Article 538 - Article 552

Presented by: Justice Wee

 ARTICLE 538

- Possession as a fact cannot be recognized at the

same time in two diffrent personalities except in the
case of co-possession. should a question arise
regarding the fact of possesion, the present possessor
shall be prefered; if the dates of the possession are the
same, the one who presents a title; and if all these
conditions are equal, the thing shall be placed in
judicial deposit pending determination of its
possession or ownership through proper proceedings.
 ARTICLE 538
Rules or criteria to be used in case of conflict or
dispute regarding possession (BAR)

- present possessor shall be preffered

- if both are present, the one longer in possession
-If both began to possess at the same time, the one who
present (or has) a title
- if both presents a title, the court will determine.
 ARTICLE 538
Preference of ownership ( Not possession)
- Movable property
- Given to the person who first possessed it in good faith.

-Immovable property
- Given to the person who first registered in good faith in the registry
of property.
- If no registration, to the person who first possessed it in good faith
-If no possession, then to the person with the oldest title ( provided
that it had been acquired in good faith)
 ARTICLE 539
EFFECTS OF POSSESSION
- Every possessor has a right to be respected in his possession; and should he
be disturbed therein he shall be protected in or restored to said possession
by the means established by the laws and rules of court

A possessor deprived of his possession through forcible entry may within 10

days from the filing of the complaint present a motion to secure from the
competent court, in the action for forcible entry, a writ of prelimenary
mandatory injunction to restore him in his possession. the court shall decide
the motion wihtin 30 days from the filling thereof.
 ARTICLE 539
Legal means for restoration to possession
- Owner should go to court, rather then taking matters to own hands.

- If a tenant is illegally forced out of property, may institue an action for

forcible entry

-The proper actions are Forcible entry or unlawful detainner

- Injunction is not the proper remedy but, Accion reivindictoria would be

better, Even if theres is still a pending accion reinvindictoria, two actions
can co-exist.
 ARTICLE 539

Requisites for the issuance of the writ

-In forcible entry cases - may file within 10 days
from the time the complaint forcible entry is filed

- In ejectment - may file within 10 days from the

time the appeal is perfected.
 ARTICLE 540

- Only the possession acquired and enjoyed in

the concept of owner can serve as a title for
acquiring dominion.
 ARTICLE 540

The following cannot acquire owership by prescription

- Lessees - merely permitted to occupy
- Trustess - minors or insane
- Antichretic creditors -
-Agents
- Attorneys - (Regarding their clients properties)
-Depositories
-Co- owners
 ARTICLE 540

Payement of land taxes - Usefullness

- Payment of land taxes is not evidence of
ownership, but it shows the willingness of a person
to possess with claim of ownership.

- Tax declaration and receipts are NOT conclusive

evidence of ownership, But when both are
presented with proof of actual possession, it is
strong evidence.
 ARTICLE 541

-A possessor in the concept of owner has in his

favor the legal presumption that he possesses
with a just title and he cannot be obliged to
show or prove it.
 ARTICLE 541
Diffrence with respect to”just title” In the chapter of
possession and in the chapter of prescription

In possession In prescription
- Just title is presumed - Title must be Proved

-True and valid title -Colorable title,

sufficients to transfer Grantor is not the
ownership owner.
 ARTICLE 541

Kinds of possession
1. True and valid title - Grantor is the owner, by itself is
sufficient to Transfer ownership without letting the
prescriptive period elapse

2.Colorable title - Grantor is not the owner, “Colorable”

-Ordinary prescription - good faith and just title, becomes
owner by prescription after 4 years.
-Extraordinary Prescription - Not need good faith, or just title,
may get ownership by prescription only after 8 years
 ARTICLE 541

in case of real properties prescription period

-ordinary - 10 years
- extraordinary- 30 years
 ARTICLE 541

Kinds of possession
- Putative title - Person believes to be the owner, no mode of
aquiring ownership. Ex. Mistakenly inherited.
 ARTICLE 542

-The possession of real property presumes

that of the movables therein, so long as it is
not shown or proved that they should be
excluded.
 ARTICLE 542

Applicability of the article

- possessor be in good faith or bad faith.

- possession be in own name or in another.

-Possession in the concept of the holder, presumed to be

the possessor.
 ARTICLE 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.
 ARTICLE 543
Interruption in:
Possession of the WHOLE Possession of PART
-Expiration affects the - Expiration is directly
WHOLE land proportinal to a part of the
land
- If it expires in 4 years then
the whole land is expired - If half of the land expires in
already. four years, then they still get
to keep the other unexpired
land.
 ARTICLE 544

-A possessor in good faith is entitled to the fruits

received before the possession is legally interrupted.

Natural and industrial fruits are considered received

from the time they are gathered or severed.

Civil fruits are deemed to accrue daily and belong to

the possessor in good faith in that proportion.
 ARTICLE 545
-If at the time the good faith ceases, there should
be any natural or industrial fruits, the possessor shall have
a right to a part of the expenses of cultivation, and to a part
of the net harvest, both in proportion to the time of the
possession.

The charges shall be divided on the same basis by the

two possessors.
 ARTICLE 545

The owner of the thing may, should he so desires, give

the possessor in good faith the right to finish the cultivation
and gathering of the growing fruits, as an indemnity for his
part of the expenses of cultivation and the net proceeds; the
possessor in good faith who for any reason whatever should
refuse to accept this concession, shall lose the right to be
indemnified in any other manner
 ARTICLE 545

-proportions for net harvest should be divided 1:2, 1 for

possessor and 2 for owner

- Expenses for cultivation is also 1:2.

-Possessor is entitled a reimbursement of less since his

possession is shorter.

-If fruits are less than expenses, has the right to be reimbursed
to the amount of their respective expenses which would be a
pro rata loss
 ARTICLE 546
-Necessary expenses shall be refunded to every
possessor; but only the possessor in good faith may retain
the thing until he has been reimbursed therefor.

Useful expenses shall be refunded only to the possessor

in good faith with the same right of retention, the person
who has defeated him in the possession having the option
of refunding the amount of the expenses or of paying the
increase in value which the thing may have acquired by
reason thereof.
 ARTICLE 546

sample of nesessary expense

- cultivation, production, and nesessary repairs of a
house
-Ordinary repairs - Does not increase the value but
rather keeps it from being useless.
 ARTICLE 546

Flores v. Lim
50 Phil. 738

FACTS: The real property of A, a debtor, was sold

at a sheriff’s sale to B. A, under the law, had one year
within which to redeem said property (lands). But within
said period, B, by force, took possession of the property,
planted coconut trees thereon and make some extensive
improvements. Before the time for redemption expired, A
was able to redeem the property.
ISSUE: Is B entitled to reimbursement for the coconut trees he
had planted as well as for the other improvements?
 ARTICLE 546

Useful expenses - those that add value,

increses the objects productivity of spiritual
and religious yearnings. Gives rise to all kinds of
fruits

ex. Irrigation system, chapels, fishponds,

addditional rooms built in a house.
 ARTICLE 546

Rights of a possessor ( in the concept of owner)

as to nesessary expenses

if in good faith
- Entitled to refund, and to retain the premises till
paid

- If owner sues possessor in good faith, possessor

must file a counterclaim for the refund and useful
expense.
 ARTICLE 546

rights of a possessor ( in the concept of owner)

as to nesessary expenses

if in bad faith
- Only refund and no retention
 ARTICLE 546

Sometimes, necessary expenses or

improvements could be consisdered luxury
expenses if only certain or definite
possessors would benefit from it.
 ARTICLE 547

If the useful improvements can be removed without

damage to the principal thing, the possessor in good faith
may remove them, unless the person who recovers the
possession exercises the option under paragraph 2 of the
preceding article.
 ARTICLE 548

Expenses for pure luxury or mere pleasure

shall not be refunded to the possessor in good faith; but
he may remove the ornaments with which he has
embellished the principal thing if it suffers no injury
thereby, and if his successor in the possession does not
prefer to refund the amount expended.
 ARTICLE 548

Right of a possessor ( in the concept of owner) with

reference to luxurious or ornamental expenses, in genral
no right of refund or retention

If in good faith
-Possessor can remove item if owner doesen’t wish to keep
it.
- Or owner retains it and refunds the amount spents.
 ARTICLE 548

Right of a possessor ( in the concept of owner) with

reference to luxurios or ornamental expenses,
in general no right of refund or retention

if in bad faith
- possessor can still remove it
- if owner retains to himself and its value being in the time
owner enters into possession which is lesser.
 ARTICLE 549
The possessor in bad faith shall reimburse the fruits received
and those which the legitimate possessor could have
received, and shall have a right only expenses mentioned in
paragraph 1 of Article 546 (usesful and neccesary)and in
Article 443( expenses by third person). The expenses incurred
in improvements for pure luxury or mere pleasure shall not be
refunded to the possessor in bad faith; but he may remove the
objects for which such expenses have been incurred, provided
that the thing suffers no injury thereby, and that the lawful
possessor does not prefer to retain them by paying the value
they may have at the time he enters into possession
 ARTICLE 549

Rights of a possessor in bad faith

- If the value of a thing is higher at that time,

but then since it was acted in bad faith, the
amount to be refunded should not exceed
the original price.
 ARTICLE 549

Rights of the possessor (In the concept of the

owner) regarding fruits
If in Good faith
- gathered severed fruits are his own
-pending or ungathered fruits pro rata with owner.

if in bad faith
- gathered fruits and its value must be returned as well as the value of the
fruits the owner could have received, MINUS the necessary expenses for
cultivation, gathering and harvesting.

- No right for pending or ungathered fruits

 ARTICLE 550

The costs of litigation over the property shall

be borne by every possessor.
 ARTICLE 551

Improvements caused by nature or time shall always

inure to the benefit of the person who has
succeeded in recovering possession.
 ARTICLE 551

Improvements caused by nature -

alluvium

Improvements cause by time - Flavor

off aged wine
 ARTICLE 552

A possessor in good faith shall not be liable for

the deterioration or loss of the thing possessed,
except in cases in which it is proved that he has
acted with fraudulent intent or negligence, after the
judicial summons.

A possessor in bad faith shall be liable for

deterioration or loss in every case, even if caused by
a fortuitous event.
 ARTICLE 552

Rules
Possessor in good faith
- Before receipt of judicial sumons/ after judicial summons -
NOT LIABLE
- Through fraudelent intent or negligence - LIABLE

Possessor in bad faith

- Before or after judicial summons - LIABLE
Thank you!