G.R. No. 217356 - DOROTEO C. GAERLAN, (DECEASED) SUBSTITUTED BY HIS SON, RAYMOND G. GAERLAN, VS. PHILIPPINE NATIONAL BANK.DECISION - Supreme Court E-Library

Ruling

WHEREFORE, in light of the foregoing, judgment is hereby rendered in favor of the plaintiff and against the defendant. Accordingly: the contracts of loan between the Spouses Gaerlan and co-obligors and the defendant, as well as the promissory notes relative thereto is nullified or declared null and void; the real estate mortgage executed by the spouses Gaerlan in favor of defendant is likewise nullified; the extrajudicial foreclosure sale and the certificate of sale issued by the Clerk of Court and the Ex Officio Sheriff are declared null and void; the plaintiff, wife and co-obligors are relieved with their obligations to pay the principal, interests and penalties of the loans obtained from the defendant, since the subject contracts of loan and the promissory notes are declared null and void. SO ORDERED.