In Partial Fulfillment of the Requirements

For the Subject Civil Procedure

Submitted to:

Atty. Joan S. Largo

Professor

Submitted by:

Dalusung, Abigail
Email Address: apdalusung@gmail.com
Mobile No.: 09154626089

Diaz, Trixia Lou

Email Address: trixialoudiaz@gmail.com
Mobile No.: 09177787104

Enriquez, Kirk Yngwie

Email Address: enriquez.kirkyngwie@gmail.com
Mobile No.: 09954290348

Labunog, Thea Mitchele

Email Address: thealabunog@gmail.com
Mobile No.: 09173893428

Patalinghug, Anne Frances

Email Address: anpatalinghug@gmail.com
Mobile No.: 09052258001
 REPUBLIC OF THE PHILIPPINES
REGIONAL TRIAL COURT
BRANCH _____
7TH JUDICIAL REGION
QIMONDA IT CENTER, CEBU CITY

LUKE DEIDER
Plaintiff,

Civil Case No. __________

FOR: COLLECTION OF
SUM OF MONEY WITH
DAMAGES
-versus-

SURIGAO ISLAND
SALES CORPORATION
Defendant.

x------------------------------------x

COMPLAINT

PLAINTIFF, MR. LUKE DEIDER, by the undersigned

counsel, unto this Honorable Court most respectfully states that:

I. THE PARTIES

1.1 The Plaintiff, MR. LUKE DEIDER (hereinafter

referred as “Plaintiff” for brevity), is of legal age, an American
citizen with residential address at 1016 Condominium, Luzon
Avenue, Cebu Business Park Cebu City where he may be served
with notices and other processes by this Honorable Court.

1.2 The Defendant, SURIGAO ISLAND SALES

CORPORATION (hereinafter referred as “Defendant” for brevity),
is a Corporation duly organized and existing under and by virtue of
the laws of the Republic of the Philippines, with principal office

1
address at Hinatuan, Surigao del Sur where the defendant may be
served with notices and other processes by this Honorable Court.

II. STATEMENT OF FACTS

2.1 In January 20, 2010, the Board of Directors of

Defendant approved a Resolution authorizing the Defendant to
obtain a loan from Plaintiff and authorizing its president Arianne
Santos, (hereinafter referred to as “Arianne”) to execute a Special
Power of Attorney in favor of her sister Rona Santos (hereinafter
referred to as “Rona”) empowering the latter to sign, execute,
receive, and/or deliver on behalf of Defendant any document or
instrument evidencing the indebtedness of Defendant to Plaintiff.
A copy of the Secretary’s Certification containing the Resolution is
hereto attached as Annex “A”.

2.2 Sometime in January 22, 2010, Plaintiff and Defendant,

through its president Arianne, entered into an agreement whereby
the former agreed to grant the latter a loan in the amount of
Twenty-Five Million Four Hundred Thousand (P25,400,000.00). No
document was executed evidencing the agreement.

2.3 On January 25, 2010, Defendant, through its president

Arianne, acknowledged receipt of the Twenty-Five Million Four
Hundred Thousand (P25,400,000.00) deposited by Plaintiff in
Defendant’s checking account with Citibank Philippines. A copy of
the acknowledgement receipt is hereto attached as Annex “B”.

2.4 On January 27, 2010, a Special Power of Attorney was

executed by Arianne in favor of Rona vesting upon the latter the
authority to sign, execute, receive, and/or deliver on behalf of
Defendant any document or instrument evidencing the
indebtedness of Defendant to Plaintiff. A copy of the Special Power
of Attorney is attached hereto as Annex “C”.

2.5 In a letter dated February 23, 2010, Arianne, through

her sister Rona, confirmed and affirmed that Plaintiff is a creditor
of Defendant in the amount of Twenty-Five Million Four Hundred
Thousand (P25,400,000.00). . In the same letter, Arianne, through
her sister Rona, undertook to execute a promissory note in favor of
Plaintiff to secure the latter’s position as creditor of Defendant. Said
promissory note was to be the joint obligation of Defendant and

2
Arianne. A copy of the acknowledgement letter is hereto attached
as Annex “D”

2.6 On May 3, 2010, Defendant, through Rona, executed a

promissory note in favor of Plaintiff. Only Rona signed the
promissory note in representation of Defendant. A copy of the
promissory note and the affidavit of Rona in relation to the
acknowledgement letter and promissory notes are hereto attached
as Annex “E” and Annex “F” respectively.

2.7 In the said promissory note, the obligation was to

become due and demandable five (5) years from its execution, or on
May 3, 2015. The obligation was also to bear interest at 25% per
annum.

2.8 On May 3, 2015, the obligation fell due, and no payment

has been made by Defendant to Plaintiff without any lawful
justification.

III. FIRST CAUSE OF ACTION

3.1 All the foregoing facts are hereby pleaded once more and
incorporated in herein Cause of Action.

3.2 The period of five (years) from the date of execution of

the promissory note, or May 3, 2010, has lapsed, and the obligation
of the Defendant to pay Plaintiff has become due and demandable.

3.3 No payment has been made by the Defendant to the

Plaintiff when the obligation fell due.

3.4 Plaintiff has sent a letter dated May 10, 2015 to the
Defendant stating the demand by the former for the payment of the
obligation. A copy of the demand letter is hereto attached as Annex
“G“.

3.5 Notwithstanding the demand of the Plaintiff, Defendant

has failed and has not manifested its intention to fulfill its
obligation, and has unlawfully and unreasonably failed to honor the
promissory note by continuously refusing to pay its obligation
inclusive of the stipulated interest.

3
 3.6 Plaintiff is entitled to full payment of the obligation in
the amount of Twenty-Five Million Four Hundred Thousand
(P25,400,000.00) pesos plus interest at the rate of 25% per annum
pursuant to the promissory note executed by Defendant on May 3,
2010.
3.7 Considering the foregoing, Plaintiff prays that the
Defendant be compelled to honor and comply with the stipulations
of the promissory note dated May 3, 2010 and fulfill its obligation
by paying Plaintiff the amount of Twenty-Five Million Four
Hundred Thousand (P25,400,000.00) pesos plus interest at the rate
of 25% per annum.

IV. SECOND CAUSE OF ACTION

4.1 All the foregoing facts are hereby pleaded once more and
incorporated in herein Cause of Action.

4.2 It is clear that the defendant unfairly refuses to honor

the promissory note and comply with the stipulations thereof.

4.2 Such actions of the Defendant have caused material and

substantial injury to the Plaintiff, for which Defendant should be
held liable to and ordered to pay the Plaintiff moral damages in the
amount of at least Five Hundred Thousand pesos (P500,000.00).

4.3 To deter others who are similarly-minded as the

Defendant and to set an example for the common good, the
Defendant should be held liable to and ordered to pay Plaintiff
exemplary damages in the amount of at least Three Hundred
Thousand pesos (P300,000.00).

4.4 Plaintiff was constrained to engage the services of the

undersigned lawyers and incur the total attorney’s fees of Three
Hundred Thousand pesos (P300,000.00) plus an agreed appearance
fee of Six Thousand pesos (P6,000.00) per court appearance,
exclusive of other litigation expenses and travel costs for which
amounts the Defendant should be held liable to and ordered to pay
the Plaintiff.

PRAYER

4
 WHEREFORE, premises considered, Plaintiff most
respectfully prays that this Honorable Court, after due proceedings,
render judgment as follows:

1. That this Honorable Court grant the prayer of the Plaintiff

for collection of sum of money compelling, ordering,
directing, and requiring the Defendant to pay the Plaintiff
the amount of Twenty Five Million Four Hundred
Thousand pesos (P25,400,00.00) plus interest at the rate of
25% per annum.

2. That Defendant be ordered to pay the Plaintiff the

following amounts:

a. Five Hundred Thousand pesos (P500,000.00) as

moral damages.
b. Three Hundred Thousand pesos (P300,00.00) as
exemplary damages.
c. Three Hundred Thousand pesos (P300,00.00) as
attorney’s fees and Six Thousand pesos (P6,000.00)
per court appearance.
d. Litigation and travel expenses as may be proven
during the course of the proceedings in this case.

The Plaintiff likewise prays for such other relief and remedies
as may be deemed just and equitable under the premises.

Cebu City, Philippines. March 2, 2020.

By:
PLEDD LAW OFFICE
Rm 406, eBloc 4, I.T. Park,
Brgy. Lahug, Cebu City,
Philippines 6000
Email: contact@pleddlaw.com
Contact Number: (032) 236-7488

For the firm:

5
 ABIGAIL DALUSUNG
Counsel for the plaintiff
PTR NO. 1342347, 2-25-19, Cebu City
IBP NO. 039326, 2-25-19, (Cebu City Chapter)
Roll of Attorneys No. 94572, January 1, 2019
MCLE Compliance No. VI-0013764 (2-25-19)
Email Address: apdalusung@gmail.com
Mobile No.: 09154626089

TRIXIA LOU DIAZ

Counsel for the plaintiff
PTR NO. 2342347, 2-25-19, Cebu City
IBP NO. 089326, 2-25-19, (Cebu City Chapter)
Roll of Attorneys No. 34872, January 1, 2019
MCLE Compliance No. VI-0023764 (2-25-19)
Email Address: trixialoudiaz@gmail.com
Mobile No.: 09177787104

KIRK YNGWIE ENRIQUEZ

Counsel for the plaintiff
PTR NO. 5342347, 2-25-19, Cebu City
IBP NO. 039326, 2-25-19, (Cebu City Chapter)
Roll of Attorneys No. 74872, January 1, 2019
MCLE Compliance No. VI-0053763 (2-25-19)
Email Address: enriquez.kirkyngwie@gmail.com
Mobile No.: 09954290348

THEA MITCHELE LABUNOG

Counsel for the plaintiff
PTR NO. 8342247, 2-25-19, Cebu City
IBP NO. 029323, 2-25-19, (Cebu City Chapter)
Roll of Attorneys No. 25272, January 1, 2019
MCLE Compliance No. VI-0092761 (2-25-19)
Email Address: thealabunog@gmail.com
Mobile No.: 09173893428

ANNE FRANCES PATALINGHUG

Counsel for the plaintiff
PTR NO. 6342447, 2-25-19, Cebu City
IBP NO. 079326, 2-25-19, (Cebu City Chapter)
Roll of Attorneys No. 75879, January 1, 2019
6
MCLE Compliance No. VI-0034763 (2-25-19)
Email Address: anpatalinghug@gmail.com
Mobile No.: 09052258001

7
 VERIFICATION AND CERTIFICATION OF NON-
FORUM SHOPPING

I, LUKE DEIDER, an American citizen, single, of legal age,

and a resident of 1016 Condominium, Luzon Avenue, Cebu
Business Park, Cebu City, after having been duly sworn to in
accordance with law, hereby depose and say:

1. That I am the plaintiff in the above-entitled case, and that

I have caused the preparation and filing of the foregoing
complaint and I have read and understood the contents
thereof which are true and correct on the basis of my
personal knowledge and authentic documents;

2. That the pleading is not filed to harass, cause unnecessary

delay, or needlessly increase the cost of litigation;

3. That the factual allegations therein have evidentiary

support or, if specifically so identified, will likewise have
evidentiary support after a reasonable opportunity for
discovery;

4. That I have not heretofore commenced any other action or

filed any claim involving the same issues before the
Supreme Court, the Court of Appeals or any Division
thereof, or any other court, tribunal or quasi-judicial
agency;

5. That to the best of my knowledge, no such other action or

claim is pending before the Supreme Court, the Court of
Appeals or any Division thereof, or any other court,
tribunal or agency;

6. That if I should thereafter learn that a similar action or

claim has been filed or is pending before the Supreme
Court, the Court of Appeals, or any Division thereof, or any
other court, tribunal or agency, I shall report that fact
within five (5) calendar days therefrom to the court
wherein the aforesaid complaint or initiatory pleading has
been filed.

IN WITNESS WHEREOF, I have hereunto set my hand this

2nd day of March 2020, at the City of Cebu, Philippines.

8
 LUKE DEIDER
Affiant

SUBSCRIBED AND SWORN to before me this 2nd day of March

2020, in Cebu City, Philippines. Affiant exhibited his employment
ID as his competent evidence of identity.

Atty. Frances D. Pan

Notary Public for the City of Cebu
Notarial Commission No.: 109-20
Valid Until 12/31/22
Roll of Attorneys No. 64783
IBP No. 13456, 04/19/19, Cebu City
PTR No. 43578, 04/19/19, Cebu City
MCLE Compliance No. III-0007321
issued on 02/03/18
Unit R-2, Brgy. Hipodromo, Cebu City, 6000
Tel No. (032) 268-5594

Doc. No. 349;

Page No. 9 ;
Book No. 3 ;
Series of 2020;

9
 ANNEX A

REPUBLIC OF THE PHILIPPINES )

MUNICIPALITY OF HINATUAN ) S.S.

SECRETARY’S CERTIFICATE

I, DAINTLY CRISTY MAKARAIG, Filipino, of legal age, with office address at

Hinatuan, Surigao del Sur after being sworn in accordance with law, do hereby
depose and state as follows:
1. That I am the incumbent Corporate Secretary of Surigao Island Sales
Corporation, a corporation duly organized and existing under Philippine
laws, with principal office at Hinatuan, Surigao del Sur;
2. That during the special meeting of the Board of Directors held on January
20, 2010, wherein a quorum was present and acted throughout, after being
informed of the necessity of obtaining loans and/or credit accommodation
with any banking/ lending institution, to generate funds for the purpose of
expanding the business, the Board approved the following resolution, to wit:

RESOLUTION NO. RES-01-20 s. 2010

“RESOLVED, as it is hereby resolved, that the corporation be empowered and
authorized to apply for, negotiate, obtain loans from MR. LUKE DEIDER, including
the renewal, extension and/or increase, rollover or restructuring thereof, and/or of
its existing credit facilities in such amount(s) and under such terms and conditions
as may be mutually agreed upon, and to secure and guarantee the payment of the
aforesaid loan or credit facilities by means of mortgage, pledge, assignment or any
other form of encumbrance upon any and all properties or assets of the corporation
of whatever kind or nature, real or personal, as may be sufficient or required for
the purpose.
RESOLVED FURTHER, that MS. ARIANNE SANTOS, President of the Company,
be and is hereby authorized to execute on behalf of the Company a Special Power
of Attorney in favor of MS. RONA SANTOS, sister of Ms. Arianne Santos granting
full power and authority on behalf of the Company to sign, execute, and deliver
any and all documents including but not limited to loan application, disclosure
statement, purpose sheet, application for letters of credit, promissory note, draft,
surety agreement, trust receipt, mortgages, pledge, assignment, and the like,
including the renewals/extensions/increase/amendments/restructuring thereof, in
order to effectuate the foregoing matters.
RESOLVED FINALLY that MR. LUKE DEIDER be furnished a copy of the
foregoing resolution for its guidance and may continue to rely on the authority
conferred thereon, including the renewal, increase, roll-over and/or restructuring
thereof, unless and except to the extent that the foregoing resolutions shall be
revoked or modified by the receipt of any subsequent resolution/s of the Board of
Directors of the Corporation.

10
3. That the foregoing Resolution remains valid and has not in any manner been
novated, revoked, nor repealed to date.”

AFFIANT FURTHER SAYETH NAUGHT.

Issued this 20th day of January 2010 at Hinatuan, Surigao del Sur.

SUBSCRIBED AND SWORN to before me this 20th day of January 2010, in

Hinatuan, Surigao del Sur, Philippines. Affiant exhibited his employment ID as his
competent evidence of identity.

Atty. Lou R. Mitchel

Notary Public for Hinatuan, Surigao del Sur
Notarial Commission No. 179-30
Valid Until 12/31/2012
IBP No. 23456, 01/02/09, Surigao del Sur
PTR No. 345678, 01/02/09, Surigao del Sur
Roll of Attorneys No. 45678
MCLE Compliance No. V-0006931 issued on 06/25/08
Unit 03-B, Bonifacio District, Brgy. Mabolo, Hinatuan,
Surigao del Sur, 6000

Doc. No. 219;

Page No. 34_;
Book No. 2__;
Series of 2010;

11
 ANNEX B

SURIGAO ISLAND SERVICE CORPORATION

Address: Hinutuan, Surigao del Sur
Email Address: sisc.business@gmail.com
Tel No.: (032) 238 1766

ACKNOWLEDGMENT OF RECEIPT OF DEPOSIT

This document serves as an acknowledgement that SURIGAO ISLAND SERVICE

CENTER (SISC) has received from LUKE DEIDER (Deider) the amount of
TWENTY-FIVE MILLION FOUR HUNDRED THOUSAND PESOS
(₱25,400,000.00), this day of January 25, 2010, deposited in SISC’s checking
account with the Citibank Philippines with bank account number 8473-3-0073-68.
This deposit is in relation to the loan granted by Deider to the company, for a total
amount of TWENTY FIVE MILLION FOUR HUNDRED THOUSAND PESOS
(₱25,400,000.00).

ARIANNE SANTOS
President
Surigao Island Service Center

12
 ANNEX C

SPECIAL POWER OF ATTORNEY

KNOW ALL MEN BY THESE PRESENTS:

I, ARIANNE SANTOS, as the President of the SURIGAO ISLAND SALES

CORPORATION duly organized under the laws of the Philippines , with
principal office address at Hinatuan, Surigao del Sur do hereby appoints
RONA SANTOS, my sister, whose likewise address is in Hinatuan, Surigao del
Sur, Philippines to act as our representative and agent to represent this
corporation, to do and perform, on its behalf and account, the following acts
and deeds:

1) To negotiate, enter into, sign, execute, receive and/or deliver to the

CREDITOR, SINGLY, the acknowledgement letter, the promissory note
in behalf of the corporation and all such other documents or instruments
evidencing the corporation’s indebtedness for the monies so borrowed,
or to be hereafter borrowed with interest thereon and said Attorney-in-
Fact is likewise irrevocably authorized and empowered to sign, execute
and deliver, SINGLY, any renewals, extensions, amendment,
supplements, conversions, restructuring and/or modifications of the
aforesaid loans and/or credit facilities;

2) This Special Power of Attorney is a special agency created to enable said

Attorney-in-Fact to exercise the special powers and authorities herein
granted.

HEREBY GIVING AND GRANTING unto the corporation’s said attorney-in-

fact, full power and authority, to do all that is necessary in and about the
premises, and hereby ratifying and confirming all said attorney-in-fact or
agent/representative shall do, cause to be done, or have already done by virtue
of this presents.

IN WITNESS WHEREOF, I have hereunto affixed my signature this 27th day

of January, 2010 at Hinatuan, Surigao del Sur, Philippines.

ARIANNE SANTOS RONA SANTOS

Principal Conforme and Specimen Signature
of the Attorney-in-Fact

WITNESSES

GAIL FRANCES CRUZ RALPH AARON MANALANG

13
 ACKNOWLEDGEMENT

Republic of the Philippines )

Municipality Of Hinatuan ) S.S

BEFORE ME, a Notary Public for and in the Municipality of Hinatuan

this 27th day of January, 2010 in Hinatuan, Surigao del Sur, personally
appeared:

ARIANNE SANTOS, with Community Tax Certificate No. 12356781

issued on January 10, 2010 at Hinatuan, Surigao del Sur and Passport No.
2534621 by the Department of Foreign Affairs – Cebu on October 1, 2009; and

RONA SANTOS, with CTC No.33354631 issued on January 1, 2010 at

Hinatuan, Surigao del Sur and Driver’s License No. N15-8563215 issued by
the Land Transportation Office on July 28, 2008;

who are personally known to me and to me known to be the same persons

who executed the foregoing instrument for and in behalf of said corporation
and she acknowledged to me that the same is the free and voluntary
corporate act and deed of SURIGAO ISLAND SALES CORPORATION.

The foregoing document is an irrevocable SPECIAL POWER OF

ATTORNEY which consists of two (2) pages including the page whereon this
Acknowledgement is written. This Acknowledgement forms an integral part of
the said document.

WITNESS MY HAND AND SEAL this 27th day of January, 2010, in

the Hinatuan, Surigao del Sur, Philippines.

Atty. Lou Mitchel

Notary Public for Hinatuan, Surigao del Sur
Notarial Commission No. 179-30
Valid Until 12/31/2012
IBP No. 23456, 01/02/09, Surigao del Sur
PTR No. 345678, 01/02/09, Surigao del Sur
Roll of Attorneys No. 45678
MCLE Compliance No. V-0006931 issued on 06/25/08
Unit 03-B, Bonifacio District, Brgy. Mabolo, Hinatuan,
Surigao del Sur, 6000

Doc. No. 405;

Page No. 2 ;
Book No. 34 ;
Series of 2010;

14
 ANNEX D

ACKNOWLEDGEMENT OF INDEBTEDNESS AND CONFIRMATION OF CREDITOR

I, ARIANNE SANTOS, President of Surigao Island Sales Corporation (SISC), hereby

confirm and acknowledge that SISC, the DEBTOR, owes an individual named, LUKE
DEIDER, the CREDITOR, in the PRINCIPAL AMOUNT of: Twenty-five Million Four
Hundred Thousand Pesos (P25,400,000); within a period of 5 years from the execution
hereof, with interest at the rate of 25% per annum.
That I undertake that in behalf of SISC, a PROMISSORY NOTE containing the above
mentioned obligation shall be executed by RONA SANTOS which is to be a joint obligation
of SISC and myself to recognize and secure LUKE DEIDER’s CREDITOR position in
SISC.

Signed this 23rd day of February 2010 in Hinatuan, Surigao del Sur, Philippines

ARIANNE SANTOS
President, Surigao Island Sales Corporation

Through:

RONA SANTOS
Authorized Representative of Surigao Island Sales Corporation

15
 ANNEX E

PROMISSORY NOTE

1. FOR VALUE RECEIVED, The Borrower, SURIGAO ISLAND SALES

CORPORATION, through its representative, RONA SANTOS, hereby promises
to pay The Lender, LUKE DEIDER the sum of Twenty-five Million Four
Hundred Thousand (PHP 25, 400, 000.00), on or before May 3, 2015.

2. This note shall bear interest, with the rate of twenty-five percent (25%) per
annum. The interest shall accrue until the debt is fully paid.

3. Any partial payment or performance of this Note or any extension thereof

granted by the Lender will neither alter or vary the terms of the original
conditions of the loan obligation, nor discharge the same, and such partial
payment or performance shall be considered as written acknowledgment of this
obligation which shall interrupt the period of prescription.

4. This Note shall be governed as to validity, interpretation, construction, effect,

and in all other respects by the laws and decisions of the Republic of the
Philippines.

5. In case any provision in this Note shall be held to be invalid, illegal or

unenforceable, the validity, legality and enforceability of the remaining
provisions shall not in any way be affected or impaired thereby.

IN WITNESS WHEREOF, the parties have hereunto set their hands, this 3rd day
of May 2010 at Hinatuan, Surigao del Sur, Philippines, Philippines.

___________________________________________ ______________________________________
RONA SANTOS LUKE DEIDER
Representative, Surigao Lender
Island Sales Corp.
Borrower

SIGNED IN THE PRESENCE OF

Kirk Dale Montuerto Daisy Mae Co

16
 ACKNOWLEDGEMENT

REPUBLIC OF THE PHILIPPINES )

MUNICIPALITY OF HINATUAN ) SS.

BEFORE ME, a Notary Public for and in the Municipality of Hinatuan this 5th
day of May 2010 personally appeared Rona Santos with Community Tax Certificate
No. 123456 issued on 1st January 2010 at Hinatuan, Surigao del Sur representing to
be the representative in the corporation of Surigao Island Sales Corporation with
Community Tax Certificate No. 789100 issued on 2 nd January 2010 at Hinatuan,
Surigao del Sur and Tax Identification No. (T.I.N.) 353-899-234-000, known to me and
to me known to be the same person who executed the foregoing instrument for and
in behalf of said corporation, and she acknowledged to me that the same is the free
and voluntary corporate act and deed of Surigao Island Sales Corporation.
This Instrument consists of only two (2) pages, including this page in which
this Acknowledgement is written, duly signed by Rona Santos and her instrumental
witnesses on each and every page hereof.
WITNESS MY HAND AND SEAL this 5th day of May 2010 at Hinatuan, Surigao
del Sur, Philippines.

Atty. Lou Mitchel

Notary Public for Hinatuan, Surigao del Sur
Notarial Commission No. 179-30
Valid Until 12/31/2012
IBP No. 23456, 01/02/09, Surigao del Sur
PTR No. 345678, 01/02/09, Surigao del Sur
Roll of Attorneys No. 45678
MCLE Compliance No. V-0006931 issued on 06/25/08
Unit 03-B, Bonifacio District, Brgy. Mabolo, Hinatuan,
Surigao del Sur, 6000

Doc. No. 405;

Page No. 2 ;
Book No. 34 ;
Series of 2010;

17
 ANNEX F

REPUBLIC OF THE PHILIPPINES

REGIONAL TRIAL COURT
7TH JUDICIAL REGION
BRANCH ________
CEBU CITY

LUKE DEIDER
Plaintiff,

Civil Case No. ________________

FOR: COLLECTION OF SUM
OF MONEY WITH
DAMAGES
-versus-

SURIGAO ISLAND SALES CORPORATION,

Defendant.

X---------------------------------------------------------------------x

JUDICIAL AFFIDAVIT
(OF RONA SANTOS)

OFFER OF TESTIMONY:

The testimony of the witness is offered to establish (1) that

she is the sister of Arianne Santos, president of Surigao Island
Sales Corporation (SISC) and that she is an authorized
representative of SISC; (2) that through a letter dated February 23,
18
2010, Arianne through her affirmed and confirmed that LUKE
DEIDER is a creditor of SISC in the amount of TWENTY-FIVE
MILLION FOUR HUNDRED THOUSAND PESOS (PHP 25,
400, 000.00); (3) that she affirmed and made an undertaking that
a Promissory Note in favor of Luke shall be executed to secure the
latter’s creditor position in SISC, the Promissory Note is the joint
obligation of SISC and Ms. Arianne Santos; (4) that SISC, through
her, executed a promissory note in favor of LUKE DEIDER.

I, RONA SANTOS, a Filipino citizen, of legal age, single and

a resident of Aquino St., Poblacion, Hinatuan, Surigao del Sur,
Philippines, subscribing under oath, hereby depose and state that:

1. I am executing this affidavit in the form of questions and

answers which shall be adopted as my direct testimony in the
herein case.

2. I am aware that I am under oath and that I may face criminal

liability for false testimony or perjury should I knowingly
testify falsely.

3. Q: Madam Witness, do you know a certain ARIANNE

SANTOS?
A: Yes.

4. Q: Why did you know her?

A: She is my sister.

5. Q: What does Arianne Santos do for a living?

A: She is the President of Surigao Island Sales Corporation
(SISC)

6. Q: Are you connected with the defendant, SISC?

A: Yes.

19
 7. Q: How were you connected with SISC?
A: I am an authorized representative of SISC

8. Q: How can you prove that you are duly authorized by the
defendant?
A: I have here an SPA issued by SISC in my favor.

Manifestation:

Witness is handing a copy of an SPA executed by Surigao

Island Sales Corporation in favor of Rona Santos, which is hereby
marked as Exhibit “A”.

9. Q: Do you know the plaintiff in this case, LUKE DEIDER?

A: Yes.

10. Q: What can you tell me about SISC’s dealings with

Luke Deider?
A: SISC, through Arianne, requested for financial assistance
from Luke Deider in the amount of PHP 25,400,00.00 for the
purpose of expanding its business.

11. Q: Were you present during this transaction?

A: Yes

12. Q: Why are you testifying before this Honorable Court

in this case?
A: I am here to confirm that I executed a letter affirming that
LUKE DEIDER is a creditor of SISC and a promissory note.

Manifestation:

20
 Witness is handing copies of the Acknowledgement of
Indebtedness and Confirmation Letter and a Promissory Note,
which is hereby marked as Exhibit “B” and Exhibit “C”,
respectively.

13. Q: What is the content of the letter that you executed?

A: It stated that LUKE DEIDER is a creditor of SISC in the
amount of TWENTY-FIVE MILLION FOUR HUNDRED
PESOS (PHP 25,400,000.00).

14. Q: What is the content of the promissory note?

A: That the obligation was to become due and
demandable five years from execution with an interest of
25% per annum.

15. Q: What is the status of SISC’s obligation as of this

moment?
A: The loan remains unpaid.

16. Q: Do you have anything else to say?

A: No more.

IN WITNESS WHEREOF, I have hereby signed this affidavit

this March 2, 2020 in Cebu City, Philippines.

RONA SANTOS
Affiant

21
Subscribed and sworn to before me on this March 2, 2020 in the
City of Cebu, Philippines, and I certify that I have personally
examined affiant RONA SANTOS who executed the foregoing
instrument freely and voluntarily.

Atty. Frances Pan

Notary Public for Cebu City
Unit R-2, Brgy. Hipodromo, Cebu City, 6000
Appointment No. 98; Valid until 12/31/2025
MCLE Compliance No. V-0007321; 07/25/19
IBP No. 13456; 02/02/03 – Cebu
PTR No. 43578; 02/02/03 – Cebu
Roll of Attorney’s No. 64783

Doc. No. 209;

Page No. 56;
Book No. 5;
Series of 2020;

ATTESTATION

I, KIRK YNGWIE ENRIQUEZ, of legal age, single, Filipino,

and a resident of A.S Fortuna, Mandaue City, Cebu, do hereby
certify: (1) that I have conducted the examination of the witness,
RONA SANTOS, which was done at my office in Unit 406 eBloc 4,
I.T. Park, Brgy. Lahug, Cebu City, Philippines 6000; (2) that I have
faithfully recorded the questions I asked and the corresponding
answers that the witness gave; (3) that neither I nor any other
person then present or assisting him coached the witness regarding
the latter’s answers.

KIRK YNGWIE ENRIQUEZ

Examining Counsel
PLEDD LAW OFFICE
eBloc 4, I.T. Park, Brgy. Lahug, Cebu City
PTR NO. 5342347, 2-25-19, Cebu City
IBP NO. 039326, 2-25-19, (Cebu City Chapter)
Roll of Attorneys No. 74872, January 1, 2019
MCLE Compliance No. VI-0053763 (2-25-19)
Email Address: enriquez.kirkyngwie@gmail.com
Mobile No.: 0995 429 0348

22
 Subscribed and sworn to before me on this March 2, 2020 in
the City of Cebu, Philippines, and I certify that I have personally
examined affiant KIRK YNGWIE ENRIQUEZ, who executed the
foregoing instrument freely and voluntarily

Atty. Frances Pan

Notary Public for Cebu City
Unit R-2, Brgy. Hipodromo, Cebu City, 6000
Appointment No. 98; Valid until 12/31/2020
MCLE Compliance No. V-0007321; 07/25/19
IBP No. 13456; 02/02/03 – Cebu
PTR No. 43578; 02/02/03 – Cebu
Roll of Attorney’s No. 64783

Doc No. 210;

Page No. 65;
Book No. 3;
Series of 2020

23
 EXHIBIT A

SPECIAL POWER OF ATTORNEY

KNOW ALL MEN BY THESE PRESENTS:

I, ARIANNE SANTOS, as the President of the SURIGAO ISLAND SALES

CORPORATION duly organized under the laws of the Philippines , with
principal office address at Hinatuan, Surigao del Sur do hereby appoints
RONA SANTOS, my sister, whose likewise address is in Hinatuan, Surigao del
Sur, Philippines to act as our representative and agent to represent this
corporation, to do and perform, on its behalf and account, the following acts
and deeds:

3) To negotiate, enter into, sign, execute, receive and/or deliver to the

CREDITOR, SINGLY, the acknowledgement letter, the promissory note
in behalf of the corporation and all such other documents or instruments
evidencing the corporation’s indebtedness for the monies so borrowed,
or to be hereafter borrowed with interest thereon and said Attorney-in-
Fact is likewise irrevocably authorized and empowered to sign, execute
and deliver, SINGLY, any renewals, extensions, amendment,
supplements, conversions, restructuring and/or modifications of the
aforesaid loans and/or credit facilities;

4) This Special Power of Attorney is a special agency created to enable said

Attorney-in-Fact to exercise the special powers and authorities herein
granted.

HEREBY GIVING AND GRANTING unto the corporation’s said attorney-in-

fact, full power and authority, to do all that is necessary in and about the
premises, and hereby ratifying and confirming all said attorney-in-fact or
agent/representative shall do, cause to be done, or have already done by virtue
of this presents.

IN WITNESS WHEREOF, I have hereunto affixed my signature this 27th day

of January, 2010 at Hinatuan, Surigao del Sur, Philippines.

ARIANNE SANTOS RONA SANTOS

Principal Conforme and Specimen Signature

of the Attorney-in-Fact

WITNESSES

24
 GAIL FRANCES CRUZ RALPH AARON MANALANG

ACKNOWLEDGEMENT

Republic of the Philippines )

Municipality Of Hinatuan ) S.S

BEFORE ME, a Notary Public for and in the Municipality of Hinatuan

this 27th day of January, 2010 in Hinatuan, Surigao del Sur, personally
appeared:

ARIANNE SANTOS, with Community Tax Certificate No. 12356781

issued on January 10, 2010 at Hinatuan, Surigao del Sur and Passport No.
2534621 by the Department of Foreign Affairs – Cebu on October 1, 2009; and

RONA SANTOS, with CTC No.33354631 issued on January 1, 2010 at

Hinatuan, Surigao del Sur and Driver’s License No. N15-8563215 issued by
the Land Transportation Office on July 28, 2008;

who are personally known to me and to me known to be the same persons

who executed the foregoing instrument for and in behalf of said corporation
and she acknowledged to me that the same is the free and voluntary
corporate act and deed of SURIGAO ISLAND SALES CORPORATION.

The foregoing document is an irrevocable SPECIAL POWER OF

ATTORNEY which consists of two (2) pages including the page whereon this
Acknowledgement is written. This Acknowledgement forms an integral part of
the said document.

WITNESS MY HAND AND SEAL this 27th day of January, 2010, in

the Hinatuan, Surigao del Sur, Philippines.

Atty. Lou Mitchel

Notary Public for Hinatuan, Surigao del Sur
Notarial Commission No. 179-30
Valid Until 12/31/2012
IBP No. 23456, 01/02/09, Surigao del Sur
PTR No. 345678, 01/02/09, Surigao del Sur
Roll of Attorneys No. 45678
MCLE Compliance No. V-0006931 issued on 06/25/08
Unit 03-B, Bonifacio District, Brgy. Mabolo, Hinatuan,
Surigao del Sur, 6000

Doc. No. 405;

Page No. 2 ;
Book No. 34 ;
Series of 2010;

25
 EXHIBIT B

ACKNOWLEDGEMENT OF INDEBTEDNESS AND CONFIRMATION OF CREDITOR

I, ARIANNE SANTOS, President of Surigao Island Sales Corporation (SISC), hereby

confirm and acknowledge that SISC, the DEBTOR, owes an individual named, LUKE
DEIDER, the CREDITOR, in the PRINCIPAL AMOUNT of: Twenty-five Million Four
Hundred Thousand Pesos (P25,400,000); within a period of 5 years from the execution
hereof, with interest at the rate of 25% per annum.
That I undertake that in behalf of SISC, a PROMISSORY NOTE containing the above
mentioned obligation shall be executed by RONA SANTOS which is to be a joint obligation
of SISC and myself to recognize and secure LUKE DEIDER’s CREDITOR position in
SISC.

Signed this 23rd day of February 2010 in Hinatuan, Surigao del Sur, Philippines

ARIANNE SANTOS
President, Surigao Island Sales Corporation

Through:

RONA SANTOS
Authorized Representative of Surigao Island Sales Corporation

26
 EXHIBIT C

PROMISSORY NOTE

6. FOR VALUE RECEIVED, The Borrower, SURIGAO ISLAND SALES

CORPORATION, through its representative, RONA SANTOS, hereby promises
to pay The Lender, LUKE DEIDER the sum of Twenty-five Million Four
Hundred Thousand (PHP 25, 400, 000.00), on or before May 3, 2015.

7. This note shall bear interest, with the rate of twenty-five percent (25%) per
annum. The interest shall accrue until the debt is fully paid.

8. Any partial payment or performance of this Note or any extension thereof

granted by the Lender will neither alter or vary the terms of the original
conditions of the loan obligation, nor discharge the same, and such partial
payment or performance shall be considered as written acknowledgment of this
obligation which shall interrupt the period of prescription.

9. This Note shall be governed as to validity, interpretation, construction, effect,

and in all other respects by the laws and decisions of the Republic of the
Philippines.

10. In case any provision in this Note shall be held to be invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining
provisions shall not in any way be affected or impaired thereby.

IN WITNESS WHEREOF, the parties have hereunto set their hands, this 3rd day
of May 2010 at Hinatuan, Surigao del Sur, Philippines, Philippines.

___________________________________________ ______________________________________
RONA SANTOS LUKE DEIDER
Representative, Surigao Lender
Island Sales Corp.
Borrower

SIGNED IN THE PRESENCE OF

Kirk Dale Montuerto Daisy Mae Co

27
 ACKNOWLEDGEMENT

REPUBLIC OF THE PHILIPPINES )

MUNICIPALITY OF HINATUAN ) SS.

BEFORE ME, a Notary Public for and in the Municipality of Hinatuan this 5th
day of May 2010 personally appeared Rona Santos with Community Tax Certificate
No. 123456 issued on 1st January 2010 at Hinatuan, Surigao del Sur representing to
be the representative in the corporation of Surigao Island Sales Corporation with
Community Tax Certificate No. 789100 issued on 2 nd January 2010 at Hinatuan,
Surigao del Sur and Tax Identification No. (T.I.N.) 353-899-234-000, known to me and
to me known to be the same person who executed the foregoing instrument for and
in behalf of said corporation, and she acknowledged to me that the same is the free
and voluntary corporate act and deed of Surigao Island Sales Corporation.
This Instrument consists of only two (2) pages, including this page in which
this Acknowledgement is written, duly signed by Rona Santos and her instrumental
witnesses on each and every page hereof.
WITNESS MY HAND AND SEAL this 5th day of May 2010 at Hinatuan, Surigao
del Sur, Philippines.

Atty. Lou Mitchel

Notary Public for Hinatuan, Surigao del Sur
Notarial Commission No. 179-30
Valid Until 12/31/2012
IBP No. 23456, 01/02/09, Surigao del Sur
PTR No. 345678, 01/02/09, Surigao del Sur
Roll of Attorneys No. 45678
MCLE Compliance No. V-0006931 issued on 06/25/08
Unit 03-B, Bonifacio District, Brgy. Mabolo, Hinatuan,
Surigao del Sur, 6000

Doc. No. 405;

Page No. 2 ;
Book No. 34 ;
Series of 2010;

28
 ANNEX G

May 10, 2015

Surigao Island Service Corporation

Hinatuan, Surigao del Sur, 8310

Attention: Ms. Arianne Santos

President
------------------------------

Re: Unpaid Loan

-----------------

Dear Ms. Santos,

This is in reference to the loan which you obtained from our client, MR. LUKE
DEIDER. It appears that sometime on May 3, 2010, you executed a promissory
note in favor of our client, Luke Deider, promising to pay the principal amount of
Twenty-five Million Four Hundred Thousand Pesos (Php 25,400,000.00) five years
from the execution plus a yearly interest of Twenty-five percent (25%).

However, on the day of the maturity of such loan, you have not acted on such
promise, prompting our client to personally call and demand of you the payment of
such amount. Repeated calls have been made to you to own up to this obligation,
but up to the present, you have not acted on our client’s demand to pay him the
aforementioned amount.

Hence, we are giving you a period of Ten (10) days from receipt thereof to pay the
amount of Twenty-five Million Four Hundred Thousand Pesos (₱25,400,000.00),
representing the principal amount, and the corresponding interest therein which is
at 25% per annum.

Please deliver the amounts in our office any time between 8:00am to 5:00pm. Our
office is located in Unit 406 eBloc 4, I.T. Park, Brgy. Lahug, Cebu City, Philippines
6000. Otherwise, you may also deposit it with the checking account of our client in
Citibank under the name Luke Deider, with bank account number 557-1-8521114-
6, and send us the proof of such payment through our email address,
contact@pleddlaw.com.

29
If you still fail and/or refuse to settle the same, we will be constrained to resort to
legal action to protect the interests of our above-named client, in which case
requires you to lay out additional costs and expenses.

We trust that you will give this matter your preferential attention.

Respectfully yours,

Atty. Anne Frances Patalinghug

Counsel for Plaintiff

30