BAR QS: DEPOSIT

Due to the continuous heavy rainfall, the major streets in Manila became flooded. This compelled Cris to X and Y staged a daring bank robbery in Manila at 10:30 A.M. in the morning of a regular business day,
check-in at Square One Hotel. As soon as Crisgot off from his Toyota Altis, the Hotel’s parking attendant and escaped with their loot of two (2) bags, each bag containing P50.000.00.
got the key of his car and gave him a valet parking customer’s claim stub. The attendant parked his car
at the basement of the hotel. Early in the morning, Cris was informed by the hotel manager that his car During their flight to elude the police. X and Y entered the nearby locked house of A, then working in his
was carnapped. (2014 BAR) Quezon City office. From A's house. X and Y stole a box containing cash totalling P50.000.00 which box A
had been keeping in deposit for his friend B.
a. What contract, if any, was perfected between Cris and the Hotel when Cris surrendered the key of his car
to the Hotel’s parking attendant? In their hurry, X and Y left in A's bedroom one (1) of the bags which they had taken from the bank.

Answer: With X and Y now at large and nowhere to be found, the bag containing P50.000.00 is now claimed by B,
The contract between Cris and Square One Hotel is one of necessary deposit. Deposit of effects made by travelers by the Mayor of Manila, and by the bank.
or guests in hotels or inns is considered a necessary deposit (Art. 1998). This includes not only the personal
effects brought inside the hotel premises but also vehicles or animals and articles which have been introduced B claims that the depository, A, by force majeure had obtained the bag of money in place of the box of
or placed in the annexes of the hotel. money deposited by B.

b. What is the liability, if any, of the Hotel for the loss of Cris’ car? The Mayor of Manila, on the other hand, claims that the bag of money should be deposited with the Office
of the Mayor as required of the finder by the provisions of the Civil Code.
Answer:
In the case of Durban Apartments v. Pioneer Insurance (G.R. No. 179419 January 12, 2011), the Supreme Court A. The bank resists the claims of B and the Mayor of Manila.
held the hotel liable for the loss of the vehicle of the guest after its valet parking attendant parked the vehicle in o B would have no right to claim the money. Article 1990 of the Civil Code is not applicable. The law
front of a bank near the hotel premises. The court ruled that the bank’s parking area became an annex of the refers to another thing received in substitution of the object deposited and is predicated upon
hotel when the management of the bank allowed the hotel to park vehicles there on the night in question. The something exchanged.
contract of deposit was perfected when the guest surrendered the keys to his vehicle to the parking attendant
and the hotel is under obligation of safely keeping and returning it. Ultimately, Square One Hotel is liable for the B. To whom should A deliver the bag of money? Decide with reasons.
loss of the vehicle. o The Mayor of Manila cannot invoke. Article 719 of the Civil Code which requires the finder to deposit
the thing with the Mayor only when the previous possessor is unknown. In this case, a must return the
bag of money to the bank as the previous possessor and known owner (Arts. 719 and 1990 Civil Code).

Who enjoys the Right of Retention?

(A) Depositary until full payment of what may be due him in deposit. Ana rented a safety deposit box at the Alto Bank, paid the rental fee and was given the key. Ana put her
(B) Lessee if he advances the expenses for the repair of the leased premises. jewelry and gold coins in the box. Days after, three armed men gained entry into the Alto Bank, opening
(C) Bailee if bailor owes him something. its vault and several safety deposit boxes, including Ana’s and emptied them of their contents. Could Ana
(D) Builder in bad faith for the recovery of necessary and useful expenses. hold the Alto Bank liable for the loss of the contents of her depositbox? Explain.

SUGGESTED ANSWER:
No, because under Article 1990 of the Civil Code, if the depository by force majeure loses the thing and receives
money or another thing in its place, he shall deliver the sum or other thing to be depositor. There being no
showing that there was anything received in place of the things deposited the Alto Bank is not liable for the
contents of the safety box.

ALTERNATIVE ANSWER:
The Alto Bank is not liable because the contract is not a deposit but a rental of the safety deposit box. Hence, the
Alto Bank is not liable for the loss of the contents of the box.
COMPENSATION; BANK LOAN (1997) Deposit; Exchange (1992)
In order to secure a bank loan, XYZ Corporation surrendered its deposit certificate, with a X and Y staged a daring bank robbery in Manila at 10:30 AM in the morning of a regular business day,
maturity date of and escaped with their loot of two (2) bags, each bag containing P50,000,00.
01 September 1997 to the bank. The corporation defaulted on the due repayment of the loan, prom
pting the bank to encash the deposit certificate. XYZ Corporation questioned During their flight to elude the police, X and Y entered the nearby locked house of A, then working in his
the above action taken by the bank as being a case of pactum commissorium. The bank disagrees. Quezon City office. From A’s house, X and Y stole a box containing cash
totaling P50,000.00 which box A had been keeping in deposit for his friend B.
What is your opinion?
In their hurry, X and Y left in A’s bedroom one (1) of the bags which they had taken from the bank.
SUGGESTED ANSWER:
We submit that there is no pactum commissorium here. Deposits of money in banks and similar institutions are
With X and Y now at large and nowhere to be found, the bag containing P50.000.00 is now claimed by B,
governed by the provisions on simple loans (Art. 1980. Civil Code). The relationship between the depositor and
by the Mayor of Manila, and by the bank.
a bank is one of creditor and debtor. Basically this is a matter of compensation as all the elements of
compensation are present in this case (BPI vs. CA, 232 SCRA 302).
B claims that the depository. A, by force majeure had obtained the bag of money in place of the box of
money deposited by B.
ADDITIONAL ANSWER:
Where the security for the debt is also money deposited in a bank, it is not illegal for the creditor to encash the
The Mayor of Manila, on the other hand, claims that the bag of money should be deposited with the Office
time deposit certificates to pay the debtor’s overdue obligation. (Chu vs. CA, et al., G.R.
of the Mayor as required of the finder by the provisions of the Civil Code.
No. 78519, September 26,1989).
The bank resists the claims of B and the Mayor of Manila.

To whom should a deliver the bag of money? Decide with reasons.

SUGGESTED ANSWER:
B would have no right to claim the money. Article 1990 of the Civil Code is not applicable. The law refers to
another thing received in substitution of the object deposited and is predicated upon something exchanged.

The Mayor of Manila cannot invoke. Article 719 of the Civil Code which requires the finder to deposit the thing
with the Mayor only when the previous possessor is unknown.

In this case, a must return the bag of money to the bank as the previous possessor and known owner (Arts. 719
and 1990. Civil Code.)