Facts:
Alona G. Roldan filed an action for foreclosure of real estate mortgage against respondents spouses Clarence I. Barrios and Anna Lee T. Barrios and respondent Romel D. Matorres, docketed as Civil Case No. 9811. The RTC issued the assailed Order dismissing the complaint. Appearing from the complaint that the assessed value of the property mortgaged is only P13,380.00 and the instant cases being a real action, the assessed value of the property determines the jurisdiction.
Issue:
whether or not foreclosure cases fall within the jurisdiction of the RTC
Held:
No, the RTC has no jurisdiction over the case.
The RTC dismissed the foreclosure cases finding that being a real action and the assessed value of the mortgaged property is only P13,380.00, it is the first level court which has jurisdiction over the case and not the RTC.
As foreclosure of mortgage is a real action, it is the assessed value of the property which determines the court’s jurisdiction. Considering that the assessed value of the mortgaged property is only P13,380.00, the RTC correctly found that the action falls within the jurisdiction of the first level court per Section 33(3) of BP 129 as amended. Hence, the RTC has no jurisdiction.
Real LexEcon 