G.R. No. 156294
November 29, 2006
MELVA THERESA ALVIAR GONZALES, Pettoner, vs. RIZAL OMMERIAL !AN"ING OR#ORATION, OR#ORATION, Responden.
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A foreign check worh $7,500 was drawn in favor of Gonzales !oher, "va Alviar. Gonzales is an e!plo#ee of R% and &eca'se of his, he check is allowed o &e encashed wiho' he necessar# clearing period. (livia Go!ez, head of R%s reail &anking ac)'iesced he earl# encash!en and signed he check &' &o'() *+ o #-#1,500&. *he check was presened o anoher R% e!plo#ee, arlos Ra!os, and signed i wih an +(+ annoaton. -n 'rn, he check was presened o Rolando ornosa, s'pervisor of he re!i/ance secton who a'horized is encash!en o is peso e)'ivalen of PhP55,170.25. 3owever, 3owever, when R% waned o collec fro! he foreign drawee &ank, i was dishonored &eca'se of irreg'lar indorse!en and 'lt!ael#, 'lt!ael#, &eca'se he acco'n was closed. R% de!anded o ge he !one# &ack fro! Gonzales who se/led he !a/er hro'gh her salar# ded'cton where R% go P1,211.10. R% 4led a case agains he oher partes, na!el# Alviar, AlviarGonzales AlviarGonzales and la/ers h's&and Gino Gonzales in he R* which held ha Alviar and AlviarGonzales AlviarGonzales lia&le. *he A a6r!ed. 3ence he petton.
ISS/E% -e-er or 'o Ev A(vr '3 Me(v T-eres A(vrGo'(es re (b(e s e'er( e'3orsers7
HEL8% NO. Sec. 66. Liability of general indorser . - Every indorser who indorses without qualifcaon, warrants to all
subsequent holders in due course The maers and things menoned in subdivisions (a), (b), and (c) o the ne!t "receding secon# (a) That the instrument is genuine and in all res"ects what it "ur"orts to be (b) That he has a good tle to it (c) That all "rior "ares had ca"acity to contract
nder 8ecton 99, he warrantes for which Alviar and Gonzales are lia&le as general endorsers in favor of s'&se)'en endorsers e:end onl# o he sae of he insr'!en a he t!e of heir endorse!ens. HOEVER, his provision canno &e 'sed &# he par# which inrod'ced a defec on he insr'!en R! -ro*- O(v Gome ; which :*(;e3() e'3orse3 .
3ad i no &een for he )'ali4ed endorse!en &*+ o #1,500.00 o'()& of (livia Go!ez, who is he e!plo#ee of R%, here wo'ld have &een no reason for he dishonor of he check. R%, which ca'sed he dishonor of he check 'pon presen!en o he drawee &ank, hro'gh he )'ali4ed endorse!en of is e!plo#ee, (livia Go!ez, canno hold prior e ndorsers, Alviar and Gonzales in his case, lia&le on he insr'!en.
