TITLE 1: CLASSIFICATION OF PROPERTY Chapter 1: I M M O V A B L E P R O P E R T Y 415. The following are immovable property: 1.

Land, buildings, roads, and constructions of all kinds adhered to the soil 2. Trees, plants, and growing fruits, while they are attached to the land or form an integral part of an immovable 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 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 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 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, 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 10. Contracts for public works, and servitudes and other real rights over immovable property Classes of immovable or real property Property is immovable or real by: a. Naturecannot be carried from place to place b. Incorporationattached to an immovable in a fixed manner to be an integral part thereof c. Destinationutility it gives to the activity carried thereon
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d. Analogyso classified by express provision of law because it is regarded as united to the immovable property Buildings, roads and constructions must adhere to the soil. a. Landsreal by nature and definition, even if it is rented b. Buildingsit is more or less of a permanent structure independent of and regardless of the ownership of the land on which it is erected since the law makes no distinction i. A structure which is merely superimposed on the soil may be considered movable ii. A building or house which is sold to be demolished immediately or after a short time is movable iii. Once a house is demolished, its character as an immovable ceases. Hence, an action for recovery of damages does not involve title to real property c. Roads and constructionsroads, whether public or private, are immovable o A wall or fence is to be regarded as a construction by incorporation; it is immovable as long as there is an intent to attach it permanently although it is merely made to rest on the land It must not be forgotten that under given conditions, a property may have character different from that imputed to it in Arts. 415 and 416 It is also a familiar phenomenon to see things classed as real property for purposes of taxation which on general principle might be considered personal property Real property treated by the parties as personal property a. Chattel mortgage on real propertyparties to a contract of chattel mortgage may, by agreement, treat as personal property that which by nature would be real property such as i. Leasehold rights and building ii. A house of mixed materials which by its very nature is considered real property o However, this set-up is only binding upon the contracting parties and not to third parties or in execution proceedings (particularly regarding notice of public auction sale by publication) o Buildings, such as a warehouse, are immovable and despite the designation of the parties as movable, its character as immovable is not changed for purposes of venue of real action involving said property b. Chattel mortgage on house built on rented land

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o An object placed on land by one who has only a temporary right to the same such as the lessee or usufructuary does not become immobilized by attachment c. Chattel mortgage on immobilized machineries and equipment d. Lease of immobilized machines treated as personal property Trees, plants and growing fruits (par. 2) a. Trees and plantsonce trees or plants are cut or uprooted, they become movable except in the case of uprooted timber which, according to Manresa, still forms an integral part of the timber land; immovable by nature b. Growing fruitsunder certain conditions, growing crops or fruits or ungathered products or fruits may be treated as personal property o For purposes of attachment, execution, and the chattel mortgage law, they are personal properties Everything attached to an immovable in a fixed manner (par. 3) o The things included are called rex vinta, such as walls, canals and aqueducts; immovable by incorporation or attachment o Temporary separation of the things mentioned from immovables, they shall continue to be regarded as immovable, if there is an intent to put them back However, this rule is no longer controlling The material fact of incorporation or separation is what determines the condition of these objects; so that, as soon as they are separated, they recover their condition as movables, irrespective of the intention of the owner o Physical attachment, without the intent of permanent annexation, is not itself enough Statues, reliefs, paintings, or other objects for use or ornamentation o Objects must be placed on the immovable by the owner of the latter, although not necessarily by him personally o Intent to attach permanently is essential; immovable both by incorporation or attachment and by destination Machinery, receptacles, instruments, or implements for an industry or works o 3 requisites for this class of real property: a. The machinery, etc. must be placed by the owner of the tenement or his agent b. The industry or works must be carried on in a building or on a piece of land
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c. The machinery, etc. must tend directly to meet the needs of the said industry or worksmovable equipment to be immobilized in contemplation of the law must be essential and principal elements of an industry or works without which, such industry or works would be unable to function or carry on the industrial purpose for which it was established i. Machinery, etc. immobilized by destination (furniture of an inn or machinery of a theater) ii. Work animalsthey are excluded by our Civil Code iii. Where movables merely incidentalscash registrars in a restaurant are merely incidentals and are not and should not be considered immobilized by destination for the business can continue or carry on their function without such equipment iv. Permanent part of tenement v. Electric poles and steel supportsthese are personal properties because they do not come within the objects mentioned in par. 1, 3 and 5 vi. Attachment or incorporation to immovable not essential The moment they are no longer used or needed in the industry, they revert to their normal condition of movables, although they have not been separated from the immovable Animal houses, pigeon houses, beehives, fish ponds or breeding places of similar nature (par. 6) o The construction of such must permanently form part of the land and so intended by the owner o Animals in their breeding places, by their nature can be moved from place to place without injury, are to be regarded as personal property in case of alienation and for purposes of the criminal law They may properly be the object of theft or robbery Fertilizers actually used on a piece of land o Immovable by destination o Fertilizers are immovable if they are actually used Mines, quarries, and slag dumps (par. 8) o Once severed, they become movable, for then they are no longer mines, etc. but minerals Waters, either running or stagnant o waters is not the water itself but those such as sea, river, or lake, which may be appropriated o Waters, either running or stagnant, are classified as immovables in most jurisdictions Docks and structures (par. 9)
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o though floating, they are classified as real property if intended by their nature and object to remain at a fixed place on a river, lake or coasts Ships or vessels o Ships or vessels, whether moved by steam or by oil, are considered personal property under the civil law and common law o For a chattel mortgage of a vessel, it should not only be noted in the registry of deeds, but it is essential that it be recorded in the record of the Collector of Customs at the port of entry And under Ship Mortgage Decree of 1978, every ship mortgage must be recorded in the office of the Philippine Coast Guard of the port of documentation of the vessel o Although vessels are considered personal property, they partake the nature of real property on account of their value and importance in the world of commerce Contracts for public works and servitudes and other real rights over immovables o Ownership is real property if the thing owned is immovable, and personal property if it is movable o A personal right is always regarded personal property except in the case of contracts for public works which are considered real property

iv. Semi-movables, such as wild or domesticated animals, except those mentioned in Art. 415(6) b. Real property considered personal property by special provision of law c. Forces of nature o Electricity, gas, rays, heat, light, oxygen, atomic energy, water power, etc. o Electricity, the same as gas, is a valuable article of merchandise, bought and sold like other personal property and is capable of appropriation by another; hence, it can be the subject of theft d. In general, all movable things o Three tests to determine whether a particular object is movable or not: i. Whether the property can be transported or carried from place to place ii. Whether such change of location can be made without injuring the immovable to which the object may be attached iii. Whether the object does not fall within any of the ten cases enumerated in Art. 415 417. The following are also considered as personal property: 1. Obligations and actions which have for their object movables or demandable sums; and 2. Shares of stock of agricultural, commercial and industrial entities, although they may have real estate Classes of movable or personal property: (continuation) e. Obligations and actionshaving a definite passive subject, these are personal rights o Corporeal propertymaterial things o Incorporeal propertyrights o demandable sumsamounts are liquidated or determined f. Shares of stocks o entitiesinclude all juridical persons, even partnerships although they do not issue shares of stocks o stockparticipation or interest g. Other incorporeal personal property o Intellectual property such as copyrights, patents, trademarks, rights to invention, etc. o Intellectual creation is recognized in the Civil Code as a mode of acquiring ownership

Chapter 2: M O V A B L E P R O P E R T Y 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 4. In general, all things which can be transported from place to place without impairment of the real property to which they are fixed Classes of movable or personal property: a. Property not included in Art. 415 i. Ships or vessels irrespective of size ii. One-half interest in a business iii. Those being capable of appropriation and not included in the enumeration of real properties in Art. 415 and may be the subject of a chattel mortgage
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418. Movable property is either consumable or non-consumable. 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. Consummability of movable property depends upon the nature of the thing itself Consumable goods cannot be the subject matter of a contract of commodatum unless the purpose is not the consumption of the object, as when it is merely for exhibition In simple loan or mutuum, the subject matter is money or other consumable thing Generally, usufruct should not include things which are consumed when used Classification of movable property according to the intention or purpose of the parties: a. Fungiblecan be substituted by another thing of the same kind, quantity and quality b. Non-fungiblenot replaceable in such equivalents Chapter 3: P R O P E R T Y I N R E L A T I O N T O T H E PERSON TO WHOM IT BELONGS 419. Property is either of public dominion or of private ownership. Property classified according to ownership: 1. Public dominionproperty owned by the State or its political subdivisions in its public or sovereign capacity and intended for public use and not for the use of the State as a juridical person 2. Private ownershipproperty owned by a. The State in its private capacitypatrimonial property b. Private persons, either individually or collectively Property is presumed to be State property in the absence of any showing to the contrary Public dominiondoes not import the idea of ownership o Property is not owned by the State but simply under its jurisdiction and administration for the collective enjoyment of all the people o Purpose is to serve not the State but the citizens for the common and public welfare o Cannot be the object of appropriation by the State or by private persons
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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 2. Those which belong to the State, without being for public use, and are intended for some public service or for the development of national wealth Three kinds of property of public dominion: a. Property intended for public use and others of similar character b. Property which is not for public use but intended for some specific public service (i.e. government buildings and vehicles) c. Property, even if not employed for public use or public service, intended for the development of the national wealth The charging of fees to the public does not determine the character of the property, whether it is of public dominion or not; it should be intended for public use Property others of similar character: (par. 1) a. Public streams, river channels, river beds, creeks and esteros b. Accretions to the shores of the sea by action of the water c. Submerged lands, like waters (sea or bay) above them; lands reclaimed from the sea by the government; they are part of the States inalienable natural resources d. Lands that disappeared into the sea by natural erosion due to the ebb and flow of the tide e. Canals constructed on private lands of private ownership but the owner loses his proprietary right over said canal through prescription by allowing the public to use it for transportation and fishing purposes f. Foreshore lands when the sea moved toward an estate and the tide invaded it, those enumerated under par. 1 o Foreshore landa strip of land that lies between the high and low water marks and is alternatively wet and dry according to the flow of the tide o Court has no jurisdiction to award foreshore land to any private person or entity o Riversincludes running waters, the bed, and the banks g. A lot on which stairways were built for the use of the people as passageway to the highway o Roadsrefer to those public ways constructed and maintained by the national government
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o Canalsartificial waterways designed for navigation or for irrigating or draining land Those constructed by private persons over private lands are of private ownership o Porta place where ships may take on or discharge cargo A harbor or sheltered place which furnishes anchorage for ships Includes seaports and airports o Shoresthat portion of the land bordering the sea and which is subject to the ebb and flow of the waters o Roadsteadplace less sheltered or enclosed than a harbor where ships may ride at anchor Property of public dominion are outside of the commerce of men a. They cannot be sold, leased or otherwise be the subject of matters of contracts o Property donated to a town for use as public plaza becomes property for public use and cannot be the subject matter of contracts b. They cannot be acquired by prescription not even by municipalities as against the State c. They cannot be encumbered, attached, or be subject to levy and sold at public auction to satisfy a judgment d. They cannot be burdened with easements e. They cannot be registered under the land registration law and be the subject of a Torrens title o A public square or plaza cannot be registered under the torrens system as municipal property o Abandoned river beds belong to private owners of lands occupied by the new course of waters in proportion to the area lost Public lands vs. Government lands Public lands Government lands Lands of public domain Owned real estate which is part of the public lands and other real estate which is not a part thereof Alienation of public agricultural land o Unless public land is shown to have been reclassified and alienated by the State to a private person, it remains part of the inalienable public domain

421. All other property of the State, which is not of the character stated in the preceding article, is patrimonial property. Patrimonial propertyproperty of the State owned by it in its private or proprietary capacity; those not intended for public use o Properties which the State may dispose and may be acquired by private individuals or juridical persons through prescription o Incomes or rents of the State; vacant lands without known owner or possessor; property escheated to the State; property acquired in execution and tax sales; property donated to the government; waterworks; slaughter houses; markets; cemeteries 422. Property of public domain, when no longer intended for public use or for public service, shall form part of the patrimonial property of the State. Conversion of property of public domain to patrimonial property a. Property of the National Governmentnot self-executing; there must be a formal declaration by the executive or possibly legislative department that the property of the State is no longer needed for public use before the same can be classified as patrimonial or private property of the State b. Property of Political Subdivisionsin case of provinces, cities, and municipalities, the conversion must be authorized by law Under the Regalian Doctrine, all lands of the public domain belong to the State and lands not otherwise appearing to be clearly within private ownership are presumed to belong to the State. Unless public land is shown to have been reclassified as alienable or disposable, and subsequently alienated to a private person by the State, it remains part of the inalienable public domain. Occupation thereof in the concept of owner, no matter how long, cannot ripen in ownership and be registered as a title. 423. The property of provinces, cities, and municipalities is divided into property for public use and patrimonial property. Property for public service are patrimonial since the law is very clear in distinguishing between that of public use and patrimonial 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.
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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. Political subdivisions cannot register as their own any part of the public domain, unless it is first shown that a grant thereof has been made or possession has been enjoyed during the period necessary to establish a presumption of ownership 425. Property of private ownership, besides the patrimonial property of the State, provinces, cities and municipalities, consists all property belonging to private persons, either individually or collectively. Collective ownershipincludes co-ownership and ownership by corporations, partnerships, and other judicial entities which are allowed under the law to acquire and possess property of all kinds A possessory information inscribed in the Registry of Deeds demonstrates prima facie that the possessors to which it refers, since time immemorial, are the owners thereof The mere fact that a tract of land has been used for a long time as a road will not alone warrant the presumption that it has been dedicated to the public Where the right of a person is fully supported by the evidence, he must be recognized as owner even as against the State The mere fact that the property of a person lies within a military zone, does not necessarily mean that it had become part of public domain

the furnishing or ornamenting of a building, except where from the context of the law, or the individual declaration, the contrary clearly appears.

PROVISIONS COMMON TO THE THREE PRECEDING CHAPTERS 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 in 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 collection, 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
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