G.R. No. 190641. November 10, 2015.
FACTS
Victor Reyes (Reyes) subscribed and purchased one share in the capital stock of Valley Golf which entitled him exclusive membership to the golf club including playing rights. Reyes’ playing privileges were assigned from 1979 – 1986, wherein the assignee obligated themselves to pay the monthly membership fees for and on behalf of Reyes. However, the payment was discontinued and resulted for the delinquency of Reyes’ account. Due to delinquency in the payment of monthly membership fees, Valley Golf sold his share at a public auction.
Reyes filed an action for Reinstatement of Playing Rights and Re-issuance of New Certificate of Share of Stocks against Valley Golf before the Securities and Exchange Commission (SEC). He claimed that he was not notified of the delinquency of his account not the sale of his share. Valley Golf insisted that a Notice of Due Account was sent to Reyes which is evidenced by Registry Receipt No. 3384. It further alleged that prior to the scheduled sale, it also published with Philippine Daily Express as evidenced by the Publisher’s Affidavit. Valley Golf argued that Reyes has no right to claim that he was not duly notified and prayed that his complaint be dismissed for evident lack of cause of action.