Laderav.

Hodges
G.R.No.8027-R,
Sept
ember23,
1952,
Vol
.48,
No.12,
Off
ici
alGazet
te5374
Reyes,J.
B.L.
,J.

FACTS:PazG.Lader aenter
edi ntoacont ractwithC.N.Hodges.Hodgespromisedt o
sel
lal otwit
hanar eaof278squar emet erst oLadera,subj
ecttocer
tai
ntermsand
condi
ti
ons.The agreementcal l
ed fora down pay mentofP 800. 00 and monthly
i
nstal
lmentsofP5.00eachwi t
hi nter
estof1%permont h,
unti
lP2,085i
spaidinfull
.In
caseoffai
lur
eofthepurchasertomakeanymont hlypaymentwit
hin60daysaft
eritfel
l
due,t
hecontractmaybeconsideredasr escindedorannull
ed.

Lader
abuiltahouseont hel
ot.Lat
eron,shedef
ault
edinthepaymentoft
heagr
eed
monthl
yinstal
l
ment.Hodgesf
il
edanacti
onfort
heeject
mentofLader
a.

Thecour tissuedanaliaswr i
tofexecuti
onandpursuantt
heret
o,thecitysherif
flev
ied
uponallrights,i
nter
est
s, andpart
ici
pat
ionovert
hehouseofLadera.Attheauctionsale,
Lader
a’shousewassol dtoAv el
i
noA.Magno.ManuelP.Vi l
l
a,lateron,purchasedthe
housefrom Magno.

Laderaf i
l
edanact i
onagai nstHodgesandt hejudgmentsal epur chaser
s.Judgment
wasr enderedinfavorofLader a,set
ti
ngasi
dethesalef ornon-
compl i
ancewit
hRul e39,
RulesofCour tregardi
ngj udicialsal
esofrealproperty.Onappeal,Hodgescont ends
thatthehouse,beingbuil
tonal otownedbyanother,shouldberegardedasmov ableor
personalpropert
y.

I
SSUE:Whet
herornotLader
a’shousei
sani
mmov
abl
epr
oper
ty.

HELD:YES.Theol dCivi
lCodenumer atesamongt hethingsdeclar
edbyitasi mmov abl
e
propert
ythefoll
owing:lands,bui
ldings,r oadsandconst ructi
onsofallki
ndadher edto
thesoil
.Thelawdoesnotmakeanydi stinct i
onwhet
herornott heowneroft heloti
sthe
one who bui l
t.Al so,since the pr inci pl
es of accession regard buil
dings and
constr
ucti
onsasmer eaccessori
est ot hel andonwhichi tisbuil
t,i
tisl
ogicalthatsai
d
accessori
esshouldpart
aket henatureoft hepri
nci
palthing.

MindanaoBusCompanyv.TheCityAssessorandTr
easur
er
G.R.No.L-17870,
Sept
ember29,
1962,6SCRA197
Labrador
,J.

FACTS:Pet i
ti
onerMi ndanao Bus Company i s a publi
c uti
li
ty solel
y engaged i n
tr
ansport
ingpassengersandcar goesbymot ortr
ucks,overit
saut hori
zedl i
nesi nt he
I
sland ofMindanao,collect
ing rat
esappr oved byt he Publ
icSer vi
ce Commi ssion.
Respondentsoughttoassessthef ol
lowingrealpropert
iesofthepetit
ioner;(a)Hobar t
El
ectri
cWelderMachine,(b)Storm BoringMachine;(c)Lathemachi newi t
hmot or;(d)
BlackandDeckerGr inder;(
e)PEMCO Hy draul
i
cPr ess;(f)Batterycharger( Tungar
1
charge machi ne)and ( g)D- Engine Waukesha-M- Fuel.Itwas al l
eged thatthese
machi neri
esaresitti
ngoncementorwoodenpl atf
orms, andthatpeti
ti
oneristheowner
ofthel andwher eitmaint ai
nsandoper at
esagar agef orit
sTPUmot ortr
ucks,arepai
r
shop,bl acksmit
handcar pentryshops,andwi t
ht hesemachi neri
es,whichareplaced
therein.RespondentCi tyAssessorofCagay an de Or o Cit
yassessed atP4,400
peti
tioner'
sabov e-mentionedequi pment .Peti
ti
onerappeal edt heassessmentt othe
respondentBoar d ofTax Appeal s on the ground t hatthe same are notr eal
ty.
Respondent s contend thatsai d equipments,though mov abl
e,arei mmobi l
i
zed by
destinati
on,inaccordancewi thparagraph5ofAr ti
cle415oft heNewCi vi
lCode.

I
SSUE:Whet
hert
heequi
pment
sinquest
ionar
eimmov
abl
eormov
abl
epr
oper
ti
es.

HELD:Theequi pmentsinquest ionar emov able.Sot hatmov ableequi pment stobe

i
mmobi l
ized in contemplati
on oft hel aw,itmustf i
rstbe" essentialand pr i
ncipal
elements"ofani ndustryorwor kswi thoutwhi chsuchi ndustr
yorwor kswoul dbe
"unabletofunctionorcarryont heindustri
alpurposeforwhichitwasest abl
ished."Thus,
the Cour tdist
inguished those mov able which become i mmobi l
ized bydest inati
on
becauset heyareessentialandpr i
ncipalelementsintheindustryfrom thosewhi chmay
notbesoconsi deredimmobi li
zedbecauset heyar emerelyinci
dent al
,notessent i
aland
princi
pal
.

Thet oolsandequi pmentsi nquesti

oni nthisinstantcasear e,byt hei
rnat ur
e,not
essenti
aland principl
emuni ci
palelement sofpet it
ioner
'sbusi nessoft r
ansporti
ng
passengersandcar goesbymot ortrucks.Theyar emer elyi nci
dentals—acquir
edas
mov abl
esandusedonl yforexpediencytof aci
l
itat
eand/ ori mproveitsser vi
ce.Even
withoutsuchtoolsandequi pments,i
tsbusinessmaybecar ri
edon,aspet iti
onerhas
carri
edon,wit
houtsuchequi pments,beforethewar.Thet ransportat
ionbusinesscould
becar r
iedonwi t
houtt herepai
rorser vi
ceshopi fitsroll
i
ngequi pmentisr epai
redor
servi
cedinanothershopbelongingtoanother.

Makat
iLeasingandFinanceCorpor
ati
onv.Wear
everText
il
eMi
ll
s,I
nc.
G.
R.No.L-58469,May16, 1983,
122SCRA29
DeCastr
o,J.

FACTS:Toobt ainfinanci
alaccommodat i
onsf rom theMakat iLeasi ngandFi nance
Cor porati
on,theWear everText i
lediscountedandassi gnedsev eralreceivabl eswi t
h
them undera“ receiv
ablepur chaseagreement .”Tosecur ethecol l
ect i
onofr eceivabl
es
assigned,Wear everText i
leexecut edachat telmor t
gageov ercertainraw mat eri
als
i
nv entory,aswel lasmachi nerydescri
bedasanaer odr yerstent eri
ngr ange.Upon
defaultofWear everTextil
e,t heMakatiLeasingpet i
ti
onedf orextrajudi
cialfor ecl
osur e
oft hepr oper
tiesmor t
gagedt oit
.Whent hesher i
fffai
ledt oent erWear ev erText il
e’s
premi sestoseizet hemachi nery,MakatiLeasingappli
edf orar epl
ev i
n.Wear ev erText i
le
cont endedthati tcannotbeasubj ectofreplevinorachat telmor tgagebecausei tisa
realpr oper
tyasi tisattachedt othegroundbymeansofbol tsandt hattheonl ywayt o
2
r
emov
eiti
stodest
royt
heconcr
etef
loor
.

I
SSUE:Whet
herornott
hemachi
ner
yisr
eal
orper
sonal
proper
ty.

HELD:Themachi ner
yisaper sonalpr
operty.TheSupremeCour texplainedthatifa
houseofstrongmat er
ial
smaybeconsi deredasper sonalpr
opert
yf orpur posesof
executi
ngachatt
elmor t
gage,t
hereisabsol
utelynoreasonwhyamachi nery,whi
chis
mov abl
eini
tsnat
ureandbecomesi mmobili
zedonlybydesti
nat
ionorpur pose,maynot
beli
kewiset
reat
edassuch.

SantosEvangeli
stav.Alt
oSur et
yandInsuranceCo.
,Inc.
G.R.No.L-11139,Apri
l23,1958,103Phil
.401
Concepcion,J.

FACTS:OnJune4, 1949,Sant osEv angel i

stainst i
tut
edaci vi
lcaseforasum ofmoney .
Ont hesamedat e,heobt ainedawr i
tofat t
achment ,whichwasl ev i
eduponahouse,
buil
tbyRi ver
aonal andsi t
uat edinMani l
aandl easedt ohi m.Induecour se,judgment
wasr enderedi nf avorofEv angelista,whoboughtt hehouseatpubl icauct ionhel di n
compl i
ancewi tht hewr i
tofexecut i
oni ssuedi nsai dcase.WhenEv angel ist
asoughtt o
takepossessi onoft hehouse,Ri verar efusedt osur renderit,upont hegr oundt hathe
hadleasedt hepr oper t
yfrom t heAltoSur et
y&I nsuranceCo. ,I
nc.andt hatthel atteris
nowt hetrueownerofsai dpr operty.Itappear st hatonMay10, 1952, adef i
nitedeedof
saleoft hesamehousehadbeeni ssuedt oAl toSur ety
,ast hehi ghestbi dderatan
aucti
onsal ehel d.Hence,Ev angelistai nsti
tuted anact i
onagai nstAl to Suretyand
RicardoRivera,fort hepur poseofest ablishi
nghi stitl
eov ersaidhouse,andsecur i
ng
possessiont hereof,apartf rom r ecoveringdamages.Af terduet ri
al,t heCFIMani l
a
renderedjudgmentf orEvangel i
sta,sent encingRi v
er aandAl toSur etyt odel ivert he
housei nquest i
ont oEv angelistaandt opayhi m,j ointl
yandsev er
all
y ,P40.00amont h
from October,1952, unti
lsaiddel i
very,pluscost s.

ISSUE:Whetherornotahouseconstr
uctedbythelesseeoft
helandonwhichi
tisbuil
t,
shouldbedealtwi
th,f
orpurposesofatt
achment,asimmovabl
eproper
tyoraspersonal
propert
y.

HELD:Thehousei snotpersonalpr operty

,muchl essadebt ,creditorotherper sonal
propertynotcapabl eofmanualdel i
v er
y,butimmov abl
epr opert
y.Asexpl ici
tl
yhel d,in
Laderav s.Hodges( 48OG5374) ,"atruebuildi
ng(notmerelysuper i
mposedont hesoi l
)
i
si mmov ableorr ealproper
ty,whetheri tiserect
edbyt heowneroft helandorbya
usufructuaryorlessee.Theopi ni
ont hatthehouseofRiverashoul dhav ebeenattached
i
naccor dancewi t
hsubsect i
on( c)ofsai dsection7,as"personalpr opert
ycapabl eof
manualdel i
very
,byt aking and safelykeeping i
nhi scustody",fori tdeclar
ed t hat
"Evangelist
acouldnothav evali
dlypurchasedRicardoRiv
era'shousef rom t
hesher if
fas
thelatterwasnoti npossessi onthereofatt heti
mehesol ditatapubl i
cauct i
on”i s
untenable.
3
Tsaiv.CourtofAppeals
G.R.No.120098,October2,
2001,
366SCRA324
Quisumbing,J.

FACTS:OnNov ember26,1975,r espondentEv erTexti

leMi l
l
s,Inc.(EVERTEX)obt ained
at hr
ee mi ll
ion peso ( P3,000,000.00) l oan f r
om pet it
ioner Phil
ippine Bank of
Communi cat
ions( PBCom).Assecur i
tyf orthel oan,EVERTEX execut edinf av
orof
PBCom,adeedofRealandChat telMortgageov ert
helotwher eitsfactoryst
ands,and
thechatt
elsl ocated ther
ein.OnApr i
l23,1979,PBCom gr anted asecond l oant o
EVERTEX.The l oan was secur ed bya chat telmor t
gage ov erpersonalpr operti
es
enumerat
edi nal istatt
achedt hereto.AfterApr i
l23,1979,thedat eoft heexecuti
onof
thesecondmor tgagement i
onedabov e,EVERTEX pur chasedv ari
ousmachi nesand
equi
pment s.

Upon EVERTEX' sfail

uret o meeti ts obl
igati
on t o PBCom,t he lat
tercommenced
ext
rajudi
cialforecl
osureproceedingsagainstEVERTEX.OnDecember15, 1982,t
hefi
rst
publi
cauct i
onwashel dwher epetit
ionerPBCom emer gedast hehighestbidderanda
Cert
ifi
cateofSal ewasi ssuedinitsf av
oront hesamedat e.OnMar ch7,1984,PBCom
consoli
datedi t
sowner shipoverthelotandal ltheproperti
esinit.I
nNov ember1986, i
t
l
easedt heent i
refactorypremisestopet it
ionerRubyL.Tsai .OnMay3,1988,PBCom
sol
dt hefactory,l
ock,stock,andbarreltoTsai,i
ncludi
ngt hecontest
edmachi ner
ies.

OnMar ch16,1989,EVERTEXf i
l
edacompl ai
ntf orannul
mentofsal e,reconveyance,
anddamageswi t
htheRegionalTri
alCourtagainstPBCom.EVERTEXcl aimedt hatno
ri
ghtshav i
ng been tr
ansmit
ted to PBCom ov erthe asset
sofi nsolventEVERTEX,
ther
eforeTsaiacqui
rednori
ghtsov ersuchassetssoldtoher,andshouldreconveythe
assets.

ISSUE:Whet
herornott
hei
ncl
usi
onoft
hequest
ionedpr
oper
ti
esi
nthef
orecl
osed
proper
ti
esi
sproper
.

HELD:Yes.Whi l
eiti struet hatthequestionedpropertiesappeart obei mmobi l
e,a
perusaloft hecontr actofRealandChat t
elMor t
gageexecut edbyt hepart
iesgivesa
contrar
yi ndicat
ion.I nthecaseatbar ,thet r
ueintenti
onofPBCOM andt heowner ,
EVERTEX,i st ot reatmachi ner
y and equipmentas chat t
els.Assumi ng thatt he
propert
iesi nquest ionar eimmov abl
ebynat ur
e,nothingdet ractsthepar t
iesfrom
tr
eatingitaschat t
elst osecureanobl i
gati
onunderthepr i
ncipl
eofest oppel
.Ithasbeen
heldthatani mmov ablemaybeconsi der
edaper sonalpropertyifthereisastipul
ation
aswheni ti
susedassecur i
tyinthepaymentofanobl igationwher eachatt
elmor t
gage
i
sexecut edov erit
,asi nthecaseatbar .

4
Serg’
sPr oduct
s,I
nc.v.PCILeasi
ngandFinance,
Inc.
G.R.No.137705,August22,2000,338SCRA499
Panganiban,J.

FACTS:RespondentPCILeasi ngandFi nanceI nc.f i

ledwi tht heRTCofQuezonCi tya
compl ai
ntf orsum ofmoney ,
wi t
hanappl i
cati
onf orawr itofr eplev i
n.Awr i
tofreplevin
wasi ssued,di r
ecti
ngt hesher i
fftoseizeanddel ivert hemachi neriesandequi pmentt o
PCILeasi ngaf terfi
veday sanduponpay mentoft henecessar yexpenses.Thesher i
ff
proceededt opet i
ti
oner '
sf act
oryandsei zedonemachi nery.Pet iti
onerf i
ledamot i
onf or
specialpr ot
ectiveorderi nvoki
ngt hepoweroft hecour ttocont r
olt heconductofi ts
offi
cersandamendandcont rolitsprocesses,pr ayingf oradi rectivefort hesheri
fft o
deferenf orcementoft hewr i
tofr eplevin.Themot i
onwasopposedbyPCIont he
groundt hatthepr operti
eswer epersonalandt herefor est i
llsubj ecttosei zureandwr i
t
ofreplevin.Int hei
rreply,pet i
ti
onersasser tedt hatt hepr oper ti
eswer ei mmov abl
eas
defi
ned i n Ar t
icl
e 415 oft he Ci v
ilCode,t he par ties'agr eementt ot he contrary
notwithstanding.Petit
ioner swentt ot heCour tofAppeal sv iaanor i
ginalactionf or
certi
orari
.TheCour tofAppeal sruledthatt hesubj ectmachi neswer eper sonalproperty
asprov i
dedbyt heagreementoft heparties.

I
SSUE:Whetherornotthesubj
ectmachi
neswer
eper
sonal
,notr
eal
,pr
oper
ty,whi
ch
maybeapropersubj
ectofawri
tofr
epl
evi
n.

HELD:Thecont racti
ngpar ti
esmayv al
idlystipulatethatar ealpr opertybeconsi dered
asper sonal .Af t
eragr eei
ngt osuchst ipulati
on,t heyar econsequent l
yest oppedf rom
claimi ngot her wise.Undert hepr incipleofest oppel,apar tyt oacont r actisor di
naril
y
precl udedf rom deny ingthet r
uthofanymat erialfactfoundt herei
n.Int hepr esentcase,
thel easeagr eementcl earlyprovidest hatthemachi nesinquest i
onar etobeconsi dered
as per sonalpr opert
ies.Cl earl
yt hen,pet iti
oner s were est opped from deny ing the
char acter i
zation of t he subj ect machi nes as per sonal pr operty. Under t he
circumst ances,t heyarepr opersubj ectoft hewr i
tofsei zure.Accordingl y
,thepet it
ion
wasdeni edandt heassaileddecisionoft heCour tofAppeal swasaf f
ir
med.

Burgosv.ChiefofSt
aff
,AFP
G.R.No.64261,December26,
1984,
133SCRA800
Escoli
n,J.

FACTS:On December7, 1982,twosearchwar rant

swher eissuedandt hepr emisesat
19,Road3,Pr oj
ect6,QuezonCi t
y,and784Uni tsC&D,RMSBui l
ding,QuezonAv enue,
Quezon Ci t
y,business addresses of the " Met
ropol
itan Mail" and "We For um"
newspaperswer esearched.Offi
ceandpr i
nti
ngmachi nes,equipment,par aphernali
a,
motorvehicl
esandot herart
icl
esusedinthepr i
nti
ng,publ
icati
onanddi str
ibutionofthe
saidnewspapers,aswel lasnumer ouspaper s,documents,booksandot herwr i
tt
en
l
iter
atur
eal l
egedtobei nthepossessionandcont r
olofJoseBur gos,Jr.publ i
sher-
edit
orofthe"WeFor um"newspaper,wereseized.
5
I
SSUE:Whet
herornotr
eal
proper
ti
eswer
esei
zedundert
hedi
sput
edwar
rant
s.

HELD:No.UnderAr t
icle415( 5)oft heCi vi
lCode," machiner
y,receptacl
es,instrument s
orimplement si
ntendedbyt heowneroft het enementf orani ndustryorwor kswhi ch
maybecar ri
edoninabui ldi
ngoronapi eceofl andandwhi chtenddi r
ectlytomeett he
needsoft hesai
di ndustryorwor ks"ar econsi deredimmov ablepr operty.In Dav ao
Sawmi l
lCo.v.Castil
lo,i
twassai dt hatmachi nerywhi chismov abl
ebynat urebecomes
i
mmobi l
izedwhenpl acedbyt heowneroft het enement ,pr
opertyorpl ant,butnotso
whenpl acedbyatenant ,
usuf r
uctuary,oranyot herpersonhav i
ngonlyat empor aryright,
unlesssuchpersonact edast heagentoft heowner .Inthepresentcase, petit
ionersdo
notclaimt obetheowner soft hel andand/ orbui l
dingonwhi cht hemachi nerieswer e
placed.Themachi neri
es,whi l
einf actbol tedt ot heground,remai nmov ablepr oper t
y
susceptibl
etosei
zureunderasear chwar r
ant .

Lopezv.Orosa,
Jr.,andPl
azaTheat
re,I
nc.
G.R.No.L-
10817-18,Febr
uar
y28,1958,103Phi
l.98
Feli
x,J.

FACTS:Lopezwasengagedi nbusinessundert henameLopez- Cast el

oSawmi l
l.Orosa
approachedLopezandi nvit
edt helatt
ert omakeani nvest
menti nt hetheat
rebusiness
he was f or
ming,t he Plaza Theatre.Lopezexpr essed his unwi l
li
ngness t
oi nvest.
Nonetheless,Lopezagr eedt osuppl ythelumberf ortheconst ructi
onoft hetheatre.
Lopezfurtheragreedthatthatthepay mentt her
eforewoul dbeondemandandnotcash
ondeliverybasis.Lopexdel i
veredt helumberwhi chwasusedf ort heconstr
ucti
onof
thePlazaTheat re.Howev er,ofthet ot
alcostofmat er
ial
samount ingtoP62,255. 85,
Lopezwaspai donl yP20, 848.50,t
husl eavi
ngabal anceofP41, 771.35.

Duet oLopez’demands, Orosaissuedadeedofassi gnmentov erhi

sshar
esofst ockof
thePlazaTheatre,Inc.Astherewasst i
l
lanunpai dbalance,Lopezfi
ledacaseagai nst
OrosaandPlazaTheat r
e.Heaskedt hatOr osaandPlazatheatrebeheldl
iablesoli
daril
y
fortheunpaidbal ance,andi ncasedef endantsfail
edt opay ,t
helandandbui lding
shouldbesoldinpubl icaucti
onwi t
ht hepr oceedstobeappl i
edtothebalance,orthat
thesharesofstockbesol dinpubli
cauct i
on.

I
SSUE:Whetherornotthel
ienf
ortheval
ueofthemater
ial
susedintheconst
ruct
ionof
t
hebuil
dingatt
achestosaidst
ruct
ureal
oneanddoesnotextendtothel
andonwhi ch
t
hebuil
dingi
sadheredto.

HELD:No.Whi l
eitistr
uethatgener al
l
y,r
ealestateconnotesthelandandt hebui l
ding
constr
uct
edthereon,i
tisobv
ioust hatt
heincl
usionofthebuil
ding,separat
eanddi sti
nct
fr
om theland,intheenumer ati
onofwhatmayconst i
tut
er ealproperti
escoul donl y
meanonet hing—thatabuildingi sbyit
selfani mmov ableproperty.Inv iew oft he
absenceofanyspecifi
cprovi
siont othecontr
ary,abuil
dingisani mmov ableproper t
y
6
i
rrespecti
veofwhet herornotsai dst ructureandthel andonwhi chitisadheredto
belongtot hesameowner .Thel i
ensocr eat
edattachesmer el
ytot heimmov abl
e
propert
yfortheconst ructi
onorr epairofwhi chtheobligat
ionwasincurr
ed.Theref
ore,
theli
eninf avorofappellantfort
heunpai dv alueoft
hel umberusedintheconstr
ucti
on
ofthebuildi
ngattachesonl ytosaidstructureandtonoot herpr
opert
yoftheobli
gors.

Yapv .Tañada
G.R.No.L-32917,
Jul
y18,
1988,
163SCRA464
Narvasa,J.

FACTS:GouldsPumpsI nternat
ional(Phil
.),Inc.fi
l
edacompl aint
 againstYapandhi s
wif
e seeki
ngrecoveryofP1,459.30representingthebalanceofthepr i
ceandinstall
ati
on
costofawat erpumpi nthel at
ter
'spremi ses.Gouldspr esent
edev i
dence exparte 
and
j
udgmentbydef aultwasrenderedbyJudgeTañadar equiri
ngYapt opayt oGouldsthe
unpaidbal
anceofthepumppur chasedbyhi m andi nt
erestof12%perannum.

Ther
eafter,thewat erpumpi nquest i
onwasl evi
edbyt hesher
iffandbynot icedated
November4, 1969,scheduledtheexecutionsalether
eof.Butinvi
ewoft hependencyof
Yap'
smot ionf orreconsiderati
on,suspensionoft hesal ewasdi rected.Itappears
howeverthatacopyoft heor dersuspendingthesalewasnott r
ansmittedtothesherif
f
Hence,theDeput yPr ovi
ncialSher i
ffwentaheadwi ththescheduledauct i
onsaleand
sol
dthepr opertylevi
edont oGoul dsasthehighestbidder.
 

Yaparguesthat"t
hesalewasmadewi thoutthenoti
cerequi
redbySec.18,Rule39,of
theNew RulesofCour t,
"i.
e.,not
icebypublicat
ionincaseofexecuti
onsal eofreal
proper
ty,t
hepumpandi tsaccessor
iesbeingi mmovablebecauseattachedtot he
groundwit
hcharacterofper
manency(Art.415,Ci
vil
Code).

I
SSUE:Whet
herornott
hewat
erpumpi
nquest
ioni
sani
mmov
abl
epr
oper
ty.

HELD:No.Yap' s argumenti s untenable.The CivilCode consi ders as i

mmov able
propert
y,amongot hers,anythi
ng"attachedt oanimmov ableinaf i
xedmanner ,insuch
a way t hatitcannotbe separ ated therefrom withoutbr eaking the mat er
ialor
deteri
orati
onoftheobj ect
."
 Thepumpdoesnotf i
tthisdescr i
ption.Itcouldbe,andwas
i
nf actseparat
edfrom Yap' spremiseswi thoutbei
ngbr okenorsuf f
eri
ngdeteriorati
on.
Obv i
ously,t
heseparationorr emovaloft hepumpi nvolvednot hingmor ecompl icated
thanthelooseni
ngofbol tsordismant l
i
ngofot herfasteners.

MachineryandEngineer
ingSuppli
es,I
nc.v.Cour
tofAppeal
s
G.R.No.L-7057,Oct
ober29,1954,96Phil
.70
Concepcion,J.

7
FACTS:Pet i
tionerMachi ner
yandEngi neeringSuppl iesf i
ledacompl aintforrepl
evinfor
therecov eryoft hemachi neryandequi pmentsol danddel iver
edt oIpoLi mestoneCo.
An or derwas i ssued to seize and t ake immedi ate possessi on oft he properti
es
specifi
ed int he order.Upon car r
ying outt he cour t
’s order,Roco,t he company ’
s
President,alongwi thacr ewoft echnicalmenandl abour er
s,proceededt ot hefactory.
ThemanagerofI poLi mest oneCo.andTor r
espr otestedagai nstthesei zureoft he
properti
esont hegr oundt hattheyar enotper sonalpr opert
ies.Howev er,si
ncet he
sherif
fcont endedt hathisdut yispur elymi nist
erial,theyal lwentt ot hef act
oryand
dismant l
edt heequi pmentdespi t
ethef actthattheequi pmentcoul dnotbedi smant l
ed
withoutcausi ng damage ori nj
uri
es t ot he wooden f rames at tached t ot hem.
Consequent ly,theyhadt ocutsomeoft hesuppor t
soft heequi pmentwhi chrendered
i
tsusei mpr acticabl
e.

I
SSUE:Whet
herornott
hemachi
ner
yandequi
pmenti
nquest
ioncoul
dbet
hesubj
ectof
r
epl
evi
n.

HELD:No.Repl evi
ni s applicable onl
yt o per sonalpropert
y .The machi nery and
equipmentinquesti
onappear edtobeat tachedt ot heland,parti
cularl
ytotheconcr ete
foundati
onofsaidpr emises,i
naf i
xedmanner ,insuchawayt hatt heformercouldnot
beseparatedfrom t
hel att
erwi t
houtbreakingt hemat eri
alordeteriorat
ionoftheobj ect
.
Hence,inordertor emov ethesai doutfi
t,itbecamenecessar ynotonl ytounbol tthe
same,butal sotocutsomeofi tswoodensuppor t
s.Mor eover,saidmachi neryand
equipmentwer ei
ntendedbyt heowneroft het enementf oranindust r
ycarri
edonsai d
i
mmov abl
e.Fortheser easons,theywereal readyi mmov ablepursuantt oparagraphs3
and5ofAr ti
cle415oft heCivi
l Code.

FELSEnergy,I
nc.v.TheProvi
nceofBat
angas
G.R.No.168557,Febr
uary16,2007
Call
ejo,
Sr.
,J.

FACTS:OnJanuar y18,1993,NPCent eredintoal easecont

ractwithPolarEner gy,I
nc.
overdieselengi nepowerbar gesmoor edatBal ayanBayinCal aca,Bat angas.The
cont
ractst aesthatNPCshal lber esponsibleforthepaymentofal lt
axesot herlev
ies
i
mposedgov er
nmenttowhi chPOLARmaybeorbecomesubj ecttoinr espectoft he
PowerBar ges.Subsequent
ly,PolarEnergy, I
nc.assignedi
tsri
ghtsundertheagr eement
toFELSEner gyInc.

OnAugust7,1995,FELSr eceivedanassessmentofr ealpr oper

tytaxesont hepower
bargesfrom Prov i
nci
alAssessorofBat angasCi t
y.Theassessedt axamount edt o
P56,184,
088.40 perannum.FELS r eferr
ed t he mat t
ert o NPC,remi nding i
tofi ts
obli
gati
onundert heagreementt opayal lrealestatetaxes.NPCsoughtr econsi
der
ation
oftheProvinci
alAssessor’
sdeci siont oassessr ealpropertytaxesont hepowerbarges,
al
leging t
hatbargesar enon- taxablei t
ems.I nitsanswer ,thePr ovi
ncialAssessor
averr
edthatthebargeswer ereal propertyf orpurposesoft axati
onunderSect i
on199(c)
8
ofRepubl
i
cAct(
R.A.
)No.7160.

ISSUE:Whet
herpowerbarges,whi
charef
loat
ingandmov
abl
e,ar
eper
sonalpr
oper
ti
es
andther
efor
e,notsubj
ectt
orealpr
oper
tyt
ax.

HELD:NO.Thepowerbar gesarer
ealpr
opertyandarethussubj
ecttorealpropert
ytax.
Taxassessmentsbyt axexaminer
sarepresumedcor r
ectandmadei ngoodf ait
h,wit
h
the t
axpayerhaving the bur
den ofpr
oving other
wise.Besi
des,fact
ualf i
ndingsof
administ
rat
ivebodies,whi
chhaveacqui
redexperti
seinthei
rfi
eld,
aregenerall
ybindi
ng
andconclusi
veupont heCourt
.

Laurelv.Gar
cia
G.R.No.92013,Jul
y25,
1990,
187SCRA797
Guti
errez,J.
9
FACTS:I nv i
ewoft heRepar at
ionsAgr eementbet weent hePhi li
ppinesandJapan,f our
properti
eslocatedinJapanwer egiv
ent othePhilippines.Oneoft hesepr opert
iesi sthe
Roppongipr opert
y.Thesai dpropertywasf ormerlythel ocati
onoft heChancer yoft he
Phil
ippine Embassyunt ilitwas t ransfer
red to Nampei daion Jul y22,1976.The
Roppongipr opert
yhasremai nedabandonedf r
om t hetimeoft het ransferduet olackof
fundstodev elopthesaidproper t
y.Consequently,Admi nist
rati
veor derswer ei
ssuedby
thePresidentauthori
zi
ngt hest udyoft hecondit
ionoft hepr opertiesoft hePhi l
ippines
i
nJapan.Subsequent l
y,ExecutiveOrder296wasi ssuedbyPr esidentAqui noal lowing
non-Fil
ipi
nost obuyorleasesomeoft hepr opert
iesoft hePhi l
ippineslocat edinJapan,
i
ncludingRoppongi .

Pet i
ti
oners now cont end t hatthe Roppongiproper
tycannotbe al i
enated as itis
classif
iedaspubl icdomi nionandnotofpr i
vat
eowner shi
pbecausei tisapr operty
i
nt endedf orpublicservi
ceunderpar agraph2,
art
icl
e420oft heCi
vilCode.Ont heother
hand,r espondent saverthati thasalr
eadybecomepar tofthepat
r i
monialpropert
yof
theSt atewhi chcanbeal ienatedbecauseithasnotbeenusedf orpublicservicefor
ov er13y ears.Theyf urt
hercont endthatEO 296conv ert
edthesubjectpr opert
yt o
pat r
imonial proper
ty.

ISSUE:WhetherornottheRoppongipr
oper
tyst
il
lfor
mspar
toft
hepubl
i
cdomi
nion
hencecannotbedi
sposednoral
ienat
ed.

HELD:Yes.Ther espondentsf ail

edt oconvi
ncingl
yshowt hatthepr opertyhasal ready
becomepat ri
monial.Thefactthatt heRoppongisit
ehasnotbeenusedf oral ongt i
me
foractualEmbassyser vi
cedoesnotaut omat i
call
yconv ertittopat ri
moni alproperty
.
UnderAr t
.422oftheCi v
ilCode,theremustbeadef init
eandaf or
mal declar at
ionont he
partoft hegovernmentt owi thdraw itfr
om beingpubl ic.Abandonmentmustbea
cert
ainandaposi t
iveactbasedoncor r
ectlegalpremises.Themer etr ansferoft he
embassyt oNampei daii
snotar eli
nquishmentofthepr opert
y’sori
ginal pur pose.

The Admi nistrati

v e orders aut hor
izi
ng the studyoft he condi
ti
ons ofgovernment
propert
iesi nJapanwer emer elydir
ecti
vesf ori nvesti
gati
onbutdi dnoti nanyway
signi
fyacl eari ntenti
ont odi sposeoft heproper t
ies.Likewise,EO296di dnotdeclar
e
thatthe pr oper t
ies lostt heirpubl i
c char
act er;itmer el
ymade t hem avail
ableto
forei
gnersi ncaseofsal e,l easeorot herdi spositi
on.Thus,sincet her
ei snol aw
authori
zingi t
sconv eyance,t heRoppongipr oper t
yst il
lremainspartoftheinal
ienabl
e
propert
iesoft heSt ate.

Rabucov .Vi
ll
egas
G.R.No.L-24916,
Febr
uar
y28,
1974,
55SCRA658
Teehankee,J.

FACTS:Thei
ssuei
nthi
scasei
nvol
vest
heconst
it
uti
onal
i
tyofRepubl
i
cActNo.3120
10
wherebytheCongr essconv ertedthelotsi nquestiont ogetherwi thanotherlotinSan
Andres,Mal
atet hatarer eservedascommunalpr opertyintodi sposableoral i
enable
l
andsoftheSt at
e.Suchl andsar etobepl acedundert headmi ni
strati
onanddi sposalof
theLandTenureAdmi ni
st r
ati
onf orsubdivisi
onintosmal ll
otsnotexceedi ng120squar e
metersperlotf orsaleoni nstal
mentbasi stot het enantsorbonaf i
deoccupant s
ther
eofandexpresslyprohibitedejectmentanddemol itionofpet it
ioners'homesunder
Secti
on2oft heAct .Respondentcont endst hattheActi sinval
idandunconst i
tuti
onal
fori
tconsti
tutesdeprivati
onofpr opert
ywi thoutduepr ocessofl aw andwithoutjust
compensati
on.

I
SSUE:Whet
herornotRepubl
i
cActNo.3120i
sconst
it
uti
onal
.

HELD:Yes.Thel otsi nquest ionaremani fest l

yownedbyt heci tyini t
spubl i
cand
government alcapaci tyandar etheref orepubl icpr opertyov erwhi chCongr esshad
absolutecont rolasdi sti
ngui shedf r
om pat r
imoni alpropertyownedbyi ti
nitspr iv
ateor
proprietarycapaci tyofwhi chi tcouldnotbedepr ivedwithoutduepr ocessandwi thout
j
ustcompensat ion.I tisest ablisheddoct ri
net hatt heactofcl assi fy
ingSt atepr oper t
y
call
sf ort heexer ciseofwi dedi screti
onar yl
egi slat i
vepower , whichwi llnotbei nterfered
withbyt hecour ts.TheAct sinquest ionwer ei nt endedt oimpl ementt hesocialjustice
poli
cyoft heConst i
tutionandt hegov ernmentpr ogr am oflandf ort helandlessandt hat
theywer enoti ntendedt oexpr opri
atet hepr oper t
yinvolvedbutmer elytoconf i
rmi ts
characterascommunall andoft heSt ateandt omakei tav ail
abl efordi sposit
ionbyt he
NationalGov ernment .Thesubdi vi
sionoft hel andandconv ey anceoft her esul t
ing
subdiv i
sionl otst ot heoccupant sbyCongr essi onalaut horizationdoesnotoper ateas
anexer ciseoft hepowerofemi nentdomai nwi thoutjustcompensat ioninv i
olationof
Section1, subsect ion( 2),Articl
eI I
Ioft heConst i
tution,butsi mpl yasamani f
est ati
onof
i
tsrightandpowert odeal wi thstatepr operty.

Macasianov.Di
okno
G.
R.No.97764,August10,
1992,
212SCRA464
Medial
dea,J.

FACTS:TheMuni ci
pali
tyofParanquepassedanor di
nancet hatauthor i
zedt hecl osure
ofJ.Gabr iel
,G.G.Cruz,Bayani
han,Lt .GarciaExt ensionandOpenaSt r
eetsl ocatedat
Baclaran,Par anaqueMet roMani l
aandt heest abl
ishmentofaf leamar kett hereon.
Ther eafter
,t he munici
palcounci lofPar anaque i ssued a resol uti
on aut hor i
zing
Paranaque May orWal fri
do N.Fer rert o enteri nto a contractwi th any ser vice
cooper ativ
ef ortheestabli
shment ,operati
on,mai ntenanceandmanagementoff lea
mar ketsand/ orvendi
ngareas.Byv i
rt
ueoft his,respondentmuni cipali
t yandr espondent
Palany ag,aser vi
cecooper at
ive,enteredintoanagr eementwher ebyt hel attershall
operat e,maintai
nandmanaget hefl
eamar ketint heaf or
ementionedst reetswi tht he
obl
igat iont oremitduest othet r
easur yoft hemuni cipalgovernmentofPar anaque.
Consequent l
y,marketstal
l
swer eputupbyPal any agont hesaidstreets.

11
Peti
ti
onerMacasi ano,PNPSuper intendentoftheMet ropoli
tanTraffi
cCommand,t hen
order
edt hedestruct
ionandconfiscationofthestal
l
sal ongtheabov ementi
onedstreets.
Hence,r espondentsf i
led wi
tht he t r
ialcourta jointpet i
ti
on forprohibi
ti
on and
mandamuswi thdamagesandpr ayerf orprel
i
minaryinjunct
ion,towhichthepetit
ioner
fi
ledhisoppositi
ont otheissuanceoft hewri
tofpreli
mi nar
yinjuncti
on.Thetri
alcour t
uphel
dt hev al
i
dit
yoft heordi
nanceinquest i
on.

ISSUE:Whet
herornotanor
dinanceorr
esol
utionwhichaut
hori
zest
hel
easeanduseof
publi
cstr
eet
sorthor
oughf
aresassit
esforf
leamarketsi
svali
d.

HELD:No.Theaf orementionedstreetsarel ocalroadsusedf orpubl i

cser vi
ceandar e
thereforeconsideredpublicpropertiesofr espondentmuni ci
pal i
ty.Ar t
icl
e424oft he
CivilCodepr ovi
dest hatpr
operti
esofpubl icdomi niondevotedf orpubl icuseandmade
availabl
et ot hepubl i
cingener alareout sidethecommer ceofmanandcannotbe
disposedoforl easedbyt helocalgov er
nmentuni tt opri
vateper sons.Pr opert
iesofthe
l
ocalgov er
nmentwhi char
edev otedt opublicservicearedeemedpubl icandar eunder
theabsol ut
econt r
olofCongr ess.Hence, LGUshav enoauthor i
tywhat soev ertocont
rol
orregulatetheuseofpubl icproperti
esunl essspecificaut
hor i
tyisv estedupont hem by
Congr ess.

Republi
cofthePhil
ippi
nesv.CourtofAppeal
s
G.R.No.100709,
Nov ember14,1997,281SCRA639
Panganiban,
J.

FACTS:Mor atof i
ledforapat entonapar celoflandl ocatedinCal auag,Quezon,whi ch
wasappr ov ed,pr ov
idedthatt hel andshal lnotbeencumber edoral ienatedwi thi
na
periodoff i
v ey ear sfrom thedat eoft heissuanceoft hepatent.Lateron,thel andwas
establ i
shedt obeapor ti
onofCal auagBay ,whichwasf i
vetosixf eetdeepdur inghigh
ti
desandt hr eef eetdeeponl owt ides.Thewat erlevelr osebecauseoft heebbandf low
oft ides f rom t he bayand t he st orms t hatf requent l
ypassed t hrough the ar ea.
Furthermor e,itwasobser vedbyt heDirectorofLandsf r
om hisinvesti
gation,thatthe
l
andofMor at owasl easedt oAdv incul
af orP100permont handitwasal somor tgaged
toCof orP10, 000.TheDi rect orofLandsf i
ledasui twi t
hthecont enti
ont hatMor ato
vi
olat edthe5- y earpr ohi
bitoryper iodandt hust hepat entshouldbecancel ledandt he
l
andshoul dr ever tbacktot heSt ate.

ISSUE:Whetherornotthereisavi
olat
ionoftheprohi
bit
ionoft
hepat
ent
,andt
hus,t
he
subjectl
andshoul
drevertbacktot
heownershipoftheStat
e.

HELD:Yes.Theleasewasanencumbr anceincludedinthepr ohibit

ionsoft hepatent
becausei
timpair
st heuseoft hel
andbyMor atohersel
f.Asf ort hemor tgage,iti
sa
l
egalli
mitonthetit
leandi ft
herewil
lbef or
eclosurebecauseMor atowasnotabl eto
payherdebt
s,thepropertywil
lbeauct
ioned.Itisalsoali
mi t
ationonMor ato'
sr i
ghtto
enj
oyandpossesst helandforher
self
.Encumbr ance,asdefined,isani mpairmenton
12
theuseort ransferofproperty
,oraclaim orl
ienonthepropert
ywher et her
eisabur den
ont het i
tl
e.Thus,Mor atoclearl
yv i
olat
edt hetermsoft hepatentont hesepoi nts.
Mor eover,
thepr opertybecameaf or
eshorelandbecauseittur
nedintoapor t
ionofland
whichwascov eredmostoft heti
mewi thwater,whetheritwasl ow orhight ide.
Foreshoreisdef inedasl andbetweenhighandl ow waterswhichisdr ydependingon
ther ef
luxorebboft heti
des.Inaccordancewiththi
slandrecl
assif
ication,t
helandcan
nolongerbesubj ecttoapendingpatentappli
cat
ionandmustber eturnedtotheSt at
e.

Provi
nceofZamboangadelNort
ev .Ci
tyofZamboanga
G.R.No.L-24440,
Mar
ch28,1968,22SCRA1334
Bengzon,J.P.
,J.

FACTS:OnJune6,1952,Republ i
cAct711wasappr oveddiv
idingthepr ovinceof
Zamboangai nt
ot wo(2):ZamboangadelNor t
eandZamboangadelSur .Republ i
cAct
3039wasappr ovedprovi
dingthat“
allbui
ldi
ngs,pr
opert
iesandassetsbelongingtot he
formerprov
inceofZamboangaandl ocatedwithi
ntheCityofZamboangaar eher eby
transf
err
ed,f
reeofcharge,i
nfavorofthesai
dCityofZamboanga.”

Plai
nti
ff-
appell
eeZamboangadelNor tefi
ledacompl ainti
nt heCourtofFirstInst
ance
ofZamboangadelNor teagai
nstdef endants-appel
lantsZamboangaCi ty,theSecretary
ofFinanceandt heCommi ssionerofI nt
ernalRevenue.I twaspr ayedthatRepubl i
cAct
3039bedecl aredunconstit
utionalfordepr i
vingplainti
ffprov i
nceofpr opertywithout
dueprocessandj ustcompensat i
on.Incl
udedi nthepr opert
iesweret hecapitalsi
teand
capit
olbuil
ding,cert
ainschoolsi t
es,hospitalandl eprosarium si
tes,andhi ghschool
play
ground.

ISSUE:Whetherornott
he pr
oper
ti
esment
ioned ar
e pr
oper
ti
esf
orpubl
i
cuse or
patr
imoni
al.

HELD:Thesubj ectproperti
esarepr operti
esf orpubli
cuse.Thev ali
dit
yoft hel aw
ul
timatelydependsont henatureoft helotsandbui l
dingsi nquestion.Thepr i
nciple
i
tselfis simple:Ifthe proper
tyi s owned byt he muni cipal
i
ty( meaning municipal
corporati
on)i nits publi
c and government alcapaci
ty,t he proper
tyi s publ
ic and
Congresshas  absol
utecontrol
 overit.Butift hepropertyi sownedi ni t
spr i
vateor
propri
etarycapacit
y,thenitispatri
monialandCongr esshasnoabsol ut
econt r
ol.The
municipali
ty cannotbe deprived ofi twithoutdue pr ocess and pay mentofj ust
compensat i
on.

Applyingt henor m obtaini

ngundert hepr i
nciplesconstit
uti
ngt hel aw ofMunicipal
Corpor at
ions,al
lt hoseoft he50pr opertiesinquest ionwhichar edev ot
edt opubli
c
servi
ce ar e deemed publ i
c;the restr emain pat ri
monial.Undert his nor
m,t o be
consideredpublic,itisenoughthatthepr opert
ybehel dand,dev otedforgovernmental
purposesl i
kelocal admini
str
ati
on,publi
ceducat ion,publi
chealt
h,etc. 

13
Regar di
ngt hesev
eralbui
ldi
ngsexi st
ingont hel otsabove-mentioned,ther ecor dsdo
notdi scl
osewhethertheywereconst ructedatt heexpenseoft hef or
merPr ovinceof
Zamboanga.Consi deri
nghowev erthef actt
hatsai dbuildi
ngsmusthav ebeener ected
evenbef ore1936whenCommonweal thAct39wasenact edandt hefurt
herf actt hat
provincesthenhadnopowert oauthorizeconstruct i
onofbuildi
ngssuchast hosei nthe
caseatbaratt hei
rownexpense,itcanbeassumedt hatsaidbuil
dingswer eer ectedby
the Nat i
onalGovernment,using nati
onalf unds.Hence,Congr ess couldv erywel l
disposeofsaidbuil
dingsi
nthesamemannert hati tdidwit
ht hel
otsi nquesti
on.

Chavezv.Publi
cEstatesAuthor
it
y
G.R.No.133250,Jul
y9, 2002
Carpi
o,J.

FACTS:I n1973,t
heGov ernmentthroughtheCommissi
onerofPublicHi
ghwaysandt he
Constructi
onandDev el
opmentCor porati
onofthePhi
li
ppines(CDCP)si
gnedacontract
toreclai
m certai
nf oreshoreandof fshorear
easofMani laBay.PD1084wasi ssued,
creat
ingPublicEstatesAut hor
it
y( PEA),andPD1085,transf
erri
ngther
eclai
medlands
undertheMCCRRPt oPEA.

In1995,PEA enteredintoaJoi ntVent

ureAgr eement(JVA)wit
hAMARI ,apri
vate
corpor
ati
ontodev el
opt heFreedom Isl
ands,andt heJVAwasappr ov
edbyPresi
dent
Ramos.Howev er
,PEAandAMARIent er
edi ntotheJVAt hr
oughnegoti
ati
onwit
hout
publi
cbiddi
ng.ALegalTaskFor cewascr eatedtolooki
ntothei
ssue.Thesaidtask
for
ceupheldthel
egali
tyoftheJVA.

I
n1998,Fr ankI.Chavez,asataxpayer,fi
ledapet i
tiont ocompelPEAt odi scl
oseal
l
fact
soni t
snegotiati
onswithAMARI,invokingtheconst itut
ionalr
ightofthepeopleto
i
nformati
ononmat t
ersofpubl
icconcern.Heassai l
st hesalet oAMARIofl andsofthe
publi
cdomai nasabl at
antvi
olat
ionoft heconst ituti
onalpr ohi
bit
ingint hesaleof
ali
enabl
elandsofthepubli
cdomaintopr i
vatecorporations.

Despit
etheongoingcour
tpeti
ti
ons,PEAandAMARIsignedanAmendedJointVent
ure
Agreement(AmendedJVA)in1999,andsuchwasapprovedbyPr
esi
dentEst
rada.The
AmendedJVA seekst oconveyt oAMARIt heownershipof77.
34hectar
esoft he
Fr
eedom Isl
ands.

I
SSUE:Whet
herAMARIhast
hecapaci
tyt
oacqui
ret
hel
andshel
dbyPEA.

HELD:No.Undert he1987Const it
uti
on,pr iv
atecor por
at ionssuchasAMARIcannot
acquir
ealienabl
elandoft hepubl i
cdomai n.Reclaimedlandscompr isingt
heFreedom
Isl
ands,whicharecov er
edbycert i
fi
catesoft i
tl
eint henameofPEA, areali
enabl
elands
ofthepubl i
cdomai n.PEAmayl easet heselandst oprivat ecorporationsbutmaynot
sellortr
ansferowner shipofthesel andst opr i
v at
ecorpor at
ions.PEAmayonl ysel
l
theselandst oPhilippi
necit
izens,subj ecttot heowner shipl i
mitationsinthe1987
14
Const
it
uti
onandexi
sti
nglaws.Thus,t
heAmendedJoi
ntVent
ureAgr
eementbet
ween
AMARIandPEAwasnullandvoi
d.

Chav ezv
.Nat i
onalHousi
ngAut
hori
ty
G.R.No.164527,August15,
2007
Velasco,Jr
.,J.

FACTS:Pr esidentCor az onAqui noi ssuedMemor andum Or derNo.161appr ovingand

direct i
ngt hei mpl ement ati
onoft heCompr ehensi v eandIntegratedMet ropoli
tanMani l
a
Wast e ManagementPl an.RespondentNat ionalHousi ng Aut hor i
tywasor dered t o
“conductf easi bi
lityst udiesanddev eloplow–costhousi ngproject satt hedumpsi teand
absor bscav enger sinNHAr eset tlement /
low–costhousi ngpr ojects”,parti
cularl
yi nt he
Smokey Mount ain.I t produced t he “ Smokey Mount ai
n Dev elopment Pl an and
Recl amat i
on oft he Ar ea Acr oss R- 10”ort he Smoke Mount ain Dev el
opmentand
Recl amat i
onPr oject.ThePr oj
ectai medt ocov er tSmokeymount aindumpsi tei ntoa
habi tablehousi ngpr oject,incl
usi veoft her eclamat i
onoft hear ea.Pr esi
dentAqui no
appr ov edt hesai dPr ojectthroughMO 415.Af terPr esi
dentAqui no’sterm,Pr esident
FidelRamos,t hr oughPr oclamat ionNo.39,aut hor i
zedt heNHAt oent erintoaJoi nt
Vent ureAgr eementwi thR- I
IBui lders,Inc.(RBI )f ortheimpl ement ationoft hepr oject.
After war ds,Pr esi dentRamosi ssuedPr oclamat ionNo.465i ncreasingt hepr oposed
areaf orr ecl amat i
onacr ossR- 10f rom 40hect ar
est o79hect ares.Thepet i
tioner
Franci sco Chav ezcont ended t hatt her espondentNHA orr espondentRBIhasno
aut horitytor eclaimf oreshoreandsubmer gedl and.

ISSUE:Whet
herornotr
espondentNHA hast
heaut
hor
it
ytor
ecl
aimf
oreshor
eand
submergedl
and.

HELD:Yes.TheNat i
onal Housi ngAut hority( NHA)isagov ernmentagencynott askedt o
disposeofpubl i
clandsunderi tschar t
er–i tisan“ end- useragency ”aut hori
zedbyl aw
toadmi nisteranddi sposeofr eclaimedl ands.Themomentt i
tlesov erreclai
medl ands
basedont hespeci alpat entsar et ransferredt otheNat ional Housi ngAut horit
y(NHA)by
theRegi sterofDeeds, theyar eaut omat ical l
yconv ertedt opat rimonialpr opert
iesoft he
Statewhi chcanbesol dt oFilipinoci ti
zensandpr ivatecor por ati
ons,60%ofwhi char e
ownedbyFi l
ipinos.Thecombi nedandcol lecti
veef fectofPr oclamat ionsNos.39and
465wi thSpeci alPat entsNos.3592and3598i st antamountt oandcanbeconsi dered
tobeanof f
icialdeclar ationt hatt her eclaimedl ot
sar ealienabl eordi sposablelandsof
thepublicdomai n.Ev eni fitisconcededt hatt herewasnoexpl i
citdeclarati
onthatt he
l
andsar enol ongerneededf orpubl i
cuseorpubl i
cser vice,therewashowev eran
i
mpl i
citexecut i
vedecl arationt hatt her ecl aimedar easar enotnecessar yany mor ef or
publi
cuseorpubl i
cser vi
cewhenPr esidentAqui not hroughMO415conv eyedthesame
tot he Nat ionalHousi ng Aut hori
ty( NHA)par t
lyf orhousi ng projectand r elated
commer cial
/indust ri
al dev elopmenti ntendedf ordisposi t
iont oandenj oymentofcer tain
benefici
ariesandnott hepubl i
ci ngener alandpar tl
yasenabl ingcomponentt of i
nance
theproject.
15
ManilaI
nternat
ionalAi
rportAut
hor
it
yv.Cour
tofAppeal
s
G.R.No.155650,July20,2006
Carpi
o,J.

FACTS:MI AAr ecei

v edFi nalNot i
cesofRealEst ateTaxDel inquencyf r
om t heCi tyof
Parañaquef orthet axabley ears1992t o2001.MI AA’ srealest atetaxdel inquencywas
esti
mat edatP624mi l
li
on.Thus,t heCi tyofPar añaque,t hroughi t
sCi tyTr easurer
,
i
ssuednot i
cesofl ev yandwar r
antsofl evyont heAi rportLandsandBui ldings.The
May oroft heCityofPar añaquet hreatenedt osellatpubl i
cauct iont heAi rportLands
andBui l
dingsshouldMI AAf ailtopayther ealestatet axdelinquency .Cit
yofPar añaque
contendst hatSection193oft heLocalGov ernmentCodeexpr esslywit hdrew t hetax
exempt i
on privi
leges of“ government-owned and- control
led cor porati
ons”upon t he
eff
ectivi
tyoft heLocalGov ernmentCode.Howev er,MIAAav ersthatairportl andsand
buil
dingsar eownedbyt heSt ate,andthus,exemptf rom tax.

I
SSUE:Whet
herornotai
rpor
tlandsandbui
l
dingsofMI
AAar
eexemptf
rom r
ealest
ate
t
ax.

HELD:Yes.MI AA i sagov ernmenti nstrumentalit

yv est
edwi t
hcor por
atepower st o
perfor
m ef fici
ent l
yitsgov er nmentalf uncti
ons.MI AA islikeanyot hergov er
nment
i
nstrument ali
ty,theonlydiff
er enceist hatMIAAi svestedwit
hcor poratepower s.Unless
thegov ernmenti nstr
ument alit
yisor gani
zedasast ockornon- stockcor porati
on,i t
remains a gov ernmenti nstrument ali
ty exerci
sing notonly gov er
nment albutal so
corporatepower s.Thus,MIAAexer cisesthegov ernmentalpower sofemi nentdomai n,
poli
ceaut horityandt helevyingoff eesandchar ges.Theairpor
tlandsandbui ldi
ngsof
MIAAar epr oper tyofpubli
cdomi ni
onandt hereforeownedbyt heSt ateortheRepubl i
c
ofthePhi l
ippines.Hence, t
hesubj ectpr opert
iesarenotsubjecttotax.

Javi
erv.Veri
dianoI
I
G.R.No.L-
48050,October10,
1994,
237SCRA565
Bell
osi
ll
o,J.
16
FACTS:Jav ierfil
edaMi scel l
aneousSal esAppl i
cat i
onf orlot1641.Shel ateri nstituteda
compl aintforf orcibleent ryagai nstBabol ,all
egi ngt hatshewasf orcibl ydi spossessed
ofapor ti
onofsai dl and.Thecasef orf orcibl
yent rywashowev erdismi ssedasi twas
foundbyt hecour tt hatt heoccupi edpor ti
onwasout sideLot1641.Thesamewas
dismi ssedonappeal .Jav ierwasev ent uallygrant edaMi scel
laneousSal esPat entand
i
ssuedanOCTf orl ot1641.Babol ,howev erhadsol dthepr oper tyhewasoccupy ing,
i
ncl udingapor ti
onof200squar emet erst oRoset e.Jav i
erdemandedt hesur renderof
thesamear eaf rom Roset ewhor epeat edlyr efusedt ocompl y.Af ter4y ear s,Jav ier
i
nst itutedacompl aintf orqui et
ingoft itl
eandr ecov eryofpossessi onwi t
hdamages
agai nstBabolandRoset e.Roset emov edt odi smi sst hecompl ai
ntont hegr oundofr es
j
udi cata.TheCFIsust ainedt hear gumentofRoset eandgr antedhi smot i
ont odi smi ss.
Jav i
ercont endst hatr esj udicatacannotappl yi nt hei nstantcasesi ncet herei sno
i
dent i
tyofpar ti
esandcausesofact ionbet weenhercompl ai
ntf orfor cibleent r
y ,whi ch
hadl ongbecomef inalandexecut ory ,andhersubsequentpet it
ionf orqui etingoft i
t l
e.
Jav i
ermai ntainst hatt her eisnoi dent ityofcausesofact i
onsi ncet hef i
rstcasewasf or
forcibleent ry,whi chi smer elyconcer nedwi tht hepossessi onoft hepr oper ty,wher eas
thesubsequentcasewasf orqui eti
ngoft i
tl
e,whi chlooksi ntot heowner shipoft he
disput edland.

ISSUE:Whet
herornott
herearer
eall
ydif
fer
entcausesofact
ionbet
weent
hef
orci
ble
entr
ycaseandt
helat
erqui
eti
ngofti
tl
ecase.

HELD:Yes.Forr esjudicatatobart heinstit

ut i
onofasubsequentact iont hefoll
owing
requisi
tesmustconcur :(1)Ther emustbeaf i
nalj udgmentoror der;( 2)Thecour t
renderi
ngt hejudgmentmusthav ejuri
sdicti
onov erthesubj ectmat t
er;(3)Thef ormer
j
udgmenti sajudgmentont hemer it
s;and,( 4)Ther eisbet weent hefirstandsecond
acti
onsi dent
it
yof( 4a)parti
es, (
4b)ofsubjectmat t erand( 4c)ofcausesofact i
on.
Javier'
sargumentt hatthereisnoi denti
tyofpar ti
esbet weent hetwoact ionsi swi t
hout
mer i
t.Wehav er epeatedlyruledthatforr esj udi
cat atoappl y,whatisr equi r
edi snot
absolutebutonlysubst anti
alident
ityofpar t
ies.But ,thereismer i
tinJav ier'sargument
thatthereisnoidentit
yofcausesofact i
on.

"Theonlyissuei nanact i
onf orforcibleentr
yist hephy si
calormat eri
alpossessionof
realpropert
y,thatis,possessiondef act
oandnotpossessi ondej ure.Thephi l
osophy
underlyi
ngthisr emedyi sthatirrespectiveoft heact ualcondit
ionoft hetitl
et othe
property
,thepar t
yinpeaceablequi etpossessionshallnotbet ur
nedoutbyst ronghand,
viol
enceort err
or."A judgmentr endered in a casef orrecov eryofpossessi on i
s
conclusi
veonl yont hequesti
onofpossessi onandnotont heowner ship.I
tdoesnoti n
anywaybi ndt heti
tl
eoraf f
ectstheowner shi
poft helandorbui l
ding.

Ont heotherhand,Civi
lCaseNo.2203- 0isinreal
i
tyanact i
ontorecoverapar celofland
oranacci onrei
vi
ndicatori
aunderArt.434oftheCi vi
lCode,andshouldbedi sti
nguished
from Ci
vilCaseNo.926,whi sanacci
chi oninterdi
ctal
.Accioninter
dictal
,whichist he
summar yactionforf orci
bleent
ry(detentaci
on)wher ethedefendant'spossessionof
thepropertyi
silegalabi
l ni
ti
o,orthesummar yact i
onforunlawfuldetai
ner(desahuico)
17
wher et hedef endant '
spossessi onwasor i
ginallyl awf ulbutceasedt obesobyt he
expirati
onofhi sr i
ghtt opossess,bot hofwhi chmustbebr oughtwi t
hinoney earfr
om
thedat eofact ualent ryont heland,i ncaseoff or cibl
eent ry,andfrom thedateofl ast
demand, incaseofunl awfuldetainer,inthepropermuni ci
paltri
alcourtormet ropol
i
t an
tri
alcour t;acci onpubl i
ciana whichi sapl enar yact ionf orr ecoveryoft her i
ghtt o
possessandwhi chshoul dbebr oughti nt hepr operr egionaltri
alcourtwhent he
dispossessi onhasl astedf ormor et hanoney ear ;and,acci onr ei
vi
ndicator
iaoraccion
der eivi
ndicacionwhi chseekst her ecoveryofowner shipandi ncludesthejusutendiand
thejusf ruendibr oughti ntheproperr egionaltr
ial cour t
.

Acci
onr
eivi
ndi
cat
ori
aoracci
onder
eivi
ndi
caci
oni
sthusanact
ionwher
ebypl
aint
if
f
al
l
egesownershi
pov eraparcelofl
andandseeksr ecov
eryofi
tsf
ullpossessi
on.I
tis
di
ff
erentf
rom acci
oni nt
erdi
ctaloracci
onpubl i
ciana wher
eplai
nti
ffmer el
yall
eges
pr
oofofabet
terri
ghttopossesswit
houtcl
aim ofti
tle.

I
nCivilCaseNo.926Jav i
ermerelyclaimedabetterri
ghtorpriorpossessi
onovert
he
di
sputedareawi
thoutassert
ingti
tl
et heret
o.I
tshouldbedist
inguishedfr
om Ci
vi
lCase
No.2203-0wher
esheexpresslyal
legedownershi
p.

Bustosv.CourtofAppeal
s
G.R.No.120784-85,
January24,
2001,
350SCRA155
Pardo,J.

FACTS:Paul inoFajardodiedintest
ateonApr il2,1957.Hehadf our(4)chil
dren,namel y:
Manuela,Tr i
nidad,Beatri
zandMar cial
,al
lsur namedFaj ar
do.OnSept ember30,1964,
theheirsex ecutedanext ra-j
udici
alparti
ti
onoft heestateofPaul inoFaj ar
do.Ont he
samedat e,Manuelasoldhershar etoMosesG.Mendoza,husbandofBeat ri
zbydeed
ofabsol utesale.Att heti
meoft hesale,therewasnocadast r
alsurveyi nMasant ol,
Pampanga.Lat er
,thecadast r
ewasconduct edandt hepropertyinvolv
edi nthepart
iti
on
casewasspeci fi
edasLot s280,283,284,1000- Aand1000- B.Theshar eofManuel a,
whichwassol dtoMoses,i ncludesLot284oft heMasant olCadast r
eandLot284was
subdi
videdi ntoLots284-Aand284- B.Tri
nidadwasi nphysicalpossessionoft heland.
Sherefusedt osur r
endert helandt oherbr other-
in-
law MosesG.Mendoza,despi te
sever
al demands.

OnSept ember3,1971,Mosesf i
ledwi ththeCour tofFi rstInst
ance,Pampangaa
compl ai
ntforparti
ti
onclaimingtheonef ourth(1/4)shareofManuel awhichwassol d
to him.Dur i
ng the pendencyoft he case forpartit
ion,Tri
nidad Faj
ardo di
ed.On
December15,1984,t hehei rsexecuted anext ra-j
udici
alparti
ti
onoft heest at
eof
Tri
nidadFajardo.OnFebr uar
y16,1987,Luci oFajardoIgnaci
o,sonofTr i
nidadsoldLot
284-Bt ospousesVenancioVirayandCeci l
iaNunga-Vir
ay .

On Febr
uar
y8,1989,the Regi
onalTr
ialCour
t,Pampanga,Macabebe,Br
anch 55
r
enderedadeci
sioni
nfav
orofMosesG.Mendoza.I
nthemeanti
me,onNov ember6,
18
1989,spousesVenanci oVirayandCeci li
aNunga- Vi r
ay,buy ersofLuci oIgnaci
o'
sshar e
oft he property,fil
ed wi t
ht he Muni ci
palCi rcuitTr i
alCour t,Macabebe- Masantol
,
Pampangaanact i
onforunl awf uldet
aineragainstspousesBust os,thebuyersofMoses
G.Mendoza,whower ei nact ualpossessi onasl esseesoft hehusbandofTr ini
dad,
Franci
scoI gnacio,ofthesubjectl and.Themuni cipalci r
cuittri
alcour tdeci
dedthecase
i
nf avorofspousesVi r
ay.Subsequent l
y,thet r
ialcour tissuedwr i
tsofexecutionand
demoliti
on,butst ayed when spouses Bust os f il
ed wi t
ht he r egionalTri
alCour t
,
Pampanga, Macabebe, Branch55, apetit
ionforcer ti
orari
,prohibiti
onandi nj
uncti
on.On
December18, 1992,theregionalt ri
alcourtrenderedadeci siondismi ssi
ngthecase.On
September9,1994,pet i
ti
oner sf i
l
edamot i
onforr econsideration;howev er
,onJune21,
1995,theCour tofAppeal sdeni edthemot i
on.

I
SSUE:Whet
herornotpet
it
ioner
scoul
dbeej
ect
edf
rom whati
snowt
hei
rownl
and.

HELD:I nt hiscase,t hei ssueofpossessi oni sintertwi nedwi tht hei ssueofowner ship.
Int heunl awf uldet ai nercase,t heCour tofAppeal saf fi
rmedt hedeci sionoft het rial
cour tast opossessi onont hegr oundt hatthedeci sionhasbecomef inalandexecut ory.
Thismeanst hatthepet iti
onersmaybeev icted.Int heacci onr ei
nvi ndicatoria,theCour t
ofAppeal saf firmedt heowner shi pofpet i
tioner sov ert hesubj ectland.Hence, t
hecour t
decl ar
edpet iti
oner sast hel awf ulowner soft hel and.I nt hepr esentcase,t hest ayof
execut ioni swar r
ant edbyt hef actt hatpetitionersar enowl egalowner soft helandi n
quest ionandar eoccupant sther eof.Toexecut et hej udgmentbyej ect i
ngpet it
ioner s
from t hel andt hatt heyownedwoul dcer tainlyresul tingr av ei njustice.Besi des,t he
i
ssueofpossessi onwasr ender edmootwhent hecour tadjudi cat edowner shi ptot he
spousesBust osbyv ir
tueofav ali
ddeedofsal e.Pl aci ngpet iti
oner si npossessi onof
thel andi nquest i
oni st henecessar yandl ogi calconsequenceoft hedeci siondecl ar i
ng
them ast her ightfulowner sispossessi on.I tfollowst hatasowner soft hesubj ect
proper ty,petitionersar eent it
ledt opossessi onoft hesame." Anownerwhocannot
exer ci
set hesev en( 7)" j
uses"orat t
ributesofowner shi p-therightt opossess, touseand
enjoy ,to abuseorconsume,t o accessor ies,t o di sposeoral ienate,t or ecoveror
vindicateandt othef ruitsisacr ippledowner .

HeirsofRomanSor ianov
.Cour
tofAppeal
s
G.R.No.128177,August15,
2001,
363SCRA87
Ynares–Santiago,J.

FACTS:Thel andi ndisput ei

nt hiscasei sori
ginal
lyownedbyAdr i
anoSor i
anowhodi ed
somet i
mei n1947.Adr ianoSorianohas7hei r
swhom l easedt hesubjectparcelofland
toDav iddeVer aandConsuel oVill
asistaforat erm of15y earsstarti
ngJuly1,1967.
Thel easecontractst atesthatRomanSor i
anowi llser
v east hecaretakeroft hesaid
propertydur
ingtheper iodoflease.Dur i
ngtheef f
ecti
vit
yoft heleasecontract,t
heheirs
ofAdr i
anoSorianoent eredi
ntoext r
ajudici
alsettl
ementofhi sestate.Asar esultofthe
sett
lement,thepr oper t
ywasdi vi
ded i nt
ot wo property,LotNo.60052 whi chwas
assignedtoLour desandCandi do,heir
sofAdr ianoandt heheir
sofDi onisi
aanot herhei
r
19
ofAdr i
ano.Theot herpr
operty
,LotNo.8459wasassignedto Franci
sco,Libr
ada,
Elcoci
adoandRomanal lhei
rsofAdri
ano.Theowner
sofLotNo.60052soldthelott
o
spousesBrauli
oandAquili
anaAbal
os,andtheowner
sofLotNo.8459,exceptRoman
al
sosol dt
heirshar
estospousesBr
iones.

OnMar ch14,1968,t hedeVer aspousesoust edRomanascar etakerandappoi nted

Isi
dr o Versoza and Vi dalVer soza as hi s subst i
tute.Roman f il
ed a case f or
reinstat
ementandr eli
quidationagai nstthedeVeraspousesi nCARCaseNo.1724- P-68.
On Sept ember30,1969,t he Agr ari
an Courtr ender ed a deci si
on authori
zing the
ejectmentofRoman.Onappeal ,thedeci si
onwasr eversedbyt heCour tofAppeals.The
deicionbecamef inalandexecut or.Howev er,bef
orei twasexecut ed,thepart
iesentered
i
nt oapost -deci
si
onalagr eementwher einthedeVer aspousesal lowedRomanSor i
ano
tosub- l
easet hepropertyunt i
lthet erminati
onoft heor i
ginalleaseonJune30,1982.
Thi sagreementwasappr ov edbyt heCARcour ti
nanor derdat edDecember22, 1972.

OnAugust16,1976,t heAbal osspousesappl i

edf orther egi st
rati
onoft hedisputed
par celofl and.RomanSor i
anoandt heDi rect
orofLandsact edasopposi t
ors.OnJune
27,1983,t heLandRegi str
ati
onCour tgrantedt heappl i
cationf orregist
rati
on.OnApr i
l
13,1983,af t ert heexpirati
onoft heor igi
nalleaseandsub- l
easei nfavorofRoman
Sor iano,theAbal osspousesf i
ledacasef orunlawf uldetaineragainstRomanSor i
ano,
l
at er,t hi
scasewasdi smissedonmot i
onoft heAbal osspouses.OnJul y14,1983,
Elcoci ado, Libr ada,Roman, Francisco,Lourdes,Candi doandt heheirsofDionisi
afil
eda
compl aintt oannult hedeedsofsal et heyexecut edinf avoroft heAbal osspousesor
shoul dt hedeedsbenotannul led,toallow Roman,El cociadoandLi br
adat oredeem
theirshar esi nt hedisputedl andandt ouphol dRomanSor iano’spossessionoft he
fi
shpondpor tionoft hepropertyasat enant -
caretaker.

Aftert hedismi ssaloft hecasef orunl awf uldet ai

ner ,theAbal osspousesf i
ledon
August22,1984,amot i
onf orexecutionoft hepost -decisi
onalor derembody i
ngt he
agreementofRomanSor i
anoandt hedeVer aspousesal lowi
ngt hef ormert osubl ease
thepr operty.OnOct ober25,1984,Romanf iledamot i
ont osuspendhear ingont he
rentaldemanded byt heAbalosspousesunt ilaf t
ert heot heri ssuesr aised i nhis
opposi ti
ontot hemot i
onforexecutionar eresol ved.Themot iontosuspendhear i
ngon
theissueoft herentalswasdeni edandt hetrialcour taut hori
zedt hesubst i
tutionoft he
deVer aspousesbyt heAbalosspouses.RomanSor iano'smot i
onf orreconsi derati
on
wasdeni edonMar ch16, 1985.Romanf iledpet i
tionforcer ti
orar
iandpr ohibiti
oni nthe
Cour tofAppeal sbutt helat
terdeniedt hepet iti
on,pendi ngthedeni aloft hispet it
ion,
RomanSor ianodi ed.Notsatisf
iedwi t
ht hedeci si
onoft heCour tofAppeal s,thehei rsof
RomanSor ianobr oughtthiscaseintheSupr emeCour t.

ISSUE:Whetherornotawi nni
ng par
ty(ABALOS)i
n aland r
egist
rati
on casecan
effect
ivel
yej
ectthepossessor(SORIANO)ther
eof
,whosesecur
it
yoft enur
er i
ght
sis
sti
llpendi
ngdet
erminat
ionbeforetheDARAB.

HELD:No.TheCourthel
dthatajudgmentinalandregi
str
ati
oncasecannoteff
ecti
vel
y
usedt
ooustthepossessoroft
heland,whosesecur
ityoft
enurer
ight
saresti
llpendi
ng
20
determinati
onbef oret heDARAB.Ther eisnodi sputet hatAbalosspouses' titl
eov erthe
l
andunderl i
t i
gat ionhasbeenconf ir
medwi thf i
nali
ty .Howev er,t
hedecl arationper tai
ns
onlyt oowner shipanddoesnotaut omaticallyincludepossessi on,especi allysoi nthe
i
nstantcasewher et hereisat hi
rdpar t
yoccupy ingt hesai dparcelofl and,al l
egedlyin
theconceptofanagr i
cul
turaltenant.Agr icult
urall esseesar eent itl
edt osecur ityof
tenureand t heyhav et her ightto wor kont hei
rr especti
vel andhol dingsoncet he
l
easehol dr elationshi pi s establi
shed.Secur it
yoft enurei sal egalconcessi on to
agri
cultur
all esseeswhi chtheyv alueasl i
fei t
selfaddepr ivat
ionoft heirlandhol di
ngsi s
tantamountt odepr ivat i
onoft heironlymeansofl i
vel i
hood.Theexer ci
seoft herightof
owner shi
p,t hen,y ieldst ot heexer ci
seoft her i
ght sofanagr iculturalt enant.The
Supr emeCour tdeci dedt or efrai
nfrom rul
ingwhet herpet i
ti
onersmaybedi spossessed
ofthesubj ectpr opertywhi l
epet iti
oner'
sst atusast enanthasnoty etbeendecl aredby
theDARAB.

Garci
av.CourtofAppeals
G.R.No.133140,August10,
1999,
312SCRA180
Puno,J.

FACTS:Pet it
ionerAtty.PedroGar ci
a,wit
htheconsentofhi swi feRemedi osGar cia,sold
apar celofl andsi t
uatedatBelAi rIIVil
lage,Makat ito hisdaught erMar i
aLui sa
Magpay oandherhusbandLui sitoMagpay o.TheMagpay osmor tgagedt helandt ot he
Phil
ippi neBankofCommuni cations( PBCom)t osecureal oan.TheMagpay osf ail
edt o
payt heirloanuponi tsmat ur
ity,hence, t
hemor tgagewasext r
ajudici
all
yforeclosedand
atthepubl i
cauct i
onsal einwhi chPBCom boughtt heland.Ther edempt i
onper iodof
thef oreclosedmor tgageexpi redwi t
houttheMagpay osr edeemi ngthesame,hence,
ti
tl
eov erthelandwasconsol i
dat edinfavorofPBCom.

PBCom subsequent l
yfil
edapet it
ionf ortheissuanceofawr i
tofpossessi onov erthe
l
andwi ththeRegi onalTri
alCourt( RTC)ofMakat i
.TheRTCgr antedthepet i
ti
on.Upon
servi
ceoft hewritofpossessi on,Mar iaLuisaMagpay o’
sbr other,JoseMa.T.Gar cia,
whowasi npossessi onoft heland,r efusedtohonori t
.JoseGar ci
at her
euponf il
ed
againstPBCom, t
heMagpay os,andt heRTCSher i
fftheinstantsuitforrecoveryofrealt
y
anddamageswher ei
nhecont ended, i
nterali
a,thatatthetimeoft heal l
egedsalet othe
Magpay o spouses,he was i n possessi on oft he property;that,when hi s mother
Remedi osTablanGar ci
adied,somet i
mei nOct ober,1980,hebecame,byoper ati
onof
l
aw,aco- owneroft heproperty;andt hat,Atty.PedroV.Gar ci
a,att het i
meoft he
executi
onoft heinstrumentinfav oroftheMagpay ospouseswasnoti npossessi onof
thesubjectpr
opert y.

ISSUE:Whet
herornotJoseMagpay
owasaco-
owneroft
hepar
celoft
hel
andi
n
disput
e.

HELD:No.Possessi
onandowner
shi
paredist
inctl
egalconcept
s.Owner
shi
pexi
sts
whenathi
ngpertai
ningt
ooneper
soniscompl
etel
ysubj
ectedtohiswi
lli
namanner
21
notpr ohi bi
tedbyl aw andconsi stentwi tht her ightsofot hers.Owner shipconf ers
cer t
ainr ightst ot heowner ,oneofwhi chi stherightt odisposeoft het hi
ngbywayof
sale.At ty.Pedr oGar ci
aandhi swi feRemedi osexer ci
sedt hei
rrighttodisposeofwhat
theyownedwhent heysol dt hesubjectpr opertytot heMagpay ospouses.Ont heot her
hand,possessi oni sdef inedast hehol dingofat hingort heenj oymentofar ight.
Literally,topossessmeanst oactuallyandphy sicall
yoccupyat hi
ngwi thorwi t
hout
ri
ght .Possessi onmaybehadi noneoft woway s:possessi oni ntheconceptofan
ownerandpossessi onofahol der.“Apossessori nt heconceptofanownermaybet he
ownerhi msel foronewhocl aimstobeso. ”Ont heot herhand,“onewhopossessesasa
mer e hol deracknowl edges i n anot hera super iorr i
ghtwhi ch he bel i
eves to be
owner ship,whet herhisbel iefber i
ghtorwr ong.”Ther ecor
dsshowt hatpetit
ionerJose
Gar ciaoccupi edt hepr oper tynoti nt heconceptofanownerf orhisst aywasmer ely
toleratedbyhi spar ent
s.Anowner ’sactofal lowinganot hertooccupyhi shouse,rent-
freedoesnotcr eateaper manentandi ndef easiblerightofpossessi onint helat
ter ’
s
favor .Consequent ly,i
ti sofno momentt hatpet it
ionerwasi npossessi onoft he
proper tyatt het imeoft hesal etot heMagpay ospouses.I twasnotahi ndrancetoa
validt ransferofowner ship.Al lsaid,theMagpay ospouseswer ealreadytheowner s
whent heymor tgagedt hepr opert
yt oPBCom.

RodilEnterpr
ises,
Inc.v
.CourtofAppeals
G.R.No.129609, November29,2001,371SCRA79
Bell
osil
lo,J.

FACTS:Rodi lEnt er
prisesI nc.( RODI L)ist he lessee oft he IdesO' Racca Bui l
ding
(O'RACCA)si nce1959whi chisapr opertyownedbyt heRepubl icoft hePhi l
ippines.In
1980, Rodi lent eredintoasubl easecont ractwithrespondent sCarmenBondoc, Teresi
ta
Bondoc- Est o,Di v
isoriaFoot wearandChuaHuaySoon,member soft heIdesO’ Racca
BuildingTenant sAssoci ation,Inc.On12Sept ember1982BP 233wasenact ed.It
author izedt hesal eof" formeral ienpr opert
ies"classifi
edascommer cialandi ndustri
al,
andt heO' RACCA bui l
dingwascl assifi
edascommer cialpr operty.RODI LandI des
O’RaccaBui ldingTenant sAssoci ation,Inc.,off
eredt opur chasethesubj ectpr operty.
Pendi ngact i
onont heof ferofRODI Lt opurchaset hepr oper t
y,DirectorFact oraoft he
BuildingSer vicesandRealPr oper tyManagementOf fi
cegr antedRODI L'
sr equestf or
anot herr enewaloft hel easecont racton23Sept ember1987f oranot herfive( 5)years
from 1Sept ember1987.Ther enewalcont ractwasf orwar dedt othenSecr etaryJosede
Jesus ofDepar tmentofGener alSer vi
ces and RealEst ate Proper tyManagement
(DGSREPM)f orappr oval.Uponr ecommendat i
onofDGSREPM Ruf i
noBanas, DeJesus
disappr ov edt her enewalcont racti nf avourofRodi landr ecall
edal lpaper ssi gnedby
himr egar dingt hesubj ect.Secretar yDeJesusl ikewi sedi rectedRODI Ltopayi tsrealt
y
taxdel inquencyandor deredt hei ssuanceofat empor aryoccupancyper mi ttot he
ASSOCI ATI ON.

On6Oct ober1987RODILf
il
edanact ionf orspeci
fi
cperfor
mance,damagesand
i
njunct
ionwithpr
ayerf
ort
emporar
yrest
raini
ngorderbefor
etheRegi
onalTr
ialCour
tof
22
Mani l
aagai nsttheREPUBLI C,DeJesus,Banas,Fact oraandt heASSOCI ATION.De
Jesus, BanasandFact orawer el atersubst i
tutedbySecr etaryFulgencioFact or
anoft he
Depar t
mentofEnv ir
onmentandNat ur alResour ces( DENR)i nt heactionf orspeci fi
c
performance.On 31 May1988 Fact orai ssued Or derNo.1 desi gnating the Land
ManagementBur eaur epresent edbyDi r
ectorAbel ar doPal ad,Jr .ascust odianofal l
"f
ormeral i
enpr oper t
ies"owned byt heREPUBLI C.Pendi ng theact i
onf orspeci fi
c
performance, RODI Lsignedar enewalcont r
actwi thDi rect orPaladwhi chwasappr ov ed
bySecr etar
yFact ora.Ther enewalcont r
actwoul dext endt heleasef orten( 10)y ears
fr
om 1Sept ember1987.A suppl ementt ot her enewalcont ractwassubsequent l
y
entered int
o on 25 May1992 wher er ent al
son t hepr evi
ousl easecont r
actwer e
i
ncreased.Asar esul t
,t heactionwasdi smi ssedinf av ourofRodi l.Rodilthenf i
l
edan
acti
onf orunlawfuldet aineragai nstDivisori
aFoot wear ,Bondoc, Bondoc-EstoandChua
HuaySoon.Uponappeal ,theCour tofAppeal sdeclaredt hecont ractsnullandv oidand
di
smi ssedt heactionsf orunlawf uldetainer.

ISSUE:Whet
herornotRodi
lhast
her
ightt
ooccupyt
hebui
l
dingbyv
irt
ueofi
tsl
ease
contr
actwi
ththeRepubl
i
c.

HELD:Yes.Theownerhast her i
ghtt oenj oyanddi sposeofat hi
ng,wit
houtot her
l
imitat
ionst hant hoseest abli
shedbyl aw.Ev eryownerhast hefreedom ofdisposit
ion
overhisproper ty.Itisanat tri
buteofowner ship,andt hisrulehasnoexcept i
on.The
REPUBLI Cbei ngtheowneroft hedisput edpropertyenjoy stheprerogati
vetoenterinto
aleasecont ractwi thRODI Lintheexer ciseofitsjusdi sponendi.Hence,aslessor,the
REPUBLI C hast her i
ghtt oejectusurper soft hel easedpr opertywher ethef act
ual
el
ement srequi r
edf orrel
iefinanactionf orunlawfuldetainerarepresent.

Pri
vaterespondent sclaimt hatt heagr eement sof23Sept ember1987,18May1992
and25May1992di dnotgiver isetov ali
dcont r
act s.
Thisistr
ueonl yoft heCont ractof
Leaseent eredintoon23Sept ember1987whi cht heREPUBLI Cdidnotappr ove.RODI L
nei
therallegednorpr ovedt hatsuchappr ovalwasmadeknownt oi t.Theso- called
approvaloft heleasecont ractwasmer elyst at
ed in an i
nternalmemor andum of
Secret
aryDeJesusaddr essedt oDi rectorFact ora.Thisisev i
dentf r
om t hef actt hat
Secret
aryDeJesus,i nhi sletter,askedFact orat odulyexecuteal easecont ractand
for
wardi ttohi soffi
ceforappr oval.Theconsequencesoft hisfactarecl ear.TheCi vi
l
Code prov ides t
hatno cont r
actshal larise unless accept
ance oft he cont r
acti s
communi cat edtotheofferor.Unt i
lthatmoment ,therei
snor ealmeet ingoft hemi nds,
noconcur renceofofferandaccept ance, hence,nocont ract
.

Howev er ,t
hesamei snott rueofthecontractsof18May1992and25May1992.As
arguedbyRODI L,thesecont ract
sar enotpr oscr
ibedbyl aw;neit
herist her
eal aw
prohibitingtheexecutionofacont r
actwithprovisi
onst hatareret
roact
ive.Wherether
e
i
snot hingi nacontractthatiscontraryt
olaw,mor als,goodcustoms,publ i
cpoli
cyor
publi
cor der,t
hevali
dityofthecontractmustbesustained.

TheCourtofAppeal
sinv
ali
datedthecont
ract
sbecausetheywer
esupposedlyexecut
ed
i
nv i
olat
ionofat emporar
yrestr
aini
ngorderissuedbytheRegionalTr
ialCourt
.The
23
appel latecour thowev erf ailedt onot et hatt heor derr estr
ainst heREPUBLI Cf rom
awar di ng t he l ease cont ractonl y as r egar ds r espondentASSOCI ATION butnot
petiti
onerRODI L.Whi l
eat empor ar yrest r
ainingorderwasi ndeedi ssuedagai nstRODI L,
i
twasi ssuedonl yon25May1992oraf tertheassai l
edcont ractswer eent eredinto.As
correct lyst at edbypet iti
oner ,onecannotenj oinanactal readyfaitaccompl i.
Privat er espondent sar guet hatt he" renewalcont ract "cannot" renew"av oidcont r
act .
Howev er,t hey coul d cite no l egalbasi sf ort his asser ti
on.I twoul d seem t hat
respondent sconsi dert her enewalcont racttobeanov ationoft heear li
erleasecont ract
of23 Sept ember1987.Howev er,nov ati
oni snev erpr esumed.Al so,t het i
tl
eofa
cont ractdoesnotdet ermi nei tsnat ure.Ont hecont r
ar y,itisthespeci ficpr ovi
sionsof
thecont ractwhi chdi ctatei tsnat ure.Fur thermor e,wher eacont ractissuscept i
bleof
two( 2)i nt erpretations,onet hatwoul dmakei tvalidandanot hert hatwoul dmakei t
i
nv alid,t hel att
eri nterpretationi st obeadopt ed.Theassai l
edagr eementof18May
1992, "RenewalofCont r
actofLease, "mer elyst at
est hatt heterm oft hecont ractwoul d
bef ort en( 10)y ear sst arting1Sept ember1987.Thi si shar dlyconcl usiveoft he
existenceofani ntentionbyt hepar ti
est onov atet hecont ractof23Sept ember1987.
Norcani tbear guedt hatt her eisani mpl i
ednov ationf ort her equisit
ei ncompat i
bilit
y
betweent heor i
ginalcont ractandt hesubsequentonei snotpr esent.Basedont his
factualmi lieu,thepr esumpt ionofv al
idityofcont ractcannotbesai dt ohav ebeen
overt urned.

RespondentASSOCI ATI
ON clai
mst hattheDecisi
onoft heOf f
iceofthePresi
dent
decl
aringnullandvoidtheleasecontract
sof18May1992and25May1992shoul dbe
countedinitsfavor.Wedonotagr ee.Thecontent
iondoesnotholdwater.I
tiswell
-
sett
ledthatacour t
'sjudgmentinacaseshal lnotadver
selyaf
fectper
sonswhower e
notparti
estheret
o.

I
saguir
rev.DeLar
a
G.
R.No.138053,May31,
2000,
332SCRA803
Gonzaga–Reyes,J.

FACTS:Al ejandrodeLar awast heor i

ginalappli
cant-claimantf oraMi scellaneousSal es
Appl icati
onov erapar celofl andwi t
hanar eaof2, 342squar emet ers.Uponhi sdeat h,
Alejandr odeLar awassucceededbyhi swi f
e-r
espondentFel icit
asdeLar aascl ai
mant .
Ont hislotstandsat wo-stor yr esidential
-commer cialapar t
mentdecl aredf ortaxati
on
purposesi nt henameofr espondent ’
ssons,Apol onioandRodol f
odeLar a.When
Feli
ci tas encountered financi aldi ffi
culti
es,she appr oached pet iti
onerCor nel
io M.
Isagui rr
e.OnFebr uary10, 1960, adocumentdenomi nat edas“ DeedofSal eandSpeci al
Cessi onofRi ghtsandI nt erest s”wasexecut edbyFel icitasandI saguir
re,wher ebyt he
formersol da250squar emet erpor t
ionoft hesubj ectl ot,togetherwi t
ht hetwo-stor y
commer ci
aland r esident i
alst r
ucture standing t hereon.Somet i
me i n May 1969,
Apol onio and Rodol f
o deLar af i
led acompl ai
ntagai nstpet i
ti
onerf orr ecoveryof
owner shipandpossessi onoft het wo-storybuil
ding.Howev er ,peti
ti
onerf i
l
edasal es
applicat i
onov ert
hesubj ectpr opertyandwasi ssuedanOCT.Duet ooverlappingoftitle,
24
peti
ti
onerfiledanacti
onforquieti
ngofti
tl
e.Judgmentwasr enderedinfavorofthe
respondents.Whenrespondentfi
ledamotionf orexecuti
on,petit
ioneropposed,and
all
egedthathehadar ightofret
enti
onoverthepropertyunti
lpay mentofthevalueof
theimprovementshehadintr
oducedonthepropert
y.

I
SSUE:Whetherornotpet
it
ionercanbeconsider
edabui
l
deri
ngoodf
ait
hwi
thr
espect
t
otheimpr
ov ement
shemadeont hepr
opert
y.

HELD:No.Thepet it
ioneri
sapossessori nbadfait
h.Basedont hefactualfi
ndingsf
rom
thi
scase, i
tisev i
dentthatpeti
ti
onerknewf r
om thev erybeginningthattherewasreall
y
nosaleandt hathehel drespondent’spr
opert
yasmer esecur i
tyforthepay mentofthe
l
oan obligati
on.Ther efor
e,petit
ionermaycl ai
m r eimbursementonl yfornecessary
expenses;howev er,heisnotentitl
edtorei
mbursementf oranyusef ulexpenseswhich
hemayhav eincurr
ed.

GermanManagement&Ser vi
ces,
Inc.v
.Cour
tofAppeal
s
G.R.No.76216and76217,
September14,
1989,177SCRA495
Fernan,
J.

FACTS: Spouses Cy
nthi
a Cuy
egkeng Jose and ManuelRene Jose,r
esi
dent
s of
25
Pennsy lvani a,Phi ladel phia,USA ar et heowner sofapar celofl andsi tuatedi nSi ti
o
Inarawan,SanI sidr o,Ant i
pol o,Ri zal,wi thanar eaof232, 942sq.M.Thel andwas
original lyr egi steredon5August1948i ntheOf fi
ceoft heRegi sterofDeedsRi zalas
OCT19, pur suantt oaHomest eadPat entgr antedbyt hePr esi dentoft hePhi li
ppi neson
27Jul y1948.On26Febr uary1982,t hespousesJoseexecut edaspeci alpowerof
attorneyaut horizingGer manManagementSer vicest odev el opt heirpr opertyi ntoa
resident i
alsubdi v i
si on.Consequent ly,theGer manManagementobt ainedDev elopment
Per mi t 00424 f rom t he Human Set tl
ement s Regul atory Commi ssion f or said
dev elopment .Findi ngt hatpar toft hepr oper t
ywasoccupi edbyGer nal eandVi llezaand
20ot herper sons,Ger manManagementadv i
sedt heoccupant st ov acat et hepr emises
butt he l atterr ef used.Nev er thel ess,Ger man Managementpr oceeded wi tht he
dev elopmentoft he subj ectpr oper ty whi ch included t he por tions occupi ed and
cultivat edbyGer nal e,et .al.Ger nal e,et .
al.f i
ledanact ionf orf or cibleent r
yagai nst
Ger man Management bef oret he MTC Ant ipolo,Ri zal,al legi ng t hat t hey ar e
mount ainsi def ar mer sofSi ti
oI nar awanwhohav eoccupi edandt i
lledt heirf ar
mhol di
ngs
some12t o15y ear spr i
ort ot hepr omul gationofPD27, andt hatt heywer edepr ivedof
theirpr oper t ywi thoutduepr ocessofl awwhenGer manManagementf orcibl
yr emov ed
anddest roy edt hebar bedwi ref enceencl osingt heirf armhol dingswi thoutnot i
ceand
bulldozi ngt her ice, cor n, f
ruitbear i
ngt reesandot hercr opst hatt heypl antedbymeans
off or ce,v iolenceandi ntimi dat ionTheMTCdi smi ssedGer naleet .al.'
scompl aintfor
forcibl eent ry .Onappeal ,theRTCsust ainedt hedi smi ssalbyt heMTC.Ger nal ethen
fil
edapet itionf orr ev i
ewwi t
ht heCour tofAppeal s.Sai dcour tgav eduecour set othei
r
petitionandr ever sedt hedeci si onsoft heMTCandt heRTC.TheAppel lateCour theld
thatsi nceGer nal e, et.al.wer ei nact ualpossessi onoft hepr oper tyatt het imet heywer e
forcibl yej ect edbyGer manManagement ,theyhav ear ightt ocommenceanact i
onfor
forcibl eent ryr egar dlessoft hel egal i
tyori ll
egal i
tyofpossessi on.Ger manManagement
mov edt or econsi derbutt hesamewasdeni edbyt heAppel lateCour t
.Hence, her eisthe
presentr ecour se.

I
SSUE:Whet
hert
hedoct
ri
neofsel
f-
hel
pmaybeav
ail
edofwhenr
espondent
sref
usedt
o
v
acat
ethepremi
ses.

HELD:No.Thej usti
ficati
ont hatt hedr asti
cact i
onofbul l
dozi
nganddest royi
ngt he
cropsoft hepr i
orpossessoront hebasi soft hedoctri
neofsel fhel p( enunci atedi n
Arti
cle429NCC)i sunav ail
ingbecauset hesuchdoct ri
necanonl ybeexer cisedatt he
ti
meofact ualorthreateneddi spossession,whi chisabsentinthepr esentcase.When
possessionhasal readybeenl ost
,t heownermustr esorttojudicialprocessf ort he
recoveryofproperty.Thisiscl earfrom Ar t
icle536NewCi vi
lCodewhi chpr ov i
dest hat
"i
nnocasemaypossessi onbeacqui redthr oughforceorinti
midationasl ongast here
i
sapossessorwhoobj ectsther et
o.He,whobel i
evesthathehasanact ionorr i
ghtt o
depri
v eanotherofthehol dingofat hing,musti nv
oket heaidofthecompet entcour t,i
f
theholdershouldrefuset odeliverthet hi
ng."

Cai
sipv
.Peopl
eoft
hePhi
li
ppi
nes
26
G.R.No.L-28716,Nov
ember18,
1970,
36SCRA17
Concepcion,C.J.

FACTS: SpousesMar cel

inoGuev arraandGl ori
aCabal agcul tivatedapar celofland
knownasLot105- AofHaci endaPal icosituatedinNasugbu,Bat angas,thesamel and
usedt obet enantedbyCabal ag’ sf atherwhenhewasst il
laliv
e.Haci endaPal i
cois
owned byRoxasyCi a,admi nistered byAnt onio Chuidian,and super vised bythe
overseer,Fel
ixCaisi
p.Pr i
ortot hei ncidentinvolved,Guev arrasoughtr ecognit
ionasa
l
awf ultenantofRoy asyCi afrom t heCour tofAgr ar
ianRel at
ionsbuthi sact i
onwas
dismissed.Thereaft
er,RoxasyCi afiledanact i
onagai nstGuev ar raf
orf orci
bleentr
y
withprayerthatGuevarrabeeject edf r
om thepr emi sesofLot105- A.TheJust i
ceofthe
PeaceofCour tofNasugbudeci dedi nfav orofRoxasyCi aandonJune6,1959,a
tr
oublebet weenCabalagandCai sipoccur r
edr egardingthecut t
ingofsugar cane.

Adayl ater,Cabal agent eredagai nt hepr emi sesofLot105- Aandr efusedt obedr i
v en
outbyCai sip.Duet oCabal ag’ stenaci ousat ti
tude, Caisipsoughtt hehel poftheChi efof
Pol iceofNasugbu.TheDeput ySher if
f,howev er,informedCai sipt hathi srequestt o
ejectCabal agcannotbeact eduponwi thoutapr opercour tor der .Nev er
theless,t he
Chi efofPol iceassi gnedSer geantI gnaci oRoj alesandCor poralFr edericoVill
adelreyt o
Haci endoPal i
co.OnJune17,1959,Cabal agwasseenweedi ngapor t
ionofLot105- A
whi chwasar icefi
el d.Cai sipappr oachedherandbadehert ol eav e,butsher efusedt o
doso.So, Caisipwentt oSgt .Roj al esandCpl .Vil
ladelreyandbr oughtt hem toCabal ag.
Roj alestoldCabal agt ostopweedi ngbutshei nsi
stedonherr ightt ost ayinthesai dlot.
Whi l
ei nsquat ti
ngposi ti
on,Cabal agwasgr abbedbyRoj aleswhot wistedherrightar m
andwr estedt het rowelshewashol ding.Vi l
ladelreyhel dherl efthandandt ogether
Roj alesf orciblydr aggedhert owar dsabananapl antati
onwhi l
eCai sipstoodnear by,
wit hadr awngun.Cabal agshout ed,“ Inakopo!I nakopo! ”andwashear dbysome
nei ghbors.Zoi loRi ver a,headoft het enantor ganizat i
ont owhi chCabal agwasaf f
il
iated,
wentwi t
ht hem ont hei rwayt ot hemuni cipalbui l
ding.Uponar rival,Cabalagwast urned
ov erbyRoj alesandVi ll
adelreyt othepol icemenondut y,whoi nt errogatedher .Butupon
repr esentat i
onsmadebyRi v era,shewasr el
easedandal lowedt ogohome.Cabagan
thenf il
edacompl ai ntchar gingCai si
p,Roj alesandVi l
ladelreyoft hecr i
meof“ grav e
coer ci
on.”

TheCour
tofFir
stI
nstanceofBat
angasfoundt hem gui
l
tyaschar
ged.Onappeal
,The
Cour
tofAppeal
saf
fi
rmedthetr
ial
court
’sdeci
sion.

I
SSUE:Whet herornottheforceemployedbyCaisipandothers,intheexer
ciseofhis
r
ightgrant
edbyAr ti
cle429,i
sr easonabl
ynecessaryt
or epelorpreventanactualor
t
hreat
enedunlawfulphysi
cali
nvasionorusur
pat
ionofhispropert
y.

HELD:No.Cai
sipwasnotev enentit
ledtotheri
ghtgrantedbyAr t
icl
e429.Thisistotall
y
i
nappli
cabl
etothecase,for,havi
ngbeengi ven20day sfrom June6thwi thi
nwhicht o
vacat
ethelot
,Cabal
agdidnot ,onJune17t handwi t
hinsaidperiod,i
nvadesorusur ps
thesai
dlot
.Shehadmer elyremainedinpossessionthereof
,eventhought hehaci
enda
ownermayhavebecomei tsco-possessorbyreasonofthepriororderoftheJusti
ceof
27
PeaceCour tofNasugbu.Cai sipandot hersdi dnotr epelorpr eventanact ualor
threatenedphy sicalinv
asi onorusur pati
on.Theyexpel ledCabal agf rom apr operty
whi chsheandherhusbandwer ei
npossessi on,despi t
et hef actt hatt heSher i
ffhad
expl i
cit
lyauthor
izedGuev arraandCabal agt ostayi nsaidpr opertyupt oJune26t h,and
hadexpr essedthev i
ewt hathecoul dnotoustt hem withoutaj udicialorder.Iti
sclear,
therefore,thatCaisi
p,RojalesandVi l
ladelrey,bymeansofv i
olence,andwi thoutlegal
author i
ty,hadpreventedt hecompl ainantf rom doi ngsomet hi
ngnotpr ohibi
tedbyl aw
(weedi ngandbei nginLot105- A),andcompel ledhert odosomet hingagai nstherwi l
l
(stoppingt heweedingandl eavingsaidlot),whet heritber i
ghtorwr ong, therebytaki
ng
thel awintothei
rhands, i
nv i
olati
onofAr ti
cle286oft heRev isedPenal Code.

PeopleofthePhi
li
ppi
nesv.Plet
cha
G.R.No.19029-
CR,June27,1977,
22CARep.807
Si
son, J.

FACTS:TitoPletcha,Jr.
,far
mer,i
nv oki
ng‘
sel
f-
help’i
ndef enseofthelandheinheri
ted
fr
om hi
sf ather19y ear
sagoagai nstthewor
kersofRadecoCor porat
ion,whowithout
cour
torder,wereconstructi
ngafenceinahaci
endaallegedlyl
easedbythecorporat
ion
fr
om acertainLopinco.

Clai
mingact ualpossessi onandowner shi
pandbel i
evingt hatthelandsoughtt obe
fencedwasani ntegralpartofthel andheinherit
ed,Pletchaaskedt hegrouptodesist
from feni
cingpendi ngar esur
veyhepr oposed,buthewast otal
lyignor
ed,thushe
foughtoffandpr eventedthewor kers.Asaresultofsuchr esist
ancehewaspr osecut
ed
andconv ict
edofgr avecoer ci
onbyt heMuni cipalTr
ialCour t.Pletchaappeal
edthe
decisi
onoft heMTCwi ththeCour tofAppeals.

ISSUE:Whet
hert
heappel
l
ant
’sact
ioni
sal
egi
ti
mat
eexer
ciseofapr
ivat
eci
ti
zen’
s‘sel
f-
help.

HELD:Yes.I nt heinst antcase,

theusurper’
spossessi onhasnoty etbecomecompl ete
andt hecompl ainantswer eintheactofbui ldingaf ence.Suchanactconst i
tutesf orce
i
ncont empl ationoft helaw.Thi sactoft r
espassj ust i
fiedt heappel lanttodrivet hem
away ,ev enbymeansofbol obecauset heyr efusedt ol istent ohi sappealwhi chi s
reasonabl e.Theappel l
antneednotr ushtot hecour ttoseekr edressbef orereasonabl y
resisti
ngt hei nv asi
onofhi spropert
y.Thesi tuationr equi r
edi mmedi ateacti
onandAr t
.
429gav ehi m t hesel fexecutorymechani csofsel f-def enseandsel f-
reli
ance.The
prov i
sioni nAr t429oft heNewCi vi
lCodeconf ir
mst her ightoft heappel l
ant,anowner
andl awf ulpossessor , tousereasonableforcet or epelani nv asionorusur pati
on,act ual,
threatenedorphy sicalofhi spropert
y.Thepr i
ncipleofsel f-
def enseandt heprotect i
ve
measur esrelatedt hereto,coversnotonlyhislife,butal sohi slibert
yandpr operty.

“Thepri
nci
pleofself
-hel
pauthori
zesthelawfulpossessortouseforce,notonl
yto
prev
entathr
eatenedunl
awfuli
nvasi
onorusurpat
ionthereof
;iti
sasor
tofself-
def
ense.
28
I
tislawfult
orepelfor
cebyf or
ce.Hewhomer elyusesforcetodefendhispossession
doesnotpossessbyf orce.Theuseofsuchnecessar yforcetoprotectpr
opriet
yor
possessor
yri
ghtsconsti
tut
esajust
if
yingci
rcumstanceunderthePenalCode.
”

Andamov .I
nter
mediat
eAppell
ateCourt
G.R.No.74761,
November6,1990,191SCRA195
Fernan,
C.J.

FACTS:Peti
ti
onerspousesEmmanuelandNat
ivi
dadAndamoar etheownersofa
par
celofl
andsit
uat
edinBiga(
Bil
uso)Si
l
ang,
Cavi
tewhi
chisadj
acentt
othatofpr
ivat
e
29
respondent,Mi ssionari
esofOurLadyofLaSal ette,I
nc.,ar eli
giouscor por ation.Wi thi
n
thelandofr espondentcor porati
on,wat erpathsandcont r
ivances,i ncludinganar t
if
icial
l
ake, wereconst ructed,whichallegedlyinundatedander odedpet i
tioners'land, causeda
youngmant o dr own,damagedpet i
ti
oner s'cropsandpl ants,washedawaycost ly
fences,endanger edt hel i
vesofpet iti
onersandt heirlaborersdur i
ngr ai
nyandst ormy
seasons,andexposedpl antsandot herimpr ovement stodest r
uction.
Petit
ionersinstit
utedacr i
minalact i
onagai nsttheof fi
cersanddi r
ectorsofr espondent
corporati
on,fordest r
uctionbymeansofi nundat i
onunderAr ti
cle324oft heRev ised
PenalCode.Subsequent l
y,peti
ti
oner sfi
ledaci vilacti
onagai nstr espondentcor por
ation
fordamages.Thet ri
alcour tdismissedt heci vilcasef orl ackofj uri
sdi cti
on,ast he
criminalcasewhi chwasi nsti
tutedaheadoft heci vi
lcasewasst i
llunr esolved.The
appellat
ecour taf f
ir
medt heorderoft hetrialcourt.Themot ionforr econsi derationwas
alsodenied.

ISSUE:Whetheracorporati
on,whichhasbui l
tthr
oughitsagents,wat
erpat
hs,wat
er
conductor
sandcontr
ivanceswit
hinitsl
and,ther
ebycausi
nginundati
onanddamageto
anadjacentl
and,
canbehel dci
vi
ll
yliabl
efordamages.

HELD:Yes.Pet i
ti
oner s'compl aintsuf fi
cient l
yal legest hatpet it
ionershav esust ained
andwi llcontinuetosust aindamageduet ot hewat erpathsandcont ri
v ancesbui l
tby
respondentcor poration.Itmustbest r
essedt hattheuseofone' sproper tyisnotwi thout
l
imitations.Ar ti
cl
e431oft heCivilCodepr ovidest hat" theownerofat hingcannotmake
uset her eofinsuchamannerast oi njur
et her i
ght sofat hir
dper son."SI CUTERETUO
UTALI ENUM NONLAEDAS.Mor eov er,adjoiningl andowner shav emut ual andr eciprocal
dutieswhi chrequiret hateachmustusehi sownl andi nar easonablemannersoasnot
toinfringeupont her i
ght sandi nterest sofot hers.Al thoughwer ecogni zet her i
ghtofan
ownert obui l
dst r
uct uresonhi sl and,suchst ruct uresmustbesoconst ructedand
maint ainedusi ngal lr easonablecar esot hatt heycannotbedanger oust oadj oining
l
andowner sandcanwi thstandtheusual andexpect edf orcesofnat ure.I fthest r
uct ures
causei njuryordamaget oanadj oini nglandownerorat hi
rdper son,thel attercancl ai
m
i
ndemni f
icati
onfort hei njuryordamagesuf fered.

Arti
cle2176oftheCi v
ilCodeimposesaci vi
lli
abi
li
tyonapersonfordamagecausedby
hisactoromissionconstit
uti
ngf aul
tornegli
gence.However,r
esponsibi
lit
yf orfaul
tor
negli
genceundert hesaidart
icl
ei sent
irel
yseparat
eanddisti
nctfrom theci vi
lli
abi
li
ty
ari
singfrom negli
genceundert hePenalCode.Thepl ai
nti
ffcannotrecoverdamages
twiceforthesameactoromi ssionofthedefendant
.Thedecisi
oni sreversedandset
aside.

Republi
cofthePhil
ippinesv.CourtofAppeal
s
G.R.No.L-
43938,April15,1988,
160SCRA228
Cruz,J.

FACTS:Anappl
i
cat
ionf
orr
egi
str
ati
onofapar
celofl
andwasfi
l
edonFebruar
y11,1965,
byJosedelaRosaonhisownbehalfandonbehal
fofhisthr
eechi
l
dren.Theland,
30
situatedi nTudi ng,I t
ogon,BenguetPr ovi
nce,wasdi videdi nt o9l ots.Accor dingt ot he
appl i
cation,Lot s1- 5wer esol dt oJosedel aRosaandLot s6- 9t ohi schi l
dr enby
Mamay aBal bali
oandJai meAl berto,respect i
vely,in1964.I nsuppor toft heappl icat ion,
bot hBal bali
oandAl ber t
ot estifi
edt hatt heyhadacqui r
edt hesubj ectl andbyv irtueof
prescr i
pt i
onBal baliocl aimedt ohav er eceivedLot s1- 5f rom herf athershor tl
yaf tert he
Liberation.Al bertosai dher ecei vedLot s6-9in1961f rom hi smot her, BellaAlber to.She
wascor roboratedbyFel i
xMar cos,whor ecalledtheear l
ierpossessi onoft hel andby
Alber t
o'sf ather.Benguetopposedont hegr oundt hatt heJuneBugmi neralcl aim
cov eri
ngLot s1-5wassol dt oitonSept ember22, 1934, byt hesuccessor s-i
n-interestof
JamesKel ly,whol ocat edt hecl aimi nSept ember1909andr ecordedi tonOct ober14,
1909.Fr om t hedat eofi tspur chase,Benguethadbeeni nact ual ,cont i
nuousand
exclusivepossessi onoft hel andi nconceptofowner .At okal l
egedt hatapor tionof
Lot s1-5andal lofLot s6- 9wer ecov eredbyt heEmmaandFr edi ami neralcl aims
l
ocat edbyHar r
isonandRey nol dsonDecember25,1930,andr ecor dedonJanuar y2,
1931, int heof fi
ceoft hemi ningr ecorderofBagui o.Thesecl aimswer epur chasedf rom
thesel ocat orsonNov ember2,1931,byAt ok,whi chhassi ncet henbeeni nopen,
cont i
nuous and excl usive possessi on oft he sai dl ots.The Bur eau ofFor est ry
Dev elopmental soi nterposedi tsobj ection,arguingt hatt hel andsoughtt ober egist ered
wascov eredbyt heCent ralCor dill
eraFor estReser veunderPr ocl
amat ionNo.217dat ed
Febr uary16,1929.Mor eover,byr easonofi tsnat ure,itwasnotsubj ectt oalienat i
on
undert heConst ituti
onsof1935and1973.

Thet ri
alcourtdeni edtheappli
cation,hol dingt hatt heappl icantshadf ai
ledtopr ove
thei
rcl aim ofpossessionandowner shipoft hel andsoughtt ober egist
ered.The
appli
cant sappealedtotherespondentcour t
, whichr eversedt hetrialcourtandaf f
ir
med
thesurfacer i
ghtsofthedel aRosasov erthel andwhi l
eatt hesamet i
mer eservingthe
sub-surfacerightsofBenguetandAt okbyv i
rt
ueoft heirmi ningcl ai
ms.Bot hBenguet
andAt okappeal edtotheSupremeCour t,i
nv okingt heirsuperiorrightofowner ship.The
Republicf i
l
edi tsownpet i
ti
onf orrev i
ew andr eiteratedi t
sar gumentt hatneitherthe
pri
vater espondentsnort hetwomi ningcompani eshadanyv alidclai
mt othel and
becausei twasnotal i
enabl
eandr egisterable.

I
SSUE:WhetherornotBenguetandAt
okhav
eabet
terr
ightov
ert
hepr
oper
tyi
n
quest
ion.

HELD:Yes.I tistruet hatt hesubj ectpr opert

ywasconsi deredf orestlandandi ncluded
i
nt heCent r
alCordill
eraFor estReser v
e, butthisdi dnoti mpai rther i
ghtsalreadyv ested
i
nBenguetandAt okatt hatt ime.Theper fecti
onoft hemi ningcl aim conv ertedt he
proper
tyt omi nerallandandundert hel awst heni nforcer emov edi tfrom t hepubl i
c
domain.Bysuchact ,thelocat orsacqui redexcl usi
v erightsov erthel and,agai nstev en
thegovernment ,withoutneedofanyf urtheractsuchast hepur chaseoft hel andort he
obtent
ionofapat entov eri t
.Ast hel andhadbecomet hepr i
v ateproper tyoft he
l
ocators,theyhadt her ighttotransfert hesame, ast heydid,toBenguetandAt ok.
I
ti str
ue,ast heCour tofAppeal sobser ved,thatsuchpr ivateproper tywassubj ectto
the"vi
cissit
udesofowner ship,"orevent oforfeitur
ebynon- userorabandonmentor ,as
thepri
vater espondent sav er,byacqui siti
vepr escripti
on.TheCour tofAppeal sj ust i
fi
ed
31
thisbysay i
ngt hereis" noconf l
ictofinterest "bet weent heowner soft hesur facerights
and t heowner soft hesub- surfacer ights.Undert heaf oresaidr uling,t heland i s
classifi
edasmi neralunder neathandagr iculturalont hesur face,subj ectt osepar ate
claimsoft i
tl
e.Howev er ,t
her i
ghtsov ert hel andar eindivi
sibl
eandt hatt helandi tself
cannotbehal fagr icul
turalandhal fmi neral .Thecl assif
icati
onmustbecat egori
cal;the
l
andmustbeei thercompl etel
ymi neral orcompl et elyagricul
tural.Int hei nstantcase, as
alreadyobserved, t
helandwhi chwasor iginallyclassi fi
edasf orestl andceasedt obeso
and became mi neral— and compl etelymi neral— once t he mi ning cl ai
ms wer e
per f
ected.Aslongasmi ni
ngoper ati
onswer ebei ngunder t
akent her eon, orunderneat h,
i
tdi dnotceaset obesoandbecomeagr i
cul tural,ev enifonlypar tl
yso, becausei twas
enclosedwi t
haf enceandwascul ti
vatedbyt hosewhower eunl awf ullyoccupy ingt he
sur f
ace.

Thisi
sanappl i
cati
onoftheRegaliandoct
ri
ne.I
fapersonistheownerofagri
cul
tural
l
andinwhichmi ner
alsar
ediscover
ed,hi
sownershi
pofsuchlanddoesnotgi
vehi
mt he
ri
ghtt
oextractorutil
i
zethesaidminer
alswit
houtt
hepermissi
onoftheStat
etowhich
suchminer
alsbelong.

BenguetandAt okhav eexcl usiv

er i
ghtst othepr opert
yinquest i
onbyv ir
tueoft heir
respect i
vemi ningcl aimswhi chtheyv al
idlyacquiredbeforetheConstit
uti
onof1935
prohibitedt heal ienationofal ll
andsoft hepubl i
cdomai nexceptagricul
turallands,
subjectt ov estedr i
ght sexisti
ngatt hetimeofi t
sadopt i
on.Thelandwasnotandcoul d
nothav e been t ransferred tot he privater espondents by vi
rtue of acquisit
ive
prescription,norcoul di t
susebeshar ed si
mul t
aneouslybyt hem and themi ni
ng
compani esf oragr i
culturalandmi neralpurposes.Thedeci si
onissetasideandt hatof
thetrialcour tisreinstated.

Custodiov.Cour
tofAppeal
s
G.R.No.116100,Febr
uar
y9,1996,
253SCRA483
Regalado,
J.

FACTS:Paci
fi
co Mabasa ownsa parcelofl
and wi
that
wo-doorapar
tment
.Sai d
proper
tymaybedescr
ibedtobesur
roundedbyot
heri
mmov
abl
esownedbypetit
ioner
32
SpousesCust odio,SpousesSant osandRosal i
naMor ato.From t hemai nst reetP.
Burgos,therearetwopossi bl
epassageway stoMabasa’ spr oper t
y.Oneoft het enant s
oftheapar t
mentv acatedbecauseanadobef encewasconst ructedt herebymaki ngthe
fi
rstpassagewaynar roweri nwidth.Ma.Crist
inaSant ostestifi
edt hatsheconst ruct
ed
saidfenceforsecurit
yr easons.Moratoal
soconst ruct
edherf enceandev enext endedi t
i
nsuchawayt hattheent ir
epassagewaywasencl osed.Itwast hent hatther emai ni
ng
tenantsoft heapar t
mentl ef
t.Thereaf
ter
,Mabasaf i
ledacasef ort hegr antofan
easementofr i
ghtofwayagai nstpeti
ti
oners.TheRTCgr antedt heeasementofr i
ghtof
waysoughtbypr i
vater espondent.Onappeal,theCAaf f
ir
medt hedeci sionoft heRTC
andf urt
hermore,orderingpet i
ti
onerstopaypr i
vaterespondentasum ofmoneyf or
damages.

I
SSUE:Whet
hert
heawar
dofdamagest
opr
ivat
erespondenti
spr
oper
.

HELD:No, theactofpet i
ti
onersinconstr
uctingaf encewithint heirlotisav al
idexer
cise
oftheirri
ghtasowner s.Ar ti
cle430oft heCivilCodepr ovidest hat“ev er
yownermay
encloseorfencehi slandort enementsbymeansofwal l
s, ditches, li
veordeadhedges,
orbyanyot hermeanswi thoutdetr
imenttoserv i
tudesconst itutedt hereon.Theproper
exerci
seofal awfulrightcannotconstitut
eal egalwr ongf orwhi chanact ionwil
llie,
alt
hought heactmayr esulti
ndamaget oanother .Thecour tscangi venor edressfor
hardshiptoani ndi
vidualresult
ingfr
om actionreasonablycal culatedt oachiev eal
awf ul
endbyl awfulmeans.

Abejar
onv .Nabasa
G.R.No.84831,June20,
2001,
359SCRA47
Puno,J.

FACTS:Peti
ti
onerAbej
aron aver
st hathei
st heact ualand l
awfulpossessorand
cl
aimantofa118-
squar
emet erport
ionofa175-squar
emet err
esident
iall
oti
nSilway
,
33
Gener alSant osCi ty.Pet it
ionerAbej ar onandhi sf ami l
yoccupi edt he118- squar emet er
l
and.Att hatt ime,t hel andhadnoty etbeensur vey ed.Theyf encedt hear eaandbui l
t
thereonaf ami lyhomewi thni par oof ingandasmal lst ore.Pet itionerl ateri mpr ov ed
thei
rabodet obecomeat wo- stor eyhouse.Thi shouse,whi chst andst ot hisday ,
occupi esapor tionofLot1, Block5andapor ti
onoft headj oiningLot2oft hesamePsu.
Lot2 bel ongs t o pet iti
oner s'daught er ,Conchi t
a.The smal lst ore was ev entual l
y
destroy edandi ni t
sst ead,pet i
ti
onerAbej aronanot herst or e.Hel aterpl antedf ive
coconutt reesont hepr oper t
y .Knowi ngt hatt hedi sput edl andwaspubl i
ci nchar act er,
peti
tionerdecl aredonl yhi shouse, andnott hedi sput edl and, fort axat ionpur poses.The
l
astt wodecl arationsst atet hatpet i
tioner s'housest andsonLot s1and2,Bl ock5.
Peti
t i
onerst at edt hatr espondentNabasar esidedont her emai ning57- squar emet er
portionofLot1.Nabasabui lthishouseabout4met ersawayf rom pet i
t i
onerAbej ar on's
house.Empl oy eesoft heBur eauofLandssur vey edt hear ea.Abej arondi dnotappl yf or
ti
tl
eoft helandont hebel i
eft hathecoul dnotsecur etitleov eri tasi twasgov ernment
proper ty.Wi thouthi sknowl edgeandconsent ,Nabasaappl iedf orandcausedt het it
li
ng
i
nhi snamet heent ireLot1,i ncludi ngpet i
tionerAbej ar on's118- squar emet erpor t
ion.
Nabasawasi ssuedanOr i
ginalCer t i
ficateofTi tlepur suantt oaFr eePat entcov eri
ng
Lot1.Ast het itleincl udedpet i
ti
onerAbej aron’spor tionoft hel ot ,
hef il
edapr otestwi th
theBur eauofLandsagai nstNabasa' st i
tl
eandappl ication.Thepr otestwasdi smi ssed
forf ail
ur eoft hepet itionert oat t
endt hehear ings.Pet iti
onerAbej ar ont henf i
ledan
acti
onf orr econv eyancewi thdamagesagai nstr espondentNabasabef or et heRTC.The
RTC TheRegi onalTr ialCour tr uledi nf av orofpet it
ioneri ni t
sr econv ey ancecase
declar i
ngt hepossessi onandoccupancyofAbej aronov er118squar emet ersofl oti n
goodf aithandt her ebydecl aringt hei ncl usionofsai dpor t
ioni nt heOCTi ssuedi nt he
nameofNabasaer roneous.Onappeal , t
heCAr ev ersedt hedeci sionoft heRTCst ati
ng
thatt heonl ybasi sf orr econv ey ancei sact ualf raudwhi chi nt hi scasewasf ailedt obe
subst ant i
atedbyAbej aron.Wi thoutpr oofofi rregul arit
ynei theri nt hei ssuanceoft i
t l
e
norint hepr oceedi ngsi ncidentt her etonoracl aimt hatf raudi nt ervenedi nt hei ssuance
ofthet i
tl
e,t het it
lewoul dbecomei ndef easi ble.Thepet iti
onerhencer esor tst ot he
Supr emeCour t.

I
SSUE:Whet
herornotpet
it
ionerhasacqui
redt
it
leov
ert
hedi
sput
edl
and.

HELD:Anact i
onf orreconv eyanceofapr opert
yi st hesoler emedyofal andowner
whosepr opert
yhasbeenwr ongf ull
yorer roneouslyr egi
steredinanother'snameaf t
er
oney earf rom thedateoft hedecr eesol ongast hepr opertyhasnotpassedt oan
i
nnocentpur chaserforv alue.Theact i
ondoesnotseekt oreopent heregist
rati
on
proceedingandsetasi det hedecr eeofr egistr
ationbutonl ypur por
tstoshowt hatthe
personwhosecur edtheregi str
ationoft hepr opertyi
ncont rover
syi snottherealowner
thereof.Fraudisagr oundf orr econv ey
ance.Foranact i
onf orreconveyancebasedon
fraudtopr osper,i
tisessentialfort hepartyseekingr econveyancet oprovebyclearand
conv i
ncingevidencehisti
tlet othepr opertyandt hefactoff r
aud.

Reconveyanceisaremedygr ant
edonl ytotheowneroft hepr oper
tyal
legedt obe
er
roneouslyti
tl
edi
nanother'
sname.I nthecaseatbench,pet
it
ionerdoesnotclaimto
betheowneroft hedisput
edpor t
ion.Admit
tedl
y,whathehasi sonlya" pref
erent
ial
34
ri
ght"toacquir
eowner shipthereofbyv i
rt
ueofhi sactualpossessionsinceJanuary
1947.Tit
letoali
enablepubliclandscanbeest abl
i
shedt hroughopen,conti
nuous,and
excl
usivepossessi
onf oratl east30y ears.Notbeingt heowner ,pet
iti
onercannot
maintai
nthepresentsui
t.Personswhohav enotobt ai
nedtitl
etopubli
clandscouldnot
questi
ontheti
tl
eslegall
yissuedbyt heSt
ate.

BachrachMot orCo.,I
nc.v
.Tal
isay–Sil
ayMil
li
ngCo.
G.R.No.35223, Sept
ember17,1931,
56Phil
.117
Romual dez,
J.

FACTS:OnDecember22,1923,theTal
isay
-Si
layMi
ll
ingCo.,Inc.
,wasindebt
edtothe
Phi
li
ppi
neNat
ionalBank.Tosecur
ethepaymentofi
tsdebt
,itsucceededi
ninduci
ngi
ts
35
planters,amongwhom,wasMar i
anoLacsonLedesma,t omor tgaget heirlandt ot he
creditorbank.Andi nordertocompensat et
hoseplantersfort heri
skt heywer er unni
ng
witht heirpropertyunderthemortgage,theafor
esaidcentral
, byar esoluti
onpassedon
thatsame dat e,i.
e. ,December22,1923,under took to cr edi
tt he owner s oft he
plantationthusmor tgagedever
yy earwithasum equalt otwopercent um oft hedebt
securedaccor dingtoy ear
lybal
ance,thepaymentoft hebonusbei ngmadeatonce,or
i
npar tfrom timet ot i
me,assoonast hecentr
albecamef r
eeofi t
sobl igat
ionst ot he
aforesai dbank,andoft hosecontr
actedbyvirt
ueofthecont r
actofsuper visi
on,andhad
fundswhi chmi ghtbesoused,orassoonasi tobtainedfrom sai dbankaut horit
yt o
makesuchpay ment.

BachrachMotorCo.,I
nc.f
il
edacomplaintagai
nsttheTali
say-
Sil
ayMil
li
ngCo.,Inc.
,for
thedeli
ver
yoftheamountP13,850orpr omi
ssorynotesorotheri
nst
rumentsorcredit
fort
hatsum payabl
eonJune30,1930,
asbonusi nfavorofMari
anoLacsonLedesma.

ThePhi l
i
ppineNati
onalBankf i
ledat hirdpartyclai
m al
legingapr eferent
ialrightto
receiveanyamountwhi chMarianoLacsonLedesmami ghtbeent itl
edt of r
om t he
Talisay-
Sil
ayMi l
l
ing Co.asbonus,because t hatwould be civi
lf ruitsoft he land
mor tgagedtosai
dbankbysai ddebtorf orthebenefi
toft
hecent ralreferredto,andby
vir
tueofadeedofassi gnment,andpr ayingthatsai
dcentralbeor der edtodel iv
ered
directl
ytotheinter
veni
ngbanksai dsum onaccountoft hel at
ter'
scr editagainstthe
aforesaidMari
anoLacsonLedesma.

I
SSUE:Whet
herornott
hebonusi
nquest
ioni
sci
vi
lfr
uit
s

HELD:No.Thesai dbonusbear snoi mmedi at

e,butonl yar emot eaccidentalrel
ationto
thel and mentioned,hav i
ng been gr anted ascompensat i
on fort her i
skofhav ing
subjectedone'sl andt oal i
eni nfav oroft hebank,f orthebenef i
toft heentitygrant
ing
saidbonus.I ft
hi sbonusbei ncomeorci vilfr
uitsofany thing,i
ti sincomear isi
ngf r
om
saidr i
sk,or,i
fonechooses,f r
om Mar i
anoLacsonLedesma' sgener osit
yinf aci
ngt he
dangerf orthepr otecti
onoft hecent r
al,butcertainl
yitisnotci v i
lfrui
tsorincomef r
om
themor tgagedpr operty.Hence, theamountoft hebonus, accordingtother esol
utionof
the cent r
algrant ing it,is notbased upon t he value,i mpor t
ance orany ot her
cir
cumst anceoft hemor t
gagedpr operty,butupont het otalvalueoft hedebtt hereby
secured,accordingt ot heannualbal ance,whi chi ssomet hi
ngqui tedisti
nctf r
om and
i
ndependentoft hepr opertyreferr
edt o.

Equatori
alReal
tyDev
elopment,
Inc.v
.May
fai
rTheat
er,
Inc.
G.R.No.136221,May12,2000,
370SCRA56
Pardo,J.

FACTS:Carmel
oandBauer mann,
Inc.usetoownaparcelofland,
toget
herwi
thtwo 2-
st
oreybui
ldi
ngsconstruct
edther
eon.Carmeloent
eredintoaCont r
actofLeasewith
Mayfai
rTheat
erInc.f
oraperiodof20y ear
s.Thel
easecov eredaport
ionaport
ionof
36
thesecondf l
oorandmezzani neofa2- stor eybui l
dingwhi chr espondentusedasa
mov i
ehouseknownasMaxi m Theat er.Twoy earsl ater,May fairent eredi ntoasecond
ContractofLeasewi t
hofCar mel of ort hel easeofanot herpor t
ionoft hel atter’s
property– namel y, par toft hesecondf looroft he2- storeybui l
dingandt wost ore
spacesont hegr oundf l
oorandt hemezzani ne,onwhi chMay fairputupanot hermov i
e
houseknownasMi ramarTheat er.Thecont ractwasl ikewi sef oraper iodof20y ear s.
Bothl easescont ainedapr ovisiongr ant i
ngMay fairar i
ghtoff ir
str efusalt opur chase
thesubj ectpr operties. Howev er,thesubj ectpr oper ti
eswer esol d byCar mel ot o
Equator ialReal tyDev elopment ,Inc.wi thoutof feri
ngi tf i
rstt oMay f
air.May f
airf i
leda
Compl ai ntbef or etheRTCofMani laf ort heannul mentoft heDeedofAbsol uteSal e
betweenCar mel oandEquat orial.TheRTCr ender edi tsdeci sioni nf av ourofCar mel o
andEquat or i
al.TheCour tofAppeal scompl etelyr eversedandsetasi det hej udgmentof
thelowercour t.TheSupr emeCour tdeni edt hepet iti
onf orr ev iew andr escindedt he
contractofsal ebet weenCar mel oandEquat orialandor deredCar mel ot oal l
owMay fair
tobuyt hel ots.Howev er,Car mel ocoul dnol ongerbel ocat ed.Thus, foll
owi ngt heor der
ofexecut ionoft het rialcour t,May fairdeposi tedwi tht hecl er kofcour taquoi t
s
paymentt oCar mel o.Thel owercour ti ssuedaDeedofReconv eyancei nfav ourof
Carmel oandaDeedofSal einf av orofMay f air.Later ,
Equat orialfiledwi tht hetrialcour t
anact ionf ort hecol l
ect i
onoft hesum ofmoneyagai nstMay fair,claimi ngpay mentof
rent
alsorr easonabl ecompensat i
onf ort hedef endant ’suseofsubj ectpr emi sesaf t
er
i
tsleasecont racthadex pi
red.

I
SSUE:Whet
herornotEquat
ori
alshoul
dbeent
it
ledt
obackr
ent
als.

HELD:No.Resci ssioncr eatest heobl igationtoreturnthet hingswhi chwer etheobject

ofthecont ract,togetherwi tht heirfruits,andthepr i
cewi thitsinterest
.Itisclearthe
Equat or
ialnevert ookact ualcont rolandpossessi onoft hepr opertysold,inv i
ew of
May fair
’sti
melyobj ectiontot hesal eandcont inuedact ualpossessi onoft heproperty.
Furthermore,thef actthatMay fairpaidr ental
stoEquat or i
alduringt heli
ti
gationshould
notbei nter
pretedt omeanact ualdel i
v eryori
spof actor ecogniti
onofEquat ori
al’
sti
tle.
Theywer emademer elyt oav oidi mmi nentevict
ionandshoul dnotbeconst r
uedas
recogniti
onofEquat or
ialasnewowner .

37
I
gnaciov.Hi
lar
io
G.
R.No.L-175,August30,
1946,
76Phi
l.605
Moran,C.J.

FACTS:Thi scaseconcer
nst heownershipofapar celofland,par
tl
yrice-landandpart
ly
residenti
al.Thelowercour
tr ender
edjudgmenthol dingplai
ntif
fsasthel egalowner
sof
thewhol epr opert
ybutconcedi ngtodef endantst heowner shi
poft hehousesand
granariesbuil
tbythem onther esi
dent
ialport
ionwi t
ht heright
sofapossessori ngood
fait
h, i
naccordancewithart
icle361oftheCivi
l Code.

Subsequent ly,thepl aint

if
fspr ayedf oranor derofexecut i
onal l
egingt hatsincet hey
chosenei thertopaydef endant sf orthebui ldi
ngsnort oselltot hem ther esidenti
allot
,
saiddef endant sshoul dbeor deredt or emov ethestructur
eatt heirownexpenseandt o
restorepl aintif
fsi nt hepossessi onofsai dl ot
.Def endantsobj ectedt ot hismot ion
which, afterhear i
ng, wasgr antedbyJudgeNat i
vi
dad.Hence, thispet i
ti
onbydef endants
prayingf or( a)ar estrai
ntandannul mentoft heor derofexecut i
oni ssuedbyJudge
Natividad;( b)anor dert ocompelpl ainti
ff
st opayt hem t hesum ofP2, 000f ort he
buil
dings,orsel ltothem t her esidentiallotforP45;or( c)
,ar ehearingoft hecasef ora
determi nationoft her i
ghtsoft hepar tiesuponf ail
ureofextra-j
udicialsettl
ement .

I
SSUE:Whet
hert
her
espondentCour
ter
redi
nit
sjudgment
.

HELD:Yes.TheCi
vi
lCodepr
ovi
des:

ART.361.Theownerofl andonwhi chanythi

nghasbeenbuil
t,sownorplantedingood
fai
th,shallhavetheri
ghttoappropri
ateashi sownthewor
k,sowingorplanting,aft
er
thepaymentoft heindemnit
ystatedinarti
cles453and454,ortoobli
get heonewho
buil
torplantedtopaythepri
ceoftheland,
andt heonewhosowed,thepr
operr ent.

ART.453.Necessaryexpensesshal
lber ef
undedt oeverypossessor
;butonl
ythe
possessori
ngoodfai
thmayretai
nthet
hingunti
lsuchexpensesar
emadegoodtohim.

Usefulexpensesshallberef
undedtot hepossessoringoodfai
thwit
ht hesameri
ghtof
ret
enti
on,theper sonwhohasdef eatedhimi nt hepossessi
onhavingtheopti
onof
ref
undingtheamountoft heexpensesorpay i
ngt heincr
easeinval
uewhi cht
hething
mayhav eacquiredinconsequencethereof
.

Theowneroft hebuil
dingerectedingoodf aithonal andownedbyanot her,i
sent i
tled
toretaint hepossessionoft hel andunt ilhei spaidt hev al
ueofhi sbui l
ding,under
art
icle453.Theowneroft heland,upont heot herhand,hastheopt i
on,underar t
icle361,
ei
thert opayf orthebuil
dingort osel lhislandt ot heowneroft hebui l
ding.Buthe
cannot,asr espondentsheredid,refusebot ht opayfort hebuil
dingandt oselltheland
andcompelt heowneroft hebui l
dingtor emov eitfr
om t helandwher eitiserected.He
i
sent it
ledt oanothermot i
ononl ywhen,af t
erhav i
ngchosent osellhisland,theot her
partyfail
st opayforthesame.

38
TheCour tholds,t herefor
e,thatt heorderofJudgeNat i
vidadcompell
i
ngdef endant
s-
peti
ti
onerst oremov etheirbui
ldingsfrom t
helandbelongingtoplai
nti
ff
s-respondents
onl
ybecauset hel atterchosenei t
hertopayforsuchbui
ldingsnott
oselltheland,isnull
andv oid,foritamendssubst anti
all
ythejudgmentsoughtt o beexecut edandi s,
fur
thermore,offensivetoar t
icl
es361and453oft heCi
vilCode.

Ignaov.Int
ermediat
eAppel
lat
eCourt
G.R.No.72876,Januar
y18,1991,
193SCRA17
Fernan,C.J.

FACTS:Pet i
ti
onerFlor
encioIgnaoandhi sunclesJuanI gnaoandI si
droIgnaowereco-
ownersofa534sqm l andlocat edinCav i
te.Pursuanttoanact ionforparti
ti
onfi
ledby
peti
ti
oner,theCFIofCav it
edi rect
edt heparti
ti
onoft hesaidland.At otalof133.
5sqm
wasal l
ottedt othepetit
ioner’
suncl eswhi l
et her emaini
ng266. 5wasal lot
tedtothe
peti
ti
oner.Howev er
,whenJuanandI sidrobuiltthei
rhousest heyencroachedupona
porti
onofl andbelongi
ngt oFlorenci
o.Ageodet i
cengineersur
vey edthelandanditwas
foundoutt hatJuanandIsidrooccupiedat otalof101sqm ofFlorencio’
slot.

Thet rialcourtwhichbasedi t
sdeci si
ononAr t
icle448oft heCivi
lCode,r ul
edt hat
Florenci oshouldhavethechoicetoei t
herappr
opr i
atetohimselfthatpartofthehouse
standingonhi slotortorequi
reJuanandI sidr
ot opayt hepriceoftheland.Butsi nce
thef irstoptionseemst obei mpr acti
cal
,itorderedtosellt oJuanandI si
drothose
portionsoccupi edbythem becauseitisthe“workablesolut
ion”.Uponappealpetit
ioner
cont endst hatArti
cle448cannotbeappl i
edbecauset heyar eco-ownersofhesubj ect
proper ty.Howev er,
theappell
atecourtaff
ir
medi ntotothedecisionofthetr
ialcour
t.

I
SSUE:
Whet
herornotAr
ti
cle448oft
heCi
vi
lCodei
sappl
i
cabl
eint
hecaseatbar
.

HELD:Yes.Iti
struethatArt
icl
e448cannotbeappl iedwher eaco-ownerbui
ldsupona
l
andownedi ncommon.Howev er,i
nthecaseatbar,theco-ownershi
phasalreadybeen
ter
minatedbyvir
tueoft heparti
ti
on,thus,Arti
cl
e448now appliessincethebuil
deris
notanymoreconsider
edasanowneroft helandwherethehousewasbuilt
.

Ast otheworkabl
esol ut
ionappl
iedbyt helowercourt,t
hesamecannotbeuphel d
becauseAr
ti
cle448clearl
ystat
esthattheri
ghtofchoi
cebelongst
othelandownerand
notuponthebui l
derandt hecourts.Thus,whetheritmightseem i
mpr act
ical
,the
l
andownermaychooset oappropr
iat
etheimprovements.

Fi
lipi
nasColl
eges,I
nc.v.Gar
ciaTimbang,
et.al
.,
G.R.No.L-
12812,September29,1989,
164SCRA287
Barrer
a,J.

39
FACTS:Af terappr opr i
at epr oceedi ngs,theCour tofAppeal shel d,amongot hert hings,
thatFi lipinasCol leges,I nc.ar edecl aredt ohav eacqui r edt her ight soft hespouses
Timbangi nt hequest ionedl ots,t heyar eor der edt opayt hespousesTi mbangi nt he
amountofP15, 807. 90pl ussuchot heramountwhi chsai dspousesmi ghthav epai dor
hadt opay .Ont heot herhand, Mar i
aGer vaci oBl aswasal sodecl aredt obeabui l
deri n
goodf aithoft heschoolbui l
di ngconst ructedi nt hel oti nquest ionandwasent it
ledt o
bepai dt heamountofP19, 000. 00f orthesame.Al so,incaset hatFi lipinasCol leges, I
nc.
fail
edt odeposi tt hev al ueoft hel and,whi chaf terl i
qui dat ionwasf ixedatP32, 859. 34,
withint he90- dayper iodsetbyt heCour t,Fi li
pinasCol legeswoul dl oseal li t
sr ightst o
thel andandt hespousesTi mbangwoul dthenbecomet heowner st her eof.Ift hati st he
case,t heTi mbangsar eor der edt omakeknownt ot hecour tthei ropt ionunderAr ti
cle
448oft heCi vilCodewhet hert heywoul dappr opr i
atet hebui l
dingi nquest ion,i nwhi ch
event heywoul dhav et opayFi l
ipi nasCol l
eges,I nc.t hesum ofP19, 000. 00,orwoul d
compelt hel attert oacqui r
et hel andandpayt hepr i
cet her eof .Fi l
ipinasCol leges,I nc.
fail
edt opayt hesum ofP32, 859. 34sot hespousesTi mbangmadeknownt ot hecour t
theirdeci siont hatt heyhadchosennott oappr opriat et hebui ldingbutt ocompel
Fil
ipinasCol leges, Inc., fort hepay mentoft hesum ofP32, 859, 34whi chwasgr ant edby
theCour t.Asaconsequenceofwhi ch,awr itofexecut ionwasi ssued.Meanwhi l
e, Blas
fi
ledamot ionf orexecut ionofherj udgmentr epr esent i
ngt heunpai dpor t
ionoft hepr ice
ofthehousesol dt oFi l
ipi naswhi chwasgr ant ed.Lev ywasmadeont hehousei nv i
rtue
oft hewr itsofexecut i
on.Then,t heSher iffofMani l
asol dt hebui l
di ngi npubl icauct ion
i
nf avoroft hespousesTi mbang,ast hehi ghestbi dder s.Sev eralmot ionwer et he
subsequent lyf iledbef or et hel owercour twher eint hecour thel dt hat :a)t heSher i
ff'
s
certifi
cat eofsal ecov er ingaschoolbui l
dingsol datpubl icauct ionwasnul landv oid
unlesswi thin15day sf rom not i
ceofsai dor derspousesTi mbangshal lpayt oBl ast he
sum ofP5, 750. 00t hatt hespousesTi mbanghadbi dfort hebui ldingatt heSher i
ff '
ssal e;
b)thatFi lipinasi sownerof245. 00/ 32,
859. 34undi videdi nter esti nLotNo.2- aonwhi ch
thebui ldingsol di ntheauct ionsal ei ssituat ed;andc)t hatt heundi v idedi nterestoft he
Fil
ipinasi nt hel otshoul dbesol dt osat i
sfyt heunpai dpor tionoft hej udgmenti nf avor
ofBl asandagai nstFi lipinasi nt heamountofP8, 200. 00mi nust hesum ofP5, 750. 00.
ThespousesTi mbangcont endst hatbecauset hebui lderi ngoodf ait hhasf ailedt opay
thepr iceoft hel andaf tert heowner sthereofexer cisedt hei ropt i
onunderAr t
icle448of
theCi v i
lCode,t hebui lderl osthi sr i
ghtofr etent ionpr ov i
dedi nAr ticle546andt hatby
oper ationofAr ticle445,t hespousesTi mbangasowner soft hel andaut omat icall
y
becamet heowner s ipsof actooft heschool building.

ISSUE:WhetherornotthespousesTimbangautomati
cal
lybecomet
heowner
soft
he
buil
dinguponfai
l
ureofFil
i
pinastopaytheval
ueofthel
and.

HELD:No.BasedonAr t
icle448and546oft heNewCi vi
lCode,t heowneroft heland
hastheri
ghttochoosebet weenappr opriat
ingt hebuil
dingbyr ei
mbur si
ngt hebui l
derof
theval
uethereoforcompel li
ngt hebuilderingoodf ai
thtopayf orhisland.Ev ent hi
s
secondri
ghtcannotbeexer cisedift
hev alueoft helandisconsiderablymor ethanthat
ofthebuildi
ng.Inadditiont ot herightoft hebui l
dertobepai dthev alueofhi s
i
mpr ov
ement,Arti
cle546gi veshimt hecor ol
laryrightofretenti
onoft hepr oper t
yuntil
heisindemnif
iedbyt heowneroft heland.Ther eisnothinginthel anguageoft hese
40
twoar ticl
es,448and546,whi chwoul dj ustif
yt heconcl usionofappel l
ant sthat,upon
thefailureoft hebui l
dert opayt hev alueoft hel and,whensuchi sdemandedbyt he
l
and-owner ,thelatterbecomesaut omat i
callyt heowneroft hei mpr ov ementunder
Arti
cle445.ThecaseofBat aclanv sBer nardocannotbeappl iedi nthi scasei nt he
senset hatal t
houghi tistrueitwasdecl aredt her ei
nt hatint heev entoft hefail
ur eof
thebui ldertopayt hel andaf tertheownert her eofhaschosent hisal ter
native,t he
buil
der '
sr i
ghtofretenti
onpr ovidedi nArticle546i slost,nev ert
helesst herewasnot hing
saidthatasaconsequencet hereof,thebui l
derl osesent irel
yal lright
sov erhisown
buil
ding.Al so,int hepr esentcase,t heCour tofAppeal shasal readyadj udgedt hat
appelleeBl asisent i
tl
edt othepay mentoft heunpai dbal anceoft hepur chasepr iceof
theschoolbui l
ding.Blasi sact uall
yal ienont heschoolbui l
dingar econcer ned.The
orderoft helowercour tdirect
ingt heTimbangspouses, assuccessf ulbidders,topayi n
casht heamountoft heirbidinthesum ofP5, 750. 00ist hereforecorr ect
.

ManotokRealt
yv.Tecson
G.
R.No.L-47475August19,
1988,
164SCRA287
Gut
ier
rezJr.
,J.

FACTS:Pet it
ionerManot okRealtyfil
ed a compl ai
ntagainstNil
o Madlangawa for
recover
yofpossessi onwithdamageswi t
ht heCourtofFir
stInst
anceofMani l
a.Said
courtrender
edj udgmentdeclari
ngMadl angawaasabui l
der-
possessori
ngoodf aith;
order
ingthecompanyt orecognizetherightofMadlangawatoremaininLot345,Block
1,oftheClaraTambunt i
ngSubdivisi
onunt i
laft
erheshallhavebeenreimbur
sedbyt he
companyt hesum ofP7,500.00,
withoutpronouncementastocosts.

Notsati
sfiedwi t
ht hetr
ialcourt
’sdecision,petit
ionerappeal edtotheCour tofAppeals
anduponaf fir
mingt hetri
alcourt’
sdecision,itel
ev atedthecaset ot heSupremeCour t
.
OnJuly13, 1977,theSupremeCour ti
ssuedar esolutiondeny i
ngManot ok’speti
ti
onfor
l
ackofmer i
t.Peti
ti
onerthenf i
l
edwi ththet ri
alcour t(JudgeJoseH.Tecson) ,amotion
fort
heappr ovaloft hecompany ’sexerciseofopt ionandf orsat i
sfact
ionofjudgment.
However,JudgeTecsondeni edt hemot i
onf orappr oval.Hence,thi
spet i
ti
onisfi
led.

I
SSUE:Whet
herornotr espondentJudgeTecsoncandenypet
it
ioner
’s(
landowner
)
mot
iont
oavai
lofi
tsopt
ion.

HELD:No.Ther eis, t
her ef
ore,nobasi sfortherespondentjudgetodenyt hepet i
tioner’
s
mot i
ont oav ai
lofi t
sopt iont oappr opri
atethei mprovementsmadeoni t
spr operty
.
Neithercant hejudgedenyt heissuanceofawr itofexecutionbecauset hepr i
vate
respondentwas adj udged a builderi n good fait
h oron t he gr ound of“ peculi
ar
cir
cumst anceswhichsuper v
enedaf tertheinsti
tut
ionoft hi
scase,like,forinstance,the
i
ntroductionofcertai
nmaj orrepai
rsofandot hersubstanti
alimprov ement s…”because
theoptiongivenbyl awbel ongst otheowneroft heland.UnderAr ticl
e448oft heCi vi
l
Code, t
her i
ghttoappr opri
atet hewor ksorimprovement sortoobliget heonewhobui l
t
orplantedtopayt hepr operpriceofthel andbelongstotheowneroft hel and.Theonl y
41
ri
ghtgiventothebuilderingoodfait
hist her
ightofreimbur
sementofnecessar
y
expensesfort
hepreservat
ionoft
heland;t
hebui
ldercannotcompelt
helandownert
o
sel
lsuchlandt
otheformer.

Bernar
dov .Bat
acl
an
G.R.No.L-
44606,November28,
1938,
66Phi
l.598
Laurel
,J.

FACTS:Ber nar doboughtapar celofl andf r

om Samont ewhi chwasl ocatedi nCav i
te.In
ordert hathemayt akepossessi onandoccupyt hesai dl and,hef iledacasei nt heCFI
forsuchpur poseandt hecour trender edaf avorabledeci si onf orBer nardo.Howev er
,
whenhewassupposedl yseti noccupy i
ngt hesai dl and,hef oundBat aclan.Hewas
wi t
hint hepr emi sesbecausehewasaut hor izedbyt hepr eviousowner st ocleart heland
and make t he necessar yi mpr ovement s he deems f i
t,f ur thercl aiming thatsuch
author izationwasgr antedtohi m ev ersi nce1922.Si nceBat acl anwasnotapar tyint he
fi
rstcase, Ber nardofil
edagai nsthi m asepar atecase.Ber nar dowasdecl aredownerbut
thedef endantwashel dt obeapossessori ngoodf ait
hf orwhom t hewor kdoneand
i
mpr ov ement smadebyhi m shoul dber eimbur sed.Anappealt ot hedeci sionoft he
cour twasf i
ledbybot hBer nar doandBat aclan.Thedeci sionwasmodi fi
edbyl ower ing
thepr iceoft hel andf r
om P300t oP200perhect are.Ber nar dowasgi ven30day st o
exer cisehi sopt i
on,whet hert osel lthel andt oBat aclanort obuyt heimpr ovement s
from hi m.Ber nardochoset heopt i
onwhi chwoul dr equireBat acl ant opayhi mt hev alue
oft hel andatt her ateofP200perhect are.Howev er,Batacl ani nformedt hecour tthat
hewi l
lnotbeabl etopayf ort hepr i
ceoft hel and.Thecour tt hengav eBat aclan30day s
topayt hepr iceoft hepr opertyandaf tert helapseoft heper i
od, thel andshal lbesol din
apubl icauct ion.After30day s,thel andwassol dt oTeodor oatapubl i
cauct i
on,af ter
fail
ur eofBat acl antopaywi thint heper i
odt hepur chasepr ice.

I
SSUE:WhetherornotBat
acl
anhast
her
ightofr
etent
ionov
ert
hepar
celofl
andi
n
quest
ion.

HELD:No.Bat acl
annol ongerhaslosttheri
ghtofretenti
on.Theoptionoft heowner
wasal readyexer ci
sed wherehedeci ded t
hathewi l
ljustall
ow thedef endantto
purchaset helandsucht hatBataclanwastocompl ywi t
ht heopt
ioni fhewant sto
ret
ainthel and.From t
hemomentt hathetol
dt hecourt
sofhi si
nabil
itytopayforthe
pri
ceoft heland,healr
eadylosthi
srightt
oretai
ntheland.

Hei
rsofRamonDurano,
Sr.v.Uy
G.
R.No.136456 Oct
ober24,2000,
344SCRA238
Gonzaga–Reyes,
J.

FACTS:Respondent
sst
atedt
hatsomet
imei
nAugust1970andmont
hst
her
eaf
tert
hey
42
recei
vedmi meographednot i
cesdat edAugust2,1970andsi gnedbyt hel ateRamon
Durano,Sr.
,i
nfor
mi ngthem thatt helandswhichtheyareti
ll
ingandr esidingin, f
ormerl
y
owned by t he Cebu Por t
land CementCompany ( hereaf t
er,“ Cepoc” ),had been
purchasedbyDur ano&Co. ,Inc.Thenot i
cesalsodeclaredthatt hel andswer eneeded
byDur ano & Co.f orplanti
ng t o sugarand forroadsorr esi dences,and di rect
ed
respondent
st oimmedi atel
yt urnov erthesaidlandst ot her epresent ati
vesoft he
company .Si
multaneously,t
allbamboopol eswi t
hpennantsatt het opst hereofwere
plant
edi nsomear easoft hel andsandmet alsheetsbearingt heiniti
als“ RMD”wer e
nail
edtoposts.

Asear l
yast hef
ir
stweekofAugust1970,andev enbeforemanyoft her espondent
s
recei
vednoti
cestov acate,menwhoi dent
if
iedthemselv
esasempl oyeesofDur ano&
Co.proceededtobul l
dozet helandsoccupiedbyv ari
ousr espondents,dest r
oyingi
n
thei
rwaket heplantingsand i mprovementsmadebyt her espondentst herei
n.On
September15,1970,Dur ano& Co.sol dthedisputedpr opert
yt opetit
ionerRamon
DuranoIII
,whoprocuredt heregi
strat
ionoftheselandsinhi snameunderTCTNo.T-
103andTCTNo.T- 104.

Respondent scont endedt hatthedi splayofforceandt heknownpowerandpr estigeof

petit
ioners and t heirf ami lyr est
rained them f rom di rectlyr esisting t his want on
depredationupont heirpr operty.Respondent surged t heDepar tmentofJust icet o
conductt hepr el
imi naryi nv esti
gati
on.TheRTCf oundt hatt hecasepr eponder atedi n
favorofr espondent s,who al lpossessed t heirrespect ivepor t
ionsoft hepr oper t
y
coveredbyTCTNos.T- 103andT- 104t hi
nkingt hatt heywer etheabsol ut
eowner s
thereof.Anumberoft heser espondent sall
egedt hatt heyi nher i
tedt hesepr oper ti
es
from theirpar ents,whoi nt urninher i
tedthem f r
om t hei rownpar ent s.Someot hers
camei ntot hepr oper ti
esbypur chasef rom t
hef ormeroccupant sther eof .Theyandt hei
r
predecessor swer er esponsi bl
ef ort heplantingsandi mpr ov ement sont hepr oper ty.
Theywer et heoneswhosoughtf orthepr operti
est obet ax-declaredi nt hei
rrespect i
ve
names,andt heycont inual l
ypai dthet axesther et
o.Respondent smai nt ainedt hatt hey
wereunawar eofany onecl aimingadv ersepossessionorowner shipoft hesel andsunt il
thebulldozingoper ationsi n1970.

Dissati
sfi
ed,petit
ionersappealedtheRTCdecisi
ont
ot heCour
tofAppeals,which,in
t
ur n,aff
ir
med t hesai d deci
sion and or
der
ed t
her
eturn oft
heproper
tyt o al
lt he
respondents-
clai
mant s.

I
SSUE:Whet
herornott
heCourtofAppealser
redi
nit
sdeci
sionor
der
ingt
hepet
it
ioner
s
t
oret
urnt
heproper
ti
estot
herespondents.

HELD:No.Theev idenceshowst hatrespondentssuccessfullycompli

edwi thallthe
requir
ementsf oracqui si
ti
veprescr
ipti
ont osetin.Thepr operti
eswer econveyedt o
respondentsbypur chaseorinheri
tance,andineachcaset herespondent
swer ei n
actual
,continuous,openandadv ersepossessionoft hepr opert
ies.Theyexercised
ri
ghts ofowner ship ov erthe l
ands,includi
ng the r
egularpay mentoft axes and
i
ntroducti
onofpl antingsandimprovements.Theywereunawar eofanyoneclai
mingt o
43
bet heowneroft hesel
andsot
herthanthemselv
esunti
lthenoti
cesofdemolit
ionin
1970- -
-andatt het i
meeachofthem hadal
readycompl
etedtheten-
yearpr
escr
ipti
ve
peri
odei therbyt hei
rownpossessi
onorbyobt aini
ngf
rom thepossessi
onoft hei
r
predecessors-
in-
inter
est
.

Furthermore,apur chaserofapar celofl andcannotcl osehi sey est of act

swhi ch
shouldputar easonablemanuponhi sguard,suchaswhent hepr opertysubjectofthe
purchasei si
nt hepossessionofper sonsot herthanthesel l
er.Abuy erwhocoul dnot
havef ail
edtoknowordi scov ert
hatt hel andsol
dt ohim wasi ntheadv ersepossession
ofanot heri
sabuy erinbadf ait
h.Int hecase,respondentswer einopenpossessi onand
occupancyoft hepr oper
ti
eswhenDur ano&Co.supposedl ypurchasedt hesamef r
om
Cepoc.Pet i
ti
oners made no at temptt oinvesti
gat
et he nature ofr espondents’
possessionbeforetheyordereddemol iti
oninAugust1970.

Inthesamemanner ,t
hepurchaseoft hepr opertybypet i
ti
onerRamonDur anoI I
Ifr
om
Durano&Co.coul dnotbesaidtohav ebeeni ngoodf ait
h.Itisnotdisput
edt hatDurano
II
Iacquiredt
hepr oper
tywithfullknowledgeofr espondents’occupancythereon.There
evenappearstobeunduehast eintheconv eyanceoft hepropertytoDuranoI I
I,asthe
bull
dozingoperat
ionsbyDur ano&Co.wer estillunderwaywhent hedeedofsal eto
DuranoI I
IwasexecutedonSept ember15,1970.Ther eisnotev enani ndicati
onthat
Durano&Co.at t
emptedt otransferregist
rat
ionoft hepr opert
yi nitsnamebef or
eit
conveyedthesamet oDuranoIII
.

Si
ncepet
it
ioner
sknewful
l
ywel lt
hedefecti
nthei
rti
tl
es,
theywer
ecor
rect
lyhel
dbyt
he
Cour
tofAppeal
stobebui
lder
sinbadfait
h.

TheCi
vi
lCodepr
ovi
des:

Art
.449.Hewhobuil
ds,
plantsorsowsinbadfai
thont
hel
andofanot
her
,loseswhati
s
bui
lt
,pl
antedorsownwi
thoutri
ghtofi
ndemnit
y.

Art
.450.Theowneroft helandonwhi chanyt
hinghasbeenbui l
t,pl
antedorsowninbad
fai
thmaydemandt hedemolit
ionofthework,ort
hattheplanti
ngorsowi ngberemoved,
i
nor dert orepl
acethi
ngsint hei
rformercondit
ionattheexpenseoft heper
sonwho
bui
lt,plant
edorsowed;orhemaycompelt hebui l
derorplant
ert opaythepri
ceofthe
l
and, andthesowertheproperrent
.

Art
.451.Inthecasesoft hetwo precedi
ng ar
ti
cles,t
hel
andowneri
sent
it
led t
o
damagesf
rom t
hebui
lder
,pl
anterorsower.

Basedont heseprovisi
ons,theowneroft helandhast hreealt
ernat
iverights:(1)t o
appropri
atewhathasbeenbui l
twit
houtanyobligat
iontopayindemnitytherefor,or(2)
todemandt hatt
hebui l
derr
emov ewhathehadbui l
t,or(
3)tocompelthebui ldertopay
thevalueoft heland.Inanycase,thelandownerisenti
tledtodamagesunderAr ti
cle
451.

44
TheCourtsust
ainstheretur
noft heproper
ti
estorespondent
sandt
hepay
mentof
i
ndemni
tyasbeinginaccor
dwi t
htherel
i
efsundert
heCivi
lCode.

Ball
atanv.CourtofAppeal
s
G.R.No.125683,March2,1999,
304SCRA34
Puno,J.

FACTS:Bal lat an,Mar ti

nezandLi ngar et heowner sofadj acentl otsinMal abon,Met ro
Mani la.LotNo.24,414squar emet ersinar ea,i sr egisteredi nt henameofpet i
tioners
EdenBal lat anandspousesBet tyMar ti
nezandChongChyLi ng.Lot sNos.25and26ar e
registeredi nt henameofr espondentGonzal oGo,Sr . OnLotNo.25,r espondent
Winst onGo, sonofGonz aloGo, Sr.,construct edhi shouse.Adj acenttoLotNo.26i sLot
No.27,r egi st er edi nthenameofr espondentLiChi ngYao.I n1985,pet it
ionerBal l
atan
const ruct edherhouseonLotNo.24.Dur ingt heconst ruction,shenot i
cedt hatt he
concr etef enceandsi depat hwayoft headj oininghouseofr espondentWi nstonGo
encr oached ont heent irel engt hoft heeast er nsi deofherpr oper ty.Herbui l
ding
cont ractori nf or medhert hatthear eaofherl otwasact ual l
yl esst hant hatdescr i
bedi n
the t i
tle.For thwi th,Bal l
atan i nformed r espondentGo oft his discr epancyand hi s
encr oachmentonherpr oper ty.Go,howev er,claimedt hathi shouse,i ncludingi tsf ence
andpat hway ,wer ebui l
twi thint hepar amet ersofhi sf ather '
sl ot;andt hatt hislotwas
survey edbyEngi neerJoseQueddi ng, t
heaut horizedsur veyoroft heAr anetaI nstit
ut eof
Agr i
cul ture( AI A) ,theowner -dev el
operoft hesubdi v i
sionpr oj
ect .SoBal l
atancal ledt he
attent i
onoft heI AIandaf t
eranot hersur veyoft hel and,Engi neerQueddi ngf oundt hat
thel otar eaofpet i
ti
onerBal l
at anwasl essbyf ew met ersandt hatofr espondentLi
ChingYao,whi chwast hreel otsaway ,incr easedbyt womet ers.Engi neerQueddi ng
declar edt hathemadeav eri
ficat i
onsur veyofLot sNos.25and26ofr espondent sGoi n
1983andal l
egedl yf oundt heboundar i
est ohav ebeeni nt heirproperposi t
ion.He,
howev er ,coul dnotexpl ainther educt i
oni nBal latan'sar easi ncehewasnotpr esentat
thet imer espondent sGoconst ructedt heirboundar ywal l
s.

On10June1985,pet iti
onerBal l
atanmadeawr i
tt
endemandonr espondentsGot o
remov eanddismantl
et hei
rimpr ovementsonLotNo.24butGor efused.SoBallat
an
i
nstitut
edagainstGoaci vilcasef orrecov
eryofpossessi
ont heRTC ofMal abon
decidedinfav
orofBal l
atan,orderi
ngtheGo'stovacat
ethesubjectportionofLotNo.
24,demolisht
heiri
mpr ovementsandpaypet i
ti
onerBal
l
atanact
ualdamages, att
orney'
s
feesandthecostsofthesuit.Goappealed.

I
SSUE:Whet
herornotBal
l
atanhav
ear
ightofr
emot
ion.

HELD:Allthepart
ieshav eactedingoodfai
thsoAr t
icl
e448mustappl y.Peti
ti
onersar
e
order
edtoexer ci
sewi t
hint hi
rt
y(30)daysfrom f
inali
tyofthedecisi
ont hei
ropti
onto
ei
therbuyt heport
ionofr espondent
sGo'simprovementont hei
rLotNo.24,orsel lt
o
saidrespondentst he port
ion ofthei
rland on which the i
mprovementst ands.If
peti
ti
onerselectt
osellthelandorbuytheimprovement ,
thepurchasepricemustbeat
45
theprevail
ingmar ketpriceatt het i
meofpay ment.I
fbuy i
ngthei mprov ementwi l
lrender
respondentsGo'shouseusel ess,thenpet i
ti
onersshouldselltheencr oachedpor ti
onof
thei
rlandt orespondent sGo.I fpeti
tionerschooset osellt
hel andbutr espondentsGo
areunwi l
l
ingorunabl et obuy ,thent helatt
ermustv acatethesubj ectpor tionandpay
reasonablerentf r
om t het i
mepet iti
onersmadet heirchoiceupt othet imet heyactuall
y
vacatethepr emises.Buti fthev alueoft helandisconsiderablymor et hant heval
ueof
theimprov ement ,thenr espondent sGomayel ecttoleaset heland,inwhi chcaset he
parti
esshal lagreeupont het erms,thel ease.Shouldtheyf ai
ltoagr eeonsai dterms,
thecourtofor i
gini sdirectedt ofixthetermsoft helease.

46
SpousesDelOcampov.Abesia
G.R.No.L-
49219,
Apri
l15,1998,160SCRA379
Gancayco,
J.

FACTS:Pl ainti
ffs– spousesConcepci onFer nandezandEst ani
slaoDelCampoand
defendantBer nardaFernandezAbesi aareco-owner sofparceloflandwithanar eaof
45squar emet ersanddi v
idedinthepr oport
ionof2/ 3and1/3shareeach, respectiv
el y.
Acommi ssi
oner ,whoisappointedbyt hecour t
, conduct
edasurveyandr ecommended
thatthepropertybedivi
dedi nt
ot wolots:Lot1161–Awi thanareaof30squar emet er s
fortheplai
ntif
f sandLot1161–Bwi thanar eaof15squar emetersforthedef endant s.
Howev er,i
twasshowni nt hesketchplanthatt hehouseofthedefendantoccupi edt he
porti
onwi t
hanar eaof5squar emet ersofLot1161–Aofpl ai
nti
ff
s.Thepar ti
esasked
thecourttof i
nall
ysettl
eandadj udicat
ewhoamongt hepar
ti
esshouldtakepossessi on
ofthe5squar emet ersofland.

ISSUES:
1.)Whet herornotArti
cle448oft heCi v
ilCode,ther
ight
sofabui l
deri
ngoodfaith,
shouldbeappliedt
othepl ai
nti
ff
-spousesDelCampo.
2.)Whet herornott he house oft he defendantAbesi
a shoul
d be r
emoved and
demolishedatthei
rexpense.

HELD:1. )Yes.Ar t
icle448oft heCivi
lCodecannotappl ywhereaco- ownerbui l
ds,
plantsorsowsont helandownedi ncommonf orthen,hedi dnotbuild,plantorsow
uponl andt hatexclusiv
elybelongstoanot herbutofwhi chhei saco- owner .Theco-
owneri snotat hirdper sonundertheci r
cumstances,andt hesit
uationisgov ernedby
the rules ofco- ownership.Howev er,when,as i nt hi
s case,the co- ownershipi s
terminatedbyt hepar ti
tionandi tappearsthatthehouseofdef endantsov er
lapsor
occupiesapor t
ionof5squar emet er
soft helandper taini
ngtopl ai
nti
ffswhi chthe
defendant sobvi
ousl ybuilti
ngoodf ait
h,thentheprov i
sionsofArticl
e448oft henew
Civi
lCodeshoul dappl y.Manr esaandNav arroAmandiagr eethatthesaidpr ovisi
onof
theCi vilCodemayappl yevenwhent her
ewasco- ownershipifgoodf ait
hhasbeen
establi
shed.

2.)Itdepends.Appl y
ingAr ti
cle448oft heCiv i
lCode,t hepl aint
iffshav ether i
ghtt o
appropr i
atesaidpor tionoft hehouseofdef endant suponpay mentofi ndemni t
yt o
defendant sasprovidedf orinAr t
icl
e546oft heCivilCode.Ot herwise,theplainti
ffsmay
obli
get hedefendant st opayt hepr i
ceofthelandoccupi edbyt heirhouse.Howev er,i
f
thepriceaskedf orisconsi derablymuchmor ethant hevalueoft heport i
onoft hehouse
ofdef endantsbui l
tt hereon,t hent helatt
ercannotbeobl i
gedt obuyt hel and.The
defendantshal lthenpayt her easonabl
er enttot hepl aint
iffsuponsucht ermsand
condit
ionst hattheymayagr ee.I ncaseofdi sagreement ,t
het r
ialcourtshal lfi
xt he
ter
mst hereof
.Ofcour se,defendant smaydemol i
shorr emov et hesaidpor ti
onoft hei
r
house, atthei
rownexpense, i
ft heysodecide.

47
Pacif
icFar
msI nc.v
.Esguer
ra
G.R.No.L-
21783,November29,
1969,
30SCRA684
Castr
o,J.

FACTS:OnOct ober1,1956t oMar ch2,1957t heCompanysol danddel i

ver
edl umber
and const ruction mat eri
alst ot heI nsularFar msI nc.whi ch thel atterused i nthe
constr uctionoft hesibui ldingsati t
scompoundi nBol inao,Pangasi nan,oft hetot al
procur ement pr i
ce of P15, 000. 00,t he sum of P4, 710.18 has not been pai d.
Consequent l
y, t
heCompanyi nstitutedaci v
ilcaset or ecovertheunpai dbalanceandt he
courtsust ainedt heirclaim.Thedef endantsher ifflev i
edt hsi xbuildings.ThePaci f i
c
Farms,I nc.f i
ledasui tagainstt heCompanyandt hesher if
fasser ti
ngowner shipov er
thelev iedbui ldingswhi chithadacqui redf rom theI nsularFar msbyv i
rtueofabsolut e
saleexecut edonMar ch21, 1958.Paci fi
cpr ayst hatthej udicialsal
eoft hesixbuildi
ngs
bedecl arednul landv oi
d.Thet rialcour trenderedj udgmentannul l
i
ngt helevyandt he
certi
ficateofsal e.Howev er,itdeni edt heplaintiff'
scl aimf oractualandexempl ar y
damagesont hegr oundthati twasnot" preparedt of indtherewasgr ossnegligenceor
badf aithont hepar tofanydef endant s"
.

ISSUE:Whet
herornottheappl
i
cat
ionbyanal
ogyoft
her
ulesofaccessi
onwoul
d
suff
icef
oraj
ustadj
udi
cat
ion.

HELD:Arti
cle447oft heCi vi
lCodecont empl atesapr i
ncipalandanaccessor y;
theland
bei
ngconsider edt heprincipal,andthepl anti
ngs, constr
uct ionsorworks,t
heaccessory.
Theowneroft hel andwhoi ngoodf ai
th-whet herper sonal
lyorthroughanother-
makesconst ructionsorwor kst her
eon,usi ngmat eri
alsbel ongi
ngt osomebodyel se,
becomestheowneroft hesai dmat er
ialswi t
ht heobl i
gationhowev erofpayi
ngfortheir
val
ue.Ontheot herhand, theowneroft hemat eri
alsisentitledtoremovethem,provi
ded
no subst
antiali njuryis caused t othe l andowner .Ot her wi
se,he has the r
ightto
rei
mbursementf orthev al
ueofhi smat eri
als,

Applyi
ngarti
cle447byanal ogy,theCour tconsiderthebuil
dingsast heprincipalandthe
l
umberandconst r
uctionmat eri
alst hatwenti nt
ot hei
rconstructi
onast heaccessor y
.
Thustheappel l
ee,i
fitdoesownt hesixbui l
dings,mustbeart heobl i
gationtopayf or
thevaluesoft hesaidmat erial
s;t heappellant— whi chappar entl
yhasnodesi r
et o
removethemat eri
als,
and,eveni fi
twer emi ndedt odoso,cannotr emov et hem wit
hout
necessari
l
ydamagi ngt hebuil
dings— hast hecor r
espondingrighttorecov erthevalue
oftheunpaidlumberandconst ructi
onmat er
ial
s.

Pecsonv .CourtofAppeal
s
G.R.No.115814, May26,1995,
244SCRA407
Davide,
Jr .J.

FACTS:Pedr
oPecsonownedacommer ci
all
otsit
uat
edinKamiasstreet,QuezonCit
y,
onwhichhebui
l
taaf our
-door
,two-
stor
eyapart
mentbui
l
ding.Butbecauseoffail
uret
o
48
payr ealt
ytaxesamount i
ngt oP12, 000.00,t hecommer ciallotownedwassol data
publicauct i
on.I twaspur chasedbyNepomuceno,whi chl atersoldt hesamet ot he
Nugui dspousesf orP103, 000onOct ober12,1983.Pecsont henchal lengedt hesal e,
all
egi ngthattheapar tmentbui l
ding,cont rarytot heclai
m oft heNugui dspouses,was
noti ncludedint hesal e.Thel owercour tjudgedi nfavorofPecson,decl ari
ngt hatt he
apartmentbui ldingwasi ndeednoti ncludedi nt hesubjectsal e.TheCour tofAppeal s
affi
rmedt hesame.TheSpousesNugui dt henf i
ledamot i
onf ordeli
veryofpossessi on
oft hel otandt heapar tmentbui l
ding.Thel owercour tr ul
edi nf avoroft hepr ivate
respondent s,butsubj ecttot her eimbur sementt oPecsonoft hecostofconst ructing
theapar t
mentbui l
dingmi nust her entsduet ot hespouses( calcul
atedatP21, 000f r
om
June23, 1993t oSeptember23, 1993) .Wi ththesai ddecisi
onathand, thespousest hen
madeamov etoej ectPecsonandaswel last hetenantsresidingtherein.Howev er,
t he
spouseshav ey ett
opayPecsonf ort heconst ructioncosts.

ISSUE:WhethertheNuguidSpousescanej
ectPecsonev
eni
frei
mbur
sementhasn’
t
beengiv
enfortheconst
ruct
ioncost
s.

HELD:No.TheCour trul
edt
hatsincethespousesst i
llhaven’
trei
mbursedPecsonfor
thecostofconstr
ucti
onofthebuil
ding,thelat
terhasther i
ghttoret
aintheproper
ty,
andalongwi
thit,
thefr
uit
sofwhi
chdur ingsuchpossession.

Thecour truledt hatthoughAr t

icle448donotappl yi nt hecaseatbar .Byi tsclear
l
anguage,Ar ticl
e448r eferst oal andwhoseowner shipi scl ai
medbyt woormor e
parties, oneofwhom hasbui ltsomewor ks,orsownorpl antedsomet hing.Thebui ldi
ng,
sowi ngorpl antingmayhav ebeenmadei ngoodf aithori nbadf ai
th.Asi nt hiscase,
sincet heownerhi mselfwast heonewhoconst ructedt hei mpr ovement ,goodf ai
thand
badf aithbecomesi r
rel
ev ant.Howev er,byanal ogy ,t hei ndemni tymaybeappl i
ed,
consi der i
ngt hatt hepr i
mar yi ntentofAr ti
cle448i st oav oidast ateoff orcedco-
owner shipandt hatthepar t
iesagr eet hatAr t
icl
es448and546oft heCi vilCodear e
appl i
cabl eandi ndemni tyfort hei mprov ement smaybepai d,althought heydi fferast o
thebasi soft hei ndemnity.Sincet hespouseshav eopt edt oappr opriatet heapar t
ment
building,Pecsoni sthusent i
tledt ot hepossessi onandenj oymentoft heapar t
ment
building,untilhei spaidt hepr operi ndemni ty,aswel lasoft hepor t
ionoft hel otwher e
the bui l
ding has been const ructed.Thi si s so because t he r i
ghtt or etaint he
i
mpr ov ement swhi lethecor r
espondi ngi ndemnityi snotpai di mpliest het enancyor
possessi oninf actoft hel andonwhi chi tisbuilt,plantedorsown.  Thepet iti
onernot
hav i
ngbeensopai d,hewasent i
tl
edt or etainowner shipoft hebui ldi
ngand, necessarily
,
thei ncomet herefrom.

49
TechnogasPhil
ippi
nesManufactur
ingCorpor
ati
onv
.Cour
tofAppeal
s
G.R.No.108894,Febr
uar
y,10,1997,268SCRA5
Panganiban,
J.

FACTS:Technogaspur chasedapar celoflandf r

om ParizI
ndustri
es,I
nc.Inthesame
year,EduardoUypur chasedt helandadj acenttoit. Thefoll
owingy ear
,Uybought
anotherl
otadj oi
ningthelotofTechnogas.Por ti
onsofthebuil
dingsandwallboughtby
Technogast ogetherwiththelandfrom Par i
zIndustr
iesareoccupyi
ngapor t
ionofUy ’
s
adjoi
ningland.Theknowl edgeofsomeencr oachmentwasonl ymadeknownt oboth
parti
esafterthei
rpart
iesoft hei
rrespecti
vepar cel
sofland.

ISSUES:
1.)Whetherornotpet
it
ionerTechnogasPhi
l
ippinesisapossessorinbadfai
th.
2.)Whetherornotpeti
ti
onerTechnogasPhil
ippineshassteppedintotheshoesoft
he
sel
ler
.

HELD:1. )No.Unl essonei sv ersedi nt hesci enceofsur veying,noonecandet ermi ne

thepreciseextentorl ocationofhi spr oper t
ybymer elyexami ni
nghi spapert i
tle.Ther e
i
snoquest ionint hatwhenTechnogaspur chasedt helandf r
om Par i
zI ndust r
ies,t he
buil
dingsandot herst ructureswer eal readyi nexist
ence.Fur thermor e, i
tisnotcl earas
towhoact uall
ybui ltt hesest ruct uresbuti tcanbeassumedt hatt hepr edecessor -i
n-
i
nterestofTechnogas,Par izI ndust ri
es,di dso.Anar ti
cle527oft heNew Ci v
ilCode
presumes good f aith. Si nce no pr oofexi ststo show t hatt he builderbui ltt he
encroachingst r
uct uresi nbadf aith,thest ructuresshouldbepr esumedt ohav ebeen
buil
tingoodf ait
h.Goodf ait
hconsi stsi nt hebeliefofthebui ldert hatthel andhei s
buil
dingoni shis,andhi si gnor anceofanydef ectorf l
aw i nhist itl
e. Fur thermor e,
possessionacqui redi ngoodf ai
thdoesnotl osethischaracterexcepti ncaseandf rom
themomentf actsexi stwhi chshowt hatt hepossessori snotawar et hathepossesses
thethingimproper lyorwr ongfully.Thegoodf ait
hceasesf rom themomentt hedef ects
i
nt het i
tlearemadeknownt ot hepossessor ,byext r
aneousev idenceorbysui tf or
recoveryofthepr oper tyoft het r
ueowner .

2.)Yes.Hasbeenshown,cont rar
yast ot hegoodf ait
hofTechnogashasnotbeen
overt
hrown.Si mil
arly
,upondel iver
yoft hepr opertyt oPar izIndust r
ies,assel ler,to
Technogas,asbuy er,t
hel att
eracqui red owner shi
p oft hepr oper t
y.Consequent ly
,
Technogasi sdeemedt ohavest eppedintot heshoesoft hesel l
erwi thregar
dt oal lthe
ri
ghtsofowner shipofthepr opertyov ert heimmov ablesol d,includingther ightt o
compelUyt oexer ci
seei
therofthet woopt i
onsunderAr ti
cle448oft heNewCi vilCode.
Thus,thelandowner ’
sexerci
seofhi sopt ioncanonl yt akepl aceaftert hebuil
dershal l
havetoknowt heintr
usi
on–i nshor t,whenbot hpar t
iesshal lhavebecomeawar eofi t
.
Onlythenwi l
ltheoccasionforexer cisi
ngt heoptionar ise,foritisonl ythenthatbot h
part
ieswil
l havebeenawaret hatapr obl
em existswi t
hr egardt otheirpropert
yright s.

50
Pl
easantvil
leDevel
opmentCor
porat
ionv
.Cour
tofAppeal
s
G.R.No.79688,Februar
y1,
1996,
Panganiban,J.

FACTS:On Mar ch 26,1974,Wi lson Kee on i nstallmentLot8 f rom C.T.Tor res

EnterprisesInc.theexclusiverealest ateagentofpet it
ioner.Undert heContracttoSell
oni nstallment.Keecanexer cisepossessi onov ert hepar celofl andev enbeforet he
compl etionofi nstal
lmentpay ment s.OnJanuar y20,1975,Keepai dCTTEIr el
ocation
feeofPhp50. 00andanot heronJanuar y27,1975f ort hepr eparati
onoflotplan.These
amount swer epai dbyKeebef or ehet ookpossessionofLot8.Af terthepreparati
onof
thelotpl anandacopywaspr esent edt oKee,Zenai daOct aviano,employeeofCTTEI
accompani edDonnabel l
eKeet hewi f
eofWi l
sonKeet oinspectLot8.Unf or t
uantely
,
Octavianopoi ntedLot9.Ther eaf t
er ,Keeconst r
uct edhi sr esi
denceont hesaidLot9
togetherast ore,repai
rshopandot heri mpr
ovement s.

Edit
hRobill
opurchasedfrom Pleasantvi
l
leDev el
opmentCor por ati
onLot9.Somet i
mei n
1975,shesoldthesaidparcelofl and,Lot9,t oEldredJardinicowhi chatthatti
mei s
vacant.Uponpay i
ngcompl etelyt oRobill
o,Jar di
nicosecur edf r
om t heRegisterof
DeedsofBacolodCityonDecember19, 1978Tr ansferCert
ifi
cat eofTitl
eNo.106367i n
hisname.Itwasonl ythatt
imet hathedi scoveredthatWilsonKeet akepossessionof
thatlotandthatthesamehav ei nt
roducedi mprovementst ot hesamel ot.Jardini
co
confr
ontedKeeandt ri
edtoreachf oranami cabl
eset tl
ement,butfail
ed.

OnJanuar y30, 1981,Jardi

nico,t
hroughhi sl
awy er,demandedt hatKeev acat
eLot9and
remove allt he improvement sintroduced byt he latt
er.Kee refused which made
Jardi
nico fi
led witht he MunicipalTr i
alCourti n Citi
es,Branch 3,Bacolod Cit
ya
complaintforej ectmentwi thdamagesagai nstKee.Kee,i nt urnf i
l
edat hi
rd-
part
y
complaintagainstPleasantvi
ll
eDev elopmentCor porationandCTTEI.

TheMTCChel dt hattheerroneousdeli
verywasat tr
ibut
abl
etoCTTEIandt heKeehas
nor ightstoLot9becauseoft her
escissi
onmadebyCTTEIoft heircont
ractduet o
Kee’sf ai
luret
opayt heinstall
ment.MTCC alsohel dthatKeemustpayr easonable
rentalfortheuseofLot9andf ur
thermorehecannotcl aimr ei
mbursementfort he
i
mpr ovementsintroduced by him.On appeal,t he Regi
onalTrialCourtheldt hat
Pleasantvil
l
eandCTTEIwer enotnegligentandthatKeewasi nbadfai
th.

Keeappealeddirectl
yt otheSupremeCour twhichreferr
edthematt
ertotheCourtof
Appeals.TheAppell
ateCour tovert
urnedt
her ul
ingoft heRTCandhel
dtheKeewasa
bui
lderingoodf ai
thandt heerr
oneousdeli
verywasat t
ri
but
abl
etothenegl
igenceof
CTTEI.Hencetheinstantpeti
ti
onfil
edbyPleasantv
il
le.

ISSUES:
1.)Whet
herornot,
Wil
sonKeei sabui
lderi
ngoodfai
th.
2.)Whet
herornotpet
it
ioneri
sli
abl
efortheact
sofit
sagentCTTEI
.

HELD:1.
)Pet
it
ionerf
ail
stoper
suadet
heCour
ttoabandont
hef
indi
ngsandconcl
usi
ons
51
oftheCour tofAppealst
hatKeewasabui l
deringoodfaith.Goodf aithconsist
sint he
beli
efoft hebui
ldert
hatthel
andheisbuil
dingonishi
sandhi signor anceofanydef ect
orflawi nhisti
tl
e.Andasgoodfait
hispresumed,peti
ti
onerhast hebur denofpr oving
badf ai
thont hepartofKee.Att
hetimehebui l
timprovementsonLot8,Keebel ieved
thatsai dlotwaswhatheboughtf rom peti
ti
oner
.Hewasnotawar et hatthel ot
deli
veredt ohim wasnotLot8.Thus,Keei singoodf ai
th.Peti
tionerf ai
l
edt opr ove
otherwise.

Todemonst rat
eKee'sbadf ait
h,petit
ionerpoi
ntstoKee'sviolati
onofpar agr
aphs22
and26oft heContractofSaleonI nst
allment
.Ithasnomer i
t.Suchv iolat
ionshaveno
beari
ngwhat soeveronwhet herKeewasabui l
deringoodfaith,thati
s,onhi sstateof
mindatt hetimehebui l
ttheimprovement sonLot9.Theseallegedv i
olati
onsmaygi v
e
ri
set opet i
ti
oner'
scauseofact i
onagai nstKeeunderthesai dcont r
act( cont
ractual
breach),butmaynotbet hebasistonegat et
hepresumpti
ont hatKeewasabui l
derin
goodf ai
th.

2.)Yes.Ther ul
ei sthatthepr i
ncipali
sresponsiblef ortheact softheagentdonewi thin
thescopeofhi saut hor
it
y ,
andshoul dbeart hedamagecausedt othir
dper sons.Ont he
otherhand, t
heagentwhoexceedshi sauthori
tyisper sonallyli
ableforthedamage.But
CTTEIwasact i
ngwi thi
nitsaut hori
tyasthesol er ealest aterepresent
ativeofpet i
tioner
wheni tmadet hedel i
veryt oKee,onl ythatinsoact ing,itwasnegl i
gent.Itist his
negligencet hatisthebasi sofpet i
ti
oner'
sl i
abili
ty ,aspr inci
palofCTTEI ,perAr ti
cl es
1909and1910oft heCivilCode.Forsuchnegl igence,t hepet i
ti
onershoul dbehel d
l
iablef ordamages.Ther ightsofKeeandJar dinicov is-a-vi
seachot her,asbui l
deri n
goodf aithandowneri ngoodf aith,r
especti
vely,arer egulatedbyl aw(i.
e.,Arts.448, 546
and548oft heCi v
ilCode) .Itwaser rorfort heCour tofAppeal st omakea" sl i
ght
modi fi
cation"intheappl i
cationofsuchl aw [byhol dingpet it
ionerandCTTEIsol idar il
y
l
iable],ont hegroundof"equi t
y".

Germini
anov .Cour
tofAppeals
G.R.No.120303,Jul
y24,1996,259SCRA344
Davide,
Jr.
,J.

FACTS:Thi si sapetit
ionforr
eviewoncer ti
orariwhichhasi tsori
ginsi
nCi vi
lCaseNo.
9214ofBr anch3oft heMunicipalTri
alCour tinCi t
ies(MTCC)i nDagupanCi tyf
or
unlawfuldetaineranddamages.Dur i
ngt hepr e-t
ri
alconference,theparti
esagreedto
confinethei ssuesto:(1)whetherther
ewasani mpliedrenewaloft heleasewhich
expiredinNov ember1985;(2)whethert helesseeswer ebuil
dersingoodf ai
thand
entit
ledtor eimbursementofthev al
ueoft hehouseandi mprovements;and(3)the
val
ueoft hehouse.

Onthefir
stissue,thecourtheldt
hatsincethepeti
ti
oner
s'motherwasnol ongert
he
ownerofthelotinquest
ionatthet
imetheleasecont
ractwasexecut
edin1978,invi
ew
ofi
tsacquisi
tionbyMariaLeeasearlyas1972,ther
ewasnol easetospeakof,much
52
l
ess, arenewalther eof.Andev eniftheleaselegall
yexisted,i
tsimpli
edrenewalwasnot
fortheper i
odst ipulatedi ntheor i
ginalcontr
act,butonl yonamont h-t
o-monthbasis
pursuantt oArticle1687oft heCi v
ilCode.Ther ef
usaloft hepetiti
oners'motherto
acceptt herentalsst art
ingJanuar y1986wast henacl earindi
cati
onofherdesi reto
ter
mi natethemont hlylease.Asr egardthepetit
ioners'all
egedfai
ledpromi set
osellto
thepr i
vaterespondent st helotoccupiedbyt hehouse,t hecourthel
dt hatsuchshould
belit
igatedinapr opercasebef oret heproperforum,notanej ectmentcasewher ethe
onlyissuewasphy sicalpossessionoft hepropert
y.

Thecour tresolvedthesecondi ssuei nthenegat i

ve,holdingthatAr ti
cles448and546
oft he Civi
lCode,whi ch al
low possessor si n good f ait
ht or ecovert he val
ue of
i
mpr ovement sandr et
ainthepremi sesuntil
rei
mbur sed, didnotappl yt
ol esseesli
kethe
priv
ater espondents,becauset hel att
erknew t hatt hei
roccupat ionoft hepremises
wouldcont inueonl yduringthel ifeoft helease.Besi des,t her i
ghtsoft hepriv
ate
respondentswer especifi
call
ygov ernedbyAr t
icle1678,whi chall
owr eimbur sementof
upt oone-halfofthevalueoftheusef ulimprovement s,orremov alofthei mprovements
shouldthelessorrefusetoreimbur se.

Ont het hi
rdissue,thecourtdeemedasconcl
usi
vethepri
vaterespondent
s'al
l
egat
ion
thatt he val
ue oft he house and i
mpr
ovement
s was P180,000.
00,ther
e bei
ng no
controvert
ingevidencepresent
ed.

Onappealbyt
hepr
ivat
erespondent
s,t
heRTCofDagupanCi
tyr
ever
sedt
het
ri
alcour
t'
s
deci
si
on.

I
SSUE:WhetherornotAr
ti
cle448orAr
ti
cle1678oft
heCi
vi
lCodeshoul
dappl
yint
he
i
nst
antcase.

HELD:I nt hiscase, bothpar ti

esadmi tthatt hel andi nquest i
onwasor i
gi nallyownedby
thepetit
ioner s'mot her .Thel andwasal legedlyacqui r
edl at
erbyoneMar iaLeebyv ir
tue
ofan ext raj
udicialf oreclosureofmor tgage.Lee,howev er,nev ersoughtawr i
tof
possession i n or dert hatshe gai n possessi on oft he pr oper tyin quest ion.The
peti
ti
oner s'mot hert hereforer emai nedi npossessi onoft hel ot.Ithasbeensai dthat
whilether i
ghttol etpr opertyi sani ncidentoft itl
eandpossessi on,aper sonmaybe
l
essorandoccupyt heposi ti
onofal andlordt ot hetenantal thoughhei snott heowner
ofthepremi seslet.Ther eisnoneedt oappl ybyanal ogyt hepr ovisionsofAr ticle448on
i
ndemni tyaswasdonei nPecsonv s.CourtofAppeal s,
becauset hesituationsoughtt o
beav oi
dedandwhi chwoul djust i
fyt heappl icationoft hatpr ov i
sion,isnotpr esentin
thi
scase.Suf fi
cei ttosay ," ast ateoff orcedco- owner ship"woul dnotbecr eated
betweent hepet it
ioner sandt hepr ivaterespondent s.For,ascor r
ect l
ypoint edoutbyt he
peti
ti
oner s,ther i
ghtoft hepr i
v aterespondent sasl esseesi sgov ernedbyAr ti
cle1678
oftheCi vilCodewhi chal lowsr ei
mbur sementt ot heext entofone- halfoft hev al
ueof
theuseful improv ement s.

I
tmustbest r
essed,however,t
hatt
heri
ghttoindemnityunderAr
ti
cle1678oftheCi
vil
Code ar
ises onl
yift he l
essoroptsto appropr
iat
et he i
mprovements.Si
nce t
he
53
peti
ti
oner
srefusedtoexerciset hatopti
onthepri
vaterespondentscannotcompelthem
torei
mbursetheone-hal
fv alueoft hehouseandimprovement s.Nei
thercantheyretai
n
thepremi
sesuntilr
eimbursementi smade.Thepr i
vaterespondents'
soleri
ghtthenisto
removetheimpr ovementswi thoutcausinganymor eimpairmentupont hepr opert
y
l
easedthanisnecessary
.

54
Agusti
nv.Int
ermediat
eAppell
ateCour
t
G.R.No.66075-
76,Jul
y5,1990,187SCRA218
Grino–Aquino,J.

FACTS:TheCagay anRi versepar atest het ownsofSol anaont hewestandTuguegar ao

ont heeasti nthepr ovi
nceofCagay an.In1919t hel andsoft heeastoft heriverwer e
coveredbyt heTuguegar aoCadast re.In1925, OCT5472wasi ssuedf orlandeastoft he
Cagay anRi verownedbyEul ogi oAgust in.Ast hey ear swentby ,theCagay anRi ver
mov edgr adual l
yeast war d,deposi ti
ngsi l
tont hewestbank.Theshi f
ti
ngoft her i
verand
sil
tati
oncont inuedunt i
l1968.I n1950,al llandswestoft her i
verwer eincludedi nt he
SolanaCadast r
e.Amongt heseoccupy i
ngl andscov eredbySol anaCadast rewer ePabl o
BinayugandMar iaMel ad.Thr ought hey ear s,theCagay anRi v
erer odedl andsoft he
Tuguegar ao Cadast r
e on i ts east ern bankamong whi ch was Agust in’
s Lot8457,
depositi
ngt heal l
uv i
um asaccr etionont hel andpossessedbyBi nayugont hewest er n
bank.Howev er,1968,af terabi gf lood,theCagay anRi v erchangedi t
scour se,returned
toits1919bedandi nthepr ocess, cutacr osst hel andsofMar i
aMel ad,Timot eoMel ad,
andt hespousesPabl oBi nay ugandGer onimaUbi nawhosel andswer etransferredon
theeast ern,orTuguegar ao,si deoft her iver.Tocul ti
v atet hosel otstheyhadt ocr oss
theriver.I
nApr il1969, whiletheMel ads, Binay ug, Urbinaandt heirtenantswer eplant i
ng
cornont heirl otsl ocatedont heeast ersi deofCagay anRi ver,Agust i
n,thehei r
sof
Baldomer oLangcay ,JuanLangcay ,andAr turoBal i
si,accompani edbyt hemay orand
somepol i
cemenofTuguegar ao,cl aimedt hesamel andsast heirownanddr oveaway
theMel ads, Binay ugandUr binaf rom t hepr emi ses.

I
SSUE:Whet
herornotowner
shi
pofaccr
eti
oni
slostuponsuddenandabr
uptchangeof
t
heri
ver
.

HELD:No.Theowner shi
poft heaccr etiontot hel andswasnotl ostuponsuddenand
abr uptchangeoft hecour seoft her i
ver(Cagay anRi verin1968or1969wheni trev er
ted
toi tsol d1919bed) ,andsepar atedort ransferr
edsai daccr etionst ot heot hersi de
(east ernbank)oft her iv
er.Ar t
icles459and463oft heNew Ci vilCodeappl yt ot hi
s
situation.Ar ticl
e459pr ov i
dest hat“ whenevert hecur r
entofar iver,creekort orr
ent
segr egatesf r
om anest at
eoni tsbankaknownpor tionofl andandt ransferittoanot her
est ate,theowneroft helandt owhi chthesegr egat edpor ti
onbel ongedr etainst he
owner shipofi t,prov i
dedt hather emov est hesamewi thi
nt woy ears.”Articl
e463
prov i
dest hat,
”whenev erthecur r
entofar iverdiv idesitselfintobr anches,l eav i
nga
pieceofl andorpar tthereofisolated,theowneroft helandr etainshi sowner ship.He
alsor etainsiti
fapor t
ionoflandi ssepar at
edf rom t heest atebyt hecur r
ent.”

Curegv.Int
ermediat
eAppel
lat
eCourt
G.R.No.73465,Sept
ember7,1989,
177SCRA313
Medial
dea,J.

55
FACTS:OnNov ember5,1982,pr iv
at er espondent sDomi ngoApost oletal .fil
eda
compl ai
ntf orqui eti
ngoft it
leagai nstpet iti
oner sLeoni daCur egetal .Thecompl aint
all
egedt hatprivater espondent s,exceptApost ol,arethel egaland/ ortheforcedheirsof
thelateDomi ngoGer ardo,andhi spr edecessor s-i
n-i
nteresthav ebeeni nact ual
,open,
peacefulandcont inuouspossessi on,underabonaf i
decl aim ofowner shipofapar cel
ofland( r
eferr
edt oast heir“ mot herland” ).Subsequent ly,thehei r
sv erball
ysol dthe
“motherland”t oApost ol.The“ mot herland”showedsi gnsofaccr etioncausedbyt he
mov ementoft heCagay anRi ver.Whenpr i
v ater espondent swer eaboutt oculti
vatetheir
“motherland”t oget herwi t
hi ts accr et i
on,t heywer e pr event ed byt he petit
ioners.
Peti
tionersallegedt hatt he“mot herland”cl aimedbyt hepr ivaterespondentsisnon-
exi
stent,t hatthe“ subjectl and”i san accr etion tot hei rr egist
ered land,and that
peti
tionershav ebeeni npossessi onandcul tivationoft he“ accreti
on”formanyy ear s
now.

I
SSUE:Whet
herornott
hepet
it
ioner
shav
ethebet
terr
ightofaccr
eti
on.

HELD:Yes.Thepet i
tionersar eenti
tledtot
heaccr eti
on.The“ subjectland”isanall
uv i
al
depositleftbyt henor thwardmov ementoft heCagay anRiverandpur suanttoAr t
icl
e
457oft heNew Ci vi
lCode:“ Tot heownersofl andadj oi
ningt hebanksofr iv
erbelong
theaccreti
onwhi cht heygr aduallyrecei
vefr
om t heeffect
soft hecurrentofthewaters.”
Howev er,t
hei ncr easei nthear eaoft hepeti
ti
oner’sland,beinganaccr eti
onleftbythe
change ofcour se ort he nor thward movementoft he Cagay an Ri verdoes not
automaticall
y become r egistered land j
ustbecause t he lotwhi ch recei
ves such
accret
ioni scov er edbyaTor renst i
tl
e.Assuch,i tmustal sobepl acedundert he
operat
ionoft heTor renssy stem.

Vi
ajarv.Cour
tofAppeal
s
G.
R.No.77294,December12,
1988,
168SCRA405
Medial
dea,J.

FACTS:The spouses Ri cardo and LeonorLadr i

do wer et he owner s ofLot7511.
SpousesRosendoandAnaTewer eal sotheregisteredowner sofapar celofland
describedint heirtitl
easLot7340oft heCadastralSur veyofPot otan.On6Sept ember
1973, RosendoTe, withtheconf ormityofhiswife,soldt hi
sl ottoAngel i
caF.Vi aj
arand
CelsoF.Vi ajarf orP5, 000.ATor renst it
lewaslaterissuedi nthelatter’
snames.Lat er,
Angel i
caVi ajarhadLot7340r elocatedandf oundoutt hatt heproper t
ywasi nthe
possessionofRi cardoY.Ladr ido.Consequent l
y,shedemandedi tsreturnbutLadr i
do
refused.Thepi eceofr ealpropertywhichusedt obeLot7340oft heCadast ralSur
veyof
Pot ot
anwasl ocatedi nbar angayGui buanogan,Pot otan,Iloil
o;thatatt het i
meoft he
cadast r
alsurv eyi n1926,Lot7511andLot7340wer esepar atedbyt heSuagueRi ver;
thatLot7340hasbeeni nthepossessi onofLadrido;t hatt heareaof14, 036sq. ms.,
whi chwasf or mer l
yt heriverbedoft heSuagueRi v
erpercadast r
alsurveyof1926,has
alsobeeni nt hepossessi onofLadr i
do;andt hattheVi ajarshav enev erbeeni nactual
phy si
calpossessi onofLot7340.On15Febr uary1974,Angel i
caandCel soViajar
56
i
nsti
tutedaci vi
lactionforrecoveryofpossessi onanddamagesagai nstRi car
doY.
Ladri
do.The t r
ialcourtrendered i
t s deci
sion i
nf avorofLadri
do,dismissing the
complaintofAngeli
caandCel soViajarwithcostsagainstt
hem,decl
ari
ngt heLadr i
dos
areentitl
edtot hepossessiont hereof.Notsat i
sfi
edwi t
ht hedeci
sion,theVi aj
ars
appeal
edt otheCour tofAppeals.TheCour tofAppealsaffi
rmedthedecisionoft he
court
.TheViajar
sf i
l
edapet i
ti
onf orr
ev i
ewoncer ti
orari
.

I
SSUE:Whet
hert
her
espondent
sar
eent
it
ledt
othel
andont
hegr
oundofaccr
eti
on.

HELD:Ar ticl
e457oft heNewCi v i
lCodepr ov idest hat“tot heowner sofl andsadj oining
thebanksofr i
ver sbelongt heaccr etionwhi cht heygr adual lyr eceivef rom t heef fectsof
thecur rentoft hewat ers.
"Thepr esumpt i
oni st hatt hechangei nthecour seoft her i
ver
wasgr adualandcausedbyaccr et ionander osion.I nt hepr esentcase,t hel owercour t
correctlyf oundt hattheev idencei ntroducedbyt heViaj ar
st oshowt hatt hechangei n
thecour seoft heSuagueRi verwassuddenort hatitoccur redt hroughav ulsioni snot
clearandconv incing.TheLadr idoshav esuf ficientlyest abl i
shedt hatf ormanyy ears
after1926agr adualaccr et ionont heeast er nsi deofLot7511t ookpl acebyact ionof
thecur rentoft heSuagueRi versot hatin1979anal luvialdeposi tof29, 912sq. ms.
mor eorl ess,hadbeenaddedt oLot7511.Theest ablishedf actsi ndicat et hatt he
easternboundar yofLot7511wast heSuagueRi verbasedont hecadast ralpl an.Fora
periodofmor et han40y ear s(bef ore1940t o1980)t heSuagueRi verov er f
lowedi ts
banksy ear lyandt heproper tyoft hedef endantgr aduallyrecei v eddeposi tsofsoi lfrom
theef f
ect soft hecur rentoft her iver .Theconsequenti ncreasei nthear eaofLot7511
duet oal luvionoraccr eti
onwaspossessedbyt hedef endant swhoset enant spl owed
andpl ant edt hesamewi t
hcor nandt obacco.Thequondam r iverbedhadbeenf i
lledby
accretiont hrought heyear s.Thel andi salreadypl ainandt hereisnoi ndicat ionont he
groundofanyabandonedr i
v erbed.Undert hel aw,accr et
ionwhi cht hebanksorr i
vers
maygr adual lyr eceivef r
om t heef fectsoft hecur rentoft hewat er sbecomest he
propertyoft heowner soft hel andsadj oini
ngt hebanks.Ther ef or
e, theaccr eti
ont oLot
7511whi chconsi stsofLot sAandBbel ongt ot heLadr idos.

Vda.DeNazarenov.Cour
tofAppeal
s
G.R.No.98045,
June26,1996,
257SCRA589
Romeo, J.

FACTS:Thesubj ectofthi
scont r
over
syisapar cel ofl
andf ormedasar esul
tofsawdust
dumpedi ntot hedr i
ed-
upBal acanasCreekandal ongt hebanksoft heCagay anriver.
Privaterespondent sSal asal
an and Rabay al eased thesubj ectlotson whi ch their
houses st ood f r
om Ant onio Nazareno,pet i
ti
oners’pr edessor-i
n-i
nter
est.Pr i
vate
respondent sal l
egedlystoppedpay i
ngr ental
s.Asar esult
,Nazar enoandpet i
ti
oners
fi
ledacasef orejectmentwi t
ht heMTCofCagay andeOr oCity.TheMTCr endereda
decisionagai nstpr i
vat
er espondentswhi chwasaf fi
rmedbyt heRTC.Af t
ersev eral
peti
t i
onsf orannul mentofjudgmentbypr ivat
er espondent swhi chwer ealldi
smissed,
thedecisionoft helowercourtwasf i
nall
yenf orcedwi t
ht heprivaterespondentsbeing
57
ejectedf rom por ti
onsoft hesubj ectl ot stheyoccupi ed.Bef oreNazar enodi ed,he
causedt heappr ovalbyt heBur eauofl andsoft hesurv eypl anwi thav iewt oper fecting
histitl
eov ertheaccr et
ionar eabei ngcl aimedbyhi m.Thesai dpet i
t i
onwaspr otest ed
bypr ivater espondent s.Af t
erconduct i
ngasur veyoft hesubj ectland,l andi nvest igator
Av el
ino l abisr ecommended t hatt he sur vey plan be cancel led and t hatpr ivate
respondent s be di rect
ed t of i
le appropr iat
e publ i
cl and appl i
cat ion cov er
ing t heir
respect i
ve por tions. Nazar eno f il
ed a mot i
on f or r econsider ation wi th t he
Under secr etar
yoft heDepar t
mentofNat uralResour cesandOI Coft heBur eauofl ands
Ignaciowhodeni edt heMot i
on.RespondentDi rect
orofl andsAbel ar doPal ador der ed
Nazar eno t ov acat ethe por t
ions adjudi cated to pr i
v ater espondent s and r emov e
what everi mpr ovement st heyhav eintroduced; healsoor deredt hatpr ivater espondent s
bepl acedi npossessi ont hereof.Apet it
ionerf i
ledacasef orannul mentoft hepr ev i
ous
decisions wi t
ht he RTC butwas di smi ssed.The CA af fir
med t he RTC deci sion
contendi ngt hatt heappr ov edoft hesur v eypl anbelongsexcl usi
velyt otheDi rect orof
l
andsandt hesameshal lbeconcl usivewhenappr ovedbyt heSecr et aryofAgr iculture
andNat ural Resour ces.

I
SSUE:Whet
herornotpeti
ti
oner
scancl
aim owner
shi
poft
hesubj
ectl
andbyv
irt
ueof
Ar
t457oft
heCivi
lCode.

HELD:No, accr etionasamodeofacqui r

ingpr oper tyunderAr t457oft heNCCr equir
es
theconcur renceoft her equi
sitesment i
onedi nt heAr ticle.Thesear ecal ledruleson
all
uv ion,whi chi fpr esenti nacase,gi vet ot heowner sofl andsadjoiningt hebanksof
ri
v ersorst reamsanyaccr et
iongr adual lyreceiv edf rom t heef fectsoft hecur rentof
wat ers.Thewor d“ current ”i
ndicat est hepar t
icipat ionoft hebodyofwat erinthef l
owof
wat ersduet ohi ghandl ow ti
de.Pet itioners,howev er ,admi tthatt heaccr eti
onwas
formedbyt hedumpi ngofboul ders,soi landot herf i
lli
ngmat er
ialsonpor tionsoft he
Bal acanascr eekandt heCagay anRi ver .TheBur eauofl andscl assif
iedt hesubj ectland
asanaccr etionar eawhi chwasf ormedbydeposi tsofsawdust .Peti
tioner ’
ssubmi ssi
on
nothav ingmett hef i
r standsecondr equi r
ement soft her ulesofal l
uv ion,theycannot
claim t he right s ofa r i
pari
an owner .The subj ectbei ng publ i
cl and i s undert he
j
ur isdictionoft heBur eauofl ands, respondentPal adisaut hori
zedt oexer ciseexecut i
ve
cont rol overanyf or m ofconcessi on,di spositionandmanagementoft hel andsofpubl i
c
domi nion.

Hei
rsofNavar
r ov.I
nter
medi
ateAppel
lat
eCour
t
G.
R.No.68166,Februar
y12,
1997,268SCRA589
Her
mosisi
ma, J:

FACTS:OnOct ober3,1946,Sinfor
osoPascual,f
il
edanappl i
cationforforeshor
el ease
coveri
ngat ractofforeshorelandi nSibocon,Balanga,Bataan,havinganar eaof
approxi
matel
y seventeen (17)hectares.Subsequently
,petiti
oners'predecessor-i
n-
i
nterest
,Emil
ianoNav arr
o,f i
l
edaf i
shpondappli
cationwiththeBur eauofFi sher i
es
coveri
ngtwentyfi
ve(25)hect ar
esoff or
eshorel
andal soinSibocon,Balanga,Bataan.
58
I
nit
ial
l
y, suchappl
i
cationwasdeniedbyt
heDi
rect
orofFi
sher
iesont
hegr
oundt
hatt
he
pr
opertyformedpartofthepubl
i
cdomain.

Somet imei ntheear l

ypartof1960,Si nfor osoPascualf l
iedanappl i
cationtoregister
andconf i
r m histit
letoaparcelofland, si
t uatedi nSibocon,Balanga,Bataan,descr
ibed
i
nPl anPsu- 175181andsai dt o hav eanar eaof146, 611squar emet er
s.Pascual
clai
medt hatthi sl
andisanaccr etiont ohi spr opert
y,si
tuatedinBar r
ioPuer t
oRi vas,
Balanga,Bat aan,andcov eredbyOr i
ginalCer ti
fi
cateofTitleNo.6830.I tisboundedon
theeast er nsidebyt heTal
isayRiver ,ont hewest ernsidebyt heBulacanRi ver
,andon
thenor t
her nsi debytheMani l
aBay .TheTal i
sayRi veraswel lastheBulacanRiverflow
downst ream andmeetatt heMani laBayt her ebydeposi t
ingsandandsi l
tonPascual 's
propertyr esultinginanaccreti
ont hereon.Si nforosoPascualclaimedt heaccreti
onas
theriparianowner .

OnMar ch25,1960, t
heDi rect
orofLands,r
epresentedbytheAssi
stantSolici
torGeneral
,
fi
l
edanopposi ti
ont heretostati
ngthatnei
therPascualnorhispredecessors-
in-
int
erest
possessedsuffi
cientti
tletothesubjectpr
opert
y,thesamebeingapor ti
onoft hepublic
domainand,therefor
e,itbelongstotheRepubli
coft hePhi
li
ppi
nes.

I
SSUE:Whetherornotthel
andsoughtt
oberegi
steredi
saccr
eti
onorf
oreshor
eland,
or,
whet
herornotsaidl andwasformedbytheactionofthetwori
ver
sofTal i
sayand
Bul
acanorbytheacti
onoftheManil
aBay.

HELD:Accr et i
onasamodeofacqui ri
ngpr opertyundersai dArti
cle457,r equir
est he
concurrenceoft hefoll
owingrequisites:(1)thattheaccumul ati
onofsoi lorsedimentbe
gradualandi mpercepti
ble;(
2)thatitbet her esultoft
heact i
onoft hewat ersoftheriver
;
and( 3)thatt helandwher etheaccret i
ont akesplaceisadjacenttot hebankoft heriver
.
Iftheaccr etionwer etobeat tri
butedt ot heact i
onofeitherorbot hoft heTal i
sayand
BulacanRi vers,thealluvi
um shoul dhav ebeendeposi tedonei therorbot hoft he
easternandwest ernboundariesofpet i
tioners'owntractofl and,notont henor t
hern
porti
ont her eofwhichi sadjacentt ot heMani l
aBay.Clearlylacking,thus,isthet hi
rd
requisi
te ofaccr eti
on,whi ch i
s,t hatt he alluvi
um is deposited on t he port
ion of
clai
mant '
sl andwhi chisadjacenttot heriverbank.

Thedisput edland, t
hus,isanaccreti
onnotonar iverbankbutonaseabank, oronwhat
usedt obet heforeshoreofManil
aBaywhi chadjoinedpetiti
oners'owntractoflandon
thenor thernside.Appl i
cantPascualhasnotpr esent edproofst oconvincetheCour t
thatthel andhehasappl i
edforr egi
str
ati
onist her esul
toft heset t
li
ngdownonhi s
regi
steredl andofsoi l
,eart
horotherdepositssoast oberightf
ullybeconsideredasan
accreti
on[ causedbyt heactionoft het worivers].Arti
cle457f i
ndsnoappl i
cabi
l
ity
wheret heaccr eti
onmusthav ebeencausedbyact i
onoft hebay .

Theconclusi
onformedbythetri
alcourtonthebasi
softheafor
egoingobser v
ationis
thatthedi
sputedl
andispartofthefor
eshor
eofMani l
aBayandt her
efore,par
toft he
publi
cdomain.Thus,t
hedisput
edpropertyi
sanaccreti
ononaseabank,Mani l
aBay
beinganinl
etoranarm oft
hesea;assuch,thedi
sputedpr
opert
yis,underArti
cle4of
59
t
heSpani
shLawofWat
ersof1866,
par
toft
hepubl
i
cdomai
n.

60
DelBancov.Int
ermediat
eAppel
lat
eCourt
G.R.No.72694,December1,
1987,156SCRA55
Paras,
J.

FACTS:I nadocumentexecut edi nt heMuni ci pali

tyofSanRaf ael
,Bul acan,onFebr uar y
11,1859,t hreebr other s,Benedi ct oPansacol a,JosePansacol aandManuelPansacol a
(knownasFr .ManuelPena)ent er edi ntoanagr eementwhi chpr ovided,amongot her s:
(1)Thatt heywi l
lpur chasef rom t heSpani shGov er nmentt hel andscompr i
singt he
IslandofCagbal it
ewhi chi slocat edwi thintheboundar iesoftheMuni cipal
ityofMauban,
Prov i
nceofTay abas( nowQuezon)andhasanappr oxi mat eareaof1, 600hectares;(2)
Thatt helandsshal lbeconsi der edaf terthepur chaseast heircommonpr oper t
y;(3)
Thatt heco- owner shipi ncludesDomi ngoAr ceandBal domer aAngul o,minorsatt hat
time r epresent ed by t heirfat her ,ManuelPansacol a( Fr.ManuelPena)who wi l
l
cont r
ibutef ort hem i nt hepr oposedpur chaseoft heCagbal it
eI sl
and; (4)Thatwhat ever
benef itsmaybeder ivedf rom t heI slandshal lbeshar edequal lybytheco- ownersint he
followingpr opor t
ion:Benedi ctoPansacol a-1/ 4shar e;JosePansacol a-1/4shar e;and,
Domi ngoAr ceandBal domer aAngul o-2/4shar eswhi chshal lbepl acedundert hecar e
oft heirfather ,ManuelPansacol a( Fr.ManuelPena) .OnAugust14,1866,co- owner s
ent er
edi ntot heact ual possessi onandenj oymentoft heI sl
andpur chasedbyt hem from
theSpani shGov er nment .OnApr i
l11,1868t heyagr eedt o modi fyt het er
msand
condi ti
onsoft heagr eementent eredi ntobyt hem onFebr uary11,1859.

Aboutonehundr edyearsl
ater,onNovember18,1968,pr ivaterespondentsbr oughta
specialact
ionforpart
it
ioni
nt heCourtofFir
stInstanceofQuezon, undertheprovisi
ons
ofRul e69oft heRulesofCour t,i
ncludi
ngaspar t
iesthehei rsandsuccessor s-i
n-
i
nterestoftheco-ownersoftheCagbali
teIsl
andi nthesecondcont r
actofco- ownership
dated Apri
l11,1968.I ntheiranswersome oft he defendants,peti
tionersher ei
n,
i
nterposedsuchdef ensesaspr escr
ipt
ion,resjudicata,exclusi
veowner ship,estoppel
andlaches.

Aftertri
alont hemer it
s,thet ri
alcour trenderedadeci siondat edNov ember6,1981
dismissingthecompl ai
nt.Themot ionforr econsiderati
onf il
edbyt heplaint
if
fs,pr
ivate
respondentsherein,wasdeni edbyt hetri
alcour tinanor derdatedFebruary25,1982.
Onappeal ,respondentCour treversedandsetasi det hedeci si
onoft helowercourt. I
t
also denied the mot i
on f orr econsiderati
on and t he supplementt o motion for
reconsider
ationfi
ledbyprivaterespondent s,init
sr esolut
iondatedOct ober15,1983.

ISSUES:
1.)WhetherornotCagbali
teIsl
andissti
llundiv
idedpropertyownedincommonbyt he
heir
sandsuccessors-
in-
int
erestoft
hebrothers,Benedi
cto,JoseandManuelPansacola.
2.)Whetherornotaprescr
ipti
onmayr uninfavorofaco- owneragai
nsthi
sco-owner s
orco-hei
rs.

HELD:1.
)Ont hef i
rsti
ssue,t
hereisnothi
nginallfouragreement
sthatsuggest
sthat
act
ualorphysicalpart
it
ionoftheIslandhadreall
ybeenmadebyei thertheori
ginal
owner
sort hei
rhei rsorsuccessor
s-i
n-i
nter
est
.Theagr eemententer
edi nt
oin1859
61
simplypr ovidesf ortheshar i
ngofwhat ev erbenef itscanbeder ivedf r
om t heisland.The
agreement ,inf act,st atest hatt heI slandt obepur chasedshal lbeconsi deredast hei r
commonpr oper ty.Int hesecondagr eementent eredi n1868t heco- owner sagr eednot
onlyont heshar ingpr opor ti
onoft hebenef itsder i
vedf r
om theI slandbutal soont he
dist
ri
but ionoft heI slandeachoft hebr otherswasal l
ocateda1/ 4por t
ionoft heIsland
withthechi ldrenoft hedeceasedbr ot her,Eustaqui oPansacol aal l
ocateda1/ 4port i
on
andt hechi l
dr enofManuelPansacol a( Fr.ManuelPena)al soallocateda1/ 4por ti
onof
theIsland.Wi tht hedi stributionagr eeduponeachoft heco-owneri saco- owneroft he
whole, andi nt hissense, overt hewhol eheexer ci sesther i
ghtofdomi nion,buthei sat
thesamet i
met hesol eownerofapor ti
on,int hei nstantcase,a1/ 4por ti
on( f
oreach
groupofco- owner s)oft heI slandwhi chi strul
yabst ract
,becauseunt i
lphy si
caldi vi
sion
i
sef fectedsuchpor t
ioni smer elyanI dealshar e, notconcretel
ydet ermi ned( 3Manr esa,
CodigoCi v
il,3rdEd. ,page486, cit
edi nLopezv s.Cuay cong,74Phi l.601;Del aCr uzv s.
Cruz,32SCRA307[ 1970] ;Felicesv s.Col egado,35SCRA173[ 1970] ,
;Dul t
rav s.CFl70
SCRA465[ 1976] ; Gatchal ianv s.Ar l
egui ,75SCRA234[ 1977].
)

Intheagr eementofJanuar y20,1907,t heheirsthatwer erepresentedagr eedonhow

theIslandwast obepar ti
tioned.Theagr eementofApr il18,1908whi chsupplement s
thatofJanuar y20,1907r evealsthatasoft hesigningofthe1908agr eementnoact ual
parti
ti
onoft heIslandhadasy etbeendone.Thesecondandf our t
hpar agraphsoft he
agreementspeaksofasur veyy ett
obeconduct edbyacer tai
nAmadeoandapl anand
descript
iony ettobemade.Vi rgi
li
oPansacol a,asonoft hesurveyornamedAmadeo
whoi sreferr
edtoi nthecont ractdatedApril18,1908ast hesurveyort owhom t hetask
ofsur veyi
ngCagbal iteIslandpur suantt osai dagreementwasent rusted,howev er
,
testi
fi
edt hatsaidcont r
act swer enev erimpl ementedbecausenobodydef r
ay edthe
expensesf orsurveyi
ngthesame.

Iti
snotenought hatt heco-
owner sagr eetosubdi
videtheproperty.Theymusthav ea
subdi
v i
sion pl
an dr awn in accordance with whi
ch theytake act ualand excl
usiv
e
possessionofthei rrespect
ivepor t
ionsi nthepl
anandt i
tl
esi ssuedt oeachoft hem
accordi
ngly(Carov s.CourtofAppeal s,113SCRA10[ 1982])
.Themechani csofactual
part
it
ionshouldf oll
ow thepr ocedurel ai
ddowni nRul e69oft heRul esofCour t.
Maganonv s.Mont ejo,146SCRA282[ 1986]).

Neit
hercansuchact ualpossessionandenjoymentofsomepor ti
onsoft heIsl
andby
someoft hepeti
tioner
sher einbeconsider
edar epudi
ati
onoft heco-ownershi
p.Itis
undi
sputedt hattheCagbal it
eIslandwaspur chasedbyt heorigi
nalco-ownersasa
commonpr opert
yandi thasnotbeenpr ovent hattheIslandhadbeenpar t
it
ioned
amongt hem oramongt hei
rheir
s.Whil
ethereisco-ownership,aco-owner'
spossession
ofhisshareisco-possessionwhi chi
sli
nkedtot hepossessi onoftheotherco-owners
(Gat
chalianvs.Ar
legui,75SCRA234[ 1977])
.

2.)Onthesecondi ssue,noprescr
ipt
ionshallruninfavorofaco-owneragainsthisco-
ownersorco-heirssol ongasheexpr essl
yori mpl
iedlyrecogni
zestheco-ownership
(Val
dezvs.Olonga,51SCRA71[ 1973],
Ter ovs.Ter
o,131SCRA100[ 1984]
).Co-owners
cannotacquire bypr escr
ipt
ion t
he shar e ofthe otherco-owner
s,absenta cl ear
62
repudi
ati
onoft heco- owner ship cl
earl
ycommuni cated t
ot heotherco- owners.An
acti
onforpartit
iondoesnotpr escri
be.Art
icl
e403oft heOldCivi
lCode, nowAr t
icle497,
provi
desthatt heassi gneesoft heco-ownersmayt akepartinthepar ti
ti
onoft he
commonpr operty
,andAr ticl
e400oft heOldCode,nowAr ti
cle494pr ovidesthateach
co-ownermaydemandatanyt imet heparti
ti
onoft hecommonpr operty,apr ovi
sion
whichimpli
est hattheactiont odemandpar ti
ti
onisimprescri
pti
bleorcannotbebar red
bylaches(Budlongv s.Pondoc,79SCRA24[ 1977])
.Anactionforparti
tiondoesnotl i
e
exceptwhent heco-owner shi
pi sproperl
yrepudi
atedbytheco-owner .

Pardellv.Bartol
ome
G.R.No.L- 4656,Nov
ember18,
1912,
23Phi
l.450
Torres,J.

63
FACTS:Pl aintif
fVi cent aOrti
zanddef endantMat i
l
deOr t
izaret hedul yr ecognized
naturaldaughtersoft hespousesMi guelandCal i
xtawhodi edinVigan, Il
ocosSur .Pri
or
tothedeat hoft hei
rmot her,sheexecut edawi l
lwher ebyMatil
deandVi centabecame
theheirsofal lherpr opert
y.Subsequent ly
,defendants,wit
houtjudicialauthor izat
ionor
extraj
udici
alagr eementt ookov ertheadmi ni
str
ati
onandenj oymentoft hepr oper t
iesas
wellascol l
ect i
onoft herents,frui
tsandpr oductsthereof.Moreov er,Mat i
ldeandher
husbandoccupi edt heupperst oreyofthehouseandt heroom ofthel owerf loorasan
off
ice.Wi t
ht his,Vi centademandedt hatshebegi venrentalpayment sbyMat i
ldein
occupy i
ngthehousesi nceshei saco- owneroft hepr opert
ynotoccupy i
ngt hesame
andassuchi sent it
ledtoitsenjoymentand/ orfr
uit
s.

I
SSUE:WhetherornotVi
cent
acancol
l
ectr
ent
alsf
rom Mat
il
dewhooccupi
esandenj
oy
t
heproper
tyaloneasaco-
owner
.

HELD:No.Thelawgrantseachco-ownert
heri
ghttousetheproper
tyf
orthepur pose
i
ntended pr
ovi
ded t
hatt he i
nter
estofthe co-
ownershi
p mustnotbe i nj
ured or
prej
udi
cedandtheotherco-owner
smustnotbepr ev
entedfr
om usi
ngitaccordingto
thei
rri
ght
s.

Matil
deoccupi edthepropert
yownedi ncommoni naccordancewi t
hthepurposefor
whichitisi nt
ended.Recordsshownopr oofthatsheneit
heroccasionedanydetri
ment
totheinterestofthecommuni typr
opert
ynorpreventedhersi
sterfr
om uti
li
zi
ngthesaid
propert
yi naccordancetoherr i
ghtasaco- ownerther
eof.Mati
ldewasexcerci
singher
ri
ghtasaco- ownerwithoutbeingprej
udici
altoVicent
awhocoul dhav eal
sooccupied
herpropertyhadshewant edto.

Eachco-ownerofapr opert
yhastherightpro-i
ndi
visoovert hewhol
epropert
yandmay
useandenj oyt hesamewi t
hnoot herli
mi t
ati
ont hant hatheshallnotinjur
et he
i
nterest
sofhi sco-owners,f
orthereasont hatunti
ladi v
isionismade,therespect
ive
partofeachholderofar i
ghtasaco-ownercannotbedet er mi
nedandeveryco-owner
exerci
sesjointownershipoverthepr o-
indivi
sopr oper
tyi naddi
ti
ont ohisuseand
enjoymentofthesame.

Carov .CourtofAppeal
s
G.R.No.L- 46001,
March25,
1982,
113SCRA10
Guerrero,J.
64
FACTS:Al fr
edoBenit
o,Mar i
oBenitoandBenj aminBenit
ower etheor
iginalco-owners
oftwopar cel
soflandsomewher einSorsogon.Sometimein1957,Mari
odi ed.Hiswif
e,
Basil
i
aLahor raandhisf at
her,Sat
urni
noBeni t
o,weresubsequentl
yappointedasj oi
nt
administ
ratorsofMari
o’sestat
ebytheCFIofSor sogon.

OnAugust26,1959,Benjami
nexecut
ed adeed ofabsolut
esaleofhisone-thi
rd
undi
videdpor
ti
onov
ersai
dparcel
sofl
andi
nfavorofher
einpeti
ti
oner
,LuzCar
oforthe
sum of10,
000.

Subsequentl
y,wi
ththeconsentofSat
urni
noBenitoandAlf
redoBeni
toasshowni
nthei
r
aff
idavi
ts,
asubdivi
siont
it
lewasissuedtopet
it
ionerLuzCaroovert
helot
.

Somet ime in May1966,when pr i

vater espondentBasi l
ia Lahor
ralearned from a
pleading sentt o hert hatpet i
tionerLuzCar o acquir
ed from Benjamin Benitot he
aforesaidone-thi
rdoft heundi videdshar eoft hesubj ectlands.Shesentt opetiti
oner
thrucounsel ,
awr i
ttenof f
ertor edeem thesai done- t
hir
dshar e.However,
thisofferwas
i
gnor edbyt hepeti
tioner.Hence, pri
vaterespondentBasi li
aLahor raf
il
edacasef orlegal
redempt i
onandsoughtt oprov ethatasjointadmi nistr
atoroft heest
ateofMarioBeni to,
shehadnotbeennot if
iedoft hesal easr equiredbyar ti
cles1620and1623oft heCi vil
Code.

Duringthehearingoft hecase,peti
ti
onerpresentedthefol
lowingsecondaryevi
denceto
provetheserviceofnot iceoft
hei ntendedsaletopossibl
er edempti
oners:(
1)affi
davi
t
ofBenjaminBeni t
oat t
esti
ngtot hefactthatthepossibl
er edempti
onerswereformal
ly
noti
fied i
n writing ofhi sint
ent i
on to sel
lhis undivi
ded share;(2)depositi
on of
Saturni
no’swidow t hatshereceivedandshowedt henoticet ohusbandbutthelatt
er
wasnoti nt
erestedt obuytheproperty.

Thetr
ialcourtr
uledi
nfav
oroft hepeti
ti
oner
.Howev
er,
thedeci
sionwasr
ever
sedbyt
he
CA.Hence,thecasewasbroughttotheSC.

ISSUE:Whetherornotco-owner
shi
ponthel ot
sinquesti
onsti
llexi
stt
her
ebyal
l
owi
ng
pri
vater
espondentBasi
li
aLahorr
atoexer
cisether
ightofl
egal
redempti
on.

HELD:Thecour theldthatasearl
yas1960, co-ownershipoft hepar
cel
soflandcov er
ed
byTCTNos.T- 609andT- 610wast erminatedwhenAl fr
edoBeni t
o,LuzCaroandt he
i
ntestateest
ateofMar ioBenit
o,representedbyadmi ni
strator
sSaturni
noBeni t
o,as
tr
usteeandrepresentati
veofthehei
rsofMar i
oBenit
o, agreedtosubdi
videtheproper
ty.
I
taddedt hatan“ agr
eementofpar t
it
ion,thoughoral
,isv ali
dandconsequent l
ybindi
ng
upont hepar
ti
es.”

Apar t
it
ionforsubdi
visi
onwasthenfi
l
edfort
hepur pose.Thi
swasaccompaniedbythe
aff
idavi
tsofAl f
redoBenit
oandSaturni
noBenit
ot ot heeff
ectthatt
heyagreetothe
segregati
onofthelandownedincommonbyt hethreeamigos.Asubdiv
isi
onpl
anwas
madeandbycommonagr eementLot1-
C,wit
hanar eaof163hectar
es,wascededto
65
pet
it
ioner
,towi
t,TCTno.T-
4978.

I
naddi t
ion,not
withst
andingtherulingintheCaram casewher einthesal
eoft he
pr
opert
yt ookpl
aceaf t
erthepart
it
ionagreement
,thecourttherei
nsaw nodif
fer
ence
wi
threspecttoaconveyancewhi
cht ookpl
acebef
orethepart
iti
onagreement
.

Regardingthecont enti
onofpri
vat
er espondentthatshewasnotnotif
iedofthesal
e,t
he
courtruledthatsincetheri
ghtoflegalredempt i
ondoesnotexistnorappl
yinthi
scase
becauseadmi tt
edlyasubdi v
isi
ont it
lehasal readybeenissuedint henameoft he
peti
ti
oneron Lot1- C sol
dt o her,itbecomes mootand academi c.Itbecomes
unnecessaryt odecidewhetherpri
vater espondentcompl
iedwiththerequi
rementsf
or
theexerciseoflegalredempti
onunderAr ti
cle1623oftheNewCi vi
lCode.

Bail
on–Casi l
aov.CourtofAppeal
s
G.R.No.78178,Apr
il15,1988,
160SCRA738
Cortes,
J.

FACTS:TheRomanCat hol i
cAr chbi shop[ sic]ofMani lawast heownerofapar celof
l
and ( LotNo.1272,Bal anga Cadast r
e)si tuated i nt he Bar rio ofPuer to Ri vas,
Muni cipali
tyofBal anga, Bataan, hav inganar eaof3, 368sq.m. ,mor eorl esscov eredby
OCTNo.14379ofdeRegi stryofDeedsf ort hepr ovinceofBat aan.Wi thr espectt oi t
s
ri
ght sov eritspr oper t
iesi nBat aan( inclusiv eofLotNo.1272) ,t hesai dchur chwas
succeededbyt heRomanCat hol i
cBi shopofSanFer nando,Pampangawhi chwas,
l
ikewi se,succeededbyCat hol i
cBi shopofBal anga—r egisteredasacor por ationon15
December1975. Pr iorther eto, oron23August1936, byv irt
ueoft heaut hor i
tygi v enhi m
byt heRomanCat holicAr chbi shopofMani l
at odonat eapor t
ionofLotNo.1272,t he
thenpar i
shpr i
estandadmi nist ratorofal lt hepr oper t
iesoft hesai dchur chi nt he
Muni cipali
tyofBal anga Bat aan,Rev .Fr .Mar i
ano Sar i
li
,execut ed an Escr itur a De
Donaci ondonat inganar eaof12. 40met ersby21. 40met ersor265. 36sq.m ( the
subjectpr operty)ofLotNo.1272t oAnadel osRey esandherhei rs, asar ewar df orher
l
ongandsat isfact oryser v
icet ot hechur ch.Heraccept anceoft hedonat i
on,aswel las
herpossessi onoft hesubj ectpr oper ty,i
si ndi catedi nt hedeedofdonat ion, whichdeed,
forunknownr easons,wasr efusedr egistrationbyt heRegi sterofDeeds.Si x( 6)y ears
l
ater,ori n1939,Anadel osRey esdi edwi thouti ssue.Nev erthel ess,bef or eherdeat h,
shehadgi vent hesubj ectpr oper tytohernephew whohadbeenl ivi
ngwi thher ,the
hereindef endant -appel l
ant[ priv at erespondent ].Thel atterimmedi atel ytookpossessi on
ofthepr opertyint heconceptofowner ,bui l
thi shouset hereonand,t hrought hey ears,
declaredt hel andf ortaxat ionpur posesaswel laspai dt het axesduet hereon.Hi s
possessi onoft hesubj ectpr oper tywasnev erdist urbedbyany bodyunt i
lpl aintif
f-
appellee[ petit
ioner ]f i
l
edt hei nst antcompl ai ntagai nsthi m on5Nov ember1985,or
mor et han49y earsaf t
ert hedeedofdonat ionwasexecut ed.

I
SSUE:Whet
herornotpet
it
ioneri
sbar
redt
orecov
ert
hepr
oper
tybyt
hedoct
ri
neof
l
aches.
66
HELD:Yes.Lachesmeanst hef ail
ureornegl ectf oranunr easonableandunexpl ained
l
engthoft ime,todot hatwhi ch,byexer cisingduedi l
igence,couldorshoul dhav ebeen
doneear l
ier;itisnegl igenceoromi ssiont oasser tar i
ghtwi t
hinar easonabl et i
me,
warrantingt hepresumpt ionthatthepar t
yent itledtoasser ti
tei t
herhasabandonedor
decli
nedt oassertit.Ithasal sobeendef inedassuchnegl ectoromi ssiont oasser ta
ri
ghtt akeni nconjunct ionwi ththel apseoft i
meandot hercircumst ancescausi ng
 
prej
udicet oanadv ersepar t
y ,aswi l
loper ateasabari nequity.Thefollowingar ethe
essentialelement sofl aches:( 1)Conductont hepar tofthedef endant,orofoneunder
whom hecl aims,gi vingr i
set othesi tuat i
oncompl ai
nedof ;(2)Del ayi nasser ti
ng
complai nant'sri
ghtafterhehadknowl edgeoft hedefendant '
sconductandaf terhehas
anoppor t
unitytosue; ( 3)Lackofknowl edgeornot i
ceont hepar tofthedef endantt hat
thecompl ainantwoul dasser ttherightonwhi chhebaseshi ssuit
;and( 4)I njuryor
 
32
prej
udicet ot hedef endanti nt heev entreliefisaccor dedtot hecompl ainant. Under
thepresentci rcumstances, alloftheaf oregoingel ement sareat t
endantint hi
scase.

Finally,we agr ee witht he r espondentCour tofAppeal st hat

,whi le pet i
ti
oneris
admi t
tedlystil
lther egi
ster edowneroft hedonat edpropert
y,andj ur i
sprudenceis
settledast ot heimprescriptibi
li
tyandindefeasibi
l
ityofaTor r
ensTitl
e,t hereisequall
y
anabundanceofcasesi nt heannal sofourjuri
sprudencewherewecat egorical
lyrul
ed
thata r egi
stered l
andownermayl ose hi
sr ightt orecoverthe possessi on ofhis
 
registeredpropertybyreasonofl aches.

Roquev .I
ntermediat
eAppell
ateCourt
G.R.No.L-75886,August30,
1988,165SCRA118
Feli
ciano,
J.

FACTS:Pet it
ionerConcepcion Roque,on 6 December1977,f i
led aCompl ai
ntf or
"Par
ti
ti
onwi thSpecif
icPerf
or mance"(docket edasCi vi
lCaseNo.5236- M)withBranch
2ofthet henCourtofFir
stI
nst anceofMal ol
osagainstrespondent
sEmest oRoqueand
theheirsofVi ct
orRoque.Inhercompl aint,pet
it
ioner(plai
nti
ffbel
ow)clai
medl egal
ownershipofanundi v
idedthree-four
ths( 3/4)port
ionofLotNo.1549,byv i
rt
ueoft he
27Nov ember1961" Bi
li
hanLubosatPat uluyan"executedinherfavorbyEmestoRoque
andVictorRoque.

I
n suppor toft hi
s claim,pet iti
oneral so pr esented an undated and unnot ari
zed
"Kasulat
angPagki lal
asaBi l
ihanPat ul
uy anngBahaguiatPagmamanasaLabasng
HukumanatPaghahat i
-hatiatAbuy anngBahagui "saidt ohavebeensi gnedbyt he
respondentsinacknowl edgmentoft heexi stenceandv al
idi
tyoftheBili
haninf avorof
peti
ti
oner.Finall
y,pet
iti
onerallegedt hat,asaco- ownerofLotNo.1549, shehadar i
ght
toseekpar t
iti
onoft hepr operty,thatshecoul dnotbecompel l
edt oremainint heco-
ownershipoft hesame.Respondent sEr nestoRoqueandt helegalhei
rsofVictorRoque,
howev er
,refusedtoacknowl edgepet it
ioner'
scl aim ofownershipofanypor t
ionofLot

67
No.1549andr
eject
edt
hepl
ant
odi
vi
det
hel
and.

I
SSUE:Whet
herornotpet
it
ionercanbecompel
l
edt
oremai
nint
heco-
owner
shi
p.

HELD:No.Ar ti
cle494oft heCi vi
lCodepr ovidesthat"noco- ownershallbeobl igedt o
remainint heco- owner ship"andt hat"eachco- ownermaydemandatanyt imet he
parti
ti
onoft hethingownedi ncommon, i
nsofarashi sshareisconcerned."Thef actson
recordclearl
yshow t hatpet i
ti
onerConcepci onRoquehadbeeni nactual,openand
conti
nuouspossessi onofat hree-
fourt
hs( 3/4)por t
ionofLotNo.1549ev ersince
executi
onoft he" Bil
ihanLubosatPat uluyan"inNov emberof1961.TheCour tnotest hat
i
twasonl yint heirAnswerwi t
hCompul soryCount er
clai
mf i
ledwiththet r
ialcour tin
Decemberof1977— mor ethansi xt
een( 16)y earslater— t hatrespondent sf i
rst
questi
onedt hegenui nenessandaut hentici
tyoft he"Bili
hanLubosatPat uluyan."Not
oncedur i
ngt hosesi xteen( 16)yearsdidrespondent scontestpeti
ti
oner'
soccupat i
onof
athree-f
ourths(3/ 4)por ti
onofLotNo.1549.

Furt
hermore,i
findeedi ti
st r
uet hatr espondent s, astheycl ai
m, aretheabsol ut
eowner s
ofthewholeofLotNo.1549, i
tismostunusual thatr espondentswoul dhav eall
owedor
tol
erat
edsuchpr olongedoccupat i
onbypet it
ionerofamaj orporti
on( 3/4)oft hel and
whil
ethey,upont heot herhand, contentedt hemsel veswi t
hoccupat ionofonl yaf ourth
ther
eof.Thi
slattercircumst ance, coupledwi t
ht hepassageofav erysubstantiallength
oftimeduri
ngwhi chpet it
ioneral lthewhi leremai nedundi stur
bedanduni nter
rupt edin
heroccupati
onandpossessi on,placesr espondent sher einlaches:respondentsmayno
l
ongerdisputetheexi stenceoft heco- owner shi pbet weenpet i
ti
onerandt hemsel ves
northevali
dit
yofpet i
tioner'
scl aim ofat hreefour ths( 3/
4)interestinLotNo.1549,as
theyaredeemed,byt heirunr easonabl ylongi nact i
on,tohav eacqui escedi nt heco-
ownershi
p.

Del
imav .CourtofAppeal
s
G.R.No.L-46296,Sept
ember24,
1991,
201SCRA641
Medial
deaJ.

FACTS:Li noDel imaacqui redal otfr

om thefri
arlands.Later
,hedied,l
eav
ingashisonly
heir
sthreebr othersandsi stersnamely:Eulal
ioDel i
ma,JuanitaDeli
ma,Gali
l
eoDel i
ma
andVicent eDel ima.Gal i
leowast hecaret
akeroft hepropert
y.Hewasabl etoexecute
anaffi
dav itadjust i
ngtohi mselftheparceloflandandwasabl et
osecuretheissuance
ofaTransf erCer t
ifi
cateofTi t
leinhisname.Thi sprompt edtheheir
sofhissibl
ingsto
fi
leaactionf orr econveyance.

I
SSUE:Whet
herornott
hepr
oper
tyi
ssubj
ectt
opr
escr
ipt
ion.

HELD:Yes.Fr
om t
hemomentoneoft heco-ownerscl
aimsthatheistheabsol
uteand
excl
usiv
eownerofthepr
opert
iesanddeni
estheother
sanysharether
ein,
thequesti
on
i
nvolved i
s no l
onger one of par
ti
ti
on but of owner
ship.In such case,the
68
i
mpr escri
pti
bili
tyoft heactionf orparti
tioncannol ongerbei nvokedorappl iedwhen
oneoft heco- ownershasadv erselypossessedt hepr opert
yasexcl usi
v eownerf ora
periodsuf f
icienttov estowner shipbypr escri
pti
on.I tissett
ledthatpossessionbyt he
co-ownerorco- hei
ri sthatofat rut
ee.I nordert hatsuchpossessi onisconsi der
ed
adv ersetot hecest uiquet rustamount i
ngt oar epudiat
ionoft heco-
owner ship,t
he
foll
owi ngelement smustconcur :1)thatt hetrusteehasper for
medunequi v
ocalacts
amount i
ngtoanoust erofcestuiquet rust;2)thatsuchposi ti
veact sofrepudiati
onhad
beenmadeknownt ot hecestuiquet rust;and3)t hattheevidencethereonshoul dbe
clearandconcl usi
ve.

Whent heco-owneroft hepropertyexecutedadeedofpar ti

tionandont hestr
ength
thereof,obt
ainedacancel l
ati
onoft het i
tl
ei nthenameoft heirpredecessorandt he
i
ssuanceofanewt it
leinhisnameast heowner, t
hestatut
eoflimi t
ati
onsst ar
tedtorun
fort hepurposesoft heact i
oninstit
utedbyt hel att
erseekingadecl arati
onoft he
existenceoftheco-ownershipandt heirri
ghtsthereaft
er.Thei ssuanceofanew t itl
e
const i
tut
edaclearactofrepudiat
ionofthet r
ustandco-ownershi p.

Aguil
arv.CourtofAppeals
G.R.No.76351,October29,1993,
227SCRA472
Bell
osi
ll
o,J.

FACTS:Pet i
ti
onerVi rgil
ioandr espondentSenenar ebr others,andwer eamongt he
sev en( 7)chil
drenoft hel ateMaxi mi anoAgui lar.I
n1969, thet wobr other spurchaseda
houseandl otinPar añaquewher et heirfathercoul dspendandenj oyhi sremaining
year sinapeacef ulneighbor hood.Init
ially
,thebr ot
her
sagr eedt hatVi r
gilio'
sshar einthe
co-owner shi
pwast wo- t
hirdswhi l
et hatofSenenwasone- thir
d.Byv ir
t ueofawr it
ten
memor andum,Virgil
ioandSenenagr eedt hathencef ort
ht heirinterest sint hehouse
andl otshoul dbeequal ,
wi thSenenassumi ngt heremainingmor t
gageobl igati
onoft he
originalowner swi t
ht heSSSi nexchangef orhispossessi onandenj oymentoft he
houset ogetherwitht heirf ather.SinceVi rgil
iowast hendi squalif
iedf rom obt aini
nga
l
oanf rom SSS, t
hebr othersagr eedthatt hedeedofsal ewoul dbeexecut edandt het i
tl
e
registeredi nthemeant imei nt henameofSenen.I twasf urt
heragr eedt hatSenen
woul dt akecareofthei rfatherandhi sneedssi nceVirgil
i
oandhi sfami lywer estay i
ngin
Cebu.

AfterMaximianoAgui l
ardiedin1974, peti
ti
onerdemandedf rom pr i
vaterespondentt hat
thelatt
ervacatet hehouseandt hatthepropert
ybesol dandpr oceedst hereofdivi
ded
amongt hem.Becauseoft herefusalofrespondentt ogivei ntopet it
ioner'
sdemands,
thelatt
erfi
ledanact iontocompelt hesaleofthehouseandl otsot hatt hetheycoul d
divi
dethepr oceedsbetweent hem.I nhiscomplaint,pet
it
ionerpr ayedthatt heproceeds
ofthesale,bedi v
idedont hebasisoft wo-t
hir
ds( 2/3)inhisf avorandone- t
hir
d(1/3)t o
respondent.Petit
ioneralsopr ayedf ormont hl
yr ental
sf ort heuseoft hehouseby
respondentafterthei
rfatherdied.Inhisanswerwi t
hcount erclai
m,r espondentalleged
thathehadnoobj ecti
ontot hesaleasl ongasthebestsel l
ingpr i
cecoul dbeobt ained;
69
thatifthesal ewoul dbeef fected,thepr oceedst her eofshoul dbedi vi
dedequal l
y ;and,
thatbei ngaco- owner ,hewasent itl
edt ot heuseandenj oymentoft hepr operty.
Render i
ngj udgmentbydef aultagai nstdef endant,f orf ail
uretoappearatpr e-t
rial,t
he
tri
alcour tfoundhi m andpl ainti
fftobeco- ownersoft hehouseandl ot,i
nequalshar es
on thebasi soft hei
rwr it
ten agr eement .Howev er ,itruled thatplaintiffhasbeen
depri
v edofhi spar ti
cipationint hepr opertybydef endant '
scont i
nuedenj oy mentoft he
houseandl ot,fr
eeofr ent,despitedemandsf orr ent alsandcont i
nuedmaneuv ersof
defendant s,todel aypar ti
ti
on.Thet rialcourtalsouphel dt herightofpl ainti
ffasco-
ownert odemandpar ti
tion.Sincepl aintif
fcoul dnotagr eet otheamountof f
eredby
defendantf ort hef ormer '
sshar e,thet r
ialcourtheldt hatt hispropertyshoul dbesol dto
at hi
rdper sonandt hepr oceedsdi videdequal lybet weent hepar t
ies.TheCAsetasi de
theorderoft hetrialcour t
.

I
SSUE:Whet
herornotpet
it
ionermaydemandpar
ti
ti
onoft
hepr
oper
ty.

HELD:Yes.Weuphol dt het ri
alcour tinr uli
ngi nf avorofpet i
ti
oner,exceptast ot he
effect ivi
tyoft hepay mentofmont hlyr ent al
sbyr espondentasco- ownerwhi chweher e
decl aret o commence onl yaf tert he t r i
alcour tor dered r espondentt ov acat ei n
accor dancewi t
hi t sor der .Article494oft heCi v
ilCodepr ov i
dest hatnoco- ownershal l
beobl igedt or emai ni nt heco- owner ship,andt hateachco- ownermaydemandatany
ti
mepar tit
ion oft het hi ng owned i n common i nsofarashi sshar ei sconcer ned.
Cor ollaryt ot hisr ule,Ar t.498oft heCodest atest hatwhenev erthet hingi sessent i
ally,
i
ndi visibleandt heco- owner scannotagr eet hatitbe,al l
ottedt ooneoft hem whoshal l
i
ndemni fyt heot her s,itshal lbesol dandi tspr oceedsaccor dinglydistributed.Thi sis
resor tedt o( 1)whent her i
ghtt opar ti
tiont hepr oper tyisi nv okedbyanyoft heco-
owner sbutbecauseoft henat ureoft hepr oper tyi tcannotbesubdi vided ori t
s
subdi v i
sionwoul dpr ejudi cet hei nt erest soft heco- owner s,and( b)t heco- owner sar e
noti nagr eementast owhoamongt hem shal lbeal l
ot t
edorassi gnedt heent ir
e
proper t
yuponpr operr eimbur sementoft heco- owner s.Howev er,beingaco- owner
respondenthast her ightt ouset hehouseandl otwi t
houtpay i
nganycompensat iont o
petitioner ,ashemayuset hepr oper tyownedi ncommonl ongasi tisi naccor dance
witht hepur posef orwhi chi tisi ntendedandi namannernoti njurioust othei nterestof
theot herco- owner s.9Eachco- ownerofpr opertyhel dpr oi ndi vi
soexer ciseshi sr ights
overt hewhol epr oper tyandmayuseandenj oyt hesamewi thnoot herl i
mi t
ationt han
thatheshal lnoti njuret hei nterest sofhi sco- owner s,ther easonbei ngt hatunt ila
divisioni smade, t her espect i
veshar eofeachcannotbedet ermi nedandev eryco- owner
exer cises,t oget herwi th hi s co- par ticipant sj ointowner ship ov erthe pr oi ndiv i
so
proper t
y,inaddi tiont ohi suseandenj oymentoft hesame.

Sincepetiti
onerhasdeci dedtoenf orcehisrightincourtt oendt heco- ownershi pofthe
houseandl otandr espondenthasnotr ef
utedt heall
egat i
onthathehasbeenpr eventi
ng
thesaleoft hepropertybyhi scontinuedoccupancyoft hepremi ses,just
iceandequi t
y
demandt hatrespondentandhi sf amilyvacat ethepr opert
ysot hatthesal ecanbe
effect
ed immedi at
ely.Inf airnesst o peti
ti
oner ,respondentshoul d paya r entalof
P1,200.00permont h,withlegalinterest;f
rom t hetimet het r
ialcour torderedhi mto
vacate,fortheuseandenj oy mentoft heot herhal foft hepr oper t
yapper tainingto
70
peti
ti
oner.Whenpet iti
onerf i
ledanactiontocompel t
hesal
eoft hepropertyandt hetri
al
courtgrantedthepet it
ionandor deredtheej ectmentofrespondent,theco- ownershi
p
wasdeemedt erminatedandt her i
ghtt oenjoyt hepossessi
onj ointl
yal soceased.
Thereaft
er,thecontinuedst ayofrespondentandhi sfamil
yinthehousepr ejudi
cedthe
i
nterestofpet i
ti
onerast hepropertyshouldhav ebeensoldandt hepr oceedsdi vi
ded
equall
ybetweent hem.Tot hisext
entandf rom thenon,r
espondentshouldbehel dliabl
e
formonthlyrental
sunt i
l heandhisfami l
yvacate.

TomasCl audi
oMemori
alCol
legev
.CourtofAppeal
s
G.R.No.124262,
Oct
ober12,
1999,316SCRA502
Quisi
mbing,J.

FACTS:JuanDeCast r
odi edi ntestat
ei n1993l eavi
ngapar celofl andl ocatedin
Morong,Ri zaltohishei r
s.Mar i
anoDeCast rooneoft hehei r
ssol dt hesaidl otto
peti
ti
onerTomasCl audi
oMemor i
alCollegebyrepr
esenti
ngt hathei sthesoleownerof
theproperty.Theotherheirsfil
edanact i
onforpar
tit
ionbeforetheRegi onalTrialCour
t
ofRizalal
legingthatthesalemadebyMar i
anoaff
ectedonlyhisundi vi
dedshar eofthe
l
otbutnott hesharesoft heot herco-owners.Pet
iti
onerfi
ledamot iontodismi ssthe
part
iti
onfort her
easont hatithasalreadybeenbarredbyprescri
ption.

TheRegionalTri
alCourtofRi zaldi
smi
ssed t
hepet
it
ioner
’smot
ion.TheCour
tof
Appeal
saffi
rmedthedeci
sion.

ISSUES:
1.)Whet
herornott
hesal
eaff
ect
edonl
ytheundi
vi
dedshareofMar i
ano
2.)Whet
herornott
heact
iont
ofi
lef
orpar
ti
ti
onhasal
readyprescr
ibed.

HELD:1. )Yes.TheCourthasconsistentl
yrul
edthatev enifaco-ownersellst
hewhol e
propertyashis,thesal
ewi l
laff
ectonl yhisownshar ebutnott hoseoft heotherco-
owner swhodi dnotconsenttothesale.Thesaleoft hewholepr oper
tybyaco- owner
doesnotmaket hesal
enullandv oi
dbuti tonlytr
ansf er
stherightstotheundi v
ided
shareoft heco-ownerwhomadet hesale.Theproperact i
oninacasel ikethi
si snot
null
if
icati
onnorrecover
ybutadivisi
onorpar t
it
ionoftheentir
eproperty
.

2.)No.Ast othei
ssueonprescript
ion,
theCi
vi
lCodeprov
idest
hatnoprescri
pti
onshal
l
l
ieinfavorofaco-ownerorco-heir
saslongasheexpr
essl
yorimpl
iedl
yrecogni
zesthe
co-ownershi
p.

Robl
esv.CourtofAppeal
s
GR.No.123509,March14,2000,
328SCRA97
Pangani
ban,J.

71
FACTS:LeonRobl esor iginall
yownedt helandwhi chwasi nheri
tedbyhi ssonSi l
vino
Robles.Thelatt ert hent ookpossessi onoft hel andanddecl arediti nhisnamef or
taxati
onpurposes.Uponhi sdeat h,thesamewasi nher it
edbyhi swi dow Mar iadel a
Cruzandhischi ldren.Thepl aintiff
sent rust
edt hepay mentoft helandt axest ot heirco-
heirandhalf-
br other ,Hi l
ar i
oTobl es.Forunknownr easons,t het axdecl arationoft he
parceloflandi nt henameofSi lvi
noRobl eswascancel ledandt ransferredt oone
ExequielBall
ena,f at herofAndr esRobl eswhoi st hewi feoft hedef endantHi l
ar i
o
Robles.Hesecur edal oanf r
om t heCar donaRur alBank,I nc.whichwasf oreclosedf or
fail
uretopayt hemor tgagedebtwher ei nthedef endantbankemer gedast hehi ghest
bidderduri
ngt heauct ionsal e.Def endantRur alBanksol dthesamet ot heSpouses
Santos.Anact ionf orqui etingoft it
lewasf i
ledbyr espondentSant os.Thepl ainti
ffs
all
egedthattheyhadbeeni npossessi onoft helandsi nce1942andi twasonl yin1987
thattheyknewaboutt hef orecl osureoft hemor tgage.TheCour tofAppeal sr ul
edt hat
becauseofthepl ai
nt if
f’sinact ionformor ethan20y ear s,prescri
ptionhadal readyseti n.

I
SSUE:Whet
herornott
heact
ionhaspr
escr
ibedi
nfav
ourofHi
l
ari
oRobl
es.

HELD:Yes.Hi l
arioef fectednocl earandev identr epudi at
ionoft heco- owner ship.Itisa
fundament alpr inciplet hataco- ownercannotacqui rebypr escripti
ontheshar eoft he
otherco- owners, absentanycl earrepudi ationoft heco- owner ship.Inorderthatt het i
tl
e
maypr escribeinf avorofaco- owner ,thef ollowi ngr equisit
esmustconcur :(1)t heco-
ownerhasper for medunequi vocalact sofr epudi ati
onamount ingt oanoust eroft he
otherco- owner s;( 2)suchposi ti
veact sofr epudi ati
onhav ebeenmadeknownt othe
otherco- owner; and( 3)t heevi
dencet her eofiscl earandconv i
ncing.Inthepr esentcase,
Hilar
iodi dnothav epossessi onoft hesubj ectpr operty;neitherdi dheexcl udet he
petit
ionersf rom t heuseandt heenj oymentt her eof,ast heyhadi ndi
sputablyshar edin
i
tsf r
uits.Likewise, hisactofent er
ingi ntoamor tgagecont r
actwi ththebankcannotbe
construedt obear epudi ati
onoft heco- owner ship.Asabsol uteownerofhi sundi vi
ded
i
nteresti nt hel and,hehadt her ightt oal ienat ehi sshar e,ashei nfactdi d.Nei t
her
shouldhi spay mentofl andtaxesi nhi sname,asagr eeduponbyt heco- owner s,be
construedasar epudi ati
onoft heco- owner shi p.Theasser tiont hatthedecl arationof
owner shipwast antamountt or epudi ati
onwasbel iedbyt hecont inuedoccupat ionand
possessi onoft hedi sput edpropertybyt hepet itionersasowner s.

Galvezvs.CourtofAppeal
s
G.R.No.157954,March24,2006
Chico–Nazar i
o,J.

FACTS:TimoteaF.Gal vezdiedint
estat
eandl eftaparceloflandi nLaUni on.Sheleft
behindherchi
ldrenUlpi
anoandpet i
ti
onerPazGal v
ez.Ulpi
anowhodi edbef oreTi mot
ea
wassur vi
ved byhi sson,pr i
vaterespondent,Porf
ir
io Galvez.Wi thr egardst othe
propert
yofTimot ea,i
tissupposedtopasst oPazandPor f
ir
io.Howev er,Porif
ir
iowas
surpri
sedtodiscoverthatPazexecutedanaf f
idavi
tofadjudicati
onst ati
ngt hatsheis
thetrueandlawf ulownerofthesaidpr oper
ty.Moreover,withouttheknowl edgeand
72
consentofPor f
ir
io,Pazsoldthepr opert
yt opetit
ionerCarlosTam forP10,000.00.Tam
thereaf
terfi
ledanappl icat
ionforregist
rationforsaidparcelofland.Subsequently
,Tam
soldtheproper t
yt oTycoonProperties,
Inc.Hav i
ngknowledgeofsuchsal e,
Porfiri
ofi
led
a compl ai
ntf orLegalRedempt ion with Damages and Cancel l
ati
on ofdocument s
againstpeti
tionerwhichwasaf fi
rmedbyt helowercourtandt heCourtofAppeal s.

ISSUES:
1.)Whet herornottheclaim ofPorf
iri
oGal v
ezwhi chisbasedonani mpli
edt rusthas
alr
eady prescr
ibed because the action was f i
l
ed 24 y ear
s afterPaz Gal vez
repudiat
edthesaidtrust
?
2.)Whet herornotthecl ai
m ofPorfir
ioGalvezwhi chisbasedonani mpl i
edt r
ustis
alr
eadybannedbyl achesbecausehef ail
edt oasserthi
sall
egedrightforalmost24
years?
3.)Whet herornotCarl
osTam andTy coonPr oper
tiesarebuyersingoodf ait
handf or
valueandhastherighttorel
yont hefaceofthetitl
e?

HELD:1. )No.Ar t
icle494oft heCi v i
lCodepr ovidest hat" apr escriptionshal lnotr uni n
favorofaco- ownerorco- heiragai nsthi sco- owner sorco- heirsasl ongasheexpr essl y
orimpl i
edl yrecogni zest heco- owner ship."Itisaf undament alprincipl ethataco- owner
cannotacqui rebypr escriptiont heshar eoft heot herco- owner s,absentanycl ear
repudi ationoft heco- owner ship.Pr escr i
ption, asamodeoft er minatingar elationofco-
owner ship,musthav ebeenpr ecededbyr epudiation( oftheco- owner shi p).Theactof
repudi ation,int urn,i ssubj ectt ocer taincondi t
ions:( 1)aco- ownerr epudi atest heco-
owner ship; (
2)suchanactofr epudi ationiscl earlymadeknownt ot heot herco- owner s;
(3)t heev i
dencet her eoni scl earandconcl usive;and( 4)hehasbeeni npossessi on
throughopen,cont inuous,excl usive,andnot ori
ouspossessi onoft hepr oper tyf ort he
periodr equiredbyl aw.I nt hiscase,wef i
ndt hatPazGal vezef fectednocl earand
evidentr epudiation oft he co- owner ship.The execut ion oft he af fidav i
tofsel f-
adjudi cationdoesnotconst itutesuchsuf fi
cientactofr epudi ationascont empl ated
undert hel awast oef fectivelyexcl udePor fi
rioGal vezf rom t hepr oper t
y.Thi sCour thas
repeat edlyexpr essedi tsdi sappr ov alov ert heobv iousbadf ait
hofaco- heirf eigning
soleowner shipoft hepr oper tytot heexcl usionoft heot herhei rsessent iallyst atingt hat
onewhoact sinbadf aithshoul dnotbeper mi t
tedt opr ofitfrom i tt othedet rimentof
other s.

2.)No.Ont hemat t
eroflaches,i
tishornbookdoctrinethatlachesi
sacr eationofequity
andi t
sappl i
cati
oniscontrol
ledbyequitabl
econsi derati
ons.Lachescannotbeusedt o
defeatjust
iceorperpetr
atefraudandinjust
ice.Neithershouldit
sapplicationbeusedt o
preventther i
ghtf
ulowner sofapr opertyfr
om recov eri
ngwhathasbeenf r
audulent
ly
regi
stered inthe name ofanot her.The equi t
abler emedyofl aches i s,therefor
e,
unavail
inginthiscase.

3.
)No.Ast opeti
ti
onersCarl
osTam andTy coonPr oper
ti
es,Inc.
’sclai
mthattheyare
buyersingoodfai
th,samefail
stopersuade.Apurchaseringoodf ai
thandforval
ueis
onewhobuy sthepropert
ywi t
houtnoti
cet hatsomeot herpersonhasar ightt
oor
i
nterestinsuchpropert
yandpay sit
sf ai
rpr i
cebeforehehasnot i
ceoftheadverse
73
claimsandi nterestofanot herpersoni nthesamepr opert
y .Soi tisthatt he"honest yof
i
nt ention"whi ch const i
tutes good f ai
thi mpli
es a f r
eedom f rom knowl edge of
circumst anceswhi choughtt oputaper sononi nqui r
y."Tam di dnotexer tef f
ortst o
det erminethepr ev i
ousowner shi
poft hepr opert
yinquest ion"andr eliedonlyont het ax
decl arat
ionsi nt henameofPazGal vez.Itmustbenot edt hatCar l
osTam r eceiveda
copyoft hesummonsandt hecompl ainton22Sept ember1994.Thi snot wit
hstanding,
hesol dt hepr oper tytoTy coonProper t
ies,Inc.on27Sept ember1994.Si gnif
icant l
y,
Car losTam i salsoanownerofTy coonPr opert
ies,Inc.totheext entof45%.Anot i
ceof
l
ispendensdat ed8Jul y1997f il
edwi tht heRegi stryofDeedsoft hePr ovinceofLa
Uni onwasi nscribedonTCTNo.T-40390.Despi tet heinscr i
ption,Ty coonPr operties,
Inc.mor tgaged t he l
and t o FarEastBank and Tr ustCompany f ort he sum of
P11, 172,600.Al ltheseattendantcir
cumst ancesnegat epetiti
oner s’claim ofgoodf aith.

Adil
levs.CourtofAppeals
G.R.No.L-45546,Januar
y29,
1988
Sarmiento,J.

FACTS:Fel isaAl zul ,whoownedapar celoflotinAl baywasmar ri

edt wice.Thef i
rstwas
withBer nabeAdi ll
ewhom shehadanonl ychi ld,her ei
npet i
ti
onerRust i
coAdill
e.The
second was wi t
h Pr ocopio Asejo whom she had t hree chil
dren,her ei
nt he pri
vat e
n3d r
respondents.I twasal l
egedt hatFelisasol dt hepr oper tyinpact oder etrot ocert
ai
persons,foraper iodofr epurchasebei ng3y ears.Howev er,shedi edwit houtbei
ngabl e
toredeem t hel ot.Af terherdeat hbutdur ingt heper iodofr edempt ion,pet i
ti
onerRustico
repurchased,byhi msel falonet hesai dl ot.After war ds,heexecut edadeedofext r a-
j
udicialpartit
ionbyhi mself.Effort
stocompr omisewer emadebutf ail
ed.Thus,hishal f-
brothersandsi ster s,priv
ater espondentsf il
edapr esentcaseofpar ti
ti
onwi t
haccounting
ont hepositiont hathewasonl yatrusteeonani mpl iedt r
ustwhenher edeemedt helot .
Mor eover,itt urned outt hatone oft he pr i
vater espondent s,Emet eri
a Asejo was
occupy i
ngapor tion.Thel owercour twasi nf av oroft hepet it
ioner;howev er,itwas
reversedbyt heCour tofAppeal s.

ISSUES:
1.)Whetherornotaco-ownercanacquir
eanexcl
usi
veowner
shi
pov
ert
hepr
oper
ty
hel
dincommon.
2.)Whetherornotpr
escr
ipt
ionhasseti
n.

HELD:1.)No.Ther i
ghtofr epurchasemaybeexer ci
sedbyaco- ownerwi thaspectt o
hissharealone.Whil
et herecordsshowt hatthepet it
ionerr
edeemedt hepr oper
tyinits
enti
ret
y,shoulder
ingtheexpensest heref
ore,t
hatdi dnotmakehi mtheownerofal lofit
.
Inotherwor ds,i
tdidnotputt oendt heexi st
ingst ateofco-ownership.Necessar y
expenses may be i ncur
red by one co- owner ,subject to hi
sr i
ght t o coll
ect
rei
mbursementf rom theremai ningco-owners.Ther eisnodoubtt hatr edemptionof
proper
tyent ai
lsanecessar yexpense.UnderAr ticl
e488oft heCivi
lCode,i tprovides

74
thateachco- ownershal lhav ear ightt ocompelt heot herco- owner stocont r
ibut etot he
expensesofpr eser vat
ionoft het hingorr ightownedi ncommonandt othet axes.Any
oneoft hel att
ermayexempthi msel ffrom t hi
sobl i
gationbyr enounci ngsomuchofhi s
undi vi
dedi nterestasmaybeequi valentt ohisshar eoft heexpensesandt axes.Nosuch
waiv ershal lbemadei fi tispr ej
udi cialt otheco- owner ship.Ther esultist hatt he
proper tyremai nst obei nacondi ti
onofco- owner ship.Whi leav endeear etro,under
Article1613oft heCode, “maynotbecompel l
edt oconsentt oapar t
ial r
edempt ion,”the
redempt i
onbyoneco- heirorco- owneroft heproper t
yi nitst otali
tydoesnotv esthi m
owner shi
pov erit.Failureont hepar tofal ltheco- owner st or edeem i tent i
tlest he
vendeear etrotor etainthepr oper t
yandconsol idatet i
tl
et her etoinhi sname.Butt he
prov i
siondoesnotgi vetot her edeemi ngco- ownert her ightt otheent irepr oper t
y .It
doesnotpr ovidef oramodeoft erminat ingaco- owner ship.Nei therdoest hef actt hat
thepet i
ti
onerhadsucceededi nsecur ingt i
tl
eov erthepar celi nhisnamet ermi natet he
existingco- owner ship.Whi lehishal f-
br othersandsi stersar e,aswesai d,li
abl et ohi m
forr eimbur sementasandf ort heirshar esinr edempt ionexpenses,hecannotcl aim
exclusi verightt ot hepr oper tyownedi ncommon.Regi strationofpr opertyi snota
meansofacqui ri
ngowner ship.Itoper atesasamer enot iceofexi stingt i
tl
e,t hati s,if
therei sone.

2.)Wehol di nt henegat ive.Pr escription,asamodeoft erminati

ngar el
ationofco-
owner shi p,musthav ebeenpr ecededbyr epudi ation( oft heco- owner ship).Theactof
repudi ation,i nt ur
ni ssubj ecttocer taincondi ti
ons:( 1)aco- ownerr epudiatest heco-
owner shi p;(2)suchanactofr epudi ationi scl earlymadeknownt otheot herco- owner s;
(3)t heev i
dencet her eoni sclearandconcl usive,and( 4)hehasbeeni npossessi on
throughopen,cont inuous,excl usive,andnot ori
ouspossessi onoft hepr opertyf orthe
periodr equi redbyl aw.Thei nstantcaseshowst hatthepet iti
onerhadnotcompl i
edwi th
theser equi sites.Wear enotconv incedt hathehadr epudi atedt heco- owner ship;ont he
cont rary ,hehaddel iberatelykeptt hepr ivater espondent si nthedar kbyf eigningsol e
heirshipov ert heest ateunderdi sput e.Hecannott her eforebesai dt ohav e" made
known"hi sef fortst odenyt heco- owner ship.Mor eover,oneoft hepr ivaterespondent s,
Emet eriaAsej o,i soccupy ingapor ti
onoft hel andupt ot hepresent ;yet,thepet iti
oner
hasnott akenpai nst oej ecthert her efrom.Asamat t eroff act,hesoughtt or ecover
possessi onoft hatpor ti
onEmet eriaisoccupy i
ngonl yasacount er
claim, andonl yaf t
er
thepr ivat er espondent shadf i
rstsoughtj udicialreli
ef.

Adlawanvs.Adlawan
G.R.No.161916,Januar
y20,
2006
Ynares–Santiago,J.

FACTS:Pet i
ti
onerAr nel
it
oAdlawan,theacknowl edgedi l
legi
timatechildofDominador
Adlawanfil
edanej ejct
mentsuitagai
nstthesiblingsofhisf ather,r
espondentsNarcisa
andEmet eri
oAdl awan.Beingt hesoleheirofDomi nador,heexecut edanaf fi
dav i
t
adjudi
cati
ngthehouseandl otownedbyhi sf ather
.Howev er,heallegedthatoutof
respectandgener osit
ytorespondents,hegr antedt hei
rpl eatooccupyt hesubject
75
propertypr ovidedt heywoul dv acatet hesameshoul dhi sneedf orthepr oper t
yar ise.
Later,whenhev erballyrequest edr espondent stov acat ethehouseandl ot,theyr efused
andf i
l
edi nsteadanact ionf orqui eti
ngoft i
tle.Het henal sof i
ledacompl aintf or
ejectment .Inanswer ,ther espondent s,70and59y earsofager especti
vel
ydeni edt hat
theybeggedpet i
tionert oal l
ow t hem t osayont hepr opertysincetheyhav ebeen
stayingther esi ncebi r
th.Theycl aimedt hatthesai dlotwasor i
ginall
yregisteredi nthe
nameoft heirdeceasedpar ents,RamonandOl igiaAdl awan.SpousesRamonandOl igia
neededmoneyt of inancet her enov ati
onoft heirhouse.Si ncetheywer enotqual i
fiedt o
obtainal oan, theyt r
ansf erredowner shipoft helott oDomi nadorwhowast heonl yone
i
nt hef ami lywhohadacol l
egeeducat ion.Domi nadorandhi swife,Gracianadi dnot
disturbrespondent s’possessi onoft hepr oper
tyunt i
ltheydied.Theyal soar guedt hat
eveni fpet iti
oneri si ndeedDomi nador ’
sacknowl edgedi l
legit
imateson,hi sr i
ghtt o
succeedi sdoubt f
ul becauseDomi nadorwassur vivedbyhi swife,Graci
ana.

I
SSUE:Whet
herornott
hepet
it
ionercanv
ali
dlymai
ntai
nthei
nst
antcaseofej
ect
ment
.

HELD:No.Pet i
tionerav erredt hathei sanacknowl edgedi l
l
egi t
imat esonandt hesol e
heirofDomi nador .Howev er,theRTCl ostsi ghtofthef actthatt hetheor yofsuccessi on
i
nvokedbypet i
tionerwoul denduppr ov i
ngt hathei snott hesol eowneroft hesubj ect
l
ot.Thi ssobecauseDomi nadorwassur v
ivednotonl ybypet i
tionerbutal sobyhi slegal
wife,Graciana,whodi ed10y earsaf terthedeat hofDomi nador .Byintestatesuccessi on,
Gracianaandpet itionerbecameco- owner soft hesubj ectl otandhouse.Pet it
ionert hen
contendedt hatev engrant i
ngt hathei saco- owner,hecanf i
letheinst antcasepur suant
toArticle487oft heCi vilCode.Thi sar ticl
ecov ersallki ndsofact i
onsf orther ecover yof
possessi on.Iti
ncl udesf orcibleent ryandunl awfuldet ainer(accioni nterdi
ctal),r
ecov er
y
of possessi on ( accion publ i
ciana) and r ecover y of owner ship ( accion de
rei
nvindicacion).Aco- ownermaybr i
ngsuchact i
onwi thoutt henecessi t
yofj oiningal l
theot herco-owner sasco- plainti
ffsbecauset hesui tispr esumedt ohav ebeenf i
ledt o
benefithi sco-owner s.Itshoul dbest ressed,howev er ,thatwher et hesui tisf ort he
benefitoft hepet iti
oneral onewhocl aimst obet hesol eownerandent itledt ot he
possessi onoft hel i
ti
gat edpr oper t
y ,
theact ionshoul dbedi smi ssed.

Accor dingtot her enownedci vi

l
est ,ProfessorAr turoM.Tol entino,heexpl ai
nedt hat“a
co-ownermaybr i
ngsuchanact ion,wi t
houtt henecessi tyofj oiningalltheotherco-
owner sasco- plaintiffs,becauset hesui tisdeemedt obei nstit
utedf orthebenefitofall
.
Iftheact ionisfort hebenef i
toft heplainti
ffal one,sucht hathecl aimspossessi onfor
himsel fandnotf ort heco-owner ship,theact ionwi l
lnotpr osper.Int hiscase,i
ti snot
disputedt hatpetitionerbr oughtt hesui tforunl awfuldetaineri nhisnameal oneandf or
hisownbenef i
tt ot heexclusionoft hehei rsofGr acianaasheev enexecut edan
affi
dav i
tofsel f-
adj udicat
ion ov ert he disput ed property.I tis cl eartheref
oret hat
petit
ionercannotv al i
dlymai ntaint hei nstantact ion consi deri
ng t hathedoesnot
recogni zetheco- owner shi
pt hatnecessar i
l
yf l
owsf r
om hi st heoryofsuccessi ont othe
proper t
yofhi sfather ,Dominador .

76
Sumipatv.Banga
G.R.No.155810,
August13,
2004
Ti
nga,J.

FACTS:ThespousesPl acidaTabo- t
aboandLaur oSumi patacqui redt hreepar celsof
l
and.Thecoupl ewaschi l
dless.Laur oSumi pat ,howev er,siredf iveill
egi
timat echi ldren.
Theyar et hepet it
ionersher ein.Laur oexecut edadocumentdenomi nat ed“ Deedof
Absol uteTr ansf erand/orQui t
-Clai
m ov erRealPr oper ti
es”i nf avoroft hepet it
ioner s.On
thedocument ,itappear sthatthesi gnatur
eofhi swi fe,Placidawhi chindicatest hatshe
gav ehermar i
talconsent .Mor eover,itwasal legedt hatLaur oexecut edi twhenhewas
alreadyv erysi ckandbedr i
ddent hatuponpet it
ionerLy dia’sr equest,t heirnei ghbor
Benj aminRi v
eral i
ftedthebodyofLaur owher euponLy diagui dedhi shandi naffixinghi s
signatureont hedocument .Lydialeftbutlaterr eturnedont hesamedayandr equest ed
Laur o’
sunl ett
eredwi fe,Placidat osignont hesai ddocument .AfterLaur o’sdeat h,his
wife,Pl acidaandpet i
tionersjointl
yadmi nisteredt hepr oper ti
es,50% oft hepr oduce
wentt ohi swi f
e.Aswi fe’sshar einthepr oduceoft hepr oper t
iesdwi ndled,shef i
leda
compl aintf ordecl arati
onofpar ti
ti
ondi sclaimi nganypar ti
tioni nt heexecut ionoft he
subjectdocument .

I
SSUE:Whet
herornotaco-
owner
shi
pwasf
ormedf
rom t
hesai
ddeed.

HELD:No.Aper usaloft hedeedr evealsthati tisact uall

yagr atuitousdi sposit
ionof
property— adonat i
on— al thoughLaur oSumi pati mposedupont hepet it
ionerst he
condi t
ionthatheandhi swi fe, Placida, shallbeent i
tledt oone- half(1/ 2)ofal lt
hef ruit
s
orpr oduceoft hepar celsofl andf ort heirsubsistenceandsuppor t.Wher et hedeedof
donat i
onf ail
st oshow t heaccept ance,orwher et hef ormalnot iceoft heaccept ance,
madei nasepar ateinstrument ,isei t
hernotgi v entot hedonororel senotnot edint he
deedofdonat i
onandi nt hesepar ateaccept ance,t hedonat ionisnul landv oid.I
nt hi
s
case, t
hedonees’ acceptanceoft hedonat i
oni snotmani festedei t
heri nthedeedi tsel
f
orinasepar at
edocument .Hence,t hedeedasani nstrumentofdonat i
oni spat entl
y
void.TheCour tdeclaredt hatt hedeedsofsal equest ionedt herei narenotmer el
y
voidablebutnul landv oidabi niti
oast hesupposedsel lerdeclaredunderoat hthatshe
signedt hedeedswi t
houtknowi ngwhatt heywer e.Thesi gnif
icantci r
cumst ancemeant ,
theCour tadded,thatherconsentwasnotmer elymar redbyv icesofconsentsoast o
maket hecont r
actsvoidable, butt hatshehadnotgi v enherconsentatal l
.

Ri
zalCementCo.,I
nc.v.Vil
lar
eal
G.R.No.L-
30272,
February28,1985,
135SCRA15
Cuevas,J.
77
FACTS:Respondent sar eappl icant sf orther egist
rationoft woagr icultural l
andsl ocated
i
nRi zal.Theypr esent edt estimoni alanddocument aryev idenceappear i
ngt hatt he
proper tyappl iedfor ,desi gnatedasLotNos.1and2ofPl anPsu- 147662,hav eat ot al
areaof26, 015sq.m. ;thatt hesel otsor i
ginallybelongt ooneMar iaCer teza;t hatupon
herdeat h,t hepr oper t
ywasi nv olvedi nal iti
gati
onbet weenhergr andchi l
drenand
Gonzal oCer teza,andt hatt hel ot swer egi venbyt hel attert oJust icedeJoy aast he
l
atter ’
sat t
or ney ’
sf ees;t hatt hel otswer et hensol dbydeJoy at oFi lomenoSt a.Ana,
whoi nt urnsol dthesamet ospousesVi ctori
anoCer voandI gnaciaGui ll
ermoi n1939;
thatsomet imei nNov ember1955, thesai dspousessol dt hel otstoher einappl i
cant sas
shownbyadul ynot ari
z eddeedofsal e.ThespousesCer vodecl aredt hepr oper t
yf or
taxationpur posesi nt henameoft hewi f
e,IgnaciaGui ll
er mo,andpai df ort her eal ty
taxest her eon; t
hatpr iort ot hesal e, thespousesCer v ohadt het wolot ssur v eyedf irstin
1950andt heni n1955.Ont heot herhand, opposi t
or( Ri
zalCementCompany )claimst o
bet heowneroft hesubj ectlot s,hav i
ngboughtt hesamef rom Mar iaCer teza,andt o
havebeen i n cont inuousand adv ersepossessi on oft hepr opertysi nce1911.To
subst antiatet hi
scl aim,pet iti
onersubmi tteddocument aryev i
dence,oneofwhi chi sa
taxdecl ar ationoft hesai dl ots.TheCour tofFi r
stI nstancedeni edt heappl icationf or
registrationofr espondent sandor der edthei ssuanceofadecr eeofr egistrationi nt he
nameofRi zalCementCo. ,af terf inali
tyofsai ddeci si
on.Onappeal ,t heCour tof
Appeal sr ever sedandsetasi det hedeci sionoft heCFI .TheCA deni edpet i
tioner ’
s
mot ionf orr econsi der ation.Hence, t
hi spetit
ionwasf il
ed.

I
SSUE:Whetherornotr
espondent
shadbeeni
nact
ualpossessi
onoft
hel
andi
n
quest
ion.

HELD:Yes.TheCAgav ecredencet othet estimonyoft hewi t

nessesf orrespondent s.
Asagener alrule,itisprov idedint heCi vi
lCodet hatpossessioni sacqui redbyt he
materi
aloccupationofat hingort heexerciseofar i
ghtorbyt hefactthatitissubj ectto
theacti
onofourwi l
l,
orbyt heproperactsorl egalformali
tiesest
abli
shedf oracqui r
ing
suchright
.Petit
ioner’
sev idence,consisti
ngoft axrecei
pts,taxdeclarati
onandsur vey
planarenotconcl usiveandi ndi
sputabl
ebasi sofone’sowner shipoft hepr opertyin
questi
on.Assessmental onei sofl i
tt
levalueaspr oofoftit
le.Meretaxdecl arationdoes
notvestownershipoft heproper t
yupondef endant
.

Wongv .Car
pio
G.
R.No.50264,Oct
ober21,
1991,
203SCRA118
Bi
din,
J.

FACTS:Wi l
l
iam Gigersol
dapar celoflandt hroughapact oder ectosalet oManuel
Mercado.Mer cadoonlybegant
ohar vestthecoconutf rui
tsbuthenev erplacedany
one
overthel andt owatchit.Nei
therdidher esidei nthel andnorwast hereanyhut
const
ructedt her
eontoshowpossessi on.Thereafter
,IgnacioWongi nspectedthel
and
toseeifwhet herther
ewasanyonecl aimingthel and.Afterfi
ndi
ngt her
ewasnone,he
78
boughtthel
andfr
om Giger.Heplacedwor ker
sontheland,const
ructedaf ar
mhouse,
andfencedt
heboundar
ies.Hecouldn'
tregi
stert
hesal
eduet osomet echni
cali
ti
es.

I
SSUE:Whet
herornott
hepossessi
onoft
hedi
sput
edl
andbel
ongst
oIgnaci
oWong.

HELD:I tshoul dbest ressedt hat"possessi onisacqui r

edbyt hemat er i
aloccupat ionof
at hingort heexer ci
seofar ight,orbyt hefactthati tissubjectt otheact ionofourwi ll
,
orbyt hepr operact sandl egalf ormal i
ti
esf oracqui ri
ngsuchr ight ."Andt hatt he
execut i
onofasal et hruapubl icinstrumentshal lbeequi val entt ot hedel iver yoft he
thi
ng,unl esst her ei sst ipulati
on t ot he contrary.I f,howev er,not wi t
hst andi ng t he
execut i
onoft hei nstrument ,thepur chasercannothav etheenj oy mentandmat erial
tenancyoft het hingandmakeuseofi thersel
f,becausesucht enancyandenj oyment
areopposed byanot her,then del iv
eryhasnotbeen ef fect ed.Appl ying t heabov e
pronouncement sont heinstantcase,i tiscleart hatpossessi onpassedf rom v endor
William Gi gert opr i
vater espondentManuelMer cadobyv i
rtueoft hef irstsal ear etro,
andaccor dingly ,thelat ersalear etroinf avorofpet i
tionerfailedt opasst hepossessi on
oft hepr oper tybecauset herei sani mpedi ment— t hepossessi onexer cisedbypr ivate
respondent .Possessi onasaf actcannotber ecogni zedatt hesamet imei nt wo
differentper sonal iti
esexcepti nthecasesofco- possession.Shoul daquest ionar ise
regar dingt hef actofpossessi on,thepr esentpossessorshal lbepr ef erred;i ft herear e
twopossessi ons, theonel ongeri npossessi on,i
ft hedat esofpossessi onar et hesame,
theonewhopr esent sat i
tl
e;andi fthesecondi tionsar eequal ,thethi ngshal lbepl aced
i
nj udi cialdeposi tpendi ngdet ermi nati
onofi tspossessi onorowner shi pt hroughpr oper
proceedi ngs.

Somodi ov.Cour
tofAppeals
G.R.No.82680,August15,
1994,
235SCRA307
Quiason,J.

FACTS:Wi l
fredoMabugatandNi canorSomodi oboughtar esidentiallotsi tuatedat
RajahMuda,Bul a,Gener alSant os.Pet i
ti
onerandMabugatpar t
it
ionedt hepr oper tyint o
twopor t
ions,wi thpet it
ionert aki ngt hewest ernpar t.Immedi atelyaf t
ert hepar tit
ion,
petit
ionert ookpossessi onofhi spor t
ionandpl antedt hereoni pil
-i
pilt r
ees,coconut
treesandot herfruit
-bearingt rees.I n1976, peti
ti
onerbeganconst ructi
onofast ructur e
wi t
hadi mensi onof22- by-18f eetonhi slot.Hi sempl oyment ,howev er,tookhi mt o
Kidapawan, NorthCot abato, andhel efttheunf i
nishedst r
ucturetot hecaseofhi suncl e.
Hewoul dv isitthepr oper t
yev erythreemont hsoronweekenedwhenhehadt i
me.
Somet i
mei nOct ober1977,pet i
ti
oneral lowedr espondentFel omi noAy co,tot ransf er
hishutt opet i
ti
oner'slot.Aboutsi xy earsl at
er,pet i
ti
onerdemandedt hatAy cov acat e
thepr emisesbutsuchdemandpr ovedf uti
le.Hence, onAugust23, 1983, petit
ionerf il
ed
anact ionforunl awf uldetainerwi thdamagesagai nstrespondentAy co.Meanwhi le,on
June26, 1983, r
espondentEbenecerPur isimaent eredt helandandconst r
uctedahouse
thereon.Fourday slater,pet i
tionerf il
edagai nstrespondentPur isimaacompl aintf or
forcibl
eent rybef orethesamecour tdocket edasCi vilCaseNo.2013- I
.Sai dcasewas
79
l
aterconsol
i
dat
edwi
thCi
vi
lCaseNo.2032-
II
.

I
SSUE:Whet
herornotSomodi
ohasact
ual
possessi
onoft
hepr
oper
ty.

HELD:Yes.Ar ti
cle531oft heCi v i
lCodeoft hePhi li
ppi nespr ovidesthatpossessi oni s
acqui redbyt hemat eri
aloccupat i
onofat hingort heexer ciseofar ight,orbyt hef act
thati ti ssubj ecttotheact ionofourwi l
l,orbyt hepr operact sandl egalf ormal it
ies
establ ished f oracquiri
ng such r i
ght.Pet i
tionert ook possessi on oft he pr oper ty
somet imei n1974whenhepl antedt hepr oper tytococonutt rees,i
pil
-ipiltreesandf ruit
trees.I n1976, hestar
tedtheconst r
uctionofabui l
dingont hepr operty.Itisimmat erial
thatt hebui l
dingwasunf i
nishedandt hathel ef tf
orKi dapawanf orempl oy mentr easons
andv isitedthepr oper
tyonl yintermi t
tently.Possessi oni ntheey esoft hel awdoesnot
meant hatamanhast ohav ehisf eetonev er ysquaremet erofgr oundbef orei tcanbe
saidt hathei sinpossessi on( Ramosv .Di rectorofLands,39Phi l
.175[ 1918] ).Itis
sufficientt hatpeti
ti
onerwasabl et osubj ectt heproper t
yt ot heactionofhi swi l
l
.

Maglucot–Awv .Magl
ucot
G.R.No.132518,
March28,2000,
329SCRA78
Kapunan,J.

FACTS:Somet i
mei n1946t her ewasapr iororalagreementt ot entati
velyparti
tionLot
No.1639.Byv irt
ueoft hisagr eement ,theor igi
nalco-owner soccupi edspeci fi
cpor ti
ons
ofLotNo.1639.I twasonl yi n1952whent hepet i
ti
ont osubdi v i
deLotNo.1639was
fi
ledbecauset wooft heco- owner s,namel yHer mogenesOl isandhei rsofPascualOl is,
refusedt ohav esai dl otsubdi vi
dedandhav esepar at
ecer t
ifi
cat esoft it
le.Si
gnificantly,
afterthe1952pr oceedi ngs,t hepar ti
esi nt hiscasebyt hemsel v esand/ orthrought hei r
predecessor s-i
n-interestoccupi edspeci f
icpor ti
onsofLotNo.1639i naccordancewi th
thesket chpl an.Somet imei n1963,Gui ll
er moMagl ucotr entedapor t
ionoft hesubj ect
l
ot .Subsequent l
y,Leopol doandSev ero,bot hsur namedMagl ucot ,rentedpor ti
onsof
subjectl otin1964 and 1969,r espect ively,and eachpay ing r entalstherefor.Sai d
respondent sbui l
thousesont heircor respondi ngleasedl ots.Theypai dt her ent al
amountofP100. 00perannum t oMr s.Ruper taSalma,whor epresentedt hehei rsof
Rober t
oMagl ucot ,petit
ioner s’predecessor -i
n-i
nterest.InDecember1992, howev er,said
respondent sst oppedpay ingr ent al
scl aimi ngowner shipov ert hesubj ectlotal leging
theyhadar ightov ert hel andbecausesuchwasnotpar tit
ionedandt heywer eco-
owner s.Mangl ucot-Awt husf il
edacompl aintforrecov er
yofpossessi onanddamages
againstMangl ucot.

ISSUE:Whet
herornotMangl
ucot
-Aw mayr
ecov
erpossessi
onbyv
irt
ueofav
ali
d
part
it
ion.

HELD:Yes.Anor derforpart
it
ionisfi
nalandnotint
er l
ocut
oryand,hence,appeal
able
becauseitdeci
destheri
ghtsofthepart
iesupontheissuesubmit
ted.Inthi
scase,both
the orderofparti
tion and t
he unconfi
rmed sket
ch plan ar
e,t hus,int
erl
ocutor
y.
80
Nev ert
heless,wher epar tiesdonotobj ecttot hei nterl
ocut orydecree,butshowbyt heir
conductt hatt heyhav eassent edt hereto,theycannott hereafterquest i
ont hedecr ee,
especiall
y, wher e, byr easonoft hei rconduct ,consi derableexpensehasbeeni ncurredi n
the execut ion oft he commi ssion.Respondent si nt his case hav e occupied t heir
respecti
vel ot si n accor dancewi tht hesket ch/subdi visi
on plan.Theycannotaf ter
acquiescingt ot heor derf ormor et hanf orty( 40)y ear sbeal l
owedt oquest iont he
bindingef fectt her eof.Undert hepr esentrule,t hepr oceedi ngsoft hecommi ssioner s
withoutbei ngconf irmedbyt hecour tarenotbi ndingupont hepar t
ies.Howev er ,this
ruledoesnotappl yi ncasewher et hepar ti
est hemsel vesact uali
zedt hesupposedl y
unconf i
rmedsket ch/ subdi vi
sionpl an.Thepur poseofcour tappr ovalistogiveef fectt o
the sketch/ subdi vision pl an.I nt hiscase,t he par t
iest hemsel vesort hrough t heir
predecessor s-i
n-interesti mpl ement edt hesket chpl anmadepur suantt oacour torder
forpar t
iti
onbyact ual l
yoccupy ing speci f
icpor ti
onsofLotNo.1639 i n1952 and
continuetodosount ilthepr esentunt ilthi
scasewasf il
ed,clearl
y ,thepurposeoft he
courtappr ov alhas been met .Thi s st at
ementi s nott o be t aken to mean t hat
conf i
rmationoft hecommi ssioner smaybedi spensedwi t
hbutonl ythatthepar ti
es
hereinareest oppedf rom r aisi
ngt hisquest i
onbyt heirownact sofr at
if
icati
onoft he
supposedl ynon- bindingsket ch/ subdi vi
sionplan.

Cequeñav .Bol
ante
G.R.No.137944,Apri
l6,
2000,
330SCRA216
Panganiban,J.

FACTS:Thepet i
ti
oner sFer nandaMendozaCequeñaandEduar daApi adosoughtf orthe
owner shipandpossessi onoft helandoccupi edbyt her espondentHonor ataBol ante.
Pri
ort o1954,t hel andi nBinangonan,Ri zalwasdecl aredf ort axati
onpur posesi nthe
nameofSi nforosoMendoza,t hef atherofr espondent .Si nforosodi edi n1930.Ont he
basisofanaf fi
dav i
t,t het axdecl ar at
ioni nt henameofSi nforosoMendozaoft he
contested l otwascancel l
ed and subsequent l
ydecl ared i nt henameofMar gari
to
Mendoza, thef atheroft hepet iti
oner s.Mar garitoandSi nforosoar ebrothers.Duringthe
cadast r
alsur vey,respondentHonor at aisthepr esentoccupantoft helandtogetherwith
MiguelMendoza,anot herbr otheroft he pet iti
oners.The t rialcour trendered the
peti
tionersast hel awf ulownerandpossessor soft hel and.Howev er,t
heCour tof
Appeal srev ersedt hedeci sionbecauset hegenui nenessandt hedueexecut ionoft he
aff
idav i
t.Itwassai dt obei nsuf f
icientt oov ercomet hedeni alofr espondentandher
mot her.Mor eov er,t
hepr obativev alueofpet i
tioner s’t
axr ecei ptsanddecl ar
ati
onspal ed
i
ncompar i
sonwi thr espondent ’sproofofowner shipoft hedi sput edpar cel
.Theact ual,
physical,exclusi veandcont inuouspossessi onbyr espondentsi nce1985gav ehera
bett
ert it
leunderAr ticle538oft heCi v i
lCode.Thepet iti
oner scont endedot herwisethat
shecamei nt opossessi onthr oughf orceandv iolence,cont raryt oAr t
icle536oft heCiv i
l
Code.

ISSUES:
1.)Whetherornott
her
espondenthast
heact
ual
,phy
sical
,excl
usi
veandcont
inuous
81
possessi
onoftheland.
2.
)Whet herornottaxdecl
arat
ionsandr
ecei
ptsar
econcl
usi
veev
idenceofowner
shi
p
orpossessi
on.

HELD:1. )Yes.Possessi onbyt hepet it

ionerbef or
e1985wasnotexcl usive,ast he
respondentalsoacquiredi tbefore1985.Ther ecordsshowt hatt
hepetit
ioners’f
ather
andbr ot
her,aswellast her espondentandhermot herweresimult
aneouslyinadverse
possessionofthel and.BasedonAr t
icle538oft heCivilCode,t
herespondentist he
prefer
red possessorbecause,benef i
tting from herf ather
’staxdeclarati
on oft he
subjectl
otsince1926,shehasbeeni npossessi onthereofforal
ongerper i
od.Ont he
otherhand,peti
ti
oners’fatheracquir
edj ointpossessiononlyi
n1952.

2.)No.Taxdecl arat
ionsandrecei
ptsarenotconclusi
veevi
denceofownershi
p.Atmost ,
theyconsti
tutemer epr i
maf aci
eproofofowner shi
porpossessi
onofthepr opert
yf or
whichtaxeshav ebeenpaid.Intheabsenceofact ualpubl
icandadver
sepossessi on,
thedeclar
ationoft helandfortaxpurposesdoesnotproveownershi
p.Thepet i
ti
oners’
clai
m ofowner shipofthewholeparcelhasnolegalbasi
s.

Aragonv .I
nsul
arGover
nment
G.R.No.L-6019,Mar
ch25,1911,
19Phi
l.223
Carson,J.
82
FACTS:TheGov ernmentoft hePhi l
ippineI slands,t hroughi t
spr operr epresent at i
ves,
object edt ot heappl icat
ionf orr egistrati
onpur suantt ot heLandRegi strat
ionActofa
smal ll otofpar celofl andbei ngi nstit
utedbyher einpet iti
oner ,JuanAr agonont he
groundt hatsai dl andf ormspar toft hepubl icdomai nappl yi
ngt hepr ov i
sionsof
subsect i
on1ofAr ticle339oft heol dCi vilCode,now Ar ticl
e420,par agraph1oft he
NewCi vilCodewhi chpr ovidest hatt hef ol
lowingt hi
ngsar epr oper t
yofpubl icdomi nion:
(1)Thosei ntendedf orpubl icuse,suchasr oads,canal s,r ivers,torrents,por tsand
bri
dgesconst ructed byt heSt ate,banks,shor es,r oadst ead,and ot hersofsi mi l
ar
char acter.Itappear s,howev er,thatpossessor ytitl
eov ert hel andi nquest ionwasdul y
registeredi nf av orofpet i
ti
oner ,andt hatt heappl icantandt heirpr edecessor sini nt erest
hav ebeeni npossessi onoft hepar celofl andi nquest ion,underanundi sput edclai m of
owner shi p.Thatt her ear est rongr easonst obel i
ev et hatt hel andi nquest ionwas
originallywel labov et heebbandf lowoft het i
deandonl yi nlat eryearshav et hewat ers
ri
sent osuchahei ghtal ongt heshor esoft heBayofMani l
aatt hispointast ocov ert he
l
andi nquest ioncompl etelyathi ght i
de,t hough,i tcannotbeascer taineddef initely
whet heri tisduet ochangesi nt hecur r
entandf lowoft hewat er
si nthebay ,ort ot he
gradual sinkingoft hel andalongt hecoast .

I
SSUE:Whet
herornotpet
it
ioneri
sent
it
ledowner
shi
pov
ert
hel
andi
nquest
ion.

HELD:TheCour taffir
medt hedecr eeent eredbyt hel owercour tinf avorofpet i
tioner
applyi
ngt hepr ovisi
onsofAr t
icle446oft heol dCi vi
lCode,Ar ticl
e539oft heNewCi vi
l
Codewhi chpr ovidest hatev erypossessorhasar i
ghtt obepr ot ectedinhispossessi on;
and shoul d he be di sturbed t herein,he shal lbe pr otected i n orr estor ed to sai d
possessionbyt hemeansest abl i
shedbyt hel awsandt heRul esofCour t.Cor ollary,a
possessormayl osehi spossessi onundert heci rcumst ancespr ov i
dedunderAr ti
cl e555
oftheNewCi vilCode, towi t:(
1)Byt heabandonmentoft het hing; (
2)Byanassi gnment
madet oanot herei t
herbyoner ousorgr atuit
oust i
tl
e; (
3)Byt hedest ructi
onort otall oss
ofthet hi
ng, orbecausei tgoesoutofcommer ce; and( 4)Byt hepossessi onofanot her,
subjecttot hepr ovi
sionsofAr ti
cle537,i fthenewpossessi onhasl ast
edl ongert han
oney ear.Butt her ealrightofpossessi oni snotl osttil
lafterthel apseoft eny ear s.The
Courtheldt hatsi ncethef or
egoi ngenumer ati
onswi threspectt ot helossofpossessi on
wasnotconcl usi vel
yest abli
shedbyt herepresent at
ivesoft hegov ernment , andt hef act
thattheowner soft hel andi nquest ionhav enev erintendedt oabandont hesame,t hen
i
tisjustandpr opert or egist
ersai dl andi ntheirname.

Cathol
icVicarApost
oli
coftheMount
ainPr
ovi
ncev
.Cour
tofAppeal
s
G.R.No.80294,March23,
1990,183SCRA639
Gancayco,J.

FACTS:CA- G.
R.No.38830-Rwasal andregi
str
ati
oncasewherepeti
tionerandpri
vate
respondent
swereaskingforconf
ir
mat i
onofthei
rall
egedi
mperfectti
tl
estot hel
otsin
questi
onunderSect
ion49( b)oft
hePublicLandAct.I
nthesai
ddecisi
on, t
heappell
ate
83
courtfoundt hatt hepet it
ionerwasnotent itl
edt oconfirmationofi t
si mper f ectt i
tl
et o
Lots2and3.I nseparat emot ionsf orreconsi derati
onf i
ledbypr i
vater espondent sHei rs
ofOct av i
anoandHei rsofJuanVal dezr elati
ngt ot hesamedeci si
on,t heyal soasked
thatsai dt wol ot
sber egisteredi nt heirnames.OnAugust12,1977,t heCour tof
Appeal sdeni edbot hmot ions.Ef fectiv
ely,t herefore,i
nt hesaiddeci siont heappel late
courtr uledt hatnei t
hert hepet it
ionernort hepr i
vaterespondent sar eent itledt ot he
confir
mat i
onofi mperf ecttit
leov ersai dt wol ots.Pursuantt othesai ddeci sioni nCA-
G.R.No.38830- R,thet wol ot
si nquest ionr emai nedpar tofthepubl i
cl ands.Thi sist he
onlylogi calconclusionwhent heappel latecour tfoundt hatneit
hert hepet i
tionernor
pri
vater espondent sar eent i
tledt oconf irmat i
onofi mper f
ecttit
leov ersaidl ots.The
presentact ionst hatwer einstitut
edi nt heRegi onalTri
alCour tbypr ivater espondent s
areact ionsf orrecov eryofpossessi on( acci onpubl i
ciana)andnotf orr ecov eryof
owner ship(acci onreivindicat
or i
a).

I
SSUE:Whet
herornotpet
it
ioneri
sent
it
ledt
othepossessi
onoft
hesubj
ectl
ots.

HELD:Yes.UnderAr t
icle555( 4)oft heCi vi
lCode,i tisprov i
dedthatapossessormay
l
osehi spossessi on“byt hepossessi onofanot her,subj ecttot heprov
isionsofAr ti
cle
537,ift henew possessi onhasl ast edl ongert hanoney ear.Butther ealr i
ghtof
possessionisnotl osttil
lafterthelapseoft enyear s.”Inthecaseatbar , i
tiscl eart hat
thepeti
tionerwasi npossessi onoft hesai dproper tyasbor rowerincommodat um f rom
pri
vaterespondent ssince1906.Howev er,i
n1951pet i
ti
onerr epudiat
edthet rustwheni t
decl
aredt hepr opert
yf ortaxpur posesunderi tsname.Thus,whenpet i
tionerf i
ledi ts
appli
cation forregistrati
on oft he sai d propertyi n 1962,i thad been i n adv erse
possession oft he same f oratl east11 y ears.Hence,t he acti
on forr ecoverof
possessionofsai dpropertyf i
l
edbypr i
vaterespondent sagai nstpeti
ti
onermustf ail
.
TheCour t,t
herefore,f
indst hatthetrial courtandt heCour tofAppealserredi ndecl aring
theprivaterespondent stobeent i
tledt othepossessi ont her
eof.Muchl esscant hey
pret
endt obeowner sthereof.Saidlotsar epartoft hepubl icdomai n.

EDCAPubl i
shi
ng&Di str
ibut
ingCorp.v
.Sant
os,
G.R.No.80298,Apr
il26,1990,134SCRA614
Cruz,J.
84
FACTS:Jose Cr uz or dered by telephone 406 books f r
om EDCA Publ ishi
ng and
Distr
ibuti
ng Cor p.( EDCA) ,pay abl
e on del i
very .EDCA pr epared the cor responding
i
nv oi
ce and del i
vered t he books as or dered,f orwhi ch Cr uz issued a check.
Subsequently,Cruzsol d120oft hebookst oLeonorSant oswhopai dhi m af t
erv er
if
ying
the sell
er'
s owner shi pf r
om t he invoi
ce he showed her .Meanwhi le,EDCA hav ing
becomesuspi ciousov erasecondor derplacedbyCr uzevenbef oreclearingofhi sfi
rst
check,madei nqui r
ieswi tht heDel aSalleCol l
egewher ehehadcl ai
medt obeadean
andwasi nfor
medt hatt herewasnosuchper soni ni t
sempl oy.Fur t
her,Cr uzhadno
accountwi t
hthePhi l
ippineAmanahBank, againstwhi chhehaddr awnt hecheck.EDCA
wentt othepolice,whi char rest
edCr uzwhoser ealnamewasTomasdel aPeña.EDCA
soughtt heassistanceoft hepol i
ce,andf orcedt hei
rwayi ntothest or eoft heSant os
andt hreat
enedherwi thpr osecuti
onf orbuy i
ngst olenproperty.Theysei zedt he120
books.Santossuedf orrecov er
yofthebooksaf terdemandf ortheirreturnwasr ej
ected
byEDCA.

ISSUES:
1.)WhetherornotEDCA wasunlawful
lydepr
ivedoft hebooksbecausethecheck
i
ssuedbyt hei
mpostori
npay
mentther
eforwasdishonor
ed.
2.)Whet
herornotEDCAhadther
ightt
oceasethebookst hatwer
esol
dtoSantos.

HELD:1. )No.EDCAwasnotunl awfullydepr ivedoft hebooks.Ar ti

cle559oft heCi v
il
Codepr ovidest hatt hepossessi onofmov ablepr opert
yacqui red ingood f ait
hi s
equiv alentt oat it
le.Nev er theless, onewhohasl ostanymov ableorhasbeenunl awfull
y
depriv edt hereof,mayr ecov eri tf r
om t heper soni npossessi onoft hesame.I fthe
possessorofamov ablel ostorofwhi cht heownerhasbeenunl awfull
ydepr i
vedhas
acqui redi tingoodf ait
hatapubl icsal e,theownercannotobt ainitsreturnwithout
reimbur singt hepr icepai dt heref or.Acont ractofsal ei sperfect
edonceagr eementi s
reachedbet weent hepar t
iesont hesubj ectmat terandt heconsiderati
on.Owner shipin
thet hingsol dshal lnotpasst ot hebuy eruntilfullpay mentoft hepur chaseonlyifthere
i
sast i
pul ationtot hatef fect.Ot her wise,ther uleist hatsuchowner shipshallpassf r
om
thev endort othev endeeupont heact ualorconst ruct i
vedeliv
eryoft hethingsoldev en
i
ft hepur chasepr icehasnoty etbeenpai d.Non- pay mentonl ycreatesar i
ghttodemand
pay mentort oresci ndt hecont r act,ort ocr i
mi nalpr osecutionint hecaseofbounci ng
checks.Butabsentt hest ipulationabov enot ed, deliveryofthet hi
ngsol dwi l
leff
ectivel
y
transferowner shipt ot hebuy erwhocani nturnt ransf eritt
oanot her.

2.)No.Act ualdeli
veryofthebookshavi
ngbeenmade,Cr uzacquiredowner shi
pover
thebookswhi chhecoul dthenval
idl
ytr
ansfert
ot hepri
vaterespondents.Thefactt
hat
hehadnoty etpaidforthem t
oEDCAwasamat terbetweenhim andEDCAanddi dnot
i
mpai rthetit
letothebooksacquiredbytheSantosspouses.Therefore,EDCAwasnot
unlawfull
ydepriv
edoft hebooksandSantoshadright
soverthebooks.

DeGar
ciav
.Hon.Cour
tofAppeal
s
85
G.R.No.L-20264,
Januar
y30,
1971,
37SCRA129
Fernando,
J.

FACTS:OnOct ober11,1953,Angel inaGuev arra,whil

et al
kingt oConsuel odeGar cia,
recognizedherr inginthef i
ngeroft hel att
erwhi chshelostsomet i
mei nFebr uary1952.
Guev arr
aaskedwher edeGar ci
aboughtt her ingt owhichdeGar ciaanswer edt hatshe
boughti tfom hercomadr
r e.Guevar raexpl ainedt odeGar ciathatthatringwast hev ery
samer i
ngst olenf rom her.DeGar ciahandedt heringtoGuev arraandt her i
ngf it
tedher
fi
nger .Twoort hreeday sl ater
,att her equestofGuev arr
a,she,herhusbandLt .Col.
JuanGuev ara,Lt .Cement i
naofPasayPD,deGar ciaandherat torneypr oceededt othe
store ofMr .Rebul l
i
da t o whom t heyshowed t he r
ing in questi
on.Mr .Rebul li
da
exami nedt her ingwi t
ht heai dofhi ghpowerl ensandaf t
erconsul t
ingt hest ockcar d
thereon,concl udedt hatitwast hev er yri
ngt hatplaint
if
fboughtf r
om himi n1947.The
ri
ngwasr et urnedt odefendantwhodespi teawr it
tenrequestt heref
orf ail
edt odeliver
ther i
ngt opl aintif
f.I
nt r
ial,deGar ci
asai dthatsheboughtt her i
ngfrom Mr s.Miranda
whogoti tf rom Mr s.Angel it
aHi nahonwhoi nt urngoti tfr
om,Al ingPet ri
ngwhowas
boardinginherhouse.

I
SSUE:Whet
herornotdeGar
cia’
spossessi
onoft
her
ingi
ngoodf
ait
hconf
ershert
it
le
t
othesai
dri
ng.

HELD:No.Thecont rolli
ngpr ov i
sioni sArt i
cle559oft heCi v i
lCodewhi chpr ov idest hat
possessi on ofmov able pr operty acqui red i n good f aithi s equi valentt oat itle.
Nev er theless,onewhohasl ostanymov abl eorhasbeenunl awf ullydepr ivedt hereof
mayr ecov eritf r
om t heper soni npossessi onoft hesame.I ft hepossessorofa
mov abl el ostofwhi cht heownerhasbeenunl awf ull
ydepr ived,hasacqui redi tingood
faithatapubl icsale,theownercannotobt ai ni t
sr etur nwi t
houtr eimbur singt hepr ice
paidt her ef or.RespondentAngel inaD.Guev ara,hav i
ngbeenunl awf ullydepr i
vedoft he
diamondr ingi nquest i
on,wasent i
tledt or ecov eri tf rom pet i
tionerConsuel oS.de
Gar ciawhowasf oundi npossessi onoft hesame.Theonl yexcept i
ont hel awal lowsi s
whent her ei sacqui siti
oni ngoodf ai
thoft hepossessoratapubl i
csal e,inwhi chcase
theownercannotobt ainitsr etur nwi t
houtr ei mbur singt hepr ice.Thecommonl aw
principl et hatwher eoneoft woi nnocentper sonsmustsuf ferbyaf raudper pet ratedby
theanot her ,
thelawi mposest hel ossupont hepar tywho, byhi smi spl acedconf idence,
hasenabl edt hef r
audt obecommi tt
ed,cannotbeappl i
edi nacasewhi chiscov eredby
anexpr esspr ov i
sionoft henewCi vi
lCode, speci ficall
yAr ti
cle559.Bet weenacommon
l
awpr inci pleandst atutoryprov i
sion, thelattermustpr evailint hisj urisdiction.I tisthus
i
mmedi atel yappar entthatt hereisnomer ittot hecont ent i
onr aisedi nt hef irstassi gned
errort hatherpossessi oni ngoodf ai
th,equiv al
entt otitle,suff i
cedt odef eatr espondent
Guev ara'scl aim.Ast heabov ecasesdemonst r ate,ev enont hatassumpt iont heowner
canr ecov ert hesameonceshecanshow i llegaldepr i
vat i
on.RespondentCour tof
Appeal swassoconv incedf rom t heev idencesubmi ttedt hatt heowneroft her i
ngi n
l
iti
gat ioni ssuchr espondent .

86
Dizonv.Suntay
G.R.No.L-30817,
Sept
ember29,
1972,
47SCRA160
Fernando,J.

FACTS:Lour desSunt ayistheownerofa3car atdiamondr ing.Sheent eredintoa

transactionwi thCl ari
taSison,wher einsaidr i
ngwasdel i
v eredt ot helat t
erforsaleon
commi ssion.Uponr eceivi
ngthering,t herecei ptwasdel i
v eredt oSunt ay .Aft
eral apse
ofa consi derable amountoft i
me,t he r i
ng was noty etr eturned and so Sunt ay
demandedf oritsr et
urnf r
om Sisonbutt hel attercoul dnotcompl yasshehadal ready
pledged i twi t
h Di zon’s pawnshop f orP 2, 600. 00.Af teri nsist entdemands,Si son
deliveredt hepawnshopt i
ckettoSunt ay.Sunt ayt hr
oughhercounsel ,wr otetoDi zon
askingf ort hedel i
veryofther i
ngpl edgedbut ,thel at
terref used.Shef i
ledanact ionfor
recov erywi thP500asat t
orney’
sf eesandcost s.Sheaskedf ort her emedyofr eplevi
n
uponf il
ingt her equisit
ebondpendi ngf inaldet erminati
onoft heact i
on.TheCFIof
Mani laissuedt hewr itandSuntaywasabl et or egai npossessi ondur i
ngt hependencyof
theact i
on.Thel owercour trenderedadeci sioni nf avorofSunt ay .Onappeal ,Dizon
soughtt her eversaloft helowercour t’
sdeci sionandi nvokingest oppel .CAaf fi
rmedt he
l
owercour t
’sdeci sion.SCaf fi
rmedCAdeci sion.

ISSUE:Whet
herornott
heowneroft
her
ingmayr
ecov
eri
tspossessi
onf
rom t
he
pawnshopowner
.

HELD:Yes.Ownerofadi amondr ingmayr ecoverthepossessi onoft hesamef rom a

pawnshopwher eanot
herper sonhadpl edgeditwithoutaut hor
itytodoso.Ar t
.559of
thecivilcodeappl i
esandt hedef enset hatthepawnshopacqui r
edpossessi onoft he
withoutnot iceofanydef ectint het i
tl
eoft hepl edgori sunav ail
i
ng.Nei therthe
prompt ingsofequitynorthemandat esofmor alrightandnat uraljusti
cecomet ohis
rescue.Di zonisengagedi nabusi nesswher epresumabl yor dinaryprudencewoul d
mani f
esti t
selft
oascertai
nwhet herornotani ndiv
idualwhoi sof f
eringajewelrybyway
ofapl edgei senti
tl
edt odoso.I fnosuchcar ebet akenheshoul dbet hel astto
compl ainifther
eaft
ertheri
ghtoft het rueownerofsuchj ewelr
yshoul dberecognized.

Ledesmav .CourtofAppeal
s
G.R.No.86051,September1,1992,
213SCRA195
Davide,
J.

FACTS:Two mot orv ehicl

es—Honda Gemi niand Holden Pr emier
e Model —wer e
purchasedfrom Cit
iwi
deMot orsbyaper sonwhoi denti
fi
edhi mselfasJoj o 
Consunj i
.
Heboughtt hevehicl
espur portedl
yforhisfather
.Upondeli
v er
ytohi m oft hev ehicl
es,
hepaidamanager ’
scheckdr awnagai nstPCIB.Thecheckt houghwasdi shonor edby
thebankont hegroundt hatthecheck’svaluehasbeenmat eri
allyal
tered.Thi swas
report
edtothepol i
ce 
authorit
iesanditwasf oundoutthattheper sonmisr epresenting
himself
 wasactuall
ySuar ezwhohadal ongl i
neofcri
minalcasesagai nsthi mf orhi s
modusoper andi.TheHoldencarwasr ecoveredaft
erbeingabandonedsomewher ein
87
QuezonCity
.TheHondaont heotherhand,wasdi
scoveredtobesoldtoLedesma.
Ledesmaaverr
edhepurchasedthevehicl
eingoodf
ait
hfrom oneNeyr
a,asevi
denced
byhiscer
ti
fi
cat
eofregi
str
ati
on.Cit
iwideMotor
swasabletorecov
er.

I
SSUE:Whet
herornotCI
TIWI
DEMOTORShasbeenunl
awf
ull
ydepr
ived.

HELD:No.Ther ewasaper f
ecteduncondi t
ionalcontractofsal ebet weenCi tiwide
MotorsandSuar ez.Thesubsequentdi shonorofthecheckmer elyamountedt of ail
ure
ofconsiderati
onwhichdoesn' trenderacont ractofsalev oi
d,butmer el
yal l
owst he
prej
udicedpartyt
osuef orspecifi
cperformanceorrescissi
onoft hesale.Thisbeingt he
case,Cit
iwidemotorswasn'tunlawful
lydepri
vedoft hepropert
y.Itist
husnotent itl
edt o
thereturnofthevehicl
efrom Ledesmawhoboughtt hepropert
yi ngoodf ait
handf or
considerat
ion.

AzarconandAbobov.Eusebi
o
G.R.No.L-11977,
Apr
il29,
1959,
105SCRA569
Labrador
,J.
88
FACTS:Vi ctorEusebiohadadi sputeov erapar celofl andwi t
hLeonar doAz ar
con,
ManuelAzar conandEst ebanAbobo.Eusebi ofil
edal easeappl i
cati
onf orapar celof
l
and,apor ti
ont hereofwasoccupi edbyAzar conetal .underahomest eadappl i
cati
on.
Beforethedisputecoul dbesettled,Eusebi ofil
edacompl aintintheCFIofNuev aEcija,
all
egingthathehadacqui redabi gparcelofl andbyl easef r
om theBur eauofLands,
andthatwhilehewasi npossessi onthereof ,
Azar conetal .occupi
edapor ti
on.Thetrial
courtrul
edinfav orofEusebio,andawr i
tofexecut ionorderingAzarconetal .tor
estore
possessionofthel andt oEusebiowasi ssuedonOct ober3,1955.Howev er,i
nspiteof
thereceiptofthenot iceofwr i
tofexecut ion,Azar conetal .nevert
helessent er
edt he
l
andt ogatherpalaywhi chwast henpendi nghar vest.

I
SSUE:Whet
herornotAzar
conandAboboar
eent
it
ledt
othependi
ngf
rui
tsoft
hel
and.

HELD:Yes.Whi l
ethecour torderofOct ober3,1955or der edt hem tomov eoutoft he
premises,itdidnotpr ohibi
tthem from gatheri
ngt hecropt henexi sti
ngt hereon.Under
thelaw,aper son,whoi sinpossessionandwhoi sbei ngor deredt oleaveapar celof
l
andwhi leproductsthereonar einpendinghar vests,hast her ighttoapar toft henet
harvest,asexpr essl
ypr ovi
dedbyAr t
icl
e545oft heCi vilCode.Hence,ast heor derof
executi
ondi dnotexpr essl
ypr ohi
bitAzarconetal .f r
om gat her i
ngt hependingf r
uits,
whichf rui
tswer etheresultofthei
rpossessi onandcul tivationoft hel and,i
tcannotbe
saidthattheycommi t
tedanactwhi chi sclearvi
olati
onoft hecour t
’sorder.

Corder
ov .Cabral
G.R.No.L-36789,Jul
y25,
1983,
123SCRA532
AbadSant os,J.

FACTS:Mr .Gr egor ioZ.OcampoofMey cauay an, Bulacan, husbandoft hepl aintiffFelipa
Cor deroandf at heroft heot herplainti
ffssur namedOcampo, di
edonMay17, 1958.The
saiddeceasedl ef tsev er alpr opert
ies,whi chwer einher i
tedbyt hepl ai
ntiffsincl udingt he
l
andi nquest i
onwhi chpar celofl andwasor iginallyregisteredi naccor dancewi tht he
LandRegi strationActonDecember14,1933,andwasr egisteredand/ ort r
ansf er
redi n
thenameofMr .Gr egor ioZ.OcampoonJul y31,1934.Af terthedeat hoft hesai dMr .
Gregor i
oZ.Ocampo,t hepl ainti
ffsher eint ookpossessi onoft hesai dpar celofl and
whi chisar iceland,butt heyf oundoutt hatt hesout hernpor t
ionoft hesamewi than
area4, 303 squar emet ers,mor eorl ess,uponv erif
ication,waspossessed byt he
defendant s her ein,Vi ct oria P.Cabr al,Al ejandr o Ber boso and Dal maci o Mont aos.
VictoriaP.Cabr alcl ai
medt obet heownerofsai dpor ti
onwhi leherco- defendant sco-
possessedt hesameashert enants.Thepl aintiff
sdemandedoft hedef endant st o
surrendert ot hef ormerpossessi onoft hepor tionofl andand/ orvacat ei tbutt hey
refusedandf ailedt odoso,andt hedef endantVi ctori
aP.Cabr alcontinuedcl ai mingt o
bet heowneroft hesamewhi l
eherco- defendant scont inuedr ecogni zingherast he
ownert hereofi nst eadoft hepl ai
ntif
fs.Pl aintif
f sallegedt hatbecauseoft hedef endant s'
occupancyoft heaf or ement i
onedpl aintiff
s'por tionofl andwi t
ht hear eaof4, 303
89
squaremeters,moreorless,totheexclusi
onoft helat
ter
,thesai
dplai
nti
ff
sfail
edto
real
izeayearlyhar
vestofatleastten(10)cavanesofpalayattherat
eofP10.00per
cavan,f
rom t
heharvest-
ti
meof1958upt othepresent
.

I
SSUE:Whet
herornott
hedef
endant
smustr
eimbur
set
hef
rui
tsr
ecei
ve.

HELD:Yes.Thedi sputedl andi sincludedi nT.C.T.No.14513i ssuedtoGr egori

oZ.
Ocampo,t hepredecessoroft hepl ai
nti
ff
s.Theor igi
nalr egistrati
onwhi chincl
udest he
disputedlandwasnotv it
iatedbyer rororfraud.Thedef endant s,byt hei
rownadmi ssi
on,
areinpossessi onofthedi sput edl and.Thereisnoev i
dencet hattheywer epossessors
i
nbadf ai
th.Howev er,theirgoodf aithceasedwhent heywer eserv edwithsummonst o
answert hecompl aint.Aspossessor sinbadf ait
hf rom t heser viceoft hesummons
they"shallreimbur
set hef r
uitsr eceivedandt hosewhi chthel egiti
mat epossessorcould
havereceiv ed.

MendozaandEnri
quezv.DeGuzman
G.
R.No.L-28721,
October5,
1928,
52Phi
l.164
Mal
colm,J.
90
FACTS:I nt hecadast ralpr oceedi ngsoft hemuni cipal i
tyofSar iay a,Tay abas,api eceof
l
andi dent ifi
edasl otNo.687wasadj udicatedi nf av orofMar tinMendozaandNat al i
o
Enri
quezi nequalpar t
spr oi ndivisosubj ectt ot her i
ghtofr etent ionont hepar tof
ManueldeGuzmanunt ilheshal lhav ebeeni ndemni fi
edf ort hei mpr ov ement sex isting
ont hel and.Mendozahaspossessedi tsince1916.Byv ir
tueoft hisj udgment ,De
Guz manpr esent edamot ionr equest ingt heissuanceofawr itofpossessi onf orl otNo.
687i nhi sf av orwhi chwasgr antedonJune25,1924.Si ncet henDeGuzmanhashad
domi nionov ert hel and.Bei ngunabl et ocomet oanagr eementast ot heamountwhi ch
shouldbeal l
owedf ort hei mpr ov ement smadeont hel and, Mar ti
nMendozaandNat al i
o
Enri
quezbegananact i
onr equest i
ngt hecour tto( a)f ixt hev alueoft henecessar yand
usefulexpensesi ncur redbyManueldeGuzmani ni ntroduci ngt hei mpr ov ement s;(b)
requiret hedef endantt or enderanaccount i
ngoft hef r uitsr ecei vedbyhi m andor der
thatt hev alueoft hef ruitsbeappl i
edt othepay mentoft henecessar yandusef ul
expenses; and( c)decr eet her estit
ut i
onoft hepossessi ont ot hepl aintiffs.Max.B.Sol is,
oneoft heper sonswhower eej ect edf rom t heland,askedl eav et oi ntervene,al leging,
amongot hert hings,t hatDeGuzmanhadt r
ansf erredal lhi sr i
ght si nt hei mpr ovement s
andint hel ott ohi m wi tht heexcept i
onoft wohundr edcoconutt r ees.Thi spet i
ti
onwas
granted.Att he t rialwhi ch f ollowed and att he i nst ance of t he par ti
es,t wo
commi ssi oner swer eappi nt edwi thi nst r
uctionst oi nspectt hel andandt ocountt he
numberofcoconutt reespl antedt her eon, determi ningt henumberoff ruit
-bear i
ngt r
ees
andt hoset hatar enotf ruit-bear i
ngaswel last hecondi tionoft hesame.Af t
ert rial,
JudgeofFi rstI nst anceGl oriar ender edj udgmentdecl ar ing( a)t hatt hedef endant
ManueldeGuzmanandt hei ntervenorBer nar doSol ishav et her ightt ocol lectf r
om t he
plai
ntiffsMar tinMendozaandNat al i
oEnr i
quezt hesum ofP2, 046ascompensat ionf or
thenecessar yandusef ulexpendi tur esi nthepr opor ti
onof20percentf orManuelde
Guz manand80percentf orBer nardoSol is;and( b)t hatManueldeGuzmanand
Bernar doSol i
sar eobl i
gedt opayt ot heplaint i
ff
st hesum ofP666. 93perannum f rom
June25,1924,one- fifthoft hisamountt obepai dbyManueldeGuzmanandt heot her
four-
fifthsbyBer nar doSol is.Asont hedat ewhent hisj udgmentwasr ender ed,t hati s
onSept ember23,1927,t heamountt hatt hepl ai nti
ffswer er equi redt opayt ot he
defendantandi nt erv enorexceededt heamountt hatt hel atterwer et opayt hef or mer ,
thedef endantandi nt er venorwer eor deredt odel ivert hel andandi tsi mpr ov ementas
soonast hepl aint i
f fshav epai dt hedi f
ference,wi thoutspeci alpr onouncementast o
costs.

ISSUE:Whetherornott
hetrialcour
tcorrect
lydecl
aredtheamounttobepai
das
"i
ndemnizaci
on"i
ntheform ofnecessar
yandusef ulexpendi
tur
esi
ncur
redbythe
defendant
.

HELD:Yes.Ar t
icl
e361oft heCivilCodei nt heorigi
nalSpanishtextusest hewor d
"i
ndemni
zacion.
"Howev eronemayspecul at
east ot hetruemeaning oft heterm
"i
ndemni
zacion"whethercor r
ectl
yt r
anslated as" compensati
on"or" indemnit
y,
"t he
amountofthe"indemnizaci
on"istheamountoft heexpendit
uresmentionedinarti
cles
453and454oft heCivi
lCode,whichint hepresentcaseistheamountoft henecessary
andusefulexpendit
uresincurr
edbyt hedef endant.Necessaryexpenseshav ebeen
91
vari
ouslydescribedbyt heSpanishcomment atorsast hosemadef ort
hepr eser vati
on
ofthething;asthosewi thoutwhichthethi
ngwoul ddet eri
orateorbelost;ast hosethat
augmentt heincomeoft hethi
ngsuponwhi chtheyareexpanded.Amongt henecessar y
expenditur
es aret hose i
ncurr
ed forculti
vation,product i
on,upkeep,et c.Her et he
plai
nti
ffshav e chosen t otake the i
mprovement si ntr
oduced on the land and ar e
disposedt opayt heamountoft henecessaryandusef ulexpensesincurredbyt he
defendant.Inasmuchast heretenti
oni
st,whoi snotexact l
yaposessori ngoodf ai
th
withint hemeani ngoft helaw,seekst ober eimbursedf orthenecessaryandusef ul
expenditur
es,itisonl yj
ustthatheshouldaccountt ot heowner softheest atef orany
rents,f
ruit
s,orcropshehasgat heredfrom i
t.

RoblesandMarti
nv.Lizar
ragaHermanos
G.R.No.L-
16736,December22,1921,42Phi
l.584
Romualdez,J.

FACTS:Anast asiadel aRamadi edont he17t hofOct ober ,1916, l

eav i
ngsi xchi l
dr en,to
wit ,Magdal ena,Jose,Ev ar ista,Zacar i
as,Fel i
x,andPur ificaci on,sur namedRobl es,and
somepr oper t
ies,amongwhi chi shouseNo.4onI znar tSt r
eeti nt heci tyofI loilo.The
childr enandhei rsofAnast asi adel aRamaent eredi nt opar tnershipwi t
hLi zar raga
Her manosi nl iquidati
on and set tlementoft heiraccount s,byv i
rtue ofwhi ch t he
compet entcour tawar dedt o sai dpar t
ner shipt hepr oper tiesl eftbyt hedeceased,
i
ncl udi ngt heaf or esaidhouseNo.4onI znar tSt r
eet .Ev aristaRobl es,oneoft hehei rs,
sincebef orethedeat hofhermot herAnast asiadel aRama, hasbeenwi t
hherhusband
occupy i
ngt heaf oresaidhouseNo.4onI znar tSt r
eet, atthebegi nni ng, byper mi ssionof
hermot her,lateronbyt heconsentofhercohei rs,andl astlybyagr eementwi tht he
par tner ship,Lizar ragaHer manos,t owhom i thadbeenawar ded,hav ingmadesome
i
mpr ov ement sont hehouse,t hev alueofwhi chisf ixedatf ourt housandf iv
ehundr ed
pesos( P4,500) ,andpay i
ngt osai dpar tnershipf ortypesos( P40)mont hlyasr entoft he
upperst ory.OnMar ch18, 1918, Lizar r
agaHer manosnot ifi
edEv aristaRobl es(Exhi bitJ)
thatbegi nningApr ilnextt her entoft heupperst oryoft hehousewoul dber ai sedt o
sixtypesos( P60)amont h,andt hat ,ifshedi dnotagr eet ot henew r ateofr ent ,she
mi ghtv acatet hehouse.Ev aristaRobl esr ef usedt opaysuchanewr at eofr entandt o
vacat et hehouse,andLi zar ragaHer manosbr oughtsui tagai nstherf orej ect ment .
Ev arista Robl essued Li zar r
aga Her manosaf t
erwar dst or ecov ert he v al
ue oft he
i
mpr ov ement s.

ISSUES:
1.)WhetherornotEvar
ist
aRoblesistheowneroft
heaf or
esai
di mpr
ovement
sandhas
theri
ghttodemandpay mentofthei
rval
ue.
2.)Whetherornotshehasanyr i
ghttoret
aint
hebuil
dingunti
lthesai
dval
ueispai
dto
her.

HELD:1.
)Yes.Robl
esi
stheowneroft hei
mprovement
s.Theexpendi
tur
esi
ncur
redi
n
t
heseimprov
ementswerenotnecessaryi
nasmuchaswit
houtthem t
hehousewoul
d
92
havecont i
nuedt ost andjustasbef ore,butwereusef ul
,inasmuchaswi ththem the
housebet terservest hepurposef orwhichitwasi ntended,bei ngusedasar esidence,
andt heimpr ovement sconsisti
ngoft headditi
onofadi ningroom,ki tchen,cl
oset,and
bathroom int helowerandupperst or
iesofthehouse, andast able,sui
tableasacoach
houseanddwel ling,itisbey onddoubtt hatsuchi mpr ovement sar eusefult othe
bui
lding.Sincet hei mprovement sareusefulandRobl es’possessi onisingoodf ai
th,
applyingAr t
icle453,i tisbeyondquest i
ont hatEvaristaRoblesi stheownerofsuch
i
mpr ov ements,andent it
ledtorei
mbur sementtherefor.

2.)Yes.Iti
saf actthatthevalueoft heimpr ovementsinquestionhasnotasy etbeen
paidbyLizarragaHer manos.Wher efore,i
fEv ari
staRoblesandherhusbandar eent i
tl
ed
toretai
nt hebui ldi
ngunt i
lthev alueofsuchi mprovementsispai dthem,Li zar
raga
Hermanoshav enoty etanyr i
ghttooustt hem f r
om thebuil
ding,nor,t
herefor
e,tobe
i
ndemni f
iedf oranydamagescausedbyt her ef
usalofthepl aint
if
fsfoundont heir
l
egiti
mater ights. Hence,due t ot he non- r
eimbursementoft he af
oresaid useful
expendit
ures,thepossessori ngoodf ai
thhast her i
ghtofret
ent i
onunti
lshehasbeen
ful
lyrei
mbur sedwi t
ht hesame.

Metr
opoli
tanWaterwor
ksandSewerageSy
stem v
.Cour
tofAppeal
s
G.
R.No.L-54526,
August25,
1986,143SCRA623
Mart
inez,
J.

FACTS:Somet imei n1965,pet i

tionerMWSS( t
henknownasNAWASA)l easedar ound
onehundr edt went yeight( 128)hect aresofi t
sl and( hereaf t
er,subj ectpr oper t
y)t o
respondentCHGCCI( former lyt heI nt ernat i
onalSpor tsDev elopmentCor por ati
on)f or
twent yf i
ve( 25)y earsandr enewabl ef oranot herfif
teen( 15)y earsorunt ilthey ear2005,
witht hest i
pul ati
onal l
owi ngt hel at tert oexer ci
sear ightoff ir
str efusalshoul dt he
subj ectpr oper tybemadeopenf orsal e.Thet ermsandcondi tionsofr espondent
CHGCCI '
s pur chase t hereofshal lnonet heless be subj ectt o president ialappr ov al
.
Pur suantt oLet terofi nstruction( LOI )No.440i ssuedonJul y29, 1976byt henPr esident
Ferdi nandE.Mar cosdi rectingpet iti
onerMWSSt onegot iatet hecancel lati
onoft he
MWSS- CHGCCIl easeagr eementf ort hedi spositionoft hesubj ectpr oper ty,Oscar
Il
ust re,t henGener alManagerofpet i
tionerMWSS,somet i
mei nNov emberof1980
i
nf or medr espondentCHGCCI ,throughi tspr esidenther einrespondentPabl oRoman, Jr.
,
ofi tspr eferent i
alr i
ghtt obuyt hesubj ectpr opertywhi chwasupf orsal e.Val uation
ther eofwast obemadebyanappr aisalcompanyofpet iti
onerMWSS' choi ce, theAsi an
Appr aisalCo. ,Inc.whi ch,onJanuar y30, 1981, peggedaf ai
rmar ketv alueofP40. 00per
squar emet erorat otalofP53, 800,000. 00f orthesubj ectproper ty.Uponbei ngi nformed
thatpet i
ti
onerMWSSandr espondentCHGCCIhadal readyagr eedi npr i
nci pleont he
pur chaseoft hesubj ectpr oper ty,Presi dentMar cosexpr essedhi sappr ovaloft hesal e
asshowni nhi smar ginalnot eont hel et tersentbyr espondent sJoseRoxasandPabl o
Roman,Jr .dat ed December20,1982. The Boar d ofTr ust eesofpet itionerMWSS
ther eaf t
erpassedResol ution36- 83,appr ovi
ngt hesal eoft hesubj ectpr oper tyinf avor
of r espondent SI LHOUETTE,as assi gnee of r espondent CHGCCI .The MWSS-
93
SILHOUETTEsal esagr eementev entual l
ypushedt hrough.Pert heAgr eementdat ed
May11,1983 cov er
ing sai d pur chase,t he t ot
alpr ice f ort he subj ectpr opertyi s
P50, 925,200,P25Mi l
li
onofwhi chwast obepai duponPr esidentMar cos'approvalof
thecont r
actandt hebal ancet obepai dwi thinone( 1)y earf rom t het ransf erofthet i
tl
e
tor espondentSI LHOUETTEasv endeewi t
hi nterestat12%perannum.Thebal ancewas
alsosecur edbyani r
rev ocablel ett
erofcr edit.ASuppl ement alAgr eementwasf or ged
bet ween pet iti
onerMWSS and r espondentSI LHOUETTE on August11,1983 t o
accur atelyident i
fyt hesubj ectpr operty.Subsequent ly,respondentSI LHOUETTE,under
adeedofsal edat edJul y26,1984,sol dt or espondentAYALAaboutsi xty
-seven( 67)
hect aresoft hesubj ectpr oper tyatP110. 00persquar emet er.Oft het otalpri
ceof
around P74 Mi l
li
on,P25 Mi l
l
ion wast o bepai d byr espondentAYALA di r
ectlyt o
pet i
tionerMWSS f orr espondentSI LHOUETTE' saccountand P2 Mi ll
ion dir
ectlyt o
respondentSI LHOUETTE.P11, 600, 000wast obepai dupont heissuanceoft i
tl
einf avor
ofr espondentAYALA, andt heremai ningbal ancet obepay ablewi thinone( 1)yearwi th
12% perannum i nter
est .RespondentAYALAdev elopedt hel andi tpur chasedint oa
primer esident i
alar eanow knownast heAy alaHei ghtsSubdi vision.Al mostadecade
l
at er,pet i
tionerMWSSonMar ch26,1993f il
edanact ionagai nstal lher ei
nnamed
respondent sbef or etheRegi onalTr ialCour tofQuezonCi tyseeki ngf ort hedeclarat i
on
ofnul l
it
yoft heMWSS- SI LHOUETTEsal esagr eementandal lsubsequentconv eyances
i
nv olv i
ngthesubj ectpr oper t
y,andf orther ecov erythereofwi thdamages.

I
SSUE:Whet herornotMWSSf ai
l
edtopr
ovi
deappr
opriat
esecurit
ymeasuresoveri
ts
ownrecords;Cir
cumstancesl
edNBIt
obeli
evet
hatthefraudul
entencashmentasan
“i
nsi
dejob”.

HELD:Yes.Ther ecor dslikewi seshowt hatMWSSf ai

ledt opr ov i
deappr opriatesecur ity
measur esoveri t
sownr ecor dstherebyl ayi
ngconf i
dentialrecor dsopent ounaut hori
zed
persons.MWSS' sownFactFi ndingCommi t
tee,initsrepor tsubmi tt
edt othei rGener al
Managerunder scor edt hisl axit
yofr ecordscont r
ol.Itobser vedt hatthe"of ficeofMr .
Ongtengco( Cashi erVIoft heTr easur yDepar t
mentatt heNAWASA)i squiteopent oany
personknownt ohi m orhi sst af
fmember sandt hatthecheckwr iterismer elyont opof
histable.Rel
yingont hefor egoingst atementofMr .Ongt engco, theNBIconcl udedi nits
Reportdat ed2Nov ember1970t hatt hef r
audulentencashmentoft he23checksi n
questionwasan" i
nsi dejob" .Thust heNBIbel i
evet hatthef raudul entactwasani nside
j
oboronepul ledwi thinsideconni vanceatNAWASA.Theser i
alnumber soft hechecks
i
nquest i
onconf or m wi tht henumber sincurrentuseofNAWASA,asi defr om t hef act
thatthesef r
audul entcheckswer ef oundt obeoft hesameki ndanddesi gnast hatof
NAWASA' sownchecks.Whi leknowl edgeast osuchf actsmaybeobt ainedt hrought he
possessionofaNAWASAcheckofcur renti
ssue,anout siderwi thoutinformat i
onf rom
theinsidecannotpossi blypi npointwhi chofNAWASA' sv ari
ousaccount shassuf fi
cient
balancet ocoveral lt hesef raudulentchecks.Noneoft hesechecks,i tshoul dbenot ed,
wasdi shonoredf ori nsufficiencyoff unds.

Bachrachv.Seif
ertandElianof
f
G.R.No.L-2659,October12,1950,
87Phi
l.483
Ozaeta,J.
94
FACTS:ThedeceasedE.M.Bachr ach,whol eftnof orcedhei rexcepthi swi dow Mar y
McDonal dBachr ach,i nhi slastwi llandt est amentmadev ariouslegaciesi ncashand
wil
ledt her emai nderofhi sestate.Theest ateofE.M.Bachr ach,asownerof108, 000
shar esofst ockoft heAt ok-BigWedgeMi ningCo. ,Inc.,receivedf r
om thel atter54, 000
shar esr epresent i
ng50percentst ockdi vi
dendont hesai d108, 000shares.OnJune10,
1948,Mar yMcDonal dBachr ach,asusuf ruct uar yorl i
fet enantoft heest ate,pet i
tioned
thel owercour tt oaut hori
zet hePeopl esBankandTr ustCompany ,asadmi nistratorof
theest ateofE.M.Bachr ach, totransfert ohert hesai d54,000shar esofst ockdi vidend
byi ndor singanddel i
veri
ngt ohert hecor respondi ngcer ti
fi
cat eofstock,cl ai
mi ngt hat
saiddi vi
dend,al thoughpai douti nt hef orm ofst ock,i sfruitorincomeandt her efore
belongedt oherasusuf ructuaryorl i
fet enant .Sophi eSei fertandEl i
saEl i
anof f,legal
heirsoft hedeceased,opposedsai dpet i
tionont hegr oundt hatthestockdi videndi n
quest ionwasnoti ncomebutf ormedpar toft hecapi talandt herefor
ebel ongednott o
theusuf ructuarybutt other emainder man.Whi l
eappel lantsadmi tthatacashdi vidend
i
sani ncome,t heycont endt hatast ockdi videndi snot ,butmer elyr epresent san
addi ti
ont ot heinv estedcapital.

ISSUE:Whetherornotadi
vi
dend i
san i
ncomeand whet
heri
tshoul
d go t
othe
usufr
uct
uar
y.

HELD:Yes.Theusuf ructuaryshal lbeent i

tl
edtor ecei
v eal lthenat ur al,i
ndustri
al,and
civi
lfruit
soft hepr opertyinusuf r
uct.The108, 000shar esofst ockar epar toft he
propertyinusufr
uct .The54, 000shar esofstockdi vi
dendar eciv i
lfruitsoft heoriginal
i
nv est
ment .Theyr epresentpr ofi
ts,andt hedeli
veryoft hecer tif
icateofst ockcov eri
ng
saiddiv i
dendisequi val
entt othepay mentofsai dpr of i
ts.Saidshar esmaybesol d
i
ndependent l
yoft heor i
ginalshares,justastheof f
springofadomest icanimalmaybe
soldindependentlyofi tsmot her.Ifthedivi
dendbei nf actapr of
it,al
t houghdecl aredin
stock,itshoul
dbehel dt obei ncome.Adi vi
dend,whet herint hef orm ofcashorst ock,
i
si ncomeand,consequent l
y,shouldgot otheusuf r
uct uary,takingi ntoconsi derati
on
thatast ockdivi
dendaswel lasacashdi vi
dendcanbedecl aredonl youtofpr of
itsof
thecorporati
on,forifitwer edeclaredoutoft hecapitalitwoul dbeaser iousviol
ati
onof
thelaw.

Undert heMassachusett
sr ule,astockdi v
idendisconsideredpar
tofthecapit
aland
belongst ot heremai
nderman;whi leundert hePennsylvaniarul
e,al
learni
ngsofa
corporati
on,whendeclar
edasdi v
idendsinwhat everf
orm,madedur i
ngtheli
fet
imeof
theusuf r
uctuar
y,bel
ongtot helatt
er.ThePennsy l
vani
aruleismoreinaccordwit
hour
statut
orylawsthantheMassachuset t
srule.

Hemedesv.CourtofAppeal
s,
G.
R.No.107132,October8,
1999,
316SCRA347
Gonzaga–Reyes,J.

95
FACTS:JoseHemedes,f atherofMaxi maHemedesandEnr i
queD.Hemedes.Jose
Hemedes execut ed a document ent i
tl
ed " Donation Int er Vi vos wi th Resol ut
ory
Condi ti
ons" 
wherebyheconv ey edowner shipov erthesubj ectl and,t ogetherwi thal li
ts
i
mpr ovements,inf av orofhi st hird wife,Just aKausapi n,subj ectt ot hef oll
owi ng
resolutorycondi
tionst hatuponherdeat hormar ri
age,thedoneeshal lrever
tt hesai d
proper t
yt oanyoneofJoseHemedeschi ldren.OnSept ember27,1960a" Deedof
Conv eyance ofUnr egist ered RealPr opertybyRev er
sion"was made conv ey ing to
Maxi maHemedes.Shehad i tt itl
ed and mor tgagei ttoR & B I nsur ancewi than
annot ati
onof“Usuf ruct”i nf av orofherst epmot her,JustaKausapi n. Unabl etopayt he
mor tgage,R & B I nsur anceext ra-judici
all
yf oreclosedt hepr oper ty.Howev er,Just a
Kausapi nexecutedanot heragr eementorKasunduanonMay27,1971t ohi sst epson,
EnriqueD.Hemedes.  Heobt ainedt axdeclarationsandpayr ealtyt axesf rom ther eon. 
TheMi nist
ryofAgr arianRef orm Of fi
ceconduct edacadast r
alsur v
eyandi ndi cated
EnriqueHemedesast heowner .Enr iqueHemedessol dthepr oper t
yt oDomi ni
um Real t
y
Const .Corp.(Domi nium) ,asi stercompanyofAsi aBr ewer y.AsiaBr ewer ystartedt o
i
ntroducesomei mpr ovement sal readywhenR&Bi nsurancei nfor medt hem thatt hey
aret heownersoft hepr oper tywher ethesei mpr ovementsar ebei ngbui lt.

I
SSUE:Whetherornott
hekasunduanexecut
edbyJust
aKausapi
ninf
avorofEnr
iqueD.
Hemedeswasv al
i
d.

HELD:No.Thecour tdismissedthepetiti
onandaf f
irmedthedeci sionoftheCA.  I
theld
thatMaximaf ail
edt ocompl ywithther equi
rementsofAr t.1332oft heci vilcodeand
alsofai
ledtor epudi ateJustaKausapi n’sall
egati
onthatshedi dnotexecut esucha
deedandshenev erallowedt ouset helandassecur i
tyforthel oan.Itwasf oundthat
thedeedofconv eyancetoMaxi mawasspur iousanditfol
lowst hattheoriginalti
tl
eshe
hadfortheproper tywasal sonul
landv oidsoast hemor tgaget oR&BI nsur ance. 
On
theotherhand,Kausapi nexecut edanaf fi
davi
ttoaf f
irmt heaut henti
cityoft het he
kasundudaninf avorofhi sstepson,EnriqueHemedeswhom shei sdependentf r
om for
herfi
nancial
suppor t.
 

Fabiev.Guti
err
ezDavi
d
G.R.No.L-123,
December12,
1945,
75Phi
l.536
Ozaeta,J.
96
FACTS:Thepet i
ti
onerJosefaFabi eist heusufructuaryoftheincomeofcer tai
nhouses
l
ocatedat372- 376Sant oCr i
sto,Bi nondo,and950- 956Ongpi n,SantaCruz,Manila,
undertheni nt
hcl auseofthewi lloft hedeceasedRosar ioFabi eyGr ey
.Theownerof
SantoCristopropertyabovement ionedi st
her espondentJuanGr ey,whil
ethoseofthe
Ongpinpr opert
yar eot herpersonnotconcer nher ei
n.Pr ev
ioust oSeptember1944
l
it
igati
onar osebet weenJosefaFabi easpl ai
nti
f fandJuanGr eyasdef endantandthe
owneroft heOngpi npropert
yasi nterv enors,i
nv olvi
ngtheadmi nist
rat
ionofthehouses
mentioned.

ISSUE:Whetherornottheacti
oninst
it
utedbyt hepetit
ionerJosefaFabi
eisapurel
y
possessor
yacti
onandassuchwi t
hint
hejuri
sdicti
onofsaidcourt,
oranacti
onf
ounded
onpropert
yri
ghtandtheref
orebey
ondthejur
isdict
ionofthemunicipal
cour
t.

HELD:Yes.I ti s admi tted byt he par t

ies t hatt he pet it
ionerJosef a Fabi ei st he
usuf r
uct uaryoft hei ncomeoft hepr opertyi nquest ionandt hatt her espondentJuan
Greyi st heownert hereof.Itisl i
kewi seadmi ttedthatbyv i
rt
ueofaf inalj udgment
enteredi nCi vi
lCaseNo.1659oft heCour tofFi r
stI nstanceofMani l
abet weent he
usuf r
uct uaryandt heowner ,thef ormerhast her i
ghtt ocol l
ectal lther ent sofsai d
proper tyf orher selfwi ththeobl igat i
ononherpar tt opayal lt her ealest atet axes,
speci alassessment s,andi nsurancepr emiums, andmakeal lnecessar yrepai rst hereon,
andi ncasedef aul tonherpar ttheownershal lhavet her i
ghtt odoal lthoset hings,in
which ev enthe shal lbe ent i
tl
ed t o collectal lsubsequentr ent s oft he pr oper t
y
concer ned untilt heamountpai d byhi m and t heexpensesofcol l
ection ar ef ull
y
satisfied,afterwhi cht heusuf ructuar yshall agai ncoll
ectt her ents.Ther eist her eforeno
disput east ot het i
tlet oort her espect i
v ei nterestsoft hepar t
iesi nt hepr oper t
yi n
quest ion.Thenakedt itl
et othepr oper tyist oadmi ttedlyint her espondentJuanGr ey,
butt her ighttoal lt her entsthereof ,witht heobl i
gati
ont opayt het axesandi nsurance
premi ums and make t he necessar yr epai r
s,i s,al so admi ttedly,v est ed i nt he
usuf r
uct uary,thepet it
ionerJosef aFabi e,dur i
ngherl i
fetime. 

Const r
uingsai djudgmenti nt helightoftheni nthclauseoft hewilloft hedeceased
Rosar i
oFabi eyGr ey,whichwasquot edinthedecisionandbywhi chJosef aFabiewas
madebyt heusufructuarydur i
ngherl if
eti
meoft heincomeoft hepr opert
yi nquesti
on,
wef indthatt hesaidusuf ructuaryhast herighttoadmi ni
stertheproper t
yinquest i
on.
Alltheact sofadmi nist
ration— t ocol l
ectther entsforherself
,andt oconser vethe
propertybymaki ngal lnecessar yrepair
sandpay i
ngallthetaxes,specialassessment s,
andinsur ancepremi umst hereon—wer ebysai djudgmentvestedint heusufructuary

Vda.DeAranasv.Ar
anas
G.R.No.L-
56249,May29,
1987,
150SCRA415
Paras,
J.
97
FACTS:Fr .TeodoroAr anas, apri
estoftheRomanCat holi
cChur ch,diedonJanuar y19,
1953.Hehadexecut edonJune6,1946hi sLastWi l
landTest amentwhi chwas
admi ttedtopr obateonAugust31,1956.I nsaidLastWi l
landTest ament ,Fr.Teodor o
Aranasst ipul
ated thespeci aladmi ni
str
ati
on oft her emai nderofhi sest ate( af
ter
returningtohi sbrothersAni cet
oandCar meloort hei
rhei r
sal lproper t
iesacquiredby
himi ncluding10par celsoflandinherit
edbyhimf rom hispar ents)byVi centeAranas, a
fait
hfulandser vi
ceablenephew anddesi gnati
nghi m alsoasr eci
pientof1/ 2oft he
produceofsai dproper t
iesafterdeducti
ngtheexpensesf ortheadmi nistr
ati
onandt he
other1/ 2oft heproducet obegi ventotheCatholi
cChur chf ortheet ernalreposeofthe
testator'
ssoul .Sai
dper tinentprovi
sionreadsasf olows:“
l Itismywi llthatthelandsI
had boughtf r om otherper sonsshoul d beconver ged and pl aced underaspeci al
admi ni
str
ator.Thespeci aladmi nistratoroft hesel ands,forhi soffice,shoul dr eceive
one halfofal lt he produce f rom whi ch shallbe deduct ed the expenses f ort he
admi ni
str
ati
on,andt heot herhal foft hepr oduceshoul dber eceivedbyt heRoman
Catholi
cChur chandshoul dbespentf ormysoul ,VicenteB.Ar anas( Tingt ing),because
hei safait
hfulandser viceabl enephew,shoul dbet hef i
rstspecialadmi nistratorofsai d
propert
ies,withoutbond,unt i
lhisdeat horunt ilheshoul dnotwantt ohol dt hesai d
offi
ceanymor e.Anyoneoft hesonsofmybr otherCarmel oAr anascanhol dt hesai d
offi
ceofspeci aladmi nistrator,andnoneot herthant hey.Theirf ather ,mybr other
CarmeloAr anasshal lbet heonet odeci dewhoamongt hem shallholdt hesai dof fi
ce,
butupont hedeat hofmysai dbr otherCar meloAr anas,hissaidsonswi llhavepowert o
selectt
heoneamongt hem our selves.Thespeci aladmi nistr
ati
oni sper pet ual.”

I
SSUE:Whetherornotperpet
uali
nal
ienabil
it
yandadmi ni
str
ati
onoft heest
ateoft
he
l
ateFr
.Teodor
oAranasisnull
andvoi
df orbei
ngvi
olat
iveofArti
cle870oft
heNCC.

HELD:No.Vi cent eAr anasasausuf r

uct uaryhast her i
ghtt oenj oyt hepr oper tyofhi s
uncl ewi thallt hebenef it
swhi chr esultf rom t henor malenj oyment( orexpl oitati
on)of
anot her'sproper ty, withtheobl i
gat iont or eturn, atthedesi gnatedt ime, ei
thert hesame
thi
ng,ori nspeci alcasesi tsequi valent.Thi sr ightofVi cent etoenj oyt hef ruitsoft he
proper t
iesi st empor aryandt her eforenotper pet ualast herei sal imi t
at i
onnamel yhis
deat horhi sr efusal .Likewisehi sdesi gnat i
onasadmi nistrat
oroft hesepr operti
esi s
l
imi tedbyhi sr efusaland/ ordeat handt her efor eitdoesnotr uncount ertoAr t.870of
theCi v
ilCoder eli
eduponbyt hepet it
ioner s.Bei tnot edt hatVi cent eAr anasi snot
prohi bi
tedt odi sposeoft hef ruitsandot herbenef i
tsarisingf rom t heusuf ruct.Neither
aret henakedowner s(theot herhei rs)oft hepr oper ti
es,theusuf ructofwhi chhasbeen
givent oVi cent eAr anaspr ohi bitedf rom di sposi ngofsai dnakedowner shipwi thout
prejudiceofcour set oVi cente'scont inuingusuf ruct .Tov oidthedesi gnationofVi cente
Aranasasusuf ructuar yand/ oradmi nistratorist odef eatt hedesi reandt hedy ingwi sh
oft het estatort or ewar dhi mf orhi sfaithfulandunsel fi
shser vicesr ender eddur i
ngt he
ti
mewhensai dt est atorwasser i
ousl yillorbed- ri
dden.

Locsinv.Valenzuel
a
G.R.No.L-51333,May18,
1989,
173SCRA454
Feli
ciano,
J.
98
FACTS:Pet i
ti
oner swer eco- owner sofal arget ractofagr icul
turall and knownas
“HaciendaVill
aRegal ado”.Apor ti
onoft hi
sl andknownasLotNo.2- C- A-3wassubj ect
tolif
etimeusuf ructuaryr i
ght sofr espondentHel enSchon.Thebul koft hislotwas
cult
ivatedbythel esseeswhocust omar il
ydel iveredt herent al
stor espondent .In1972,
PD27wasenact ed, decreasingt he“ Emanci pationofTenant s”
.Thet ractofl andowned
i
ncommonbyt hepet iti
oner s,including thepor tiont hereofsubj ectt o pet i
ti
oner’s
usufructuar
yrights,f el
lwithint hescopeoft he“ Oper ati
onLandTr ansf er”
.Pet i
tioners
soughtt heopinionoft heDepar tmentofAgr ar i
anRef orm(DAR)ast owhoshoul dbe
enti
tl
edt or
eceivet her entalpay ment swhichcont inuedt obemadebyt het enantst o
respondent.TheDARDi str
ictOf fi
cerr enderedt heopi niont hattherental payment swer e
properlyconsi
der edasamor ti
zationpay ment sf orthel andandassuchshoul dper t
ain
tothelandowner sandnott heusuf r
uct uary
.

I
SSUE:Whet
herornottheusufructuar
ywasex t
ingui
shedbyPD27andwho,bet
ween
t
henakedownerandtheusufructuary
,shoul
dbeent i
tl
edtotheamount
spai
dbythe
t
enant
sbegi
nni
ngOctober21,1972.

HELD:Yes.Theusuf ructwhi chhadt heref oreexistedasaj usi nreal i

enai nf avourof
HelenSchonwasef fecti
velyext i
nguishedbyPD 27.Tohol d,aspr ivat
er espondent
appar entlyurgeswouldobv iouslydefeatt hepur poseoft hel andreform st atute.PD27
wasenact edtoemanci patet het enantsf rom “bondageoft hesoi l
”bygi vingt othe
tenant -f
armersowner shi
poft hel andwhi cht heywer ecultivati
ng.Owner shipov erthe
l
andssubj ectedtotheOper ationLandTr ansf ermov edf r
om t heregisteredownert othe
tenant s.TheCour tholdst hatLotNo.2- C-A-3hav ingbeendecl ar
edpar toft heland
reform ar eaandsubj ectedt otheOper ationLandTr ansfer,thepay ment smadeon
Oct ober21,1972byt hetenant -f
armersconst i
tutedamor ti
zat i
onpay ment sont hecost
oft hel andt hattheywer er equiredtopayunderPD27.Thesepay ment s,t her
efore,
l
egal l
yper tai
nt othepeti
tioner saspar toft hecompensat i
onf orthedomi nionov erthe
l
andofwhi chtheyweredepr ivedofbyoper ati
onofPD27.

Valisnov
.Adr i
ano
G.R.No.L-37409,May23,
1988,
161SCRA398
Grino–Aqui no,J.
99
FACTS:Pl ai ntiff–appel lantNi col asVal i
snoal l
egest hathei st heownerofapar celof
l
andi nNuev aEci j
awhi chheboughtf rom hi ssist er,Honor ataAdr i
anoFr anci sco.Sai d
l
andi spl ant edwi thwat ermel on,peanut s,cor n,t obaccoandot herv eget abl esand
adjoinst hel andofFel i
peAdr iano, ont hebankoft hePampangaRi ver.Att het imeoft he
saleoft hel andt oVal isno,t hel andwasi rri
gatedbywat erf rom t hePampangaRi v
er
throughacanalabout70met ersl ong,t r
av ersi
ngAdr i
ano’ sl and.Lat er ,Adr i
anol ev ell
ed
apor ti
onoft hei r r
igat ioncanalsot hatVal isnowasdepr i
v edoft hei rrigat ionwat erand
prev entedf rom cul t
iv atinghi s57–hect ar eland.Thus,Val i
snof il
edacompl ai
ntf or
depr ivationofwat ersr ight si ntheBur eauofPubl icWor ksandCommuni cat i
ons( Bur eau
–PWC) .Bur eau–PWCr ul
edi nf av ourofVal isno.I nsteadofr estor ingt hei rri
gat i
on
canal ,Adr i
ano asked f orar einv estigati
on oft hecasewhi ch wasgr ant ed.I nt he
meant ime, Val i
snor ebui l
tt hei r
rigat ioncanalathi sownexpenseduet ohi sur gentneed
toirrigat ehi swat ermel onf i
elds.Val isnot henf il
edacompl aintf ordamages.Howev er,
theSecr etar yofBur eau–PWCr ev er sedi t
sdeci sionanddi smi ssedVal isno’ scompl aint.
Ithel dt hatEl adioAdr iano’ swat err i
ghtswhi chhadbeengr ant edi n1923ceasedt obe
enjoy edbyhi mi n1936or1937,whenhi si rr
igationcanalcol l
apsed.Hi snon- useoft he
wat err ightssi ncet henf oraper i
odofmor ethanf ivey ear sext inguishedt hegr antby
oper ationofl aw.Hence, t
hewat err i
ght sdidnotf or m par tofhi sher edi tar yest at ewhi ch
hishei rspar titi
onedamongt hemsel ves.Likewi se,Val i
sno,asv endeeoft hel andwhi ch
Honor atar ecei vedf rom herf ather ’
sest atedi dnotacqui r
eanywat erright swi tht hel and
purchased.Thet r i
al cour theldt hatVal isnohadnor i
ghtt opasst hrought hedef endant '
s
l
andt odr awwat erfr om t hePampangaRi ver.Itpoi ntedoutt hatunderSect i
on4oft he
Irr
igationLaw,cont r
ov ersiesbet weenper sonscl aimi ngar i
ghtt owat erf rom ast ream
arewi thint hej urisdict ionoft heSecr etaryofBur eau-PWC andhi sdeci sionont he
mat teri sf i
nal ,unl essanappeali st akent ot hepr opercour twi thint hirtyday s.Thecour t
maynotpassupont hev alidit
yoft hedeci sionoft hePubl i
cWor ksSecr et arycol l
ater al
ly.
Further mor e,t her ewasnot hingi nVal isno’sev idencet oshow t hatt her esol utionwas
not v alid.I t di smi ssed t he compl aint and count erclaim.Val i
sno’ s mot i
on f or
reconsi der ationwasdeni ed,andheappeal edt ot heCour toft heAppeal swhocer t
ifi
ed
thecaset ot heSupr emeCour t.

I
SSUE:Whethert
hepr
ovisi
onsoft
heI
rr
igat
ionAct(
ActNo.2152)ort
hoseoft
heCi
vi
l
Codeshoul
dappl
ytot
hiscase.

HELD:Thepr ovisi
onsoft heCivi
lCodeshallapply.Theexi
stenceofthei r
ri
gationcanal
onAdriano’
slandf orthepassageofwat erfr
om thePampangaRi vertoHonor ata'
sland
pri
ortoandatthet imeoft hesal
eofHonor ata'
slandtoVali
snowasequi valenttoat i
tl
e
forthevendeeoft helandtocontinueusingitaspr ovi
dedinArt i
cle624oft heCivil
Code:Theexistenceofanappar entsignofeasementbetweent woest at
es,establ
ished
ormai nt
ainedbyt heownerofbot hshallbeconsi der
ed,shouldei t
heroft hem be
ali
enated,asat i
tl
ei nordert hatheeasementmaycont inueact i
vel
yandpassi vely,
unlessatt het i
me,t heownershipofthetwoestatesisdivided,t
hecont r
aryshoul
dbe
providedint het i
tl
eofconveyanceofei therofthem,ort hesignaf or
esaidshoul
dbe
removedbef oretheexecuti
onoft hedeed.Thisprovi
sionshallal
soapplyincaseoft he
divi
sionofat hi
ngownedi ncommononbyt woormor epersons(Civi
lCode).
100
Thi
spr
ovi
sionwasl
i
ftedf
rom Ar
ti
cle122oft
heSpani
shLawofWat
erswhi
chpr
ovi
ded:
Wheneverat r
actofirr
igat
edl andwhichpr evi
ouslyreceivedit
swat ersfrom asi ngl
e
pointisdi
videdthr
oughinheri
tance,sal
eorbyvi rt
ueofsomeot herti
tle,betweent woor
mor eowners,theownersofthehigherestat
esar eunderobligat
iontogi vefreepassage
tot hewaterasaneasementofcondui tforthei rr
igat
ionoft helowerest at
es,and
wit
houtr i
ghttoanycompensat ionther
eforeunlessotherwisestipul
atedi nt hedeedof
conveyance.

Thedeedofsal ei nf avorofVal i
snoi ncludedt he"convey anceandt r
ansf eroft hewat er
ri
ghtsandi mpr ovement s"appur tenanttoHonor at
aAdr iano'sproper t
y .Byt het ermsof
the Deed ofAbsol ute Sal e,the v endorHonor ata Adr i
ano Fr ancisco sol d,ceded,
convey ed and t ransferred t o Dr .Ni colas Valisno al l"ri
ghts,t itl
e,i nterestand
parti
cipati
onsov erthepar celoflandabov e-descri
bed, togetherwi t
honeBer kelyModel
6 YRF Cent rif
ugalPump G"suct i
on,6"di scharge 500- 1500 GPM,wi t
h Ser i
alNo.
5415812andone( 1)setofsuct i
onpi peanddi schargeofpi pewi thel bow,ni ppl
es,
fl
angesandf ootvalves,"andt hewat errightsandsuchot herimpr ovement sapper t
aini
ng
tothepr oper t
ysubj ectoft hi
ssal e. Accor dingt oVal i
sno,thewat errightwast he
pri
mar yconsi deration f orhi s purchase ofHonor at
a's property,forwi thouti tthe
propertywouldbeunpr oduct i
ve.

Wat err i
ghts,
suchast her i
ghttouseadr ainageditchf orirr
igati
onpur poses, whi
char e
appur tenanttoapar celofl and,passwi tht heconv ey anceoft heland,al thoughnot
specificall
yment i
onedint heconv eyance.Thepur chaser'seasementofnecessi tyina
wat erditchrunningacrosst hegr ant
or'slandcannotbedef eat
edev eni fthewat eris
suppl i
edbyat hi
rdperson.Thef actthataneasementbygr antmayal sohav equalif
ied
asaneasementofnecessi tydoesdet ractfrom it
sper manencyaspr oper t
yr i
ght,which
surv i
vest hedeterminati
onoft henecessi ty. Asaneasementofwat ersi nfavorof
Valisno has been est abli
shed,he i s ent it
led to enj oy itfree from obst ructi
on,
disturbanceorwr ongfulint
erfer
ence( 19CJ984) ,suchasAdr i
ano’
sactofl evel
li
ngt he
i
rrigationcanaltodepriv
ehi m oftheuseofwat erfrom thePampangaRi ver.

Ronquil
lo,
et.al.v.Roco,et.al
.
G.R.No.L-10619,February28,1958,
103Phi
l.84
Montemay or,J.

FACTS:Pl ai
nti
ffLeogari
oRonqui
ll
ohavebeeni ntheconti
nuousanduninter
rupteduse
ofar oadwhichtraver
sedthel
andofthedefendants,
Rocos,i
ngoi ngtoI
gualdadStreet
andt hemarketplaceofNagaCit
yformorethan20y ear
sandt hattheRocoshav el
ong
recognizedandrespect
edthepri
vat
elegal
easementofar i
ghtofwayofsaidplainti
ff
s.

OnMay12,1953,t hedef
endantsalongwit
hanumberofmenmal i
ciousl
yobstructed
pl
aint
iff
’sr
ightofwaybyconstr
ucti
ngachapelint
hemi ddl
eofthesai droadandt hen
l
ater,
bymeansoff or
ce,i
nti
midati
on,andt
hreat
s,i
l
legal
l
yandviolent
lyplantedwooden
101
posts,f
encedwi
thbarbedwireandcl
osedher
mit
ical
l
yther
oadpassagewayt
her
eby
prev
enti
ngthepl
aint
if
ffr
om usi
ngit
.

Thepl
aint
if
fclai
mst hathehasal
readyacqui
redtheeasementofri
ghtofwayoverthe
l
andthr
upr escr
ipt
ionbyhisconti
nuousanduninter
rupt
eduseoft henar
row st
ri
pof
l
andaspassageway .However
,pl
aint
if
f’
scomplai
ntwasdismissedbyt
heCFI.

I
SSUE:Whet
herornotaneasementofr
ightofwaycanbeacqui
redbypr
escr
ipt
ion.

HELD:No.TheCour theldt hananeasementofrightofwaymaynotbeacqui redthru

prescr
ipti
onbecauset houghi tmaybeappar ent,iti
snev er
thel
essdiscontinuousor
i
ntermitt
ent,
andtherefor
e, underArt
icl
e622oftheNewCi vi
lCode,canbeacqui redonly
byav irt
ueofat itl
e.Furthermore,arightofwaycannotbeacqui redbypr escript
ion
becauseprescr
ipt
ionrequiresthatt
hepossessi
onbecontinuousanduninter
rupt ed.

Tañedov .Ber
nad
G.R.No.L-66520August30,
1988,
165SCRA86
Padil
la,
J.

FACTS:Pr i
vaterespondentAnt onioCar denasownedLot7501- AandLot7501- B.Ont he
saidtwol ots,asept i
ct ankwasconst ructedfort hecommonuseoft heoccupant sof
bothlots.Cardenassol dLot7501-At oher ei
npet i
tionerTañedoandt heot herLot7501-
B wasal so mor tgaged t o Tañedo asasecur i
tyf ort hepay mentofl oanwi t
han
agreementt hatCar denaswoul donl ysellLot7501- Btohi m.Howev er,saidLot7501- B
wassol dt oher einr espondentSpousesRomeoandPaci t
aSim.Uponl earningoft he
saidsale,Tañedoof feredtor edeem t hepr opertyf rom Si m butt hel atterrefused.
Inst
ead,Si m blockedt hesewagepi peconnect i
ngt hebui l
dingofEduar doTañedobui l
t
onLot7501- A,tot hesept i
ctankinLot7501- B.Heal soaskedTañedot or emovet hat
porti
onofhi sbui l
dingenr oachingonLot7501- B.Tañedowast henconst rainedtof il
e
anactionf orlegalredempt i
onanddamagesi nv okingAr ticle1622oft heCi vilCode.On
theotherhand, r
espondentSpousescl aimedt heyar etheabsol uteowner sofLot7501-
Bandt hatEduar doTañedohasnor i
ghtt oredeem t hel andunderAr t.1622oft heCi vil
Codeast hel andsoughtt oberedeemedi smuchbi ggert hanthel andownedbyTañedo.

ISSUE:Whet
herornotthepet
it
ioner’
sri
ghtt oconti
nuetouset
hesepti
ctank,er
ected
onLot7501-B,ceaseduponthesubdivi
sionoft helandandi
tssubsequentsal
et o
dif
fer
entowner
swhodonothav ethesamei nter
est
.

HELD:No.Applyi
ngAr t
icl
e631and624oft heCivi
lCode,nostatementaboli
shi
ngor
exti
ngui
shi
ngtheeasementofdrainagewasment i
onedint
hedeedofsal eofLot7501-
At oEduardoTañedo.NordidAnt oni
oCar denasstoptheuseoft hedr ai
npipeand
septi
ctankbytheoccupantsofLot7501-Abef or
ehesoldsaidlottoEduardoTafi
edo.
Hence,theuseoft hesepti
ctanki scont
inuedbyoper at
ionoflaw.Accor di
ngl
y,the
spousesRomeoandPaci taSimthenew owner softheserv
ientestat
e(Lot7501-B),
102
cannoti
mpai
r,i
nanymannerwhat
soev
er,
theuseoft
heser
vit
ude.

Costabel
laCorpor
ati
onv .Cour
tofAppeal
s
G.R.No.80511January25,1991,
193SCRA333
Sarmient
o,J.

FACTS:Pet i
tionerownst her ealestat eproper ti
essi tuatedatSi ti
oBuy ong,Mar i
bago,
Lapu- LapuCi ty,onwhi chi thadconst ructedar esor tandhot el.Theprivat
erespondent s,
ont heot herhand,ar et heowner sofadj oi
ningpr oper t
ies.Bef orethepet i
ti
onerbegan
theconst ructionofi tsbeachhot el,thepr i
vater espondent s,ingoingt oandf r
om t heir
respect i
v epr oper ti
esandt hepr ov i
ncialr oad,passedt hroughapassagewaywhi ch
traversedt hepet i
ti
oner '
spr opert
y.I n1981,t hepet iti
onercl osedtheaf orement i
oned
passagewaywhen i tbegan t heconst r
uct i
on ofi tshot el,butnonet hel
essopened
anot herr outeacr ossitspr opertythroughwhi cht hepr ivater espondents,asint hepast ,
wereal lowedt opass.Lat er,orsomet imei nAugust ,1982,wheni tunder tookt he
const ructionoft hesecondphaseofi tsbeachhot el,thepet i
ti
onerfencedi tsproper t
y
thuscl osi ngev entheal ternat i
vepassagewayandpr event i
ngt heprivaterespondent s
from trav ersinganypar tofi t.Therefore,anact ionf orinjunctionwi t
hdamageswasf il
ed
againstt hepet iti
onerbyt hepr i
vater espondent sbef oret het henCour tofFirstInstance
ofCebu.

TheCFIr enderedadeci siononMar ch15, 1984f indingt hatthepr ivater espondentshad

acquir
edav estedr i
ghtov erthepassagewayi ncont r
ov er
sybasedoni t
sl ongexistence
andi t
scont i
nueduseandenj oymentbyt hepr ivater espondent sandal so byt he
communi tyatl arge.Onappeal ,Appel l
ateCour thel daswi thoutbasi st het ri
alcourt'
s
fi
ndingthatthepr ivaterespondent shadacqui r
edav estedr i
ghtov ert hepassagewayi n
questi
onbyv ir
tueofpr escri
pti
on.Theappel latecour tpointedoutt hataneasementof
ri
ghtofwayi sadi scont i
nuousonewhi ch, underAr t
icle622oft heNewCi v i
lCode,may
onlybeacqui redbyv ir
tueofat it
leandnotbypr escri
ption.Thatnot wi t
hstanding,the
appell
atecour twentont or ul
et hat"...int heint erestofj usticeandi ntheexer ci
seby
thi
sCour tofitsequi t
yjurisdi
cti
on, t
her eisnor easonf orUsi nnott reat i
ngt heeasement
heresoughtbyappel leesKat i
punanLumberCo. ,Inc.andPer fectaGuangcoasonet hat
i
snotdependentupont heclaimsoft hepar t
iesbutacompul soryonet hatislegall
y
demandabl ebyt heowneroft hedomi nantestatef rom t heowneroft heser vi
entestate.
"

I
SSUE:Whetherornott
heeasementmaybegr
ant
edt
opr
ivat
erespondentov
ert
hel
and
ofCost
abel
l
a.

HELD:No.I tisalreadywel l
-establ
ishedthataneasementofr ightofway,asisinvol
ved
here,i s di
scont i
nuous and as such can notbe acqui red bypr escr
ipti
on.Insofar
thereforeast heappel l
atecour tadheredt othef oregoi
ngpr ecepts,i
tstoodcor r
ect.
Unf or
tunately
, aftermakingt hecor r
ectpronouncement ,t
herespondentAppellat
eCour t
didnotor derther ev
ersalofthet r
ialcour
t'sdecisi
onandt hedismissalofthecomplaint
afterhol di
ng t hatno easementhad been v ali
dlyconstit
uted overthe peti
ti
oner's

103
property
.I nstead,t
he Appell
ate Courtwenton to commita rev
ersi
ble er
rorby
consideri
ngt hepassagewayi nissueasacompul sor
yeasementwhichthepr i
vate
respondents,asownersofthe" dominant
"estat
e,maydemandf
rom thepet
it
ionerthe
l
atterbeingtheownerofthe"servi
ent"est
ate.

BasedonAr t
icl
es649and650oft heCivi
lCode, theowneroft hedomi nantestatemay
vali
dlyclaim acompul soryrightofwayonl yaf t
erhehasest ablishedtheexi stenceof
fourrequisi
tes,towit
:(1)the( dominant
)est atei
ssur r
oundedbyot heri
mmov ablesand
i
s wi thoutadequate out l
ett o a publi
c highway ;(2)afterpay mentoft he pr oper
i
ndemni t
y;(3)thei
solati
onwasnotduet ot heproprietor
'sownact s;and(4)ther ightof
waycl aimedi satapointleastprej
udici
altot heservi
entestat
e.Int hecaseatbar , t
here
i
sabsentanyshowi ngt hatthepriv
aterespondentshadest abl
ishedt heexist
enceoft he
fourrequisi
tesmandat edbyl aw.

Encarnaci
onv.Cour
tofAppeal
s
G.R.No.77628,Mar
ch11,1991,195SCRA74
Fernan,C.
J.

FACTS:Pet it
ionerownst hedomi nantest at eboundedonnor thbyt heser vientest ate
ownedbyr espondent sandanest ateownedbyMagsi no,al lofwhi char el ocatedi n
Talisay ,
Batangas.Theser vi
entest ateisboundont henor t
hbyt henat ionalhi ghway .To
prov i
deaccesst ot hehi ghway ,aonemet err oadpat hwaspav edt hroughi nwhi chhal f
ofi t
swi dthwast akenf r
om theest at eofMagsi noandt heotherhal ff rom t heest ateof
ther espondent .Pet i
ti
onerst artedanur ser yplantt y
peofbusi nessi nwhi chpushcar ts
wer eusedt ohault hepl antsfr om hi sest atet oandf rom hisnur ser yandt hehi ghway ,
usingt heonemet erroadpat h.Ashi sbusi nessgr ew,heboughtaj eepneyt oenabl ehi m
tot ransportmor epl antsandsoi lcat er i
ngt ot henow bi ggerdemand.Thepr obl em
howev erwast hatt hej eepneycannotpasst hrought her oadpat hsi ncei t
swi dthwoul d
notbeaccommodat edbyaonemet erwi dth.Pet it
ionermadear equestupont he
respondentt osel ltohi m 1½ met ersoft heirpr opertysot hatt hepat hwaymaybe
widenedt oenabl ehisj eepneyt opasst hrough.Ther espondent sr ef used.Pet i
tioner
wentt ocour tpr ay i
ngt hathewoul dbegr antedt headdi ti
onall andt ot her i
ghtofway
alr
eadyconst it
ut edbutt het rialcour tr ender edadeci sionadv erset ot hepet i
tioner
becauset herewasnosuchnecessi tyasi twasshownt hatther ewast hepr esenceof
driedr iverbedonl y80met ersawayf r
om t hepr oper t
yoft hepet i
tionerwhi chhemay
useasanal ternat i
ver oute.TheCAaf fi
rmedsai ddecisionoft het ri
al cour t
.

I
SSUE:Whetherornotpet
it
ioneri
sent
it
ledtobegr
ant
edhi
spr
ayert
obuyt
headdi
ti
onal
l
andtoi
ncreasetheexi
sti
ngonemeterroadpat
h.

HELD:Yes.Ev enwiththepresenceofthedr i
edri
verbed,uponthor
oughinvesti
gati
on,
it
wasf oundtobeani nadequat
er i
ghtofwaybecauseaconcr et
ebridgetraver
sesit
therebythejeepwouldhav etojumpov ersaidbr
idgewhichhasaheightof5met ersi
n
ordert oreachthehighway.Itwasalsof oundthatduri
ngt herai
nyseason,thesame
104
wasi mpassableasi tbecamef looded.Thi sr i
ghtofwaycoul dnotpr ov i
deadequat e
accesstot hehighwayt herebywhenanest atehasnoaccesst oapubl i
croad,itmay
demandf orar ightofway .Fur t
hermor e,underAr t
icle651oft heCivilCode,i tisthe
needsofthedomi nantpropertywhi chulti
mat elydet
erminethewidthoft herightofway.
I
nt hi
scase,si ncet hebusi nessoft hepet it
ionergrew l
argerandpushcar tsbecame
tedi
oustot ransporthisnur serypl ants,itbecamenecessar yforhimt odosowi t
ha
j
eepney.Andi nor dertoef f
icientl
ymakesucht r
ansport
ati
onofhi splants,therightof
wayhadt obewi denedtoaccommodat et hewidthofthejeepneyofthepet iti
oner.The
peti
ti
onerthusshal lbegrantedt headdi t
ionallandtotheexist
ingri
ghtofway .

Casev .Heir
sofTuason
G.R.No.L-5044,
December1,
1909,
14Phi
l.521
Torres,J.

FACTS:Thecounsel fortheheirsofPabl oTuasonandLeocadiaSant ibañezall

egedthat
theparti
eswhom her epresentsareowner sincommonoft hepropertyadjoini
ngthatof
the peti
ti
onerEdwi n Case on t he southwest.The lat
ter,extended his southwest
boundarylinetoapor t
ionoft helotoft hesaidheirsofTuasonandSant ibañez.They
all
egedthatthet r
uedividi
ngl i
nebetweent hepropertyofthepetit
ionerandt hatofthe
saidheir
si sabelongi
ngt other espondents,andthatabouttwoy earsago,whenCase
madeal t
erati
onsinthebui l
dingserectedonhi sl
and,heimproperlycausedapor t
ionof
them torestonthewallownedbyt herespondents.

I
SSUE:Whet herornott
hewal
list
hepr
oper
tyoft
hehei
rsoft
hel
ateTuasonand
Sant
ibañez.

HELD:Thewal li
ncontr
oversybelongstotheheir
softhelat
eTuasonandSantibañez
forthereason,amongothers,
thatinthepubl
icdocumentbywhichoneoft
hei
ror i
ginal
ancestorsacquir
edonthe19t hofApr i
l
,1796,t
heproper
tynowpossessedbythem,i t
appearsthatproper
tywasthenalr
eadyincl
osedbyastonewall
.

Thewallsupportsonl
ytheproper
tyoftherespondent
sandnott hatofthepeti
ti
oner
,
cannotbeapar t
ywall
,one-
halfofwhichalongit
sentir
el engt
hwoul dbelongtothe
adj
oini
ngbuil
dingownedbyMr .Case.Thereisnotsuffici
entprooftosustainsuch
cl
aim,and besides,t
he bui
l
ding erect
ed t
hereon di
sproves t
he pretensi
on ofthe
pet
iti
oner
.

Underar t
icl
e572oft heCi v
ilCodetheeasementofpartywal
lsispresumed,unl
ess
therei
sat i
tl
eorexter
iorsi
gn,orprooft
othecontr
ary,amongother
s,i
ndivi
dingwall
s
adjoi
ningbuil
dingsuptothecommonpointofel
evat
ion.

Thelegalpr
esumptionastopart
ywall
sislimitedtothet
hreecasesdeal
twithinthe
sai
darti
cleofthecode,andi
sthatofj
uri
stantum unl
esst
hecontrar
yappearfr
om the
ti
tl
eofowner shi
poft headj
oini
ngpropert
ies,thati
stosay,thattheenti
rewallin
105
cont
rover
sybel
ongstooneoft
hepr oper
tyowners,orwheretherei
snoexter
iorsi
gnt
o
dest
roysuchpr
esumpti
onandsupportapresumpti
onagainstthepar
tywal
l
.

Itcannotbepr esumedt hattheaforesai

dportionwasapar t
ywal l
,andthatitwasnot
exclusi
velyownedbyt herespondents,i
nasmuchast helat
terhaveprovenbymeansof
agoodt it
lethathasnotbeeni mpugnedbyt hepet i
ti
oner,thatwhenoneoft hei
r
ancestorsandprinci
palsacquir
edt heproper
tyt helotwasalreadyincl
osedbyt hewall
onwhi chthebuil
dingwaser ect
ed;itmustthereforebeunderstoodthatint
hepur chase
ofthepropertyt
hewal lbywhichthelandwasincl osedwasnecessaril
yincl
uded.

Chocov.Santamaria
G.R.No.6076,December29,
1911,
21Phi
l.132
Mapa,J.

FACTS:Thedef endantint hebui l

dingofhi shouse,hasmadesev eralopeni ngsand
windowsi nt hewal l
soft hehouseonbot hsi desov er
looki
ngt henpr opertyoft he
plai
nt iff
; t
hatatt hetimet hedefendantwasbui ldi
nghi shouse, andt hewi ndowsandt he
openi ngswer ebeingmade,t hepl aint
if
fspr ot ested,andl at
eronandi nt hey ear1905
madewr i
ttenpr otestanddemandont hedef endant ,andt hedef endantr eceivedthe
wr i
ttenpr ot estandr efer
redittohi scounsel,who,f rom theev i
dence,appear st ohav e
suggest edanami cableandadj ust mentofthemat ter,butt headjustmentwasnotmade,
andt hi sact i
onwasbr ought.TheTr i
alCourtr ender edj udgmenti nf avoroft hepl aint
if
fs,
Sev erina and Fl ora Choco,and agai nstthe def endant ,Isi
dro Sant amar i
a,f orever
prohi bit
ing t heopeni ng ofthewi ndow stat ed,whi ch mustbecl osed,and f orever
prohi bit
ingt heopeni ngofthewi ndowsandopeni ngsmar ked,whi chmustbecl osedor
madet oconf ormt ot herequirement sofl aw wi thr egardt odi mensi onsandani r
on
grateembeddedi nthewal l
,wit
ht hecostsoft heact ion.

ISSUE:Whetherornotthelowercourter
redbynotorder
inginhi
sjudgmentthef
inal
and
perpet
ualclosi
ngoft helargewindow openedinthebalconyofthebackpartoft he
appell
ee'
shouseandt hat,t
houghtheappell
ant'
slotcanbeseenthrought
hewindow, i
t
i
snotcontiguoustothelat
ter'
spropert
y.

HELD:Toj udgef rom thephot ographicv iews, i

topensont heboundaryl i
nebet weent he
saidlotandt hatt heappel l
eeandi ssituat edper pendicularl
yabov eapar toft hewall
thatbelongst ot heappel l
ants.Thi sopi nioni scor roboratedbyt het estimonyoft he
defendant'
swi tnesswhot ookthesai dphot ogr aphs,i nsof arashesai dthat"apar tof
thewi ndow i nquest i
onisi nf r
ontoft hepl ainti
ffs'proper t
y,sincebet weenitandt he
plai
nti
ffs'pr opertytheredoesnoti nter
v enet hedi stancer equir
edbyl aw— t hatoft wo
met er
si nt hef i
rstcase,and60cent imet ersi nt hesecond,t heref
ore,itsopeni ngisa
mani f
estv iolati
onoft hepr ovi
sionsofar ticle582oft heCi vilCodewhi chreadsas
foll
ows:“ Wi ndowswi t
hdi rectviews,orbal coniesoranysi mil
aropeni ngspr oject
ing
overtheest ateoft heneighbor,cannotbemadei ft hereisnotadi stanceof ,atleast,2
met er
sbet weent hewal linwhi cht heyar ebui l
tandsai dest ate.Neithercansi denor
106
obli
que vi
ews be opened oversaid proper
ty,unless t
hereis a di
stance of60
centi
meter
s.”Becauseoft helackoft hedistancerequi
redbylaw,thewi ndow i
n
questi
onmustbecl osed,andconsequentlythejudgmentappeal
edf r
om shouldbe
modifi
edinthi
ssense,
asregardsthi
swindow.

Soli
dManilaCorpor
ationv.Bi
oHongTradi
ngCo.
,Inc.
G.R.No.90596,
April8,1991,
195SCRA748
Sarmient
o,J.

FACTS:Pet i
ti
onerSol idMani laCor porati
oni st heowneroft hel andi nEr mi ta,Mani la.
Thesamel i
esi nt hev i
cinityofanot herpar cel,registeredint henameoft hepr ivat e
respondentBi oHongTr adi ngCo. ,Inc.Thepr i
vat erespondent ’st it
lecamef rom apr ior
owner ,andi nthei rdeedofsal e,thepar ti
est her et
or eservedaseasementofway .Asa
consequence,t her eisanannot ati
onwhi chwasent eredwher einaconst ructi
onof
privat
eal leyhasbeenunder taken.Howev er,t hepet iti
onerav er redt hattheyandt hei r
neighborshav ebeenusi ngt hepr ivateal l
eyandmai ntai
nedandcont ributedt oi t s
upkeepunt ilsomet i
mei n1983.Duet ot his,t hepr i
vaterespondentconst ructedst eel
gatest hatpr ecludedunhamper edused.Thepet i
ti
onercommencedsui tfori njunction
againstt hepr i
v aterespondentt ohav ethegat esr emov edandt oal l
ow f ullaccesst o
theeasement .Thecour taquoi ssuedexpar teanor derdi r
ectingt hepr ivater espondent
toopent hegat es. Howev er,t heCour tofAppeal sor deredt her estorat i
onoft he
annotation.Theyr uledthataneasementi samer elimitati
ononowner shipandt hati t
doesnoti mpairt hepr i
vater espondent ’sti
tle, andt hatsincet hepr i
v aterespondenthad
acquired t i
tlet ot he pr oper ty,“ mer ger
”br oughtaboutan ext inguishmentoft he
easement .Thepet i
ti
onert henav err
edt hatt hev erydeedofsal eexecut edbet weent he
privat
er espondentandt hepr ev i
ousowneroft hepr operty“ excluded”t heal leyi n
question,andt hatinanyev ent ,theintentoft hepar ti
eswast or etainthe“ all
ey”asan
easement ,notwithstandingt hesal e.

I
SSUE:Whet
herornotaneasementhadbeenext
ingui
shedbymer
ger
.

HELD:No.TheCour thel dt hatnogenui nemer gert ookpl aceasaconsequenceoft he

salei nfavoroft hepr i
v ater espondentcor porati
on.Accor dingt ot heCivilCode,a
mergerexistswhenowner shipoft hedomi nantandser vientest atesisconsol i
datedin
thesameper son.Mer gert hen,ascanbeseen,r equiresf ul
lowner shipofbothest ates.
Onet hi
ngoughtt obenot edher e,howev er
.Theser v i
tudei nquest i
oni saper sonal
servi
tude,t
hati stosay ,oneconst it
utednotinf avorofapar ti
culartenementbutr ather,
forthebenefitofthegener alpublicasstatedinAr ti
cle614oft heCi v
ilCode.Inpersonal
servi
tude,thereist herefor eno“ ownerofadomi nantt enement ”t ospeakof ,andt he
easementper tai
nst oper sonswi t
houtadomi nantest ate,int hiscase, t
hepubl i
catlarge.
Merger ,aswesai d,pr esupposest heexi st
enceofapr i
orser v
ient-dominantowner
rel
ationshi
p,andt het ermi nati
onoft hatrel
ationleav est heeasementofnouse.Unl ess
theownerconv eyst hepr opertyinf av
oroft hepubl ic,ift hati spossi bl
e,nogenui ne
mergercant akeplacet hatwoul dterminateaper sonal easement .
107
Fl
orov.Llenado
G.R.No.75723,June2,
1995,
244SCRA713
Romeo, J.

FACTS:Pet itionerSi meonFl oroi st heownerofFl oroPar kSubdi visi onwhohasi tsown
egr essandi ngr esst oandf r
om t heMacAr thurHi ghwaybymeansofi tsRoadLot4and
the PNR l ev elcr ossing.On t he ot herhand,RespondentOr lando Ll enado,i st he
regi steredownerofLl enadoHomesSubdi vision,adj acentt oFl or oPar kSubdi visi
on.
Pr iort oi ts pur chase byLl enado,t he land was known as t he EmmanuelHomes
Subdi vi
sion,adul ylicensedandr egi st eredhousi ngsubdi v i
sioni nt henameofSol edad
Or tega.Boundedont heSout hbyt he5t o6met er -widePal anasCr eek, whi chsepar ates
i
tf rom t heFl oroPar kSubdi vision,andont hewestbyr icelandsbel ongi ngt oMar cial
Ipapo.t heLl enadoHomesdoesnothav eanyexi stingr oadorpassaget ot heMac
Ar thurHi ghway .Howev er,a pr oposed accessr oad t rav ersing t he i dler iceland of
Mar cialIpapohasbeenspeci fi
callypr ov i
dedi nt hesubdi v i
sionpl anoft heEmmanuel
Homes Subdi vi
sion whi ch was dul y appr ov ed by t he def unctHuman Set tlement
Regul atoryCommi ssion.Meanwhi le,t heLl enadossought ,andwer egr ant edper mi ssion
byt heFl orost ouseRoadLot s4and5oft heFl oroPar kSubdi vi
sionaspassagewayt o
andf rom MacAr thurHi ghway .Howev ernocont ractofeasementofr ightofwaywas
ev erper f
ect edbybot hpar ti
es.Lat er ,Flor obar ri
cadedRoadLot5wi thapi l
eofr ocks,
woodenpost sandadobest ones,t her ebypr ev ent i
ngi tsusebyt heLl enados.Ll enado
i
nst i
tutedacompl aintbef oret heRTCofMal olos, Bul acanagai nstFl orof oreasementof
rightofway .TheRTC gr antedt hepr ayerf ort hei ssuanceofawr itofpr el
imi nar y
mandat oryi njunctionandor der edFl or ot oopent her oadandpaydamages.Ther eafter,
thet ri
alcour trender edanot herj udgmentdi smi ssingt hecaseandl iftingt hewr itof
pr eli
mi narymandat or yi njunct i
onpr ev i
ousl yi ssuedandor der edt hepl ai ntif
ft opay
def endantdamagesandcost s.OnappealbyLl enadoont heCA,t hej udgmentoft he
RTCwasr ev ersedor der ingFl orot oopenr oads4and5andr emov eal lt heobj ectst hat
pr eventpassageonr oad5andt opayt hepl aint i
ffdamageswi t
hcost sandpay mentof
i
ndemni tyf ort heeasementofr i
ghtofway .

I
SSUE:Whet
herornotLl
enadoi
sent
it
ledt
oacompul
sor
yeasementofr
ightofway
.

HELD:No.Fort heLl enadost obeent i

tledt oacompul soryser vit
udeofr i
ghtofway
undert heCi vilCode,thepr econditionspr ovidedunderAr ti
cles649and650t hereof
mustbe est abli
shed.These pr econditions ar e:(1)t hatt he domi nantestatei s
surroundedbyot herimmov ablesandhasnoadequat eout l
ett oapubl ichighway( Art.
649, par.1);(
2)afterpay mentofpr operindemni ty(Art.649,par.1);(3)thattheisolati
on
wasnotduet oactsoft hepropri
etoroft hedomi nantestate(Art.649,lastpar.)
;and, (
4)
thatther ightofwaycl aimedisatt hepoi ntleastprejudi
cialtot heserv i
entestate;and
i
nsof arasconsi stentwi t
hthisrule,wher et hedi st
ancef rom thedomi nantestatetoa
publichighwaymaybet heshortest( Art
.650) .

108
Thebur denofpr ovingt heexi stenceoft hepr erequisit
est ov ali
dlyclaim acompul sory
ri
ghtofwayl iesont heowneroft hedomi nantest ate.Ont hepastsubdi visionplansby
EmmanuelHomeswhi chi sboughtbyLl enado, t
herei sani ndi cationofanaccessr oad
throughI PAPO’ spr oper tyalthoughi twasnotpr oper l
ypav ed,adi rtroadwi l
lsuf fi
ce.
Seeingt his,Llenadohasf ai
ledt ocompl ywi ththef i
rstr equi r
ement .Ift heser vit
ude
requested by Ll enado i s allowed,ot hersubdi vision dev eloper s/owner s woul d be
encouragedt ohast il
ypr epareasubdi visionplanwi thfictit
iouspr ovi
sionsf oraccess
roadsmer el
yf orregistrationpur poses.Fur ther
mor e, i
fsuchpr acticewer et olerat
ed, the
verypur posef orwhi chPr esidentialDecreeNo.957wasenact ed,t hatis,t opr otect
subdivi
sionbuy ersf rom unscr upuloussubdi visi
onowner s/dev eloperswhor enegeon
theirdut i
es t o dev elop t heirsubdi vi
sions in accor dance wi t
ht he dul y approv ed
subdivi
sionpl ans,woul dbedef eated.

Inordertojustif
ytheimposi ti
onoftheservi
tudeofr i
ghtofway ,t
her
emustbear eal
,
notaf i
cti
ti
ousorar t
if
icialnecessi
tyf
orit
.Mer econveniencef
orthedomi nantest
ateis
notwhatisr equir
edbyl awast hebasi
sforsetti
ngupacompul sor
yeasement .Evenin
thefaceofanecessi ty,ifi
tcanbesat i
sfi
edwi t
houtimposingtheservi
tude,thesame
shouldnotbei mposed.

Thecompl aintforeasementofr ightofwayf il

edbyLl enadointhel owercour tdidnot
containapr ayerf orthef ixingoftheamountt hathemustpayFl orointheev entt hatthe
easementofr ightofwayi sconst i
tuted.Thus, t
heexistenceofthesecondr equisi t
ehas
l
ikewisenotbeenest ablished.Pr ivaterespondentLl enadoadmi ttedthatt heI papo
ri
celand was no l ongerbei ng culti
vated.Indicati
ons aret hatithas alreadybeen
abandonedasar i
cefiel
d.Ther ewasno r easonf orpr i
vat
er espondent'
sf ai l
uret o
developt her i
ghtofwayexceptt hei nconvenienceandexpensesi twouldcosthi m.
Hence,t het hi
rdr equisi t
ehasnotbeenmet .Fai l
i
ngt oestabli
sht heexist
enceoft he
prer
equi sit
esunderAr ticles649and650oft heCi vi
lCode,pri
vaterespondentLl enado's
bidforacompul soryeasementofr ightofwayov erRoadLot s4and5oft heFl oroPar k
Subdivisionmustf ail
.

Quimenv .Cour
tofAppeals
G.R.No.112331May29, 1996,
257SCRA163
Bell
osi
ll
o, J.

FACTS:Pet i
ti
onerAnast acia Quimen t ogetherwi t
h herbr other
s Sotero,Sul pi
cio,
Antonioandsi sterRuf i
nai nher
itedapi eceofpr oper t
ysi tuatedinPandi ,Bulacan.They
agreedtosubdi videthepr opert
yequal l
yamongt hemsel ves,ast heydid,withtheshar es
ofAnast acia,Sot ero,Sulpici
oandRuf i
naabut t
ingt hemuni cipalroad.Locateddi r
ectly
behindthel otsofAnast aciaandSot eroist heshar eoft heirbrotherAntoniodesi gnated
asLotNo.1448- B-Cwhi cht hel att
erdi videdintot wo( 2)equalpar ts,now Lot sNos.
1448-B-6-Aand1448- B-6-B.Thel atterLoti sbehi ndt hepr oper tyofSotero,fat herof
pri
vater espondentYol andaOl iveros.Yol andapur chasedLotNo.1448- B-6-Afrom her
uncleAnt oniot hroughherauntAnast aciawhowast henact ingashi sadmi nistratr
ix.
109
Accor dingt oYol anda, whenpet i
tionerof fer edhert hepr oper tyf orsal eshewashesi t
ant
tobuyasi thadnoaccesst oapubl i
croad.ButAnast aciapr ev ail
eduponhert obuyt he
l
otwi tht heassur ancet hatshewoul dgiveherar i
ghtofwayonheradj oiningpr operty.
Thereaf ter,Yol anda const ruct ed a house on t he l otshe boughtusi ng as her
passagewayt ot hepubl i
chi ghwayapor tionofAnast acia'spr oper ty.ButwhenYol anda
fi
nallyof feredt opayf ort heuseoft hepat hwayAnast aci ar efusedt oacceptt he
payment .I nf actshewast hereaf terbar redbyAnast aciaf rom passi ngt hroughher
proper t
y .Lat er ,
Yol andapur chasedt heot herl otofAnt onioQui men, LotNo.1448- B-6-B,
l
ocat eddi rectlybehi ndt hepr oper tyofherpar entswhopr ov idedherapat hwaybet ween
thei
rhousef rom t hel otofYol andabehi ndt hesar isar istor eofSot ero, andAnast acia'
s
peri
met erf ence.Thest or eismadeofst rongmat erialsandoccupi est heent iref r
ontage
oft hel otmeasur i
ngf our( 4)met erswi deandni nemet er s( 9)l ong.Al thought he
pathwayl eadst ot hemuni ci palr oadi ti snotadequat ef ori ngr essandegr ess.The
muni cipalr oadcannotber eachedwi t
hf aci l
itybecauset hest or eitsel fobst ructsthe
pathsot hatonehast opasst hrought hebackent ranceandt hef acadeoft hest oreto
reacht her oad.Fi nall
y ,Yol andaf i
ledanact ionwi tht hepr opercour tpr ayingf orar i
ght
ofwayt hr oughAnast aci a'spr oper ty.Ther epor twast hatt hepr oposedr ightofwaywas
attheext remer ightofAnast acia'spr oper tyf acingt hepubl ichi ghway ,starti
ngf rom the
backofSot er o'
ssar i
-sar istor eandext endi ngi nwar dbyone( 1)met ert oherpr operty
andt ur ningl eftf oraboutf iv e( 5)met erst oav oidt hest or e.Howev er ,thet ri
alcour t
dismissedhercompl aint .TheCour tofAppeal sr ev ersedt hedeci siondecl aringt hatshe
wasent it
ledt oar ightofwayonpet i
tioner ’
spr oper tyandt hatt hewaypr oposedby
Yolandwoul dcauset hel eastdamageanddet ri
mentt otheser vientest ate.

ISSUE:Whet herornotpassi ngt hr

oughthepr
opert
yofYolanda'
sparent
sismore
accessi
bletot hepubl
i
cr oadt hantomakeadetourt
oherpr
opertyandcutdownt
he
avocadotreestandi
ngthereon.

HELD:Yes.Thecondi tonssi
i nequononf orav al
idgrantofaneasementofr ightofway
are:(a)thedomi nantest
ateissurroundedbyot herimmov ableswithoutanadequate
outlett
oapubl ichi
ghway;(b)thedominantest at
eiswi l
li
ngt opayt heproperindemni
ty;
(c)theisolat
ionwasnotduet otheactsoft hedomi nantestate;and,(d)ther
ightofway
beingclaimedisatapointleastpr
ejudi
cialtotheser v
ientestate.

Thecriter
ionofl eastpr ejudicet otheser v
ientest atemustpr evailoverthecr iter
ionof
short
estdi stanceal thought hisisamat terofj udi ci
alappr eciat
ion.Whi leshor test
dist
ancemayor dinaril
yi mplyl eastpr ejudice,itisnotal way ssoaswhent herear e
permanentst ructuresobst ructingt heshor t
estdist ance;whi leont heot herhand,t he
l
ongestdi stancemaybef reeofobst r
uctionsandt heeasiestormostconv enientt o
passthrough.Inot herwor ds, wher etheeasementmaybeest abl
ishedonanyofsev er al
tenementssur roundingt hedomi nantest ate,theonewher et hewayi sshortestandwi l
l
causethel eastdamageshoul dbechosen.Howev er,aselsewher estated,iftheset wo
(2)cir
cumst ancesdonotconcuri nasi nglet enement ,thewaywhi chwi llcauset he
l
eastdamageshoul dbeused, ev enifitwillnotbet heshor t
est .

Asbet
weenar
ightofwayt
hatwoul
ddemol
i
shast
oreofst
rongmat
eri
alst
opr
ovi
de
110
egresstoapubl
ichi
ghway,andanotherri
ghtofwaywhichal t
houghl
ongerwil
lonl
y
requir
eanav
ocadotr
eetobecutdown,thesecondal
ter
nat
iveshoul
dbepref
err
ed.

DeJesus,
et.al
.v.HomartCorporat
ion,et
.al
.
G.
R.No.44191–R, August28,1974,19CARep.831

FACTS:JesusandLuzMi r
andadeJesusar eowner soft hebuildinglocatedinTondo,
Mani l
a.Theybr oughtanact ionfordamagesagai nstHomar tCor porati
onandHowmi l
l
Manuf acturi
ngCor por
ation,owner softhelandadjoiningt heplaintiffonthesamest r
eet
wher e a sixtystoreyconcr ete bui
ldi
ng wasconst ructed.Pl aintiffsall
ege thatt he
defendant sf ai
l
ed to obser vethe necessar ycare and pr ecaut i
ons to protectt he
constructionoft heplai
ntif
fsbydepr i
vingitofsufficientl at
eralorsubj acentsuppor t
,
therebycausi ngittosinki nsomepar ts;it
swal l
s,cei li
ngs,andf l
oori
ngst ocr ackin
somepl aces;andbyt hecarelessmannerofhandl i
ngt hecementusedt heroofing’sof
thebuildingoftheplai
ntiffweredamagedwi ththeaccumul at
eddebr i
spil
edthereon.

ISSUE:Whet herornotpr operprecaut

ions had been t
aken byt
he defendantsin
construct
ingthebui
l
dingi
nquesti
onsoast oprev
entcausi
ngdamagetothebuil
dingof
theplaint
if
f.

HELD:No.Ar t
icl
e684oft heNew Ci vilCodepr ovi
des“ Nopr opertyshal lmakesuch
excav at
ionsuponhi sl
andast odepr i
veanyadj acentlandorbui ldi
ngsuf fi
cientlateralor
subjacentsuppor t
”.AreadingofAr ti
cle684showst hatthedut yofanadj acentowner
nottodepr iveanyadjacentlandorbui ldingofsuf f
ici
entlateralorsubjacentsuppor tis
anabsol uteone.Itdoesnotdependont hedegr eeofcareandpr ecautionmadebyt he
proprietori nmaki ngtheexcav ati
onorbui ldi
ngonhi sl and.Plainti
ffs’housewhi ch
adjoinst hesev enstor
eyconcr etebuil
di ngconst r
uctedbyt hedef endantshadsunkby
aboutei ghtinches.Thesinkingoft helef tsideoft hehouseoft heplai
nt i
ffswasduet o
theweakeni ngofsubj acentsuppor tandt ot hewei ghtoft hesev enst oreyconcr ete
buil
dingconst ruct
edbyt hedef endant,ast heexcav ati
onmadenecessar il
ydi sturbed
the subj acentsoi lofthe plaint
if
f’sland.Def endants having fai
led to pr ovide the
plai
nt i
ff
’sl andandhousewi t
hsuf fi
cientl ateralandsubj acentsuppor tar eli
abl efor
damages.

LaVistaAssoci
ati
on,I
nc.v
.Cour
tofAppeal
s
G.R.No.95252,
September5,
1997,
278SCRA498
Bell
osi
llo,
J.

FACTS:TheTuasonsownedav astt
ractoflandi
nQuezonCityandMar i
kina,andwhen
theysoldtoPhil
ippineBui
ldi
ngCorporat
ionapor ti
onoft hei
rlandholdi
ngs,itwas
expressl
ypr
ovi
dedi ntheDeedofSalewithMortgagethatt
heboundar yli
nebetween
111
theproper
tysoldandt headjoi
ningpr opert
yoftheTuasonsshallbear oadfift
een(15)
meterswide,one-halfofwhichshal lbetakenfr
om theproper
tysol dtothePhi l
i
ppine
Buil
dingCorporati
onandt heot herhalffrom t
heporti
onadjoiningbelongingtot he
Tuasons.Phil
i
ppineBuildi
ngCor porati
onthensoldandassi
gnedwi ththeconsentofthe
Tuasons,thesubjectparceloflandt oATENEOwhi chassumedt hemor tgageandt he
obli
gati
oninthesev enandone-halfroadway .

Ontheirpart
,theTuasonsdev elopedapar toftheest ateadjoi
ningt hepor
tionsol dto
Phil
i
ppineBuil
dingCorporat
ionintoar esi
dent
ialvil
l
ageknownasLAVI STASubdivisi
on.
Thustheboundar ybetweenLAVI STAandt hepor ti
onsol dtoATENEO wast he15-
meterwideroadwayknownast heMangy anRoad.TheTuasonsdev el
opedits7.5-meter
shareofthe15-meterwideboundar y,whi
leATENEOdef err
edimpr ovementonitsshar e
anderectedi
nsteadanadobewal lontheenti
relengthoftheboundar y.

ATENEOsubsequent
lysol
dtoSoli
dHomesInc.thel
andwhicht
helatterdev
elopedint
o
asubdiv
isi
onnowknownasLOYOLAGr andVil
l
as.Sol
idHomesInc.nowclaimstohave
aneasementofr i
ght-
of-
wayalong Mangy
anRoad t hr
oughwhicht heycould hav
e
accesst
oKati
punanAvenue.

LAVI STAhoweverinstruct
edi tssecur
it
yguar dstoprohibi
tagent
sandassigneesof
Soli
dHomes, I
nc.
,fr
om t raver
singMangyanRoad, andevenconstr
uctedconcr
etepost
s
thatprev
ent
edtheresidentsofLOYOLAf rom passi
ngthrough.

Soli
dHomes, Inc.,
filedacasebef oretheRegi onalTr
ialCourtandpr
ayedt
hatLAVISTA
beenjoinedf
rom pr ev ent
ingandobstructi
ngt heuseandpassageofLOYOLAr esi
dents
thr
oughMangy anRoad.Thel owercourtrecognizedtheeasementofri
ght
-of
-wayalong
Mangy anRoadi nfav orofSoli
dHomes, I
nc.,andorderedLAVI STAt
opaydamages.On
appealbyLAVI STA, thedecisi
onofthelowercour twasaf f
ir
med.

I
SSUE:Whet
herornott
her
eisaneasementofr
ight
-of
-wayov
erMangy
anRoad.

HELD:Yes.Thepr edecessor s-i

n-i
nterestofbot hLAVI STAandSol i
dHomes,I nc.,i
.e.
,
theTuasonsandt hePhi l
i
ppineBuildingCor poration,respect
ivel
y,clearl
yest ablisheda
contract
ualeasementofr i
ght-
of-wayov erMangy anRoad.A v oluntar
yeasementi s
quit
eev i
dentlymani festedinthestipulati
onint heDeedofSal ewithmor tgageexecut ed
by them.When t he easement was est ablished by t heir contr
act ,the par t
ies
unequivocall
ymadepr ov
isi
onsf ori t
sobser v ancebyal lwhom i nt hef uturemi ght
succeedt hem indomi nion.Iti
sthusv eryappar entthattheparti
esandt heirrespective
predecessors-i
n-i
nteresti nt
ended t o est abl
ish an easementofr i
ght-of-
way ov er
Mangy anRoadf orthei rmutualbenefit,bothasdomi nantandserv i
entestates.

Witht hi
s,thef
reeingressandegr
essalongMangy anRoadcreat
edbyt hev ol
untary
agreementbetweenAteneoandSoli
dHomes,I nc.
,isthusl
egall
ydemandable(Art
icles
619and625,NewCi vi
lCode)wi
ththecor
respondi
ngdut yontheserv
ientest
atenott o
obstructt
hesame.

112
LAVI STAcontendsthatthereareotherroutestoLOYOLAf r
om Mangy anRoad,however,
thisshoul
dnotbet akenintoconsiderati
onsincetheopeni
ngofanadequat eoutlett
oa
highwaycanext i
nguishonlylegalorcompul soryeasements,notvol
untar
yeasement s
l
ikeinthecaseatbar .Thefactthataneasementbygr antmayhav ealsoqual
if
iedasan
easementofnecessitydoesnotdet ractfrom i
tspermanencyasapr opert
yri
ght,which
survi
vestheterminat
ionofthenecessi t
y.

Al
cantarav.Reta,
Jr.
G.R.No.136996,December14,
2001,
372SCRA364
Pardo,J.

FACTS:Al cantaraandt heot herpet i

t i
oner scl ai
mt hatt heywer etenant sorlesseesof
thelandownedbyRet a.Thel andhasbeenconv er tedi ntoacommer ci
alcent erand
Retai sthr
eateningtoej ectt hem.Theycl aimt hatsi ncet heyar
elegiti
mat etenant sor
l
esseesofsuchl and,t heyhav et her i
ghtoff i
rstr efusalto purchaset hel and i
n
accordancewi thSection3( g)ofPr esident ialDecreeNo.1517,t heUr banLandRef orm
Act. Theyal socl aimedt hatt heami cabl eset t
lementexecut edbet weenRet aand
RicardoRoble,oneoft hepet it
ioner s,wasv oi abi
d  niti
o forbei
ngv iolati
veofPDNo.
1517.Ont heotherhand, Retacl ai
medt hatt helandi squest i
onisnotwi t
hinthescope
ofPDNo.1517si ncei twasnotpr oclai medasanUr banLandRef orm Zone( ULRZ) .
Alcantar
a,amongot hers, t
henf i
ledcompl aintfortheexer ciseoftherightoff i
rstrefusal
underPD No.1517 i nt he Regi onalTr ialCour t. Howev er
,such compl aintwas
dismissedandsuchdi smi ssalwasaf f i
rmedbyt heCour tofAppeal s.Hence,t hi
s
petit
ionwasf i
led.

I
SSUE:Whet
hert
heAl
cant
araandt
heot
herpet
it
ioner
shav
ether
ightoff
ir
str
efusal
.

HELD:No.Thel andi nvolvedhasnotbeenpr oclai

medanUr banLandRef or
m Zone
(ULRZ).Inf act,petiti
onersf i
l
ed a peti
ti
on wi
tht he NationalHousing Authorit
y
request
ingt hatsaidlandbedecl aredasanULRZ.Clear
ly,t
her equestt
ohav etheland
procl
aimedasanULRZwoul dnotbenecessar
yifthepropertywasanULRZ.PDNo.
1517per t
ainst oareaspr oclai
medasULRZ.Consequently,pet
itioner
scannotcl
aim any
ri
ghtundert hesaidlawsi ncet helandi
nvol
vedi
snotanULRZ.

Tobeabl etoqual i
fyandav ailoftherightsandpr ivi
legesgr antedbyt hesaiddecree,
onemustbe: (1)alegit
imatetenantofthel andforten( 10)yearsormor e;(2)musthave
buil
thishomeont helandbycont r
act;and, (
3)hasr esidedcont i
nuousl
yf orthel
astten
(10)years. Thosewhodonotf al
lwi t
hint hesaidcat egorycannotbeconsi dered
"l
egit
imatet enants"and,therefor
e,notent i
tledtother ightoff i
rstr
efusaltopurchase
thepropertyshouldt heowneroft helanddeci detosel lthesameatar easonabl
epr i
ce
withi
nar easonabletime.

Retadeniesthathehasleaseagreement
swithAlcantar
aandRobl
e.Alcantar
a,onthe
otherhand,f
ail
edtopresentevi
denceofaleaseagreementot
hert
hanhistest
imonyin
113
court.Retaall
owedRobl etousesi xt
y -
two(62)coconuttreesf orP186from wherehe
gatheredtuba. Thisarr
angementwoul dshow thatitisausuf ructandnotal ease.
Roblewasal soall
owedt oconstructhishouseont hel
andbecausei twouldfaci
li
tate
hi
sgat her
ingof 
tuba.Thiswoul dbeint henatur
eofaper sonaleasementunderAr ti
cle
614oft heCivlCode.Whet
i hertheami cabl
esettl
ement 
isv ali
dornot ,t
heconclusion
wouldstil
lbethesamesincet heagreementwasoneofusuf ructandnotoflease.Thus,
Robleisnotalegit
imatetenantasdefinedbyPDNo.1517.

Withregardtotheot herpetit
ioners,Retaadmi t
tedthathehadv erbalagreementswit
h
them.Thisnotwithstanding,t
heyar est il
lnotthelegi
ti
matet enantswhocanexer ci
se
theri
ghtoffir
strefusalunderPDNo.1517.Fr om themomentRet ademandedt hatt
he
peti
ti
onersvacatethepr emises,thev erball
easeagreements,whichwer eonamont hl
y
basissi
ncerentalswer epaidmont hl
y ,
 
ceasedt oexi
stastherewast er
mi nat
ionoft
he
l
ease.

I
nconclusi
on,noneoft
hepet
it
ioner
sisqual
i
fiedt
oexer
ciset
her
ightoff
ir
str
efusal
underPDNo.1517.

Therewasal sonointent
ionont hepartofRetatosellthepropert
y.Hence,evenifthe
peti
ti
oner
shadt heri
ghtoffir
strefusal
,thesit
uati
onwhi chwouldall
owt heexer
ciseof
thatr
ight
,thatis,t
hesaleorintendedsaleofthelandhasnothappened.PDNo.1517
appli
eswheretheowneroft hepropertyi
ntendstosel
littoathir
dparty.

Pr
osperi
tyCredi
tResour
ces,
Inc.v.Cour
tofAppeal
s
G.
R.No.114170,Januar
y15,1999,301SCRA52
Mendoza,J.

FACTS:Pr iv
at er espondentMet r
opol i
tanFabr i
cs,I nc.(MFI )andpet iti
onerPr osper i
ty
Credi tResour ces,I nc.( PCRI)execut edaMemor andum ofUnder taking( MOU)wher ei
n
PCRIaccededt oMFI ’
sr equesttoredeem t hr
eeoft hesev enlot sfor eclosedandwonby
thef ormeri nt heensui ngpubl icauction.TheMOAwascondi ti
onedupont heagr eement
thatt hepet i
ti
onershal lbegi venar ightofwayont heexi sti
ngpr i
v ater oadwhi chf orms
partoft hear eat ober edeemedbypr ivaterespondent s.Lat er,PCRIf i
ledani njunctive
suitagai nstMFIal leging,interali
a,thatt helatt
er,inv iol
at i
onoft het ermsoft heMOU,
refusedt oallow PCRIt omakeexcav ati
onsononesi deoft heaccessr oadf orthe
i
nst allati
onofwat er.Thet ri
alcour tgrantedt hepet iti
onf ort heissuanceoft hewr i
tof
preli
mi narymandat oryi nj
unction.Onappeal ,t
heCAsetasi det heassai ledor deroft he
tri
al cour t
;hence, thispet i
ti
onf orreviewoncer t
iorari.PCRIcont endst hatitisent i
tl
edto
theissuanceoft hewr i
tofpr el
iminarymandat oryinjunctionasmaybegl eanedf rom the
foll
owi ngprov isioni nt heMOU:Theabov ecit
edl ot,beinganexi stingpr i
vater oad,wi l
l
remai n open t oi ngress and egr ess f orwhat ev erki nd ofpassage i nf av orof
PROSPERI TYFI NANCI ALRESOURCES, I
NC.ori t
ssuccessor s=i n-i
nt erest.

I
SSUE:Whet
herornott
heRTCcommi
tt
edgr
aveabuseofdi
scr
eti
oni
nissui
ngawr
itof
114
prel
i
minarymandator
yinjuncti
onor der
ingpri
vat
er espondentto al
low peti
ti
onerto
undert
akeexcav
ati
onsal
ongt heaccessroadf
orthepurposeofinst
all
i
ngwat erpi
pes.

Held:Yes.Therei snoquest ionast othemeani ngoft het er

ms“ i
ngress”and“ egr
ess”.
Theygivepet i
ti
onert herightt ouset heprivateroadasmeansofent ryint
oandexi t
from i
tspropertyont henor thwesternsideoft hecompound.Thequest i
onconcer ns
themeani ngoft hephr ase“ forwhatev erkindofpassage” .Thet r
ialcourtreadthis
phrasetomeant hatpet i
tionerhadt her i
ghtt omakeexcav ationsont hesideoft he
accessroadi nor dert oinst al
lanet wor kofpi pes.Thewor d“ passage”doesnot ,
however;“cl
earlyandunmi stakabl
y”conv eyameani ngt hatincludesar i
ghttoinstal
l
waterpipesont heaccessr oad.Theor dinarymeani ngoft hewor d,asdef i
nedi n
Webster’
sDi ct
ionar y,isthatactoract ionofpassi ng:mov ementort ransfer
encefrom
oneplaceorpoi nttoanot her.”thi
slegalmeani ngisnotdi f
fer
ent .I
tmeans, accordi
ngt o
Black’
sLawDi ctionary,theactofpassi ng;tr
ansit;t
ransi
tion.

Vi
ll
anuev
av .Vel
asco
G.
R.No.130845,November27,
2000,
346SCRA99
Qui
sumbing,J.

FACTS:Pet it
ionerBr yanVi l
l
anuev ai st her egisteredowneroft hepar celofl andcov er
ed
byTr ansf erCer tifi
cateofTi t
leNo.127862oft heRegi sterofDeedsofQuezonCi t
y.He
boughti tf rom Paci f
icBanki ngCor por ation,t hemor t
gageeofsai dpr operty
.When
peti
tionerboughtt hepar celoflandt her ewasasmal lhouseoni tssout heast ernpor ti
on.
Itoccupi edonemet eroft het wo- met erwi deeasementofr ightofwayt heGabr iel
spousesgr antedt ot heEspinolas,pr edecessor s-in-inter
estofpr i
vat erespondent s,ina
ContractofEasementofRi ghtofWay .Unknownt opet i
ti
oner ,ev enbef orehebought
theland, theGabr i
elshadconst r uctedt heaf orement ionedsmal lhouset hatencr oached
upont het wo- met ereasement .Pet itionerwasal sounawar et hatpr ivater espondent s,
Juli
o Sebast i
an and Shi rl
ey Lor ill
a,had f i
led on May 8,1991 f oreasement .As
successor s-i
n-interest,Sebast ian and Lor il
la want ed t o enf orce t he cont ractof
easement .OnAugust13,1991,awr itofpr el
imi nar ymandat oryi njunctionwasi ssued,
orderingt heGabr iel
st opr ov i
det her ightofwayandt odemol i
sht hesmal lhouse
encroachi ngont heeasement .OnJanuar y5, 1995, JudgeTi rsoVel ascoi ssuedanAl ias
Wr i
tofDemol i
tion.Meanwhi le,pet iti
onerf il
edaThi rdPar tyCl aim wi thPr ayertoQuash
Ali
asWr i
tofDemol iti
on.Hemai ntainst hatt hewr itofdemol iti
oncoul dnotappl ytohi s
proper tysincehewasnotapar tyt ot heci vilcase.

I
SSUE:Whet
herornott
heeasementont
hepr
oper
tybi
ndspet
it
ioner
.

HELD:Yes.Unli
keothert
ypesofencumbr anceofrealpropert
y,aservit
udelikearightof
waycanexistevenift
heyar enotexpresslystat
edorannot at
edasanencumbr anceina
Tor
rensti
tl
ebecauseser v
itudesareinseparablefr
om theestatestowhi chtheyactiv
ely
orpassi
vel
ybelong.Moreov er
,Vil
lanuev awasboundbyt hecontractofeasement ,not
onl
yasav olunt
aryeasementbutasal egaleasement
.Al egaleasementi smandatedby
115
l
aw, andconti
nuestoexistunl
essitsremovali
sprovi
dedforinatit
leofconvey
anceor
the sign ofthe easementi sremov ed bef
orethe execut
ion ofthe convey
ance
conformablywi
thArti
cle649inaccordancewit
hArt
icl
e617oft heCi
vil
Code.

NationalI
rr
igat
ionAdmini
str
ati
onv.CourtofAppeal
s
G.R.No.114348,Sept
ember20,2000,340SCRA661
Pardo,J.

FACTS:Af r
eepat entov er3hect aresofl andi nCagay anwasi ssuedandr egisteredi n
the name ofpr ivat
er espondentDi ck Mangl apus’pr edecessor -
in-
interest,Vi cent e
Mangl apus.Thel andwasgr antedt othel attersubj ecttothepr ovisionsofsect ions113,
121,122and124ofCommonweal t
hActNo.141whi chpr ovidet hatexcepti nfav orof
theGov er nmentoranyofi tsbr anches,uni ts,ori nstit
uti
ons,t hel andher ebyacqui red
shallbei nali
enabl eandshal lnotbesubj ectt oencumbr ancef oraper i
odof5y ears
from t hedat eoft hi
spat entandshal lnotbel i
ablef orthesat isfactionofanydebt
cont r
act ed pri
ort ot heexpi r
ati
onoft hatper iod.Subsequent ly,pr i
v ater espondent
Mangl apusacqui redt hel otf rom Vicent eMangl apusbyabsol utesal eandwasl ater
registered11y earsl aterf r
om t hei ssuanceofpat ent.Meanwhi le,pet it
ionerNat ional
Irr
igation Admi nistr
at i
on ent ered i nto a cont ract wi t
h Vi llamar Dev elopment
Const ruct i
on.Undert hecont r
act,petiti
onerNI Awast oconst ructcanal si nCagay an.
NI Athenent eredapor ti
onofpet i
ti
oner’sl andandmadedi ggingsandf i
ll
ingst her eon.
Privater espondentt hen filed a compl aintf ordamages al l
egi ng t hatpet i
tioner ’
s
diggingsandf illi
ngsdest royedt heagr i
cultur aluseofhi slandandt hatnor easonabl e
compensat i
onwaspai df oritstaking.

I
SSUE:Whetherornott
hepet
it
ionerNIAshouldpayManglapusjustcompensat
ionf
or
t
hetaki
ngofaporti
onofhi
spr
opertyforuseaseasementofari
ghtofway.

HELD:No.Wef i
ndthatNIAi sundernoobli
gati
on.Wesust ai
ntheappeal
.Weagreewit
h
NIAthatt
heTr ansferCert
if
icateofTit
leandtheOri
ginalCerti
fi
cat
eofTitl
ecover
ingt
he
subj
ectparceloflandcont ainedareser
vati
ongrant
ingt hegovernmentari
ghtofway
overt
helandcov er
edt her
ein.

Undert heOr iginalCer t

ifi
cateofTi tle,t herewasar eservati
onandcondi tiont hatthe
l
andi ssubj ectt o“ toallcondi ti
onsandpubl i
ceasement sandser vit
udesr ecognized
andpr escri
bedbyl aw,especi al
lythousement ionedi nSections109, 110,111, 112, 113
and114,Commonweal thActNo.141,asamended. ”Thi sreserv
ation,unliket heother
provisosi mposedont hegr ant,wasnotl i
mi t
edbyanyt i
meper i
odandt husi sa
subsi sti
ngcondi tion.Section112,Commonweal thActNo.141,pr ovidest hatl ands
grantedbypat ent ,“shallfurtherbesubj ecttoar ightofwaynotexceedi ngt wenty
met ersi nwi dthf orpubl i
chi ghway s,r ailr
ods,irr
igation,dit
ches,aqueduct s,telegraphs
andt elephonel i
nes,andsi mi larwor ksast heGov ernmentoranypubl i
corquasi -
publi
c
service orent erpr i
ses,including mi ni ng orf orestconcessi onair
esmayr easonably
requiref orcarryingont heirbusiness, withdamagesf ortheimprovement sonl y.
116
Art
icle619oft heCiv i
lCodepr ovidesthat“Easement sareestabli
shedei t
herbylawor
by the wil
loft he owner s.The f ormerar e cal
led legaland t he lat
tervol
untary
easements.”Inthepresentcase, wef i
ndanddecl ar
et hatalegaleasementofar i
ght-
of-
wayexistsinfavoroft hegovernment .Thelandwasor i
ginal
lypubli
cl and,
andawarded
torespondentMangl apusbyf r
eepat ent.Theruli
ngwoul dbeot herwiseifthel
andwere
ori
ginal
lypri
vateproper t
y,i
nwhi chcase, j
ustcompensat ionmustbepai dfort
hetaki
ng
ofapartthereofforpublicuseasaneasementofar ightofway .

RemmanEnt erpr
ises,I
nc.v.CourtofAppeal
s
G.R.No.125018,Apri
l6,2000,330SCRA145
Bell
osi
ll
o,J.

FACTS:Pet i
ti
onerRemmanEnt erpri
ses,I nc.andpr i
vat er espondentCr i
spinLatar e
adjoiningl andowner si nLipaCi ty.Thel andofLati sagr iculturalandpl ant edmost lywi th
frui
tt r
eeswhi leRemman’ slandi sdev otedt oi tspiggerybusi ness.Thel att
er’
sl andi s1
½ met er shigheri n elevati
on t han thatofr espondentLat .Meanwhi l
e,respondent
noticedt hatpet it
ioner’swast edi sposall agoonwasal readyov erfl
owi ngandi nundat ing
¼ofLat ’splantation.Hemadesev er
alr epr esentati
onswi thpet iti
onerbutt heyf ellon
deafear s.Consequent ly,the t rees growi ng on t he f looded por t
ion wher eitwas
i
nundat ed wi th wat ercont aini
ng pi g manur e,started t o wi therand di e.Pr i
v ate
respondentt henf i
ledacompl aintfordamagesal l
egingt hatt heaci dit
yoft hesoi linhi s
plantationi ncreasedbecauseoft heov erfl
owoft hewat erheav ywi thpi gmanur efrom
petiti
oner ’s piggeryf ar m.Pet i
tionerdeni ed t he all
egat ions and cl aimed t hatt he
const r
uct ionofaddi ti
onall agoonswasal r eadyadopt edt ocont aint hewast ewat er
comi ngf rom itspiggeryt opr eventanydamaget otheadj oiningest ate.Petiti
oneral so
arguedt hatthedamages, ifany ,wereduet oaf or t
uit
ousev ent .

I
SSUE:Whet
herornott
hedamageswer
eduet
oaf
ort
uit
ousev
ent
.

HELD:No.Wecannotagr eewi thpetiti

oner.Wedef erinsteadt ot hef indingsopi ons
expressedbyt hel owercour ts:Evenassumi ngt hattheheav yrainsconst it
utedanactof
God;byr easonoft heirnegli
gence,thef ort
uitousev entbecamehumani zed,r endering
appell
ant sliablef ort heensui ngdamges.I nNat i
onalPowerCor porati
onv .Cour tof
Appeal s,233 SCRA 649 ( 1993),the Supreme Cour theld:“Accor dingly,pet i
ti
oner s
cannotbehear dt oi nvoketheactofGodorf orcemaj euretoescapel i
abilit
yf orthel oss
ordamagessust ainedbypr ivaterespondentssi ncethey,thepet it
ioners,wer egui l
tyof
negl
igence.Thi sev entthenwasnotoccasi onedexcl usi
velybyanactofGodorf or ce
majeur e;ahumanf actor–negl i
genceori mprudence–hadi ntervened.Theef fecttehn
ofthef or
cemaj eur einquest ionmaybedeemedt ohav e,eveni fonlypar tly,resulted
fr
om t hepar ti
cipationofman.Thus, t
hewhol eoccur rencewast herebyhumani zed, asit
were,andr emov edf r
om therulesapplicabl
et oact sofGod. ”

Asr
egar
dst
heal
l
egednat
ural
easementi
mposedupont
hepr
oper
tyofappel
l
e,r
esor
tto
117
per
tinentprovi
sionsofappl i
cablelawisimper ati
ve.UnderAr t
icl
e637oft heCi v
ilCode,
i
tispr ovi
dedt hat“l
owerest atesareobligedtor eceivethewaterswhichnaturall
yand
wit
houtt heint
erventionofmandescendf r
om thehi gherest
ates,aswellasthest ones
orearthwhi chtheycar r
ywi ththem.Theowneroft helowerestat
ecannotconst r
uct
workswhi chwilli
mpedet hiseasement ;
neithercant heownerofthehigherestatemake
workswhi chwilli
ncreasethebur den.
”

Asimi larprov
ionisf oundunderAr ticl
e50oftheWat erCodeoft hePhil
ippines(P.
D.No.
1067) ,which providest hat“ l
owerest at
esar eobl i
ged toreceivet hewat erwhich
naturallyandwi t
houtt hei nt
erventi
onofmanf low f
rom thehigherestates,aswellas
thest oneoreat hwhi chtheycar rywitht
hem.Theowneroft hel owerest at
ecannot
constructwor kswhi chwi l
limpedet hi
snatur
alf l
ow,unlesshepr ovi
desanal ter
nati
ve
met hodofdr ainage;neithercant heowneroft hehigherestat
emakewor kswhichwill
i
ncreaset hisnaturalfl
ow. ”

Aswor ded,thetwoaf oreci

tedprovisi
onsimposeanat ur aleasementupont helower
estat
et oreceivethewat erswhich naturall
yand wit
houtt hei nter
venti
on ofman
descendfrom higherest at
es.Howev er,wheret hewaterswhi chflow f
rom ahigher
estat
ear ethosewhi char earti
fi
ciall
ycollectedinman-madel agoons,anydamage
occasi
onedtherebyentit
lestheowneroft helowerorser
v i
entestatetocompensati
on.

JesusisLor dChri
sti
anSchoolFoundat
ion,I
nc.v
.Muni
cipal
it
y(now Ci
ty)ofPasi
g,
Metr
oMani l
a
G.R.No.152230,August9,
2005,
466SCRA235
Call
ejo,Sr
.,J.

FACTS:RespondentMuni cipali
tyofPasi gneededanaccessr oadfrom E.R.Santos
Str
eet,amuni ci
palroadneart hePasi gPubl i
cMar kett oBarangaySt o.TomasBuki d,
Pasigwhere60t o70houses,most lymadeofl i
ghtmat eri
als,werelocated.Theroad
hastobeatl eastthr
eemet ersi nwidth, asr equi
redbyt heFireCode,sot hatfi
retr
ucks
couldpassthroughincaseofconf l
agr ation.Likewise,theresidentsi
nt heareaneeded
theroadforwat erandelect r
icaloutl
et s.Themuni cipali
tythendecidedt oacquir
e51
squaremetersoutoft he1,791squar emet erpropert
yofLor enzoChingCuanco,Vi ct
or
ChingCuancoandEr nestoChi ngCuancoKho, whi
chisabut t
ingE.R.SantosSt r
eet
.

Meanwhi le,theSangguni angBay anofPasi gappr ov edanOr di

nanceaut horizi
ngt he
municipalmay ortoiniti
ateexpr opri
ati
onpr oceedingst oacqui r
ethesaidpr oper t
yand
appropri
at ethef undt herefore.Theor dinancest atedt hatthepr oper
tyowner swer e
noti
fi
edoft hemuni cipal
ity’
sintenttopurchaset hepr opertyforpubli
cuseasanaccess
roadbutt heyr ej
ectedt heof fer.Themuni cipal
it
yt henf i
ledacompl aintagai nstthe
Cuancosf ortheexpr opr
iati
onoft hepropertyunderSect ion19oft heRepubl icActNo.
7160orot her
wi seknownast heLocalGov ernmentCode.TheCuancost hencont ended
thattheyhadsol dt hesai dpr opert
yt opet i
ti
onerJesusi st heLordChr i
stianSchool
Foundation,Inc.( JI
LCSFI )asev i
dencedbyadeedofsal e.Whenappr isedaboutt he
118
complai
nt,pet
it
ionerJI
LCSFIf
il
edamot
ionf
orl
eav
etoi
nter
veneasdef
endant
-i
n-
i
nter
venti
onwhichwasgrant
ed.

Thepeti
tionerJILCSFIassert
edt hatther espondentmustcompl ywithther equi
rements
fortheestabli
shmentofaneasementofr i
ght-of-
way ,morespeci fi
call
y,theroadmust
beconstructedatthepointl
easepr ejudicialtotheser vi
entstate,andthattheremustbe
noadequat eoutlettoapublichighway .Thepet i
tioneralsoclaimedt hatthepor t
ionof
thelotsoughtt obeexpr opri
atedi slocat edatt hemi ddl
epr otionoft hepetiti
oner’
s
enti
reparcelofland,ther
ebysplitti
ngt hel otintotwohal ves,andmaki ngi timpossibl
e
fort
hepet i
ti
onert oputupit
sschool bui l
dingandwor shipcenter.

I
SSUE:Whet
herornott
hepet
it
ionerJI
LCSFI
’
scont
ent
ionsar
etenabl
e.

HELD:No.Thesubj ectpr opertyisexpr opri

atedforthepurposeofconstructi
ngar oad.
The respondenti s notmandat ed t o compl ywiththe essenti
alrequisi
tes foran
easementofr ight
-of-
wayundert heNewCi vi
lCode.Caselawhasi tthatintheabsence
oflegisl
ati
verestr
icti
on, t
hegr anteeoft hepowerofemi nentdomai nmaydet erminethe
l
ocationandr outeoft hel andt obet akenunl esssuchdeterminat
ioniscaprici
ousand
wantonlyinj
uri
ous.Expr opr i
ati
oni sjusti
fi
edsol ongasiti
sf ort
hepublicgoodandt here
i
sgenui nenecessityofpubl i
cchar acter
.Gov ernmentmaynotcaprici
ousl
ychoosewhat
pri
vatepropertyshouldbet aken.

Ther espondenthasdemonst ratedt henecessityforconst ructi

ngar oadf rom E. R.
Sant osSt reettoSt o.TomasBuki d.Thewi t
nesses,whower er esidentsofSt o.Tomas
Buki d,testif
iedt hatal thought her ewer eotherway sthroughwhi chonecanent erthe
vici
ni t
y,nov ehicle,howev er,especi all
yf ir
et r
ucks,couldenterthear eaexceptt hrough
thenewl yconst r
uct edDamay anSt reet.Thisi smor ethansuf fi
cienttoest ablishthat
therei sagenui nenecessi tyfort heconst r
ucti
onofar oadi nthearea.Af terall,absolut e
necessi tyi s notr equired,onl yr easonable and pr acti
calnecessi ty wi llsuf f
ice.
Nonet heless,t her espondentf ailedt oshow t henecessityf orconst r
uct i
ngt her oad
particularl
yi nt hepet i
tioner ’
spr opertyandnotel sewhere.Wenot et hatt hewher as
clauseoft heor dinancest atest hatt he51- squaremet erlotistheshor testandmost
suitable access r oad t o connectSt o.Tomas Buki dt o E.R.Sant os St r
eet .The
respondent ’
scompl ai
ntalsoal legedt hatthesaidportionofthepet it
ioner’slothasbeen
survey edast hebestpossi bleingr essandegr ess.Howev er,ther espondentf ailedt o
adduceapr eponder anceofev i
dence.

Acapv .Cour
tofAppeal
s
G.R.No.118114,
December7,
1995,
251SCRA30
Padil
la,J.

FACTS:Thet i
tl
et oLot1130oft heCadast
ralSurv
eyofHi ni
garan,NegrosOccident
al
wasev i
dencedbyOCTR- 12179.Thelothasanar eaof13,720sq.m.Thet i
tl
ewas
i
ssuedandi sregister
edinthenameofspousesSantiagoVasquezandLor enzaOruma.
Afterbothspousesdi ed,t
hei
ronlysonFeli
xbert
oinheri
tedthelot.In1975,Fel
ixber
to
executedadul ynot ari
zeddocumententit
led“Declar
ati
onofHei r
shi
pandDeedof
119
Absol uteSal e”i nf av orofCosmePi do.Si nce1960,Teodor oAcaphadbeent het enant
ofapor tionoft hesai dl and,cov eringanar eaof9, 500sq.m.Whenowner shipwas
transferredi n1975byFel i
xbertot oCosmePi do,Acapcont inuedt obet her egist ered
tenantt hereofandr eligiouslypai dhi sl easehol dr ent alst oPi doandt hereaf ter,upon
Pido’s deat h,t o hi s wi dow Laur enci ana.The cont rov ersybegan when Pi do di ed
i
nt erstateandon27Nov ember1981, hi ssur v i
vinghei rsexecut edanot ar i
zeddocument
denomi nat edas“ Decl arationofHei rshi pandWai v erofRi ght sofLot1130Hi nigar an
Cadast r
e,”wher eint heydecl aredt ohav eadj udi cat edupont hemsel vest hepar celof
l
andi nequalshar e,andt hatt heywai ve,qui tclaim al lr i
ght ,int erestsandpar tici
pat ion
ov erthepar celofl andi nf av
orofEdydel osRey es.Thedocumentwassi gnedbyal lof
Pido’shei rs.Edydel osRey esdi dnotsi gnsai ddocument .Itwi l
lbenot edt hatatt he
ti
meofCosmePi do’sdeat h,ti
tletot hepr oper tycont i
nuedt ober egisteredi nt hename
oft heVasquezspouses.Uponobt aini ngt heDecl arat ionofHei rshipwi thWai verof
Right sinhi sfav or ,del osRey esf iledt hesamewi tht heRegi st ryofDeedsaspar tofa
not i
ceofanadv ersecl aim agai nstt heor iginalcer ti
ficat eoft i
tle.Ther eaf t
er ,del os
Rey essoughtf orAcapt oper sonal l
yi nf or m hi mt hathehadbecomet henewownerof
thel andandt hatt hel easer ent alst her eonshoul dbepai dt ohi m.Del osRey esal leged
thatheandAcapent er edi ntoanor all easeagr eementwher ei nAcapagr eedt opay10
cav ansofpal ayperannum asl easer ent al.In1982,Acapal legedl ycompl i
edwi thsai d
obl i
gation.I n1983,howev er,Acapr ef usedt opayanyf ur therl easer ent alsont hel and,
prompt i
ngdel osRey est oseekt heassi st anceoft het henMi nistryofAgr ar i
anRef orm
(MAR)i nHi nigar an,Negr osOcci dent al.TheMARi nv i
tedAcap,whosenthi swi f
e,t oa
conf erenceschedul edon13Oct ober1983.Thewi fest atedt hatt hesheandher
husbanddi dnotr ecogni zedel osRey es’ scl ai m ofowner shipov erthel and.On28Apr i
l
1988,af tert hel apseoff our( 4)y ear s,del osRey esf iledacompl aintf orr ecov eryof
possessi onanddamagesagai nstAcap,al legi ngt hatashi sl easehol dt enant ,Acap
refusedandf ailedt opayt heagr eedannualr ent alof10cav ansofpal aydespi te
repeat eddemands.On20August1991.

I
SSUE:Whetherornotthesubj
ectdeclar
ati
onofhei r
shipandwaiverofri
ght
si sa
r
ecogni
zedmodeofacqui
ri
ngownershi
pbyprivat
erespondentov
ert
heloti
nquesti
on.

HELD:Anasser t
edr i
ghtorcl ai
mt oowner shi
porar ealr
ightoverat hi
ngari
singfrom a
j
uri
dicalact,howev erjusti
fi
ed,isnotpersesuf f
icienttogiveri
set oownershi
pov erthe
r
es.Thatr i
ghtort i
tl
emustbecompl etedbyfulf
il
li
ngcer t
ainconditionsi
mposedbyl aw.
Hence,owner shi
pandr ealri
ghtsareacquiredonlypursuanttoal egalmodeorprocess.
Whil
et it
leist hejuridicaljust
if
icati
on,modei st heact ualprocessofacqui si
ti
onor
t
ransferofowner shipov erathi
ngi nquesti
on.

UnderAr ti
cle712oft heCivi
lCode,themodesofacqui ri
ngowner shiparegenerall
y
classif
iedi ntot wo( 2)classes,namely,theori
ginalmode( i
.e.
,throughoccupat
ion,
acquisiti
ve pr escri
pti
on,law ori nt
ell
ectualcr
eati
on)and the deri
vati
ve mode (i
.e.,
throughsuccessi onmor ti
scausaort radi
ti
onasar esul
tofcertai
ncont r
act
s,suchas
sale,barter,donation,assi
gnmentormut uum).

I
nthecaseatbench,t
het
ri
alcour
twasobv
iousl
yconf
usedast
othenat
ureandef
fect
120
oftheDecl arati
onofHei r
shipandWai verofRights,equati
ngt hesamewi thacont r
act
(deed)ofsal e.Theyar enott hesame.I naCont ractofSal e,oneoft hecont ract
ing
parti
esobl i
gateshimselftotransfertheownershipofandt odeliveradet erminatethi
ng,
andt heotherpartytopayapr icecertai
ninmoneyori t
sequivalent.Upont heotherhand,
adecl arat
ionofheir
shipandwai verofri
ghtsoperatesasapubl icinstrumentwhenf i
led
witht heRegistr
yofDeedswher ebytheint
estateheirsadjudi
cateanddi videtheestate
l
eftbyt hedecedentamongt hemselvesastheyseef it
.Itisinef fectanext raj
udicial
settl
ementbet weent heheir
sunderRul e74oft heRulesofCour t.

Hence,thereisamar keddi f
ferencebetweenasal eofher editaryrightsandawai verof
heredi
taryright
s.Thef ir
stpr esumest heexi stenceofacont ractordeed ofsal e
betweent hepar t
ies.Thesecondi s,techni call
yspeaki ng,amodeofext i
ncti
onof
ownershipwher ethereisanabdi cati
onori nt entionalreli
nquishmentofaknownr i
ght
wit
hknowl edgeofi tsexist
enceandi ntenti
ont or eli
nquishit,infavorofot herpersons
whoar eco-heirsint hesuccession.Privat
er espondent ,beingt henast r
angertot he
successi
onofCosmePi do,cannotconclusi
v elyclai m ownershipov erthesubjectloton
thesolebasi softhewai verdocumentwhi chnei therrecit
est heel ementsofei t
hera
sal
e,oradonat i
on,oranyot herderi
vati
vemodeofacqui ri
ngowner ship.

DeLunav.Abrigo
G.
R.No.L-57455,Januar
y18,
1990,
181SCRA150
Medi
aldea,J.

FACTS:Pr udenci odeLunadonat edapor tionofal otoft heCadast ralSur veyofLucena

tot heLuzoni an Uni v
er sityFoundat i
on.Thedonat i
on wasembodi ed i n aDeed of
DonationI nterv ivosandmadesubj ectt ocer tai nter msandcondi tionsandpr ovidedf or
theaut omat icr ev ersi
ont ot hedonoroft hedonat edpr oper t
yi ncaseofv iol
at i
onornon-
compl iance.Thef oundat i
onf ail
edt ocompl ywi tht hecondi ti
onsoft hedonat ion.De
Luna" revived"t hesai ddonat i
oni nf av oroft hef oundat ion,inadocumentent i
tled
"Reviv
alofDonat i
onI nter vivos"subj ectt ot er msandcondi t
ionswhi chamongot her s,
requir
edi tt oconst ructachapel ,anur seryandaki nder gartenschooli nt hedonat ed
propertywi thinf i
v e(5)y ear sf r
om execut ion.Theaut omat icr eversiont ot hedonorof
the donat ed ar ea i n case ofv iolation oft he condi tions was al so pr ovided.The
foundat ion,t hroughi tspr esident ,accept edt hedonat ion.A" DeedofSegr egat i
on"was
l
aterexecut ed by De Luna and t he f oundat ion wher eby t he ar ea donat ed was
adjudicat edt ot hef oundat ion.Thehei r
sofdeLunal aterf il
edacompl aintwi ththet rial
courtal legingt hatt het er msandcondi ti
onsoft hedonat ionwer enotcompl i
edwi thby
thefoundat ion.Thus, itpr ay edf ort hecancel lationoft hedonat i
onandt her eversionof
thedonat edl andt ot hehei rs.Thef oundat i
oni nvoked,amongot hers,t hedef enseof
prescript i
onofact i
on.Thecour tdismi ssedt hecompl aint.Itruledt hatunderAr t
icle764
oftheNew Ci v ilCode,act ionst or ev okeadonat ionont hegr oundofnon- compl i
ance
withanyoft hecondi ti
onsoft hedonat ionshal lprescr ibei nf oury ears( 4)count edf rom
suchnon- compl iance.I nt hei nstantcase,t hef our-yearper iodf orf i
lingt hecompl aint
forrev ocat ioncommencedonApr il9,1976andexpi redonApr i
l9,1980.Si ncet he
121
complaintwasbroughtonSept
ember23,1980ormor et
hanf
ive(
5)mont
hsbey
ondt
he
prescr
ipti
veper
iod,i
twasalr
eadybar
redbyprescr
ipt
ion.

ISSUE:Whetherornott hecomplainti
sonef orjudi
cialdecr
eeofr ev
ocat
ionoft
he
donati
oninquesti
onascont empl
atedi
nArt
icle764oft heNew Ci
vilCodeandwhi
ch
prescr
ibesi
nf our(4)y ear
sandnotanact iontoenf orceawrit
tencontr
actwhi
ch
prescr
ibesi
nten(10)years.

HELD:Thedonat i
onsubj ectofthiscasei sonewi thanoner ouscause.I twasmade
subjectt ot hebur denr equir
ingt hedoneet o const r
uctachapel ,anur seryanda
kindergartenschool i
nt hedonatedpr oper t
ywithi
nfiveyearsfrom executi
onoft hedeed
ofdonat i
on.I tist ruet hatunderAr ti
cle764,act i
onsf orther evocati
onofadonat ion
mustbebr oughtwi thinfor(4)year sfrom thenon-compl i
anceoft heconditionsofthe
donation.Howev er,thesai darti
cledoesnotappl ytooner ousdonat i
onsinv iewofthe
specifi
cpr ovisi
onofAr ti
cle733pr ovidingthatonerousdonat ionsaregover nedbythe
rules on cont racts.Ther ef
ore,the r ules on contracts and the generalr ul
es on
prescript
ionandnott herulesondonat ionsareapplicableinthecaseatbar.

Furthermor e,whilet hejudici

alact i
onf ort her esci ssionofacont ractisgener allynot
necessar ywher et he contractpr ovides t hati tmaybe aut omatical
lyr evoked and
cancel l
edf orviolat
ionofanyofi tst ermsandcondi tions,howev er ,whereoneoft he
parti
escont estsordeni est her escission,j udicialinterventioni snecessar ynotf or
purposesofobt aining aj udicialdecl aration r escinding acont ractalreadydeemed
rescindedbyv i
rtueofanagr eementpr ov i
dingf orr escissionev enwi t houtjudi cial
i
nterv ent
ion,butinor dert odetermi newhet herornott her escissionwaspr oper.Judi cial
acti
onwi l
lbenecessar yaswi thouti t,
theext r
ajudicialresolutionwi l
lremaincont est able
andsubj ecttoj udicialinval
idation,unl essat tackt her eonshoul dbecomebar redby
acquiescence, estoppel orprescr i
ption.

I
nt heinstantcase,tri
alcourtwast herefor
enotcorrectinholdingt
hatthecomplai
ntis
barredbypr escri
pti
onunderAr t
icl
e764becauseAr ticl
e764doesnotappl ytoonerous
donations.Aspr ovi
dedint hedonat i
onexecutedonApr i
l9,1971,compli
ancewiththe
termsandcondi ti
onsoft hecont r
actofdonat i
on,shallbemadewi t
hinfi
ve(5)years
from it
sexecut i
on.Thecompl ai
ntwhichwasfil
edonSept ember23,1980wasthenwell
wi t
hintheten( 10)yearpr escri
pti
veperiodtoenforceawr i
ttencont
ract pur
suantto
Ar t
icl
e1144par .1,countedfrom Apri
l 9,
1976.

Reyesv.Mosqueda
G.R.No.L-
45262,Jul
y23,
1990
Guti
err
ez,Jr.
,J.

FACTS:OnMay15,1969,Dr .Emil
ioPascualexecut
edaDeedofDonat i
onofr eal
propert
ylocat
edat1109-1111R.PapaSt.Tondo,Mani
lainfav
orofOfel
i
aPar ungao,a
minor,wit
hhermother,Rosari
oDuncil
,accept
ingthegif
tanddonat
ionforandi nher
122
behalf.Howev er
,Ur sul
a Pascualall
eged t
hatDr.Pascualduring hi
sl i
fet
ime on
Nov ember2,1966execut edaDonat i
onmor t
iscausainherfavorcoveri
ngthesaid
property
.Parungao,uponreachi
ngtheageofmajori
tywasabletoregi
stertheDeedof
Donationwit
ht heRegist
erofDeedsinManil
aandwasissuedaTCT.

OnSept ember23,1976,Ur sulaexecutedadeedofabsol ut

esal eov ertheTondo
proper
tyi nfavorofBenj ami n,Oscar,Jose,andEmmanuelRey es.Benj aminfil
eda
complaintforthedeclarationofnulli
tyoft heTCTofParungaoand/ orreconveyanceof
thedeedoft it
le.TheCFIofMani l
adeclaredt heTCTinthenameofPar ungaonulland
voidandor deredt heRegi sterofDeedst ocancelt
het i
tl
e.Onappeal ,t heCourtof
Appealsruledt hatthe1966donat i
ont oUr sulawasint
ervivos,whichmeantt hatthe
proper
tywasal readytransferredtoUrsulaatthatti
me.

I
SSUE:Whet
herornott
hedonat
iont
oUr
sul
awasI
nterVi
vosorMor
ti
sCausa.

HELD:ItwasaDonat i
onInterVi
vos.Theti
tl
egivenbyt hedonori nt hedeedofdonat i
on
i
snotadet erminati
vefactorwhi
chmakest hedonationinterv i
vosormor t
iscausa.Iti
s
thebodyofthedocumentofdonat ionandthestatementscont ainedtherei
nandnott he
ti
tl
ethatshouldbeconsi deredi
nascertai
ningtheintentoft hedonor .I
nt hecase,the
donorusedthet er
m donationMorti
sCausabutf r
om thest i
pulationsofthedeed, i
tcan
beclear
lyi
nferr
edt hathewasactuall
yexecuti
ngadonat i
onI nterVivostoUr sul
a.

Thet ransf
erofowner shi
pov erthepr opert
iesdonat edtoUr sulawasi mmediateand
i
ndependentoft hedeat hofDr .Pascualsi ncei twasadonat ionI nterVivos.The
provi
sionasr egar
dst hereservat
ionofpr operti
esforthedonor '
ssubsi stenceinrel
ati
on
totheot herprovi
sionsoft hedeedofdonat ionconfirmsthei ntentionoft hedonorto
givethenakedowner shi
poft heproperti
estoUr sulai
mmedi at
elyaf tert heexecuti
onof
thedeedofdonat i
on.Hence,hecoul dnothav edonat edthepr opert yagai nin1969in
favorofParungaosi ncethelotwasalreadyt r
ansferr
edt oUrsulaatt hatt ime.

Li
guezv .CourtofAppeal
s
G.R.No.L-11240,December18,
1957,
102Phi
l.577
Reyes,J.B.
L.,
J.

FACTS:Thecasebeganuponcompl aintfil
edbypet i
ti
oner
-appel l
antagai
nstthewi dow
andhei r
soft helat
eSal vadorP.Lopezt or ecoverapar celofl andinbarrioDav ao.
Plai
ntif
fav erredtobei t
sl egalowner ,pursuantt oadeedofdonat i
onofsai dl and,
executedinherf avorbyt hel at
eowner ,Sal vadorP.Lopez,on18May1943.The
defenseinterposedwast hatt hedonationwasnul landv oi
df orhavinganil
li
citcausaor
considerat
ion,whichwast hepl ai
nti
ff
'senteringintomar i
talr el
ati
onswithSalvadorP.
Lopez,amar riedman;andt hatthepropertyhadbeenadj udi catedtotheappelleesas
heir
sofLopezbyt hecourtofFi rstI
nstance,since1949.

I
twasascer
tai
nedbyt
heCour
tofAppeal
sthatt
hedonat
edl
andor
igi
nal
l
ybel
ongedt
o
123
theconjugalpar
tnershipofSalv adorP.Lopezandhi swif
e,MariaNgo;thatt helat
ter
hadmetandber at
edConchi t
af orli
vingmarit
all
ywithherhusband,somet i
medur i
ng
Juneof1943;thatthewi dowandchi l
drenofLopezwereinpossessionofthelandand
madei mprovementst hereon;thatthel andwasassessedinthet axrol
lsfir
stinthe
nameofLopezandl aterinthatofhiswi dow.
;andthatt
hedeedofdonat i
onwasnev er
recor
ded.

Uponthesefacts,t
heCour tofAppeal
sheldthatthedeedofdonat i
onwasi noper
ati
ve,
andnullandv oid(1)becausethehusband,Lopez,hadnor ighttodonateconjugal
proper
tytotheplai
nti
ffappell
ant
;and(2)becausethedonati
onwast ai
ntedwithi
ll
egal
causeorconsi
derati
on,ofwhichdonoranddoneewereparti
cipants.

I
SSUE:Whet
herornott
hedonat
ioni
sval
i
d.

HELD:Inthepr esentcase,
iti
sscarcel
ydisput
ablethatLopezwouldnothaveconv ey
ed
thepropert
yi nquesti
onhadheknownt hatappell
antwouldrefusetocohabi
twi t
hhim.
The cohabitati
on was an impl
ied condit
ion t
ot he donati
on,and being unl
awf ul
,
necessari
l
ytaintedthedonati
oni
tself
.

Ther ul
et hatpar
ti
estoanil
l
egalcont r
act,ifequall
yguilt
y,wil
lnotbeai
dedbyt
helaw
butwi l
lbothbeleftwher
eitfindsthem,hasbeeni nter
pret
edbyt hi
sCour
tasbar
ri
ng
thepartyf r
om pl
eadi
ngtheil
legal
it
yoft hebar gai
neitherasacauseofacti
onorasa
defense.Memoaudi
  t
orpr
opri
am turpi
tudinem all
egans.

Theappellantseeksrecoveryoft hedisput
edlandonthestrengthofadonati
onregul
ar
onit
sf ace.Todef eatit
sef fect,theappel
leesmustpleadandpr ovethatt
hesamei s
i
ll
egal
.Butsuchpl eaont hepar toft heLopezheirsisnotr ecei
vabl
e,si
nceLopez,
hi
mself,i
fl i
vi
ng,wouldbebar redf r
om set
ti
ngupthatplea;andhisheir
s,ashispr
ivi
es
andsuccessorsininter
est,canhav enobett
erri
ght
sthanLopezhi msel
f.

Appellees,assuccessorsoft hel atedonor,bei

ngt husprecludedf rom pleadi
ngt he
defenseofimmor al
ityorill
egalcausa 
ofthedonati
on,thetotal
orpar ti
alinef
fecti
veness
ofthesamemustbedeci dedbydi ff
erentl
egalpri
ncipl
es.Inthi sregard,t
heCour tof
Appeal scorr
ectl
yhel dt hatLopezcoul dnotdonat etheent iretyoft hepropertyin
l
iti
gati
on,totheprejudiceofhiswi f
eMar iaNgo,becausesaidpr opertywasconjugalin
characterandtheri
ghtoft hehusbandt odonat
ecommuni t
ypr opertyisstr
ict
lyli
mited
bylaw

Pershi
ngTanQuetov
.CourtofAppeal
s
G.R.No.L-
35648,
March27,1987,
148SCRA54
Paras,
J.

FACTS:Her ei
npriv
aterespondentRest
it
utaTacal
i
narGuangcodePombuenar ecei
ved
thequest
ionedlotfr
om hermotherBasi
li
desTacal
inarei
therasapur
por
teddonati
onor
124
bywayofpur chasewithP50ast heall
egedconsiderati
onther
eof.Thedonationorsal
e
wasconsummat edwhi
leResti
tutawasalreadymar r
iedtoherhusbandJuanPombuena.
Juanthenfi
ledf orhi
mselfandhi ssupposed co-ownerResit
itut
aanapplicati
onfora
Torr
ensTitl
eov erthelandwhi chwasl aterongrantedpronouncinghi
m( ‘
marri
edto
Resi
ti
uta’
)ast heownerofthel
and.

Acont ractofl easeov erthelotwasent eredintobet weenpet i

ti
oner,PershingTanQuet o
andRest i
tutawi ththeconsentofherhusbandf oraper iodof10y ears.Theleaseof
contracthav ingexpi red,Restitutaf i
ledf orunl awfuldet aineragainstTanQuet o.The
unl
awf uldet ainercasewaswonbyt hespousesi nt heMuni ci
palCour tbutonappeali n
theCFIt heent irecasewasdi smi ssedbecauseofabar teragreementwher ebyTan
Quetobecamet heowneroft hedi sputedl otandt hespousesbecamet heowner sofa
parcelofl andwi ththehouset her eonpr ev i
ouslyownedbef orethebar terbyTanQuet o.
Aft
ert hebar teragreement ,TanQuet oconst r
uctedont hedi sputedl andaconcr ete
bui
ldingwi t
houtanyobj ect
ionf rom Rest ituta.Af t
erwardsRest it
utasuedbot hJuanand
Tan Quet of orr econveyance oft he tit
le ov ert he registered butdi sputed l
ot,for
annulmentoft hebar t
er,andf orr ecov er
yoft helandwi thdamages.

Therespondentcour
t’sdeci
sionwhi chl
ateronwasaf fi
rmedbyt heSupr emecour
tled
totheref
ormati
onoft heContractofSal
eofthedisputedlotfrom Basi
l
idestoRest
it
uta
fr
om asaletoaconv eyanceoft heshar
eofRest i
tut
ai nthefutur
ehereditar
yest
ateof
herpar
ents.Hence,t
hispeti
ti
onf oramoti
onf orr
econsiderat
ion.

ISSUE:Whetherornott
heconvey
anceoft
heshareofRest
itut
aint
hef
utur
eher
edi
tar
y
estat
eofherparent
swasvali
dhenceapar
apher
nalpr
opert
y.

HELD:No.Thecour trul
edt hatthelandisconj ugal
,notpar aphernal
.Theor aldonation
ofthelotcannotbeav ali
ddonat i
oni nt
erviv
osbecausei twasnotexecut edinapubl i
c
i
nstrument(Art.749,Civi
lCode),norasav al
iddonationmor tiscausafortheformalit
ies
ofawi l
lwerenotcompl i
edwi th.Theal l
egationthatthetransferwasaconv eyancet o
RESTITUTAofherher edit
arysharei ntheest ateofhermot her(orparents)cannotbe
sustai
nedforthecont r
actualtr
ansmi ssi
onoff utur
einheri
tancei sgeneral
lyprohibi
ted.

Thef actisownershipwasacqui
redbybothJUANandRESTI TUTAbyt radit
ion(delivery)
asaconsequenceoft hecontr
actofsale(SeeArt
.712,Civi
lCode)withP50.00( thena
considerabl
eamount )asthecauseorconsi der
ati
onoft het r
ansaction.Thel otis
therefor
econjugal,havi
ngbeenacquiredbythespousesthruoneroustitl
e(themoney
usedbei ngpresumablyconj
ugalther
ebeingnoproofthatRESTITUTAhadpar apher nal
fundsofherown) .

Pajar
ill
ovs.I
nter
mediateAppel
lat
eCourt
G.R.No.72908,August11,
1989,176SCRA340
Cruz,J.

125
FACTS:Per fectaBal anedeCor derodi edi ntestat ei n1945andl eav i
ngat r actof28
hect aresofl andwi thbui ldingsandi mpr ov ement si nt heQuezonPr ov i
nce.OnMay20,
1946, per fect a’
ssi blingsJuanaandFel ipeexecut edapubl icinst rumentent itled“Ext ra-
j
udi cialset tl
ementoft heest ateoft hedeceasePer fectaBal anedeCor dero.”I ni tthey
disposed t hati n accor ding t o Perfecta’swi shesand i n consi der ation ofl oveand
affect i
on,t hesai dpr oper tybedonat edt opr i
vater espondentSal udSut er i
odeMat ias,
Per fect a’
s ni ece,who wi llassume t he encumbr ance/obligation t ot he Phi l
ippine
Nat i
onalBanki ntheamountofP1, 000.I nt hesamedocument ,thedoneaccept edt he
donat ioni napubl ici nst rument .Thei nstrumentwasnev err egister ednort het itle
transf er r
edt oSal ud’ snameal t
houghshei mmedi atelytookpossessi onoft hel and.
Somet i
mei n1951,Sal udt ransferredt hepossessi onoft hel andt ohermot herJuana,
whowast henst ay ingwi thherbr ot
herCl audioandhi sfami ly
.Dur i
ngt heper iodt hey
wer eoccupy ingt hel and,Cl audiopai dr eal t
yt axest hereon.OnMay25,1956,Juana
execut edadeedofabsol utesal econv ey i
ngt hel andt oClaudio.Twoy ear slater ,Claudio
hadt hel andr egi
st eredi nhi sname.Cl audi odiedi n1961andhi smot heri n1963.On
June30, 1965, t
hepr ivater espondent sSal udandPedr oMat i
asf i
ledacompl aintfort he
reconv eyanceoft hepr oper tyont hegr oundt hatt hedeedofsal einf av ourofCl audio
wasf ict i
tiousandt her egistrati
oni nhisnamewasnul landv oid.Sal udcl ai
medt hatno
compensat ionwaspai dbyCl audioandt hatt het ransact i
onwasdel i
ber at elyconceal ed
from herbyherbr otherandt hedef endant s.

I
SSUE:Whet
herornott
heext
ra-
judi
cial
set
tl
ementwasadonat
ion.

HELD:Yes.Fel i
peandJuanahaddecl aredthemsel vestheheirsofPer f ectaandthe
ownersoft he proper t
yi n question.Assuch,t heywer ef r
ee to giv
et he land t
o
whomev ertheypl easedandf orwhat ev erreasont heysawf i
t.Hence,iftheychooset o
respectPerfecta’
swi shesandcar ryoutheri ntent i
onsbydonat ingthel andt oSalud,
therewasnol egalimpedimentt ot heirdoingso.Ther eisnoquest i
ont hatFelipeand
Juanacoul dhav esi mpl ydisregardedt heirsi ster’
ssent i
ment sanddeci dednott o
donatet heproper t
yt oSalud.Thef actt hattheydi dnodot hisspeakswel loftheir
i
ntegrit
yandt hei
rloy al
tytot hei
rdeceasedsi ster.Theext ra-j
udici
alset tl
ementalso
refl
ectsthei
rownaf fecti
onforSal udwhi chconst i
tutedthevali
dconsider ationf
ortheir
ownactofl i
ber al
it
y.

Cr
uzv.CourtofAppeal
s
G.
R.No.L-
58671,November22,
1985,
140SCRA245
Pl
ana,
J.

FACTS:I n1973,EduvigisCruz,achildl
esswidow,donat
eda235.5sq.m.r esi
dent
iall
ot
i
nSanI si
dro,Tayt
ay,Rizaltogetherwitht
het wo-
doorapar
tmenterectedthereont
oher
grandnieces(pri
vaterespondent sTeresi
ta,Lydi
aandCecili
a,al
lsurnamedDeLeon) .
Thepr opert
ywasaccor dinglyt
ransferr
edtothenamesofpriv
aterespondents.

I
n 1974,Cr
uz j
udi
cial
l
y adopt
ed Cr
esenci
a Ocr
eto,a mi
nor
,af
ter whi
ch she
126
extraj
udicai
ll
yt r
iedtorevoket hedonat i
on,butt hedoneeresist
ed,al
legingthat
:(1)the
propertyinquest i
onwasco- ownedbyEduv igisCruzandherbr ot
her,thelateMaxi mo
Cruz,grandfatherofthedonees, hencethelat t
erown1/ 2ofthepropertybyinher
itance;
and( 2)Eduvigisownsanot herpropert
y,anagr i
cult
urall
andofmor et hantwohect ar
es
si
tuated in Bar r
io Dolores,Tay tay,Rizal
,hence t he donati
on di
d noti mpai
rt he
presumpt i
velegiti
meoft headopt ivechi
ld.

Peti
ti
onerfiledacompl aintagai
nstthedoneesf orrevocati
onofdonat ion,i
nvoki
ng
Art
icl
e760, par.3oftheNCC.Thet r
ialcourtr
ender
edadeci si
onr ev
okingthedonat
ion.
Onappal,TheCour tofAppeal
srever
sedt hetr
ial
courtanddismissedthecomplai
nt.

I
SSUE:Whetherornott
heCour
tofAppeal
scor
rect
lydi
smi
ssedt
hecompl
aintt
oannul
t
hesubj
ectdonati
on.

HELD:Yes.I nt hecaseoft hesubsequentadopt i

on ofami norbyonewho had
previ
ouslydonat edsomeoral lofhispr oper t
iest oanot her,t
hedonormaysuef orthe
annulmentorr educt i
onoft hedonationwi t
hi n4y earsfrom thedateofadoption,i
fthe
donati
oni mpairst hel egit
imeoft headopt ed,t akingintoaccountthewhol eestateof
thedonoratt het imeoft hedonat i
onoft hechi ld(Ar t
icl
es760, 761and763oft heNCC) .
Ofcour se,thebur denofpr oofi sont heplaintiff-
donor ,whomustal legeandestabli
sh
therequirement spr escribedbyl aw,ont hebasi sofwhi channul mentorreduct
ionofthe
donati
on can be adj udged.Unf ortunatel
y ,int he case atbar ,the compl ai
ntfor
annulmentdoesnotal l
eget hatthesubjectdonat i
oni mpairsthelegi
ti
meoft headopted
chil
d.Indeed,itcont ainsnoi ndicati
onatal l
oft het otalassetsofthedonor.

Norist herepr oofofi mpairmentofl egi

time.Ont hecont r
ary,therei
sunr ebutt
ed
evi
dencet hatthedonorhasanot herpieceoflandworthP273, 420in1977.Thel egal
si
tuat
ionofpet iti
oner-donori smadewor sebyt hefactualfindi
ngoft heCour tof
Appealsthatthegr andf atherofthedoneeswast heownerpr oi
ndivi
soofone-hal
fofthe
donat
edl and,theef fectofwhi chist or
educet heval
ueoft hedonationwhichcanthen
moreeasilybet akenf rom t heport
ionoftheestat
ewithi
nthef r
eedisposalofpeti
ti
oner.

RomanCat hol
icArchbi
shopofMani
lav.Cour
tofAppeal
s
G.R.No.77425,June19,1991,
198SCRA300
Regalado,
J.

FACTS:OnAugust23, 1930,thespousesEusebiodeCastroandMar t
inaRietaexecuted
adeedofdonat ioni
nf avorofherei
npet i
ti
onerRomanCat holi
cArchbishopofMani l
a
coveri
ngapar celoflandlocatedatCav i
te.Thedeedofdonat i
onpr ovi
dest hatthe
doneeshallnotdisposeorsel lthepropert
ywi t
hinaper i
odof100y ear
sf r
om t he
executi
onofthedeedofdonat i
on,other
wiseav i
olat
ionofsuchconditi
onwoul drender
i
psof act
onullandvoidthedonationandthepropertywouldrever
ttotheest at
eoft he
donors.

127
Howev er,onJune30,1980whi l
ewi thinthepr ohibit
iveper i
odt odispose,peti
ti
oner
executedadeedofabsol utesaleofthepr opert
ysubj ectoft hedonationinfavorofthe
peti
ti
oner-spouses Flor
enci o and Soledad Ignao i n considerati
on oft he sum of
P114,000.00.Hence,pr i
v aterespondentsfil
edacompl aintforthenulli
fi
cati
onoft he
deedofdonat ion.I
ntheiranswer ,t
hepet i
ti
onersf i
ledamot i
ont odismissbasedont he
groundst hattheacti
onhasbeenbar redbypr escripti
onbecauset hecompl ai
ntwas
fi
ledfoury ear
saftert
hesal e,andthatthecompl aintstatesnocauseofact ion.

I
SSUE:Whet
herornotthedeedofdonat
ioni
nfav
oroft
heRomanCat
hol
i
cAr
chbi
shop
ofMani
l
amayber ev
oked.

HELD:No.Thecompl aintinthecaseatbarcannotbebar redbypr escri

pti
onbecause
theappl
icabl
eprescr i
ptiv
eper i
odisnott he4-yearper i
odpr ovi
dedinAr ti
cle764ofthe
NewCi vi
lCode,ratheritisthe10-
y earperiodordinar
ypr escri
pti
onshal lappl
ybecause
thedeedofdonationpr ovi
desfortheaut omati
cr eversi
onoft hepropertytotheori
ginal
ownerincaseofv i
olati
onofanycondi tion.TheCour tinthepreviouscaseofDeLunav .
Abri
gohasalreadysettledsuchprescripti
veperi
od.

However
,al
thoughtheacti
oncannotbedi smi
ssedonthegr
oundofpr
escr
ipt
ion,t
he
sameshoul
dbedismissedforl
ackofcauseofact
ion.

Thecauseofact ionoft hepr iv

ater espondentsisbasedont hef actt hatt hepetit
ioner
t
h
soldthelotduri
ngt he50 y earoft heprohibit
iveperi
odof100y ears.Suchpr ohibiti
ve
peri
odi mposedbyt her espondent swasunr easonablebecauseappl yingi nanal ogy
Arti
cles494and870oft heNewCi vilCode,thedonorcannotor derapr ohibi
tiveperiod
ofdisposit
ionexceeding20y ears.Assuch,t hesaidconditionr egardingt heprohibiti
ve
peri
odbeingcont r
arytolawshal lbeconsideredasnul landv oidpur suantt oArt.727of
the New Ci vi
lCode butt he donat ion shallremai nv ali
d and subsi st
ing.Thus,
respondentscannotany mor erev okethedonat i
on,andt hesal eoft hepr opertybyt he
peti
ti
onertotheIgnaospousesshal lbeval
idandwi thl
egal effects.

Eduart
ev .Cour
tofAppeal
s
G.R.No.105944,Febr
uar
y9,1996,
253SCRA391
Franci
sco,J.

FACTS:PedroCal api
newast heregi st
eredownerofapar celofl andwi thanar eaof
12,
199squaremet er
s.Heexecut edadeedent i
tl
ed“ DonationInterVi
vos”cedi ngone-
halfpor
ti
onthereoftohisnieceHel enS.Dor ia.Eventuall
y,t
hewhol eparceloflandwas
cededtoDoriabyCal api
ne.Dor i
at hendonat edapor ti
onof157squar emet erstothe
CalauanChr
isti
anRef ormedChur ch.Heal sosol d,transf
erredandconv eyedunt othe
spousesEduart
et hepar celofland,sav ingt he700squar emet ersonwhi chDoria’
s
housewaser ected.Howev er
,Pedr o Cal apinef i
l
ed acompl aintagai nstDor i
a,the
CalauanChr
isti
anRef ormedChur ch,Inc.andt hespousesEduar tecl
ai mingthathis

128
signatur
etothedeedofdonat i
onwasaf orgery.Hepraysfortherev
ocationofthe
donationmadeinfavourofDori
a,todecl
arenullandvoidthedeedsofdonationand
salethatshehadexecut
edinfavoroft
heCalauanChri
sti
anReformedChurch,I
nc.and
thespousesEduar
te.

I
SSUE:Whet
herornott
hepet
it
ioner
sar
ebuy
ersi
nbadf
ait
hoft
hedonat
edpr
oper
ty.

HELD:No.Ther ulei swel l-settledt hatmer epossessi oncannotdef eatthet i

tleofa
holderofar egi steredt orrenst itletor ealproper t
y .Whenher ei
npet i
ti
onerspur chased
thesubj ectpr oper tyf r om Hel enDor ia,thesamewasal readycov eredbyTCTNo.T-
23205 undert he l atter's name.And al though Hel en Dor ia'st it
le was f r
audul ent l
y
secur ed, suchf actcannotpr ejudi cet her i
ght sofher einpet itioner sabsentanyshowi ng
thatt heyhadanyknowl edgeorpar ticipati
oni nsuchi r
r egul ar i
ty.Thus,theycannotbe
obligedt ol ookbey ondt hecer ti
ficateoft it
lewhi chappear edt obev ali
doni tsf adeand
sansanyannot ationornot iceofpr i
vat erespondent s' adv er secl aim.Cont raryther efore
tot heconcl usi onofr espondentCour t,petiti
oner sar epur chaser singoodf aithandf or
valueast heyboughtt hedi sput edpr oper t
ywi thoutnot icet hatsomeot herper sonhasa
ri
ghtori nter esti nsuchpr oper ty,andpai daf ul
lpr icef ort hesameatt het i
meoft he
purchaseorbef oret heyhadnot iceoft hecl aim ori nter estofsomeot herper soni nt he
proper ty.Andhav ingest abl i
shedbey onddoubtt hatHel enDor iafraudulentlysecur ed
hert i
tl
eov ert hedi sput edpr oper t
ywhi chshesubsequent l
ysol dt opeti
tioner s,Hel en
Dor i
ashoul di nst eadbeadj udgedl i
abl etopr ivaterespondent s, andnott opet iti
oner sas
decl aredbyt het rialcour tandr espondentCour tofAppeal s,f ort heresult
ingdamages
tothet r
ueownerandor i
ginal plai nti
ff,Pedr oCal apine.
Petitiongr ant ed.

Quil
alav.Al
cantara
G.R.No.132681,December3,
2001,
371SCRA311
Ynares–Santiago,J.

FACTS:OnFebr uary20,1981,Cat alinaQui l

alaexecuteda" DonationofRealPr oper t
y
I
nterVi vos"i nfavorofVi ol
et aQui l
alaov erapar celofl and.The" DonationofReal
PropertyI nt
erVi vos"consistsoft wo pages.Thef i
rstpagecont ainsthedeed of
donati
oni tself
,andissignedont hebot t
om portionbyCat al
inaQui l
alaasdonor ,
Violeta
Quil
alaasdonee,and t wo i nstrument alwi t
nesses.Thesecond pagecont ainst he
Acknowl edgment ,whi
chst at
esmer elythatCatalinaQuilal
aper sonall
yappear edbef ore
thenot arypublicandacknowl edgedt hatthedonat i
onwasherf reeandv ol untaryact
anddeed.Ther eappearont hel eft-
handmar ginofthesecondpaget hesignat uresof
Catali
naQui lal
aandoneoft hewi tnesses,andont heright-handmar ginthesi gnatures
ofVioletaQui l
alaandtheot herwi tnessThedeedofdonat i
onwasr egist
eredwi t
ht he
RegisterofDeedsand,i nduecour se,TCTNo.17214wascancel l
edandTCTNo.
143015wasi ssuedinthenameofVi oletaQuil
ala.

OnNov
ember7,1983,Cat
ali
naQui
l
aladi
ed.Vi
olet
aQui
l
alal
i
kewi
sedi
edonMay22,
129
1984.Petiti
onerRickyQuilalaall
egesthathei sthesur vi
vi
ngsonofVi ol
etaQuilala.
Meanwhile,respondentsGliceri
aAlcant
ar a,LeonoraAl cant
ara,InesRey esandJuan
Reyes,cl
aimingtobeCat ali
na'sonlysur
vivingrelat
iveswithi
nt hefourt
hci v
ildegr
eeof
consanguini
ty,executed a deed ofextrajudi
cialsettl
ementofest ate,divi
ding and
adj
udicat
inguntothemselvest heabove-
descr i
bedproperty.

OnSept ember13,1984,r espondent sinsti

tutedagai nstpetiti
onerandGui ll
er moT.San
Pedro,theRegi str
arofDeedsofMani la,anact ionf orthedeclar ati
onofnul li
tyofthe
donationinterviv
os.Thet rialcour tf
oundt hatthedeedofdonat i
on, alt
houghsi gnedby
bothCat al
inaandVi olet a,wasacknowl edgedbef oreanot arypubl iconlybyt hedonor ,
Catali
na.Consequent l
y ,t her ewasnoaccept ancebyVi ol
etaoft hedonat i
oni napubl i
c
i
nstrument ,thusrenderingt hedonat i
onnul landv oi
d.Onappeal ,theCour tofAppeal s
rendered a decision aff i
r mi ng with modifi
cation thedeci sion oft het r
ialcour tby
dismissi
ngt hecompl ai ntf orl ackofcauseofact i
onwi thoutprej udicetot hef i
li
ngof
probateproceedingsofCat al ina'
sall
egedlastwi llandtestament.

I
SSUE:Whet
herornott
hedeedofdonat
ioni
svoi
dforl
ackofaccept
anceont
hepar
tof
t
hedoneeVi
olet
aQuil
ala.

HELD:No.Asst atedabov e,t

hesecondpageoft hedeedofdonat i
on,onwhi cht he
Acknowl edgmentappear s,wassi gnedbyt hedonorandonewi t
nessont helef t-
hand
mar gin,andbyt hedoneeandt heot herwi tnessont her i
ghthandmar gin.Sur ely
,t he
requirementthatthecont ract
ingpar ti
esandt heirwitnessesshoul dsi gnont helef t
-
handmar ginofthei nst
rumenti snotabsol ute.Thei ntendmentoft helawmer elyist o
ensur ethateachandev erypageoft heinstrumenti sauthent
icatedbyt hepar ti
es.The
requirementisdesi gnedt oav oidthef al
sificati
onoft hecont r
actaf terthesamehas
alreadybeen dul yexecut ed byt hepar t
ies.Hence,a cont r
act i
ng par t
yaf f
ixeshi s
signatureoneachpageoft heinstr
umentt ocer tifythatheisagr eeingtoev er
ythingt hat
i
swr i
ttenther
eonatt hetimeofsi gning.

Simplyput,thespeci
ficat
ionofthelocati
onofthesignat
ureismerel
ydirector
y.Thefact
thatoneoft hepart
iessi gnsont hewrongsi deofthepagedoesnoti nval
idat
et he
document .Thepurposeofaut hent
icat
ingthepageisserved,andt
herequirementi
nt he
above-quotedprovi
sionisdeemedsubst anti
all
ycompli
edwi t
h.

Inthesamev ei
n,thelackofanacknowl edgmentbyt hedoneebef or
ethenotarypubl i
c
doesnotal sor enderthedonat ionnullandv oi
d.Thei nstr
umentshouldbet r
eatedini t
s
enti
rety.Itcannotbeconsi der edapr iv
at edocumenti npartandapubl i
cdocumenti n
anotherpar t
.Thef actthatitwasacknowl edgedbef oreanotarypubli
cconv er
tst he
deedofdonat i
onini t
sent ir
etyapubl icinst rument.Thef actthatt
hedoneewasnot
ment i
onedbyt henotarypublicintheacknowl edgmenti sofnomoment .Tobesur e,iti
s
theconv eyancet hatshouldbeacknowl edgedasaf r
eeandv ol
untar
yact.Inanyev ent,
thedoneesi gnedont hesecondpage,whi chcont ai
nst heAcknowledgmentonly .Her
acceptance,whi chi sexplici
tlysetf ort
hont hefi
rstpageoft henotari
zeddeedof
donation,wasmadei napubl icinstr
ument .

130
Hemedesv.CourtofAppeal
s
G.
R.No.107132,October8,
1999,
316SCRA347
Gonzaga–Reyes,J.

FACTS:JoseHemedes,f at
herofMaximaHemedesandEnr i
queD.Hemedes.Jose
Hemedes execut ed a documentent i
tled "Donati
on InterVivos With Resolut
ory
Condit
ions" wherebyheconveyedownershipoverthesubjectl
and,toget
herwithalli
ts
i
mpr ovements,inf av
orofhi sthi
rd wi
fe,Just aKausapin,subjecttothef oll
owing
resol
utorycondit
ionsthatuponherdeat
hormar ri
age,t
heDONEEshal lr
evertthesaid
proper
tytoanyoneofJoseHemedeschi l
dr en.

OnSept ember27,1960 a" Deed ofConveyanceofUnr egist

ered RealPr opert
yby
Reversion"conv ey
ingtoMaxi maHemedes.Shehadi tti
tl
edandmor tgagei ttoR&B
I
nsurancewi t
hanannot at
ionofUSUFRUCTf avorofherst epmot her
,JustaKausapin.
 
Unablet opayt hemor tgage,R&BI nsur
anceext ra-
judi
ciall
yf orecl
osedt heproperty
.
Howev er,JustaKausapinexecutedanotheragreementorKasunduanonMay27,1971
tohisst epson,Enri
queD.Hemedes.  Heobtai
nedt axdeclar ati
onsandpayr ealt
ytaxes
fr
om ther eon.
 TheMi ni
stryofAgrar
ianRefor
m Of f
iceconduct edacadast ralsurveyand
i
ndicatedEnr i
queHemedesast heowner.

Enri
queHemedessol dthepropert
ytoDomi nium Realt
yConst.Corp.
(Dominium),a
si
stercompanyofAsi
aBrewery.
 Asi
aBrewer
yst ar
tedtointr
oducesomeimprovements
al
readywhenR&Bi nsur
anceinf
ormedthem thattheyaretheownersofthepropert
y
wherethesei
mprovementsar
ebeingbui
lt
.

I
SSUE:Whetherornott
hekasunduanexecut
edbyJust
aKausapi
ninf
avorofEnr
iqueD.
Hemedesval
id.

HELD:Thecour tdi
smissedt hepetit
ionandaf firmedthedecisi
onoft heCA. Ithel
dthat
Maximaf ail
edt ocompl ywithther equirementsofAr t.1332oft hecivi
lcodeandal so
fai
ledtorepudiateJustaKausapin’sallegati
ont hatshedidnotexecutesuchadeedand
shenev eral
lowedt ouset helandassecur it
yf ortheloan.I
twasf oundt hatt
hedeedof
conveyancetoMaxi mawasspur iousandi tfoll
owst hattheori
ginalti
tl
eshehadf orthe
proper
tywasal sonullandv oidsoast hemor t
gaget oR&BI nsurance. Ontheother
hand,Kausapinexecut edanaf f
idavittoaffir
mt heauthent
ici
tyoft hekasundudani n
favorofhisstepson,Enr i
queHemedeswhom shei sdependentf r
om forherf i
nancial
support.
 

Si
guanv .Li
m
G.R.No.134685,Nov
ember19,
1999,
318SCRA725
Davide,
Jr.,
C.J.

FACTS:On2Jul
y1991,aDeedofDonat
ionconv
eyi
ngpar
cel
sofl
andandpur
por
tedl
y
131
execut edbyLI M on10August1989i nf avorofherchi ldren,Linde,I ngri
dandNei lwas
registeredwi tht heOfficeoft heRegi sterofDeedsofCebuCi ty
.On23June1993,
petiti
onerf i
led an acci on paul i
ana agai nstLI M and herchi l
dren t or esci
nd t he
quest i
oned Deed ofDonat i
on and t o declar e as nulland v oidt he new t ransfer
certif
icatesoft itl
eissuedf ort helot scov eredbyt hequest ionedDeed.Pet it
ioner
claimed t hereint hatsomet ime i n July 1991,LI M,t hrough a Deed ofDonat i
on,
fraudulentlytransferr
edal lherr ealpropertytoherchi l
dreni nbadf ait
handi nfraudof
creditors,including her;t hatLI M conspi r
ed and conf ederated wi th herchi l
dren in
antedat i
ng t he questioned Deed ofDonat ion,t o petit
ioner's and ot hercr editors'
prejudice;andt hatLIM,att het imeoft hef raudulentconv eyance,l eftnosuf fici
ent
proper ti
est opayherobl igati
ons.TheRTCr uledinf avorofSi guanandr escindedt he
Cont r
act ,butwasr eversedbyt heCA.

I
SSUE:Whet
herornottheDeedofDonati
onexecut
edbyr
espondentmayber
esci
nded
f
orbei
nginf
raudofheral
legedcr
edi
tor
.

HELD:Weresolv
et heseissuesinthenegat
ive.Art
.1381oftheCiv
ilCodeenumerates
t
hecontr
actswhicharerescissi
ble,
andamongt hem ar
e"t
hosecontract
sunder
takenin
f
raudofcredi
tor
swhent hel at
tercannoti
nanyot hermannercol
lectthecl
aimsdue
t
hem."

Theact i
ont or escindcont ractsi nf r
audofcr edi t
or sisknownasacci onpaul iana.For
thisact iont opr osper ,thef oll
owi ngr equisitesmustbepr esent :( 1)thepl ainti
f faski ng
forr escissi onhasacr edi tpr i
ort ot heal ienat ion,al t
houghdemandabl el ater;( 2)t he
debt orhasmadeasubsequentcont ractconv eyingapat ri
moni albenef ittoat hir
d
person;( 3)t hecr editorhasnoot herlegalr emedyt osat isfyhi scl aim;( 4)t heactbei ng
i
mpugnedi sf raudul ent;(5)t het hir
dper sonwhor ecei vedt hepr oper t
yconv eyed,i fi ti
s
byoner oust it
le,hasbeenanaccompl iceint hef r
aud.Thegener alr uleist hatr esci ssion
requi r
est heexi stenceofcr editorsatt het i
meoft heal l
egedf raudul ental ienat i
on,and
thismustbepr ovedasoneoft hebasesoft hej udicialpr onouncementset ti
ngasi det he
cont ract.Wi thoutanypr iorexistingdebt ,t
her ecannei t
herbei njur ynorf raud.Whi lei ti
s
necessar yt hatt hecr edi toft hepl aintiffint heacci onpaul ianamustexi stpr iort ot he
fraudul ental ienation,t hedat eoft hej udgmentenf orcingi tisi mmat eri
al .Ev eni ft he
j
udgmentbesubsequentt ot heal i
enat i
on,i ti smer elydecl arat ory,wi thr et roact iv
e
effectt ot hedat ewhent hecr editwasconst i
tut ed.I nt heinstantcase,t heal l
egeddebt
ofLI Mi nf av orofpet it
ionerwasi ncur redi nAugust1990,whi l
et hedeedofdonat i
on
waspur portedl yexecut edon10August1989.Ev enassumi ngar guendot hatpet i
tioner
becameacr edi t
orofLI M pr iort othecel ebrat ionoft hecont ractofdonat i
on,st illher
actionf orr esci ssionwoul dnotf arewel lbecauset het hirdrequi sitewasnotmet .Under
Ar t
icle1381oft heCi vilCode,cont ractsent eredi ntoi nf raudofcr editorsmaybe
rescindedonl ywhent hecr editorscannoti nanymannercol l
ectt hecl aimsduet hem.I t
i
s, theref ore, "
essent ialthatt hepar tyaski ngf orr esci ssionpr ov et hathehasexhaust ed
allotherl egalmeanst oobt ainsat i
sfact i
onofhi scl aim.20Pet it
ionernei theral legednor
prov edt hatshedi dso.Ont hisscor e,heract i
onf ort her escissi onoft hequest i
oned
deedi snotmai ntainableev eni fthef raudchar gedact uallydidexi st."

132
Nocedavs.CourtofAppeal
s
G.
R.No.119730, Sept
ember2,
1999,
313SCRA504
Gonzaga–Rey es,J.

FACTS:Cel esti
noAr bizodiedi
n1956l eavi
ngbehindapar celofl andhavi
nganar eaof
66,530squar emet er
s.Hisheir
spl ai
nti
ffAuroraDir
ect o,
defendantRodolfoNoceda,and
Mar iaArbizoext raj
udici
all
ysett
ledthepar t
iti
onoft helandwi thDirect
ogetti
ng11,426
squar emet ers,Nocedagot13,294squar emet er
s,andAr bi
zogot41, 810squaremeter s.
Plainti
ffDirectodonat ed625squar emet er
sofhershar etodef endantNoceda,whoi s
hernephew bei ng the son ofherdeceased si sterHowev eranot herextraj
udicial
settlement-part
iti
onwasexecut ed.Threefift
hsoft hesaidl andwentt oMar i
aAr bizo
whileplainti
ffDirectoanddefendantNocedagotonl yone-f
if
theach.

Somet i
mei n1981, Nocedaconst ructedhishouseont helanddonat edtohim byDi recto.
Directof encedt hepor ti
onallottedtoheri nt heextr
ajudi
cialsettl
ement,excludingt he
donat edpor t
ion,andconstructedt hereonthreehuts.Butin1985,Nocedar emov edt he
fenceear l
ierconstructedbyDi recto,occupiedthethreehut s(3)andf encedt heent i
re
l
andofpl aint
iffDir
ectowi t
houtherconsent .Dir
ectodemandedf rom Nocedat ov acate
herl and,butt helatterref
used.Hence,Di rectofil
edacompl ai
ntf orther ecoveryof
possessi onandowner shipandr escissi
on/annulmentofdonat ion,againstdefendant
Noceda

I
SSUE:Whetherornott
heact
sofNocedaconst
it
utei
ngr
ati
tudet
owar
rantr
evocat
ion
oft
hedonat
ion.

HELD:Yes.I twasest ablishedt hatpeti

ti
onerNocedaoccupi ednotonl yt heporti
on
donatedt ohim bypr i
vater espondentAuroraAr bi
zo-Di
rectobutheal sof encedthe
wholear eaofLotCwhi chbelongst opri
vaterespondentDi r
ecto,t
huspet iti
oner'
sactof
occupying thepor t
ion per t
aini
ng to pri
vater espondentDi r
ecto withoutt helatt
er'
s
knowledgeandconsenti sanactofusur pationwhi chisanof f
enseagai nstthepropert
y
ofthedonorandconsi deredasanactofi ngratit
udeofadoneeagai nstt hedonor.The
l
awdoesnotr equi
reconv i
ctionoft hedonee;itisenought hattheoffensebepr ovedin
theacti
onf orrevocati
on.

Theact iontor ev okebyr easonofi ngr

atitudeprescr
ibeswi thinone( 1)yeartobe
countedf r
om thet ime( a)thedonorhadknowl edgeofthefact;(b)prov
idedthati
twas
possi
blef orhi
mt obr i
ngt heacti
on.Iti
sincumbentuponpet iti
onertoshowpr oofoft
he
concurr
enceoft heset woconditi
onsi norderthattheone( 1)y earper
iodforbri
ngi
ng
theacti
onbeconsi deredtohav eal
readypr escri
bed.Nocompet entproofwasadduced
bypetit
ionertopr ov ehisall
egati
on.

133
Hei
rsofCesar
ioVelasquezv.CourtofAppeal
s
G.
R.No.126996,Februar
y15,2000,325SCRA552
Gonzaga–Reyes,J.

FACTS:SpousesLeonciadeGuzmanandCorneli
oAqui
nodiedintest
atesometi
mein
1945and1947,r espect
ivel
yandwer
echi
ldl
ess,l
eav
ing6parcelsoflandsit
uatedi
n
Pangasi
nan.LeonciaDeGuzmanwassurv
ivedbyhersi
ster
sAnatali
adeGuzmanand
Tranqui
l
inadeGuzman.

Somet i
mei n1989,t
heMeneses(heirsofAnatal
i
adeGuzman)f i
l
edacompl ai
ntfor
annulment,par
ti
ti
on and damages agai
nstthe hei
rs ofCesari
o Velasquez(
son of
Tranqui
li
nadeGuzman)forthelat
ter
s'ref
usalt
oparti
ti
onthepropert
iesoftheSpouses
Aquino.

Thecompl aintallegedt hatbef oreLeoncia’sdeat h,shet ol

dt hatthedocument sof
donati
onandpar t
iti
onwhi chsheandherhusbandear l
i
erexecut edwer enotsi gnedby
them asitwasnott heirintenti
ont ogiveawayal lt
hepr opert
iest oCesar ioVel asquez
becauseAnat al
iadeGuzmanwhoi soneofhersi st
ershadsev eralchil
drent osuppor t;
andthatCesar i
oVel asquezandhi smot herallegedlypromisedt odi v
idet heproper ti
es
equall
yandt ogi v
et hepl ainti
ffsone-hal
fthereof.Plai
ntiff
sfurtherclaimt hatafterthe
deathofLeoncia,def endant sforci
blytookpossessionofal lthepr operti
esanddespi te
plai
nti
ff
s'repeateddemandsf orparti
ti
on,defendantsrefused.

Plai
ntif
fsprayedforthenul l
i
tyoft hedocument scoveri
ngt hepropert
iesinquest
ion
si
ncet heydonotbeart hegenui nesignaturesoft heAquinospouses,t oorderthe
parti
ti
onoft heproperti
esbet weenplainti
ff
sanddef endantsinequalsharesandt o
orderthedefendantstorenderanaccount i
ngoft heproduceoft helandfrom t
heti
me
defendant
sf or
cibl
ytookpossessionuntilpar
ti
t i
onshallhavebeeneffect
ed.

Defendantsf i
ledt heiranswerwi thcount erclai
m allegingt hatdur ingt helifetimeof
spousesAqui no,t heyhadal readydi sposedoft hei
rpr opertiesinf avorofpet i
t i
oners'
predecessors-i
n-interest,CesarioVel asquezandCami l
adeGuzman,andpet iti
oners
AnastaciaandJoseVel asquezint hef ol
l
owi ngmanner :
(1)The t hird and sixth parcelswer e conveyed t o defendant s'late parents
CesarioVel asquezandCami l
adeGuzman,byv i
rtueofaEscr i
turadeDonat ion
PropterNupt i
asdat edFebruary15, 1919;
(2)The second par celwas conv eyed t o defendant s'late par ent
s Cesar i
o
VelasquezandCami l
adeGuzmanbyv irt
ueofadeedofconv eyancedat edJuly
14,1939;
(3)Thef irstpar celwasl ikewiseconv eyedtodef endantsJoseVel asquezand
AnastaciaVel asquezbyv irt
ueofadeedofconv ey
ance( Donat i
onI ntervi
vos)
datedApr il10, 1939;
(4)Ast ot hef ourthandf ifthparcels,thesamewer eownedandpossessedby
thi
rdpar t
ies.

Thet
ri
alcour
trul
edi
nfav
oroft
hepl
aint
if
fs,gi
vi
ngcr
edi
bil
i
tyt
oSant
iagoMeneses’
134
testi
mony;declar
ingtheDonati
onI ntervi
vos,t
heDeedofSal e,t
heDeedofDonat ion,
the
DeedofSalet othir
dpart
iesovert he4thand5t hparcel
sasnullandv oi
dinsofaras1/2
ofthe6par celsareconcernedl egiti
matelybelongtotheplaint
if
fs;andor der
ingthe
defendant
stopaydamages.Def endantsappealedthedecisi
ontorespondentCAwhi ch
affi
rmedthesame.Amot i
onf orr econsider
ati
onwasf il
edbyt hepetit
ionersbutthe
samewasdeni ed.

I
SSUE:Whet
herornotthepeti
ti
oner
shav
eacqui
redabsol
uteandexcl
usi
veowner
shi
p
oft
hepr
oper
tiesi
nquesti
on.

HELD:Yes.Pr ivat erespondentSant i

agoMenesesf ail
edt opr ovethenul li
tyoft he
DeedsofConv ey anceexecut edbyt heAqui nospousesi nfav orofpeti
tionersandt heir
predecessor s-i
n-interestCesar ioVelasquezandCami l
adeGuzmansi ncehef ail
edt o
adduceanyev idencet osuppor thisclai
m ot herthanhisbar eal l
egati
onsofi tsnul l
i
ty.
Ont heot herhand,pet i
tionerswer eabl etoshow bydocument aryevidencet hatthe
Aquinospousesdur i
ngt heirli
feti
medi sposedoft hef
ourpar celsoflandsubj ectofthe
compl aint
,towi t
:( a)Escr i
turadedonat ionpr opternupti
as,( b)Deedofdonat ioninter
vivos,(c)Escr i
turadeCompr eventawi t
haP500consi deration:(d)DeedofConv ey
ance
withaconsi der ati
onofP600andconf ir
mi nginthesameDeedt heEscrit
ur adedonat i
on
propternupt iasandEscr ituradecompr aventaabov ementioned.I twasr ever
sibleerror
forthecour ttoov erl
ookt heprobativevalueoft hesenotari
zeddocument s.

Adonat
ionasamodeofacqui ri
ngownershipr
esultsi
naneffect
ivet
ransferoft
itl
eover
t
hepropert
yfrom thedonort othedoneeandt hedonat
ionisperfectedfrom the
momentthedonorknowsoftheacceptancebythedonee.Onceadonationisaccept
ed,
t
hedoneebecomest heabsol
uteownerofthepropert
ydonat
ed.

Thedonat i
onoft hefi
rstparcelmadebyt heAquinospousest opet it
ioner
sJoseand
Anastaci
aVelasquezwhower ethen19and10y earsoldrespecti
v el
ywasaccept ed
thr
ought hei
rfatherCesarioVelasquez,andt heacceptancewasi ncor por
atedinthe
bodyofthesamedeedofdonat ionandmadepar tofit
,andwassi gnedbyt hedonor
andtheacceptor.Legal
lyspeakingtherewasdel i
ver
yandaccept anceoft hedeed,and
thedonati
onexistedperf
ectlyandirr
evocably.Thedonat
ionintervi
vosmayber evoked
onlyf
orthereasonsprovidedinArti
cles760,764and765oft heCivilCode.

Thedonat i
onpr opt
ernuptiasinf avorofCesarioVel asquezandCami l
adeGuzmanov er
the thi
rd and si xt
h parcelsi ncludi
ng a porti
on oft he second parcelbecame t he
propert
iesoft hespousesVel asquezsi nce1919.Thedeedofdonat i
onpr opternuptias
can be rev oked by the non- per f
ormance oft he mar ri
age and the othercauses
ment i
onedi nAr ti
cle86oft heFami lyCode.Theal legedreasonforther epudiati
onof
thedeed,i.e.,thattheAqui nospousesdi dnoti ntendt ogiveawayal lthei
rproper t
ies
sinceAnataliahadsev eralchildrent osupportisnotoneoft hegroundsf orrevocati
on
ofdonat i
on ei therint
erv ivosorpr opt
ernupt ias,although t
he donat i
on mi ghtbe
i
nof f
ici
ous.

135
TheEscr i
turacompr av entaov eranot herportionoft hesecondpar celandt heDeedof
conveyancedat edJul y14,1939i nf avorofCesar i
oandCami l
aVel asquezov erthe
remainingpor t
ionoft hesecondpar celisal sov ali
d.I nfacti nthedeedofsal e,the
Aquinospousesr atifi
edandconf i
rmedt herightsandi nter est sofCesar ioVel asquez
andCami ladeGuzmani ncludingt hepr evi
ousdeedsofconv eyanceov ert hesecond
parceli
nt hecompl aintandsuchdeedofsal ebecamet hebasi sf ortheissuanceofTCT
i
nt henamesofCesar i
oVel asquezandCami l
adeGuzman.Thebestpr oofoft he
ownershi p oft hel and i st hecer tif
icateoft it
leand i tr equi resmor et han abar e
all
egati
ont odef eatt hef acev alueofTCTwhi chenj oysal egal presumpt ionofr egul
arit
y
ofissuance.Not ably, dur i
ngt helif
etimeofCesar ioVel asquez, heent eredi ntocont r
acts
ofmor tgageandl easeov erthepr opertyasannot atedatt hebackoft hecer t
ifi
cateof
ti
tl
ewhi chcl earlyest abli
shedt hatheexer cisedf ullowner shi pandcont rolov erthe
propert
y .

Petit
ionerswereabletoestabli
sht hatt
hesefourparcel
soflandwereval
i
dlyconvey
ed
tothem byt heAquinospouses,hence,t heynolongerformedpartoftheconjugal
properti
esoft hespousesatt het i
meoft hei
rdeaths.Asregar
dsthefourt
handf i
fth
parcels,pet
it
ioner
sallegedthatthesewerealsoconveyedt
ot hi
rdper
sonsandtheydo
notclaim anyri
ghttheret
o.

Inview oft heforegoing,theacti

onofpar ti
ti
oncannotbemai ntained.Thepropert
ies
soughtt o be parti
ti
oned by privat
er espondent
s hav e al
ready been deli
v er
ed to
peti
tioners and therefor
e no longerpartoft he heredi
taryest ate whi
ch could be
part
itioned.Noco- ownershipexi
stsbetweenpri
vaterespondentsandpet i
ti
oners.

Gonzalesv
.Cour
tofAppeals
G.
R.No.110335,June18,
2001,
358SCRA598
Melo,J.

FACTS:DeceasedspousesI gnacioandMar i
naGonzal eswer eregi steredowner soft wo
parcel
sofagr i
cul
turalland.Pet i
tionersar et hesuccessor s-in-i
nt erestort hechi l
dren
andgr andchildr
enoft hedeceasedspouses.Ont heot herhand, privaterespondent sare
thefarmer sandt enant sofsai dspouseswhohav ebeencul tivatingt hepar celsofl and
evenbef or
eWor l
dWarI Iei t
herper sonallyort hrought heirpr edecessor s- i
n-interest.
Mar i
naGonzal esdi edi ntestateandappoi ntedasadmi nistrati
xwaspet iti
onerLi li
a
Gonzales.Pr iortot hepar titi
onofsai dest ate,IgnacioGonzal esexecut edaDeedof
Donationi nfavorofhi sgrandchi l
dr enbutwasnotr egister
ed.WhenPr esi
dent ialDecr ee
No.27t ookef f
ect,thel andholdingsoft hesai dspouseswer epl acedunderOper ati
on
LandTr ansfer.Privaterespondent swer et henissuedt hecorrespondi ngCer ti
ficatesof
Land Tr ansfer.The admi ni
strat
ix oft he spouses’est ate,Li li
a Gonzal es f il
ed an
appli
cationf orret
ent i
onr equest i
ngt hatt heirproper t
ybeexcl udedf r
om t heOper ati
on
LandTr ansfer.Ini
ti
ally
, i
twasdeni edbutwasappr ovedduet othedeedofdonat ion.

I
SSUE:Whet
herornott
hepr
oper
tysubj
ectoft
hedeedofdonat
ionwhi
chwasnot
136
regi
steredwhenP.
D.No.27t
ookef
fect
,shoul
dbeexcl
udedf
rom t
heOper
ati
onLand
Transfer.

HELD:No.Ar ticle749oft heCi v

ilCodeprov idesi nt erali
at hat“ i
nor dert hatthedonat i
on
ofani mmov abl emaybev ali
d,i
tmustbemadei napubl icdocument ,specif yi
ngther ein
thepr opertydonat edandt hev al
ueoft hechar geswhi cht hedonemustsat i
sfy .
”
Coroll
aril
y,Article709oft hesameCodeexpl icit
lyst atest hat“ t
het it
lesofowner ship, or
otherrightsov eri mmov ableproper t
y,whichar enotdul yi nscr i
bedorannot atedi nthe
RegistryofProper t
yshallnotpr ejudi
cethirdper sons. ”From t hef oregoingpr ov i
sions, i
t
maybei nferredt hatasbet weent hepartiest oadonat i
onofi mmov ablepr oper t
y,all
thatisrequir
edi sforsai
ddonat i
ont obecont ai
nedi napubl i
cdocument .Registr
at i
oni s
notnecessar yf orittobecont ainedinapubl icdocument .Iti snotnecessar yforittobe
consideredv alidandef fecti
ve.Howev er,inor dert obi ndt hir
dper sons,t hedonat i
on
mustber egi
st eredintheRegi stryofProper ty.Int hecaseatbar ,t
hedonat ionexecut ed
byIgnacioGonzal esinfav orofhisgrandchi ldren, althoughi nwriti
nganddul ynotarized,
hasnotbeenr egister
edi naccor dancewithl aw.Fort hisr eason,i tshallnotbebi nding
uponpr i
vater espondentswho di dnotpar ti
cipat ei nsai ddeednorhadno act ual
knowledget her eof.

I
mper i
alv
.CourtofAppeals
G.
R.No.112483,October8,1999,
316SCRA393
Gonzaga–Reyes,J.

FACTS:Leonci oI mperi
alwast heownerofapar celoflandwi thanareaof32, 837sq.m.
and located in Albay.On Jul y7,1951,Leonci o soldt he lotforPhp 1. 00 to his
acknowl edged naturalson,pet iti
oneri nt his case.Pet it
ionerand Vi ct
orI mperial
,
adoptedsonofLeonci o,agreedt hatdespit
et hedesi gnati
onoft hecontractasDeedof
AbsoluteSal e,thetransacti
oni sinf actaDonat i
on.Twoy earsaft
er,Leonci ofi
leda
compl ai
ntf ort he Annul mentofDonat i
on.I twas howev erresolved t hr
ough a
compr omi se agreementundert he foll
owi ng terms and condi t
ions:( 1)Leonci o
recognizedandagr eedt hel egali
tyandv ali
dityoft herightsofpet it
ioner;and( 2)
peti
ti
oneragr eedt osell
adesi gnated1,000sq. m.port i
onoft hedonatedland.

Leonciodi edl eavingonl ytwohei r

s:pet i
tionerandVictorImper i
al.OnMar ch8,1962,
Victorwassubst itutedint hecompl aintf orannulment.Hemov edf ortheexecuti
onof
j
udgmentandi twasgr ant ed.After15y ears,Vict
ordiedandwassur vi
vedonlybyhi s
naturalfather,RicardoVi l
lalon.RicardoVi ll
alonisalesseeoft hepor t
ionofthesubject
property
.Vi ll
alondi edleav i
nghi shei r
s,CesarandTer esaVill
alon,respondentsinthis
case.I n 1986,r espondent sf i
l
ed a compl ai
ntf orthe annulmentoft he donati
on.
All
egedly ,
itimpai rsthelegitimeofVi ctorImper i
al.

ISSUES:
1.)Whet
herornott her
espondent
shav
ether
ightt
oquest
iont
hei
nof
fi
ciousdonat
ion
andseekit
sreduct
ion.
137
2.
)Whet herornotthe30-
yearpr
escr
ipt
iveper
iodi
sappl
i
cabl
eint
her
educt
ionoft
he
i
noff
ici
ousdonation.

HELD:1. )Yes.Att heti

meoft hesubst it
ution,t
hej udgmentapprovi
ngthecompr omise
agreementhasal readybeenrendered.Vi ctormerelypartici
pat
edintheexecuti
onofthe
compr omisejudgment .Hewasnotapar tytothecompr omiseagr
eement.WhenVictor
substitut
edLeonci o,hewasnotdeemedt o haver enouncedhislegit
ime.Hewas
thereforenotprecludedorestoppedf rom subsequent l
yseekingthereducti
on.Norare
Victor’
sheirs,uponhi sdeath,precludedf r
om doi ngso.Thi sisinaccordancewith
Arti
cles772and1053oft henewCi vi
l Code, towit:

Art
icl
e772.Onlyt
hosewhoatthet
imeofthedonor
’sdeat
hhav earightt
othelegit
ime
andthei
rheir
sandsuccessor
sini
nter
estmayaskforthereduct
ionoftheinoff
ici
ous
donat
ionxxx.

and

Ar
ticl
e1053.I
ftheheirshoul
ddiewi
thouthav
ingaccept
edorr
epudi
atedt
hei
nher
it
ance,
hi
sr i
ght
sshal
lbetransmitt
edtohi
sheir
s.

2.)No.UnderArti
cle1144oftheNewCi vi
lCode,acti
onsuponanobl igat
ioncreatedby
l
awmustbebr oughtwit
hint
eny ear
sfrom t
herightofactionaccrues.Thus,the10-year
prescr
ipt
iveperi
odappliest
ot heobli
gati
ont oreducei noff
ici
ousdonat ionsrequired
underArti
cle771oft heNew Civi
lCodetot heextentthattheyimpai rt
hel egi
ti
meof
compulsoryhei
rs.

Thecauseofact i
ont o enf
orceal egit
imeaccr uesupont hedeat hoft hedonor -
decedent.Clearl
yso,si nceonlythenthatthenetest at emaybeascer t
ainedandon
whichbasi s,thelegiti
mesmaybedet er
mi ned.Ittook24y ear ssincethedeat hof
Leonci
ot oi niti
atet hi
scase.Thus,t he action hasl ong prescri
bed.Notonl yhas
prescr
ipti
onseti n,theyarealsoguil
tyofest oppelandl aches.Fift
eeny earsaf
terthe
deathofLeonci o,Victordi
ed.Ricar
doVi l
l
alon,Victor
’ssol eheir,di
edf ouryear
sl at
er.
WhileVictorwasal i
ve,hegav enoindi
cationofanyi nteresttocontestthedonationof
hi
sdeceasedf ather.

Republi
cofthePhil
ippi
nesv .Si
li
m
G.R.No.140487,
Apr i
l2,2001,356SCRA1
Kapunan,J.

FACTS:RespondentSpousesSili
m andMangubatdonat eda5, 600squaremet erparcel
oflandinfavoroft heBur eauofPubl i
cSchool soft heMuni ci
pali
tyofMal angas,
ZamboangadelSur.Int heDeedofDonat i
on,therespondentsimposedthecondi ti
on
thatt
hesai
dpropertyshouldbe“usedexclusiv
elyandforeverf
orschoolpurposesonly.”
Thisdonat
ion wasaccept ed bytheDi str
ictSupervi
soroft heBureau,through an
138
Af
fi
dav
itofAccept
anceand/
orConf
ir
mat
ionofDonat
ion.

Aschoolbui ldingwast her

eaft
erconst r
uctedont hedonat edland.Howev er,another
schoolbuil
dingt hatwasal sosupposedt obeal l
ocatedf ort hedonatedparcelofl and
couldnotber eleasedsi ncethegov er
nmentr equi
redthati tbebui l
tupona1hect are
parcelofland.Byr easonoft hi
s,theDi st
ri
ctSuper v
isorandt hev ice-mayor’
swi f
e
enteredi
ntoaDeedofExchangewher ebythedonatedlotwasexchangedwi thabi gger
l
otownedbyt hel atter.Consequently
,theschoolbui l
dingswer econst r
uctedont hi
s
new schoolsi teandt heschoolbuildingprevi
ouslyerectedont hedonat edlandwas
dismantl
edandt ransf er
redtot henew locati
on.Oneday ,respondentswer esurprised
whenhesawt hev ice-may orconstr
ucti
ngahouseont hedonat edl
and.

ISSUES:
1.)Whet
herornottherewasav al
iddonati
ondespi
tenon-not
ati
onoft
heaccept
ancei
n
theDeedofDonati
on,asrequir
edinArt
icl
e749.
2.)Whet
herornotthecondit
iononthedonati
onwasviol
ated.

HELD:1.)Yes.Thepur poseoft heformal r

equirementforaccept
anceofadonat i
onisto
ensurethatsuchi sdul ycommuni catedtot hedonor.Inthecaseatbar ,aschool
buil
dingwasi mmediatel
yconst r
uctedaf t
ert hedonationwasexecut ed.Respondents
hadknowl edgeoft heexistenceoft heschoolbuildi
ngputupont hedonat edlot.The
actualknowl edgebyr espondentsoft heconst r
ucti
onandexi stenceoft heschool
buil
dingfulf
il
ledthelegalrequi
rementthatt heacceptanceofthedonationbyt hedonee
becommuni catedt
ot hedonor.

2.)No.Therewasnov i
olat
ionev enafterthedonatedl otwasexchangedf oranother
one.Thepurposeofthedonat ionremainsthesame, whi chi
sf ortheestabl
ishmentofa
school
.Theexclusi
vi
tyoft hepur posewasnotal ter
edoraf f
ected.Infact,t
heexchange
ofthelotf
oramuchbi ggeronewasi nfurt
heranceandenhancementoft hepur poseof
thedonati
on.Theacquisit
ionoft hebiggerl
otpav edthewayf ortherel
easeoff undsfor
theconstr
ucti
onofBagongLi punanschoolbuildi
ngwhi chcouldnotbeaccommodat ed
bythelimi
tedareaofthedonat edlot.

Gestopav
.CourtofAppeals
G.
R.No.111904,October5,2000,
342SCRA105
Quisumbi
ng,
J.

FACTS:SpousesDanl agweret heowner sofsi xparcel

sofunregist
eredl ands.They
executedthr eedeedsofdonat onmor
i t
iscausa,t woofwhichwereinfavorofMer cedes
Danlag-Pi
lapi l
.Alldeedscontai
nedthereserv at
ionoftheri
ghtsoft
hedonor st oamend,
cancelorr ev okethedonationduri
ngtheirli
fetime,andtosell
,mortgage,orencumber
thepropertiesdonat edduri
ngt hedonors'li
feti
me,ifdeemednecessar y.Thespouses
then execut ed anotherdeed ofdonat ion intervi
vos infavorofMer cedes which
contai
nedt hecondi t
ionthatthedonors,Danl agspouses,shal
lcontinuetoenj oythe
139
fr
uit
soft helanddur i
ngt heirl
if
eti
meandt hatt
hedoneeenj oythefruit
softheland
duri
ngt heirl
i
f et
imeandt hatthedoneecannotsellordisposeoft helandduri
ngthe
l
if
eti
me oft he donor s withoutt hei
rpriorconsentand approval. Consequent
ly,
Mercedescausedt hetransferoftheparcelsofl
and'
staxdeclar
ationtohernameand
pai
dt hetaxesont hem.

SpousesDanl agsol dt wopar celsofl otstoSpousesAgr ipinoandI sabelGestopaand

executedadeedofr evocat i
onr ecov eri
ngt hesixparcel
sofl andsubj ecttothedeedof
donationintervivos.Mer cedesPi lapilfil
edwi ththeRegi onalTr ialCourtagainstt he
SpousesDanl agandGest opa,f orqui eti
ngoft it
leoverthepar celsofl andandal leged
thatthelandwasdonat edt oherbyDi egoDanl agandt hatsheaccept edthedonat i
on
openlyandpubl icl
yexer cisedr i
ghtsofowner shi
pov ert hedonat edpr opert
ies,and
transf
erredthet axdecl arati
onst ohername.Sheal soal l
egedt hatt hedonationi nter
vivoswascoupl edwi thcondi tionsand, accor di
ngtoMer cedes, sincei tsper
fection,she
hadcompl iedwithalloft hem; thatshehadnotbeengui ltyofanyactofi ngr
ati
tude; and
thatDiegoDanlaghadnol egalbasi stor evokethedonat i
onandt heni nsel
li
ngt het wo
parcelsoflandtot heGest opaspouses.

I
nt heiropposi t
ion,t hespousesGest opaandt heDanlagav er
redt hatt
hedeedof
donati
onwasnul landvoidbecauseitwasobt ai
nedbyMer cedesthr
oughmachinat
ions
andunduei nfluence.Ev enassumi ngitwasv al
idl
yexecuted,t
heintenti
onwasforthe
donati
ontot akeef fectuponthedeathofthedonorandt hatthedonati
onwasvoidfori
t
l
eftthedonor ,
Di egoDanl ag,
withoutanypropert
yatall
.

I
SSUE:Whet
hert
hedonat
ioni
sadonat
ioni
ntervi
vosoradonat
ionmor
ti
scausa.

HELD:TheCour tRulest hatitwasadonat oni

i ntervivos.TheCour taf f
ir
medt heCour t
ofAppeal s'deci
si
ont hatther eser
vati
onbyt hedonorofl i
feti
meusuf r
uctindicatedt hat
hetransferr
edt oMer cedest heowner shipoverthedonat edpropert
ies;thatther i
ghtt o
sel
lbelongedt othedonee,andt hedonor '
sr ightr efer
redt othatofmer el
ygi ving
consent;thatthedonorchangedhi sintenti
onbydonat ngi
i ntervi
vospr operti
esal r
eady
donated mor ti
scausa;t hatt hetransfertoMer cedes'nameoft het axdecl arati
ons
pert
aini
ngt ot hedonatedpr operti
esimpl i
edt hatthedonat ionwasi ntervivos;andt hat
Mercedesdi dnotpurchaset wooft hesi xparcelsoflanddonat edtoher .

I
nascer tai
ningt hei ntenti
onoft hedonor ,alloft hedeed' spr ovi
sionsmustber ead
together .Thegr antingcl auseshowst hatDiegodonat edt hepr opert
iesoutofloveand
affectionf orthedonee.Thi sisamar kofadonat oni
i ntervivos.Second,thereservati
on
ofl i
fetimeusuf ructi ndicatesthatthedonorintendedt ot ransferthenakedowner shi
p
overt hepr operti
es.Thi r
d,thedonorr eser
vedsuf fi
cientpr opertiesforhismaintenance
i
naccor dancewi t
hhi sst andi
ngi nsociet
y,indicatingt hatt hedonori nt
endedt opar t
witht hesi xparcelsofl and.Lastl
y,thedoneeaccept edt hedonat i
on.

Anaccept anceclausei samar kthatthedonat

ionisint
ervivos.Acceptanceisa
requir
ementf ordonat
ionsi
ntervi
vos.Donat
ionsmort
iscausa,beingintheform ofa
will
,arenotrequi
redtobeaccept
edbythedoneesduri
ngthedonors'l
if
eti
me.Ther ight
140
todisposeoft hepr opertiesbel
ongedt ot hedonee.Thedonor '
sr i
ghttogiveconsent
wasmer elyintendedt opr ot
ecthisusufructuar
yi nt
erest
s.Theli
mitati
onont her
ightto
sel
lduringt hedonor s'li
feti
mei mpli
edt hatowner shiphadpassedt othedoneesand
donati
onwasal readyef f
ectiveduri
ngt hedonor s'l
ifet
ime.Hence,themomentt hati
t
wasaccept edbyMer cedesDanlag-Pi
lapil
,ownershipoft hepr
opert
ieswastransf
erred.

Sumipatv.Banga
G.R.No.155810,
August13,
2004
Ti
nga,J.

FACTS:ThespousesPl acidaTabo- t
aboandLaur oSumi patacqui redt hreepar celsof
l
and.Thecoupl ewaschi l
dless.Laur oSumi pat ,howev er,siredf iveill
egi
timat echi ldren.
Theyar et hepet it
ionersher ein.Laur oexecut edadocumentdenomi nat ed“ Deedof
Absol uteTr ansf erand/orQui t
-Clai
m ov erRealPr oper ti
es”i nf avoroft hepet it
ioner s.On
thedocument ,itappear sthatthesi gnatur
eofhi swi fe,Placidawhi chindicatest hatshe
gav ehermar i
talconsent .Mor eover,itwasal legedt hatLaur oexecut edi twhenhewas
alreadyv erysi ckandbedr i
ddent hatuponpet it
ionerLy dia’sr equest,t heirnei ghbor
Benj aminRi v
eral i
ftedthebodyofLaur owher euponLy diagui dedhi shandi naffixinghi s
signatureont hedocument .Lydialeftbutlaterr eturnedont hesamedayandr equest ed
Laur o’
sunl ett
eredwi fe,Placidat osignont hesai ddocument .AfterLaur o’sdeat h,his
wife,Pl acidaandpet i
tionersjointl
yadmi nisteredt hepr oper ti
es,50% oft hepr oduce
wentt ohi swi f
e.Aswi fe’sshar einthepr oduceoft hepr oper t
iesdwi ndled,shef i
leda
compl aintf ordecl arati
onofpar ti
ti
ondi sclaimi nganypar ti
tioni nt heexecut ionoft he
subjectdocument .

ISSUE:Whet
herornott hequest
ioneddeedbyitster
msorunderthesurrounding
cir
cumst
anceshasv
ali
dlytr
ansf
err
edt i
tl
etot
hedi
sput
edproper
ti
est
othepet
it
ioners.

HELD:No.Aper usaloft hedeedr evealsthati tisact uall

yagr atuitousdi sposit
ionof
property— adonat i
on— al thoughLaur oSumi pati mposedupont hepet it
ionerst he
condi t
ionthatheandhi swi fe, Placida, shallbeent i
tledt oone- half(1/ 2)ofal lt
hef ruit
s
orpr oduceoft hepar celsofl andf ort heirsubsistenceandsuppor t.Wher et hedeedof
donat i
onf ail
st oshow t heaccept ance,orwher et hef ormalnot iceoft heaccept ance,
madei nasepar ateinstrument ,isei t
hernotgi v entot hedonororel senotnot edint he
deedofdonat i
onandi nt hesepar ateaccept ance,t hedonat ionisnul landv oid.I
nt hi
s
case, t
hedonees’ acceptanceoft hedonat i
oni snotmani festedei t
heri nthedeedi tsel
f
orinasepar at
edocument .Hence,t hedeedasani nstrumentofdonat i
oni spat entl
y
void.TheCour tdeclaredt hatt hedeedsofsal equest ionedt herei narenotmer el
y
voidablebutnul landv oidabi niti
oast hesupposedsel lerdeclaredunderoat hthatshe
signedt hedeedswi t
houtknowi ngwhatt heywer e.Thesi gnif
icantci r
cumst ancemeant ,
theCour tadded,thatherconsentwasnotmer elymar redbyv icesofconsentsoast o
maket hecont r
actsvoidable, butt hatshehadnotgi v enherconsentatal l
.

141