8/18/2019 94 scra 413

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94 scra 413Case Digest: Ortigas & Co. vs Feati Bank & Trust Co.Facts:

On March 4, 195, Ortigas so!" #ot 5 an" $, B!ock 31 o% the igh'a( i!!s )u*"ivision at

Man"a!u(ong to +ugusto a"i!!a ( +nge!es an" -ativi"a" +nge!es. The !atter trans%erre" theirrights in %avour o% //a Chave0, uon co/!etion o% a(/ent a "ee" 'as e2ecute" 'ithstiu!ations, one o% 'hich is that the use o% the !ots are to *e e2c!usive %or resi"entia! uroseson!(. This 'as annotate" in the Trans%er Certi%icate o% Tit!es -o. 1159 an" 11511. Feati thenacuire" #ot 5 "irect!( %ro/ //a Chave0 an" #ot $ %ro/ eu*!ic F!our Mi!!s. On Ma( 5,19$3, Feati starte" construction o% a *ui!"ing on *oth !ots to *e "evote" %or *anking uroses*ut cou!" a!so *e %or resi"entia! use. Ortigas sent a 'ritten "e/an" to sto construction *utFeati continue" conten"ing that the *ui!"ing 'as *eing constructe" accor"ing to the 0oningregu!ations as state" in Municia! eso!ution 6 "ec!aring the area a!ong the 7est art o% D)+to *e a co//ercia! an" in"ustria! 0one. Civi! case -o. 66$ 'as /a"e an" "eci"e" in %avour o%Feati.

8ssue:

7hether or not eso!ution nu/*er 6 "ec!aring #ot 5 an" $ to *e art o% an in"ustria! an"co//ercia! 0one is va!i" consi"ering the contract stiu!ation in the Trans%er Certi%icate o% Tit!es.

e!":

eso!ution -o. 6 revai!s over the contract stiu!ations. )ection 3 o% + $4 o% the #oca! +utono/( +ct e/o'ers a Municia! Counci! to a"ot 0oning an" su*"ivision or"inances orregu!ations %or the Municia!it(. )ection 1 or + $4 states that i/!ie" o'er o% the/unicia!it( shou!" *e !i*era!!( construe" in its %avour;, to give /ore o'er to the !oca!govern/ent in ro/oting econo/ic con"itions, socia! 'e!%are, an" /ateria! rogress in theco//unit(;. This is %oun" in the