191 SCRA 411



Petitioner  was  the  owner  of  a  parcel  of  land.    It  then  entered  into  a contract of lease agreement with Robes-Fransisco Realty for the parcel of land.    The  agreement  was  that  there  would  be  downpayment  plus installments with interest.  Robes-Fransisco was then in default.  Knowing that  it  was  in  its  payment  of  the  installments,  it  requested  for  the restructuring  of  the  installment  payments  but  was  denied.    It  then  asked for grace period to pay the same and tendered a check thereafter.  Such was refused and the contract was cancelled.


A check whether a manager’s  check or ordinary check is not legal tender and an offer of a check in payment of a debt is not valid tender of payment and may be refused receipt by the obligee or creditor.  As this is the case, the  subsequent  consignation  of  the  check  didn't  operate  to  discharge Robes-Fransisco from its obligation to petitioner.