Arroyo vs. Jungsay
Arroyo vs. Jungsay
SUPREME COURT
Manila
EN BANC
G.R. No. L-10168
The surety has the right, under certain circumstances, to demand the discussion of the
property of the principal debtor. Where suit is brought against the surety alone, he may
interpose the plea, and compel the creditor to discuss the principal debtor. The effect of this
is to stay proceedings against the surety until judgment has been obtained against the
principal debtor, and execution against his property has proved insufficient. When the suit is
brought against the surety and the principal debtor the plea of discussion does not require or
authorize any suspension of the proceedings; but the judgment will be so modified as to
require the creditor to proceed by execution against the property of the principal, and to
exhaust it before resorting to the property of the surety. (Bernard vs. Custis, 4 Martin, 215;
Banks vs. Brander, 13 La., 276.)
In either case, the surety who desires to avail himself of this right must demand it in limine,
`on the institution of proceedings against him.' He must, moreover, point out to the creditor
property of the principal debtor, not incumbered, subject to seizure; and must furnish a
sufficient sum to have the discussion carried into effect. (R. C. C., 3045, 3046, 3047.) A plea
which does not meet these requirements must be disregarded. (Robechot vs. Folse, 11 La.,
136; Banks vs. Brander, 13 La., 276.)
The property pointed out by the sureties is not sufficient to pay the indebtedness; it is not salable; it
is so incumbered that third parties have, as we have indicated, full possession under claim of
ownership without leaving to the absconding guardian a fractional or reversionary interest without
determining first whether the claim of one or more of the occupants is well founded. In all these
respects the sureties have failed to meet the requirements of article 1832 of the Civil Code.
Where a guardian absconds or is beyond the jurisdiction of the court, the proper method, under
article 1834 of the Civil Code and section 577 of the Code of Civil Procedure, in order to ascertain
whether such guardian is liable and to what extent, in order to bind the sureties on his official bond,
is by a proceeding in the nature of a civil action wherein the sureties are made parties and given an
opportunity to be heard. All this was done in the instant case.
The judgment appealed from, being in accordance with the law, the same is hereby affirmed, with
costs against the appellants. So ordered.
Torres, Johnson, Moreland, and Araullo, JJ., concur.