U.P.

LAW BOC CIVIL LAW

U.P. LAW BOC CIVIL LAW
U.P. LAW BOC CIVIL LAW
U.P. LAW BOC
TABLE OF CONTENTS
IN GENERAL ..........................................................1
A. WHEN LAW TAKES EFFECT ............................2
B. RETROACTIVITY OF LAWS ........................2
C. MANDATORY OR PROHIBITORY LAWS .....2
D. WAIVER OF RIGHTS ...................................2
E. REPEAL OF LAWS ......................................3
F. CONFLICT OF LAWS ..................................3
G. HUMAN RELATIONS ................................. 22
H. APPLICABILITY OF PENAL LAWS............. 28
PERSONS AND FAMILY RELATIONS .................. 29
A. PERSONS................................................. 30
1. Kinds of Persons.................................... 30
2. Capacity to act ....................................... 33
3. Domicile and Residence of Persons ....... 37
B. RIGHTS AND OBLIGATIONS OF COUPLES IN
INTIMATE RELATIONSHIPS ......................... 38
C. MARRIAGE ............................................... 42
1. Requisites ............................................. 42
2. Marriages Celebrated Abroad................. 47
3. Foreign Divorce ..................................... 47
4. Void Marriages ...................................... 48
5. Voidable marriages ................................ 55
6. Unmarried Cohabitation ......................... 60
D. LEGAL SEPARATION................................ 60
1. Grounds for Legal Separation [Art. 55, FC]:
............................................................. 60
2. Defenses [Art. 56, FC]: ........................... 62
3. Procedure.............................................. 63
4. Effects of filing petition ........................... 64
5. Effects of pendency ............................... 64
6. Effects of decree of legal separation ....... 64
7. Reconciliation ........................................ 65
8. Effect of death of one of the parties ........ 65
E. RIGHTS AND OBLIGATIONS BETWEEN
HUSBAND AND WIFE ................................... 69
F. PROPERTY RELATIONS OF THE SPOUSES
................................................................. 70
1. Marriage settlements.............................. 70
2. Donations by reason of marriage
(Donations Propter Nuptias) ................... 71
3. Void donations by the spouses ............... 73
4. Absolute Community of Property ............ 74
5. Conjugal Partnership of Gains ................ 74
6. Regime of separation of property............ 82
7. Judicial separation of property ................ 82
PROPERTY ........................................................ 127
8. Property regime of unions without marriage
............................................................. 84
G. THE FAMILY ............................................. 85
1. Concept of family ................................... 85
2. Effects on legal disputes ........................ 86
3. Family home .............................................. 86
CIVIL LAW
H. PATERNITY AND FILIATION ..................... 88
1. Legitimate children ................................ 90
2. Proof of filiation ..................................... 91
3. Illegitimate children................................ 92
4. Impugned Legitimacy/Action to Impugn
Legitimacy ............................................... 95
5. Legitimated children .............................. 97
I. ADOPTION ............................................... 98
1. RA 8552: Domestic Adoption Law .......... 98
2. RA 8043: Law on Inter-Country Adoption
105
J. SUPPORT .............................................. 108
1. What it comprises ................................... 108
2. Who are obliged to give support ............... 108
3. Source of support ................................... 109
4. Order of support ..................................... 109
5. Amount of support .................................. 110
6. Manner and time of payment ................... 110
7. Renunciation and termination.................. 110
8. Support pendente lite.............................. 111
9. Procedure in applications for support........ 111
K. PARENTAL AUTHORITY ........................ 112
1. General Provisions .............................. 112
2. Substitute parental authority ................ 112
3. Special parental authority .................... 112
4. Effect of parental authority over the child’s
person ................................................ 113
5. Effects of parental authority over the child’s
property................................................. 114
6. Suspension or termination of parental
authority ................................................ 114
7. Solo parents (R.A. No. 8972) ............... 115
L. EMANCIPATION ..................................... 117
1. Cause of emancipation ........................ 117
2. Effect of emancipation ......................... 117
M. SUMMARY JUDICIAL PROCEEDINGS IN THE
FAMILY CODE ............................................ 117
N. USE OF SURNAMES .......................... 121
O. ABSENCE........................................... 122
1. Provisional measures in case of absence ...
........................................................... 122
2. Declaration of absence ........................ 122
3. Administration of the property of the
absentee ............................................... 123
4. Presumption of death........................... 123
P. CIVIL REGISTRAR .................................. 124
A. CLASSIFICATION OF PROPERTY .......... 128
1. Immovables [Art. 415, CC] ...................... 128
2. Movables [Art. 416, 417, CC] .................. 129
B. OWNERSHIP .......................................... 130
1. Bundle of rights ................................... 130
U.P. LAW BOC
2. Distinction between real and personal rights.
........................................................... 130
PRESCRIPTION ................................................. 205
3. Modes of Acquiring Ownership ............. 131
4. Limitations of Ownership ...................... 131
C. ACCESSION ........................................... 132
1. Right to hidden treasure ....................... 132
2. Rules of accession............................... 132
D. QUIETING OF TITLE ............................... 142
1. Requisites ........................................... 142
2. Distinctions between quieting title and
removing/preventing a cloud ................... 142
3. Prescription/non-prescription of action .. 144
SUCCESSION .................................................... 210
E. CO-OWNERSHIP .................................... 145
1. Characteristics of Co-ownership ........... 145
2. Sources of Co-ownership ..................... 146
3. Rights of Co-owners ............................ 147
4. Termination of Co-ownership................ 152
F. POSSESSION ......................................... 153
1. Characteristics ..................................... 153
2. Acquisition of Possession..................... 154
3. Effects of Possession ........................... 156
4. Loss of Movable or Unlawful Deprivation of
a Movable .............................................. 157
5. Possession in the Concept of Owner, Holder,
One’s Own Name, and in the Name of
Another .................................................. 158
6. Rights of the Possessor ....................... 160
7. Loss or Termination of Possession ....... 162
G. USUFRUCT ................................................ 162
1. Characteristics ..................................... 162
2. Classification ....................................... 163
3. Rights and Obligations of Usufructuary . 166
4. Rights of the Owner ............................. 170
5. Extinction, Termination, and Extinguishment
........................................................... 171
H. EASEMENTS............................................... 174
1. Characteristics ..................................... 174
2. Classification ....................................... 176
OBLIGATIONS AND CONTRACTS .................... 252
3. Modes of Acquiring Easements ............ 184
4. Rights and Obligations of the Owners of
Dominant and Servient Estates............... 186
5. Modes of Extinguishment ..................... 187
I. NUISANCE.............................................. 188
1. Nuisance per se................................... 188
2. Nuisance per accidens ......................... 188
3. Liabilities ............................................. 190
4. No Prescription .................................... 190
5. Criminal prosecution as a remedy......... 190
6. Judgment with abatement as a remedy. 190
7. Extrajudicial abatement as a remedy .... 191
8. Special Injury to Individual .................... 191
9. Right of Individual to Abate Public Nuisance.
........................................................... 192
10. Right to Damages ............................ 192
11. Defenses to Action........................... 193
12. Who May Sue on Private Nuisance... 193
CIVIL LAW
J. MODES OF ACQUIRING OWNERSHIP ... 193
A. TYPES OF PRESCRIPTION .................... 205
1. Acquisitive Prescription........................ 205
2. Extinctive Prescription ......................... 206
B. WHEN PRESCRIPTION IS INAPPLICABLE ...
............................................................... 207
C. PRESCRIPTION OR LIMITATION OF
ACTIONS................................................ 208
D. INTERRUPTION [ART. 1155, CC] ............ 209
A. GENERAL PROVISIONS ................................ 211
1. Definition ............................................. 211
2. Succession occurs at the moment of death
........................................................... 211
3. Kinds of successors............................. 212
B. TESTAMENTARY SUCCESSION ...................... 213
1. Wills .................................................... 213
2. Institution of heirs ................................ 221
3. Substitution of heirs ............................. 223
4. Conditional testamentary dispositions and
testamentary dispositions with a term ..... 224
5. Legitime .............................................. 226
C. LEGAL OR INTESTATE SUCCESSION ............ 238
1. General Provisions .............................. 238
2. Order of Intestate Succession ................. 241
D. PROVISIONS COMMON TO TESTATE AND INTESTATE
SUCCESSION ................................................. 243
1. Right of accretion ................................ 243
2. Capacity to Succeed by Will or Intestacy ....
........................................................... 244
3. Acceptance and repudiation of the
inheritance............................................. 245
4. Collation.............................................. 246
5. Partition and Distribution of Estate ....... 248
A. GENERAL PROVISIONS......................... 253
1. Definition ............................................. 253
2. Elements of an obligation..................... 253
3. Sources of Obligations......................... 253
B. NATURE AND EFFECT OF OBLIGATIONS
254
1. Obligation to give................................. 254
2. Obligation to do or not to do ................. 255
3. Transmissibility of obligations............... 255
4. Performance of Obligations.................. 255
5. Breaches of Obligations....................... 256
6. Remedies available to creditor in cases of
breach................................................... 260
C. KINDS OF OBLIGATIONS ....................... 263
1. Pure.................................................... 263
2. Conditional .......................................... 263
3. Obligation with a period or a term ......... 267
U.P. LAW BOC
4. Alternative or facultative ....................... 268
5. Joint and Solidary Obligations .............. 270
6. Obligations with a penal clause ............ 274
D. EXTINGUISHMENT OF OBLIGATIONS.... 275
1. Payment or performance ...................... 275
2. Loss of determinate thing due or
impossibility or difficulty of performance .. 281
3. Condonation or remission of debt ......... 283
4. Confusion ............................................ 286
5. Compensation ..................................... 286
6. Novation .............................................. 289
CONTRACTS…………………………………………292
A. GENERAL PROVISIONS ......................... 292
1. Stages of Contracts ............................. 292
2. Classification ....................................... 292
3. Essential requisites .............................. 293
B. FORMALITY ............................................ 302
C. REFORMATION OF INSTRUMENTS ....... 304
QUASI-CONTRACTS ......................................... 411
D. INTERPRETATION OF CONTRACTS ...... 307
E. DEFECTIVE CONTRACTS ...................... 310
1. Rescissible contracts ........................... 310
2. Voidable contracts ............................... 313
3. Unenforceable contracts ...................... 315
4. Void or inexistent contracts .................. 316
LAND TITLES AND DEEDS................................ 415
5. Distinguish: resolution and rescission of
contracts ................................................ 319
NATURAL OBLIGATIONS .................................. 320
A. DEFINITION ................................................ 324
B. KINDS OF ESTOPPEL ................................... 324
C. PERSONS BOUND........................................ 324
D. CASES WHERE ESTOPPEL APPLIES ................. 324
E. LACHES .................................................... 325
SPECIAL CONTRACTS ...................................... 326
A. SALES ...................................................... 327
1. General provisions ............................... 327
2. Parties................................................. 333
3. Obligations of the Vendor ..................... 335
4. Obligations of the Vendee .................... 342
5. Transfer of Ownership.......................... 344
6. Risk of Loss ......................................... 350
7. Documents of Title ............................... 352
8. Warranties ........................................... 354
9. Breach of Contract ............................... 360
10. Performance of the Contract............. 368
11. Extinguishment of Sales ................... 371
B. TRUSTS .................................................... 379
C. AGENCY .................................................... 383
TORTS ............................................................... 451
1. Nature and form ................................... 383
2. Kinds ................................................... 385
D. COMPROMISE........................................ 388
E. LOAN ...................................................... 392
1. Loan .................................................... 392
2. Commodatum ...................................... 394
CIVIL LAW
3.Simple Loan (mutuum) ........................ 396
4.Interests On Loan ................................ 397
F. DEPOSIT ................................................ 401
1. Voluntary Deposit ................................ 401
2. Necessary Deposit .............................. 403
3. Judicial Deposit Or Sequestration ........ 404
G. LEASE ...................................................... 404
1. Definition ............................................. 404
2. Who are Qualified or Disqualified? ........... 405
3. Obligations of Parties.............................. 405
4. Payment................................................. 406
5. Termination ............................................ 407
6. Renewal ................................................. 407
7. Unlawful Detainer ................................ 407
8. Transfer of Lease ................................ 408
9. Sub-Lease.............................................. 408
10. Warranties............................................ 409
11. Special Provisions ................................ 409
A. NEGOTIORUM GESTIO (UNAUTHORIZED
MANAGEMENT) .......................................... 411
B. SOLUTIO INDEBITI (UNDUE PAYMENT)............ 412
C. OTHER QUASI-CONTRACTS ......................... 414
A. TORRENS SYSTEM................................... 416
1. Concept and Background .................... 416
2. Certificate of Title ................................ 419
B. AGRARIAN TITLES AND ANCESTRAL LANDS AND
DOMAINS ...................................................... 421
1. Concept and Registration of Agrarian Titles
........................................................... 422
2. Concept and Registration of Ancestral Lands
and Domains ......................................... 424
C. CITIZENSHIP REQUIREMENT ......................... 425
1. Individuals ........................................... 425
2. Corporations ....................................... 426
D. ORIGINAL REGISTRATION ............................ 427
1. Who May Apply ................................... 427
2. Registration Process and Requirements.....
........................................................... 429
3. Remedies............................................ 434
4. Cadastral Registration ......................... 438
E. SUBSEQUENT REGISTRATION ....................... 440
1. Voluntary Dealings .............................. 442
2. Involuntary Dealings ............................ 445
F. NON-REGISTRABLE PROPERTIES .................. 448
G. DEALINGS WITH UNREGISTERED LANDS ......... 450
A. PRINCIPLES ............................................... 452
1. Abuse of Right; elements ..................... 452
2. Unjust Enrichment ............................... 454
3. Liability without fault ............................ 454
4. Acts Contrary to Law ........................... 455
U.P. LAW BOC
2. Distinction between real and personal rights.
........................................................... 130
PRESCRIPTION ................................................. 205
3. Modes of Acquiring Ownership ............. 131
4. Limitations of Ownership ...................... 131
C. ACCESSION ........................................... 132
1. Right to hidden treasure ....................... 132
2. Rules of accession............................... 132
D. QUIETING OF TITLE ............................... 142
1. Requisites ........................................... 142
2. Distinctions between quieting title and
removing/preventing a cloud ................... 142
3. Prescription/non-prescription of action .. 144
SUCCESSION .................................................... 210
E. CO-OWNERSHIP .................................... 145
1. Characteristics of Co-ownership ........... 145
2. Sources of Co-ownership ..................... 146
3. Rights of Co-owners ............................ 147
4. Termination of Co-ownership................ 152
F. POSSESSION ......................................... 153
1. Characteristics ..................................... 153
2. Acquisition of Possession..................... 154
3. Effects of Possession ........................... 156
4. Loss of Movable or Unlawful Deprivation of
a Movable .............................................. 157
5. Possession in the Concept of Owner, Holder,
One’s Own Name, and in the Name of
Another .................................................. 158
6. Rights of the Possessor ....................... 160
7. Loss or Termination of Possession ....... 162
G. USUFRUCT ................................................ 162
1. Characteristics ..................................... 162
2. Classification ....................................... 163
3. Rights and Obligations of Usufructuary . 166
4. Rights of the Owner ............................. 170
5. Extinction, Termination, and Extinguishment
........................................................... 171
H. EASEMENTS............................................... 174
1. Characteristics ..................................... 174
2. Classification ....................................... 176
OBLIGATIONS AND CONTRACTS .................... 252
3. Modes of Acquiring Easements ............ 184
4. Rights and Obligations of the Owners of
Dominant and Servient Estates............... 186
5. Modes of Extinguishment ..................... 187
I. NUISANCE.............................................. 188
1. Nuisance per se................................... 188
2. Nuisance per accidens ......................... 188
3. Liabilities ............................................. 190
4. No Prescription .................................... 190
5. Criminal prosecution as a remedy......... 190
6. Judgment with abatement as a remedy. 190
7. Extrajudicial abatement as a remedy .... 191
8. Special Injury to Individual .................... 191
9. Right of Individual to Abate Public Nuisance.
........................................................... 192
10. Right to Damages ............................ 192
11. Defenses to Action........................... 193
12. Who May Sue on Private Nuisance... 193
CIVIL LAW
J. MODES OF ACQUIRING OWNERSHIP ... 193
A. TYPES OF PRESCRIPTION .................... 205
1. Acquisitive Prescription........................ 205
2. Extinctive Prescription ......................... 206
B. WHEN PRESCRIPTION IS INAPPLICABLE ...
............................................................... 207
C. PRESCRIPTION OR LIMITATION OF
ACTIONS................................................ 208
D. INTERRUPTION [ART. 1155, CC] ............ 209
A. GENERAL PROVISIONS ................................ 211
1. Definition ............................................. 211
2. Succession occurs at the moment of death
........................................................... 211
3. Kinds of successors............................. 212
B. TESTAMENTARY SUCCESSION ...................... 213
1. Wills .................................................... 213
2. Institution of heirs ................................ 221
3. Substitution of heirs ............................. 223
4. Conditional testamentary dispositions and
testamentary dispositions with a term ..... 224
5. Legitime .............................................. 226
C. LEGAL OR INTESTATE SUCCESSION ............ 238
1. General Provisions .............................. 238
2. Order of Intestate Succession ................. 241
D. PROVISIONS COMMON TO TESTATE AND INTESTATE
SUCCESSION ................................................. 243
1. Right of accretion ................................ 243
2. Capacity to Succeed by Will or Intestacy ....
........................................................... 244
3. Acceptance and repudiation of the
inheritance............................................. 245
4. Collation.............................................. 246
5. Partition and Distribution of Estate ....... 248
A. GENERAL PROVISIONS......................... 253
1. Definition ............................................. 253
2. Elements of an obligation..................... 253
3. Sources of Obligations......................... 253
B. NATURE AND EFFECT OF OBLIGATIONS
254
1. Obligation to give................................. 254
2. Obligation to do or not to do ................. 255
3. Transmissibility of obligations............... 255
4. Performance of Obligations.................. 255
5. Breaches of Obligations....................... 256
6. Remedies available to creditor in cases of
breach................................................... 260
C. KINDS OF OBLIGATIONS ....................... 263
1. Pure.................................................... 263
2. Conditional .......................................... 263
3. Obligation with a period or a term ......... 267
U.P. LAW BOC IN GENERAL CIVIL LAW

IN GENERAL
CIVIL LAW

Page 1 of 532
U.P. LAW BOC
4. Alternative or facultative ....................... 268
5. Joint and Solidary Obligations .............. 270
6. Obligations with a penal clause ............ 274
D. EXTINGUISHMENT OF OBLIGATIONS.... 275
1. Payment or performance ...................... 275
2. Loss of determinate thing due or
impossibility or difficulty of performance .. 281
3. Condonation or remission of debt ......... 283
4. Confusion ............................................ 286
5. Compensation ..................................... 286
6. Novation .............................................. 289
CONTRACTS…………………………………………292
A. GENERAL PROVISIONS ......................... 292
1. Stages of Contracts ............................. 292
2. Classification ....................................... 292
3. Essential requisites .............................. 293
B. FORMALITY ............................................ 302
C. REFORMATION OF INSTRUMENTS ....... 304
QUASI-CONTRACTS ......................................... 411
D. INTERPRETATION OF CONTRACTS ...... 307
E. DEFECTIVE CONTRACTS ...................... 310
1. Rescissible contracts ........................... 310
2. Voidable contracts ............................... 313
3. Unenforceable contracts ...................... 315
4. Void or inexistent contracts .................. 316
LAND TITLES AND DEEDS................................ 415
5. Distinguish: resolution and rescission of
contracts ................................................ 319
NATURAL OBLIGATIONS .................................. 320
A. DEFINITION ................................................ 324
B. KINDS OF ESTOPPEL ................................... 324
C. PERSONS BOUND........................................ 324
D. CASES WHERE ESTOPPEL APPLIES ................. 324
E. LACHES .................................................... 325
SPECIAL CONTRACTS ...................................... 326
A. SALES ...................................................... 327
1. General provisions ............................... 327
2. Parties................................................. 333
3. Obligations of the Vendor ..................... 335
4. Obligations of the Vendee .................... 342
5. Transfer of Ownership.......................... 344
6. Risk of Loss ......................................... 350
7. Documents of Title ............................... 352
8. Warranties ........................................... 354
9. Breach of Contract ............................... 360
10. Performance of the Contract............. 368
11. Extinguishment of Sales ................... 371
B. TRUSTS .................................................... 379
C. AGENCY .................................................... 383
TORTS ............................................................... 451
1. Nature and form ................................... 383
2. Kinds ................................................... 385
D. COMPROMISE........................................ 388
E. LOAN ...................................................... 392
1. Loan .................................................... 392
2. Commodatum ...................................... 394
CIVIL LAW
3.Simple Loan (mutuum) ........................ 396
4.Interests On Loan ................................ 397
F. DEPOSIT ................................................ 401
1. Voluntary Deposit ................................ 401
2. Necessary Deposit .............................. 403
3. Judicial Deposit Or Sequestration ........ 404
G. LEASE ...................................................... 404
1. Definition ............................................. 404
2. Who are Qualified or Disqualified? ........... 405
3. Obligations of Parties.............................. 405
4. Payment................................................. 406
5. Termination ............................................ 407
6. Renewal ................................................. 407
7. Unlawful Detainer ................................ 407
8. Transfer of Lease ................................ 408
9. Sub-Lease.............................................. 408
10. Warranties............................................ 409
11. Special Provisions ................................ 409
A. NEGOTIORUM GESTIO (UNAUTHORIZED
MANAGEMENT) .......................................... 411
B. SOLUTIO INDEBITI (UNDUE PAYMENT)............ 412
C. OTHER QUASI-CONTRACTS ......................... 414
A. TORRENS SYSTEM................................... 416
1. Concept and Background .................... 416
2. Certificate of Title ................................ 419
B. AGRARIAN TITLES AND ANCESTRAL LANDS AND
DOMAINS ...................................................... 421
1. Concept and Registration of Agrarian Titles
........................................................... 422
2. Concept and Registration of Ancestral Lands
and Domains ......................................... 424
C. CITIZENSHIP REQUIREMENT ......................... 425
1. Individuals ........................................... 425
2. Corporations ....................................... 426
D. ORIGINAL REGISTRATION ............................ 427
1. Who May Apply ................................... 427
2. Registration Process and Requirements.....
........................................................... 429
3. Remedies............................................ 434
4. Cadastral Registration ......................... 438
E. SUBSEQUENT REGISTRATION ....................... 440
1. Voluntary Dealings .............................. 442
2. Involuntary Dealings ............................ 445
F. NON-REGISTRABLE PROPERTIES .................. 448
G. DEALINGS WITH UNREGISTERED LANDS ......... 450
A. PRINCIPLES ............................................... 452
1. Abuse of Right; elements ..................... 452
2. Unjust Enrichment ............................... 454
3. Liability without fault ............................ 454
4. Acts Contrary to Law ........................... 455
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Waiver
Voluntary and intentional relinquishment or
abandonment of a known legal right or
privilege. It has been ruled that a waiver to be
valid and effective must be couched in clear
and unequivocal terms which leave no doubt
as to the intention of a party to give up a right
or benefit which legally pertains to him. [RB
Michael Press v. Galit, G.R. No. 153510
(2008)]
The waiver should be made in a positive
manner [Dona Adela v. Tidcorp, G.R. No.
201931 (2015)].
Requisites of a Valid Waiver
a. Existence of a right
b. Knowledge of the existence thereof
c. An intention to relinquish the right. [Herrera
v. Borromeo, G.R. No. L-41171, (1987)]
General Rule: Rights may be waived.
Exceptions
a. If the waiver is contrary to law, public order,
public policy, morals or good customs
b. If the waiver prejudices a third person
c. If the alleged rights do not yet exist
d. If the right is a natural right
No compromise upon the following
questions shall be valid [Art. 2035, CC]:
a. The civil status of persons;
b. The validity of a marriage or a legal
separation;
c. Any ground for legal separation;
d. Future support;
e. The jurisdiction of courts;
f. Future legitime.
E. REPEAL OF LAWS
Laws are repealed only by subsequent ones,
and their violation or non-observance shall not
be excused by disuse, or custom or practice to
the contrary.
Page 3 of 532
CIVIL LAW
When the courts declare a law to be
inconsistent with the Constitution, the former
shall be void and the latter shall govern.
Administrative or executive acts, orders and
regulations shall be valid only when they are
not contrary to the laws or the Constitution. [Art.
7, CC]
TWO KINDS OF REPEAL [Tolentino]
a. Express or Declared: contained in a
special provision of a subsequent law;
names the law repealed.
b. Implied or Tacit: takes place when the
provisions of the subsequent law are
incompatible or inconsistent with those of
an earlier law.
The fundamental rule is that the legislature
should be presumed to have known the
existing laws on the subject and not have
enacted conflicting statutes. Hence, all doubts
must be resolved against any implied repeal,
and all efforts should be exerted in order to
harmonize and give effect to all laws on the
subject. [Republic v. Marcopper Mining, G.R.
No. 137174 (2000)]
F. CONFLICT OF LAWS
1. Introduction
The world is divided into many territorial units,
each imposing its own set of laws. With the
developed means of transportation and
communication, distances between these
nations have shortened allowing more and
more people to travel and enter into contracts.
These dynamics cause the occurrence of
events that contain elements significant to
more than one legal system which give rise to
problems that private international law seeks to
resolve. [Coquia and Aguiling-Pangalangan]
Its incorporation in municipal laws is based not
on extraterritorial validity of the foreign law but
on comity of nations.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

“Comity,” in the legal sense, is neither a matter State may

of absolute obligation, on the one hand, nor of resort to
mere courtesy and good will, upon the other. diplomatic
But it is the recognition which one nation allows protest,
within its territory to the legislative, executive or peaceful
All remedies
judicial acts of another nation, having due means of
provided by
regard both to international duty and settlement of
municipal
convenience, and to the rights of its own international
laws of the
disputes such
citizens or of other persons who are under the Remedies state
as diplomatic
protection of its laws. [Hilton v. Guyot, 159 US such as resort
negotiations,
113 (1895)] to courts or
arbitration or
administrative
conciliation or
a. Definition tribunals
adjudication
by filing a
That part of municipal law which governs cases case before
involving a foreign element. international
tribunals
That part of law which comes into play when
the issue before the court affects some fact or b. Scope
event, or transaction that is so closely
connected with a foreign system of law as to 1. Adjudicatory jurisdiction: Determines
necessitate recourse to that system. [Chesire] the circumstances that allow for a legal
order to impose upon its judiciary the task
The law concerning the rights of persons within of deciding multi-state and multinational
the territory and dominion of one nation by disputes
reason of acts, private or public, done within 2. Choice-of-law: Refers to the probable
the dominion of another nation. [Hilton v. sources from which the applicable law of
Guyot] the controversy may be derived.
3. Recognition and enforcement of foreign
Public International Law v. Private judgments: Deals with the study of
International Law [Coquia and Aguiling- situations which justify recognition by the
Pangalangan] forum court of a judgment rendered by a
Public Private foreign court or the enforcement of such
As to Internatio International within the forum.
nal Law Law
States and c. Sources
Persons internationall Individuals or 1. Codes and Statutes
involved y recognized corporations
2. Treaties and International Conventions
organizations
3. Treatises, Commentaries and Studies
States in their Private
of Learned Societies
relationships transactions
4. Judicial Decisions
amongst between
Transactio themselves private
ns involved (Except individuals
cases of which involve
human rights a foreign
violations) element

Page 4 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

2. Jurisdiction and Choice of ii. Types of Judicial Jurisdiction

Law JURISDICTION OVER THE PERSON
Competence or power of a court to render a
Jurisdiction [Coquia and judgment that will bind the parties to a case.
Aguiling-Pangalangan]
Required in in personam proceedings.
Judicial Legislative Acquired by the voluntary appearance of a
Jurisdiction Jurisdiction party and his submission to authority.
The power or The ability of the
authority of a court state to promulgate How Acquired
to try a case, render laws and enforce a. Over the person of the PLAINTIFF –
judgment, and them on all persons acquired from the moment he invokes the
execute it in and property within aid of the court by filing a suit.
accordance with law its territory
b. Over the person of the DEFENDANT –
i. Basis of Exercise of Judicial ! When he enters his appearance
Jurisdiction UNLESS appearance is for the sole
purpose of protesting the jurisdiction of
Traditional Approach: Based on the state’s the court.
physical power over persons and property ! When he is served with the legal
within its territory. process within the state
○ Personal Service
Modern Approach: Minimum contacts and ○ Substituted Service
fundamental fairness test ○ When subsequent proceedings
arise out of his original cause of
Minimum contacts must exist between the action including counterclaims
forum and defendant. Due process only filed by the defendant
requires that a defendant, if not present within
the territory, should have certain minimum JURISDICTION OVER THE PROPERTY
contacts with it such that maintenance of the Results either from:
suit does not offend traditional notions of fair a. Seizure of the property under a legal
play and substantive justice. It includes process; or
presence in the state through acts of b. Institution of legal proceedings wherein the
authorized agents. [International Shoe Co. v. court’s power over the property is
Washington, 326 US 310 (1945)] recognized and made effective

Long-Arm Statutes – Municipal Laws that
specify the kinds of contacts upon which
jurisdiction will be asserted by the forum court.
These laws allow a court to obtain to obtain
personal jurisdiction over an out of-state
defendant who has sufficient connection with
the state, e.g. tortious act done within the state,
or a contract celebrated in the state.
Due process is satisfied by summons through
publication in these in rem and quasi in rem
proceedings
JURISDICTION OVER THE SUBJECT
MATTER
More than the general power conferred by law
to take cognizance of cases of a general class
to which the case belongs. The power of the
court must be properly invoked by filing a
petition. Jurisdiction over the subject matter
cannot be conferred by consent of the parties.

Page 5 of 532
U.P. LAW BOC IN GENERAL CIVIL LAW

IN GENERAL
CIVIL LAW

Page 1 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

The Problem of Characterization

Traditional approaches are used for SINGLE-
MULTI-ASPECT
simplicity, convenience, uniformity, and ASPECT
METHOD
predictability. At times, at the expense of just METHOD
results. Traditional Modern
All important factors of the
Modern Approaches Concentrates case are analyzed and the
Place of Most Identifies a plurality of factors on one applicable law is arrived at
Significant and factual contacts in light element of a by “rationally elaborating
Relationship of choice of law principles. situation in and applying the policies
Looks at the policy behind order to and purposes underlying
Interest the laws of the involved state connect the the particular legal rules
Analysis and the interest each state case to a that come in question as
had in applying its own law. particular legal well as the needs of
Weighs conflicting interests community interstate or international
and apply the law of the state intercourse”
Comparative
Impairment
whose interest would be
more impaired if its laws The Philippines follows the single-aspect
were not followed. method.
This approach looked into
the general policies of the Examples
state beyond those reflected ● Philippine law governs citizens of the
Functional
Analysis
in its substantive law and to Philippines in matters relating to family
policies and values “relating rights, duties, the status, condition and
to effective and harmonious legal capacity of persons. [Art. 15, CC]
intercourse between states.” ● Real and personal property are governed
by the law of the country where they are
Escape devices: The difficulty in following situated. [Art. 16, CC]
territorially-oriented rules is the inherent rigidity ● National law of the deceased person
and unjust decisions that may result from their governs intestate and testamentary
application. [Coquia and Aguiling- succession both with respect to order of
Pangalangan] succession, amount of successional rights
and intrinsic validity of testamentary
To avoid this, courts have resorted to “escape provisions regardless of where the
devices” such as: property may be found. [Art. 16, CC]
a) Characterization ● Law of the place of execution governs the
b) Renvoi forms and solemnities of wills and other
c) Dépeçage public instruments. [Art. 17, CC]
d) Public policy exemption – the “ultimate ● When acts are executed before the
escape device” diplomatic or consular officials of the
Republic of the Philippines in a foreign
country, the solemnities established by
Philippine laws shall be observed in their
execution. [Art. 17, CC]
● Prohibitive laws concerning persons, acts
or property and those which have as their
object, public order, public policy, and good
customs are to be governed by Philippine
law, unaffected by laws, judgments and
determinations of foreign countries. [Art.
17, CC]

Page 7 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

CHARACTERIZATION the matter to the law of either the forum

Characterization is the process by which a (remission – 2a in figure below) or a third state
court at the beginning of the choice-of-law (transmission – 2b in figure below).
process assigns a disputed question to an area
in substantive law. State State State
A B C
It is an escape device because by
characterizing the problem differently, it can
produce results which the forum court
Internal Internal
law 1 law
considers as just and sound.
2b
SUBJECT-MATTER Conflict Conflict
CHARACTERIZATION of Law of Law
Classification by a court of a factual situation Rule 2a Rule
into a legal category.
SUBSTANCE-PROCEDURE DICHOTOMY
Directs the court to the extent it will apply Limitation of renvoi
foreign law The process of renvoi is not applicable in
SUBSTANTIVE PROCEDURAL instances where there is a FALSE CONFLICT.
The Court MAY The Court SHALL apply There’s a false conflict when one of the states
apply foreign law forum law does not have a real interest in applying its law
in the controversy.
Statute of Frauds: May be substantive or
procedural: Ways of Dealing with the Problem of
• SUBSTANTIVE – if the words of the law Renvoi
relate to forbidding the CREATION of Forum conflict rules is deemed
obligation. to refer only to the internal law
• PROCEDURAL – one that Reject
of that state (i.e. that which
forbids ENFORCEMENT of the obligation. the
would apply to a domestic case
renvoi
with no conflict-of-laws
Statutes of Limitation and Borrowing complications).
Statute Looks into not just the internal
General Rule: Statutes of limitations were Accept
law of the foreign state, but also
classified as procedural because they barred the
the choice-of-law rules
only the legal remedy without impairing the renvoi
applicable in multi-state cases.
substantive right involved. Desistan The forum court, upon
ce/ reference to foreign law, sees
Exception: If the statute provides a shorter Mutual that such law only applies to its
period for certain types of claims that fall within disclaim own nationals and has no
a wider classification covered by a general er of provision for application to a
statute of limitations. (Specificity Test) jurisdicti non-national.
Borrowing statutes on
Bars the filing of a suit in the forum if it is The forum court would assume
already barred by the statute of limitations in Foreign the same position that the
the place where the cause of action arose. Court foreign court would take were
Theory the case litigated in the foreign
RENVOI court.
Procedure whereby a jural matter presented is
referred by the conflict of laws rules of the
forum to a foreign state (Step 1 in figure below),
the conflict of laws rule of which, in turn, refers

Page 8 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
DÉPEÇAGE
Phenomenon where “different aspects of a
case involving a foreign element may be
governed by different systems of laws.”
● A case may be dissected into different
issues, each analyzed as to which law shall
apply.
● When such issue by issue analysis results
in the application of different laws to
different issues, then dépeçage occurs.
● Dépeçage is the effect of issue by issue
analysis.
PUBLIC POLICY EXEMPTION
The courts of the forum will not enforce any
foreign claim obnoxious to the forum’s public
policy. To enforce the one-year prescriptive
period of the law of Bahrain...would contravene
the public policy on the protection to
labor…[therefore], the applicable law on
prescription is the Philippine law [Cadalin v.
POEA Administrator, 238 SCRA 721 (1994)].
2. Notice and Proof of Foreign Law
Extent of Judicial Notice
General Rule: Judge is not authorized to take
judicial notice of foreign law and is presumed
to know only domestic law.
Exception: When judicial notice is allowed.
[Rule 129, Section 1, Rules of Court]
It is allowed when the court is evidently familiar
with such foreign law. [Delgado v. Republic,
G.R. No. L-2546 (1950)]
Familiarity with the foreign law may be because
Philippine law was derived therefrom or the
judge had previously ruled upon it in other
cases. [Coquia and Aguiling-Pangalangan]
Burden of Proof
The party whose cause of action or defense
depended upon the foreign law has the burden
of proving the foreign law. [“He who alleges
must prove”]
Such foreign law is treated as a question of fact
to be properly pleade and proved in conformity
Page 9 of 532
CIVIL LAW
with the law of evidence of the state where it is
presented.
Proof of Foreign Law
Methods to prove foreign law
a) Official publication of the law (and
consularized) [Rule 132, Section 24, Rules
of Court]
b) Copy of the law attested by the officer
having the legal custody of the record or by
his deputy. (and consularized) [Rule 132,
Section 24, Rules of Court]
c) Learned treatises and expert witness for
unwritten foreign law [Rule 130, Section
46, Rules of Court]
Effect of Failure to Plead and Prove Foreign
Law
a. Dismiss the case for inability to establish a
cause of action
b. Processual Presumption / Presumed
Identity – assume that the foreign law is
the same as the law of the forum
c. Apply the law of the forum
Apostille Convention
The Apostille Convention on Authentication of
Documents took effect in the Philippines on
May 14, 2019. This means that the DFA will
no longer issue Authentication Certificates
and instead will affix an Apostille to public
documents for use abroad as proof of
authentication in Apostille-contracting parties.
An apostille certifies “the authenticity of the
signature, the capacity in which the person
signing the document has acted and, where
appropriate, the identity of the seal or stamp
which it bears.” [Art. 5, Apostille Convention]
Exceptions to the Application of Foreign
Law
a. A specific law of the forum decrees that
internal law should apply
Examples:
● Real and personal property are subject
to the law of the country where they are
situated. [Art. 16, CC]
● Revocation of a will done outside the
Philippines may be valid if done
according to the law of the place where
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
the will was made or lex domicilii. [Art.
829, CC]
● Filipinos are prohibited from making
joint wills even when done abroad. [Art.
819, CC]
b. The proper foreign law was not properly
pleaded and proved.
c. The case falls under any of the
exceptions to the application of foreign
law.
● When the foreign law is CONTRARY to
an important PUBLIC POLICY of the
forum;
● When the foreign law is PENAL in
nature;
● When the foreign law is
PROCEDURAL in nature;
● When the foreign law is purely FISCAL
OR ADMINISTRATIVE in nature;
● When the application of foreign law will
work UNDENIABLE INJUSTICE TO
CITIZENS of the forum;
● When the case involves REAL OR
PERSONAL PROPERTY situated in
the forum;
● When the application of the Foreign
law might ENDANGER THE VITAL
INTEREST of the state;
● When the foreign law is CONTRARY
TO GOOD MORALS
3. Personal Law
Importance of a Personal Law
An individual’s personal law follows him
wherever he is and governs those transactions
which affect him most closely.
a. Nationality
Importance of Nationality in the Philippines –
Regulates:
a) Civil status
b) Capacity
c) Condition
d) Family rights and duties
e) Laws on succession
f) Capacity to succeed
Determination of Nationality
According to Article IV of the 1987 Constitution,
the following are Filipino citizens:
Page 10 of 532
CIVIL LAW
a. Those who are citizens of the Philippines at
the time of the adoption of the Constitution
(1987)
b. Those whose fathers or mothers are
citizens of the Philippines
c. Those born before January 17, 1973 of
Filipino mothers, who elect Philippine
citizenship upon reaching the age of
majority
d. Those who are naturalized in accordance
with law
NATURAL-BORN CITIZENS
Natural-born citizens are those who are
citizens of the Philippines without having to
perform any act to acquire or perfect
citizenship.
The Philippines follows the jus sanguinis
principle which means the rule of descent or
blood. This is in contrast with the jus soli
principle where nationality is determined by the
law of the place of one’s birth.
NATURALIZED CITIZENS
Naturalized citizens refer those who
underwent a procedure provided by law in
order to acquire or perfect citizenship.
Qualifications for Applicants [Sec. 3, RA
9139]
Place of Must be born in the
birth Philippines
Must have resided in the
Residence
Philippines since birth
At least 18 at the time of filing
Age
the petition
Must be of good moral
character
Must believe in the underlying
principles of the Constitution
Character
Must have conducted self in a
proper and irreproachable
manner during entire period
of residence
Must have received primary
and secondary education in
Education
any public or private
educational institution duly
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
recognized by the DECS,
where Philippine history,
government and civics are
taught and prescribed as part
of the school curriculum
Should the applicant have
minor children of school age,
Children said children must be
enrolled in schools
mentioned above
Must have a known trade,
business, profession or lawful
occupation
Must derive income sufficient
to support self and family
Occupation
NOT APPLICABLE to
applicants who are college
degree holders but are
unable to practice because of
their citizenship
Must be able to read, write,
Language AND speak Filipino or any of
the dialects
Must have mingled with
Filipinos; evinced a sincere
Conduct desire to learn and embrace
custom traditions and ideals
of the Filipino people
Disqualification
The following cannot be naturalized [Sec. 4,
Commonwealth Act No. 473]:
a) Commission of a crime involving moral
turpitude
b) Not receiving and dealing with Filipinos in
his home or visiting Filipino homes in the
community in a spirit of friendship,
friendliness and equality without any
discrimination
c) Applicant’s country does not grant
reciprocal rights to Filipino citizens at the
time of the hearing of his application.
d) Persons opposed to organized
government or affiliated with any
association or group of persons who
uphold and teach doctrines opposing all
organized governments
e) Persons defending or teaching the
necessity or propriety of violence, personal
Page 11 of 532
CIVIL LAW
assault, or assassination for the success
and predominance of their ideas
f) Polygamists or believers in the practice of
polygamy
g) Persons suffering from mental alienation or
incurable contagious diseases
h) Citizens or subjects of nations with whom
the United States and the Philippines are
at war, during the period of such war
Rationale: Naturalization is a privilege and not
a right. The law must be strictly construed
against the applicant.
Derivative Citizenship [Sec. 15, Com. Act No.
473]
a. Wife shall be deemed a citizen if she is:
o Any woman who is now or may
hereafter be married to a citizen of
the Philippines; and
o Might herself be lawfully
naturalized.
b. Minor children born in the Philippines shall
be considered citizens
c. FOREIGN-BORN minor children:
o IN THE PHILIPPINES at the time
of naturalization: shall
automatically become Philippine
citizens;
o NOT IN THE PHILIPPINES at the
time of naturalization: deemed a
Filipino citizen only during his
minority. Unless, he begins to
reside permanently in the
Philippines when still a minor.
d. FOREIGN-BORN children AFTER
NATURALIZATION of parent are
considered citizens if:
o He registers himself as a Philippine
citizen; and
o Take the necessary oath of
allegiance;
o Within 1 year from reaching the age
of majority
Loss of Citizenship
a. By naturalization in foreign countries;
b. By express renunciation of citizenship;
c. By subscribing to an oath of allegiance to
support the constitution or laws of a foreign
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

country upon attaining 21 years of age or Examples

more, subject to certain exceptions; • Child born of parents who are nationals of
d. By rendering service to, or accepting a country applying jus sanguinis in a
commission in the armed forces of a country applying jus soli principle;
foreign country, subject to certain • Citizen who marries an alien may acquire
exceptions; the citizenship of his/her spouse if the
e. By having been declared by competent spouse’s national law allows.
authority, a deserter of the Philippine
armed forces in time of war, unless Effective nationality
pardoned; In the determination of the rights of an
f. By marriage of a woman to a foreigner, if individual who may claim multiple nationality in
by virtue of the laws of her husband’s a third state, the ICJ applied the principle of
country, she acquires nationality; “effective nationality,” i.e. that based on
g. By cancellation of the certificate of stronger factual ties between the person
naturalization concerned and one of the States whose
1) It was obtained fraudulently or illegally; nationality is involved. [Nottebohm Case
2) Person naturalized shall return to his (Liechtenstein v. Guatemala [1955] ICJ Rep 4)]
native country or to some foreign
country and establish his permanent Statelessness
residence therein within 5 years from Types
the issuance of the certificate; De Jure De Facto
3) Petition was made on an invalid An individual who An individual
declaration of intention; has been stripped possessed of a
4) Minor children failed to graduate from of his nationality nationality but whose
the schools required through the fault by his own former country does not give
of their parents either by neglect to government them protection
support them or by transfer to another without having an outsider their own
school; opportunity to territory. Commonly
5) Naturalized citizen allowed himself to acquire another. known as refugees.
be used as a dummy.
Remedies :
Methods of reacquiring Philippine citizenship a. Convention on the Status of Refugees
[Frivaldo v. COMELEC, G.R. No. 87193 provided some basic rights of stateless
(1989)] persons.
a. By direct act of Congress; b. Convention on the Reduction on
b. By naturalization; Statelessness enumerates certain
c. By repatriation. conditions such as marriage, divorce,
adoption, naturalization, expatriation,
PROBLEMS IN APPLYING NATIONALITY under which an individual would not lose
PRINCIPLE nationality at the risk of becoming
stateless, unless a new nationality is
Dual or Multiple Citizenship provided. Also prohibits states from
An individual can be claimed as a national of 2 depriving their nationals of their identity as
or more states pursuant to the rule that each punishment or a discriminatory instrument
State determine who its own nationals are. for political, religious or ethnic reasons
[Hague Convention on Conflict of National
Laws] b. Domicile

Domicile is defined by municipal law (Philippine

Law) and private international law.

Page 12 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Under municipal law Kinds of Domicile

For the exercise of civil rights and the fulfillment Refers to a person’s
of civil obligations, the domicile of natural domicile at birth
persons is the place of their habitual residence. Legitimate child: domicile of
Domicile of
[Art. 50, CC] father
origin
For juridical persons: domicile is determined by Illegitimate child: domicile of
the law creating or recognizing it. In the mother
absence thereof it shall be understood to be the Freely chosen by a person
place where their legal representation or place sui juris
of business is. Domicile of
Acquired by the
Choice
concurrence of physical
Under private international law (Voluntary
presence in the new place
The place with which a person has a settled Domicile)
and unqualified intention to
connection for certain legal purposes, either make that place one’s home
because his home is there or because that Domicile assigned to a
place is assigned to him by law. [Restatement person legally incapable of
(First) of Conflict of Laws] choosing their own domicile
Minors: follow the domicile
To acquire a domicile, there must be of the parents
concurrence of intention to make it one’s
domicile and physical presence. Those with mental
Constructive
disabilities:
General Rules on Domicile Domicile
GR: inherent inability to
a. No person shall be without a domicile. decide where to make his
b. A person’s domicile of origin prevails until home
he acquires a new domicile. EXN: If it is shown that the
c. A person can have only one domicile for a person is capable of
given purpose or a given time under the law understanding his act and
of a particular State. its consequences
General Rule: A person cannot have two
simultaneous domiciles. How one’s domicile of origin is lost
a. Actual removal or change of domicile
Exception: Domicile may vary depending on b. A bona fide intention of abandoning the
the purpose (e.g. domicile for divorce will be former residence and establishing a new
different from domicile for the purpose of one
running for public office.) c. Acts which correspond with the purpose

d. It establishes a connection between a In the absence of concurrence of all these, the

person and a particular territorial unit.
e. The burden of proving a change of domicile
is upon whoever alleges that a change has
been secured.
Without overwhelming evidence to show a
change of domicile, the court will decide in
favor of the continuance of an existing
domicile.
domicile of origin is deemed to continue.
[Pundaodaya v. COMELEC, G.R. No. 179313
(2009)]
c. Principles on Personal Status
And Capacity
Personal status
Includes both condition and capacity.

Page 13 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Embraces such matters as: for a number of years (followed by the

a. The beginning and end of human Philippines)
personality b. A person’s unexplained absence is
b. Capacity to have rights in general judicially investigated and established
c. Capacity to engage in legal transactions which results in legal effects similar to
d. Protection of personal interests those of death
e. Family relations, particularly the relations c. A judicial decree shall have to be issued
between: declaring the person dead before the legal
1. Husband wife effects of death take place.
2. Parent and child
3. Guardian and ward Name
f. Transactions of family law, especially: General Rule: No person can change his
1. Marriage name or surname without judicial authority.
2. Divorce
3. Separation Exceptions (according to Jurisprudence):
4. Adoption a. That the name is ridiculous or tainted with
5. Legitimation dishonor or extremely difficult to
6. Emancipation pronounce.
g. Succession (both testate and intestate) b. When the change is necessary to avoid
confusion
Capacity c. When the right to a new name is a
The union of juridical capacity and capacity to consequence of a change in status
act PRODUCES complete civil capacity. d. A sincere desire to adopt a Filipino name to
erase signs of a former alien nationality
Juridical Capacity Capacity to Act which unduly hamper social and business
the fitness of a man life.
the power to do acts
to be the subject of
with juridical effects Whether an alien’s change of name is valid
legal relations
DEPENDS SOLELY ON HIS PERSONAL
Legislative Jurisdiction Distinguished from LAW.
Judicial Jurisdiction
Status, once established by the personal law of Age of Majority
the party, is given UNIVERSAL Age of majority is determined by the
RECOGNITION. individual’s personal law.

Beginning and End of Personality Capacity

The determination of the exact moment Capacity to act is governed by his personal
personality begins is referred to the individual’s law.
personal law.
The incapacities attached to his legal status go
A declaration of death issued by a competent with him wherever he is.
court is considered valid for all purposes. Upon
the death of a person, some of his rights and 3. Choice of Law Problems
obligations are totally extinguished while others
are passed on to his successors. a. CHOICE-OF-LAW IN FAMILY
RELATIONS
Absence
Three ways of addressing conflict of laws
Art. 15, CC. Laws relating to family rights and
problem regarding absence:
duties, or to the status, condition and legal
a. There is a rebuttable presumption that a
person is dead when he has been absent

Page 14 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
capacity of persons are binding upon citizens
of the Philippines, even though living abroad.
Governing Law: Lex Nationalii.
i. Marriage
Philippine Policy on Marriage and the
Family
In case of doubt, courts will apply FORUM law
because marriage is greatly influenced by the
values of society. [Prof. Aguiling-Pangalangan]
Examples:
Sec. 2, Art. XV, 1987 Constitution. Marriage,
as an inviolable social institution, is the
foundation of the family and shall be protected
by the State.
Art. 220, CC. In case of doubt, all
presumptions favor the solidarity of the family.
Thus, every intendment of law or facts leans
toward the validity of the marriage , the
indissolubility of the marriage bonds, the
legitimacy of children, the community of
property during the marriage, the authority of
parents over their children, and the validity of
defense for any member of the family in case
of unlawful aggression.
EXTRINSIC Validity of Marriage: Lex Loci
Celebrationis
Covers questions relating to formalities or
“external conduct required of the parties or of
third persons especially of public officers,
necessary to the formation of a legally valid
marriage.”
All States recognize as valid marriages
celebrated in foreign countries if they complied
with the formalities prescribed therein [The
Hague Convention].
All marriages solemnized outside the
Philippines in accordance with the laws in force
in the country where they were solemnized,
and valid there as such, shall also be valid in
this country. [par. 1, Art. 26, FC]
Page 15 of 532
CIVIL LAW
Exceptions to the rule of lex loci
celebrationis: Lex nationalii
a. Either/both parties are below 18 years old
b. Bigamous or polygamous marriages
c. Subsequent marriage without recording:
1. The judgment of nullity of the first
marriage
2. Partition and distribution of the
properties of the spouses
3. Delivery of the children’s presumptive
legitimes
d. Mistake as to identity of the contracting
party
e. One of the parties was psychologically
incapacitated to comply with the essential
marital obligations
f. Incestuous marriages
g. Void by reason of public policy
The abovementioned involve the question
capacity to marry, which is a substantive
requirement for marriage. Since personal law
governs questions of intrinsic validity, the
above are exceptions to lex loci celebrationis
because they are controlled by lex nationalii.
INTRINSIC Validity of Marriage: Personal
Law of the Parties – Lex Nationalii or Lex
Domicilii
Refers to the capacity or general ability of a
person to marry (e.g. age requirement and
parental consent).
Governing Law: Personal Law, either Lex
Nationalii or Lex Domicilii
Note: In the Philippines: Lex Nationalii
Consular marriages
Marriage celebrated by a diplomatic agent or
consular official in accordance with his state
law shall be considered valid as long as it is not
prohibited by the state of celebration. [Art. 9,
Hague Convention on Validity of Marriages]
Under Philippine law, marriage between
spouses with at least one Filipino officiated by
the Philippine consul general, consul or vice
consul must comply with the
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
FORMAL AND INTRINSIC REQUIREMENTS
under Philippine law:
a. Valid marriage license and due publication
and registration
b. Alien must comply with marriage requisites
under his or her national law and submit a
certificate of legal capacity to contract
marriage issued by his diplomatic or
consular office
c. Stateless persons or refugees shall submit
an affidavit in lieu of the certificate of legal
capacity.
Effects of Marriage
Refers to personal relations between spouses
and property relations of the spouses
Governing Law on Personal Relations
Between the Spouses: Lex Nationalii
If the spouses are of different nationalities,
generally, the national law of the husband may
prevail if not contrary to law, customs and good
morals of the form.
Under Philippine law, both husband and wife
have the right to fix the family domicile. [Art. 69,
FC]
Property Relations of Spouses
According to The Hague Convention on the
Law applicable to Matrimonial Property
Regimes, the governing law is:
a. Internal law designated by the spouses
before the marriage; or
b. In the absence thereof, the internal law of
the state in which both spouses fix their
habitual residence.
Principle of Immutability
The applicable law continues notwithstanding
any change of their nationality or habitual
residence. [Art. 7, The Hague Convention on
Matrimonial Property Regime]
Governing Law for Filipinos: Philippine Law
Under Philippine law, absent a contrary
stipulation in a marriage settlement, property
relations are governed by Philippine law [Art.
80, FC]
Page 16 of 532
CIVIL LAW
Exceptions
a. Both spouses are aliens
b. With respect to extrinsic validity of
contracts affecting property not situated in
the Philippines and executed in the country
where property is located
c. With respect to extrinsic validity of
contracts entered into in the Philippines but
affecting property situated in a foreign
country requiring different formalities
ii. Divorce and Separation
Divorce may be either:
a. Absolute – termination of legal relationship
between spouses by an act of law
b. Relative or Legal Separation – separation
from bed and board
Rules
a. Bases of obtaining jurisdiction over divorce
proceedings:
1. Domicile of one of the parties; or
2. Marital domicile
b. On grant of divorce:
1. Lex nationalii;
2. Lex Fori (law of the country in which an
action is brought)
Divorce Decrees Obtained by Filipinos
In the case of Republic v. Tanedo-Manalo
[G.R. No. 221029 (2018)], the Supreme Court
declared that “the foreign divorce secured by a
Filipino against a foreign spouse is also
considered valid in the Philippines.”
iii. Annulment and Declaration of
Nullity
Governing Law
Traditional approach: LEX LOCI
CELEBRATIONIS
Modern Approach: LAW OF THE MARITAL
DOMICILE because it is considered to have
the most significant interest in the status of the
spouses.
Note: In both choice of law approaches, since
the action turns on the validity of the marriage,
lex fori, which is crucial in divorce, plays no
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
DÉPEÇAGE
Phenomenon where “different aspects of a
case involving a foreign element may be
governed by different systems of laws.”
● A case may be dissected into different
issues, each analyzed as to which law shall
apply.
● When such issue by issue analysis results
in the application of different laws to
different issues, then dépeçage occurs.
● Dépeçage is the effect of issue by issue
analysis.
PUBLIC POLICY EXEMPTION
The courts of the forum will not enforce any
foreign claim obnoxious to the forum’s public
policy. To enforce the one-year prescriptive
period of the law of Bahrain...would contravene
the public policy on the protection to
labor…[therefore], the applicable law on
prescription is the Philippine law [Cadalin v.
POEA Administrator, 238 SCRA 721 (1994)].
2. Notice and Proof of Foreign Law
Extent of Judicial Notice
General Rule: Judge is not authorized to take
judicial notice of foreign law and is presumed
to know only domestic law.
Exception: When judicial notice is allowed.
[Rule 129, Section 1, Rules of Court]
It is allowed when the court is evidently familiar
with such foreign law. [Delgado v. Republic,
G.R. No. L-2546 (1950)]
Familiarity with the foreign law may be because
Philippine law was derived therefrom or the
judge had previously ruled upon it in other
cases. [Coquia and Aguiling-Pangalangan]
Burden of Proof
The party whose cause of action or defense
depended upon the foreign law has the burden
of proving the foreign law. [“He who alleges
must prove”]
Such foreign law is treated as a question of fact
to be properly pleade and proved in conformity
Page 9 of 532
CIVIL LAW
with the law of evidence of the state where it is
presented.
Proof of Foreign Law
Methods to prove foreign law
a) Official publication of the law (and
consularized) [Rule 132, Section 24, Rules
of Court]
b) Copy of the law attested by the officer
having the legal custody of the record or by
his deputy. (and consularized) [Rule 132,
Section 24, Rules of Court]
c) Learned treatises and expert witness for
unwritten foreign law [Rule 130, Section
46, Rules of Court]
Effect of Failure to Plead and Prove Foreign
Law
a. Dismiss the case for inability to establish a
cause of action
b. Processual Presumption / Presumed
Identity – assume that the foreign law is
the same as the law of the forum
c. Apply the law of the forum
Apostille Convention
The Apostille Convention on Authentication of
Documents took effect in the Philippines on
May 14, 2019. This means that the DFA will
no longer issue Authentication Certificates
and instead will affix an Apostille to public
documents for use abroad as proof of
authentication in Apostille-contracting parties.
An apostille certifies “the authenticity of the
signature, the capacity in which the person
signing the document has acted and, where
appropriate, the identity of the seal or stamp
which it bears.” [Art. 5, Apostille Convention]
Exceptions to the Application of Foreign
Law
a. A specific law of the forum decrees that
internal law should apply
Examples:
● Real and personal property are subject
to the law of the country where they are
situated. [Art. 16, CC]
● Revocation of a will done outside the
Philippines may be valid if done
according to the law of the place where
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
the will was made or lex domicilii. [Art.
829, CC]
● Filipinos are prohibited from making
joint wills even when done abroad. [Art.
819, CC]
b. The proper foreign law was not properly
pleaded and proved.
c. The case falls under any of the
exceptions to the application of foreign
law.
● When the foreign law is CONTRARY to
an important PUBLIC POLICY of the
forum;
● When the foreign law is PENAL in
nature;
● When the foreign law is
PROCEDURAL in nature;
● When the foreign law is purely FISCAL
OR ADMINISTRATIVE in nature;
● When the application of foreign law will
work UNDENIABLE INJUSTICE TO
CITIZENS of the forum;
● When the case involves REAL OR
PERSONAL PROPERTY situated in
the forum;
● When the application of the Foreign
law might ENDANGER THE VITAL
INTEREST of the state;
● When the foreign law is CONTRARY
TO GOOD MORALS
3. Personal Law
Importance of a Personal Law
An individual’s personal law follows him
wherever he is and governs those transactions
which affect him most closely.
a. Nationality
Importance of Nationality in the Philippines –
Regulates:
a) Civil status
b) Capacity
c) Condition
d) Family rights and duties
e) Laws on succession
f) Capacity to succeed
Determination of Nationality
According to Article IV of the 1987 Constitution,
the following are Filipino citizens:
Page 10 of 532
CIVIL LAW
a. Those who are citizens of the Philippines at
the time of the adoption of the Constitution
(1987)
b. Those whose fathers or mothers are
citizens of the Philippines
c. Those born before January 17, 1973 of
Filipino mothers, who elect Philippine
citizenship upon reaching the age of
majority
d. Those who are naturalized in accordance
with law
NATURAL-BORN CITIZENS
Natural-born citizens are those who are
citizens of the Philippines without having to
perform any act to acquire or perfect
citizenship.
The Philippines follows the jus sanguinis
principle which means the rule of descent or
blood. This is in contrast with the jus soli
principle where nationality is determined by the
law of the place of one’s birth.
NATURALIZED CITIZENS
Naturalized citizens refer those who
underwent a procedure provided by law in
order to acquire or perfect citizenship.
Qualifications for Applicants [Sec. 3, RA
9139]
Place of Must be born in the
birth Philippines
Must have resided in the
Residence
Philippines since birth
At least 18 at the time of filing
Age
the petition
Must be of good moral
character
Must believe in the underlying
principles of the Constitution
Character
Must have conducted self in a
proper and irreproachable
manner during entire period
of residence
Must have received primary
and secondary education in
Education
any public or private
educational institution duly
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
recognized by the DECS,
where Philippine history,
government and civics are
taught and prescribed as part
of the school curriculum
Should the applicant have
minor children of school age,
Children said children must be
enrolled in schools
mentioned above
Must have a known trade,
business, profession or lawful
occupation
Must derive income sufficient
to support self and family
Occupation
NOT APPLICABLE to
applicants who are college
degree holders but are
unable to practice because of
their citizenship
Must be able to read, write,
Language AND speak Filipino or any of
the dialects
Must have mingled with
Filipinos; evinced a sincere
Conduct desire to learn and embrace
custom traditions and ideals
of the Filipino people
Disqualification
The following cannot be naturalized [Sec. 4,
Commonwealth Act No. 473]:
a) Commission of a crime involving moral
turpitude
b) Not receiving and dealing with Filipinos in
his home or visiting Filipino homes in the
community in a spirit of friendship,
friendliness and equality without any
discrimination
c) Applicant’s country does not grant
reciprocal rights to Filipino citizens at the
time of the hearing of his application.
d) Persons opposed to organized
government or affiliated with any
association or group of persons who
uphold and teach doctrines opposing all
organized governments
e) Persons defending or teaching the
necessity or propriety of violence, personal
Page 11 of 532
CIVIL LAW
assault, or assassination for the success
and predominance of their ideas
f) Polygamists or believers in the practice of
polygamy
g) Persons suffering from mental alienation or
incurable contagious diseases
h) Citizens or subjects of nations with whom
the United States and the Philippines are
at war, during the period of such war
Rationale: Naturalization is a privilege and not
a right. The law must be strictly construed
against the applicant.
Derivative Citizenship [Sec. 15, Com. Act No.
473]
a. Wife shall be deemed a citizen if she is:
o Any woman who is now or may
hereafter be married to a citizen of
the Philippines; and
o Might herself be lawfully
naturalized.
b. Minor children born in the Philippines shall
be considered citizens
c. FOREIGN-BORN minor children:
o IN THE PHILIPPINES at the time
of naturalization: shall
automatically become Philippine
citizens;
o NOT IN THE PHILIPPINES at the
time of naturalization: deemed a
Filipino citizen only during his
minority. Unless, he begins to
reside permanently in the
Philippines when still a minor.
d. FOREIGN-BORN children AFTER
NATURALIZATION of parent are
considered citizens if:
o He registers himself as a Philippine
citizen; and
o Take the necessary oath of
allegiance;
o Within 1 year from reaching the age
of majority
Loss of Citizenship
a. By naturalization in foreign countries;
b. By express renunciation of citizenship;
c. By subscribing to an oath of allegiance to
support the constitution or laws of a foreign
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

country upon attaining 21 years of age or Examples

more, subject to certain exceptions; • Child born of parents who are nationals of
d. By rendering service to, or accepting a country applying jus sanguinis in a
commission in the armed forces of a country applying jus soli principle;
foreign country, subject to certain • Citizen who marries an alien may acquire
exceptions; the citizenship of his/her spouse if the
e. By having been declared by competent spouse’s national law allows.
authority, a deserter of the Philippine
armed forces in time of war, unless Effective nationality
pardoned; In the determination of the rights of an
f. By marriage of a woman to a foreigner, if individual who may claim multiple nationality in
by virtue of the laws of her husband’s a third state, the ICJ applied the principle of
country, she acquires nationality; “effective nationality,” i.e. that based on
g. By cancellation of the certificate of stronger factual ties between the person
naturalization concerned and one of the States whose
1) It was obtained fraudulently or illegally; nationality is involved. [Nottebohm Case
2) Person naturalized shall return to his (Liechtenstein v. Guatemala [1955] ICJ Rep 4)]
native country or to some foreign
country and establish his permanent Statelessness
residence therein within 5 years from Types
the issuance of the certificate; De Jure De Facto
3) Petition was made on an invalid An individual who An individual
declaration of intention; has been stripped possessed of a
4) Minor children failed to graduate from of his nationality nationality but whose
the schools required through the fault by his own former country does not give
of their parents either by neglect to government them protection
support them or by transfer to another without having an outsider their own
school; opportunity to territory. Commonly
5) Naturalized citizen allowed himself to acquire another. known as refugees.
be used as a dummy.
Remedies :
Methods of reacquiring Philippine citizenship a. Convention on the Status of Refugees
[Frivaldo v. COMELEC, G.R. No. 87193 provided some basic rights of stateless
(1989)] persons.
a. By direct act of Congress; b. Convention on the Reduction on
b. By naturalization; Statelessness enumerates certain
c. By repatriation. conditions such as marriage, divorce,
adoption, naturalization, expatriation,
PROBLEMS IN APPLYING NATIONALITY under which an individual would not lose
PRINCIPLE nationality at the risk of becoming
stateless, unless a new nationality is
Dual or Multiple Citizenship provided. Also prohibits states from
An individual can be claimed as a national of 2 depriving their nationals of their identity as
or more states pursuant to the rule that each punishment or a discriminatory instrument
State determine who its own nationals are. for political, religious or ethnic reasons
[Hague Convention on Conflict of National
Laws] b. Domicile

Domicile is defined by municipal law (Philippine

Law) and private international law.

Page 12 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Under municipal law Kinds of Domicile

For the exercise of civil rights and the fulfillment Refers to a person’s
of civil obligations, the domicile of natural domicile at birth
persons is the place of their habitual residence. Legitimate child: domicile of
Domicile of
[Art. 50, CC] father
origin
For juridical persons: domicile is determined by Illegitimate child: domicile of
the law creating or recognizing it. In the mother
absence thereof it shall be understood to be the Freely chosen by a person
place where their legal representation or place sui juris
of business is. Domicile of
Acquired by the
Choice
concurrence of physical
Under private international law (Voluntary
presence in the new place
The place with which a person has a settled Domicile)
and unqualified intention to
connection for certain legal purposes, either make that place one’s home
because his home is there or because that Domicile assigned to a
place is assigned to him by law. [Restatement person legally incapable of
(First) of Conflict of Laws] choosing their own domicile
Minors: follow the domicile
To acquire a domicile, there must be of the parents
concurrence of intention to make it one’s
domicile and physical presence. Those with mental
Constructive
disabilities:
General Rules on Domicile Domicile
GR: inherent inability to
a. No person shall be without a domicile. decide where to make his
b. A person’s domicile of origin prevails until home
he acquires a new domicile. EXN: If it is shown that the
c. A person can have only one domicile for a person is capable of
given purpose or a given time under the law understanding his act and
of a particular State. its consequences
General Rule: A person cannot have two
simultaneous domiciles. How one’s domicile of origin is lost
a. Actual removal or change of domicile
Exception: Domicile may vary depending on b. A bona fide intention of abandoning the
the purpose (e.g. domicile for divorce will be former residence and establishing a new
different from domicile for the purpose of one
running for public office.) c. Acts which correspond with the purpose

d. It establishes a connection between a In the absence of concurrence of all these, the

person and a particular territorial unit.
e. The burden of proving a change of domicile
is upon whoever alleges that a change has
been secured.
Without overwhelming evidence to show a
change of domicile, the court will decide in
favor of the continuance of an existing
domicile.
domicile of origin is deemed to continue.
[Pundaodaya v. COMELEC, G.R. No. 179313
(2009)]
c. Principles on Personal Status
And Capacity
Personal status
Includes both condition and capacity.

Page 13 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Embraces such matters as: for a number of years (followed by the

a. The beginning and end of human Philippines)
personality b. A person’s unexplained absence is
b. Capacity to have rights in general judicially investigated and established
c. Capacity to engage in legal transactions which results in legal effects similar to
d. Protection of personal interests those of death
e. Family relations, particularly the relations c. A judicial decree shall have to be issued
between: declaring the person dead before the legal
1. Husband wife effects of death take place.
2. Parent and child
3. Guardian and ward Name
f. Transactions of family law, especially: General Rule: No person can change his
1. Marriage name or surname without judicial authority.
2. Divorce
3. Separation Exceptions (according to Jurisprudence):
4. Adoption a. That the name is ridiculous or tainted with
5. Legitimation dishonor or extremely difficult to
6. Emancipation pronounce.
g. Succession (both testate and intestate) b. When the change is necessary to avoid
confusion
Capacity c. When the right to a new name is a
The union of juridical capacity and capacity to consequence of a change in status
act PRODUCES complete civil capacity. d. A sincere desire to adopt a Filipino name to
erase signs of a former alien nationality
Juridical Capacity Capacity to Act which unduly hamper social and business
the fitness of a man life.
the power to do acts
to be the subject of
with juridical effects Whether an alien’s change of name is valid
legal relations
DEPENDS SOLELY ON HIS PERSONAL
Legislative Jurisdiction Distinguished from LAW.
Judicial Jurisdiction
Status, once established by the personal law of Age of Majority
the party, is given UNIVERSAL Age of majority is determined by the
RECOGNITION. individual’s personal law.

Beginning and End of Personality Capacity

The determination of the exact moment Capacity to act is governed by his personal
personality begins is referred to the individual’s law.
personal law.
The incapacities attached to his legal status go
A declaration of death issued by a competent with him wherever he is.
court is considered valid for all purposes. Upon
the death of a person, some of his rights and 3. Choice of Law Problems
obligations are totally extinguished while others
are passed on to his successors. a. CHOICE-OF-LAW IN FAMILY
RELATIONS
Absence
Three ways of addressing conflict of laws
Art. 15, CC. Laws relating to family rights and
problem regarding absence:
duties, or to the status, condition and legal
a. There is a rebuttable presumption that a
person is dead when he has been absent

Page 14 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
capacity of persons are binding upon citizens
of the Philippines, even though living abroad.
Governing Law: Lex Nationalii.
i. Marriage
Philippine Policy on Marriage and the
Family
In case of doubt, courts will apply FORUM law
because marriage is greatly influenced by the
values of society. [Prof. Aguiling-Pangalangan]
Examples:
Sec. 2, Art. XV, 1987 Constitution. Marriage,
as an inviolable social institution, is the
foundation of the family and shall be protected
by the State.
Art. 220, CC. In case of doubt, all
presumptions favor the solidarity of the family.
Thus, every intendment of law or facts leans
toward the validity of the marriage , the
indissolubility of the marriage bonds, the
legitimacy of children, the community of
property during the marriage, the authority of
parents over their children, and the validity of
defense for any member of the family in case
of unlawful aggression.
EXTRINSIC Validity of Marriage: Lex Loci
Celebrationis
Covers questions relating to formalities or
“external conduct required of the parties or of
third persons especially of public officers,
necessary to the formation of a legally valid
marriage.”
All States recognize as valid marriages
celebrated in foreign countries if they complied
with the formalities prescribed therein [The
Hague Convention].
All marriages solemnized outside the
Philippines in accordance with the laws in force
in the country where they were solemnized,
and valid there as such, shall also be valid in
this country. [par. 1, Art. 26, FC]
Page 15 of 532
CIVIL LAW
Exceptions to the rule of lex loci
celebrationis: Lex nationalii
a. Either/both parties are below 18 years old
b. Bigamous or polygamous marriages
c. Subsequent marriage without recording:
1. The judgment of nullity of the first
marriage
2. Partition and distribution of the
properties of the spouses
3. Delivery of the children’s presumptive
legitimes
d. Mistake as to identity of the contracting
party
e. One of the parties was psychologically
incapacitated to comply with the essential
marital obligations
f. Incestuous marriages
g. Void by reason of public policy
The abovementioned involve the question
capacity to marry, which is a substantive
requirement for marriage. Since personal law
governs questions of intrinsic validity, the
above are exceptions to lex loci celebrationis
because they are controlled by lex nationalii.
INTRINSIC Validity of Marriage: Personal
Law of the Parties – Lex Nationalii or Lex
Domicilii
Refers to the capacity or general ability of a
person to marry (e.g. age requirement and
parental consent).
Governing Law: Personal Law, either Lex
Nationalii or Lex Domicilii
Note: In the Philippines: Lex Nationalii
Consular marriages
Marriage celebrated by a diplomatic agent or
consular official in accordance with his state
law shall be considered valid as long as it is not
prohibited by the state of celebration. [Art. 9,
Hague Convention on Validity of Marriages]
Under Philippine law, marriage between
spouses with at least one Filipino officiated by
the Philippine consul general, consul or vice
consul must comply with the
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
FORMAL AND INTRINSIC REQUIREMENTS
under Philippine law:
a. Valid marriage license and due publication
and registration
b. Alien must comply with marriage requisites
under his or her national law and submit a
certificate of legal capacity to contract
marriage issued by his diplomatic or
consular office
c. Stateless persons or refugees shall submit
an affidavit in lieu of the certificate of legal
capacity.
Effects of Marriage
Refers to personal relations between spouses
and property relations of the spouses
Governing Law on Personal Relations
Between the Spouses: Lex Nationalii
If the spouses are of different nationalities,
generally, the national law of the husband may
prevail if not contrary to law, customs and good
morals of the form.
Under Philippine law, both husband and wife
have the right to fix the family domicile. [Art. 69,
FC]
Property Relations of Spouses
According to The Hague Convention on the
Law applicable to Matrimonial Property
Regimes, the governing law is:
a. Internal law designated by the spouses
before the marriage; or
b. In the absence thereof, the internal law of
the state in which both spouses fix their
habitual residence.
Principle of Immutability
The applicable law continues notwithstanding
any change of their nationality or habitual
residence. [Art. 7, The Hague Convention on
Matrimonial Property Regime]
Governing Law for Filipinos: Philippine Law
Under Philippine law, absent a contrary
stipulation in a marriage settlement, property
relations are governed by Philippine law [Art.
80, FC]
Page 16 of 532
CIVIL LAW
Exceptions
a. Both spouses are aliens
b. With respect to extrinsic validity of
contracts affecting property not situated in
the Philippines and executed in the country
where property is located
c. With respect to extrinsic validity of
contracts entered into in the Philippines but
affecting property situated in a foreign
country requiring different formalities
ii. Divorce and Separation
Divorce may be either:
a. Absolute – termination of legal relationship
between spouses by an act of law
b. Relative or Legal Separation – separation
from bed and board
Rules
a. Bases of obtaining jurisdiction over divorce
proceedings:
1. Domicile of one of the parties; or
2. Marital domicile
b. On grant of divorce:
1. Lex nationalii;
2. Lex Fori (law of the country in which an
action is brought)
Divorce Decrees Obtained by Filipinos
In the case of Republic v. Tanedo-Manalo
[G.R. No. 221029 (2018)], the Supreme Court
declared that “the foreign divorce secured by a
Filipino against a foreign spouse is also
considered valid in the Philippines.”
iii. Annulment and Declaration of
Nullity
Governing Law
Traditional approach: LEX LOCI
CELEBRATIONIS
Modern Approach: LAW OF THE MARITAL
DOMICILE because it is considered to have
the most significant interest in the status of the
spouses.
Note: In both choice of law approaches, since
the action turns on the validity of the marriage,
lex fori, which is crucial in divorce, plays no
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
substantial role in annulment and declaration of
nullity.
Bases of Jurisdiction
a. Lex loci celebrationis,
b. Law of marital domicile,
c. Any court which acquires personal
jurisdiction over the parties.
iv. Parental Relations
Includes paternity which is the civil status of the
father or mother with respect to the child and
filiation which is the status of the child in
relation to his parents.
Governing Law
Legitimacy of the child is submitted to the
personal law of the parents which is either: 1)
Lex nationalii; or 2) Lex domicilii.
Note: In the Philippines, it is determined by the
national law of the parents. If the parents
belong to different nationalities, it is determined
by the national law of the father.
Determination of Legitimacy of a Child
Kinds of filiations
a. Natural
1. Legitimate – governed by the personal
law of the father
2. Illegitimate – governed by the personal
law of the mother
b. Adopted
Parental Authority over the Child
Most countries follow the personal law of the
father.
In the Philippines, joint exercise of parental
authority by the father and mother [Art. 211,
FC]
v. Adoption
An act by which relations of paternity and
affiliation are recognized as legally existing
between persons not so related by nature.
Page 17 of 532
CIVIL LAW
Bases of Adoption Jurisdiction
General Rule: Child’s personal law, if the
adopter and adoptee have different domiciles
Exception: Adopter’s personal law is
considered, if the child’s domicile is merely
constructive
Governing law on the process of adoption: LEX
DOMICILII
b. CHOICE OF LAW IN PROPERTY
1. The Controlling Law
a. Immovables: LEX SITUS
1. Determined by the law of the place
where the land is situated
2. Connecting factor is immovable
itself and not the parties
b. Movables:
i. Lex Domicilii
Rights over movables are governed by the law
of owner’s domicile. For simplicity and
convenience because it is difficult to anticipate
where they may be situated at a given time.
ii. Lex Situs
Based on the state’s power over its territory.
State where property is located has the sole
power to decide the validity and effects of
transfer of the property.
iii. Lex Loci Actus
Law of the place where the transaction was
completed.
iv. Proper Law of The Forum
Law of the state having the most real
connection with the transfer.
Note: In the Philippines however, in light of
Article 16 of the CC, one need not classify the
subject property, as the aforementioned
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
provision expressly provides that, “real and
personal property are subject to the law of the
country where they are situated (LEX SITUS).”
Traditional approach – physically part of the
country and subject to the laws
Modern approach – situs is the place most
closely and significantly related to the issue
Thus, the only time the court has to classify the
subject property is when it is located in a
foreign country WHICH HAS A LAW THAT
DISTINGUISHES BETWEEN REAL AND
PERSONAL PROPERTY. [Coquia and
Aguiling-Pangalangan]
2. Capacity to Transfer or Acquire
Property
Real property – governed by the law of the
place where the property is located (LEX
SITUS)
3. Extrinsic and Intrinsic Validity of
Conveyances
Formalities, essential validity, and effects of
conveyance – governed by LEX SITUS.
Rationale: The validity and effect of
conveyance of property are treated as a
question of property rather than contract.
4. Exception to Lex Situs Rule
a. The transaction does not affect transfer
of title to/ownership of the land – LEX
INTENTIONIS or LEX VOLUNTATIS
b. Contracts where real property is
offered by way of a security for the
performance of an obligation such as a
loan.
1. LOAN – covered by rules on
ordinary contracts
2. MORTGAGE – LEX SITUS
c. Testate or intestate succession and
capacity to succeed – LEX
NATIONALII
Page 18 of 532
CIVIL LAW
5. Situs of Certain Properties
Situs of Personal Property for Tax
Purposes
The maxim mobilia sequuntur personam has
been viewed as a mere fiction of law having its
origins in considerations of general
convenience and public policy. It cannot be
applied to limit the right of the state to tax
property within its jurisdiction. It yields to
established facts of legal ownership, actual
presence, and control elsewhere, and cannot
be applied if it would result in inescapable and
patent injustice. [Wells Fargo Bank and Union
Trust Compny v. Collector, G.R. No. 46720
(1940)]
Situs of Money
Where such funds are located physically or
where the institution holding such funds is
located.
Situs of Debts
Unsettled in Philippine jurisdiction, however,
Prof. Aguiling-Pangalangan suggests that the
law which governs the contract from which the
debt arises shall also govern the transfer of the
debt.
Corporate Shares of Stock
i. For tax purposes – domicile of the
corporation
ii. For sale – place where the title to
the goods passes from the seller to
the buyer
c. CHOICE OF LAW IN
CONTRACTS
1. Extrinsic Validity of Contracts
LEX LOCI CELEBRATIONIS
Art. 17, CC. The forms and solemnities of
contracts, wills, and other public instruments
shall be governed by the laws of the country in
which they are executed.
When the acts referred to are executed before
the diplomatic or consular officials of the
Republic of the Philippines in a foreign country,
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
the solemnities established by Philippine laws
shall be observed in their execution.
This principle is derived from a broader
proposition that the place governs the act
(locus regit actum).
2. Intrinsic Validity of Contracts
LEX LOCI CONTRACTUS
Law of the place of making. Looks into where
“the last act is done which is necessary to bring
the binding agreement into being so far as the
acts of the parties are concerned.”
LEX LOCI SOLUTIONIS
Law of the place of performance governs all
matters relating to the:
a. Time
b. Place and manner of performance
c. Sufficiency of performance
d. Valid excuses for non-performance
LEX LOCI INTENTIONIS
Law intended by the parties. Intent may be
expressed in a choice-of-law provision, unless
contrary to law, morals, good customs, public
order or public policy of the Philippines [Art.
1306, CC]; or may be implied from the parties’
contemporaneous and subsequent acts.
3. Capacity to Enter into Contracts
Governed by the personal law of the parties –
a. LEX NATIONALII; or
b. LEX DOMICILII
4. Choice of Law Issues in Conflicts
Contracts Cases
Choice of Forum Clause
Under the principle of freedom of contract,
parties may stipulate the law to govern their
contract.
● Questions of venue, not jurisdiction
● Includes arbitration, not only choice of
court.
Page 19 of 532
CIVIL LAW
Contracts with Arbitration Clause
Arbitration clause – a provision in a contract
stipulating that any dispute arising from the
contract shall be submitted to a particular body
for arbitration.
An arbitration clause, stipulating that the
arbitral award is final and binding, does not
oust our courts of jurisdiction as the
international arbitral award, is still judicially
reviewable under certain conditions.
The pertinent features of R.A. 9285 applying
and incorporating the UNCITRAL Model Law
are the following: (1) the RTC must refer to
arbitration in proper cases; (2) foreign arbitral
awards must be confirmed by the RTC; (3) the
RTC has jurisdiction to review foreign arbitral
awards; (4) grounds for judicial review different
in domestic and foreign arbitral awards; (5)
RTC decision of assailed foreign arbitral award
appealable. [Korea Technologies v. Lerma,
G.R. No. 143581, 2008]
5. Adhesion Contracts
Contracts that are not negotiated by the parties
and drafted by only one dominant party. The
only participation of the other party would be to
affix his signature.
General Rule: Not void per se.
Exception: The court may not recognize the
law stipulated and invoke public interest or
public policy, when there is an undue
advantage made by a dominant party.
6. Special Contracts
a. Carriage of Goods by Sea
b. Contracts for International Air
Transportation
1. The Warsaw Convention was
concluded in order to establish uniform
rules and regulations on the liability of
international airline carriers in cases of
death, injuries of passengers, or loss or
damage of cargo.
2. Any action for damages may be
brought either:
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
a. In the court of the domicile of
the carrier; OR
b. In the principal place of
business of the carrier; OR
c. In the place of business of the
carrier through which the
contract has been made; OR
d. Before the court at the place of
destination.
c. The procedural rules of the forum shall
apply.
7. Limitations to Choice of Law
a. Parties may not select a law that has no
connection at all with the transaction or the
parties.
b. If the law selected should change, the law
as changed will govern.
Exception: If the change is so
revolutionary that it was never
contemplated by the parties.
c. Should not be interpreted to oust the
jurisdiction court already acquired over the
parties and the subject matter
d. Public policy deemed written into contracts
impressed with public interest
e. Cognovit Clauses / Confession of
Judgment Clauses – debtor may agree to
be subject to the jurisdiction of a specific
court in case of breach or default in
payment.
d. CHOICE OF LAW IN WILLS,
SUCCESSION AND
ADMINISTRATION OF
ESTATES
1. Extrinsic Validity of Wills
Includes age, testamentary capacity of the
testator, and the form of the will.
Art. 17, CC. The forms and solemnities of
contracts, wills, and other public instruments
shall be governed by the laws of the country in
which they are executed.
Page 20 of 532
CIVIL LAW
Art. 815, CC. When a Filipino is in a foreign
country, he is authorized to make a will in any
of the forms established by the law of the
country in which he may be. Such will may be
probated in the Philippines.
Art. 816, CC. The will of an alien who is abroad
produces effect in the Philippines if made with
the formalities prescribed by the law of the
place in which he resides, or according to the
formalities observed in his country, or in
conformity with those which this Code
prescribes.
Art. 817, CC. A will made in the Philippines by
a citizen or subject of another country, which is
executed in accordance with the law of the
country of which he is a citizen or subject, and
which might be proved and allowed by the law
of his own country, shall have the same effect
as if executed according to the laws of the
Philippines.
Filipino nationals
a. LEX LOCI CELEBRATIONIS – formalities
established by the law of the country where
the will is executed [Art. 17 and 815, CC]
b. LEX NATIONALII – formalities prescribed
under Philippine law
Note: There is no express provision, only by
analogy with rules applicable to aliens. The
ratio is that it cannot be assumed that the Code
places the Filipino citizen in a worse position
that the alien in relation to our law
For Aliens
a. LEX NATIONALII [Art. 816 and 817, CC]
b. LEX DOMICILII
c. LEX LOCI CELEBRATIONIS
With Regard to Joint Wills
a. By Filipinos: VOID under Philippine law on
the ground of public policy. [Art. 818, CC]
b. By Foreigners: VALID UNLESS it affects
heirs in the Philippines.
2. Intrinsic Validity of Wills
Governed by the national law of the decedent
[Art. 16, CC]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Includes issues of substance such as order of GR: Lex Loci

succession, amount of successional rights and Celebrationis
intrinsic validity of testamentary provisions [Art. EXN: Art. 35(1), (4), (5),
16, CC] (6), FC; Art. 36-38, FC.
Intrinsic Validity:
3. Interpretation of Wills Personal law
Personal relations
Governed by the rules of interpretation of the between spouses:
national law of the decedent [Art. 16, CC] Personal Law
Property relations: see
4. Revocation Art. 80, FC

When done in the Philippines Generally, lex rei sitae

Philippine Law applies Divorce and Lex fori for grounds of
Separation; divorce
Done outside the Philippines, by a person Grounds for
domiciled in the Philippines legal separation
a. LEX DOMICILII – Philippine Law Traditional Approach:
b. LEX LOCI ACTUS – Law of the place of Annulment and Lex loci celebrationis
revocation Declaration of Modern Approach: Lex
c. LEX LOCI CELEBRATIONIS – Law of the Nullity domicilii (marital
place where the will was made [Balane] domicile)
Determination of
Done outside the Philippines, by a non- legitimacy: personal law
domiciliary Parental authority:
a. LEX LOCI CELEBRATIONIS – Law of the Parental personal law of the father
place where the will was made relations Adoption: personal law of
b. LEX DOMICILII – Law of the place where the child if adopter and
testator was domiciled at the time of adoptee have different
revocation nationalities
PROPERTY
5. Probate
Immovables Lex situs
Lex domicilii
FORUM LAW governs because disallowance
Movables Lex situs
is essentially procedural in character.
Lex loci actus
However, the court will look into the law of the Property in the Lex situs, WON real or
foreign state where the will was made as to Philippines personal
whether the extrinsic requirements in the Extrinsic validity: Lex
execution of the will have been complied with. situs
Intrinsic validity: Lex situs
Conveyances
SUMMARY OF CHOICE OF LAW RULES UNLESS Lex intentionis
is different and is
Art. 15, CC and Art. 16, PROVED
Nationality CONTRACTS
CC
Art. 50, CC and Art. 51, Lex Loci Celebrationis
Domicile Extrinsic Validity UNLESS clear that the
CC
Personal Status Personal Law (either intention was otherwise
and Capacity Nationality or Domicile) Lex contractus
FAMILY RELATIONS Intrinsic Validity Lex solutionis
Marriage Extrinsic Validity: Lex intentionis

Page 21 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Capacity to Personal law

enter into G. HUMAN RELATIONS
contract
Interpretation of Lex intentionis
Contract [See XII. Torts, Section A; Principles. This
WILLS, SUCCESSIONS, section is a continuation of Section A.]
ADMINISTRATION OF ESTATES
FILIPINO who makes a
will ABROAD:
1. Violation of Human Dignity
Lex Nationalii Art. 26, CC. Every person shall respect the dignity,
Lex Loci Celebrationis personality, privacy and peace of mind of his
neighbors and other persons. The following and
Extrinsic Validity ALIEN who makes a will
similar acts, though they may not constitute a
IN THE PHILIPPINES: criminal offense, shall produce a cause of action for
Lex nationalii damages, prevention and other relief:
Lex domicilii (1) Prying into the privacy of another’s
Lex loci celebrationis residence;
Intrinsic validity Lex nationalii (2) Meddling with or disturbing the private life
or family relations of another;
Lex nationalii (3) Intriguing to cause another to be alienated
Interpretation of from his friends;
If clear and Vexing or humiliating another on account of his
Wills religious beliefs, lowly station in life, place of birth,
unambiguous, Lex
intentionis physical defect, or other personal condition.
DONE ABROAD BY
ONE NOT DOMICILED Article 26 specifically applies to intentional acts
IN THE PHILIPPINES: which fall short of being criminal offenses. It
Lex loci celebrationis itself expressly refers to tortious conduct which
Lex domicilii "may not constitute criminal offenses." The
DONE ABROAD BY purpose is precisely to fill a gap or lacuna in the
ONE DOMICILED IN law where a person who suffers injury because
Revocation THE PHILIPPINES: of a wrongful act not constituting a crime is left
Lex loci actus without any redress. Under Article 26, the
Lex domicilii person responsible for such act becomes liable
Lex loci celebrationis for "damages, prevention and other relief." In
DONE WITHIN THE short, to preserve peace and harmony in the
PHILIPPINES: family and in the community, Article 26 seeks
Lex loci actus (Hence, to eliminate cases of damnum absque injuria in
Philippine law) human relations [MVRS Publications v. Islamic
Lex fori Da'wah Council, G.R. No. 135306 (2003)].
Probate
Lex loci celebrationis
If there is an effective The principal rights protected under this
choice of law: courts of provision are the following:
the place where the trust 1. The right to personal dignity
is being administered 2. The right to personal security
If there is no effective 3. The right to family relations
Trusts 4. The right to social intercourse
choice of law: law that
will sustain the validity of 5. The right to privacy
the trust (place of 6. The right to peace of mind
administration or
domicile) Note: Coverage of Art. 26 is not limited to those
enumerated therein, the enumeration being

Page 22 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
merely examples of acts violative of a person’s
rights to dignity, personality, privacy and peace
of mind. Other “similar acts” are also covered
within the scope of the article.
a. Violation of personal dignity
In order to be actionable it is not necessary that
the act constitutes a criminal offense. The
remedy afforded by the law is not only the
recovery of damages. Injunction and other
appropriate reliefs may also be obtained by the
aggrieved party.
b. Violation of Privacy
Privacy is the right to be let alone, or to be free
from unwarranted publicity, or to live without
unwarranted interference by the public in
matters in which the public is not necessarily
concerned. This right is purely personal in
nature, such that it can be invoked only by the
person actually injured, it is subject to a proper
waiver, and it ceases upon death. However,
the privilege may be given to heirs of a
deceased to protect his memory, to protect the
feelings of the living heirs.
Reasonableness of Expectation of Privacy
Test: [Ople v. Torres, G.R. No. 127685 (1998)]
a. Whether by one’s conduct, the individual
has exhibited an expectation of privacy
b. Whether this expectation is one that
society recognizes and accepts as
reasonable
c. Interference with relations
An interference with the continuance of
unimpaired interests founded upon the relation
in which the plaintiff stands toward one or more
third persons [Prosser and Keeton].
Kinds
1. Family relations
2. Social relations
3. Economic relations
4. Political relations
Page 23 of 532
CIVIL LAW
1. Family Relations
Alienation of affection
Elements:
1. Wrongful conduct of the defendant:
intentional and malicious enticing of a
spouse away from the other spouse
2. Loss of affection or consortium (Note:
Complete absence of affection
between the spouses is not a defense.)
3. Causal connection between such
conduct and loss
Liability of Parents, Guardians or Kin
The law distinguishes between the right of a
parent to interest himself in the marital affairs
of his child and the absence of rights in a
stranger to meddle in such affairs.
1. Such distinction between the liability of
parents and that of strangers is only in
regard to what will justify interference.
2. A parent is liable for alienation of
affections resulting from his own malicious
conduct, as where he wrongfully entices
his son or daughter to leave his or her
spouse, but he is not liable unless he acts
maliciously, without justification and from
unworthy motives.
3. He is not liable where he acts and
advises his child in good faith with
respect to his child's marital relations in
the interest of his child as he sees it…
4. He may in good faith take his child into his
home and afford him or her protection and
support, so long as he has not maliciously
enticed his child away or does not
maliciously entice or cause him or her to
stay away from his or her spouse. This rule
has more frequently been applied in the
case of advice given to a married daughter,
but it is equally applicable in the case of
advice given to a son. [Tenchavez v.
Escaño, G.R. No. L-19671 (1965)].
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
2. Social Relations
Meddling with or disturbing family relations
Art. 26, CC. Every person shall respect the
dignity, personality, privacy and peace of
mind of his neighbors and other persons.
The following and similar acts, though they
may not constitute a criminal offense, shall
produce a cause of action for damages,
prevention and other relief;
xxx
(2) Meddling with or disturbing the private life
or family relations of another;
3. Economic Relations
Art. 1314, CC. Any person who induces
another to violate his contract with another
person shall be liable for damages to the
other contracting party.
Elements of tort interference: [So Ping Bun
v. CA, G.R. No. 120554 (1999)]
1. Existence of a valid contract
2. Knowledge on the part of the third person
of the existence of contract; and
3. Interference of the third person is without
legal justification or excuse.
Everyone has a right to enjoy the fruits and
advantages of his own enterprise, industry, skill
and credit. He has no right to be protected
against competition; but he has a right to be
free from malicious and wanton interference,
disturbance or annoyance. If disturbance or
loss comes as a result of competition, or the
exercise of like rights by others, it is damnum
absque injuria, unless some superior right by
contract or otherwise is interfered with. Thus, a
plaintiff loses his cause of action if the
defendant provides a sufficient justification for
such interference, which must be an equal or
superior right in themselves. The defendant
may not legally excuse himself on the ground
that he acted on a wrong understanding of his
own rights, or without malice, or bona fide, or
in the best interests of himself [Gilchrist v.
Cuddy, G.R. No. 9356 (1915)].
Page 24 of 532
CIVIL LAW
Bad faith/Malice is required to make the
defendant liable for damages in cases of
tortuous interference [So Ping Bun v. CA,
supra].
4. Dereliction of Duty
Art. 27, CC. Any person suffering material or
moral loss because a public servant or
employee refuses or neglects, without just
cause, to perform his official duty may file an
action for damages and other relief against
the latter, without prejudice to any
disciplinary administrative action that may be
taken.
This applies only to acts of nonfeasance or the
nonperformance of some acts which a person
is obliged or has responsibility to perform. The
duty of the public servant must be ministerial in
character. If the duty is discretionary, he is not
liable unless he acted in a notoriously arbitrary
manner.
The defense of good faith is not available
because an officer is under constant obligation
to discharge the duties of his office, and it is not
necessary to show that his failure to act was
due to malice or willfulness.
Requisites: [Amaro v. Sumanguit, G.R. No. L-
14986 (1962)]
1. Defendant is a public officer charged
with a performance of a duty in favor of
the plaintiff;
2. He refused or neglected without just
cause to perform the duty;
3. Plaintiff sustained material or moral
loss as a consequence of such non-
performance;
4. The amount of such damages, if
material.
Art. 32, CC. Any public officer or employee,
or any private individual, who directly or
indirectly obstructs, defeats, violates or in
any manner impedes or impairs any of the
following rights and liberties of another
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

person shall be liable to the latter for nature and cause of the accusation against
damages: him, to have a speedy and public trial, to
meet the witnesses face to face, and to have
(1) Freedom of religion; compulsory process to secure the
attendance of witness in his behalf;
(2) Freedom of speech;
(17) Freedom from being compelled to be a
(3) Freedom to write for the press or to witness against one's self, or from being
maintain a periodical publication; forced to confess guilt, or from being induced
by a promise of immunity or reward to make
(4) Freedom from arbitrary or illegal such confession, except when the person
detention; confessing becomes a State witness;

(5) Freedom of suffrage; (18) Freedom from excessive fines, or cruel

(6) The right against deprivation of property
without due process of law;
(7) The right to a just compensation when
private property is taken for public use;
and unusual punishment, unless the same is
imposed or inflicted in accordance with a
statute which has not been judicially
declared unconstitutional; and
(19) Freedom of access to the courts.

(8) The right to the equal protection of the In any of the cases referred to in this article,
laws; whether or not the defendant's act or
omission constitutes a criminal offense, the
(9) The right to be secure in one's person, aggrieved party has a right to commence an
house, papers, and effects against entirely separate and distinct civil action for
unreasonable searches and seizures; damages, and for other relief. Such civil
action shall proceed independently of any
(10) The liberty of abode and of changing criminal prosecution (if the latter be
the same; instituted), and mat be proved by a
preponderance of evidence.
(11) The privacy of communication and The indemnity shall include moral damages.
correspondence; Exemplary damages may also be
adjudicated.
(12) The right to become a member of The responsibility herein set forth is not
associations or societies for purposes not demandable from a judge unless his act or
contrary to law; omission constitutes a violation of the Penal
Code or other penal statute.
(13) The right to take part in a peaceable
assembly to petition the government for
Violation of Civil and Political Rights
redress of grievances;
Both private individuals and public officers can
be held liable under this provision.
(14) The right to be free from involuntary
servitude in any form;
This article further implements the civil liberties
guaranteed by the Constitution and creates an
(15) The right of the accused against
absolutely separate and independent civil
excessive bail;
action for the violation of these civil liberties.
(16) The right of the accused to be heard by
Malice not required, to require that a person act
himself and counsel, to be informed of the
with malice before he is held liable under this

Page 25 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
article would defeat the purpose to protect
individual rights. The object of the article is to
put an end to official abuse under the guise of
being done in good faith.
Liability for violation or obstruction of civil
liberties
Any person, whether public officer/employee or
private individual, who directly or indirectly
obstructs, violates or in any manner impede or
impair the rights of a person as enumerated
(these are actually rights under the Bill of
Rights) shall be liable to the latter for damages.
Separate and distinct civil action; quantum
of evidence
The aggrieved party has the right to commence
a civil action for damages separate, distinct
and independent of any criminal action that
may arise from the same violation of right. Only
preponderance of evidence is required.
Type of damages
Indemnity shall include moral damages.
Exemplary damages for also be awarded.
Limited liability for judges
Persons are liable under this provision whether
or not their act or omission constitutes a
criminal offense. But Judges can only be held
liable only when their act or omission in
violation of civil liberties of others also
constitutes a criminal offense.
Art. 34, CC. When a member of a city or
municipal police force refuses or fails to
render aid or protection to any person in case
of danger to life or property, such peace
officer shall be primarily liable for damages,
and the city or municipality shall be
subsidiarily responsible therefor. The civil
action herein recognized shall be
independent of any criminal proceedings,
and a preponderance of evidence shall
suffice to support such action.
The primary liability upon a member of a local
police force is already covered by Article 27.
However, Article 34 creates a separate civil
Page 26 of 532
CIVIL LAW
action to enforce that liability, independent of
any criminal proceedings.
Article 34 makes the city or municipality
subsidiarily liable for the omission of its police
officers to render aid or protection to anyone.
This liability, therefore, can be enforced against
the city or municipality only when the guilty
police officer is insolvent. However, it cannot
be avoided by proving that the city or
municipality has exercised due diligence in the
selection and supervision of its policemen.
[Tolentino]
5. Civil Action
Art. 29, CC. When the accused in a criminal
prosecution is acquitted on the ground that
his guilt has not been proved beyond
reasonable doubt, a civil action for damages
for the same act or omission may be
instituted. Such action requires only a
preponderance of evidence. Upon motion of
the defendant, the court may require the
plaintiff to file a bond to answer for damages
in case the complaint should be found to be
malicious.
If in a criminal case the judgment of acquittal
is based upon reasonable doubt, the court
shall so declare. In the absence of any
declaration to that effect, it may be inferred
from the text of the decision whether or not
the acquittal is due to that ground.
Acquittal predicated on the conclusion “that the
guilt of the defendant has not been
satisfactorily established” is equivalent to one
on reasonable doubt, and a suit to enforce civil
liability for the same act or omission lies. [PNB
v. Catipon, G.R. No. L-6662 (1956)]
The accused once found by the court not to
have been the author of an offense and being
acquitted of the accusation under no condition
can he be made civilly responsible for the harm
caused and for the damages and losses
suffered by reason of the criminal act. [Almeida
v. Abaroa, G.R. No. L-2993 (1907)]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Art. 30, CC. When a separate civil action is
brought to demand civil liability arising from
a criminal offense, and no criminal
proceedings are instituted during the
pendency of the civil case, a preponderance
of evidence shall likewise be sufficient to
prove the act complained of.
Under Art. 100 of the Civil Code, “every person
criminally liable for a felony is also civilly liable”.
Civil Liability is dependent upon facts, if true,
would constitute a crime.
The civil liability is a necessary consequence of
criminal responsibility and is to be declared and
enforced in the criminal proceeding. The Final
Judgement rendered in the case constitutes a
bar to the subsequent civil action for damages
based upon the same case. [Tolentino]
Art. 31, CC. When the civil action is based
on an obligation not arising from the act or
omission complained of as a felony, such
civil action may proceed independently of the
criminal proceedings and regardless of the
result of the latter.
This article is intended to cover cases where
the civil action can be based on an act or
omission distinct from that which is complained
of as a felony. [Tolentino]
Art. 33, CC. In cases of defamation, fraud,
and physical injuries a civil action for
damages, entirely separate and distinct from
the criminal action, may be brought by the
injured party. Such civil action shall proceed
independently of the criminal prosecution,
and shall require only a preponderance of
evidence.
In these cases, a civil action may be filed
independently of the criminal action, even if
there has been no reservation made by the
injured party; the law in itself makes such
reservation. The result of the civil action is thus
independent of the result of the criminal action.
Page 27 of 532
CIVIL LAW
The underlying purpose for this independent
civil action (also in Articles 32 and 34) is to
allow the citizen to enforce his rights in a
private action brought by him, regardless of the
action of the State attorney.
The term “physical injuries” mean bodily
injuries, not the crime of physical injuries
defined in the Revised Penal Code, whether
inflicted with intent to kill or not. [Tolentino]
Art. 35, CC. When a person, claiming to be
injured by a criminal offense, charges
another with the same, for which no
independent civil action is granted in this
Code or any special law, but the justice of the
peace finds no reasonable grounds to
believe that a crime has been committed, or
the prosecuting attorney refuses or fails to
institute criminal proceedings, the complaint
may bring a civil action for damages against
the alleged offender. Such civil action may
be supported by a preponderance of
evidence. Upon the defendant's motion, the
court may require the plaintiff to file a bond
to indemnify the defendant in case the
complaint should be found to be malicious.
If during the pendency of the civil action, an
information should be presented by the
prosecuting attorney, the civil action shall be
suspended until the termination of the
criminal proceedings.
The right to file a civil action provided in the first
paragraph also exists with respect to offenses
for which the law expressly provides a separate
civil action independent of the criminal
prosecution.
However, the second paragraph only applies to
offenses for which no independent civil action
is provided. The filing of a criminal case
suspends the civil case, inasmuch as the
decision in the civil case would generally
depend upon the judgment in the criminal case.
But if the offense is one for which an
independent civil action is provided by law
(Articles 32-34), the filing of the criminal action
will not suspend the civil action.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Art. 36, CC. Pre-judicial questions which

must be decided before any criminal
prosecution may be instituted or may
proceed, shall be governed by rules of court
which the Supreme Court shall promulgate
and which shall not be in conflict with the
provisions of this Code.

A pre-judicial question is one raised in a

criminal case by the accused, which is of such
a nature that, if decided favorably to the
accused in a civil case, will cause the supposed
crime to disappear; the prejudicial question
must be determinative of the case before the
court, and, that jurisdiction to try said question
must be lodged in another tribunal.

H. APPLICABILITY OF
PENAL LAWS
Territoriality Principle
Penal laws and those of public security and
safety shall be obligatory upon all who live or
sojourn in the Philippine territory, subject to the
principles of public international law and to
treaty stipulations. [Art. 14, CC]

Exemptions to the Territoriality Principle

under International Law (Theory of
Extraterritoriality):
1. When the offense is committed by a
foreign sovereign while in Philippine
territory
2. When the offense is committed by
diplomatic representatives
3. When the offense is committed in a
public or armed vessel of a foreign
country.

Page 28 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

PERSONS AND
FAMILY RELATIONS
CIVIL LAW

Page 29 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Capacity and incapacity depends on the law,

A. PERSONS therefore it cannot be modified by agreements.
It is a matter of public interest. [Tolentino]

Persons Juridical Capacity Capacity to Act

Any being, physical, moral, real, juridical and
legal susceptible of rights and obligations or Fitness of a person Power to do acts with
being the subject of legal relations. [Tolentino, to be the subject of legal effect
citing Sanchez Roman and Planio and Ripert] legal relations

Personality Passive Active

The aptitude of a person of becoming the
subject of legal relations, inherent in every Aptitude for the Aptitude to exercise
natural person and is lost only through death. holding and rights
[Tolentino] enjoyment of rights

Inherent in natural Must be acquired

Status
The legal condition or class to which one
belongs in society or the legal and juridical
position of the individual in society, which
determines the nature and number of rights of
an individual. [Tolentino]
Status can be political and civil, and civil status
may be grouped into three classes.
1. As a member of society
a. Resident or non-resident
b. Citizen or alien
2. As a member of family
a. Single, married, widowed, divorced
b. Parent, child, brother or sister
c. Legitimate, illegitimate, adopted
3. As himself
a. Age, whether minor or major
b. Sex, whether male or female
c. Mental condition, whether sane or
insane
Art. 37, CC. Juridical capacity, which is the
fitness to be the subject of legal relations, is
inherent in every natural person and is lost
only through death. Capacity to act, which is
the power to do acts with legal effect, is
acquired and may be lost.
Juridical capacity can exist even without
capacity to act; the existence of the latter
implies that of the former. Full civil capacity is
the existence of both capacity to act and
juridical capacity.
persons
Lost upon death Lost through death
and other causes
Can exist without Must exist with
capacity to act juridical capacity
Cannot be limited or May be restricted or
restricted limited
1. Kinds of Persons
Persons could be natural or juridical.
1. Natural persons refer to individuals or
human beings who are created by
procreation.
2. Juridical persons are artificial, abstract
entities created through laws [Tolentino].
a. Natural Persons
Article 40 provides that "the conceived child
shall be considered born for all purposes that
are favorable to it, provided it be born later with
the conditions specified in the following article"
(i.e., that the fetus be alive at the time it is
completely delivered from the mother's womb
as defined under Art. 41, CC). This proviso,
however, is not a condition precedent to the
right of the conceived child; for if it were, the
first part of Article 40 would become entirely

Page 30 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
useless and ineffective. [Quimiging v. Icao,
GR. No. L-26795 (1970)]
Characteristics of fetal personality
1. Limited – because it only has rights for
purposes favorable to it
2. Provisional/conditional – because it should
be born alive later before the rights can be
claimed
3. Can enjoy rights – inherit from will or
intestacy and be given donations even
before birth
A conceived child has a provisional personality
for all purposes favorable to it.
1. It is entitled to support [Quimiging v. Icao,
GR. No. L-26795 (1970)]
2. It may inherit or succeed [Art. 1025, CC]
3. It may receive donations [Art. 742, CC]
Period of Conception: the first 120 days of the
300 days preceding the birth of the child.
[Tolentino]
Art. 41, CC. For civil purposes, the fetus is
considered born if it is alive at the time it is
completely delivered from the mother’s
womb. However, if the fetus had an
intrauterine life of less than seven months, it
is not deemed born if it dies within twenty-
four hours after its complete delivery from
the maternal womb.
Birth
The removal of the fetus from the mother’s
womb, which may be done naturally or
artificially by surgery. Before birth, the fetus is
not a person but merely a part of the internal
organs of the mother. But because of the
expectancy that it may be born, the law
protects it and reserves its rights, making its
legal existence, if born alive, retroact to the
moment of its conception. [Tolentino]
The presumption is that the baby was born
alive, and the burden of proof lies on those who
allege the contrary.
Page 31 of 532
CIVIL LAW
Intrauterine Life When Considered
Born
7 months or more If alive (e.g. can
breathe
independently, etc.
upon delivery)
Less than 7 months If alive after
completion of 24
hours from delivery
Since birth determines personality, an aborted
fetus never acquired legal rights or civil
personality because it was not alive at the time
of delivery from the mother’s womb. No
damages can be claimed in behalf of the
unborn child since an action for pecuniary
damages on account of personal injury or
death pertains primarily to the one injured. This
is not to say that the parents [of an aborted
fetus] are not entitled to collect any damages at
all. But such damages must be those inflicted
directly upon them as distinguished from the
injury or violation of the rights of the [aborted
fetus]” e.g. moral damages for their loss and
the disappointment of their parental
expectations (Art. 2217, CC). [Geluz v. CA,
G.R. No. L-16439 (1961)]
Death
Art. 42, CC. Civil personality is extinguished
by death. The effect of death upon the rights
and obligations of the deceased is
determined by law, by contract and by will.
Only natural or physical death. The law does
not recognize “civil death,” (i.e. death due to
conviction or a religious profession). [Tolentino]
For certain purposes, after the death of a
person, his personality continues in his
estate—the estate of a deceased person is
also considered as having legal personality
independent of the heirs, wherein the mass of
property, rights, and assets left by the decent
becomes directly vested and charged with his
rights and obligations. [Tolentino]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Criminal liability ends with death but civil
liability may be charged against the estate
[People v. Tirol, G.R. No. L-30538 (1981)].
Art. 43, CC. If there is a doubt, as between
two or more persons who are called to
succeed each other, as to which of them died
first, whoever alleges the death of one prior
to the other, shall prove the same; in the
absence of proof, it is presumed that they
died at the same time and there shall be no
transmission of rights from one to the other.
The statutory presumption provided by Article
43 of CC applies only when there is doubt on
the order of death between persons who are
called to succeed each other. It does not apply
when there is credible eyewitness as to who
died first [Joaquin v. Navarro, G.R. No. 5426
(1953)].
Art. 43, CC v. Sec. 3(jj), Rule 131, Rules of
Court (hereinafter, ROC)
Art. 43, CC Sec. 3(jj), Rule 131
Only use the presumptions when there are
no facts to get inferences from.
Only used for Cannot be used for
succession purposes succession purposes
In any circumstance Only during death in
calamities, wreck,
battle or
conflagration
Rule 131, Section 3(jj) provides that if there
are no inferential/circumstantial evidences to
be inferred from, it can be presumed that when
two persons perish in the same calamity, and it
is not shown who died first, the survivorship is
determined from the probabilities resulting from
the strength and the age of the sexes.
[Tolentino]
Page 32 of 532
CIVIL LAW
Sec. 3(jj), Rule 131, ROC: Presumption of
Survivorship
Deceased A Deceased B Presumed
to have
survived
Under 15 Under 15 Older
Above 60 Above 60 Younger
Under 15 Above 60 Under 15
Above 15 but under 60, Male
different sex
Above 15 but under 60, Older
same sex
Under 15 but Between 15 Between 15
over 60 and 60 and 60
b. Juridical Persons
A juridical person is an abstract being, formed
for the realization of collective purposes, to
which the law has granted capacity for rights
and obligations. The entity must be recognized
as having its own rights and obligations which
are not that of its component members. Its
personality is manifested only in the realm of
patrimonial relations—it has no family and
personal rights. [Tolentino]
The following are juridical persons [Art. 44,
CC]:
1. The State and its political subdivisions;
2. Other corporations, institutions and
entities for public interest or purpose,
created by law; their personality begins as
soon as they have been constituted
according to law:
a. These are governed by the laws
creating or recognizing them. [par. 1,
Art. 45, CC]
b. Upon the dissolution of corporations,
institutions and other entities for public
interest or purpose their property and
other assets shall be disposed of in
pursuance of law or the charter
creating them. If nothing has been
specified on this point, the property and
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
other assets shall be applied to similar
purposes for the benefit of the region,
province, city or municipality which
during the existence of the institution
derived the principal benefits from the
same. [Art. 47, CC]
3. Corporations, partnerships and
associations for private interest or
purpose to which the law grants a juridical
personality, separate and distinct from that
of each shareholder, partner or member.
a. Private corporations are regulated by
laws of general application on the
subject.
b. Partnerships and associations for
private interest or purpose are
governed by the provisions of this
Code concerning partnerships [pars. 2
and 3, Art. 45, CC].
Juridical persons may:
1. Acquire and possess property of all kinds.
2. Incur obligations.
3. Bring civil or criminal actions. [Tolentino]
Juridical persons are not completely at par with
natural persons as to capacity because it
cannot exercise rights which presuppose
physical existence, such as family rights,
making of wills, etc. But like natural persons, it
can have a nationality, a domicile, a name, and
a right to reputation. It can own and possess
property, dispose such property, enter into
contracts, and inherit by will. It can also incur
obligations. [Tolentino]
2. Capacity to act
Art. 37, CC. Juridical capacity, which is the
fitness to be the subject of legal relations, is
inherent in every natural person and is lost
only through death. Capacity to act, which is
the power to do acts with legal effect, is
acquired and may be lost.
Presumption of capacity: Capacity to act
must be supposed to attach to a person who
has not previously been declared incapable,
and such capacity is presumed to continue for
Page 33 of 532
CIVIL LAW
so long as the contrary is not proved [Standard
Oil Co. v. Aranas (1911)]
Restrictions on Capacity to Act
Art. 38, CC. Minority, insanity or imbecility,
the state of being a deaf-mute, prodigality
and civil interdiction are mere restrictions on
capacity to act, and do not exempt the
incapacitated person from certain
obligations, as when the latter arise from his
acts or from property relations, such as
easements.
Circumstances which modify, limit, or restrict
capacity to act:
1. Minority
2. Insanity or imbecility
3. Deaf-mutism
4. Civil Interdiction (Penalty)
5. Prodigality
6. Family relations
7. Alienage
8. Absence
9. Insolvency and trusteeship
Only religious belief and political opinion are
the circumstances which do not limit capacity
to act according to CC. [Art. 39, CC]
General Rule: Incapacitated persons are not
exempt from certain obligations arising from his
acts or property relations. Restrictions in
capacity to act generally affect obligations
arising from contracts only. As a rule, they do
not affect those arising from law, quasi-delicts,
etc. Also, certain rights are not affected by
incapacity, such as right to inherit or to support.
[Perez]
a. Minority
Article 234 of the Family Code (hereinafter FC)
is amended, lowering the age of
emancipation/majority from 21 to 18 years.
Articles 235 and 237 of FC are repealed.
Who are minors?
Those whose age are below the age of
majority.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Effects on Contracts
1. They cannot give consent to a contract [Art.
1327 (1), CC]
2. Minority cannot be asserted by the other
party in an action for annulment [Art. 1397,
CC]
3. Not obliged to make restitution except
insofar as he has been benefited [Art.
1399, CC]
4. Minor has no right to demand the
thing/price voluntarily returned by him [Art.
1426, CC]
5. Minor has no right to recover voluntarily
paid sum or delivered thing, if consumed in
good faith [Art. 1427, CC]
6. Must pay reasonable amount for
necessaries delivered to him [Art. 1489,
CC]
7. A contract where one of the parties is a
minor is voidable [Art. 1390(1), CC]
8. A contract is unenforceable when both of
the parties are minors (incapable of giving
consent) [Art. 1403(3), CC]
Estoppel works against minors who
misrepresent their ages in a contract and are
compelled to comply with its terms. [Mercado
v. Espiritu, G.R. No. L-11872 (1917)]
However, when a minor made no active
misrepresentation as to his minority and such
minority is known to the other party, the
contract may be annulled by the minor upon
attaining the age of majority. [Bambalan v.
Maramba, G.R. No. L-277710 (1928)]
Failure of the minors to disclose their age does
not constitute fraud. Because it was merely a
passive misrepresentation, they were not
estopped and cannot be legally bound by their
signatures in the contract. They do not have to
pay the interest, they may just return their
portion of the loan. However, the minors are
obliged to make restitution insofar as they have
been benefited from what they received [Art.
1399, CC; Braganza v. Villa Abrille, G.R. No. L-
12471 (1959)].
Page 34 of 532
CIVIL LAW
Effects on Marriage
1. May not yet contract marriage [Art. 5, FC].
2. Marriages, where one of the parties is
below 18, even with the consent of
parents/guardians, are void [Art. 35, FC].
Effect on Crimes [RA 9344: Juvenile Justice
and Welfare Act of 2006]
General Rule: EXEMPTED from criminal
liability
Exception: Acted with discernment, and the
minor is between 15 and 18 years of age.
Section 6 states that a child fifteen (15) years
of age or under at the time of the commission
of the offense shall be exempt from criminal
liability but will be subject to an intervention
program.
• A child above 15 but below 18 shall also be
exempted from criminal liability and be
subjected to an intervention program,
unless the child has acted with
discernment.
• Exemption from criminal liability does not
include exemption from civil liability.
Section 7 states that a child in conflict with the
law shall enjoy the presumption of minority and
shall enjoy all the rights until he or she is
proven to be 18 years old or older.
Section 20 states that if the child taken into
custody is 15 years old or below, the authority
which had the initial contact with the child has
the duty to immediately release the child to the
custody of his/her parents, guardians, or
nearest relatives.
• If those cannot be located, the child
may be released to a duly registered
NGO or religious organization, a
barangay official or member of the
Barangay Council for the Protection of
Children, or to the DSWD.
Section 57 states that any conduct not
considered an offense or not penalized if
committed by an adult shall not be considered
an offense and shall not be punished if
committed by a child.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Section 58 states that persons below 18 years
of age shall be exempt from prosecution for the
crime of vagrancy and prostitution,
mendicancy, and sniffing of rugby, as such are
inconsistent with the United Nations
Convention on the Rights of the Child.
Section 59 states that no death penalty shall
be imposed upon children in conflict with the
law.
b. Insanity
Insanity includes many forms of mental
disease, either inherited or acquired. A person
may not be insane but only mentally deficient
(idiocy, imbecility, feeble-mindedness).
Insanity is the complete deprivation of reason
or intelligence or power to discern [People v.
Austria].
On the other hand, imbecility is the weakness
of mind which, without depriving the person
entirely of the use of his reason, leaves only the
faculty of conceiving the most common and
ordinary ideas and such as relate almost
always to physical wants and habits. [Black’s
Law Dictionary, 2nd Edition]
Prevailing Presumption: Every person is of
sound mind, in the absence of proof to the
contrary. [par. 1, Art. 800, CC]
It is presumed that a person who enters into a
contract is of sound mind. The burden of proof
of insanity rests upon him who alleges insanity.
[Engle v. Doe, G.R. No. L-23317 (1925)] (see
Exception below)
Effect on Contracts
1. Incapacity to give consent to a contract
[Art. 1327(2), CC]
2. Contracts entered into during lucid
intervals are valid [Art. 1328, CC]. Burden
of proof lies with party asserting the
contract was entered into by the insane
during a lucid interval.
3. Restitution of benefits [Art. 1399, CC]
4. Voidable if one of the parties is insane [Art.
1390, CC]
Page 35 of 532
CIVIL LAW
5. Unenforceable if both of the parties are
insane [Art. 1403 (3), CC]
Effect on Crimes
General rule: EXEMPTED from criminal liability
[Art. 12(1), RPC]
Exception: Acted during lucid interval [Art.
1328, CC].
Effect on Marriage
May be annulled if either party was of unsound
mind unless such party, after coming to reason,
freely cohabited with the other. [Art. 45(2), FC]
Action for annulment of marriage must be filed
by the sane spouse who had no knowledge of
the other’s insanity, or by any relative/guardian
of the insane before the death of either party;
or by the insane spouse during a lucid interval
or after regaining sanity. [Art. 47(2), FC]
In the absence of proof that the defendant had
lost his reason or became demented a few
moments prior to or during the perpetration of
the crime, it is presumed that he was in a
normal condition of mind. [USA v. Vaguilar,
G.R. No. L-9471 (1914)]
c. Deaf-Mutism
Effect on Contracts
1. Cannot give consent to a contract if
he/she also does not know how to write
[Art. 1327(2), CC]
2. Can make a valid WILL, provided: he
must personally read the will. The
contents of the same have either been
read personally by him or otherwise
communicated to him by 2 persons
[Art. 807, CC]
3. Cannot be a witness to the execution of
a will [Art. 820, CC]
4. Voidable if one of the parties is a deaf-
mute who does not know how to write
[Art. 1390, CC]
5. Unenforceable if both of the parties are
deaf-mutes and do not know how to
write [Art. 1403(3), CC]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
d. Prodigality
Incompetent includes prodigals [Sec. 2, Rule
92, ROC]
Prodigality may be inferred but must show a
morbid state of mind and a disposition to
spend, waste, and lessen the estate to such an
extent as is likely to expose the family to want
of support, or to deprive the forced heirs of their
undisposable part of the estate. [Martinez v.
Martinez, G.R. No. 445 (1902)]
Note: It is not the circumstance of prodigality,
but the fact of being under guardianship that
restricts capacity to act.
e. Civil Interdiction
It is an accessory penalty imposed upon
persons who are sentenced to a principal
penalty not lower than reclusion temporal [Art.
41, RPC].
Effect on Parental/Marital Authority
Offender is deprived of the rights of parental
authority, or guardianship, of marital authority,
of the right to manage his property and of the
right to dispose of such by any act inter vivos
[Art. 34, RPC].
Effect on Marriage and Property
1. For the validity of marriage
settlements, the participation of the
guardian shall be indispensable [Art.
123, FC]
2. Sentence of one’s spouse to a penalty
which carries with it civil interdiction is
sufficient cause for judicial separation
of property [Art. 135 (1), FC]
3. The administration of exclusive
property of either spouse may be
transferred by the court to the other
spouse when one of them is sentenced
to civil interdiction [Art. 142 (3), FC]
Page 36 of 532
CIVIL LAW
f. Family Relations
Effect on Crimes
1. Justifying circumstance if acted in
defense of person/rights of spouse,
ascendants, descendants,
brothers/sisters, and other relatives up
to the 4th civil degree [Art. 11(2), RPC]
2. Mitigating circumstance if acted in the
immediate vindication of a grave
offense/felony committed against his
spouse, ascendants or relatives of the
same civil degree [Art. 13(5), RPC]
3. Descendants cannot be compelled to
testify in a criminal case, against his
parents and grandparents.
• Unless: the crime was against the
descendant OR by one parent against
the other [Art. 215, FC]
Effect on Marriages
Incestuous and void marriages:
1. Between ascendants and descendants
of any degree;
2. Between brothers and sisters, whether
full or half-blood. [Art. 37, FC]
Effect on Contracts
1. Donations/grants of gratuitous
advantage between spouses during
the marriage shall be VOID, except
moderate gifts during family occasions
[Art. 87, FC]
2. Prescription does not run between
spouses, parent and child, guardian
and ward [Art. 1109, CC]
3. Spouses cannot sell property to each
other, EXCEPT:
a. Absolute separation is agreed
upon in the marriage
settlements
b. Judicial separation of property
[Art. 1490, CC]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

g. Alienage absentee still lives, he shall be presumed

dead for all purposes, except for those of
Dual Citizenship v. Dual Allegiance [Cordora succession.
v. COMELEC, G.R. No.176947 (2009)]
Dual Citizenship Dual Allegiance The absentee shall not be presumed dead
for the purpose of opening his succession till
Arises when, as a Refers to the after an absence of ten years. If he
result of the situation in which a disappeared after the age of seventy-five
concurrent person years, an absence of five years shall be
application of the simultaneously sufficient in order that his succession may be
different laws of two owes, by some opened.
or more states, a positive act, loyalty
person is to two or more states The following, after being missing for four
simultaneously years, shall be presumed dead for all purposes
considered a including the division of the estate among
national by said the heirs [Art. 391, CC.]:
states 1. A person on board a vessel lost during a
sea voyage, or an aeroplane which is
Involuntary Result of individual’s
missing, who has not been heard of for four
volition
years since the loss of the vessel or
aeroplane;
For candidates with dual citizenship, it should 2. A person in the armed forces who has
suffice if, upon the filing of their certificates of taken part in war, and has been missing for
candidacy, they elect Philippine citizenship to four years;
terminate their status as persons with dual 3. A person who has been in danger of death
citizenship considering that their condition is under other circumstances and his
the unavoidable consequence of conflicting existence has not been known for four
laws of different states. [Cordora v. COMELEC, years.
G.R. No. 176947 (2009)]
The 4-year period provided by Art. 391 is
Effect on Property shorter than that of Art. 390 (7 and 10 years)
Aliens cannot own or operate public utilities. because it involves situations where the
Corporations should be at least 40% Filipino, absentee’s life is in danger.
and their managing or executive officials
should be Filipinos. Furthermore, alien i. Insolvency and Trusteeship
Corporations cannot operate for more than 50
years. [Sec. 11, Art. XII, 1987 Constitution] Under the Insolvency Law, a debtor who has
been found insolvent cannot dispose of his
h. Absence property or receive payments. [Perez citing Act
No. 1956, Rules on Corporate Rehabilitation]
Note: More thorough discussion under “Rules
Governing Absent Persons” 3. Domicile and Residence of
Absence is a limitation because it is a ground Persons
for the judicial appointment of a representative
[Art. 381, FC] Domicile of Natural Persons
The place of their habitual residence [Art. 50,
CC]
Art. 390, CC. After an absence of seven
years, it being unknown whether or not the

Page 37 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Domicile of Juridical Persons
The place where their legal representation is
established, or where they exercise their
primary functions, unless there is a law or other
provision that fixes the domicile [Art. 51, CC]
Domicile v. Residence
While domicile is permanent (there is intent to
remain), residence is temporary and may be
changed anytime (there is no necessary intent
to remain).
Requisites of Domicile
1. Residence or bodily appearance in a new
locality;
2. Intention to permanently remain there
(animus manendi); and
3. An intention to abandon the old domicile
(animus non revertendi).
There must be animus manendi coupled with
animus non revertendi. One must have actual
change of domicile and a bona fide intention to
establish a new residence. [Poe Llamanzares
v. COMELEC, G.R. No. 221697 (2016)]
Kinds of Domicile
1. Domicile of Origin: Domicile of parents of
a person at the time he was born.
2. Domicile of Choice: Domicile chosen by a
person, changing his domicile of origin.
Domicile where he intends to remain
(animus revertendi).
3. Domicile by Operation of Law (i.e. Art.
69, domicile of minor).
A married woman does not lose her domicile to
her husband. Unless there is a clear proof of
abandonment, domicile of origin subsists
[Romualdez-Marcos v. COMELEC, G.R. No.
119976 (1995)].
Foundlings cannot be considered stateless and
citizenship is not required for domicile [Poe-
Llamanzares v. COMELEC, G.R. No. 221697
(2016)]
A house is not necessary to establish domicile
[Jalosjos v. COMELEC, G.R. No. 193237
(2012)].
Page 38 of 532
CIVIL LAW
B. RIGHTS AND OBLIGATIONS OF
COUPLES IN INTIMATE
RELATIONSHIPS
(R.A. NO. 9262)
1. Obligation not to commit acts
of VAWC
Sec. 3(a) of R.A. No. 9262, otherwise known
as “An Act Defining Violence Against Women
and their Children, Providing for Protective
Measures for Victims, Prescribing Penalties
Therefore, and for Other Purposes,” elucidates
that violence against women and their
children may be committed by any person
against a woman with whom the person has
or had a sexual or dating relationship.
! Sec. 3(e) defines a dating
relationship to contemplate a situation
wherein the parties live as husband
and wife without the benefit of
marriage or are romantically involved
over time and on a continuing basis
during the course of the relationship.
○ A casual acquaintance or
ordinary socialization between
two individuals in a business or
social context is not a dating
relationship.
! Sec. 3(f), on the other hand, defines
“sexual relations” to contemplate a
single sexual act which may or may
not result in the bearing of a common
child.
Principle RA 9262 does not violate the
equal protection clause. The
unequal power relationship between
women and men; the fact that
women are more likely than men to
be victims of violence; and the
widespread gender bias and
prejudice against women all make
for real differences justifying the
classification as allowed by the
equal protection clause of the 1987
Philippine Constitution [Garcia v.
Drilon (2006)].
Concept The prohibited acts under this law
are in the nature of “public crime,”
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
which means they may be
prosecuted upon the filing of a
complaint by any citizen having
personal knowledge of the
circumstances involving the
commission of the crime [Sec. 25,
RA 9262].
The prohibited acts shall likewise
constitute grounds for legal
separation under Art. 55(1) of the
Family Code.
! In which case, the cooling-
off period under Art. 58 of
the Family Code shall not
apply [Sec. 19, RA 9262].
Scope Unmarried Cohabitants (i.e.,
couples in intimate relationships),
wherein the parties live as husband
and wife without the benefit of
marriage.
! However, in the case of
Garcia v. Drilon (2006),
the Supreme Court held
that “there is likewise no
merit to the contention that
R.A. 9262 singles out the
husband or father as the
culprit.” As defined above,
VAWC may likewise be
committed “against a movement or conduct:
woman with whom the
person has or had a sexual
or dating relationship.”
This effectively
contemplates a scenario
where one of the parties
is a lesbian.
Violence, as prohibited under this
Act, includes, but is not limited to:
1. Physical Violence or acts that
include bodily or physical harm;
2. Sexual Violence or acts which
is sexual in nature, committed
against a woman or her child;
3. Psychological Violence or
acts or omissions causing or
likely to cause mental or
emotional suffering of the
victim; and
4. Economic Abuse or acts that
make or attempt to make a
woman financially dependent
[Sec. 3(a), RA 9262].
Page 39 of 532
CIVIL LAW
Prohibited a. Causing physical harm to the
Acts woman or her child;
b. Threatening to cause the
woman or her child physical
harm;
c. Attempting to cause the woman
or her child physical harm;
d. Placing the woman or her child
in fear of imminent physical
harm;
e. Attempting to compel or
compelling the woman or her
child to engage in conduct
which the woman or her child
has the right to desist from or
desist from conduct which the
woman or her child has the right
to engage in, or attempting to
restrict or restricting the
woman's or her child's freedom
of movement or conduct by
force or threat of force, physical
or other harm or threat of
physical or other harm, or
intimidation directed against the
woman or child. This shall
include, but not limited to, the
following acts committed with
the purpose or effect of
controlling or restricting the
woman's or her child's
i. Threatening to deprive or
actually depriving the
woman or her child of
custody to her/his family;
ii. Depriving or threatening to
deprive the woman or her
children of financial
support legally due her or
her family, or deliberately
providing the woman's
children insufficient
financial support;
iii. Depriving or threatening to
deprive the woman or her
child of a legal right;
iv. Preventing the woman in
engaging in any legitimate
profession, occupation,
business or activity or
controlling the victim's own
money or properties, or
solely controlling the
conjugal or common
money, or properties;
f. Inflicting or threatening to inflict
physical harm on oneself for the
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
purpose of controlling her
actions or decisions;
g. Causing or attempting to cause
the woman or her child to
engage in any sexual activity
which does not constitute rape,
by force or threat of force,
physical harm, or through
intimidation directed against the
woman or her child or her/his
immediate family;
h. Engaging in purposeful,
knowing, or reckless conduct,
personally or through another,
that alarms or causes
substantial emotional or
psychological distress to the
woman or her child. This shall
include, but not be limited to,
the following acts:
i. Stalking or following the
woman or her child in
public or private places;
ii. Peering in the window or
lingering outside the
residence of the woman or
her child;
iii. Entering or remaining in
the dwelling or on the
property of the woman or
her child against her/his
will;
iv. Destroying the property
and personal belongings or
inflicting harm to animals
or pets of the woman or her
child; and
v. Engaging in any form of
harassment or violence;
i. Causing mental or emotional
anguish, public ridicule or
humiliation to the woman or her
child, including, but not limited
to, repeated verbal and
emotional abuse, and denial of
financial support or custody of
minor children of access to the
woman's child/children.
Page 40 of 532
CIVIL LAW
2. Right to be protected against
acts of VAWC
RULE ON VIOLENCE AGAINST WOMEN
AND THEIR CHILDREN [A.M. No. 04-10-11-
SC]
Who may file a petition for a protection
order?
a. The offended party
b. Parents or guardians of the offended
party
c. Ascendants, descendants or collateral
relatives of the offended party, within the
fourth civil degree of consanguinity or
affinity
d. Officers or social workers of the DSWD
or social workers of LGUs
e. Police officers, preferably those in charge
of women and children's desks
f. Punong Barangay or Barangay
Kagawad
g. Lawyer, counselor, therapist or
healthcare provider of the petitioner; or
h. At least two concerned, responsible
citizens of the place where the violence
against women and their children occurred
and who have personal knowledge of the
offense committed. [Sec. 8]
Where to File the Petition
The petition may be filed with the Family Court
of the place where the offended party
resides. If there is no existing Family Court, it
may be filed with the Regional Trial Court,
Metropolitan Trial Court, Municipal Trial Court
in Cities, Municipal Trial Court or Municipal
Circuit Trial Court with territorial jurisdiction
over the place of residence of the offended
party. [Sec. 9]
What Reliefs are Available?
The protection order shall include any, some or
all of the following reliefs:
a. Prohibiting the respondent from
threatening to commit or committing,
personally or through another, acts of
violence against the offended party
b. Prohibiting the respondent from
harassing, annoying, telephoning,
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
contacting or otherwise communicating in
any form with the offended party, either
directly or indirectly;
c. Removing and excluding the
respondent from the residence of the
offended party, regardless of ownership
of the residence, either temporarily or
permanently where no property rights are
violated;
d. Requiring the respondent to stay away
from the offended party and any
designated family or household
member at a distance specified by the
court;
e. Requiring the respondent to stay away
from the residence, school, place of
employment or any specified place
frequented regularly by the offended
party and any designated family or
household member;
f. Directing lawful possession and use by
the offended party of an automobile and
other essential personal effects,
regardless of ownership, and directing the
appropriate law enforcement officer to
accompany the offended party to the
residence of the parties to ensure that the
offended party is safely restored to the
possession of the automobile and other
essential personal effects;
g. Ordering temporary or permanent
custody of the child/children with the
offended party, taking into consideration
the best interests of the child. An offended
party suffering from Battered Woman
Syndrome shall not be disqualified. In no
case shall custody of minor children be
given to the batterer;
h. Directing the respondent to provide
support to the woman and/or her child,
if entitled to legal import;
i. Prohibiting the respondent from carrying
or possessing any firearm or deadly
weapon and ordering him to surrender
the same to the court for appropriate
disposition, including revocation of
license and disqualification to apply for
any license to carry or possess a
firearm;
Page 41 of 532
CIVIL LAW
j. Directing the DSWD or any appropriate
agency to prepare a program of
intervention for the offended party;
k. Requiring the respondent to receive
professional counseling from agencies
or persons who have demonstrated
expertise and experience in anger control,
management of alcohol, substance abuse
and other forms of intervention to stop
violence;
l. Awarding the offended party actual
damages caused by the violence
inflicted, including, but not limited to,
property damage, medical expenses,
childcare expenses and loss of income;
and compensatory, moral, and exemplary
damages.
The court may grant such other forms of relief.
[Sec. 11]
3. Other rights and obligations
Unmarried cohabitants
• Are NOT considered next of kin
• Are NOT extended visitation rights
• Have NO right to make medical
decisions on behalf of their partner
• Do NOT automatically enjoy welfare
benefits or dependent status arising
from partner’s employment
• However, in case of life insurance, if
the partner is validly designated as
the beneficiary by the other, he/she is
entitled to the insurance proceeds
arising from the life insurance of the
other.
• Have NO right to use the surname of
the other partner [Silva v. Peralta
(1960)].
• Have NO right to make funeral
arrangements for the deceased
• The right to make funeral
arrangements for the deceased
remains with the surviving legal
wife, notwithstanding their 30 year
separation [Valino v. Adriano (2014)].
• Are NOT allowed to adopt jointly
• CAN NOT exercise parental authority
over the child of the other
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
C. MARRIAGE
Marriage
a. A special contract of permanent union;
b. Between a man and a woman;
c. Entered into in accordance with law;
d. For the establishment of conjugal and
family life.
e. It is the foundation of the family and an
inviolable social institution;
f. Its nature, consequences, and incidents
are governed by law and not subject to
stipulation,
Exception: Marriage settlements may fix the
property relations during the marriage, within
the limits provided by this Code. [Art. 1, FC.]
Marriage is an institution, the maintenance of
which the public is deeply interested. It is a
relation for life and the parties cannot terminate
it at any shorter period by virtue of any contract
they may make. The reciprocal rights arising
from this relation, so long as it continues, are
such as the law determines from time to time,
and none other. [Goitia v. Campos Rueda,
G.R. No. 11263 (1916)]
1. Requisites
Essential Requisites [Art. 2, FC]
2. Legal capacity of the contracting parties,
who must be a male and a female; and
3. Consent (of the contracting parties) freely
given in the presence of a solemnizing
officer.
Formal Requisites [Art. 3, FC]
1. Authority of solemnizing officer (subject
to Art. 35(2), FC)
2. A valid marriage license (subject to
exceptions)
3. Marriage ceremony
Page 42 of 532
CIVIL LAW
Effect of Absence or Defect/Irregularity of
the Requisites on the Marriage [Art. 4, FC]
Defect or
Absence
Irregularity
Essential Void Voidable
No effect, but makes
the party responsible
for such irregularity
Formal Void
civilly, criminally or
administratively
liable
Note: The term “defect” is used for essential
requisites while “irregularity” is used for formal
requisites.
a. Essential Requisites
1. Gender
N.B. The best source for citing the requirement
of male/female is still statutory, as provided
explicitly in the Family Code: Art. 1, FC.
Marriage is a special contract of permanent
union between a man and a woman…
Sex is determined at birth; marriage between
two people who had the same sex at birth is
invalid even if one changes sex by law.
[Republic v. Cagandahan, G.R. No. 166676
(2008)]
Changing of sex in one’s birth certificate on the
basis of sex reassignment shall be denied;
otherwise, it would result in confusion and
would allow marriage between persons of the
same sex which is in defiance of the law, as
marriage is a union between a man and a
woman. [Silverio v. Republic, G.R. No. 174689
(2007)]
But when the change in sex happens naturally,
as when the person has Congenital Adrenal
Hyperplasia (CAH) or is “biologically or
naturally intersex,” the determining factor in
their gender classification would be what they,
having reached the age of majority, with good
reason thinks is their sex. Change in name and
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

sex as registered is here allowed. [Republic v. b. Parental Advice: Needed for parties 21 to
Cagandahan, G.R. No. 166676 (2008)] below 25 years old.

2. Age However, absence of such does not make the

marriage void or voidable. Absence will merely
Legal Capacity delay the issuance of the marriage license by
Art. 5, FC. Any male or female of the age of three months [Art 15, FC].
eighteen years or upwards not under any of
the impediments mentioned in Articles 37 and 3. Consent Freely Given
38, may contract marriage.
Consent here refers to the consent of the
OTHER IMPEDIMENTS REFERENCED: contracting parties. The consent must refer to
the contracting parties’ bona fide intention to be
Art. 37, FC: Incestuous marriages married to the other. i.e. to make the woman
a. Between ascendants and descendants of his wife. [People v. Santiago, G.R. No. 27972
any degree; and (1927)]
b. Between brothers and sisters, whether of
the full or half blood. In People v. Santiago, it was held that the
marriage entered into by a person whose real
Art. 38, FC: Void for public policy intent is to avoid prosecution for rape is void for
a. Between collateral blood relatives, whether total lack of consent. Here, it was the intent
legitimate or illegitimate, up to the fourth of the accused—not the victim of rape, whom
civil degree; he married under duress—that was
b. Between step-parents and step-children; considered. The accused did not intend to
c. Between parents-in-law and children-in- make the victim his wife. He merely used such
law; marriage to escape criminal liability. [G.R. No.
d. Between the adopting parent and the 27972 (1927)]
adopted child;
e. Between the surviving spouse of the Absence of consent renders the marriage void
adopting parent and the adopted child; while defective consent makes it voidable [Art.
f. Between the surviving spouse of the 4, FC].
adopted child and the adopter;
g. Between an adopted child and a legitimate Status
child of the adopter; Situation Consent of
h. Between adopted children of the same Marriage
adopter; and Either party was of
i. Between parties where one, with the Vitiated/
unsound mind [Art. 45 (2), Voidable
Defective
intention to marry the other, killed that other FC]
person's spouse or his or her own spouse. Mistake as to the identity of
the other party [Art. 35 (5),
LIMITED EMANCIPATION: FC]
Absent Void
e.g. if one mistakenly
a. Parental Consent: Needed for parties marries his fiancee's twin
[Tolentino]
between 18 to below 21 years old, given by
their father, mother, surviving parent or Mistake as to the legal
guardian, or persons having legal charge of consequences and nature
of the marriage ceremony
them, in the order mentioned. [Art. 14, FC] e.g. thinking the ceremony
Absent Void
is a joke, pretend, or play-
If no parental consent is obtained, it makes the acting [Tolentino]
marriage voidable [Art. 45, FC].

Page 43 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Consent was obtained by Minimum Requirements Prescribed by Law:

fraud:
1. Non-disclosure of
previous
conviction of crime
of moral turpitude
2. Concealment of
pregnancy by
another man Vitiated/
3. Concealment of Defective
STD
4. Concealment of
drug addiction,
habitual
alcoholism,
homosexuality, or
lesbianism [Art.
46, FC]
Consent was obtained by
1. Force
2. Intimidation Vitiated/
Defective
3. Undue Influence
[Art. 45 (4), FC]
Marriage entered into by a
person whose real intent is
to avoid prosecution for Absent
rape [People v. Santiago,
G.R. No. 27972 (1927)]
Note: Defects in consent are discussed further
in “Voidable or Annullable Marriages.”
a. Appearance of contracting parties
personally before the solemnizing officer.
[Art. 3, FC]
b. Personal declaration that they take each
other as husband and wife. [Art. 3, FC]
c. Presence of at least two witnesses of
Voidable
legal age. [Art. 3, FC]
d. The declaration shall be contained in the
Marriage Certificate. [Art. 6, FC]
e. Marriage certificate shall be signed by the
contracting parties and their witnesses and
attested by the solemnizing officer. [Art. 6,
FC]
N.B. In a marriage in articulo mortis, when one
or both parties are unable to sign the marriage
certificate, it shall be sufficient for one of the
Voidable witnesses to write the name of said party,
which shall be attested by the solemnizing
officer. [par. 2, Art. 6. FC]
Places where marriage shall be publicly
Void solemnized:
a. Chambers of the judge or in open court
b. Church, chapel, or temple
c. Office of the consul-general, consul, or
vice-consul [Art. 8, FC]

4. No Subsisting Marriage Exceptions to public solemnization

requirement
A judicial decree terminating the previous a. Marriages performed in articulo mortis
marriage is required for remarriage. or in remote places. [Art. 29, FC]
b. Where both parties request in writing
b. Formal Requisites that marriage be solemnized at a place
designated by them.
1. Marriage Ceremony
Note: Non-compliance with this requirement
No prescribed form or religious rite for the does not invalidate the marriage (premise:
solemnization of marriage is required. [Art. 6, more witnesses = more people can notify
FC] officer of impediments to marriage).

The couple's written agreement where they 2. Authority of Solemnizing Officer

declare themselves as husband and wife,
signed by them before a judge and two capable
witnesses, even though it was independently
made by them, still counts as a valid ceremony.
[Martinez v. Tan, G.R. No. L-4904 (1909)]
Who May Solemnize Marriage:
Normal Circumstances
Incumbent member of the Judiciary, within
his jurisdiction. [Art. 7, FC]
Priest, Rabbi, Imam or Minister of any
Church or Religious Sect who must be:

Page 44 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
a. Duly authorized by his church or
religious sect;
b. Registered with the civil registrar
general;
c. Acting within the limits of the written
authority granted to him by his
church or religious sect;
d. At least one of the contracting
parties belongs to the solemnizing
officer’s church or religious sect. [Art.
7, FC]
Municipal and City Mayors [Secs. 444-445,
Local Government Code]
Articulo Mortis
(in addition to those above mentioned)
Ship Captain or Airplane Chief may
solemnize a marriage in articulo mortis
between passengers or crew members
[Arts. 7 and 31, FC]
A Military Commander of a unit may
solemnize marriages in articulo mortis
between persons within the zone of military
operation in the absence of a chaplain [Arts.
7 and 32, FC]
Marriages Abroad
Consul-general, consul or vice-consul may
solemnize marriages between Filipino
citizens abroad [Arts. 7 and 10, FC]
General rule: Those solemnized by any
person not legally authorized to perform
marriages are void.
Exception: Unless such marriages were
contracted with either or both parties believing
in good faith that the solemnizing officer had
the legal authority to do so. [Art. 35(2), FC]
Good faith refers to questions of fact, not
ignorance of the law (e.g. they did not know the
priest’s license expired vs. thinking a Senator
could solemnize their marriage). [Legarda,
Deriquito-Mawis, and Vargas]
Note: An irregularity in a formal requisite will
not affect the validity of the marriage but those
responsible may be held criminally, civilly,
and administratively liable [Art. 4 & 7, FC]
Page 45 of 532
CIVIL LAW
3. Marriage License
General rule: The license required is that
which is issued by local registrar of city or
municipality where either contracting party
habitually resides [Art. 9, FC].
Note: No marriage license shall be issued by
the Local Civil Registrar unless the applicants
present a Certificate of Compliance issued for
free by the local Family Planning Office
certifying that they had duly received adequate
instructions and information on responsible
parenthood, family planning, breastfeeding
and infant nutrition [RA 10354, Sec. 15].
Determination of Age
General rule: The local civil registrar shall
require presentation of:
a. Original birth certificates, or
b. Baptismal certificates
Exception: If parents appear personally or
when the local civil registrar is convinced that
the parties are of the required age.
Where Valid: License valid in any part of the
Philippines
Period of Validity: It will be valid for 120 days
from date of issue, automatically cancelled at
the expiration of such period.
Marriages celebrated without a marriage
license before the effectivity of the Family Code
are void ab initio as marriage license was an
essential requisite in the CC. [Kho v. Republic,
G.R. No. 147862 (2016)]
A marriage which preceded the issuance of the
marriage license is void and the subsequent
issuance of such license cannot render valid
the marriage. Except in cases provided by law,
it is the marriage license that gives the
solemnizing officer the authority to solemnize a
marriage. [Aranes v. Occiano, MTJ-02-1390
(2002)].
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Special Situations
If the party has been previously married, s/he
shall furnish, instead of birth or baptismal
certificate:
a. Death certificate of deceased spouse (if
cannot be obtained, the party shall make
an affidavit setting forth this circumstance,
his/her actual civil status and name and
date of death of deceased spouse), or
b. Judicial decree of the absolute divorce, or
c. Judicial decree of annulment, or
d. Declaration of nullity of previous marriage
[Art. 13, FC]
Foreign National
a. When either or both parties are foreign
nationals: Certificate of legal capacity to
contract marriage issued by a diplomatic
or consular official, shall be submitted
before a marriage license can be obtained
[Art. 21, FC]
b. Stateless persons or refugees from other
countries: Affidavit stating
circumstances showing capacity to
contract marriage, instead of certificate of
legal capacity [Art. 21, FC]
Note: The Apostille Convention, which took
effect in the PH on 14 May 2019, simplifies the
authentication of foreign documents. Public
documents executed in Apostille-contracting
countries, once Apostillized, no longer need
authentication from the Philippine embassy or
consulate general. In the same way, PH
documents Apostillized by the DFA need not
be authenticated by Foreign embassies or
consulate generals if the country is a member
of the convention. [DFA Public Advisory]
Exceptions to the Marriage License
Requirement
a. Marriage in articulo mortis [Art. 27, FC]
The marriage may be solemnized without
the necessity of a marriage license. It
remains valid even if ailing party survives.
1. Between passengers or crew members
in a ship or airplane [Art. 31, FC]
2. Persons within a military zone [Art. 32,
FC]
3. Other situations in articulo mortis
Page 46 of 532
CIVIL LAW
b. Marriage in remote and inaccessible
places [Art. 28, FC]
c. Marriages by Muslims and Ethnic
cultural minorities provided they are
solemnized in accordance with their
customs, rites or practices. [Art. 33, FC]
d. Marriage by parties who have cohabited
for at least 5 years without any legal
impediment to marry each other. [Art. 34,
FC; Ninal v. Badayog, G.R. No. 133778
(2000)]
Note: A false affidavit of having lived together
for 5 years as husband and wife cannot be
considered as a mere irregularity in the formal
requisites of marriage but a complete absence,
rendering their marriage void ab initio. [De
Castro v. Assidao-De Castro, G.R. No. 160172
(2008)]
Requisites for the 5-year cohabitation to be
valid for the exemption from acquiring a
marriage license
a. The man and woman must have been
living together as husband and wife for at
least five years before the marriage;
b. The parties must have no legal
impediment to marry each other;
c. The fact of absence of legal impediment
between the parties must be present at the
time of marriage;
d. The parties must execute an affidavit
stating that they have lived together for at
least five years [and are without legal
impediment to marry each other]; and
e. The solemnizing officer must execute a
sworn statement that he had ascertained
the qualifications of the parties and that he
had found no legal impediment to their
marriage [Borja-Manzano v. Judge
Sanchez, A.M. MTJ-00-1329 (2001)].
4. Marriage Certificate
Where parties declare that they take each
other as husband and wife; contains the
following:
a. Full name, sex, age of party;
b. Citizenship, religion, habitual
residence;
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

c. Date and precise time of celebration of under the law of the country in which it was
marriage; solemnized.
d. That marriage license was properly
issued (except in marriages of Essential
Formal Requisites
exceptional character); Requisites
e. That parental consent was secured, Inherent in the Requirements
when required; parties, carried independent of the
f. That requirement as to parental advice everywhere parties
was complied with, when required; Lex Nationalii –
g. That parties have entered into Laws relating to Lex loci
marriage settlements, if any [Art. 22, family rights and celebrationis – If
FC] duties, or to the valid where
status, condition, celebrated, then valid
N.B. Not an essential or formal requisite and legal capacity everywhere; forms of
without which the marriage will be void of persons are contracting marriage
[Madridejo v. de Leon, G.R. No. L-32473 binding upon PH are to be regulated by
(1930)]. It is the best evidence that a marriage citizens even the law where it is
does exist. [Tenebro v. CA, G.R. No. 150758 though living celebrated. [Art. 2,
(2004)] abroad [Art. 15, CC]
CC]
Non-existence of a marriage contract will not Foreign marriages
overthrow the presumption of a valid marriage void under PH law Foreign marriages
where all the requisites for its validity have due to lack of an may be void under PH
been complied with. [People v. Borromeo, G.R. essential requisite, law due to absence of
No. L-61873 (1984)] even if valid under a formal requisite
foreign laws, will under foreign laws.
2. Marriages Celebrated Abroad not be recognized.

General Rule: Marriages solemnized abroad
in accordance with the laws in force in that
country shall be valid in the Philippines. [par. 1,
Art 26, FC]
Exceptions
1. Marriage where one or both parties are
below 18 years old [Art. 35(1), FC]
2. Bigamous or polygamous marriage [Art.
35(4), FC]
3. Mistake in identity [Art. 35 (5), FC]
4. Marriages void under Article 53 [Art. 35 (6),
FC]
5. Psychological incapacity [Art. 36, FC]
6. Incestuous marriages [Art. 37, FC]
7. Marriage void for reasons of public policy
[Art. 38, FC]
Proof of Foreign Marriage in order that it may
be upheld:
1. Provisions of the foreign law, and
2. Celebration of the marriage in
accordance with said provisions
3. Foreign Divorce
If the foreign spouse obtains a valid divorce
decree abroad capacitating him/her to remarry,
the Filipino spouse shall have capacity to
remarry under Philippine law. [Art. 26(2), FC]
The citizenship of the spouses at the time of
the divorce determines their capacity to obtain
a valid divorce. [Quita v. Dandan, G.R. No.
124862 (1998)]

Note: This means that the foreign marriage A marriage between two Filipinos cannot be
may still be recognized as valid in the dissolved even by a divorce obtained abroad,
Philippines even if it would have fallen under because of Articles 15 and 17 of the CC [Garcia
Art. 35 (2 and 3) of the FC so long as it is valid v. Recio, G.R. No. 138322 (2001)].

Page 47 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Question: Since it is the citizenship at the time
of the divorce that determines capacity to
obtain a valid divorce, can spouses who are
both dual citizens (Filipino & Alien) get
divorced? What about if both spouses were
originally Filipino, were later naturalized (i.e.
lost their Filipino citizenship), and even later
regained their Filipino citizenship and are now
dual citizens?
Aliens may obtain divorces abroad, which may
be recognized in the Philippines, provided they
are valid according to their national law. The
marriage tie when thus severed as to one party,
ceases to bind either. [Van Dorn v. Romillo,
G.R. No. L-68470 (1985)]
A divorce obtained abroad by a couple, who
are both aliens, may be recognized in the
Philippines, provided it is consistent with their
respective national laws. [Garcia v. Recio, G.R.
No. 138322 (2001)]
Note: Divorces obtained abroad by Filipino
citizens may now be validly recognized in the
Philippines but only in cases of mixed
marriages involving a Filipino and a foreigner.
[Republic of the Philippines v. Manalo, G.R.
No. 221029 (2018)]
In mixed marriages involving a Filipino and a
foreigner, Article 26 of the Family Code allows
the former to contract a subsequent marriage
in case the divorce is (1) “validly obtained
abroad by the alien spouse and (2) is of the
type that legally dissolves the marriage and
capacitating him or her to remarry.” [Garcia v.
Recio, G.R. No. 138322 (2001)]
Note: Following the ruling of Republic of the
Philippines v. Manalo, the divorce may now be
one that was validly obtained by the Filipino
spouse against the foreigner spouse. This is
because Art. 26(2), FC makes no distinction as
to who obtains the divorce. All that is required
is that it is validly obtained abroad. A Filipino
who initiates the divorce proceeding against a
foreign spouse still ends up in the same
position as one whose foreign spouse initiated
proceedings: they both no longer have
spouses. There should be no distinction
Page 48 of 532
CIVIL LAW
between the two cases in order to avoid the
absurd situation where a Filipino spouse is still
married to the alien spouse even though the
latter is capacitated by his own laws to remarry
and is no longer married to the Filipino. [G.R.
No. 221029 (2018)].
Courts will only determine (1) whether the
foreign judgment is inconsistent with an
overriding public policy in the Philippines; and
(2) whether any alleging party is able to prove
an extrinsic ground to repel the foreign
judgment, i.e. want of jurisdiction, want of
notice to the party, collusion, fraud, or clear
mistake of law or fact. If there is neither
inconsistency with public policy nor adequate
proof to repel the judgment, Philippine courts
should, by default, recognize the foreign
judgment as part of the comity of nations.
[Fujiki v. Marinay, G.R. No. 1196049 (2013)]
4. Void Marriages
Types of void marriages
1. Absence of any formal/essential
requisites [Art. 35, FC]
2. Bigamous and polygamous marriages
[Art. 35, (4)]
3. Subsequent marriage, upon
reappearance of spouse [Art. 42, FC]
4. Bad faith of both spouses in the
subsequent marriage under Art. 41, FC
5. Psychologically Incapacitated spouse
[Art. 36, FC]
6. Void subsequent marriages [Art. 35(6),
FC]
7. Incestuous Marriages [Art. 37, FC]
8. Void by reasons of public policy [Art. 38,
FC]
Art. 39, FC. The action or defense for the
declaration of absolute nullity shall not
prescribe. (as amended by RA 8533)
a. Absence of Requisites
Void from the Beginning [Art. 35, FC]
a. Marriage where any party is below
eighteen years of age even with the
consent of parents or guardians
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
b. Marriage solemnized by any person not
legally authorized to perform marriages
unless such marriages were contracted
with either or both parties believing in good
faith that the solemnizing officer had legal
authority to do so.
Note: One’s belief in good faith that the
solemnizing officer has the required
authority is a mistake of fact, and not of
law.
c. Marriage solemnized without a valid
marriage license, except in marriages
under exceptional circumstances
d. Bigamous or polygamous marriages not
falling under Article 41 (Art. 41:
Subsequent marriage by present spouse
who obtained a declaration of presumptive
death for absent spouse prior to the
subsequent marriage)
e. There is a mistake as to the identity of the
other contracting party
f. Subsequent marriages that are void
under Article 53 (Non-compliance with
Art. 52)
To be considered void on the ground of
absence of a marriage license, the law requires
that the absence of such marriage license must
be apparent on the marriage contract, or at the
very least, supported by a certification from the
local civil registrar that no such marriage
license was issued to the parties. [Alcantara v.
Alcantara, G.R. No. 167746 (2007)]
b. Bigamous and Polygamous
Marriages
Elements of a Bigamous Marriage
a. Offender legally married
b. Marriage not legally dissolved
c. Offender contracts a subsequent
marriage
d. Subsequent marriage has all the
essential requisites for validity, except
legal capacity [Capili v. People, G.R. No.
183805, (2013)]
Page 49 of 532
CIVIL LAW
No judicial declaration of nullity
A person entered into a subsequent marriage
WITHOUT first getting a judicial declaration
of nullity of the first void marriage. [Art. 40, FC]
Presumptive death
Failure of the spouse present to obtain a
judicial declaration of presumptive death
before entering a subsequent marriage. [Art.
41, FC]
Bad faith of both spouses
Both spouses entering a subsequent marriage
after presumptive death, who acted in bad
faith. [Art. 44, FC]
It is now settled that the fact that the first
marriage is void from the beginning is not a
defense in a bigamy charge. As with a
voidable marriage, there must be a judicial
declaration of the nullity of a marriage before
contracting the second marriage. [Mercado v.
Tan, G.R. No. 137110 (2000)]
The accused may still be charged with the
crime of bigamy, even if there is a subsequent
declaration of the nullity of the second
marriage, so long as the first marriage was still
subsisting when the second marriage was
celebrated. [Capili v. People, G.R. No. 183805
(2013)]
c. Subsequent Marriage When
One Spouse is Absent
Requirements for Subsequent Marriage to
be Valid When Prior Spouse is Absent [Art.
41, FC]
a. Subsequent marriage due to ordinary
absence where:
1. Absent spouse had been absent for 4
consecutive years;
2. The spouse present had a well-
founded belief that the absent
spouse is dead; and
3. Judicial declaration of presumptive
death was secured (no prejudice to the
effect of the reappearance of the
absent spouse).
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

b. Subsequent marriage due to Exception to the Exception: If there is a

extraordinary absence where: judgment annulling the previous marriage or
1. Absent spouse had been missing for 2 declaring it void ab initio. [Art. 42, FC]
consecutive years;
2. There is danger of death under the Good faith: Period of absence for presumptive
circumstances set forth in Art. 391, CC death is MANDATORY and thus cannot be
attendant to the disappearance; shortened by good faith and if done so, will be
o Onboard vessel lost at sea void. This period is counted from when the
voyage, airplane, party last heard from his/her absentee spouse.
o Armed forces in war, or [Jones v. Hortiguela, G.R. No. 43701 (1937)]
o Danger of death under other
circumstances, existence not Difference between Absence in the CC and
known Family Code
3. The spouse present had a well- Family Code
CC [Art. 390]
founded belief that the missing person [Art. 41]
is dead; and 4 years under
Absent for at
4. Judicial declaration of presumptive normal
death was secured (no prejudice to the least 7 years
As to circumstances
effect of the reappearance of the period 2 years under
absent spouse). Absent for at
extraordinary
least 4 years
circumstances
The belief of the present spouse must be the In order to Declaration of
result of proper and honest to goodness remarry, presumptive
inquiries and efforts to ascertain the As to
summary death is not
whereabouts of the absent spouse and remarriage
proceeding is necessary
whether the absent spouse is still alive or is necessary
already dead. This is drawn from Can be
circumstances before and after the instituted by
disappearance and the nature and extent of As to who the spouse
inquiries made. [Republic v. Granada, G.R. No. can present, any The spouses
187592 (2012)] institute the interested themselves
action party, and the
Effect of Reappearance of Absent Spouse subsequent
General rule: The subsequent marriage spouse
remains valid. Subsequent
marriage is Upon
Exception: It is automatically terminated by automatically reappearance,
the recording of the affidavit of reappearance As to effect terminated by judicial
of the absent spouse at the instance of any on the recording proceeding is
interested person, with due notice to the subsequent of an affidavit necessary to
spouses of the subsequent marriage. [Art. 42, marriage of declare
FC] reappearance marriage null
of the absent and void
Note: It is the recording of the affidavit of spouse
reappearance that automatically terminates the Well-founded
subsequent marriage. Hence, if absentee belief that the Generally
spouse reappears without recording affidavit of As to
absent believed to be
reappearance, then there is no legal effect. ground
spouse is dead
Meanwhile, absentee spouse cannot remarry. dead
[Tolentino]

Page 50 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Related Provisions the essential marital obligations of marriage,

Art. 390, CC. After an absence of 7 years, it shall likewise be void even if such incapacity
being unknown whether or not the absentee becomes manifest only after its
still lives, he shall be presumed dead for all solemnization.
purposes, except for those of succession.
Psychological Vice of
The absentee shall not be presumed dead Incapacity Consent
for the purpose of opening his succession till Has nothing to do with
after an absence of 10 years. If he consent, but the incapacity The consent
disappeared after the age of 75 years, an to comply with the essential itself is
absence of 5 years shall be sufficient in marital obligations of defective
order that his succession may be opened. marriage

The following shall be presumed dead for all Psychological

purposes, including the division of the estate Insanity
Incapacity
among the heirs: Consent might be valid,
a. A person on board a vessel lost during a but the party is unable
sea voyage, or an aeroplane which is Vice of consent
to assume essential
missing, who has not been heard of for marital obligations
four years since the loss of the vessel or Ground for
aeroplane; Ground for nullity
annulment
b. A person in the armed forces who has
taken part in war, and has been missing for The application of Art. 36 is confined to the
four years; most serious cases of personality disorders
c. A person who has been in danger of clearly demonstrative of an utter insensitivity or
death under other circumstances and inability to give meaning and significance to the
his existence has not been known for four marriage. [Santos v. CA, G.R. No. 112019
years. [Art. 391, CC] (1995)]

N.B. Although 7 years is required for the
presumption of death of an absentee in the CC,
the FC makes an exception for the purpose of
remarriage by limiting such requirement to 4
years.
d. Bad Faith of Both Spouses
The psychological illness that must have
afflicted a party at the inception of the
marriage should be a malady so grave and
permanent as to deprive one of awareness
of the duties and responsibilities of the
matrimonial bond he or she is about to assume.
[Marcos v. Marcos, G.R. No. 136490 (2000)]

Art. 44, FC. If both spouses of the
subsequent marriage acted in bad faith, said
marriage shall be void ab initio and all
donations by reason of marriage and
testamentary dispositions made by one in
favor of the other are revoked by operation
of law.
e. Psychological Incapacity
Art. 36, FC. A marriage contracted by any
party who, at the time of the celebration, was
psychologically incapacitated to comply with
There are 3 characteristics for determining
psychological incapacity:
a. Gravity - grave or serious such that the
party cannot carry out normal and ordinary
duties of marriage under ordinary
circumstances;
b. Juridical Antecedence - it must be rooted in
the history of the party before the marriage;
and
c. Incurability - must be incurable OR the cure
is beyond the means of the party [Santos v.
Bedia-Santos, G.R. No. 112019 (1995)]

Page 51 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Molina Doctrine in Psychological Incapacity
a. The burden of proof to show the nullity of
the marriage belongs to the plaintiff. This is
to be investigated by the OSG for collusion.
b. The root cause of the psychological
incapacity must be:
1. Medically or clinically identified;
2. Alleged in the complaint;
3. Sufficiently proven by the experts; and
4. Clearly explained in the decision.
c. The incapacity must be proven to be
existing at “the time of the celebration”
of the marriage.
d. Such incapacity must also be shown to be
medically or clinically permanent or
incurable.
e. Such illness must be grave enough to
bring about the disability of the party to
assume the essential obligations of
marriage.
f. The essential marital obligations must
be those embraced by Articles 68 up to 71
of the Family Code as regards the husband
and wife as well as Articles 220, 221, and
225 of the same Code in regard to parents
and their children.
g. Interpretations given by the National
Appellate Matrimonial Tribunal of the
Catholic Church in the Philippines, while
not controlling/decisive, should be given
great respect by our courts.
h. The trial court must order the prosecuting
attorney or fiscal and the Solicitor
General to appear as counsel for the
state. No decision shall be handed down
unless the Solicitor General issues a
certification. [Republic v. Molina, G.R. No.
108763 (1997)]
Psychological incapacity may be established
by the totality of the evidence presented.
Personal medical examination could be
dispensed with. [Marcos v. Marcos, G.R. No.
136490 (2000)]
There is no requirement that the respondent be
medically examined first. [Republic v. San
Jose, G.R. No. 168328 (2007)]
The stringent requirements set forth by Molina
should be relaxed and applied case-to-case.
Page 52 of 532
CIVIL LAW
To require the allegation of the root cause of
psychological incapacity by an accredited
psychologist may prove too expensive for the
parties. But where the parties had full
opportunity to present expert opinions, such
will be weighed by the Court in its decision.
[Ting v. Velez-Ting, G.R. No. 166562, (2009)]
Examples of Psychological Incapacity
The senseless and protracted refusal of one of
the parties to fulfill the marital obligation "to
procreate children based on the universal
principle that procreation of children through
sexual cooperation is the basic end of
marriage," is equivalent to psychological
incapacity. “A man who can but won’t is
psychologically incapacitated.” [Tsoi v. CA,
G.R. No. 119190 (1997)]
“Pathological liar” considered as psychological
incapacity; Molina guidelines met. [Antonio v.
Reyes, G.R. No. 155800 (2006)]
Note: This case also gave weight to the fact
that the Church annulled the marriage.
Marriages where both parties are afflicted with
grave, severe, and incurable psychological
incapacity shall likewise be void [Te v. Te, G.R.
No. 161793 (2009)].
Note: Both spouses have personality
disorders.
f. Incestuous Marriage
Marriages between the following are
considered incestuous, and are therefore
void ab initio:
a. Between ascendants and descendants
of any degree, legitimate or illegitimate
b. Between brothers and sisters, whether
full or half blood, legitimate or illegitimate
[Art. 37, FC]
g. Against Public Policy
Marriages between the following are
considered against public policy, and are
therefore void ab initio:
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
a. Between collateral blood relatives,
legitimate or illegitimate, up to the fourth
civil degree;
b. Between step-parents and step-children;
N.B. Stepbrothers and stepsisters can
marry because marriages between them
are not among those enumerated in Article
38.
c. Between parents-in-law and children-in-
law;
d. Between adopting parent and adopted
child;
e. Between the surviving spouse of the
adopting parent and the adopted child;
f. Between the surviving spouse of the
adopted child and the adopter;
g. Between an adopted child and a legitimate
child of the adopter;
h. Between adopted children of the same
adopter; and
i. Between parties where one, with the
intention to marry the other, killed that other
person's spouse, or his or her own spouse
[Art. 38, FC]
Note: The following relationships are outside of
Articles 37 and 38, and are therefore not
impediments to marriage:
a. Brother-in-law with sister-in-law;
b. Stepbrother with stepsister;
c. Guardian with ward;
d. Adopted with illegitimate child of the
adopter;
e. Adopted son of the husband with
adopted daughter of the wife.
h. Non-Compliance with
Recording Requirement
after Declaration of Nullity
Page 53 of 532
CIVIL LAW
Subsequent marriage of spouses, where the
requirements of recording under Art. 52 have
not been complied with, shall be null and void.
[Art. 53, FC]
The judgment of annulment or of absolute
nullity of the marriage, the partition and
distribution of the properties of the spouses
and the delivery of the children's presumptive
legitimes shall be recorded in the appropriate
civil registry and registries of property;
otherwise, the same shall not affect third
persons. [Art. 52, FC]
Under the CC, no judicial declaration for nullity
of previous marriage was required to contract
a subsequent marriage. [People v. Mendoza,
G.R. No. L-5877 (1954)]
EFFECTS OF TERMINATION OF
SUBSEQUENT MARRIAGE UNDER ART. 42
[Art. 43, FC]
a. Children of subsequent marriage:
conceived prior to its termination
considered legitimate; custody and support
decided by court in a proper proceeding.
b. Property Regime: dissolved and
liquidated (party in bad faith shall forfeit
his/her share in favor of the common
children or if there are none, children of the
guilty spouse by a previous marriage, and
in case there are none, to the innocent
spouse).
c. Donation propter nuptias: remains valid,
(but if the donee contracted marriage in
bad faith, donations are revoked by
operation of law)
d. Insurance benefits: innocent spouse may
revoke designation of guilty party as
beneficiary, even if such designation is
stipulated as irrevocable.
e. Succession Rights: party in bad faith shall
be disqualified to inherit from the innocent
spouse, whether testate or intestate.
Both spouses guilty of bad faith
If both spouses of the subsequent marriage
acted in bad faith, all donations by reason of
marriage and testamentary dispositions made
by one party in favor of the other are revoked
by operation of law. [Art. 44, FC]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Who may file the petition for nullity of void
marriages?
General Rule: Only the husband or wife may
file the petition. [AM No. 02-11-10 SC, Sec. 2]
Specifically, A.M. No. 02-11-10-SC extends
only to marriages covered by the Family Code,
which took effect on August 3, 1988, but, being
a procedural rule that is prospective in
application, is confined only to proceedings
commenced after March 15, 2003. [Ablaza v.
Republic, G.R. No 158298 (2010)]
Exceptions
a. Nullity of marriage cases commenced
before effectivity of A.M. No. 02-11-10-SC
b. Marriages celebrated during the effectivity
of the CC. [Carlos v. Sandoval, G.R. No
179922 (2008)]
Procedure in Attacking a Void Marriage
General Rule: Void Marriages may be
attacked collaterally or directly.
Exception: A person in a void marriage must
first file for a declaration of nullity in order to
subsequently marry.
Requisites for Valid Remarriage
a. The previous marriage should be judicially
declared void or annulled (final judgment)
[Terre v. Terre, A.M. No. 2349 (1992),
Atienza v. Brillantes, A.M. No. MTJ-92-706
(1995)]; Wiegel v. Sempio-Dy, G.R. No. L-
53703 (1986)].
b. Must comply with the requirements of Art.
52, FC.
Art. 52, FC. The judgment of annulment or
of absolute nullity of the marriage the
partition and distribution of the properties of
the spouses and the delivery of the
children's presumptive legitimes shall be
recorded in the appropriate civil registry and
registries of property; otherwise the same
shall not affect third persons.
Safeguard Against Collusion and No
Confession of Judgment
In the cases referred to in the preceding
paragraph, no judgment shall be based upon a
Page 54 of 532
CIVIL LAW
stipulation of facts or confession of judgment.
[Art. 48 (2), FC]
Stipulation of Facts
An admission by both parties after agreeing to
the existence of any of the grounds or facts that
would constitute a void/voidable marriage.
Confession of Judgment
The admission by one party admitting his/her
fault to cause the invalidity of the marriage.
Although the admission of guilt of the wife
constitutes a confession of judgment, the
husband was also able to present other
evidence to support the allegation. Hence,
there was no collusion. [Ocampo v.
Florenciano, G.R. No. L-13553 (1960)]
Participation of the OSG
The obvious intent of the AM 02-11-10-SC was
to require the OSG to appear as counsel for the
State in the capacity of a defensor vinculi (i.e.,
defender of the marital bond) to oppose
petitions for, and to appeal judgments in favor
of declarations of nullity of marriage under
Article 36 of the Family Code, thereby ensuring
that only the meritorious cases for the
declaration of nullity of marriages based on
psychological incapacity-those sufficiently
evidenced by gravity, incurability and juridical
antecedence-would succeed. [Mendoza v.
Republic, G.R. No. 157649 (2012)]
No Motion to Dismiss
AM 02-11-10-SC Sec. 7 prohibits the filing of a
motion to dismiss in actions for annulment of
marriage. [Aurelio v. Aurelio, G.R. No. 175367
(2011)]
Effect of pendency of action for declaration
of nullity:
a. The court shall provide for the support of
the spouses.
b. The custody and support of the common
children, giving paramount consideration to
their moral and material welfare, their
choice of parent with whom they wish to
remain.
c. The court shall also provide for visitation
rights of the other parent. [Art. 49, FC]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Effect of Res Judicata
Suffice it to state that parties are bound not only
as regards every matter offered and received
to sustain or defeat their claims or demand but
as to any other admissible matter which might
have been offered for that purpose and of all
other matters that could have been adjudged in
that case. [Mallion v. Alcantara, G.R. No.
141528 (2006)]
Effect of Final Judgment Declaring Nullity
The effects provided for by paragraphs (2), (3),
(4) and (5) of Article 43 and by Article 44 shall
also apply in the proper cases to marriages
which are declared void ab initio or annulled by
final judgment under Articles 40 and 45 [Art.
50(1), FC].
Final judgment in such cases shall provide for:
a. Liquidation, partition, and distribution of the
properties of the spouses
b. Custody and support of the common
children
c. Delivery of their presumptive legitimes
UNLESS: such matters had been adjudicated
in previous judicial proceedings. [Art. 50(2),
FC]
All creditors of the spouses/property regime
shall be notified of the proceedings for
liquidation [Art. 50(2 and 3), FC]
In the partition, the conjugal dwelling and lot
shall be adjudicated to the spouse with whom
majority of the common children remain [Art.
102 and 129, Art. 50(4), FC]
Generally, children born or conceived within
void marriages are illegitimate.
Exceptions
a. Children conceived or born before the
judgment under Article 36 has become final
and executory [Art. 54, FC]
b. Children conceived or born of subsequent
marriages under Article 53 [Art. 54, FC]
Page 55 of 532
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5. Voidable marriages
Art. 4, FC states that “xxx A defect in any of
the essential requisites shall render the
marriage voidable as provided in Article 45.”
Grounds for annulment that must exist at
the time of the marriage [Art. 45, FC]
a. The party in whose behalf it is sought to
have the marriage annulled was eighteen
years of age or over but below twenty-
one, and the marriage was solemnized
without the consent of the parents,
guardian or person having substitute
parental authority over the party, in that
order, UNLESS after attaining the age of
twenty-one, such party freely cohabited
with the other and both lived together as
husband and wife;
b. Either party was of unsound mind,
UNLESS such party after coming to
reason, freely cohabited with the other as
husband and wife;
c. The consent of either party was obtained
by fraud, UNLESS such party afterwards,
with full knowledge of the facts constituting
the fraud, freely cohabited with the other as
husband and wife;
d. The consent of either party was obtained
by force, intimidation or undue
influence, UNLESS the same having
disappeared or ceased, such party
thereafter freely cohabited with the other as
husband and wife;
e. Either party was physically incapable of
consummating the marriage with the
other, and such incapacity continues and
appears to be incurable; or
f. Either party was afflicted with a sexually
transmissible disease found to be
serious and appears to be incurable.
Nature of an Action for Annulment
Action in rem, concerns status of parties; res is
relation between parties or marriage tie;
jurisdiction depends on nationality or domicile
not the place of celebration.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
a. Lack of Parental Consent
Article 45(1) provides the first ground for a
voidable marriage, which is the solemnization
of a marriage of a party between 18-21 years
of age without the consent of their parents.
Note: Art. 14, FC states that in case either or
both of the contracting parties, not having been
emancipated by a previous marriage, are
between the ages of eighteen and twenty-one,
THEY SHALL, in addition to the requirements
of the preceding articles:
a. Exhibit to the local civil registrar the
consent to their marriage of their father,
mother, surviving parent or guardian, or
persons having legal charge of them, in the
order mentioned
1. Manifested in writing by the interested
party, who personally appears before
the proper local civil registrar, or
2. In the form of an affidavit made in the
presence of two witnesses and
attested before any official authorized
by law to administer oaths
b. Record such personal manifestation in
both applications for marriage license, and
the affidavit, if one is executed instead,
shall be attached to said applications.
May be ratified by the party 18 or above but
below 21 upon free cohabitation upon reaching
21.
b. Insanity
Article 45(2) provides the second ground for a
voidable marriage, which is a marriage entered
into by an insane party or a person of unsound
mind.
Test of Insanity: Whether the party at the time
of marriage was capable of understanding the
nature and consequences of marriage itself
[Sempio-Diy]
Mental incapacity or insanity is a vice of
consent. It can be ratified by cohabitation after
insanity is cured or during a lucid interval.
Page 56 of 532
CIVIL LAW
Mere mental weakness is not a ground for
annulment, but if found grave enough, it may
amount to psychological incapacity.
Intoxication amounting to lack of mental
capacity as well as somnambulism are
considered unsoundness of mind, as there was
no knowledge of what he or she was giving
consent to. [Tolentino]
Must exist at the time of the celebration of the
marriage. Insanity that occurs after the
celebration of marriage does not constitute a
cause for nullity [Katipunan v. Tenorio, G.R.
No. 43442 (1937)]
c. Fraud
Article 45(3) provides the third ground for a
voidable marriage, wherein consent to the
marriage was obtained through fraud. The
party who was the victim of the fraud may,
however, ratify the detect in the marriage by
voluntarily cohabiting with the party after
knowledge of the facts constituting the fraud.
Art. 46, FC. Any of the following
circumstances shall constitute fraud referred
to in No. 3 of the preceding Article:
1. Non-disclosure of a previous
conviction by final judgment of the
other party of a crime involving moral
turpitude;
2. Concealment by the wife of the fact
that at the time of marriage, she was
pregnant by a man other than her
husband;
3. Concealment of sexually
transmissible disease, regardless of
its nature, existing at the time of
marriage; or
4. Concealment of drug addiction,
habitual alcoholism or
homosexuality or lesbianism existing
at the time of marriage.
No other misrepresentation or deceit as to
character, health, rank, fortune or chastity
shall constitute such fraud as will give
grounds for the action of annulment of
marriage.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Note: The enumeration of the grounds for
annulment under Art. 46 for reasons of fraud or
vice of consent is exclusive. No other
misrepresentation or deceit of character,
health, rank, fortune or chastity shall constitute
fraud.
Non-disclosure of conviction of crime
involving moral turpitude
1. The crime must involve moral
turpitude, or “Conduct that is contrary
to justice, honesty, and morality”
[Black’s Law Dictionary].
2. Must be convicted by final judgment
3. Conviction must be prior to marriage
A crime involves moral turpitude when it
pertains to an act of “baseness, vileness,
depravity in the private and social duties which
a man owes to his fellow man or to society in
general, contrary to the accepted and
customary rules of right and duty between man
and man.” [Teves v. COMELEC (2009)]
Concealment of pregnancy by another man
Wife must have:
a. Concealed her pregnancy AND
b. Pregnancy is by another man other
than her husband
If the husband knew of pregnancy, the
marriage cannot be annulled on the ground of
concealment.
The woman was 7 months pregnant at the time
she met petitioner. He cannot claim that the
pregnancy was concealed from him and that he
was defrauded into marrying her. [Buccat v.
Buccat, G.R. No 47101 (1941)]
But where the wife concealed the fact that she
was 4 months pregnant during the time of the
marriage and was “naturally plump,” Delizo
could hardly be expected to know, by mere
looking, whether or not she was pregnant at the
time of the marriage. [Aquino v. Delizo, G.R.
No. L-15853 (1960)]
Note: May be ratified upon free cohabitation
after knowledge of fraud.
Page 57 of 532
CIVIL LAW
Concealment of sexually transmissible
disease
The STD that was concealed from the other
spouse need not be serious and incurable.
When the ground for annulment falls under
Article 46(3) vis-à-vis Article 45(3), the healthy
spouse through cohabitation can still ratify the
marriage because the defect is in the fact of the
concealment and not the gravity of the disease.
Hence, even if the STD is treatable, the fraud
gives the unsuspecting spouse the right to file
for annulment.
Concealment of drug addiction, habitual
alcoholism, homosexuality or lesbianism
The non-disclosure of the drug addiction,
habitual alcoholism, homosexuality or
lesbianism must have been done prior to the
marriage. Recovery or rehabilitation from STD,
drug addiction, and habitual alcoholism will
NOT bar action for annulment; the defect is not
the disease, but the fraud which vitiated
consent. [Tolentino]
It is the concealment of homosexuality, and not
homosexuality per se, that vitiates the consent
of the innocent party. Such concealment
presupposes bad faith and intent to defraud the
other party in giving consent to the marriage.
[Almelor v. RTC, G.R. No. 179620 (2008)]
Any other misrepresentation
Article 46 categorically states that any other
misrepresentation as to character, health, rank,
fortune, or chastity shall not be a manifestation
of fraud sufficient to be a ground for annulment
of marriage.
The non-disclosure of a husband’s premarital
relationship with another woman does not
constitute fraud. It was expressly stated in
Article 46 that misrepresentation or deceit as to
one’s chastity shall not be a basis for an action
to annul a marriage. [Anaya v. Palaroan
(1970)]
d. Force, Intimidation, Undue
Influence
Article 45(4) provides the fourth ground for a
voidable marriage, wherein the consent of one
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

party was obtained by violence, intimidation, or
undue influence.
Force must be one to prevent the party from
acting as a free agent; will be destroyed by
fear/compulsion.
To constitute fraud, the concealed impotency
must exist at time of marriage, and be
continuous and incurable. If incapacity can be
remedied or is removable by operation, not
annullable [Sarao v. Guevarra, G.R. No. 47063
(1940)].

There is violence when in order to wrest If the potent spouse was aware, it is implied
consent, serious or irresistible force is that he/she renounced copulation by
employed. [Art. 1335, CC] consenting to the marriage. [Tolentino]

Intimidation must be one as to compel the When both spouses are impotent, marriage
party by a reasonable and well-grounded cannot be annulled because neither spouse is
fear of an imminent and grave evil upon his aggrieved. [Sempio-Dy]
person/properties [Art. 1335, CC]
a. Degree of intimidation: age, sex, REFUSAL of wife to be examined DOES NOT
condition of person borne in mind PRESUME impotency [Jimenez v. Canizares,
b. Threat or intimidation as not to act as G.R. No. L-12790 (1960)].
free agent
f. Sexually-Transmissible
Note: A threat to enforce one’s claim through Disease Serious And
competent authority, if one’s claim is just and Incurable
legal, does not vitiate consent [Art. 1335, CC]
Affliction of STD is unknown to the other
There is undue influence when a person
spouse. The other spouse must also be free
takes improper advantage of his power or
from a similar STD. [Balane]
position over the will of another, depriving the
latter of a reasonable freedom of choice.
Requisites
Among the circumstances that define improper
a. Should exist at the time of the marriage
advantage are the (1) confidential, (2) family, b. Should be found serious
(3) spiritual, (4) professional or other
c. Should appear to be incurable
relationship between the parties, or the fact
that the person alleged to have been unduly
Not subject to ratification: cannot be ratified
influenced was suffering from (5) mental
or validated by cohabitation.
weakness, (6) ignorance, or (7) was in financial
or emotional distress. [Art. 1337, CC]
Who may file, prescription, ratification
Who
May be ratified upon voluntary cohabitation Ground Prescrip- Ratifica-
can file
after force, intimidation, or undue influence has (Art. tion (art. tion (Art.
(Art. 47,
ceased or disappeared. 45, FC) 47, FC) 45, FC)
FC)
Party 18 Within 5 Free
e. Impotency or above years after cohabitati
but attaining on of the
Impotency refers to the person’s physical Lack of below 21 age of 21 party who
condition where sexual intercourse with a Parenta entered
person of the opposite sex is impossible. It l Parent or the
Before
does not refer to mere sterility. Consen guardian marriage
party below
t who did without
21 reaches
Refers to the inability to copulate, not not give parental
21
procreate. consent consent
after

Page 58 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

attaining prescribe
age of 21 s
Free Cannot
cohabitati Within 5 be ratified
Sane Healthy
on of STD years after by action;
spouse party
Any time insane marriage prescribe
with no
before the party s
knowled
death of after
ge of the
either party insane Marriages not subject to ratification
other’s
party a. One spouse is incurably impotent
insanity
comes to b. One spouse has incurable STD
reason
Legal Reason: Public policy and health.
Insanity
guardian
of insane Note: Though these marriages cannot be
party
ratified, the petition for annulment will prescribe
During
within 5 years.
lucid
interval or
Insane after
Presence of Prosecutor
party regaining To prevent collusion between the parties,
sanity, and fabrication or suppression of evidence, the
before prosecuting attorney or fiscal shall appear on
death behalf of the State. [Art. 48, FC]
Free
cohabitati In a legal separation or annulment case, the
on of the prosecuting attorney must first rule out
Within 5 defraude collusion as a condition sine qua non for further
Injured
years after d party proceedings. A certification by the prosecutor
Fraud (defraud
discovery after that he was present during the hearing and
ed) party
of fraud having even cross-examined the plaintiff does not
full suffice to comply with the mandatory
knowledg requirement. [Corpuz v. Ochoterena, A.M. No.
e of fraud RTJ- 04-1861 (2004)]
Free
cohabitati Effects of Pending Decree of Annulment
on of the The Court shall provide for the support of
Within 5 injured spouses and support and custody of common
years after party children [Art. 49, FC]. In determining which
Force,
disappeara after the
Intimida parent should have custody of them, their
nce of force or
-tion, Injured moral and material welfare shall be given
force, intimidati
undue party paramount consideration. [Art. 49, FC; Luna
undue on or
influ- and Luna v. IAC, G.R. No. L-68374 (1985)]
influence, undue
ence
or influence
intimidation has Effects of Decree of Annulment
ceased or (Same as Decree of Nullity)
disappea The effects provided for by paragraphs (2), (3),
red (4) and (5) of Article 43 and by Article 44 shall
Within 5 Cannot also apply in the proper cases to marriages
Impoten Potent
years after be ratified which are declared void ab initio or annulled by
ce spouse
marriage by action; final judgment under Articles 40 and 45 [Art.
50(1), FC].

Page 59 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

A proper
Comparative Table on Void and Voidable interested
Marriages person
Who May A party to
Void Voidable (depending on
Challenge the
No validity the dates of
Validity marriage
from the time marriage and
of of filing of
Valid until
Nature performance; proceeding)
annulled
inexistent Susceptible
Does not
from the very to Prescribes
prescribe
beginning Prescription
Can be
Susceptible
Cannot be ratified, 6. Unmarried Cohabitation
to
ratified subject to 2
Ratification
exceptions Though there is no technical marital
Only co- partnership between persons living as husband
ACP or any
ownership and wife, without being lawfully married,
other
[Art. 147, FC] ; nevertheless there is between them an
property
No ACP or informal civil partnership which would entitle
Property regime in
CPG despite the parties to an equal interest in property
Relation accordance
having acquired by their joint efforts [Lesaca v.
with the
entered into a Lesaca, G.R. No. L-3605 (1952)]
marriage
marriage
settlement
settlement Property regimes for common-law marriages
Illegitimate are provided for in Art. 147 and 148 of the
Children
under Art. Family Code (Refer to “Property Regime of
are
165, FC (with Unions without Marriage” for further
legitimate if
Status of Arts. 36 and discussion).
conceived
Children 53, FC as
or born
exceptions
prior to the
under Art. 54,
FC)
decree D. LEGAL SEPARATION
May be
attacked
directly or An action for legal separation involves nothing
collaterally, more than the bed-and-board separation of the
but for the spouses. It is purely personal in nature. [Lapuz
Cannot be Sy v. Eufenio, G.R. No. L-30977 (1972)]
purpose of
attacked
remarriage, a
collaterally 1. Grounds for Legal Separation
judicial
How declaration of [Art. 55, FC]:
Cannot be
Impugned nullity is
impugned
required [Art. a. 1st Ground: Repeated physical
after death
40, FC] violence or grossly abusive conduct
of one of
the parties directed against the petitioner, a
Can be common child, or a child of the
impugned petitioner;
even after
death of the For the purposes of Art. 55, the term “child”
parties shall include a child by nature or by adoption.

Page 60 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Acts of Violence according to the “Anti-
Violence Against Women and Their
Children Act of 2004” [R.A. No. 9262] (as
grounds for legal separation under Art.
55(1), FC)
1. Causing physical harm to the woman or her
child;
2. Threatening to cause the woman or her
child physical harm;
3. Attempting to cause the woman or her child
physical harm;
4. Placing the woman or her child in fear of
imminent physical harm;
5. Attempting to compel or compelling the
woman or her child to engage in conduct
which the woman or her child has the right
to desist from or desist from conduct which
the woman or her child has the right to
engage in, or attempting to restrict or
restricting the woman's or her child's
freedom of movement or conduct by force
or threat of force, physical or other harm or
threat of physical or other harm, or
intimidation directed against the woman or
child. This shall include, but not limited to,
the following acts committed with the
purpose or effect of controlling or restricting
the woman's or her child's movement or
conduct:
a. Threatening to deprive or actually
depriving the woman or her child of
custody to her/his family;
b. Depriving or threatening to deprive the
woman or her children of financial
support legally due her or her family, or
deliberately providing the woman's
children insufficient financial support;
c. Depriving or threatening to deprive the
woman or her child of a legal right;
d. Preventing the woman in engaging in
any legitimate profession, occupation,
business or activity or controlling the
victim's own money or properties, or
solely controlling the conjugal or
common money, or properties;
6. Inflicting or threatening to inflict physical
harm on oneself for the purpose of
controlling her actions or decisions;
7. Causing or attempting to cause the woman
or her child to engage in any sexual activity
which does not constitute rape, by force or
Page 61 of 532
CIVIL LAW
threat of force, physical harm, or through
intimidation directed against the woman or
her child or her/his immediate family;
8. Engaging in purposeful, knowing, or
reckless conduct, personally or through
another, that alarms or causes substantial
emotional or psychological distress to the
woman or her child. This shall include, but
not be limited to, the following acts:
i. Stalking or following the woman or
her child in public or private places;
ii. Peering in the window or lingering
outside the residence of the
woman or her child;
iii. Entering or remaining in the
dwelling or on the property of the
woman or her child against her/his
will;
iv. Destroying the property and
personal belongings or inflicting
harm to animals or pets of the
woman or her child; and
v. Engaging in any form of
harassment or violence.
9. Causing mental or emotional anguish,
public ridicule or humiliation to the woman
or her child, including, but not limited to,
repeated verbal and emotional abuse, and
denial of financial support or custody of
minor children of access to the woman's
child/children.
b. 2nd Ground: Physical violence or
moral pressure to compel the
petitioner to change religious or
political affiliation;
The law does not require the violence or moral
pressure to be repeated. A single act of
violence is sufficient to be a ground since
religious and political belief are human rights.
[Tolentino]
c. 3rd Ground: Attempt of respondent
to corrupt or induce the petitioner, a
common child, or a child of the
petitioner, to engage in prostitution,
or connivance in such corruption or
inducement;
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Only the respondent spouse must be guilty of
corrupting or inducing the petitioner, a common
child or a child of the petitioner to engage in
prostitution.
d. 4th Ground: Final judgment
sentencing the respondent to
imprisonment of more than six
years, even if pardoned;
e. 5th Ground: Drug addiction or
habitual alcoholism of the
respondent
f. 6th Ground: Lesbianism or
homosexuality of the respondent;
To constitute grounds for legal separation, the
cause (i.e., drug addiction, habitual alcoholism,
lesbianism or homosexuality) does not have to
be existing at the time of the celebration of
marriage; it is enough that it arises during the
existence of the marriage. Otherwise, it will be
a ground for annulment under Art. 46(4), FC in
relation to Art. 45(3), FC.
g. 7th Ground: Contracting by the
respondent of a subsequent
bigamous marriage, whether in the
Philippines or abroad;
The elements for bigamy to be prosecuted in
the Philippines are:
1. Offender has been legally married
2. The marriage has not been legally
dissolved or, in case his or her
spouse is absent, the absent
spouse could not yet be presumed
dead
3. Offender contracts a subsequent
marriage
4. Subsequent marriage has all the
essential requisites for validity,
except legal capacity. [Capili v.
People, G.R. No. 183805 (2013)]
As a ground for legal separation however,
there is no need for a criminal conviction for
bigamy.
Page 62 of 532
CIVIL LAW
h. 8th Ground: Sexual infidelity or
perversion;
Adultery is not a continuing crime; it is
consummated at every moment of carnal
knowledge. Thus, every sexual act is a ground
for legal separation. [People v. Zapata and
Bondoc, G.R. No. L-3047 (1951)]
A civil action for legal separation based on
concubinage may proceed ahead of, or
simultaneously with, a criminal action for
concubinage; conviction is not a prerequisite
[Gandionco v. Penaranda, G.R. No. 79284
(1987)].
i. 9th Ground: Attempt by the
respondent against the life of the
petitioner; or
j. 10th Ground: Abandonment of
petitioner by respondent without
justifiable cause for more than one
year.
Abandonment is not mere physical
estrangement but also financial and moral
desertion. There must be an absolute
cessation of marital relations, duties, and rights
with the intention of perpetual separation. [Dela
Cruz. v. Dela Cruz, G.R. No. L-19565 (1968)]
To be a ground for legal separation,
abandonment must be without just cause.
[Ong Eng Kiam v. Ong, G.R. No. 153206
(2006)]
2. Defenses [Art. 56, FC]:
a. Condonation by aggrieved party –
after the commission of the offense;
may be expressed or implied.
Condonation may be given expressly or
impliedly. An example of an implied
condonation is when a husband repeatedly has
intercourse with the wife despite the wife’s
cruelty. “Although he did not wish it, [he did it]
eventually for the sake of peace.” [Willan v.
Willan, G.R. No. L-13553 (1960)]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
b. Consent by aggrieved party to the
commission of the offense – before
the commission of the offense; may
be express (e.g. written agreement,
[Matubis v. Praxedes, G.R. No. L-
11766 (1960)] or implied
A written agreement between the spouses,
which provided that they were “free to get any
mate and live with as husband and wife without
any interference by any of us, nor either of us
can prosecute the other for adultery or
concubinage or any other crime or suit arising
from our separation” amounted to express
condonation of and consent to the adulterous
acts of wife. [Matubis v. Praxedes, G.R. No. L-
11766 (1960)]
The non-interference of the husband with
regard to the amorous relations between his
wife and Ramos constitutes consent. [People
v. Sensano and Ramos, G.R. No. L-37720
(1933)]
c. Connivance between parties in the
commission of the offense
Connivance is present when the husband
throws no protection around his wife nor warns
her against intimacy with the driver. A husband
who had reliable reports for two months that
gave him reason to suspect that his wife was
having an affair with her driver yet did nothing
to keep the latter away is guilty of connivance.
[Sargent v. Sargent, 114 A. 428 (1920)]
d. Mutual guilt or recrimination
between spouses in the commission
of any ground for legal separation
e. Collusion between parties to obtain
decree of legal separation
Collusion in matrimonial cases is the act of
married persons in procuring a divorce by
mutual consent, whether by preconcerted
commission by one of a matrimonial offense, or
by failure, in pursuance of agreement, to
defend divorce proceedings. [Brown v.
Yambao, G.R. No. L-10699 (1957)]
Page 63 of 532
CIVIL LAW
f. Prescription of action for legal
separation
Art. 57, FC. An action for legal separation
shall be filed within five years from the time
of the occurrence of the cause.
g. Reconciliation of parties during
pendency of action [Art. 66(1), FC]
Art. 65, FC. If the spouses should reconcile,
a corresponding joint manifestation under
oath duly signed by them shall be filed with
the court in the same proceeding for legal
separation.
Art 66, FC. The reconciliation referred to in
the preceding Articles shall have the
following consequences:
1. The legal separation proceedings, if still
pending, shall thereby be terminated at
whatever stage; and
2. The final decree of legal separation shall
be set aside, but the separation of property
and any forfeiture of the share of the guilty
spouse already effected shall subsist, unless
the spouses agree to revive their former
property regime.
The court’s order containing the foregoing
shall be recorded in the proper civil
registries.
h. Death of either party during
pendency of action
Death of plaintiff before decree of legal
separation abates the action. There is no more
need for legal separation because the marriage
is already dissolved by the death of one of the
parties. [Lapuz Sy v. Eufemio, G.R. No. L-
30977 (1972)].
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
3. Procedure
Who may file the action
A petition for legal separation may be filed only
by the husband or the wife. [Sec. 2, A.M. No.
02-11- 11-SC (Rule on Legal Separation)]
Where to file the action
The petition shall be filed in the Family Court of
the province or city where the petitioner or the
respondent has been residing for at least six
months prior to the date of filing “or in the case
of a non-resident respondent, where he may be
found in the Philippines, at the election of the
petitioner.” [Sec. 2, A.M. No. 02-11-11-SC]
When to File Action
An action for legal separation shall be filed
within five years from the time of the
occurrence of the cause. [Art. 57, FC and A.M.
No. 02-11-11-SC]
Cooling-off and Reconciliation Effects
An action for legal separation shall in no case
be tried before six months shall have elapsed
since the filing of the petition. [Art. 58, FC]
Actions cannot be tried unless the court has
attempted to reconcile the spouses, and
determined that despite such efforts,
reconciliation is highly improbable. [Art. 59]
N.B. This is without prejudice to judicial
determination of custody of children, alimony,
and support pendente lite.
Courts can still resolve other issues, pending
the waiting period or cooling off period. In
resolving other issues, courts should try not to
touch, as much as possible, on the main issue
(i.e. adultery if that is the ground used).
However, Court must still receive evidence if
just to settle incidental issues of support and
custody. [Araneta v. Concepcion, G.R. No. L-
9667 (1956)]
N.B. This provision of the Family Code
dictating a mandatory 6-month cooling-off
period does not apply in cases where violence,
as used in R.A. No. 9262 (Anti-Violence
Against Women and their Children), is alleged.
Page 64 of 532
CIVIL LAW
The case should be heard as soon as possible
by the court.
Contents and Form of the Petition [Sec. 2,
A.M. No. 02-11-11-SC]
a. Allege the complete facts constituting the
cause of action;
b. Names and ages of the common children
of the parties, specify the regime governing
their property relations, the properties
involved, and creditors, if any;
c. Be verified and accompanied by a
certification against forum shoppin;
d. Be filed in six copies.
4. Effects of filing petition
a. The spouses are entitled to live separately,
but the marital bond is not severed. [Art. 61
(1), FC]
b. Administration of community or conjugal
property – If there is no written agreement
between the parties, the court shall
designate one of them or a third person to
administer the ACP or CPG. [Art. 61, par.
2, FC]
Note: No motion to dismiss the petition shall be
allowed except on the ground of lack of
jurisdiction over the subject matter or over the
parties; provided, however, that any other
ground that might warrant a dismissal of the
case may be raised as an affirmative defense
in an answer. [Sec. 4, A.M. No. 02-11-11-SC]
5. Effects of pendency
The Court shall provide for: [Art. 62, cf. Art. 49,
FC]
a. Support of spouses
b. Custody of children: The court shall give
custody of children to one of them, if there
is no written agreement between the
spouses.
c. Visitation rights of the other spouse
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

6. Effects of decree of legal 7. Reconciliation

separation
Art. 65, FC. If the spouses should reconcile,
a. The spouses can live separately [Art. 63, a corresponding joint manifestation under
FC] but the marriage bonds are not oath duly signed by them shall be filed with
severed. the court in the same proceeding for legal
b. The ACP or CPG shall be dissolved and separation.
liquidated, and the share of the guilty
spouse shall be forfeited in favor of the
Effects of Reconciliation:
common children, previous children, or
a. Proceedings for legal separation shall be
innocent spouse, in that order [Art. 63, FC;
terminated at whatever stage [Art. 66(1),
cf. Art. 43(2), FC]
FC].
c. Custody of the minor children shall be
b. If there is a final decree of legal separation,
awarded to the innocent spouse [Art. 63,
it shall be set aside [Art. 66(2), FC].
FC; cf. Art 213, FC]
c. The separation of property and forfeiture of
d. Guilty spouse shall be disqualified from
share of guilty spouse shall subsist, unless
inheriting from the innocent spouse by
the spouses agree to revive their former
intestate succession. The provisions in
property regime or to institute another
favor of the guilty party in the will of the
property regime [Art. 66 cf. Art. 67, FC].
innocent spouse shall also be revoked by
d. Joint custody of children is restored.
operation of law. [Art. 63, FC]
e. The right to intestate succession by guilty
e. Donations in favor of the guilty spouse may
spouse from innocent spouse is restored.
be revoked [Art. 64, FC] but this action
f. The right to testamentary succession
prescribes after 5 years from the decree of
depends on the will of the innocent spouse.
legal separation.
f. Innocent spouse may also revoke
designation of guilty spouse as beneficiary 8. Effect of death of one of the
in an Insurance policy, even if such parties
stipulations are irrevocable. [Art. 64. FC; cf.
Sec. 11, P.D. 612]
The death of either party to a legal separation
g. Obligation for mutual support ceases, but
proceeding, before final decree, abates the
the court may order the guilty spouse to
action. There is no more need for legal
support the innocent spouse. [Art. 198, FC]
separation because the marriage is already
h. The wife shall continue to use the surname
dissolved by the death of one of the parties. An
of the husband even after the decree for
action for legal separation is also purely
legal separation. [Laperal v. Republic, G.R.
personal between the spouses. [Lapuz Sy v.
No. L-18008 (1992)]
Eufemio]

Page 65 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Void Marriages, Voidable Marriages and Legal Separation

Void Marriages Voidable Marriages Legal Separation

Grounds 1. Absence of essential Defect in any of the Grounds not relating to any
or formal requisites essential requisites: of the essential or formal
a. One is a minor 1. Lack of parental requisites:
b. No authority to consent, 1. Repeated physical
marry 2. Insanity, violence
c. No valid 3. Fraud, 2. Pressure to compel to
marriage 4. Force, change religious/political
license intimidation, affiliation
d. Bigamous and undue influence, 3. Corruption/ inducement
polygamous 5. Impotence, to engage in prostitution
marriages 6. Serious and 4. Final judgment with
e. Mistake of incurable STD sentence of more than 6
identity years
f. Void 5. Drug addiction/ habitual
subsequent alcoholism
marriages 6. Homosexuality/
2. Psychological lesbianism
incapacity 7. Bigamous marriage
3. Incestuous marriages 8. Sexual infidelity or
4. Marriages against perversion
public policy 9. Attempts against the life
5. Subsequent of petitioner
marriages which did 10. Abandonment without
not comply with Art. just cause for more than
52 1 year

Defenses None 1. Condonation

2. Consent
3. Connivance
4. Collusion
5. Recrimination
6. Prescription

Prescription No Prescription 1. Lack of parental Within 5 years from the

consent occurrence of the cause
a. Spouses -
5 years
after
turning 21
b. Parents -
before the
spouses
turn 21
2. Insanity
a. Insane
spouse -
during

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

lucid
intervals
b. Sane
spouse/
guardian -
lifetime
3. Fraud - 5 years
after the discovery
of the fraud
4. Force,
intimidation,
undue influence -
5 years after
cessation
5. Impotence/STD -
5 years from
marriage

Who can According to A.M. No. 02- Only the spouses Only the spouses (cannot
file 11-10-SC: (cannot survive the survive the death of the
1. Before March 18, death of the plaintiff) plaintiff)
2003 (petition for
nullity or celebration
of marriage) - any
party
2. On and after March
18, 2003 (petition for
nullity or celebration
of marriage) - only the
spouses

Effects of In the absence of adequate provisions in a written 1. Live separately

Pendency agreement: 2. Designate either of them
1. Support of spouses or a third person as
2. Support and custody of children administrator of property
3. Visitation rights 3. Support of spouses
4. Support and custody of
children
5. Visitation rights

Effects of 1. Properties [Art. 147 - 1. Properties [Art. 50, 1. Properties [Art. 63(2),
Decree 148, FC] FC] FC]
a. Art. 147 a. ACP/CPG a. Dissolution and
(equal shares) dissolved, Liquidation of
governs share ACP/CPG
property forfeited to
relations of heirs if bad 2. Support and Custody
faith [Art. 213, FC]

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

void b. Donations a. Parental authority

marriages valid, to the parent
b. Art. 148 (in except if designated by
proportion) bad faith Court after all
governs c. Insurance relevant
property may be consideration
relations of revoked if b. Tender years
bigamous bad faith presumption for
adulterous d. No Child under 7 y.o.
relationships succession [Art 213(2), FC]
for spouse
2. Status of Children in bad faith 3. Inheritance, Donations
[Art. 54, FC] and Designation in
General Rule: Conceived 2. Status of Children Insurance Policies [Sec.
or born before the [Art. 54, FC] 22, rules on Legal
judgment of absolute a. Conceived Separation]
nullity, illegitimate or born
before 4. Continued Use of
Exceptions: Conceived judgment, Surname [Art. 372, CC]
or born legitimate.
a. Before the
judgment of 3. Continued Use of
annulment; Surname [Art.
b. Before the 371, CC]
judgment of a. Dependent
absolute on her
nullity under being the
Art. 36 innocent
(Psychological or guilty
Incapacity) party
c. Of the
subsequent
marriage
under Art. 53
(Failure to
Record the
Decree of
Nullity of
Annulment);
d. Prior to the
termination of
the
subsequent
marriage
under Art. 42
(when the
absent
spouse files
an affidavit of
reappearance)

Page 68 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
E. RIGHTS AND OBLIGATIONS
BETWEEN HUSBAND AND WIFE
These rights and duties are not subject to
stipulation between the spouses; and though
they may voluntarily agree to any change in
their personal relations, this agreement will be
void and have no legal effect.
1. Live Together
The right to live together refers to the right of
consortium which is not susceptible of precise
or complete definition but, broadly speaking,
companionship, love, affection, comfort,
mutual services, sexual intercourse—all
belonging to the marriage state—taken
together make up what we refer to as
consortium.
Art. 68, FC. The husband and wife are
obliged to live together, observe mutual love,
respect and fidelity, and render mutual help
and support.
Exception: One spouse living abroad or there
are valid and compelling reasons [Art. 69(2),
FC] - at the discretion of the court.
Exception to the Exception: Incompatibility
with the solidarity of the family [Art. 69(2), FC].
If the wife abandons the family domicile with
justifiable cause (i.e. being forced to perform
lewd sexual acts), the husband’s obligation to
support her is not terminated. The law will not
permit the husband to terminate the obligation
to support his wife by his own wrongful acts
driving the wife to seek protection in her
parents’ home [Goitia v. Campos Rueda, G.R.
No. 11263 (1916)].
2. Family Domicile
Art. 69(1), FC. The husband and wife shall
fix the family domicile. In case of
disagreement, the court shall decide.
Page 69 of 532
CIVIL LAW
3. Support
The spouses are jointly responsible for the
support of the family. The expenses for such
support and other conjugal properties shall be
paid:
a. From the conjugal property;
b. If none, income or the fruits of their
separate properties;
c. If none, from their separate properties,
wherein they shall be liable in proportion to
their properties [Art. 70, FC].
Support is not just limited to financial support -
includes emotional and moral support.
In case of a de facto separation, if it is proved
that the husband and wife were still living
together at the time of his death, it would be
safe to presume that she was dependent on
the husband for support, unless it is shown that
she is capable of providing for herself [SSS v.
Aguas, G.R. No. 165546 (2006)].
4. Management of Family Life
Art. 71, FC. The management of the
household shall be the right and duty of both
spouses. The expenses for such
management shall be paid in accordance
with the provisions of Article 70.
5. Effect of Neglect of Duty
Art. 72, FC. When one of the spouses
neglects his or her duties or commits acts
which tend to bring danger, dishonor or injury
to the other or to the family, the aggrieved
party may apply to the court for relief.
Note: Injury contemplated here is physical,
moral, emotional or psychological, not
financial.
6. Exercise of Profession
Either spouse may exercise any legitimate
profession, without need for consent of the
other [Art. 73, FC].
The other spouse may only object on valid,
serious and moral grounds.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
In case of disagreement, the Court shall decide
whether:
a. The objection is proper, and
b. Benefit has accrued to the family
i. If benefit accrued before the objection:
enforce against community property
ii. If benefit accrued after the objection:
enforce against separate property of
spouse who has not obtained consent
[Art. 73, FC, as amended by RA
10572].
7. Use of Surname
For Married Women
A woman may use [Art. 370, CC]:
1. Her maiden first name and surname and
add her husband’s surname; or
2. Her maiden first name and her husband’s
surname; or
3. Her husband’s full name, but prefixing a
word indicating that she is his wife, such as
Mrs.
For Widows
A widow may use the deceased husband’s
surname as though he were still living, in
accordance with Art. 370 [Art. 373, CC].
In case of Annulment [Art. 371, CC]
1. If the wife is the guilty party, she shall
resume her maiden name and surname
2. If the wife is innocent
a. She may resume her maiden name
and surname; or
b. She may choose to continue employing
her former husband’s surname, unless:
i. The court decrees otherwise; or
ii. She or the former husband is
married again to another person.
For Legally Separated Spouses
The wife shall continue using her name and
surname employed before the legal separation
[Art. 372, CC].
In case of absolute divorce, the effect of
divorce is more akin to the death of the spouse
where the widow can continue using the
surname or be referred as Mrs. of her husband
[Tolentino v. CA, G.R. No. L-41427 (1988)].
Page 70 of 532
CIVIL LAW
Note: From the foregoing provisions, it can be
gleaned that a woman is not mandated by law
to adopt her husband’s surname after
marriage. Art. 370, CC is merely directory,
since it provides that a woman may choose any
of the options provided.
F. PROPERTY RELATIONS
OF THE SPOUSES
1. Marriage settlements
Art. 74, FC. The property relationship
between husband and wife shall be
governed in the following order:
1. By marriage settlements executed
before the marriage;
2. By the provisions of this Code; and
3. By the local custom.
Requisites for Validity [Art. 75, FC]
1. Future spouses agree upon the regime of
absolute community, conjugal partnership
of gains, complete separation of property,
or any other regime.
2. In the absence of marriage settlement, or
when the regime agreed upon is void, the
system of absolute community property as
established in this Code shall govern.
Requirements for marriage settlements and
any modification thereof [Art. 77, FC]
1. Must be made in writing
2. Signed by the parties
3. Executed before the marriage celebration
4. If executed by a person below 21 years,
valid only when persons required to give
consent to the marriage (father, mother, or
guardian, respectively) are made parties to
the agreement [Art. 78, FC]
The parties have the freedom to stipulate
regarding their property relations in their
marriage settlements in which the lex
intentionis of the parties governs the contract.
When the couple agrees on a property regime
in their marriage settlement, the provisions of
the Code are merely suppletory.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
When modifications can be made
For modification to be valid, it must be
determined before the celebration of
marriage [Art. 76, FC]
Upon finality of legal separation, the property
regime is dissolved and liquidated, subject to
forfeiture for the guilty spouse [Art, 63(2),
FC]
In case of reconciliation, the separation of
property subsists unless the parties agree to
revive their former property regime. [Arts. 66
and 67, FC]
For judicial separation of property, the
following are sufficient causes:
1. The spouse of the petitioner has
been sentenced to a penalty which
carries with it civil interdiction;
2. The spouse of the petitioner has
been judicially declared an
absentee;
3. Loss of parental authority of the
spouse of petitioner has been
decreed by the court;
4. The spouse of the petitioner has
abandoned or failed to comply with
his or her obligations to the family
5. That the spouse granted the power
of administration in the marriage
settlements has abused that power;
and
6. That at the time of the petition, the
spouses have been separated in fact
for at least one year and
reconciliation is highly improbable.
N.B. Marriage settlements are considered
accessory to the marriage, therefore as per Art.
81, stipulations in consideration of future
marriage and donations will be void if the
marriage does not take place.
Should the surviving spouse contract a
subsequent marriage without compliance with
the foregoing requirements, a mandatory
regime of complete separation of property shall
Page 71 of 532
CIVIL LAW
govern the property relations of the subsequent
marriage [Art. 103(3), FC]
2. Donations by reason of
marriage (Donations Propter
Nuptias)
Art. 82, FC. Donations by reason of marriage
are those which are made before its
celebration, in consideration of the same, and
in favor of one or both of the future spouses.
Donations propter nuptias are made in
consideration of marriage. There can be a valid
donation even if the marriage never took place,
but the absence of marriage is a ground for the
revocation of the donation. [Solis v. Barroso,
G.R. No. 27939 (1928)]
Donations propter nuptias are without onerous
consideration, marriage being merely the
occasion or motive for the donation, not its
cause. Being liberalities, they remain subject to
reduction for inofficiousness upon the donor’s
death, if they should infringe the legitime of a
forced heir. [Mateo v. Lagua, G.R. No. L-26270
(1969)]
Requisites of donation propter nuptias
1. Made before the celebration of marriage
2. Made in consideration of marriage
3. Made in favor of one or both of the future
spouses
4. In a public document and not merely
privately stipulated [Solis v. Barroso, supra]
Who may donate
1. Spouses to each other
2. Parents of one or both spouses
3. Third persons to either or both spouses
Donations excluded are:
1. Ordinary wedding gifts given after the
celebration of marriage
2. Donations in favor of future spouses made
before marriage but not in consideration
thereof
3. Donations made in favor of persons other
than the spouses even if founded on the
intended marriage
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Distinguished from Ordinary Donations

B. Void marriage
Donations propter Ordinary Donations
nuptias General rule: There must be a judicial
declaration of nullity for the void marriage.
Does not require Express acceptance
express acceptance required 1. Art 40, in If donee- If both
rel. to Art spouse parties
May include future Cannot include
52 and 53 contracted acted in
property (subject to future property
(subseque the good
formalities of wills)
nt second faith,
If present property is No limit to donation marriage marriage revocatio
donated and of present property before in bad n will be
property regime is provided legitimes securing faith by
not absolute are not impaired judicial (knowing donor’s
community, limited to declaratio that it was choice;
1/5 [Art. 84, FC] n of nullity) void), within 5
donations years
Grounds for Grounds for in favor of from date
revocation found in revocation found in the of finality
Art. 86, FC donation laws CC second of the
provisions marriage judicial
are declaratio
revoked n of
Donations of property subject to by nullity.
encumbrances operation
a. Are considered valid. of law.
b. In case of foreclosure:
i. If property value < obligation, 2. Art 44 (bad If either or
donee shall not be liable for the faith in both
deficiency securing spouses in
ii. If property value > obligation, declaratio the
donee shall be entitled to the n of subseque
excess [Art. 85, FC] presumpti nt
ve death) marriage
Grounds for Revocation of Donation acted in
Propter Nuptias [Art. 86, FC] bad faith
A. Marriage not celebrated (knowing
that the
person
Donation Revoked by operation of was still
contained in law alive),
marriage donations
settlement Does not prescribe in favor of
the
Donation Donor’s choice
subseque
contained in a
nt
separate Prescribes within 5 marriage
instrument years from supposed is revoked
date of marriage by

Page 72 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
operation
of law.
3. All other Donor’s
void choice,
marriages regardless
of
good/bad
faith of the
donee.
C. No consent of parents or guardian
General rule: Does not require final decree
of annulment
Revocation will be by donor’s choice and
done within 5 years from discovery that
consent was not obtained
D. Other cause of annulment
Revoked by operation of law if donee is the
guilty spouse who acted in bad faith
E. No consent of parents or guardian
General rule: Revocation is by donor’s
choice and done within 5 years from finality
of decree of legal separation
Exception: If cause is adultery or
concubinage, revoked by operation of law
F. Resolutory condition complied
with
General rule: Revocation is by donor’s
choice and done within 5 years from finality
of decree of legal separation
Exception: If the other spouse is the donor,
action does not prescribe
Page 73 of 532
CIVIL LAW
G. Acts of ingratitude [Art. 765, CC]
General rule: Revocation is by donor’s
choice and done within 1 year from
knowledge of fact of ingratitude with donor
being capable of bringing suit.
3. Void donations by the
spouses
Donations Before Marriage
General rule: Future spouses who agree upon
a regime other than ACP cannot donate to
each other more than 1/5 of their present
property (excess shall be considered void).
[Art. 84, FC]
Reason for excluding ACP: All property will
again be shared by both spouses after the
marriage.
Exception: The limit of 1/5 only applies when
the donation is contained in the marriage
settlements. If it is contained in another
instrument, the general rules on inofficious
donations shall apply.
Donations During Marriage
General rule: Spouses cannot donate to each
other, directly or indirectly; donations made by
spouses to each other during the marriage are
void. [Art. 87, FC] These donations refer to
donations inter vivos. [Tolentino]
Exception: Moderate gifts on the occasion of
any family rejoicing.
A spouse cannot donate to persons which the
other spouse may inherit from as it constitutes
an indirect donation. [Nazareno v. Birog, 45
O.G. No. 5 (1947)]
Donations Between Common-law Spouses
The donation between common-law spouses
falls within the provision prohibiting donations
between spouses during marriage.
[Matabuena v. Cervantes, G.R. No. L-2877
(1971)]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
In order to fall under the prohibition, it must be
proved that they were living in a common-law
relationship at the time of the donation.
[Sumbad v. CA, G.R. No. 106060 (1999)]
4. Absolute Community of
Property
Definition
The community property consists of all the
property owned by the spouses at the time of
the celebration of the marriage, and those
either one or both of them acquired during the
marriage. There is a presumption provided in
the Family Code that properties acquired
during the marriage belong to the community,
unless it is proved that it is one of those
excluded therefrom. [Tolentino]
Governing law
Art. 80, FC. In absence of a contrary stipulation
in a marriage settlement, the property relations
of the spouses shall be governed by Philippine
laws, regardless of the place of the celebration
of the marriage and their residence.
By the Nationality Rule [Art. 15, CC], the rule
that Absolute Community Property (ACP) is the
default mode of property relations absent any
marriage settlement applies to all Filipinos,
regardless of the place of the marriage and
their residence. [N.B.]
Exceptions
1. Where both spouses are aliens
2. With respect to the extrinsic validity of
contracts affecting property not
situated in the Philippines and
executed in the country where the
property is located
3. With respect to the extrinsic validity of
contracts entered into in the Philippines
but affecting property situated in a
foreign country whose laws require
different formalities for its extrinsic
validity [Art. 80, FC]
If marriage does not take place
Art. 81, FC. Everything stipulated in the
settlements or contracts referred to in the
Page 74 of 532
CIVIL LAW
preceding articles in consideration of a future
marriage, including donations between the
prospective spouses made therein, shall be
rendered void if the marriage does not take
place. However, stipulations that do not
depend upon the celebration of the marriages
shall be valid.
Waiver Not Allowed
General Rule: No waiver of rights, shares and
effects of the absolute community of property
during the marriage can be made
Exception: In case of judicial separation of
property.
When the waiver takes place upon a judicial
separation of property, or after the marriage
has been dissolved or annulled, the same shall
appear in a public instrument and shall be
recorded as provided in Article 77. The
creditors of the spouse who made such waiver
may petition the court to rescind the waiver to
the extent of the amount sufficient to cover the
amount of their credits. [Art. 89, FC.]
Provisions on Co-ownership Apply
The provisions on co-ownership shall apply to
the absolute community of property between
the spouses in all matters not provided for in
this Chapter. [Art. 90, FC]
N.B. The creditors of the spouse who made
such waiver may petition the court to rescind
the waiver to the extent of the amount sufficient
to cover the amount of their credits.
5. Conjugal Partnership of
Gains
This property regime was formerly the default
regime under the CC.
In this regime, the spouses retain ownership of
their separate property. However, the spouses
also place in a common fund the proceeds,
products, fruits and income of their separate
property and those acquired by either or both
spouses through their efforts or by chance.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

The presumption applies that all properties system, the husband’s capital property, the
acquired during the marriage belong to the wife’s paraphernal property, and the conjugal
CPG. There are 3 distinct patrimonies in this property.

Comparison of ACP and CPG

Absolute Community of Conjugal Partnership of Gains (CPG)
Property (ACP)

When it At the precise moment of the For marriages after the Family Code, CPG
commences celebration of the marriage [Art. 88, becomes the property regime only if agreed
FC] to by the parties through a marriage
settlement.

What it All the properties owned by the Proceeds, products, fruits, and income of
consists of spouses at the time of the their separate properties
celebration of the marriage or
acquired thereafter [Art. 91, FC] Everything acquired by them during
marriage through their own efforts

Under the ACP, spouses cannot Everything acquired through their efforts or
exclude specific properties from by chance.
the regime unless done in
settlement.

Winnings from gambling shall Specific properties [Art. 117, FC]

accrue to the community property
but obligations from gambling shall
not. [Art. 95, FC]
Property acquired during marriage
is presumed to have been obtained
through joint efforts of parties, even 3. Fruits from common property and
though one did not actually
participate in the acquisition. This
is true for a party whose efforts
consisted in the care and
maintenance of the family
household. Such is regarded as
contributions to the acquisition of
common property by one who has
no salary, income, work or
industry. [Ocampo v. Ocampo,
G.R. No. 198908 (2015)]
1. Acquired by onerous title during
the marriage at the expense of the
Common Fund;
2. Acquired through the labor,
industry, work, or profession of
either or both spouses
net fruits of the exclusive property of
each spouse
4. Share of either spouse in hidden
treasure, whether as finder or
owner of property where treasure
was found
5. Acquired through occupation such
as fishing or hunting
6. Livestock existing at dissolution of
partnership in excess of what is
brought by either spouse to the
marriage
7. Acquired by chance, such as
winnings from gambling or betting

Moral damages arising from a contract paid

from the CPG [Zulueta v. Pan American
World Airways, G.R. No. L-28589 (1973)]

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Loans contracted during the marriage are

conjugal, and so is any property acquired
therefrom [Mendoza v. Reyes, G.R. No. L-
31625 (1983)]

Property purchased by installment, paid

partly with conjugal funds and partly with
exclusive funds, if full ownership was
vested during the marriage; the CPG shall
reimburse the owner-spouse [Art. 118, FC]

If a winning ticket is bought by conjugal

funds, the prize is conjugal (otherwise, the
prize is exclusive property of the spouse
who owns the ticket)

Improvement on exclusive property: if

original value is less than new value (where
new value = value of land + value of
improvements + net change in value), then
land becomes conjugal property, subject to
the reimbursement of the value of the
property of the owner-spouse at the
dissolution of the CPG

Property belonging to one spouse

converted into another kind totally different
in nature from its original form during
marriage becomes conjugal in the absence
of proof that the expenses of the conversion
were exclusively for the account of the
original owner-spouse, subject to
reimbursement of the value of the original
property from the conjugal partnership

What remains Properties acquired before the Property brought into the marriage by
exclusive marriage, for those with legitimate each spouse as his/her own
property [Art. descendants by a former
92, FC] marriage (to protect rights of
children by a former marriage)

Properties acquired during the Properties acquired during the marriage

marriage by a gratuitous title, i.e. by a gratuitous title, i.e. donation,
donation, inheritance by testate inheritance by testate and intestate
and intestate succession, including succession (but the fruits of such properties
the fruits of such properties form part of the CPG)

Except: When expressly provided Except: When expressly provided by the

by the donor or testator that the donor or testator that the property shall form
property shall form part of the ACP part of the CPG

Page 76 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Properties for personal use i.e. Property acquired by right of redemption, by

wearing apparel, toilet articles, barter, or by exchange with property
eyeglasses belonging to either spouse

Except: Plata v. Yatco, G.R. No. L-20825 (1964):

1. Luxurious jewelry and
those of special value that
increase in value over time
(partakes of the nature of
an investment)
Plata purchased property when she was
single. When married, she and her husband
Bergosa co-signed a mortgage on the
property. Upon foreclosure, Bergosa was
sued for illegal detainer. A writ of execution
on the property was carried out but Plata
refused to leave the premises. SC ruled that
Plata cannot be held in contempt. Property
is not conjugal.

Her husband signing as co-mortgagor does

not convert it to CPG. She could ignore
execution because the decision was for her
husband alone.

Property purchased with exclusive money

of either spouse

Property purchased by installment, paid

partly with conjugal funds and partly with
exclusive funds, if full ownership was
vested before the marriage [Art. 118, FC].
Even if the installment is completed after
the marriage, the property is exclusive if
ownership was vested in one spouse before
the marriage [Lorenzo v. Nicolas, G.R. No.
L-4085 (1952)].

Presumption All properties acquired during the
marriage form part of the ACP,
unless it be proven that they are
excluded. [Art. 93, FC]
All property acquired during the marriage,
whether made, contracted, or registered in
the name of one spouse, are presumed
conjugal unless the contrary is proven. [Art.
116, FC]

Charges and Art. 94, 121-123 FC

Obligations 1. Support of the following:
a. Spouses;
b. Common children;
c. Legitimate children of previous marriage;
d. Illegitimate children – follow the provisions on Support; common
property liable in case of absence or insufficiency of the exclusive
property of the debtor-spouse, but the payment shall be
considered as an advance on the share of the debtor-spouse.
2. Expenses to enable either spouse to commence/complete a
professional/vocational course or activity for self-improvement;

Page 77 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

3. Value donated or promised by both spouses in favor of common

legitimate children for the exclusive purpose of commencing/ completing
a professional/ vocational course or activity for self-improvement;
4. Generally: all expenses incurred with the consent to the spouses or for
the benefit of the family.

If community property is If conjugal partnership property is

insufficient, the spouses are insufficient, the spouses are solidarily liable
solidarily liable for the unpaid for the unpaid balance from their separate
balance from their separate properties. Gambling losses of any kind (i.e.
properties except for: legal or illegal) shall be borne by the losing
1. Debts contracted by either spouse’s separate property [Art. 123, FC]
spouse before marriage
which have not redounded DBP v. Adil, G.R. No. L-4085 (1988): Loan
to the benefit of the family; contracts signed by both spouses are
2. Support of illegitimate conjugal, and they are jointly liable for
children; and payment, even if only one spouse signs a
3. Liabilities incurred by either subsequent promissory note.
spouse arising from crime
or quasi-delict. Ayala Investment v. Ching, G.R. No.
118305 (1998): The Supreme Court ruled
Gambling losses of any kind (i.e. that the indirect benefits that might accrue
legal or illegal) shall be borne by to a husband in signing as a surety or
the losing spouse’s separate guarantee in an agreement not in favor of
property [Art. 95, FC] the family but in favor of his employer
corporation are not benefits that can be
considered as giving a direct advantage
accruing to the family. Hence, the creditors
cannot go against the conjugal partnership
property in satisfying the obligation subject
of the surety agreement. A contrary view
would put in peril the conjugal partnership
by allowing it to be given gratuitously as in
cases of donation of conjugal partnership
property, which is prohibited.

Ownership, The administration and enjoyment of the community/conjugal property shall

administration, belong to both spouses jointly.
enjoyment,
and In case of disagreement, the husband’s decision shall prevail, subject to
disposition of recourse to the court by the wife for a proper remedy, within 5 years from the date
property of contract [Art. 96, 124 FC].

De Ansaldo v. Sheriff of Manila, G.R. No. L-

43257 (1937): Spouses are not co-owners
of CPG during the marriage and cannot
alienate the supposed 1/2 interest of each
in the said properties. The interest of the
spouses in the CPG is only inchoate or a
mere expectancy and does not ripen into

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

title until it appears after the dissolution and

liquidation of the partnership that there are
net assets.

Either spouse may, through a will, Disposition or encumbrance of conjugal

dispose of his or her interest in the property requires the following: Authority of
community property. [Art. 97, FC] the court or written consent of the other
spouse. The absence of such will render
However, the will should refer only such encumbrance void. [Art. 124, par. 2,
to his or her share in the FC]
community property.

Donation of one spouse without the consent of the other is not allowed. [Art. 98,
125 FC]

Exception:
Moderate donations to charity or on occasion of family rejoicing or distress

Jader-Manalo v. Camaisa, G.R. No. 147978 (2002): Mere awareness of a

transaction is NOT consent.

Homeowner’s Savings & Loan Bank v. Dailo, G.R. No. 153802 (2005): In the
absence of (court) authority or written consent of the other spouse, any
disposition or encumbrance of the conjugal property shall be void.

Cheeseman v. IAC, G.R. No. 7483 (1991): If, however, one of the spouses is an
alien, the Filipino spouse may encumber or dispose of the property w/o the
consent of the former. The property is presumed to be owned exclusively by the
Filipino spouse.

Dissolution of Terminates upon [Art. 99, 126 FC]:

the regime 1. Death of either spouse – follow rules in Art. 103
2. Legal separation – follow rules in Arts. 63 and 64
3. Annulment or judicial declaration of nullity – follow rules in Arts. 50 and
52

Judicial separation of property during marriage – follow rules in Arts. 134 to 138

Rules on de General rule: De facto separation does NOT affect the ACP/CPG.
facto
separation Exceptions:
1. Spouse who leaves the conjugal home without just cause shall not be
entitled to support; however, he/she is still required to support the other
spouse and the family
2. If consent is necessary for transaction but is withheld or otherwise
unobtainable, authorization may be obtained from the court
3. Support for family will be taken from the ACP/CPG
4. If ACP/CPG is insufficient, spouses shall be solidarily liable

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Effect of de If it is necessary to administer or encumber separate property of spouse who left,

facto spouse present may ask for judicial authority to do this.
separation
If ACP/CPG is not enough and one spouse has no separate property, spouse
who has property is liable for support, according to provisions on support.

Rules on Abandonment [Art. 101, 128 FC]

Abandonment Present/aggrieved spouse may petition the court for:
1. Receivership
2. Judicial Separation of Property
3. Authority to be the sole administrator of the absolute community, subject
to precautionary conditions that the court may impose

A spouse is deemed to have abandoned the other when he or she has left the
conjugal dwelling without any intention of returning.

Spouse is prima facie considered to have abandoned the other spouse and the
family if he or she has:
1. Left for a period of 3 months
2. Failed to inform the other spouse of his or her whereabouts for a period
of 3 months

Partosa-Jo v. CA, G.R. No. 82606 (1992):

Physical separation of the spouses,
coupled with the husband’s refusal to give
support to the wife, sufficed to constitute
abandonment as a ground for an action for
the judicial separation of their conjugal
property.

Liquidation of Procedure [Art. 102, FC] Procedure [Art. 129, FC]

assets and 1. Prepare an inventory of 1. Prepare an inventory of all
liabilities assets of ACP and of properties
spouses with market 2. Amounts advanced by CPG in
values payment of personal debts and
2. Debts and obligations obligations shall be credited to the
are paid with community CPG
property, and separate 3. Reimburse each spouse for the use
debts and obligations not of his/her exclusive funds in the
charged to ACP paid by acquisition of property or for the
respective assets of value of his or her exclusive
spouses property, the ownership of which
a. If obligations has been vested by law in the
exceed the assets conjugal partnership
of the ACP, nothing 4. Debts and obligations of CPG
is divided. shall be paid out of the conjugal
Creditors can go assets, otherwise both spouses are
after the separate solidarily liable with their exclusive
properties of the property
spouses, which are

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

solidarily liable for 5. Remains of the exclusive properties

the deficiency shall be delivered to respective
3. Delivery of whatever owner-spouses.
remains in their exclusive 6. Indemnification for
property loss/deterioration of movables
4. The balance, or net belonging to either spouse, even
remainder, is divided due to fortuitous event, used for the
equally between the benefit of the family
spouses, or in accordance 7. Net remainder of CPG shall
to the proportion agreed constitute the profits which shall be
upon in the marriage divided equally between husband
settlement, irrespective of and wife except when:
how much each brought a. A different proportion or
into the community division was agreed upon in
5. If personal obligations of the marriage settlements
a spouse exceed his/her b. There has been a voluntary
separate property, creditor waiver or forfeiture of such
can go after the share of share as provided in the FC
the spouse on the net c. Presumptive legitimes are
remainder of the ACP, delivered to common
without prejudice to the children
provisions of law on d. Conjugal dwelling goes to:
forfeitures and delivery of i. Spouse with whom
presumptive legitimes majority of common
6. After covering all children choose to
community obligations remain (below 7 y.o.
and obligations of = deemed to have
spouses, balance of chosen the mother
separate properties shall based on the tender
be delivered to respective years presumption)
spouses or their heirs, and ii. Whoever the court
they will also divide into chooses in case of
two equal shares whatever lack of majority
is left of the community
assets, without prejudice to
the provisions of law on
forfeitures and delivery of
presumptive legitimes
7. Presumptive legitimes are
delivered to common
children
8. Conjugal dwelling goes to:
a. Spouse with whom
majority of
common children
choose to remain
(below 7 y.o., =
deemed to have
chosen the mother
based on the

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

tender years
presumption)
b. Whoever the court
chooses in case of
lack of majority

Rules in case of termination of marriage by death of one of the spouses [Art.

104, FC]:
1. The community property shall be liquidated in the same proceeding for
the settlement of the estate of the deceased spouse.
2. If no such judicial settlement proceeding is instituted, surviving spouse
shall liquidate the community property either judicially or extra-judicially,
within one year from the death of the deceased spouse.
a. If no liquidation is made within the period, any disposition or
encumbrance involving community property of the terminated
marriage shall be void.
b. Non-compliance with liquidation procedures would mean that a
subsequently contracted marriage will follow a regime of
complete separation of property.

Procedure for liquidation of properties of two marriages [Art. 104, FC]:

1. Determine the capital, fruits, and income of each community upon such
proof as may be considered according to the rules of evidence.
2. In case of doubt as to which community the existing properties belong,
they shall be divided between two communities in proportion to the capital
and duration of each.

6. Regime of separation of 7. Judicial separation of

property
Each spouse has complete control and
ownership of his or her own properties which
will include “all earnings from his or her
profession, business or industry and all fruits,
natural, industrial or civil, due or received
during the marriage form his or her separate
property.” Expenses of the family shall be
shouldered by the spouses in proportion to
their income, or, in case of insufficiency or
default thereof, to the current market value of
their separate properties.
property
Art. 134, FC. In the absence of an express
declaration in the marriage settlements. The
separation of property between spouses
during the marriage shall not take place
except by judicial order. Such judicial
separation of property may either be
voluntary or for sufficient cause.
If the spouses did not execute a written
agreement regarding their property regime
prior to the marriage, they can no longer
change it after the marriage ceremony has
taken place unless they have secured judicial
approval.

Sufficient Causes and Grounds for Return

to Previous Regime

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Sufficient Causes Grounds for Return When after voluntary

for Judicial to Previous Regime dissolution of the ACP
Separation of [Art. 141, FC] or CPG has been
Property [Art. 135, judicially decreed
FC] upon the joint petition
of the spouses, they
Spouse of petitioner Termination of the civil agree to the revival of
has been sentenced interdiction the former property
to a penalty which regime. No voluntary
carries with it the separation of property
penalty of civil may thereafter be
interdiction granted.
Spouse of petitioner Reappearance of
is judicially declared absentee spouse Separation of Property
an absentee
When it Agreed upon in the
Loss of parental Restoration of applies marriage settlements by
authority of the parental authority to the spouses
spouse of petitioner the spouse previously
has been decreed by deprived of it Mandatory under Arts. 103
the court & 130, FC (subsequent
marriages contracted by a
Spouse of petitioner When the spouse who surviving spouse without
has abandoned the left the conjugal home judicial settlement of
latter or failed to without legal previous property regime)
comply with his or separation resumes
her obligations to the common life with the Judicial separation of
family other property (Voluntary or just
cause)
The spouse granted When the court, being
the power of satisfied that the Default property regime
administration in the spouse granted the when there is
marriage power of reconciliation between
settlements has administration will not spouses after judicial
abused that power again abuse that separation of property
power, authorizes the
resumption of said What it Present or future property
administration consists of or both

At the time of the Reconciliation and Each spouse’s earnings

petition, the spouses resumption of from his or her own
have been common life of the profession, business, or
separated in fact for spouses who had industry
at least 1 year and been separated in fact
reconciliation is for at least 1 year Natural, industrial or civil
highly improbable. fruits of spouse’s separate
properties

May be total or partial. If

partial, property not
considered separate is

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Maquilan v. Maquilan, G.R. No. 155409

presumed to pertain to the
(2007): A compromise agreement with judicial
ACP
recognition is valid, pending petition for
declaration of nullity of marriage.
Liabilities Family expenses: Both
spouses are liable in 8. Property regime of unions
proportion to their income;
if insufficient, based on the
without marriage
current value of their
separate properties Art. 147, FC Art. 148, FC

Creditors for family Applicabil Man and Man and woman living
expenses: Spouses ity woman living together as husband
together as and wife, NOT
solidarily liable husband and capacitated to marry:
wife, with 1. Under 18 years
Ownership, Spouses may own, capacity to old
administration, dispose, possess, and marry (Art. 5, 2. Adulterous
enjoyment, administer separate without any relationship
and estates without the legal 3. Bigamous/polyga
disposition consent of the other impediment) mous marriage
1. at least 4. Incestuous
18 years marriages under
Administration of
old Art. 37
exclusive properties may 2. not 5. Void marriages
be transferred between violative by reason of
spouses when: of Art. public policy
1. One spouse 37 under Art. 38
becomes the other (incestu
ous void
spouse’s guardian
marriag
2. One spouse is e)
judicially declared 3. not
an absentee violative
3. One spouse is of Art.
given the penalty 38 (void
marriag
of civil interdiction
e by
4. One spouse reason
becomes a fugitive of public
policy)
Conveyance between the 4. not
spouses is allowed under bigamo
Art. 1490, NCC. us

Other void
In Re: voluntary dissolution of CPG of Sps. marriages
Bermas, G.R. No. L-20379 (1965): A voluntary due to
absence of
separation of properties is not perfected by
formal
mere consent but upon the decree of the court requisite
approving the same. The petition for voluntary
separation of property was denied because the Salaries Owned in Separately owned by
children of the 1st and 2nd marriages were not and equal shares parties
informed; the separation of property may Wages
prejudice the rights and shares of the children.

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Propertie Remains Remains exclusive Forfeiture Where only If one party is validly
s exclusive, one party to married to another,
acquired provided a void his/her share in the
through there is proof marriage is co-owned properties
exclusive in good faith, will accrue to the
funds share of ACP/CPG of his/her
party in bad existing valid
Propertie Governed by Owned in common in faith is marriage.
s rules on co- proportion to forfeited:
acquired ownership respective If the party who acted
by both contribution In favor of in bad faith is not
through their validly married to
work and common another, his/her share
industry children shall be forfeited in the
In case of same manner as that
Propertie Owned in No presumption of default of or provided in Art 147.
s equal shares joint acquisition. When waiver by
acquired since it is there is evidence of any or all of The same rules on
while presumed to joint acquisition but the common forfeiture shall apply if
living have been none as to the extent children or both parties are in bad
together acquired of actual contribution, their faith.
through joint there is a presumption descendants
efforts of equal sharing. , each
vacant share
If one party shall belong
did not to the
participate in respective
acquisition, surviving
presumed to descendants
have
contributed In the
jointly, if the absence of
former’s such
effort descendants
consisted in , such share
the care and belongs to
maintenance the innocent
of family and party
household

N.B. Neither
party can
encumber or
G. THE FAMILY
dispose by
acts inter
vivos his 1. Concept of family
share in co-
owned
property Art. 149, FC. The family being the
without the foundation of the nation is a basic social
consent of institution which public policy cherishes and
the other protects. Consequently, family relations are
party until
governed by law and no custom practice or
cohabitation
is agreement destructive of the family shall be
terminated. recognized or given effect.

Art. 150, FC. Family relations include those:

Page 85 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
a. Between husband and wife
b. Between parents and children
c. Among other ascendants and
descendants
d. Among brothers and sisters, full or half
blood
The family is an institution that is governed by
law. The internal aspect of the family is sacred
and inaccessible to law because law must
respect the freedom of action of man.
2. Effects on legal disputes
Art. 151, FC. No suit between members of
the same family shall prosper unless it
should appear from the verified complaint or
petition that earnest efforts toward a
compromise have been made but that the
same have failed. If it is shown that no such
efforts were in fact made, the case must be
dismissed.
General Rule: No suit between members of
the same family shall prosper. [Art. 151, FC]
Exception: Suits between members of the
same family shall prosper only if it shall appear
in a verified complaint or petition that:
a. Earnest efforts towards a compromise
have been made;
b. Such efforts have failed; and
c. Such earnest efforts and the fact of
failure must be alleged.
The case will be dismissed if it is shown that no
such efforts were made. [Art. 151, FC]
Exception to the Exception
A verified complaint or petition is not needed
for matters not subject to compromise.
Under Art. 2035, CC, the following cannot be
subject of compromise:
a. Civil status of persons,
b. Validity of marriage or a legal separation,
c. Any ground for legal separation,
d. Future support (as it is presumed to be
needed for the survival of the one receiving
support),
e. Jurisdiction of courts,
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CIVIL LAW
f. Future legitime.
Note: In case of doubt, all presumptions favor
the solidarity of the family. [Art. 220, CC]
Art. 151, FC only applies when the case is
exclusively among family members.
Whenever a stranger is included as a party to
the case, Art. 151 does not apply. [Hontiveros
v. RTC, G.R. No. 125465 (1999)]
Suits between brothers-in-law can prosper
even without a verified complaint or petition.
[Guerrero v. RTC, G.R. No 109068 (1994)]
The enumeration of brothers and sisters as
members of the same family does not
comprehend sisters-in-law and brothers-in-
law. [Gayon v. Gayon, G.R. No. L-28394
(1970)].
3. Family home
What Constitutes the Family Home
The family home is the dwelling house where
family resides and the land on which it is
sustained. [Art. 152]
Limitations on the Family Home
The family home must be part of the properties
of the absolute community or the conjugal
partnership, or of the exclusive properties of
either spouse with the other’s consent. It may
also be constituted by an unmarried head of a
family in his or her own property. [Art. 156, FC]
The actual value of the family home shall not
exceed, at the time of its constitution, the
amount of P300,000 in urban areas, and
P200,000 in rural areas, or such amounts as
may hereafter be fixed by law. [Art. 157, FC]
A person may constitute, or be the beneficiary
of, only one home. [Art. 161, FC]
Who May Constitute the Family Home
The family home may be constituted
a. Jointly by the husband and wife; or
b. An unmarried head of the family [Art. 152,
FC]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Note: A person may constitute and be the
beneficiary of only one family home [Art. 161,
FC]
Beneficiaries of the Family Home
a. The husband and wife, or an unmarried
person who is the head of a family; and
b. Their parents, ascendants, descendants,
brothers, and sisters whether relationship
be legitimate or illegitimate, who are living
in the family home and who depend on the
head of the family for support. [Art. 154,
FC]
Requisites to be a Beneficiary of the Family
Home:
a. The relationship is within those
enumerated in Art. 150, FC.
b. They live in the family home
c. They are dependent for legal support on
the head of the family
Occupancy of a family home must be “actual”
in order for one to be a beneficiary. Actual
occupancy, need not be by the owner of the
house specifically. Rather, the property may be
occupied by the “beneficiaries” enumerated in
Art. 154, FC, which may include the in-laws
where the family home is constituted jointly by
the husband and wife. But the law definitely
excludes maids and overseers. They are not
the beneficiaries contemplated by the Code.
[Patricio v. Dario, G.R. No. 170829 (2006)]
The term "descendants" contemplates all
descendants of the person or persons who
constituted the family home without distinction;
hence, it must necessarily include the
grandchildren and great grandchildren of the
spouses who constitute a family home.
However descendants cannot be considered
beneficiaries if they are supported by their own
parents and not by the ascendants who
constituted the family home. [Patricio v. Dario,
G.R. No. 170829 (2006)]
When Deemed Instituted
The family home is deemed constituted on a
house and lot from the time it is occupied as a
family residence. [Art. 153, FC]
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CIVIL LAW
Exemption from Forced Sale, Execution,
Attachment
General Rule: The family home is exempt from
the following from the time of its constitution
and so long as any of its beneficiaries actually
resides therein:
a. Execution;
b. Forced sale;
c. Attachment [Art. 153].
Exceptions in the exemption of the family
home from execution
a. Nonpayment of taxes.
b. Debts incurred prior to the constitution of
the family home.
c. Debts secured by mortgages on the
premises before or after such constitution.
d. Debts due to laborers, mechanics,
architects, builders, materialmen and
others who have rendered service or
furnished material for the construction of
the building. [Art. 155, FC]
Re: Claims Not Among Those in Art. 155
When a creditor whose claim is not among
those mentioned in Art. 155, obtains a
judgment in his favor, and he has reasonable
grounds to believe that the family home is
actually worth more than the maximum amount
fixed in Art. 157, he may apply to the court
which rendered the judgment for an order
directing the sale of the property under
execution. [Art. 160, par. 1, FC]
To warrant the execution of sale of the family
home under Art 160, the following facts need to
be established:
a. there was an increase in actual value,
b. the increase resulted from voluntary
improvements,
c. the increase in actual value exceeded the
maximum limit allowed by Art 157
[Eulogio vs. Bell, G.R. No. 186322 (2015)]
The actual value of the family home shall not
exceed at the time of its constitution the
amount of three hundred thousand pesos in
urban areas and two hundred thousand
pesos in rural areas or such amounts as may
hereafter be fixed by law.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
In any event, if the value of the currency
changes after the adoption of this Code, the
value most favorable for the constitution of
a family home shall be the basis of
evaluation.
Urban areas include chartered cities and
municipalities. All others are deemed to be
rural areas. [Art. 157, FC]
Procedure to avail of right under Art. 160
a. The creditor must file a motion in the court
proceeding where he obtained a favorable
decision for a writ of execution against the
family home.
b. There will be a hearing on the motion
where the creditor must prove that the
actual value of the family home exceeds
the maximum amount fixed by the FC
either at the time of its constitution or as a
result of improvements introduced
thereafter.
c. If the creditor proves that the actual value
exceeds the maximum amount the court
will order its sale in execution.
d. If the family home is sold for more than the
value allowed, the proceeds shall be
applied as follows:
1. First, the obligation enumerated in
Article 157 must be paid
2. Then the judgment in favor of the
creditor will be paid, plus all the
costs of execution
3. The excess, if any, shall be
delivered to the judgment debtor
General Rule
The proof that the house is the family home
must be alleged against creditors; Applied the
rule in Art. 160, FC. [Versola v. Mandolaria,
G.R. No. 164740 (2006)]
Note: The provisions of this Chapter shall also
govern existing family residences insofar as
said provisions are applicable. [Art. 162, FC]
When the Family Home may be Sold
The family home may be sold alienated,
donated, assigned, or encumbered by the
owner or owners thereof with the written
consent of the person constituting the
Page 88 of 532
CIVIL LAW
same the latter’s spouse and a majority of
the beneficiaries of legal age. In case of
conflict, the court shall decide. [Art. 158, FC]
Requirements for the sale, alienation,
donation, assignment, or encumbrance of
the family home
a. The written consent of the following:
1. the person constituting it;
2. the spouse of the person
constituting it; and
3. the majority of the beneficiaries
who are of legal age [Art. 158, FC].
When Terminated
The family home shall continue despite the
death of one or both of the spouses or of the
unmarried head of the family:
a. for a period of ten years; or
b. for as long as there is a minor beneficiary.
And the heirs cannot partition the same unless
the court finds compelling reasons therefor.
The rule shall apply regardless of whoever
owns the property or constituted the family
home [Art. 159, FC]
Article 159 imposes the proscription
against the immediate partition of the family
home regardless of its ownership. This
signifies that even if the family home has
passed by succession to the co-ownership of
the heirs, or has been willed to any one of
them, this fact alone cannot transform the
family home into an ordinary property, much
less dispel the protection cast upon it by the
law. The rights of the individual co-owner or
owner of the family home cannot subjugate the
rights granted under Article 159 to the
beneficiaries of the family home. [Arriola v.
Arriola, G.R. No. 177703 (2008)]
H. PATERNITY AND
FILIATION
The filiation of children may be by nature or by
adoption. Natural filiation may be legitimate
or illegitimate. [Art. 163, FC]
See table below.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Status Children Who Have this Rights Effects on

Status Succession

Legitimate a. Conceived OR born during a. Bear the surnames Legitimate children are
the valid marriage of the of the father and entitled to 1/2 of the
parents [Art. 164, FC] the mother estate of the parent
b. Conceived through artificial b. Receive support divided amongst
insemination [Art. 164, FC] from parents, themselves [Art. 888,
c. Children of a subsequent ascendants, and CC]
marriage (after declaration of brothers/sisters in
presumptive death) proper cases
conceived prior to its c. Entitled to
termination [Art. 43, FC] legitimate and
d. Conceived or born before the other successional
final judgement of annulment rights [Art. 174,
under Art. 45 or absolute FC]
nullity under Art. 36 [Art. 54, d. Claim legitimacy
FC] [Art. 173, FC]
e. Conceived or born of the
subsequent marriage under
Art. 53 [Art. 54, FC]
f. Legitimated children* [Art.
177, FC]
g. Adopted Children** [RA
8552]

Illegitimate Conceived AND born outside a a. Bear the surname Each illegitimate child
valid marriage [Art. 165, FC] of the mother is entitled to an amount
b. Bear the surname 1/2 the share of a
of the father if legitimate child [Art.
filiation has been 176, FC]
expressly
recognized by the
father through:
record of birth,
public document,
or private
handwritten
instrument
c. Receive support
d. Entitled to
successional
rights [Art 176, FC]
e. Establish
illegitimate filiation
[Art 175, FC]

Legitimated* Conceived AND born outside a Same as Legitimate Same as Legitimate

valid marriage provided that: Child [Art. 179, FC] Child
a. At the time of conception: the
parents were NOT

Page 89 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

disqualified to marry each

other (unless the impediment
was minority of either or both
of them) [Art. 177, FC] AND
b. The parents subsequently
enter into a valid marriage
[Art. 178, FC]

Adopted** Those adopted through From the Domestic From Domestic

Domestic [RA 8552] or Adoption Act: Adoption Act:
Intercountry Adoption [RA 8043] a. Same as Legitimate a. Same as
Child [Sec. 17, RA Legitimate Child
8552] [Sec. 18, RA 8552]
b. Right to rescind BUT the adopted
adoption under child cannot inherit
specific cases [Sec. by representation
19, RA 8552] because the
relationship is only
between adopter
and adoptee
[Sayson v. CA,
G.R. No. 89224-25
(1992)]
b. May also inherit
from biological
parents if they left
a will [Sec. 18, RA
8552]

1. Legitimate children The time of birth is the criterion of

Art. 164, FC. Children conceived or born
during the marriage of the parents are
legitimate.
Children conceived as a result of artificial
insemination of the wife with the sperm of the
husband or that of a donor or both are
likewise legitimate children of the husband
and his wife, provided, that both of them
authorized or ratified such insemination in a
written instrument executed and signed by
them before the birth of the child. The
instrument shall be recorded in the civil
registry together with the birth certificate of
the child.
A legitimate child is one that is born in lawful
wedlock or within a competent time afterwards.
legitimacy. [Tolentino]
WHO ARE LEGITIMATE CHILDREN?
1. Children conceived OR born during the
valid marriage of the parents [Art. 164,
FC]
2. Children conceived through artificial
insemination [Art. 164, FC]
3. Children of a subsequent marriage
conceived prior to its termination [Art.
43, FC]
This refers to those subsequent
marriages which were terminated after
the reappearance of the spouse
presumed dead.
4. Children conceived or born before the
judgement of annulment under Art. 45
or absolute nullity under Art. 36 has

Page 90 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
become final and executory [Art. 54,
FC]
5. Children conceived or born of the
subsequent marriage under Art. 53
[Art. 54, FC]
6. Legitimated children [Art. 177, FC]
7. Adopted Children [RA 8552]
NATURAL/BIOLOGICAL
A child conceived or born during a valid
marriage is presumed to belong to that
marriage, regardless of the existence of
extramarital relationships. [Liyao v. Liyao, G.R.
No. 138969 (2002)]
ARTIFICIAL INSEMINATION [Art. 164, FC]
Artificial insemination is the impregnation of a
female with the semen from male without
sexual intercourse.
The child conceived through artificial
insemination with the consent of both husband
and wife is legitimate.
The FC does not require, as a condition for
the legitimacy of the child, the impotence of
the husband.
Even without the initial consent, the child can
still be legitimated so long as the husband
subsequently gives his consent before the child
is born through AI.
Requisites to be considered legitimate:
a. Artificial insemination made on wife
b. Sperm comes from any of the following:
1. Husband
2. Third Person Donor
3. Husband and third
person donor
c. In case of donor sperm, husband and
wife must authorize/ratify insemination
in a written instrument.
1. Executed & signed by husband and
wife before the birth of the child.
2. Recorded in the civil registry together
with the birth certificate of the child.
[Art. 164, FC]
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CIVIL LAW
Dual consent is required whether the semen
used comes from the husband or a third person
donor. [Tolentino]
Common children born before the annulment
are legitimate, and therefore entitled to support
from each of the spouses. [De Castro v.
Assidao-De Castro, G.R. No. 160172 (2008)]
2. Proof of filiation
Proof of filiation is necessary:
1. Where the child is born after 300 days
following the termination of the marriage →
child has no status, and whoever alleges
legitimacy must prove it.
2. If the legitimacy of a child conceived or
born in wedlock is impugned and the
plaintiff has presented evidence to prove
any of the grounds provided in Article 166
→ proof of filiation may be used as a
defense. [Tolentino]
Legitimate children may establish their
filiation by any of the following [Art. 172,
FC]:
a. Primary Evidence (for voluntary
recognition)
1. Their record of birth appearing in
the civil registry or a final
judgement.
2. An admission of his filiation by his
parent in a public document or a
private handwritten instrument and
signed by said parent.
b. Secondary Evidence (for involuntary
recognition)
1. Proof of open and continuous
possession of status as legitimate
child.
2. Any other means stated by the
rules of court or special laws.
Note: Only in the absence of primary evidence
can secondary evidence be admitted
Action for Claiming Filiation (Legitimate
Children) [Art. 173, FC]:
a. The child can bring the action during his or
her lifetime.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
b. If the child dies during minority or in a state
of insanity, such action shall be transmitted
to his heirs, who shall have a period of five
years within which to institute the action.
c. The action commenced by the child shall
survive notwithstanding the death of either
or both of the parties.
Rights of Legitimate Children [Art. 174, FC]
3S → Support, Surname, Succession
a. To bear the Surnames of the father and the
mother, in conformity with the provisions of
the CC on surnames.
b. To receive Support from their parents, their
ascendants, and in proper cases, their
brothers and sisters, in conformity with the
provisions of the Code on Support.
c. To be entitled to the legitimate and other
Successional rights granted to them by the
CC.
Future support cannot be the subject of a
compromise, pursuant to Article 2035 of CC.
The reason behind this prohibition is because
the right to support is founded upon the need
of the recipient to maintain his existence, and
thus the renunciation of such will be
tantamount to allowing the suicide of the
person or his conversion to a public burden,
which is contrary to public policy. [De Asis v.
CA, G.R. No. 127578 (1999)]
3. Illegitimate children
Art. 165, FC. Children conceived and born
outside a valid marriage are illegitimate,
unless otherwise provided in this Code.
WHO ARE ILLEGITIMATE CHILDREN?
General rule: Those conceived and born
outside of a valid marriage. [Art. 165, FC]
Exceptions
a. Children of marriages void under Art. 36
(psychological incapacity); and
b. Under Art. 53 (subsequent marriages
which did not comply with Art. 52) [Sempio-
Dy]
Page 92 of 532
CIVIL LAW
ACTION FOR CLAIMING ILLEGITIMATE
FILIATION
Illegitimate children may establish their
illegitimate filiation in the same way and on the
same evidence as legitimate children. [Art.
175, FC]
a. For actions based on primary evidence,
the same periods stated in Art. 173 of FC
apply - lifetime of the child, will not be
extinguished by death of either parties
b. For actions based on secondary
evidence, the action may only be brought
during the lifetime of the alleged parent.
The same kind of evidence provided in Art. 172
for establishing legitimate filiation may be used
to prove the filiation of illegitimate children, and
the action for this purpose must be brought
within the same period and by the same parties
as provided in Article 173. [Art. 175, FC]
However, if the evidence to prove the filiation is
secondary, the action must be brought within
the lifetime of the alleged parent. [Art. 175, FC]
Primary evidence
Baptismal certificates are given probative value
only for births before 1930. Birth certificates
must be signed by the parents and sworn for it
to be admitted as evidence. [Mendoza v. Mella,
G.R. No. L-18752 (1966)]
Signature of the father on the birth certificate is
considered as an acknowledgement of
paternity and mere presentation of a duly
authenticated copy of such certificate will
successfully establish filiation. [Eceta v. Eceta,
G.R. 157037 (2004)]
Unsigned birth certificates are not evidence of
recognized filiation. [Baluyut v. Baluyut, G.R.
No. L-33659 (1990)]
The due recognition of an illegitimate child in a
record of birth, a will, a statement before a court
of record, or in any authentic writing, is in itself
a consummated act of acknowledgement of the
child, and no further court action is required.
[De Jesus v. Estate of Decedent Juan Gamboa
Dizon, G.R. No. 142877 (2001)]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Secondary evidence
Rule 130, Sec. 40 is limited to objects
commonly known as family possessions
reflective of a family's reputation or tradition
regarding pedigree like inscriptions on
tombstones, monuments, or coffin plates.
[Jison v. CA, G.R. No. 124853 (1998)]
"Su padre [Your father]" ending in a letter is
only proof of paternal solicitude and not of
actual paternity. Signature on a report card
under the entry of "Parent/Guardian" is likewise
inconclusive of open admission. [Heirs of
Rodolfo Bañas v. Heirs of Bibiano Bañas, G.R.
No. L-25715 (1985)]
Mere possession of status as an illegitimate
child does not make an illegitimate child
recognized but is only a ground for bringing an
action to compel judicial recognition by the
assumed parent. [Gono-Javier v. CA, G.R. No.
111994 (1994)]
To prove open and continuous possession of
the status of an illegitimate child, there must be
evidence of the manifestation of the permanent
intention of the supposed father to consider the
child as his, by continuous and clear
manifestations of parental affection and care,
which cannot be attributed to pure charity.
[Perla v. Baring, G.R. No. 172471 (2012)]
Meanwhile, the lack of participation of the
supposed father in the preparation of a
baptismal certificate renders this document
incompetent to prove paternity. Baptismal
certificates are per se inadmissible in evidence
as proof of filiation and they cannot be admitted
indirectly as circumstantial evidence to prove
the same. [Perla v. Baring, supra]
By "open and continuous possession of the
status of a legitimate child" is meant the
enjoyment by the child of the position and
privileges usually attached to the status of a
legitimate child, like bearing the paternal
surname, treatment by the parents and family
of the child as legitimate, constant attendance
to the child's support and education, and giving
the child the reputation of being a child of his
Page 93 of 532
CIVIL LAW
parents. [De Jesus v. Syquia, G.R. No. L-
39110 (1933)]
Other evidence
DNA evidence can be used as proof of
paternity. [Agustin v. CA, G.R. No. 162571
(2005)]
DNA evidence can still be used even after the
death of the parent. [Estate of Rogelio Ong v.
Diaz, G.R. No. 171713 (2007)]
Marriage certificates cannot be used as proof
of filiation. [Lim v. CA, G.R. No. L-39381
(1975)]
There are four significant procedural aspects of
a traditional paternity action that parties have
to face: a prima facie case, affirmative
defenses, presumption of legitimacy, and
physical resemblance between the putative
father and the child. A prima facie case exists
if a woman declares — supported by
corroborative proof — that she had sexual
relations with the putative father; at this point,
the burden of evidence shifts to the putative
father. Further, the two affirmative defenses
available to the putative father are: (1)
incapability of sexual relations with the mother
due to either physical absence or impotency, or
(2) that the mother had sexual relations with
other men at the time of conception. [Gotardo
v. Buling, G.R. No. 165166 (2012)]
RIGHTS OF ILLEGITIMATE CHILDREN
Art. 176, FC. Illegitimate children shall use
the surname and shall be under the parental
authority of their mother, and shall be
entitled to support in conformity with this
Code. However, illegitimate children may
use the surname of their father if their filiation
has been expressly recognized by the father
through the record of birth appearing in the
civil register, or when an admission in a
public document or private handwritten
instrument is made by the father. Provided,
the father has the right to institute an action
before the regular courts to prove non-
filiation during his lifetime. The legitime of
each illegitimate child shall consist of one-
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
half of the legitime of a legitimate child (as
amended by RA No. 9255 in 2004).
Illegitimate children shall use the surname and
shall be under the parental authority of their
mother, and shall be entitled to support in
conformity with this Code. The legitime of each
illegitimate child shall consist of one-half of the
legitime of a legitimate child. [Art. 176, FC]
Rights of Illegitimate Children [Art. 176, FC]
a. Use the surname and be under the parental
authority of the mother
b. However, may use the surname of father if:
1. Their filiation has been expressly
recognized by the father through the
record of birth appearing in the civil
register; or
2. There is an admission in a public
document or private handwritten
instrument made by the father.
3. Provided, the father has the right to
institute an action before the regular
courts to prove non-filiation during his
lifetime [RA 9255]
4. The use of the word “may” in Art. 176
readily shows that an acknowledged
illegitimate child is under no
compulsion to use the surname of his
illegitimate father. The word “may” is
permissive and operates to confer
discretion upon the illegitimate
children. [Grande v. Antonio, G.R. No.
206248 (2014)]
c. Shall be entitled to support in conformity
with the FC.
d. Legitime shall consist of one-half of the
legitime of a legitimate child.
The writ of habeas corpus does not distinguish
between a mother of a legitimate and a mother
of an illegitimate child who is deprived of
rightful custody of her child. [David v. CA, G.R.
No. 111180 (1995)]
The order of payment of allowance need not be
conditioned on the grant of custody of the
child., since under Art. 204 of FC, a parent may
fulfill his obligation to support by paying the
allowance fixed by the court. [David v. CA,
supra]
Page 94 of 532
CIVIL LAW
Compulsory acknowledgment and support of
the child are proper as there is no legal
impediment in doing so. The crime of rape
carries with it the obligations to acknowledge
the child if the character of its origin does not
prevent it, and to support the same. [People v.
Namayan, G.R. No. 106539 (1995)]
Criminal liability for neglect of a child under PD
603 does not depend on whether the other
parent is also guilty of neglect. The
irresponsible parent cannot exculpate himself
from the consequences of his neglect by
invoking the other parent’s faithful compliance
with his or her own parental duties because to
allow such defeats the prescription that in all
questions regarding the care, custody,
education and property of the child, his welfare
shall be the paramount consideration. [De
Guzman v. Perez, G.R. No. 156013 (2006)]
Although the issuance of TPO under RA 9262
may include the grant of legal support for the
wife and the child, this assumes that both are
entitled to a protection order and to legal
support. Illegitimate children are entitled to
support and successional rights, but their
filiation must be duly proved through a judicial
action for compulsory recognition or a direct
action for support where the issue of
compulsory recognition may be integrated and
resolved. [Dolina v. Vallecera, G.R. No.
182367 (2010)]
Summary proceedings under Rule 108 of RC
and Art. 412 of CC may be used only to correct
clerical or innocuous errors, not to alter or
increase substantive rights, such as those
involving the legitimacy or illegitimacy of a
child. Where the effect of a correction in a civil
registry will change the civil status of a child
from legitimate to illegitimate, the same cannot
be granted except only in an adversarial
proceeding. Moreover, a petition for substantial
change in the civil registry should implead not
only the civil registrar, but also all other persons
who have or claim to have any interest that
would be affected thereby. [Republic v.
Labrador, G.R. No. 132980 (1999)]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

1. Mother may have declared against

its legitimacy
Day of Birth of the Child Status of
2. Mother may have been sentenced
Relative to the 2 Marriages the Child
as an adulteress (also applies to
[Art 168,
wife who was raped)
FC]
b. If the marriage is terminated and the
mother contracted another marriage within 1st marriage: within 300 days Legitimate
300 days after the termination of the former of termination to 1st
marriage, the following rules shall govern in AND Marriage
the absence of proof to the contrary [Art 2nd marriage: before 180
168, FC]: days after solemnization
1. If born before 180 days after the
solemnization of the subsequent 1st marriage: within 300 days Legitimate
marriage – child is considered of termination to 2nd
conceived during the former AND Marriage
marriage, provided it be born within 2nd marriage: after 180 days
300 days after termination of the following solemnization
former marriage
2. If born after 180 days following the
Art. 169, FC. The legitimacy or illegitimacy
celebration of the subsequent
of a child born after three hundred days
marriage – child is considered
conceived during such marriage, following the termination of the marriage
even if it be born within 300 days shall be proved by whoever alleges such
after the termination of the former legitimacy or illegitimacy.
marriage
The legitimacy or illegitimacy of a child born
after 300 days following the termination of the
marriage – burden of proof upon whoever
alleges the status. [Art. 169, FC]

If nobody asserts the legitimacy or illegitimacy

of the child described in Art. 169, the child
should be considered illegitimate unless
legitimacy is proved. Legitimacy cannot be
presumed here since the birth was beyond the
300-day period of gestation. While it goes
against the policy of law to lean in favor of
legitimacy, this interpretation is better than the
anomalous situation created by Art. 169, which
is a child without a status. [Tolentino]

ACTION FOR IMPUGNING LEGITIMACY

An action to impugn legitimacy may be brought
within 1, 2, or 3 years from the knowledge of
the birth or of registration of birth. [Arts. 170
and 171, FC]
a. Within 1 year - If the husband or any heirs
reside in the same city or municipality
where the child was born or his birth was
recorded.

Page 96 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
b. Within 2 years - If the husband or all heirs
live in the Philippines but do not reside in
the same city or municipality where the
child's birth took place or was recorded.
c. Within 3 years - if the husband or all heirs
live outside the Philippines when the child's
birth took place or was recorded in the
Philippines.
If the birth of the child has been concealed or
was unknown to the husband, the above
periods shall be counted:
a. From the discovery or knowledge of the
birth of the child, or
b. From the discovery or knowledge of its
registration, whichever is earlier.
General rule: Only the husband can impugn
the legitimacy of a child. If he does not bring an
action within the prescribed periods, he cannot
file such action anymore thereafter, and this is
also true with his heirs.
Exception: That the heirs of the husband
may file the action or continue the same within
the periods prescribed in Art. 170 [Art. 171,
FC]:
a. If the husband died before the expiration of
the period fixed for bringing his action
b. If he should die after the filing of the
complaint without having desisted
therefrom
c. If the child was born after the death of the
husband.
Example: If the husband was living in Dubai
and the child was born in Quezon City, and he
had older children (heirs) also living in Quezon
City, the period for impugning legitimacy would
be within 1 year from knowledge of birth or
registration. Although the husband resided
abroad, he still had heirs residing in the same
city.
Legitimacy can only be attacked directly.
[Sayson v. CA, G.R. No. 89224-25 (1992)]
Page 97 of 532
CIVIL LAW
5. Legitimated children
Art. 177, FC. Children conceived and born
outside of wedlock of parents who, at the time
of conception of the former, were not
disqualified by any impediment to marry each
other, or were so disqualified only because
either or both of them were below eighteen (18)
years of age, may be legitimated (as amended
by RA No. 9858, 2009).
General rule: "Legitimated" children are
illegitimate children who because of the
subsequent marriage of their parents are, by
legal fiction, considered legitimate.
Requisites for Legitimation:
a. The child must have been conceived and
born outside of wedlock; and
b. The parents, at the time of the child's
conception, were not disqualified by any
impediment to marry each other, or
disqualified only because either or both of
them were below 18 years old. [Art. 177, as
amended by RA 9858, FC]
Procedure and Effects:
a. Legitimation shall take place by a
subsequent valid marriage between the
parents. The annulment of a voidable
marriage shall not affect the legitimation.
[Art. 178, FC]
b. Effects of legitimation shall retroact to the
time of the child’s birth [Art. 180, FC]
c. Legitimation of children who died before
the celebration of the marriage shall benefit
their descendants [Art. 181, FC]
Grounds for Impugning Legitimation:
a. The subsequent marriage of the child's
parents is void.
b. Those born under these circumstances:
1. There was an impediment to the
marriage at the time of conception AND
2. The subsequent marriage of the
parents is valid
c. The child is not really the child of the
alleged parents. [Sempio-Dy]
Legitimation may be impugned only by those
who are prejudiced in their rights, within five
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

years from the time their cause of action legitimate

accrues. [Art. 182, FC] child of the
other
Rights of legitimated children 2. One spouse
Legitimated children have the same rights as seeks to
adopt his
those of legitimate children. [Art. 179, FC]
own
illegitimate
When an illegitimate child is subsequently child,
legitimated by reason of marriage, he shall be provided that
allowed to use his mother’s surname as his the other
middle name and his father’s surname as his spouse has
signified
surname. Thus, as a legitimated child, Julian
their consent
shall use the surnames of both his mother and thereto
father. [In Re: Petition for Change of Name of 3. Spouses are
Julian Lin Carulasan Wang, G.R. No. 159966 legally
(2005) separated
from each
other

I. ADOPTION Effect on Same status Creates a

parent- and rights with relationship only
child that of a between the child
relationship legitimate child and the adopting
Adoption is a juridical act, a proceeding in rem, not only in parents [Sayson
which creates between two persons a relation to the v. CA, G.R. No.
relationship similar to that which results from legitimizing 89224-25 (1992)]
legitimate paternity and filiation. [Lazatin v. parents but also
Campos, G. R. No. L-43955-56 (1979)] to other
relatives.
Since adoption is wholly and entirely artificial,
to establish the relation the statutory 1. RA 8552: Domestic Adoption
requirements must be strictly carried out;
otherwise, the adoption is an absolute nullity. Law
[Republic v. CA and Caranto, G.R. No. 103695
(1996)] a. Who can adopt

1. Filipino Citizens [Sec. 7(a), RA 8552]

LEGITIMATION ADOPTION
a. Of legal age
Legal effect The law merely The law creates b. With full civil capacity and legal
makes legal by fiction a rights
what exists by relation which did c. Of good moral character and has
nature. not in fact exist. not been convicted of any crime
Persons Natural children Strangers
involving moral turpitude
affected (generally) d. Emotionally and psychologically
capable of caring for children
Procedure Extrajudicial Always judicial e. At least sixteen (16) years older
acts of parents than adoptee, except when adopter
is biological parent of the adoptee
Who Both parents Both parents,
should except:
or is the spouse of the adoptee’s
apply 1. One spouse parent
seeks to f. In a position to support and care for
adopt the his/her children in keeping with the
means of the family

Page 98 of 532
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
g. Has undergone pre-adoption
services
2. Aliens [Sec. 7(b), RA 8552]
Same for Filipinos provided further that:
a. His/her country has diplomatic
relations with the Philippines
b. Has been living in the Philippines
for 3 continuous years prior to the
filing of application and maintains
such residence until the decree is
entered
! Note: absences not
exceeding 60 days per 1
year for professional,
business, or emergency
reasons are allowed
c. Has been certified by his/her
diplomatic or consular office or any
appropriate government agency
that he/she has the legal capacity
to adopt in his/her country
d. His/her government allows the
adoptee to enter his/her country as
his/her adoptee and reside there
permanently as an adopted child
e. Has submitted all the necessary
clearances and such certifications
as may be required
Requirements of residency and certification
of legal capacity may be waived under the
following circumstances:
a. Adopter is a former Filipino Citizen who
seeks to adopt a relative within the 4th
degree of consanguinity or affinity.
b. Adopter seeks to adopt the legitimate child
of his/her Filipino spouse
c. Adopter is married to a Filipino Citizen and
seeks to adopt jointly with his/her spouse a
relative within the 4th degree of
consanguinity or affinity of the Filipino
spouse
● Note: Requirements may not be
waived for an alien married to a
former Filipino
3. Guardians [Sec. 7(c), RA 8552]
With respect to their wards, after the
termination of the guardianship and clearance
of his/her accountabilities.
General Rule: Husband and wife must jointly
adopt
Exception [Sec. 7]:
Page 99 of 532
CIVIL LAW
a. One spouse seeks to adopt the legitimate
child of the other
b. One spouse seeks to adopt his own
illegitimate child, provided that the other
spouse has signified their consent thereto
c. Spouses are legally separated from each
other
b. Who can be adopted
Those who can be adopted [Sec. 8, RA
8552]:
1. Minor (below 18) who has been
administratively or judicially declared
available for adoption
2. Legitimate son/daughter of one spouse by
another
3. Illegitimate son/daughter by a qualified
adopter to improve the child’s status to that
of legitimacy
4. A person of legal age if, prior to the
adoption, said person has been
consistently considered and treated by the
adopter(s) as his/her child since minority
5. A child whose previous adoption has been
rescinded
6. A child whose biological or adoptive
parent(s) has died, provided that no
proceedings shall be initiated within 6
months from the time of death of said
parent(s)
Exceptions to the Requirement of a
Certification that the Child is Available for
Adoption [Sec. 4, RA 8552]:
1. Adoption of an illegitimate child by his/her
biological parent;
2. Adoption of a child by his/her stepparent;
3. Adoption by a relative within the 4th civil
degree by consanguinity or affinity
Persons whose written consent is
necessary for adoption [Sec. 9, RA 8552]
1. The prospective adoptee if 10 years or
older
2. The prospective adoptee’s biological
parents, legal guardian or the government
instrumentality or institution that has
custody of the child
3. The prospective adopters’ legitimate and
adopted children who are 10 years or older
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
4. The prospective adopters’ illegitimate
children, if any, who are 10 years or older
and living with them
5. The spouse, if any, of the person adopting
or to be adopted.
Note: A decree of adoption shall be effective as
of the date the original petition was filed. It also
applies in case the petitioner dies before the
issuance of the decree of adoption to protect
the interest of the adoptee. [Sec. 13, RA 8552]
c. Foundlings
Foundling shall refer to a deserted or
abandoned infant or a child found, with
parents, guardian, or relatives being unknown,
or a child committed in an orphanage or
charitable or similar institution with unknown
facts of birth and parentage and registered in
the Civil Register as a foundling. [Sec. 3(h),
Rules And Regulations To Implement The
Domestic Adoption Act Of 1998]
When is a child considered a foundling?
It shall be the duty of the DSWD or the child-
placing or child-caring agency which has
custody of the child to exert all efforts to locate
his/her unknown biological parent(s). If such
efforts fail, the child shall be registered as a
foundling and subsequently be the subject of
legal proceedings where he/she shall be
declared abandoned. [Sec. 5, RA 8552]
If efforts to locate the child's parent/s fail, the
child shall be registered as a foundling and
within three (3) months from the time he/she is
found, be the subject of legal proceedings
where he/she shall be declared abandoned.
[Sec. 5, Rules And Regulations To Implement
The Domestic Adoption Act Of 1998]
Domestic laws on adoption also support the
principle that foundlings are Filipinos. These
laws do not provide that adoption confers
citizenship upon the adoptee. Rather, the
adoptee must be a Filipino in the first place to
be adopted. The Inter-Country Adoption Act
(R.A. No. 8043), the Domestic Adoption Act
(R.A. No. 8552) and the Court's A.M. No. 02-
6-02-SC or the "Rule on Adoption," all
expressly refer to "Filipino children" and
include foundlings as among Filipino children
Page 100 of 532
CIVIL LAW
who may be adopted. [Poe-Llamanzares v.
COMELEC, G.R. No. 221697 (2016)]
d. Pre-Adoption Procedures
a. Voluntary commitment by biological
parent(s) wanting to put their child up
for adoption
1. Counseling on their options other than
adoption
2. Explaining to them the implications of
losing their parental authority over the
child
3. Continuing services shall be provided
after relinquishment to cope with
feelings of loss, etc. and other services
for the reintegration to the community
of the biological parent(s)
4. Biological parent(s) who decided to put
the child for adoption shall sign the
Deed of Voluntary Commitment (DVC),
which shall be rescissible within 3
months from signing of the same
b. Involuntary commitment of
abandoned/neglected child
1. Filing of a petition at Regional DSWD
in the form of an affidavit and with the
required supporting documents
2. Posting of the petition, then
recommendation by the Regional
Director of the DSWD (5 days each)
3. Issuance of certification by DSWD
Secretary declaring the child legally
available for adoption within 3 months
following involuntary commitment
c. Required supporting documents for a
petition for the declaration of
involuntary commitment:
1. Social Case Study Report by DSWD /
LGU / institution charged with child’s
custody
2. Proof of efforts to locate the child’s
parents/known relatives
a. Written certification that a
local/national radio/TV case
was aired on 3 different
occasions
b. Publication in 1 newspaper of
general circulation
c. Police report/barangay
certification of due diligence
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

d. Returned registered mail to last

known address of parents
3. Birth certificate, if available
4. Recent photo and photo upon
abandonment of child

e. Adoption Procedures
Note: DSWD must certify the child as legally
available for adoption as a prerequisite for
adoption proceedings. [RA 9253]

After the decree of adoption, the court may also

issue a travel authority, if needed.

The case study report by the DSWD/LGU is

indispensable. Without it, the adoption decree
shall be void. [DSWD v. Judge Belen, RTJ-96-
1362 (1997)]

Page 101 of 532

U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Page 102 of 532

U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Person Obliged Refuses or Fails to Give
Support
Art. 207, FC. When the person obliged to
support another unjustly refuses or fails to
give support when urgently needed by the
latter, any third person may furnish support
to the needy individual, with the right of
reimbursement from the person obliged to
give support. This Article shall particularly
apply when the father or mother of a child
under the age of majority unjustly refuses to
support or fails to give support to the child
when urgently needed.
Example: The father who abandoned his two
daughters in their tender years, was ordered by
the Court to pay support in arrears. The Court
said that the father could not plausibly expect
his children of tender years to demand support
from him. In like manner, the uncle who lent
money for the education and support of the two
sisters, may exact reimbursement from the
father [Lacson v. Lacson, G.R. No. 150644
(2006)].
5. Amount of support
The amount of support is in proportion to the
means of the provider and the needs of the
receiver, and can be reduced or increased if
such circumstances change [Arts. 201 and
202, FC].
The amount of support is variable and, for this
reason, no final judgment on the amount of
support is made as the amount shall be in
proportion to the resources or means of the
giver and the necessities of the recipient
[Gotardo v. Buling, G.R. No. 165166 (2012)].
Contractual Support or That Given By Will
The excess in amount beyond that required for
legal support shall be subject to levy on
attachment or execution [Art. 208, FC].
Reason: The amount of support agreed upon
in the contract or given in the will can be more
than what the recipient needs [Sempio-Diy].
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Furthermore, contractual support shall be
subject to adjustment whenever modification is
necessary due to changes in circumstances
manifestly beyond the contemplation of the
parties [Art. 208, FC].
6. Manner and time of payment
Art. 203, FC. The obligation to give support
shall be demandable from the time the
person who has a right to receive the same
needs it for maintenance, but it shall not be
paid except from the date of judicial or
extrajudicial demand.
Support pendente lite may be claimed in
accordance with the Rules of Court.
Payment shall be made within the first five
days of each corresponding month or when
the recipient dies, his heirs shall not be
obliged to return what he has received in
advance.
Payment of alimony is demandable from the
moment the necessity for it arises and is
payable from the time of extrajudicial demand.
Unless support is demanded, it is presumed
that such necessity does not exist.
Support in arrears may be subject to
compromise. The Court may consider whether
the support is no longer indispensable for the
recipient's sustenance [Tolentino].
Two Options to Fulfill Obligation to Give
Support
a. Payment of the amount; or
b. Receiving and maintaining the recipient in
the home of the provider
Requisites:
1. The obligor has his own home or domicile,
and
2. There is no moral or legal reason which
prevents the recipient from living in the
obligor’s home or domicile [Art. 204, FC].
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
f. Who may not adopt
Those who may not adopt [Art. 184, FC,
amended by RA 8552]:
1. The guardian, with respect to the ward,
prior to the approval of the final accounts
rendered upon the termination of the
guardianship
2. Any person convicted of a crime of moral
turpitude
g. Rights of an Adopted Child
1. Parental Authority [Sec. 16, RA 8552]
Except in cases where the biological parent is
the adopter’s spouse, all legal ties between
biological parent and adoptee shall be severed,
and the same shall then be vested on the
adopters.
The general effect of the adoption decree is to
transfer to the adopting parents the parental
authority of the parents by nature, as if the child
had been born in lawful wedlock. [Tolentino]
The relationship established by adoption is
limited to the adopting parent and does not
extend to his other relatives, except as
expressly provided by law. [Tolentino]
The law does not prohibit the biological
parent(s) from entering an agreement with the
adopters on post adoption visitation. Neither do
our laws compel the adopters to grant visitation
rights if such is not beneficial to the child.
[Aguiling-Pangalangan]
2. Legitimacy [Sec. 17, RA 8552]
The adoptee shall be considered the legitimate
son/daughter of the adopters for all intents and
purposes, and as such is entitled to all rights
and obligations provided by law to legitimate
children born to them without discrimination of
any kind. The adoptee is entitled to love,
guidance, and support in keeping with the
means of the family.
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CIVIL LAW
3. Succession [Sec. 18, RA 8552]
In legal and intestate succession, the adopter
and the adoptee shall have reciprocal rights of
succession without distinction from legitimate
filiation. However, if the adoptee and his/her
biological parents had left a will, the law on
testamentary succession shall govern.
Legal or intestate succession to the estate of
the adopted shall be governed by the following
rules:
a. Legitimate and illegitimate children,
descendants and the surviving spouse of
the adoptee shall inherit in accordance with
the ordinary rules of legal/intestate
succession.
b. When the surviving spouse OR illegitimate
children AND adopters concur, they shall
inherit on a 50-50 basis.
c. When the surviving spouse AND
illegitimate children AND adopters concur,
they shall inherit on a 1/3-/1/3-1/3 basis.
d. When only adopters survive, they shall
inherit 100% of the estate.
e. When only collateral blood relatives
survive, ordinary rules of legal or intestate
succession shall apply. [Art. 190 (as
amended), FC]
Between adoptee and adopter
The adopter and adoptee have reciprocal
rights of succession without distinction from
legitimate children in legal and intestate
succession. [Sec. 18, RA 8552]
Between adoptee and adopter’s relatives
The relationship created by adoption is
exclusively between the adopter and the
adopted. Hence, the adopted child has no right
to inherit from the relatives of his adopted
parents. [Aguiling-Pangalangan]
While an adopted child has the same rights as
a legitimate child, these rights do not include
the right of representation. The relationship
created by the adoption is between only the
adopting parents and the adopted child and
does not extend to the blood relatives of either
party. [Sayson v. CA, supra]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Between adoptee and biological parents
One effect of adoption is that the adopted shall
remain an intestate heir of his parents and
other blood relatives. [Art. 189, FC]
Since many biological parents relinquish their
child for adoption by reason of poverty or
emotional unpreparedness, their biological
child should not be prevented from inheriting if
they were able to improve their lot. There is
nothing that precludes the biological parents to
give their biological child his or her rightful
share in their last will and testament. [Aguiling-
Pangalangan]
4. Name [Art. 365, CC.]
An adopted child shall bear the surname of
the adopter.
While an effect of adoption is that the adoptee
shall bear the surname of the adopter, the
change of surname of the adopted child is more
an incident rather than the object of adoption
proceedings. The purpose of adoption is to
effect a new status of relationship between the
child and his or her adoptive parents, and the
change of name is more of an incident only
than the object of the proceeding. [Republic v.
CA and Wong, G.R. No. 97906 (1992)]
Sec. 13 of RA 8552 allows the change of first
name to be instituted in the same
proceeding as the adoption: “the decree of
adoption shall state the name by which the
child is to be known.”
The law is silent as to what middle name the
adoptee may use but the SC has held that an
adoptee is entitled to all the rights provided by
law to a legitimate child, including the right to
bear the surname of her father and mother.
[In re: Adoption of Stephanie Nathy Astorga
Garcia, G.R. No. 148311 (2005)]
5. Nationality
Adoption does not confer citizenship of the
adopter to the adopted. Under Sec. 3, Art. IV of
the Constitution, Philippine citizenship may be
lost/acquired [only] in the manner provided by
law. The adoption of an alien is not a means of
Page 104 of 532
CIVIL LAW
acquiring Philippine citizenship. A Filipino
adopted by an alien does not lose his
Philippine citizenship.
The right to confer citizenship belongs to the
State (political) and cannot be granted by a
citizen through adoption. Adoption creates a
relationship between the adopter and adoptee,
not between the State and the adoptee.
[Tolentino]
h. Rescission of Adoption
Adoptee may file action for rescission, with
the assistance of DSWD if he/she is a minor or
over 18 but incapacitated, based on the
following grounds [Sec. 19, RA 8552]:
1. Repeated physical and verbal
maltreatment by adopters despite having
undergone counseling
2. Attempt on life of adoptee
3. Sexual assault or violence
4. Abandonment or failure to comply with
parental obligations
Adoption is a privilege that is governed by the
state’s determination on what it may deem to
be for the best interest and welfare of the child,
and as a corollary, a right of action given by
statute may be taken away any time before it
has been exercised. [Lahom v. Sibulo, G.R.
No. 143989 (1992)]
Adoption, being in the best interest of the child,
shall not be subject to rescission by the
adopter. However, the adopter may disinherit
the child based on causes enumerated in Art.
919 of CC:
1. Conviction of an attempt on the life of the
adopter
2. Having accused, without grounds, the
adopter of a crime punishable by
imprisonment for more than 6 years
3. Conviction of adultery/concubinage with
the adopter’s spouse
4. Having caused the adopter to make or
change a will by force, intimidation or
undue influence
5. Refusal without just cause to support the
adopter
6. Maltreatment of the adopter by word/deed
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
7. Living a dishonorable/disgraceful life
8. Conviction of a crime which carries with it
the penalty of civil interdiction
Effects of Rescission [Sec. 20, RA 8552]:
1. Restoration of parental authority of the
adoptee’s biological parent(s) OR the legal
custody of the Department if the adoptee is
a minor or incapacitated.
2. Extinguishing of the reciprocal rights and
obligations of the adopters and adoptee.
3. Cancellation of the new birth certificate of
the adoptee as ordered by the court and
restoration of the adoptee’s original birth
certificate.
4. Reverting successional rights to its status
prior to adoption but not only as of the date
of judgment of judicial rescission.
5. Vested rights acquired prior to judicial
rescission shall be respected.
Note: Rescission contemplates a situation
where the adoption decree remains valid until
its termination.
i. Rectification of Simulated Birth
Simulation of birth is the tampering of the civil
registry making it appear in the birth records
that a certain child was born to a person who is
not his or her biological mother, causing such
child to lose his or her true identity and status.
[Sec. 3(j), RA 8552]
Any person who shall cause the fictitious
registration of the birth of a child under the
name(s) of a person who is not his or her
biological parents shall be penalized for
simulation of birth with the penalty of prision
mayor in its medium period and a fine not
exceeding Fifty thousand pesos
(P50,000.00). [Sec. 21(b), RA 8552]
Three-in-one Procedure
• Correction of entries in birth certificate
• Deed of Voluntary Commitment
Declaration of abandonment
• Adoption decree
Page 105 of 532
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Sec. 8 of the SC Rule on Adoption requires that
the petition that seeks to rectify a simulated
birth allege that:
1. Petitioner is applying for rectification of a
simulated birth;
2. The simulation of birth was made prior to
the date of effectivity of RA 8552 and the
application for rectification of the birth
registration and the petition for adoption
were filed within five years from said date;
3. The petitioner made the simulation of birth
for the best interests of the adoptee; and
4. The adoptee has been consistently
considered and treated by the petitioner as
his own child.
2. RA 8043: Law on Inter-
Country Adoption
Inter-Country Adoption refers to the socio-
legal process of adopting a Filipino child by a
foreigner or a Filipino citizen permanently
residing abroad where the petition is filed, the
supervised trial custody is undertaken, and the
decree of adoption is issued outside the
Philippines.
When Allowed
No child shall be matched to a foreign adoptive
family unless it can be satisfactorily shown that
the child cannot be adopted locally [Sec. 11,
RA 8043].
Who Can Adopt
Sec. 9, RA 8043. Any alien or Filipino citizen
permanently residing abroad may file an
application for inter-country adoption of a
Filipino child if he/she:
(a) Is at least twenty-seven (27) years of
age and at least sixteen (16) years
older than the child to be adopted, at
the time of application unless the
adopter is the parent by nature of the
child to be adopted or the spouse of
or
such parent;
(b) If married, his/her spouse must
jointly file for the adoption;
(c) Has the capacity to act and assume
all rights and responsibilities of
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
parental authority under his national
laws, and has undergone the
appropriate counseling from an
accredited counselor in his/her
country;
(d) Has not been convicted of a crime
involving moral turpitude;
(e) Is eligible to adopt under his/her
national law;
(f) Is in a position to provide the proper
care and support and to give the
necessary moral values and
example to all his children, including
the child to be adopted;
(g) Agrees to uphold the basic rights of
the child as embodied under
Philippine laws, the U.N. Convention
on the Rights of the Child, and to
abide by the rules and regulations
issued to implement the provisions of
this Act;
(h) Comes from a country with whom the
Philippines has diplomatic relations
and whose government maintains a
similarly authorized and accredited
agency and that adoption is allowed
under his/her national laws; and
(i) Possesses all the qualifications and
none of the disqualifications
provided herein and in other
applicable Philippine laws.
Who Can be Adopted
1. Only a legally-free child may be the
subject of inter-country adoption [Sec.
8].
! A legally-free child is one who
has been voluntarily or
involuntarily committed to the
DSWD of the Philippines, in
accordance with the Child and
Youth Welfare Code [Sec. 3(f)].
2. A Filipino child [Sec. 3(a)]
3. Below 15 years old [Sec. 3(b)]
In order that such child may be considered for
placement, the following documents must be
submitted to the Board:
1. Child study
2. Birth Certificate / Foundling Certificate
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3. Deed of Voluntary Commitment /
Decree of Abandonment / Death
Certificate of parents
4. Medical Evaluation / History
5. Psychological Evaluation, if necessary
6. Recent photo of the child [Sec. 8]
Inter-Country Adoption Procedure
1. Pre-Adoptive Placement Costs
i. Sec. 12, RA 8043. The
applicant(s) shall bear the
following costs incidental to
the placement of the child;
(a) The cost of bringing the child from
the Philippines to the residence of
the applicant(s) abroad, including all
travel expenses within the
Philippines and abroad; and
(b) The cost of passport, visa, medical
examination and psychological
evaluation required, and other
related expenses.
The Inter-Country Adoption Board shall also
collect fees, charges, and assessments [Sec.
13].
2. Venue for Filing Applications
Applications shall be filed either with:
a. The Philippine Regional Trial Court
having jurisdiction over the child, or
with
b. The Board, through an intermediate
agency (governmental or accredited
agency) in the country of the
prospective adoptive parents [Sec. 10].
3. Family Selection / Matching Process
The Board shall ensure that inter-country
adoption is done in the best interest of the child
[Sec. 7].
The matching of the child with an applicant
involves three stages: (1) pre-matching, (2)
matching conference, and (3) post-matching
conference [Sec. 37, RA 8043 Amended IRR].
Before the Board approves the matching
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
proposal, no matching arrangement shall be
made between the applicant and the child’s
parents/guardians or custodians concerning a
particular child, except in cases of adoption of
a relative or in cases where the child’s best
interests is at stake [Sec. 38, RA 8043
Amended IRR]. This is to preserve the integrity
of the adoption proceedings.
4. Applicant’s Acceptance
Once the matching proposal is approved, a
notice of matching shall be sent to the
concerned Central Authority or foreign
adoption agency within five (5) days.
The applicant/s shall notify the Central
Authority or Foreign Adoption Agency (FAA) in
writing of their decision on the matching
proposal within fifteen (15) working days from
receipt of said proposal.
If the applicant/s needs additional information
about the child and/or they need more time to
make a decision, an extension of thirty (30)
working days may be granted. [Sec. 37, RA
8043 Amended IRR]
5. Pre-Departure Preparation of the Child
The concerned Child Placing Agency shall
prepare the child for his/her placement to
minimize the anxiety and trauma due to
separation from persons with whom the child
may have formed attachments. [Sec. 41, RA
8043 Amended IRR]
6. Physical Transfer of the Child
For not later than twenty (20) working days
after the issuance of the child’s visa, the
adoptive parents or anyone of them shall
personally fetch the child from the Philippines.
The applicant shall stay in the country with the
child for at least five (5) days to allow bonding
among them.
The unauthorized failure to do so may result in
the cancellation of the Placement Authority.
[Sec. 42, RA 8043 Amended IRR]
7. Trial Custody
Trial custody begins upon the physical transfer
of the child to the applicant who, as custodian,
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CIVIL LAW
shall exercise substitute parental authority over
the child. [Sec. 44, RA 8043 Amended IRR]
The trial custody shall last for six (6) months
during which the Central Authority and/or the
FAA shall be responsible for the pre-adoptive
placement, care and family counseling of the
child. [Sec. 45, RA 8043 Amended IRR]
Any serious ailment, injury or abuse of the child
from the adoptive parent(s) or from other
household members or the adoptive parent(s)
suffer from any serious ailment or injury that will
make the adoption untenable shall be reported
to the Board. In the event that all efforts to
restore the parent-child relationship between
the child and applicant/s fail, the placement
may be terminated and the child may be given
a new placement or repatriated. [Secs. 46, 48,
49, RA 8043 Amended IRR]
8. Petition for Adoption
If a satisfactory pre-adoptive relationship is
formed between the applicant/s and the child,
the Board shall transmit an Affidavit of Consent
to the Adoption. The Central Authority and/or
the FAA shall file the petition for adoption of the
child to the proper court or agency in
accordance with their national law. [Secs. 50
and 51, RA 8043 Amended IRR]
9. Decree of Adoption
A copy of the final Decree of Adoption or its
equivalent shall be transmitted by the Central
Authority and/or the FAA to the Board within
one (1) month after its issuance. [Sec. 52, RA
8043 Amended IRR]
Where the petition for adoption was granted
after the child had shot and killed a girl, the
Supreme Court did not consider the retroactive
effect given to the decree of adoption so as to
impose a liability upon the adopting parents at
a time when the adopting parents had no actual
or physical custody over the child. Retroactive
effect may perhaps be given where such is
essential to permit the accrual of some benefit
or advantage in favor of the adopted child. In
the instant case, however, to hold that parental
authority had been retroactively lodged in the
adopting parents so as to burden them with
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
liability for a tortious act that they could not
have foreseen and which they could not have
prevented would be unfair and
unconscionable. [Tamargo v. CA, G.R. No.
85044 (1992)]
Adoption is a juridical act, proceeding in rem.
Because it is artificial, the statutory
requirements in order to prove it must be strictly
carried out. Petition must be announced in
publications and only those proclaimed by the
court are valid. Adoption is never presumed.
[Lazatin v. Campos, G.R. No. L-54955-54
(1979)]
Validity of facts behind a final adoption decree
cannot be collaterally attacked without
impinging on that court’s jurisdiction. [Santos v.
Aranzanso, G.R. No. L-23828 (1966)]
Participation of the appropriate government
instrumentality in performing the necessary
studies and precautions is important and is
indispensable to assure the child’s welfare.
[DSWD v. Belen, GRTJ-96-1362 (1997)]
Consent for adoption must be written and
notarized. [Landingin v. Republic, G.R. No.
164948 (2006)]
Although an adopted child is deemed to be a
legitimate child and have the same rights as the
latter, these rights do not include the right of
representation (because the adopted child has
no right to inherit from the grandparent). The
relationship created by the adoption is between
only the adopting parents and the adopted
child. It does not extend to the blood relatives
of either party. [Sayson v. CA, G.R. No. 89224-
25 (1992)]
J. SUPPORT
1. What it comprises
Support consists of everything indispensable
for sustenance, dwelling, clothing, medical
attendance, education and transportation, in
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CIVIL LAW
keeping with the financial capacity of the family
[Art. 194(1), FC].
a. Education includes a person’s schooling or
training for some profession, trade or
vocation, the right to which shall subsist
beyond the age of majority [Art. 194, FC].
b. Transportation includes expenses in going
to and from school, or to and from place of
work [Art. 194, FC].
2. Who are obliged to give
support
Those obliged to support each other are:
a. Spouses,
b. Legitimate ascendants and descendants,
c. Parents and their children (legitimate and
illegitimate) and the children of the latter
(legitimate and illegitimate),
d. Legitimate brothers and sisters, whether of
full or half-blood; [Art. 195, FC]
e. Illegitimate brothers and sisters, whether of
full or half-blood
! Except when the need for support of
one (who is of age) is due to a cause
imputable to his/her fault or negligence
[Art. 196, FC]
Mutual Obligation to Support of Spouses
[Arts. 142, 143, FC]
! A wife’s right to support depends upon her
status as such.
! A wife is entitled to expenses of the
litigation, including attorney’s fees.
! If a wife is forced to leave the conjugal
home for a justifiable cause, she is entitled
to separate maintenance.
! In an action by the wife against the
husband, the court may grant alimony
pendente lite.
Note: Both legitimate and illegitimate children
are entitled to support. The only difference is
the source of support which, for illegitimate
children, is the parent’s separate properties.
Where the illegitimate parent is legally married
to another person, their CPG or ACP cannot
answer for support for the illegitimate child of
one of them unless the parent has no adequate
separate property, in which case, support will
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
be taken from the CPG or ACP subject to
reimbursement [Arts. 122, 197, FC].
3. Source of support
CPG or ACP shall answer for the support of
the:
(1) spouse,
(2) their common children, and
(3) the legitimate children of their spouse
[Arts. 94 and 121, FC].
The separate property of the obligor shall
answer for the support of the:
(1) Legitimate ascendants,
(2) (all other) descendants, whether
legitimate or illegitimate, and
(3) Brothers and sisters, whether
legitimate or illegitimately related.
If no separate property, the ACP/CPG (if
financially capable) shall advance the support,
to be deducted from the obligor’s share upon
liquidation of such regime [Art. 197, FC].
4. Order of support
Art. 199, FC. Whenever two or more
persons are obliged to give support, the
liability shall devolve upon the following
persons in the order herein provided:
1. The spouse;
2. The descendants in the nearest
degree;
3. The ascendants in the nearest
degree; and
4. The brothers and sisters.
The order of liability among ascendants and
descendants would be:
(1) Legitimate children and descendants,
(2) Legitimate parents and ascendants, and
(3) Illegitimate children and their descendants
[Tolentino].
Example: Even if the parents-in-law were the
ones who called for the physician’s services for
the childbirth of their daughter-in-law, it is the
woman’s husband who is bound to pay the fees
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CIVIL LAW
due to the physician [Pelayo v. Lauron, G.R.
No. L-4089 (1909)].
In Case of Multiple Obligors
When the obligation to give support falls upon
two or more persons, the payment of the same
shall be divided between them in proportion to
their resources [Art. 200(1), FC].
Also, in case of urgent need and by special
circumstance, the judge may order only one
obligor to furnish support without prejudice to
reimbursement from other obligors of the share
due from them [Art. 200(2), FC].
In Case of Multiple Recipients
If there are multiple recipients and only one
obligor, and the latter has no sufficient means
to satisfy all claims:
a. Observe order in Art. 199 as to whose
claim shall be satisfied first;
b. But if the concurrent obligees are the
spouse and a child subject to parental
authority, the child shall be preferred [Art.
200(3), FC].
The above preference given to a child under
parental authority over the spouse should
prevail only if the person obliged to support
pays it out his separate property. So if the
support comes from ACP or CPG, the above
rule of preference for the child does not apply
[Tolentino].
Support Given by a Stranger
Art. 206, FC. When, without the knowledge
of the person obliged to give support, it is
given by a stranger, the latter shall have a
right to claim the same from the former,
unless it appears that he gave it without
intention of being reimbursed.
The stranger contemplated in this provision is
one who does not have any obligation to
support the recipient.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Person Obliged Refuses or Fails to Give
Support
Art. 207, FC. When the person obliged to
support another unjustly refuses or fails to
give support when urgently needed by the
latter, any third person may furnish support
to the needy individual, with the right of
reimbursement from the person obliged to
give support. This Article shall particularly
apply when the father or mother of a child
under the age of majority unjustly refuses to
support or fails to give support to the child
when urgently needed.
Example: The father who abandoned his two
daughters in their tender years, was ordered by
the Court to pay support in arrears. The Court
said that the father could not plausibly expect
his children of tender years to demand support
from him. In like manner, the uncle who lent
money for the education and support of the two
sisters, may exact reimbursement from the
father [Lacson v. Lacson, G.R. No. 150644
(2006)].
5. Amount of support
The amount of support is in proportion to the
means of the provider and the needs of the
receiver, and can be reduced or increased if
such circumstances change [Arts. 201 and
202, FC].
The amount of support is variable and, for this
reason, no final judgment on the amount of
support is made as the amount shall be in
proportion to the resources or means of the
giver and the necessities of the recipient
[Gotardo v. Buling, G.R. No. 165166 (2012)].
Contractual Support or That Given By Will
The excess in amount beyond that required for
legal support shall be subject to levy on
attachment or execution [Art. 208, FC].
Reason: The amount of support agreed upon
in the contract or given in the will can be more
than what the recipient needs [Sempio-Diy].
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CIVIL LAW
Furthermore, contractual support shall be
subject to adjustment whenever modification is
necessary due to changes in circumstances
manifestly beyond the contemplation of the
parties [Art. 208, FC].
6. Manner and time of payment
Art. 203, FC. The obligation to give support
shall be demandable from the time the
person who has a right to receive the same
needs it for maintenance, but it shall not be
paid except from the date of judicial or
extrajudicial demand.
Support pendente lite may be claimed in
accordance with the Rules of Court.
Payment shall be made within the first five
days of each corresponding month or when
the recipient dies, his heirs shall not be
obliged to return what he has received in
advance.
Payment of alimony is demandable from the
moment the necessity for it arises and is
payable from the time of extrajudicial demand.
Unless support is demanded, it is presumed
that such necessity does not exist.
Support in arrears may be subject to
compromise. The Court may consider whether
the support is no longer indispensable for the
recipient's sustenance [Tolentino].
Two Options to Fulfill Obligation to Give
Support
a. Payment of the amount; or
b. Receiving and maintaining the recipient in
the home of the provider
Requisites:
1. The obligor has his own home or domicile,
and
2. There is no moral or legal reason which
prevents the recipient from living in the
obligor’s home or domicile [Art. 204, FC].
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
7. Renunciation and termination
The obligation of spouses to mutual support
lies on the existence of marriage bonds. Once
the marriage has been declared null, this
obligation ceases.
The Court held that the validity of marriage can
be collaterally attacked in an action for support.
Although the suit is not instituted to directly
address the issue of validity, the Court deems
it essential to the determination of the issue on
support. [De Castro v. Assidao-De Castro,
G.R. No. 170172 (2008)]
In case of separation in fact between husband
and wife, the spouse who leaves the conjugal
home or refuses to live therein, without just
cause, shall not have the right to be supported
[Art. 100(1), FC].
Under Art. 194, FC, the obligation to support a
recipient’s education may continue even after
the person entitled has reached the age of
majority.
However, the Court recognizes that although
the duty to support is a continuing one, the
child’s right to support and the parent’s right to
custody and services are reciprocal: the father,
in return for maintenance and support may
establish and impose reasonable regulations
for his child. In case a child voluntarily
abandons the parent’s home for the purpose of
avoiding parental discipline and restraint, that
child forfeits the claim to support. [Roe v. Doe,
324 N.Y.S. 2d 71 (1971)]
8. Support pendente lite
Pending legal separation or annulment, and for
declaration of nullity, support pendente lite for
spouses and children will come from the
ACP/CPG. After final judgment granting the
petition, mutual support obligation between
spouses ceases. However, in legal separation,
the court may order the guilty spouse to give
support to the innocent spouse. [Art. 198, FC]
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CIVIL LAW
Note: In Art. 100(1), FC, de facto separation
does not affect the ACP and the CPG, except
that the spouse who leaves the conjugal home
without just cause shall not be entitled to
support.
9. Procedure in applications for
support
Petitions for support and/or acknowledgement
may be filed with Family Courts which have
original jurisdiction over such cases [Sec. 5,
RA 8369].
In cases involving violence among immediate
family members living in the same household,
the court may order the temporary custody of
children in all civil actions for their custody. The
court may also order support pendente lite,
including deduction from the salary and use of
conjugal home and other properties in all civil
actions for support. [Sec. 7, RA 8369]
A woman or her child experiencing violence
may also be granted a protection order which
may include directing the respondent to
provide support to the women and/or her child
if entitled to legal support. An appropriate
percentage of the income or salary of the
respondent shall be withheld regularly by the
respondent’s employer for it to be automatically
remitted to the woman. Failure to remit and/or
withhold or any delay in the remittance of
support without justifiable cause shall render
the respondent or his employer liable for
indirect contempt of court. [Sec. 8(g), RA 9262]
In case the filiation of a child claiming for
support is disputed, the rules on proving
filiation apply. An order for support must be
issued only if paternity or filiation is established
by clear and convincing evidence; the reason
being that such order may create an
unwholesome situation in the lives of the
parties. [Perla v. Baring, G.R. No. 172471
(2012)]
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
K. PARENTAL AUTHORITY
1. General Provisions
What Comprises Parental Authority [Art.
209, FC]
• Caring for and rearing of children for civic
consciousness and efficiency, and;
• Development of the moral, mental, and
physical character and well-being of
children.
What Characterizes Parental Authority [Art.
210, FC]
General Rule: Parental authority is not
renounceable and nontransferable.
Exception: In cases provided by law.
Who Exercises Parental Authority [Arts.
211-213, FC]
General Rule: Joint exercise by the father and
the mother of a child [par. 1, Art. 211, FC].
Exceptions:
• In case of disagreement, the father’s
decision prevails [par. 2, Art. 211, FC].
o Exception to the exception: If
there is judicial order to the
contrary.
• In case of absence or death of either
parent, the parent present or alive [Art. 212,
FC].
• In case of separation of the parents, the
parent designated by the court [Art. 213,
FC].
When Terminated [Art. 228, FC]
• Art. 228, FC
o Upon the death of the parents;
o Upon the death of the child;
o Upon the emancipation of the child;
• Art. 229, FC
o Upon adoption of the child;
o Upon appointment of a general
guardian;
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CIVIL LAW
o Upon judicial declaration of
abandonment of the child, in a case
filed for the purpose;
o Upon the final judgment of a
competent court divesting the party
concerned of parental authority, or;
o Upon judicial declaration of
absence or incapacity of the
person exercising parental
authority
2. Substitute parental authority
When Substitute Parental Authority is
Exercised [Art. 214, FC]
In case of death, absence, or unsuitability of
the parents
Who Exercises Substitute Parental
Authority (in order)
• The surviving grandparent [Art. 214, FC].
Exception: When several survive, the one
designated by the court, taking into
account all relevant considerations [Art.
214, FC].
• The oldest brother or sister, over 21 years
of age [Art. 216, FC].
• The child’s actual custodian, over 21 years
of age [Art. 216, FC].
3. Special parental authority
Who Exercises Special Parental Authority
[Art. 218, FC]
• The school (its administrators and
teachers), or;
• The individual, entity, or institution
engaged in child care
When is Special Parental Authority
Exercised [Art. 218, FC]
• While the child is under their supervision,
instruction, or custody
• During all authorized activities, whether
inside or outside the premises of the
school, entity, or institution
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

Substitute parental authority and special interest in civic affairs, and inspire in them
parental authority, distinguished compliance with the duties of citizenship;
4. To enhance, protect, preserve, and
DIFFERENCE SUBSTITUTE SPECIAL maintain the children’s physical and mental
health at all times;
Who Grandparents Schools 5. To furnish the children with good and
Exercises , oldest (administrator wholesome educational materials,
sibling, or s and supervise their activities, recreation and
court- teachers) or association with others, protect them from
appointed individuals, bad company, and prevent them from
guardian entities having habits detrimental to their health,
engaged in studies, and morals;
child care 6. To represent the children in all matter
affecting their interests;
When Only in case Concurrent 7. To demand from the children respect and
Exercise of death, with parental obedience;
d absence, or authority or 8. To impose discipline on the children as
unsuitability of substitute may be required under the circumstances,
parents parental and;
authority 9. To perform such other duties as are
imposed by law upon parents and
How Subsidiarily Principally and guardians.
Liable liable for solidarily liable
damages for damages Civil Liability [Art. 221, FC]
caused by the caused the Parents and other persons exercising parental
minor minor’s acts or authority shall be civilly liable for the injuries
omissions and damages caused by the acts or omissions
while under of their unemancipated children living in their
their custody, company and under their personal authority
supervision, or subject to the appropriate defenses provided
instruction by law.

Disciplinary Measures over the Child [Art.

4. Effect of parental authority
over the child’s person
Rights and Duties of Persons Exercising
Parental Authority upon the Person of a
Child [Art. 220, FC].
1. To keep the children in their company, to
support, educate and instruct them by right
precept and good example, and to provide
for their upbringing in keeping with their
means;
2. To give the children love and affection,
advice and counsel, companionship and
understanding;
3. To provide the children with moral and
spiritual guidance, inculcate in them
honesty, integrity, self-discipline, self-
reliance, industry and thrift, stimulate their
223, FC]
Persons exercising parental authority over a
child may petition the proper court of the place
where the child resides for an order providing
for disciplinary measures over the child.
Note: The child shall be entitled to the
assistance of counsel, either of his choice or
appointed by the court, and a summary hearing
shall be conducted wherein the petition and the
child shall be heard.
However, if in the same proceeding the court
finds the petitioner at fault, irrespective of the
merits of the petition, or when the
circumstances so warrant, the court may also
order the deprivation or suspension of parental

Page 113 of 532

U.P. LAW BOC PERSONS AND FAMILY RELATIONS
authority or adopt such other measures as it
may deem just and proper.
For Persons Exercising Substitute Parental
Authority [Art. 233, par. 1, FC]
The person exercising substitute parental
authority shall have the same authority over the
person of the child as the parents.
5. Effects of parental authority
over the child’s property
Joint Legal Guardianship [Art. 225, par. 1,
FC].
The father and the mother shall jointly exercise
legal guardianship over the property of their
unemancipated child without the necessity of a
court appointment.
In case of disagreement, the father’s decision
shall prevail.
Exception: Unless there is judicial order to the
contrary.
Nature of Administration
The property of the unemancipated child
earned or acquired with his work or industry or
by onerous or gratuitous title shall belong the
child in owner and shall be devoted exclusively
to the latter’s support and education, unless the
title or transfer provides otherwise.
The right of the parents over the fruits and
incomes of the child’s property shall be limited
primarily to the child’s support and secondarily
to the collective daily needs of the family [Art.
226, FC].
Bonds
Where the market value of the property or the
annual income of the child exceeds P50,000,
the parent concerned shall be required to
furnish a bond in such amount as the court may
determine, but not less than ten per centum
(10%) of the value of the property or annual
income, to guarantee the performance of the
obligations prescribed for general guardians
[Art. 225, par. 2, FC].
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CIVIL LAW
The petition shall be considered as a summary
special proceeding, with the ordinary rules on
guardianship being merely suppletory.
Except the following, in which case the ordinary
rules on guardianship shall apply:
1. When the child is under substitute parental
authority;
2. When the guardian is a stranger, or;
3. A parent has remarried.
Trusts
If the parents entrust the management or
administration of any of their properties to an
unemancipated child, the net proceeds of such
property shall belong to the owner.
The child shall be given a reasonably monthly
allowance in an amount not less than that
which the owner would have paid if the
administrator were a stranger, unless the
owner grants the entire proceeds to the child.
In any case, the proceeds thus given in whole
or in part shall not be charged to the child’s
legitime.
6. Suspension or termination of
parental authority
When Permanently Terminated [Arts. 228-
229, FC].
1. Upon the death of the parents;
2. Upon the death of the child, or;
3. Upon the emancipation of the child.
Unless subsequently revived by final judgment,
there is permanent termination [Art. 229, FC]:
1. Upon adoption of the child;
2. Upon appointment of a general guardian;
3. Upon judicial declaration of abandonment
of the child in a case filed for the purpose;
4. Upon final judgment of a competent court
divesting the party concerned of parental
authority, or;
a. Also mandatory if the person
exercising parental authority has
subjected the child or allowed him
to be subjected to sexual abuse
[Art. 232, FC].
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
5. Upon judicial declaration of absence or
incapacity of the person exercising
parental authority.
When Suspended [Arts. 230-231, FC].
1. Upon conviction of the parent or the person
exercising the same of a crime which
carries with it the penalty of civil
interdiction;
2. Upon final judgment of a competent court
in an action filed for the purpose or in a
related case, if the parent or the person
exercising the same:
a. Treats the child with excessive
harshness or cruelty;
b. Gives the child corrupting orders,
counsel or example;
c. Compels the child to beg, or;
d. Subjects the child or allows him to
be subjected to acts of
lasciviousness
e. Is culpably negligent [Art. 231, par.
2, FC].
When Reinstated [Arts. 230-231, FC].
1. Automatically upon service of penalty (civil
interdiction).
2. Automatically upon pardon or amnesty of
the offender.
3. By judicial order, if the court finds that the
cause therefore has ceased and will not be
repeated [Art. 231, par. 4, FC].
Prohibition for Persons Exercising Special
Parental Authority [Art. 233, FC].
In no case shall the school administrator,
teacher or individual engaged in child care and
exercising special parental authority inflict
corporal punishment upon the child.
Page 115 of 532
CIVIL LAW
7. Solo parents (R.A. No. 8972)
RA 8972 Solo Parents' Welfare Act
It is the policy of the State to promote
the family as the foundation of the
nation, strengthen its solidarity and
ensure its total development. Towards
Principle
this end, it shall develop a
comprehensive program of services
for solo parents and their children.
[Sec. 2, RA 8972]
"Solo parent" - any individual who falls
under any of the following categories:
(1) A woman who gives birth as a result
of rape and other crimes against
chastity even without a final
conviction of the offender:
Provided, That the mother keeps
and raises the child;
(2) Parent left solo or alone with the
responsibility of parenthood due to
death of spouse;
(3) Parent left solo or alone with the
responsibility of parenthood while
the spouse is detained or is serving
sentence for a criminal conviction
for at least one (1) year;
(4) Parent left solo or alone with the
responsibility of parenthood due to
physical and/or mental incapacity of
spouse as certified by a public
medical practitioner;
(5) Parent left solo or alone with the
Concept
responsibility of parenthood due to
legal separation or de facto
separation from spouse for at least
one (1) year, as long as he/she is
entrusted with the custody of the
children;
(6) Parent left solo or alone with the
responsibility of parenthood due to
declaration of nullity or annulment
of marriage as decreed by a court
or by a church as long as he/she is
entrusted with the custody of the
children;
(7) Parent left solo or alone with the
responsibility of parenthood due to
abandonment of spouse for at least
one (1) year;
(8) Unmarried mother/father who has
preferred to keep and rear her/his
child/children instead of having
others care for them or give them up
to a welfare institution;
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

(9) Any other person who solely conditions of employment

provides parental care and support [Sec. 7, RA 8972]
to a child or children; d. Parental leave of not
(10) Any family member who assumes more than seven (7)
the responsibility of head of family working days every year,
as a result of the death, in addition to current leave
abandonment, disappearance or privileges, provided the
prolonged absence of the parents solo parent employee has
or solo parent. already rendered service
A change in the status or circumstance of at least one (1) year
of the parent claiming benefits under this [Sec. 8, RA 8972]
Act, such that he/she is no longer left e. Educational benefits,
alone with the responsibility of consisting of:
parenthood, shall terminate his/her i. Scholarship
eligibility for these benefits. programs for
qualified solo
Benefits granted to solo parents: parents and their
1. Any solo parent whose income in children in
the place of domicile falls below the institutions of
poverty threshold as set by the basic, tertiary
National Economic and and
Development Authority (NEDA) and technical/skills
subject to the assessment of the education; and
DSWD worker in the area shall be ii. Nonformal
eligible for the following assistance: education
a. Comprehensive programs
Package of Social appropriate for
Development and Welfare solo parents and
Services, consisting of: their children
i. Livelihood [Sec. 9, RA 8972]
development f. Housing benefits [Sec.
services; 10, RA 8972]
ii. Counseling g. Medical assistance [Sec.
services; 11, RA 8972]
iii. Parent 2. Any solo parent whose income is
effectiveness above the poverty threshold shall
Scope services; enjoy only the following benefits:
iv. Critical incidence a. Flexible work schedule
stress debriefing; [Sec. 6, RA 8972]
v. Special projects b. Right to be protected
for individuals in against work
need of discrimination with
protection [Sec. respect to terms and
5, RA 8972] conditions of employment
b. Flexible work schedule [Sec. 7, RA 8972]
or the right granted to a c. Parental leave of not
solo parent employee to more than seven (7)
vary his/her arrival and working days every year,
departure time without in addition to current leave
affecting the core work privileges, provided the
hours as defined by the solo parent employee has
employer [Sec. 6, RA already rendered service
8972] of at least one (1) year
c. Right to be protected [Sec. 8, RA 8972]
against work
discrimination with
respect to terms and

Page 116 of 532

U.P. LAW BOC PERSONS AND FAMILY RELATIONS
L. EMANCIPATION
1. Cause of emancipation
When Emancipation Takes Place [Art. 234,
FC, as amended by R.A. No. 6089]
By attainment of majority, at the age of
eighteen years
2. Effect of emancipation
Effects of Emancipation
General:
• Termination of parental authority over the
person and property of the child
emancipated [Art. 228 [3], FC]
• The person emancipated becomes
qualified and responsible for all acts of civil
life.
Exception:
• Persons possessing parental authority
over the emancipated individual are
needed to give their respective parental
consent until the emancipated individual is
at the age of twenty-one.
• Nothing shall be construed to derogate the
duty and responsibility of parents and
guardians for children and wards below
twenty-one years of age mentioned in the
second and third paragraphs of Article
2180 of the Civil Code.
• Other exceptions established by existing
laws in special cases.
•
M.SUMMARY JUDICIAL PROCEEDINGS
IN THE FAMILY CODE
Art. 238, FC. Until modified by the Supreme
Court, the procedural rules in this Title shall
apply in all cases provided for in this Code
requiring summary court proceedings. Such
cases shall be decided in an expeditious
manner without regard to technical rules.
Page 117 of 532
CIVIL LAW
1. Separation in Fact Between
Husband and Wife
Petition [Art. 239, FC]
A verified petition alleging the following facts is
required when:
• A husband and wife are separated in fact,
or, one has abandoned the other, and;
• One of them seeks judicial authorization for
a transaction where the consent of the
other spouse is required by law but the
same is withheld or cannot be obtained
The petition shall attach the proposed deed, if
any, embodying the transaction, if none, shall
describe in detail the said transaction and state
the reason why the required consent thereto
cannot be secured.
The final deed duly executed by the parties
shall be submitted to and approved by the
court.
Separate claim for damages [Art. 240, FC].
Claims for damages by either spouse, except
costs of the proceedings, may be litigated only
in a separate action.
Jurisdiction
Jurisdiction over the petition shall, upon proof
of notice to the other spouse, be exercised by
the proper court authorized to hear family
cases, if one exists, or in the regional trial court
or its equivalent sitting in the place where either
of the spouses resides. [Art. 241, FC]
There shall be established a Family Court in
every province and city in the country. In case
where the city is the capital of the province, the
Family Court shall be established in the
municipality which has the highest population.
[Sec. 3, R.A. 8069 [Family Courts Act of 1997]]
The Family Courts shall have exclusive original
jurisdiction to hear and decide the following
cases:
(f). Summary judicial proceedings brought
under the provisions of Executive Order No.
209, otherwise known as the "Family Code of
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
the Philippines". [Sec. 5[f], R.A. 8069 [Family
Courts Act of 1997]]
Notification of the other spouse
Upon filing of the petition, the court shall notify
the other spouse, whose consent to the
transaction is required, of said petition,
ordering said spouse to show cause why the
petition should not be granted, on or before the
date set in said notice for the initial conference.
The notice shall be accompanied by a copy of
the petition and shall be served at the last
known address of the spouse concerned. [Art.
242, FC].
Procedure
A preliminary conference shall be conducted
by the judge personally without the parties
being assisted by counsel. After the court
deems it useful, the parties may be assisted by
counsel at the succeeding conferences and
hearings. [Art. 243, FC].
If the petition is not resolved at the initial
conference, said petition shall be decided in a
summary on the basis of affidavits,
documentary evidence or oral testimonies at
the sound discretion of the court. If testimony is
needed, the court shall specify the witnesses to
be heard and the subject-matter of their
testimonies, directing the parties to present
said witnesses [Art. 246, FC].
When appearance of spouses is required
In case of non-appearance of the spouse
whose consent is sought, the court shall inquire
into the reasons for his or her failure, and shall
require such appearance, if possible [Art. 244,
FC].
Note: If, despite all efforts, the attendance of
the non-consenting spouse is not secured, the
court may proceed ex parte and render
judgment as the facts and circumstances may
warrant. In any case, the judge shall endeavor
to protect the interests of the non-appearing
spouse [Art. 245, FC].
Nature of judgment
The judgment of the court shall be immediately
final and executory [Art. 247, FC].
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CIVIL LAW
2. Incidents Involving Parental
Authority
Verified petitions are needed in the
following situations [Art. 249, FC]
! For an order providing for disciplinary
measures over the child [Art. 223, FC].
! For the approval of the bond in the
exercise of the parents’ joint legal
guardianship over the property of their
unemancipated common child where
the market value of the property or the
annual income of the child exceeds
P50,000.00 [Art. 225, FC].
! For the approval of a deed or
transaction where the required consent
of the other spouse is withheld or
cannot be obtained [Art. 239, FC].
Jurisdiction
In the proper court of the place where the child
resides [Art. 250, FC].
Procedure
The rules governing Chapter 2 (summary
judicial proceedings for when there is
separation in fact between husband and wife,
Arts. 239-248, FC) shall govern herein as they
are applicable [Art. 252, FC].
3. Other Matters
Art. 248, FC
The petition for judicial authority to administer
or encumber specific separate property of the
abandoning spouse and to use the fruits or
proceeds thereof for the support of the family
shall also be governed by the procedural rules
requiring summary court proceedings in the
Family Code.
RA 8369 Family Courts Act
The State recognizes the
sanctity of family life and shall
protect and strengthen the family
Principle as a basic autonomous social
institution. The courts shall
preserve the solidarity of the
family, provide procedures for
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
the reconciliation of spouses and
the amicable settlement of family
controversy.
The State shall likewise provide
a system of adjudication for
youthful offenders which takes
into account their peculiar
circumstances. [Sec. 2, RA
8369]
The following are the powers
granted to the family courts:
1. In cases of violence
among immediate family
members living in the
same domicile or
household, the Family
Court may issue a
restraining order
against the accused or
defendant upon verified
application by the
complainant or the victim
for relief from abuse
[Sec. 7, RA 8369];
2. The court may order the
temporary custody of
children in all civil
actions for their custody
Concept [Sec. 7, RA 8369];
3. The court may also
order support
pendente lite, including
deduction from the
salary and use of
conjugal home and
other properties in all
civil actions for support
[Sec. 7, RA 8369];
4. Direct control and
supervision of the
youth detention home
which the local
government unit shall
establish to separate the
youth offenders from
adult criminals; [Sec. 8,
RA 8369]
Page 119 of 532
CIVIL LAW
Note: All hearings and
conciliation of the child and
family cases shall be treated in a
manner consistent with the
promotion of the child's and the
family's dignity and worth, and
shall respect their privacy at all
stages of the proceedings.
Records of the cases shall be
dealt with utmost
confidentiality and the identity
of parties shall not be
divulged unless necessary and
with authority of the judge. [Sec.
12, RA 8369]
The Family Courts shall have
exclusive original jurisdiction
to hear and decide the following
cases:
a) Criminal cases where
one or more of the
accused is below
eighteen (18) years of
age but not less than
nine (9) years of age but
not less than nine (9)
years of age or where
one or more of the
victims is a minor at the
time of the commission
of the offense: Provided,
Scope That if the minor is found
guilty, the court shall
promulgate sentence
and ascertain any civil
liability which the
accused may have
incurred.
The sentence, however, shall be
suspended without need of
application pursuant to
Presidential Decree No. 603,
otherwise known as the "Child
and Youth Welfare Code";
b) Petitions for
guardianship, custody of
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

children, habeas corpus h) Petitions for the

in relation to the latter; constitution of the family
home;
c) Petitions for adoption of
children and the i) Cases against minors
revocation thereof; cognizable under the
Dangerous Drugs Act,
d) Complaints for as amended;
annulment of marriage,
declaration of nullity of j) Violations of Republic
marriage and those Act No. 7610, otherwise
relating to marital status known as the "Special
and property relations of Protection of Children
husband and wife or Against Child Abuse,
those living together Exploitation and
under different status Discrimination Act," as
and agreements, and amended by Republic
petitions for dissolution Act No. 7658; and
of conjugal partnership
of gains; k) Cases of domestic
violence against:
e) Petitions for support i) Women - which
and/or acknowledgment; are acts of
gender based
f) Summary judicial violence that
proceedings brought results, or are
under the provisions of likely to result in
Executive Order No. physical, sexual
209, otherwise known or psychological
as the "Family Code of harm or suffering
the Philippines"; to women; and
other forms of
g) Petitions for declaration physical abuse
of status of children as such as battering
abandoned, dependent or threats and
o neglected children, coercion which
petitions for voluntary or violate a
involuntary commitment woman's
of children; the personhood,
suspension, termination, integrity and
or restoration of parental freedom
authority and other movement; and
cases cognizable under ii) Children - which
Presidential Decree No. include the
603, Executive Order commission of
No. 56, (Series of 1986), all forms of
and other related laws; abuse, neglect,
cruelty,
exploitation,
violence, and

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U.P. LAW BOC PERSONS AND FAMILY RELATIONS
discrimination
and all other
conditions
prejudicial to
their
development.
If an act constitutes a criminal
offense, the accused or batterer
shall be subject to criminal
proceedings and the
corresponding penalties.
If any question involving any of
the above matters should arise
as an incident in any case
pending in the regular courts,
said incident shall be determined
in that court. [Sec. 5, RA 8369]
Note: In areas where no Family
Court has been established or
no Regional Trial Court was
designated by the Supreme
Court due to the limited number
of cases, the DSWD shall
designate and assign qualified,
trained, and DSWD accredited
social workers of the local
government units to handle
juvenile and family cases filed
in the designated Regional Trial
Court of the place. [Sec. 11, RA
8369]
N. USE OF SURNAMES
1. Surname of Children
Legitimate and legitimated children:
Legitimate and legitimated children shall
principally use the surname of the father. [Art.
364, CC; Article 174 [1], FC].
Adopted child:
An adopted child shall bear the surname of the
adopter. [Art. 365, CC; Art. 189 [1], FC].
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CIVIL LAW
Natural child:
A natural child acknowledged by both parents
shall principally use the surname of the father.
[Art. 366, CC].
Illegitimate child
Illegitimate children shall use the surname of
their mother. [Art. 176, FC].
2. Surname of Wife After and
During Marriage
During Marriage
A married woman may use:
1) Her maiden first name and surname and
add her husband’s surname, or;
2) Her maiden first name and her husband’s
surname, or;
3) Her husband’s full name, but prefixing a
word indicating that she is his wife, such as
“Mrs.”. [Art. 370, CC]
After Marriage
Annulment [Art. 371, CC]:
In case of annulment of marriage and the wife
is the guilty party, she shall resume her maiden
name and signature.
In case of annulment of marriage and the wife
is the innocent party, she may choose to
continue employing her former husband’s
surname, unless:
1) The court decrees otherwise, or;
2) She or the former husband is married again
to another person
Legal Separation [Art. 373, CC]
When legal separation has been granted, the
wife shall continue using her name and
surname employed before the legal separation.
Note: Before the legal separation, not before
the marriage.
Death of Husband [Art. 373, CC]
A widow may use the deceased husband’s
surname as though he were still living, in
accordance with Article 370.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
3. Confusion of Names
General Rule [Art. 374, CC]:
In case of identity of names and surnames, the
younger person shall be obliged to use such
additional name or surname as will avoid
confusion.
Special Rules [Art. 375, CC]:
In case of identity of names and surnames
between ascendants and descendants, the
word “Junior” can only be used by a son.
Grandsons and other direct male descendants
shall either:
1) Add a middle name or the mother’s
surname, or
2) Add the Roman numerals II, III, and so
on.
Usurpation and Unauthorized or Unlawful
Use of Name [Arts. 377-378, CC].
Usurpation of a name and surname may be the
subject of an action for damages and other
relief [Art. 377, CC].
The unauthorized or unlawful use of another
person’s surname gives a right of action to the
latter [Art. 378, CC].
4. Change of Names
General Rule [Art. 376, CC]: No person can
change his name or surname without judicial
authority.
Exception [Arts. 379-380, CC]: The
employment of pen names or stage names is
permitted, provided it is done in good faith and
there is no injury to third persons. Pen names
and stage names cannot be usurped. [Art. 379,
CC]
Except as provided in the preceding article, no
person shall use different names and
surnames. [Art. 380, CC]
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CIVIL LAW
O. ABSENCE
1. Provisional measures in case
of absence
General Rule [Art. 381, CC]: A judge, at the
instance of an interested party, a relative, or a
friend, may appoint a person to represent the
absentee in all that may be necessary.
Note: The same shall be observed when under
similar circumstances the power conferred by
the absentee has expired.
Requisites
1. A person disappears from his domicile.
2. His whereabouts are unknown.
3. He did not leave an agent to administer his
property.
Who May Be Appointed [Art. 383, CC]
General Rule: The spouse present shall be
preferred, when there is no legal separation.
Exception: If there is no spouse, any
competent person may be appointed by the
court.
Safeguarding the Absentee’s Rights and
Properties [Art. 382, CC]
The judge shall specify the powers, obligations,
and remuneration of the absentee’s
representative, regulating them, according to
the circumstances, by the rules concerning
guardians.
2. Declaration of absence
When Absence May Be Declared [Art. 384,
CC]
A person’s absence may be declared
1. After two years have elapsed without any
news about the absentee or since the
receipt of the last news, or;
2. After five years have elapsed, in case the
absentee left a person in charge of the
administration of his property
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Who May Ask for the Declaration of
Absence [Art. 385, CC]
1. The spouse present;
2. The heirs instituted in a will, who may
present an authentic copy of the same;
3. The relatives who may succeed by the law
of intestacy;
4. Those who may have, over the property of
the absentee, some right subordinated to
the condition of his death.
Effectivity of the Judicial Declaration of
Absence [Art. 386, CC]
The judicial declaration of absence shall not
take effect until six months after its publication
in a newspaper of general circulation.
3. Administration of the
property of the absentee
Appointment of Administrator [Art. 387, CC]
An administrator of the absentee’s property
shall be appointed in accordance with Article
383.
On Alienation or Encumbrance of the
Property Administered [Art. 388, CC]
The wife who is appointed as an administratrix
of the husband’s property cannot alienate or
encumber the husband’s property; or that of
the conjugal partnership, without judicial
authority.
Cessation of Administration [Art. 389, CC]
When Administration Ceases
1. When the absentee appears personally or
by means of an agent;
2. When the death of the absentee is proved
and his testate or intestate heirs appear;
3. When a third person appears, showing by
a proper document that he has acquired
the absentee’s property by purchase or
other title.
Effects of Cessation
1. The administrator shall cease in the
performance of his office, and;
2. The property shall be at the disposal of
those who may have a right thereto.
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CIVIL LAW
4. Presumption of death
General Rule [Art. 390, CC]
1. Seven years, for all purposes, except
succession.
2. Ten years, for the purpose of opening his
succession.
Exception [Art. 390, CC]
If the absentee disappeared at the age of
seventy-five years, an absence of five years
shall be sufficient to open his succession.
Where Disappearance is Attendant with
Dangerous Circumstances [Art. 391, CC]
The absentee shall be presumed dead for all
purposes, if he were absent under the following
circumstances:
1. Where the absentee is on board a vessel
lost during a sea voyage, or an aeroplane
which is missing, who has not been heard
of for four years since the loss of the vessel
or aeroplane;
2. Where the absentee is in the armed forces
who has taken part in war, and has been
missing for four years;
3. Where the absentee has been in danger of
death under other circumstances and his
existence has not been known for four
years.
In Case of the Absentee’s Reappearance or
Proof of Existence [Art. 392, CC]
If the absentee appears, or without appearing,
his existence is proved, he shall recover his
property in which it may be found, and the price
of any property that may have been alienated
or the property acquired therewith; but he
cannot claim either fruits or rents.
Statutory Presumption on the Order of
Death Between Persons Who Are Called to
Succeed Each Other [Art. 43, CC]
If there is a doubt, as between two or more
persons who are called to succeed each other,
as to which of them died first, whoever alleges
the death of one prior to the other, shall prove
the same; in the absence of proof, it is
presumed that they died at the same time and
there shall be no transmission of rights from
one to the other.
U.P. LAW BOC PERSONS AND FAMILY RELATIONS
Disputable Presumption from the Rules of
Court [Rule 131, Sec. 3 [jj]]
The following presumptions are satisfactory if
uncontradicted, but may be contradicted and
overcome by other evidence:
(jj). That except for purposes of succession,
when two persons perish in the same calamity,
such as wreck, battle of conflagration, and it is
not shown who died first, and there are no
particular circumstances from which it can be
inferred, the survivorship is determined from
the probabilities resulting from the strength and
age of the sexes, according to the following
rules:
Age Presumed Survivor
Both under 15 Older
Both above 60 Younger
One under 15, the The one under 15
other above 60
Both over 15 and Male
under 60; different
sexes
Both over 15 and Older
under 60; same sex
One under 15 or One between 15 and
over 60, the other 60
between those ages
Rule on Subsequent Marriages
General Rule [Art. 41, FC]
Marriage contracted by any person during the
subsistence of a previous marriage is void.
Exceptions [Art. 41, FC]
When there is a subsequent marriage due to
ordinary absence, where:
1. The prior spouse had been absent for
four consecutive years;
2. The surviving spouse had a well-
founded belief that the absent spouse
was already dead.
When there is a subsequent marriage due to
extraordinary absence, where:
Page 124 of 532
CIVIL LAW
1. The prior spouse had been absent for
two consecutive years.
2. There is danger of death attendant to
the disappearance as provided in
Article 391 of the Civil Code:
a. A person on board a vessel lost
during a sea voyage, or an
aeroplane which is missing,
and has not been heard of.
b. A person in the armed forces
who has taken part in war and
has been missing.
c. A person who has been in
danger of death under other
circumstances and his
existence has not been known.
3. The surviving spouse had a well-
founded belief that the absent spouse
was already dead.
P. CIVIL REGISTRAR
RA 9048 Correction of Error in Name
The State created an exception to the
general rules provided by Article 376
and 412 of the Civil Code, i.e.
“No personal can change his name or
Principle surname without judicial authority”,
and;
“No entry in a civil register shall be
changed or corrected without a
judicial order”, respectively.
Sec. 3, RA 9048. Any person having
direct and personal interest in the
correction of a clerical or
typographical error in an entry and/or
change of first name or nickname in
the civil register may file, in person, a
verified petition with the local civil
Concept
registry office of the city or
municipality where the record being
sought to be corrected or changed in
kept, or with the nearest Philippine
Consulates for citizens who are
presently residing or domiciled in
foreign countries.
Exceptions to the General Rule as
Scope Provided by Articles 376 and 412 of
the Civil Code
U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

1. Correction of a clerical or correct and/or the change sought to

typographical error be made, in three copies.
a. Defined as “a mistake
committed in the Documentary Attachments:
performance of clerical 1. A certified true machine copy of
work in writing, copying, the certificate or of the page of the
transcribing or typing an registry book containing the entry
entry in the civil register or entries sought to be corrected
that is harmless and or changed;
innocuous, such as 2. At least two public or private
misspelled name or documents showing the correct
misspelled place of birth entry or entries upon which the
or the like, which is correction or change shall be
visible to the eyes or based, and;
obvious to the 3. Other documents which the
understanding and can petitioner or the city or municipal
be corrected or changed civil registrar, or the consul
only by reference to general may consider relevant
other existing record or and necessary for the approval of
records: Provided, the provision
however, That no
correction must involve
the change of Procedure [Secs. 6-7, RA 9048]
nationality, age, status 1. Petition is filed before the
or sex of the petitioner civil registrar or the consul
[Sec. 2(3)] general.
2. The petition is placed in a
2. Change of first name or nickname conspicuous place for 10
a. Grounds [Sec. 4, RA consecutive days after
9048] finding it sufficient in form
o The petitioner finds the and substance.
first name or nickname 3. The civil registrar/consul
to be ridiculous, tainted general shall act on the
with dishonor or petition and render a
extremely difficult to decision not later than five
write or pronounce; working days after the
o The new first name or completion of the publication
nickname has been requirement.
habitually and a. If the petition were
continuously used by denied, the
the petitioner and he petitioner may
has been publicly known appeal the decision
by the first name or to the Civil
nickname in the Registrar General
community, or; or file the
o The change will avoid appropriate petition
confusion before the proper
court.
Petition [Sec. 5, RA 9048]. 4. The civil registrar/consul
The petition shall be in the form of an general shall transmit a copy
affidavit, subscribed and sworn to of the decision with records
before any person authorized by law of the proceedings to the
to administer oaths, setting forth the Office of the Civil Registrar
facts necessary to establish the merits General within five working
of the petition, the petitioner’s days from the date of the
competence to testify to the matters decision.
states, and the particularly erroneous 5. The civil registrar general
entry or entries which are sought to be shall exercise the power to

Page 125 of 532

U.P. LAW BOC PERSONS AND FAMILY RELATIONS CIVIL LAW

impugn such a decision by the day and month in the date of

objection on the ff grounds birth or sex of a person appearing
within 10 working days. in the civil register to entries that
a. Where the error is do not need a judicial order to be
not clerical or
changed or corrected.
typographical;
b. Where the
correction of an New Exceptions Created
entry or entries is 1. Correction of the day
substantial or and month in the date of
Concept
controversial as it birth
affects the civil 2. Correction of the sex of a
status of a person, person
or;
c. The basis used in Additional Documentary
changing the first
Attachments
name or nickname
of a person does
Generally:
not fall under Sec. 1. Certification from
4. appropriate law
6. If there were no objection, enforcement agencies
the decision shall become that petitioner has no
final and executory. pending case or no
7. If there were objection, the criminal record.
petitioner may seek For Day and Month in Date of
reconsideration or file the
Birth and Sex:
appropriate petition with the
proper court.
1. Earliest school record or
earliest school
Prohibited Violation of any provision of the act documents.
Acts [Sec. 9]. 2. Medical records.
3. Other documents issued
Scope
Sec. 9, RA 9048. by religious authorities.
Generally For Sex:
! Imprisonment of not less 1. Certification by an
than six years but not more
accredited government
than twelve years, or;
! A fine of not less than Ten
physician attesting to the
thousand pesos fact that petitioner did
(P10,000.00) but not more not undergo sex change
Penalties or sex transplant.
than One hundred thousand
pesos (P100,000.00), or;
! Both Changes in Procedure
1. The petition shall be
If the offender were a government published at least once a
official or employee, he shall suffer the
week for two
penalties provided under civil service
laws, rules, and regulations.
consecutive weeks in a
newspaper of general
circulation.
RA 10172 Correction of Error in Birthday
and Sex Prohibited Similar to RA 9048.
Acts
The State expanded the
Principle exception by including Penalties Similar to RA 9048.
typographical or clerical error in

Page 126 of 532

U.P. LAW BOC PROPERTY CIVIL LAW

PROPERTY
CIVIL LAW

Page 127 of 532

U.P. LAW BOC PROPERTY
A. CLASSIFICATION OF
PROPERTY
1. Immovables [Art. 415, CC]
a. IMMOVABLES BY NATURE:
cannot be moved from place to
place; their intrinsic qualities have
no utility except in a fixed place.
[pars. 1 & 8]
1. Land, buildings, roads, and
constructions of all kinds adhered to
the soil [415 (1)]
Note: When a building is sold to be
demolished immediately, it is
considered a movable [Bicerra v.
Teneza, G.R. No. L-16219 (1962)].
Note: A building is immovable whether
erected by the owner of the land or by
a usufructuary or by a lessee subject to
provisions of the chattel mortgage law
or the PPSA.
2. Mines, quarries, and slag dumps, while
the matter thereof forms part of the
bed, and waters either running or
stagnant. [415 (8)]
b. IMMOVABLES BY
INCORPORATION: movables but
are attached to an immovable in such
a way as to be an integral part [Pars.
2, 3, & 7]
1. Trees and plants and growing fruits:
only immovables when they are
attached to the land or form an
integral part of an immovable.
Note: By special treatment of Act 1508
(Chattel Mortgage Law), growing crops
may be subject of a Chattel Mortgage.
For the purpose of attachment: growing
Page 128 of 532
CIVIL LAW
crops are to be attached in the same
manner as realty. [Sec. 7, Rule 59]
2. Everything attached to an
immovable in a fixed manner, in such
a way that it cannot be separated
therefrom without breaking the material
or deterioration of the object.
Note: Whether attached by the owner
himself or some other person. (e.g.
Canals, walls, aqueducts)
3. Fertilizer actually used on a piece of
land
c. IMMOVABLES BY DESTINATION:
essentially movables but by the
purpose for which they have been
placed in an immovable, partake of
the nature of an immovable [Pars.
4, 5, 6 & 9]
1. Statues, reliefs, paintings etc.
[415 (4)]
Requisites
a. Placed by the owner or by the
tenant (as agent);
b. With intention of attaching
them permanently even
if adherence will not involve
breakage or injury.
c. Where the improvement or
ornaments placed by the
lessee are not to pass to the
owner at the expiration of the
lease, they remain movables
for chattel mortgage purposes.
[Davao Sawmill v. Castillo,
G.R. No. L-40411 (1935)]
2. Machinery, receptacles,
instruments or implements
INTENDED by the OWNER of the
tenement which tend directly to
meet the needs of the said industry
or works [415 (5)] (e.g. Sewing
U.P. LAW BOC PROPERTY CIVIL LAW

machines owned by the owner of a Note: Vessels are considered as

garment factory) movables, although they partake the
nature of real property, in view of its
Requisites importance in the world of commerce
[Rubiso v. Rivera, G.R. No. L-11407
a. Must be machinery, receptacles, (1917)].)
instruments, or implements
b. Placed by the owner or the tenant
d. BY ANALOGY [Par. 10]: Contracts
(as agent);
c. The machine, receptacle, for public works, servitudes, other
instrument, implement must also real rights over immovable
be essential to the business (tend property e.g. usufruct and lease of
directly to meet the needs of real property for a period of 1 year,
industry or work) in order to be and registered.
considered realty. [Mindanao Bus
Co. v City Assessor, G.R. No. L-
17870 (1962)]
2. Movables [Art. 416, 417, CC]
a. Everything not included in Art. 415
Examples: Gasoline station
(by exclusion);
equipment and machinery, for
b. All things that can be transported
without them, the gas station would
from one place to another without
be useless [Caltex Phils. v. Central
substantial injury to the immovable to
Board of Assessment Appeals, 114
which it is attached (by description)
SCRA 296]; machines for
chocolate-making industry [Serg
Unless expressly included in Art. 415
Product, Inc v. PCI Leasing and
(Test by Exclusion is Superior)
Finance Inc., 338 SCRA 499];
c. Real property which by any special
sawmill machineries in a sawmill
provision of law is considered as a
company [Ago v. Court of Appeals,
movable
6 SCRA 1962].
d. FORCES OF NATURE brought under
the control of science (e.g. electricity,
Note: The moment they are separated,
gas, heat, oxygen)
(from the immovable or from the
e. OBLIGATIONS AND ACTIONS which
industry or work in which they are
have for their object movables or
utilized) they revert to being movables.
demandable sums (i.e. any credit)
f. SHARES OF STOCK of agricultural,
3. Animal houses, etc. [415 (6)]
commercial and industrial entities,
although they may have real estate
Requisites
(e.g. stock certificates of a corporation)
a. Placed by the owner or the
tenant (as agent);
g. OTHER MOVABLES:
b. With the intention of permanent
1. Cultural properties under R.A.
attachment;
9846 as amended by P.D. 374, like
c. Forming a permanent part of
old buildings, shrines, documents
the immovable.
considered antiques, relics, or
artifacts etc.
4. Docks and structures which, though
2. A concession granted to a private
floating, are intended by their nature
person with the right of usufruct in
and object to remain at a fixed place on
a building erected on a lot
a river, lake, or coast (need not be
belonging to the municipality is a
placed by owner of land) [415 (9)]
personal property [Tufexis v.

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U.P. LAW BOC PROPERTY CIVIL LAW

Olaguera and Municipal Council of

Guinobatan, 32 Phil. 654] E incumbit probatio qui dicit, non qui negat:
“He who asserts, not he who denies, must
prove.”
B. OWNERSHIP Accion Publiciana
An action for the recovery of real right of
RIGHTS OF AN OWNER IN GENERAL possession of real property (possession de
1. Jus Possidendi – the right to possess jure).
2. Jus Fruendi – the right to enjoy the fruits
(natural, industrial, and civil) Note: Actions for ejectment not filed within one
3. Jus Utendi – the right to use and enjoy year must be filed as accion publiciana.
4. Jus Acessiones – the right to accessories
5. Jus Abutendi – the right to abuse or to Accion Interdictal - Action for Ejectment
consume A summary action for recovery of actual,
6. Jus Disponendi – the right to dispose material or de facto physical possession
through an action for forcible entry or unlawful
SUMMARY OF LIMITATIONS ON OWNER detainer. It must be filed in the MTC or MeTC.
3. Imposed by the state – Eminent domain,
taxation, and police power Unlawful
Forcible Entry
4. Imposed by the owner himself Detainer
5. Other limitations like nuisance, easements, Possessor refused
state of necessity, mortgages, and other Lawful possessor to vacate upon
security arrangements deprived through demand by owner
6. Cannot make use of the thing in such FISTS:
manner as to injure the rights of a third Note: Legal
person [Art. 431, CC] a. Force possession (by
7. Doctrine of state of necessity [Art. 432, CC] b. Intimidation permission/
c. Strategy tolerance)
d. Threats, and becomes unlawful
1. Bundle of rights e. Stealth upon failure to
vacate
a. Actions to recover ownership and Period to Bring Action:
possession of real property and its 1 year from Period to Bring
distinctions dispossession (force, Action: 1 year
intimidation, threats) or from last demand
Accion Reivindicatoria from knowledge of to vacate.
• An action to recover ownership of and dispossession
dominion over real property. It includes, but (strategy, stealth)
is not limited to, possession.
• It must be filed in the RTC or the MTC, b. Actions for recovery of possession
depending on the assessed value (RTC, if of movable property
the value is more than P20,000 and is
outside Metro Manila; or the property is Replevin For manual delivery of movable
within Metro Manila and its assessed value property, for either ownership or possession
exceeds P50,000. If the aforementioned
conditions are not met, then at the MTC.).

Requisites [Art. 434, CC]

a. Property must be identified; and
b. Plaintiff must rely on the strength of his title

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U.P. LAW BOC PROPERTY CIVIL LAW

2. Distinction between real and 3. Modes of Acquiring

personal rights Ownership
a. Real rights See Section J. Modes of Acquiring Ownership.

Rights that confer upon its holder an

autonomous power to derive directly from a 4. Limitations of Ownership
thing certain economic advantages
independently of whoever the possessor of the a. General Limitations
thing.
1. Taxation
In real rights, (1) there is a definite subject who 2. Eminent domain
has a right against persons as an indefinite 3. Police power
passive subject, (2) directed against the whole
world, (3) the object is a corporeal thing in most b. Specific Limitations
instances, and (4) it is extinguished by
destruction or loss of the thing. 1. Legal Servitudes [Arts. 2191, 677-679,
670, 644, 666, 684-687, 676, 649, 637,
The number of real rights is an open 652, CC]
classification: Once requisites are satisfied, the servient
a. Ownership owner may ask the Court to declare the
b. Real right of Possession existence of an easement. (e.g. Easement
c. Usufruct of Right of Way, Easement of Light and
d. Easement View etc.)
e. Recorded lease
f. Real Estate Mortgage 2. Must not injure the rights of a third
g. Chattel Mortgage person (Sic Utere Tuo Ut Alienum Non
h. Pledge Laedas) [Art. 431, CC]
i. Antichresis
j. Retention 3. Actions in a State of Necessity
k. Pre-emption The owner of a thing has no right to prohibit
l. Redemption the interference of another with the same,
m. Stewardship if the interference is necessary to avert an
n. Certificate of Ancestral Domain Title; imminent danger and the threatened
Certificate of Ancestral Domain Claims in damage, compared to the damage arising
the IPRA Law to the owner from the interference, is much
greater. The owner may demand from the
b. Personal rights person benefited, indemnity for the
damage to him. [Art. 432, CC]
Rights of a person to demand from another as
a definite passive subject, the fulfillment of a 4. Nuisance
prestation to give, to do or not to do. A nuisance is any act, omission,
establishment, business, condition of
property, or anything else which: (1) injures
or endangers the health or safety of others;
(2) annoys or offends the senses; (3)
shocks, defies or disregards decency or
morality; (4) obstructs or interferes with the
free passage of any public highway or
street, or any body of water; or (5) hinders

Page 131 of 532

U.P. LAW BOC PROPERTY
or impairs the use of property. [Art. 694,
CC]
5. Limitations imposed by the owner
himself (e.g. voluntary easements)
Valid, provided they are not contrary to law.
6. Limitations imposed by the party
transmitting the property either by the
contract or will (e.g. onerous donations or
easement constituted when dividing one
property)
C. ACCESSION
Accession – the right by virtue of which the
owner of a thing becomes the owner of
everything that is produced thereby, or which is
incorporated or attached thereto, either
naturally or artificially. [Art. 440, CC]
Not a mode of acquiring property; it does not
depend upon a new title.
1. Right to hidden treasure
Definition: Any hidden and unknown deposit
of money, jewelry, or other precious objects,
the lawful ownership of which does not appear.
[Art. 439, CC]
General Rule: Belongs to the owner of the
land, building, or other property on which it is
found. [Art. 438, CC]
Exceptions
• If discovery made on property of
another, the State, or any of its
subdivisions AND by chance: one-half
shall be allowed to the finder
• If finder is a trespasser: he shall not be
entitled to any
• If the things found be of interest to
science or the arts: State may acquire
them at their just price, which shall be
divided in conformity with rule stated
Page 132 of 532
CIVIL LAW
2. Rules of accession
a. FOR IMMOVABLES
i. ACCESSION DISCRETA
To the owner belongs:
(1) The natural fruits;
(2) The industrial fruits;
(3) The Civil fruits. [Art. 441, CC]
General Rule and Exceptions
General Rule: To the owner of the principal
belongs the natural, industrial, and civil fruits.
Exceptions:
• Possession in good faith: the possessor
is entitled to the fruits received before the
possession is legally interrupted [Art. 526,
CC]
• Usufruct, fruits belong to the usufructuary.
[Art. 556, CC]
• Lease, fruits belong to the lessee in civil
law lease of agricultural land; lessor gets
rentals as civil fruits
• Antichresis [Art. 2132, CC]
Kinds of fruits
1. Natural – spontaneous products of the soil
and the young, and other products of
animals. [Art. 442(1), CC]
Partus sequitur ventrem: To the owner of
female animals would also belong the
young of such animals although this cannot
apply when the owner mixes his cattle with
those of another and they interbreed, thus
co-ownership is applied. [Siari Valley
Estate v. Lucasan, G.R. No. L-13281
(1960)].
2. Industrial – Fruits produced by the lands
of any kind through cultivation of labor [Art.
442 (2), CC]
3. Civil – Rents of buildings, price of leases
of lands and other property and the amount
of perpetual or life annuities or other similar
income [Art. 442 (3), CC]
U.P. LAW BOC PROPERTY
Principles Applicable to Accession Discreta
a. Time of Accrual depending on kind:
i. Annuals: from the time seedlings
appear on the ground.
ii. Perennials: from the time fruits
actually appear on the plants.
iii. Young of animals: from the time they
are in the womb, although unborn –
beginning of maximum ordinary
period of gestation.
iv. Fowls: from the time of incubation.
b. Pay expenses to third person possessor in
good faith - He who receives the fruits has
the obligation to pay the expenses incurred
by a third person in the production,
gathering and preservation of the fruits.
[Art. 443, CC]
i. Exception: Owner does not have to
pay if land is recovered before
gathering from a possessor in bad
faith.
ii. But if owner recovers land from
possessor in bad faith, he may choose
to acquire the land and he can make
the possessor, builder, planter, sower
account for the fruits that have been
gathered, with the obligation to deduct
the expenses for producing,
harvesting and preservation of the
fruits.
ii. ACCESSION CONTINUA
Right pertaining to the owner of a thing over
everything that is incorporated or attached
thereto either naturally or artificially (by
external forces). [Art. 440, CC]
ARTIFICIALLY/INDUSTRIALLY
INCORPORATED [Arts. 445-456, CC]
Building, planting or sowing on land owned by
another (over immovables).
General rule: Whatever is built, planted or
sown on the land of another and the
improvements or repairs made thereon, belong
to the owner of the land, subject to the rules on
BPS. [Art. 445, CC]
Page 133 of 532
CIVIL LAW
Presumptions
• All works, sowing and planting are
presumed made by the owner and at his
expense, unless the contrary is proved.
[Art. 446, CC]
● The incorporation must be done in such a
manner that to separate the principal from
the accessory would result in injury to both
principal and accessory.
● The party in bad faith is always liable for
damages.
● When both parties are in bad faith, they are
considered to be in good faith.
● The owner of the principal thing owns the
natural, industrial and civil fruits, except
when the following persons exist:
a. Possessor in Good Faith
b. Usufructuary
c. Lessee
d. Antichretic creditor
Bad Faith
On the part of the landowner
Whenever the building, planting or sowing was
done with his knowledge and without
opposition on his part. [Art. 453(2), CC]
On the part of the owner of materials
Allows the use of his materials without protest.
On the part of the builder, planter and sower
One who has knowledge of any flaw or defect
in his title or mode of acquisition [Art. 526, CC]
He is a possessor in bad faith at the time of
BPS if he knows that:
a. He does not have title to the land, and
thus, has no right to build thereon; or
b. He has no permission to build, plant, or
sow on the land which he possesses
but does not own.
Note: Bad faith leads to liability for damages
and the loss of the works or the improvement
without right to indemnity. [Art. 449, CC]
If both parties are in bad faith, then treat
them as if they are both in good faith. [Art.
453(1), CC]
U.P. LAW BOC PROPERTY CIVIL LAW

Rules (see end of Section for Summary of Rights:

Rules) a. Absolute right of removal
1. Case where the landowner differs + Right to indemnification
from the owner of materials [Art. for damages; OR
447, CC] OM in GF
b. Right to reimbursement
for the value of materials +
Situation #1: Both the landowner (LO) and Right to indemnification
the owner of materials (OM) are in GF for damages.
Rights: Shall own what is built,
planted, sown Situation #4: LO in GF, while OM in BF
(materials/improvements). Rights:
[Accessio cedit principali] a. Right to acquire the
LO in GF improvements without
Liabilities: shall pay for the paying indemnity.
value of the materials (no one LO in GF
b. Right to acquire indemnity
shall be unjustly enriched at for damages if there are
the expense of another) hidden defects known to
Rights: OM.
a. Limited right of removal Lose materials without right to
(can only be resorted to if OM in BF indemnity (no right of
no injury can be inflicted removal).
OM in GF
on the work constructed);
or 2. Cases where one builds, plants, or
b. Right to reimbursement sows on land owned by another
for the value of materials. (BPS v. LO) [Arts. 448-454, CC]

Situation #2: Both the LO and OM are in BF Situation #1: BPS in GF [Art. 448, CC]
Options:
Parties will be treated as a. Acquire improvements
Both LO and though both acted in GF. after paying BPS for their
OM in BF [Art. 453, CC] value; or
b. Oblige the one who built
Landowner or planted to pay the price
Situation #3: LO in BF, while OM in GF
[Art. 446, of the land unless its
Rights: To own what is built,
CC] value is considerably
planted, sown
more than that of the
(materials/improvements).
Note: building or trees, and the
Option is one who sowed, the
Liabilities: shall pay for the
given proper rent.
LO in BF value of the materials, as well
solely to c. If the value is
as pay OM indemnity for
LO, GF of considerably more, then
damages.
BPS is the court can force the
immaterial parties to enter into a
Note: Subject to OM’s
forced lease. [Art. 448,
absolute right of removal.
CC]

Note: The difference between

a BUILDER and a SOWER.

Page 134 of 532

U.P. LAW BOC PROPERTY
● Generally, has right to
reimbursement for the
improvement.
● Pending LO’s payment,
has right to retention of
the land (during this
period, BPS is not
required to pay rent).
● Whatever fruits (rents) he
receives during the period
BPS in GF
of retention must be
deducted from whatever
indemnity is due to him;
and in case it exceeds the
value of the indemnity, the
excess shall be returned
to the owner of the land.
[de Leon, citing Mendoza
v. De Guzman, G.R. No.
L-28721 (1928)]
Note: Landowner can be forced to choose
under pain of direct contempt, or court can
choose for him.
Note: In every case, the BPS is entitled to
reimbursement of necessary expenses for the
preservation of the land. [Art. 452, CC]
Situation #2: Both the LO and BPS are in BF
Parties will be treated as
Both LO
though both acted in GF, so
and BPS in
apply Art. 446. [Art. 453, CC]
BF
Situation #3: LO in BF, while BPS in GF
a. Must indemnify BPS for
the improvements AND
pay damages as if he
himself did the BPS.
LO in BF b. Has no option to sell the
land and cannot compel
BPS to buy the land
without the latter’s
consent.
Page 135 of 532
CIVIL LAW
Rights:
a. Absolute right of removal
+ Right to indemnification
for damages; OR
BPS in GF
b. Right to reimbursement
for the value of materials +
Right to indemnification
for damages.
Situation #4: LO in GF, while BPS in BF
[Arts. 449-451, CC]
Right to collect damages in
any case AND option to:
a. Acquire improvements
without paying indemnity if
the improvements are still
standing on the land;
b. Sell the land to BP or
collect rent from the sower
unless value of the
improvements in which
LO in GF case there will be a forced
lease; or
c. Order demolition of
improvements or
restoration of land to its
former condition at the
expense of the BPS.
Landowner must STILL pay
for necessary expenses for
preservation.
a. Pay damages to
landowner.
b. Lose materials without
right to indemnity.
BPS in BF c. No right to refuse to buy
the land.
d. Recover necessary
expenses for preservation
of land.
3. Case where LO, BPS, and OM are
different persons [Art. 455, CC]
Note: If there are 3 parties in BPS, solve the
problem by considering the options open to the
landowner vis-à-vis BPS depending on their
good faith or bad faith; apply Art. 455 re: one
who acted in good faith. Art. 455 shall not apply
U.P. LAW BOC PROPERTY
if the owner makes use of the right granted by
Art. 450.
GENERAL RULES [de Leon]
a. OM in GF entitled to reimbursement for the
value of the materials used (regardless of
the GF or BF of the LO and/or the BPS).
PRIMARILY, from the BPS. If the BPS be
insolvent, then the LO shall be subsidiarily
liable to the OM. [Art. 455(1), CC]
Requisites for the LO’s subsidiary
liability
• The OM acted in GF;
• BPS is insolvent; and
• The LO appropriates the accession to
himself.
b. The BPS who has paid the OM may seek
reimbursement from the LO (value of
materials + labor). [Art. 455(2), CC]
Requisites
• The BPS acted in GF; and
• The LO appropriates the improvement
to himself.
c. if only the OM is in BF, he loses his
materials, as well as his right to indemnity.
He also becomes liable for damages. [Arts.
449, 451, CC]
d. If only the BPS acted in BF, he becomes
liable to the OM for the value of the
materials + damages. Should he become
insolvent, the LO shall pay for the value of
the materials but he will not be liable for
damages. Additionally, he shall still be
liable to the LO. [Arts. 450-451, CC]
e. If only the LO acted in GF, he can exercise
any of his options under Arts. 449 and 450,
both having an additional right to ask for
damages [Art. 451, CC]. He shall also not
be subsidiarily liable to the OM.
f. If ALL acted in BF, they shall be treated as
though all of them acted in GF. [Art. 453,
CC]
Page 136 of 532
CIVIL LAW
NATURALLY INCORPORATED [Arts. 457-
465, CC]
a. Alluvium [Art. 457, CC]
Soil is gradually deposited on banks adjoining
the river.
Requisites [GAC – Gradual, Adjacent,
Currents]
1. Deposit of soil or sediment is gradual and
imperceptible;
2. As a result of the action of the currents of
the waters of the river and should have no
human intervention;
3. Land where the accretion takes place is
adjacent to the banks of the rivers
(RIPARIAN LAND); and
4. Deemed to Exist: When the deposit of the
sediment has reached a level higher than
the highest level of the water during the
year, i.e. higher than the riverbank.
[Meneses v. CA, G.R. No. 82220 (1995)]
Effect: The riparian owner automatically owns
the alluvion but it does not automatically
become registered property in his name.
[Grande v. CA, G.R. No. L-17652 (1962)]
Rationale: To compensate the owners of the
land from forces of nature and to encourage
riparian owners to cultivate and enrich the land.
Exception: Deposits due to human action or
intervention and abrupt or unanticipated
flooding brought about by extreme weather
conditions.
Note: Action of the sea over the estate because
of the tide and which results to a strip of land
becomes foreshore land and passes to the
realm of the public domain. [Republic v. Court
of Appeals, 281 SCRA 639]
b. Avulsion [Art. 459, CC]
A known portion of land is segregated from one
estate by the forceful current of a river, creek
or torrent and transferred to another.
U.P. LAW BOC PROPERTY
Requisites: [ACFI – Abrupt, caused by Current
or other Forces of nature, Identifiable]
1. Segregation and transfer of land is sudden
and abrupt;
2. Caused by the current of the river, creek or
torrent; and
3. The portion of land transported must be
known and identifiable; or
Effect: The ownership of the detached
property is retained by the owner provided that
he removes the same within 2 years from the
detachment. [Art. 459, CC]
c. Uprooted Trees [Art. 460, CC]
In case of uprooted trees, the owner retains
ownership if he makes a claim within 6 months.
This refers only to uprooted trees and does not
include trees which remain planted on a known
portion of land carried by the force of the
waters. In this latter case, the trees are
regarded as accessions of the land through
gradual changes in the course of adjoining
stream. [Payatas v. Tuazon, G.R. No. L-30067
(1929)]
d. Change Of Course Of River [Arts. 461-
462, CC]
Requisites:
1. Change in the natural course of the waters
of the river;
2. Such change causes the abandonment of
the riverbeds;
“Natural Bed”: ground covered by its
waters during the highest floods. [Binalay
v. Manalo, G.R. No. 92161 (1991)]
3. Such change is sudden or abrupt; and
4. Change is permanent.
Effects
a. Owners whose lands are occupied by the
new course of the river automatically (ipso
facto) become owners of the old bed, in
proportion to the area they lost [Art. 461,
CC]
b. Owners of the lands adjoining the old bed
are given the right to acquire the same by
paying the value of the land. Not exceeding
the value of the land invaded by the new
Page 137 of 532
CIVIL LAW
bed (the old property of the owner) [Art.
461, CC]
c. The new bed opened by the river on a
private estate shall become of public
dominion. [Art. 462, CC]
Exceptions:
a. Where the river simply dries up, the
abandoned riverbed belongs to the State
because there are no persons whose lands
are occupied by the waters of the river. It is
still public dominion.
b. Where the government reverts back the
course of the river, there is no
compensation.
Note: Sec. 58 of the Water Code (PD 1067)
provides that when a river or stream suddenly
changes its course to traverse private lands,
the owners of the affected lands may not
compel the government to restore the river to
its former river bed, nor can they restrain the
government from taking steps to revert the river
or stream to its former course. The owners of
the land thus affected are not entitled to
compensation for any damage sustained
thereby. However, the former owners of the
new bed shall be the owners of the abandoned
bed in proportion to the area lost by it.
e. Division of River into Branches [Art.
463, CC]
Whenever the current of a river divides itself
into branches, leaving a piece of land or part
thereof isolated, the owner of the land retains
his ownership and there is no accession. He
also retains it if a portion of land is separated
from the estate by the current.
f. Formation of Islands [Arts. 464-465, CC]
They belong to the State if [Art. 464]:
a. Formed on the seas within the jurisdiction
of the Philippines;
b. Formed on lakes; or
c. Formed on navigable or floatable rivers:
• Capable of affording a channel or
passage for ships and vessels;
U.P. LAW BOC PROPERTY
• Must be sufficient not only to float
bancas and light boats, but also bigger
watercraft;
• Deep enough to allow unobstructed
movements of ships and vessels.
Test of whether river is navigable: Whether it
can be used as a highway of commerce, trade
and travel.
They belong to the private owner of the
separated land if [Art. 463]:
The island is formed in a place not mentioned
in Art. 464.
Note: There is no accession when islands are
formed by the branching of a river; the owner
retains ownership of the isolated piece of land.
They belong to the owners of the nearest
margins or banks if [Art. 465]:
a. Formed through successive accumulation
of alluvial deposits; and
b. On non-navigable and non-floatable rivers.
Note: If island is in the middle of the river, divide
longitudinally in half. If nearer to one margin or
bank, to the nearer riparian owner.
Note: If a landowner allows the sea or a lake to
eat up his land completely, it is a case of
natural expropriation and if the land later
reappears, he does not regain ownership
thereof. [Republic v. Cabangis, G.R. No. L-
28379 (1929)]
b. FOR MOVABLES
i. Conjunction/Adjunction
[Arts. 466-471, 475, CC]
Definition: There is adjunction or conjunction
when 2 movables belonging to different owners
are attached to each other such that separation
is without injury.
General Rule: Accession only exists only if
separation is not feasible. Otherwise,
separation may be demanded (Civil Code Art
469)
Page 138 of 532
CIVIL LAW
1. Adjunction
Process by virtue of which 2 movable things
belonging to different owners are united in such
a way that they form a single object.

Requisites
1. There are 2 movables belonging to 2
different 
owners;

2. They are united in such a way that they
form single object; and

3. They are so inseparable that their
separation 
would impair their nature or
result in substantial 
injury to either
component.
Kinds
a. Inclusion (engraftment)
b. Soldering (adjoining two or more metals)
c. Ferruminatio (same metals)
d. Plumbatura (different metals)
e. Escritura (writing)

f. Pintura (painting)
g. Weaving
2. Ownership of New Object
Formed by Adjunction
Owner of Principal Object
Good Faith: Acquires the thing but with the duty
to indemnify the owner of the accessory [Article
466].
Owner of Accessory
Good Faith: Has a right to demand separation
even though there may be damage if the
accessory is more valuable.
If Owner of Principal Object in Bad Faith
Demand value of the accessory plus damages,
OR Demand separation even if the principal
will be destroyed plus damages [par. 2,
Art.470]
If Owner of Accessory in Bad Faith
Loses the thing plus is liable for damages
[Article 470]
If both are in bad faith, treat as if
both are in good faith [Article 453 by analogy].
U.P. LAW BOC PROPERTY
Rules in Determination of the Principal
Thing [Art. 467-468, CC]

In the order of application, the principal thing is:
● That to which the other has been united as
an ornament or for its use or perfection
(“Rule of importance and purpose”)
● The thing of greater value.
● The thing of greater volume.
● The that of greater merits, taking into
consideration all the pertinent legal
provisions, as well as the comparative
merits, utility and volume of their respective
things. [Manresa]
Exception: In painting and sculpture, writings,
printed matter, engraving and lithographs the
MATERIAL (board, metal, stone, canvas,
paper or parchment) which the writer/artist
used SHALL BE DEEMED THE ACCESSORY
THING in all cases. [Art. 468, CC]
When separation allowed
• When separation will not cause any injury,
the respective owners can demand
separation [Art. 469, CC]; or
 gives rise to damages. [Art. 456, CC by
• When the accessory is more precious:
1. Owner of accessory may demand
separation
even though the
principal thing may suffer [Art. 469,
CC].
2. Owner who caused the union shall
bear the expenses for separation
even if he acted in good faith.
● When the any of the owners are in bad
faith
:
1. If owner of accessory in BF, then
he shall lose the accessory and pay
damages to owner of principal.
2. If owner of principal in BF, then the
owner
 of the accessory shall
choose between paying the value
of the principal or have the
accessory separated from the
principal even if the principal thing
is destroyed and be paid damages.
ii. Commixtion/Confusion
[Arts. 427-423. 475, CC]
Page 139 of 532
CIVIL LAW
1. Definition
• Mixture: the union of materials belonging
to different owners where the components
lose their identity
• Commixtion: mixture of solid things
• Confusion: mixture of liquid things or
mixture of gases
2. Rules [Arts. 472 – 473, CC]:
a. If caused by the will of the parties or by
chance, or by the will of one party but is in
good faith, then there will be a co-
ownership based on proportional value (not
volume).
b. If caused by the will of one party in bad
faith, then the party in bad faith loses the
entire thing and must pay indemnity for
damages.
Notes:
• Good faith in accession does not
necessarily exclude negligence, which
analogy]
• Also, there is a co-ownership.
iii. Specification [NCC 474-475]
1. Definition [Art. 474, CC]
Takes place when the work of a person is done
on the material of another, and such material,
in consequence of the work itself, undergoes a
transformation.
It is the transformation of another’s material by
the application of labor, into a thing of a
different kind.
Examples: Turning grapes into wine, flour into
bread
2. Rules
a. Worker/Maker in Good Faith [Art.
474, CC]
General Rule: Worker becomes the owner but
must indemnify the owner (who was also in
U.P. LAW BOC PROPERTY CIVIL LAW

good faith) for the value of the material. [Art.
474 (1), CC]
Exception: If the material is more valuable
than the new thing, the owner of the material
may choose [Art. 474 (2), CC]:
● To take the new thing but must pay for the
value of the work; or
● To demand indemnity for the value of the
material.
If the owner was in bad faith, the maker
may appropriate the new thing without
paying the owner, or require the owner to
pay him the value of the thing or his work,
with right to indemnity.
General Rule: Owner has two options
• Owner may appropriate the new thing to
himself without paying the maker
Exception: This option is not available in
case the value of the work, for artistic or
scientific reasons, is considerably more
than that of the material, in which case the
owner of the material can ask for the
payment of the material and damages.
• Owner may demand the value of the
material plus damages
c. Worker/Maker made use of material
with consent and without objection
of owner

b. Worker/Maker in bad faith [Art. 474 Rights shall be determined as though both
(3), CC] acted in good faith. [Apply Art. 474 (1), CC]

Note: For the right of accession with regards to

moveable property, sentimental value is duly
appreciated. [Art. 476, CC]

SUMMARY OF BPS/LO/OM RULES

Landowner
a. Right to acquire
improvements and pay
indemnity to BPS; subsidiary
liability to OM
b. Sell the land to BP except if
the value of the land is
considerably more; or
c. Rent to S
LO in GF
a. Right to acquire
improvements and pay
indemnity to BPS;
b. Sell land to BP except if the
value of the land is
considerably more; or
c. Rent to S
LO in GF
Builder/Planter/Sower
ALL Acted in Good Faith
a. Right of retention until
necessary and useful
expenses are paid
b. To pay value of materials
to OM
BPS in GF
a. Right of retention until
necessary and useful
expenses are paid
b. Keep improvements
without indemnity to OM
and collect damages from
him
BPS in BF
Owner of Materials
a. Collect value of material
primarily from BPS and
subsidiarily to landowner
if BPS is insolvent; and
b. Limited right of removal
(if the removal will not
cause any injury)
OM in BF
a. Lose the material
without right to indemnity
b. Must pay for damages to
BPS
OM in BF

Page 140 of 532

U.P. LAW BOC
a. Right to collect damages from
BPS in any case and the
option to either
1. Acquire improvements w/o
paying for indemnity;
2. Demolition or restoration; or
3. Sell to BP, or to rent to
sower
b. Pay necessary expenses to
BPS
Same as when all acted in GF under Art. 453
LO in BF
a. Acquire improvement after
paying indemnity and
damages to BPS unless the
latter decides to remove
b. Subsidiarily liable to OM for
value of materials if he
acquires improvements and
pays damages to BPS; no
subsidiary liability if BPS
chooses removal in any
event.
LO in BF
a. Right to acquire
improvements and pay
indemnity to BPS; subsidiarily
liable to OM
b. Has option to:
1. Sell the land to BP except
if the value of the land is
considerably more; or
2. Rent to S
LO in GF
LO has right to collect damages
from BPS in any case and the
option to either:
a. Acquire improvements w/o
paying for indemnity;
b. Demolition or restoration; or
c. Sell to BP or rent to S
Pay necessary expenses to BPS
PROPERTY
Recover necessary expenses
for preservation of land from
LO unless LO sells land
ALL Acted in Bad Faith
BPS in GF
a. May remove
improvements
b. Be indemnified for
damages in any event
c. Pay OM the value of the
materials
BPS in BF
a. No right of retention
b. Pay value of materials to
OM and pay him damages
BPS in BF
a. Right to necessary
expenses
b. Pay value of materials to
OM
c. Pay damages to OM/LO
Page 141 of 532
CIVIL LAW
a. Recover from BPS (as if
both are in GF)
b. If BPS acquires
improvements, remove
materials if feasible w/o
injury
c. No action against LO but
may be liable to LO for
consequential damages
OM in GF
a. Remove materials at any
event
b. Collect value of
materials from BPS;
subsidiarily from LO, if
LO is made to pay for
improvements and
damages
OM in GF
a. Collect value of
materials primarily from
BPS and subsidiarily
from LO if LO acquires
the improvements
b. Collect damages from
BPS
c. Absolute right to remove
materials in any event (if
BPS acquires
improvements)
OM in GF
a. Collect value of
materials primarily from
BPS and subsidiarily
from LO
b. Collect damages from
BPS
c. If BPS acquires
improvements, absolute
right of removal in any
event
U.P. LAW BOC PROPERTY CIVIL LAW

LO in BF BPS in GF OM in BF
Acquire improvements and pay b. Receive indemnity for a. Right to indemnity
indemnity and damages to BPS damages b. Loses right to the
unless the latter decides to c. Absolute right of materials
remove materials removal of
improvements in any
event

governmental regulation may, before breach or

D. QUIETING OF TITLE
Quieting of Title – remedy for the removal of
any
cloud of doubt or uncertainty with respect to
real property
violation thereof, bring an action in the
appropriate Regional Trial Court to determine
any question of construction or validity arising,
and for a declaration of his rights or duties,
thereunder. [Bar Matter No. 803, 17 February
1998]

An action for the reformation of an instrument,

1. Requisites
a. Plaintiff or complainant has a legal or an
equitable title to or interest in the real
property subject of the action; and [Art.
477, CC]
b. The deed, claim, encumbrance or
proceeding claimed to be casting a cloud
on his title must be shown to be in fact
invalid or inoperative despite its prima facie
appearance of validity 
or legal efficacy.
Such cloud must be due to some instrument,
record, claim, encumbrance or proceeding
which is apparently valid but is in truth invalid,
ineffective, voidable or unenforceable, and is
prejudicial to the plaintiff’s title. Plaintiff must
return to the defendant all benefits he may
have received from the latter, or reimburse him
for expenses that may have redounded to his
benefit. [Art. 479, CC]
Note: An action to quiet title applies only to real
property; except to some personal properties
like vessels or stock certificates which partake
of the nature of real property, or when they are
considered as real property because of special
registration requirements [De Leon].
Who may file [Sec. 1, Rule 63, ROC]
Any person interested under a deed, will,
contract or other written instrument, or whose
rights are affected by a statute, executive order
or regulation, ordinance, or any other
to quiet title to real property or remove clouds
therefrom, or to consolidate ownership under
Article 1607 of the Civil Code, may be brought
under this Rule. [Sec. 1, Rule 63, ROC]
2. Distinctions between quieting
title and removing/preventing
a cloud
Action to quiet title
A common law remedy for the removal of any
cloud upon a doubt or uncertainty with respect
to title to real property [Paras]
● A cloud on title is a semblance of title
(legal or equitable) which legally appears
valid but is, in fact, unfounded.
o Legal title: the party is the
registered owner of the property
o Equitable title: the person has the
beneficial ownership of the
property
● It is in the nature of a quasi in rem action.
Note: Some commentaries provide that an
action to quiet title is different from removing a
cloud.
The purpose of quieting is to put a stop to
vexatious litigation in relation to the property.
Removing a cloud pertains to the cancellation,
delivery, removal or release of an
encumbrance which can be considered a claim
re: plaintiff’s title.

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U.P. LAW BOC PROPERTY CIVIL LAW

ACTION TO QUIET TITLE

In General Applicable to real property, subject to certain exceptions
a. To declare the invalidity of a claim on a title or the invalidity of an interest
in property
b. To free the plaintiff and all those claiming under him from any hostile
claim on the property

Notes:
Purpose
● To prevent multiplicity of suits, an action for quieting of title takes
precedence over an ejectment case. [Luzuriaga v. Adil, G.R. No. L-58912
(1985)]
● Pending an action for quieting of title, possession of actual possessor must
be respected until the case is decided on the merits. [Balbecino v. Judge
Ortega, G.R. No. L-14231 (1962)]
a. Claimant must show that there is an:
1. Instrument;
2. record;
3. Claim;
4. encumbrance; or
5. proceeding,
Requisites
b. Which constitutes or casts a
1. cloud;
2. doubt;
3. question; or
4. shadow,
c. upon the owner's title to or interest in real property [Art. 476, CC]

a. To questions involving interpretation of documents;

b. To mere written or oral assertions of claim
● UNLESS made in a legal proceeding, or asserts that an instrument or
entry in plaintiff’s favor is not what it purports to be;
When Not
c. To boundary disputes;
Applicable:
d. To deeds by strangers to the title;
● UNLESS purporting to convey the property of the plaintiff;
e. To instruments invalid on their face; or
f. Where the validity of the instrument involves a pure question of law.

ACTION TO PREVENT A CLOUD

“Cloud on title” means a semblance of title, either legal or equitable, or a claim or a right in
real property, appearing in some legal form but which is, in fact, invalid or which would be
inequitable to enforce.

Legal title: the party is the registered owner of the property.

Legal Title v. Equitable Title Equitable title: the person has the beneficial ownership of the
property.

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U.P. LAW BOC PROPERTY CIVIL LAW

a. There is a claim emerging by reason of:

1. Any instrument e.g. a contract, or any deed of conveyance,
mortgage, assignment, waiver, etc. covering the property
concerned;
2. Any record, claim, encumbrance e.g. an attachment, lien,
inscription, adverse claim, lis pendens, on a title; or
3. Any proceeding e.g. an extrajudicial partition of property.

A Cloud Exists If [Art. 476]:
b. The claim should appear valid or effective and extraneous
evidence is needed to prove their validity or invalidity;
Test: Would the owner of the property in an action for ejectment
brought by the adverse party be required to offer evidence to defeat
a recovery?
As a general rule, a cloud is not created by mere verbal or parole
assertion of ownership or an interest in property.

c. Such instrument, etc. is, in truth and in fact, invalid,

ineffective, voidable, or unenforceable, or has been extinguished or
terminated, or has been barred by extinctive prescription; and

d. Such instrument, etc. may be prejudicial to the true owner

or possessor.

a. To questions involving interpretation of documents;

b. To mere written or oral assertions of claim, EXCEPT IF
made in a legal proceeding or asserts that an instrument or entry in
plaintiff’s favor is not what it purports to be;
Does Not Cover and Is Not c. To boundary disputes;
Applicable To: d. To deeds by strangers to the title UNLESS purporting to
convey the property of the plaintiff;
e. To instruments invalid on their face; or
f. Where the validity of the instrument involves a pure question
of law

a. Plaintiff has a title to a real property or interest therein;

b. Defendant is bent on creating a cloud on the title or interest
therein. The danger must not be merely speculative or
Requisites imaginary but imminent; and
c. Unless the defendant is restrained or stopped, the title or
interest of the plaintiff will be prejudiced or adversely
affected.

3. Prescription/non-prescription b. When the plaintiff is NOT in possession of

the real property, the action to quiet title
of action may prescribe depending upon the right of
action filed by the plaintiff:
a. When the plaintiff is in possession of the 1. 10 years – if plaintiff is a possessor
property, the action to quiet title does not with a real right, i.e. accion
prescribe. publiciana, or if action is for
reconveyance on the basis of a

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U.P. LAW BOC PROPERTY CIVIL LAW

constructive trust under Art. 1456, other limitation than that he shall not
CC injure the interests of his co-owners.
2. 30 years – if plaintiff is the owner of [Pardell v. Bartolome, G.R. No. L-4656
real property (1912)]
• Rationale: Until a division is actually made,
Note: An action to quiet title may be defeated the respective share of each cannot be
by a claim of ordinary or extraordinary determined, and every co-owner exercises
acquisitive prescription by the defendant. joint ownership of the pro indiviso property.
[Coja v. CA, 539 SCRA 517]
• Use should be in accordance with the
E. CO-OWNERSHIP purpose for which it was created or
intended.

Note: The law discourages co-ownerships

1. Characteristics of Co- among individuals as oftentimes, it results
ownership in inequitable situations. No co-owner can
be compelled to stay in a co-ownership
Definition indefinitely and may insist on a partition of
There is co-ownership whenever the the common property [Patricio v. Dario,
ownership of an undivided thing or right 507 SCRA 438, 2006].
belongs to different persons [Art. 484 (1),
CC] Co-ownership Distinguished from
Partnership
Co-ownership is governed by: Co-Ownership Partnership
• Contracts; As to creation
• Special laws; and Can be created Can be created only
• In default of the above, the provisions of the without formalities of by contract, express
Civil Code [Art. 484 (2), CC] a contract or implied
As to Juridical Personality
Summary of Characteristics Has juridical
1. There are 2 or more co-owners. Has no juridical or
personality distinct
2. There is a single object which is not legal personality
from partners
materially or physically divided and his As to Purpose
ideal share of the whole. Purpose is collective
3. There is no mutual representation by the Purpose is to obtain
enjoyment of the
co-owners. profits
thing
4. It exists for the common enjoyment of the As to Disposition of Shares
co-owners. Consent of other co- Partner needs to be
5. It has no distinct legal personality. owners not needed; authorized; he
6. It is a trust and every co-owner is a trustee transferee cannot substitute
for the rest. automatically another as a partner
7. It is governed first of all by the contract of becomes co-owner in his place
the parties; otherwise, by special legal As to Existence of Mutual Agency
provisions, and in default of such
A partner can
provisions, by the provisions of Title III on There is no mutual
generally bind the
Co-Ownership. representation
partnership
As to Effect of Death or Incapacity
Limitation
• Each co-owner of realty held pro indiviso Does not result in
Results in dissolution
exercises his rights over the whole property dissolution
and may use and enjoy the same with no As to Formal Requisites

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U.P. LAW BOC PROPERTY CIVIL LAW

No public instrument their work or industry shall be governed by

May be made in any
is needed even if the the rules on co-ownership. [Art. 147, FC]
form except when
object of the co-
real property is
ownership is a real
contributed
c. Joint Purchase
property
As to Agreement on the Period If two or more persons agree to purchase
An agreement to property and by common consent the legal title
There may be
keep the thing is taken in the name of one of them for the
agreement as to a
undivided for a benefit of all, a trust is created by force of law
definite term without
period of more than in favor of the others in proportion to the
limit set by law
10 years is void interest of each. [Art.1452, CC]

2. Sources of Co-ownership d. Succession

a. Marriage Where there are two or more heirs, the whole

i. System of Absolute Community
• Unless otherwise provided in this
Chapter or in the marriage settlements,
the community property shall consist of
all the property owned by the
spouses at the time of the
celebration of the marriage or
acquired thereafter. [Art, 91, FC]
• The administration and enjoyment of
the community property shall belong to
both the spouses jointly. [Art. 96 (1),
FC]
ii. Conjugal Partnership of Gains
• All property acquired during the
marriage, whether the acquisition
appears to have been made,
contracted or registered in the name of
one or both spouses, is presumed to be
conjugal unless the contrary is proved.
[Art. 116, FC]
• The administration and enjoyment of
the conjugal property shall belong to
both spouses jointly. [Art. 124 (1), FC]
estate of the decedent is, before its partition,
owned in common by such heirs, subject to
the payment of debts of the deceased. [Art.
1078, CC]
e. Donation
When a donation is made to several persons
jointly, it is understood to be in equal shares,
and there shall be no right of accretion among
them, unless the donor has otherwise
provided. [Art. 753 (1), CC]
f. Chance
If by the will of the owners two things of the
same or different kinds are mixed, or if the
mixture occurs by chance, and in the latter
case things are not separable without injury,
each owner shall acquire a right
proportional to the part belonging to him,
bearing in mind the value of the things mixed
or confused. [Art. 472, CC]
g. Hidden Treasure

b. Cohabitation When the discovery is made on the property of

When a man and a woman who are
capacitated to marry each other, live
exclusively with each other as husband and
wife without the benefit of marriage or under a
void marriage, their wages and salaries shall
be owned by them in equal shares and the
property acquired by both of them through
another, or of the State or any of its
subdivisions, and by chance, one-half thereof
shall be allowed to the finder [Art. 438, CC]
h. Easement of Party Wall
The easement of party wall shall be governed
by the provisions of this Title, by the local

Page 146 of 532

U.P. LAW BOC PROPERTY
ordinances and customs insofar as they do
not conflict with the same, and by the rules
of co-ownership [Art. 658, CC]
Easement of party ditches in Art. 661:
Ditches or drains opened between two
estates are also presumed as common to
both, if there is no title or sign showing the
contrary.
i. Contract
a. In General
• By agreement of two or more
persons [Art. 494, CC]
b. Universal Partnership
• The property which belonged to
each of their partners at the time of
the constitution of the partnership,
becomes the common property
of all partners, as well as all the
profit which they may acquire
therewith [Art. 1779, CC]
c. Associations
• Associations and societies, whose
articles are kept secret among
members, and wherein any one of
the members may contract in his
own name with third persons, shall
have no juridical personality, and
shall be governed by the
provisions relating to co-
ownership [Art. 1775, CC]
j. Occupation
Harvesting and fishing: co-ownership by two or
more persons who have seized a res nullius
thing [Art. 713, CC]
k. Condominium (RA 4726)
Condominium Law: co-ownership of the
common areas by holders of units [Sec. 6, RA
4726]
1. Definition of a condominium: Interest in a
real property consisting of a separate
interest in a unit in a residential, industrial
or commercial building and an undivided
Page 147 of 532
CIVIL LAW
interest in the land on which it is located
and in other common areas of the building.
2. Effect of transfer of a condominium unit:
a. it shall include the
transfer/conveyance of the
undivided interest in the common
area or in the membership or
shareholdings in the condominium
corporation
b. With the unit comess an exclusive
easement for the use of the air
space encompassed by the
boundaries of the unit
c. Common areas are held in
common by the unit owners in
equal shares; one for each unit
3. Rights of a condominium owner (subject to
master deed’s limitations):
a. Non-exclusive easement for
ingress, egress, and support
through the common areas
b. Right to paint, repaint, tile, wax,
paper or refinish and decorate the
inner surface of the walls, ceilings,
floors, windows and doors
bounding his/her own unit
c. Exclusive right to mortgage,
pledge, or encumber
d. Absolute right to sell or dispose of
his condominium
4. Common areas shall remain undivided and
there shall be no judicial partition subject to
Sec. 8 of the Condominium Law
3. Rights of Co-owners
a. Right to Share in the Benefits as
Well As the Charges [Art. 485, CC]
i. Proportionality – The share of the
co-owners shall be proportional to
their respective interests. Any
stipulation to the contrary is void. [Art.
485, par. 1, CC]
ii. Presumption of Equal share – The
portions belonging to the co-owners in
the co-ownership shall be presumed
equal, unless the contrary is proved.
[Art. 485, par. 2, CC]
U.P. LAW BOC PROPERTY
b. Right to Use the Thing Owned In
Common [Art. 486, CC]
Limitations
1. In accordance with the purpose for which
the co-ownership is intended.
a. The purpose for which the co-
ownership may be changed by
agreement, express or implied
2. In such a way as to not injure the interest
of the co-ownership
3. In such a way as not to prevent the other
co-owners from using it according to their
right.
c. Right to Bring an Action in
Ejectment [Art. 487, CC]
Actions contemplated: Covers all cases for
recovery of possession (forcible entry, unlawful
detainer, accion publiciana, replevin, accion
reinvidicatoria). Action is considered to be filed
to benefit all the co-owners.
A co-owner may bring such an action without
joining all the other co-owners as co-plaintiffs
because the suit is presumed to have been
filed to benefit his co-owners. If the plaintiff/co-
owner claims to be the sole owner, the action
should be dismissed. [Adlawan v. Adlawan,
G.R. No. 161919, (2006)]
d. Right to Compel Other Co-Owners
to Contribute to the Expenses of
Preservation and to the Taxes [Art.
488, CC]
General Rule: Each co-owner shall have a
right to compel the other co-owners to
contribute:
1. To the necessary expenses (incurred for
preservation of the thing or right). If
practicable, he must first notify his co-
owners of the necessity for such repairs.
[Art. 489, CC]
2. To the taxes [Art. 488, CC]
Exception to paying necessary expenses
and taxes: Co-owner no longer has to pay if he
renounces his undivided interest as equivalent
Page 148 of 532
CIVIL LAW
to his share of expenses and taxes. [Art. 488,
CC] This means that his/her renunciation does
not cover all of his/her interest in the property
co-owned.
Exception to Exception: No waiver shall be
made if prejudicial to co-ownership. [Art. 488,
CC]
1. Expenses to improve or embellish the thing
shall be decided upon by a majority as
determined in Art. 492, NCC.
2. As for the expenses for pure luxury or mere
pleasure, these are not refundable for not
serving purposes of preservation. [Art. 548,
CC]
e. Right to Reimbursement for
Necessary Repairs [Art. 488-489,
CC]
General rule: A co-owner has the right to
compel the other co-owners to contribute to the
expenses of preservation, maintenance, or
necessary repairs of the thing or right owned in
common and to the taxes. [Art. 488, CC]
Requirement of notice: If practicable, the co-
owner must first notify the co-owners of the
necessity for the repairs. [Art. 489, CC]
Exception to the requirement of notice: If
impracticable or where the repairs are very
urgent, and the other co-owners are in remote
places and cannot be reached by an ordinary
means of communication. This means that
his/her renunciation does not cover all of
his/her interest in the property co-owned.
Lack of notice even if practicable: Does not
exempt other co-owners to contribute. The co-
owner who advanced them has the burden of
proving that they were properly incurred.
When Majority opposes repairs: If necessary,
repairs insisted by once were not done and it
resulted to damages those who made the
opposition shall be responsible for damages.
[Paras quoting 3 Manresa 448].
U.P. LAW BOC PROPERTY
f. Right to Oppose Alternations [Art.
491, CC]
General Rule: Unanimous Consent: None of
the co-owners shall, without the consent of the
others, make alterations in the thing owned in
common, even though benefits for all would
result therefrom.
Rationale: Alteration is an act of ownership.
Alteration – a change in the nature or use of a
thing; it contemplates a PERMANENT
CHANGE. Examples:
• Change of the thing from the state or
essence in which the others believe it
should remain
• Withdrawal of the thing from the use to
which they wish it to be intended
• Any other transformation which prejudices
the condition or substance of the thing or
its enjoyment by the others. [Manresa]
Examples of alterations
• The construction of a house on the co-
owned property is an act of dominion. It is
an alteration of the property owned in
common. [Cruz v. Catapang, 544 SCRA
2008]
• Mortgage, donation, or sale of a portion or
the whole of the property co-owned
• Allowing or entering into an easement
Exception: If the withholding of the consent by
one or more of the co-owners is clearly
prejudicial to the common interest, the
courts may afford adequate relief.
g. Right to Full Ownership of His Part
and of the Fruits and Benefits
Pertaining Thereto [Art. 493, CC]
As a result, the co-owner has a right to:
1. Alienate;
2. Assign;
3. Mortgage; and
4. Substitute another person in its enjoyment.
Note: Actions above can only pertain to the co-
owner’s ideal share prior to partition.
Page 149 of 532
CIVIL LAW
Exception
1. When personal rights are involved; and
2. Effect of alienation or mortgage, with
respect to co-owners shall be limited to the
portion which may be allotted to him in the
division upon the termination of the co-
ownership
h. Right to Partition [Art. 494, CC]
Definition of Partition: Separation, division
and assignment of a thing held in common
among those to whom it may belong. Partition
may be inferred from circumstances sufficiently
strong to support the presumption. [Maestrado
v. Court of Appeals, 327 SCRA 678 (2000)]
General Rule
1. No co-owner shall be obliged to remain in
the co-ownership; and
2. Each co-owner may demand at any time
the partition of the thing owned in common,
insofar as his share is concerned. [Art. 494
par.1, CC]
Note: An assignee of a co-owner may take part
in the division of the thing owned in common
and object to its being effected without their
concurrence. But they cannot impugn any
partition already executed unless there has
been fraud or in case it was made
notwithstanding a formal opposition to prevent
it. [Budlong v. Pondoc, 79 SCRA 24 (1977)]
Limitations
• An agreement to keep the thing undivided
for a certain period of time, not exceeding
10 years, shall be valid. [Art. 494, CC]
• A donor or testator may prohibit partition for
a period which shall not exceed 20 years.
[Art. 494, CC]
• Neither shall there be any partition when it
is prohibited by law. [Art. 494, CC]
• When physical partition would render the
thing unserviceable for the use for which it
is intended. [Art. 495, CC]
Exception: If it is indivisible (physical partition
not possible), allot to one of the co-owners who
shall indemnify others, or have it sold and
divide the process from the sale. [Art. 498, CC]
U.P. LAW BOC PROPERTY
• When another co-owner has possessed
the property as exclusive owner and for a
period sufficient to acquire it by
prescription.
Note: No prescription shall run in favor of a co-
owner or co-heir against his co-owners or co-
heirs so long as he expressly or impliedly
recognizes the co-ownership. [Art. 494, CC]
For prescription to run in favor of a co-owner,
the following elements must concur to show
adverse possession of a co-owner:
1. He has performed unequivocal acts of
repudiation amounting to an ouster of the
other co-owners;
2. Such positive acts of repudiation have
been made known to the other co-owners;
and
3. The evidence thereon must be clear and
convincing. [Salvador v. CA, supra]
Sample of Acts of Repudiation
1. Filing of actions in court like quieting of title,
accion reinvidicatoria and other similar suit
2. Co-owner who causes cancellation of the
existing title and petitions for an issuance
of a new title in his favor
3. Co-owner who permanently fences the
property and hires security personnel to
prevent other co-owners from entering the
property
i. Right to Redemption [Art. 1619,
CC]
Definition
Legal redemption – the right to be
subrogated, upon the same terms and
conditions stipulated in the contract, in the
place of one who acquires a thing by purchase
or dation in payment, or by any other
transaction whereby ownership is transmitted
by onerous title [Art. 1619, CC].
General Rule: A co-owner of a thing may
exercise the right of redemption in case the
shares of all the other co-owners or of any of
them are sold to third person. [Art. 1620, CC]
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CIVIL LAW
As legal redemption is intended to minimize co-
ownership, once a property is subdivided and
distributed among the co-owners, the
community ceases to exist and there is no
more reason to sustain any right of legal
redemption. Every act intended to put an end
to indivision among co-heirs is deemed to be a
partition. [Avila vs. Sps. Barabat, supra]
j. Right to Participate in
Administration of Property Owned
In Common [Art. 492, CC]
General Rule
a. For the administration and better
enjoyment of the thing owned in common,
the resolutions of the majority of the co-
owners shall be binding. [Art. 492 par. 1,
CC]
b. There shall be no majority unless the
resolution is approved by the co-owners
who represent the controlling interest in the
object of the co-ownership. [Art. 492 par. 2,
CC]
Exceptions to acts of administration only
by majority
• If there be no majority; or
• If the resolution of the majority is seriously
prejudicial to those interested in the
property owned in common.
• In which case, the court will intervene: the
court, at the instance of an interested party,
shall order such measures as it may deem
proper, including the appointment of an
administrator.
Examples of acts seriously prejudicial
• Call for a substantial change of the thing
• Authorizing leases, loans, and other
contracts without the necessary security,
thereby exposing the property to serious
danger
• Continued employment of an administrator
who is guilty of fraud or negligence in his
management [Manresa]
Note: A co-owner is entitled to a written notice
from a selling co-owner in order to remove all
uncertainties about the sale, its terms and
U.P. LAW BOC PROPERTY CIVIL LAW

conditions, as well as its efficacy and status. Consensus of all co-

[Verdad v. Court of Appeals, 256 SCRA 593 Lease for more owners (considered an act
(2000)] than 1 year of alteration, see
Tolentino)
k. Other Rules Acts of
administration
1. Renunciation of Share (ex. Payment of Majority of co-owners [Art.
taxes/association
General Rule: A co-owner may exempt dues, hiring 492, CC]
contractors to do
himself from the payment of expenses of
minor repairs)
preservation by renouncing his undivided
interest in the co-ownership as may be Improvement/
equivalent to his share in the necessary Embellishing
expenses and taxes. [Art. 488, CC] the Thing/
Useful Majority of co-owners
A co-owner who has not waived his share in expenses (ex. [Arts. 489 and 492, CC]
Swimming pool,
the co-ownership may be compelled to pay his CCTV,
share in the cost of its maintenance, but he landscaped
may not be compelled to renounce. gardens, etc.)

Waiver of renunciation is not allowed if it is 3. Multi-Story House [Art. 490, CC]

prejudicial to the co-ownership. [Art. 488, CC]
2. Repairs for Preservation,
Embellishment, or Improvements
General rule: Requires consent of majority of
co-owners representing the controlling interest
in the undivided thing. [Art. 489 and 492, CC]
Applies when:
• The different stories of a house belong to
different owners;
• The titles of ownership do not specify the
terms under which they should contribute
to the necessary expenses; and
• There exists no agreement on the subject.

Note: The rules under Art. 492 are Part of the

applicable, so judicial intervention may be Manner of Contribution
House
resorted to. Main and party
walls, the roof, All owners contribute in
Summary and the other proportion to the value of
Act of Co- things used in the story belonging to each
Consent Needed common
Owner
Floor of the
Preservation entrance, front
(ex. Critical door, common All owners contribute pro
maintenance yard, and
May be made at will by rata or equally
work – roof leaks, sanitary works
cracks in the any co-owner, but
common to all
walls, electrical preferably notice is given
The floor of Each owner bears the cost
wiring system to others. [Arts. 488 and
which renders each co- of maintaining the floor of
489, CC] owner’s story
property his story
unsafe/unhealthy
to live in)
Alterations (ex. Consensus of all co-
Sale, mortgage,
assignment)
owners [Art. 491, CC]

Page 151 of 532

U.P. LAW BOC PROPERTY
vendee, then it means that the latter can
gain access to the object)
• Traditio longa manu – the transferor
points out to the transferee the things
which are being transferred, or they merely
agree or consent that delivery has been
effected
c. By the proper acts and legal
formalities established for
acquiring such right
Acquisition by virtue of a just title such as when
property is transmitted by succession,
donation, contract, or execution of a public
instrument, etc.
Who Acquires Possession [Arts. 532-534,
CC]
a. The same person who is to enjoy it
b. His legal representative
c. His agent
d. Any person without any power whatsoever
General rule: Only acquired upon
ratification
Exception: In cases of negotiorum gestio
(Person who voluntarily manages the
property or business of another. In this
case, the stanger’s possession takes effect
even without ratification by the property
owner)
e. His heirs
• If there is bad faith on the part of the
decedent: The effects of the
decedent’s wrongful possession will
not affect his heirs. The heir suffers the
consequences of such possession only
from the moment he becomes aware of
the flaws affecting the decedent’s title
[Art. 528 as cited in De Leon].
• If there is good faith on the part of the
decedent: The effects of the
decedent’s possession will benefit the
heirs only from the date of his death.
Legal Capacity to Acquire Possession [Art.
535, CC]
Minors and incapacitated persons may acquire
possession BUT they need the assistance of
Page 155 of 532
CIVIL LAW
their legal representatives to exercise their
rights arising from such possession.
Preference of Possession [Art. 538, CC]
General Rule: Possession as a fact cannot be
recognized at the same time in two different
personalities
Exception: Co-possession
In case a dispute arises, the order of
preference is as follows:
a. The present possessor shall be preferred
b. If there are two possessors, the one longer
in possession is preferred
c. If the dates of the possession are the same,
the one who presents a title is preferred
d. If all the foregoing conditions are equal, the
thing shall be placed in judicial deposit
pending determination of its possession or
ownership through proper proceedings.
What Does Not Affect Possession
a. Acts merely tolerated [Art. 537, CC]
• Those which because of
neighborliness or familiarity, the owner
of property allows another person to do
on the property [Tolentino]
• Permissive use merely tolerated by the
possessor cannot affect possession
and cannot be the basis of acquisitive
prescription. [Art. 1119, CC]
o Possession to constitute the
foundation of prescriptive right
must be possession under
claim of title; it must be
adverse. [Cuaycong v.
Benedicto, G.R. No. L-9989
(1918)]
• A possessor by tolerance is
necessarily bound by an implied
promise to vacate upon demand, failing
which a summary action for ejectment
is the proper remedy against him.
[Peran vs. CFI, G.R. No. L-57259,
(1983)]
U.P. LAW BOC PROPERTY
(i.e. before summons, or demand;
see Art. 528 for when possession
in good faith is interrupted)
• Fruits still pending [Art. 545, CC]
o Entitled pro-rata to the fruits
already growing when his
possession is legally interrupted.
2. As to the Necessary Expenses [Art.
546, (1), CC]
Definition: necessary for the
preservation of the thing [Art. 452, CC
by analogy]. The possessor in good
faith may retain the thing until he is
reimbursed for necessary expenses.
3. As to the Useful Expenses [Arts. 546
(2) and 547, CC]
• Definition: incurred to give greater
utility or productivity to the thing
o They are reimbursed only to the
possessor in GF as a • Right to be respected in possession;
compensation or reward for him.
Possessor in BF cannot recover
such expenses.
o The possessor in good faith may
retain the thing until he is
reimbursed for useful expenses.
o The person who defeats the
possessor in possession has the
option to:
o Refund the amount of
expenses; or
o Pay the increase in value
which the thing may have
acquired.
o The possessor has the option of
removing the useful improvements,
provided there is no damage to the
principal thing. [Art. 547, CC]
o Exception: When the
option to pay for the value
of the expenses or the
increase in value of the
thing is exercised by the
person who recovered
possession.
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CIVIL LAW
4. As to Ornamental Expenses or
Expenses for Pure Luxury [Art. 548,
CC]
The possessor in good faith is not
entitled to a refund for ornamental
expenses. But he may remove the
ornamental improvements if they do
not cause damage to the principal
thing.
Exception: The one who recovers
possession decides to refund the
ornamental expenses/ expenses for
pure luxury.
POSSESSOR IN BAD FAITH
1. Possessor in Bad Faith
• One who is aware that there exists in
his title or mode of acquisition a flaw
which invalidates it. [Art. 526, CC]
2. Rights of a possessor in bad faith
[Art. 539, CC]
• Right to necessary expenses and the
expenses for production, gathering,
and preservation of fruits [Arts. 545 and
546; Art. 443, CC]
• Does not have right to reimbursement
of expenses for luxury but may remove
them as long as the principal thing
suffers no injury or may sell them to the
owner who opts to buy the removable
ornaments. [Art. 549, CC]
• No right to reimbursement for useful
improvements and no limited right of
removal.
4. Loss of Movable or Unlawful
Deprivation of a Movable
One who has lost any movable or has been
unlawfully deprived thereof, may recover it
from the person in possession of the same.
[Art. 559, CC]
Note: Relate this to Art. 556 which states that
the possession of movables is not deemed
LOST so long as they remain under the control
U.P. LAW BOC PROPERTY
b. In the concept of holder
c. In the concept of owner
d. In good faith or in bad faith
Possession for Oneself, or
Possession Exercised in One’s
Own Name and Possession in
the Name of Another [Art. 524,
CC]
1. In one’s own name – the fact of
possession and the right to such
possession is found in the same
person.
2. In the name of another – the one in
actual possession is without any right
of his own, but is merely an instrument
of another in the exercise of the latter’s
possession. It can either be:
● Voluntary – when exercised by
virtue of an agreement, e.g. agents or
administrators appointed by the
owner or possessor. Third person
may also voluntarily exercise
possession in the name of another,
but it does not become effective
unless ratified by the person in
whose name it is exercised.
● Necessary or legal – when
exercised by virtue of law, e.g.
representatives who exercise
possession in behalf of a conceived
child, juridical persons, persons not
sui juris, and the CPG.
Possession in the Concept of
Holder with the Ownership
Belonging to Another [Art. 525,
CC]
One who possesses as a mere holder, not in
the concept of owner, acknowledges in another
a superior right which he believes to be
ownership, whether his belief is right or wrong,
e.g. tenant, usufructuary, borrower in
commodatum.
Examples of Possession in Concept of Holder
a. Lessees
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CIVIL LAW
b. Trustees, including: parents over the
properties of their children; and husband
and wife over each other’s property
c. Antichretic Creditors
d. Agents
e. Attorneys regarding their client’s properties
f. Depositaries
g. Co-Owners
Possession in the Concept of
an Owner
i. Concept of ‘Owner’
• Other people believe through one’s
actions, that he or she is the owner
of the property and is considered in
the opinion of others as owner
• Regardless of good faith or bad
faith
• Contrary to concept of holder
wherein one recognizes another to
be the owner of the property
• May be exercised by the owner
himself or one who claims to be so.
• DOES NOT refer to the
possessor‘s inner belief or
disposition regarding the property
in his possession.
ii. Possession in the Concept of Owner
• Possession in the concept of an
owner refers to his overt acts which
tend to induce the belief on the part
of others that he is the owner.
• Possession in the concept of an
owner is ius possidendi.
• If a person possesses in the
concept of owner—he may
eventually become the owner by
prescription
○ Thus, a possessor merely in
the concept of holder cannot
acquire property by acquisitive
prescription—one cannot
recognize the right of another
and at the same time claim
adverse possession.
U.P. LAW BOC PROPERTY CIVIL LAW

grantor of the usufruct is the jus Legal: as provided by law.

disponendi. Usufruct of parents over
• Usufructuary must preserve the form or the property of
substance of the thing. (ex: Usufruct over a unemancipated children.
house to be used as a dwelling by the (now limited to the
usufructuary cannot be transformed into a collective daily needs of the
boarding house where other people can family) [Art. 226, CC]
occupy the same – akin to De Leon’s Mixed: created both by law
comments, p. 413) and the acts of persons, i.e.
• Preservation is a natural requisite, not by acquisitive prescription.
essential because the title constituting it, The rights and duties of the
the will of the parties, or the law may usufructuary provided by
provide otherwise. law may be modified or
• Usufruct is extinguished by the death of the eliminated by the parties. If
usufructuary. the usufructuary is
• A person cannot create a usufruct over his authorized to alienate the
own property and retain it at the same time. thing in case of necessity, it
[De Leon quoting Gaboya v. Cui, 38 SCRA is the usufructuary who
85 (1981)] determines the question of
necessity
Reasons for preserving form and Simple: only one
substance usufructuary enjoys the
• To prevent extraordinary exploitation; property.
• To prevent abuse, which is frequent; Multiple: several
• To prevent impairment. usufructuaries enjoy the
property as co-
Exception: In an abnormal usufruct, alteration usufructuaries.
is allowed. Simultaneous: at the
same time.
2. Classification Successive: one after the
other.
Voluntary: created by the As to Limitations
will of private persons Number of • If by donation, ALL
• By act inter vivos – such Beneficiaries donees must be alive. [Art.
as contracts and 756, CC]
donations: • Fiduciary and the second
• By donation of the heir must be alive at the
usufruct; time of the death of the
As to Manner • By retention of the testator. [Art. 863, CC]
of Creation usufruct by donor; • If by testamentary
• Where a usufruct is succession, there must be
constituted inter vivos and only 2 successive
for valuable consideration, usufructuaries, and both
the contract is must be alive or at least
unenforceable unless in already conceived at the
writing; time of the testator’s death
• By act mortis causa – and later born alive. [Art.
such as testament 869, CC]
As to Object Rights: Must not be strictly
of Usufruct personal or
intransmissible.

Page 163 of 532

U.P. LAW BOC PROPERTY CIVIL LAW

Normal: involves non- i.e. over an entire

consumable things which patrimony, a while
the usufructuary can enjoy inheritance of a
without altering their form compulsory heir, a
or substance (e.g. form and dowry;
substance are preserved).
SPECIAL CASES OF USUFRUCT
Abnormal or irregular:
when the usufruct includes a. Usufruct over a Pension or a Periodical
things which cannot be Income [Art. 570, CC]
used in a manner Covers the right to receive: 1) rent or periodical
appropriate to its nature pensions in money or fruit; 2) interest on bonds
without being consumed, or securities; and 3) enjoyment of benefits from
and if not consumed, may an industrial/commercial enterprise.
be useless. (ex: money,
grain, liquors, per De Leon Each payment/benefit shall be considered a
p. 414). civil fruit. Being a civil fruit, the usufructuary is
Quasi-usufruct [Art. 574, entitled to it in proportion to the time the
CC] Includes things which usufruct lasts. The date when the benefits
cannot be used without accrue determines whether they should belong
being consumed. Money to the usufructuary or to the owner. [De Leon,
may be the object of p. 423]
usufruct.
Pure – without term or b. Usufruct of Property Owned in Common
condition [Art. 582, CC]
The usufructuary takes the place of the co-
With a term – with a period,
owner as to:
which may either be
1. Management;
As to suspensive (from a certain
2. Fruits; and
Effectivity day) or resolutory (to a
3. Interest.
certain day)
Conditional – subject to a
Rationale: A co-owner has full ownership of his
condition which may either
part and he may alienate, assign, mortgage or
be suspensive (from a
give it in usufruct without the consent of the
certain event) or resolutory
others [Art. 489, CC]
(until a certain event)
Total: all
Note: If a co-owner gives the usufruct of his
consumed by the
share to a person, the usufructuary shall
usufruct.
exercise all the rights pertaining to the co-
As to Partial:
owner regarding the administration and the
Fruits constituted only on
collection of fruits.
a part or certain
As to Extent aspects of the
Effect of partition:
of the usufruct’s fruits.
1. The right of the usufructuary is not
Usufruct Singular: only on affected by the division of the property
particular property in usufruct among the co-owners but
As to of the owner. he is considered bound by such
the Universal: partition made by the owners of the
object pertains to the property.
usufruct over
universal property,

Page 164 of 532

U.P. LAW BOC PROPERTY
2. After partition, the usufruct is
transferred to the part allotted to the co-
owner.
c. Usufruct Constituted on a Flock or Herd
of Livestock [Art. 591, CC]
! On sterile stock: same rules on fungible
property govern. (i.e. it is an abnormal
usufruct – may dispose of or consume
the animal [Art. 574, CC]
! ON FRUITFUL STOCK: Must replace
ordinary losses of the stock with the
young if:
1. Some animals die from natural
causes; or;
2. Some animals are lost due to
rapacity of beasts of prey.
Note: If the number of the young
produced is less than the animals that
died from natural causes or due to
beasts of prey, then the usufructuary
does not have to replace those which
are in excess of the young that he
currently has.
! No obligation to replace if:
1. There is a total loss of animals
because of some unexpected or
unnatural loss (like contagious
disease or any other uncommon
event, provided the usufructuary
has no fault); or
2. All perish, the usufructuary should
deliver the remains to the owner. If
there is partial loss, the usufruct
subsists on the remainder.
d. Usufruct over Fruit Bearing Trees and
Shrubs and Woodlands [Arts. 575-577,
CC]
The usufructuary may fell or cut trees in
accordance to the following:
1. Habitual felling or cutting of the owner;
2. Customs of the place as to manner,
amount, and season
Note: The rule in accession if a tree falls on
another’s land - he cannot fell or cut trees in a
manner that will prejudice the land. The
usufructuary may make necessary thinnings to
Page 165 of 532
CIVIL LAW
ensure that the remaining trees may properly
grow.
e. Usufruct on a Right of Action to Recover
Property or Real Rights Over Property
[Art. 578, CC]
● The action may be brought in the name
of the usufructuary.
● If the purpose is the recovery of the
property or right, he also has the right
to oblige the owner to give the authority
for such purpose, as well as to furnish
him whatever pieces of evidence he
may have.
● Relate to Rule 3, Sec. 2 of the Rules of
Court or any amendments in relation
thereto as usufructuary being a real
party in interest.
f. Usufruct on Mortgaged Property [Art.
600, CC]
• If the usufruct is over the entire
patrimony of the owner, Art. 598, CC
should apply. If the usufructuary
mortgaged the usufruct himself, he is
liable to pay his own debt.
g. Usufruct over an Entire Patrimony [Art.
598, CC]
Applies when:
1. The usufruct is a universal one;
2. The naked owner has debts or is
obliged to make periodical payments
General Rule: The usufructuary is NOT
liable for the owner’s debts.
Exceptions:
1. When stipulated, in which case the
usufructuary shall be liable for the debt
specified
2. If there is no specification, he is liable
only for debts incurred by the owner
before the usufruct was constituted
3. When the usufruct is constituted in fraud
of creditors
h. Usufruct over Property that Deteriorates
[Art. 573, CC]
• Definition of Deteriorates: Without
being consumed, gradually deteriorate
U.P. LAW BOC PROPERTY
6. Rights of the Possessor
Possessor In Good Faith [Arts.
526-527, 544, 546-547, 548, 552,
1132, 1134, CC]
i. Possessor in Good Faith
One who is unaware that there exists a flaw
which invalidates his acquisition of the thing.
He believes that the person from whom he
received a thing was the owner of the same
and that therefore he is now the owner based
upon ostensible title or mode of acquisition,
e.g. sale, donation, inheritance, or other means
of transmitting ownership. [Art. 526, CC]
ii. Rights of a Possessor in Good Faith:
1. Fruits [Art. 544, CC]
2. Refund of necessary expenses [Art. 546,
CC]
3. Refund of useful expenses [Art. 546, CC]
4. Right of retention when there are unpaid
necessary or useful expenses [Art. 546,
CC]
5. Removal of useful/ornamental
improvements without damage to the
principal thing [Arts. 546-547, CC]
6. No liability for deterioration or loss, except
in cases of fraudulent intent or negligence
[Art. 552, CC]
7. May acquire full ownership by prescription
[Arts. 1117-1138, CC]
8. Presumption of just title [Art. 541, CC]
9. Can ask for the inscription of possession in
the Registry of Property [Art 708, CC]
10. Generally, he/she can do on the things
possessed everything that the law
authorizes an owner to do until he/she is
ousted by one who has a better right
11. Can exercise the right of pre-emption and
is entitled to indemnity in case of
appropriation
12. Has presumption of continuity of good faith
[Arts. 528-529, CC]
13. Non-interruption of possession
(possession during intermediate period)
[Arts. 554 and 561, CC]
Page 160 of 532
CIVIL LAW
14. Right to be respected and
protected/restored in his/her possession by
the means established by the laws and the
Rules of Court. [Art. 539, CC]. These
include summary actions (forcible entry
and unlawful detainer), accion publiciana,
and action for replevin. Accion
reivindicatoria is not included. “Every
possessor” – includes all kinds of
possession, from that of an owner to that of
a mere holder, except that which
constitutes a crime.
15. Lawful possessor can employ self-help
[Art. 429, CC]
16. Possession of an immovable extends to
the movables within or inside [Arts. 542
and 426, CC]
Exception: When it is shown or proven that
such movables should be excluded
iii. Other Consequences:
1. Possession is converted into ownership
after the required lapse of time necessary
of prescription [Art. 540, CC]
● To consolidate title by prescription,
the possession must be under claim
of ownership, and it must be
peaceful, public and uninterrupted.
[Art. 1118, CC]
● Acts of possessory character done
by virtue of a license or mere
tolerance on the part of the real
owner are not sufficient and will not
confer title by prescription or adverse
possession. [Art. 1119, CC]
● The following cannot acquire title by
prescription:
○ Lessees, trustees, pledges,
tenants on shares or planters,
and all those who hold in the
name or in representation of
another.
○ Mere holders placed in
possession of the property by the
owner such as agents and
employees.
○ Those holding the title in a
fiduciary character such as
receivers, attorneys,
U.P. LAW BOC PROPERTY CIVIL LAW

RIGHTS OF USUFRUCTUARY N.B. In the case of civil

fruits, no need to
a. Rights as to the Thing and its Fruits prorate,
as civil fruits accrue
[SER3IAL: Set-off, Enjoy, Receive, Remove, daily [Art. 544, CC]
Retain, Improve, Accession, Lease]
a. To enjoy the property personally [Art. 572, Right to Civil Fruits – deemed to accrue daily
CC] and belong to the usufructuary in proportion to
b. To receive the fruits of the property [Art. the time the usufruct may last. [Art. 569, CC]
567, CC]
Special Rule as to Usufruct on Rent,
b. Right to natural and industrial fruits Pension or Interest
pending at the beginning of usufruct Whenever a usufruct is constituted on the right
to receive a rent or periodical pension, whether
Fruits in money or in fruits, or in the interest on bonds
pending at Fruits pending at the or securities payable to bearer, each payment
the termination of the due shall be considered as the proceeds or
beginning of usufruct fruits of such right. [Art. 570 par. 1, CC]
the usufruct
Belong to the Belong to the naked owner Special Rule as to benefits from enterprise
usufructuary with no date fixed for distribution:
Without need The owner shall reimburse Whenever it consists in the enjoyment of
to reimburse to the usufructuary ordinary benefits accruing from a participation in any
the expenses cultivation expenses from industrial or commercial enterprise, the date of
to the owners the proceeds of the fruits the distribution of which is not fixed, such
(not to exceed the value of benefits shall have the same character. [Art.
the fruits) 570 par. 2, CC]

Fruits pending Special Rule for a Usufruct over a co-owned

Fruits pending at the at the property:
beginning of the termination of To exercise all rights of the particular co-owner
usufruct the with respect to the administration and
usufruct collection of fruits/interests from the aliquot
Without prejudice to the Rights of innocent share of property [Art. 582, CC]
right of 3rd persons e.g. 3rd parties should
if the fruits arose by not be Should co-ownership cease by reason of
building, planting, prejudiced. partition, the usufruct of the part allotted to the
sowing by a possessor co-owner shall still belong to the usufructuary.
in good faith, the
pending crop expenses c. Right to lease the thing in usufruct
of cultivation and of the [Art. 572, CC]
net harvest and
charges shall be i. Can be leased without consent
prorated between said of owner.
possessor and the
usufructuary in Exceptions:
proportion to the time of • Caucion Juratoria, wherein the lease
possession [Art. 545, would show that the property is not
CC] needed by the usufructuary and
therefore the use for which the usufruct
was constituted is changed.

Page 167 of 532

U.P. LAW BOC PROPERTY
depositaries, and antichretic
creditors.
○ Co-owner, with regard to
common property:
Exception: When he/she holds the
same adversely against all of the other
co-owners with notice to them of the
exclusive claim of ownership.
2. Entitlement to fruits/expenses: Possessor
in Good Faith [Arts. 544, 526-527, CC]
As to the fruits
• Fruits already received [Art. 544(1), CC]:
Entitled to all the fruits received before
possession is legally interrupted. (i.e.
before summons)
• Fruits still pending [Art. 545, CC]: Entitled
to prorate the fruits already growing when
possession is legally interrupted.
As to necessary expenses [Art. 546(1), CC]
• Imposed by the thing itself and have no
relation to the desire or purpose of the
possessor; hence they are reimbursed,
whatever may be the juridical character of
the person who advanced them.
• The possessor in good faith may retain the
thing until he/she is reimbursed for
necessary expenses.
As to useful expenses [Arts. 546 (2) and
547, CC]
• Incurred to give greater utility or
productivity to the thing.
• They are reimbursed only to the possessor
in good faith as a compensation or reward.
A possessor in bad faith cannot recover
such expenses.
• The possessor in good faith may retain the
thing until he/she is reimbursed for useful
expenses.
• The other party has the option to:
○ Refund the amount of
expenses; or
○ Pay the increase in value which
the thing may have acquired.
Page 161 of 532
CIVIL LAW
As to ornamental expenses or expenses for
pure luxury [Art. 548, CC]
• The possessor in good faith is not entitled
to a refund for ornamental improvements
but such improvements may be removed if
they do not cause damage to the principal
thing.
Possessor in Bad Faith
i. Definition
One who is aware that there exists in his/her
title or mode of acquisition any flaw which
invalidates it. [Art. 526, CC]
ii. Requisites:
1. Possessor has a title or mode of
acquisition;
2. There is a flaw or defect in said title or
mode;
3. Examples of vice or defect in title:
● Grantor was not the owner.
● Requirements for transmission were not
complied with.
● Mistake in the identity of the person.
● Property was not really res nullius.
4. The possessor is aware of the flaw or
defect in the title.
iii. Rights of a Possessor in Bad Faith:
1. Right to be respected in possession. [Art.
539, CC]
2. Right to necessary expenses and the
expenses for production, gathering, and
preservation of fruits. [Arts. 545-546, CC]
3. Does not have right to reimbursement of
expenses for luxury but may remove them
as long as the principal thing suffers no
injury or may sell them to the owner who
opts to buy the removable ornaments. [Art.
549, CC]
4. No right to reimbursement for useful
improvements and no limited right of
removal. [Art. 546, CC]
5. Right to remove ornamental improvements
or be paid the value of such at the time of
recovery but at the owner’s option.
U.P. LAW BOC PROPERTY
Except
1. Parental usufruct [Arts. 225 and 226, FC]
2. Usufruct given in consideration of the
person of the usufructuary intended to
last during his lifetime
ii. To bring action and oblige the owner
to give him proper authority and
necessary proof in cases of usufruct
to recover real property, real right,
or movable property [Art. 578, CC]
The action may be brought in the name of the
usufructuary.
If a favorable judgement is obtained, the
usufruct shall be limited to the fruits, and the
naked ownership shall belong to the owner.
[Art. 578, CC]
OBLIGATIONS OF USUFRUCTUARY
i. Obligations at the beginning of the
usufruct or before exercising the
usufruct
• To make, after notice to the owner or his
legitimate representative, an inventory of
all the property, which shall contain an
appraisal of the movables and a
description of the condition of the
immovables [Art. 583 (1), CC]
Exceptions to making inventory
a. No one will be injured thereby [Art. 585,
CC]
b. Title constituting usufruct excused the
making of inventory.
c. Title constituting the usufruct already
made the inventory.
• To give security, binding himself to fulfill
the obligations imposed upon him in
accordance with this Chapter. [Art. 583 (2),
CC]
Exceptions to Giving Security
1. No prejudice would result; [Art. 585,
CC]
2. Usufruct is reserved by a donor; [Art.
584, CC]
Page 169 of 532
CIVIL LAW
3. Gratitude on the donee’s part demands
that the donor be excused from filing
the bond.
4. Title constituting usufruct excused
usufructuary.
5. A usufructuary may take possession
under a caucion juratoria (bond by
oath) [Art. 587, CC]
6. When there is waiver by the naked
owner [Paras (Property), p. 612].
7. When the usufructuary is the donor of
the property who has reserved the
usufruct [Art. 584, CC].
8. When there is a parental usufruct
under the Family Code [Art. 225, CC].
Requisites of Caucion juratoria:
1. Proper court petition;
2. Usufruct is over a house, furniture or
tools of a trade and the necessity for
delivery of furniture, implements or
house included in the usufruct;
3. Approval of the court; and
4. Sworn promise.
Note: These requirements are not conditions
precedent to the commencement of the right of
the usufruct but merely to the entry upon the
possession and enjoyment of the property.
Effect of failure to give bond: [Art. 586, CC]
a. The owner may demand that the
immovable properties be placed under
administration;
b. That the movable properties be sold and
the proceeds of the sale be the property
held in usufruct – legal interest of 6% shall
be the fruits;
c. That the public bonds, instruments of credit
payable to order or to bearer be converted
into registered certificates or deposited in a
bank or public institution; and
d. That the capital or sums in cash and the
proceeds of the sale of the movable
property be invested in safe securities.
e. The owner may, until the usufructuary
gives security, retain in his possession the
property in usufruct as administrator,
subject to the obligation to deliver to the
usufructuary the net proceeds, after
deducting the sums, which may be agreed
U.P. LAW BOC PROPERTY
iv. Obligations of a Possessor in Bad
Faith:
1. Reimburse the value of fruits received and
which the legitimate possessor could have
received. [Art. 549, CC]
2. Pay in proportion to the charges, expenses
of cultivation and the net proceeds upon
cessation of good faith. [Art. 545, CC]
3. Bear the costs of litigation. [Art. 550, CC]
4. Liability to the deterioration/loss of a thing
possessed in every case, including
fortuitous events. [Art. 552, CC]
7. Loss or Termination of
Possession
A possessor may lose his possession [Art.
555, CC]:
1. By the abandonment of the thing;
Note: The one who abandons must have
been a possessor in the concept of an
owner [Paras quoting 4 Manresa 315].
2. By an assignment made to another either
by onerous or gratuitous title;
Note: There should be complete
transmission of ownership to another
person [Paras].
3. By the destruction or total loss of the thing,
or because it goes out of commerce;
4. By the possession of another for more than
one year, subject to the provisions of Art.
537 (acts merely tolerated, clandestine
acts and violence). But the real right of
possession is not lost till after the lapse of
10 years.
Other Causes for loss of possession:
1. Acquisitive prescription;
2. Recovery by another lawfully entitled
person/entity.
Page 162 of 532
CIVIL LAW
G. USUFRUCT
1. Characteristics
Usufruct is a temporary real right which gives a
right to enjoy the property as well as its fruits of
another with the obligation of preserving its
form and substance, unless the title
constituting it or the law otherwise provides.
[Art. 562, CC]
Constituted by: [PILL: Prescription, Inter vivos
acts, Law, Last Will]
1. Law
2. Will of private persons expressed in acts
inter vivos
3. Will of private persons expressed in a last
will
4. Prescription [Art. 563, CC]
Can be constituted over:
1. The whole or part of the fruits of the thing
2. A right, provided it is not strictly personal or
intransmissible. [Art. 564, CC]
General Characteristics
• Nature: It is a real right of the use and
enjoyment of the property, whether or not
the same be registered in the Registry of
Property;
Note: It must be registered in the Registry of
Property to prejudice third persons (Art 709,
CC)
o It is transmissible
• Term: Of temporary duration;
• Purpose: To enjoy the benefits and derive
all advantages from the thing due to normal
exploitation;
• Scope: May be constituted on real or
personal property, consumable or non-
consumable, tangible or intangible, the
ownership of which is vested upon another.
Natural Characteristics
• Includes jus abutendi, jus utendi, jus
fruendi and jus possidendi and jus
vindicandi. The only thing left with the
U.P. LAW BOC PROPERTY CIVIL LAW

grantor of the usufruct is the jus Legal: as provided by law.

disponendi. Usufruct of parents over
• Usufructuary must preserve the form or the property of
substance of the thing. (ex: Usufruct over a unemancipated children.
house to be used as a dwelling by the (now limited to the
usufructuary cannot be transformed into a collective daily needs of the
boarding house where other people can family) [Art. 226, CC]
occupy the same – akin to De Leon’s Mixed: created both by law
comments, p. 413) and the acts of persons, i.e.
• Preservation is a natural requisite, not by acquisitive prescription.
essential because the title constituting it, The rights and duties of the
the will of the parties, or the law may usufructuary provided by
provide otherwise. law may be modified or
• Usufruct is extinguished by the death of the eliminated by the parties. If
usufructuary. the usufructuary is
• A person cannot create a usufruct over his authorized to alienate the
own property and retain it at the same time. thing in case of necessity, it
[De Leon quoting Gaboya v. Cui, 38 SCRA is the usufructuary who
85 (1981)] determines the question of
necessity
Reasons for preserving form and Simple: only one
substance usufructuary enjoys the
• To prevent extraordinary exploitation; property.
• To prevent abuse, which is frequent; Multiple: several
• To prevent impairment. usufructuaries enjoy the
property as co-
Exception: In an abnormal usufruct, alteration usufructuaries.
is allowed. Simultaneous: at the
same time.
2. Classification Successive: one after the
other.
Voluntary: created by the As to Limitations
will of private persons Number of • If by donation, ALL
• By act inter vivos – such Beneficiaries donees must be alive. [Art.
as contracts and 756, CC]
donations: • Fiduciary and the second
• By donation of the heir must be alive at the
usufruct; time of the death of the
As to Manner • By retention of the testator. [Art. 863, CC]
of Creation usufruct by donor; • If by testamentary
• Where a usufruct is succession, there must be
constituted inter vivos and only 2 successive
for valuable consideration, usufructuaries, and both
the contract is must be alive or at least
unenforceable unless in already conceived at the
writing; time of the testator’s death
• By act mortis causa – and later born alive. [Art.
such as testament 869, CC]
As to Object Rights: Must not be strictly
of Usufruct personal or
intransmissible.

Page 163 of 532

U.P. LAW BOC PROPERTY CIVIL LAW

Normal: involves non- i.e. over an entire

consumable things which patrimony, a while
the usufructuary can enjoy inheritance of a
without altering their form compulsory heir, a
or substance (e.g. form and dowry;
substance are preserved).
SPECIAL CASES OF USUFRUCT
Abnormal or irregular:
when the usufruct includes a. Usufruct over a Pension or a Periodical
things which cannot be Income [Art. 570, CC]
used in a manner Covers the right to receive: 1) rent or periodical
appropriate to its nature pensions in money or fruit; 2) interest on bonds
without being consumed, or securities; and 3) enjoyment of benefits from
and if not consumed, may an industrial/commercial enterprise.
be useless. (ex: money,
grain, liquors, per De Leon Each payment/benefit shall be considered a
p. 414). civil fruit. Being a civil fruit, the usufructuary is
Quasi-usufruct [Art. 574, entitled to it in proportion to the time the
CC] Includes things which usufruct lasts. The date when the benefits
cannot be used without accrue determines whether they should belong
being consumed. Money to the usufructuary or to the owner. [De Leon,
may be the object of p. 423]
usufruct.
Pure – without term or b. Usufruct of Property Owned in Common
condition [Art. 582, CC]
The usufructuary takes the place of the co-
With a term – with a period,
owner as to:
which may either be
1. Management;
As to suspensive (from a certain
2. Fruits; and
Effectivity day) or resolutory (to a
3. Interest.
certain day)
Conditional – subject to a
Rationale: A co-owner has full ownership of his
condition which may either
part and he may alienate, assign, mortgage or
be suspensive (from a
give it in usufruct without the consent of the
certain event) or resolutory
others [Art. 489, CC]
(until a certain event)
Total: all
Note: If a co-owner gives the usufruct of his
consumed by the
share to a person, the usufructuary shall
usufruct.
exercise all the rights pertaining to the co-
As to Partial:
owner regarding the administration and the
Fruits constituted only on
collection of fruits.
a part or certain
As to Extent aspects of the
Effect of partition:
of the usufruct’s fruits.
1. The right of the usufructuary is not
Usufruct Singular: only on affected by the division of the property
particular property in usufruct among the co-owners but
As to of the owner. he is considered bound by such
the Universal: partition made by the owners of the
object pertains to the property.
usufruct over
universal property,

Page 164 of 532

U.P. LAW BOC PROPERTY
2. After partition, the usufruct is
transferred to the part allotted to the co-
owner.
c. Usufruct Constituted on a Flock or Herd
of Livestock [Art. 591, CC]
! On sterile stock: same rules on fungible
property govern. (i.e. it is an abnormal
usufruct – may dispose of or consume
the animal [Art. 574, CC]
! ON FRUITFUL STOCK: Must replace
ordinary losses of the stock with the
young if:
1. Some animals die from natural
causes; or;
2. Some animals are lost due to
rapacity of beasts of prey.
Note: If the number of the young
produced is less than the animals that
died from natural causes or due to
beasts of prey, then the usufructuary
does not have to replace those which
are in excess of the young that he
currently has.
! No obligation to replace if:
1. There is a total loss of animals
because of some unexpected or
unnatural loss (like contagious
disease or any other uncommon
event, provided the usufructuary
has no fault); or
2. All perish, the usufructuary should
deliver the remains to the owner. If
there is partial loss, the usufruct
subsists on the remainder.
d. Usufruct over Fruit Bearing Trees and
Shrubs and Woodlands [Arts. 575-577,
CC]
The usufructuary may fell or cut trees in
accordance to the following:
1. Habitual felling or cutting of the owner;
2. Customs of the place as to manner,
amount, and season
Note: The rule in accession if a tree falls on
another’s land - he cannot fell or cut trees in a
manner that will prejudice the land. The
usufructuary may make necessary thinnings to
Page 165 of 532
CIVIL LAW
ensure that the remaining trees may properly
grow.
e. Usufruct on a Right of Action to Recover
Property or Real Rights Over Property
[Art. 578, CC]
● The action may be brought in the name
of the usufructuary.
● If the purpose is the recovery of the
property or right, he also has the right
to oblige the owner to give the authority
for such purpose, as well as to furnish
him whatever pieces of evidence he
may have.
● Relate to Rule 3, Sec. 2 of the Rules of
Court or any amendments in relation
thereto as usufructuary being a real
party in interest.
f. Usufruct on Mortgaged Property [Art.
600, CC]
• If the usufruct is over the entire
patrimony of the owner, Art. 598, CC
should apply. If the usufructuary
mortgaged the usufruct himself, he is
liable to pay his own debt.
g. Usufruct over an Entire Patrimony [Art.
598, CC]
Applies when:
1. The usufruct is a universal one;
2. The naked owner has debts or is
obliged to make periodical payments
General Rule: The usufructuary is NOT
liable for the owner’s debts.
Exceptions:
1. When stipulated, in which case the
usufructuary shall be liable for the debt
specified
2. If there is no specification, he is liable
only for debts incurred by the owner
before the usufruct was constituted
3. When the usufruct is constituted in fraud
of creditors
h. Usufruct over Property that Deteriorates
[Art. 573, CC]
• Definition of Deteriorates: Without
being consumed, gradually deteriorate
U.P. LAW BOC PROPERTY
through wear and tear (e.g. House,
furniture, drapes, equipment). The
usufructuary is not liable for
deterioration due to fortuitous event. [De
Leon, p. 426]
• Right of Usufructuary: To make use of
it in accordance with the purpose for
which they are intended.
• Obligation of Usufructuary: Returns
the things in the condition in which they
may have been found at the time of the
expiration of the usufruct despite
ordinary defects caused by use and
deterioration produced by age and time.
○ Exception: When it is caused by the
usufructuary’s fraud and negligence
(His obligation can be set off against
improvements made on the property
under art. 580)
• If usufructuary does not return the
things upon the expiration of the
usufruct, he should pay an indemnity
equivalent to the value of the things at
the time of such expiration.
i. Usufruct over Consumable Property
[Art. 574, CC]
• Consumable: Cannot be used without
being consumed; example: food.
• Right of Usufructuary: To make use
of them Obligation of Usufructuary
upon return:
1. If they were appraised at the time
of delivery, pay their appraised
value.
2. If they were not appraised at time
of delivery, either return the same
goods in the same quality and
quantity, or pay the current price at
time of cessation of usufruct.
! Usufruct over hidden treasure: The
usufructuary, not being the landowner,
is not entitled as owner but is entitled
as finder to one half of the treasure. If
somebody else is the finder, the
usufructuary gets nothing. [4 Manresa,
p. 386-387]
! Rights of the Usufructuary as to the
usufruct itself:
Page 166 of 532
CIVIL LAW
1. To mortgage the right of
usufruct except parental
usufruct
2. To alienate the usufructuary
right [Paras, pp. 589-590]
3. To bring action and oblige
owner to give him proper
authority and necessary proof
in a usufruct to recover
property or a real right under
Art. 578
3. Rights and Obligations of
Usufructuary
Rights
1. Right to the thing
2. Right to the fruits
3. Right to lease the thing
4. Right to improve the thing
5. Right of retention
6. Right to mortgage or alienate the right of
usufruct
7. Right to bring action [Art. 579, CC]
8. Right to set off improvements [Art. 580, CC]
9. Right to use/leave dead trunks [Art. 575-
576, CC]
10. Right to return but indemnify owner if there
is deterioration [Art. 573, CC]
11. Right to exercise rights of co-owner [Art.
582, CC]
Obligations:
1. To make inventory
2. To give a bond for faithful performance of
duties as usufructuary
3. To take care of the thing
4. To undertake ordinary repairs
5. To notify owner of need to undertake
extraordinary repairs
6. To pay annual charges and taxes on the
fruits.
7. To shoulder costs of litigation
8. To deliver the thing in usufruct to the owner
in the condition received.
9. To pay debts
10. To replace animals that die
11. To make inventory and give security
U.P. LAW BOC PROPERTY CIVIL LAW

RIGHTS OF USUFRUCTUARY N.B. In the case of civil

fruits, no need to
a. Rights as to the Thing and its Fruits prorate,
as civil fruits accrue
[SER3IAL: Set-off, Enjoy, Receive, Remove, daily [Art. 544, CC]
Retain, Improve, Accession, Lease]
a. To enjoy the property personally [Art. 572, Right to Civil Fruits – deemed to accrue daily
CC] and belong to the usufructuary in proportion to
b. To receive the fruits of the property [Art. the time the usufruct may last. [Art. 569, CC]
567, CC]
Special Rule as to Usufruct on Rent,
b. Right to natural and industrial fruits Pension or Interest
pending at the beginning of usufruct Whenever a usufruct is constituted on the right
to receive a rent or periodical pension, whether
Fruits in money or in fruits, or in the interest on bonds
pending at Fruits pending at the or securities payable to bearer, each payment
the termination of the due shall be considered as the proceeds or
beginning of usufruct fruits of such right. [Art. 570 par. 1, CC]
the usufruct
Belong to the Belong to the naked owner Special Rule as to benefits from enterprise
usufructuary with no date fixed for distribution:
Without need The owner shall reimburse Whenever it consists in the enjoyment of
to reimburse to the usufructuary ordinary benefits accruing from a participation in any
the expenses cultivation expenses from industrial or commercial enterprise, the date of
to the owners the proceeds of the fruits the distribution of which is not fixed, such
(not to exceed the value of benefits shall have the same character. [Art.
the fruits) 570 par. 2, CC]

Fruits pending Special Rule for a Usufruct over a co-owned

Fruits pending at the at the property:
beginning of the termination of To exercise all rights of the particular co-owner
usufruct the with respect to the administration and
usufruct collection of fruits/interests from the aliquot
Without prejudice to the Rights of innocent share of property [Art. 582, CC]
right of 3rd persons e.g. 3rd parties should
if the fruits arose by not be Should co-ownership cease by reason of
building, planting, prejudiced. partition, the usufruct of the part allotted to the
sowing by a possessor co-owner shall still belong to the usufructuary.
in good faith, the
pending crop expenses c. Right to lease the thing in usufruct
of cultivation and of the [Art. 572, CC]
net harvest and
charges shall be i. Can be leased without consent
prorated between said of owner.
possessor and the
usufructuary in Exceptions:
proportion to the time of • Caucion Juratoria, wherein the lease
possession [Art. 545, would show that the property is not
CC] needed by the usufructuary and
therefore the use for which the usufruct
was constituted is changed.

Page 167 of 532

U.P. LAW BOC PROPERTY
• Condition imposed by naked owner i.e.
Usufruct is purely personal, e.g. title
creating usufruct provides that
usufructuary shall personally use and
enjoy the property given in usufruct.
• Legal usufructs cannot be leased.
ii. The period of the lease is co-
extensive with the period of
usufruct.
Exception: Lease of rural lands will subsist
during the agricultural year despite
expiration of the usufruct [Art. 572, CC]
Rules as to Lease:
• A lease executed by the usufructuary
before the termination of the usufruct and
subsisting after the termination of the
usufruct must be respected, but the rents
for the remaining period will belong to the
owner.
• If the usufructuary has leased the lands or
tenements given in usufruct, and the
usufruct should expire before the
termination of the lease, he or his heirs and
successors shall receive only the
proportionate share of the rent that must be
paid by the lessee. [Art. 568, CC]
• A lease executed by the owner before the
creation of the usufruct is not extinguished
by such usufruct.
Notes:
• Future crops may be sold but such sale
would be void if usufruct terminates prior to
harvest of future fruits. The buyer’s remedy
is to recover from the usufructuary.
• The usufructuary-lessor is liable for the act
of the substitute.
• A usufructuary who alienates or leases his
right of usufruct shall answer for any
damage which the things in usufruct may
suffer through the fault or negligence of the
person who substitutes him. [Art. 590, CC]
d. Right to enjoy any increase which
the thing may acquire through
accession [Art. 571, CC]
Page 168 of 532
CIVIL LAW
e. Right to make improvements on the
property as he may deem proper
[Art. 579, CC]
i. He may improve the thing without
altering its form and substance.
ii. He is not entitled to indemnification.
iii. He may also remove improvements
made by him if it is possible to do so
without damage to property.
Note: The option to remove improvements
belongs to the usufructuary, and the naked
owner cannot compel him to do so, neither
can the owner compel the usufructuary to
leave the improvements and just pay for
their value.
iv. The usufructuary has the right to set-off
the improvements on the property
against any damage to the same [Art.
580]
Note: Registration of improvements – to
protect usufructuary against 3rd persons
f. Right of retention: to retain the
thing/property until he is
reimbursed for taxes on the capital
and advances for extraordinary
expenses [Art. 612, CC]
The usufructuary has the right of retention until
he is reimbursed of the amount he paid for
taxes and the increase in value caused by the
extraordinary repairs he made.
RIGHTS AS TO THE LEGAL RIGHT OF
USUFRUCT ITSELF
[ABE – Alienate, Bring action, Exercise all
rights]
i. To alienate or mortgage the right
itself [Art. 572, CC]
The usufructuary may alienate his right of
usufruct, even by a gratuitous title (e.g.
donation); but all the contracts he may enter
into as such usufructuary shall terminate upon
the expiration of the usufruct. [Art. 572, CC]
U.P. LAW BOC PROPERTY
Except
1. Parental usufruct [Arts. 225 and 226, FC]
2. Usufruct given in consideration of the
person of the usufructuary intended to
last during his lifetime
ii. To bring action and oblige the owner
to give him proper authority and
necessary proof in cases of usufruct
to recover real property, real right,
or movable property [Art. 578, CC]
The action may be brought in the name of the
usufructuary.
If a favorable judgement is obtained, the
usufruct shall be limited to the fruits, and the
naked ownership shall belong to the owner.
[Art. 578, CC]
OBLIGATIONS OF USUFRUCTUARY
i. Obligations at the beginning of the
usufruct or before exercising the
usufruct
• To make, after notice to the owner or his
legitimate representative, an inventory of
all the property, which shall contain an
appraisal of the movables and a
description of the condition of the
immovables [Art. 583 (1), CC]
Exceptions to making inventory
a. No one will be injured thereby [Art. 585,
CC]
b. Title constituting usufruct excused the
making of inventory.
c. Title constituting the usufruct already
made the inventory.
• To give security, binding himself to fulfill
the obligations imposed upon him in
accordance with this Chapter. [Art. 583 (2),
CC]
Exceptions to Giving Security
1. No prejudice would result; [Art. 585,
CC]
2. Usufruct is reserved by a donor; [Art.
584, CC]
Page 169 of 532
CIVIL LAW
3. Gratitude on the donee’s part demands
that the donor be excused from filing
the bond.
4. Title constituting usufruct excused
usufructuary.
5. A usufructuary may take possession
under a caucion juratoria (bond by
oath) [Art. 587, CC]
6. When there is waiver by the naked
owner [Paras (Property), p. 612].
7. When the usufructuary is the donor of
the property who has reserved the
usufruct [Art. 584, CC].
8. When there is a parental usufruct
under the Family Code [Art. 225, CC].
Requisites of Caucion juratoria:
1. Proper court petition;
2. Usufruct is over a house, furniture or
tools of a trade and the necessity for
delivery of furniture, implements or
house included in the usufruct;
3. Approval of the court; and
4. Sworn promise.
Note: These requirements are not conditions
precedent to the commencement of the right of
the usufruct but merely to the entry upon the
possession and enjoyment of the property.
Effect of failure to give bond: [Art. 586, CC]
a. The owner may demand that the
immovable properties be placed under
administration;
b. That the movable properties be sold and
the proceeds of the sale be the property
held in usufruct – legal interest of 6% shall
be the fruits;
c. That the public bonds, instruments of credit
payable to order or to bearer be converted
into registered certificates or deposited in a
bank or public institution; and
d. That the capital or sums in cash and the
proceeds of the sale of the movable
property be invested in safe securities.
e. The owner may, until the usufructuary
gives security, retain in his possession the
property in usufruct as administrator,
subject to the obligation to deliver to the
usufructuary the net proceeds, after
deducting the sums, which may be agreed
U.P. LAW BOC PROPERTY
upon or judicially allowed him for such
administration.
ii. Obligations during the usufruct
[CAPCORN – Care, Allow improvements, Pay
AIDE (Annual taxes, Interest, Debts, Expenses
for litigation), Collect credit, Ordinary repairs,
Replace animals, Notify UP (Urgent repairs,
Prejudicial act)]
a. To take Care of the property as a good
father of the family [Art. 589]
b. To make Ordinary repairs – required by the
wear and tear due to the natural use of the
thing and are indispensable for its
preservation. [Art. 592, CC]
c. To inform/Notify the owner of urgent
extraordinary repairs [Art. 593, CC]
d. To Allow the naked owner to make works
and improvements of which the immovable
in usufruct is susceptible, or plantings, if
rural [Art. 595, CC].
Provided:
1. The works or improvements are not
prejudicial to the usufructuary’s
rights.
2. No diminution in the value of the
object in usufruct.
e. To pay Annual taxes and charges on the
fruits for the time the usufruct lasts. [Art.
596, CC]
f. To pay Interest on taxes on capital paid by
the naked owner. [Art. 597, CC]
g. To pay Debts if the usufruct is over the
entirety of a patrimony [Art. 598, CC]
h. To Secure the approval of the owner or the
court to collect credit which form part of the
usufruct, if he has not given proper security
or has been excused from giving security.
[Art. 599, CC]
i. To notify owner of any Prejudicial act to the
rights of ownership over the usufruct, by a
third person. [Art. 601, CC]
Consequence: He is liable for damages if
he fails to give notice.
j. To pay Expenses and costs for litigation if
incurred because of the usufruct. [Art. 602,
CC] To answer for fault or negligence of the
one he alienated, leased to the object of the
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CIVIL LAW
usufruct or the fault or negligence of the
usufructuary’s agent. [Art. 590, CC]
iii. Obligations at the Time of the
Termination of the Usufruct
[RIP – Return, Indemnify, Pay interest]
a. To return the thing upon termination.
b. To pay legal interest for the duration of the
usufruct on the expenses for extraordinary
repairs, if naked owner made the repairs
[Art. 594, CC]
c. To pay proper interest on sums paid as
taxes by the owner
d. To indemnify the naked owner for any loss
caused by the negligence of the
usufructuary or his transferees
4. Rights of the Owner
a. At the Beginning of the Usufruct
See obligations of usufructuary at the
beginning of the usufruct discussed above.
b. During the Usufruct
1. The owner retains title to the thing or
property.
2. He may alienate the property. [Art. 581,
CC] He may not alter the form or substance
of the thing, nor do anything prejudicial to
the usufructuary.
3. He may construct buildings, make
improvements and plantings, provided:
● The value of the usufruct is not
impaired; and
● The rights of the usufructuary are not
prejudiced. [Art. 595, CC]
4. He can constitute a voluntary easement
over land/building held in usufruct without
the usufructuary’s consent. But if it affects
the usufructuary’s right, the latter must give
his consent. [Art. 689, CC]
! If the easement is perpetual, the
consent of both must be obtained. [Art.
690, CC]
U.P. LAW BOC PROPERTY
5. Extinction, Termination, and
Extinguishment
HOW EXTINGUISHED; TERMINATED
a. By the death of the usufructuary
Usufruct is personal and it cannot be extended
beyond the lifetime of the usufructuary.
[Eleizegui v. Lawn Tennis Club, 2 Phil 309
(1903)].
This is true even if a resolutory period or
condition has been stipulated and the
usufructuary dies before the expiration of the
period or the fulfillment of the condition. [De
Leon]
Exceptions
1. When a contrary intention clearly appears
[Art. 603, CC]
● The parties may expressly stipulate
that the usufruct shall continue even
after the death of the usufructuary until
the arrival of a period or the happening
of a certain event. [Paras]
2. In cases of multiple usufructs, the usufruct
ends at the death of the last survivor [Art.
611, CC]
● If constituted simultaneously: ALL
USUFRUCTUARIES must be alive or
at least conceived at the time of the
constitution [Art. 863, CC] [Paras]
● If constituted successively [Paras]:
○ By virtue of a donation: ALL
DONEES - USUFRUCTUARIES
must be alive at the time of
donation [Art. 756, CC]
○ By virtue of a will: there should
only be 2 successive
usufructuaries’, and both must
have been alive at the time of
testator’s death [Same rule as in
fideicommissary substitution in
Art. 863 and 869, CC]
3. If the period is fixed using the life of another
person as reference or there is a resolutory
condition
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CIVIL LAW
● In this case, the death of the
usufructuary would not affect the
usufruct and the right is instead
transmitted to the heirs of the
usufructuary until the expiration of the
term or the fulfillment of the condition.
b. By the expiration of the period for
which it was constituted
Special Cases of Period:
1. Special case of juridical persons [Art. 605,
CC]
● Usufruct cannot be constituted in favor
of a town, corporation, or association
for more than 50 years.
● If before the expiration of such period
the town is abandoned, or the
corporation or association is dissolved,
the usufruct shall be extinguished.
2. Special case of third person attaining a
certain age [Art. 606, CC]
● Subsists for the period specified (until
the birthday at which the person
would’ve attained that age)
○ Exception: The usufruct has
been expressly granted only in
consideration of the existence
of such person.
c. By the fulfillment of any resolutory
condition provided in the title
creating the usufruct
d. By merger of the usufruct and
ownership in the same person
e. By renunciation of the
usufructuary
Limitations [De Leon]
1. May be made expressly or impliedly,
but must comply with the forms of
donation
2. Does not require the consent of the
naked owner
3. If made in fraud of creditors, they may
rescind the waiver through an action
under Art. 1381, CC (accion pauliana).
U.P. LAW BOC PROPERTY
f. By the total loss of the thing in
usufruct
Total loss: when the thing in usufruct is
completely destroyed, or perishes, or
disappears in such a way that its existence is
unknown or it cannot be recovered, or it goes
out of commerce [Art. 1189, CC]
Situation Effect
Art. 607, CC
If destroyed property is not insured
If usufruct is
If the owner does not
on the
rebuild: Usufruct continues
building and
over the land and materials
the land (Par.
(plus interests).
1)
If the owner does not
rebuild: Usufruct continues
over the land and materials
(plus interests).
If the owner rebuilds:
If usufruct is Owner can occupy the land
on the and use the materials.
building only
(Par. 2) If the owner occupies the
land and uses the materials,
he must pay the
usufructuary during the
continuance of the usufruct
the interest on the value of
the land and materials.
Art. 608, CC
If destroyed property is insured before
termination of the usufruct
If the owner rebuilds:
When Usufructuary can continue
insurance enjoying the new building.
premium paid
by owner and If the owner does not
usufructuary rebuild: Usufructuary shall
(Par. 1) receive interest on the
insurance indemnity.
When the
Owner shall receive the full
insurance is
amount of the insurance
taken by the
indemnity in case of loss,
naked owner
and either of the following,
only because
Page 172 of 532
CIVIL LAW
the depending on the case
usufructuary (apply Art. 607, CC):
refuses to
contribute to If the owner does not
the premium rebuild: Usufruct continues
(Par. 2) over the remaining land and
materials (plus interests)
If the owner rebuilds:
Usufruct does not continue
on the new building, but
owner should pay interest
on the value of the land and
materials.
When
insurance
taken by Insurance proceeds go to
usufructuary the usufructuary.
only depends No obligation to rebuild.
on value of Usufruct continues on the
usufructuary’s land.
insurable Owner has no share in
interest insurance proceeds.
[Labitag
Diagrams]
g. By the termination of the right of
the person constituting the
usufruct
Example: A usufruct constituted by a vendee a
retro terminates upon redemption.
h. By prescription
• This refers to acquisitive prescription by a
stranger. [Paras]
• It is not the non-use which extinguishes the
usufruct by prescription, but the use by a
3rd person. [Tolentino]
• There can be no prescription as long as the
usufructuary receives the rents from the
lease of the property, or he enjoys the price
of the sale of his right. [Tolentino]
U.P. LAW BOC PROPERTY CIVIL LAW

EFFECT OF TERMINATION [ART. 612, given to him, the usufruct being totally
CC] extinguished.
2. If both the naked owner and the
usufructuary were separately given
a. Obligations and Rights of the
indemnity [Paras]
Usufructuary [Paras] ● Each owns the indemnity given to him,
● Must return the property to the naked
the usufruct being totally extinguished.
owner [Art. 612, CC] 3. If usufructuary alone was given the
● Right to retain the property till he is
indemnity [Paras]
reimbursed
● He must give it to the naked owner and
○ For taxes on the capital which had been
compel the naked owner to return
advanced by him [Art. 597(2), CC]; and
either the interest or to replace the
○ Indispensable extraordinary repairs or
property.
expenses insofar as there has been an
● He may even deduct the interest
increase in the value [Art. 594(2), CC]
himself, if the naked owner fails to
● Right to remove removable improvements
object.
[Art. 579, CC] or set them off against
damages he has caused [Art. 580, CC].
b. Bad Use of Thing in Usufruct [Art.
b. Obligations of the Owner [Paras] 610, CC]
● Bad use of the thing in usufruct does
• Must cancel the security or mortgage
not extinguish the right of the
after delivery is made [Art. 612, CC]
usufructuary whether there is security
• Must in case of rural leases, respect
or not.
leases made by the usufructuary, till
● If bad use causes considerable injury
the end of the agricultural year [Art.
to the owner:
572, CC]
○ It does not extinguish the
• Must make reimbursements to the
usufruct but the owner is
usufructuary in the proper cases. [Arts.
entitled to demand delivery and
597 and 594, CC]
administration of the thing with
the obligation to pay annually
ACTS WHICH DO NOT EXTINGUISH the net proceeds.
THE USUFRUCT ● The usufructuary is liable for damages
caused to property.
a. Expropriation of Thing in Usufruct
[Art. 609, CC] c. Usufruct over a Building of Thing
in Usufruct [Art. 607 and 608, CC]
1. If the naked owner alone was given the
indemnity [See table above for the application.]
• General Rule: The naked owner has
the option
○ To replace it with an equivalent
thing; or
○ To pay to the usufructuary legal
interest on the indemnity. This
requires a security to be given by
the naked owner for the payment of
the interest.
• Exception: If both the naked owner and
the usufructuary were separately given
indemnity, each owns the indemnity

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U.P. LAW BOC PROPERTY
H. EASEMENTS
1. Characteristics
a. It is a real right.
• It gives rise to an action in rem or real
action against any possessor of the
servient estate. It is enforceable
against the whole world. The owner of
the dominant estate can file a real
action for enforcement of right to an
easement.
Note: Being a real right, an easement is
constituted on corporeal immovable property of
another by virtue of which the owner has to
refrain from doing, or must allow someone to
do something on his property for the benefit of
another thing or person. It exists only when the
servient and dominant estates belong to two
different owners. It gives the holder of the land
but grants no title thereto. Therefore, an
acknowledgment of the easement is an
admission that the property belongs to another.
Having held the property by virtue of an
easement, petitioner cannot assert that its
occupancy since 1929 was in the concept of an
owner. [Cuaycong v. Benedicto, 37 Phil. 781]
b. It is a right enjoyed over another’s
property (jus in re aliena).
• When the dominant and the servient
estates have the same owner, the
easement is extinguished. Separate
ownership is a prerequisite to an
easement. The acknowledgment of an
easement is an admission that the
property belongs to another.
c. It can only exist between neighboring
estates in case of real easements.
d. It is a right constituted only over an
immovable by nature (land and
buildings). [Art. 613, CC]
• It cannot be constituted over movable
properties or even immovable by
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CIVIL LAW
incorporation, by destination or by
analogy. Also, it cannot be established
on things beyond the commerce of
man, (i.e. property of public dominion).
e. It limits the servient owner’s right of
ownership for the benefit of the
dominant estate.
• There exists a limitation on ownership:
the dominant owner is allowed to enjoy
or use part of the servient estate, and
owner of the servient estate is
restricted in his enjoyment of his
property. The right given is right of
limited use, but no right to possess
servient estate.
• It is essential that there be a benefit
though it is not essential that it be great
in character or actually exercised. The
benefit goes to the dominant estate,
not necessarily to the owner of said
estate. [Paras, p. 653]
• The right given is the right of limited
use, but no right to possess servient
estate.
• Being an abnormal limitation of
ownership, it cannot be presumed.
f. It creates a relation between tenements.
• There is no transfer of ownership but a
relationship is created, depending on
the type of easement.
• General Rule: It may consist in the
owner of the dominant estate
demanding that the owner of the
servient estate refrain from doing
something (servitus in non faciendo) or
that the latter permit that something be
done over the servient property
(servitus in patendo), but not in the
right to demand that the owner of the
servient do something (servitus in
faciendo), except if such act is an
accessory obligation to a praedial
servitude (obligation propter rem). The
servient owner merely allows
something to be done to his estate.
• Praedial servitudes
○ Right to place beams in an
adjoining wall to support a
structure.
U.P. LAW BOC PROPERTY CIVIL LAW

○ Right to use another’s wall to property and the

support a building. duration exceeds
one year.
g. It is inherent or inseparable from estate May be constituted May be constituted
to which they actively or passively only on an on real or personal
belong. [Art. 617, CC] immovable by property unless a
• Easements are merely accessory to nature. contrary intention
the tenements, and a “quality thereof.” appears.
They cannot exist without tenements. Limited to use of Limited right to both
However, they may exist even if they real property of the use and
are not expressly stated or annotated another but without possession of the
as an encumbrance on the titles. the right to possess. property of another.

h. It is intransmissible. Easement Distinguished from Usufruct

• It cannot be alienated separately from Easement Usufruct
the tenement affected or benefited. May be constituted
Any alienation of the property covered May be constituted on
only on an
carries with it the servitudes affecting either movable or
immovable by
said property. However, this affects immovable property.
nature.
only the portion of the tenement with Not extinguished by
the easement, meaning that the Extinguished by the
the death of
portions unaffected can be alienated death of usufructuary.
dominant owner.
without the servitude. Non-possessory Involves a right of
right over an possession over an
i. It is indivisible. [Art. 618, CC] immovable. immovable.
• If the servient estate is divided between Limited to particular Includes all the uses
two or more persons, the easement is or specific use of and the fruits of the
not modified, and each of them must the servient estate. property.
bear it on the part that corresponds to
him. Note:
• If the dominant estate is divided 1. There can be no easement over a usufruct.
between two or more persons, each of Since an easement may be constituted
them may use the easement in its only on a corporeal immovable property, no
entirety, without changing the place of easement may be constituted on a usufruct
its use, or making it more burdensome which is not a corporeal right.
in any other way. 2. There can be no usufruct over an
easement. While a usufruct may be
j. It has permanence or is perpetual. created over a right, such right must have
• Once it attaches, whether used or not, an existence of its own independent of the
it continues and may be used anytime property. An easement cannot be the
• Perpetual: Exists as long as property object of a usufruct because it has no
exists, unless it is extinguished. existence independent of the property to
which it attaches.
EASEMENTS V. OTHERS 3. There can be no easement over another
easement for the same reason as in no. 1
Easement Distinguished from Lease above.
Easement Lease
Real right, whether Real right only when General Rules
registered or not. it is registered, or 1. Nulli res sua servi: No one can have a
when its subject servitude over one’s own property.
matter is real

Page 175 of 532

U.P. LAW BOC PROPERTY CIVIL LAW

2. Servitus in faciendo consistere nequit: A
servitude cannot consist in doing. Although
some easements seem to impose a
positive prestation upon the owner of the
servient estate, in reality, the primary
obligation is still negative.
Illustration: The owner of a tree whose
branches extend over to a neighboring
property is required to cut off the extended
branches, but the real essence of the
easement is the obligation not to allow the
branches of the tree to extend beyond the
land.
Exception: Praedial servitude, where the
positive obligation is an accessory to the
negative easement. [Art. 680, CC]
3. Servitus servitutes esse non potest: There
can be no servitude over another servitude.
4. A servitude must be exercised civiliter, or in
a way least burdensome to the owner of the
servient estate.
5. A servitude must have a perpetual cause.
2. Classification
Real or Praedial: exists for the
As to benefit of a particular
recipient tenement. [Art. 613, CC]
of Personal: exists for the benefit
benefits of persons without a dominant
tenement [Art. 614, CC]
Continuous: Use is or may be
As to its incessant, without the
exercise intervention of any act of man
[Art. 615, Discontinuous: Used at
CC] intervals, and dependent upon
the acts of man.
As Apparent: Made known and
indication continually kept in view by
of its external signs that reveal the
existence use and enjoyment of the same
[Art. 615, Non-apparent: No external
CC] indication of their existence.
Positive: Imposes upon the
As to the
owner of the servient estate the
object or
obligation of allowing
obligation
something to be done, or of
imposed
doing it himself.
[Art. 616, Negative: Prohibits the owner
CC] of the servient estate from
doing something that he could
lawfully do if the easement did
not exist
Legal [Art. 619 and 634, CC]:
created by law, whether for
public use or for the interest of
private persons.
Example: Natural drainage of
waters, Abutment of land,
Aqueduct, etc.
Voluntary [Art. 619, CC]:
created by the will of the
owners of the estate through
contract, last will or donation.
These must be recorded in the
As to its
Registry of Property to
cause or
prejudice third persons.
origin
Mixed: created partly by will or
agreement and partly by law.
Note: There is no such thing as
a JUDICIAL EASEMENT. The
Courts cannot create
easements, they can only
declare the existence of one, if
it exists by virtue of the law or
will of the parties. [Castro v.
Monsod, G.R. No. 183719
(2011)]
Relevance of Classifications
1. Determines whether or not the easement
can be acquired by prescription of ten
years or by title. [Art. 620 and 622, CC]
2. Determines how to compute the
prescriptive period in case it can be
acquired by prescription. [Art. 621, CC]
3. Determines how easement is lost by
prescription [Art. 631(2), CC]
LAW GOVERNING LEGAL EASEMENTS
For public easements
• Special laws and regulations relating
thereto. (e.g. PD 1067 (Water Code) and
PD 705 (Forestry Code))
• By the provisions of Chapter 2, Title VII,
Book II, CC.

Page 176 of 532

U.P. LAW BOC PROPERTY
For private legal easements
• By agreement of the interested parties
whenever the law does not prohibit it and
no injury is suffered by a 3rd person.
• By the provisions of Chapter 2, title VII,
Book II.
KINDS OF PRIVATE LEGAL EASEMENTS
PROVIDED BY THE NEW CIVIL CODE
1. THOSE ESTABLISHED FOR THE
USE OF WATERS OR RELATING TO
WATERS
1. Natural Drainage [Art. 637, CC]
Lower estates are obliged to receive the waters
which naturally and without the intervention of
man descend from the higher estates (as well
as the stones or earth which they carry with
them).
The owner of the lower estate cannot construct
works which will impede this easement; neither
can the owner of the higher estate make works
which will increase the burden.
Refer to Art. 456 of the Water Code which
states that “when artificial means are employed
to drain water from higher to lower land, the
owner of the highest land shall select the routes
and methods of drainage that will cause the
minimum damage to the lower lands, subject to
the requirements of just compensation.” [P.D.
1067, Water Code]
2. Riparian Banks [Art. 638, CC]
The banks of rivers and streams, even in case
they are of private ownership, are subject
throughout their entire length and within a zone
of 3 meters for urban areas, 20 meters for
agricultural areas and 40 meters for forest
areas (PD 1067, Water Code as amended by
PD 1067) along their margins, to the easement
of public use in the general interest of
navigation, floatage, fishing, recreation and
salvage.
Estates adjoining the banks of navigable or
floatable rivers are subject to the easement of
towpath for the exclusive service of river
navigation and floatage. If it be necessary to
Page 177 of 532
CIVIL LAW
occupy lands of private ownership, the proper
indemnity shall first be paid.
3. Abutment of a Dam [Art. 639, CC]
Whenever for the diversion or taking of water
from a river or brook, or for the use of any other
continuous or discontinuous stream, it should
be necessary to build a dam, and the person
who is to construct it is not the owner of the
banks, or lands which must support it, he may
establish the easement of abutment of a dam,
after payment of the proper indemnity.
4. Drawing Water and Watering Animals
[Arts. 640-641, CC]
Compulsory easements for drawing water or
for watering animals can be imposed only for
reasons of public use in favor of a town or
village, after payment of the proper indemnity.
[Art. 640, CC]
Easements for drawing water and for watering
animals carry with them the obligation of the
owners of the servient estates to allow passage
to persons and animals to the place where
such easements are to be used, and the
indemnity shall include this service. [Art. 641,
CC]
The width of the easement must not exceed 10
meters. [Art. 657, CC]
5. Aqueduct [Arts. 642-646, CC]
Any person who may wish to use upon his own
estate any water of which he can dispose shall
have the right to make it flow through the
intervening estates, with the obligation to
indemnify their owners, as well as the owners
of the lower estates upon which the waters may
filter or descend. [Art. 642, CC]
Requisites to establish easement of Aqueduct
[Art. 643, CC]:
• To prove that he can dispose of the
water and that it is sufficient for the use
for which it is intended;
• To show that the proposed right of way
is the most convenient and the least
onerous to third persons;
U.P. LAW BOC PROPERTY
• To indemnify the owner of the servient
estate in the manner determined by the
laws and regulations.
What it cannot be imposed on: Easement of
aqueduct for private interest cannot be
imposed on buildings, courtyards, annexes, or
outhouses, or on orchards or gardens already
existing. [Art. 644, CC]
Right of servient estate owner: This easement
does not prevent the owner of the servient
estate from closing or fencing it, or from
building over the aqueduct in such manner as
not to cause the latter any damage, or render
necessary repairs and cleanings impossible.
[Art. 645, CC]
Treatment under law: This easement is
considered as continuous and apparent, even
though the flow of the water may not be
continuous, or its use depends upon the needs
of the dominant estate, or upon a schedule of
alternate days or hours. [Art. 646, CC]
In the appropriation of water, there is a need to
apply for water rights.
Any person having an easement for an
aqueduct may enter upon the servient land for
the purpose of cleaning, repairing or replacing
the aqueduct or the removal of obstructions
therefrom [P.D. 1067, Water Code]
Easements for aqueduct and of right of way
cannot be acquired by prescription because
although it may be apparent, it is discontinuous
in character. Under the Water Code of the
Philippines, all waters belong to the state.
Water legally appropriated shall be subject to
the control of the appropriator from the moment
it reaches the appropriator from the moment it
reaches the appropriator’s canal or aqueduct
leading to the place where the water will be
used or stored and, thereafter, so long as it is
being beneficially used for the purposes for
which it was appropriated. [Art. 8, Water Code]
6. Stop Lock or Sluice Gate [Art. 647, CC]
The construction of a stop lock or sluice gate in
the bed of the stream from which the water is
Page 178 of 532
CIVIL LAW
to be taken, for the purpose of improving an
estate.
Such person may demand that the owners of
the banks permit its construction, after
payment of damages, including those caused
by the new easement to such owners and to
the other irrigators.
2. RIGHT OF WAY [Arts. 649-657, CC]
Who may demand [Art. 649, CC]
1. The owner of the dominant estate; or
2. Any person with the real right to
cultivate or use the dominant estate
e.g. a usufructuary, a de jure
possessor.
Note: A lessee cannot demand such
easement, because the lessor is the one bound
to maintain him in the enjoyment of the
property.
Note: A right of way can be established through
the will of parties as well, and the provisions on
the legal easement of right of way will not
govern.
Requisites for legal demand to establish the
easement of right of way [Art. 649, CC and
Floro v. Llenado, G.R. No. 75723, 1995]]
The dominant estate is surrounded by other
immovables owned by other persons;
1. There must absolutely be no access
i.e. means of entrance or exit/egress
to a public highway;
2. Even if there is access, it is difficult or
dangerous to use, or grossly
insufficient;
• Mere inconvenience in the use of
an outlet does not render the
easement a necessity.
• An adequate outlet is one that is
sufficient for the purpose and
needs of the dominant owner, and
can be established at a reasonable
expense.
• Does not necessarily have to be by
land – an outlet through a
navigable river or a lake or the sea
U.P. LAW BOC PROPERTY CIVIL LAW

if suitable to the needs of the dominant estate, and may accordingly be

tenement is sufficient. changed from time to time. Art. 651, CC]
3. The isolation of the immovable is not
due to the dominant owner’s own acts Who has the burden of proof in an action for
e.g. if he constructs building to others right of way? The burden of proving the
obstructing the old way; and existence of the prerequisites to validly claim a
4. There is payment of indemnity. compulsory right of way lies on the owner of the
dominant estate.
If right of way is permanent and continuous for
the needs of the dominant estate = value of the Obligations in Permanent and Temporary
land + amount of damage caused to the Easements of Right of Way
servient estate. Permanent right of Temporary right of
way way
If right of way is limited to necessary passage Indemnity
for cultivation of the estate and for gathering Consists of the
crops, without permanent way = damage Consists of the
damages and the
caused by encumbrance. damages only.
value of the land.
Necessary repairs
Rules for establishing Right of Way Dominant owner to Servient owner to
The easement of right of way shall be spend. spend.
established at the point least prejudicial to the Share in taxes
servient estate, and, insofar as consistent with The dominant owner
this rule, where the distance from the dominant shall reimburse a
estate to a public highway may be the shortest. proportionate share Servient owner to
[Art. 650, CC] of taxes to the spend on such.
proprietor of the
The criterion of least prejudice to the servient servient estate.
estate must prevail over the criterion of
shortest distance although this is a matter of Rules on Indemnity for Estates Enclosed
judicial appreciation. While shortest distance Through a Sale, Exchange, Partition or
may ordinarily imply least prejudice, it is not Donation.
always so as when there are permanent Sale, exchange or
structures obstructing the shortest distance; Donation
partition
while on the other hand, the longest distance Buyer, grantee or done as dominant
may be free of obstructions and the easiest or owners
most convenient to pass through. [Quimen v.
The buyer or grantee
CA, G.R. No. 112331 (1996)]
shall grant the right The donee shall pay
of way without the donor indemnity.
The fact that LGV had other means of egress
indemnity.
to the public highway cannot extinguish the
Seller, grantor or donor as dominant
said easement, being voluntary and not
owners
compulsory. The free ingress and egress along
The donee shall
Mangyan Road created by the voluntary The seller or grantor
grant the right of way
agreement between the parties is thus legally shall pay indemnity.
without indemnity.
demandable with the corresponding duty on
the servient estate not to obstruct the same. [La
Notes on extinguishment
Vista Association v. CA, G.R. No. 95252
• Extinguishment is not automatic. The
(1997)]
owner of the servient estate must ask for
such extinguishment.
The width of the easement of right of way shall
be that which is sufficient for the needs of the

Page 179 of 532

U.P. LAW BOC PROPERTY CIVIL LAW

• Indemnity paid to the servient owner must

be returned without interest. Interest on Party Wall Co-Ownership
account of indemnity is deemed to be rent Shares of the co- Before division of
for use of easement. owners cannot be shares, a co-owner
physically cannot point to any
Special Rights of Way segregated but they definite portion of the
a. Right of way to carry materials for the can be physically property as
construction, repair, improvement, identified. belonging to him.
alteration or beautification of a building None of the co-
through the estate of another; or owners may use the
b. Right of way to raise on another’s land community property
scaffolding or other objects necessary for There is no such for his exclusive
the work: The owner of such estate shall be limitation. benefit because he
obliged to permit the act, after receiving would be invading
payment of the proper indemnity for the the rights of the
damage caused him. [Art. 656, CC] others.
c. Right of way for the passage of livestock Any owner may free
known as animal path, animal trail, watering himself from
places, resting places, animal folds: contributing to the
Governed by the ordinances and In a co-ownership,
cost of repairs and
regulations relating thereto, and, in the partial renunciation
construction of a
absence thereof, by the usages and is allowed.
party wall by
customs of the place. [Art. 657, CC] renouncing all his
rights thereto.
Limitations as to measurements:
• Animal path - max width of 75 meters. When Existence of Easement of Party Wall
• Animal trail - max width of 37 meters and is Presumed [Art. 659, CC]
50 centimeters. • In dividing walls of adjoining buildings up to
• Watering place for animals - max width of the point of common elevation;
10 meters. • In dividing walls of gardens or yards
situated in cities, or towns, or in rural
3. PARTY WALL [Arts. 658-666, CC] communities;
• In fences, walls and live hedges dividing
Definition rural lands.
A common wall which separates two estates,
built by common agreement at the dividing line Note: A title or an exterior sign, or any other
such that it occupies a portion of both estates proof showing that the entire wall in
on equal parts. controversy belongs exclusively to one of the
adjoining property owners may rebut these
A party wall is a special form of co-ownership presumptions.
(see Art. 658, CC).
• Each owner owns part of the wall but it Question: In an easement of party wall, what
cannot be separated from the other estate is dominant and what is servient? The
portions belonging to the others. A party party wall itself is servient, while the adjoining
wall has a special characteristic that makes estates belonging to the co-owners of the party
it more of an easement as it is called by wall are dominant. Refer to Arts. 613 and 614
law. of the Civil Code.
• An owner may use a party wall to the extent
of the ½ portion on his property.

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U.P. LAW BOC PROPERTY
When Existence of An Exterior Sign Is
Presumed [Art. 660, CC]
1. Whenever in the dividing wall of buildings
there is a window or opening;
2. Whenever the dividing wall is, on one side,
straight and plumb on all its facement, and
on the other, it has similar conditions on the
upper part, but the lower part slants or
projects outward;
3. Whenever the entire wall is built within the
boundaries of one of the estates;
4. Whenever the dividing wall bears the
burden of the binding beams, floors and
roof frame of one of the buildings, but not
those of the others;
5. Whenever the dividing wall between
courtyards, gardens, and tenements is
constructed in such a way that the coping
sheds the water upon only one of the
estates;
6. Whenever the dividing wall, being built of
masonry, has stepping stones, which at
certain intervals project from the surface on
one side only, but not on the other;
7. Whenever lands enclosed by fences or live
hedges adjoin others that are not enclosed.
Note: The deposit of earth or debris on one side
alone is an exterior sign that the owner of that
side is the owner of the ditch or drain. The
presumption is an addition to those
enumerated in Art. 660, CC. [Art. 661, CC]
Rights of Owners of a Party Wall
1. Generally, part-owners may use the wall in
proportion to their respective interests [Art.
666, CC], provided that:
• The right to use by the other party is not
interfered with;
• The consent by the other owner is
needed if a party wants to open a
window; and
• The condition of the building is
determined by experts.
2. To increase the height of the wall [Art. 664,
CC].
• He does this at his expense, including
the thickening of the wall on his land.
• He shall indemnify the other party for
any damages.
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CIVIL LAW
3. To acquire a half-interest in any increase in
height or thickness of the wall, paying a
proportionate share in the cost of the work
and the value of the land covered [Art. 665,
CC].
4. To renounce his part ownership of a party
wall if he desires to demolish his building
supported by the wall. [Art. 663, CC] He
shall bear all the expenses of repairs and
work necessary to prevent any damage
which the demolition may cause to the
party wall.
Obligations of Owners of a Party Wall
1. To contribute proportionately to the repair
and maintenance of the party wall [Art. 662,
CC].
Exception: He renounces his part-
ownership, and this includes the
renunciation of the share in the wall and the
land.
Exception to exception: He cannot
renounce his part if his building is being
supported by the party wall.
2. If he raises the height of the wall, he must:
• Bear the cost of maintenance of the
additions;
• Bear the cost of construction, if the wall
cannot support the additional height;
• Give additional land, if necessary to
thicken the wall;
• Pay for damages, if necessary, even if
temporary; and
• Bear the increased expenses for
preservation. [Art. 664, CC]
4. EASEMENT OF LIGHT AND VIEW
[ARTS. 667-673, CC]
Easement of light (jus luminum)
The right to admit light from the neighboring
estate by virtue of the opening of a window or
the making of certain openings.
Easement of view (jus prospectus)
The right to make openings or windows, to
enjoy the view through the estate of another
and the power to prevent all constructions or
U.P. LAW BOC PROPERTY
works which would obstruct such view or make
the same difficult.
The easement of view necessarily includes the
easement of light, because It is impossible to
have a view only without a light. However, it is
possible to have light without a view.
How acquired
Through a period of prescription of 10 years,
counted depending on whether it was positive
or negative in nature.
Nature [Art. 668, CC]
1. Positive: Opening a window through a
party wall.
• Period of prescription begins upon the
opening being made through the wall of
another.
o When a part owner of a party wall
opens a window therein, such act
implies the exercise of the right of
ownership by the use of the entire
thickness of the wall.
• The easement is created only after the
lapse of the prescriptive period.
2. Negative: Opening a window through a wall
on the dominant estate.
• Period of prescription begins upon the
formal prohibition upon the owner of the
adjoining land or tenement.
o Formal means that the prohibition
has been notarized. Meaning
notice and demand was given to
the owner of the possible servient
estate [Cortes v Yu-Tibo, G.R. No.
911 (1903)]
o When a person opens a window on
his own building, he is exercising
his right of ownership on his
property, which does not establish
an easement.
• Coexistent is the right of the owner of the
adjacent property to build or plant on his
own land, even if such structures or
planting cover the window.
• If the adjacent owner does not build
structures to obstruct the window, such is
considered mere tolerance and NOT a
waiver of the right to build.
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CIVIL LAW
• An easement is created only when the
owner opens up a window and
subsequently prohibits or restrains the
adjacent owner from doing anything that
may tend to cut off or interrupt the light and
the 10-year prescriptive period has lapsed
by a notarial prohibition.
Note: What is the reason why the easement of
light and view and the easement not to build a
higher easement (altius non tollendi) cannot go
together? The reason is because an easement
of light and view requires that the owner of the
servient estate shall not build to a height that
will obstruct the window. They are, as it were,
the two sides of the same coin. While an
easement of light and view is positive, that of
altius non tollendi is negative. [Amor v.
Florentino, 74 Phil. 403 (1943)]
Limitations as to measurements
No windows, apertures, balconies, or other
similar projections which afford a direct view
upon or towards an adjoining land or tenement
can be made, without leaving a distance of two
meters between the wall in which they are
made and such contiguous property. Neither
can side or oblique views upon or towards such
conterminous property be had, unless there be
a distance of sixty centimeters. [Art. 670, CC]
In cases of direct views from the outer line of
the wall when the openings do not project, the
distance shall be measured from the outer line
of the latter when they do, and in cases of
oblique view from the dividing line between the
two properties. [Art. 671, CC]
Exception: In buildings separated by a public
way or alley, not less than 3 meters wide, the
distances required do not apply [Art. 672, CC].
Exception: The distances may be stipulated
by the parties, provided that the distance
should not be less than what is prescribed by
the law (2 meters and 60 centimeters). [Art.
673, CC]
Whenever by any title a right has been
acquired to have direct views, balconies or
belvederes overlooking an adjoining property,
the owner of the servient estate cannot build
U.P. LAW BOC PROPERTY
thereon at less than a distance of three meters
to be measured in the manner provided in
Article 671. [Art. 673, CC]
Note: Breach of the required distances results
into the prescriptive period not running. [Art.
670, CC]
Notes on the Acquisition of the Easement
• Period of acquisitive prescription depends
upon whether the easement of light and
view is positive or negative.
o If positive, then the prescription
period is counted from the day the
window is opened.
o If negative, then the prescription
period is counted from the formal
prohibition made on the owner of
the servient estate. [Art. 668, CC]
5. DRAINAGE OF BUILDINGS [Art. 674,
CC]
The owner of a building shall be obliged to
construct its roof or covering in such manner
that the rain water shall fall on his own land or
on a street or public place, and not on the land
of his neighbor, even though the adjacent land
may belong to two or more persons, one of
whom is the owner of the roof.
Even if it should fall on his own land, the owner
shall be obliged to collect the water in such a
way as not to cause damage to the adjacent
land or tenement. [Art. 674, CC]
The true easement is where the adjacent
estate has the obligation of receiving the
rainwater falling from a neighboring roof and
giving it an outlet on his own lot so as not to
cause damage to the dominant estate. [Art.
675, CC]
Whenever the yard or court of a house is
surrounded by other houses, and it is not
possible to give an outlet through the house
itself to the rain water collected thereon, the
establishment of an easement of drainage can
be demanded, giving an outlet to the water at
the point of the contiguous lands or tenements
where its egress may be easiest, and
Page 183 of 532
CIVIL LAW
establishing a conduit for the drainage in such
manner as to cause the least damage to the
servient estate, after payment of the property
indemnity. [Art. 676, CC]
Note: When is there a violation of easement of
drainage? Refer to Purugganan v. Paredes, 69
SCRA 69: When the roof of the appellants
protrudes by 98 centimeters over the property
of the appellee, so that during a heavy rainfall,
the propulsion of the water would go as far as
one meter over the property of the latter. Also
check on Sec. 8.01.05 (d) (1) of the National
Building Code.
6. INTERMEDIATE DISTANCES [Arts.
677-681, CC]
Prohibiting the construction and plantings near
fortified places or fortresses without complying
with special laws, ordinances and regulations
relative hereto, Art. 677 of the Civil Code, in
effect, establishes an easement in favor of the
State. The general prohibition is dictated by the
demands of national security.
No person shall build any aqueduct, well,
sewer, furnace, forge, chimney, stable,
depository of corrosive substances, machinery,
or factory which by reason of its nature or
products is dangerous or noxious, without
observing the distances prescribed by the
regulations and customs of the place, and
without making the necessary protective
works.
These prohibitions cannot be altered or
renounced by stipulation on the part of the
adjoining proprietors.
In the absence of regulations, such precautions
shall be taken as may be considered
necessary, in order to avoid any damage to the
neighboring lands or tenements. [Art. 678, CC]
Note: For definition of dangerous buildings,
please refer to Sec. 1.01.08 (b), R.A. 6541, The
National Building Code. Cases applicable are
De la Torre v. Bicol University, 468 SCRA 542
and Tague v. Fernandez, 51 SCRA 181.
U.P. LAW BOC PROPERTY CIVIL LAW

Planting of trees [Art. 679, CC]
No trees shall be planted near a tenement or
piece of land belonging to another except at the
distance authorized by the ordinances or
customs of the place. In the absence thereof:
• At least 2 meters from the dividing line of
the estates if tall trees are planted.
• At least 50 centimeters if shrubs or small
trees are planted.
In case of a violation, a landowner shall have
the right to demand the uprooting of the plant
even if it has grown spontaneously.
• Subjacent: When the supported land is
above the supporting land.
Any proprietor intending to make any
excavation contemplated in Arts. 684-686, CC
shall notify all owners of adjacent lands. [Art.
687, CC]
Note: Refer to Castro v. Monsod, 641 SCRA
486 (2011) on the need to annotate an
easement of lateral support at the back of the
land title of the servient estate where there is
judicial recognition existing.

Branches, Roots and Fruits [Art. 680, CC] 8. EASEMENT AGAINST NUISANCE
If the branches of any tree should extend over [Arts. 682-683, CC]
a neighboring estate, tenement, garden or
yard, the owner of the latter shall have the right Every building or piece of land is subject to the
to demand that they be cut off. If it be the roots easement which prohibits the proprietor or
of a neighboring tree, which should penetrate possessor from committing nuisance through
into the land of another, the latter may cut them noise, jarring, offensive odor, smoke, heat,
off himself within his property. dust, water, glare and other causes. [Art. 682,
CC].
Fruits naturally falling upon adjacent land
belong to the owner of said land. [Art. 681, CC] Subject to zoning, health, police and other laws
and regulations, factories and shops may be
7. LATERAL AND SUBJACENT maintained provided the least possible
SUPPORT [Arts. 684-687, CC] annoyance is caused to the neighborhood. [Art.
683, CC]
The proprietor is prohibited from making
dangerous excavations upon his land as to 3. Modes of Acquiring
deprive any adjacent land or building of
sufficient lateral or subjacent support. [Art. 684,
Easements
CC]
An easement is either acquired through a
Any stipulation or testamentary provision title/juridical act or by prescription. [Art. 620
allowing excavations that cause danger to an and 622, CC]
adjacent land or building shall be void. [Art.
685, CC] Kind of How acquired
Easement Title Prescription
The legal easement of lateral and subjacent Continuous and
YES YES
support is not only for buildings standing at the apparent (CA)
time the excavations are made but also for Continuous Non-
YES NO
constructions that may be erected. [Art. 686, apparent (CNA)
CC] Discontinuous
• Easement of lateral and subjacent support and non-apparent YES NO
is deemed essential to the stability of (DA)
buildings. Discontinuous
• Lateral: When a vertical plane divides the Non-apparent YES NO
supported and supporting lands. (DNA)

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U.P. LAW BOC PROPERTY
When an easement is established, all rights
necessary for its use are considered granted.
[Art. 625, CC]
a. By Title (or by Something Equivalent
to a Title)
Something Equivalent to a Title: Refers to law
or juridical acts such as donations, contracts,
or wills.
• Continuous and apparent easements may
be acquired by virtue of a title. [Art. 620,
CC]
• Continuous non-apparent easements, and
discontinuous ones, whether apparent or
not, are acquired only by virtue of a title.
[Art. 622, CC]
• The absence of a document or proof
showing the origin of an easement which
cannot be acquired by prescription may be
cured by a deed of recognition by the
owner of the servient estate or by a final
judgment. [Art. 623, CC]
Deed of recognition: By an affidavit or a formal
deed acknowledging the servitude.
Final judgment: Owner of the dominant estate
must file a case in court to have the easement
declared by proving its existence through other
evidence.
The existence of an apparent sign of easement
between two estates, established or
maintained by the owner of both, shall be
considered, should either of them be alienated,
as a title in order that the easement may
continue actively and passively. This is also
applicable to cases of co-ownership. [Art. 624,
CC]
Exception: At the time the ownership of the
two estates is divided, the title of conveyance
of either of the two estates provides for the
contrary (says the easement will not continue)
or the apparent sign of easement is removed
before the execution of the deed of
conveyance. [Art. 624, CC]
Illustration: The presence of 4 windows was
considered an apparent sign that created a
Page 185 of 532
CIVIL LAW
negative easement of light and view (altius non
tollendi) i.e. not to build a structure that will
cover the windows. [Amor v. Florentino, G.R.
No. L-48384 (1943)].
b. By Law (Legal Easements)
Easements imposed by law have for their
object either public use or the interest of private
persons. [Art. 634, CC]
These easements may be modified by
agreement of the interested parties, whenever
the law does not prohibit it, or no injury is
suffered by a third person. [Art. 636, CC]
c. By Will of the Owner (Voluntary
Easements)
Every owner of a tenement or piece of land
may establish thereon the easements which he
may deem suitable, and in the manner and
form which he may deem best, provided he
does not contravene the laws, public policy or
public order. [Art. 688, CC]
Note: If an owner constitutes an easement over
his own property and makes such easement
available to the general public, said owner may
not arbitrarily discriminate against certain
persons by not letting them use the easement.
[Negros Sugar Company v Hidalgo, G.R. No.
L-42334 (1936)]
When the property subject of the easement is
also in usufruct, the owner of the property may
establish an easement on the property, without
consent of the usufructuary; provided, the right
of the usufructuary is not injured. [Art. 689, CC]
Whenever the naked ownership belongs to one
person and the beneficial ownership to
another, no perpetual voluntary easement may
be established thereon without the consent of
both owners. [Art. 690, CC]
When the property is co-owned, consent of all
co-owners is required to impose an easement.
[Art. 691, CC]
U.P. LAW BOC PROPERTY
d. By Prescription
Continuous and apparent easements may be
acquired by prescription of 10 years. [Art. 620,
CC]
Requisites:
1. The easement must be continuous and
apparent;
2. The easement must have been used for 10
years; and
3. There is no need for good faith or just title.
Computation of time of possession [Art.
621, CC]
1. Positive easements: From the day on
which the owner of the dominant estate, or
the person who may have made use of the
easement, commenced to exercise it upon
the servient estate
2. Negative easements: From the day on
which the owner of the dominant estate
forbade, by an instrument acknowledged
before a notary public, the owner of the
servient estate, from executing an act
which would be lawful without the
easement.
Note: Example of a continuous and apparent
easement is of light and view, as opposed to a
right of way which is discontinuous but
apparent, and thus cannot be acquired by
prescription.
Mere passage which was permitted and is
under an implied license cannot be the basis of
prescription. [Archbishop of Manila v. Roxas,
G.R. No. L-7386 (1912)]
4. Rights and Obligations of the
Owners of Dominant and
Servient Estates
a. Rights of Dominant Estate Owner
1. To use the easement and exercise all
rights necessary for it [Art. 625, CC].
2. The owner of the dominant estate is
granted the right to use the principal
easement, and all accessory servitudes.
Page 186 of 532
CIVIL LAW
Example: Easement of drawing water
carries with it the easement of right of way
to the place where water is drawn.
Limitation: Only for the original immovable
and the original purpose.
3. To make, at his own expense, on the
servient estate, any works necessary for
the use and preservation of the servitude,
but without altering it or rendering it more
burdensome. [Art. 627(1), CC]
4. In a right of way, to ask for change in width
of easement sufficient for the needs of the
dominant estate. [Art. 651, CC]
The needs of the dominant property
ultimately determine the width of the
passage. And these needs may vary from
time to time. [Encarnacion v. CA, G.R. No.
77628 (1991)]
5. To renounce totally the easement, if he
desires to be exempt from contributing to
the expenses. [Art. 628, CC]
b. Obligations of Dominant Estate
Owner
1. To use the easement for the benefit of
immovable and in the manner originally
established [Art. 626, CC]
If established for a particular purpose, the
easement cannot be used for a different
one. However, if established in a general
way, without specific purpose, the
easement can be used for all the needs of
the dominant estate.
2. To notify the owner of the servient estate
before making repairs and to make repairs
in a manner least inconvenient to the
servient estate [Art. 627(2), CC]
3. Not to alter the easement or render it more
burdensome. [Art. 627, CC]
In an easement of a right of way, widening
the road means making the easement
more burdensome. [Valderrama v. North
U.P. LAW BOC PROPERTY
Negros Sugar Co., G.R. No. L-23810
(1925)]
4. To contribute to expenses of works
necessary for use and preservation of
servitude, if there are several dominant
estates. [Art. 628, CC]
The contribution is in proportion to the
benefits which each may derive from the
work.
c. Rights of the Servient Estate Owner
1. To retain the ownership of the portion of the
estate on which the easement is
established [Art. 630, CC]
2. To use the easement, provided he shall
also be obliged to pay the expenses
necessary for the preservation and use of
the servitude. [par. 2, Art. 628, CC]
Exception to paying expenses: There is an
agreement to the contrary.
3. To change the place or manner of the use
of the easement, provided it be equally
convenient [par. 2, Art. 629, CC]
In case the easement becomes very
inconvenient for the servient estate owner,
or if it prevents him from making any
important works, repairs, or improvements,
the easement MAY BE CHANGED,
provided:
1. He offers another place/manner
equally convenient.
2. Does not cause injury to the dominant
estate owner.
3. Does not cause injury to those who
have a right to use the easement, if
any.
d. Obligations of Servient Estate
Owner
1. Not to impair the use of the easement [Art.
629(1), CC]
2. To contribute proportionately to expenses
if he uses the easement [Art. 628(2), CC]
Page 187 of 532
CIVIL LAW
Exception: Unless there is an agreement to
the contrary.
3. To pay for the expenses incurred for the
change of location or form of the easement
5. Modes of Extinguishment
Ways by which an easement may be
extinguished: [Art. 631, CC] [MINERRO –
Merger, Impossibility, Non-use, Expiration,
Renunciation, Redemption, Other causes]
1. By merger in the same person of the
ownership of the dominant and servient
estates – must be absolute, perfect and
definite, and not merely temporary. If the
merger is temporary, there is at most a
suspension of the easement, but no
extinguishment.
2. By non-user for ten years – there is
inaction, and not outright renunciation. This
is due to the voluntary abstention by the
dominant owner, and not due to a fortuitous
event.
• If discontinuous easement, period is
counted from day it ceased to be used.
If continuous easement, counted from
the day an act adverse to the exercise
of the right of easement took place.
• Note use by a co-owner bars
prescription as to others as well. [Art.
633, CC]
3. Impossibility of use – impossibility
referred to must render the entire
easement unusable for all time.
Impossibility of using the easement due to
the condition of the tenements (e.g.
flooding) only suspends the servitude until
it can be used again.
• Exception: If the suspension exceeds
10 years, the easement is deemed
extinguished by non-use.
4. By the expiration of the term or the
fulfillment of the resolutory condition -
applies only to voluntary easements.
5. By the renunciation of the owner of the
dominant estate – must be specific, clear,
express (distinguished from non-user); or
U.P. LAW BOC PROPERTY CIVIL LAW

6. By the redemption agreed upon

between the owners of the dominant
and servient estates.
I. NUISANCE
Other Causes Not Mentioned in Art. 631, CC
1. Annulment and rescission of the title 1. Nuisance per se
constituting the voluntary easement;
2. Termination of the right of grantor of the
2. Nuisance per accidens
voluntary easement;
3. Abandonment of the servient estate;
“Nuisances have been divided into two
Owner of the servient estate gives up
classes: Nuisances per se, and nuisances per
ownership of the easement (e.g. the strip of
accidens” [Iloilo Cold Storage v. Municipal
land where the right of way is constituted)
Council, 24 Phil 471]
in favor of the dominant estate. The
easement is extinguished because
Definition
ownership is transferred to the dominant
A nuisance is any act, omission, establishment,
owner, who now owns both properties.
condition of property, or anything else which:
4. Eminent domain;
(1) Injures or endangers the health or
The government’s power to expropriate
safety of others; or others (Ex. House
property for public use, subject to the
in danger of falling, fireworks or
payment of just compensation.
explosives factory, houses without
5. Special cause for extinction of legal
building permits and without provisions
rights of way: if right of way no longer
for disposal of waste matter [Ayala v.
necessary. [Art. 655, CC]
Baretto, 33 Phil. 538]); or
(2) Annoys or offends the senses; (Ex.
Right of way ceases to be necessary [Art. 655,
leather factory, garbage cans, pumping
CC]:
station with a high chimney, smoke,
• Owner of the dominant estate has joined to
noise [Bengzon v. Prov. of
another abutting on a public road.
Pangasinan, 62 Phil. 816]; or
• A new road is opened giving access to the
(3) Shocks, defies, or disregards decency
isolated estate. or morality; (Ex. Movie actress strips
• Owner of the servient estate must return nude in the lobby of a movie house for
indemnity he received (value of the land) sake of publicity for a movie, citing
with interest deemed as rent. Paras, p. 748); or
• Requisite: the public highway must (4) Obstructs or interferes with the free
substantially meet the needs of the passage of any public highway or
dominant estate. street, or any body of water; (Ex.
Houses or flea market stalls
Note: The Owner of the servient estate constructed in public streets); or
burdened by the right of way may demand that (5) Hinders or impairs the use of property
the easement be extinguished when it is shown [Art. 694, CC] (Ex. Illegal constructions
that the easement ceases to be necessary [Art. or activities on another person or
655, CC] entity’s land).

Differentiate Nuisance from Negligence:

Negligence is penalized because of lack of
proper care but a nuisance is wrong not
because of the presence or absence of care,
but because of the injury caused. [Paras
quoting 39 AmJur 282]

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U.P. LAW BOC PROPERTY
Nuisance Nuisance per se
Definition ● Those which are
unquestionably and under all
circumstances nuisances,
such as gambling houses,
houses of ill fame, etc. [Iloilo
Cold Storage v. Municipal
Council, 24 Phil 471]
● Generally defined as an act,
occupation, or structure,
which is a nuisance at all
times and under any
circumstances, regardless of
location or surrounding.
[Aquino v. Municipality of
Malay, GR 211356, 29
September 2014]
Abatement Since they affect the immediate
safety of persons and property,
they may be summarily abated
under the undefined law of
necessity. [Monteverde v.
Generoso, 52 Phil 123]
a. Public v. Private Nuisance
Public Nuisance
Nuisance that affects a community or
neighborhood or any considerable number of
persons [Art. 695, CC]. (Ex. A noisy or
dangerous factory in a residential district; a
karaoke bar inside a subdivision)
Private Nuisance
One that is not included in the foregoing (Public
nuisance) definition. [Art. 695, CC]
One which violates only private rights and
produces damages to but one or a few specific
persons.
b. Doctrine of Attractive Nuisance
One who maintains on his premises dangerous
instrumentalities or appliances of a character
likely to attract children at play, and who fails to
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CIVIL LAW
Nuisance per accidens
● Those that are nuisances because of
particular facts and circumstances
surrounding the otherwise harmless cause
of the nuisance [Iloilo Cold Storage v.
Municipal Council, 24 Phil 471]
● Generally a question of fact, to be
determined in the first instance before the
term nuisance can be applied to it. [Ibid.]
● That which depends upon certain conditions
and circumstances, and its existence being
a question of fact, it cannot be abated
without due hearing thereon in a tribunal
authorized to decide whether such a thing
does in law constitute a nuisance. [Aquino v.
Municipality of Malay, GR 211356, 29
September 2014]
No authority has the right to compel the
abatement of a particular thing or act as a
nuisance without reasonable notice to the
person alleged to be maintaining or doing the
same of the time and place of hearing before a
tribunal authorized to decide whether such a
thing or act does in law constitute a nuisance.
[Monteverde v. Generoso, 52 Phil 123]
exercise ordinary care to prevent children from
playing therewith or resorting thereto, is liable
to a child of tender years who is injured
thereby, even if the child is technically a
trespasser in the premises. [Jarco Marketing
Corp. v. CA, G.R. No. 129792 (1999)]
Reason for doctrine: Although the danger is
apparent to those of age, it is so enticing or
alluring to children of tender years as to induce
them to approach [Ibid].
Note: The attractive nuisance doctrine is
generally not applicable to bodies of water in
the absence of some unusual condition or
artificial feature. A swimming pool is not an
attractive nuisance, for while it is attractive, it is
merely a duplication of a work of nature
[Hidalgo Enterprises v. Balandan, G.R. L-3422,
(1952)]
U.P. LAW BOC PROPERTY
3. Liabilities
a. Who are Liable
1. Person responsible for creating the
nuisance; If the prejudice exceeds the
inconveniences that such proximity
habitually brings, the neighbor who
causes such disturbance is held
responsible for the resulting damage, 1
being guilty of causing nuisance.
[Velasco v. Manila Electric Co., 40
SCRA 342]
2. Every successive owner or
possessor of property who fails or
refuses to abate a nuisance in that
property started by a former owner or
possessor is liable therefor in the same
manner as the one who created it. [Art.
696, CC];
• Provided that he knew of the
nuisance and must knowingly
fail or refuse to abate the
nuisance [Lambs v. Roberts,
196 Ala. 679, quoted by Paras].
• “To render the new owner or
possessor liable, it is
necessary that he has actual
knowledge of the existence of
the nuisance, and that it is
within his power to abate the
same.”
• “If he cannot physically abate
the nuisance without legal
action against another person,
then he shall not be liable for
such nuisance.”
3. A private person or public official
shall be liable for damages if:
a. In an extrajudicial abatement;
b. He causes unnecessary injury; or
c. An alleged nuisance is later declared
by the courts to be not a real nuisance.
[Art. 707, CC]
4. No Prescription
a. General Rule
Lapse of time cannot legalize any nuisance,
whether public or private. [Art. 698, CC]
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CIVIL LAW
Note: Art. 698 and 1143(2) does not apply to
easements which are extinguished by
obstruction or non-use for ten years under Art.
631 [Ongsiako v. Ongsiako, G.R. No. L-7510,
(1957)]
The abatement of a nuisance does not
preclude the right of any person injured to
recover damages for its past existence. [Art.
697, CC]
Note: Remedies of abatement and damages
are cumulative and may both be demanded.
b. Extinctive Prescription – No Extinctive
Prescription to abate a nuisance or
Acquisitive Prescription for the right to use
of the property that creates such nuisance.
The action to abate a public or private
nuisance is NOT extinguished by
prescription. [Art. 1143(2), CC]
5. Criminal prosecution as a
remedy
The remedies against a public nuisance are:
1. A prosecution under the Penal Code or
any local ordinance; or
2. A Civil Action; or
3. Abatement, without judicial proceedings.
[Art. 699, CC]
6. Judgment with abatement as
a remedy
The remedies against a public nuisance are:
1. A prosecution under the Penal Code or any
local ordinance; or
2. A Civil Action; or
3. Abatement, without judicial proceedings.
[Art. 699, CC]
If a civil action is brought by reason of the
maintenance of a public nuisance, such action
shall be commenced by the city or municipal
mayor. [Art. 701, CC]
U.P. LAW BOC PROPERTY
7. Extrajudicial abatement as a
remedy
The remedies against a public nuisance are:
1. A prosecution under the Penal Code or any
local ordinance; or
2. A Civil Action; or
3. Abatement, without judicial
proceedings. [Art. 699, CC]
! It must be reasonably and efficiently
exercised.
! Means employed must not be unduly
oppressive on individuals.
! No more injury must be done to the
property or rights of individuals than is
necessary to accomplish the
abatement.
! No right to compensation if property
taken or destroyed is a nuisance.
a. Summary Abatement
Nuisances per se
Since they affect the immediate safety of
persons and property, they may be summarily
abated under the undefined law of
necessity. [Monteverde v. Generoso, 52 Phil
123]
Nuisances per accidens
No authority has the right to compel the
abatement of a particular thing or act as a
nuisance without reasonable notice to the
person alleged to be maintaining or doing the
same of the time and place of hearing before a
tribunal authorized to decide whether such a
thing or act does in law constitute a nuisance.
[Monteverde v. Generoso, 52 Phil 123]
If no compelling necessity requires the
summary abatement of a nuisance, the
municipal authorities, under their power to
declare and abate nuisances, do not have the
right to compel the abatement of a particular
thing or act as a nuisance without reasonable
notice to the person alleged to be
maintaining or doing the same of the time
and place of hearing before a tribunal
authorized to decide whether such a thing or
Page 191 of 532
CIVIL LAW
act does in law constitute a nuisance. [Iloilo
Cold Storage v. Municipal Council, 24 Phil 471]
b. Need for Abatement
One of the most serious hindrances to the
enjoyment of life and property is a nuisance.
Provisions for its abatement are indispensable
(Report of the Code Commission, p.51).
c. Who May Abate Public Nuisances
District Officer
The district health officer shall take care that
one or all of the remedies against a public
nuisance are availed of. [Art. 700, CC]
The district health officer shall determine
whether or not abatement, without judicial
proceedings, is the best remedy against a
public nuisance. [Art. 702, CC]
Note: If the district health officer or the city
engineer is not consulted beforehand in the
case of extrajudicial abatement, the person
doing the abating is not necessarily liable.
They would be liable for damages under Art.
707 if the abatement is carried out with
unnecessary injury, or if the alleged nuisance
is later declared by the courts to be not a real
nuisance [Paras, p. 756]
Private Persons
Any private person may abate a public
nuisance which is specially injurious to him by
removing or, if necessary, destroying the thing
which constitutes the same, without committing
a breach of the peace, or doing necessary
injury.
Other persons authorized by law
Other persons may be authorized by law to
remove nuisances such as in Sitchon v.
Aquino, 98 Phil 458 where the Manila charter
authorized the City Engineer to do so.
8. Special Injury to Individual
A private person may file an action on account
of public nuisance, if it is specially injurious to
himself. [Art. 703, CC]
U.P. LAW BOC PROPERTY
Any private person may abate a public
nuisance which is specially injurious to him by
removing or, if necessary, destroying the thing
which constitutes the same, without committing
a breach of the peace, or doing necessary
injury. But if necessary:
1. That demand be first made upon the owner
or possessor of the property to abate the
nuisance;
2. That demand has been rejected;
3. That the abatement be approved by the
district health officer and executed with the
assistance of the local police; and
4. That the value of the destruction does not
exceed Three-Thousand Pesos. [Art. 704,
CC]
9. Right of Individual to Abate
Public Nuisance
Process for Extrajudicial Abatement:
1. The district health officer shall take care
that one or all of the remedies against a
public nuisance are availed of. [Art. 700,
CC]
2. The district health officer shall determine
whether or not abatement, without judicial
proceedings, is the best remedy against a
public nuisance. [Art. 702, CC]
Process for Judicial Abatement (through
Civil Action):
1. General Rule: If a civil action is brought by
reason of the maintenance of a public
nuisance, such action shall be commenced
by the city or municipal mayor. [Art. 701,
CC]
2. Exception: A private person may file an
action on account of a public nuisance if it
is especially injurious to him. [Art. 703, CC]
Rationale for Exception: An individual who
has suffered some special damage different
from that sustained by the general public may
maintain a suit in equity for an injunction to
abate it, or an action for damages which he has
sustained. The action becomes a tort if an
individual has suffered particular harm, in
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CIVIL LAW
which case the nuisance is treated as a private
nuisance with respect to such person.
Requisites of the right of a private
individual to bring a civil action to abate a
public nuisance [Art. 704, CC]
1. That demand be first made upon the owner
or possessor of the property to abate the
nuisance;
2. That such demand has been rejected;
3. That the abatement be approved by the
district health officer and executed with the
assistance of the local police; and
4. That the value of the destruction does not
exceed P3,000.
Rules
1. The right must be exercised only in cases
of urgent or extreme necessity. The thing
alleged to be a nuisance must be existing
at the time that it was alleged to be a
nuisance.
2. A summary abatement must be resorted to
within a reasonable time after knowledge of
the nuisance is acquired or should have
been acquired by the person entitled to
abate.
3. The person who has the right to abate must
give reasonable notice of his intention to do
so, and allow thereafter a reasonable time
to enable the other to abate the nuisance
himself.
4. The means employed must be reasonable
and for any unnecessary damage or force,
the actor will be liable. The right to abate is
not greater than the necessity of the case
and is limited to the removal of only so
much of the objectionable thing as actually
causes the nuisance.
5. The property must not be destroyed unless
it is absolutely necessary to do so.
10. Right to Damages
The abatement of a nuisance does not
preclude the right of any person injured to
recover damages for its past existence. [Art.
697, CC]
Abatement and damages are cumulative
remedies.
U.P. LAW BOC PROPERTY
11. Defenses to Action
Remedies of the property owner
A person whose property is seized or
destroyed as a nuisance may resort to the
courts to determine whether or not it was in fact
a nuisance.
1. An action for replevin;
2. To enjoin the sale or destruction of the
property;
3. An action for the proceeds of its sale and
damages if it has been sold; or
4. To enjoin private parties from proceeding
to abate a supposed nuisance.
12. Who May Sue on Private
Nuisance
Remedies [Art. 705, CC]
The remedies against a private nuisance are:
1. A civil action; or
2. Extrajudicial abatement
Requisites for a valid extrajudicial
abatement [Art. 706, CC]:
• The procedure for extrajudicial abatement
of a public nuisance by a private person will
also be followed.
Note: See municipal health officer under
Art. 700 and Art. 702.
• No breach of peace or unnecessary injury
Liability for invalid extrajudicial abatement:
The person (whether private person or public
official) extrajudicially abating a nuisance is
liable for damages if:
a. If he causes unnecessary injury; or
b. If an alleged nuisance is later declared by
the courts to be not a real nuisance.
Methods of abatement [Art. 706, CC]:
1. By removing the thing causing the
nuisance
2. By destroying the thing causing the
nuisance
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CIVIL LAW
J. MODES OF ACQUIRING
OWNERSHIP
Three modes of acquiring ownership:
a. Occupation – Arts. 713-720, CC
b. Donation – Arts. 712, 725 – 726, CC
c. Prescription and Laches – Arts. 712,
1106 – 1107, CC
1. Occupation
How Occupation Effected
1. Hunting and Fishing
2. Finding Hidden Treasures
3. Finding of abandoned movables
4. Finding movables which never had an
owner [Art. 713, CC]
Kinds of Occupation
1. Of Animals
a. Wild or Feral Animals
Wild animals are possessed only while
they are under one’s control [Art. 560,
CC]
b. Tamed/domesticated animals
Domesticated or tamed animals are
considered domestic or tame if they
retain the habit of returning to the
premises of the possessor. [Art. 560,
CC]
The owner of domesticated animals
may also claim them within 20 days to
be counted from their occupation by
another person. This period having
expired, they shall pertain to him who
has caught and kept them. [Art. 716,
CC]
c. Occupation of a Swarm of Bees
The owner of a swarm of bees shall
have the right to pursue them to
another’s land, indemnifying the
possessor of the latter for damage.
If the owner has not pursued the
swarm, or ceases to do so within 2
consecutive days, the possessor of the
land may occupy or retain the same,
U.P. LAW BOC PROPERTY
the owner having lost his ownership by
leaving, abandoned them (no intention
to recover). [Art. 716, CC]
d. Pigeons and Fish
Pigeons and fish which from their
respective breeding places pass to
another pertaining to a different owner
shall belong to the latter, provided they
have not been enticed by some artifice
or fraud.
2. Of Other Personal Property
a. Abandoned – may be acquired
b. Lost
Whoever finds a movable, which is not
treasured, must return it to its previous
possessor. If the latter is unknown, the
finder shall immediately deposit it with
the mayor of the city or municipality
where the finding has taken place.
The finding shall be publicily
announced by the mayor for two
consecutive weeks in the way he
deems best.
If the movable cannot be kept without
deterioration, or without expenses
which considerably diminish its value, it
shall be sold at public auction eight
days after publication.
Six months from the publication
having elapsed without the owner
having appeared, the thing found, or
its value, shall be awarded to the
Page 194 of 532
CIVIL LAW
finder. The finder and the owner shall
be obliged, as the case may be, to
reimburse the expenses. [Art. 719, CC]
3. Of Land
• Land cannot be the object of
occupation. [Art. 714, CC]
• Land of public dominion belongs to the
State.
• Abandoned private lands are deemed
as patrimonial property of the State
4. Hidden Treasure
Definition: Any hidden and unknown deposit
of money, jewelry, or other precious objects,
the lawful ownership of which does not appear.
[Art. 439, CC]
General Rule: Belongs to the owner of the
land, building, or other property on which it is
found. [Art. 438, CC]
Exceptions
1. If discovery made on property of
another, the State, or any of its
subdivisions AND by chance: one-half
shall be allowed to the finder
2. If finder is a trespasser: he shall not be
entitled to any share of the treasure
3. If the things found be of interest to
science or the arts: State may acquire
them at their just price, which shall be
divided in conformity with rule stated [Art.
438 (3), CC]
U.P. LAW BOC PROPERTY CIVIL LAW

2. Donation

Donation is an act of liberality whereby a person disposes gratuitously of a thing or right in favor of
another, who accepts it. (simple donation) [Art. 725, CC]

Although under Art. 725, CC, donation is an act, it is really a contract. The essential requisites of
consent, subject matter, and cause must be present. [Tolentino]
Nature Generally, donation includes all forms of gratuitous dispositions.
The patrimony or asset of the donor is decreased, while that of the donee is
Effect
increased.
[CADAF – Capacity, Animus donandi, Delivery, Acceptance, Form]

a. Capacity of donor to make donation

b. Donative intent (animus donandi)
c. Delivery (actual or constructive)
Requisites
d. Acceptance by donee
e. Necessary form prescribed by law

Note: Acceptance by the donee is required because donation is never obligatory.

One cannot be compelled to accept the generosity of another.
Other a. When a person gives to another a thing or right on account of the latter's
instances merits or of the services rendered by him to the donor, provided they do not
considered constitute a demandable debt. (Remuneratory donation) [Art. 726, CC]
as a b. When the gift imposes upon the donee a burden that is less than the value of
donation the thing given. (Onerous donation) [Art. 726, CC]
Donation Inter Vivos [Art. 729-731, CC]
Donation which shall take effect during the lifetime of the donor upon
concurrence of the requirements of donation, though the property
shall not be delivered until after the donor's death.

General Rule: Irrevocable

Kinds of As to its
Exceptions:
Donations taking effect
a. Subsequent birth of the donor’s children [Art. 760, CC];
b. Donor’s failure to comply with imposed conditions [Art. 764,
CC];
c. Donee’s ingratitude [Art. 765, CC]; or
d. Reduction of donation by reason of inofficiousness [Art. 752,
CC].
Donation Propter Nuptias [Art. 82, FC]
A special type of donation made by reason of marriage.

Requisites:
a. Must be made before the celebration of marriage;
b. Made in consideration of the marriage; and
c. Made in favor of one or both of the future spouses.

Causes for revocation of donation propter nuptias [Art. 86, FC]:

a. If the marriage is not celebrated or judicially declared void ab
initio, except donations made in the marriage settlements,
which shall be governed by Article 81;

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U.P. LAW BOC PROPERTY CIVIL LAW

b. When the marriage takes place without the consent of the

parents or guardian, as required by law;
c. When the marriage is annulled, and the donee acted in bad
faith;
d. Upon legal separation, the one being the guilty spouse;
e. If it is with a resolutory condition and the condition is complied
with; or

When the donee has committed an act of ingratitude as specified by

the provisions of the CC on donations in general.
Donation Mortis Causa [Art. 728, CC]
It only becomes effective upon the death of the donor, as the
donor’s death ahead of the donee works as a suspensive condition
for the existence of the donation.

Characteristics:
a. The transferor retains ownership and control of the property
while alive;
b. The transfer is revocable at will before his death; and
The transfer will be VOID if the transferor should survive the
transferee.
a. Simple - made out of pure liberality or because of the merits
of the donee.
b. Remuneratory - made for services already rendered to the
donor.
As to cause c. Onerous - imposes a burden inferior in value to property
or donated.
consideration d. Improper - burden equal in value to property donated.
e. Sub-modo or modal - imposes a prestation upon donee as to
how property donated will be applied.
Mixed donations – e.g. sale for price lower than value of property.
[Labitag Syllabus]

Ordinary Propter Nuptias

As to requirement of express acceptance
Necessary [Art. 745-747, CC] Not necessary. Implied acceptance is enough.
As to future property
May include future property (same rule as wills)
Cannot include future property [Art. 751, CC]
[Art. 84, FC]
As to limit on donation of present property
No limit to donation of present property
If present property is donated and property regime
provided legitimes are not impaired. [Art. 750
is other than ACP, limited to 1/5. [Art. 84, FC]
and 752, CC]
As to grounds for revocation
Enumerated in Arts. 760, 764, and 765, CC Enumerated in Art. 86, FC

Inter vivos Mortis causa

As to formalities
Executed and accepted with formalities Must be in the form of a will, with all the formalities
prescribed by CC. [Art. 748 and 749] for the validity of wills. [Art. 728, CC]

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U.P. LAW BOC PROPERTY CIVIL LAW

As to effectivity
Effective during the lifetime of the donor. It
takes effect independently of the donor’s Effective after the death of the donor. [Art. 728, CC]
death. [Art. 729, CC]
As to acceptance
Acceptance must be made after the death of the
donor, the donation being effective only after the
Acceptance must be made during the lifetime death of donor. Acceptance during the donor’s
of the donor. [Art. 746, CC] lifetime is premature and ineffective because there
can be no contract regarding future inheritance.
[Art. 728, CC]
As to transfer of ownership for right of disposition
Ownership is immediately transferred. Upon acceptance by the donee, but the effect of
Delivery of possession is allowed after death. such retroacts to the time of death of the donor.
As to revocation
Irrevocable – may be revoked for the reasons Revocable upon the exclusive will of the donor.
provided in Arts. 760, 764, 765, CC. [Ganuelas v. Cawed, G.R. No. 123968 (2003]
As to reduction or suppression
When it is excessive or inofficious [Art. 750,
CC] or for any of the reasons provided for in
When it is excessive or inofficious, it is reduced
Art. 760, CC. Being preferred, it is reduced
first, or even suppressed.
only after the donations mortis causa had
been reduced or exhausted.
As to effect if donor survives donee
Donation is void. [Maglasang v. Heirs of
Not affected.
Cabatingan, G.R. 131953 (2002)]

FORMALITIES REQUIRED
FOR MOVABLES [Art. 748, CC] FOR IMMOVABLES [Art. 749, CC]
The donation of a movable may be
made orally or in writing. Oral General Rule: Must be in a public document for it to be
donation requires simultaneous valid.
delivery.
If value of property exceeds P5,000: If donation and acceptance are in the same instrument:
a. Donation and acceptance a. It must be in a public instrument.
must be in writing; otherwise, b. Instrument must specify the property donated and
it is void. the value of the charges.
b. It need not be in public
instrument; neither is it If donation and acceptance are in separate instruments:
necessary that the a. It must be in a public instrument.
acceptance be in the same b. Instrument must specify the property and the value
instrument as the deed of of the charges.
donation. [Tolentino] c. Acceptance must also be in a public instrument.
d. It must be made during the lifetime of the donor.
If value is P5,000 or less: [Art. 746, CC]
a. If orally: there must be e. Donor must be notified in authentic form of such
simultaneous delivery acceptance made in a separate instrument.
b. If in writing: donation is valid f. Fact of such notification must be noted in both
even without simultaneous instruments.
delivery

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U.P. LAW BOC PROPERTY CIVIL LAW

c. In every case, acceptance Exceptions:

must be made known to the a. Donations propter nuptias: need no express
donor for perfection of a acceptance.
donation to take place. [Art. b. Onerous donations: governed by rules on
746, CC] contracts.

Notes:
a. Donation of real property in a private instrument is
null and void.
b. Registration is not necessary for the donation to be
considered valid and effective. This only comes into
play with respect to affected third persons.
c. There is nothing that prevents the donor or his heirs
to execute a public document ratifying a previous
donation that has been avoided for lack of
compliance with the legal requisites. This
ratification had the effect of a new donation
[Abragan v. Centenera, G.R. No. 22173, (1924)].
d. Action to declare the inexistence of a void donation
does not prescribe [Art. 1410, CC].

What may be donated

All present property of the donor or part thereof. [Art. 750, CC]
Limitation:
a. The donor reserves, in full ownership or usufruct, sufficient means for support of himself and
all relatives entitled to be supported by donor at the time of acceptance. [Art. 750, CC]
b. The donor reserves property sufficient to pay donor’s debts contracted before donation,
otherwise, donation is in fraud of creditors. [Arts. 759, 1387, CC]
c. Donations provided for in marriage settlements between future spouses – must be not more
than 1/5 of present property. [Art. 84, FC]
d. Donation propter nuptias by an ascendant consisting of jewelry, furniture or clothing not to
exceed 1/10 of disposable portion. [Art. 1070, CC]
What may not be donated
a. Future property; those which the donor cannot dispose of at the time of the donation [Art.
751, CC]
b. More than what he may give or receive by will [Art. 752, CC]. If it exceeds what he may give
or receive by will, then it is considered inofficious.
Limitations
a. Reservation of sufficient means for support of donor and relatives [Art. 750, CC]
1. A donor may donate his present property provided he reserves sufficient property in
ownership or in usufruct for the support of himself and all of his relatives who are entitled to
be supported by him.
2. Present property: property which the donor can rightfully dispose of at the time of donation.
3. Donation without reservation is not null and void in its entirety; it is only subject to reduction
by the court.
4. Limitation applies to simple, remunerative and modal donations but not to onerous ones nor
to donations mortis causa.
b. Donations cannot comprehend future property [Art. 751, CC]
1. Future property: understood as anything which the donor cannot dispose of at the time of
the donation.
2. Nobody can dispose of that which does not belong to him.

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U.P. LAW BOC PROPERTY CIVIL LAW

3. Future inheritance cannot be donated because it is considered future property. However,

upon the death of his predecessor, the inheritance ceases to be future and consequently,
may be the object of donation. [Osorio v Osorio, supra]
c. Amount of donation limited to what donor may give by will [Art. 752, CC]
1. A person may not donate more than he can give by will.
2. Limitation applies where donor has forced or compulsory heirs.
Donations made to several persons jointly
A joint donation (donation to two or more persons) could not be accepted by a donee independently
of the other donee/s. [Genato v. de Lorenzo, G.R. No. L-24983 (1968)]

No accretion – one donee does not get the share of the other donees who did not accept. [Art. 753,
CC]

Exception: those given to husband and wife, except when the donor otherwise provides. [Art. 753,
CC]
Donor
Who are allowed: All persons who may contract (of legal age) and dispose of their property. [Art.
735, CC]

Donor’s capacity is determined at the time of the making of donation [Art. 737, CC] Subsequent
incapacity is immaterial.

Note: Capacity to donate is NOT required for donations mortis causa. [Tolentino]

Who are NOT allowed:

a. Guardians and trustees with respect to the property entrusted to them. [Art. 736, CC]
b. Those disqualified by reason of public policy: [Art. 739, CC]
c. Those made between persons guilty of adultery or concubinage at the time of the donation;
d. Those made between persons guilty of the same criminal offense if the donation is made in
consideration thereof; or
e. Those made to a public officer, his spouse, descendants, and/or ascendants by reason of
the office.
Donee
Who are allowed to accept donations:
a. Those who are not specifically disqualified by law. [Art. 738, CC]
b. Those who are allowed, with qualifications:
1. Minors, insane/imbecile, deaf-mute and others who are incapacitated [see Art. 38, CC],
provided that their acceptance is done through their parents or legal representatives. [Art.
741, CC]
2. Conceived and unborn children, provided that the donation is accepted by those who would
legally represent them if they were already born. [Art. 742, CC]

Who are not allowed:

a. Made between persons who are guilty of adultery or concubinage. [Art. 739, CC]
b. Made between persons found guilty of the same criminal offense, in consideration thereof.
[Art. 739, CC]
c. Made to a public officer or his wife, descendant and ascendants, by reason of his office.
[Art. 739, CC]
d. Those who cannot succeed by will. [Art. 740, CC] – covers those stated under Arts. 1027
and 1032, CC.

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U.P. LAW BOC PROPERTY CIVIL LAW

e. Those made to incapacitated persons, although simulated under the guise of another
contract. [Art. 743, CC]
Acceptance of the donation
Who may accept: [Art. 745, CC]
a. Donee personally; or
b. Authorized person with a special power for the purpose, or with a general sufficient power.

When to accept: During the lifetime of the donor and of the donee. [Art. 746, CC]
What the donee acquires with the thing
He shall be subrogated to all the rights and actions that would pertain to the donor in case of eviction.
[Art. 754, CC]
Obligation of the donor
No obligation to warrant. [Art. 754, CC]

Exceptions:
a. When the donation is onerous. [Art. 754, CC]
In which case, the donor shall be liable for eviction to the concurrence of the burden; and
b. Liable for eviction or hidden defects in case of bad faith on the donor’s part.
Obligation of the donee
If the donation so states, the donee may be obliged to pay the only debts previously contracted
by the donor and in no case shall he be responsible for the debts exceeding the value of the thing
donated. [Art. 758, CC]
Exception: When a contrary intention clearly appears. [Art. 758, CC]

SPECIAL PROVISIONS
What may be reserved by the donor [Art. 755, CC]
The right to dispose of some of the things donated, or of some amount which shall be a charge
thereon.
Exception: If the donor dies without exercising this right. In which case, the property or amount
reserved shall belong to the done.
Donation of naked ownership to one donee and usufruct to another [Art. 756, CC]
The naked ownership and the usufruct may be donated separately, provided that all the donees
are living at the time of the donation.
Payment of donor’s debt [Art. 758, CC]
a. If expressly stipulated, the donee must pay only the debts contracted before the donation
unless specified otherwise.
But in no case shall the donee be responsible for debts exceeding the value of the property donated
unless clearly intended.
b. If there’s no stipulation, the donee will be answerable only for the donor’s debt only in case
the donation is in fraud of creditors. [Art. 759, CC]
Reversion [Art. 757, CC]
The property donated may be restored or returned to:
a. Donor or his estate (reversion may be for any case and circumstance); or
b. Other persons (such persons MUST all be living at the time of the donation)

Note: Any reversion stipulated by the donor in favor of a third person in violation of what is provided
in the foregoing shall be void, but shall not nullify the donation.
Double donations [Art. 744, CC]
Rule: Priority in time, priority in right.
a. If movable: One who first took possession in good faith. [Art. 1544, CC]

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U.P. LAW BOC PROPERTY CIVIL LAW

b. If immovable: One who first recorded in Registry of Property in good faith. [Art. 1544, CC]
c. If there is no inscription, the one who first took possession in good faith. [Art. 1544, CC]
d. In the absence thereof (possession), one who can present the oldest title, provided there is
good faith. [Art. 1544, CC]
Excessive/Inofficious Donations [Art. 752, CC]
Inofficious donation: A type of donation in which a person gives or receives more than what he
may give or receive by will. If a donation is inofficious, it shall be reduced with regard to the excess.

But this reduction shall not prevent the donations from taking effect during the life of the donor, nor
shall it bar the donee from appropriating the fruits. [Art. 771, CC]

Note: Only those who, at the time of the donor's death, have a right to the legitime, and their heirs
and successors-in-interest, may ask for the reduction or inofficious donations. [Art. 772, CC]

If, there being two or more donations, the disposable portion is not sufficient to cover all of them,
those of the more recent date shall be suppressed or reduced with regard to the excess. [Art. 773,
CC]
Donations cannot comprehend future property [Art. 751, CC]
Future property: Understood as anything which the donor cannot dispose of at the time of the
donation.

Note: It is immaterial that the then-future property may subsequently belong to the donor. [Tolentino]
In fraud of creditors [Art. 759, CC]
Donation is always presumed to be in fraud of creditors, when at the time thereof the donor did not
reserve sufficient property to pay his debts prior to the donation.
There being no stipulation regarding the payment of debts, the donee shall be responsible for
donor’s debts only when the donation has been made in fraud of creditors, otherwise creditors may
rescind donation by way of accion pauliana.
VOID DONATIONS
a. Donation between spouses [Art. 87, FC]
General Rule: Every donation or grant of gratuitous advantage, direct or indirect, between the
spouses during the marriage shall be VOID. The prohibition applies to persons living together as
husband and wife without a valid marriage.
Exception: Moderate gifts which the spouses may give each other on the occasion of any family
rejoicing.
b. Those made between persons mentioned under Art. 739, CC
c. Those made to persons incapacitated to succeed by will. [Art. 740, CC]

REVOCATION/REDUCTION
Reduction
● Total withdrawal of amount, whether the legitime is impaired or not.
● Benefits the donor.

Revocation
● Amount is only insofar as the legitime is prejudiced.
● Benefits the donor’s heirs (except when made on the ground of the appearance of a child).
● Revocation due to birth, appearance, or adoption of a child applies only to donations inter vivos
and not to donations mortis causa, onerous donations, and donations propter nuptias. [De Leon,
p. 676]

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U.P. LAW BOC PROPERTY CIVIL LAW

Time of Action Transmissibility Effect Liability (Fruits)

Birth, appearance, adoption [Art. 760, CC]
• Property is
returned.
• If the property
has been sold,
its value at the
time of
donation shall
be returned.
• If the property
Within 4 years Transmitted to
was
from birth, children and
mortgaged, the Fruits returned from the filing of
legitimation and descendants upon
donor may the complaint. [Art, 768, CC]
adoption. [Art. 763, the death of donor.
redeem the
CC] [Art. 763, CC]
mortgage, by
paying the
amount
guaranteed,
with right to
recover the
amount from
the done. [Art.
762, CC]
Non-compliance with condition [Art. 764,CC]
May be transmitted
to donor’s heirs and
may be exercised
against donee’s
heirs.
Property returned
Note: Art. 764 does to the donor,
not apply to alienations by the
Within 4 years Fruits received after having failed
onerous donations donee and
from non- to fulfill condition are to be
in view of Art. 733, mortgages void
compliance. returned. [Art. 768, CC]
providing that subject to rights of
onerous donations third persons in
are governed by good faith.
the rules on
contracts. [De Luna
v. Abrigo, 181
SCRA 150 (1990)]

Ingratitude [Art. 765, CC]

Applies to all donations
EXCEPT: Mortis causa; Propter nuptias; Onerous donations

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U.P. LAW BOC PROPERTY CIVIL LAW

Property returned,
Not transmitted to but alienations and
Within 1 year after
heirs of donor/ mortgages effected
knowledge by
donee, but if donor before the notation
donor of the fact Fruits received from the filing of
dies during of the complaint for
and it was possible the complaint returned. [Art. 768,
pendency of case, revocation in the
for him to bring the CC]
heirs may be registry of property
action. [Art. 769,
substituted. [Art. subsist. Later ones
CC]
770, CC] shall be void. [Art.
776, CC]
Failure to reserve sufficient means for support [Art. 750, CC]
Reduced to the
At any time, by the
extent necessary to
donor or relatives Not transmissible. Donee entitled. [Art. 771, CC]
provide support.
entitled to support.
[Art. 771, CC]
Inofficiousness for being in excess of what the donor can give by will [Art. 752, CC]
Donation takes
effect on the
Within 5 years from lifetime of donor.
Transmitted to
the death of the Reduction only
donor’s heirs. [Art. Donee entitled. [Art. 771, CC]
donor. [Art. 1149, upon his death with
772, CC]
CC] regard to the
excess. [Art. 771,
CC]
Fraud against creditors [Art. 1381]
Rescission within 4
years from the Returned for the
Transmitted to
perfection of benefit of the Fruits returned, or if impossible,
creditor’s heirs or
donation creditor who indemnify creditor for damages.
successors-in-
(knowledge of the brought the action. [Art. 1385 and 1388, CC]
interest.
donation). [Art. [Art. 1388, CC]
1389, CC]

3. Prescription
Who may acquire
[See also, Part III. PRESCRIPTION.] Persons who are capable of acquiring property
or rights by the other legal modes may acquire
Definition the same by means of prescription. [Art. 1107
By prescription, one acquires ownership and (1), CC]
other real rights through the lapse of time in the
manner and under the conditions laid down by Minors and other incapacitated persons may
law. In the same way, rights and conditions are acquire property or rights personally or through
lost by prescription. [Art. 1106, CC] their parents, guardians, or legal
representatives.
Note: For purposes of ACQUIRING
OWNERSHIP, only ACQUISITIVE Kinds of prescription
PRESCRIPTION is being referred to. a. Acquisitive Prescription
• The acquisition of ownership and other
real rights through possession in the

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U.P. LAW BOC PROPERTY CIVIL LAW

concept of owner of a thing in the ● Possession has to be in the concept of

manner and condition provided by law.
• Ordinary acquisitive prescription:
requires possession of things in good
faith and with just title for the time fixed
by law.
Note: Ownership and other real rights
over immovable property are acquired
by ordinary prescription through
possession of ten years [Art. 1134,
CC].
an owner, public, peaceful, and
uninterrupted. [Art. 1118, CC]
b. Extinctive prescription
● The loss or extinguishment of property
rights or actions through the
possession by another of a thing for the
period provided by law or through
failure to bring the necessary action to
enforce one’s right within the period
fixed by law.

• Extraordinary acquisitive Acquisitive Extinctive

prescription: acquisition of ownership Prescription Prescription
and other real rights without need of Requires inaction
Requires positive
title or of good faith or any other of the owner out of
action of the
condition. possession or
possessor (a
neglect of one with
claimant) who is not
• Prescription where possession in a right to bring his
the owner.
good faith converted into action.
possession in bad faith: Applicable to all
Applicable to
a. Ordinary kinds of rights,
ownership and other
i. Movable properties - 4 whether real or
real rights.
years [Art. 1132, CC] personal.
ii. Immovable properties - 10 Vests the property Vests the property
years [Art. 1134, CC] and raise a new title in and raise a new title
b. Extraordinary: the occupant. in the occupant.
i. Movable properties - 8 Results in the
years [Art. 1132 and 1140, Merely results in
acquisition of
CC] the loss of a real or
ownership or other
ii. Immovable properties - 30 personal right, or
real rights in a person
years [Art. 1137, CC] bars the cause of
as well as the loss of
action to enforce
said ownership or real
! As a mode of acquisition, said right.
rights in another.
prescription requires existence of Should be
following [Tolentino]: Can be proven under affirmatively
a. Capacity of the claimant to acquire the general issue pleaded and
by prescription; without its being proved to bar the
b. A thing capable of acquisition by affirmatively pleaded. action or claim of
prescription; the adverse party.
c. Adverse possession of the thing
under certain conditions; and
d. Lapse of time provided by law.
e. Possession must be in the concept
of owner, not holder.
● For extraordinary prescription, only
possession in the concept of owner is
required; no need of good faith and just
title.

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U.P. LAW BOC PROPERTY CIVIL LAW

Who may acquire by prescription

PRESCRIPTION 1. Persons who are capable of acquiring
property by other legal modes;
Definition 2. State;
By prescription, one acquires ownership and 3. Minors – through guardians of personally.
other real rights through the lapse of time in the
manner and under the conditions laid down by
law. In the same way, rights and conditions are A. TYPES OF
lost by prescription. [Art. 1106, CC] PRESCRIPTION
In the same way, rights and actions are lost by
prescription. [Art. 1106, CC] Acquisitive Extinctive
Prescription Prescription
Note: The provision impliedly differentiates two Requires positive Requires inaction of
kinds of prescription: acquisitive (par. 1) and action of the the owner out of
extinctive (par. 2). For purposes of possessor (a possession or
ACQUIRING OWNERSHIP, only claimant) who is not neglect of one with a
ACQUISITIVE PRESCRIPTION is being the owner. right to bring his
referred to. action.
Applicable to Applicable to all
Negligence as basis of prescription – both ownership and other kinds of rights,
kinds of prescription are essentially based on real rights. whether real or
negligence of the owner of the right. personal.
Vests the property Vests the property
Retroactive – acquisition of rights through and raises a new title and raises a new title
prescription is retroactive. One is deemed to in the occupant. in the occupant.
have acquired the right at the moment the Results in the Merely results in the
prescription began to run, once the period is acquisition of loss of a real or
completed. ownership or other personal right or
real rights in a bars the cause of
Rationale person as well as the action to enforce
It is purely statutory in origin. It is founded on loss of said said right.
grounds of public policy which requires for the ownership or real
peace of society, that juridical relations rights in another.
susceptible of doubt and which may give rise to Can be proven under Should be
disputes, be fixed and established after the the general issue affirmatively pleaded
lapse of a determinate time so that ownership without its being and proved to bar the
and other rights may be certain for those who affirmatively action or claim of the
have claim in them. pleaded. adverse party.

Requisites of prescription as a mode of 1. Acquisitive Prescription

acquiring ownership
1. Capacity to acquire by prescription;
2. A thing capable of acquisition by
prescription;
3. Possession of the thing under certain
conditions; and
4. Lapse of time provided by law.
a. acquisition of a right, adverse possession,
or usurpation;
b. refers to the possessor as the actor, as a
claimant in possession;
c. vests property;
d. the basis is the assertion of the usurper of
an adverse right, uncontested by the true
owner of the right, and gives rise to the

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U.P. LAW BOC PROPERTY
presumption that the latter has given up the
right to the former.
The acquisition of ownership and other real
rights through possession in the concept of
owner of a thing in the manner and condition
provided by law. May be ordinary or
extraordinary:
1. Ordinary: requires possession of
things in good faith and with just title for
the time fixed by law.
2. Extraordinary: acquisition of
ownership and other real rights without
need of title or of good faith or any other
condition.
Prescription where possession in good faith
converted into possession in bad faith:
1. Ordinary
● Movable properties - 4 years [Art. 1132,
CC]
● Immovable properties - 10 years [Art.
1134, CC]
2. Extraordinary:
● Movable properties - 8 years [Art. 1132
and 1140, CC]
● Immovable properties - 30 years [Art.
1137, CC]
Possession has to be in the concept of an
owner, public, peaceful, and uninterrupted.
[Art. 1118, CC]
a. Ordinary
It requires possession of things in good faith
and with just title for the time fixed by law.
Good faith
If he is not aware of the existence of any flaw
or defect in his title or mode of acquisition
which invalidates it [Art. 526 in relation to Art.
1128, CC] and has reasonable belief that the
person from whom he received the thing was
the owner thereof, and could transmit his
ownership [Art. 1127, CC].
Just title
It means that the possessor obtained the
possession of the property through one of the
modes recognized by law for acquiring
Page 206 of 532
CIVIL LAW
ownership but the transferor or grantor was not
the owner of the property or he has no power
to transmit the right [Art. 1129, CC].
b. Extraordinary
a. a loss of the right and limitation of actions;
b. refers to the neglect of the owner, who is
out of possession;
c. bars the right of action;
d. the basis is the probability that alleged right
never existed or has already been
extinguished, or if it exists, the
inconvenience caused by the prescription
should be borne by the negligent party.
Prescription where the possessor is in bad
faith. It does not require good faith or just title
but possession for a period longer than
ordinary acquisitive prescription [Pineda,
2009].
Requisites
1. Capacity of the possessor to acquire by
prescription;
2. Susceptibility of object to prescription;
3. Adverse possession of the character
prescribed by law;
4. Lapse of time required by law; and
5. Good faith of possessor or proof of just
title.
2. Extinctive Prescription
Basis
It based on the probability, born of experience,
that the alleged right which accrued in the past
never existed or has already been
extinguished; or if it exists, the inconvenience
caused by the lapse of time should be borne by
the party negligent in the assertion of his right
[Tolentino].
a. Characteristics
The loss or extinguishment of property rights or
actions through the possession by another of a
thing for the period provided by law or through
failure to bring the necessary action to enforce
one’s right within the period fixed by law.
U.P. LAW BOC SUCCESSION CIVIL LAW

Arts. 815-817, CC (summarized in the table ATTESTED OR NOTARIAL WILLS

below) provide for the various governing laws
in these instances: Formal requirements for notarial wills
1. A will was made in a foreign country by 1. Subscribed at the end
a Filipino [Art. 815] 2. Attestation clause
2. A will was made in a foreign country by 3. Marginal signatures
an alien [Art. 816] 4. Page numbers
3. A will was made in the Philippines by 5. Acknowledged by a notary public
an Alien [Art. 817] 6. Additional requirements for handicapped
testators
Governing Law as to Place of Execution of 7. Subscribed by 3 or more witnesses in the
Will presence of the testator and of one another
Place of
Testator Execution Governing Law Note: Unlike in holographic wills, there is no
of Will requirement that an attested will should be
Philippine Law [Art. dated.
Philippines
16, CC]
1. Philippine Law Formal Requirement
[Art. 815, CC] Subscribed at the end of
Filipino Outside of 2. Law of the the will by:
the country in a. Testator himself
Philippines which it is b. Testator’s name
Subscription
executed [Art. written by a
17, CC] representative in his
1. Philippine Law; presence and under his
or express direction
2. Law of the Attested and subscribed by
country of 3 or more credible
Philippines
which testator witnesses in the presence
is a citizen or of the testator and of one
subject [Art. another [Art. 805, CC]
817, CC]
1. Philippine Law The attestation clause shall
[Art. 816, CC]; state the following [par. 3,
or Art. 805, CC]:
Alien 2. Law of the 1. Number of pages;
testator’s Attestation 2. The fact that the
country; or Clause testator or his
Outside of 3. Law of the representative
the place where the under his express
Philippines testator direction signed
resides; or the will and every
4. Law of the page in the
country where presence of
the will is instrumental
executed [Art. witnesses
17, CC] 3. That the witnesses
signed the will and

Page 215 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

all its pages in the 1. When the will consists

presence of the of only one page
testator and of one 2. When the will consists
another. of only two pages, the
first of which contains
The signatures of the all dispositions and is
witnesses must be at the signed at the bottom by
bottom of the attestation the testator and the
clause [Cagro v. Cagro, witnesses, and the
G.R. No. L-5826 (1953)]. second page contains
only the attestation
The notary public cannot clause duly signed at
be counted as an attesting the bottom by the
witness [Cruz v. Villasor, witnesses. [Abangan v.
G.R. No. L-32213 (1973)]. Abangan, G.R. No. L-
13431 (1919)]
Test of presence: Not 3. The use of thumbprint
whether they actually saw was allowed [Matias v.
each other sign, but Salud, G.R. No. L-
whether they might have 10751 (1958)]
seen each other sign had 4. The inadvertent failure
they chosen to do so of one witness to affix
considering their mental his signature to one
and physical condition and page of a testament,
position with relation to due to the
each other at the moment simultaneous lifting of
of inscription of each two pages in the
signature [Jaboneta v. course of signing, is not
Gustilo, G.R. No. 1641 per se sufficient to
(1906)]. justify denial of
probate. [Icasiano v.
Effect of Omissions: Icasiano, G.R. No. L-
Omissions can be supplied 18979 (1964)]
by an examination of the All the pages of the will
will itself, without the need shall be numbered
of resorting to extrinsic correlatively in letters
Page
evidence, will not be fatal placed on the upper part of
Numbers
and will not prevent each page (i.e. Page One
allowance of the will. of Five Pages). [Art. 805,
General rule: Testator or CC]
his representative shall The certification of
write his name, and the acknowledgement need
Acknowledged
Marginal witnesses shall sign each not be signed by the notary
by a notary
Signatures and every page except the in the presence of the
public [Art.
last page [Art. 805, CC]. testator and the witnesses.
806, CC]
[Javellana v. Ledesma,
Exceptions: G.R. L-7179 (1955)]

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U.P. LAW BOC SUCCESSION CIVIL LAW

1. Deaf Mute [Art. 807,

CC] Supervening
a. Testator must incompetency shall not
personally read the prevent the allowance of
will; or the will [Art. 822, CC].
b. Testator shall
personally Rules on Interested Witness [Art. 823, CC]
designate two General Rule Exception
persons to read the Devises or If there are three other
contents and legacies in favor competent witnesses,
communicate it to of an interested the devise or legacy
him in some witness or his or shall be valid and the
practicable her spouse, interested witness shall
Additional
manner. parent, or child be treated as a mere
Requirements
2. Blind [Art. 808, CC] will be void surplusage
for
a. The will shall be
handicapped
read to the testator HOLOGRAPHIC WILLS
testators
twice – By one of
the subscribing Formal Requirements for Holographic Wills
witnesses and by 1. In writing [Art. 804, CC]
the notary public 2. In a language known to the testator
acknowledging the [Art. 804, CC]
will. 3. Entirely written, dated and signed in the
b. A testator suffering hand of the testator himself [Art. 810,
from glaucoma CC]
may be considered
as legally blind Witnesses Required for Probate [Art. 811,
[Garcia v. CC]
Vasquez, G.R. No. 1. At least one witness who knows the
L-26615 (1970)] handwriting and signature of the
Qualifications [Art. 820, testator; explicitly declare that it is the
CC] testator’s
1. Of sound mind 2. If contested – at least 3 of such
2. Aged 18 years or over witnesses
3. Not blind, deaf or dumb 3. In the absence of a competent
4. Able to read and write witness, expert testimony may be
Subscribed by
3 or more resorted to
Disqualifications [Art. 821,
witnesses in
CC] General rule: The holographic will itself must
the presence
1. Person not domiciled in be presented for probate [Gan v. Yap, G.R. No.
of the testator
the Philippines L-12190 (1958)]
and of one
2. Those who have been
another
convicted of Exception: If there is a photostatic copy or
falsification, perjury, or xerox copy of the holographic will, it may be
false testimony. presented for probate [Rodelas v. Aranza, G.R.
No. L58509 (1982)]
Creditors may be
witnesses [Art. 824, CC].

Page 217 of 532

U.P. LAW BOC SUCCESSION
Additional Dispositions
In holographic wills, the dispositions of the
testator written below his signature must be
dated and signed by him in order to make
them valid as testamentary dispositions [Art.
812, CC]
When a number of dispositions appearing in a
holographic will are signed without being
dated, and the last disposition has a signature
and date, such date validates the dispositions
preceding it, whatever be the time of prior
dispositions. [Art. 813, CC]
Insertion, Cancellation, Erasure Or
Alteration [Art. 814, CC]
Testator must authenticate by his full signature.
If such change is not authenticated by the
testator, such change is considered not made.
Thus, “the will is not thereby invalidated as a
whole, but at most only as regards the
particular words erased, corrected, or
inserted.” [Kalaw v. Relova, G.R. No. L-40207
(1984), citing Velasco v. Lopez (1903)]
Note, however, that in the case of Kalaw v.
Relova, the alteration involved the designation
of the testator’s sole heir. In this case, the
holographic Will had only one substantial
provision, which was altered by substituting the
original heir with another, but which alteration
did not carry the requisite of full authentication
by the full signature of the testator, the effect
must be that the entire Will is voided or revoked
for the simple reason that nothing remains in
the Will after that which could remain valid.
Effect of Insertion Written by Another
Person on the Validity of a Holographic Will
When Made Effect
Insertion considered
After the not written. Validity
execution, without cannot be defeated by
consent of testator the malice or caprice
of a third person
After execution, Will is valid, insertion
with consent is void
Page 218 of 532
CIVIL LAW
Will is void
Contemporaneous
because it is not
to the execution of
written entirely by
the will
the testator
JOINT WILLS
Elements
1. A single testamentary instrument,
2. Which contains the wills of two or more
persons,
3. Jointly executed by them,
4. Either for their reciprocal benefit or for the
benefit of a third person.
Filipinos cannot make Joint Wills
Joint wills executed by Filipinos, whether in the
Philippines or abroad, are prohibited.
Note: Separate documents, each serving as
one independent will (even if written on the
same sheet) are not considered joint wills.
MUTUAL WILLS
1. Executed pursuant to an agreement
between two or more persons,
2. Jointly executed by them,
3. Either for their reciprocal benefit or for
the benefit of a third person.
This is prohibited under Article 818.
RECIPROCAL WILLS
1. Testators name each other as
beneficiaries in their own wills (there
are therefore 2 separate documents),
2. Under similar testamentary plans –
valid
CODICILS
1. It is a supplement or addition to a will,
2. made after the execution of a will,
3. and annexed to be taken as a part of
the will,
U.P. LAW BOC SUCCESSION CIVIL LAW

dispose of their shares in the estate (in 3. Kinds of successors

the absence of existing debts/claims
against the estate); 1. Heirs – those who are called to the whole
4. Since succession takes place by or an aliquot portion of the inheritance
operation of law at the moment of the either by will or by operation of law [Art.
death of the decedent, the heirs can 782, CC]
sue upon the rights of the decedent, ● Compulsory Heirs
without having to be appointed ● Voluntary or Testamentary Heir
executor or administrator [Emnace v. ● Legal or Intestate Heirs
CA, G.R. No. 126334 (2001)], and
without need of a judicial declaration of 2. Devisees and Legatees
their status as heirs [De Vera v. • Devisees are persons to whom gifts of
Galauran, 67 Phil 213 (1939)]. Heirs real property are given by virtue of a
may also be sued without a previous will. [Art. 782]
declaration of heirship, provided there • Legatees are persons to whom gifts of
is no pending special proceeding for personal property are given by virtue of
the settlement of estate of the a will. [Art. 782]
decedent [Gayon v. Gayon, G.R. No. L-
28394 (1970)]. Note: In case of preterition, the distinction
5. The possession of hereditary property between heir and legatee/devisee is
is deemed transmitted to the heir significant. Preterition annuls the institution of
without interruption and from the heirs. It does not affect the institution of
moment of death of the decedent, in legatees and devisees provided that the
case the inheritance is accepted [Art. legitimes are not impaired [Art. 854, CC].
533, CC]
6. Estate taxes accrue upon death of the
decedent, even if the heirs come into Heir Legatee / Devisee
possession only later. Represents the
Does not represent
juridical personal
regardless of the
b. A person may be “presumed” dead for the obligations not
legacy or device’s
purpose of opening his succession. In this extinguished by
value
case, succession is only of provisional death
character because there is always a Succeeds to the
chance that the absentee may still be alive remainder of the Succeeds only to the
[Arts. 390-391, CC]. decedent’s determinate thing or
properties after all quantity which is
Subjects of Succession the debts and all the mentioned in the
a. Decedent – person whose property is legacies and devices legacy or device
transmitted through succession, whether or have been paid
not he left a will [Art. 775, CC] Can exist in either Can exist only in
○ Testator – a decedent who left a will [Art. testamentary or testamentary
775, CC] intestate succession succession
b. Successor – person who succeeds to the
property of the decedent.

Page 212 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

Note: testator must

B. TESTAMENTARY first specify the class
SUCCESSION and the amount of
property for proper
delegation
1. Wills
2. Free and intelligent [Art. 839, CC] –
Definition of a will: An act whereby a person
Execution of a will tainted by any vices
is permitted, with the formalities prescribed by
affecting the free will of the testator can
law to control to a certain degree the
cause its disallowance.
disposition of his estate to take effect after
his death [Art. 783, CC].
3. Solemn or formal – if the formalities of
a will required by law are not complied
KINDS OF WILLS
with, it will be disallowed. [Art. 839, CC]
1. Notarial – an ordinary or attested will,
which must comply with the requirements
4. Revocable and ambulatory – will can
of the law [Arts. 804-808, CC]
be revoked at any time before the
2. Holographic – a will entirely written, dated
testator’s death [Art. 828, CC]
and signed by the hand of the testator [Art.
810, CC]
5. Mortis causa – takes effect upon the
testator’s death [Art. 783, CC]
CHARACTERISTICS OF WILLS
1. Purely personal
6. Individual – prohibition against joint
General rule: the making of a will is a
wills [Art. 818, CC]
strictly personal act. Thus,
a. It cannot be left in whole or in
7. Executed with animus testandi –
part to the discretion of a third
intent to dispose of the property
person, or
b. It cannot be accomplished
8. Executed with testamentary
through an agent or attorney.
capacity
Exception
9. Unilateral act – does not involve an
What cannot be What may be
exchange of values or depend on
delegated to 3rd entrusted to 3rd
simultaneous offer and acceptance
persons persons
a. designation a. designation
10. Dispositive – disposes of property
of heirs, of
devisees person/instit
Even in the absence of dispositive

and legatees ution falling
provisions, a will disinheriting a
b. duration/effi under a class
compulsory heir is still a dispositive will
cacy of specified by
because a disinheritance has the effect
designation testator
of disposing the legitime of the
c. determinatio b. manner of
disinherited compulsory heir in favor of
n of portions, distribution of
other compulsory heirs [Seangio v.
when property
Reyes, G.R. Nos. 140371-72 (2006)].
referred to specified by
by name testator [Art.
Exceptions: Non-dispositive wills.
[Art. 785, 786, CC]
e.g. A will recognizing an illegitimate
CC] 

child

Page 213 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

11. Statutory grant – permitted only by 2. The testator must be at least 18 years old
law, not a constitutional right [Art. 797, CC]

RULES OF CONSTRUCTION AND 3. The testator must be of sound mind at the

INTERPRETATION [Arts. 788-795] time of execution [Art. 798, CC]

Main principle: Testacy is preferred to Test of soundness of mind: To be of sound

intestacy. The intent of the testator is mind, the testator must know:
paramount and must be given effect as far as a. The nature of the estate to be disposed
legally possible. of;
b. The proper objects of his bounty;
Governing Laws, In General c. The character of the testamentary act
Aspect of the Will Governing Law [Art. 799, CC]
Law in force at the
time the will was General rule: Soundness of mind is presumed
Formal Validity
executed [Art. 795, [Art. 800, CC]
CC]
Law of decedent’s Exceptions:
nationality at the a. When the testator, one month or less
Intrinsic Validity time of his death before the execution of the will, was
[Arts. 16 and 2263, publicly known to be insane. [Art. 800, CC]
CC] b. When the testator executed the will after
being placed under guardianship or
Aspects of the Will Governed by the ordered committed, in either case, for
National Law of the Decedent: insanity under Rules 93 and 101 of the
1. Order of succession; Rules of Court, and before said order has
2. Amount of successional rights; been lifted. [Torres v. Lopez, G.R. No. L-
3. Intrinsic validity of testamentary provisions; 25966 (1926); Balane]
and
4. Capacity to succeed [Art. 16, CC] FORMS OF WILLS

TESTAMENTARY CAPACITY AND INTENT In General [Art. 804, CC]

1. The will must be in writing
Time of Determining Capacity 2. It must be in a language or dialect known
Capacity to make a will is determined as of the to the testator
time of making thereof [Art. 798, CC].
Applicable Laws as to Formal Validity
Supervening incapacity does not invalidate an Applicable Law
effective will. Likewise, a supervening capacity Law in force at the time the
does not validate the will of an incapable [Art. Formal
will was executed [Art. 795,
801, CC]. Validity
CC]

Requisites for Capacity to Make a Will Place,

Law of the country in which
1. The testator must not be expressly Forms &
the will was executed [Art.
prohibited by law to make a will [Art. 796, Solemnities
17, CC]
CC] of a Will

Page 214 of 532

U.P. LAW BOC SUCCESSION
Extent of Grant [Art. 842, CC]
Freedom of disposition depends upon the
existence, kind and number of compulsory
heirs.
a. No compulsory heirs – Testator has full
power of disposition
b. With compulsory heirs – Testator cannot
disregard the rights of the compulsory
heirs. Testator may dispose of the free
portion of his estate only.
Effect of Predecease of Heir [Art. 856, CC]
Any heir who dies before the testator or is
incapacitated to succeed or renounces the
inheritance transmits no rights of the testator to
his own heirs. This is without prejudice to the
rights of representation [Tolentino].
Manner of Distribution
1. Heirs instituted without designation of
shares shall inherit in equal parts [Art.
846, CC]
2. If the institution pertains to some heirs
individually and others collectively, the
presumption is that all are individually
instituted [Art. 847, CC]
3. If siblings are instituted (whether full or
half-blood), the presumption is that the
inheritance is to be distributed equally
[Art. 848, CC]. This is different from the
rules of distribution in intestate
succession.
4. If parents and children are instituted,
they are presumed to have been
instituted simultaneously and not
successively [Art. 849, CC]
Note: By “unknown,” the Code actually means
persons who could not be ascertained; a
disposition in favor of a stranger is valid
[Tolentino].
Page 222 of 532
CIVIL LAW
Preterition
NOT ALTHOUGH NAMED
NAMED
He is not He is neither:
named in the 1. Instituted as an heir
will. 2. Expressly
disinherited
3. Assigned any part of
the estate
Thus: tacitly deprived of his right to legitime.
Concept [Art. 854, CC]
1. There must be a total omission of one,
some or all of the heir/s from the
inheritance. [Seangio v. Reyes, G.R. Nos.
140371-72 (2006)]
2. The omission must be that of a compulsory
heir.
3. The compulsory heir omitted must be of the
direct line.
4. The omitted compulsory heir must be living
at the time of the testator’s death or must
at least have been conceived before the
testator’s death.
No Preterition
If the heir in question is instituted in the will but
the portion given to him by the will is less than
his legitime – there is no preterition. [Reyes v.
Barretto-Datu, G.R. No. L-17817 (1967)]
If the heir is given a legacy or devise – there is
no preterition. [Aznar v. Duncan, G.R. No. L-
24365 (1966)]
If the heir had received a donation inter vivos
from the testator – the better view is that there
is no preterition. The donation inter vivos is
treated as an advance on the legitime under
Articles 906, 909, 910 and 1062.
The remedy, if the value of inheritance, legacy
or devise, or donation inter vivos is only for
completion of his legitime under Articles 906
and 907.
U.P. LAW BOC SUCCESSION CIVIL LAW

Distinguished from Disinheritance 3. Substitution of heirs

Preterition Disinheritance
• Tacit • Express Substitution - the appointment of another heir,
deprivation of a deprivation of a so that he may enter into the inheritance in
compulsory compulsory heir default of the heir originally instituted [Art. 857,
heir of his of his legitime CC].
legitime • Always voluntary
• May be • For some legal The substitute shall be subject to the same
voluntary but cause
 charges and conditions imposed upon the
the • If the instituted heir, unless the testator has
presumption of disinheritance is expressly provided the contrary, or the charges
law is that it is valid, the or conditions are personally applicable only to
involuntary 
 compulsory heir the heir instituted [Art. 862, CC].
• Law presumes disinherited is
there has been totally excluded Kinds of Substitution
merely from the
oversight or inheritance. In 1. BRIEF OR COMPENDIOUS [Art. 860,
mistake on the case of invalid CC]
part of the disinheritance,
testator the compulsory Brief – Two or more persons were
• Since heir is merely designated by the testator to substitute
preterition restored to his for only one heir
annuls the legitime
institution of Compendious – One person is
heirs, the designated to take the place of two or
omitted heir more heirs
gets not only
his legitime but 2. RECIPROCAL [Art. 861, CC]
also his share
in the free If the heirs instituted in unequal shares
portion not should be reciprocally substituted, the
disposed of by substitute shall acquire the share of the
way of legacies heir who dies, renounces, or is
and devises 
 incapacitated, unless it clearly appears that
the intention of the testator was otherwise.
Effects of Preterition [Art. 854, CC] If there is more than one substitute, they
1. The institution of the heir is annulled. shall have the same share in the
2. Devises and legacies shall remain valid substitution as the institution.
as long as they are not inofficious.
3. If the omitted compulsory heir should Example (only 1 substitute): If two heirs
die before the testator, the institution are reciprocally substituted, then if one of
shall be effective, without prejudice to them dies before the testator dies,
the right of representation. renounces, or turns out to be incapacitated,
the other will get his share, regardless of
When there are no devises and legacies, whether or not their shares are equal.
preterition will result in the annulment of the will
and give rise to intestate succession [Neri v. Example (more than 1 substitute): A is
Akutin, G.R. No. L-47799 (1941)]. instituted to 1/3, B to 1/6, and C to ½. If C

Page 223 of 532

U.P. LAW BOC SUCCESSION
dies before the testator, renounces or turns
out to be incapacitated, then the other two
will get his shares in the same proportion
as in the institution. A will get twice as much
as B (because his share of 1/3 in the
institution is twice the size of B’s share of
1/6)
3. SIMPLE SUBSTITUTION [Art. 859,
CC]
The testator may designate one or more
persons to substitute the heir/s instituted in
case the heirs should:
a. die before him (predecease),
b. should not wish to accept the
inheritance (repudiation), or
c. should be incapacitated to accept the
inheritance (incapacitated).
4. FIDEICOMMISSARY SUBSTITUTION
The testator institutes an heir with an
obligation to preserve and to deliver to
another the property so inherited. The heir
instituted to such condition is called the
First Heir or the Fiduciary Heir; the one to
receive the property is the
Fideicommissary or the Second Heir [Art.
863, CC].
Requisites [Arts. 863-865, CC]
a. A Fiduciary or first heir instituted is
entrusted with the obligation to
preserve and to transmit to a
Fideicommissary Substitute or second
heir the whole or part of the inheritance.
b. The substitution must not go beyond
one degree from the heir originally
instituted.
c. The Fiduciary Heir and the
Fideicommissary are living at the time
of the death of the testator.
d. The fideicommissary substitution must
be expressly made.
e. The fideicommissary substitution is
imposed on the free portion of the
estate and never on the legitime
Page 224 of 532
CIVIL LAW
In the absence of an obligation on the part of
the first heir to preserve the property for the
second heir, there is no fideicommissary
substitution. [PCIB v. Escolin, G.R. Nos. L-
27860 and L-27896 (1974)]
Effects of predecease of the first
heir/fiduciary or the second
heir/fideicommissary
Situation 1: If the heir dies followed by the
second heir, then the testator dies, who will
inherit? The legal heirs. There is no
fideicommissary substitution because first and
second heirs are not living at the time of the
testator’s death [Art. 863, CC].
Situation 2: The testator dies first followed by
the second heir. The first heir survived them but
subsequently dies, who will inherit? The SH
and his heirs under Art. 866, CC. This is
because the SH passes his rights to his own
heirs when he dies before FH.
Situation 3: If the first heir dies, followed by the
testator, then the second heir, who will inherit?
No specific provision in law, but SH inherits
because the T intended him to inherit.
4. Conditional testamentary
dispositions and
testamentary dispositions
with a term
3 Kinds of Testamentary Disposition
a. Conditional [Art. 871, CC]
b. Dispositions with a term [Art. 885, CC]
c. Dispositions with a mode/modal
dispositions [Art. 882, CC]
U.P. LAW BOC SUCCESSION CIVIL LAW

CONDITIONAL DISPOSITIONS Casual or mixed

Casual Mixed
Prohibited conditions: (considered as not Fulfillment depends
imposed) Fulfillment depends partly on the will of
a. Any charge, condition or substitution on chance or the will the heir and partly on
whatsoever upon the legitimes [Art. of a third person. chance or the will of
872, CC] a third person.
b. Impossible and illegal conditions [Art.
873, CC] General rule: May be fulfilled at any time
c. Absolute condition not to contract a first (before or after testator’s death), unless
marriage [Art. 874, CC] testator provides otherwise.
d. Absolute condition not to contract a
subsequent marriage unless imposed Exception: If already fulfilled at the time of
on the widow or widower by the execution of will:
deceased spouse, or by the latter’s a. If testator unaware of the fact of fulfillment
ascendants or descendants [Art. 874, – deemed fulfilled
CC] b. If testator aware:
e. Scriptura captatoria or legacy-hunting ● can no longer be fulfilled again:
dispositions - dispositions made upon deemed fulfilled
the condition that the heir shall make ● can be fulfilled again: must be fulfilled
some provision in his will in favour of again.
the testator or of any other person [Art.
875, CC] Constructive Compliance:
a. If casual – not applicable
Effect: Entire disposition is void. b. If mixed – applicable only if dependent
partly on the will of a third party not
POTESTATIVE, CASUAL, AND MIXED interested.
CONDITIONS
Dispositions with a Term
Potestative Conditions A term may either be suspensive or resolutory.
Depends solely on the will of the heir Suspensive Resolutory
Before the arrival of Before the arrival of
General rule: Must be fulfilled as soon as the the term, the property the term, the
heir learns of the testator’s death. should be delivered to property should be
the legal or intestate delivered to the
Exception: If the condition was already heirs. instituted heir.
complied with at the time the heir learns of the A caución muciana
testator’s death; or if the condition is of such a has to be posted by No caución muciana
nature that it cannot be fulfilled again. the legal or intestate required.
heirs.
If there is constructive compliance, it is deemed
fulfilled. Modal Dispositions
Dispositions with an obligation imposed upon
the heir, without suspending the effectivity of
the institution, as a condition does.
A mode functions similarly to a resolutory
condition.

Page 225 of 532

U.P. LAW BOC SUCCESSION
In modal institutions, the testator states:
● the object of the institution,
● the purpose or application of the
property left by the testator, or
● the charge imposed by the testator
upon the heir [Rabadilla v. CA, G.R.
No. 113725 (2000)].
CAUCIÓN MUCIANA
A security to guarantee the return of the value
of property, fruits, and interests, in case of
contravention of condition, term or mode
Instances when it is needed:
1. Suspensive term [Art. 885,CC]
2. Negative potestative condition - when
the condition imposed upon the heir is
negative, or consists in not doing or not
giving something [Art. 879, CC]
3. Mode [Art. 882, par. 2, CC]
5. Legitime
It is that part of the testator’s property which he
cannot dispose of because the law has
reserved it for his compulsory heirs. [Art. 886,
CC]
Every renunciation or compromise as regards
a future legitime between the person owing it
and his compulsory heirs is void, and the latter
may claim the same upon the death of the
former; but they must bring to collation
whatever they may have received by virtue of
the renunciation or compromise [Art. 905, CC].
Classes of Compulsory Heirs [Art. 887, CC]
1. Primary: Legitimate Children and
Legitimate Descendants with respect to
their Legitimate Parents and Ascendants
2. Secondary: Those who succeed only in
the absence of the primary compulsory
heirs:
a. Legitimate Parents and Legitimate
Ascendants, with respect to their
Legitimate Children and Descendants.
(They will inherit only in default of
Page 226 of 532
CIVIL LAW
legitimate children and their
descendants)
b. Illegitimate Parents with respect to their
Illegitimate Children. (They will inherit
only in default of the illegitimate and
legitimate children and their respective
descendants).
Note that other illegitimate ascendants are not
included.
3. Concurring: Those who succeed together
with the primary or the secondary
compulsory heirs:
● Surviving Spouse
● Illegitimate Children and Illegitimate
Descendants
SPECIFIC RULES ON LEGITIME
1. Direct Descending Line
a. Rule of Preference between lines [Arts.
978 and 985, CC]
● Those in the direct descending line
shall exclude those in the direct
ascending and collateral lines; and
● Those in the direct ascending line
shall, in turn, exclude those in the
collateral line.
● Rule of Proximity [Art. 926, CC]:
The relative nearest in degree
excludes the farther one.
b. Right of representation ad infinitum in
case of predecease, incapacity, or
disinheritance [Arts. 972 and 992, CC]
● For decedents who are Legitimate
Children, only the Legitimate
Descendants are entitled to right of
representation.
● For decedents who are Illegitimate
Children, both the Legitimate and
the Illegitimate Descendants can
represent, only with respect to the
decedent’s illegitimate parents.
c. If all the Legitimate Children repudiate
their legitime, the next generation of
Legitimate Descendants may succeed
in their own right.
2. Direct Ascending Line
a. Rule of division between lines
● The father and the mother shall
inherit equally if both living. One
U.P. LAW BOC SUCCESSION CIVIL LAW

4. by which any disposition made in the
original will is explained, added to, or
altered.
5. in order that it may be effective, it shall
be executed as in the case of a will.
[Arts. 825-826, CC]
Note: A codicil must be in the form of a will –
can have a notarial codicil attached to a
holographic will, and a holographic codicil
attached to a notarial will.
by some other person in his presence,
and by his express direction.
The act contemplating revocation must be
done at any time before the death of the
testator. The right of revocation cannot be
waived or restricted. [Art. 828, CC]
Note: Even if a holographic will was not
intended to be revoked, unless a xerox copy
exists, it can no longer be proved.

Incorporation by Reference Law Governing Revocation [Art. 829, CC]

Place of
Testator’s
Requisites [Art. 827, CC] Revoca- Governing Law
Domicile
tion
1. The document or paper referred to in the
will must be in existence at the time of the Philippines,
execution of the will. or some
Philippines Philippine Law
2. The will must clearly describe and identify other
the same, stating among other things the country
number of pages thereof. 1. Law of
3. It must be identified by clear and Domicile -
satisfactory proof as the document or Philippine
Philippines
paper referred to therein; and law
(This
4. It must be signed by the testator and the 2. Law of lace
situation is
witnesses on each and every page, except of
not
in case of voluminous books of account or Revocation
governed
inventories. 3. Law of Place
by Art. 829)
of Execution
Note: Not available to holographic wills. of Will
Outside
[Balane]
the
REVOCATION OF WILLS 1. Law of the
Philippines
Place of
A will may be revoked by the testator at any Execution of
time before his death [Art. 828, CC] Will; or
2. Law of the
Foreign
Modes of Revocation [Art. 830, CC] place in
Country
1. By implication of law which the
EXAMPLE: testator had
i. Preterition [Art. 854, CC]; his domicile
ii. Legal separation [Art. 63, FC]; at the time of
iii. Unworthiness to succeed [Art. revocation
1032, CC], et al.);
2. By the execution of a will, codicil or General Rule: A revocation made in a
other writing executed as provided in subsequent will shall take effect, even if the
the case of wills (may be total or partial) new will should become inoperative by reason
3. By burning, tearing, canceling, or of the incapacity of the heirs, devisees or
obliterating the will with the intention of legatees designated therein, or by their
revoking it, by the testator himself, or renunciation. [Art. 832, CC]

Page 219 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

Exception: Doctrine of Dependent Relative REPUBLICATION AND REVIVAL

Revocation [Molo v. Molo, G.R. No. L-2538
(1951)] Republication vs.Revival
Republication Revival
The rule that where the act of destruction is • Takes place by
connected with the making of another will so as an act of the • Takes place by
to fairly raise the inference that the testator testator operation of law
meant the revocation of the old to depend upon • Corrects • Restores a
the efficacy of the new disposition intended to extrinsic and revoked will
be substituted, the revocation will be intrinsic defects
conditional and dependent upon the efficacy of
the new disposition; and if for any reason, the Art. 835 Art. 836
new will intended to be made as a substitute is Void as to:
inoperative, the revocation fails and the original 1. Non-formal
will remain in full force. Void as to form [Art.
defect
805, CC]
2. Previously
The failure of the new testamentary disposition revoked
upon whose validity the revocation depends is How to Republish: How to Republish:
equivalent to the non-fulfillment of a 1. Execute new will 2. Execute new will
suspensive condition and hence prevents the 2. Copy out the or codicil
revocation. provisions from 3. Simply make
the original void references to old
False Cause/Illegal Cause will will
A revocation based on a false cause or illegal Reference to Reference to original
cause is null and void [Art. 833, CC]. original insufficient sufficient
It must appear from the will that the testator is ALLOWANCE AND DISALLOWANCE OF
revoking because of the cause which he did not WILLS
know was false.
Probate Requirement: No will shall pass
Recognition of Illegitimate Child either real or personal property unless it is
The recognition of an illegitimate child does not proved and allowed in accordance with the
lose its legal effect even though the will wherein Rules of Court. [Art. 838, CC]
it was made should be revoked [Art. 834, CC].
Definition of a Probate: A proceeding in rem
Principle of Instanter required to establish the validity of a will and in
Revoking clause in the 2nd will is not order to pass real or personal property. The
testamentary in character but operates to testator himself may, during his lifetime petition
revoke the prior will instanter (immediately) the court having jurisdiction for the allowance
upon the execution of the will containing it. The of his will. [Art. 838, CC]
revocation of the 2nd will does not revive the 1st
will which has already become a nullity. Kinds of Probate
1. Post-mortem: after death
2. Ante-mortem: during the testator’s lifetime

Note: Probate of a will is mandatory.

Page 220 of 532

U.P. LAW BOC SUCCESSION
Matters to be proved in probate:
1. Identity
2. Due Execution
3. Capacity of the Testator
SCOPE OF PROBATE PROCEEDINGS [Art.
839, CC]
General rule: The probate court cannot inquire
into the intrinsic validity of testamentary
provisions. Only the extrinsic validity of such
wills may be examined.
Exceptions:
1. When practical considerations demand
that the intrinsic validity of the will be
resolved: When the will is intrinsically void
on its face (e.g., when there is clearly a
preterition) such that to rule on its formal
validity would be a futile exercise [Acain v.
IAC, G.R. No. L-72706 (1987)].
2. Claimants are all heirs and they consent,
either expressly or impliedly, to the
submission of the question of intrinsic
validity to the court [Valera v. Inserto, G.R.
No. L-56504 (1987)].
3. Probate court may pass upon the title to a
property, but such determination is
provisional and not conclusive, and is
subject to the final decision in a separate
action to resolve title [Pastor v.CA, G.R.
No. L-56340 (1983)].
4. Probate court may decide on the
ownership of a property when the estate
contains only one property to be
adjudicated upon [Portugal v. Portugal-
Beltran, G.R. No. 155555 (2005)].
Revocation vs. Disallowance
Revocation Disallowance
Voluntary act of the Given by judicial
testator decree
Must always be for a
With or without cause
legal cause
Always total, except
when the ground is
fraud or influence
May be partial or total
which affects only
certain portions of the
will
Page 221 of 532
CIVIL LAW
Effect of Final Decree of Probate, Res
Judicata on Formal Validity
The probate of a will by the probate court
having jurisdiction thereof is usually considered
as conclusive as to its due execution and
validity and is also conclusive that the testator
was of sound and disposing mind at the time
when he executed the will, and was not acting
under duress, menace, fraud, or undue
influence, and that the will is genuine and not a
forgery. [Mercado v. Santos, G.R. No. 45629
(1938)]
Grounds for Denying Probate
6. If the signature of the testator was procured
by fraud;
7. If it was procured by undue and improper
pressure and influence, on the part of the
beneficiary or some other person;
8. If the testator acted by mistake or did not
intend that the instrument he signed should
be his will at the time affixing his signature
thereto;
9. If the testator was insane or otherwise
mentally incapable of making a will at the
time of its execution;
10. If the formalities required by law have not
been complied with; or
11. If it was executed through force or under
duress, or the influence of fear, or threats.
[Art. 839, CC]
2. Institution of heirs
A will shall be valid even though it —
a. should not contain an institution of an heir;
or
b. such institution should not comprise the
entire estate; or
c. the person so instituted should not accept
the inheritance or be incapacitated to
succeed.
In such cases, the testamentary dispositions
made in accordance with law shall be complied
with and the remainder of the estate shall pass
to the legal heirs. [Art. 841, CC]
U.P. LAW BOC SUCCESSION
Extent of Grant [Art. 842, CC]
Freedom of disposition depends upon the
existence, kind and number of compulsory
heirs.
a. No compulsory heirs – Testator has full
power of disposition
b. With compulsory heirs – Testator cannot
disregard the rights of the compulsory
heirs. Testator may dispose of the free
portion of his estate only.
Effect of Predecease of Heir [Art. 856, CC]
Any heir who dies before the testator or is
incapacitated to succeed or renounces the
inheritance transmits no rights of the testator to
his own heirs. This is without prejudice to the
rights of representation [Tolentino].
Manner of Distribution
1. Heirs instituted without designation of
shares shall inherit in equal parts [Art.
846, CC]
2. If the institution pertains to some heirs
individually and others collectively, the
presumption is that all are individually
instituted [Art. 847, CC]
3. If siblings are instituted (whether full or
half-blood), the presumption is that the
inheritance is to be distributed equally
[Art. 848, CC]. This is different from the
rules of distribution in intestate
succession.
4. If parents and children are instituted,
they are presumed to have been
instituted simultaneously and not
successively [Art. 849, CC]
Note: By “unknown,” the Code actually means
persons who could not be ascertained; a
disposition in favor of a stranger is valid
[Tolentino].
Page 222 of 532
CIVIL LAW
Preterition
NOT ALTHOUGH NAMED
NAMED
He is not He is neither:
named in the 1. Instituted as an heir
will. 2. Expressly
disinherited
3. Assigned any part of
the estate
Thus: tacitly deprived of his right to legitime.
Concept [Art. 854, CC]
1. There must be a total omission of one,
some or all of the heir/s from the
inheritance. [Seangio v. Reyes, G.R. Nos.
140371-72 (2006)]
2. The omission must be that of a compulsory
heir.
3. The compulsory heir omitted must be of the
direct line.
4. The omitted compulsory heir must be living
at the time of the testator’s death or must
at least have been conceived before the
testator’s death.
No Preterition
If the heir in question is instituted in the will but
the portion given to him by the will is less than
his legitime – there is no preterition. [Reyes v.
Barretto-Datu, G.R. No. L-17817 (1967)]
If the heir is given a legacy or devise – there is
no preterition. [Aznar v. Duncan, G.R. No. L-
24365 (1966)]
If the heir had received a donation inter vivos
from the testator – the better view is that there
is no preterition. The donation inter vivos is
treated as an advance on the legitime under
Articles 906, 909, 910 and 1062.
The remedy, if the value of inheritance, legacy
or devise, or donation inter vivos is only for
completion of his legitime under Articles 906
and 907.
U.P. LAW BOC SUCCESSION CIVIL LAW

Distinguished from Disinheritance 3. Substitution of heirs

Preterition Disinheritance
• Tacit • Express Substitution - the appointment of another heir,
deprivation of a deprivation of a so that he may enter into the inheritance in
compulsory compulsory heir default of the heir originally instituted [Art. 857,
heir of his of his legitime CC].
legitime • Always voluntary
• May be • For some legal The substitute shall be subject to the same
voluntary but cause
 charges and conditions imposed upon the
the • If the instituted heir, unless the testator has
presumption of disinheritance is expressly provided the contrary, or the charges
law is that it is valid, the or conditions are personally applicable only to
involuntary 
 compulsory heir the heir instituted [Art. 862, CC].
• Law presumes disinherited is
there has been totally excluded Kinds of Substitution
merely from the
oversight or inheritance. In 1. BRIEF OR COMPENDIOUS [Art. 860,
mistake on the case of invalid CC]
part of the disinheritance,
testator the compulsory Brief – Two or more persons were
• Since heir is merely designated by the testator to substitute
preterition restored to his for only one heir
annuls the legitime
institution of Compendious – One person is
heirs, the designated to take the place of two or
omitted heir more heirs
gets not only
his legitime but 2. RECIPROCAL [Art. 861, CC]
also his share
in the free If the heirs instituted in unequal shares
portion not should be reciprocally substituted, the
disposed of by substitute shall acquire the share of the
way of legacies heir who dies, renounces, or is
and devises 
 incapacitated, unless it clearly appears that
the intention of the testator was otherwise.
Effects of Preterition [Art. 854, CC] If there is more than one substitute, they
1. The institution of the heir is annulled. shall have the same share in the
2. Devises and legacies shall remain valid substitution as the institution.
as long as they are not inofficious.
3. If the omitted compulsory heir should Example (only 1 substitute): If two heirs
die before the testator, the institution are reciprocally substituted, then if one of
shall be effective, without prejudice to them dies before the testator dies,
the right of representation. renounces, or turns out to be incapacitated,
the other will get his share, regardless of
When there are no devises and legacies, whether or not their shares are equal.
preterition will result in the annulment of the will
and give rise to intestate succession [Neri v. Example (more than 1 substitute): A is
Akutin, G.R. No. L-47799 (1941)]. instituted to 1/3, B to 1/6, and C to ½. If C

Page 223 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

Valid – estate must Revocation of Legacies and Devises [Art.

Testator knew
try to acquire 957, CC]
property did not
property or else give a. Testator transforms the thing such that
belong to him
heir monetary value. it does not retain its original form or
denomination
Legacy of devise of a thing belonging to b. Testator alienates the thing by any title
the legatee or devisee or for any cause. Reacquisition of the
The thing already thing by the testator does not make the
belongs to the legatee or legacy or devise valid, unless it is
devisee at the time of the Ineffective effected by right of repurchase.
execution of the will [Art. c. Thing is totally lost during the lifetime or
932, CC] after the death of the testator
The thing is subject to an d. Other causes: nullity of will, non-
Valid only as to compliance with suspensive condition,
encumbrance or interest
the interest or sale of the thing to pay the debts of the
of another person [Art.
encumbrance deceased during the settlement of his
932, CC]
Legatee or devisee estate.
subsequently alienates Ineffective
the thing [Art. 933,CC]
After alienating the thing,
the legatee or devisee
subsequently reacquires Ineffective
it gratuitously [Art. 933,
CC]
Legatee or
After alienating the thing, devisee can
the legatee or devisee demand
acquires it by onerous reimbursement
title [Art. 933, CC] from the heir or
estate

Delivery of Legacy/Devise [Art. 951, CC]

The very thing bequeathed shall be delivered
and not its value
a. With all its accessions and accessories
b. In the condition in which it may be upon
the death of the testator
c. Legacies of money must be paid in
cash

Effect of ineffective legacies or devises

[Art. 956, CC]
In case of repudiation, revocation or incapacity
of the legatee or devisee, the legacy or devise
shall be merged with the mass of the hereditary
estate, except in cases of substitution or
accretion.

Page 232 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

SUMMARY OF LEGITIMES OF r
COMPULSORY HEIRS redu
Legend: ction
LC – legitimate ILC – illegitimate SS – surviving LP – legitimate proILP – illegitimate
children children spouses parents rata
parents
beca
LC LP use
Surv
and and I shar
iving
Desce SS ILC Asce L e of
Rela
ndant ndant P SS is
tives
s s given
½ of prefe
the renc
LC estate e
alon in ½ of
e equal 2 or the Sam
½
portion more estate e as
shar
s LC, in shar
e of 1
¼ of SS, equal e of 1
LC
the ILC portion LC
estat s
e LP
½ of take alon ½
1 LC,
the n e
SS
estate from ¼ in
the LP, equal
½
free ILC porti
porti ons
on LP,
¼ ½
½ of SS
the Sam LP,
2 or
estate e SS, 1/8 ¼ ½
more
in porti ILC
LC,
equal on as ½ in
SS ILC
portion 1 LC equal
alon
s porti
e
½ of ons
the 1/3 in
½
estate ILC, equal
LC, shar 1/3
in SS porti
ILC e of 1
equal ons
LC
portion GR:
s ½
½
shar SS Exce
¼
e of 1 alon ption
1 LC, (pref
LC e :
SS, ½ erred
marri
ILC over
N.B. age
ILC)
May in
suffe

Page 233 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

artic
ulo
morti
s and
testa
tor
dies
withi
n 3
mont
hs
from
marri
age –
1/3

Exce
ption
to the
exce
ption
:
Have
been
living
toget
her
as
husb
and
and
wife
for
more
than
5
year
s–½
ILP
alon ½
e
ILP,
¼ ¼
SS

Summary of Causes of Disinheritance

Childr Paren Spo Unwort 919, 920, ,
Groun CC] CC] CC]
en and ts and use hiness
ds for
Desce Ascen [Art [Art.
disinhe
ndants dants . 1032,
ritance
[Art. [Art. 921 CC]

Page 234 of 532

U.P. LAW BOC SUCCESSION
make use of it, the property shall be sold at
public auction at the instance of any one of the
interested parties [Art. 913, CC].
Note: Rule on Reduction of Legitimes (Shares)
Legitimate Never reduced, they are
children primary and preferred
Surviving
Never reduced
spouse
Subject to reduction, pro rata,
without preference (you get
Illegitimate
the remaining portion, divide
children
it by the number of illegitimate
children)
RESERVA TRONCAL
The ascendant who inherits from his
descendant any property which the latter may
have acquired by gratuitous title from another
ascendant, or a brother or sister, is obliged to
reserve such property as he may have
acquired by operation of law for the benefit of
relatives who are within the third degree and
who belong to the line from which said property
came [Art. 891, CC].
Concept of Reserva Troncal
1. A descendant (prepositus) inherits or
acquires property from an ascendant or
from a brother or sister (origin or mediate
source) by gratuitous title.
2. The same property is inherited by another
ascendant (reservista) or is otherwise
acquired by him by operation of law from
the said descendant (prepositus).
3. The said ascendant (reservista) must
reserve the property for the benefit of the
relatives of the deceased descendant
within the third civil degree and who belong
to the line from which the said property
came (reservatarios).
Parties: [Balane]
1. Origin or Mediate Source – either an
ascendant of any degree of ascent or a
brother or sister of the Prepositus;
responsible for the 1st transfer
Page 228 of 532
CIVIL LAW
2. Prepositus – the first transferee of the
reserved property
3. Reservista – an ascendant of the
Prepositus other than the Origin or Mediate
Source; the one obligated to reserve the
property
4. Reservatarios – within the 3rd degree of
consanguinity from the Prepositus
[Cabardo v. Villanueva, G.R. No. L-19003
(1922)] belonging to the line from which the
property came
Requisites for Reserva Troncal [Chua v. CFI,
G.R. No. L-29901 (1977)]:
1. That the property was acquired by a
descendant (Prepositus) from an
ascendant or from a brother or sister
(Origin or Mediate Source) by gratuitous
title,
2. That the Prepositus died without
(legitimate*) issue,
3. That the property is inherited by another
ascendant (Reservista) by operation of
law, and
4. That there are relatives within the 3rd
degree (Reservatarios) belonging to the
line from which said property came.
Note: Only legitimate descendants will prevent
the property from being inherited by the
legitimate ascending line by operation of law
[Balane]
Three transmissions involved: [Balane]
a. 1st transfer – by gratuitous title, from a
person to his descendant, brother or sister
b. 2nd transfer – by operation of law, from the
transferee in the 1st transfer to another
ascendant. This creates the reserva.
c. 3rd transfer – from the transferee in the
second transfer to the relatives
The 1st transfer from the origin does not
make the property reservable.
The 1st transferee owns the property he
receives in full and in fee simple. If he sells the
property, then there is no reserva that can be
created. It is at this point, however, that a
reserva may ignite, because if the 1st
U.P. LAW BOC SUCCESSION
transferee has no legitimate descendants, the
property, by operation of law, will go back up to
his ascendant.
The 2nd transferee is the reservor.
The reservor can enjoy the property, but his
title is subject to a double resolutory condition.
So, if he dies, you need to ask 2 questions:
a. Does the prepositus have relatives?
b. Are these relatives qualified to inherit
from the prepositus?
If the answers are YES: then a reserva
occurs.
Note: The reservatarios actually inherit, by
delayed intestacy, from the prepositus.
Nature of the reservista’s right: [Edroso v.
Sablan, G.R. No. 6878 (1913)]
1. The reservista’s right over the reserved
property is one of ownership
2. The right of ownership is subject to a
resolutory condition, i.e. the existence of
reservatarios at the time of the reservista's
death
3. The right of ownership is alienable, but
subject to the same resolutory condition.
4. The reservista’s right of ownership is
registrable.
Nature of reservatarios’ right: [Sienes v.
Esparcia, G.R. No. L-12957 (1961)]
1. The reservatarios have a right of
expectancy over the property.
2. The right is subject to a suspensive
condition, i.e. the expectancy ripens into
ownership if the reservatarios survive the
reservistas.
3. The right is alienable but subject to the
same suspensive condition.
4. The right is registrable.
Reserva Minima vs. Reserva Maxima
1. The prepositus acquired property
gratuitously from an ascendant, a brother
or sister
2. In his will, he institutes as his heir his
ascendant (who is also a compulsory heir)
such that the ascendant receives half of the
Page 229 of 532
CIVIL LAW
estate by operation of law as legitime and
the other half by testamentary disposition
Two Views
● Reserva Maxima: As much of the
potentially reservable property as possible
must be deemed included in the part that
passes by operation of law (maximizing the
scope of the reserva)
● Reserva Minima: every single property in
the prepositus’s estate must be deemed to
pass, partly by will and partly by operation
of law, in the same proportion that the part
given by will bears to the part not so given
[Balane]
Either view is defensible, but Reserva Minima
finds wider acceptance in the Philippines.
[Balane]
Extinguishment of the Reserva
1. Loss of the reservable property
2. Death of the reservista
3. Death of all the relatives within the third
degree belonging to the line from which the
property came
4. Renunciation by the reservatarios, but a
future reservatario is not bound by such
renunciation → a conditional
extinguishment.
5. Prescription, when the reservista holds the
property adversely against the
reservatarios, as free from reservation
DISINHERITANCE
A compulsory heir may, in consequence of
disinheritance, be deprived of his legitime, for
causes expressly stated by law [Art. 915,
CC].
Effect of Disinheritance
A disinherited heir is totally excluded from the
inheritance. This means that he forfeits not only
his legitime, but also his intestate portion (if
any), and any testamentary disposition made in
a prior will of the disinheriting testator [Balane].
U.P. LAW BOC SUCCESSION CIVIL LAW

Requisites of a Valid Disinheritance 2. subsequent will

a. Heir disinherited must be designated by reconciliation is
name or in such a manner as to leave no not enough
room for doubt as to who is intended to be
Overlap of Rules:
disinherited. Remedy
b. It must be for a cause designated by law.
1. If the offended
c. It must be made in a valid will. party does not
d. It must be made expressly, stating the
make a will
cause in the will itself. subsequent to
e. The cause must be certain and true, and
the occurrence
must be proved by the interested heir if the of the cause
person should deny it.
• Unworthines
f. It must be unconditional.
s sets in
g. It must be total.
• Written
condonation
Note: The burden of proving the truth of the
is necessary
cause for disinheritance shall rest upon the
to restore
other heirs of the testator, if the disinherited
2. If the offended
heir should deny it [Art. 917, CC].
party makes a If he did not know the
will subsequent cause
Causes Common to Disinheritance and
to the ● Unworthines
Unworthiness
occurrence of s stays
Article 1032 enumerates five acts of
the cause
unworthiness which likewise constitute
• If he knew
grounds to disinherit a compulsory heir.
the cause
• If he
The effect of the concurring causes of
disinherits -
unworthiness and grounds for disinheritance is
Art 922
as follows: If the testator failed to disinherit the
• If he
offender, the law nonetheless intervenes by
institutes or
excluding the offender from the inheritance of
pardons the
the testator or the decedent by reason of
offender
unworthiness.
• Restored to
How do you reconcile unworthiness and capacity
disinheritance as regards Restoration to • If will silent –
Capacity? unworthines
Under the rules on s stays
Disinheritance Under the rules on
– Unworthiness – Modes of Revocation of Disinheritance
Note: this is Note: this is by a. Reconciliation [Art. 922, CC]
expressly made by operation of law b. Subsequent institution of the
testator disinherited heir
c. Nullity of the will which contains the
A subsequent Either: disinheritance.
reconciliation is 1. written pardon,
enough or Note: The moment that testator uses one of the
acts of unworthiness as a cause for
disinheritance; he thereby submits it to the

Page 230 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

rules on disinheritance. Thus, reconciliation LEGACIES AND DEVISES

renders the disinheritance ineffective.
RECONCILIATION [ART. 922, CC]
Effect of Reconciliation between Offender
and Offended Person:
● If no disinheritance has been made yet,
the offended person will be deprived of
his right to disinherit.
● If disinheritance has been effected, it
will be rendered ineffectual.
Rights of Descendants of Person
Disinherited [Art. 923, CC]
Disinheritance gives rise to the right of
representation in favor of the children and
descendants of the disinherited person with
respect to his legitime.
INEFFECTIVE DISINHERITANCE [Art. 918,
CC]
Instances of Ineffective disinheritance:
a. There is no specification of the cause.
b. The cause is not proved.
c. The cause is not among those
specified in the provisions.
Legacy Devise
A gift of personal
A gift of real property
property given in a
given in a will
will
It is bequeathed It is devised
Persons Charged with the Duty to Give
Legacies and Devises in a Will
a. Compulsory heir, provided, their legitimes
are not impaired [Art. 925, CC]
b. Voluntary heir
c. Legatee or devisee can be charged with
the duty of giving a sub-legacy or sub-
devise but only to the extent of the value of
the legacy or devise given him [Art. 925,
CC]
d. The estate represented by the executor
or administrator, if no one is charged with
this duty to pay or deliver the legacy or
devise in the will
If there is an administration proceeding, it
constitutes a charge upon the estate. If there
is no administration proceeding, it is a charge
upon the heirs.

Effect of Ineffective Disinheritance: if the Validity and Effect of Legacy or Devise

disinheritance lacks one or other of the Legacy or Devise of a thing owned in
requisites mentioned in this article, the heir in part by the testator [Art. 929, CC]
question gets his legitime [Balane]. The legacy or devise shall be understood to
be limited to such part or interest
Ineffective If testator expressly declares
Preterition
Disinheritance Exception that he gives the thing in its
Person disinherited entirety.
Person omitted must
may be any
be a compulsory heir
compulsory Legacy or Devise of a thing belonging to
in the direct line
heir another [Art. 930, CC]
Only annuls the Testator erroneously
institution in so far believed that the
as it Annuls the entire Void
property belonged to
prejudices the institution of heirs him
person The thing
disinherited bequeathed
Effective
afterwards becomes
his by whatever title

Page 231 of 532

U.P. LAW BOC SUCCESSION
FUNDAMENTAL PRINCIPLES IN
INTESTATE SUCCESSION
Rule of Preference between Lines
• Those in the direct descending line shall
exclude those in the direct ascending and
collateral lines;
• Those in the direct ascending line shall,
in turn, exclude those in the collateral line.
Rule of Proximity: The relative nearest in
degree excludes the farther one [Art. 962(1),
CC], saving the right of representation when it
properly takes place.
Rule of Equal Division
General Rule: The relatives who are in the
same degree shall inherit in equal shares [Arts.
962(2), 987 and 1006, CC].
Exceptions [Balane]
1. Rule of preference between Lines
2. Distinction between legitimate and
illegitimate filiation. The ratio under the
present law is 2:1 [Art. 983, in relation to
Art. 895 as amended by Art. 176, FC].
3. Rule of division by line in the ascending line
[Art. 987 (2), CC]
4. Distinction between full-blood and half-
blood relationship among brothers and
sisters, as well as nephews and nieces [Art.
1006 and 1008, CC]
5. Right of representation
Rule of Barrier between the legitimate
family and the illegitimate family (the iron-
curtain rule): The illegitimate family cannot
inherit by intestate succession from the
legitimate family and vice-versa. [Art. 992, CC]
Rule of Double Share for full blood
collaterals: When full and half-blood brothers
or sisters, nephews or nieces, survive, the full
blood shall take a portion in the inheritance
double that of the half-blood [Arts. 895 and 983,
CC].
Note:
a. If one of the legitimate ascendants,
illegitimate parents, legitimate children or
illegitimate children survives, the brother,
Page 239 of 532
CIVIL LAW
sisters, nephews, and nieces (BSNN) are
excluded.
b. If one of the legitimate ascendants,
illegitimate parents, legitimate children,
illegitimate children or surviving spouse
survives, the other collateral relatives and
the state are excluded.
c. If any of the heirs concur in legitimes, then
they also concur in intestacy.
a. Relationship
PROXIMITY OF RELATIONSHIP: determined
by the number of generations. Each generation
forms one degree [Art. 963, CC].
Note: It is important to distinguish between
direct and collateral, as the direct has
preference over the collateral.
In a line, as many degrees are counted as there
are generations [Art. 966, CC].
Note: Descending line is preferred over
ascending.
Blood relationship is either full or half-blood
[Art. 967, CC].
Note: As among brothers and sisters and
nephews and nieces, there is a 2:1 ratio for full-
blood and half-blood relatives. Direct relatives
are preferred. But this distinction does not
apply with respect to other collateral relatives.
Incapacity [Art. 968, CC]
General rule: If there are several relatives of
the same degree, and one or some of them are
unwilling or incapacitated to succeed, his
portion shall accrue to the others of the same
degree.
Exception: When the right of representation
should take place.
Note: This accretion in intestacy takes place in
case of predecease, incapacity, or renunciation
among heirs of the same degree. The relatives
must be in the same relationship because of
the Rule of Preference of Lines.
U.P. LAW BOC SUCCESSION CIVIL LAW

REPUDIATION [Arts. 968-969, CC] Note: There is no representation to a devise or

There is no right of representation in
repudiation. If the nearest relative/s
repudiates the inheritance, those of the
following degree shall inherit in their own right.
In case of repudiation by all in the same
degree, the right of succession passes on the
heirs in succeeding degrees: descending line
first, ascending line next, and collateral line
next [Balane].
Adoption [Art. 189, FC]
In adoption, the legal filiation is personal and
exists only between the adopter and the
adopted. The adopted is deemed a legitimate
child of the adopter, but still remains as an
intestate heir of his natural parents and other
blood relatives.
a legacy.
A renouncer can represent, but cannot be
represented. Rationale is found in Art. 971
which states that “The representative does not
succeed the person represented but the one
whom the person represented would have
succeeded.”
Representation in the Direct Descending
Line
Representation takes place ad infinitum in the
direct descending line but never in the direct
ascending line [Art. 972, CC].
General rule: Grandchildren inherit from the
grandparents by right of representation, if
proper.

Note: Section 16 of the Domestic Adoption Act
(RA 8552) provides that all legal ties between
the biological parent(s) and the adoptee shall
be severed and the same shall then be vested
on the adopter(s).”
b. Right of representation
Representation – right created by fiction of
law, by virtue of which the representative is
raised to the place and the degree of the
person represented, and acquires the rights
which the latter would have if he were living or
if he could have inherited [Art. 970, CC]
Exception: Whenever all the children
repudiate, the grandchildren inherit in their own
right because representation is not proper [Art.
969, CC].
Representation in Collateral Line
In the collateral line, representation takes place
only in favor of the children of the brothers or
sisters (i.e., nephews and nieces) whether of
the full or half-blood [Art. 972, CC] and only if
they concur with at least one.

Effect of representation
The representative heir acquires the rights
which the person represented would have if he
were living or if he could have inherited.

When it occurs
Representation is allowed with respect to
inheritance conferred by law (legitime and
intestate based on Art. 923)

It occurs only in the following instances:

(DIP)
a. Predecease of an heir
b. Incapacity or unworthiness
c. Disinheritance [Art. 923, CC]

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U.P. LAW BOC SUCCESSION CIVIL LAW

2. Order of Intestate Succession

Decedent is a Legitimate Decedent is an Illegitimate
Decedent is an Adopted Child
Child Child
Legitimate children or Legitimate children or Legitimate children or
descendants (LCD) descendants (LCD) descendants (LCD)
Legitimate parents or Illegitimate children or Illegitimate children or
ascendants (LPA) descendants (LPA) descendants (ICD)
Legitimate or illegitimate parents,
Illegitimate children or
Illegitimate parents (IP) or legitimate ascendants,
descendants (ICD)
adoptive parents
Surviving spouse (SS) Surviving spouse (SS) Surviving spouse (SS)
Brothers and sisters, Illegitimate brothers and sisters, Brothers and sisters, nephews,
nephews, nieces (BS/NN) nephews, nieces (IBS/NN) nieces (BS/NN)
Legitimate collateral
relatives within the 5th State
State
degree (C5)
State

RULES OF EXCLUSION AND CONCURRENCE IN INTESTATE SHARES

Intestate Heirs Excludes Excluded By Concurs With
Ascendants,
LC + LD No one SS + ILC
Collaterals and State
ILP, Collaterals and
ILC + D No one SS, LC, LP
State
LP + LA Collaterals and State LC ILC + SS
ILP Collaterals and State LC and ILC SS
Collaterals other than LC, ILC, LP, ILP,
SS siblings, nephews and No one Siblings, Nephews,
nieces, State Nieces
Siblings, Nephews, All other collaterals
LC, ILC, LP, ILP SS
Nieces and State
Other collaterals within Collateral more remote LC, ILC, LP, ILP and Collaterals in the same
5th degree in degree and State SS degree
State No one Everyone No one
Note: In partial intestacy, the testamentary dispositions can reduce the shares of intestate heirs,
provided that their legitimes, if they are also compulsory heirs, are not impaired. More specifically:
a. The law of legitimes must be brought into operation in partial intestacy.
b. If among the concurring intestate heirs there are compulsory heirs whose legal or intestate
portions exceed their respective legitimes, the amount of the testamentary disposition must be
deducted from the disposable portion, to be borne by all the intestate heirs in the proportions
that they are entitled to receive from such disposable portion as intestate heir.
c. If the legal or intestate share of a compulsory heir is equal to his legitime, then the amount of
the testamentary disposition must be deducted only from the legal or intestate shares of the
others.
d. If the testamentary dispositions consume the entire disposable portion, then the intestate heirs
who are compulsory heirs will get only their legitimes, and those who are not compulsory heirs
will get nothing [Tolentino].

Page 241 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

OUTLINE OF INTESTATE SHARES

a. Legitimate children only ● Divide entire estate equally among all legitimate children [Art. 979, CC]
● Legitimate children include an adopted child.
b. Legitimate children and ● Divide entire estate such that each illegitimate child gets ½ of what a
Illegitimate children legitimate child gets [Art. 983, CC and Art. 176, FC]
● Ensure that the legitime of the legitimate children are first satisfied.
c. Legitimate children and ● Divide entire estate equally between the legitimate children and the
surviving spouse surviving spouse, the latter deemed as one child. The same rule holds
where there is only one child.
d. Legitimate children, ● Divide the entire estate such that the surviving spouse is deemed one
Surviving spouse, and legitimate child and each illegitimate child getting ½ of what the legitimate
Illegitimate children child gets. [Art. 996, CC and Art. 176, FC]
● Ensure that the legitime of the legitimate children and the spouse are first
satisfied.
e. Legitimate parents only ● Divide the entire estate equally [Art. 985, CC].
f. Legitimate ascendants only ● Divide the entire estate equally but with the observance of the rule of
(excluding parents) division by line [Art. 987, CC].
g. Legitimate parents and ● Legitimate parents get ½ of the estate, illegitimate children get the other
illegitimate children ½ [Art. 991, CC].
h. Legitimate parents and ● Legitimate parents get ½ of the estate; The surviving spouse gets the
surviving spouse other ½ [Art. 997, CC].
i. Legitimate parents, ● Legitimate parents get ½ of the estate; surviving spouse and the
surviving spouse and illegitimate child each get ¼ each, the latter to share among themselves if
illegitimate children more than one [Art. 1000, CC].
j. Illegitimate children only ● Divide the entire estate equally [Art. 988, CC].

k. Illegitimate children and ● Illegitimate children get ½ of the estate; the surviving spouse gets the
surviving spouse other ½ [Art. 998, CC].
l. Surviving spouse only ● Entire estate goes to the surviving spouse [Art. 994/995, CC].
m. Surviving spouse and ● Illegitimate parents get ½ and the spouse gets the other ½ [by analogy
illegitimate parents with Art. 997, CC].
n. Surviving spouse and ● Surviving spouse gets ½ of the estate, while the rest gets the other ½ with
legitimate brothers and the nephews and nieces inheriting by representation if proper [Art. 1001,
sisters, nephews and nieces CC].
o. Surviving spouse and ● Surviving spouse gets ½ of the estate while the rest gets the other ½ with
illegitimate brothers and the nephews and nieces inheriting by representation, if proper; Note that
sisters, nephews and nieces all the other relatives should be “illegitimate” because of the iron-curtain
rule [Art. 994, CC].
p. Illegitimate parents only ● Entire estate goes to the illegitimate parents [Art. 993, CC].
q. Illegitimate parents and ● Illegitimate parents are excluded and do not inherit. For the rule on the
children of any kind respective shares of the children, see numbers 1, 2 or 10, whichever is
(whether legitimate or applicable.
illegitimate child)
r. Legitimate brothers and ● Divide the entire estate such that full-blood brothers/sisters gets a share
sisters only double the amount of a half-blood brother or sister [Art. 1004 and 1006,
CC].
s. Legitimate brothers and ● Divide the entire estate observing the 2 is to 1 ratio for full and half-blood
sisters, nephews and nieces relationships with respect to the brothers and sisters, with the nephews
and nieces inheriting by representation, if proper [Art. 1005 & 1008, CC].
t. Nephews and nieces only ● Divide the entire estate per capita, observing the 2 is to 1 ratio [Arts. 975
and 1008, CC].
u. Other collaterals [Arts. 1009 ● Divide entire estate per capita. Collateral relatives must be with the 5th
and 1010] degree of consanguinity.
● Note: the nearer relative excludes the more remote relatives.
v. State ● If there are no other intestate heirs, the State inherits the entire estate
through escheat proceedings [Art. 1011, CC].

Page 242 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

Guilty Influenc
or e
Convict
ed of Unjustifi
Attempt ed
Against Refusal
the Life to ✓ ✓ ✓
of the Support
✓ ✓ ✓ ✓
Testato Testato
r, r
Spouse Convict
, ed of
Ascend Adulter
ant or y or
Descen Concub
dant inage
Accuse with ✓ ✓ ✓
d Spouse
Testato of
r or Testato
Decede r or
nt of Decede
Crime nt
Punish Maltrea
able by tment of
Impriso ✓ ✓ ✓ ✓ testator
nment by ✓
of 6 Word
years or and
more, Deed
and Leading
Found a
Groundl Dishon
ess or orable ✓
False or
Causes Disgrac
testator eful Life
or Convicti
decede on of
nt to Crime
Make a which
Will or carries
Change ✓ ✓ ✓ ✓ ✓
the
one by penalty
Fraud, of Civil
Violenc Interdict
e, ion
Intimida Abando
tion, or
nment ✓ ✓
Undue of

Page 235 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

Childre One
n or Month
Inducin Unless
g Authorit
Childre ies
n to Have
Live Already
Corrupt Taken
and Action
Immora Force,
l Life or Violenc
Against e,
Attempt Intimida
ed tion, or
Virtue Undue
Loss of Influenc
Parenta e to
l ✓ ✓ Prevent
Authorit Another
y from
Attempt Making
✓
by One a Will or
Parent Revoki
Against ng One
the Life Already
of the Made or
Other Who
✓ Suppla
Unless
there is nts or
Reconc Alters
iliation the
Betwee Latter’s
n Will
Parents Falsifie
Spouse s or
Has Forges
Given Suppos
✓
Cause ed Will
✓ ✓
for of
Legal Decede
Separat nt
ion
Failure Different Objects of Legacies and Devises
to [Art. 934-944, CC]
Report Objects of
Violent Legacy or Effect
Death ✓ Devise
of Thing
Decede pledged or ● Estate is obliged to
nt mortgaged to pay the debt
Within secure a debt

Page 236 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

● Other charges pass ● Only the pledge is

to the legatee or extinguished; the
Thing
devisee debt remain
pledged by
● Effective only as ● Shall not be applied
debtor to a
regards the credit or to his credit unless
creditor
debt existing at the the testator so
time of the testator’s declares
death ● If testator does not
Credit or ● Legacy lapses if the really owe the debt,
remission or testator later brings the disposition is
release of a action against the void
debt debtor ● If the order is to pay
Order of
● If generic, more than the debt,
payment of a
comprises all the excess is not
debt
credits/debts due
existing at time of ● This is without
execution of will prejudice to the
payment of natural
obligations

● The choice is with the heir, or the executor or

administrator
Alternative legacies and
● If the heir, legatee or devisee dies, the right passes to
devises
their heirs
● Once made, the choice is irrevocable
● Legacy is valid even if there are no things of the same
kind in the estate
Legacy of generic personal
● Devise of indeterminate real property valid only if there
property or indeterminate
are immovable property of the same kind in the estate
real property
● The choice belongs to the heir, legatee or devisee or the
executor or administrator
● Lasts until the legatee is of age or beyond the age of
majority in order that he may finish some professional,
vocational or general course provided he pursues his
Legacy of education course diligently
● If testator did not fix the amount, it is fixed in accordance
with the social standing and circumstances of the
legatee and the value of the estate
● Lasts during lifetime of legatee
● If the testator used to give the legatee a sum of money
for support, give the same amount unless it is markedly
Legacy of support disproportionate to the estate
● If testator did not fix the amount, it is fixed in accordance
with the social standing and circumstances of the
legatee and the value of the estate

Order of Payment in Case the Estate Is Not Sufficient to Cover All the Legacies and Devises
Art. 911: Order or Preference Art. 950
● Legitime of compulsory heirs ● Remuneratory legacy/devise
● Donations inter vivos ● Preferential legacy/devise

Page 237 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

● Preferential legacies or devises ● Legacy for support

● All other legacies or devises pro rata ● Legacy for education
● Legacy/devise of specific, determinate
thing which forms a part of the estate
● All others pro rata
Application
● When the reduction is necessary to ● When there are no compulsory heirs and
preserve the legitime of compulsory the entire estate is distributed by the
heirs from impairment whether there are testator as legacies or devises; or
donations inter vivos or not; or 
 ● When there are compulsory heirs but
● When, although, the legitime has been their legitime has already been provided
preserved by the testator himself there for by the testator and there are no
are donations inter vivos. 
 donations inter vivos.

Art. 911, CC governs when there is a conflict Art. 950, CC governs when the question of
between compulsory heirs and the devisees and reduction is exclusively among legatees and
legatees. 
 devisees themselves.

f. If the suspensive condition attached to the

C. LEGAL OR INTESTATE
SUCCESSION
1. General Provisions
Intestacy – that which takes place by
operation of law in default of compulsory and
testamentary succession. Not defined in the
Civil Code.
Legal succession is a mode of transmission
mortis causa which takes place in the absence
of the expressed will of the decedent embodied
in a testament [Tolentino].
Instances when Legal or Intestate
Succession operates [Art. 960, CC]
a. If a person dies without a will, or with a void
will, or will has subsequently lost its validity
b. When the will does not institute an heir
c. Upon the expiration of term, or period of
institution of heir [Balane]
d. Upon fulfillment of a resolutory condition
attached to the institution of heir, rendering
the will ineffective [Balane]
e. When the will does not dispose of all the
property belonging to the testator. Legal
succession shall take place only with
respect to the property which the testator
has not disposed (mixed succession)
institution of the heir does not happen or is
not fulfilled
g. If the heir dies before the testator
h. If the heir repudiates the inheritance, there
being no substitution, and no right of
accretion takes place
i. When the heir instituted is incapable of
succeeding, except in cases provided in
the Civil Code
j. Preterition – Intestacy may be total or
partial depending on whether or not there
are legacies or devises [Balane]
Note: In all cases where there has been an
institution of heirs, follow the ISRAI order:
a. If the Institution fails, Substitution occurs.
b. If there is no substitute, the right of
Representation applies in the direct
descending line to the legitime if the
vacancy is caused by predecease,
incapacity, or disinheritance.
c. The right of Accretion applies to the free
portion when the requisites in Art. 1016 are
present.
d. If there is no substitute, and the right of
representation or accretion is not proper,
the rules on Intestate succession shall
apply.

Page 238 of 532

U.P. LAW BOC SUCCESSION
FUNDAMENTAL PRINCIPLES IN
INTESTATE SUCCESSION
Rule of Preference between Lines
• Those in the direct descending line shall
exclude those in the direct ascending and
collateral lines;
• Those in the direct ascending line shall,
in turn, exclude those in the collateral line.
Rule of Proximity: The relative nearest in
degree excludes the farther one [Art. 962(1),
CC], saving the right of representation when it
properly takes place.
Rule of Equal Division
General Rule: The relatives who are in the
same degree shall inherit in equal shares [Arts.
962(2), 987 and 1006, CC].
Exceptions [Balane]
1. Rule of preference between Lines
2. Distinction between legitimate and
illegitimate filiation. The ratio under the
present law is 2:1 [Art. 983, in relation to
Art. 895 as amended by Art. 176, FC].
3. Rule of division by line in the ascending line
[Art. 987 (2), CC]
4. Distinction between full-blood and half-
blood relationship among brothers and
sisters, as well as nephews and nieces [Art.
1006 and 1008, CC]
5. Right of representation
Rule of Barrier between the legitimate
family and the illegitimate family (the iron-
curtain rule): The illegitimate family cannot
inherit by intestate succession from the
legitimate family and vice-versa. [Art. 992, CC]
Rule of Double Share for full blood
collaterals: When full and half-blood brothers
or sisters, nephews or nieces, survive, the full
blood shall take a portion in the inheritance
double that of the half-blood [Arts. 895 and 983,
CC].
Note:
a. If one of the legitimate ascendants,
illegitimate parents, legitimate children or
illegitimate children survives, the brother,
Page 239 of 532
CIVIL LAW
sisters, nephews, and nieces (BSNN) are
excluded.
b. If one of the legitimate ascendants,
illegitimate parents, legitimate children,
illegitimate children or surviving spouse
survives, the other collateral relatives and
the state are excluded.
c. If any of the heirs concur in legitimes, then
they also concur in intestacy.
a. Relationship
PROXIMITY OF RELATIONSHIP: determined
by the number of generations. Each generation
forms one degree [Art. 963, CC].
Note: It is important to distinguish between
direct and collateral, as the direct has
preference over the collateral.
In a line, as many degrees are counted as there
are generations [Art. 966, CC].
Note: Descending line is preferred over
ascending.
Blood relationship is either full or half-blood
[Art. 967, CC].
Note: As among brothers and sisters and
nephews and nieces, there is a 2:1 ratio for full-
blood and half-blood relatives. Direct relatives
are preferred. But this distinction does not
apply with respect to other collateral relatives.
Incapacity [Art. 968, CC]
General rule: If there are several relatives of
the same degree, and one or some of them are
unwilling or incapacitated to succeed, his
portion shall accrue to the others of the same
degree.
Exception: When the right of representation
should take place.
Note: This accretion in intestacy takes place in
case of predecease, incapacity, or renunciation
among heirs of the same degree. The relatives
must be in the same relationship because of
the Rule of Preference of Lines.
U.P. LAW BOC SUCCESSION CIVIL LAW

REPUDIATION [Arts. 968-969, CC] Note: There is no representation to a devise or

There is no right of representation in
repudiation. If the nearest relative/s
repudiates the inheritance, those of the
following degree shall inherit in their own right.
In case of repudiation by all in the same
degree, the right of succession passes on the
heirs in succeeding degrees: descending line
first, ascending line next, and collateral line
next [Balane].
Adoption [Art. 189, FC]
In adoption, the legal filiation is personal and
exists only between the adopter and the
adopted. The adopted is deemed a legitimate
child of the adopter, but still remains as an
intestate heir of his natural parents and other
blood relatives.
a legacy.
A renouncer can represent, but cannot be
represented. Rationale is found in Art. 971
which states that “The representative does not
succeed the person represented but the one
whom the person represented would have
succeeded.”
Representation in the Direct Descending
Line
Representation takes place ad infinitum in the
direct descending line but never in the direct
ascending line [Art. 972, CC].
General rule: Grandchildren inherit from the
grandparents by right of representation, if
proper.

Note: Section 16 of the Domestic Adoption Act
(RA 8552) provides that all legal ties between
the biological parent(s) and the adoptee shall
be severed and the same shall then be vested
on the adopter(s).”
b. Right of representation
Representation – right created by fiction of
law, by virtue of which the representative is
raised to the place and the degree of the
person represented, and acquires the rights
which the latter would have if he were living or
if he could have inherited [Art. 970, CC]
Exception: Whenever all the children
repudiate, the grandchildren inherit in their own
right because representation is not proper [Art.
969, CC].
Representation in Collateral Line
In the collateral line, representation takes place
only in favor of the children of the brothers or
sisters (i.e., nephews and nieces) whether of
the full or half-blood [Art. 972, CC] and only if
they concur with at least one.

Effect of representation
The representative heir acquires the rights
which the person represented would have if he
were living or if he could have inherited.

When it occurs
Representation is allowed with respect to
inheritance conferred by law (legitime and
intestate based on Art. 923)

It occurs only in the following instances:

(DIP)
a. Predecease of an heir
b. Incapacity or unworthiness
c. Disinheritance [Art. 923, CC]

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U.P. LAW BOC SUCCESSION CIVIL LAW

2. Order of Intestate Succession

Decedent is a Legitimate Decedent is an Illegitimate
Decedent is an Adopted Child
Child Child
Legitimate children or Legitimate children or Legitimate children or
descendants (LCD) descendants (LCD) descendants (LCD)
Legitimate parents or Illegitimate children or Illegitimate children or
ascendants (LPA) descendants (LPA) descendants (ICD)
Legitimate or illegitimate parents,
Illegitimate children or
Illegitimate parents (IP) or legitimate ascendants,
descendants (ICD)
adoptive parents
Surviving spouse (SS) Surviving spouse (SS) Surviving spouse (SS)
Brothers and sisters, Illegitimate brothers and sisters, Brothers and sisters, nephews,
nephews, nieces (BS/NN) nephews, nieces (IBS/NN) nieces (BS/NN)
Legitimate collateral
relatives within the 5th State
State
degree (C5)
State

RULES OF EXCLUSION AND CONCURRENCE IN INTESTATE SHARES

Intestate Heirs Excludes Excluded By Concurs With
Ascendants,
LC + LD No one SS + ILC
Collaterals and State
ILP, Collaterals and
ILC + D No one SS, LC, LP
State
LP + LA Collaterals and State LC ILC + SS
ILP Collaterals and State LC and ILC SS
Collaterals other than LC, ILC, LP, ILP,
SS siblings, nephews and No one Siblings, Nephews,
nieces, State Nieces
Siblings, Nephews, All other collaterals
LC, ILC, LP, ILP SS
Nieces and State
Other collaterals within Collateral more remote LC, ILC, LP, ILP and Collaterals in the same
5th degree in degree and State SS degree
State No one Everyone No one
Note: In partial intestacy, the testamentary dispositions can reduce the shares of intestate heirs,
provided that their legitimes, if they are also compulsory heirs, are not impaired. More specifically:
a. The law of legitimes must be brought into operation in partial intestacy.
b. If among the concurring intestate heirs there are compulsory heirs whose legal or intestate
portions exceed their respective legitimes, the amount of the testamentary disposition must be
deducted from the disposable portion, to be borne by all the intestate heirs in the proportions
that they are entitled to receive from such disposable portion as intestate heir.
c. If the legal or intestate share of a compulsory heir is equal to his legitime, then the amount of
the testamentary disposition must be deducted only from the legal or intestate shares of the
others.
d. If the testamentary dispositions consume the entire disposable portion, then the intestate heirs
who are compulsory heirs will get only their legitimes, and those who are not compulsory heirs
will get nothing [Tolentino].

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U.P. LAW BOC SUCCESSION CIVIL LAW

OUTLINE OF INTESTATE SHARES

a. Legitimate children only ● Divide entire estate equally among all legitimate children [Art. 979, CC]
● Legitimate children include an adopted child.
b. Legitimate children and ● Divide entire estate such that each illegitimate child gets ½ of what a
Illegitimate children legitimate child gets [Art. 983, CC and Art. 176, FC]
● Ensure that the legitime of the legitimate children are first satisfied.
c. Legitimate children and ● Divide entire estate equally between the legitimate children and the
surviving spouse surviving spouse, the latter deemed as one child. The same rule holds
where there is only one child.
d. Legitimate children, ● Divide the entire estate such that the surviving spouse is deemed one
Surviving spouse, and legitimate child and each illegitimate child getting ½ of what the legitimate
Illegitimate children child gets. [Art. 996, CC and Art. 176, FC]
● Ensure that the legitime of the legitimate children and the spouse are first
satisfied.
e. Legitimate parents only ● Divide the entire estate equally [Art. 985, CC].
f. Legitimate ascendants only ● Divide the entire estate equally but with the observance of the rule of
(excluding parents) division by line [Art. 987, CC].
g. Legitimate parents and ● Legitimate parents get ½ of the estate, illegitimate children get the other
illegitimate children ½ [Art. 991, CC].
h. Legitimate parents and ● Legitimate parents get ½ of the estate; The surviving spouse gets the
surviving spouse other ½ [Art. 997, CC].
i. Legitimate parents, ● Legitimate parents get ½ of the estate; surviving spouse and the
surviving spouse and illegitimate child each get ¼ each, the latter to share among themselves if
illegitimate children more than one [Art. 1000, CC].
j. Illegitimate children only ● Divide the entire estate equally [Art. 988, CC].

k. Illegitimate children and ● Illegitimate children get ½ of the estate; the surviving spouse gets the
surviving spouse other ½ [Art. 998, CC].
l. Surviving spouse only ● Entire estate goes to the surviving spouse [Art. 994/995, CC].
m. Surviving spouse and ● Illegitimate parents get ½ and the spouse gets the other ½ [by analogy
illegitimate parents with Art. 997, CC].
n. Surviving spouse and ● Surviving spouse gets ½ of the estate, while the rest gets the other ½ with
legitimate brothers and the nephews and nieces inheriting by representation if proper [Art. 1001,
sisters, nephews and nieces CC].
o. Surviving spouse and ● Surviving spouse gets ½ of the estate while the rest gets the other ½ with
illegitimate brothers and the nephews and nieces inheriting by representation, if proper; Note that
sisters, nephews and nieces all the other relatives should be “illegitimate” because of the iron-curtain
rule [Art. 994, CC].
p. Illegitimate parents only ● Entire estate goes to the illegitimate parents [Art. 993, CC].
q. Illegitimate parents and ● Illegitimate parents are excluded and do not inherit. For the rule on the
children of any kind respective shares of the children, see numbers 1, 2 or 10, whichever is
(whether legitimate or applicable.
illegitimate child)
r. Legitimate brothers and ● Divide the entire estate such that full-blood brothers/sisters gets a share
sisters only double the amount of a half-blood brother or sister [Art. 1004 and 1006,
CC].
s. Legitimate brothers and ● Divide the entire estate observing the 2 is to 1 ratio for full and half-blood
sisters, nephews and nieces relationships with respect to the brothers and sisters, with the nephews
and nieces inheriting by representation, if proper [Art. 1005 & 1008, CC].
t. Nephews and nieces only ● Divide the entire estate per capita, observing the 2 is to 1 ratio [Arts. 975
and 1008, CC].
u. Other collaterals [Arts. 1009 ● Divide entire estate per capita. Collateral relatives must be with the 5th
and 1010] degree of consanguinity.
● Note: the nearer relative excludes the more remote relatives.
v. State ● If there are no other intestate heirs, the State inherits the entire estate
through escheat proceedings [Art. 1011, CC].

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U.P. LAW BOC SUCCESSION
D. PROVISIONS COMMON TO
TESTATE AND INTESTATE
SUCCESSION
1. Right of accretion
Definition of Accretion [Art. 1015, CC]
It is a right by virtue of which, when two or more
persons are called to the same inheritance,
devise or legacy, the part assigned to one who
renounces or cannot receive his share or who
died before the testator is added or
incorporated to that of his co-heirs, co-
devisees, or co-legatees.
Basis
The right of accretion is based upon the
presumed will of the decedent. Thus, the
testator can expressly provide that there shall
be no accretion among persons who would
otherwise be entitled thereto. Conversely, the
testator may validly provide for accretion in a
case where no accretion would take place
under the provisions of the law [Tolentino].
Requisites [Tolentino]
a. Unity of object and plurality of subjects (two
or more persons are called to the same
inheritance or same portion thereof)
b. Vacancy of share (one of the heirs dies
before the testator, or renounces the
inheritance, or is incapacitated)
When does Accretion Occur?
Accretion happens when there is repudiation,
incapacity, or predecease of an heir.
It is the mechanism where the share of an heir
is increased by vacant shares vacated by heirs
who cannot inherit for various reasons.
(Rationale: the decedent intended to give the
property to nobody but the co-heirs.)
There can only be accretion if there is an
institution of heirs with respect to specific
properties [Art. 1016, CC]. In other words, both
heirs were called to inherit the same whole.
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CIVIL LAW
If there was “earmarking” – there can be no
accretion.
• What is “earmarking?” – when the whole
has been subdivided into specific portions
Ex: Heir #1 was called to inherit the southern
part of Plot A, and Heir #2 was called to inherit
the northern part of Plot A.
Among compulsory heirs, there can only be
accretion with respect to the free portion. There
can be no accretion with respect to the
legitimes [Arts. 1021 and 1018, CC].
The heirs to whom the portion goes by the right
of accretion take it in the same proportion that
they inherit [Art. 1019, CC].
Exceptions [Balane]
a. In testamentary succession, if the testator
provides otherwise
b. If the obligation is purely personal, and
hence intransmissible
The heirs to whom the inheritance accrues
shall succeed to all the rights and obligations
which the heir who renounced or could not
receive it would have had [Art. 1020, CC].
In testamentary succession, when the right of
accretion does not take place, the vacant
portion of the instituted heirs, if no substitute
has been designated, shall pass to the legal
heirs of the testator, who shall receive it with
the same charges and obligations [Art. 1022,
CC].
Accretion shall also take place among
devisees, legatees and usufructuaries under
the same conditions established for heirs [Art.
1023, CC]
U.P. LAW BOC SUCCESSION CIVIL LAW

Effect of Predecease, Incapacity, institution to which such priest or minister

Disinheritance or Repudiation may belong;
Testamentary e. Attesting witness to the execution of a will,
Intestate
Cause of Succession the spouse, parents, or children, or anyone
Successio
Vacancy Free claiming under such witness, spouse,
Legitime Portion n
Representati Accretion Representati
parents, or children;
on Intestate on f. Physician, surgeon, nurse, health officer or
Predecease
Intestate Successi Intestate druggist who took care of the testator
Succession on Succession
during his last illness.
Representati Accretion Representati
on Intestate on
Incapacity
Intestate Successi Intestate Based on morality or public policy [Arts.
Succession on Succession 739 and 1028, CC]
Representati
Disinheritan on a. Those made in favor of a person with whom
- -
ce Intestate the testator was guilty of adultery or
Succession concubinage at the time of the making of
Intestate
Repudiation
Succession
Accretion Accretion the will.
b. Those made in consideration of a crime of
which both the testator and the beneficiary
2. Capacity to Succeed by Will have been found guilty.
or Intestacy c. Those made in favor of a public officer or
his spouse, descendants and ascendants,
Requisites for Capacity to Succeed by Will by reason of his public office.
or by Intestacy: [Art. 1024 – 1025, CC]
a. The heir, legatee or devisee must be living Based on acts of unworthiness [Art. 1032,
or in existence at the moment the CC]
succession opens; [Art. 1025, CC] and The following are incapable of succeeding by
b. He must not be incapacitated or reason of unworthiness:
disqualified by law to succeed [Art. 1024, a. Parents who have abandoned their
par.1, CC]. children or induced their daughters to lead
a corrupt or immoral life, or attempted
PERSONS INCAPABLE OF SUCCEEDING against their virtue;
[Arts. 1027, 739, 1032, CC] b. Any person who has been convicted of an
Based on undue influence or interest [Art. attempt against the life of the testator, his
1027, CC] or her spouse, descendants, or
a. Priest who heard the last confession of the ascendants;
testator during his last illness, or the c. Any person who has accused the testator
minister of the gospel who extended of a crime for which the law prescribes
spiritual aid to him during the same period; imprisonment for six years or more, if the
b. Individuals, associations and corporations accusation has been found groundless;
not permitted by law to inherit; d. Any heir of full age who, having knowledge
c. Guardian with respect to testamentary of the violent death of the testator, should
dispositions given by a ward in his favor fail to report it to an officer of the law within
before the final accounts of the a month, unless the authorities have
guardianship have been approved, even if already taken action; this prohibition shall
the testator should die after the approval not apply to cases wherein, according to
thereof; except if the guardian is his law, there is no obligation to make an
ascendant, descendant, brother, sister, or accusation;
spouse; e. Any person convicted of adultery or
d. Relatives of the priest or minister of the concubinage with the spouse of the
gospel within the fourth degree, the church, testator;
order, chapter, community, organization, or

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U.P. LAW BOC SUCCESSION CIVIL LAW

f. Any person who by fraud, violence, c. If the institution is conditional – when the
intimidation, or undue influence should condition is complied with
cause the testator to make a will or to
change one already made; 3. Acceptance and repudiation
g. Any person who by the same means
prevents another from making a will, or of the inheritance
from revoking one already made, or who
supplants, conceals, or alters the latter's Definition of Acceptance
will; The act by which the person called to succeed
h. Any person who falsifies or forges a by universal title either by the testator or by law
supposed will of the decedent. manifests his will of making his own the
universality of the rights and obligations which
Pardon of Acts of Unworthiness are transmitted to him [Tolentino].
Express Implied
Made by the Definition of Repudiation
Effected when the The manifestation by an heir of his desire not
execution of a
testator makes a will to succeed to the rights and obligations
document or any
instituting the transmitted to him [Tolentino].
writing in which the
unworthy heir with
decedent condones
knowledge of the Requisites [Art. 1043, CC]
the cause of
incapacity
cause of incapacity a. Certainty of death of the decedent
b. Certainty of the right to the inheritance
Revoked when the
Cannot be revoked testator revokes the
FORMS OF ACCEPTANCE [Arts. 1049 –
will or the institution
1050, CC]
a. Express Acceptance – one made in a
Effect of Pardon
public or private document [Art. 1049, par.
Once the act of unworthiness has been
1, CC]
pardoned, whether expressly or tacitly, the heir
b. Tacit Acceptance – one resulting from
is restored to full capacity to succeed the
acts by which the intention to accept is
decedent, as if the cause of unworthiness had
necessarily implied or from acts which one
never existed.
would have no right to do except in the
capacity of an heir.
Unworthiness vs. Disinheritance
c. Implied Acceptance - Within thirty days
Unworthiness Disinheritance
after the court has issued an order for the
Disinheritance is the
Unworthiness distribution of the estate in accordance with
act by which a
renders a person the Rules of Court, the heirs, devisees and
testator, for just
incapable of legatees shall signify to the court having
cause, deprives a jurisdiction whether they accept or
succeeding to the
compulsory heir of his
succession, whether repudiate the inheritance; if they do not do
right to the legitime so within that time, they are deemed to
testate or intestate
[Art. 815, CC]
have accepted the inheritance [Art. 1057,
CC].
Determination of Capacity [Tolentino]
General Rule: At the death of the decedent [Art. An inheritance is deemed accepted:
1034, CC] a. If the heir sells, donates, or assigns his
right to a stranger, or to his co-heirs, or to
Exceptions any of them – the heir must first accept the
a. Those falling under 2, 3, and 5 of Art. 1032 inheritance before he can dispose of it.
– when the final judgment is rendered b. If the heir renounces the same, even
b. Those falling under 4 of Art. 1032 – when though gratuitously, for the benefit of one
the month allowed for the report expired

Page 245 of 532

U.P. LAW BOC SUCCESSION
or more of his co-heirs – this is actually a
donation. The heir must first accept the
inheritance before he can donate it.
c. If the heir renounces it for a price in favor
of all his co-heirs indiscriminately – this is
actually an onerous disposition. The heir
must first accept the inheritance before he
can dispose of it.
Note: But if the renunciation should be
gratuitous, and in favor of all the co-heirs (to
whom the portion renounced should devolve by
accretion), the inheritance shall not be deemed
as accepted [Art. 1050, CC]. This is a true case
of renunciation.
Forms of Repudiation [Art. 1051, CC]
a. In a public instrument acknowledged
before a notary public; or
b. In an authentic document – equivalent of
an indubitable writing or a writing whose
authenticity is admitted or proved; or
c. By petition presented to the court having
jurisdiction over the testamentary or
intestate proceeding
Heirs in Two Capacities [Art. 1055, CC]
a. If a person is called to the same inheritance
as an heir by will and by law and he
repudiates the inheritance in his capacity
as a testamentary heir, he will be
considered to have also repudiated the
inheritance as a legal heir.
b. If he repudiates it as a legal heir, without
knowledge of his being a testamentary
heir, he may still accept it in the latter
capacity.
Irrevocability of Acceptance or Repudiation
General Rule: The acceptance or repudiation
of an inheritance, once made, is irrevocable
and cannot be impugned.
Exceptions
a. When the acceptance or repudiation
suffers from any of the vices which annul
consent; and
b. When an unknown will appears [Art. 1056,
CC]
Page 246 of 532
CIVIL LAW
4. Collation
Concept of Collation
To collate is to bring back or to return to the
hereditary mass in fact or by fiction, property
which came from the estate of the decedent
during his lifetime, by donation or other
gratuitous title but which the law considers as
an advance from the inheritance [Art. 1061,
CC].
It is the act by virtue of which, the compulsory
heir who concurs with other compulsory heirs
in the inheritance brings back to the common
hereditary mass the property which they may
have received from the testator so that a
division may be effected according to law and
the will of the testator.
In reducing inofficious donations, the last to be
donated should be the first to be reduced.
Rationale for collation: If donations inter
vivos will not be collated, then the rule on
legitimes shall be circumvented or disregarded.
OPERATIONS RELATED TO COLLATION
[Tolentino]
a. Collation – adding to the mass of the
hereditary estate the value of the donation
or gratuitous disposition.
b. Imputing or Charging – crediting the
donation as an advance on the legitime (if
the donee is a compulsory heir) or on the
free portion (if the donee is a stranger, i.e.,
not a compulsory heir). [Balane at 522]
c. Reduction – determining to what extent
the donation will remain and to what extent
it is excessive or inofficious.
d. Restitution – returning or the act of
payment of the excess to the mass of
hereditary estate.
Persons Obliged to Collate
General rule: Compulsory heirs
Exceptions
a. When the testator should have so
expressly provided [Art. 1062, CC] – in
which case you collate against the
U.P. LAW BOC SUCCESSION CIVIL LAW

disposable free portion because there attendance, even in extraordinary illness,

MUST be collation. apprenticeship, ordinary equipment, or
b. When the compulsory heir should have customary gifts [Art. 1067, CC]
repudiated his inheritance [Art. 1062, CC]
c. When there is only ONE compulsory heir Generally not imputable to legitime/ cannot
be collated, subject to exceptions:
Grandchildren who survive with their uncles, a. Expenses incurred by parents in giving
aunts, or first cousins and inherit by right of their children professional, vocational or
representation [Art. 1064, CC] other career unless the parents so provide,
or unless they impair the legitime [Art.
Note: Grandchildren may inherit from their 1067, CC]
grandparents in their own right, i.e., as heirs b. Wedding gifts by parents and ascendants,
next in degree, and not by right of consisting jewelry, clothing and outfit,
representation if their parent repudiates the except when they exceed 1/10 of the sum
inheritance of the grandparent, as no living disposable by will [Art. 1070, CC]
person can be represented except in cases of c. Neither shall donations to the spouse of the
disinheritance and incapacity. In this case, the child be brought to collation; but if they
grandchildren are not obliged to bring to have been given by the parent to the
collation what their parent has received spouses jointly, the child shall be obliged to
gratuitously from their grandparent. bring to collation one-half of the thing
donated [Art. 1066, CC]
What to Collate
a. Any property or right received by gratuitous Note: Parents are not obliged to bring to
title during the testator’s lifetime [Art. 1061, collation in the inheritance of their ascendants
CC] any property which may have been donated by
b. All that they may have received from the the latter to their children [Art. 1065, CC].
decedent during his lifetime [Art. 1061, CC]
c. Expenses incurred by the parents in giving Wedding Gifts
their children a professional, vocational or The wedding gift under Article 1070 of the Civil
other career shall not be brought to Code may be compared to a donation propter
collation unless the parents so provide, or nuptias as follows:
unless they impair the legitime; but when
their collation is required, the sum which Donation Propter
Wedding Gift
the child would have spent if he had lived Nuptias
in the house and company of his parents The object is not The object is
shall be deducted therefrom [Art. 1068, specified. It could be jewelry, clothing or
CC] anything of value. outfit.
d. Any sums paid by a parent in satisfaction The donor is not
of the debts of his children, election The donor must be
specified. He or she
expenses, fines, and similar expenses a parent or
could be anyone with
shall be brought to collation [Art. 1069, CC] ascendant of the
capacity to dispose
donee.
property.
Note: Only the value of the thing donated shall If given by a parent,
be brought to collation. the donee is either the The donee is either
child of the donor, or a child or a
PROPERTIES NOT SUBJECT TO the future spouse of descendant of the
COLLATION the child of the donor, donor.
or both of them jointly.
Absolutely no collation: The gift must be given The gift may be
Expenses for support, education (only before the celebration given at any time,
elementary and secondary), medical of the marriage. either before or

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U.P. LAW BOC SUCCESSION CIVIL LAW

after the celebration JUDICIAL vs. EXTRAJUDICIAL

of the marriage. PARTITION
The donation is Judicial Extra-judicial
governed by the rules Partition done by Partition made by
of ordinary donations, Court pursuant to an the decedent himself
except as modified by The gift is non- Order of Distribution by an act inter vivos
the provisions of the collationable to the which may or may or by will or by a third
Family Code. Thus, a extent of one-tenth not be based on a person entrusted by
donation propter of the disposable project of partition. the decedent or by
nuptias given by a free portion of the the heirs themselves
parent to a child is hereditary estate of [Paras].
collationable in full, the donor.
except if the donor Partition Inter Vivos:
declared it to be non- It is one that merely
collationable allocates specific
items or pieces of
5. Partition and Distribution of property on the basis
of the pro-indiviso
Estate shares fixed by law
or given under the
Definition of Partition: Separation, division will to heirs or
and assignment of a thing held in common successors [Art.
among those to whom it may belong. 1080, CC].
What can be divided? 1. The Decedent,
The thing itself or its value may be divided during his lifetime
[Art. 1079, CC].
by an act inter
vivos or by will
Before Partition: Whole estate of the [Art.1080, CC]
decedent is owned in common by the heirs [Art. 2. The decedent’s
1078, CC]. Who may
heirs [Art.1083,
effect
CC]
What acts are deemed partition? Partition?
3. A competent court
Every act which is intended to put an end to [Art. 1083, CC]
indivision among heirs and legatees or 4. A third person not
devisees is deemed a partition, although it
an heir designated
should purport to be a sale, an exchange, a by the decedent
compromise, or any other transaction [Art. [Art.1081, CC]
1082, CC].
1. Compulsory heir
2. Voluntary heir
A void partition may be valid if:
upon fulfillment of
1. The will was in fact a partition
condition, if any
2. The beneficiaries of the void will were legal
Who may [Art. 1084, CC]
heirs
demand 3. Legatee or
partition? devisee
The titles of acquisition or ownership of each
4. Any person who
property shall be delivered to the co-heir to
has acquired
whom said property has been adjudicated [Art.
interest in the
1089, CC].
estate
When 1. When expressly
Partition prohibited by the

Page 248 of 532

U.P. LAW BOC SUCCESSION CIVIL LAW

cannot be testator for a not be rescinded unless there is bad faith

demanded? period not or fraud on the part of the other persons
exceeding 20 interested, but the latter shall be
years [Art. 1083, proportionately obliged to pay the true heir
CC] of his share. The partition with respect to
2. When the co-heirs the mistaken heir is void [Sempio-Dy].
agreed that the
estate shall not be Right of Redemption in Partition
divided for a Should any of the heirs sell his hereditary rights
period not to a stranger before the partition, any or all of
exceeding 10 the co-heirs may be subrogated to the rights of
years, renewable the purchaser by reimbursing him for the price
for another 10 of the sale, provided they do so within the
years [Art. 494, period of one month from the time they were
CC] notified in writing of the sale by the vendor [Art.
3. When prohibited 1088, CC].
by law
4. When to partition Strangers – those who are not heirs on the
the estate would succession.
render it
unserviceable for Legal Redemption by Co-Heir;
the use for which it Requisites
is intended 1. That there are several heirs of the common
1. The prohibition to inheritance;
partition for a 2. That one of them sells his hereditary rights;
period not 3. That the sale is made to a stranger, and
exceeding 20 before the partition has been made;
years can be 4. That one or more of the co-heirs demand
imposed even on the repurchase within a period of one
the legitime. month, counted from the time he or they
2. If the prohibition to were notified in writing of the sale; and
the partition is for 5. That the buyer is reimbursed the price of
Prohibition to
more than 20 the sale [Garcia v. Calaliman, G.R. No. L-
Partition 26855 (1989)].
years, the excess
is void.
3. Even if a Note: The redemption can be exercised only by
prohibition is a co-heir.
imposed, the heirs
by mutual EFFECTS OF PARTITION
agreement can
still make the Effect: A partition legally made confers upon
partition. each heir the exclusive ownership of the
property adjudicated to him [Art. 1091, CC].
Effects of Inclusion of Intruder in Partition
[Art. 1108, CC] No partition shall be construed so as to
1. Between a true heir and several mistaken prejudice, defeat, or destroy the right or title of
heirs – partition is VOID any person claiming the real estate involved in
2. Between several true heirs and a mistaken the action for partition by title under any other
heir – transmission to mistaken heir is void person, or by title paramount to the title of the
3. Through error or mistake, share of true heir parties among whom the partition may have
is allotted to mistaken heir – partition shall been made [Rule 69, Sec. 12, ROC].

Page 249 of 532

U.P. LAW BOC SUCCESSION
Warranty: After the partition has been made,
the co-heirs shall be reciprocally bound to
warrant the title to, and the quality of, each
property adjudicated [Art. 1092, CC].
Reciprocal obligation of warranty: shall be
proportionate to the respective hereditary
shares of the co-heirs.
In case of insolvency of any of the co-heirs:
Other co-heirs shall be liable for his part in the
same proportion, deducting the part
corresponding to the one who should be
indemnified.
RIGHT OF ACTION FOR REIMBURSEMENT:
Those who pay for the insolvent heir shall have
a right of action against him for reimbursement,
should his financial condition improve [Art.
1093, CC].
Prescription period for action to enforce
warranty among the co-heirs: Ten (10) years
from the date the right of action accrues [Art.
1094, CC].
If a credit should be assigned as collectible:
Co-heirs shall not be liable for the subsequent
insolvency of the debtor of the estate, but only
for his insolvency at the time the partition is
made [Art. 1095, CC].
Prescription period of the warranty of the
solvency of the debtor: Can only be enforced
during the five (5) years following the partition.
Warrant of bad debts
General Rule: Co-heirs do not warrant bad
debts, if so known to, and accepted by the
distributee.
Exception: But if such debts are not assigned
to a co-heir, and should be collected, in whole
or in part, the amount collected shall be
distributed proportionately among the heirs
[Art. 1095, CC].
Cessation of Obligation of warranty among
co-heirs: The obligation of warranty among
co-heirs shall cease in the following cases:
Page 250 of 532
CIVIL LAW
1. The testator himself has made the partition;
Unless it appears, or it may be reasonably
presumed, that his intention was otherwise,
but the legitime shall always remain
unimpaired.
2. When it has been so expressly stipulated in
the agreement of partition;
Unless there has been bad faith
3. When the eviction is due to a cause
subsequent to the partition, or has been
caused by the fault of the distributee of the
property [Art. 1096, CC].
RESCISSION AND NULLIFICATION OF
PARTITION
Causes for Rescission or Annulment
1. A partition may be rescinded or annulled
for the same causes as contracts [Art.
1097, CC].
2. A partition, judicial or extrajudicial, may
also be rescinded on account of lesion,
when any one of the co-heirs received
things whose value is less by at least one-
fourth (¼) than the share to which he is
entitled, considering the value of the things
at the time they were adjudicated [Art.
1098, CC].
● This article applies only to cases of
partition among-coheirs
● Lesion is the injury suffered in
consequence of inequality of
situation by one party who does not
receive the full equivalent for what
she gives in a sale or any
commutative contract
3. The partition made by the testator cannot
be impugned on the ground of lesion,
except when the legitime of the compulsory
heirs is thereby prejudiced, or when it
appears or may be reasonably presumed
that the intention of the testator was
otherwise [Art. 1099, CC].
4. Preterition of a compulsory heir in the
partition [Art. 1104, CC]:
● Partition shall not be rescinded
unless bad faith or fraud on the part
of other heirs is proved.
● The culpable heirs shall share in
the damages of the prejudiced
compulsory heir proportionately.
U.P. LAW BOC SUCCESSION CIVIL LAW

5. A partition which includes a person Important Periods in Partition

believed to be an heir, but who is not, shall 1 month or Testator, if publicly known to
be void only with respect to such person less before be insane, burden of proof is
[Art. 1105, CC]. making a on the one claiming validity of
will the will
Rescission on account of lesion Maximum period testator can
PRESCRIPTION: After four (4) years from the 20 years prohibit alienation of
time the partition was made [Art. 1100, CC]. dispositions
5 years
OPTION OF HEIR SUED: from To claim property escheated
a. Indemnifying the plaintiff for the loss; or delivery to to the State
b. Consenting to a new partition the State
To report knowledge of
Indemnity may be made: 1 month violent death of decedent lest
1. By payment in cash or he be considered unworthy
2. By the delivery of a thing of the same kind 5 years
and quality as that awarded to the plaintiff. from the
Action for declaration of
time
If option of consenting to a new partition incapacity and for recovery of
disqualified
was chosen: Shall affect neither those who the inheritance, devise or
person
have not been prejudiced nor those who have legacy
took
not received more than their just share [Art. possession
1101, CC]. 30 days
from Must signify
Who cannot maintain an action for issuance of acceptance/repudiation;
rescission on the ground of lesion? order of otherwise, deemed accepted
An heir who has alienated the whole or a distribution
considerable part of the real property 1 month
adjudicated to him, but he shall have a right to form Right to repurchase
be indemnified in cash [Art. 1102, CC]. written hereditary rights sold to a
notice of stranger by a co-heir
When is rescission of the partition on the sale
ground of lesion not allowed? To enforce warranty of
When there is omission of one or more objects title/quality of property
or securities of the inheritance, but the partition 10 years adjudicated to co-heir from
shall be completed by the distribution of the the time the right of action
objects or securities which have been omitted accrues
[Art. 1103, CC]. To enforce warranty of
5 years
solvency of debtor of the
DIFFERENCE OF NULLITY FROM from
estate at the time partition is
RESCISSION partition
made
● Nullity – the act is supposed to never have 4 years
existed Action for rescission of
from
● Rescission – the act is valid at the origin partition
partition on account of lesion
though it afterwards became ineffective.

Page 251 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

OBLIGATIONS AND
CONTRACTS
CIVIL LAW

Page 252 of 539

U.P. LAW BOC OBLIGATIONS AND CONTRACTS
A. GENERAL PROVISIONS
1. Definition
Art. 1156, CC. An obligation is a juridical
necessity to give, to do or not to do.
An obligation is a juridical relation, whereby a
person (called the creditor) may demand from
another (called the debtor) the observance of a
determinative conduct, and in case of breach,
may obtain satisfaction from the assets of the
latter. [Makati Stock Exchange v. Campos,
G.R. No. 138814 (2009)]
2. Elements of an obligation
a. Active Subject (Obligee/Creditor): The
person (natural or juridical) who has the
right or power to demand the prestation.
b. Passive Subject (Obligor/Debtor): The
person bound to perform the prestation.
c. Prestation (Object): The conduct required
to be observed by the debtor/obligor (to
give, to do, or not to do).
Requisites
1. Must be possible - physically and
juridically.
2. Must be determinate or at least
determinable according to pre-
established elements.
3. Must have possible equivalent in
money
d. Vinculum Juris (Juridical or Legal Tie;
Efficient Cause): That which binds or
connects the parties to the obligation. [de
Leon]
It is established by:
1. law
2. bilateral acts (e.g. contracts giving rise
to obligations stipulated therein)
3. unilateral acts (e.g. crimes and quasi-
delicts)
Page 253 of 532
CIVIL LAW
3. Sources of Obligations
Art. 1157, CC. Obligations arise from:
1. Law;
2. Contracts;
3. Quasi-contracts;
4. Acts or omissions punished by law;
and
5. Quasi-delicts.
a. Law
Obligations arise when imposed by the law
itself and cannot be presumed. [Art. 1158, CC]
b. Contracts
Obligations arise from the stipulation of the
parties; it has the force of law and should be
complied with in good faith. [Art. 1159, CC]
c. Quasi-Contracts
Certain lawful, voluntary and unilateral acts
give rise to the juridical relation of quasi-
contract to the end that no one shall be
unjustly enriched or benefited at the expense
of another. [Art. 2142, CC]
d. Acts or Omissions Punishable by
Law
Responsibility for fault or negligence under a
quasi-delict [Art. 2176, CC] is entirely separate
and distinct from the civil liability arising from
negligence under the penal code. But the
plaintiff cannot recover damages twice for the
same act or omission of the defendant. [Art.
2177, CC]
e. Quasi-Delicts
Obligations arise from damages caused to
another through an act or omission, there being
fault or negligence but no contractual relations
exist between the parties. [Art. 2176, CC]
 B. NATURE AND EFFECT 4. To deliver its even if not
accessions and mentioned
OF OBLIGATIONS accessories [Art. [Art. 1166,
1166, CC] CC]
1. Obligation to give • Accessions – 4. Not to be
everything compelled to
a. Type of things which is receive a
produced by a different one,
Specific/ Generic Limited
thing, or which although of
Determinate Thing Generic
is incorporated the same
Thing Thing
or attached value as, or
Particularly Object is When the thereto, more valuable
designated or designated generic excluding fruits than that
physically only by its objects are • Accessories – which is due
segregated class/ confined to a things designed [Art. 1244,
from all genus/ particular for the CC]
others of the species. class. embellishment, 5. To recover
same class use or damages in
[Art.1460, preservation of case of
CC]; another thing of breach,
Identified by more exclusive or in
individuality. importance addition to
5. To pay damages in specific
Cannot be Can be Can be case of breach [Art. performance
substituted substituted substituted 1170, CC] [Arts. 1165,
against the by any of the by any of the 1170, CC]
obligee’s will. same class same
and same particular
kind. class. To Give a Generic Thing

1. To take care of the 1. To ask that

b. Rights and Duties of Parties thing [Art. 1163, CC] the obligation
2. To deliver a thing of be complied
Duties of the Debtor Rights of the
the quality intended with [Art.
Creditor
by the parties taking 1165, CC]
To Give a Specific Thing into consideration 2. To ask that
the purpose of the the obligation
1. To preserve or take 1. To compel obligation and other be complied
care of the thing due delivery [Art. circumstances [Art. with by a third
with the proper 1165, CC] 1246, CC] person at the
diligence of a good 2. To the fruits 3. Creditor cannot expense of
father of a family from the time demand a thing of the debtor
[Art. 1163, CC] the obligation superior quality; 3. To recover
2. To deliver the to deliver neither can the damages in
thing itself [Art. arises [Art. debtor deliver a case of
1165, CC] 1164, CC] thing of inferior breach [Art.
3. To deliver the 3. To the quality. 1165, CC]
fruits of the thing accessions 4. To pay damages in 4. Not to be
[Art. 1164, CC] and case of breach [Art. compelled to
accessories, 1170, CC] receive a

Page
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

different one, 2. To shoulder expense. [Art.

although of cost of undoing 1168, CC]
the same what should not 2. To recover
value as, or have been done damages, where
more valuable [Art. 1168, CC] it would be
than that 3. To pay physically or
which is due damages in legally
[Art. 1244, case of breach impossible to
CC] [Art. 1170, CC] undo what should
not have been
done, because
2. Obligation to do or not to do of:
• the very nature
a. Rights and Duties of Parties of the act itself;
Duties of the Rights of the • rights acquired
Debtor Creditor by third persons
who acted in
Obligation To Do good faith;
• when the effects
1. To do it [Art. 1. To have the of the acts
1167, CC] obligation prohibited are
2. To shoulder executed at definite in
the cost of the cost of character and
execution the debtor will not cease
should he [Art. 1167, even if the thing
fail to do it CC] prohibited be
[Art. 1167, 2. To recover undone.
CC] damages in
3. To undo case of
what has breach [Art. 3. Transmissibility of
been poorly 1170, CC] obligations
done [Art.
1167, CC] Note: The debtor General Rule: All rights acquired by virtue of
4. To pay cannot be compelled an obligation are transmissible. [Art. 1178, CC];
damages in to perform his Contracts take effect only between the parties,
case of obligation. The their assigns and heirs [Art. 1311, CC]
breach [Art. ultimate sanction of
1170, CC] civil obligations is Exception: Nature of obligation, law or
indemnification of stipulation to the contrary provides otherwise
damages. This would [Art. 1178].
be tantamount to
involuntary Only personal obligations, or those identified
servitude. with the persons themselves are extinguished
by death. [Stronghold Insurance Co. v.
Obligation Not To Do
Republic-Asahi Glass Corp., G.R. No. 147561
1. Not to do what 1. To ask to undo (2006)]
should not be what should not
done be done, at the
debtor’s

Page 255 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS
• the deviation from the obligation must
be slight, and the omission or defect
must be technical and unimportant,
and must not pervade the whole or be
so material that the object which the
parties intended to accomplish in a
particular manner is not attained.
[International Hotel Corp v. Joaquin,
G.R. No. 158361 (2013)]
The question of whether a breach of contract is
substantial depends upon the attending
circumstances and not merely on the
percentage of the amount not paid. [Cannu v.
Galang, G.R. No. 139523 (2005)]
b. Default, Delay, or Mora
Definition: Failure to perform an obligation
on time which constitutes a breach of the
obligation. [de Leon]
Rules on Default, Delay, or Mora
Unilateral Obligations Reciprocal
Obligations
General Rule: “No Neither party
demand, No delay.” incurs in delay if
the other does not
The mere expiration of comply or is not
the period fixed by the ready to comply in
parties is not enough in a proper manner
order that the debtor with what is
may incur in delay. incumbent upon
him. From the
Those obliged to deliver moment one of the
or to do something parties fulfills his
incur in delay from obligation, delay
the time the obligee by the other
judicially or begins. [Art. 1169
extrajudicially par. 3, CC]
demands from them
the fulfillment of their No delay if neither
obligation. [Art. 1169 performs.
par. 1, CC]
Page 257 of 532
CIVIL LAW
When demand is not necessary in order
that delay may exist [par. 2, Art. 1169, CC]
1. When demand would be useless, as
when the obligor has rendered it beyond
his power to perform; such as:
a. When the impossibility is caused by
some act or fault of the debtor (e.g.
debtor absconded or has destroyed the
thing to be delivered);
b. When the impossibility is caused by a
fortuitous event, but the debtor has
bound himself to be liable in case of
such event. [Tolentino]
2. When from the nature and the
circumstances of the obligation it appears
that the designation of the time when the
thing is to be delivered or the service is
to be rendered was a controlling motive
for the establishment of the contract (time
is of the essence);
3. When the law so provides; or
4. When the obligation expressly so
declares.
Note: It is insufficient that the law or obligation
fixes a date for performance. It must further
state expressly that after the period lapses,
default will commence.
KINDS OF DELAY
1. Moral Solvendi;
2. Mora Accipiendi;
3. Compensatio Morae
MORA SOLVENDI
Delay on the part of the debtor to fulfil his
obligation either to give (ex re) or to do (ex
persona).
Requisites
1. Obligation must be liquidated, due and
demandable
2. Non-performance by the debtor within the
period agreed upon
3. Demand, judicial or extra-judicial, by the
creditor, unless demand is not necessary
under the circumstances enumerated in Art
1169 par (2).
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Effects Equitable Tempering under Art. 1192 vs.

1. The debtor is liable for damages. [Art. Under Art. 2215 [Ong v. Bognalbal, G.R. No.
1170, CC] 149140 (2006)]
2. For determinate objects, the debtor shall
Art 1192 Art 2215
bear the risk of loss, even if the loss is due
to fortuitous events. [Art. 1165 par. 3, CC] “In case both “In contracts, quasi-
parties have contracts, and quasi-
MORA ACCIPIENDI committed a breach delicts, the court may
Delay on the part of the creditor to accept the of the obligation, equitably mitigate the
performance of the obligation. the liability of the damages under
first infractor shall circumstances other
Requisites be equitably than the case referred
1. Debtor offers performance. tempered by the to in the preceding
2. Offer must be in compliance with the courts. xxx” article, as in the ff.
prestation as it should be performed. instances:
3. Creditor refuses performance without just
cause. (1) That the plaintiff
himself has
Effects contravened the terms
1. The responsibility of the debtor is reduced of the contract xxx”
to fraud and gross negligence.
2. The debtor is exempted from risk of loss of Second infractor Does not appear to
the thing, which is borne by the creditor. not liable for consider which
3. The expenses incurred by the debtor for damages at all; infractor first
the preservation of the thing after the mora only the first committed the breach.
shall be chargeable to the creditor. infractor is liable,
4. If the obligation bears interest, the debtor but with his liability
does not have to pay from the time of delay. mitigated.
5. The creditor is liable for damages.
6. The debtor may relieve himself of the
obligation by consigning the thing. c. Fraud (Dolo) in the
[Tolentino] Performance of the Obligation

COMPENSATIO MORAE Art. 1171, CC. Responsibility arising from

Delay of both parties in reciprocal fraud is demandable in all obligations. Any
obligations. waiver of an action for future fraud is void.

Effects
1. Delay of the obligor cancels delay of Definition: Fraud (dolo) is the deliberate or
obligee (and vice versa) hence it is as if intentional evasion of the normal fulfilment of
there is no default. an obligation. [de Leon]
2. The liability of the first infractor shall be
equitably tempered by the courts. If it
cannot be determined which of the parties
first violated the contract, the same shall be
deemed extinguished, and each shall bear
his own damages. [Art. 1192, CC]

Page 258 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Two Types of Fraud d. Negligence (Culpa) in the

Dolo Causante Dolo Incidente Performance of the Obligation
[Art. 1338, par. 1, Art. [par. 2, Art. 1344,
1344, CC] CC] Art. 1172, CC. Responsibility arising from
negligence in the performance of every kind
Definition
of obligation is also demandable, but such
liability may be regulated by the courts,
Those deceptions or Those which are according to the circumstances.
misrepresentations of a not serious in
serious character character and
employed by one party without which the Art. 1173, CC. The fault or negligence of the
and without which the other party would obligor consists in the omission of that
other party would not still have entered diligence which is required by the nature of
have entered into the into the contract. the obligation and corresponds with the
contract. [Tankeh v. [Tankeh v. DBP, circumstances of the persons, of the time
DBP, G.R. No. 171428 G.R. No. 171428 and of the place.
(2013)] (2013)] xxxx
If the law or contract does not state the
When Present diligence which is to be observed in the
performance, that which is expected of a
Deception used by one Deception used
good father of a family shall be required.
party prior to or by one party at the
simultaneous with the time of birth or
contract, in order to perfection, or General Rule: Standard of care required is
secure the consent of performance of diligence of a good father of family.
the other [Tankeh v. the obligation
DBP, G.R. No. 171428 Exceptions (Other standards of care)
(2013)] 1. Common Carriers
They are bound to observe extraordinary
Object diligence in the vigilance over the goods
and for the safety of the passengers
Essential cause of the Some particular or transported by them [Art. 1733, CC]
obligation without which accident of the
the other party would obligation 2. Hotel and inn-keepers
not have entered into The keepers of hotels or inns shall be
the contract. responsible for the deposit of effects, made
by travellers, as depositaries, provided
Effect
that notice was given to them, or their
Voidable and Damages Damages employees of such effects and that they
take precautions relative to the care and
vigilance of their effects [Art. 1998, CC]
Requisites for Fraud to Vitiate a Contract
(Dolo Causante) This responsibility shall include the loss of,
1. It must have been employed by one or injury to the personal property of the
contracting party upon the other; guests caused by the servants or
2. It must have induced the other party to employees of the keepers of hotels or inns
enter into the contract; as well as strangers; but not that which may
3. It must have been serious; and proceed from any force majeure. [Art.
4. It must have resulted in damage or injury to 2000, CC]
the party seeking annulment. [Tolentino]

Page 259 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Distinguished from Rescission under Art. Right of the creditor to exercise all of the rights
1380 and bring all the actions which his debtor may
have against third persons.
Rescission / Rescission [Art.
Resolution [Art. 1380, CC] In order to satisfy their claims against the
1191, CC] debtor, creditors have the ff. successive rights:
1. To levy by attachment and execution upon
Based on non- Based on lesion or all the property of the debtor, except those
performance or fraud upon creditors. exempt from execution;
non-fulfillment of 2. To exercise all the rights and actions of the
obligation. debtor, except such as are inherently
personal to him; and
Action is instituted Action is instituted by 3. To ask for rescission of the contracts made
only by the injured either party or by a by the debtor in fraud of their rights.
party. third person.
Requisites
Principal action, Subsidiary action, in
1. The person to whom the right of action
retaliatory in the absence of any
pertains must be indebted to the creditor
character. other legal means to 2. The debt is due and demandable
obtain reparation.
3. The creditor must be prejudiced by the
Applies only to Applies to either failure of the debtor to collect his debts due
reciprocal unilateral or reciprocal him from third persons, either through
obligations where obligations even when malice or negligence
one party is guilty the contract has been 4. The debtors assets are insufficient (debtor
of non-fulfillment fully fulfilled. is insolvent)
5. The right of action is not purely personal to
In some cases, Court cannot grant a the debtor
court may grant a period or term within
term for which one must Previous approval of the court is not necessary
performance. comply. to exercise the accion subrogatoria.

Non-performance Non-performance by ACCION PAULIANA

by the other party is the other party is
important. immaterial.
b. Subsidiary Remedies
Creditors
ACCION SUBROGATORIA
Art. 1177, CC. The creditors, after having
pursued the property in possession of the
debtor to satisfy their claims, may exercise
all the rights and bring all actions of the latter
for the same purpose, save those which are
inherent in his person; they may also impugn
the acts which the debtor may have done to
defraud them.
Creditors may also impugn the acts which the
debtor may have done to defraud them. [Art.
1177, CC]
of
Par. 3, Art. 1381. The following contracts are
rescissible:
(3) Those undertaken in fraud of creditors
when the latter cannot in any other manner
collect the claims due them.
Requisites [Cheng v. CA, G.R. No. 144169
(2001)]
1. There is a credit in favor of the plaintiff
prior to the alienation by the debtor
2. The debtor has performed a subsequent
contract conveying patrimonial benefit to
third person/s.

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Effect: It is presumed to have been When Courts May Fix Period

established for the benefit of both the creditor
and the debtor
Exception: From the tenor of the same or
other circumstances it should appear that the
period has been established in favor of one or
of the other.
General Rule: Courts may fix the period of an
obligation when:
1. the obligation does not fix a period but from
its nature and the circumstances it can be
inferred that a period was intended;
2. the obligation depends upon the will of the
debtor.

Period for the benefit of either creditor or Exceptions: If the Court determines that one
debtor of the 3 circumstances [below] are present, it
must decide the period “probably contemplated
Creditor Debtor
by the parties” [Araneta v. Phil. Sugar Estates,
Creditor may Debtor may oppose any G.R. No. L-22558 (1967)]
demand the premature demand on 1. obligation does not fix a period, but from its
fulfillment or the part of the obligee for nature and circumstances, it can be
performance of the performance of the inferred that a period was intended
the obligation at obligation, or if he so 2. the period is void, such as when it depends
any time but the desires, he may upon the will of the debtor
obligor cannot renounce the benefit of 3. If the debtor binds himself when his means
compel him to the period by performing permit him to do so.
accept payment his obligation in advance.
before the Courts shall determine such period as may
expiration of the have been probably contemplated by the
period. parties [Art. 1197, CC]
Application: When a period was intended by
the parties [Macasaet v. Macasaet, G.R. Nos.
If the period is for the benefit of the debtor 154391-92 (2004)]
alone, he shall lose every right to make use General Rule: Once fixed by the courts, the
of it: period cannot be changed by them.
(a) When after the obligation has been Exception: The rule does not apply to contract
contracted, he becomes insolvent, unless of services and to pure obligations. [Tolentino]
he gives a guaranty or security for the debt;
(b) When he does not furnish to the creditor
the guaranties or securities which he has
4. Alternative or facultative
promised;
(c) When by his own acts he has impaired said Alternative and Facultative Conditions
guaranties or securities after their Distinguished
establishment, and when through a Alternative Facultative
fortuitous event they disappear, unless he Obligations Obligations
immediately gives new ones equally
satisfactory; Of the two or more Of the two or more
(d) When the debtor violates any undertaking, prestations, several prestations, only
in consideration of which the creditor are due. one is due, while the
agreed to the period; other/s may be
(e) When the debtor attempts to abscond [Art. performed in
1198, CC] substitution of the
(f) When required by law or stipulation; one due.
(g) If parties stipulated an acceleration clause
[Tolentino]

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

May be complied May be complied Form of notice

with by performance with by performance Notice of selection or choice may be in any
of one of the of another prestation form provided it is sufficient to make the other
prestations which in substitution of party know that the selection has been made.
are alternatively that which is due. It can be:
due. 1. oral
2. in writing
The right of choice Choice of prestation 3. tacit
belongs to the pertains only to the 4. any other equivocal means [Tolentino]
debtor, unless it debtor.
has been expressly Consent of other party
granted to the The law does not require the other party to
creditor. [Art. 1200, consent to the choice made by the party
CC] entitled to choose. The only possible exception
is when the debtor has chosen a prestation
Loss/impossibility of Loss/impossibility of which could not have been the object of the
all prestations due the prestation due obligation; the creditor’s consent would bring
to a fortuitous event to a fortuitous event about a novation of the obligation [Ibid.]
shall extinguish the is sufficient to
obligation. extinguish the Debtor cannot make a choice, or delays
obligation. selection
If through the creditor's acts the debtor cannot
Loss/impossibility of Loss/impossibility of make a choice according to the terms of the
one of the the substitute/s obligation, the latter may rescind the
prestations does does not extinguish contract with damages. [Art. 1203, CC]
not extinguish the the obligation,
obligation. provided the If the debtor does not select at the time
obligation which is when performance should be effected, the
due subsists choice can be made for him by the creditor
by applying Art. 1167
Culpable loss of any Culpable loss of the
In obligations to do (debtor considered to have
of the objects object which the
waived his right, subject to equity
alternatively due debtor may deliver in
considerations) [Tolentino].
before the choice is substitution before
made may give rise the substitution is
Effect of notice of choice
to liability on the effected does not The effect of the notice is to limit the obligation
part of the debtor. give rise to any
to the object or prestation selected. The
liability on the part of
obligation is converted into a simple obligation
the debtor.
to perform the prestation chosen. Once a
selection has been communicated, it is
Right of Choice [Art. 1200, CC] irrevocable [Ibid.]
General Rule: Belongs to the debtor
Instances when obligation is converted into
Exceptions a simple obligation
1. it is expressly granted to the creditor 1. The person with the right of choice has
2. it is expressly granted to a third person communicated his choice [Arts. 1201 and
par. 1, 1205, CC]
2. Only one prestation is practicable [Art.
1202, CC]

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Loss of Specific Things or Impossibility of

shall choose without a right to
Performance of Prestations in an
from among the damages OR price/value
Alternative Obligation
remainder. of the thing lost, with right
to damages.
If Debtor’s Choice [Art. 1204, CC]
Fortuitous Debtor’s Fault One prestation remains
Event
Debtor to Creditor may claim the
All prestations lost/impossible perform that remaining thing without a
which remains. right to damages OR the
Debtor is Creditor shall have a price/value of the thing
released from right to indemnity for lost with right to
the obligation. damages based on the damages.
value of the last thing
which disappeared or
Facultative Obligations
service which become
Only one prestation is agreed upon, but the
impossible, plus
obligor may render another in substitution. [Art.
damages other than the
1206, CC]
value may also be
awarded
Loss or deterioration of Substitute in
Some prestations lost/impossible Facultative Obligations [Art. 1206, CC]
Before After Substitution is
Debtor to Debtor to perform that Substitution is Made
perform that which the debtor shall Made
which he shall choose from among the
choose from remainder, without If due to bad faith The loss or deterioration
among the liability for damages. or fraud of of the substitute on
remainder. obligor: obligor is account of the obligor’s
liable. delay, negligence, or
One prestation remains fraud, renders the obligor
If due to the liable because once the
Debtor to Debtor to perform that
negligence of the substitution is made, the
perform that which remains.
obligor: obligor is obligation is converted
which remains.
not liable. into a simple one with the
substituted thing as the
If Creditor’s Choice [Art. 1205, CC] object of the obligation.
Fortuitous Debtor’s Fault
Event 5. Joint and Solidary
All prestations lost/impossible Obligations
Debtor is Creditor may claim the Joint Obligations
released from price/value of any of
the obligation. them, with indemnity for The whole obligation, whether capable of
damages. division into equal parts or not, is to be paid or
performed by several debtors (joint debtors)
Some prestations lost/impossible and/or demanded by several creditors (joint
creditors).
Debtor to deliver Creditor may claim any
that which he of those subsisting

Page 270 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Each debtor is liable only for a proportionate JOINT INDIVISIBLE OBLIGATION

part of the debt, and each creditor is entitled
Art. 1209, CC. If the division is impossible,
only to a proportionate part of the credit.
the right of the creditors may be prejudiced
[Tolentino]
only by their collective acts, and the debt can
be enforced only by proceeding against all
Presumption of Joint Obligation [Article
the debtors. If one of the latter should be
1207, CC]
insolvent, the others shall not be liable for his
General Rule: An obligation is presumed joint
share.
if there is a concurrence of several creditors, or
of several debtors, or of several creditors and
debtors in one and the same obligation When there are several debtors or creditors,
but the prestation is indivisible, the obligation is
Exceptions joint, unless solidarity has been stipulated
1. When the obligation expressly states [Tolentino]
that there is solidarity
2. When the law requires solidarity, i.e. When Indivisible [Art. 1225, CC]
quasi-delicts [Art. 2194, CC], joint 1. Obligations to give definite things
payees by mistake [Art. 2157, CC], 2. Obligations not susceptible of partial
acts under articles 19-22 if committed performance
by two or more persons acting jointly 3. Indivisibility is provided by law or intended
3. When the nature of the obligation by the parties, even though the object or
requires solidarity service may be physically divisible
4. When a charge or condition imposed 4. In obligations not to do, when character of
upon heirs or legatees, and the prestation requires indivisibility
testament expressly makes the charge
or condition in solidum Summary: in case of breach
5. When the solidary responsibility is Joint Divisible Joint Indivisible
imputed by a final judgment upon Obligations Obligations
several defendants
In case of In case of breach where
Presumption of Divisibility in Joint breach of one of the joint debtors
Obligations [Art. 1208, CC] obligation by fails to comply with his
Credit or debt shall be presumed to be divided one of the undertaking, the
into as many equal shares as there are debtors, obligation can no longer
creditors or debtors, the credits or debts being damages due be fulfilled or performed.
considered distinct from one another. must be borne Thus, the action must be
by him alone. converted into one for
JOINT DIVISIBLE OBLIGATION indemnity for damages,
One where a concurrence of several creditors, with each debtor liable
or of several debtors, or of several creditors only for his part in the
and debtors, by virtue of which, each of the price or value of the
creditors has a right to demand, and each of prestation.
the debtors is bound to render compliance with
his proportionate part of the prestation which
constitute the object of the obligation. Solidary Obligations

An obligation where there is concurrence of

several creditors, or of several debtors, or of
several creditors and several debtors, by virtue
of which, each of the creditors has the right to
demand, and each of the debtors is bound to

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

render, entire compliance with the prestation KINDS OF SOLIDARY OBLIGATIONS

which constitutes the object of the obligation.
As to Source
The indivisibility of an obligation does not 1. Legal – imposed by law
necessarily give rise to solidarity. Nor does 2. Conventional – agreed upon by
solidarity of itself imply indivisibility. [Art. 1210, parties
CC] 3. Real – imposed by the nature of the
obligation
Solidarity may exist although the creditors and
the debtors may not be bound in the same As to Parties Bound
manner and by the same periods and 1. Active (solidarity among creditors) –
conditions. [Art. 1211, CC] Each creditor has the authority to claim
and enforce the rights of all, with the
Solidarity Indivisibility resulting obligation of paying everyone
what belongs to him.
Refers to the legal tie Refers to the 2. Passive (solidarity among debtors) –
(vinculum juris), and prestation that is not Each debtor can be made to answer for
consequently to the capable of partial the others, with the right on the part of
subjects or parties of performance the debtor-payor to recover from the
the obligation others their respective shares.
3. Mixed (solidarity among creditors and
More than one Exists even if there is debtors) – The creditor can commence
creditor or more than only one creditor an action against anyone of the debtors
one debtor (plurality and/or one debtor for the compliance with the entire
of subjects) obligation minus the portion or share
which corresponds to the debtor
Each creditor may Each creditor cannot affected by the condition or period. [Art.
demand the entire demand more than 1211, CC]
prestation and each his share and each
debtor is bound to debtor is not bound ACTIVE SOLIDARY OBLIGATION (among
pay the entire to pay more than his creditors)
prestation share

Effect of breach: Effect of breach: Art. 1214, CC. The debtor may pay any one
Solidarity remains Obligation is of the solidary creditors; but if any demand,
converted to judicial or extrajudicial, has been made by
indemnity for one of them, payment should be made to
damages him.

All debtors are liable Only the debtors

Effects of Active Solidarity [Tolentino]
for breach committed guilty of breach of
1. Death of solidary creditor does not transmit
by a co-debtor obligation is liable for
solidarity to his heirs but rather to all of
damages
them taken together (joint)
All debtors are Other debtors are 2. Each represents the other in receiving
proportionately liable not liable if one payment and all other advantageous acts
for insolvency of one debtor is insolvent (i.e. interrupt prescription and render the
debtor debtor in default for the benefit of all
creditors)
3. Each one of the solidary creditors may do
whatever may be useful to the others, but

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
not anything which may be prejudicial to
the latter. [Art. 1212, CC]
4. One creditor does NOT represent all others
in acts such as novation (even if
advantageous), compensation and
remission. In this case, even if the debtor is
released, the other creditors can still
enforce their rights against the creditor who
made the novation, compensation or
remission [par. 2, Art. 1215, CC]
5. The creditor who collects the debt, shall be
liable to the others for the share in the
obligation corresponding to them. [par. 2,
Art. 1215, CC]
6. The credit and its benefits are divided
equally among them, unless agreement to
the contrary.
7. Debtor may pay any one of the solidary
creditors; but if any demand, judicial or
extrajudicial, has been made by one of
them, payment should be made to him who
demanded [Art. 1214, CC]
PASSIVE SOLIDARY OBLIGATION
General Rules
1. The creditor may proceed against any
one of the solidary debtors or some or
all of them simultaneously...so long as
the debt has not been fully collected
[Art. 1216, CC]
2. Payment made by one of the solidary
debtors extinguishes the obligation. If
two or more solidary debtors offer to
pay, the creditor may choose which
offer to accept. [Art. 1217, CC]
3. A solidary debtor may, in actions filed
by the creditor, avail himself of all
defenses which are derived from the
nature of the obligation and of those
which are personal to him, or pertain to
his own share. For defenses which
personally belong to the others, such
debtor may avail himself thereof only
as regards that part of the debt for
which the latter are responsible. [Art.
1222, CC]
Effects of Passive Solidarity [Tolentino]
1. Each debtor can be required to pay the
entire obligation, but after payment he
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CIVIL LAW
can recover from the co-debtors their
respective shares
2. Each debtor may set up his own claims
against the creditor as payment of the
obligation
3. Remission of the entire debt affects all
debtors, but when remission is limited
to the share of one debtor, the other
debtors are still liable for the balance of
the obligation
a. The remission of the whole obligation,
obtained by one of the solidary debtors,
does not entitle him to reimbursement
from his co-debtors. [Art. 1220, CC]
b. The remission made by the creditor of
the share which affects one of the
solidary debtors does not release the
latter from his responsibility towards
the co-debtors, in case the debt had
been totally paid by any one of them
before the remission was effected. [Art.
1219, CC]
4. All debtors are liable for the loss of the
thing due, even if only one of them is at
fault, or after incurring delay it is lost by
fortuitous event
5. Interruption of prescription as to one
debtor affects all others, but
renunciation of prescription already
had does not prejudice the others.
(Reason: prescription extinguishes the
mutual representation among solidary
debtors)
6. Interests due by delay of one is borne
by all of them
DEFENSES AVAILABLE TO A SOLIDARY
DEBTOR [Art. 1222, CC]
1. Those derived from the nature of the
obligation
Defenses inherent in an obligation include
non-existence of the obligation because of
absolute simulation or illicit object, nullity
due to defect in capacity or consent of all
debtors, unenforceability, non-
performance of suspension condition or
non-arrival of period, extinguishment of the
obligation, res judicata, and prescription.
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

2. Those personal to him Loss of the thing or impossibility of

Personal defenses such as minority, performance of the passive/mixed solidary
insanity, fraud, violence, or intimidation will obligation [Art. 1221, CC]
serve as a complete exemption of the
defendant debtor from liability to the
Without The obligation shall be
creditor fault of extinguished.
the
3. Those pertaining to his own share debtors

4. Those personally belonging to other co- With fault All debtors shall be responsible to
debtors but only as regards that part of of any of the creditor, for the price and the
the debt for which the latter are the payment of damages and interest,
responsible. debtors without prejudice to their action
against the guilty or negligent
Comparing demand upon Solidary Debtor debtor.
and Payment by a Solidary Debtor
Through All debtors shall be responsible to
Demand Upon a Payment by a a the creditor, for the price and the
Solidary Debtor Solidary Debtor fortuitous payment of damages and interest,
event without prejudice to their action
The demand made Full payment made after one against the guilty or negligent
against one of them shall by one of the incurred debtor.
not be an obstacle to solidary debtors in delay
those which may extinguishes the
subsequently be directed obligation [Art.
against the others so 1217, CC]. 6. Obligations with a penal
long as the debt has not
been fully collected [Art. clause
1216, CC].
Penal Clause
The creditor may If two or more An accessory undertaking to assume greater
proceed against any one solidary debtors liability in case of breach. It is generally a sum
of the solidary debtors or offer to pay, the of money, but it can be any other thing like an
all simultaneously [Art. creditor may act or abstention. [Tolentino]
1216, CC]. choose which offer
to accept [Art. If the principal obligation is void, the penal
1217, CC]. clause shall also be void. However, the nullity
of the penal clause does not carry with it the
A creditor’s right to The solidary debtor
nullity of the principal obligation [Art.1230, CC].
proceed against the who made the
surety exists payment shall have
Rules on Penalty
independently of his right the right to claim
to proceed against the from his co-debtors
a. The penalty shall substitute the
principal. the share which indemnity for damages and payment of
corresponds to interest in case of non-compliance [Art.
them with interest, 1226, CC], unless:
UNLESS barred by i. There is an express provision
prescription or to that effect
illegality [Art. 1218, ii. The obligor refuses to pay the
CC]. penalty
iii. The obligor is guilty of fraud in
non-fulfillment

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
b. Debtor cannot exempt himself from the
performance of the principal obligation
by paying the stipulated penalty unless
this right has been expressly reserved
for him [Art. 1227, CC].
c. Creditor cannot demand the fulfillment
of the principal obligation and
demanding the satisfaction of the
penalty at the same time unless the
right has been clearly granted to him
[Art. 1227, CC]. A tacit or implied grant
is admissible.
i. If the creditor chooses to
demand the satisfaction of
the penalty, he cannot
afterwards demand the
fulfillment of the obligation.
ii. If there was fault on the part
of the debtor, creditor may
demand not only the
satisfaction of the penalty but
also the payment of damages.
iii. If the creditor has chosen to
demand the fulfillment of the
principal obligation and the
performance thereof
becomes impossible without
his fault, he may still demand
the satisfaction of the penalty.
Enforcement of the Penalty
The enforcement of the penalty can be
demanded by the creditor only when the non-
performance is due to the fault or fraud of the
debtor. However, the creditor does not have to
prove fault or fraud, since the non-performance
gives rise to the presumption of fault.
[Tolentino]
Proof of Actual Damage
Proof of actual damage suffered by the creditor
is not necessary in order that the penalty may
be enforced [Art. 1228, CC].
When Penalty may be Reduced [Art. 1229,
CC]:
1. If the principal obligation has been partly
complied with.
2. If the principal obligation has been
irregularly complied with.
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CIVIL LAW
3. If the penalty is iniquitous or
unconscionable, even if there has been no
performance.
The question of whether a penalty is
reasonable or iniquitous can be partly
subjective and partly objective. Its resolution
would depend on such factors as, but not
necessarily confined to, the type, extent and
purpose of the penalty, the nature of the
obligation, the mode of breach and its
consequences, the supervening realities, the
standing and relationship of the parties, and
the like, the application of which, by and large,
is addressed to the sound discretion of the
court. [Ligutan v CA, G.R. No. 138677 (2002)]
D. EXTINGUISHMENT OF
OBLIGATIONS
Modes of extinguishing obligations
Art. 1231, CC. Obligations are extinguished:
1. By payment or performance;
2. By the loss of the thing due;
3. By the condonation or remission of
the debt;
4. By the confusion or merger of the
rights of creditor and debtor;
5. By compensation;
6. By novation.
Other causes of extinguishment of
obligations, such as annulment, rescission,
fulfillment of a resolutory condition, and
prescription, are governed elsewhere in this
Code.
1. Payment or performance
a. Payment
The delivery of money OR
The performance of obligation [Art. 1232,
CC]
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Effect: It is presumed to have been When Courts May Fix Period

established for the benefit of both the creditor
and the debtor
Exception: From the tenor of the same or
other circumstances it should appear that the
period has been established in favor of one or
of the other.
General Rule: Courts may fix the period of an
obligation when:
1. the obligation does not fix a period but from
its nature and the circumstances it can be
inferred that a period was intended;
2. the obligation depends upon the will of the
debtor.

Period for the benefit of either creditor or Exceptions: If the Court determines that one
debtor of the 3 circumstances [below] are present, it
must decide the period “probably contemplated
Creditor Debtor
by the parties” [Araneta v. Phil. Sugar Estates,
Creditor may Debtor may oppose any G.R. No. L-22558 (1967)]
demand the premature demand on 1. obligation does not fix a period, but from its
fulfillment or the part of the obligee for nature and circumstances, it can be
performance of the performance of the inferred that a period was intended
the obligation at obligation, or if he so 2. the period is void, such as when it depends
any time but the desires, he may upon the will of the debtor
obligor cannot renounce the benefit of 3. If the debtor binds himself when his means
compel him to the period by performing permit him to do so.
accept payment his obligation in advance.
before the Courts shall determine such period as may
expiration of the have been probably contemplated by the
period. parties [Art. 1197, CC]
Application: When a period was intended by
the parties [Macasaet v. Macasaet, G.R. Nos.
If the period is for the benefit of the debtor 154391-92 (2004)]
alone, he shall lose every right to make use General Rule: Once fixed by the courts, the
of it: period cannot be changed by them.
(a) When after the obligation has been Exception: The rule does not apply to contract
contracted, he becomes insolvent, unless of services and to pure obligations. [Tolentino]
he gives a guaranty or security for the debt;
(b) When he does not furnish to the creditor
the guaranties or securities which he has
4. Alternative or facultative
promised;
(c) When by his own acts he has impaired said Alternative and Facultative Conditions
guaranties or securities after their Distinguished
establishment, and when through a Alternative Facultative
fortuitous event they disappear, unless he Obligations Obligations
immediately gives new ones equally
satisfactory; Of the two or more Of the two or more
(d) When the debtor violates any undertaking, prestations, several prestations, only
in consideration of which the creditor are due. one is due, while the
agreed to the period; other/s may be
(e) When the debtor attempts to abscond [Art. performed in
1198, CC] substitution of the
(f) When required by law or stipulation; one due.
(g) If parties stipulated an acceleration clause
[Tolentino]

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May be complied May be complied Form of notice

with by performance with by performance Notice of selection or choice may be in any
of one of the of another prestation form provided it is sufficient to make the other
prestations which in substitution of party know that the selection has been made.
are alternatively that which is due. It can be:
due. 1. oral
2. in writing
The right of choice Choice of prestation 3. tacit
belongs to the pertains only to the 4. any other equivocal means [Tolentino]
debtor, unless it debtor.
has been expressly Consent of other party
granted to the The law does not require the other party to
creditor. [Art. 1200, consent to the choice made by the party
CC] entitled to choose. The only possible exception
is when the debtor has chosen a prestation
Loss/impossibility of Loss/impossibility of which could not have been the object of the
all prestations due the prestation due obligation; the creditor’s consent would bring
to a fortuitous event to a fortuitous event about a novation of the obligation [Ibid.]
shall extinguish the is sufficient to
obligation. extinguish the Debtor cannot make a choice, or delays
obligation. selection
If through the creditor's acts the debtor cannot
Loss/impossibility of Loss/impossibility of make a choice according to the terms of the
one of the the substitute/s obligation, the latter may rescind the
prestations does does not extinguish contract with damages. [Art. 1203, CC]
not extinguish the the obligation,
obligation. provided the If the debtor does not select at the time
obligation which is when performance should be effected, the
due subsists choice can be made for him by the creditor
by applying Art. 1167
Culpable loss of any Culpable loss of the
In obligations to do (debtor considered to have
of the objects object which the
waived his right, subject to equity
alternatively due debtor may deliver in
considerations) [Tolentino].
before the choice is substitution before
made may give rise the substitution is
Effect of notice of choice
to liability on the effected does not The effect of the notice is to limit the obligation
part of the debtor. give rise to any
to the object or prestation selected. The
liability on the part of
obligation is converted into a simple obligation
the debtor.
to perform the prestation chosen. Once a
selection has been communicated, it is
Right of Choice [Art. 1200, CC] irrevocable [Ibid.]
General Rule: Belongs to the debtor
Instances when obligation is converted into
Exceptions a simple obligation
1. it is expressly granted to the creditor 1. The person with the right of choice has
2. it is expressly granted to a third person communicated his choice [Arts. 1201 and
par. 1, 1205, CC]
2. Only one prestation is practicable [Art.
1202, CC]

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Loss of Specific Things or Impossibility of

shall choose without a right to
Performance of Prestations in an
from among the damages OR price/value
Alternative Obligation
remainder. of the thing lost, with right
to damages.
If Debtor’s Choice [Art. 1204, CC]
Fortuitous Debtor’s Fault One prestation remains
Event
Debtor to Creditor may claim the
All prestations lost/impossible perform that remaining thing without a
which remains. right to damages OR the
Debtor is Creditor shall have a price/value of the thing
released from right to indemnity for lost with right to
the obligation. damages based on the damages.
value of the last thing
which disappeared or
Facultative Obligations
service which become
Only one prestation is agreed upon, but the
impossible, plus
obligor may render another in substitution. [Art.
damages other than the
1206, CC]
value may also be
awarded
Loss or deterioration of Substitute in
Some prestations lost/impossible Facultative Obligations [Art. 1206, CC]
Before After Substitution is
Debtor to Debtor to perform that Substitution is Made
perform that which the debtor shall Made
which he shall choose from among the
choose from remainder, without If due to bad faith The loss or deterioration
among the liability for damages. or fraud of of the substitute on
remainder. obligor: obligor is account of the obligor’s
liable. delay, negligence, or
One prestation remains fraud, renders the obligor
If due to the liable because once the
Debtor to Debtor to perform that
negligence of the substitution is made, the
perform that which remains.
obligor: obligor is obligation is converted
which remains.
not liable. into a simple one with the
substituted thing as the
If Creditor’s Choice [Art. 1205, CC] object of the obligation.
Fortuitous Debtor’s Fault
Event 5. Joint and Solidary
All prestations lost/impossible Obligations
Debtor is Creditor may claim the Joint Obligations
released from price/value of any of
the obligation. them, with indemnity for The whole obligation, whether capable of
damages. division into equal parts or not, is to be paid or
performed by several debtors (joint debtors)
Some prestations lost/impossible and/or demanded by several creditors (joint
creditors).
Debtor to deliver Creditor may claim any
that which he of those subsisting

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7. Rules on application of payment may not proceeds thereof, the latter may obtain
be invoked by a surety or solidary payment of their credits.
guarantor.
Requisites
Exceptions 1. There is a plurality of debts
1. Rules on application of payment cannot be 2. There is a plurality of creditors
made applicable to a person whose 3. Partial or relative insolvency of debtor
obligation as a mere surety is both 4. Acceptance of the cession by the
contingent and singular. There must be full creditors [Art. 1255, CC]
and faithful compliance with the terms of 5. Debtor is released only for the net
the contract. [Reparations Commission v. proceeds unless there is a stipulation to the
Universal Deep Sea Fishing Corp, G.R. contrary.
Nos. L-21901 and L-21996 (1978)]
2. The debtor’s right to apply payment can be Cession and Dation Distinguished
waived and even granted to the creditor if
Cession Dacion en pago
the debtor so agrees [Premiere
Development v. Central Surety, G.R. No. Plurality of creditors One creditor
176246 (2009)]
Debtor must be Debtor not
Limitations partially or relatively necessarily in state
1. Right of creditor to refuse partial payment insolvent of financial difficulty
[Art. 1248, CC]
2. Rule on satisfaction of interest before the Universality of Thing delivered is
Principal. [Art. 1453, CC] property is ceded equivalent of
3. Debtor cannot apply payment to a debt performance
which is not yet liquidated
4. He cannot choose a debt with a period Merely releases Extinguishes
(established for the creditor’s benefit) debtor for the net obligation to the
before the period has arrived. proceeds of things extent of the value
5. Stipulation as to preference of payment. ceded or assigned, of the thing
[Tolentino] unless there is delivered, as
contrary intention agreed upon,
c. Dation in Payment proved or implied
from the conduct of
Delivery and transmission of ownership of the creditor
a thing by the debtor to the creditor as an
Involves all Does not involve all
accepted equivalent of the performance of the
properties of debtor properties of debtor
obligation (dacion en pago).
Creditor does not Creditor becomes
Requisites become owner of the owner
1. Existence of a money obligation ceded property
2. Alienation to the creditor of a property by
the debtor with the creditor’s consent
3. Satisfaction of the money obligation e. Tender of Payment and
Consignation
d. Payment by Cession
Tender of payment
Special form of payment where the debtor Manifestation made by the debtor to the
assigns/abandons ALL his property for the creditor of his desire to comply with his
benefit of his creditors in order that from the obligation, with offer of immediate

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Each debtor is liable only for a proportionate JOINT INDIVISIBLE OBLIGATION

part of the debt, and each creditor is entitled
Art. 1209, CC. If the division is impossible,
only to a proportionate part of the credit.
the right of the creditors may be prejudiced
[Tolentino]
only by their collective acts, and the debt can
be enforced only by proceeding against all
Presumption of Joint Obligation [Article
the debtors. If one of the latter should be
1207, CC]
insolvent, the others shall not be liable for his
General Rule: An obligation is presumed joint
share.
if there is a concurrence of several creditors, or
of several debtors, or of several creditors and
debtors in one and the same obligation When there are several debtors or creditors,
but the prestation is indivisible, the obligation is
Exceptions joint, unless solidarity has been stipulated
1. When the obligation expressly states [Tolentino]
that there is solidarity
2. When the law requires solidarity, i.e. When Indivisible [Art. 1225, CC]
quasi-delicts [Art. 2194, CC], joint 1. Obligations to give definite things
payees by mistake [Art. 2157, CC], 2. Obligations not susceptible of partial
acts under articles 19-22 if committed performance
by two or more persons acting jointly 3. Indivisibility is provided by law or intended
3. When the nature of the obligation by the parties, even though the object or
requires solidarity service may be physically divisible
4. When a charge or condition imposed 4. In obligations not to do, when character of
upon heirs or legatees, and the prestation requires indivisibility
testament expressly makes the charge
or condition in solidum Summary: in case of breach
5. When the solidary responsibility is Joint Divisible Joint Indivisible
imputed by a final judgment upon Obligations Obligations
several defendants
In case of In case of breach where
Presumption of Divisibility in Joint breach of one of the joint debtors
Obligations [Art. 1208, CC] obligation by fails to comply with his
Credit or debt shall be presumed to be divided one of the undertaking, the
into as many equal shares as there are debtors, obligation can no longer
creditors or debtors, the credits or debts being damages due be fulfilled or performed.
considered distinct from one another. must be borne Thus, the action must be
by him alone. converted into one for
JOINT DIVISIBLE OBLIGATION indemnity for damages,
One where a concurrence of several creditors, with each debtor liable
or of several debtors, or of several creditors only for his part in the
and debtors, by virtue of which, each of the price or value of the
creditors has a right to demand, and each of prestation.
the debtors is bound to render compliance with
his proportionate part of the prestation which
constitute the object of the obligation. Solidary Obligations

An obligation where there is concurrence of

several creditors, or of several debtors, or of
several creditors and several debtors, by virtue
of which, each of the creditors has the right to
demand, and each of the debtors is bound to

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
Preference of the creditor over the thing is
lost. [Art. 1261, CC]
3. After approval of the court or acceptance
by the creditor, and without creditor’s
consent - debtor can no longer withdraw
the consigned amount since the obligation
has already been extinguished [Pabugais
v. Sahijwani, G.R. No. 156846 (2004)]
4. If the creditor authorizes the debtor to
withdraw, third persons who were
benefited by the consignation are not
prejudiced by the revival of the obligation.
2. Loss of determinate thing due
or impossibility or difficulty of
performance
Loss
1. Loss of Determinate Things
General Rule: Loss of determinate things
extinguishes the obligation when: [Par.
1, Art. 1262 CC].
a. An obligation which consists in the
delivery of a determinate thing
b. Thing is lost or destroyed
c. Debtor is without fault
d. Delay not incurred
However, the obligor is still liable for
damages when the following requisites
concur: [Par. 2, Art. 1262 CC].
e. There is law or a stipulation for
fortuitous events or the nature of
the obligation requires an
assumption of risk
f. The thing is lost
Exceptions (When the Loss Does Not
Extinguish)
a. When the obligation to deliver a
determinate object arises from a
criminal act. [Art. 1268, CC]
b. Acceptance of payments in bad
faith. [Art. 2159, CC]
Page 281 of 532
CIVIL LAW
When the legal excuse of fortuitous
event is not applicable, in cases of:
1. Delay or promise to deliver thing
to two or more persons. [Art.
1165 (3), CC]
2. Nature of the Obligation
Requires Assumption of Risk
[Art. 1174, CC]
3. Liability of a Bailee in fortuitous
events. [Art. 1942 , CC]
4. Liability of a depositary in
fortuitous events. [Art. 1979, CC]
5. Liability of the officious manager
in fortuitous events. [Art. 2147,
CC]
2. Loss of Generic Things
Obligation is NOT Extinguished: In an
obligation to deliver a generic thing, the
loss or destruction of anything of the same
kind does not extinguish the obligation.
[Art. 1263 , CC]
3. Partial Losses
Upon the Determination of the Court: The
courts shall determine whether, under the
circumstances, the partial loss of the
object of the obligation is so important as to
extinguish the obligation. [Art. 1264, CC]
4. Presumption of Fault
When Presumption Applies [Art. 1265,
CC]:
a. Thing is lost while in the
possession of the debtor
b. No proof of fortuitous event
Effect: It is presumed that loss was due to
his fault.
Exceptions [Art. 1265, CC]
a. There is proof to the contrary
b. In case of earthquake, flood, storm
or other natural calamity.
5. Loss in Obligations to Give With
Resolutory Conditions
U.P. LAW BOC OBLIGATIONS AND CONTRACTS
not anything which may be prejudicial to
the latter. [Art. 1212, CC]
4. One creditor does NOT represent all others
in acts such as novation (even if
advantageous), compensation and
remission. In this case, even if the debtor is
released, the other creditors can still
enforce their rights against the creditor who
made the novation, compensation or
remission [par. 2, Art. 1215, CC]
5. The creditor who collects the debt, shall be
liable to the others for the share in the
obligation corresponding to them. [par. 2,
Art. 1215, CC]
6. The credit and its benefits are divided
equally among them, unless agreement to
the contrary.
7. Debtor may pay any one of the solidary
creditors; but if any demand, judicial or
extrajudicial, has been made by one of
them, payment should be made to him who
demanded [Art. 1214, CC]
PASSIVE SOLIDARY OBLIGATION
General Rules
1. The creditor may proceed against any
one of the solidary debtors or some or
all of them simultaneously...so long as
the debt has not been fully collected
[Art. 1216, CC]
2. Payment made by one of the solidary
debtors extinguishes the obligation. If
two or more solidary debtors offer to
pay, the creditor may choose which
offer to accept. [Art. 1217, CC]
3. A solidary debtor may, in actions filed
by the creditor, avail himself of all
defenses which are derived from the
nature of the obligation and of those
which are personal to him, or pertain to
his own share. For defenses which
personally belong to the others, such
debtor may avail himself thereof only
as regards that part of the debt for
which the latter are responsible. [Art.
1222, CC]
Effects of Passive Solidarity [Tolentino]
1. Each debtor can be required to pay the
entire obligation, but after payment he
Page 273 of 532
CIVIL LAW
can recover from the co-debtors their
respective shares
2. Each debtor may set up his own claims
against the creditor as payment of the
obligation
3. Remission of the entire debt affects all
debtors, but when remission is limited
to the share of one debtor, the other
debtors are still liable for the balance of
the obligation
a. The remission of the whole obligation,
obtained by one of the solidary debtors,
does not entitle him to reimbursement
from his co-debtors. [Art. 1220, CC]
b. The remission made by the creditor of
the share which affects one of the
solidary debtors does not release the
latter from his responsibility towards
the co-debtors, in case the debt had
been totally paid by any one of them
before the remission was effected. [Art.
1219, CC]
4. All debtors are liable for the loss of the
thing due, even if only one of them is at
fault, or after incurring delay it is lost by
fortuitous event
5. Interruption of prescription as to one
debtor affects all others, but
renunciation of prescription already
had does not prejudice the others.
(Reason: prescription extinguishes the
mutual representation among solidary
debtors)
6. Interests due by delay of one is borne
by all of them
DEFENSES AVAILABLE TO A SOLIDARY
DEBTOR [Art. 1222, CC]
1. Those derived from the nature of the
obligation
Defenses inherent in an obligation include
non-existence of the obligation because of
absolute simulation or illicit object, nullity
due to defect in capacity or consent of all
debtors, unenforceability, non-
performance of suspension condition or
non-arrival of period, extinguishment of the
obligation, res judicata, and prescription.
U.P. LAW BOC OBLIGATIONS AND CONTRACTS
b. Debtor cannot exempt himself from the
performance of the principal obligation
by paying the stipulated penalty unless
this right has been expressly reserved
for him [Art. 1227, CC].
c. Creditor cannot demand the fulfillment
of the principal obligation and
demanding the satisfaction of the
penalty at the same time unless the
right has been clearly granted to him
[Art. 1227, CC]. A tacit or implied grant
is admissible.
i. If the creditor chooses to
demand the satisfaction of
the penalty, he cannot
afterwards demand the
fulfillment of the obligation.
ii. If there was fault on the part
of the debtor, creditor may
demand not only the
satisfaction of the penalty but
also the payment of damages.
iii. If the creditor has chosen to
demand the fulfillment of the
principal obligation and the
performance thereof
becomes impossible without
his fault, he may still demand
the satisfaction of the penalty.
Enforcement of the Penalty
The enforcement of the penalty can be
demanded by the creditor only when the non-
performance is due to the fault or fraud of the
debtor. However, the creditor does not have to
prove fault or fraud, since the non-performance
gives rise to the presumption of fault.
[Tolentino]
Proof of Actual Damage
Proof of actual damage suffered by the creditor
is not necessary in order that the penalty may
be enforced [Art. 1228, CC].
When Penalty may be Reduced [Art. 1229,
CC]:
1. If the principal obligation has been partly
complied with.
2. If the principal obligation has been
irregularly complied with.
Page 275 of 532
CIVIL LAW
3. If the penalty is iniquitous or
unconscionable, even if there has been no
performance.
The question of whether a penalty is
reasonable or iniquitous can be partly
subjective and partly objective. Its resolution
would depend on such factors as, but not
necessarily confined to, the type, extent and
purpose of the penalty, the nature of the
obligation, the mode of breach and its
consequences, the supervening realities, the
standing and relationship of the parties, and
the like, the application of which, by and large,
is addressed to the sound discretion of the
court. [Ligutan v CA, G.R. No. 138677 (2002)]
D. EXTINGUISHMENT OF
OBLIGATIONS
Modes of extinguishing obligations
Art. 1231, CC. Obligations are extinguished:
1. By payment or performance;
2. By the loss of the thing due;
3. By the condonation or remission of
the debt;
4. By the confusion or merger of the
rights of creditor and debtor;
5. By compensation;
6. By novation.
Other causes of extinguishment of
obligations, such as annulment, rescission,
fulfillment of a resolutory condition, and
prescription, are governed elsewhere in this
Code.
1. Payment or performance
a. Payment
The delivery of money OR
The performance of obligation [Art. 1232,
CC]
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Exception: Stipulation to the contrary [Art. interest; or any person authorized to

1236, NCC] receive it [Art. 1240, CC]
2. Payment to a person who is
Reimbursement for Payment Made by a
incapacitated to administer his property
Third Person
shall be valid:
The third party The third party pays 3. if he has kept the thing delivered, OR
pays with the without the 4. insofar as the payment has been
consent of the knowledge or consent beneficial to him. [Art. 1241 par 1, CC]
debtor of the debtor 5. Payment made in good faith to any
person in possession of the credit shall
The third party The third party may only release the debtor. [Art. 1242, CC]
may claim claim insofar as the 6. Payment to a third person
reimbursement payment has been 7. Payment made to the creditor by the debtor
for the full beneficial to the debtor. after the latter has been judicially ordered
amount. [Art. [Art. 1236, CC] to retain the debt shall not be valid. [Art.
1236, CC] 1243, CC]

The third party is The third party cannot General Rule

presumed to be compel the creditor to 1. Valid insofar as it has redounded to the
legally subrogate him on his benefit of the creditor [par. 2, Art. 1241, CC]
subrogated [Art. rights. [Art. 1237, CC] 2. Proof that such payment has redounded to
1302, CC] the benefit of the creditor is required.

Exceptions: [par. 2, Art. 1241, CC]

Reimbursement & Subrogation
1. If after the payment, the third person
Distinguished
acquires the creditor's rights
Reimbursement Subrogation (SUBROGATION);
2. If the creditor ratifies the payment to the
third person (RATIFICATION);
Personal action to Includes 3. If by the creditor's conduct, the debtor has
recover amount paid reimbursement, but been led to believe that the third person
also the exercise of had authority to receive the payment
other rights attached (ESTOPPEL). [Art. 1241, CC]
to the original
obligation (e.g. PLACE OF PAYMENT
guaranties,
securities) 1. In the place designated in the obligation.
2. In the absence of stipulation—
a. If obligation is to deliver a determinate
Art. 1238, CC. Payment made by a third thing: wherever the thing might be at
person who does not intend to be the moment the obligation was
reimbursed by the debtor is deemed to be a constituted.
donation, which requires the debtor's b. In any other case: domicile of debtor
consent. But the payment is in any case valid [Art. 1251]
as to the creditor who has accepted it.
TIME OF PAYMENT
TO WHOM
General Rule: Upon demand
1. The person in whose favor the obligation
has been constituted; orHis successor in

Page 277 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS
performance. [Del Carmen v. Sps. Sabordo,
G.R. No. 181723 (2014)]
Tender of payment must be made in the lawful
currency. The tender of a check to pay for an
obligation is not a valid tender of payment
thereof. [Soco v. Militante, G.R. No. L-58961,
(1983)]
Consignation
Deposit of the object of obligation in a
competent court in accordance with the rules
prescribed by law whenever the creditor
unjustly refuses payment or because of some
circumstances which render direct payment to
the creditor impossible or inadvisable.
Requisites of consignation
1. There is a debt due
2. Consignation is made because of some
legal cause
a. There was tender of payment and
creditor refuses without just cause
to accept it
b. Instances when consignation alone
would suffice as provided under
Art. 1256
3. Previous notice of consignation was
given to those persons interested in the
performance of the obligation. Previous
notice is essential to the validity of the
consignation and its lack invalidates the
same. [Soco v. Militante, G.R. No. L-
58961, (1983)] (1st notice)
4. Amount or thing due was placed at the
disposal of the court
5. After the consignation has been made,
the persons interested were notified
thereof (2nd notice)
When tender and refusal not required [Art.
1256, CC]
1. Creditor is absent or unknown, or does
not appear at the place of payment.
2. Creditor is incapacitated to receive the
thing due at the time of payment.
3. Without just cause, creditor refuses to
give receipt.
4. Two or more persons claim the same
right to collect (i.e. Interpleader)
5. Title of the obligation has been lost.
Page 280 of 532
CIVIL LAW
Unless there is an unjust refusal by a creditor
to accept payment from a debtor, Article 1256
cannot apply. [Llobrera v. Fernandez, G.R. No.
142882 (2006)].
What constitutes valid consignation
In order that the consignation of the thing due
may release the obligor, it must first be
announced to the persons interested in the
fulfilment of the obligation. The consignation
shall be ineffectual if it is not made strictly in
consonance with the provisions which regulate
payment. [Art. 1257, CC]
How consignation is made
Consignation shall be made by depositing the
things due at the disposal of judicial
authority, before whom the tender of payment
shall be proved, in a proper case, and the
announcement of the consignation in other
cases. The consignation having been made,
the interested parties shall also be notified
thereof.
Who bears the expenses
The expenses of consignation, when properly
made, shall be charged against the creditor.
[Art. 1259, CC]
Effects of Consignation
If accepted by the creditor or declared properly
made by the Court:
1. Debtor is released in same manner as if
he had performed the obligation at the time
of consignation
2. Accrual of interest is suspended from
the moment of consignation.
3. Deterioration or loss of the thing or
amount consigned, occurring without the
fault of debtor, must be borne by creditor
from the moment of deposit
Withdrawal of Consigned Amount by the
Debtor
1. Before approval of the court or acceptance
of the creditor- Obligation remains in force.
[par. 2, Art. 1260, CC]
2. After approval of the court or acceptance
by the creditor, with the consent of the latter
- Obligation remains in force, but
guarantors and co-debtors are liberated.
U.P. LAW BOC OBLIGATIONS AND CONTRACTS
Preference of the creditor over the thing is
lost. [Art. 1261, CC]
3. After approval of the court or acceptance
by the creditor, and without creditor’s
consent - debtor can no longer withdraw
the consigned amount since the obligation
has already been extinguished [Pabugais
v. Sahijwani, G.R. No. 156846 (2004)]
4. If the creditor authorizes the debtor to
withdraw, third persons who were
benefited by the consignation are not
prejudiced by the revival of the obligation.
2. Loss of determinate thing due
or impossibility or difficulty of
performance
Loss
1. Loss of Determinate Things
General Rule: Loss of determinate things
extinguishes the obligation when: [Par.
1, Art. 1262 CC].
a. An obligation which consists in the
delivery of a determinate thing
b. Thing is lost or destroyed
c. Debtor is without fault
d. Delay not incurred
However, the obligor is still liable for
damages when the following requisites
concur: [Par. 2, Art. 1262 CC].
e. There is law or a stipulation for
fortuitous events or the nature of
the obligation requires an
assumption of risk
f. The thing is lost
Exceptions (When the Loss Does Not
Extinguish)
a. When the obligation to deliver a
determinate object arises from a
criminal act. [Art. 1268, CC]
b. Acceptance of payments in bad
faith. [Art. 2159, CC]
Page 281 of 532
CIVIL LAW
When the legal excuse of fortuitous
event is not applicable, in cases of:
1. Delay or promise to deliver thing
to two or more persons. [Art.
1165 (3), CC]
2. Nature of the Obligation
Requires Assumption of Risk
[Art. 1174, CC]
3. Liability of a Bailee in fortuitous
events. [Art. 1942 , CC]
4. Liability of a depositary in
fortuitous events. [Art. 1979, CC]
5. Liability of the officious manager
in fortuitous events. [Art. 2147,
CC]
2. Loss of Generic Things
Obligation is NOT Extinguished: In an
obligation to deliver a generic thing, the
loss or destruction of anything of the same
kind does not extinguish the obligation.
[Art. 1263 , CC]
3. Partial Losses
Upon the Determination of the Court: The
courts shall determine whether, under the
circumstances, the partial loss of the
object of the obligation is so important as to
extinguish the obligation. [Art. 1264, CC]
4. Presumption of Fault
When Presumption Applies [Art. 1265,
CC]:
a. Thing is lost while in the
possession of the debtor
b. No proof of fortuitous event
Effect: It is presumed that loss was due to
his fault.
Exceptions [Art. 1265, CC]
a. There is proof to the contrary
b. In case of earthquake, flood, storm
or other natural calamity.
5. Loss in Obligations to Give With
Resolutory Conditions
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

d. Debts are liquidated and demandable; and

There are two persons There is only one
e. There must be no retention or controversy
who are mutually person whom the
over either of the debts, commenced by
debtors and creditors characters of the
third persons and communicated in due
of each other in two creditor and debtor
time to the debtor.
separate obligations, meet.
each arising from the
To warrant the application of set off under
same cause.
Article 1278 of the Civil Code, the debtor’s
admission of his obligation must be clear
and categorical and not one which merely Compensation Payment
arise by inference or implication from the
customary execution of official documents in
assuming the responsibilities of a predecessor Capacity to dispose Requires capacity
[Bangko Sentral v. COA, G.R. No. 168964 and receive the thing to dispose of the
(2006)] is unnecessary since thing paid and
compensation capacity to receive
Nature and Effects operates by law

General Rule May be partial Must be total

When all requisites mentioned in Art. 1279 are performance
present, compensation takes effect by
operation of law, and extinguishes both
debts to the concurrent amount, even
though the creditors and debtors are not aware Compensation Counterclaim
of the compensation. [Art. 1290, CC]
Takes place by Must be pleaded to
By Operation of Law operation of law be effectual
Compensation takes place by operation of law,
even though the debts may be payable at
different places, but there shall be an indemnity Kinds of Compensation
for expenses of exchange or transportation to
the place of payment. [Art. 1286 CC] As to extent [Art. 1281, CC]
1. Total – when two debts are of the same
Compensation takes effect by operation of law amount
even without the consent or knowledge of 2. Partial - when the two obligations are of
the parties concerned when all the different amounts and a balance remain
requisites mentioned in Article 1279 of the
Civil Code are present. [Trinidad v. Acapulco, As to cause
G.R. No. 147477, June 27, 2006.] 1. Legal
2. Voluntary
Compensation Distinguished from Other 3. Judicial
Modes of Extinguishment 4. Facultative
Compensation Confusion
LEGAL COMPENSATION
Takes place by operation of law from the
There must always be Involves only one moment all requisites are present.
two obligations. obligation.
Since it takes place ipso jure, when used as a
defense, it retroacts to the date when all its
requisites are fulfilled.

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

2. Unforeseen Difficulty normal

manner
When the service has become so difficult as to
be manifestly beyond the contemplation of Fault Without May be Without
all the parties, the obligor may also be fault with or Fault
released therefrom, in whole or in part. [Art. without
1267, CC]. fault

Requisites Effect Non- If without Release

a. The event or change in circumstances liability for fault, from the
could not have been foreseen at the delay/ extinguish obligation
time of the execution of the contract; damages es the in whole or
obligation; in part
b. It makes the performance of the
If with
contract extremely difficult but not
fault,
impossible;
liability for
c. The event must not be due to the act damages
of any of the parties; and
d. The contract is for a future prestation.
[Tagaytay Realty Co, Inc. v. Gacutan Creditors’ rights
G.R. No. 160033, July 01, 2015] Art. 1269, CC. The obligation having been
extinguished by the loss of the thing, the
Doctrine of Unforeseen Events creditor shall have all the rights of action
The parties to the contract must be presumed which the debtor may have against third
to have assumed the risks of unfavorable persons by reason of the loss.
developments. It is therefore only in
absolutely exceptional changes of
circumstances that equity demands Requisites:
assistance for the debtor. [PNCC v. CA, G.R. a. Obligation is extinguished
No. 1116896 May 5, 1997.] b. Extinguishment is due to the loss of the
thing
Fortuitous Events, Loss/Impossibility, and
Unforeseen Difficulty Distinguished Effect: Creditor shall have all rights of action
which the debtor may have against third
Fortui- Loss/ Unfor- persons by reason of the loss.
tous Impos- seen
Events sibility Difficul-ty
3. Condonation or remission of
Eleme Could not Perishes, Could not debt
nts have been goes out have been
forseen or of forseen. Definition and General Rule
forseen commerce Service
but or has
General Rules
inevitable. disappear become so
Causes s difficult but
1. Condonation or remission is essentially
loss of the not gratuitous, and
thing or impossible. 2. requires the acceptance by the
obligation obligor.
could not 3. It may be made expressly or
be impliedly.
complied 4. One and the other kinds shall be
with in the subject to the rules which govern
inofficious donations. Express

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

6. Novation void: No void: No

novation. novation.
Obligations may be modified by:
a. Changing their object or principal b. Original B. New
conditions; obligation obligation
b. Substituting the person of the debtor; and voidable: voidable:
c. Subrogating a third person in the rights of Effective if Novation is
the creditor. [Art. 1291, CC] contract is effective.
ratified before
Unlike other modes of extinguishment, it is a novation.
juridical act of dual function—it
extinguishes an obligation, and at the same
Accessory Obligations
time, it creates a new one in lieu of the old. It
Accessory obligations are also extinguished,
operates as a relative, not an absolute,
but may subsist only insofar as they may
extinction.
benefit third persons who did not give their
consent to the novation. [Art. 1296, CC]
Requisites:
a. A previous valid obligation
Accidental Modifications
b. Agreement of all the parties to the new
The extension or shortening of the period for
obligation
the performance of the obligation is generally
c. Animus novandi or intent to novate
considered as merely accidental and does not
d. Substantial difference between old and
bring about a novation. [Tolentino]
new obligations and, consequently,
extinguishment of the old obligation
Original or new obligation with suspensive
e. Validity of the new obligation
or resolutory condition
Effects Art. 1299, CC. If the original obligation was
subject to a suspensive or resolutory
In General If Original If New
condition, the new obligation shall be under
Obligation is Obligation
the same condition, unless it is otherwise
Void is Void
stipulated.
Old Novation is New
obligation is void if the obligation is
Compatible Incompatible
extinguished original void, the old
Conditions Conditions
and obligation was obligation
replaced by void, EXCEPT subsists, a. Fulfillment of both a. Original
the new one when UNLESS the conditions: new obligation is
stipulated. annulment parties obligation becomes extinguished, while
may be intended
demandable. new obligation exists.
claimed only that the
by the debtor, former b. Fulfillment of b. Demandability
or when relations condition concerning shall be subject to
ratification shall be the original fulfillment/
validates acts extinguished obligation: old nonfulfillment of the
that are in any event obligation is revived; condition affecting it.
voidable [Art. [Art. 1297,
new obligation loses
1298, CC] CC] force.
a. Original a. New
obligation is obligation

Page 289 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS
condonation shall, furthermore, comply
with the forms of donation. [Art. 1270,
CC]
Requisites [Tolentino]
1. The debt must be existing and
demandable;
2. The renunciation must be gratuitous;
and
3. The debtor must accept the remission.
Effect: The obligation is extinguished.
Definition
Remission is an act of liberality, by virtue of
which, without receiving any equivalent, the
creditor renounces the enforcement of the
obligation. The obligation is extinguished either
in whole or in such part of the same to which
remission refers. [Tolentino]
If 2nd Requisite not Met
If the renunciation is not gratuitous, the nature
of the act changes and it may become:
1. Dation in payment – when the creditor
receives a thing different from that
stipulated;
2. Novation – when the object or
principal conditions of the obligation
have changed; or
3. Compromise – when the matter
renounced is in litigation or dispute and
in exchange of some concession which
the creditor receives. [Tolentino]
Kinds of Remission
1. As to Form
a. Express Condonation
It is formally: in accordance with forms of
ordinary donations. [Art. 1270, CC]
An express remission must be accepted in
order to be effective.
When the debt refers to movable or
personal property, Art. 748 will govern; if it
refers to immovable or real property, Art.
749 applies.
Page 284 of 532
CIVIL LAW
b. Implied Condonation
It is inferred from the acts of the parties.
2. As to Extent
a. Total - extinguishes the entire
obligation; or
b. Partial - refers to only a particular
aspect of the obligation, i.e. amount of
indebtedness or an accessory
obligation. [Tolentino]
3. As to Manner
a. Inter vivos - effective during the
lifetime of the creditor; or
b. Mortis Causa - effective upon the
death of the creditor.
Rules and Form
1. Express Remission
Art. 1270 (2), CC: One and the other kinds
shall be subject to the rules which govern
inofficious donations. Express condonation
shall, furthermore, comply with the forms of
donation.
The law subjects express remission to the
same formalities as donations.
Express Remission of Movable or Personal
Property
The donation of a movable may be made orally
or in writing.
An oral donation requires the simultaneous
delivery of the thing or of the document
representing the right donated.
If the value of the personal property donated
exceeds five thousand pesos, the donation
and the acceptance shall be made in writing.
Otherwise, the donation shall be void. [Art. 748,
CC]
Express Remission of Immovable or Real
Property
In order that the donation of an immovable
may be valid, it must be made in a public
document, specifying therein the property
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

original agreement. [Molino v. Security Diners

1. Old debtor is 1. Insolvency of
International Corp, G.R. No. 136780 (2001)].
released the new debtor
2. Insolvency of revives the
2. Subrogation
the new debtor obligation of the
does not revive old debtor if it was
Transfers to the person subrogated the credit
the old anterior and
with all the rights thereto appertaining, either
obligation in public, and
against the debtor or against third persons, be
case the old known to the old
they guarantors or possessors of mortgages,
debtor did not debtor.
subject to stipulation in a conventional
agree to 2. New debtor
subrogation. [Art. 1303, CC]
expromision. can demand
3. If with the reimbursement of
Effects
knowledge and the entire amount
consent of the he has paid from Total Partial
old debtor, the the original
new debtor can debtor. He may Transfers to the A creditor, to whom
demand compel the person partial payment has been
reimbursement creditor to subrogated, the made, may exercise his
of the entire subrogate him to credit with all the right for the remainder,
amount paid and all of his rights. rights thereto and shall be preferred to
with subrogation appertaining, the person subrogated in
of creditor’s either against his place in virtue of the
rights. the debtor or partial payment.
4. If without third persons.
knowledge of
the old debtor, Conventional Subrogation – takes place by
the new debtor agreement of parties
can demand
reimbursement Difference between Conventional
only up to the Subrogation and Assignment of Credit
extent that the [Licaros v. Gatmaitan, G.R. No. 142838
latter has been (2001)]
benefited
without Conventional Assignment of credit
subrogation of subrogation
creditor’s rights.
Debtor’s consent Debtor’s consent is not
is necessary. required.
For subjective novation, it is insufficient that
the juridical relation between the parties to Extinguishes an Refers to the same
the original contract is extended to a third obligation and right which passes from
person. If the old debtor is not released, no gives rise to a new one person to another,
novation occurs and the third person who has one. without modifying or
assumed the debtor’s obligation becomes extinguishing the
merely a co-debtor or surety or co-surety. obligation.
[Conchinyan, Jr. v. R&B Surety and Insurance
Company, G.R. No. L-47369, (1987)] Defects/vices in Defects/vices in the old
the old obligation obligation are not
An accessory surety may not be released if he are cured. cured.
expressly waives his discharge from the
obligation in case of change or novation in the

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
donated and the value of the charges which the
donee must satisfy.
The acceptance may be made in the same
deed of donation or in a separate public
document, but it shall not take effect unless it
is done during the lifetime of the donor.
If the acceptance is made in a separate
instrument, the donor shall be notified thereof
in an authentic form, and this step shall be
noted in both instruments. [Art. 749, CC]
2. Implied Remission
Presumption of Renunciation
The delivery of a private document evidencing
a credit, made voluntarily by the creditor to the
debtor, implies the renunciation of the action
which the former had against the latter [Art.
1271, CC]
Trigger: (1) Delivery of a private document
evidencing a credit; and (2) delivery was made
voluntarily by the creditor to the debtor
Effect: There will be implied renunciation.
Exception: The contrary is proved.
Note: If in order to nullify this waiver it should
be claimed to be inofficious, the debtor and
his heirs may uphold it by proving that the
delivery of the document was made in virtue of
payment of the debt. [Art. 1271, CC]
Presumption of Renunciation of Accessory
Obligation
Accessory obligation of pledge has been
remitted when the thing after its delivery is
found in the possession of the debtor or third
person. [Art. 1274, CC]
Triggers: (1) A thing is pledged; (2) there has
been a delivery of such thing to the creditor; or
(3) the thing pledged is found in the possession
of the debtor, or of a third person who owns the
thing.
Effect: It is presumed that the accessory
obligation of pledge has been remitted.
Page 285 of 532
CIVIL LAW
Presumption of Delivery
Whenever the private document in which the
debt appears is found in the possession of the
debtor, it shall be presumed that the creditor
delivered it voluntarily, unless the contrary is
proved. [Art. 1272, CC]
Trigger: The private document in which the
debt appears is found in the possession of the
debtor.
Effect: There is a presumption that it has been
voluntarily delivered by the creditor.
Exception: The contrary is proved.
3. Partial Remission
Renunciation of the principal debt shall
extinguish the accessory obligations, but
remission of the latter leaves the principal
obligation in force. [Art. 1273, CC]
Trigger: The remission was only to the extent
of the accessory obligation
Effect: The principal obligation remains in
force
4. Other Rules on Donation Applicable to
Remission
Condonation or remission is essentially a
donation. It is a bilateral act which requires
acceptance by the debtor. It is therefore
subject to the rule on donations with respect to
acceptance, amount and revocation; where
donor refers to the creditor, and donee to the
debtor, and donation to the remission.
[Tolentino]
On Acceptance
1. The donee must accept the donation
personally, or through an authorized
person with a special power for the
purpose, or with a general and sufficient
power; otherwise, the donation shall be
void. [Art. 745, CC]
2. Acceptance must be made during the
lifetime of the donor and of the donee.
[Art. 746, CC]
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

guarantors. Confusion which takes place in the

On Amount person of any of the latter does not extinguish
1. The donation may comprehend all the the obligation.
present property of the donor, or part
thereof, provided he reserves, in full c. In case of joint or solidary obligations
ownership or in usufruct, sufficient
Confusion in Confusion in
means for the support of himself, and
Joint Obligation Solidary
of all relatives who, at the time of the
Obligation
acceptance of the donation, are by law
entitled to be supported by the donor. Confusion DOES NOT Extinguishes the
Without such reservation, the donation extinguish a joint entire obligation,
shall be reduced on petition of any obligation EXCEPT as but the other
person affected. [Art. 750, CC] regards the share of debtors may be
2. The provisions of Art. 750 the person in whom liable for
notwithstanding, no person may give or the two characters reimbursement if
receive, by way of donation, more than concur [Art. 1277, CC] payment was made
he may give or receive by will. The prior to remission.
donation shall be inofficious in all that it
may exceed this limitation. [Art. 752,
CC] Obligation is not extinguished when confusion
takes place in the person of subsidiary debtor
Effect: Renunciation of the principal debt shall (i.e. guarantor), but merger in the person of the
extinguish the accessory obligations, but principal debtor shall benefit the former.
remission of the latter leaves the principal
obligation in force. [Art. 1273, CC] Note: Where, however, the mortgagee
acquires ownership of the entire mortgaged
property, the mortgage is extinguished; but this
4. Confusion does not necessarily mean the extinguishment
of the obligation secured thereby, which may
Definition
become an unsecured obligation.
The meeting in one person of the qualities of
creditor and debtor of the same obligation.
[Tolentino] 5. Compensation

Requisites Definition [Art. 1278, CC]

a. It should take place between principal
debtor and creditor;
b. The very same obligation must be involved;
and
c. The confusion must be total, i.e. as regards
the whole obligation. [Valmonte v. CA, G.R.
No. L-41621, February 18, 1999]
Effects
a. In general
The obligation is extinguished from the time the
characters of the debtor and creditor are
merged in the same person. [Art. 1275, CC]
b. Confusion among the Guarantors
A merger which takes place in the person of the
principal debtor or creditor benefits the
Compensation shall take place when two
persons, in their own right, are creditors and
debtors of each other.
Requisites [Art. 1279, CC]
a. Each obligor is bound principally, and at
the same time a principal creditor of the
other;
b. Both debts must consist in a sum of money,
or if the things due are consumable, of the
same kind and quality;
Note: The term ‘consumable’ is
erroneously used in Art 1279. The
appropriate term is ‘fungible’. [Tolentino]
c. Both debts are due;

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

d. Debts are liquidated and demandable; and

There are two persons There is only one
e. There must be no retention or controversy
who are mutually person whom the
over either of the debts, commenced by
debtors and creditors characters of the
third persons and communicated in due
of each other in two creditor and debtor
time to the debtor.
separate obligations, meet.
each arising from the
To warrant the application of set off under
same cause.
Article 1278 of the Civil Code, the debtor’s
admission of his obligation must be clear
and categorical and not one which merely Compensation Payment
arise by inference or implication from the
customary execution of official documents in
assuming the responsibilities of a predecessor Capacity to dispose Requires capacity
[Bangko Sentral v. COA, G.R. No. 168964 and receive the thing to dispose of the
(2006)] is unnecessary since thing paid and
compensation capacity to receive
Nature and Effects operates by law

General Rule May be partial Must be total

When all requisites mentioned in Art. 1279 are performance
present, compensation takes effect by
operation of law, and extinguishes both
debts to the concurrent amount, even
though the creditors and debtors are not aware Compensation Counterclaim
of the compensation. [Art. 1290, CC]
Takes place by Must be pleaded to
By Operation of Law operation of law be effectual
Compensation takes place by operation of law,
even though the debts may be payable at
different places, but there shall be an indemnity Kinds of Compensation
for expenses of exchange or transportation to
the place of payment. [Art. 1286 CC] As to extent [Art. 1281, CC]
1. Total – when two debts are of the same
Compensation takes effect by operation of law amount
even without the consent or knowledge of 2. Partial - when the two obligations are of
the parties concerned when all the different amounts and a balance remain
requisites mentioned in Article 1279 of the
Civil Code are present. [Trinidad v. Acapulco, As to cause
G.R. No. 147477, June 27, 2006.] 1. Legal
2. Voluntary
Compensation Distinguished from Other 3. Judicial
Modes of Extinguishment 4. Facultative
Compensation Confusion
LEGAL COMPENSATION
Takes place by operation of law from the
There must always be Involves only one moment all requisites are present.
two obligations. obligation.
Since it takes place ipso jure, when used as a
defense, it retroacts to the date when all its
requisites are fulfilled.

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
Option Contract
A preparatory contract in which one party
grants to the other, for a fixed period, the option
to decide whether or not to enter into a principal
contract. [Art. 1324, CC]
With Without
consideration consideration
Offeror cannot Offeror may withdraw
unilaterally by communicating
withdraw his offer. withdrawal to the
offeree before
acceptance.
Art. 1324, CC provides the General Rule
regarding offer and acceptance: when the
offerer gives to the offeree a certain period to
accept, "the offer may be withdrawn at any
time before acceptance" except when the
option is founded upon consideration.
However, Art. 1479, CC modifies the General
Rule, which applies to "a promise to buy and
sell" specifically. This rule requires that a
promise to sell to be valid and binding must be
supported by a consideration distinct from the
price. Otherwise, the option can still be
withdrawn, even if accepted. [Tuazon v. Del
Rosario-Suarez, G.R. No. 168325 (2010)]
NECESSARY LEGAL CAPACITY
There are two types of void contracts:
a. Those where one of the essential
requisites of a valid contract as provided
for by Article 1318 of the Civil Code is
totally wanting; and
b. Those declared to be so under Article
1409 of the Civil Code. By contrast, a
voidable or annullable contract is one in
which the essential requisites for validity
under Article 1318 are present, but vitiated
by mistake, violence, intimidation, undue
influence, or fraud [Art. 1330, CC].
Persons incapacitated to give consent [Art.
1327, CC]
a. Minors, EXCEPT:
Page 295 of 532
CIVIL LAW
1. Where necessaries are sold or
delivered [Art 1489, CC]
2. Where the minor actively
misrepresents his age (estoppel)
3. When it involves a natural obligation
and such obligation is fulfilled
voluntarily by the minor [Art. 1425-27,
CC]
4. Contracts entered into by guardians
or legal representatives
5. When upon reaching the age of
majority they ratify the same
6. When a minor opens a savings
account without the assistance of his
parents, provided that the minor is at
least 7 years old and can read and
write [PD 1734].
b. Insane or demented persons, UNLESS
they contract during a lucid interval. [Art.
1328, CC]
c. Deaf-mutes who do not know how to read
AND write.
Minors were held in estoppel through active
misrepresentation. [Mercado v. Espiritu, G.R.
No. L-11872 (1917)]
There is no estoppel if the minority was
known by the other party, and there was no
active misrepresentation on the part of the
minors. [Bambalan v. Maramba, G.R. No. L-
27710 (1928)]
Persons Disqualified to Contract
a. Those under civil interdiction for
transactions inter vivos [Art. 34, RPC]
b. Undischarged insolvents [Sec. 24,
Insolvency Law]
c. Husband and wife cannot donate to each
other [Art. 123, FC], nor sell to each other
if the marriage is under the regime of
Absolute Community of Property [Art.
1490, CC]
d. The ff. cannot purchase, whether in public
or private sale [Art. 1491, CC]:
1. Guardian - Property of the ward
2. Agent - Property of the Principal
3. Executors and Administrators -
Property under administration
4. Public Officers - Property under their
administration
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

5. Justices, judges, prosecutors, clerks of Requisites

court, lawyers - property attached in a. The error must be substantial regarding:
litigation 1. The object of the contract (error in re)
which may be:
Incapacity to Give Consent vs. • Mistake as to the identity of the
Disqualification to Contract thing (error in corpore)
Incapacity to Give Disqualification to • Mistake as to the substance of the
Consent Contract thing (error in substantia)
• Mistake as to the conditions of the
Restrains the exercise Restrains the very thing provided, or
of the right to contract right itself • Mistake as to the quantity of the
thing (error in quantitate)
Based upon Based upon public 2. The condition which primarily moved
subjective policy and morality or induced one or both parties to enter
circumstances of the contract.
certain persons 3. Identity or qualifications of one of the
parties (error in persona), but only if
Voidable Void such was the principal cause of the
contract.
INTELLIGENT, FREE, SPONTANEOUS, AND b. The error must be excusable
REAL (NOT VITIATED) c. The error must be a mistake of fact and
not of law.
Vices of Consent (makes contract
voidable) [Art. 1330, CC] Mistake which vitiates consent is an error of
1. Mistake fact, and not an error of law. Ignorance of the
2. Intimidation law excuses no one from compliance therewith
3. Violence [Art. 3, CC]; but the modern tendency is to
4. Undue influence allow an excusable mistake of law to be
5. Fraud invoked as vitiating consent. [Tolentino]

MISTAKE See also Art. 526, CC on Possession: Mistake

“A misunderstanding of the meaning or upon a doubtful or difficult question of law may
implication of something” or a “wrong action or be the basis of good faith.
statement proceeding from a faulty judgment”.
[Domingo Realty v. CA] Ignorantia Facti Excusat vs. Ignorantia
Legis Neminem Excusat
Inadvertent and excusable disregard of a Mistake of Fact Mistake of Law
circumstance material to the contract [Reyes
and Puno] One or both One or both parties arrive
contracting at an erroneous
In order that mistake may invalidate consent, it parties believe conclusion on the
should refer to the substance of the thing that a fact exists interpretation of a
which is the object of the contract, or to those when in reality it question of law or its legal
conditions which have principally moved one or does not, or vice effects
both parties to enter into the contract. versa
[Art.1331, CC]
Vitiates consent Does not vitiate consent
There is no mistake if the party alleging it EXCEPT when it involves
knew the doubt, contingency or risk affecting mutual error as to the
the object of the contract. [Art. 1333, CC] effect of an agreement

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

This kind of compensation can only be set up

Art. 1290, CC. When all the requisites
at the option of a creditor, when legal
mentioned in article 1279 are present,
compensation cannot take place because
compensation takes effect by operation of
some legal requisites in favor of the creditor are
law, and extinguishes both debts to the
lacking.
concurrent amount, even though the
creditors and debtors are not aware of the
Obligations which cannot be compensated
compensation.
[Arts. 1287-1288, CC]
1. Contracts of depositum
Legal compensation may apply to: 2. Contracts of commodatum
1. Awards of attorney’s fees, against the 3. Future support due by gratuitous title
litigant and not his lawyer [Gan Tion v. CA, 4. Civil liability arising from a penal offense
G.R. No. L-22490 (1969)] 5. Obligations due to the government
2. Bank deposits, against the accounts of a 6. Damage caused to the partnership by a
depositor whose checks were dishonored partner
[BPI v. CA, G.R. No. 116792 (1996)]
Right of a Guarantor
VOLUNTARY COMPENSATION A guarantor may set up compensation as
Takes place when parties who are mutually regards what the creditor may owe the principal
creditors and debtors of each other agree to debtor. [Art. 1280, CC]
compensate their respective obligations even
though one of the requisites of compensation Effect of Assignment of Rights by the
may be lacking. Creditor to a Third Person [Art. 1285, CC]
With Debtor cannot set up against
Art. 1282, CC. The parties may agree upon debtor’s assignee compensation
the compensation of debts which are not yet consent pertaining to him against
due. assignor UNLESS he
reserved such right at the time
The only requisites of conventional he gave his consent
compensation are (1) that each of the parties
With Debtor may set up
can dispose of the credit he seeks to
debtor’s compensation of debts
compensate, and (2) that they agree to the
knowledge previous to the assignment
mutual extinguishment of their credits
but but not of subsequent ones
[United Planters v. CA, G.R. No. 126890
without
((2009)].
consent
JUDICIAL COMPENSATION Without Debtor may set up
Takes place by judicial decree. debtor’s compensation of all credits
knowledge prior and also later to the
Art. 1283, CC. If one of the parties to a suit assignment until he had
over an obligation has a claim for damages knowledge of the assignment
against the other, the former may set it off by
proving his right to said damages and the Order of Compensation
amount thereof. If a person should have against him several
debts which are susceptible of compensation,
FACULTATIVE COMPENSATION the rules on application of payments shall apply
When it can be claimed by one of the parties to the order of the compensation. [Art. 1289
who, however, has the right to object to it. CC]

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

6. Novation void: No void: No

novation. novation.
Obligations may be modified by:
a. Changing their object or principal b. Original B. New
conditions; obligation obligation
b. Substituting the person of the debtor; and voidable: voidable:
c. Subrogating a third person in the rights of Effective if Novation is
the creditor. [Art. 1291, CC] contract is effective.
ratified before
Unlike other modes of extinguishment, it is a novation.
juridical act of dual function—it
extinguishes an obligation, and at the same
Accessory Obligations
time, it creates a new one in lieu of the old. It
Accessory obligations are also extinguished,
operates as a relative, not an absolute,
but may subsist only insofar as they may
extinction.
benefit third persons who did not give their
consent to the novation. [Art. 1296, CC]
Requisites:
a. A previous valid obligation
Accidental Modifications
b. Agreement of all the parties to the new
The extension or shortening of the period for
obligation
the performance of the obligation is generally
c. Animus novandi or intent to novate
considered as merely accidental and does not
d. Substantial difference between old and
bring about a novation. [Tolentino]
new obligations and, consequently,
extinguishment of the old obligation
Original or new obligation with suspensive
e. Validity of the new obligation
or resolutory condition
Effects Art. 1299, CC. If the original obligation was
subject to a suspensive or resolutory
In General If Original If New
condition, the new obligation shall be under
Obligation is Obligation
the same condition, unless it is otherwise
Void is Void
stipulated.
Old Novation is New
obligation is void if the obligation is
Compatible Incompatible
extinguished original void, the old
Conditions Conditions
and obligation was obligation
replaced by void, EXCEPT subsists, a. Fulfillment of both a. Original
the new one when UNLESS the conditions: new obligation is
stipulated. annulment parties obligation becomes extinguished, while
may be intended
demandable. new obligation exists.
claimed only that the
by the debtor, former b. Fulfillment of b. Demandability
or when relations condition concerning shall be subject to
ratification shall be the original fulfillment/
validates acts extinguished obligation: old nonfulfillment of the
that are in any event obligation is revived; condition affecting it.
voidable [Art. [Art. 1297,
new obligation loses
1298, CC] CC] force.
a. Original a. New
obligation is obligation

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

c. Fulfillment of AS TO ESSENCE OR OBJECT

condition concerning
the new obligation: Objective/Real Subjective/Personal
no novation;
requisite of a 1. Change 1. Substitution of
previous valid and of the subject debtors
effective obligation matter; a. Expromision
lacking. 2. Change b. Delegacion
of cause or 2. Subrogation of a third
consideration; or person to the rights of
Kinds of Novation 3. Change the creditor
of the principal a. Conventional
AS TO FORM conditions or b. Legal
1. Express – declared in unequivocal terms terms
2. Implied – the old and new obligations are
on every point incompatible with each other
1. Substitution of Debtors
Novation is not presumed
In the absence of an unequivocal declaration of Expromision Delegacion
extinguishment of the pre-existing obligation,
only proof of incompatibility between the old
and new obligation would warrant a novation Initiative for change Debtor
by implication. [California Bus Line v. State does not emanate from (delegante)
Investment, G.R. No. 147950 (2003)] the debtor, and may offers or initiates
even be made without the change, and
Test of Incompatibility his knowledge. the creditor
The test of incompatibility is whether or not the (delegatorio)
two obligations can stand together, each one accepts a third
having its independent existence. If they person
cannot, they are incompatible and the latter (delegado) as
obligation novates the first. consenting to the
substitution.
The incompatibility must take place in any of
the essential elements of the obligation, such Requisites
as its object, cause or principal conditions
thereof; otherwise, the change would be 1. Consent of the Consent of
merely modificatory in nature and insufficient to creditor and the new 1. old debtor;
extinguish the original obligation [Quinto v. debtor; and 2. new debtor;
People, G.R. No. 126712 (1999)] 2. Knowledge or and
consent of the old debtor 3. creditor.
AS TO ESSENCE OR OBJECT is not required.
1. Objective/Real
Effects
2. Subjective/Personal

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

What may be the object of a contract [JLT Agro v. Balansag, G.R. No. 141882
General Rule: All things or services may be (2005)]
the object of contracts, which includes future
things [Art. 1347, CC] c. Cause of Contracts
In order that a thing, right, or service may be The essential and impelling reason why a
the object of a contract, it should be in party assumes an obligation.
existence at the moment of the celebration
of the contract, or at least, it can exist Motive, on the other hand, is the particular
subsequently or in the future. reason for a contracting party which does not
affect the other. [Manresa]
A showing of mere inconvenience, unexpected
impediments, or increased expenses is not Requisites
enough to relieve a party of the obligation. [De a. Exists at the time the contract is entered
Castro v. Longa, G.R. No L-2152-53 (1951)] into [Par. 3, Art. 1409, CC]
b. Lawful [Art. 1352, CC]
A future thing may be the object of a contract. c. True or real [Art. 1353, CC]
Such contract may be interpreted as a:
a. Conditional contract, where its efficacy Cause vs. Object
should depend upon the future existence of
Cause Object
the thing.
b. Aleatory contract, where one of the As to Remuneration
contracting parties assumes the risk that
the thing will never come into existence, The service or The thing which is given
e.g. insurance. [Tolentino] benefit which is in remuneration
remunerated
Except [Art. 1347-1349, CC]
a. Things which are outside the commerce of As to Donation
men
b. Intransmissible rights The liberality of The thing which is given
c. Future inheritance except in cases the donor or or donated
authorized by law benefactor

Requisites As to the Thing

1. The succession has not yet been opened;
2. The object of the contract forms part of the Prestation or The thing or service itself
promise of a thing
inheritance; and
or service by the
3. The promissor has an expectancy of a right
other
which is purely hereditary in nature
As to Contracting Parties
d. Services that are contrary to law, morals,
good customs, public order, or public policy Different with May be the same for
e. Impossible things or services respect to each both parties
f. Objects which are indeterminable as to part
their kind, the genus should be expressed

EXCEPTIONS TO THE EXCEPTION

b. In case of marriage settlements under Art.
130, CC
c. In case of partition of properties inter vivos
by the deceased under Art. 1080, NCC

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

original agreement. [Molino v. Security Diners

1. Old debtor is 1. Insolvency of
International Corp, G.R. No. 136780 (2001)].
released the new debtor
2. Insolvency of revives the
2. Subrogation
the new debtor obligation of the
does not revive old debtor if it was
Transfers to the person subrogated the credit
the old anterior and
with all the rights thereto appertaining, either
obligation in public, and
against the debtor or against third persons, be
case the old known to the old
they guarantors or possessors of mortgages,
debtor did not debtor.
subject to stipulation in a conventional
agree to 2. New debtor
subrogation. [Art. 1303, CC]
expromision. can demand
3. If with the reimbursement of
Effects
knowledge and the entire amount
consent of the he has paid from Total Partial
old debtor, the the original
new debtor can debtor. He may Transfers to the A creditor, to whom
demand compel the person partial payment has been
reimbursement creditor to subrogated, the made, may exercise his
of the entire subrogate him to credit with all the right for the remainder,
amount paid and all of his rights. rights thereto and shall be preferred to
with subrogation appertaining, the person subrogated in
of creditor’s either against his place in virtue of the
rights. the debtor or partial payment.
4. If without third persons.
knowledge of
the old debtor, Conventional Subrogation – takes place by
the new debtor agreement of parties
can demand
reimbursement Difference between Conventional
only up to the Subrogation and Assignment of Credit
extent that the [Licaros v. Gatmaitan, G.R. No. 142838
latter has been (2001)]
benefited
without Conventional Assignment of credit
subrogation of subrogation
creditor’s rights.
Debtor’s consent Debtor’s consent is not
is necessary. required.
For subjective novation, it is insufficient that
the juridical relation between the parties to Extinguishes an Refers to the same
the original contract is extended to a third obligation and right which passes from
person. If the old debtor is not released, no gives rise to a new one person to another,
novation occurs and the third person who has one. without modifying or
assumed the debtor’s obligation becomes extinguishing the
merely a co-debtor or surety or co-surety. obligation.
[Conchinyan, Jr. v. R&B Surety and Insurance
Company, G.R. No. L-47369, (1987)] Defects/vices in Defects/vices in the old
the old obligation obligation are not
An accessory surety may not be released if he are cured. cured.
expressly waives his discharge from the
obligation in case of change or novation in the

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Legal Subrogation
The stage to The stage to
Takes place by operation of law.
look at to look at to
determine the determine
Legal subrogation is not presumed, except
status of the whether
in the following circumstances:
contract (i.e., there has
a. When creditor pays another creditor
valid, voidable, been a
who is preferred, even without the
void, breach of
debtor’s knowledge
unenforceable) the contract
b. When a third person not interested in
the obligation pays with the express or
tacit approval of the debtor 2. Classification
c. When, even without the knowledge of
the debtor, a person interested in the a. To their subject matter
fulfillment of the obligation pays, • Things, e.g. sale, deposit, pledge
without prejudice to the effects of • Services, e.g. agency, lease of
confusion as to the latter’s share [Art. services
1302, CC]
d.
b. To formation or perfection
• Consensual – consent is sufficient to
CONTRACTS perfect the contract [Art. 1315, CC]
• Real – delivery, actual or constructive,
is required in addition to consent [Art.
A.GENERAL 1316, CC]
PROVISIONS • Solemn or formal – where special
formalities are required for perfection
[Art. 1356, CC]

1. Stages of Contracts c. To relation to other contracts

• Principal – may exist alone; e.g. lease
a. Preparation (conception or “generation” or • Accessory – depends on another
negotiation) – begins from time the parties contract for its existence, e.g. guaranty
manifest their interest and ends prior to the • Preparatory – a preliminary step
moment of agreement towards the celebration of a
b. Perfection (or birth) – when the parties subsequent contract; e.g. agency
agreed upon essential elements of contract
c. Consummation (or death) - when parties d. To form
fulfill or perform the agreement • Common or informal – may be
entered into in whatever form as long
Preparation Perfection Consum- as there is consent, object and cause
mation • Special or formal – required by law to
be in a certain specified form
Exchanges Parties come Parties
of offers and to an perform e. To cause/by equivalence of prestations
counter- agreement. their • Onerous – there is an exchange of
offers. obligations correlative values, e. g. sale
All the under the • Remuneratory – where the
No contract essential contract outstanding prestation is premised
yet, thus no requisites upon services or benefits already
binding concur received
effect

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
• Gratuitous – where no correlative
prestation is received by one party, e.g.
donation, commodatum
f. To purpose
• Transfer of ownership, e.g. sale
• Conveyance of Use, e.g. commodatum
• Rendition of Service, e.g. agency
g. To time of fulfillment
• Executed – where the obligations are
fulfilled at the time the contract is
entered into
• Executory – where fulfillment of
obligations does not take place at the
time the contract is made
h. To risk
• Commutative – fulfillment is
predetermined in advance
• Aleatory – fulfillment is dependent
upon chance
i. To the nature of the vinculum produced
• Unilateral – only one party is bound by
the prestation, e.g. commodatum
• Bilateral – both parties are bound by
reciprocal prestations, e.g. sale
o All contracts are bilateral in the
consent, but not all are bilateral
in effects.
j. To their designation/name
• Nominate – where the law gives the
contract a special designation or
particular name; e.g. deposit
• Innominate – where the contract has
no special name
o Do ut des (I give so that you
may give)
o Do ut facias (I give so that you
may do)
o Facio ut facias (I do so that you
may do)
o Facio ut des (I do so that you
may give)
Art. 1307, CC. Innominate contracts shall be
regulated by the stipulations of the parties,
by the provisions of Titles I and II of this
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CIVIL LAW
Book, by the rules governing the most
analogous nominate contracts, and by the
customs of the place.
3. Essential requisites
Art 1318, CC. There is no contract unless
the following requisites concur:
a. Consent of the contracting parties;
b. Object certain which is the subject
matter of the contract
c. Cause of the obligation which is
established
a. Consent
The meeting of the minds of the parties on
the subject matter and cause of the contract.
The facts that the signatures of the witnesses
and the notary public were forged does not
negate the existence of the contract for as
long as the parties consented to it. The
signatures of the witnesses and the notary
public are necessary simply to make the
contract binding on the third person. [Soriano
v. Soriano, G.R. No. 130348 (2007)]
Requisites for valid consent
a. It must be manifested by the concurrence
of the offer and acceptance [Arts. 1319-
1326, CC].
b. The contracting parties must possess the
necessary legal capacity [Arts. 1327-1329,
CC].
c. It must be intelligent, free, spontaneous,
and real (not vitiated) [Arts. 1330-1346,
CC].
CONCURRENCE OF OFFER AND
ACCEPTANCE
A contract is perfected by mere consent. From
the moment of a meeting of the offer and the
acceptance upon the object and the cause
that would constitute the contract, consent
arises. However, “the offer must be certain”
and “the acceptance seasonable and
absolute; if qualified, the acceptance would
U.P. LAW BOC OBLIGATIONS AND CONTRACTS
merely constitute a counteroffer. [Insular Life v.
Asset Builders Corp., G.R. No. 147410 (2004)]
OFFER
A unilateral proposition which one party makes
to the other for the celebration of the contract.
[Tolentino]
Invitation to make offers (Advertisements)
a. Business Advertisements of things for
sale are NOT definite offers, just invitations
to make an offer, UNLESS the contrary
appears [Art. 1325, CC].
b. Advertisement for bidders are invitations
to make proposals, the advertiser is NOT
bound to accept the lowest or highest
bid; UNLESS the contrary appears. The
bidder is the offeror [Art. 1326, CC].
The Terms and Conditions of the bidding
disseminated… constitutes the
"advertisement" to bid on the project. The
bid proposals or quotations submitted by
the prospective suppliers… are the offers.
The reply… constitutes the acceptance or
rejection of the respective offers. [Jardine
Davies v. CA, G.R. No. 128066 (2000)]
c. Statements of intention: no contract
results even if accepted.
In a letter informing another that the sender
was “in a position and is willing to entertain”
the purchase of a yacht under some terms,
the word “entertain” applied to an act does
not mean the resolution to perform said act,
but simply a position to deliberate for
deciding to perform or not to perform said
act. It was merely a position to deliberate
whether or not he would purchase the
yacht and invitation to a proposal being
made to him, which might be accepted by
him or not. [Rosenstock v. Burke, G.R. No.
20732 (1924)]
Termination of Offer
a. Rejection by the offeree
b. Incapacity (death, civil interdiction,
insanity, or insolvency) of the offeror or
offeree before acceptance is conveyed
[Art. 1323, CC]
c. Submission of a counter-offer
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CIVIL LAW
d. Lapse of the time stated in the offer
without acceptance being conveyed
e. Revocation of the offer before learning of
acceptance
f. Supervening illegality before acceptance
[Reyes and Puno]
ACCEPTANCE
To produce a contract, the acceptance must
not qualify the terms of the offer. It is necessary
that the acceptance be unequivocal and
unconditional, and the acceptance and the
proposition shall be without any variation
whatsoever; and any modification or variation
from the terms of the offer annuls the latter and
frees the offeror. [Tolentino]
Acceptance must be absolute, unconditional,
and without variance of any sort from the offer.
It must also be made known to the offeror.
An acceptance not made in the manner
prescribed is not effective but constitutes a
counter-offer. [Malbarosa v. CA, G.R. No.
125761 (2003)]
Requisites of Acceptance
a. Unqualified and unconditional, i.e. it
must conform with all the terms of the offer,
otherwise it is a counter-offer [Art. 1319,
CC]
b. Directed and communicated to the offeror
and learned by him [Art. 1319, CC] If made
through an agent, the offer is accepted
from the time the acceptance is
communicated to such agent. [Art. 1322,
CC]
c. Made within the proper time
d. May be express/implied, but is not
presumed [Art 1320, CC]. Time, place and
manner of acceptance may be fixed by
offeror [Art 1321, CC].
Cognition Theory
Acceptance made by letter or telegram does
not bind the offeror except from the time it
came to his knowledge. The contract, in such a
case, is presumed to have been entered into in
the place where the offer was made. [par. 2,
Art. 1319, CC]
U.P. LAW BOC OBLIGATIONS AND CONTRACTS
Option Contract
A preparatory contract in which one party
grants to the other, for a fixed period, the option
to decide whether or not to enter into a principal
contract. [Art. 1324, CC]
With Without
consideration consideration
Offeror cannot Offeror may withdraw
unilaterally by communicating
withdraw his offer. withdrawal to the
offeree before
acceptance.
Art. 1324, CC provides the General Rule
regarding offer and acceptance: when the
offerer gives to the offeree a certain period to
accept, "the offer may be withdrawn at any
time before acceptance" except when the
option is founded upon consideration.
However, Art. 1479, CC modifies the General
Rule, which applies to "a promise to buy and
sell" specifically. This rule requires that a
promise to sell to be valid and binding must be
supported by a consideration distinct from the
price. Otherwise, the option can still be
withdrawn, even if accepted. [Tuazon v. Del
Rosario-Suarez, G.R. No. 168325 (2010)]
NECESSARY LEGAL CAPACITY
There are two types of void contracts:
a. Those where one of the essential
requisites of a valid contract as provided
for by Article 1318 of the Civil Code is
totally wanting; and
b. Those declared to be so under Article
1409 of the Civil Code. By contrast, a
voidable or annullable contract is one in
which the essential requisites for validity
under Article 1318 are present, but vitiated
by mistake, violence, intimidation, undue
influence, or fraud [Art. 1330, CC].
Persons incapacitated to give consent [Art.
1327, CC]
a. Minors, EXCEPT:
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CIVIL LAW
1. Where necessaries are sold or
delivered [Art 1489, CC]
2. Where the minor actively
misrepresents his age (estoppel)
3. When it involves a natural obligation
and such obligation is fulfilled
voluntarily by the minor [Art. 1425-27,
CC]
4. Contracts entered into by guardians
or legal representatives
5. When upon reaching the age of
majority they ratify the same
6. When a minor opens a savings
account without the assistance of his
parents, provided that the minor is at
least 7 years old and can read and
write [PD 1734].
b. Insane or demented persons, UNLESS
they contract during a lucid interval. [Art.
1328, CC]
c. Deaf-mutes who do not know how to read
AND write.
Minors were held in estoppel through active
misrepresentation. [Mercado v. Espiritu, G.R.
No. L-11872 (1917)]
There is no estoppel if the minority was
known by the other party, and there was no
active misrepresentation on the part of the
minors. [Bambalan v. Maramba, G.R. No. L-
27710 (1928)]
Persons Disqualified to Contract
a. Those under civil interdiction for
transactions inter vivos [Art. 34, RPC]
b. Undischarged insolvents [Sec. 24,
Insolvency Law]
c. Husband and wife cannot donate to each
other [Art. 123, FC], nor sell to each other
if the marriage is under the regime of
Absolute Community of Property [Art.
1490, CC]
d. The ff. cannot purchase, whether in public
or private sale [Art. 1491, CC]:
1. Guardian - Property of the ward
2. Agent - Property of the Principal
3. Executors and Administrators -
Property under administration
4. Public Officers - Property under their
administration
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

5. Justices, judges, prosecutors, clerks of Requisites

court, lawyers - property attached in a. The error must be substantial regarding:
litigation 1. The object of the contract (error in re)
which may be:
Incapacity to Give Consent vs. • Mistake as to the identity of the
Disqualification to Contract thing (error in corpore)
Incapacity to Give Disqualification to • Mistake as to the substance of the
Consent Contract thing (error in substantia)
• Mistake as to the conditions of the
Restrains the exercise Restrains the very thing provided, or
of the right to contract right itself • Mistake as to the quantity of the
thing (error in quantitate)
Based upon Based upon public 2. The condition which primarily moved
subjective policy and morality or induced one or both parties to enter
circumstances of the contract.
certain persons 3. Identity or qualifications of one of the
parties (error in persona), but only if
Voidable Void such was the principal cause of the
contract.
INTELLIGENT, FREE, SPONTANEOUS, AND b. The error must be excusable
REAL (NOT VITIATED) c. The error must be a mistake of fact and
not of law.
Vices of Consent (makes contract
voidable) [Art. 1330, CC] Mistake which vitiates consent is an error of
1. Mistake fact, and not an error of law. Ignorance of the
2. Intimidation law excuses no one from compliance therewith
3. Violence [Art. 3, CC]; but the modern tendency is to
4. Undue influence allow an excusable mistake of law to be
5. Fraud invoked as vitiating consent. [Tolentino]

MISTAKE See also Art. 526, CC on Possession: Mistake

“A misunderstanding of the meaning or upon a doubtful or difficult question of law may
implication of something” or a “wrong action or be the basis of good faith.
statement proceeding from a faulty judgment”.
[Domingo Realty v. CA] Ignorantia Facti Excusat vs. Ignorantia
Legis Neminem Excusat
Inadvertent and excusable disregard of a Mistake of Fact Mistake of Law
circumstance material to the contract [Reyes
and Puno] One or both One or both parties arrive
contracting at an erroneous
In order that mistake may invalidate consent, it parties believe conclusion on the
should refer to the substance of the thing that a fact exists interpretation of a
which is the object of the contract, or to those when in reality it question of law or its legal
conditions which have principally moved one or does not, or vice effects
both parties to enter into the contract. versa
[Art.1331, CC]
Vitiates consent Does not vitiate consent
There is no mistake if the party alleging it EXCEPT when it involves
knew the doubt, contingency or risk affecting mutual error as to the
the object of the contract. [Art. 1333, CC] effect of an agreement

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

when the real purpose is External or Internal or induces the

frustrated. prevents the will to performance of an act
manifest itself
Note: The obligation to show that the terms of
the contract had been fully explained to the Determined by 1) 1) Age 2) Sex 3)
party who is unable to read or understand the Intention 2) Means Condition
language of the contract, when fraud or employed
mistake is alleged, devolves on the party
seeking to enforce it. [Art. 1332, CC] 1) Physical force 1) Intimidation must be
employed must be the determining cause
INTIMIDATION irresistible, or of of the contract OR
One of the contracting parties is compelled by such degree that must have caused the
a reasonable and well-grounded fear of an victim has no other consent to be given
imminent and grave evil upon his person or recourse under the
property, or upon the person or property of his circumstances but 2) Threatened act
spouse, descendants or ascendants, to give to submit must be unjust or
his consent. [Art. 1335, CC] unlawful
2) Such force is the
To determine the degree of intimidation, the determining cause 3) The threat must be
age, sex and condition of the person shall be in giving of consent real and serious
borne in mind. [Art. 1335, CC]
4) Produces a
Requisites reasonable and well-
a. One party is compelled to give his consent grounded fear from the
by a reasonable and well-grounded fear of fact the person has the
an evil; necessary means or
b. The evil must be imminent and grave; ability to inflict
c. The evil must be upon his person or threatened injury
property, spouse, descendants or
ascendants; Note: Violence or intimidation shall annul the
d. The evil must be unjust. obligation, although it may have been
employed by a third person who did not take
VIOLENCE part in the contract. [Art. 1336, CC]
Serious or irresistible force used to wrest
consent [Art. 1335, CC] UNDUE INFLUENCE
When a person takes improper advantage of
Violence Intimidation his power over the will of another, depriving the
latter of a reasonable freedom of choice. [Art.
Serious or Reasonable and well- 1337, CC]
irresistible force grounded fear of an
imminent and grave Requisites
evil upon his person or a. Improper advantage
property, or person or b. Power over the will of another
property of his spouse, c. Deprivation of the latter’s will of a
descendants, or reasonable freedom of choice
ascendants
Circumstances to consider
Physical Moral compulsion a. Relationship of the parties (family, spiritual,
compulsion confidential etc.)

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Absolute vs. Relative Simulation [Art. 1345,

The fraud is serious when it is sufficient to CC]
impress, or to lead an ordinarily prudent
Absolute Relative Simulation
person into error; that which cannot
Simulation (Disimulados)
deceive a prudent person cannot be a
(Simulados)
ground for nullity. The circumstances of
each case should be considered, taking The parties have The parties conceal
into account the personal conditions of the no intention to their true agreement.
victim. be bound at all
2. The fraud must be proven by clear and
convincing evidence and not merely by a Fictitious Disguised contract
preponderance thereof. [ECE Realty v. contract
Mandap, G.R. No. 196182 (2014)]
Void. (Because Bound to their real
Note: However, fraud in its general sense there is an agreement, so long as it
(false representation of a fact) coming about in absolute lack of does not prejudice a
the consummation stage of the sale, as cause) [Art. third person and is not
opposed to the negotiation and perfection 1346, CC] contrary to law, morals,
stages, entitles the aggrieved party to the good customs, public
rescission of the sales contract. [Sps. Tongson order or public policy.
v. Emergency Pawnshop, GR. No. 167874 [Art. 1346, CC]
(2010)]
If the parties merely state a false cause in the
SIMULATION OF CONTRACTS contract to conceal their real agreement, the
Simulation is the declaration of a fictitious contract is relatively simulated and the parties
will, deliberately made by agreement of the are still bound by their real agreement.
parties, in order to produce, for the purposes Hence, where the essential requisites of a
of deception, the appearances of a judicial act contract are present and the simulation refers
which does not exist or is different with that only to the content or terms of the contract, the
which was really executed [Nautica Canning agreement is absolutely binding and
Corporation v. Yumul, G.R. No. 164588 enforceable between the parties and their
(2005)]. There exists an instrument, but there successors in interest. [Valerio v. Refresca,
is no contract. G.R. No. 163687 (2006)]
Requisites of Simulation
a. An outward declaration of will different from b. Object of Contracts
the will of the parties
b. The false appearance must have been The subject matter; the thing, right or service
intended by mutual agreement which is the subject matter of the obligation
c. The purpose is to deceive third persons arising from the contract. [Tolentino]
[Penalosa v. Santos, G.R. No. 133749
(2001)] Requisites
1. Within the commerce of men [Art. 1347,
The primary consideration in determining the CC]
true nature of a contract is the intention of the 2. Not legally or physically impossible [Art.
parties. Such intention is determined not only 1348, CC]
from the express terms of their agreement, but 3. In existence or capable of coming into
also from the contemporaneous and existence [See Arts. 1461, 1493, 1495, CC]
subsequent acts of the parties. [Spouses 4. Determinate or determinable, without the
Lopez v. Sps. Lopez, G.R. No. 161925 (2009)] need of a new contract between the parties
[Arts. 1349 and par. 2, 1460, CC]

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

What may be the object of a contract [JLT Agro v. Balansag, G.R. No. 141882
General Rule: All things or services may be (2005)]
the object of contracts, which includes future
things [Art. 1347, CC] c. Cause of Contracts
In order that a thing, right, or service may be The essential and impelling reason why a
the object of a contract, it should be in party assumes an obligation.
existence at the moment of the celebration
of the contract, or at least, it can exist Motive, on the other hand, is the particular
subsequently or in the future. reason for a contracting party which does not
affect the other. [Manresa]
A showing of mere inconvenience, unexpected
impediments, or increased expenses is not Requisites
enough to relieve a party of the obligation. [De a. Exists at the time the contract is entered
Castro v. Longa, G.R. No L-2152-53 (1951)] into [Par. 3, Art. 1409, CC]
b. Lawful [Art. 1352, CC]
A future thing may be the object of a contract. c. True or real [Art. 1353, CC]
Such contract may be interpreted as a:
a. Conditional contract, where its efficacy Cause vs. Object
should depend upon the future existence of
Cause Object
the thing.
b. Aleatory contract, where one of the As to Remuneration
contracting parties assumes the risk that
the thing will never come into existence, The service or The thing which is given
e.g. insurance. [Tolentino] benefit which is in remuneration
remunerated
Except [Art. 1347-1349, CC]
a. Things which are outside the commerce of As to Donation
men
b. Intransmissible rights The liberality of The thing which is given
c. Future inheritance except in cases the donor or or donated
authorized by law benefactor

Requisites As to the Thing

1. The succession has not yet been opened;
2. The object of the contract forms part of the Prestation or The thing or service itself
promise of a thing
inheritance; and
or service by the
3. The promissor has an expectancy of a right
other
which is purely hereditary in nature
As to Contracting Parties
d. Services that are contrary to law, morals,
good customs, public order, or public policy Different with May be the same for
e. Impossible things or services respect to each both parties
f. Objects which are indeterminable as to part
their kind, the genus should be expressed

EXCEPTIONS TO THE EXCEPTION

b. In case of marriage settlements under Art.
130, CC
c. In case of partition of properties inter vivos
by the deceased under Art. 1080, NCC

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Distinguished from Motive

Contrary to VOID.
Cause Motive law, morals, If parts of a contract are
good customs, illegal but the rest are
Proximate Remote reason for the public policy supported by lawful
reason for contract and public cause, claimant of such
contract order (unlawful has the burden of
cause) showing proof; otherwise,
Objective or Psychological and the whole contract is
juridical reason purely personal reason VOID.
Always the same Differs for each
Contracts with illegal
for each contracting party
cause may still produce
contracting party
effect in certain cases
Illegality affects Illegality does not affect where parties are not of
existence or existence or validity of equal guilt:
validity of the contract (1) innocent party cannot
contract be compelled to perform
his obligation and he may
recover what has already
Cause in contracts [Art. 1350] been given;
Onerous Remuneratory Pure (2) if both parties are
Contracts Contracts Beneficence guilty, neither can sue the
other, the law leaving
them as they are (in pari
delicto, Art. 1411, CC).
The The service or Mere
undertaking benefit which liberality of Falsity of REVOCABLE/VOIDABLE
or the is the cause – cause Parties are given a
promise of remunerated benefactor is stated but is chance to show that a
the thing or untrue cause really exists, and
service by that said cause is true and
the other lawful.
party
Lesion or General Rule: NO
Effect of Lack of Cause, Unlawful Cause, inadequacy of EFFECT.
cause – cause Exception: Inadequacy of
False Cause and Lesion [Arts. 1352 – 1355]
is not cause shall invalidate the
Cause Effect proportionate contract when:
to object (1) there is fraud,
mistake, undue influence
Lack of Cause VOID. (2) when parties
– absence or Note: Cause must exist at intended a donation
total lack of the time of the perfection
cause of the contract; it need not
exist later. Note: Inadequacy of cause may be a badge of
fraud.

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

instrument.
B. FORMALITY Otherwise, the
contract of partnership
is void. [Art. 1773, CC]
General rule: No form necessary for contracts
provided that all the essential requisites for Contract of The amount of the
their validity are present [Par. 1, Art. 1356, antichresis principal and the
CC] interest, if any, must
be specified in
Exception: writing; otherwise,
1. When the law requires that a contract be in the contract of
some form in order that it may be valid [par. antichresis shall be
2, Art. 1356, CC] void [Art. 2134, CC]
2. When the law requires that a contract be
proved in a certain way to be enforceable Agency to sell Authority of the agent
(Statute of Frauds) [par. 2, Art. 1356, CC] land or any interest must be in writing;
3. When the law requires a contract to be in therein otherwise, the sale
some form for convenience, or to be shall void [Art. 1874,
effective against third parties [Arts. 1357 CC]
and 1358, CC]
Stipulation to pay Must be expressly
interest on loans, made in writing [Art.
Kinds of Formalities Required by Law
interest for the use 1956, CC]
1. For the Validity of Contracts (Ad
of money
Essentia /Ad Solemnitatem/ Solemn
Contracts) Stipulation limiting Must be (1) in writing,
common carrier’s signed by the shipper
Formal or Solemn Special Form duty of or owner; (2)
Contract Required by Law extraordinary supported by a
diligence to valuable
Donation of Must be in a public ordinary diligence consideration; and
Immovables instrument, (3) reasonable, just,
specifying therein the and not contrary to
property donated and public policy [Art.
the value of the 1744, CC]
charges which the
donee must satisfy. Transfer of large Requires transfer of
[Art. 749, CC] cattle the certificate of
registration [Sec.
Donation of Must be in writing; 523, Administrative
movables when otherwise, the Code]
the value of the donation is void. [Art.
personal property 748, CC]
2. For the Purpose of Proving the
donated exceeds
Existence of the Contract (Ad
P5,000
Probationem/ Statute of Frauds)
Partnerships An inventory of said
where immovable property must be The following contracts are
property is made, signed by the UNENFORCEABLE, UNLESS they are
contributed parties and attached ratified:
to the public

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
1. Those entered into in the name of
another person by one who has
been:
i. given no authority
ii. or legal representation,
iii. or who has acted beyond his
powers;
2. Those that do not comply with the
Statute of Frauds
3. Those where both parties are
incapable of giving consent to a
contract. [Art. 1403, CC]
Statute of Frauds
An agreement as to the following shall be
unenforceable UNLESS:
1. The agreement, or some note or
memorandum, thereof, be in writing,
and
2. Subscribed by the party charged, or by
his agent; evidence, therefore, of the
agreement cannot be received without
the writing, or a secondary evidence of
its contents. [Art. 1403, CC]
Agreements under the Statute of Frauds
[Art. 1403, CC]:
1. An agreement that by its terms is not
to be performed within a year from
the making thereof;
2. A special promise to answer for the
debt, default, or miscarriage of
another;
3. An agreement made in consideration
of marriage, other than a mutual
promise to marry;
4. An agreement for the sale of goods,
chattels or things in action, at a
price not less than five hundred
pesos, unless the buyer accept and
receive part of such goods and
chattels, or the evidences, or some of
them, of such things in action or pay at
the time some part of the purchase
money; but when a sale is made by
auction and entry is made by the
auctioneer in his sales book, at the time
of the sale, of the amount and kind of
property sold, terms of sale, price,
names of the purchasers and person
Page 303 of 532
CIVIL LAW
on whose account the sale is made, it
is a sufficient memorandum;
5. An agreement of the leasing for a
longer period than one year, or for
the sale of real property or of an
interest therein;
6. A representation as to the credit of a
third person
This article speaks of contracts that cannot be
proven except by written note or memorandum,
unless the party charged waives the objection.
[Rule 123, Sec. 21, Rules of Court]
This article applies to executory contracts
only. [Almirol v. Monserrat, G.R. No. 23717
(1925)]
3. For the Effectivity of the Contract
Against Third Persons
If the law requires a document or other
special form (Art. 1357, CC)
1. The contracting parties may compel
each other to observe that form,
once the contract has been perfected.
2. This right may be exercised
simultaneously with the action upon the
contract.
Art. 1358, CC which requires the embodiment
of certain contacts in a public instrument, is
only for convenience, and registration of the
instrument only adversely affects third parties.
Formal requirements are, therefore, for the
benefit of third parties. Non-compliance
therewith does not adversely affect the validity
of the contract nor the contractual rights and
obligations of the parties thereunder. [Fule v.
CA, G.R. No. 112212 (1998)
Art. 1358, CC. The following must appear in
a public document:
1. Acts and contracts which have for their
object the creation, transmission,
modification or extinguishment of real
rights over immovable property; sales of
real property or of an interest therein as
governed by Articles 1403, No. 2, and
1405;
U.P. LAW BOC OBLIGATIONS AND CONTRACTS
2. The cession, repudiation or renunciation
of hereditary rights or of those of the
conjugal partnership of gains;
3. The power to administer property, or any
other power which has for its object an
act appearing or which should appear in
a public document, or should prejudice a
third person;
4. The cession of actions or rights
proceeding from an act appearing in a
public document.
All other contracts where the amount
involved exceeds five hundred pesos must
appear in writing, even a private one. But
sales of goods, chattels or things in action
are governed by Articles, 1403, No. 2 and
1405.
Enumerated contracts in Art. 1358, CC are
valid even when not reduced into writing,
although parties may have recourse under Art.
1357, CC to compel execution of the writing,
except in the following cases:
1. Solemn Contracts (action under Art.
1357, CC is not available at all)
2. Real Contracts (action under Art.
1357, CC is available if there is
consent, subject matter, cause, and
delivery)
3. Contracts under the Statutes of
Fraud (remedy under Art. 1357, CC is
applicable only if the defense of the
Statute is waived expressly or impliedly
by the party charged
Actions under Art. 1357, CC may be exercised
simultaneously with (i.e. need not be separate
nor need it precede) the action to enforce the
contract, although questions of form must be
decided first.
Page 304 of 532
CIVIL LAW
C. REFORMATION OF
INSTRUMENTS
Reformation – remedy in equity by means of
which a written instrument is made or
construed so as to express or conform to the
real intention of the parties when some error or
mistake has been committed [Reyes and Puno]
Requisites [Art. 1359, CC]:
1. There must be a meeting of the minds of
the contracting parties
2. Their true intention is not expressed in
the instrument;
3. Such failure to express their true intention
is due to mistake, fraud, inequitable
conduct, or accident; and
4. There is clear and convincing proof of
mistake, fraud, inequitable conduct, or
accident.
The appellant’s complaint states no cause of
action, for it fails to allege that the instrument to
be reformed does not express the real
agreement or intention of the parties. Such
allegation is essential since the object sought
in an action for reformation is to make an
instrument conform to the real agreement
or intention of the parties. Moreover, courts
do not reform instruments merely for the sake
of reforming them, but only to enable some
party to assert right under them as reformed.
[Garcia v. Bisaya, G.R. No. L-8060 (1955)].
Note: If mistake, fraud, inequitable conduct, or
accident has prevented a meeting of the minds
of the parties, the proper remedy is not
reformation of the instrument but annulment of
the contract [par. 2, Art. 1359, CC]
The action for reformation of instrument should
not be confused with the action for annulment
of contract. [Veluz v. Veluz, G.R. No. L-23261
(1968)]
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

Reformation v. Annulment [Veluz v. Veluz, 3. Cases Where Reformation is

supra]
Proper
Reformation of Annulment
Instrument
a. Mistake
Presupposes a valid, Presupposes a The mistake should be of fact generally,
existing contract, in defective contract and not of law [BPI v Fidelity and Surety
which there had been in which the minds Co., G.R. No. L-26743 (1927)]
a meeting of the minds of the parties did
of the parties but the not meet, or the Mutual
instrument drawn up consent of one was Mutual mistake of parties that causes
and signed by them vitiated. failure to disclose real agreement [Art.
does not correctly 1361, CC]
express the terms of
their agreement. Unilateral
1. One party was mistaken, while
Equity of reformation is Intended to declare the other acted fraudulently [Art.
ordinarily limited to the inefficiency 1362, CC]
written agreements, which the contract 2. One party was mistaken, while
and its purpose is to already carries in the other knew or believed that the
establish and itself and to render instrument did not state their real
perpetuate the true the contract agreement, but concealed it from
agreement. inefficacious. the former [Art. 1363, CC]

1. Burden of Proof
The presumption is that an instrument sets out
the true agreement of the parties and that it
was executed for valuable consideration. Thus,
when there is some error or mistake in the
contract, the onus probandi is upon the party
who insists that the contract should be
reformed.
While intentions involve a state of mind,
subsequent and contemporaneous acts of
the parties as well as the evidentiary facts as
proved and admitted can be reflective of one’s
intention. [Multi-Ventures Capital Management
Corporation v Stalwart, G.R. No. 157439
(2007)]
2. Effect of Reformation
In granting reformation, the remedy in equity is
not making a new contract for the parties, but
establishing and perpetuating the real
contract between the parties which, under the
technical rules of law, could not be enforced but
for such reformation. [Quiros vs Arjona, G.R.
No. 158901 (2004)]
b. Fraud
Active
If one party was mistaken and the other
acted fraudulently in such a way that the
instrument does not show their true
intention [Art. 1362, CC]
Passive
When one party was mistaken and the
other knew or believed that the
instrument did not state their real
agreement [Art. 1363, CC]
c. Inequitable conduct
If one party was mistaken and the other
acted fraudulently or inequitably in such a
way that the instrument does not show their
true intention [Art. 1362, CC]
d. Accident
When through the ignorance, lack of skill,
negligence or bad faith on the part of the
person drafting the instrument or of the
clerk or typist, the instrument does not
express the true intention of the parties
[Art. 1364, CC]

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

subsequently ask for its reformation

No fraud exists in the sense that neither of [Art. 1367, CC]
the parties took part therein.

e. Severe Pacto de Retro / Relative

6. Prescriptive Period for
Simulation Reformation
The prescriptive period for actions based upon
Art. 1365, CC. If two parties agree upon the a written contract and for reformation of an
mortgage or pledge of real or personal instrument is ten (10) years under Article 1144
property, but the instrument states that the of the Civil Code. [Rosello-Bentir v. Leanda,
property is sold absolutely or with a right of G.R. No. 128991 (2000)]
repurchase, reformation of the instrument is
proper.

4. Who May Ask for Reformation

a. When through mistake of the parties
b. Either party or his successors in
interest, if the mistake was mutual;
otherwise.
c. Upon petition of the injured party, or his
heirs and assigns [Art. 1368, CC]
d. When through the ignorance, lack of
skill, negligence or bad faith on the part
of the person drafting the instrument or
of the clerk or typist, Courts may order
that the instrument be reformed [Art.
1364, CC]

5. Cases Where Reformation is

Not Proper
1. Simple donations inter vivos—
wherein no condition is imposed—
because donation is an act of liberality
[Art. 725, CC] and cannot be
compelled;
2. Wills—no reformation before the
testator dies because the making of a
will is strictly personal [Art. 784, CC], a
free act [Art. 839, CC], and essentially
revocable [Art. 828, CC];
3. When the real agreement is void—
because there is nothing to reform. The
power of the court to reform is not for
accomplishing a vain thing [Tolentino].
4. Implied Ratification/Estoppel: the
party who has brought an action to
enforce the instrument cannot

Page 306 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS
D. INTERPRETATION OF CONTRACTS
1. Primacy of Language or
Intention
a. Cardinal/First Rule of
Interpretation – Literal Meaning
Governs
If the terms of a contract are clear and leave no
doubt upon the intention of the contracting
parties, the literal meaning of its stipulations
shall control. [Art. 1370, par. 1, CC]
Application
Where the language of a contract is plain and
unambiguous, its meaning should be
determined without reference to extrinsic facts
or aids. The intention of the parties must be
gathered from that language, and from that
language alone. Courts cannot make for the
parties better or more equitable agreements
than they themselves have been satisfied to
make, or rewrite contracts because they
operate harshly or inequitably as to one of the
parties, or alter them for the benefit of one party
and to the detriment of the other, or by
construction, relieve one of the parties from the
Page 307 of 532
CIVIL LAW
terms which he voluntarily consented to, or
impose on him those which he did not.
[Bautista v. CA, G.R. No. 1263655 (2000)]
b. Rule if Language Contrary to
Intent – Intent over Literal
Interpretation
If the words appear to be contrary to the
evident intention of the parties, the latter
shall prevail over the former. [Art. 1370, par. 2,
CC]
The cardinal test is the intention of the parties,
to be derived from the terms/language of the
contract.
In order to judge the intention of the contracting
parties, their contemporaneous and
subsequent acts shall be principally
considered. [Art. 1371, CC]
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

those which are inherent in his person,

Art. 1409, CC. The following contracts are
including therefore, his right to the
inexistent and void from the beginning:
annulment of said contract, even
1. Those whose cause, object or
though such creditors are not affected
purpose is contrary to law, morals,
by the same, except indirectly, in the
good customs, public order or
manner indicated in said legal
public policy;
provision. [Pascual v. Secretary of
2. Those which are absolutely
Public Works, G.R. No. L-10405
simulated or fictitious;
(1960)]
3. Those whose cause or object did not
exist at the time of the transaction;
Void vs. Inexistent Contracts
4. Those whose object is outside the
commerce of men; Void Inexistent
5. Those which contemplate an
impossible service; Those where all the Those where one or
6. Those where the intention of the requisites of a some or all of the
parties relative to the principal object contract are present requisites essential
of the contract cannot be but the cause, for the validity of a
ascertained; object or purpose is contract are
7. Those expressly prohibited or contrary to law, absolutely lacking
declared void by law morals, good
These contracts cannot be ratified. Neither customs, public
can the right to set up the defense of illegality order or public
be waived. policy, or the
contract itself is
prohibited or
a. Characteristics of a Void Contract declared void by
law
1. It does not produce any legal effect;
2. It is not susceptible of ratification; Principle of pari Principle of pari
3. The right to set up the defense of delicto is applicable delicto is inapplicable
inexistence or absolute nullity cannot
be waived or renounced; May produce legal Cannot produce any
4. The action or defense for the effects effect
declaration of their inexistence or
nullity is imprescriptible; [Art. 1410, Covers Art. 1409 Covers Art. 1409 (2)
CC] (1), (3), (4), (5), (6) and (3)
and (7)
Note: This provision does not apply to
wills. [Gallanosa v. Arcangel, G.R. No. Void vs. Voidable Contracts
L-29300 (1978)]
5. The inexistence or absolute nullity of a Void Voidable
contract cannot be invoked by a
person whose interests are not Those where one of Those where all the
directly affected. [Art. 1421, CC] the essential essential requisites
requisites is are present, but
Note: Article 1421 is subject to wanting, either in consent is vitiated by
exceptions. For instance, the creditors fact or in law, or is want of capacity, or by
of a party to an illegal contract may, declared void by error, violence,
under the conditions set forth in Article statute. intimidation, or deceit
1177 of said Code, exercise the rights
and actions of the latter, EXCEPT only

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

c. Exclusion to Rules – Distinct Trigger: Words which may have different

and Different Cases significations.

However general the terms of a contract may Effect: They shall be understood in what is
be, they shall not be understood to most keeping with the contract’s nature and
comprehend things that are distinct and object.
cases that are different from those upon
which the parties intended to agree. [Art. g. Interpretation against Party
1372, CC] Causing Obscurity

d. Stipulation Rendered to be The interpretation of obscure words or

Effectual
If some stipulation of any contract should
admit of several meanings, it shall be
understood as bearing that import which is
most adequate to render it effectual. [Art. 1373,
CC]
e. Stipulations Interpreted
Together
The various stipulations of a contract shall be
interpreted together, attributing to the doubtful
ones that sense which may result from all of
them taken jointly. [Art. 1374, CC]
Difference between Art. 1373 and Art. 1374
Art. 1373 Provides that which of the
several meanings of a
stipulation would most
adequately render the contract
effectual would be adopted.
Art. 1374 Provides that the various
stipulations of a contract would
be interpreted together, and
attributing to doubtful
stipulations the sense resulting
from the joint interpretation.
f. Interpretation according to
Nature and Object of Contract
Words which may have different
significations shall be understood in that
which is most in keeping with the nature and
object of the contract. [Art. 1375, CC]
stipulations in a contract shall not favor the
party who caused the obscurity. [Art. 1377, CC]
Interpretation of Contracts of Adhesion
A contract of adhesion is just as binding as
ordinary contracts. Contracts of adhesion are
not invalid per se; they are not entirely
prohibited. The one who adheres to the
contract is in reality free to reject it entirely; if
he adheres, he gives his consent.
While ambiguities in a contract of adhesion
are to be construed against the party that
prepared the same, this rule applies only if
the stipulations in such contract are
obscure or ambiguous. If the terms thereof
are clear and leave no doubt upon the intention
of the contracting parties, the literal meaning of
its stipulations shall control. In the latter case,
there would be no need for construction.
[RCBC v. CA G.R. No. 133107(1999)]
h. Nomenclature not Decisive of
the Character
A contract is what the law defines it to be, and
not what it is called by the contracting parties.
The Title of the contract does not necessarily
determine its nature. [Tolentino]
i. Separability Clause
Another fundamental rule in the interpretation
of contracts is that the terms, clauses and
conditions contrary to law, morals and
public order should be separated from the
valid and legal contract and when such
separation can be made because they are

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

independent of the valid contract. [Kasilag v. 3. Rule 123, Rules of Court

Rodriguez, G.R. No. 46623 (1939)]
Note: This is now found in Secs. 10-19, Rule
Exceptions: 130.
a. Where the statute expressly or by
necessary implication declares the entire
contract void; or Art. 1379, CC. The principles of
b. Where the terms, clauses, and conditions, interpretation stated in Rule 123 of the Rules
by an established connection or by of Court shall likewise be observed in the
manifest intention of the parties, is construction of contracts.
inseparable from the principal obligation,
and is a condition, juridically speaking, of Summary of rules on interpretation [Rule
that the nullity of which it would also 130, ROC]
occasion. [Manresa] 1. Writing is to be interpreted according to its
legal meaning UNLESS parties intended
2. Rules on Doubt [Art. 1378, otherwise. [Sec. 10]
CC] 2. Instrument must be construed to give effect
to all provisions. [Sec. 11]
3. Particular provisions are paramount to
When it is absolutely impossible to settle
general ones when they are inconsistent.
doubts by the rules established in the
[Sec. 12]
preceding articles:
4. The circumstances under which the
instrument was made must be considered.
When doubts are cast The contract shall [Sec. 13]
upon the principal be null and void. 5. The terms of a writing are presumed to
object/s of any have been used in their primary and
contract and it cannot general acceptation unless contrary
be known what may evidence is presented. [Sec. 14]
have been the 6. Written words prevail over printed ones.
intention or will of the [Sec. 15]
parties 7. Experts and interpreters may be used in
explaining language not understood by the
When doubts refer to The least court. [Sec. 16]
the incidental transmission of 8. When conflicting constructions of
circumstances of rights and provisions are equally proper that which is
gratuitous contracts interests shall the most favorable to the party in whose
and it is absolutely prevail. favor the provision was made shall be
impossible to settle accepted. [Sec. 17]
doubts by the rules 9. When an instrument is equally susceptible
of two interpretations, one in favor of
When doubts refer to The doubt shall
natural right and the other against it, the
the incidental be settled in favor
former is to be adopted. [Sec. 18]
circumstances of of the greatest
An instrument may be construed according
onerous contracts and reciprocity of
10.

to usage, in order to determine its true

it is absolutely interests.
character. [Sec. 19]
impossible to settle
doubts by the rules

Page 309 of 532

U.P. LAW BOC OBLIGATIONS AND CONTRACTS
E. DEFECTIVE
CONTRACTS
[Tolentino]
Rescissible A contract that has caused
a particular damage to
one of the parties or to a
third person and which for
EQUITABLE REASONS
may be set aside even if
valid.
Annulable or A contract in which
Voidable CONSENT of one of the
(contrato nulo) parties is defective, either
because of WANT OF
CAPACITY or because it
is VITIATED, but which
contract is VALID until
JUDICIALLY set aside.
Unenforceable A contract that for some
reason CANNOT BE
ENFORCED, UNLESS
RATIFIED in the manner
PROVIDED BY LAW.
Void or A contract which is an
Inexistent ABSOLUTE NULLITY and
produces NO EFFECT, as
if it had never been
executed or entered into.
1. Rescissible contracts
Contracts which are valid until rescinded. All
essential requisites of a contract exist but there
is injury or damage to one of the parties or to
third persons – external or extrinsic defect
consisting of an economic damage or lesion.
[Paras]
a. Rescission
Rescission is a remedy granted by law to the
contracting parties and even to third persons,
to secure reparation for damages caused to
them by a contract, even if this should be
valid, by means of the restoration of things to
Page 310 of 532
CIVIL LAW
their condition at the moment prior to the
celebration of said contract. [Tolentino]
Relief to protect one of the parties or a third
person from all injury and damages which the
contract may cause, to protect some
preferential right [Aquino v. Tañedo, G.R. No.
L-12457 (1919)]
Lesion
The injury which one of the parties suffers by
virtue of a contract which is disadvantageous
for him. To give rise to rescission, the lesion
must be known or could have been known at
the time of making of the contract. [Tolentino]
Lesion does not invalidate a contract except
only in special cases provided by law [Art.
1355, CC]
Subsidiary Remedy
Rescission is not a principal remedy, but a
subsidiary one. It can only be availed of only if
the injured party proves that he has no other
legal means to obtain redress for the damage
caused [Art. 1177, CC]
Necessary Extent
The rescission shall only be to the extent
necessary to cover the damages caused, i.e.
partial rescission. [Art. 1384, CC]
b. Characteristics of Rescissible
Contracts
1. The defect consists in injury or damage
either to one of the contracting parties
or to third persons;
2. Before rescission, they are valid, and
therefore, legally effective;
3. They can only be attacked directly only
and not collaterally;
4. They can be attacked only by a
contracting party or a third person who
is injured or defrauded;
5. They are susceptible of convalidation
only by prescription and not ratification;
and
6. They must be rescinded within four
years, the prescription for actions to
claim rescission [Art.1389, CC].
U.P. LAW BOC OBLIGATIONS AND CONTRACTS
c. Rescissible Contracts and Their
Requisites [Arts. 1381-1383, 1385,
1389, CC]
Art. 1381, CC. The following contracts are
rescissible:
1. Those which are entered into by
guardians whenever the wards whom
they represent suffer lesion by more than
one-fourth of the value of the things
which are the object thereof;
2. Those agreed upon in representation of
absentees, if the latter suffer the lesion
stated in the preceding number;
3. Those undertaken in fraud of creditors
when the latter cannot in any other
manner collect the claims due them;
4. Those which refer to things under
litigation if they have been entered into
by the defendant without the knowledge
and approval of the litigants or of
competent judicial authority;
All other contracts specially declared by law
to be subject to rescission. [Art. 1381, CC]
Requisites for Rescission under Art. 1381
(1) (2), CC
1. Contract was entered into by a guardian in
behalf of his ward or by a legal
representative in behalf of an absentee.
[Arts. 1381 (1) and (2) CC]
Note: A guardian is authorized only to
manage the estate of the ward; should he
dispose a portion thereof without authority
from the court by way of a contract, the
same is unenforceable under Art. 1403(1),
CC, irrespective of whether there is lesion
or not.
2. It was entered into without judicial
approval. [Art. 1386, CC]
3. Ward or absentee suffered lesion of more
than one-fourth of the value of the property
which is the object of the contract. [Art.
1381 (1) and (2), CC]
4. There is no other legal means of obtaining
reparation for the lesion. [Art. 1383, CC]
Page 311 of 532
CIVIL LAW
5. The person bringing the action must be
able to return whatever he may be obliged
to restore. [Art. 1385(1), CC]
6. The object of the contract must not be
legally in the possession of a third person
who did not act in bad faith [Art. 1385(2),
CC]
Note: For Art. 1381 (4), CC: Any disposition of
the thing subject of litigation or any act which
tends to render inutile the court’s impending
disposition in such case without the knowledge
and approval of the litigants or of the court, is
unmistakably and irrefutably indicative of bad
faith.
However, even without knowledge or approval
from the court, the conveyance of a property
subject of litigation may still be valid but is
susceptible for rescission under Art. 1381(4),
CC.
A definitive judicial determination with respect
to the thing subject of litigation is not a
condition sine qua non before the rescissory
action contemplated under Article 1381(4) of
the Civil Code may be instituted. The primordial
purpose of Article 1381(4) of the Civil Code is
to secure the possible effectivity of the
impending judgment by a court with respect to
the thing subject of litigation. [Ada v. Baylon,
G.R. No. 182435 (2012)]
Requisites before a Contract Entered Into in
Fraud of Creditors May Be Rescinded under
Art. 1381 (3):
1. There is a credit existing prior to the
celebration of the contract, although not yet
due or demandable;
2. There is fraud, or at least, the intent to
commit fraud to the prejudice of the creditor
seeking rescission, which may be
presumed or proved [Art 1387, CC];
3. Creditor cannot in any legal manner collect
his credit; insolvency of the debtor is not
required; and
4. The object of the contract must not be
legally in the possession of a third person
who did not act in bad faith.
U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

2. Voidable contracts Private interest Direct influence of the

Voidable or annullable contracts are existent,
valid and binding, although they can be
annulled because of want of capacity or vitiated
consent of one of the parties. [Tolentino]
Art. 1390, CC. The following contracts are
voidable or annullable, even though there
may have been no damage to the
contracting parties:
1. Those where one of the parties is
incapable of giving consent to a contract;
2. Those where the consent is vitiated
by mistake, violence, intimidation, undue
influence or fraud.
These contracts are binding, unless they are
annulled by a proper action in court. They are
susceptible of ratification.
Note: Art. 1390 refers to a “proper action in
court”. The validity of a voidable contract may
only be attacked either by way of a direct action
or by way of defense via a counterclaim, and
not a special or affirmative defense. [Jurado]
a. Characteristics of Voidable
Contracts
• Its defect consists of the vitiation of
consent of one of the contracting parties;
• It is binding until it is annulled;
• It is susceptible of convalidation by
ratification or prescription; once ratified,
they become absolutely valid and can no
longer be annulled [Art. 1392, CC]; and
• Its defect or voidable character cannot be
invoked by third persons.
Rescission Annulment
Merely produces the Declares
inefficacy of the inefficacy which the
contract, which did contract already
not essentially exist carries in itself
in the contract
alone governs public interest is
involved
May be compatible Based on a vice of the
with the perfect contract which
validity of the invalidates it
contract
A remedy A sanction
Equity The law
predominates predominates
May be demanded Can be demanded
by third parties only by parties to the
affected by the contract
contract
b. Who may institute action for
annulment
General Rule: Action for annulment may be
instituted by all who are thereby obliged
principally or subsidiarily.
Exceptions: (1) Persons capable of giving
consent and (2) guilty parties who have caused
the vitiation of consent cannot allege the
incapacity or want of consent of those they
contracted with. [Art. 1397, CC].
Requisites:
1. Plaintiff must have an interest in the
contract;
2. The victim and not the party
responsible for the vice or defect
must assert the same
Exception: If a third person is prejudiced in his
rights with respect to one of the contracting
parties and can show detriment which would
the positively result to him from the contract in
which he has no intervention. [Teves v.
People’s Homesite & Housing Corp., G.R. No.
L-21498 (1968)]

Needs ratification to Requires an act of

be effective ratification to be cured

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

2. Confirmation is effected by the person a. Characteristics

who is entitled to do so under the law;
3. It is effected with knowledge of the 1. Cannot be enforced by a proper action in
vice or defect of the contract; court;
4. Cause of the nullity or defect has 2. Susceptible of ratification;
already disappeared. 3. Cannot be assailed by third persons [Art.
1408, CC]
The right to ratify may be transmitted to the
heirs of the party entitled to such right. It may b. Kinds of Unenforceable
likewise be exercised by the guardian of the
Contracts [Art. 1403, CC]
incapacitated person having such right. [Art.
1394, CC]
1. Unauthorized contracts – those entered
into by one who has no authority or legal
Ratification does not require the conformity of representation, or who has acted beyond
the contracting party who has no right to bring
his powers [par. 1, Art. 1403, CC]
an action for annulment. [Art. 1395, CC]
2. Those which did not comply with the
Statute of Frauds [par. 2, Art. 1403, CC]
Effect of Ratification
3. Those where both parties are incapable of
It extinguishes the action for annulment of a
giving consent to a contract [par. 3, Art.
voidable contract. [Art. 1392, CC] 1403, CC]
It cleanses the contract from all its defects from
the moment it was constituted. [Art. 1396, CC]

LOSS OF THE THING

Loss of thing by Loss of thing by

Plaintiff Defendant

If the loss of the If it is lost through the

object in his defendant’s fault, he
possession is due to is liable for fruits
his fault or fraud, the received, value of the
action for thing at the time it was
annulment of lost, with interest from
contracts shall be the same date. [Art.
extinguished. He 1400, CC]
cannot ask for
annulment. [Art.
14010, CC]

3. Unenforceable contracts
Unenforceable Contracts – contracts that by
reason of statutory defects do not confer any
action to enforce the same until and unless
they are ratified in the manner prescribed by
law [Reyes]

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

SUMMARY OF UNENFORCEABLE CONTRACTS

Contract entered Contracts covered by Statute Contract where both
into without of Frauds parties are incapable of
authority giving consent

Effect on No effect unless ratified. Cannot be enforced by a proper action in court

the
Contract

How to Not by direct action. Not by direct action. Not by direct action.
assail
As a defense, by As a defense, by motion to As a defense, by motion to
motion to dismiss dismiss on the ground that the dismiss the complaint on
the complaint on the contract is unenforceable the ground that the contract
ground that the is unenforceable
contract is Objection to the presentation of
unenforceable oral evidence to prove an oral
contract [see Art. 1405]

Who can By the person By the party against whom the By the party against whom
assail - whose name the contract is being enforced; or the contract is being
cannot be contract was his privies enforced; or his privies; or
assailed by entered into / by parents or guardians, as it
third owner of property is a personal defense
persons
[Art. 1408,
CC]

When When a party asks the court to enforce the contract

How to Cure Ratification by Ratification by party against Ratification of party against

Defect person whose name whom the contract is being
the contract was enforced
entered into
Failure to object to the
presentation of oral evidence to
prove the contract amounts to
waiver [Art. 1405, CC]; makes it
as binding as if written
whom the contract is being
enforced; or his privies; or
parents or guardians
The ratification by one party
converts the contract into a
voidable contract [Art.
1407, CC]

4. Void or inexistent contracts also those which are declared void by positive
provision of law or statute.
Those which, because of certain defects,
generally produce no effect at all. They are
considered as inexistent from its inception or
from the very beginning [de Leon].

Includes not only those contracts in which one

of the essential requisites is totally wanting, but

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

those which are inherent in his person,

Art. 1409, CC. The following contracts are
including therefore, his right to the
inexistent and void from the beginning:
annulment of said contract, even
1. Those whose cause, object or
though such creditors are not affected
purpose is contrary to law, morals,
by the same, except indirectly, in the
good customs, public order or
manner indicated in said legal
public policy;
provision. [Pascual v. Secretary of
2. Those which are absolutely
Public Works, G.R. No. L-10405
simulated or fictitious;
(1960)]
3. Those whose cause or object did not
exist at the time of the transaction;
Void vs. Inexistent Contracts
4. Those whose object is outside the
commerce of men; Void Inexistent
5. Those which contemplate an
impossible service; Those where all the Those where one or
6. Those where the intention of the requisites of a some or all of the
parties relative to the principal object contract are present requisites essential
of the contract cannot be but the cause, for the validity of a
ascertained; object or purpose is contract are
7. Those expressly prohibited or contrary to law, absolutely lacking
declared void by law morals, good
These contracts cannot be ratified. Neither customs, public
can the right to set up the defense of illegality order or public
be waived. policy, or the
contract itself is
prohibited or
a. Characteristics of a Void Contract declared void by
law
1. It does not produce any legal effect;
2. It is not susceptible of ratification; Principle of pari Principle of pari
3. The right to set up the defense of delicto is applicable delicto is inapplicable
inexistence or absolute nullity cannot
be waived or renounced; May produce legal Cannot produce any
4. The action or defense for the effects effect
declaration of their inexistence or
nullity is imprescriptible; [Art. 1410, Covers Art. 1409 Covers Art. 1409 (2)
CC] (1), (3), (4), (5), (6) and (3)
and (7)
Note: This provision does not apply to
wills. [Gallanosa v. Arcangel, G.R. No. Void vs. Voidable Contracts
L-29300 (1978)]
5. The inexistence or absolute nullity of a Void Voidable
contract cannot be invoked by a
person whose interests are not Those where one of Those where all the
directly affected. [Art. 1421, CC] the essential essential requisites
requisites is are present, but
Note: Article 1421 is subject to wanting, either in consent is vitiated by
exceptions. For instance, the creditors fact or in law, or is want of capacity, or by
of a party to an illegal contract may, declared void by error, violence,
under the conditions set forth in Article statute. intimidation, or deceit
1177 of said Code, exercise the rights
and actions of the latter, EXCEPT only

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

General Rules
Void; no contract at Valid until annulled
all Nullity proceeds from the illegality of the
cause or object of the contract, and the act
May be assailed Must be assailed constitutes a criminal offense [Art.
indirectly through an action for 1411, CC]
that purpose by a
party to the contract, 1. Parties shall have no cause of
and never by a third action against each other
person (direct attack) 2. Both parties shall be prosecuted.
3. Things or price of the contract
Nullity may be set- Nullity may only be which are considered as effects or
up against anyone set-up against a party instruments of a crime are forfeited
who asserts a right thereto. in favor of the government.
arising from it.
The act in which the unlawful or forbidden
Not susceptible to May be validly ratified cause consists does not constitute a
ratification criminal offense
[Art. 1412, CC]
Action to declare Action for annulment
nullity does not prescribes When both When only one of the
prescribe [Art. parties are contracting parties is at fault
1410, CC] at fault

Neither may Guilty Party Innocent

b. Divisibility of Contracts
recover Party
what he has
Trigger: A contract has separate provisions of 1. He cannot 1. He may
given by
which only one or more provisions is invalid recover what demand the
virtue of the
contract, or he has given return of
General Rule: if the illegal terms can be by reason of what he has
demand the
separated from the legal ones, the latter may the contract, given
performanc
be enforced [Art. 1420, CC]
e of the
other's 2. He cannot 2. He is
c. In Pari Delicto Principle (in pari undertaking ask for the without any
delicto, non oritur actio) [Art. 1411, fulfillment of obligation to
CC] what has comply with
been his promise.
Parties to a void agreement cannot expect the promised
aid of the law; the courts leave them as they him.
are, because they are deemed in pari delicto or
"in equal fault." [Menchavez v. Tevez, G.R. No.
Exceptions to the Principle of In Pari
153201 (2005)].
Delicto:
1. Payment of usurious interest paid in
excess of the interest may be recovered by
the debtor. [Art. 1413, CC]
2. Payment of money or delivery of property
for an illegal purpose, where the party who
paid or delivered repudiates the contract
before the purpose has been
accomplished, or before any damage has
been caused to a third person. May allow

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

the repudiating party to recover money or 3. if public policy is enhanced thereby.

property. [Art. 1414, CC] [See Hulst v. PR [Acabal v. Acabal, G.R. No. 148376
Builders Inc., G.R. No. 156364 (2007)] (2005)]
3. Payment of money or delivery of property
made by an incapacitated person. It is not d. Void contract cannot be novated
necessary that the illegal purpose has not [Art 1422, CC]
been accomplished, or no damage has yet
been caused. [Art. 1415, CC] A contact which is a direct result of a previous
4. Agreement or contract not illegal per se but illegal contract is also void and inexistent. This
merely prohibited by law, and the is based on requisites of a valid novation [Art
prohibition is designed for the plaintiff’s 1298, CC].
protection. Plaintiff may recover as
allowing recovery enhances public policy.
[Art. 1416, CC]
5. Distinguish: resolution and
5. Note: When the assailed contracts are void rescission of contracts
ab initio, Art. 1416 cannot be applied, as in
the case of aliens purchasing property Tolentino notes that Article 1191 is taken from
despite knowing fully well the constitutional Article 1124 of the Old Civil Code, but the
prohibition against foreigners owning land present Code uses the term “rescission”
in the Philippines at the time of purchase. instead of the original “resolution” in the old
[Frenzel v. Catito, G.R. No. 143958 (2003)] Code. Nevertheless, the Code uses the terms
6. Payment of any amount in excess of the synonymously.
maximum price of any article or commodity
fixed by law [Art. 1417, CC] Definition
7. Contract whereby a laborer undertakes to
Rescission Resolution
work longer than the maximum number of
hours fixed by law [Art. 1418, CC] A subsidiary action As referred to in
8. Contract whereby a laborer accepts a based on injury to Article 1191, the
wage lower than the minimum wage fixed the plaintiff’s action is based on
by law. He may recover the deficiency with economic interests the defendant’s
legal interest, and the employer shall be as described in breach of faith, a
criminally liable [Art. 1419, CC] Articles 1380 and violation of the
9. In case of divisible contracts, the legal 1381. reciprocity between
portions/terms may be enforced separately the parties.
from the illegal portions/terms [Art. 1420,
CC]; and [Heirs of Sofia Quirong v. Development Bank
10. One who lost in gambling because of of the Philippines, G.R. No. 173441, December
fraudulent schemes practiced on him. He is 3, 2009]
allowed to recover his losses [Art.
315(3)(b)] even if gambling is prohibited Similarities According to Tolentino:
1. Both presuppose contracts validly entered
The principle of in pari delicto admits of an into and existing (this distinguishes
exception under Art. 1416 of the Civil Code. rescission from annulment, in which there
Under this article, recovery for what has been is a defect which vitiates the contract)
paid or delivered pursuant to an inexistent 2. Both require mutual restitution when
contract is allowed only when the following declared proper.
requisites are met:
1. the contract is not illegal per se but
merely prohibited;
2. the prohibition is for the protection of
the plaintiffs; and

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

Special Case something in existence already

If the sale involves the conjugal property of belonging to the seller, and the title will
spouses, consent must be given by both. vest in the buyer the moment the thing
comes into existence. [Sibal v. Valdez,
2. Object certain which is the subject G.R. No. L-26278 (1927)]
matter of the contract
Sale of Things Having Potential
The things must be licit and the vendor must Existence
have a right to transfer the ownership thereof Emptio Rei Emptio Rei Spei
at the time it is delivered [Art. 1459]. Speratei Mere Hope Vain Hope
Sale of a Sale of a Sale of a
Requisites of a Valid Subject Matter [Arts. thing MERE HOPE VAIN HOPE
1459-1465, CC] expected or or or
a. Must be licit future thing expectancy expectancy
• Within the commerce of man General rule: Exception:
• When right is not intransmissible [Art. Valid
Valid Void
1347, CC] Example:
• It does not contemplate a future Example:
Sale of the Example:
inheritance, unless expressly Sale of a
grain a field Sale of a valid
authorized by law fake lottery
may grow in lottery ticket
• Example of illicit things per se (of its ticket
a given time
nature) and per accidens (due to Deals with a
provisions of law future thing Deals with a thing that
o Sale of animals if the use or that is currently exists – the hope or
service for which they are currently not expectancy
acquired has been stated in the in existence
contract, and they are found to Subject to
be unfit therefor [Art. 1575, CC] Not subject to any condition;
the condition
o Sale of animals suffering from The contract comes into
that the thing
contagious diseases [Art. existence immediately
will exist
1575, CC] Future thing
o Sale of future inheritance is is certain as
void [Art. 1347, CC] to itself, but
Sale of land in violation of uncertain as
Constitutional prohibition to quantity
against the transfer of lands to and quality
aliens. [Art. XII of Constitution] In case of doubt, the presumption is in favor
of emptio rei speratae since it is more in
b. Existing, Future, Contingent keeping with the commutative character of
• Existing goods owned or possessed by the contract.
the seller;
• Goods to be manufactured, raised, OR c. Determinate or Determinable
acquired by the seller – “Future Goods” Determinate
[Art. 1462, CC] When it is particularly designated or physically
• Things having potential existence may segregated from all others of the same class.
be the object of a contract of sale [Art. [Art. 1460, CC]
1461, CC]. A sale may be made of a
thing which, though not yet actually in Determinable
existence is reasonably certain to When it is capable of being made determinate
come into existence as the natural at the time the contract was entered into
increment or usual incident of

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
d. In principle, however, natural obligations
cannot be guaranteed. The guaranty
changes the character of obligation. The
debtor impliedly accepts coercive remedies
to enforce the guaranty, and the
transformation into civil. [Tolentino]
e. Payment of a natural obligation is not
subject to reduction by reason of
inofficiousness, appearance of children or
ingratitude.
Examples Of Natural
Obligations
1. Performance after prescription
Art. 1424, CC. When a right to sue upon a
civil obligation has lapsed by extinctive
prescription, the obligor who voluntarily
performs the contract cannot recover what
he has delivered or the value of the service
he has rendered.
Requisites under Art. 1424 (Prescribed Civil
Obligation – Obligor)
a. There is a civil obligation
b. The right to sue upon it has already
lapsed by extinctive prescription
c. Obligor performs contract voluntarily
Consequence: Obligor cannot recover what
he has delivered or value of the service he
rendered. Obligee gains the right to retain what
has been paid.
Art. 1425, CC. When without the
knowledge or against the will of the
debtor, a third person pays a debt which
the obligor is not legally bound to pay
because the action thereon has prescribed,
but the debtor later voluntarily reimburses
the third person, the obligor cannot recover
what he has paid.
Requisites under Art. 1425 (Prescribed Civil
Obligation – Payment to 3rd Person)
a. There is a debt
b. Action upon the debt has prescribed
Page 322 of 532
CIVIL LAW
c. A third person, without the knowledge
or against the will of the debtor, pays
the debt
d. Debtor voluntarily reimburses the third
person
Consequence: Obligor cannot recover what
he has paid.
2. Contract Made by a Minor
Art. 1426, CC. When a minor between
eighteen and twenty-one years of age who
has entered into a contract without the
consent of the parent or guardian, after
the annulment of the contract voluntarily
returns the whole thing or price received,
notwithstanding the fact that he has not been
benefited thereby, there is no right to
demand the thing or price thus returned.
Requisites under Art. 1426 (Voluntary Return
of Payment – Minor between 18 and 21)
a. There is a civil obligation
b. Minor between 18 and 21 entered into
the contract without consent of parent
or guardian
c. Obligation is annulled after minor has
received the price or whole thing
d. Minor returns whole thing or price
received voluntarily
Consequence: There is no right to demand
the thing or price returned.
Art. 1427. When a minor between
eighteen and twenty-one years of age, who
has entered into a contract without the
consent of the parent or guardian,
voluntarily pays a sum of money or
delivers a fungible thing in fulfillment of
the obligation, there shall be no right to
recover the same from the obligee who
has spent or consumed it in good faith.
Requisites under Art 1427 (Voluntary
Payment – Minor between 18 and 21)
a. There is a civil obligation
b. Minor between 18 and 21 entered into
the contract without consent of parent
or guardian
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

The stipulation in a contract of sale which 3. Generally, the reasonable price is the
states that the consideration is “PhP1 and market price at the time and place fixed by
other valuable considerations” does not make the contract or by law for delivery of goods.
the contract void. Gross inadequacy of price
does not affect the contract of sale except that e. False price vs. simulated price
it may indicate a defect in consent. [Bagnas v. False Price Simulated Price
CA, G.R. No. L-38498 (1989)] Price stated in the
Price stated in the
contract is not
contract is not the
General Rule: Does not affect a contract of intended to be paid.
true price. Parties
sale’s validity. [Art. 1470, CC] Parties never
intended to be
intended to be
bound.
Exceptions: bound.
a. In Voluntary sales Effect: Void for lack
• Where low price indicates a vice of Effect: Binds the of
consent, sale may be annulled. parties to their real cause/consideration,
• Where price is so low to be shocking to the agreement when it but can be shown as
conscience (fraud, mistake, undue does not prejudice a donation or some
influence), then sale may be set aside 3rd persons and is other contract.
• Where price is simulated such as when the not intended for any Parties may recover
real intention was a donation or some other purpose contrary to from each other
contract. law, morals, public what they may have
• Where the parties did not intend to be policy, etc. given under the
bound at all, sale is void. contract.

b. In Involuntary sales f. Earnest money vs. option money

• A judicial or execution sale is one made by Earnest Money – paid in advance of the
a court with respect to the property of a purchase price agreed upon by the parties in a
debtor for the satisfaction of his contract of sale, given by the buyer to the
indebtedness. seller, to bind the latter to the bargain
• Rescissible contracts of sale - Inadequacy
of price is a ground for rescission of Option Money Earnest Money
conventional sale under Art. 1381 (a) and Separate and distinct
(b), CC. Part of purchase
consideration from the
price [Art. 1482, CC]
purchase price
d. When no price agreed Given only when
1. Sale is inefficacious [Art. 1474, CC] Given when sale is not
there is already a
2. But if the thing or part thereof has been yet perfected
sale
delivered and appropriated by the buyer, When given, the
he must pay a reasonable price therefore would-be-buyer is not
• What is a reasonable price is a required to buy, but
When given, the
question of fact dependent on the buyer is bound to pay
may even forfeit it
circumstances of each particular case. the balance
depending on the
[Art. 1474, CC] terms of the option
• The reasonableness of a price may be Grantee of option is
determined on the basis of a still undecided Buyer manifests his
company’s balance sheet showing the whether or not to buy earnest desire to buy
book value or fair market value of its or sell the property the property
shares. [Philippine Free Press v. CA, [Baviera]
G.R. No. 132864 (2005)] [Limson v. CA, G.R. No. 135929 (2001)]

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS CIVIL LAW

c. Minor pays a sum of money or delivers

a fungible thing voluntarily 4. Payment beyond Inheritance
d. Obligee spends the money or
Art. 1429, CC. When a testate or intestate
consumes the thing in good faith
heir voluntarily pays a debt of the
decedent exceeding the value of the
Consequence: There is no right to recover the
property which he received by will or by the
money paid or thing delivered.
law of intestacy from the estate of the
deceased, the payment is valid and cannot
It is not the voluntary payment that prevents
be rescinded by the payer.
recovery, but the consumption or spending of
the thing or money in good faith.
Requisites under Art 1429 (Payment made
Arts. 1426 and 1427, CC, distinguished by Heir)
Art. 1426 Art. 1427 a. Decedent incurred in debt during his
lifetime
Presupposes a prior No prior annulment b. Heir voluntarily pays debt
annulment is involved c. Value of debt exceeds value of heir’s
inheritance
Refers to any object Refers to money or
fungible things Consequence: Payment is valid and heir
cannot rescind it.
Consumption in good Requires
faith is not required consumption in good 5. Payment of a Void Legacy
faith
Art. 1430, CC. When a will is declared void
because it has not been executed in
3. Performance by Winning Party accordance with the formalities required
by law, but one of the intestate heirs, after
Art. 1428, CC. When, after an action to
the settlement of the debts of the deceased,
enforce a civil obligation has failed the
pays a legacy in compliance with a clause
defendant voluntarily performs the
in the defective will, the payment is
obligation, he cannot demand the return of
effective and irrevocable.
what he has delivered or the payment of the
value of the service he has rendered.
Requisites under Art 1430 (Payment of
legacy – Will declared Void)
Requisites under Art 1428 (Payment by
a. There is a will providing for a legacy
Defendant notwithstanding failed action)
b. The will is declared void because it was
a. There is a civil obligation
not executed in accordance with the
b. An action to enforce such has failed
formalities required by law
c. Defendant voluntarily performs the
c. Heir pays legacy in compliance with a
obligation
clause in the defective will
Consequence: Defendant cannot demand
Consequence: Payment is effective and
return of what he has delivered or the payment
irrevocable.
of the value of the service.

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U.P. LAW BOC OBLIGATIONS AND CONTRACTS
Effect: The person cannot set up his own
title as against the buyer or grantee.
c. Title of the lessee or bailee against the
lessor or bailor [Art. 1436, CC].
Requisites:
a. There exists a lessor-lessee
relationship
Effect: The lessee or bailee is estopped
from asserting title to the thing leased or
received.
d. Contract between third persons concerning
immovable property where one of them is
misled by a person with respect to the
ownership or real right over the real estate.
[Art. 1437, CC]
Requisites:
a. There must be fraudulent
representation or wrongful
concealment of facts known to the
party estopped;
b. The party precluded must intend
that the other should act upon the
facts as misrepresented;
c. The party misled must have been
unaware of the true facts; and
d. The party defrauded must have
acted in accordance with the
misrepresentation
Effect: The guilty party is precluded from
asserting his legal title or interest therein,
provided all these requisites are present.
e. One who has allowed another to assume
apparent ownership of personal property
for the purpose of making any transfer of it,
cannot, if he received the sum for which a
pledge has been constituted, set up his
own title to defeat the pledge of the
property, made by the other to a pledgee
who received the same in good faith and
for value [Art. 1438, CC].
Page 325 of 532
CIVIL LAW
E. LACHES
Laches is defined as the failure or neglect for
an unreasonable and unexplained length of
time to do that which, by exercising due
diligence, could or should have been done
earlier; it is negligence or omission to assert a
right within a reasonable time, warranting a
presumption that the party entitled to assert
it either has abandoned it or declined to
assert it. [Pangasinan v. Disonglo-Almazora,
G.R. No. 200558 (2015)]
Elements [Pangasinan v. Disonglo-Almazora,
G.R. No. G.R. No. 200558 (2015)]
a. Conduct on the part of the defendant, or
of one under whom he claims, giving rise to
the situation of which complaint is made
for which the complaint seeks a remedy;
b. Delay in asserting the complainant’s
rights, the complainant having had
knowledge or notice, of the defendant’s
conduct and having been afforded an
opportunity to institute a suit;
c. Lack of knowledge or notice on the part
of the defendant that the complainant
would assert the right on which he bases
his suit; and
d. Injury or prejudice to the defendant in the
event relief is accorded to the complainant,
or the suit is not held to be barred.
Prescription Laches
Concerned with the Concerned with the
fact of delay effect of delay
Question of inequity of
Question or matter
permitting the claim to
of time
be enforced
Statutory Not statutory
Applies in law Applies in equity
Cannot be availed of
unless it is Being a defense in
specifically pleaded equity, it need not be
as an affirmative specifically pleaded
allegation
Based on a fixed Not based on a fixed
time time
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

Contract of Sale Contract to sell

A. SALES Ownership is Ownership is only
transferred upon transferred upon full
delivery payment of price
1. General provisions Full payment is a
positive suspensive
Non-payment is a
Definition condition; hence non-
resolutory
payment would not give
condition
Contract of Sale rise to the obligation to
Article 1458, CC: By the contract of sale transfer ownership
one of the contracting parties obligates
himself to transfer the ownership and to Conditional
Contract to sell
deliver a determinate thing, and the other to Contract of Sale
pay therefor a price certain in money or its Sale is already
No perfected sale yet
equivalent. perfected
A subsequent buyer A subsequent buyer
Contract to Sell is presumed to be a is presumed to be a
Article 1478, CC: The parties may stipulate buyer in bad faith buyer in good faith
that ownership in the thing shall not pass to
the purchaser until he has fully paid the price
Essential requisites [Art. 1318,
Conditional Contract of Sale
CC]
Article 1461, CC: Things having a potential
1. Consent of contracting parties
existence may be the object of the contract
of sale.
Consent refers to seller’s consent to transfer
ownership of, and deliver, a determinate thing,
The efficacy of the sale of a mere hope or
and to buyer’s consent to pay the price certain.
expectancy is deemed subject to the
condition that the thing will come into
Being a consensual contract, the contract of
existence.
sale is perfected at the moment there is a
“meeting of the minds” upon the thing which is
The sale of a vain hope or expectancy is
the object of the contract and upon the
void.
price. [Art. 1475, CC]
Article 1462, CC: The goods which form the
Can there be sales without consent?
subject of a contract of sale may be either
1. Expropriation [Art. 1488, CC]
existing goods, owned or possessed by the
2. Ordinary Execution Sale [Rule 39, Sec. 15,
seller, or goods to be manufactured, raised,
Rules of Court]
or acquired by the seller after the perfection
3. Judicial Foreclosure Sale [Rule 68, Rules
of the contract of sale, in this Title called
of Court], and
“future goods.”
4. Extra-Judicial Foreclosure Sale [Act. 3135,
as amended]
There may be a contact of sale of goods,
whose acquisition by the seller depends
upon a contingency which may or may not
happen.

Article 1465, CC: Things subject to a

resolutory condition may be the object of the
contract of sale.

Page 327 of 532

U.P. LAW BOC SPECIAL CONTRACTS
Sale by husband in favor of a concubine after
he had abandoned his family and left conjugal
home where his wife and children lived and
from whence they derived their support, is void.
[Ching v. Goyanko, Jr., G.R. No. 165879
(2006)]
Reason for this rule: Such prohibition is for
the protection of third persons who, relying
upon supposed property of either spouse,
enters into a contract with either of them only
to find out that the property relied upon was
transferred to the other spouse. [De Leon]
2. Alienage [Art. 39, CC]
General Rule: Aliens are disqualified from
purchasing or acquiring real property.
Exception: If acquisition is through hereditary
succession
3. Trusteeship [Art. 39, CC]
3. Special disqualifications
Such is grounded on public policy
considerations which disallow the transactions
entered into by them (directly or indirectly) in
view of the fiduciary relationship involved or
the peculiar control exercised by these
individuals over the properties or rights
covered. [Mananquil v. Villegas (1990)]
1. Agents – Cannot purchase or acquire
property whose administration or sale was
entrusted to them, except if principal gives
consent
2. Guardian – Cannot purchase property of
person under his guardianship
3. Executors and administrators –Cannot
acquire or purchase property of estate
under their administration.
The prohibition on executors and
administrators does not apply if the
principal consents to the sale. [Distajo v.
CA, G.R. No. 112954 (2000)]
4. Public officers and employees - Cannot
acquire or purchase property of State/any
of its subdivisions, GOCC or
administration, the administration of which
Page 334 of 532
CIVIL LAW
was entrusted to them. Prohibition includes
judges and government experts who, in
any manner, take part in the sale.
5. Lawyers - Cannot acquire or purchase
property or rights in litigation in which they
take part by virtue of their profession
For the prohibition to operate, the sale or
assignment must take place during the
pendency of the litigation involving the
property. [Laig v. Court of Appeals (1991)]
Exceptions: An assignment to a lawyer by
his client of an interest in the property does
not violate Art 1491, where:
a. A judgment has been rendered and
has become final; and
b. In case of contingency fee
arrangements: the interest of the
lawyer may be annotated as an
adverse claim on the property
awarded to his client [Director of
Lands v. Ababa, G.R. No. L-26096
(1979)]
6. Justices, Judges, prosecuting
attorneys, clerks and other officers and
employees connected with the
administration of justice - Cannot
acquire or purchase property or rights in
litigation or levied upon on execution
before the court within whose jurisdiction or
territory they exercise their respective
functions.
7. Others specially disqualified by law
i. Unpaid sellers with goods in transit
from buying the goods
ii. Officer conducting the execution
sale of deputies
iii. Aliens who are disqualified to
purchase private agricultural lands
b. Effects of incapacity
1. Absolute incapacity
If both parties are incapacitated:
unenforceable [Art. 1403 (3), CC].
U.P. LAW BOC SPECIAL CONTRACTS
If only 1 party is incapacitated: voidable.
Exception: Where necessaries are sold and
delivered to a minor or to a person without
capacity to act, he must pay a reasonable price
therefor. [Art. 1489, par. 2, CC] The resulting
sale therefore described in the foregoing article
is valid and binding.
2. Relative incapacity
Sale between spouses is void.
Rationale:
1. To protect 3rd persons who may have
contracted with the spouse
2. To avoid undue advantage of the dominant
spouse over the weaker spouse.
3. To avoid circumvention of the prohibition
against donations between spouses.
[Medina v. CIR, G.R. No. L-15113 (1961)]
Such prohibition shall likewise apply to
common law spouses. [Calimlim-Canulas v.
Fortun, G.R. No. L-57499 (1984)]
But if already sold to a third person who relied
on the title of his immediate seller,
reconveyance to the seller spouse is no longer
available [Cruz v. CA, G.R. No. 120122 (1997)]
Sale contracted by aliens is void [Art. XII of the
Constitution]
3. Specific incapacity
General rule: Contracts expressly prohibited
by law are VOID and CANNOT BE RATIFIED.
Neither can the right to set-up the defense of
illegality be waived. [Art. 1409 (7), CC]
Those entered into by public
officers/employees, justices and judges, and
lawyers in violation of Art. 1491 are inexistent
and VOID from the beginning. [Rubias v.
Batiller, supra]. It is NOT subject to
RATIFICATION.
Exception: Sales entered into by guardians,
administrators, and agents (specific
incapacities) in violation of Art. 1491 may be
Page 335 of 532
CIVIL LAW
RATIFIED by means of and in the form of a
new contract when the cause of nullity has
ceased to exist. Ratification is valid only from
date of execution of the new contract and does
not retroact.
3. Obligations of the Vendor
(Note: Further discussion can also be found in
Section J of this Sales Reviewer, on the
Performance of the Contract.)
Obligations of the Vendor in
General
1. To transfer ownership of the thing [Art.
1495, CC]
2. To deliver the thing, with its accessions and
accessories, if any [Arts. 1164, 1166, CC]
3. To warrant against eviction and against
hidden defects [Arts. 1545-1581, CC]
4. To take care of the thing, pending delivery,
with proper diligence [Art. 1163, CC]
5. To pay for the expenses of the deed of sale
[Art. 1487, CC]
(1) To Transfer Ownership of the
Thing and To Deliver the
Thing, with its Accessions
and Accessories
i. When Seller is Not the Owner
General Rule: Ownership is not acquired by
the buyer. One cannot give what one does not
have. [Art. 1505, CC]
Exceptions:
a. Seller has a right to transfer ownership.
Seller need not be the owner of the thing at
the time of perfection of the contract. It is
sufficient that the seller has a right to
transfer ownership thereof at the time it is
delivered. [Art. 1459, CC]
One who sells something he does not own
yet is bound by the sale when he acquires
the thing later. [Bucton v. Gabar, G.R. No.
L-36359 (1974)]
U.P. LAW BOC SPECIAL CONTRACTS
without the necessity of a new or further
agreement between the parties. [Art. 1460, CC]
Failure to state the exact location of the land
does not make the subject matter
indeterminate, so long as it can be located.
[Camacho v. CA, G.R. No. 127520 (2007)]
3. Cause of the obligation which is
established
This refers to the “price certain in money or its
equivalent” [Art. 1458]. It does not include
goods or merchandise although they have their
own value in money.
However, the words “its equivalent” have been
interpreted to mean that payment need not be
in money, so that there can be a sale where the
thing given as token of payment has “been
assessed and evaluated and [its] price
equivalent in terms of money [has] been
determined.” [De Leon]
a. Requisites of a valid price
1. Certain or ascertainable at the time of
perfection
2. In money or its equivalent
• If price is partly in money and partly
in another thing: determine
manifest intention of the parties to
see whether it was barter or sale.
[Art. 1468, CC]
• If intention does not clearly appear,
it shall be considered a barter if the
value of the thing exceed the
amount of money or its equivalent.
[Art. 1468, CC]
3. Real
• When buyer has an intention to pay
and the seller has an expectation to
receive the price
• If simulated: Sale is VOID; BUT act
may be shown to have been a
donation or some other act or
contract. [Art. 1471, CC]
• If Price is false – when the real
consideration is not the price stated
in the contract:
o Sale is void
Page 329 of 532
CIVIL LAW
o UNLESS proved to be
founded on another true
and lawful price [Art. 1353,
CC]
b. How price is determined/when certain
1. Fixed by agreement of the parties and
cannot be left to the discretion of one of
the parties – BUT if such is accepted by
the other, sale is perfected. [Art. 1473,
CC]
2. Determination is left to the judgment of
a specified person.
General Rule: Price fixed by 3rd persons
designated by the parties is binding upon them
Exceptions:
• If 3rd person is unable or unwilling: Sale is
inefficacious unless parties subsequently
agree about the price.
• If 3rd person fixed the price in bad faith/by
mistake: Courts may fix price (but mere
error in judgment cannot serve as basis for
impugning price fixed)
• If 3rd person is prevented from fixing price
by fault of seller or buyer: Innocent party
may avail of remedies (rescission or
fulfillment of obligation, with damages)
• If 3rd person disregards specific
instructions/data/procedure, thereby fixing
an arbitrary price
• The price is made in reference to another
thing, or when the price fixed is the price of
the commodity on a definite day, or in a
particular exchange or market, or when the
amount fixed is above or below the price on
such day, exchange or market. [Art. 1472,
CC]
General Rule: When the price is not certain,
the contract is without effect and no obligation
arises from it.
Exception: When the thing is already
delivered, the buyer must pay a reasonable
price therefor. This exception only arises when
the means contemplated by the parties for
fixing the price have become ineffectual.
c. Inadequacy of price
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

The stipulation in a contract of sale which 3. Generally, the reasonable price is the
states that the consideration is “PhP1 and market price at the time and place fixed by
other valuable considerations” does not make the contract or by law for delivery of goods.
the contract void. Gross inadequacy of price
does not affect the contract of sale except that e. False price vs. simulated price
it may indicate a defect in consent. [Bagnas v. False Price Simulated Price
CA, G.R. No. L-38498 (1989)] Price stated in the
Price stated in the
contract is not
contract is not the
General Rule: Does not affect a contract of intended to be paid.
true price. Parties
sale’s validity. [Art. 1470, CC] Parties never
intended to be
intended to be
bound.
Exceptions: bound.
a. In Voluntary sales Effect: Void for lack
• Where low price indicates a vice of Effect: Binds the of
consent, sale may be annulled. parties to their real cause/consideration,
• Where price is so low to be shocking to the agreement when it but can be shown as
conscience (fraud, mistake, undue does not prejudice a donation or some
influence), then sale may be set aside 3rd persons and is other contract.
• Where price is simulated such as when the not intended for any Parties may recover
real intention was a donation or some other purpose contrary to from each other
contract. law, morals, public what they may have
• Where the parties did not intend to be policy, etc. given under the
bound at all, sale is void. contract.

b. In Involuntary sales f. Earnest money vs. option money

• A judicial or execution sale is one made by Earnest Money – paid in advance of the
a court with respect to the property of a purchase price agreed upon by the parties in a
debtor for the satisfaction of his contract of sale, given by the buyer to the
indebtedness. seller, to bind the latter to the bargain
• Rescissible contracts of sale - Inadequacy
of price is a ground for rescission of Option Money Earnest Money
conventional sale under Art. 1381 (a) and Separate and distinct
(b), CC. Part of purchase
consideration from the
price [Art. 1482, CC]
purchase price
d. When no price agreed Given only when
1. Sale is inefficacious [Art. 1474, CC] Given when sale is not
there is already a
2. But if the thing or part thereof has been yet perfected
sale
delivered and appropriated by the buyer, When given, the
he must pay a reasonable price therefore would-be-buyer is not
• What is a reasonable price is a required to buy, but
When given, the
question of fact dependent on the buyer is bound to pay
may even forfeit it
circumstances of each particular case. the balance
depending on the
[Art. 1474, CC] terms of the option
• The reasonableness of a price may be Grantee of option is
determined on the basis of a still undecided Buyer manifests his
company’s balance sheet showing the whether or not to buy earnest desire to buy
book value or fair market value of its or sell the property the property
shares. [Philippine Free Press v. CA, [Baviera]
G.R. No. 132864 (2005)] [Limson v. CA, G.R. No. 135929 (2001)]

Page 330 of 532

U.P. LAW BOC SPECIAL CONTRACTS
Perfection
1. Offer
The offer must be certain and the acceptance
absolute. [Art. 1319, CC]
The person making the offer may fix the time,
place, and manner of acceptance, all of which
must be complied with. [Art. 1321, CC]
An offer becomes ineffective upon the death,
civil interdiction, insanity, or insolvency of
either party before acceptance is conveyed.
[Art. 1323, CC]
When the offerer has allowed the offeree a
certain period to accept, the offer may be
withdrawn at any time before acceptance by
communicating such withdrawal, except when
the option is founded upon a consideration, as
something paid or promised. [Art. 1324, CC]
Unless it appears otherwise, business
advertisements of things for sale are not
definite offers, but mere invitations to make an
offer. [Art. 1325, CC]
2. Option contracts
Option
An accepted unilateral promise to buy or to sell
a determinate thing for a price certain is binding
upon the promissor if the promise is supported
by a consideration distinct from the price. [Art.
1479(2), CC; De Leon]
Separate Consideration
A consideration for an optional contract is just
as important as the consideration for any other
kind of contract. If there was no consideration
for the contract of option, then it cannot be
enforced any more than any other contract
where no consideration exists. [Enriquez dela
Cavada v. Diaz, G.R. No. 11668 (1918)]
The option is not the contract of sale itself. The
optionee has the right, but not the obligation, to
buy. Once the option is exercised timely, i.e.,
the offer is accepted before a breach of the
option, a bilateral promise to sell and to buy
Page 331 of 532
CIVIL LAW
ensues and both parties are then reciprocally
bound to comply with their respective
undertakings. [Ang Yu v. CA, G.R. No. 109125
(1994)]
The offeror is still free and has the right to
withdraw the offer:
• If the period is not itself founded upon or
supported by a consideration and
withdrawn before its acceptance,
• If an acceptance has been made, before
the offeror's coming to know of such fact,
by communicating that withdrawal to the
offeree.
Breach of contract
It will be a breach of contract when the offer
was withdrawn during the agreed period if the
period has separate consideration since the
contract of “option is deemed perfected.”
3. Right of first refusal
While the object might be made determinate,
the exercise of the right, however, would be
dependent not only on the grantor's eventual
intention to enter into a binding juridical relation
with another but also on terms, including the
price, that obviously are yet to be later firmed
up.
Even on the premise that such right of first
refusal has been decreed under a final
judgment, like here, its breach cannot justify
correspondingly an issuance of a writ of
execution under a judgment that merely
recognizes its existence, nor would it sanction
an action for specific performance without
thereby negating the indispensable element of
consensuality in the perfection of contracts.
[Ang Yu v. CA, G.R. No. 109125 (1994)]
4. Mutual promise to buy and sell
The obligation is not to enter into a sale, but
rather to negotiate in good faith for the
possibility of entering into a sale. When the
promissor has in fact negotiated in good faith,
but the parties’ minds could not meet on the
price and the terms of payment, then promissor
has complied with his obligation [Villanueva].
U.P. LAW BOC SPECIAL CONTRACTS
transferred to the possession of the buyer at
the time of sale. [Art. 1499, CC]
Example: Seller points to the property without
actually transferring physical possession
thereof.
Delivery by mere agreement; seller points out
to the buyer the property without need of
actually delivering (as when the thing sold
cannot be transferred to the possession of the
vendee at the time of sale). Delivery takes
place when the thing is placed in the sight of
the purchaser so that he can take possession
of it at pleasure. With regard to movable
property, its delivery may also be made by the
delivery of the keys of the place or depository
where it is stored or kept.
When an employer assigned all its rights and
title to all surplus property salvaged by the
contractor, traditio longa manu takes place.
Delivery is upon the moment a thing is
salvaged. [Board of Liquidators v. Floro, G.R.
No. L-15155 (1960)]
d. Traditio Brevi Manu (Short Hand)
Delivery of movable property by mere consent
or agreement, if the buyer already had it in his
possession for any other reason. [Art. 1499,
CC]
Happens when the already has possession of
the thing sold before the sale by virtue of
another title (as lessee, borrower, depositary,
etc.)
e. Traditio Constitutum Possessorium
Seller continues to be in possession of the
property sold not as owner but in some other
capacity, like as tenant or lessee.
At the time of perfection, the seller held
possession of the subject matter in the concept
of owner, and pursuant to the contract, the
seller continues to hold physical possession
thereof as lessee or other form of possession
other than the concept of owner.
Page 339 of 532
CIVIL LAW
For example, a seller remains in possession of
the property sold, by virtue of a lease
agreement with the vendee, at the time of the
perfection of the contract of sale.
Vendee became, as lessor, the legal
possessor while the vendor is in material
possession of the property in the name and
representation of the vendee.
Seller continues to be in possession of the
property sold
f. Quasi-traditio
Mode of delivery of incorporeal things or rights.
Delivery is effected:
● By execution of public instrument
● When such is not applicable, by placing
the titles of ownership in the
possession of the buyer
● By allowing the buyer to use his rights
as new owner with the consent of the
seller
g. Delivery to a Common Carrier
General Rule: Delivery to the courier or carrier
is tantamount to delivery to buyer, whether
carrier is named by buyer or not. The buyer
assumes the risk of loss.
Exceptions
1. Seller reserved title through the form of the
bill of lading, with intent to remain the
owner, not merely for the purpose of
securing payment, OR
2. Contrary intention appears in the contract
(i.e. seller is required to deliver goods to
buyer at the point of destination)
3. Delivery by the seller is in breach of the
contract
4. F.O.B. (Free on Board or Freight on Board)
- When seller bears the expenses of
transportation up to the F.O.B. point.
5. C.I.F. (Cost, Insurance, Freight) - Price
quoted includes the costs of the goods,
insurance, and freight charges on the
goods up to the point of destination.
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

BARTER = where the value of the thing given

Contract of sale distinguished as part of the consideration exceeds the
amount of money given or its equivalent
1. Donation
SALE = where the value of the thing given as
Sale Donation part of the consideration equals or is less than
Onerous Gratuitous the amount of money given
Requires consent and
must comply with the 3. Contract for a piece of work
Perfected by mere
formalities required by
consent Contract for a
law for its validity. [Art. Sale
745, CC] Piece of Work
The property sold Goods are
Goods are
is replaced by the Requires that there be manufactured or
manufactured for
equivalent a diminution of the procured in the
customer upon his
monetary estate of one party ordinary course of
special order
consideration; (donor) and the business
there is no enrichment of the other For the general
For a specific
diminution of the party’s estate (donee) market, whether on
customer
seller’s estate hand or not
Governed by Statute Not within Statute of
When the price of the contract of sale is of Frauds Frauds
simulated, the sale may be void but the act may
be shown to have been in reality a donation or When each product or system executed is
some other contract. [Art. 1471, CC] always UNIQUE and could not mass-produce
the product because of its very nature, such is
The donee must accept the donation a contract for a piece of work. [Commissioner
personally, or through an authorized person v. Engineering Equipment and Supply Co.,
with a special power for the purpose, or with a G.R. No. L-27044 (1975)]
general and sufficient power; otherwise, the
donation shall be void. [Art. 745, CC] 4. Dacion en pago

2. Barter Sale Dacion en pago

No pre-existing debt Pre-existing debt
Sale Barter Extinguishes the
Consideration is price in Consideration is Creates an obligation obligation (mode of
money or its equivalent another thing payment)
Price is more freely
Price is the value of
Rules to determine whether contract is sale agreed upon, fixed by
the thing given
or barter: the parties
a. Manifest intention of the parties: Even if the Payment is
acquisition of a thing is paid for by another received by the
Buyer has to pay the
object of greater value than the money debtor before
price
component, it may still be a sale and not a contract is
barter, when such was the intention of the perfected
parties
b. When intention does not appear and
consideration consists partly in money and
partly in another thing

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

merely acquires the latter’s interest in the When buyer is presumed to be in bad faith
property sold as of the time the property ● Annotation of adverse claim: Places any
was levied upon. [Carumba v. CA, G.R. No. subsequent buyer of the registered land in
L-27587 (1970)] bad faith. [Balatbat v. CA, G.R. No. 109410
(1996)]
d. Sale of Immovables: Unregistered Land ● Annotation of Lis Pendens: Buyer cannot
be considered an innocent purchaser for
Instrument or deeds establishing, value where it ignored the lis pendens on
transmitting, acknowledging, modifying or the title.
extinguishing rights with respect to lands ● A purchaser of a parcel of land cannot
not registered under the Land Registration close his eyes to facts which should put a
Act or the Spanish Mortgage Law, are reasonable man upon his guard, such as
required to be registered in the Registry of when the property subject of the purchase
Property to prejudice 3rd persons, although is in the possession of persons other than
such registration is understood to be the seller. A buyer who could not have
“without prejudice to a third party with a failed to know or discover that the land sold
better right”. [PD 1528 Sec 113] to him was in the adverse possession of
another is a buyer in bad faith. [Heirs of
Art. 1544 applies to unregistered land Ramon Durano v. Uy, G.R. No. 136456
subject to a conventional sale (because of (2000)]
Art. 1358) but NOT to unregistered land
subject to judicial sale. Annotation of
Lis Pendens
Adverse Claim
Unregistered by both buyers, the first buyer May be cancelled
May be cancelled
is preferred. only in one
even before the action
instance, i.e., after
is finally terminated
If first buyer did not register but second buyer the claim is
for causes which may
registered property, second buyer is preferred. adjudged invalid or
not be attributable to
unmeritorious by
the claimant
viii. Property Registration Decree [P.D. the Court
1529]
The two are not contradictory or repugnant to
REQUISITES FOR REGISTRATION OF one another; nor does the existence of one
DEED OF SALE IN GOOD FAITH automatically nullify the other, and if any of the
registrations should be considered
a. Purchaser in Good Faith - One who buys unnecessary or superfluous, it would be the
the property of another, without notice that notice of lis pendens [A. Doronila Resources
some other person has a right to or interest Development Inc v. CA, G.R. Nos. L-42956-
in such property, and who pays a full and 571988]
fair price for the sale, at the time of the
purchase or before he has notice of the b. Accompanied by vendors duplicate
claim/interest of some other person in the certificate of title, payment of capital
property. [Agricultural and Home Extension gains tax, and documentary tax
Development Group v. CA, G.R. No. 92310 registration fees
(1992)]
Must be accompanied by:
General Rule: As a rule, he who asserts the ● Vendor’s duplicate certificate of title
status of a purchaser in good faith and for value ● Payment of capital gains tax – 6% of the
has the burden of proving such assertion. selling price or zonal value, whichever is
[Mathay v. CA, G.R. No. 115788 (1998)] higher

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

5. Agency to sell Kinds of incapacity

1. Absolute [Art. 1327, 1397, 139, CC] - In
Sale Agency to sell the case of persons who cannot bind
Agent receives themselves
Buyer receives the 2. Relative - Married persons
good as goods of
goods as owner
the principal 3. Special disqualifications [Arts. 1491-
Agent delivers the 1492, CC]
Buyer pays the price price which he got
from his principal 1. Absolute incapacity
Buyer cannot return
Agent can’t return a. Minors [Art. 1327, CC]
the object sold as a
the goods b. Insane or Demented [Art. 1327, CC]
general rule
c. Deaf-mutes who do not know how to write
Seller warrants the Agent makes no [Art. 1327, CC]
thing sold warranty d. Civil Interdiction [Art. 38, CC]
Not unilaterally Essentially e. Judicially-declared Incompetents [Art. 39,
revocable revocable CC]
• Prodigal
6. Lease • Imbeciles
• Absence & presumption of death
Sale Lease • Persons not of unsound mind but by
Ownership reason of age, disease, weak mind,
No transfer of
transferred by and other similar causes, cannot take
ownership
delivery care of themselves and manage their
Permanent Temporary property without outside aid (Easy prey
Seller must be for deceit and exploitation)
Lessor need not be
owner at time of
owner General Rule: Contracts entered into by a
delivery
minor and other incapacitated persons are
voidable.
In the lease of things, one of the parties binds
himself to give to another the enjoyment or use
Exception: Where necessaries are sold and
of a thing for a price certain, and for a period
delivered to him (without parent or guardian),
which may be definite or indefinite. However,
he must pay a reasonable price therefor.
no lease for more than ninety-nine years shall
be valid. [Art. 1643, CC] • Such contract is VALID
• But the minor has the right to recover any
excess above a reasonable value paid by
2. Parties him.

General Rule: Any person who has capacity to 2. Relative incapacity

act may enter into a contract of sale.
[Villanueva] 1. Husband and wife [Art. 1490, CC]
General Rule: Cannot sell property to each
As a general rule, all persons, whether natural other
or juridical, who can bind themselves have also
legal capacity to buy and sell. [De Leon] Exceptions:
• Separation of property in marriage
a. Capacity of Parties settlement, OR
• Judicial separation of property.

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U.P. LAW BOC SPECIAL CONTRACTS
If only 1 party is incapacitated: voidable.
Exception: Where necessaries are sold and
delivered to a minor or to a person without
capacity to act, he must pay a reasonable price
therefor. [Art. 1489, par. 2, CC] The resulting
sale therefore described in the foregoing article
is valid and binding.
2. Relative incapacity
Sale between spouses is void.
Rationale:
1. To protect 3rd persons who may have
contracted with the spouse
2. To avoid undue advantage of the dominant
spouse over the weaker spouse.
3. To avoid circumvention of the prohibition
against donations between spouses.
[Medina v. CIR, G.R. No. L-15113 (1961)]
Such prohibition shall likewise apply to
common law spouses. [Calimlim-Canulas v.
Fortun, G.R. No. L-57499 (1984)]
But if already sold to a third person who relied
on the title of his immediate seller,
reconveyance to the seller spouse is no longer
available [Cruz v. CA, G.R. No. 120122 (1997)]
Sale contracted by aliens is void [Art. XII of the
Constitution]
3. Specific incapacity
General rule: Contracts expressly prohibited
by law are VOID and CANNOT BE RATIFIED.
Neither can the right to set-up the defense of
illegality be waived. [Art. 1409 (7), CC]
Those entered into by public
officers/employees, justices and judges, and
lawyers in violation of Art. 1491 are inexistent
and VOID from the beginning. [Rubias v.
Batiller, supra]. It is NOT subject to
RATIFICATION.
Exception: Sales entered into by guardians,
administrators, and agents (specific
incapacities) in violation of Art. 1491 may be
Page 335 of 532
CIVIL LAW
RATIFIED by means of and in the form of a
new contract when the cause of nullity has
ceased to exist. Ratification is valid only from
date of execution of the new contract and does
not retroact.
3. Obligations of the Vendor
(Note: Further discussion can also be found in
Section J of this Sales Reviewer, on the
Performance of the Contract.)
Obligations of the Vendor in
General
1. To transfer ownership of the thing [Art.
1495, CC]
2. To deliver the thing, with its accessions and
accessories, if any [Arts. 1164, 1166, CC]
3. To warrant against eviction and against
hidden defects [Arts. 1545-1581, CC]
4. To take care of the thing, pending delivery,
with proper diligence [Art. 1163, CC]
5. To pay for the expenses of the deed of sale
[Art. 1487, CC]
(1) To Transfer Ownership of the
Thing and To Deliver the
Thing, with its Accessions
and Accessories
i. When Seller is Not the Owner
General Rule: Ownership is not acquired by
the buyer. One cannot give what one does not
have. [Art. 1505, CC]
Exceptions:
a. Seller has a right to transfer ownership.
Seller need not be the owner of the thing at
the time of perfection of the contract. It is
sufficient that the seller has a right to
transfer ownership thereof at the time it is
delivered. [Art. 1459, CC]
One who sells something he does not own
yet is bound by the sale when he acquires
the thing later. [Bucton v. Gabar, G.R. No.
L-36359 (1974)]
U.P. LAW BOC SPECIAL CONTRACTS
b. Estoppel: Owner is, by his conduct,
precluded from denying the seller’s
authority to sell. [Art. 1434, CC]
c. Registered land bought in good faith
General rule: Buyer need not go beyond
the Torrens Title
Exception: When he has actual
knowledge of facts and circumstances that
would impel a reasonably cautious man to
make further inquiry
d. Order of courts; Statutory Sale - In
execution sale, the buyer merely steps into
the shoes of the judgment debtor [Sec. 33,
Rule 39, ROC]
e. When goods are purchased in Merchant’s
store, Fair, or Market [Art. 1505, CC]
ii. Sale by Person having a Voidable Title
a. True owner may recover the thing when the
ff. requisites concur:
• Subject matter is movable
• Owner has either lost the thing or
has been unlawfully deprived. [Art.
559, CC]
b. Reimbursement is necessary before owner
can recover when:
● Buyer acted in good faith
● Acquired at a public auction [Art.
559, CC]
c. Recovery no longer possible when:
● Buyer in good faith
● Acquired it at a merchant’s store,
fair or market. [Art. 1506, CC]
iii. Manner of Transfer [Arts. 1477, 1496-150,
CC]
General Rule: Ownership of the thing sold
shall be transferred to the vendee upon actual
or constructive delivery thereof [Art. 1477, CC]
Exceptions:
a. Contrary stipulation
Page 336 of 532
CIVIL LAW
b. Contract to sell
c. Contract of insurance
d. Sale on acceptance/Trial
e. When seller is not the owner or has
voidable title
Obligation to transfer ownership and to deliver
is implied in every contract of sale [Arts. 1458-
1459, CC]
Transfer of ownership requires delivery [Art.
1495, CC]
General Concepts
Under Article 1495, the seller has twin
obligations to (a) transfer the ownership and (b)
deliver the thing, which is the object of sale to
the buyer. In Article 1164, this includes the
obligation to deliver the fruits and accessories
from the time the obligation to deliver it arises;
however he shall acquire no real right over
them until the same has been delivered to him.
Transfer of ownership is effected even if the
purchase has been made on credit. Payment
of the purchase price is not essential to transfer
of ownership as long as the property sold was
delivered.
Intention to transfer ownership
• All forms of delivery shall be coupled
with intention of delivering the thing
sold.
• Seller must be the owner or authorized
by owner of the thing sold
When right to transfer ownership must
exist: At the time of delivery and not at the time
of perfection of contract of sale.
iv. Concept of Delivery
Requisites
a. Identity – between what must be
delivered and what is actually delivered
b. Integrity – in a condition suitable for
enjoyment
c. Intentional
What to Deliver
a. Thing sold [Art. 1495, CC]
U.P. LAW BOC SPECIAL CONTRACTS
6. F.A.S. (Free Alongside) – Seller bears the
expenses of transportation until he delivers
the goods alongside a vessel at a named
port.
vii. Double Sales [Art. 1544, CC]
General Rule: Prior tempore, prior jure (“First
in time, priority in right”) applies.
Requisites:
a. 2 or more valid sales;
b. Same subject matter;
c. 2 or more buyers with conflicting interests
over the rightful ownership of the thing
sold;
d. Same seller. [Cheng v. Genato, G.R. No.
129760 (1998)]
Rules on Double Sale
There is no double sale when:
a. Not all the elements of a sale are present
b. The principle of prior tempore, prior jure (he
who is first in time is preferred in right)
should apply
c. The two different contracts of sale are
made by two different persons, one of them
not being the owner of the property sold.
d. The land sold is not yet registered under
the Torrens system
e. The first sale occurred when land was not
yet registered, and the second sale was
done when the land was already registered
– prior tempore, prior jure should apply
Rules on Preference
a. Personal property
b. First possessor in good faith
c. Real property
d. First registrant in good faith: second buyer
must register the document in good faith,
otherwise, he does not have a better right
e. First possessor in good faith
f. Person with oldest title in good faith
Caveat emptor: One who purchases real
property which is in actual possession of others
should make some inquiry concerning the
rights of those in posses
Page 340 of 532
CIVIL LAW
Rules Governing Sale of Movables,
Immovables and Unregistered Lands
a. Sale of Movable: Ownership shall be
transferred to the person who may have
first taken possession in good faith.
b. Sale of Immovables: Registered Land –
Ownership belongs to the person who:
● In good faith first recorded the sale in
the Registry of Property; or
● If there is no inscription of sale on the
title, ownership passes to the person
who in good faith was first in
possession; or
● In the absence thereof, to the person
who presents the oldest title,
provided there is good faith.
Possession refers to any of the modes of
possession in Arts. 1497-1501, CC
Oldest Title as to any public document
showing acquisition of the land in good
faith. To constitute “title,” the transmission
of ownership must appear in a public
document [Art. 1358 (1), CC]
Registration includes any entry made in
the Primary Entry Book of the registry,
including both registration in its ordinary
and strict sense and cancellation,
annotation, and even marginal notes.
[Cheng v. Genato, G.R. No. 129760
(1998)]
Pencilled entries on the title are not
considered registration. [AFPMBAI v. Court
of Appeals, G.R. No. 126745 (1999)]
c. Second Sale Made by Virtue of
Execution and Attachment – Art. 1544
does NOT apply in cases where the first
sale of an unregistered immovable
occurred prior to an execution sale and the
second sale occurred by virtue of an
execution sale. This is because a buyer of
unregistered land at an execution sale only
steps into the shoes of the judgment debtor
(the person who sold the property prior to
the execution sale). The second buyer
U.P. LAW BOC SPECIAL CONTRACTS
otherwise, the buyer is not entitled to examine
the goods before the payment of the price, in
the absence of:
a. agreement; or
b. usage of trade
c. permitting such examination. [par. 3,
Art. 1584, CC]
ii. Delivery of goods in installment
General rule: The vendee is not bound to
accept delivery of goods in installment
Exception: Unless otherwise agreed upon
[par. 1, Art. 1583, CC]
Where separate price has been fixed for
each installment [par. 2, Art. 1583, CC]
Where there is a contract of sale of goods
1. To be delivered by stated installments,
2. To be separately paid for, and
3. The seller makes defective deliveries in
respect of one or more installments, or the
buyer neglects or refuses without just
cause to take delivery of or pay for one or
more installments.
It depends in each case on the terms of the
contract and the circumstances of the case:
1. Whether the breach of contract is so
material as to justify the injured party in
refusing to proceed further and suing for
damages for breach of the entire contract,
or
2. Whether the breach is severable, giving
rise to a claim for compensation but not to
a right to treat the whole contract as
broken.
Obligation to pay the price
Article 1582, CC: The vendee is bound to
accept delivery and to pay the price of the
thing sold at the time and place stipulated in
the contract.
If the time and place should not have been
stipulated, the payment must be made at the
time and place of the delivery of the thing
sold.
Page 343 of 532
CIVIL LAW
i. Obligation to pay interest
The buyer shall owe interest on the price from
the time the thing is delivered up to the time of
payment if there is stipulation requiring
interests, or even if there is none, if the thing
delivered produces fruits or income, or if the
buyer incurs in default from the time of judicial
or extrajudicial demand for payment [Baviera].
The three instances when the vendee shall pay
interest for the period between delivery and
payment of the price:
1. If there was a stipulation;
2. If the thing sold and delivered produces
fruits or income;
3. If the vendee is in default, from the time of
judicial or extrajudicial demand for
payment [Art. 1589, CC].
ii. Right of vendee to suspend payment
of price
The vendee has the right to suspend in two
instances:
1. If he is disturbed in the possession or
ownership of the thing bought; or
2. If he has reasonable grounds to fear such
disturbance, by a vindicatory action or a
foreclosure of mortgage [Art. 1590, CC]
Except
1. If the vendor gives security for the return of
the price in a proper case
2. If it has been stipulated
3. If the vendor caused disturbance or danger
to cease
4. If the disturbance is a mere act of trespass
5. If the vendee has already fully paid the
price [De Leon]
Should the vendee be disturbed in the
possession or ownership of the thing delivered,
or should he have reasonable grounds to fear
such disturbance by a vindicatory action, or a
foreclosure of mortgage, he may suspend
payment until the vendor has caused the
disturbance or danger to cease, unless there is
a stipulation to the contrary [Baviera]
U.P. LAW BOC SPECIAL CONTRACTS
the seller, which control must subsist
for a reasonable length of time after
execution. [Pasagui v. Villablanca,
G.R. No. L-21998 (1975)]
Although parties may stipulate that the
execution of a public instrument is equivalent
to delivery, this legal fiction holds true only
when there is no impediment that may prevent
the passing of the property from the vendor to
the vendee. [Vda. de Sarmiento v. Lesaca,
G.R. No. L-15385 (1960)]
If, notwithstanding execution of the instrument,
the buyer cannot enjoy material tenancy and
make use of the object himself or through
another in his name, there is no delivery.
[Power Commercial v. CA, G.R. No. 119745
(1997)]
Execution of a public instrument gives rise only
to a prima facie presumption of delivery,
negated by failure of the buyer to take actual
possession of land sold. A person who does
not have actual possession cannot transfer
constructive possession by execution and
delivery of public instrument. [Spouses
Santiago v. Villamor, G.R. No. 168499 (2012)]
iii. Symbolic delivery
Delivery of keys of the place or depositary
where the movable is stored or kept. [Art. 1498,
CC]
Unless otherwise agreed, when symbolic
delivery has been made, the seller is not
obliged to remove tenants to place the buyer in
actual possession of the property as he has
already complied with his obligation to transfer
ownership of and deliver the thing sold. [Power
Commercial and Industrial Corp. v. CA, G.R.
No. 119745 (1997); Sabio v. The International
Corporate Bank, Inc., G.R. No. 132709 (2001)]
iv. Traditio longa manu (long hand)
Delivery of movable property by mere consent
or agreement, if the thing sold cannot be
transferred to the possession of the buyer at
the time of sale. [Art. 1499, CC]
Page 347 of 532
CIVIL LAW
Example:
Seller points to the property without actually
transferring physical possession thereof.
Delivery by mere agreement; seller points out
to the buyer the property without need of
actually delivering (as when the thing sold
cannot be transferred to the possession of the
vendee at the time of sale). Delivery takes
place when the thing is placed in the sight of
the purchaser so that he can take possession
of it at pleasure. With regard to movable
property, its delivery may also be made by the
delivery of the keys of the place or depository
where it is stored or kept.
When an employer assigned all its rights and
title to all surplus property salvaged by the
contractor, traditio longa manu takes place.
Delivery is upon the moment a thing is
salvaged. [Board of Liquidators v. Floro, G.R.
No. L-15155 (1960)]
v. Traditio brevi manu (short hand)
Delivery of movable property by mere consent
or agreement, if the buyer already had it in his
possession for any other reason. [Art. 1499,
CC]
Happens when the already has possession of
the thing sold before the sale by virtue of
another title (as lessee, borrower, depositary,
etc.)
vi. Traditio constitutum possessorium
Seller continues to be in possession of the
property sold not as owner but in some other
capacity, like as tenant or lessee.
At the time of perfection, the seller held
possession of the subject matter in the concept
of owner, and pursuant to the contract, the
seller continues to hold physical possession
thereof as lessee or other form of possession
other than the concept of owner.
For example, a seller remains in possession of
the property sold, by virtue of a lease
U.P. LAW BOC SPECIAL CONTRACTS
In cases of delay of payment, one should also
be liable for interest and penalties for such
delay in payment. It would be grossly unfair for
respondent to be deprived of the amount it
would have received from the sale of their
properties, while petitioners benefited from the
use and continued possession of the properties
[Sps. Mahusay v. B.E. San Diego (2011)].
Obligation to Bear the
Expenses for the Execution and
Registration of the Sale and
Putting the Goods in a
Deliverable State, if so
Stipulated
Art.1521, par. 5: Unless otherwise agreed, the
expenses of and incidental to putting the goods
into a deliverable state must be borne by the
seller.
5. Transfer of Ownership
The ownership of the thing sold shall be
transferred to the vendee upon the actual or
constructive delivery thereof, or in any manner
signifying an agreement that possession is
transferred from the vendor to the vendee.
[Baviera]
Note: The contract of sale constitutes only a
right to the transfer or acquisition of ownership,
while delivery is the method of accomplishing
the same.
When the seller is not the owner
General Rule: Ownership is not acquired by
the buyer. One cannot give what one does not
have. [Art. 1505, CC]
Exceptions
1. Seller has a right to transfer ownership
Seller need not be the owner of the thing at
the time of perfection of the contract. It is
sufficient that seller has a right to transfer
ownership thereof at the time it is delivered.
[Art. 1459, CC]
Page 344 of 532
CIVIL LAW
One who sells something he does not own
yet is bound by the sale when he acquires
the thing later. [Bucton v. Gabar, G.R. No.
L-36359 (1974)]
2. Estoppel: Owner is, by his conduct,
precluded from denying the seller’s
authority to sell. [Art. 1434, CC]
3. Registered land bought in good faith
General rule: Buyer need not go beyond
the Torrens Title
Exception: When he has actual
knowledge of facts and circumstances that
would impel a reasonably cautious man to
make further inquiry
4. Order of courts; statutory sale - In
execution sale, the buyer merely steps into
the shoes of the judgment debtor [Sec. 33,
Rule 39, ROC]
5. When goods are purchased in Merchant’s
store, Fair, or Market [Art. 1505, CC]
Sale by Person Having a
Voidable Title
1. True owner may recover the thing when
the ff. requisites concur:
• Subject matter is movable
• Owner has either lost the thing or has
been unlawfully deprived. [Art. 559,
CC]
2. Reimbursement is necessary before
owner can recover when:
• Buyer acted in good faith
• Acquired at a public auction [Art. 559,
CC]
3. Recovery no longer possible when:
• Buyer in good faith
• Acquired it at a merchant’s store, fair or
market. [Art. 1506, CC]
U.P. LAW BOC SPECIAL CONTRACTS
d. The land sold is not yet registered under
the Torrens system
e. The first sale occurred when land was not
yet registered, and the second sale was
done when the land was already registered
– prior tempore, prior jure should apply
Rules on preference
a. Personal property
b. First possessor in good faith
c. Real property
d. First registrant in good faith: second buyer
must register the document in good faith,
otherwise, he does not have a better right
e. First possessor in good faith
f. Person with oldest title in good faith
Rules Governing Sale of Movables,
Immovables and Unregistered Lands
a. Sale of Movable: Ownership shall be
transferred to the person who may have
first taken possession in good faith.
b. Sale of Immovables: Registered Land –
Ownership belongs to the person who:
• In good faith first recorded the sale in
the Registry of Property; or
• If there is no inscription of sale on the
title, ownership passes to the person
who in good faith was first in
possession; or
• In the absence thereof, to the person
who presents the oldest title,
provided there is good faith.
Possession refers to any of the modes of
possession in Arts. 1497-1501, CC.
Oldest Title as to any public document
showing acquisition of the land in good
faith. To constitute “title,” the transmission
of ownership must appear in a public
document [Art. 1358 (1), CC].
Registration includes any entry made in
the Primary Entry Book of the registry,
including both registration in its ordinary
and strict sense and cancellation,
annotation, and even marginal notes.
[Cheng v. Genato, G.R. No. 129760
(1998)]
Page 349 of 532
CIVIL LAW
c. Second Sale Made by Virtue of Execution
and Attachment –
Art. 1544 does NOT apply in cases where
the first sale of an unregistered immovable
occurred prior to an execution sale and the
second sale occurred by virtue of an
execution sale. This is because a buyer of
unregistered land at an execution sale only
steps into the shoes of the judgment debtor
(the person who sold the property prior to
the execution sale). The second buyer
merely acquires the latter’s interest in the
property sold as of the time the property
was levied upon. [Carumba v. CA, G.R. No.
L-27587 (1970)]
d. Sale of Immovables: Unregistered Land –
Instrument or deeds establishing,
transmitting, acknowledging, modifying or
extinguishing rights with respect to lands
not registered under the Land Registration
Act or the Spanish Mortgage Law, are
required to be registered in the Registry of
Property to prejudice 3rd persons, although
such registration is understood to be
“without prejudice to a third party with a
better right”. [PD 1528 Sec 113]
Art. 1544 applies to unregistered land
subject to a conventional sale (because of
Art. 1358) but NOT to unregistered land
subject to judicial sale.
Unregistered by both buyers, the first buyer
is preferred.
If first buyer did not register but the second
buyer registered the property, the second
buyer is preferred.
g. Property Registration Decree
Requisites for registration of deed of sale in
good faith
a. Purchaser in Good Faith - One who buys
the property of another, without notice that
some other person has a right to or interest
in such property, and who pays a full and
fair price for the sale, at the time of the
purchase or before he has notice of the
claim/interest of some other person in the
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

property. [Agricultural and Home Extension

Development Group v. CA, G.R. No. 92310
(1992)]
General Rule: As a rule, he who asserts the
status of a purchaser in good faith and for value
has the burden of proving such assertion.
[Mathay v. CA, G.R. No. 115788 (1998)]
When buyer is presumed to be in bad faith
Annotation of adverse claim: Places any
subsequent buyer of the registered land in bad
faith. [Balatbat v. CA, G.R. No. 109410 (1996)]
Annotation of Lis Pendens: Buyer cannot be
considered an innocent purchaser for value
where it ignored the lis pendens on the title.
A purchaser of a parcel of land cannot close his
eyes to facts which should put a reasonable
man upon his guard, such as when the property
*subject of the purchase is in the possession of
persons other than the seller. A buyer who
could not have failed to know or discover that
the land sold to him was in the adverse
possession of another is a buyer in bad faith.
[Heirs of Ramon Durano v. Uy, G.R. No.
136456 (2000)]
Annotation of
Lis Pendens
Adverse Claim
May be cancelled
May be cancelled
even before the
only in one instance,
action is finally
i.e., after the claim is
terminated for
adjudged invalid or
causes which may
unmeritorious by the
not be attributable to
Court
the claimant
The two are not contradictory or repugnant to
one another; nor does the existence of one
automatically nullify the other, and if any of the
registrations should be considered
unnecessary or superfluous, it would be the
notice of lis pendens [A. Doronila Resources
Development Inc v. CA, G.R. Nos. L-42956-
571988]
b. Accompanied by vendors duplicate
certificate of title, payment of capital
gains tax, and documentary tax
registration fees
Must be accompanied by:
• Vendor’s duplicate certificate of title
• Payment of capital gains tax – 6% of the
selling price or zonal value, whichever is
higher
• Documentary tax registration fees – 1.5%
of the selling price or zonal value,
whichever is higher
6. Risk of Loss
The Code Commission followed the common
law rule that the OWNER bears the risk of
loss in absence of stipulation to the contrary,
while retaining the rule in Roman Law which
requires delivery by the seller, whether actual
or constructive, to transfer OWNERSHIP to the
buyer. 

Article 1263, CC: In an obligation to deliver
a generic thing, the loss or destruction of
anything of the same kind does not
extinguish the obligation.
General Rule: Risk of loss shall be borne by
the owner (Note: owner is not always the seller)
Exceptions
1. When ownership of the goods has been
transferred to him, the buyer bears the risk
of loss.
2. When there is a stipulation to the contrary.
3. When the seller retains the title for security,
the buyer bears the risk of loss.
4. When there is delay in the delivery, the
party in fault bears the risk of loss.
5. When sale is for “approval or trial”, the
seller bears the risk of loss until the buyer
approves or the trial period lapses.
6. When sale is on “return”, the buyer bears
the risk of loss until he returns it.

Page 350 of 532

U.P. LAW BOC SPECIAL CONTRACTS
The manner of transfer
General Rule: Ownership of the thing sold
shall be transferred to the vendee upon actual
or constructive delivery thereof [Art. 1477, CC]
Exceptions
a. Contrary stipulation
b. Contract to sell
c. Contract of insurance
d. Sale on acceptance/Trial
e. When seller is not the owner or has
voidable title
Obligation to transfer ownership and to deliver
is implied in every contract of sale [Arts. 1458-
1459, CC]
General Concepts
Under Article 1495, the seller has twin
obligations to (a) transfer the ownership and (b)
deliver the thing, which is the object of sale to
the buyer. In Article 1164, this includes the
obligation to deliver the fruits and accessories
from the time the obligation to deliver it arises;
however he shall acquire no real right over
them until the same has been delivered to him.
Transfer of ownership is effected even if the
purchase has been made on credit. Payment
of the purchase price is not essential to transfer
of ownership as long as the property sold was
delivered.
Intention to transfer ownership
All forms of delivery shall be coupled with
intention of delivering the thing sold.
Seller must be owner or authorized by owner of
the thing sold
When right to transfer ownership must exist
At the time of delivery and not at the time of
perfection of contract of sale.
The concept of delivery
Page 345 of 532
CIVIL LAW
Requisites
a. Identity – between what must be
delivered and what is actually delivered
b. Integrity – in a condition suitable for
enjoyment
c. Intentional
What to Deliver
a. Thing sold [Art. 1495, CC]
b. Fruits [Art. 1164 & 1537, CC] – belong
to the vendee from day of perfection.
c. Accessions and accessories [Art. 1166
& 1537, CC] – in the same condition
they were in on day of perfection
• Improvements by seller at his
expense grants him a usufructuary
right [Art. 1138, 1189, CC]
• No indemnification
• But he may remove it to the extent
that there is no damage [Art. 1538,
CC]
Where to Deliver
a. A hierarchy is followed:
i. Stipulation
ii. Usage of trade
iii. Seller’s place of business (office)
iv. Seller’s residence
b. In case of specific goods, which the parties
knew to be at some other place when the
contract was perfected, that place is the
place of delivery
c. If goods are at the time of sale are
possessed by a third person, then there is
no delivery until he acknowledges to the
buyer that he holds the goods for the buyer.
When to Deliver
Absent a stipulation as to time, delivery must
be made within a reasonable time; demand or
tender of delivery shall be made at a
reasonable hour.
When delivery does not transfer
title
Title remains with the seller notwithstanding
delivery of the goods. Buyer becomes the
owner when he:
a. Signifies his approval or acceptance to the
seller
U.P. LAW BOC SPECIAL CONTRACTS
the seller, which control must subsist
for a reasonable length of time after
execution. [Pasagui v. Villablanca,
G.R. No. L-21998 (1975)]
Although parties may stipulate that the
execution of a public instrument is equivalent
to delivery, this legal fiction holds true only
when there is no impediment that may prevent
the passing of the property from the vendor to
the vendee. [Vda. de Sarmiento v. Lesaca,
G.R. No. L-15385 (1960)]
If, notwithstanding execution of the instrument,
the buyer cannot enjoy material tenancy and
make use of the object himself or through
another in his name, there is no delivery.
[Power Commercial v. CA, G.R. No. 119745
(1997)]
Execution of a public instrument gives rise only
to a prima facie presumption of delivery,
negated by failure of the buyer to take actual
possession of land sold. A person who does
not have actual possession cannot transfer
constructive possession by execution and
delivery of public instrument. [Spouses
Santiago v. Villamor, G.R. No. 168499 (2012)]
iii. Symbolic delivery
Delivery of keys of the place or depositary
where the movable is stored or kept. [Art. 1498,
CC]
Unless otherwise agreed, when symbolic
delivery has been made, the seller is not
obliged to remove tenants to place the buyer in
actual possession of the property as he has
already complied with his obligation to transfer
ownership of and deliver the thing sold. [Power
Commercial and Industrial Corp. v. CA, G.R.
No. 119745 (1997); Sabio v. The International
Corporate Bank, Inc., G.R. No. 132709 (2001)]
iv. Traditio longa manu (long hand)
Delivery of movable property by mere consent
or agreement, if the thing sold cannot be
transferred to the possession of the buyer at
the time of sale. [Art. 1499, CC]
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CIVIL LAW
Example:
Seller points to the property without actually
transferring physical possession thereof.
Delivery by mere agreement; seller points out
to the buyer the property without need of
actually delivering (as when the thing sold
cannot be transferred to the possession of the
vendee at the time of sale). Delivery takes
place when the thing is placed in the sight of
the purchaser so that he can take possession
of it at pleasure. With regard to movable
property, its delivery may also be made by the
delivery of the keys of the place or depository
where it is stored or kept.
When an employer assigned all its rights and
title to all surplus property salvaged by the
contractor, traditio longa manu takes place.
Delivery is upon the moment a thing is
salvaged. [Board of Liquidators v. Floro, G.R.
No. L-15155 (1960)]
v. Traditio brevi manu (short hand)
Delivery of movable property by mere consent
or agreement, if the buyer already had it in his
possession for any other reason. [Art. 1499,
CC]
Happens when the already has possession of
the thing sold before the sale by virtue of
another title (as lessee, borrower, depositary,
etc.)
vi. Traditio constitutum possessorium
Seller continues to be in possession of the
property sold not as owner but in some other
capacity, like as tenant or lessee.
At the time of perfection, the seller held
possession of the subject matter in the concept
of owner, and pursuant to the contract, the
seller continues to hold physical possession
thereof as lessee or other form of possession
other than the concept of owner.
For example, a seller remains in possession of
the property sold, by virtue of a lease
U.P. LAW BOC SPECIAL CONTRACTS
d. The land sold is not yet registered under
the Torrens system
e. The first sale occurred when land was not
yet registered, and the second sale was
done when the land was already registered
– prior tempore, prior jure should apply
Rules on preference
a. Personal property
b. First possessor in good faith
c. Real property
d. First registrant in good faith: second buyer
must register the document in good faith,
otherwise, he does not have a better right
e. First possessor in good faith
f. Person with oldest title in good faith
Rules Governing Sale of Movables,
Immovables and Unregistered Lands
a. Sale of Movable: Ownership shall be
transferred to the person who may have
first taken possession in good faith.
b. Sale of Immovables: Registered Land –
Ownership belongs to the person who:
• In good faith first recorded the sale in
the Registry of Property; or
• If there is no inscription of sale on the
title, ownership passes to the person
who in good faith was first in
possession; or
• In the absence thereof, to the person
who presents the oldest title,
provided there is good faith.
Possession refers to any of the modes of
possession in Arts. 1497-1501, CC.
Oldest Title as to any public document
showing acquisition of the land in good
faith. To constitute “title,” the transmission
of ownership must appear in a public
document [Art. 1358 (1), CC].
Registration includes any entry made in
the Primary Entry Book of the registry,
including both registration in its ordinary
and strict sense and cancellation,
annotation, and even marginal notes.
[Cheng v. Genato, G.R. No. 129760
(1998)]
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CIVIL LAW
c. Second Sale Made by Virtue of Execution
and Attachment –
Art. 1544 does NOT apply in cases where
the first sale of an unregistered immovable
occurred prior to an execution sale and the
second sale occurred by virtue of an
execution sale. This is because a buyer of
unregistered land at an execution sale only
steps into the shoes of the judgment debtor
(the person who sold the property prior to
the execution sale). The second buyer
merely acquires the latter’s interest in the
property sold as of the time the property
was levied upon. [Carumba v. CA, G.R. No.
L-27587 (1970)]
d. Sale of Immovables: Unregistered Land –
Instrument or deeds establishing,
transmitting, acknowledging, modifying or
extinguishing rights with respect to lands
not registered under the Land Registration
Act or the Spanish Mortgage Law, are
required to be registered in the Registry of
Property to prejudice 3rd persons, although
such registration is understood to be
“without prejudice to a third party with a
better right”. [PD 1528 Sec 113]
Art. 1544 applies to unregistered land
subject to a conventional sale (because of
Art. 1358) but NOT to unregistered land
subject to judicial sale.
Unregistered by both buyers, the first buyer
is preferred.
If first buyer did not register but the second
buyer registered the property, the second
buyer is preferred.
g. Property Registration Decree
Requisites for registration of deed of sale in
good faith
a. Purchaser in Good Faith - One who buys
the property of another, without notice that
some other person has a right to or interest
in such property, and who pays a full and
fair price for the sale, at the time of the
purchase or before he has notice of the
claim/interest of some other person in the
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

Res Perit domino [Arts. 1263,
and 1189 CC]
Owner bears risk of loss and deterioration. The
ownership is transferred only upon delivery.
(1) As avoided; or
(2) As valid in all of the existing goods or in
so much thereof as have not deteriorated,
and as binding the buyer to pay the agreed
price for the goods in which the ownership
will pass, if the sale was divisible.

Prior to Perfection of Contract Partial Loss (Or loss

which results in
Total Loss
Seller bears risk of loss and deterioration. substantial change in
Basis: Res perit domino character)
Contract is void
Buyer may withdraw from
When there is no proof that the parties have because the
the contract
agreed as to the thing which should be the object did not
or
subject of the contract and that one has exist at the time
Buy the remainder at a
accepted the terms proposed by the other, it of the
proportionate price
cannot be said that the contracting parties have transaction.
given their mutual consent as to the subject
and consideration of the contract. The Article 1496 of the Civil Code which provides
disappearance or loss of property which the that in the absence of an express assumption’
owner intended or attempted to sell can only of risk by the buyer, the things sold remain at
interest the owner, who should suffer the loss, seller’s risk until the ownership thereof is
and not a third party who has acquired no rights transferred to the buyer,” is applicable to this
nor incurred any liability with respect thereto. case, for there was neither an actual nor
[Roman v. Grimalt, 1906] constructive delivery of the thing sold, hence,
the risk of loss should be borne by the seller,
Norkis, which was still the owner and
At Time of Perfection [Arts. 1493
possessor of the motorcycle when it was
and 1494, CC] wrecked. This is in accordance with the well-
known doctrine of res perit domino. [Norkis v.
Seller bears risk of loss and deterioration. CA, 1991]
Basis: Res perit domino.
After Perfection but Before
Article 1493, CC: If at the time the contract
of sale is perfected, the thing which is the
Delivery
object of the contract has been entirely lost,
the contract shall be with- out any effect. Loss
But if the thing should have been lost in part General Rule: Stipulations in the contract will
only, the vendee may choose between govern.
withdrawing from the contract and
demanding the remaining part, paying its Exception: In the absence of stipulation, there
are two conflicting views:
price in proportion to the total sum agreed
upon. 1. Res perit creditori or the buyer bears the
risk of loss.
Article 1494, CC: Where the parties purport
a sale of specific goods, and the goods with- This is an exception to the rule of res perit
out the knowledge of the seller have domino
perished in part or have wholly or in a
material part so deteriorated in quality as to Basis: Art. 1504, CC only covers goods.
be substantially changed in character, the
buyer may at his option treat the sale:

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opinion, judgment, probability, or expectation. If seller has promised that the condition should
When the buyer undertakes his own happen or be performed, the buyer may treat
investigation, and the seller does nothing to the nonperformance of the condition as a
prevent it from being as full as the buyer breach of warranty. [Art. 1545, CC]
chooses, the buyer cannot afterwards allege
misrepresentations. [Songco v. Sellner, G.R. Express Implied
No. L-11513 (1917)] Nature is
Contractual; Freely Constituted by Law
Economic Loss Doctrine: Where the defect Represented
makes the goods less valuable Only seller is bound,
Stipulated by parties,
whether or not
Condition v. Warranty thereby binding both
intended or known
the seller and buyer
Article 1545, CC: Where the obligation of by the parties.
either party to a contract of sale is subject to
any condition which is not performed, such Express Warranties
party may refuse to proceed with the
contract or he may waive performance of the For there to be express warranty, the following
condition. If the other party has promised requisites must concur:
that the condition should happen or be a. An affirmation of fact or any promise
performed, such first mentioned party may relating to the thing sold;
also treat the nonperformance of the b. The natural tendency of such
condition as a breach of warranty. affirmation or promise is to induce the
buyer to buy;
Where the ownership in the thing has not c. The buyer buys the thing relying
passed, the buyer may treat the fulfillment by thereon. [Art. 1546, CC]
the seller of his obligation to deliver the same d. Made before the sale, not upon
as de- scribed and as warranted expressly delivery or any other point
or by implication in the contract of sale as a
condition of the obligation of the buyer to An express warranty can be made by and also
perform his promise to accept and pay for be binding on the seller even in the sale of a
the thing. second hand article. [Moles v. IAC, G.R. No.
73913 (1989)]
Condition Warranty
Goes into the Express Warranty v. Dealer’s/Trader’s Talk
Pertains to and performance of an Article 1545, CC: Any affirmation of fact or
affects the existence obligation and may, any promise by the seller relating to the thing
of the obligation in itself, be an is an express warranty if the natural
obligation tendency of such affirmation or promise is to
Non-happening does Non-fulfillment induce the buyer to purchase the same, and
not amount to breach constitutes breach if the buyer purchase the thing relying
of contract of contract thereon. No affirmation of the value of the
Stipulation or thing, nor any statement purporting to be a
Must be stipulated statement of the seller's opinion only, shall
operation of law
Always relates to the be construed as a warranty, unless the seller
May attach either to made such affirmation or statement as an
subject matter or the
the seller’s duty to expert and it was relied upon by the buyer.
seller’s obligations
deliver thing or some
as to the subject
other circumstance Article 1340, CC: The usual exaggerations
matter
in trade, when the other party had an

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

opportunity to know the facts, are not in Implied Warranties [Art. 1547,
themselves fraudulent. CC]
Article 1341, CC: A mere expression of an An implied warranty is derived by law, by
opinion does not signify fraud, unless made implication, or inference from the nature of the
by an expert and the other party has relied transaction or relativation, or circumstances of
on the former's special knowledge. the parties, irrespective of any intention of the
seller to create it. [De Leon]
Express
Dealer’s or Trader’s Talk
Warranty Implied Warranty of Title
What is a. Implied Warranty against
Affirmation of the value of the
specifically Encumbrance/Non-Apparent Servitudes
thing or statement of only the
represented b. Implied Warranty against Hidden Defects
seller’s opinion is not a
as true in [Art. 1547, CC]
warranty unless:
said
● The seller made it as an • Implied Warranty as to Merchantable
document Quality and Fitness of Goods
expert;
cannot be
● It was relied upon by the • Implied Warranty against Redhibitory
considered Defect in the Sale of Animals [Art.
buyer. [Art.1546, CC]
as mere 1572, CC]
● Ordinarily, what does not
dealer's • Quality and Fitness of Goods in Sale by
appear on the face of the
talk. [Moles Sample or Description
written instrument [Moles
v. IAC, c. Other Warranties
v. IAC, supra]
supra]
IMPLIED WARRANTY OF TITLE
Express Warranty v. False Representation
Article 1342, CC: Misrepresentation by a Implied warranty arises by operation of law and
third person does not vitiate consent, unless need not be stipulated in the contract of sale.
such misrepresentation has created
substantial mistake and the same is mutual. Warranty of Seller’s Right to Sell: Seller
warrants his right to sell at the time the
Express ownership is to pass.
False Representation
Warranty
When concealment of facts Inapplicable to a sheriff, auctioneer,
comes with an active mortgagee, pledgee, or other person
misstatement of fact or a professing to sell by virtue of authority in fact or
partial statement of fact, such law. [Art. 1547, CC]
that withholding of that unsaid
portion makes that which is Warranty against Eviction: Seller warrants
stated absolutely false.
Concealment that buyer, from the time ownership passes,
of facts does shall have and enjoy legal and peaceful
However, a buyer who fails to
not possession of the thing. Its requisites are:
inspect the condition of
necessarily
property despite ample a. Buyer is deprived of the whole or a part of
amount to the thing sold;
opportunity to do so when
false b. Eviction is by final judgment;
there is no opposition on the
representation c. Final judgment based on a right prior to the
part of seller to inspect cannot
later on allege false sale or an act imputable to the vendor;
representation. [Philippine d. Seller is summoned and made co-
Manufacturing Co. v. Go defendant in the suit for eviction at the
Jocco, G.R. No. L-24256 instance of the buyer. [Power Commercial
(1926)] and Industrial Corp. v. CA, G.R. No.
119745 (1997)]

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U.P. LAW BOC SPECIAL CONTRACTS
Pursuant to Art. 1262, CC if the thing is
destroyed without the fault of the
debtor/seller, the obligation to pay shall
subsist.
2. Res perit domino or the seller bears the risk
of loss.
Basis: The rule on loss is different from the
rule on deterioration for the loss would be
for the account of the seller, while the
deterioration would be for the account of
the buyer.
In reciprocal obligations, the
extinguishment of the obligation due to loss
of the thing extinguishes the entire juridical
relation.
Deterioration [Art. 1189 CC]
Impairment is borne by the BUYER if the thing
deteriorates without the fault of the seller.
If it deteriorates through the fault of the seller,
the buyer may choose between rescission of
obligation and fulfillment, either case with
indemnity for damages.
After Delivery
Article 1504, CC: Unless otherwise agreed,
the goods remain at the seller's risk until the
ownership therein is transferred to the buyer,
but when the ownership therein is
transferred to the buyer the goods are at the
buyer's risk whether actual delivery has
been made or not, except that:
(1) Where delivery of the goods has been
made to the buyer or to a bailee for the
buyer, in pursuance of the contract and the
ownership in the goods has been retained by
the seller merely to secure performance by
the buyer of his obligations under the
contract, the goods are at the buyer's risk
from the time of such delivery;
(2) Where actual delivery has been delayed
through the fault of either the buyer or seller
the goods are at the risk of the party in fault.
General Rule: Buyer bears risk of loss and
deterioration.
Page 352 of 532
CIVIL LAW
Exceptions: [Art. 1504 (1) and (2), CC]
a. Where delivery has been made either to
the buyer or to the bailee for the buyer, but
ownership in the goods has been retained
by the seller merely to secure performance
by the buyer of his obligations under the
contract; and
b. Where actual delivery has been delayed
through the fault of either the buyer or
seller, the goods are at the risk of the party
in fault.
SUMMARY OF RULES ON THE RISK OF
LOSS
Before Seller bears risk of loss or
Perfection deterioration
Seller also benefits from the
fruits and improvements therein
At Entire Loss will be ineffective
Perfection Substantial Loss or
Deterioration shall allow buyer
to withdraw or buy the
remainder at a proportionate
price.
After Seller bears risk of loss
Perfection Buyer bears risk of
deterioration
Buyer also benefits from the
fruits and improvements therein
Before Buyer bears risk of loss or
Delivery deterioration
Buyer also benefits from the
fruits and improvements therein
7. Documents of Title
In General
Documents of Title to Goods – Includes bills
of lading, dock warrants, “quedans” or
warehouse receipts or orders for the delivery of
goods
• This is proof of possession or control of
the goods
• This also authorizes the possessor of
the document to transfer or receive,
either by indorsement or delivery, the
goods represented by the document,
Bill of Lading – A document issued by the
common carrier acknowledging receipt of
U.P. LAW BOC SPECIAL CONTRACTS
Veterinarians are liable if they fail to discover
or disclose the hidden defect through
ignorance or bad faith. [Art. 1576, CC]
Seller liable if animal dies within 3 days after
its purchase due to a disease that existed at
the time of sale. [Art. 1578, CC]
Effects of Warranties
a. Natural tendency is to induce buyer to
purchase the subject matter
b. Buyer purchases subject matter relying
thereon
c. Seller liable for damages in case of breach
Effects of Waivers
Only applicable to waiver of warranty against
eviction; parties may increase or decrease
warranty against eviction but the effect
depends on good/bad faith of the seller:
a. Seller in bad faith and there is warranty
against eviction – null and void
b. Buyer without knowledge of a particular
risk and made general renunciation of
warranty – not waiver but merely limits
liability of seller in case of eviction (pay
value of subject matter at the time of
eviction)
c. Buyer with knowledge of risk of eviction
assumed its consequences and made a
waiver – vendor not liable
d. Waiver to a specific case of eviction –
wipes out warranty as to that specific risk
but not as to eviction caused by other
reasons
One who purchases real estate with knowledge
of defect or lack of title cannot claim he
acquired title thereto in good faith, as against
true owner of land or of interest therein. [J.M.
Tuason v. CA, G.R. No. L-41233 (1979)] The
same rule must be applied to one who has
knowledge of facts which should have put him
upon such inquiry and investigation as might
be necessary to acquaint him with the defects
in the title of his vendor. A purchaser cannot
close his eyes to facts which should put a
Page 358 of 532
CIVIL LAW
reasonable man upon his guard and then claim
that he acted in good faith under the belief that
there was no defect in the title of the vendor.
Buyer’s Options in Case of
Breach of Warranty
Remedies of buyer for breach of warranty,
both implied and express:
• Accept goods + demand
diminution/extinction of price
• Accept goods + damages
• Refuse to accept goods + damages
Rescind (Refuse to accept or return or offer
to return) + recover price paid [Art. 1599,
CC]
EXPRESS WARRANTY
Prescriptive period: Period specified in
express warranty OR 4 years, if no period is
specified (following the general rule on
rescission of contracts)
Remedies
Rescission not available when buyer:
a. Knew of breach of warranty when he
accepted the goods without protest
b. Fails to notify the seller about election to
rescind within a reasonable period of time
c. Fails to return or offer to return the goods
to the seller in substantially a good
condition as they were when delivered,
unless deterioration was due to breach of
warranty
Measure of damages: Difference between
value of goods at the time of delivery and the
value they would have had if they had
answered to the warranty
Effects of rescission
a. Buyer no longer liable for price: Entitled
to the return of any part of price paid,
concurrently with or immediately after
an offer to return the goods
b. If seller refuses to accept offer to return
goods: buyer deemed as bailee for
seller and has right of lien to secure
payment of part of price paid
U.P. LAW BOC SPECIAL CONTRACTS
o A document of title refers to specific
goods in the possession of the
carrier
○ This cannot be substituted by
similar goods of the same kind and
quantity should the carrier fail to
deliver the goods described in the
document.
Creditor’s Rights Against the Goods
General Rule: Goods in the hands of the
carrier covered by a negotiable document of
title cannot be attached or levied upon
Exception: Unless the document be first
surrendered to the carrier or impounded by the
court or its negotiation be enjoined.
For the mercantile theory of documents of title
is founded on the idea that a negotiable
document of title represents the goods
[Baviera]:
! THUS, it is not allowable for the carrier
to deliver the goods without the
surrender of the negotiable bill of lading
to them
○ Or for the law to allow
attachment or levy on the
goods, regardless of an
outstanding negotiable
document of title.
NON-NEGOTIABLE DOCUMENTS OF TITLE
How Transferred
Goods described in a non-negotiable
document of title are deliverable only to a
specified person:
• Thus, the carrier will NOT deliver the goods
to any holder of the document,
• Or to whom such document of title may
have been endorsed by the consignee.
There must be evidence of the sale or donation
of the goods:
• The person must present to the carrier the
deed of sale or donation in his favor.
• Hence, delivery of such document to a
purchaser or donee cannot operate as a
symbolic delivery of the goods described
therein as would pass title to the latter.
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CIVIL LAW
• Even if the deed of sale or donation is
evidenced in a public instrument, the
execution of such instrument will not
operate as a constructive delivery of the
goods described in the bill of lading where
the goods are in possession of a third
person.
Rights Acquired by Transfer of Documents
of Title
Transfer – the assignment of the rights of the
consignee of a non-negotiable document of
title to another.
Also refers to a case where an “order”
document of title was sold or assigned, without
indorsement.
The effect of a transfer of document of title is
that the transferee does not acquire a better
title than his transferor.
The same rules governing sales of goods not
covered by a document of title apply.
Illustration: Where an "order" bill of lading was
sold without endorsement, the transferee can
bring an action to compel the transferor to
endorse the document, unless a contrary
intention appears – but the “negotiation” will
take effect only as of the time endorsement is
actually made.
Hence, before endorsement, the rights of the
transferee may be defeated by the rights of a
prior party who was illegally deprived of
possession of such document.
8. Warranties
Warranties - A statement or representation
made by the seller contemporaneously and as
part of the contract of sale, having reference to
the character, quality, or title of the goods, and
by which he promises or undertakes to ensure
that certain facts are or shall be as he then
represents.
Not every false representation voids the
contract, only those matters substantially
affecting the buyer’s interest, not matters of
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

opinion, judgment, probability, or expectation. If seller has promised that the condition should
When the buyer undertakes his own happen or be performed, the buyer may treat
investigation, and the seller does nothing to the nonperformance of the condition as a
prevent it from being as full as the buyer breach of warranty. [Art. 1545, CC]
chooses, the buyer cannot afterwards allege
misrepresentations. [Songco v. Sellner, G.R. Express Implied
No. L-11513 (1917)] Nature is
Contractual; Freely Constituted by Law
Economic Loss Doctrine: Where the defect Represented
makes the goods less valuable Only seller is bound,
Stipulated by parties,
whether or not
Condition v. Warranty thereby binding both
intended or known
the seller and buyer
Article 1545, CC: Where the obligation of by the parties.
either party to a contract of sale is subject to
any condition which is not performed, such Express Warranties
party may refuse to proceed with the
contract or he may waive performance of the For there to be express warranty, the following
condition. If the other party has promised requisites must concur:
that the condition should happen or be a. An affirmation of fact or any promise
performed, such first mentioned party may relating to the thing sold;
also treat the nonperformance of the b. The natural tendency of such
condition as a breach of warranty. affirmation or promise is to induce the
buyer to buy;
Where the ownership in the thing has not c. The buyer buys the thing relying
passed, the buyer may treat the fulfillment by thereon. [Art. 1546, CC]
the seller of his obligation to deliver the same d. Made before the sale, not upon
as de- scribed and as warranted expressly delivery or any other point
or by implication in the contract of sale as a
condition of the obligation of the buyer to An express warranty can be made by and also
perform his promise to accept and pay for be binding on the seller even in the sale of a
the thing. second hand article. [Moles v. IAC, G.R. No.
73913 (1989)]
Condition Warranty
Goes into the Express Warranty v. Dealer’s/Trader’s Talk
Pertains to and performance of an Article 1545, CC: Any affirmation of fact or
affects the existence obligation and may, any promise by the seller relating to the thing
of the obligation in itself, be an is an express warranty if the natural
obligation tendency of such affirmation or promise is to
Non-happening does Non-fulfillment induce the buyer to purchase the same, and
not amount to breach constitutes breach if the buyer purchase the thing relying
of contract of contract thereon. No affirmation of the value of the
Stipulation or thing, nor any statement purporting to be a
Must be stipulated statement of the seller's opinion only, shall
operation of law
Always relates to the be construed as a warranty, unless the seller
May attach either to made such affirmation or statement as an
subject matter or the
the seller’s duty to expert and it was relied upon by the buyer.
seller’s obligations
deliver thing or some
as to the subject
other circumstance Article 1340, CC: The usual exaggerations
matter
in trade, when the other party had an

Page 355 of 532

U.P. LAW BOC SPECIAL CONTRACTS
If ownership has not yet passed to the buyer,
the seller cannot maintain an action for the
price, unless it involves (1) or (3).
Title to goods passes from the moment the
goods are placed at the buyer’s disposal when
refusal to accept is without just cause. [de Leon
citing Art. 1588, CC]
ACTION FOR DAMAGES [Art. 1596, CC]
When ownership has not yet passed and the
buyer, without lawful cause, neglects or
refuses to ACCEPT and PAY for the goods
General rule: Measure of damages is the
ESTIMATED LOSS directly and naturally
resulting in the ordinary course of events from
the buyer’s breach.
Exceptions:
a. Where there is available market for goods:
Difference between the contract price and
the market price. The market price is fixed
at the time the goods ought to have been
accepted, or if no time was fixed, at the
time of refusal to accept.
Note: When there are special
circumstances showing proximate
damages of a greater amount than the
difference between the contract price and
market price, seller is entitled to such
higher amount of damages when such
damages may be reasonably attributed to
the non-performance of the obligation. [de
Leon; par. 3, Art. 1596 read with par. 2, Art.
2201, CC]
b. Where labor or expense of material amount
is necessary on the part of the seller to
perform the contract: Cost of labor
performed or expenses made before
receiving notice of buyer’s repudiation, and
unrealized profit.
RESCISSION BY GIVING THE BUYER
NOTICE OF THE ELECTION TO RESCIND
[Art. 1597, CC]
When the goods have not yet been delivered to
the buyer, and the buyer repudiated the
contract of sale, or manifested his inability to
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CIVIL LAW
perform his obligations, or has committed a
breach of the contract of sale.
Under this rule, rescission would bar an action
on the contract because it means cancellation
of the contractual obligations between the
parties. [Baviera]
The unpaid seller’s right to rescind for non-
performance is not absolute. Not allowed to
rescind when:
a. There are 3rd persons possessing the
objects of the contract to whom no bad faith
is imputable [de Leon; Ocejo Perez & Co.
v. International Bank, G.R. No. L-10658
(1918)]
b. Breach is on slight or casual [de Leon;
Song Fo & Co. v. Hawaiian-Phil. Co.,
supra]
The seller cannot unilaterally and
extrajudicially rescind a contract absent
express stipulation to do so, except as
provided in Art. 1597. [De Leon]
2. Special Remedies of the Unpaid
Seller [Arts. 1525-1535, CC]
a. Possessory lien;
b. Stoppage in transitu;
c. Special right of resale; and
d. Special right to rescind
Note: These special remedies have a
hierarchical application. The special rights to
resell and to rescind can be availed of by the
unpaid seller only when either of the two prior
rights of possessory lien or stoppage in transitu
have been exercised by the unpaid seller.
[Villanueva]
Definition of an Unpaid Seller
Art. 1525. Seller is deemed to be unpaid seller:
1. When the whole of the price has not
been paid or tendered;
2. When a bill of exchange or other
negotiable instrument has been
received as conditional payment, and
the condition on which it was received
has been broken by reason of the
U.P. LAW BOC SPECIAL CONTRACTS
IMPLIED WARRANTY AGAINST
ENCUMBRANCE/NON-APPARENT
SERVITUDES
Requisites for breach:
a. Thing sold is an immovable
b. Burden or servitude encumbering the thing
sold is:
1. Non-apparent to the naked eye
2. Not mentioned in the agreement
3. Of such nature that it must be
presumed that the buyer would not
have bought it had he been aware of it
4. Not recorded in the Registry of
Property unless there is an express
warranty that the thing is free from all
burdens and encumbrances [Art. 1560,
CC]
IMPLIED WARRANTY AGAINST HIDDEN
DEFECTS
Requisites for breach:
a. The defect renders the thing sold unfit
for the use for which it was intended
OR diminishes its fitness for such use
to such an extent that had the buyer
been aware thereof, he would not have
bought it or would have paid a lower
price;
b. The defect is not patent or visible;
c. The buyer is not an expert who, by
reason of his trade or profession,
should have known the defect
d. The seller is aware of the hidden fault
or defect, OR even if he is not aware
thereof, if there is no stipulation to the
contrary [Art.1566]
The buyer must also give notice of such
redhibitory defect within a reasonable time.
The use contemplated must be that which is
stipulated, and in the absence of stipulation,
that which is adopted to the nature of the thing,
and to the business of the buyer.
IMPLIED WARRANTY AS TO
MERCHANTABLE QUALITY AND FITNESS
OF GOODS
Page 357 of 532
CIVIL LAW
Merchantable Quality
a. Where the goods are brought by
description from a seller who deals in
goods of that description [Art. 1562, CC]
b. In a sale by sample, if the seller is a dealer
in goods of that kind and the defect is not
apparent on reasonable examination of the
sample [Art. 1566, CC]
Warranty of merchantability is warranty that
goods are reasonably fit for the general
purpose for which the same are sold.
Warranty of fitness is warranty that goods are
suitable for the special purpose of the buyer
which will not be satisfied by mere fitness for
general purposes.
In a sale by sample, there is implied warranty
that goods are free from defects not apparent
on reasonable examination of sample and
which render goods unmerchantable.
[Mendoza v. David, G.R. No. 147575 (2004)]
“Fitness for a particular purpose”: Where
the buyer expressly or impliedly makes known
to the seller the particular purpose for which the
goods are acquired AND it appears that the
buyer relied on the seller’s skill or judgment
[Art.1562(1), CC]
IMPLIED WARRANTY AGAINST
REDHIBITORY DEFECT IN THE SALE OF
ANIMALS [Art. 1572, CC]
Redhibitory defect – a hidden defect of
animals of such nature that expert knowledge
is not sufficient to discover it, even in a case
where a professional inspection has been
made
No warranty in case of [Art. 1574, CC]
a. Animals sold at fairs or public auctions
b. Livestock sold as condemned
The following sales are void [Art. 1575, CC]
a. Sale of animals suffering from contagious
diseases
b. Sale of animals unfit for the purpose for
which they are acquired as stated in the
contract
U.P. LAW BOC SPECIAL CONTRACTS
Veterinarians are liable if they fail to discover
or disclose the hidden defect through
ignorance or bad faith. [Art. 1576, CC]
Seller liable if animal dies within 3 days after
its purchase due to a disease that existed at
the time of sale. [Art. 1578, CC]
Effects of Warranties
a. Natural tendency is to induce buyer to
purchase the subject matter
b. Buyer purchases subject matter relying
thereon
c. Seller liable for damages in case of breach
Effects of Waivers
Only applicable to waiver of warranty against
eviction; parties may increase or decrease
warranty against eviction but the effect
depends on good/bad faith of the seller:
a. Seller in bad faith and there is warranty
against eviction – null and void
b. Buyer without knowledge of a particular
risk and made general renunciation of
warranty – not waiver but merely limits
liability of seller in case of eviction (pay
value of subject matter at the time of
eviction)
c. Buyer with knowledge of risk of eviction
assumed its consequences and made a
waiver – vendor not liable
d. Waiver to a specific case of eviction –
wipes out warranty as to that specific risk
but not as to eviction caused by other
reasons
One who purchases real estate with knowledge
of defect or lack of title cannot claim he
acquired title thereto in good faith, as against
true owner of land or of interest therein. [J.M.
Tuason v. CA, G.R. No. L-41233 (1979)] The
same rule must be applied to one who has
knowledge of facts which should have put him
upon such inquiry and investigation as might
be necessary to acquaint him with the defects
in the title of his vendor. A purchaser cannot
close his eyes to facts which should put a
Page 358 of 532
CIVIL LAW
reasonable man upon his guard and then claim
that he acted in good faith under the belief that
there was no defect in the title of the vendor.
Buyer’s Options in Case of
Breach of Warranty
Remedies of buyer for breach of warranty,
both implied and express:
• Accept goods + demand
diminution/extinction of price
• Accept goods + damages
• Refuse to accept goods + damages
Rescind (Refuse to accept or return or offer
to return) + recover price paid [Art. 1599,
CC]
EXPRESS WARRANTY
Prescriptive period: Period specified in
express warranty OR 4 years, if no period is
specified (following the general rule on
rescission of contracts)
Remedies
Rescission not available when buyer:
a. Knew of breach of warranty when he
accepted the goods without protest
b. Fails to notify the seller about election to
rescind within a reasonable period of time
c. Fails to return or offer to return the goods
to the seller in substantially a good
condition as they were when delivered,
unless deterioration was due to breach of
warranty
Measure of damages: Difference between
value of goods at the time of delivery and the
value they would have had if they had
answered to the warranty
Effects of rescission
a. Buyer no longer liable for price: Entitled
to the return of any part of price paid,
concurrently with or immediately after
an offer to return the goods
b. If seller refuses to accept offer to return
goods: buyer deemed as bailee for
seller and has right of lien to secure
payment of part of price paid
U.P. LAW BOC SPECIAL CONTRACTS
d. Resale may be in a private or public sale,
but seller cannot buy directly or indirectly.
e. For resale to be valid, buyer need not be
notified of an intention to resell or the time
and place of the resale.
Exception: if the ground for resale is failure to
pay for an unreasonable amount of time
The seller must exercise reasonable judgment
in making the sale.
Effects of Resale:
a. Seller is no longer liable to the original
buyer upon the contract of sale or for any
profit made by the resale
b. Buyer at resale acquires good title as
against the original owner
c. In case resale is at a loss, seller is entitled
to recover the difference from the original
buyer
d. Seller may recover damages from original
buyer for breach of contract
SPECIAL RIGHT TO RESCIND
Return of the title over the undelivered goods
to the seller, and right to recover damages for
breach of contract [Art. 1534, CC]
When available
When the unpaid seller has either a right of lien
or has stopped the goods in transitu and under
any of the following conditions:
a. Seller expressly reserved his right to
rescind in case buyer defaults
b. Buyer has been in default in payment for an
unreasonable time
Transfer of title shall not be held to have been
rescinded by the unpaid seller until he
manifests by notice to the buyer or some other
overt act an intention to rescind.
Communication of rescission to buyer is not
always necessary (it can be an overt act). But
giving/failure to give notice is relevant in
determining reasonableness of time given to
the buyer to make good his obligation under
contract. [de Leon]
3. Recto Law: Sale of Movables on
Installment – Arts. 1484-1486, CC
Page 364 of 532
CIVIL LAW
WHEN APPLICABLE
Sale of movables in installment
The rule is intended to apply to sales of
movables, the price of which is payable in 2 or
more installments, but not to straight-term
sales where the price is payable in full, after
making a down payment because the law aims
to protect improvident buyers who may be
tempted to buy beyond their means. [Levy
Hermanos v. Gervacio, G.R. No. l-46306
(1939)]
Lease of personal property with option to
buy
When lessor has deprived the lessee of the
possession or enjoyment of the thing (i.e.
lessor files a complaint for replevin against
lessee).
Also applies when seller assigns his credit to
someone else.
ALTERNATIVE AND EXCLUSIVE
REMEDIES
Note: The exercise of one remedy bars the
exercise of the others.
a. Specific Performance
General Rule: When the seller has chosen
specific performance, he can no longer seek
for rescission or foreclosure of the chattel
mortgage
Exception: If specific performance has
become impossible, the seller may still choose
rescission [Art. 1191, CC]
b. Cancellation of sale if vendee fails to
pay 2 or more installments
When the seller cancels the sale by
repossessing the property sold, he is barred
from exacting payment for its price.
It can only be carried out when he who
demands rescission can return whatever he
may be obliged to restore. [Art. 1385, CC]
U.P. LAW BOC SPECIAL CONTRACTS
c. Foreclosure of Chattel Mortgage if
vendee fails to pay 2 or more
installments
If seller chooses this remedy, he shall have no
further action to recover any unpaid balance,
and any stipulation to the contrary shall be void.
The purpose of the law is to remedy the abuses
committed in foreclosure of chattel
mortgages. It prevents mortgagees from
seizing the mortgaged property, buying it at
foreclosure sale for a low price and then
bringing the suit against the mortgagor for a
deficiency judgment. The almost invariable
result of this procedure was that the mortgagor
found himself minus the property and still
owing practically the full amount of his original
indebtedness. [Bachrach Motor Co., Inc. v.
Millan, G.R. No. L-42256 (1935)]
4. Sale of Immovables
RESCISSION FOR ANTICIPATORY
BREACH [ART. 1591, CC]
Note: This is applicable to both cash sales and
sales in installments.
Requisites
a. There is delivery of immovable property
b. Vendee has not yet paid the price; and
c. Vendor has reasonable grounds to fear the
loss of property and the loss of price
If there is no such reasonable ground, Art. 1191
applies (specific performance or rescission
with damages).
Court has no discretion to compel the seller to
wait for the expiration of the period to pay, or to
grant the buyer more time to pay.
SPECIFIC PERFORMANCE + DAMAGES OR
RESCISSION + DAMAGES [Art. 1191, CC]
Seller may choose between specific
performance and rescission, with damages in
either case. Court has discretion, for a just
cause, to give the buyer more time to pay even
if the seller chooses rescission.
If seller chose specific performance, and such
becomes impossible, he may still avail of
Page 365 of 532
CIVIL LAW
rescission. If absolute sale, seller must make a
demand for rescission.
a. Judicially, OR
b. By a notarial act
Demand necessary even if automatic
rescission is stipulated
a. Effect of lack of demand: Buyer can still pay
b. Effect of demand: Court may not grant
buyer a new term
SECS. 23 AND 24, PD 957
Non-forfeiture of payments
No installment payment made by the buyer
shall be forfeited in favor of the owner or
developer of the condominium or subdivision
project, after due notice, when the buyer
desists from paying due to the failure of the
developer or owner to develop the project
according to the approved plans or within the
time limit stated.
Buyer’s Remedy: At his option, he may
reimburse the total amount paid including
amortization interest with interest thereon at
the legal rate.
If the buyer fails to pay the installments for
reasons other than the failure of the owner or
developer to develop the project, his rights
shall be governed by RA 6552.
5. Maceda Law (RA 6552): Sale of
Immovables on Installment
RA 6552 does NOT apply to:
a. Industrial lots
b. Commercial buildings
c. Sale to tenants under Agricultural Reform
Code [RA 3844]
d. Sale of lands payable in straight terms
[Sec. 3, RA 6552]
Rights of the Buyer:
The law imposes additional requirements on
the part of the seller for a valid rescission.
a. If buyer has paid at least 2 years of
installments then defaults:
• Buyer has right to a grace period of 1
month per year of installment payment
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

made BUT the buyer may only avail of However, mere filing of an unlawful detainer
the grace period once every 5 years suit by the seller does not operate as such
• Buyer has right to the refund of Cash notice. [de Leon]
Surrender Value (CSV): 50% of total
amount paid + 5% for every year after b. Remedies of the Buyer
the first 5 years of installments BUT
total CSV should not be greater than General rule: Courts will refuse to decree
90% of total amount paid specific performance with respect to chattels
• After the lapse of the grace period, because damages are a sufficient remedy.
buyer is given a notice of cancellation
or demand for rescission by notarial Exception: Buyer is entitled to the specific
act, effective 30 days from the buyer’s thing which to him has special value and which
receipt thereof AND only upon full he cannot readily obtain in the market OR
payment of CSV where damages would not furnish a complete
and adequate remedy. [Baviera]
b. If buyer has paid less than 2 years of
installments: QUICK SUMMARY OF REMEDIES OF
• Grace period of at least 60 days BUYER
• After the lapse of the grace period, REMEDY
buyer is given a notice of cancellation Damages, Rescission, Price
or demand for rescission by notarial Movables through Specific
act, effective 30 days upon receipt Performance.
thereof Return or Offer to Return
(with recovery of price or may
c. During the grace period, the buyer shall become the seller’s bailee)
also have the right: Breach of
Acceptance, for recoupment
• To sell or assign his rights, evidenced Warranty
or with damages
in a notarial instrument Refuse to Accept with
• To update his account Damages
• To pay in advance any installment, or Rescission, Suspension of
the full unpaid balance of the price, Payment, PD 957
without any interest, and to have such (Reimbursement of the total
full payment of the purchase price Immovables
amount paid/ compel the
annotated in the certificate of title developer to complete
covering the property. facilities)
Contract of Sale: Article
Down payments, deposits, or options on the Immovables
1592, CC
contract shall be included in the total number of on
Contract to Sell: Maceda Law
installments made. Installment
(RA 6552)

The seller may go to court for judicial rescission

in lieu of a notarial act of rescission.

Cancellation pertains to extrajudicial

cancellation. Absence of notice does not bar
the filing of an action to cancel the contract.

A decision in an ejectment case can operate as

notice of cancellation as required by RA 6552.

Page 366 of 532

U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

IMPLIED WARRANTY AGAINST EVICTION

[Arts. 1555, 1556, CC] IMPLIED WARRANTY AGAINST
Total Eviction Partial Eviction ENCUMBRANCES [Art. 1560, CC]
Enforce liability for
eviction Enforce liability Rescission: Within 1 year from execution of
(demand deed of sale OR
Demand from seller: VICED)
(VICED) OR Damages: Within 1 year from execution of
a. Value of thing sold at Rescind within 6 deed of sale or discovery of the burden or
time of eviction months from servitude
b. Income or fruits, if he delivery
has been ordered to a. If he would IMPLIED WARRANTY AGAINST HIDDEN
deliver them to the not have DEFECTS [Arts. 1567-1571, CC]
party who won the bought the
eviction suit thing sold If thing is not lost:
c. Costs of eviction suit without the • Withdraw from contract (accion
and in a proper case, part lost; redhibitoria) + damages
suit against seller for b. BUT he must • Demand a proportionate reduction of the
warranty return the price (accion quanti minoris) + damages
d. Expenses of the thing without
contract, if buyer has other If thing is lost:
paid them encumbranc Due to fortuitous
e. Damages and es than Due to hidden fault event or fault of
interests, and those which buyer
ornamental it had when Demand:
If seller aware of
expenses, IF sale he acquired a. Price paid
defect, buyer may
was made in bad it minus value
demand:
faith of thing
a. Return of
when it was
price
Rules lost
b. Refund of
a. Buyer need not appeal from decision to b. Damages, if
expenses
hold seller liable for eviction seller acted
c. Damages
b. When adverse possession commenced in bad faith
before sale, but prescription period If seller not aware of
completed after transfer: seller is not liable defect:
c. If property sold for nonpayment of taxes Buyer may demand
due and not made known to the buyer price and expenses
before the sale: seller liable BUT NOT damages
d. Judgment debtor also responsible for
eviction in judicial sales, unless it is Prescriptive period: 6 mos. from delivery
otherwise decreed in the judgment
IMPLIED WARRANTY AGAINST
If there is waiver of warranty: REDHIBITORY DEFECTS OF ANIMALS
a. Seller acted in bad faith: Waiver is void,
seller liable for eviction Remedies
b. Buyer made waiver without knowledge of • Withdraw from contract + damages
risks of eviction: Seller liable only for the • Demand a proportionate reduction of the
value of the thing sold at time of eviction price + damages
c. Buyer made waiver with knowledge of
risks: Seller not liable; buyer assumed the If sale is rescinded:
consequences

Page 359 of 532

U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

a. Buyer must return animal in the condition in Remedies of the Seller

which it was sold and delivered
b. Buyer shall be liable for injury due to his QUICK SUMMARY OF REMEDIES OF
negligence. SELLER
REMEDY
Prescriptive period: 40 days from delivery Damages, Rescission, Price
through Specific
Warranty in Sale of Consumer Performance.
Movables
Goods Special Remedies:
Possessory lien, Stoppage in
If implied warranty accompanies express transitu, Resale, Rescission
warranty, both will be of equal duration. [Sec. Exact fulfillment, Cancellation
Movables on
68, RA 7394] of the Sale, Foreclosure of
Installment
Chattel Mortgage
Express Warranty Implied Warranty Price through Specific
a. Retain the Performance, Rescission (for
a. Demand repair Immovables
goods and anticipatory breach and for
within 30 days;
recover non-payment)
extendible for
damages Contract of Sale: Rescission
causes beyond the
OR Immovables through Article 1592, CC
control of the
b. Reject the on Contract to Sell: Rescission
warrantor
goods, cancel Installment through Maceda Law (RA
b. Demand refund of
contract and 6552)
price minus amount
recover from
directly attributable
seller so much 1. Sale of Goods
to the use of the
of the purchase
consumer prior to
price as has ACTION FOR PRICE [Art. 1595, CC]
the discovery of the
been paid + a. When the ownership of the goods has
non-conformity
damages passed to the buyer and he wrongfully
neglects or refuses to pay for the price
9. Breach of Contract b. When the price is payable on a certain day
and the buyer wrongfully neglects to pay
The following remedies arise from the such price, whether or not ownership has
bilateral nature of the contract of sale: passed
a. Specific performance c. When the goods cannot readily be resold
b. Rescission for a reasonable price, and the buyer
c. Damages wrongfully refuses to accept the goods,
whether or not ownership has passed
General rule: Rescission of a contract will not
be permitted for a slight or casual breach, but In an action by the seller under (2), buyer can
only for such substantial and fundamental set up the defense that the seller, at any time
breach as would defeat the very object of the before judgment in such action, could not or did
parties in making the agreement. [Song Fo & not intend to deliver the goods.
Co. v. Hawaiian-Philippine Co., G.R. No.
23769 (1925)] Unless the contrary appears, payment and
delivery are presumed to be concurrent acts,
Prescriptive periods and the obligation of each party to perform the
• 10 years if based on written contract contract is dependent upon the simultaneous
• 6 years if based on oral contract performance by the other party [de Leon].

Page 360 of 532

U.P. LAW BOC SPECIAL CONTRACTS
Article 1536, CC: The vendor is not bound
to deliver the thing sold in case the vendee
should lose the right to make use of the
terms as provided in Article 1198.
Article 1198, CC: The debtor shall lose
every right to make use of the period:
(1) When after the obligation has been
contracted, he becomes insol- vent, unless
he gives a guaranty or security for the debt;
(2) When he does not furnish to the creditor
the guaranties or securities which he has
promised;
(3) When by his own acts he has impaired
said guaranties or securities after their
establishment, and when through a
fortuitous event they disappear, unless he
immediately gives new ones equally
satisfactory;
(4) When the debtor violates any
undertaking, in consideration of which the
creditor agreed to the period;
(5) When the debtor attempts to abscond.
Sales of Goods/ Movables
1. Delivery of Wrong Quantity
Article 1522, CC: Where the seller delivers
to the buyer a quantity of goods larger than
he contracted to sell, the buyer may accept
the goods included in the con- tract and
reject the rest. If the buyer accepts the whole
of the goods so delivered, he must pay for
them at the contract rate. xxxx In the
preceding two paragraphs, if the subject
matter is indivisible, the buyer may reject the
whole of the goods.
Quantity is always of the essence of a sales
contract and a seller is bound to tender the
amount of goods contracted for, in order to hold
the buyer liable for performance. [Baviera]
Page 369 of 532
CIVIL LAW
General Rule: The buyer is not bound to
accept delivery of a quantity of goods more or
less than that agreed upon or to accept goods
which are of a description different from that
agreed upon.
Exception: There is usage of trade, special
stipulation, or course of dealing to the contrary.
REMEDIES PROVIDED FOR BY LAW:
1. Where the seller delivers a quantity less
than that agreed 
upon, the buyer may
reject them. If the buyer accepts or retains
that goods delivered, knowing the inability
of the seller to deliver the rest, the buyer is
bound to pay for them at the contract rate.
If the buyer has used or disposed of the
goods before knowing the inability of the
seller to deliver the rest, the buyer shall pay
not more than the fair value of the goods.
(Note: “fair value” means the price of the
goods in the open market.) 

2. If the quantity delivered is more than that
agreed upon, the buyer may reject the
excess, unless the subject matter is
indivisible, in which case, the buyer may
reject the whole. 

3. Where the seller delivers the goods mixed
with goods of a different description not
included in the contract, the buyer may
accept the goods which are in accordance
with the contract, and reject the rest, unless
the subject matter is in- divisible, in which
case, the buyer may reject the whole.
2. Delivery by Installments
Article 1538, CC: In case of loss,
deterioration or improvement of the thing
before its delivery, the rules in Article 1189
shall be observed, the vendor being
considered the debtor.
General Rule: The buyer is not bound to
accept the delivery of goods by installments.
Exception: Unless it is otherwise stipulated.
Where the contract calls for the delivery of
goods at stated intervals which are to be
U.P. LAW BOC SPECIAL CONTRACTS
e. The seller must surrender the negotiable
instrument or title, if any, issued by the
carrier/bailee
f. The seller must bear the expenses of the
delivery of the goods after exercise of such
right.
When Goods Are In Transit [par. 1, Art 1531,
CC]
a. From the time of delivery to the carrier or
other bailee by the seller, for the purpose
of transmission to the buyer, until the buyer
or his agent takes such delivery from the
carrier.
b. Even when goods have reached their
ultimate destination, if buyer rejects them
and carrier retains possession
To terminate transit by delivery to a
middleman, delivery must be to keep, not to
transport.
In case of misdelivery, the goods are still
considered in transit, hence, the seller may still
exercise his right pursuant to Article 1523.
When Goods are No Longer in Transit [par.
2, Art. 1531, CC]
a. Buyer obtained delivery of the goods
before they have reached their appointed
destination
b. Goods have arrived at the appointed
destination, and the carrier/bailee
acknowledges to hold the goods on behalf
of the buyer
c. Goods have arrived at the appointed
destination, but carrier wrongfully refuses
to deliver to buyer/his agent
Note: If the goods are delivered to a ship,
freight train, truck, or airplane chartered by the
buyer, it is a question depending on the
circumstances of the particular case, whether
they are in the possession of the carrier as
such or as agent of the buyer.
How Right is Exercised [Art. 1532, CC]
a. By obtaining actual possession of the
goods
Page 363 of 532
CIVIL LAW
b. By giving notice of his claim to the
carrier/other bailee who has possession of
the goods
• Carrier must redeliver goods to seller,
or according to his instructions
• Carrier not obliged to redeliver until the
negotiable document of title, if any, has
been surrendered for cancellation
Effect When Buyer Has Sold the Goods [Art.
1535, CC]
General Rule: Seller’s right to stoppage in
transitu is not affected even if buyer has sold or
disposed of the goods unless the seller has
given his assent thereto.
Exceptions:
a. When seller has given consent thereto
b. When a negotiable document of title has
been issued for the goods to a purchaser
for value in good faith
SPECIAL RIGHT OF RESALE
Available to unpaid seller who has a right of lien
or who has stopped the goods in transitu [Art.
1533, CC].
When available
When the unpaid seller has either a right of lien
or has stopped the goods in transitu and under
any of the following conditions:
a. The goods are perishable in nature
b. The right to resell is expressly reserved in
case the buyer should default
c. The buyer delays in paying the price for an
unreasonable time
The right to resell the goods is not mandatory,
but permissive.
How exercised
a. He must do so within a reasonable time
and in such manner as to obtain the best
price possible.
b. The place of sale shall be at the place of
delivery, except if the seller cannot sell the
thing at a fair price at the place of delivery.
c. Resale is deemed to be a fair sale if it is
undertaken in accordance with established
business practices, with no attempt to take
advantage of the original buyer.
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

made BUT the buyer may only avail of However, mere filing of an unlawful detainer
the grace period once every 5 years suit by the seller does not operate as such
• Buyer has right to the refund of Cash notice. [de Leon]
Surrender Value (CSV): 50% of total
amount paid + 5% for every year after b. Remedies of the Buyer
the first 5 years of installments BUT
total CSV should not be greater than General rule: Courts will refuse to decree
90% of total amount paid specific performance with respect to chattels
• After the lapse of the grace period, because damages are a sufficient remedy.
buyer is given a notice of cancellation
or demand for rescission by notarial Exception: Buyer is entitled to the specific
act, effective 30 days from the buyer’s thing which to him has special value and which
receipt thereof AND only upon full he cannot readily obtain in the market OR
payment of CSV where damages would not furnish a complete
and adequate remedy. [Baviera]
b. If buyer has paid less than 2 years of
installments: QUICK SUMMARY OF REMEDIES OF
• Grace period of at least 60 days BUYER
• After the lapse of the grace period, REMEDY
buyer is given a notice of cancellation Damages, Rescission, Price
or demand for rescission by notarial Movables through Specific
act, effective 30 days upon receipt Performance.
thereof Return or Offer to Return
(with recovery of price or may
c. During the grace period, the buyer shall become the seller’s bailee)
also have the right: Breach of
Acceptance, for recoupment
• To sell or assign his rights, evidenced Warranty
or with damages
in a notarial instrument Refuse to Accept with
• To update his account Damages
• To pay in advance any installment, or Rescission, Suspension of
the full unpaid balance of the price, Payment, PD 957
without any interest, and to have such (Reimbursement of the total
full payment of the purchase price Immovables
amount paid/ compel the
annotated in the certificate of title developer to complete
covering the property. facilities)
Contract of Sale: Article
Down payments, deposits, or options on the Immovables
1592, CC
contract shall be included in the total number of on
Contract to Sell: Maceda Law
installments made. Installment
(RA 6552)

The seller may go to court for judicial rescission

in lieu of a notarial act of rescission.

Cancellation pertains to extrajudicial

cancellation. Absence of notice does not bar
the filing of an action to cancel the contract.

A decision in an ejectment case can operate as

notice of cancellation as required by RA 6552.

Page 366 of 532

U.P. LAW BOC SPECIAL CONTRACTS
Available when the seller reserves the right to
repurchase the thing sold in the same
instrument of sale as one of the stipulations of
the contract [Villarica v. CA, G.R. No. L-19196
(1968)]
2. Period
General Rule: Follow period stipulated in
contract, but should not exceed 10 years.
Exceptions:
1. If no period stipulated but the parties
intended a period, then it shall be 10 years
from the date of the contract.
2. If no period stipulated, then it shall be four
years from the execution of the contract
3. But vendor may still exercise the right to
repurchase within thirty days from the time
final judgment was rendered in a civil
action on the basis that the contract was a
true sale with right to repurchase
3. By whom exercised
1. Vendor, after returning to vendee price of
sale plus expenses of the contract, other
legitimate payments made by reason of
sale, and necessary and useful expenses
made on the thing sold [Art. 1616, CC]
2. His heirs, assigns or agents
3. Creditor, after he has exhausted the
property of the vendor [Art. 1610, CC]
4. Co-owners of an immovable, if they sold
their interests to the same person, may
only redeem their respective shares [Art.
1612, CC]
• Vendee cannot be compelled to agree
to a partial redemption [Art. 1613, CC]
• If the co-owners sold their interest to
the same person who previously
bought the share of a co-owner subject
to a right of redemption, then the latter
may be compelled to redeem the whole
property
4. From whom to redeem
1. Vendee a retro
2. His heirs, assigns or agents
Page 372 of 532
CIVIL LAW
3. Subsequent purchaser of property, even if
the right to redeem was not mentioned in
the subsequent contract; except if
registered land, where the right to redeem
must be annotated on the title
4. If several heirs, then the right of redemption
can be exercised against each heir for his
share of the property [Art. 1615, CC]
5. How exercised
1. By returning the ff. to the buyer:
• Price of the sale; except if the parties
agreed on a redemption price
• Expenses of the contract and other
legitimate payments made by reason of
the sale;
• Necessary and useful expenses made
on the thing sold
2. Complying with any other stipulation
agreed upon, if any.
The general rule in redemption is that it is not
sufficient that a person offering to redeem
manifests his desire to do so. The statement of
intention must be accompanied by an actual
and simultaneous tender of payment for the full
amount of the repurchase price. [BPI Family
Savings Bank, Inc. v. Sps. Veloso, G.R. No.
141974 (2004)]
6. Effect of Redemption
1. The sale is extinguished
2. The seller shall receive the thing free from
all charges or mortgages constituted by the
buyer BUT he shall respect leases
executed by the buyer in good faith and in
accordance with local custom.
3. As to fruits:
• If parties agreed on a distribution, the fruits
shall be distributed according to the
agreement.
• If parties did not agree on a distribution,
o If there are growing fruits at the
time of sale and at the time of
redemption:
a. Buyer receives reimbursement
if the buyer paid indemnity at
the time of the sale
U.P. LAW BOC SPECIAL CONTRACTS
Article 1536, CC: The vendor is not bound
to deliver the thing sold in case the vendee
should lose the right to make use of the
terms as provided in Article 1198.
Article 1198, CC: The debtor shall lose
every right to make use of the period:
(1) When after the obligation has been
contracted, he becomes insol- vent, unless
he gives a guaranty or security for the debt;
(2) When he does not furnish to the creditor
the guaranties or securities which he has
promised;
(3) When by his own acts he has impaired
said guaranties or securities after their
establishment, and when through a
fortuitous event they disappear, unless he
immediately gives new ones equally
satisfactory;
(4) When the debtor violates any
undertaking, in consideration of which the
creditor agreed to the period;
(5) When the debtor attempts to abscond.
Sales of Goods/ Movables
1. Delivery of Wrong Quantity
Article 1522, CC: Where the seller delivers
to the buyer a quantity of goods larger than
he contracted to sell, the buyer may accept
the goods included in the con- tract and
reject the rest. If the buyer accepts the whole
of the goods so delivered, he must pay for
them at the contract rate. xxxx In the
preceding two paragraphs, if the subject
matter is indivisible, the buyer may reject the
whole of the goods.
Quantity is always of the essence of a sales
contract and a seller is bound to tender the
amount of goods contracted for, in order to hold
the buyer liable for performance. [Baviera]
Page 369 of 532
CIVIL LAW
General Rule: The buyer is not bound to
accept delivery of a quantity of goods more or
less than that agreed upon or to accept goods
which are of a description different from that
agreed upon.
Exception: There is usage of trade, special
stipulation, or course of dealing to the contrary.
REMEDIES PROVIDED FOR BY LAW:
1. Where the seller delivers a quantity less
than that agreed 
upon, the buyer may
reject them. If the buyer accepts or retains
that goods delivered, knowing the inability
of the seller to deliver the rest, the buyer is
bound to pay for them at the contract rate.
If the buyer has used or disposed of the
goods before knowing the inability of the
seller to deliver the rest, the buyer shall pay
not more than the fair value of the goods.
(Note: “fair value” means the price of the
goods in the open market.) 

2. If the quantity delivered is more than that
agreed upon, the buyer may reject the
excess, unless the subject matter is
indivisible, in which case, the buyer may
reject the whole. 

3. Where the seller delivers the goods mixed
with goods of a different description not
included in the contract, the buyer may
accept the goods which are in accordance
with the contract, and reject the rest, unless
the subject matter is in- divisible, in which
case, the buyer may reject the whole.
2. Delivery by Installments
Article 1538, CC: In case of loss,
deterioration or improvement of the thing
before its delivery, the rules in Article 1189
shall be observed, the vendor being
considered the debtor.
General Rule: The buyer is not bound to
accept the delivery of goods by installments.
Exception: Unless it is otherwise stipulated.
Where the contract calls for the delivery of
goods at stated intervals which are to be
U.P. LAW BOC SPECIAL CONTRACTS
parties is for the transaction to secure a
debt or other obligation.
Note: A contract shall be construed as an
equitable mortgage when any of the
circumstances in Art. 1602 is present. When in
doubt whether equitable mortgage or sale,
settle in favour or equitable mortgage because
it involves a lesser transmission of rights.
By itself, no equitable mortgage under the ff.
instances:
1. Mere tolerated possession
2. Mere delay in transferring title to the buyer
The provisions on equitable mortgage of
Art.1602, CC also applies to a contract
purporting to be a deed of absolute sale.
Remedy: Reformation of the instrument [must
be brought within 10 years]
1. If the agreement is construed to be an
equitable mortgage, any money or other
benefit received as “rents,” shall be
considered as “interest” (and subject to
usury laws)
2. The court may decree that the vendor-
debtor to pay the outstanding loan to the
vendee-creditor
3. Where the agreement is upheld as a pacto
de retro sale, the vendor may still exercise
the right within 30 days from the time the
judgment becomes final.
The right of repurchase is not a right granted to
the seller by the buyer in a subsequent
instrument, but one reserved by the seller in the
same instrument as the sale contract. Any right
granted after the execution of the sale
instrument is not a right to repurchase, but
some other right like an option to buy. [Roberts
v. Papio, G.R. No. 166714 (2007)]
2. Requisites for presumption of
an equitable mortgage
a. That the parties entered into a contract
denominated as a contract of sale, and
b. That their intention was to secure an
existing debt by way of a mortgage.
[Molina v. CA, supra]
Page 374 of 532
CIVIL LAW
In case of doubt, a contract purporting to be
a sale with right to repurchase shall be
construed as an equitable mortgage [Art.
1603, CC]
3. Rationale behind provision on
equitable mortgage
a. Circumvention of usury law
b. Circumvention of prohibition against
pactum commissorium – creditor
cannot appropriate the things given by
way of pledge or mortgage since
remedy is foreclosure.
4. Remedies of apparent vendor
a. If the instrument does not reflect the
true agreement: remedy is reformation
b. If decreed to be an equitable mortgage:
any money, fruits or other benefit to be
received by the buyer as rent or
otherwise considered as interest.
c. If decreed as a true sale with right to
purchase: seller may redeem within 30
days from finality of judgment, even if
the period for redemption has expired.
5. Period of redemption
No stipulation: 4 years from the date of
contract [Art. 1606, CC]
When there is agreement: Period not to
exceed 10 years [Art. 1606, CC]
General Rule: Period starts to run from the
date of the execution of the contract
Exception: When the efficacy of the sale is
subject to a suspensive condition, period
should be counted not from the date appearing
on the instrument, but from the date when the
condition is fulfilled, marking the
consummation of the sale [Tolentino citing
Manresa].
Additional 30 days for Repurchase
The last paragraph of Art. 1606 giving the
vendor the right to repurchase within 30 days
U.P. LAW BOC SPECIAL CONTRACTS
from the time of the rendition of final judgment
applies only where the nature and the
character of the transaction, whether as a
pacto de retro or an equitable mortgage, was
put in issue before the court [Gonzales v. de
Leon, G.R. No. L-14532 (1965)]
When an unrecorded pacto de retro sale was
construed as an equitable mortgage, the
plaintiff had the right to enforce his lien in a
separate proceeding notwithstanding the fact
that he had failed to obtain judgment declaring
him the sole and absolute owner of the land.
[Heirs of Arches v. Diaz, G.R. No. L-27136
(1973)]
Where the petition of the buyer in a pacto de
retro sale is for a judicial orders pursuant Art.
1607, so that there may be consolidation of
ownership since there was failure to redeem
during the redemption period, the right of action
to foreclose or to collect the indebtedness
arises from the court judgment declaring the
contract an equitable mortgage.
6. Exercise of the right to redeem
[Art. 1616, CC]
The seller can avail himself of the right of
repurchase by returning to the buyer:
1. the price of the sale;
2. the expenses of the contract and any other
legitimate payments made by reason of the
sale;
3. the necessary and useful expenses made
on the thing sold [Art.1616, CC].
7. How redemption is exercised
1. The vendor de retro must complete the
repurchase before the expiration of the
redemption period [Panganiban v. Cuevas,
G.R. No. 2001 (1907)]
2. A sincere or genuine tender of payment is
enough. The deposit of the amount of the
repurchase money with the Clerk of Court
was simply an additional security [Legaspi
v. CA, G.R. No. L-45519 (1986)]
3. When tender of payment cannot be validly
made because the buyer cannot be
located, it becomes imperative for the
Page 375 of 532
CIVIL LAW
seller a retro to file a suit for consignation
with the courts of the redemption price
[Catangcatang v. Legayada, G.R. L-26295
(1978)].
4. If the offer or tender of payment for
repurchase is refused, it is not necessary
for the vendor a retro to consign in court or
make judicial deposit of the repurchase
price [Rosales v. Reyes, G.R. No. 8162
(1913)].
The seller a retro is given no option to require
the buyer a retro to remove the useful
improvements on the land subject of the sale a
retro, unlike that granted the owner of a land
under Arts. 546 and 547. Under Art. 1616, the
seller a retro must pay for useful improvements
introduced by the buyer a retro; otherwise, the
latter may retain possession of the land until
reimbursement is made. [Gargollo v. Duero,
G.R. No. L-15973 (1961)]
Legal Redemption [Art. 1619,
CC]
Rationale for the law: Public policy (to minimize
co-ownership) and benefit of the redemptioner
1. Definition
1. Right to be subrogated:
● Upon the same terms and conditions
stipulated in the contract,
● In the place of one who acquires a thing by
purchase or dation in payment, or by any
other transaction whereby ownership is
transmitted by onerous title [Art. 1619, CC]
2. Applies to transfers of ownership by
onerous title where subrogation is possible.
Hence, it cannot apply to barter or to
transfer by gratuitous title or hereditary
succession.
3. Applies to sales with pacto de retro
[Baviera citing Manresa]
2. Manner
1. A formal offer to redeem or
2. Filing of an action in court together with the
consignation of the redemption price within
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

the reglementary period [Lee Chuy Realty Judgment debtor,

v. CA, G.R. No. 104114 (1995)] successor–in-
1 year from the date
interest, or creditor
of registration of the
3. Period to redeem with subsequent lien,
certificate of sale
in case of execution
To whom granted Period sale [Sec. 27, Rule
30 days from notice 39, ROC]
● In writing Debtor-mortgagor,
● By the seller successors-in-
● Of the interest,
actual judicial/judgment
execution creditor, any person 1 year from the date
and delivery having a lien on the of the sale
of the deed property, in case of
of sale extrajudicial
foreclosure of
Actual knowledge of mortgage [Sec. 6, Act
the sale is No. 3135]
immaterial, absent Debtor-mortgagor in
Co-owner any showing that case of judicial
[Art 1620, CC] the co-owner has foreclosure of real
90 days from finality
been shown a copy estate mortgage IF
of judgment
Adjoining owner of of the deed of sale the mortgagee is a
Rural Land through a written bank or a banking
[Art 1621, CC] communication. institution. [General
[Doromal v. CA, Banking Law of 2000]
Adjoining owner of G.R. No. L-36083 Agricultural lessee
urban land (1975)] 2 years from the
w/o knowledge of
registration of the
[Art. 1622, CC] sale of landholding
sale
The law did not [Sec. 12, Agrarian
provide for a Land Reform Code]
particular mode of
written notice, thus The notice required in Art. 1623 must be given
any compliance by the seller because the seller is in a better
with “written notice” position to identify who his co-owners are. Said
should suffice, provision is clear. [Francisco v. Boiser, G.R.
including the giving No. 137677 (2000)]
of a copy of the
deed of sale. 4. Instances of legal redemption
[Conejero v. CA,
G.R. No. L-21812 a. Redemption by co-owners [Art. 1621,
(1966)] CC]
Debtor in case a 30 days from the
credit or date the assignee A co-owner of a thing may exercise the right of
incorporeal right in demands payment redemption in case the shares of all the co-
litigation is sold [Art. from debtor owners or any of them are sold to a third person
1634, CC]
Taxpayer in case of Third person refers to all persons who are not
1 year from date of
tax sale [Sec. 215, heirs of the vendor, by will or intestate
forfeiture
NIRC] succession.

Page 376 of 532

U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

The right is available not only to original co- b. Adjacent lands are separated by
owners, but to those who had later acquired the brooks, drains, roads and other
share of the co-owner. apparent servitudes for the benefit of
other estates
But the right of redemption may be exercised
by a co-owner only when part of the community Order of preference if two or more wishes to
property is sold to a stranger. When the portion exercise the right:
is sold to another co-owner, the right does not • Owner with smaller land area
arise because a new participant is not added to • If same land area, then the one who
the co-ownership [Fernandez v. Sps. Tarun, first requested the redemption
G.R. No. 143868 (2002)].
c. Redemption by adjoining land-owners
If the price of the alienation is grossly of urban land (applies only to small
excessive, the redemptioner shall pay only a portions of urban land) [Art. 1621, CC]
reasonable one.
Right of Pre- Right of
Should two or more co-owners desire to emption Redemption
exercise the right, they may also do so in Owner of any
proportion to the share they may respectively adjoining land has a
have in the thing owned in common. right of pre-emption
If the resale has
at a reasonable price
The ff. requisites must concur: been perfected, the
when:
a. Co-ownership of a thing owner of the
a. Urban land is
b. Alienation of shares of co-owners or all adjoining land shall
so small and
of the other co-owners have a right of
so situated
c. Sale must be to a third person or redemption, also at a
that a major
stranger reasonable price
portion of it
d. Sale must be before partition cannot be
e. Right must be exercised within the Priority if 2 or more
used for any
period specified in Article 1623 adjoining owners
practical
f. Buyer must be reimbursed the price of want to redeem:
purpose w/in
the sale owner whose
a reasonable
intended use of the
time;
Rationale: Public Policy, since co-ownership is land appears to be
b. Was bought
a hindrance to the development and best justified
merely for
administration of the property. [Baviera] speculation;
c. Was resold
b. Redemption by adjoining landowners of Arises before sale Arises after sale
rural land [Art. 1621, CC] No rescission There can be
because no sale rescission of the
The ff. requisites must concur: exists yet original sale
a. All lands must be rural lands The action is
b. Lands must be adjacent to each other Action is directed
directed against
c. A piece of rural land is alienated against buyer
prospective seller
d. Area does not exceed one hectare
e. Buyer must already own other rural d. Redemption of Credit
lands
Available when it is sold while in litigation (From
When not applicable the time the complaint is answered)
a. The grantee does not own any rural
land

Page 377 of 532

U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

Not available when the assignment is in favor f. Redemption in Foreclosure and

of: Execution Sales
a. Co-heir/co-owner of right assigned
b. Creditor in payment of his credit Who may redeem
c. Possessor of a tenement or piece of In extra judicial In execution sales
land which is subject to the right foreclosure • Judgment debtor
assigned ● Debtor • Successor in
● Successor in interest
How exercised: reimburse the assignee for interest • Creditor having a
the: ● Judicial or lien on the property
a. Price paid judgment sold by attachment,
b. Judicial expenses incurred creditor of said judgment or
c. Interest on the price from date of debtor mortgage on the
● Junior property
payment
encumbrancer subsequent to the
judgment
e. Under the Public Land Act
Period to redeem
If land is
Coverage
mortgaged in
a. Every conveyance of land acquired under Execution
Extra-judicial favor of a bank:
a free patent or homestead sale:
foreclosure:
b. The ownership of the land must have been within 1 year
transferred to another. If the transaction is within 12
within 1 year after the sale
a mere promise to sell, there is no right yet months
from the date (not available
to redeem after the
of the sale in case of a
c. This refers to conveyances made after the sale
corporate
prohibited 5 years from the issuance of the mortgagor)
patent or grant Amount of redemption
a. Amount of the purchase
Period: b. Interest at 1% per month from the time
a. Within 5 years from the date of conveyance of the sale up to the time of redemption
b. If pacto de retro sale, the period to redeem c. Any assessment or taxes which the
cannot be less than 5 years purchaser may have paid

Who may redeem Note: Every conveyance of land acquired

General Rule: Applicant, widow, or heirs
Exception: land is sold to another member of
the family of the applicant, or his direct
descendant or heir
From whom: Subsequent purchasers
The right to redeem can be exercised against
any subsequent purchaser even if the land is
registered under the Torrens System because
the fact that it was acquired through a
homestead or free patent can be seen from the
description of the property in the certificate of
title.
under a free patent or homestead, when
proper, shall be subject to repurchase by the
applicant, his widow or legal heirs within 5
years from the date of conveyance.
Sale within the 5-year prohibition is void even
if the sale is in favor of the homesteader’s own
son or daughter. This right of repurchase by
the homesteader cannot be waived.
g. Under the Agrarian Land Reform Code
Lessee’s right of pre-emption
The agricultural lessee shall have the
preferential right to buy under the same
reasonable terms and conditions, in case the
lessor decides to hold the landholding

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

Conditions TRUST AS DISTINGUISHED FROM OTHER

a. The landholding must be pre-empted CONCEPTS
by the DAR Stipulation pour
Trust
b. When two or more lessees, each shall autrui
have preferential right only to the Involves any
Refers to a specific
extent of the area cultivated by him stipulation in favor
property
of a third person
Period: 180 days from notice in writing
Trust Condition
Lessee’s right of redemption Performance or
In case landholding is sold to 3rd person Performance of
accomplishment is
without the knowledge of the lessee, the latter trust is enforceable
not enforceable
shall have the right to redeem the same at a
reasonable price and consideration. [Sec. 12, Guardianship or
RA 3844] Trust
Executorship
Guardians or
Period: within 180 days from notice in writing Executors do not
have legal title but
Trustees has legal
mere actual
title to the property
B. TRUSTS possession and
limited powers over
the property
Definition
A trust is the legal relationship between one Trust Contract
person having an equitable ownership of Always involves
A legal obligation
property and another person owning the legal ownership,
based on an
title to such property, the equitable ownership embracing a set of
undertaking
of the former entitling him to the performance rights and duties
supported by a
of certain duties and the exercise of certain fiduciary in
consideration, which
powers by the latter. [Estate of Cabacungan v. character, which
obligation may or
Laigo, G.R. No. 175073 (2011)] may be created by a
may not be fiduciary
declaration without
in character.
Characteristics of Trust: consideration
1. It is a relationship
2. The relationship is of fiduciary character
3. The relationship is with respect to property, Trust Debt
not one involving merely personal duties The beneficiary of a A creditor has
4. It involves the existence of equitable duties trust has a beneficial merely a personal
imposed upon the holder of the title to the interest in the trust claim against the
property to deal with it for the benefit of property. debtor.
another There is a fiduciary There is no fiduciary
5. It arises as a result of a manifestation of relationship between relationship
intention to create the relationship a trustee and a between a debtor
beneficiary. and a creditor.

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

Trust Sale except in cases of

An express trust is gifts in the trust.
not perfected by mere The beneficiary of a
Seller obliges trust may demand
consent, but requires
himself to transfer performance of the
the actual delivery of
ownership and obligation without
the naked or legal title
deliver possession having formally
to the trustee for the The donee must
to the buyer accepted the benefit
relationship of legality comply with the
to arise. of the trust in public
legal requirements
Trustee in an express document, upon
in accepting
trust only takes naked Buyer takes full mere acquiescence
donations.
or legal title and for ownership of the in the formation of the
the benefit of another subject matter for trust and acceptance
person, the his sole benefit. under the second
beneficiary. paragraph of Art.
Constituted merely as 1311.
a preparation,
Entered into for its 1. Governing Rules
arrangement,
own end, the
medium, by which the
acquiring of title of Art. 1442, CC. The principles of the general
trustee is expected to
the subject matter
pursue other juridical law of trusts insofar as they are not in conflict
by the buyer. with this Code, the Code of Commerce, the
acts for the benefit of
the beneficiary. Rules of Court and special laws are hereby
adopted.
Trust Lease
Naked title is 2. Parties [Art. 1440, CC]
transferred to the
trustee; full beneficial Lessor retains a. Trustor – the person who establishes
ownership is for the naked title. the trust
account of the b. Trustee – one in whom the confidence
beneficiary. is reposed as regards property for the
Essence of the benefit of another person
Essence of the c. Beneficiary or cestui que trust –
contract is for the
contract is the person for whose benefit the trust has
trustee to manage the
enjoyment of the been created
rust property as the
possession and use
legal title holder for
of the leased 3. Kinds of Trust
benefit or interest of
property.
the beneficiary.
Benefits enjoyed by Benefits enjoyed by a. Express Trust
the beneficiary are the lessee are only
usually of a for a limited Created by the intention of the trustor or of the
permanent nature. contracted period. parties [Art. 1441, CC]

Trust Donation Elements:

An existing legal There is a transfer 1. Competent trustor or settlor
relationship which of property as well 2. Trustee
involves the as the disposition of 3. Ascertainable trust res / Trust property
separation of legal both legal and 4. Sufficiently certain beneficiaries
and equitable title equitable ownership

Page 380 of 532

U.P. LAW BOC SPECIAL CONTRACTS
Trust is created:
1. By declaration of the trustor or settlor that
he holds property in trust,
2. By conveyance to the trustee,
3. Inter vivos, or
4. By testament.
Proof Required:
1. No express trusts concerning an
immovable or any interest therein may be
proved by parol evidence [Art. 1443, CC].
Trusts over real property are
unenforceable unless in writing, although
writing is not required for validity, only for
proof.
2. Where the trust is over personal property,
an oral trust is sufficient between the
parties.
3. But to bind third persons the trust must be
in a public instrument [Art. 1358(1) and (3),
CC]
Form of Express Trusts
Art. 1444, CC. No particular words are
required for the creation of an express trust, it
being sufficient that trust is clearly intended.
Want of Trustee
Art. 1445, CC. No trust shall fail because the
trustee appointed declines the designation,
unless the contrary should appear in the
instrument constituting the trust.
Acceptance by beneficiary
Acceptance by beneficiary is necessary [Art.
1446, CC]. It may be:
1. Express
2. Implied – acceptance by the beneficiary is
not subject to the formal rules of
donations [Cristobal v. Gomez, G.R. No.
L-27014 (1927)]
3. Presumed – if the trust imposes no
onerous condition upon the beneficiary
Termination of Express Trusts
1. Revocation or modification by the trustor
under a reserved power
2. Rescission
3. Expiration of the period or happening of the
resolutory condition
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4. Accomplishment of the purpose or its
becoming impossible or illegal
5. Dissolution by the Court if continuation will
defeat the purpose of the trust
6. Dissolution by the consent of all the
beneficiaries and/or the settlor
7. Merger
b. Implied Trust
How established
Implied trusts come into being by operation of
law [Art. 1441, CC].
The essential idea involves a certain
antagonism between the cestui que trust and
the trustee even where the trust has not arisen
out of fraud or an immoral transaction [Reyes]
Proof required
Art. 1457. An implied trust may be proved by
oral evidence.
A trust must be proven by clear, satisfactory
and convincing evidence. It cannot rest on
vague and uncertain evidence or on loose,
equivocal or indefinite declarations [de Leon v.
Molo-Peckson, G.R. No. L-17809 (1962)]
As a rule, the burden of proving the existence
of a trust is on the party asserting its existence,
and such proof must be clear and satisfactorily
show the existence of the trust and its
elements. While implied trusts may be proved
by oral evidence, the evidence must be
trustworthy and received by the courts with
extreme caution, and should not be made to
rest on loose, equivocal or indefinite
declarations. Trustworthy evidence is required
because oral evidence can easily be
fabricated. [Morales v. Court of Appeals,
(1997)]
Kinds of Implied Trusts
1. Resulting Trusts - a trust raised by
implication of law and presumed to have
been contemplated by the parties, the
intention as to which is to be found in the
nature of their transaction, but not
expressed in the deed or instrument of
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

conveyance [Salao v. Salao, G.R. No. L- Express and Implied Trust Distinguished
26699 (1976)] Express Trust Implied Trust
Comes into being
Rules on Resulting Trusts by operation of
Created by the
a. There is an implied trust when property law.
intention of the
is sold, and the legal estate is granted trustor or the
Those, without
to one party but the price is paid by parties.
being expressed,
another for the purpose of having the are deductible
beneficial interest of the property. The As to Created by the
from the nature of
former is the trustee, while the latter is Creatio direct and positive
the transaction
n acts of the parties
the beneficiary. However, if the person by operation of
by some writing or
to whom the title is conveyed is a child, law as matters of
deed or will or by
legitimate or illegitimate, of the one equity,
words evidencing
paying the price of the sale, no trust is independently of
an intention to
implied by law, it being disputably the particular
create a trust.
intention of the
presumed that there is a gift in favor of
parties.
the child. [Art. 1448, CC]. An express trust
over an immovable
b. There is also an implied trust when a An implied trust
As to property or any
donation is made to a person but it may be proved
Proof interest therein
by oral evidence
appears that although the legal estate cannot be proved
is transmitted to the donee, he by parol evidence
nevertheless is either to have no In resulting trust:
beneficial interest or only a part Action must be
thereof. [Art. 1449, CC]. made within 10
years from
Action must be
knowledge of
c. When land passes by succession to made within 10
repudiation,
any person and he causes the legal title As to years from
otherwise
to be put in the name of another, a trust Prescri knowledge of the
prescribed.
is established by implication of law for ption repudiation,
otherwise
the benefit of the true owner. [Art. 1451, In constructive
prescribed.
CC]. trust: It must be
made within 10
d. If two or more persons agree to years from date
purchase property and by common of registration.
In constructive
consent the legal title is taken in the An express
trusts, even if
name of one of them for the benefit of repudiation made
there is no
all, a trust is created by force of law in known to the
repudiation,
favor of the others in proportion to the beneficiary is
laches may bar
interest of each. [Art. 1452, CC]. necessary in order
As to an action to
that laches or
Laches enforce an
acquisitive
e. When property is conveyed to a person prescription may
implied trust
in reliance upon his declared intention bar an action to
to hold it for, or transfer it to another or Exception: If
enforce an express
the grantor, there is an implied trust in there is
trust.
concealment.
favor of the person whose benefit is
contemplated. [Art. 1453, CC].

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U.P. LAW BOC SPECIAL CONTRACTS
Trustee can sue
and be sued alone
As to Trustee cannot
[PAL, Inc. v. Heald
Suabilit sue and be sued
Lumber Co., G.R.
y alone.
No. L-11497
(1957)]
2. Constructive Trusts - a trust not created
by any words, either expressly or impliedly
evincing a direct intension to create a trust,
but by the construction of equity in order
to satisfy the demands of justice [Salao v.
Salao, supra]
Rules on Constructive Trusts
a. If the price of a sale of property is
loaned or paid by one person for the
benefit of another and the conveyance
is made to the lender or payor to secure
the payment of the debt, a trust arises
by operation of law in favor of the
person to whom the money is loaned or
for whom it is paid. The latter may
redeem the property and compel a
conveyance thereof to him. [Art. 1450,
CC].
b. If an absolute conveyance of property
is made in order to secure the
performance of an obligation of the
grantor toward the grantee, a trust by
virtue of law is established. If the
fulfillment of the obligation is offered by
the grantor when it becomes due, he
may demand the reconveyance of the
property to him. [Art. 1454, CC].
c. When any trustee, guardian or other
person holding a fiduciary relationship
uses trust funds for the purchase of
property and causes the conveyance to
be made to him or to a third person, a
trust is established by operation of law
in favor of the person to whom the
funds belong. [Art. 1455, CC].
d. If property is acquired through mistake
or fraud, the person obtaining it is, by
force of law, considered a trustee of an
implied trust by prescription, the title
thereto may be attacked, either directly
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CIVIL LAW
or collaterally, by the State which is not
bound by any prescriptive period
provided by the Statute of Limitation.
[Peña, citing Martinez v. CA, G.R. No.
L-31271 (1974)]
C. AGENCY
1. Nature and form
By the contract of agency, a person binds
himself to render some service or to do
something in representation or on behalf of
another, with the consent or authority of the
latter [Art. 1868, CC].
Using this definition, there are two parties in a
contract of agency. The agent is the one who
binds himself to represent another; while the
principal is the one who is represented by the
agent.
A contract of agency has at least four
essential elements:
1. There is consent, express or implied of the
parties to establish the relationship;
2. The object is the execution of a juridical act
in relation to a third person;
3. The agents acts as a representative and
not for himself, and
4. The agent acts within the scope of his
authority [Rallos v. Felix Go Chan, G.R. No.
L-24332 (1978)].
It must be noted, however, that agency is not
always contractual. As will be discussed,
even if some of these elements are missing,
agency may still be created by operation of
law, such as Articles 1930 and 1931.
General rule as to form
Agency may be written or oral, unless the law
requires a specific form [Art. 1869, CC].
Exceptions as to form
1. In an agency to sell a piece of land or any
interest therein, the authority of the agent
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

shall be in writing. Otherwise, the sale

shall be void [Art. 1874, CC]. Distinguishing Agency from
2. A corporation may act only through its Independent Contract
board of directors or, when authorized [De Leon (2010), 349-352]
either by its bylaws or by its board Agency Independent
resolution, through its officers or agents in Contract
the normal course of business [San Juan Agent may be Independent
Structural Steel v. CA, G.R. No. 129549 controlled and contractor is
(1998)]. directed by the independent from
principal the principal’s
Agency distinguished from other contracts control and direction
Distinguishing Agency from Loan Generally, principal Generally, employer
[De Leon (2010), 345-346] is liable for the is not liable for the
Agency Loan agent’s acts independent
Principal gives funds Lender gives funds contractor’s acts
to agent to advance to borrower for
principal’s own borrower’s own Distinguishing Agency from Partnership
business purposes [De Leon (2010), 352-355; Art. 1767, CC]
Does not carry with it Carries with it the Agency Partnership
the obligation to corresponding Agent acts in Each partner is an
return the money obligation to return representation of the agent of the
the money principal, not vice partnership and his
versa co-partners (i.e.
Distinguishing Agency from Lease of contract of mutual
Service agency)
[De Leon (2010), 347-349] Unless acting Acting in
Agency Lease of Service outside the scope of representation of the
Based on Based on authority, agent does partnership, a
representation employment not incur personal partner binds
Agents generally Lessor (employee) liability himself, the
exercises discretion only exercises partnership, and his
ministerial acts co-partners [see Art.
Parties involved Parties involved are 1822]
include agent, lessee (employer) Agent is subject to Partners do not have
principal, and third and lessor the control of the the right to control
person (employee) principal co-partners

Distinguishing Agency from Brokerage

[Hahn v. CA, G.R. No. 113074, Jan. 22,
1997]
Agency Brokerage
“An agent receives a “[B]roker earns his
commission upon pay merely by
the successful bringing the buyer
conclusion of a sale.” and the seller
together, even if no
sale is eventually
made.”

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

Distinguishing Agency from Sale 2. Implied from

[Art. 1458, CC; Quiroga v. Parsons, G.R. a. The acts of the principal,
No. L-11491, Aug. 23, 1918] b. His silence or lack of action, or
Agency to sell Sale c. His failure to repudiate the agency,
Principal does not Seller transfers knowing that another person is acting
transfer ownership of ownership of the on his behalf without authority [Art.
the goods to agent. goods 1869, CC].
Agent does not pay Buyer pays the price
the price of the of a thing. Acceptance by the agent may also be
goods to principal, express or implied.
but delivers the price 1. Express: oral or written
he obtains from 2. Implied from
selling them to third a. His acts which carry out the agency, or
persons b. His silence or inaction according to
Agent must return No obligation to the circumstances [Art. 1870, CC]
the goods if the return the goods if
goods remain unsold the buyer is unable Between persons who are present, the
to sell it to third acceptance of the agency may also be
persons implied if the principal delivers his power of
attorney to the agent and the latter receives it
Distinguishing Agency from Trust without any objection [Art. 1871, CC].
[De Leon (2010), 368-369; Art. 1440, CC]
Agency Trust Between persons who are absent, the
Agent acts in Title passes to the acceptance of the agency cannot be implied
from the silence of the agent, except:
representation of the trustee acting in his
a. When the principal transmits his power
principal own name
of attorney to the agent, who receives
May be revoked any Terminated upon
it without any objection;
time [see fulfillment of purpose
b. When the principal entrusts to him by
Extinguishment of of trust
letter or telegram a power of attorney
Agency]
with respect to the business in which
he is habitually engaged as an agent,
2. Kinds and he did not reply to the letter or
telegram [Art. 1872, CC].
A contract of agency may be classified:
1. As to manner of creation: express and Implied agency v. Agency by estoppel
implied [Arts. 1869-1873, CC] Distinguishing implied agency from
2. As to scope of business: general and agency by estoppel
special [Art. 1876, CC] [De Leon (2010), 386-388]
3. As to authority conferred: couched in Implied agency Agency by
general terms and couched in specific [Arts. 1881-1882] estoppel [Art.
terms [Art. 1877-1880, CC] 1911]
4. As to consideration: gratuitous or onerous Actual or real No actual agency,
[Art. 1875, CC] agency. only the presence of
an apparent
1. AS TO MANNER OF CREATION: authority
EXPRESS AND IMPLIED Only the principal is Liability depends
liable to third whether estoppel is
An agency may be express or implied [Art. persons. caused by the
1869, CC]. principal or the
1. Express: oral or written agent.

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U.P. LAW BOC SPECIAL CONTRACTS
A third party’s A third party’s
reliance in the reliance in the
representation is not representation is
necessary, since necessary to invoke
there is an actual agency by estoppel.
agency.
2. AS TO SCOPE OF BUSINESS:
GENERAL AND SPECIAL
An agency is either general or special [Art.
1876, CC]:
1. General: comprises of all the
business of the principal
2. Special: Comprises one or more
specific transactions
A general agent is “one authorized to do all
acts pertaining to a business of a certain kind
or at a particular place, or all acts pertaining to
a business of a particular class or series, while
a special agent is “one authorized to do some
particular act or to act upon some particular
occasion. He acts usually in accordance with
specific instructions or under limitations
necessarily implied from the nature of the act
to be done.” [Siasat v. IAC, G.R. No. L-67889
(1985), citing Padilla (1969)]
3. AS TO AUTHORITY CONFERRED:
COUCHED IN GENERAL TERMS
AND COUCHED IN SPECIFIC
TERMS
An agency may also be couched in general
terms or specific terms [Art. 1877, CC]:
1. Couched in general terms: comprises
only acts of administration, even if:
a. The principal should state that he
withholds no power or that the agent
may execute such acts as he may
consider appropriate, or
b. Or even though the agency should
authorize a general and unlimited
management [Art. 1877, CC].
The term “acts of administration” are “those
which do not imply the authority to alienate
for the exercise of which an express power
is necessary” [De Leon (2010), 408-409].
Page 386 of 532
CIVIL LAW
2. Couched in specific terms: A special
power of attorney is necessary in acts of
strict dominion [De Leon (2010), 414]. The
circumstances enumerated in Art. 1878
pertain to this, namely:
a. To make such payments as are not
usually considered as acts of
administration;
b. To effect novations which put an
end to obligations already in
existence at the time the agency
was constituted;
c. To compromise, to submit
questions to arbitration, to
renounce the right to appeal from a
judgment, to waive objections to
the venue of an action or to
abandon a prescription already
acquired;
d. To waive any obligation
gratuitously;
e. To enter into any contract by which
the ownership of an immovable is
transmitted or acquired either
gratuitously or for a valuable
consideration;
f. To make gifts, except customary
ones for charity or those made to
employees in the business
managed by the agent;
g. To loan or borrow money, unless
the latter act be urgent and
indispensable for the preservation
of the things which are under
administration;
h. To lease any real property to
another person for more than one
year;
i. To bind the principal to render
some service without
compensation;
j. To bind the principal in a contract
of partnership;
k. To obligate the principal as a
guarantor or surety;
l. To create or convey real rights over
immovable property;
m. To accept or repudiate an
inheritance;
n. To ratify or recognize obligations
contracted before the agency;
U.P. LAW BOC SPECIAL CONTRACTS
o. Any other act of strict dominion.
Note that the special power to sell excludes the
power to mortgage; and a special power to
mortgage does not include the power to sell
[Art. 1879, CC]. Note further that the power to
compromise does not authorize submission to
arbitration [Art. 1880, CC].
4. OTHER KINDS OF AGENCY
Agency by estoppel
In an agency by estoppel, there is no agency
at all, but the one assuming to act as agent has
apparent authority, to represent another,
although not real [Yun Kwan Byung v.
PAGCOR, G.R. No. 163553, Dec. 11, 2009].
To establish agency by estoppel, the following
elements must be shown:
1. The principal manifested a of a family [Art. 1887, CC].
representation of the agent’s authority or
knowingly allowed the agent to assume
such authority;
2. The third person, in good faith, relied
upon such representation; and
3. Relying upon such representation, such
third person has changed his position to
his detriment [Litonjua v. Eternit
Corporation, G.R. No. 144805, June 8,
2006].
Agency by operation of law
While agency is generally contractual, the Civil
Code admits several exceptions.
1. The agent must finish the business
already begun on the death of the
principal, should delay entail any danger
[Art. 1884, par. 2, CC]
2. The agent, even if he should withdraw
from the agency for a valid reason, must
continue to act until the principal has had
reasonable opportunity to take the
necessary steps to meet the situation. [Art.
1929, CC]
3. The agency shall remain in full force and
effect even after the death of the principal,
if it has been constituted in the common
interest of the latter and of the agent, or in
the interest of a third person who has
Page 387 of 532
CIVIL LAW
accepted the stipulation in his favor [Art.
1930, CC]
4. Anything done by the agent, without
knowledge of the death of the principal or
of any other cause which extinguishes the
agency, is valid and shall be fully effective
with respect to third persons who may have
contracted with him in good faith. [Art.
1931, CC]
OBLIGATIONS OF THE AGENT
a. To act within the scope of
authority
One of the primary obligations of an agent is to
act within the scope of his authority [Art.
1881, CC]. This includes acting according to
the instructions of the principal; and in
default thereof, to the diligence of a good father
In the following cases, the acts performed by
the agent shall be deemed within the scope
of his authority:
1. Acts that may be conducive to the
accomplishment of the purpose of the
agency [Art. 1881, CC];
2. Acts performed in a manner more
advantageous to the principal than that
specified by him [Art. 1882, CC];
3. So far as third persons are concerned, acts
within the terms of the written power of
attorney, even if the agent has in fact
exceeded the limits of his authority
according to an understanding between the
principal and the agent [Art. 1900, CC]
b. To carry out the agency
Another primary obligation of an agent is to
carry out the agency [Art. 1884, CC]. Such
obligation entails that the agent shall
1. Be liable for the damages caused to
the principal through his non-
performance [Art. 1884, CC];
2. Finish the business already begun on
the death of the principal, should delay
entail danger [Art. 1884, CC];
3. Even if the agent withdraws, continue
to act as an agent until the principal
U.P. LAW BOC SPECIAL CONTRACTS
has had reasonable opportunity to take
the necessary steps to meet the
situation [Art. 1929, CC].
The obligation to carry out the agency also
includes the obligation to not carry out the
agency if its execution would manifestly result
in loss or damage to the principal [Art. 1888,
CC].
c. To prefer the interest of the
principal over his own
This obligation is manifested in two ways:
1. An agent shall be liable for damages if,
there being a conflict between his interests
and those of the principal, he should prefer
his own [Art. 1889, CC];
2. An agent, who has been authorized to lend
money, may not borrow it without the
consent of the principal [Art. 1890, CC].
d. To render account and to
deliver
An agent must render an account of his
transactions and deliver to the principal
whatever he may have received by virtue of the
agency, even though it may not be owing to the
principal [Art. 1891, CC].
A stipulation exempting the agent from the
obligation to render an account shall be void
[Art. 1891, CC].
e. To pay interest
The agent owes interest on
1. The sums he has applied to his own use
from the day on which he did so; and
2. Those which he still owes after the
extinguishment of the agency [Art. 1896,
CC].
f. To be liable for fraud and
negligence
The agent is also liable for fraud and
negligence. In this case, negligence shall be
judged with more or less rigor by the courts,
Page 388 of 532
CIVIL LAW
according to whether the agency was or was
not for compensation [Art. 1909, CC].
LIABILITY FOR ACTS OF SUBSTITUTES
Appointment of a substitute
General rule: An agent may appoint a
substitute.
Exemption: Principal prohibits the agent from
doing so. In this case, all of the substitute’s acts
shall be void [Art. 1892, CC].
Liability of the agent for his substitutes
General rule: The agent shall not be
responsible for the acts of the substitute.
Exemptions: An agent is responsible for the
acts of the substitute in the following cases:
1. When the agent was not given the
power to appoint one;
2. When the agent was given such power,
but without designating the person,
and the person appointed was
notoriously incompetent or
insolvent [Art. 1892, CC].
In both of these cases, the principal may
bring an action against the substitute with
respect to the obligations the substitute has
contracted under the said substitution [Art.
1893, CC].
Solidary Liability
Just like ordinary contracts, solidary liability is
not presumed, even if two or more agents are
appointed simultaneously. Solidary liability
among such agents must be expressly
stipulated [Art. 1894, CC].
D. COMPROMISE
1. Definition
A compromise is a contract whereby the
parties, by making reciprocal concessions,
avoid a litigation or put an end to one already
commenced. [Art. 2028, CC]
U.P. LAW BOC SPECIAL CONTRACTS
As a contract, a valid compromise agreement
must possess the following requisites:
1. The consent of the parties to the
compromise,
2. An object certain that is the subject matter
of the compromise, and
3. The cause of the obligation that is
established. [Magbanua v. Uy, G.R. No.
161003 (2005)]
The Civil Code provides for additional
requisites in special cases:
1. A special power of attorney for a
compromise agreement to be entered into
by an agent on behalf of the principal [Art.
1878(3), CC]
Note: A special power to compromise does
not authorize submission to arbitration.
[Art. 1880, CC]
2. The consent of all the partners in a
partnership, except when authorized by the
other partners or unless they have
abandoned the business. [Art. 1818, CC]
2. Kinds of Compromise
a. Judicial – puts an end to a pending litigation
b. Extrajudicial – to avoid litigation [Sps.
Abinujar and Lana v. Court of Appeals, G.R.
No. 104133 (1995)]
3. Coverage
A compromise comprises only those objects
which are:
1. definitely stated therein, or
2. which by necessary implication from its
terms should be deemed to have been
included in the same.
A general renunciation of rights is understood
to refer only to those that are connected with
the dispute which was the subject of the
compromise [Art. 2036, CC]
Limitation on Juridical Persons
Juridical persons may compromise only in the
form and with the requisites which may be
Page 389 of 532
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necessary to alienate their property. [Art. 2033,
CC].
4. Effects
a. Suspension of Pending Litigation
Every civil action or proceeding shall be
suspended:
1. If willingness to discuss a possible
compromise is expressed by one or both
parties; or
2. If it appears that one of the parties, before
the commencement of the action or
proceeding, offered to discuss a possible
compromise but the other party refused
the offer.
The duration and terms of the suspension of
the civil action or proceeding and similar
matters shall be governed by such provisions
of the rules of court as the Supreme Court shall
promulgate. Said rules of court shall likewise
provide for the appointment and duties of
amicable compounders. [Art. 2030, CC]
b. Res Judicata
A compromise has upon the parties the effect
and authority of res judicata; but there shall be
no execution except in compliance with a
judicial compromise. [Art. 2037, CC]
5. Role of the Court
Persuade Litigants to Compromise
The court shall endeavor to persuade the
litigants in a civil case to agree upon some fair
compromise [Art. 2029, CC]
Mitigate Damages
The courts may mitigate the damages to be
paid by the losing party who has shown a
sincere desire for a compromise [Art. 2031,
CC]
Approve Compromise in Special Cases
The court's approval is necessary in
compromises entered into by guardians,
parents, absentee's representatives, and
administrators or executors of decedent's
estates. [Art. 2032, CC]
U.P. LAW BOC SPECIAL CONTRACTS
6. Effect on Criminal Action
There may be a compromise upon the civil
liability arising from an offense; but such
compromise shall not extinguish the public
action for the imposition of the legal penalty.
[Art. 2034, CC]
Trigger(s): A person has committed an
offense; The offender party and the offender is
willing to seek compromise on the civil liability.
Effect: Compromise may extinguish or novate
the civil liability but shall not affect criminal
liability
7. Void Compromise
No compromise upon the following
questions shall be valid:
(1) The civil status of persons;
(2) The validity of a marriage or a legal
separation;
(3) Any ground for legal separation;
(4) Future support;
(5) The jurisdiction of courts;
(6) Future legitime.
The prohibitions in the two preceding
articles (see below) are applicable to
sales in legal redemption, compromises
and renunciations. [Art. 2035, CC]
The husband and the wife cannot sell
property to each other, except:
1. When a separation of property was
agreed upon in the marriage
settlements; or
2. When there has been a judicial
separation of property under article
191. [Art. 1490, CC]
The following persons cannot acquire by
purchase, even at a public or judicial
auction, either in person or through the
mediation of another:
1. The guardian, the property of the
person or persons who may be under
his guardianship;
2. Agents, the property whose
administration or sale may have been
Page 390 of 532
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intrusted to them, unless the consent of
the principal has been given;
3. Executors and administrators, the
property of the estate under
administration;
4. Public officers and employees, the
property of the State or of any
subdivision thereof, or of any
government-owned or controlled
corporation, or institution, the
administration of which has been
intrusted to them; this provision shall
apply to judges and government
experts who, in any manner
whatsoever, take part in the sale;
5. Justices, judges, prosecuting
attorneys, clerks of superior and
inferior courts, and other officers and
employees connected with the
administration of justice, the property
and rights in litigation or levied upon an
execution before the court within
whose jurisdiction or territory they
exercise their respective functions; this
prohibition includes the act of acquiring
by assignment and shall apply to
lawyers, with respect to the property
and rights which may be the object of
any litigation in which they may take
part by virtue of their profession;
6. Any others specially disqualified by
law. [Art. 1492, CC]
Civil Status
General Rule: Parties cannot compromise on
the civil status of persons
Exception: The law does not prohibit a simple
and full recognition of the status of another, not
amounting to compromise.
A possible objection to the promise of the
defendants to give the plaintiff his share in the
estate as an acknowledged natural child is that
such agreement may run counter to article
1814, (old) Civil Code [Now Art. 2035, NCC].
However, it does not appear from the complaint
that the defendants ever impugned or denied
the plaintiff's status as an acknowledged
natural child; on the contrary, according to the
complaint, the defendants admitted such status
by promising to give the plaintiff his lawful
U.P. LAW BOC SPECIAL CONTRACTS
share in the estate of the father. There having
been, in accordance with the allegations in the
complaint, no controversy over the condition of
the plaintiff as acknowledged natural child, the
agreement between the plaintiff and
defendants alleged in par. 7 of the complaint, if
shown at the trial, is not a compromise at all,
and is not frowned upon by the legislator in
article 1814 of the Civil Code. [Lajom v. Viola,
G.R. No. L-47475 (1942)]
Validity of Marriage or Legal Separation and
any of its Grounds
General Rule: Parties cannot compromise on
the validity of marriage or legal separation, the
validity of which is governed by the provisions
of the Family Code.
Future Support
General Rule: The law prohibits a compromise
on future support.
Jurisdiction of the Courts
General Rule: Jurisdiction is conferred by law
and cannot be compromised by the parties.
Future Legitime
General Rule: The law prohibits a compromise
on future legitimes.
Sale of Property Between Married Spouses
General Rule: Spouses cannot by
compromise evade the prohibition on the sale
of property to one another
Exception(s): When a separation of property
has been agreed upon in the marriage
settlements; When there is legal separation
8. Voidable Compromise
A compromise in which there is mistake,
fraud, violence, intimidation, undue
influence, or falsity of documents, is subject
to the provisions of article 1330 of this Code.
However, one of parties cannot set up a
mistake of fact as against the other if the
latter, by virtue of the compromise, has
withdrawn from a litigation already
commenced. [Art. 2038, CC]
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CIVIL LAW
General Rule: Mistake, fraud, violence,
intimidation, undue influence or falsity of
documents are grounds to annul the
compromise agreement.
Exception: Mistake of fact cannot be set up if
the other party, by virtue of the compromise
has already withdrawn from the litigation
9. Annulment/ Rescission
Newly-discovered Documents
When the parties compromise generally on
all differences which they might have with
each other, the discovery of documents
referring to one or more but not to all of the
questions settled shall not itself be a cause
for annulment or rescission of the
compromise, unless said documents have
been concealed by one of the parties.
But the compromise may be annulled or
rescinded if it refers only to one thing to
which one of the parties has no right, as
shown by the newly-discovered documents.
[Art. 2039, CC]
Triggers:
1. Parties have compromised generally in all
differences they have.
2. There is a subsequent discovery of
documents referring to one or more but not
to all of the questions settled.
General Rule: Discovery shall not itself be a
cause for annulment of the compromise
Exception: Discovery shall be a cause for
annulment if:
● The said documents were concealed
by one party;
● The compromise refers only to one
thing to which one of the parties has no
right, as shown by the newly-
discovered documents.
If after a litigation has been decided by a final
judgment, a compromise should be agreed
upon, either or both parties being unaware of
the existence of the final judgment, the
compromise may be rescinded.
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

Ignorance of a judgment which may be revoked

or set aside is not a valid ground for attacking E. LOAN
a compromise. [Art. 2040, CC]

Triggers:
1. The parties to the compromise had a case
pending litigation
2. Final judgement has been rendered on the
case
3. Parties are unaware of the existence of
final judgement
4. Parties have entered a compromise
agreement
General Rule: The compromise agreement
may be rescinded.
Exception: Ignorance of a judgment which
may be revoked or set aside is not a valid
ground for attacking a compromise. “This
refers to the instance when the court’s decision
is still appealable or otherwise subject to
modification. Ignorance of the decision is not a
ground to rescind a compromise agreement,
because the parties are still unsure of the final
outcome of the case at this time”. [Magbanua
v. Uy, G.R. No. 161003 (2005)]
1. Loan
Art. 1933, CC. By the contract of loan, one
of the parties delivers to another, either
something not consumable so the latter may
use the same for a certain time and return it,
in which case the contract is called a
commodatum, or money or other
consumable thing, upon the condition that
the same amount of the same kind and
quality shall be paid, in which case the
contract is simply called a loan or mutuum.
Commodatum is essentially gratuitous.
Simple loan may be gratuitous or with a
stipulation to pay interest.
In commodatum the bailor retains the
ownership of the thing loaned while in simple
loan, ownership passes to the borrower.

Contract of Loan vs. Contract to Loan

10. In Case of Breach
Contract of Loan Contract to Loan
Real Contract: Consensual
If one of the parties fails or refuses to abide
perfected, not by mere Contract:
by the compromise, the other party may
consent, but by perfected by mere
either enforce the compromise or regard it as
delivery of the object consent.
rescinded and insist upon his original
of the contract.
demand. [Art. 2041, CC]
An accepted
promise to deliver
Trigger: One of the parties fails or refuses to
something by way
abide by the compromise agreement
of commodatum or
simple loan is
Effect: The innocent party may either:
binding upon the
● Demand specific performance of the
parties [Art. 1934,
compromise agreement.
CC]
● Rescind the compromise agreement
and insist upon the original demand.
Two Types of Contracts of Loan
The innocent party need not seek a judicial 1. Commodatum – a contract where one
declaration of rescission, for he may ‘regard’ party delivers to another something not
the compromise agreement already ‘rescinded’ consumable so that the latter may use the
[Sonley v. Anchor Savings Bank/ Equicom same for a certain time and return it. [Art.
Savings Bank, G.R. No. 205623 (2016)] 1933, CC]
2. Mutuum (Simple Loan) – a contract
where one party delivers to another, money

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

or other consumable thing, upon the ii. As to Object

condition that the same amount of the Commodatum Mutuum
same kind and quality shall be paid. [Art. GR: Involves non- GR: Involves money
1933, CC] consumable movable or other consumable
or immovable movable property
Note: A contract of commodatum is a property
gratuitous real contract, and is purely personal Consumable -
in nature. It does not require compensation for EX: Consumable cannot be used in a
its use, and is perfected upon delivery by the goods may be the manner appropriate to
bailor. However it demands that the same subject of their nature without
exact thing be returned, and that generally the commodatum if the their being consumed.
purpose of the [Art. 418, CC
use of the thing is only limited to the bailor, with
contract is NOT
exceptions in Art. 1939 (2). A contract of loan
consumption of the
is a real contract, perfected upon delivery of a object [Art. 1936, CC]
loan of money or any fungible thing, with the (e.g., stamps for an
borrower acquiring the ownership of the exhibition)
money/fungible thing with the corresponding
obligation to pay the creditor an equal amount iii. As to Ownership of the Thing
of the same kind and quality (Art. 1933, cf. Loaned
Art.1953, CC). Commodatum Mutuum
Retained by lender Transferred to the
Commodatum v. Mutuum [Art.1933, CC] borrower

1. Nature iv. As to Consideration

Commodatum Mutuum Commodatum Mutuum
Not purely Essentially May be gratuitous or
Purely personal in
personal in gratuitous onerous, i.e. with
character [Art. 1939, CC]
character [Art.1933, CC] stipulated interest
Both are reciprocal obligations
v. As to Obligations of the Borrower
Note: As a purely personal obligation, Commodatum Mutuum
consequently: Borrower must return the
a. The death of either the bailor or the bailee Borrower
same thing loaned [Art. 1933,
extinguishes the contract need only pay
CC]
an equal
b. The bailee can neither lend nor lease the
amount of the
object of the contract to a third person. GR: Bailor CANNOT demand
same kind
However, the members of the bailee’s the return of the thing until
and quality
household may make use of the thing after the expiration of the
[Art. 1953,
loaned unless there is a stipulation to the period stipulated or the
CC]
contrary, or unless the nature of the thing accomplishment of the use for
forbids such use [Art. 1939, CC] which the contract was
GR: Lender
constituted [Art.1946, CC]
may NOT
i. Purpose demand the
Commodatum Mutuum EX: Bailor may demand the
return of the
return of the thing loaned
Loan for permissive or thing loaned
Loan for before the expiration of the
temporary use nor payment
consumption term:
[Art.1935, CC] before the
1. In case of urgent need
lapse of the
[Art. 1946, CC]
term agreed
2. If the commodatum is a
upon
precarium [Art. 1947, CC]

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U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

3. If the bailee commits any
of the acts of ingratitude in
Art. 765 [Art. 1948]
vi. As to Liability for Loss
Commodatum Mutuum
Borrower suffers
the loss even if
Bailor suffers the loss of caused exclusively
the subject matter since by a fortuitous
he is the owner [Arts. event and he is not,
1942 and 1174, CC] therefore,
discharged from
his duty to pay
2. Commodatum
Commodatum – an essentially gratuitous
contract where one party (bailor) delivers to
another (bailee) something not consumable so
that the latter may use the same for a certain
time and return it. [Art. 1933]
KINDS OF COMMODATUM
a. Ordinary commodatum – the use of the
thing by the bailee is for a certain period of
time [Art. 1933]
b. Precarium – the bailor may demand the
thing loaned at will; if any one of the
following is present
1. The duration and purpose of the
contract is not stipulated, or
2. The use of the thing is merely tolerated
by the owner [Art. 1947]
Parties
1. Bailor: creditor
2. Bailee: debtor
Who may be a bailor in commodatum?
Anyone. The bailor in commodatum need not
be the owner of the thing loaned [Art. 1938], but
as against the bailee, the bailor retains
ownership of the thing loaned.
Use by the Bailee
Rules as to who may make use of the property
loaned
General rule: The bailee acquires permissive
use of the thing loaned only for himself. He may
not lend nor lease the thing loaned to him to a
third person.
Exception: The members of the bailee’s
household may make use of the thing loaned
Exceptions to the exception:
1. If there is a stipulation to the contrary, or
2. The nature of the thing forbids such use.
[Art. 1939(2), CC]
Rules as to the use of fruits of the thing
loaned
General rule: The bailee acquires the
permissive use of the thing loaned but NOT its
fruits [Art. 1935, CC]
Exception: Parties stipulate otherwise; such
stipulation is considered valid [Art. 1940, CC]
Obligations of the Bailee
(TUNR-PBS)
1. Take care of the thing loaned with the
proper diligence of a good father of a
family. [Art. 1163, CC]
2. Use the thing loaned only for the purpose
for which it was loaned and not for any
other purpose. [Art. 1935, 1939(2), 1942
[1], CC]
3. Not to lend the thing to a third person who
is not a member of his household. [Art.
1942 (4), CC]
4. Return the thing upon the expiration of the
period stipulated or after the
accomplishment of the use for which it has
been constituted. [Art. 1944, 1946, CC]
Exception: Bailee has right of retention for
damages when the bailor who, knowing the
flaws of the thing loaned, does not advise
the bailee of the same. [Arts. 1946, 1944,
CC]
5. Pay for the ordinary expenses for the use
and preservation of the thing loaned. [Art.
1941, CC]
6. Bear equally (with the bailor) the
extraordinary expenses arising on the

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U.P. LAW BOC SPECIAL CONTRACTS
occasion of actual use of the thing by the
bailee even though bailee acted without
fault. [Art. 1949, CC]
Exception: Contrary stipulation
7. Solidarily liable when there are two or more
bailees to whom a thing is loaned in the
same contract. [Art. 1945, CC]
Note: If, for the purpose of making use of
the thing loaned, the bailee incurs ordinary
or extraordinary expenses which are
neither for the use nor the preservation of
the thing, he is not entitled to
reimbursement. [Art. 1950, CC]
Obligations of the Bailor
(DR-BP)
1. Demand the return of the thing only upon
the expiration of the term or after the
accomplishment of the use [Art. 1946, CC]
Exceptions:
a. When bailor has urgent need of the
thing, he may demand its return
(extinguish commodatum) or its
temporary use (suspend
commodatum) [Art. 1946, CC]
b. Precarium [Art. 1947, CC] or a
contractual relation where the bailor
may demand the property loaned at will
c. If bailee commits any acts of
ingratitude in Art. 765: [Art. 1948, CC]
a) Bailee committed some offense
against the person, honor or
property of the bailor, or of his wife
or children under his parental
authority;
b) Bailee imputes to bailor any
criminal offense, or any act
involving moral turpitude, even
though he should prove it, unless
the crime or act has been
committed against the bailee
himself, his wife or children under
his authority; or
c) Bailee unduly refuses bailor
support when bailee is legally or
Page 395 of 532
CIVIL LAW
morally bound to give support the
bailor.
2. Refund the extraordinary expenses during
the contract for the preservation of the
thing loaned. [Art. 1949, CC]
Provided that: Bailee brings the same to
the knowledge of the bailor before incurring
them, except when they are so urgent that
the reply cannot be awaited without
danger.
3. Bear equally (with the bailee) the
extraordinary expenses arising on the
occasion of actual use of the thing by the
bailee. [Art. 1949, CC]
Exception: Contrary stipulation
4. Pay damages to the bailee for hidden flaws
known to the bailor. [Art. 1951, CC]
Note: Bailor has no right of abandonment;
he cannot exempt himself from payment of
expenses or damages to the bailee by
abandoning the thing to the latter. [Art.
1952, CC]
Liability for Deterioration
General rule: The bailee is NOT liable for the
deterioration of the thing loaned when the
deterioration of the thing is due only to the use
thereof and without his fault. [Art. 1943, CC]
Exception: The bailee is liable only when the
deterioration of the thing is due to his fault. [Art.
1943, CC]
Liability for Loss
General Rule: The bailee is NOT liable for loss
of the thing due to fortuitous event. [Art. 1174,
CC]
Since the bailor retains ownership of the
property loaned, generally, it is the bailor who
bears the liability for loss of the property loaned
due to fortuitous events.
U.P. LAW BOC SPECIAL CONTRACTS
Exceptions: The bailee is liable for loss of the
thing, even if it is through a fortuitous event, if
the bailee: (DDS-KL)
1. Devoted the thing to any purpose different
from that for which it has been loaned;
2. Loaned thing has been Delivered with
appraisal of its value
Exception: Unless there is a stipulation
exempting the bailee from responsibility in
case of a fortuitous event;
3. Saved his own thing, being able to save
either the thing borrowed or his own thing
4. Kept the thing longer than the period
stipulated, or after the accomplishment of
the use for which the commodatum has
been constituted;
5. Lent or leased the thing to a third person,
who is not a member of his household; [Art.
1942, CC]
Right of Retention
General Rule: The bailee has no right of
retention of the thing loaned on the ground that
the bailor owes him something, even though it
may be by reason of expenses. [Art. 1944, CC]
Exception: The bailee has the right of
retention for damages arising from hidden
flaws. [Art. 1944, 1951, CC]
Extinguishment
(DEA-PU)
1. Death of either the bailor or the bailee [Art.
1939, CC]
2. Expiration of term or accomplishment of
purpose [Art. 1946, CC]
3. Act/s of ingratitude has/have been
committed by the bailee, and the bailor
demands the return
4. Upon demand in case of Precarium
5. Bailor has Urgent need of the thing loaned,
and he demands the return (and not just
temporary use)
Page 396 of 532
CIVIL LAW
3. Simple Loan (mutuum)
Art. 1953, CC. A person who receives a loan
of money or any other fungible thing
acquires the ownership thereof, and is
bound to pay to the creditor an equal amount
of the same kind and qualit.
Mutuum – a contract where one of the parties
(creditor) delivers to another (debtor/borrower)
money or other consumable thing upon the
condition that the same amount of the same
kind and quality shall be paid. [Art. 1953]
Obligations of the Borrower
(EVI)
1. Pay the creditor an Equal amount of the
same kind and quality. [Art. 1953, CC]
2. Pay Value at the time of perfection of
loan, if impossible, to deliver the same
kind. [Art. 1955, CC]
3. Pay Interest, if stipulated. [Art. 1956,
CC]
Rights of the Borrower
1. Right of ownership; upon
delivery/receipt of the loan of money or
any fungible thing, the person acquires
ownership of the money/fungible thing
[Art. 1953, CC]
2. Right to not pay interest, unless
stipulated [Art. 1956, CC]
a. If the debtor however pays
interest when there is no
stipulation, the rules on Solutio
Indebiti, or natural obligations,
shall be applied [Art. 1956,
CC].
Obligations of the Creditor
Barred from placing stipulations under any
cloak or device that circumvent laws on usury
[Art. 1957, CC].
U.P. LAW BOC SPECIAL CONTRACTS
Rights of the Creditor
1. Right to receive an equal amount of the
same kind and quality [Art. 1953, CC]
2. Right to impose interest, once stipulated
[Art. 1959, CC].
4. Interests On Loan
A mutuum or simple loan may be gratuitous
or with a stipulation to pay interest. [Art.
1933, CC]
Interest – The compensation allowed by law or
fixed by the parties for the loan or forbearance
of money, goods or credits (conventional
interest), or the amount imposed by law or by
courts as penalty or indemnity for damages
(compensatory interest)
Requisites for Interest to be Chargeable
(EWL)
1. Must be Expressly stipulated [Art. 1956,
CC]
Exceptions:
a. The debtor in delay is liable to pay legal
interest (6% per annum) as indemnity
for damages [Art. 2209, CC]
b. Interest accruing from unpaid interest –
Interest demanded shall earn interest
from the time it is judicially demanded
[Art. 2212, CC] or where there is an
express stipulation [Art.1959, CC]
2. Agreement must be in Writing [Art.1956,
CC]
3. Must be Lawful
Note: If the abovementioned requisites are
not met, and the borrower:
a. Paid interest by mistake, the creditor
is obliged to return what was delivered
[Arts 1960 and 2154, CC]
b. Voluntarily paid interest (i.e., with
knowledge that the requisites have not
been met), the creditor is authorized to
retain what was paid [Art. 1423, CC]
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CIVIL LAW
Conventional interest
Simple interest – Paid for the principal at a
certain rate fixed or stipulated by the parties.
Interest on interest
Compound Interest – Interest which is
imposed when interest due and unpaid is
capitalized or added to the principal. [Art.
1959, CC]
Compound interest is allowed:
a. When there is an express written
stipulation to that effect [Art.1956, CC]
OR
b. Upon judicial demand. However,
debtor is not liable to pay compound
interest even after judicial demand
when there is no stipulation for
payment of interest. [Art. 2212, CC]
Compensatory, penalty or
indemnity interest
Also known as Legal Interest – That which
the law directs to be charged in the absence of
any agreement as to the rate between the
parties, or when there are actual and
compensatory damages imposed by the Court.
Rules for the Award of Interest in the
Concept of Actual and Compensatory
Damages
Note: Jurisprudential basis is Nacar v. Gallery
Frames, G.R. No. 189871 (2013) modifying
Eastern Shipping Lines vs. CA, G.R. No. 97412
(1994)] in light of BSP-MB Circular No. 799]
1. When the obligation is breached, and it
consists in the payment of a sum of
money, i.e., a loan or forbearance of
money,
a. The interest due should be that which
may have been stipulated in writing.
b. The interest due shall itself earn legal
interest from the time it is judicially
demanded.
U.P. LAW BOC SPECIAL CONTRACTS
c. In the absence of stipulation, the rate of
interest shall be 6% per annum to be
computed from default, i.e., from
judicial or extrajudicial demand under
and subject to the provisions of Article
1169 of the CC.
2. When an obligation, not constituting a
loan or forbearance of money, is
breached
a. An interest on the amount of damages
awarded may be imposed at the
discretion of the court at the rate of 6%
per annum.
b. No interest, however, shall be
adjudged on unliquidated claims or
damages, except when or until the
demand can be established with
reasonable certainty.
c. Where the demand is established with
reasonable certainty, the interest shall
begin to run from the time the claim is
made judicially or extrajudicially [Art.
1169, CC]
d. When such certainty cannot be so
reasonably established at the time the
demand is made, the interest shall
begin to run only from the date the
judgment of the court is made [at which
time the quantification of damages may
be deemed to have been reasonably
ascertained].
e. The actual base for the computation of
legal interest shall, in any case, be on
the amount finally adjudged.
3. When the judgment of the court
awarding a sum of money becomes final
and executory, the rate of legal interest,
whether the case falls under paragraph 1
or paragraph 2, above, shall be 6% per
annum from such finality until its
satisfaction, this interim period being
deemed to be by then an equivalent to a
forbearance of credit.
Finance Charges
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1. Under the Truth in Lending Act
Rep. Act No. 3765, “Truth in Lending Act”
(TILA)
Sec. 3(3) "Finance charge" includes
interest, fees, service charges, discounts,
and such other charges incident to the
extension of credit as the Board may be
regulation prescribe.
Note: This law applies to all persons who
extend credit, who require as an incident to
extending credit, the payment of a finance
charge [Sec. 3(4), TILA].
“Credit” is defined in the TILA as “any loan,
mortgage, deed of trust, advance, or discount;
any conditional sales contract; any contract to
sell, or sale or contract of sale of property or
services, either for present or future delivery,
under which part or all of the price is payable
subsequent to the making of such sale or
contract; any rental-purchase contract; any
contract or arrangement for the hire, bailment,
or leasing of property; any option, demand,
lien, pledge, or other claim against, or for the
delivery of, property or money; any purchase,
or other acquisition of, or any credit upon the
security of, any obligation of claim arising out
of any of the foregoing; and any transaction or
series of transactions having a similar purpose
or effect. [Sec. 3(2), TILA]
Requirement for Disclosure
Under Sec. 4 (6) of the TILA, finance charges
must be included in the disclosure form prior to
the consummation of transactions:
Sec. 4, TILA. Any creditor shall furnish to
each person to whom credit is extended,
prior to the consummation of the transaction,
a clear statement in writing setting forth, to
the extent applicable and in accordance with
rules and regulations prescribed by the
Board, the following information:
1) the cash price or delivered price of
the property or service to be
acquired;
2) the amounts, if any, to be credited as
down payment and/or trade-in;
U.P. LAW BOC SPECIAL CONTRACTS
3) the difference between the amounts
set forth under clauses (1) and (2);
4) the charges, individually itemized,
which are paid or to be paid by such
person in connection with the
transaction but which are not
incident to the extension of credit;
5) the total amount to be financed;
6) the finance charge expressed in
terms of pesos and centavos; and
7) the percentage that the finance
bears to the total amount to be
financed expressed as a simple
annual rate on the outstanding
unpaid balance of the obligation.
Under Section 4(6), "finance charge"
represents the amount to be paid by the debtor
incident to the extension of credit such as
interest or discounts, collection fees, credit
investigation fees, attorney’s fees, and other
service charges. The total finance charge
represents the difference between (1) the
aggregate consideration (down payment plus
installments) on the part of the debtor, and (2)
the sum of the cash price and non-finance
charges [Sps. Silos v. Philippine National
Bank, G.R. No. 181045, July 2, 2014].
Should the requirement under the TILA be not
complied with, the penalties under Sec. 9 will
apply:
Section 6, TILA
a) Any creditor who in connection with any
credit transaction fails to disclose to any
person any information in violation of this
Act or any regulation issued thereunder
shall be liable to such person in the
amount of P100 or in an amount equal
to twice the finance charged required by
such creditor in connection with such
transaction, whichever is the greater,
except that such liability shall not exceed
P2,000 on any credit transaction. Action
to recover such penalty may be brought
by such person within one year from the
date of the occurrence of the violation, in
any court of competent jurisdiction. In
any action under this subsection in
which any person is entitled to a
Page 399 of 532
CIVIL LAW
recovery, the creditor shall be liable for
reasonable attorney's fees and court
costs as determined by the court.
b) Except as specified in subsection (a) of
this section, nothing contained in this Act
or any regulation contained in this Act or
any regulation thereunder shall affect
the validity or enforceability of any
contract or transactions.
c) Any person who willfully violates any
provision of this Act or any regulation
issued thereunder shall be fined by not
less than P1,00 or more than P5,000 or
imprisonment for not less than 6 months,
nor more than one year or both.
d) No punishment or penalty provided by
this Act shall apply to the Philippine
Government or any agency or any
political subdivision thereof.
e) A final judgment hereafter rendered in
any criminal proceeding under this Act to
the effect that a defendant has willfully
violated this Act shall be prima facie
evidence against such defendant in an
action or proceeding brought by any
other party against such defendant
under this Act as to all matters
respecting which said judgment would
be an estoppel as between the parties
thereto.
2. Under the Philippine Credit Card
Industry Regulation Law
Sec. 5(k). Finance charges refer to the
interest charged to the cardholder on all
credit card transactions in accordance with
the terms and conditions specified in the
agreement on the use of the credit card;
Note: This law governs all credit card issuers,
acquirers and all credit card transactions.
In Relation to Credit Limit
Sec. 5(i). Credit card limit refers to the
maximum total amount for purchases,
cash advances, balance transfers, and
finance charges, service fees, penalties,
and other charges which can be charged to
the credit card;
U.P. LAW BOC SPECIAL CONTRACTS
Thus, in computing for credit limit, the finance
charge is included.
Requirement for Disclosure
Section 11. Information to be Disclosed. - A
credit card issuer shall disclose to all credit
cardholders and potential credit cardholders
the following information:
(a) Finance charges for unpaid amounts
after payment due date
When Finance Charge is Imposed
Section 10. Imposition of Finance
Charges. - Finance charges and other fees
arising from nonpayment in full or on time of
the outstanding balance shall be based on
the unpaid amount of the outstanding
balance.
How Finance Charge is Imposed
Credit card issuers shall only charge interest or
finance charges arising from the non-payment
in full or on time of the outstanding balance
based on the unpaid amount of the outstanding
balance as of statement cut-off date, but
excluding:
a) the current billing cycle's purchase
transactions reckoned from the
previous cycle's statement cut-off date;
and
b) deferred payments under zero-interest
installment arrangements which are
not yet due
Interest or finance charges shall be imposed on
the unpaid outstanding balance as of cut-off
date each time a cardholder pays less than, or
does not pay on time, the outstanding balance
stated in his/her statement of account. Such
interest or finance charge shall continue to be
imposed until the outstanding balance and
applicable interest are fully paid.
For credit card cash advances, a cardholder
may be charged cash advance fees and
finance charges on the date that the cash is
obtained, subject to terms and conditions
under the credit card agreement or contract.
For a loan where the principal is payable in
installments, interest per installment period
Page 400 of 532
CIVIL LAW
shall be calculated based on the outstanding
balance of the loan at the beginning of each
installment period.
All credit card-related documents shall show
repayment schedules in a manner consistent
with this provision. Marketing and advertising
materials shall likewise be consistent with this
provision.
Note: Basis is Circular No. 1003, Series of
2018, “Guidelines on the Establishment and
Operations of Credit Card lssuers to Implement
the Philippine Credit Card Industry Regulations
law.
Usury
Unlawful or Usurious Interest – Paid or
stipulated to be paid beyond the maximum
fixed by law.
The Usury Law [Act No. 2566] – an act fixing
rates of interests upon loans and declaring the
effect of receiving or taking usurious rates and
for other purposes. [Arevalo v. Dimayuga,
G.R. No. 26218 (1927)]
CB Circular No. 905 abolished interest rate
ceilings. With the promulgation of such
circular, usury has become “legally inexistent”
as the parties can now legally agree on any
interest that may be charged on the loan.
Although usury is legally inexistent, courts will
not hesitate to declare void “excessive,
iniquitous, unconscionable, exorbitant”
interest. [Gomez-Somera]
Elements of Usury (MR-IT)
1. A loan or forbearance of Money
2. An understanding between parties that the
loan shall and may be Returned
3. An unlawful Intent to take more than the
legal rate for the use of money or its
equivalent
4. The Taking or agreeing to take for the use
of the loan of something in excess of what
is allowed by law.
U.P. LAW BOC SPECIAL CONTRACTS
Note: A usurious loan transaction is not a
complete nullity but defective only with respect
to the agreed interest, i.e., as if no interest was
stipulated. [Carpo v. Chua, G.R. Nos. 150773
and 153599 (2005)] Hence, if the principal
obligation is the payment of a sum of money,
the debtor will be liable for the principal plus
legal interest, following Article 2209.
F. DEPOSIT
A deposit is constituted from the moment a
person receives a thing belonging to another,
with the obligation of safely keeping it and of
returning the same. [Art. 1962, CC]
Object of Deposit
Art. 1966 provides that only movable things
may be the object of a deposit. However, Art.
2006 provides that movable as well as
immovable property may be the object of
sequestration or judicial deposit.
Principal Purpose
Safekeeping of the thing; if safekeeping is NOT
the principal purpose, or is only an accessory
obligation, there is NO DEPOSIT but some
other contract. [Art. 1962, CC]
Consideration
A deposit is generally gratuitous, except:
1. If there is an agreement to the
contrary
2. When the depositary is engaged in
the business of storing goods [Art.
1965, CC]
Parties
1. Depositor: the person who delivers, or
formally transfers, gives, or yields
possession or control of the movable
property for purposes of safekeeping
2. Depositary: the person who receives it
Kinds Of Deposit
1. Extrajudicial
i. Voluntary – obligation arises as a
consequence of contract;
Page 401 of 532
CIVIL LAW
ii. Necessary – obligation arises as a
consequence of law or quasi-contract
2. Judicial – obligation arises as a
consequence of a law allowing the
issuance of a judicial order constituting a
deposit
1. Voluntary Deposit
Voluntary deposit – The deposit itself is a real
contract, as it is not perfected until the delivery
of the thing. [Art. 1968, CC] A contract to
deposit, or an agreement to constitute a
deposit, is consensual and binding.
A deposit may be made by two or more
persons (who believe that they are entitled to
the thing deposited with a third person). The
third person is to deliver the thing to the one to
whom it belongs. [Art. 1968, CC]
How Entered Into: Orally or in writing [Art.
1969, CC]
How Perfected: The deposit is perfected upon
delivery, which is made by the will of the
depositor. [Arts. 1963 and 1968, CC]
Extinguishment
1. Loss or destruction of thing deposited, or
2. In case of a gratuitous deposit, upon the
death of either the depositor or depositary
[Art. 1995]. The depositary is not obliged to
continue with the contract of deposit
3. By other modes provided in the CC, e.g.
novation, merger, etc. [See Art.1231, CC]
Obligations of a Depositary
(KRB)
1. Keep the thing safely
2. Return the thing to the depositor, heirs,
successors or person designated in the
contract, when required [Art. 1972,
CC], together with all its products,
accessories and accessions. [Art.
1983, CC] at the place designated
when deposit was made. Otherwise,
where the thing may be [Art. 1987, CC].
U.P. LAW BOC SPECIAL CONTRACTS
Exception to return on demand:
there is no obligation to return on
demand when (a) the thing is judicially
attached while in the depositary’s
possession, or (b) when depositary is
notified of the opposition of a third
person [Art. 1988, CC]
Note: The depositary must return the
thing closed and sealed if it is delivered
in that condition [Art. 1981, CC]
3. Bear the expenses for preservation of
the thing deposited if the deposit is
onerous [Art. 1992. CC]
Depositary NOT LIABLE FOR LOSS
General rule: The depositary is not liable in the
event of loss. The required degree of care
however, is greater if the deposit is for
compensation.
Exceptions: (NPC-FUTR)
1. Loss is through his fault or Negligence [Art.
1170, CC] or the negligence of his
employee [Art. 1973], even if the thing was
insured [Art. 2207, CC];
2. Loss while in his Possession, ordinarily
raises presumption of fault on his part. [See
Art. 1265, CC]
3. Loss arose from the Character of the thing
deposited, and the depositary was notified
of, or was aware of such character at the
time of the constitution of the deposit [Art.
1993, CC]
4. Loss is through a Fortuitous event, and if
a. It is stipulated that depositary will be
liable;
b. Depositary uses the thing without
Depositor’s permission;
c. Depositary delays its return; or
d. Depositary allows others to use it. [Art.
1979, CC]
5. Loss when depositary Uses the thing
Exception: Use with permission or for
preservation
6. Loss when depositary deposits the thing
with a Third person
Exception: if deposit with a third person is
allowed
Page 402 of 532
CIVIL LAW
Exception to the exception: if such third
person is manifestly careless or unfit [Art.
1973, CC];
7. Loss occurs and the depositary Receives
money/replacement, he must deliver such
to the depositor [Art. 1990, CC]
Authority of Depositary
(CC-UR)
1. Depositary may Change way of deposit
if he may reasonably presume that the
depositor would consent if he knew the
situation. He is to notify the depositor
thereof and wait for the latter’s
decision, unless delay would cause
danger. [Art. 1974, CC]
2. Depositary is required to Collect on
interest earned by certificates, bonds,
securities and instruments when it
becomes due. [Art 1975, CC]
3. Depositary cannot make Use of the
thing deposited unless with depositor’s
consent or its preservation requires its
use. [Art 1977, CC]
4. Depositary may Return the thing to the
depositor even before the time
designated, if there is justifiable reason
not to keep it.
Exception: when the deposit is for
valuable consideration [Art. 1989, CC]
Obligations of a Depositor
1. Depositor is obliged to reimburse the
depositary for expenses incurred for
preservation in a gratuitous deposit.
[Art.1992, CC]
2. Depositor is obliged to pay losses
incurred due to the character of thing
deposited. [Art. 1993, CC]
Exceptions:
a. Depositor was not aware nor expected
to know of the dangerous character of
the thing;
b. Depositor notified the depositary of
such dangerous character;
c. Depositary was aware of the danger
without advice from the depositor.
[Ibid.]
U.P. LAW BOC SPECIAL CONTRACTS
Authority of Depositor
1. When there are two or more depositors
and they are not solidary and the thing
admits of division, one cannot demand
more than his share [Art. 1985, CC].
2. If he should lose his capacity to
contract after having made the deposit,
the thing cannot be returned except to
persons who may have administration
of his property and rights. [Art. 1986,
CC].
Right of Retention
The depositary may retain the thing until the full
payment of what may be due him by reason of
the deposit [Art. 1994, CC]
2. Necessary Deposit
Made in compliance with a legal obligation, or
on the occasion of any calamity, or by travelers
with common carriers [Arts.1734-1735, CC], or
by travelers in hotels and inns [Arts.1996-2004,
CC]
Kinds of Necessary Deposit
(LCCH)
1. Deposit made in compliance with a Legal
obligation, in which case it is governed by
the law establishing it, and in case of
deficiency, the rules on voluntary deposit,
e.g., Arts. 538, 586 and 2104
2. Deposit taking place on the occasion of any
Calamity [Art. 2168, CC]
Note: There must be a causal relation
between the calamity and the constitution
of the deposit. In this case the deposit is
governed by the rules on voluntary deposit.
3. Deposit made by passengers with
Common carriers. [Art.1754, CC]
4. Deposit made by travelers in Hotels or inns.
[Art. 1998, CC]
Page 403 of 532
CIVIL LAW
Deposit by Travelers in Hotels
and Inns
Before keepers of hotels or inns may be held
responsible as depositaries with regard to the
effects of their guests, the following must
concur:
1. Keepers or their employees have
previously been informed about the
effects brought by the guests; and
2. The latter have taken the precautions
prescribed regarding their safekeeping.
[Art. 1998, CC]
Extent of Liability Under
Art.1998, CC
1. Those in hotel rooms which come under
the term “baggage” or articles such as
clothing as are ordinarily used by travelers
2. Those lost or damaged in hotel annexes
such as vehicles in the hotel’s garage.
When Hotel-Keeper Liable
Regardless of the amount of care exercised,
the hotel-keeper is liable when—
1. The loss or injury to personal property is
caused by his servants or employees as
well as by strangers [Art. 2000, CC].
2. The loss is caused by the act of a thief or
robber done without the use of arms and
irresistible force. [Art. 2001, CC]
When Hotel-Keeper not Liable
1. The loss or injury is caused by force
majeure, like flood, fire, [Art.2000, CC] theft
or robbery by a stranger—not the hotel-
keeper’s servant or employee—with the
use of firearms or irresistible force
[Art.2001, CC]
Exception: Hotel-keeper is guilty of fault or
negligence in failing to provide against the
loss or injury from his cause. [Arts.1170
and 1174, CC]
2. The loss is due to the acts of the guests,
his family, servants, visitors [Art.2002, CC]
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

3. The loss arises from the character of the ended unless the court so orders. [Art.
things brought into the hotel [Art. 2002, CC] 2007, CC]

The hotel-keeper cannot free himself from Applicable Law

responsibility by posting notices to the effect
that he is not liable for the articles brought by Judicial deposit law is remedial or procedural.
the guest. Such kind of stipulation shall be The Rules of Court shall govern matters not
void. [Art. 2003, CC] provided for in the CC. [Art. 2009, CC]

Hotel-Keeper’s Right to
Retention G. LEASE
The hotel-keeper has a right to retain the things
brought into the hotel by the guest, as a
security for credits on account of—
1. Definition
1. lodging,
2. supplies usually furnished to hotel guests Scope
The contract of lease may be of things, or of
[Art. 2004, CC].
work and service. [Art. 1642, CC]
The right of retention recognized in this article
Lease of Things
is in the nature of a pledge created by operation
In the lease of things, one of the parties binds
of law.
himself to give to another the enjoyment or use
of a thing for a price certain, and for a period,
3. Judicial Deposit Or which may be definite or indefinite. However,
Sequestration no lease for more than ninety-nine years shall
be valid. [Art. 1642, CC]
Takes place when an attachment or seizure of
property in litigation is ordered. [Arts. 2005- Lease of Work and Service
2009, CC] It is the only type of deposit that may In the lease of work or service, one of the
involve immovable property. parties binds himself to execute a piece of work
or to render to the other some service for a
Nature and Purpose price certain, but the relation of principal and
agent does not exist between them. [Art. 1644,
It is auxiliary to a case pending in court. The CC]
purpose is to maintain the status quo during
pendency of the litigation or to insure the right Limitation
of the parties to the property in case of a Consumable goods cannot be the subject
favorable judgment. matter of a contract of lease, except when they
are merely to be exhibited or when they are
Depositary of Sequestered accessory to an industrial establishment. [Art.
1645, CC]
Property
Record in the Registry of the Property
A person is appointed by the court [Art. 2007]
If the lease is to be recorded in the Registry of
with the obligations—
property, the following persons cannot
1. To take care of the property with the
constitute the same without proper authority:
diligence of a good father of the family. [Art.
1. The husband with respect to the wife’s
2008, CC]
paraphernal real estate;
2. To continue in his responsibility until the
2. The father or guardian as to the property of
controversy which give rise thereto is
a minor or ward;

Page 404 of 532

U.P. LAW BOC SPECIAL CONTRACTS
3. And the Manager without special power
[Art. 1647, CC]
Every lease of real estate may be recorded in
the Registry of Property. Unless a lease is
recorded, it shall not be binding upon third
persons. [Art. 1648, CC]
2. Who are Qualified or
Disqualified?
Those Disqualified
The persons disqualified to buy referred to in
Articles 1490 and 1491, are also disqualified to
become lessees of the things mentioned
therein [Art. 1646, CC]
Those disqualified under Art. 1490
● The husband and wife cannot sell property,
except for
○ When a separation of property was
agreed upon in the marriage
settlements; or
○ When there has been a judicial
separation of property under Art. 191.
Those disqualified under Article 1941
● The following persons cannot acquire by
purchase, even at a public or judicial
auction, either in person or through the
mediation of another:
1. The guardian,
● The property of the person or
persons who may be under his
guardianship;
2. Agents
● The property whose
administration or sale may have
been intrusted to them, unless
the consent of the principal have
been given;
3. Executors and administrators
● The property of the estate under
their administration;
4. Public officers and employees
● The property of the State or of
any subdivision thereof, or of
any government owned or
controlled corporation, or
institution, the administration of
Page 405 of 532
CIVIL LAW
which has been intrusted to
them; this provision shall apply
to judges and government
experts who, in any manner
whatsoever take part in the sale;
5. Justices, judges, prosecuting
attorneys, clerks of superior and
inferior courts, and other officers and
employees connected with the
administration of justice
● The property and rights in
litigation or levied upon an
execution before the court within
those jurisdiction or territory
they exercise their respective
functions this prohibition
includes the act of acquiring by
assignment and shall apply to
lawyers, with respect to the
property and rights which may
be the object of any litigation in
which they may be the object of
any litigation in which they may
take part by virtue of their
profession
6. Others specially disqualified by law
3. Obligations of Parties
Obligations of a Lessor
(1) To deliver the thing which is the object of
the contract in such a condition as to render
it fit for the use intended;
(2) To make on the same during the lease all
the necessary repairs, unless there is a
stipulation to the contrary;
(3) To maintain the lessee in the peaceful
and adequate enjoyment of the lease [Art.
1654, CC]
(4) If lessee makes improvements in good
faith, without altering form or substance,
lessor, upon the termination of the lease,
shall pay the lessee one-half of the value
of the improvements at that time. If
payment is refused, lessee may remove
the improvements, even though the
principal thing may suffer damage thereby.
[Art. 1678, CC]
U.P. LAW BOC SPECIAL CONTRACTS
Note: If the thing leased is totally destroyed by
a fortuitous event, the lease is extinguished. If
the destruction is partial, the lessee may
choose between
1. Proportional reduction of the rent and,
2. A rescission of the lease [Art. 1655, CC]
In cases of business or industrial
establishment, the lessor may continue
engaging in the same business or industry to
which the lessee devotes the thing leased,
unless there is a stipulation to the contrary. [Art.
1656, CC]
Lessor is not obliged to answer for a mere act
of trespass which a third person may cause;
however he or she shall have a direct action
against the intruder. [Art 1664, CC]
Prohibited Acts By the Lessor
Lessor cannot alter the form of the thing
leased in such a way as to impair the use to
which the thing is devoted.
Obligations of a Lessee
(1) To pay the price of the lease according to
the terms stipulated;
(2) To use the thing leased as a diligent
father of a family, devoting it to the use
stipulated;
Note: In the absence of stipulation, the
diligence required is to that which may be
inferred from the nature of the thing leased,
according to the custom of the place;
(3) To pay expenses for the deed of lease
[Art. 1657, CC]
(4) To notify the lessor of usurpation or
untoward act which any third person may
or will commit [Art. 1663, CC]
(5) To advise the lessor of need for repairs,
to return the property leased upon.
Note: If the lessor fails to make any urgent
repairs, lessee may order the repairs at the
lessor’s cost. Lessee shall be liable for any
damages caused by his own negligence
Page 406 of 532
CIVIL LAW
(6) Lessee is obliged to tolerate the need for
urgent repairs made during his lease.
Note: If repairs last more than 40 days, rent
may be reduced. If the work is of such
nature to render the dwelling uninhabitable,
lessee may rescind the contract [Art. 1662,
CC]
(7) To Return the thing leased upon
termination of lease just as he received it,
except for impairment due to lapse of time,
ordinary wear and tear or inevitable causes
Note: In the absence of stipulation, the law
presumes that the lessee had received it in
good condition [Art. 1666, CC]
(8) To be Responsible for the loss or
deterioration of the thing leased, unless
he proves it is without his fault [Art. 1667,
CC]
Note: This does not apply to cases when
destruction is caused by natural calamity
(9) To be liable for any deterioration caused
by members of his household, guests or
visitors [Art. 1668, CC]
4. Payment
In the absence of stipulation, Article 1251 shall
be observed as regards the place; and with
respect to the time, the custom of the place
shall be followed.
General Rule: Payment shall be made in the
place designated in the obligation.
Exception: There being no express stipulation
and if the undertaking is to deliver a
determinate thing, the payment shall be made
where the thing might be at the moment the
obligation was constituted.
In any other case the place of payment shall be
the domicile of the debtor.
U.P. LAW BOC SPECIAL CONTRACTS
5. Termination
The lease may terminate:
1. By the expiration of the period [Art. 1669];
2. By the total loss of the thing;
3. By the resolution of the right of the lessor,
such as when the lessor is usufructuary
and the usufruct is terminated;
4. By the will of the purchaser or transferee of
the things;
5. By rescission due to nonperformance of
the obligations of one of the parties [Art.
1659, CC]
● The aggrieved party may either ask for
the rescission of the contract and
indemnification for damages, OR only
ask for indemnification for damages
(the contract remains in force).
6. If a dwelling place or any other building
intended for human habitation is in such a
condition that its use brings imminent and
serious danger to life or health [Art. 1660,
CC]
● To terminate the lease, the lessee must
notify the lessor, even if at the time the
contract was perfected the former
knew of the dangerous condition or
waived the right to rescind the lease on
account of this condition.
6. Renewal
Implied renewal of lease
a. Occurs if at the end of the contract, the
lessee continues enjoying the thing leased
for 15 days with the lessor’s acquiescence
[Art. 1670, CC]
b. Period of new lease: Unless a notice to the
contrary by either party has previously
been given, it is understood that there is an
implied new lease for the time established
in Art. 1682 and 1687.
! Such period depends on the character
of the property and the periods of
payment of the rent [Tolentino]. See
Special Provisions.
c. The other terms of the original contract
shall be revived.
d. Obligations contracted by a third person for
the security of the principal contract shall
Page 407 of 532
CIVIL LAW
cease with respect to the new lease. [Art.
1672, CC]
7. Unlawful Detainer
If the lessee continues enjoying the thing after
the expiration of the contract, over the lessor's
objection, he is subject to the responsibilities of
a possessor in bad faith. [Art. 1671, CC]
In ejectment cases where an appeal is taken, a
preliminary mandatory injunction may be
granted to restore the lessor in possession if
the higher court is satisfied that:
○ the lessee's appeal is frivolous or
dilatory, or
○ the lessor's appeal is prima facie
meritorious, by motion filed within 10
days from the time the appeal is
perfected. [Art. 1674, CC]
Causes for judicial ejection of the lessee
(Art. 1673)
i. When the period agreed upon, or that
which is fixed for the duration of leases
under Articles 1682 and 1687, has
expired
ii. Art. 1682: When the duration of the
lease of rural land has not been fixed
a. The duration is for all the time
necessary to gather the fruits of
the estate which it may yield in
one year, or which it may yield
once, although two or more
years have to elapse for the
purpose.
iii. Art. 1687: If the period for the lease has
not been fixed
a. The duration is from year to
year, if the rent is annual; from
month to month, if it is monthly;
from week to week, if it is
weekly; and from day to day, if
it is to be paid daily.
b. In case of monthly rent, and
there is no period for the lease,
the courts may fix a longer term
if the lessee was in possession
for over one year.
c. In case of weekly rent, the
courts may fix a longer term if
U.P. LAW BOC SPECIAL CONTRACTS
the lessee was in possession
for over six months.
d. In case of daily rent, the courts
may fix a longer period if the
lessee was in possession for
over one month.
iv. Lack of payment
v. Violation of any of the conditions in the
contract
vi. When the lessee devotes the thing
leased to any use or service not
stipulated which causes its
deterioration, or if he does not observe
his obligations in Art. 1657
Note: The ejectment of tenants of
agricultural lands is governed by special
laws.
Right to make use of periods
General Rule: The lessee has the right to
make use of the periods established in Articles
1682 and 1687.
Exceptions: Art. 1673
Right to repurchase (Art. 1677)
The purchaser in a sale with the right of
redemption cannot make use of the power to
eject the lessee until the end of the period for
the redemption.
8. Transfer of Lease
General Rule: The lessee cannot assign the
lease without the consent of the lessor.
Exception: There is a stipulation to the
contrary. [Art. 1649, CC]
Rights of a Purchaser of Land Under a
Lease [Art. 1676, CC]
General Rule: The purchaser of a piece of land
which is under a lease that is not recorded in
the Registry of Property may terminate the
lease.
Exceptions:
1. There is a stipulation to the contrary in the
contract of sale; or
Page 408 of 532
CIVIL LAW
2. When the purchaser knows of the
existence of the lease.
If the buyer makes use of this right, the
lessee may demand:
1. That he be allowed to gather the fruits of
the harvest which corresponds to the
current agricultural year; and
2. That the vendor indemnifies him for
damages suffered.
If the sale is fictitious, for the purpose of
extinguishing the lease, the supposed vendee
cannot make use of the right to terminate the
lease.
! The sale is presumed to be fictitious if
at the time the supposed vendee
demands the termination of the lease,
the sale is not recorded in the Registry
of Property.
9. Sub-Lease
General Rule: When in the contract of lease of
things there is no express prohibition, the
lessee may sublet the thing leased, in whole or
in part, without prejudice to his responsibility for
the performance of the contract toward the
lessor. [Art. 1650, CC]
Liability of sublessee
Without prejudice to his obligation toward the
sublessor, the sublessee is bound to the lessor
for all acts which refer to the use and
preservation of the thing leased in the manner
stipulated between the lessor and the lessee.
[Art. 1651, CC]
The sublessee is subsidiarily liable to the
lessor for any rent due from the lessee.
However, the sublessee shall not be
responsible beyond the amount of rent due
from him, in accordance with the terms of the
sublease, at the time of the extra-judicial
demand by the lessor.
Payments of rent in advance by the sublessee
shall be deemed not to have been made, so far
as the lessor's claim is concerned, unless said
payments were effected in virtue of the custom
of the place. [Art. 1652, CC]
U.P. LAW BOC SPECIAL CONTRACTS
10. Warranties
General Rule: In a contract of sale, there is an
implied warranty on the part of the seller that:
1. He has a right to sell the thing at the time
when the ownership is to pass, and that the
buyer shall from that time have and enjoy
the legal and peaceful possession of the
thing; and
2. The thing shall be free from any hidden
faults or defects, or any charge or
encumbrance not declared or known to the
buyer.
Exception: Unless a contrary intention
appears [Art. 1547, CC]
Note: Art. 1547 shall not be held to render
liable a sheriff, auctioneer, mortgagee,
pledgee, or other person professing to sell by
virtue of authority in fact or law, for the sale of
a thing in which a third person has a legal or
equitable interest.
Eviction [Art. 1548, CC]
Eviction shall take place whenever by a final
judgment based on a right prior to the sale or
an act imputable to the vendor, the vendee is
deprived of the whole or of a part of the thing
purchased.
The vendor shall answer for the eviction even
though nothing has been said in the contract on
the subject.
The contracting parties, however, may
increase, diminish, or suppress this legal
obligation of the vendor.
Warranty against Defects [Art.
1676, CC]
General Rule: The vendor shall be responsible
for warranty against the hidden defects which
the thing sold may have:
● Should they render it unfit for the use for
which it is intended; or
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CIVIL LAW
● Should they diminish its fitness for such
use to such an extent that, had the vendee
been aware thereof, he would not have
acquired it or would have given a lower
price for it.
Exception: Said vendor shall not be
answerable for:
● Patent defects;
● Those which may be visible; or
● For those which are not visible if the
vendee is an expert who, by reason of his
trade or profession, should have known
them.
The provisions governing warranty, contained
in the Title on Sales, shall be applicable to the
contract of lease. [Art. 1653(1), CC]
Where Return of the Price is
Required [Art. 1653(2), CC]
Reduction shall be made in proportion to the
time during which the lessee enjoyed the thing.
Presumption of Good Condition
[Art. 1666, CC]
General Rule: In the absence of a statement
concerning the condition of the thing at the time
the lease was constituted, the law presumes
that the lessee received it in good condition.
Exception: There is proof to the contrary.
11. Special Provisions
Special Provisions on the
Lease of Rural Lands
a. Reduction of Rent
● Lessee shall have NO right to a
reduction of the rent on account of the
sterility of the land leased, or by
reason of the loss of the fruits due to
ordinary fortuitous events;
○ Exception in case of Extraordinary
Fortuitous Events: He shall have
such right in case of loss of more
U.P. LAW BOC SPECIAL CONTRACTS CIVIL LAW

than one-half of the fruits through ○ All in accordance to the

extraordinary and unforeseen
fortuitous events
○ Extraordinary Fortuitous events:
a. Fire;
b. War;
c. Pestilence;
d. Unusual Flood;
e. Locusts;
f. Earthquake;
g. Or others which
uncommon, and which
contracting parties could not
have foreseen [Art. 1680,
CC]
○ Exception to Exception: Unless
there is stipulation to the contrary.
● The lessee shall also have NO right to
the reduction of the rent if the fruits are
lost after they have been separated
from their stalk, root, or trunk. [Art.
1682, CC]
b. Duration of Lease if Not
Fixed
● All the time necessary for the gathering
of the fruits which the whole estate
leased may yield in one year, or which
it may yield once, although two or more
years may have elapsed for the
purpose. [Art. 1682, CC]
c. Obligation of Lessees
● Outgoing Lessees
○ Shall allow the incoming lessee or
the lessor use of the premises; and
other means necessary;
○ For the preparatory labor for the
following year
! Incoming Lessee or Lessor
○ Must permit;
○ The Outgoing Lessee;
○ To do whatever may be necessary
for:
1. Gathering; or
2. Harvesting; and
3. Utilization;
○ Of the fruits;
customs of the place. [Art.
1683, CC]
d. Land Tenancy On Shares
● Governed by special laws, the
stipulations of the parties, the
provisions on partnership and by the
customs of the place. [Art. 1684, CC]
are ● The tenant on shares cannot be
ejected except in cases specific by law.
[Art. 1685, CC]
Special Provisions for the
Lease of Urban Lands
i. Rules on Repair
● The customs of the place shall be
observed with regard to the kind of
repairs on urban property for which
the lessor shall be liable
● In case of doubt, repairs are
chargeable against the lessor
● Exception: Unless there is a
special stipulation [Art. 1686, NCC]
ii. Period if Unfixed
● Depends on the rent agreed upon
○ If rent is annual, the lease is
understood to be from year to year;
○ If the rent is monthly, lease is
understood to be from month to
month;
○ If rent is weekly, lease is
understood to be from week to
week
○ If rent is to be paid daily, lease is
daily.
● Exception: Court may fix a longer
period IF:
○ In case of monthly rent:
■ Lessee has occupied the
premises for over a year
○ In case of weekly rent:
■ Lessee has been in possession
for over six months
○ In case of daily rent:
■ Lessee has stayed in the place
for over one month [Art. 1687,
CC]

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U.P. LAW BOC SPECIAL CONTRACTS
iii. Period of Lease of Furniture
When the lessor of a house, or part
thereof, used as dwelling for a family,
or when the lessor of a store, or
industrial establishment, also leases
the furniture, the lease of the latter shall
be deemed to be for the duration of the
lease of the premises. [Art. 1688, NCC]
QUASI-CONTRACTS
A quasi-contract is that juridical relation
resulting from a lawful, voluntary and unilateral
act, and which has for its purpose the payment
of indemnity to the end that no one shall be
unjustly enriched or benefited at the expense
of another [Art. 2142, CC]
Based on presumed will or intent of the obligor
dictated by equity and by the principles of
absolute justice [Padcom v. Ortigas Center,
G.R. No. 146807 (2002)]
Unlike contracts, here there is absence of
consent. It is voluntary and unilateral [Casis]
A. NEGOTIORUM GESTIO
(UNAUTHORIZED
MANAGEMENT)
Negotiorum gestio takes place when a
person voluntarily takes charge of another’s
abandoned business or property without the
owner’s authority [Art. 2144, CC]. As a rule,
reimbursement must be made to the gestor
(i.e., one who carried out the business) for
necessary and useful expenses.
Requisites:
1. Person voluntary takes charge of;
2. the agency or management of a
business or property belonging to
another;
3. property or business is neglected or
abandoned; and
4. manager has not been tacitly
authorized by the owner.
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CIVIL LAW
The obligation does not arise:
a. When the property or business is not
neglected or abandoned;
b. If in fact the manager has been tacitly
authorized by the owner.
In the first case, the provisions of Articles 1317,
1403(1), and 1404 regarding unauthorized
contracts shall govern.
In the second case, the rules on agency shall
be applicable. [Art. 2144, CC]
1. Obligations of a Gestor
a. Observe the requisite standard
of diligence
The officious manager must perform his duties
with all the diligence of a good father of a
family
He must pay the damages which through his
fault and negligence may be suffered by the
owner of the property/business under his
management. The courts may, however,
increase or moderate the indemnity according
to the circumstances of each case. [Art. 2145,
CC]
b. Liability in the management of
the property
Solidary liability
The officious manager is liable for the acts of
the persons to whom he delegated all or some
of his duties. The responsibility of two or more
gestors shall be solidary, unless the
management was assumed to save the thing
or business from imminent danger. [Art. 2146,
CC]
Note: This is without prejudice to the direct
obligation of the delegate to the owner of the
business.
Liability for fortuitous events
The officious manager is liable for any
fortuitous event under the following
conditions:
U.P. LAW BOC SPECIAL CONTRACTS
1. If he undertakes risky operations which
the owner was not accustomed to embark
upon
2. If he has preferred his own interest to
that of the owner
3. If he fails to return the property or
business after demand of the owner
4. If he assumed management in bad faith
[Art. 2147, CC]
5. If he is manifestly unfit to carry on the
management
6. If by his intervention he prevented a more
competent person from taking up the
management. [Art. 2148, CC]
Note: The gestor shall not be liable for (e) and
(f) if the management was assumed to save the
property or business from imminent danger.
Personal liability
Be personally liable for contracts which he
entered into with third persons, even though
he acted in the name of the owner, and there
shall be no right of action between the owner
and third persons.
The gestor shall NOT be personally liable for
such contracts, provided:
• The owner has expressly or tacitly ratified
the management, or
• When the contract refers to things
pertaining to the owner of the business.
[Art. 2152, CC]
2. Obligations of the Owner of
the Property or Business
Although the management was not expressly
ratified, the owner who enjoys the advantages
of the same shall:
1. Be liable for the obligations incurred
in his interest
2. Reimburse the gestor for the
necessary and useful expenses and
for the damages the latter may have
suffered in the performance of his
duties
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CIVIL LAW
The above obligations shall be incumbent upon
the owner if the management had for its
purpose the prevention of an imminent and
manifest loss, although no benefit may have
been derived. [Art. 2150, CC]
The owner would still be liable, even if the
owner did not derive any benefit and there
was no imminent and manifest danger to the
property or business, provided:
1. The gestor has acted in good faith;
and
2. The property or business is intact,
ready to be returned to the owner.
[Art. 2151, CC]
3. Effect of Ratification
The ratification of the management by the
owner of the business produces the effects of
an express agency, even if the business may
not have been successful. [Art. 2149, CC]
4. Extinguishment of
Management
1. When the owner repudiates or puts
an end thereto
2. When the gestor withdraws from the
management, subject to Art. 2144
3. By the death, civil interdiction,
insanity or insolvency of the owner or
the gestor. [Art. 2153, CC]
B. SOLUTIO INDEBITI
(UNDUE PAYMENT)
Solutio indebiti takes place when something
is received when there is no right to demand
it, and it was unduly delivered through
mistake. The recipient has the duty to return
it [Art. 2154, CC].
1. Requisites
1. Something has been unduly delivered
through mistake; and
U.P. LAW BOC SPECIAL CONTRACTS
2. Something was received when there
was no right to demand it [Metrobank v.
Absolute Management Corp., G.R. No.
170498 (2013)]
This situation may cover payment by reason of
a mistake in the construction or application of a
doubtful or difficult question of law [Art. 2155,
CC].
The Government also comes within the scope
of solutio indebiti. Tax refunds are based on
such. [CIR v. Acesite, G.R. No. 147295 (2007)]
2. When Debt Not Yet Due
If the payer was in doubt whether the debt was
due, he may recover if he proves that it was not
due. [Art. 2156, CC]
3. Responsibility of Two or More
Payees
When there has been payment of what is not
due, their responsibility is solidary. [Art. 2157,
CC]
4. When Money or Thing
Delivered is Owned by Third
Person
The payee cannot demand that the payor
prove his ownership of the thing delivered.
Nevertheless, should he discover that the thing
has been stolen and who its true owner is, he
must advise the latter.
If the owner, in spite of such information, does
not claim it within the period of one month, the
payee shall be relieved of all responsibility by
returning the thing deposited to the payor.
If the payee has reasonable grounds to believe
that the thing has not been lawfully acquired by
the payor, the former may return the same. [Art.
2158]
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CIVIL LAW
5. Liability of Payee
If in bad faith, he shall be liable:
1. For legal interest if a sum of money is
involved, or
2. For the fruits received or which should have
been received if the thing produces fruits,
and
3. For any loss or impairment of the thing for
any cause, and
4. For damages to the person who delivered
the thing, until it is recovered. [Art. 2159, CC]
If in good faith, he shall be liable:
1. For the impairment or loss of the thing
certain and determinate or its accessories
and accessions insofar as he has thereby
been benefited.
2. For the return of the price or assign the
action to collect the sum if he has alienated
the same. [Art. 2160, CC]
6. Exemption from the Obligation
to Restore the Payment Unduly
Made
A person who, believing in good faith that the
payment was being made of a legitimate and
subsisting claim,
1. destroyed the document, or
2. allowed the action to prescribe, or
3. gave up the pledges, or
4. cancelled the guaranties for his right shall be
exempt from the obligation to restore.
The person who paid unduly may proceed only
against the true debtor or the guarantors with
regard to whom the action is still effective. [Art.
2162, CC]
7. Presumption of Payment by
Mistake, Defense
The presumption arises if something which had
never been due or had already been paid was
delivered; but he from whom the return is
claimed may prove that the delivery was made
out of liberality or for any other just cause. [Art.
2163, CC]
U.P. LAW BOC SPECIAL CONTRACTS
C. OTHER QUASI-
CONTRACTS
a. When, without the knowledge of the person
obliged to give support, it is given by a
stranger, the latter shall have a right to
claim the same from the former, unless it
appears that he gave it out of piety and
without intention of being repaid. [Art.
2164, CC]
b. When the person obliged to support an
orphan, or an insane or other indigent
person unjustly refuses to give support to
the latter, any third person may furnish
support to the needy individual, with right
of reimbursement from the person obliged
to give support. The provisions of this
article apply when the father or mother of a
child under eighteen years of age unjustly
refuses to support him. [Art. 2166, CC]
c. When funeral expenses are borne by a
third person, without the knowledge of
those relatives who were obliged to give
support to the deceased, said relatives
shall reimburse the third person, should the
latter claim reimbursement. [Art. 2165, CC]
Note: Only necessary expenses. 3rd person
must claim [Casis].
d. When through an accident or other cause
a person is injured or becomes seriously ill,
and he is treated or helped while he is not
in a condition to give consent to a contract,
he shall be liable to pay for the services of
the physician or other person aiding him,
unless the service has been rendered out
of pure generosity. [Art. 2167, CC]
e. When during a fire, flood, storm, or other
calamity, property is saved from
destruction by another person without the
knowledge of the owner, the latter is bound
to pay the former just compensation. [Art.
2168, CC]
f. When the government, upon the failure of
any person to comply with health or safety
Page 414 of 532
CIVIL LAW
regulations concerning property,
undertakes to do the necessary work,
even over his objection, he shall be liable
to pay the expenses. [Art. 2169, CC]
g. When by accident or other fortuitous event,
movables separately pertaining to two or
more persons are commingled or
confused, the rules on co-ownership shall
be applicable. [Art. 2170, CC]
h. The rights and obligations of the finder of
lost personal property shall be governed by
Articles 719 and 720. [Art. 2171, CC]
i. The right of every possessor in good faith
to reimbursement for necessary and useful
expenses is governed by Article 546. [Art.
2172, CC]
Note: Possessor in good faith may retain the
thing until he has been reimbursed [Casis].
j. When a third person, without the
knowledge of the debtor, pays the debt, the
rights of the former are governed by
Articles 1236 and 1237. [Art. 2173, CC]
Note: Cannot compel creditor to subrogate
him in his rights [Art. 1237, CC].
k. When in a small community, a majority of
the inhabitants of age decide upon a
measure for protection against
lawlessness, fire, flood, storm or other
calamity, anyone who objects to the plan
and refuses to contribute to the expenses
but is benefited by the project as executed
shall be liable to pay his share of said
expenses. [Art. 2174, CC]
l. Any person who is constrained to pay the
taxes of another shall be entitled to
reimbursement from the latter. [Art. 2175,
CC]
Note: The list of quasi-contracts in the Civil
Code is not exhaustive. A quasi-contractual
relation may be forced upon the parties to
prevent unjust enrichment [PNB v. Court of
Appeals, G.R. No. 97995 (1993)]
U.P. LAW BOC LAND TITLES AND DEEDS CIVIL LAW

LAND TITLES AND

DEEDS
CIVIL LAW

Page 415 of 532

U.P. LAW BOC LAND TITLES AND DEEDS CIVIL LAW

Estate
A. TORRENS SYSTEM An estate, strictly speaking, represents the
nature, extent, degree, and quantity of a
person’s interest in land.
1. Concept and Background Types of Estates
a. Freehold Estate – Indicates title of
Land title ownership
It is the evidence of the right of the owner or 1. Fee Simple – An absolute title;
the extent of his interest, by which he can Absolute estate in perpetuity; Title to
maintain control, and as a rule, assert right to land is conferred upon a man and his
exclusive possession and enjoyment of the heirs absolutely and without any
property. [Peña] limitation imposed upon the estate
2. Fee Tail – One designed to pass title
Title and Certificate of Title Distinguished from grantee to his heirs, in the intent
Certificate of of the grantor being to keep the
Title
Title property in the grantee’s line of issue
3. Life Estate – One held for the duration
Lawful cause or ground of the life of the grantee; In some
of possessing that cases, it may terminate earlier as by
It is a mere
which is ours. forfeiture
evidence of
ownership; it is not b. Less-than-Freehold Estate – Signifies
That which constitutes some sort of right short of title
the title to the land
a just cause of 1. Estate for Years – In the nature of a
itself [Castillo v.
exclusive possession, lease short of title; grantee or lessee
Escutin, G.R. No.
or which is the takes over possession of the land for a
171057 (2009).
foundation of period agreed upon but the grantor
ownership of property. retains the legal title to the property
2. Tenancy from period to period – Also
in the nature of a lease which may run
The title is a conclusive evidence of
from month to month or from year to
ownership and it cannot be attacked
year, with the peculiarity of automatic
collaterally.
renewal from time to time, unless
expressly terminated by either party
Deed
3. Tenancy at will – Another form of
A written instrument executed in accordance lease agreement where a person is
with law, wherein a person grants or conveys
permitted to occupy the land of another
to another certain land, tenements or
without any stipulation as to period, but
hereditaments. [Peña]
either party reserves the right to
terminate the occupation at will or at
Elements of A Deed
any time
a. Grantor
b. Grantee
Land Registration
c. Words of Grant
A judicial or administrative proceeding whereby
d. Description of the property involved
a person’s claim of ownership over a
e. Signature of the grantor
particular land is determined and confirmed
f. At least two (2) witnesses
or recognized so that such land and the
g. Notarial acknowledgment
ownership thereof may be recorded in a public
registry.

Page 416 of 532

U.P. LAW BOC LAND TITLES AND DEEDS
Note: Registration does not vest title. It is not a
mode of acquiring ownership but is merely
evidence of such title over a particular property.
Nature of Land Registration
Judicial proceedings for the registration of
lands throughout the Philippines shall be in
rem and shall be based on the generally
accepted principles underlying the Torrens
system [Sec. 2, par. 1, PD 1529]
A proceeding in rem is when the object of the
action is to bar indifferently all who might be
mined to make an objection of any sort against
the right sought to be established, and if
anyone in the world has a right to be heard on
the strength of alleging facts which if true, show
an inconsistent interest. [Agcaoili]
The land registration is binding on the whole
world because “by the description in the notice
(of initial hearing of the application for
registration) “To Whom It May Concern,” all the
world are made parties defendant.” [Aquino,
citing Esconde v. Barlongay, G.R. No. L-67582
(1987)]
In a registration proceeding, the judgment of
the court confirming the title, and ordering its
registration in one’s name constitutes, when
final, res judicata against the whole world [Ting
v. Heirs of Liro, G.R. No. 16891 (2007)]
There is no need to personally notify the
owners or claimants of the land sought to be
registered if it is involved in a land registration
case since it is a proceeding in rem. This gives
automatic power and authority to the court over
the res. [Guido-Enriquez v. Victorino, et al.,
G.R. No. 180427 (2013)]
Laws Implementing Land Registration
a. Public Land Act [CA 141, as amended]
b. Property Registration Decree [PD 1529, as
amended]
c. Cadastral Act [Act 2259, as amended]
d. Indigenous Peoples Rights Act of 1997 [RA
8371]
e. Emancipation Decree [PD 27, as
amended]
Page 417 of 532
CIVIL LAW
f. Comprehensive Agrarian Reform Law of
1988 [RA 6657, as amended]
To simplify and streamline land registration
proceedings, Presidential Decree No. 1529
was issued on June 11, 1978, otherwise known
as the Property Registration Decree, governing
registration of lands under the Torrens system
as well as the recording of transactions relating
to unregistered lands, including chattel
mortgages. This Decree consolidates, in effect,
all pre-existing laws on property registration
with such appropriate modifications as are
called for by existing circumstances. [Peña]
Purposes of Land Registration
Registration is merely a species of notice.
The act of registering a document is never
necessary in order to give it legal effect as
between the parties. The system maintains a
permanent record of landholdings, in order to
prevent fraudulent claims to land by
concealment of transfers.
Another purpose is to notify and protect the
interests of strangers to a given transaction,
who may be ignorant thereof. However, where
a document so registered is invalid or legally
defective, registration will not in any way render
it valid or cure its defect.
Object of Registration
Only real property or real rights may be the
object of registration under the existing land
registration laws.
Classification of Lands [Art. XII, Sec. 3, 1987
Constitution]
a. Agricultural
b. Forestland or timberland
c. Mineral Lands
d. National Parks
Classification of lands is an exclusive
prerogative of the executive department. In
the absence of such classification, the lands
remain as unclassified until it is released
therefrom and rendered open to disposition.
The President, through a Presidential
Proclamation or Executive Order can classify
or reclassify land to be included or excluded
U.P. LAW BOC LAND TITLES AND DEEDS
from the public domain. The DENR Secretary
is also empowered to approve a land
classification and declare such land as
alienable and disposable. [Agcaoili, citing
Fortuna v. Republic, G.R. No. 173423 (2014)]
Registrable lands are
a. Alienable public agricultural lands
If the land is in the public domain, the
land must be classified as alienable
and disposable. It must be classified as
such at the time of filing the application
for registration. [Republic v. CA and
Naguit, G.R. No. 144057 (2005)]
b. Private lands
Non-registrable lands
Those found in the CC dealing with non-
registrable properties (e.g. property of public
dominion)
a. Torrens System
Torrens System
A system for registration of land under which,
upon landowner’s application, the court may,
after appropriate proceedings, direct the
issuance of a certificate of title. [Black’s Law
Dictionary]; those systems of registration of
transactions with interest in land whose
declared object is, under governmental
authority, to establish and certify to the
ownership of an absolute and indefeasible title
to realty, and to simplify its transfer. [Grey Alba
v. De la Cruz, G.R. No. L-5246 (1910)]
Background
The Torrens system was devised in 1857 by
Mr. Torrens, a layman in South Australia. In the
Torrens system, title by registration takes the
place of "title by deeds" of the system under the
"general" law. A sale of land, for example, is
effected by a registered transfer, upon which a
certificate of title is issued. The certificate is
guaranteed by statute, and, with certain
exceptions, constitutes indefeasible title to the
land mentioned therein. The object of the
Torrens system is to do away with the delay,
uncertainty, and expense of the old
conveyancing system which relied on the
correctness of a long series of prior deeds,
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CIVIL LAW
wills, and other documents for the validity of
conveyances.
The Torrens system was introduced in the
Philippines by Act No. 496, which took effect on
Jan. 1, 1903. This was later amended and
superseded by PD 1529 which took effect on
June 11, 1978.
The underlying principle of the Torrens system
is security with facility in dealing with land. It
requires that the government issue an official
certificate of title attesting to the fact that the
person named is the owner of the property
described therein, subject to such liens and
encumbrances thereon noted or the law
warrants or reserves. The certificate of title is
indefeasible and imprescriptible and all claims
to the parcel of land are quieted upon issuance
of said certificate. [Cruz v. Secretary of
Environment and Natural Resources]
Nature
Judicial in nature.
Purpose
The real purpose of the Torrens system of
registration is to quiet title to land; to put a stop
forever to any question of the legality of the
title, except claims which may arise
subsequent thereto. [Agcaoili]
It aims to decree land titles that shall be final,
irrevocable and indisputable [Government of
the Philippine Islands v. Abural, GR No. 14167
(1919), and to relieve the land of the burden of
known as well as unknown claims. [SM Prime
Holdings, Inc. v. Madayag]
General Rule: A title once registered cannot be
impugned, altered, changed, modified,
enlarged, or diminished.
Exception: Direct proceeding permitted by law,
usually for the protection of innocent third
persons
U.P. LAW BOC LAND TITLES AND DEEDS
b. Administration of the
Torrens System
1. Land Registration Authority
Agency under the executive supervision of the
DOJ charged with the efficient execution of
the laws relative to the registration of lands
Composition:
1. Administrator
2. 2 Deputy Administrators (as assistants)
Functions of LRA
1. Extend speedy and effective assistance
to the Department of Agrarian Reform,
the Land Bank, and other agencies in
the implementation of land reform
program of the government
2. Extend assistance to courts in ordinary
and cadastral land registration
proceedings; and
3. Be the central repository of records
relative to original registration of lands
titled under the Torrens system,
including the subdivision and
consolidation plans of titled lands.
2. Register of Deeds
Public repository of records of instruments
affecting registered or unregistered lands and
chattel mortgages in the province or city
wherein such office is situated.
Composition:
1. Register of Deeds
2. Deputy (as assistant)
Functions of Registers of Deeds:
1. Immediately register an instrument
presented for registration dealing with real
or personal property which complies with
the requisites for registration;
2. Shall see to it that said instrument bears
the proper documentary stamps and that
the same are properly cancelled;
3. If the instrument is not registerable, he shall
deny the registration thereof and inform the
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CIVIL LAW
presentor of such denial in writing, stating
the ground or reason therefore, and
advising him of his right to appeal by
consulta in accordance with Sec. 117 of PD
1529.
4. Prepare and keep an index system which
contains the names of all registered
owners and lands registered.
The function of the ROD with reference to
registration of deeds, encumbrances,
instruments, and the like is ministerial in
nature, provided the applicant complies with all
the requisites. [Baranda v. Gustilo, G.R. No.
81163 (1988)]
Note: When the ROD is in doubt as to the
proper action to take on an instrument or deed
presented to him for registration, he should
submit the question to the Administrator of the
LRA en consulta [P.D. 1529, Sec 117]
2. Certificate of Title
The Torrens Title
Certificate of ownership issued by the Register
of Deeds naming and declaring the owner of
the real property described therein free from
all liens and encumbrances, except such as
may be expressly noted thereon or otherwise
reserved by law.
a. Original Certificate of Title (OCT) – It is
the first certificate of title issued in the
name of the registered owner by the
Register of Deeds covering a parcel of land
which had been registered under the
Torrens System, by virtue of judicial or
administrative proceedings
b. Transfer Certificate of Title (TCT) – The
subsequent certificate of title pursuant to
any deed of transfer or conveyance to
another person. The Register of Deeds
shall make a new certificate of title and give
the registrant an owner’s duplicate
certificate. The previous certificate shall be
stamped “cancelled.”
c. Patents – Whenever public land is by the
Government alienated, granted or
U.P. LAW BOC LAND TITLES AND DEEDS
conveyed to any person, the same shall be
brought forthwith under the operation of
this Decree [PD 1529, Sec. 103, par. 1]
1. Patents only involve public lands
which are alienated by the
Government pursuant to the Public
Land Act [CA 141, as amended]
2. The patent (even if denominated as
a deed of conveyance) is not really
a conveyance but a contract
between the grantee and the
Government and evidence of
authority to the Register of Deeds
to make registration.
3. The act of registration is the
operative act to affect and convey
the land.
Probative Value
A Torrens Certificate of Title is valid and
enforceable against the whole world. It may
be received in evidence in all courts of the
Philippines, and shall be conclusive as to all
matters contained therein, principally the
identity of the owner of the covered land
thereby and identity of the land.
A Torrens title, once registered, cannot be
defeated, even by adverse, open and
notorious possession. A registered title
under the Torrens system cannot be defeated
by prescription. The title, once registered, is
notice to the whole world. All persons must take
notice. No one can plead ignorance of the
registration. [Egao v. CA, G.R. No. L-79787
(1989)]
a. Effect of Registration under the
Torrens System
Land is placed under the operation of the
Torrens system
Claims and liens of whatever character existing
against the land prior to the issuance of the
certificate of title are cut off by such certificate
and the certificate so issued binds the whole
world, including the government
1. It is an elemental rule that a decree of
registration bars all claims and rights
which arose or may have existed prior
Page 420 of 532
CIVIL LAW
to the decree of registration. By the
issuance of the decree, the land is
bound and title thereto quieted, subject
only to certain exceptions under the
property registration decree. [Heirs of
Alejandra Delfin, namely, Leopoldo
Delfin, et al. v. Avelina Rabadon, G.R.
No. 165014 (2013)]
2. Exceptions:
• Those claims noted on the
certificate
• Liens, claims, or rights arising or
existing under the laws and the
Constitution, which are not by law
required to appear on record in the
Register in order to be valid
• Unpaid real estate taxes levied and
assessed within 2 years
immediately preceding the
acquisition of any right over the
land by an innocent purchaser for
value
Title to the land becomes non-prescriptible:
1. Even adverse, notorious, and continuous
possession under claim of ownership for
the period fixed by law is ineffective against
a Torrens title [JM Tuason and Co. Inc. v.
CA, G.R. No. L-41233 (1979)]
2. The fact that the title to the land was lost
does not mean that the land ceased to be
registered land before the reconstitution of
its title. It cannot perforce be acquired by
prescription. [Ruiz v. CA, 1977]
Land becomes incontrovertible and
indefeasible. A decree of registration and
registered title cannot be impugned, enlarged,
altered, modified, or diminished either in
collateral or direct proceeding after the lapse of
the 1-year period prescribed by the law.
Exceptions:
1. If previous valid title of the same land exists
2. When the land covered is not capable of
registration
3. When acquisition of certificate is attended
by fraud
Torrens certificate is presumed valid and
devoid of flaws.
U.P. LAW BOC LAND TITLES AND DEEDS CIVIL LAW

presented for registration in the office of the

Note: Registration is not equivalent to legal Register of Deeds. [Peña]
title. Under the Torrens system, registration
only gives validity to the transaction or creates Laches, When Applicable
a lien upon the land. It merely confirms, but Laches sets in if it would take 18 years for a
does not confer, ownership [Lu v. Manipon, person to file an action to annul the land
G.R. No. 147072 (2002)] registration proceedings, especially so if the
registrant has already subdivided the land and
Effect of Non-Registration sold the same to innocent third parties. A
If a purchaser, mortgagee or grantee should party’s long inaction or passivity in asserting
fail to register his deed the conveyance, his rights over disputed property precludes him
considering our existing registration laws, it from recovering the same. [Heirs of Teodoro
shall not be valid against any person unless dela Cruz v. CA, G.R. No. 1117384 (1998);
registered. Aurora Ignacio v. Valeriano Basilio, et al., G.R.
No. 122824 (2001)]
Exceptions:
a. The grantor, B. AGRARIAN TITLES AND
b. His heirs and devisees, and ANCESTRAL LANDS AND
c. Third persons having actual notice or
DOMAINS
knowledge thereof.
Concept of the Regalian Doctrine
It is a settled rule that lands under a Torrens
A western legal concept that was first
title cannot be acquired by prescription or
introduced by the Spaniards into the country
adverse possession. Section 47 of P.D. No.
through the laws of the Indies and the Royal
1529, the Property Registration Decree,
Cedulas whereby the Philippines passed to
expressly provides that no title to registered
Spain by virtue of “discovery” and conquest.
land in derogation of the title of the registered
Consequently, all lands became the exclusive
owner shall be acquired by prescription or
patrimony and dominion of the Spanish Crown.
adverse possession. [Dream Village
[Agcaoili]
Neighborhood Association, Inc., represented
by its Incumbent President Greg Seriego v.
The present Constitution provides that, except
Bases Conversion Development Authority,
for agricultural lands of the public domain
G.R. No.192896 (2013)]
which alone may be alienated, forest or
timber, and mineral lands, as well as all
Dealings in Land before Issuance of Decree
other natural resources must remain with
With the filing of an application for registration,
the State, the exploration, development, and
the land described therein does not cease to
utilization of which shall be subject to its full
become open to any lawful transaction. If the
control and supervision albeit allowing it to
transaction takes place before the issuance of
enter into co-production, joint venture, or
the decree of registration, Section 22 of PD
production-sharing agreements, or into
1529 provides that the instrument is to be
agreements with foreign-owned corporations
presented to the RTC, together with a motion
involving technical or financial assistance for
praying that the same be considered in relation
large-scale exploration, development, and
with the pending application.
utilization. [Secs. 2 and 3, Art. XII; La Bugal-
B’laan Tribal Association, Inc. v. Ramos, G.R.
However, if the motion is filed after the decision
No. 127882 (2004)]
of adjudication has become final but before the
issuance of the decree by the Administrator of
The Regalian Doctrine is enshrined in the 1987
Land Registration Authority, the court shall
Constitution [Art 12, Sec 2 & 3] which states
require the interested party to pay the fees
that all lands of public domain belong to the
prescribed as if such instrument had been

Page 421 of 532

U.P. LAW BOC LAND TITLES AND DEEDS
State, thus private title to land must be
traced to some grant, express or implied,
from the State, i.e. The Spanish Crown or its
successors, the American Colonial
government and thereafter the Philippine
Republic
It does not negate native title to lands held in
private ownership since time immemorial.
[Cruz v. Sec. of Environment and Natural
Resources, G.R. No. 135385 (2000)]
Native title recognizes ownership of land by
Filipinos independent of any grant from the
Spanish crown on the basis of possession
since time immemorial [cf: Cariño v. Insular
Government, G.R. No. 2869 (1907)]. Lands
embraced by native title are presumed to have
been held prior to the Spanish conquest and
never to have been public land.
Effects of the Regalian Doctrine
a. All lands of public domain belong to the
State, and that the State is the source of
any asserted right to ownership in land and
charged with the conservation of such
patrimony [Republic v. IAC, G.R. No.
71285 (1987)]
b. Under the Regalian doctrine, all lands of
whatever classification and other natural
resources not otherwise appearing to be
clearly within private ownership are
presumed to belong to the State which is
the source of any asserted right to
ownership of land. [Repubic v. Remnan
Enterprises, Inc. G.R. No. 199310 (2014)]
c. The burden of proof in overcoming the
presumption of State ownership of the
lands of the public domain is on the
person applying for registration (or
claiming ownership), who must prove that
the land subject of the application is
alienable or disposable. To overcome this
presumption, incontrovertible evidence
must be established that the land subject of
application (or claim) is alienable or
disposable. [Valiao v. Republic, G.R. No.
170757 (2011)]
Page 422 of 532
CIVIL LAW
1. Concept and Registration of
Agrarian Titles
Agrarian lands
Agrarian lands, otherwise called agricultural
lands refer to land devoted to agricultural
activity as defined in RA 6657 and not
classified as mineral, forest, residential,
commercial or industrial land.
Agricultural activity
Refers to the cultivation of the soil, planting of
crops, growing of fruit trees, raising of
livestock, poultry or fish, including the
harvesting of such farm products, and other
farm activities and practices performed by a
farmer in conjunction with such farming
operations done by person whether natural or
juridical.
Agrarian reform
Agrarian reform is defined as the redistribution
of lands, regardless of crops or fruits
produced, to farmers and regular farmworkers
who are landless, irrespective of tenurial
arrangement, to include the totality of factors
and support services designed to lift the
economic status of the beneficiaries and all
other arrangements alternative to the physical
redistribution of lands, such as production or
profit-sharing, labor administration, and the
distribution of shares of stocks, which will
allow beneficiaries to receive a just share of
the fruits of the lands they work.
The 1987 Constitution; Section 4, Article XIII
Provides that The State shall:
1. Undertake an agrarian reform program
founded on the right of landless farmers to
own directly or collectively the lands they till
and regular farmworkers to receive a just
share of the fruits thereof.
2. Encourage and undertake the just
distribution of all agricultural lands, subject
to such priorities and reasonable retention
limits prescribed by the Congress, taking
into account ecological, developmental, or
equity considerations, and subject to the
payment of just compensation. In
U.P. LAW BOC LAND TITLES AND DEEDS
determining retention limits, the State shall
respect the right of small land-owners.
3. Provide incentives for voluntary land-
sharing
P.D. 27, or The Tenant Emancipation
Doctrine
Provides for the emancipation of farmers of
private agricultural lands primarily devoted to
rice and corn under a system of sharecrop or
lease-tenancy, whether classified as landed
estate or not.
The tenant farmer shall be deemed owner of a
portion constituting a family-size farm of five (5)
hectares if not irrigated and three (3) hectares
if irrigated. The landowner may retain an area
of not more than seven (7) hectares if such
landowner is cultivating such area or will now
cultivate it.
The value of the land shall be equivalent to two
and one-half (2 1/2) times the average harvest
of three normal crop years immediately
preceding the promulgation of the Decree.
The total cost of the land, including interest at
the rate of six (6) per centum per annum, shall
be paid by the tenant in fifteen (15) years of
fifteen (15) equal annual amortizations.
In case of default, the amortizations due shall
be paid by the farmers’ cooperative in which
the defaulting tenant farmer is a member, with
the cooperative having a right of recourse
against him; The government shall guaranty
such amortizations with shares of stock in
government-owned and government-
controlled corporations.
No title to the land owned by the tenant-farmers
under this Decree shall be actually issued to a
tenant farmer unless and until the tenant-
farmer has become a full-fledged member of a
duly recognized farmer’s cooperative.
R.A. 6657 OR THE COMPREHENSIVE
AGRARIAN REFORM LAW OF 1988
Scope
Page 423 of 532
CIVIL LAW
1. All alienable and disposable lands of
the public domain devoted to or
suitable for agriculture;
2. All lands of the public domain in excess
of the specific limits as determined by
Congress in the preceding paragraph;
3. All other lands owned by the
Government devoted to or suitable for
agriculture;
4. All private lands devoted to or suitable
for agriculture regardless of the
agricultural products raised or that can
be raised thereon.
Exemptions and exclusions
1. Lands actually, directly and exclusively
used for parks, wildlife, forest reserves,
reforestation, fish sanctuaries and
breeding grounds, watersheds and
mangroves;
2. Private lands actually, directly and
exclusively used for prawn farms and
fishponds;
3. Lands actually, directly and exclusively
used and found to be necessary for:
a. national defense, school sites and
campuses;
b. church sites and convents
appurtenant thereto, mosque sites
and Islamic centers appurtenant
thereto, communal burial grounds
and cemeteries;
Valuation and mode of compensation
The LBP shall compensate the landowner in
such amounts as may be agreed upon by the
landowner and the DAR and the LBP.
In determining just compensation, the cost of
acquisition of the land, the current value of the
like properties, its nature, actual use and
income, the sworn valuation by the owner, the
tax declarations, and the assessment made by
government assessors shall be considered.
The social and economic benefits contributed
by the farmers and the farmworkers and by the
Government to the property as well as the non-
payment of taxes or loans secured from any
government financing institution on the said
land shall be considered as additional factors
to determine its valuation.
U.P. LAW BOC LAND TITLES AND DEEDS
Registration of Agrarian Lands
Under PD No. 27, beneficiaries are issued
certificates of land transfer (CLTs) to entitle
them to possess lands. Thereafter, they are
issued emancipation patents (EPs) after
compliance with all necessary conditions. Such
EPs, upon their presentation to the Register of
Deeds, shall be the basis for the issuance of
the corresponding transfer certificates of title
(TCTs) in favor of the corresponding
beneficiaries.
Under RA No. 6657, only certificates of land
ownership award (CLOAs) are issued, in lieu of
EPs, after compliance with all prerequisites.
Thereafter, upon presentation of the CLOAs to
the Register of Deeds, TCTs are issued to the
designated beneficiaries. CLTs are no longer
issued.
The issuance of EPs or CLOAs to beneficiaries
does not absolutely bar the landowner from
retaining the area covered thereby.
Under AO No. 2, series of 1994, an EP or
CLOA may be cancelled if the land covered is
later found to be part of the landowner’s
retained area. [Agcaoili]
2. Concept and Registration of
Ancestral Lands and Domains
A recognized exception to the theory of jura
regalia, the ruling in Cariño v. Insular
Government (supra) institutionalized the
recognition of the existence of native title to
land, or ownership of land by Filipinos by virtue
of possession under a claim of ownership since
time immemorial and independent of any grant
from the Spanish Crown [Agcaoili].
Lands under native title are not part of public
domain, “lands possessed by an occupant and
his predecessors since time immemorial, such
possession would justify the presumption that
the land had never been part of the public
domain or that it had been private property
even before the Spanish conquest [Republic v.
CA, G.R. No. 130174 (2000)].
Page 424 of 532
CIVIL LAW
Ancestral lands
Refers to land occupied, possessed and
utilized by individuals, families and clans who
are members of the ICCs/IPs since time
immemorial, by themselves or through their
predecessors-in-interest.
Ancestral domains
Refer to all areas generally belonging to
ICCs/IPs comprising lands, inland waters,
coastal areas, and natural resources therein,
held under a claim of ownership, occupied or
possessed by ICCs/IPs, by themselves or
through their ancestors, communally or
individually since time immemorial,
continuously to the present except when
interrupted by war, force majeure or
displacement by force, deceit, stealth or as a
consequence of government projects or any
other voluntary dealings entered into by
government and private
individuals/corporations, and which are
necessary to ensure their economic, social and
cultural welfare.
It shall include ancestral lands, forests,
pasture, residential, agricultural, and other
lands individually owned whether alienable and
disposable or otherwise, hunting grounds,
burial grounds, worship areas, bodies of water,
mineral and other natural resources, and lands
which may no longer be exclusively occupied
by ICCs/IPs but from which they traditionally
had access to for their subsistence and
traditional activities, particularly the home
ranges of ICCs/IPs who are still nomadic
and/or shifting cultivators.
Registration of Ancestral Lands
Two modes of acquiring Ancestral Lands
and Ancestral Domains:
1. By native title over both ancestral lands
and domains; or
2. By Torrens title under the Property
Registration Decree with respect to
ancestral lands only.
U.P. LAW BOC LAND TITLES AND DEEDS
Requisites for Registration of Ancestral
Lands:
1. Applicant must be a member of the
Indigenous ICCs/IPs
2. Possession of ancestral land must not
be less than 30 years immediately
preceding the approval of IPRA on
October 29, 1997
3. By operation of law, the land is already
classified as alienable and disposable
even with a slope of 18% or more.
Hence, no need to submit a separate
certification that the land has been
classified as alienable and disposable.
(IPRA, Sec. 12.)
Certificate of Ancestral Domain Title
(CADT) refers to a title formally recognizing the
rights of possession and ownership of ICCs/IPs
over their ancestral domains identified and
delineated in accordance with this law [Sec.
3(c), IPRA]
Certificate of Ancestral Lands Title (CALT)
refers to a title formally recognizing the rights
of ICCs/IPs over their ancestral lands.
Individually-owned ancestral lands, which are
agricultural in character and actually used for
agricultural, residential, pasture, and tree
farming purposes, including those with a slope
of eighteen percent (18%) or more, are hereby
classified as alienable and disposable
agricultural lands [Sec. 12, IPRA]
Native title, however, is a right of private
ownership particularly granted to ICCs/IPs over
their ancestral lands and domains. The IPRA
categorically declares ancestral lands and
domains held by native title as never to have
been public land. [Cruz v. Sec. of Environment
and Natural Resources, supra]
C. CITIZENSHIP
REQUIREMENT
1. Individuals
General Rule: Only Filipinos can acquire or
Page 425 of 532
CIVIL LAW
hold title to private lands of public domain.
[Halili v. CA, G.R. No. 113539 (1998); Secs. 2
and 5, Art. XII, 1987 Constitution]
Citizens of the Philippines may lease not more
than five hundred hectares, or acquire not
more than twelve hectares thereof, by
purchase, homestead, or grant. [Art. XII, Sec.
3, 1987 Constitution]
The Krivenko Doctrine
The capacity to acquire private land is made
dependent upon the capacity to acquire or hold
lands of public domain. Private land may be
transferred or conveyed only to individuals or
entities ‘qualified to acquire lands of public
domain.’ [Bernas]
The 1935 Constitution reserved the right for
Filipino citizens or corporations at least sixty
percent of the capital of which was owned by
Filipinos. Aliens, whether individuals or
corporations, have been disqualified from
acquiring public lands; hence they have also
been disqualified from acquiring private lands.
[Krivenko v. Register of Deeds, G.R. No. L-
630, 1947]
Exceptions
a. Aliens by way of hereditary succession
[Sec. 7, Art. XII, 1987 Constitution]
b. Natural born citizens who have lost their
citizenship:
For business use: limited to 5,000 sq. m. for
urban land and 3 hectares for rural land. In the
case of married couples, the total area
acquired by both of them shall not exceed the
maximum [RA No. 7042 as amended by RA
No. 8179]
For residential purposes: limited to 1,000 sq m.
for urban land and 1 hectare for rural land. [BP
185, Sec. 2]
For married couples in either case: one of them
may avail of the privilege granted. If both shall
avail of the same, the total area acquired by
both of them shall not exceed the maximum
specified above.
U.P. LAW BOC LAND TITLES AND DEEDS
But where a Filipino citizen naturalized as a
citizen in a foreign country has “reacquired” his
Philippine citizenship under the terms of RA
9225 (2003) otherwise known as the
“Citizenship Retention and Re-acquisition Act
of 2003,” the area limitations may no longer
apply since the law expressly grants him the
same right, as any Filipino citizen, to “enjoy full
civil and political rights” upon the re-acquisition
of his Filipino citizenship [Agcaoili].
c. Aliens, although disqualified to acquire
lands of public domain, may lease private
land provided that such lease does not
amount to a virtual transfer of ownership.
They may also be given an option to buy
property on the condition that he is granted
Philippine citizenship. [Llantino v. Co liong
Chong, G.R. No. L-29663 (1990)]
d. Lands acquired by an American citizen
prior the proclamation of Philippine
Independence on July 4, 1946 but after the
passage of the 1935 Constitution may be
registered, based on the ordinance
appended to the 1935 Constitution. [Moss
v. Director of Lands, G.R. No. L-27170
(1977)]
e. Land sold to an alien which is now in the
hands of a naturalized citizen can no longer
be annulled [De Castro v. Tan, GR No. L-
31956]. The litigated property is now in the
hands of a naturalized Filipino. It is no
longer owned by a disqualified vendee.
The purpose of the prohibition ceases to be
applicable. [Barsobia v. Cuenco, G.R. No.
L-33048 (1982)]
f. Aliens may acquire condominium units and
shares in condominium corporations up to
no more than 40% of the total and
outstanding capital stock of a Filipino-
owned or controlled corporation. [RA 4726,
The Condominium Act, Sec. 5]
Under such circumstances, the ownership of
the land is legally separated from the unit itself,
therefore the proscription against aliens
owning real property does not apply. [Hurst v.
PR Builders, Inc., G.R. No. 156364 (2008)]
Page 426 of 532
CIVIL LAW
2. Corporations
General Rule: Private corporations may not
hold alienable lands of the public domain. [Sec.
3, Art. XII, 1987 Constitution]
Exceptions
a. By lease for a period not exceeding twenty-
five years, renewable for not more than
twenty-five years and not to exceed one
thousand hectares in area. [Sec. 3, Art. XII,
1987 Constitution]
b. If the predecessors-in-interest of the
corporation have been in possession of the
land in question since June12,1945 or
earlier, then it may rightfully apply
confirmation of title to the land. The vested
right has to be respected. [Republic v.
Intermediate Appellate Court and Acme,
G.R. L-73002 (1986)]
Limitations to Ownership of Land by
Corporations
a. For private lands:
1. At least 60% Filipino [Sec. 2, Art. XII,
1987 Constitution [Agcaoili]
2. Restricted as to extent reasonably
necessary to enable it to carry out the
purpose for which it was created
3. If engaged in agriculture, it is restricted
to 1,024 hectares
b. For patrimonial property of the State [Sec.
3, Art. XII, 1987 Constitution]
1. Lease only for a limited period of 25
years
2. Limited to 1,000 hectares
3. Applies to both Filipino and Foreign
corporations
4. This limitation does not apply where
the corporation acquired the land, the
same was already private land
[Republic v. IAC and Acme Plywood &
Veneer co., Inc., G.R. No. 73002
(1986)]
A Corporation Sole may acquire and register
private agricultural land. It has no nationality,
thus the constitutional proscription against
U.P. LAW BOC LAND TITLES AND DEEDS
private corporations acquiring public
agricultural lands will not apply. [RC Apostolic
Administrator of Davao v. LRC, G.R. No. L-
8415 (1957)] A corporation sole, which
consists of one person only, is vested with the
right to purchase and hold real estate and
register the same in trust for the faithful or
members of the religious society or church for
which the corporation was organized.
A Religious Association Controlled by Non-
Filipinos is not excepted by the Constitutional
provisions. To permit them to acquire
agricultural lands would be to drive the opening
wedge to revive alien religious land-holdings in
the country. [Agcaoili]
D. ORIGINAL
REGISTRATION
ORIGINAL REGISTRATION
This is a proceeding brought before the land
registration court to determine title or
ownership of land on the basis of an
application for registration or answer by a
claimant in a cadastral registration.
A decree of registration merely confirms, but
does not confer ownership. [City Mayor of
Parañaque City v. Ebio, G.R. No. 178411,
(2010)] Registration does not vest title or give
title to the land, but merely confirms and
thereafter protects the title already
possessed by the owner, making it
imprescriptible by occupation of third parties.
The registration does not give the owner any
better title than he has. He does not obtain title
by virtue of the certificate. He secures his
certificate by virtue of the fact that he has a fee
simple title. [Legarda v. Saleeby, supra]
Original Distinguished From Subsequent
Original Subsequent
Registration Registration
When right of Any transaction
ownership or title to affecting such
land is for the first originally registered
time made of public land, if in order, may
record be registered in the
Page 427 of 532
CIVIL LAW
Office of the Register
of Deeds concerned
a. Voluntary – by filing with the proper court
under:
1. PD 1529, Property Registration Decree
2. CA 141, Public Land Act
3. RA 8371, IPRA
b. Involuntary – as in Cadastral Proceedings
● This is compulsory registration
initiated by the government to
adjudicate ownership of the land
● Involuntary on the part of the
claimant but they are compelled to
substantiate their claim or interest
1. Who May Apply
a. Under Sec. 14, PD 1529:
1. Those who by themselves or through
their predecessors-in-interest, have
been in open, continuous, exclusive
and notorious possession and
occupation of alienable and disposable
lands of the public domain under a
bona fide claim of ownership since
June 12, 1945, or earlier.
2. Those who have acquired ownership of
private lands by prescription under the
provisions of existing laws.
3. Those who have acquired ownership of
private lands or abandoned river beds
by right or accession or accretion under
the existing laws.
4. Those who have acquired ownership of
land in any other manner provided for
by law [see: Republic represented by
Mindanao Medical Center v CA, G.R.
No. 40912 (1976)]
● Land owned in common: ALL co-
owners shall file the application
jointly.
● Land has been sold under pacto de
retro: the vendor a retro may file an
application for the original
registration of the land, provided,
however, that should the period for
redemption expire during the
pendency of the registration
U.P. LAW BOC LAND TITLES AND DEEDS
proceedings and ownership to the
property consolidated in the
vendee a retro, the latter shall be
substituted for the applicant and
may continue the proceedings.
● Land subject of a trust agreement:
A trustee on behalf of his principal
may apply for original registration
of any land held in trust by him,
unless prohibited by the instrument
creating the trust.
b. Under Sec. 16, PD 1529; Land Applied for
Registration by a Non-Resident of the
Philippines:
He shall file his application:
1. An instrument in due form;
2. Appointing a duly authorized
representative or attorney-in-fact,
whose authority shall accompany the
application;
3. Giving his full name and postal
address; and
4. Shall therein agree that the service of
any legal process in the proceedings
under or growing out of the application
made upon his agent or representative
shall be of the same legal effect as if
made upon the applicant within the
Philippines.
c. Under Sec. 12, CA 141; Any person who:
1. Is a citizen of the Philippines over the
age of 18, or the head of a family;
2. Does not own more than 24 hectares of
land in the Philippines, or has not had
the benefit of any gratuitous allotment
of more than 24 hectares of land since
the occupation of the Philippines by the
United States
Note: they may enter a homestead of
not exceeding 24 hectares of
agricultural land of the public domain
Page 428 of 532
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d. Under RA 8371:
1. Sec. 11 – Formal recognition of
ancestral domains by virtue of Native
Title may be solicited by ICCs/IPs
concerned
2. Sec. 12 – Option to secure certificate of
title under CA 141 or Land Registration
Act 496
● Individual members of cultural
communities with respect to
individually-owned ancestral lands
who, by themselves or through
their predecessors-in -interest,
have been in continuous
possession and occupation of the
same in the concept of owner since
time immemorial or for a period of
not less than thirty (30) years
immediately preceding the
approval of this Act and
uncontested by the members of the
same ICCs/IPs shall have the
option to secure title to their
ancestral lands
● Option granted shall be exercised
within 20 years from the approval of
RA 8371
JURISDICTION
Where to File: The court that should take
cognizance of a registration case is that which
has territorial jurisdiction over the property.
General Rule: RTC of the province, city, or
municipality where the property is situated.
The RTC shall have exclusive jurisdiction over
all applications original for registration of title,
with power to hear and determine all questions
arising upon such applications or petition. [Sec.
2, par. 2, P.D. No. 1529]
Exception: Delegated jurisdiction to the MTC,
MeTC, and MCTC by the Supreme Court in
cadastral and land registration cases if:
a. There is no controversy over the land,
OR
b. Its value is less than P100,000 [Sec.
34, BP 129]
U.P. LAW BOC LAND TITLES AND DEEDS
2. Registration Process and
Requirements
STEP 1: Survey
Survey of the land by the Bureau of Lands or a
duly registered private surveyor drawn on a
tracing cloth plan.
Note: No plan of such survey, whether it be
original or subdivision, may be admitted in land
registration proceedings until approved by the
Director of Lands [Sec. 1858, Administrative
Code]
STEP 2: Filing of Application
Filing for application for registration by the
applicant at the RTC of the province, city, or
municipality where the property is located [Sec.
17, PD 1529]
a. Form of the application
1. In writing
2. Signed by the applicant/s or person
duly authorized in his behalf
3. Sworn before any officer authorized to
administer oath for the province or city
where the application was actually
signed
4. Application is presented in duplicate
b. Contents of the application:
1. Full description of the land as
evidenced by the survey plan;
2. The citizenship and civil status of the
applicant, whether single or married,
and, if married, the name of the wife or
husband, and, if the marriage has been
legally dissolved, when and how the
marriage relation terminated.
3. The full names and addresses of all
occupants of the land and those of the
adjoining owners, if known, and, if not
known, it shall state the extent of the
search to find them.
4. Whether the property is conjugal,
paraphernal, or exclusively owned by
the applicant.
5. Assessed value of the land and the
buildings and improvements thereon;
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CIVIL LAW
6. Whether or not there are Mortgages or
encumbrances of any kind affecting the
land;
7. The manner by which the applicant has
acquired the land in accordance with
Sec. 14, P.D. 1529
8. Original muniments of title, and
9. If the land is bounded by a public or
private way or road [Sec. 15, PD 1529]
c. Documents to accompany the application
[from Regulations in Ordinary Land
Registration Cases]
1. Tracing-cloth plan duly approved by
the Director of Lands, together with two
blueprint or photographic copies
thereof;
2. Three copies of the corresponding
technical descriptions;
3. Three copies of the surveyor’s
certificate;
4. All original muniments of title in the
possession of the applicant which
prove his rights, to the title he prays for
or to the land he claims; and
5. Certificate in quadruplicate of the city
or provincial treasurer of the assessed
value of the land, at its last assessment
for taxation, or, in the absence thereof,
that of the next preceding year.
However, in case the land has not been
assessed, the application may be
accompanied with an affidavit in
quadruplicate of the fair market value
of the land, signed by three
disinterested persons.
d. Land Registration Application Covering
Two or More Parcels: An application may
include two or more parcels of land
belonging to the applicant/s provided that
they are situated within the same province
or city. The Court may at any time order an
application to be amended by striking out
one or more parcels or by a severance of
the application. [Sec. 18, PD 1529]
e. Amendments to the Application
1. Sec. 19, PD 1529 permits the
applicants to amend the application
including joinder, substitution, or
U.P. LAW BOC LAND TITLES AND DEEDS
discontinuance as to parties at any
stage of the proceedings upon such
just and reasonable terms as the court
may order:
● Joinder – inclusion of additional
applicants; amended by adding
names of new applicants;
● Substitution – replacement of the
original party by another
● Discontinuance – removal of
names of one or more applicants
2. However, substantial amendments
shall be subject to the same
requirements of publication and notice
as in an original application under Sec.
23 of PD 1529. Such substantial
amendments include:
● A change in the boundaries
● An increase in the area of the land
applied for; or
● The inclusion of an additional land
3. Only where the original survey plan is
amended during the registration
proceedings, by the addition of land not
previous included in the original plan,
should publication be made in order to
confer jurisdiction on the court to order
the registration of the area added after
the publication of the original plan. If
the amendment involves a reduction in
the original area, no new publication is
required. [Republic v. Court of Appeals
and Ribaya G.R. No. 113549 (1996)]
f. Special Cases:
1. If the land is bounded by a road, the
applicant must state in his application if
he claims any portion of the land within
the limits of the road, or if he likes to
have the boundaries determined. [Sec.
20, PD 1529]
2. If the applicant is a non-resident, he
shall appoint an agent or
representative who is a Philippine
resident. [Sec. 16, PD 1529]
3. Intestate Estate of Don Mariano San
Pedro v. CA G.R. No. 130727 (1996)]:
A person claiming ownership of real
property must clearly identify the land
claimed by him.
Page 430 of 532
CIVIL LAW
4. In re: Application for Land Registration
v. Republic [G.R. No. 147359 (2008)]
An applicant in a land registration case
must prove the facts and
circumstances evidencing the alleged
ownership of the land applied for.
General statements which are mere
conclusions of law and not factual proof
of possession are unavailing. The
deeds in its favor only proved
possession of its predecessors-in-
interest as early as 1948. (The law now
stands that a mere showing of
possession for 30 years is not
sufficient. Open, continuous,
exclusive, and notorious (OCEN)
possession must be shown to have
started on June 12, 1945 or earlier.)
STEP 3: Setting of the date for the initial
hearing of the application by the Court
a. The Court shall issue an order setting the
date and hour of the initial hearing within 5
days from filing of the application
b. The initial hearing shall be 45 – 90 days
from the date of the order [Sec. 23, PD
1529]
● If the date of the initial hearing was set
beyond the 90-day period, the Court will
still acquire jurisdiction where the applicant
has complied with all the requirements of
the law. [Republic v. San Lorenzo Dev’t,
G.R. No. 170724 (2007)]
STEP 4: Transmittal to the LRA
The application and the date of initial hearing
together with all the documents or other
evidences attached thereto are transmitted by
the Clerk of Court to the Land Registration
Authority (LRA).
STEP 5: Publication of a Notice of the Filing
of the Application and date and place of
hearing
a. Publication shall be sufficient to confer
jurisdiction upon the court. [Sec. 23, PD
1529]
b. It is done to charge the whole world of
knowledge of the application of the land
involved, and invite them to take part in the
U.P. LAW BOC LAND TITLES AND DEEDS
case and assent and prove their rights over
the subject property thereof. [Agcaoili]
c. Form and contents of the notice:
1. Addressed to all persons appearing to
have an interest in the land involved
2. Requires all persons concerned to
appear in court on the date and time
indicated to show cause why the
application for registration should not
be granted
d. The public shall be given notice of the initial
hearing of the application by publication
1. The Commissioner of Land
Registration (CLR) shall cause it to be
published once in the Official gazette
AND once in a newspaper of general
circulation
2. This is sufficient to confer jurisdiction to
the court
e. It is not necessary to give personal notice
to the owners or claimants of the land
sought to be registered to vest the court
with authority over the res. Land
registration proceedings are actions in rem.
[Director of Lands v. CA, G.R. No. 102858
(1997)]
f. Once the registration court had acquired
jurisdiction over a certain parcel, or
parcels, of land in the registration
proceedings in virtue of the publication of
the application, that jurisdiction attaches to
the land or lands mentioned and described
in the application. If it is later shown that the
decree of registration had included land or
lands not included in the original
application as published, then the
registration proceedings and the decree of
registration must be declared null and void
insofar — but only insofar — as the land not
included in the publication is concerned.
[Benin v. Tuason, G.R. No. L-26127
(1974)]
STEP 6: Service of Notice
Service of notice upon contiguous owners,
occupants and those known to have interest in
the property by the Sheriff;
Page 431 of 532
CIVIL LAW
a. Mailing:
1. Within 7 days from publication, the
CLR shall mail a copy of the notice
2. Copies of the notice shall be mailed
to:
● Every person named in the notice
whose address is known.
● the Secretary of Public Highways,
to the Provincial Governor, and to
the Mayor of the municipality or
city, in which the land lies, if the
applicant requests to have the line
of a public way or road determined
● Secretary of Agrarian Reform, the
Solicitor General, the Director of
Lands, the Director of Mines and/or
the Director of Fisheries and
Aquatic Resources, (as
appropriate) if the land borders on
a river, navigable stream or shore,
or on an arm of the sea where a
river or harbor line has been
established, or on a lake, or if it
otherwise appears from the
application or the proceedings that
a tenant-farmer or the national
government may have a claim
adverse to that of the applicant
b. Posting:
1. CLR shall cause the sheriff or his
deputy to post the notice at least 14
days before the hearing:
2. In a conspicuous place on each parcel
of land included in the application and
in a conspicuous place on the bulletin
board of the municipal building of the
municipality or city in which the land or
portion thereof is situated.
3. The court may also cause notice to be
served to such other persons and in
such manner as it may deem proper.
c. Notice of application and initial hearing by
publication is sufficient and the mere fact
that a person purporting to have a
legitimate claim in the property did not
receive personal notice is not a sufficient
ground to invalidate the proceedings
although he may ask for the review of the
U.P. LAW BOC LAND TITLES AND DEEDS
judgment or the reopening of the decree of
registration, if he was made the victim of
actual fraud. [Republic v. Abadilla, CA,
G.R. No. 6902-R (1951)]
STEP 7: Answer
Filing of answer or opposition to the application
by any person whether named in the notice or
not;
a. Who may file? Any person claiming an
interest, whether named in the notice or
not.
b. When to file? On or before the date of
initial hearing, or within such further time as
may be allowed by the court.
c. What shall it contain? It shall state all the
objections and the interest claimed by the
party the remedy desired.
d. How shall it be made? It shall be signed
and sworn to by him or by some other duly
authorized person. Sec. 25, PD 1529
provides for the requisites of an opposition:
1. It shall set forth “all the objections to the
application” and
2. It shall state the “interest claimed by the
party filing the same”
e. Effect of Failure to Answer:
1. If no one appears/files an answer, upon
motion, the court shall order a default
to be recorded.
2. By the description in the notice "To all
Whom It May Concern", all the world
are made parties defendant and shall
be concluded by the default order.
3. Where an appearance has been
entered and an answer filed, a default
order shall be entered against persons
who did not appear and answer.
4. Absence of opposition does not justify
outright registration. [Director of Lands
vs. Agustin, G.R. No. L-16173 (1921)]
f. Order of Default:
If no person appears and answers within the
time allowed, the court shall, upon motion of
Page 432 of 532
CIVIL LAW
the applicant, no reason to the contrary
appearing, order a general default to be
recorded and require the applicant to present
evidence. By the description in the notice “To
all Whom It May Concern,” all the world are
made parties defendant and shall be
concluded by the default order.
Where an appearance has been entered and
an answer filed, a special default order shall be
entered against persons who did not appear
and answer. [Sec. 26, PD 1529]
g. Effects of Default:
1. With respect to the Applicant – he
has the right to present or adduce
evidence ex parte
2. With respect to those covered by
the default order – they have no
legal standing in court; therefore,
they are no longer allowed to
participate and no opportunity to
present evidence
h. For relief from an order of default, see Sec.
3, Rule 18, Rules of Court.
STEP 8: Hearing of the case by the court
a. Proof necessary in land registration
1. Proof that land has been declassified
from the forest zone, is alienable or
disposable, and is registrable (e.g.
Presidential proclamation, legislative
acts.
2. Identity of the land (survey plan)
3. Possession and occupation of the land
for the length of time and in the manner
required by law. [Sec. 4, PD 1073
amending Sec. 48(b) and (c) of the
Public Land Act]
4. If he claims private ownership not
because of his possession, he must
prove the basis of such claim by
submitting muniments of title.
b. Proving Private Ownership
1. Spanish titles are inadmissible and
ineffective proof of ownership in
land registration proceedings filed
AFTER Aug. 16, 1976 [PD 892 as
U.P. LAW BOC LAND TITLES AND DEEDS
discussed in Santiago v. SBMA,
G.R. No. 156888, (2006)]
2. Tax declaration and receipts are
not conclusive but have strong
probative value when
accompanied by proof of actual
possession. [Municipality of
Santiago v. CA, G.R. No. L-49903
(1983)]
3. Other proofs such as testimonial
evidence
c. Applicable procedural law:
1. Reception of evidence is governed by
PD 1529
2. Rules of Court shall, insofar as not
inconsistent with the provisions of the
Decree, be applicable to land
registration and cadastral cases by
analogy or in a suppletory character
and whenever practicable and
convenient [Sec. 34, PD 1529]
3. Sec. 27, PD 1529: The trial court shall
see to it that all registration
proceedings are disposed within ninety
days from the date the case is
submitted for decision. The Court may
either:
1) Hear the parties and their
evidence, or
2) Refer the case or any part
thereof to a referee
● Referee shall hear the parties,
receive their evidence, and
submit his report thereon to the
Court within 15 days after
termination of such hearing
● Hearing before a referee may be
held at any convenient place
within the province or city as may
be fixed by him and after
reasonable notice thereof shall
have been served to the parties
concerned
● Upon receipt of the report the
Court may:
a. Adopt the same
b. Set aside the report
c. Modify the report
Page 433 of 532
CIVIL LAW
d. Refer back or recommit the
case to the referee for
presentation of evidence
● According to Heirs of Mario
Malabanan v. Republic [G.R. No.
179987 (2014)], the following
matters must be established:
a. Issue of ownership;
b. Possession and
occupation of the land;
c. Identity and description
of the land;
d. That the land is
alienable and
disposable of the public
domain; and
e. The applicant has
acquired the land
through any other
modes of acquiring
ownership
STEP 9: Promulgation of Judgment by the
Court
a. This is the adjudication, determination, and
resolution of the issue of ownership
b. Forms of Judgment:
1. Dismissal of the application
● With prejudice – principle of res
judicata applies and the party can
no longer re-file the case
● Without prejudice – the party may
refile the case
2. Partial Judgment – in a case where
only a portion of the land subject of
registration is contested, the court may
render partial judgment provided that a
subdivision plan showing the contested
and uncontested portions approved by
the Director of Land is previously
submitted to said court. [Sec. 28, PD
1529]
3. Judgment Confirming Title -
Judgment may be rendered confirming
the title of the applicant, or the
oppositor as the case may be, to the
land or portions thereof upon finding
that the party concerned has sufficient
title proper for registration. [Sec. 29,
PD 1529]
U.P. LAW BOC LAND TITLES AND DEEDS
c. Finality of Judgment - Sec. 30, par. 1, PD
1529 provides that the judgment becomes
final upon the expiration of 30 days
counted from receipt of notice of judgment.
Note: This has been MODIFIED to the lapse of
15 days counted from receipt of notice of
judgment as per Sec. 39, BP 129
STEP 10: Issuance of the decree
a. If the court finds after hearing that the
applicant or adverse claimant has title as
stated in his application or adverse claim
and proper for registration, a decree of
confirmation and registration shall be
entered
b. The Court declares the decision final and
instructs the LRA to issue a decree of
confirmation and registration within 15
days from entry of judgment
Note: It is not the court that issues the decree,
but the LRA who issues the decree of
confirmation and registration. This duty to issue
the decree of registration does not prescribe.
Republic v. Nillas, G.R. No. 159595 (2007)]
c. One year after issuance of the decree, it
becomes incontrovertible and
amendments of the same will not be
allowed except in cases of clerical errors
Court retains jurisdiction over the case until
after the expiration of 1 year from the issuance
of the decree of registration. [Gomez v. CA,
(1988)]
Note: While a decision in land registration
proceeding becomes final after the expiration
of thirty days from the date of service of its
notice, the decree of registration does not
become final until after the lapse of one year
from the date of its issuance and entry.
STEP 11: Entry of the decree of registration
This serves as the reckoning date to determine
the 1-year period from which one can impugn
the validity of the registration. [Sec. 32, PD
1529]
Page 434 of 532
CIVIL LAW
a. Decree is entered in the LRA
b. Every decree of registration shall:
1. Bear the day of the year, hour, and
minute of its entry,
2. Be signed by the Administrator of the
Land Registration Authority in his ex
officio capacity as Clerk of Court in land
registration matters
3. State whether the owner is:
● Married or unmarried, and if
married, the name of the husband
or wife, provided that if the land
adjudicated is conjugal property, it
shall be issued in the names of
both spouses.
● If the owner is under disability, it
shall state the nature of the
disability,
● If the owner is a minor, his age
4. Contain a description of the land as
finally determined by the court,
5. Set forth the estate of the owner, and
also, in such manner as to show their
relative priority, all particular estates,
mortgages, easements, liens,
attachments and other encumbrances,
including rights of tenant-farmer, if any,
to which the land or owner’s estate is
subject,
6. Contain any other matter properly to be
determined [Sec. 31, PD 1529]
STEP 12: Sending of copy of the decree of
registration to the corresponding Register
of Deeds (Registrar of Land Titles and Deeds)
STEP 13: Transcription of the decree of
registration
a. It is transcribed in the registration book of
the Registrar of Land Titles and Deeds
b. Registrar issues owner’s duplicate OCT of
the applicant by the Registrar of Land Titles
and Deeds, upon payment of the
prescribed fees.
U.P. LAW BOC LAND TITLES AND DEEDS
3. Remedies
REMEDIES OF AN AGGRIEVED PARTY
An aggrieved party in a registration proceeding
may avail himself of the following remedies:
1. Motion for New Trial [see Rule 37, ROC]
Relief from Judgment [see Rule 38, ROC]
2. Appeal
3. Relief from Judgment
4. Petition for Review of Decree of
Registration
5. Action for Reconveyance
6. Quieting of Title
7. Cancellation of Title
8. Action for Damages
9. Action for Compensation from the
Assurance Fund
10. Annulment of Judgment or Final Orders
and Resolutions
11. Reversion
12. Criminal Prosecution
Motion for New Trial
The aggrieved party may move the trial court to
set aside the judgment or final order and grant
a new trial for one or more of the causes
materially affecting the substantial rights of the
said party. [Herrera]
a. Grounds:
1. Fraud, accident, mistake, or excusable
negligence which ordinary prudence
could not have guarded against and by
reason of which such aggrieved party
has probably been impaired in his
rights;
2. Award of excessive damages, or
insufficiency of the evidence to justify
the decision; and
3. Newly discovered evidence which with
reasonable diligence could have not
been discovered and produced at the
trial and which if presented would
probably alter the result.
b. Period of filing: Within the 15 day period of
perfecting an appeal. [Sec. 39, BP 129]
Page 435 of 532
CIVIL LAW
Appeal
Sec. 30, PD 1529 as amended by BP 129
provides that an appeal may be taken from the
judgment of the court as in ordinary civil cases.
a. Modes of appeal:
1. Ordinary appeal – Appeal to the Court
of Appeals in cases decided by the
Regional Trial Court in the exercise of
its original jurisdiction
2. Petition for review – Appeal to the
Court of Appeals in cases decided by
the Regional Trial Court in the exercise
of its appellate jurisdiction, in
accordance with Rule 42.
3. Appeal by certiorari – In all cases
where only questions of law are raised
or involved, the appeal shall be to the
Supreme Court, in accordance with
Rule 45.
b. Period of ordinary appeal: Within 15 days
from notice of the judgment of final order
appealed from. Where a record on appeal
is required, the appellant shall file a notice
of appeal and a record on appeal within 40
days from notice of the judgment or final
order. [Sec. 39, BP 129]
c. Perfection of appeal:
1. A party’s appeal by notice of appeal is
deemed perfected as to him upon the
filing of the notice of appeal in due time.
The Court loses jurisdiction over the
case upon the perfection of the appeals
filed in due time and the expiration of
the time to appeal of the other parties.
2. A party’s appeal by record on appeal is
deemed perfected as to him with
respect to the subject matter thereof
upon the approval of the record on
appeal filed in due time. the court loses
jurisdiction only over the subject matter
thereof upon the approval of the
records on appeal filed in due time and
the expiration of the time to appeal of
the other parties. [Sec. 9, Rule 41 of the
Rules of Court]
Unlike ordinary civil actions, the adjudication of
land in a cadastral or land registration
U.P. LAW BOC LAND TITLES AND DEEDS
proceeding does not become final in the sense
of incontrovertibility until after the expiration of
one (1) year after the entry of the final decree
of registration. As long as a final decree has not
been entered by the LRA and the period of 1
year has not elapsed from date of such decree,
the title is not finally adjudicated and the
decision in the registration proceeding
continues to be under the control and sound
discretion of the court rendering it. [Gomez v.
CA, G.R. No. 77770 (1988)]
Relief from Judgment
a. Grounds:
1. When a judgment or final order is
entered, or any proceeding is
thereafter taken against a party in any
court through accident, mistake, or
excusable negligence.
2. When a judgment or final order is
rendered by any court in a case, and a
party thereto, by fraud, accident,
mistake, or excusable negligence, has
been prevented from taking an appeal.
b. Period of filing: Within 60 days after the
petitioner learns of the judgment, final
order, or other proceedings to be set aside,
and not more than 6 months after such
judgment or final order was entered, or
such proceeding was taken.
Petition for Review of Decree of
Registration
a. Requisites:
1. The petitioner has a real and dominical
right;
2. That he has been deprived thereof
(through fraud);
3. That the action is filed within one year
from the issuance and entry of the
decree of registration; and
4. That the property has not been
transferred to an innocent purchaser
for value. [Agcaoili, citing Walstrom v.
Mapa, G.R. No. 38387 (1990)]
● An innocent purchaser for value is
one who buys the property of
another without notice that some
other person has a right to or
interest in it, and who pays a full
Page 436 of 532
CIVIL LAW
and fair price at the time of the
purchase or before receiving any
notice of another person’s claim
[Rosales v. Burgos, G.R. No.
143573 (2009)]
b. To whom available: Only to an aggrieved
party who has been deprived of land or any
estate or interest therein by decree of
registration
c. When to file: Any time after the rendition of
the court’s decision and before the
expiration of 1 year from entry of decree of
registration
1. Upon expiration of the 1 year period,
every decree becomes incontrovertible
2. The Court held that the petition may be
filed at any time after rendition of the
court’s decision (no need to wait for
actual entry in the LRA) and before
expiration of one year from entry of the
final decree of registration. [Rivera v.
Moran, G.R. No. L-24568 (1925);
Director of Lands v. Aba, G.R. No. L-
45648 (1939)]
d. Sole and ONLY Ground: Actual Fraud
1. Actual fraud proceeds from an
intentional deception practiced by
means of misrepresentation or
concealment of material fact
2. The fraud must consist in an intentional
omission of fact required by law to be
stated in the application or a wilful
statement of a claim against the truth
3. Any fraudulent act of the successful
party in a litigation which is committed
outside the trial of a case against the
defeated party, or his agents, attorneys
or witnesses, whereby said defeated
party is prevented from presenting fully
and fairly his side of the case. [Sterling
Investment Corporation v. Ruiz, G.R.
No. L-30694 (1969)]
Action for Reconveyance
An action for reconveyance is the remedy
granted to the rightful owner of land which has
been wrongfully or erroneously registered in
the name of another for the purpose of
U.P. LAW BOC LAND TITLES AND DEEDS
compelling the latter to transfer or reconvey the
land to him. [Esconde v. Barlongay, G.R. No.
L-67583 (1987)]
Reconveyance is available not only to the legal
owner of the property, but also the the person
with a better right than the person under whose
name said property was erroneously
registered. [Gasataya v. Mabasa, G.R. No.
148147 (2007)]
1. When to file:
a. Before issuance of decree, or
within/after 1 year from entry
b. If based on implied trust, 10 years;
c. If based on express trust and void
contract, or if the plaintiff is in
possession of the land, imprescriptible
d. If based on fraud, 4 years from the
discovery
2. It does not reopen proceedings but a mere
transfer of the land from registered owner
to the rightful owner [Esconde v.
Barlongay, supra]
3. Requisites:
a. The action must be brought in the
name of a person claiming ownership
or dominical right over the land
registered in the name of the
defendant;
b. The registration of the land in the name
of the defendant was procured through
fraud or other illegal means;
c. The property has not yet passed to an
innocent purchaser for value; and
d. The action is filed after the certificate of
title had already become final and
incontrovertible but within 4 years from
the discovery of the fraud [Balbin v.
Medalla, G.R. No. L-46410 (1981)] or
not later than 10 years in the case of an
implied trust [New Regent Sources,
Inc. v. Tanjuatco, G.R. No. 168800
(2009)]
Quieting of Title
Quieting of title is the remedy for the removal
of any cloud of doubt or uncertainty with
respect to real property.
Page 437 of 532
CIVIL LAW
1. Who may file: See Sec. 1, Rule 63, ROC
2. Requisites:
a. Plaintiff or complainant has a legal or
an equitable title to or interest in the
real property subject of the action; and
b. The deed, claim, encumbrance or
proceeding claimed to be casting a
cloud on his title must be shown to be
in fact invalid or inoperative despite its
prima facie appearance of validity or
legal efficacy.
Cancellation of Title
The cancellation of title is initiated by a private
party usually in a case where there are two
titles issued to different persons for the same
lot. [Agcaoili]
Action for Damages
An Action for damages can be availed of when
reconveyance is no longer possible as when
the land has been transferred to an innocent
purchaser for value [Ching v. CA, G.R. No. L-
59731 (1990)]
An ordinary action for damages prescribes in
10 years after the issuance of the Torrens title
over the property.
Action for Compensation from the
Assurance Fund
Requisites:
1. That a person sustains loss or damage, or
is deprived of any estate or interest in land;
2. On account of the bringing of land under
the operation of the Torrens System arising
after original registration;
3. Through fraud, error, omission, mistake or
misdescription in a certificate of title or
entry or memorandum in the registration
book;
4. Without negligence on his part; and
5. Is barred or precluded from bringing an
action for the recovery of such land or
estate or interest therein. [Agcaoili]
Annulment of Judgment or Final Orders
and Resolutions
A judgment of annulment shall set aside a
questioned judgment or final order or resolution
U.P. LAW BOC LAND TITLES AND DEEDS
in civil actions of the Regional Trial Courts for
which the ordinary remedies of new trial,
appeal, petition for relief or other appropriate
remedies are no longer available through no
fault of the petitioner.
a. Grounds:
1. Extrinsic Fraud
● Extrinsic fraud shall not be a valid
ground if it was availed of, or could
have been availed of, in a motion
for new trial or petition for relief.
[Sec. 2, Rule 47 of the Rules of
Court]
2. Lack of Jurisdiction
Reversion
A reversion is instituted by the government,
through the Solicitor General in all cases where
lands of public domain are held in violation of
the Constitution or were fraudulently conveyed.
Any acquisition, conveyance, alienation,
transfer, or other contract made or executed in
violation of any of the provisions of sections
118, 121, 122, and 123 of the Public Land Act
may be the subject of reversion. [Sec. 24, C.A.
No. 141 or The Public Land Act, as amended]
The certificate of title issued pursuant to a void
patent may be ordered cancelled and the land
reverted to the State through an action for
reversion filed by the Solicitor General.
Similarly, an action for cancellation of title and
reversion may be filed by the Solicitor General
where the land decreed by the registration
court is inalienable. This action cannot be
barred by the prior judgment of said court since
it had no jurisdiction over the subject matter.
[Republic v. Court of Appeals and Alpuerto,
G.R. No. L-45202 (1980)]
The Indefeasibility of title, prescription, laches,
and estoppel do not bar reversion suits.
Criminal Prosecution
Sec. 116 of the Land Registration Act:
Whoever knowingly swears falsely to any
statement required to be made under oath by
this Act shall be guilty of perjury and liable to
the penalties provided by laws for perjury.
Page 438 of 532
CIVIL LAW
The State may criminally prosecute for perjury
the party who obtains registration through
fraud, such as by stating false assertions in the
sworn answer required of applicants in
cadastral proceedings. [People of the
Philippines v. Cainglet, G.R. Nos. L-21493-94
(1966)
4. Cadastral Registration
It is a proceeding in rem, initiated by the filing
of a petition for registration by the
government, not by the persons claiming
ownership of the land subject thereof, and the
latter are, on the pain of losing their claim
thereto, in effect compelled to go to court to
make known their claim or interest therein, and
to substantiate such claim or interest.
Unlike other kinds of registration, this is
compulsory as it is initiated by the
government.
The government does not seek the registration
of land in its name. The objective of the
proceeding is the adjudication of title to the
lands or lots involved in said proceeding.
[Agcaoili]
Purpose:
1. To serve the public interest by requiring
that the titles to any unregistered lands be
settled and adjudicated
2. To settle all disputes over the land; and
3. To remove all clouds over land titles, as far
as practicable
Period of Filing: Extended up to December
31, 2020 [Sec. 2, R.A. 9176 (2002)]
Only unregistered lands may be the subject
of a Cadastral Survey
The object of cadastral proceedings is to “settle
and adjudicate” lands. Private lands are not
contemplated since ownership thereof had
already been finally determined and
adjudicated. [Agcaoili]
When once decreed by a court of competent
jurisdiction, the title to the land thus determined
U.P. LAW BOC LAND TITLES AND DEEDS CIVIL LAW

is already res judicata, and binding on the PROCEDURE IN CADASTRAL

whole world, the proceeding being in rem. REGISTRATION (Sec. 35 and 36, PD 1529)
[Duran v. Olivia, G.R. No. L-16589 (1961)]
STEP 1: Determination of the President that
Cadastral Distinguished from Ordinary public interest requires title to unregistered
Registration lands be settled and adjudicated.
Ordinary Cadastral
Registration Registration President then orders the Director of Lands to
Voluntary Compulsory conduct a cadastral survey.
Applicant is a person STEP 2: Director of lands shall make a
Applicant is the
claiming title to the
Director of Lands cadastral survey.
land
Usually involves STEP 3: Director of Lands gives notice to
private land; it may
interested persons and to the general public.
also refer to public
agricultural lands if
Contents of the Notice:
the object of the All classes of land are
1. Day on which the survey will begin
action is judicial covered (private and
confirmation of public alienable lands) 2. Full and accurate description of the lands
imperfect or to be surveyed
incomplete title (in
which case CA 141 STEP 4: Publication of notice
applies) 1. Published once in the Official Gazette
Applicant comes to 2. A copy of the notice in English or the
Government asks the national language shall be posted in a
court to confirm his
court to settle and conspicuous place on the bulletin board
title and seek
adjudicate the title of of the municipal building of the
registration of the
the land municipality in which the lands or any
land in his name
In cadastral portion thereof is situated
registration, if the
applicant cannot A copy of the notice shall also be sent to:
If the applicant fails to prove that he is a. Mayor of the municipality
prove his title, entitled to the land, the b. Barangay captain
application may be land becomes public c. Sangguniang Panlalawigan and
dismissed without land. Sangguniang Bayan concerned
prejudice. [Santiago
v. Santos, G.R. No. However, the STEP 5: Geodetic engineers or other Bureau
31568, March 19, cadastral case of Land employees in charge of the survey
1930; Verzosa v. decision does not shall give notice reasonably in advance of the
Nicolas, G.R. No. constitute res judicata date of the survey. They shall also mark the
9227, February 10, as to bar even the
boundaries of the lands with monuments.
1915] same claimant from
subsequently filing an
STEP 6: Interested persons should
If the judgment application for judicial
confirmation of title to communicate with the geodetic engineer if he
determines requests for any information about the land.
ownership, then it is the same land,
res judicata upon the provided the
requisites are STEP 7: Actual survey and plotting of the land.
parties.
complied with. [Director
of Lands v. CA & Pastor, STEP 8: Director of Lands represented by
G.R. No. L-47847, July Solicitor General shall institute original
31, 1981] registration proceedings.

Page 439 of 532

U.P. LAW BOC LAND TITLES AND DEEDS
1. Petition is filed in the appropriate RTC
where the land is situated
2. Contents of the Petition:
a. That public interest requires that the
title to such lands be settled and
adjudicated and praying that such titles
be so settled and adjudicated
b. Description of the lands
c. Accompanied by a plan thereof
d. Such other data as may serve to
furnish full notice to the occupants of
the lands and to all persons who may
claim any right or interest therein
STEP 9: Publication, mailing posting
STEP 10: Hearing
Jurisdiction of the Cadastral Court:
1. Adjudicate title to any claimant thereto
2. Declare land as a public land
3. Order correction of technical description
4. Order the issuance of new title in place of
the title issued under voluntary
registration proceedings
5. Determine the priority of overlapping title
6. Order the partition of the property
STEP 11: Decision
STEP 12: Issuance of the decree and
certificate of title
Note: Reopening of cadastral cases no longer
allowed. RA 931, effective June 20, 1953 for
five (5) years, authorizing the reopening of
cadastral cases under certain conditions and
which had been extended until Dec. 31, 1968,
is no longer in force.
Courts are thus without jurisdiction or authority
to reopen a cadastral proceeding since Dec.
31, 1968. [Aquino, citing Republic v. Estenzo,
G.R. No. L-35512 (1988)]
Page 440 of 532
CIVIL LAW
E. SUBSEQUENT
REGISTRATION
SUBSEQUENT REGISTRATION
A proceeding where incidental matters after
original registration may be brought before the
land registration court by way of motion or
petition filed by the registered owner or a party
in interest
Necessity and Effects Of Registration
[Sec. 51 and 52, PD 1529]
1. The deed, mortgage, lease, or other
voluntary instrument, except a will shall
ONLY operate as:
a. A contract between the parties and
b. Evidence of authority to the Register of
Deeds to make registration.
2. The act of registration shall be the
operative act to convey or affect the land
insofar as third persons are concerned.
3. Also, by registration, it creates constructive
notice to the world.
Registration of a document is ministerial on the
part of the Register of Deeds. The purpose of
registering an instrument is to give notice
thereof to all persons, not to destroy or affect
already registered rights over the land at the
time of the registration. Registration must first
be allowed, and validity or effect litigated
afterwards. [Gurbax Singh Pabla & Co. v.
Reyes, G.R. No. L-3970 (1952)]
As between the parties to a contract of sale,
registration is not necessary to make it valid
and effective, for actual notice is equivalent to
registration. [Agcaoili]
The act of registration creates a constructive
notice to the whole world and binds third
persons. [Garcia v. Court of Appeals, G.R. No.
L-56483 (1984)]
U.P. LAW BOC LAND TITLES AND DEEDS CIVIL LAW

Voluntary Dealings Compared to An innocent Saberon v.

Involuntary Dealings purchaser for value Ventanilla, Jr., G.R.
Involuntary of registered land No. 192669 (2014):
Voluntary Dealings
Dealings becomes the Entry thereof in the
Refer to deeds, Refer to the writs, registered owner the day book of the
instruments, or orders, or processes moment he presents ROD is sufficient
documents which issued by the court and files a duly notice to all persons
are results of the of record affecting notarized and valid even if the owner’s
free and voluntary registered land, also deed of sale and the duplicate certificate
acts of the parties other instruments same is entered in of title is not
thereto. which are not willful the day book of the presented to the
acts of the ROD and at the ROD.
registered owner, same time he
executed without his surrenders or
knowledge or presents the owner’s
consent. duplicate certificate
of title covering the
1. Sale 1. Attachment land sold and pays
2. Real property 2. Mandamus the registration fees.
mortgage 3. Sale on Villasor v. Camon, Director of Lands v.
3. Lease execution of R-C.A. No. 8551 Reyes, G.R. No. L-
4. Pacto de retro judgment or (1951): It is 27594 (1976): Entry
sale sales for taxes necessary to in the day book of
5. Extra-judicial 4. Adverse claims register the deed or the ROD is sufficient
settlement 5. Notice of lis instrument in the notice to all persons
6. Free pendens entry book of the of an adverse claim
patent/homeste 6. Expropriation ROD and a without the same
ad 7. Forfeiture memorandum being annotated at
7. Powers of 8. Auction sale on thereof shall also be the back of the
attorney foreclosure of made in the owner’s certificate of title
8. Trusts mortgage duplicate certificate
and its original
Presentation of the Entry in the day Sps. Labayen v. Armed Forces and
owner’s duplicate book of ROD is Serafica, G.R. No. Police Mutual
certificate of title is sufficient notice to 178443 (2008): At Benefit Association,
required to notify; all persons the time of the filing Inc. v. Santiago,
mere entry in the of the petition for G.R. No. 147559
day book of the cancellation of (2008): Entry of the
Register of Deeds encumbrance, the attachment in the
(ROD) is insufficient lease contract books is sufficient
already lost its notice to all persons.
efficacy. Thus, there Hence, the fact that
is no basis to save the deed of sale was
its annotation on already annotated is
defendant’s title. of no moment with
The fact that the regard to third
cancellation of the persons. The
lease contract was preference created
forged is of no by the levy on
moment, for there attachment is not
diminished by the

Page 441 of 532

U.P. LAW BOC LAND TITLES AND DEEDS
judgment or the reopening of the decree of
registration, if he was made the victim of
actual fraud. [Republic v. Abadilla, CA,
G.R. No. 6902-R (1951)]
STEP 7: Answer
Filing of answer or opposition to the application
by any person whether named in the notice or
not;
a. Who may file? Any person claiming an
interest, whether named in the notice or
not.
b. When to file? On or before the date of
initial hearing, or within such further time as
may be allowed by the court.
c. What shall it contain? It shall state all the
objections and the interest claimed by the
party the remedy desired.
d. How shall it be made? It shall be signed
and sworn to by him or by some other duly
authorized person. Sec. 25, PD 1529
provides for the requisites of an opposition:
1. It shall set forth “all the objections to the
application” and
2. It shall state the “interest claimed by the
party filing the same”
e. Effect of Failure to Answer:
1. If no one appears/files an answer, upon
motion, the court shall order a default
to be recorded.
2. By the description in the notice "To all
Whom It May Concern", all the world
are made parties defendant and shall
be concluded by the default order.
3. Where an appearance has been
entered and an answer filed, a default
order shall be entered against persons
who did not appear and answer.
4. Absence of opposition does not justify
outright registration. [Director of Lands
vs. Agustin, G.R. No. L-16173 (1921)]
f. Order of Default:
If no person appears and answers within the
time allowed, the court shall, upon motion of
Page 432 of 532
CIVIL LAW
the applicant, no reason to the contrary
appearing, order a general default to be
recorded and require the applicant to present
evidence. By the description in the notice “To
all Whom It May Concern,” all the world are
made parties defendant and shall be
concluded by the default order.
Where an appearance has been entered and
an answer filed, a special default order shall be
entered against persons who did not appear
and answer. [Sec. 26, PD 1529]
g. Effects of Default:
1. With respect to the Applicant – he
has the right to present or adduce
evidence ex parte
2. With respect to those covered by
the default order – they have no
legal standing in court; therefore,
they are no longer allowed to
participate and no opportunity to
present evidence
h. For relief from an order of default, see Sec.
3, Rule 18, Rules of Court.
STEP 8: Hearing of the case by the court
a. Proof necessary in land registration
1. Proof that land has been declassified
from the forest zone, is alienable or
disposable, and is registrable (e.g.
Presidential proclamation, legislative
acts.
2. Identity of the land (survey plan)
3. Possession and occupation of the land
for the length of time and in the manner
required by law. [Sec. 4, PD 1073
amending Sec. 48(b) and (c) of the
Public Land Act]
4. If he claims private ownership not
because of his possession, he must
prove the basis of such claim by
submitting muniments of title.
b. Proving Private Ownership
1. Spanish titles are inadmissible and
ineffective proof of ownership in
land registration proceedings filed
AFTER Aug. 16, 1976 [PD 892 as
U.P. LAW BOC LAND TITLES AND DEEDS
discussed in Santiago v. SBMA,
G.R. No. 156888, (2006)]
2. Tax declaration and receipts are
not conclusive but have strong
probative value when
accompanied by proof of actual
possession. [Municipality of
Santiago v. CA, G.R. No. L-49903
(1983)]
3. Other proofs such as testimonial
evidence
c. Applicable procedural law:
1. Reception of evidence is governed by
PD 1529
2. Rules of Court shall, insofar as not
inconsistent with the provisions of the
Decree, be applicable to land
registration and cadastral cases by
analogy or in a suppletory character
and whenever practicable and
convenient [Sec. 34, PD 1529]
3. Sec. 27, PD 1529: The trial court shall
see to it that all registration
proceedings are disposed within ninety
days from the date the case is
submitted for decision. The Court may
either:
1) Hear the parties and their
evidence, or
2) Refer the case or any part
thereof to a referee
● Referee shall hear the parties,
receive their evidence, and
submit his report thereon to the
Court within 15 days after
termination of such hearing
● Hearing before a referee may be
held at any convenient place
within the province or city as may
be fixed by him and after
reasonable notice thereof shall
have been served to the parties
concerned
● Upon receipt of the report the
Court may:
a. Adopt the same
b. Set aside the report
c. Modify the report
Page 433 of 532
CIVIL LAW
d. Refer back or recommit the
case to the referee for
presentation of evidence
● According to Heirs of Mario
Malabanan v. Republic [G.R. No.
179987 (2014)], the following
matters must be established:
a. Issue of ownership;
b. Possession and
occupation of the land;
c. Identity and description
of the land;
d. That the land is
alienable and
disposable of the public
domain; and
e. The applicant has
acquired the land
through any other
modes of acquiring
ownership
STEP 9: Promulgation of Judgment by the
Court
a. This is the adjudication, determination, and
resolution of the issue of ownership
b. Forms of Judgment:
1. Dismissal of the application
● With prejudice – principle of res
judicata applies and the party can
no longer re-file the case
● Without prejudice – the party may
refile the case
2. Partial Judgment – in a case where
only a portion of the land subject of
registration is contested, the court may
render partial judgment provided that a
subdivision plan showing the contested
and uncontested portions approved by
the Director of Land is previously
submitted to said court. [Sec. 28, PD
1529]
3. Judgment Confirming Title -
Judgment may be rendered confirming
the title of the applicant, or the
oppositor as the case may be, to the
land or portions thereof upon finding
that the party concerned has sufficient
title proper for registration. [Sec. 29,
PD 1529]
U.P. LAW BOC LAND TITLES AND DEEDS
c. Finality of Judgment - Sec. 30, par. 1, PD
1529 provides that the judgment becomes
final upon the expiration of 30 days
counted from receipt of notice of judgment.
Note: This has been MODIFIED to the lapse of
15 days counted from receipt of notice of
judgment as per Sec. 39, BP 129
STEP 10: Issuance of the decree
a. If the court finds after hearing that the
applicant or adverse claimant has title as
stated in his application or adverse claim
and proper for registration, a decree of
confirmation and registration shall be
entered
b. The Court declares the decision final and
instructs the LRA to issue a decree of
confirmation and registration within 15
days from entry of judgment
Note: It is not the court that issues the decree,
but the LRA who issues the decree of
confirmation and registration. This duty to issue
the decree of registration does not prescribe.
Republic v. Nillas, G.R. No. 159595 (2007)]
c. One year after issuance of the decree, it
becomes incontrovertible and
amendments of the same will not be
allowed except in cases of clerical errors
Court retains jurisdiction over the case until
after the expiration of 1 year from the issuance
of the decree of registration. [Gomez v. CA,
(1988)]
Note: While a decision in land registration
proceeding becomes final after the expiration
of thirty days from the date of service of its
notice, the decree of registration does not
become final until after the lapse of one year
from the date of its issuance and entry.
STEP 11: Entry of the decree of registration
This serves as the reckoning date to determine
the 1-year period from which one can impugn
the validity of the registration. [Sec. 32, PD
1529]
Page 434 of 532
CIVIL LAW
a. Decree is entered in the LRA
b. Every decree of registration shall:
1. Bear the day of the year, hour, and
minute of its entry,
2. Be signed by the Administrator of the
Land Registration Authority in his ex
officio capacity as Clerk of Court in land
registration matters
3. State whether the owner is:
● Married or unmarried, and if
married, the name of the husband
or wife, provided that if the land
adjudicated is conjugal property, it
shall be issued in the names of
both spouses.
● If the owner is under disability, it
shall state the nature of the
disability,
● If the owner is a minor, his age
4. Contain a description of the land as
finally determined by the court,
5. Set forth the estate of the owner, and
also, in such manner as to show their
relative priority, all particular estates,
mortgages, easements, liens,
attachments and other encumbrances,
including rights of tenant-farmer, if any,
to which the land or owner’s estate is
subject,
6. Contain any other matter properly to be
determined [Sec. 31, PD 1529]
STEP 12: Sending of copy of the decree of
registration to the corresponding Register
of Deeds (Registrar of Land Titles and Deeds)
STEP 13: Transcription of the decree of
registration
a. It is transcribed in the registration book of
the Registrar of Land Titles and Deeds
b. Registrar issues owner’s duplicate OCT of
the applicant by the Registrar of Land Titles
and Deeds, upon payment of the
prescribed fees.
U.P. LAW BOC LAND TITLES AND DEEDS
3. Remedies
REMEDIES OF AN AGGRIEVED PARTY
An aggrieved party in a registration proceeding
may avail himself of the following remedies:
1. Motion for New Trial [see Rule 37, ROC]
Relief from Judgment [see Rule 38, ROC]
2. Appeal
3. Relief from Judgment
4. Petition for Review of Decree of
Registration
5. Action for Reconveyance
6. Quieting of Title
7. Cancellation of Title
8. Action for Damages
9. Action for Compensation from the
Assurance Fund
10. Annulment of Judgment or Final Orders
and Resolutions
11. Reversion
12. Criminal Prosecution
Motion for New Trial
The aggrieved party may move the trial court to
set aside the judgment or final order and grant
a new trial for one or more of the causes
materially affecting the substantial rights of the
said party. [Herrera]
a. Grounds:
1. Fraud, accident, mistake, or excusable
negligence which ordinary prudence
could not have guarded against and by
reason of which such aggrieved party
has probably been impaired in his
rights;
2. Award of excessive damages, or
insufficiency of the evidence to justify
the decision; and
3. Newly discovered evidence which with
reasonable diligence could have not
been discovered and produced at the
trial and which if presented would
probably alter the result.
b. Period of filing: Within the 15 day period of
perfecting an appeal. [Sec. 39, BP 129]
Page 435 of 532
CIVIL LAW
Appeal
Sec. 30, PD 1529 as amended by BP 129
provides that an appeal may be taken from the
judgment of the court as in ordinary civil cases.
a. Modes of appeal:
1. Ordinary appeal – Appeal to the Court
of Appeals in cases decided by the
Regional Trial Court in the exercise of
its original jurisdiction
2. Petition for review – Appeal to the
Court of Appeals in cases decided by
the Regional Trial Court in the exercise
of its appellate jurisdiction, in
accordance with Rule 42.
3. Appeal by certiorari – In all cases
where only questions of law are raised
or involved, the appeal shall be to the
Supreme Court, in accordance with
Rule 45.
b. Period of ordinary appeal: Within 15 days
from notice of the judgment of final order
appealed from. Where a record on appeal
is required, the appellant shall file a notice
of appeal and a record on appeal within 40
days from notice of the judgment or final
order. [Sec. 39, BP 129]
c. Perfection of appeal:
1. A party’s appeal by notice of appeal is
deemed perfected as to him upon the
filing of the notice of appeal in due time.
The Court loses jurisdiction over the
case upon the perfection of the appeals
filed in due time and the expiration of
the time to appeal of the other parties.
2. A party’s appeal by record on appeal is
deemed perfected as to him with
respect to the subject matter thereof
upon the approval of the record on
appeal filed in due time. the court loses
jurisdiction only over the subject matter
thereof upon the approval of the
records on appeal filed in due time and
the expiration of the time to appeal of
the other parties. [Sec. 9, Rule 41 of the
Rules of Court]
Unlike ordinary civil actions, the adjudication of
land in a cadastral or land registration
U.P. LAW BOC LAND TITLES AND DEEDS
proceeding does not become final in the sense
of incontrovertibility until after the expiration of
one (1) year after the entry of the final decree
of registration. As long as a final decree has not
been entered by the LRA and the period of 1
year has not elapsed from date of such decree,
the title is not finally adjudicated and the
decision in the registration proceeding
continues to be under the control and sound
discretion of the court rendering it. [Gomez v.
CA, G.R. No. 77770 (1988)]
Relief from Judgment
a. Grounds:
1. When a judgment or final order is
entered, or any proceeding is
thereafter taken against a party in any
court through accident, mistake, or
excusable negligence.
2. When a judgment or final order is
rendered by any court in a case, and a
party thereto, by fraud, accident,
mistake, or excusable negligence, has
been prevented from taking an appeal.
b. Period of filing: Within 60 days after the
petitioner learns of the judgment, final
order, or other proceedings to be set aside,
and not more than 6 months after such
judgment or final order was entered, or
such proceeding was taken.
Petition for Review of Decree of
Registration
a. Requisites:
1. The petitioner has a real and dominical
right;
2. That he has been deprived thereof
(through fraud);
3. That the action is filed within one year
from the issuance and entry of the
decree of registration; and
4. That the property has not been
transferred to an innocent purchaser
for value. [Agcaoili, citing Walstrom v.
Mapa, G.R. No. 38387 (1990)]
● An innocent purchaser for value is
one who buys the property of
another without notice that some
other person has a right to or
interest in it, and who pays a full
Page 436 of 532
CIVIL LAW
and fair price at the time of the
purchase or before receiving any
notice of another person’s claim
[Rosales v. Burgos, G.R. No.
143573 (2009)]
b. To whom available: Only to an aggrieved
party who has been deprived of land or any
estate or interest therein by decree of
registration
c. When to file: Any time after the rendition of
the court’s decision and before the
expiration of 1 year from entry of decree of
registration
1. Upon expiration of the 1 year period,
every decree becomes incontrovertible
2. The Court held that the petition may be
filed at any time after rendition of the
court’s decision (no need to wait for
actual entry in the LRA) and before
expiration of one year from entry of the
final decree of registration. [Rivera v.
Moran, G.R. No. L-24568 (1925);
Director of Lands v. Aba, G.R. No. L-
45648 (1939)]
d. Sole and ONLY Ground: Actual Fraud
1. Actual fraud proceeds from an
intentional deception practiced by
means of misrepresentation or
concealment of material fact
2. The fraud must consist in an intentional
omission of fact required by law to be
stated in the application or a wilful
statement of a claim against the truth
3. Any fraudulent act of the successful
party in a litigation which is committed
outside the trial of a case against the
defeated party, or his agents, attorneys
or witnesses, whereby said defeated
party is prevented from presenting fully
and fairly his side of the case. [Sterling
Investment Corporation v. Ruiz, G.R.
No. L-30694 (1969)]
Action for Reconveyance
An action for reconveyance is the remedy
granted to the rightful owner of land which has
been wrongfully or erroneously registered in
the name of another for the purpose of
U.P. LAW BOC LAND TITLES AND DEEDS
compelling the latter to transfer or reconvey the
land to him. [Esconde v. Barlongay, G.R. No.
L-67583 (1987)]
Reconveyance is available not only to the legal
owner of the property, but also the the person
with a better right than the person under whose
name said property was erroneously
registered. [Gasataya v. Mabasa, G.R. No.
148147 (2007)]
1. When to file:
a. Before issuance of decree, or
within/after 1 year from entry
b. If based on implied trust, 10 years;
c. If based on express trust and void
contract, or if the plaintiff is in
possession of the land, imprescriptible
d. If based on fraud, 4 years from the
discovery
2. It does not reopen proceedings but a mere
transfer of the land from registered owner
to the rightful owner [Esconde v.
Barlongay, supra]
3. Requisites:
a. The action must be brought in the
name of a person claiming ownership
or dominical right over the land
registered in the name of the
defendant;
b. The registration of the land in the name
of the defendant was procured through
fraud or other illegal means;
c. The property has not yet passed to an
innocent purchaser for value; and
d. The action is filed after the certificate of
title had already become final and
incontrovertible but within 4 years from
the discovery of the fraud [Balbin v.
Medalla, G.R. No. L-46410 (1981)] or
not later than 10 years in the case of an
implied trust [New Regent Sources,
Inc. v. Tanjuatco, G.R. No. 168800
(2009)]
Quieting of Title
Quieting of title is the remedy for the removal
of any cloud of doubt or uncertainty with
respect to real property.
Page 437 of 532
CIVIL LAW
1. Who may file: See Sec. 1, Rule 63, ROC
2. Requisites:
a. Plaintiff or complainant has a legal or
an equitable title to or interest in the
real property subject of the action; and
b. The deed, claim, encumbrance or
proceeding claimed to be casting a
cloud on his title must be shown to be
in fact invalid or inoperative despite its
prima facie appearance of validity or
legal efficacy.
Cancellation of Title
The cancellation of title is initiated by a private
party usually in a case where there are two
titles issued to different persons for the same
lot. [Agcaoili]
Action for Damages
An Action for damages can be availed of when
reconveyance is no longer possible as when
the land has been transferred to an innocent
purchaser for value [Ching v. CA, G.R. No. L-
59731 (1990)]
An ordinary action for damages prescribes in
10 years after the issuance of the Torrens title
over the property.
Action for Compensation from the
Assurance Fund
Requisites:
1. That a person sustains loss or damage, or
is deprived of any estate or interest in land;
2. On account of the bringing of land under
the operation of the Torrens System arising
after original registration;
3. Through fraud, error, omission, mistake or
misdescription in a certificate of title or
entry or memorandum in the registration
book;
4. Without negligence on his part; and
5. Is barred or precluded from bringing an
action for the recovery of such land or
estate or interest therein. [Agcaoili]
Annulment of Judgment or Final Orders
and Resolutions
A judgment of annulment shall set aside a
questioned judgment or final order or resolution
U.P. LAW BOC LAND TITLES AND DEEDS
in civil actions of the Regional Trial Courts for
which the ordinary remedies of new trial,
appeal, petition for relief or other appropriate
remedies are no longer available through no
fault of the petitioner.
a. Grounds:
1. Extrinsic Fraud
● Extrinsic fraud shall not be a valid
ground if it was availed of, or could
have been availed of, in a motion
for new trial or petition for relief.
[Sec. 2, Rule 47 of the Rules of
Court]
2. Lack of Jurisdiction
Reversion
A reversion is instituted by the government,
through the Solicitor General in all cases where
lands of public domain are held in violation of
the Constitution or were fraudulently conveyed.
Any acquisition, conveyance, alienation,
transfer, or other contract made or executed in
violation of any of the provisions of sections
118, 121, 122, and 123 of the Public Land Act
may be the subject of reversion. [Sec. 24, C.A.
No. 141 or The Public Land Act, as amended]
The certificate of title issued pursuant to a void
patent may be ordered cancelled and the land
reverted to the State through an action for
reversion filed by the Solicitor General.
Similarly, an action for cancellation of title and
reversion may be filed by the Solicitor General
where the land decreed by the registration
court is inalienable. This action cannot be
barred by the prior judgment of said court since
it had no jurisdiction over the subject matter.
[Republic v. Court of Appeals and Alpuerto,
G.R. No. L-45202 (1980)]
The Indefeasibility of title, prescription, laches,
and estoppel do not bar reversion suits.
Criminal Prosecution
Sec. 116 of the Land Registration Act:
Whoever knowingly swears falsely to any
statement required to be made under oath by
this Act shall be guilty of perjury and liable to
the penalties provided by laws for perjury.
Page 438 of 532
CIVIL LAW
The State may criminally prosecute for perjury
the party who obtains registration through
fraud, such as by stating false assertions in the
sworn answer required of applicants in
cadastral proceedings. [People of the
Philippines v. Cainglet, G.R. Nos. L-21493-94
(1966)
4. Cadastral Registration
It is a proceeding in rem, initiated by the filing
of a petition for registration by the
government, not by the persons claiming
ownership of the land subject thereof, and the
latter are, on the pain of losing their claim
thereto, in effect compelled to go to court to
make known their claim or interest therein, and
to substantiate such claim or interest.
Unlike other kinds of registration, this is
compulsory as it is initiated by the
government.
The government does not seek the registration
of land in its name. The objective of the
proceeding is the adjudication of title to the
lands or lots involved in said proceeding.
[Agcaoili]
Purpose:
1. To serve the public interest by requiring
that the titles to any unregistered lands be
settled and adjudicated
2. To settle all disputes over the land; and
3. To remove all clouds over land titles, as far
as practicable
Period of Filing: Extended up to December
31, 2020 [Sec. 2, R.A. 9176 (2002)]
Only unregistered lands may be the subject
of a Cadastral Survey
The object of cadastral proceedings is to “settle
and adjudicate” lands. Private lands are not
contemplated since ownership thereof had
already been finally determined and
adjudicated. [Agcaoili]
When once decreed by a court of competent
jurisdiction, the title to the land thus determined
U.P. LAW BOC LAND TITLES AND DEEDS CIVIL LAW

is already res judicata, and binding on the PROCEDURE IN CADASTRAL

whole world, the proceeding being in rem. REGISTRATION (Sec. 35 and 36, PD 1529)
[Duran v. Olivia, G.R. No. L-16589 (1961)]
STEP 1: Determination of the President that
Cadastral Distinguished from Ordinary public interest requires title to unregistered
Registration lands be settled and adjudicated.
Ordinary Cadastral
Registration Registration President then orders the Director of Lands to
Voluntary Compulsory conduct a cadastral survey.
Applicant is a person STEP 2: Director of lands shall make a
Applicant is the
claiming title to the
Director of Lands cadastral survey.
land
Usually involves STEP 3: Director of Lands gives notice to
private land; it may
interested persons and to the general public.
also refer to public
agricultural lands if
Contents of the Notice:
the object of the All classes of land are
1. Day on which the survey will begin
action is judicial covered (private and
confirmation of public alienable lands) 2. Full and accurate description of the lands
imperfect or to be surveyed
incomplete title (in
which case CA 141 STEP 4: Publication of notice
applies) 1. Published once in the Official Gazette
Applicant comes to 2. A copy of the notice in English or the
Government asks the national language shall be posted in a
court to confirm his
court to settle and conspicuous place on the bulletin board
title and seek
adjudicate the title of of the municipal building of the
registration of the
the land municipality in which the lands or any
land in his name
In cadastral portion thereof is situated
registration, if the
applicant cannot A copy of the notice shall also be sent to:
If the applicant fails to prove that he is a. Mayor of the municipality
prove his title, entitled to the land, the b. Barangay captain
application may be land becomes public c. Sangguniang Panlalawigan and
dismissed without land. Sangguniang Bayan concerned
prejudice. [Santiago
v. Santos, G.R. No. However, the STEP 5: Geodetic engineers or other Bureau
31568, March 19, cadastral case of Land employees in charge of the survey
1930; Verzosa v. decision does not shall give notice reasonably in advance of the
Nicolas, G.R. No. constitute res judicata date of the survey. They shall also mark the
9227, February 10, as to bar even the
boundaries of the lands with monuments.
1915] same claimant from
subsequently filing an
STEP 6: Interested persons should
If the judgment application for judicial
confirmation of title to communicate with the geodetic engineer if he
determines requests for any information about the land.
ownership, then it is the same land,
res judicata upon the provided the
requisites are STEP 7: Actual survey and plotting of the land.
parties.
complied with. [Director
of Lands v. CA & Pastor, STEP 8: Director of Lands represented by
G.R. No. L-47847, July Solicitor General shall institute original
31, 1981] registration proceedings.

Page 439 of 532

U.P. LAW BOC LAND TITLES AND DEEDS
1. Petition is filed in the appropriate RTC
where the land is situated
2. Contents of the Petition:
a. That public interest requires that the
title to such lands be settled and
adjudicated and praying that such titles
be so settled and adjudicated
b. Description of the lands
c. Accompanied by a plan thereof
d. Such other data as may serve to
furnish full notice to the occupants of
the lands and to all persons who may
claim any right or interest therein
STEP 9: Publication, mailing posting
STEP 10: Hearing
Jurisdiction of the Cadastral Court:
1. Adjudicate title to any claimant thereto
2. Declare land as a public land
3. Order correction of technical description
4. Order the issuance of new title in place of
the title issued under voluntary
registration proceedings
5. Determine the priority of overlapping title
6. Order the partition of the property
STEP 11: Decision
STEP 12: Issuance of the decree and
certificate of title
Note: Reopening of cadastral cases no longer
allowed. RA 931, effective June 20, 1953 for
five (5) years, authorizing the reopening of
cadastral cases under certain conditions and
which had been extended until Dec. 31, 1968,
is no longer in force.
Courts are thus without jurisdiction or authority
to reopen a cadastral proceeding since Dec.
31, 1968. [Aquino, citing Republic v. Estenzo,
G.R. No. L-35512 (1988)]
Page 440 of 532
CIVIL LAW
E. SUBSEQUENT
REGISTRATION
SUBSEQUENT REGISTRATION
A proceeding where incidental matters after
original registration may be brought before the
land registration court by way of motion or
petition filed by the registered owner or a party
in interest
Necessity and Effects Of Registration
[Sec. 51 and 52, PD 1529]
1. The deed, mortgage, lease, or other
voluntary instrument, except a will shall
ONLY operate as:
a. A contract between the parties and
b. Evidence of authority to the Register of
Deeds to make registration.
2. The act of registration shall be the
operative act to convey or affect the land
insofar as third persons are concerned.
3. Also, by registration, it creates constructive
notice to the world.
Registration of a document is ministerial on the
part of the Register of Deeds. The purpose of
registering an instrument is to give notice
thereof to all persons, not to destroy or affect
already registered rights over the land at the
time of the registration. Registration must first
be allowed, and validity or effect litigated
afterwards. [Gurbax Singh Pabla & Co. v.
Reyes, G.R. No. L-3970 (1952)]
As between the parties to a contract of sale,
registration is not necessary to make it valid
and effective, for actual notice is equivalent to
registration. [Agcaoili]
The act of registration creates a constructive
notice to the whole world and binds third
persons. [Garcia v. Court of Appeals, G.R. No.
L-56483 (1984)]
U.P. LAW BOC LAND TITLES AND DEEDS CIVIL LAW

Voluntary Dealings Compared to An innocent Saberon v.

Involuntary Dealings purchaser for value Ventanilla, Jr., G.R.
Involuntary of registered land No. 192669 (2014):
Voluntary Dealings
Dealings becomes the Entry thereof in the
Refer to deeds, Refer to the writs, registered owner the day book of the
instruments, or orders, or processes moment he presents ROD is sufficient
documents which issued by the court and files a duly notice to all persons
are results of the of record affecting notarized and valid even if the owner’s
free and voluntary registered land, also deed of sale and the duplicate certificate
acts of the parties other instruments same is entered in of title is not
thereto. which are not willful the day book of the presented to the
acts of the ROD and at the ROD.
registered owner, same time he
executed without his surrenders or
knowledge or presents the owner’s
consent. duplicate certificate
of title covering the
1. Sale 1. Attachment land sold and pays
2. Real property 2. Mandamus the registration fees.
mortgage 3. Sale on Villasor v. Camon, Director of Lands v.
3. Lease execution of R-C.A. No. 8551 Reyes, G.R. No. L-
4. Pacto de retro judgment or (1951): It is 27594 (1976): Entry
sale sales for taxes necessary to in the day book of
5. Extra-judicial 4. Adverse claims register the deed or the ROD is sufficient
settlement 5. Notice of lis instrument in the notice to all persons
6. Free pendens entry book of the of an adverse claim
patent/homeste 6. Expropriation ROD and a without the same
ad 7. Forfeiture memorandum being annotated at
7. Powers of 8. Auction sale on thereof shall also be the back of the
attorney foreclosure of made in the owner’s certificate of title
8. Trusts mortgage duplicate certificate
and its original
Presentation of the Entry in the day Sps. Labayen v. Armed Forces and
owner’s duplicate book of ROD is Serafica, G.R. No. Police Mutual
certificate of title is sufficient notice to 178443 (2008): At Benefit Association,
required to notify; all persons the time of the filing Inc. v. Santiago,
mere entry in the of the petition for G.R. No. 147559
day book of the cancellation of (2008): Entry of the
Register of Deeds encumbrance, the attachment in the
(ROD) is insufficient lease contract books is sufficient
already lost its notice to all persons.
efficacy. Thus, there Hence, the fact that
is no basis to save the deed of sale was
its annotation on already annotated is
defendant’s title. of no moment with
The fact that the regard to third
cancellation of the persons. The
lease contract was preference created
forged is of no by the levy on
moment, for there attachment is not
diminished by the

Page 441 of 532

U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

2. Which is exercised in bad faith;

A. PRINCIPLES 3. For the sole intent of prejudicing or injuring
another.

Tort Test of abuse of rights

A private or civil wrong violating a right for No hard and fast rule; depends on the
which the law provides a remedy in the form of circumstances of each case. The exercise of a
damages right must be in accordance with the purpose
for which it was established, and must not be
Elements excessive or unduly harsh; there must be no
1. Duty intention to injure another.
2. Breach
3. Injury; and Generally, the exercise of any right must be in
4. Proximate Causation [Garcia v. Salvador, accordance with the purpose for which it was
G.R. No. 168512 (2007)] established. It must not be excessive or unduly
harsh; there must be no intention to injure
Definition of Quasi-Delict (also known as another.
culpa aquiliana)
There is abuse of right when:
Art. 2176, CC. Whoever by act or omission 1. The right is exercised for the only purpose
causes damage to another, there being fault of prejudicing or injuring another
or negligence, is obliged to pay for the 2. The objective of the act is illegitimate
damage done. Such fault or negligence, if 3. There is an absence of good faith
there is no pre-existing contractual relation
between the parties, is called a quasi-delict Effects of the application of Art. 19:
and is governed by the provisions of this a. “A right, though by itself legal because
Chapter. recognized or granted by law as such, may
nevertheless become the source of some
Elements of quasi-delict illegality” [Globe Mackay v. CA, G.R. No.
1. Act/omission committed through 81262 (1989)];
fault/negligence b. It precludes the defense of damnum
2. Damage/injury is caused by such absque injuria. Damnum absque injuria
act/omission does not apply when there is an abuse of a
3. Does not arise under a pre-existing person’s right [Amonoy v. Gutierrez, G.R.
contractual obligation No. 140420 (2001)].

Note: Jurisprudence replaces the third element

with causal connection [PNR v. Brunty, G.R.
No. 169891 (2006); Andamo v. IAC, G.R. No.
74761 (1990)].

1. Abuse of Right; elements

Art. 19, CC. Every person must, in the
exercise of his rights and in the performance
of his duties, act with justice, give everyone
his due, and observe honesty and good faith
Elements [Albenson v. CA, G.R. No. 88694
(1993)]:
1. There is a legal right or duty;

Page 452 of 532

U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

CASE LEGAL RIGHT AND INJURY DOCTRINE

Velayo v. Shell Right to transfer credit. The standards in NCC 19 are

(1959) implemented by NCC 21.
The transfer of credit from Shell
Philippines to Shell USA was deemed a
violation of NCC 21 as it allowed Shell
to attach properties of their creditor
CALI to the prejudice of its other
creditors.

Globe v. CA Right to dismiss an employee. When a right is exercised in a manner

(1989) which does not conform with the norms
The dismissal itself was not illegal but it in NCC 19, and results in damage to
was the manner of dismissal which was another, a legal wrong is thereby
deemed in violation of Article 19, as committed. The law, therefore,
such was based on unfounded recognizes a primordial limitation on all
accusations of dishonesty. rights.

University of the The conscious indifference of the school The conscious indifference of a person
East v. Jader in not informing its student that he could to the rights or welfare of the others who
(2000) not graduate formed the basis for the may be affected by his act or omission
award of damages. can support a claim for damages.

Amonoy v. Right to demolish another’s house on
Gutierrez (2001) his own property.
Amonoy obtained a judgment in his
favor for Gutierrez to vacate. A
demolition order was issued but the
court suspended it with a TRO. Amonoy abused, especially to the prejudice of
proceeded with the demolition. In a
complaint for damages, he claims the
principle of damnum absque injuria.
The principle of damnum absque injuria
does not apply when the exercise of the
legal right is suspended or extinguished
pursuant to a court order. The exercise
of a right ends when the right
disappears, and it disappears when it is
others.

Right to forbid uninvited guests from Article 19, known to contain what is
entering the party. commonly referred to as the principle of

Page 453 of 532

U.P. LAW BOC TORTS AND DAMAGES
Nikko Hotel Ruby Lim’s throwing out of complainant
Manila Garden Reyes, as a gatecrasher in a private
v. Reyes (2005) party, was merely in exercise of her
duties as Executive Secretary of the
hotel where the party was held, and did
not constitute a violation of Article 19.
2. Unjust Enrichment
Art. 22, CC. Every person who through an
act of performance by another, or any other
means, acquires or comes into possession
of something at the expense of the latter
without just or legal ground, shall return the
same to him.
Art. 23, CC. Even when an act or event
causing damage to another’s property was
not due to the fault or negligence of the
defendant, the latter shall be liable for
indemnity if through the act or event he was
benefited.
Art. 2142, CC. Certain lawful, voluntary and
unilateral acts give rise to the juridical
relation of quasi-contract to the end that no
one shall be unjustly enriched or benefited at
the expense of another.
Art. 2143, CC. The provisions for quasi
contracts in this Chapter do not exclude
other quasi-contracts which may come within
the purview of the preceding article.
One person should not be permitted to unjustly
enrich himself at the expense of another, but
should be required to make restitution of, or for
property or benefits received, retained, or
appropriated where it is just and equitable that
such restitution be made, and where such
action involves no violation or frustration of law
or opposition to public policy, either directly or
indirectly.
Page 454 of 532
CIVIL LAW
abuse of rights, is not a panacea for all
human hurts and social grievances. The
object of this article is to set certain
standards which must be observed not
only in the exercise of one’s rights but
also in the performance of one’s duties.
Enrichment at the expense of another is not per
se forbidden. It is such enrichment without just
or legal cause that is contemplated here. Just
and legal cause is always presumed, and the
plaintiff has the burden of proving its absence.
The restitution must cover the loss suffered by
the plaintiff but it can never exceed the amount
of unjust enrichment of the defendant if it is less
than the loss of the plaintiff.
Requisites
1. That the defendant has been enriched;
2. That the plaintiff has suffered a loss;
3. That the enrichment of the defendant is
without just or legal ground; and
4. That the plaintiff has no other action
based on contract, crime or quasi-
delict.
“Under the civil law principle of unjust
enrichment, the registered owner of the motor
vehicle has a right to be indemnified by the
actual employer of the driver; and under Article
2181 of the Civil Code, whoever pays for the
damage caused by his dependents or
employees may recover from the latter what he
has paid or delivered in satisfaction of the
claim.” [Mendoza v. Sps Gomez, G.R No.
160110 (2014)]
3. Liability without fault
Art. 23, CC. Even when an act or event
causing damage to another’s property was
not due to the fault or negligence of the
defendant, the latter shall be liable for
indemnity if through the act or event he was
benefited
U.P. LAW BOC TORTS AND DAMAGES
This provision imposes liability even without
fault, as long as the injurious act or event
benefited the defendant.
This article is based on equity, An involuntary
act, because of its character cannot generally
create an obligation; but when by such act its
author has been enriched, it is only just that he
should indemnify for the damages caused, to
the extent of his enrichment. The indemnity
does not include unrealized profits of the
injured party, because defendant’s enrichment
is the limit of his liability. The plaintiff has the
burden of proving the extent of the benefit or
enrichment of the defendant.
4. Acts Contrary to Law
Art. 20, CC. Every person who, contrary to
law, willfully or negligently causes damage to
another, shall indemnify the latter for the
same
The provision is intended to provide a remedy
in cases where the law declares an act illegal
but fails to provide for a relief to the party
injured. [Jarencio]
Art. 20 does not distinguish, and the act may
be done willfully or negligently.
Requisites
1. The act must be willful or negligent;
2. It must be contrary to law; and
3. Damages must be suffered by the
injured party.
Salvador was misdiagnosed with Hepatitis, as
a result of which she lost her job. During trial, it
was proven that the clinic was operating under
substandard conditions, in violation of the
Clinical Laboratory Law, DOH Administrative
Order No. 49-B, and the Philippine Medical
Technology Act of 1969. The Court held that
violation of a statutory duty is negligence, and
that Article 20 provides the legal basis for
award of damages to a party who suffers
damage whenever one commits an act in
Page 455 of 532
CIVIL LAW
violation of some legal provision [Garcia v.
Salvador, G.R. No. 168512 (2007)].
5. Acts Contrary to Morals
Art. 21, CC. Any person who willfully causes
loss or injury to another in a manner that is
contrary to morals, good customs or public
policy shall compensate the latter for the
damage.
Elements [Albenson v. CA, supra].
1. There is an act which is legal;
2. But which is contrary to morals, good
customs, and public policy; and
3. It is done with intent to injure.
This article is designed “to expand the concept
of torts and quasi-delict in this jurisdiction by
granting adequate legal remedy for the untold
number of moral wrongs which is impossible
for human foresight to specifically enumerate
and punish in statute books” [Baksh v. CA,
supra].
The injury suffered by the plaintiff may refer to
any determinate right or property, whether
material or not.
The doctrine of proximate cause must apply,
because the defendant must have caused the
injury through their act or omission. If through
the plaintiff’s own fault or negligence, they
sustained injury, they cannot recover.
Does a “willful” act require malice or
deceit?
Yes. The Code uses the motive-laden word
“willfully” rather than the comparatively weaker
word “intentionally.” An act which is “willful”
connotes an evil or malicious motive, while an
act which is merely intentional has ordinarily no
such implication [Carpio, Antonio T., Intentional
Torts in Philippine Law, supra].
a. Acts contrary to morals, in
general
Article 21 is the result of adopting moral norms
into actual legal rules, which the Court found as
U.P. LAW BOC TORTS AND DAMAGES
acceptable, as it notes that the “conscience of
man has remained fixed to ancient moorings”
and that this will impart an “enduring quality” to
our laws, which is a desirable thing from the
Court’s perspective.[Velayo v. Shell, G.R. No.
L-7817. (1956)]
A reading of the provision may provide an
inference of three requisites for a cause of
action under Article 21:
1. that one willfully causes injury or loss to
another;
2. that it was done in a manner that is
contrary to morals, good customs, or
public policy
3. That the act done to cause injury or
loss must be legal
The complaint must ask for damages because
it presupposes losses or injuries material or
otherwise; if complaint doesn’t ask for
damages, Art. 21 cannot be invoked.
[Albenson v. CA, G.R. No. 88694, (1993)]
b. Breach of Promise to Marry and
Moral Seduction
Mere breach of promise to marry is not an
actionable wrong. But to formally set a wedding
and go through all the above-described
preparation and publicity, only to walk out of it
when the matrimony is about to be solemnized,
is quite different. This is palpably and
unjustifiably contrary to good customs xxx
[Wassmer v. Velez, G.R. No. L-20089 (1964)].
Where a man's promise to marry is in fact the
proximate cause of the acceptance of his love
by a woman and his representation to fulfill that
promise thereafter becomes the proximate
cause of the giving of herself unto him in a
sexual congress, proof that he had, in reality,
no intention of marrying her and that the
promise was only a subtle scheme or deceptive
device to entice or inveigle her to accept him
and to obtain her consent to the sexual act,
could justify the award of damages pursuant to
Article 21 not because of such promise to
marry but because of the fraud and deceit
behind it and the willful injury to her honor and
reputation. It is essential, however, that such
Page 456 of 532
CIVIL LAW
injury should have been committed in a manner
contrary to morals, good customs or public
policy [Baksh v. CA, supra].
(Note on Baksh: The test, however, is
problematic, in that it employs the concept of
proximate cause even if Article 21 cases do not
require the application of proximate cause.)
However, when for one whole year, the
plaintiff, a woman of legal age, maintained
sexual relations with the defendant, with
repeated acts of intercourse, there is here
voluntariness. No case under Article 21 is
made [Tanjanco v. CA, G.R. No. L-18630
(1966)].
In an action by the woman, the enticement,
persuasion or deception is the essence of the
injury; mere proof of intercourse is insufficient
to warrant a recovery. It is not seduction where
the willingness arises out of sexual desire or
curiosity of the female, and the defendant
merely affords her the needed opportunity for
the commission of the act [Tanjanco v. CA,
G.R. No. L-18630 (1966)].
c. Malicious Prosecution
Malicious prosecution is the institution of any
action or proceeding, either civil or criminal,
maliciously and without probable cause.
Malicious prosecution is an action for
damages brought by one against whom a
criminal prosecution, civil suit, or other legal
proceeding has been instituted maliciously and
without probable cause, after the termination of
such prosecution, suit, or other proceeding in
favor of the defendant therein [Magbanua v.
Junsay, G.R. No. 132659 (2007)].
Elements [Magbanua v. Junsay, G.R.
No.132659 (2007)]
1. The fact of the prosecution or that the
prosecution did occur and that the
defendant was himself the prosecutor
or that he instigated its
commencement;
2. That the action finally terminated with
an acquittal;
U.P. LAW BOC TORTS AND DAMAGES
3. That in bringing the action, the
prosecutor acted without probable
cause
4. That the prosecutor was actuated or
impelled by legal malice, that is, by
improper or sinister motive.
The mere dismissal of the criminal complaint
by the fiscal’s office did not create a cause of
action for malicious prosecution, because the
proceedings therein did not involve an
exhaustive examination of the elements of
malicious prosecution. To constitute such,
there must be proof that the prosecution was
prompted by a sinister design to vex and
humiliate a person and that it was initiated
deliberately by the defendant knowing that his
charges were false and groundless [Que v.
IAC, G.R. No. 66865 (1989)].
Malicious prosecution involves not only
criminal but civil and administrative suits as
well [Magbanua v. Junsay, supra].
The presence of probable cause signifies as a
legal consequence the absence of malice [Que
v. IAC, G.R. No. 66865 (1989].
d. Public Humiliation
The circumstances under which the defendant
tried to win Lolita’s affection cannot lead to any
other conclusion than that it was he who,
through an ingenious scheme or trickery,
seduced the latter to the extent of making her
fall in love with him. The wrong he has caused
her and her family is indeed immeasurable
considering the fact that he is a married man.
Verily, he has committed an injury to Lolita's
family in a manner contrary to morals, good
customs and public policy as contemplated in
Article 21 of the new Civil Code [Pe v. Pe, G.R.
No. L-17396 (1962)].
It is against morals, good customs and public
policy to humiliate, embarrass and degrade the
dignity of a person. Everyone must respect the
dignity, personality, privacy and peace of mind
of his neighbors and other persons (Article 26,
CC) [Grand Union v. Espino, G.R. No. L-48250
(1979)].
Page 457 of 532
CIVIL LAW
A person may be held liable under Article 21 if
they make an accusation against another and
acts to prejudice such person, without proof
substantiating her accusation
e. Oppressive Dismissal
The right of an employer to dismiss an
employee is not to be confused with the
manner in which this right is to be exercised
and the effects flowing therefrom. If the
dismissal was done antisocially or
oppressively, then there is a violation of Article
1701, which prohibits acts of oppression by
either capital or labor against the other, and
Article 21, which makes a person liable for
damages if he willfully causes loss or injury to
another in a manner that is contrary to morals,
good customs, or public policy. When the
manner in which the company exercised its
right to dismiss was abusive, oppressive and
malicious, it is liable for damages [Quisaba v.
Sta. Ines, G.R. No. L-38000 (1974)].
B. CLASSIFICATION OF
TORTS
1. According to Manner of
Commission
a. Intentional Torts
Liability for personal acts or omission is
founded on that indisputable principle of justice
recognized by all legislators that when a
person by his act or omission causes damage
or prejudice to another, a juridical relation is
created by virtue of which the injured person
acquires a right to be indemnified and the
person causing the damage is charged with the
corresponding duty of repairing the damage.
The reason for this is found in the obvious truth
that man should subordinate his acts to the
precepts of prudence and if he fails to observe
them and cause damage to another, he must
repair the damage [Manresa].
U.P. LAW BOC TORTS AND DAMAGES
Elements of Intentional Torts
A tort is intentional when the tortfeasor:
1. Desires the consequence of their act;
or
2. They believe that the consequences
are substantially certain to result from
his act.
How is intent proved?
The defendant’s intent is usually proved
circumstantially, or is inferred from their
conduct. If the defendant’s conduct causes
injury, they are presumed to intend the natural
consequences of their act.
b. Negligent Torts
Negligence
It is the omission to do something which a
reasonable man, guided by those
considerations which ordinarily regulate the
conduct of human affairs, would do, or the
doing of something which a prudent and
reasonable man would not do [Layugan v. IAC,
G.R. No. 73998 (1988)].
The diligence with which the law requires the
individual to at all times govern his conduct
varies with the nature of the situation in which
he is placed and the importance of the act
which he is to perform [Jorge v. Sicam, G.R.
No. 159617 (2007)].
INTENTIONAL TORTS NEGLIGENT
TORTS
Harmful consequences The act or omission
are substantially certain merely creates a
to occur or are intended foreseeable risk or
harm, which may or
may not actually be
realized
The difference lies in the certainty of the
harmful consequences. Where in intentional
torts there is substantial certainty of harmful
consequences, in negligence, the conduct of
the defendant creates a risk or harm which may
or may not result. This comparison is
consistent with the definition of negligence,
Page 458 of 532
CIVIL LAW
which consists in a failure to observe the
requisite due care given circumstance.
Will Motive Be Material? Generally, motive is
immaterial. But it may be used to aggravate or
mitigate the harmful consequences resulting
from an intentional tort
2. According to Scope
a. Human Relations Tort
Liability for personal acts or omission is
founded on that indisputable principle of justice
recognized by all legislators that when a
person by his act or omission causes damage
or prejudice to another, a juridical relation is
created by virtue of which the injured person
acquires a right to be indemnified and the
person causing the damage is charged with the
corresponding duty of repairing the damage.
The reason for this is found in the obvious truth
that man should subordinate his acts to the
precepts of prudence and if he fails to observe
them and cause damage to another, he must
repair the damage [Manresa].
Human Relations provisions in the Civil Code
include Art. 19 (Abuse of Rights) , Art. 20 (Acts
Contrary to Law), Art. 21 (Acts contrary to
morals), and Art. 26 (Violation of Human
Dignity).
b. Strict Liability Tort
This refers to instances where negligence is
not required to be proven to incur liability; and
diligence is not a defense.
This includes Articles 1711, 1723, 2183, 2187,
2189-2193
[See H. Special Liability in Particular Activities;
I. Strict Liability.]
c. Independent Civil Actions
Civil Code provisions on independent civil
actions include Articles 32-35.
U.P. LAW BOC TORTS AND DAMAGES
In these cases, a civil action may be filed
independently of the criminal action, even if
there has been no reservation made by the
injured party; the law in itself makes such
reservation. The result of the civil action is thus
independent of the result of the criminal action.
The underlying purpose for this independent
civil action is to allow the citizen to enforce his
rights in a private action brought by him,
regardless of the action of the State attorney.
[Tolentino]
C. THE TORTFEASOR
1. Direct Tortfeasor
Art. 2176, CC. Whoever by act or omission
causes damage to another, there being fault
or negligence, is obliged to pay for the
damage done. Such fault or negligence, if
there is no pre-existing contractual relation
between the parties, is called a quasi-delict
and is governed by the provisions of this
Chapter.
The direct tortfeasor is one who is made liable
for a tort committed through his own acts. The
tortfeasor may be a natural or juridical
person.
a. Natural Persons
In order for one to be liable as a direct
tortfeasor, the requisites of Art. 2176 must be
fulfilled:
1. Act or omission
2. Damage to another
3. Fault or negligence
4. No pre-existing contractual relation
In other words, the direct tortfeasor is liable for
quasi-delict. Liability consists in the payment
of damages for the injury suffered.
Page 459 of 532
CIVIL LAW
Note: Damage under the 2nd requisite pertains
to injury. [PNR v. Brunty, G.R. No. 169891 (2006)]
b. Juridical Persons
For juridical persons, the rules on vicarious
liability in the next section applies.
2. Persons made responsible for
others
Art. 2180, CC. The obligation imposed by
Article 2176 is demandable not only for one’s
own acts or omissions, but also for those of
persons for whom one is responsible.
xxx
The responsibility treated of in this article
shall cease when the persons herein
mentioned prove that they observed all the
diligence of a good father of a family to
prevent the damage.
Doctrine of Vicarious Liability (Art. 2180)
The obligation imposed under Art. 2176 (i.e., to
pay for injury suffered) is also demandable
from those persons (natural or juridical) who
are responsible for the person who has
committed a quasi-delict (i.e., the direct
tortfeasor).
Under this, liability is primary and direct
(solidarily liable with the direct tortfeasor), not
subsidiary. It is not conditioned upon the
insolvency of or prior recourse against the
direct tortfeasor.
Note: Art. 2180 does not provide for automatic
liability. It only gives rise to a presumption of
negligence on the part of the persons
mentioned. The presumption is rebuttable by a
showing of the person’s exercise of the
diligence required (See ‘Available Defense’ in
the following sections).
Rationale
To extend liability by legal fiction to those in a
position to exercise absolute or limited control
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

over the direct tortfeasor. These persons b. Oldest qualified sibling over 21
become liable for their own omission to years
comply with their duty to exercise c. Child’s actual custodian, provided
supervision over the persons for whom they he is qualified and over 21 years
are responsible. 4. Special Parental Authorities
a. School
When Not Applicable b. Administrators
When moral culpability can be directly imputed c. Teachers
to the direct tortfeasor, as when there is actual d. Individual, entity, or institution
intent to cause harm to others. engaged in child care

Persons Available Defense

For Damages Caused
Vicariously Proof that the parent/guardian observed all
By:
Liable: diligence of a good father of a family to prevent
Parents Minor children who live in the damage.
their company
Guardians Minors or incapacitated 1. Parents
children who are under Art. 2180 (2), CC. The father and, in case of
their authority and live in his death or incapacity, the mother, are
their company responsible for the damages caused by the
Owners and Employees in the service minor children who live in their company.
managers of an of the branches in which
establishment the latter are employed or
or enterprise on the occasion of their Art. 211, FC. Parents and other persons
functions exercising parental authority shall be civilly
Employers Employees and liable for the injuries and damages caused
household helpers acting by the acts or omissions of their
within the scope of their unemancipated children living in their
assigned tasks; even company and under their parental authority
though the former are not subject to the appropriate defenses provided
engaged in any business by law.
or industry
State Special agents
Parents are responsible for their minor
Teachers of Pupils and students or
children who live in their company.
heads of apprentices, so long as
establishments they remain in their
“Minors” Defined
of arts and custody
Minors refer to those who are below 21 years
trade
old, not below 18 years. The law reducing
majority age did not amend Art. 2180. The
a. Persons Exercising Parental basis is the Art. 236(3) of the Family Code, as
Authority
amended by RA 6809, which provides that
nothing in the Family Code shall be construed
Parental Authority to derogate from the duty or responsibility of
It consists, to a large extent, of the instruction
parents and guardians for children and wards
and supervision of the child. May be exercised
below 21 years of age mentioned in Art. 2180,
by:
CC.
1. Parents/Adoptive parents
2. Court-appointed guardians
3. Substitute Parental Authorities
a. Grandparents

Page 460 of 532

U.P. LAW BOC TORTS AND DAMAGES
Death/Incapacity of Father Irrelevant
The provision in Art. 2180, which makes the
mother liable only upon the death/incapacity of
the father is no longer operative due to Family
Code provisions:
• Art. 221 states that persons exercising
parental authority shall be civilly liable
for the torts of the children in their care.
• Art. 211 states that both the father and
the mother exercise parental authority.
Note: Even if the complaint for damages is filed
when parental authority is already lodged with
the adoptive parents, the parents who shall
be made vicariously liable are those who
exercised parental authority at the time the
quasi-delict was committed. In this case, it
was the biological parents. [Tamargo v. IAC,
G.R. No. 85044 (1992)]
Basis of liability of parents and adopters
Parental liability is anchored upon parental
authority coupled with presumed parental
dereliction in the discharge of the duties
accompanying such authority. The parental
dereliction is, of course, only presumed and the
presumption can be overturned under Article
2180 CC, by proof that the parents had
exercised all the diligence of a good father of a
family to prevent the damage [Tamargo v. CA,
supra].
Illegitimate children
Responsibility is with the mother whom the law
vests with parental authority.
2. Guardians
Art. 2180 (3), CC. Guardians are liable for
damages caused by the minors or
incapacitated persons who are under their
authority and live in their company.
The liability of guardians with respect to their
wards is governed by the same rule as in the
liability of parents with respect to their children
below 21 years and who live with them.
Page 461 of 532
CIVIL LAW
“Incapacitated” Defined (Rule 92, Rules of
Court)
Also known as those who are “incompetent:”
1. Those suffering penalty of civil interdiction
2. Prodigals
3. Deaf and dumb unable to read and write
4. Unsound mind, even though they have
lucid intervals
5. Being of sound mind, but by reason of age,
disease, weak mind, and other similar
causes, cannot take care of themselves or
manage their property
Minors or incapacitated tortfeasors without
a parent or guardian (Art. 2182)
Answerable with his own property in an action
against him. A guardian ad litem shall be
appointed.
b. Teachers and Schools
Art. 2180 (7), CC. Lastly, teachers or heads
of establishments of arts and trades shall be
liable for damages caused by their pupils
and students or apprentices, so long as they
remain in their custody.
Art. 218, FC. The school, its administrators
and teachers, or the individual, entity or
institution engaged in child shall have special
parental authority and responsibility over the
minor child while under their supervision,
instruction or custody.
Authority and responsibility shall apply to all
authorized activities whether inside or
outside the premises of the school, entity or
institution.
Art. 219, FC. Those given the authority and
responsibility under the preceding Article
shall be principally and solidarily liable for
damages caused by the acts or omissions of
the unemancipated minor. The parents,
judicial guardians or the persons exercising
substitute parental authority over said minor
shall be subsidiarily liable.
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

Available Defense
The respective liabilities of those referred to
Proof that the teacher/school observed all
in the preceding paragraph shall not apply if
diligence of a good father of a family to prevent
it is proved that they exercised the proper
the damage.
diligence required under the particular
circumstances.
Under the Civil Code (Art. 2180)
Teachers Heads
All other cases not covered by this and the
Arts and
preceding articles shall be governed by the Institu- Academic
trades,
provisions of the CC on quasi-delicts. tion institutions
establishments
Teacher in
Under Art. 2180, teachers or heads of Head of
Liable charge; not
establishments of arts and trades are establishment
administrator
responsible for their pupils and students or Custody Required
apprentices, so long as they remain in the Heads of
former’s custody, regardless of age. academic Heads of
institutions establishments
Under the Family Code, liability attaches to the exercise only of arts and
school, its administrators and teachers, or the administrative trades have
individual or entity engaged in child care, so Rationale
authority over apprentices,
long as the child is under their supervision, the students, who they are in
instruction, or custody, and the child is below and are not in close proximity
18 years old. close proximity to.
to them.
Basis of liability
The persons vicariously liable stand in loco Under the Family Code
parentis and are called upon to exercise School, Parents,
reasonable supervision over the conduct of the Administrators, Guardians,
students. Teachers, etc. etc.
Provided
Art. 218 Art. 219
“Custody” Defined by
“Custody” means the protective and Parental
supervisory custody that the school, its head Kind of authority or
Special parental
and teachers exercise over the pupils, for as authority substitute
authority
long as they are in attendance in school, which required parental
includes recess time. It is not required that the authority
student must live and board in the school. Liability if
tort is Principal and
Custody does not connote immediate and Subsidiary
committed solidary
actual physical control. It refers more to the
in school
influence exerted on the student and the
discipline instilled in him. [Palisoc v. Brillantes,
G.R. No. L-29025 (1971)] Students covered

ARTS. 218-219 ART. 2180

As long as it is shown that the student is in the
school premises pursuant to a legitimate All students, even those no
student objective, in the exercise of a legitimate Minor students longer minors, as long as they
right, or the enjoyment of a legitimate student only remain in the custody of the
privilege, the responsibility of the school persons responsible
authorities over the student continues.
[Amadora v CA, G.R. No. L-47745 (1988)]

Page 462 of 532

U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

c. Owners, Managers of Respondeat

Establishments, Employers Pater familias
superior
There is only a
Art. 2180 (4), FC. The owners and Master is absolutely
presumption of
managers of an es ablis
t h
ment or enterpris e liable to servant’s act
negligence on the part
are lik w e is e res p
onsible for damages or omission
of the employer
c u
as d e by their employ es in the s rev ci eof
the branches in whic h the latter are No defense of Defense of negligence
employ d e or on the oc cs aon i of their negligence available
func ions
t .
Embodied in the
Embodied in primary
subsidiary liability
liability under Art.
under RPC – no
Art. 2180 (5), FC. Employers shall be liable 2180, where the
defense of diligence;
for the damages caused by their employees defense of diligence is
only lack of criminal
and household helpers acting within the available
liability
scope of their assigned tasks, even though
the former are not engaged in any business
or industry. Basis of liability
Employer’s negligence in:
1. The selection of their employees (culpa
Nature of employers’ liability in eligiendo)
2. The supervision over their employees
The basis of his liability is not his (culpa in vigilando)
employee’s negligence, but his
Direct
own negligence in hiring and The liability imposed upon employers with
supervising the employee. respect to damages occasioned by the
The amount for which he is liable negligence of their employees to whom they
may be pursued without having to are not bound by contract is based on the
Primary exhaust the employee’s assets, as employer’s own negligence, such as when he
opposed to subsidiary liability places a powerful automobile in the hands of a
under the RPC. servant whom he knows to be ignorant of the
method of managing such vehicle [Cangco v.
He may recover the full amount of Manila Railroad, supra].
the liability from his employee, as
Solidary per Art. 2181, and not merely a Presumption of Negligence
prorated amount, unlike in Art. The presentation of proof of the negligence of
2184, CC. its employee gives rise to the presumption that
the defendant employer did not exercise the
What must be established for vicarious diligence of a good father of a family in the
liability: selection and supervision of its employees
1. Existence of an employer-employee [Lampesa v. De Vera, G.R. No. 155111
relationship between company and (2008)].
tortfeasor
2. Tortious act had been committed while Available Defense
the tortfeasor was acting in the normal Proof of due care and diligence in the:
course of employment 1. Selection of employees
a. Careful examination of the
Basis for liability is not respondeat superior, but applicant for employment as to his
pater familias. qualifications, experience and
record of service
2. Supervision of employees

Page 463 of 532

U.P. LAW BOC TORTS AND DAMAGES
a. Formulation of standard operating
procedures, suitable rules and
regulations, and issuance of proper
instructions
b. Monitoring of their implementation
c. Imposition of disciplinary measures
in case of their breach
When Applicable
Vicarious liability arises when there is an
employer-employee relationship. To determine
its existence, the “control test” is used. Under
this, a relationship exists if the “employer”
controls both the means and the details of the
process by which the “employee” is to
accomplish his task. [Professional Services v.
CA and Agana, G.R. No. 126297 (2010)].
Criminal Negligence
The vicarious liability of the employer for
criminal negligence of his employee is
governed by RPC 103. Conviction of the
employee conclusively binds the employer.
Defense of due diligence in the selection and
supervision of the employee is not available.
The employer cannot appeal the conviction
[Fernando v. Franco (1971)].
Note: The liability of the employer under Art.
103 RPC is subsidiary.
Registered Owner Rule
The registered owner of the vehicle is primarily
responsible to the public for whatever damage
or injury the vehicle may have caused, even if
he had already sold the same to someone else.
The policy is the easy identification of the
owner who can be held responsible so as not
to inconvenience or prejudice the third party
injured [Cadiente v. Macas (2008)]. The
registered owner, however, has the right to be
indemnified by the real or actual owner of the
amount that he may be required to pay as
damages for the injury caused to the plaintiff
[Orix Metro Leasing v. Mangalinan (2012)].
This rule applies even if the vehicle is leased to
third persons. The liability of the registered
owner is subject to his right of recourse against
the transferee or buyer.
Page 464 of 532
CIVIL LAW
1. Owners and Managers of an
Establishment or Enterprise (Art.
2180(4))
They are responsible for employees in the
service of the branches in which the latter are
employed or on the occasion of their functions.
“Manager” Defined
This does not include a manager of a
corporation, as such is not an employer, but
merely an employee of the corporation.
[Philippine Rabbit v. Philam Forwarders, G.R.
No. L-25142 (1975)].
2. Employers (Art. 2180(5))
They are responsible for employees and
household helpers acting within the scope of
their assigned tasks; even though the former
are not engaged in any business or industry.
“Within the scope of their assigned task” in Art.
2180 includes any act done by an employee in
furtherance of the interests, or for the account
of the employer at the time of the infliction of
the injury or damage [Filamer v. CA, G.R. No.
75112 (1990)].
Distinguishing Par. 4 and Par. 5
The distinction is necessary to determine which
paragraph is applicable:
1. Kind of employer made liable:
a. Par. 4: To owners and managers of
an establishment or enterprise
b. Par. 5: To employers in general,
whether or not engaged in any
business or industry
2. Acts of employees responsible for:
a. Par. 4: Negligent acts committed
either in the service of the branches
or on the occasion of their functions
b. Par. 5: Negligent acts done within
the scope of their assigned task
However, essentially, there is no distinction
between the two. It can be said that Par. 5 is
merely an expansion of what has been
provided for under Par. 4. [Castilex v. Vasquez,
G.R. No. 132266 (1999)]
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

d. The State pertain to his office [Merritt v. Government of

the Philippine Islands, G.R. No. 11154 (1960)].
Sec. 3, Art. XVI, 1987 Constitution. The
A corporate body (e.g., GOCCs) performing
State may not be sued without its consent.
non-governmental functions becomes liable for
the damage resulting from the tortious act of its
Art. 2180 (6), CC. The State is responsible employee. Liability will be that of an ordinary
in like manner when it acts through a special employer under Par. 4 or 5, Art. 2180.
agent; but not when the damage has been [Fontanilla v. Maliaman, G.R. No. 55963
caused by the official to whom the task done (1991)].
properly pertains, in which case what is
provided in Article 2176 shall be applicable. Why the State Cannot be Sued
Neither fault nor negligence can be presumed
on the part of the State in the organization of
Who may be sued under the State branches of public service and in the
1. A special agent under Art. 2180 appointment of its agents. Also, suing the
2. Instrumentalities discharging proprietary State will divert its focus from the delivery of
functions necessary public services.
a. The power to enter into contracts
implies the consent to be sued
b. The charter of the instrumentality
3. Joint tortfeasors
may expressly provide that it may
be sued Art. 2194, FC. The responsibility of two or
3. Those that consent to be sued more persons who are liable for quasi-delict
is solidary.
Instances where the State gives its consent
to be sued
Joint tortfeasors are all persons responsible
1. Art. 2180 (6) is an example of an express
for a quasi-delict. They are all persons who
legislative consent. Here, the State
command, instigate, promote, encourage,
assumes a limited liability for the acts of its
advise, countenance, cooperate in, aid or abet
special agents.
in the commission of a tort, or who approve of
2. Art. 2189 provides for state liability for
it after it is done, if done for their benefit. Under
damages caused by defective condition of
Art. 2194, their responsibility is solidary.
public works.
3. Local Government Code provides for the
When Applicable
liability of local government units for
When the concurrent or successive negligent
wrongful exercise of its proprietary (as
acts or omissions of two or more persons,
opposed to its governmental) functions.
although acting independently, are together the
The latter is the same as that of a private
direct and proximate cause of a single injury to
corporation or individual. [Mendoza v. de
a third person, and it is impossible to determine
Leon, G.R. No. L-9596 (1916)]
in what proportion each contributed to the
injury and either of them is responsible for the
“Special Agent” Defined
whole injury. Where their concurring
One who receives a definite and fixed order or
negligence resulted in injury or damage to a
commission, foreign to the exercise of the
third party, they become joint tortfeasors and
duties of his office (if he is a special official).
are solidarily liable for the resulting damage.
Does not pertain to any executive agent who is
[Far Eastern Shipping v. CA, G.R. No. 130068
an employee of the active administration and
(1998)]
who on his own responsibility performs
functions which are inherent and naturally

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U.P. LAW BOC TORTS AND DAMAGES
D. PROXIMATE CAUSE
1. Concept
In order that civil liability for negligence may
arise, there must be a direct causal connection
between the damage suffered by the plaintiff
and the act or omission of the defendant.
Plaintiff, however, must establish a sufficient
link between the act or omission and the
damage or injury. That link must not be remote
or far-fetched; otherwise, no liability will attach.
The damage or injury must be a natural and
probable result of the act or omission. [Dy
Teban Trading, Inc. v. Ching, G.R. No. 161803
(2008)]
Note: It is not required that it be shown that the
injury would not have occurred without the act
or omission complained of. It only requires
some reasonable connection between the act
or omission and the injury.
If the actor’s conduct is a material element and
a substantial factor in bringing about harm to
another, the fact that the actor neither foresaw
nor should have foreseen the extent of the
harm or the manner in which it occurred does
not prevent him from being liable [Philippine
Rabbit v. IAC, G.R. No. 66102-04 (1990)]
There is no exact formula to determine
proximate cause. It is based upon mixed
considerations of logic, common sense, policy
and precedent. [Dy Teban Trading, Inc. v.
Ching, G.R. No. 161803 (2008)]
Two Definitions
Proximate cause immediately resulting in
injury:
1. That cause, which, in natural and
continuous sequence, unbroken by any
efficient intervening cause, produces the
injury, and without which the result would
not have occurred. [Bataclan v. Medina,
G.R. No. 10126 (1957)]
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CIVIL LAW
2. Foreseen by a person of ordinary care that
the injury complained of or some similar
injury would result from the cause as a
natural and probable consequence.
[Pilipinas Bank v. CA, G.R. No. 105410
(1994)]
Proximate cause not immediately resulting
in injury but sets in motion a chain of
events, which eventually result in injury:
a. That cause acting first and producing the
injury, by setting other events in motion, all
constituting a natural and continuous
chain, each having a close causal
connection with its immediate predecessor,
the final event in the chain immediately
effecting the injury as a natural and
probable result of the first cause, under
such circumstances that the person
responsible for the first event should, as an
ordinary prudent and intelligent person,
have reasonable ground to expect at the
moment of his act that an injury might
probably result therefrom.
b. Also known as the proximate legal cause
c. A cause is still proximate, although farther
in time to the injury, if the happening of it
set other foreseeable events into motion
resulting ultimately in the damage.
[Abrogar v. Cosmos Bottling Co., G.R. No.
164749 (2017)]
Respondent was mistakenly given Dormicum,
a potent sleeping tablet, instead of medication
for his blood sugar. He took a pill for 3
consecutive days and on the third day, he fell
asleep on the wheel and figured in a vehicular
accident. The Court found that the proximate
cause of the accident was the Mercury Drug
employee’s mistake in reading the prescription
[Mercury Drug v. Baking, G.R. No. 156037
(2007)].
Note: Here, 3 days have elapsed from the time
of the negligent act determined by the Court as
the proximate cause; thus, the Court did not
consider the time element in determining
proximate cause but the nature and gravity of
the injury.
U.P. LAW BOC TORTS AND DAMAGES
Differentiated from other
causes
Concurrent Cause
A concurrent cause is one, which along with
other causes, produces the injury. Each cause
is an efficient cause without which the injury
would not have happened. Injury is attributed
to any or all the causes, and recovery may be
had against any or all of those responsible.
Note: They’re the same thing from the point of
view of solidarity.
As a general rule, that negligence in order to
render a person liable need not be the sole
cause of an injury. It is sufficient that his
negligence, concurring with one or more
efficient causes other than the plaintiff’s, is the
proximate cause of the injury.
Remote Cause
A remote cause is one, which would have been
a proximate cause, had there been no efficient
intervening cause after it and prior to the injury.
It cannot be made the basis of an action if such
did nothing more than furnish the condition or
give rise to the occasion by which the injury
was made possible, if there intervened
between such prior or remote cause and the
injury a distinct, successive, unrelated, and
efficient cause of the injury, even though such
injury would not have happened but for such
condition or occasion [Manila Electric v.
Remonquillo, G.R. No. L-8328 (1956)].
Intervening Cause
An intervening cause is an event that takes
place after the first cause and before the injury.
(See Efficient Intervening Cause)
2. Cause in Fact
Whether such negligent conduct is a cause
without which the injury would not have
occurred or is the efficient cause which set in
motion the chain of circumstances leading to
the injury. [Bataclan v. Medina, G.R. No. 10126
(1957)] An act or omission is not regarded as a
Page 467 of 532
CIVIL LAW
cause of an event if the particular event would
not have occurred without it.
3. Efficient Intervening Cause
The test of determining whether or not the
intervening cause is sufficient to absolve a prior
cause of the injury is as follows: whether the
intervention of a later cause is a significant part
of the risk involved in the defendant’s conduct
or is so reasonably connected with it that the
responsibility should not be terminated. In the
affirmative, such foreseeable intervening
forces are within the scope of the original risk,
and hence of the defendant’s negligence. In
the negative, there exists an efficient
intervening cause that relieves the defendant
of liability.
Foreseeable Intervening Cause
If the intervening cause is one which in ordinary
human experience is reasonably to be
anticipated, or one which the defendant has
reason to anticipate under the particular
circumstances, the defendant may be
negligent, among other reasons, because of
failure to guard against it. There is an
intervening cause combining with the
defendant’s conduct to produce the result, and
the defendant’s negligence consists in failure
to protect the plaintiff against that very risk
[Phoenix Construction v. IAC, G.R. No. L-
65295 (1987)].
Efficient Intervening Cause
When there is an intervening cause, which is
not a consequence of the first wrongful cause
(not under the control of the first wrongdoer and
could not be foreseen), that eventually leads to
an injury, the first wrongful cause can no longer
be considered the proximate cause. [Abrogar
v. Cosmos Bottling Co., G.R. No. 164749
(2017)]
4. Cause as distinguished from
condition
The distinction between cause and condition
has been almost entirely discredited. So far as
it has any validity at all, it must refer to the type
U.P. LAW BOC TORTS AND DAMAGES
of case where the forces set in operation by the
defendant have come to rest in a position of
apparent safety, and some new force
intervenes. But even in such cases, it is not the
distinction between “cause” and “condition”
which is important, but the nature of the risk
and the character of the intervening cause.
[Phoenix Construction v. IAC, G.R. No. L-
65295 (1987)].
5. Last Clear Chance
The test is also known as the “Doctrine of
Discovered Peril” or “Doctrine of Supervening
Negligence” or “Humanitarian Doctrine.”
Effect on Plaintiff's Right to Recover
The antecedent negligence of the plaintiff does
not preclude him from recovering damages
caused by the supervening negligence of the
defendant, who had the last fair chance to
prevent the impending harm by the exercise of
due diligence. [PNR v. Brunty, G.R. No.
169891 (2006)]
Establishing the Defendant’s Liability
Where both parties are negligent, but the
negligent act of one is appreciably later in time
than that of the other, or when it is impossible
to determine whose fault or negligence should
be attributed to the incident, the one who had
the last clear opportunity to avoid the
impending harm and failed to do so is
chargeable with the consequences. [Philippine
Bank of Commerce v. CA, G.R. No. 97626
(1997)]
It is necessary to show that the person who
allegedly had the last opportunity to avert the
accident was aware of the existence of the
peril, or should, with exercise of due care, have
been aware of it. [Pantranco v. Baesa, G.R. No.
79050-51 (1989)]
When Not Applicable
a. Where the proximate cause of the injury
has been established [PNR v. Brunty, G.R.
No. 169891 (2006)]
b. In a case of culpa contractual, where
neither the contributory negligence of the
plaintiff nor his last clear chance to avoid
Page 468 of 532
CIVIL LAW
the loss, would exonerate the defendant
from liability. Such contributory negligence
or last clear chance by the plaintiff merely
serves to reduce the recovery of damages
by the plaintiff but does not exculpate the
defendant from his breach of contract
[Consolidated Bank v. CA, G.R. No.
138569 (2003)]
c. When the party charged is required to act
instantaneously, and if the injury cannot be
avoided by the application of all means at
hand after peril is or should have been
discovered [Pantranco v. Baesa, G.R. No.
79050-51 (1989)]
d. The doctrine of last clear chance, as
enunciated in Anuran v. Buno, applies in a
suit between the owners and drivers of
colliding vehicles. It does not arise where a
passenger demands responsibility from the
carrier to enforce its contractual
obligations. It will be inequitable to exempt
the negligent driver of the jeepney and its
owners on the ground that the other driver
was likewise guilty of negligence
[Bustamante v. CA, G.R. No. 89880
(1991)].
Note:
• If plaintiff is the proximate cause: no
recovery can be made.
• If plaintiff is not the proximate cause:
Recovery can be made but such will be
mitigated.
• If negligence of parties is equal in degree,
then each bears his own loss.
E. LEGAL INJURY
1. Concept
In order that the law will give redress for an act
causing damage, that act must be not only
hurtful, but wrongful. The damage must be
damnum et injuria or legal injury.
To warrant the recovery of damages, there
must be:
U.P. LAW BOC TORTS AND DAMAGES
1. Right of action for a legal wrong inflicted by
the defendant
2. Damage resulting to the plaintiff therefrom
Injury v. Damage v. Damages [Custodio v.
CA, supra]
• Injury: The illegal invasion of a legal right
(i.e., legal injury)
• Damage: The loss, hurt, or harm which
results from the injury
• Damages: The compensation awarded for
the damage suffered
Distinguished from Damnum Absque
Injuria
If a person sustains actual damage (harm or
loss to his person or property) that is not
considered by law as an injury (i.e., legal
injury), such damage is regarded as damnum
absque injuria. [Custodio v. CA, G.R. No.
116100 (1996)]
The proper exercise of a lawful right cannot
constitute a legal wrong for which an action will
lie, although the act may result in damage to
another, for no legal right has been invaded.
[Custodio v. CA, supra]
There can be damage without injury in those
instances in which the loss or harm was not the
result of a violation of a legal duty. In such
cases, the consequences must be borne by the
injured person alone.
2. Elements of right
The legal rights of each member of society
constitute the measure of the corresponding
legal duties, mainly negative in character,
which the existence of those rights imposes
upon all other members of society. The breach
of these general duties whether due to willful
intent or to mere inattention gives rise to an
obligation to indemnify the injured party.
[Cangco v. Manila Railroad Co., G.R. No.
12191 (1918)]
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CIVIL LAW
3. Violation of right or legal
injury
Under Articles 19 to 21 of the Civil Code, an act
which causes injury to another may be made
the basis for an award of damages.
The elements of an abuse of right under Article
19 are the following: (1) There is a legal right or
duty; (2) which is exercised in bad faith; (3) for
the sole intent of prejudicing or injuring
another. Article 20 speaks of the general
sanction for all other provisions of law which do
not especially provide for their own sanction.
Thus, anyone who, whether willfully or
negligently, in the exercise of his legal right or
duty, causes damage to another, shall
indemnify his victim for injuries suffered
thereby.
Article 21 deals with acts contra bonus mores,
and has the following elements: 1) There is an
act which is legal; 2) but which is contrary to
morals, good custom, public order, or public
policy; 3) and it is done with intent to injure.
[Albenson v. CA, G.R. No. 88694 (1993)]
4. Classes of injury
Legal Injury
In order that a plaintiff may maintain an action
for the injuries of which he complains, he must
establish that such injuries resulted from a
breach of duty which the defendant owed to the
plaintiff, and concurrence of injury to the
plaintiff and legal responsibility by the person
causing it. The underlying basis for the award
of tort damages is the premise that an
individual was injured in contemplation of law.
Thus, there must first be the breach of some
duty and the imposition of liability for that
breach before damages may be awarded; it is
not sufficient to state that there should be tort
liability merely because the plaintiff suffered
some pain and suffering. [Custodio v. CA,
supra]
Damnum absque injuria
Under this principle, the legitimate exercise of
a person's rights, even if it causes loss to
U.P. LAW BOC TORTS AND DAMAGES
another, does not automatically result in an
actionable injury. The law does not prescribe a
remedy for the loss. This principle does not,
however, apply when there is an abuse of a
person's right, or when the exercise of this right
is suspended or extinguished pursuant to a
court order. Indeed, in the availment of one's
rights, one must act with justice, give their due,
and observe honesty and good faith. [Amonoy
v. Gutierrez, G.R. No. 140420 (2001)].
The proper exercise of a lawful right cannot
constitute a legal wrong for which an action will
lie, although the act may result in damage to
another, for no legal right has been invaded.
One may use any lawful means to accomplish
a lawful purpose and though the means
adopted may cause damage to another, no
cause of action arises in the latter's favor. An
injury or damage occasioned thereby is
damnum absque injuria. The courts can give
no redress for hardship to an individual
resulting from action reasonably calculated to
achieve a lawful means. [Custodio v. CA,
supra]
F. INTENTIONAL TORTS
1. General
Concept
Intentional torts include conduct where the
actor desires to cause the consequences of his
act or believes the consequences are
substantially certain to result from it [Aquino].
[See also B. Classification of Torts.]
Classes
1. Adopted from American
jurisprudence (Articles 26, 32, and
1314, CC)
2. Taken from the codes of civil law
jurisdictions (Articles 19, 20, 21, 23,
27, and 28, CC)
Page 470 of 532
CIVIL LAW
2. Interference with rights to
persons and property
a. Abuse of right
Art. 19, CC. Every person must, in the
exercise of his rights and in the performance
of his duties, act with justice, give everyone
his due, and observe honesty and good faith.
Elements [Albenson v. CA, G.R. No. 88694
(1993)]:
1. There is a legal right or duty;
2. Which is exercised in bad faith;
3. For the sole intent of prejudicing or injuring
another.
[See A.1. Abuse of Right]
b. Breach of statutory duty
Art. 20, CC. Every person who, contrary to
law, willfully or negligently causes damage to
another, shall indemnify the latter for the
same.
Violation of a statutory duty is negligence
[Garcia v. Salvador, G.R. No. 168512 (2007)].
Requirements [Carpio, Antonio T., Intentional
Torts in Philippine Law, 47 PHIL L. J. 649, 651-
662 (1972)]:
1. Plaintiff must establish that he belongs
to the class of persons sought to be
protected by the statute; and
2. There must be an invasion of a
particular interest the law seeks to
protect.
With the exception of laws which especially
grant civil indemnity for damages resulting
from breach thereof, Art. 20 applies to all
appropriate laws, whether criminal or
otherwise.
[See A.4. Acts Contrary to Law.]
U.P. LAW BOC TORTS AND DAMAGES
c. Contra bonus mores
Art. 21, CC. Any person who willfully causes
loss or injury to another in a manner that is
contrary to morals, good customs or public
policy shall compensate the latter for the
damage.
Elements [Albenson v. CA, supra]
1. There is an act which is legal;
2. But which is contrary to morals, good
custom, public order, or public policy;
and
3. It is done with intent to injure.
Examples of acts contra bonus mores
• Breach of Promise to Marry and Moral
seduction
• Malicious prosecution
• Public humiliation
• Oppressive dismissal
[See A.5. Acts contrary to morals]
d. Damage to property
Art. 23, CC. Even when an act or event
causing damage to another's property was
not due to the fault or negligence of the
defendant, the latter shall be liable for
indemnity if through the act or event he was
benefited.
This article is based on equity. An involuntary
act, because of its character, cannot generally
create an obligation; but when by such act its
author has been enriched, it is only just that he
should indemnify for the damages caused, to
the extent of his enrichment. The indemnity
does not include unrealized profits of the
injured party, because defendant’s enrichment
is the limit of his liability. The plaintiff has the
burden of proving the extent of the benefit or
enrichment of the defendant. [Tolentino]
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e. Rights under Art. 26, CC
Art. 26, CC. Every person shall respect the
dignity, personality, privacy and peace of
mind of his neighbors and other persons.
The following and similar acts, though they
may not constitute a criminal offense, shall
produce a cause of action for damages,
prevention and other relief:
(1) Prying into the privacy of another’s
residence;
(2) Meddling with or disturbing the
private life or family relations of
another;
(3) Intriguing to cause another to be
alienated from his friends;
(4) Vexing or humiliating another on
account of his religious beliefs, lowly
station in life, place of birth, physical
defect, or other personal condition.
Note: The enumeration under Art. 26 is merely
illustrative. It extends to “similar acts,”
regardless of whether they constitute a
criminal·offense or not. Thus, the prohibition in
No. 1 is not limited to invasion of the privacy of
residence; encroachment on one’s personal
privacy is included.
f. Right to personal dignity
Violation of the right to personal dignity is
analogous to the American law concept of
defamation. Defamation is an invasion of a
person’s right to enjoy a reputation and good
name unimpaired by false attacks which tend
to diminish the esteem in which a person is
held by men whose standard of opinion the
court can properly recognize. The reputation
that is protected is the opinion of others
[Carpio, Antonio T., Intentional Torts in
Philippine Law, supra].
Is malice required?
a. Under the Revised Penal Code: malice
is required as an element of
defamation.
b. As a tort action under Art. 26, CC:
U.P. LAW BOC TORTS AND DAMAGES
i. General rule: malice on the
part of the defendant need not
be proved by the plaintiff.
ii. Exception: malice or ill will
remain important where the
exercise of a qualified privilege
is in question.
g. Right to personal security
A violation of the right to personal security is
identical with the American intentional torts of
battery and assault.
Battery is the actual and willful infliction of
any unlawful or unauthorized violence on the
person of another, irrespective of its degree.
The interest protected by this action is the
freedom from intentional and unpermitted
contacts with the plaintiff’s person. The term
“person” includes any part of the body, or
anything attached to it and practically identified
with it. Accordingly, the slightest contact with
the plaintiff's clothes or anything attached to his
person constitutes battery. No harm or actual
damage of any kind is required.
Assault is the intentional, unlawful offer of
physical injury to another by force unlawfully
directed toward the person of another, under
such circumstances as to create a well-
founded fear of imminent battery, coupled with
the apparent present ability to effectuate the
attempt if not prevented. The interest protected
by this action is the freedom from
apprehension of a harmful or offensive
contact with the person, as distinguished from
the contact itself. No actual contact is
necessary, and the plaintiff is protected against
a purely mental disturbance of his personal
integrity.
The defendant must have intended to
interfere with the plaintiff's personal integrity to
hold him liable for assault. In short, he must
have intended to bring about an assault or a
battery. Assault, therefore, cannot be
committed through negligence. But the intent
need not be to inflict physical harm, it being
sufficient that there is an intent to arouse
Page 472 of 532
CIVIL LAW
apprehension [Carpio, Antonio T., Intentional
Torts in Philippine Law, supra].
h. Right to privacy
The right of privacy has been concisely defined
as “the right to be let alone.” The
interference of the right, to be actionable, must
be serious and outrageous, or beyond the
limits of common ideas of decent conduct.
Invasion of the right of privacy involves four
distinct types of tort:
1. intrusion upon the plaintiff's physical
and mental solitude;
2. public disclosure of private facts;
3. placing the plaintiff in false light in the
public eye; and
4. the commercial appropriation of the
plaintiff’s name or likeness.
Note: The right of privacy does not prohibit the
publication of materials which are of legitimate
public or general interest.
It has been frequently held that those who
unwillingly court public attention become
reluctant public figures and “until they have
reverted to the lawful and unexciting life led by
the great bulk of the community, they are
subject to the privileges which publishers have
to satisfy the curiosity of the public as to their
leaders, heroes, villains and victims.” [Carpio,
Antonio T., Intentional Torts in Philippine Law,
supra].
i. Right to peace of mind
Violation of the right to peace of mind under Art.
26 is akin to the American tort of intentional
infliction of mental distress (physical illness
suffered by the plaintiff as a result of the
offensive words or act). However, the view that
physical illness is immaterial in infliction of
mental distress appears to be applicable in this
jurisdiction since Art. 26 itself creates a cause
of action for violation of the right to “peace of
mind.” Violation of the right in itself constitutes
a legal injury sufficient to support the action
U.P. LAW BOC TORTS AND DAMAGES
[Carpio, Antonio T., Intentional Torts in
Philippine Law, supra].
j. Dereliction of duty
Art. 27, CC. Any person suffering material or
moral loss because a public servant or
employee refuses or neglects, without just
cause, to perform his official duty may file an
action for damages and other relief against
the latter, without prejudice to any
disciplinary administrative action that may be
taken.
This applies only to acts of nonfeasance or the
nonperformance of some acts which a person
is obliged or has responsibility to perform. The
duty of the public servant must be ministerial in
character. If the duty is discretionary, he is not
liable unless he acted in a notoriously arbitrary
manner.
The defense of good faith is not available
because an officer is under constant obligation
to discharge the duties of his office, and it is not
necessary to show that his failure to act was
due to malice or willfulness.
Requisites: [Amaro v. Sumanguit, G.R. No. L-
14986 (1962)]
1. Defendant is a public officer charged
with a performance of a duty in favor of
the plaintiff;
2. He refused or neglected without just
cause to perform the duty;
3. Plaintiff sustained material or moral
loss as a consequence of such non-
performance;
4. The amount of such damages, if
material.
k. Violation of civil and political rights
Art. 32, CC. Any public officer or employee,
or any private individual, who directly or
indirectly obstructs, defeats, violates or in
any manner impedes or impairs any of the
following rights and
liberties of another person shall be liable to
the latter for damages:
Page 473 of 532
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(1) Freedom of religion;
(2) Freedom of speech;
(3) Freedom to write for the press or to
maintain a periodical publication;
(4) Freedom from arbitrary or illegal
detention;
(5) Freedom of suffrage;
(6) The right against deprivation of property
without due process of law;
(7) The right to a just compensation when
private property is taken for public use;
(8) The right to the equal protection of the
laws;
(9) The right to be secure in one's person,
house, papers, and effects against
unreasonable
searches and seizures;
(10) The liberty of abode and of changing the
same;
(11) The privacy of communication and
correspondence;
(12) The right to become a member of
associations or societies for purposes not
contrary to law;
(13) The right to take part in a peaceable
assembly to petition the Government for
redress of grievances;
(14) The right to be a free from involuntary
servitude in any form;
(15) The right of the accused against
excessive bail;
(16) The right of the accused to be heard by
himself and counsel, to be informed of the
nature
and cause of the accusation against him, to
have a speedy and public trial, to meet the
witnesses face to face, and to have
compulsory process to secure the
attendance of witness in his behalf;
(17) Freedom from being compelled to be a
witness against one's self, or from being
forced to
confess guilt, or from being induced by a
promise of immunity or reward to make such
confession, except when the person
confessing becomes a State witness;
(18) Freedom from excessive fines, or cruel
and unusual punishment, unless the same is
imposed or inflicted in accordance with a
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

statute which has not been judicially 3. Interference with relations

declared unconstitutional; and
(19) Freedom of access to the courts. An interference with the continuance of
unimpaired interests founded upon the relation
In any of the cases referred to in this article, in which the plaintiff stands toward one or more
whether or not the defendant's act or third persons [Prosser and Keeton].
omission
constitutes a criminal offense, the aggrieved a. Family relations
party has a right to commence an entirely
separate and distinct civil action for
Art. 26, CC. Every person shall respect the
damages, and for other relief. Such civil
dignity, personality, privacy and peace of
action shall proceed independently of any
mind of his neighbors and other persons.
criminal prosecution (if the latter be
The following and similar acts, though they
instituted), and may be proved by a
may not constitute a criminal offense, shall
preponderance of evidence.
produce a cause of action for damages,
prevention and other relief: x x x
The indemnity shall include moral damages.
Exemplary damages may also be
(2) Meddling with or disturbing the
adjudicated.
private life or family relations of
another; x x x
The responsibility herein set forth is not
demandable from a judge unless his act or
omission constitutes a violation of the Penal 1. Husband and wife
Code or other penal statute.
The law expressly recognizes the right of either
spouse to sue the other without any limitations
Article 32 speaks of an officer or employee or
as to the subject matter of litigation. Litigations
person “directly or indirectly” responsible
between members of the same family are
for the violation of the constitutional rights and
expressly allowed by the Code as long as
liberties of another. Thus, it is not the actor
earnest efforts towards a compromise have
alone (i.e., the one directly responsible) who
been made. Moreover, the Code defines family
must answer for damages under Article 32; the
relations as including those between husband
person indirectly responsible has also to
and wife. It is therefore our belief that in this
answer for the damages or injury caused to the
jurisdiction, a personal tort action, like battery,
aggrieved party. Article 32 makes the persons
can be maintained by a wife against her
who are directly, as well as indirectly,
husband, or vice versa [Carpio, Antonio T.,
responsible for the transgression, joint
Intentional Torts in Philippine Law, supra].
tortfeasors [MHP Garments v. CA, G.R. No.
86720 (1994)].
2. Interferences by third persons
It is not necessary that the defendant under
The right to family relations includes the right to
Article 32 should have acted with malice or bad
consortium and to recover damages in case of
faith, otherwise, it would defeat its main
breach thereof. A spouse’s interest in his
purpose, which is the effective protection of
relationship with the other spouse is known as
individual rights. It suffices that there is a
consortium. The gist of a husband’s cause of
violation of the constitutional right of the plaintiff
action for loss of his wife’s consortium is a loss
[Vinzons-Chato v. Fortune, G.R. No. 141309
sustained by him and not the damage
(2007)].
sustained by her [Carpio, Antonio T.,
Intentional Torts in Philippine Law, supra].

Page 474 of 532

U.P. LAW BOC TORTS AND DAMAGES
Forms of interference
1. Adultery with the wife: the husband may
maintain an action not only where the
intercourse is the result of rape, but also
where the wife consents to it, or where she
herself seduces the defendant.
2. Alienation of affection: interference with
the wife’s affection and mental attitude
toward the husband. In the same manner,
the wife has a cause of action for the
alienation of her husband’s affection. The
attempt to alienate must be successful to
be actionable. Affirmative action on the part
of the defendant is required in order that he
may be liable for interference with the
marriage relation. Although the defendant
need not be motivated by spite or ill will
toward the plaintiff, the tort must
nevertheless be an intentional one,
directed at the relation itself.
a. Requisites:
i. that the defendant acted for the
purpose of effecting the relation;
and
ii. that he was a substantial factor in
causing the alienation.
b. Elements:
i. Wrongful conduct of the
defendant: intentional and
malicious enticing of a spouse
away from the other spouse
ii. Loss of affection or consortium
iii. Causal connection between such
conduct and loss
c. Can a meddling mother-in-law be
liable for alienation of affection? No.
Parents enjoy a qualified privilege to
interest themselves in the marital
affairs of their child. “An action for
alienation of affections against the
parents of one consort does not lie in
the absence of proof of malice or
unworthy motives on their part”
[Tenchavez v. Escano, G.R. No. L-
19671(1965)].
d. Liability of Parents, Guardians or
Kin. The law distinguishes between the
right of a parent to interest himself in
the marital affairs of his child and the
absence of rights in a stranger to
intermeddle in such affairs.
Page 475 of 532
CIVIL LAW
i. Such distinction between the
liability of parents and that of
strangers is only with regard to
what will justify interference.
ii. A parent is liable for alienation
of affections resulting from his
own malicious conduct, as where
he wrongfully entices his son or
daughter to leave his or her
spouse, but he is not liable
unless he acts maliciously,
without justification and from
unworthy motives.
iii. He is not liable where he acts
and advises his child in good
faith with respect to his child's
marital relations in the interest
of his child as he sees it…
iv. He may in good faith take his
child into his home and afford him
or her protection and support, so
long as he has not maliciously
enticed his child away, or does
not maliciously entice or cause
him or her to stay away from his
or her spouse. This rule has more
frequently been applied in the
case of advice given to a married
daughter, but it is equally
applicable in the case of advice
given to a son. [Tenchavez v.
Escaño, G.R. No. L-19671
(1965)].
3. Parent and child
Nowhere in the law is there a prohibition
against a child suing the parent. A child can
bring a tort action for injuries inflicted on him by
the parent through excessive punishment.
By parity of reasoning, a parent can also
institute a personal tort action against the child
under Art. 26, like an action for assault or
battery. There is no law which prohibits a
parent from suing his own child on a personal
tort [Carpio, Antonio T., Intentional Torts in
Philippine Law, supra].
U.P. LAW BOC TORTS AND DAMAGES
4. Enticement
Under Art. 26, a parent may institute a tort
action against a person who entices a child
away from home. The right to family relations
is quite broad, and includes within its embrace
the right of parents to the custody of the child.
Hence, intruding upon the parents’ right to the
child's custody is an actionable tort under Art.
26.
Can a child sue his mother’s paramour for
enticing her to leave the conjugal home
under Art. 26? Yes. The child can sue on the
basis of interference with family relations.
Family relations include those between
ascendants and descendants. Moreover, a
child has a right to an undisturbed family life.
He has an interest in the family honor and
reputation for after all he is part of the family
and he will carry the family honor and
reputation as he grows up. When the mother is
enticed away from the family home, the child is
deprived of the right to be educated by the
parent, which includes the moral and spiritual
upbringing of the child, such as the guidance of
his conscience, the development of family
affection and formation of his character
[Carpio, Antonio T., Intentional Torts in
Philippine Law, supra].
b. Social relations
Art. 26, CC. Every person shall respect the
dignity, personality, privacy and peace of
mind of his neighbors and other persons.
The following and similar acts, though they
may not constitute a criminal offense, shall
produce a cause of action for damages,
prevention and other relief: x x x
(3) Intriguing to cause another to be
alienated from his friends; x x x
The right to social relations embodied in Art. 26
imposes liability for intriguing to cause another
to be alienated from his friends. The word
intrigue implies malice or ill will, coupled with
some scheme or secret plot to bring about the
desired purpose, that is, to alienate one from
Page 476 of 532
CIVIL LAW
his friends [Carpio, Antonio T., Intentional Torts
in Philippine Law, supra].
c. Economic relations
1. Interference with contractual relations
Art. 1314, CC. Any person who induces
another to violate his contract with another
person shall be liable for damages to the
other contracting party.
Elements of tort interference [So Ping Bun v.
CA, G.R. No. 120554 (1999)]:
1. Existence of a valid contract
2. Knowledge on the part of the third
person of the existence of contract; and
3. Interference of the third person is
without legal justification or excuse.
Everyone has a right to enjoy the fruits and
advantages of his own enterprise, industry, skill
and credit. He has no right to be protected
against competition; but he has a right to be
free from malicious and wanton interference,
disturbance or annoyance. If disturbance or
loss comes as a result of competition, or the
exercise of like rights by others, it is damnum
absque injuria, unless some superior right by
contract or otherwise is interfered with. Thus, a
plaintiff loses his cause of action if the
defendant provides a sufficient justification for
such interference, which must be an equal or
superior right in themselves. The defendant
may not legally excuse himself on the ground
that he acted on a wrong understanding of his
own rights, or without malice, or bona fide, or
in the best interests of himself [Gilchrist v.
Cuddy, G.R. No. 9356 (1915)].
Bad faith/Malice is required to make the
defendant liable for damages in cases of
tortuous interference [So Ping Bun v. CA,
supra].
2. Unfair Competition
Art. 28, CC. Unfair competition in
agricultural, commercial or industrial
U.P. LAW BOC TORTS AND DAMAGES
enterprises or in labor through the use of
force, intimidation, deceit, machination or
any other unjust, oppressive or highhanded
method shall give rise to a right of action by
the person who thereby suffers damage.
In order to qualify the competition as “unfair,” it
must have two characteristics [Willaware
Products v. Jesichris Manufacturing, G.R. No.
195549 (2014)].
1. It must involve an injury to a competitor or
trade rival; and
2. It must involve acts which are
characterized as “contrary to good
conscience,” or “shocking to judicial
sensibilities,” or otherwise unlawful. In the
language of our law, these include force,
intimidation, deceit, machination or any
other unjust, oppressive or high-handed
method.
When a person starts an opposing place of
business, not for the sake of profit to himself,
but regardless of loss and for the sole purpose
of driving his competitor out of business so that
later on he can take advantage of the effects of
his malevolent purpose, he is guilty of wanton
wrong [Willaware Products v. Jesichris
Manufacturing, supra].
G. NEGLIGENCE
1. Concept
Art. 1173, CC. The fault or negligence of the
obligor consists in the omission of that
diligence which is required by the nature of
the obligation and corresponds with the
circumstances of the persons, of the time
and of the place. When negligence shows
bad faith, the provisions of Articles 1171 and
2201, paragraph 2, shall apply.
If the law or contract does not state the
diligence which is to be observed in the
Page 477 of 532
CIVIL LAW
performance, that which is expected of a
good father of a family shall be required.
Negligence
It is the omission to do something which a
reasonable man, guided by those
considerations which ordinarily regulate the
conduct of human affairs, would do, or the
doing of something which a prudent and
reasonable man would not do [Layugan v. IAC,
G.R. No. 73998 (1988)].
To determine whether or not a person has been
negligent requires determining 2 things:
1) the diligence required of the actor
under the circumstances, and
2) whether the actor has performed the
diligence required.
Failing the second requisite would lead to the
conclusion that one has been negligent.
By jumping into the sea, the employee failed to
exercise even slight care and diligence and
displayed a reckless disregard of the safety of
his person. His death was caused by his
notorious negligence. Notorious negligence
has been held to be tantamount to gross
negligence which is want of even slight care
and diligence [Ameda v. Rio, G.R. No. L-6870
(1954)].
2. Good father of a family or
reasonably prudent person
Pursuant to Art. 1173, the diligence of a good
father of a family is the standard of conduct if
the law or contract does not provide otherwise.
Test to determine the existence of
negligence: Did the defendant in doing the
alleged negligent act use that reasonable care
and caution which an ordinarily prudent man
would have used in the same situation? If not,
then he is negligent. Negligence in a given
case is not determined by reference to the
personal judgment of the actor in the situation
before him, but is determined in the light of
human experience and the facts involved in the
particular case. Conduct is said to be negligent
U.P. LAW BOC TORTS AND DAMAGES
when a prudent man in the position of the
tortfeasor would have foreseen that an effect
harmful to another was sufficiently probable to
warrant his foregoing the conduct or guarding
against its consequences [Picart v. Smith, G.R.
No. L-12219 (1918)].
3. Standard of care; emergency
rule
a. Standard of care needed in specific
circumstances
Operators of Motor Vehicles
In Relation to Cyclists
Because of the inherent differences between
motorists and cyclists, the former being
capable of greater speed and destruction,
operators of motor vehicles have a higher
standard in his duty of care [Anonuevo v. CA,
G.R. No. 130003 (2004)].
Banks
The law imposes on banks high standards in
view of the fiduciary nature of banking. Section
2 of Republic Act No. 8791 (R.A. 8791), which
took effect on 13 June 2000, declares that the
State recognizes the ‘fiduciary nature of
banking that requires high standards of
integrity and performance.’ This fiduciary
relationship means that the bank’s obligation to
observe high standards of integrity and
performance is deemed written into every
deposit agreement between a bank and its
depositor. The fiduciary nature of banking
requires banks to assume a degree of diligence
higher than that of a good father of a family
[Consolidated Bank v. CA, G.R. No. 138569
(2003)].
Experts (In General)
Those who undertake any work calling for
special skills are required not only to exercise
reasonable care in what they do but also
possess a standard minimum of special
knowledge and ability. In all employments
where peculiar skill is requisite, one who offers
his services is understood as holding himself
out to the public as possessing the degree of
skill commonly possessed by others in the
Page 478 of 532
CIVIL LAW
same employment [Far Eastern Shipping v.
CA, G.R. No. 130068 (1998)].
When a person holds himself out as being
competent to do things requiring professional
skill, he will be held liable for negligence if he
fails to exhibit the care and skill of one
ordinarily skilled in the particular work which he
attempts to do [Culion v. Philippine Motors,
G.R. No 32611 (1930)].
Doctors
Whether or not a physician has committed an
‘inexcusable lack of precaution’ in the
treatment of his patient is to be determined
according to the standard of care observed
by other members of the profession in good
standing under similar circumstances
bearing in mind the advanced state of the
profession at the time of treatment of present
state of medical science. It is in this aspect of
medical malpractice that expert testimony is
essential to establish not only the standard of
care of the profession but also that the
physician’s conduct in the treatment and care
falls below such standard [Cruz v. CA, GR. No.
122445 (1997)].
Although resident physicians are subject to the
same standard of care applicable to attending
physicians, a finding of negligence should also
depend on several competing factors, among
them, the resident physician’s authority to
make his or her own diagnosis, the degree of
supervision of the attending physician over him
or her, and the shared responsibility between
him or her and the attending physicians
[Casumpang v. Cortejo, G.R. Nos. 171127,
171217 & 17122 (2015)].
Pharmacists
The profession of pharmacy, it has been said
again and again, is one demanding care and
skill. Even under the first conservative
expression, “ordinary care” with reference to
the business of a druggist…must be held to
signify “the highest practicable degree of
prudence, thoughtfulness, and vigilance, and
most exact and reliable safeguards consistent
with the reasonable conduct of the business in
order that human life may not constantly be
U.P. LAW BOC TORTS AND DAMAGES
exposed to the danger flowing from the
substitution of deadly poisons for harmless
medicine” [US v. Pineda, G.R. No. L-12858
(1918)].
Mistake is negligence and care is no defense
[Mercury Drug v. de Leon, G.R. No. 165622
(2008)].
Possessors of Extremely Dangerous
Instrumentalities
[A] higher degree of care is required of
someone who has in his possession or under
his control an instrumentality extremely
dangerous in character, such as dangerous
weapons or substances. Such person in
possession or control of dangerous
instrumentalities has the duty to take
exceptional precautions to prevent any injury
being done thereby. Unlike the ordinary affairs
of life or business which involve little or no risk,
a business dealing with dangerous weapons
requires the exercise of a higher degree of care
[Pacis v. Morales, G.R. No. 169467 (2010)].
Children
Take into account the specific characteristic of
the child in question
The conduct of an infant of tender years is not
to be judged by the same rule, which governs
that of an adult. …The care and caution
required of a child is according to his maturity
and capacity only, and this is to be determined
in each case by the circumstances of the case
[Taylor v. Manila Railroad, G.R. No. 4977
(1910)].
“Age brackets” standard
No contributory negligence can be imputed to
children below 9 years old [Jarco Marketing v.
CA, G.R. No. 129792 (1999)].
Measure the acts of the child against “average
conduct of persons his age and experience”
The degree of care required to be exercised
must vary with the capacity of the person
endangered to care for himself. …The
standard of conduct to which a child must
conform for his own protection is that degree of
care ordinarily exercised by children of the
same age, capacity, discretion, knowledge
Page 479 of 532
CIVIL LAW
and experience under the same or similar
circumstances [Ylarde v. Aquino, G.R. No. L-
33722 (1988)].
b. Emergency rule
An individual who suddenly finds himself in a
situation of danger and is required to act
without much time to consider the best means
that may be adopted to avoid the impending
danger, is not guilty of negligence if he fails to
undertake what subsequently and upon
reflection may appear to be a better solution,
unless the emergency was brought by his own
negligence [Gan v. CA, GR. No. 44264 (1988)].
4. Unreasonable risk of harm
Negligence, as it is commonly understood, is a
conduct that creates an undue risk of harm to
others. [Valenzuela v. CA, 253 SCRA 303
(1996)].
However, in negligence, risk means a danger
which is apparent, or should be apparent, to
one in the position of the actor. [Prosser and
Keeton, pp. 169-170]. Such type of risk is
unreasonable risk. If such unreasonable risk
results in injury to the plaintiff, the latter can
recover from the defendant. [Phoenix
Construction vs. IAC, G.R. No. L-65295
(1987)].
5. Evidence
Rule 131. Sec. 1, ROC. Burden of proof. —
Burden of proof is the duty of a party to
present evidence on the facts in issue
necessary to establish his claim or defense
by the amount of evidence required by law.
Rule 131. Sec. 3, ROC. Disputable
presumptions. — The following
presumptions are satisfactory if
uncontradicted, but may be contradicted and
overcome by other evidence: x x x
(d) That a person takes ordinary care of his
concerns; x x x
U.P. LAW BOC TORTS AND DAMAGES
Rule 133. Sec. 1, ROC. Preponderance of
evidence, how determined. — In civil cases,
the party having burden of proof must
establish his case by a preponderance of
evidence. x x x
General rule
In accordance with the fundamental principle of
proof that the burden thereof is upon the
plaintiff, it is the duty of him who shall claim
damages to establish their existence.
Negligence is not presumed, but must be
proven by him who alleges it. [Taylor v. Manila
Electric Railroad, G.R. No. L-4977 (1910),
citing Scaevola, Jurisprudencia del Codigo
Civil, vol. 6, pp. 551, 552].
It is presumed that a person takes ordinary
care of his concerns [Rule 131, Sec. 3(d),
Rules of Court].
The quantum of proof required is a
preponderance of evidence [Rule 133, Sec.1,
Rules of Court].
Exception
There are exceptional cases when the rules or
the laws provide for cases when negligence is
presumed [See G.6. Presumption of
Negligence].
6. Presumption of negligence
a. In motor vehicle mishaps
1. Liability of the owner
Art. 2184, CC. In motor vehicle mishaps, the
owner is solidarily liable with his driver, if the
former, who was in the vehicle, could have,
by the use of the due diligence, prevented
the misfortune. x x x
If the owner was not in the motor vehicle, the
provisions of Article 2180 are applicable.
Page 480 of 532
CIVIL LAW
Art. 2186, CC. Every owner of a motor
vehicle shall file with the proper government
office a bond executed by a government-
controlled corporation or office, to answer for
damages to third persons. The amount of the
bond and other terms shall be fixed by the
competent public official.
The owner is solidarily liable with the driver for
motor vehicle mishaps when:
a. The owner was inside the vehicle at
the time; and
b. The owner could have, by the use of
due diligence, prevented the misfortune.
If the owner was not inside the vehicle, he may
be held liable under Art. 2180.
The presumption is against the owner of the
motor vehicle. He has the burden of proving
due diligence. Thus, once a driver is proven
negligent in causing damage, the law
presumes the vehicle owner equally negligent
and imposes upon the latter the burden of
proving proper selection and supervision of the
employee as a defense [Carticiano v. Nuval,
G.R. No. 138054 (2000), citing Sangco,
Philippine Law on Torts and Damages, Vol. II,
1994 ed., pp. 555-556].
The registered owner/operator of a passenger
vehicle is jointly and severally liable with the
driver for damages incurred by passengers or
third persons as a consequence of injuries or
death sustained in the operation of said
vehicles. Regardless of who the actual owner
of a vehicle is, the operator of record continues
to be the operator of the vehicle as regards the
public and third persons and as such is directly
and primarily responsible for the
consequences incident to its operation, so that
in contemplation of law, such owner/operator of
record is the employer of the driver, the actual
operator and employer being considered
merely as his agent [Vargas v. Langcay, G.R.
No. 17459 (1962)].
The registered owner of a motor vehicle is
primarily liable for the damage or injury caused
to another, but he has a right to be indemnified
U.P. LAW BOC TORTS AND DAMAGES
by the real owner of the amount he was
required to pay. This rule applies both to private
and to common carriers with respect to their
passengers [Tamayo v. Aquino, G.R. No. L-
12634 (1959)].
The law does not require that a person must
possess a certain measure of skill or
proficiency either in the mechanics of driving or
in the observance of traffic rules before he may
own a motor vehicle. The test of his negligence,
within the meaning of Article 2184, is his
omission to do that which the evidence of his
own senses tells him he should do in order to
avoid the accident. And as far as perception is
concerned, absent a minimum level imposed
by law, a maneuver that appears to be fraught
with danger to one passenger may appear to
be entirely safe and commonplace to another.
Were the law to require a uniform standard of
perceptiveness, employment of professional
drivers by car owners who, by their very
inadequacies, have real need of drivers’
services, would be effectively proscribed
[Caedo v. Yu Khe Tai, G.R. No. L-20392
(1968)].
The owner of the motor vehicle is not liable for
the misfortune unless the negligent acts of the
driver are continued for such a length of time
as to give the owner a reasonable opportunity
to observe them and to direct his driver to
desist therefrom. The act complained of must
be continued in the presence of the owner for
such a length of time that the owner, by his
acquiescence, makes his driver’s act his own
[Chapman v. Underwood, G.R. No. L-9010
(1914)].
2. Liability of the driver
Art. 2184, CC. x x x It is disputably presumed
that a driver was negligent, if he had been
found guilty of reckless driving or violating
traffic regulations at least twice within the
next preceding two months.
Page 481 of 532
CIVIL LAW
Art. 2185, CC. Unless there is proof to the
contrary, it is presumed that a person driving
a motor vehicle has been negligent if at the
time of the mishap, he was violating any
traffic regulation.
Art. 2184 establishes a presumption of
negligence on the part of the driver based on
previous violations of traffic regulations.
Art. 2185 establishes a presumption of
negligence on the basis of simultaneous
violations.
Under Article 2185, a legal presumption of
negligence arises if at the time of the mishap,
a person was violating any traffic regulation.
However, a causal connection must exist
between the injury received and the violation of
the traffic regulation. It must be proven that the
violation of the traffic regulation was the
proximate or legal cause of the injury or that it
substantially contributed thereto [Tison v. Sps.
Tomasin, G.R. No. 173180 (2011)].
Despite the presumption of negligence arising
from the traffic regulation violation, the claimant
must still prove that such negligence was the
proximate cause in order to successfully claim
for damages [Sanitary Steam v. CA, G.R. No.
119092 (1998)].
Article 2185 was not formulated to compel or
ensure obeisance by all to traffic rules and
regulations. It does not apply to non-motorized
vehicles, in recognition of the unequal footing
of standards applicable to motor vehicles as
opposed to other types of vehicles [Añonuevo
v. CA, supra].
U.P. LAW BOC TORTS AND DAMAGES
b. Possession of dangerous
weapons or substances
Art. 2188, CC. There is prima facie
presumption of negligence on the part of the
defendant if the death or injury results from
his possession of dangerous weapons or
substances, such as firearms and poison,
except when the possession or use thereof
is indispensable in his occupation or
business.
c. Common carriers
Art. 1734, CC. Common carriers are
responsible for the loss, destruction, or
deterioration of the goods, unless the same
is due to any of the following causes only:
(1) Flood, storm, earthquake, lightning, or
other natural disaster or calamity;
(2) Act of the public enemy in war, whether
international or civil;
(3) Act or omission of the shipper or owner of
the goods;
(4) The character of the goods or defects in
the packing or in the containers;
(5) Order or act of competent public
authority.
Art. 1735, CC. In all cases other than those
mentioned in Nos. 1, 2, 3, 4, and 5 of the
preceding article, if the goods are lost,
destroyed or deteriorated, common carriers
are presumed to have been at fault or to
have acted negligently, unless they prove
that they observed extraordinary diligence as
required in Article 1733.
Art. 1752, CC. Even when there is an
agreement limiting the liability of the
common carrier in the vigilance over the
goods, the common carrier is disputably
presumed to have been negligent in case of
their loss, destruction or deterioration.
Page 482 of 532
CIVIL LAW
d. Res ipsa loquitur
Definition
Literally, res ipsa loquitur means “the thing
speaks for itself” [Professional Services, Inc. v.
Agana, G.R. No. 126297(2007)].
Statement of the Rule
Where the thing which causes injury is shown
to be under the management of the defendant
(or his servants), and the accident is such as in
the ordinary course of things does not happen
if those who have the management (or control)
used proper care, it affords reasonable
evidence, in the absence of an explanation by
the defendant, that the accident arose from (or
was caused by the defendants) want of care
[Tan v. JAM Transit, G.R. No. 183198 (2009)].
Where the thing which caused the injury,
without the fault of the injured, is under the
exclusive control of the defendant and the
injury is such that it should not have occurred if
he, having such control used proper care, it
affords reasonable evidence, in the absence of
explanation that the injury arose from the
defendant’s want of care, and the burden of
proof is shifted to him to establish that he has
observed due care and diligence [Professional
Services v. Agana, G.R. No. 126297(2007)].
Elements [Ramos v. CA, G.R. No. 124354
(1999)]
1. The accident is of a kind which ordinarily
does not occur in the absence of
someone’s negligence;
2. It is caused by an instrumentality within the
exclusive control of the defendant or
defendants; and
3. The possibility of contributing conduct,
which would make the plaintiff responsible,
is eliminated.
Note: In Professional Services v. Agana, supra,
the Court added “the absence of explanation
by the defendant” as a fourth element.
1st element: Nature of the accident
As a matter of common knowledge and
experience, the very nature of certain types of
occurrences may justify an inference of
U.P. LAW BOC TORTS AND DAMAGES
negligence on the part of the person who
controls the instrumentality causing the injury
in the absence of some explanation by the
defendant who is charged with negligence
[Ramos v. CA, supra].
2nd element: Control over the cause
Of the three elements, the fundamental
element is the “control of instrumentality”
which caused the damage. Such element of
control must be shown to be within the
dominion of the defendant [Ramos v. CA,
supra].
General rule: The instrumentality causing the
injury must be under the exclusive control of
the person sought liable.
Exception: “Control and management” is
sufficient [Professional Services v. Agana,
supra].
3rd element: No contribution to the injury
from the injured
It is not necessary that the plaintiff be
completely inactive, but merely that there be
evidence removing the inference of the
plaintiff’s own responsibility [Prosser and
Keeton, supra at 254].
Effect of direct evidence
Res ipsa loquitur can only be invoked when
under the circumstances involved, direct
evidence of negligence or direct cause of the
injury is absent and not readily available.
It has generally been held that the presumption
of inference arising from the doctrine cannot be
availed of, or is overcome, where plaintiff has
knowledge and testifies or presents evidence
as to the specific act of negligence which is the
cause of the injury complained of or where
there is direct evidence as to the precise cause
of the accident and all the facts and
circumstances attendant on the occurrence
clearly appear [Layugan v. IAC, G.R. No.
73998 (1988)]
However, notwithstanding the doctrine in
Layugan, it does not mean that res ipsa loquitur
can only be invoked in the complete absence
of other evidence. The rule allows the plaintiff
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CIVIL LAW
to present enough of the attending
circumstances to invoke the doctrine, “along
with the proof of the accident” [Ramos v. CA,
supra].
Nature of the rule
Res ipsa loquitur is in the nature of a
procedural rule, a rule of evidence and not a
rule of substantive law; thus, it does not create
or constitute an independent or separate
ground of liability. It is merely a mode of proof
or a mere procedural convenience. It is a rule
peculiar to the law of negligence that
recognizes that prima facie negligence may be
established without direct proof and furnishes
a substitute for specific proof of negligence and
relieves a plaintiff of the burden of producing
specific proof of negligence [Ramos v. CA,
supra].
Effect of the rule
Mere invocation and application of the doctrine
does not dispense with the requirement of
proof of negligence. It is simply a step in the
process of such proof, permitting the plaintiff to
present along with the proof of the accident,
enough of the attending circumstances to
invoke the doctrine, creating an inference or
presumption of negligence, and to thereby
place on the defendant the burden of going
forward with the proof [Ramos v. CA, supra].
Res Ipsa Loquitur vs. expert testimony in
medical negligence cases
It is apparent that medical negligence cases
are best proved by opinions of expert
witnesses belonging in the same general
neighborhood and in the same general line of
practice as defendant physician or surgeon
[Lucas v. Tuaño, G.R. No. 178763 (2009)].
Expert testimony is essential to establish the
standard of care of the profession and whether
or not the physician’s conduct in the treatment
and care falls below such standard. Inasmuch
as the causes of the injuries involved in
malpractice actions are determinable only in
the light of scientific knowledge, expert
testimony is usually necessary to support the
conclusion as to causation [Cruz v. CA, supra].
U.P. LAW BOC TORTS AND DAMAGES
When the doctrine of res ipsa loquitur is availed
by the plaintiff, the need for expert medical
testimony is dispensed with because the injury
itself provides the proof of negligence. The
reason is that the general rule on the necessity
of expert testimony applies only to such
matters clearly within the domain of medical
science, and not to matters that are within the
common knowledge of mankind which may be
testified to by anyone familiar with the facts
[Ramos v. CA, supra].
7. Defenses
a. Due Diligence to Prevent the
Damage under Art. 2180, CC.
Art. 2180, CC. The obligation imposed by
Article 2176 is demandable not only for one’s
own acts or omissions, but also for those of
persons for whom one is responsible.
xxx
(8) The responsibility treated of in this article
shall cease when the persons herein
mentioned prove that they observed all the
diligence of a good father of a family to
prevent damage.
The presumption of negligence on the part of
the master or employer, either in the selection
of servant/employee or in the supervision,
when an injury is caused by the negligence of
a servant/employee may be rebutted if the
employer shows to the satisfaction of the court
that in the selection and supervision, he has
exercised the care and diligence of a good
father of a family [Ramos v. PEPSI, G.R. No.
L-22533 (1967)].
b. Acts of Public Officers
A public officer is not liable for damages which
a person may suffer arising from the just
performance of his official duties and within the
scope of his assigned tasks. An officer who
acts within his authority to administer the affairs
of the office which he/she heads is not liable for
damages that may have been caused to
another, as it would virtually be a charge
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CIVIL LAW
against the Republic, which is not amenable to
judgment for monetary claims without its
consent. However, a public officer is by law not
immune from damages in his/her personal
capacity for acts done in bad faith which, being
outside the scope of his authority, are no longer
protected by the mantle of immunity for official
actions. [Vinzons-Chato v. Fortune, G.R. No.
141309 (2008)].
c. Authority of Law
Art. 5, CC. Acts executed against the
provisions of mandatory or prohibitory laws
shall be void, except when the law itself
authorizes their validity.
Art. 11, RPC. The following do not incur any
criminal liability: xxx
(5) Any person who acts in the fulfillment of a
duty or in the lawful exercise of a right or office
xxx
(8) Any person who acts in obedience to an
order issued by a superior for some lawful
purpose.
d. Damnum Absque Injuria
There can be damage without injury in those
instances in which the loss or harm was not the
result of a violation of a legal duty.
Right to recover damages does not arise from
the mere fact that the plaintiff suffered losses.
To warrant the recovery of damages, there
must be both a right of action for a legal wrong
inflicted by the defendant, and damage
resulting to the plaintiff therefrom. Wrong
without damage, or damage without wrong,
does not constitute a cause of action, since
damages are merely part of the remedy
allowed for the injury caused by a breach or
wrong [Custodio v. CA, G.R. No. 116100
(1996)].
One who made use of his own legal right does
no injury, thus, whatever damages are caused
to another should be borne solely by him under
the principle of damnum absque injuria. This
U.P. LAW BOC TORTS AND DAMAGES
principle, however, does not apply when there
is an abuse in the exercise of a person’s right.
[Amonoy v. Gutierrez, G.R. No. 140420 (2001)]
e. Plaintiff’s Negligence is the
Proximate Cause
Art. 2179, CC. When the plaintiff’s own
negligence was the proximate cause of his
injury, he cannot recover damages. x x x
This defense of plaintiff’s negligence as
proximate cause is absolute, for it bars
recovery on the part of the plaintiff. In Manila
Electric v. Remoquillo, supra, the Court did not
allow recovery by Magno, ruling that his death
was primarily caused by his own negligence
and in some measure by the too close
proximity of the “media agua” to the electric
wire.
If the plaintiff in a negligence action, by his own
carelessness contributed to the principal
occurrence, that is, to the accident, as one of
the determining causes thereof, he cannot
recover [Bernardo v. Legaspi, G.R. No. 9308
(1914)].
f. Contributory Negligence of the
Plaintiff
Art. 2179, CC. x x x But if his negligence was
only contributory, the immediate and
proximate cause of the injury being the
defendant's lack of due care, the plaintiff may
recover damages, but the courts shall
mitigate the damages to be awarded.
Art. 2214, CC. In quasi-delicts, the
contributory negligence of the plaintiff shall
reduce the damages that he may recover.
Definition
Contributory negligence is conduct on the part
of the injured party, contributing as a legal
cause to the harm he has suffered, which falls
below the standard which he is required to
conform for his own protection. There is
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CIVIL LAW
contributory negligence when the party’s act
showed lack of ordinary care and foresight that
such act could cause him harm or put his life in
danger [NPC v. Heirs of Casionan, G.R. No.
165969 (2008)].
Contributory negligence does not defeat an
action if it can be shown that the defendant
might, by the exercise of reasonable care and
prudence, have avoided the consequences of
the injured party's negligence. Where the
plaintiff contributes to the principal occurrence
as one of its determining factors, he cannot
recover. Where, in conjunction with the
occurrence, he contributes only to his own
injury, he may recover the amount that the
defendant responsible for the event should pay
for such injury, less a sum deemed a suitable
equivalent for his own imprudence [MH Rakes
v. Atlantic, G.R. No. L-1719 (1907)].
The defense of contributory negligence does
not apply in criminal cases committed through
reckless imprudence, since one cannot allege
the negligence of another to evade the effects
of his own negligence [Genobiagon v. CA, G.R.
No. 40452 (1989)].
g. Fortuitous Event
Art. 1174, CC. Except in cases expressly
specified by the law, or when it is otherwise
declared by stipulation, or when the nature of
the obligation requires the assumption of
risk, no person shall be responsible for those
events which, could not be foreseen, or
which, though foreseen, were inevitable.
Elements of caso fortuito [Juntilla v.
Fontanar, G.R. No. L-45637 (1985)]:
1. The cause of the unforeseen and
unexpected occurrence, or of the failure of
the debtor to comply with his obligation,
must be independent of the human will;
2. It must be impossible to foresee the event
or if it can be foreseen, it must be
impossible to avoid;
3. The occurrence must be such as to render
it impossible for the debtor to fulfill his
obligation in a normal manner; and
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

4. The obligor must be free from any

participation in the aggravation of the
injury resulting to the creditor.
h. Plaintiff’s Assumption of
Risk/Volenti Non Fit Unjuria
The doctrine of volenti non fit injuria (that to
which a person assents is not presumed in law
as injury) refers to self-inflicted injury or to the
consent to injury which precludes the recovery
of damages by one who has knowingly and
voluntarily exposed himself to danger, even if
he is not negligent in doing so [Nikko Hotel v.
Reyes, G.R. No. 154259, (2005)].
Requisites [Abrogar v. Cosmos Bottling, G.R.
No. 164749 (2017)]:
1. That the plaintiff had actual knowledge of
the danger;
2. That he understood and appreciated the
risk from the danger; and
3. That he voluntarily exposed himself to such
risk.
The doctrine of assumption of risk does not
apply in the ff. cases:
1. If an emergency is found to exist or if
the life or property of another is in
peril or when he seeks to rescue his
endangered property [Ilocos Norte v.
CA, G.R. No. 53401 (1989)].
2. Even if respondent Reyes assumed the
risk of being asked to leave the party,
petitioners, under Articles 19 and 21
of the CC, were still under the
obligation to treat him fairly in order not
to expose him to unnecessary ridicule
and shame [Nikko Hotel v. Roberto
Reyes, supra].
However, when the action arises from or out
of any act, activity, or conduct of any public
officer involving the exercise of powers or
authority arising from Martial Law including
the arrest, detention and/or trial of the
plaintiff, the same must be brought within
one (1) year.
Art. 1150, CC. The time for prescription for
all kinds of actions, when there is no special
provision which ordains otherwise, shall be
counted from the day they may be brought.
Prescription periods:
" 4 years for quasi-delict
! 1 year for defamation [Art. 1147, CC]
It is clear that the prescriptive period must be
counted when the last element occurs or takes
place, the time of the commission of an act or
omission violative of the right of the plaintiff,
which is the time when the cause of action
arises. Thus, the prescription period begins
from the day the quasi-delict is committed
[Kramer v. CA, G.R. No. 83524 (1989)].
j. Waiver
Art. 6, CC. Rights may be waived, unless the
waiver is contrary to law, public order, public
policy, morals, or good customs or
prejudicial to a third person with a right
recognized by law.
Art. 1171, CC. Responsibility arising from
fraud is demandable in all obligations. Any
waiver of an action for future fraud is void.

i. Prescription k. Emergency Rule or Sudden Peril

Art. 1146, CC. The following actions must be [See G.3.b. Emergency Rule.]
instituted within four years:

(1) Upon an injury to the rights of the

plaintiff;
(2) Upon a quasi-delict;

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U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

Who may recover

H. SPECIAL LIABILITY IN Although the article used the term “consumer”,
PARTICULAR ACTIVITIES such term includes a “user” and “purchaser” of
the injuriously defective food product or toilet
article. The person who may recover need not
1. In general; concept be the purchaser of the foodstuff or toilet
article.
While any person may be liable for a quasi-
delict or tort, the law has also identified specific
individuals as being liable for particular types of
3. Nuisance
injuries under certain conditions.
Art. 694, CC. A nuisance is any act,
omission, establishment, business,
2. Products liability; condition of property, or anything else which:
manufacturers or processors (1) Injures or endangers the health or
safety of others; or
Art. 2187, CC. Manufacturers and (2) Annoys or offends the senses; or
processors of foodstuffs, drinks, toilet (3) Shocks, defies or disregards
articles and similar goods shall be liable for decency or morality; or
death or injuries caused by any noxious or (4) Obstructs or interferes with the free
harmful substances used, although no passage of any public highway or street, or
contractual relation exists between them and any body of water; or
the consumers. (5) Hinders or impairs the use of
property.
Under the foregoing provision, liability is not
made to depend upon fault or negligence of the Definition of a Nuisance
manufacturer or processor. The provision A nuisance is that which unlawfully annoys or
likewise dispensed with any contractual does damage to another, or anything that
relation between the manufacturer and the works an injury, harm or prejudice to an
consumer, thereby clearly implying that liability individual or the public. The term “nuisance” is
is imposed by law as a matter of public policy. applied to that class of wrongs which arises
from the unreasonable, unwarrantable, or
Requisites of Liability unlawful use by a person of his own property,
1. Defendant is a manufacturer or possessor and which produces such material annoyance,
of foodstuff, drinks, toilet articles and inconvenience, discomfort or hurt, that the law
similar goods; will presume a consequent damage.
2. He used noxious or harmful substances in
the manufacture or processing of the NUISANCE NEGLIGENCE
foodstuff, drinks or toilet articles consumed Whether the
Whether it was
or used by the plaintiff; defendant’s use of
unreasonable for the
3. Plaintiff’s death or injury was caused by the his property was
defendant to act as he
product so consumed or used; and unreasonable as to
did in view of the
4. The damages sustained and claimed by the plaintiff, without
threatened danger or
the plaintiff and the amount thereof. regard to
harm to one in
foreseeability of
plaintiff’s position.
Burden of proof injury.
The burden of proof that the product was in a Liability is for the
Liability is based on
defective condition at the time it left the hands resulting injury to
a want of proper
of the manufacturer and particular seller is others regardless of
care
upon the injured plaintiff. the degree of care or

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U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

skill exercised to at all times the free use by the public of the said
avoid such injury properties.
Principles ordinarily
apply where the Private
Principles ordinarily This nuisance is one which violates only private
cause of action is for
apply where the
continuing harm rights and produces damage to but one or a
cause of action is
caused by continuing few persons.
for harm resulting
or recurrent acts
from one act which
which cause Mixed
created an
discomfort or It may be a public nuisance because it violates
unreasonable risk
annoyance to plaintiff public rights to the injury of many persons, and
of injury.
in the use of his it may also be private in character in that it
property. produces special injury to private rights to any
extent beyond the injury to the public.
Art. 695, CC. Nuisance is either public or
private. A public nuisance affects a Art. 696, CC. Every successive owner or
community or neighborhood or any possessor of property who fails or refuses to
considerable number of persons, although abate a nuisance in that property started by
the extent of the annoyance, danger or a former owner or possessor is liable
damage upon individuals may be unequal. A therefor in the same manner as the one who
private nuisance is one that is not included created it.
in the foregoing definition.
Art. 697, CC. The abatement of a nuisance
Classification of Nuisances does not preclude the right of any person
injured to recover damages for its past
1. According to Nature existence.

Nuisance per se or at law Art. 699, CC. The remedies against a public
This is an act, occupation or structure which is nuisance are:
a nuisance at all times and under any (1) A prosecution under the Penal Code
circumstances, regardless of location or or any local ordinance; or
surroundings. Examples include gambling (2) A civil action; or
houses, houses of ill fame, etc. (3) Abatement, without judicial
proceedings.
Nuisance per accidens or in fact
This becomes a nuisance by reason of Criminal prosecution is only for a public
particular facts and circumstances surrounding nuisance, not a private one. Public
the otherwise harmless cause of the nuisance. nuisances are offenses against the State.

2. According to Scope of Injurious Effects
Public
This nuisance is a direct encroachment upon
public rights or property. It is the doing of or
failure to do something that injuriously affects
the safety, health or morals of the public, or
works some substantial annoyance,
inconvenience, or injury to the public. An
example would be a house constructed on a
public street or a river bed, since this obstructs
Art. 703, CC. A private person may file an
action on account of a public nuisance, if it is
specially injurious to himself.
An individual has no right of action against a
public nuisance. However, an individual who
has suffered some special damage different
from that sustained by the general public,
may maintain a suit in equity for an injunction
to abate it, or an action for damages which
he has sustained. If an individual has
suffered a particular harm, the action

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U.P. LAW BOC TORTS AND DAMAGES
becomes a tort, in which case the nuisance
is treated as a private nuisance with respect
to such person.
Art. 704, CC. Any private person may abate
a public nuisance which is specially injurious
to him by removing, or if necessary, by
destroying the thing which constitutes the
same, without committing a breach of the
peace, or doing unnecessary injury. But it is
necessary:
(1) That demand be first made upon the
owner or possessor of the property to abate
the nuisance;
(2) That such demand has been
rejected;
(3) That the abatement be approved by
the district health officer and executed with
the assistance of the local police; and
(4) That the value of the destruction
does not exceed three thousand pesos.
Art. 705, CC. The remedies against a private
nuisance are:
(1) A civil action; or
(2) Abatement, without judicial
proceedings.
Art. 706, CC. Any person injured by a private
nuisance may abate it by removing, or if
necessary, by destroying the thing which
constitutes the nuisance, without committing
a breach of the peace or doing unnecessary
injury. However, it is indispensable that the
procedure for extrajudicial abatement of a
public nuisance by a private person be
followed.
Art. 707, CC. A private person or a public
official extrajudicially abating a nuisance
shall be liable for damages:
(1) If he causes unnecessary injury; or
(2) If an alleged nuisance is later
declared by the courts to be not a real
nuisance.
Page 489 of 532
CIVIL LAW
b. Extrajudicial Abatement
The remedy of extrajudicial abatement is
available:
1. When there is a public nuisance; or
2. When there is a private nuisance, but the
destruction of the thing must not exceed
P3,000.
Requisite for the exercise of the right to
extrajudicially abate nuisances:
1. The right must be exercised only in cases
of urgent or extreme necessity, and if such
nuisance is especially injurious to him. The
summary abatement should be resorted to
within a reasonable time after knowledge of
the nuisance.
2. Demand to abate the nuisance must be
made on the owner of the property
originating the nuisance, and such demand
must have been rejected.
3. Notice of the intention to abate must be
given to the one causing the nuisance,
within a reasonable time.
4. The abatement must be approved by the
District Health Officer.
5. The local police must assist in the exercise
of the right to abate extrajudicially.
6. The means employed must be reasonable,
without causing any breach of peace or
unnecessary injury. The property must not
be destroyed, unless it is absolutely
necessary to do so.
c. Defenses to action on
nuisances
1. Public necessity
Private interest must yield to the public good.
The creation of a nuisance amounts to taking
of property; therefore, just compensation must
be made.
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

2. Estoppel 4. Violation of constitutional

One who voluntarily places himself in a
situation whereby he suffers an injury will not rights; violation of civil
be heard to say that his damage is due to a liberties
nuisance maintained by another.
Persons who violate constitutional rights and
3. Non-existence of the nuisance civil liberties are liable for damages, regardless
of whether the act or omission which lead to
4. Impossibility of abatement impairment of such rights constitutes a criminal
offense.
PUBLIC PRIVATE
NUISANCE NUISANCE Art. 32, CC. Any public officer or employee,
Affects a or any private individual, who directly or
community or indirectly obstructs, defeats, violates or in
neighborhood any manner impedes or impairs any of the
or any following rights and liberties of another
considerable person shall be liable to the latter for
Affects the
number of damages:
individual or
persons, 1. Freedom of religion
Definition a number of
although the 2. Freedom of speech
individuals
extent of the 3. Freedom to write for the press or to
only
annoyance, maintain a periodical publication
danger, or 4. Freedom from arbitrary or illegal
damage upon detention
individuals may 5. Freedom of suffrage
be unequal 6. The right against deprivation of
Criminal property without due process of law
prosecution, Civil action 7. The right to just compensation when
civil action (abatement, property is taken for public use
(abatement, damages, 8. The right to equal protection of the
Remedies
damages, injunction), laws
injunction), extrajudicial 9. The right to be secure in one’s
extrajudicial abatement person, house, papers and effects against
abatement unreasonable searches and seizures
City or 10. The liberty of abode and of changing
municipal the same
Who may mayor, private Any private 11. The right to privacy of
institute person (only if person communication and correspondence
the the nuisance is injured by 12. The right to become a member of
complaint especially the nuisance associations and societies for purposes not
injurious to contrary to law
him) 13. The right to take part in a peaceable
assembly and petition the government for
redress of grievances
14. The right to be free from involuntary
servitude in any form
15. The right of the accused against
excessive bail
16. The right of the accused to be heard
by himself and counsel, to be informed of the
nature and the cause of the accusation

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U.P. LAW BOC TORTS AND DAMAGES
against him, to have a speedy and public
trial, to meet the witnesses face to face, to
have compulsory process to secure the
attendance of witnesses on is behalf;
17. Freedom from being compelled to be
a witness against one’s self, or from being
forced to confess his guilt, or from being
induced by a promise of immunity or reward
to make such confession, except when the
person confessing becomes a State witness.
18. Freedom from excessive fines, or
cruel and unusual punishment, unless the
same is imposed or inflicted in accordance
with a statute which has not been judicially
declared unconstitutional;
19. Freedom of access to the courts
In any of the cases referred to in this article,
whether or not the defendant’s act or
omission constitutes a criminal offense, the
aggrieved party has a right to commence an
entirely separate and distinct civil action for
damages, and for other relief. Such civil
action shall proceed independently of any
criminal prosecution (if the latter be
instituted) and may be proved by a
preponderance of evidence.
The indemnity shall include moral damages.
Exemplary damages may also be
adjudicated.
The responsibility herein set forth is not
demandable from a judge unless his act or
omission constitutes a violation of the Penal
code or any other penal statute.
Art. 32, CC
Speaks of a particular specie of an “act” that
may give rise to an action for damages against
a public officer, and that is, a tort for impairment
of rights and liberties. [Vinzons-Chato v.
Fortune, supra]
Not only public officers but also private
individuals can incur civil liability for violation of
rights enumerated therein. Because the
provision speaks of an officer, employee or
person “directly or indirectly” responsible for
the violation of the constitutional rights and
liberties of another, it is not the actor alone who
Page 491 of 532
CIVIL LAW
must answer for damages under Article 32. It is
not even necessary that the defendant should
have acted with malice or bad faith, otherwise,
it would defeat its main purpose, which is the
effective protection of individual rights. [Silahis
v. Soluta, G.R. No. 163087 (2006)]
It is obvious that the purpose of Art. 32 is to
provide a sanction to the deeply cherished
rights and freedoms enshrined in the
Constitution.
Its message is clear; no man may seek to
violate those sacred rights with impunity. In
times of great upheaval or of social and political
stress, when the temptation is strongest to
yield. [Aberca, et al. v. Ver, et al., G.R. No.
69866(1988)].
5. Violation of rights committed
by public officers
Art. 34, CC. When a member of a city or
municipal police force refuses or fails to
render aid or protection to any person in
case of danger to life or property, such
peace officer shall be primarily liable for
damages, and the city or municipality shall
be subsidiarily responsible therefor. The civil
action herein recognized shall be
independent of any criminal proceedings,
and a preponderance of evidence shall
suffice to support such action.
Art. 34 covers a situation where
a. There is danger to the life or property
of a person;
b. A member of a city or municipal police
force who is present in the scene
refused or failed to render aid or
protection to the person; and
c. Damages are caused whether to the
person and/or property of the victim.
U.P. LAW BOC TORTS AND DAMAGES
Nature of liability
a. Of the police officer – Primary
b. City or municipality – Subsidiary
The defense of having observed the diligence
of a good father of a family to prevent the
damage is not available to the city/municipality.
6. Provinces, cities and
municipalities
Art. 2189, CC. Provinces, cities and
municipalities shall be liable for damages for
the death of, or injuries suffered by, any
person by reason of the defective condition
of roads, streets, bridges, public buildings,
and other public works under their control or
supervision.
It is not even necessary that the defective
roads or streets belong to the province, city or
municipality for liability to attach. The article
only requires that either control or supervision
be exercised over said street or road [Guilatco
v. Dagupan, G.R. No. 61516 (1989)].
7. Owner of motor vehicle
Art. 2184, CC. In motor vehicle mishaps, the
owner is solidarily liable with his driver, if the
former, who was in the vehicle, could have,
by the use of the due diligence, prevented
the misfortune. It is disputably presumed that
a driver was negligent, if he had been found
guilty or reckless driving or violating traffic
regulations at least twice within the next
preceding two months.
If the owner was not in the motor vehicle, the
provisions of article 2180 are applicable.
Art. 2180 (5), CC. Employers shall be liable
for the damages caused by their employees
and household helpers acting within the
scope of their assigned tasks, even though
the former are not engaged in any business
or industry.
Art. 2186, CC. Every owner of a motor
vehicle shall file with the proper government
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CIVIL LAW
office a bond executed by a government-
controlled corporation or office, to answer for
damages to third persons. The amount of the
bond and other terms shall be fixed by the
competent public official.
The owner is solidarily liable with the driver
for motor vehicle mishaps when:
a. The owner was IN the vehicle at the time,
AND
b. The owner could have, by the use of due
diligence, prevented the misfortune.
Note: If the owner was NOT inside the vehicle,
Art. 2180 applies.
The presumption is against the owner of the
motor vehicle. He has the burden of proving
due diligence. Thus, once a driver is proven
negligent in causing damage, the law
presumes the vehicle owner equally negligent
and imposes upon the latter the burden of
proving proper selection and supervision of
employee as a defense.
As held in Vargas v. Langcay [G.R. No. 17459
(1962)], “the registered owner/operator of a
passenger vehicle is jointly and severally liable
with the driver for damages incurred by
passengers or third persons as a consequence
of injuries or death sustained in the operation
of said vehicles. Regardless of who the actual
owner of a vehicle is, the operator of record
continues to be the operator of the vehicle as
regards the public and third persons and as
such is directly and primarily responsible for
the consequences incident to its operation, so
that in contemplation of law, such
owner/operator of record is the employer of the
driver, the actual operator and employer being
considered merely as his agent.”
The registered owner of a motor vehicle is
primarily liable for the damage or injury caused
to another, but he has a right to be indemnified
by the real owner of the amount he was
required to pay. This rule applies both to private
and to common carriers with respect to their
passengers [Tamayo v. Aquino, G.R. No. L-
12634 (1959)].
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

The law does not require that a person must driving/violatin

possess a certain measure of skill or g
proficiency either in the mechanics of driving or traffic
in the observance of traffic rules before he may violations at
own a motor vehicle. The test of his negligence, least twice
within the meaning of Article 2184, is his within
omission to do that which the evidence of his the next
own senses tells him he should do in order to preceding
avoid the accident. And as far as perception is 2 months
concerned, absent a minimum level imposed Due diligence
Good father
by law, a maneuver that appears to be fraught to
of a
with danger to one passenger may appear to prevent
be entirely safe and commonplace to another. family in
Defense mishap
employment
Were the law to require a uniform standard of (greatly
and
perceptiveness, employment of professional subjective)
supervision
drivers by car owners who, by their very
inadequacies, have real need of drivers' Solidary—The
services, would be effectively proscribed full
[Caedo v. Yu Khe Tai, G.R. No. L-20392 amount may
(1968)]. Primary—He be
may pursued
The owner of the motor vehicle is not liable for recover the against
the misfortune unless the negligent acts of the full him,
driver are continued for such a length of time Owner’s
amount from but he may
as to give the owner a reasonable opportunity liability
the only
to observe them and to direct his driver to driver, as per recover the pro
desist therefrom. The act complained of must Art. rata
be continued in the presence of the owner for 2181 share as to the
such a length of time that the owner, by his amount for
acquiescence, makes his driver’s act his own which
[Chapman v. Underwood, G.R. No. L-9010 he is liable
(1914)].
8. Proprietor of building or
ART. 2180
ART. 2184 structure or thing
(5)
Need not
Relations Art. 2190, CC. The proprietor of a building or
Employer- establish
hip of structure is responsible for the damages
employee Employer-
Owner & resulting from its total or partial collapse, if it
employee
Driver should be due to the lack of necessary
relationship
Not required Required at the repairs.
Car
at the time of the
owner’s Art. 2191, CC. Proprietors shall also be
time of the mishap
presence responsible for damages caused:
mishap.
On owner’s On driver’s
Presumpt part, part, (1) By the explosion of machinery which
ion of when his when he has has not been taken care of with due
negligenc driver is been diligence, and the inflammation of explosive
e negligent found guilty of substances which have not been kept in a
reckless safe and adequate place;

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U.P. LAW BOC TORTS AND DAMAGES
(2) By excessive smoke, which may be
harmful to persons or property;
(3) By the falling of trees situated at or
near highways or lanes, if not caused by
force majeure;
(4) By emanations from tubes, canals,
sewers or deposits of infectious matter,
constructed without precautions suitable to
the place.
Art. 2192, CC. If damage referred to in the
two preceding articles should be the result of
any defect in the construction mentioned in
article 1723, the third person suffering
damages may proceed only against the
engineer or architect or contractor in
accordance with said article, within the
period therein fixed.
Ownership of a building imposes on the
proprietor thereof the duty to maintain it in good
condition at all times to the end that it may not
collapse either totally or partially as to cause
damage or injury to another’s person or
property. This duty obtains whether the
building is leased or held in usufruct.
Considering, however, that the lessee or
usufructuary has direct and immediate control
of the building, the law imposes on him the duty
to notify the proprietor of such urgent or
extraordinary repairs. And where the
proprietor’s failure to make the necessary
repairs was due to the failure of the lessee or
usufructuary to notify him, the proprietor is
entitled to indemnification for damages he may
have been required to pay to the parties.
Liability does not attach to the proprietor if the
damage was caused by any defect in the
construction mentioned in Article 1723, in
which case the action should be against the
engineer or architect.
Under Article 2190, the plaintiff is required
to prove
1. The total or partial collapse of a
building or structure
2. That the defendant is the proprietor
3. That the collapse was due to the lack
of necessary repairs
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CIVIL LAW
Note: There is no requirement to prove
negligence.
Under Article 2191, with the exception of No. 1,
negligence is also not an issue.
The owner or proprietor of a place of public
amusement impliedly warrants that the
premises, appliances and amusement devices
are safe for the purpose for which they are
designed, the doctrine being subject to no
other exception or qualification than that he
does not contract against unknown defects not
discoverable by ordinary or reasonable means
[Gotesco Investment Corp. v. Chatto, G.R. No.
87584 (1992)].
Liability of Engineer or architect of
collapsed building
Art. 1723, CC. The engineer or architect
who drew up the plans and specifications for
a building is liable for damages if within
fifteen years from the completion of the
structure, the same should collapse by
reason of a defect in those plans and
specifications, or due to the defects in the
ground. The contractor is likewise
responsible for the damages if the edifice
falls, within the same period, on account of
defects in the construction or the use of
materials of inferior quality furnished by him,
or due to any violation of the terms of the
contract. If the engineer or architect
supervises the construction, he shall be
solidarily liable with the contractor.
Acceptance of the building, after completion,
does not imply waiver of any of the cause of
action by reason of any defect mentioned in
the preceding paragraph.
The action must be brought within ten years
following the collapse of the building.
Engineer or architect who drew up the plans
and specifications is liable if the building
collapses within 15 years due to:
1. A defect in those plans and specifications; or
2. Due to the defects in the ground.
U.P. LAW BOC TORTS AND DAMAGES
Contractor is liable if the edifice falls within 15
years due to:
1. Defects in the construction;
2. The use of materials of inferior quality
furnished by the contractor; or
3. Due to any violation of the terms of the
contract.
Here, the plaintiff need only prove that such
conditions (defects) exist and need not prove
that negligence of the defendant be the cause
of the conditions.
9. Head of family
Art 2193, CC. The head of a family that lives
in a building or a part thereof, is responsible
for damages caused by things thrown or
falling from the same.
The purpose of the law is to relieve the injured
party of the difficulty of determining and proving
who threw the thing or what caused it to fall, or
that either was due to the fault or negligence of
any particular individual.
Lessee is considered as the head of the family.
It is enough that he lives in and has control over
it [Dingcong v. Kanaan, G.R. No. L-47033
(1941)].
10. Violations of data privacy
The right to data privacy is the right of an
individual not to have private information about
himself disclosed, and to live freely from
surveillance and intrusion.
RA 10173, or the Data Privacy Act, protects
individuals from unauthorized processing of
personal information that is (1) private, not
publicly available; and (2) identifiable, where
the identity of the individual is apparent either
through direct attribution or when put together
with other available information.
Page 495 of 532
CIVIL LAW
DATA PRIVACY ACT OF 2012
RA 10173
Section 3. Definition of Terms.
(g) Personal information refers to any
information whether recorded in a material
form or not, from which the identity of an
individual is apparent or can be reasonably
and directly ascertained by the entity holding
the information, or when put together with
other information would directly and certainly
identify an individual.
(h) Personal information controller refers to
a person or organization who controls the
collection, holding, processing or use of
personal information, including a person or
organization who instructs another person or
organization to collect, hold, process, use,
transfer or disclose personal information on
his or her behalf. The term excludes:
(1) A person or organization who
performs such functions as instructed by
another person or organization; and
(2) An individual who collects, holds,
processes or uses personal information in
connection with the individual’s personal,
family or household affairs.
(k) Privileged information refers to any and
all forms of data which under the Rules of
Court and other pertinent laws constitute
privileged communication.
(l) Sensitive personal information refers to
personal information:
(1) About an individual’s race, ethnic
origin, marital status, age, color, and
religious, philosophical or political
affiliations;
(2) About an individual’s health,
education, genetic or sexual life of a person,
or to any proceeding for any offense
committed or alleged to have been
committed by such person, the disposal of
such proceedings, or the sentence of any
court in such proceedings;
(3) Issued by government agencies
peculiar to an individual which includes, but
not limited to, social security numbers,
previous or current health records, licenses
U.P. LAW BOC TORTS AND DAMAGES
or its denials, suspension or revocation, and
tax returns; and
(4) Specifically established by an
executive order or an act of Congress to be
kept classified.
Section 4. Scope. – This Act applies to the
processing of all types of personal
information and to any natural and juridical
person involved in personal information
processing including those personal
information controllers and processors who,
although not found or established in the
Philippines, use equipment that are located
in the Philippines, or those who maintain an
office, branch or agency in the Philippines
subject to the immediately succeeding
paragraph: Provided, That the requirements
of Section 5 are complied with.
This Act does not apply to the following:
(a) Information about any individual who
is or was an officer or employee of a
government institution that relates to the
position or functions of the individual,
including:
(1) The fact that the individual is or was an
officer or employee of the government
institution;
(2) The title, business address and office
telephone number of the individual;
(3) The classification, salary range and
responsibilities of the position held by the
individual; and
(4) The name of the individual on a
document prepared by the individual in the
course of employment with the government;
(b) Information about an individual who
is or was performing service under contract
for a government institution that relates to
the services performed, including the terms
of the contract, and the name of the
individual given in the course of the
performance of those services;
(c) Information relating to any
discretionary benefit of a financial nature
such as the granting of a license or permit
given by the government to an individual,
including the name of the individual and the
exact nature of the benefit;
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CIVIL LAW
(d) Personal information processed for
journalistic, artistic, literary or research
purposes;
(e) Information necessary in order to
carry out the functions of public authority
which includes the processing of personal
data for the performance by the
independent, central monetary authority and
law enforcement and regulatory agencies of
their constitutionally and statutorily
mandated functions. Nothing in this Act shall
be construed as to have amended or
repealed Republic Act No. 1405, otherwise
known as the Secrecy of Bank Deposits Act;
Republic Act No. 6426, otherwise known as
the Foreign Currency Deposit Act; and
Republic Act No. 9510, otherwise known as
the Credit Information System Act (CISA);
(f) Information necessary for banks and
other financial institutions under the
jurisdiction of the independent, central
monetary authority or Bangko Sentral ng
Pilipinas to comply with Republic Act No.
9510, and Republic Act No. 9160, as
amended, otherwise known as the Anti-
Money Laundering Act and other applicable
laws; and
(g) Personal information originally
collected from residents of foreign
jurisdictions in accordance with the laws of
those foreign jurisdictions, including any
applicable data privacy laws, which is being
processed in the Philippines.
Section 11. General Data Privacy
Principles. – The processing of personal
information shall be allowed, subject to
compliance with the requirements of this Act
and other laws allowing disclosure of
information to the public and adherence to
the principles of transparency, legitimate
purpose and proportionality.
Personal information must be:
(a) Collected for specified and legitimate
purposes determined and declared before,
or as soon as reasonably practicable after
collection, and later processed in a way
compatible with such declared, specified
and legitimate purposes only;
(b) Processed fairly and lawfully;
U.P. LAW BOC TORTS AND DAMAGES
(c) Accurate, relevant and, where
necessary for purposes for which it is to be
used the processing of personal information,
kept up to date; inaccurate or incomplete
data must be rectified, supplemented,
destroyed or their further processing
restricted;
(d) Adequate and not excessive in
relation to the purposes for which they are
collected and processed;
(e) Retained only for as long as
necessary for the fulfillment of the purposes
for which the data was obtained or for the
establishment, exercise or defense of legal
claims, or for legitimate business purposes,
or as provided by law; and
(f) Kept in a form which permits
identification of data subjects for no longer
than is necessary for the purposes for which
the data were collected and processed:
Provided, That personal information
collected for other purposes may lie
processed for historical, statistical or
scientific purposes, and in cases laid down
in law may be stored for longer periods:
Provided, further, That adequate safeguards
are guaranteed by said laws authorizing their
processing.
The personal information controller must
ensure implementation of personal
information processing principles set out
herein.
SEC. 21. Principle of Accountability. – Each
personal information controller is
responsible for personal information under
its control or custody, including information
that have been transferred to a third party for
processing, whether domestically or
internationally, subject to cross-border
arrangement and cooperation.
(a) The personal information controller
is accountable for complying with the
requirements of this Act and shall use
contractual or other reasonable means to
provide a comparable level of protection
while the information are being processed by
a third party.
(b) The personal information controller
shall designate an individual or individuals
Page 497 of 532
CIVIL LAW
who are accountable for the organization’s
compliance with this Act. The identity of the
individual(s) so designated shall be made
known to any data subject upon request.
SEC. 34. Extent of Liability. – If the offender
is a corporation, partnership or any juridical
person, the penalty shall be imposed upon
the responsible officers, as the case may be,
who participated in, or by their gross
negligence, allowed the commission of the
crime. If the offender is a juridical person, the
court may suspend or revoke any of its rights
under this Act. If the offender is an alien, he
or she shall, in addition to the penalties
herein prescribed, be deported without
further proceedings after serving the
penalties prescribed. If the offender is a
public official or employee and lie or she is
found guilty of acts penalized under Sections
27 and 28 of this Act, he or she shall, in
addition to the penalties prescribed herein,
suffer perpetual or temporary absolute
disqualification from office, as the case may
be.
SEC. 36. Offense Committed by Public
Officer. – When the offender or the person
responsible for the offense is a public officer
as defined in the Administrative Code of the
Philippines in the exercise of his or her
duties, an accessory penalty consisting in
the disqualification to occupy public office for
a term double the term of criminal penalty
imposed shall he applied.
Data Privacy Rights
1. Right to be informed
Personal data should never be collected,
processed and stored by any organization
without the individual’s explicit consent, unless
otherwise provided by law. Aside from
protecting against unfair means of personal
data collection, this right also requires personal
information controllers (PICs) to notify
individuals if their data have been
compromised, in a timely manner.
U.P. LAW BOC TORTS AND DAMAGES
2. Right to access
This is the individual’s right to find out whether
an organization holds any personal data about
them and if so, gain “reasonable access” to
them. Through this right, organizations may
also be asked to provide a written description
of the kind of information they have about the
individual as well as their purpose/s for holding
them.
3. Right to object
This right can be exercised if the personal data
processing involved is based on consent or on
legitimate interest. When the individual objects
or withholds consent, the PIC should no longer
process the personal data, unless the
processing is pursuant to a subpoena, for
obvious purposes (contract, employer-
employee relationship, etc.) or a result of a
legal obligation.
4. Right to erasure or blocking
This is the right to suspend, withdraw or order
the blocking, removal or destruction of
personal data. This right can be exercised
upon discovery and substantial proof of the
following:
a. Personal data is incomplete, outdated,
false, or unlawfully obtained.
b. It is being used for purposes the
individual did not authorize.
c. The data is no longer necessary for the
purposes for which they were
collected.
d. The individual has decided to withdraw
consent or object to its processing, and
there is no overriding legal ground for
its processing.
e. The data concerns information
prejudicial to the data subject — unless
justified by freedom of speech, of
expression, or of the press; or
otherwise authorized (by court of law)
f. The processing is unlawful.
g. The personal information controller, or
the personal information processor,
violated the rights of the data subject.
5. Right to damages
The individual may claim compensation if they
suffered damages due to inaccurate,
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CIVIL LAW
incomplete, outdated, false, unlawfully
obtained or unauthorized use of personal data,
considering any violation of their rights and
freedoms as data subject.
6. Right to file a complaint
If individuals feel that their personal information
has been misused, maliciously disclosed, or
improperly disposed, or that any of their data
privacy rights have been violated, they have a
right to file a complaint with the NPC.
7. Right to rectify
This refers to the right to dispute and have
corrected any inaccuracy or error in the data a
personal information controller (PIC) holds
about the individual. The PIC should act on it
immediately and accordingly, unless the
request is vexatious or unreasonable. Once
corrected, the PIC should ensure that access
and receipt of both new and retracted
information. PICs should also furnish third
parties with said information, should it be
requested by the data subject.
8. Right to data portability
This right assures that individuals remain in full
control of their data. Data portability allows
data subjects to obtain and electronically
move, copy or transfer their data in a secure
manner, for further use. It enables the free flow
of their personal information across the internet
and organizations, according to their
preference. This is important especially now
that several organizations and services can
reuse the same data.
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

PERSONS WITH
LIABLE FOR DEFENSES OR EXCEPTIONS
SPECIAL LIABILITY
Manufacturers and
processors of Death and injuries caused by any
Absence of contractual relation not
foodstuffs, drinks, noxious or harmful substances
a defense
toilet articles and used
similar goods
Owner/creator of and
Resulting injury to another Liability attaches regardless of the
successive
(material annoyance, degree of care or skill exercised to
owner/possessor who
inconvenience, discomfort or hurt) avoid such injury
fails or refuses to
because of the nuisance
abate a nuisance
Public officer or
employee or private
Damages for impairment of rights
individual who violates
and liberties
rights under
Art. 32, CC
The death or injuries suffered by
any person by reason of the The defective public work is not
Provinces, Cities and
defective condition of roads, under the LGU’s control or
Municipalities
streets, bridges, public buildings, supervision
and other public works
! Solidary liability only if the
owner was in the vehicle
and if he could have
Owner of Motor prevented it thru due
Motor vehicle mishaps
Vehicle diligence
! If not in vehicle, apply Art.
2180 for his liability as
employer
a. Total or partial collapse of
building or structure if due
to lack of necessary
repairs
b. Explosion of machinery
which has not been taken
cared of with due
diligence, and the Responsibility for collapse should
Proprietor of building/
inflammation of explosive be due to the lack of necessary
structure
substances which have repairs
not been kept in a safe
and adequate place
c. By excessive smoke,
which may be harmful to
persons or property
d. By falling of trees situated
at or near highways or

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U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

lanes, if not caused by

force majeure
e. By emanations from
tubes, canals, sewers or
deposits of infectious
matter, constructed
without precautions
suitable to the place
If within 15 years from completion
of the structure, the same should
collapse by reason of:
a. Defects in the plans or
specifications; or
b. Defects in the ground.
If within the same period, the
edifice falls on account of:
Action not brought within 10 years
Engineer or Architect a. Defects in the
from collapse
construction;
b. Used of materials of
inferior quality furnished
by him; or
c. Violation of the terms of
the contract and he
supervised the
construction.
If within 15 years from the
completion of the structure, the
edifice falls on account of:

a. Defects in the
Action not brought within 10 years
Contractor construction;
from collapse
b. Used of materials of
inferior quality furnished
by him; or
c. Violation of the terms of
the contract
Head of the Family that Liable for damages caused by
lives in a building or things thrown or falling from the
any part thereof same
Collection, processing and
storage of personal information
and sensitive personal
Violators of data information. Specifically:
privacy a. Unauthorized Processing
b. Accessing due to
Negligence
c. Improper Disposal

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U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

d. Processing for
Unauthorized Purposes
e. Unauthorized Access or
Intentional Breach
f. Concealment of Security
Breaches Involving
Sensitive Personal
Information
g. Malicious Disclosure
h. Unauthorized Disclosure.

“escape or be lost” and so be removed from his

I. STRICT LIABILITY control. It is likewise immaterial that the animal
was tame and was merely provoked by the
victim. The law does not speak only of vicious
animals but covers even tame ones as long as
1. Animals; possessor and user they cause injury [Vestil v. IAC, G.R. No. 74431
of an animal (1989)].

Art. 2183, CC. The possessor of an animal or
whoever may make use of the same is
responsible for the damage which it may
cause, although it may escape or be lost. This
responsibility shall cease only in case the
damage should come from force majeure or
from the fault of the person who has suffered
damage.
The law makes no distinction as to what kind of
animal is used or possessed. Hence, it may be
construed as applicable generally to all
animals, whether domestic, domesticated, or
wild. It would seem that birds are covered since
they can also cause damage. [de Leon]
Possession of the animal, not ownership, is
determinative of liability under Art. 2183. The
obligation imposed by said article is not based
on the negligence or on the presumed lack of
vigilance of the possessor or user of the animal
causing damage. It is based on natural equity
and on the principle of social interest that he
who possesses animals for his utility, pleasure,
or service, must answer for any damage which
such animal may cause. The contention that
the defendant could not be expected to
exercise remote control of the animal is not
acceptable. In fact, Art. 2183 holds the
possessor liable even if the animal should
Possible defenses against this liability
1. Force Majeure
2. Fault of person suffering damage
3. Act of third persons
2. Attractive Nuisance
Art 2193, CC. A nuisance is any act,
omission, establishment, business,
condition of property, or anything else which:
(1) Injures or endangers the health or
safety of others; xxx
Doctrine of Attractive Nuisance
One who maintains on his premises dangerous
instrumentalities or appliances of a character
likely to attract children in play, and who fails to
exercise ordinary care to prevent children from
playing therewith or resorting thereto, is liable
to a child of tender years who is injured
thereby, even if the child is technically a
trespasser in the premises [Hidalgo
Enterprises v. Balandan, G.R. No. L-3422
(1952)].
The owner's failure to take reasonable
precautions to prevent the child from entering
his premises at a place where he knows or
ought to know that children are accustomed to
roam about or to which their childish instincts

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U.P. LAW BOC TORTS AND DAMAGES
and impulses are likely to attract them is a
breach of duty, a negligent omission, for which
he may and should be held responsible, if the
child is actually injured, without other fault on
its part than that it had entered on the premises
of a stranger without his express invitation or
permission. [Taylor v. MERALCO, G.R. No. L-
4977 (1910)].
The attractive nuisance doctrine generally is
not applicable to bodies of water, artificial as
well as natural, in the absence of some unusual
condition or artificial feature other than the
mere water and its location [Hidalgo
Enterprises v. Balandan, G.R. No. L-3422
(1952)].
3. Products liability; Consumer
Act
Coverage of the Consumer Act
The law covers consumer products and
services which are defined in Art. 4(q) as
“goods, services and credits, debts or
obligations which are primarily for personal,
family, household or agricultural purposes,
which shall include but not limited to, food,
drugs, cosmetics and devices.”
Bases of Liability to Consumers
1. Fraud/misrepresentation (based on Art.
33, CC)
Art. 50 of RA 7394 prohibits against deceptive
sales acts or practices, while Art. 51 prohibits
unfair or unconscionable sales acts of
practices. However, not all expressions of
opinion constitute misrepresentation; usual
exaggerations of trade under Art. 1340, CC or
mere expressions of an opinion not made by an
expert under Art. 1341, CC are strictly not
actionable.
2. Warranty
A representation made by a seller is a warranty
if he is an expert, and the buyer is induced to
part with his money on the basis of this
representation. The law on sales provides for
implied warranties against hidden defects.
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CIVIL LAW
3. Negligence
Failure to meet safety and quality standards for
consumer products [Art. 5 to 46 of RA 7394]
creates liability based on negligence. It is the
failure to observe the requisite due care
considering the circumstances, governed by
the provisions on quasi-delict.
4. Strict Liability
For instances under Art. 97-99 (defective
products and services), the primarily liability for
death or injury is on the manufacturer and
processor, instead of the seller. There is no
requirement that they act negligently.
CONSUMER ACT
RA 7394, Secs. 92-107 (Ch. 1)
Article 4. Definition of Terms.
(n) "Consumer" means a natural person who
is a purchaser, lessee, recipient or
prospective purchaser, lessor or recipient of
consumer products, services or credit.
(as) "Manufacturer" means any person who
manufactures, assembles or processes
consumer products, except that if the goods
are manufactured, assembled or processed
for another person who attaches his own
brand name to the consumer products, the
latter shall be deemed the manufacturer. In
case of imported products, the
manufacturer's representatives or, in his
absence, the importer, shall be deemed the
manufacturer.
Article 92. Exemptions. – If the concerned
department finds that for good or sufficient
reasons, full compliance with the labeling
requirements otherwise applicable under
this Act is impracticable or is not necessary
for the adequate protection of public health
and safety, it shall promulgate regulations
exempting such substances from these
requirements to the extent it deems
consistent with the objective of adequately
safeguarding public health and safety, and
any hazardous substance which does not
bear a label in accordance with such
U.P. LAW BOC TORTS AND DAMAGES
regulations shall be deemed mislabeled
hazardous substance.
Article 97. Liability for the Defective
Products. – Any Filipino or foreign
manufacturer, producer, and any importer,
shall be liable for redress, independently of
fault, for damages caused to consumers by
defects resulting from design, manufacture,
construction, assembly and erection,
formulas and handling and making up,
presentation or packing of their products, as
well as for the insufficient or inadequate
information on the use and hazards thereof.
A product is defective when it does not offer
the safety rightfully expected of it, taking
relevant circumstances into consideration,
including but not limited to:
(a) presentation of product
(b) use and hazards reasonably
expected of it;
(c) the time it was put into circulation.
A product is not considered defective
because another better quality product has
been placed in the market. The
manufacturer, builder, producer or importer
shall not be held liable when it evidences:
(a) that it did not place the product on
the market;
(b) that although it did place the product
on the market such product has no defect;
(c) that the consumer or a third party is
solely at fault.
Article 98. Liability of Tradesman or Seller.
– The tradesman/seller is likewise liable,
pursuant to the preceding article when:
(a) it is not possible to identify the
manufacturer, builder, producer or importer;
(b) the product is supplied, without clear
identification of the manufacturer, producer,
builder or importer;
(c) he does not adequately preserve
perishable goods. The party making
payment to the damaged party may exercise
the right to recover a part of the whole of the
payment made against the other responsible
parties, in accordance with their part or
Page 503 of 532
CIVIL LAW
responsibility in the cause of the damage
effected.
Article 99. Liability for Defective Services. –
The service supplier is liable for redress,
independently of fault, for damages caused
to consumers by defects relating to the
rendering of the services, as well as for
insufficient or inadequate information on the
fruition and hazards thereof.
The service is defective when it does not
provide the safety the consumer may
rightfully expect of it, taking the relevant
circumstances into consideration, including
but not limited to:
1. the manner in which it is provided;
2. the result of hazards which may
reasonably be expected of it;
3. the time when it was provided.
A service is not considered defective
because of the use or introduction of new
techniques.
The supplier of the services shall not be held
liable when it is proven:
(a) that there is no defect in the service
rendered;
(b) that the consumer or third party is
solely at fault.
Article 100. Liability for Product and Service
Imperfection. – The suppliers of durable or
nondurable consumer products are jointly
liable for imperfections in quality that render
the products unfit or inadequate for
consumption for which they are designed or
decrease their value, and for those resulting
from inconsistency with the information
provided on the container, packaging, labels
or publicity messages/advertisement, with
due regard to the variations resulting from
their nature, the consumer being able to
demand replacement to the imperfect parts.
If the imperfection is not corrected within
thirty (30) days, the consumer may
alternatively demand at his option:
U.P. LAW BOC TORTS AND DAMAGES
(a) the replacement of the product by
another of the same kind, in a perfect state
of use;
(b) the immediate reimbursement of the
amount paid, with monetary updating,
without prejudice to any losses and
damages;
(c) a proportionate price reduction.
The parties may agree to reduce or increase
the term specified in the immediately
preceding paragraph; but such shall not be
less than seven (7) nor more than one
hundred and eighty (180) days.
The consumer may make immediate use of
the alternatives under the second paragraph
of this Article when by virtue of the extent of
the imperfection, the replacement of the
imperfect parts may jeopardize the product
quality or characteristics, thus decreasing its
value.
If the consumer opts for the alternative under
sub-paragraph (a) of the second paragraph
of this Article, and replacement of the
product is not possible, it may be replaced
by another of a different kind, mark or model:
Provided, That any difference in price may
result thereof shall be supplemented or
reimbursed by the party which caused the
damage, without prejudice to the provisions
of the second, third and fourth paragraphs of
this Article.
Article 101. Liability for Product Quantity
Imperfection. – Suppliers are jointly liable for
imperfections in the quantity of the product
when, in due regard for variations inherent
thereto, their net content is less than that
indicated on the container, packaging,
labeling or advertisement, the consumer
having powers to demand, alternatively, at
his own option:
(a) the proportionate price
(b) the supplementing of weight or
measure differential;
(c) the replacement of the product by
another of the same kind, mark or model,
without said imperfections;
Page 504 of 532
CIVIL LAW
(d) the immediate reimbursement of the
amount paid, with monetary updating
without prejudice to losses and damages if
any.
The provisions of the fifth paragraph of
Article 99 shall apply to this Article.
The immediate supplier shall be liable if the
instrument used for weighing or measuring
is not gauged in accordance with official
standards.
Article 102. Liability for Service Quality
Imperfection. – The service supplier is liable
for any quality imperfections that render the
services improper for consumption or
decrease their value, and for those resulting
from inconsistency with the information
contained in the offer or advertisement, the
consumer being entitled to demand
alternatively at his option:
(b) the performance of the services,
without any additional cost and when
applicable;
(c) the immediate reimbursement of the
amount paid, with monetary updating
without prejudice to losses and damages, if
any;
(d) a proportionate price reduction.
Reperformance of services may be
entrusted to duly qualified third parties, at the
supplier's risk and cost.
Improper services are those which prove to
be inadequate for purposes reasonably
expected of them and those that fail to meet
the provisions of this Act regulating service
rendering.
Article 103. Repair Service Obligation. –
When services are provided for the repair of
any product, the supplier shall be considered
implicitly bound to use adequate, new,
original replacement parts, or those that
maintain the manufacturer's technical
specifications unless, otherwise authorized,
as regards to the latter by the consumer.
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

Article 104. Ignorance of Quality 1. Classification

Imperfection. – The supplier's ignorance of
the quality imperfections due to inadequacy According to Purpose:
of the products and services does not
exempt him from any liability. a. For adequate reparation of the injury
1. Compensatory damages
Article 105. Legal Guarantee of Adequacy. – (reparation of pecuniary losses)
The legal guarantee of product or service 2. Moral (reparation for non-pecuniary
adequacy does not require an express losses: injury to feelings; physical
instrument or contractual exoneration of the suffering, etc.)
supplier being forbidden.
b. For vindication of the right violated:
Article 106. Prohibition in Contractual Nominal damages
Stipulation. – The stipulation in a contract of
a clause preventing, exonerating or reducing c. For less than adequate reparation:
the obligation to indemnify for damages Moderate damages
effected, as provided for in this and in the
preceding Articles, is hereby prohibited, if d. For deterring future violations:
there is more than one person responsible Exemplary or corrective
for the cause of the damage, they shall be
jointly liable for the redress established in the According to Manner of Determination
pertinent provisions of this Act. However, if
the damage is caused by a component or a. Conventional (or liquidated)
part incorporated in the product or service, b. Non-conventional, which may either be:
its manufacturer, builder or importer and the (i) Statutory (fixed by law, as in
person who incorporated the component or moratory interest)
part are jointly liable. (ii) Judicial (determined by the courts)

General Damages
DAMAGES Those which are the natural and necessary
result of the wrongful act or omission asserted
as the foundation of liability. It includes those
A. GENERAL which follow as a conclusion of law from the
CONSIDERATIONS statement of the facts of the injury.

Special Damages
Damages may be defined as the pecuniary
Damages that arise from the special
compensation, recompense, or satisfaction for
circumstance of the case, which, if properly
an injury sustained, or as otherwise expressed,
pleaded, may be added to the general
the pecuniary consequences, which the law
damages which the law presumes or implies
imposes for the breach of some duty or the
from the mere invasion of the plaintiff’s rights.
violation of some right [People v. Ballesteros,
Special damages are the natural, but NOT the
G.R. No. 120921 (1998)].
necessary result of an injury. These are not
implied by law.
It is the recompense or compensation awarded
for the damage suffered [Custodio v. CA, G.R.
No. 116100 (1996)]. 2. Kinds of Damages
Art. 2197, CC. Damages may be:
a. Actual or compensatory;
b. Moral;

Page 505 of 532

U.P. LAW BOC TORTS AND DAMAGES
c. Nominal;
d. Temperate or moderate;
e. Liquidated; or
f. Exemplary or corrective.
Actual and Compensatory
Damages
Compensatory damages
Damages in satisfaction of, or in recompense
for, loss or injury sustained. The phrase “actual
damages” is sometimes used as a synonym of
compensatory damages.
Requisites:
To seek recovery of actual damages, it is
necessary to prove the actual amount of loss
with a reasonable degree of certainty,
premised upon competent proof and on the
best evidence obtainable [Asilo, Jr. v. People
and Sps. Bombasi, G.R. No. 159017-18
(2011); ICTSI v. Chua, G.R. No. 195031
(2014)].
Alleged and proved with certainty
Art. 2199, CC. Except as provided by law or
by stipulation, one is entitled to an adequate
compensation only for such pecuniary loss
suffered by him as he has duly proved. Such
compensation is referred to as actual or
compensatory damages.
The damages must be proven by competent
evidence (admissible or probative).
There must be pleading and proof of actual
damages suffered for the same to be
recovered. In addition to the fact that the
amount of loss must be capable of proof, it
must also be actually proven with a reasonable
degree of certainty, premised upon competent
proof or the best evidence obtainable such as
receipts, cash and check vouchers, and other
documentary evidence of the same nature. The
burden of proof of the damage suffered is
imposed on the party claiming the same. Self-
serving statements are not sufficient basis for
an award of actual damages [Oceaneering
Contractors v. Baretto, G.R. No. 184215
(2011)].
Page 506 of 532
CIVIL LAW
Actual or compensatory damages cannot be
presumed, but must be proven with a
reasonable degree of certainty [MCC Industrial
Sales Corp. v. Ssangyong Corp., G.R. No.
170633 (2007)].
Damages must be proved with reasonable
accuracy, even when not denied [Valencia v.
Tantoco, G.R. No. L-7267 (1956)].
When is a person entitled? [PeLoRePLS]
1. When there is a pecuniary loss suffered by
him;
2. When he has alleged and prayed for such
relief [Manchester Dev’t Corp v. CA, G.R.
No. L-75919 (1987)];
3. When he has duly proved it;
4. When provided by law or by stipulation.
No proof of pecuniary loss is necessary for:
moral, nominal, temperate, liquidated or
exemplary damages. The assessment of such
damages is discretionary upon the court,
except liquidated ones. [Art. 2216, CC].
If the physical integrity of a person’s body is
violated or diminished, actual injury is suffered
for which actual or compensatory damages are
due and assessable. Such violation entitles a
person to actual or compensatory damages. A
scar, especially on a woman’s face, is a
violation of bodily integrity, giving rise to a
legitimate claim for restoration to her condition
ante. [Gatchalian v. Delim, G.R. No. 56487
(1991)].
Components:
Actual damage covers the following: [LIPA]
1. Value of loss; unrealized profit
2. Attorney’s fees and expenses of litigation
3. Interest
1. Loss Covered
IN GENERAL
Art. 2200, CC. Indemnification for damages
shall comprehend not only the value of the
loss suffered, but also that of the profits
which the obligee failed to obtain.
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

Two kinds of actual damages [PNOC v. CA, ATTITUDE, he shall

G.R. No. 107518, (1998)]: be responsible for all
1. Damnum emergens/ dano emergente - damages which may
actual loss or loss of what a person already be reasonably
possesses attributed to the
2. Lucrum cessans/lucro cesante - a breach or non-
cession of gain or amount of profit lost or performance.
loss of which would have pertained to a ● Liability extends to all
person damages which are
the natural and
Indemnification for damages is not limited to probable
damnum emergens but extends to lucrum consequence of the
Crimes
cessans. This rule is important when the thing Art. act or omission
and
lost or damaged either earns income or is used 2202 complained of.
Quasi-
for business. ● WON the damage
delicts
was foreseen or could
The award of damages for loss of earning have been
capacity is concerned with the determination of reasonably foreseen
losses or damages sustained by the [plaintiffs] by the defendant is
as dependents and intestate heirs of the irrelevant.
deceased. Such damages consist, not only of
the full amount of his earnings, but also of the IN CONTRACTS AND QUASI-CONTRACTS
support they received or would have received Art. 2201, CC. In contracts and quasi-
from him had he not died as a consequence of contracts, the damages for which the obligor
the negligence of [defendant’s] agent. Only net who acted in good faith is liable shall be
earnings, and not gross earnings are to be those that are the natural and probable
considered, that is, the total of the earnings consequences of the breach of the
less expenses necessary in the creation of obligation, and which the parties have
such earnings or income and less living and foreseen or could have reasonably foreseen
other incidental expenses [Candano Shipping at the time the obligation was constituted.
Lines, Inc. v. Sugata-on, G.R. No. 163212
(2007)]. In case of fraud, bad faith, malice or wanton
attitude, the obligor shall be responsible for
Extent or scope of actual damages all damages which may be reasonably
SOURCE EXTENT OF LIABILITY attributed to the non-performance of the
● If the obligor acted in obligation.
GOOD FAITH, he
shall be liable for all Art. 2214, CC. In quasi-delicts, the
natural and probable contributory negligence of the plaintiff shall
consequences of the reduce the damages that he may recover.
breach, which the
Contracts parties have foreseen Art. 2215, CC. In c notrac st , quas - i
Art. and or could have c notrac st ,and quas -delic
i st ,the c uort may
2201 Quasi- reasonably foreseen equitably mitigate the damages under
contracts at the time the c rcums
i anc
t se other than the c sa ereferred
obligation was to in the prec deing artic e,l as in the following
constituted. ins anc
t se:
● If the obligor acted 1. That the plaintiff himself has
with FRAUD, BAD contravened the terms of the contract;
FAITH, MALICE or 2. That the plaintiff has derived some
WANTON benefit as a result of the contract;

Page 507 of 532

U.P. LAW BOC TORTS AND DAMAGES
3. In cases where exemplary damages
are to be awarded, that the defendant
acted upon the advice of counsel;
4. That the loss would have resulted in
any event;
5. That since the filing of the action, the
defendant has done his best to lessen
the plaintiff's loss or injury.
The damages recoverable upon breach of
contract are, primarily, the ordinary, natural
and necessary damages resulting from the
breach.
Other damages, known as special damages,
are recoverable where it appears that the
particular conditions which made such
damages a probable consequence of the
breach were known to the delinquent party at
the time the contract was made [Daywalt v.
Recoletos et al., G.R. No. L-13505 (1919)].
Bad faith does not simply connote bad
judgment or negligence; it imports a dishonest
purpose or some moral obliquity and conscious
doing of wrong; it partakes of the nature of
fraud. In this case, BPI-FB acted out of the
impetus of self-protection and not out of
malevolence or ill will. BPI-FB was not in the
corrupt state of mind contemplated in Art. 2201
and should not be held liable for all damages
being imputed to it for its breach of obligation
[BPI Family Bank v. Franco, G.R. No. 123498
(2007)].
Overbooking amounts to bad faith, entitling the
passengers to an award of moral damages
when the airline did not allow passengers to
board their flight despite having confirmed their
tickets. Hence, in accordance with Art. 2201,
TransWorld was held responsible for all the
damages which may be reasonably attributed
to the non-performance of its obligation
[Spouses Zalamea v. CA, G.R. No. 104235
(1993)].
Page 508 of 532
CIVIL LAW
IN CRIMES AND QUASI-DELICTS
Art. 2202, CC. In crimes and quasi delicts,
the defendant shall be liable for all damages
which are the natural and probable
consequences of the act or omission
complained of. It is not necessary that such
damages have been foreseen or could have
reasonably been foreseen by the defendant.
In cases of crimes, damages are to be
increased or decreased according to
aggravating or mitigating circumstances
present.
Contributory negligence of the plaintiff, in case
of quasi-delicts, shall reduce the damages to
which he may be entitled. However, in cases of
crimes, there is no mitigation for contributory
negligence of the plaintiff.
The principal consideration for the award of
damages is the penalty provided by law or
imposable for the offense because of its
heinousness, and not the public penalty
actually imposed on the offender. The fact of
minority of the offender at the time of the
commission of the offense has no bearing on
the gravity and extent of injury caused to the
victim and her family. Hence, notwithstanding
the fact that the imposable public penalty
against the offender should be lowered due to
his minority, there is no justifiable ground to
depart from the jurisprudential trend in the
award of damages in the case of qualified rape,
considering the compensatory nature of the
award of civil indemnity and moral damages.
[People v. Sarcia, G.R. No. 169641 (2009)].
2. Earning Capacity; Business Standing
Art. 2205, CC. Damages may be recovered:
1. For loss or impairment of earning
capacity in cases of temporary or
permanent personal injury;
2. For injury to the plaintiff's business
standing or commercial credit.
Loss or impairment of earning capacity
The Court did not award actual damages
because it was found that plaintiff’s
employment was lost even before the injury
U.P. LAW BOC TORTS AND DAMAGES
upon which she was suing. The Court equated
loss of employment with loss of earning
capacity [Gatchalian v. Delim, supra].
The plaintiff need not be actually engaged in
gainful employment to recover damages due to
loss or impairment of earning capacity. In
determining the amount of damages to be
awarded, the Supreme Court considered the
plaintiff’s age, probable life expectancy, the
state of his health, and his mental and physical
condition before the accident. The court took
into account [the plaintiff’s] outstanding
abilities, and the possibility that he would have
enjoyed a successful professional career in
banking [Mercury Drug v. Huang, G.R. No.
172122 (2007)].
Injury to business standing or commercial
credit
Loss of goodwill should be proven with the
same standard of proof as other compensatory
damages [Tanay Recreation Center v. Fausto,
G.R. No. 140182 (2005)].
Formula for the net earning capacity
Net earning capacity = Life Expectancy ×
(Gross annual income – Reasonable living
expenses)
[People v. Aringue, G.R. No. 116487 (1997);
Candano v. Sugata-On, G.R. 163212, (2007)].
Where: Life expectancy = × (80 – age of
victim at the time of death)
General Rule: Damages for loss of earning
capacity shall be awarded in every case, and
that claimant shall present documentary
evidence to substantiate claim for damages.
[Tan, et al. v. OMC Carriers, Inc., G.R. No.
190521 (2011)].
Exceptions:
1. If the deceased was self-employed and
earning less than the minimum wage; or
2. The deceased was a daily wage worker
earning less than the minimum wage under
current labor laws. [Philippine Hawk v. Lee,
G.R. No. 166869 (2010)].
Page 509 of 532
CIVIL LAW
Additional Exception: Testimonial evidence
suffices to establish a basis for which the court
can make a fair and reasonable estimate of the
loss of earning capacity [Pleyto v. Lomboy,
G.R. No. 148737 (2004)]
Note: Such an exception to documentary proof
requirement only exists as to the loss of
earning capacity.
3. Attorney’s fees and expenses of litigation
Art. 2208, CC. In the absence of stipulation,
attorney's fees and expenses of litigation,
other than judicial costs, cannot be
recovered, except:
1. When exemplary damages are
awarded;
2. When the defendant's act or omission
has compelled the plaintiff to litigate with
third persons or to incur expenses to
protect his interest;
3. In criminal cases of malicious
prosecution against the plaintiff;
4. In case of a clearly unfounded civil
action or proceeding against the
plaintiff;
5. Where the defendant acted in gross and
evident bad faith in refusing to satisfy
the plaintiff's plainly valid, just and
demandable claim;
6. In actions for legal support;
7. In actions for the recovery of wages of
household helpers, laborers and skilled
workers;
8. In actions for indemnity under
workmen's compensation and
employer's liability laws;
9. In a separate civil action to recover civil
liability arising from a crime;
10. When at least double judicial costs are
awarded;
11. In any other case where the court
deems it just and equitable that
attorney's fees and expenses of
litigation should be recovered.
In all cases, the attorney's fees and
expenses of litigation must be reasonable.
U.P. LAW BOC TORTS AND DAMAGES
General Rule: Attorney’s fees and costs of
litigation are recoverable IF stipulated.
Exceptions:
If there is no stipulation, they are recoverable
only in the following cases:
1. By reason of malice or bad faith
a. When exemplary damages are
awarded
b. In case of a clearly unfounded civil
action
c. Where defendant acted in gross and
evident bad faith
d. When at least double judicial costs are
awarded
2. By reason of plaintiff’s indigence in
a. Actions for legal support
b. Actions for recovery of wages of
laborers, etc.
c. Actions for workmen’s compensation
3. By reason of crimes in
a. Criminal cases of malicious
prosecution
b. Separate actions to recover civil liability
arising from crime
4. By reason of equity
a. Where the defendant’s act compelled
plaintiff to litigate with third persons
b. Where the Court deems it just and
equitable
Note: In all cases, attorney’s fees and costs of
litigation must be reasonable.
Even if expressly stipulated, attorney’s fees are
subject to control by the Courts.
Two kinds of attorney’s fees:
1. Ordinary - reasonable compensation paid
to a lawyer for his services
2. Extraordinary - awarded to a successful
litigant; to be paid by the losing party as
indemnity for damages. [Aquino v.
Casabar, G.R. No. 191470, (2015)].
Attorney’s fees in CC 2208 is an award made
in favor of the litigant, not of his counsel, and
the litigant is the judgment creditor who may
enforce the judgment for attorney's fees by
execution [Quirante v. IAC, G.R. No. 73886
(1989)].
Page 510 of 532
CIVIL LAW
Attorney's fees cannot be recovered except in
cases provided for in CC 2208 [MERALCO v.
Ramoy, G.R. No. 158911 (2008)].
Attorney’s fees and expenses of litigation are
recoverable only in the concept of actual
damages, not as moral damages nor judicial
costs. Hence, such must be specifically prayed
for and may not be deemed incorporated within
a general prayer for "such other relief and
remedy as this court may deem just and
equitable” [Briones v. Macabagdal, G.R. No.
150666 (2010)].
For Art. 2208 (2), an adverse decision does
not ipso facto justify an award of attorney’s
fees to the winning party. Even when a
claimant is compelled to litigate with third
persons or to incur expenses to protect his
rights, still attorney’s fees may not be awarded
where no sufficient showing of bad faith could
be reflected in a party’s persistence in a case
other than an erroneous conviction of the
righteousness of his cause [Bank of America v.
Philippine Racing Club, G.R. No. 150228
(2009)].
4. Interest
Art. 2209, CC. If the obligation consists in
the payment of a sum of money, and the
debtor incurs in delay, the indemnity for
damages, there being no stipulation to the
contrary, shall be the payment of the
interest agreed upon, and in the absence of
stipulation, the legal interest, which is six
per cent per annum.
Art. 2210, CC. Interest may, in the
discretion of the court, be allowed upon
damages awarded for breach of contract.
Art. 2211, CC. In crimes and quasi-delicts,
interest as a part of the damages may, in a
proper case, be adjudicated in the discretion
of the court.
Art. 2212, CC. Interest due shall earn legal
interest from the time it is judicially
demanded, although the obligation may be
silent upon this point.
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

may have reckoning date,

Art. 2213, CC. Interest cannot be recovered been shall be
upon unliquidated claims or damages, stipulated computed from
except when the demand can be in writing, default, (i.e., from
established with reasonable certainty. provided EXTRAJUDICIAL
it is not OR JUDICIAL
Interest accrues in the concept of damages excessiv DEMAND in
when: e or accordance with
1. The obligation consists in the payment of a unconsci Art. 1169) until
sum of money; onable FULL PAYMENT
2. Debtor incurs in delay; and without
3. There being no stipulation to the contrary. compounding any
interest unless
Interest on the amount of damages awarded Compounded
may be imposed at the discretion of the court interest is
and in the prevailing legal interest. No interest, expressly
however, shall be adjudged on unliquidated stipulated by the
claims or damages until the demand can be parties, by law or
established with reasonable certainty [Lara’s regulation
Gifts & Decors, Inc., v. Midtown Industrial
Sales Inc., G.R. No. 225433 (2019)]. b. In the From
absence EXTRAJUDICIAL
Compounding of interest of OR JUDICIAL
Interest due shall earn legal interest from the stipulatio DEMAND in
time it is judicially demanded, although the n, the rate accordance with
obligation may be silent on the point. of Art. 1169 of the
interest, it Civil Code, UNTIL
Note that interest due can earn only at 6%, shall be FULL PAYMENT,
whether the rate of interest of the principal is 6% per without
greater than 6%. annum compounding
(legal any interest
Determination of legal interest interest) unless
1. When an obligation, regardless of its compounded
source (i.e., law, contracts, quasi- interest is
contracts, delicts or quasi-delicts) is expressly
breached, the contravenor can be held stipulated by law
liable for damages. or regulation.
2. With regard to an award of in the concept Interest Legal From the time of
of actual and compensatory damages, the due on the interest JUDICIAL
rate of interest, as well as the accrual principal (6%) DEMAND
thereof, is imposed, as follows [Lara’s Gifts amount UNTIL FULL
& Decors, Inc., v. Midtown Industrial Sales accruing PAYMENT
Inc., supra]: as of
judicial
BASE RATE ACCRUAL demand
When the obligation is breached and it shall
consists in the PAYMENT OF SUM OF SEPARAT
MONEY (i.e, a loan or forbearance of ELY earn
money, goods, credits or judgments): LEGAL
Interest a. That In the absence of INTEREST
due which a stipulated

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No legal interest will be added after the Art. 2203 exhorts parties suffering from loss or
judgement becomes final and executory injury to exercise the diligence of a good father
unlike in Eastern Shipping Lines v. CA, G.R. of a family to minimize the damages resulting
No. 97412 (1994) and Nacar v. Gallery from the act or omission in question. The one
Frames G.R. No. 189871, (2013) who is injured then by the wrongful or negligent
When an obligation, NOT constituting a loan act of another should exercise reasonable care
or forbearance of money, is breached: and diligence to minimize the resulting
When Legal From the time the damage. [Lim and Gunnaban v. CA, G.R. No.
demand is interest claim is made 125817 (2002)].
establishe (6%) EXTRAJUDICIAL
d with LY OR Burden of Proof
reasonable JUDICIALLY until The DEFENDANT has the burden of proof to
certainty FULL PAYMENT establish that the victim, by the exercise of the
When Legal From the date of diligence of a good father of a family, could
demand is interest the have mitigated the damages. In the absence of
NOT (6%) JUDGMENT OF such proof, the amount of damages cannot be
establishe THE TRIAL reduced. [Lim and Gunnaban v. CA, G.R. No.
d with COURT (at which 125817 (2002)].
reasonable time the
certainty) quantification Note:
of damages may The victim is required only to take such steps
be deemed to as an ordinary prudent man would reasonably
have been adopt for his own interest.
reasonably
ascertained) Moral Damages
UNTIL FULL
PAYMENT Art. 2217, CC. Moral damages include
No legal interest will be added after the physical suffering, mental anguish, fright,
judgement becomes final and executory serious anxiety, besmirched reputation,
unlike in Eastern Shipping Lines v. CA, G.R. wounded feelings, moral shock, social
No. 97412 (1994) andNacar v. Gallery humiliation, and similar injury. Though
Frames incapable of pecuniary computation, moral
damages may be recovered if they are the
Note: The new rate of legal interest (6%) in proximate result of the defendant's wrongful
Nacar v. Gallery Frames, G.R. No. 189871 act or omission.
(2013), does not apply to judgments that have
become final and executory prior to July 1, Art. 2218, CC. In the adjudication of moral
2013. damages, the sentimental value of property,
real or personal, may be considered.
Start of Delay
1. Extrajudicial: Demand letter Moral damages are emphatically not intended
2. Judicial: Filing of complaint to enrich a complainant at the expense of the
defendant. Its award is aimed at the
Duty to Minimize restoration, within the limits of the possible, of
Art. 2203, CC. The party suffering loss or the spiritual status quo ante, and it must be
injury must exercise the diligence of a good proportional to the suffering inflicted [Visayan
father of a family to minimize the damages Sawmill v. CA, G.R. No. 83851 (1993)].
resulting from the act or omission in
question. Mental suffering means distress or serious pain
as distinguished from annoyance, regret or

Page 512 of 532

U.P. LAW BOC TORTS AND DAMAGES
vexation [Bagumbayan Corp. v. IAC, G.R. No.
L-66274 (1984)].
When awarded (Art. 2217)
Awarded when injury consists of:
1. Physical suffering
2. Besmirched reputation
3. Mental anguish
4. Fright
5. Moral shock
6. Wounded feelings
7. Social humiliation
8. Serious anxiety
9. Similar injury
Requisites for awarding moral damages
The conditions for awarding moral damages
are [InAP-2219]
1. There must be an injury, whether physical,
mental, or psychological, clearly
substantiated by the claimant;
2. There must be a culpable act or omission
factually established;
3. The wrongful act or omission of the
defendant must be the proximate cause of
the injury sustained by the claimant; and
4. The award of damages is predicated on
any of the cases stated in Art. 2219 of the
CC. [Sulpicio Lines v. Curso, G.R. No.
157009 (2010)]:
General Principles of Recovery:
1. Moral damages must somehow be
proportional to the suffering inflicted.
2. In culpa contractual or breach of contract,
moral damages may be recovered when
the defendant acted in bad faith or was
guilty of gross negligence (amounting to
bad faith) or in wanton disregard of his
contractual obligation and, exceptionally,
when the act of breach of contract itself is
constitutive of tort resulting in physical
injuries.
3. By special rule in Art. 1764, in relation to
Art. 2206, moral damages may also be
awarded in case the death of a passenger
results from a breach of carriage.
4. In culpa aquiliana or quasi-delict,
a. when an act or omission causes
physical injuries, or
Page 513 of 532
CIVIL LAW
b. where the defendant is guilty of
intentional tort, moral damages may
aptly be recovered. This rule also
applies to contracts when breached by
tort.
5. In culpa criminal, moral damages could be
lawfully due when the accused is found
guilty of physical injuries, lascivious acts,
adultery or concubinage, illegal or arbitrary
detention, illegal arrest, illegal search, or
defamation.
6. Malicious prosecution can also give rise to
a claim for moral damages. The term
"analogous cases," referred to in Art. 2219,
following the ejusdem generis rule, must be
held similar to those expressly enumerated
by the law.
7. Although the institution of a clearly
unfounded civil suit can at times be a legal
justification for an award of attorney's fees,
such filing, however, has almost invariably
been held not to be a ground for an award
of moral damages. [Expertravel & Tours v.
CA., G.R. No. 130030 (1999)].
8. The burden rests on the person claiming
moral damages to show convincing
evidence for good faith is presumed. In a
case involving simple negligence, moral
damages cannot be recovered. [Villanueva
v. Salvador, G.R. No. 139436 (2006)].
9. Failure to use the precise legal terms or
"sacramental phrases" of "mental anguish,
fright, serious anxiety, wounded feelings or
moral shock" does not justify the denial of
the claim for damages. It is sufficient that
these exact terms have been pleaded in
the complaint and evidence has been
adduced [Miranda-Ribaya v. Bautista, G.R.
No. L-49390 (1980)].
10. Even if the allegations regarding the
amount of damages in the complaint are
not specifically denied in the answer, such
damages are not deemed admitted.
[Raagas, et al. v. Traya et al, G.R. No. L-
20081 (1968)]
11. An appeal in a criminal case opens the
whole case for review and this 'includes the
review of the penalty, indemnity and
damages’. Even if the offended party had
not appealed from said award, and the only
party who sought a review of the decision
U.P. LAW BOC TORTS AND DAMAGES
of said court was the accused, the court
can increase damages awarded.
[Sumalpong v. CA, G.R. No. 123404
(1997)].
12. It can only be awarded to natural persons.
The award of moral damages cannot be
granted in favor of a corporation because,
being an artificial person and having
existence only in legal contemplation, it has
no feelings, no emotions, no senses, It
cannot, therefore, experience physical
suffering and mental anguish, which can be
experienced only by one having a nervous
system. [ABS-CBN v. CA, G.R. No. 128690
(1999)].
13. While it is true that besmirched reputation
is included in moral damages, it cannot
cause mental anguish to a corporation,
unlike in the case of a natural person, for a
corporation has no reputation in the sense
that an individual has, and besides, it is
inherently impossible for a corporation to
suffer mental anguish [NAPOCOR v.
Philipp Brothers, G.R. Ni, 126204 (2001)].
i. When moral damages are recoverable
Art. 2219, CC. Moral damages may be
recovered in the following and analogous
cases:
1. A criminal offense resulting in physical
injuries;
2. Quasi-delicts causing physical injuries;
3. Seduction, abduction, rape, or other
lascivious acts;
4. Adultery or concubinage;
5. Illegal or arbitrary detention or arrest;
6. Illegal search;
7. Libel, slander or any other form of
defamation;
8. Malicious prosecution;
9. Acts mentioned in article 309;
10. Acts and actions referred to in articles
21, 26, 27, 28, 29, 30, 32, 34, and 35.
The parents of the female seduced,
abducted, raped, or abused, referred to in
No. 3 of this article, may also recover moral
damages.
The spouse, descendants, ascendants, and
brothers and sisters may bring the action
Page 514 of 532
CIVIL LAW
mentioned in No. 9 of this article, in the
order named.
1. In Criminal Offense resulting in physical
injuries and death
Under paragraph (1), Art. 2219 of the CC,
moral damages may be recovered in a criminal
offense resulting in physical injuries. In its
generic sense, "physical injuries" includes
death [People v. Villaver, G.R. No. 133381
(2001)].
Moral damages are awarded despite the
absence of proof of mental and emotional
suffering of the victim’s heirs since a violent
death necessarily brings about emotional pain
and anguish on the part of the victim’s family.
[People v. Vilarmea, G.R. No. 200029,
November 13, (2013)].
2. In Quasi-delicts resulting in physical
injuries
In culpa aquiliana, or quasi-delict, moral
damages may be recovered (a) when an act or
omission causes physical injuries, or (b) where
the defendant is guilty of intentional tort. The
SC held that an employer that is vicariously
liable with its employee-driver may also be held
liable for moral damages to the injured plaintiff
[B.F. Metal v. Lomotan, G.R. No. 170813
(2008)].
In Laconsay v. Berog G.R. No. 188686 (2014),
the court awarded ₱1,000,000.00 as moral
damages which is commensurate to the
suffering inflicted to Fidel. This is in accord with
the extent and nature of the physical and
psychological injuries suffered by Fidel. The
damage which caused the loss of his right leg
is not only permanent and lasting but would
likewise permanently alter and adjust the
physiological changes that his body would
normally undergo as he matures.
3. In seduction, abduction, rape, and other
lascivious acts
Anent the award of damages, civil indemnity ex
delicto is mandatory upon finding of the fact of
U.P. LAW BOC TORTS AND DAMAGES
rape while moral damages is awarded upon
such finding without need of further proof
because it is assumed that a rape victim has
actually suffered moral injuries entitling the
victim to such award. [People v. Calongui, G.R.
No. 170566(2006); People v. Lizano G.R. No.
174470, (2007)]
The award of moral damages in a conviction for
simple rape should equal the award of moral
damages in convictions for qualified rape.
Truly, [the victim’s] moral suffering is just as
great as when her father who raped her is
convicted for qualified rape as when he is
convicted only for simple rape due to a
technicality [People v. Bartolini, supra].
Where there are multiple counts of rape and
other lascivious acts, the court awarded moral
damages for each count of lascivious acts and
each count of rape [People v. Abadies, G.R.
Nos. 13946-50 (2002)].
Note: Recovery may be had by the offended
party and also by her parents.
4. In illegal or arbitrary detention or arrest
Since the crime committed in this case is
kidnapping and failure to return a minor under
Art. 270 of the RPC, the crime was clearly
analogous to illegal and arbitrary detention or
arrest. Therefore, the award of moral damages
is justified [People v. Bernardo, G.R. No.
144316 (2002)].
In People v. Madsali G.R. No. 179570 (2010),
two separate informations were filed: 1) for
abduction with rape and 2) for serious illegal
detention. The court awarded moral damages
predicated on AAA having suffered serious
anxiety and fright when she was detained for
more than 5 months. Such award is different
from the award of moral damages based on the
rape case since the court granted it based on
the odious act or rape.
Page 515 of 532
CIVIL LAW
5. In case of libel, slander, or any other
form of defamation
The court ruled that the commission of Slight
Oral Defamation caused injury to the
petitioner’s feelings and reputation as a
barangay captain. Hence, the petitioner is
entitled to moral damages in the sum of
₱5,000.00 [Occena v. Icamina, supra].
6. In case of malicious prosecution
A person's right to litigate, as a rule, should not
be penalized. This right, however, must be
exercised in good faith. Absence of good faith
in the present case is shown by the fact that
petitioner clearly has no cause of action
against respondents, but it recklessly filed a
suit anyway and wantonly pursued pointless
appeals, thereby causing the latter to spend
valuable time, money and effort in
unnecessarily defending themselves, incurring
damages in the process [Industrial Insurance v.
Bondad, G.R. No. 136722 (2000)].
Moral damages cannot be recovered from a
person who has filed a complaint against
another in good faith, or without malice or bad
faith. If damage results from the filing of the
complaint, it is damnum absque injuria [Mijares
v. CA, G.R. No. 113558(1997)].
7. In acts referred to in Arts. 21, 26, 27, 28,
29, 32, 34 and 35, CC
Art. 21, CC. Any person who wilfully causes
loss or injury to another in a manner that is
contrary to morals, good customs or public
policy shall compensate the latter for the
damage.
Acts Contra Bonus Mores
Moral damages are recoverable where the
dismissal of the employee was attended by bad
faith or fraud or constituted an act oppressive
to labor, or was done in a manner contrary to
morals, good customs, or public policy [Triple
Eight v. NLRC, G.R. No. 129584, (1998)].
U.P. LAW BOC TORTS AND DAMAGES
Art. 26, CC. Every person shall respect the
dignity, personality, privacy and peace of
mind of his neighbors and other persons.
The following and similar acts, though they
may not constitute a criminal offense, shall
produce a cause of action for damages,
prevention and other relief:
1. Prying into the privacy of
another's residence:
2. Meddling with or disturbing
the private life or family
relations of another;
3. Intriguing to cause another
to be alienated from his
friends;
4. Vexing or humiliating
another on account of his
religious beliefs, lowly
station in life, place of birth,
physical defect, or other
personal condition.
Violation of Human Dignity
The law seeks to protect a person from being
unjustly humiliated so the court awarded moral
damages to the plaintiff who was accused by
the respondent of having an adulterous
relationship with another woman in the
presence of his wife, children, neighbors and
friends [Concepcion v. CA, G.R. No. 120706
(2000)].
Art. 27, CC. Any person suffering material
or moral loss because a public servant or
employee refuses or neglects, without just
cause, to perform his official duty may file an
action for damages and other relief against
the latter, without prejudice to any
disciplinary administrative action that may
be taken.
Refusal or Neglect of Duty
Under Art. 27, in relation to Arts. 2219 and
2217, a public officer may be liable for moral
damages for as long as the moral damages
suffered by [the plaintiff] were the proximate
result of [defendant’s] refusal to perform an
official duty or neglect in the performance
thereof. In fact, under Arts. 19 and 27 of the
CC, a public official may be made to pay
damages for performing a perfectly legal act,
Page 516 of 532
CIVIL LAW
albeit done in bad faith or in violation of the
"abuse of right" doctrine.
Art. 28, CC. Unfair competition in
agricultural, commercial or industrial
enterprises or in labor through the use of
force, intimidation, deceit, machination or
any other unjust, oppressive or highhanded
method shall give rise to a right of action by
the person who thereby suffers damage.
Art. 29, CC. When the accused in a criminal
prosecution is acquitted on the ground that
his guilt has not been proved beyond
reasonable doubt, a civil action for damages
for the same act or omission may be
instituted. Such action requires only a
preponderance of evidence. Upon motion of
the defendant, the court may require the
plaintiff to file a bond to answer for damages
in case the complaint should be found to be
malicious.
If in a criminal case the judgment of acquittal
is based upon reasonable doubt, the court
shall so declare. In the absence of any
declaration to that effect, it may be inferred
from the text of the decision whether or not
the acquittal is due to that ground.
Art. 32, CC. Any public officer or employee,
or any private individual, who directly or
indirectly obstructs, defeats, violates or in
any manner impedes or impairs any of the
following rights and liberties of another
person shall be liable to the latter for
damages:
(1) Freedom of religion;
(2) Freedom of speech;
(3) Freedom to write for the press or to
maintain a periodical publication;
(4) Freedom from arbitrary or illegal
detention;
(5) Freedom of suffrage;
(6) The right against deprivation of property
without due process of law;
(7) The right to a just compensation when
private property is taken for public use;
(8) The right to the equal protection of the
laws;
U.P. LAW BOC TORTS AND DAMAGES
(9) The right to be secure in one's person,
house, papers, and effects against
unreasonable searches and seizures;
(10) The liberty of abode and of changing
the same;
(11) The privacy of communication and
correspondence;
(12) The right to become a member of
associations or societies for purposes
not contrary to law;
(13) The right to take part in a peaceable
assembly to petition the government for
redress of grievances;
(14) The right to be free from involuntary
servitude in any form;
(15) The right of the accused against
excessive bail;
(16) The right of the accused to be heard by
himself and counsel, to be informed of
the nature and cause of the accusation
against him, to have a speedy and
public trial, to meet the witnesses face
to face, and to have compulsory
process to secure the attendance of
witness in his behalf;
(17) Freedom from being compelled to be a
witness against one's self, or from
being forced to confess guilt, or from
being induced by a promise of immunity
or reward to make such confession,
except when the person confessing
becomes a State witness;
(18) Freedom from excessive fines, or cruel
and unusual punishment, unless the
same is imposed or inflicted in
accordance with a statute which has not
been judicially declared
unconstitutional; and
(19) Freedom of access to the courts.
In any of the cases referred to in this article,
whether or not the defendant's act or
omission constitutes a criminal offense, the
aggrieved party has a right to commence an
entirely separate and distinct civil action for
damages, and for other relief. Such civil
action shall proceed independently of any
criminal prosecution (if the latter be
instituted), and mat be proved by a
preponderance of evidence.
Page 517 of 532
CIVIL LAW
The indemnity shall include moral damages.
Exemplary damages may also be
adjudicated.
The responsibility herein set forth is not
demandable from a judge unless his act or
omission constitutes a violation of the Penal
Code or other penal statute.
Violation of Civil and Political Rights
The purpose of [CC 32] is to provide a sanction
to the deeply cherished rights and freedoms
enshrined in the Constitution. Under [CC 32], it
is not necessary that the public officer acted
with malice or bad faith. To be liable, it is
enough that there was a violation of the
constitutional rights of the petitioner, even on
the pretext of justifiable motives or good faith in
the performance of one's duties [Cojuangco v.
CA, G.R. No. 119398 (1999)].
Art. 32 of the CC provides that moral damages
are proper when the rights of individuals,
including the right against deprivation of
property without due process of law, are
violated [Meralco v. Spouses Chua, G.R. No.
160422 (2010)].
Art. 34, CC. When a member of a city or
municipal police force refuses or fails to
render aid or protection to any person in
case of danger to life or property, such
peace officer shall be primarily liable for
damages, and the city or municipality shall
be subsidiarily responsible therefor. The
civil action herein recognized shall be
independent of any criminal proceedings,
and a preponderance of evidence shall
suffice to support such action.
Art. 35, CC. When a person, claiming to be
injured by a criminal offense, charges
another with the same, for which no
independent civil action is granted in this
Code or any special law, but the justice of
the peace finds no reasonable grounds to
believe that a crime has been committed, or
the prosecuting attorney refuses or fails to
institute criminal proceedings, the complaint
may bring a civil action for damages against
the alleged offender. Such civil action may
be supported by a preponderance of
U.P. LAW BOC TORTS AND DAMAGES
evidence. Upon the defendant's motion, the
court may require the plaintiff to file a bond
to indemnify the defendant in case the
complaint should be found to be malicious.
If during the pendency of the civil action, an
information should be presented by the
prosecuting attorney, the civil action shall be
suspended until the termination of the
criminal proceedings.
Art. 2220, CC. Willful injury to property may
be a legal ground for awarding moral
damages if the court should find that, under
the circumstances, such damages are justly
due. The same rule applies to breaches of
contract where the defendant acted
fraudulently or in bad faith.
In Willful Injury to Property
To sustain an award of damages, the damage
inflicted upon [plaintiff’s] property must be
malicious or willful, an element crucial to merit
an award of moral damages under Art. 2220 of
the CC [Regala v. Carin, G.R. No. 188715
(2011)].
In Breach of Contract in Bad Faith
To recover moral damages in an action for
breach of contract, the breach must be
palpably wanton, reckless, malicious, in bad
faith, oppressive, or abusive. Bad faith imports
a dishonest purpose and conscious doing of a
wrong and the person claiming moral damages
must prove bad faith by clear and convincing
evidence because good faith is always
presumed. The Court held that there was no
bad faith on the part of the petitioners. Hence,
the award for moral damages was not proper
[Francisco v. Ferrer G.R. No. 130030, (1999)].
It is not enough that one merely suffered
sleepless nights, mental anguish, and serious
anxiety as a result of the actuations of the other
party. The action must have been willfully done
in bad faith or with ill motive [Spouses
Valenzuela v. Spouses Mano, G.R. No.
172611, July 9, (2010)].
A conscious or intentional design need not
always be present to award moral damages
since negligence may occasionally be so gross
as to amount to malice or bad faith. Bad faith,
Page 518 of 532
CIVIL LAW
in the context of Art. 2220 of the CC,
includes gross negligence. Thus, we have held
in a number of cases that moral damages may
be awarded in culpa contractual or breach of
contract when the defendant acted fraudulently
or in bad faith, or is guilty of gross negligence
amounting to bad faith, or in wanton disregard
of his contractual obligations [Bankard, Inc. v.
Feliciano, G.R. No 141761 (2006)].
ii. Who may Recover Moral Damages
Relatives of Injured Persons
The omission of brothers and sisters of the
deceased passenger in Art. 2206(3) reveals
the legislative intent to exclude them from the
persons authorized to recover moral damages
for mental anguish by reason of the death of
the deceased (inclusion unius est exclusion
alterius). The usage of the phrase analogous
cases in the provision means simply that the
situation must be held similar to those
expressly enumerated in the law in question
[Sulpicio Lines v. Curso, supra].
Art. 233 of the Family Code states that the
person exercising substitute parental authority
shall have the same authority over the child as
the parents. Persons exercising substitute
parental authority are to be considered
ascendants for the purpose of awarding moral
damages. [Caravan Travel and Tours
International, Inc. v. Abejar, G.R. No. 170631,
(2016)].
Juridical Persons
The award of moral damages cannot be
granted in favor of a corporation because,
being an artificial person and having existence
only in legal contemplation, it has no feelings,
no emotions, no senses. It cannot, therefore,
experience physical suffering and mental
anguish, which can be experienced only by one
having a nervous system. The statement in
People vs. Manero and Mambulao Lumber Co.
vs. PNB that a corporation may recover moral
damages if it "has a good reputation that is
debased, resulting in social humiliation" is an
obiter dictum [ABS-CBN v. CA, supra].
U.P. LAW BOC TORTS AND DAMAGES
Although the general rule is that a juridical
person is not entitled to moral damages since
it cannot experience the same suffering that a
natural person does, Art. 2219(7) expressly
authorizes the recovery of moral damages in
cases of libel, slander, or any other form of
defamation. Art. 2219(7) does not qualify
whether the plaintiff is a natural or juridical
person. Therefore, a corporation can validly file
a complaint for libel or any other form of
defamation and claim for moral damages
[Filipinas Broadcasting v. Ago, G.R. No.
141994, (2005)].
Factors Considered in Determining Amount
The amount of damages awarded in this
appeal has been determined by adequately
considering the official, political, social, and
financial standing of the offended parties on
one hand, and the business and financial
position of the offender on the other. The SC
further considered the present rate of
exchange and the terms at which the amount
of damages awarded would approximately be
in U.S. dollars, the defendant being an
international airline [Lopez v. Pan American,
G.R. No. L-22415 (1966)].
Nominal Damages
Nominal damages consist of damages
awarded not for the purposes of indemnifying
the plaintiff for any loss suffered, but for the
vindication or recognition of a right violated by
the defendant. Nominal damages are awarded
in every obligation arising from law, contracts,
quasi-contracts, acts or omissions punished by
law, and quasi-delicts [PNOC v. CA, G.R. No.
107518, (1998)].
Requisites and characteristics
1. Invasion or violation of any legal or
property right.
2. No proof of loss is required.
3. The award is to vindicate the right violated.
i. When Nominal Damages are
Recoverable
Art. 2221, CC. Nominal damages are
adjudicated in order that a right of the
Page 519 of 532
CIVIL LAW
plaintiff, which has been violated or invaded
by the defendant, may be vindicated or
recognized, and not for the purpose of
indemnifying the plaintiff for any loss
suffered by him.
Art. 2222, CC. The court may award
nominal damages in every obligation arising
from any source enumerated in article 1157,
or in every case where any property right
has been invaded.
Art. 2223, CC. The adjudication of nominal
damages shall preclude further contest
upon the right involved and all accessory
questions, as between the parties to the
suit, or their respective heirs and assigns.
1. Violation of a right
Nominal damages "are recoverable where a
legal right is technically violated and must be
vindicated against an invasion that has
produced no actual present loss of any kind.”
Its award is thus not for the purpose of
indemnification for a loss but for the recognition
and vindication of a right. When granted by the
courts, they are not treated as an equivalent of
a wrong inflicted but simply a recognition of the
existence of a technical injury [Gonzales v.
PCIB, G.R. No. 180257 (2011)].
Nominal damages may also be awarded in
cases where a property right has been
invaded. [Twin Ace v. Rufina, G.R. No. 160191,
(2006)].
2. No actual loss caused or proven
When the plaintiff suffers injury not enough to
warrant an award of actual damages, then
nominal damages may be given. [Twin Ace v.
Rufina, supra].
Nominal damages may also be awarded where
there has been a breach of contract and no
substantial injury or actual damages
whatsoever have been or can be shown
[Areola v. CA, G.R. No. 95641, (1994)].
U.P. LAW BOC TORTS AND DAMAGES
The amount to be awarded shall be equal to or
at least commensurate to the injury sustained
considering the concept and purpose of such
damages. [Lufthansa v. CA as cited in PNOC
v. CA, supra].
3. Under conditions of equity
The plaintiffs sought to recover damages from
the hotel due to its breach of contract as
regards food service for the plaintiff’s guests.
The SC did not award actual and moral
damages because it found that the plaintiff’s
failure to inform the hotel of the increase of
guests was the proximate cause of the
plaintiff’s injury. Nevertheless, the SC awarded
nominal damages under considerations of
equity, for the discomfiture that the plaintiffs
were subjected to during the event, averring
that the hotel could have managed the
"situation" better, it being held in high esteem
in the hotel and service industry. [Spouses
Guanio v. Makati Shangri-la, G.R. No. 190601
(2011)].
Nature and determination of amount
The assessment of nominal damages is left to
the discretion of the trial court according to the
circumstances of the case.
Small but substantial
Generally, nominal damages, by their nature,
are small sums fixed by the court without
regard to the extent of the harm done to the
injured party. However, it is generally held that
nominal damages is a substantial claim, if
based upon the violation of a legal right; in such
a case, the law presumes damage although
actual or compensatory damages are not
proven [Gonzales v. People, G.R. No. 159950
(2007)].
Commensurate to the injury suffered
Even if there was no documentary evidence to
justify Maria’s claim for actual damages, she
was still awarded nominal damages to
vindicate her right and its value was
commensurate to the injury she suffered
[Pedrosa v. CA, G.R. No. 118680, (2001)].
Page 520 of 532
CIVIL LAW
Special reasons extant in the case
Since the assessment of damages are being
left to the discretion of the court, the
circumstances of a particular case will
determine whether the amount assessed as
nominal damage is within the scope or intent of
the law [Robes-Francisco v. CFI, G.R. No. L-
41093, (1978)].
For instance, in the case of People v. Bernardo,
supra, given the relatively short duration of the
child’s kidnapping, the court found the amount
of ₱50,000.00 awarded as nominal damages
excessive, so it was reduced to ₱10,000.00.
Temperate Damages
Art. 2224, CC. Temperate or moderate
damages, which are more than nominal but
less than compensatory damages, may be
recovered when the court finds that some
pecuniary loss has been suffered but its
amount cannot, from the nature of the case,
be provided with certainty.
Art. 2225, CC. Temperate damages must
be reasonable under the circumstances.
These damages are awarded for pecuniary
loss, in an amount that, from the nature of the
case, cannot be proved with certainty.
Temperate damages are more than nominal
but less than compensatory damages. [Tan v.
OMC Carriers, 2011 supra].
Temperate damages are incompatible with
nominal damages hence, cannot be granted
concurrently [Citytrust Bank v. IAC, G.R. No.
84281(1994)].
Requisites
1. Actual existence of pecuniary loss;
2. The nature and circumstances of the loss
prevents proof of the exact amount;
3. They are more than nominal and less than
compensatory;
4. Causal connection between the loss and
the defendant’s act or omission;
5. Amount must be reasonable.
U.P. LAW BOC TORTS AND DAMAGES
i. When Temperate Damages are
Recoverable
1. Nature of the case prevents
determination of actual loss
There are cases where from the nature of the
case, definite proof of pecuniary loss cannot be
offered, although the court is convinced that
there has been such loss. For instance, injury
to one's commercial credit or to the goodwill of
a business firm is often hard to show certainty
in terms of money.
2. In addition to civil indemnity
3. Cases where amount of loss is not
proven
Temperate damages are included in the
context of compensatory damages. In cases
where definite proof of pecuniary loss cannot
be offered, temperate damages can be granted
if the court is convinced that there has been
such loss. The court awarded temperate
damages in lieu of actual damages for loss of
earning capacity where earning capacity is
plainly established but no evidence was
presented to support the allegation of the
injured party’s actual income [Pleno v. CA,
G.R. No. 56505 (1988)].
The allowance of temperate damages when
actual damages were not adequately proven is
ultimately a rule drawn from equity, the
principle affording relief to those definitely
injured who are unable to prove how definite
the injury is [Republic v. Tuvera, G.R. No.
148246 (2007)].
4. In addition to other actual damages
proven when there is a chronic and
continuing injury involved
In cases where the resulting injury might be
continuing and possible future complications
directly arising from the injury, while certain to
occur are difficult to predict, temperate
damages can and should be awarded on top of
actual or compensatory damages; in such
cases, there is no incompatibility between
Page 521 of 532
CIVIL LAW
actual and temperate damages as they cover
two distinct phases [Ramos v. CA, G.R. No.
124354 (1999)].
ii. Factors in determining amount
In general
The court awarded temperate damages where
from the nature of the case, definite proof of
pecuniary loss cannot be adduced, although
the court is convinced that the plaintiff suffered
some pecuniary loss. The court also increased
the award of temperate damages from
₱100,000 to ₱150,000, taking into account the
cost of rebuilding the damaged portions of the
perimeter fence [De Guzman v. Tumolva, G.R.
No. 188072 (2011)].
Receipts amounting to less than P25,000
If the actual damages, proven by receipts
during the trial, amount to less
than ₱25,000.00, the victim shall be entitled to
temperate damages in the amount
of ₱25,000.00, in lieu of actual damages. In
this case, the victim is entitled to the award of
₱25,000.00 as temperate damages
considering that the amount of actual damages
proven by receipts is only ₱3,858.50. Hence,
the actual damages shall be deleted.
Conversely, if the amount of actual damages
proven exceeds ₱25,000, then temperate
damages may no longer be awarded; actual
damages based on the receipts presented
during trial should instead be granted. [People
v. Lucero, G.R. No. 179044 (2010)].
Where no receipts were provided
When no documentary evidence of burial or
funeral expenses is presented in court, the
amount of ₱50,000.00 as temperate damages
shall be awarded [People v. Jugueta, G.R. No.
202124, (2016)].
Liquidated Damages
Art. 2226, CC. Liquidated damages are
those agreed upon by the parties to a
contract, to be paid in case of breach
thereof.
U.P. LAW BOC TORTS AND DAMAGES
Art. 2227, CC. Liquidated damages,
whether intended as an indemnity or a
penalty, shall be equitably reduced if they
are iniquitous or unconscionable.
Requisites and characteristics
1. Liquidated damages must be validly
stipulated.
2. There is no need to prove the amount of
actual damages.
3. Breach of the principal contract must be
proved.
Rules Governing Breach of Contract
Art. 2228, CC. When the breach of the
contract committed by the defendant is not
the one contemplated by the parties in
agreeing upon the liquidated damages, the
law shall determine the measure of
damages, and not the stipulation.
The stipulation on attorney’s fees contained in
the promissory note constitutes what is known
as a penalty clause. A penalty clause,
expressly recognized by law, is an accessory
undertaking to assume greater liability on the
part of the obligor in case of breach of an
obligation. It functions to strengthen the
coercive force of obligation and to provide, in
effect, the liquidated damages resulting from
such a breach. The obligor would then be
bound to pay the stipulated indemnity without
the necessity of proof on the existence and on
the measure of damages caused by the breach
[Suatengco v. Reyes, G.R. No. 162729
(2008)].
General Rule: The penalty shall substitute the
indemnity for damages and the payment of the
interests in case of breach.
Exceptions:
1. When there is a stipulation to the contrary.
2. When the obligor is sued for refusal to pay
the agreed penalty.
3. When the obligor is guilty of fraud.
The amount can be reduced if:
1. It is unconscionable as determined by the
court;
2. There is partial or irregular performance.
Page 522 of 532
CIVIL LAW
In Titan v Unifield, G.R. No. 153874 (2007), the
Supreme Court found that the attorney’s fees
stipulated were too high. Since Uni-Field was
adequately protected by separate stipulations
on the balance, liquidated damages, and
attorney’s fees in case of breach, the Court
reduced the attorney’s fees to 25% of the
principal amount instead of the whole claim. It
also allowed the recovery of both liquidated
damages and attorney’s fees even if both were
in the nature of penalty clauses.
In Ligutan v. CA, G.R. No. 138677 (2002) the
court reduced the penalty from 5% to 3% for
being unconscionable. The question of
whether a penalty is reasonable or iniquitous
can be partly subjective and partly objective. Its
resolution would depend on such factors as,
but not necessarily confined to, the type, extent
and purpose of the penalty, the nature of the
obligation, the mode of breach and its
consequences, the supervening realities, the
standing and relationship of the parties, and
the like, the application of which, by and large,
is addressed to the sound discretion of the
court.
A penalty may be deleted if there is substantial
performance or if the penalty has a fatal
infirmity [RCBC v. CA, G.R. No. 128833
(1998)].
Exemplary or Corrective
Damages
Art. 2229, CC. Exemplary or corrective
damages are imposed, by way of example
or correction for the public good, in addition
to the moral, temperate, liquidated or
compensatory damages.
General Principles
1. Exemplary damages cannot be awarded
alone: they must be awarded IN ADDITION
to moral, temperate, liquidated or
compensatory damages.
2. The purpose of the award is to deter the
defendant (and others in a similar
condition) from a repetition of the acts for
which exemplary damages were awarded;
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

hence, they are not recoverable as a In criminal offenses

matter of right.
3. The defendant must be guilty of malice or
negligence above the ordinary.
4. Plaintiff is not required to prove the amount
of exemplary damages.
(a) But plaintiff must show that he is
entitled to moral, temperate, or
compensatory damage; that is,
substantial damages, not purely
nominal ones. This requirement
applies even if the contract stipulates
liquidated damages [PNB v. CA, G.R.
No. 116181 (1996)].
(b) The amount of exemplary damage
need not be pleaded in the complaint
because the same cannot be proved. It
is merely incidental or dependent upon
what the court may award as
compensatory damages.
Under Art. 2234 of the CC, a showing that the
plaintiff is entitled to temperate damages
allows the award of exemplary damages
[Canada v. All Commodities Marketing (2008)].
Exemplary damages are imposed not to enrich
one party or impoverish another but to serve as
a deterrent against or as a negative incentive
to curb socially deleterious actions. [PNB v.
CA, supra].
Art. 2230, CC. In criminal offenses,
exemplary damages as a part of the civil
liability may be imposed when the crime
was committed with one or more
aggravating circumstances. Such damages
are separate and distinct from fines and
shall be paid to the offended party.
Award of exemplary damages is part of the civil
liability, not of the penalty. Damages are paid
to the offended party separately from the fines.
Unlike the criminal liability which is basically a
state concern, the award of damages is
primarily intended for the offended party who
suffers thereby. It would make little sense for
an award of exemplary damages to be due the
private offended party when the aggravating
circumstance is ordinary but to be withheld
when it is qualifying. Withal, the ordinary or
qualifying nature of an aggravating
circumstance is a distinction that should only
be of consequence to the criminal, rather than
to the civil, liability of the offender. In fine,
relative to the civil aspect of the case, an
aggravating circumstance, whether ordinary or
qualifying, should entitle the offended party to
an award of exemplary damages within the
unbridled meaning of Art. 2230 [People v.
Dadulla, G.R. No. 172321 (2011)].

i. When Exemplary Damages are In Rape Cases

Recoverable The retroactive application of these procedural
rules cannot adversely affect the rights of a
WHEN EXEMPLARY private offended party that have become
ARISING
DAMAGES ARE vested, where the offense was committed prior
FROM
GRANTED to the effectivity of said rules. Consequently,
The crime was aggravating circumstances which were not
Art. committed with an alleged in the information but proved during the
Crimes
2230 aggravating trial may be appreciated for the limited purpose
circumstance/s of determining appellant’s liability for
Art. Quasi- Defendant acted with exemplary damages. The presence of the
2231 delicts gross negligence qualifying circumstance of knowledge by the
Defendant acted in a offender of the offended party’s mental
Contracts
Art. wanton, fraudulent, disability, although not alleged in the
and Quasi- information, was proved during trial, which
2232 reckless, oppressive,
contracts
or malevolent manner justifies the award of exemplary damages
[People v. Diunsay-Jalandoni, G.R. No.
174277 (2007)].

Page 523 of 532

U.P. LAW BOC TORTS AND DAMAGES
Being corrective in nature, exemplary
damages, therefore, can be awarded, not only
in the presence of an aggravating
circumstance, but also where the
circumstances of the case show the highly
reprehensible or outrageous conduct of the
offender. As in this case, where the offender
sexually assaulted a pregnant married woman,
the offender has shown moral corruption,
perversity, and wickedness. He has grievously
wronged the institution of marriage. The
imposition then of exemplary damages by way
of example to deter others from committing
similar acts or for correction for the public good
is warranted [People v. Alfredo, G.R. No.
188560 (2010)].
In quasi-delicts
Art. 2231, CC. In quasi-delicts, exemplary
damages may be granted if the defendant
acted with gross negligence.
In Globe Mackay v. CA, G.R. No. 81262 (1989)
the previous employer of the plaintiff, wrote a
letter to the company where the plaintiff
subsequently applied for employment, stating
that the plaintiff was dismissed by the
defendant from work due to dishonesty and
malversation of the defendant’s funds.
Previous police investigations revealed that the
defendant’s accusations against the plaintiff
were unfounded, and they cleared the plaintiff
of such ‘anomalies’. Here, the lower court
awarded exemplary damages to the plaintiff,
which the defendant questioned, averring that
CC 2231 may be awarded only for grossly
negligent acts, not for willful or intentional acts.
The SC upheld the grant of exemplary
damages, stating that while CC 2231 provides
that for quasi-delicts, exemplary damages may
be granted if the defendant acted with gross
negligence, with more reason is its imposition
justified when the act performed is deliberate,
malicious and tainted with bad faith.
In contracts and quasi-contracts
Art. 2232, CC. In contracts and quasi-
contracts, the court may award exemplary
damages if the defendant acted in a wanton,
fraudulent, reckless, oppressive, or
malevolent manner.
Page 524 of 532
CIVIL LAW
The Court held that the airline’s disrespectful
and unhelpful treatment of Andion amounted to
bad faith. Andion was awarded exemplary
damages under Art. 2232 [Singapore Airlines
v. Fernandez, G.R. No. 142305 (2003)].
Exemplary damages may be awarded to serve
as a deterrent to those who, like Arco, use
fraudulent means to evade their liabilities [Arco
Pulp and Paper Co., Inc. v. Lim, G.R. No.
206806 (2014)].
ii. Requisites
Art. 2233, CC. Exemplary damages cannot
be recovered as a matter of right; the court
will decide whether or not they should be
adjudicated.
Art. 2234, CC. While the amount of the
exemplary damages need not be proved,
the plaintiff must show that he is entitled to
moral, temperate or compensatory
damages before the court may consider the
question of whether or not exemplary
damages should be awarded. In case
liquidated damages have been agreed
upon, although no proof of loss is necessary
in order that such liquidated damages may
be recovered, nevertheless, before the
court may consider the question of granting
exemplary in addition to the liquidated
damages, the plaintiff must show that he
would be entitled to moral, temperate or
compensatory damages were it not for the
stipulation for liquidated damages.
Art. 2235, CC. A stipulation whereby
exemplary damages are renounced in
advance shall be null and void.
Requirements for an award of exemplary
damages [Francisco v. Ferrer, supra]:
1. They may be imposed by way of example
in addition to compensatory damages, and
only after the claimant's right to them has
been established;
2. They can not be recovered as a matter of
right; their determination depends upon
the amount of compensatory damages that
may be awarded to the claimant;
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

3. The act must be accompanied by bad faith accomplice [People v. Halil Gambao, G.R. No.
or done in a wanton, fraudulent, 172707 (2013)].
oppressive or malevolent manner.
Miscellaneous Rules
3. When damages may be
i. Damages that cannot co-
recovered exist

When Allowed Nominal with other damages

The obligation to repair the damages exists Art. 2223, CC. The adjudication of nominal
whether done intentionally or negligently damages shall preclude further contest
and whether or not punishable by law upon the right involved and all accessory
[Occena v. Icamina, G.R. No. 82146 (1990)]. questions, as between the parties to the
suit, or their respective heirs and assigns.
The mere fact that the plaintiff suffered losses
does not give rise to a right to recover Nominal damages are incompatible with
damages. To warrant the recovery of temperate and exemplary damages.
damages, there must be both a right of action
for a legal wrong inflicted by the defendant, Nominal damages cannot co-exist with actual
and damage resulting to the plaintiff or compensatory damages [Armovit v. CA,
therefrom. Wrong without damage, or damage G.R. No. 88561 (1990)].
without wrong, does not constitute a cause of
action, since damages are merely part of the Actual and liquidated
remedy allowed for the injury caused by a
Art. 2226, CC. Liquidated damages are
breach or wrong [Custodio v. CA, supra]. those agreed upon by the parties to a
contract, to be paid in case of breach
Injury vs. Damage vs. Damages [from
thereof.
Custodio]
INJURY DAMAGE DAMAGES ii. Damages that must co-exist
The
The loss,
The illegal recompense or Exemplary with moral, temperate,
hurt, or harm,
invasion compensation liquidated or compensatory
which results
of a legal awarded for There was no legal basis for the award of
from the
right the damage exemplary damages since the private
injury
suffered respondent was not entitled to moral,
temperate, or compensatory damages and
Elements for recovery of damages there was no agreement on stipulated
1. Right of action damages [Scott Consultants & Resource
2. For a wrong inflicted by the defendant Development Corp. v. CA, G.R. No. 112916
3. Damage resulting to the plaintiff (1995)].
Apportionment of Damages iii. Damages that must stand
The entire amount of the civil liabilities should alone
be apportioned among all those who
cooperated in the commission of the crime Nominal damages
according to the degrees of their liability, Art. 2223, CC. The adjudication of nominal
respective responsibilities and actual damages shall preclude further contest
participation. Hence, each principal accused- upon the right involved and all accessory
appellant should shoulder a greater share in questions, as between the parties to the
the total amount of indemnity and damages suit, or their respective heirs and assigns.
than someone who was adjudged as only an

Page 525 of 532

U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

deceased had no earning capacity at said

B. DAMAGES IN CASE OF time on account of permanent disability not
DEATH caused by the accused. If the deceased
was obliged to give support, under Art. 291,
CC, the recipient who is not an heir, may
1. Death by Crime or Quasi-Delict
demand support from the accused for not
more than five years, the exact duration to
Art. 2206, CC. The amount of damages for be fixed by the court;
death caused by a crime or quasi-delict
b. Moral damages for mental anguish, — an
shall be at least three thousand pesos, even
amount to be fixed by the court. This may
though there may have been mitigating
be recovered even by the illegitimate
circumstances. In addition:
descendants and ascendants of the
1. The defendant shall be liable for the
deceased;
loss of the earning capacity of the
c. Exemplary damages, when the crime is
deceased, and the indemnity shall be
attended by one or more aggravating
paid to the heirs of the latter; such
circumstances, — an amount to be fixed in
indemnity shall in every case be
the discretion of the court, the same to be
assessed and awarded by the court,
considered separate from fines.
unless the deceased on account of
d. Attorney's fees and expenses of litigation,
permanent physical disability not
— the actual amount thereof, (but only
caused by the defendant, had no
when a separate civil action to recover civil
earning capacity at the time of his
liability has been filed or when exemplary
death;
damages are awarded);
2. If the deceased was obliged to give
e. Interests in the proper cases.
support according to the provisions of
[Heirs of Raymundo Castro v. Bustos, G.R. No.
Article 291, the recipient who is not an
L-25913 (1969)].
heir called to the decedent's inheritance
by the law of testate or intestate
succession, may demand support from
2. Civil or Death indemnity
the person causing the death, for a
Mere commission of the crime shall entitle the
period not exceeding five years, the
heirs of the deceased to such damages.
exact duration to be fixed by the court;
3. The spouse, legitimate and illegitimate
In Rape Cases
descendants and ascendants of the
deceased may demand moral damages Civil indemnity, in the nature of actual and
for mental anguish by reason of the compensatory damages, is mandatory upon
the finding of the fact of rape. [People v.
death of the deceased.
Astrologo, G.R. No. 169873 (2007)].
In death caused by breach of conduct by a
The Court explained that the principal
common crime
consideration for the award of damages is not
When death occurs as a result of a crime, the
the public penalty imposed upon the offender,
heirs of the deceased are entitled to the
but based on the heinousness of the offense
following items of damages:
of a crime against chastity [People vs. Apattad,
a. Indemnity for the loss of earning capacity
G.R. No. 193188 (2011)].
of the deceased — an amount to be fixed
by the Court according to the
Even though the qualifying circumstance of
circumstances of the deceased related to
minority was not alleged in the information for
his actual income at the time of death and
rape, the court may still award civil indemnity.
his probable life expectancy, the said
The Court held that the designation of the
indemnity to be assessed and awarded by
offense only affects criminal liability, and not
the court as a matter of duty, unless the
civil liability because civil liability is for the

Page 526 of 532

U.P. LAW BOC TORTS AND DAMAGES
benefit of the injured party. [People v.
Bartolini, G.R. No. 179498 (2010)].
C. GRADUATION OF
DAMAGES
1. Duty of Injured Party
Art. 2203, CC. The party suffering loss or
injury must exercise the diligence of a good
father of a family to minimize the damages
resulting from the act or omission in
question.
This clearly obligates the injured party to
undertake measures that will alleviate and not
aggravate his condition after the infliction of the
injury, and places upon him the burden of
explaining why he could not do so [Chua v.
Colorite Marketing Corporation, G.R. No.
193969-193970 (2017)].
The plaintiffs maintain that the evidence clearly
establishes that they are entitled to damages in
the sum of P7,832.80 instead of P1,254.10 as
found by the trial court. There can be no doubt
that the expenses incurred by the plaintiffs as
a result of the accident greatly exceeded the
amount of the damages awarded. But bearing
in mind that in determining the extent of the
liability for losses or damages resulting from
negligence in the fulfillment of a contractual
obligation, the courts have "a discretionary
power to moderate the liability according to the
circumstances", we do not think that the
evidence is such as to justify us in interfering
with the discretion of the court below in this
respect. As pointed out by that court in its well-
reasoned and well-considered decision, by far
the greater part of the damages claimed by the
plaintiffs resulted from the fracture of a bone in
the left wrist of Joaquina Sanchez and from her
objections to having a decaying splinter of the
bone removed by a surgical operation. As a
consequence of her refusal to submit such an
operation, a series of infections ensued and
which required constant and expensive
medical treatment for several years. We agree
with the court below that the defendant should
Page 527 of 532
CIVIL LAW
not be charged with these expenses. [Lasam v.
Smith, G.R. No. L-19495 (1924)]
Principle: A party cannot recover damages
flowing from consequences which the party
could have reasonably avoided.
2. Rules
In Crimes
Art. 2204, CC. In crimes, the damages to be
adjudicated may be respectively increased
or lessened according to the aggravating or
mitigating circumstances.
Generally, in criminal cases, there are three
kinds of damages awarded by the Court,
namely: civil indemnity, moral, and exemplary
damages. Actual damages or temperate
damages may be awarded in some instances.
These are the damages that are usually
increased or decreased by the court depending
on the attendant circumstances according to
[People v. Jugueta, supra.].
1. Civil Indemnity
It is the indemnity authorized in criminal law for
the offended party, in the amount authorized by
the prevailing judicial policy and is set apart
from other proven actual damages.
This award stems from Art. 100 of the RPC
which states that "Every person criminally
liable for a felony is also civilly liable.”
It is technically, not a penalty or a fine; hence,
it can be increased by the Court when
appropriate.
2. Moral Damages
Compensatory damages awarded for mental
pain and suffering or mental anguish resulting
from a wrong.
They may also be considered and allowed "for
resulting pain and suffering, and for
humiliation, indignity, and vexation suffered by
the plaintiff as result of his or her assailant's
conduct, as well as the factors of provocation,
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

the reasonableness of the force used, the

attendant humiliating circumstances, the sex of
the victim, [and] mental distress.”
The rationale for awarding moral damages has
been explained in Lambert v. Heirs of Rey
Castillon: "[T]he award of moral damages is
aimed at a restoration, within the limits
possible, of the spiritual status quo ante; and
therefore, it must be proportionate to the
suffering inflicted."
Art. 2220 does not fix the amount of damages
that can be awarded. It is discretionary upon
the court, depending on the mental anguish or
the suffering of the private offended party so
long as it does not exceed the award of civil
indemnity.
3. Exemplary damages
Also known as "punitive" or "vindictive"
damages, exemplary or corrective damages
are intended to serve as a deterrent to serious
wrong doings, and as a vindication of undue
sufferings and wanton invasion of the rights of
an injured or a punishment for those guilty of
outrageous conduct.
It is based on the theory that there should be
compensation for the pain caused by the highly
reprehensible conduct of the defendant
associated with such circumstances as
willfulness, wantonness, malice, gross
negligence or recklessness, oppression, insult
or fraud or gross fraud that intensifies the
injury.
Even without any aggravating circumstances,
can be awarded where the circumstances of
the case show the highly reprehensible or
outrageous conduct of the offender.
4. Temperate Damages
Under Art. 2224 of the Civil Code, temperate
damages may be recovered, as it cannot be
denied that the heirs of the victims suffered
pecuniary loss although the exact amount was
not proved.
When no documentary evidence of burial or
funeral expenses is presented in court, the
amount of ₱50,000.00 as temperate damages
shall be awarded

Amount of Civil Indemnity, Moral Damages, and Exemplary Damages to be paid for the
commission of certain crimes based on People v. Jugueta (2019):
(e.g. Civil indemnity= 100,000; Moral damages=100,000; Exemplary Damages=100,000)
Crime Degree of Consummation of Crime
Consummat Frustrated Attempted
ed
I. For those crimes like Murder, Parricide, Serious Intentional Mutilation, Infanticide, and other
crimes involving death of a victim where the penalty consists of indivisible penalties:
1. Where the penalty imposed is death but was ₱100,000.00 ₱75,000.00 ₱50,000.00
reduced to reclusion perpetua because of RA
9346
2. Where the penalty imposed is reclusion ₱75,000.00 ₱50,000.00 ₱25,000.00
perpetua, other than the above-mentioned:
II. For Simple Rape/Qualified Rape:
1. Where the penalty imposed is Death but was ₱100,000.00 ----------------- ₱50,000.00
reduced to reclusion perpetua because of RA
9346
2. Where the penalty imposed is reclusion ₱75,000.00 ----------------- ₱25,000.00
perpetua, other than the above-mentioned:
III. For Complex crimes under Art. 48 of the Revised Penal Code where death, injuries, or sexual
abuse results, the civil indemnity, moral damages and exemplary damages will depend on the

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U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

penalty, extent of violence and sexual abuse; and the number of victims where the penalty consists
of indivisible penalties:*
1. Where the penalty imposed is Death but was ₱100,000.00 ----------------- -----------------
reduced to reclusion perpetua because of RA
9346
2. Where the penalty imposed is reclusion ₱75,000.00 ----------------- -----------------
perpetua, other than the above-mentioned
*The above Rules apply to every victim who dies as a result of the crime committed. In other complex
crimes where death does not result, like in Forcible Abduction with Rape, the civil indemnity, moral
and exemplary damages depend on the prescribed penalty and the penalty imposed, as the case
may be.
IV. For Special Complex Crimes like Robbery with Homicide Robbery with Rape, Robbery with
@Intentional Mutilation, Robbery with Arson, Rape with Homicide, Kidnapping with Murder,
Carnapping with Homicide or Carnapping with Rape, Highway Robbery with Homicide, Qualified
Piracy, Arson with Homicide, Hazing with Death, Rape, Sodomy or Mutilation and other crimes with
death, injuries, and sexual abuse as the composite crimes, where the penalty consists of indivisible
penalties**
1.1 Where the penalty imposed is Death but was ₱100,000.00 ----------------- -----------------
reduced to reclusion perpetua because of RA
9346
● In Robbery with Intentional Mutilation if the ₱100,000.00 ----------------- -----------------
penalty imposed is Death but was reduced to
reclusion perpetua although death did not
occur
1.2 For the victims who suffered mortal/fatal ₱75,000.00 ----------------- -----------------
wounds and could have died if not for a timely
medical intervention
1.3 For the victims who suffered non-mortal/non- ₱50,000.00 ----------------- -----------------
fatal injuries
2.1 Where the penalty imposed is reclusion ₱75,000.00 ----------------- -----------------
perpetua, other than the above-mentioned
● In Robbery with Intentional Mutilation, if the ₱75,000.00 ----------------- -----------------
penalty imposed is reclusion perpetua.
2.2 For the victims who suffered mortal/fatal ₱50,000.00 ----------------- -----------------
wounds and could have died if not for a timely
medical intervention
2.3 For the victims who suffered non-mortal/non- ₱25,000.00 ----------------- -----------------
fatal injuries:
**1. In Robbery with Physical Injuries, the amount of damages shall likewise be dependent on the
nature/severity of the wounds sustained, whether fatal or non-fatal.
2. The above rules do not apply if in the crime of Robbery with Homicide, the robber/s or
perpetrator/s are themselves killed or injured in the incident.
3. Where the component crime is rape, the above rules shall likewise apply, and that for every
additional rape committed, whether against the same victim or other victims, the victims shall be
entitled to the same damages unless the other crimes of rape are treated as separate crimes, in
which case, the damages awarded to simple rape/qualified rape shall apply.
V. In other crimes that result in the death of a victim and the penalty consists of divisible penalties

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U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

1. Homicide, Infanticide to conceal the dishonor ₱50,000.00 ₱30,000.00 ₱20,000.00

of the offender, Duel, Intentional Abortion and
Unintentional Abortion, etc.
Note: The amount indicated here is for the
payment of civil indemnity and moral damages
only. No exemplary damages are awarded in
these cases.
2. Crimes where there are no stages such as ₱50,000.00 ----------------- -----------------
Reckless Imprudence and Death under
tumultuous affray
3. If an aggravating circumstance was proven ₱50,000.00 ₱30,000.00 ₱20,000.00
during the trial, even if not alleged in the
Information, exemplary damages are to be
awarded in the following manner, in addition to
civil indemnity and moral damages in V.1.:
VI. A. In the crime of Rebellion
1. Where the imposable penalty is reclusion ₱100,000.00 ----------------- -----------------
perpetua and death occurs in the course of
the rebellion, the amount the heirs of those
who died are entitled
1.1 For the victims who suffered mortal/fatal ₱75,000.00 ----------------- -----------------
wounds in the course of the rebellion and could
have died if not for a timely medical intervention
1.2 For the victims who suffered non-mortal/non- ₱50,000.00 ----------------- -----------------
fatal injuries
VII. In all of the above instances, when no documentary evidence of burial or funeral expenses is
presented in court, the amount of ₱50,000.00 as temperate damages shall be awarded.

In Quasi-delicts event should pay for the injury less a sum

Art. 2214, CC. In quasi-delicts, the
contributory negligence of the plaintiff shall
reduce the damages that he may recover.
Contributory negligence
The alleged contributory negligence of the
victim, if any, does not exonerate the accused
in criminal cases committed through reckless
imprudence, since one cannot allege the
negligence of another to evade the effects of
his own negligence [Genobiagon v. CA, supra].
If the act of the injured contributed to the
principal occurrence of the event causing the
injury, he cannot recover. However, where in
conjunction of the occurrence, he contributes
only to his own injury, he may recover the
amount that the defendant responsible for the
deemed a suitable equivalent for his own
imprudence. [Rakes v. Atlantic, G.R. No. L-
1719 (1907)].
In determining whether the passenger is guilty
of contributory negligence, the age, sex, and
his or her physical condition should be
considered [Cangco v. Manila Railroad Co.,
supra].
Plaintiff’s negligence
Even if Manila Electric is negligent, its
negligence must be proven to be the proximate
and direct cause of the accident [Manila
Electric v. Remonquillo, supra].
If both the parties contributed to the proximate
cause, they cannot recover from one another
[Bernardo v. Legaspi, supra].

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U.P. LAW BOC TORTS AND DAMAGES
Grounds for mitigation of damages for
quasi-delicts:
1. That the loss would have resulted in any
event because of the negligence or
omission of another, and where such
negligence or omission is the immediate
and proximate cause of the damage or
injury;
2. Defendant has done his best to lessen the
plaintiff’s injury or loss.
In Contracts and Quasi-
contracts
Art. 2215, CC. In contracts, quasi-contracts,
and quasi-delicts, the court may equitably
mitigate the damages under circumstances
other than the case referred to in the
preceding article, as in the following
instances:
1. That the plaintiff himself has
contravened the terms of the contract;
2. That the plaintiff has derived some
benefit as a result of the contract;
3. In cases where exemplary damages are
to be awarded, that the defendant acted
upon the advice of counsel;
4. That the loss would have resulted in any
event;
5. That since the filing of the action, the
defendant has done his best to lessen
the plaintiff's loss or injury.
1. Grounds for mitigation of damages
For contracts:
1. Violation of terms of the contract by the
plaintiff himself;
2. Obtention or enjoyment of benefits under
the contract by the plaintiff himself;
3. Defendant acted upon advice of counsel in
cases where exemplary damages are to be
awarded such as under Arts. 2230, 2231,
and 2232;
4. Defendant has done his best to lessen the
plaintiff’s injury or loss.
For quasi-contracts:
1. In cases where exemplary damages are to
be awarded such as in Art. 2232;
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CIVIL LAW
2. Defendant has done his best to lessen the
plaintiff’s injury or loss.
The SC deemed CC 2215(2) inapplicable
where the harm done to private respondents
outweighs any benefits the plaintiffs may have
derived from being transported to Tacloban
instead of being taken to Catbalogan, their
destination and the vessel's first port of call,
pursuant to its normal schedule [Sweet Lines v.
CA, G.R. No. L-46340(1983)].
Rule when contracting parties are in pari
delicto
Generally, parties to a void agreement cannot
expect the aid of the law; the courts leave them
as they are, because they are deemed in pari
delicto or "in equal fault." In pari delicto is "a
universal doctrine which holds that no action
arises, in equity or at law, from an illegal
contract; no suit can be maintained for its
specific performance, or to recover the
property agreed to be sold or delivered, or the
money agreed to be paid, or damages for its
violation; and where the parties are in pari
delicto, no affirmative relief of any kind will be
given to one against the other."
This rule, however, is subject to exceptions that
permit the return of that which may have been
given under a void contract to:
1. the innocent party [Arts. 1411-1412, CC];
2. the debtor who pays usurious interest [Art.
1413, CC];
3. the party repudiating the void contract
before the illegal purpose is accomplished
or before damage is caused to a third
person and if public interest is subserved
by allowing recovery [Art. 1414, CC];
4. the incapacitated party if the interest of
justice so demands [Art. 1415, CC];
5. the party for whose protection the
prohibition by law is intended if the
agreement is not illegal per se but merely
prohibited, and if public policy would be
enhanced by permitting recovery [Art.
1416, CC]; and
6. the party for whose benefit the law has
been intended such as in price ceiling laws
[Art. 1417, CC] and labor laws [Arts. 1418-
1419, CC].
U.P. LAW BOC TORTS AND DAMAGES CIVIL LAW

General and Construction Services, G.R. No.

Art. 1192 provides that in case both parties 188027 (2017)]
have committed a breach of the obligation, the
liability of the first infractor shall be equitably Compromise
tempered by the courts. Art. 2215(1), on the
other hand, warrants equitable mitigation of Art. 2031, CC. The courts may mitigate the
damages in case the plaintiff himself has damages to be paid by the losing party who
contravened the terms of the contract. The has shown a sincere desire for a
plaintiff referred to in Art 2215(1) should be compromise.
deemed to be the 2nd infractor, while the one
whose liability for damages may be mitigated is
the 1st infractor. In this case, Ong was the 1st
infractor while Bogñalbal is the 2nd infractor.
Hence, Ong should first pay the value of the
accomplished work before the damage
scheme under Art 1192 is applied [Ong v.
Bogñabal, G.R. No. 149140, (2006)].

Liquidated Damages

Art. 2227, CC. Liquidated damages,

whether intended as an indemnity or a
penalty, shall be equitably reduced if they
are iniquitous or unconscionable.

Pursuant to settled jurisprudence and Article

1229, in relation to Article 2227, of the New Civil
Code, the Court deems it proper to reduce the
penalty involved.

The respondents are obligated under the

Agreement to complete the waterproofing
works on April 6, 1997, but failed. The
remaining work to be done had to be performed
by Esicor, who accomplished the same on April
5, 1998. In light of these, the respondents are
then liable for delay for a period of 365 days,
which corresponds to the amount of Php
3,650,000.00 as penalty under the Agreement.
Without doubt, taking into consideration that
the respondents have completed 90% of the
project and the absence of any showing of bad
faith on their part, as well as the fact that the
waterproofing works have already been
completed at the respondents' expense, the
amount of Php 3,650,000.00 as penalty is
exorbitant under the premises. Therefore, the
Court reduces the same and imposes the
amount of Php 200,000.00 as liquidated
damages, by way of penalty. [Swire Realty
Development Corp v. Specialty Contracts

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