PROPERTY 1. Two subjects: ACTIVE AND PASSIVE.

2. General obligation on the part of third persons

Things - All objects that exist that are useful to man. to respect the relation between the active and
- that can be possessed passive subjects.
Property - All those that are already appropriated or are in 3. Effective actions in favor of the active subject
possession of man. against the passive subject for the performance
- things that are already possessed. of prestation.

- In order to constitute property, it must be appropriated. DISTINGUISH REAL AND PERSONAL RIGHT

REQUISITES IN ORDER TO JURIDICALLY REAL PERSONAL

CONSIDERED AS A THING OR PROPERTY (U,I,S) Nos. of persons One definite Definite passive
active subject and definite
1. Utility or the capacity to satisfy human wants. and the rest as active subject
2. Individuality and substance or a separate and passive
autonomous existence. Object Corporeal thing Intangible thing
3. Susceptibility of being appropriated. Manner Affects the Indirectly
thing directly through
Common things are in nature itself has made common to all. prestation of the
*Whole mass are not susceptible of appropriation but a limited debtor.
quantity of the whole mass may be appropriated and thereby Causes of Mode and title Title only
converted property. creating the
juridical
Human Body – is not considered as a thing. But parts of are relation
considered as things when separated from it. Methods of Extinguished by Not.
*Juridical order admits of relations whose object consists of Extinguishment the loss or
parts of the human body. destruction
*Upon death the corpse becomes a thing, but not susceptible of Nature of the Gives rise to Only personal
appropriation. actions arising real actions actions against
*Right of possession – nearest relatives and the surviving from against third the definite
spouse. persons. debtor.
*Subject matter in contract = void
*Gratuitous disposition = valid CLASSIFICATION OF THINGS
RES NULLIUS – things which have been intentionally 1. DIVINE – created directly or indirectly by God.
abandoned by their owners. I. SPIRITUAL – directly influence the
*Still considered as things, even without owners. WHY? They religious submission of man (sacraments,
can still be appropriated. prayers etc.)
II. CORPOREAL OR ECCLESIASTICAL
CONCEPT OF APPROPRIATION – with intent to acquire – more concretely and directly for religious
its ownership salvation
a. Sacred- consecrated to God, to
RIGHTS AS PROPERTY – juridical sense considered as religion and its practice
property. b. Religious- Destined for the
*Only patrimonial in character can be considered things. contemplative life (monasteries)
c. Holy- violation of which was
1. REAL RIGHTS (JUS IN RE) –the power punished by extremely severe penalty
belonging to a person over a specific thing, without in Rome.
passive subject individually determined against d. Temporal- properties used to attend to
whom such right may be personally exercised. the economic needs.
*A direct and immediate juridical power. 2. HUMAN – governed by laws
I. MATERIAL, CORPOREAL OR
CHARACTERISTICS OF REAL RIGHTS: PHYSICAL – may touch or take.
1. A subject and object connected by a relation of (O,Im,N,E,D,I,H,C,A)
ownership of the former over the latter. a. By reason of ownership
2. General obligation or duty of respect for such 1. Common – do not belong to
relation, there being no particular passive anyone in particular, but are
subject. created by Nature.
3. Effective actions recognized by law to protect 2. Public – owned by the state
such relation against anyone who may want to - Direct general use (ports,
distribute it. rivers etc.)
- Indirect use (mines,
2. PERSONAL RIGHT (JUS AD REM) – power fortresses)
belonging to one person to demand of another (right
of obligation). 3. Corporate – owned by collective
entity.
CHARACTERISTICS OF PERSONAL RIGHTS
NCH_PROPERTY 1
 4. Nullius – which do not belong to
anyone (abandoned property)
5. Private – are owned and enjoyed
by one or more determinate
persons.
b. By reason of their immobility.
1. Immovable or Real – cannot be
transferred from place to place.
2. Movable – can by their nature be
moved from place to place
without injury.
3. Semi-movable – move by
themselves.
c. By reason of number
1. Universal – things collectively
form a single object in law.
2. Generic – homogenous in nature
3. Specific – indicates the specie or
its nature and the individual.
d. By reason of their existence
1. Existing – exist in
actuality/present.
2. Future – do not exist in actuality
, but whose existence can
reasonably be expected.
e. By reason of their divisibility
1. Divisible – divided physically or
juridically without injury to their
nature.
2. Indivisible – cannot be divided
without destroying their nature.
f. By reason of their importance
1. Principal – considered as
dependent or subordinate.
2. Accessory – dependent upon or
subordinated to the principal.
g. By reason of homogeneity of specie
1. Fungibles – which belong to a
common genus.
2. Non-fungibles – specifically
determined and cannot be
substituted.
h. By reason of their consumability
1. Consumables - cannot be used
in a manner appropriate tottheir
nature without being consumed.
2. Non-consumables – those not
consumed by use.
i. By reason of alienability
1. Within commerce of men – can
be object of juridical transaction.
2. Outside comm of men – cannot
be object.
II. Intangible, incorporeal or juridical –
they are not manifest to senses but are
conceived only by understanding.
REQUISITES (INTAGIBLE)
1. External – manifested act
2. Personal – done by the debtor
3. Possible – when it can be done both in nature
and law
IMMOVABLE PROPERTY
Ø EXTENT –moved from place to place without
injury.
NCH_PROPERTY
CLASSES OF IMMOVABLES
1. BY NATURE – (par 1 & 8) cannot be moved from
place to place.
2. BY INCORPORATION – (par. 1,2.3.4 & 6) –
essentially movables but are attached to an
immovable in such manner as to be an integral part.
3. BY DESTINATION – (par 4,5,6,7 & 9) essentially
movables, but by the purpose of which have been
placed in an immovable, partake of the nature of the
latter because of added utility derived.
4. BY ANALOGY OR BY LAW (par 10) –
Ø Buildings on rented land
- Gen. Rule : Bldgs are
immovable
- XPN: unless there is a lease
agreement stating that there
is a right to remove the bldg.
and improvements.
- Ownership of the land on
which they are erected
cannot change in nature as
immovable property.
Ø Material Sold
- building or house has been
sold to demolish, sale
involve is movable property.
WHY? Because what was
sold is the
- MATERIALS
Ø Construction
- materials will be
immovable.
- PROVIDED, not of such a
provisional character.
PAR. 2 – attached to land
XPN: timber constitutes the natural product of the tenement.
UNGATHERED FRUITS
- Fruits are movable.
- Manresa: Immovabe. WHY? No xpn in or
qualification is made.
- Personal property
PAR. 4 – both immovable by incorporation and destination.
However generally be separated from immovable without
breaking the matter or injuring the object.
IMMOBILIZATION BY OWNER
- placed in the tenement by the owner of such tenement.
PAR. 5 – immovable by destination.
• Immovable condition of these objects depends upon
their being destined for use in the industry.
GEN. RULE - The moment they are separated – they
recover their condition as movables.
PAR 6 – intended to refer to the animals themselves living in
these breeding places.
PAR. 7 – immovable by destination
- fertilizers should be on the land where they are to be utilized.
EFFECT OF ENUMERATION
- Parties by their agreement cannot attribute immovable
character to things.
ART. 416 – MOVABLE PROPERTY
GENERAL TEST :
2
 1. Whether it can be carried from place to place.
2. Whether the change of location can be effected
without injury to an immovable to which the object
may be attached.
3. Whether the object is not included in any of the ten
pars. Of Art 415.
ACT 1508 Growing crops = personal property
SHARES IN JURIDICAL PERSONS
- All juridical persons must be deemed included.
- interests of members (PARTNERSHIP) and the shares of
stock (CORPORATION) are movables/personal property.
STOCHECKER VS RAMIREZ – half interest in the business
is personal property capable of appropriation and may subject
to mortgage.

FORCES OF NATURE ART. 418 CONSUMABLES AND NON-CONSUMABLES

- Manifestation and effects.
- Electricity is a valuable article or merchandise bought and • CONSUMABLE THINGS – whose use according
sold like other personal property and is capable of to their nature destroys the substance of the thing or
appropriation by another. causes their loss.
• FUNGIBLES AND NON-FUNGIBLES – quality
SEMI-MOVABLES of being fungible depends upon their possibility.
- now classified as movables.
- susceptible of moving by themselves without assistance. FUNGIBLE THINGS – things whose individuality can be
determined by counting, weighing or measuring.
INTELLECTUAL PROPERTY NON-FUNGIBLE THINGS – own individuality and do not
- Personal property admit of substitution.
- Pecuniary benefit which the owner can get.
DISTINCTION BETWEEN CONSUMABLE AND
ART. 417 –PERSONAL PROPERTY FUNGIBLE
1. Obligations and actions which have for their object - Fungible and Non-Fungibles – classification according to
movables or demandable sums purpose, depending on whether they can be substituted.
2. Shares of stocks of agricultural, commercial and QUALITY AND QUANTITY
industrial entities. - Consumable and Non-consumable – nature of the thing.
- intention of the parties to a contract that determines
OBLIGATIONS – all kinds of credit whether the object is fungible or non-fungible
INTANGIBLE OBJECTS – exclusive character of the
enumeration of real property.
DEMANDABLE SUMS – it is personal property.
- credits whose can be recovered.

NCH_PROPERTY 3
09/28/20
ART.419 – Property is either public dominion or private
ownership.
• Public Dominion – special characteristics of a
collective ownership for the general use and
enjoyment.
ART. 420 –Kinds of Public Dominion
1. Those intended for public use.
2. Those which belong to the state, without being for
public use and are intended for some public service
or for the development of the national wealth.
Outside Commerce of Man – public dominion are outside
of the commerce of man.
PRINCIPLES:
1. Cannot be alienated or leased or otherwise be subject
matter of contracts.
2. They cannot be acquired by prescription against the
State.
3. Not subject to attachment and execution.
4. Cannot be burdened by any voluntary easement.
FOR PUBLIC USE – not subject to private appropriation.
*In case of gradual encroachment – it appears that the owner
has to all intents and purposes abandoned it and permitted it to
be destroyed.
*No private person could acquire title thereto except in the
form and manner established by law. (GOVT vs CABANGIS)
* The fact that is that it derived from water, the plaintiff had
lost their right through PRESCRIPTION. WHY? They failed to
obtain the necessary authorization to devote it to their own use.
* Property for public use can be used by everybody. No private
person can have a property right in the use of a street for his
private business.
* Occupancy by squatters are void.
PROPERTY FOR PUBLIC SERVICE – all property
devoted to public service. Provided it is for public service, it
falls within this category.
ART. 421 – PATRIMONIAL PROPERTY
• Property over which the state has the same rights and
of may dispose.
• Those property that can be enter by a contract.
• Public lands are classified as private property of the
State as soon as they are available for alienation or
disposition.
ART. 422 – How to become patrimonial property of the
State.
• EFFECT: Public dominion ceases to be such and
becomes private property of the State only upon a
declaration by the government. To the effect that it is
no longer needed for public use or service.
- Otherwise it will remain
public domain.
• Mere possession of land does not automatically
divest if of its public character.
ARTS. 423-424 – Public service paid for by said provinces,
cities or municipalities
• Applicable Principles: same principles as property of
public domain of the same character.
ART. 425 – PRIVATE OWNERSHIP RECOGNIZED
NCH_PROPERTY
• Must be recognized as owner.
• Proved his right of ownership.
• If private ownership is established, a piece of land
will not be held property of the public dominion.
ART. 427 – OWNERSHIP
• Independent and general power of a person over a
thing for purposes recognized by the law.
ART. 428 – RIGHTS OF OWNERSHIP
1. Right to enjoy and dispose the thing owned.
• Right to enjoy: right to receive and right to consume
the thing by its use.
- Unless prevented by contract or by special law,
the owner cannot be deprived of the enjoyment
of his property.
- There must be a distinction between ownership
and use and possession.
• Right to dispose: power to alienate and destroy the
thing owned.
- Subject to limitations imposed by law.
- One who is not the owner, but mere occupant or
mortgage cannot validly sell the property
2. Right to exclude from the possession of the thing
owned by any other person to whom the owner has
not transmitted.
3. Right to recover – the action to recover property
pertains to the owner of the thing and he may
proceed not only against the person in actual
possession but anyone unlawfully detaining it.
- The possessor has the presumption of the title
in his favor, but plaintiff can prove his title as
owner and establish identity of the property.
- The right to recover is given to the owner by
the law.
- In action of recovery person who claims must
prove both ownership and identity is the basic
rule.
ESTOPPEL
- Who is charged with actual or constructive notice of the
entry.
- Who stands by without objection or protest is deemed
to have waived his right of action to recover possession
of his.
- REMEDY: Action for damages for the value of
property.
The owner or lawful possessor of a thing: RIGHT TO
EXCLUDE ANY PERSON FROM THE ENJOYMENT AND
DISPOSAL.
HOW? May use force as REASONABLY necessary to repel or
prevent an actual or threatened unlawful physical invasion or
usurpation of property.
• Right to enjoy – (jus tendi) right to receive. (jus
abutendi) right to consume the thing by its use.
- Unless prevented by the contract an owner
cannot deprived of the enjoyment of his
property on the plea that the other needs it
because of emergency.
- Separation of ownership: H and W live
separately, children are with the mother, if
there are two automobiles, the one car
belongs to the mother and the children for
their use.
4
 • Right to dispose (jus disponendi) the power of the
owner to alienate, encumber transform and destroy
the thing owned.
- Only the owner can dispose the property.
- Who is not the owner, but is a mere
occupant or mortgagee cannot validly sell
the property occupied.
• Right to Recover – owner of the thing.
- May proceed with the person in actual
possession and anyone unlawfully
detaining it.
- The possessor has the presumption of the
title in his favor.
- But if the plaintiff can prove his title that
he is the owner and established the identity
of the property claimed as his, he may be
entitled to recover.
- The person who claims must prove both
ownership and identity is the basic rule.
- PEACEFUL POSSESSION – possessor
of the property must be respected in his
possession and cannot be required to
surrender possession until the competent
court rule. He cannot be OUSTED BY
FORCE OR VIOLENCE.
- ESTOPPEL: Owner of the property who
is charge with actual or constructive notice
of the entry (by the benefit of the public
and who stands without objection or
protest) IS DEEMED TO HAVE HIS
RIGHT OF ACTION TO RECOVER.
• Right to exclude (jus vindicandi) exclude from the
possession of the thing owned to any person to whom
owner has not transmitted.
• ACTIONS FOR POSSESSION
1. Forcible entry and unlawful detainer – a
person deprived from the possession or a
building is unlawfully withheld after an
expiration or termination of the right to hold
possession.
- They may bring an action from the
time of the demand to vacate.
- PRESCRIPTION: 1 year
- ACTION: Restitution plus damages
- As long as there is force and
intimidation you can file for an action
of forcible entry.
2. Plenary action (ACCION PUBLICIANA) –
owner is dispossessed by any manner in RULE
70, he may maintain a plenary action to recover
possession and it is not necessary for him to
wait until the expiration of one year before
commencing such action.
- When judgment is rendered in a forcible
entry an detainer another plenary action
cannot be maintained, because the matter
of possession becomes res judicata.
- When possession of land by another is due
to tolerance of the owner, the action is
ejectment is ACCION PUBLICIANA.
3. Reinvindicatory Action (Accion
reinvindicatoria) – Restitution of the
possession.
- In case there is refusal of a party to deliver
a possession due to adverse claim, the
action is AR.
NCH_PROPERTY
WRIT OF POSSESSION – after the land has been
registered in the Torrens system, the original
registered owner is entitled for writ of possession.
- TO WHOM? The parties who appear and
answer in the land registration proceedings
and all those who having been served with
process do not appear or answer.
- Only issued once and only against parties
in possession of the property at the time of
registration.
- If there is a writ issued: (in favor of the
original owner) no writ will be issued again
in favor of the claimant.
- If there is no writ has previously been
issued: a subsequent transferee of the land
is entitled to such writ against parties who
oppositors in the land registration
proceeding.
- NO PRESCRITPION
- General Rule: Writ of possession is
improper to eject another from possession.
- XPNS:
1.Land registration proceeding;
2. Extrajudicial foreclosure of mortgage or
real property;
3. Judicial foreclosure of property provided
that the mortgagor has possession and no
3rd party intervene;
4. Execution Sales
WRIT OF INJUNCTION – plaintiff is admittedly
the owner of the property and is in possession
thereof, he is entitled to the equitable remedy of
injunction to prevent or restrain acts of trespass and
illegal interference.
- Dispossessed plaintiff – within 10 days to file a
motion for writ of preliminary mandatory
injunction to restore him in possession.
- Court required to decide within 30 days from
the filing.
REMOVAL OF IMPROVEMENTS – the plaintiff
must petition to the court for the removal of such
improvement, which shall be ordered by the court
only AFTER due hearing and upon failure of the
defendant to cause the removal thereof himself
within reasonable time.
LIMITATIONS ON OWNERSHIP
1. General Limitation for the benefit of the State –
Police power
2. Specific Limitation imposed by law – Power of
taxation
3. Limitations imposed by transmitting party either by
contract or will.
4. Limitations imposed by owner himself – any
voluntary act that is permissible under the law. The
law intervenes as to prevent limitations that are
arbitrary and capricious.
5. Inherent Limitations arising from conflicts.
LIMITATIONS FOR PUBLIC INTEREST
1. Expropriation for public use
2. Military requisitions
3. Zonification laws and regulations.
4. Public or government monopolies
5. Laws on waters and mines.
5
 6. Laws on public services
7. Public health
8. Public easement
Stipulation and Inalienability – If the prohibition is
perpetual: ABSOLUTELY VOID. A prohibition for
a long time may be considered perpetual.
Temporary prohibition on alienation: VALID. Short
time and serves some serious and lawful interest.
- Maximum period of alienability: 20 years
- SANCTION FOR VALID INALIENABILITY:
1. The alienation may resolve grant.
2. Alienation may be invalidated , but the original
contract preserved.
ART. 429 - PRINCIPLE OF SELF-HELP
Authorizes the lawful possessor to use force not only
to prevent a threatened unlawful invasion or
usurpation.
Merely self-defense.
Can only be applied if there is an actual, intimidation
or threatened of physical invasion at precise moment.
DISTURBANCE OF POSSESSION – force may
be used against at any time.
REAL DISPOSSESSION – force to regain
possession can be used only IMMEDIATELY after
the dispossession.
If immovable property – no delay in use of force to
recover it (Real dispossession).
WHO MAY USE?
- The real possessor
- Immediate possessor
- Third person acting in negotiorum gestor
NATURE OF AGGRESSION – Illicit and unlawful
ART. 430 – Owner may enclose or fence the property
The right of the owner to inclose his tenement is limited
by the servitudes existing thereon.
ART. 431 – Scope of limitation
- When a person makes an exceptional or
extraordinary use of his tenement thereby causing
injury to third persons, he should be liable for the
injury.
ART. 432 – EMERGENCY DOCTRINE/RULE – the owner
of the thing, you have no right to prohibit the interference of
another person with your property as long as the interference is
necessary to avert greater danger.
COMPARATIVE DANGER – seriousness or gravity of
the danger must be greater than the damage to the
property affected or destroyed by the protective act.
ART. 433 – PROCESS
Judicial Process – a person entitled to the possession must
invoke aid of the competent court by filing the proper
complaint for the recovery.
ART. 434 – ACT OF RECOVERY
Any person claims that he has a better right.
REQUISITES FOR RECOVERY
1. He has a better title
- The possessor has a presumption of title and unless
proven that the latter has a better right.
- Failure to prove his right: Bar an action to recover
the property
2. Identity of the property
NCH_PROPERTY
- May be established through survey plan of the
property.
- No proof of identity: DISMISSED.
ART. 435 – No person shall be deprived of his property except
by the competent authority and for public use.
Power of eminent domain is usually and ordinarily
delegated to all such enterprise and may be considered
essential to their proper development and efficiency, it is
only by grant from the State and within the limits
prescribed.
When the owner cannot recover – the owner of the
property that the government exercised the power of
domain is estopped from recovering the property
occupied.
PUBLIC USE OR UTILITY – the legislature has
conferred general authority to take the land for public use,
necessity for the expropriation is an issue which is
competent for the courts to decide.
ART. 436 – Exercise of Police power
- It may be seized by competent authority whenever
there is interest of health, safety or security and
owner is not entitled for just compensation, unless
he can seizure is unjustified.
ART. 437 – the owner of has right over the surface and of
everything under the property.
- It extends only up to such depth as you can still make use of
it.
ART. 438 and 439 – Hidden treasure belongs to the owner of
the land, building or property which where it was found.
- It must be by money, jewels or precious objects and
it must be unknown.
- The discovery is made by another by accidental:
50% to owner, 50% to finder.
- If the things found is in interest to science or arts the
State may acquire it.
- When the owner purposely hide it, he may recover
entirely from the finder.
- But if the thing had been considered lost by owner
or abandoned it and 3rd person do not know of its
existence, it becomes hidden treasure.
- Strangers – absolutely no right over the immovable
or the thing in which treasure is found.
- Finder entitled to Share –
1. Finder who actually discovered the treasure.
2. The person who brings to view.
- If the finder conceals it to the owner of the land he
may be liable civilly and criminally.
- Discovery by chance – the finding must be by
chance in order that a stranger may be entitled to
one-half of the treasure. There must be no purpose
or intent to look for treasure.
ART. 440 – The ownership of property gives the right of
accession.
ART. 441 – To the owner belongs:
1. Natural fruits
2. Industrial fruits
3. Civil fruits
ART. 442 –
- Natural fruits – spontaneous products of soil
- Industrial fruits – produced by land of any kind
through cultivation.
- Civil fruits – rents of the building.
6
 ART. 443 – The one who receives the fruits must pay to
the 3rd person
- there must be payment.
ART. 444 – Considered natural or industrial fruits
1. Manifest or born
2. With respect to animals, it is sufficient that they are
in the womb.
RIGHT OF ACCESSION – GEN RULE: whoever
benefits from the accession must pay for the same.
ART. 445 – Improvements belong to the owner of the
land.
ART. 446 – All works, sowing and planting are
presumed made by the owner.
ART. 447 – The owner of the land who makes
personally or through another shall pay the value.
- If he acted in bad faith: he shall be obliged to the
reparation of damages.
- The owner of the materials shall have the right to
remove only in case without injury to the work
constructed.
- If the landowner acted in bad faith, the owner of
materials may remove them with a right to be
indemnified for damages.
ART. 448
– The owner of the land on which anything has been
build in good faith shall have the right to
appropriate as his own work after payment of
indemnity.
– Or the owner may oblige the builder to pay the land.
– XPN: if the value of the land is more than of the
building.
ART. 449 – the builder who acted in bad faith will lose
what is built without right to indemnity.
- Until the amount is not yet fully paid, the landowner
can demand payment.
- There’s nothing in the law that says it is
automatically the landowner will be the owner of
the building if he fails to pay rent.
- Due to fortuitous event there is no right of retention
ART. 450 - The owner may demand the builder in bad
faith the demolition of the work or removed in order to
replace things in their former condition at the expense of
the builder or may pay the price of the land.
ART. 451 – The landowner is entitled to damages from
the builder.
ART. 452 – the builder in bad faith is entitled to
reimbursement for necessary expenses.
ART. 453 – Both acted in bad faith the rights of one and
the other shall be the same as though both acted in good
faith.
- Bad faith of the owner – the act is done with
knowledge without opposition of the builder.
ART. 454 – Owner bad faith, builder good faith
- Art. 447 shall apply.
ART. 455 – THIRD PERSON INVOLVE
NCH_PROPERTY
- Not acted in bad faith the owner of the land shall
answer subsidiarily for the value.
- If the owner of the materials used by the builder, he
may demand from the landowner the value of the
materials.
ART. 456 – Negligence
- Remedy: Right to damages
ART. 458 – The owners of estates with ponds or lagoons
do not acquire the left dry.
ART. 459 – Xpn to Art. 458
- Current of a river segregates from the an estate on its
bank a known portion of land and transfers to the estate,
the owner of the segregated estate retains ownership but
must be removed within 2 years.
ART. 462 – New river bed = public domain.
ART. 463 – islands which may be formed on the seas
(floatable) belong to the state.
RIGHT OF ACCESSION WITH RESPECT TO
MOVABLE PROPERTY
ART. 466 – the greater the value is the principal.
RULE:
1. If they are separable, not accession.
2.
3. The owner of the accessory is born more precious
than the principal.
ART. 467 – Criteria to determine Principal
1. Importance or purpose of the things.
2. Their value
3. Their volume.
ART. 468
- Cannot be determined by rule: greater value shall be
considered and if equal, the greater volume.
– When tests insufficient
- The matter should be determined by taking into
account all the provisions applicable in order to
decide from the comparative merits utility and
volume of the things which should considered as the
principal.
ART.469
- Expenses of separation- the owner of the who
caused the union or incorporation shall be
responsible for the conflicts of rights.
ART. 470 – Bad faith and Good faith
- Owner of the accessory acted in BF: he shall lose
the thing incorporated and shall have obligation to
indemnify the owner of the principal thing.
- Owner of the principal acted in BF: the owner of
accessory shall have a right to choose between the
former paying its value or the thing belonging to
him shall be separated even to destroy the principal
thing plus in both cases he shall indemnify for
damages.
- Without objection: both acted in good faith.
ART. 471 – The owner of the material employed without his
consent has a right to an indemnity:
7
 1. Demand for the delivery of thing with same value
and kind
2. Price according to expert appraisal
ART. 472 - Will of the owners two things of same or different
kinds are mixed and things are not separable without injury,
each owner shall acquire a right proportional to the value
belonging to him.
ART. 473 – If by will of the only one owner acted in good
faith, the rights of the owner shall be determined.
- If one who caused the mixture or confusion acted in
bad faith, he shall lose the thing belonging to him
plus damages caused to the owner of the other
thing.
ART. 474 – Transformed appropriate thing
- One who acted in good faith employs the material in
whole or partly making a different kind,
indemnifying to the owner.
- If the material is more precious than the
transformed, the owner may appropriate the new
thing after paying the indemnity or demand
indemnity for the material.
- If there is bad faith, the owner of the thing may:
right to appropriate, demand of the latter that
indemnify him for the value and damages.
QUIETING OF TITLE
ART. 476 – the title appears to be valid or effective but in truth
and in fact is invalid.
- There is a cloud on title to real property
- Action to remove cloud (to procure cancellation
which may vex or used to injure in enjoyment of
title) or action to quiet a title (putting an end to
vexatious litigation)
- Reasons to remove cloud:
1. Prevention of litigation
2. Protection of true title
3. The real interest of both parties.
ART. 477 - the plaintiff must have legal title or
interest to the said the property.
ART. 478 – The contract is extinguished, terminated
or barred by extinctive prescription.
ART. 479 – the plaintiff must return to the defendant
all benefits he may received or reimburse him from
expenses.
CO-OWNERSHIP
ART. 484 – Co-ownership undivided thing or right
belongs to different persons.
ART. 485 – Benefits and charges shall be
proportional to their respective interest. Any
stipulation in a contract contrary VOID.
ART. 486 – Co-owner may use the things owned in
common.
- Use in accordance with the purpose of the thing.
- Not to injure the interest of co-ownership or prevent
the co-owner from using it according to its rights.
ART. 487 – any co-owner may file ejectment.
NCH_PROPERTY
ART. 488 – Each co-owner shall have a right to
compel the other co-owner to contribute to the
expenses of preservation of the thing.
- No waiver shall be made if it will prejudice the co-
ownership.
ART. 489 – Repair for preservation at the will of one
of the co-owners must notify his co-owners of the
necessity.
- Expenses to improve or embellish the thing shall be
decided by majority.
ART. 490 – check notes*
ART. 491
- No co-owner shall make alternations without the
consent of the others.
- If withholding of consent is prejudicial- court may
give relief.
ART. 492 –
Gen. Rule: The resolutions of majority shall be
binding.
Elements:
1. Approved by co-owners.
2. Be seriously prejudicial to interested in property
in common the court shall deem all proper
measure.
- When the thing is exclusive and remainder is owned
in common, ONLY PART OWNED IN COMMON.
ART. 493 – Co-owner shall have the full ownership
of his part and of the fruits and benefits.
- XPN: Personal rights involved.
ART. 494 – No co-owner is obliged to remain in
co-ownership.
- Each may demand partition of the thing owned.
- PRESCRIPTIVE PERIOD: 10 YEARS STILL
VALID.
ART. 495- the co-owners cannot demand a physical
division of the thing owned in common.
ART- 496 – Partition is done in Judicial Proceedings.
ART. 497 – creditors or assignees of the co-owner may
take part in the division of the common thing owned but
they cannot impugn any partition already executed.
ART. 498 – The thing is essentially indivisible and the
co-owner cannot agree it shall be sold and its proceeds
distributed.
ART. 499 – The partition of a thing owned in common
shall not be prejudice to third persons.
- Personal rights pertaining to third persons against
co-ownership is enforce.
ART. 500 – Mutual accounting for benefits received and
reimbursements for expenses.
ART. 501 – Every co-owner shall after partition be
liable for defects of title and quality of the portion.
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 POSSESSION
ART. 523 – to actually and physically occupy a thing,
with or without right.
- Holding of a thing of a right.
- Presumed ownership
- Material Occupation – idea of occupation
- There should be occupancy or there is no
possession.
- Animus Possindendi – intends to exercise and does
exercise a right of possession.
- In order to complete possession (Requirements):
1. Occupancy, apprehension or taking
2. Intent to possess
- Animus possidendi may be rebutted if the person
appears to be does not in fact exercise the power or
control and does not intend to do.
CONSTRUCTIVE POSSESSION
– GEN. RULE: The possession and cultivation of a
portion of tract under claim of ownership of all is a
constructive possession of all, if the remainder is
not in the adverse possession of another.
– Applies when the possession is under title calling
for the WHOLE.
Degrees of Possession
1. Mere holding or possession without title and in
violation of the right of the owner. Both
Possessor and public have knowledge that it is
wrong.
2. Possession with Juridical title, possession
peaceably acquired.
3. Possession with a just title or title or a title
sufficient to transfer ownership.
4. Possession with a just title from the true owner.
CLASSES OF POSSESSION
1. Possession in concept of owner and possession in
concept of holder.
2. Possession by oneself and possession in the name of
another.
3. Possession in good faith and possession in bad baith.
Natural Possession
- Constant possibility of that apprehension or
occupation whenever the will should so determine.
- Power to constantly make use of the thing, to
apprehend or occupy it and make it useful according
to its kind and purpose.
Civil Possession
- The intention to make the thing or right one’s own.
- Considered to have civil possession
1. The owner himself, who holds and enjoys the
things belonging to him;
2. The possessor who is not the owner but has the
intention to act as such and is considered as
such by others
3. The thief and the usurper who, in spite of their
intention and the fact that they are civil
possessors.
Distinction Abolished
ART. 524 – Possession in the name of the other.
- Through agent
- Maybe necessary or voluntary.
- Do not limit to cases which are strictly of direct
representation or representative does not have a
possession of his own.
NCH_PROPERTY
- Extend to cases in change of the personality
exercising the possession.
- Person who has the thing or enjoys the right and
therefore possessor.
- A person neither has and enjoys the right but not a
possessor but who exercise the possession of
another.
ART. 525 – Two concepts of possession
1. Holder of the thing or right to keep enjoy –
possesses as a mere holder acknowledges in another
a superior right to which he believes to be to be
ownership.
- None of the holders claim to be an owner.
2. Concept of owner – owner himself or one claims to
be so.
- Possessor is convinced or believes that he is the
owner of a thing which has acquired by just title.
- A person claims to be the owner, acting as an owner
and performing acts of ownership and he is or may
be considered as the owner by those who witness
his exercise of proprietary rights then he is a
possessor in the concept of the owner.
EFFECTS OF POSSESSION IN CONCEPT OF
OWNERSHIP
1. Possession is converted into ownership by the
lapse of time necessary for prescription
2. Possessor can bring all actions necessary to
protect his possession. XPN: AR which is
substituted by AP.
3. Ask for the inscription
4. Recovery of possession and demand fruits and
damages.
5. He can do anything in the land possessed under
the law.
ART. 526 – POSSESSOR IN GOOD FAITH AND BAD
FAITH
Good faith is one who is unaware that there exists a
flaw which invalidates his acquisition of the thing.
- Honest intention to abstain from taking any
unconscientiously advantage of other.
- Freedom from knowledge and circumstances.
Bad faith possession of property knowing that his
title is defective.
- Bad faith is not transmissible from one person to
another, not even to an heir.
ART. 527 – Good faith always presumed.
The one who alleges bad faith has the burden of
proof.
Unless such proof of bad faith is presented, the
possessor will be held to be in good faith.
The legal presumption of good faith is not quickly
transferred into the opposite presumption of bad
faith.
ART. 528 – Interruption of Good Faith
Ceases from the moment defects in the title are made
known to the possessor by extraneous evidence or by
suit of recovery.
Conversion takes place there are no other facts from
which the interruption of good faith may be
determined and an action is filed to recover
possession, good faith ceases from the date of the
summons to appear at the trial.
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ART. 530 – Only things and rights which are susceptible of
being appropriated are subject of possession.
Art.1113 all things within the commerce of man are
susceptible of prescription.
Good faith – 10 years
Bad faith – 30 years

NCH_PROPERTY 10