PHILIPPINE BANK OF COMMERCE V. ARUEGO

102 SCRA 530

 

FACTS:

Aruego,  on  behalf  of  World  Current  Events,  entered  into  a  Credit Agreement  with  PBCom,  for  the  publication  of  the  company’s  periodicals.  At  every  printing  endeavor  by  the  printing  press,  a  bill  of  exchange  is drawn against PBCom.  The instruments are signed by Aruego, without any indication that he is an agent of World Current Events.  When he was being held liable by PBCom, he averred that he only signed the instrument in the capacity of agent of the company.
 

HELD:

An inspection of the drafts accepted by the defendant would show nowhere that he has disclosed that he was signing in representation of the Philippine Education Foundation Company.  He merely signed his name.  For failure to disclose  his  principal,  Aruego  was  personally  liable  for  the  drafts  he accepted.