Practice question
Explain the significance of the recipient’s good faith and the bank’s gross negligence in BDO v. Barcellano. Distinguish that ruling from a blanket exemption for every good-faith recipient.
Legal references
- Civil Code, Articles 22, 1157, 1160, 2142-2169 and 2176: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html
- BDO Unibank, Inc. v. Barcellano y Riego, G.R. No. 261264, February 12, 2026, MAIN decision: https://lawphil.net/judjuris/juri2026/feb2026/gr_261264_2026.html
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