1975 - 2004 LTD No. 14: (A) 1) Is Title To Registered Land Subject To

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1975 - 2004 must be accompanied with the Articles of Incorporation,

a board resolution authorizing the corporation to buy


LTD No. 14: (a) 1) Is title to registered land subject to and another resolution of the Board naming the
prescription? Explain your answer. corporate officer authorized to execute and sign the
2) How about the right of the registered owner to contract. This is not to mention the proper observance
recover possession, is it equally imprescriptible? Why? of the requirements in the acknowledgment portion of
the deed.
3) What effect has the equitable principle of laches on
the imprescriptibility of Torrens Title? Explain. 06; LTD; acquisition of lands; citizenship requirement

(b) In passing upon the registrability of a document 2003 No XVIII. In 1970, the spouses Juan and Juana de la
sought to be registered, what formal requisites is the Cruz, then Filipinos, bought the parcel of unregistered
Register of Deeds charged to determine, under his land in the Philippines on which they built a house
responsibility, whether or not they have been complied which became their residence. In 1986, they migrated to
with? Canada and became Canadian citizens. Thereafter, in
1990, they applied, opposed by the Republic, for the
Answer: (a) 1) No because under Section 47, P.D, 1529, registration of the aforesaid land in their names. Should
no title to registered land in derogation of that of the the application of the spouses de la Cruz be granted
registered owner shall be acquired by prescription or over the Republic’s opposition? Why? 5%
adverse possession. A similar provision is found in the
Civil Code. The reason is that once a piece of land is SUGGESTED ANSWER: Page 212 of 391 Yes, the
registered under the Torrens System, it operates as a application should be granted. As a rule, the
notice to the whole world. All persons are bound by it. Constitution prohibits aliens from owning private lands
No one can plead ignorance of the registration. in the Philippines. This rule, however, does not apply to
the spouses Juan and Juana de la Cruz because at the
(2) The right to recover the land from another person time they acquired ownership over the land, albeit
holding it is equally imprescriptible, the reason being imperfect, they were still Filipino citizens. The
that possession is a mere consequence of ownership. application for registration is a mere confirmation of the
imperfect title which the spouses have already acquired
(3) While a Torrens Title is imprescriptible, under certain
before they became Canadian citizens. (Republic v. CA,
exceptional circumstances, it may yield to the equitable
235 SCRA 567 [1994]).
principle of laches. In other words, certain
circumstances such as inaction or utter neglect on the 06; LTD; Act 3344 1994 No. 3; 3) How do you register
part of the owner and the intervention of rights by third now a deed of mortgage of a parcel of land originally
parties may, for reasons of equity, convert the claim of registered under the Spanish Mortgage Law?
imprescriptibility into a stale demand, (Mejia vs.
Gamponia, 100 Phil. 277; Miguel vs. Catalino, G.R. L- Alternative Answers; 3) a) After the Spanish Mortgage
23072, Nov. 29, 1968; Heirs of Batiog Lacamen vs. Heirs Law was abrogated by P.D. 892 on February 16.1976, all
of Laruan, G.R. L-27058, July 31,1985). (b) To be lands covered by Spanish titles that were not brought
registerable, a voluntary document affecting registered under the Torrens system within six 16] months from
land must be sufficient in law. (Section 51, P.D. 1529) the date thereof have been considered as "unregistered
Sufficiency refers to both substance and form. As to private lands." Thus, a deed of mortgage affecting land
form, it is the ROD's responsibility to check such items originally registered under the Spanish Mortgage Law is
as the full name and signature of vendor or grantor, the now governed by the system of registration of
marital consent of the wife if the land sold is conjugal, transactions or instruments affecting unregistered land
the full name, nationality, the civil status, the name of under Section 194 of the Revised Administrative Code as
spouse, if married, the resident and postal address of amended by Act No. 3344. Under this law, the
the grantee. If the grantee is a corporation, the deed instrument or transaction affecting unregistered land is
entered in a book provided for the purpose but the also be considered as a correct answer. Under Section 2
registration thereof is purely voluntary and does not of P.O. No. 1529, the jurisdiction of a Court of First
adversely affect third persons who have a better right. Instance acting as a Land Registration Court has been
b) By recording and registering with the Register of broadened.
Deeds of the place where the land is located, in
06; LTD; annotation of lis pendens
accordance with Act 3344. However, P.D. 892 required
holders of Spanish title to bring the same under the 2001 No XX Mario sold his house and lot to Carmen for
Torrens System within 6 months from its effectivity on P1 million payable in five (5) equal annual installments.
February 16, 1976. The sale was registered and title was issued in Carmen's
name. Carmen failed to pay the last three installments
06; LTD; amendment of entries in a certificate of title
1981 and Mario filed an. action for collection, damages and
attorneys fees against her. Upon filing of the complaint,
No. 17 In a verified petition filed before the Court of he caused a notice of lis pendens to be annotated on
First Instance, sitting as a land registration Court, and Carmen's title. Is the notice of lis pendens proper or
under the summary proceeding for amendment or not? Why? (5%)
alteration outlined in section 112 of the Land
SUGGESTED ANSWER.. The notice of lis pendens is not
Registration Act, husband "H", being the registered
owner of three parcels of land, sought to strike out the proper for the reason that the case filed by Mario
against Carmen is only for collection, damages, and
words "married to W" appearing in the said titles, and
to place in Lieu thereof the word "single" on the ground attorney's fees. Annotation of a lis pendens can only be
done in cases involving recovery of possession of real
that the phrase "married to W" was entered by reason
of clerical error or oversight. Opposition was filed by property, or to quiet title or to remove cloud thereon, or
for partition or any other proceeding affecting title to
"W" who alleged that she is the legal wife of "H", and
that the insertion of the phrase "married to W" was not the land or the use or occupation thereof. The action
filed by Mario does not fall on anyone of these.
the result of clerical error but was the voluntary act of
"H". May the Court of First Instance, sitting as a land 06; LTD; annotations; classification
registration Court, continue to take cognizance of the
case and resolve the issue posed? Explain. 1985 No. 13 B) A bought a house and lot in a
subdivision, subject to the condition, annotated on the
Answer The Court of First Instance, sitting as a Land certificate of title, that they shall be used for residential
Registration Court, cannot continue to take cognizance purposes only. Ten years later, A sold the property to B
of the case and resolve the issue posed. It is apparent who converted it into a restaurant. The owner
that the Court, sitting as a land registration court, demanded its closure but B refused alleging (1) that
cannot alter the description of the civil status of the although he subsequently came to know the title issued
petitioner in the transfer certificates of title in question. to him bears such an annotation, he was unaware of it
It will have to receive evidence and determine the civil at the time of the sale as the seller did not tell him so
status of said petitioner. This requires a full-dressed and the deed of sale in his favor makes no mention of it;
trial, thus rendering the summary proceeding envisaged (2) that his lot has been re-classified by ordinance as
in Sec. 112 of Act 496 inadequate. Page 213 of 391 commercial; and (3) that it has in fact become
Therefore, the remedy of "W" against her husband "H" commercial because of its proximity to some stores and
or of "H" against his wife "W" would be to thresh out a shopping center in an adjoining subdivision. Rule on
the question of their status in a separate and the validity of said defenses.
independent action filed for that purpose. (Note: The
above answer is based on Martinez vs. Evangelista, L- Answers: B. 1. There are now 3 decisions of the
26399, Jan. 31,1981.) However, the Committee Intermediate Appellate Court. The first decision was
respectfully recommends that a contrary answer may incorporated in 1984 in the Silverio case. The facts are
identical. There was a legitimate exercise of the police (1) Under Chapter IX of C .A, No. 141, otherwise known
power. The stipulation in the contract of sale which was as the Public Land Act, foreshore lands are disposable
properly annotated at the back of the title will have to for residential, commercial, industrial, or similar
give way to that legitimate exercise of the police power productive purposes, and only by lease when not
of the State. Besides (under Art. 1266 of the New Civil needed by the government for public service.
Code), we have here an obligation which cannot be
complied with because of a legal impossibility by reason (2) If the land is suited or actually used for fishpond or
aquaculture purposes, it comes under the Jurisdiction of
of that ordinance. The classification supersedes the
annotation. the Bureau of Fisheries and Aquatic Resources (BFAR)
and can only be acquired by lease. (P.D. 705)
2. Fulfillment of the obligation is prevented by a law and
therefore no longer tenable. Since continuing with the (3) Free Patent is a mode of concession under Section
41, Chapter VII of the Public Land Act, which is
house as residential is. no longer possible, the
annotation is no longer valid. Page 214 of 391 applicable only for agricultural lands.

(4) The certificate of the district forester that the land is


3. The owner has dominion over his property, but he is
bound by fair restrictions on the title since he is charged already "alienable and disposable" simply means that
the land Is no longer needed for forest purposes, but
with constructive notice of such restrictions.
the Bureau of Lands could no longer dispose of it by free
4. The contention that B was unaware, at the time of patent because It Is already covered by a lease contract
the sale, of the encumbrance in the certificate of title is between BFAR and Regina. That contract must be
not valid since the annotation on the certificate is respected.
constructive notice to him.
(5) The free patent of Jorge is highly Irregular and void
5. The contention that the property became commercial ab initio, not only because the Bureau has no statutory
because of its proximity to some stores and a shopping authority to issue a free patent over a foreshore area,
center is not sufficient legal justification for a breach of but also because of the false statements made in his
the agreement. sworn application that he has occupied and cultivated
the land since Jury 4, 1945, as required by the free
06; LTD; foreshore lands patent law. Under Section 91 of the Public Land Act, any
2000 No VIII b) Regina has been leasing foreshore land patent concession or title obtained thru false
from the Bureau of Fisheries and Aquatic Resources for representation is void ab initio. In cases of this nature. It
the past 15 years. Recently, she learned that Jorge was is the government that shall institute annulment
able to obtain a free patent from the Bureau of proceedings considering that the suit carries with it a
Agriculture, covering the same land, on the basis of a prayer for the reversion of the land to the state.
certification by the District Forester that the same is However, Regina is a party in interest and the case will
already "alienable and disposable". Moreover, Jorge had prosper because she has a lease contract for the same
already registered the patent with the Register of Deeds land with the government.
of the province, and he was issued an Original 06; LTD; homestead patents; void sale
Certificate of Title for the same. Regina filed an action
for annulment of Jorge's title on the ground that it was 1999 No XII. Page 215 of 391 In 1950, the Bureau of
obtained fraudulently. Will the action prosper? (2%) Lands issued a Homestead patent to A, Three years
later, A sold the homestead to B. A died in 1990, and his
SUGGESTED ANSWER: An action for the annulment of heirs filed an action to recover the homestead from B
Jorge's Original Certificate of Title will prosper on the on the ground that its sale by their father to the latter is
following grounds: void under Section 118 of the Public Land Law. B
contends, however, that the heirs of A cannot recover
the homestead from him anymore because their action SECOND ALTERNATIVE ANSWER: Prescription does not
has prescribed and that furthermore, A was in pari arise with respect to actions to declare a void contract a
delicto. Decide. (5%) nullity (Article 1410). Neither is the doctrine of pari
delicto applicable because of public policy. The law is
ANSWER: The sale of the land by A to B 3 years after designed for the protection of the plaintiff so as to
issuance of the homestead patent, being in violation of enhance the public policy of the Public Land Act to give
Section 118 of the Public Land Act, is void from its land to the landless. If the heirs are not allowed to
inception. The action filed by the heirs of B to declare recover, it could be on the ground of laches inasmuch as
the nullity or inexistence of the contract and to recover 40 years had elapsed and the owner had not brought
the land should be given due course. B's defense of any action against B especially if the latter had improved
prescription is untenable because an action which seeks the land. It would be detrimental to B if the plaintiff is
to declare the nullity or inexistence of A contract does allowed to recover.
not prescribe. (Article 1410; Banaga vs. Soler, 2 8CRA
765) On the other hand, B's defense of pari delicto is 06; LTD; homestead; reversion
equally untenable. While as a rule, parties who are in
pari delicto have no recourse against each other on the 1978 No. IX-a Page 216 of 391 Free Patent No. V-347
was issued in favor of A for the land in question.
principle that a transgressor cannot profit from his own
wrongdoing, such rule does not apply to violations of Subsequently, Original Certificate of Title No. P-25G7
was issued in A's name on June 15, 1976. On July 30,
Section 118 of the Public Land Act because of the
underlying public policy in the said Act "to conserve the 1977, the Republic of the Philippines at the instance of
the Bureau of Forestry filed a complaint to declare the
land which a homesteader has acquired by gratuitous
grant from the government for himself and his family". free patent and the Original Certificate of Title null and
void on the ground that the land covered thereby is
In keeping with this policy, it has been held that one
who purchases a homestead within the five-year forest land. Decide the case, with reasons.
prohibitory period can only recover the price which he Answer: The annulment and cancellation of a
has paid by filing a claim against the estate of the homestead patent and the consequent reversion of the
deceased seller (Labrador vs. Delos Santos 66 Phil. 579) property to the State are matters between the State and
under the principle that no one shall enrich himself at the grantee or his heirs. Hence, the government may
the expense of another. Applying the pari delicto rule to take appropriate steps to annul the grant and assert title
violation of Section 118 of the Public Land Act, the to the homestead. Assuming then that the action in the
Court of Appeals has ruled that "the homesteader instant case is for reversion of the land, obviously, it will
suffers the loss of the fruits realized by the vendee who still prosper. The period of prescription is five years, not
in turn forfeits the improvement that he has introduced one year, to be counted from the time the right to such
into the land." (Obot vs. SandadiUas, 69 OG, April 35, action has accrued However, if the action merely seeks a
1966} FIRST review of the homestead award, the period of
ALTERNATIVE ANSWER: The action to declare the nullity prescription is one year. (NOTE: The above answer is
based on decided cases, more specifically, Lopez vs.
of the sale did not prescribe (Art. 1410}, such sale being
one expressly prohibited and declared void by the Public Padilla, L-27559, May 18, 1972, De la Cruz vs. Corpus, 62
Off. Gaz. 49, p 9271, Dec. 5, 1966, CA. The period of
Lands Act [Art. 1409, par. (7)]. The prohibition of the law
is clearly for the protection of the heirs of A such that prescription of five years is based on Art. 1149, Civil
Code.)
their recovering the property would enhance the public
policy regarding ownership of lands acquired by 06; LTD; homestead; right to repurchase
homestead patent (Art. 1416). The defense of pari
delicto is not applicable either, since the law itself 1978 No. IX-b A's father was the original homesteader of
allows the homesteader to reacquire the land even if it a parcel of land covered by a homestead patent issued
has been sold. on June 3, 1932. On April 27, 1958, A's father sold said
property to B. On July 15, 1962, A's father died. On included in the technical description appearing on the
March 15, 1963, A sought to repurchase the property Torrens Certificate of Title having been acquired
from B. B refused. Can A repurchase the property? Give subsequent to the registration proceedings. May such
reasons for your answer. additional area be acquired by third persons thru
prescription? Give your reasons.
Answer: Yes, A can repurchase the property. According
to the Public Land Law, every conveyance of land Answer: The Land Registration Law provides that no
acquired under the free patent or homestead title in derogation of the registered owner may be
provisions, when proper, shall be subject to repurchase acquired by adverse possession or acquisitive
by the applicant, his widow, or legal heirs, within a possession. Since the law refers to registered lands, the
period of five years from the date of conveyance. The accession mentioned in this question may be acquired
homestead was sold by the applicant on April 27, 1958. by a third person through adverse possession or
A, the legal heir of the applicant sought to repurchase acquisitive possession.
the land on March 15, 1963. It is evident that he is
Alternative Answer: If the accession is man made, then
exercising his right of legal redemption within the
prescribed period of five years. (NOTE: The above it cannot be considered as private property. It belongs
to the public domain, and, therefore, cannot be
answer is based on Section 119 of the Public Land Law
and on decided cases.) acquired by adverse possession or acquisitive
possession.
06; LTD; homestead; right to repurchase
06; LTD; indefeasibility of title
1978 No. XI-b A's father was the original homesteader
1983 No. 18 A filed in the regional trial court an
of a parcel of land covered by a homestead patent
issued on June 3, 1932. On April 27, 1968, A's father application for registration (confirmation of title) of a
parcel of land in his name. B filed a motion to dismiss
sold said property to B. On July 15, 1962, A's father
died. On March 15, 1963, A sought to repurchase the A's application on the ground that the court has no
jurisdiction to entertain it, the land having already been
property from B. B refused. Can A repurchase the
property? Give reasons for your answer. registered in his name after the grant to him of a
homestead patent. Should the motion to dismiss be
Answer: Sec. 119, CA 141, provides that every granted? Why?
conveyance of land acquired under the free patent or
Answer: The motion should be granted. Since a patent
homestead provisions, when proper, shall be subject to
repurchase by the applicant, his widow, or legal heirs, and a certificate of title to the land have already been
issued, it has become registered property, the title
within a period of five years from the date of the
conveyance. Reason: To preserve and keep in the family thereto is indefeasible and is no longer subject to the
jurisdiction of a Court of First Instance acting as a land
of the homesteader (or patentee) that portion of public
land which the State had gratuitously given to him. It is registration court.
in keeping with the fundamental idea to hold that the 06; LTD; IPV; adverse claims
right to repurchase exists not only when the original
homesteader makes the conveyance, but also when it is 1998 No XIX, Section 70 of Presidential Decree No.
made by his widow or heirs (Pascua vs. Talens, 89 Phil. 1529, concerning adverse claims on registered land,
792). provides a 30-day period of effectivity of an adverse
claim, counted from the date of its registration. Suppose
06; LTD; increase of area by accession a notice of adverse claim based upon a contract to sell
was registered on March 1, 1997 at the instance of the
1989 No. 7: (2) Subsequent to the original registration
of a parcel of land bordering a river, its area was BUYER, but on June 1, 1997, or after the lapse of the 30-
day period, a notice of levy on execution in favor of a
increased by accession. This additional area was not
JUDGMENT CREDITOR was also registered to enforce a
final judgment for money against the registered owner. 1977 No. XVII-a A owned a titled lot which he sold to B,
Then, on June 15, 1997 there having been no formal who sold it to C, who obtained in certificate in his own
cancellation of his notice of adverse claim, the BUYER name, remained in possession, and paid taxes. Later, A
pays to the seller-owner the agreed purchase price in managed to obtain from the court an order for the
full and registers the corresponding deed of sale. cancellation of C's title and the issuance of a title in her
Because the annotation of the notice of levy is carried own name, on the false claim that B had resold the
over to the new title in his name, the BUYER brings an property to her, but she lost the deed of sale. The Court
action against the JUDGMENT CREDITOR to cancel such acted as a cadastral court. 6 years late, C sued to have
annotation, but the latter claims that his lien Page 218 this ownership recognized and to cancel the title in the
of 391 is superior because it was annotated after the name of X, who had bought the lot from A. X resisted,
adverse claim of the BUYER had ipso facto ceased to be invoking prescription and the indefeasibility of his title.
effective. Will the suit prosper? [5%] Decide, stating reasons.

Answer: The suit will prosper. While an adverse claim Answer: C should prevail. C's title to the land being
duly annotated at the back of a title under Section 7O of evidenced by a Torrens title issued to him who is legally
P.D. 1529 is good only for 30 days, cancellation thereof presumed to have acquired it in good faith, nothing to
is still necessary to render it ineffective, otherwise, the the contrary being shown, his title by law is indefeasible.
inscription thereof will remain annotated as a lien on The mere fact that his action for recognition of his
the property. While the life of adverse claim is 3O days ownership was instituted after six years cannot militate
under P.D. 1529, it continuous to be effective until it Is against him inasmuch as his title by provision of law is
canceled by formal petition filed with the Register of imprescriptible. The Cadastral Court which ordered the
Deeds. The cancellation of the notice of levy is justified cancellation of C's title and the issuance of a title in the
under Section 108 of P.D. 1529 considering that the levy name of A based on a false claim that B had resold the
on execution can not be enforced against the buyer property to her but she lost the deed of sale, had no
whose adverse claim against the registered owner was power to issue such an order. It had no power to
recorded ahead of the notice of levy on execution. determine such highly controversial issue which should
have been threshed out in an ordinary civil action. On
06; LTD; IPV; buyer in good faith; laches the other hand, X who bought the lot from A, could not
1983 No. 17 In 1930, A sold a piece of land to B and have acquired any better right than A under any
delivered his certificate. of title thereto. B occupied the standard of justice, and since C is the owner by prior
land but did not have A's title cancelled and a new one registration, the latter's title cannot be defeated by any
issued in his name. Upon B's death in 1950, the land subsequent title or by any collateral attack.
passed to his son, C, who continued in possession 06; LTD; IPV; constructive trust
thereof. In 1970, A's two sons, X and Y, secured the
cancellation of the title of their father who had died, 1980 No. IX (b) "HH", "II", and "JJ" inherited from their
and the issuance of two titles, one in X's name, covering parents a large parcel of land. "HH" and "II" went
1/2 of the land, and the other in Y's name, embracing abroad to reside in Canada. In their absence, "JJ"'
the other half. X thereafter sold his part to Z, who was applied for the registration of the whole land in his
unaware of the antecedents. Is C bound to deliver to Z name only. In due time, "JJ" obtained a Torrens Title for
the portion sold to the latter by X, and to Y the part the land. When "H" and "H" returned from Canada after
embraced in Y's title? seven years, they found out what "JJ" did and sued him
for their respective shares. "JJ" contended that the
Answer: C must deliver the portion sold to Z, he being a decree of title can no longer be reviewed or changed
buyer in good faith but not the part embraced in Y's because of the lapse of more than one year from its
title, he having lost the right to recover it by laches. issuance. In whose favor would you decide?
06; LTD; IPV; collateral attack
Answer: (b) My decision is in favor of "HH" and "II". In laches, asking that he be declared owner of the land.
reality, the action commenced by plaintiffs against Decide the case by evaluating these defenses, [5%]
defendant is an action for reconveyance of their
Answer: a) Renren's action to recover possession of the
respective shares in the subject property based on the
constructive trust recognized and sanctioned by the Civil land will prosper. In 1965, after buying the land from
Robyn, he submitted the Deed of Sale to the Registry of
Code which declares that if the property is acquired
through mistake or fraud, the person obtaining it is, by Deeds for registration together with the owner's
duplicate copy of the title, and paid the corresponding
force of law, considered a trustee of an implied trust for
the benefit of the person from whom the property registration fees. Under Section 56 of PD No. 1529, the
Deed of Sale to Renren is considered registered from
comes. Since the obligation is created by law, the action
commenced by the beneficiaries against him shall the time the sale was entered in the Day Book (now
called the Primary Entry Book). For all legal intents and
prescribe and the period of prescription is ten years
which shall be counted from the time of the discovery purposes, Renren is considered the registered owner of
the land. After all, it was not his fault that the Registry
of the fraud. When did the plaintiff discover the fraud
committed by defendant? Under the constructive notice of Deeds could not issue the corresponding transfer
certificate of title. Mikaelo's defense of prescription can
rule, they are deemed to have discovered the fraud as
of the date the trustee set up in himself a title adverse not be sustained. A Torrens title is imprescriptible. No
title to registered land in derogation of the title of the
to the title of the beneficiaries. Normally, this would be
the date the trustee ("JJ") obtained his Torrens Title. registered owner shall be acquired by prescription or
adverse possession. (Section 47, P.D. No, 1529) The right
Since the instant action was commenced seven years
after the issuance of said Title, it is obvious that it was to recover possession of registered land likewise does
not prescribe because possession is just a necessary
commenced in time. (NOTE: See: Art. 1456, Civil Code;
Gerona vs. De Guzman, 11 SCRA 163; Fabian vs. Fabian, incident of ownership.
22 SCRA 231; Cuaycong vs. Cuaycong, 21 SCRA 1192; b) Mikaelo's defense of laches, however, appears to be
De-la Cerna vs. De la Cerna, 72 SCRA 515; Jaramil vs. CA, more sustainable. Renren bought the land and had the
78 SCRA 420; Duque vs. Domingo, 80 SCRA 654; sale registered way back in 1965. From the facts, it
Nacalaban vs. CA 80 SCRA 428.) appears that it was only in 1998 or after an inexplicable
delay of 33 years that he took the first step asserting his
06; LTD; IPV; effect of entry in day book; acquisitive
prescription; laches right to the land. It was not even an action to recover
ownership but only possession of the land. By ordinary
1998 No XX. In 1965, Renren bought from Robyn a standards, 33 years of neglect or inaction is too long and
parcel of registered land evidenced by a duty executed maybe considered unreasonable. As often held by the
deed of sale. The owner presented the deed of sale and Supreme Court, the principle of imprescriptibility
the owner's certificate of title to the Register of Deeds. sometimes has to yield to the equitable principle of
The entry was made in the daybook and corresponding laches which can convert even a registered land owner's
fees were paid as evidenced by official receipt. However, claim into a stale demand. Mikaelo's claim of laches,
no transfer of certificate of title was Issued to Renren however, is weak insofar as the element of equity is
because the original certificate of title in Robyn's name concerned, there being no showing in the facts how he
was temporarily misplaced after fire partly gutted the entered into the ownership and possession of the land.
Office of the Register of Deeds. Meanwhile, the land
06; LTD; IPV; effect of laches
had been possessed by Robyn's distant cousin, Mikaelo,
openly, adversely and continuously in the concept of 1977 No. XVII-b A sold a titled land to L in 1928, but the
owner since 1960. It was only in April 1998 that Renren sale was not approved by the Provincial Governor as
sued Mikaelo to recover Page 220 of 391 possession. required by law, vendor and vendee being non-
Mikaelo invoked a) acquisitive prescription and b) Christians. L took immediate possession and introduced
improvements, but the title remained in A's name. After
30 years the heirs of L sued the heirs of A to have the will the title of Catalino and the mortgage to Desiderio
land registered in their name. What grounds can be be sustained?
invoked by the defendants to prevail? How should the
Answer: The complaint for the annulment of Catalino's
case be decided?
Title will prosper. In the first place, the second owner's
Answer: In order that they shall prevail, defendants can copy of the title secured by him from the Land
invoke the doctrine of "stale demands" or laches. The Registration Court is void ab initio, the owner's copy
case should be decided in favor of defendants. As held thereof having never been lost, let alone the fact that
by the Supreme Court in a similar case, even granting said second owner's copy of the title was fraudulently
plaintiffs' proposition that no prescription lies against procured and improvidently issued by the Court. In the
their predecessor's recorded title, their passivity and second place, the Transfer Certificate of Title procured.
inaction for more than 30 years justify the defendants in by Catalino is equally null and void, it having been
setting up the defense of laches. All of the four issued on the basis of a simulated or forged Deed of
elements of laches are present. As a result, the Sale. A forged deed is an absolute nullity and conveys no
plaintiffs' action must be considered barred. (Miguel vs. title. The mortgage in favor of Desiderio is likewise null
Catalino, 26 SCRA 243; Lacamen vs. Laruan, 65 SCRA and void because the mortgagor is not the owner of the
605) mortgaged property. While it may be true that under
the "Mirror Principle" of the Torrens System of Land
06; LTD; IPV; foreclosure of registered lands; Registration, a buyer or mortgagee has the right to rely
prescription on what appears on the Certificate of Title, and in the
No. 12: (2) Does an action to foreclose a real estate absence of anything to excite suspicion, is under no
mortgage affecting registered land under the Torrens obligation to look beyond the certificate and investigate
System prescribe? Give your reasons. the mortgagor's title, this rule does not find application
in the case at hand because here. Catalino's title suffers
Answer: Even if the property given as collateral is from two fatal infirmities, namely: 1. The fact that it
covered by a Torrens Title, the right to foreclose a real emanated from a forged deed of a simulated sale; 2.
estate mortgage thereon prescribes. This is really an The fact that it was derived from a fraudulently
action to enforce collection of the loan. procured or improvidently issued second owner's copy,
the real owner's copy being still intact and in the
06; LTD; IPV; forged deed
possession of the true owner, Bruce. The mortgage to
1991 No 15: Bruce is the registered owner, of a parcel of Desiderio should be cancelled without prejudice to his
land with a building thereon and is in peaceful right to go after Catalino and/or the government for
possession thereof. He pays the real estate taxes and compensation from the assurance fund.
collects the rentals therefrom. Later, Catalino, the only
06; LTD; IPV; forged deed as a root of a title
brother of Bruce, filed a petition where he,
misrepresenting to be the attorney-in-fact of Bruce and 1989 No. 16: Page 222 of 391 (2) "A" is the owner of a
falsely alleging that the certificate of title was lost, registered land. The Torrens Title is entrusted to "B" his
succeeded in obtaining a second owner's duplicate copy clerk secretary, who forges "A's" signature on a deed of
of the title and then had the same transferred in his sale of said land in his (B's) favor. A new title is issued in
name through a simulated deed of sale in his favor. the name of "B," upon registration. Does "B" have a
Catalino then mortgaged the property to Desiderio who valid title over the land? If "B" sells the property to "C",
had the mortgage annotated on the title. Upon learning does the latter acquire a valid title over it?
of the fraudulent transaction, Bruce filed a complaint
against Catalino and Desiderio to have the title of Answer: A forged deed is an absolute nullity and
Catalino and the mortgage in favor of Desiderio conveys no title but it can be the root of a title. If title to
declared null and void. Will the complaint prosper, or the land has been transferred to a party based upon a
forged deed, and later on after the issuance of such title
the property is transferred to another who is an has no force and effect against A. 4. Y should be
innocent purchaser for value, then the latter acquires a protected because he is a purchaser in good faith as he
valid title. bought it from X who has a transfer certificate of title in
his name. This is in consonance with the "chain of title"
06; LTD; IPV; forged deed as a root of title doctrine. With respect to the creditor who sought to
1985 No. 14 B) After finding on a bus an envelope levy the judgment against X who was the buyer from
containing two Torrens certificates of title in A's name, B the forger, the creditor stands in the same shoes as X
posing as A and forging his signature, sold the two who did not acquire a better right than his vendor
parcels of land described in the Titles to X who bought because he did not buy it from the Page 223 of 391
them in good faith and for value and to whom transfer registered owner but from a forger B. Therefore, A is
certificates were issued in his name. He then conveyed entitled to the other parcel over the judgment creditor.
one parcel to Y, a bonafide purchaser for value, while 06; LTD; IPV; forged document as a root of a certificate
the other was levied upon to satisfy the judgment of title
against X. Who has a better right to the aforementioned
parcels of land, A, Y, or the judgment creditor? Discuss. 1976 No. VII-a A. is the owner of a registered parcel of
land. The Torrens title is entrusted to B, his clerk. B
Answer; B) 1. I believe A retains ownership of both forges A's signature on the deed of sale of said land in
parcels of land. A forged deed of sale is an absolute his (B's) favor. A new title is issued in the name of B.
nullity and, therefore, conveys no title. A deed of sale Does B have a valid title over the land? Explain. Answer
executed by an impostor has no legal force and effect. B does not have a valid title over the land. A, whose
Registration of the deed and the consequent signature was forged, cannot be deprived of his
registration and issuance of a transfer certificate of title, property inasmuch as by express provision of Section 55
even to an innocent purchaser, will not cure the of Act 496, any subsequent registration procured by a
infirmity. It is also an established rule that a forged deed forged deed shall be null and void While it may be true
can be the root of a good title. This can happen where that the law gives an innocent purchaser for value some
title has been registered in the name of the forger and protection, greater protection is given to the registered
he later transfers or mortgages the same to an innocent owner. B in this case is not such an innocent purchaser
third party for value. In this case, the third party who inasmuch as he himself is the forger. 1976 No. VII-b If B
relied on what appears in the certificate of title should sells the property to C, does C acquire a valid title over
be protected. (Duran vs. Caspar vs. I AC, Tangco, GR No. it? Explain.
L-64159, Sept 10, 1985. However, in the instant case, no
title was ever transferred or registered in the name of Answer: C, the subsequent buyer, acquires a valid title
the forger. The rule discussed above does not apply. over the land in question. This is a case of a void title
Therefore, A never lost his right and can recover the ripening into a valid title inasmuch as C qualifies as an
land from Y and the judgment creditor. 2. Y has a better innocent purchaser for value, assuming of course that
right than A over the parcel of land he bought from X in he meets the three requisites, namely: 1. That he did
good faith and for value, because Y bought the land not know of any flaw or defect of the title of B; 2. That
from the registered owner X, and therefore Y is a he paid a reasonable price; and 3. That he acquired the
purchaser for value and in good faith, whose title is property from the person who stands in .the records as
protected by P.D. 1529. 3. A has a better right than the the registered owner (Rivera vs. Tirona) or; C may
judgment creditor over the parcel of land still registered acquire a valid title if he is an innocent purchaser
in the name of X, because X is not a purchaser for value because C bought it from the registered owner B, who
and in good faith, as defined in P.D. 1529, having bought has a certificate of title in his name. C need not inquire
the land not from the registered owner A but from into the validity of the title of B. The land registration
forger B, such that X has no title thereto and the levy on certificate protects an innocent purchaser for value who
execution thereon to satisfy a judgment creditor of X relies on a certificate of title by providing that he takes it
free from all liens and encumbrances not noted in the thereto. This is the "mirror principle'* of the Torrens
title. system which makes it possible for a forged deed to be
the root of a good title. Besides, it appears that spouses
1976 No. VII-c Does the delivery of the title from A to B X and Y are guilty of contributory negligence when they
constitute an act of negligence? Explain. delivered this OCT to the mortgagee without annotating
Answer: If the clerk is charged, as part of his duty, with the mortgage thereon. Between them and the innocent
the filing and keeping of documents safely, then the purchaser for value, they should bear the loss.
entrusting of that document to him in the course of his ALTERNATIVE ANSWER: If the buyer B, who relied on
normal duties is not an act of negligence. However, for the teller A's title, was not aware of the adverse
purposes of recovering from the Assurance Fund, it is possession of the land by the spouses X and Y, then the
necessary that the owner must be free from any fault. latter cannot recover the property from B. B has in his
Here his loss was occasioned by a breach of trust, for favor the presumption of good faith which can only be
which reason he would not be entitled to compensation overthrown by adequate proof of bad faith. However,
from the Assurance Fund, nobody buys land without seeing the property, hence, B
06; LTD; IPV; forgery; innocent purchaser for value could not have been unaware of such adverse
possession. If after learning of such possession, B simply
1999 No X. The spouses X and Y mortgaged a piece of closed his eyes and did nothing about it, then the suit
registered land to A, delivering as well the OCT to the for reconveyance will prosper as the buyer's bad faith
latter, but they continued to possess and cultivate the will have become evident.
land, giving 1/2 of each harvest to A in partial payment
of their loan to the latter, A, however, without the 06; LTD; IPV; fraud in the procurement of patent
knowledge of X and Y, forged a deed of sale of the 2000 No XII In 1979, Nestor applied for and was granted
aforesaid land in favor of himself, got a TCT in his name, a Free Patent over a parcel of agricultural land with an
and then told the land to B, who bought the land relying area of 30 hectares, located in General Santos City. He
on A's title, and who thereafter also got a TCT in his presented the Free Patent to the Register of Deeds, and
name, It was only then that the spouses X and Y learned he was issued a corresponding Original Certificate of
that their land had been titled in B's name. May said Title (OCT) No. 375, Subsequently, Nestor sold the land
spouses file an action for reconveyance of the land in to Eddie. The deed of sale was submitted to the Register
question against b? Reason. (5%) of Deeds and on the basis thereof, OCT No, 375 was
ANSWER: The action of X and Y against B for cancelled and Transfer Certificate of Title (TCT) No. 4576
reconveyance of the land will not prosper because B has was issued in the name of Eddie. In 1986, the Director
acquired a clean title to the property being an innocent of Lands filed a complaint for annulment of OCT No, 375
purchaser for value. A forged deed is an absolute nullity and TCT No. 4576 on the ground that Nestor obtained
and conveys no title. The fact that the forged dead was the Free Patent through fraud. Eddie filed a motion to
registered and a certificate of title was issued in his dismiss on the ground that he was an innocent
name, did not operate to vest upon A ownership over purchaser for value and in good faith and as such, he
the property of X and V. The registration of the forged has acquired a title to the property which is valid,
deed will not cure the infirmity. However, once the title unassailable and Indefeasible. Decide the motion. (5%)
to the land is registered in the name of the forger and SUGGESTED ANSWER: Page 225 of 391 The motion of
title to the land thereafter falls into the hands of an Nestor to dismiss the complaint for annulment of O.C.T.
innocent purchaser for value, the latter acquires a clean No. 375 and T.C.T. No. 4576 should be denied for the
title thereto. A buyer of a registered land is not required following reasons: 1) Eddie cannot claim protection as
to explore beyond what the record in the registry an innocent purchaser for value nor can he interpose
indicates on its face in quest for any hidden defect or the defense of indefeasibility of his title, because his TCT
inchoate right which may subsequently defeat his right is rooted on a void title. Under Section 91 of CA No. 141,
as amended, otherwise known as the Public Land Act, longer be reopened under the Land Registration Act,
statements of material facts in the applications for still the land covered thereby be reconveyed to the
public land must be under oath. Section 91 of the same State in action for reconveyance under Sec. 101 of CA
act provides that such statements shall be considered as 141. (RP vs. Samson Animas, L-37682, May 29t 1974; 70
essential conditions and parts of the concession, title, or OG. 32) Another reason. Act 496 only aim to confirm
permit issued, any false statement therein, or omission ownership. So where land involved is not susceptible of
of facts shall ipso facto produce the cancellation of the private appropriation, no private ownership may be
concession. The patent issued to Nestor in this case is confirmed.
void ab initio not only because it was obtained by fraud
06; LTD; IPV; government lands
but also because it covers 30 hectares which is far
beyond the maximum of 24 hectares provided by the 1975 No. XX If there is any error in a Torrens title in the
free patent law. 2) The government can seek annulment sense that it included government lands, who can
of the original and transfer certificates of title and the properly question the error and how?
reversion of the land to the state. Eddie's defense is
untenable. The protection afforded by the Torrens Answer The State can question the error by filing an
System to an innocent purchaser for value can be action to annul the certificate of title, if the entire land
availed of only if the land has been titled thru judicial covered by the title, is government property or, for
proceedings where the issue of fraud becomes reversion of Page 226 of 391 property to the State
academic after the lapse of one (1) year from the (Republic v. Ananias, March 29, (1974), This remedy, of
issuance of the decree of registration. In public land course, is available only when the property involved is
grants, the action of the government to annul a title not the patrimonial property of the state because the
fraudulently obtained does not prescribe such action final decree of registration became incontrovertible,
and will not be barred by the transfer of the title to an even as against the government. In one case where
innocent purchaser for value. public navigable river was included in the Torrens title,
the court held that the title may be attacked collaterally
06; LTD; IPV; free patents; jurisdiction of Director of or directly by the State (Martinez v. Court of Appeals,
Lands April 29, 1976).
1978 No. XI-a Free Patent No. V-347 was issued in favor 06; LTD; IPV; innocent purchaser for value
of A for the land in question. Subsequently, Original
Certificate of Title No. P-2507 was issued in A's name on 2001 No XVII Cesar bought a residential condominium
June 15, 1976. On July 30, 1977, the Republic of the unit from High Rise Co. and paid the price in full. He
Philippines at the instance of the Bureau of Forestry moved into the unit, but somehow he was not given the
filed a complaint to declare the free patent and the Condominium Certificate of Title covering the property.
Original Certificate of Title null and void on the ground Unknown to him, High Rise Co. subsequently mortgaged
that the land covered thereby is forest land. Decide the the entire condominium building to Metrobank as
case with reasons. security for a loan of P500 million. High Rise Co. failed to
pay the loan and the bank foreclosed the mortgage. At
Answer: Any patent issued by the Director of lands to the foreclosure sale, the bank acquired the building,
private parties is void ab initio, for lack of jurisdiction. being the highest bidder. When Cesar learned about
The indefeasibility of the Torrens title that may be this, he filed an action to annul the foreclosure sale
issued pursuant to such patent will not be against the insofar as his unit was concerned. The bank put up the
State in an action for reservation of land covered defense that it relied on the condominium certificates of
thereby when such land is a part of a public forest title presented by High Rise Co., which were clean.
reservation, Neither prescription will lie against the Hence, it was a mortgagee and buyer in good faith. Is
State in such cases in accordance with Art. 1108, par. 4 this defense tenable or not? Why? (5%.)
of the Civil Code. Even granting that Torrens Title can no
SUGGESTED ANSWER: Metrobank's defense is Torrens title. Furthermore, the fact that the registration
untenable. As a rule, an innocent purchaser for value had subsisted for five years strengthens the
acquires a good and a clean title to the property. indefeasibility of the title of the registrant. The ward can
However, it is settled that one who closes his eyes to perhaps go after his guardian for the damage or loss
facts that should put a reasonable man on guard is not caused to him, but not the person who obtained the
an innocent purchaser for value. In the present problem Torrens title,
the bank is expected, as a matter of standard operating
06; LTD; IPV; lis pendens:
procedure, to have conducted an ocular inspection, of
the promises before granting any loan. Apparently, 1995 No, 4: Rommel was issued a certificate of title
Metrobank did not follow this procedure. otherwise, it over a parcel of land in Quezon City. One year later
should have discovered that the condominium unit in Rachelle, the legitimate owner of the land, discovered
question was occupied by Cesar and that fact should the fraudulent registration obtained by Rommel. She
have led it to make further inquiry. Under the filed a complaint against Rommel for reconveyance and
circumstances. Metrobank cannot be considered a caused the annotation of a notice of lis pendens on the
mortgagee and buyer in good faith. certificate of title issued to Rommel. Rommel now
invokes the indefeasibility of his title considering that
06; LTD; IPV; innocent purchaser for value
one year has already elapsed from its issuance. He also
1986 No. 19. Through fraud, Manukso was able to seeks the cancellation of the notice of Lis pendens.
obtain in his name a transfer certificate of title over a
piece of land belonging to his ward, Kamusmusan. 1. Will Rachelle's suit for reconveyance prosper?
Explain.
Subsequently, Manukso donated the property to
Hinandugan, who, completely unaware of Manukso's 2. May the court cancel the notice of lis pendens even
prior fraudulent conduct, obtained a Torrens Title in his before final judgment is rendered? Explain.
name. Five years after the registration in Hinandugan's
name, Kamusmusan filed an action for reconveyance. Answer:
Will the action prosper? Explain, Answer: The Torrens
1. Yes..
system protects only an innocent purchaser for value
who relies on the certificate of title of the vendor. 2. A notice of Lis pendens may be canceled even before
Hinandugan is not a purchase but a mere donee. Hence final Judgment upon proper showing that the notice is
the real owner Kamusmusan can recover the land from for the purpose of molesting or harassing the adverse
Hinandugan on the ground of constructive trust, which party or that the notice of lis pendens is not necessary
the court ruled prescribes in 10 years. to protect the right of the party who caused it to be
registered. (Section 77, P.D. No. 1529) In this case, it is
Answer: - The rule of Constructive Trust will not apply if
given that Rachelle is the legitimate owner of the land in
the property is in the hands of a third person who got
question. It can be said, therefore, that when she filed
the property for value and in good faith Since under our
her notice of lis pendens her purpose was to protect her
taw, love and affection are sufficient consideration, it
interest in the land and not Just to molest Rommel. It is
falls under the term "value" because under our law
necessary to record the Lis pendens to protect her
"value" is not limited to material consideration. Hence,
interest because if she did not do it, there is a possibility
Hernandez is a third person within the meaning of the
that the land will fall into the hands of an innocent
law. The action will not prosper*
purchaser for value and in that event, the court loses
Answer - No. The conclusive presumption of ownership control over the land making any favorable judgment
covered by a Torrens title, cannot be defeated except if thereon moot and academic. For these reasons, the
such registration is obtained by fraud. But the fraud that notice of lis pendens may not be canceled.
was perpetrated by the guardian is not the fraud that
06; LTD; IPV; mirror principle
can defeat the collusiveness of ownership under a
1990 No 2: In 1950's, the Government acquired a big right which may later invalidate or diminish the right to
landed estate in Central Luzon from the registered the land. This is the mirror principle of the Torrens
owner for subdivision into small farms and System of land registration.
redistribution of bonafide occupants, F was a former
lessee of a parcel of land, five hectares in area. After 2. The action to annul the sale was instituted in 1977 or
more than (10) years from the date of execution thereof
completion of the resurvey and subdivision, F applied to
buy the said land in accordance with the guidelines of in 1957, hence, it has long prescribed. 3. Under Sec 45
of Act 496, “the entry of a certificate of title shall be
the implementing agency. Upon full payment of the
price in 1957, the corresponding deed of absolute sale regarded as an agreement running with the land, and
binding upon the applicant and all his successors in title
was executed in his favor and was registered, and in
1961, a new title was issued in his name. In 1963, F sold that the land shall be and always remain registered land.
A title under Act 496 is indefeasible and to preserve that
the said land to X; and in 1965 X sold it to Y, New titles
were successively issued in the names of the said character, the title is cleansed anew with every transfer
for value (De Jesus v City of Manila; 29 Phil. 73; Laperal
purchasers. In 1977, C filed an action to annul the deeds
of sale to F,X and Y and their titles, on the ground that v City of Manila, 62 Phil 313; Penullar v PNB 120 S 111).
he (C) had been in actual physical possession of the (b) Even if the government joins C, this will not alter the
land, and that the sale to F and the subsequent sales outcome of the case so much because of estoppel as an
should be set aside on the ground of fraud. Upon express provision in Sec 45 of Act 496 and Sec 31 of PD
motion of defendants, the trial court dismissed the 1529 that a decree of registration and the certificate of
complaint, upholding their defenses of their being title issued in pursuance thereof “shall be conclusive
innocent purchasers for value, prescription and laches. upon and against all persons, including the national
Plaintiff appealed. government and all branches thereof, whether
(a) Is the said appeal meritorious? Explain your answer mentioned by name in the application or not.”

06; LTD; IPV; notice of lis pendens; transferee pendente


(b) Suppose the government agency concerned joined C
in filing the said action against the defendants, would lite
that change the result of the litigation? Explain. 2002 No XI. Sancho and Pacifico are co-owners of a
Answer; parcel of land. Sancho sold the property to Bart. Pacifico
sued Sancho and Bart for annulment of the sale and
(a) The appeal is not meritorious. The trial court ruled reconveyance of the property based on the fact that the
correctly in granting defendant's motion to dismiss for sale included his one-half pro-indiviso share. Pacifico
the following reasons: had a notice of lis pendens annotated on the title
covering the property and ordered the cancellation of
the notice of lis pendens. The notice of lis pendens
1. While there is the possibility that F, a former lessee of could not be cancelled immediately because the title
the land was aware of the fact that C was the bona fide over the property was with a bank to which the
occupant thereof and for this reason his transfer property had been mortgaged by Bart. Pacifico
certificate of title may be vulnerable, the transfer of the appealed the case. While the appeal was pending and
same land and the issuance of new TCTs to X and Y who with the notice of lis pendens still uncancelled, Bart sold
are innocent purchasers for value render the latter's the property to Carlos, who immediately caused the
titles indefeasible. A person dealing with registered land cancellation of the notice of lis pendens, as well as the
may safely rely on the correctness of the certificate of issuance of a new title in his name. Page 229 of 391 Is
title and the law will not in any way oblige him to go Carlos (a) a purchaser in good faith, or (b) a transferee
behind the certificate to determine the condition of the pendente life? If your answer is (a), how can the right of
property in search for any hidden defect or inchoate Pacifico as co-owner be protected? Explain. (5%)
SUGGESTED ANSWER: A. Carlos is a buyer in bad faith. complaint against Rommel for reconveyance and caused
The notice of lis pendens was still annotated at the back the annotation of a notice of lis pendens on the
of the title at the time he bought the land from Bart. certificate of title issued to Rommel. Rommel now
The uncancelled notice of lis pendens operates as invokes the indefeasibility of his title considering that
constructive notice of its contents as well as interests, one year has already elapsed from its issuance. He also
legal or equitable, included therein. All persons are seeks the cancellation of the notice of Lis pendens. 1.
charged with the knowledge of what it contains. In an Will Rachelle's suit for reconveyance prosper? Explain.
earlier case, it was held that a notice of an adverse claim
remains effective and biding notwithstanding the lapse Answer: 1. Yes, Rachelle's suit will prosper because all
elements for an action for reconveyance are present,
of the 30 days from its inscription in the registry. This
ruling is even more applicable in a lis pendens. Carlos is namely: a. Rachelle is claiming dominical rights over the
same land. Page 230 of 391 b. Rommel procured his title
a transferee pendente lite insofar as Sancho’s share in
the coownership in the land is concerned because the to the land by fraud. c. The action was brought within
the statutory period of four (4) years from discovery of
land was transferred to him during the pendency of the
appeal. A. Pacifico can protect his right as a co-owner by the fraud and not later than ten (10} years from the date
of registration of Rommel's title. d. Title to the land has
pursuing his appeal; asking the Court of Appeals to
order the re-annotation of the lis pendens on the title of not passed into the hands of an innocent purchaser for
value. Rommel can invoke the indefeasibility of his title
Carlos; and by invoking his right of redemption of Bart’s
share under Articles 1620 of the New Civil Code. if Rachelle had filed a petition to reopen or review the
decree of registration. But Rachelle instead filed an
ALTERNATIVE ANSWER: A. Carlos is a purchaser in good ordinary action in personam for reconveyance. In the
faith. A possessor in good faith has been defined as latter action, indefeasibility is not a valid defense
“one who is unaware that there exists a flaw which because, in filing such action, Rachelle is not seeking to
invalidates his acquisition of the thing” (Art. 526, NCC). nullify nor to impugn the indefeasibility of Rommel's
Good faith consists in the possessor’s belief that the title. She is only asking the court to compel Rommel to
person from whom he received the thing was the owner reconvey the title to her as the legitimate owner of the
of the same and could convey his title. In the case [at land. Alternative Answer; Yes. The property registered is
bar], in question, while Carlos bought the subject deemed to be held in trust for the real owner by the
property from Bart while a notice of lis pendens was still person in whose name it is registered. The Torrens
annotated thereon, there was also an existing court system was not designed to shield one who had
order canceling the same. Hence, Carlos cannot be committed fraud or misrepresentation and thus holds
considered as being “aware of a flaw which invalidates the title in bad faith. (Walstrom v. Mapa Jr., (G .R 38387,
[their] the acquisition of the thing” since the alleged 29 Jan. 1990) as cited in Martinez, D., Summary of SC
flaw, the notice of lis pendens, was already being Decisions, January to June, 1990, p. 359],
ordered cancelled at the time of the purchase. On this
ground alone, Carlos can already be considered a buyer 06; LTD; IPV; registration as the operative act of
conveying the land
in good faith. (Po Lam v. Court of Appeals, 347 SCRA 86,
[2000]). B. To protect his right over the subject property, 1984 No. 19 A had a piece of land which was registered
Pacifico should have timely filed an action for under the Torrens system. He sold it to B, but the sale
reconveyance and reinstated the notice of lis pendens. was not registered Subsequently, C, a creditor of A,
obtained an attachment on the property, which was
06; LTD; IPV; reconveyance
duly registered with the Registry of Deeds. B thereafter
1995 No, 4: Rommel was issued a certificate of title over attempted to register the sale in his favor. The Register
a parcel of land in Quezon City. One year later Rachelle, of Deeds was willing to do so and issue a transfer
the legitimate owner of the land, discovered the certificate of title to B, subject however, to the condition
fraudulent registration obtained by Rommel. She filed a that the attachment in favor of C would be inscribed on
the new certificate of title. B objected, contending that Fund (Heirs of Pedro Lopez v. De Castro 324 SCRA 591
at the time of the attachment of the property, A was no [2000] citing Sps. Eduarte v. CA, 323 Phil. 462, 467
longer the owner thereof and therefore had no more [1996]).
interest therein which could be attached. Is B's posture
valid? Explain. (b) Yes, the remedy will prosper because the action
prescribes in ten (10) years, not within one (1) year
Answer: A. Furnished by Office of Justice Palma No. when a petition for the reopening of the registration
Section 51 of the Property Registration Decree provides decree may be filed. The action for reconveyance is
that the execution of a deed shall not take effect as a distinct from the petition to reopen the decree of
conveyance, or bind the land, except as between the registration (Grey Alba v. De la Cruz, 17 Phil. 49 [1910}).
parties. The act of registration shall be the operative act There is no need to reopen the registration proceedings,
to convey or affect the land as far as third parties are but the property should just be reconveyed to the real
concerned. Hence, since C has secured a lien by owner. The action for reconveyance is based on implied
attachment prior to registration, the rights acquired by or constructed trust, which prescribes in ten (10) years
B under the deed shall be subject to the rights of C and from the date of issuance of the original certificate of
cannot be enforced until after the rights of C have been title. This rule assumes that the defendant is in
fully satisfied. B. Comments and Suggested Answer We possession of the land. Where it is the plaintiff who is in
agree with the answer of the Bar Examiner, possession of the land, the action for reconveyance
would be in the nature of a suit for quieting for the title
06; LTD; IPV; remedies; prescriptive period which action is imprescriptible (David v. Malay, 318
2003 No XX. Louie, before leaving the country to train SCRA 711 [1999]).
as a chef in a five-star hotel in New York, U.S.A., 06; LTD; IPV; remedies; reconveyance
entrusted to his first-degree cousin Dewey an
application for registration, under the Land Registration 1984 No. 18 More than one year had elapsed since the
Act, of a parcel of land located in Bacolod City. A year issuance of the final decree of registration when A
later, Louie returned to the Philippines and discovered discovered that his land had been fraudulently
that Dewey registered the land and obtained an Original registered in the name of his caretaker B. What right of
Certificate of Title over the property in his Dewey’s action, if any, does A have and against whom? Explain.
name. Compounding the matter, Dewey sold the land to
Answer: A. Furnished by Office of Justice Palma, The
Huey, an innocent purchaser for value. Louie promptly
filed an action for reconveyance of the parcel of land only remedy of A is to bring an action for reconveyance
against B, or for damages if the property has passed into
against Huey.
the hands of an innocent purchaser for value. Such a
(a) Is the action pursued by Louie the property remedy? complaint would not seek a review of the decree or the
reopening of the registration case which is already
(b) Assuming that reconveyance is the proper remedy, incontrovertible, but be for the enforcement of a trust.
will the action prosper if the case was filed beyond one Section 96 of PD No. 1529 provides that nothing in the
year, but within ten years, from the entry of the decree Act shall be construed to deprive any party of any action
of registration? 5% which he may have against any person for loss or
SUGGESTED ANSWER: damage or deprivation of land or any interest therein. It
may also be stated that an action by A against B to
(a) An action for reconveyance against Huey is not the compel him to convey the property held in B's name to
proper remedy, because Huey is an innocent purchaser A as the beneficiary, does not prescribe. (Caladiao, et.
for value. The proper recourse is for Louie to go after al. vs. Blas, 119 Phil 969). B. Comments and Suggested
Dewey for damages by reason of the fraudulent Answer We suggest that the following should be
registration and subsequent sale of the land. If Dewey is accepted as correct answer:
insolvent, Louie may file a claim against the Assurance
Answer No. 1: The only remedy of A is to bring an Optional extended answer: Petition for review of the
action for reconveyance against B, or for damages if the Decree of Registration. A remedy expressly provided in
property has passed to an innocent purchaser for value Section 32 of P. D. No. 1529 (formerly Section 38. Act
(Sec. 96, PD 1529). Such an action would not seek a 496), this remedy has the following elements: a. The
review of the decree or the reopening of the petition must be filed by a person claiming dominical or
registration case which is already incontrovertible. other real rights to the land registered in the name of
Instead, it will be an action for the enforcement of a respondent. b. The registration of the land in the name
trust. However, A must institute the action within ten of respondent was procured by means of actual, (not
years to be counted from the discovery of the fraud. The just constructive) fraud, which must be extrinsic. Fraud
fraud is deemed to have been discovered at the is actual if the registration was made through deceit or
moment B set up a title in himself adverse to the title of any other intentional act of downright dishonesty to
A. (Note: The doctrine that the action shall prescribe enrich oneself at the expense of another. It is extrinsic
and that the period of prescription is ten years is when it Is something that was not raised, litigated and
supported by: Buencamino vs. Matias, 16 SCR A 849; passed upon in the main proceedings. c. The petition
Araneta vs. Perez, 17 SCR A 643; Pascual vs. Meneses,. must be filed within one (1) year from the date of the
20 SCRA 219; Julio vs. Dalandan, 21 SCRA 643; Cuaycong issuance of the decree. d. Title to the land has not
vs. Cuaycong, 21 SCRA 1192; Fabian vs, Fabian, 22 SCRA passed to an Innocent purchaser for value (Libudan vs.
231; Bueno vs. Reyes, 27 SCRA 1179; Dela Cerna vs. Dela Gil, 45_ SCRA 27, 1972), Rublico vs. Orrelana. 30 SCRA
Cerna 72 SCRA 515; Jaramil vs. CA, 78 SCRA 420; Duque 511, 1969); RP vs. CA, 57 G. R No. 40402. March 16,
vs. Domingo, 80 SCRA 654; Nacalaban vs. CA, 80 SCRA 1987). 1. The buyer In good faith of a registered parcel
428). of land does not have to look beyond the Torrens title in
search for any hidden defect or inchoate right which
Answer No. 2: The only remedy of A is to bring an may Page 233 of 391 later invalidate or diminish his
action for reconveyance based on the implied or right to what he purchased [Lopez vs. CA, G. R. 49739.
constructive trust recognized in the Civil Code (Art. January 20, 1989].
1456, Civil Code) According to the Civil Code, if property
is acquired through mistake or fraud, the person 06; LTD; IPV; reopening of a decree of registration
obtaining it is, by force of law, considered a trustee for
1975 No. XIX What are the grounds justifying the
the benefit of the person from whom the property
comes. It is, however, well-settled that the action shall review of a decree of registration?
prescribe after ten years from the discovery of the Answer The only ground justifying a review of a decree
fraud. It is also wellsettled that the fraud is deemed to of registration is fraud, which must be actual and
have been discovered at the moment the trustee set up extrinsic. To be considered actual fraud, there must
a title in himself adverse to the title of the beneficiary. have been an intentional concealment or omission of a
fact required by law to be stated in the application or a
06; LTD; IPV; reopening of a decree of registration
willful statement of a claim against the truth, either of
1992 No 11: What are the essential requisites or which is calculated to deceive or deprive another of his
elements for the allowance of the reopening or review legal rights. Extrinsic fraud is employed to deprive a
of a decree of registration? party of his day in court, thereby preventing him from
asserting his right to the property registered in the
Answer; The essential elements are: (1) that the name of the applicant (Cruz v. Navarro, 54 SCRA 109).
petitioner has a real or dominical right; (2) that he has
been deprived thereof through fraud; (3) that the 06; LTD; IPV; reopening of a decree of registration
petition is filed within one (1) year from the issuance of
1985 No. 14 A) Within one year from the issuance of
the decree; and (4) that the property has not yet been
transferred to an innocent purchaser {Rublico vs. the decree of registration and certificate of title in A's
name, B brought an action for their annulment in the
Orellana 30 SCRA 511; Ubudan vs. Gil 45 SCRA 17).
Regional Trial Court on the ground that A obtained them 2. If the action were brought under the same land
thru fraud. In his answer to the complaint, A alleged registration proceedings that issued the decree, in
that the court had no jurisdiction over the case and which event the Regional Trial Court would be acting as
averred, by way of counterclaim, that he has just a land registration court with special and limited
discovered that B succeeded 3 years ago in registering in jurisdiction__ a. the dismissal of the complaint is error,
his name, by false and fraudulent representations, for the Regional Trial Court, as a land registration court,
another parcel of land owned and possessed by A. He, has jurisdiction there over; b. the dismissal of the
therefore, prayed that B's action be dismissed and that counterclaim is proper, because the same is in the
he be ordered to transfer his title to him (A). The trial nature of a permissive counterclaim, which is essentially
court dismissed both the complaint and counterclaim. an independent ordinary civil action, over which the
Comment on the legality of the order of dismissal. Regional Trial Court, acting as a land registration court,
has no jurisdiction.
Answer; A) 1. Under Section 32, P.B. 1529, a person who
owns a piece of land or any interest therein that was 3. If the action were merely an ordinary civil action— a.
fraudulently registered in another's name is given the the dismissal of the complaint is proper, because
right to file a petition to review or reopen the decree of jurisdiction to annul a decree, brought within one (1)
registration not later than one year from the date of year from its issuance, properly belongs to the Regional
entry thereof. This remedy will not lie, however, if title Trial Court which issued the decree, acting as a land
to the land has been transferred to an innocent registration court; b. the dismissal of the counterclaim is
purchaser for value. The case at hand is denominated as error, because the Regional Trial Court, as a court of
an action for annulment of both the decree and the general jurisdiction, has jurisdiction there over, and
title, based on fraud. If we treat this case as an ordinary since the counterclaim is in the nature of a permissive
civil action that was filed with the RTC in the latter's counterclaim, it can proceed independently and
capacity as a court of general jurisdiction, I believe that regardless of the dismissal of the complaint.
the Court acted correctly in dismissing it, because the
proper remedy of the aggrieved party would be a 4. As to the complaint, since it is brought for annulment
of the certificate of title on the ground of fraud, a
petition for review of the decree which must be filed
with the RTC, in its capacity as a land registration court. petition for review should be filed in the same
registration proceeding within one year from the
The reason for this is that the case, in essence, petition
for review, a mere continuation of the original issuance of the decree on the ground of extrinsic fraud.
Since it is brought within one year, dismissal of the
proceedings, over which the RTC sitting as a land
registration court has exclusive jurisdiction. So, the RTC action is not proper provided the petitioner proves
extrinsic fraud With regard to the counterclaim, this
acted correctly in dismissing the action for lack of
jurisdiction. On the other hand, if the case was filed should not be dismissed because it is a permissive
counterclaim.
with the RTC in its capacity as a land registration court, I
believe the dismissal was in error, because in that 6. The counterclaim was validity dismissed, since it
capacity it has I in fact exclusive jurisdiction to hear and should have been brought in a separate action. The
decide what in essence is a petition for review of the action for annulment was not validly dismissed, having
decree. I think mere error in nomenclature of the been brought within the one-year period provided in
pleading should not be a ground for dismissal. Page 234 P.D. 1529. It is, of course, understood that the action
of 391 But as a land registration court, the RTC acted was filed in the Regional Trial Court which granted the
correctly in dismissing the counterclaim of B because in decree of registration, since the facts in the question do
that capacity it enjoys only special and limited not state otherwise. 6. The Regional Trial Court has no
jurisdiction and, therefore, it can not take cognizance jurisdiction over the action for annulment. Within one
thereof. The counterclaim for reconveyance of another year from the issuance of the decree of registration, the
parcel of land is an action in personam which falls proper remedy would be an action for a review of the
properly within the competence of ordinary civil courts.
decree by the Court in its capacity as a Land Registration X, therefore, cannot complain of fraud in obtaining the
Court. The order, therefore, of .dismissal of the decree of registration It was solely upon his testimony
complaint was correctly issued by the Court. The and proof that the land was registered and solely upon
counterclaim, however, should not have been his motion that the decree was issued. (Mendoza vs. CA,
dismissed, since it partook of the nature of an action for 84 SCRA 67), The issue of breach of contract by Y
reconveyance which can be considered by the RTC. should, therefore, be threshed out in the ordinary
courts. Question No. XX OP filed in the Office of the
06; LTD; IPV; reopening of decree of registration Register of Deeds an Affidavit of Adverse Claim wherein
1977 No. XVIII-b Under what circumstances may a he claims ownership of a parcel of land described in the
decree of registration under Act No, 496 be reviewed? Title issued in the name of JG. The affidavit states that
the sale of the land to JG was void because the latter is a
Answer: The circumstances under which a decree of Chinese; that OP has been in actual continuous, public,
registration under Act 496 may be reviewed are: (1) exclusive and uninterrupted possession of the lot for
That the petitioner is the owner of the land ordered more than ten years and that as a matter of fact he had
registered in the name of another, or that his lien or constructed a house thereon; that no one has claimed
interest therein does not appear in the decree or title from his ownership nor possession nor rental for his
issued; (2) that the registration was procured through occupancy and that therefore, he had acquired the land
actual fraud, or that the omission of the lien or interest by prescription; and that whatever right the Chinese
was fraudulent; (3) that the property has not yet been registered owner had over the property had prescribed.
transferred to an innocent purchaser for value; and (4) The Register of Deeds refused to record the adverse
that the action is filed within one year from the issuance claim on the title of JG.
and entry of the decree of registration. (Cruz vs.
Navarro, G.R. No. L-27644, Nov. 29, 1973.) Is this refusal correct? Why?

06; LTD; IPV; reopening of decree of registration Answer: The refusal of the Register of Deeds to register
the adverse claim of OP on the title of JG, is correct. It is,
1979 No. XIX X applied for the registration of a 20- of course, true that generally, under our Torrens system,
hectare piece of land. During the pendency of the the duties of a Register of Deeds are material in
registration proceedings, X sold the land to Y for character, but then, an adverse claim of ownership
P100,000.00, its then fair market value, and presented based upon prescription and adverse possession cannot
the Deed of Sale to the court and testified therein as to be registered because under the Land Registration Law,
the due execution of the same. The registration court no title in derogation of that Page 236 of 391 of the
therefore rendered a decision ordering the registration registered owner may be acquired by prescription or
of the land in the name of Y. After said decision became adverse possession. Hence, the registration of such
final, the land court, upon motion of X, issued a decree adverse possession. Hence, the registration of such
on the basis of which an Original Certificate of Title was adverse claim will serve no purpose and cannot validly
issued in the name of Y. Alleging that the title should not and legally affect the land in question. (Estella vs.
have been issued in the name of Y and that there was Register of Deeds, 106 Phil. 911).
fraud because Y failed to pay him the price of the sale, X
moved for reconsideration of the decree ten (10) 06; LTD; IPV; sale of unregistered lands
months after the issuance of the title. Should the 1977 No. XVIII-a A and B sold to C an unregistered lot;
motion be granted? Why? the deed was not registered, but C took possession.
Answer: The motion should not be granted. It is well- Later, D obtained a judgment against A and B and the lot
settled that a decree of registration may be set aside in C's possession was levied upon and sold by the Sheriff
only on the ground of fraud in obtaining the same and to D. The Sheriff's sale was registered. All the parties
not on the ground of failure to pay the purchase price. acted in good faith. Who has better rights to the land?
Give reasons.
Answer: C has better rights to the land. It is now well- Chapter VII, CA 141) is valid but in view of her
settled that the rule on double sales in Art. 1544 of the delinquency, the said title Is subject to the right of the
Civil Code applies only to lands covered by a Torrens City Government to sell the land at public auction. The
title. Where the land is not registered under Act No. issuance of the OCT did not exempt the land from the
496, the rule is different. The reason is that the tax sales. Section 44 of P.O. No. 1529 provides that
purchased of unregistered land at a sheriff's sale only every registered owner receiving a Certificate of Title
steps into the shoes of the judgment debtor, and merely shall hold the same free from an encumbrances, subject
acquires the latter's interest in the property as of the to certain exemptions.
time the property was levied upon, as provided in Sec
B. Juan may recover because he was not a party to the
35 of Rule 39 of the Rules of Court. (Carumba vs. Court
of Appeals. 31 SCRA 558.) violation of the law. C. No, the sale did not divest Maria
of her title precisely because the sale is void. It is as
06; LTD; IPV; unregistered land good as if no sale ever took place. In tax sales, the
owner is divested of his land initially upon award and
1991 No 12: Maria Enriquez failed to pay the realty issuance of a Certificate of Sale, and finally after the
taxes on her unregistered agricultural land located in lapse of the 1 year period from date of registration, to
Magdugo, Toledo City. In 1989, to satisfy the taxes due, redeem, upon execution By the treasurer of an
the City sold it at public auction to Juan Miranda, an instrument sufficient in form and effects to convey the
employee at the Treasurer's Office of said City, whose property. Maria remained owner of the land until
bid at P10,000.00 was the highest. In due time, a final another tax sale is to be performed in favor of a
bill of sale was executed in his favor. Maria refused to qualified buyer.
turn-over the possession of the property to Juan
alleging that (1) she had been, in the meantime, granted 06; LTD; IPV; use of fraud in aplication of title;
a free patent and on the basis thereof an Original prescriptive period for reconveyance
Certificate of Title was issued to her, and (2) the sale in
1997 No. 20: On 10 September 1965, Melvin applied for
favor of Juan is void from the beginning in view of the
provision in the Administrative Code of 1987 which a free patent covering two lots - Lot A and Lot B -
situated in Santiago, Isabela. Upon certification by the
prohibits officers and employees of the government
from purchasing directly or indirectly any property sold Public Land Inspector that Melvin had been in actual,
continuous, open, notorious, exclusive and adverse
by the government for nonpayment of any tax. fee or
other public charge. possession of the lots since 1925. the Director of Land
approved Melvin's application on 04 June 1967. On 26
(a) Is the sale to Juan valid? If so, what is the effect of December 1967, Original Certificate of Title (OCT) No. P-
the Issuance of the Certificate of Title to Maria? 2277 was Issued in the name of Melvln. On 7 September
1971, Percival filed a protest alleging that Lot B which he
(b) If the sale is void, may Juan recover the P10,000.00? had been occupying and cultivating since 1947 was
If not, why not? included in the Free Patent issued in the name of
(c) If the sale is void, did it not nevertheless, operate to Melvin. The Director of Lands ordered the investigation
divert Maria of her ownership? If it did, who then is the of Percival's protest. The Special Investigator who
owner of the property? conducted the investigation found that Percival had
been in actual cultivation of Lot B since 1947. On 28
Answer: November 1986, the Solicitor General filed in behalf of
the Republic of the Philippines a complaint for
A. The sale of the land to Juan is not valid, being
cancellation of the free patent and the OCT issued in the
contrary to law. Therefore, no transfer of ownership of
name of Melvin and the reversion of the land to public
the land was effected from the delinquent taxpayer to
domain on the ground of fraud and misrepresentation
him. The original certificates of title obtained by Maria
In obtaining the free patent. On the same date, Percival
thru a free patent grant from the Bureau of Lands under
sued Martin for the reconveyance of Lot B. Melvin filed Act, the same ipso jure ceases to be public and in
his answers interposing the sole defense in both cases contemplation of law acquired the character of private
that the Certificate of Title issued in his name became land. Thus, reconveyance of the land from Melvin to
incontrovertible and indefeasible upon the lapse of one Percival would be the better procedure, (Vitale vs.
year from the issuance of the free patent. Given the Anore, 90 Phil. 855; Pena, Land Titles and Deeds, 1982,
circumstances, can the action of the Solicitor General Page 427)
and the case for reconveyance filed by Percival possibly
Alternative Answer; The action of the Solicitor General
prosper?
should prosper, considering that the doctrine of
Answer: "If fraud be discovered in the application which indefeasibility of title does not apply to free patent
led to the Issuance of the patent and Certificate of Title, secured through fraud. A certificate of title cannot be
this Title becomes ipso facto null and void. Thus. In a used as shield to perpetuate fraud. The State is not
case where a person who obtained a free patent, bound by the period of prescription stated in Sec. 38 of
knowingly made a false statement of material and Act 496. (Director of Lands vs. Abanilla, 124SCRA358)
essential facts in his application for the same, by stating The action for reconveyance filed by Percival may still
therein that the lot in question was part of the public prosper provided that the property has not passed to an
domain not occupied or claimed by any other person, innocent third party for value (Dablo us. Court of
his title becomes ipso facto canceled and consequently Appeals. 226 SCRA 618), and provided that the action is
rendered null and void." "It is to the public Interest that filed within the prescriptive period of ten years (Tale vs.
one who succeeds In fraudulently acquiring title to Court of Appeals. 208 SCRA 266). Since the action was
public land should not be allowed to benefit therefrom filed by Percival 19 years after the issuance of Melvin's
and the State, through the Solicitor General, may file the title, it is submitted that the same is already barred by
corresponding action for annulment of the patent and prescription.
the reversion of the land involved to the public domain"
Alternative Answer (to second part of question) The
(Dinero us. Director of Lands; Kayaban vs. Republic L-
33307,8-20-73; Director of Lands us. Hon. Pedro Samson action for reconveyance filed by Percival will prosper,
because the land has ceased to be public land and has
Animas, L-37682, 3-29-74.) This action does not
prescribe. With respect to Percival's action for become private land by open, continuous, public,
exclusive possession under a bona fide claim of
reconveyance, it would have prescribed, having been
filed more than ten (10) years after registration and ownership for more than thirty years, and Percival is still
in possession of the property at present. His action for
Issuance of an O.C.T. in the name of Melvin, were it not
for the inherent infirmity of the latter's title. Under the reconveyance can be considered as an action to quiet
title, which does not prescribe if the plaintiff is in
facts, the statute of limitations will not apply to Percival
because Melvin knew that a part of the land covered by possession of the property. (Olviga v. CA. GR 1048013.
October 21, 1993)
his title actually belonged to Percival. So, instead of
nullifying in toto the title of Melvin, the court, in the 06; LTD; judicial confirmation of imperfect title
exercise of equity and jurisdiction, may grant prayer for
the reconveyance of Lot B to Percival who has actually 1993 No. 20: On June 30, 1986. A filed in the RTC of
possessed the land under a claim of ownership since Abra an application for registration of title to a parcel of
1947. After all, if Melvin's title is declared void ab initio land under P. D. No. 1529, claiming that since June 12.
and the land is reverted to the public domain, Percival 1945. he has been in open, continuous, exclusive and
would just the same be entitled to preference right to notorious possession and occupation of said parcel of
acquire the land from the government. Besides, well land of the public domain which was alienable and
settled is the rule that once public land has been in disposable, under a bona fide claim of ownership. After
open, continuous, exclusive and notorious possession issuance of the notice of initial hearing and publication,
under a bonafide claim of acquisition of ownership for as required by law. the petition was heard on July 29,
the period prescribed by Section 48 of the Public Land 1987. On the day of the hearing nobody but the
applicant appeared. Neither was there anyone who first one executed by Bernardo in 1954. selling the same
opposed the application. Thereupon, on motion of the property to Carlos, and the second one executed by
applicant, the RTC issued an order of general default Carlos in 1963, selling the same property to her. She
and allowed the applicant to present his evidence. That also claimed that she and her predecessors in Interest
he did. On September 30. 1989. the RTC dismissed A's have been in possession of the property since 1948. If
application for lack of sufficient evidence. A appealed to you were the judge, how will you decide the petition?
the Court of Appeals. The appellant urged that the RTC Explain.
erred in dismissing his application for registration and in
not ordering registration of his title to the parcel of land Answer; If I were the judge. I will give due course to the
petition of the heirs of Gavino despite the opposition of
in question despite the fact that there was no
opposition filed by anybody to his application. Did the Marilou for the following reasons: Judicial reconstitution
of a certificate of title under RA. No. 26 partakes of a
RTC commit the error attributed to it?
land registration proceeding and is perforce a
Answer; No, the RTC did not commit the error proceeding in rem. It denotes restoration of an existing
attributed to it. In an application for Judicial Instrument which has been lost or destroyed in its
confirmation of imperfect or incomplete title to public original form and condition. The purpose of
agricultural land under Section 48 of the Public Land reconstitution of title or any document is to have the
Act, the lack of opposition and the consequent order of same reproduced, after proceedings. In the same form
default against those who did not answer or show up on they were when the loss or destruction occurred. If the
the date of initial hearing, does not guarantee the Court goes beyond that purpose, It acts without or in
success of the application. It Is still incumbent upon the excess of jurisdiction. Thus, where the Torrens Title
applicant to prove with well nigh incontrovertible sought to be reconstituted is in the name of Gavino. the
evidence that he has acquired a title to the land that is court cannot receive evidence proving that Marilou is
fit for registration. Absent such registrable title, it is the the owner of the land. Marilou's dominical claim to the
clear duty of the Land Registration Court to dismiss the land should be ventilated in a separate civil action
application and declare the land as public land. An before the Regional Trial Court in its capacity as a court
application for land registration is a proceeding in rem. of general jurisdiction. References: Heirs of Pedro Pinate
Its main objective is to establish the status of the res vs. Dulay. 187 SCRA 12-20 (1990); Bunagan vs. CF1 Cebu
whether ft is still part of our public domain as presumed Branch VI. 97 SCRA 72 (1980); Republic vs. IAC. 157 Page
under the Regalian doctrine or has acquired the 240 of 391 SCRA 62,66 (1988); Margolles vs. CA, 230
character of a private property. It is the duty of the SCRA 709; Republic us, Feliciano, 148 SCRA 924.
applicant to overcome that presumption with sufficient
06; LTD; ministerial duty of the Register of deeds to
evidence.
register
06; LTD; judicial reconstitution of title
1985 No. 14 C) The register of deeds refused to record a
1996 No. 17; In 1989, the heirs of Gavino, who died on deed of sale executed in favor of a Filipino woman on
August 10, 1987, filed a petition for reconstitution of his the ground that she is an alien because her husband is
lost or destroyed Torrens Title to a parcel of land in an alien and although she secured an absolute divorce
Ermita, Manila. This was opposed by Marilou. who from him abroad, the divorce is void since our law,
claimed ownership of the said land by a series of sales. which governs her status, does not recognize absolute
She claimed that Gavino had sold the property to divorce. Rule on the legality of the register of deeds'
Bernardo way back in 1941. and as evidence thereof, refusal to register.
she presented a Tax Declaration in 1948 in the name of
Answer; C) 1. I believe the Register of Deeds erred in
Bernardo, which cancelled the previous Tax Declaration
in the name of Gavino. Then she presented two deeds refusing to register the same for the reason stated in the
question. When all the formal requisites for registration
of sale duly registered with the Register of Deeds, the
are presented, it is the duty of the RD to effect the
registration. And this duty is clearly ministerial and record the sale is not warranted. The marriage of the
mandatory in character. The main purpose of Filipino woman to a foreigner does not result in her loss
registration is merely to give notice to the public, either of Philippine citizenship. The matter of her subsequent
actually or constructively. In one case, the Supreme divorce, whether valid or invalid, is immaterial.
Court ruled that suspected invalidity of the contract is
not a valid ground to refuse registration. In the instant
case, unlike in Krivenko where vendee was admittedly 06; LTD; procedure; consulta
an alien, the vendee is a Filipino. The only reason the RD
refused to register is because she was married to an 1994 No. 3; 1) What is the procedure of consulta when
alien. Aside from the fact that they have divorced, it is an instrument is denied registration? Alternative
not even certain or clear that she lost her Filipino
Answers;
citizenship by reason alone of her marriage. This
depends upon the laws of her husband's country. The 1) a) (1) The Register of Deeds shall notify the interested
question whether she lost Filipino citizenship, under party in writing, setting forth the defects of the
these facts, should be decided after registration. Instrument or the legal ground relied upon for denying
the registration, and advising that if he Is not agreeable
2. The refusal to register by the Register of Deeds is
to such ruling, he may, without with drawing the
improper, because under the 1973 Constitution, a
documents from the Registry, elevate the matter by
Filipino woman who marries an alien remains a Filipino
Consulta to the Administrator of the Land Registration
citizen; however, the certificate of title that would be
Authority (LRA).
issued in favor of this Filipino woman should expressly
state that the subject land is her exclusive paraphernal (2) Within five {5) days from receipt of notice of denial,
property, for without such statement the land would be the party in Interest shall file his Consulta with the
considered conjugal property, over which the alien Register of Deeds concerned and pay the consulta fee.
husband is entitled to a share of 1/2 pro indiviso, in
which event there would be a violation of the (3) After receipt of the Consulta and payment of the
Constitution as 1/2 of the subject land would in effect corresponding fee. the Register of Deeds makes an
be owned by an alien. annotation of the pending consulta at the back of the
certificate of title.
3. It depends when the Filipino woman acquired the
property. Under the 1935 Constitution, a woman, (4) The Register of Deeds then elevates the case to the
follows the citizenship of the husband provided she is LRA Administrator with certified records thereof and a
qualified. Therefore, she followed the citizenship of her summary of the facts and issues involved.
husband. She is an alien and therefore the sale to her is
(5) The LRA" Administrator then conducts hearings
not valid. But if it was under the 1973 Constitution, the
after due notice or may just require parties to submit
Filipino wife does not follow the nationality of the
their memoranda.
husband. Therefore, the sale is perfectly valid.
(6) After hearing, the LRA Administrator issues an order
4. It is ministerial if the defect does not appear on the
prescribing the step to be taken or the memorandum to
face of the document, but if it appears on the face of
be made. His resolution in consulta shall be conclusive
the document, then he can refuse,
and binding upon all Registers of Deeds unless reversed
5. It is not within the authority of the Register of Deeds on appeal by the Court of Appeals or by the Supreme
to question citizenship. As long as the documents are in Court. (Section 117, P.D. 1529).
order, it is his ministerial duly to record the deed. What
b) The procedure of consulta is a mode of appeal from
the Register of Deeds could have done was to refer the
denial by the Register of Deeds of the registration of the
question to the Land Registration Commissioner "en
instrument to the Commissioner of Land Registration.
consulta", 6. The refusal by the Register of Deeds to
c) Within five days from receipt of the notice of denial, RA 1899 was repealed by PD 3-A, the City of Cavite is
the interested party may elevate the matter by consulta correct. Lands under the sea are "beyond the commerce
to the Commissioner of Land Registration who shall of man" in the sense that they are not susceptible of
enter an order prescribing the step to be taken or private appropriation, ownership or alienation. The
memorandum to be made. Resolution in consulta shall contract In question merely calls for the reclamation of
be binding upon all Registers of Deeds provided that the 300 hectares of land within the coastal waters of the
party in interest may appeal to the Court of Appeals city. Per se, it does not vest, alienate or transfer
within the period prescribed (Sec. 117, P.D. 1529). ownership of land under the sea. The city merely
engaged the services of Fil-Estate to reclaim the land for
06; LTD; reclamation of foreshore lands the city.
2000 No VIII a) Republic Act 1899 authorizes 06; LTD; redemption
municipalities and chartered cities to reclaim foreshore
lands bordering them and to construct thereon 1989 No. 7: (1) "X" mortgaged his land to the Philippine
adequate docking and harbor facilities. Pursuant National Bank (PNB) to secure a promissory note. He
thereto, the City of Cavite entered into an agreement defaulted in the payment of the loan so that the land
with the Fil-Estate Realty Company, authorizing the was sold at public auction on January 20, 1960, for
latter to reclaim 300 hectares of land from the sea P3,500 with the PNB as the highest bidder. On January
bordering the city, with 30% of the land to be reclaimed 20, 1970, "X" offered to redeem the property in the
to be owned by Fil-Estate as compensation for its amount of P3,500. He enclosed a postal money order
services. The Solicitor General questioned the validity of for P1,000 as partial payment and stated that the
the agreement on the ground that it will mean balance is to be paid in 12 monthly installments. The
reclaiming land under the sea which is beyond the PNB then discovered that the sheriffs certificate of sale
commerce of man. The City replies that this is prepared after the public auction of the land was not
authorized by RA. 1899 because it authorizes the registered so that it cause the same to be registered on
construction of docks and harbors. Who is correct? (3%) January 30, 1970. The PNB refused the offer of "X"
contending that the offer to redeem was beyond the
SUGGESTED ANSWER: The Solicitor General is correct. one-year period provided under Act No. 3135 and that it
The authority of the City of Cavite under RA 1899 to was not accompanied by an actual and simultaneous
reclaim land is limited to foreshore lands. The Act did tender of the entire repurchase price. In view of the
not authorize it to reclaim land from the sea. "The refusal of the PNB, "X" filed an action to repurchase on
reclamation being unauthorized, the City of Cavite did February 20, 1970, Will the action prosper? Give your
not acquire ownership over the reclaimed land. Not reasons.
being the owner, it could not have conveyed any portion
thereof to the contractor. Alternative Answer; It Answer: Yes, the action should prosper. The one (1)
depends. If the reclamation of the land from the sea is year period of redemption is counted from the
necessary in the construction of the docks and the registration of the sheriffs certificate of sale hence the
harbors, the City of Cavite is correct. Otherwise, It is action has not yet prescribed. However, there need not
not. Since RA 1899 authorized the city to construct be a tender of the redemption price because the filing
docks and harbors, all works that are necessary for such of the judicial action to enforce the right of redemption
construction are deemed authorized. Including the within the redemption period suffices.
reclamation of land from the sea. The reclamation being
06; LTD; scope of registration
authorized, the city is the owner of the reclaimed land
and it may convey a portion thereof as payment for the 1989 No. 16: (1) May the owner of a building
services of the contractor. constructed on an unregistered land belonging to
ANOTHER ALTERNATIVE ANSWER: On the assumption another apply for the registration of such building under
the Land Registration Act and P.D. 1529? What should
that the reclamation contract was entered into before
he do to protect his rights in case the owner of the land "Z " filed a petition for the review of the registration
applied for registration thereof? Give your reasons. decree alleging that they were the true owners and
were in actual legal possession. After hearing, the Court
Answer: The Land Registration Act and PD 1529 apply to denied the petition for review. No appeal was taken.
registration of land only. It may include the building as Two years later, the spouses "S-T" filed a petition for the
an accessory but the building cannot be registered issuance of a Writ of Possession in the cadastral
independently of the land because registration proceedings. Opposed by the heirs of "Z", the Court
contemplated under this Act refers only to ownership of refused to issue the Writ on the ground that the heirs of
land. The owner of the building should file an "Z" were not specifically named as parties in the
opposition or answer to the application for registration cadastral case so that said Writ cannot issue as against
and ask the court that his right to the building be them. Are the spouses "S-T" entitled to a Writ of
annotated in the decree and later in the certificate of Possession? Explain.
title.
Answer: The spouses "S-T" are entitled to a Writ of
06; LTD; torrens vs recording Possession. The heirs of "Z" cannot be said to be
1994 No. 3; 2) Distinguish the Torrens system of land strangers to the registration proceedings. A cadastral
registration from the system of recording of evidence of proceeding is a proceeding in rem and against
title. everybody, including the heirs of "Z", who are deemed
included in the general order of default entered in the
Alternative Answers; case. Besides, said heirs filed a petition for the review of
the decree of registration, thereby becoming a direct
2) a) The Torrens system of land registration is a system
party in the registration proceedings by their voluntary
for the registration of title to the land. Thus, under this
appearance. The fact that the spouses "S-T" filed the
system what is entered in the Registry of Deeds, is a
instant petition two years later is of no moment. The
record of the owner's estate or interest in the land,
right of the applicants or of a subsequent purchaser to
unlike the system under the Spanish Mortgage Law or
ask for the issuance of a writ of possession never
the system under Section 194 of the Revised
prescribes. (Note: The above answer is based on Rodil
Administrative Code as amended by Act 3344 where
vs. Benedicto, L-28616, Jan.22,1980.)
only the evidence of such title is recorded. In the latter
system, what is recorded is the deed of conveyance 06; Prescription
from hence the owner's title emanated—and not the
title itself. 1990 No 12: In 1960, an unregistered parcel of land was
mortgaged by owner O to M, a family friend, as
b) Torrens system of land registration is that which is collateral for a loan. O acted through his attorney-in-
prescribed in Act 496 (now PD 1529), which is either fact, son S, who was duty authorized by way of a special
Judicial or quasi-judicial. System or recording of power of attorney, wherein O declared that he was the
evidence of title is merely the registration of evidence of absolute owner of the land, that the tax
acquisitions of land with the Register of Deeds, who declarations/receipts were all issued in his name, and
annotates the same on the existing title, cancels the old that he has been In open, continuous and adverse
one and Issues a new title based on the document possession in the concept of owner. As O was unable to
presented for registration. pay back the loan plus interest for the past five [5)
years, M had to foreclose the mortgage. At the
06; LTD; writ of possession
foreclosure sale, M was the highest bidder. Upon
1981 No. 16 In a cadastral case. Lot No. 123 was issuance of the sheriffs final deed of sale and
claimed and applied for by spouses "ST", The cadastral registration In January, 1966, the mortgage property
Court adjudicated the lot in their favor, the claim having was turned over to M's possession and control M has
been uncontested. Three months thereafter, the heirs of since then developed the said property. In 1967, O died,
survived by sons S and P. In 1977, after the tenth (10th) If M had secured a Torrens Title to the land, all the more
death anniversary of his father O. son P filed a suit to S and P could not recover because if at all their
annul the mortgage deed and subsequent sale of the remedies would be:
property, etc., on the ground of fraud. He asserted that
the property in question was conjugal in nature actually 1. A Petition to Review the Decree of Registration. This
can be availed of within one (1) year from-the entry
belonging, at the time of the mortgage, to O and his
wife, W, whose conjugal share went to their sons (S and thereof, but only upon the basis of "actual fraud." There
is no showing that M committed actual fraud in securing
P) and to O, (a) Is the suit filed by P barred by
prescription? Explain your answer. (b) After the issuance his title to the land; or
of the sheriff's final deed of sale in 1966 in this case, 2. An action in personam against M for the
assuming that M applied for registration under the reconveyance of the title In their favor. Again, this
Torrens System and was issued a Torrens Title to the remedy is available within four years from the date of
said property in question, would that added fact have the discovery of the fraud but not later than ten (10)
any significant effect on your conclusion? State your years from the date of registration of the title in the
reason. name of M.
Answer: (a) Under Art. 173 of the Civil Code, the action 06; Prescription
is barred by prescription because the wife had only ten
(10) years from the transaction and during the marriage 1978 No. IV-b A signed a promissory note dated July 25,
to file a suit for the annulment of the mortgage deed. 1960 in favor of B, which reads: "For value received I
promise to pay B at his residence at 43 Caledonia St.,
Alternative Answers to (a) first Alternative Answer: (a) Malate, the sum of Ten Thousand Pesos (F10,000.00)
The mortgage contract executed by O, if at all, is only a with interest at twelve per cent (12%) per annum upon
voidable contract since it involves a conjugal partnership demand." Twelve (12) years later on August 15, 1972, B
property. The action to annul the same instituted in brought an action to collect the sum due under the
1977, or eleven years after the execution of the sheriff's promissory note. A interposed the defense of
final sale, has obviously prescribed because: prescription as more than ten (10) years had transpired-
Decide the case with reasons.
1. An action to annul a contract on the ground of fraud
must be brought within four (4) years from the date of Answer The action brought by B against A to collect the
discovery of the fraud. Since this is in essence an action sum due under the promissory note has already
to recover ownership, it must be reckoned from the prescribed as more than ten years had already elapsed
date of execution of the contract or from the from the time of the execution of the promissory note.
registration of the alleged fraudulent document with Under our statute of limitations, the law declares that
the assessor's office for the purpose of transferring the actions upon a written contract must be brought within
tax declaration, this being unregistered land, (Bael u. ten years from the time the right of action accrues.
Intermediate Appellate Court G. R. L-74423 Jan.30, 1989 Here, the promissory note expressly states that A shall
169 SCRA 617). pay B the sum of P10,000 with interest at 12 % per
annum upon demand. Obviously B's right of action
2. If the action is to be treated as an action to recover
ownership of land, it would have prescribed Just the accrued immediately upon the execution of the
promissory note. Unfortunately for him, he brought the
same because more than 10 years have already elapsed
since the date of the execution of the sale. action for collection twelve years later. The action,
therefore, was filed out of time. (NOTE: The above
Second Alternative Answer; (a) The action to recover answer is based on Art. 1144 of the Civil Code and on
has been barred by acquisitive prescription in favor of M decided cases.)
considering that M has possessed the land under a
claim of ownership for ten (10) years with a just title. (b) 06; Prescription; acquisitive; movable
1984 No. 7 On January l, 1978, A sold a typewriter to B. 06; Prescription; laches
It turned out, however that A had stolen the typewriter
from C. In February, 1982, when C discovered that his 2000 No XVI In an action brought to collect a sum of
money based on a surety agreement, the defense of
typewriter was in B's possession, he immediately filed
an action against B to recover it. Will the action laches was raised as the claim was filed more than
seven years from the maturity of the obligation.
prosper?
However, the action was brought within the ten-year
Answer: A. Furnished by Office of Justice Palma, No. prescriptive period provided by law wherein actions
While the sale of the typewriter by A to B is void, B has based on written contracts can be Instituted. a) Will the
acquired ownership of the typewriter because of the defense prosper? Reason. (3%) b) What are the
lapse of 4 years. He had possession of the typewriter in essential elements of laches? (2%)
good faith with just title for the period fixed by law.
SUGGESTED ANSWER; No, the defense will not prosper.
Ownership of movables prescribes through
uninterrupted possession for 4 years in good faith. B. The problem did not give facts from which laches may
be Inferred. Mere delay in filing an action, standing
Comments and Suggested Answers We agree with the
answer of the Bar Examiner. alone, does not constitute laches (Agra v. PNB. 309 SCRA
509).
06; Prescription; just title
SUGGESTED ANSWER: b) The four basic elements of
1985 No. 10: A) A bought a parcel of land from B, laches are; (1) conduct on the part of the defendant or
adjoining that of C's. By mistake, A took possession of of one under whom he claims, giving rise to the
C's land, thinking it was sold to him. He then possessed situation of which complainant seeks a remedy; (2)
it openly, peacefully, continuously and in the concept of delay In asserting the complainant's rights, the
owner for 10 years. When C discovered that A was complainant having had knowledge or notice of the
possessing his land, C demanded its return and upon A's defendant's conduct and having been afforded an
refusal, brought an action for its recovery. Will the opportunity to institute suit; (3) lack of knowledge on
action prosper? Discuss, the part of the defendant that the complainant would
assert the right on which he bases his suit; and (4) injury
Answers: A) 1. The action will prosper. A is not a or prejudice to the defendant in the event relief is
possessor in good faith of the land of C because A has accorded to the complainant, or the suit is not held to
no title or mode of acquisition with respect to the land be barred.
of C. What A bought was the land of B. A cannot claim
acquisition of ownership by ordinary "prescription of 10 06; Prescription; laches
years.
2002 No VII. Way back in 1948, Winda’s husband sold in
2) It depends whether it is under the Code of Civil favor of Verde Sports Center Corp. (Verde) a 10-hectare
Procedure or under the New Civil Code. Under the Code property belonging to their conjugal partnership. The
of Civil Procedure, A has acquired the land by sale was made without Winda’s knowledge, much less
prescription. Under the New Civil Code, there is no consent. In 1950, Winda learned of the sale, when she
prescription because there is no just title. discovered the dead of sale among the documents in
her husband’s vault after his demise. Soon after, she
3) The action, absent the possible application of laches, noticed that the construction of the sports complex had
can prosper. The possession by A was without a just started. Upon completion of the construction in 1952,
title; such possession can thus only ripen into ownership she tried but failed to get free membership privileges in
by acquisitive prescription after 30 years of open, Verde.
peaceful and continuous possession in the concept of
an owner (Art. 1137 and Art. 1129, in relation to Art. Winda now files a suit against Verde for the annulment
1127) of the sale on the ground that she did not consent to
the sale. In answer, Verde contends that, in accordance 1992 No 7: A owned a parcel of unregistered land
with the Spanish Civil Code which was then in force, the located on the Tarlac side of the boundary between
sale in 1948 of the property did not need her Tarlac and Pangasinan. His brother B owned the
concurrence. Verde contends that in any case the action adjoining parcel of unregistered land on the Pangasinan
has prescribed or is barred by laches. Winda rejoins that side. A sold the Tarlac parcel to X in a deed of sale
her Torrens title covering the property is indefeasible, executed as a public instrument by A and X. After X paid
and imprescriptible. A. Define or explain the term in full the, price of the sale, X took possession of the
“laches”. (2%) B. Decide the case, stating your reasons Pangasinan parcel In the belief that it was the Tarlac
for your decision. (3%) parcel covered by the deed of sale executed by A and X.
After twelve (12) years, a controversy arose between B
SUGGESTED ANSWER: A. Laches means failure or and X on the issue of the ownership of the Pangasinan
neglect, for an unreasonable and unexplained length of parcel, B claims a vested right of ownership over the
time, to do what, by exercising due diligence, could or Pangasinan parcel because B never sold that parcel to X
should have been done earlier. It is negligence or or to anyone else. On the other hand, X claims a vested
omission to assert a right within a reasonable time. (De right of ownership over the Pangasinan parcel by
Vera v. CA, 305 SCRA 624 [1999]) acquisitive prescription, because X possessed this parcel
B. While Article 1413 of the Spanish Civil Code did not for over ten (10] years under claim of ownership. Decide
require the consent of the wife for the validity of the on these claims, giving your reasons.
sale, an alienation by the husband in fraud of the wife is Answer; At this point in time, X cannot claim the right of
void as held in Uy Coque v. Navas, 45 Phil. 430 (1923). vested ownership over the Pangasinan parcel by
Assuming that the alienation in 1948 was in fraud of acquisitive prescription. In addition to the requisites
Winda and, therefore, makes the sale to Verde void, the common to ordinary and extraordinary acquisitive
action to set aside the sale, nonetheless, is already prescription consisting of uninterrupted, peaceful,
barred by prescription and laches. More than 52 years public, adverse and actual possession in the concept of
have already elapsed from her discovery of the sale in owner, ordinary acquisitive prescription for ten (10)
1950. years requires (1) possession in good faith and (2) just
ALTERNATIVE ANSWER: B. Winda’s claim that her title. "Just title" means that the adverse claimant came
Torrens Title covering the property is indefeasible and into possession of the property through one of the
imprescriptible [does not hold water] is not tenable. The modes recognized by law for the acquisition of
rule of indefeasibility of a Torrens Title means that after ownership but the grantor was not the owner or could
one year from the date of issue of the decree of not transmit any right (Art. 1129. Civil Code). In this
registration or if the land has fallen into the hands of an case, there is no "just title" and no "mode" that can be
innocent purchaser for value, the title becomes Invoked by X for the acquisition of the Pangasinan parcel
incontestable and incontrovertible. Imprescriptibility, on There was no constructive delivery of the Pangasinan
the other hand, means that no title to the land in parcel because It was not the subject-matter of the
derogation of that of the registered owner may be deed of sale. Hence, B retains ownership of the
acquired by adverse possession or acquisitive Pangasinan parcel of land.
prescription or that the registered owner does not lose
by extinctive prescription his right to recover ownership
and possession of the land. The action in this case is for
annulment of the sale executed by the husband over a
conjugal partnership property covered by a Torrens
Title. Action on contracts are subject to prescription.

06; Prescription; real rights

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