I.

THEORIES ON PROPERTY!
A. In General!

4!

B. First Possession!

4!

C. Labor!

4!

D. Utilitarian!

4!

E. Democracy!

4!

F. Personhood!

4!

II. LEGAL THEORIES!

A. Natural Law!

4!

B. Legal Positivism!

4!

C. Property as the Law of Things!

4!

D. Right to Exclude as the Source of Property!

4!

E. Bundle of Rights!

4!

III. PROPERTY AS AN INSTITUTION!

IV. OWNERSHIP IN GENERAL!
A. Rights Over Things!

4!

1. Things and Property Distinguish!

4!

2. Rights as Property!

4!

a) Real Rights!

4!

b) Personal Rights!

4!

c) Distinctions!

4!

3. Kinds of Property Ownership!

4!

a) Common/Res Nullious!

4!

b) Public Dominion!

4!

c) Private Property!

4!

4.

5.

Immovable Property (Real Property)!

4!

a)

Enumeration of Immovable Property (Art. 415)!

4!

b)

Extent of Ownership (Art. 437)!

4!

Movable Property (Personal Property)!

4!

B. Ownership!
1. In General !

5!
5!

a) Definition!

5!

b) Incidents of Ownership!

5!

c) Limitation!
Page 1 of 15

5!

d) Under the Civil Code Art. 427!

2. Presumptions!

5!
5!

a) Rule on Accession !

6!

b) The law favours actual possessors !

6!

3. Right to Use!

6!

a) Art. 428 of the Civil Code!

6!

b) 1987 Constitution, Article XII, National Economy and Patrimony!

6!

4. Right to Transfer!

6!

a) Art. 428 of the Civil Code!

6!

b) Kinds of Transfers!

6!

5. Right to Exclude!

6!

a) The owner or lawful possessor of a thing has the right to exclude any
person from the enjoyment and disposal of the thing. (Art. 429)! 6!
b)

Resort to judicial process if possession is loss (Art. 433)!

c) Self-Help!
C. Co-Ownership!

6!
6!
6!

1. Definition: The ownership of an undivided thing or rights belongs to different

person (Art. 484)!
6!
2. General Rule!

6!

3. On Right to Use!

6!

4. On Right to Exclude!

6!

5. On Right to Transfer!

7!

6. On Right to Vindicate!

7!

7. On Right to Partition!

7!

8. Obligations of Co-Owners!

7!

9. Renunciation of Shares!

7!

10. Special rules on co-ownership of buildings!

7!

D. Possession!
1.

In General!

7!
7!

2. Acquisition of Possession!

8!

3. Loss of Possession!

8!

4. Effects of Possession!

8!

5. Possession of Third Persons!

9!

V. Trespass, Interference and Nuisance and The Right to Vindicate!

9!

1. Distinguish Trespass from Nuisance!

9!

2. Trespass!

9!

a) Cause of Action !
Page 2 of 15

9!

b) In Real Property!

10!

c) In Personal Property!

11!

3. Nuisance and Interference to Property Rights!

11!

a) Public and Private Nuisance (Art. 695)!

11!

b) Nature!

11!

c) Easement against nuisance !

11!

d) Condemnation of Property by reason of health, safety or security (Art. 436)

!
11!
e) Remedies!

11!

4. Torts and Damages!

12!

5. Quieting of Title (Chapter 3)!

12!

VI. LIMITATIONS OF OWNERSHIP!

A. Injurious Use!
1. General Rule!

12!
12!
12!

2. Ruinous Buildings and Trees in Danger of Falling (Chapter 4, Sections

482-483)!
12!
B. Easements!

12!

C. Private Ownership vs. The State!

12!

1. Taxation!

12!

2. Eminent Domain!

12!

3. Police Power in General!

12!

4. Land Use Regulations/Zoning!

12!

5. Environmental Regulations!

13!

VII. MODES OF ACQUIRING OWNERSHIP!

A. Original Modes (Original Creation of Property)!

13!
13!

1. Occupation!

13!

2. Accession!

14!

3. Intellectual Creation!

15!

4. Prescription and Adverse Possession!

15!

B. Derivative Modes (Transfers of Rights)!

15!

1. Donation!

15!

2. Succession!

15!

3. Sales!

15!

4. Exchange !

15

Page 3 of 15

I.

THEORIES ON PROPERTY!
A.
B.
C.
D.
E.
F.

In General!
First Possession!
Labor!
Utilitarian!
Democracy!
Personhood!

II. LEGAL THEORIES!

A.
B.
C.
D.
E.

Natural Law!
Legal Positivism!
Property as the Law of Things!
Right to Exclude as the Source of Property!
Bundle of Rights!

III. PROPERTY AS AN INSTITUTION!

IV. OWNERSHIP IN GENERAL!
A. Rights Over Things!
1. Things and Property Distinguish!
2. Rights as Property!
a) Real Rights!
b) Personal Rights!
c) Distinctions!

3. Kinds of Property Ownership!

a) Common/Res Nullious!
b) Public Dominion!
(1) Property intended for public use (Art. 420, par. 1)!
(2) Property for public service (Art. 420, par. 2) !
(3) Property for the development of national wealth (Art. 420, par. 2)!
(4) Patrimonial property Articles 421 !
c) Private Property!
(1) All properties belonging to private persons either individually or collectively (Art.
425) !
(a) Sole ownership!
(b) Corporate/Co-ownership!

4.

Immovable Property (Real Property)!

a)
b)

5.

Enumeration of Immovable Property (Art. 415)!

Extent of Ownership (Art. 437)!
(1) Includes the surface and everything under it.!
(2) How about natural resources?!
(3) Hidden Treasures (Art. 438/439)!
(a) Hidden and unknown deposit of money, jewellery or other precious objects
(Personal Property) the lawful ownership of which does not appear (Art.
439)!
(b) Belongs to the owner of the land/building (Principle of Accession)!
(c) If by chance 1/2 belongs to the finder but not when he is a trespasser !
(d) The State ay acquire hidden treasure at their just price; Ground: Science/
Art !

Movable Property (Personal Property)!

Enumeration under Art. 416 and 417!
Consumables or Non-Consumables under Art. 418!
Fungible or Non-Fungible!

Page 4 of 15

B. Ownership!
1. In General !
a) Definition!
(1) In its strict sense!
(a) Property signifies that dominion or indefinite right of user, control and
disposition which one may lawfully exercise over particular things or objects
(63 Am Jur 2d). !
(b) Property is composed of certain constituent elements, namely, the
unrestricted right of use, enjoyment and disposal of the particular subject of
property. !
(2) Meaning of Title !
(a) Refers to that which is the subject of ownership, and is that which is the
foundation of ownership. !
(b) It is the evidence of a persons right or of the extent of his interest; the
means whereby the owner is enable to maintain or assert his possession
and enjoyment. !
(c) Colour of title is that which gives a semblance or appearance of title, but is
not the title in fact. It is anything which shows the extent of the occupants
claim!
b) Incidents of Ownership!
(1) Possession and Control !
(a) Ownership of property implies the right of possession and control; !
(2) Right to its Product or Increase !
(a) It carries with it the right to its product !
(b) It carries with it the right to its increase!
(3) Right to Transfer !
(a) It includes the right of alienation or disposition in any lawful manner which
the owner deems fit !
(b) Must comply with the mode appropriate appropriate to the kind of property in
order to be effectual. !
(4) Right to Vindicate!
(a) Includes the right to protect and defend such possession against the
intrusion or trespass of others which may include self-help; and!
(b) Right to judicial relief!
c) Limitation!
(1) An owner may put his property to any use not unlawful, however absolute and
unqualified may be his title, an owner holds the property under the implied
liablitiy that his use of it shall not be injurious to the equal enjoyment of others
having an equal right to the enjoyment of their property of others nor injurious to
the rights of the community. a claim of restrictions and limitation in the use of
such property must be clearly and indubitable established!
(2) Governmental control and regulate properties to secure the general safety, the
public welfare and the peace, good order and morals of the community. This
does not confer power to control rights which are purely and exclusively private,
but it does authorize the establishment of laws requiring each citizen so to
conduct himself and use his own property as not uncecessarily to injure another.
The state may provide regulations as to the acquisition, enjoyment and
disposition of property and may even take private property for a public purpose,
subject to the right of the individual to just compensation. !
(3) Property is subject to certain burdens which it must bear in common with other
property of a like kind.!
d) Under the Civil Code Art. 427!
(1) Over Things!
(2) Over Rights!

2. Presumptions!
Page 5 of 15

a) Rule on Accession !
(1) All works, sowing and planting are presumed made by the owners at this
expense (Art. 446)!
b) The law favours actual possessors !
(1) Ownership is presumed in favour of actual possessors. (Art. 433)!

3. Right to Use!
a) Art. 428 of the Civil Code!
(1) The owner has the right to enjoy subject to limitations established by law
(Separate Discussion on Limitations of Property Ownership)!
(2) Injurious Use - Art. 430. The owner of the thing cannot make use it in such a
manner as to injure the rights of a third person!
b) 1987 Constitution, Article XII, National Economy and Patrimony!
(1) Use of Property!
(a) The use of property bears a social function, and all economic agents shall
contribute to the common good. Individuals and private groups, including
corporations, cooperatives and similar collected organisations, shall have
the right to own, establish and operate economic enterprises, !
(b) The us of property is subject to the duty of the state to promote distributive
justice and it intervene when the common good so demands. !

4. Right to Transfer!
a) Art. 428 of the Civil Code!
(1) The owner has the right to dispose property subject to limitations established by
law!
b) Kinds of Transfers!
(1) Assignment of ownership!
(2) Assignment of use only !

5. Right to Exclude!
a) The owner or lawful possessor of a thing has the right to exclude any person
from the enjoyment and disposal of the thing. (Art. 429)!
(1) Enclosure and Fences (Art. 430) but subject to servitudes!
(2) Self Help (Art. 429) !
b) Resort to judicial process if possession is loss (Art. 433)!

c) Self-Help!
Enclosures and Fences Art. 430!
Exceptions in the Civil Code - Lawful Interference in cases of acts of necessities
Art. 432 / damages!
Servitudes!

C. Co-Ownership!
1. Definition: The ownership of an undivided thing or rights belongs to different
person (Art. 484)!
2. General Rule!
a) Presumption is equal shares (Art. 485)!
b) Full ownership of his share (Art. 493)!
c) On Share - the share of the co-owners in the benefits as well as in the charges are
proportional to their interest and any stipulation altering this proportion is void . (Art.
485) !
3. On Right to Use!
a) Any co-owner ay use the thing in accordance with its purpose (Art. 486)!
b) Cannot use it in such a way as to injure the interest of the co-owners or prevents
them from using it according to their rights!
c) Co-owner may not alter the thing in common even though it will benefit all coowners; judicial relief if the withholding of consent is prejudicial (Art. 491) or if the
resolution of the majority is prejudicial (Art. 492) !
4. On Right to Exclude!

Page 6 of 15

a) May not exclude co-owners (Art. 486)!

b) Prescription does not run against co-owner as long as he recognises the coownership (Art. 494, par. 5)!
5. On Right to Transfer!
a) Any co-owner may alienate, assign or mortgage his right (Art. 493)!
b) Any co-owner may substitute another person in the enjoyment of the use except if
personal rights are involved (Art. 493)!
c) Creditors and Assignees may take part in the division but cannot impugn any
partition that has been executed (Art. 497)!
6. On Right to Vindicate!
a) Any co-owner may bring an action for Ejectment (Art. 487)!
7. On Right to Partition!
a) Any co-owner may demand partition any time in so far as his share is concern (Art.
492 and 496); mutual accounting for benefits receive and reimbursement (Art. 500);
Creditors or assignees of a co-owner may take part in the division and object to its
being effected without their concurrence (Art. 497).!
(1) Private Partition (Art. 496)!
(2) Judicial Partition (Art. 496)!
b) Exception!
(1) By agreement for a period not more than ten years. Extension is allowed by a
new agreement. (Art. 494, par. 2)!
(2) Donor and Testator may prohibit partition but it shall not exceed 20 years (Art.
494, par. 3)!
(3) If the partition will render the thing unserviceable for the use for which it was
intended (Art. 495). Indemnification of other co-owners by the acquiring coowner but if there is no agreement, the thing shall be sold and the proceeds
distributed (Art. 497)!
c) Effect of Partition to Third Persons (Art. 499)!
(1) Does not prejudice third person who has a right of mortgage, servitude or any
other real right before the division. !
(2) Does not prejudice personal rights!
d) Warranty - every co-owner shall be liable for defects of title and quality of the portion
assigned to each of he other co-owners. (Art. 501) !
8. Obligations of Co-Owners!
a) Contribute to the expenses for preservation and to taxes. (Art. 488)!
b) Contribute to the expenses for improvement upon majority decision (Art. 489).
Majority decision must include co-owners representing controlling interest (Art. 492)!
c) As far a practicable, other co-owners must be notified before a co-owner incur
expenses for preservation.!
9. Renunciation of Shares!
a) A co-owner may renounce his share share as may be equivalent to this share of the
expenses and taxes but not when it is detrimental to the interest of the co-ownership
(Art. 488)!
10. Special rules on co-ownership of buildings!
a) Art. 490 !

D. Possession!
1.

In General!
a) Definition !
(1) Possession is the holding of a thing or the enjoyment of a right (Art. 523). !
(2) Only things and rights which are susceptible of being appropriated may be the
object of possession (Art. 430)!
b) How is Possession Exercise!
(1) Possession can be exercise in ones own name or in that of another (Art. 524)!
(a) Possession of a thing as an owner!

Page 7 of 15

(b) Possession of a thing by reason of a right to hold, keep or enjoy without

being an owner; See Art. 559!
2. Acquisition of Possession!
a) How acquired (Art. 531)!
(1) Material Occupation!
(2) Exercise of a Right!
(3) Control - the thing/right is subject to the action of our will, i.e. wild animals;
tamed if they retain the habit of returning (Art. 560)!
b) Who can acquire (Art. 532)!
(1) By the same person who is to enjoy it!
(2) By his legal representatives, agent or any other person if ratified; in case of
minors/incapacitated persons, they need the assistance of their legal
representatives!
(3) By operations of law (Art. 534) as in the case of hereditary title - transmission
from the moment of death!
c) Possession cannot be acquire through force or intimidation as long as there is a
possessor who objects to it (Art. 536; but see the doctrine of Self-Help)!
d) Acts merely tolerated and those executed clandestinely and without knowledge or
by violence do not affect possession (Art. 537)!
e) Possession of movables in good faith is equivalent to a title, however, the person
who was unlawfully deprive may recover it (Art. 559) however, there must be
reimbursement in case of acquisition in public sale. !
f) Possession as a fact cannot be recognised at the same time in two different
personalities except in co-possession (Art. 538)!
(1) Present possessor is preferred !
(2) The one longer in possession is preferred in case there are two possessors!
(3) The one who presents a title is preferred in case of the date of possess are the
same.!
3. Loss of Possession!
a) General Rule (Art. 554)!
(1) By abandonment of the thing!
(2) By assignment made to another either by onerous or gratuitous title!
(3) By destruction or total loss of the thing or because it goes out of commerce!
(4) By the possession of another!
(a) One year!
(b) Ten years - real right of possession is lost!
(c) Prescription on immovables is subject to land registration laws!
b) Presumptions!
(1) Movables are not deemed lost as long as they remain under the control of the
possessor even thought the time being he ay not know its whereabout.!
4. Effects of Possession!
a) Possession is respected and will be restored if disturbed, writ of injection may be
issued (Art. 539)!
b) Acquisitive prescription!
(1) Possession acquired and enjoyed in the concept of owner can serve as a title
for acquiring dominion (Art. 540)!
c) Presumptions!
(1) Just title - if possession is in the concept of an owner; possessor cannot be
obliged to show or prove it. (Art. 541)!
(2) A possessor who shows possession at some previous time is presumed to have
held possession also during the intermediate period in the absence of proof to
the contrary. (Art. 459)!
(3) Possession of real properties presumes possession of movables (Art. 542)!
d) In common possession (Art. 534)!
(1) Allocation after division is presumed to have been possessed during the entire
duration of co-possession!

Page 8 of 15

(2) Interruption of possession prejudices all the possessors!

(3) In case of Civil Interruption, the Rules of Court applies !
5. Possession of Third Persons!
a) Possession without authority from the lawful possessor !
b) In Good Faith - not aware that there exists in his title or mode of acquisition any flaw
which invalidates it; mistakes as to question of law may be a basis of good faith (Art.
526); Good faith is presumed and bad faith has to be proved (Art. 527); Good faith
is lost upon knowledge of the facts (Art. 528) !
(1) Effects of Possession in Good Faith !
(a) Entitled to the fruits before possession is legally interrupted !
(b) Right to his proportional share in case of natural and industrial fruits in case
of interruption!
(c) Refund !
i) For necessary expenses with right of retention until reimbursement (Art.
546, par. 1)!
ii) For useful expenses with right of retention - owner has the option to
refund or to pay increase in value (Art. 546 par. 2)!
iii) For expenses for pure luxury or mere pleasure (Art. 548)!
(d) Removal !
i) Of useful improvements if it can be done without damage or refund (Art.
547)!
ii) Of ornaments for embellishment if it suffers no injury and if owner does
not prefer to refund (Art. 548)!
(e) Liability!
i) Not liable for the deterioration or loss except if there is fraudulent intent
or negligence after judicial summons !
c) In Bad Faith - if the possessor is aware of any flaw in his title !
(1) Effects of Possession in Bad Faith!
(a) Obligation to reimburse the owner/legitimate possessor the fruits received !
(b) Refund !
i) For necessary expenses without right of retention (Art. 546 and 549)!
(c) Removal!
i) Of improvement for pure luxury or please if no injury is cause and the
lawful possessor does not prefer to retina the by paying its value (Art.
549) !
(d) Liability!
i) Liable for losses including fortuitous events !
d) Recovery of Possession!
(1) Improvements caused by nature or time always insure to the benefit of the
person who succeeded in recovering possession (Art. 551); and !
(2) nor is he obliged to pay for improvements which have ease to exist at the time
he takes possession of the thing (Art. 553)!
(3) Recovery of possession unjustly lost - possessor deemed to have uninterrupted
possession !

V. Trespass, Interference and Nuisance and The Right to Vindicate!

1. Distinguish Trespass from Nuisance!
a) In Trespass there is always entry; In Nuisance there is injury to property or
interference with its use or enjoyment without entry !
b) Injury - immediate in trespass but consequential only in nuisance/infringement !

2. Trespass!
a) Cause of Action !
(1) The owner has the right of action against the holder and possessor of the thing
in order to recover it. (Art. 428, Par. 2)!
(2) Presumption of ownership is given to actual possessor (Art. 433)!

Page 9 of 15

(3) In an action to recover, plaintiff must rely on the strength of his title and not on
the weakness of the defendants claim (Art. 434)!
b) In Real Property!
(1) Self Help!
(2) Criminal Actions !
(a) Usurpation of Real Rights under Article 312 of the RPC!
i) By means of violence against or intimidation of persons takes
possession of any real property !
ii) Usurp any real rights in property belonging to another!
(b) Other Form of Swindling under Article 316 of the RPC!
i) Any person who pretending to be the owner of any real property shall
convey, sell, encumber of mortgage the same!
ii) Any Person who knowing that the property is encumbered shall dispose
the same although such encumbrance is not recorded!
iii) Any person who sell, mortgage or encumber real property use as surety
in a bond !
(3) Recovery of Possession!
(a) Forceable Entry and Unlawful Detainer!
i) An action instituted by a person deprived of the possession of any land
or building by force, intimidation, threat, strategy, or stealth (Forceable
Entry) or a landlord, vendor, vendee or other person against whom the
possession of any land or building is unlawfully withheld after the
expiration of any contract, express or implied (Unlawful Detainer).!
ii) Action is instituted with the Municipal/City Trial Court!
iii) Action must be instituted within one year !
(1) from time of unlawful deprivation !
(2) demand to vacate !
iv) Relief is restitution of possession with damages and costs!
v) Procedure is covered by Rule 70 of the Rules of Court on Forceable
Entry and Unlawful Detainer!
(1) Summary Procedure!
(2) Immediate Execution on Judgement !
(3) A possessor deprived of his possession may within ten days from
filing of the complaint present a motion to secure from the court a writ
of preliminary injection to restore him in his possession. Court must
decide the motion whiting thirty (30) days. (Art. 539) !
(b) Accin Publiciana!
i) If cause of dispossession is not FEUD or upon expiraation of one year to
commence an action for FEUD !
ii) If the action is due to tolerance!
(c) In Lease - the lessor is not obliged to answer for a mere act of trespass
which a person may cause on the use of the thing leased; but the lessee
shall have a direct action against the intruder (Art. 1664); act of trespass
when the third person claims no right whatever!
(d) Mere acts of trespass does not suspend payment in sale (Art. 1590)!
(4) Recovery of Ownership and Possession!
(a) Accion Reivindicatoria !
i) The action is for recovery of ownership and not just possession!
ii) The defendant claims ownership over the land such as when there is
adverse possession!
(5) Writ of Possession!
(a) Issued at the instance of the applicant in the following instances!
i) Land Registration Proceedings!
ii) Extra-judicial Foreclosure of Mortgage as against the mortgagor!
iii) Judicial Foreclosure as against the mortgagor!
iv) Execution Sale!

Page 10 of 15

c) In Personal Property!
(1) Self Help!
(2) Replevin!
(a) Rule 60 of the Rules of Court!
i) Recovery of possess of personal property!
3. Nuisance and Interference to Property Rights!
a) Definition - (Art. 694) An act, omission, establishment, business, condition of
property or anything which injures, annoys, offends, shocks, defies decency,
morality, obstructs or interferes with free passage or hinders or impairs the use of
property !
b) Public and Private Nuisance (Art. 695)!
(1) Public Nuisance or Common Nuisance affects a community or neighbourhood or
any considerable number of persons although the extent of annoyance or range
or damage is unequal!
(2) Private nuisance affects only specific individuals and not the whole community;
violates only private rights!
c) Nature!
(1) Per Se - nuisance at all times and under any circumstances, regardless of
location or surroundings!
(2) Per Incidens - nuisance by reason of the circumstance and surroundings !
d) Easement against nuisance !
(1) Every building or piece of land is subject to easement which prohibits the
proprietor or possessor from committing nuisance through noise, jarring,
offensive odor, smoke, heat, dust, water glare and other causes (Art. 682)!
(2) Police Power - Subject to zoning, health, police and other laws and emulations,
factories and shops may be maintained provided the least possible annoyance
is cause to the neighbourhood (Art. 683)!
e) Condemnation of Property by reason of health, safety or security (Art. 436)!
(1) The owner of a property is not entitled to compensation when it is condemned
by the State by reason of health, safety or security !
(2) Unless such action is unjustified!
f) Remedies!
(1) Prosecution under the Penal Code!
(a) Limited to public nuisance!
(2) Civil Action!
(a) If public nuisance - action shall be commence by the city (Art. 701)!
(b) Exception - it may be filed by a private person if it is specially injurious to him !
(3) Abatement without judicial proceedings!
(a) Public Nuisance by Officers of the Law(Art. 700-703)!
i) Exercise of police power by the State - the State may authorise its
officers to abate public nuisance without resort to legal proceedings and
without notice or hearing;!
ii) Limitation - it must be reasonable and effectively exercise; not unduly
oppressive to individuals; the injury must be done to the property is
necessary to accomplish the abatement (Art. 707 provides that person
performing extra-judicial abatement may be liable for damages if he
causes unnecessary injury or the the alleged nuisance is declared by the
court as not a real nuisance.!
iii) Owner of the property not entitled to compensation!
(b) Public Nuisance by Private Persons (Art. 704)!
i) Private persons may abate a public nuisance that are injurious to him by
removing or if necessary destroying the thing; in extreme necessity;
timeliness!
ii) Must not breech the peace!
iii) Demand must be made to abate and owner refused!

Page 11 of 15

iv) Must be made with the approval of the district health officer and with
assistance of the local police!
v) The value of the property must not exceed three thousand pesos!
(c) Private Nuisance by Private Persons (Art. 706)!
i) Procedure is similar to abatement of public nuisance by private person!
4. Torts and Damages!
5. Quieting of Title (Chapter 3)!
a) An action brought to remove a cloud on title to real property by reason of any
instrument, record, claim, encumbrance or proceedings which is apparently valid or
effective but is in truth and in fact invalid, ineffective or unenforceable, and may be
prejudicial to said title. (Art. 476)!
b) Legal or equitable title to or interest to real property!
c) Return of all the benefits acquired by the plaintiff to the defendant (Art. 479)!

VI. LIMITATIONS OF OWNERSHIP!

A. Injurious Use!
1. General Rule!
a) An owner cannot make use of the property in such manner as to injure the rights of
a third person.!
2. Ruinous Buildings and Trees in Danger of Falling (Chapter 4, Sections 482-483)!
a) Obligation to demolish or to execute necessary work!
b) Administrative authority may order its demolition or to take measures to insure
public safety! !

B. Easements!
C. Private Ownership vs. The State!
1. Taxation!
2. Eminent Domain!
a) Art. 435. No person shall be deprive of his property except by competent authority
and for pubic use an always upon payment of just compensation.!
3. Police Power in General!
4. Land Use Regulations/Zoning!
a) In General !
(1) Interference with the Traditional Property Rights Regime !
(2) Freedom to use land except only in nuisance and easement!
(3) Constitutionality!
b) Zoning!
(1) Non-Conforming Uses!
(2) Amortisation!
(3) Zoning Amendments!
(4) Variance!
(5) Special Exceptions!
c) Future of Land Use Regulations!
d) Laws on Land Use in the Philippines!
(1) Batas Pambansa Blg. 220 - Authorises the ministry of human settlements to
establish and promulgate different levels of standards and technical
requirements for economic and socialized housing projects in urban and rural
areas from those provided under Presidential Decrees No. 957, 1216, 1067 and
1185.!
(2) Presidential Decree No. 957 - regulates the sale of subdivision lots and
condominiums.!
(3) Presidential Decree No. 1216 - defining "open space" in residential subdivisions
and amended section 31 of Presidential Decree No. 957 requiring subdivision
owners to provide roads, alleys, sidewalks and reserve open space for parks or
recreational use)!
(4) Republic Act No. 7160 - mandated the LGU to prepare and implement a
comprehensive land use plan (CLUP) and shall approve subdivision plans.!

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(5) Executive Order No. 71 - implemented the provision of RA No. 7160 on the
LGUs mandate to approve subdivision plans, to cities and municipalities
pursuant to R.A. No. 7160 (LGC).!
(6) Executive Order No. 72 - implemented the provision of the LGC for the
preparation and implementation of the comprehensive Land Use Plans.
HLURBs role on standards. !
(7) Republic Act No. 7279 - Urban Development and Housing Act provided a
comprehesive and continuing urban development and housing program,
establish the mechanism for its implementation.!
(8) Proposed Land Use Act - 20 years of deliberation in Congress!
e) Cases:!
5. Environmental Regulations!
a) In general !
(1) Many environmental law affects how property can be use. !
(2) Environmental laws developed only in the 1960s and created a comprehensive
legislation that sometimes intersects with laws governing property.!
b) Property and Ecology !
(1) Land is not a passive entity waining to be transformed by its land owner. Land is
already at work, performing important services in its unaltered state. Some
ecological functions have been recognized and protected by law. Viewing land
through the lens of natures economy reduces the significance of property lines.
(Joseph L. Sax, Property Rights and the Economy of Nature, 45 Stan. L.
Review. 1433, (1993)!
c) Theories!
(1) Utilitarian theory - land is solely the owners property to develop as the owner
please!
(2) Green theory - ecological ethic emphasises the moral duty of humanity to act as
a steward of natural life (J. Peter Bryne, Green Property, 7 Const. Comment.
239, 243 (1990)!
(3) Public Trust Doctrine - lands are deemed to be owned in trust by the sovereign
for the benefit of the public!
(4) Bundle of rights - title does not include the right to violate the public trust. !
d) Cases:!

VII. MODES OF ACQUIRING OWNERSHIP!

A. Original Modes (Original Creation of Property)!
1. Occupation!
a) General Rule!
(1) Things appropriable by nature which are without an owner are acquired by
occupation (Article 713, NCC) !
(2) But land cannot be acquired by occupation (Article 714, NCC).!
b) Conditions: !
(1) Res nulius; includes domesticated animals that returned to the wild (20 days to
reclaim, otherwise it shall be considered as res nullius); !
(2) Physical object; !
(3) Actual possession or control; !
(4) Intention to and capacity to acquire!
(5) Specific Resources: wild animals, hidden treasure and abandoned movables.!
c) Special Rules: !
(1) Bees (right to pursue, 2 days); !
(2) Pigeons and fish (enticement rule); !
(3) Hidden treasure (Art. 438, NCC); Finder must return (1/10 reward) or he is liable
for theft under RPC Article 308, Par. (1); !
(4) Abandoned property becomes res nullius!
d) Roman Law Concepts: !
(1) res nullius (property without an owner)!

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(2) spes recuperandi (hope of recovery)!

(3) animus revertendi (intent to recover)!
(4) res alicujus (possession is lost but not ownership)!
2. Accession!
a) General rule:!
(1) The law assigned ownership of things produced to the owner of the principal
(Art. 440, 441)!
(a) Natural!
(b) Industrial!
(c) Civil!
(2) The law presumed that the accessory thing belongs to owner of the principal !
(a) The possession of real property presumes that of the movables therein,
soloing as it is not shown that they should be excluded (Art. 542)!
(b) The possession of movable is not deemed lost so long as hey remain under
he control of the possessor even though for the time being he may not know
their whereabouts (Art. 556) !
b) On Immovable Property!
(1) All that is built, planted or sown on the land is pressed to belongs to the land
owner (Art. 445) unless the contrary is proved (Art. 446)!
(2) Drift woods belongs to the owner of the land unless claimed with payment for
expenses in the gathering and preservation !
(3) Accretion on river banks under Art. 457 belong to the owner but does not include
lakes!
(4) Rule on avulsion under Art. 459!
(5) Rule on changes is the course of rivers Art. 46, Art. 462 and Art. 465!
(6) Rule on Islands!
(7) Rule on Accession as to Third Persons!
(a) Rights of material men - payment, removal if it will cause no injury and
removal with injury if the owner acted on bad faith (Art. 447)!
(b) Builder Planter Sower in good faith (Art. 448)!
i) Owner appropriate the property with payment of indemnity!
ii) BPS may be compelled to pay for the land or to pay rent!
(c) Builder Planter Sower in bad faith (Art. 449/450)!
i) Owners acquires the BPS without payment of indemnity!
ii) or/Owner demands demolition with restoration!
iii) or/Owner pays the land/rent!
iv) BPS is entitled to reimbursement for the preservation of the land (Art.
452)!
v) BPS in bad faith is entitled to reimbursement for the necessary expenses
for preservation!
vi) BPS is bad faith is always liable for and with damages (Art. 451)!
(d) Both owner and BPS is in bad faith (Art. 453)!
i) Treated as if both acted in good faith!
ii) Cancels out the bad faith of each!
(e) Bad Faith on the part of the owner only!
i) There is bad faith on the part of the owner if he has knowledge and did
not oppose the BPS on his landIf the owner acted on bad faith while the
TP acted on good faith, the BPS has the right of a material man under
Art. 447!
c) On Movable Properties!
(1) General Rule - Art. 466 Owner of the principal acquires the accessory with
indemnity !
(2) Definition of Principal!
(a) Not the ornament (Art. 467) !
(b) The one with greater value (Art. 468)!
(c) The one with greater volume (Art. 468)!

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(3) Rule on Separation!

(a) The Principal does not acquire the Accessory if the two objects can be
separated without injury. (Art. 469, 2nd par.)!
(b) When the accessory is more valuable than the principal, the owner may
demand separation even if there would be injury.!
(c) If the things are mixed (no principal/accessory) - proportional division
bearing in mind the value of the things mixed. (Art. 472)!
(4) Rule on Acquisition if there is Bad Faith (Art. 470)!
(a) Owner of Accessory in Bad Faith - owner of the accessory loose the thing
without indemnity!
(b) Owner of Principal in Bad Faith - owner of accessory may choose
reimbursement with damages or separation with damages.!
(c) If both are in Bad Faith, rule is Art. 466!
(d) In case of Bad Faith in mixture/confusion - owner in BF loosed his property
with indemnity (Art. 473)!
(5) In case of Materials !
(a) The maker in Bad Faith, owner of the material shall have the right to
appropriate the work without payment or demand value of the material with
damages !
(b) Ownership of Materials Used!
i) In consensual contracts, payment of the materials !
ii) If the material was use without consent, indemnity and delivery of a thing
equal in kind or value or price according to expert appraisal. (Art. 471)!
iii) Labor/Craft in good faith - craftsman acquires the materials with with
indemnity for the value of the materials, if the material is more valuable
than the finish goods, owner pays for the value of the work or demand
indemnity for the material (Art. 476)!
(6) Rules on Third Persons!
(a) Reimbursement under Art. 443 - if the owner receives a fruit, he should pay
third persons who incur expenses in its production, gathering and
preservation.!
3. Intellectual Creation!
4. Prescription and Adverse Possession!

B. Derivative Modes (Transfers of Rights)!

1.
2.
3.
4.

Donation!
Succession!
Sales!
Exchange

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