Scribd Logo
Upload

Welcome to Scribd!

  • Prudential Bank V National Labor Commission 251 Scra 421

    Uploaded by

    Myles
    36 views1 page
    Prudential Bank claimed ownership over properties seized from a factory to satisfy wage and benefits judgments against the factory owner, Interasia, asserting its title under a trust receipt from Interasia. The court held that as the entruster, Prudential Bank's security interest in the properties was valid and primary until Interasia's advances to the bank were paid in full, unless a winning bidder for the properties was shown to be an innocent purchaser for value. The bank's title over the seized properties was thus established over the claims of the judgment creditors.

    Original Description:

    Original Title

    Prudential Bank v National Labor Commission 251 scra 421

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    Prudential Bank claimed ownership over properties seized from a factory to satisfy wage and benefits judgments against the factory owner, Interasia, asserting its title under a trust receipt from Interasia. The court held that as the entruster, Prudential Bank's security interest in the properties was valid and primary until Interasia's advances to the bank were paid in full, unless a winning bidder for the properties was shown to be an innocent purchaser for value. The bank's title over the seized properties was thus established over the claims of the judgment creditors.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as docx, pdf, or txt
    36 views1 page

    Prudential Bank V National Labor Commission 251 Scra 421

    Uploaded by

    Myles
    Prudential Bank claimed ownership over properties seized from a factory to satisfy wage and benefits judgments against the factory owner, Interasia, asserting its title under a trust receipt from Interasia. The court held that as the entruster, Prudential Bank's security interest in the properties was valid and primary until Interasia's advances to the bank were paid in full, unless a winning bidder for the properties was shown to be an innocent purchaser for value. The bank's title over the seized properties was thus established over the claims of the judgment creditors.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as docx, pdf, or txt
    of 1

    7.

    Prudential Bank v National Labor Commission 251 scra 421

    FACTS: 3 labor cases which were resolved eventually against Interasia. Separation pay, wage

    differentials and other benefit were awarded to complainant. Writ of execution were issued were the

    sheriff levied on execution personal property located in the factory of Interaria. Petitioner Prudential

    Bank filed an affidavit of 3rd party claim asserting ownership over seized properties on the strength of

    the TR executed by Interasia in its favor.

    ISSUE: Extent of petitioner’s title over the properties subject of the levy on execution.

    HELD: The security interest of the entruster is not merely an empty or idle title. Entruster’s advances

    will have to be settled first before the entrustee can consolidate his ownership over the goods.

    Exception is when Properties are in the hands of an innocent purchaser for value. In this case, it was not

    shown that the winning bidder is an innocent purchaser for value. Petitioner has primary rights over the

    properties until its advances are fully paid.

    You might also like