2079 Extension granted to debtor by the creditor without the consent of the
guarantor extinguishes the guaranty. Mere failure on part of the creditor to demand
payment after the debt has become due does not itself constitute any extension of
time referred to herein.
Radio Corp. v. Roa
CFI Manila ruled in favor of Radio Corp. against defendants Jesus Roa, Ramon
Chavez, Andres Roa and Manuel Roa.
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Facts:
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Issue:
W/N the extension granted, without the consent of the guarantors, extinguishes the
liability not only to the installments due at that time but also to the whole amount of
their obligation?
Held:
Whole amount.
Ratio:
In the stipulation between Roa and PET, the creditor is given the right to treat and
declare all said installments as immediately due when there is nonpayment.
Under the express provision of the contract, the whole unpaid balance becomes due
and payable upon to failure to pay one installment. The act of Radio Corp extending
payment, without the consent of the guarantors, constituted in fact an extension of
the payment of the whole amount of indebtedness.
Action filed by Rosa Villa, widow of Bota for the purpose of recovering from Garcia
Bosque and Ruiz as principals and France and Goulette as solidary sureties 20,
509.71
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