MIDPROP | LD
I. PROPERTY
THING PROPERTY
(cosa) (bienes)
Generally understood refers to any thing
to be any object that which is already the
exists and is capable of object of
satisfying some appropriation or is
human needs. It found in the
includes both objects possession of man.
that are already
possessed or owned
(res alicujus) and
those that are
susceptible of
appropriation.
As a legal concept, property is generally said to have
the following requisites:
(1) Utility or the capacity to satisfy some human
wants, such as for food, shelter, clothing, knowledge,
comfort, recreation, etc. This utility which is
generally economic endows property with value
susceptible of pecuniary estimation;
(2) Substantivity or individuality or the quality of
having existence apart from any other thing. Thus,
parts of the human body such as the hair, blood, and
teeth cannot exist by themselves independent of the
body; they become property only when separated
from the body of the person to whom they belong;
and (3) Appropriability or the susceptibility of being
possessed by men
A real right is the right or interest belonging to a
person over a specific thing without a definite
passive subject against whom such right may be
personally enforced Personal right is the right or
power of a person (creditor or obligee) to demand
from another (debtor or obligor) as a definite passive
subject, the fulfillment of the latter’s obligation.
1. CLASSIFICATION OF PROPERTY
414 All things which are or may be
the object of appropriation are
considered either:
(1) Immovable or real property;
(2) Movable or personal property
Basis of classification. — Article 414 gives the most
fundamental juristic classification of things
considered with respect to ownership. It is based on
the nature of the thing itself (Ibid.), that is, its
mobility or immobility.
Importance of classification
(1) In private international law, the general rule is
that immovables are governed by the law of the
country in which they are located, whereas
movables are governed by the personal law of
the owner which in some cases is the law of his
nationality and in other cases, the law of his
domicile
(2) In criminal law, usurpation of property can take
place only with respect to real property. On the
other hand, robbery and theft can be committed
only against personal property.
(3) In procedure, actions concerning real property
(real action) are brought in the regional trial
court where the property or any part thereof
lies, whereas actions involving personal property
are brought in the court where the defendant or
any of its defendants reside or may be found, or
where the plaintiff or any of the plaintiffs
resides, at the election of the plaintiff.
(4) action to recover possession of real property
may be an action for forcible entry and unlawful
detainer; if the subject of the complaint is
personal property, the plaintiff may avail of the
provisional remedy of replevin or manual
delivery of personal property.
(5) In contracts, only real property can be the
subject matter of real mortgage and antichresis,
while only personal property can be the subject
matter of simple loan or mutuum, voluntary
deposit, pledge, and chattel mortgage. In order
that the donation of an immovable may be valid,
it must be made in a public instrument. (Art.
749.) On the other hand, the donation of a
movable may be made orally or in writing unless
the value exceeds P5,000 in which case, it need
only be in a private instrument. (Art. 748.)
(6) In prescription, the determination of the
prescriptive period depends on whether the
property is real or personal. Ownership over
immovables is acquired by prescription,
although there is bad faith, in thirty years (Art.
1137.), whereas the period is only eight years in
the case of movables. (Art. 1132.)
(7) Generally, transactions involving real property
must be recorded in the Registry of Property to
affect third persons. (see Arts. 708-711.) This is
not required with respect to personal property
except in the case of chattel mortgage. (Art.
2140.) Under the Ship Mortgage Decree of 1978,
every ship mortgage must be recorded in the
office of the Philippine Coast Guard of the port
of documentation of the vessel
A. IMMOVABLE OR REAL PROPERTY
415 The following are immovable
property:
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(1) Land, buildings, roads, and (2) by incorporation, i.e., it is attached to an

constructions of all kinds immovable in a fixed manner to be an integral part
adhered to the soil; thereof, like buildings, walls
(2) Trees, plants, and growing or fences, trees, statues, animal houses (pars. 1, 2, 3,
fruits, while they are attached to
4, 6.);
the land or form an integral part
of an immovable; (3) by destination, i.e., it is placed in an immovable
(3) Everything attached to an for the utility it gives to the activity carried thereon,
immovable in a fixed manner, in such as machinery
such a way that it cannot be installed in a building to meet the needs of an
separated therefrom without industry in the building, and docks on a river (pars. 4,
breaking the material or
5, 6, 7, 9.); and
deterioration of the object;
(4) Statues, reliefs, paintings or (4) by analogy, i.e., it is so classified by express
other objects for use or provision of law because it is regarded as united to
ornamentation, placed in the immovable property.
buildings or on lands by the MANILA ELECTRIC CO V. CITY ASSESSORS
owner of the immovable in such Machinery subject to a real property tax under the
a manner that it reveals the local government code may or may not be attached
intention to attach them
permantly or temporarily to the real property.
permanently to the tenements;
(5) Machinery, receptacles, MIDWAY MARITIME AND TECHONOLOGICAL
instruments or implements FOUNDATION V. CASTRO
intended by the owner of the A building by itself is a real or immovable property
tenement for an industry or distinct from the land on which it is construed and
works which may be carried on in therefore can be a separate subject of contract
a building or on a piece of land,
B. MOVABLE PROPERTY
and which tend directly to meet
1. Enumeration
the needs of the said industry or
works;
416 The following things are
(6) Animal houses, pigeon-
deemed to be personal
houses, beehives, fish ponds or
property:
breeding places of similar nature,
(1) Those movables susceptible
in case their owner has placed
of appropriation which are not
them or preserves them with the
included in the preceding
intention to have them
article;
permanently attached to the
(2) Real property which by any
land, and forming a permanent
special provision of law is
part of it; the animals in these
considered as personalty;
places are included;
(3) Forces of nature which are
(7) Fertilizer actually used on a
brought under control by
piece of land;
science; and
(8) Mines, quarries, and slag
(4) In general, all things which
dumps, while the matter thereof
can be transported from place
forms part of the bed, and waters
to place without impairment of
either running
the real property to which they
or stagnant;
are fixed. (335a)
(9) Docks and structures which,
417 The following are also
though floating, are intended by
considered as personal
their nature and object to remain
property:
at a fixed place on a river, lake, or
(l) Obligations and actions which
coast;
have for their object
(10) Contracts for public works,
movables or demandable sums;
and servitudes and other real
(2) Shares of stock of
rights over immovable property
agricultural, commercial and
Classes of immovable or real property
industrial entities, although
(1) by nature, i.e., it cannot be carried from place to they may have real estate.
place, like lands, roads, and trees (pars. 1 and 2.); 2. Concept of consumable and fungible

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418 Movable property is either
consumable or non-consumable.
To the first class belong those
movables which cannot be used
in a manner appropriate to
their nature without their being
consumed; to the second
class belong all the others.
CONSUMBLE NON-CONSUMABLE
(e.g., food, money)
cannot be the subject
matter of a contract of
commodatum unless
the purpose of the
contract is not the
consumption of the
object, as when it is
merely for exhibition.
FUNGIBLE NON FUNGIBLE
It can be substituted by if not replaceable in
another thing of the such equivalents
same kind, quantity
and quality
LAUREL V. HON. ABROGAR
The business of providing telecommunication or
telephone service is likewise personal property
which can be the object of theft under Article 308 of
the Revised Penal Code.
DAVAO SAWMILL V. CASTILLO
a mortgaged house built on a rented land was held
to be personal property not only because the deed
of mortgage considered it as such, but also because
it did not form part of the land for it is now well
C. PROPERTY IN RELATION TO THE OWNER
settled that an object placed on land by one who has
1. General classification according to ownership
only a temporary right to the same such as the lessee
or usufructuary, does not become immobilized by
attachment.
MAKATI LEASING AND FINANCE V. WEAREVER
If a house of strong materials may be considered as
personal property for purposes of executing a chattel
mortgage thereon as long as the parties thereon so
agree, there is absolutely no reason why a
machinery, which is movable in its nature and
becomes immobilized only by destination or
purpose, may not be likewise treated as such.
LOPEZ V. OROSA
A building is by itself an immovable property
irrespective of whether or not said structure and the
land on which it is adhered to belong to the same
owner.
TSAI V. CA
MIDPROP | LD
Even if the properties in question are considered
immovable by nature, nothing
detracts the parties from treating them as chattels to
secure an obligation under the principle of estoppel.
BERKENKOTTER V. CU UNJIENG
Movable equipment to be immobilized in
contemplation of the law must first be “essential and
principal elements of an industry or works without
which, such industry or works would be unable to
function or carry on the industrial purpose for which
it was established.’’
CALTEX V. BOARD OF ASSESSMENT APPEALS
Improvements on land are commonly taxed as realty
even though for some purposes they might be
considered personalty. It is a familiar phenomenon
to see things classed as real property for purposes of
taxation which on general principles might be
considered personal property.
MERALCO V. CENTRAL BOARD ASSESSMENT
For purposes of taxation, the term ‘real property’
may include things which should generally be
regarded as personal property
BENGUET CORP V. CENTRAL BOARD ASSESSMENT
The immovable nature of the dam defines its
character as real property under Article 415 of the
Civil Code and thus makes it taxable under Section 38
of the Real Property Tax Code.
TUMALAD V. VICENCIO
The parties to a contract of chattel mortgage may, by
agreement, treat a personal property that which by
nature would be real property, such as “a house of
mixed materials which by its very nature is
considered real property.’’
419 Property is either of public
dominion or of private ownership.
Property is either of:
(1) Public dominion or property owned by the State
(or its political subdivisions) in its public or sovereign
capacity and intended for public use and not for the
use of the State as a juridical person (Arts. 420, 423,
424.); or
(2) Private ownership or property owned by:
(a) The State in its private capacity, and is known
as patrimonial property (Arts. 421-424.); and
(b) Private persons, either individually or
collectively. ( Art. 425.)
Property is presumed to be State property in the
absence of any showing to the contrary.
NAVY OFFICERS’ VILLAGE ASSOCIATION V. REPUBLIC
OF THE PHILIPPINES
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Lands of the public domain classified as reservations
remain to be property of the public dominion until
withdrawn from the public or quasi-public use for
which they have been reserved, by act of Congress
or by proclamation of the President, or otherwise
positively declared to have been converted to
patrimonial property
2. PROPERTY OF PUBLIC DOMINION
420 The following things are property
of public dominion:
(1) Those intended for public use,
such as roads, canals, rivers,
torrents, ports and bridges
constructed by the State, banks,
shores, roadsteads, and others of
similar character;
(2) Those which belong to the
State, without being for public
use, and are intended for some
public service or for the
development of the national
wealth.
MIAA V. CITY OF PASAY
MIAA is not a taxable entity under the Local
Government Code. Such exception applies only if the
beneficial use of real property owned by the
Republic is given to a taxable entity.
MIAA V. CA
MIAA is not a GOCC, but an instrumentality of the
government. The airport lands and buildings of MIAA
are exempt from real estate tax imposed by local
governments. Sec. 243(a) of the LGC exempts from
real estate tax any real property owned by the
Republic of the Philippines
3. PATRIMONIAL PROPERTY OF THE STATE
421 All other property of the State,
which is not of the character
stated in the preceding article, is
patrimonial property
Patrimonial property is the property of the State
owned by it in its private or proprietary capacity, i.e.,
the property is not intended for public use, or for
some public service, or for the development of the
national wealth.
CENTRAL MINDANAO UNIVERSITY V. REPUBLIC
For lack of proof that the said land reservations have
been reclassified as alienable and disposable, the
said lands remain part of inalienable public domain,
hence; they are not registrable under Torrens
system.
REPUBLIC V. LOCAL SUPERIOR INSTITUTE OF SISTERS
The respondent must be able to demonstrate the
alienable and disposable character of the land in
MIDPROP | LD
accordance with the requirements set forth in T.A.N.
Properties; only then would the application for
registration be granted.
a. Friar lands law ACT 1120
the Government of the Philippine Islands is
empowered to lease the said lands after their
acquisition for a period not exceeding three years,
and to sell the same on such terms and conditions as
it may prescribe, subject to the limitations and
conditions contained in said Act of Congress:
b. San Lazaro estate ACT 2360
The President of the Philippines shall have the power
and authority to permit the construction of said
stations or any of them on any land of the public
domain upon such terms and conditions as he may
prescribe (sec 2)
c. Property acquired in escheat proceedings
Rule 91 Rules of Court: When a person dies inestate,
seized of real or personal property in the Philippines
leaving no heir or person by law entitled to the same,
the Solicitor General or his representative in behalf
of the Republic of the Philippinesm may file a
petition in court of First Instance of the province
where the deceased last resided or in which he had
estate if he resided out of the Philippines, setting
forth the facts, and praying that the estate of the
deceased declared escheated
d. Public lands after declaration
4. CONVERSION OF PROPERTY OF PUBLIC DOMINION
INTO PATRIMONIAL PROPERTY OF THE STATE
422 Property of public dominion,
when no longer intended for
public use or for public service,
shall form part of the patrimonial
property of the State.
LAUREL V. GARCIA
Whether or not the Roppongi and related properties
will eventually be sold is a policy determination
where both the President and Congress must concur.
Considering
the properties’ importance and value, the laws on
conversion and disposition of property of public
dominion must be faithfully followed.
5. PROPERTY OF MUNICIPAL CORPORATIONS / LOCAL
GOVERNMENT UNIT
423 The property of provinces, cities,
and municipalities is divided into
property for public use and
patrimonial property
424 Property for public use, in the
provinces, cities, and
municipalities, consist of the
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provincial roads, city streets,
municipal streets, the squares,
fountains, public waters,
promenades, and public works for
public service paid for by said
provinces, cities, or municipalities.
All other property possessed by
any of them is patrimonial and
shall be governed by this Code,
without prejudice to the
provisions of special laws
6. PROPERTYOF PRIVATE OWNERSHIP OTHER THAN
STATE OR LOCAL GOVERNMENT PROPERTIES
425 Property of private ownership,
besides the patrimonial property
of the State, provinces, cities, and
municipalities, consists of all
property belonging to private
persons, either individually or
collectively.
They refer to all property belonging to private
persons either individually or collectively and those
belonging to the State and any of its political
subdivisions which are patrimonial in nature.
7. Significance of Classification
a. Property is outside the commerce of men – it
cannot be alienated/leased / otherwise be the
subject matter of contracts
b. Not subject to acquisitive prescription – they
cannot be registered under the land registration
law or be the subject of a torrens
c. Not subject to attachment or levy – not subject
to attachment or levy/ disposition through
public policy/ private sale
d. Not subject to voluntary easement
D. OTHER CLASSIFICATION
CONSUMBLE NON-CONSUMABLE
(e.g., food, money)
cannot be the subject
matter of a contract of
commodatum unless
the purpose of the
contract is not the
consumption of the
object, as when it is
merely for exhibition.
FUNGIBLE NON FUNGIBLE
It can be substituted by if not replaceable in
another thing of the such equivalents
same kind, quantity
and quality
II. OWNERSHIP
1. CONCEPT
MIDPROP | LD
427 Ownership may be exercised over
things or rights.
Ownership is that independent right of a person to
the exclusive enjoyment and control of a thing
including its disposition and recovery subject only to
the restrictions or limitations established by law and
the rights of others
2. RIGHTS OF OWNERSHIP
428 The owner has the right to enjoy
and dispose of a thing, without
other limitations than those
established by law.
The owner has also a right of
action against the holder and
possessor of the thing in order to
recover it.
Ownership confers certain rights to the owner. Such
rights, in traditional Roman terms, are the following:
(1) Jus possidendi or the right to possess;
(2) Jus utendi or the right to use and enjoy;
(3) Jus fruendi or the right to the fruits;
(4) Jus accessionis or right to accessories;
(5) Jus abutendi or the right to consume the thing by
its use;
(6) Jus disponendi or the right to dispose or alienate;
and
(7) Jus vindicandi or the right to vindicate or recover.
Actions for recovery of possession
Immovable Forcible Rule 70 Rules
entry/ of Court
unlawful Possession in
detainer fact within 1
year
Accion Right of
publiciana possession
After 1 year
SUAREZ V. EMBOY
When the complaint fails to aver facts constitutive of
forcible entry or unlawful detainer, as where it does
not state how entry was effected or how and when
dispossession started, as in the case at bar, the
remedy should either be an accion publiciana or an
accion reivindicatoria in the proper RTC.
MODESTO V. URBINA
An accion publiciana is an ordinary civil proceeding
to determine the better right of possession of realty
independently of title. Accion publiciana is also used
to refer to an ejectment suit where the cause of
dispossession is not among the grounds for forcible
entry and unlawful detainer, or when possession has
been lost for more than one year and can no longer
be maintained under Rule 70 of the Rules of Court.
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 MIDPROP | LD

The objective of a plaintiff in accion publiciana is to In order to successfully maintain an action to recover
recover possession only, not ownership the ownership of a real property, the person who
FRANCISCO MADRID V. SPS MAPOY claims a better right to it must prove two things: first,
The objective of the plaintiffs in accion publiciana is the identity of the land claimed; and second, his title
to recover possession only, not ownership. However, thereto.
where the parties raise the issue of ownership, the 3. PRINCIPLE OF SELF FELP
courts may pass upon the issue to determine who
between or among the parties has the right to 429 The owner or lawful possessor
of a thing has the right to
possess the property. This adjudication, however, is
exclude any person from the
not a final and binding determination of the issue of enjoyment and disposal
ownership; it is only for the purpose of resolving the thereof. For this purpose, he
issue of possession, where the issue of ownership is may use such force as may be
inseparably linked to the issue of possession. reasonably necessary to repel
SPS PADILLA V. VELASCO or prevent an actual or
threatened unlawful physical
Accion publiciana is also used to refer to an
invasion or usurpation of his
ejectment suit where the cause of dispossession is
property.
not among the grounds for forcible entry and 4. RIGHT TO ENCLOSE OR FENCE
unlawful detainer, or when possession has been lost
for more than one year and can no longer be 430 Every owner may enclose or
maintained under Rule 70 of the Rules of Court. The fence his land or tenements by
objective of the plaintiffs in accion publiciana is to means of walls, ditches, live or
dead hedges, or by any other
recover possession only, not ownership
means without detriment to
It is settled that the remedy of accion publiciana servitudes constituted thereon.
prescribes after the lapse of ten years. ANECO REALTY & DEVT CORPORATION VS LANDEX
DEVT CORP
Accion Allegation of
reindevicatoria ownership The right to fence flows from the right of ownership.
SPOUSES CANEZO V. BAUTISTA As owner of the land, one may fence his property
Accion reivindicatoria seeks the recovery of subject only to the limitations and restrictions
ownership and includes the jus utendi and the jus provided by law. Absent a clear legal and enforceable
fruendi brought in the proper regional trial court. right, as here, the Court will not interfere with the
Accion reivindicatoria is an action whereby plaintiff exercise of an essential attribute of ownership.
alleges ownership over a parcel of land and seeks 5. RIGHT TO RECOVER JUST COMPENSATION IN CASE
recovery of its full possession OF EMINENT DOMAIN
In order that an action for the recovery of title may
435 No person shall be deprived of
prosper, it is indispensable, in accordance with the his property except by
precedents established by the courts, that the party competent authority and for
who prosecutes it must fully prove, not only his public use and always upon
ownership of the thing claimed, but also the identity payment of just compensation.
of the same Should this requirement be not
first complied with, the courts
Movable Replevin Rule 60 Rules shall protect and, in a proper
of Court case, restore the owner in his
Requisite of recovery Art 434 possession
(1) Identity of the property. 437 The owner of a parcel of land is
the owner of its surface and of
(2) Strength of evidence and not on weakness of
everything under it, and he can
defense construct thereon any works or
IBOT V. HEIRS OF TAYCO make any plantations and
In an action for reconveyance, however, a party excavations which he may
seeking it should establish not merely by a deem proper, without
preponderance of evidence but by clear and detriment to servitudes and
convincing evidence that the land sought to be subject to special laws and
ordinances. He cannot
reconveyed is his.

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complain of the reasonable
requirements
of aerial navigation.
NAPOCOR V. IBRAHIM
Though, landowners cannot be deprived of their
right over their land until expropriation proceedings
are instituted in court. The court must then see to it
that the taking is for public use, that there is payment
of just compensation and that there is due process
of law.
6. RIGHT TO HIDDEN TREASURE
438 Hidden treasure belongs to the
owner of the land, building, or
other property on which it is
found.
Nevertheless, when the
discovery is made on the
property of another, or of the
State or any of its sub-
divisions, and by chance, one-
half thereof shall be allowed
to the finder. If the finder is a
trespasser, he shall not be
entitled to any share of the
treasure.
If the things found be of
interest to science or the arts,
the State may acquire them at
their just price, which shall be
divided in conformity with the
rule stated
439 By treasure is understood, for
legal purposes, any hidden and
unknown deposit of money,
jewelry, or other precious
objects, the lawful ownership
of which does not appear
Office of the president issues licenses for treasure
hunting
7. Limitations on right to ownership
1. General:
a. Police power
b. Taxation
c. Eminent domain
2. Specific
a. Easement
b. Non injury to others – sic uterre tuo ut
alienum non laedas (art431)
c. State of necessity – art 432
d. Art 433
SIO TIAT KING V. LIM
The third party's possession of the property is legally
presumed to be based on a just title, a presumption
which may be overcome by the purchaser in a
judicial proceeding for recovery of the property.
MIDPROP | LD
Through such a judicial proceeding, the nature of the
adverse possession by the third party may be
determined, after such third party is accorded due
process and the opportunity to be heard. The third
party may be ejected from the property only after he
has been given an opportunity to be heard,
conformably with the time-honored principle of due
process
A. RIGHT OF ACCESSION
1. CONCEPT
440 The ownership of property gives
the right by accession to
everything which is produced
thereby, or which is incorporated
or attached thereto, either
naturally or artificially.
2. GENERAL PRINCIPLES OF ACCESSION
Accessory follows the principal – accesio credit
principali
- Owner of the principal acquires or extends
his ownership over the accessory
No unjust eninchment
All works, sowing, planting are presumed made by
the owner and hi expense, unless contrary is prove.
Accessory incorporated to principal must be
incapable of separation without injury – Art 447
3. KINDS OF ACCESSION
a. Accession Discreta (rights to fruits)– art 440
Natural fruits Spontaneous products of
the soil, and the young of
animals
Industrial Fruits Produced by land of any
kind through cultivation or
labor.
Civil Fruits Rents of buildings, lease of
lands, annuities
VILLASI V. GARCIA
In cases where there is a clear and convincing
evidence to prove that the principal and the
accessory are not owned by one and the same
person or entity, the presumption shall not be
applied and the actual ownership shall be upheld.
BACHRACH V. SEIFERT
A dividend, whether in the form of cash or stock, is
income or fruit (and consequently should go to the
usufructuary rather than the owner of the shares of
stock in usufruct) for it is declared only out of the
profits of a corporation and not out of its capital.
BACHRACH V. TALISAY
A bonus paid by the mortgage-debtor to another
who hadmortgaged his land to secure the payment
of the debtor’s obligation to a bank, is not a civil fruit
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 MIDPROP | LD

of the mortgaged property. Such bonus bears no 448 The owner of the land on which
immediate, but only a remote and accidental anything has been built, sown or
relation to the land; it is not income delivered from planted in good faith, shall have the
the property but a compensation granted for the risk right to appropriate as his own the
works, sowing or planting, after
assumed by the owner of the property.
payment of the indemnity provided
b. Accession continua (Rights to thing attached or for in Articles 546 and 548, or to
incorporated) oblige the one who built or planted to
pay the price of the land, and the one
Imm a. Indu Building, Generic term who sowed, the proper rent.
ova stria planting, for all However, the builder or planter
ble l sowing architectural cannot be obliged to buy the land if
Art 445 - work with roof, its value is considerably more than
455 built for the that of the building or trees. In such
purpose of case, he shall pay reasonable rent, if
being used as a the owner of the land does not
man’s dwelling choose to appropriate the building or
or for officesm trees after proper indemnity. The
clubs, theaters, parties shall agree upon the terms of
but a the lease and in case of
warehouse is disagreement, the court shall fix the
not a building terms thereof
Planting Seedling has 3. In bad faith
taken root
Sowing Scattering 449 He who builds, plants or sows in bad
seedling faith on the land of another, loses
PHIL SUGAR ESTATES V. POIZAT what is built, planted or sown without
If the mortgage was legally executed by her attorney right to indemnity
in fact for her and in her name as her act and deed, 450 The owner of the land on which
it would be legal and binding upon her property. anything has been built, planted or
sown in bad faith may demand the
General Rule: owner of the land is the owner of
demolition of the work, or that the
whatever is built, planted or sown on that land, planting or sowing be removed, in
including the improvements and repairs made. order to replace things in their former
Builders, planter, or sower may be the owner of the condition at the expense of the
land or a third person. person who built, planted or sowed;
Exceptions or he may compel the builder or
1. If the owner, builder or sower is in good faith planter to pay the price of the land,
and the sower the proper rent.
447 The owner of the land who makes 451 In the cases of the two preceding
thereon, personally or through articles, the landowner is entitled to
another, plantings, constructions or damages from the builder, planter or
works with the materials of another, sower
shall pay their value; and, if he acted 452 The builder, planter or sower in bad
in bad faith, he shall also be obliged faith is entitled to reimbursement for
to the reparation of damages. The the necessary expenses of
owner of the materials shall have the preservation of the land.
right to remove them only in case he Options of Owner of Land:
can do so without injury to the work 1. To acquire building, planting, and sowing – has
constructed, or without the right of retention; without paying rental; not
plantings, constructions or works entitled to fruits
being destroyed. However, if the 2. To sell and to build and plant and lease land –
landowner acted in bad faith, the
builder planter, may refuse if value of land
owner of the materials may remove
them in any event, with a right to be considerable
indemnified for damages DEPARTMENT OF EDUCATION V. CASIBANG
2. If the builder, planter, sower, is not the owner As registered owners of the lots in question,
and is in good faith respondents have a right to eject any person illegally

Page | 8

occupying their property. This right is imprescriptible
and can never be barred by laches.
BLISS DEVELOPMENT CORP V. DIAZ
A purchaser in good faith and for value is one who
buys property of another without notice that some
other person has a right to, or interest in, such
property and pays full and fair price for the same at
the time of such purchase or before he or she has
notice of the claim or interest of some other person
in the property. there is bad faith on the part of the
landowner whenever the act was done with his
knowledge and without opposition on his part
HEIRS OF VICTORINO SARILI V. LAGROSA
The strength of the buyer’s inquiry on the seller’s
capacity or legal authority to sell depends on the
proof of capacity of the seller. If the proof of capacity
consists of a special power of attorney duly
notarized, mere inspection of the face of such public
document already constitutes sufficient inquiry. If no
such special power of attorney is provided or there is
one but there appears to be flaws in its notarial
acknowledgment, mere inspection of the document
will not do; the buyer must show that his
investigation went beyond the document and into
the circumstances of its execution. Settled is the rule
that a defective notarization will strip the document
of its public character and reduce it to a private
instrument, and the evidentiary standard of its
validity shall be based on preponderance of evidence
BENEDICTO V. VILLAFLORES
provision was formulated in trying to adjust the
rights of the owner and possessor in good faith of a
piece of land, to administer complete justice to both
of them in such a way as neither one nor the other
may enrich himself of that which does not belong to
him. Guided by this precept, it is therefore the
current market value of the improvements which
should be made the basis of reimbursement.
BRIONES V. MACABAGDAL
Art 546 and 548 covers cases in which the builders,
sowers or planters believe themselves to be owners
of the land or, at least, to have a claim of title
thereto. The builder in good faith can compel the
landowner to make a choice between appropriating
the building by paying the proper indemnity or
obliging the builder to pay the price of the land
TUATIS V. SPS ESCOL
The builder or planter cannot be obliged to buy the
land if its value is considerably more than that of the
building or trees. In such case, he shall pay
reasonable rent, if the owner of the land does not
MIDPROP | LD
choose to appropriate the building or trees after
proper indemnity.
SPS NARVAEZ V. SPS ALCISO
Article 448 is inapplicable in cases involving contracts
of sale with right of repurchase — it is inapplicable
when the owner of the land is the builder, sower, or
planter
HEIRS OF MARCELINO CABAL V. SPS LORENZO AND
ROSITA CABAL
Marcelino is deemed a builder in good faith at least
until the time he was informed by respondents of his
encroachment on their property. Marcelino’s
possession of the disputed lot was based on a
mistaken belief that the lot covered by his title is the
same lot on which he has built his house with the
consent of his father. There is no evidence, other
than bare allegation, that Marcelino was aware that
he intruded on respondents’ property when he
continued to occupy and possess the disputed lot
after partition was effected.
SARMIENTO V. AGANA
The builder or planter cannotbe obliged to buy the
land if its value is considerably more than that of
thebuilding or trees. In such case, he shall pay
reasonable rent, if the owner of theland does not
choose to appropriate the building or trees after
properindemnity.
DEPRA V. DUMLAO
Forced rent only comes in if the owner exercises his
right to sell the land but the builder rejects it by
reason of the price thereof being considerably more
than the value of the building – in such case, the
parties shall agree to the terms of the lease, if they
can’t agree then they may bring the issue to court
ORTIZ V. KAYANAN
all fruits that the possessor may receive from the
time that he is summoned, or when he answers the
complaint, must be delivered or paid by him to the
owner or lawful possessor.
BERNARDO V. BATACLAN
It is the owner of the land who is allowed to exercise
the option because his right is older and because, by
the principle of accession he is entitled to the
ownership of the accessory thing.
MORES V. YU-GO (lessee is not deemed to be in good
faith)
moral damages are not awarded to the lessor if the
lessee is not shown to have acted in bad faith
Article 1678 reads: If the lessee makes, in good faith,
useful improvements which are suitable to the use
for which the lease is intended, without altering the
form or substance of the property leased, the lessor
Page | 9

upon the termination of the lease shall pay the
lessee one-half of the value of the improvements at
that time. Should the lessor refuse to reimburse said
amount, the lessee may remove the improvements,
even though the principal thing may suffer damage
thereby. He shall not, however, cause any more
impairment upon the property leased than is
necessary. With regard to the ornamental expenses,
the lessee shall not be entitled to any
reimbursement, but he may remove the ornamental
objects, provided no damage is caused to the
principal thing, and the lessor does not choose to
retain them by paying their value at the time the
lease is extinguished.
b. Natural
Changing of river course
457 To the owners of lands adjoining
Alluvium the banks of rivers belong the
accretion which they gradually
receive from the effects of the
current of the waters.
REX DACLISON V. EDUARDO BAYTION
In orderfor accretion to be considered, namely:
(1)That the deposit be gradual and
imperceptible;(2)That it be made through the effects
of the current of the water; and(3)That the land
where accretion takes place is adjacent to the banks
of the rivers.
NARVASA SR, V.IMBORNAL
alluvial deposits along the banks of a creek or a river
do not form part of the public domain as the alluvial
property automatically belongs to the owner of the
estate to which it may have been added. The only
restriction provided for by law is that the owner of
the adjoining property must register the same under
the Torrens system; otherwise, the alluvial property
may be subject to acquisition through prescription
by third persons
OFFICE OF THE CITY MAYOR OF PARANAQUE CITY V.
EBIO
No matter how long the possession of the properties
has been,there can be no prescription against the
State regarding property of publicdomain. Even a city
or municipality cannot acquire them by prescription
as against the State. Hence, while it is true that a
creek is a property of public dominion, the land
which is formed by the gradual and imperceptible
accumulation of sediments along its banks does not
form part of the public domain by clear provision of
law.
NEW REGENT SOURCES INC. TANJUATCO
MIDPROP | LD
One who claims the right of accretion must show by
preponderant evidence that he has met all the
conditions provided by law.
REPUBLIC V. CA
Alluvion must be the exclusive work of nature.
459 Whenever the current of a river,
Avulsion creek or torrent segregates from
an estate on its bank a known
portion of land and transfers it
to another estate, the owner of
the land to which the
segregated portion belonged
retains the ownership of it,
provided that he removes the
same within two years.
461 River beds which are abandoned
through the natural change in
the course of the waters ipso
facto belong to the owners
whose lands are occupied by the
new course in proportion to the
area lost. However, the owners
of the lands adjoining the old
bed shall have the right to
acquire the same by paying the
value thereof, which value shall
not exceed the value of the area
occupied by the new bed.
462 Whenever a river, changing its
course by natural causes, opens
a new bed through a private
estate, this bed shall become of
public dominion.
463 Whenever the current of a river
divides itself into branches,
leaving a piece of land or part
thereof isolated, the owner of
the land retains his ownership.
He also retains it if a portion of
land is separated from the
estate by the current.
BAES V. CA
If the riparian owner is entitled to compensation for
the damage to or loss of his property due to natural
causes, there is all the more reason to compensate
him when the change in the course of the river is
effected through artificial means.
Formation of Islands
464 Islands which may be formed on the
seas within the jurisdiction of the
Philippines, on lakes, and on
navigable or floatable rivers belong to
the State
Page | 10
 MIDPROP | LD

465 Islands which through successive single thing principal

accumulation of alluvial deposits are or object thing
formed in non-navigable and non- acquires the
floatable rivers, belong to the owners accessory,
of the margins or banks nearest to indemnifyin
each of them, or to the owners of g the former
both margins if the island is in the owner
middle of the river, in which case it thereof for
shall be divided longitudinally in its value.
halves. If a single island thus formed Inclusion or
be more distant from one margin engraftment
than from the other, the owner of the Soldadura
nearer margin shall be the sole owner (soldering)\
thereof ferruminatio
PD 1067 Water Code (same
metal)
Article 5 (a) Rivers and their natural beds; plumbatura
(b) Continuous or intermittent (different
waters of springs and brooks running metal)
in their natural beds and the beds Tejido or
themselves; weaving
(c) Natural lakes and lagoons; Pintura
(d) All other categories of surface Escritura
waters such as water flowing over (writing)
lands, water from rainfall whether a. Mixtur Confusion Art. 472
natural, or artificial, and water from e (mixture of If by the will
agriculture runoff, seepage and liquids) of their
drainage; owners two
(e) Atmospheric water; things of the
(f) Subterranean or ground waters; same or
and, different
(g) Seawater. kinds are
Article 6 The following waters found on mixed, or if
private lands belong to the State: the mixture
(a) Continuous or intermittent waters occurs by
rising on such lands; chance, and
(b) Lakes and lagoons naturally in the latter
occuring on such lands; case the
(c) Rain water falling on such lands; things are
(d) Subterranean or ground waters; not
and, separable
(e) Water in swamps and marshes. without
B. MOVABLE injury, each
owner shall
Movable Adjunction Union of Art 466 acquire a
s and two Whenever right
conjunction separate two proportional
things movable to the part
owned things belonging to
separately belonging to him, bearing
by different different in mind the
persons owners are, value of the
which without bad things mixed
cannot be faith, united or confused.
separated in such a Commixtio Art. 473
without way that n If by the will
inkury to they form a (mixture of of only one
either, single solid) owner, but
thereby object, the in good
forming a owner of the faith, two
Page | 11
 MIDPROP | LD

things of the thing thus transformed as his

same or own, indemnifying the owner
different of the material for its value.
kinds are If the material is more precious
mixed or than the transformed thing or
confused, is of more value, its owner
the rights of may, at his option, appropriate
the owners the new thing to himself, after
shall be first paying indemnity for the
determined value of the work, or demand
by the indemnity for the material.
provisions of If in the making of the thing
the bad faith intervened, the
preceding owner of the material shall
article. have the right to appropriate
If the one the work to himself without
who caused paying anything to the maker,
the mixture or to demand of the latter that
or confusion he indemnify him for the value
acted in bad of the material and the
faith, he damages he may have
shall lose suffered. However, the owner
the thing of the material cannot
belonging to appropriate the work in case
him thus the value of the latter, for
mixed artistic or scientific reasons, is
orconfused, considerably more than that of
besides the material.
being C. QUIETING OF TITLE
obliged to 1. Differences between Action to Quite a Title and
pay Action for Removal of cloud
indemnity
for the 476 One who in good faith employs the
damages material of another in whole or in part
caused to in order to make a thing of a different
the owner of kind, shall appropriate the thing thus
the other transformed as his own, indemnifying
thing with the owner of the material for its value.
which his If the material is more precious than
own was the transformed thing or is of more
mixed. value, its owner may, at his option,
SANTOS V. BERNABE appropriate the new thing to himself,
If, by will of one of their owners, two things of after first paying indemnity for the
identical or dissimilar nature are mixed, or if the value of the work, or demand
mixture occurs accidentally, if in the latter case, the indemnity for the material.
things cannot be separated without injury, each If in the making of the thing bad faith
intervened, the owner of the material
owner shall acquire a right in the mixture
shall have the right to appropriate the
proportionate to the part belonging to him, work to himself without paying
according to the value of the things mixed or anything to the maker, or to demand
comingled. of the latter that he indemnify him for
Specification - Giving of a new form to a material the value of the material and the
belonging to a another Grape- wine damages he may have suffered.
However, the owner of the material
474 One who in good faith employs cannot appropriate the work in case
the material of another in the value of the latter, for artistic or
whole or in part in order to scientific reasons, is considerably
make a thing of a different more than that of the material.
kind, shall appropriate the

Page | 12

HEIRS OF LIBERATO CASTILLEJOS V. LA TONEDA
INCORPORADA
For the action to quiet title to prosper, 2 requisites
must be present: (1) the plaintiff must have a legal or
an equitable title to the real property which is the
subject matter of the action and (2) the deed, claim,
encumbrance or proceeding that is being alleged as
a cloud on plaintiff’s title must be shown to be in fact
invalid or inoperative despite its prima facie
appearance of validity or legal efficacy.
GIL MACALINO ET AL V. ARTEMIO PIS AN
When the parties admit the contents of written
documents but put in issue whether these
documents adequately and correctly express the
true intention of the parties, the deciding body is
authorized to look beyond these instruments and
into the contemporaneous and subsequent actions
of the parties in order to determine such intent
IVQ LANDHOLDINGS V. RUEBEN BARBOSA
In an action to quiet title, the plaintiffs or
complainants must demonstrate a legal or an
equitable title to, or an interest in, the subject real
property. Likewise, they must show that the deed,
claim, encumbrance or proceeding that purportedly
casts a cloud on their title is in fact invalid or
inoperative despite its prima facie appearance of
validity or legal efficacy.
CLT REALTY DEVELOPMENT CORPORATION V. PHIL
VILLE DEVELOMENT AND HOUSING CORP
An action may also be brought to prevent a cloud
from being cast upon title to real property or any
interest therein.
AQUINO V. QUIAZON
The cloud on title is a semblance of title which
appears in some legal form but which is in fact
unfounded. The invalidity or inoperativeness of the
instrument is not apparent on the face of such
instrument, and it has to be proved by extrinsic
evidence
SYJUCO V. BONIFACIO
The relief sought is certainly feasible since the
objective of an action for quieting of title as provided
under Article 476 of the Civil Code, is precisely to
quiet title, remove, invalidate, annul and/or nullify a
cloud on title to real property or any interest therein
by reason of any instrument, record, claims,
encumbrance or proceeding which is apparently
valid or effective but is in truth and in fact,
ineffective, voidable or unenforceable and may be
prejudicial to the title.
HEIRS OF PACIFICO POCDO V. AVILO
MIDPROP | LD
In an action for quieting of title, the complainant is
seeking for “an adjudication that a claim of title or
interest in property adverse to the claimant is
invalid, to free him from the danger of hostile claim,
and to remove a cloud upon or quiet title to land
where stale or unenforceable claims or demands
exist.”
TEOFISTO ONO V. VICENTE LIM
Action for cancellation of title is not an attack on the
title. The attack is direct when the objective is to
annul or set aside such judgment, or enjoin its
enforcement. On the other hand, the attack is
indirect or collateral when, in an action to obtain a
different relief, an attack on the judgment is
nevertheless made as an incident thereof.
LUCASAN V.PDIC
the plaintiff must show that he has a legal title or at
least an equitable title over the real property in
dispute, and that some deed or proceeding beclouds
its validity or efficacy.
CLADO REYES V. SPS LIMPE
an action for quieting of title originated in equity
jurisprudence to secure an adjudication that a claim
of title to or an interest in property, adverse to that
of the complainant, is invalid, so that the
complainant and those claiming under him may be
forever free from any danger of hostile claim Thus,
our courts are tasked to determine the respective
rights of the contending parties, not only to put
things in their proper places, but also to benefit both
parties, so that he 1ho has the right 1ould see every
cloud of doubt over the property dissipated, and he
could after1ards 1ithout fear introduce the
improvements he may desire, to use and even to
abuse the property as he may deem best.
RAGASA V. ROA
Whenever there is a cloud on title to real property or
any interest therein, .by reason of any instrument,
record, claim, encumbrance or proceeding which is
apparently valid or effective .it is in truth and in fact
invalid, ineffective, voidable, or unenforceable, and
may be prejudicial to said title, an action may be
brought to remove such cloud or to quiet the title.
2. RULES ON PRECRIPTION OF ACTION
a. Imprescriptibility
When plaintiff is in possession of property, action to
quiet title does not prescribe
OLVIGA V.CA
Rules on prescription applies only when the plaintiff
is not in possession of the property, since if a person
claiming to be the owner is in actual possession of
the property,
Page | 13

the right to seek reconveyance which in effect seeks
to quiet title to the property, does not prescribe.
b. Precriptibility
When plaintiff I not in possession of property, the
action to quiet title may prescribe
SAPTO ET AL V. FABIAN
Actions to quiet title to property in the
possession of the plaintiff are imprescriptible
3. PLAINTIFF MUST HAVE EQUITABLE OR LEGAL TITLE
TO PROPERTY
477 The plaintiff must have legal or
equitable title to, or interest in
the real property which is the
subject matter of the action.
He need not be in possession
of said property.
TAN V. VALDEHUEZA
registration was a necessary requisite for the
validity of a mortgage even as between the parties,
but under article 2125 of the new Civil Code (in
effect since August 30,1950), this is no longer so. 4
If the instrument is not recorded, the mortgage is
nonetheless binding between the parties.
4. ACTION ALLOWED NOTWITHSTANDING
EXTINGUISHMENT OF INTRUMENT/BAR BY
PRESCRIPTION
478 There may also be an action to
quiet title or remove a cloud
therefrom when the contract,
instrument or other obligation
has been extinguished or has
terminated, or has been
barred by extinctive
prescription
5. OBLIGATION OF PLAINTIFF TO RETURN BENEFIT
479 The plaintiff must return to the
defendant all benefits he may
have received from the latter,
or reimburse him for expenses
that may have redounded to
the plaintiff’s benefit
6. APPLICATIONS OF PRINCIPLES OF GENERAL LAW
480 The principles of the general
law on the quieting of title are
hereby adopted insofar as they
are not in conflict with this
Code.
7. APPLICATION OF RULES OF COURT
481 The procedure for the quieting
of title or the removal of a
cloud therefrom shall be
governed by such Rules of
MIDPROP | LD
court as the Supreme Court
shall promulgate.
III. CO OWNERSHIP
1. Concept
484 There is co ownership whenever the
ownership of an undivided thing or
right belongs to different persons.
In default of contracts or special
provisions, co ownership shall be
governed by the provisions of this
title.
493 Each co-owner shall have the full
ownership of his part and of the fruits
and benefits pertaining thereto, and
he may therefore alienate, assign, or
mortgage it, and even substitute
another person in its enjoyment,
except when personal rights are
involved. But the effect of the
alienation or the mortgage, with
respect to the co-owners, shall be
limited to the portion which may be
allotted to him in the division upon
the termination of the co-ownership
DOMINGO V. MOLINA
As co-owner, cannot claim title to any specific
portion of the conjugal properties without an actual
partition being first done either by agreement or by
judicial decree. Nonetheless, such had the right to
freely sell and dispose of his undivided interest in
the subject property.
Sale without the consent of the other co-owners
was not totally void. This result conforms with the
well-established principle that the binding force of
a contract must be recognized as far as it is legally
possible to do so (quando res non valet ut ago,
valeat quantum valere potest).
MACTAN CEBU INTLAIRPORT V. HEIRS OF GAVINA
IJORDAN
The conveyance by Julian of the entire property
pursuant to the Deed did not bind the respondents
for lack of their consent and authority in his favor.
Torres v. Lapinid
Even if a co-owner sells the whole property as his,
the sale will affect only his own share but not those
of the other co-owners who did not consent to the
sale. This is because the sale or other disposition of
a co-owner affects only his undivided share and the
transferee gets only what would correspond to his
grantor in the partition of the thing owned in
common.
DAILISAN V. CA
As a co-owner of the property, one has a right to
demand for partition, a right which does not
Page | 14

prescribe. Also, delivery was already effected since
a public instrument was executed and Jose already
possessed it. all that is left is the segregation of the
property.
EUSEBIO V. IAC
When the contract to sell was executed, neither co-
owner could claim any particular identified part of
the lot because their possession was in the concept
of lessees at the time. An undivided estae is co-
ownership by the heirs and according to Art. 543,
each participant shall be deemed to have
exclusively possessed the part which may be
allotted to him upon its division for the entire
period during which co-possession lasted
In the nature of trust – a co owner is a trustee for
the others (Sotto v. Reyes)
Relationship is fiduciary in character
A co ownership is not a juridical person and has no
personality to sue or to be sued but co owners can
sue in their individual capacities
2. SOURCES OF CO OWNERSHIP
a. Law – partly wall
147 When a man and a woman who are
Declares co capacitated to marry each other,
ownership live exclusively with each other as
when man and husband and wife without the
woman live benefit of marriage or under a void
together marriage, their wages and salaries
without benefit shall be owned by them in equal
of marriage shares and the property acquired by
both of them through their work or
industry shall be governed by the
rules on co-ownership.
In the absence of proof to the
contrary, properties acquired while
they lived together shall be
presumed to have been obtained by
their joint efforts, work or industry,
and shall be owned by them in equal
shares. For purposes of this Article,
a party who did not participate in
the acquisition by the other party of
any property shall be deemed to
have contributed jointly in the
acquisition thereof if the former's
efforts consisted in the care and
maintenance of the family and of
the household.
Neither party can encumber or
dispose by acts inter vivos of his or
her share in the property acquired
during cohabitation and owned in
common, without the consent of
the other, until after the
termination of their cohabitation.
When only one of the parties to a
void marriage is in good faith, the
share of the party in bad faith in the
MIDPROP | LD
co-ownership shall be forfeited in
favor of their common children. In
case of default of or waiver by any
or all of the common children or
their descendants, each vacant
share shall belong to the respective
surviving descendants. In the
absence of descendants, such share
shall belong to the innocent party.
In all cases, the forfeiture shall take
place upon termination of the
cohabitation
b. Contract – by agreement to acquire and to provide
duration
494 No co-owner shall be obliged to
remain in the co-ownership. Each co-
owner may demand at any time the
partition of the thing owned in
common, insofar as his share is
concerned.
Nevertheless, an agreement to keep
the thing undivided for a certain
period of time, not exceeding ten
years, shall be valid. This term may be
extended by a new agreement.
A donor or testator may prohibit
partition for a period which shall not
exceed twenty years.
Neither shall there be any partition
when it is prohibited by law.
No prescription shall run in favor of a
co-owner or co-heir against his co-
owners or co-heirs so long as he
expressly or impliedly recognizes the
co-ownership. (400a)
c. Succession – heirs ipso facto become co owners of
estate
1078 Where there are two or more heirs,
the whole estate of the decedent is,
before its partition, owned in
common by such heirs, subject to the
payment of debts of the deceased.
d. Occupation – harvesting and fishing
713 Things appropriable by nature which
are without an owner, such as
animals that are the object of hunting
and fishing, hidden treasure and
abandoned movables, are acquired
by occupation.
e. Chance – by mixture or confusion
472 If by the will of their owners two
things of the same or different kinds
are mixed, or if the mixture occurs by
chance, and in the latter case the
things are not separable without
injury, each owner shall acquire a
right proportional to the part
belonging to him, bearing in mind the
Page | 15
 MIDPROP | LD

value of the things mixed or of their entitlement in the

have equal shares. For
confused. declaration of trust. This
example, one person may
473 If by the will of only one owner, but in will override any
be entitled to two thirds
good faith, two things of the same or implication that could beof the property, while the
different kinds are mixed or made from the facts such other owns the remaining
confused, the rights of the owners as the proportion of one third. With a building
shall be determined by the provisions contributions. Difficulties
or land, there is an
of the preceding article. arise where a trust is obvious difficulty in
If the one who caused the mixture or created informally. deciding who owns what.
confusion acted in bad faith, he shall Often the only solution in
lose the thing belonging to him thus case of a dispute is to sell
mixed or confused, besides being the property and divide
obliged to pay indemnity for the the proceeds in the
damages caused to the owner of the appropriate proportions.
other thing with which his own was The most important
mixed distinction between the
SIARI VALLEY ESTATE V. LUCASAN two types of tenancy
The rule on levying registered property is that a copy relates to survivorship: in
of the order be filed with the register of deeds, along the case of a joint
with a description of the property attached and a tenancy, the surviving co-
notice that it is attached. There was notice of the levy owner automatically
had no reference to the number of its certificate of succeeds to the share of a
title and the volume and title in the registry book joint tenant who dies.
where it was registered, the notice is legally With a tenancy-in-
ineffective common, the tenant’s
3. DIFFERENCE FROM JOIN OWNERSHIP OR JOING share will pass under a
TENANCY will or intestacy on that
CO OWNERSHIP JOINT TENANCY person’s death.
Wherever land is owned Where there is a joint 4. DIFFERENCE FROM PARTNERSHIP
by more than one person tenancy, all the co- CO OWNERSHIP PARTNERSHIP
ownership must be owners own the whole of The ownership The property is
through a trust of land. A the property collectively. of a property by not purchased
trust of land separates It is not correct to more than one with the object of
the legal title of the land mention shares when person is called earning profits. If
from the equitable talking of a joint tenancy. co-ownership. If a building is
ownership rights. Legal In order to amount to a two brothers purchased to let
title is held by the joint tenancy the four purchase a it for rent, then it
trustees and these are the unities must be present: property will be a case of
named paper owners of 1. Unity of possession - collectively, it partnership and
the land. The trustees each party is entitled to will be a case of not of co-
hold the land on trust for occupy the whole of the co-ownership. ownership. In the
the beneficiaries ie those land and none can The property co-ownership,
entitled to equitable exclude the others from will be disposed there is only a
ownership rights. The any part of it. off with the joint ownership
trustees and beneficiaries 2. Unity of interest - each consent of all without any
are often the same party must hold the same the co-owners. business motive.
people. interest in the property Any income In partnership
3. Unity of title - each arising out of co- joint ownership
Co-ownership in equity party must acquire their ownership is and business are
can be as a joint tenancy interest through the shared by all the combined.
or tenancy in common. It same transaction co-owners.
is important to determine 4. Unity of time- interests may be by the based on
how ownership is held must have been acquired operation of law CONT contractual
and if it is a tenancy in at the same time RACT relationship
common, the proportion With a tenancy-in- among partners.
of the shareholding held common, on the other not meant for enter into some
OBJEC
by each tenant. Where hand, both co-owners business business and
T
the trust is an express have a right to possession purposes. earn profits
trust, the parties are free of the entire property, A co-owner can TRAN No partner can
to determine the extent although they may not transfer his SFER transfer his
Page | 16
 MIDPROP | LD

interest at any OF interest (share) c. Right to bring in ejectment

time and INCO without the 487 Any one of the co-owners may
without asking ME consent of all bring an action in ejectment
from other co- other partners PALASBAS V. MALAZARTE
owners. A co-owner may file a suit without necessarily joining
No agency Partners can act all the other co-owners as co-plaintiffs, as long as the
relationship as agents of the suit is deemed to be instituted for the benefit of
AGEN
exists in co- business. They them all. The only exception to the rule is when the
CY OF
ownership. have implied action is for the benefit of the plaintiff alone who
RELAT
Every co-owner authority to bind claims to be the sole owner and is entitled to
IONS
is responsible the firm by their possession of such.
HIP
for his own acts JOHN ABING V. JULIET WAEYAN
deeds only. The tax declaration is also not proof of ownership. It
A co-owner can the division of only indicates possession in the concept of an owner.
demand the property cannot d. Contribution to expenses for preservation
division of DIVISI be demanded. A 488 Each co-owner shall have a right to
property. Two ON OF partner can compel the other co-owners to
co-owners may JOINT demand the contribute to the expenses of
divide a plot of PROP payment of his preservation of the thing or right
land by erecting ERTY share in business owned in common and to the
a wall on the by way of cash. taxes. Any one of the latter may
land. exempt himself from this
if a co-owner If a partner obligation by renouncing so much
spends money spends some of his undivided interest as may be
RIGHT
for the money for the equivalent to his share of the
OF
improvement of business he can expenses and taxes. No such
INVES
property he demand its waiver shall be made if it is
TMEN
cannot claim it reimbursement. prejudicial to the co-ownership.
T
as a lien on e. Right to make repairs for preservation
property. 489 Repairs for preservation may be
5. RIGHTS OF CO OWNERS made at the will of one of the co-
a. Proportionate share in benefits and charges; owners, but he must, if practicable,
presumption of equality of shares first notify his co-owners of the
485 The share of the co-owners, in the necessity for such repairs.
benefits as well as in the charges, Expenses to improve or embellish
shall be proportional to their the thing shall be decided upon by
respective interests. Any a majority as determined in Article
stipulation in a contract to the 492
contrary shall be void. f. Expenses to improve embellish
The portions belonging to the co- 489 Repairs for preservation may be
owners in the co-ownership shall made at the will of one of the co-
be presumed equal, unless the owners, but he must, if practicable,
contrary is proved. first notify his co-owners of the
b. Limitations on co-owners’ rights necessity for such repairs.
486 Each co-owner may use the thing Expenses to improve or embellish
owned in common, provided he the thing shall be decided upon by
does so in accordance with the a majority as determined in Article
purpose for which it is intended 492
and in such a way as not to injure g. Different stories of a house belonging to different
the interest of the co-ownership or owners
prevent the other co-owners from 490 Whenever the different stories of a
using it according to their rights. house belong to different owners,
The purpose of the co-ownership if the titles of ownership do not
may be changed by agreement, specify the terms under which they
express or implied. should contribute to the necessary
CRUZ V. CATAPANG expenses and there exists no
A co-owner cannot devote common property to his agreement on the subject, the
or her exclusive use to the prejudice of the co- following rules shall be observed:
ownerhsip. This includes giving consent to another to
build a house on the co-owned property
Page | 17

(1) The main and party walls, the
roof and the other things used in
common, shall be preserved at the
expense of all the owners in
proportion to the value of the story
belonging to each;
(2) Each owner shall bear the cost
of maintaining the floor of his
story; the floor of the entrance,
front door, common yard and
sanitary works common to all, shall
be maintained at the expense of all
the owners pro rata;
(3) The stairs from the entrance to
the first story shall be maintained
at the expense of all the owners pro
rata, with the exception of the
owner of the ground floor; the
stairs from the first to the second
story shall be preserved at the
expense of all, except the owner of
the ground floor and the owner of
the first story; and so on
successively.
h. Alterations
491 None of the co-owners shall,
without the consent of the others,
make alterations in the thing
owned in common, even though
benefits for all would result
therefrom. However, if the
withholding of the consent by one
or more of the co-owners is clearly
prejudicial to the common interest,
the courts may afford adequate
relief.
ARAMBULO V. NOLASCO
Even if a co-owner sells the whole property, the sale
will affect only his own share and not those of the
other co-owners who did not consent to the sale. It
may be deduced that a co-owner is entitled to sell his
undivided share.
j. Administration
492 For the administration and
better enjoyment of the thing
owned in common, the
resolutions of the majority of
the co-owners shall be
binding.
There shall be no majority
unless the resolution is
approved by the co-owners
who represent the controlling
interest in the object of the co-
ownership.
Should there be no majority,
or should the resolution of the
majority be seriously
prejudicial to those interested
in the property owned in
MIDPROP | LD
common, the court, at the
instance of an interested
party, shall order such
measures as it may deem
proper, including the
appointment of an
administrator.
Whenever a part of the thing
belongs exclusively to one of
the co-owners, and the
remainder is owned in
common, the preceding
provision shall apply only to
the part owned in common.
MELENCIO V DY TIAO LAY
In such cases it must of necessity be recognized that
the part owners representing the greater portion of
the property held in common have no power to lease
said property for a longer period than six years
without the consent of all the co-owners, whose
propriety rights, expressly recognized by the law,
would by contracts of long duration be restricted or
annulled
a. Alienation of co owned property
493 Each co-owner shall have the full
ownership of his part and of the
fruits and benefits pertaining
thereto, and he may therefore
alienate, assign or mortgage it, and
even substitute another person in
its enjoyment, except when
personal rights are involved. But
the effect of the alienation or the
mortgage, with respect to the co-
owners, shall be limited to the
portion which may be alloted to
him in the division upon the
termination of the co-ownership.
EDC V. SAMSON BICO
But the effect of the alienation or the mortgage, with
respect to the co-owners, shall be limited to the
portion which may be allotted to him in the division
upon the termination of the co-ownership. Based on
this provision, the court recognizes that a co-owner
cannot rightfully dispose of a particular portion of a
co-owned property prior to partition among all the
co-owners. However, it further explains that this
should not signify that the vendee does not acquire
anything atall in case a physically segregated area of
the co-owned lot is in fact sold to him. Since the co-
owner/vendor’s undivided interest could properly be
the object of the contract of sale between the
parties, what the vendee obtains by virtue of such a
sale are the same rights as the vendor had as co-
owner, in an ideal share equivalent to the
consideration given under their transaction.
HEIRS OF RENALDO DE LA ROSA V. BATONGBACAL
Pursuant to this law, a co-owner has the right to
alienate his proindiviso share in the co-owned
property even without the consent of his coowners.
Page | 18

This right is absolute and in accordance with the
well-settled doctrine that a co-owner has a full
ownership of his pro-indiviso share and has the right
to alienate, assign or mortgage it, and substitute
another person for its enjoyment. In other words,
the law does not prohibit a co-owner from selling,
alienating, mortgaging his ideal share in the property
held in common.
PNB V. JOSE GARCIA
But the effect of the alienation of the mortgage, with
respect to the co-owners shall be limited to the
portion which may be allotted to him in the division
upon the termination of the co-ownership. Under
this provision, each co-owner has the full ownership
of his part or share in the co-ownership and may,
therefore, alienate, assign or mortgage it except
when personal rights are involved. Should a co-
owner alienate or mortgage the co-owned property
itself, the alienation or mortgage shall remain valid
but only to the extent of the portion which may be
allotted to him in the division upon the termination
of the co-ownership.
REPUBLIC ET. AL V. HEIRS OF FRANCISCA DIGNOS
SORONO
since a co-owner is entitled to sell his undivided
share, a sale of the entire property
by one co-owner without the consent of the other
co-owners is not null and void. However, only the
rights of the co-owner-seller are transferred, thereby
making the buyer a co-owner of the property
METROPOLITAN BANK TRUST CO V. PASCUAL
The termination of the conjugal property regime
does not ipso facto end the nature of conjugal
ownership. The character of the properties acquired
before declaration of nullity of marriage continues to
subsist as conjugal properties until and after the
liquidation and partition of the partnership. Pending
such liquidation, the conjugal partnership of gains is
converted into an implied ordinary co-ownership
among the surviving spouse and the other heirs of
the deceased. In this pre-liquidation scenario, Art.
493 of the Civil Code shall govern the property
l. Right to demand partition; agreement/ stipulation/
relationship between the former spouses.
k. Partition – separation, division, and assignment of
494
a thing held in common by those to whom it may
belong
496 Partition may be made by
agreement between the parties or
by judicial proceedings. Partition
shall be governed by the Rules of
Court insofar as they are consistent
with this Code
HEIRS OF LATE ECARMA V. CA
This term of agreement to divide may be extended
by a new agreement. A donor or testator may
prohibit partition for a period which shall not exceed
twenty years. Neither shall there be any partition
when it is prohibited by law. No prescription shall run
in favor of a co-owner or co-heir against his co-
MIDPROP | LD
owners or co-heirs so long as he expressly or
impliedly recognizes the co-ownership.
CABRERA V. YSAAC
. Even if it was respondent who was benefiting from
the fruits of the lease contract to petitioner,
respondent has “noright to sell or alienate a
concrete, specific or determinate part of the
thingowned in common, because his right over the
thing is represented by quota orideal portion
without any physical adjudication.”
QUIMPO V. ABAD BELTRAN
Any co-owner may demand at any time the
partition of the common property unless a co-
owner has repudiated the co-ownership. This
action for partition does not prescribe and is not
subject to laches.
AUSTRIA V. LICHAUCO
Co-owner shall be obliged to remain in the co-
ownership. However, the trial court went astray
when it also authorized the sale of the subject
properties to a third party and the division of the
proceeds thereof. What makes this portion of the
decision all the more objectionable is the fact that
the trial court conditioned the sale upon the price
and terms acceptable to plaintiffs (respondents
herein) only, and adjudicated the proceeds of the
sale again only to plaintiffs.
RAMIREZ V. RAMIREZ
Any alien would be able to circumvent the
prohibition by paying money to a Philippine
landowner in exchange for devise of a piece of land.
Notwithstanding this, the Court upholds the usufruct
in favour of Wanda because a usufruct does not vest
title to the land in the usufructuary and it is the
vesting of title to aliens which is proscribed by the
Constitution
AGUILAR V. CA
Either one of them may demand the sale of the
house and lot at any time and the other cannot
object to such demand; thereafter the proceeds of
the sale shall be divided equally according to their
respective interests
requirement to keep thing undivided
No co-owner shall be obliged to
remain in the co-ownership. Each co-
owner may demand at any time the
partition of the thing owned in
common, insofar as his share is
concerned.
Nevertheless, an agreement to keep
the thing undivided for a certain
period of time, not exceeding ten
years, shall be valid. This term may
be extended by a new agreement.
A donor or testator may prohibit
partition for a period which shall not
exceed twenty years.
Neither shall there be any partition
when it is prohibited by law.
Page | 19

No prescription shall run in favor of a
co-owner or co-heir against his co-
owners or co-heirs so long as he
expressly or impliedly recognizes the
co-ownership.
QUINTOS V. NICOLAS
The cardinal rule is that bare allegation of title does
not suffice. The burden of proof is on the plaintiff to
establish his or her case by preponderance of
evidence. Regrettably, petitioners, as such plaintiff,
in this case failed to discharge the said burden
imposed upon them in proving legal or equitable title
over the parcel of land in issue
m. Prescription in favor of co-owner
494 No co-owner shall be obliged to
remain in the co-ownership. Each co-
owner may demand at any time the
partition of the thing owned in
common, insofar as his share is
concerned.
Nevertheless, an agreement to keep
the thing undivided for a certain
period of time, not exceeding ten
years, shall be valid. This term may
be extended by a new agreement.
A donor or testator may prohibit
partition for a period which shall not
exceed twenty years.
Neither shall there be any partition
when it is prohibited by law.
No prescription shall run in favor of a
co-owner or co-heir against his co-
owners or co-heirs so long as he
expressly or impliedly recognizes the
co-ownership.
HEIRS OF JUANITA PADILLA V. MAGDUA
Since possession of co-owners is like that of a
trustee, in order that a co-owner's possession may
be deemed adverse to the cestui que trust or other
co-owners, the following requisites must concur: (1)
that he has performed unequivocal acts of
repudiation amounting to an ouster of the cestui que
trust or other co-owners, (2) that such positive acts
of repudiation have been made known to the cestui
que trust or other co-owners, and (3) that the
evidence thereon must be clear and convincing.
n. When physical division of thing owned in common
precluded
495 Notwithstanding the provisions of the
preceding article, the co-owners
cannot demand a physical division of
the thing owned in common, when to
do so would render it unserviceable
for the use for which it is intended.
But the co-ownership may be
terminated in accordance with Article
498.
498 Whenever the thing is essentially
indivisible and the co-owners cannot
agree that it be allotted to one of
MIDPROP | LD
them who shall indemnify the others,
it shall be sold and its proceeds
distributed.
o. of creditors/assignees of co owners
497 The creditors or assignees of the co-
owners may take part in the division
of the thing owned in common and
object to its being effected without
their concurrence. But they cannot
impugn any partition already
executed, unless there has been
fraud, or in case it was made
notwithstanding a formal opposition
presented to prevent it, without
prejudice to the right of the debtor or
assignor to maintain its validity
QUIJANO V. AMANTE
Even if the question of ownership is raised in the
pleadings, like here, the court may pass upon the
issue but only to determine the question of
possession especially if the question of ownership is
inseparably linked with the question of possession.
The adjudication of ownership in that instance is
merely provisional, and will not bar or prejudice an
action between the same parties involving the title
to the property
CARVAJAL V. CA
Unless a project of partition is effected, each heir
cannot claim ownership over a definite portion of
the inheritance. Without partition, either by
agreement between the parties of by judicial
proceeding, a co-heir cannot dispose of a specific
portion of the estate. For where there are two or
more heirs, the whole estate such heirs. 1 Upon the
death of a person, each of his heirs becomes the
undivided owner of the whole estate left wtih
respect to the part of portion which might be
adjudicated to him, a community of ownership being
thus formed among the co-owners of the estate or
co-heirs while it remains undivided
PNB V. CA
each co-owner shall have the full ownership of his
part and of the fruits and benefits pertaining thereto,
and he may therefore alienate, assign or mortgage it,
and even substitute another person in its enjoyment,
except when personal rights are involved. But the
effect of the alienation or the mortgage, with respect
to the co-owners, shall be limited to the portion
which may be allotted to him in the division upon the
termination of the co-ownership
6. EFFECT OF PARTITION ON THIRD PERSONS
499 The partition of a thing owned
in common shall not prejudice
third persons, who shall retain
the rights of mortgage,
servitude or any other real
rights belonging to them
before the division was made.
Personal rights pertaining to
Page | 20

third persons against the co-
ownership shall also remain in
force, notwithstanding the
partition.
500 Upon partition, there shall be a
mutual accounting for benefits
received and reimbursements
for expenses made. Likewise,
each co-owner shall pay for
damages caused by reason of
his negligence or fraud.
501 Every co-owner shall, after
partition, be liable for defects
of title and quality of the
portion assigned to each of the
other co-owners
1092 After the partition has been
made, the co-heirs shall be
reciprocally bound to warrant
the title to, and the quality of,
each property adjudicated.
1093 The reciprocal obligation of
warranty referred to in the
preceding article shall be
proportionate to the respective
hereditary shares of the co-
heirs, but if any one of them
should be insolvent, the other
co-heirs shall be liable for his
part in the same proportion,
deducting the part
corresponding to the one who
should be indemnified.
543 Each one of the participants of
a thing possessed in common
shall be deemed to have
exclusively possessed the part
which may be allotted to him
upon the division thereof, for
the entire period during which
the co-possession lasted.
Interruption in the possession
of the whole or a part of a
thing possessed in common
shall be to the prejudice of all
the possessors. However, in
case of civil interruption, the
Rules of Court shall apply.
1091 A partition legally made
confers upon each heir the
exclusive ownership of the
property adjudicated to him.
7. ACTION FOR ANNULMENT AND PARTITION IS 4YRS
FELICIANO V. CANOZA
The deed of extrajudicial settlement can be attacked
in action for annulment in court. However, such
action should be filed within 4 years from the
discovery of the fraud.
8. Liability for defects of title/quality
MIDPROP | LD
501 Every co-owner shall, after
partition, be liable for defects of
title and quality of the portion
assigned to each of the other co-
owners.
9. Procedure for Partition (rule 69)
1 A person having the right to
Complaint in compel the partition of real
action for estate may do so as provided in
partition of real this Rule, setting forth in his
estate complaint the nature and extent
of his title and an adequate
description of the real estate of
which partition is demanded and
joining as defendants all other
persons interested in the
property.
2 If after the trial the court finds
Order for that the plaintiff has the right
partition and thereto, it shall order the
partition by partition of the real estate among
agreement all the parties in interest.
thereunder Thereupon the parties may, if
they are able to agree, make the
partition among themselves by
proper instruments of
conveyance, and the court shall
confirm the partition so agreed
upon by all the parties, and such
partition, together with the order
of the court confirming the same,
shall be recorded in the registry
of deeds of the place in which the
property is situated.
3 If the parties are unable to agree
Commissioners upon the partition, the court shall
to make partition appoint not more than three (3)
when parties fail competent and disinterested
to agree. persons as commissioners to
make the partition, commanding
them to set off to the plaintiff
and to each party in interest such
part and proportion of the
property as the court shall direct.
4 Before making such partition; the
Oath and duties commissioners shall take and
of subscribe an oath that they will
commissioners. faithfully perform their duties as
commissioners, which oath shall
be filed in court with the other
proceedings in the case. In
making the partition, the
commissioners shall view and
examine the real estate, after
due notice to the parties to
attend at such view and
examination, and shall hear the
parties as to their preference in
the portion of the property to be
Page | 21

set apart to them and the
comparative value thereof, and
shall set apart the same to the
parties in lots or parcels as will be
most advantageous and
equitable, having due regard to
the improvements, situation and
quality of the different parts
thereof.
5 When it is made to appear to the
Assignment or commissioners that the real
sale of real state, or a portion thereof,
estate by cannot be divided without
commissioners. prejudice to the interests of the
parties, the court may order it
assigned to one of the parties
willing to take the same,
provided he pays to the other
parties such amount as the
commissioners deem equitable,
unless one of the interested
parties asks that the property be
sold instead of being so assigned,
in which case the court shall
order the commissioners to sell
the real estate at public sale
under such conditions and within
such time as the court may
determine.
6 The commissioners shall make a
Report of full and accurate report to the
commissioners; court of all their proceedings as
proceedings not to the partition, or the
binding until assignment of real estate to one
confirmed. of the parties, or the sale of the
same. Upon the filing of such
report, the clerk of court shall
serve copies thereof on all the
interested parties with notice
that they are allowed ten (10)
days within which to file
objections to the findings of the
report, if they so desire. No
proceeding had before or
conducted by the commissioners
and rendered judgment thereon.
7 Upon the expiration of the period
Action of the of ten (10) days referred to in the
court upon preceding section or even before
commissioners the expiration of such period but
report. after the interested parties have
filed their objections to the
report or their statement of
agreement therewith the court
may, upon hearing, accept the
report and render judgment in
accordance therewith, or, for
cause shown recommit the same
to the commissioners for further
report of facts; or set aside the
MIDPROP | LD
report and appoint new
commissioners; or accept the
report in part and reject it in part;
and may make such order and
render such judgment as shall
effectuate a fair and just partition
of the real estate, or of its value,
if assigned or sold as above
provided, between the several
owners thereof.
8 In an action for partition in
Accounting for accordance with this Rule, a party
rent and profits shall recover from another his
in action for just share of rents and profits
partition received by such other party
from the real estate in question,
and the judgment shall include an
allowance for such rents and
profits.
9 The guardian or guardian ad
Power of litem of a minor or person
guardian in such judicially declared to be
proceedings incompetent may, with the
approval of the court first had, do
and perform on behalf of his
ward any act, matter, or thing
respecting the partition of real
estate, which the minor or
person judicially declared to be
incompetent could do in partition
proceedings if he were of age or
competent.
10 The court shall equitably tax and
Costs and apportion between or among the
expenses to be parties the costs and expenses
taxed and which accrue in the action,
collected including the compensation of
the commissioners, having regard
to the interests of the parties,
and execution may issue therefor
as in other cases.
11 If actual partition of property is
The judgment made, the judgment shall state
and its effect; definitely, by metes and bounds
copy to be and adequate description, the
recorded in particular portion of the real
registry of deeds. estate assigned to each party,
and the effect of the judgment
shall be to vest in each party to
the action in severalty the
portion of the real estate
assigned to him. If the whole
property is assigned to one of the
parties upon his paying to the
others the sum or sums ordered
by the court, the judgment shall
state the fact of such payment
and of the assignment of the real
estate to the party making the
payment, and the effect of the
Page | 22

judgment shall be to vest in the
party making the payment the
whole of the real estate free from
any interest on the part of the
other parties to the action. If the
property is sold and the sale
confirmed by the court, the
judgment shall state the name of
the purchaser or purchasers and
a definite description of the
parcels of real estate sold to each
purchaser, and the effect of the
judgment shall be to vest the real
estate in the purchaser or
purchasers making the payment
or payments, free from the
claims of any of the parties to the
action. A certified copy of the
judgment shall in either case be
recorded in the registry of deeds
of the place in which the real
estate is situated, and the
expenses of such recording shall
be taxed as part of the costs of
the action.
12 Nothing in this Rule contained
Neither shall be construed so as to
paramount rights prejudice, defeat, or destroy the
nor amicable right or title of any person
partition claiming the real estate involved
affected by this by title under any other person,
Rule. or by title paramount to the title
of the parties among whom the
partition may have been made,
nor so as to restrict or prevent
persons holding real estate jointly
or in common from making an
amicable partition thereof by
agreement and suitable
instruments of conveyance
without recourse to an action.
13 he provisions of this Rule shall
Partition of apply to partitions of estates
personal composed of personal property,
property or of both real and personal
property, in so far as the same
may be applicable.
PAREL V. PRUDENCIO
The house which petitioner claims to be co-owned
by his late father had been consistently declared for
taxation purposes in the name of respondent, and
this fact, taken with the other circumstances above-
mentioned, inexorably lead to the conclusion that
respondent is the sole owner of the house subject
matter of the litigation
REYES V. JUDGE CONCEPCION
Article 1620 contemplates of a situation where a co-
owner has alienated his pro-indiviso shares to a
stranger. By the very nature of the right of "legal
redemption", a co-owner's light to redeem is invoked
MIDPROP | LD
only after the shares of the other co-owners are sold
to a third party or stranger to the co-ownership
PAMPLONA V. MORATO
Despite the fact that at the time of sale, there was no
partition of the subject property between the co-
owners and Flaviano, as vendor, had ownership of an
undetermined portion of the hereditary estate which
he had a perfect and legal right to dispose of to the
Spouse Pamplona.
CASTRO V. ATIENZA
Their property regime, therefore, is governed by
Article 148 of the Family Code, which applies to
bigamous marriages, adulterous relationship,
relationships in a state of concubinage, relationships
where both man and woman are married to other
persons, and multiple alliances of the same married
man. Under this regime, …only the properties
acquired by both of the parties through their actual
joint contribution of money, property, or industry
shall be owned by them in common in proportion to
their respective contributions.
ESTOGUE V. PAJIMULA
When a person who is not the owner of a thing sells
or alienates and delivers it, and later the seller or
grantor acquires title thereto, such title passes by
operation of law to the buyer or grantee
IV. SOME SPECIAL PROPERTIES
1. WATERS
Ownership of Waters
502 The following are of public
dominion:
(1) Rivers and their natural beds;
(2) Continuous or intermittent
waters of springs and brooks
running in their natural beds and the
beds themselves;
(3) Waters rising continuously or
intermittently on lands of public
dominion;
(4) Lakes and lagoons formed by
Nature on public lands, and their
beds;
(5) Rain waters running through
ravines or sand beds, which are also
of public dominion;
(6) Subterranean waters on public
lands;
(7) Waters found within the zone of
operation of public works, even if
constructed by a contractor;
(8) Waters rising continuously or
intermittently on lands belonging to
private persons, to the State, to a
province, or to a city or a
municipality from the moment they
leave such lands;
(9) The waste waters of fountains,
sewers and public establishments.
503 The following are of private
ownership:
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(1) Continuous or intermittent
waters rising on lands of private
ownership, while running through
the same;
(2) Lakes and lagoons, and their
beds, formed by Nature on such
lands;
(3) Subterranean waters found on
the same;
(4) Rain waters falling on said lands,
as long as they remain within the
boundaries;
(5) The beds of flowing waters,
continuous or intermittent, formed
by rain water, and those of brooks,
crossing lands which are not of
public dominion.
In every drain or aqueduct, the
water, bed, banks and floodgates
shall be considered as an integral
part of the land of building for which
the waters are intended. The
owners of lands, through which or
along the boundaries of which the
aqueduct passes, cannot claim
ownership over it, or any right to the
use of its bed or banks, unless the
claim is based on titles of ownership
specifying the right or ownership
claimed.
Use of Public Waters
504 The use of public waters is acquired:
(1) By administrative concession;
(2) By prescription for ten years.
The extent of the rights and
obligations of the use shall be that
established, in the first case, by the
terms of the concession, and, in the
second case, by the manner and
form in which the waters have been
used.
505 Every concession for the use of
waters is understood to be without
prejudice to third persons.
506 The right to make use of public
waters is extinguished by the lapse
of the concession and by non-user
for five years.
The use of waters of private ownership
507 The owner of a piece of land on
which a spring or brook rises, be it
continuous or intermittent, may use
its waters while they run through
the same, but after the waters leave
the land they shall become public,
and their use shall be governed by
the Special Law of Waters of August
3, 1866, and by the Irrigation Law
MIDPROP | LD
508 The private ownership of the beds
of rain waters does not give a right
to make works or constructions
which may change their course to
the damage of third persons, or
whose destruction, by the force of
floods, may cause such damage
509 No one may enter private property
to search waters or make use of
them without permission from the
owners, except as provided by the
Mining Law.
510 The ownership which the proprietor
of a piece of land has over the
waters rising thereon does not
prejudice the rights which the
owners of lower estates may have
legally acquired to the use thereof.
511 Every owner of a piece of land has
the right to construct within his
property, reservoirs for rain waters,
provided he causes no damage to
the public or to third persons.
Subterranean Waters
512 Only the owner of a piece of land, or
another person with his permission,
may make explorations thereon for
subterranean waters, except as
provided by the Mining Law.
Explorations for subterranean
waters on lands of public dominion
may be made only with the
permission of the administrative
authorities.
513 Waters artificially brought forth in
accordance with the Special Law of
Waters of August 3, 1866, belong to
the person who brought them up.
514 When the owner of waters
artificially brought to the surface
abandons them to their natural
course, they shall become of public
dominion.
General Provisions
515 The owner of a piece of land on
which there are defensive works to
check waters, or on which, due to a
change of their course, it may be
necessary to reconstruct such
works, shall be obliged, at his
election, either to make the
necessary repairs or construction
himself, or to permit them to be
done, without damage to him, by
the owners of the lands which suffer
or are clearly exposed to suffer
injury.
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516 The provisions of the preceding
article are applicable to the case in
which it may be necessary to clear a
piece of land of matter, whose
accumulation or fall may obstruct
the course of the waters, to the
damage or peril of third persons.
517 All the owners who participate in
the benefits arising from the works
referred to in the two preceding
articles, shall be obliged to
contribute to the expenses of
construction in proportion to their
respective interests. Those who by
their fault may have caused the
damage shall be liable for the
expenses.
518 All matters not expressly
determined by the provisions of this
Chapter shall be governed by the
special Law of Waters of August 3,
1866, and by the Irrigation Law.
Water code of the Philippines (PD1067)
Art 5 The following belong to the State:
(a) Rivers and their natural beds;
(b) Continuous or intermittent
waters of springs and brooks
running in their natural beds and the
beds themselves;
(c) Natural lakes and lagoons;
(d) All other categories of surface
waters such as water flowing over
lands, water from rainfall whether
natural, or artificial, and water from
agriculture runoff, seepage and
drainage;
(e) Atmospheric water;
(f) Subterranean or ground waters;
and,
(g) Seawater.
Art 6 The following waters found on
private lands belong to the State:
(a) Continuous or intermittent
waters rising on such lands;
(b) Lakes and lagoons naturally
occuring on such lands;
(c) Rain water falling on such lands;
(d) Subterranean or ground waters;
and,
(e) Water in swamps and marshes
The owner of the land where the
water is found may use the same for
domestic purposes without securing
a permit, provided that such use
shall be registered, when required
by the Council. The Council,
however, may regulate such when
there is wastage, or in times of
emergency.
MIDPROP | LD
Art 7 Subject to the provisions of this
Code, any person who captures or
collects water by means of cisterns,
tanks, or pools shall have exclusive
control over such water and the
right to dispose of the same.
Art 8 Water legally appropriated shall be
subject to the control of the
appropriator from the moment it
reaches the appropriator's canal or
aqueduct leading to the place where
the water will be used or stored and,
thereafter, so long as it is being
beneficially used for the purposes
for which it was appropriated.
Art 8 Water legally appropriated shall be
subject to the control of the
appropriator from the moment it
reaches the appropriator's canal or
aqueduct leading to the place where
the water will be used or stored and,
thereafter, so long as it is being
beneficially used for the purposes
for which it was appropriated.
2. MINERALS
519 Mining claims and rights and other
matters concerning minerals and
mineral lands are governed by
special laws
Philippines Mining Act of 1995 (RA 7942)
Sec 4 Mineral resources are owned by the
State and the exploration,
development, utilization, and
processing thereof shall be under its
full control and supervision. The
State may directly undertake such
activities or it may enter into
mineral agreements with
contractors.
The State shall recognize and
protect the rights of the indigenous
cultural communities to their
ancestral lands as provided for by
the Constitution.
DENR Dept Adm Order 2010-21
Sec 10 For Government Reservations, the
Department may directly undertake
exploration, development and
utilization of mineral resources. In
the event that the
Department can not undertake such
activities, these may be undertaken
by a Qualified Person: Provided,
That the right to explore, develop
and utilize the minerals found
therein shall be awarded by the
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President under such terms and
conditions as recommended by the
Director and approved by the
Secretary: Provided, further, That
such right shall be granted only after
exploration reveals the presence of
economically potential deposits:
Provided, finally, That the Permittee
who undertook the exploration of
said Reservation shall be given
priority.
3. TRADEMARKS AND TRADE NAMES
520 A trade-mark or trade-name duly
registered in the proper
government bureau or office is
owned by and pertains to the
person, corporation, or firm
registering the same, subject to the
provisions of special laws
521 The goodwill of a business is
property, and may be transferred
together with the right to use the
name under which the business is
conducted.
522 Trade-marks and trade-names are
governed by special laws
Intellectual Property Code of the Philippines (RA
8293)
147.1 The owner of a registered mark
shall have the exclusive right to
prevent all third parties not having
the owner’s consent from using in
the course of trade identical or
similar signs or containers for goods
or services which are identical or
similar to those in respect of which
the trademark is registered where
such use would result in a likelihood
of confusion. In case of the use, of
an identical sign for identical goods
or services, a likelihood of
confusion shall be presumed.
147.2 The exclusive right of the owner of
a well-known mark defined in
Subsection 123.1(e) which is
registered in the Philippines, shall
extend to goods and services which
are not similar to those in respect
of which the mark is registered:
Provided, That use of that mark in
relation to those goods or services
would indicate a connection
between those goods or services
and the owner of the registered
mark: Provided, further, That the
interests of the owner of the
registered mark are likely to be
damaged by such use
MIDPROP | LD
V. POSSESSION AND KINDS THEREOF
1. CONCEPT
523 Possession is the holding of a
thing or theenjoyment of a
right.
The definition of the term given by Article 523 is not
complete. As a distinct legal concept, possession is
the holding of a thing or the enjoyment of a right
with the intention to possess in one’s own right.
Article 523 presumes from the fact of possession the
intention to possess.
No need for actual or physical holding subject to
control – Manresa
MEDINA V. VALDELLON
An action for recovery of possession is totally distinct
and different from an action for recovery of title or
ownership. In fact, a judgment rendered in a case of
recovery of possession is conclusive only on the
question of possession and not that of ownership. It
does not in any way bind the title or affect the
ownership of the land or building
2. WHAT CAN BE POSSESSED
530 Only things and rights which are
susceptible of being
appropriated may be the object
of possession.
3. POSSESSION IN THE NAME OF ANOTHER
524 Possession may be exercised in
one’s own name or in that of
another.
Name under which possession may be exercised.
1) In one’s own name. — When possession is in one’s
own name, the fact of possession and the right to
such possession are found in the same person, such
as the actual possession of an owner or a lessor of
land.
(2) In the name of another. — When possession is in
the name of another, the one in actual possession is
without any right of his own, but is merely an
instrument of another in the exercise of the latter’s
possession, such as the possession of an agent,
servant, or guard. Possession in another’s name may
be:
(a) voluntary, when exercised by virtue of an
agreement; or
(b) necessary or legal when exercised by virtue
of law, such as the possession in behalf of
incapacitated persons (see Arts. 1327, 1329.)
and juridical entities. (see Art. 46.)
The unauthorized voluntary possession by a third
person in the name of another shall become
effective only after it is ratified by the latter. (see Art.
1317; 3 Manresa 81-86.)
Possession in the name of another may also be:
(a) physical or material, when the possessor is a mere
custodian or keeper of the property or funds
received and has no independent right or title to
retain or possess the same as against the owner,
such as the possession of money received by a teller
for the bank; or
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(b) juridical, when the possession gives the
transferee a right over the thing which the transferee
may set up against the owner, such as the possession
of an agent who receives the proceeds of sales of
goods delivered to him in agency by his principal.
4. POSSESSION AS OWNER V. POSSESSION AS HOLDER
WITH OWNERSHIP BELONGING TO ANOTHER
525 The possession of things or
rights may be had in one of two
concepts: either in the concept
of owner, or in that of the
holder of the thing or right to
keep or enjoy it, the ownership
pertaining to another person.
HEIRS OF JOSE EXTRAMADURA V. EXTRAMADURA
Although tax declarations or realty tax payments of
property are not conclusive evidence of ownership,
nevertheless, they are good indicia of possession in
the concept of owner for no one in his right mind
would be paying taxes for a property that is not in his
actual or at least constructive possession. They
constitute at least proof that the holder has a claim
of title over the property. The voluntary declaration
of a piece of property for taxation purposes
manifests not only one's sincere and honest desire to
obtain title to the property and announces his
adverse claim against the State and all other
interested parties, but also the intention to
contribute needed revenues to the Government.
Such an act strengthens one's bona fide claim of
acquisition of ownership.
LAMSIS V. DONG E
even if petitioners arguments attacking the
authenticity and admissibility of the Deed of
Quitclaim executed in favor of respondents father
are well-taken, it will not suffice to defeat
respondents claim over the subject property. Even
without the Deed of Quitclaim, respondents claims
of prior possession and ownership were adequately
supported and corroborated by her other
documentary and testimonial evidence. We agree
with the trial courts observation that, in the ordinary
course of things, people will not go to great lengths
to execute legal documents and pay realty taxes over
a real property, unless they have reason to believe
that they have an interest over the same
REPUBLIC V. CA
Tax declarations or tax receipts are good indicia of
possession in the concept of owner, it does not
necessarily follow that belated declaration of the
same for tax purposes negates the fact of possession,
especially in the instant case where there are no
other persons claiming any interest
5. POSSESSION IN GOOD FAITH V. POSSESSESION IN
BAD FAITH
526 He is deemed a possessor in
good faith who is not aware
that there exists in his title or
mode of acquisition any flaw
which invalidates it.
MIDPROP | LD
He is deemed a possessor in bad
faith who possesses in any case
contrary to the foregoing.
Mistake upon a doubtful or
difficult question of law may be
the basis of good faith.
NHA V. MANILA SEEDLING BANK FOUNDATION
He who receives the fruits has the obligation to pay
the expenses made by a third person in their
production, gathering, and preservation
TAN V. RAMIREZ
A compromise agreement is aimed to put at end to
litigation; it does not create or transmit ownership
rights over a property. A deed of sale could not also
be used as a basis for showing good faith in cases of
acquisitive prescription. Good faith, or the want of it,
can be ascertained only from the acts of the one
claiming it, as it is a condition of mind that can only
be judged by actual or fancied token or signs.
SPS CHUA V. SORIANO
every person dealing with registered land may safely
rely on the correctness of the certificate of title
issued therefor and the law will in no way oblige him
to go beyond the certificate to determine the
condition of the property.
PLEASANTVILLE DEVT CORP V. CA
Good faith consists in the belief of the builder that
the land he is building on is his and his ignorance of
any defect or flaw in his title.
KASILAG V. ROQUE
Gross and inexcusable ignorance of the law may not
be the basis of GF but excusable ignorance may be
such basis (if it is based upon ignorance of a fact.) It
is a fact that the petitioner is not conversant w/ the
laws bec. he is not a lawyer. In accepting the
mortgage of the improvements he proceeded on the
well-grounded belief that he was not violating the
prohibition regarding the alienation of the land. In
taking possession thereof and in consenting to
receive its fruits, he did not know, as clearly as a jurist
does, that the possession and enjoyment of the fruits
are attributes of the contract of antichresis and that
the latter, as a lien, was prohibited by Sec. 116. Thus,
as to the petitioner, his ignorance of the provisions
of sec. 116 is excusable and may be the basis of good
faith.
LEUNG LEE V. STRONG
Though the sale to Strong Machinery Co. was not
recorded in the proper registry, it was the first the
possess the property in good faith
6. PRESUMPTION OF GOOD FAITH
527 Good faith is always presumed,
and upon him who alleged bad
faith on the part of a possessor
rests the burden of proof
7. CESSATION OF GOOD FAITH
528 Possession acquired in good
faith does not lose this
character except in the case and
from the moment facts exist
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 MIDPROP | LD

which show that the possessor

is not unaware that he
possesses the thing improperly
or wrongfully.
8. PRESUMPTION OF CONTINUITY OF CHARACTER OF
POSSESSION
529 It is presumed that possession
continues to be enjoyed in the
same character in which it was
acquired, until the contrary is
proven.

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