This document discusses developing an effective case theory for a legal case. It provides guidance on ensuring the theory can be proven, is supported by evidence and applicable law, and is consistent with available legal remedies. A hypothetical case is presented where Party A borrowed money from Party B secured by land, but then defaulted. The document analyzes applying the legal definition of an equitable mortgage to recharacterize the transaction. The proposed case theory is that the real intention was an equitable mortgage, not a sale, and the requested legal remedies include rescinding the contract and restoring the parties.
This document discusses developing an effective case theory for a legal case. It provides guidance on ensuring the theory can be proven, is supported by evidence and applicable law, and is consistent with available legal remedies. A hypothetical case is presented where Party A borrowed money from Party B secured by land, but then defaulted. The document analyzes applying the legal definition of an equitable mortgage to recharacterize the transaction. The proposed case theory is that the real intention was an equitable mortgage, not a sale, and the requested legal remedies include rescinding the contract and restoring the parties.
This document discusses developing an effective case theory for a legal case. It provides guidance on ensuring the theory can be proven, is supported by evidence and applicable law, and is consistent with available legal remedies. A hypothetical case is presented where Party A borrowed money from Party B secured by land, but then defaulted. The document analyzes applying the legal definition of an equitable mortgage to recharacterize the transaction. The proposed case theory is that the real intention was an equitable mortgage, not a sale, and the requested legal remedies include rescinding the contract and restoring the parties.
be successfully proved in court. Facts are supported by evidence Founded on applicable law Consistent with the remedies and reliefs availed of under the Rules of Court 1
Case Theory, defined
Particular line of reasoning adopted by a party to a suit that aims to being together the facts of the case in a logical sequence and correlate them in a manner that produce in the mind a definite conclusion that may entitle him to the judgment prayed for based on certain principles of law; 2
Notes on Case Theory
It is the foundation of a case; Pleadings must be drawn in accordance with the theory; Introduction of evidence is in accordance with the theory; The theory remains consistent, constant through trial and appeal till the termination of the case; 3
Certain Rules on Case
Theory As a rule, the theory formulated in the pleadings binds the litigant and is not allowed to be changed till the termination of the case; Amendment of pleading as a matter of right before the service of a responsive pleading (or if no responsive pleading is permitted, before the action is placed in trial calendar); Thereafter, by leave of court; this may be refused if the theory is substantially altered;
Hypothetical Case, as Civil
Case Facts gathered from client, witnesses and other evidence A borrowed P50K from B; To secure the payment, A executed a sale of land in favor of B with the right to repurchase for a period of one year; Land has an area of 10 hectares covered by TCT in As name; B registered the instrument; A defaulted on payment and failed to redeem the land; B had had the property judicially consolidated in his name; Upon Bs demand, A refused to vacate the property and B is compelled to file an action for recovery of possession as well as ownership;
B seeks your services as legal counsel;
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Study of the Case
The document between A and B is a pacto de retro sale; Bs intention was not to sell the land but merely use it as security for the loan; The value of the land is currently P100,000 to P300,000 per hectare, or a total of P1 to 3 million; B remained in possession of the property and is in fact refusing to vacate the property; 6
Study of the Case,
Article 1602 of the Civil Code provides: The contract shall be presumed to be an equitable mortgage in any of the following cases: 1) When the price of the sale with the right to repurchase is unusually inadequate; 2) When the vendor remains in possession as lessee or otherwise; xxx 6) In any other case, where it may be fairly inferred that the real intention of the parties is that the transaction shall secure the payment of a debt or the performance of any other obligation. 7
Developing the Case Theory
The nature of the transaction and real intention of the parties is equitable mortgage, not a sale with the right to repurchase; Interpose affirmative defenses attuned to the theory of equitable mortgage in the responsive pleadings; Reliefs rescission of the contract; restore parties to their former status; order B to surrender the certificate of title to ROD for cancellation and issuance of a TCT in As name; damages; attorneys fees; costs of suit; 8
Developing the Case
Theory, Defendant A to b ordered to return to plaintiff the amount with legal interest until actual payment is made. Reference: Legal Counseling With Notes On: Practicum and Practice Court by Recaredo P. Barte, 2006 Edition, pages 75-77. [END OF SLIDES] 9