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G.R. No.

118114 December 7, 1995 Private respondent cannot conclusively claim


ownership over the subject lot on the sole basis
ACAP vs. COURT OF APPEALS of the waiver document.

Under Article 712 of the Civil Code, the modes


FACTS: of acquiring ownership are generally classified
into 2 classes: (1) original mode (i.e., through
Felixberto, an only son, inherited from his occupation, acquisitive prescription, law or
parents a lot. He executed a duly notarized intellectual creation) and (2) the derivative mode
document entitled "Declaration of Heirship and (i.e., through succession mortis causa or
Deed of Absolute Sale" in favor of Pido. tradition as a result of certain contracts, such as
When ownership was transferred, Acap sale, barter, donation, assignment or mutuum).
continued to be the tenant of a portion of the
said land and religiously paid his leasehold In a contract of sale, one of the contracting
rentals to Pido. parties obligates himself to transfer the
ownership of and to deliver a determinate thing,
When Pido died intestate his surviving heirs and the other party to pay a price certain in
executed a notarized Declaration of Heirship and money or its equivalent. Whereas, a declaration
Waiver of Rights of the said lot to de los Reyes. of heirship and waiver of rights operates as a
public instrument when filed with the Registry
De los Reyes informed Acap that, as the new of Deeds whereby the intestate heirs adjudicate
owner, the lease rentals should be paid to him. and divide the estate left by the decedent among
When petitioner refused and failed to pay any themselves as they see fit.
further lease rentals after repeated demands, he
filed a complaint for recovery of possession and Hence, private respondent, being then a stranger
damages. to the succession of Pido, cannot conclusively
claim ownership over the subject lot on the sole
The lower court rendered a decision in favor of basis of the waiver which neither recites the
private respondent which was eventually elements of either a sale, or a donation, or any
affirmed by the Court of Appeals (CA). other derivative mode of acquiring ownership.

Hence, this present petition. On Issue No. 2

No.
ISSUES:
A notice of adverse claim was filed with the
1. WON the subject Declaration of Registry of Deeds which contained the
Heirship and Waiver of Rights is a Declaration of Heirship with Waiver of rights
recognized mode of acquiring and was annotated at the back of the Original
ownership by private respondent over Certificate of Title (OCT) to the land in
the lot in question. question.
2. WON the said document can be This said notice, by its nature, does not however
considered as Deed of Sale in favor of prove private respondent's ownership over the
private respondent of the lot in question. tenanted lot. The Court emphasized that while
the existence of said adverse claim was duly
proven, there was no evidence whatsoever that a
HELD: deed of sale was executed between the parties
transferring the rights in favor of private
The Court GRANTS the petition and SET respondent. An adverse claim cannot by itself be
ASIDE the decision of the CA. sufficient to cancel the OCT to the land and title
the same in private respondent's name.
On Issue No. 1

No.

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