Facts:
On September 17, 2014, Mr. Blay filed before the Regional Trial Court (RTC) a petition for declaration of nullity of marriage on grounds of psychological incapacity. Three months later, Ms. Bana filed her answer with compulsory counterclaim.
On March 11, 2015, Mr. Blay filed a motion to withdraw his petition. On March 26, 2015, Ms. Bana then invoked Sec. 2, Rule 17 and prayed that her counterclaims be declared as remaining for the court’s independent adjudication. Four days later, she filed her Manifestation. Mr. Blay filed a reply averring that Ms. Bana’s counterclaims are barred from being prosecuted in the same action due to her failure to file a manifestation within fifteen (15) days from the notice of motion to withdraw.
The RTC granted Mr. Blay’s motion to withdraw and declared Ms. Bana’s counterclaim as “remaining for independent adjudication”. The Court of Appeals affirmed the decision of the lower court.
Issue:
Is the respondent’s counterclaim for independent adjudication before the same trial court valid?
Ruling:
No. The RTC should have granted only Mr. Blay’s motion to withdraw and hence, dismissed his petition for declaration of nullity of marriage, without prejudice to the prosecution of Ms. Bana’s counterclaim in a separate action.
When the plaintiff moves for dismissal of complaint to which a counterclaim has been interposed, the dismissal shall be limited to the complaint only. Such dismissal shall be without prejudice to the right of the defendant: (i) to prosecute the counterclaim in a separate action or (ii) to have the counterclaim resolved in the same action.
If the plaintiff elects to prosecute in a separate action, the Court should render the corresponding order granting and reserving the right to prosecute his claim in a separate complaint.
However, if the plaintiff opts to resolve it in the same action wherein the complaint had been dismissed, he must manifest within fifteen (15) days from notice to him of the plaintiff’s motion to dismiss. Failure to manifest within the prescribed time renders the counterclaim to be prosecuted only in a separate action.
The passing of the 15-day period triggers the finality of the court’s dismissal of the complaint and bars the conduct of further proceedings, i.e. the prosecution of respondent’s counterclaim in the same action.
