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Alday vs. FGU Insurance

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Evangeline Alday vs. FGU Insurance, G.R. No. 138822, January 23, 2001
P: GONZAGA-REYES
Facts: FGU filed a complaint for sum of money against Alday amounting to P114k. Alday filed her Answer by
way of counterclaim and asserted that it is FGU who owes them P104k and for premium reserves of P500k.
She also prayed for attorney’s fees, litigation expenses, moral damages and exemplary damages for the allegedly
unfounded actions filed by FGU. FGU then moved to strike out Alday’s answer and to declare her in default
for filing the answer out of time. The motion was denied. FGU again moved to dismiss Alday’s counterclaim
by contending that the trial court never acquired jurisdiction over the same because of non-payment of docket
fees. Alday also in response, asked the RTC to declare her counterclaim as exempt from payment of docket
fees since it is compulsory and that FGU be declared in default for failing to answer such counterclaim.
RTC dismissed Alday’s counterclaim it being merely permissive and that failure to pay the docket fees prevented
the court from acquiring jurisdiction over the same. CA sustained the RTC.
Issue: WON counterclaim of Alday exempt from the payment of docket fees and therefore the court acquired
jurisdiction over the same
Conflicting position:
FGU: RTC never acquired jurisdiction over the Alday’s counterclaim because her non-payment of docket
fees.
Alday: FGU is estopped from questioning her non-payment of docket fees because it did not raise this
particular issue when it filed its Motion to Strike out Answer With Compulsory Counterclaim And To Declare
Defendant In Default with the RTC; rather, it was only nine months after receiving Alday's answer that FGU
assailed the RTC’s lack of jurisdiction over Alday’s counterclaims based on the latter's failure to pay docket
fees.
Held: NO. Alday is wrong. The counterclaim being permissive, in order for the trial court to acquire
jurisdiction over the same, petitioner is bound to pay the prescribed docket fees. It is not simply the filing of
the complaint or appropriate initiatory pleading, but the payment of the prescribed docket fee that vests a trial
court with jurisdiction over the subject-matter or nature of the action. Where the filing of the initiatory pleading
is not accompanied by payment of the docket fee, the court may allow payment of the fee within a reasonable
time but in no case beyond the applicable prescriptive or reglementary period. The same rule applies to
permissive counterclaims, third-party claims and similar pleadings, which shall not be considered filed until and
unless the filing fee prescribed therefor is paid. The court may allow payment of said fee within a reasonable
time but also in no case beyond its applicable prescriptive or reglementary period.
Meanwhile, the compulsory counterclaim of petitioner for damages based on the filing by respondent of an
allegedly unfounded and malicious suit need not be answered since it is inseparable from the claims of
respondent. If respondent were to answer the compulsory counterclaim of petitioner, it would merely result in
the former pleading the same facts raised in its complaint.
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