Professional Documents
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Article 414: A. Immovable and Movable
Article 414: A. Immovable and Movable
The property is of public dominion and Petitioner occupied a parcel of land owned by
intended for public service under Article 420 the municipality, with the implied consent of
of the Civil Code. the latter, and built buildings of light
materials – rent was paid.
This is dictated by the terms of the
Reparations Agreement and the When a new set of officials took over, the
council gave notice to petitioner to vacate the
land within 5 months.
b. Tax receipts, tax declarations are The heirs of Vencilao claim that they (and
only prima facie evidence of prior to them, their father) have been in
ownership; it is rebuttable. adverse possession of the property in issue
for over thirty years. They present tax
receipts and CARP documents to support their
claim.
HELD: The titled owner has a better right. 4. reasonable requirements of aerial
navigation;
It is a well settled rule that a title, once
registered, cannot be defeated even by 5. Principles on human relations and the
adverse, open, and notorious possession. prevention of injury to the rights of
third persons (unnecessary obstruction
When the TCT is in the name of the seller of the light and view of a neighbor).
when the land is sold, the buyer has a right to
rely on what appears on the face of the
document. If there is nothing that indicates Art. 438. * Hidden treasure belongs to the
any irregularity, as is the case here, he in not
owner of the land, building, or other
expected to make further investigations or
property on which it is found.
inquiries.
Nevertheless, when the discovery is made on
The only exception is when an irregularity
the property of another, or of the State or
appears and the buyer chooses to ignore the
any of its subdivisions, and by chance, one-
same; in this case, they are no longer
half thereof shall be allowed to the finder. If
innocent purchasers for value.
the finder is a trespasser, he shall not be
On the other hand, the heirs of Vencilao are entitled to any share of the treasure.
estopped from claiming ownership to the land
If the things found be of interest to science or
due to their silence (1) when the property was
the arts, the State may acquire them at
mortgaged; (2) foreclosed; and (3) sold.
their just price, which shall be divided in
conformity with the rule stated.
A bonus received as compensation for What are the kinds of expenses subject to
the risk taken by a mortgagor who reimbursement?
received no value from the loan is not
considered a civil fruit. a. They must be for production,
gathering, or preservation.
Bachrach Motor Co. v. Talisay-Silay Improvements are not included.
Milling Company.
b. They must be necessary, and not
Talisay obtained a loan from PNB with a REM excessive. They must be those
provided by one of its planters, Ledesma. To normally required by the crop.
compensate Ledesma for the accommodation,
Talisay granted him a bonus whose value What if the expenses exceed the value of
was computed as a percentage of the the product, is the planter in bad faith still
balance of the loan. entitled to reimbursement?
Bachrach, as a creditor of Ledesma, laid a Only if the owner still requires delivery of the
claim to the bonus received by the latter. On fruits.
the other hand, PNB claims that it owns the
fruits, because under Article 2127, the Article 444. Only such as are manifest or
mortgage extends to the civil fruits of the born are considered as natural or industrial
property. fruits.
ISSUE: Whether the bonus is a civil fruit,
*When can we say that the fruit is in
thereby giving PNB a preferential right over it.
existence?
HELD: The bonus is not a civil fruit. Civil
It depends on the type of fruit:
fruits are the rents of the buildings, leases of
lands, and income from life annuities, or other a. Annual (must be planted every
similar sources of income. year/must re-plant after harvest;
rice, wheat, corn) – deemed
Though it is possible to consider the bonus as
manifest the moment their
income, it is not similar income to the items
seedlings appear. SOWING.
in the preceding enumeration. The common
denominator, which is absent in the bonus, is b. Perennial (only planted once and
derivation of the income from the land itself. bear fruit for several seasons;
mango and coconut trees) –
In this case, the bonus is not based on the
deemed to exist only when they
value of the land but rather on the
actually appear. PLANTING.
amount of the outstanding obligation of
Talisay. It is clearly meant to be
a. Civil fruits accrue daily and are Article 447. The owner of the land who
considered personal property and makes thereon, personally or through
may be pro-rated. another, plantings, constructions or works
with the materials of another, shall pay
b. Natural and industrial fruits, while
their value; and, if he acted in bad faith, he
still growing, are considered as real
shall also be obliged to the reparation of
property; ordinarily, they cannot be
damages. The owner of the materials shall
pro-rated.
have the right to remove them only in case
he can do so without injury to the work
Ex. House rented for 30,000/month. Apply now constructed, or without the plantings,
the principle that civil fruits accrue daily. constructions or works being destroyed.
Every day, the property produces 1,000 However, if the landowner acted in bad
If B owned the property from 1-5 and B owned faith, the owner of the materials may
the property from 16-30, A is entitled to 15K remove them in any event, with a right to
and B is entitled to 15K. If A is paid 30K at the be reimbursed for damages.
beginning of the month, he should deliver half
When is the builder/landowner in good
of that to B. This is because civil fruits accrue
faith/ bad faith?
DAILY.
When he believed the materials were his
own/knew the materials belonged to another.
Article 445. Whatever is built, planted or
sown on the land of another and the When is the owner of the materials in good
improvements or repairs made thereon, faith/bad faith?
belong to the owner of the land, subject to
the provisions of the following articles. When he does not know that his materials were
being used/when he knows and does not object.
* What are the basic principles of Ex. A built house with B’s materials. Both were
accession continua (accession industrial)? in good faith. What are the rights of the
parties? Who calls the shots?
a. Accessory follows the principal
B. B is entitled to remove the materials
b. With certain exceptions, it should provided no damage is caused. If this cannot be
be impossible to separate the done or if B doesn’t want to remove the
principal and accessory without materials, A may be compelled to pay for the
causing substantial damage. materials.
c. He who is in good faith may be held If A is in bad faith, B can remove the materials,
responsible but not penalized. regardless of damage caused or demand
payment, with damages in either case.
d. He who is in bad faith may be
penalized. If B is in bad faith, A may keep the materials.
There is no indemnity and A may seek for
e. When both are in bad faith, they
damages because the materials may be inferior
shall be treated as if they were in
in quality.
good faith.
If both are in bad faith, they will be treated as if
f. No one shall unjustly enrich himself
they were in good faith.
at the expense of another.
Uy must choose between the two options in HELD: Article 448 cannot apply to co-
Article 448. Tecnogas should pay rent on the ownership situations. However, because the
land until the time Uy communicates his property was partitioned, Article 448 now
choice. If the choice is compulsory sale, applies.
Tecnogas should continue paying rent until
transfer of ownership.
Art. 449. He who builds, plants or sows in
bad faith on the land of another, loses what
The rule: a purchaser need not go is built, planted or sown without right to
beyond the title. The exception: where indemnity.
there are facts that would induce a
reasonably prudent man to make further Art. 450. The owner of the land on which
inquiries. anything has been built, planted or sown in
bad faith may demand the demolition of the
State Investment House v. CA work, or that the planting or sowing be
removed, in order to replace things in their
Sps. Oreta purchased a house and lot from
former condition at the expense of the
SOLID. Before a deed of sale could be
person who built, planted or sowed;
executed, SOLID mortgaged the property to
SIH; it was foreclosed. or he may compel the builder or planter to pay
the price of the land, and the sower the
ISSUE: Whether the Oretas have a better
proper rent.
right over the property, despite the absence
No, Article 449 applies only to standing crops, It has been settled that Lumungo has a
not to gathered crops which are governed by better right to the property and the only
Article 443 (the planter/sower is entitled to question is…
reimbursement for expenses in their gathering, ISSUE: Whether Angeles is entitled to
production, and preservation). reimbursement for the trees planted.
HELD: Manalo does not own Lot 821. Navarro, who had a fishpond lease of the
foreshore with the Bureau of Lands, opposed
There are 3 requisites for accretion: (1) the Pascual’s registration.
deposit should be gradual and imperceptible;
This article refers to avulsion, which is: Article 476. Whenever there is a cloud on
1. the process whereby the current of a title to real property or any interest therein,
river, creek or torrent segregates from by reason of any instrument, record, claim,
an estate on its bank a know portion of encumbrance or proceeding which is
land and deposits it on another. apparently valid or effective but is in truth
and in fact invalid, ineffective, voidable, or
2. The removal of a considerable quantity unenforceable, and may be prejudicial to
of earth upon or annexation to the land said title, an action may be brought to
of another, suddenly and by the remove such cloud or to quiet such title.
perceptible action of the water.
An action may also be brought to prevent a
cloud from being case upon title to real
Alluvium v. Avulsion
property or any interest therein.
Alluvium Avulsion
Gradual Sudden or abrupt What kinds of actions are referred to in
Soil cannot be Identifiable Article 476?
identified 1. Remedial; and
Belongs to owner of Belongs to owner from
property to which it is whose property it was 2. Preventative.
attached attached What “cloud” is referred to?
The cloud (or doubt) on title exists because:
Agustin v. IAC
a) of an instrument or record or claim or
Agustin owned the property to the east of the encumbrance or proceeding;
Cagayan river; Melad owned the property to
the west. b) which is apparently valid or effective;
Over 49 years, the river gradually shifted c) but is, actually invalid, ineffective,
from west to east, reducing Agustin’s property void, unenforceable, extinguished, or
and increasing Melad’s. barred by prescription;
In 1968, a big flood occurred, causing the bed d) and may be prejudicial to thte title.
to river to revert to its original course, cutting
into Melad’s land.
Where the plaintiff is in possession of the
Melad cultivated the land uncovered on the land, the prescriptive period within
eastern portion of the river until Agustin which to quiet title accrues only form the
drove them out. time the adverse claim is made known.
ISSUE: Whether Agustin or Melad owns the Faja v. CA
property uncovered by the abrupt reversion of
the river to its original course. Frial claims that Faja had been illegally
occupying his titled property for 30 years. He
HELD: The land is Melad’s. also claims that Faja’s right to question the
Melad acquired by accretion the land which validity of the title had prescribed, more than
was gradually deposited on his property. 10 having passed since the issuance of the
decree of registration.
This ownership was not lost by the reversion
of the river to its original course; which Faja claims that Frial never owned the
reversion cut through Melad’s property. property and his title was obtained through
fraud. In her counterclaim, she prays that she
Articles 459 and 463 apply to the situation. be declared lawful owner of the property.
HELD: There was no physical partition; there Amparo then sold the lot to Mariano. When
was only ideal partition as to the share of Grace learned of the sale, she filed a
each co-owner. complaint for recovery of possession and legal
redemption with damages against Mariano.
That the parties have been in possession of
portions of the lot and have even acquired ISSUE: Whether Grace has a right to the
titles thereto, there is no proof of partition. property.
Partition requires a subdivision plain with HELD: Yes. It is settled that redemption of a
respective titles issued to each; simple co-owner inures to the benefit of all other co-
agreement is insufficient. owners.
Directly or indirectly? Direct – each unit owner The CFI agreed and held that pursuant to the
own common area; indirect – stockholder Condominium Act, the private respondents
corporation owns were holders of separate interests and
consequently shareholders of the Sunset
What is a condominium corporation? Manages View.
land, common areas and to hold indirect
interest in the land and common areas. The CFI ordered Sunset View to ventilate its
grievance with the SEC, which has exclusive
If you own condo unit where there is no condo original jurisdiction over controversies arising
corporation, can you sell you unit to the between shareholders of a corporation.
foreigner? NO.
ISSUE: Whether the CFI or the City Courts
If corporation – yes provided Filipino interest have jurisdiction over the claims filed by
remains 60% or more. Sunset View, the condominium corporation.
Declaration of Restrictions must also be HELD: The City Court and the CFI have
registered. jurisdiction.
Existence of condominium corporation The private respondents are not members
coterminous with the building. or shareholders in the condominium
corporation.
Check out differences between regular
corporation and condo The Condominium Act leaves to the Master
Deed the determination of when the
Purpose – hold title over land and common shareholding in the corporation will be
areas transferred to the purchaser of the unit.
Existence – 50 yrs In this case, the Master Deed provides that
ownership is transferred only upon full
Dissolution – ordinary may be voluntarily
payment of the purchase price.
dissolved; condo – subject to conditions
provided by law: project destroyed, Private respondents have not yet fully paid
uninhabitable, etc. the purchase price, hence they are not
shareholders and the SEC has no jurisdiction
Whenever you buy a unit, you are given a title
over the claims.
(condo cert of title) but no title to the land. The
sale is annotated in the title to certificate/s of *now, special courts handle intra-corporate
title, if there is no condo corp. I fthere is a disputes
condo corp, land is in name of corp, no more
(2)Upon full payment of the purchase price, b. Or the lease is for more than one
the developer is mandated by law to year (whether recorded or not)
deliver the certificate/s of title to the 5. The construction of a house on a lot
buyers. In fact, even if the unit is owned in common;
mortgaged by the developer, the
developer must redeem the mortgaged 6. Any other act of strict dominion or
and deliver certificate/s of title to the ownership where any encumbrance or
buyer. disposition was held implicitly to be an act
of alteration;
(3)Only street parking is excluded from what
should be given for free by the developer. 7. Impliedly, contracts of long duration.
Free parking may be in the basement or on
the first floor. Furthermore, in a When is an alteration deemed illegal?
condominium, unit owners have an
undivided interest over common areas and An alteration is deemed illegal when it is made
facilities, including parking spaces. without the express or implied consent of the
co-owners.
(b) Only the urgency of the case and difficulty Can a co-owner’s share be attached even if
of meeting would justify proceeding without there hasn’t been partition?
notice;
Yes.
(c) The minority may appeal to the court
If A, B and C are co-owners of a residence,
against the majority decision when:
each owning a floor, can one of them sell
a. There is no real majority; his share to a third person/s who will
convert the same into a factory?
b. The majority refuses to
correct abuse of administration No. In this case, the use of the building would
or maladministration; change and the interests of the others would be
jeopardized.
c. The minority is made victim of
fraud; If A and B own a common dwelling, can one of
them sell his share to a stranger?
d. An alteration is agreed upon.
No. The interest and privacy of the other would
e. The resolution is SERIOUSLY be jeopardized. “Personal right,” as it is used in
PREJUDICIAL to the rights of Article 493 should be understood to be NOT a
an individual co-owner; technical term.
i. Loans without sufficient
security; Article 494. No co-owner shall be obliged
ii. Encumbrance or to remain in the co-ownership. Each co-
disposition is made owner may demand at ANY TIME the
(alteration); partition of the thing owned in common,
insofar as his share is concerned.
iii. Abusive administrator is
not replaced. Nevertheless, an agreement to keep the thing
undivided for a certain period of time, not
exceeding ten years, shall be valid. This
Article 493. Each co-owner shall have the term may be extended by a new
full ownership of his part and the fruits agreement.
and benefits pertaining thereto, and
A donor or testator may prohibit partition for a
he may therefore alienate, assign or period which shall not exceed twenty years.
mortgage it and even substitute another
person in its enjoyment, except when Neither shall there be any partition when it is
personal rights are involved. prohibited by law.
But the effect of the alienation or the No prescription shall run in favor of a co-owner
mortgage, with respect to the co-owners, or co-heir against his co-owners or co-heirs
shall be limited to the portion which may so long as he expressly or impliedly
be allotted to him in the division upon the recognizes the co-ownership.
termination of the co-ownership.
*What is the reason for allowing partition
What is the effect of a co-owner’s sale of at ANY TIME?
the entire property without authority of The law discourages co-ownership because to
the others? remain in such an arrangement subjects a
person to the desires of the rest and conflicts in
management are bound to arise.
(c) if partition is prohibited by law (CPG); This repudiation, if made unequivocally and
with knowledge to the co-owners, if proved
(d) if physical partition would render the convincingly, can cause prescription to run.
property unserviceable (the property may
be allotted to one who will indemnify the When Galileo registered the property in his
others or it may be sold to a third name, this is deemed to be a repudiation
person/s); sufficient to cause the running of prescription.
(e) if the legal nature of the common property An action to reconvey land based on an
does not allow partition (like party walls). implied trust prescribes after 10 years – the
action was brought 15 years after the
registration.
Requirements
a. Repudiation with notice
b. Must be in a clear and convincing manner
A contract providing for the non-
c. Other requirements of prescription
dissolution of the co-ownership until the
d. Period of prescription subdivided lots are sold is valid.
Tuason v. Tuason, Gregorio Araneta, Inc.
Is a tax declaration in one’s name
repudiation? One of the three Tuason siblings sold her
share to GA. GA then proposed to the
It is not sufficient notice of repudiation. remaining two the subdivision of the property
and its sale to the public; both assented.
Is registration of property in one’s name
repudiation? The terms of the contract provided that the
co-ownership should subsist until all of the
Yes, registration is sufficient repudiation. subdivided lots have been sold.
One of the Tuason siblings decided that she
Registration of the co-owned property by wanted out of the co-ownership and filed a
a co-owner is an act of repudiation and is complaint for partition. The lower court
a constructive trust wherein the action to dismissed the complaint.
assail must be brought within 10 years of
registration. In her appeal, she raised the issue of:
Both. It is a fact since it exists; but from the (c) In good or bad faith.
moment it exists, certain consequences follow, Are ownership and possession the same?
making it also a right.
No. Ownership is different from possession.
What are the viewpoints of possession? Though one owns property, the right to possess
1. Jus possidendi or right TO possession – the same may be in the hands of another as a
this is an incident of ownership. tenant or lessee.
Not necessarily. A child or heir may be Ramos filed a Homestead application for land
presumed to be in good faith notwithstanding in Nueva Ecija.
the father’s bad faith. Pending this application, Ramos went to
Isabela and found a piece of land covered by
Article 527. Good faith is always a Homestead application by Lopez but clearly
presumed, and upon him who alleges bad abandoned by the latter. Ramos filed another
faith on the part of the possessor rests the application over this land.
burden of proof. Both Ramos’s applications were granted and
What is the reason for presuming good faith? he obtained a loan from PNB with the Isabela
land as REM.
Presumption of innocence; everyone should be
presumed honest until proven otherwise. Subsequently, Ramos discovered that there
were people occupying his Isabela land, he
filed a complaint for the recovery of
possession against them and won. These