Sunday, 6 July 2025

Case 256 of 327: Can a plaintiff be allowed to prove the damages claimed from a breach of contract without prior evidence being submitted in a judgment on the pleadings?

        327 Cases Penned by Associate Justice Amy Lazaro-Javier: 2025 Bar Examination

Can a plaintiff be allowed to prove the damages claimed from a breach of contract without prior evidence being submitted in a judgment on the pleadings?

Gloria F. Quiroz vs. Ramon R. Nalus  G.R. No.: 244054  Date of Promulgation: April 26, 2023


Case Title: Gloria F. Quiroz vs. Ramon R. Nalus

G.R. No.: 244054

Date of Promulgation: April 26, 2023

 

Facts of the Case:

This case stems from a contractual dispute between petitioner Gloria F. Quiroz and respondent Ramon R. Nalus. Quiroz sought damages for Nalus’s failure to return possession of a property that had been leased out to a third party, Generika Drugstore, despite his obligation to do so under the contract.

Quiroz filed for a judgment on the pleadings, where the trial court awarded her damages. However, the Court of Appeals, in its decision dated September 20, 2018, reversed the trial court's judgment. The appellate court deleted the award of damages due to the absence of evidence proving the actual damages sustained by Quiroz. The appellate court emphasized that moral damages could not be awarded without factual basis and a causal connection to the wrongful act. Consequently, the award of exemplary damages was also unwarranted.

Dissatisfied, Quiroz filed a petition before the Supreme Court. However, the Supreme Court initially denied the petition, affirming the appellate court's decision that moral and exemplary damages must be justified with proper evidence.

Quiroz then filed a motion for reconsideration, citing previous cases where awards of damages in judgments on the pleadings were upheld. She argued that since Nalus had not objected to the judgment on the pleadings, he was deemed to have admitted the allegations in the complaint, including the damages sought. Alternatively, she prayed that the case be remanded to the trial court for the presentation of evidence on the damages she allegedly suffered.

Nalus, on the other hand, contended that damages must be specifically proven, even if a judgment on the pleadings had been granted. He asserted that Quiroz had failed to present evidence of her alleged damages.

Primary Issue:

Can Quiroz be allowed to prove the damages she claims to have suffered arising from Nalus's contractual breach, despite the absence of prior proof of damages during the judgment on the pleadings?

 

Supreme Court Decision:

The Supreme Court found Quiroz's motion for reconsideration meritorious. In its ruling, the Court recognized the necessity of proving actual damages, even when a judgment on the pleadings is granted. It cited the case of Swim Phils. Inc. v. CORS Retail Concept Inc., which ruled that damages must be proven and not merely assumed based on admissions in a judgment on the pleadings. The Court remanded the case to the Regional Trial Court to allow Quiroz to present evidence to establish the precise extent of the damages she had suffered due to Nalus's contractual breach.

The Supreme Court emphasized that, even though Nalus did not deny his contractual breach, the extent of the damages must be established through evidence. The earlier cases cited by Quiroz were deemed inapplicable, as they involved stipulations or admissions on the amount of damages, which was not the case here.

Dispositive Portion:

The Supreme Court partially granted Quiroz's motion for reconsideration, modified its earlier resolution, and ordered the remand of the case to the Regional Trial Court for the reception of evidence on the exact damages sustained by Quiroz due to Nalus’s breach of contract.

SO ORDERED.

 

In cases involving judgments on the pleadings, should a party be required to submit additional evidence to prove damages, or should the court consider the damages admitted once the judgment is uncontested?

 

Important Doctrines:

  1. Actual Damages Must Be Proven:
    • Even if the allegations regarding the breach of contract are admitted in a judgment on the pleadings, the extent of actual damages must still be proven by evidence. A court cannot rely on speculation or conjecture regarding the amount of damages.
  2. Judgment on the Pleadings and Unliquidated Damages:
    • Section 11 of the Rules of Court provides that material allegations in the complaint, except for the amount of unliquidated damages, are deemed admitted if not specifically denied. However, unliquidated damages must still be substantiated by evidence.

This case falls under Civil Law.

 

🎓 Welcome, future lawyers and bar takers! In this content, we will break down the important jurisprudence in the Supreme Court case of Gloria F. Quiroz vs. Ramon R. Nalus, G.R. No. 244054, promulgated on April 26, 2023. This case falls under Civil Law and deals with the necessity of proving damages in a breach of contract, even when the facts of the breach are admitted by the defendant.

This discussion is designed to help law students, bar examinees, and legal professionals recall and understand the doctrinal value of this case.

📌 Brief Summary:

Quiroz sued Nalus for failing to return her property. The trial court granted damages without evidence. The Court of Appeals reversed, and the Supreme Court eventually remanded the case to allow proof of damages, stating that actual damages must be proven even if the breach is admitted.

💡 If breach is admitted and the damage is obvious, should courts still require detailed proof of damages? Comment your insights below!

 

📚 10 IMPORTANT DOCTRINES FROM THE CASE (from G.R. No. 244054, April 26, 2023)

    1. Actual Damages Must Be Proven
      Even when liability is admitted, damages cannot be awarded without evidence. Courts must rely on actual proof, not speculation.
      📖 Source: Supreme Court Decision, referencing Raagas v. Traya
    2. Judgment on the Pleadings Does Not Automatically Admit Damages
      Only material averments other than unliquidated damages are deemed admitted. Proof is still necessary for the latter.
      📖 Source: Sec. 11, Rules of Civil Procedure
    3. Award of Moral Damages Requires Factual Basis
      A court cannot grant moral damages without a clear causal link to the wrongful act.
      📖 Source: p.1 of the attached case decision
    4. No Exemplary Damages Without Moral Damages
      Where moral damages are not awarded, exemplary damages are likewise unwarranted.
      📖 Source: Supreme Court’s March 11, 2020 Resolution
    5. Failure to Deny Damages Does Not Mean Admission
      Even if not specifically denied, claims for unliquidated damages are not automatically admitted.
      📖 Source: Raagas v. Traya, cited in the decision
    6. Swim Phils. Ruling Applied
      In actions for damages, judgment on the pleadings is improper without evidence on the extent of damage.
      📖 Source: Swim Phils. Inc. v. CORS Retail Concept Inc.
    7. Substantial Justice over Procedural Convenience
      The Court prioritized justice by remanding the case for evidence rather than dismissing outright.
      📖 Source: Final SC ruling in Quiroz v. Nalus
    8. Distinction from Santiago and Tropical Homes Cases
      In prior cases cited by Quiroz, damages were stipulated or agreed upon—unlike in the present case.
      📖 Source: p.3 of attached decision
    9. Court Cannot Guess the Value of Losses
      The Court emphasized that damages require exact valuation and cannot be based on estimates or assumptions.
      📖 Source: Raagas v. Traya Doctrine
    10. Remand is the Remedy When Damages Are Unproven
      Instead of denying the claim, the case was sent back to the RTC for proper reception of evidence.
      📖 Source: Supreme Court’s dispositive portion

 

Frequently Asked Questions (FAQs)

1. What is the core issue in Quiroz v. Nalus?

👉 Whether damages can be awarded without proof when a defendant admits breach in a judgment on the pleadings.

2. What happens if damages are unproven?

👉 The Supreme Court ruled they cannot be awarded. Proof is necessary, especially for unliquidated damages.

3. Are all admissions in a judgment on the pleadings binding?

👉 No. Admissions apply only to material averments, not to the value of unliquidated damages.

4. Can moral and exemplary damages be awarded automatically in breach cases?

👉 No. They require specific proof and justification.

5. What did the Supreme Court ultimately do?

👉 It remanded the case to the trial court to receive evidence on damages.

 

📌 Case Title: Gloria F. Quiroz vs. Ramon R. Nalus

📌 G.R. No.: 244054

📌 Date of Promulgation: April 26, 2023

📚 Classification: Civil Law

 

📢 DISCLAIMER: This is an educational video made using premium AI tools. While efforts were made to ensure accuracy, we do not guarantee the infallibility of the content. Always consult the full text of the case and your legal references.

 

🎓 Welcome to today's quizzer, law students and future bar topnotchers! This quiz is based on the Supreme Court case of Gloria F. Quiroz vs. Ramon R. Nalus, G.R. No. 244054, promulgated on April 26, 2023.

This case falls under Civil Law, specifically on the proof of damages in a breach of contract. It tackles whether a party may be awarded damages without evidence when the opposing party has admitted breach in a judgment on the pleadings.

Briefly, the trial court awarded damages without requiring evidence. The Court of Appeals reversed the award, citing lack of factual basis. The Supreme Court ruled that actual damages must be proven, and remanded the case to the trial court for reception of evidence.

📌 Answer key will be provided at the end of this video. Let’s test your comprehension!

 

🧠 10 HOTS Multiple Choice Questions (Easy Difficulty)

1. What was the main legal issue in the case of Quiroz vs. Nalus?

A. Ownership of land

B. Whether damages can be awarded without proof

C. Jurisdiction of the court

D. Validity of a lease contract

2. What type of damages did the trial court initially award to Gloria Quiroz without requiring proof?

A. Nominal and temperate damages

B. Liquidated damages

C. Moral and exemplary damages

D. Criminal penalties

3. Why did the Court of Appeals delete the trial court’s award of damages?

A. There was no breach proven

B. The complaint was dismissed

C. There was no jurisdiction

D. There was no proof of damages

4. What did the Supreme Court ultimately do with the case?

A. Affirmed the trial court in full

B. Ordered a retrial on liability

C. Remanded the case for reception of evidence

D. Reversed and dismissed the complaint

5. What important legal principle did the Supreme Court emphasize in its ruling?

A. Proof is not necessary in uncontested cases

B. Admissions include damages

C. Damages must be proven even if breach is admitted

D. Legal costs always include damages

6. In the Supreme Court’s view, what cannot be used to estimate damages?

A. Witness testimony

B. Stipulated facts

C. Speculation or guesswork

D. Judicial notice

7. Which of the following was not a reason the Supreme Court denied Quiroz’s direct award of damages?

A. The absence of a stipulated value

B. Nalus denied the breach

C. No admission of the extent of damages

D. Lack of factual evidence

8. What procedural remedy did the Court apply to balance justice and procedure?

A. Dismiss the case

B. Decide on affidavits alone

C. Remand for trial on damages

D. Rule in favor of the defendant automatically

9. Which prior case did the Supreme Court cite to explain the need for evidence on damages?

A. Santiago v. Basifan

B. Tropical Homes v. CA

C. Swim Phils. Inc. v. CORS Retail

D. Republic v. Sandiganbayan

10. What is required for the grant of moral damages according to the Court?

A. Mere allegation of emotional distress

B. No need for evidence if breach is admitted

C. Clear factual basis and causal connection

D. Filing of a counterclaim

 

 


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📢DISCLAIMER:
This content is for educational purposes only and does not guarantee the infallibility of the legal content presented. All content was created using premium AI tools and reviewed for accuracy to the best of our abilities. Always consult a qualified legal professional for legal advice.

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