Republic of the Philippines

Regional Trial Court of Lanao Del Norte

12th Judicial Region, Branch 05
Iligan City

KC CONCEPCION Civil Case No. 86286

Plaintiff,
versus FOR:
Rescission of Deed of
VINCENSO CASSANO, Absolute Sale of Real Property;
Defendant.

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COMPLAINT

PLAINTIFF, by counsel, hereby respectfully avers that:

PARTIES
1. Plaintiff is KC CONCEPCION of legal age, Filipino, married, and
resident of Pala-o, Iligan City;

2. Defendant VINCENSO CASSANO, of legal age, Filipino, and

resident of Hinaplanon, Iligan City;

PREFATORY STATEMENT
3. When a seller fraudulently coverts bad faith to the buyer prior to the
full payment of the consideration is a breach of contract and the buyer is entitled
to rescission because the breach is substantial and fundamental as it defeats the
very object of the parties in entering into the contract of sale.

4. Plaintiff comes before this Honorable Court to file this complaint

seeking redress and justice against the people who have been involved in this
grandiose scheme of fraud and deception which as a result had suffered major
loss and damage.

THE SUBJECT MATTER

5. Plaintiff is the owner of a residential lot covered by TCT No. T- 10006
(a.f) of the Register of Deeds of Iligan City located at Brgy. Hinaplanon, Iligan
City with a total area of 25,000 square meters or 2.5 hectares, particularly
described as follows:

TRANSFER CERTIFICATE OF TITLE NO. 10006

“Large tract of land located at Barangay Hinaplanon, Iligan City with a
land area of 2.5 hectares. The land is traversed by railroad tracks
dividing it into two (2) parcels covered by Original Certificate of Title No.
10006 covering the two parcels, designated as Lots 1 and 2 registered
in the name of Mr. Vincenso Cassano. A new two-storey smart house is
built at the far right of the parcel of land. A warehouse with solar power
on the far left.”

"Lot 1 and 2, Psd - 10 - 00000000, a portion of Lot 2, Block 37, Pcs-

4540 located in Hinaplanon, Iligan City, Mindanao, Philippines,
Bounded on the NE along line 1-2 by Lot 3, Block 37, Pcs-4540: SE
along line 2-3 by Property of Kim Jung Eun, SW ALONG LINE 3-4 BY
LOT 1, BLOCK 37. Pcs- 4540; and NW along line 4-1 by Lot 2-B ,Psd -
1- 00000000 of the subdivision plan . Beginning at a point marked "1"
on the plan being S. 09 deg 25' W, 840.15 m from DBM No. 2, Cad.292.
THENCE...... 1-2 S. 66 deg 26 E., 12.39 m; 2-3 S. 03 deg 05 W. 14.14
m; 3-4 N. 64 deg 51 W., 14.88 m; and 4-1 N. 12 deg 42 E. 13.07 m with
an area of TWENTY FIVE THOUSAND (25000) square meters or 2.5
hectares, more or less."
 STATEMENT OF FACTS
6. On or about May 20, 2021 at the City of Iligan the defendant/seller
executed a “Contract to Sell” a copy of which is integrally appended hereto as
(ANNEX A1-A4), in favor of plaintiff/buyer for and in consideration of the total
amount of THREE HUNDRED FIFTY MILLION PESOS (PhP 350,000,000.00),
Philippine Currency payable as follows:

“6.1. Purchase Price: The BUYER shall pay the SELLER a lump sum
price for the Property in the amount of THREE HUNDRED FIFTY
MILLION PESOS, PHILIPPINE CURRENCY (PhP 350,000,000.00)
(The “Purchase Price”) and the SELLER shall present and deliver to the
BUYER’S reasonable satisfaction on the following manner:

(a) That the BUYER will pay the SELLER a down payment
amounting to ONE HUNDRED SEVENTY-FIVE MILLION PESOS
(PhP 175,000,000.00) upon signing of this contract to sell and
hereby reserves the exclusive right to purchase the aforementioned
property to the BUYER and SELLER cannot offer the
aforementioned property to any third party.

(b) That the SELLER will get the remaining fifty percent (50%) of the
Purchase Price in the amount of ONE HUNDRED SEVENTY-FIVE
MILLION PESOS (PhP 175,000,000.00) upon presentation to the
BUYER the Estate Tax Clearance, Certificate Authorizing
Registration (CAR) and Owner’s duplicate original of Transfer
Certificate of Title No. T-4628 and upon signing of the deed of sale;

(c) That upon completion of payment of the balance purchase price

above stipulated and other obligations set forth hereto, the BUYER
shall execute and deliver to the SELLER a final DEED OF
ABSOLUTE SALE, CONVEYING, SELLING, CEDING AND/OR
TRANSFERRING the above-described property from the SELLER to
 the BUYER, free and clear of all liens and encumbrances except
those found therein at the time of the execution of this document;

(d) That the SELLER shall cause the issuance of Transfer Certificate
of Title under the name of the BUYER covering the subject parcel of
land, it being understood, however, that expenses for capital gains
tax and documentary stamp tax, transfer tax and other Registration
Fees shall be borne exclusively by the SELLER;

(e) That the BUYER shall only have the right to take possession over
the property only after the execution of the Deed of Absolute Sale by
the parties.

7. On May 20, 2021, Defendant received from Plaintiff ONE

HUNDRED SEVENTY-FIVE MILLION PESOS (PhP 175,000,000.00)
Philippine Currency as partial payment for the property. The receipt of
payment was duly acknowledged by the Plaintiff;

8. On May 26, 2021, Plaintiff and her counsels went to the

property to inspect the same; she noticed that the railroad was built new.
Plaintiff thought it was an old road;

9. Plaintiff also noticed that the warehouse has equipment that

looked newly delivered. Defendant assured her that the warehouse is new
and unused;

10. On May 30, 2021, Plaintiff revisited the property and noticed a
newly built splitting railroad track within the premise of the subject
property;

11. With the discoveries made by Plaintiff during her inspections at

the site, she changed her mind and is no longer interested to buy the said
land. Plaintiff orally demanded to the Defendant for refund of her down
payment;

12. Defendant-Seller answered and promised the Plaintiff to pay

for the portion in the property transverse by the newly built splitting railroad
track in the amount to be agreed upon;

13. On June 5, 2021, Defendant presented to the Plaintiff the

Estate Tax Clearance and Certificate Authorizing Registration (CAR);

14. On the same date, Defendant received from Plaintiff the

remaining ONE HUNDRED SEVENTY-FIVE MILLION PESOS (PhP
175,000,000.00) Philippine Currency as full payment for the property. The
receipt of payment was duly acknowledged by the Plaintiff;

15. Deed of Absolute Sale (ANNEX B1- B2) over the subject
property was also executed on the same date which provides:

“NOW THEREFORE, for and in consideration of the sum of THREE

HUNDRED FIFTY MILLION (Php 350,000,000.00), Philippine Pesos, in
hand paid and received, the VENDOR hereby sells, conveys and transfers
to the VENDEE, his heirs and assigns, the above-mentioned lot with the
improvements found thereon containing an area of TWENTY FIVE
THOUSAND (25,000) square meters or 2.5 hectares.

That the SELLER shall cause the issuance of transfer Certificate

of Title under the name of the BUYER, and shall be responsible for
the payment of capital gain tax and documentary stamp tax, transfer
tax and other registration fees, and payment of property tax prior to
this sale. The BUYER shall be in charge with the documentation of
this conveyance.
 This sale of parcel of lot and the improvements found thereon is free
from any lien and encumbrances.”

16. On the same day, Plaintiff verbally demanded from the

Defendant the title. However, defendant said that he forgot to bring it and
promised to deliver the same a week after;

17. Despite Plaintiff’s repeated oral and written demands for the
delivery of the title, the defendant failed to deliver the title to the Plaintiff;

18. To add insult to injury, Plaintiff has not and could not
physically, actually and materially possess and cultivate the subject
property because the area is being used in the continued construction of
the splitting railroad track and the present possessor refuse to vacate the
same;

19. On June 10, 2021, Plaintiff sent a letter to the Defendant

demanding the return of the amount of THREE HUNDRED FIFTY
MILLION PESOS (PhP 350,000,000.00) so fully paid by her, but the latter
ignored the same. A copy of the demand letter is here attached as Annex
C;

20. On June 15, 2021, Plaintiff reiterated said demand in another

letter. However, the same was unheeded. Attached is a copy of the
demand letter marked as Annex D;

21. Without any legal justification, Defendant continuously refused

to return said amount despite repeated oral and written demands. A final
demand letter was sent and received personally by Defendant on July 20,
2021. A copy of the final demand letter is here attached as Annex E;

22. Because of Defendant’s indifference to the demands of the

Plaintiff, the latter was constrained to notify the former through a notarial
act of his desire and intention to rescind the said contract of sale. A copy
of the notarial act to rescind the contract of sale is here attached as Annex
F.

FIRST CAUSE OF ACTION

23. This Deed of Absolute Sale is subject to the Plaintiff’s right of

rescission pursuant to Article 1191 of the Civil Code 1;

24. In the course of this Deed of Absolute Sale, Defendant-Seller

violated Article 1191 of the Civil Code by failing to deliver the certificate of Title
over the property to Plaintiff-Buyer;

25. By reason of this material violation, Plaintiff has a right of rescission

and Defendant Vincenso Cassano is obligated to return all that plaintiff paid
them for plus interest and damages;

SECOND CAUSE OF ACTION

26. Upon inspection of the premises, defendant started and continued the
construction of a railroad crossing within the premise of the subject property
despite the objections of plaintiff;

27. Plaintiff could not physically, actually, and materially possess and
cultivate the said land because the defendant, without legal justification, refuses
to vacate and stop the on-going construction;

28. It is the intention of the parties that upon full payment and execution
of the Deed of Absolute Sale, Plaintiff-Buyer shall have total control over the
property.
1
Art. 1191. The power to rescind obligations is implied in reciprocal ones, in case one of the
obligors should not comply with what is incumbent upon him. The injured party may choose
between the fulfillment and the rescission of the obligation, with the payment of damages in
either case.
 29. By reason of this material violation of Article 1191, Plaintiff has a
right of rescission and Defendant Vincenso Cassano is obligated to return all
that plaintiff paid them for plus interest and damages;

STATEMENT OF LAWS

RESCISSION OF DEED OF ABSOLUTE SALE OF REAL

PROPERTY

30. The Defendant/Seller failed to comply with the terms and conditions
of the sale and the obligations as provided for in Articles 1458, 1495 and 1498 of
the Civil Code, to wit:

Art. 1458. By the contract of sale, one of the contracting parties obligates
himself to transfer the ownership of and to deliver a determinate thing, and
the other to pay therefore a price certain in money or its equivalent.

Art. 1495. The vendor is bound to transfer the ownership of and deliver, as
well as warrant the thing which is the object of the sale.

Art. 1498. When the sale is made through a public instrument, the
execution thereof shall be equivalent to the delivery of the thing which is the
object of the contract, if from the deed the contrary does not appear or cannot
clearly be inferred.

31. Considering that defendant failed to deliver him the certificate of title
and of the possession over the LAND to the plaintiff, the contract must be
rescinded pursuant to Article 1191 of the Civil Code which, in part, provides:

Art. 1191. The power of rescind obligations is implied in reciprocal ones in

case one of the obligors should not comply with what is incumbent upon him.

32. The failure of the petitioner to deliver to the respondent both the
physical possession of the subject property and the certificate of title covering
the same amount to a substantial breach of the former’s obligation to the latter
constituting a valid cause to rescind the agreement and deed of sale entered into
by the parties.2

2
Estelita Villamar vs. Balbino Mangaoil, GR No. 188661, April 11, 2012
 33. Hence, with the rescission of the Deed of Absolute Sale, parties are
bound by the provisions in the Contract to Sell and that the Defendant must
return or pay purchase price in the amount of THREE HUNDRED FIFTY
MILLION (Php350,000,000.00), else the continued occupation of defendant
Vincenso Cassano of the subject lot is illegal.

DAMAGES
34. The reasonable value and/or compensation for the use and
occupation of the premises are not less than P500, 000.00. Plaintiff shall
continue to suffer this damage until full restitution to the possession and
occupation of the property is made by the Defendant;

35. To serve as an example and as a deterrent to others, exemplary

damages must be levied upon the defendant in the amount of P50, 000.00;

36. To protect their rights and interests Plaintiff hired the services of the
undersigned counsel at the agreed acceptance fee of P100,000.00 while in the
trial Court plus appearance fees presently of P10,000.00 and litigation expenses
to be proved in court and finally attorney’s fees when the above-entitled case is
terminated;

PAYMENT OF FEES
37. Upon the filing of this pleading, Plaintiff paid the fees as assessed by
the Clerk of Court and they hereby manifest in accordance with the ruling of the
Supreme Court in Ballatan v. Court of Appeals (G.R. No. 125683, March 2,
1999) that should there be any other fee in addition to the above which may be
required in the premises, they shall promptly pay the same upon being informed
thereof or such fees may be held as a lien in accordance with Section 7 Rule 62
of the Rules of Court.
PRAYER
WHEREFORE, premises above considered, it is most respectfully prayed
that judgment on the complaint be rendered in favor of the Plaintiff and against
the Defendant, to wit:
 a. The Deed of Absolute Sale be rescinded;
b. The Defendant be ordered to return the sum of THREE HUNDRED
FIFTY MILLION (Php 350, 000,000.00) Philippine Pesos;
c. The Defendant be ordered to pay an interest of 12% per annum
imposed on the sum of Php 350, 000,000.00 to be computed from the date of
final demand until full satisfaction of this case.
d. The defendant be ordered to pay & compensate the plaintiff for the
actual damages in an amount to be established at trial;
e. The Defendant be ordered to pay exemplary damages in favor of the
Plaintiff in the amount of P50,000.00;
f. The Defendant be ordered to pay Plaintiff’s claim for attorney’s fees in
the amount of P50,000.00, appearance fees and litigation expenses as maybe
proved in Court;

PLAINTIFF further pray for such other reliefs and remedies as may be just and
equitable under the premises.
ATTY. ALIZZA LYN Y. CELESTE
Notary Public
PTR No 1234567 August 01, 2017
I B P No. 123456 Dec 24, 2018
Both of Iligan City
Tel No (063) 2236050
Mobile: 09952926426
E-mail address: al.celeste@gmail.com
Attorney’s Roll No. 30,001 March 8, 2017
MCLE Compliance No. IV 1234567
July 13, 2018
City of Iligan, August 2021.
Doc. No. __5___
Page No. __34__
Book No. ___10_
Series of 2021

Verification and Certification Under Oath of Non-Forum Shopping

Republic of the Philippines)

City of Iligan) S.S.

I, KC CONCEPCION, of legal age, single, Filipino and the plaintiff in the above-entitled case,
after being duly sworn to in accordance with law do hereby depose and say;
1. That I am the plaintiff in the above-entitled case;
2. That I caused the preparation of the complaint and I read the allegations contained
therein and understood each of them to be true and correct of my own personal
knowledge and beliefs and based on authentic documents;
3. That I further certify that I have not commenced any action or proceeding involving the
same issues in the Supreme Court, the Court of Appeals or different divisions thereof,
or any court, tribunal or agency; and
4. That should I learn hereafter of the filing or pendency of such action/s, I undertake to
inform this Honorable Court of said fact within five (5) days from knowledge therefrom
that I have read the forgoing complaint and all its annexes and that all the factual
allegations therein contained are true of my own knowledge and the annexes are
based on authentic original records of which the undersigned certifies as true and
correct copies of the originals in my custody and possession.

IN WITNESS WHEREOF, I have hereunto set my hand this August 12, 2021 at Iligan City,
Philippines.

___________________________
KC CONCEPCION
Affiant

SUBSCRIBED AND SWORN TO BEFORE ME, this 12th of August, 2021 at Iligan City.
ANNEX A-1
ANNEX A-2
ANNEX A-3
ANNEX A-4
ANNEX B-1
 ANNEX B-2

ANNEX C
DEMAND LETTER
 ANNEX D
DEMAND IN ANOTHER LETTER
ANNEX E
 FINAL DEMAND LETTER

ANNEX F
LETTER FOR RESCISSION OF CONTRACT
 ATTY. ALIZZA LYN Y. CELESTE
Notary Public
PTR No 1234567 August 01, 2017
I B P No. 123456 Dec 24, 2018
Both of Iligan City
Tel No (063) 2236050
Mobile: 09952926426
E-mail address: al.celeste@gmail.com
Attorney’s Roll No. 30,001 March 8, 2017
MCLE Compliance No. IV 1234567
July 13, 2018

City of Iligan, July 2021.

Doc. No. __5___
Page No. __34__
Book No. ___10_
Series of 2021