executory judgment, writ of execution, public auction, sheriff's certificate of sale, redemption period, consolidation of ownership, final deed of sale, annulment of judgment, unjust enrichment, fraud, false pretenses, misrepresentation, inadequate price

Official text

Read the full decision on LexiQuire