Solutio Indebiti
Solutio Indebiti means legal basis of the principle that "no
one shall enrich himself at the expense of another.
Gelano vs. Court of Appeals [GR L-39050, 24 February 1981Case digest article 88
Gelano vs CA Case Digest ] Facts: Insular Sawmill, Inc. (ISI) is a corporation organized on 17 September 1945 with a corporate life of 50 years, or up to 17 September 1995, with the primary purpose of carrying on a general lumber and sawmill business. To carry on this business, ISI leased the paraphernal property of Carlos Gelano's wife Guillermina Mendoza-Gelano at the corner of Canonigo and Otis, Paco, Manila for P1,200.00 a month. It was while ISI was leasing the aforesaid property that its officers and directors had come to know Carlos Gelano who received from the corporation cash advances on account of rentals to be paid by the corporation on the land. Between 19 November 1947 to 26 December 1950 Carlos Gelano obtained from ISI cash advances of P25,950.00. The said sum was taken and received by Carlos Gelano on the agreement that ISI could deduct the same from the monthly rentals of the leased premises until said cash advances are fully paid. Out of the a...
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