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transaction involving it without prior

RULE 80-85 approval of the probate court. The

Amicable Settlement, once
RELEVANT JURISPRUDENCE approved by another court, will
operate as a judgment that conveys
ESTATE OF AMADEO OLAVE v. REYES illegally and unfairly the property of
GR L-29407 July 29, 1983 the estate without the requisite
approval of the probate court of
Facts: Manila which has the sole jurisdiction
to convey this property in custudio
Carlos and Matias were the co- legis of the estate.
administrators of the estate of
Amadeo Olave. SAMCO filed a
collection case against them in their MANANQUIL v. VILLEGAS
capacity as co-administrators and AM No. 2430 August 30, 1990
the estate which eventually led to the
conveyance of more than 29 Facts:
hectares of land belonging to the
estate to SAMCO as payment of the Villegas is the counsel of record
debt by virtue of an Amicable of Felix Leong –the former
Settlement entered into without prior administrator of the Testate Estate of
authority of the probate court. Filomina Zerna. Mananquil was
appointed special administrator after
Issue: Felix Leond died. Mananquil charged
Villegas of misconduct for allowing his
Can co-administrators validly client Leong to execute lease
enter into an Amicable Settlement contracts covering several parcels of
involving the property under land of the estate with Hijos De Jose
administration without the prior Villegas for over 20 years without first
authority of the probate court? seeking the approval of the probate
NO. The law is clear that where
the estate of the deceased person is Does the execution of lease
already the subject of a testate or contracts by an administrator over
intestate proceeding, the the real property of the estate
administrator cannot enter into any
without prior approval of the probate husband, petitioned for the issuance
court constitute misconduct? of letters of special administration
over the estate of Engracia when the
Held: latter died in 1998. Florencia opposed
the motion stating that Diosdado was
NO. Section 3 of Rule 84 of the incompetent to be the special
Rules of Court provides that a judicial administrator of Engracia’s estate
executor or administrator has the because he was not an heir of the
right to the possession and deceased and that he was indebted
management of the real as well as to the estate in the amount of
the personal property of the P177,000. Diosdado reasoned that he
deceased so long as it is necessary for is more qualified to be the special
the payment of the debts and administrator as the illegitimate son of
expenses of administration. He may, Engracia’s husband as compared to
therefore, exercise acts of Florencia who was a mere niece, a
administration over said property collateral relative.
without special authority from the
court having jurisdiction of the estate. Issue:
It has long been settled that the
administrator has the power to enter Who is more qualified to be the
into lease contracts involving special administrator of Engracia’s
properties of the estate even without estate: Diosdado or Florencia?
prior judicial authority and approval.

Manungas v. Parreo FLORENCIA is more qualified to

GR 193161 August 22, 2011 be the administrator of Engracia’s
estate. The fact that Diosdado is an
Facts: heir to the estate of Engracia’s
husband does not mean that he is
Engracia was the administratrix entitled or even qualified to become
of her husband’s estate. She had the the administrator of Engracia’s
property partitioned in 1980. Her estate.
neice, Florencia, was appointed as
her Judicial Guardian in 1995 when The selection and removal of
Engracia had been declared to be special administrators is not governed
an incompetent. Diosdado, an by the rules regarding the selection
illegitimate son of Engracia’s and removal of regular
administrators. The probate court I
may appoint or remove special Give at least three grounds for the
administrators based on grounds removal or resignation of an
other than those enumerated in the executor or administrator.
Rules of Court at its discretion.
However, even if the trial court has
the discretion to appoint anyone as a
special administrator, such discretion II
must be exercised with reason, What are certain articles that are not
guided by the directives of equity, to be considered as assets and must
justice and legal principles. be excluded in the inventory of the
estate made by the executor or
Also, given the duty of the administrator?
special administrator to preserve the
estate for the executor or III
administrator afterwards appointed, What is a special administrator?
it would be prudent and reasonable
to appoint someone interested in IV
preserving the estate for its eventual What are the general powers of
distribution to the heirs. This would executors or administrators?
ensure that the special administrator
would not expose the estate to losses V
that would effectively diminish the What are the duties of executors or
shares of the heirs. Thus, there would administrators?
be no logical reason to appoint
Diosdado – a debtor to the estate
and otherwise a stranger to the HYPOTHETICALS
deceased, as the special
administrator. I
X, the administrator of Z’s estate,
entered into several contracts of
lease over the real and personal
property of the estate with Y. When X
asked Y for payment of rentals, Y
EXAMINATION QUESTIONS refused to pay. Y reasons that the
lease contracts were void from the
OBJECTIVES beginning because X did not seek
prior approval of the probate court
before entering into the lease role as an executor after he serves
contracts. Is Y justified in refusing to his sentence. Is the defense of Atty.
pay rentals? Q tenable?

D, E and F are partners who own and VI
operate DEF Leppard Records. When B died intestate. B’s children and her
D died due to over-intoxication, the husband both predeceased her. A is
probate court appointed Atty. A as the niece of B. She was appointed
the executor of his estate in the judicial guardian of B until the
accordance with D’s will. Atty. A latter died. She was likewise
sought to inspect the books of DEF appointed special administrator over
Leppard Records for purposes of the estate of B. C, the illegitimate
inventory and appraisal of D’s share child of B’s husband, opposed the
as a partner but E and F refused to appointment of A on the ground that
allow Atty. A access. E and F claim he is more qualified to be the special
that Atty. A cannot pry into administrator as the illegitimate son
partnership affairs because a of B’s husband as compared to A
partnership is a fiduciary and who was a mere niece, a collateral
personal relationship governed by relative. Is C correct?
the principle of delectus personae.
Can E and F be compelled to show
the partnership books to Atty. A? V
S is appointed by the probate court
III as the administrator of U’s estate. T
N is the named executor of M’s filed a collection suit in a different
estate. A day after receiving his court against S and the Estate of U for
letters testamentary, N was the payment of a debt amounting to
convicted of the crime of Interruption P3 Million. Wanting to settle the
of Religious Worship and was sent to matter quickly, S offers to enter into a
jail for six months and one day. P, Compromise Agreement with T
M’s brother, sought to have N whereby a parcel of land in U’s
removed as executor but Atty. Q, N’s estate would be conveyed to T in
attorney, defends that imprisonment payment of the debt. T’s old lawyer
is not one of the grounds stated suddenly dies so T asks for your
under Rule 82 of the Rules of Court. advice on whether or not he should
Atty. Q adds that N’s prison sentence accept the Compromise Agreement
is short and that he can discharge his offered by T.

1. The court can still appoint an

administrator even if the deceased
left a will.
2. The executor or administrator
cannot lease real properties of the
estate without prior approval from
the probate court.
3. An executor may be removed or
allowed to resign when a will is
discovered, proved and allowed by
4. The executor or administrator has
the power to access corporate books
and property in furtherance of their
powers of inventory and appraisal.
5. The appointment of a debtor of the
estate as its special administrator
constitutes grave abuse of discretion
of the court’s power of appointment.