This document summarizes a court case between Calvin Arcilla and Emilio Rodulfo. Arcilla took advantage of his relationship with Rodulfo to obtain cash, items, and checks on credit. Arcilla signed 30 promissory notes but then refused to pay back the debt. Rodulfo sued for recovery of the money. The court ruled that Arcilla was personally liable for the debt even though it was incurred in the name of his corporation, as the corporation was essentially his alter ego and business conduit. The court rejected Arcilla's argument that he could not be held personally liable since the corporation was not a party, finding that he had waived this defense already in his pleadings and admissions.
This document summarizes a court case between Calvin Arcilla and Emilio Rodulfo. Arcilla took advantage of his relationship with Rodulfo to obtain cash, items, and checks on credit. Arcilla signed 30 promissory notes but then refused to pay back the debt. Rodulfo sued for recovery of the money. The court ruled that Arcilla was personally liable for the debt even though it was incurred in the name of his corporation, as the corporation was essentially his alter ego and business conduit. The court rejected Arcilla's argument that he could not be held personally liable since the corporation was not a party, finding that he had waived this defense already in his pleadings and admissions.
This document summarizes a court case between Calvin Arcilla and Emilio Rodulfo. Arcilla took advantage of his relationship with Rodulfo to obtain cash, items, and checks on credit. Arcilla signed 30 promissory notes but then refused to pay back the debt. Rodulfo sued for recovery of the money. The court ruled that Arcilla was personally liable for the debt even though it was incurred in the name of his corporation, as the corporation was essentially his alter ego and business conduit. The court rejected Arcilla's argument that he could not be held personally liable since the corporation was not a party, finding that he had waived this defense already in his pleadings and admissions.
This document summarizes a court case between Calvin Arcilla and Emilio Rodulfo. Arcilla took advantage of his relationship with Rodulfo to obtain cash, items, and checks on credit. Arcilla signed 30 promissory notes but then refused to pay back the debt. Rodulfo sued for recovery of the money. The court ruled that Arcilla was personally liable for the debt even though it was incurred in the name of his corporation, as the corporation was essentially his alter ego and business conduit. The court rejected Arcilla's argument that he could not be held personally liable since the corporation was not a party, finding that he had waived this defense already in his pleadings and admissions.
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G.R. No.
89804 October 23, 1992
CALVIN S. ARCILLA, petitioner, vs. THE HONORABLE COURT OF APPEALS and EMILIO RODULFO, respondents. Facts: Petitioner Calvin Arcilla, taking advantage of his close relationship with respondent Emilio Rodulfo, succeeded in securing on credit from the latter, items, cash and checks. RODULFO willingly extended the credit because of the representations of ARCILLA that he was a successful financial consultant. The indebtedness is shown and described in 30 “vales” signed by ARCILLA. When RODULFO demanded payment, ARCILLA, acting in gross and evident bad faith, refused to satisfy the claim. Hence, he filed a complaint for RECOVERY OF SUM OF MONEY. In his Answer, ARCILLA did not deny having had business transactions with RODULFO. He explicitly admits that the loan was in the name of his family corporation, CSAR MARINE RESOURCES, INC. After hearing, the Court rendered judgment against ARCILLA ordering him to pay private respondent Emilio Rodulfo in his capacity as President of CSAR MARINE. ARCILLA argued that he cannot be ordered to pay in his capacity as President of CSAR MARINE since the said corporation was not impleaded in the case. The personality and liability of ARCILLA and CSAR MARINE as a corporation are separate and distinct. Issue: Whether or not the petitioner can raise the issue of separate corporate identity in the pleadings for the first time in a Motion for Clarificatory Judgment? Ruling: The records bear nothing to prop up the instant petition. The arguments adduced by the petitioner breathe no life to it. On the contrary, the pleadings lead Us to the inescapable conclusion that the petitioner, who is himself a lawyer, is merely taking advantage of the use of the innocuous phrase "in his capacity as President" found in the dispositive portion of the challenged Amended Decision — making the same a sanctuary for a defense which he, as hereinafter discussed, had long since abandoned or waived either deliberately or through his obliviscence. His sole purpose, of course, is to avoid complying with the liability adjudged against him by the public respondent; such avoidance is premiered on the so-called newly discovered evidence offered after the public respondent had bent over backwards to grant him a new trial despite the availability of such evidence during pendency of the proceedings before the trial court. It is to be noted that he failed to assign as error in his Brief the denial by the said court of his motion for new trial on the basis thereof. if We are to assume arguendo that the obligation was incurred in the name of the corporation, the petitioner would still be personally liable therefor because for all legal intents and purposes, he and the corporation are one and the same. Csar Marine Resources, Inc. is nothing more than his business conduit and alter ego. The fiction of a separate juridical personality conferred upon such corporation by law should be disregarded. Significantly, petitioner does not seriously challenge the public respondent's application of the doctrine which permits the piercing of the corporate veil and the disregarding of the fiction of a separate juridical personality; this is because he knows only too well that from the very beginning, he merely used the corporation for his personal purposes. Petitioner's volunteered admission that he procured the pro-forma invoice from the private respondent in connection with his loan from the KKK, using his family corporation in the process, and his deliberate waiver of the aforementioned defense provide an insurmountable obstacle to the viability of this petition.