Professional Documents
Culture Documents
PARAS, J.:
This is a petition for review on certiorari of the March 21, 1986 Decision * of the
Court of Appeals in AC-G.R. CV No. 02635, "Julita Ong etc. vs. Allied Banking
Corp. et al." affirming, with modification, the January 5, 1984 Decision of the
Regional Trial Court of Quezon City in Civil Case No. Q-35230.
The uncontroverted facts of this case, as found by the Court of Appeals, are as
follows:
...: Two (2) parcels of land in Quezon City Identified as Lot No.
12, Block 407, Psd 37326 with an area of 1960.6 sq. m. and Lot
No. 1, Psd 15021, with an area of 3,660.8 sq. m. are covered by
Transfer Certificate of Title No. 188705 in the name of "Alfredo
Ong Bio Hong married to Julita Go Ong "(Exh. D). Alfredo Ong
Bio Hong died on January 18, 1975 and Julita Go Ong was
appointed administratrix of her husband's estate in Civil Case No.
107089. The letters of administration was registered on TCT No.
188705 on October 23, 1979. Thereafter, Julita Go Ong sold Lot
No. 12 to Lim Che Boon, and TCT No. 188705 was partially
cancelled and TCT No. 262852 was issued in favor of Lim Che
Boon covering Lot No. 12 (Exh. D-4). On June 8, 1981 Julita Go
Ong through her attorney-in-fact Jovita K. Yeo (Exh. 1) mortgaged
Lot No. 1 to the Allied Banking Corporation to secure a loan of
P900,000.00 obtained by JK Exports, Inc. The mortgage was
registered on TCT No. 188705 on the same date with the following
notation: "... mortgagee's consent necessary in case of subsequent
alienation or encumbrance of the property other conditions set
forth in Doc. No. 340, Page No. 69, Book No. XIX, of the
Not.Public of Felixberto Abad". On the loan there was due the sum
of P828,000.00 and Allied Banking Corporation tried to collect it
from Julita Go Ong, (Exh. E). Hence, the complaint alleging
nullity of the contract for lack of judicial approval which the bank
had allegedly promised to secure from the court. In response
thereto, the bank averred that it was plaintiff Julita Go Ong who
promised to secure the court's approval, adding that Julita Go Ong
informed the defendant that she was processed the sum of
P300,000.00 by the JK Exports, Inc. which will also take charge of
the interest of the loan.
Concluding, the trial court ruled:
Absent (of) any evidence that the property in
question is the capital of the deceased husband
brought into the marriage, said property should
be presumed as acquired during the marriage
and, therefore, conjugal property,
After the dissolution of the marriage with the
death of plaintiff's husband, the plaintiff
acquired, by law, her conjugal share, together
with the hereditary rights thereon. (Margate vs.
Rabacal,
L-14302,
April
30,
1963).
Consequently, the mortgage constituted on said
property, upon express authority of plaintiff,
notwithstanding the lack of judicial approval, is
valid, with respect to her conjugal share thereon,
together with her hereditary rights.
On appeal by petitioner, respondent Court of Appeals affirmed, with modification,
the appealed decision (Record, pp. 19-22). The dispositive portion of the appellate
court's decision reads:
WHEREFORE, with the modification that the extrajudicial
foreclosure proceedings instituted by defendant against plaintiff
shall be held in abeyance to await the final result of Civil Case No.
In brief, the lower court found: (1) that the property under the administration of
petitioner the wife of the deceased, is a community property and not the separate
property of the latter; (2) that the mortgage was constituted in the wife's personal
capacity and not in her capacity as administratrix; and (3) that the mortgage affects
the wife's share in the community property and her inheritance in the estate of her
husband.
Petitioner, asserting that the mortgage is void for want of judicial approval, quoted
Section 7 of Rule 89 of the Rules of Court and cited several cases wherein this Court
ruled that the regulations provided in the said section are mandatory.
SO ORDERED.
On April 8, 1986, petitioner moved for the reconsideration of the said decision (Ibid.,
pp. 24-29), but in a Resolution dated September 11, 1986, respondent court denied
the motion for lack of merit (Ibid., p. 23). Hence, the instant petition (Ibid., pp. 617).
The Second Division of this Court, in a Resolution dated November 19, 1986 (Rollo,
p. 30), without giving due course to the petition, resolved to require private
respondent to comment thereon and it did on February 19, 1987 (Ibid., pp. 37-42).
Thereafter, in a Resolution dated April 6, 1987, the petition was given due course
and the parties were required to file their respective memoranda (Ibid., p. 43).
Petitioner filed her Memorandum on May 13, 1987 (Ibid., pp. 45-56), while private
respondent filed its Memorandum on May 20, 1987 (Ibid., pp. 62-68).
The sole issue in this case is
WHETHER OR NOT THE MORTGAGE CONSTITUTED OVER THE PARCEL
OF LAND UNDER PETITIONER'S ADMINISTRATION IS NULL AND VOID
FOR WANT OF JUDICIAL APPROVAL.
The instant petition is devoid of merit.
The well-settled rule that the findings of fact of the trial court are entitled to great
respect, carries even more weight when affirmed by the Court of Appeals as in the
case at bar.
While petitioner's assertion may have merit insofar as the rest of the estate of her
husband is concerned the same is not true as regards her conjugal share and her
hereditary rights in the estate. The records show that petitioner willingly and
voluntarily mortgaged the property in question because she was processed by JK
Exports, Inc. the sum of P300,000.00 from the proceeds of the loan; and that at the
time she executed the real estate mortgage, there was no court order authorizing the
mortgage, so she took it upon herself, to secure an order.
Thus, in confirming the findings of the lower court, as supported by law and the
evidence, the Court of Appeals aptly ruled that Section 7 of Rule 89 of the Rules of
Court is not applicable, since the mortgage was constituted in her personal capacity
and not in her capacity as administratrix of the estate of her husband.
Nevertheless, petitioner, citing the cases of Picardal, et al. vs. Lladas (21 SCRA
1483) and Fernandez, et al. vs. Maravilla (10 SCRA 589), further argues that in the
settlement proceedings of the estate of the deceased spouse, the entire conjugal
partnership property of the marriage is under administration. While such may be in a
sense true, that fact alone is not sufficient to invalidate the whole mortgage, willingly
and voluntarily entered into by the petitioner. An opposite view would result in an
injustice. Under similar circumstances, this Court applied the provisions of Article
493 of the Civil Code, where the heirs as co-owners shall each have the full
ownership of his part and the fruits and benefits pertaining thereto, and he may
therefore alienate, assign or mortgage it, and even effect of the alienation or
mortgage, with respect to the co-owners, shall be limited to the portion which may
be allotted to him in the division upon the termination of the co-ownership
(Philippine National Bank vs. Court of Appeals, 98 SCRA 207 [1980]).
The lower court absolved Nicolas Rafols upon the theory that
Susana Melgar could not have sold anything to Pedro Cui because
the land was then in custodia legis, that is, under judicial
administration. This is error. That the land could not ordinary be
levied upon while in custodia legis,does not mean that one of the
heirs may not sell the right, interest or participation which he has
or might have in the lands under administration. The ordinary
execution of property in custodia legis is prohibited in order to
avoid interference with the possession by the court. But the sale
made by an heir of his share in an inheritance, subject to the result
of the pending administration, in no wise stands in the way of such
administration.
The reference to judicial approval in Sec. 7, Rule 89 of the Rules of Court cannot
adversely affect the substantiverights of private respondent to dispose of her Ideal
[not inchoate, for the conjugal partnership ended with her husband's death, and her
hereditary rights accrued from the moment of the death of the decedent (Art. 777,
Civil Code) share in the co-heirship and/or co-ownership formed between her and
the other heirs/co-owners (See Art. 493, Civil Code, supra.). Sec. 7, Art. 89 of the
Civil Code applies in a case where judicial approval has to be sought in connection
with, for instance, the sale or mortgage of property under administration for the
payment, say of a conjugal debt, and even here, the conjugal and hereditary shares of
the wife are excluded from the requisite judicial approval for the reason already
adverted to hereinabove, provided of course no prejudice is caused others, including
the government.
Moreover, petitioner is already estopped from questioning the mortgage. An estoppel
may arise from the making of a promise even though without consideration, if it was
intended that the promise should be relied upon and in fact it was relied upon, and if
a refusal to enforce it would be virtually to sanction the perpetration of fraud or
would result in other injustice (Gonzalo Sy Trading vs. Central Bank, 70 SCRA 570).
PREMISES CONSIDERED, the instant petition is hereby DENIED and the assailed
decision of the Court of Appeals is hereby AFFIRMED.
SO ORDERED.
The decedent was succeeded by eight heirs, two of whom are the petitioners herein,
and the others are the private respondents.
Due to the prolonged pendency of the case before the respondent Court for sixteen
years, respondents-heirs filed a "Motion for Approval of Sale", on October 4, 1989.
The said sale involved the properties covered by Transfer Certificate of Title Nos.
155569, 120145, 9145, and 18709, all of which are registered in Quezon City, and
form part of the estate. The consideration for said lots was twelve (12) million pesos
and by that time, they already had a buyer. It was further stated in said Motion that
respondents-heirs have already received their proportionate share of the six (6)
million pesos paid by the buyer, Yu Hwa Ping, as earnest money; that the balance of
P6,000,000.00 is more than enough to pay the unsettled claims against the estate.
The case was set for hearing on December 15, 1989. However, by said date,
petitioners have not found any buyer offering better terms. Thus, they asked the
Court, on February 8, 1990, for an in extendible period of thirty days to look for a
buyer.
Petitioner-administrator then filed a criminal complaint for falsification of a public
document against Yu Hwa Ping and notary public Eugenio Obon on February 26,
1990. He initiated this complaint upon learning that it was Yu Hwa Ping who caused
the notarization of the Deed of Conditional Sale wherein allegedly petitioneradministrator's signature was made to appear. He also learned that after he
confronted the notary public of the questioned document, the latter revoked his
notarial act on the same.
On April 2, 1990, petitioner-administrator filed the civil action to secure the
declaration by the Court of the nullity of the Deed of Conditional Sale and the Deed
of Absolute Sale.
The period granted herein petitioners having lapsed without having found a buyer,
petitioner Demosthenes Acebedo sought to nullify the Orders granting them several
periods within which to look for a better buyer. Respondents filed a comment
thereon.
Having miserably failed to find a better buyer, after seven long months, petitioneradministrator filed another "Opposition to Approval of Sale", dated May 10, 1990,
maintaining that the sale should wait for the country to recover from the effects of
the coup d'etat attempts, otherwise, the properties should be divided among the heirs.
On June 21, 1990, petitioners filed a "Motion for Leave of Court to Mortgage and
Lease some of the Properties of the Estate". To this Motion, respondents filed an
Opposition on the following grounds : that the motion is not proper because of the
pending motion to approve the sale of the same properties; that said conditional sale
was initiated by petitioner-administrator who had earlier signed a receipt for
P500,000.00 as earnest money; that the approval of the sale would mean Yu Hwa
Ping's assumption of payment of the realty taxes; that the estate has no further debts
and thus, the intestate administrator may be terminated.
On August 17, 1990, respondent Court issued an Order, the dispositive portion of
which, stated, among others, to wit: 2
The Civil Code, under the provisions on co-ownership, further qualifies this
right. 11 Although it is mandated that each co-owner shall have the full ownership of
his part and of the fruits and benefits pertaining thereto, and thus may alienate,
assign or mortgage it, and even substitute another person in its enjoyment, the effect
of
the
alienation
or
the
mortgage,
with
respect
to
the
co-owners, shall be limited to the portion which may be allotted to him in the
division upon the termination of the co-ownership. 12 In other words, the law does not
prohibit a co-owner from selling, alienating or mortgaging his ideal share in the
property held in common. 13
As early as 1942, this Court has recognized said right of an heir to dispose of
property under administration. In the case of Teves de Jakosalem vs. Rafols, et
al., 14 it was said that the sale made by an heir of his share in an inheritance, subject
to the result of the pending administration, in no wise, stands in the way of such
administration. The Court then relied on the provision of the Old Civil Code, Article
440 and Article 339 which are still in force as Article 533 and Article 493,
respectively, in the new Civil Code. The Court also cited the words of a noted
civilist, Manresa: "Upon the death of a person, each of his heirs 'becomes the
undivided owner of the whole estate left with respect to the part or portion which
might be adjudicated to him, a community of ownership being thus formed among
the co-owners of the estate which remains undivided'."
Private respondents having secured the approval of the probate court, a matter which
is unquestionably within its jurisdiction, and having established private respondents'
right to alienate the decedent's property subject of administration, this Petition should
be dismissed for lack of merit.
PREMISES considered, Petition is hereby DISMISSED.With Costs.
ROMERO, J.:
This is a petition for review on certiorari seeking the reversal of the decision 1 of the
Court of Appeals, dated July 14, 1982 in CA-G.R. No. 62255-R entitled "Alicio
Paulmitan, et al. v. Donato Sagario Paulmitan, et al." which affirmed the decision 2 of
the then Court of First Instance (now RTC) of Negros Occidental, 12th Judicial
District, Branch IV, Bacolod City, in Civil Case No. 11770.
The antecedent facts are as follows:
Petitioners set up the defense of prescription with respect to Lot No. 757 as an
affirmative defense, contending that the Complaint was filed more than eleven years
after the issuance of a transfer certificate of title to Donato Paulmitan over the land
as consequence of the registration with the Register of Deeds, of Donato's affidavit
extrajudicially adjudicating unto himself Lot No. 757. As regards Lot No. 1091,
petitioner Juliana P. Fanesa claimed in her Answer to the Complaint that she acquired
exclusive ownership thereof not only by means of a deed of sale executed in her
favor by her father, petitioner Donato Paulmitan, but also by way of redemption from
the Provincial Government of Negros Occidental.
Acting on the petitioners' affirmative defense of prescription with respect to Lot No.
757, the trial court issued an order dated April 22, 1976 dismissing the complaint as
to the said property upon finding merit in petitioners' affirmative defense. This order,
which is not the object of the present petition, has become final after respondents'
failure to appeal therefrom.
Trial proceeded with respect to Lot No. 1091. In a decision dated May 20, 1977, the
trial court decided in favor of respondents as to Lot No. 1091. According to the trial
court, the respondents, as descendants of Agatona Sagario Paulmitan were entitled to
one-half (1/2) of Lot No. 1091, pro indiviso. The sale by petitioner Donato Paulmitan
to his daughter, petitioner Juliana P. Fanesa, did not prejudice their rights. And the
repurchase by Juliana P. Fanesa of the land from the Provincial Government of
Negros Occidental did not vest in Juliana exclusive ownership over the entire land
but only gave her the right to be reimbursed for the amount paid to redeem the
property. The trial court ordered the partition of the land and directed petitioners
Donato Paulmitan and Juliana P. Fanesa to pay private respondents certain amounts
representing the latter's share in the fruits of the land. On the other hand, respondents
were directed to pay P1,479.55 to Juliana P. Fanesa as their share in the redemption
price paid by Fanesa to the Provincial Government of Negros Occidental. The
dispositive portion of the trial court's decision reads:
WHEREFORE, judgment is hereby rendered on the second cause
of action pleaded in the complain as follows:
1. The deed of sale (Exh. "F") dated May 28, 1974 is valid insofar
as the one-half undivided portion of Lot 1091 is concerned as to
vest ownership over said half portion in favor of defendant Juliana
children, the private respondents. On the other had, Donato's sole offspring was
petitioner Juliana P. Fanesa.
At the time of the relevant transactions over the properties of decedent Agatona
Sagario Paulmitan, her son Pascual had died, survived by respondents, his children.
It is, thus, tempting to apply the principles pertaining to the right of representation as
regards respondents. It must, however, be borne in mind that Pascual did no
predecease his mother, 8 thus precluding the operation of the provisions in the Civil
Code on the right of representation 9 with respect to his children, the respondents.
When Agatona Sagario Paulmitan died intestate in 1952, her two (2) sons Donato
and Pascual were still alive. Since it is well-settled by virtue of Article 777 of the
Civil Code that "[t]he rights to the succession are transmitted from the moment of the
death of the decedent," 10 the right of ownership, not only of Donato but also of
Pascual, over their respective shares in the inheritance was automatically and by
operation of law vested in them in 1953 when their mother died intestate. At that
stage, the children of Donato and Pascual did not yet have any right over the
inheritance since "[i]n every inheritance, the relative nearest in degree excludes the
more
distant
ones." 11 Donato and Pascual excluded their children as to the right to inherit from
Agatona Sagario Paulmitan, their mother.
From the time of the death of Agatona Sagario Paulmitan to the subsequent passing
away of her son Pascual in 1953, the estate remained unpartitioned. Article 1078 of
the Civil Code provides: "Where there are two or more heirs, the whole estate of the
decedent is, before its partition, owned in common by such heirs, subject to the
payment of debts of the deceased." 12 Donato and Pascual Paulmitan were, therefore,
co-owners of the estate left by their mother as no partition was ever made.
On appeal, the Court of Appeals affirmed the trial court's decision. Hence this
petition.
When Pascual Paulmitan died intestate in 1953, his children, the respondents,
succeeded him in the co-ownership of the disputed property. Pascual Paulmitan's
right of ownership over an undivided portion of the property passed on to his
children, who, from the time of Pascual's death, became co-owners with their uncle
Donato over the disputed decedent estate.
To determine the rights and obligations of the parties to the land in question, it is
well to review, initially, the relatives who survived the decedent Agatona Sagario
Paulmitan. When Agatona died in 1953, she was survived by two (2) sons, Donato
and Pascual. A few months later in the same year, Pascual died, leaving seven
Petitioner Juliana P. Fanesa claims ownership over Lot No. 1091 by virtue of two
transactions, namely: (a) the sale made in her favor by her father Donato Paulmitan;
and (b) her redemption of the land from the Provincial of Negros Occidental after it
was forfeited for non-payment of taxes.
only. This assigned error, however raises a factual question. The settled rule is that
only questions of law may be raised in a petition for review. As a general rule,
findings of fact made by the trial court and the Court of Appeals are final and
conclusive and cannot be reviewed on appeal. 18
WHEREFORE, the petition is DENIED and the decision of the Court of Appeals
AFFIRMED.
SO ORDERED.
Art. 488. Each co-owner shall have a right to compel the other coowners to contribute to the expenses of preservation of the thing or
right owned in common and to the taxes. Any one of the latter may
exempt himself from this obligation by renouncing so much of his
undivided interest as may be equivalent to his share of the
expenses and taxes. No such waiver shall be made if it is
prejudicial to the co-ownership.
The result is that the property remains to be in a condition of coownership. While a vendee a retro, under Article 1613 of the Code,
"may not be compelled to consent to a partial redemption," the
redemption by one co-heir or co-owner of the property in its
totality does not vest in him ownership over it. Failure on the part
of all the co-owners to redeem it entitles the vendee a retro to
retain the property and consolidate title thereto in his name
(Supra, art. 1607). But the provision does not give to the
redeeming co-owner the right to the entire property. It does not
provide for a mode of terminating a co-ownership.
Although petitioner Fanesa did not acquire ownership over the entire lot by virtue of
the redemption she made, nevertheless, she did acquire the right to reimbursed for
half of the redemption price she paid to the Provincial Government of Negros
Occidental on behalf of her co-owners. Until reimbursed, Fanesa hold a lien upon the
subject property for the amount due her. 17
Finally, petitioners dispute the order of the trial court, which the Court of Appeals
affirmed, for them to pay private respondents P5,000.00 per year from 1966 until the
partition of the estate which represents the share of private respondents in the fruits
of the land. According to petitioners, the land is being leased for P2,000.00 per year
After Maximiano Aguilar died in 1974, petitioner demanded from private respondent
that the latter vacate the house and that the property be sold and proceeds thereof
divided among them.
VIRGILIO
B.
AGUILAR, petitioner,
vs.
COURT OF APPEALS and SENEN B. AGUILAR, respondents.
Because of the refusal of respondent to give in to petitioner's demands, the latter filed
on 12 January 1979 an action to compel the sale of the house and lot so that the they
could divide the proceeds between them.
In his complaint, petitioner prayed that the proceeds of the sale, be divided on the
basis of two-thirds (2/3) in his favor and one-third (1/3) to respondent. Petitioner also
prayed for monthly rentals for the use of the house by respondent after their father
died.
BELLOSILLO, J.:
This is a petition for review on certiorari seeking to reverse and set aside the
Decision of the Court of Appeals in CA-GR CV No. 03933 declaring null and void
the orders of 23 and 26 April, 1979, the judgment by default of 26 July 1979, and the
order of 22 October 1979 of the then Court of First Instance of Rizal, Pasay City,
Branch 30, and directing the trial court to set the case for pre-trial conference.
Petitioner Virgilio and respondent Senen are brothers; Virgilio is the youngest of
seven (7) children of the late Maximiano Aguilar, while Senen is the fifth. On 28
In his answer with counterclaim, respondent alleged that he had no objection to the
sale as long as the best selling price could be obtained; that if the sale would be
effected, the proceeds thereof should be divided equally; and, that being a co-owner,
he was entitled to the use and enjoyment of the property.
Upon issues being joined, the case was set for pre-trial on 26 April 1979 with the
lawyers of both parties notified of the pre-trial, and served with the pre-trial order,
with private respondent executing a special power of attorney to his lawyer to appear
at the pre-trial and enter into any amicable settlement in his behalf. 1
his evidenceex-parte; (e) the default judgment of 26 July 1979; and, (d) the order
dated 22 October 1979 denying his omnibus motion for new trial.
On 16 October 1986, the Court of Appeals set aside the order of the trial court of 26
April 1979 as well as the assailed judgment rendered by default., The appellate court
found the explanation of counsel for defendant in his motion to cancel pre-trial as
satisfactory and devoid of a manifest intention to delay the disposition of the case. It
also ruled that the trial court should have granted the motion for postponement filed
by counsel for defendant who should not have been declared as in default for the
absence of his counsel.
Petitioner now comes to us alleging that the Court of Appeals erred (1) in not holding
that the motion of defendant through counsel to cancel the pre-trial was dilatory in
character and (2) in remanding the case to the trial court for pre-trial and trial.
The issues to be resolved are whether the trial court correctly declared respondent as
in default for his failure to appear at the pre-trial and in allowing petitioner to present
his evidence ex-parte, and whether the trial court correctly rendered the default
judgment against respondent.
We find merit in the petition.
As regards the first issue, the law is clear that the appearance of parties at the pretrial is mandatory. 3 A party who fails to appear at a pre-trial conference may be nonsuited or considered as in default. 4 In the case at bar, where private respondent and
counsel failed to appear at the scheduled pre-trial, the trial, court has authority to
declare respondent in default. 5
Although respondent's counsel filed a motion to postpone pre-trial hearing, the grant
or denial thereof is within the sound discretion of the trial court, which should take
into account two factors in the grant or denial of motions for postponement, namely:
(a) the reason for the postponement and (b) the merits of the case of movant. 6
In the instant case, the trial court found the reason stated in the motion of counsel for
respondent to cancel the pre-trial to be without merit. Counsel's explanation that he
had to go to by boat as early as 25 March 1979 to fetch his wife and accompany her
to a wedding in Dumaguete City on 27 April 1979 where she was one of the
principal sponsors, cannot be accepted. We find it insufficient to justify
We uphold the trial court in ruling in favor of petitioner, except as to the effectivity
of the payment of monthly rentals by respondent as co-owner which we here declare
to commence only after the trial court ordered respondent to vacate in accordance
with its order of 26 July 1979.
Article 494 of the Civil Code provides that no co-owner shall be obliged to remain in
the co-ownership, and that each co-owner may demand at any time partition of the
thing owned in common insofar as his share is concerned. Corollary to this rule, Art.
498 of the Code states that whenever the thing is essentially, indivisible and the coowners cannot agree that it be, allotted to one of them who shall indemnify the
others, it shall be sold and its proceeds accordingly distributed. This is resorted to (1)
when the right to partition the property is invoked by any of the co-owners but
because of the nature of the property it cannot be subdivided or its subdivision would
prejudice the interests of the co-owners, and (b) the co-owners are not in agreement
as to who among them shall be allotted or assigned the entire property upon proper
reimbursement of the co-owners. In one case, 8 this Court upheld the order of the trial
court directing the holding of a public sale of the properties owned in common
pursuant to Art. 498 of the Civil Code.
However, being a co-owner respondent has the right to use the house and lot without
paying any compensation to petitioner, as he may use the property owned in common
long as it is in accordance with the purpose for which it is intended and in a manner
not injurious to the interest of the other co-owners. 9 Each co-owner of property
heldpro indiviso exercises his rights over the whole property and may use and enjoy
the same with no other limitation than that he shall not injure the interests of his coowners, the reason being that until a division is made, the respective share of each
cannot be determined and every co-owner exercises, together with his co-participants
joint ownership over the pro indivisoproperty, in addition to his use and enjoyment of
the
same. 10
Since petitioner has decided to enforce his right in court to end the co-ownership of
the house and lot and respondent has not refuted the allegation that he has been
preventing the sale of the property by his continued occupancy of the premises,
justice and equity demand that respondent and his family vacate the property so that
the sale can be effected immediately. In fairness to petitioner, respondent should pay
a rental of P1,200.00 per month, with legal interest; from the time the trial court
GUERRERO, J.:
This is a petition for certiorari by way of appeal from the decision of the Court of
Appeals 1 in CA-G.R. No. 35962-R, entitled "Vivencio Moreto, et al., PlaintiffAppellees vs. Cornelio Pamplona, et al., Defendants-Appellants," affirming the
decision of the Court of First Instance of Laguna, Branch I at Bian.
The facts, as stated in the decision appealed from, show that:
Flaviano Moreto and Monica Maniega were husband and wife. During their
marriage, they acquired adjacent lots Nos. 1495, 4545, and 1496 of the Calamba
Friar Land Estate, situated in Calamba, Laguna, containing 781-544 and 1,021
square meters respectively and covered by certificates of title issued in the name of
"Flaviano Moreto, married to Monica Maniega."
1496 about one meter from its boundary with the adjoining lot. The vendor Flaviano
Moreto and the vendee Geminiano Pamplona thought all the time that the portion of
781 square meters which was the subject matter of their sale transaction was No.
1495 and so lot No. 1495 appears to be the subject matter in the deed of sale (Exh.
"1") although the fact is that the said portion sold thought of by the parties to be lot
No. 1495 is a part of lot No. 1496.
From 1956 to 1960, the spouses Geminiano Pamplona and Apolonio Onte enlarged
their house and they even constructed a piggery corral at the back of their said house
about one and one-half meters from the eastern boundary of lot 1496.
On August 12, 1956, Flaviano Moreto died intestate. In 1961, the plaintiffs
demanded on the defendants to vacate the premises where they had their house and
piggery on the ground that Flaviano Moreto had no right to sell the lot which he sold
to Geminiano Pamplona as the same belongs to the conjugal partnership of Flaviano
and his deceased wife and the latter was already dead when the sale was executed
without the consent of the plaintiffs who are the heirs of Monica. The spouses
Geminiano Pamplona and Apolonia Onte refused to vacate the premises occupied by
them and hence, this suit was instituted by the heirs of Monica Maniega seeking for
the declaration of the nullity of the deed of sale of July 30, 1952 above-mentioned as
regards one-half of the property subject matter of said deed; to declare the plaintiffs
as the rightful owners of the other half of said lot; to allow the plaintiffs to redeem
the one-half portion thereof sold to the defendants. "After payment of the other half
of the purchase price"; to order the defendants to vacate the portions occupied by
them; to order the defendants to pay actual and moral damages and attorney's fees to
the plaintiffs; to order the defendants to pay plaintiffs P120.00 a year from August
1958 until they have vacated the premises occupied by them for the use and
occupancy of the same.
The defendants claim that the sale made by Flaviano Moreto in their favor is valid as
the lot sold is registered in the name of Flaviano Moreto and they are purchasers
believing in good faith that the vendor was the sole owner of the lot sold.
After a relocation of lots 1495, 1496 and 4545 made by agreement of the parties, it
was found out that there was mutual error between Flaviano Moreto and the
defendants in the execution of the deed of sale because while the said deed recited
that the lot sold is lot No. 1495, the real intention of the parties is that it was a
property rights and obligations which were not extinguished by their parents' death.
And under Art. 1311, paragraph 1, New Civil Code, the contract of sale executed by
the deceased Flaviano Moreto took effect between the parties, their assigns and heirs,
who are the private respondents herein. Accordingly, to the private respondents is
transmitted the obligation to deliver in full ownership the whole area of 781 sq.
meters to the petitioners (which was the original obligation of their predecessor
Flaviano Moreto) and not only one-half thereof. Private respondents must comply
with said obligation.
The records reveal that the area of 781 sq. meters sold to and occupied by petitioners
for more than 9 years already as of the filing of the complaint in 1961 had been resurveyed by private land surveyor Daniel Aranas. Petitioners are entitled to a
segregation of the area from Transfer Certificate of Title No. T-9843 covering Lot
1496 and they are also entitled to the issuance of a new Transfer Certificate of Title
in their name based on the relocation survey.
WHEREFORE, IN VIEW OF THE FOREGOING, the judgment appealed from is
hereby AFFIRMED with modification in the sense that the sale made and executed
by Flaviano Moreto in favor of the petitioners-vendees is hereby declared legal and
valid in its entirely.
Petitioners are hereby declared owners in full ownership of the 781 sq. meters at the
eastern portion of Lot 1496 now occupied by said petitioners and whereon their
houses and piggery coral stand.
The Register of Deeds of Laguna is hereby ordered to segregate the area of 781 sq.
meters from Certificate of Title No. 9843 and to issue a new Transfer Certificate of
Title to the petitioners covering the segregated area of 781 sq. meters.
No costs.
SO ORDERED.
TEEHANKEE, J.:
The Court rejects petitioners' appeal as without merit and affirms the judgment of the
appellate court. Petitioners' predecessor-in-interest as co-owner of an undivided onehalf interest in the fishpond could validly lease his interest to a third party,
respondent Atienza, independently of his co-owner (although said co-owner had also
leased his other undivided one-half interest to the same third party) and could
likewise by mutual agreement independently cancel his lease agreement with said
third party. Said predecessor-in-interest (and petitioners who have substituted him as
his heirs) therefore stands liable on his express undertaking to refund the advance
rental paid to him by the lessee on the cancelled lease and cannot invoke the noncancellation of the co-owner's lease to elude such liability.
The Court of Appeals, in its decision affirming in toto the judgment of the Manila
court of first instance ordering therein defendant-appellant Arsenio de Castro, Sr.
On the conflicting contentions between the parties as to who between them would
attend to securing the signature of Mrs. Felisa Cruz Vda. de Castro (widow of Tomas
de Castro) to the agreement of cancellation of the lease with respondent Atienza, the
appellate court found that "the testimony of the defendant (Arsenio de Castro, Sr.) ...
supports the contention of the plaintiff (Atienza) "that it was the defendant Arsenio
who was interested and undertook to do so, citing Arsenio's own declaration that "I
agreed to sign this document (referring to the cancellation) because of my desire to
cancel our original agreement" and that his purpose in obtaining the cancellation of
said lease agreement with plaintiff Atienza was "(B)ecause I had the intention of
having said fishpond leased to other persons and I cannot lease it to third parties
unless I can secure the signature of Felisa Vda. de Castro."
The appellate court correctly resolved the issue thus: "Our view of the contract of
lease Exhibit 1 is that each of the Castro brothers, leased his undivided one-half
interest in the fishpond they owned in common to the plaintiff. Could one of them
have validly leased his interest without the other co-owner leasing his own? The
answer to this is given by appellant in his own brief (p. 14) when he said that it
would result in a partnership between the lessee and the owner of the other undivided
half. If the lease could be entered into partially by one of the co-owners, insofar as
his interest is concerned, then the lease, Exhibit 1, can also be cancelled partially as
between plaintiff and defendant. Therefore, we conclude that the consent of Mrs.
Felisa Cruz Vda. de Castro is not essential for the cancellation of the lease of
defendant's one-half undivided share in the fishpond to plaintiff."
The appellate court thus held in effect that as Arsenio "was the one interested in
cancelling the lease (Exh. 1), it stands to reason that he most probably undertook to
obtain the signature of Mrs. Castro [widow and successor-in-interest of his brother
Tomas]" and that he could not invoke his own failure to obtain such signature to
elude his own undertaking and liability to refund respondent (plaintiff) his share of
the rental paid in advance by respondent on the cancelled lease in the sum of
P2,500.00.
The appellate court's judgment is fully supported by the Civil Code provisions on the
rights and prerogatives of co-owners, and specifically by Article 493 which expressly
provides that
The appellate court furthermore correctly held that the consent or concurrence of
Felisa Vda. de Castro (as co-owner in succession of Tomas) was not an essential
condition to the validity and effectivity of the agreement of cancellation of the lease
(Exhibit A) as between Arsenio and respondent-lessee, contrary to petitioners' claim,
holding that "(S)ince there is no specific provision in Exhibit A supporting
defendant's claim, we are not prepared to supply such condition unless the same can
be deduced from other evidence or unless the terms of Exhibit A cannot be
performed by plaintiff and defendant without Mrs. Castro being bound as a party
thereto."
The issue is simply reduced to whether Arsenio as co-owner of the fishpond
owned pro-indiviso by him with his brother Tomas (succeeded by Felisa Vda. de
Art. 493. Each co-owner shall have the full ownership of his
part and of the fruits and benefitspertaining thereto, and he may
therefore alienate, assign or mortgage it, and even substitute
another person in its enjoyment, except when personal rights are
involved. But the effect of the alienation or the mortgage, with
respect to the co-owners, shall be limited to the portion which may
be alloted to him in the division upon the termination of the coownership. *
ACCORDINGLY, the appealed judgment is hereby affirmed with costs against
petitioners.
CITY
OF
MANDALUYONG, petitioner,
vs.
ANTONIO N., FRANCISCO N., THELMA N., EUSEBIO N., RODOLFO N.,
all surnamed AGUILAR, respondents.
PUNO, J.:
This is a petition for review under Rule 45 of the Rules of Court of the Orders dated
September 17, 1998 and December 29, 1998 of the Regional Trial Court, Branch
On August 4, 1997, petitioner filed with the Regional Trial Court, Branch 168, Pasig
City a complaint for expropriation entitled "City of Mandaluyong, plaintiff v. Antonio
N., Francisco N, Thelma N, Eusebio N, Rodolfo N., all surnamed Aguilar,
defendants." Petitioner sought to expropriate three (3) adjoining parcels of land with
an aggregate area of 1,847 square meters registered under Transfer Certificates of
Title Nos. 59780, 63766 and 63767 in the names of the defendants, herein
respondents, located at 9 de Febrero Street, Barangay Mauwag, City of
Mandaluyong; on a portion of the 3 lots, respondents constructed residential houses
several decades ago which they had since leased out to tenants until the present; on
the vacant portion of the lots, other families constructed residential structures which
they likewise occupied; in 1983, the lots were classified by Resolution No. 125 of
the Board of the Housing and Urban Development Coordinating Council as an Area
for Priority Development for urban land reform under Proclamation Nos. 1967 and
2284 of then President Marcos; as a result of this classification, the tenants and
occupants of the lots offered to purchase the land from respondents, but the latter
refused to sell; on November 7, 1996, the Sangguniang Panlungsod of petitioner,
upon petition of the Kapitbisig, an association of tenants and occupants of the subject
land, adopted Resolution No. 516, Series of 1996 authorizing Mayor Benjamin
Abalos of the City of Mandaluyong to initiate action for the expropriation of the
subject lots and construction of a medium-rise condominium for qualified occupants
of the land; on January 10, 1996, Mayor Abalos sent a letter to respondents offering
to purchase the said property at P3,000.00 per square meter; respondents did not
answer the letter. Petitioner thus prayed for the expropriation of the said lots and the
fixing of just compensation at the fair market value of P3,000.00 per square meter.2
In their answer, respondents, except Eusebio N. Aguilar who died in 1995, denied
having received a copy of Mayor Abalos' offer to purchase their lots. They alleged
that the expropriation of their land is arbitrary and capricious, and is not for a public
purpose; the subject lots are their only real property and are too small for
expropriation, while petitioner has several properties inventoried for socialized
housing; the fair market value of P3,000.00 per square meter is arbitrary because the
zonal valuation set by the Bureau of Internal Revenue is P7,000.00 per square meter.
As counterclaim, respondents prayed for damages of P21 million.3
Petitioner mainly claims that the size of the lots in litigation does not exempt the
same from expropriation in view of the fact that the said lots have been declared to
be within the Area for Priority Development (APD) No. 5 of Mandaluyong by virtue
of Proclamation No. 1967, as amended by Proclamation No. 2284 in relation to
Presidential Decree No. 1517.10 This declaration allegedly authorizes petitioner to
expropriate the property, ipso facto, regardless of the area of the land.
The Amended Complaint was admitted by the trial court on December 18, 1997.
Respondents, who, with the exception of Virginia Aguilar and the Heirs of Eusebio
Aguilar had yet to be served with summons and copies of the Amended Complaint,
filed a "Manifestation and Motion" adopting their "Answer with Counterclaim" and
"Motion for Preliminary Hearing" as their answer to the Amended Complaint.6
The motion was granted. At the hearing of February 25, 1998, respondents presented
Antonio Aguilar who testified and identified several documentary evidence.
Petitioner did not present any evidence. Thereafter, both parties filed their respective
memoranda.7
On September 17, 1998, the trial court issued an order dismissing the Amended
Complaint after declaring respondents as "small property owners" whose land is
exempt from expropriation under Republic Act No. 7279. The court also found that
the expropriation was not for a public purpose for petitioner's failure to present any
evidence that the intended beneficiaries of the expropriation are landless and
homeless residents of Mandaluyong. The court thus disposed of as follows:
"WHEREFORE, the Amended Complaint is hereby ordered dismissed
without pronouncement as to cost.
SO ORDERED."8
Petitioner moved for reconsideration. On December 29, 1998, the court denied the
motion. Hence this petition.
Presidential Decree (P.D.) No. 1517, the Urban Land Reform Act, was issued by then
President Marcos in 1978. The decree adopted as a State policy the liberation of
human communities from blight, congestion and hazard, and promotion of their
development and modernization, the optimum use of land as a national resource for
public welfare.11 Pursuant to this law, Proclamation No. 1893 was issued in 1979
declaring the entire Metro Manila as Urban Land Reform Zone for purposes of urban
land reform. This was amended in 1980 by Proclamation No. 1967 and in 1983 by
Proclamation No. 2284 which identified and specified 245 sites in Metro Manila as
Areas for Priority Development and Urban Land Reform Zones.
In 1992, the Congress of the Philippines passed Republic Act No. 7279, the "Urban
Development and Housing Act of 1992." The law lays down as a policy that the
state, in cooperation with the private sector, undertake a comprehensive and
continuing Urban Development and Housing Program; uplift the conditions of the
underprivileged and homeless citizens in urban, areas and resettlement areas by
making available to them decent housing at affordable cost, basic services and
employment opportunities and provide for the rational use and development of urban
land to bring about, among others, equitable utilization of residential lands;
encourage more effective people's participation in the urban development process
and improve the capability of local government units in undertaking urban
development and housing programs and projects. 12 Towards this end, all city and
municipal governments are mandated to conduct an inventory of all lands and
improvements within their respective localities, and in coordination with the
National Housing Authority, the Housing and Land Use Regulatory Board, the
National Mapping Resource Information Authority, and the Land Management
and Resettlement (SIR) sites which have not yet been acquired; (5) BLISS sites
which have not yet been acquired; and (6) privately-owned lands.
There is no dispute that the two lots in litigation are privately-owned and therefore
last in the order of priority acquisition. However, the law also provides that lands
within the declared APD's which have not yet been acquired by the government are
fourth in the order of priority. According to petitioner, since the subject lots lie within
the declared APD, this fact mandates that the lots be given priority in acquisition. 14
Section 9, however, is not a single provision that can be read separate from the other
provisions of the law. It must be read together with Section 10 of R.A. 7279 which
also provides:
"Section 10. Modes of Land Acquisition. The modes of acquiring lands
for purposes of this Act shall include, among others, community mortgage,
land swapping, land assembly or consolidation, land banking, donation to
the Government, joint-venture agreement, negotiated purchase, and
expropriation: Provided, however, That expropriation shall be resorted to
only when other modes of acquisition have been exhausted: Provided,
further, That where expropriation is resorted to, parcels of land owned
by small property owners shall be exempted for purposes of this
Act: Provided, finally, That abandoned property, as herein defined, shall be
reverted and escheated to the State in a proceeding analogous to the
procedure laid down in Rule 91 of the Rules of Court.15
For the purposes of socialized housing, government-owned and foreclosed
properties shall be acquired by the local government units, or by the
National
Housing
Authority
primarily
through
negotiated
purchase:Provided, That qualified beneficiaries who are actual occupants of
the land shall be given the right of first refusal."
Lands for socialized housing under R.A. 7279 are to be acquired in several modes.
Among these modes are the following: (1) community mortgage; (2) land swapping,
(3) land assembly or consolidation; (4) land banking; (5) donation to the
government; (6) joint venture agreement; (7) negotiated purchase; and (8)
expropriation. The mode of expropriation is subject to two conditions: (a) it shall be
resorted to only when the other modes of acquisition have been exhausted; (b)
parcels of land owned by small property owners are exempt from such acquisition.
size of the land sought to be expropriated for socialized housing. The law expressly
exempted "small property owners" from expropriation of their land for urban land
reform. R.A. No. 7279 originated as Senate Bill No. 234 authored by Senator Joey
Lina23 and House Bill No. 34310. Senate Bill No. 234 then provided that one of those
lands not covered by the urban land reform and housing program was "land actually
used by small property owners within the just and equitable retention limit as
provided under this Act."24 "Small property owners" were defined in Senate Bill No.
234 as:
"4. Small Property Owners are those whose rights are protected under
Section 9, Article XIII of the Constitution of the Philippines, who own
small parcels of land within the fair and just retention limit provided under
this Act and which are adequate to meet the reasonable needs of the small
property owner's family and their means of livelihood.25
The exemption from expropriation of lands of small-property owners was never
questioned on the Senate floor.26This exemption, although with a modified definition,
was actually retained in the consolidation of Senate Bill No. 234 and House Bill No.
34310 which became R.A. No. 7279.27
The question now is whether respondents qualify as "small property owners" as
defined in Section 3 (q) of R.A. 7279. Section 3 (q) provides:
"Section 3 x x x (q). "Small property owners" refers to those whose only real
property consists of residential lands not exceeding three hundred square
meters (300 sq.m.) in highly urbanized cities and eight hundred square
meters (800 sq.m.) in other urban areas."
"Small-property owners" are defined by two elements: (1) those owners of real
property whose property consists of residential lands with an area of not more than
300 square meters in highly urbanized cities and 800 square meters in other urban
areas; and (2) that they do not own real property other than the same.
The case at bar involves two (2) residential lots in Mandaluyong City, a highly
urbanized city. The lot under TCT No. 63766 is 687 square meters in area and the
second under TCT No. 63767 is 949 square meters, both totalling 1,636 square
meters in area. TCT No. 63766 was issued in the names of herein five (5)
respondents, viz:
"Art. 493. Each co-owner shall have the full ownership of his part and of the
fruits and benefits pertaining thereto, and he may therefore alienate, assign
or mortgage it, and even substitute another person in its enjoyment, except
when personal rights are involved. But the effect of the alienation or the
mortgage, with respect to the co-owners shall be limited to the portion
which may be allotted to him in the division upon termination of the coownership.39
Before partition in a co-ownership, every co-owner has the absolute ownership of his
undivided interest in the common property. The co-owner is free to alienate, assign
or mortgage his interest, except as to purely personal rights. 40 He may also validly
lease his undivided interest to a third party independently of the other coowners.41The effect of any such transfer is limited to the portion which may be
awarded to him upon the partition of the property.42
Article 493 therefore gives the owner of an undivided interest in the property the
right to freely sell and dispose of his undivided interest. 43 The co-owner, however,
has no right to sell or alienate a concrete specific or determinate part of the thing
owned in common, because his right over the thing is represented by a quota or ideal
portion without any physical adjudication. 44 If the co-owner sells a concrete portion,
this, nonetheless, does not render the sale void. Such a sale affects only his
ownshare, subject to the results of the partition but not those of the other co-owners
who did not consent to the sale.45
In the instant case, the titles to the subject lots were issued in respondents' names as
co-owners in 1987ten (10) years before the expropriation case was filed in 1997.
As co-owners, all that the respondents had was an ideal or abstract quota or
proportionate share in the lots. This, however, did not mean that they could not
separately exercise any rights over the lots. Each respondent had the full ownership
of his undivided interest in the property. He could freely sell or dispose of his interest
independently of the other co-owners. And this interest could have even been
attached by his creditors.46 The partition in 1998, six (6) months after the filing of the
expropriation case, terminated the co-ownership by converting into certain and
definite parts the respective undivided shares of the co-owners. 47 The subject
property is not a thing essentially indivisible. The rights of the co-owners to have the
property partitioned and their share in the same delivered to them cannot be
questioned for "[n]o co-owner shall be obliged to remain in the co-ownership." 48 The
which it stands are owned by respondents or anyone of them. Petitioner did not
present any title or proof of this fact despite Antonio Aguilar's testimony.
Upon partition, four (4) co-owners, namely, Francisco, Thelma, Rodolfo and Antonio
Aguilar each had a share of 300 square meters under TCT Nos. 13849, 13852,
13850, 13851.50 Eusebio Aguilar's share was 347 square meters under TCT No.
1385351 while Virginia Aguilar's was 89 square meters under TCT No. 13854.52
On the other hand, respondents claim that the subject lots are their only real
property58 and that they, particularly two of the five heirs of Eusebio Aguilar, are
merely renting their houses and therefore do not own any other real property in
Metro Manila.59 To prove this, they submitted certifications from the offices of the
City and Municipal Assessors in Metro Manila attesting to the fact that they have no
registered real property declared for taxation purposes in the respective cities.
Respondents were certified by the City Assessor of Manila; 60 Quezon City;61Makati
City;62 Pasay
City;63 Paranaque;64 Caloocan
City;65 Pasig
City;66 Muntinlupa;67 Marikina;68 and the then municipality of Las Pias 69 and the
municipality of San Juan del Monte 70 as having no real property registered for
taxation in their individual names.1wphi1.nt
It is noted that Virginia Aguilar, although granted 89 square meters only of the
subject lots, is, at the same time, the sole registered owner of TCT No. 59780, one of
the three (3) titles initially sought to be expropriated in the original complaint. TCT
No. 59780, with a land area of 211 square meters, was dropped in the amended
complaint. Eusebio Aguilar was granted 347 square meters, which is 47 square
meters more than the maximum of 300 square meters set by R.A. 7279 for small
property owners. In TCT No. 13853, Eusebio's title, however, appears the following
annotation:
"... subject to x x x, and to the prov. of Sec. 4 Rule 74 of the Rules of Court
with respect to the inheritance left by the deceased Eusebio N. Aguilar."53
Eusebio died on March 23, 1995,54 and, according to Antonio's testimony, the former
was survived by five (5) children.55 Where there are several co-owners, and some of
them die, the heirs of those who die, with respect to that part belonging to the
deceased, become also co-owners of the property together with those who
survive.56After Eusebio died, his five heirs became co-owners of his 347 squaremeter portion. Dividing the 347 square meters among the five entitled each heir to
69.4 square meters of the land subject of litigation.
Finally, this court notes that the subject lots are now in the possession of
respondents. Antonio Aguilar testified that he and the other co-owners filed
ejectment cases against the occupants of the land before the Metropolitan Trial
Court, Mandaluyong, Branches 59 and 60. Orders of eviction were issued and
executed on September 17, 1997 which resulted in the eviction of the tenants and
other occupants from the land in question.71
IN VIEW WHEREOF, the petition is DENIED and the orders dated September 17.
1998 and December 29, 1998 of the Regional Trial Court, Branch 168, Pasig City in
SCA No. 1427 are AFFIRMED.
Consequently, the share of each co-owner did not exceed the 300 square meter limit
set in R.A. 7279. The second question, however, is whether the subject property is
the only real property of respondents for them to comply with the second requisite
for small property owners.
Antonio Aguilar testified that he and most of the original co-owners do not reside on
the subject property but in their ancestral home in Paco, Manila. 57 Respondents
therefore appear to own real property other than the lots in litigation. Nonetheless,
the records do not show that the ancestral home in Paco, Manila and the land on
SO ORDERED.
G.R. No. L-29727 December 14, 1988
FERNAN, C.J.:
This case exemplifies the Filipino custom of keeping inherited property in a
prolonged juridical condition of co-owner ship.
Lorenzo Lopez owned Lot 4685 of the Cadastral survey of Villasis, Pangasinan with
an area of 69,687 square meters as evidenced by Original Certificate of Title No.
15262. 1 In December, 1931, Lorenzo Lopez died, 2 leaving said property to his wife,
Tomasa Ramos and six (6) children. From that time on, the heirs of Lorenzo Lopez
did not initiate any moves to legally partition the property.
More than twenty-one years later, or on February 11, 1953, Tomasa Ramos and her
eldest son, Candido Lopez, executed a deed of absolute sale of the "eastern
undivided four thousand two hundred and fifty seven-square meters (4,257) more or
less, of the undivided portion of (their) interests, rights and participation" over Lot
4685, in favor of the spouses Melecio Oliveras and Aniceta Minor, in consideration
of the amount of one thousand pesos (P1,000). 3
On the same day, Tomasa and Candido executed another deed of absolute sale of the
"undivided" four thousand two hundred and fifty-seven (4,257) square meters of the
"eastern part" of Lot 4685 in favor of the spouses Pedro Oliveras and Teodora
Gaspar, also in consideration of P1,000. 4 Each of the said documents bear the
thumbmark of Tomasa and the signature of Candido.
In his affidavit also executed on February 11, 1953, Candido stated that a month
prior to the execution of the deed of sale in favor of Melecio Oliveras, he offered his:
"undivided portion" of Lot 4685 to his "adjacent owners" but none of them was "in a
position to purchase" said property. 5
Since the execution of the two deeds of absolute sale, the vendees, brothers Melecio
and Pedro, had been paying the real property taxes for their respectively purchased
properties. 6 They also had been in possession of their purchased properties which,
being planted to palay and peanuts, were segregated from the rest of Lot 4685 by
dikes. 7
More than thirteen years later or on November 21, 1966, the counsel of the Oliveras
brothers wrote the heirs of Lorenzo Lopez reminding them of the Oliverases'
demands to partition the property so that they could acquire their respective titles
thereto without resorting to court action, and that, should they fail to respond, he
would be forced to file a case in court. 8 Apparently, the Lopezes did not answer said
letter since on December 15, 1966, the Oliveras brothers and their wives filed a
complaint for partition and damages 9 in the Court of First Instance of Pangasinan.10
The Oliverases stated in their complaint that possession of the disputed properties
was delivered to them with the knowledge and consent of the defendants; that they
had been paying the real estate taxes thereon; that prior to the sale, said properties
were offered to the other co-owners for sale but they refused to buy them; that on
February 18, 1953, the transactions were duly annotated and entered in the
Memorandum of encumbrances of OCT No. 15262 as adverse claims; and that their
desire to segregate the portions of Lot 4685 sold to them was frustrated by
defendants' adamant refusal to lend them the owner's duplicate of OCT No. 15262
and to execute a deed of partition of the whole lot.
In claiming moral damages in the amount of P2,000.00 plaintiffs alleged that
defendants also refused to allow them to survey and segregate the portions bought by
them. Plaintiffs prayed that the court order the defendants to partition Lot 4685 and
to allow them to survey and segregate the portions they had purchased. They also
demanded payment of P800.00 as attorney's fees and cost of the suit.
In their answer, the defendants alleged that no sale ever transpired as the alleged
vendors could not have sold specific portions of the property; that plaintiffs'
possession and occupation of specific portions of the properties being illegal, they
among the six children of Lorenzo Lopez and their mother. In this connection, the
lower court also found that during his lifetime, and before Candido got married,
Lorenzo Lopez had divided Lot 4685 among his children who then took possession
of their respective shares. *
The defendants appealed said decision to this Court contending that the lower court
erred in declaring the two deeds of absolute sale as valid, in ordering the segregation
of the sold portions of Lot 4685 to enable the plaintiffs to obtain their respective
certificates of title, and in not considering their defense of prescription.
The extrinsic validity of the two deeds of absolute sale is not in issue in this case in
view of the finding of the trial court that the defendants admittedly do not question
their due execution. 13 What should pre-occupy the Court is the intrinsic validity of
said deeds insofar as they pertain to sales of designated portions of an undivided, coowned property.
In a long line of decisions, this Court has held that before the partition of a land or
thing held in common, no individual co-owner can claim title to any definite portion
thereof. All that the co-owner has is an Ideal or abstract quota or proportionate share
in the entire land or thing. 14
However, the duration of the juridical condition of co-ownership is not limitless.
Under Article 494 and 1083 of the Civil Code, co-ownership of an estate should not
exceed the period of twenty (20) years. And, under the former article, any agreement
to keep a thing or property undivided should be for a ten-year period only. Where the
parties stipulate a definite period of in division which exceeds the maximum allowed
by law, said stipulation shall be void only as to the period beyond such maximum. 15
Although the Civil Code is silent as to the effect of the in division of a property for
more than twenty years, it would be contrary to public policy to sanction coownership beyond the period set by the law. Otherwise, the 20-year limitation
expressly mandated by the Civil Code would be rendered meaningless.
In the instant case, the heirs of Lorenzo Lopez maintained the co-ownership for more
than twenty years. We hold that when Candido and his mother (who died before the
filing of the complaint for partition) sold definite portions of Lot 4685, they validly
exercised dominion over them because, by operation of law, the co-ownership had
ceased. The filing of the complaint for partition by the Oliverases who, as vendees,
The action for partition has not prescribed. Although the complaint was filed thirteen
years from the execution of the deeds of sale and hence, as contended by the
defendants-appellants, prescription might have barred its filing under the general
provision of Article 1144 (a) of the Civil Code, Article 494 specifically mandates that
each
co-owner may demand at any time the partition of the thing owned in common
insofar as his share is concerned. Hence, considering the validity of the conveyances
of portions of Lot 4685 in their favor and as subrogees of Candido Lopez, the
Oliverases' action for partition was timely and properly filed. 17
We cannot write finis to this decision without commenting on the compliance with
the resolution of September 1, 1986 of counsel for defendants-appellants. In said
resolution, the court required the parties to move in the premises "considering the
length of time that this case has remained pending in this Court and to determine
whether or not there might be supervening events which may render the case moot
and academic. 18 In his manifestation and motion dated August 12, 1987, said counsel
informed the Court that he had contacted the defendants-appellants whom he advised
"to move in the premises which is the land in question and to maintain the status quo
with respect to their actual possession thereon" and that he had left a copy of said
resolution with the defendants-appellants" for their guidance in the compliance of
their
obligations
(sic)
as
specified
in
said
resolution." 19
Obviously, said counsel interpreted literally the Court's directive "to move in the
premises." For the enlightenment of said counsel and all others of similar perception,
a "move in the premises" resolution is not a license to occupy or enter the premises
subject of litigation especially in cases involving real property. A "move in the
premises" resolution simply means what is stated therein: the parties are obliged to
inform the Court of developments pertinent to the case which may be of help to the
Court in its immediate disposition.
WHEREFORE, the decision of the lower court insofar as it declares the validity of
the two deeds of sale and directs the partition of Lot 4685, is AFFIRMED. The lower
court is hereby ordered to facilitate with dispatch the preparation of a project of
Galileo Delima declared the lot in his name for taxation purposes and paid the taxes
thereon from 1954 to 1965.
On February 29, 1968, petitioners, who are the surviving heirs of Eulalio and Juanita
Delima, filed with the Court of First Instance of Cebu (now Regional Trial Court) an
action for reconveyance and/or partition of property and for the annulment of TCT
No. 3009 with damages against their uncles Galileo Delima and Vicente Delima,.
Vicente Delima was joined as party defendant by the petitioners for his refusal to
join the latter in their action.
MEDIALDEA, J.:p
On January 16, 1970, the trial court rendered a decision in favor of petitioners, the
dispositive portion of which states:
IN VIEW OF THE FOREGOING CONSIDERATIONS, the
following are the declared owners of Lot No. 7758 of the TalisayMinglanilla Friar Lands Estate presently covered by transfer
Certificate of Title No. 3009, each sharing a pro-indiviso share of
one-fourth;
paid the remaining balance of the purchase price of the lot and the realty taxes
thereon (p. 26, Rollo).
Hence, this petition was filed with the petitioners alleging that the Court of Appeals
erred:
1) In not holding that the right of a co-heir to demand partition of
inheritance is imprescriptible. If it does, the defenses of
prescription and laches have already been waived.
2) In disregarding the evidence of the petitioners.(p.13, Rollo)
The issue to be resolved in the instant case is whether or not petitioners' action for
partition is already barred by the statutory period provided by law which shall enable
Galileo Delima to perfect his claim of ownership by acquisitive prescription to the
exclusion of petitioners from their shares in the disputed property. Article 494 of the
Civil Code expressly provides:
Art. 494. No co-owner shall be obliged to remain in the coownership. Each co-owner may demand at any time the partition of
the thing owned in common, insofar as his share is concerned.
Nevertheless, an agreement to keep the thing undivided for a
certain period of time, not exceeding ten years, shall be valid. This
term may be extended by a new agreement.
Not satisfied with the decision, respondents appealed to the Court of Appeals. On
May 19, 1977, respondent appellate court reversed the trial court's decision and
upheld the claim of Galileo Delima that all the other brothers and sister of Lino
Delima, namely Eulalio, Juanita and Vicente, had already relinquished and waived
their rights to the property in his favor, considering that he (Galileo Delima) alone
purposes of the statute of limitations is counted (Jaramil v. Court of Appeals, No. L31858, August 31, 1977, 78 SCRA 420).
Evidence shows that TCT No. 2744 in the name of the legal heirs of Lino Delima,
represented by Galileo Delima, was cancelled by virtue of an affidavit executed by
Galileo Delima and that on February 4, 1954, Galileo Delima obtained the issuance
of a new title in Ms name numbered TCT No. 3009 to the exclusion of his co-heirs.
The issuance of this new title constituted an open and clear repudiation of the trust or
co-ownership, and the lapse of ten (10) years of adverse possession by Galileo
Delima from February 4, 1954 was sufficient to vest title in him by prescription. As
the certificate of title was notice to the whole world of his exclusive title to the land,
such rejection was binding on the other heirs and started as against them the period
of prescription. Hence, when petitioners filed their action for reconveyance and/or to
compel partition on February 29, 1968, such action was already barred by
prescription. Whatever claims the other co-heirs could have validly asserted before
can no longer be invoked by them at this time.
ACCORDINGLY, the petition is hereby DENIED and the assailed decision of the
Court of Appeals dated May 19, 1977 is AFFIRMED.
SO ORDERED.
BIDIN, J.:
This is a petition for review on certiorari of the decision * of the Court of Appeals
dated December 24, 1980 in CA-G.R. No. 61841, entitled "Jacinto Mariategui, et al.
v. Maria del Rosario Mariategui, et al.," reversing the judgment of the then Court of
First Instance of Rizal, Branch VIII ** at Pasig, Metro Manila.
The undisputed facts are as follows:
Lupo Mariategui died without a will on June 26, 1953 (Brief for respondents, Rollo,
pp. 116; 8). During his lifetime, Lupo Mariategui contracted three (3) marriages.
With his first wife, Eusebia Montellano, who died on November 8, 1904, he begot
four (4) children, namely: Baldomera, Maria del Rosario, Urbana and Ireneo.
Baldomera died and was survived by her children named Antero, Rufina, Catalino,
Maria, Gerardo, Virginia and Federico, all surnamed Espina. Ireneo also died and left
a son named Ruperto. With his second wife, Flaviana Montellano, he begot a
daughter named Cresenciana who was born on May 8, 1910 (Rollo, Annex "A", p.
36).
complaint was one for recognition of natural children. On August 14, 1974, the
motion to dismiss was denied by the trial court, in an order the dispositive portion of
which reads:
It is therefore the opinion of the Court that Articles 278 and 285 of
the Civil Code cited by counsel for the defendants are of erroneous
application to this case. The motion to dismiss is therefore denied
for lack of merit.
SO ORDERED.(Ibid, p. 37).
On December 2, 1967, Lupo's descendants by his first and second marriages, namely,
Maria del Rosario, Urbana, Ruperto, Cresencia, all surnamed Mariategui and Antero,
Rufina, Catalino, Maria, Gerardo, Virginia and Federico, all surnamed Espina,
executed a deed of extrajudicial partition whereby they adjudicated unto themselves
Lot No. 163 of the Muntinglupa Estate. Thereafter, Lot No. 163 was the subject of a
voluntary registration proceedings filed by the adjudicatees under Act No. 496, and
the land registration court issued a decree ordering the registration of the lot. Thus,
on April 1, 1971, OCT No. 8828 was issued in the name of the above-mentioned
heirs. Subsequently, the registered owners caused the subdivision of the said lot into
Lots Nos. 163-A to 163-H, for which separate transfer certificates of title were issued
to the respective parties (Rollo, ibid).
On April 23, 1973, Lupo's children by his third marriage with Felipa Velasco
(Jacinto, Julian and Paulina) filed with the lower court an amended complaint
claiming that Lot No. 163 together with Lots Nos. 669, 1346 and 154 were owned by
their common father, Lupo Mariategui, and that, with the adjudication of Lot No.
163 to their co-heirs, they (children of the third marriage) were deprived of their
respective shares in the lots. Plaintiffs pray for partition of the estate of their
deceased father and annulment of the deed of extrajudicial partition dated December
2, 1967 (Petition, Rollo, p. 10). Cresencia Mariategui Abas, Flaviana Mariategui
Cabrera and Isabel Santos were impleaded in the complaint as unwilling defendants
as they would not like to join the suit as plaintiffs although they acknowledged the
status and rights of the plaintiffs and agreed to the partition of the parcels of land as
well as the accounting of their fruits (Ibid., Rollo, p. 8; Record on Appeal, p. 4).
The defendants (now petitioners) filed an answer with counterclaim (Amended
Record on Appeal, p. 13). Thereafter, they filed a motion to dismiss on the grounds
of lack of cause of action and prescription. They specifically contended that the
With respect to the legal basis of private respondents' demand for partition of the
estate of Lupo Mariategui, the Court of Appeals aptly held that the private
respondents are legitimate children of the deceased.
The petitioners submit to the Court the following issues: (a) whether or not
prescription barred private respondents' right to demand the partition of the estate of
Lupo Mariategui, and (b) whether or not the private respondents, who belatedly filed
the action for recognition, were able to prove their successional rights over said
estate. The resolution of these issues hinges, however, on the resolution of the
preliminary matter, i.e., the nature of the complaint filed by the private respondents.
Lupo Mariategui and Felipa Velasco were alleged to have been lawfully married in
or about 1930. This fact is based on the declaration communicated by Lupo
Mariategui to Jacinto who testified that "when (his) father was still living, he was
able to mention to (him) that he and (his) mother were able to get married before a
Justice of the Peace of Taguig, Rizal." The spouses deported themselves as husband
and wife, and were known in the community to be such. Although no marriage
certificate was introduced to this effect, no evidence was likewise offered to
controvert these facts. Moreover, the mere fact that no record of the marriage exists
does not invalidate the marriage, provided all requisites for its validity are present
(People vs. Borromeo, 133 SCRA 106 [1984]).
The complaint alleged, among other things, that "plaintiffs are the children of the
deceased spouses Lupo Mariategui . . . and Felipa Velasco"; that "during his lifetime,
Lupo Mariategui had repeatedly acknowledged and confirmed plaintiffs as his
children and the latter, in turn, have continuously enjoyed such status since their
birth"; and "on the basis of their relationship to the deceased Lupo Mariategui and in
accordance with the law on intestate succession, plaintiffs are entitled to inherit
shares in the foregoing estate (Record on Appeal, pp. 5 & 6). It prayed, among
others, that plaintiffs be declared as children and heirs of Lupo Mariategui and
adjudication in favor of plaintiffs their lawful shares in the estate of the decedent
(Ibid, p. 10).
A perusal of the entire allegations of the complaint, however, shows that the action is
principally one of partition. The allegation with respect to the status of the private
respondents was raised only collaterally to assert their rights in the estate of the
deceased. Hence, the Court of Appeals correctly adopted the settled rule that the
nature of an action filed in court is determined by the facts alleged in the complaint
constituting the cause of action (Republic vs. Estenzo, 158 SCRA 282 [1988]).
It has been held that, if the relief demanded is not the proper one which may be
granted under the law, it does not characterize or determine the nature of plaintiffs'
action, and the relief to which plaintiff is entitled based on the facts alleged by him in
his complaint, although it is not the relief demanded, is what determines the nature of
the action (1 Moran, p. 127, 1979 ed., citing Baguioro vs. Barrios, et al., 77 Phil.
120).
Mariategui
ay
pawang
mga
ama . . ." (Exh. M, Record on Appeal, pp. 65-66).
kapatid
ko
sa
In view of the foregoing, there can be no other conclusion than that private
respondents are legitimate children and heirs of Lupo Mariategui and therefore, the
time limitation prescribed in Article 285 for filing an action for recognition is
inapplicable to this case. Corollarily, prescription does not run against private
respondents with respect to the filing of the action for partition so long as the heirs
for whose benefit prescription is invoked, have not expressly or impliedly repudiated
the co-ownership. In other words, prescription of an action for partition does not lie
except when the co-ownership is properly repudiated by the co-owner (Del Banco vs.
Intermediate Appellate Court, 156 SCRA 55 [1987] citing Jardin vs. Hollasco, 117
SCRA 532 [1982]).
Otherwise stated, a co-owner cannot acquire by prescription the share of the other
co-owners absent a clear repudiation of co-ownership duly communicated to the
other co-owners (Mariano vs. De Vega, 148 SCRA 342 [1987]). Furthermore, an
action to demand partition is imprescriptible and cannot be barred by laches (Del
Banco vs. IAC, 156 SCRA 55 [1987]). On the other hand, an action for partition may
be seen to be at once an action for declaration of co-ownership and for segregation
and conveyance of a determinate portion of the property involved (Roque vs. IAC,
165 SCRA 118 [1988]).
Petitioners contend that they have repudiated the co-ownership when they executed
the extrajudicial partition excluding the private respondents and registered the
properties in their own names (Petition, p. 16; Rollo, p. 20). However, no valid
repudiation was made by petitioners to the prejudice of private respondents.
Assuming petitioners' registration of the subject lot in 1971 was an act of repudiation
of the co-ownership, prescription had not yet set in when private respondents filed in
1973 the present action for partition (Ceniza vs. C.A., 181 SCRA 552 [1990]).
In their complaint, private respondents averred that in spite of their demands,
petitioners, except the unwilling defendants in the lower court, failed and refused to
acknowledge and convey their lawful shares in the estate of their father (Record on
Appeal, p. 6). This allegation, though denied by the petitioners in their answer
(Ibid, p. 14), was never successfully refuted by them. Put differently, in spite of
petitioners' undisputed knowledge of their relationship to private respondents who
are therefore their co-heirs, petitioners fraudulently withheld private respondent's
SO ORDERED.
damages, 3 docketed as Civil Case No. 5174, against Pastor Makibalo, Enecia Cristal,
and the spouses Eulogio and Remedies Salvador. They alleged that Lot No. 6080 and
Lot No. 6180 are the common property of the heirs of Alipio Yabo, namely, the
plaintiffs, defendant Enecia Cristal, Maria Yabo and Jose Yabo, whose share had
been sold to Alberto Yabo; that after Alipio's death, the spouses Pastor and Maria
Makibalo, Enecia Cristal and Jose Yabo became the de facto administrators of the
said properties; and that much to their surprise, they discovered that the Salvador
spouses, who were strangers to the family, have been harvesting coconuts from the
lots, which act as a cloud on the plaintiffs' title over the lots.
The plaintiffs then prayed that (a) they, as well as defendant Pastor Makibalo, in
representation of his wife, and Enecia Cristal, in representation of Gaudencia, be
declared as the owners of the lots; (b) the Salvador spouses be declared as having no
rights thereto except as possible assignees of their co-defendants, Pastor Makibalo
and Enecia Cristal; (c) the lots be partitioned according to law among the
aforementioned co-owners; and (d) the defendants be made to pay for the value of
the fruits they harvested from the lots and for moral and exemplary damages,
attorney's fees, expenses of the litigation, and costs of the suit.
The two cases were consolidated and jointly heard by Branch 5 of the Court of First
Instance of Cagayan de Oro City.
By evidence, Pastor, Makibalo sought to prove the following allegations:
He was married to Maria Yabo who died on 17 March 1962. 4 In August 1949, Jose
and Victoriano, both surnamed Yabo, sold their respective shares in the disputed lots
to one Pedro Ebarat, and in 1952 the latter sold both shares to Pastor
Makibalo. 5 Ebarat formalized this conveyance by executing an Affidavit of Waiver
and Quitclaim dated 30 May 1969 in favor of Pastor. 6
On 16 January 1951, the heirs of the late Lope Yabo sold Lope's shares in the
litigated properties to one Dominador Canomon, 7 who, in turn, sold the same to
Pastor. 8 Canomon afterwards executed an Affidavit of Waiver and Quitclaim in favor
of the latter. 9
Pastor Makibalo likewise purchased the shares of Baseliza in the two lots in 1942, of
Procopio in 1957, of Francisca in 1958, and of Pelagia in 1967. The only share he
In December 1968, Pastor mortgaged the two lots to the spouses Eulogio and
Remedios Salvador. 12 On 26 September 1978, he executed a document denominated
as a "Confirmation and Quitclaim" whereby he waived all his rights, interests, and
participation in the lots in favor of the Salvador spouses. 13
On the other hand, by their evidence, l4 the spouses Alberto and Elpia Yabo tried to
prove that they had repurchased from Pastor Makibalo the share of Procopio, which
was previously sold to Pastor, and had bought the shares of Jose and Maria. 15
Filoteo Yabo denied having sold the share of his father, Lope Yabo, in the contested
lots and disowned his signature and those of his mother, brothers, and sisters
appearing at the back of Exhibit "C". 16
Ignacio Yabo testified that his father, Victoriano Yabo, did not know how to write
and sign his name. He further declared that he had no knowledge that his father
affixed his thumbmark in the document marked as Exhibit "A" purporting to alienate
his father's share in the disputed lots. l7
On 15 January 1983, the trial court rendered its decision 18 holding as follows:
Assuming that the thumbmark on the typewritten name "Jose
Yabo" in Exh. 3 was that of Jose Yabo, Alberto Yabo and Elpia R.
Yabo purchased the share of Jose Yabo in bad faith because they
knew before and up to the execution of Exh. 3 on October 24, 1972
that Jose Yabo was no longer the owner of that area because from
the documents she borrowed from Mrs. Salvador they came to
know that Jose Yabo had sold his shares to Pedro Ebarat, and they
have seen that Pastor Makibalo has been in possession of those
shares together with the seven others exclusively as owner, he
having mortgaged them to Mrs. Salvador.
their inaction for a very long period and their rights have become
stale. On the other hand, Pastor Makibalo who had been in
possession of the whole of the eight shares in both Lots 6080 and
6180, enjoying the fruits thereof exclusively, uninterruptedly,
publicly, peacefully, and continuously from the death of Maria
Yabo up to the filing of the complaint in Civil Case No. 5174 on
October 8, 1976, or a period of 14 years, had acquired title to the
whole of the eight shares in Lot 6080 and seven shares in Lot 6180
(the share of Procopio in Lot 6180 had been sold back to Alberto
Yabo).
IN VIEW OF ALL THE FOREGOING, judgment is hereby
rendered finding Pastor Makibalo, now Eulogio Salvador and
Remedios Salvador the owner of eight (8) shares, equivalent to
eight-ninth (8/9) of Lot No. 6080, and of seven (7) shares,
equivalent to seven-ninth (7/9) of Lot No. 6180, and therefore,
ordering the partition of Lot 6080 so that the one-ninth (1/9)
alloted to Gaudencia Yabo will go to her heirs or their assigns, and
the remaining eight-ninth (8/9) will go to the spouses Eulogio
Salvador and Remedios Salvador, as successor of Pastor Makibalo,
and the partition of Lot 6180 so that the seven-ninth (7/9) portion
which formerly belonged to Baseliza, Victoriano, Jose, Lope,
Maria, Francisca, and Pelagia will go to the spouses Eulogio and
Remedios Salvador, the one-ninth (1/9) which formerly belonged
to Procopio, will go to Alberto Yabo, and the remaining one-ninth
(1/9) which formerly belonged to Gaudencia, will go to
Gaudencia's heirs or their assigns.
Doc. No. 720, recorded on page 28 of Notarial Register No. VII,
and acknowledged before Notary Public Isidro S. Baculio (Exh. E)
[purportedly executed by Maria Yabo and Pastor Makibalo] is
hereby declared null and void, and so the Office of the City Fiscal
is directed to cause an investigation of this matter to find out the
person or persons responsible for the falsification of the said
document, and if the evidence warrants, to file the corresponding
criminal action in court. The Office of the City Assessor of
Cagayan de Oro City is, likewise, directed to cause the cancellation
of Tax Declarations Nos. 33553, marked as Exh. H-3, 33557,
be entitled to-one-half (1/2) of her estate, her brother, Jose, and the children of her
other brothers and sisters, who shall inherit the other half. There having been no
actual partition of the estate yet, the said heirs became co-owners thereof by
operation of law. 28
We now determine whether prescription and laches can be applied against the coheirs of Pastor Makibalo.
It has been said that Article 494 of the Civil Code which provides that each co-owner
may demand at any time the partition of the common property implies that an action
to demand partition is imprescriptible or cannot be barred by laches. 29 The
imprescriptibility of the action cannot, however, be invoked when one of the coowners has possessed the property as exclusive owner and for a period sufficient to
acquire it by prescription. 30
What needs to be addressed first is whether or not Pastor Makibalo has acquired by
prescription the shares of his other co-heirs or co-owners. Prescription as a mode of
acquiring ownership requires a continuous, open, peaceful, public, and adverse
possession for a period of time fixed by law.
This Court has held that the possession of a co-owner is like that of a trustee and
shall not be regarded as adverse to the other co-owners but in fact as beneficial to all
of them. 31 Acts which may be considered adverse to strangers may not be considered
adverse insofar as co-owners are concerned. A mere silent possession by a co-owner,
his receipt of rents, fruits or profits from the property, the erection of buildings and
fences and the planting of trees thereon, and the payment of land taxes, cannot serve
as proof of exclusive ownership, if it is not borne out by clear and convincing
evidence that he exercised acts of possession which unequivocably constituted an
ouster or deprivation of the rights of the other co-owners. 32
Thus, in order that a co-owner's possession may be deemed adverse to the cestui que
trust or the other co-owners, the following elements must concur: (1) that he has
performed unequivocal acts of repudiation amounting to an ouster of the cestui que
trust or the other co-owners; (2) that such positive acts of repudiation have been
made known to the cestui que trust or the other co-owners; and (3) that the evidence
thereon must be clear and convincing. 33
share in the entire lot, that the statute of limitations started to run
for the purposes of the action instituted by the latter seeking a
declaration of the existence of the co-ownership and of their rights
thereunder.
The records do not show that Pastor Makibalo adjudicated to himself the whole
estate of his wife by means of an affidavit filed with the Office of the Register of
Deeds as allowed under Section 1 Rule 74 of the Rules of Court, or that he caused
the issuance of a certificate of title in his name or the cancellation of the tax
declaration in Alipio's name and the issuance of a new one in his own name. The
only act which may be deemed as a repudiation by Pastor of the co-ownership over
the lots is his filing on 28 April 1976 of an action to quiet title (Civil Case No. 5000).
The period of prescription started to run only from this repudiation. However, this
was tolled when his co-heirs, the private respondents herein, instituted on 8 October
1976 an action for partition (Civil Case No. 5174) of the lots. Hence, the adverse
possession by Pastor being for only about six months would not vest in him
exclusive ownership of his wife's estate, and absent acquisitive prescription of
ownership, laches and prescription of the action for partition will not lie in favor of
Pastor. 35
The issue presented by the petitioners in their third assigned error involves a question
of fact. This Court is not ordinarily a trier of facts, its jurisdiction being limited to
errors of law. Thus; the findings of facts of the Court of Appeals are as a rule deemed
conclusive. However, when the findings of facts of the appellate court vary with
those of the trial court, this Court has to review the evidence in order to arrive at the
correct findings. 36
In the instant case, a conflict in the findings of facts of the lower courts exists. The
trial court found that Pastor was the owner of Procopio's share in Lot No. 6080, as
there was nothing to show that he sold it back to Alberto Yabo. The respondent court
on the other hand, held that Procopio Yabo never sold his share in Lot No. 6080 to
pastor, thus, there was no need to convey it back to Procopio's son, Alberto.
At this juncture, it is worthy to quote pertinent portions of the testimony of Pastor
Makibalo:
COURT: (To the witness.)
A Yes.
Q In whose land?
A Alipio Yabo's land.
A I bought already.
A In 1967.
COURT: (To the witness.)
COURT:
Q Did you give that portion which they
requested?
A Their share being inherited from their father
Procopio was the portion they requested.
COURT
Section 1, Rule 69 of the Rules of Court requires that all persons interested in the
land sought to be partitioned must be joined as defendants in the complaints. All coowners and persons having an interest in the property are considered indispensable
parties and an action for partition will not lie without the joinder of said persons. 39 It
has been held that the absence of an indispensable party in a case renders ineffective
all the proceedings subsequent to the filing of the complaint including the
judgment. 40
It must be recalled that in Civil Case No. 5174 the private respondents sought the
partition of the two lots based on the co-ownership which arose from the right of
succession to Alipio's estate. Since Jose Yabo confirmed, through his thumbmark in
the verification of the complaint, that he had already parted with his share in Alipio's
estate, he in effect admitted that he had ceased to be a co-owner of the two lots which
comprised his father's estate. Thus, his non-joinder as a party-plaintiff in the
complaint would appear to be proper. He does not, as well, appear to be an
indispensable party in Civil Case No. 5000.
As it turned out, however, the evidence and the issues which cropped up rendered
imperative the determination of the conjugal assets of Pastor Makibalo and Maria
Yabo and the partition of the latter's estate among her heirs. Her estate consists of
one-half() of the conjugal properties, which should then be divided pursuant to
Article 1001 of the Civil Code since the marriage produced no child; thus: one-half
() to Pastor, and the other half to her brother Jose, and to her nephews and nieces.
Insofar as the partition of Maria Yabo's estate is concerned, Jose is an indispensable
party. Strictly, the rule on indispensable parties may bar a partition of Maria's estate.
Considering, however, that such estate or its partition are but incidents in Civil Case
No. 5000 and Civil Case No. 5174, and the parties have not offered any objection to
the propriety of the determination and partition of her estate, then in the light of
Section 11 of Rule 3 41 and Sections 1 and 5, Rule 10 42 of the Rules of Court, and
following the rulings of this Court in the 1910 case of Alonso vs. Villamor 43 and the
1947 case of Cuyugan vs. Dizon, 44 an amendment of the complaint in Civil Case No.
5174 to implead Jose Yabo as party plaintiff would be in order.
In Alonso, it was held that under Section 110 of the Code of Civil Procedure
whose first paragraph is substantially the same as the aforesaid Section 1 of Rule 10
We, however, do not believe that the case should be dismissed for
plaintiff's failure to join her husband. (Sec. 11, Rule 2, Rules of
Court). Nor should the case be remanded to the court below and a
new trial ordered on this account. The complaint may and should
be amended here, to cure the defect of party plaintiffs, after final
decision is rendered. Section 11, Rule 2, and Section 2, Rule 17,
explicitly authorize such procedure. As this Court had occasion to
say in Quison vs. Salud, (12 Phil., 109, 116), "a second action
would be but a repetition of the first and would involve both
parties, plaintiffs and defendant, in much additional expense and
would cause much delay, in that way defeating the purpose of the
section, which is expressly stated to be "that the actual merits of
the controversy may speedily be determined without regard to
technicalities and in the most expeditious and inexpensive
manner." (See also Diaz vs. De la Rama, 73 Phil., 104)
(a) 1/2 for the petitioners (as successors-ininterest of Pastor Makibalo), and
To avoid further delay in the disposition of this case, we declare Civil Case No. 5174
as thus duly amended. Consequently, Jose Yabo may participate in the partition of
the estate of Maria Yabo. The fourth assigned error must then be rejected.
In view of the foregoing disquisitions, the appealed judgment should be modified as
follows: (a) the former 1/9 share of Pelagia Yabo in Lots No. 6180 and 6080 which
she sold to Pastor should be treated as the latter's exclusive property which should
now pertain to the petitioners, his successors-in-interest; and (b) the former 1/9 share
of Procopio Yabo in both lots should be divided as follows: 3/4 (respondent Pastor's
1/2 conjugal share and 1/4 representing his share therein as Maria's heir) for the
spouses Alberto and Elpia Yabo, and 1/4 (representing the share therein of Maria's
collateral relatives as Maria's heirs) for the private respondents, including Alberto
and Jose Yabo. The partition of the two lots in controversy should therefore be made
in this wise:
(1) 1/9 share of Gaudencia Yabo should be allotted to her heirs or
successors-in-interest;
of real property4 dated November 1, 1948, Macario claimed that Dionisia had
donated her share to him in May 1945.
Thereafter, on August 9, 1977, Macario and his daughters Betty Gullaba and Saida
Gabelo sold5 225 sq. m. to his son Roger Espinocilla, husband of respondent Belen
Espinocilla and father of respondent Ferdinand Espinocilla. On March 8, 1985,
Roger Espinocilla sold6 114 sq. m. to Caridad Atienza. Per actual survey of Lot No.
552, respondent Belen Espinocilla occupies 109 sq. m., Caridad Atienza occupies
120 sq. m., Caroline Yu occupies 209 sq. m., and petitioner, Salvacion's son,
occupies 132 sq. m.7
SO ORDERED.
Petitioner sued the respondents to recover two portions: an area of 28.5 8 sq. m. which
he bought from Aspren and another 28.5 sq. m. which allegedly belonged to him but
was occupied by Macarios house.9 His claim has since been modified to an alleged
encroachment of only 39 sq. m. that he claims must be returned to him. He avers that
he is entitled to own and possess 171 sq. m. of Lot No. 552, having inherited 142.5
sq. m. from his mother Salvacion and bought 28.5 sq. m. from his aunt Aspren.
According to him, his mothers inheritance is 142.5 sq. m., that is, 114 sq. m. from
Doroteo plus 28.5 sq. m. from Dionisia. Since the area he occupies is only 132 sq.
m.,10 he claims that respondents encroach on his share by 39 sq. m.11
The Case
Petitioner Celerino E. Mercado appeals the Decision 1 dated April 28, 2008 and
Resolution2 dated July 22, 2008 of the Court of Appeals (CA) in CA-G.R. CV No.
87480. The CA dismissed petitioners complaint3 for recovery of possession, quieting
of title, partial declaration of nullity of deeds and documents, and damages, on the
ground of prescription.
Respondents agree that Doroteos five children each inherited 114 sq. m. of Lot No.
552. However, Macarios share increased when he received Dionisias share.
Macarios increased share was then sold to his son Roger, respondents husband and
father. Respondents claim that they rightfully possess the land they occupy by virtue
of acquisitive prescription and that there is no basis for petitioners claim of
encroachment.12
February 1, 2012
CELERINO
E.
MERCADO, Petitioner,
vs.
BELEN* ESPINOCILLA** AND FERDINAND ESPINOCILLA, Respondents.
DECISION
The CA Decision
On appeal, the CA reversed the RTC decision and dismissed petitioners complaint
on the ground that extraordinary acquisitive prescription has already set in in favor of
respondents. The CA found that Doroteos four remaining children made an oral
partition of Lot No. 552 after Dionisias death in 1945 and occupied specific
portions. The oral partition terminated the co-ownership of Lot No. 552 in 1945. Said
partition also included Dionisias share because the lot was divided into four parts
only. And since petitioners complaint was filed only on July 13, 2000, the CA
concluded that prescription has set in.16 The CA disposed the appeal as follows:
WHEREFORE, the appeal is GRANTED. The assailed May 15, 2006 Decision of
the Regional Trial Court (RTC) of Bulan, Sorsogon is hereby REVERSED and SET
ASIDE. The Complaint of the [petitioner] is hereby DISMISSED. No costs.17
The Instant Petition
The core issue to be resolved is whether petitioners action to recover the subject
portion is barred by prescription.
Petitioner confirms oral partition of Lot No. 552 by Doroteo's heirs, but claims that
his share increased from 114 sq. m. to 171 sq. m. and that respondents encroached on
his share by 39 sq. m. Since an oral partition is valid, the corresponding survey
ordered by the RTC to identify the 39 sq. m. that must be returned to him could be
made.18 Petitioner also alleges that Macario committed fraud in acquiring his share;
hence, any evidence adduced by him to justify such acquisition is inadmissible.
Petitioner concludes that if a person obtains legal title to property by fraud or
concealment, courts of equity will impress upon the title a so-called constructive
trust in favor of the defrauded party.19
The Courts Ruling
We affirm the CA ruling dismissing petitioners complaint on the ground of
prescription.1wphi1
Prescription, as a mode of acquiring ownership and other real rights over immovable
property, is concerned with lapse of time in the manner and under conditions laid
down by law, namely, that the possession should be in the concept of an owner,
lapse of time.25 Petitioners action for recovery of possession having been filed 55
years after Macario occupied Dionisias share, it is also barred by extinctive
prescription. The CA while condemning Macarios fraudulent act of depriving his
three sisters of their shares in Dionisias share, equally emphasized the fact that
Macarios sisters wasted their opportunity to question his acts.
Here, petitioner himself admits the adverse nature of respondents possession with
his assertion that Macarios fraudulent acquisition of Dionisias share created a
constructive trust. In a constructive trust, there is neither a promise nor any fiduciary
relation to speak of and the so-called trustee (Macario) neither accepts any trust nor
intends holding the property for the beneficiary (Salvacion, Aspren, Isabel). The
relation of trustee and cestui que trust does not in fact exist, and the holding of a
constructive trust is for the trustee himself, and therefore, at all times
adverse.21 Prescription may supervene even if the trustee does not repudiate the
relationship.22
WHEREFORE, we DENY the petition for review on certiorari for lack of merit
and AFFIRM the assailed Decision dated April 28, 2008 and Resolution dated July
22, 2008 of the Court of Appeals in CA-G.R. CV No. 87480.
Then, too, respondents uninterrupted adverse possession for 55 years of 109 sq. m.
of Lot No. 552 was established. Macario occupied Dionisias share in 1945 although
his claim that Dionisia donated it to him in 1945 was only made in a 1948 affidavit.
We also agree with the CA that Macarios possession of Dionisias share was public
and adverse since his other co-owners, his three other sisters, also occupied portions
of Lot No. 552. Indeed, the 1977 sale made by Macario and his two daughters in
favor of his son Roger confirms the adverse nature of Macarios possession because
said sale of 225 sq. m. 23 was an act of ownership over Macarios original share and
Dionisias share. In 1985, Roger also exercised an act of ownership when he sold 114
sq. m. to Caridad Atienza. It was only in the year 2000, upon receipt of the summons
to answer petitioners complaint, that respondents peaceful possession of the
remaining portion (109 sq. m.) was interrupted. By then, however, extraordinary
acquisitive prescription has already set in in favor of respondents. That the RTC
found Macarios 1948 affidavit void is of no moment. Extraordinary prescription is
unconcerned with Macarios title or good faith. Accordingly, the RTC erred in ruling
that Macario cannot acquire by prescription the shares of Salvacion, Aspren, and
Isabel, in Dionisias 114-sq. m. share from Lot No. 552.
No pronouncement as to costs.
SO ORDERED.
for
plaintiff-appellee.
CONCEPCION, C.J.:
Appeal by the defendants from a decision of the Court of First Instance of Manila.
Plaintiff, Jose Maria Ramirez, brought this action [[1]] against defendants Jose
Eugenio Ramirez, Rita D. Ramirez, Belen T. Ramirez, David Margolies, Manuel Uy
& Sons, Inc., the Estate of the late Jose Vivencio Ramirez represented by its judicial
administrator, the Bank of the Philippine Islands, and Angela M. Butte hereinafter
As regards the last alleged error, it is obvious that the segregation of plaintiff's share
inures to the benefit not only of the plaintiff, but, also, of the defendants, and that
both should, consequently, defray the incidental expenses.
This brings us to the second issue raised by appellants: whether the lower court
should have adopted the plan submitted by their own commissioner, or "in not taking
into consideration," at least, a proposal made by plaintiff herein. In this connection, it
appears that said commissioner [[5]] recommended that plaintiff's share be given a
frontage of 6.14 lineal meters at Plaza Sta. Cruz, whereas the commissioner for the
Court [[6]] favored a frontage of 12.66 square meters at said Plaza; that defendants'
main objection to the plan recommended by commissioner Valencia [[7]] and adopted
by the lower court, is that it left behind the portion awarded to plaintiff, a lot of 169
square meters, which would have to be divided among the defendants, should they
later wish to have their individual shares segregated; and that, in order to offset this
objection, plaintiff expressed in one of the pre-trials held in the lower court and in
order to "facilitate early termination" of the case the willingness "to buy from the
other co-owners the remaining portion of the land behind his lot at P1,000 per square
meter."
Reyes, J.B.L., Dizon, Makalintal, Zaldivar, Sanchez, Castro, Angeles and Fernando,
JJ.,
concur.
Bengzon, J.P., J., is on leave.
The record does not show that this offer of the plaintiff had not been "taken into
consideration" by the lower court. Moreover, defendants had not accepted it.
Andneither do they accept it now, for they would want the plaintiff to pay a price
higher than that offered by him. Upon the other hand, the disadvantage resulting to
the defendants from the existence of said lot of 169 square meters, behind that
awarded to the plaintiff, is offset by the fact that the remaining portion of the land in
question representing defendants' collective share has, in addition to a frontage
of around 40 meters on Plaza Santa Cruz, a frontage of 24.13 meters on Escolta
Street, which apart from being, admittedly, the most valuable one, is totally denied to
the plaintiff. Then, again the Cuervo plan giving plaintiff a 6.14 meters frontage of
Plaza Sta. Cruz, goes all the way down to the Western end of the property, the Estero
de la Reina, and would require a partition of the residential building, on that part of
the property in question, which the very plaintiff says is indivisible, because it would
render said building "unserviceable for the purpose for which it is intended." [[8]]
WHEREFORE, the decision appealed from is hereby the costs of this instance
against herein defendants-appellants. It is so ordered.
(a) To the surviving spouses, (sic) Simprosa Vda. de Espina, herein plaintiffs, onehalf (1/2) of the parcel of land adjudicated to each of said plaintiffs-heirs and
defendants;
On August 23, 1973 an action for partition of the aforementioned parcels of land was
filed by petitioners Simprosa and her children Recaredo, Timoteo, Celia, Gaudencia
and Necifora.
The complaint alleges that parcel No. 1 is the exclusive property of the deceased,
hence the same is owned in common by petitioners and private respondents in eight
(8) equal parts, while the other three (3) parcels of land being conjugal properties,
are also owned in common, one-half (1/2) belongs to the widow Simprosa and the
other half is owned by her and her children in eight (8) equal parts.
It also alleges that parcel No. 1 has been subdivided into two lots. Lot No. 994 PL844 is covered by Original Certificate of Title No. 5570 in the name of one of the
heirs, Sofia Espina, who acquired the title as a trustee for the beneficiaries or heirs of
Marcos Espina, while lot No. 1329 PCS-44 is covered by Original Certificate of Title
No. 3732 issued in the name of one of the heirs, Jose Espina as trustee for the heirs
of Marcos Espina. Said parcel of land is in the possession of petitioners and private
respondents who have their respective houses thereon.
Simprosa presently occupies parcel No. 2 while parcel No. 3 is occupied by Timoteo,
although the same is actually titled in the name of Sofia. Parcel No. 4 is occupied by
Recaredo.
Petitioners have several times demanded the partition of the aforementioned
properties, but notwithstanding such demands private respondents refused to accede.
Private respondents alleged in their answer that in or about April, 1951, the late
Marcos Espina and his widow, Simprosa, together with their children made a
temporary verbal division and assignment of shares among their children. After the
death of Marcos, the temporary division was finalized by the heirs. Thereafter the
heirs took immediate possession of their respective shares on April 20, 1952. Private
respondents took actual physical possession of their respective shares including the
portions ceded to them by Simprosa upon their payment of P50.00 each per quarter
starting April, 1952 until the latter's death pursuant to their contract of procession
The assignment of shares was as follows:
1. To Recaredo (sic) Espina, one-half (1/2) portion which contains an area of one and
three-fourths (1 3/4) hectares and which forms part of Parcel 4 whose description is
given in paragraph III of the complaint, the said Parcel IV has been in the possession
of both Recaredo Espina and plaintiff Simprosa Vda. de Espina from April 20, 1952
until the present time;
2. To Timoteo Espina, one half (1/2) portion which contains an area of not less than
one-half (1/2) hectare and which forms part of Parcel 3 whose description is given in
paragraph III of the complaint, the said Parcel III was originally assigned by Marcos
Espina who thereupon obtained an Original Certificate of Title in her (sic) name but
was finally adjudicated to said Timoteo Espina in April, 1952, the other half (1/2)
portion of which parcel III was the share of the surviving spouses (sic), Simprosa
Vda. de Espina, and said Parcel III has been in the possession of said Timoteo Espina
and Simprosa Vda. de Espina from April, 1952 until the present time as their share;
3. To Cecilia (sic) Espina, Gaudiosa Espina and Necifora Espina, one-half (1/2)
portion, share and share alike which contains two (2) hectares and which forms part
of Parcel II whose description is given in paragraph III of the complaint, the other
half (1/2) of said Parcel III (sic) is the share of the surviving spouses (sic) Simprosa
Vda. de Espina, and said Parcel III (sic) has been in the possession of said Cecilia.
(sic) Espina, Gaudiosa Espina and Necifora Espina and Simprosa Vda. de Espina
from April, 1952 until the present time;
4. To Sofia Espina, one-half (1/2) portion of the parcel of land included in the
deception of Parcel 1 in paragraph III of the complaint, the other half (1/2) of said
parcel being the share of the surviving spouses (sic) Simprosa Vda. de Espina and
having been ceded by said Simprosa Vda. de Espina to said Sofia Espina for a
valuable consideration payable quarterly at the rate of P50.00 beginning April, 1952
until her death, and said Sofia Espina has been regularly paying to said Simprosa
Vda. de Espina quarterly from April, 1952 the said amount of P50.00 until the
present time, and by virtue of said agreement, Sofia Espina obtained Original
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On May 9, 1975 the trial court granted the motion and thereafter dismissed the
complaint. On May 23, 1975 petitioners filed a motion for reconsideration on the
following grounds, to wit:
1. THAT THE ORDER OF DISMISSAL HAS NO LEGAL BASIS IN FACT AND
IN LAW.
2. THAT THE STATUTE OF LIMITATIONS IS NOT APPLICABLE IN THE CASE
AT BAR. (Rollo, p. 50)
However, petitioners' motion was denied in an order dated July 23, 1975. On August
11, 1975 petitioners filed another motion for reconsideration stressing that they were
denied due process when their motion was not heard. Again said motion was denied
on August 13, 1975.
Thereafter, petitioners filed their notice of appeal on September 11, 1975 and a
motion for extension of time to file their Record on Appeal on September 18, 1975.
On March 15, 1976, the respondent judge disapproved petitioners' Record on Appeal
and appeal bond on the ground that the notice of appeal was filed out of time. Hence,
this petition. The petitioners raised four (,41) assignment of errors:
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II
xxx
4. Whether or not the second motion for reconsideration is pro forma Rollo, p. 10)
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III
THAT THE PLAINTIFFS HAS NO LEGAL CAPACITY TO SUE, (Motion to
Dismiss Complaint, pp. 1-5; Rollo, pp. 34-38)
Petitioners maintain that the present action is not for reconveyance but one for
partition. Hence, the rule insisted by the private respondents on prescriptibility of an
action for reconcile conveyance of real property based on an implied trust is not
applicable in the case at bar. In addition, petitioners, argue that private respondents
cannot set up the defense of prescription or laches because their possession of the
Therefore, it is very evident that the second motion for reconsideration being proforma did not suspend the running of the period of appeal. Thus, the lower court
committed no error when it held that the notice of appeal was filed after the lapse of
thirty five (35) days, which is clearly beyond the period of thirty (30) days allowed
by the rules.
Finally, it has been a basic rule that certiorari is not a substitute for appeal which had
been lost. (see Edra v. Intermediate Appellate Court, G.R. No. 75041, November 13,
1989, 179 SCRA 344) A special civil action under Rule 65 of the Rules of Court will
not be a substitute or cure for failure to file a timely petition for review
oncertiorari (appeal) under Rule 45 of the Rules of Court. (Escudero v. Dulay, G.R.
No. 60578, February 23, 1988, 158 SCRA 69, 77)
The application of the abovecited rule should be relaxed where it is shown that it will
result in a manifest failure or miscarriage of justice. (Ibid, p. 77) However, as
emphasized earlier, the case at bar is totally devoid of merit, thus, the strict
application of the said file will not in any way override sub-substantial justice.
We adhere to the findings of the trial court that the second motion for reconsideration
dated August 11, 1975 ispro forma, to it
Therefore, the delay of five (5) days in filing a notice of appeal and a motion for
extension to file a record on appeal cannot be excused on the basis of equity.
The grounds stated in said motion being in reiteration of the same grounds alleged in
his first motion, the same is pro-forma. (Order dated March 15, 1976, p. 2, Rollo, p.
74)
All premises considered, the Court is convinced that the acts of respondent judge, in
dismissing the action for partition and in subsequently denying the motions for
reconsideration of the petitioners, does not amount to grave abuse of discretion.
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Furthermore, the second motion for reconsideration has not stated new grounds
considering that the alleged failure of the Clerk of Court to set plaintiffs' motion for
reconsideration, although seemingly a different ground than those alleged in their
first motion for reconsideration, is only incidental to the issues raised in their first
motion for reconsideration, as it only refers to the right of plaintiffs' counsel to argue
his motion in court just to amplify the same grounds already deed by the court. (Ibid,
p. 3, Rollo, p. 75)
SO ORDERED.
Narvasa, Cruz, Gancayco and Grio-Aquino, JJ., concur.