2013 Legal and Judicial Ethics, Q7

In an action to prevent the condominium developer from building beyond ten (10) floors, Judge Cerdo rendered judgment in favor of the defendant developer. The judgment became final after the plaintiffs failed to appeal on time. Judge Cerdo and Atty. Cocodrilo, counsel for the developer, thereafter separately purchased a condominium unit each from the developer.
Did Judge Cerdo and Atty. Cocodrilo commit any act of impropriety or violate any law for which they should be held liable or sanctioned? (8%)

Quick check

What legal rule prohibits judges and lawyers from purchasing property subject to litigation during the pendency of the case?

What ethical standard is violated when a judge purchases property from a developer immediately after rendering a favorable decision?

Does the finality of a judgment automatically erase ethical liability for a judge purchasing property from a winning litigant?

Which code of conduct governs the ethical obligations of Philippine attorneys in post-litigation transactions?

Choices available with full access.

What is the primary objective of prohibiting judges from engaging in transactions that create an appearance of partiality?

Choices available with full access.

Unlock the full Remedial Law answers

Learn more about these topics

1. Judicial Impropriety Avoidance
Under the New Code of Judicial Conduct, judges must avoid impropriety and the appearance of impropriety in all activities to preserve public confidence in the judiciary. Although the prohibition under Article 1491 of the Civil Code strictly applies during the pendency of litigation, a judge who purchases property from a prevailing party immediately after rendering a favorable judgment creates a perception of corruption, bias, or improper reward. Such conduct compromises the integrity and independence of the judicial office.

2. CPRA Integrity Standards
Under Canon II of the Code of Professional Responsibility and Accountability, a lawyer must maintain the highest standard of honesty, integrity, and fair dealing. Acquiring property from a client or opposing party in circumstances that suggest collusive or unethical dealing degrades the legal profession. Even if legal proceedings have formally terminated, counsel's involvement in post-judgment transactions that cast doubt on the fairness of the judicial process violates the lawyer's duty to uphold public trust.

3. Property Purchase Prohibition
Article 1491(5) of the Civil Code prohibits judges, justices, prosecutors, and lawyers from purchasing property and rights which may be the object of any litigation in which they take part by virtue of their profession. While this statutory disqualification technically ceases once a judgment becomes final and executory, post-litigation purchases that create a clear appearance of conflict of interest or kickback schemes remain subject to administrative disciplinary sanctions under judicial and legal ethics rules.

About these questions and answers
The questions reproduced here are the official texts of the Philippine Bar Examinations, published by the Supreme Court. They are reproduced for study purposes.The suggested answers are the author’s own.

They are not official answers, have no connection with the Supreme Court, the Office of the Bar Confidant, or any bar review institution, and are not endorsed by any of them. Official answer keys, where released, should be preferred over anything here.Nothing on this page is legal advice, and reading it creates no lawyer-client relationship. Do not rely on any suggested answer in an actual legal matter. Consult counsel on your own facts.Suggested answers reflect the law and jurisprudence the author considers applicable as of the date shown.

Where a question comes from an earlier examination, the suggested answer applies the law as it now stands, which may differ from the law in force when the question was given, and may therefore differ from what would have been the correct answer at that time. Where the difference is material, the answer notes it.The practice scoring feature measures wording overlap with the suggested answer. It is not a grade, carries no official weight, and says nothing about whether your reasoning is sound.Errors are possible. If you find one, please tell me and I will correct it.Last reviewed: October 2026