Property (subject of law) = branch of civil law w/c classifies and defines the different kinds of appropriable objects,

provides for their acquisition and loss, and in general, treats of the nature and consequences of real rights. Property (in the CC) = an object w/c an be appropriated. Elements of Rights (Derecho) 1. subject or persons 2. objects or properties Thing vs Property Thing (cosas) Broader in scope Appropriable appropriable Property (bienes) Narrower in scope non- Appropriable Includes credits) intangible (rights or

and

Classification of Things (3) 1. Res nullies (belonging to no one) = belongs to no one bec. not yet appropriated or bec. they are abandoned (res derelictae) by the owner w/o intention to own them. 2. Res Communes (belonging to everyone) = common property, owned by everybody in that their use and enjoyment are given to all of mankind. 3. Res alicujus (belonging to someone) = tangible or intangible owned privately (collectively or individually). Classification of Property (9) MOA-MED-CNW 1. Mobility or non mobility = movable (personal) or immovable (real) 2. Ownership = public dominion or private dominion 3. Alienability = w/in the commerce of man and outside the commerce of man 4. Materiality or Immateriality = tangible (corporeal or res corporales) or intangible (incorporeal) 5. Existence = present (res existents) or future (res futurae) 6. Dependence or Importance = principal or accessory 7. Capability of substitution = fungible (can be substituted) or nonfungible 8. Nature or definiteness = generic or specific 9. Whether in the custody of the court or free = custodia legis or free

Characteristics of Property 1. Utility for the satisfaction of moral or economic wants 2. Susceptibility of appropriation 3. Individuality or substantivity (can exist on its own)

Art. 414. All things which are or may be the object of appropriation are considered either: (1) Immovable or real property; or (bienes immuebles; res immobiles) (2) Movable or personal property. (333) (bienes muebles; res mobiles) Why Classify? Different provisions of the law govern the acquisition, possession, disposition and registration of RP and PP. Mixed Property (3rd classification) = movable w/c under certain conditions may be considered immovable by virtue of their being attached to an immovable for certain specified purposes. Interest not synonymous with title > the former refers to any right in the nature of property less title estate more synonymous with title > the former refers to the totality of interest w/c a person has from absolute ownership down to naked title.

CHAPTER 1 IMMOVABLE PROPERTY Art. 415. The following are immovable property: (1) Land, buildings, roads and constructions of all kinds adhered to the soil; Building permanent structure, substantially adhered to the land, and not mere superimpositions, bldg in itself is an immovable, may be mortgage apart from the land. It may be even a subject of CHM provided that: 1) parties agreed; and 2) no innocent 3rd party. If registered in the CHM registry still be void insofar as 3rd persons are concerned. There is no compulsion to register transactions over bldg that do not belong to the owners of the lands on w/c it stands.

(2) Trees, plants, and growing crops (standing crops, ungathered fruits, growing fruits), while they are attached to the land or form an integral part of an immovable; RP by nature or incorporation; if detached or uprooted = PP (except timber). Under the CHM law, growing crops may be considered PP and subject to CHM and its sale is considered sale of PP bec. they are to be gathered. (3) Everything attached to an immovable in a fixed manner, in such a way that it cannot be separated therefrom without breaking the material or deterioration of the object (Substantial); refers to RES VINTAS (4) Statues, reliefs, paintings or other objects for use or ornamentation, placed in buildings or on lands by the owner of the immovable in such a manner that it reveals the intention to attach them permanently to the tenements; Distinction between #3 and #4 #3 1. Cannot be separated w/o deterioration 2. Need not be placed by the owner 3. By incorporation #4 1. can be separated w/o deterioration 2. Placed by the owner or his agent (express or implied) 3. By incorporation and destination

(5) Machinery, receptacles, instruments or implements intended by the owner of the tenement for an industry or works which may be carried on in a building or on a piece of land, and which tend directly to meet the needs of the said industry or works; by destination or by purpose Requisites: 1. placed by the owner 2. industry or works carried inside the bldg or land 3. tend directly to meet the needs of industry or work (adaptability) 4. essential and principal elements of the industry and not incidental If still in the bldg but no longer in use may revert to PP; if needed but temporarily detached consider RP. Machinery w/c is movable by nature becomes IMMOBILIZED when placed in a plant by the owner of the property of the property

or land, but not when placed by a tenant in usufructuary, or a person having temp right, unless acted as agent. The REM of a parcel of land generally includes all future improvements that may be found in the parcel.

(6) Animal houses, pigeon-houses, beehives, fish ponds or breeding places of similar nature, in case their owner has placed them or preserves them with the intention to have them permanently attached to the land, and forming a permanent part of it; the animals in these places are included; (7) Fertilizer actually used on a piece of land; (8) Mines, quarries, and slag dumps, (dirt and soil taken from a mine and piled upon the surface of the ground. Inside the dump can be found the mineral) while the matter thereof forms part of the bed, and waters either running or stagnant; (9) Docks and structures which, though floating, are intended by their nature and object to remain at a fixed place on a river, lake, or coast; Vessel is PP though it partakes the nature of RP bec. of its importance in world of commerce, hence, provisions of CC in the acquisition of rights over immovables applies. (10) Contracts for public works, and servitudes and other real rights over immovable property. (334a) Refers to rights not to material things; RR by analogy bec. it partake of the essential characteristics of immovable property. Does not define only enumerates Does not give absolute criterion Immovable (dictionary) = that w/c is fixed in a definite place or is firmly fixed, settled, or fastened (still w/ many exceptions)

Academic Classification (4) NIDA 1. Nature (trees and plants) 2. Incorporation (building) 3. Destination or purpose (machinery in the bldg) 4. Analogy (right of usufruct)

CHAPTER 2 MOVABLE PROPERTY

Art. 416. The following things are deemed to be personal property: (1) Those movables susceptible of appropriation which are not included in the preceding article; (2) Real property which by any special provision of law is considered as personal property; (3) Forces of nature which are brought under control by science; and (4) In general, all things which can be transported from place to place without impairment of the real property to which they are fixed. (335a) The right to a growing crops mobilzes (makes personal) the crops by anticipation, hence, PP. The true test of what may be stolen is not whether it is corporeal or incorporeal, but whether, being possessed of value, a person other than the owner, may appropriate the same. Intelectual properties (patent, copyright, right to invention) are PP. Personal effects are PP (not always vice versa). PE includes only such tangible property as applied to a person and exclude automobile.

3 Test to determine whether RR or PP 1. Test by description > if capable of being carried from place to place 2. Test by description > if change of location can be made w/o injury to RP to w/c it may in the meantime be attached. 3. Test by exclusion (superior over 1 and 2) > not enumerated under ART 415

Art. 417. The following are also considered as personal property: (1) Obligations (refers to rights or credits) and actions which have for their object movables or demandable sums; and (2) Shares of stock (includes partnership refer to participation not as securities) of agricultural, commercial and industrial entities, although they may have real estate. (336a) Right to recover possession of land is real property. A PN is personal while a mortgage on real estate is real.

Art. 418. Movable property is either consumable or nonconsumable. To the first class belong those movables which cannot be used in a manner appropriate to their nature without their being consumed; to the second class belong all the others. (337) CHAPTER 3 PROPERTY IN RELATION TO THE PERSON TO WHOM IT BELONGS Art. 419. Property is either of public dominion (dominio public) or of private ownership (propiedad privado). (338) 1. Public dominion dominio publico > the function of administering and disposing lands of public domain in the manner prescribed by law is not entrusted to the courts but to executive officials. 2. Private capacity propriedad privado > regarding the State this refers to patrimonial property

Art. 420. The following things are property of public dominion: (1) Those intended for public use, such as roads, canals, rivers, torrents, ports and bridges constructed by the State, banks, shores, roadsteads, and others of similar character; Other similar character > public streams, natural beds of rivers, river channels, waters of rivers, creek, all lands by accretion, lands reclaimed from sea by the Govt, Manila Bay and Coastal area, private lands w/c have been invaded by the waters or waves of the seas, streets, Creek = arm extending from a river Canals constructed by the State and devoted to use are public ownership, canals constructed by private persons w/in private lands and devoted exclusively for private use are private property.

(2) Those which belong to the State, without being for public use, and are intended for some public service or for the development of the national wealth. (339a) Public dominion = ownership by the State (has control and administration); or ownership by the public in general (not even the State or its subd may make them the object of commerce as long as they remain properties for public use)

3 Kinds of Property of Public Dominion (PPD) 1. Public use (roads and canals) > may be use by ANYBODY 2. Public service (NG Bldg, army vessels, army riffles) > used only by duly authorized persons 3. Development of national wealth (natural resources) Characteristics of Properties of Public Dominion (6) OCC-CRU 1. Outside the commerce of man and cannot be subject of any contract (except object of repairs, improvements or incidental things) 2. Cannot be acquired by prescription 3. Cannot be registered under the Land Registration Law and subject of Torrens Title 4. Cannot be levied or attached 5. RP or PP 6. Used by everybody Torrens System of registration is not a means to acquire ownership over private or public lands, it merely confirms & registers whatever right or title may already be possessed or had by the applicant. Government lands is not synonymous to public lands, the former is broader in scope and may include also those lands devoted to public use or public service, as well as public lands before or after they are made avail for private appropriation The Public Land Act requires the applicant to prove: (a) land is alienable public lands, and b) open and continuous, exclusive and notorious possession and occupation of the same must be since time immemorial of or for the period inder Lublic Land Bank. RA 2056 > constructions made in good faith on navigable rivers could not be ordered removed.

Art. 421. All other property of the State, which is not of the character stated in the preceding article, is patrimonial property. (340a) (It is wealth owned by the State in its private, as distinguished from its public, capacity.) > i.e. properties acquired by escheat proceedings, friar lands, the san lazaro estate; may be acquired by private individuals or corporations thru prescription

Art. 422. Property of public dominion, when no longer intended for public use or for public service, shall form part of the patrimonial property of the State. (341a)

Exception: Art 461 > abandoned river beds belongs not to the State but to the private land owner whose land is now occupied by the changed course, in proportion to the area lost. Until there is a formal declaration on the part of the Govt thru the Exec or legislature, public lands continues to be part of public domain.

Art. 423. The property of provinces, cities, and municipalities is divided into property for public use and patrimonial property. (343) NG is not the same as Govt of the Phils > the former does not include local govt or other govt entities and refers to central govt (legislative, executive, judicial) When no longer for public use > will be patrimonial

Art. 424. Property for public use, in the provinces, cities, and municipalities, consist of the provincial roads, city streets, municipal streets, the squares, fountains, public waters, promenades, and public works for public service paid for by said provinces, cities, or municipalities. All other property possessed by any of them is patrimonial and shall be governed by this Code, without prejudice to the provisions of special laws. (344a) The law of Municipal Corporations consider public service as public use. The Govt still controls the disposition of properties of political subd and in the absence of proof that the properties are acquired by their own funds, it is presumed to came from the State. Hence, may be classified: a) acquired with their own funds; b) not falling under (a) and held in trust for the state for the bene of the inhabitants. Properties used by a municipal corporation in the exercise of govt powers cannot be attached or levied upon. If patrimonial can be attached or levied.

Art. 425. Property of private ownership, besides the patrimonial property of the State, provinces, cities, and municipalities, consists of all property belonging to private persons, either individually or collectively. (345a)

Possession by private persons carries the presumption that the land had never been part of public domain, or that it had been private property even before the Spanish conquest. A Torrens Title is generally a conclusive evidence of the ownership of the land referred to therein. It is incontrovertible against any informacion possessoria or title existing prior to the issuance thereof not annotated on the title. Payment of land tax is not an evidence of ownership of a parcel of land especially when the parcel of land is covered by Torrens Title in the name of another. The constitutional prohibition against acquisition of land by aliens (including foreign corporation) is absolute.

PROVISIONS COMMON TO THE THREE PRECEDING CHAPTERS Art. 426. Whenever by provision of the law, or an individual declaration, the expression "immovable things or property," or "movable things or property," is used, it shall be deemed to include, respectively, the things enumerated in Chapter 1 and Chapter 2. Whenever the word "muebles," or "furniture," is used alone, it shall not be deemed to include money, credits, commercial securities, stocks and bonds, jewelry, scientific or artistic collections, books, medals, arms, clothing, horses or carriages and their accessories, grains, liquids and merchandise, or other things which do not have as their principal object the furnishing or ornamenting of a building, except where from the context of the law, or the individual declaration, the contrary clearly appears. (346a)

Title II. - OWNERSHIP CHAPTER 1 OWNERSHIP IN GENERAL Art. 427. Ownership may be exercised over things or rights. (n) Ownership = the independent and general right of a person to control a thing particularly in his possession, enjoyment, disposition, and recovery, subject to no restrictions except those imposed by the state or private persons, without prejudice to the provisions of the law. Kinds of Ownership 1. Full ownership (dominium or jus in re propia) = all rights of owner 2. Naked ownership (nuda proprietas) = this ownership where the right to the use and the fruits has been denied > 1-2 = Usufruct 3. Sole ownership = vested in only 1 person 4. Co-owernship (Tenancy in Common) = vested in 2 or more persons Informacion possessoria (possessory information) = if duly recorded in the Registry of Property is a prima facie evidence that the registered possessor is also the owner of the land involved. RA 3844 (Code of Agrarian Reforms) > Security of tenure is a legal concession to agricultural lessees which they value as life itself and deprivation of their landholdings is tantamount to deprivation of their only means of livelihood. It also provides that the leasehold relation is not extinguished by the alienation or transfer of legal possession of the landholding. Question on ownership is decided in an ordinary civil action or proceeding not in the Land Registration Court (summary proceeding); except when both parties are given full opportunity to present their side and the court is able to obtain sufficient evidence to guide the LRC

Art. 428. The owner has the right to enjoy and dispose of a thing, without other limitations than those established by law. The owner has also a right of action against the holder and possessor of the thing in order to recover it. (348a) Rights of an Owner ENJOY DISPOSE (jus disponendi) RECOVER (VINDICATE)

Possess (jus possidendi) right to hold a thing or to enjoy a right Use (jus utendi) right to exclude any person, as a rule, from the enjoyment and disposal thereof, Fruits (jus fruendi) owners, and not mortgagees, can claim damages for injury to the fruits and for injury caused by the deprivation of possession

Consume or destroy or abuse Jus vindicandi (jus abutendi) Encumber or alienate

A seller need not be Transmissible the owner at the time of to the heirs or perfection of the contract of assignees of the sale, sufficient that he be the person entitled to it. owner at the time of delivery. If somebody Essential in contract of possess a land and mortgage or pledge that the claims ownership = mortgagor/pledgor be the disputable owner of the thing, otherwise presumption of void. ownership. A mortgage whether registered or not is binding btw the parties, registration is only to bind 3rd persons.

Actions to Recover Property PERSONAL PROPERTY REPLEVIN = an action or provisional remedy where the complainant prays for the recovery of the possession of personal property. Requisites of Replevin A. Affidavit Requires: 1. applicant is owner 2. property is wrongfully detained by the adverse party 3. not been distrained or taken for a tax assessment or fine; or seized under a writ of execution or preliminary attachment or placed under custodia legis 4. actual MV of prop B. Bond = 2x MV (in favor of adverse party) C. Court Order = sheriff to take custody (order to be made by Clerk of Court) D. Taking > If prop can be concealed in a bldg or enclosure and not delivered upon demand > Sheriff must cause the bldg or enclosure to be broken open

The chattel mortgagee has the right to obtain immediate possession of the mortgage property upon breach of contract by the chattel mortgagors. If possession is not transferred or delivered, replevin may be availed of. The remedy of a stranger to the action for replevin is a 3rd party claim under the Rules of Court (remedy of intervention), to avail prior determination of whether 1 is a proper party defendant or a stranger to the action is necessary. A writ of replevin cannot be directed against the lawful possessor. Replevin NA for property in custodia legis. Property seized under a writ of replevin not be delivered immediately to the plaintiff. Writ may be served anywhere in the Phils. An adverse possessor, who is not the mortgagor, cannot be deprived of his possession, let alone be bound by the terms of the CHM, simply bec. the mortgagee brings up an action of replevin.

REAL PROPERTY Forcible entry (detention) = summary action to recover material or physical possession (possession de facto) of RP when a person originally in possession was deprived thereof by force, intimidation, strategy, threat, stealth (FISTS). Prescribes in 1 year from dispossession. In case of stealth or strategy = 1 year from discovery of such Issue is physical possession not juridical possession (possession de jure) Purpose: regardless of the actual condition of the title > the party in peaceable and quiet possession shall not be turned out by strong hand, violence, or terror Facts to be stated in complaint for FE (allege deprivation and means > FISTS; prove prior possession). Prescriptive period need not allege. One in possession of public land may apply for FE. MTC has jurisdiction for FE and unlawful detainer but not on judgment re: ownership. Unlawful detainer (desahucio) = an action brought when possession by a landlord, vendor, vendee or other person of any land or bldg is being unlawfully withheld after the expiration or termination of the right to hold possession, by virtue of any contract (express or implied). Prior physical possession is not required. 1 year reglementary period from time of unlawful deprivation or withholding of possession. If there is termination date > no need for demand

If ejectment due to non-payment > date of latest demand to vacate (must be absolute) Issue is physical or material possession (not ownership). Refusal to vacate is unlawful. Squatters > action from the time the owner makes a demand. MTC has jurisdiction UD. If the issue is directly interwoven with the claim of ownership, the recourse is with the Bureau of Lands and before RTC. A lessor may sue for both ejectment and rescission of the lease contract.

Action quasi-in rem.

Forcible Entry Possession unlawful from start Unlawful Detainer Possession lawful from start bec. unlawful Prior possession required Prior possession not always essential Ownership not involved Proceedings in personam (binding to parties and privies) and not in rem (binding to the world) Quieting process 1 year period

Right to damages in FE/UD > entitled to damages not for those caused to property but for those caused by his being deprived of the use or possession such property. If demand is essential but not made, the case should be brought before the RTC (Court of First Instance).

ACTION PUBLICIANA (plenaria de posesion) = intended for the recovery of the better right to possess, and is a plenary action in an ordinary civil proceeding before RTC, must be brought w/in 10 years, otherwise, the real right is lost. Ejectment suit filed after the expiration of 1 year from the accrual of the cause of action or from UD withholding possession of the realty Issue is possession de jure. Well established principle that when deprivation of possession has lasted more than 1 year, the action to recover falls w/in the jurisdiction of the RTC. The action to rescind contracts in fraud of creditors is AP. 2 Kinds 1. Entry w/ FISTS, failure to alleged FISTS will make it AP instead of FE. 2. When 1 year period to bring FE or UD has expired ACCION REINVINDICATORIA = an action to recover ownership over RP under the juris of RTC where RP is situated. Must be brought w/in 10 yrs or 30 yrs.

Constructive trust or implied trust imprescriptible. Evidence of title may be introudcted. Basic rule: after the lapse of 1 year, a decree of registration is no longer open to review or attach, although its issuance is attended w/ fraud. Except: when not yet passed to innocent purchaser > action for reconveyance is till avail. If already w/ 3rd person > ask for damages. Bind those who had been made parties only. When on the occasion of an ejectment, the question of title is raised at the same time, it is not necessary to wait for the lapse of 1 year to maintain an action for recovery before RTC, it may be raised anytime. To be respected in the possession of a thing, ordinarily, mere possession is enough, unless a better right is established by another individual.