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Republic of the Philippines SUPREME COURT Manila EN BANC G.R. No. L-6913 November 21, 1913 THE ROMAN CATHOLIC BISHOP OF JARO, plaintiff-appellee, vs. GREGORIO DE LA PEÑA, administrator of the estate of Father Agustin de la Peña, defendant-appellant. J. Lopez Vito, for appellant. Arroyo and Horrilleno, for appellee. MORELAND, J.: This is an appeal by the defendant from a judgment of the Court of First Instance of Iloilo, awarding to the plaintiff the sum of P6,641, with interest at the legal rate from the beginning of the action. It is established in this case that the plaintiff is the trustee of a charitable bequest made for the construction of a leper hospital and that father Agustin de la Peña was the duly authorized representative of the plaintiff to receive the legacy. The defendant is the administrator of the estate of Father De la Peña. In the year 1898 the books Father De la Peña, as trustee, showed that he had on hand as such trustee the sum of P6,641, collected by him for the charitable purposes aforesaid. In the same year he deposited in his personal account P19,000 in the Hongkong and Shanghai Bank at Iloilo. Shortly thereafter and during the war of the revolution,

Bishop of Jaro v. Dela Pena

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Bishop of Jaro v. Dela Pena

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Republic of the PhilippinesSUPREME COURTManilaEN BANCG.R. No. L-!"#No$e%be& '"( "!"#T)E ROMAN CAT)OL*C B*S)OP O+ ,ARO( plaintiff-appellee( $s.GREGOR*O -E LA PE.A( a/%inist&ato& of the estate of +athe& A0ustin /e la Pe1a( /efen/ant-appellant.,. Lope2 3ito( fo& appellant.A&&o4o an/ )o&&illeno( fo& appellee. MORELAN-( ,.5This is an appeal b4 the /efen/ant f&o% a 6u/0%ent of the Cou&t of +i&st *nstance of *loilo( a7a&/in0 to the plaintiff the su% of P(8"( 7ith inte&est at the le0al &ate f&o% the be0innin0 of the action.*t is establishe/ in this case that the plaintiff is the t&ustee of a cha&itable be9uest %a/e fo&the const&uction of a lepe& hospital an/ that fathe& A0ustin /e la Pe1a 7as the /ul4 autho&i2e/ &ep&esentati$e of the plaintiff to &ecei$e the le0ac4. The /efen/ant is the a/%inist&ato& of the estate of +athe& -e la Pe1a.*n the 4ea& ":!: the boo;s +athe& -e la Pe1a( as t&ustee( sho7e/ that he ha/ on han/ as such t&ustee the su% of P(8"( collecte/ b4 hi% fo& the cha&itable pu&poses afo&esai/. *n the sa%e 4ea& he /eposite/ in his pe&sonal account P"!(in0 it 7ith his pe&sonal fun/s -e la Pe1a /i/ not the&eb4 assu%e an obli0ation /iffe&ent f&o% that un/e& 7hich he 7oul/ ha$e lain if such /eposit ha/ not been %a/e( no& /i/ he the&eb4 %a;e hi%self liable to &epa4 the %one4 at all ha2a&/s. *f the ha/ been fo&cibl4 ta;en f&o% his poc;et o& f&o% his house b4 the %ilita&4 fo&ces of one of the co%batants /u&in0 a state of 7a&( it is clea& that un/e& thep&o$isions of the Ci$il Co/e he 7oul/ ha$e been e>e%pt f&o% &esponsibilit4. The fact that he place/ the t&ust fun/ in the ban; in his pe&sonal account /oes not a// to his &esponsibilit4. Such /eposit /i/ not %a;e hi% a /ebto& 7ho %ust &espon/ at all ha2a&/s.=e /o not ente& into a /iscussion fo& the pu&pose of /ete&%inin0 7hethe& he acte/ %o&e o& less ne0li0entl4 b4 /epositin0 the %one4 in the ban; than he 7oul/ if he ha/ left it in his ho%eD o& 7hethe& he 7as %o&e o& less ne0li0ent b4 /epositin0 the %one4 in his pe&sonal account than he 7oul/ ha$e been if he ha/ /eposite/ it in a sepa&ate account as t&ustee. =e &e0a&/ such /iscussion as substantiall4 f&uitless( inas%uch as the p&ecise 9uestion is not one of ne0li0ence. The&e 7as no la7 p&ohibitin0 hi% f&o% /epositin0 it as he /i/ an/ the&e 7as no la7 7hich chan0e/ his &esponsibilit4 be &eason of the /eposit. =hile it %a4 be t&ue that one 7ho is un/e& obli0ation to /o o& 0i$e a thin0 is in /ut4 boun/( 7hen he sees e$ents app&oachin0 the &esults of 7hich 7ill be /an0e&ous to his t&ust( to ta;e all &easonable %eans an/ %easu&es to escape o&( if una$oi/able( to te%pe& the effects of those e$ents( 7e /o not feel const&aine/ to hol/ that( in choosin0 bet7een t7o %eans e9uall4 le0al( he is culpabl4 ne0li0ent in selectin0 one 7he&eas he 7oul/ not ha$e been if he ha/ selecte/ the othe&.The cou&t( the&efo&e( fin/s an/ /ecla&es that the %one4 7hich is the sub6ect %atte& of this action 7as /eposite/ b4 +athe& -e la Pe1a in the )on0;on0 an/ Shan0hai Ban;in0 Co&po&ation of *loiloD that sai/ %one4 7as fo&cibl4 ta;en f&o% the ban; b4 the a&%e/ fo&ces of the Unite/ States /u&in0 the 7a& of the insu&&ectionD an/ that sai/ +athe& -e la Pe1a 7as not &esponsible fo& its loss.The 6u/0%ent is the&efo&e &e$e&se/( an/ it is /ec&ee/ that the plaintiff shall ta;e nothin0 b4 his co%plaint.A&ellano( C.,.( To&&es an/ Ca&son( ,,.( concu&. Sepa&ate OpinionsTRENT( ,.( /issentin05* /issent. Technicall4 spea;in0( 7hethe& +athe& -e la Pe1a 7as a t&ustee o& an a0ent of the plaintiff his boo;s sho7e/ that in ":!: he ha/ in his possession as t&ustee o& a0ent thesu% of P(8" belon0in0 to the plaintiff as the hea/ of the chu&ch. This %one4 7as then clothe/ 7ith all the i%%unities an/ p&otection 7ith 7hich the la7 see;s to in$est t&ust fun/s. But 7hen -e la Pe1a %i>e/ this t&ust fun/ 7ith his o7n an/ /eposite/ the 7hole in the ban; to his pe&sonal account o& c&e/it( he b4 this act sta%pe/ on the sai/ fun/ his o7n p&i$ate %a&;s an/ unclothe/ it of all the p&otection it ha/. *f this %one4 ha/ been /eposite/ in the na%e of -e la Pe1a as t&ustee o& a0ent of the plaintiff( * thin; that it %a4 be p&esu%e/ that the %ilita&4 autho&ities 7oul/ not ha$e confiscate/ it fo& the &eason that the4 7e&e loo;in0 fo& insu&0ent fun/s onl4. A0ain( the plaintiff ha/ no &eason to suppose that -e la Pe1a 7oul/ atte%pt to st&ip the fun/ of its i/entit4( no& ha/ he sai/ o& /one an4thin0 7hich ten/e/ to &elie$e -e la Pe1a f&o% the le0al &eponsibilit4 7hich pe&tains tothe ca&e an/ custo/4 of t&ust fun/s.The Sup&e%e Cou&t of the Unite/ States in the Unite/ State $s. Tho%as @:' U. S.( ##EA( at pa0e #8#( sai/5 BT&ustees a&e onl4 boun/ to e>e&cise the sa%e ca&e an/ solicitu/e 7ith &e0a&/ to the t&ust p&ope&t4 7hich the4 7oul/ e>e&cise 7ith &e0a&/ to thei& o7n. E9uit4 7ill not e>act %o&e of the%. The4 a&e not liable fo& a loss b4 theft 7ithout thei& fault. But this e>e%ption ceases 7hen the4 %i> the t&ust-%one4 7ith thei& o7n( 7he&eb4 it loses its i/entit4( an/ the4 beco%e %e&e /ebto&s.B*f this p&oposition is soun/ an/ is applicable to cases a&isin0 in this 6u&is/iction( an/ * ente&tain no /oubt on this point( the liabilit4 of the estate of -e la Pe1a cannot be /oubte/. But this cou&t in the %a6o&it4 opinion sa4s5 BThe fact that he @A0ustin /e la Pe1aA place/ the t&ust fun/ in the ban; in his pe&sonal account /oes not a// to his &esponsibilit4. Such /eposit /i/ not %a;e hi% a /ebto& 7ho %ust &espon/ at all ha2a&/s. . . . The&e 7as no la7 p&ohibitin0 hi% f&o% /epositin0 it as he /i/( an/ the&e 7asno la7 7hich chan0e/ his &esponsibilit4( b4 &eason of the /eposit.B* assu%e that the cou&t in usin0 the lan0ua0e 7hich appea&s in the latte& pa&t of the abo$e 9uotation %eant to sa4 that the&e 7as no statuto&4 la7 &e0ulatin0 the 9uestion. Fuestions of this cha&acte& a&e not usuall4 0o$e&ne/ b4 statuto&4 la7. The la7 is to be foun/ in the $e&4 natu&e of the t&ust itself( an/( as a 0ene&al &ule( the cou&ts sa4 7hat facts a&e necessa&4 to hol/ the t&ustee as a /ebto&.*f -e la Pe1a( afte& /epositin0 the t&ust fun/ in his pe&sonal account( ha/ use/ this %one4 fo& speculati$e pu&poses( such as the bu4in0 an/ sellin0 of su0a& o& othe& p&o/ucts of the count&4( the&eb4 beco%in0 a /ebto&( the&e 7oul/ ha$e been no /oubt as to the liabilit4 of his estate. =hethe& he use/ this %one4 fo& that pu&pose the &eco&/ is silent( but it 7ill be note/ that a consi/e&able len0th of ti%e inte&$ene/ f&o% the ti%e of the /eposit until the fun/s 7e&e confiscate/ b4 the %ilita&4 autho&ities. *n fact the &eco&/ sho7s that -e la Pe1a /eposite/ on ,une 'E( ":!:( PC('C!( on ,une ': of that 4ea& P#(':