Read this in The Manila Times digital edition.
Dear PAO,
On February 1, 2023, R obtained a loan from me, which matured on October 1, 2023. On May 15, 2023, his brother, S, also obtained a loan from me. In our loan agreement, S obligated himself to assume the loan obligations of R without prejudice to his right for reimbursement from R. Although S was able to pay two installments, he was unable to pay the balance of his loan. He was also not able to pay R's loan. Now, despite my repeated demands, R refuses to pay his unpaid loan. He claims that my loan agreement with S has already novated our loan agreement. So, I can no longer demand anything from him. Is he correct? I reviewed our agreement, and nowhere does it say that my contract with R is terminated in lieu of my subsequent contract with S.
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