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ERLINDA DINGLASAN DELOS SANTOS amount representing the same,

and her daughters, VIRGINIA, AUREA, and including the appropriate interest.
BINGBING, petitioners - Hence, the petition.
v
ALBERTO ABEJON and the estate of ISSUES:
TERESITA DINGLASAN ABEJON, - CA correctly held that petitioners
respondents should be held liable to respondents
for the loans and construction of
building.
FACTS:
- Respondents filed Complaint for RULING:
Cancellation of Title against - The petition is partly meritorious.
Petitioners before the RTC.
- The complaint alleged that Erlinda - It must be pointed out that such loan
and her late husband Pedro Delos was contracted by Erlinda, who is
Santos (Pedro) borrowed money only one out of the four herein
from the former's sister, Teresita, as petitioners, and her deceased
evidenced by a Promissory Note. husband, Pedro, during the latter's
- As security for the loan, Erlinda and lifetime and while their marriage
Pedro mortgaged their property. was still subsisting.
- As Erlinda and Pedro were married
- After Pedro died, Erlinda ended up prior to the effectivity of the Family
being unable to pay the loan, and as Code and absence of any marriage
such, agreed to sell the subject land settlement, their property relations
to Teresita. were governed by the system of
conjugal partnership of gains.
- In defense, petitioners denied any - In pursuant to Article 121 of FC, the
participation relative to the spurious loan obligation, including interest is
Deed of Sale, and instead, chargeable to Erlinda and Pedro's
maintained that it was Teresita who conjugal partnership as it was a debt
fabricated the same and caused its contracted by the both of them
registration. during their marriage.
- They likewise asserted that Erlinda - Should the conjugal partnership be
and Pedro never sold the subject insufficient, then Erlinda and Pedro
land to Teresita, and that they did (more particularly, his estate as he is
not receive any demand for already deceased) shall be solidarily
payment, representing the loan, liable for the unpaid balance with
representing the construction cost of their separate properties.
the building.
- WHEREFORE, the petition is
- The RTC ruled that respondents PARTIALLY GRANTED.
should be reimbursed for the
amount of the loan.
- The CA ruled that respondents
should be allowed to recover the

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