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RIGHTS OF ACCESSION WITH RESPECT TO IMMOVABLE PROPERTY LANDOWNER IS THE IMPROVER (Art.

447)
LAND OWNER AND BUILDER, PLANTER, SOWER Good Faith Acquire the building, etc. after paying indemnity for the value of materials. OWNER OF MATERIALS Good Faith 1. Remove them if without injury to work constructed or without plantings or constructions being destroyed. 2. Receive indemnity for value of materials. Good Faith 1. Absolute right of removal - Remove the materials in any event whether or not injury will be caused 2. Be indemnified for damages. Good Faith Acquire w/o paying indemnity. Bad Faith Same as though both acted in good faith (in pari delicto). Bad Faith 1. Lose materials w/o right to be indemnified. 2. Liable for any consequential damages. Bad Faith

Bad Faith Acquire after paying the value & indemnity for damages but subject to the right of owner of materials to remove.

LANDOWNER IS NOT THE IMPROVER


LANDOWNER Good Faith Land Owner has the option to: 1. Sell the land to builder/planter (BP) or collect rent from sower (S). Exception: if the value of the land is considerably greater than the building, the BP shall pay rent under the terms fixed by the parties. (in case of disagreement, the court shall fix the terms) 2. Acquire improvement after paying indemnity w/c could either be: a. Original cost of improvements; or b. Increase in the value of the whole. IMPROVER, BUILDER, PLANTER, SOWER, OWNER OF MATERIALS Good Faith In case landowner exercises his right to acquire improvement after paying indemnity, builder has the right to retain until indemnity is paid and cannot be required to pay rent. (Art. 546)

Art. 448, does not apply when the builder is a belligerent occupant.
Good Faith 1. Option to: a. Acquire improvements without paying indemnity and collect damages. b. Sell the land to BP, rent land to S and collect damages in both cases. c. Order demolition of work or restoration to former condition and collect damages in both cases. 2. Pay necessary expenses for preservation. Bad Faith 1. Landowner must indemnify BPS for improvements and pay damages. 2. Cannot compel BPS to buy land. Bad Faith Same as though both acted in good faith (in pari delicto) Bad Faith 1. Lose them without right to be indemnified. 2. Recover necessary expenses for preservation of land. 3. Pay damages to landowner.

Good Faith 1. Remove them in any event; and/or 2. Be indemnified for damages. Bad Faith

As landowner, defendant may either sell the lot or appropriate the improvements for himself with reimbursement to the builder, landowner, planter who was in good faith (Corporation vs. CA, 208 SCRA
5 [1992])

Art. 448, in relation to Art. 556 which provides for full reimbursement of useful improvements and retention of the premises until reimbursement is made, applies only where both the builder and landowner acted in good faith.

LAND OWNER, IMPROVER AND MATERIAL OWNER ARE DIFFERENT PERSONS:


LAND OWNER (LO) Good Faith Acquire the improvements and pay indemnity to BPS and be subsidiarily liable for materials to OM. a. Sell the land to BP except if value of the land is considerably more. b. Rent to S. Good Faith Option to: a. Acquire improvements; b. Sell to BP except: value of land is considerably more, then forced lease. c. Rent to S. Without subsidiary liability for cost of materials. BUILDER, PLANTER, SOWER (BPS) Good Faith 1. Right of retention for necessary and useful expenses. 2. Pay value of materials to OM. Good Faith 1. Right of retention for necessary and useful expenses. OWNER OF MATERIALS (OM) Good Faith 1. Collect value of materials primarily from BPS or subsidiarily from LO, if BPS is insolvent. 2. Remove only if without injury. Bad Faith 1. Lose materials w/o right to indemnity.

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2. Keep building, etc., w/o indemnity to OM and collect damages from him. arellano
law

2. Pay damages.

LAND OWNER (LO) Good Faith

BUILDER, PLANTER, SOWER (BPS) Bad Faith

OWNER OF MATERIALS (OM) Bad Faith

1. Option to: a. Acquire improvement w/o paying indemnity and collect damages; b. Demolition/restoration plus damages; c. Sell to BP or collect rent from s plus damages. 2. Pay necessary expenses to BPS.

1. Recover necessary expenses for land preservation. 2. Loses improvement w/o right to indemnity from LO unless LO sells the land.

1. Recover value from BPS (in pari delicto). 2. If BPS acquired improvement, remove materials if possible (w/o injury). 3. No action against LO and may be liable to LO for damages.

Bad Faith Same as though all acted in good faith (in pari delicto)

Bad Faith Same as though all acted in good faith (in pari delicto)

Bad Faith Same as though all acted in good faith (in pari delicto)

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