[ Manila Bulletin Online ] October 20, 2008
By REY G. PANALIGAN
The Supreme Court has upheld a Court of Appeals (CA) decision that validated the sheriff’s sale of a 1.3-hectare land owned by a group of barter traders in Zamboanga City to satisfy the monetary claim of an employee it dismissed in 1981.
In a decision written by Justice Minita V. Chico Nazario, the SC said that "petitioner -- Zamboanga Barter Traders Kilusang Bayan, Inc. (ZBTKBI) -- could have redeemed the property but it failed to do so.
"It is now too late in the day for petitioner, considering that the ownership of the subject property was validly and legally transferred to Teofisto Mendoza when he bought the land at the auction sale without petitioner redeeming the same at the proper time."
Justices Consuelo Ynares Santiago, Ma. Alicia Austria-Martinez, Antonio Eduardo B. Nachura and Ruben T. Reyes concurred in the decision.
On April 1, 1981, the ZBTKBI, through its president lawyer Hasan G. Alam, terminated Mendoza as clerk of the group for alleged abandonment of work. Mendoza filed a case against the group before the regional office of the Department of Labor in Zamboanga City.
On May 31, 1983, Labor Arbiter Hakim S. Abdulwahid issued a ruling finding illegal Mendoza’s dismissal and ordered ZBTKBI to reinstate him to his former position or any equivalent position with payment of back wages.
The ZBTKBI appealed the labor arbiter’s ruling before the National Labor Relations Commission (NLRC) which dismissed the appeal on Nov. 15, 1983 for lack of merit. The group of barter traders did not appeal the NLRC ruling that became executory on Jan. 18, 1984.
On July 2, 1984, the labor arbiter issued two writs of execution to satisfy to judgment. The ZBTKBI refused to accept the writ. Five years later in 1989, Mendoza pleaded for a writ of execution that was granted by Executive Labor Arbiter Julius Rhett Plagatta on Jan. 2, 1990 with an order to collect Mendoza’s back wages of P90,930 or to levy on ZBTKBI’s property to satisfy the monetary judgment.
In compliance with the writ of execution, Sheriff Anthony B. Gaviola levied whatever interest, share, right and claim ZBTKBI had over a 1.3 hectare property and sold it at public auction on June 13, 1990 for P96,443. Mendoza turned out the highest bidder.
When ZBTKBI lost at the CA, it filed a petition with the SC seeking the annulment of the levy claiming that the value of the levied property was more than the monetary judgment and the sale to Mendoza at a very low price "was scandalous and shocking to the conscience."
"We do not agree. It is settled that when there is a right to redeem, inadequacy of price is of no moment, for the reason that the judgment debtor always has the chance to redeem and reacquire the property. In fact, the property may be sold for less than its fair market value, precisely because it would be easier for the owner to effect a redemption," the SC said.
"If petitioner were truly willing to cooperate in the satisfaction of the judgment, the levy of the subject property could have been prevented if only petitioner handed over to, or informed the sheriff any of its properties sufficient to satisfy the judgment. It did not.
"Knowing the risk and difficulty of levying on any of the properties of petitioner, the sheriff thus levied upon any property that he could get hold of – the subject property," it added.
