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A
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2007
Civil Law
SUMMER REVIEWER
 
 —Adviser:
Dean Cynthia Roxas-Del Castillo
; Heads:
Joy Marie Ponsaran, Eleanor Mateo
; Understudies:
Joy StephanieTajan, John Paul Lim
; Subject Head:
Abbiegail Sac
; Pledgees:
Floreida Apolinario
,
Gianfranco Gomez
 —
 
LAW ON PROPERTYTitle I – PROPERTYPROPERTY
An object or a right which isappropriated or susceptible of appropriation by man,with capacity to satisfy human wants and needs.
CLASSIFICATION OF PROPERTY:
1
. Mobility and Non-mobility
a. Movable or personal propertyb. Immovable or real property2
. Ownership
a. Public dominion or ownershipb. Private dominion or ownership
3. Alienability
a. Within the commerce of man (or whichmay be the objects of contracts or judicialtransactions)b. Outside the commerce of man
4. Existence
a. Present property (res existents)b. Future property (res futurae)(NOTE: Both present and future propertymay be the subject of sale but generallynot the subject of donation.)
5. Materiality or Immateriality
a. Tangible or corporealb. Intangible or incorporeal
6. Dependence or Importance
a. Principalb. Accessory
7. Capability of Substitution
a. Fungible – capable of substitution by otherthings of the same quality and quantityb. Non-fungible incapable of suchsubstitution, hence, the identical thingmust be given or returned
8. Nature or Definiteness
a. Generic – one referring to a group or classb. Specific – one referring to a single, uniqueobject
9. Whether in the Custody of the Court orFree
a. In “custodia legis” – in the custody of thecourtb. “free” property
CHARACTERISTICS:
1.
Utility for the satisfaction of moral oreconomic wants
2.
Susceptibility of appropriation
3.
Individuality or substantivity
, that is, it canexist by itself and not merely as a part of awhole.
Art. 415.
IMMOVABLE PROPERTY 
Art. 416.
MOVABLE PROPERTY 
JURIDICAL CLASSIFICATION OF IMMOVABLEPROPERTIES: (NIDA)
1.
By nature
 – cannot be moved from place toplace because of their nature (ART 415 par 1& 8 NCC)a. and buildings & all kinds of constructionsadhered to soilb. mine, quarries
Bicerra v Teneza, 6 SCRA 649 (1962) 
ISSUE: Whether a demolished house is real propertyor continues to be real property?HELD:NO. A house is classified as immovable property byreason of its adherence to the soil on which it is built.This classification holds true regardless of the factthat the house may be situated on land belonging toa different owner. But once the house is demolished,as in this case, it ceases to exist as such and henceits character as an immovable likewise ceases.
2.
 
By incorporation
– essentially movables butattached to an immovable that it becomes anintegral part of it (ART 415 par 2,3,4,6)a. trees, plants & growing fruits adhered tosoilb. everything attached to an immovable in afixed manner that it will break if separatedc. statues, paintings if intended by owner tobe integral part of immovable and placedonly by owner or his agentd. animal houses if intended by owner tobecome permanently attached toimmovable
3. By destination
– movables but purpose is topartake of an integral part of an immovable(ART 415 par 4,5,6,7,9)a. machinery placed by owner of thetenement or his agent & tend directly tomeet the needs of such works/industry
REQUISITES:
 
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i.
industry or works must be carried oninside the building or on the land
(thus a transportation business is not carried on in a building or in the compound)ii.
placed by the owner of the buildingor property
Davao Sawmill v Castillo, 61 Phil 709 (1935) 
Machinery which is movable in its nature only becomes immobilized when placed in a plant by THE OWNER of the property or plant BUT NOT when so placed by a TENANT, a usufructuary or any person having only temporary right, unless such person acted as the agent of the owner iii.
machines must be essential andprincipal elements in the industry
 
b. fertilizers – actually used on a piece ofland
c.
docks & floating structures – intended bytheir nature and object to remain at a fixedplace on a river, lake or coast.
 
Rubiso v Rivera, 37 Phil 72 (1917) 
Vessels are essentially movable but they partake to a certain extent of the nature and conditions of real property due to their value and importance.
4. By analogy/by law
– contracts for publicworks, servitude & other real rights overimmovable property (ART 415 par 10)
MOVABLE PROPERTY: (SIFTOS)
1.
S
usceptible of appropriation that are notincluded in enumeration in immovable2.
I
mmovable that are designated as movableby special provision of law3.
F
orces of nature brought under control byscience4.
T
hings w/c can be transported w/oimpairment of real property where they arefixed5.
O
bligations which involve demandable sums(credits)6.
S
hares of stocks of agricultural, commercial& industrial entities although they may havereal estate (1/2 interest in the business ispersonal property. Involuntary Insolvency ofStrochecker v. Ramirez)
TESTS TO DETERMINE WHETHER PROPERTY ISREAL OR PERSONAL:
1.
Rule of Exclusion
– not included in ART 415(inclusio unius est exclusion alterius)2.
Rule of Description
– if the property can betransported from one place to another, andno injury would be suffered by it, then it ispersonal property, unless expressly includedin ART 415
 
Art. 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.
 
CLASSIFICATION OF MOVABLES:
1.
According to nature
a. consumable – cannot be utilized w/obeing consumedb. non-consumable2.
According to intention of theparties/purpose (whether it can besubstituted by other things of same kind,quality and quantity)
a. fungible
(res fungibles)
 – only theequivalent is returnedb. non-fungible
(res nec fungibles)
 – identical thing is returned, do not admit ofsubstitution
Sibal v Valdez, 50 Phil 512 (1927) 
Chattel Mortgage – growing crops are movable property.
 
United States v Carlos, 21 Phil 364 (1946) 
 
ISSUE: w/n electric energy is property and thereforemay be stolenHELD:YES. True test of what is a proper subject of larcenyseems to be not whether the subject is corporeal orincorporeal, but whether it is capable of appropriationby another than the owner.
 
Involuntary Insolvency of Strochechker v 
 
Ramirez, 44 Phil 933 (1922) 
½ interest in the business is personaproperty.
 
Art. 419.
Property is either of public dominion or of private ownership.
 
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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; (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.
CLASSIFICATION OF PROPERTY ACCORDINGTO OWNERSHIP:
1.
Public dominion
– outside the commerce ofmen
KINDS
:a. intended for public useb. intended for public service of state,provinces, cities & municipalities
CHARACTERISTICS
:i. outside the commerce of men – cannot be alienated or leased or bethe subject of any contractii. cannot be acquired by privateindividual through prescriptioniii. not subject to attachment &executioniv. cannot be burdened by voluntaryeasementv. cannot be registered under the LandRegistration Law and be the subjectof a Torrens Titlevi. in general, can be used byeverybodyc. for the development of national wealth2.
Private Ownership
– 1. patrimonial property of state, provinces,cities, municipalitiesa. exist for attaining economic ends ofstateb. property of public dominion when nolonger intended for publicuse/service – declared patrimonial
(NOTE: 
Patrimonial properties maybe acquired by private individuals orcorporations through prescription.)2. property belonging to private persons – individually or collectively
NOTE:
sacred and religious objects are consideredoutside the commerce of man. They are neitherpublic nor private party.
Art. 421.
All other property of the State, which is not of the character stated in the preceding article, is partrimonial property.
PATRIMONIAL PROPERTY
is property pertaining tothe State which is not intended for public use, publicservice, or for the development of the national wealth.It is intended rather for the attainment of theeconomic ends of the State, that is, for subsistence.
Subject to prescription
May be an object of ordinary contract
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.
A property is converted from property ofpublic dominion to patrimonial propertythrough a formal declaration of the executiveor legislative departments of the government.
Without the declaration, the propertycontinues to form part of the public domainand therefore cannot be the subject ofacquisitive prescription.
Dacanay v Asistio Jr., 208 SCRA 404 (1992) 
ISSUE: May public streets or thoroughfares beleased or licensed to market stallholders by virtue ofa city ordinance or resolution of the Metro ManilaCommission?HELD:NO. The right of the public to use the city streetsmay not be bargained away through contract.Hence, the agreement between the city governmentand stallholders is contrary to law and therefore void.* Rule:
local government cannot withdraw a public street from public use, unless it has been granted such authority by law.
 
 
Art. 423.
The property of provinces, cities, and municipalities is divided into property for public use and patrimonial property.
 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 
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