9 Siasoco Vs CA, 303 SCRA 186

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Siacoco vs Court of Appeals

G.R. No. 132753, February 15, 1999

Facts:
Petitioners offered up for sale their 9 parcels of land in Rizal. Iglesia ni Cristo (INC) negotiated with the petitioners, but
the parties failed to agree on the terms of the purchase. More than a year later, both parties revived their discussion. In a letter
dated Dec. 16,1996, petitioners made a final offer to the INC. The latter’s counsel sent a reply, stating that the offer was
accepted, but that the INC was “not amenable to your proposal to an undervaluation of the total consideration.” In their letter
dated Jan. 8, 1997, petitioners claimed that the INC had not really accepted the offer, adding that, prior to their receipt of reply
on Dec. 24,1996, they had already “contracted” with Carissa Homes and Development & Properties (Carissa) for sale of the said
properties” due to the absence of any response to their offer from INC.

Private respondent filed an action for specific performance and damages against petitioners and Carrisa Homes.
Petitioners filed a motion to dismiss on the ground of improper venue and lack of capacity to sue. Carissa Home then filed its
answer to the complaint. Pending resolution of petitioner’s motion to dismiss, private respondent negotiated with Carrisa
which culminated in the purchase of the subject properties of Carissa homes by private respondent.

Private respondent filed an Amended Complaint, dropping Carissa Homes as one of the defendants and changing the
nature of the case to a mere case for damages. Petitioners filed a Motion to Strike Out Amended Complaint, contending that
the complaint cannot be amended without leave of court, since a responsive pleading has been filed.

The first assailed order denying petitioners’ Motion to Strike Out Amended Complaint was rendered. Later, petitioners
filed a Motion for Suspension of proceeding pending the resolution by the respondent court of the Motion to Dismiss earlier
filed.

The second assailed order denying petitioners’ Motion to Suspend Proceeding was rendered.

CA rule that although private respondent could no longer amend its original complaint as a matter of right, it was not
precluded from doing so with leave of court

Issue:
Whether the amended complaint may be admitted

Ruling:
Yes. The amended complaint may be admitted

Section 3, Rule 10 of the Rules of Court, provides that after a responsive pleading has been filed, an amendment may
be rejected when the defense is substantially altered. Such amendment does not only prejudice the rights of the defendant; it
also delays the action. It is clear that plaintiff (herein private respondent) can amend its complaint once, as a matter of right,
before a responsive-pleading is filed.

Contrary to the petitioner’s contention, the fact that Carissa had already filed its Answer did not bar private
respondent from amending its original Complaint once, as a matter of right, against herein petitioners. Indeed, where some but
not all defendants have answered, plaintiffs may amend their Complaint once, as a matter of right, in respect to claims
asserted solely against the non-answering defendants, but not as to claims asserted against the other defendants.

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