Professional Documents
Culture Documents
Facts: Alfredo R. Bautista (Bautista), petitioners predecessor, inherited in1983 a freepatent land. A few years
later, he subdivided the property and sold it toseveralvendees,hereinrespondents,viaanotarizeddeedofabsolute
sale. Three years afterthe sale, or onAugust5,1994,Bautistafiledacomplaintforrepurchaseagainstrespondents,
anchoring his cause of action on Section 119of CommonwealthActNo. (CA)141,otherwiseknownasthePublic
Land Act, which reads: SECTION 119. Every conveyance of land acquired under the free patent or homestead
provisions, when proper,shallbesubjecttorepurchasebytheapplicant,hiswidow,or legalheirs,withinaperiodof
fiveyears from the date of theconveyance. Respondents, intheir Answer, raisedlackofcause ofaction,estoppel,
prescription,andlaches,asdefenses.
RTC issued the assailedorder dismissing the complaint for lack of jurisdiction. The trial court found that Bautista
failedtoallegeinhiscomplaintthatthevalueofthesubjectpropertyexceeds20thousandpesos.
Issue: WON the action filed by petitioners is one involving title to or possession of real propertyor any interest
thereinoroneincapableofpecuniaryestimation.
Held: The Court rules that the complaint to redeem a land subject of a free patent is acivil action incapable of
pecuniary estimation. The facts are clear that Bautista sold to respondents his lots which werecovered by a free
patent. While the deeds of sale do not explicitlycontain the stipulation that thesale is subjecttorepurchasebythe
applicant within a period of five(5) years from the date of conveyance pursuantto Sec. 119 ofCA141, still,such
legal provision isdeemedintegratedandmadepartofthedeedofsaleasprescribedbylaw. Itisbasicthatthelaw is
deemed written into every contract. At first blush, it appears that the action filed by Bautista involves title to or
possession of the lotshesoldtorespondents.Sincethetotalsellingprice islessthanPhP20,000,thentheMTC,not
the RTC, has jurisdiction overthe case. This propositionis incorrectforthereacquisitionofthelotsbyBautistaor
herein successorsininterests,the present petitioners, is but incidentaltoandan offshootoftheexerciseoftheright
by thelattertoredeem saidlotspursuantto Sec.119ofCA141.Thereconveyanceofthetitleto petitionersissolely
dependent on the exercise of such right to repurchase the lots in question and is not the principalor main relief or
remedy sought. Thus, theactionofpetitionersis,inreality,incapableofpecuniaryestimation, andthereconveyance
of the lot is merely the outcome of the performance of the obligation to return the property conformably to the
express provision of CA 141. Evenif we treatthepresentactionasoneinvolvingtitle torealpropertyoraninterest
therein which falls under the jurisdiction of the firstlevelcourtunderSec.33ofBP129,asthetotalsellingpriceis
onlyPhP 16,000 way belowthe PhP 20,000 ceiling,still, the postulation of respondents that MTChasjurisdiction
will not hold water. This is because respondents have actually participated in theproceedings before the RTC and
aggressivelydefended their position, and by virtue of which they arealready barred to question the jurisdiction of
theRTCfollowingtheprincipleofjurisdictionbyestoppel.
MarilagvMartinez
Facts: On July 30, 1992, Rafael Martinez (Rafael), respondent's father, obtained from petitioner a loan in the
amount of P160,000.00, with a stipulated monthlyinterest of fivepercent (5%), payable within a period of six (6)
months. The loan was securedby a real estate mortgage over a parcelof land. Rafael failed to settlehisobligation
upon maturity and despite repeated demands, prompting petitioner tofile a Complaint for Judicial Foreclosure of
Real Estate Mortgage before theRTCofImus,Cavite.Rafaelfailedtofile hisanswerand,uponpetitioner'smotion,
was declared in default. After an ex parte presentationofpetitioner's evidence, the RTCImus issuedaDecision9
dated January 30, 1998, (January 30, 1998 Decision) in theforeclosure case, declaring thestipulated 5% monthly
interest to be usurious and reducing the same to 12% per annum (p.a.). Accordingly, it ordered Rafael to pay
petitioner the amount of P229,200.00, consistingoftheprincipalofP160,000.00andaccruedinterestofP59,200.00
fromJuly30,1992toSeptember30,1995.10RecordsdonotshowthatthisDecisionhadalreadyattainedfinality.
Issue:WONresjudicatawouldapply
In the present case, records show that petitioner, as creditor mortgagee, institutedan action forjudicialforeclosure
pursuant to the provisions of Rule 68 of the Rules of Court in order to recover on Rafael's debt.In light of the
foregoing discussion,the availment ofsuch remedy thus bars recourse to the subsequent filingofapersonal action
for collection of the same debt, in this case, under theprinciple of litis pendentia, considering that theforeclosure
caseonlyremainspendingasitwasnotshowntohaveattainedfinality.