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G.R. No.

61584 November 25, 1992 Register of Deeds of Negros Occidental on August 20, 1963, cancelled OCT No. RO-
8376 in the name of Agatona Sagario and issued Transfer Certificate of Title (TCT) No.
DONATO S. PAULMITAN, JULIANA P. FANESA and RODOLFO 35979 in Donato's name.
FANESA, petitioners, 
vs. As regards Lot No. 1091, Donato executed on May 28, 1974 a Deed of Sale over the
COURT OF APPEALS, ALICIO PAULMITAN, ELENA PAULMITAN, ABELINO same in favor of petitioner Juliana P. Fanesa, his daughter. 5
PAULMITAN, ANITA PAULMITAN, BAKING PAULMITAN, ADELINA PAULMITAN
and ANITO PAULMITAN, respondents. In the meantime, sometime in 1952, for non-payment of taxes, Lot No. 1091 was
forfeited and sold at a public auction, with the Provincial Government of Negros
Occidental being the buyer. A Certificate of Sale over the land was executed by the
Provincial Treasurer in favor of the Provincial Board of Negros Occidental. 6
ROMERO, J.:
On May 29, 1974, Juliana P. Fanesa redeemed the property from the Provincial
1
This is a petition for review on certiorari seeking the reversal of the decision   of the Government of Negros Occidental for the amount of P2,959.09. 7
Court of Appeals, dated July 14, 1982 in CA-G.R. No. 62255-R entitled "Alicio
Paulmitan, et al. v. Donato Sagario Paulmitan, et al." which affirmed the decision 2 of On learning of these transactions, respondents children of the late Pascual Paulmitan
the then Court of First Instance (now RTC) of Negros Occidental, 12th Judicial District, filed on January 18, 1975 with the Court of First Instance of Negros Occidental a
Branch IV, Bacolod City, in Civil Case No. 11770. Complaint against petitioners to partition the properties plus damages.

The antecedent facts are as follows: Petitioners set up the defense of prescription with respect to Lot No. 757 as an
affirmative defense, contending that the Complaint was filed more than eleven years
Agatona Sagario Paulmitan, who died sometime in 1953, 3 left the two following after the issuance of a transfer certificate of title to Donato Paulmitan over the land as
parcels of land located in the Province of Negros Occidental: (1) Lot No. 757 with an consequence of the registration with the Register of Deeds, of Donato's affidavit
area of 1,946 square meters covered by Original Certificate of Title (OCT) No. RO- extrajudicially adjudicating unto himself Lot No. 757. As regards Lot No. 1091,
8376; and (2) Lot No. 1091 with an area of 69,080 square meters and covered by OCT petitioner Juliana P. Fanesa claimed in her Answer to the Complaint that she acquired
No. RO-11653. From her marriage with Ciriaco Paulmitan, who is also now deceased, exclusive ownership thereof not only by means of a deed of sale executed in her favor
Agatona begot two legitimate children, namely: Pascual Paulmitan, who also died in by her father, petitioner Donato Paulmitan, but also by way of redemption from the
1953, 4 apparently shortly after his mother passed away, and Donato Paulmitan, who is Provincial Government of Negros Occidental.
one of the petitioners. Petitioner Juliana P. Fanesa is Donato's daughter while the third
petitioner, Rodolfo Fanes, is Juliana's husband. Pascual Paulmitan, the other son of Acting on the petitioners' affirmative defense of prescription with respect to Lot No.
Agatona Sagario, is survived by the respondents, who are his children, name: Alicio, 757, the trial court issued an order dated April 22, 1976 dismissing the complaint as to
Elena, Abelino, Adelina, Anita, Baking and Anito, all surnamed Paulmitan. the said property upon finding merit in petitioners' affirmative defense. This order,
which is not the object of the present petition, has become final after respondents'
Until 1963, the estate of Agatona Sagario Paulmitan remained unsettled and the titles failure to appeal therefrom.
to the two lots mentioned above remained in the name of Agatona. However, on
August 11, 1963, petitioner Donato Paulmitan executed an Affidavit of Declaration of Trial proceeded with respect to Lot No. 1091. In a decision dated May 20, 1977, the
Heirship, extrajudicially adjudicating unto himself Lot No. 757 based on the claim that trial court decided in favor of respondents as to Lot No. 1091. According to the trial
he is the only surviving heir of Agatona Sagario. The affidavit was filed with the court, the respondents, as descendants of Agatona Sagario Paulmitan were entitled to
one-half (1/2) of Lot No. 1091, pro indiviso. The sale by petitioner Donato Paulmitan to
his daughter, petitioner Juliana P. Fanesa, did not prejudice their rights. And the x x x           x x x          x x x
repurchase by Juliana P. Fanesa of the land from the Provincial Government of Negros
Occidental did not vest in Juliana exclusive ownership over the entire land but only On appeal, the Court of Appeals affirmed the trial court's decision. Hence this petition.
gave her the right to be reimbursed for the amount paid to redeem the property. The
trial court ordered the partition of the land and directed petitioners Donato Paulmitan To determine the rights and obligations of the parties to the land in question, it is well
and Juliana P. Fanesa to pay private respondents certain amounts representing the to review, initially, the relatives who survived the decedent Agatona Sagario Paulmitan.
latter's share in the fruits of the land. On the other hand, respondents were directed to When Agatona died in 1953, she was survived by two (2) sons, Donato and Pascual. A
pay P1,479.55 to Juliana P. Fanesa as their share in the redemption price paid by few months later in the same year, Pascual died, leaving seven children, the private
Fanesa to the Provincial Government of Negros Occidental. The dispositive portion of respondents. On the other had, Donato's sole offspring was petitioner Juliana P.
the trial court's decision reads: Fanesa.

WHEREFORE, judgment is hereby rendered on the second cause of action pleaded in At the time of the relevant transactions over the properties of decedent Agatona
the complain as follows: Sagario Paulmitan, her son Pascual had died, survived by respondents, his children. It
is, thus, tempting to apply the principles pertaining to the right of representation as
1. The deed of sale (Exh. "F") dated May 28, 1974 is valid insofar as the one-half regards respondents. It must, however, be borne in mind that Pascual did no
undivided portion of Lot 1091 is concerned as to vest ownership over said half portion predecease his mother, 8 thus precluding the operation of the provisions in the Civil
in favor of defendant Juliana Fanesa and her husband Rodolfo Fanesa, while the Code on the right of representation 9 with respect to his children, the respondents.
remaining half shall belong to plaintiffs, pro-indiviso; When Agatona Sagario Paulmitan died intestate in 1952, her two (2) sons Donato and
Pascual were still alive. Since it is well-settled by virtue of Article 777 of the Civil Code
2. Lot 1091, Cadastral Survey of Pontevedra, Province of Negros Occidental, now that "[t]he rights to the succession are transmitted from the moment of the death of the
covered by TCT No. RO-11653 (N.A.), is ordered partitioned. The parties must decedent," 10 the right of ownership, not only of Donato but also of Pascual, over their
proceed to an actual partition by property instrument of partition, submitting the respective shares in the inheritance was automatically and by operation of law vested
corresponding subdivision within sixty (60) days from finality of this decision, and in them in 1953 when their mother died intestate. At that stage, the children of Donato
should they fail to agree, commissioners of partition may be appointed by the Court; and Pascual did not yet have any right over the inheritance since "[i]n every
inheritance, the relative nearest in degree excludes the more distant
3. Pending the physical partition, the Register of Deeds of Negros Occidental is ones." 11 Donato and Pascual excluded their children as to the right to inherit from
ordered to cancel Original Certificate of Title No. RO-11653 (N.A.) covering Lot 1091, Agatona Sagario Paulmitan, their mother.
Pontevedra Cadastre, and to issue in lieu thereof a new certificate of title in the name
of plaintiffs and defendants, one-half portion each,pro-indiviso, as indicated in From the time of the death of Agatona Sagario Paulmitan to the subsequent passing
paragraph 1 above; away of her son Pascual in 1953, the estate remained unpartitioned. Article 1078 of the
Civil Code provides: "Where there are two or more heirs, the whole estate of the
4. Plaintiffs are ordered to pay, jointly and severally, defendant Juliana Fanesa the decedent is, before its partition, owned in common by such heirs, subject to the
amount of P1,479.55 with interest at the legal rate from May 28, 1974 until paid; payment of debts of the deceased." 12 Donato and Pascual Paulmitan were, therefore,
co-owners of the estate left by their mother as no partition was ever made.
5 Defendants Donato Sagario Paulmitan and Juliana Paulmitan Fanesa are ordered to
account to plaintiffs and to pay them, jointly and severally, the value of the produce When Pascual Paulmitan died intestate in 1953, his children, the respondents,
from Lot 1091 representing plaintiffs' share in the amount of P5,000.00 per year from succeeded him in the co-ownership of the disputed property. Pascual Paulmitan's right
1966 up to the time of actual partition of the property, and to pay them the sum of of ownership over an undivided portion of the property passed on to his children, who,
P2,000.00 as attorney's fees as well as the costs of the suit.
from the time of Pascual's death, became co-owners with their uncle Donato over the lower court since the sales produced the effect of substituting the buyers in the
disputed decedent estate. enjoyment thereof [Mainit v. Bandoy, 14 Phil. 730 (1910)].

Petitioner Juliana P. Fanesa claims ownership over Lot No. 1091 by virtue of two From the foregoing, it may be deduced that since a co-owner is entitled to sell his
transactions, namely: (a) the sale made in her favor by her father Donato Paulmitan; undivided share, a sale of the entire property by one co-owner without the consent of
and (b) her redemption of the land from the Provincial of Negros Occidental after it was the other co-owners is not null and void. However, only the rights of the co-owner-
forfeited for non-payment of taxes. seller are transferred, thereby making the buyer a co-owner of the property.

When Donato Paulmitan sold on May 28, 1974 Lot No. 1091 to his daughter Juliana P. Applying this principle to the case at bar, the sale by petitioner Donato Paulmitan of the
Fanesa, he was only a co-owner with respondents and as such, he could only sell that land to his daughter, petitioner Juliana P. Fanesa, did not give to the latter ownership
portion which may be allotted to him upon termination of the co-ownership. 13 The sale over the entire land but merely transferred to her the one half (1/2) undivided share of
did not prejudice the rights of respondents to one half (1/2) undivided share of the land her father, thus making her the co-owner of the land in question with the respondents,
which they inherited from their father. It did not vest ownership in the entire land with her first cousins.
the buyer but transferred only the seller's pro-indiviso share in the property 14 and
consequently made the buyer a co-owner of the land until it is partitioned. In Bailon- Petitioner Juliana P. Fanesa also claims ownership of the entire property by virtue of
Casilao v.  Court of Appeals,  15 the Court, through Justice Irene R. Cortes, outlined the the fact that when the Provincial Government of Negros Occidental bought the land
effects of a sale by one co-owner without the consent of all the co-owners, thus: after it was forfeited for non-payment of taxes, she redeemed it.

The rights of a co-owner of a certain property are clearly specified in Article 493 of the The contention is without merit.
Civil Code, Thus:
The redemption of the land made by Fanesa did not terminate the co-ownership nor
Art. 493. Each co-owner shall have the full ownership of his part and of the fruits and give her title to the entire land subject of the co-ownership. Speaking on the same
benefits pertaining thereto, and he may therefore alienate, assign or mortgage it and issue raised by petitioners, the Court, in Adille v.  Court of Appeals,  16 resolved the
even substitute another person its enjoyment, except when personal rights are same with the following pronouncements:
involved. But the effect of the alienation or mortgage, with respect to the co-owners,
shall be limited to the portion which may be allotted to him in the division upon the The petition raises a purely legal issue: May a co-owner acquire exclusive ownership
termination of the co-ownership.  [Emphasis supplied.] over the property held in common?

As early as 1923, this Court has ruled that even if a co-owner sells the whole property Essentially, it is the petitioners' contention that the property subject of dispute devolved
as his, the sale will affect only his own share but not those of the other co-owners who upon him upon the failure of his co-heirs to join him in its redemption within the period
did not consent to the sale [Punsalan v. Boon Liat, 44 Phil. 320 (1923)]. This is required by law. He relies on the provisions of Article 1515 of the old Civil Code, Article
because under the aforementioned codal provision, the sale or other disposition affects 1613 of the present Code, giving the vendee a retro the right to demand redemption of
only his undivided share and the transferee gets only what would correspond to his the entire property.
grantor in the partition of the thing owned in common [Ramirez v. Bautista, 14 Phil. 528
(1909)]. Consequently, by virtue of the sales made by Rosalia and Gaudencio Bailon
which are valid with respect to their proportionate shares, and the subsequent transfers There is no merit in this petition.
which culminated in the sale to private respondent Celestino Afable, the said Afable
thereby became a co-owner of the disputed parcel of land as correctly held by the The right of repurchase may be exercised by co-owner with respect to his share alone
(CIVIL CODE, art. 1612, CIVIL CODE (1889), art. (1514.). While the records show that
petitioner redeemed the property in its entirety, shouldering the expenses therefor, that
did not make him the owner of all of it. In other words, it did not put to end the existing
state of co-ownership (Supra,  Art. 489). There is no doubt that redemption of property
entails a necessary expense. Under the Civil Code:

Art. 488. Each co-owner shall have a right to compel the other co-owners to contribute
to the expenses of preservation of the thing or right owned in common and to the
taxes. Any one of the latter may exempt himself from this obligation by renouncing so
much of his undivided interest as may be equivalent to his share of the expenses and
taxes. No such waiver shall be made if it is prejudicial to the co-ownership.

The result is that the property remains to be in a condition of co-ownership. While a


vendee a retro, under Article 1613 of the Code, "may not be compelled to consent to a
partial redemption," the redemption by one co-heir or co-owner of the property in its
totality does not vest in him ownership over it. Failure on the part of all the co-owners
to redeem it entitles the vendee a retro to retain the property and consolidate title
thereto in his name (Supra,  art. 1607). But the provision does not give to the
redeeming co-owner the right to the entire property. It does not provide for a mode of
terminating a co-ownership.

Although petitioner Fanesa did not acquire ownership over the entire lot by virtue of the
redemption she made, nevertheless, she did acquire the right to reimbursed for half of
the redemption price she paid to the Provincial Government of Negros Occidental on
behalf of her co-owners. Until reimbursed, Fanesa hold a lien upon the subject
property for the amount due her. 17

Finally, petitioners dispute the order of the trial court, which the Court of Appeals
affirmed, for them to pay private respondents P5,000.00 per year from 1966 until the
partition of the estate which represents the share of private respondents in the fruits of
the land. According to petitioners, the land is being leased for P2,000.00 per year only.
This assigned error, however raises a factual question. The settled rule is that only
questions of law may be raised in a petition for review. As a general rule, findings of
fact made by the trial court and the Court of Appeals are final and conclusive and
cannot be reviewed on appeal. 18

WHEREFORE, the petition is DENIED and the decision of the Court of Appeals
AFFIRMED.
G.R. No. 133140 August 10, 1999
SO ORDERED.
JOSE MA. T. GARCIA, petitioner, On October 4, 1985, the Magpayos filed at the RTC of Makati a complaint seeking the
vs. nullification of the extrajudicial foreclosure of mortgage, public auction sale, and PBCom's title
COURT OF APPEALS, SPS. LUISITO & MA. LUISA MAGPAYO AND PHILIPPINE BANK OF docketed as Civil Case No. 11891. This complaint was dismissed for failure to prosecute.
COMMUNICATIONS, respondents.
On October 15, 1985, PBCom filed at the Regional Trial Court (RTC) of Makati a petition for the
PUNO, J.: issuance of a writ of possession over the land, docketed as LRC Case No. M-731, which Branch
148 thereof granted.
This is a petition for review under Rule 45 of the Rules of Court to set aside the decision
rendered by the Court of Appeals in CA-G.R. No. 44707 entitled "Jose Ma. T. Garcia, Plaintiff- Upon service of the writ of possession, Mrs. Magpayo's brother, Jose Ma. T. Garcia (Garcia),
Appellee versus Spouses Luisito and Ma. Luisa Magpayo and Sheriff of Makati, Defendants, who was in possession of the land, refused to honor it and filed a motion for Intervention in
Philippine Bank of Communications, Defendant-Appellant".1 the above-said PBCom petition, which motion was denied.

The facts are as succinctly summarized by the appellate court, viz.: Garcia thereupon filed against PBCom, the Magpayos, and the RTC Sheriff the instant suit for
recovery of realty and damages wherein he alleged, inter alia, that he inherited the land as
Atty. Pedro V. Garcia, in whose name TCT No. S-31269 covering a parcel of land identified as one of the heirs of his mother Remedios T. Garcia, and that PBCom acquired no right
Lot 17 situated at Bel Air II Village, Makati, was registered, sold with the consent of his wife thereover.
Remedios T. Garcia, the same to their daughter Ma. Luisa Magpayo and her husband Luisito
Magpayo (the Magpayos). In its answer, PBCom averred, inter alia, that Garcia's claim over the land is belied by the fact
that it is not among the properties owned by his mother listed in the Inventory of Real Estate
On March 5, 1981, the Magpayos mortgaged the land to the Philippine Bank of filed at the then CFI of Pasay City, Branch 27, in SP Proc. No. 2917-P, "In the Matter of the
Communications (PBCom) to secure a loan, Five Hundred Sixty Four Thousand (P564,000.00) Intestate Estate of Remedios T. Garcia Petition for Letters of Administration, Pedro V. Garcia
Pesos according to them, One Million Two Hundred Thousand (P1,200,000.00) Pesos according Petitioner-Administrator.
to PBCom.1âwphi1.nêt
The Magpayos, on the other hand, asserted that title over the land was transferred to them by
On March 9, 1981, Atty. Garcia's Title was cancelled and in its stead Transfer Certificate of Title Mrs. Magpayo's parents to enable them (Magpayos) to borrow from PBCom.
No. S-108412/545 was issued in the name of the Magpayos.
Garcia filed a Motion for Summary Judgment praying that judgment be rendered in his favor
The Deed of Real Estate Mortgage was registered at the Makati Register of Deeds and to which PBCom counter-motioned that judgment should be rendered in its favor.
annotated on the Magpayos title.
The court a quo denied the motion for summary judgment on the ground that PBCom raised in
The Magpayos failed to pay their loan upon its maturity, hence, the mortgage was its answer both factual and legal issues which could only be ventilated in a full-blown trial.
extrajudicially foreclosed and at the public auction sale, PBCom which was the highest bidder
bought the land. The court a quo, however, later issued a summary judgment.2

The redemption period of the foreclosed mortgage expired without the Magpayos redeeming In its summary judgment, the lower court held that the mortgage executed by the Magpayo
the same, hence, title over the land was consolidated in favor of PBCom which cancelled the spouses in favor of PBCom was void. It found that:
Magpayo's title and Transfer Certificate of Title No. 138233 was issued in its name.
. . . [A]t the time that the defendants Magpayo spouses executed the mortgage in favor of the
defendant PBCom on March 5, 1981, the said spouses were not yet the owners of the one may already have on the land (Municipality of Victorias v. Court of Appeals, 149 SCRA 32,
property. This finding is evident from the other undisputed fact that a new Torrens title was 44-45 [1987]).
issued to the defendants Magpayo spouses only on March 9, 1981 . . . . The Magpayo spouses
could not have acquired the said property merely by the execution of the Deed of Sale Petitioner Garcia moved for a reconsideration of above decision which was denied. He now
because the property was in the possession of the plaintiff. The vendor, Pedro V. Garcia, was comes before us raising the following errors committed by the Court Appeals:
not in possession and hence could not deliver the property merely by the execution of the
document (MANALILI V. CESAR, 39 PHIL. 134). The conclusion is therefore inescapable that the I
said mortgage is null and void for lack of one of the essential elements of a mortgage as
required by Art. 2085 of our Civil Code . . . .3 The respondent Court of Appeals has departed from the accepted and usual course of
proceedings when it decided the appeal subject of this case based on issues which were raised
Thus, it invalidated the foreclosure sale and nullified TCT No. 138233 issued to PBCom. neither in the trial court nor in the appellant's brief.
Dissatisfied, PBCom appealed. In reversing the trial court, the Court of Appeals held:
II
(P)laintiff-appellee's assertion that ownership over the disputed property was not transmitted
to his sister and her husband-Magpayo spouses at the time of the execution of the Deed of The Court of Appeals decided the appeal in a manner not in accord with applicable
Sale as he was still in actual and adverse possession thereof does not lie. jurisprudence when it disregarded the admissions of the private respondents and, despite
ruling that Summary Judgment was proper, made its own findings of facts which were contrary
For in his complaint, plaintiff-appellee alleged that he entered into possession of the disputed to the said admissions.
property only upon the demise of his mother, from whom he alleges to have inherited it but
who was not the registered owner of the property, that is, on October 31, 1980 (Certificate of III
Death, p. 17, Records), by which admission he is bound. Since the execution of the deed of
sale by Atty. Pedro V. Garcia in favor of the Magpayos took place earlier or on August 1, 1980, The Decision of the respondent Court of Appeals was not in accord with established
then contrary to his claim, plaintiff-appellee was not in possession of the property at the time jurisprudence and even contradicts itself, as far as the issue of the propriety of the Summary
of the execution of said public instrument. Judgment is concerned.

Furthermore, it appearing that the vendor Atty. Garcia had control of the property which was The petition has no merit.
registered in his name and that the deed of sale was likewise registered, then the sale was
consummated and the Magpayos were free to exercise the attributes of ownership including Anent the first assignment of error, petitioner alleged that the Court of Appeals resolved the
the right to mortgage the land. issues "ownership" and "possession" though they were not raised by PBCom in its appellant's
brief. The allegation is belied by page 17 of PBCom's appellate brief, viz.:
When the land is registered in the vendor's name, and the public instrument of sale is also
registered, the sale may be considered consummated and the buyer may exercise the actions Due to the wrong cited case, the trial court opined erroneously that "Magpayo Spouses could
of an owner (Tolentino, Commentaries and Jurisprudence on the Civil Code of the Philippines, not have acquired the property merely by the execution of the deed of sale because the
1992 Ed., p. 55). property was in the possession of the plaintiff" (Order, p. 10).

That the Magpayos' title, TCT No. S-108412, was issued four (4) days following the execution Again, the trial court could not distinguish ownership from possession. Ownership and
of the deed of real estate mortgage is of no moment, for registration under the Torrens possession are two entirely different legal concepts.
system does not vest ownership but is intended merely to confirm and register the title which
Plaintiff-appellee's possession as found by the trial court, started only "at the time of the filing the pleadings, depositions, admissions, and affidavits that no important questions or issues of
of the complaint in this present case up to the present." (page 2, Summary Judgment). fact are involved (except the determination of the amount of damages) and that therefore the
moving party is entitled to a judgment as a matter of law.6 Under Rule 34, either party may
Assuming that to be true, plaintiff-appellee's possession which started only in 1986 could not move for a summary judgment — the claimant by virtue of Section 1 and the defending party
ripen into ownership. He has no valid title thereto. His possession in fact was that of an by virtue of Section 2, viz.:
intruder, one done in bad faith (to defeat PBCom's Writ of Possession). His possession is
certainly not in the concept of an owner. This is so because as early as 1981, title thereto was Sec. 1. Summary judgment for claimant. — A party seeking to recover upon a claim, counter-
registered in the name of the Magpayo Spouses which title was subsequently cancelled when claim, or cross-claim or to obtain a declaratory relief may, at any time after the pleading in
the property was purchased by PBCom in a public auction sale resulting in the issuance of title answer thereto has been served, move with supporting affidavits for a summary judgment in
in favor of the latter in 1985. his favor upon all or any part thereof.

Anent the second-assignment of error, petitioner contends that the following facts were Sec. 2. Summary judgment for defending party. — A party against whom a claim,
admitted by the parties in the trial court: counterclaim, or cross-claim is asserted or a declaratory relief is sought may, at any time,
move with supporting affidavits for a summary judgment in his favor as to all or any part
1. The petitioner is a compulsory heir of the late spouses Atty. Pedro V. Garcia and Remedios thereof.
Tablan Garcia;
It is true that petitioner made the initial move for summary judgment. Nonetheless, PBCom
2. The property subject of this dispute was previously the conjugal property of the said likewise moved for a summary judgment with supporting affidavit and documentary exhibits,
spouses; to wit:

3. The petitioner and his family have been and are continuously to the present in actual COUNTER-MOTION FOR SUMMARY JUDGMENT
physical possession of the property. At the time of the alleged sale to the Magpayo spouses,
petitioner was in possession of the property; PBCom Is Entitled To A Summary Judgment

4. When his mother Remedios Tablan (sic) Garcia died, sometime in October, 1980, he The procedure for summary judgment may be availed of also by the defending parties who
became, by operation of law, a co-owner of the property; may be the object of unfounded claims as clearly shown in Sections 1 and 2 of Rule 34.

5. Atty. Pedro V. Garcia, at the time of the execution of the instrument in favor of the xxx xxx xxx
Magpayo spouses was not in possession of the subject property.4
WHEREFORE, it is respectfully prayed of this Honorable Court to render summary judgment in
We reject the contention of petitioner for a perusal of the records shows that these alleged PBCom's favor by DISMISSING plaintiff's Complaint as well as Sps. Magpayo's Cross-Claim for
admitted facts are his own paraphrased portions of the findings of fact listed by the trial court being sham and frivolous.7
in the summary judgment.5 Indeed petitioner did not cite any page number of the records or
refer to any documentary Exhibit to prove how and who admitted the said facts. Needless to state, there was no error on the part of the appellate court in resorting to
summary judgment as prayed for by both parties.
Petitioner's third assignment of error that he alone as plaintiff in the trial court is entitled to a
summary judgment merits scant attention. A summary judgment is one granted by the court, We stress again that possession and ownership are distinct legal concepts. Ownership exists
upon motion by either party, for an expeditious settlement of the case, there appearing from when a thing pertaining to one person is completely subjected to his will in a manner not
prohibited by law and consistent with the rights of others.8 Ownership confers certain rights
to the owner, one of which is the right to dispose of the thing by way of sale.9 Atty. Pedro
Garcia and his wife Remedios exercised their right to dispose of what they owned when they
sold the subject property to the Magpayo spouses. On the other hand, possession is defined as
the holding of a thing or the enjoyment of a right.10 Literally, to possess means to actually and
physically occupy a thing with or without right. Possession may be had in one of two ways:
possession in the concept of an owner and possession of a holder.11 "A possessor in the
concept of an owner may be the owner himself or one who claims to be so."12 On the other
hand, "one who possesses as a mere holder acknowledges in another a superior right which he
believes to be ownership, whether his belief be right or wrong."13 The records show that
petitioner occupied the property not in the concept of an owner for his stay was merely
tolerated by his parents. We held in Caniza v. Court of Appeals 14 that an owner's act of
allowing another to occupy his house, rent-free does not create a permanent and indefeasible
right of possession in the latter's favor. Consequently, it is of no moment that petitioner was in
possession of the property at the time of the sale to the Magpayo spouses. It was not a
hindrance to a valid transfer of ownership. On the other hand, petitioner's subsequent claim
of ownership as successor to his mother's share in the conjugal asset is belied by the fact that
the property was not included in the inventory of the estate submitted by his father to the
intestate court. This buttresses the ruling that indeed the property was no longer considered
owned by petitioner's parents. We also uphold the Court of Appeals in holding that the
mortgage to PBCom by the Magpayo spouses is valid notwithstanding that the transfer
certificate of title over the property was issued to them after the mortgage contract was
entered into. Registration does not confer ownership, it is merely evidence of such ownership
over a particular property.15 The deed of sale operates as a formal or symbolic delivery of the
property sold and authorizes the buyer to use the document as proof of ownership.16 All said,
the Magpayo spouses were already the owners when they mortgaged the property to
PBCom.17

IN VIEW WHEREOF, the decision of the Court of Appeals in CA-G.R. No. 44707 is AFFIRMED.
Costs against petitioner.1âwphi1.nêt

SO ORDERED.

G.R. No. 119870 December 23, 1999

DR. BIENVENIDO B. GESMUNDO, VEDASTO B. GESMUNDO, OLIVER B. GESMUNDO, LIGAYA G.


LUALHATI, AMOR G. CARLOS and BELEN G. ROXAS, petitioners, the administrator of the property. Respondent Briz also offered in evidence the same Tax
vs. Declarations Nos. 5557, 6470, 64015, 41163 and 11296 5 in the name of Anastacio Gesmundo
COURT OF APPEALS, 13th Division, JUDGE ZORAYDA H. SALCEDO, RTC-Br. 31, San Pablo City, but contended that "Anastacio" actually referred to her grandmother "Anastacia." Respondent
MAXIMINA BRIZ, (LEANDRO and ELPIDIO REYES both defaulted), and RODRIGO, LOPE and Maximina Briz claimed that she inherited one-fifth (1/5) portion thereof from her father in
CASIMIRA, all surnamed BRION, respondents. 1940 and subsequently acquired the rest by way of sale transactions. She paid the real estate
taxes thereon from 1945 to 1991. On 16 March 1956 her husband Santiago Reyes entered into
an agreement with Crispulo Exconde for the latter to act as caretaker of their property then
covered by Tax Declaration No. 6470. Their agreement was embodied in a notarized
BELLOSILLO, J.: document. 6

DR. BIENVENIDO B. GESMUNDO, VEDASTO B. GESMUNDO, OLIVER B. GESMUNDO, LIGAYA G. Respondents Brion asserted that their property with an area of 11,094 square meters was
LUALHATI, AMOR G. CARLOS and BELEN G. ROXAS, petitioner herein, filed on 4 March 1983 a originally covered by Tax Declaration No. 5691 7 issued in 1948 in the name of their
complaint against the spouses Maximina Briz and Santiago Reyes and the City Assessor of San grandfather Esteban Maranan. In 1952, Tax Declaration No. 6606 8 was issued in lieu thereof
Pablo City before the Regional Trial Court of San Pablo City for annulment of certain falsified still in the name of Esteban Maranan. When their grandfather died, the property was
affidavits and tax declarations. On 25 July 1983 petitioners amended their complaint by transferred in the name of their mother Francisca Maranan under Tax Declaration No. 11443 9
deleting the name of the deceased Santiago Reyes as defendant and substituting for him his issued in 1980. Their mother paid real estate taxes thereon from 1972 to 1984. 10 Upon the
children Leandro and Elpidio Reyes. On 28 February 1984 petitioners again amended their death of their mother 11 and of their father Gervacio Brion on 28 October 1984, respondents
complaint by adding the names of Rodrigo, Lope and Casimira, all surnamed Brion, as Brion possessed the property.
defendants and adding quieting of title as another cause of action. The disputed property is
particularly described as "[A] parcel of cocal land located at Brgy. Dolores, San Pablo City, At the pre-trial the parties raised among others the issue as to who of them possessed the
bounded on the North by Marcelo Briñas, South by Ricardo Exconde, East by Domingo subject property and gathering the fruits therefrom. On 23 March 1984 the trial court
Sarmiento and West by Mariano Rivera, containing an area of 7,091 square meters." 1 conducted an ocular inspection of the premises. As it turned out, the land being claimed by
petitioners was located outside of the property, on the west thereof, being claimed and
Petitioners alleged that the aforementioned property was originally declared in 1937 under possessed by respondent Briz and with visible natural boundaries separating the properties.
Tax Declaration No. 2239 in the name of their father Anastacio Gesmundo who died on 20 The land pointed to by petitioners was actually being occupied by respondents Brion. On 25
June 1974. 2 Petitioners also submitted in evidence Tax Declarations Nos. 5557, 6470, 64015, January 1985 the trial court nevertheless issued an order setting the case for trial as the tax
41163 and 112963 issued for the period covering 1948 to 1979 to substantiate their claim of declarations presented by petitioners and respondent Briz appeared to contain conflicting
ownership. They further claimed that Crispin Briz, uncle of respondent Maximina Briz, was the entries.
administrator of their father, whereas Lucio Brion, cousin of respondents Brion, was
subsequently designated caretaker thereon. Still further, they asserted that on account of a On 29 September 1992 the trial court rendered judgment declaring: (a) respondent Maximina
series of record tampering in the City Assessor's Office, Tax Declaration No. 11296 was Briz and the heirs of her deceased husband Santiago Reyes or their legal successors-in-interest
cancelled. the lawful owners of the property with an area of 7,091 square meters located in Brgy.
Dolores, San Pablo City; (b) respondents Rodrigo, Lope and Casimira Brion the lawful owners
Respondent Maximina Briz presented the same Tax Declaration No. of the property with an area of 11,094 square meters, also located in Brgy. Dolores, San Pablo
2239 4 but declared in the name of her grandmother Anastacia Gesmundo who died on 21 City; (c) petitioners liable, jointly and severally, to respondent Maximina Briz or her successors-
September 1909 leaving five (5) children: Rufina Briz, Crispin Briz (married to Micaela in-interest P5,000.00 for attorney's fees and another P5,000.00 to respondents Brion; and, (d)
Escondo), Petra Briz (mother of Valentin Briz), Vicenta Briz and Fruto Briz (married to Petronila petitioners liable for the
Javier and father of respondent Maximina Briz). Her uncle Crispin Briz, who died in 1949, was costs. 12
On 24 February 1995 respondent Court of Appeals affirmed the ruling of the trial court, 13 and On 7 July 1954 the spouses Maximina Briz and Santiago Reyes bought the two-fifths (2/5)
on 6 April 1995 denied reconsideration thereof. 14 share of Petra Briz, maternal aunt of Maximina Briz, from Petra's surviving son Valentin Briz
consisting of 2,836 square meters then covered by Tax Declaration No. 6470. The transaction
Petitioners now allege that respondent Maximina Briz failed to prove that the Deed of Sale was contained in a notarized deed of sale as well. 17 On 10 April 1959 the spouses Reyes
dated 9 December 1950 marked Exh. "11" 15 and her supposed "affidavit of self-adjudication" bought through another notarized deed of sale a 1,418-square meter portion of the land
were registered or that the latter document was published in any newspaper of general covered by Tax Declaration No. 6470, this time from Jose, Delfina and Raymunda, all surnamed
circulation as required under par. 2, Sec. 1, Rule 74, of the Rules of Court. They also claim that Reyes. 18 By virtue of these two (2) later sale transactions, Tax Declaration No. 64014 19 was
respondents Brion failed to prove that their property was registered and that the affidavits of issued in the name of the spouses Maximina Briz and Santiago Reyes for the year 1974 with a
Clemente Maranan and Lucio Brion were hearsay, they not having testified on the metes and total area of 4,254 square meters. The remaining 1,419 square meters were adjudicated by
bounds of the property being claimed by the Brions. respondent Maximina Briz to herself representing her share of the inheritance on 30 August
1979 as she has been in actual possession thereof since 1940. This self-adjudication resulted in
Preliminarily, we shall dwell on the evidence of petitioners. Tax Declaration No. 2239 in the the issuance of Tax Declaration No. 46358 in
name of Anastacio Gesmundo describes subject property as a coconut land in Brgy. Dolores, 1979, 20 and the sale by Micaela Escondo to the spouses Reyes the issuance of Tax
San Pablo City, bounded on the north by the property of Marcelo Briñas, on the south by the Declaration No. 46359 in 1980. 21 We thus agree with the trial court that the testimonial and
property of Ricardo Exconde, on the east by the property of Domingo Sarmiento, and on the documentary evidence of respondent Briz adequately establish that the 7,091-square meter
west by the property of Mariano Rivera. It contains an area of 7,091 square meters and is property formerly belonged to Anastacia Gesmundo, thereafter transferred to her children by
being administered by "Crispin Briz and others." Tax Declaration No. 5557 contains the same inheritance until ownership thereof was consolidated in respondent Maximina Briz both as a
entries and so does Tax Declaration No. 6470 except the notation that it was cancelled by Tax consequence of inheritance and by sale.
Declaration No. 64014 in the name of spouses Maximina Briz and Santiago Reyes effective
1974. Tax Declaration No. 64015 is still in the name of Anastacio Gesmundo but with a The name "Anastacio" in several tax declarations appears to be a typographical error by the
reduced area of 2,837 square meters starting in 1974 and the eastern boundary was changed City Assessor's Office. We note that Tax Declaration No. 2239 of respondent Briz names
to the property of spouses Maximina Briz and Santiago Reyes. We deduce therefrom that Tax Anastacia Gesmundo as owner. We find plausible the explanation of respondent Briz that she
Declaration No. 64014 covered the bigger area of 4,254 square meters. Tax Declaration No. understood "Anastacio" in subsequent tax declarations to be Anastacia because she did not
41163 contained the same entries as Tax Declaration No. 64015 which were carried over to know Anastacio Gesmundo. 22 We likewise note that Crispin Briz was mentioned in Tax
Tax Declaration No. 11296 but now with the notation that it was cancelled by Tax Declaration Declarations Nos. 2239, 5557 and 6470 as administrator of the 7,091-square meter property.
No. 46358 in the name of the spouses Maximina Briz and Santiago Reyes effective 1979 and by Crispin Briz was one of the children of Anastacia Gesmundo. It was thus logical that he was
Tax Declaration No. 46359 in the name of Maximina Briz effective 1980. given such task.

We now shift to the evidence of respondent Maximina Briz. Her Tax Declaration No. 2239 Petitioners claim that the same Crispin Briz was the administrator of their father over the
shows the same description of the property as the copy of petitioners except that the first same property until Lucio Brion took over as caretaker. We are not persuaded. As found by the
name of the owner is "Anastacia," her grandmother. Petitioner Vedasto Gesmundo admitted trial court, Crispin Briz was a total stranger to petitioners and Lucio Brion was not even
that he knew Anastacia Gesmundo to be the grandmother of respondent Briz. However it presented as a witness.
appears that petitioners are not related at all to Anastacia Gesmundo. The spouses Maximina
Briz and Santiago Reyes established that on 9 December 1950 they bought the one-fifth (1/5) Prescription is another mode of acquiring ownership and other real rights over immovable
share of Crispin Briz in the 7,091-square meter property from his surviving spouse Micaela property. It is concerned with lapse of time in the manner and under conditions laid down by
Escondo or 1,418 square meters of the property then covered by Tax Declaration No. 5557. law, namely, that the possession should be in the concept of an owner — public, peaceful,
The transaction was evidenced by a notarized deed of sale marked Exh. "11." 16 uninterrupted and adverse. Acquisitive prescription is either ordinary or extraordinary.
Ordinary acquisitive prescription requires possession in good faith and with just title for ten
(10) years. In extraordinary prescription ownership and other real rights over immovable In this regard we cannot sustain the ownership of respondents Brion as ruled by the trial court
property are acquired through uninterrupted adverse possession thereof for thirty (30) years since it relied merely on the tax declarations and tax receipts in the name of the predecessors-
without need of title or of good faith. 23 in-interest of respondents Brion and on the affidavit of Clemente Maranan, their uncle, stating
that subject property was bought by his father Esteban Maranan from Mariano Rivera before
Even assuming that the deeds of sale and "affidavit of self-adjudication" in favor of respondent the Second World War and that they have been in possession thereof since then. As
Briz did not exist and that she was only equipped with tax declarations and receipts, the mentioned earlier, tax declarations and receipts are strong evidence of ownership only when
important consideration then is that she has been in possession of the 7,091-square meter coupled with proof of actual possession which must be clear, complete and conclusive in order
property since 1956 through Crispulo Exconde as caretaker. Her possession was in the concept to establish prescription. 26 Unfortunately, respondents Brion were only able to prove their
of owner. Her acts of harvesting coconuts therefrom were manifest and visible to all. She own possession which began in 1984 up to the time respondent Casimira testified on 25 May
possessed the property peacefully as she was never ousted therefrom nor prevented from 1992. They failed to establish the possession of their predecessors-in-interest. Moreover, the
enjoying the fruits thereof. Her possession was uninterrupted and in good faith as she affidavit of Clemente Maranan who did not take the witness stand has no probative value; it is
believed that her grandmother previously owned the property. Ordinary acquisitive hearsay. 27 Sworn statements taken ex parte are generally considered to be inferior to the
prescription had definitely set in ten (10) years from 1956. While tax declarations and receipts testimony given in open court. 28 Clearly, ownership by acquisitive prescription of the 11,094-
are not conclusive evidence of ownership, yet, when coupled with proof of actual possession, square meter property has not yet accrued in favor of respondents Brion at the time the case
as in the present case, tax declarations and receipts are strong evidence of ownership. 24 was heard by the trial court.

Aside from the utter failure of petitioners to prove their ownership of the 7,091-square meter WHEREFORE, the petition is PARTIALLY GRANTED. The Decision of respondent Court of
property, they were uncertain as to the identity thereof. During the ocular inspection, Appeals affirming that of the Regional Trial Court of San Pablo City-Br. 31 is MODIFIED. The
petitioners pointed to a property different from the one being claimed by respondent declaration of ownership by the trial court in favor of respondent Maximina Briz and the heirs
Maximina Briz; it was the property being claimed by respondents Brion. A person who claims of her deceased husband Santiago Reyes or their legal successors-in-interest of the disputed
ownership of real property is duty bound to clearly identify the land being claimed in property containing an area of 7,091 square meters located in Brgy. Dolores, San Pablo City, is
accordance with the document on which he anchors his right of ownership. When the record AFFIRMED. However, the declaration of ownership by respondents Rodrigo, Lope and
does not show that the land subject matter of the action has been exactly determined, such Casimira, all surnamed Brion, of the adjoining property containing an area of 11,094 square
action cannot prosper. Proof of ownership together with identity of the land is the basic rule. meters is SET ASIDE. The other portions of the trial court's decision ordering petitioners Dr.
25 Bienvenido B. Gesmundo, Vedasto B. Gesmundo, Oliver B. Gesmundo, Ligaya G. Lualhati, Amor
G. Carlos and Belen G. Roxas to pay, jointly and severally, to respondent Maximina Briz
On the part of respondents Brion, the property over which they assert ownership was attorney's fees of P5,000.00 and another P5,000.00 to respondents Brion, are also AFFIRMED.
declared in 1948 by their grandfather Esteban Maranan under Tax Declaration No. 5691 and in No costs.
1952 under Tax Declaration No. 6606 with an area of 11,094 square meters. The property was
described therein as bounded on the north by the property of Policarpio Empamano, on the SO ORDERED.
south by the property of Florentino Mariño, on the west by the property of Maximo Briñas,
and on the east by the property of Anastacio Gesmundo. In 1961, Tax Declaration No. 6606
was cancelled by Tax Declaration No. 11443 in the name of Francisca Maranan, mother of
respondents Brion, who paid the real estate taxes thereon from 1972 to 1984. Upon the death
of their mother, and later of their father Gervacio Brion on 28 October 1984, respondents HEMEDES VS. CA
Brion possessed the property. As already adverted to earlier, the date of death of Francisca G.R. No. 108472 October 8, 1999
Maranan does not appear in the record.
Facts: The disagreement involves a question of ownership over an unregistered parcel of land. title.
The late Jose Hemedes originally owned the land, father of Maxima Hemedes and Enrique D.
Hemedes. On March 22, 1947 Jose Hemedes executed a document entitled “Donation Inter The finding of the public respondent’s that the “Deed of Conveyance of Unregistered Real
Vivos With Resolutory Conditions” whereby he conveyed ownership over the subject land, Property By Reversion” executed by Justa Kausapin in favor of Maxima Hemedes is false and
together with all its improvements, in favor of his third wife, Justa Kausapin. Maxima not supported by the factual findings in this case. It is grounded upon the mere denial of the
Hemedes, through her counsel, filed an application for registration and confirmation of title same by Justa Kausapin. A party to a contract cannot just evade compliance with his
over the subject unregistered land. Subsequently, an Original Certificate of Title (OCT) was contractual obligations by the simple expedient of denying the execution of such contract. If,
issued in the name of Maxima Hemedes married to Raul Rodriguez by the Registry of Deeds of after a perfect and binding contract has been executed between the parties, it occurs to one of
Laguna on June 8, 1962, with the annotation that “Justa Kausapin shall have the usufructuary them to allege some defect therein as a reason for annulling it, the alleged defect must be
rights over the parcel of land herein described during her lifetime or widowhood.” conclusively proven, since the validity and fulfilment of contracts cannot be left to the will of
one of the contracting parties. In upholding the deed of conveyance in favor of Maxima
However, Enrique D. Hemedes subsequently sold the property to Dominium Realty and Hemedes, the Court must concomitantly rule that Enrique D. Hemedes and his transferee,
Construction Corporation (Dominium). Justa Kausapin also executed and affidavit confirming Dominium, did not acquire any rights over the subject property.
the conveyance of the subject property in favor of Enrique D. Hemedes as embodied in the
“Kasunduan” dated May 27, 1971, and at the same time denying the conveyance made to Justa Kausapin sought to transfer to her stepson exactly what she had earlier transferred to
Maxima Hemedes. Maxima Hemedes – the ownership of the subject property pursuant to the first condition
stipulated in the deed of donation executed by her husband. Thus, the donation in favor of
A complaint was filed by Enrique D. Hemedes for the annullment of the TCT issued in favor of Enrique D. Hemedes is null and void for the purported object thereof did not exist at the time
R&B Insurance and/or the reconveyance to Dominium of the subject property. Specifically, the of the transfer, having already been transferred to his sister. Similarly, the sale of the subject
complaint alleged that Dominium has become the absolute owner of the subject property by property by Enrique D. Hemedes to Dominium is also a nullity for the latter cannot acquire
virtue of the February 28, 1979 deed of sale executed by Enrique D. Hemedes, who in turn more rights than its predecessor-in-interest and is definitely not an innocent purchaser for
obtained ownership of the land from Justa Kausapin, as evidenced by the “Kasunduan”. The value since Enrique D. Hemedes did not present any certificate of title upon which it relied.
Plaintiffs contend that Justa Kausapin never transferred the land to Maxima Hemedes and that
Enrique D. Hemedes had no knowledge of the registration proceedings initiated by Maxima
Hemedes.

The trial court rendered judgment in favor of the plaintiffs Dominium and Enrique D.
Hemedes. Both R&B Insurance and Maxima Hemedes appealed from the trial court’s decision.
The Court of Appeals affirmed the assailed decision in toto. Hence, this petition.

Issue: Whether or not the conveyance by Justa Kausapin in favour of Enrique D. Hemedes
transferred ownership over the subject land?

Ruling: The Supreme Court held that petitioner R & B Insurance’s assertion of ownership over
the property in dispute, as evidenced by TCT No. 41985, subject to the usufructuary rights of
Justa Kausapin, which encumbrance has been properly annotated upon the said certificate of

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