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 G.R. No. 115849 January 24, 1996 FIRST PHILIPPINE INTERNATIONAL BAN !For"#r$y Pro%u&#r' Ban( o) *+# P+$--n#' an% /ER0RIO RIERA,  petitioners, vs. 0ORT OF APPEALS, 0ARLOS EJER0ITO, n 'u3'**u*on o) E/ETRIO E/ETRIA, an% JOSE JANOLO, respondents. FACTS: [D]uring the pendency of the proceedings in the Court of Appeals, Henry Co and several other stockholders of the Bank (petitioner), through counsel Angara Aello Concepcion !egala and Cru", #led an action ($econd Case) purportedly a %derivative suit& 'ith the !egional rial Court of akati, Branch *+ against -ncarnacion, Deetria and /anolo %to declare any perfected sale of the property as unenforceale and to stop -0ercito fro enforcing or ipleenting the sale. 1n his ans'er, /anolo argued that the $econd Case 'as arred y litis pendentia y virtue of the case then pending in the Court of Appeals. During the pre2trial conference in the $econd Case, plainti3s #led a otion for 4eave of Court to Disiss the Case 5ithout 6re0udice. 6rivate respondent opposed this otion on the ground, aong others, that plainti37s act of foru shopping 0usti#es the disissal of oth cases, 'ith pre0udice. 6rivate respondent, in his eorandu, averred that this otion is still pending in the akati !C. [6]etitioners e8plain that there is no foru2shopping ecause  In the earlier or “First Case” from which this proceeding arose, the Bank was impleaded as a defendant, whereas in the “Second Case”, it was the plainti; ISSUE: 5hether or not there is foru2shopping on the part of petitioner Bank. HELD: 9-$. [5]here a litigant (or one representing the sae interest or person) sues the sae party against 'ho another action or actions for the alleged violation of the sae right and the enforceent of the sae relief is:are still pending, the defense of litis  pendencia in one case is a ar to the others; and, a #nal 0udgent in one 'ould constitute res judicata and thus 'ould cause the disissal of the rest. 1n either case, foru shopping could e cited y the other party as a ground to ask for suary disissal of the t'o (or ore) coplaints or petitions, and for the iposition of the other sanctions, 'hich are direct contept of court, criinal prosecution, and disciplinary action against the erring la'yer. [5]hat is truly iportant to consider in deterining 'hether foru2shopping e8ists or not is the ve8ation caused the courts and parties2litiga nt y a party 'ho asks di3erent courts and:or adinistrative agencies to rule on the sae or related causes and:or to grant the sae or sustantially the sae reliefs, in the process creating the possiility of con<icting decisions eing rendered y the di3erent fora upon the sae issue. 1n this case, this is e8actly the prole= a decision recogni"ing the perfection and directing the enforceent of the contract of sale 'ill directly con<ict 'ith a possile decision in the $econd Case arring the parties fro

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G.R. No. 115849 January 24, 1996FIRST PHILIPPINE INTERNATIONAL BANK (Formerly Producers Bank of the Philippines) and MERCURIO RIVERA, petitioners, vs.COURT OF APPEALS, CARLOS EJERCITO, in substitution of DEMETRIO DEMETRIA, and JOSE JANOLO, respondents.FACTS:[D]uring the pendency of the proceedings in the Court of Appeals, Henry Co and several other stockholders of the Bank (petitioner), through counsel Angara Abello Concepcion Regala and Cruz, filed an action (Second Case) purportedly a derivative suit with the Regional Trial Court of Makati, Branch 134 against Encarnacion, Demetria and Janolo to declare any perfected sale of the property as unenforceable and to stop Ejercito from enforcing or implementing the sale. In his answer, Janolo argued that the Second Case was barred bylitis pendentiaby virtue of the case then pending in the Court of Appeals. During the pre-trial conference in the Second Case, plaintiffs filed a Motion for Leave of Court to Dismiss the Case Without Prejudice. Private respondent opposed this motion on the ground, among others, that plaintiffs act of forum shopping justifies the dismissal of both cases, with prejudice. Private respondent, in his memorandum, averred that this motion is still pending in the Makati RTC.[P]etitioners explain that there is no forum-shopping because In the earlier or First Case from which this proceeding arose, the Bank was impleaded as a defendant, whereas in the Second Case, it was the plaintiff;ISSUE: Whether or not there is forum-shopping on the part of petitioner Bank.HELD: YES. [W]here a litigant (or one representing the same interest or person) sues the same party against whom another action or actions for the alleged violation of the same right and the enforcement of the same relief is/are still pending, the defense oflitispendenciain one case is a bar to the others; and, a final judgment in one would constituteres judicataand thus would cause the dismissal of the rest. In either case, forum shopping could be cited by the other party as a ground to ask for summary dismissal of the two (or more) complaints or petitions, and for the imposition of the other sanctions, which are direct contempt of court, criminal prosecution, and disciplinary action against the erring lawyer.[W]hat is truly important to consider in determining whether forum-shopping exists or not is the vexation caused the courts and parties-litigant by a party who asks different courts and/or administrative agencies to rule on the same or related causes and/or to grant the same or substantially the same reliefs, in the process creating the possibility of conflicting decisions being rendered by the different fora upon the same issue. In this case, this is exactly the problem: a decision recognizing the perfection and directing the enforcement of the contract of sale will directly conflict with a possible decision in the Second Case barring the parties from enforcing or implementing the said sale. Indeed, a final decision in one would constituteres judicatain the other.