Tuason Vs Bolanos
Tuason Vs Bolanos
Tuason Vs Bolanos
L-4935
J. M. TUASON & CO., INC., represented by it Managing PARTNER, GREGORIA ARANETA, INC., plaintiffappellee,
vs.
QUIRINO BOLAOS, defendant-appellant
Araneta and Araneta for appellee.
Jose A. Buendia for appellan
Facts: This is an action originally brought in the Court of First Instance of Rizal, Quezon City Branch, to recover
possesion of registered land situated in barrio Tatalon, Quezon City.
Defendant, in his answer, sets up prescription and title in himself thru "open, continuous, exclusive and public and
notorious possession (of land in dispute) under claim of ownership, adverse to the entire world by defendant and
his predecessor in interest" from "time in-memorial". The answer further alleges that registration of the land in
dispute was obtained by plaintiff or its predecessors in interest thru "fraud or error and without knowledge (of) or
interest either personal or thru publication to defendant and/or predecessors in interest.
After trial, the lower court rendered judgment for plaintiff. Defendant appealed to the SC, alleging the lower court
erred in not dismissing the case on the ground that the case was not brought by the real property in interest.
Issue: W/N the case must be dismissed on the ground that the case was not brought by the real property in
interest.
Ruling: No. What the Rules of Court require is that an action be brought in the name of, but not necessarily by, the
real party in interest. That practice appears to have been followed in this case, since the complaint is signed by the
law firm of Araneta and Araneta. There is nothing against one corporation being represented by another person,
natural or juridical, in a suit in court.
The contention that Gregorio Araneta, Inc. can not act as managing partner for plaintiff on the theory that it is
illegal for two corporations to enter into a partnership is without merit, for the true rule is that "though a
corporation has no power to enter into a partnership, it may nevertheless enter into a joint venture with another
where the nature of that venture is in line with the business authorized by its charter."
There is nothing in the record to indicate that the venture in which plaintiff is represented by Gregorio Araneta, Inc.
as "its managing partner" is not in line with the corporate business of either of them.