FRANCEL REALTY CORPORATION V. CA

252 SCRA 127

FACTS:

Petitioner executed a contract to sell in favor of Sycip. It was stipulated that in case of failure to pay 2 or more installment payments, the whole obligation shall be due and demandable and the seller has the right to rescind the contract. The buyer would also have to vacate the premises without need of any court action. Thereafter, petitioner filed a case for unlawful detainer for the alleged failure of Sycip to pay monthly amortizations. Demand letters of petitioner against Sycip were to no avail as the latter refused to vacate. Sycip alleged that it had to stop paying monthly amortizations or rentals as the petitioner failed to develop the subdivision project, part of their stipulation. The complaint was ultimately dismissed, the court then holding that it had no jurisdiction over the case.

HELD:

Where a complaint for unlawful detainer arises from the failure of the buyer on installment basis of real property to pay based on a right to stop paying monthly amortizations based on PD 957, the determinative question is exclusively cognizable by the HLURB.