FELIPE DE GUZMAN, PETITIONER, VS. HON. WALFRIDO DE LOS ANGELES, JUDGE CFI-RIZAL, BRANCH IV, QUEZON CITY, LEONARDO GERONIMO, MARIA LAZARO MARIANO, GLICERIA LA­ZARO MARIANO, THE H…

On August 8, 1968
petitioner Felipe de Guzman filed a petition to review the resolutions of the
Court of Appeals dated March 19 and June 25, both of the year 1968. The first
set aside the decision of said court of Septem­ber 6, 1967, and the second
affirmed the reversal of said decision and denied petitioner’s motion for
reconsideration.

The respondents named in the petition for review, aside from the
Court of Appeals, are the Honorable Walfrido de los Angeles,
Judge of the Court of First Instance of Rizal, Branch
IV, Q.C., the Philippine Trust Company, Leo­nardo Geronimo, Maria Lazaro Mariano, Gliceria Lazaro Ma­riano and the heirs of Perpetuo
Lazaro Mariano.

It appears from the petition that in Special Pro­ceedings No.
Q-573 “Intestate Estate of the Deceased Antonio Geronimo” of the
Court of First Instance of Rizal, several parties
appeared claiming to be the nearest kin of said decedent.  Among them were respondent Leonardo Geronimo
and the respondents Mariano.  The first
claimed to be a half-brother and the latter, relatives within the fifth degree
of said decedent.  Petitioner herein
likewise appeared and asked for leave to intervene as claimant-creditor of the
estate in view of alleged cash advances secured from, him to be utilized solely
for the purpose of prosecuting the case against the forger of the will of the
decedent, claiming further in this connection that the efforts exerted by him
and the persons who claimed to be the heirs of the decedent resulted in the
conviction of the forger, this saving the estate from going into the latter’s
hands.  As a result, the original testate
pro­ceedings before the Court of First Instance of Rizal
were converted into intestate proceedings.  On August
26, 1961 the probate court allowed petitioner to intervene in said
proceedings “it appearing that he has a legal interest in this case for
the protection of his rights”.

The petition also alleges that the Court of First Instance of Rizal issued orders on January 30, April 5, April 24 and
July 5, 1966 which in effect disposed of the entire properties of the estate,
without the required publication of notices to the creditors of the estate,
without making any previous declaration of heirs, without satisfying the
obligations of the estate before ordering the distribution of its assets, and
other alleged irre­gularities.  To top
all these, said Court later denied petitioner’s formal complaint for
intervention in its order of August
24, 1965, from which order petitioner appealed to the Court of
Appeals where the case was docketed as C.A.-G.R. No. 37061-R.

The petition alleges likewise that notwithstanding the appeal
mentioned above, the lower court issued on November 24, 1965 an order directing
execution of the basic orders complained of, as a result of Which peti­tioner
had to file special civil action in the same Court of Appeals (C.A.-G.R. No.
37306-R) to annul the orders of said Court in the aforesaid intestate
proceedings dated January 30, April 5, April 24 and July 5, 1965 together with
its subsequent orders for their implementa­tion.  The petition further alleges that on September 6, 1967 the Court of Appeals
decided C.A.-G.R. No. 37306 as follows:

“WHEREFORE, the questioned Orders of January 30, April 5,
April 24, 1965, July 5, 1965, August 25, 1965, September 29, 1965, and all
other subsequent orders issued for the implementation of the main orders
mentioned, are hereby set aside for being null and void; ordering the Marianos who, evidently appeared to be excluded heirs of
the deceased Antonio Geronimo and therefore cannot be par­ties interested in
the estate of the decedent, to deliver all the properties that were delivered
to them by virtue of the questioned orders and to account for the proceeds and
rentals thereof to the Philippine Trust Com­pany which is, hereby directed to
take possession of the same and to render an inventory thereof; declaring said
properties reverted to the estate of the decedent; and directing the respondent
court to satisfy first the claim of herein petitioner against the estate of the
decedent before any distribution of the estate of the decedent is made.”

However, on March 19,
1968 the Court of Appeals reversed its decision of September 6, 1967, which reversal was
subsequently affirmed by another resolution of June 25, 1968. 
These resolutions of the respondent Court of Appeals are the ones which
petitioner sought to have this Court review as stated at the outset.

The petition for review was given due course in our resolution of
August 13, 1968 and after service of the proper notices for the filing of
briefs, petitioner filed his on November 4, 1968 and respondents filed theirs
on February 22, 1969.

On March 7, 1969 petitioner, through counsel, and with conformity
of counsel for the Marianos, filed a plead­ing
entitled “MOTION TO APPROVE AMICABLE SETTLEMENT, ENJOIN THE PARTIES TO
COMPLY THEREWITH AND TO DISMISS”, to which was attached the amicable
settlement mentioned therein, -executed on March 6, 1969 by petitioner Felipe
de Guzman, on the one hand, and by Gliceria Lazaro Mariano, the heirs of Perpetuo
Lazaro Mariano, namely, Pedro, Leonila,
Car­melita, all surnamed Mariano, Feliciana Manalo vda. de Mariano, the heirs of Perpetuo
Mariano, Jr., the heirs of Maria Lazaro Mariano,
namely, Irma 14, Zenaida M. Erlinda
M. and Yolanda M., all surnamed Gulinao, respondents
in G.R. No. L-29343 and legitimate heirs of the late Antonio
Geronimo, as parties of the second part, and by Leonardo Geronimo, as party of
the third part.  The parties
already named appear to have been assisted by their respective counsel in the
execution of the amicable settlement which reads as follows:

“AMICABLE SETTLEMENT

KNOW ALL MEN BY THESE PRESENTS:

This AMICABLE SETTLEMENT entered into and
executed on this 6th day of March, 1969, at Makati, Rizal, Philippines,
by and between:

FELIPE DE GUZMAN, petitioner in G. R. No. L-29343, pending before
the Supreme Court, entitled ‘Felipe de Guzman v. Hon. Walfrido
de los Angeles,
et al.’ and intervenor in Sp. Proc. No. Q-573 of the
Court of First Instance of Rizal, Quezon
City Branch, entitled ‘In­testate Estate of Antonio Geronimo, Phi­lippine Trust
Co., Special Administrator,’ hereinafter referred to as the PARTY OF THE FIRST
PART,

– and
–

GLICERLA LAZARO MARIANO, the heirs of PERPETUO LAZARO MARIANO,
namely, PEDRO MARIANO, LEONILA MARIANO, CARMELITA MA­RIANO, FELICIANA MANALO
VDA. DE MARIANO, and PERPETUO MARIANO, JR.; and the heirs of
MARIA LAZARO MARIANO, namely, IRMA M. GULINAO, ZENAIDA M. GULINAO, ERLINDA M.
GULINAO and YOLANDA M. GULINAO, respondents in G. R. No. L-29343 and legitimate heirs of the late Antonio Geronimo whose
estate is being settled in Sp. Proc. No. Q-573, hereinafter called the
PARTIES OF THE SECOND PART,

– and
–

LEONARDO GERONIMO, respondent in G. R. No. L-29343
and one of the claim­ants in Sp. Proc. No. Q-573, hereinafter referred
to as PARTY OF THE THIRD PART,

W I T N E S S E T H : 
That–

1.  All the parties to this
amicable settle­ment hereby voluntarily and freely express their desire to
settle the cases G. R. No. L-29343 and Sp. Proc. No.
Q-573 above referred to peacefully and amicably to their mutual and common
advantage.

2.  In consonance with the
amicable settle­ment thus agreed among the parties hereto, the following terms
and conditions are hereby stated and declared to be the binding covenants and
agreements between and among them, to wit:

a) The PARTIES OF THE SECOND PART, as the legitimate heirs of the
late Antonio Geronimo, in consideration of the settlement of the above-said
cases, G. R. No. L-29343 and Sp. Proc. No. Q-573,
hereby confirm, ratify and give their consent to the ‘Contract to-Sell dated
June 6, 1955 executed by the PARTY OF THE THIRD PART in favor of the PARTY OF
THE FIRST PART; and, as if they themselves executed the said ‘Contract to
Sell’, they hereby cede, transfer and convey unto the PARTY OF THE FIRST PART,
his heirs, successors, and assigns, the following property subject matter of
the ‘Contract to Sell’, and its transfer certificate of title, together with
all their rights and in­terests in said property, free from all liens and
encumbrances of whatever nature:

‘A parcel of land situated at Rizal
Avenue, Sta. Cruz, Manila, with an area of 126 square meters, more or less, known
as Lot No. 5-d, Block 2260, of the subdi­vided property of the Government of
the Philippines (Hacienda de Lazaro) with the
improvements thereon, covered by TCT No. 29832 of the Registry of Deeds for the
City of Manila.’

The PARTY OF THE THIRD PART confirms and acknowledges that he
executed the ‘Contract to Sell above mentioned in favor of the PARTY OF THE
FIRST PART freely and volun­tarily for valuable consideration.

a) The PARTIES OF THE SECOND PART further covenant and agree to pay
the sum of THIRTY THOUSAND (P30,000.00) PESOS, Philippine currency, TEN
THOUSAND (P10,000.00) PESOS in cash upon the signing of this Ami­cable
Settlement and the balance of TWENTY THOUSAND (P20,000.00) PESOS in a postdated
Manila Banking Corporation check No. 02921M issued by Zenaida
M. Gulinao payable within thirty (30) days from
the signing hereof, and the PARTY OF THE FIRST PART acknowledges receipt of the
said amount of TEN THOUSAND (P10,000.00) PESOS and accepts the same and the
postdated manager’s check, together with the owner’s duplicate certificate of
title to that parcel of land as conveyed and ceded to him in par. 2(a)
hereinabove, in full and complete satisfaction and settlement of all the claims
of said PARTY OF THE FIRST PART in G. R. No. L-29343 and in
Sp. Proc. No. Q-573 as creditor of the estate, assignee of Leonardo
Geronimo, and for advances made and services rendered by the PARTY OF THE FIRST
PART in connection with the prosecu­tion and conviction of Godofredo
Jurado in Crim. Case No.
31725 of the Court of First Instance of Manila (CA-G.R. No. 20071-R) and the
annulment of the alleged last will and testament of the late Antonio Geronimo,
for all of which this amicable settlement serves as a quitclaim.

c) The PARTY OF THE FIRST PART hereby agrees to withdraw, upon
approval of this Ami­cable Settlement, the petition for review which he filed
with the Supreme Court bearing Case No. G. R. No. L-29343, as
well as all his claims in Sp. Proc. No. Q-57.3, and to sign at the same
time as this Amicable Settlement, the necessary pleadings for that purpose,
which he hereby authorizes the PARTIES OF THE SECOND PART to file with the
corresponding court.

d) It is understood that with this Amicable Settlement, the PARTY
OF THE FIRST PART waives and relinquishes any and all rights he may have under
the writ of prelimi­nary injunction issued by the Court of Appeals in CA-G.R.
No. 37306-R (now G.R. No. L-29343) dated April
1, 1966, and he agrees that Sp. Proc. No. Q-573 may now proceed
until its termination, and the PARTIES OF THE SECOND PART may now sell,
transfer, dispose of or otherwise deal with the properties of the late Antonio
Geronimo transferred to them by virtue of the aforementioned orders of January
30, April 5, April 24 and July 5, all of 1965.

e) The PARTY OF THE FIRST PART hereby further agrees to have all
the notices of lis pendens
on the properties of the PARTIES OF THE FIRST PART and/or the estate of the
late Antonio Geronimo that he filed in connection with G.R. No. L-29343 lifted,
and for this purpose he is willing to execute, at the same time as this
Amicable Settlement, the necessary papers or documents which he authorizes the
PARTIES OF THE SECOND PART to file with the corresponding ‘Register of Deeds.

f) This Amicable Settlement shall be in full force and effect upon
the signing there­of by the parties, and hereafter, the PARTY OF THE FIRST PART
shall in no case continue the prosecution of G. R. No. L-29343
or his claims in Sp. Proc. No. Q-573, or in any way prosecute or seek
the satisfaction of his claims in the said cases as creditor of the estate of
the late Antonio Geronimo, assignee of Leonardo Geronimo, and for advances made
and services rendered by him in connection with the pro­secution and conviction
of Godofredo Jurado in
Criminal Case No. 31725 of the Court of First Instance of Manila (CA-G.R. No.
20071-R) and the annulment of the alleged last will and testament of the late
Antonio Geronimo.

IN WITNESS WHEREOF, the parties hereto, assisted by their
respective counsel, hereunto affix their signatures on the date and at the
place first above mentioned.”

WHEREFORE, the above amicable settlement is hereby
approved; the parties thereto are hereby enjoined to comply therewith; the
present action is hereby dismissed, and the writ of preliminary injunction
issued by the Court of Appeals on April
1, 1966 in C.A.-G.R. No. 37306-R is hereby dissolved.

Without costs.

Concepcion, C.J., Reyes, JBL, Makalintal, Zaldivar, Sanchez, Ruiz
Castro, Fernando, Capistrano, and Barredo, JJ., concur.

Teehankee, J., took no part.