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PROPERTY Prof.

Labitag

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TABLE OF CONTENTS
I. DEFINITION OF PROPERTY............................................................................2
A. Classification under the Civil Code........................................................................................................... 2
B. By Ownership.......................................................................................................................................... 2
C. Other Classifications................................................................................................................................ 2
II. OWNERSHIP........................................................................................... 2
A. Definition................................................................................................................................................. 2
B. Bundle of Rights included in Ownership................................................................................................... 2
C. Other Specific Rights found in the Civil Code........................................................................................... 2
D. Limitations of Real Right of Ownership.................................................................................................... 2
III. RIGHTS OF ACCESSION..............................................................................2
A. Concept................................................................................................................................................... 2
B. General Principles of Accession............................................................................................................... 2
C. Obligations of Receiver of Fruits to Pay Expenses by 3 rd person in producti on, gathering and
preservation.................................................................................................................................................... 2
D. Kinds of Accession................................................................................................................................... 2
1. Accession Discreta............................................................................................................................... 2
2. Accession Continua.............................................................................................................................. 2
Over Immovables.................................................................................................................................... 2
Over Movables......................................................................................................................................... 2
IV. QUIETING OF TITLE................................................................................... 2
A. Differences between Action to Quiet Title and Action:............................................................................. 2
B. Prescription of Action to Quiet Title.......................................................................................................... 2
C. Who are Entitled to Bring Action?............................................................................................................ 2
D. Notes....................................................................................................................................................... 2
V. CO-OWNERSHIP....................................................................................... 2
A. Definition................................................................................................................................................. 2
B. Characteristics of co-ownership............................................................................................................... 2
C. Differences between Co-ownership and Joint Tenancy............................................................................. 2
D. Differences between Co-ownership and Partnership................................................................................ 2
E. Source of Co-ownership........................................................................................................................... 2
F.
Rights of each co-owner as to the thing owned in common..................................................................... 2
G. Implications of co-owners right over his ideal share................................................................................ 2
H. Rules on co-ownership not applicable to conjugal partnership of gains or absolute community of
property.......................................................................................................................................................... 2
I.
Special rules on co-ownership from provisions of Condominium Law (Act No. 4726)...............................2
J.
Extinguishment of co-ownership.............................................................................................................. 2
VI. POSSESSION.......................................................................................... 2
A. Definition and Concept............................................................................................................................ 2
B. Essential Requisites of Possession........................................................................................................... 2
C. Degrees of Holding of Possession............................................................................................................ 2
D. Cases of Possession................................................................................................................................. 2
E. What things or rights may be possessed................................................................................................. 2
F.
What may not be possessed by private persons...................................................................................... 2
G. Acquisition of Possession......................................................................................................................... 2
H. Effects of Possession............................................................................................................................... 2
I.
Effect of possession in the concept of an owner...................................................................................... 2
J.
Presumptions in favor of the possessor................................................................................................... 2
K. Possession may be lost by....................................................................................................................... 2
VII. USUFRUCT........................................................................................... 2
A. Concept................................................................................................................................................... 2
B. Historical considerations.......................................................................................................................... 2
C. Characteristics of Usufruct...................................................................................................................... 2
D. Usufruct distinguished from lease; from servitude................................................................................... 2
E. Classes of Usufruct.................................................................................................................................. 2
F.
Rights of Usufruct.................................................................................................................................... 2
G. Rights of Naked Owner............................................................................................................................ 2
H. Obligations of Usufructuary..................................................................................................................... 2
I.
Special Cases of Usufruct........................................................................................................................ 2
J.
Extinguishment of Usufruct..................................................................................................................... 2

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VIII. EASEMENTS OR SERVITUDES......................................................................2


A. Definition................................................................................................................................................. 2
B. Essential feature of easements/real servitudes/praedial servitudes.........................................................2
C. Classification of Servitudes...................................................................................................................... 2
D. General rules relating to servitudes......................................................................................................... 2
E. Modes of acquiring easements................................................................................................................ 2
F.
Rights and obligations of owners of dominant and servient estates........................................................2
G. Modes of extinguishment of easements.................................................................................................. 2
H. Legal Easements..................................................................................................................................... 2
BOOK III DIFFERENT MODES OF ACQUIRING OWNERSHIP............................................2
Mode and Title Differentiated.......................................................................................................................... 2
Modes of Acquiring Ownership........................................................................................................................ 2
Occupation...................................................................................................................................................... 2
Intellectual creation........................................................................................................................................ 2
DONATION...............................................................................................2
Nature of donation.......................................................................................................................................... 2
Requisites of donation..................................................................................................................................... 2
Kinds of donation............................................................................................................................................ 2
Who may not give or receive donations.......................................................................................................... 2
Who may give or receive donations................................................................................................................ 2
Acceptance of donation................................................................................................................................... 2
Form of donations........................................................................................................................................... 2
What may be donated..................................................................................................................................... 2
Effect of donation............................................................................................................................................ 2
Revocation and Reduction of Donations.......................................................................................................... 2
LEASE.................................................................................................... 2
A. General characteristics of every lease..................................................................................................... 2
B. Kinds of leases......................................................................................................................................... 2
C. Lease of things........................................................................................................................................ 2

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I. DEFINITION OF PROPERTY
PROPERTY

Is an economic concept, meaning a mass of things useful to human activity and which are necessary to
life, for which reason they may be organized and distributed in one way or another, but, always for the
good of the main.
In order that a thing may be considered as property:
o Utility capacity to satisfy human wants
o Individuality or Substantivity an autonomous or separate existence; materials composing a
thing are not thing in themselves.
o Appropriability or susceptibility to appropriation

A. Classification under the Civil Code


1.

Immovable or Real Property


1.
2.

Lands, buildings, road and constructions of all kinds adhered to the soil.
Trees, plants, growing fruits while they are attached to the land or form an integral part of an
immovable
3. Everything attached to an immovable in a fixed manner, in such a way that it cannot be
removed without breaking the material or deterioration of the object
4. Statues, reliefs, paintings or other objects for use or ornamentation, placed in buildings or
on lands by the owner of the immovable in such a manner that it reveals the intention to attach
them permanently to the tenements
5. Machineries, receptacles, instruments and implements intended by the owner of the
tenement for industry or works which may be carried on in a building or on a piece of land, and
which tends directly to meet the needs of the said industry or works
6. Animal houses, pigeon houses, beehives, fish ponds or breeding places of similar
nature, in case their owner has placed them or preserves them with the intention to have them
permanently attached to the land, and forming a permanent part of it; the animals in these places
are included;
7. Fertilizer actually used on a piece of land
8. Mines, quarries, and slag dumps, while the matter thereof forms part of the bed, and waters
either running or stagnant
9. Docks and structures which, though floating are intended by their nature and object to remain
at a fixed place on a river, lake or coast
10. Contract for public works and servitudes and other real rights over immovable property
a.

By Nature those which cannot be moved from place to place

Art 415, Par 1 Land, buildings, road and constructions of all kinds
Art 415, Par 8 Mines, quarries and slag dumps
b.

By Incorporation

Art 415, Par 2 Trees, plants and growing fruits


Art 415, Par 3 Everything attached to an immovable
Art 415, Par 7 Fertilizers
c.
Art
Art
Art
Art

415,
415,
415,
415,

Par
Par
Par
Par

d.

By Destination
4
5
6
9

Statues, reliefs, paintings and other objects for use or ornamentation


Machines, receptacles, implements and instruments
Animal houses, pigeon-houses, beehives, fishponds and breeding places of similar nature
Docks and structures

By Analogy

Art 415, Par 10 Contracts for public works, servitudes and other real rights over immovable property

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Movables or Personal Property


Art 416 The following are things deemed to be movable property:
(1) Those movables susceptible of appropriation which are not included in the preceding article
(2) RP which by any special provision of law is considered as personalty
(3) Forces of nature which are brought under the control by science
(4) In general, all things which can be transported from place to place without impairment of the real
property to which they are fixed (c.f. Art 415 No 3)
Art 417 The following are also considered as personal property:
(1) Obligations and actions which have for their objects movables or demandable sums
(2) Shares of stock of agricultural, commercial and industrial entities, although they may have real estate
DAVAO SAWMILL v CASTILLO ()
BERKENKOTER v CU UNJIENG ()
LOPEZ v OROSA ()
TUMALAD v VICENCIO ()
ASSOCIATED INSURANCE v IYA ()
MAKATI LEASING v WEAREVER ()
BD. OF ASSESSMENT APPEALS v MERALCO ()
MERALCO v BD. OF ASSESSMENT APPEALS ()
MERALCO v BD. OF ASSESSMENT APPEALS ()
CALTEX v BD. OF ASSESSMENT APPEALS ()
BENGUET CORP. v BD. OF ASSESSMENT APPEALS ()
2.
i.
ii.
iii.
iv.
v.
vi.

Importance and Significance of Classification


From point of view of:

Criminal Law
Form of contracts involving movables or immovables
Prescription
Venue/Jurisdiction
Taxation
Double Sales under Art 1544
Art 1544 If the same thing should have been sold to different vendees, the ownership shall be
transferred to the person who may have first taken possession thereof in good faith, if it should be
IMMOVABLE PROPERTY. (applies to unregistered lands)
For registered lands: Should it be IMMOVABLE PROPERTY, the ownership shall belong to the person
acquiring it who in good faith, first recorded it in the Registry of Property.
Should there be no inscription, the ownership shall pertain to the person who in good faith was first in
the possession; and, in the absence thereof, to the person who presents the oldest title, provided there
is good faith.

vii. Preference of Credits


viii. Causes of Action to Recover
3.

Differences between Real Rights and Personal Rights

Point of comparison
Definition

Elements

REAL RIGHTS
Power belonging to a person over a
specific thing, without a passive
subject individually determined
against whom such right may be
personally exercised
1) Subject and object connected
by a relation of ownership of the
former over the latter
2) A general obligation or duty of
respect for such relation, there
being no particular passive
subject

PERSONAL RIGHTS
Power belonging to one person to
demand to another, as a definite
passive subject, the fulfillment of a
prestation to give, to do or not to do
1) Two subjects: active and passive
(bound to perform prestation
incumbent upon him by reason
of a juridical tie which binds him
to the active subject), who are
determined and specified
2) General obligation on the part of

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3) Effective actions recognized by
law to protect such relation
against anyone who may want
to disturb it

Also known as
Number of persons involved in the
juridical relation
Object of the juridical relation
By the manner in which the will of
the active subject affects the thing
related to it
By the causes of creating the
juridical relation
By the methods of extinguishment
of the juridical relation
By the nature of the actions arising
from them

Jus in re
Active subject 1
Passive subject - the rest of the
world without individual
determination
Generally a corporeal thing
Generally affects the thing directly

3rd persons to respect the


relation between the active and
passive subjects
3) Effective actions in favor of the
active subject against the
passive subject for the
performance of the prestation
by the latter or so that the
relation between them may
produce its natural and juridical
effects
Jus ad rem
Definite active subject
Definite passive subject
Intangible thing, i.e. the prestation
of the debtor
Indirectly through the prestation of
the debtor

By mode and title

By title alone

Extinguished by the loss or


destruction of the thing
Real actions against third persons

Not extinguished by the loss or


destruction of the thing
Only personal actions against the
definite debtor

B. Classification by Ownership
1.

Res Nullius does not belong and are not enjoyed by anyone e.g. abandoned property and hidden
treasure

2.

Public Dominion owned by the state but enjoyed by all its citizens
cf. Patrimonial Property of State

Art 419 Property is either of public dominion or private ownership.


Art 420 The following are things of public dominion:
(1) Those intended for public use, such as roads, canals, rivers, torrents, ports and bridges, constructed
by the State, banks, shores, roadsteads and other of similar character
(2) Those which belong to the State, without being for public use, and are intended for some public
service or for the development of national wealth
Art 421 All other property of the State, which is not of the character stated in the preceding article, is
patrimonial property
Art 422 Property of public dominion, when no longer intended for public use or public service, shall form
part of the patrimonial property of the State.
Art 424 Property for public use, in the provinces, cities, and municipalities, consists of the provincial roads,
city streets, municipal streets, the squares, fountains, public waters, promenades and public works for public
service paid for by said provinces, cities, or municipalities.
All other property possessed by any of them is patrimonial, and shall be governed by this Code, without
prejudice to the provisions of special laws.
a.
i.
ii.
iii.

Property of State
Art 420 Art 421 Art 422 see above

For public use


For public service
For development of national wealth

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LA BUGAL BLAAN TRIBAL ASSN. v RAMOS (2004)


ON RECONSIDERATION (2005)
CHAVEZ v PEA AMARI (2002)
ON RECONSIDERATION (2003)
USERO v CA (2006)
b.
i.

Property of Municipal Corporations


Art 424, Par 1 see above

For public use including public works for public service


3.

Private Property
a.

Patrimonial Property of State


Art 421 see above

b.

Patrimonial Property of Municipal Corporations


Art 424, Par 2 see above

c.

Private Property of Private Persons


Art 425 Property of private ownership, besides the patrimonial property of the State, provinces,
cities and municipalities, consists of all property belonging to private persons, either
individually or collectively.

TANTOCO v MUNICIPAL COUNCIL ()


ZAMBOANGA DEL NORTE v CITY OF ZAMBOANGA ()
SALAS v JARENCIO ()
CEBU ACETYLENE v BERCILLES ()
MUNICIPALITY OF SAN MIGUEL v FERNANDEZ ()
GOVERNMENT v CABANGIS ()
CHAVEZ v PEA AMARI (2002)
ON MOTION FOR RECONSIDERATION (2003)
4.

Effect and Significance of Classification of Property as Property of Public Dominion


a.
b.
c.
d.

Property
Property
Property
Property

is outside the commerce of man


cannot be the subject of acquisitive prescription
cannot be attached or levied upon in execution
cannot be burdened with a voluntary easement

C. Other Classifications
1.

By their physical existence


a. Corporeal those which are manifest to the senses, which we may touch or take, which exist in
space and have a body, whether animate or inanimate
b. Incorporeal personal prestations or acts or services productive of utility. They are not manifest to
the senses but are conceived only by the understanding. They must combine three requisites:
i. External manifested act
ii. Personal done by the debtor himself
iii. Possible when it can be done both in nature and in law

2.

By their autonomy or dependence


a. Principal those which other things are considered dependent or subordinated e.g. lands on which
a house is built
b. Accessory dependent upon or subordinated to the principal e.g. house in the preceding example

3.

By their subsistence after use


Art 418 Movable property is either consumable or non-consummable. To the first class belong those
movables which cannot be used in a manner appropriate to their nature without being consumed.
To the second class belong all the others.

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a.

Consumable whose used according to their nature destroys the substance of the thing or causes
their loss to the owner e.g. food
b. Non-consumable not consumed by use
Differentiated from Fungible or Non-fungible
Fungible depends upon possibility (because of their nature or the will of the parties) of being substituted by
others of the same kind, not having distinct individuality; those which belong to the common genus which
includes several species of the same kind, perfectly permitting substitution of one by the others
Non-fungible those which have their own individuality (specifically determined) and do not admit of
substitution
c. Deteriorable or non-deteriorable
4.

By reason of their susceptibility to division


a. Divisible can be divided physically or juridically without injury to their nature e.g. piece of land,
inheritance
b. Indivisible those which cannot be divided without destroying their nature or rendering impossible
the fulfillment of the juridical relation of which they are the object e.g. horse

5.

By reason of designation
a. Generic indicates its homogenous nature, but not the individual e.g. horse, house, dress
b. Specific indicates the specie or its nature and the individual e.g. white horse of X or house No. 20
at Y Street

6.

By their existence in point of time


a. Present exist in actuality, either physical or legal e.g. erected building, not that which is planned
b. Future do not exist in actuality, but whose existence can reasonably be expected with more or
less probability e.g. ungathered fruits

7.

By reason of contents and constitution


a. Singular
i. Simple
ii. Compound
b. Universal when several things collectively form a single object in law under one name, which may
be in fact e.g. warehouse, herd OR in law e.g. inheritance or dowry

8.

By reason of susceptibility to appropriation


a. Non-appropriable
b. Appropriable
i. Already appropriated
ii. Not yet appropriated

9.

By reason of susceptibility to commerce


a. Within the commerce of man
b. Outside the commerce of man

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II. OWNERSHIP
A. Definition

OWNERSHIP

J. B. L. Reyes: It is independent right of exclusive enjoyment and control of a thing for the
purpose of deriving therefrom all the advantages required by the:
o Reasonable needs of the owner (or holder of the right) and
o Promotion of the general welfare
But subject to the restrictions imposed by:
o Law
o Rights of others
Scialoja: It is a relation in private law by virtue of which is a thing (or property right) pertaining to
one person is completely subjected to his will in everything not prohibited by public law or the
concurrence with the rights of another
o Sir actually prefers this definition

B. Bundle of Rights included in Ownership


Art 429 The owner or lawful possessor of a thing has the right to exclude any person from the enjoyment
and disposal thereof. For this purpose, he may use such force as may be reasonably necessary to repel or
prevent an actual or threatened unlawful physical invasion or usurpation of his property.

Jus Utendi right to use and enjoy the property without destroying its substance
Jus Abutendi right to use and enjoy by consuming the thing by its use
Jus Fruendi right to receive the fruits
Jus Disponendi right to dispose or the power of the owner to alienate, encumber, transform and even
destroy the thing owned
Jus Vindicandi right to recover a thing

C. Other Specific Rights found in the Civil Code


1.

Right to exclude; self-help; Doctrine of Self-help


Art 429 see above
ELEMENTS OF SELF-HELP

2.

Right to enclose or fence


Art 430 Every owner may enclose of fence his land or tenements by means of walls, ditches, live or
dead hedges, or by any other means without detriment to servitudes consisted thereon.

3.

Right to receive just compensation in case of expropriation


Art 435 No person shall be deprived of his property except by competent authority and for public
use and always upon just compensation.

4.

Right to hidden treasure


Art 438 Hidden treasure belongs to the owner of the land, buiding or other property on which it is
found.
Nevertheless, when the discovery is made on the property of another, OR of the State or any of its
subdivisions, and by chance thereof shall be allowed to the finder. If the finder is a trespasser,
he shall not be entitled to any share of the treasure.
If the things found be of interest to science or the arts, the State may acquire them at their just
price, which shall be divided in conformity with the rule stated.
Art 439 By treasure is understood, for legal purposes, any hidden and unknown deposit of money,
jewelry, or other precious objects, the lawful ownership of which does not appear.

5.

Right to space and subsoil

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Art 437
6.

Right to accession
Art 440 The ownership of property gives the right by accession to:
o Everything which is produced thereby (accession discreta)
o Incorporated or attached thereto, either naturally or artificially (accession continua)

7.

Right to recover possession and/or ownership (jus vindicandi)


a.

Available actions to Recover Possession/Ownership

i. For immovable property


1) Accion reivindicatoria - recovery of dominion of property as owner; main issue is ownership not merely
possession.
2) Accion publiciana - plenary action to recover possession when owner is dispossessed by any other means
than the grounds for instituting a forcible entry and unlawful detainer case.
3) Forcible entry - used by person deprived of possession through Force, Intimidation, Strategy, Threat or
Stealth (FISTS)
4) Unlawful detainer - used by lessor/person having legal right over property when lessee/person withholding
property refuses to surrender possession of property after expiration of lease/right to hold property
(physical possession, 1 year from the last date of demand to vacate the premises)
5) Writ of possession
6) Writ of injunction
HILARIO v SALVADOR (2005)
SAMPAYANG v CA (2005)
SANTOS v AYON (2005)
GANILA v CA (2005)
ROSS RICA SALES CENTER v SPS. ONG (2005)
PERALTA-LABRADOR v BUARIN (2005)
ii.

For movable property

1) Replevin
b.

Requisites for recovery


Art 434 In an action to recover, the property must be identified, and the plaintiff must rely
on the strength of his title and not on the weakness of the defendants claim.

i. Identify the property


SERINA v CABALLERO (2004)
ii.

Prove his right of ownership rely on the strength of his evidence not on the weakness
of defendants
PEREZ v MENDOZA (1975)
DIZON v CA (1993)
D. Limitations of Real Right of Ownership
1.

General Limitation
a. Police power salus populi suprema est lex
Art 436 When any property is condemned or seized by competent authority in the interest of
health, safety or security, the owner thereof shall not be entitled to compensation, UNLESS he
can show that such condemnation or seizure is unjustified.
b. Taxation
c. Eminent domain
Art 435

2.

Specific Limitation
a. Legal servitudes
b. Limitations imposed by party transmitting the property
i. By contract or last will or donation
ii. Stipulation on inalienability

3.

Limitation from scattered provisions of CC

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Art 431 The owner of a thing cannot make use thereof in such manner as to injure the rights of a
third person.
Sis utere tuo ut alienum no laedas
Art 432 The owner of a thing has no right to prohibit the interference of another with the same, if
the interference is necessary to avert an imminent danger and threatened damage, compared to the
damage arising to the owner from the interference is much greater. The owner may demand from the
person benefited indemnity for the damage to him
Act in state of necessity
Art 2191 Proprietors shall also be responsible for damages caused:
(1) By the explosion of machinery which has not been taken care of with due diligence, and the
inflammation of explosive substances which have not been kept in a safe and adequate place
(2) By excessive smoke, which may be harmful to persons or property
(3) By the falling of trees situated at or near highways or lanes, if not caused by force majeure
(4) By emanations from tubes, canals, sewers or deposits of infectious matter, constructed without
precautions suitable to the place
Art 670 Distances for windows, apertures, balconies or other similar projection which afford direct and
oblique views
Art 677 Constructions near fortified places or fortresses
Art 678 Building of aqueduct, well, sewer, furnace, chimney, stable, depository of corrosive
substances, machinery or factory
Art 679 Planting of trees near a tenement
Art 649 Easement of right of way
Art 652 Acquisition of piece of land without right of way
Art 637 Receipt of lower estates of waters which naturally descend from higher estates
Art 676 Easement of drainage
Art 644 Limitations on the imposition of easement of aqueduct
Art 684-687 Lateral and subjacent support
US v CAUSBY ( )
LUNOD v MENESES ( )

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III. RIGHTS OF ACCESSION


A. Concept
Art 440 The ownership of property gives the right by accession to everything which is produced thereby, or
which is incorporated or attached thereto, either naturally or artificially.
DEFINITIONS OF ACCESSION

Tolentino: Right by virtue of which the owner of a thing becomes the owner of everything that the thing
may produce or which may be inseparably united or incorporated thereto, either naturally or
principally.

J. B. L. Reyes: Extension of ownership over a thing to whatever is incorporated thereto naturally or


artificially (without or with labor of man)
Incorporation means a stable union or adherence, not mere juxtaposition
Accession is one of the bundle of rights of ownership and is not a mode of acquiring property
It does not depend upon a new title
B. General Principles of Accession
1.

Applicable to BOTH accession discreta and accession continua


a.
b.

2.

Applicable to ACCESSION CONTINUA alone


a.
b.
c.
d.
e.

3.

Accessory follows the principal (Accessor siquitur principale)


No one shall be unjustly enriched at the expense of another

Whatever is built, planted or sown on the land of another and the improvements or
repairs made thereon, belongs to the owner of the land, subject to the provisions of the
following articles. Art 445
All works, sowing and planting are presumed made by owner and at his expense, unless
the contrary is proved. Art 446
Accessory is incorporated to principal only when cannot be separated without injury to the
work constructed or destruction to plantings, construction or works. 2nd phrase, Art 447
Bad faith involves liability for damages and other dire consequences.
Bad faith of one party neutralizes bad faith of the other. Art 453

Applicable to ACCESSION DISCRETA alone


a.

Ownership of fruits To owner of principal thing belongs the NATURAL, INDUSTRIAL and CIVIL
fruits Art 441
EXCEPTIONS:
iii. Possession in good faith
iv. In usufruct
v. In lease (although civil fruits go to the owner)
vi. In antichresis

C. Obligations of Receiver of Fruits to Pay Expenses by 3rd person in production, gathering and
preservation
Art 443 He who receives the fruit has the obligation to pay the expenses made by a third person in their
production, gathering and preservation.
BASIS: no one may unjustly enrich himself at the expense of another
Characteristics of expenses covered:
o Dedicated to the annual production and not for the improvement of the property
o They must not be unnecessary, excessive or for pure luxury, but must be of such an amount
naturally required by the condition of the work cultivation made
Even if expenses exceed the value of fruits, owner must pay expenses just the same, because the law
makes no distinction. He who is entitled to the benefits must bear the rishk and losses.

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WHAT MAY JUSTIFY NON-PAYMENT OF FRUITS: Owner may permit possessor to complete the harvesting
of fruits
Fruits not yet gathered and possessor is in bad faith: owner need not pay (Art 449)
Fruits already gathered: owner has to pay, accession continua does not apply because fruits have
already been separated from the immovable. This provision makes no distinction as to good faith and
baith faith.

D. Kinds of Accession
1. Accession Discreta (Fruits)
Art 440 The ownership of property gives the right by accession to:
o everything which is produced (accession discreta)
o incorporated or attached thereto, either naturally or artificially (accession continua)
a.
b.
c.

Natural products of the soil in whose generation human labor does not intervene
Industrial if it implies some kind of cultivation or labor
Civil rents of lands and buildings, and certain kinds of incomes obtained from the land or building itself

BACHRACH v SEIFERT ( )
BACHRACH v TALISAY ( )
2. Accession Continua
Over Immovables
1. Artificial or Industrial Building, Planting, Sowing
a. Owner is BPS using material of another (LO-BPS and OM)
Art 447 The LO who makes thereon, personally or through another, plantings constructions, or works with
the materials of another, shall pay their value and if he acted in bad faith, he shall also be obliged to the
reparation of the damages. The OM shall have the right to remove them only in case he can do so without
injury to the work constructed, or without the plantings, constructions or work being destroyed. However, if
the LO acted in bad faith, the OM may remove them in any event, with a right to be indemnified for
damages.

b.

LO in good faith
Acquire BPS by paying the value of materials

LO in bad faith

BPS builds, plants or sows on anothers land using his own material (LO and BPS-MM)
Art 448 The
Art 449 The
Art 450 The
Art 451 The
Art 452 The
Art 453 The
Art 454 The

BPS in good faith


Art 448 The

BPS in bad faith


Art 449 The
Art 450 The
Art 451 The

i.

Options open to owner of the land

PROPERTY Prof. Labitag

Page 13 of 49

1) To acquire building, planting and sowing

BP has right of retention


Retains possession without paying rental
Not entitled to fruits; his rights are the same as an antichretic creditor
2) To sell land to BP OR to lease land to S

BP may refuse if value of land considerably more than BP; then forced lease by LO and
BP

BPS in bad faith


ii.

Rights of BPS in bad faith


Art 452 The
Art 443 The
Landowner in bad faith but BPS in good faith
Art 454
Art 447
Reason for adverting to rule in Art 447

c.

BPS builds, plants or sows on anothers land with materials owned by 3 rd persons
Art 455 The
N.B.: Good faith does not exclude negligence
Art 456 The

BERNARDO v BATACLAN ( )
IGNACIO v HILARIO ( )
SARMIENTO v AGANA ( )
DEPRA v DUMLAO ( )
TECHNOGAS PHIL v CA ( )
ORTIZ v KAYANAN ( )
GEMINIANO v CA ( )
PLEASANTVILLE DEVT CORP v CA ( )
FELICES v IRIOLA ( )
SPOUSES NUGUID v CA (1993)
SPOUSES NUGUID v CA (2005)
2. Natural (Accession Continua Natural)
a.

Alluvium
Art 457 To the owners of lands adjoining the banks of rivers belong the accretion which they gradually
receive from the effects of the current of the waters.

REQUISITES FOR LAND ACCRETION TO TAKE PLACE FOR THE BENEFIT OF THE RIPARIAN OWNER
(1) Deposit be gradual and imperceptible - exclusive work of nature
(2) Made through the effects of the current of the water
(3) The land where accretion takes place is adjacent to the banks of the river
Banks of a river lateral strips or zones of its bend which are washed by the stream only during such
high floods as do not cause inundations or to the point reached by the river at high tide
When is alluvion formed? When the deposit of sediment has reached a level higher than the highest
level of water during the year.
Alluvion belongs to riparian owner from the time that the deposit created by the current of the water
becomes manifest

REPUBLIC v CA ( )
GRANDE v CA ( )
MENESES ( )
b.

Avulsion
Art 459 Whenever the current of a river, creek or torrent segregates from an estate on its bank a known
portion of land and transfers it to another estate, the owner of the land to which the segregated portion
belonged retains ownership of it, provided that he removes the same within 2 years.

NAVARRO ( )

PROPERTY Prof. Labitag


c.

Change of Course of River


Art 461 The
Art 462 The
Art 463 The

BAES v CA ( )
BINALAY v MANALO
d.

Formation of Islands
Art 461 The
Art 462 The
Art 463 The
Art 464 The
Art 465 The
See PD 1067
3. Reverse Accession
Art 120, FC The
Art 321, CC The

Over Movables
1. Conjunction and Adjunction
a.

Inclusion or Engraftment

b.

Soldadura or Soldering
i.
Plumbatura different metals
ii.
Ferruminatio same metal

c.

Tejido or Weaving

d.

Escritura or Writing

e.

Pintura or Painting
2. Commixtion and Confusion

SIARI VALLEY ESTATES v LUCASAN (1955)


SANTOS v BERNABE ()
3. Specification

Page 14 of 49

PROPERTY Prof. Labitag

Page 15 of 49

IV. QUIETING OF TITLE


A. Differences between Action to Quiet Title and Action:
Action to Quiet Title
Substantially an action for the purpose of putting an
end to vexatious litigation in respect to the property
involved
Plaintiff asserts his own estate and declares generally
that defendant claims some estate in the land,
without defining it and avers that the claim is
without foundation and calls on the defendant to
set forth the nature of his claim so that it may be
determined by decree
Action to Quiet Title

Action to Remove a Cloud


Procure the cancellation, delivery of, release of an
instrument, encumbrance or claim constituting a
claim on the plaintiffs title and which may be used to
injure or vex him in the enjoyment of his title
Plaintiff not only declares his own title but also avers
the source and nature of the defendants claim, points
out its defect, and prays that it be declared void

Action to Prevent a Cloud


Relief is granted if the threatened or anticipated cloud
is one which if it existed, would be removed by suit to
quit title

Cloud on a title an outstanding instrument, record, claim, incumbrance or proceeding which is


actually invalid or inoperative, but which may nevertheless impair or affect injuriously the title to the
property.
It must have a prima facie appearance of validity or legal efficacy.
Cloud on a title must have a semblance of validity which appears in some legal form but which is in
fact unfounded.
Invalidity or inoperativeness must be proven by an extrinsic evidence.

B. Prescription of Action to Quiet Title

If plaintiff is in possession: imprescriptible


If plaintiff is not in possession: prescribes within period of filing accion publiciana, accion
reivindicatoria

OLVIGA v CA (1993)
PINGOL v CA (1993)
C. Who are Entitled to Bring Action?
Rule 64, Sec. 1, Par 2, Rules of Court The
D. Notes
1.

2.
3.
4.

There is a cloud on title to real property or any interest to real property.


Art 476 Whenever there is a cloud on title to real property OR any interest therein, by reason of any
instrument, record, claim, encumbrance, or proceeding which is apparently valid or effective but is in truth
and in fact invalid, ineffective, voidable or unenforceable, and may be prejudicial to said title, an action
may be brought to remove such cloud or to quiet the title.
An action may also be brought to prevent a cloud from being cast upon title to real property or any interest
therein.
Plaintiff has legal or equitable title to or interest in the subject/real property.
Instrument record claim, etc must be valid and binding on its face, but in truth and in fact, invalid,
ineffective, voidable or unenforceable.
Plaintiff must return benefits received from defendant.

TITONG v CA (1998)

PROPERTY Prof. Labitag


5.

Actions to quiet title are proceedings quasi in rem.

SPS. PORTIC v CRISTOBAL (2005)

Page 16 of 49

PROPERTY Prof. Labitag

Page 17 of 49

V. CO-OWNERSHIP
A. Definition

CO-OWNERSHIP

The right of common dominion which two or more persons have a spiritual part (or ideal portion) or a
thing which is not physically divided.

B. Characteristics of co-ownership
1.
2.
3.
4.

There is plurality of owners, but only one real right of ownership.


The recognition of ideal shares, defined but not physically identified.
Each co-owner has absolute control over his ideal share.
Mutual respect among co-owners in regard to use and enjoyment and preservation of thing as a whole.

PARDELL v BARTOLOME ( )
C. Differences between Co-ownership and Joint Tenancy
Co-ownership

Joint Tenancy

D. Differences between Co-ownership and Partnership


Co-ownership
GATCHALIAN v COLLECTOR ( )
E. Source of Co-ownership
1.

Law
i.

Cohabitation
Art 147, FC
Art 148, FC
Art 90

ii.

Purchase
Art 1452

iii.

Succession
Intestate: Art 1452
Testate: Property is given to 2 or more heirs

iv.

Donation
Art 753
Art 573, 2nd Par

v.

Chance
Art 472

SIARI VALLEY ESTATE v LUCASAN ()


vi.

Hidden treasure
Art 348

Partnership

PROPERTY Prof. Labitag


vii.

Easement of party wall


Art 658

viii.

Occupation

Page 18 of 49

PUNZALAN v BOON LIAT ( )


ix.
2.

Condominium Law
Sec 6 (c), RA 4726
Contracts
a.

By agreement
Duration of co-ownership: Art 494

b.

Universal partnership
Art 1778
Art 1779
Art 1780

c.

Associations and societies with secret articles


Art 1775

F.

Rights of each co-owner as to the thing owned in common

1.

To use the thing according to the purpose intended may be altered by agreement, express or implied,
provided:
a. It is without injury or prejudice to interest of co-ownership and;
b. Without preventing the use of other co-owners
Art 486

PARDELL v BARTOLOME ( )
2.

To share in the benefits in proportion to his interest, provided the charges are borne by each in the same
proportion
Art 485

3.

Contrary stipulation is void


Presumption is that portions are equal unless contrary is proved

Each co-owner may bring an action in ejectment


Art 487

RESUENA v CA (2005)
ACABAL v ACABAL (2005)
4.

To compel other co-owner to contribute:


a. to expenses for preservation of the thing or right owned in common
b. to payment of taxes
Art 488

5.

Co-owners option not to contribute by waiving his undivided interest equal to amount of
contribution dacion en pago
Exception: if waiver is prejudicial to co-ownership
Requisites before repairs for preservation may be made or expenses for embellishment or
improvement may be made
Art 489
Effects of failure to notify co-owners

To oppose any act of alteration


Remedy of other co-owners re acts of alteration

PROPERTY Prof. Labitag

Page 19 of 49

Art 491
ACTS OF ALTERATION
a.

Concept
Any change injurious to the thing owned in common or to the rights of other co-owners or
Any change material to the use, destination or state of thing which act is in violation of the
express or tacit agreement of the co-owners

b.

Distinguished from acts of administration


Art 492
Acts of Alteration

c.

Acts of Administration

Effect of acts of alteration and remedies of non-consenting co-owner

QUERY: Is lease of real property owned in common an act of alteration?


Art 647
in relation to Art 1878 (8)
6.

To protect against acts of majority which are prejudicial to minority


Art 492, 3rd Par

LAVADIA v COSME ()
MELENCIO v DY TIAO LAY ()
TUASON v TUASON ()
7.

To exercise legal redemption


Art 1620
Art 1623

MARIANO v CA ()
VERDAD v CA ()
8.

To ask for partition


Art 494

RAMIREZ v RAMIREZ ()
AGUILAR v CA (1993)
VDA DE APE v CA (2005)
9.

Other cases where legal right of redemption is given


Art 1621
Art 1622

HALILI v CA (1998)
FRANCISCO v BOISER (2000)
G. Implications of co-owners right over his ideal share
1.

Co-owner has the right:


a.
b.
c.
d.

2.

To share in fruits and benefits


To alienate, mortgage or encumber and dispose of his ideal share
BUT: Other co-owners may exercise right of legal redemption
To substitute another person in the enjoyment of thing
To renounce part of his interest to reimburse necessary expenses incurred by another owner
Art 488

Effect of transaction by each co-owner


a.

Limited to his share in the partition

PROPERTY Prof. Labitag


b.
c.

Page 20 of 49

Transferee does not acquire any specific portion of whole property until partition
Creditors of co-owners may intervene in partition or attack the same if prejudicial
Art 499
EXCEPT that creditors cannot ask for rescission even if not notified in the absence of fraud
Art 497

CARVAJAL v CA ()
PAMPLONA v MORETO ()
CASTRO v ATIENZA ()
ESTOQUE v PAJIMULA ()
DIVERSIFIED CREDIT v ROSADO ()
PNB v CA ()
H. Rules on co-ownership not applicable to conjugal partnership of gains or absolute community
of property
I.

Special rules on co-ownership of different stories of a house as differentiated from provisions


of Condominium Law (Act No. 4726)

1.

Concept of Condominium

2.

Essential requisites for Condominium

3.

Rights and obligations of Condominium owner

SUNSENT VIEW CONDOMINIUM v JUDGE CAMPOS (1981)


J.

Extinguishment of co-ownership

1.

Total destruction of thing

2.

Merger of all interests in one person

3.

Acquisitive prescription
a.
b.

By a third person
By one co-owner as against the other co-owners

REQUISITES - Unequivocal acts of:


i.
Unequivocal acts of repudiation of co-ownership (acts amounting to ouster of other coowners) known to other co-owners and shown by clear and convincing evidence
ii.
Open and adverse possession, not mere silent possession for the required period of
extraordinary acquisitive prescription
iii.
The presumption is that possession by co-owner is not adverse

CAPITLE v DE GABAN (2004)


4.

Partition or division
a.

Right to ask for partition at any time, EXCEPT:


i.

When there is a stipulation against it (should not be over 10 years)


Art

ii.

When condition of indivision is imposed by transferor (donor or testator) not exceeding 20


years
Art 494

iii.

When the legal nature of community prevents partition (party wall)


Art

iv.

When partition is generally prohibited by law

PROPERTY Prof. Labitag

Page 21 of 49

E.g. absolute community of property


v.

When partition would render the thing unserviceable (but the thing may be sold and co-owners
divide the proceeds)
Art 494

Action for partition will fail if acquisitive prescription has set in

b.

Effect of partition
Art 1091
Art 543
Art 1092
Art 1093
Art 499
Art 500
Art 501

c.

Right of creditors of individual co-owners


Art 497

d.

Procedure for partition


Rule 69, Rules of Court

PROPERTY Prof. Labitag

Page 22 of 49

VI. POSSESSION
A. Definition and Concept

POSSESSION

Is the holding of a thing OR the enjoyment of a right, whether by material occupation or by the fact
that the thing or the right is subjected to the action of our will
It is a real right independent of and apart from ownership i.e. the right of possession (jus possessionis)
as distinguished from the right to possess (jus possidendi)

B. Essential Requisites of Possession


1.

Holding or control of a thing or right (corpus) consists of either


a.
b.
c.

The material or physical holding or occupation either


Exercise of a right
Constructive possession (intention to possess is very crucial)

RAMOS v DIRECTOR OF LANDS ( )


DIRECTOR v CA ( )
2.

Intention to possess (animus possidendi)

C. Degrees of Holding of Possession


1.

Mere holding or possession without title whatsoever and in violation of the right of the owner
E.g. possession of a thief/robber or a usurper of land

2.

Possession with a juridical title, but not that of ownership


E.g. possession of tenant, depository agent, bailee, trustee, lessee, antichretic creditor.

This degree of possession will never ripen into full ownership as long as there is no repudiation
of concept under which property is held.

3.

Possession with a just title or title sufficient to transfer ownership, but not from the true owner
E.g. possession of a vendee from vendor who pretends to be the owner

This degree of possession ripens into full ownership by lapse of time.

4.

Possession with a just title from the true owner

The delivery of possession transfers ownership, and strictly speaking, is the jus possidendi.

D. Cases of Possession
1.

Possession for oneself or possession exercised in ones own name and possession in the name of
another
Art 524

2.

Possession in the concept of an owner and possession in the concept of a mere holder with the
ownership belonging to another
Art 525

3.

Possession in good faith and possession in bad faith


Art 526

PLEASANTVILLE DEVT CORP v CA ( )


a.

Mistake upon a doubtful or difficult question of law as a basis of good faith

KASILAG v ROQUE (1939)

PROPERTY Prof. Labitag

Page 23 of 49

E. What things or rights may be possessed


Art 530 Only things or rights susceptible of appropriation may be the object of possession
F.

What may not be possessed by private persons

1.

Res Communes

2.

Property of public dominion

3.

Right under discontinuous and/or non-apparent easement

G. Acquisition of Possession
1.

Ways of acquiring possession


Art 531
a.

Material occupation of the thing

b.

Subject to the action of our will


i.
Doctrine of constructive possession
ii.
Includes constructive delivery
1) Traditio brevi manu thing is already in transferees hands

E.g. under a contract of lease, then delivered under a sale


2) Traditio constitutum possessorium thing remains in transferors hands

E.g. sale, then retained under a commodatum

c.

Proper acts and legal formalities

Refers to the acquisition of possession by:


Sufficient title
Inter vivos
Mortis causa
Lucrative or onerous

Includes traditio longa manu and tradition simbolica, donations, succession (testate or
intestate), contracts, judicial writs of possession, writ of execution of judgments, execution and
registration of public instruments

BANCO ESPANOL FILIPINO v PETERSON ( )


2.

By whom possession be acquired


Art 532
a.

b.

By same person
ELEMENTS OF PERSONAL ACQUISITION
1. Capacity to acquire possession
2. Intention to possess
3. Possibility of acquiring possession
By his legal representatives
REQUISITES

c.

By his agent

d.

By any person without any power whatsoever but subject to ratification, without prejudice to the
proper case of negotiorum gestio
Art 2144
Art 4129
Art 2150

PROPERTY Prof. Labitag


e.
3.

Page 24 of 49

Qualifiedly, minors and incapacitated persons


Art 535

What do not affect possession


Art 537
Art 1119
a.

Acts merely tolerated


Art 537

MACASAET v MACASAET (2004)


b.

Acts executed clandestinely and without the knowledge of the possessor


Art 537

c.

Acts by violence as long as possessor objects thereto (i.e. he files a case)


Art 536

CUAYCONG v BENEDICTO ()
ASTUDILLO v PHHC ()
PERAN v CFI ()
4.

Rule to solve conflict of possession


Art 538

GENERAL RULE: Possession cannot be recognized in two different personalities.


EXCEPTION: In cases of co-possession by co-possessors without conflicting claims or interest
In case
a.
b.
c.
d.

of conflicting possession, preference is given to:


Present possessor or actual possessor
If there are 2 or more possessors, the one longer in possession
If dates of possession are the same, the one who presents a title
If all conditions are equal, the thing shall be placed in judicial deposit pending determination of
possession or ownership through proper proceedings

H. Effects of Possession
1.

In general, every possessor has a right to be respected in his possession; if disturbed therein,
possessor has right to be protected in or restored to said possession
Art 539
a.
i.

Actions to recover possession


Accion interdictal or Summary proceedings forcible entry and unlawful detainer
Plaintiff may ask for writ of preliminary mandatory injunction
Within 10 days from the filing of complaint in forcible entry
Art 539

YU v HONRADO ( )
ii.

Accion publiciana based on superior right of possession, not ownership

iii.

Accion reivindicatoria recovery of ownership, including the right to possess

iv.

Action for replevin possession or ownership for movable property

b.

Lawful possessor can employ self-help


Art 429

2.

Entitlement to fruits possessor in good faith/bad faith


Art 544
Art 549

3.

Reimbursement for expenses possessor in good faith/bad faith

PROPERTY Prof. Labitag

Page 25 of 49

Liability for loss or deterioration of property by possessor in bad faith


Art 553
Art 552
4.

Possession of movable acquired in good faith (in concept of owner) is equivalent to title
Art 559

Possessor has actual title which is defeasible only by true owner


One who has lost a movable or has been unlawfully deprived thereof may recover it but without
reimbursement
EXCEPT: If possessor acquired it at a public sale

I.

Effect of possession in the concept of an owner

1.

Possession may by lapse of time ripen into full ownership, subject to certain exceptions.

2.

Presumption of just title and cannot be obliged to show or prove it


Art 541
EXCEPTION: Art 1131

3.

Possessor may bring all actions necessary to protect his possession except accion reivindicatoria

4.

May employ self-help under Art 429

5.

Possessor may ask for inscription of such real right of possession in the Registry of Property

6.

Has rights to fruits and reimbursements for expenses (assuming he is a possessor in good faith)

7.

Upon recovery of possession which he has been unlawfully deprived, may demand fruits and damages

8.

Generally, he can do on the things possessed everything that the law authorizes the owner to do until he is
ousted by the one who has a better right

9.

Possession in good faith and possession in bad faith


Art 528

Mistake upon a doubtful or difficult question of law as a basis of good faith


Art 526, Par 3

J.

Presumptions in favor of the possessor

1.

Of good faith until the contrary is proved


Art 528

2.

Of continuity of initial good faith in which possession was commenced or possession in good faith does
not lose his character except in the case and from the moment possessor became aware or is not unaware
of improper or wrongful possession
Art 528

CORDERO v CABRAL ( )
3.

Of enjoyment of possession in the same character in which possession was acquired until contrary is
proved
Art 529

4.

Of non-interruption of possession in favor of present possessor who proves possession at a previous


time until the contrary is proved
Art 554
Art 1120
Art 1121
Art 1122
Art 1123
Art 1124

PROPERTY Prof. Labitag

Page 26 of 49

5.

Of continuous possession or non-interruption of possession of which he was wrongfully deprived for all
purposes favorable to him
Art 561

6.

Other presumptions with respect to specific properties of property rights


a.

Of extension of possession of real property to all movables contained therein so long as it is


not shown that they should be excluded
Art 426

b. Non-interruption of possession of hereditary property


Art 533
Art 1078
c.

Of just title in favor of possessor in concept of owner


Art 541
cf. Art 1141

K. Possession may be lost by


1.
2.
3.
4.

Abandonment
Assignment, either onerous or gratuitous
Destruction or total loss of thing or it goes out of commerce
Possession by another; if possession has lasted longer than one year; real right of possession not lost until
after 10 years

Subject to Art 537 (on acts merely tolerated, etc)


A.

PROPERTY Prof. Labitag

Page 27 of 49

VII. USUFRUCT
A. Concept
Art 562

USUFRUCT

Is a real right, temporary in character that authorizes the holder to enjoy all the advantages derived
from a normal exploitation of anothers property, according to its destination or purpose, and imposes
an obligation of restoring at the time specified, either the thing itself or its equivalent.

B. Historical Considerations
C. Characteristics of Usufruct
D. Usufruct Distinguished from Lease; from Servitude
Usufruct

Lease

Usufruct

Servitude

E. Classes of Usufruct
1.

By origin
a.
b.
c.

2.

By person enjoying the right of usufruct


a.
b.

3.

Simple
Multiple
i.
Simultaneous
ii.
Succession
Limitation on successive usufruct
Art 756
Art 863
Art 869

By object of usufruct
a.
b.

4.

Voluntary
Legal
Art 321
Art 226, FC
Mixed

Rights
Art 574
Things
i.
Normal
ii.
Abnormal, irregular or quasi-usufruct

By the extent of usufruct


a.

As to the fruits
i. Total

PROPERTY Prof. Labitag


ii.

Partial
Art 598

b.

As to object
i. Singular
ii. Universal
Art 595
Subject to provisions of:
Art 758
Art 759

5.

By the terms of the usufruct


Art 564
a.
b.
c.

Pure
Conditional
With a term (period)

F.

Rights of Usufructuary

1.

As to the thing and its fruit


a.

Right to possess and enjoy the thing itself, its fruits and accessions

Fruits consist of natural, industrial and civil fruits

As to hidden treasure, usufructuary is considered a stranger


Art 566
Art 436

Fruits pending at the beginning of usufruct


Art 567

Civil fruits
Art 569
Art 588

b.

Right to lease the thing


Art 572

Limitations

Liability of usufructuary
Art 590

Exceptions to right of leasing the thing

FABIE v DAVID ()
c.
2.

Right to improve the thing


Art 579

As to the legal right of usufruct itself


a. Right to mortgage
Right of usufruct
Art 572
b.

Right to alienate the usufruct


EXCEPT:

In purely personal usufructs

When title constituting it prohibits the same

G. Rights of Naked Owner


1.

At the beginning, during, and termination of usufruct

Page 28 of 49

PROPERTY Prof. Labitag

Page 29 of 49

(See obligations of usufructuary at the beginning of the usufruct)


2.

During the usufruct


a. Retains title to the thing or property
b. He may alienate the property
Limitations:
Art 581

H. Obligations of Usufructuary
1.

At the beginning of usufruct or before exercising the usufruct


a.

To make inventory
Art 583
i.

REQUISITES OF INVENTORY
1) Immovables described
2) Movables appraised

ii.

EXCEPTION TO REQUIREMENT OF INVENTORY


1) No one will be injured thereby
Art 585
2) Title constituting usufruct excused the making of inventory
3) Title constituting usufruct already makes an inventory

b.

2.

To give a bond for the faithful performance of duties as usufructuary


i.

No bond are required in the following:


1) No prejudice would result
Art 585
2) Usufruct is reserved by donor
Art 584
3) Title constituting usufruct excused usufructuary
4) If usufructuary takes possession under a caucion juratoria

ii.

Effect of filing a bond


Art 588

iii.

Effect of failure to give bond


Art 586
Art 599

During the usufruct


a.

To take care of the thing like a good father of a family


Art 589
Effect of failure to comply with obligation
Art 610

b.

To undertake ordinary repairs


Art 592
ORDINARY REPAIRS

c.

To notify owner of need to undertake extra-ordinary repairs


Art 593
EXTRA-ORDINARY REPAIRS
1) Concept of extraordinary repairs
2) Naked owner obliged to undertake them but when made by owner, usufructuary pays legal
interest on the amount while usufruct lasts
Art 594, 1st Par
3) Naked owner cannot be compelled to undertake extraordinary repairs

If indispensable and owner fails to undertake extraordinary repairs, it may be made by


usufructuary;

PROPERTY Prof. Labitag

Page 30 of 49

Repairs usufructuary rights


Art 594, 2nd Par
d.

To pay for annual charges and taxes on the fruits

BD. OF ASSESSMENT APPEALS OF ZAMBOANGA DEL SUR v SAMAR MINING COMPANY INC ()

3.

e.

To notify owner of any act detrimental to ownership


Art 601

f.

To shoulder the costs of litigation re usufruct


Art 602

g.

To answer for fault or negligence of alienee, lessee or agent of usufructuary


Art 590

At the time of termination of the usufruct


a.

To deliver the thing in usufruct to the owner in the condition in which he has received it, after
undertaking ordinary repairs
EXCEPTION: abnormal usufruct

I.

Special Cases of Usufruct

1.

Usufruct over a pension or periodical income


Art 570

2.

Usufruct of property owned in common


Art 582

3.

Usufruct of head of cattle


Art 591

4.

Usufruct over vineyards and woodlands


Art 575
Art 576

5.

Usufruct on a right of action


Art 578

6.

Usufruct on mortgaged property


Art 600

7.

Usufruct over an entire patrimony


Art 598
Liability of usufructuary for debts

8.

Usufruct over deteriorable property


Art 578

9.

Usufruct over consumable property (or quasi-usufruct)


Art 574

J.

Extinguishment of Usufruct
Art 603

1.

Death of usufructuary
EXCEPTION: unless a contrary intention clearly appeals

2.

Expiration of period or fulfillment of resolutory condition imposed on usufruct by person constituting the
usufruct

Time may elapse before a third person attains a certain age, even if the latter dies before period
expires unless granted only in consideration of his existence

PROPERTY Prof. Labitag

Page 31 of 49

Art 606
BALURAN v NAVARRO ()
NHA v CA ()
BULACAN GARDEN CORP v MANILA SEEDLING BANK ()
3.

Merger of rights of usufruct and naked ownership in one person

4.

Renunciation of usufruct
a. Limitations
b. Must be express
c. If made in fraud of creditors, waiver may be rescinded by them through action under Art 1381

5.

Extinction or loss of property


a.

b.

If destroyed property is insured before the termination of the usufruct


Art 608
1.

When insurance premium paid by owner and usufructuary


Art 608, 1st Par
i.
If owner rebuilds, usufruct subsists on new building
ii.
If owner does not rebuild, interest upon insurance proceeds paid to usufructuary

2.

When the insurance taken by owner only because usufructuary refuses


Art 608, 2nd Par
i.
Owner entitled to insurance money (no interest paid to usufructuary)
ii.
If he does not rebuild, usufruct continues over remaining land and/or owner may pay
interest on value of both
Art 607
iii.
If owner rebuilds, usufruct does not continue on new building, but owner must pay interest
on value on land and old materials

3.

When insurance taken by usufructuary only depends on value of usufructuarys insurable


interest (not provided for in the Civil Code)
i.
Insurance proceeds to usufructuary
ii.
No obligation to rebuild
iii.
Usufruct continues on the land
iv.
Owner does not share in insurance proceeds

If destroyed property is not insured


Art 607
1.

If building forms part of an immovable under usufruct


i. If owner does not rebuild, usufruct continues over the land and materials
ii. If owner rebuilds, usufructuary must allow owner to occupy the land and to make use of
materials, but value of both land and materials (____???)

6.

Termination of right of person constituting the usufruct

7.

Prescription
Cases covered:
a. If third party acquires ownership of thing or property in usufruct
b. Right of ownership lost through prescription
c. Right of usufruct not began within prescriptive period
d. If there is a tacit abandonment or non-user of thing held in usufruct for required period

8.

What do not cause extinguishment of usufruct


a.

Expropriation of thing in usufruct


Art 609

b.

Bad use of thing in usufruct


Art 810

PROPERTY Prof. Labitag


Owners right
c.

Usufruct over a building


Art 607
Art 608
K.

Page 32 of 49

PROPERTY Prof. Labitag

Page 33 of 49

VIII. EASEMENTS OR SERVITUDES


A. Definition

EASEMENT or REAL SERVITUDES

Is a real right which burdens a thing with a prestation consisting of determinate servitudes for the
exclusive enjoyment of a person who is not its owner or of a tenement belonging to another,
Is the real right over an immovable by nature i.e. land and buildings, by virtue of which the owner of
the same has to abstain from doing or to allow somebody else to do something in his property for the
benefit of another thing or person.

B. Essential feature of easements/real servitudes/praedial servitudes


1.

It is a real right, i.e. it gives an action in rem or real action against any possessor of servient estate.

2.

It is a right enjoyed over another property (jus in re aliena or a right in the property of another) i.e. it
cannot exist in ones own property (nemini nulli res sua servit or no one can have servitude on a property
of his own).

3.

It is a right constituted over an immovable by nature (land and buildings), not over immovables.

4.

It limits the servient owners right of ownership for the benefit of the dominant estate Right of limited
use, but no right to possess servient estate. Being an abnormal limitation of ownership, it cannot be
presumed.

5.

It creates a relation between tenements.

6.

It cannot consists in requiring the owner of the servient estate to do an act (servitus in faciendo consistere
nequit or servitudes may not impose positive acts) unless the act is accessory to a praedial servitude
(obligation propter rem)

7.

Generally, it may consist in the owner of the dominant estate demanding that the owner of the servient
estate refrain from doing something (servitus in non faciendo), or that the latter permit that
something be done over the servient property (servitus in patendo), but not in the right to demand that
the owner of the servient estate to do something (servitus in faciendo) EXCEPT if such act is an
accessory obligation to a praedial servitude (obligation propter rem)

CHARACTERISTICS OF EASEMENTS (Nos. 8-11)


8.

It is inherent or inseparable from estate to which they actively or passively belong.


Art 617

9.

It is intransmissible, i.e. it cannot be alienated separately from the tenement affected, or benefited.

10. It is indivisible.
Art 616
11. It has permanence, i.e. once it attaches, whether used or not, it continues and may be used anytime.
C. Classification of Servitudes
1.

As to recipient of benefits
a.
b.

Real or Praedial
Personal
N.B.: Under Roman Law, usufruct together with usus habitatio, and operae servorum were classified as
personal servitude]
Art 614

PROPERTY Prof. Labitag


2.

As to course or origin
a.
b.

3.

Continuous
Discontinuous

As indication of its existence


Art 615
a.
b.

5.

Legal, whether for public use or for the interest of private persons
Art 634
Voluntary

As to its exercise
Art 615
a.
b.

4.

Page 34 of 49

Apparent
Non-apparent

By the object or obligation imposed


Art 616
a.
b.

Positive
Negative

Prescription starts to run from service of notarial prohibition

D. General rules relating to servitudes


1.
2.
3.
4.
5.

No one can have a servitude over his own property (nulli res sua servit)
A servitude cannot consist in doing (servitus in faciendo consistere nequit)
There cannot be a servitude over another servitude (servitus servitudes esse non potest)
A servitude must be exercised civiliter, i.e. in a way least burdensome to the owner of the land.
A servitude must have a perpetual cause.

E. Modes of acquiring easements


NORTH NEGROS v HIDALGO ()
1.

By title

Juridical act which give rise to the servitude e.g. law, donations, contracts or wills

DUMANGAS v BISHOP OF JARO ()


a.

If easement has been acquired but no proof of existence of easement available, and easement is one
that cannot be acquired by prescription, then
i.
May be cured by deed of recognition by owner of servient estate
ii.
By final judgment
iii.
Existence of an apparent sign considered a title
Art 624

AMOR v FLORENTINO ()
2.

By prescription

RONQUILLO v ROCO ()
F.

Rights and obligations of owners of dominant and servient estates

Dominant Estate
1.

Right of owner of dominant estate


a.

To use the easement

PROPERTY Prof. Labitag

b.
c.

Page 35 of 49

Art 626
To exercise all rights necessary for the use of the easement
Art 625
To do, at his expense, all necessary works for the use and preservation of the easement
Art 627
In a right of way, to ask for change in width of easement sufficient for needs of dominant estate
Art 651

DE LUNA v ENCARNACION ()
2.

Obligations of the owner of dominant estate


a.
b.
c.

To use the easement for benefit of immovable and in the manner originally established
Art 626
To notify owner of servient estate before making repairs and to make repairs in a manner least
inconvenient to servient estate
Art 627
Not to alter easement or render it more burdensome
Art 627

VALDERRAMA v NORTH NEGROS ()


d.

To contribute to expenses of works necessary for use and preservation of servitude, if there are
several dominant estates, unless he renounces his interest
Art 628

Servient Estate
3.

4.

Rights of owner of servient estate


a.

To retain ownership and use of his property


Art 630

b.

To change the place and manner of use the easement


Art 629, 2nd Par

Obligations of the servient estate


a.

Not to impair the use of the easement


Art 628, 1st Par

b.

To contribute proportionately to expenses if he uses the easement


Art 628, 2nd Par

G. Modes of extinguishment of easements


Art 631 Easements are extinguished by:
1.

Merger in the same person of the ownership of the dominant and servient estates

Must be absolute, perfect and definite, not merely temporary

2.

Non-user for 10 years


a. Computation of the period
i.
Discontinuous easements counted from the day they ceased to be used
ii.
Continuous easements counted from the day an act adverse to the exercise took place
b. The use by a co-owner of the dominant estate bars prescription with respect to the others
Art 633
c. Servitudes not yet exercised cannot be extinguished by non-use

3.

Extinguishment by impossibility of use

4.

Expiration of the term or fulfillment of resolutory condition

PROPERTY Prof. Labitag

Page 36 of 49

5.

Renunciation of the owner of dominant estate

Must be specific, clear, express (distinguished from non-user)

6.

Redemption agreed upon between the owners

7.

Other causes not mentioned in Art 631


a. Annulment or rescission of the title constituting the easement
b. Termination of the right of grantor
c. Abandonment of the servient estate
d. Eminent domain
e. Special cause for extinction of legal easement of rights of way; if right of way no longer necessary

H. Legal Easements
1.

2.

Law governing legal easements


a.

For public easements


i.
Special laws and regulations relating thereto
1) PD 1067 Water Code
2) PD 705 Forestry Reform Code
ii.
Provisions of Chapter 2, Title VII, Book II of CC (Legal Easements)

b.

For private legal easements


i.
By agreement of the interested parties whenever the law does not prohibit it and no injury is
suffered by a 3rd person
ii.
By the provisions of Chapter 2, Title VII, Book II of CC (Legal Easements)

Private legal easements provided for by the New Civil Code


a) Those established for the use of water or easements relating to waters

1) Natural drainage of waters


Art 637
ONGSIAKO v ONGSIAKO ()
2) Easements on lands along riverbanks
Art 638
See Water Code
3) Abutment of a dam
Art 639
4) Aqueduct
Art 642
Art 643
Art 644
Art 645
Art 646
5) Drawing waters and watering animals
Art 640
Art 641
6) Stop lock or sluice gate
Art 649
b) The easement of right of way
Art
Art
Art
Art

649
650
651
652

PROPERTY Prof. Labitag


Art
Art
Art
Art
Art

653
654
655
656
657

QUIMEN v CA (1996)
CHAN v CA ()
LA VISTA ASSN v CA (1997)
VDA. DE BELTAZAr v CA ()
SPS. DELA CRUZ v RAMISCAL (2005)
c)

The easement of party wall

Art
Art
Art
Art
Art
Art
Art
Art
Art

658
659
660
661
662
663
664
665
666

d) The easement of light and view


Art
Art
Art
Art
Art
Art
Art

667
668
669
670
671
672
673

e) The easement of drainage of buildings


Art 674
Art 675
Art 676
f)

The easement of distance for certain constructions

Art
Art
Art
Art
Art

677
678
679
680
681

g) The easement against nuisances


Art 682
Art 683
h) The easement of lateral and subjacent supports
Art
Art
Art
Art

684
685
686
687

Page 37 of 49

PROPERTY Prof. Labitag

Page 38 of 49

BOOK III DIFFERENT MODES OF


ACQUIRING OWNERSHIP
Mode and Title Differentiated

MODE

The specific cause which produces dominion and other real rights as a result of the co-existence of
special status of things, capacity and intention of persons and fulfillment of requisites of law
Proximate cause

TITLE

Every juridical right which gives a means to the acquisition of real rights but which in itself is
insufficient
Remote cause

Modes of Acquiring Ownership


ORIGINAL MODES

Which produce the acquisition of ownership independent of any pre-existing right of another person,
hence, free from any burdens or encumbrances
a.
b.

Occupation
Intellectual creation

DERIVATIVE MODES

Based on a right previously held by another person and therefore, subject to the same characteristics,
powers, burden etc as when held by previous owner

Law - e.g.
o Registration under Act 496
o Estoppel of title
Art 1434
o Marriage under ACP
o Hidden treasure
o Accession
Art 445
o Change in rivers course
Art 461
o Accession continua over movables
Art 466
Art 6681
Art 1456
Art 120
a)
b)
c)
d)

Donation
Succession
Prescription
Tradition
REQUISITES:
(1) Pre-existence of right in estate of grantor
(2) Just cause or title for the transmission
(3) Intention (of both grantor and grantee)
(4) Capacity (to transmit and to acquire)
(5) An act giving it outward form, physically, symbolically or legally

PROPERTY Prof. Labitag

Page 39 of 49

LEGAL MAXIM: Non nudis pactis, sed traditione, dominia rerum transferentur (Not by mere agreement, but
by delivery, is ownership transferred.)
KINDS OF TRADITION
b.
c.

Real tradition
Constructive tradition
i. Symbolical delivery
ii. Delivery of public instrument
iii. Traditio longamanu
iv. Traditio brevi manu
v. Traditio constitutum possessorium
vi. Quasi-tradition
vii. Tradition by operation of law

Occupation
a.

Not applicable to ownership of a piece of land


Art 714

b.

Privilege to hunt and fish regulated by special law


Art 715

c.

Occupation of a swarm of bees or domesticated animals


Art 716
Art 560

d.

Pigeons and fish


Art 717

e.

Hidden treasure
Art 718
Art 438
Art 439

f.

Lost movables
Art 719
Art 720
Procedure after finding lost movables

Intellectual creation
Intellectual Property Code (RA 8293)
Intellectual Property Rights (IPR):
a. Copyright & related rights
b. Trademarks & service marks
c. Geographic indications
d. Industrial designs
e. Patents
f. Topographies of integrated circuits
g. Rights of performers, producers of sound recordings & broadcasting orgs
h. Protection of undisclosed information
i. Laws repealed by the IPC
Sec 239 All acts and part of acts inconsistent with Intellectual Property Code, particularly:

PD 49 Intellectual Property Decree, including PD 285 as amended

RA 165, as amended Patent Law

RA 166, as amended

Arts 188 and 189 of the RPC

PROPERTY Prof. Labitag

Page 40 of 49

DONATION
Nature of donation

A bilateral contract creating unilateral obligations on donors part

Requisites of donation
a.
b.
c.
d.
NOTE

Consent and capacity of the parties


Animus donandi (causa)
Delivery of the thing donated
Form as prescribed by law
There must be impoverishment (in fact) of donors patrimony and enrichment on part of donee

Kinds of donation
1.

As to its taking effect


a. Inter vivos
Art 729
Art 730
Art 731
b. Mortis causa
Art 728
c. Propter nuptias
Art 82, FC
Art 87, FC

2.

As to
a.
b.
c.

3.

As to effectivity or extinguishment
a. Pure
b. Conditional
Art 730
Art 731
EFFECT OF AN IMPOSSIBLE CONDITION:
c. With a term

4.

Importance of classification
a. As to form
b. As to governing rules
c. As to impossible conditions
Art 727
Art 1183

5.

Characteristics of a donation mortis causa


a. Convey no title or ownership before donors death
b. Before donors death, transfer is revocable
c. Transfer is void if donor survives donee

cause or consideration
Simple
Remuneratory
Onerous imposes a burden inferior to the value of property donated
i. Improper burden equal in value to property donated
ii. Sub-modo or modal E.g. imposes a prestation upon donee as to how property
donated will be applied
Art 882
iii. Mixed donations negotium mixtum cum donatione e.g. sale for price lower than value
of property

PROPERTY Prof. Labitag


6.

Page 41 of 49

Distinction between donation mortis causa and donation inter vivos


a. What is important is the time of transfer of ownership even if transfer of property donated may
be subject to a condition or a term
b. Importance of classification validity and revocation of donation

Who may not give or receive donations


Art
Art
Art
Art
Art

735
737
738
741
742

Who may give or receive donations


Art
Art
Art
Art
Art
Art
Art

736
739
1027
1032
740
743
744

Acceptance of donation
1.

Who may accept


Art 745
Art 747

2.

Time of acceptance
a. of donation inter vivos
Art 746
b. of donation mortis causa

Form of donations
1.

Personal property
Art 748

2.

Real property
Art 749

3.

Rules in Art 748 and Art 749 not applicable to:


a. Onerous donations
b. Modal donations
c. Mortis causa donations
d. Donations propter nuptias

What may be donated


1.

All present property, or part thereof, of donor


a.

PROVIDED, he reserves in full ownership or usufruct, sufficient means for support of himself and all
relatives entitled to be supported by donor at the time of acceptance

PROPERTY Prof. Labitag

Page 42 of 49

Art 750
b.

PROVIDED, that no person may give or receive, by way of donation, more than he may give or
receive by will
Art 752
Also, reserves property sufficient to pay donors debts contracted before donation, otherwise,
donation is in fraud of creditors
Art 759
Art 1387

2.

If donation exceeds the disposable or free portion of his estate, donation is inofficious
EXCEPTIONS

3.

a.

Donations provided for in marriage settlements between future spouses not more than 1/5
of present property
Art 84, FC
Art 130, CC

b.

Donations propter nuptias by an ascendant consisting of jewelry, furniture or clothing not to


exceed 1/10 of disposable portion
Art 1070

What may not be donated


a.

Future property
Art 751 Anything which donor cannot dispose of at the time of donation
EXCEPTION

Marriage settlements of future spouses only in event of death to extent laid down in CC re:
testamentary succession
Art 84, FC
Art 130 CC

Effect of donation
A.

In general

SHOPPERS PARADISE REALTY v ROQUE (2004)


1.

Donee may demand actual delivery of thing donated

2.

Donee is subrogated to rights of donor in property donated


Art 754

3.

Donor not obliged to warrant things donated, EXCEPT in onerous donations in which case donor is
liable for eviction up to the extent of burden
Art 754

4.

Donor is liable for eviction or hidden defects in case of bad faith on his part
Art 754

5.

In donations propter nuptias, donor must release property donated from mortgages and other
encumbrances, unless contrary has been stipulated
Art 131, CC

6.

Donations to several donees jointly - no right of accretion, EXCEPT


a. Donor provides otherwise
b. Donation to husband and wife jointly with right of accretion (jus accrescendi) UNLESS donor
provides otherwise
Art 753

PROPERTY Prof. Labitag

Page 43 of 49

B. Special provisions
1.
2.
3.
4.

5.

Reservation by donor of power to dispose (in whole or in part) or to encumber property donated
Art 755
Donation of naked ownership to one donee and usufruct to another
Art 756
Conventional reversion in favor of donor or other person
Art 757
Payment of donors debt
Art 758
a. If expressly stipulated
o Donee to pay only debts contracted before the donation, UNLESS specified otherwise
o But in no case shall donee be responsible for debts exceeding the value of property donated,
UNLESS clearly intended
b. If there is no stipulation
o Donee answerable only for donors debt only in case of donation is in fraud of creditors
Illegal or impossible conditions
Art 727
Art 1183

Revocation and Reduction of Donations


A.

Revocation distinguished from reduction of donations


Revocation

Reduction

B. Causes of Reduction/Revocation
1.

2.

Inofficiousness of donation
Art 752
Art 771
Art 773
Art 911
Art 912
a.

Who may ask for reduction


Art 772

b.

Rule applied: If disposable portion is not sufficient to cover 2 or more donation


Art 773

Subsequent birth, reappearance of child or adoption of minor by donor


Art 760

C. Revocation only
1.

Ingratitude
a.

Causes
Art 765

b.

Time to file action for revocation


Art 769

c.

Who may file


Art 770

d.

Effect of revocation
On alienation and mortgages
Art 766

PROPERTY Prof. Labitag


Art 767
2.

Violation of condition
a.

Prescription of action

b.

Transmissibility of action

YULO AND SONS v ROMAN CATHOLIC BISHOP OF SAN PABLO (2005)


3.

Effect of revocation or reduction


Art 762
Art 764 Par 2
Art 767

4.

Effect as to fruits
Art 768

Page 44 of 49

PROPERTY Prof. Labitag

Page 45 of 49

PROPERTY Prof. Labitag

LEASE
A. General characteristics of every lease
1.
2.
3.

Temporary duration
Onerous
Price is fixed according to contract duration

B. Kinds of leases
1.

Lease of things movables and immovables

2.

Lease of work or contract of labor


Art 1700
Art 1701
Art 1702
Art 1703
Art 1704
Art 1705
Art 1706
Art 1707
Art 1708
Art 1709
Art 1710
Art 1711
Art 1712

3.

Lease of services
a.

Household service

b.

Contract for a piece of work


Art 1713
Art 1714
Art 1715
Art 1716
Art 1717
Art 1718
Art 1719
Art 1720
Art 1721
Art 1722
Art 1723
Art 1724
Art 1725
Art 1726
Art 1727
Art 1728
Art 1729
Art 1730
Art 1731

c.

Lease of services of common carriers


Art 1732
Art 1733
Art 1734
Art 1735
Art 1736

Page 46 of 49

PROPERTY Prof. Labitag


Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art
Art

1737
1738
1739
1740
1741
1742
1743
1744
1745
1746
1747
1748
1749
1750
1751
1752
1753
1754
1755
1756
1757
1758
1759
1760
1761
1762
1763

C. Lease of things
1.

Concept
Art 1643

2.

Consumable things cannot be the subject matter of lease


EXCEPT
Art 1645
a. Consumable only for display or advertising
(Lease ad pompam et ostentationem)
b. Goods are accessory to an industrial establishment

3.

Special characteristics of lease of things


a. Essential purpose is to transmit the use and enjoyment of a thing
b. Consensual
c. Onerous
d. Price fixed in relation to period of use or enjoyment
e. Temporary

4.

Lease distinguished from Sale, Usufruct, Commodatum

5.

Period of lease cannot be perpetual


a.
b.

Definite period not more than 99 years


Indefinite period
i. Rural land
Art 1682
ii. Urban land
Art 1687

6.

Assignment of lease
Art 1649

7.

Sublease
Art 1650

Page 47 of 49

PROPERTY Prof. Labitag

8.

9.

a.

House Rental Law (RA 9653)

b.

Obligation of sublessee to lessor


Art 1651
For rents
Art 1652

Rights and obligations of lessor and lessee


a.

Obligations of a lessor
Art 1654
Art 1661

b.

Obligations of lessee
Art 1657
Art 1662
Art 1663
Art 1665
Art 1668
Art 1667

c.

Right of lessee to suspend payment of rentals


Art 1658

d.

Right to ask for rescission


Art 1659
Art 1660

e.

Lessor not obliged to answer for mere act of trespass by a 3rd person
Art 1664

Grounds for ejectment of lessee by lessor


Art 1673
Note the grounds under the House Rental Law.
QUERY: Are they still effective?

10. Right to ask for writ of preliminary mandatory injunction in unlawful detainer cases
Art 1674
Art 539, Par 2
11. Implied extension of lease
Art 1670
Art 1682
Art 1687
Art 1675
12. Right of purchase of leased land
Art 1676
Art 1677
13. Useful improvements in good faith made by lessee
Art 1678
14. Special provisions for leases of rural lands
Art 1680
Art 1681
Art 1682
Art 1683
Art 1684
Art 1685
15. Special provisions for leases of urban lands
Art 1686

Page 48 of 49

PROPERTY Prof. Labitag


Art 1687
Art 1688

Page 49 of 49

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