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Hermanos v. Orense, GR L-9188, December 4, 1914 (Per J. Torres, en Banc)

1) In 1907, Jose Duran sold a parcel of land he owned in Albay to Gutierrez Hermanos for 1,500 pesos with the knowledge and consent of the actual owner, Egnacio Orense. 2) Duran reserved the right to repurchase the land within 4 years, during which time Orense and Duran continued occupying the land by leasing it from Hermanos. 3) After 4 years passed, Hermanos asked Orense to deliver the property and rentals, but Orense refused, claiming Duran was insolvent and could not reimburse Hermanos. 4) The court held that Orense was bound by Duran

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59 views1 page

Hermanos v. Orense, GR L-9188, December 4, 1914 (Per J. Torres, en Banc)

1) In 1907, Jose Duran sold a parcel of land he owned in Albay to Gutierrez Hermanos for 1,500 pesos with the knowledge and consent of the actual owner, Egnacio Orense. 2) Duran reserved the right to repurchase the land within 4 years, during which time Orense and Duran continued occupying the land by leasing it from Hermanos. 3) After 4 years passed, Hermanos asked Orense to deliver the property and rentals, but Orense refused, claiming Duran was insolvent and could not reimburse Hermanos. 4) The court held that Orense was bound by Duran

Uploaded by

Maria Isabella Miralles
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Hermanos v.

Orense
G.R. No. L-9188
December 4, 1914
Facts:
On and before February 14, 1907, defendant Egnacio Orense had been the
owner of a parcel of land located in Guinobotan, Albay. Jose Duran, a nephew of
Orense, executed before a notary a public instrument whereby he sold and
conveyed to plaintiff Gutierrez Hermanos, for P1,500 for the aforementioned
property, with the knowledge and consent of Orense. The vendor Duran reserved
to himself the right to repurchase the land for the same price within a period of
four years from the date of the said instrument. Hermanos had not entered into
possession of the purchased property, owing to its continued occupancy by
Orense and Duran, by virtue of the contract of lease executed by Hermanos to
Duran, which contract was in force up to February 13, 1911. Upon the passing of
four years, Hermanos asked Orense to deliver the said property along with the
rentals thereof, but the latter refused to do so, claiming that Duran was insolvent
hence cannot reimburse Hermanos the price of sale.

Issue: Whether or not Orense is bound by Duran’s act of selling his property.

Held:
Yes. The principal must fulfill the obligations contracted by the agent, who
acted within the scope of his authority (Arts. 1709, 1710 and 1727.)
It having been proven at the trial that he gave his consent to the said sale, it
follows that the Orense conferred verbal, or at lease implied, power of agency
upon his nephew Duran, who accepted it in the same way by selling the said
property. The successive statements made by the defendant Orense in his
actions, wherein he affirmed that he had given his consent to the sale of his
property, meet the requirements of the law and legally excuse the lack of written
authority, and, as they are a full ratification of the acts executed by his nephew
Duran, they produce the effects of an express power of agency.

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