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Republic of the Philippines 

REGIONAL TRIAL COURT 


National Capital Judicial Region 
Branch 58 
Makati 
 
 
JUANIE DELA CRUZ​, 
Plaintiff, 
 
--- versus ---   Civil Case No. 765543 
For: Damages for Breach 
of Contract 
SUSPICIOUS CONSTRUCTION, INC​., 
Defendant. 
x---------------------------------x 
 
 
PRE-TRIAL BRIEF 
FOR DEFENDANT 
 
 
COMES  NOW,  defendant  SUSPICIOUS  CONSTRUCTION,  INC. 
through counsel before this Honorable Court, most respectfully states: 
 
STATEMENT OF FACTS 
 
1. Defendant  is  a  duly  incorporated  corporation  engaged  in  the 
business  of  building  and  construction  including  services  such  as 
pre-construction,  program  management,  design  development, 
construction,  interior  design  management, inspection, and quality 
control services​.   
2. Plaintiff  approached  Defendant and represented that the former is 
ready  to enter into a construction contract with the latter in order 
to  construct  a  3-storey  house  located  in  40  Solar  St.,  Bel-Air, 
Makati City .   
3. On 10 January 2018, plaintiff and defendant freely and voluntarily 
entered  into  a  “Construction  Contract”  which  also  stipulates  the 
completion date for the project. 
4. Defendant allegedly failed to complete said project despite multiple 
demands from the plaintiff.  
5. On 9 February 2019, Plaintiff instituted the present complaint with 
this Honorable Court. 
 
STATEMENT OF PLAINTIFF’S CLAIMS 
 
1. Plaintiff  avers  that  due  to  the failure of the defendant to complete 
the  project,  she  was  constrained  to  hire  another  construction 
company  to  assume  the  task  of  finishing  the  project  and 
consequently  incurred  additional  expenses  amounting  to  Ten 
Million Pesos (Php 10,000,000.00).  
2. Unable to move into the new house, Plaintiff also had to pay rental 
fees for a total of Three hundred thousand Pesos (Php 300,000.00) 
from June 9, 2019 until January 9, 2020. By reason of the alleged 
breach  of  contract  by  the  defendant,  the  plaintiff,  therefore  seeks 
to rescind said contract. 
3. Plaintiff  prays  for  the  award  of  actual,  moral,  liquidated  and 
exemplary  damages  in  the  total  amount  of  PhP  12,450,000.00 
exclusive of attorney’s fees. 
 
STATEMENT OF DEFENDANT’S DEFENSES 
 
1. Defendant  SUSPICIOUS  CONSTRUCTION,  INC.,  asserts  that  it 
neither  refused  to  respond  nor  wantonly  abandon  the  unfinished 
project.  


 
2. That  during  the  construction  of  the  project,  the  price  of  cement 
and  glass  had  increased  and  there  was  an  agreement  executed 
between  the  Plaintiff  and  the  defendant,  in  which  the  plaintiff 
agreed  to  pay  an  additional  Five  Million  Pesos  (P5,000,000.00)  in 
order to proceed with the construction of the project.  
3. Despite  demand,  plaintiff  failed  and  refused  to  comply  with  the 
lawful demand of the defendant. 
 
FACTS AND OTHER MATTERS  
ADMITTED BY THE PARTIES 
 
Defendant admits only those facts stated in its Answer. Subject to 
a  concrete  proposal  for  stipulation  of  additional  facts  from  the  plaintiff 
during  pre-trial  or  even  thereafter,  defendant  admits  no  other  facts 
stated in the Complaint. 
 
MATTERS SUBMITTED 
FOR ADMISSION 
 
1) Plaintiff engaged the professional services of defendant. 
2) On  January  10,  2018,  a  Construction  Contract  was  executed  by 
plaintiff  and  defendant  for  the  construction  of  a  3-storey  house, 
freely and voluntarily. 
3) Defendant  received  a  notice  from  its  suppliers  that  the  prices  for 
cement and glass have increased by thirty percent (30%). 
4) On January 3, 2019, Defendant gave written notice to the Plaintiff 
informing  him  of  the  unexpected  increase  of  price  and 
re-budgeting. 


 
5) On  January  5,  2019,  Defendant  and  Plaintiff  re-negotiated  the 
contract  and  a  written  agreement  was  executed  between  them  in 
which the Plaintiff agreed to pay an additional Five Million Pesos (P 
5,000,000)  on  or  before  January  12,  2019  to  cover  the additional 
costs as agreed upon. 
6) On January 12, 2019, Plaintiff failed to pay the stipulated amount 
in the written agreement to resume the construction; 
7) Plaintiff  received  the  Demand  Letter  dated  14  January  2019  sent 
by  defendant  demanding  the  payment  of  the  sum  of  Five  Million 
Pesos (P5,000,000.00) for the resumption of the construction; 
8) Plaintiff  failed  and  refused  to  pay  defendant  the  amount  of  Five 
Million Pesos (P5,000,000.00).  
 
ISSUES TO BE RESOLVED 
1. Whether  or  not  defendant  breached  the  construction  contract 
executed by the defendant and plaintiff; 
2. Whether  or  not  plaintiff  is  entitled  to  the  payment  of  liquidated 
damages amounting to Two Million Pesos (Php 2,000,000.00); 
3. Whether or not plaintiff is entitled to moral damages due to mental 
anguish, fright, serious anxiety suffered; 
4. Whether  or  not  plaintiff  is  entitled  to  the  payment  of  actual 
damages  including  the  payment  of  the  rentals  incurred  by  the 
plaintiff  due  to  the  delay  of  the  performance  of  the  obligation  to 
build the house; 
5. Whether or not plaintiff is entitled to exemplary damages based on 
the  defendant’s  fraudulent  and  reckless  act  and  gross  negligence 
in operating its business; 


 
6. Whether  or  not  defendant  is  entitled  to  liquidated  damages, 
exemplary  damages,  attorney’s  fees,  litigation  fees  and  costs  of 
suit. 
 
WITNESSES 
Defendant intends to present the following witnesses: 
1) RONIBAR  ESPIRITU,  the  Defendant’s  Construction 
Manager, who will  testify on the true circumstances leading 
to the filing of the suit against the Defendant. 
2) JEDILYN  SERVANDO,  the  Defendant’s  Estimator,  with 
personal  knowledge  as  to  the  true  circumstances  of  the 
increase of price and the re-negotiation of the contract. 
3) ROSALYN  VINIEGRA,  the  Defendant’s  Construction 
Materials  Supplier,  with  personal  knowledge as to the price 
increases from the time the contract was entered into and in 
the middle of the construction. 
4) An  employee  of  defendant  who  shall  corroborate  the 
testimony of other witnesses. 
 
DOCUMENTARY EVIDENCE 
1) The  Construction  contract  executed  between  plaintiff  Juanie  Dela 
Cruz  and  defendant SUSPICIOUS CONSTRUCTION, INC. dated 10 
January 2018 ​(EXHIBIT 1)​;  
2) Articles  of  Incorporation  of  SUSPICIOUS  CONSTRUCTION,  INC. 
(EXHIBIT 2)​; 
3) Written Agreement dated 5 January 2019 ​(EXHIBIT 3); 
4) Demand Letter dated 14 January 2019 ​(EXHIBIT 4); 


 
5) Construction Plan for the Project ​(EXHIBIT 5); 
6) Notice of Price increase from the suppliers ​(EXHIBIT 6); 
7) Billing Statement from the Supplier​ (EXHIBIT 7); 
8) Price  Quotation  from  Supplier  prior  to  and  in  the  middle  of  the 
construction ​(EXHIBIT 8)​; 
9) Others when the need for them arises 
 
APPLICABLE LAWS  
1. Art 19 & 1159 of the Civil Code of the Philippines on obligations 
and contracts and damages; 
2. Other applicable laws; 
 
RESORT TO DISCOVERY 
Considering the relatively simple issues presented, defendant does 
not intend to avail of discovery at this time. 
 
Subject,  however,  to  a  concrete  and  reasonable  request  for 
discovery  from  the  plaintiff,  defendant  reserves  the  right  to  resort  to 
discovery before trial. 
 
WILLINGNESS TO SETTLE CASE 
 
Subject  to  a  concrete  proposal  that  is  fair  and  reasonable  and  a 
reciprocal  manifestation  of  openness from plaintiff, defendant is open to 
the possibility of amicably settling this dispute. 
 
 
SUGGESTED TRIAL DATES 
 


 
Defendant  requests  for  trial  days  with  one  hour  for  each day and 
submits to such schedule of trial as may be conveniently accommodated 
by the calendar of the Honorable Court. 
 
RESPECTFULLY SUBMITTED, in Makati City, 31 October 2019. 
 
 
 
(sgd.)  
CHRISTIAN JAMES BALUCA 
Counsel for Defendant 
Baluca Barrameda Sayson Law Office 
Makati City 
Roll of Attorney No. 34899 
IBP No. 64246 
PTR No. 12342, issued on February 2, 2019 
MCLE No. 867562, issued on January 3, 2019 
 
 
 
 
Copy furnished: 
By Personal Service: 
 
ATTY. JAVIER PABELICO 
Counsel for Plaintiff 
Makati City