Trust Receipt Agreement Jurisprudence

As of Justice Street in People vs. Yu Chai Ho, supra, the conversion by the agent in a receipt of the trust sale of the proceeds of the sale falls “literally and directly under” the provisions of section 315 (l) b).chanroblesvirtualoulibrary chanrobles virtual chanrobles. If the agent and agent have entered into an agreement with conditions inconsistent with the trust deposit contract, the obligation expires from receipt of the trust. Violation of the endorsement therefore does not entail criminal liability within the meaning of A.D. 115, but only civil liability. (Philippine Bank v. Ong, G.R. No. 133176, August 8, 2002) That on February 16, 1964, in the city of Manila, Philippines, the accused in question then deliberately, illegitimately and feloniously defrauded the Prudential Bank and Trust Company in the following way to find out: the accused in question who received in confidence from the Prudential Bank and Trust Company goods, i.e. 1,000 bags of yellow grind corn and 1,000 bags of Palay indicated in a confidence document by Letter of Credit No.

5643, executed by him in favour of that bank, the total value of P24,000.00, to sell him, under the express obligation of the aforementioned accused to account for that goods, or to deliver and hand over the proceeds of the sale to the Prudential Bank and Trust Company; Chanrobles Virtual Law Library Richter Kapunan, Jr., in maintaining the application for dismissal, was based on the Spanish version of paragraph (b) of Article 315, the term used being “recibido en deposito”. In his view, this sentence is not precisely translated into “confidence” and, as he explained, does not cover the processing or diversion of goods related to the object. The Spanish version is: Chanrobles Virtual Law Library One of the purposes of this law is to “declare the abuse and/or diversion of goods or proceeds from the sale of goods, documents or instruments that are punishable under an act of trust, punishable below article 315.chanroblesvirallibrary chanrobles virtual law library verify, because it is a rule well entrenched in our jurisprudence, that the processing by the importer of goods that fall under a receipt of trust is estafa by embezzlement under Article 315 (l) b) of the revised penal code , (persons vs. Yu Chai Ho 53 Phil. 874 and Samo vs people. 115 Phil. For civil cases, see National Bank vs. Viuda e Hijos by Angel Jose, 63 Phil. 814; Philippine National Bank vs. Philippine Catipon, 98 Phil.

286 and Philippine National Bank vs. Arrozal 103 Phil. 213).chanroblesvirtuallibrary chanrobles virtual law library In this context, it is relevant to say that Presidential Decree No. 115, trust Receipts Law, which governs fiduciary transactions, was adopted on January 29, 1973.chanroblesvirualawlibrary chanrobles Virtual Library therefore, if only because the trust receipt transaction is subject to two (2) reasonable interpretations, one that creates only civil liability for the violation of its condition, and the other, since it also engenders criminal liability, should be considered more favourable to the alleged perpetrator. (Duran vs CA, L-39758, May 7, 1976, 71 SCRA 68; People vs. Parayno L-24804, July 5, 1968, 24 SCRA 3; People vs. Abendan, L-1481, January 28, 1949, 82 Phil. 711; People against Bautista. L- 1502, May 24, 1948, 81 Phil. 78; People v.

Abana, L-39, February 1, 1946, 76 Phil. 1.) The virtual law Library chanrobles A view is to consider the transaction as the sole guarantee of a loan, and that the element of trust is only an intrinsic feature of the security aspect of the agreement in which the goods are placed in possession of the “Entrustee” to use the term used in P.D.