Legaspi Oil v CA, G.R. No. 96505, July 1, 1993 CASE DIGEST

Facts:

    The case involves the sale of copra by Oseraos to the petitioner. A signed contract on behalf of Oseraos was entered into by both parties whereby Oseraos shall deliver to the petitioner the said copras. Oseraos failed to deliver the whole volume of copra he was obliged to deliver. The petitioner demanded the delivery of said copras but Oseraos refused because the prices of copra had gone up from the time they had entered into the contract.

Issue:

    WoN Oseraos' failure to deliver the copra is the fraud referred to by Article 1170?

Ruling:

(Article 1170; 1171; 1338; 1344)

    Yes, Oseraos' failure to deliver the copra is the fraud referred to by Article 1170.

    The fraud referred to in Article 1170 is the deliberate and intentional evasion of the normal fulfillment of the obligation. The conduct of Oseraos clearly manifests his deliberate intent to evade his contractual obligation for the price of copra had gone up.