INTRODUCTION TO LAWS ON PRIVATE AND PUBLIC LANDS

LEGAL BASES:
1. The 1987 Constitution of the Philippines
2. The New Civil Code of the Philippines particularly Book II
thereof (Property, Ownership, and its Modifications)
3. Commonwealth Act No. 141, otherwise known as the Public
Land Act
4. Presidential Decree 1529 also known as Property Registration
Decree
5. Other Existing Laws and law which may thereafter be enacted

PROPERTY – Anything which is may be the object of appropriation. (Art

414, NCC)
1. CLASSIFICATION OF PROPERTY:

 According to Nature:
1. Immovable or real property
2. Movable or personal property

 According to Ownership:
1. Public Dominion
2. Private Ownership

 The following are immovable property (Art. 415, NCC):

1. Land, buildings, roads and constructions of all kinds adhered to

the soil;
2. Trees, plants, and growing fruits, while they are attached to the
land or form an integral part of an immovable;
 3. Everything attached to an immovable in a fixed manner, in such a
way that it cannot be separated therefrom without breaking the
material or deterioration of the object;
4. Statues, reliefs, paintings or other objects for use or
ornamentation, placed in buildings or on lands by the owner of
the immovable in such a manner that it reveals the intention to
attach them permanently to the tenements;
5. Machinery, receptacles, instruments or implements intended by
the owner of the tenement for an industry or works which may be
carried on in a building or on a piece of land, and which tend
directly to meet the needs of the said industry or works;
6. Animal houses, pigeon-houses, beehives, fish ponds or breeding
places of similar nature, in case their owner has placed them or
preserves them with the intention to have them permanently
attached to the land, and forming a permanent part of it; the
animals in these places are included;
7. Fertilizer actually used on a piece of land;
8. Mines, quarries, and slag dumps, while the matter thereof forms
part of the bed, and waters either running or stagnant;
9. Docks and structures which, though floating, are intended by their
nature and object to remain at a fixed place on a river, lake, or
coast;
10. Contracts for public works, and servitude and other real rights
over immovable property.

 Different classes of immovable/real properties (NIDA):

1. Immovable by Nature – those which cannot be moved or

transferred from place to place such as lands and roads as mentioned
in Nos. 1 and 8 in the above enumeration.

2. Immovable by Incorporation – those attached to an immovable in

such manner as to form an integral part thereof, such as those
mentioned in Nos. 1 (except land and road), 2, 3 and 4 above.
 3. Immovable by Destination – those which are places in an
immovable for the use, exploitation or perfection of such immovable
such as those mentioned in Nos. 4, 5, 6, 7 and 9 above. (At quick
glance it would seem that these immovables are movable the fact
that they are capable of being moved or transferred from place to
place, however, they are considered immovable because of the
usefulness in relation to the immovable to which they can be found or
destined.)

4. Immovable by Analogy – those which are considered immovables

by operation of law such as those mentioned in No. 10.

 Properties of Public Dominion/Public Domain

The following are enumerated in Articles 20 and 24 of the New
Civil Code as properties of public dominion.
1. Those intended for public use, such as roads, canals, rivers,
torrents, ports and bridges constructed by the State, banks, shores, road
steads, and others of similar character;
2. Those which belong to the State, without being for public use,
and are intended for some public services or for the development of the
national wealth.
3. Property for public use, in the provinces, cities, and
municipalities, consist of the provincial roads, city streets, municipal
streets, the squares, fountains, public waters, promenades, and public
works for public services paid for by said provinces, cities, or
municipalities.
 Characteristics of property of public dominion
Property of public dominion are beyond or outside the commerce
of man, hence:
1. They cannot be appropriated;
2. They cannot be the subject matter of contracts; hence they
cannot be alienated or encumbered;
3. They cannot be acquired through prescription;
4. They cannot be subject of attachment or execution;
5. They cannot be burdened by any involuntary easement.

 Patrimonial property of the State (Art. 421 & 424, NCC)

These are properties of the State which are not included for
public use, or for public service, or for the development of the national
wealth, as well as those properties of the provinces, cities and
municipalities which are not intended for public use.
 Different kinds of public lands under CA 141
Under the Commonwealth Act 141, otherwise known as Public
Land Act, it was enumerated therein the different kinds of public lands as
it provides that public dominion is synonymous to public lands:
1. Reclaimed lands,
2. Foreshore lands,
3. Marshy lands; and
4. Other lands of similar nature which are not included in the
first three enumerations.

 Property of private ownership (Art. 425, NCC)

Property of the 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.
PART II – OWNERSHIP

 OWNERSHIP
May be defined as the independent right of exclusive enjoyment
and control of a thing for the purpose of derivation therefrom all
advantages required by the reasonable needs of the owner and the
promotion of the general welfare but subject to the restrictions imposed
by law and the rights of others. (Outline of Civil Law, Reyes and Puno)
It may also be defined as relation by virtue of which a thing
pertaining to one person is completely subjected to his will in everything
not prohibited by law and the concurrent right of another. (2 Tolentino
43)

 Traditional attributes or elements of ownership (the rights of a

person over his property, Art. 428, NCC)

a. The right to enjoy which includes:

1. Jus utendi or the right to use;
2. Jus fruendi or the right to the fruits; and
3. Jus abutendi or the right to consume the thing by its use,
b. The right to dispose (jus disponendi), or the right to alienate,
encumber, or even to destroy the property
c. The right to vindicate (jus vindicandi), or the right of action
available to the owner to recover the property against the
holder or possessor.
 Limitations upon the right of ownership (2 Tolentino, NCC):

a. General limitation imposed by the State for its benefit, such as

the inherent powers of the State (power of eminent domain,
police power, and power of taxation);
b. Specific limitations imposed by law such as legal easement;
c. Limitations imposed by the party transmitting the property
either by contract or by will;
d. Limitations imposed by the owner himself such as voluntary
servitude, mortgage, pledge, and lease right, and
e. Inherent limitations arising from conflict with other rights, such
as those caused by contiguity of property.

Note: The 1987 Constitution limits the ownership of private lands to

Filipino citizens and prohibits aliens to own land except through
hereditary succession.
PART III
 Under the New Civil Code, there are certain rights enumerated
therein as a consequence of ownership (Arts. 428, 429, 430, 435,
437, 438 and 440, NCC):
1. The right to enjoy his property;
2. The right to dispose of his property;
3. The right to recover the property from any holder or possessor;
4. The right to exclude any person from the enjoyment and disposal
of the property;
5. The right to enclose or fence his land or tenement;
6. The right to just compensation in case of eminent domain;
7. The right to construct any works, or make any plantation or
excavation on the surface or subsurface of his land;
8. The right to ownership of all or a part of hidden treasure found in
his property; and
9. The right to the ownership of all accessions to his property.
 Defense of one’s property, the “doctrine of self-help.” (Art. 429,
NCC)
To defend one’s property against any intruder or stranger, the
owner may apply force and is justified if the following will concur:
1. The force must be employed by the owner or lawful possessor of the
property;
2. There must be an actual or threatened physical invasion or usurpation
of the property;
3. The invasion or usurpation must be unlawful, and
4. The force employed must be reasonably necessary to repel the
invasion or usurpation.
 Hidden Treasure:
Hidden treasure is any hidden and unknown deposit of
money, jewelry, or other precious objects the lawful ownership of which
does not appear. (Art. 439, NCC)
To whom does hidden treasure belong? (Art. 438, NCC)
Hidden treasure belongs to the owner of the land, buildings,
or other property on which it is found. Nevertheless, when the treasure is
found in the property of another, or of the State, and by chance, one-half
(1/2) thereof shall be allowed to the finder, but when 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.
 RIGHT OF ACCESSION
 Accession (Art. 440, NCC):
Accession is defined as the right pertaining to the owner of
a thing over everything which is produced thereby, or which is
incorporated or attached thereto, either naturally or artificially.
From such definition, it is clear that accession is not a mode
of acquiring ownership, only a consequence of the right of ownership.
 Classification of Accession (Art. 442-474, NCC)
Accession may be classified into:
1. Accession Discreta, or the right pertaining to the owner of a thing over
everything which is produced thereby: (Art. 442,NCC)
a. Natural Fruits, or the spontaneous products of the soil and the young
and other products of animals.
b. Industrial Fruits, or those produced by lands of any kind through
cultivation or labor
c. Civil Fruits, or rents of buildings, the price of leases of lands and
other property and the amount of perpetual or life annuities or other
similar income.
2. Accession continua: (Art. 445-474, NCC)
a. Accession Industrial, in case of:
i. Building;
ii. Planting; or
iii. Sowing.
b. Accession Natural, which may be in the form of:
i. Alluvium;
ii. Avulsion;
iii. Change of river beds or change or course of rivers;
iv. Formation of islands either on sea within the Philippine
jurisdiction, or lakes, or navigable rivers or floatable rivers.

In Accession industrial, there are different treatments if the

builder, planter or sower acted in bad faith or good faith, and the
following is the outline of such treatment.
A - owner of the land
B - builder, planter or sower
C - owner of materials
1. 1st situation: (Art. 447)
AB - in good faith
 C - in good faith
a) AB - right of appropriation
b) C - 1) right of reimbursement and 2) limited right of removal
2. 2nd situation: (Art. 447)
AB - in bad faith
C - in good faith
AB - no right whatsoever
C - right of reimbursement plus damages ; absolute right of
removal plus damages
3. 3rd situation: (Art. 448)
A - in good faith
BC - in good faith
A - right of appropriation, right to demand price of land or rent
BC - right of reimbursement of necessary and useful expenses if A
elects the first opinion. Right of retention if A elects second option.
4. 4th situation: (Art. 449-452)
A - in good faith
BC - in bad faith
A - right of appropriation plus damages, right to demand removal
or demolition plus damages right to demand price of land or rent plus
damages
BC - no right except reimbursement of necessary expenses for
preservation of land.
5. 5th situation: (Art. 453)
 AB & C are in bad faith, same as Art. 448 as if all acted in good
faith
6. 6th situation: (Art. 454)
A - in bad faith
BC - in good faith
Same as in Art. 447
7. 7th situation: (Art. 455)
A - in good or bad faith
B - in good or bad faith
C - in good faith
First determine rights of A and B
Then C can hold B primarily liable and A subsidiary liable
8. 8th situation: (Art.455)
A - in good or bad faith
B - in good or bad faith
C - in bad faith
First determine rights of A and B
With respect to C, apply Arts. 449 - 452 since B shall be considered
agent of C

Alluvion is defined as the accretion which the land adjoining the banks of
rivers, creeks, torrents, or lakes gradually receive from the effect of
current of the water
Who owns the alluvion? (Arts. 457 & 458, NCC)
 To the owners of the lands adjoining the banks of rivers belong
the accretion which gradually receive from the effect of current of rivers.
The owners of estates adjoining ponds or lagoons do not acquire
the land left dry by the natural decrease of the waters, or lose those
inundated by them in extraordinary floods.

Avulsion is the accretion which takes place whenever the current of a

river, creek, torrent, or lake segregates from an estate on its bank a
known portion of land and transfers to another estate.
Who owns the avulsion? (Arts. 459 & 460, NCC)
Whenever the current of a river, creek or current 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 2 years.
Trees uprooted and carried away by the current of waters
belong to the owner of the land upon which they may be cast, if the
owners do not claim within six month. If such owners claim them, they
shall pay the expenses incurred in gathering them or putting them in a
safe place.
PART IV

 Rules with regard to change in the course of rivers:

(Art. 461, NCC) - River beds which are abandoned through the
natural change in the course of waters belong to the owners whose lands
are occupied by the new course in proportion to the area lost. However,
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.
(Art. 58, PD 1067, otherwise known as the Water Code of the
Philippines) - “When a river or stream suddenly change its course to
traverse private lands, the owners of the affected lands may not compel
the government from taking steps to restore the river to its former bed;
nor can they restrain the government from taking steps to revert the
river or stream to its former course. The owners of the lands thus
affected are not entitled to any compensation for any damage sustained
thereby. However, the former owners of the new bed shall be the owners
of the abandoned bed in proportion to the area lost by them.”
“The owners of the affected lands may undertake to return the river
or stream to the old bed at their own expense; Provided that a permit
therefor is secured from the Secretary of DPWH and works pertaining
thereto are connected within ten years from the change in the course of
the river or stream.”
In the above procedure, in case the owner failed to register the
accretion, it is not a ground to divest the character as a private property.
Accretion is a mode of acquiring title as provided by law, and therefore,
when the mode becomes evident, as in alluvion or natural change of
course of water, the affected owner, may become the owner thereof, and
failure to register the accretion of the land and declare the same for
taxation purposes does not divest it of its character as private property.
 In the case that the river or stream dries up without the water
changing its course, the dried river bed shall remain a property of the
public domain.
Likewise, under the Water Code of the Philippines, the natural bed or
basin of lakes is the ground covered by the water at their highest ordinary
depth, in which case, it forms part of the national dominion.

 Rules with regards to islands, which may be formed either on the

seas or rivers:
(Art. 464, NCC) - 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.
(Art. 465, NCC) - Islands which through successive accumulation of
alluvial deposits are formed in non-navigable and non-floatable rivers,
belong to the owners of the margins or banks nearest to each of them, or
to the owners of both margins if the island is in the middle of the river, in
which case it shall be divided longitudinally in halves. If a single island
thus formed be more distant from one margin than from the other, the
owner of the nearer margin shall be the sole owner thereof.
In the above rules, distinctions should be made with regards to
islands formed on rivers, as to whether that river is navigable or non-
navigable because when it is navigable, the island formed therein belongs
to the State, however, when the river is non-navigable and non-floatable,
the owner of the island shall be determined applying the provision of Art.
465 of the New Civil Code of the Philippines.
 QUIETING OF TITLE
Requisites in an action to remove the cloud or to quiet the title to
real property or any interest therein: (Arts. 476-481, NCC)
1. The plaintiff mush have a legal or equitable title to, or interest in the
real property which is the subject matter of the action.
2. There must be a cloud of doubt on such title.
3. Such cloud must be due to some instrument, record, claim,
encumbrance or proceeding which is apparently valid or effective but is in
truth and in fact invalid, ineffective, voidable, or unenforceable, and is
prejudicial to the plaintiff title.
4. The plaintiff must return to the defendant all benefits he may have
received from the latter, or reimburse him for expenses that may have
rebounded to his benefit.
PART III - CO-OWNERSHIP

Co-ownership – (Art. 484, NCC) it exists whenever the co-ownership of an

undivided thing or right belongs to different persons.

- It is the right of common dominion which two or more persons

have in a spiritual part of a thing which is not materially or physically
divided.

 Requisites of co-ownership:

a. Plurality of subjects;
b. Unity of object (undivided); and
c. Recognition of the ideal or intellectual shares of the co-owners
which determine their rights and obligations.

 How co-ownership and partnership are distinguished from each

other
a. As to creation:

Co-ownership may be created by law, contracts, succession,

fortuitous event, or occupancy while partnership is always created
by contract.

b. As to purpose:

The purpose of co-ownership is the common enjoyment of a thing

or right owned in common, whereas the purpose of partnership is
to obtain profit.

c. As to personality:

Co-ownership has no juridical personality which is separate and

distinct from that of the co-owners while a partnership has.
d. As to duration:

The agreement not to divide the community property for more

than ten years is not allowed under the law, but in partnership,
such an agreement would be perfectly valid because under the
law, there is no limitation upon its duration.

e. As to power of members:

A co-owner has no power to represent the co-ownership unless

there is an agreement to that effect, whereas a partner has all the
power to represent the partnership unless there is a stipulation
on the contract to the contrary.

f. As to effect of disposition of shares:

If a co-owner transfers his share to a third person, that third

person automatically becomes a co-owner, but if a partner
transfers his share to a third person, that third person does not
become a partner, unless agreed upon by all the partners.

g. As to division of profits:

In co-ownership, the division of profits as well as charges is fixed

by law, however in partnership, such division of profits and losses
may be subject to the agreement of the partners.

h. As to the effect of death:

Th death of a co-owner does not affect the existence of the co-

ownership, in partnership, the death of a partner shall result in
the dissolution of the partnership.
 How to determine the share of the co-owners in the benefits and
charges arising from the co-ownership (Art. 485 NCC):

The share of a co-owner in the benefits and charges arising from

the co-ownership shall be proportional to their respective
interests and any stipulation in a contract to the contrary shall be
void. The interests of the co-owners are presumed equal unless
the contrary is proved.

 Limitations upon the right of a co-owner to use the thing owned

in common (Art 486 NCC):

The thing owned in common should be used only in the following:

a. In accordance with the purpose for which it is intended;

b. In such a way as not to injure the interest of the co-ownership;
and
c. In such a way as not to prevent the other co-owners from
using it according to their rights.

 The things that a co-owner can do without the consent of the

other co-owners (IME):

a. Improvements – a co-owner may introduce some

improvements on the thing owned in common even without
the consent and knowledge of the other co-owners but the
benefits derived from such improvements should inure to the
benefits of the co-ownership.

b. Management and Administration – a co-owner may oversee

the thing owned in common to secure it even without the
consent of the others but must be subjected to the limitations
under the law.

c. Ejectment case – A co-owner may file an ejectment case

against any stranger to the property owned in common even
 without the consent of the other co-owners to prevent any
damage caused on the property by the presence of such
stranger.

 The things that a co-owner cannot do on the thing owned in

common without the consent of the other co-owners (EDA):

a. Encumbrance – a co-owner cannot subject the property owned in

common to any encumbrance such as loan without the consent of
the other co-owner

b. Division or partition – a co-owner is not allowed to subdivide the

property without the consensus of all the co-owners.

c. Alteration – a co-owner cannot make any alteration on the

property owned in common without the consent of the other co-
owners.

 Rules to be followed if a multi-storey building is owned by

different persons (Art 490 NCC):

a. 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;

b. Each owner shall bear the cost of maintaining the floor of his
story; the floor of the entrance, front door, common yard and the
sanitary works common to all, shall be maintained at the expense
of all owners pro rata;

c. The stairs from the entrance to the first storey 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 storey shall be preserved at the expense of all,
 except the owner of the ground floor and the owner of the first
storey; and so on successively.

 What is a condominium and who has title to the condominium

project?

Under the Condominium Act (Sec. 1, RA 4726), a condominium is an

interest in real property consisting of a separate interest in a unit in a
residential, industrial, or commercial building and an undivided
interest in common, directly or indirectly, in the land in which it is
located and in the other common areas of the building. It may include
other portions of such real property.

With regards to the title of the condominium project, as far as the

unit of the project which is being used by the condominium owner is
concerned, such owner has title thereto, but as far as the common
areas, including the land are concerned, all the condominium owners
have an undivided interest or title thereto. Title to such common
areas, including the land, may be held by a corporation therein known
as the condominium corporation in which the holder of separate
interest shall automatically be members or shareholders in
proportion to the appurtenant interest of their respective units in the
common areas.

While the title of a condominium unit may be transferred, including

the interest in the common areas, such conveyance shall be valid only
in favor of Filipino citizens or a corporation with at least 60% of the
capital stocks belonging to Filipinos.

Section 8 of the Condominium Law provides that when several

persons own condominiums in a condominium project, an action may
be brought by one or more such persons for partition by sale of the
entire project, as if the owners of all the condominium were co-
owners of the entire project in the same proportion as their interests
in the common areas.
Partition shall be made only upon a showing that:

a. That 3 years after damage or destruction to the project which

renders a material part thereof unfit for its use prior thereto, the
project has not been rebuilt or repaired substantially to its state
prior to its damage or destruction;

b. The damage or destruction to the project has rendered one-half

or more of the units therein untenantable and that the
condominium owners holding in aggregate more than 30 %
interest in the common areas are opposed to repair or restoration
of the project;

c. That the project has been in existence in excess of 50 years, that it

is obsolete and uneconomical, and that the condominium owners
holding in aggregate more than 50 % interest in the common
areas are oppose to repair, restoration or modelling or
modernizing of the project;

d. That the project or a material part thereof has been condemned

or expropriated and that the project is no longer viable, or that
the condominium owners holding in aggregate more than 70 %
interest in the common areas are opposed to the continuation of
the condominium regime after expropriation or condemnation of
a material portion thereof;

e. That the condition for such partition by sale set forth in the
declaration of restrictions duly registered in accordance with the
terms of the Condominium Act have been met.

 The right of a co-owner to make repairs for the preservation of

the property owned in common (Art. 489 NCC):
 Repairs for preservation may be made at the will of one of the co-
owners, but he must, if practicable, first notify the other co-
owners of the necessity for such repair.

 The rule when a co-owner performs acts of administration (Art.

492 NCC):

Acts of administration can be performed only with the

concurrence of the majority of the co-owners.

Acts of Administration are those which refer to the enjoyment,

exploitation or alteration which do not affect the substance or
form of the thing owned in common. These acts are transitory in
character and does not affect the substance or form of the thing
itself.

 The rule when a co-owner performs acts of ownership or

alteration (Art. 491 NCC):

Acts of alteration by a co-owner can be performed only with the

concurrence of all the other co-owners.

Acts of Alteration are those by virtue of which a co-owner, in

opposition to the expressed or tacit agreement of all co-owners,
and in violation of their will, changes the thing from the state in
which the others believe it should remain, or withdraws it from
the use to which they believe it is intended. These acts are more
or less permanent and relate to the substance or essence of the
thing itself, hence, it requires the consent of all the other co-
owners.

 How to determine the majority of the co-owners:

 Co-owners who represent the controlling interest in the object of
the community property constitute majority and not on the
number of co-owners.

 Co-ownership is terminated or extinguished by:

a. The merger or consolidation in one of the co-owners of all the

shares of the other co-owners;

b. The destruction or lose of the thing or right owned in

common;

c. Prescription in favor of a third person or a co-owner; or

d. Partition of the property owned in common.

Note: As a general rule, a co-owner cannot acquire exclusive

ownership over the property owned in common through
prescription, except:

a. When he repudiates the rights of the other co-owners and

such repudiation is brought to the knowledge of such co-
owner; and

b. When there is a clear and conclusive evidence that he may be

able to acquire exclusive ownership by prescription and only
after the lapse of time fixed by law.

In a case decided by the Supreme Court (G.R. No. 83175, Dec. 4,

1989) in relation to the above enumerated exceptions, it was held
 that a mere silent possession by a co-owner, his receipt of rents,
fruits or profits from the property, the erection of buildings and
fences and the planting of trees thereon, and the payment of
property taxes, are not enough proof of exclusive evidence that
he exercised acts of possession which unequivocally constituted
an ouster of the rights of the other co-owners.
In another case, the Supreme Court ruled that the possession of a
co-owner cannot ripen into ownership for the reason that the
possession was merely in the concept of a trustee for the other
co-owners.
 Partition of the community property is not allowed in the
following (Art 494 and 495 NCC:

a. When the co-owners agreed to keep the thing undivided for a

certain period not exceeding ten years;

b. When it is prohibited by the donor or testator for a period which

shall not exceed twenty years if the property is acquired by
donation or succession;

c. When it is prohibited by law, such as in the case of party walls and

the family home; or

d. When to do so would render the thing unserviceable for the use

for which it is intended, although the co-ownership may still be
terminated in accordance with law.

PART IV – POSSESSION
Possession is the holding of a thing or the enjoyment of a right, either by
material occupation or by the fact of subjecting the thing or right to the
action of our will. (Art 523, NCC)
 Elements of possession:
The requisites of possession are:
a. The corpus or holding or material detention or enjoyment of a
thing or right; and
b. The animus possidendi or intent to possess the thing or right.

 Degrees of possession:

1. Possession without any title whatsoever in violation of the

right of the true owner, such as that of a thief;

2. Possession with a juridical title, but not in the concept of an

owner, such that of a lessee, depositary or pledgee;

3. Possession with a just title, or a title which is sufficient to

transfer ownership, but not from the true owner, such as that
of a person who buys a thing from one who pretends to be the
owner but is in fact not the owner thereof; and

4. Possession with a just title from the true owner.

Jus possessionis is the right of possession of a property

independent of the right of ownership;
Jus possidendi is the right to the possession of a thing or right as a
consequence or attribute of ownership.
 Distinguish between ownership and possession:
 a. In a case, the Supreme Court said that ownership exists when
a thing pertaining to one person is completely subjected to his
will in a manner not prohibited by law and consistent with the
rights of others. It confers rights to the owner, one of which is
the right to dispose of the thing by way of sale. On the other
hand, possession is defined as the holding of a thing or
enjoyment of a right, and it is the actual and physical
occupation of a thing with or without title. One can have
possession in two ways; 1) possession in the concept of an
owner in which the owner themselves or those claiming to be
the owner are the possessors and 2) those who possess as
mere holders and acknowledge ownership in another and a
superior right which is believed to be ownership. (G.R. No.
108558, June 21, 2001)

b. In that same case above, the Supreme Court ruled that an

owner’s act of allowing another to occupy his house rent-free
does not create a permanent and indefeasible right of
possession in the latter’s favor. The occupation of the
property is not in the concept of an owner because the latter’s
stay is merely tolerated.

 Possessor in good faith and possessor in bad faith (:Art 526,

NCC)
Possessor in good faith is one who is not aware that there exists
in his title or mode of acquisition a flaw or defect which
invalidates it, while possessor in bad faith is one who is aware
that there exists some flaw or defect which invalidate his
ownership.

 How possession is acquired:

a. By the material occupation of a thing or exercise of a right, or
b. By subjecting a thing or right to the action of our will, or
c. By proper acts and legal formalities.

 How possession is lost:

a. By the abandonment of the thing;

b. By an assignment made in favor of another either onerous or
gratuitous, and
c. By the destruction or total loss of the thing;
d. By the possession of another, if the new possession has lasted
longer than one year. But the real right of possession is not lost
until after the lapse of ten years; or
e. By recovery of the thing by the legitimate owner.

 Outline of the effects of possession in good faith and possession

in bad faith:

A. Fruits received:
Possessor in good faith is entitled to the fruits while his
possession is still in good faith. (Art 544, NCC)
Possessor in bad faith shall reimburse fruits received. (Art 549,
NCC)
B. Pending fruits:
Possessor in good faith and legitimate possessor shall be liable for
expenses of cultivation and shall share in net harvest in
proportion to the time of their possession. (Art. 545, par. 1, NCC)
Possessor in bad faith shall not have any right.
C. Charges:
 Possessor whether in good or in bad faith, and legitimate
possessor shall share in proportion to the time of their
possession. (Art. 545, par. 1, NCC)
D. Expenses:
1. Necessary Expenses:
a. Right of possessor in good faith (Art. 546, par. 1):
(1) Right of reimbursement
(2) Right of retention
2. Useful Expenses:
a. Rights of possessor in good faith Art. 546, par 2 & Art
547, NCC):
(1) Right of reimbursement
(2) Right of retention
(3) Limited right of removal.
b. Right of possessor in bad faith: None
3. Ornamental Expenses:
a. Right of possessor in good faith: Limited right of
removal (Art. 548, NCC)
b. Right of possessor in bad faith: Limited right of removal
(Art. 549, NCC)

E. Deterioration or loss:

1. Possessor in good faith: No liability, unless due to his fault

or negligence after he had become possessor in bad faith
(Art. 552, NCC).
2. Possessor in bad faith: Always liable, whether due to his
fault or negligence or due to a fortuitous event (Art. 552,
NCC).

 Meaning of 1) Necessary expenses, 2) useful expenses, and 3)

ornamental expenses or expenses for pure luxury.
 Necessary Expenses are those which are incurred for the
preservation of the thing. Useful expenses are those which are
incurred for the greater productivity or utility of the thing.
Expenses for pure luxury are those which are incurred for the
convenience and enjoyment of the possessor but which do not
affect the existence, productivity, or utility of the thing itself.

PART V – USUFRUCT
Usufruct is a real right by virtue of which a person is given the right to
enjoy the property of another with the obligation of preserving its form
and substance, unless the title constituting it or the law provides
otherwise. (Art. 562, NCC)
 Requisites of usufruct:

1. The essential requisite is the right to enjoy the property of

another;

2. The accidental requisite is the obligation of preserving the form

and substance of such property. It is accidental because the law
constituting the usufruct or the law may otherwise provide, as in
the case of abnormal usufructs.

 How usufruct is distinguished from ownership:

The attributes of ownership include: 1) the right to enjoy (jus utendi,
jus, fruendi and jus abutendi), 2) the right to dispose (jus dispodendi),
and 3) the right to vindicate or recover (jus vindicandi); usufruct is
limited merely to the enjoyment of the property (jus utendi and jus
fruendi).
 How usufruct is distinguished from lease:

1. As to nature of right – Usufruct is always a real right, whereas

lease becomes a real right only when registered;

2. As to constitution – Usufruct is constituted by law, by the will of

private persons expressed in acts inter vivos or in a last will and
testament, and by prescription, while lease is constituted by
contract;
3. As to the person constituting it – In usufruct, the person
constituting it is the owner, whereas in lease, the person
constituting it need not be the owner;

4. As to extent – Usufruct includes the right to use and to enjoy the

fruits (jus utendi and jus fruendi) of the property, while lease is
more limited;

5. As to repairs – The usufructuary is responsible for ordinary

repairs, whereas the lessee is not;

6. As to payment of taxes – The usufructuary is responsible for the

payment of taxes on the fruits while in lease the lessee is not.

 How usufruct is constituted (Art. 563, NCC):

A usufruct may be constituted: 1) by law; 2) by the will of private
persons expressed in acts inter vivos: 3) by the will of private
persons expressed in a last will and testament; and 4) by
prescription.
 Th obligations of a usufructuary:
At the commencement of the usufruct (Art. 583, NCC):
1. To make an inventory of the property; and

2. To give the necessary security.

During the pendency of the usufruct:
1. To take care of the property as a good father of a family (Art.
589, NCC);
2. To make ordinary repairs on the property (Art. 592, NCC);
3. To notify the owner in case the need for extraordinary repairs
on the property is urgent (Art. 593, NCC);
 4. To pay the annual charges and taxes and those considered as
a lien on the fruits (Art. 596, NCC);
5. To notify the owner of any act of a third person that may be
prejudicial to the right of ownership (Art. 601, NCC); and
6. To pay the expenses, costs and liabilities in suits with regard to
the usufruct (Art. 602, NCC)

 Modes of extinguishing the usufruct (Art. 603, NCC):

1. By the death of the usufructuary, unless a contrary intention

clearly appears;

2. By the expiration of a period for which it was constituted or by

the fulfillment of any resolutory condition provided in the title
creating the usufruct;

3. By the merger of the usufruct and ownership in the same

person;

4. By renunciation of the usufructuary:

5. By the total loss of the property in the usufruct;

6. By the termination of the right of the person constituting the

usufruct, and

7. By prescription.
PART VI – EASEMENT OR SERVITUDE
Easement or servitude is an encumbrance imposed upon an
immovable for the benefit of another immovable belonging to a
different owner.
The immovable in favor of which the easement is established is
called the dominant estate while that which is subject thereto is
the servient estate. (Art. 613, NCC)
Servitudes may also be established for the benefit of a community
or of one or more persons to whom the encumbered estate does
not belong. (Art. 614, NCC)
The terms “easement” and “servitude” are used interchangeably,
however, strictly speaking, they are different in that easement
refers to the right of the dominant estate while servitude is the
obligation or encumbrance upon the servient estate.
 The different classes of easement:

1. As to recipient of benefits: Real when the easement is in favor

of another immovable, or personal, when it is in favor of a
community or of one or more persons to whom the
encumbered estate does not belong (Arts. 613 & 614, NCC)

2. As to source: Legal if established by law, or voluntary if

established by the will of the owners. (Art. 619, NCC) Legal
easement, have for their object either public use or the
interest of private persons. (Art. 634, NCC)

3. As to its exercise: Continuous or discontinuous; apparent or

non-apparent; positive or negative.
 Continuous easements are those the use of which is or may be
incessant, without the intervention of any act of man. (Art. 615,
par 1, NCC) Example: power lines
Discontinuous easements are those which are used at intervals
and depend upon the acts of man. (Art. 615 par. 2, NCC) Example:
Road right-of-way
Apparent easements are those which are made known and are
used at continually kept in view by external signs that reveal the
use and enjoyment of the same. (Art. 65, par. 3, NCC) Example:
Irrigation canal right-of-way
Non-apparent easements are those which show no external
indication of their existence. (Art. 615, par. 4, NCC) Example:
underground pipe line or underground sewer line.
Positive easements are those which impose upon the owner of
the servient estate the obligation of allowing something to be
done or of doing it himself. (Art. 616, NCC) Example: window
opening at the servient estate’s property
Negative easements are those which prohibit the owner of the
servient estate from doing something which he could lawfully do
if the easement did not exist. (Art. 616, NCC) Example: Servient
estate is not allowed to construct a wall that would prevent the
dominant estate a clear view of the surroundings.
 Characteristics of easements:

1. It is a real right.

2. It is a right imposed over another property.

3. It is a limitation upon the servient owner’s right of ownership.

4. It is a right constituted over an immovable.

 5. It is inseparable from the estate to which it actively or
passively belongs.

6. It is indivisible.

 How easements are acquired:

Continuous and apparent easements are acquired either by
virtue of a title or by prescription of ten years. (Art. 620, NCC)
Continuous non-apparent easements and discontinuous
easements whether apparent or non-apparent can be acquired by
virtue of title. (Art. 620, NCC)
Note: Easements for right-of-way cannot be acquired by
prescription because although they are apparent, they are
discontinuous in character. In applying the provision of Art. 620,
only continuous and apparent easements can be acquired by
prescription.
Likewise, easement for aqueduct, is not acquirable by prescription
because although it is continuous and apparent, it belongs to the
State and therefore it cannot be the subject of prescription.
 Modes of extinguishing easements (Art. 631, NCC):

1. By merger in the same person of the ownership of the

dominant and servient estate.

2. By non-use for ten years: with respect to discontinuous

easements, this period shall be computed from the day on
which they ceased to be used; and, with respect to continuous
easement, from the day on which an act contrary to the same
took place;
 3. When either or both of the estates fall into such condition
that the easement cannot be used, but it shall revive if the
subsequent condition of the estates or either of them should
again permit its use, unless when the use becomes possible,
sufficient time for prescription has elapsed, in accordance with
the provisions of the preceding number;

4. By the expiration of the term or the fulfillment of the

condition, if the easement is temporary or conditional;

5. By the renunciation of the owner of the dominant estate; and

6. By the redemption agreed upon between the owners of the

dominant estate and the servient estate.

 How to choose the route of a right-of-way:

In a case decided by the Supreme Court (G.R. No. 112331, May 29,
1996) it was held that the easement where the way is shortest
and will cause least prejudice shall be chosen.
In case that the two circumstances stated above do not occur in a
single tenement, the way the damage will be least shall be use
even if not the shortest route.
 When does indemnity not required in the acquisition of
easement of right of way:

1. In the case of sale when the dominant estate was acquired by

purchase and such dominant estate is surrounded by the property
of the vendor, then indemnity is not required on the part of the
dominant estate because the vendor servient estate must provide
easement for access to the vendee dominant estate.
2. Likewise, in the case of donation when the dominant estate was
donated by the servient estate and the remaining area
surrounding the dominant estate is still a part of the servient
estate then indemnity is not required to obtain a right of way.

Good Luck Future Engineers!!!