Flashcards Studio
Practice bar questions and get clear AI feedback on every answer.
Question
In the Regional Trial Court of Pasay City, Nova Bank files a complaint for a money judgment against Chen Wei, a nonresident debtor who resides in Taiwan. The loan is secured by a mortgage on Unit 22A, The Emerald Towers, Pasay City, titled in the name of Chen’s Philippine-registered corporation. Chen has not been personally served; service was by publication due to unknown address. The court attaches Unit 22A to secure the judgment and, after trial, a money judgment is entered and the court orders the sale of Unit 22A to satisfy the judgment. (a) Identify the correct classification of this action under the Rules of Court (In Rem, In Personam, or Quasi In Rem) and briefly state why. (b) How would your answer change if instead Nova Bank had filed only a money claim against Chen to be satisfied out of Unit 22A’s value and not for foreclosure of the mortgage? (c) What is the effect of the judgment on third parties with an interest in Unit 22A and on Chen if he did not appear?