Quiaov.Quiao,G.R.No.

183622,July4,
2012
FACTS: Brigido Quiao (petitioner) and Rita Quiao (respondent) contracted
marriage in 1977. They had no separate properties prior to their marriage.
During the course of said marriage, they produced four children. In 2000,
Rita filed a complaint against Brigido for legal separation for cohabiting
with another woman. Subsequently, the RTC rendered a decision in 2005
declaring the legal separation of the parties pursuant to Article 55. Save for
one child (already of legal age), the three minor children remains in the
custody of Rita, who is the innocent spouse.
The properties accrued by the spouses shall be divided equally between
them subject to the respective legitimes of their children; however,
Brigidos share of the net profits earned by the conjugal partnership shall
be forfeited in favor of their children in accordance to par. 9 of Article 129
of the FC.
A few months thereafter, Rita filed a motion for execution, which was
granted by the trial court. By 2006, Brigido paid Rita with regards to the
earlier decision; the writ was partially executed.
After more than 9 months later, Brigido filed a motion for clarification
asking the RTC to define Nets Profits Earned. In answer, the court held
that the phrase denotes the remainder of the properties of the parties after
deducting the separate properties of each of the spouses and debts.
Upon a motion for reconsideration, it initially set aside its previous decision
stating that NET PROFIT EARNED shall be computed in accordance with
par. 4 of Article 102 of the FC. However, it later reverted to its original
Order, setting aside the last ruling.
ISSUE: Whether or not the regime of conjugal partnership of gains governs
the couples property relations.

HELD: Yes. Brigido and Rita tied the knot on January 6, 1977. Since at the
time of exchange of martial vows, the operative law was the NCC and
since they did not agree on a marriage settlement, the property relations
between them is the system of relative community or the conjugal
partnership of gains. Under this property relation, the husband and wife
place in a common fund the fruits of their separate property and the
income from their work and industry. The husband and wife also own in
common all the property of the conjugal partnership of gains.