G.R. No.

160719 January 23, 2006

EMILIO GONZALES LAO, Petitioner, vs. REPUBLIC OF THE

PHILIPPINES and THE GOVERNMENT SERVICE INSURANCE
SYSTEM, Respondents.

CORONA, J.:

FACTS:

Government Service Insurance System GSIS is the registered owner

of three parcels of land with a five-story building and other
improvements thereon. GSIS entered into a lease-purchase
agreement with the Republic through the office of the Government
Corporate Counsel (OGCC). The lease was vitiated by force as the
term was clearly in advantage of the OGCC. GSIS filed for
nullification of the contract contending the former President Marcos
used his influence to perfect the lease agreement. The OGCC
contended, among other things that the Regional Trial Court did not
have jurisdiction as the alleged transactions were under the
jurisdiction of the Sandiganbayan pursuant to Executive Order No. 9.

ISSUE:

Whether or not the RTC has jurisdiction over the case.

RULING:

While it is true that jurisdiction over the subject matter of a case

maybe raised at any stage of the proceedings. It is nevertheless
settled that a party may be barred from raising it on the ground of
estoppel. After voluntarily submitting a cause and encountering an
adverse decision it is improper and too late for a party to question the
jurisdiction of the court. A party who has invoked jurisdiction to secure
affirmative relief cannot be permitted afterwards to deny the same
jurisdiction to escape liability. Thus petitioner is estopped from
questioning the jurisdiction of the courts below.

WHEREFORE, the instant petition is hereby GRANTED. Accordingly,

the assailed decision and resolution dated September 30, 1998 and
February 02, 2002 of the Court of Appeals in CA-G.R. No. SP No.
44348 are NULLIFIED and SET ASIDE. The basic complaint of
respondent Emilio G. La’o for ejectment is accordingly DISMISSED.