KVP Cabahug; Amigo-Escobar & Partners Law Office

SUCCESSFUL REAL ESTATE FULL REFUND: When it comes to real estate and property concerns, experience, strategy, and results matter. These clients sought the assistance of the firm through Atty. KVP Cabahug

Through strategic legal representation, persistence, and a thorough understanding of real estate laws, the firm successfully assisted them in obtaining a FULL REFUND of their hard-earned money. While other affected buyers were reportedly offered only partial refunds payable over time, our clients were able to recover the ENTIRE amount.

These clients entrusted the firm, through Atty. KVP Cabahug, with a challenging real estate refund matter involving a substantial amount paid to a real estate developer. At a time when uncertainty and frustration had set in, they sought legal guidance to help protect their rights and recover their investment.

Today, that recovered investment has been transformed into a thriving business venture specializing in high-end Samsung products. Seeing our clients rebuild, grow, and create new opportunities from what was once a difficult experience is a rewarding reminder of the value of effective legal representation.

More than a legal victory, this is a story of trust, confidence, and lasting relationships. What began as a professional engagement has grown into a genuine friendship built on mutual respect and shared success.

Posted with the consent of the clients

COURT REPRESENTATION: KVP Law’s legal team appeared before the court in connection with an ongoing property dispute involving one of our clients. Effective courtroom advocacy is founded on meticulous preparation, strategic case assessment, and a thorough understanding of both the facts and applicable law.

Representing the client during the proceedings, Atty. Sanchez and Atty./Dr. Sitoy continue to work toward the protection and advancement of our client’s rights and legal interests. Through careful case management and dedicated representation, the firm remains committed to delivering professional, competent, and client-centered legal services.

Atty. Basay and Atty/Dr. Sitoy for the Legal and Medical Mission at Consolacion Cebu

BREAK TIME: Beyond work and professional collaborations, meaningful friendships, shared experiences, and good conversations remain invaluable. Always a pleasure reconnecting, sharing memories, exchanging ideas, and discussing anything under the sun. Friendship, trust, and meaningful conversations.

A wonderful time spent with Atty. KVP, Dr. Dania and Ar. Mark at the KVP Law Office, reminiscing about old memories, exchanging ideas, and enjoying the company of good friends. Moments like these remind us that success is best shared with people who have been part of the journey.

SC Ruling: Illegal Interest Rates Can Void Foreclosure

Many borrowers believe that once they fail to pay a loan, the bank automatically has the right to foreclose the property. However, the Supreme Court clarified that this is not always the case.

In United Coconut Planters Bank v. Ang (G.R. No. 222448, March 3, 2025), the Court ruled that when a loan agreement contains unconscionable, excessive, one-sided, or unilateral interest rates, the borrower cannot be considered in default for refusing to pay those illegal charges. Consequently, a foreclosure based on such alleged default may be declared void.

What does this mean in simple terms?

Imagine you borrowed ₱1,000,000 from a bank. Later, the bank increases the interest rate without your meaningful consent, or imposes rates so excessive that the debt becomes impossible to pay.

You refuse to pay the inflated amount because you believe the charges are unfair. The bank then declares you in default and forecloses your property.

According to the Supreme Court, if the interest rates imposed were indeed unreasonable, unconscionable, or imposed solely at the lender’s discretion, the bank cannot rely on that illegal interest as the basis for declaring you in default. If there is no valid default, the foreclosure itself may have no legal basis.

Important Reminder: This ruling DOES NOT mean borrowers can simply stop paying their loans. Legitimate loan obligations must still be honored. What the law prohibits are loan terms that are oppressive, unfair, or contrary to public policy.

Why is this important?

Before surrendering your property or accepting a foreclosure, carefully review:

✔️ The loan agreement
✔️ Interest rate provisions
✔️ Penalty clauses
✔️ Any unilateral increase imposed by the lender

Some foreclosures are challenged not because the borrower did not owe money, but because the amount demanded was based on illegal or unconscionable loan terms.

A lender cannot create a default based on an illegal interest rate and then use that manufactured default to foreclose a property. The law protects both the right to collect debts and the right of borrowers to be free from oppressive loan terms.

LAWYERS SCHEDULE: KVP LAW is pleased to announce the office consultation schedule of Atty. Sanchez, available every Wednesday from 1:30 PM to 4:00 PM.

Whether you require legal advice, document review, or assistance in understanding your rights and obligations, our office is committed to providing practical and professional legal guidance.

Appointments are encouraged to ensure proper accommodation and service.

⚖️ 𝐃𝐔𝐄 𝐏𝐑𝐎𝐂𝐄𝐒𝐒 𝐈𝐍 𝐒𝐂𝐇𝐎𝐎𝐋𝐒: 𝐖𝐇𝐀𝐓 𝐃𝐄𝐏𝐄𝐃 𝐎𝐑𝐃𝐄𝐑 𝐍𝐎. 𝟒𝟗, 𝐒. 𝟐𝟎𝟎𝟔 𝐏𝐑𝐎𝐓𝐄𝐂𝐓𝐒

𝐶𝑎𝑛 𝑎 𝑝𝑢𝑏𝑙𝑖𝑐 𝑠𝑐ℎ𝑜𝑜𝑙 𝑡𝑒𝑎𝑐ℎ𝑒𝑟 𝑜𝑟 𝑒𝑚𝑝𝑙𝑜𝑦𝑒𝑒 𝑏𝑒 𝑠𝑢𝑠𝑝𝑒𝑛𝑑𝑒𝑑, 𝑑𝑖𝑠𝑚𝑖𝑠𝑠𝑒𝑑, 𝑜𝑟 𝑑𝑖𝑠𝑐𝑖𝑝𝑙𝑖𝑛𝑒𝑑 𝑏𝑎𝑠𝑒𝑑 𝑠𝑜𝑙𝑒𝑙𝑦 𝑜𝑛 𝑟𝑢𝑚𝑜𝑟𝑠, 𝑠𝑜𝑐𝑖𝑎𝑙 𝑚𝑒𝑑𝑖𝑎 𝑝𝑜𝑠𝑡𝑠, 𝑜𝑟 𝑢𝑛𝑣𝑒𝑟𝑖𝑓𝑖𝑒𝑑 𝑎𝑐𝑐𝑢𝑠𝑎𝑡𝑖𝑜𝑛𝑠?

The answer is 𝗡𝗢.

To protect both the integrity of the public service and the rights of educators, the Department of Education adopted 𝗗𝗲𝗽𝗘𝗱 𝗢𝗿𝗱𝗲𝗿 𝗡𝗼. 𝟰𝟵, 𝘀. 𝟮𝟬𝟬𝟲, which lays down the rules for administrative disciplinary proceedings involving teaching and non-teaching personnel.

📌 𝘼 𝘾𝙤𝙢𝙥𝙡𝙖𝙞𝙣𝙩 𝙈𝙪𝙨𝙩 𝘽𝙚 𝙋𝙧𝙤𝙥𝙚𝙧𝙡𝙮 𝙁𝙞𝙡𝙚𝙙

Not every allegation automatically becomes an administrative case. Generally, a complaint must be:
✔️ In writing
✔️ Verified or under oath
✔️ Supported by relevant documents, evidence, or witness statements

This helps protect employees from baseless or malicious accusations.

📌 𝙏𝙝𝙚 𝙀𝙢𝙥𝙡𝙤𝙮𝙚𝙚 𝙈𝙪𝙨𝙩 𝘽𝙚 𝙂𝙞𝙫𝙚𝙣 𝘿𝙪𝙚 𝙋𝙧𝙤𝙘𝙚𝙨𝙨

Before any penalty may be imposed, the respondent has the right to:
✔️ Be informed of the charges
✔️ Submit an answer and explain his or her side
✔️ Present evidence and witnesses
✔️ Be heard during the proceedings

Due process is not a mere formality—it is a constitutional right.

📌 𝙋𝙚𝙣𝙖𝙡𝙩𝙞𝙚𝙨 𝙈𝙪𝙨𝙩 𝙈𝙖𝙩𝙘𝙝 𝙩𝙝𝙚 𝙊𝙛𝙛𝙚𝙣𝙨𝙚

DepEd rules classify offenses as Grave, Less Grave, or Light, with corresponding penalties ranging from reprimand to dismissal from the service. The objective is accountability—not arbitrary punishment.

📌 𝙊𝙣𝙡𝙮 𝘼𝙪𝙩𝙝𝙤𝙧𝙞𝙯𝙚𝙙 𝙊𝙛𝙛𝙞𝙘𝙞𝙖𝙡𝙨 𝙈𝙖𝙮 𝙄𝙢𝙥𝙤𝙨𝙚 𝘿𝙞𝙨𝙘𝙞𝙥𝙡𝙞𝙣𝙚

Administrative cases must be handled by the proper authorities designated under DepEd rules, ensuring that disciplinary power is exercised within the bounds of law.

🏫 𝙒𝙝𝙮 𝙏𝙝𝙞𝙨 𝙈𝙖𝙩𝙩𝙚𝙧𝙨

Schools are institutions of learning, but they are also government workplaces governed by law. DepEd Order No. 49, s. 2006 serves as an important safeguard that balances two equally important interests:
👉 Holding public servants accountable; and
👉 Protecting teachers and school personnel from unfair or arbitrary disciplinary action.

A fair investigation protects not only the employee involved but also the credibility of the educational system itself.

---

𝑊𝑒𝑟𝑒 𝑦𝑜𝑢 𝑎𝑤𝑎𝑟𝑒 𝑡ℎ𝑎𝑡 𝑎𝑛 𝑎𝑑𝑚𝑖𝑛𝑖𝑠𝑡𝑟𝑎𝑡𝑖𝑣𝑒 𝑐𝑜𝑚𝑝𝑙𝑎𝑖𝑛𝑡 𝑔𝑒𝑛𝑒𝑟𝑎𝑙𝑙𝑦 𝑐𝑎𝑛𝑛𝑜𝑡 𝑝𝑟𝑜𝑠𝑝𝑒𝑟 𝑏𝑎𝑠𝑒𝑑 𝑜𝑛 𝑚𝑒𝑟𝑒 𝑟𝑢𝑚𝑜𝑟𝑠 𝑜𝑟 𝑎𝑛𝑜𝑛𝑦𝑚𝑜𝑢𝑠 𝑎𝑐𝑐𝑢𝑠𝑎𝑡𝑖𝑜𝑛𝑠?



⚖️ 𝑫𝑰𝑺𝑪𝑳𝑨𝑰𝑴𝑬𝑹: 𝘛𝘩𝘪𝘴 𝘱𝘰𝘴𝘵 𝘪𝘴 𝘧𝘰𝘳 𝘪𝘯𝘧𝘰𝘳𝘮𝘢𝘵𝘪𝘰𝘯𝘢𝘭 𝘱𝘶𝘳𝘱𝘰𝘴𝘦𝘴 𝘰𝘯𝘭𝘺. 𝘍𝘰𝘳 𝘭𝘦𝘨𝘢𝘭 𝘢𝘴𝘴𝘪𝘴𝘵𝘢𝘯𝘤𝘦, 𝘱𝘭𝘦𝘢𝘴𝘦 𝘤𝘰𝘯𝘴𝘶𝘭𝘵 𝘥𝘪𝘳𝘦𝘤𝘵𝘭𝘺 𝘸𝘪𝘵𝘩 𝘢 𝘭𝘢𝘸𝘺𝘦𝘳.

❗️⚖️ NO LICENSE TO SELL but the Developer invokes MACEDA LAW : Can a Developer Hide Behind the Maceda Law if They Sold You an Illegal Property?❗️⚖️

You’ve been paying monthly for years for your dream subdivision lot. Then you discover the developer has NO DHSUD License to Sell. When you demand your hard-earned money back, they say:

“We’ll only give you 50% Maceda Law says so.”

Anna paid for 3 years for a subdivision lot. Later, she found out the developer never had a DHSUD License to Sell. When she asked for a refund, the developer offered only 50% citing Maceda Law. But Anna knew her rights the sale was illegal, so she demanded a full refund. The law was on her side.

Sounds unfair? That’s because it is. And here’s why.

The developer cannot use the Maceda Law to limit your refund because Maceda Law does not apply to illegal or unlicensed projects.

The Maceda Law (RA 6552) is designed to protect installment buyers of legally sold properties. It provides that after at least two years of installment payments, the buyer is entitled to a 50% refund of total payments made if the contract is canceled.

However, this protection applies only if the sale itself is valid meaning the developer must have secured a License to Sell from DHSUD.

If the project has no License to Sell, the sale is not legally valid, and the developer cannot cherry pick Maceda Law provisions to reduce liability.

Instead, the developer’s act of selling without a license is a clear violation of PD 957, making the entire transaction illegal and voidable.
Under this situation, you are entitled to a full refund and may also claim damages.

Learn on the Truth About Maceda Law

The Maceda Law (RA 6552) was created to protect buyers of legally sold real estate through installment.

Yes, it gives buyers the right to a 50% refund (increasing over time) if they cancel BUT this only applies if the sale is valid and the developer followed all the rules.

❗️If there’s no License to Sell from DHSUD, the project is illegal. Therefore, the developer cannot use the Maceda Law to limit your rights.

What the Law Really Says
Under PD 957 (Subdivision and Condominium Buyers’ Protective Decree), selling without a license is a serious violation.

The contract is VOIDABLE, meaning you can cancel it and demand a full refund. (It does not mean it is void but it is VOIDABLE meaning valid until cancelled.)

The developer can also face sanctions for selling illegally.

Maceda Law applies only to valid, legal sales.

Contracts involving projects sold without a License to Sell can be annulled, with buyers entitled to full restitution.

A developer who violates the law cannot use the Maceda Law to escape full liability.

If they sold you an unlicensed property, you can demand 100% of your money back.
The law is clear: No license, no protection for the developer.

Caveat: This scenario presupposes that the developer not only lacked a License to Sell (LTS) but also failed to deliver the project or committed other material breaches of its obligations under the Contract to Sell and PD 957.

If the only defect is the absence of a License to Sell, Supreme Court jurisprudence (e.g., Moldex Realty, Inc. v. Saberon) holds that such absence does not automatically void the contract between the parties. The contract remains valid, and the violation is addressed administratively against the developer.

However, when the lack of LTS is coupled with non delivery, revocation of license, or fraudulent pre-selling, buyers have strong grounds to rescind the contract and claim a full refund with interest under PD 957

On this Philippine Independence Day, we honor the courage, sacrifice, and patriotism of our heroes who secured our nation’s freedom.

OFFICE ADVISORY KVP LAW:

Please be informed that KVP Cabahug, Amigo-Escobar & Partners Law Office will be closed on June 12, 2026 (Friday) in observance of Philippine Independence Day.

Regular office operations will resume on the next business day.

For urgent matters requiring immediate attention, please contact us at:

📱 0928 062 4430
📧 [email protected]

We appreciate your understanding and thank you for your continued trust in our firm.

KVP LAW
Cabahug, Amigo-Escobar & Partners Law Office