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Conjugal Partnership of Gains

Villanueva vs. IAC

GR No. 67582, October 29, 1987

Modesto Aranas, husband of Victoria, inherited a land from his father. Dorothea and
Teodoro, Modestos illegitimate children, borrowed money from private respondent Jesus
Bernas, mortgaging as collateral their fathers property. In the loan agreement, Aranas
described themselves as the absolute co-owners. Dorothea and Teodoro failed to pay the loan
resulting to extrajudicial foreclosure of mortgage in 1977 and thereafter Bernas acquired the
land as the highest bidder. Aftewards, the Aranases executed a deed of extrajudicial partition
in 1978, in which they adjudicated the same land unto themselves in equal share pro-
indiviso. Bernas then consolidated his ownership over the lot when the mortgagors failed to
redeem it withn the reglementary period, and had the title in the name of Modesto cancelled
and another TCT issued in his name.
In 1978, petitioner Consolacion Villanueva and Raymundo Aranas filed a complaint against
respondents spouses Jesus and Remedios Bernas, for the cancellation of the TCT under the
name of the Bernases, and they be declared co-owners of the land. Petitioner alleged that
spouses Modesto and Victoria in 1987 and 1958 executed 2 separate wills: first bequeathing
to Consolacion and Raymundo and to Dorothea and Teodoro, in equal shares pro diviso, all
of said Victorias shares from the conjugal partnership property; and second Modestos
interests in his conjugal partnership with Victoria as well as his separate properties
bequeathed to Dorothea and Teodoro. Trial court dismissed the complaint, declaring herein
respondents as the legal owners of the disputed property. IAC likewise affirmed the lower
courts decision.

ISSUE: WON Villanueva had a right over the land and the improvements thereon made by
Victoria who rendered the lot as conjugal property.

The land was not a conjugal partnership property of Victoria and Modesto. It was Modestos
exclusive property since he inherited it from his parents. Moreover, since Victoria died ahead
of Modesto, Victoria did not inherit said lot from him and therefore had nothing of the land to
bequeath by will of otherwise to Consolacion.
Article 158 of the Civil Code says that improvements, whether for utility or adornment made
on the separate property of the spouses through advancements from the partnership or
through the industry of either spouse belong to the conjugal partnership, and buildings
constructed at the expense of the partnership during the marriage on land belonging to one of
the spouses also pertain to the partnership, but the value of the land shall be reimbursed to the
spouse who owns the same.
There was no proof presented by Villanueva. Such proof is needed at the time of the making
or construction of the improvements and the source of the funds used thereof in order to
determine the character of the improvements as belonging to the conjugal partnership or to
one spouse separately. What is certain is that the land on which the improvements stand was
the exclusive property of Modesto and that where the property is registered in the name of
one spouse only and there is no showing of when precisely the property was acquired, the
presumption is that is belongs exclusively to said spouse. It is not therefore possible to
declare the improvements to be conjugal in character.
Furthermore, Bernas mode of acquisition of ownership over the property appears in all
respect to be regular, untainted by any defect whatsoever. Bernas must therefore be deemed
to have acquired indefeasible and clear title to the lot which cannot be defeated or negated by
claims subsequently arising and of which he had no knowledge or means of knowing prior to
their assertion and ventilation.
Belcodero v Court of Appeals

1. Alayo Bosing married Juliana Oday in 1927 and theyhad 3 children. In 1946 he
abandoned them and lived with Josefa Rivera (whom he acknowledged ascommon
law wife Josefa Bosing). They had one child, Josephine Bosing, now Josephine

2. He married Josefa Bosing in 1958, while still married to Juliana.

3. Alayo purchased parcel of land on installment basis in1949 and his deed he
named Josefina Bosing as his wife and transferred lot in her name. Final deed
executed in 1959.

4. Alayo died March 1967. In 1970 Josefa and Josephine executed a document of
extra-judicial partition and sale of the lot, which was described asconjugal property.
Josefas share went to Josephine for P10,000, so Josephine Belcodero had full
ownership. Notice was published.

5. In October 1980 Juliana (real widow) and 3 children filed for reconveyance of
property. Trial Curt and Court of Appeals ruled in favor of Juliana.

1. The husband acquired ownership while living with a paramour, after deserting
his wife. Property bought prior to effectivity of 1950 Civil Code but the final
deed was ensued after and the Family Code took effect 1988.a.
2. Whether the property was acquired in 1949when he first started paying
installment or in1959 when the deed was finalized, result isthe same. Property
belongs to conjugal partnership of Alayo and legal wife Juliana.

Under old and new Civil Code all property is presumed to belong to conjugal
partnership unless it is provided that it is exclusive to either spouse

b. Property acquired by Alayo, he merely had the title transferred to Josefas name.
She implicitly recognized Alayos ownership when she and Josephine filed
extrajudicial partitionof the said property the partition would have conformed with
partition in intestacy had they been sole and legitimate heirs of Alayo.

2. Common law spouses.

A. In Art 144 and in Maxey v. CA the co-ownership rule had been repudiated
wheneither of the spouses had impediments to marry.
B. B. Art 147 and 148 of Family Code did notdeviate from old rules. Art 148 says
that:when one of the parties is validly married toanother, his or her share of
the co-ownershipshall accrue to the conjugal property of thevalid marriage.
But the provisions cant apply to this case without interdicting prior vested
rights, so the provisions dont apply.
3. Constructive trusta. Acc to Art 1456: If property is acquired by mistake the person
obtaining it is trustee for implied trust
b. The applicable reconveyance period is tenyears. Under the Torrens System
theprescriptive period starts when transaction isregistered and a Certificate of Title is
issued.Josephine Belocdero got the Certificate in1974 and Juliana filed the case in
4. New evidence a. Juliana married again, but no legalseparation was brought to
Alayo during hislifetime si this holds no relevance

DECISION:Affirmed, property goes to Juliana.