Marrero v. Olmeda

69 P.R. 202
CourtSupreme Court of Puerto Rico
DecidedJuly 21, 1948
DocketNo. 9587
StatusPublished

This text of 69 P.R. 202 (Marrero v. Olmeda) is published on Counsel Stack Legal Research, covering Supreme Court of Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Marrero v. Olmeda, 69 P.R. 202 (prsupreme 1948).

Opinion

Mr. Chief Justice Travieso

delivered the opinion of the Court.

On March 23, 1944, the defendants executed in favor of the plaintiff spouses a promissory note for $2,400, to mature -on April 30, 1946. The instrument in its pertinent part reads as follows:

[204]*204“We, María Belén Olmeda and Concepción P. widow of Al-faro, jointly and severally promise to pay to Attorney Diego 0. Marrero and his wife ... or to their order, on April 30, 1946, the sum of $2,400, for value received as a loan, and we also jointly and severally bind ourselves to pay interest at 9 per cent per annum in case of default and the costs and disbursements which may arise from proceedings to recover the said debt, including the fees of the attorney employed by the creditors or indorsers in case of judicial claim.
“. . . The payment of this obligation shah be effected through monthly instalments of One Hundred ($100) dollars each which Mrs. María Belén Olmeda binds herself to pay on the last day of each month, the first payment to be made on April 30, 1944, for which reason the debt shall be totally paid on April 30, 1946; it being understood'that the failure to pay three monthly instalments shall imply the maturity of this obligation at the option of the holder thereof, and judicial proceedings can be instituted for its collection. ... We waive the right of notice, presentment, and protest.”

In the original complaint it was alleged that the defendants paid the monthly instalments due on the 1st day of each of the months of May, June, July, and August, but they failed to pay and were owing the instalments due on the 1st day of each of the months of September, October, November,, and December, 1944, and on January 1, 1945; that the failure to pay three monthly instalments entitled the holder of the promissory note to declare the whole indebtedness due; that notwithstanding the demand for payment made upon them, the defendant failed to make such payment. Judgment was prayed for the sum of $2,000 “with interest thereon at the rate fixed in the obligation until full payment of the debt, costs, disbursements, and attorney’s fees.”

On April 24, 1945, the defendant Concepción Plá widow of Alfaro appeared specially to challenge the validity of the summons and alleged (a) that said summons had not been issued in accordance with Form I of the Appendix to the Hules of Civil Procedure; (6) that said summons failed to ■comply with the provisions of subdivision (a) of Rule 4 of [205]*205the above-cited rules; and (c) that the service was not made pursuant to paragraph 8, subdivision {d) of said Rule 4. The motion to quash the summons was denied, and the defendant widow of Alfaro answered the complaint, denied the essential averments thereof, and alleged as special defenses (1) the insufficiency of the facts alleged to constitute a cause of action against said defendant; (2) that the contract of loan between the plaintiff and the defendant widow of Alfaro is void for lack of consideration; (3) that the interest charged on the loan is usurious, as it exceeds the rate authorized by law, and that, therefore, the loan is void; (4) that on the face of the complaint it appears that the plaintiffs had granted extensions to the principal debtor, María Belén Olmeda, without the knowledge or consent of codefendant Alfaro, a fact which extinguishes the responsibility of the latter as surety or guarantor; and (5) that the obligation was originally secured by an insurance policy of $5,000 on the life of the principal debtor, by means of a preferred right in favor of the plaintiffs up to the amount of' the loan; that later said benefit was extended to cover the whole amount of the policy, in payment of the debt, and the plaintiffs, according to defendant’s belief, as beneficiaries were paying premiums on the policy; and that, since the principal debtor has no other property, the assignment of the total amount of the policy to the plaintiffs extinguishes the obligation contracted by the principal debtor, and releases-the defendant Alfaro from all liability as surety.

On September 18, 1945, the plaintiffs filed an amended complaint in which they waived the $400 originally claimed as interest and reduced the amount of the claim to $1,600-as principal plus costs, disbursements, and the sum which the court might deem reasonable as attorney’s fees. In a second amended complaint the plaintiffs claimed the payment of interest at 9 per cent per annum from the date of the obligation until full payment thereof.

On October 24, 1946, the lower court rendered judgment [206]*206adjudging the defendant to pay jointly and severally to the plaintiffs the sum of $1,600 as principal, plus default interest at 9 per cent thereon from September 18, 1945, the date of the written waiver of usurious interest, until fully paid, plus costs and disbursements, without including attorney’s fees, “as there was no obstinacy on the part of the defendant, who had resisted a claim on a contract which involved usurious interest.” The judgment was subsequently amended, and the plaintiffs were granted attorney’s fees in the sum of $150.

Feeling aggrieved by that judgment, the defendant Con-cepción P. widow of Alfaro took the present appeal charging the lower court with the commission of ten .errors. We will consider them in the same order in which they have been assigned.

That the lower court erred in dismissing the motion to quash the summons served on the defendants-appellants.

We have searched in vain the judgment roll for a copy of the summons and the return. It is incumbent on the appellant to place this Court in a position to consider and decide whether in the issuance of the summons and in the service thereof the provisions of the Rules of Civil Procedure were observed. In the absence of those documents the presumption that the decision of the lower court is correct should prevail.

The lower court did not err in holding that the complaint stated facts sufficient to constitute a cause of action.

Nor did it err in dismissing the motion for a declaratory decree filed by the defendant-appellant more than one month after the filing of his notice of appeal. In said motion the trial court was requested to construe the “Statement of the Case and Opinion,” rendered by her as a basis for its judgment, and to decide that the complaint did not state a cause of action. The court acted correctly in holding that the mo[207]*207tion was in effect a motion for reconsideration of the judgment and, as such, did not lie “since the codefendant has appealed-to the Supreme Court and we have, therefore, lost our jurisdiction.”

In these two assignments it is urged that the lower-court erred (a) in holding that the defendant-appellant bound herself as solidary debtor and not as surety, and (6) in dismissing the special defense of nullity of the contract of loan for lack of consideration.

The promissory note, as we have seen, begins by stating: “We, María Belén Olmeda and Concepción P. widow of Al-faro, jointly and severally promise to pay to Attorney Diego 0. Marrero and his wife.” Further on it says: “The payment of this obligation shall be effected through monthly instalments of One Hundred ($100) dollars each which Mrs.

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69 P.R. 202, Counsel Stack Legal Research, https://law.counselstack.com/opinion/marrero-v-olmeda-prsupreme-1948.