PROPERTY

INTRODUCTION
2. Trees, plants, and growing fruits, while they are
I. Property attached to the land or form an integral part of an
A. Definition – an object that is or may be appropriated. In immovable
law, it is the branch of civil law which classifies and
Sibal v Valdez – Pending fruits and ungathered products may be sold and
defines the different kinds of appropriable objects,
transferred as personal property. Such classification is also fully recognized by the
provides for their acquisition and loss, and treats of the Chattel Mortgage Law.
nature and consequences of real rights
B. Characteristics 3. Everything attached to an immovable in a fixed
1. Utility manner, in such a way that it cannot be separated
2. Appropriability therefrom without breaking the material or
3. Individuality or substantivity (i.e. can exist by itself) deterioration of the object
4. Statues, reliefs, paintings or other objects for use or
II. Things ornamentation, placed in buildings or on lands by
A. Definition – includes both appropriable and non- the owner of the immovable in such a manner that it
appropriable objects reveals the intention to attach them permanently to
B. Classification the tenements
1. Res nullius – belonging to no one; things that have
not yet been appropriated or have been abandoned CATEGORY PARAGRAPH 3 PARAGRAPH 4
2. Res communes – belonging to everyone; things Separation Cannot be separated Can be separated from
whose use and enjoyment are given to all from the immovable w/o the immovable
3. Res alijucus – belonging to someone; things that are breaking or deterioration
owned privately Placement Need not be placed by Must be placed by the
owner owner or his agent
Classification By incorporation By incorporation AND
CLASSIFICATION BASED ON MOBILITY OF PROPERTY
destination
I. Immovables
A. Enumeration 5. Machinery, receptacles, instruments or implements
1. Land, buildings, roads and constructions of all kinds intended by the owner of the tenement for an
adhered to the soil industry or works which may be carried on in a
Lopez v Orosa - The inclusion of the building, separate and distinct from the land, building or on a piece of land, and which tend
in the enumeration of what may constitute real properties could only mean that a directly to meet the needs of the said industry or
building is by itself an immovable property. work
6. Animal houses, pigeon-houses, beehives, fish ponds
Bicerra v Teneza – A house is classified as immovable by reason of its adherence to
or breeding places of similar nature, in case their
the soil on which it is built. However, once the house is demolished, it ceases to
owner has placed them or preserves them with the
exist and its character as an immovable likewise ceases.
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intention to have them permanently attached to the 3. Forces of nature brought under control by science
land, and forming a permanent part of it; the 4. In general, all things which can be transported from
animals in these places are included place to place without impartment of the real
7. Fertilizer actually used on a piece of land property to which they are fixed
8. Mines, quarries and slug dumps, while the matter 5. Obligations and actions which have for their object
thereof forms part of the bed, and waters either movables or demandable sums
running or stagnant 6. Shares of stock
9. Docks and structures which, though floating, are
Black Eagle v Conroy – it must be observed that it is the shares of stock that are
intended by their nature and object to remain at a personal property, not the certificates of stock. The certificate is not in itself
fixed place on a river, lake, or coast property, but is merely the paper evidence of property.
10. Contracts for public works, and servitudes and other
real rights over immovable property. Shares of stock are peculiar, in that the property right over such can only be
exercised where the corporation is organized or has its place of business and can
Presbitero v Fernandez – sugar quotas, as an improvement attached to the land exist only in connection with the corporation.
by the Sugar Limitation Law, are inseparable from the land, just like servitudes and
other real rights over an immovable.
B. Classification
1. Consumable or non-consumable
B. Classification 2. Fungible or non-fungible
1. By nature – pars. 1, 8 C. Tests
2. By incorporation – pars. 1, 2, 3 1. Test by description
3. By destination – pars. 4, 5, 6, 7, 9 i. Capable of being carried from place to place
4. By analogy – par. 10 ii. Change in location can be made w/o
injuring the real property to w/c it may be
II. Movables attached
A. Enumeration 2. Text by exclusion – when the object is not one of
1. Movables susceptible of appropriation those enumerated as an immovable
2. Real property, which by provision of law is
considered as a personalty CATEGORY IMMOVABLES MOVABLES

Philippine Refining v Jarque – vessels are personal property, subject to mortgage

Donation Must be in a public Needs only to be in a
to the provisions of the Chattel Mortgage Law. instrument private instrument
Prescription May be acquired in 30 May be aquired in only 8
The only difference between a chattel mortgage of a vessel and that of other years years
personal property is that it is not necessary for the vessel to be noted in the
To affect 3rd Must be recorded in the Must be recorded in the
registry of deed, but it is essential that a record of documents affecting the title of
persons Registry of Property Chattel Mortgage
the vessel be entered in the record of the Collector of Customs at the port of entry.
Registry
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Leung Yee v Strong Machinery - Inscription of a deed of sale of real property in a Art. XII, Sec. 2 – All lands of the public domain and natural resources are owned by
chattel mortgage registry cannot be given the legal effect. The mere fact that the the State. With the exception of agricultural lands, all other natural resources
parties seem to have dealt with it differently did not change its character. shall not be alienated.

Standard Oil v Jaramillo – the duties of a register of deed are of a purely 2. Modes of acquisition of ownership
ministerial character; and no provision of law confers upon him any power to i. Judicial confirmation of title – if land is
determine the nature of any document of which registration is sought. possessed before or since June 12, 1945
ii. Positive act – Congress has to enact a law or
the President has to issue a proclamation
declaring the land as no longer intended for
CLASSIFICATION BASED ON OWNERSHIP OF PROPERTY
public service or for the development of
I. Properties of the State national wealth, if land is possessed after
A. Public dominion June 12, 1945
1. Definition - the State has control and administration;
Republic v Lao – Before one can register his title under the Property Registration
ownership by the public in general Decree and Public Land Act, he must show that 1) he has been in OCENPO of the
2. Enumeration subject land since June 12, 1945 or earlier, and 2) the land subject of the
i. For public use – may be used by anybody application is alienable and disposable land of the public domain.
*Roads, canals, rivers, torrents, ports and
bridges constructed by the State, banks, Mendoza v CA – private ownership of land is not affected by issuance of a free
shores, roadsteads, and others of similar patent, because the Public Land Act applies only to lands of the public domain.
character
CATEGORY PUBLIC DOMINION PATRIMONIAL
Santos v Moreno – Steams artificially made and devoted to the exclusive use of
Ownership Public capacity Private capacity
the landowner is privately owned.
Contract Outside the commerce of May be the subject of a
ii. For public service – may be used only by man contract
duly authorized persons Prescription Cannot be acquired by May be acquired through
iii. For the development of national wealth prescription prescription
Cruz v DENR – native title or the right of private ownership peculiarly granted to Registration Cannot be registered Can be registered
IPs over their properties categorically declare ancestral lands and domains as Attachment Cannot be levied upon by Can be levied upon or
never to have been public land. execution nor attached attached

B. Patrimonial
II. Properties of political subdivisions
1. Definition – property owned by the State in its
A. For public use
private capacity; includes all other properties
B. Patrimonial
PROPERTY

Province v City of Zamboanga – Based on the Law of Municipal Corporations, it is Laluan v Malpaya – to maintain an action to recover ownership, the person who
enough that property be held and devoted for governmental purposes (e.g. claims that he has better right to the property must prove not only his ownership
education, health, local administration) for it to be considered public property. of the property claimed, but also the identity thereof.

1. For personal property – replevin

Salas v Jarencio – regardless of the source of land in the possession of a
municipality, excepting those acquired with its private or corporate funds, such
2. For real property
propery is held in trust for the State for the benefit of its inhabitants. i. Accion interdictal
*Forcible entry – summary action to
III. Private ownership – consists all property belonging to private recover mere physical possession of real
persons, either individually or collectively property when a person originally in
possession was deprived thereof by FISTS
*Unlawful detainer – action brought when
OWNERSHIP possession by a landlord, vendor, vendee,
I. Definition – ownership is the independent and general right etc, is being unlawfully withheld after the
of a person to control a thing particularly in his possession, expiration or termination of the right to
enjoyment, disposition, and recovery, subject to no hold possession
restrictions except those imposed by the State or private
persons

II. Kinds of ownership

A. Full ownership – includes all rights of an owner Forcible Entry Unlawful Detainer
B. Naked ownership – right to the use and the fruits has involves
•Possession is unlawful material •Possession was lawful in
been denied (note: opposite of usufructuary) from the beginning the beginning
possession
C. Sole ownership – ownership is vested in only one •Prescription runs one
only
•Prescription runs one
D. Co-ownership – ownership is vested in two or more year from dispossession year fron unlawful
or from discovery possession

III. Rights of an owner

A. Enjoyment
1. Possession
2. Use
3. Fruits
B. Disposition City of Manila v Garcia – the City Mayor cannot legalize forcible entry into public
property by the simple expedient of giving permits or executing leases.
1. Consumption, destruction, or abuse
2. Encumbrance or alienation
C. Recovery or vindication
PROPERTY

ii. Accion publiciana – plenary action to ii. Requisites

recover the better right of possession *Taking by competent authority
iii. Accion reivindicatoria – action to recover *Observance of due process
ownership *Taking for public use
Doctrine of Self-help – an owner or lawful possessor of a thing may use such force
*Payment of just compensation
as may be reasonably necessary to repel or prevent an actual or threatened Art. III, Sec. 9 – allows extraordinary expropriation for private use, i.e. for the
unlawful physical invasion or usurpation of his property. benefit of certain individuals such as farmers under the agrarian reform program
German Management v CA – doctrine of self-help can only be exercised at the
B. Imposed by the law (e.g. easement, marriage settlement)
time of actual or threatened dispossession. When possession has already been
C. Imposed by the owner (e.g. lease, pledge)
lost, the owner must resort to judicial process for recovery.
D. Imposed by the grantor – donor may prohibit donees
from partitioning the property for a period
IV. Presumption of ownership
A. Actual possession VI. Hidden treasure
B. Claim of ownership A. Requisites
1. Hidden and unknown deposit
Heirs of Ermac v Heirs of Ermac – registration of land does not create or vest title,
2. Consists of money, jewelry or other precious objects
because it is not a mode of acquiring ownership.
3. The lawful ownership of the objects does not appear
B. Rule
V. Limitations on ownership 1. If found on own property
A. Imposed by the State i. Finder alone owns the treasure
1. Police power ii. If the finder is married, treasure will belong
i. Definition – right of the State to to the conjugal partnership
regulate and restrict personal and 2. If found on another’s property
property rights for the common weal i. By chance – finder is entitled to half
ii. Requisites ii. With permission – finder is entitled to half
*Lawful subject 3. If finder is a paid laborer of landowner
*Reasonable means i. By chance – finder is entitled to half
2. Power of taxation – power of the State to raise ii. Employed precisely to look for treasure –
income to defray necessary governmental nothing, but he will get his wages and salary
expenses for a public purpose
3. Power of eminent domain Art. 438 – If the things found be of interest to science or the arts, the State may
acquire them at their just price.
i. Definition – right of the State to acquire
private property for public use upon
payment of just compensation
 PROPERTY

ACCESSION *Alluvium
I. Definition – accession is the right of the property owner to *Avulsion
everything which is produced thereby, or which is *Change of course of rivers
incorporated or attached thereto, either naturally or *Formation of islands
artificially 2. Personal property
i. Adjunction or conjunction
II. Classification ii. Mixture
A. Accession discreta – right to the ownership of fruits iii. Specification
produced by the property
1. Natural fruits III. Rules
i. Spontaneous products of the soil (i.e. no A. GR – all works, sowing, and planting are presumed made
intervention of human labor) by the owner and at his expense
ii. Young and other products of animals B. XP:
2. Industrial fruits – those produced by lands of any 1. When landowner makes improvements with the
kind through cultivation of labor materials of another
3. Civil fruits
i. Rent of buildings LANDOWNER OWNER OF MATERIALS
ii. Price of leases of lands and other property Good Faith Good Faith
iii. Amount of perpetual or life annuities or  Becomes owner of the materials  Option
other similar income but must pay for the value 1. Reimbursement
2. Removal of materials,
Bachrach v Seifert – Shares of stock dividend is the civil fruit of the original provided no substantial
investment. It represents profits, and the delivery of the certificate of stock injury is caused
covering said dividend is equivalent to payment of said profits. Good Faith Bad Faith
 Becomes owner of the materials  Lose all rights to the materials and
Bachrach v Talisay-Silay Milling – A bonus granted as a reward or as without paying for the value no right of reimbursement
compensation for the risk of having subjected one’s land to a lien is not a civil fruit Bad Faith Good Faith
of the mortgaged property, but of the income arising from said risk.  Becomes the owner of the  Option
materials but must pay for the 1. Reimbursement and
B. Accession continua – attachment or incorporation value, plus damages damages
1. Real property 2. Absolute right of removal
i. Accession industrial and damages
*Building Bad Faith
Consider them in good faith
*Planting
*Sowing
ii. Accession natural
PROPERTY

2. When another makes improvements on the land of

Filipinas Colleges v Timbang – in the eventuality that the builder fails to pay for
another
value of the land: 1) the parties may assume the relation of lessor-lessee, or 2) the
Art. 448 – a builder, planter, or sower in good faith is one who believes he has the landowner is entitled to removal of the improvement; 3) the Court may approve
right to so build, plant, or sow because he thinks he owns the land or believes the sale of the land and the improvement in a public auction applying the proceeds
himself to have a claim of title. thereof first to the payment of the value of the land and the excess to be delivered
to the owner of the improvement.
LANDOWNER BUILDER, PLANTER, SOWER
Good Faith Good Faith Bernardo v Bataclan – upon failure of the builder to pay for the land, he loses his
 Option  Indemnity, in case owner chooses right of retention.
1. Appropriate as his own the to appropriate the improvement
improvements after payment  Retention, until indemnity is paid 3. When three parties are involved
of indemnity
A. Bad faith of owner of materials – loses all rights
2. Oblige the person
to indemnity
a. Who built or planted –
pay the price of the land B. Good faith of owner of materials – entitled to
b. Who sowed – pay the recover reimbursement from builder, planter, or
proper rent sower principally. In case of insolvency, the
Good Faith Bad Faith landowner is subsidiarily liable if he makes use
 Option  Lose what is built, planted, or of the materials (appropriation)
1. Appropriate as his own the sown without right to indemnity
improvements, plus damages  Pay damages
2. Oblige the person
a. Who built or planted –
pay the price of the land
b. Who sowed – pay the
proper rent
3. Demand the demolition of
the improvements at the
builder’s expense, plus
damages
 Reimburse necessary expenses  Reimbursement for necessary
for preservation expenses for preservation of land
Bad Faith Good Faith
 Pay for the value of the  Recover reimbursement, plus
improvements, plus damages damages
 Right of removal and damages
Bad Faith
Consider them in good faith