– From the Supreme Court of the Philippines
– September 10, 2025 –
The Supreme Court (SC) has clarified that disputes involving condominium contracts should be decided by the Human Settlements Adjudication Commission (HSAC)—formerly the Housing and Land Use Regulatory Board (HLURB)—and not the Regional Trial Court (RTC).
In a Decision written by Associate Justice Henri Jean Paul B. Inting, the SC’s Third Division nullified the RTC’s ruling that held Vivien M. Cadungog (Cadungog) and Sung Ha Jung (Sung) civilly liable to each other over a contract to sell involving a condominium unit.
Under the contract, Cadungog, a developer of a condominium building in Cebu City, agreed to deliver a unit to Sung once he completed payment of PHP 3.5 million. Sung paid a PHP 175,000 downpayment, and later PHP 3 million, leaving a balance of PHP 258,950. Because of the unpaid amount, Cadungog refused to deliver the unit.
Sung then filed a criminal complaint against Cadungog, citing a violation of Presidential Decree No. (PD) 957 or the Subdivision and Condominium Buyers’ Protective Decree.
The RTC acquitted Cadungog of the criminal charge, but still ordered her to either: deliver the unit upon full payment of the purchase price, or return the amount Sung had already paid.
Cadungog challenged this ruling, arguing that the RTC had no jurisdiction over the civil aspect of her case, which should have been handled by the HLURB.
However, the Court of Appeals dismissed her petition, ruling that under the 2000 Rules on Criminal Procedure, civil liability is automatically included in a criminal case unless specifically waived.
The SC ruled in favor of Cadungog. It explained that while civil liability can be decided in a criminal case, this does not apply when the liability arises from a contract—as in this case.
The SC emphasized that the civil dispute between Cadungog and Sung stemmed from their contract to sell.
Further, under PD 957, as amended, the HLURB (now HSAC) has exclusive jurisdiction over cases involving contractual and legal obligations between buyers and developers of real estate projects.
At the time Sung filed the complaint, it was the HLURB that had authority over such cases.
The SC clarified that while the RTC had jurisdiction over the criminal aspect of the case, it did not have the authority to rule on the civil liability arising from the contract. Thus, the RTC’s decision on the civil matter is null and void.
Link to the original article: https://sc.judiciary.gov.ph/sc-hsac-not-rtc-has-jurisdiction-over-condominium-contract-disputes
September 18, 2025
SIUDAD2600 JOINS IN THE ADVOCACY OF STOPPING ILLEGAL REAL ESTATE PRACTITIONERS/DEVELOPERS
Join us on the discussion with AKSYONkolorum Movement together with Rebap Baguio-Benguet.
- NO to Unlicensed Real Estate Practitioners/Agents
- NO to Unlicensed Developers
- NO to Criminal Acts under PD 957 (Sec 39) and RA 9646.
Link here: https://www.facebook.com/share/v/1B6jtRciUq/
𝗖𝗜𝗧𝗬 𝗪𝗔𝗥𝗡𝗦 𝗩𝗦. ‘𝗦𝗔𝗡𝗚𝗟𝗔 𝗧𝗜𝗧𝗨𝗟𝗢’ 𝗠𝗢𝗗𝗨𝗦
From Baguio City Public Information Office official Facebook page.
The City Assessor’s Office has warned the public against a “sangla titulo” or lot title pawning modus operandi that uses fake or forged real property documents.
City Assessor Normita Ramon said her office has been receiving reports from individuals victimized by people who used forged real estate property titles and tax declarations as collaterals to con persons into providing loans.
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