Prefatory Statement It is well settled that while one who buys from the registered owner need not

have to look behind the certificate of title, he is nevertheless bound by the liens and encumbrances annotated thereon. One who buys without checking the vendor's title takes all the risks and losses consequent to such failure. Statement of Facts This case involves several transfers of the subject real property. y clients, !rank and "uby #ardner entered into an agreement to $antoses to subdivide % parcels of land and e&ecuted an absolute deed of sale in favor of the latter. The real truth is that what occurred was a sale 'in trust( since the petitioner obtained an amount of money from $antoses, who in turn promised to improve the land. )pparently, the $antoses transferred the properties to the *uencas who in turn transferred it to the +erroyas who e&ecuted a mortgage over the lot. Then +erroya e&ecuted a deed of transfers to the ,atividads. -owever, throughout the successive transfers, my clients continued to remain in possession, cultivation and occupation of the disputed properties. .hen confronted, the $antoses claimed that the sale to them was conditional in the sense that the properties were to be considered as the investment of my clients in the subdivision venture and that in the event that this did not materiali/e they were to reconvey the lots to my clients upon reimbursement of all sums advanced to them0

Issue 11.hether or not all five transfers are absolutely simulated and fictitious Arguments and Discussion .e say yes, supported with two 2%3 ajor 4oints.

!irst1 upon knowing, the 5st, %nd, 6rd, 7th, and 8th transfer were all without consideration. )s also stressed in the case of 9er : *o., ;td. +s. ;ingad, *ontracts of sale are void and produce no effect whatsoever where the price, which appears therein as paid, has, in fact, never been paid by the purchaser to the vendor. $uch sales are ine&istent and cannot be considered consummated. )ll 8 transfers were, therefore void ab initio and ine&istent. $econd1 the statement $antoses that <until the validity of an adverse claim is determined judicially it cannot be considered a flaw in the vendor's title=, I say contradicts the very essence of adverse claims. )s that the annotation of an adverse claim is a measure designed to protect the interest of a person over a piece of real property, and serves as a notice and warning to third parties dealing with said property that someone is claiming an interest on the same or has a better right than the registered owner thereof. It is clear that a subsequent sale of the property cannot prevail over the adverse claim which was previously annotated in the certificate of title of the property.

Prayer .herefore, in view of the foregoing, we earnestly pray that this court(s decision will be in favour r. )nd rs. !rank and "uby #ardner and that all five transfers be rendered simulated and fictitious. .e also pray for such other relief and remedies that are just and equitable under the premises.