The Supreme Court ruled that banks can be held liable for moral damages due to negligence even without proof of bad faith or malice.
In a case involving Banco de Oro (BDO), the court ordered the bank to pay depositors Remedios and Angelita Antonino the full amount of their time deposits plus PHP 100,000 in moral damages.
The Antoninos discovered their funds were allegedly withdrawn with a forged signature while they still held the original certificates.
The court found BDO negligent for failing to verify the withdrawal properly and for not producing key documents.
The ruling emphasized that banks must exercise a very high degree of diligence, higher than that of a “good father of a family,” due to the fiduciary trust placed in them.
Source: PhilNews24 | September 29, 2025
SUPREME COURT RULES BANKS CAN BE HELD LIABLE FOR NEGLIGENCE WITHOUT PROOF OF BAD FAITH
Latest from News
Prosecutors at the International Criminal Court argued that former Philippine president Rodrigo Duterte used public speeches
The International Maritime Organization and the Philippine government through the Maritime Industry Authority have finalized a
Malacañang on Tuesday denied claims by lawyer and fugitive Harry Roque that President Ferdinand Marcos Jr.
The Land Transportation Franchising and Regulatory Board said petitions to increase public utility vehicle fares are
Bureau of Fisheries and Aquatic Resources National Director Elizer Salilig called for continued support of sustainable