Professional Documents
Culture Documents
LTD Notes
LTD Notes
Land Title – evidence of right of owner or extent of his interest, by which means he can maintain control
and as a rule assert right to exclusive possession and enjoyment of property.
Deed – instrument in writing which any real estate or interest therein is created, alienated, mortgaged
or assigned or by which title to any real estate may be affected in law or equity.
1. Grantor
2. Grantee
3. Words of grant
4. Description of property
5. Signature of grantor
6. Witnesses
Types of estates:
1. Freehold estate – indicates title of ownership.
a. Fee simple – absolute title; conferred without limitation, qualification or restriction
b. Fee tail – pass title to grantee & his heirs
c. Life state – held for duration of life of grantee
2. Less than freehold estate – a right short of title
a. Estate for years – lease for a period agreed upon, lessor retains ownership of land
b. Tenancy from period to period – lease running from month to month or year to year with
automatic renewal
c. Tenancy at will – person is permitted to occupy land of another without stipulation as to
period
3 Stages of Development of Legal System of Transferring Titles:
1. Production & delivery of deed by grantor to grantee without registration
2. Deed of conveyance is recorded to bind 3rd persons
3. Registration of title
Purpose of Registration:
1. Serve as constructive notice
2. Prevent fraudulent claims
3. Protect interest of strangers to transaction
Advantages:
1. Abolishes endless fees
2. Eliminates repeated examination of titles
3. Reduces records enormously
4. Instantly reveals ownership
5. Protects against encumbrances not noted on the Torrens certificate
6. Makes fraud almost impossible
7. It assures
8. Keeps up the system without adding to burden of taxation; beneficiaries of the system pay the
fees
9. Eliminates tax titles
10. Gives eternal title as state ensures perpetuity
11. Furnishes state title insurance rather than private title insurance
12. Makes possible the transfer of titles or of loans within the compass of hours instead of a matter
of days
Purpose of Torrens Law: quiet title to land – once registered, owner might rest secure
Persons Bound When Title Not Registered:
1. Grantor
2. Heirs & devisees
3. Persons with actual notice
Procedure in Land Registration Case:
1. Survey of land by Bureau of lands or duly licensed private surveyor
2. Filing of application for registration by applicant
3. Setting of date of initial hearing of application by RTC
4. Clerk of court to transmit to Land Registration Authority the application, date of initial hearing &
other pertinent docs
5. Publication of notice of filing of application, date & place of hearing – in OG and in newspaper of
general circulation
6. Service of notice – contiguous owners, occupants & those who have interest in property
7. Filing of answer or opposition to application
8. Hearing of case by RTC
9. Promulgation of judgment by court
10. Issuance of decree by RTC – decision; Instruct land registration authority to issue decree of
confirmation & registration
11. Entry of decree of registration in Land Titles Administration
12. Send copy of decree to Register of Deeds
13. Transcription of decree of registration in registration book & issuance of the owner’s duplicate
original certificate of title of the applicant by the Land registration Authority – upon payment of
prescribed fees.
Muniment of Title – instruments or written evidences which applicant hold or posses to enable him to
substantiate & prove title to his estate
Transaction Took Place Before Issuance of Decree:
1. Record instrument in Register of Deeds in same manner as if no application was made
2. Present instrument to RTC, motion praying that same be considered in relation to the pending
application
Transaction Took Place after Issuance of Decree:
Register directly with REGISTER OF DEEDS for purpose of canceling such title & issuing a TCT.
Torrens Title – certificate of ownership issued under the Torrens System of registration by the
government through road naming & declaring owner in fee simple of property described therein free
from all liens except those expressly noted.
Process:
1. Within 15 days from finality of order of judgment directing registration of title – court to order
Land registration Admin to issue decree of registration and certificate of title
2. Clerk of court will send order of court & copies of judgment
3. Administrator to issue decree of registration & original & duplicate of OCT – signed by
Administrator, entered & file decree of registration in LRA
4. Send to Register of Deeds – original & duplicate of title & certificate for entry in his registration
book
5. Enter in record book, dated, signed, numbered & sealed – take effect upon date of entry
6. Register of Deeds to send notice to registered owner ready for delivery after payment of fees
7. Register of Deeds shall send duplicate & note on each certificate of title to whom it is issued
8. Original copy to be filed in Register of Deeds; bound in consecutive order.
Action for Partition, Splitting or Consolidation of Titles:
1. Splitting or consolidation – ordinary – Register of Deeds level, no court involved
2. Subdivision plan – approval of NHA, final approval of LRA, then Register of Deeds to issue
memorandum that streets not to be disposed except by way of donation to govt. shall be effected
without approval of NHA.
Annotations at Back of Certificate – need court order; otherwise null & void
CHAPTER 8: VOLUNTARY DEALINGS WITH REGISTERED LAND
Operative Act – registration by owner; deed not registered – binding only between parties
Process of Registration:
1. File instrument creating or transferring interest and certificate of title with Register of Deeds
2. Owner’s duplicate
3. Payment of fees & documentary stamp tax
4. Evidence of full payment of real estate tax
5. Document of transfer – 1 copy additional for city/provincial assessor
6. Register of Deeds shall make a memorandum on the certificate of title, signed by him
7. Issue TCT
Voluntary dealings
Need to present title – to record the deed in registry & to make memorandum on title.
Involuntary dealings
No presentation required; sufficient that annotation in entry book is sufficient
Formal requisites of a deed:
1. Full name
2. Nationality
3. Place of residence
4. Postal address of grantee or other persons acquiring or claiming interest
5. Civil status
6. Whether or not corporation:
b. Enter in order of reception all deeds & voluntary instruments, write & processes re land -Year, month,
day, time, minute of reception of instrument; Registered from time of entry
e. Documents are numbered & indexed & indorsed with reference to certificate of title– public records
2. EXTRA-JUDICIAL
Trust – obligation of a person to whom legal title to property is transferred to hold the property
according to confidence reposed in him
2 Kinds:
1. Expressed – need to be in writing; cannot be proved by parole evidence
2. Implied – exist by operation of law; can be proved by parole evidence
3. Property is bought but paid by another party
4. Donation is made but donee have no beneficial interest thereon
5. Price of sale of property is loaned & conveyance is made to lender to secure fulfillment of loan
6. Land passes by succession to a person but legal title is put in another’s name
7. 2 persons purchase property but placed only in one’s name
8. Guardian uses funds of ward to buy property
9. Property is acquired thru mistake or fraud
Power of Attorney – authority granted to a person to dispose one’s property.
Trust Differentiated from Power of Attorney
1. Trust has 3 parties while power of attorney has 2 parties
2. Trust is for benefit of 3rd party while power of attorney is for benefit of principal
Registration of Trust
1. Sworn statement claiming interest by reason of an implied trust with description of land &
reference to number of certificate shall be registered in Register of Deeds
2. Provided not prohibited to do so by instrument creating the trust
Appointment of Trustee by Court
Certified copy of decree shall be presented to Register of Deeds & surrender duplicate certificate
Cancel duplicate & new certificate shall be entered by Register of Deeds
Prescribes in 10 years
If acknowledged in written form – becomes express trust – prescribes upon repudiation
CHAPTER 13: INVOLUNTARY DEALINGS WITH REGISTERED LAND
Involuntary Dealings – transactions affecting land in which cooperation of registered owner is not
needed: it may even be against his will
Attachment
A writ issued at the institution or during progress of an action commanding the sheriff to attach
the property, rights, credits or effects of the defendant to satisfy demands of the plaintiff
Kinds:
1. Preliminary
2. Garnishment
3. Levy on execution
Registration of Attachment / Other Liens
1. Copy of writ in order to preserve any lien, right or attachment upon registered land may be filed
with Register of Deeds where land lies, containing number of certificate of title of land to be
affected or description of land
2. Register of Deeds to index attachment in names of both plaintiff & defendant or name of person
whom property is held or in whose name stands in the records
3. If duplicate of certificate of title is not presented:
4. Register of Deeds shall within 36 hours send notice to registered owner by mail stating that there
has been registration & requesting him to produce duplicate so that memorandum be made
5. If owner neglects or refuses – Register of Deeds shall report matter to court
6. Court after notice shall enter an order to owner to surrender certificate at time & place to be
named therein
4. Although notice of attachment is not noted in duplicate, notation in book of entry of Register of
Deeds produces effect of registration already.
Effect of Registration of Attachment:
1. Creates real right
2. Has priority over execution sale
3. But between 2 attachments – one that is earlier in registration is preferred
4. If not registered – actual knowledge is same as registration
Duty of Register of Deeds
Basically ministerial but may refuse registration in ff circumstances:
1. Title to land is not in the name of defendant
2. No evidence is submitted to show that he has present or possible future interest in land
3. Unless: heir
Properties Exempt From Execution: Family Home
Attachment – How continued, reduced or discharged
Any method sufficient in law
Document to be registered
1. EXECUTION SALE
To enforce a lien of any description on registered land, any execution or affidavit to enforce such
lien shall be filed with Register of Deeds where land lies
Register in registration book & memorandum upon proper certificate of title as adverse claim or
as an encumbrance
To determine preferential rights between 2 liens: priority of registration of attachment
2. TAX SALE
Sale of land for collection of delinquent taxes and penalties due the government
In personam (all persons interested shall be notified so that they are given opportunity to be
heard)
Notice to be given to delinquent tax payer at last known address
Publication of notice must also be made in English, Spanish & local dialect & posted in a public &
conspicuous place in place wherein property is situated & at main entrance of provincial building
Sale cannot affect rights of other lien holders unless given right to defend their rights: due
process must be strictly observed
Tax lien superior to attachment
No need to register tax lien because it is automatically registered once the tax accrues
But sale of registered land to foreclose a tax lien need to be registered
Procedure of Registration of Tax Sale:
1. Officer’s return shall be submitted to Register of Deeds together with duplicate title
2. Register in registration book
3. Memorandum shall be entered in certificate as an adverse claim or encumbrance
4. After period of redemption has expired & no redemption (2 years from registration of auction
sale) cancellation of title & issuance of new one
5. Before cancellation, notice shall be sent to registered owner: to surrender title & show cause why
it shall not be cancelled
Actual Knowledge is Equivalent to Registration
Adverse Claim
1. Make a statement in writing setting forth alleged interest, from whom acquired, how acquired,
no of certificate of land, name of registered owner, description of land in which right/interest is
claimed – signed & sworn to
2. Statement shall be entitled to registration as adverse claim on certificate of title
3. Effective for 30 days from date of registration
4. After 30 days, may be cancelled by filing of verified petition by party in interest
Any party may petition in court to cancel adverse claim
Court to grant speedy hearing
If adverse claim is adjudged invalid – may be cancelled
5. No 2nd adverse claim based on same ground shall be registered by same claimant
CHAPTER 14: REGISTRATION OF LIS PENDENS
Purpose: keep subject matter within the power of the court until the entry of final judgment
Therefore creates merely a contingency & not a liens
Effect of Registration:
1. Impossibility of alienating the property in dispute during the pendency of the suit – may be
alienated but purchaser is subject to final outcome of pending suit
2. Register of Deeds duty bound to carry over notice of lis pendens on all new titles to be issued
Cancellation of Lis Pendens:
1. Before final judgment – court may order cancellation after showing that notice I sonly for purpose
of molesting an adverse party or it is not necessary to protect rights of party who caused it to be
registered
2. Register of Deeds may also cancel by verified petition of party who caused such registration
3. Deemed cancelled when certificate of clerk of court stating manner of disposal of proceeding is
registered
Notice of Lis Pendens is an Involuntary Transaction
Sufficient that there is entry in day book
Other Parties who Need to Register:
1. ASSIGNEE IN INVOLUNTARY PROCEEDING FOR INSOLVENCY
Duty of the officer serving notice to file copy of notice to Register of Deeds where the property of
debtor lies
Assignee elected or appointed by court shall be entitled to entry of new certificate of registered
land upon presentment of copy of assignment with bankrupt’s certificate of title (duplicate)
New certificate shall not that it is entered to him as assignee or trustee in insolvency proceedings
Judgment / Order Vacating Insolvency Proceedings
Order shall also be registered
Surrender title issued in name of assignee & debtor shall be entitled to entry of new certificate
2. GOVERNMENT IN EMINENT DOMAIN
Copy of judgment file in Register of Deeds which states description of property, certificate
number, interest expropriated, nature of public use
Memorandum shall be made or new certificate of title shall be issued
CHAPTER 15: TRANSMISSION BY DESCENT AND DEVISE
When Owner of Property Dies – testate or intestate,
Administrator shall file with Register of Deeds registration of property in his name to be vested
with ownership as trustee so he can sell, etc, convey, etc
Not necessary if already empowered in the will
When Judicial Proceeding Not Necessary
Heirs may partition estate immediately & no need to be burdened with cost/expenses of an
administrator
1. In absence of debts
2. Heirs are all of legal age
Partition / Settlement of Estate
1. JUDICIAL
After entry of final judgment of partition, copy certified by clerk of court to be filed with Register
of Deeds
Each owner to gave separate certificate of title (duplicate)
If ordered to be sold, purchaser shall be entitled to a certificate of title entered in his name upon
presentment of order confirming sale
2. EXTRAJUDICIAL
3. Decedent died intestate
4. No debts
5. Heirs are all of legal age, or minors represented by guardian
Heirs to execute public instrument to be filed with Register of Deeds
If disagree with each other, file in court ordinary action for partition
If there is only 1 heir, may adjudicate to himself entire estate via affidavit to be filed with Register
of Deeds
If there is movables involved, bond to be filed equivalent to value of property as certified under
oath by parties conditioned upon payment if any just claim which may be filed by creditor within
2 years after distribution
Publication in newspaper of general circulation for 3 weeks; not binding to those without notice
Final after 2 years
Oral Partition, When Deemed Valid
In provinces when person dies leaving property not covered by Torrens system – to avoid legal
expenses, heirs make a list of property, pay off debts & assign to each
Statute of frauds – do not operate because it is not a conveyance but a separation of property
and designation of part which belongs to them
Wills and Letters of Administration
Executor required to file with Register of Deeds a certified copy of his letters of administration or
the will if there is a will in order that Register of Deeds may register upon certificate a
memorandum with reference to file no & date of filing
Court Authority Needed in Order to Sell
1. May be dispensed with if will empowers him sell
2. Without authority first secured, heir may sell subject to result of pending administration
CHAPTER 16: ASSURANCE FUND
State creates a fund for the compensation of persons injured by divesting/cutting off of rights due
to the indefensibility of title; following that act of registration is operative act by which State
transfers title; created to relieve innocent persons from harshness of doctrine that certificate of
title is conclusive evidence of an indefeasible title to land.
Upon entry of certificate in name of owner or TCT, ¼ of 1% shall be paid to Register of Deeds
based on assessed value of land – as contribution to assurance fund; if no assessment yet, sworn
declaration of 2 disinterested persons subject to determination by court.
Money shall be under custody of the National treasurer; invest it until P+I aggregates to 500,000,
excess shall be paid to the Assurance Fund; annual report of Treasurer to Secretary of Budget.
Who is Entitled:
1. Claimant must be owner, purchaser or encumbrancer in good faith who suffered actual damage
by loss of land; in short – he is deprived of his land or interest therein
2. No negligence attributable to him
3. Claimant is barred from filing action to recover said land
4. Action to recover from assurance fund has not prescribed
Loss/Damages Should Not be Due to Following Reasons:
1. Breach of trust
2. Mistake in resurvey resulting in expansion of area in certificate of title
Loss/Damages Should be Due to the Following Reasons:
1. Omission, mistake, misfeasance of Register of Deeds or clerk of court
2. Registration of 3rd persons as owner
3. Mistake, omission, misdescription in certificate of title, duplicate or entry in books
4. Cancellation
Against whom Action is Filed:
1. Action due to deprivation of land due to mistake, negligence, omission of Register of Deeds, etc –
Register of Deeds and National Treasurer as defendants; Sol-Gen must appear
2. Private persons involved – should also be impleaded
Liability:
1. Satisfy claims from private persons first
2. When unsatisfied – secondary liable is the National Treasurer who shall pay thru assurance fund;
thereafter Government shall be subrogated to rights of plaintiff to go against other parties or
securities
Measure of Damages:
Based on amount not greater than fair market value of land
Amount to be recovered not limited to 500,000 which is maintained as standing fund
If fund is not sufficient, National Treasurer is authorized to make up for deficiency from other
funds available to Treasury even if not appropriated
Where and When to File Action against Assurance Fund:
1. Any court of competent jurisdiction – RTC in city where property lies or resident of plaintiff
2. Action prescribes in 6 years from time plaintiff actually suffered loss
3. If plaintiff is minor, insane or imprisoned – has additional 2 years after disability is removed to file
action notwithstanding expiration of regular period
In connection with original and subsequent registration of lands – payable to Clerk of court,
Register of Deeds, sheriff
Full payment of fees prerequisite to registration: at least the entry fee of 5.00, rest of the fees
due payable within next 15 days
Offenses:
1. Larceny
2. Perjury – false statement under oath
3. Fraudulent procurement of certificate: fine of not more than 10,000 or imprisonment of 5 years
or both in discretion of court
4. Forgery: fine of not more than 10,000 or imprisonment of 10 years or both in discretion of court
5. Forging of seal in Register of Deeds, name, signature or handwriting of any officer of court of
Register of Deeds
6. Fraudulent stamping or assistance in stamping
7. Forging of handwriting, signature of persons authorized to sign
8. Use of any document which an impression of the seal of the Register of Deeds is forged
9. Fraudulent sale: sale of mortgaged property under the misrepresentation that it is not
encumbered; deceitful disposition of property as free from encumbrance: imprisonment of 3
years or fine not exceeding 2,00 or both at discretion of court
Before: included in definition of agriculture, conversion of agricultural land to fishponds does not change
character of land
Now: restricted meaning; fishponds has distinct category; cannot be alienated but may be leased from
government.
Director of Lands
Quasi-judicial officer
Findings of fact conclusive on higher court with absence of fraud, mistake other than error of
judgment; but not with regards to finding of law
Empowered to alienate and dispose lands
Modes of Alienating Public Lands:
1. Homestead settlement
2. Sale
3. Confirmation of imperfect or incomplete title
4. Judicial legalization
5. Administrative legalization
Lease not included since lease does not transfer ownership; free-title grant: free distribution of
public lands to encourage people to cultivate; government furnishes the applicant with tolls plus
cash allowance to enable him to cultivate
Confirmation of Imperfect Title:
1. Last extension granted by Government was until December 31, 1987
2. Right made available to person qualified to acquire alienable and disposable public land thru
open, continuous, exclusive, notorious (OCEN) possession under bonafide claim of ownership
since June 12, 1945.
3. Prior to transfer of sovereignty from Spain to US, have applied for purchase but did not receive
title, without default on their part provided they have occupied since their application
4. In OCEN possession since June 12, 1945 or earlier
5. Members of cultural minorities in OCEN who has claim of ownership for at least 30 years
PATENT
When is Government Grant Deemed Acquired by Operation of Law:
1. Deed of conveyance issued by government patent/grant
2. Registered with Register of Deeds – mandatory: operative act to convey & transfer title
3. Actual physical possession, open & continuous
Land ceased to be part of public domain & now ownership vests to the grantee
Any further grant by Government on same land is null & void
Upon registration, title is indefeasible
Title Issued Pursuant to Registration of Patent
1. Indefeasible – when registered, deemed incorporated with Torrens system; 1 year after issuance
of patent
2. May not be opened one year after entry by Land Registration Authority; otherwise, confusion,
uncertainty & confusion on government system, of distribution of public lands may arise & this
must be avoided
Except: annullable on ground of fraud, may be reopened even after 1 year because registration does not
shield bad faith
Court in exercise of equity jurisdiction may direct reconveyance even without ordering
cancellation of title
Aim of Homestead Patent:
Benevolent intention of government to distribute disposable agricultural land to destitute citizens
for their home and cultivation
As a matter of public policy, may be repurchased even if after 5 years provided not for profit
Right of repurchase not allowed if sold within family & not for cultivating or living but for
speculation purpose
Restrictions:
1. Cannot be alienated within 5 years after approval of application for patent
2. Cannot be liable for satisfaction of debt within 5 years after approval of patent application
3. Subject to repurchase of heirs within 5 years after alienation when allowed already
4. No corporation, partnership, association may acquire unless solely for commercial, industrial,
educational, religious or charitable purpose or right of way subject to consent of grantee &
approval of Secretary of Natural resources-
Exceptions:
1. Action for partition because it is not a conveyance
2. Alienations or encumbrances made in favor of the government
Erred Homesteader not Bared by Pari Delicto
Pari delicto rule does not apply in void contract
Violation of prohibition results in void contract
Action to recover does not prescribe
Homesteader
If he dies, succeeded by heirs in the application
Legal Restriction in Disposition by Non-Christians (Cultural MINORITIES)
Conveyance is valid if able to read and can understand language where deed is written
Otherwise, not valid unless approved by Commission on National Integration
Safeguard is to protect them against fraud/deceit
System of registration for unregistered land under the Torrens System (ACT 3344)
Before: covers voluntary dealings, now includes involuntary dealings
Effect if prospective; binds 3rd persons after registration but yields to better rights of 3rd person
prior to registration (limited effect to 3rd parties)
Reason: no strict investigation involved
Subsequent dealings – also valid if recorded
Register of Deeds keeps day book & a register; index system is also kept
Procedure:
a. Presentment of instrument dealing in unregistered land
b. If found in order – registered
c. If found defective – registration is refused writing his reason for refusal