RIGHTS OF ACCESSION WITH RESPECT TO IMMOVABLE PROPERTY
I.​ ​Landowner is the Improver ( art. 447)
Landowner (LO) and BPS
Good Faith
All works, sowing, and planting are
presumed to have been made by the
landowner and at his expense (Art. 446)
Right to appropriate the works, sowing,
and planting made in good faith after
payment of the indemnity provided for in
Articles 546 and 548. (Art. 448)
LO becomes the owner of the materials
but he shall pay their value (Art. 466)
May return the materials IF he can do so
without injury to the work constructed
Bad Faith
Liable to the owner of materials for the
value of the materials used and is also
obliged to the reparation of damages (Art.
447)
LO becomes owner of the materials but he
shall pay their value (Art. 466)
Liable for damages to OM
Good Faith
Owner of Materials (OM)
Good Faith
Entitled to payment for the value of the
materials used by the landowner (Art. 447)
Right to remove the materials ​only​ in case
he can do so without injury to the work
constructed, or without the planting,
constructions or works being destroyed
(Art. 447)
Good Faith
Entitled to payment for the value of the
materials used by the landowner (Art. 447)
Right to remove the materials in any event
even if it causes injury to the work
constructed (Art. 447)
Entitled to indemnification for damages
Bad Faith
Acquire improvements and without If he acted in bad faith, he loses all the right
indemnity to the owner of materials and to be indemnified. (Art. 449) He can be held
collect damages (Arts. 546 and 449). liable for consequential damages without
right of removal whether or not injury be
caused.

Bad Faith Bad Faith

To be in good faith (art. 453) To be in good faith (Art. 453)

1. Acquire improvements and pay the 1. Collect value of materials from

owner of the materials LO/BPS.
2. Remove only if without injury (Art.
455, 447)

All works, sowing, and planting are
presumed to have been made by the
landowner and at his expense (Art. 446)
Right to appropriate the works, sowing,
and planting made in good faith after
payment of the indemnity provided for in
Articles 546 and 548. (Art. 448)
Entitled to payment for the value of the
materials used by the landowner (Art. 447)
Right to remove the materials only in case
he can do so without injury to the work
constructed, or without the planting,
constructions or works being destroyed
(Art. 447) - ​there is no accession

LO becomes the owner of the materials

but he shall pay their value (Art. 466)

II.​ ​Landowner is not the BPS (arts. 448-454)

Landowner (LO) BPS is also Owner of

materials

Good Faith Good Faith

Rights: Rights:

1. To appropriate as his own the 1. Receipt of indemnity provided for in

works, sowing or planting; ​after articles 546 and 548
 payment of the indemnity provided a. Necessary expenses shall
for in articles 546 and 548 be refunded to every
2. To oblige the one who built or possessor; but only the
planted to pay the price of the land possessor in good faith may
a. To oblige the one who retain the thing until he has
sowed, the proper rent (Art. been reimbursed therefor
448) b. Expenses for pure luxury or
mere pleasure shall not be
Obligation: refunded to the possessor in
good faith; ​but​ he may
1. Payment of the indemnity provided remove the ornaments with
for in 546 and 548, if he elects which he has embellished
appropriation the principal thing ​if it suffers
2. No compulsion to the builder, no injury thereby​, and if his
planter, or sower to remove his successor in the possession
works, planting or sowing does not prefer to refund the
amount expended.
2. The builder or planter cannot be
obliged to buy the land if its value is
considerably more than that of the
building or trees.

Obligation:

1. Transfer of possession of work,

planting or sowing upon payment by
owner in good faith
2. He shall pay reasonable rent, ​if the
owner of the land does not choose
to appropriate the building or trees
after proper indemnity

Good Faith Bad Faith

Rights: Rights:

1. The work, planting, or sowing of the 1. Reimbursement for the necessary

builder, planter, or sower in bad expenses of preservation of the
faith (Art. 449) land. (Art. 452)
2. The demolition of the work, or
removal of the planting and sowing, Obligations:
at the expense of the builder,
planter or sower​ (Art. 450) 1. To lose w​ hat is built, planted or
3. To compel the builder or planter to sown without right to indemnity.
pay the price of the land (Art. 449)
 a. To compel the sower to pay
the proper rent (Art. 450)
4. Damages from the builder, planter
or sower. (Art. 451)
Bad Faith
RIGHTS:
● To become the owner of the
materials/buildings/plantings/sowin
gs
OBLIGATIONS:
● To pay for the value of the
materials/buildings/plantings/sowin
gs; and
● To indemnify the BPS for damages.
Bad Faith
RIGHTS:
● To choose between the ff.
alternatives:
● OPTION 1: To appropriate as his
own the works, sowing or planting
upon payment of indemnity.
● OPTION 2: To oblige the B/P to
pay the price of the land and the S
to pay the proper rent.(Art.448)
○ If the value of the land is
considerably more than that
of the improvements, B/P
cannot be compelled to pay
for the value of the land.
○ Reasonable rent shall be
paid by the B/P if the LO
does not choose OPTION
1.
● The LO can demand removal if he
chooses OPTION 2 but the BPS
defaulted in payment.
2. To pay for land or its lease, if said
option is elected by the landowner
(Art. 450)
3. To pay damages to the landowner
(Art. 451)
Good Faith
RIGHTS:
● To remove the works in any event,
whether or not injury will be caused
to the land; and
● To be indemnified for damages.
(Art. 454 in relation to Art. 447)
Bad Faith
RIGHTS:
● To compel the LO to exercise any
of the two options available
● To receive reimbursement if LO
chooses OPTION 1
● Right to retain the property (both
land and improvement) until he has
been reimbursed by the LO for the
necessary and useful expenses
○ This is applicable only when
private land is involved
● Non-liability for rentals while he
retains the property
● To be reimbursed for necessary
and useful expenses
○ Fruits received during period
of retention cannot be offset
with expenses to be
reimbursed to him
OBLIGATIONS:
OBLIGATIONS: ● To pay for the value of the land
(B/P) or pay rentals (BPS) if LO
● To exercise the options available
chooses OPTION 2
and to communicate his choice to
the BPS ● To vacate the premises if the
improvements are destroyed
● To indemnify the BPS if he elects
without fault of the LO by fortuitous
OPTION 1
event
● Not to compel the BPS to remove
the improvements without first
exercising any of his options
● Exemption: When the property is
"transferable" or "transitory" nature
(​Alviola v. Court of Appeals)​ .

III.​ ​Landowner, BPS and Owner of Materials are different persons (Arts.

445,447,448,455,546)
 Landowner Builder, Planter, Sower Owner of Materials

Good Faith Good Faith Good Faith

OPTION 1: Rights under Option 1: Rights:

Acquire the improvements (Art.
448)
Obligations under Option 1:
(1)Pay the value of
improvement
(2)Pay the value of necessary
and useful expenses (Art. 546)
(3)Subsidiarily liable to OM
(Art. 455)
(1)Right to reimbursement
(2)Right of retention for
necessary and useful
expenses (Art. 546)
Obligations to OM:
(1) Pay value of materials (Art.
455)
(1)Right to collect value of
materials primarily from BPS,
and subsidiarily from LO if
BPS is insolvent (Art. 455)
(2)Right to remove materials if
can be done without causing
injury to the work constructed
(Art. 447)

OPTION 2:
If land < improvement,
•Sell the land to BP
If land > improvement,
•Require proper rent from BP
•
For the case of S,
•LO may require proper rent
since sowing is a temporary
use of the land. (Art. 448)
• •Pay proper to rent to LO
Obligations to OM:
(1) Subsidiarily liable to OM
(Art. 455)
Obligations under Option 2:
If land < improvement,
•Pay the value of the land to
LO
If land > improvement,
•Pay proper rent to LO
For the case of S,
(Art. 448)
•
Obligations to OM:
(1) Pay value of materials (Art.
455)

Good Faith Good Faith Bad Faith

OPTION 1:
Acquire the improvements (Art.
448)
Obligations under Option 1:
(1)Pay the value of
improvement to BPS
(2)Pay the value of necessary
and useful expenses to BPS
(Art. 546)
OPTION 2:
If land < improvement,
•Sell the land to BP
If land > improvement,
•Require proper rent from BP
For the case of S,
•LO may require proper rent
since sowing is a temporary
use of the land.
Good Faith
As to the BPS
1. ​Acquire the
improvements​ ​without
paying for indemnity [Art.
449]. OR has the Options to
either: [Art. 450]
a. Demand the
demolition​ of the
work, or that the
planting or sowing
be removed; OR
b. Compel BP to pay
the price of the
land​, and S to pay
rent
2. Right ​to collect
damages​ from BPS [Art.
451]
Rights under Option 1: Rights:
(1)Right to reimbursement No right to collect the value of
(2)Right of retention for material (Art. 455. 449)
necessary and useful
expenses (Art. 546)
Rights against OM: Obligations to BPS:
(1)Appropriate the materials (1) Pay consequential
(2)Collect damages from OM damages to BPS
Obligations under Option 2:
If land < improvement,
•Pay the value of the land to
LO
If land > improvement,
•Pay proper rent to LO
For the case of S,
•Pay proper to rent to LO
Rights against OM:
(1)Appropriate the materials
Collect damages from OM
Bad Faith Bad Faith
1. ​Loses​ what is built, 1. Can recover from BPS
planted or sown, ​without (as if both were in good
right to indemnity faith)
2. May still ​recover the 2. If BPS acquires the
necessary expenses​ for improvements, has the right
preservation of land unless to remove the materials if it
LO sells land [Art. 452] is feasible without injury
As to the LO
1. Liable to the LO for
consequential damages
without right of removal
(Art. 447)
3. Still has to pay the
necessary expenses ​to
BPS [Art. 452]

As to the OM

4. Not subsidiary liable to

the OM, if the BPS pays the
value of the materials.

Bad Faith Good Faith Good Faith

1. Acquires the As to the LO As to the LO

improvements after:
a. Paying indemnity
and damages to
BPS, UNLESS BPS
decides to remove
the improvements
As to the OM: [​ Art. 447]
3. Subsidiarily liable to the
OM for value of the
materials, if he acquires the
improvements and pays
damages to the BPS
- No subsidiary
liability if BPS
chooses removal
1. Remove improvements,
in any event
2. Right to be ​indemnified
by the LO for any damages
As to the OM
3. Pay the OM the value of
the materials
1. Remove materials, in any
event (only if LO acted in
BF) (Art. 447)
2. Subsidiarily collect from
LO for the value of the
materials, if he is made to
pay for the improvements,
or if BPS has no property to
pay with (Art. 455)
As to the BPS
3. Collect value of materials
primarily from BPS

Bad Faith Bad Faith Good Faith

1.​ ​Acquire 1.​ ​Right of retention 1.​ ​Collect

value of
improvements after until reimbursed for materials and
indemnity to B,P,S; necessary expenses damages primarily
OR such as from B,P,S and
preservation of the subsidiarily from LO;
2.​ ​Sellto B,P except if land(Spouses
the value of the land Suguid vs. CA); 2.​ ​If
B,P,S acquires the
is considerably more improvements,
than the remove materials in
improvements;
 3.​ ​Rent to S; 2.​ ​Pay value of any event with right
materials to OM and to collect damages
(Sarmiento vs. Agana) pay him damages

4.​ ​Subsidiarily liable to

OM (Civil Code Arts. 447, 455)
(Civil Code Arts. 447, 546)

(Civil Code Arts. 448,

453,455, 546, 548)

Good Faith Bad Faith Good Faith

1.​ ​Acquire 1.​ ​Recover necessary 1.​ ​Collect

value of
improvements expenses such as materials and
without paying cost of preservation damages from
indemnity and of land; B,P,S and
collect damages; subsidiarily from
OR 2.​ ​Lose improvements LO;
without right to
2.​ ​Compel B,P to pay retention from LO 2.​ ​If
B,P,S acquires
the price of the land unless LO chose to the improvements,
and rent to S and sell the land remove materials in
collect damages; (Floreza vs. any event and right
OR Evangelista); to collect damages

3.​ ​Demolish and 3.​ ​Pay damages. (Civil Code Arts. 447, 455)
restore at the
expense of B,P,s (Civil Code 443, 449, 451)
and collect
damages;

4.​ ​Pay necessary

expenses such as
cost of preservation
of land to B,P,S;

5.​ ​Subsidiarily liable

to OM

(Civil Code Arts. 449, 450,

451,452,455)

Bad Faith Good Faith Bad Faith

 1.​ ​Acquire 1.​ ​Indemnity for 1.​ ​No indemnity
improvements and damages
pay indemnity and 2.​ ​Lose materials
damages to B,P,S 2.​ ​Remove

improvements in 3.​ ​Pay damages

(Civil Code Arts. 447 and any event
454) (Civil Code Art. 20, 449)
(Civil Code Arts. 447 and
454)