DOMINADOR DIZON, doing business under the firm name "Pawnshop of Dominador Dizon", petitioner, Vs. LOURDES G. SUNTAY, respondent. FACTS: Lourdes Suntay, owner of a 3 carat diamond ring valued at P5500, made transaction with Clarita R. Sison for sale on commission. After reasonable time passed, Suntay demanded the ring from Sison because as an agent to sell, Clarita was not able to sell the ring yet and also not able to return the ring yet. In not that long time, Lourdes found out that the ring was pledged to Dizon’s pawnshop after 3days from the date of transaction made. Actually the one who pledged it without notice to owner was her husband’s niece named Melia Sison for P2600 with Clarita. Suntay filed a case for estafa(fraud) case and Suntay asked Dizon to return the ring but Dizon refused, so Suntay presents the file against to Dizon. ISSUES: Whether Dizon is require returning the ring or Suntay can claim the ring. RULING: Yes, Dizon requires to return the ring and Suntay can claim it. First of all, as a commission agent, Sison has no ownership of the property, it means that she has no right to pledge the property to pawnshop. And the possessor can acquire his property in good faith at a public sale if it’s unlawfully deprived (Art.559 of the civil code).
CAVITE DEVELOPMENT BANK and FAR EAST BANK AND TRUST COMPANY, petitioners, vs. SPOUSES CYRUS LIM and LOLITA CHAN LIM and COURT OF APPEALS, respondents. FACTS: On June 15, 1983 Rodolfo Guansing got a loan from Cavite Development Bank worth of P90,000 to protect which he mortgaged a parcel of land(No. 63 Calavite Street, La Loma, Quezon City and covered by TCT No. 300809 registered in his name). Guansing was not able to pay the loan, CDB Forclosed the mortgage. March 15, 1984, The parcel of land was sold to CDB as highest bidder. Gaunsing was not able to redeem the land and on March 2, 1987 CDB got the name of