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[PERFECTO DIZON v. FERMIN LEAL](https://www.lawyerly.ph/juris/view/c2f3e?user=fbGU2WFpmaitMVEVGZ2lBVW5xZ2RVdz09)
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[ GR No. L-12696, May 20, 1959 ]

PERFECTO DIZON v. FERMIN LEAL +

DECISION

105 Phil. 729

[ G.R. No. L-12696, May 20, 1959 ]

PERFECTO DIZON, FELIX DIZON AND EMITERIO DIZON, PETITIONERS AND APPELLANTS, VS. FERMIN LEAL, RESPONDENT AND APPELLEE.

D E C I S I O N

LABRADOR, J.:

Appeal from  a  decision of the Court of First Instance of Isabela, dismissing a petition filed by petitioners herein in Civil Case  No. 381, entitled Perfecto  Dizon, et  al., vs. Fermin Leal,  for annulment of the decision in Civil  Case No. 322 of the same court, entitled Fermin Leal vs. Perfecto Dizon, et al.   The case  was  forwarded  to  this Court  by the Court of Appeals on the ground that  only questions of law are involved in the appeal.

The record discloses that the following proceedings took place  in the Court of First Instance in Civil Case No. 322:
"In Civil Case No. 322 of this  court, Fermin Leal sued Perfecto Dizon,  Felix Dizon and Emiterio Dizon for the recovery  of possession of the land covered by his homestead application; that defendants Perfecto Dizon, Felix Dizon and  Emiterio Dizon were duly served with summons on April 27, 1951; that on May 4, 1951, they filed a motion to dismiss the complaint;  that on May 22, 1951, upon motion of plaintiff's counsel, they  were declared in  default; that  on May 26, 1951 Dominador  P. Nuesa, as counsel for  the defendants, filed a motion to set aside the order of default against the defendants; that the said motion was heard and was denied by the court in its order dictated in open court on May 26, 1951 (page 52, record, Civil Case No. 322); that in the same date,  May 26, 1951, immediately after the order denying the motion  to  set aside order of default was issued, plaintiff was allowed to  present his evidence; that on July 16, 1951,  decision was rendered in favor of the  plaintiff  and against the defendants;  that on  August 3, 1951, defendants  filed a motion signed by them and dated July 27, 1951, to  set aside the decision;  that said motion  was denied by the  court on August 18, 1951;  that on August 22, 1951, Mr. Elias Borromeo, as counsel for the defendants, filed  a second motion to set aside the decision, which was also denied by  the court on September 1, 1951;  and that no appeal was interposed by the defendants against the order denying the motion to set aside order of  default, nor  against the  order of the court denying the first and second motion to set aside the judgment by default."  (pp. 81-82, Rec. on Appeal)
The decision in said  civil case No. 322 discloses  the  following facts: one Paulino Reyes  applied for  a parcel of land  as a  homestead  (Homestead Application No.  1690) in the year 1935, and  entered thereon in 1937.  In 1947, he transferred his homestead rights over  the  land to the plaintiff Fermin  Leal,  first  over  9 hectares and later on over  the 11  hectares remaining, all of  which  were  under cultivation.  In July, 1948, the  defendants  Perfecto Dizon, Felix Dizon  and Emiterio Dizon entered upon  the land by force and stealth, over plaintiff's opposition, and since then had been cultivating the land and harvesting its produce. As a consequence the court ordered the defendants to return the land to the plaintiff, to pay the latter by way of indemnity the  amount  of P2,900,  and  to  pay the  costs. (pp. 15-19,  Rec. on Appeal)

The present action was instituted on November 29, 1951, and seeks to have the decision and orders of  the  court in Civil Case  No. 322,  annulled and set; aside  for a new hearing.  It also seeks  to have the decision sought  to be annulled suspended, pending final resolution of  this  case, and  to  have  the  case between the petitioners and the respondents decided on  its merits.  In support of the petition, it  is  alleged  that  when  the  petitioners, defendants in Civil Case  No.  322, were served with summons, they contracted  the services of Atty. Dominador  P. Nuesa to represent them in the case; that said attorney, instead of filing an answer, prepared a motion to dismiss which he asked petitioners herein to sign and which he himself presented  in court; but that because of  the negligence or fault of said .attorney, the motion to dismiss was received by the clerk of court only on May 14,1951, when the period for filing the answer had already expired; that Atty. Nuesa presented in said case a motion to reconsider the order of default, but the court did not act on said motion, perhaps, because the lawyer for the petitioners herein failed  to set the motion  for hearing; that  the  trial  of said civil case No. 322 proceeded  without the  presence of the petitioners herein or their lawyer, and on July 16, 1951, the court rendered a decision, of which said attorney was notified by mail on July 21, 1951;  that on  July 27,  1951, Atty. Nuesa prepared a  motion to set aside judgment, and asked petitioners  herein  to execute an affidavit which  he prepared, and he presented this motion on August 2, 1951; that this motion was denied  on August 18, 1951;  that on August 22, 1951, the petitioners herein, thru Atty. Elias Borromeo, presented a last motion to set aside judgment supported by an  affidavit of Perfecto Dizon,  but said motion was also denied by the court in an order of October 1, 1951; that Atty. Borromeo never informed the petitioners  herein of the denial of their last motion, and that the failure of said lawyer deprived petitioners herein of the privilege to appeal from the decision as well as from the said orders denying the motions to set aside judgment.

It  is also alleged that petitioners herein have a good and valid defense, for the reason that the respondent Leal never had possessed the land  subject  of said  civil case No. 322, and that the petitioners herein, defendants in that case, only  possessed the lands as tenants of Maria Marzo and Elino  Plado, and that a portion of the land occupied by them is only 2 hectares, and  that  they had paid an annual rental to said Maria Marzo and Elino Plado.

t  is further alleged that inasmuch as the period to appeal from  the decision and the orders denying the motions to set aside judgment has already expired without the fault of  the petitioners herein, there  has been excusable neglect to  warrant granting of a new  trial on the merits of the case.

The court a quo held that by the motion of petitioners herein dated August 2,  1951 filed  by Atty. Nuesa, and by another motion filed on October  2, 1951, by Atty.  Borromeo, the petitioners have already availed themselves  of the remedy provided for in Rule 38, Rules of Court, because said motions have already alleged excusable neglect as the main ground for setting aside the judgment;  that the remedy that was open to the petitioners after  the denial of their motions was to  appeal from the  orders as well as from the decision now sought to  be  annulled, and that the last action is unavailing.  The court a quo  cited in  support of its ruling the cases of Sitchon, et al.  vs. The  Provincial Sheriff, et al. 80 Phil., 397;  45  Off. Gaz., Supp.  (9), p. 25; Rios vs. Caluag, et al. 79 Phil., 243; 45 Off. Gaz., (No. 3) p.  1265; Ongsiako vs. Judge, 79 Phil., 2; 45 Off.  Gaz., (No. 1) p. 229; Lim Toco vs. Go Fay, 80 Phil., 166; 45 Off. Gaz., (No. 8), p. 3350; Cruz vs. Judge, 51 Off. Gaz., (No. 6), p.  2955.

On this appeal, the petitioners-appellants have assigned the following errors:
"The trial court erred in not vacating the judgment in Civil Case No. 322 in view of the special circumstances prevailing in said case, in the interest of justice and equity.

"The  trial court  erred  in confusing an independent civil action to annul a  judgment, with the remedy provided for under Rule 38, Rules of Court.", (pp. 1-2, Appellant's Brief)
The  first assignment of error is so devoid of  merit as to deserve no more  than a passing remark.  The court below correctly held that if the defendants in civil case No. 322, petitioners herein, believed the decision was inequitable, they should have appealed therefrom and from the orders denying their motion  for reconsideration.   Having failed to do so,  the decision rendered in  said civil case No. 322 became final and  binding upon the petitioners herein.  Said decision can no  longer be set aside except by an action based on the ground of fraud or lack of jurisdiction.  None of these grounds is alleged in the petition.

In  support  of the  second assignment  of  error,  it  is claimed that the present action is not a petition for relief under  Rule 38 of the Rules  of Court, but  an independent action on the ground that the judgment is void ab initio, having been rendered  without due process of law.  It is true that petitioners herein  could have the judgment set aside but, as indicated above, the  only grounds on which a final judgment may be set aside are fraud and  lack  of jurisdiction.  The cases cited by appellants in their brief do not support their contention because none of the grounds set forth in said cited  cases are present in  the  case at bar. In the case of Anuran vs. Aquino,  38 Phil., 29, the ground for the action is fraud, while in that of Banco Español vs. Palanca, 37 Phil., 921, it is lack of notice to an adverse party and the judgment therein was annulled because the  court did  not  acquire  jurisdiction  over  the  person  of  the defendant.

Finding no merit  in  the appeal, the decision appealed from is hereby  affirmed, with costs against the appellants.

Paras, C. J.,  Padilla,  Montemayor, Reyes, A., Bautista Angelo, Concepcion,  and Endencia, JJ., concur.
Bengzon, J., concurs in the result.

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