FACTS:
On
and before Februaru 14, 1907, Engracio Orense had been the owner of a parcel of
land in Guinobatan, Albay.
On
February 14, 1907, Jose Duran, a nephew of Orense, sold the property for P1,500
to Gutierrez Hermanos, with Orense’s knowledge and consent, executed before a
notary a public instrument. The said public instrument contained a provision
giving Duran the right to repurchase it for the same price within a period of
four years from the date of the said instrument.
Orense
continued occupying the land by virtue of a contract of lease.
After
the lapse of four years, Gutierrez asked Orense to deliver the property to the
company and to pay rentals for the use of the property.
Orense
refused to do so. He claimed that the sale was void because it was done without
his authority and that he did not authorize his nephew to enter into such
contract.
During
trial, Orense was presented as witness of the defense. He states that the sale
was done with his knowledge and consent. Because of such testimony, it was
ascertained that he did give his nephew, Duran, authority to convey the land.
Duran was acquitted of criminal charges and the company demanded that Orense
execute the proper deed of conveyance of the property.
ISSUE:
Whether or not Orense is bound by Duran’s act of selling the former’s property
HELD:
Yes. It was proven during trial that he gave his consent to the sale. Such act
of Orense impliedly conferred to Duran the power of agency. The principal must
therefore fulfill all the obligations contracted by the agent, who acted within
the scope of his jurisdiction.
No comments:
Post a Comment