Fabiola Severino vs Guillermo Severino
(Ostrand, J., 1923)
FACTS: Action by Fabiola, claiming to be
the natural daughter and sole heir of
deceased Melecio Severino to compel
Guillermo to convey four parcels of land OR
in default thereof, pay her P800K for
damages, for wrongfully causing said land to
be registered in his name. Lower Court
acknowledged her as the natural child and
ruled in her favor.
The disputed lots are 3 parcels in Silay,
Negros Occidental. Melecio Severino died
in 1915. The 428 hectares of land was
registered in Mortgage deed register in his
name in 1901 by virtue of possessory
information proceedings by his brother
Agapito. In 1916, the lands were surveyed
for cadastral proceedinggs, finding that it
may be subdivided to four lots. Roque
Hofilena filed for claims, and the lots were
named in Guillermo’s favor in 1917. At that
time, Fabiola was a minor, and Guillermo
did not appear to testify. Only the lawyer
was there, testifying that the land is
Guillermo’s alone. Appellant files a case
with the CA.
ISSUES and RULING:
1) WON Trial Court erred in failing to
recognize appellant as a natural
child.
ANS.: In the present case, neither the
widow, the alleged natural child, or the other
brothers were included. It was held in a
precedent case that legitimate heirs or kin of
a deceased person who would be prejudiced
by a declaration that another person is
entitled to recognition, are necessary and
indispensable parties to an action to claim.
However, her legitimacy was not yet proven
and may be determined during the probate
proceedings. So, the trial court prematurely
acknowledged her.
2) WON there was fraud involved when
he registered the parcels in his name.
ANS.: Appellant was claiming that if the
Trial Court admitted his evidence, it would
have shown that he did not act fraudulently
and that he was willing to concede to
Fabiola her share of land. He was claiming
that the present action was under Section 38
of Land Registration Act to reopen or set
aside a decree; it is, however, an action in
personam, against an agent to compel him
to return to the heirs or the estate of its
principal to execute necessary documents
thereof, or damages. He was appointed an
agent of the deceased, and that in a
previous case, he stated under oath that
he had been continuously in charge of the
estate since 1902 up to 1913; that he had
known the land belongs to Melecio, and
that the possession of the latter was
peaceful, continuous, exclusive, and that
previous to the trial, he had already
secured relinquishment in his favor of the
rights of his brothers and sisters over the
land.
The relations of an agent to his principal are
fiduciary and it is an elementary and very
old rule that in regard to property forming
the subject-matter of the agency, he is
estopped from acquiring or asserting a title
adverse to that of the principal. His position
is analogous to that of a trustee and he
cannot consistently, with the principles of
good faith, be allowed to create in himself
an interest in opposition to that of his
principal or cestui que trust.
The decree of registration determined the
legal title to the land and under Sec. 38, the
decree became exclusive after one year of
date of the entry. Only question is whether
or not the decree of registration extinguished
personal right of action.
Once the relation and the breach of trust on
the part of the fiduciary is thus
established, there is no reason, neither
practical nor legal, why he should not be
compelled to make such reparation as
may lie within his power for the injury
caused by his wrong, and as long as the
land stands registered in the name of the
party who is guilty of the breach of trust and
no rights of innocent third parties are
adversely affected, there can be no reason
why such reparation should not, in the
proper case, take the form of a conveyance
or transfer of the title to the cestui que trust.

DISPOSITIVE: CA ruling affirmed. The

right of the plaintiff Fabiola Severino to
establish in the probate proceedings of the
estate of Melecio Severino her status as his
recognized natural child is reserved.