This case has been cited 4 times or more.
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2010-07-05 |
NACHURA, J. |
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| Lastly, respondent promised to pay 25% of his outstanding obligations as attorney's fees in case of non-payment thereof. Attorney's fees here are in the nature of liquidated damages. As long as said stipulation does not contravene law, morals, or public order, it is strictly binding upon respondent. Nonetheless, courts are empowered to reduce such rate if the same is iniquitous or unconscionable pursuant to the above-quoted provision.[49] This sentiment is echoed in Article 2227 of the Civil Code, to wit: Art. 2227. Liquidated damages, whether intended as an indemnity or a penalty, shall be equitably reduced if they are iniquitous or unconscionable. | |||||
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2010-01-20 |
ABAD, J. |
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| Three. As for the award of attorney's fee, it being part of a party's liquidated damages, the same may likewise be equitably reduced.[53] The CA correctly affirmed the RTC Order[54] to reduce it from 10% to 1% based on the following reasons: (1) attorney's fee is not essential to the cost of borrowing, but a mere incident of collection;[55] (2) 1% is just and adequate because BPI had already charged foreclosure expenses; (3) attorney's fee of 10% of the total amount due is onerous considering the rote effort that goes into extrajudicial foreclosures. | |||||
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2009-02-13 |
NACHURA, J. |
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| As we held in Sierra v. Court of Appeals,[44] and recently in Henry dela Rama Co v. Admiral United Savings Bank:[45] | |||||