Topic: Agency Later, Katigbak sold the property to Po Sun
Boo (son of Po Ejap).
Case Title: Katigbak v. Tai hing co As Po Tecsi had not paid a part of the rent due up to the time of his death, and his son Date: December 29, 1928 Sun Suy also, rent due from his father's death until Katigbak sold the property to Ponente: Villa-real, J. Sun Boo, Katigbak filed this action for the recovery of the rent. Legal Doctrine: Po Sun Suy contends that Katigbak is not the owner of the property (so not entitled to The power is general and authorizes Gabino Po Ejap rents) because Po Ejap was not authorized to sell any kind of realty "belonging" (pertenezcan) to under the power executed by Po Tecsi to sell the principal. The use of the subjunctive said land, because said power had been "pertenezcan" (might belong) and not the indicative executed before Po Ejap sold said land to "pertenecen" (belong), means that Po Tecsi meant not Tecsi. only the property he had at the time of the execution Issue(s): of the power, but also such as he might afterwards 1. WON Po Ejap cannot have sold the property (on have during the time it was in force. behalf of Tecsi) because the power was executed by While it is true that a power of attorney not recorded Tecsi before Tecsi owned the property in the registry of deeds is ineffective in order that an Held: Po Ejap Can Sell agent or attorney-in-fact may validly perform acts in the name of his principal, and that any act performed Ratio: by the agent by virtue of said' power with respect to the land is ineffective against a third person who, in 1. The power is general and authorizes Gabino good faith, may have acquired a right thereto, it does, Po Ejap to sell any kind of realty however, bind the principal to acknowledge the acts "belonging" (pertenezcan) to the principal. performed by his attorney-in-fact regarding said The use of the subjunctive "pertenezcan" property. (might belong) and not the indicative "pertenecen" (belong), means that Po Tecsi Facts: meant not only the property he had at the time of the execution of the power, but also Po Ejap was the owner of a titled land w/c such as he might afterwards have during the was mortgaged to PNB in 1919 time it was in force. 1921, Po Tecsi executed a general power of 2. Under Act 496, every document which in attorney in favor of his brother Po Ejap to any manner affects the registered land is perform on his behalf the ff: "to buy, sell, or barter, assign, admit in acquittance or in any ineffective unless it is recorded in the other manner to acquire or convey all sorts registry of deeds. But such inefficacy only of property, real and personal, businesses refers to third persons who, in good faith, and industries, credits, rights, and actions may have acquired some right to the belonging to me, for whatever prices and registered land. under the conditions which he may stipulate, 3. While it is true that a power of attorney not paying and receiving payment in cash or in recorded in the registry of deeds is installments, and to execute the proper ineffective in order that an agent or attorney- instruments with the formalities provided by the law." in-fact may validly perform acts in the name Po Tecsi executed a document of his principal, and that any act performed acknowledging an indebtedness to his by the agent by virtue of said' power with brother Po Ejap of 68K, the price of the respect to the land is ineffective against a properties w/c the latter sold to him. third person who, in good faith, may have Po Ejap then sold the said land with its acquired a right thereto, it does, however, improvements to his brother Po Tecsi for the bind the principal to acknowledge the acts sum of P10,000. performed by his attorney-in-fact regarding 1923, making use of the power conferred by said property. his brother, Po Ejap sold absolutely said land to Katigbak. 1924, Po Tecsi wrote Po Ejap, promising to remit the balance of the rents (meaning, Tecsi became a lessee). Nov 1926, Po Tecsi died and his son Po Sun Suy was appointed administrator of Tecsi's estate in 1927. In Dec 1926, Po Sun Suy submitted to Po Ejap a liquidation of accounts showing rents collected on the property.
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