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In a Resolution dated February 5, 1986, the The death of Margarita Herrera does not
NHA granted the application made by Francisca extinguish her interest over the property.
Herrera. Margarita Herrera had an existing Contract to
Sell with NHA as the seller. Upon Margarita
Feeling aggrieved by the decision of the Office Herrera's demise, this Contract to Sell was
of the President and the resolution of the NHA, neither nullified nor revoked. This Contract to
private respondent Segunda Mercado-Almeida Sell was an obligation on both parties
sought the cancellation of the titles issued in Margarita Herrera and NHA. Obligations are
favor of the heirs of Francisca. She filed a transmissible. Margarita Herrera's obligation to
Complaint for "Nullification of Government Lot's pay became transmissible at the time of her
Award," with the RTC. RTC and CA ruled in death either by will or by operation of law.
favor of respondent, hence this petition.
When the original buyer died, the NHA should therefore acted arbitrarily in the award of the
have considered the estate of the decedent as lots.
the next "person" likely to stand in to fulfill the
obligation to pay the rest of the purchase price. We need not delve into the validity of the will.
The opposition of other heirs to the repurchase The issue is for the probate court to determine.
by Francisca Herrera should have put the NHA We affirm the Court of Appeals and the Regional
on guard as to the award of the lots. Further, the Trial Court which noted that it has an element of
Decision in the said Civil Case (questioning the testamentary disposition where (1) it devolved
Deed of Self-Adjudication) which rendered the and transferred property; (2) the effect of which
deed therein null and void should have alerted shall transpire upon the death of the instrument
the NHA that there are other heirs to the maker.
interests and properties of the decedent who
may claim the property after a testate or
intestate proceeding is concluded. The NHA