DISPOSITIVE:
“WHEREFORE, the petition is GRANTED. The Decision dated
September 24, 2020, and the Resolution dated February 16, 2022, of the
Court of Appeals in CA-G.R. SP No. 153869, and the Order dated
September 18, 201 7, and the Decision dated September 18, 2017, of
Branch 62, Regional Trial Court, Makati City, in Civil Case No. 02-683
are SET ASIDE.
Accordingly, the Complaint for deficiency claim in Civil Case No.
02-683 is DISMISSED.
SO ORDERED.”
SUBJECTS/DOCTRINES/DIGEST:
Indeed, the RTC is given considerable discretion in deciding
whether a case before it should be dismissed with or without prejudice. It
must be stressed, however, that the exercise of judicial discretion must not
violate Section 16, Article III of the Constitution which provides that “[a]ll
persons shall have the right to a speedy disposition of their cases before
all judicial, quasi-judicial, or administrative bodies.” Courts should decide
cases judiciously and expeditiously as a matter of course keeping in mind
the adage, “justice delayed is justice denied.”
Here, SPV-AMC, Inc. ‘s delay in prosecuting its action is
inexcusable. It is incredulous that the archival period of the case was
longer than the 10-year-prescriptive period on the enforcement of the
promissory notes. 86 Evidently, SPV-AMC and SPV-AMC, Inc. had all the
opportunity in the world to prove their deficiency claim by preponderant
evidence and still failed to do so. Having ruled on the merits of the case
and finding SPV-AMC, Inc.’s evidence insufficient to justify its deficiency
claim, the RTC should have dismissed the Complaint with prejudice.
Considering that the case had already been archived for more than
10 years, the Court rules that the RTC’s order of dismissal without
prejudice after trial on the merits is a violation of petitioners’ right to
speedy disposition of their case, and thus, cannot be sanctioned by the
Court. More, there will be no end to litigation and the courts’ dockets
would be clogged if plaintiffs who, by their own fault, failed to
substantiate their claims after trial on the merits would be allowed to
re-file their case to the prejudice of the defendant.
On a final note, “[t]he expeditious disposition of cases is as much
the duty of the plaintiff as the court’s.” 87 SPV-AMC Inc. ‘s delay in
prosecuting its action for an unreasonable length of time is highly
prejudicial to petitioners whose loan obligation continued ballooning
while the case is pending. The Court cannot, in good conscience, make
petitioners suffer for the negligence of SPV-AMC and SPV-AMC, Inc.
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