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2 - Luis Pichel Vs Prudencio Alonzo - GRNo L 36902 - January 30 1982 PDF
2 - Luis Pichel Vs Prudencio Alonzo - GRNo L 36902 - January 30 1982 PDF
2 - Luis Pichel Vs Prudencio Alonzo - GRNo L 36902 - January 30 1982 PDF
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344
VOL. 111, JANUARY 30, 1982 343
plaintiff was proved to have alienated the land to another, in 346 SUPREME COURT REPORTS ANNOTATED
violation of law. In 1972, plaintiff’s rights to the land were
reinstated. Pichel vs. Alonzo
“On August 14, 1968, plaintiff and his wife sold to defendant
all the fruits of the coconut trees which may be harvested in the denominated by the parties as a deed of sale of fruits of the
land in question for the period, September 15, 1968 to January 1, coconut trees found in the vendor’s land, it actually is, for
1976, in consideration of P4,200.00. Even as of the date of sale, all legal intents and purposes, a contract of lease of the
however, the land was still under lease to one, Ramon Sua, and it land itself. According to the Court:
was the agreement that part of the consideration of the sale, in
“x x x the sale aforestated has given defendant complete control
the sum of P3,650.00, was to be paid by defendant directly to
and enjoyment of the improvements of the land. That the contract
Ramon Sua so as to release the land from the clutches of the
is consensual; that its purpose is to allow the enjoyment or use of
latter. Pending said payment plaintiff refused to allow the
a thing; that it is onerous because rent or price certain is
defendant to make any harvest.
stipulated; and that the enjoyment or use of the thing certain is
“In July 1972, defendant for the first time since the execution
stipulated to be for a certain and definite period of time, are
of the deed of sale in his favor, caused the harvest of the fruit of
characteristics which admit of no other conclusion, x x x The
the coconut trees in the land.
provisions of the contract itself and its characteristics govern its
x x x x x x x x x 4
nature.”
“Considering the foregoing, two issues appear posed by the
complaint and the answer which must needs be tested in the The Court, therefore, concluded that the deed of sale in
crucible of a trial on the merits, and they are: question is an encumbrance prohibited by Republic Act No.
“First.—Whether or nor defendant actually paid to plaintiff the 477 which provides thus:
full sum of P4,200.00 upon execution of the deed of sale.
“Second.—Is the deed of sale. Exhibit ‘A’, the prohibited2 “Sec. 8. Except in favor of the Government or any of its branches,
encumbrance contemplated in Section 8 of Republic Act No. 477?” units, or institutions, land acquired under the provisions of this
Act or any permanent improvements thereon shall not be subject
Anent the first issue, counsel for plaintiff Alonzo to encumbrance or alienation from the date of the award of the
subsequently “stipulated and agreed that 3his client x x x land or the improvements thereon and for a term of ten years
admits full payment thereof by defendant.” The remaining from and after the date of issuance of the certificate of title, nor
issue being one of law, the Court below considered the case
shall they become liable to the satisfaction of any debt contracted immediate reversion of the property subject of the award,
prior to the expiration of such period. to the State. Speaking through Mr. Justice J.B.L. Reyes,
“Any occupant or applicant of lands under this Act who this Court ruled that “until and unless an appropriate
transfers whatever rights he has acquired on said lands and/or on proceeding for reversion is instituted by the State, and its
the improvements thereon before the date of the award or reacquisition of the ownership and possession of the land
signature of the contract of sale, shall not be entitled to apply for decreed by a competent court, the grantee cannot be said to
another piece of agricultural land or urban, homesite or have been divested of whatever
8
right that he may have
residential lot, as the case may be, from the National Abaca and over the same property.”
Other Fibers Corporation;
5
and such transfer shall be considered There is nothing in the record to show that at any time
null and void.” after the supposed cancellation of herein respondent’s
award on
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4 Ibid., pp. 17-18.
5 This provision has been amended by Section 2 of Presidential Decree may sell, cede, transfer, or convey his rights and interests therein,
No. 967, promulgated on June 24, 1976, to read as follows: “Sec. 8. Any including the permanent improvements on the land, to any interested
provision of law, executive order, rules or regulations to the contrary party.”
notwithstanding, an applicant who has acquired land pursuant to the 6 Decision of the lower Court dated January 5, 1973, Original Record on
provisions of this Act and to whom a certificate of title has been issued Appeal, p. 19.
covering such land 7 L-23302, September 25, 1968, 25 SCRA 153.
8 Ibid., p. 160.
347
348
353 354
VOL. 111, JANUARY 30, 1982 353 354 SUPREME COURT REPORTS ANNOTATED
Pichel vs. Alonzo Pichel vs. Alonzo
The purpose of the law is not violated when a grantee sells “Art. 2208. In the absence of stipulation, attorney’s fees and
the produce or fruits of his land. On the contrary, the aim expenses of litigation, other than judicial costs, cannot be
of the law is thereby achieved, for the grantee is recovered, except:
encouraged and induced to be more industrious and
(1) When exemplary damages are awarded;
productive, thus making it possible for him and his family
to be economically self-sufficient and to lead a respectable (2) When the defendant’s act or omission has compelled the
life. At the same time, the Government is assured of plaintiff to litigate with third persons or to incur expenses
payment on the annual installments on the land. We agree to protect his interest;
with herein petitioner that it could not have been the (3) In criminal cases of malicious prosecution against the
intention of the legislature to prohibit the grantee from plaintiff;
selling the natural and industrial fruits of his land, for (4) In case of a clearly unfounded civil action or proceeding
otherwise, it would lead to an absurd situation wherein the against the plaintiff;
(5) Where the defendant acted in gross and evident bad faith The Court may review the decision of the Director of
in refusing to satisfy the plaintiff’s plainly valid, just and Lands only in a direct proceeding therefor and not
demandable claim; collaterally. (Firmalo vs. Tutaan, 53 SCRA 505.)
(6) In actions for legal support; Titles issued over non-alienable public lands are void ab
(7) In actions for the recovery of wages of household helpers,
initio.
laborers and skilled workers;
Mere inadequacy of price does not vitiate a contract of
sale. (Alsua-Betts vs. Court of Appeals, 92 SCRA 332.)
(8) In actions for indemnity under workmen’s compensation
A contract of sale is void where the price which appears
and employer’s liability laws;
as paid has in fact never been paid by the purchaser to the
(9) In a separate civil action to recover civil liability arising vendor and not considered consummated. (Castillo vs.
from a crime; Galvan, 85 SCRA 526.)
(10) When at least double judicial costs are awarded; A contract of sale which stipulate payment of interest at
(11) In any other case where the court deems it just and 4% per annum in case vendor fails to issue a certificate of
equitable that attorney’s fees and expenses of litigation title to vendee is not a penal clause because even without it
should be recovered. vendee would be entitled to interest at the legal rate of 6%
per annum. (Robes-Francisco Realty & Development
In all cases, the attorney’s fees and expenses of litigation must Corporation vs. Court of First Instance of Rizal, 86 SCRA
be reasonable.” 59.)
A contract of sale is perfected the moment there is
We find that none of the legal grounds enumerated above agreemerit upon the thing object of the contract and upon
exists to justify or warrant the grant of attorney’s fees to the price. (Philippine Virginia Tobacco Administration vs.
herein respondent. De los Angeles, 87 SCRA 197.)
IN VIEW OF THE FOREGOING, the judgment of the Vendee who neglected to register the sale of property to
lower Court is hereby set aside and another one is entered him but in good faith first took possession of the land had
dismissing the Complaint. Without costs. better right over the property under Article 1594 of the
SO ORDERED. Civil Code. (Salvoro vs. Tañega, 87 SCRA 359.)
Teehankee (Chairman), Makasiar, Fernandez, 356
Melencio-Herrera and Plana, JJ., concur.