1 | P a g e

FULLTEXT CASES IN PROPERTY

G.R. No. L-69002 June 30, 1988
REPUBLIC OF THE PHILIPPINE, petitioner,
vs.
!"!N#! L!T $#!. #E C!TILLO, FLORENCIO T. C!TILLO, OLE#!# LOT!
C!TILLO, C!RLO L. C!TILLO, NIE$E %!TIGB!% C!TILLO, "!RI!NO L.
C!TILLO, HIPOLIT! #&TI!PCO C!TILLO, !I#! C!TILLO HERRER!, HER"ITO
HERRER!, JOE L. C!TILLO, LILI! "!CE#! C!TILLO, TEREIT! L. C!TILLO,
REGITER OF #EE# OF B!T!NG! 'n( THE INTER"E#I!TE !PPELL!TE
COURT, respondents.
Castro, Nardo, Quintanilla, Gonzales & Macatangay Law Ofce for respondents.

P!R!, J.:
Tis is a petition !or revie" on #ertiorari o! te Apri$ %&, 1'() *e#ision o! te ten
Inter+ediate Appe$$ate Co,rt )reversing te Fe-r,ar. &, 1'/& *e#ision o! te ten Co,rt o!
First Instan#e o! 0atangas, 0ran# 1I, in Civi$ Case No. %2)).
Te ante#edenta$ !a#ts o! tis #ase, as !o,nd -. te ten Inter+ediate Appe$$ate Co,rt, are as
!o$$o"s3
So+eti+e in 1'41, te $ate 5odesto Casti$$o app$ied !or te registration o! t"o par#e$s o!
$and, Lots 1 and %, $o#ated in 0anadero, Tana,an, 0atangas, des#ri-ed in P$an Ps,611'1&&,
"it a tota$ area o! 7',/44 s8,are +eters. In a de#ision dated A,g,st 71, 1'41, te said
5odesto Casti$$o, +arried to A+anda Lat, "as de#$ared te tr,e and a-so$,te o"ner o! te
$and "it te i+prove+ents tereon, !or "i# Origina$ Certi9#ate o! Tit$e No. 26&&4 "as,
iss,ed to i+ -. te Register o! *eeds at 0atangas, 0atangas, on Fe-r,ar. /, 1'4%. 0. virt,e
o! an instr,+ent dated 5ar# 1(, 1'&2, te said Lots 1 and % #overed -. Origina$ Certi9#ate
o! Tit$e No. 26&&4, togeter "it Lot No. 1%7/) #overed -. Trans!er Certi9#ate o! Tit$e No.
7%4)6A and Lot No. 1%7// #overed -. Trans!er Certi9#ate o! Tit$e No. 7%416A, "ere
#onso$idated and s,-6divided into Lots 1 to ' ,nder P#s612)&. A!ter te deat o! 5odesto
Casti$$o, or on A,g,st 71, 1'&2, A+anda Lat 1da. de Casti$$o, et a$., e:e#,ted a deed o!
partition and ass,+ption o! +ortgage in !avor o! F$oren#io L. Casti$$o, et a$., as a res,$t o!
"i# Origina$ Certi9#ate o! Tit$e No. *6&&4 "as #an#e$$ed, and in $ie, tereo!, ne" trans!er
#er99#ates o! tit$e "ere iss,ed to F$oren#io Casti$$o, et a$., to "it3 Trans!er Certi9#ate o! Tit$e
No. %1/27 ;Lot )< ;and< Trans!er Certi9#ate o! Tit$e No. %1/2) to F$oren#io Casti$$o ;Lot 4<=
Trans!er Certi9#ate o! Tit$e No. T6%1/2( to Car$os L. Casti$$o ;Lot /<= Trans!er Certi9#ate o! Tit$e
No. T6%1/1% to 5ariano L. Casti$$o ;Lot &<= Trans!er Certi9#ate o! Tit$e No. T6%1/17 to >ose L.
Casti$$o ;Lot '<= Trans!er Certi9#ate o! Tit$e No. T6%1/1( to Aida C. ?errera ;Lot %<= and
Trans!er Certi9#ate o! Tit$e No. T6%1/%/ to Teresita L. Casti$$o ;Lot (<.
Te Rep,-$i# o! te Pi$ippines 9$ed Civi$ Case No. %2)) "it te $o"er #o,rt !or te
ann,$+ent o! te #erti9#ates o! tit$e iss,ed to de!endants A+anda Lat 1da. de Casti$$o, et a$.,
as eirs@s,##essors o! 5odesto Casti$$o, and !or te reversion o! te $ands #overed tere-.
;Lots 1 and %, Ps,611'1&&< to te State. It "as a$$eged tat said $ands ad a$"a.s !or+ed part
o! te Taa$ LaAe, "ased and in,ndated -. te "aters tereo!, and -eing o! p,-$i# o"nersip,
it #o,$d not -e te s,-Be#t o! registration as private propert.. Appe$$ants erein, de!endants
-e$o", a$$eged in teir ans"er tat te Covern+entDs a#tion "as a$read. -arred -. te
de#ision o! te registration #o,rt= tat te a#tion as pres#ri-ed= and tat te govern+ent
"as estopped !ro+ 8,estioning te o"nersip and possession o! appe$$ants.
A!ter tria$, te ten Co,rt o! First Instan#e o! 0atangas, 0ran# 1I, presided over -. ?onora-$e
0enBa+in Re$ova, in a *e#ision dated Fe-r,ar. &, 1'/& ;Re#ord on Appea$, pp. &%6&'<, r,$ed
in !avor o! erein petitioner Rep,-$i# o! te Pi$ippines. Te de#reta$ portion o! te said
de#ision, reads3
E?EREFORE, te Register o! *eeds o! 0atangas is ere-. ordered to #an#e$ Origina$
Certi9#ate o! Tit$e No. 26&&4 in te na+e o! 5odesto Casti$$o and te s,-se8,ent Trans!er o!
Certi9#ates o! Tit$e iss,ed over te propert. in te na+es o! te de!endants. Lots Nos. 1 and
% o! P$an Ps,61'1&& are ere-. de#$ared p,-$i# $ands -e$onging to te state. Eito,t
prono,n#e+ent as to #osts.
Te Co,rt o! Appea$s, on appea$, in a *e#ision pro+,$gated on Apri$ %&,1'(), reversed and
set aside te appea$ed de#ision, and dis+issed te #o+p$aint ;Re#ord, pp. 716)1<. ?erein
petitioner 9$ed a 5otion !or Re#onsideration ;Re#ord, pp. )%641<, -,t te sa+e "as denied in
a Reso$,tion pro+,$gated on O#to-er 1%,1'() ;Re#ord, p. 4%<. ?en#e, te instant petition.
Te so$e iss,e raised in tis #ase is "eter or not te de#ision o! te Land Registration Co,rt
invo$ving sore $ands #onstit,tes res adjudicata.
Tere is no 8,estion tat one o! te re8,isites o! res judicata is tat te #o,rt rendering te
9na$ B,dg+ent +,st ave B,risdi#tion over te s,-Be#t +atter ;Ra+os v. Pa-$o, 1)& SCRA %)
F1'(&G= tat sores are properties o! te p,-$i# do+ain intended !or p,-$i# ,se ;Arti#$e )%2,
Civi$ Code< and, tere!ore, not registra-$e. T,s, it as $ong -een sett$ed tat portions o! te
!oresore or o! te territoria$ "aters and -ea#es #annot -e registered. Teir in#$,sion in a
#erti9#ate o! tit$e does not #onvert te sa+e into properties o! private o"nersip or #on!er
tit$e ,pon te registrant ;Rep,-$i# v. A.a$a . Cia, 1) SCRA, %4' F1'&4G, #iting te #ases o!
*iHon, et a$. v. 0a.ona, et a$., '( Pi$. ')7= and *iHon, et a$. v. Rodrig,eH, et a$., 17 SCRA /2)<.
0,t an i+portant -one o! #ontention is te nat,re o! te $ands invo$ved in tis #ase.
Petitioner #ontends Itat ILots 1 and %, PSU611'1&& ad a$"a.s !or+ed part o! te Taa$ LaAe,
"ased and in,ndated -. te "aters tereo!. Conse8,ent$., te sa+e "ere not s,-Be#t to
registration, -eing o,tside te #o++er#e o! +en= and tat sin#e te $ots in $itigation are o!
p,-$i# do+ain ;Art. 42%<, par. ) Civi$ Code< te registration #o,rt ;o! 1'41< did not ave
B,risdi#tion to adB,di#ate said $ands as private propert., en#e, res judicata does not app$..
;Ro$$o, pp. 7/67(<.
Te Covern+ent presented -ot ora$ and do#,+entar. eviden#e.
As s,++ariHed -. te Inter+ediate Appe$ate Co,rt ;no" Co,rt o! Appea$s<, te testi+onies
o! te "itnesses !or te petitioner are as !o$$o"s3
1. Rosendo Ar#enas, a Ceodeti# Engineer #onne#ted "it te 0,rea, o! Lands sin#e 1'&1,
testi9ed to te eJe#t tat Lots 1 and %, Ps,611'1&&, "i# are te $ots in 8,estion, adBoin te
#adastra$ s,rve. o! Tana,an, 0atangas ;Cad. 1&(<= tat te origina$ -o,ndar. o! te origina$
#adastra$ s,rve. "as !oresore $and as indi#ated on te p$an= tat te #adastra$ s,rve. o!
Tana,an "as e:e#,ted so+eti+e in 1'%7= tat te 9rst s,rve. e:e#,ted o! te $and a!ter
1'%7 "as te one e:e#,ted in 1')( ,nder P$an Ps,611'1&& tat in te re$o#ation s,rve. o!
te disp,ted $ots in 1'&% ,nder SEO6)2&21, said $ots "ere annotated on te p$an as #$ai+ed
-. te Rep,-$i# o! te Pi$ippines in te sa+e +anner tat it "as so annotated in P$an Ps,6
11'1&&= t,s so"ing tat te Covern+ent "as te on$. #$ai+ant o! te $and d,ring te
s,rve. in 1')(= tat d,ring te re$o#ation s,rve. +ade in 1'&%, o$d points #annot -e
Identi9ed or $o#ated -e#a,se te. "ere ,nder "ater -. a-o,t !ort. #enti+eters= tat d,ring
te o#,$ar inspe#tion o! te pre+ises on Nove+-er %7, 1'/2, e !o,nd tat % +on,+ents o!
te $ots in 8,estion "ere "ased o,t -. te "aters o! te 0a$o.-o. CreeA= tat e a$so !o,nd
d,#A pens a$ong te $ots in 8,estion= tat tere are o,ses in te pre+ises as "e$$ as so+e
#a+otes and -ananas= and tat e !o,nd a$so so+e se$$s ;Ds,soD< a$ong te -anAs o! te Taa$
$aAe ;Tsn, Nov. 1&, 1'/2, pp. 176%1= Fe-. 1&, 1'/1, pp. )67&<.
%. 0ra,$io A$+endra$ testi9ed to te eJe#t tat e is a resident o! Tana,an, 0atangas, near
te Taa$ $aAe= tat $iAe i+se$! tere are oter o##,pants o! te $and a+ong "o+ are
Atana#io Tironas, Cavino 5endoHa, >,$iano Tirones, Agapito L$arena, et#.= tat it "as te. "o
% | P a g e
9$$ed ,p te area to +aAe it a-ita-$e= tat te. 9$$ed ,p te area "it se$$s and sand= tat
teir o##,pation is d,#A raising= and tat te Casti$$os never sta.ed in or o##,pied te
pre+ises ;Tsn, Nov. 1&, 1'/2, pp. 7%642<.
7. Arsenio I-a., a Ceodeti# Engineer #onne#ted "it te 0,rea, o! Lands sin#e 1'&(, a$so
testi9ed to te eJe#t tat in a##ordan#e "it te #adastra$ p$an o! Tana,an, te on$. private
#$ai+ o! Si:to Casti$$o re!erred to Lots 122& to 122(= tat te Casti$$os never asserted an.
private #$ai+ to te $ots in 8,estion d,ring te #adastra$ s,rve.=D tat in te preparation o!
p$an Ps,611'1&&, Lots 1%7/) and 1%7// "ere +ade as re!eren#e to #on!or+ to previo,s$.
approved p$ans= tat $ot 1%7/) is a portion o! #adastra$ $ot 1212/, SEO6(&/7( "i$e Lot
%%7// is a portion o! Lot 1212( o! te sa+e p$an ;Tsn, Nov. %4, 1'/2, pp. 114617/<.
). >ose Isidro, a Land Investigator o! te 0,rea, o! Lands, testi9ed to te eJe#t tat p,rs,ant
to te order o! te *ire#tor o! Lands, e, togeter "it Engineer R,9no Santiago and te
-arrio #aptain o! Tana,an, 0atangas, #ond,#ted an investigation o! te $and in 8,estion= tat
e s,-+itted a report o! investigation, dated O#to-er 1', 1'/2 ;E:. ?61<= tat portions o!
te $ot in 8,estion "ere #overed -. p,-$i# $and app$i#ations 9$ed -. te o##,pants tereo!=
tat Engineer Santiago a$so s,-+itted a report ;E:. ?6(<= tat e ad noti9ed *r. 5ariano
Casti$$o -e!ore #ond,#ting te investigation ;Tsn, Nov. %4,1'/2, pp. 17/61&%<.
4. R,9no Santiago, anoter Ceodeti# Engineer #onne#ted "it te 0,rea, o! Lands, testi9ed
to te eJe#t tat on O#to-er 1',1'/2, e s,-+itted a report o! investigation regarding te
$and in 8,estion= tat e noted on te p$an E:i-it ?6' te areas on "i# te o,ses o!
Severo A$#antara and oters "ere -,i$t= tat e !o,nd tat te $and "as p$anted to #o#on,ts
"i# are a-o,t 14 .ears o$d= tat te $and is $iAe"ise i+proved "it ri#e paddies= tat te
o##,pants tereo! are d,#A raisers= tat te area ad -een e$evated -e#a,se o! te "aste
+atters and d,#A !eeds tat ave a##,+,$ated on te gro,nd tro,g te .ears ;Tsn, Nov.
%&,1'/2, pp. 1&761'&<.
&. Pa-$o Tapia, 0arrio Captain o! Tana,an, 0atangas, sin#e 1'4/, testi9ed to te eJe#t tat
te a#t,a$ o##,pants o! Lots I and % are Atana#io Tirones,t#.= tat d,ring te "ar te "ater
$ine rea#ed ,p to a point +arAed E:i-it A6' and at present te "ater as re#eded to a point
,p to E:i-it A61%= tat te reasons ". te "aters o! Taa$ $aAe ave re#eded to te present
$eve$ is -e#a,se o! te 9$$ings +ade -. te peop$e $iving in Lots 1 and %= tat tere are
severa$ d,#A pens a$$ over te p$a#e= tat te #o+position o! te soi$ is a +i:t,re o! +,d and
d,#A !eeds= tat i+prove+ents #onsist o! -ananas, -a+-oos and pa$a.= tat te sore$ine is
not even in sape -e#a,se o! te 0a$o.-o. CreeA= tat te peop$e in te area never #a+e to
Ano" a-o,t te registration #ase in "i# te $ots in 8,estion "ere registered= tat te
peop$e $iving in te area, even "ito,t an. govern+ent aid, e$ped one anoter in te
#onstr,#tion o! irrigated ri#e paddies= tat e e$ped te+ 9$e teir p,-$i# $and app$i#ations
!or te portions o##,pied -. te+= tat te Casti$$os ave never -een in possession o! te
pre+ises= tat te peop$e depend ,pon d,#A raising as teir +eans o! teir $ive$iood= tat
Lots 1 and % "ere .et ine:istent d,ring te >apanese o##,pation= and tat te peop$e started
i+proving te area on$. d,ring $i-eration and -egan to -,i$d teir o,ses tereon. ;Tsn, Nov.
%&,1'/2, pp. 1'/6%7)<.
A+ong te e:i-its !or+a$$. oJered -. te Covern+ent are3 te Origina$ P$an o! Tana,an,
0atangas, parti#,$ar$. te 0anader Estate, te Origina$ P$an o! PSU611'1&&, Re$o#ation
1eri9#ation S,rve. P$an, +aps, and reports o! Ceodeti# Engineers, a$$ so"ing te origina$
sore$ine o! te disp,ted areas and te !a#t tat te properties in 8,estion "ere ,nder "ater
at te ti+e and are sti$$ ,nder "ater espe#ia$$. d,ring te rain. season ;?earing, 5ar#
1/,1'/1, TSN, pp. )&6)/<.
On te oter and, private respondents +aintain tat Lots 1 and % ave a$"a.s -een in te
possession o! te Casti$$o !a+i$. !or +ore tan /& .ears and tat teir possession "as p,-$i#,
pea#e!,$, #ontin,o,s, and adverse against te "o$e "or$d and tat said $ots "ere not tit$ed
d,ring te #adastra$ s,rve. o! Tana,an, -e#a,se te. "ere sti$$ ,nder "ater as a res,$t o! te
er,ption o! Taa$ 1o$#ano on 5a. 4, 1'11 and tat te in,ndation o! te $and in 8,estion -.
te "aters o! Taa$ LaAe "as +ere$. a##identa$ and does not aJe#t private respondentsD
o"nersip and possession tereo! p,rs,ant to Arti#$e //( o! te La" o! Eaters. Te. 9na$$.
insisted tat tis iss,e o! !a#ts ad -een s8,are$. raised at te earing o! te $and
registration #ase and, tere!ore, res judicata ;Re#ord on Appea$, pp. &76&)<. Te. s,-+itted
ora$ and do#,+entar. eviden#e in s,pport o! teir #$ai+.
A$so s,++ariHed -. respondent Appe$$ate Co,rt, te testi+onies o! te "itnesses o! private
respondents are as !o$$o"s3
1. Si$vano Reano, testi9ed to te eJe#t tat e "as te overseer o! te propert. o! te $ate
5odesto Casti$$o $o#ated at 0anadero,Tana,an, 0atangas sin#e 1')) to 1'&4= tat e a$so
Ano"s Lots 1 and %, te par#e$s o! $and in 8,estion, sin#e e "as +anaging said propert.=
tat te o##,pants o! said Lots 1 and % "ere engaged in d,#A raising= tat tose o##,pants
"ere pa.ing te Casti$$os #ertain a+o,nt o! +one. -e#a,se teir ani+a$s ,sed to get inside
te $ots in 8,estion= tat e "as present d,ring te s,rve. o! te $and in 1')(= and tat aside
!ro+ te d,#A pens "i# are -,i$t in te pre+ises, te $and is p$anted to ri#e ;Tsn, Apri$ 1),
1'/1, pp. &%6((<.
%. *r. 5ariano Casti$$o, testi9ed to te eJe#t tat te $ate 5odesto Casti$$o "as a govern+ent
oK#ia$ "o e$d ig positions in te Covern+ent= and tat ,pon is deat te $and "as
s,-divided a+ong is $ega$ eirs. ;Appe$$eeDs 0rie!, pp. )6'<.
As a-ove6stated, te tria$ #o,rt de#ided te #ase in !avor o! te govern+ent -,t te de#ision
"as reversed on appea$ -. te Co,rt o! Appea$s.
A #are!,$ st,d. o! te +erits o! teir varied #ontentions readi$. so"s tat te eviden#e !or
te govern+ent as !ar o,t"eiged te eviden#e !or te private respondents. Oter"ise
stated, it as -een satis!a#tori$. esta-$ised as !o,nd -. te tria$ #o,rt, tat te properties in
8,estion "ere te sore$ands o! Taa$ LaAe d,ring te #adastra$ s,rve. o! 1'%7.
E:p$aining te 9rst s,rve. o! 1'%7, "i# so"ed tat Lots 1 and % are parts o! te Taa$ LaAe,
Engineer Rosendo Ar#enas testi9ed as !o$$o"s3
ATTY. ACCAOILI3
L No", .o, +entioned Engineer tat a s,-Be#t +atter o! tat p$an "i# appears to -e Lots 1
and % are adBoining #adastra$ $ots o! te Tana,an Cadastre, no", "i$$ .o, p$ease state to te
Co,rt "at is te -asis o! tat state+ent o! .o,rsM
A Te -asis o! tat state+ent is te p$an itse$!, -e#a,se tere is ere an annotation tat te
-o,ndar. on te norteastern side is Tana,an Cadastre 1&( "i# indi#ates tat te
-o,ndar. o! te origina$ #adastra$ s,rve. o! Tana,an Cadastre "a. -a#A in te .ear 1'%7
adBoins a !oresore $and "i# is a$so indi#ated in tis p$an as !oresore $ands o! Taa$ $aAe, sir.
::: ::: :::
L No", on tis p$an E:i-it IA6%I, tere are t"o $ots indi#ated na+e$., Lots 1%7/) and 1%7//,
"at do tese $ots representM
A Tis is te #adastra$ $ot e:e#,ted in !avor o! a #ertain 5odesto Casti$$o tat #orresponds to
Lots 1%7/) and anoter Lot 1%7//, sir.
L At te ti+e tis s,rve. p$an Ps,611'1&& and +arAed as E:i-it IA6%I "as e:e#,ted in 1')(,
"ere tese $ots 1 and % a$read. in e:isten#e as part o! te #adastra$ s,rve.M
A No, sir, -e#a,se tere is a$read. a !oresore -o,ndar..
L *o I ,nderstand !ro+ .o, 5r. Eitness at te ti+e o! te s,rve. o! tis $and tese t"o $ots
!or+ part o! tis portionM
A Yes, sir.
L Een again "as te #adastra$ s,rve. o! Tana,an, 0atangas, e:e#,ted i! .o, Ano"M
A In te .ear 1'%7, sir. ;?earing o! Nov. 1&, 1'/2, TSN pp. 1461/<.
7 | P a g e
S,# !a#t "as !,rter veri9ed in te 1eri9#ation6Re$o#ation S,rve. o! 1')( -. Engineer
Ar#enas "o #ond,#ted said s,rve. i+se$! and reported te !o$$o"ing3
Tat as per origina$ p$an Ps,611'1&&, it appears tat Lot 1 and Lot %, Ps,611'1&& s,rve.ed
and approved in te na+e o! 5odesto Casti$$o is a portion o! Taa$ LaAe and as s,# it appears
to -e ,nder "ater d,ring te s,rve. o! #adastra$ Lot No. 1%7/) and Lot No. 1%7//, "i# "as
s,rve.ed and approved in te na+e o! 5odesto Casti$$o ,nder Cad. 1&(. To s,pport tis
teor. is te annotation appearing and printed a$ong $ines %676)64 o! Lot 1, Ps,611'1&& and
a$ong $ines )646& o! Lot %, Ps,611'1&& "i# notations #$ear$. indi#ates tat s,# -o,ndar. o!
propert. "as a !or+er sore$ines o! Taa$ LaAe, in oter "ords, it "as te e:tent o! #,$tivation
-eing te sore$ines and te rest o! te area going to te so,t"estern dire#tion are a$read.
#overed -. "ater $eve$.
Anoter teor. to -o$ster and s,pport tis Idea is te a#t,a$ $o#ation no" in te veri9#ation6
re$o#ation s,rve. o! a Ano"n geograpi# point "ere 0arrio 0o,ndar. 5on,+ent ;005 N. %%<
is ,nder "ater $eve$ 8,ite !or so+eti+es as eviden#e -. eart"orAs ;#o$$e#tion o! +,d< tat
a+o,nt over its s,r!a#e -. eigt. ;(2< #enti+eters -e$o" te gro,nd, see notation appearing
on veri9#ation6re$o#ation p$an previo,s$. s,-+itted. ;Re61eri9#ation6Re$o#ation S,rve.
E:i-its, pp. &)6&4<.
Said s,rve.s "ere !,rter #on9r+ed -. te testi+onies o! "itnesses to te eJe#t tat !ro+
1'42 to 1'&', d,ring rain. season, te "ater o! Taa$ $aAe even "ent -e.ond te 8,estioned
$ots= and tat te "ater, "i# "as a-o,t one ;1< !oot, sta.ed ,p to +ore or $ess t"o ;%< to
tree ;7< +onts ;Testi+onies o! 0ra,$io A$+endra$ and Anasta#io Tirones -ot residents o!
0anadero, Tana,an, 0atangas ;?earing o! Nov. 1&, 1'/2, TSN, pp. )16)% and ?earing o! Nov.
%7, 1'/2, TSN, pp. '7, '(6'', respe#tive$.<. In te Re$o#ation S,rve. o! 1'&%, tere "ere no
de9nite -o,ndar. or area o! Lots 1 and % -e#a,se a #ertain point is e:isting "i# "as ,nder
"ater -. )2 #enti+eters ;Testi+on. o! Engineer Ar#ena, ?earing o! Nov. 1&,1'/2, TSN, p. %2<.
LaAesore $and or $ands adBa#ent to te $aAe, $iAe te $ands in 8,estion +,st -e diJerentiated
!ro+ !oresore $and or tat part o! te $and adBa#ent to te sea "i# is a$ternate$. #overed
and $e!t dr. -. te ordinar. No" o! te tides ;Casti$$o, La" on Nat,ra$ Reso,r#es, Fi!t Edition,
1'4), p. &/<.
S,# distin#tion dra"s i+portan#e !ro+ te !a#t tat a##retions on te -anA o! a $aAe, $iAe
Lag,na de 0a., -e$ong to te o"ners o! te estate to "i# te. ave -een added ;CovDt. v.
Co$egio de San >ose, 47 Pi$. )%7< "i$e a##retion on a sea -anA sti$$ -e$ongs to te p,-$i#
do+ain, and is not avai$a-$e !or private o"nersip ,nti$ !or+a$$. de#$ared -. te govern+ent
to -e no $onger needed !or p,-$i# ,se ;Igna#io v. *ire#tor o! Lands, 12( Pi$. 774 F1'&2G<.
0,t said distin#tion "i$$ not e$p private respondents -e#a,se tere is no a##retion so"n to
e:ist in te #ase at -ar. On te #ontrar., it "as esta-$ised tat te o##,pants o! te $ots "o
"ere engaged in d,#A raising 9$$ed ,p te area "it se$$s and sand to +aAe it a-ita-$e.
Te de!ense o! $ong possession is $iAe"ise not avai$a-$e in tis #ase -e#a,se, as a$read. r,$ed
-. tis Co,rt, +ere possession o! $and does not -. itse$! a,to+ati#a$$. divest te $and o! its
p,-$i# #ara#ter ;C,evas v. Pineda, 1)7 SCRA &/) F1'&(G<.
PRE5ISES CONSI*ERE*, te Apri$ %&,1'() *e#ision o! te ten Inter+ediate Appe$$ate Co,rt
is ere-. SET ASI*E and RE1ERSE* and te Fe-r,ar. &,1'/& *e#ision o! te ten Co,rt o!
First Instan#e o! 0atangas is ere-. AFFIR5E* and REINSTATE*.
SO OR*ERE*.
OOOOOOOOOOOOOOOOOO
ROGELIO, GEORGE, LOLIT!, G.R. No. 1*9+9+
RO!LIN#!, 'n( JOEPHINE, ',,
-u.n'/e( P!I0O, .e1.e-en2e( 34 Present3
25e6. 7'25e. 'n( '22o.ne4-6n-7'82
JOE P!I0O, PUNO, C.., Cairperson,
Petitioners, CARPIO,
AUSTRIA65ARTINEP,
Q

CORONA, and
6 vers,s 6 LEONAR*O6*E CASTRO, .


#R. TEOFILO E#U!R#O F.
"ONTERRO&O, -u3-262u2e( 34
RO"U!L#O "ONTERRO&O,
"!RI! TERE! "ONTERRO&O, Pro+,$gated3
'n( TEPHEN "ONTERRO&O,
Respondents. Ju,4 31, 2008

:6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 :

T5e C'-e

0e!ore te Co,rt is a petition !or revie"
F1G
assai$ing te 71 >an,ar. %227 *e#ision
F%G
and
te 4 A,g,st %227 Reso$,tion
F7G
o! te Co,rt o! Appea$s in CA6C.R. C1 No. &71''. Te Co,rt o!
Appea$s aKr+ed te *e#ision
F)G
dated % Fe-r,ar. 1''' o!
te Regiona$ Tria$ Co,rt o! I$igan Cit., 0ran# & ;tria$ #o,rt<, in Civi$ Case No. 2&672&2.

T5e !n2e8e(en2 F'82-

Tis #ase originated !ro+ an a#tion !or re#over. o! possession and da+ages, "it
pra.er !or te iss,an#e o! a te+porar. restraining order or "rit o! pre$i+inar. +andator.
inB,n#tion, 9$ed -. Roge$io, Ceorge, Lo$ita, Rosa$inda and >osepine, a$$ s,rna+ed PasiRo,
represented -. teir !ater and attorne.6in6!a#t >ose PasiRo ;petitioners< against *r. Teo9$o
Ed,ardo F. 5onterro.o ;*r. 5onterro.o<, $ater s,-stit,ted -. is eirs Ro+,a$do, 5aria Teresa
and Stepen, a$$ s,rna+ed 5onterro.o ;respondents<.

Cad. Lot No. %17' o! Cad. %'%, I$igan Cadastre ;Lot No. %17'<, "it an area o! 1','/'
s8,are +eters, $o#ated at Pan,$6iran, A-,no, I$igan Cit., "as part o! a %)6e#tare $and
o##,pied, #,$tivated and #$eared -. La,reano PasiRo ;La,reano< in 1'77. Te %)6e#tare
$and !or+ed part o! te p,-$i# do+ain "i# "as $ater de#$ared a$iena-$e and
disposa-$e. On 1( Fe-r,ar. 1'74, La,reano 9$ed a o+estead app$i#ation over te entire %)6
e#tare $and ,nder ?o+estead App$i#ation No. %24()4.
F4G
On %% Apri$ 1')2, te 0,rea, o!
Forestr. "rote La,reano and in!or+ed i+ tat te tra#t o! $and #overed -. is app$i#ation
"as not needed !or !orest p,rposes.
F&G
On 11 Septe+-er 1')1, te *ire#tor o! Lands iss,ed
an Order
F/G
approving La,reanoSs o+estead app$i#ation and stating tat ?o+estead Entr.
No. 14)&41 "as re#orded in is na+e !or te $and app$ied !or -. i+.

La,reano died on %) 5ar# 1'42. On 14 Apri$ 1'4%, te *ire#tor o! Lands iss,ed an
Order
F(G
!or te iss,an#e o! a o+estead patent in !avor o! La,reano, +arried to Cra#iana
?er-ito
F'G
;Cra#iana<. La,reanoSs eirs did not re#eive te order and #onse8,ent$., te $and
"as not registered ,nder La,reanoSs na+e or ,nder tat o! is eirs. In 1'47, te propert.
"as #overed -. Ta: *e#$aration No. 1112%
F12G
in te na+e o! La,reano "it Cra#iana
F11G
as
ad+inistrator.

) | P a g e
0et"een 1')' and 1'4), a Cadastra$ S,rve. "as #ond,#ted in I$igan Cit.. Te s,rve.or
!o,nd tat a s+a$$ #reeA divided te %)6e#tare par#e$ o! $and into t"o portions, identi9ed as
Lot No. %17( and Lot No. %17'.

Petitioners #$ai+ed tat La,reanoSs eirs, eaded -. is son >ose, #ontin,o,s$.
possessed and #,$tivated -ot $ots. On 1& O#to-er 1'&%, >oseSs #o6eirs e:e#,ted a *eed o!
L,it#$ai+ reno,n#ing teir rigts and interest over te $and in !avor o! >ose. >ose se#,red a
tit$e in is na+e !or Lot No. %17(. Later, >ose a$ienated Lot No. %17' in !avor o! is #i$dren
;petitioners in tis #ase< "o, on ( >an,ar. 1''), si+,$taneo,s$. 9$ed app$i#ations !or grant
o! Free Patent Tit$es over teir respe#tive sares o! Lot No. %17' -e!ore te Land
5anage+ent 0,rea, o! te *epart+ent o! Environ+ent and Nat,ra$ Reso,r#es
;*ENR<. On %% A,g,st 1''), te *ENR granted petitionersS app$i#ations and iss,ed Origina$
Certi9#ate o! Tit$e ;OCT< No. P617%% ;a.!.< in !avor o! Roge$io PasiRo, OCT No. P6171( ;a.!.< in
!avor o! Ceorge PasiRo, OCT No. P6171/ ;a.!.< in !avor o! Lo$ita PasiRo, OCT No. P617%1 ;a.!.< in
!avor o! >osepine PasiRo, and OCT No. P6171' ;a.!.< in !avor o! Rosa$inda
PasiRo. Petitioners a$$eged tat teir possession o! Lot No. %17' "as interr,pted on 7 >an,ar.
1''7 "en respondents !or#i-$. tooA possession o! te propert..
Respondents a$$eged tat te. ad -een in open, #ontin,o,s, e:#$,sive and notorio,s
possession o! Lot No. %17', -. te+se$ves and tro,g teir prede#essors6in6interest, sin#e
12 >,$. 1')'. Te. a$$eged tat on 12 >,$. 1')', R,!o Lar,+-e ;Lar,+-e< so$d Lot No. %17'
to Petra Teves ;Petra<. On %/ Fe-r,ar. 1'(), Petra e:e#,ted a deed o! sa$e over Lot No.
%17' in !avor o! 1i#ente Teves ;1i#ente<. On %2 Fe-r,ar. 1'(4, 1i#ente e:e#,ted a
pa#to de retro sa$e over te $and in !avor o! Art,ro Teves ;Art,ro<. In 1''%, Art,ro so$d Lot
No. %17' in !avor o! respondentsS !ater, *r. 5onterro.o, -. virt,e o! an ora$ #ontra#t. On 4
>an,ar. 1''4, Art,ro e:e#,ted a *eed o! Con9r+ation o! A-so$,te Sa$e o! Unregistered Land
in !avor o! *r. 5onterro.oSs eirs.

Respondents a$$eged tat >ose "as not te o"ner o! Lot No. %17' and as s,#, e #o,$d
not se$$ te $and to is #i$dren. Te. a$$eged tat petitionersS OCTs "ere n,$$ and void !or
aving -een pro#,red in vio$ation o! te P,-$i# Land A#t. Te. !,rter a$$eged tat te Land
5anage+ent 0,rea, ad no a,torit. to iss,e te !ree patent tit$es -e#a,se Lot No. %17'
"as a private $and.

T5e Ru,6n9 o7 25e T.6', Cou.2
In its % Fe-r,ar. 1''' *e#ision, te tria$ #o,rt r,$ed, as !o$$o"s3

E?EREFORE, B,dg+ent is rendered in !avor o! a$$ te de!endants and against te
p$aintiJs3

1. *is+issing te #o+p$aint=

%. *e#$aring Lot No. %17', I$igan Cadastre %'%, $o#ated at Pan,$6iran, A-,no, I$igan Cit. to
ave a#8,ired te #ara#ter o! a private $and over "i# te Land 5anage+ent 0,rea, as
-een divested o! B,risdi#tion=

7. *e#$aring te de!endants to -e te o"ners and possessors o! te said $ot=
). *e#$aring OCT Nos. P617%% ;a.!.< o! Roge$io PasiRo, P6171( ;a.!.< o! Ceorge PasiRo, P6
171/ ;a.!.< o! Lo$ita PasiRo, P617%1 ;a.!.< o! >osepine PasiRo and P6171' ;a.!.< o! Rosa$inda
PasiRo to -e n,$$ and void !or aving -een pro#,red -. !ra,d and !or aving -een iss,ed -.
te Land 5anage+ent 0,rea, "i# as -een divested o! B,risdi#tion over said $ot=

4. *e#$aring te de!endants to -e entit$ed to te s,+ o! P&,222.22 deposited "it te
OK#e o! te C$erA o! Co,rt ,nder O.R. No. 1)(////=

&. *is+issing te de!endantsS #o,nter#$ai+ !or attorne.Ss !ees.

Costs against te p$aintiJs.

SO OR*ERE*.
F1%G

Te tria$ #o,rt r,$ed tat as o! >an,ar. 1''), Lot No. %17' ad a$read. a#8,ired te
#ara#ter o! a private $and -. operation o! $a". Sin#e Lot No. %17' ad a$read. #eased to
-e a p,-$i# $and, te Land 5anage+ent 0,rea, ad no po"er or a,torit. to dispose o! it -.
iss,ing !ree patent tit$es.

Te tria$ #o,rt r,$ed tat respondentsS #o,nter#$ai+ stands on te sa+e !ooting as an
independent a#tion. T,s, it #o,$d not -e #onsidered a #o$$atera$ atta#A on petitionersS
tit$es. Te tria$ #o,rt !,rter r,$ed tat respondents 9$ed teir #o,nter#$ai+ "itin one
.ear !ro+ te grant o! petitionersS tit$es, "i# "as te reg$e+entar. period !or i+p,gning a
tit$e.

Te tria$ #o,rt r,$ed tat te order !or te iss,an#e o! a patent in !avor o! La,reano
$apsed and -e#a+e functus ofcio "en it "as not registered "it te *ire#tor o! *eeds. Te
tria$ #o,rt r,$ed tat "i$e La,reano "as te origina$ #$ai+ant o! te entire %) e#tares, e
#eded te rigt to possession over a$! o! te propert., deno+inated as Lot No. %17', to
Lar,+-e so+eti+e in 1')/. Te tria$ #o,rt !o,nd tat La,reano oJered to se$$ a$! o! te
$and to is tenant Cavino L,ina8,in ;Cavino< -,t e did not ave +one.. Later, Cavino
$earned !ro+ Lar,+-e tat e ;Lar,+-e< a#8,ired a$! o! te $and !ro+ La,reano. Cavino
ten started de$ivering te o"nerSs sare o! te arvest to Lar,+-e. La,reano never
#ontested CavinoSs a#tion nor did e de+and tat Cavino de$iver to i+ te o"nerSs sare o!
te arvest and not to Lar,+-e. Een Lot No. %17' "as so$d, Cavino and is s,##essors
de$ivered te o"nerSs sare o! te arvest to Petra, 1i#ente, Art,ro, *r. 5onterro.o, and
*indo 5onterro.o, s,##essive$.. Te tria$ #o,rt a$so !o,nd tat te oter tenants ad never
given an. sare o! te arvest to >ose. Te tria$ #o,rt r,$ed tat petitioners ad !ai$ed to
present #onvin#ing eviden#e tat te. and teir prede#essors6in6interest "ere in possession
o! Lot No. %17' !ro+ 1')/ to 1'') "en te. 9$ed teir app$i#ation !or !ree patent. Te tria$
#o,rt r,$ed tat petitioners #o++itted a#t,a$ !ra,d "en te. +isrepresented in teir !ree
patent app$i#ations tat te. "ere in possession o! te propert. #ontin,o,s$. and p,-$i#$..

Petitioners appea$ed !ro+ te tria$ #o,rtSs *e#ision.

T5e Ru,6n9 o7 25e Cou.2 o7 !11e',-

In its 71 >an,ar. %227 *e#ision, te Co,rt o! Appea$s aKr+ed te tria$ #o,rtSs *e#ision.

Te Co,rt o! Appea$s r,$ed tat te tria$ #o,rt did not err in a$$o"ing respondentsS
#o,nter#$ai+ despite te non6appearan#e o! *r. 5onterro.o, te origina$ de!endant, at te
-aranga. #on#i$iation pro#eedings. Te Co,rt o! Appea$s r,$ed tat petitioners te+se$ves
did not persona$$. appear. Te. "ere represented -. teir attorne.6in6!a#t a$to,g te.
"ere a$$ o! $ega$ age, "i# "as a vio$ation o! te Tatar,ngang Pa+-aranga. pro#eedings
4 | P a g e
re8,iring te persona$ appearan#e o! te parties. ?en#e, te Co,rt o! Appea$s r,$ed tat
tere "as never a va$id #on#i$iation pro#eeding. ?o"ever, "i$e tis "o,$d ave -een a
gro,nd !or te dis+issa$ o! te #o+p$aint, te iss,e "as dee+ed "aived -e#a,se
respondents did not raise it in teir ans"er -e!ore te tria$ #o,rt.

Te Co,rt o! Appea$s r,$ed tat te va$idit. o! petitionersS tit$es #o,$d -e atta#Aed in a
#o,nter#$ai+. Te Co,rt o! Appea$s r,$ed tat respondentsS #o,nter#$ai+ "as a #o+p,$sor.
#o,nter#$ai+.

Te Co,rt o! Appea$s s,stained te tria$ #o,rtSs r,$ing tat te Land 5anage+ent
0,rea, ad -een divested o! B,risdi#tion to grant te patent -e#a,se te $and a$read.
a#8,ired te #ara#ter o! a private $and. Ei$e te o+estead patent "as iss,ed in !avor o!
La,reano, te iss,an#e o! patent order -e#a+e functus ofcio "en it "as not
registered. Te Co,rt o! Appea$s !,rter s,stained te tria$ #o,rtSs 9nding tat respondents
"ere in p.si#a$, open, p,-$i#, adverse and #ontin,o,s possession o! Lot No. %17' in te
#on#ept o! o"ner !or at $east 72 .ears prior to petitionersS app$i#ation !or !ree patent tit$es
over te $and.

Petitioners 9$ed a +otion !or re#onsideration.

In its 4 A,g,st %227 Reso$,tion, te Co,rt o! Appea$s denied petitionersS +otion !or
re#onsideration.

?en#e, te petition -e!ore tis Co,rt.

T5e I--ue

Petitioners raised te so$e iss,e o! "eter te Co,rt o! Appea$s erred in s,staining te
tria$ #o,rtSs *e#ision de#$aring respondents as te rigt!,$ o"ners and possessors o! Lot No.
%17'.
F17G

T5e Ru,6n9 o7 256- Cou.2

Te petition as no +erit.

Land Management Bureau Had No Jurisdiction
To Issue Free Patent Titles

In !irector of Lands ". #$C,
F1)G
te Co,rt r,$ed3

FAG$iena-$e p,-$i# $and e$d -. a possessor, #ontin,o,s$. or tro,g is prede#essors6in6
interest, open$., #ontin,o,s$. and e:#$,sive$. !or te pres#ri-ed stat,tor. period ;72 .ears
,nder Te P,-$i# Land A#t, as a+ended< is #onverted to private propert. -. te +ere $apse
or #o+p$etion o! te period, ipso B,re.
F14G

In Magistrado ". %splana,
F1&G
te Co,rt r,$ed tat so $ong as tere is a #$ear so"ing o!
open, #ontin,o,s, e:#$,sive and notorio,s possession, and en#e, a registra-$e possession,
-. present or previo,s o##,pants, -. an. proo! tat "o,$d -e #o+petent and ad+issi-$e, te
propert. +,st -e #onsidered to -e private.

In tis #ase, te tria$ #o,rt !o,nd tat te preponderan#e o! eviden#e !avors
respondents as te possessors o! Lot No. %17' !or over 72 .ears, -. te+se$ves and tro,g
teir prede#essors6in6interest. Te 8,estion o! "o -et"een petitioners and respondents ad
prior possession o! te propert. is a !a#t,a$ 8,estion "ose reso$,tion is te !,n#tion o! te
$o"er #o,rts.
F1/G
Een te !a#t,a$ 9ndings o! -ot te tria$ #o,rt and te Co,rt o! Appea$s are
s,pported -. s,-stantia$ eviden#e, te. are #on#$,sive and -inding on te parties and are
not revie"a-$e -. tis Co,rt.
F1(G
Ei$e te r,$e is s,-Be#t to e:#eptions, no e:#eption e:ists in
tis #ase.

Respondents "ere a-$e to present te origina$ *eed o! A-so$,te Sa$e, dated 12 >,$.
1')', e:e#,ted -. Lar,+-e in !avor o! Petra.
F1'G
Respondents a$so presented te s,##eeding
*eeds o! Sa$e so"ing te trans!er o! Lot No. %17' !ro+ Petra to 1i#ente
F%2G
and !ro+ 1i#ente
to Art,ro
F%1G
and te *eed o! Con9r+ation o! A-so$,te Sa$e o! Unregistered Rea$ Propert.
e:e#,ted -. Art,ro in !avor o! respondents.
F%%G
Respondents a$so presented a
#erti9#ation
F%7G
e:e#,ted -. P@Sr. S,perintendent >,$+,nier AA-ar >,-ai$, Cit. *ire#tor o! I$igan
Cit. Po$i#e Co++and and veri9ed !ro+ te Log 0ooA re#ords -. Senior Po$i#e OK#er 0ett.
*a$ongenes 5a-6A-o #on9r+ing tat Andres L,ina8,in +ade a report tat >ose, Roge$io and
L,#iana PasiRo, L,#ino Pe$arion and Nando Avi$o !or#i-$. tooA is #opra. Tis -e$ied
petitionersS a$$egation tat te. "ere in possession o! Lot No. %17' and respondents !or#i-$.
tooA possession o! te propert. on$. in >an,ar. 1''7.

Considering tat petitionersS app$i#ation !or !ree patent tit$es "as 9$ed on$. on ( >an,ar.
1''), "en Lot No. %17' ad a$read. -e#o+e private $and ipso jure, te Land 5anage+ent
0,rea, ad no B,risdi#tion to entertain petitionersS app$i#ation.

Non-Registration of Homestead Patent Rendered it
Functus Ocio

On#e a o+estead patent granted in a##ordan#e "it $a" is registered, te #erti9#ate
o! tit$e iss,ed -. virt,e o! te patent as te !or#e and eJe#t o! a Torrens tit$e iss,ed ,nder
te $and registration $a".
F%)G
In tis #ase, te iss,an#e o! a o+estead patent in 1'4% in !avor
o! La,reano "as not registered. Se#tion 127 o! Presidentia$ *e#ree No. 14%'
F%4G
+andates te
registration o! patents, and registration is te operative a#t to #onve. te $and to te
patentee, t,s3

Se#. 127. : : : :. Te deed, grant, patent or instr,+ent o! #onve.an#e !ro+ te
Covern+ent to te grantee sa$$ not taAe eJe#t as a #onve.an#e or -ind te $and -,t sa$$
operate on$. as a #ontra#t -et"een te Covern+ent and te grantee and as eviden#e o!
a,torit. to te Register o! *eeds to +aAe registration. I2 6- 25e '82 o7 .e96-2.'26on 25'2
-5',, 3e 25e o1e.'26:e '82 2o ';e82 'n( 8on:e4 25e ,'n(, and in a$$ #ases ,nder tis
*e#ree, registration sa$$ -e +ade in te oK#e o! te Register o! *eeds o! te provin#e or
#it. "ere te $and $ies. Te !ees !or registration sa$$ -e paid -. te grantee. A!ter d,e
registration and iss,an#e o! te #erti9#ate o! tit$e, s,# $and sa$$ -e dee+ed to -e registered
$and to a$$ intents and p,rposes ,nder tis *e#ree. ;E+pasis s,pp$ied<

F,rter, in tis #ase, La,reano a$read. #onve.ed Lot No. %17' to Lar,+-e in 1')/
-e!ore te approva$ o! is o+estead app$i#ation. In !a#t, Lar,+-e a$read. so$d te $and to
Petra in 1')', tree .ears -e!ore te iss,an#e o! te o+estead patent in !avor o!
La,reano. Te tria$ #o,rt !o,nd tat sin#e 1')/, te tenants o! Lot No. %17' ad -een
de$ivering te o"nerSs sare o! te arvest, s,##essive$., to Lar,+-e, Petra, 1i#ente and
& | P a g e
Art,ro Teves, *r. 5onterro.o and *indo 5onterro.o. Te tria$ #o,rt !o,nd no instan#e "en
te o"nerSs sare o! te arvest "as de$ivered to >ose PasiRo.

?en#e, "e s,stain te tria$ #o,rt tat te non6registration o! La,reanoSs o+estead
patent ad rendered it functus ofcio.
! "ounterclaim is Not a "ollateral !ttac# on t$e Title

It is a$read. sett$ed tat a #o,nter#$ai+ is #onsidered an origina$ #o+p$aint and as s,#,
te atta#A on te tit$e in a #ase origina$$. !or re#over. o! possession #annot -e #onsidered as
a #o$$atera$ atta#A on te tit$e.
F%&G
!e"elop&ent 'an( of t)e *)ilippines ". Court of
$ppeals
F%/G
is si+i$ar to te #ase -e!ore ,s inso!ar as petitioner in tat #ase 9$ed an a#tion !or
re#over. o! possession against respondent "o, in t,rn, 9$ed a #o,nter#$ai+ #$ai+ing
o"nersip o! te $and. In tat #ase, te Co,rt r,$ed3

Nor is tere an. o-sta#$e to te deter+ination o! te va$idit. o! TCT No. 12121. It is
tr,e tat te inde!easi-i$it. o! torrens tit$e #annot -e #o$$atera$$. atta#Aed. In te instant
#ase, te origina$ #o+p$aint is !or re#over. o! possession 9$ed -. petitioner against private
respondent, not an origina$ a#tion 9$ed -. te $atter to 8,estion te va$idit. o! TCT No.
12121 on "i# petitioner -ases its rigt. To r,$e on te iss,e o! va$idit. in a #ase !or
re#over. o! possession is tanta+o,nt to a #o$$atera$ atta#A. ?o"ever, it so,$d not F-Ge
over$ooAed tat private respondent 9$ed a #o,nter#$ai+ against petitioner, #$ai+ing
o"nersip over te $and and seeAing da+ages. ?en#e, "e #o,$d r,$e on te 8,estion o! te
va$idit. o! TCT No. 12121 !or te #o,nter#$ai+ #an -e #onsidered a dire#t atta#A on te
sa+e. UA #o,nter#$ai+ is #onsidered a #o+p$aint, on$. tis ti+e, it is te origina$ de!endant
"o -e#o+es te p$aintiJ... It stands on te sa+e !ooting and is to -e tested -. te sa+e
r,$es as i! it "ere an independent a#tion.S : : :.
F%(G

As s,#, "e s,stain -ot te tria$ #o,rt and te Co,rt o! Appea$s on tis iss,e.

Princi%le of "onstructi&e Trust !%%lies

Under te prin#ip$e o! #onstr,#tive tr,st, registration o! propert. -. one person in is
na+e, "eter -. +istaAe or !ra,d, te rea$ o"ner -eing anoter person, i+presses ,pon te
tit$e so a#8,ired te #ara#ter o! a #onstr,#tive tr,st !or te rea$ o"ner, "i# "o,$d B,sti!.
an a#tion !or re#onve.an#e.
F%'G
In te a#tion !or re#onve.an#e, te de#ree o! registration is
respe#ted as in#ontroverti-$e -,t "at is so,gt instead is te trans!er o! te propert.
"rong!,$$. or erroneo,s$. registered in anoterSs na+e to its rigt!,$ o"ner or to one "it a
-etter rigt.
F72G
I! te registration o! te $and is !ra,d,$ent, te person in "ose na+e te
$and is registered o$ds it as a +ere tr,stee, and te rea$ o"ner is entit$ed to 9$e an a#tion !or
re#onve.an#e o! te propert..
F71G


In te #ase -e!ore ,s, respondents "ere a-$e to esta-$is tat te. ave a -etter rigt
to Lot No. %17' sin#e te. ad $ong -een in possession o! te propert. in te #on#ept o!
o"ners, -. te+se$ves and tro,g teir prede#essors6in6interest. ?en#e, despite te
irrevo#a-i$it. o! te Torrens tit$es iss,ed in teir na+es and even i! te. are a$read. te
registered o"ners ,nder te Torrens s.ste+, petitioners +a. sti$$ -e #o+pe$$ed ,nder te $a"
to re#onve. te propert. to respondents.
F7%G

<HEREFORE, "e #EN& te petition. Ee !FFIR" te 71 >an,ar. %227
*e#ision and te 4 A,g,st %227 Reso$,tion o! te Co,rt o! Appea$s in CA6C.R. C1 No.
&71''. Costs against petitioners.

O OR#ERE#.

OOOOOOOOOOOOOOO
L!N# B!N% OF THE G.R. No. 1*082+
PHILIPPINE,
Petitioner, Present3

YNARES6SANTIACO, .,
C)airperson,
+ "ersus + AUSTRIA65ARTINEP,
CORONA,
Q
NAC?URA, and
REYES, .
REPUBLIC OF THE
PHILIPPINE, .e1.e-en2e( Pro+,$gated3
34 25e #6.e82o. o7 L'n(-,
Respondent. Fe-r,ar. ), %22(

: 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 :

# E C I I O N


RE&E, R.T., J.=


FOREST $ands are o,tside te #o++er#e o! +an and ,ns,s#epti-$e o! private appropriation in
an. !or+.
F1G

It is "e$$ sett$ed tat a #erti9#ate o! tit$e is void "en it #overs propert. o! p,-$i# do+ain
#$assi9ed as !orest, ti+-er or +inera$ $ands. An. tit$e iss,ed #overing non6disposa-$e $ots
even in te ands o! an a$$eged inno#ent p,r#aser !or va$,e sa$$ -e #an#e$$ed.
F%G
Te r,$e
+,st stand no +atter o" ars it +a. see+. !ura le, sed le,.
F7G
!ng 'atas a( maaaring
ma$ig%it su'alit ito ang mananaig.

0e!ore Us is a petition !or revie" on certiorari ,nder R,$e )4 9$ed -. petitioner Land 0anA o!
te Pi$ippines ;L0P< appea$ing te3 ;1< *e#ision
F)G
o! te Co,rt o! Appea$s ;CA<, dated A,g,st
%7, %221, in CA6C.R. C1 No. &)1%1 entit$ed V-epu.lic of t)e *)ilippines, represented .y t)e
!irector of Lands ". $ngelito 'ugayong, et al.W= and ;%< Reso$,tion
F4G
o! te sa+e Co,rt,
dated Nove+-er 1%, %221, den.ing L0PSs +otion !or re#onsideration.

Te CA aKr+ed te *e#ision
F&G
o! te Regiona$ Tria$ Co,rt ;RTC<, dated >,$. ', 1''&, de#$aring
n,$$ and void Origina$ Certi9#ate o! Tit$e ;OCT< No. P6%(%7, as "e$$ as oter tit$es originating
!ro+ it, on te gro,nd tat at te ti+e it "as iss,ed, te $and #overed "as sti$$ "itin te
!orest Hone.
F/G

/ | P a g e
T5e F'82-

OCT No. P6%(%7 "as iss,ed on Septe+-er %&, 1'&' in !avor o! one Ange$ito C.
0,ga.ong. Said +oter tit$e e+anated !ro+ Sa$es Patent No. )4/& iss,ed in 0,ga.ongSs
na+e on Septe+-er %%, 1'&'.
F(G
It #overed a par#e$ o! $and $o#ated in 0o#ana,
Ta-a#an, *avao Cit., "it an area o! )1,%/& s8,are +eters. It "as origina$$. identi9ed and
s,rve.ed as Lot No. )14' ,nder P$an SI6;1III61<, 7%(6*. 5ars. and ,nder "ater d,ring ig
tide, it ,sed to -e a portion o! a dr. river -ed near te +o,t o! *avao River.
F'G

Te $and "as initia$$. s,-divided into !o,r $ots, "iz.3 Lot Nos. )14'6A, )14'60, )14'6C and
)14'6* ,nder S,-division P$an ;LRC< Psd617'411 approved -. te Co++issioner o! Land
Registration on Apri$ %7, 1'/1.
F12G
Conse8,ent$., OCT No. P6%(%7 "as #an#e$$ed and ne"
Trans!er Certi9#ates o! Tit$e ;TCTs< rep$a#ed it, a$$ in te na+e o! 0,ga.ong.

0,ga.ong so$d a$$ o! te !o,r $ots to diJerent persons. Lot No. )14'6A, "i# "as ten
,nder TCT No. T67%/&', "as so$d to spo,ses Lo,rdes and Candido *,. A##ording$.,
said TCT "as #an#e$$ed and rep$a#ed -. TCT No. T6)%1&& in te na+e o! spo,ses *,.
F11G

A!ter"ards, te spo,ses *, !,rter #a,sed te s,-division o! te $and #overed -.
teir TCT No. T6)%1&& into t"o ;%< $ots. Te. so$d one o! said $ots to spo,ses Fe$i: and
C,ada$,pe *a.o$a, "o "ere iss,ed TCT No. T6)44(&. Te oter re+aining $ot, registered
,nder TCT No. T6)44(/, "as retained -. and registered in te na+es o! spo,ses *,.
F1%G

S,-se8,ent$., *, spo,sesS TCT No. T6)44(/ "as #an#e$$ed and "as rep$a#ed -. TCT No. T6
4/7)( registered in te na+e o! Lo,rdes Far+s, In#. s,-Be#t o! tis #ase.
F17G
Lo,rdes Far+s,
In#. +ortgaged tis propert. to petitioner L0P on Apri$ 1), 1'(2.
F1)G

Te va$idit. o! OCT No. P6%(%7, as "e$$ as its derivative TCTs, re+ained ,ndist,r-ed ,nti$
so+e residents o! te $and it #overed, parti#,$ar$. tose a$ong 0o$ton *iversion Road, 9$ed a
!or+a$ petition -e!ore te 0,rea, o! Lands on >,$. 14, 1'(1.
F14G

Investigation and o#,$ar inspe#tion "ere #ond,#ted -. te 0,rea, o! Lands to #e#A te
$egiti+a#. o! OCT No. P6%(%7. Te. !o,nd o,t tat3 ;1< at te ti+e Sa$es Patent No. )4/&
"as iss,ed to 0,ga.ong, te $and it #overed "as sti$$ "itin te !orest Hone, #$assi9ed ,nder
ProBe#t No. 1, LC6)/ dated A,g,st &, 1'%7= it "as re$eased as a$iena-$e and disposa-$e $and
on$. on 5ar# %4, 1'(1, p,rs,ant to 0F* Ad+inistrative Order No. )614(4 and to te
provisions o! Se#tion 17, Presidentia$ *e#ree ;P.*.< No. /24=
F1&G
;%< te $and "as +ars.
and #overed -. sea "ater d,ring ig tide= and ;7< 0,ga.ong "as never in a#t,a$
possession o! te $and.
F1/G

In vie" o! te !oregoing 9ndings, te 0,rea, o! Lands reso$ved tat te sa$es patent in !avor
o! 0,ga.ong "as i+proper$. and i$$ega$$. iss,ed and tat te *ire#tor o! Lands ad no
B,risdi#tion to dispose o! te s,-Be#t $and.
F1(G
Upon re#o++endation o! te 0,rea, o! Lands, te Rep,-$i# o! te Pi$ippines represented -.
te *ire#tor o! Lands, tro,g te OK#e o! te So$i#itor Cenera$ ;OSC<, instit,ted a
#o+p$aint
F1'G
-e!ore te RTC in *avao, 0ran# 14, !or te #an#e$$ation o! tit$e@patent and
reversion o! te $and #overed -. OCT No. P6%(%7 into te +ass o! p,-$i# do+ain. Te
#o+p$aint, as a+ended,
F%2G
"as 9$ed against 0,ga.ong and oter present o"ners and
+ortgagees o! te $and, s,# as Lo,rdes Far+s, In#. and te $atterSs +ortgagee, petitioner
L0P.

In its ans"er "it #ross6#$ai+,
F%1G
L0P #$ai+ed tat it is a +ortgagee in good !ait and !or
va$,e. It pra.ed tat so,$d TCT No. T64/7)( o! Lo,rdes Far+s, In#. -e ann,$$ed -. te #o,rt,
Lo,rdes Far+s, In#. so,$d -e ordered to pa. its o,tstanding o-$igations to L0P or to provide
a ne" #o$$atera$ se#,rit..
F%%G

RTC Ju(9/en2
Event,a$$., te RTC rendered its B,dg+ent
F%7G
on >,$. ', 1''& deter+ining tat3

: : : Te +istaAes and te Na"s in te granting o! te tit$e "ere +ade -. te 0,rea, o!
Lands personne$ +ore parti#,$ar$. te *ire#tor o! Lands "o is te OK#er #arged "it te
!o$$o"ing te provisions o! te P,-$i# Land La". : : :.

It is #$ear tat te +oter Tit$e, OCTXP6%(%7 in te na+e o! de!endant 0,ga.ong "as iss,ed
at a ti+e "en te area "as not .et re$eased -. te 0,rea, o! Forestr. to te 0,rea, o!
Lands.

Te area #overed -. OCT No. P. %(%7 "as not .et de#$ared -. te 0,rea, o! Lands a$iena-$e
and disposa-$e "en te said OCT "as iss,ed. Te s,-division o! te $ot #overed -. OCT P6
%(%7 into ) $ots #overed -. TCT Nos. T67%/&(, 7%/&', 7%/4& and 7%//1 did not #,re te
de!e#t. : : :.
F%)G

Te RTC e:p$ained tat tit$es iss,ed to private parties -. te 0,rea, o! Lands are void a.
initio i! te $and #overed -. it is a !orest $and.
F%4G
It "ent !,rter -. stating tat i! te +oter
tit$e is void, a$$ tit$es arising !ro+ te +oter tit$e are a$so void.
F%&G
It t,s r,$ed in !avor o! te
Rep,-$i# "it a fallo reading3

IN 1IEE E?EREOF, B,dg+ent is ere-. rendered de#$aring Origina$ Certi9#ate o! Tit$e No. P6
%(%7 iss,ed in te na+e o! de!endant Ange$ito 0,ga.ong n,$$ and void. Te !o$$o"ing
Trans!er Certi9#ate o! Tit$es "i# "ere origina$$. part o! te $ot #overed -. O.C.T. No. P6%(%7
are $iAe"ise de#$ared void3

1.A. TCT No. 4/7)( in te na+e o! de!endant Lo,rdes Far+s +ortgaged to de!endant Land
0anA.

0. TCT No. ()/)' in te na+e o! de!endants >onn. and Caterine *, +ortgaged to
de!endant *eve$op+ent 0anA o! te Pi$ippines.

C. TCT No. 7/7(& in te na+e o! de!endants spo,ses Paa+otang +ortgaged to de!endant
Lo,rdes *, +ortgaged "it de!endant A$$ied 0anA.

E. TCT Nos. &(14) and 7%/&( in te na+es o! de!endants@spo,ses 5ag$ana Santa+aria.

%. A$$ private de!endants sa$$ give to te *avao Cit. Register o! *eeds teir tit$es, "o
sa$$ #an#e$ te Trans!er Certi9#ate o! Tit$es +entioned in paragrap n,+-er one.

7. Lot No. )14', P$an SI ;1III61< 7%(6* #overed -. O.C.T. P6%(%7 is ere-. RE1ERTE* to
te +ass o! p,-$i# do+ain.
SO OR*ERE*.
F%/G
;Unders#oring s,pp$ied<

( | P a g e
*isagreeing "it te RTC B,dg+ent, L0P appea$ed to te CA on O#to-er 71, 1''&. It
asserted in its appe$$antSs -rie!
F%(G
tat it va$id$. a#8,ired +ortgage interest or $ien over te
s,-Be#t propert. -e#a,se it "as an inno#ent +ortgagee !or va$,e and in good !ait.
F%'G
It a$so
e+pasiHed tat it is a govern+ent 9nan#ia$ instit,tion.
C! #6-1o-626on
In a *e#ision
F72G
dated A,g,st %7, %221, te CA r,$ed against te appe$$ants,
F71G
disposing
t,s3

E?EREFORE, pre+ises #onsidered, te present appea$s are ere-. *IS5ISSE* and te
*e#ision o! te tria$ #o,rt in Civi$ Case No. 1/41& is ere-. AFFIR5E*.
F7%G

Te CA #on9r+ed tat te Veviden#e !or te p$aintiJ #$ear$. esta-$ised tat te $and #overed
-. OCT No. P6%(%7 iss,ed p,rs,ant to a sa$es patent granted to de!endant Ange$ito C.
0,ga.ong "as sti$$ "itin te !oresta$ Hone at te ti+e o! te grant o! te said patent.W
F77G
It
e:p$ained3

Forest $ands or !orest reserves, are in#apa-$e o! private appropriation and possession tereo!,
o"ever $ong, #annot #onvert te+ into private properties. Tis is pre+ised on te -egalian
!octrine ensrined not on$. in te 1'74 and 1'/7 Constit,tions -,t a$so in
te 1'(/ Constit,tion. O,r S,pre+e Co,rt as ,pe$d tis r,$e #onsistent$. even in ear$ier
#ases. It as a$so -een e$d tat "atever possession o! te $and prior to te date o! re$ease
o! !orested $and as a$iena-$e and disposa-$e #annot -e #redited to te 726.ear re8,ire+ent
;no", sin#e >,ne 1%, 1')4< ,nder Se#tion )(;-< o! te P,-$i# Land A#t. It is on$. !ro+ tat
date tat te period o! o##,pan#. !or p,rposes o! #on9r+ation o! i+per!e#t or in#o+p$ete
tit$e +a. -e #o,nted. Sin#e te s,-Be#t $and "as de#$ared as a$iena-$e and disposa-$e on$.
on 5ar# %4, 1'(1, appe$$ants and teir prede#essors6in6interest #o,$d not #$ai+ an. vested
rigt tereon prior to its re$ease !ro+ p,-$i# !orest Hone.

Te in#$,sion o! !orest $and in a tit$e, V"eter tit$e -e iss,ed d,ring te Spanis regi+e or
,nder te Torrens s.ste+, n,$$i9es te tit$e.W It is, o! #o,rse, a "e$$6re#ogniHed prin#ip$e tat
te *ire#tor o! Lands ;no" Land 5anage+ent 0,rea,< is -ere!t o! an. B,risdi#tion over p,-$i#
!orest or an. $ands not #apa-$e o! registration. It is te 0,rea, o! Forestr. tat as
B,risdi#tion and a,torit. over te de+ar#ation, prote#tion, +anage+ent, reprod,#tion,
o##,pan#. and ,se o! a$$ p,-$i# !orests and !orest reservations and over te granting o!
$i#enses !or te taAing o! prod,#ts tere!ro+. And "ere te $and app$ied !or is part o! te
p,-$i# !orest, te $and registration #o,rt a#8,ires no B,risdi#tion over te $and, "i# is not
.et a$iena-$e and disposa-$e.

T,s, not"itstanding te iss,an#e o! a sa$es patent over te s,-Be#t par#e$ o! $and, te
State +a. sti$$ taAe a#tion to ave te sa+e $and reverted to te +ass o! p,-$i# do+ain and
te #erti9#ate o! tit$e #overing said !orest $and de#$ared n,$$ and void !or aving -een
i+proper$. and i$$ega$$. iss,ed. Tit$es iss,ed over non6a$iena-$e p,-$i# $ands ave -een e$d
as void a. initio. Te de!ense o! inde!easi-i$it. o! tit$e iss,ed p,rs,ant to s,# patent does
not $ie against te State. P,-$i# $and !ra,d,$ent$. in#$,ded in patents or #erti9#ates o! tit$e
+a. -e re#overed or reverted to te State in a##ordan#e "it Se#tion 121 o! te P,-$i# Land
A#t. In s,# #ases, pres#ription does not $ie against te State. LiAe"ise, te govern+ent is
not estopped -. s,# !ra,d,$ent or "rong!,$ iss,an#e o! a patent over p,-$i# !orest $and
inas+,# as te prin#ip$e o! estoppe$ does not operate against te Covern+ent !or te a#ts
o! its agents. : : :.
F7)G
;Citations o+itted<

Eit respe#t to L0PSs #ontention
F74G
tat it "as a +ortgagee in good !ait and !or va$,e,
te CA de#$ared, #iting -epu.lic ". -eyes
F7&G
tat3 V+ortgagees o! non6disposa-$e $ands "ere
tit$es tereto "ere erroneo,s$. iss,ed a#8,ire no prote#tion ,nder te $and registration
$a". Appe$$ants6+ortgageesS proper re#o,rse tere!ore is to p,rs,e teir #$ai+s against teir
respe#tive +ortgagors and de-tors.W
F7/G

Een L0PSs +otion !or re#onsideration "as denied, it resorted to te petition at -ar.

I--ue-

L0P seeAs te reversa$ o! te CA disposition on te !o$$o"ing gro,nds X

A.
T?E COURT OF APPEALS ERRE* IN NOT FIN*INC T?AT T?E PETITIONER LAN* 0ANT
OF T?E P?ILIPPINESS 5ORTCACE RIC?T AN* INTEREST AS AN INNOCENT
PURC?ASER ;5ORTCACEE< FOR 1ALUE AN* IN COO* FAIT? O1ER
T?E SU0>ECT LAN* CO1ERE* 0Y TCT NO. T64/7)( IS 1ALI* AN* SU0SISTINC IN
ACCOR*ANCE EIT? T?E LAE AN* EXISTINC >URISPRU*ENCE IN OUR COUNTRY.

0.
T?E COURT OF APPEALS ERRE* IN NOT FIN*INC PETITIONER LAN* 0ANT OF
T?E P?ILIPPINESS 5ORTCACE RIC?T AN* INTEREST O1ER T?E SU0>ECT LAN*AS
1ALI* AN* SU0SISTINC UN*ER T?E CONSTITUTIONAL CUARANTEE OF NON6I5PAIR5ENT OF
O0LICATION OF CONTRACTS.

C.
T?E COURT OF APPEALS ERRE* IN NOT AEAR*INC TO PETITIONER LAN* 0ANT OF
T?E P?ILIPPINES T?E RELIEF PRAYE* FOR UN*ER ITS CROSS6CLAI5ACAINST CO6*EFEN*ANT
LOUR*ES FAR5S, INC., T?AT IS, OR*ERINC SAI* CO6*EFEN*ANT LOUR*ES FAR5S, INC. TO
PAY ITS OUTSTAN*INC O0LICATION TO T?ELAN* 0ANT CO1ERE* 0Y T?E SUPPOSE*
NULL AN* 1OI* TCT NO. T64/7)(, OR TO PRO1I*E A SU0STITUTE COLLATERAL IN LIEU OF
SAI* TCT NO. T64/7)(.
F7(G
;Unders#oring s,pp$ied<




Ou. Ru,6n9

LBP $as no &alid and su'sisting mortgagee)s interest o&er t$e land co&ered
'( T"T No. T-*+,-..

It as -een esta-$ised and ad+itted -. L0P tat3 ;1< te s,-Be#t $and +ortgaged to it
-. Lo,rdes Far+s, In#. is #overed -. TCT No. T64/7)(= and ;%< te said TCT is derived !ro+
OCT No. P6%(%7 iss,ed to 0,ga.ong.
F7'G

It "as !,rter as#ertained -. te #o,rts -e$o" tat at te ti+e OCT No. P6%(%7 "as
iss,ed to 0,ga.ong on Septe+-er %&, 1'&', te $and it #overed "as sti$$ "itin te !orest
Hone. It "as de#$ared as a$iena-$e and disposa-$e on$. on 5ar# %4, 1'(1.
F)2G

' | P a g e
*espite tese esta-$ised !a#ts, L0P arg,es tat its a$$eged interest as +ortgagee o!
te s,-Be#t $and #overed -. TCT No. T64/7)( +,st -e respe#ted. It avers tat TCTNo. T6
4/7)( is a Torrens tit$e "i# as no "ritten indi#ations o! de!e#t or vi#e aJe#ting te
o"nersip o! Lo,rdes Far+s, In#. ?en#e, it posits tat it "as not and #o,$d not ave -een
re8,ired to e:p$ore or go -e.ond "at te tit$e indi#ates or to sear# !or de!e#ts not indi#ated
in it.

L0P #ites #ases "ere te Co,rt r,$ed tat a part. is not re8,ired to e:p$ore !,rter
tan "at te Torrens tit$e ,pon its !a#e indi#ates in 8,est o! an. idden de!e#t o! an
in#oate rigt tat +a. s,-se8,ent$. de!eat is rigt to it= and tat a -anA is not re8,ired
-e!ore a##epting a +ortgage to +aAe an investigation o! te tit$e o! te propert. -eing given
as se#,rit.. L0P s,-+its tat its rigt as a +ortgagee is -inding against te "o$e "or$d and
+a. not -e disregarded.
F)1G


It !,rter arg,es tat revie" or reopening o! registration is pros#ri-ed, as te tit$e as
-e#o+e in#ontroverti-$e p,rs,ant to Se#tion 7% o! P.*. No. 14%'= and tat its +ortgage rigts
and interest over te s,-Be#t $and is prote#ted -. te #onstit,tiona$ g,arantee o! non6
i+pair+ent o! #ontra#ts.
F)%G

Te #ontention tat L0P as an interest over te s,-Be#t $and as a +ortgagee as no
+erit. Te +ortgagor, Lo,rdes Far+s, In#. !ro+ "i# L0P s,pposed$. o-tained its a$$eged
interest as never -een te o"ner o! te +ortgaged $and. A#8,isition o! te s,-Be#t $and -.
Lo,rdes Far+s, In#. is $ega$$. i+possi-$e as te $and "as re$eased as a$iena-$e and disposa-$e
on$. on 5ar# %4, 1'(1. Even at present, no one #o,$d ave possessed te sa+e ,nder a
#$ai+ o! o"nersip !or te period o! tirt. ;72< .ears re8,ired ,nder Se#tion )(;-< o!
Co++on"ea$t A#t No. 1)1, as a+ended.
F)7G
?en#e, L0P a#8,ired no rigts over te $and.

Under Arti#$e %2(4 o! te Civi$ Code, it is essentia$ tat te +ortgagor -e te a-so$,te o"ner
o! te ting +ortgaged, to "it3

ARTICLE %2(4. Te !o$$o"ing re8,isites are essentia$ to te #ontra#ts o! p$edge and
+ortgage3

;1< Tat te. -e #onstit,ted to se#,re te !,$9$$+ent o! a prin#ipa$ o-$igation=

;%< Tat te p$edgor or +ortgagor -e te a-so$,te o"ner o! te ting p$edged or
+ortgaged=
;7< Tat te persons #onstit,ting te p$edge or +ortgage ave te !ree disposa$ o! teir
propert., and in te a-sen#e tereo!, tat te. -e $ega$$. a,toriHed !or te
p,rpose. ;E+pasis o,rs<

Sin#e Lo,rdes Far+s, In#. is not te o"ner o! te $and, it does not ave te #apa#it. to
+ortgage it to L0P. In !e la Cruz ". Court of $ppeals,
F))G
te Co,rt de#$ared3

Ei$e it is tr,e tat te +ortgagees, aving entered into a #ontra#t "it petitioner as
+ortgagor, are estopped !ro+ 8,estioning te $atterSs o"nersip o! te +ortgaged propert.
and is #on#o+itant #apa#it. to a$ienate or en#,+-er te sa+e, it +,st -e #onsidered tat,
in te 9rst p$a#e, petitioner did not possess s,# #apa#it. to en#,+-er te $and at te ti+e
!or te starA reason tat it ad -een #$assi9ed as a !orest $and and re+ained a part o! te
patri+onia$ propert. o! te State. Ass,+ing, "ito,t ad+itting, tat te +ortgagees #annot
s,-se8,ent$. 8,estion te !a#t o! o"nersip o! petitioner a!ter aving dea$t "it i+ in tat
#apa#it., sti$$, petitioner "as never vested "it te proprietar. po"er to en#,+-er te
propert.. In !a#t, even i! te +ortgagees #ontin,ed to a#Ano"$edge petitioner as te o"ner
o! te disp,ted $and, in te e.es o! te $a", te $atter #an never -e pres,+ed to -e o"ner.

As #orre#t$. pointed o,t -. te OSC, +ortgagees o! non6disposa-$e $ands, tit$es to "i# "ere
erroneo,s$. iss,ed, a#8,ire no prote#tion ,nder te Land Registration La".
F)4G

Even ass,+ing tat L0P "as a-$e to o-tain its o"n TCT over te propert. -. +eans o! its
+ortgage #ontra#t "it Lo,rdes Far+s, In#., te tit$e +,st a$so -e #an#e$$ed as it "as derived
!ro+ OCT No. P6%(%7 "i# "as not va$id$. iss,ed to 0,ga.ong. Forest $ands #annot -e
o"ned -. private persons. It is not registera-$e "eter te tit$e is a Spanis tit$e or
a Torrens tit$e.
F)&G
It is "e$$ sett$ed tat a #erti9#ate o! tit$e is void "en it #overs propert. o!
p,-$i# do+ain #$assi9ed as !orest or ti+-er or +inera$ $and. An. tit$e iss,ed #overing non6
disposa-$e $ots even in te ands o! an a$$eged inno#ent p,r#aser !or va$,e sa$$ -e
#an#e$$ed.
F)/G

5oreover, te Co,rt as a$read. addressed te sa+e iss,e in its Reso$,tion o! Nove+-er 1),
%221 on te petition 9$ed -. te Pi$ippine Nationa$ 0anA ;PN0< in C. R. No. 1)'4&( entit$ed
V*)ilippine National 'an( ". -epu.lic of t)e *)ilippines represented .y t)e !irector of
Lands,W "i# a$so appea$ed te s,-Be#t CA de#ision. PN0, $iAe L0P, is a$so a +ortgagee o!
anoter derivative TCT o! te sa+e OCT No. %(%7. Said reso$,tion reads3

On Septe+-er %%, 1'&', Ange$ito C. 0,ga.ong "as iss,ed a sa$es patent #overing a )1,%/&
s8,are +eter par#e$ o! $and in 0o#ana, 0arrio Ta-a#an, *avao Cit. -. te 0,rea, o! Lands.
On te -asis o! te sa$es patent, te Register o! *eeds o! *avao Cit. iss,ed OCT No. P6%(%7
to 0,ga.ong. 0,ga.ong $ater s,-divided te $and into !o,r $ots, one o! "i# ;Lot No. )14'60
#overed -. TCTNo. T67%//2< "as so$d -. i+ to te spo,ses Re.na$do Roga#ion and CoraHon
Paa+otang. A!ter o-taining TCT No. T67//(& in teir na+es, te spo,ses +ortgaged te $ot
to te Pi$ippine Nationa$ 0anA ;PN0<. As te. de!a,$ted in te pa.+ent o! teir $oan,
te PN0 !ore#$osed te propert. and p,r#ased it at te !ore#$os,re sa$e as te igest
-idder. Event,a$$., te PN0 #onso$idated its tit$e.

So+eti+e in 1'(1, ,pon te petition o! te residents o! te $and, te 0,rea, o! Lands
#ond,#ted an investigation into te sa$es patent iss,ed in !avor o! Ange$ito C. 0,ga.ong and
!o,nd te sa$es patent to ave -een i$$ega$$. iss,ed -e#a,se ;1< te $and "as re$eased as
a$iena-$e and disposa-$e on$. on 5ar# %4, 1'(1= previo,s to tat, te $and "as "itin te
!orest Hone= ;%< te $and is #overed -. sea "ater d,ring ig tide= and ;7< te patentee,
Ange$ito C. 0,ga.ong, ad never -een in a#t,a$ possession o! te $and.

0ased on tis investigation, te govern+ent instit,ted te present s,it in 1'(/ !or
#an#e$$ation o! tit$e@patent and reversion o! te par#e$ o! $and against Ange$ito C. 0,ga.ong,
te Roga#ion spo,ses, and te PN0, a+ong oters.

On >,$. &, 1''&, te tria$ #o,rt rendered a de#ision de#$aring OCT No. P6%(%7 and a$$ tit$es
derived tere!ro+ n,$$ and void and ordering reversion o! te s,-Be#t propert. to te +ass o!
te p,-$i# do+ain. On appea$, te Co,rt o! Appea$s aKr+ed te tria$ #o,rtSs
de#ision. ?en#e, tis petition.

12 | P a g e
/irst. Petitioner #ontends tat it ad a rigt to re$. on TCT No. T67//(& so"ing te
+ortgagors Re.na$do Roga#ion and CoraHon Paa+otangSs o"nersip o! te propert..

Te #ontention is "ito,t +erit. It is "e$$ sett$ed tat a #erti9#ate o! tit$e is void "en it
#overs propert. o! p,-$i# do+ain #$assi9ed as !orest or ti+-er or +inera$ $ands. An. tit$e
iss,ed #overing non6disposa-$e $ots even in te ands o! an a$$eged inno#ent p,r#aser !or
va$,e sa$$ -e #an#e$$ed ;-epu.lic ". -eyes, 144 SCRA 717 ;1'(/<<.

;-epu.lic ". Court of $ppeals, 1)( SCRA )(2 ;1'(/<<. In tis #ase, petitioner does not disp,te
tat its prede#essor6in6interest, Ange$ito C. 0,ga.ong, ad te s,-Be#t propert. registered in
is na+e "en it "as !orest $and. Indeed, even i! te s,-Be#t propert. ad -een event,a$$.
segregated !ro+ te !orest Hone, neiter petitioner nor its prede#essors6in6interest #o,$d
ave possessed te sa+e ,nder #$ai+ o! o"nersip !or te re8,isite period o! tirt. ;72<
.ears -e#a,se it "as re$eased as a$iena-$e and disposa-$e on$. on 5ar# %4, 1'(1.

0econd. PetitionerSs #ontention tat respondentSs a#tion !or reversion is -arred -.
pres#ription !or aving -een 9$ed near$. t"o de#ades a!ter te iss,an#e o! 0,ga.ongSs sa$es
patent is $iAe"ise "ito,t +erit. Pres#ription does not $ie against te State !or reversion o!
propert. "i# is part o! te p,-$i# !orest or o! a !orest reservation registered in !avor o! an.
part.. P,-$i# $and registered ,nder te Land Registration A#t +a. -e re#overed -. te State
at an. ti+e ;-epu.lic ". Court of $ppeals, %4( SCRA %%7 ;1''&<<.
F)(G

Contrar. to te arg,+ent o! L0P, sin#e te tit$e is void, it #o,$d not ave -e#o+e
in#ontroverti-$e. Even pres#ription +a. not -e ,sed as a de!ense against te Rep,-$i#. On
tis aspe#t, te Co,rt in -eyes ". Court of $ppeals,
F)'G
#iting -epu.lic ". Court of $ppeals,
F42G
e$d3

PetitionersS #ontention tat te govern+ent is no" estopped !ro+ 8,estioning te va$idit. o!
OCT No. /%/ iss,ed to te+, #onsidering tat it tooA te govern+ent )4 .ears to assai$ te
sa+e, is erroneo,s. Ee ave r,$ed in a ost o! #ases tat pres#ription does not r,n against
te govern+ent. In point is te #ase o! -epu.lic ". Court of $ppeals, "erein "e de#$ared3

And in so !ar as te ti+e$iness o! te a#tion o! te Covern+ent is #on#erned, it is -asi# tat
pres#ription does not r,n against te State : : :. Te #ase $a" as a$so -een3

Een te govern+ent is te rea$ part. in interest, and is pro#eeding +ain$. to assert its o"n
rigts and re#over its o"n propert., tere #an -e no de!ense on te gro,nd o! $a#es or
$i+itation : : :.

P,-$i# $and !ra,d,$ent$. in#$,ded in patents or #erti9#ates o! tit$e +a. -e re#overed or
reverted to te State in a##ordan#e "it Se#tion 121 o! te P,-$i# Land A#t.*rescription does
not lie against t)e 0tate in suc) cases for t)e 0tatute of Li&itations does not run against t)e
0tate. 1)e rig)t of re"ersion or recon"eyance to t)e 0tate is not .arred .y
prescription. ;E+pasis o,rs<

T$ere is no im%airment of contract 'ut a &alid e/ercise of %olice %o0er of t$e
1tate.

Te #onstit,tiona$ g,arantee o! non6i+pair+ent o! #ontra#ts +a. not $iAe"ise -e ,sed -. L0P
to va$idate its interest over te $and as +ortgagee. Te StateSs restraint ,pon te rigt to
ave an interest or o"nersip over !orest $ands does not vio$ate te #onstit,tiona$ g,arantee
o! non6i+pair+ent o! #ontra#ts. Said restraint is a va$id e:er#ise o! te po$i#e po"er o! te
State. As e:p$ained -. te Co,rt in !irector of /orestry ". Mu2oz3
F41G

Te vie" tis Co,rt taAes o! te #ases at -ar is -,t in aderen#e to p,-$i# po$i#. tat so,$d
-e !o$$o"ed "it respe#t to !orest $ands. 5an. ave "ritten +,#, and +an. +ore ave
spoAen, and 8,ite o!ten, a-o,t te pressing need !or !orest preservation, #onservation,
prote#tion, deve$op+ent and re!orestation. Not "ito,t B,sti9#ation. For, !orests #onstit,te a
vita$ seg+ent o! an. #o,ntr.Ds nat,ra$ reso,r#es. It is o! #o++on Ano"$edge -. no" tat
a-sen#e o! te ne#essar. green #over on o,r $ands prod,#es a n,+-er o! adverse or i$$
eJe#ts o! serio,s proportions. Eito,t te trees, "aterseds dr. ,p= rivers and $aAes "i#
te. s,pp$. are e+ptied o! teir #ontents. Te 9s disappear. *en,ded areas -e#o+e d,st
-o"$s. As "ater!a$$s #ease to !,n#tion, so "i$$ .droe$e#tri# p$ants. Eit te rains, te !erti$e
topsoi$ is "ased a"a.= geo$ogi#a$ erosion res,$ts. Eit erosion #o+e te dreaded Noods tat
"reaA avo# and destr,#tion to propert. X #rops, $ivesto#A, o,ses and ig"a.s X not to
+ention pre#io,s ,+an $ives. Indeed, te !oregoing o-servations so,$d -e "ritten do"n in
a $,+-er+anSs de#a$og,e.

0e#a,se o! te i+portan#e o! !orests to te nation, te StateSs po$i#e po"er as -een "ie$ded
to reg,$ate te ,se and o##,pan#. o! !orest and !orest reserves.

To -e s,re, te va$idit. o! te e:er#ise o! po$i#e po"er in te na+e o! te genera$ "e$!are
#annot -e serio,s$. atta#Aed. O,r govern+ent ad de9nite instr,#tions !ro+ te
Constit,tionSs prea+-$e to Vpro+ote te genera$ "e$!are.W >,rispr,den#e as ti+e and again
,pe$d te po$i#e po"er over individ,a$ rigts, -e#a,se o! te genera$ "e$!are. Five de#ades
ago, 5r. >,sti#e 5a$#o$+ +ade it #$ear tat te Vrigt o! te individ,a$ is ne#essari$. s,-Be#t to
reasona-$e restraint -. genera$ $a" !or te #o++on goodW and tat te V$i-ert. o! te #itiHen
+a. -e restrained in te interest o! p,-$i# ea$t, or o! te p,-$i# order and sa!et., or
oter"ise "itin te proper s#ope o! te po$i#e po"er.W 5r. >,sti#e La,re$, a-o,t t"ent. .ears
$ater, aKr+ed te pre#ept "en e de#$ared tat Vte state in order to pro+ote te genera$
"e$!are +a. inter!ere "it persona$ $i-ert., "it propert., and "it -,siness and
o##,pationsW and tat VFpGersons and propert. +a. -e s,-Be#ted to a$$ Ainds o! restraints and
-,rdens, in order to se#,re te genera$ #o+!ort, ea$t, and prosperit. o! te
state.W Re#ent$., "e 8,oted !ro+ $eading A+eri#an #ase, "i# prono,n#ed tat Vneiter
propert. rigts nor #ontra#t rigts are a-so$,te= !or govern+ent #annot e:ist i! te #itiHen
+a. at "i$$ ,se is propert. to te detri+ent o! is !e$$o"s, or e:er#ise is !reedo+ o!
#ontra#t to "orA te+ ar+,W and tat, tere!ore, VFeG8,a$$. !,nda+enta$ "it te private
rigt is tat o! te p,-$i# to reg,$ate it in te #o++on interest.W ;E+pasis o,rs and #itations
o+itted<

In %du ". %ricta,
F4%G
te Co,rt de9ned po$i#e po"er as te a,torit. o! te state to ena#t
$egis$ation tat +a. inter!ere "it persona$ $i-ert. or propert. in order to pro+ote te
genera$ "e$!are. It is te po"er to pres#ri-e reg,$ations to pro+ote te ea$t, +ora$s,
pea#e, ed,#ation, good order or sa!et., and genera$ "e$!are o! te peop$e. It is tat inerent
and p$enar. po"er o! te State "i# ena-$es it to proi-it a$$ tings ,rt!,$ to te #o+!ort,
sa!et. and "e$!are o! so#iet..
F47G
It e:tends to a$$ te great p,-$i# needs and is des#ri-ed as
te +ost pervasive, te $east $i+ita-$e and te +ost de+anding o! te tree inerent po"ers
o! te State, !ar o,tpa#ing ta:ation and e+inent do+ain.
F4)G
It is a ,-i8,ito,s and o!ten
,n"e$#o+e intr,sion. Even so, as $ong as te a#tivit. or te propert. as so+e re$evan#e to
te p,-$i# "e$!are, its reg,$ation ,nder te po$i#e po"er is not on$. proper -,t ne#essar..
F44G
11 | P a g e

Preservation o! o,r !orest $ands #o,$d entai$ intr,sion ,pon #ontra#t,a$ rigts as in tis #ase
-,t it is B,sti9ed -. te Latin +a:i+s 0alus populi est supre&a le, and 0ic utere tuo ut
alienu& non laedas, "i# #a$$ !or te s,-ordination o! individ,a$ interests to te -ene9t o!
te greater n,+-er.
F4&G

Ei$e Ee s.+patiHe "it petitioner, Ee nonete$ess #annot, in tis instan#e, .ie$d to
#o+passion and e8,it.. Te r,$e +,st stand no +atter o" ars it +a. see+.
F4/G


2e cannot resol&e t$e cross-claim for lac# of factual 'asis. T$e cross-claim must
'e remanded to t$e RT" for furt$er %roceedings.

L0P 9$ed a #ross6#$ai+ against Lo,rdes Far+s, In#. -e!ore te RTC.
F4(G
Te #ross6#$ai+ is !or
te pa.+ent o! #ross6de!endant Lo,rdes Far+s, In#.Ss a$$eged o-$igation to L0P or its
s,-+ission o! a s,-stit,te #o$$atera$ se#,rit. in $ie, o! te propert. #overed -. TCT No. T6
4/7)(.

?o"ever, te re#ords do not so" tat Lo,rdes Far+s, In#. "as re8,ired -. te RTC to 9$e an
ans"er to te #ross6#$ai+. LiAe"ise, Lo,rdes Far+s, In#. "as not noti9ed o! te pro#eedings
-e!ore te CA. It "as not a$so +ade a part. to tis petition.

LP0 no" #ontends tat te CA erred in not granting its #ross6#$ai+ against Lo,rdes Far+s,
In#. Ee are t,s #on!ronted "it te 8,estion3 So,$d Ee no" order Lo,rdes Far+s, In#. to
#o+p$. "it te de+and o! L0PM
Ee r,$e in te negative. It +a. -e tr,e tat Lo,rdes Far+s, In#. sti$$ as an
o-$igation to L0P -,t Ee #annot +aAe a r,$ing regarding te sa+e !or $a#A o! !a#t,a$
-asis. Tere is no eviden#e6taAing on te #ross6#$ai+. No eviden#e "as add,#ed -e!ore
te RTC or te CA regarding it. No !a#t,a$ 9nding or r,$ing "as +ade -. te RTC or te CA
a-o,t it.

It -ears stressing tat in a petition !or revie" on certiorari, te s#ope o! tis Co,rtDs B,di#ia$
revie" o! de#isions o! te CA is genera$$. #on9ned on$. to errors o! $a". L,estions o! !a#t are
not entertained.
F4'G

5oreover, te !ai$,re to +aAe a r,$ing on te #ross6#$ai+ -. te RTC "as not assigned as an
error in L0PSs appe$$antSs -rie!
F&2G
-e!ore te CA. ?en#e, te CA #annot -e !a,$ted !or not
+aAing a r,$ing on it.

As e$d in !e Liano ". Court of $ppeals,
F&1G
appe$$ant as to spe#i!. in "at aspe#t o! te $a"
or te !a#ts te tria$ #o,rt erred. Te #on#$,sion, tere!ore, is tat appe$$ant +,st #are!,$$.
!or+,$ate is assign+ent o! errors. Its i+portan#e #annot -e ,nderesti+ated, as Se#tion (,
R,$e 41 o! te R,$es o! Co,rt "i$$ attest3

Questions t)at &ay .e decided. X No error "i# does not aJe#t te B,risdi#tion over te
s,-Be#t +atter or te va$idit. o! te B,dg+ent appea$ed !ro+ or te pro#eedings terein "i$$
-e #onsidered ,n$ess stated in te assign+ent o! errors, or #$ose$. re$ated to or dependent on
an assigned error and proper$. arg,ed in te -rie!, save as te #o,rt +a. pass ,pon p$ain
errors and #$eri#a$ errors.

Apparent$., te #ross6#$ai+ "as taAen !or granted not on$. -. te RTC -,t a$so -. L0P. Te
#ross6#$ai+ "as not in#$,ded as a s,-Be#t or iss,e in te pre6tria$ order and instead o! asAing
tat te sa+e -e eard, L0P 9$ed a +otion
F&%G
to s,-+it te +ain #ase !or reso$,tion. Te
+ain #ase "as t,s reso$ved -. te RTC "ito,t to,#ing on te +erits o! te #ross6#$ai+.

On te oter and, "i$e te CA did not +aAe a #ategori#a$ r,$ing on L0PSs #ross6#$ai+, it
pointed o,t tat3 ;1< as !o,nd -. te RTC, tere is a +ortgage #ontra#t -et"een L0P and
Lo,rdes Far+s, In#., "it L0P as +ortgagee and Lo,rdes Far+s, In#. as +ortgagor= and ;%<
L0PSs proper re#o,rse is to p,rs,e its #$ai+ against Lo,rdes Far+s, In#.
F&7G

Te CA t,s i+p$ied$. r,$ed tat L0PSs #ross6#$ai+ so,$d not -e in#$,ded in tis #ase. Instead
o! +aAing a r,$ing on te sa+e, it re#o++ended tat L0P p,rs,e its #$ai+ against Lo,rdes
Far+s, In#.
A$$ to$d, a$to,g te re$ationsip -et"een L0P and Lo,rdes Far+s, In#. as +ortgagee and
+ortgagor "as esta-$ised, te #ross6#$ai+ o! L0P against Lo,rdes Far+s, In#. "as $e!t
,nreso$ved.

Te Co,rt is not in a position to reso$ve te #ross6#$ai+ -ased on te re#ords. In order !or te
#ross6#$ai+ to -e e8,ita-$. de#ided, te Co,rt, not -eing a trier o! !a#ts, is #onstrained to
re+and te #ase to te RTC !or !,rter pro#eedings. Re+and o! te #ase !or !,rter
pro#eedings is proper d,e to a-sen#e o! a de9nitive !a#t,a$ deter+ination regarding te
#ross6#$ai+.
F&)G

<HEREFORE, te appea$ed *e#ision o! te Co,rt o! Appea$s is
ere-. !FFIR"E# "it te "O#IFIC!TION tat te #ross6#$ai+ o! petitioner Land 0anA o!
tePi$ippines against Lo,rdes Far+s, In#. is RE"!N#E# to te Regiona$ Tria$ Co,rt, 0ran#
14, *avao Cit., !or !,rter pro#eedings.

O OR#ERE#.
>>>>>>>>>>>>>>>
G.R. No. 18+22* e12e/3e. +, 2009
POUE ROGELIO F. LOPE? !N# TEOTI"! G. LOPE?, Petitioners,
vs.
POUE !"UEL R. EPINO! !N# !NGELIT! . EPINO!, Respondents.
* E C I S I O N
&N!RE-!NTI!GO, J.:
Assai$ed in tis petition
1
!or revie" on #ertiorari is te 5ar# %), %22( *e#ision
%
o! te Co,rt
o! Appea$s in CA6C.R. C1 No. 22117 9nding petitioners, Spo,ses Roge$io F. LopeH and Teoti+a
C. LopeH, $ia-$e !or !or#i-$e entr. and da+ages as "e$$ as te A,g,st /, %22(
Reso$,tion
7
den.ing petitionersS +otion !or re#onsideration.
Respondents, Spo,ses Sa+,e$ R. Espinosa and Ange$ita S. Espinosa, o"ned a o,se $o#ated
at 0aranga. Easington, S,rigao Cit.. Constr,#ted in 1'(7, te o,se "as sit,ated at te
-a#A o! petitionersS residen#e and stood over a portion o! a par#e$ o! $and #overed -. Trans!er
Certi9#ate o! Tit$e No. T61%77%
)
, "i# "as iss,ed ,nder te na+e o! petitioners on >,ne %(,
1''&.
It appears !ro+ te re#ords tat te parties ave ad #onNi#ting #$ai+s over te s,-Be#t
propert. sin#e 1'') "en petitioners, togeter "it a 5r. No$an Tai+o, 9$ed an a#tion !or
re#over. o! possession against respondents. Te #ase "as do#Aeted as Civi$ Case No. )721
-e!ore 0ran# % o! te 5,ni#ipa$ Tria$ Co,rt in Cities o! S,rigao Cit., -,t "as dis+issed on
Septe+-er /, 1'') on te#ni#a$ gro,nds.
4
On >,ne ', 1''/ and >,$. %, 1''/, petitioners "ere
1% | P a g e
a$so s,++oned -. te OK#e o! te P,nong 0aranga. o! 0aranga. Easington, in #onne#tion
"it a #o+p$aint !or +a$i#io,s +is#ie! 9$ed -. respondents.
&
5ean"i$e, te instant #ase ste++ed !ro+ a #o+p$aint
/
!or For#i-$e Entr. "it *a+ages 9$ed
-. respondents against petitioners on Septe+-er 72, %22%. Te #ase "as do#Aeted as Civi$
Case No. 2%64'42 -e!ore 0ran# % o! te 5,ni#ipa$ Tria$ Co,rt in Cities o! S,rigao Cit..
Respondents a$$eged tat on 5a. 12, %22%, petitioners tooA advantage o! teir a-sen#e and
de+o$ised teir o,se -. +eans o! stea$t and strateg.. Aided -. ired personne$,
petitioners re+oved and destro.ed respondentsS o,se and en#$osed te propert. "it a
#on#rete !en#e.
In teir Ans"er,
(
petitioners denied aving de+o$ised respondentsS o,se and #$ai+ed tat
it "as destro.ed -. te e$e+ents. Te. a$so averred tat respondents per+anent$.
trans!erred residen#e in 1''' #onsidering tat te. paid teir "ater -i$$ on$. ,nti$ Fe-r,ar.
1''' "i$e te e$e#tri#a$ ,ti$it. "as dis#onne#ted on te sa+e .ear.
'
On Fe-r,ar. 4, %22), te 5,ni#ipa$ Tria$ Co,rt in Cities r,$ed in !avor o! respondents and e$d
tat petitioners !or#i-$. entered te s,-Be#t pre+ises. It noted tat3
FIGn 1'') de!endant LopeH and a #ertain No$an Tai+o 9$ed a #ase !or re#over. o! possession
vers,s erein p$aintiJs FrespondentsG "o "ere a$read. o##,pants o! a portion tereo!, -,t
te sa+e "as dis+issed !or te#ni#a$ reasons. In 1''&, te de!endants "ere a-$e to se#,re
TCT T61%77% in teir na+e and "i# #over not on$. teir residentia$ $ot -,t a$so te adBa#ent
$ot "i# p$aintiJs o##,pied and "ere teir o,se "as ere#ted. Ten, in 1''/ te p$aintiJs
ad a #$as "it de!endants "en te $atter a$$eged$. destro.ed p$aintiJsS !en#e "i#
#onNi#t rea#ed 0aranga. Captain La:aSs attention. Tese series o! events #$ear$. tend to
so" te +an. atte+pts o! de!endant LopeH to o,st te p$aintiJs !ro+ te pre+ises and
o##,p. te sa+e as is o"n. And, te $ast event is te one re$ated in te instant #ase "ere
te de!endants, sensing tat p$aintiJs "ere not present and teir o,se a$read. destro.ed -.
te e$e+ents, ad te $ot re$o#ated and !en#ed as a #onse8,en#e o! "i# p$aintiJs "ere
tota$$. deprived o! possession tereo!.
12
Te 5,ni#ipa$ Tria$ Co,rt did not $end #reden#e to petitionersS #$ai+s tat respondents
a-andoned teir o,se and tat te sa+e "as destro.ed -. nat,ra$ e$e+ents. It e$d tat
despite petitionersS #onstr,#tive possession !o$$o"ing te iss,an#e o! TCT No. T61%77%, te.
"ere not B,sti9ed in +aAing s,# !or#i-$e entr..
11
Te dispositive portion o! te
*e#ision
1%
states3
E?EREFORE, B,dg+ent is ere-. rendered3
1. *ire#ting de!endants FpetitionersG to re+ove te #on#rete !en#e, stee$ gate, gri$$s and
oter str,#t,res !o,nd on te pre+ises o##,pied -. p$aintiJs previo,s to te !or#i-$e entr.,
and a!ter "i# to de$iver possession tereo! to p$aintiJs s+oot$. and pea#e!,$$.=
%. *ire#ting de!endants FpetitionersG to pa. te va$,e o! te o,se and i+prove+ents in te
s,+ o! P(4,%22.22=
7. Ordering de!endants FpetitionersG to !,rter pa. $itigation e:penses and te #osts, and te
s,+ o! P12,222.22 as attorne.Ss !ees.
SO OR*ERE*.
17
Petitioners appea$ed to te Regiona$ Tria$ Co,rt o! S,rigao Cit.@S,rigao de$ Norte, "i#
reversed te r,$ing o! te 5,ni#ipa$ Tria$ Co,rt in Cities. In its A,g,st 1/, %22) *e#ision,
1)
te
Regiona$ Tria$ Co,rt dis+issed te #ase on te gro,nd tat te eviden#e #$ear$. prove
a-andon+ent on te part o! respondents.
14
Respondents 9$ed a petition !or revie"
1&
-e!ore te Co,rt o! Appea$s "i# aKr+ed in
toto te *e#ision o! te 5,ni#ipa$ Tria$ Co,rt in Cities. It !o,nd tat "i$e respondents $e!t te
o,se in 1''' "en respondent Sa+,e$ "as assigned to P$a#er, S,rigao de$ Norte, tis !a#t
a$one does not esta-$is a-andon+ent. 5oreover, te appe$$ate #o,rt noted tat respondents
enBo. priorit. o! possession, and tat te. paid te #orresponding ta:es d,e on te
o,se.
1/
T,s3
E?EREFORE, te instant petition is ere-. CRANTE*. Te *e#ision dated 1/ A,g,st %22) o!
te Regiona$ Tria$ Co,rt, Tent ;12t< >,di#ia$ Region, 0ran# No. %' o! S,rigao Cit. in Civi$
Case No. &%%' is RE1ERSE* and SET ASI*E. Te >,dg+ent dated 24 Fe-r,ar. %22) o! te
5,ni#ipa$ Tria$ Co,rt in Cities, 0ran# No. % o! S,rigao Cit. in Civi$ Case No. 2%64'42 !or
For#i-$e Entr. "it *a+ages is AFFIR5E* IN TOTO.
SO OR*ERE*.
1(
PetitionersS +otion !or re#onsideration "as denied, en#e tis petition on te !o$$o"ing
gro,nds3
T?E COURT OF APPEALS ERRE* IN RULINC T?AT T?E ?EREIN RESPON*ENTS *I* NOT
A0AN*ON T?EIR NIPA ?OUSE *ESPITE T?E FOLLOEINC UN*ISPUTE* FACTS, TO EIT3
A
T?E LOT O1ER E?IC? T?E NIPA ?OUSE EAS CONSTRUCTE* IS OENE* 0Y T?E ?EREIN
PETITIONERS AN* CO1ERE* 0Y TCT6T1%77%=
0
NO0O*Y EAS LEFT STAYINC IN T?E NIPA ?OUSE FOR YEARS AN* T?E EATER AN*
ELECTRICAL CONNECTIONS IN T?E NIPA ?OUSE EERE ALREA*Y CUT OFF AS EARLY AS 1'''.
Petitioners arg,e tat te dis#onne#tion o! "ater and e$e#tri# s,pp$. in respondentsS o,se is
proo! o! teir intention to a-andon te o,se, espe#ia$$. -e#a,se respondents are not te
o"ners o! te $and on "i# te o,se stood. Petitioners a$so a$$ege tat, even
ass,+ing arguendo tat te 5,ni#ipa$ Tria$ Co,rt #orre#t$. de#ided on te iss,e o!
possession, te a"ard o! Pp(4,%22.22 representing te va$,e o! i+prove+ents and
attorne.Ss !ees is not s,pported -. eviden#e.
On te oter and, respondents #$ai+ tat te. did not a-andon teir o,se, and tat te
a-andon+ent o! a rigt, #$ai+ or propert. +,st -e #$ear, a-so$,te, and irrevo#a-$e. On te
a"ard o! Pp(4,%22.22, respondents aver tat te iss,e "as raised !or te 9rst ti+e on
appea$.
Te petition $a#As +erit.
In !y ". Mandy Co&&odities Co., #nc.,
1'
te Co,rt e$d tat tere is !or#i-$e entr. or
desa,#io "en one is deprived o! p.si#a$ possession o! $and or -,i$ding -. +eans o! !or#e,
inti+idation, treat, strateg. or stea$t. Te -asi# in8,ir. #enters on "o as te prior
possession de !a#to. Te p$aintiJ +,st prove tat e "as in prior possession and tat e "as
deprived tereo!.
In te instant #ase, respondentsS o,se "as #onstr,#ted in 1'(7 and te. ad prior p.si#a$
possession ,nti$ te. "ere deprived tereo! -. petitioners. To s,-stantiate teir #$ai+s,
respondents s,-+itted te aKdavit, dated Septe+-er %2, %22%,
%2
o! Car$os C. 5eni$ and
Lo$ito S. 0ito, "o "itnessed te de+o$ition o! respondentsS o,se d,ring te $atterSs
a-sen#e. 5r. 5eni$ and 5r. 0ito attested tat te. sa" petitioner Roge$io persona$$.
s,pervising te de+o$ition o! respondentsS o,se, and tat e ere#ted a #on#rete !en#e
en#$osing te area "ere te o,se !or+er$. stood. Petitioners !ai$ed to re!,te te !oregoing
a$$egations e:#ept "it -are denia$s.
Ei$e petitioners o$d tit$e to te s,-Be#t propert. "ere te o,se "as $o#ated, te so$e
iss,e in !or#i-$e entr. #ases is "o ad prior possession de facto o! te disp,ted propert..
%1
In
*., te Co,rt e$d tat tese are s,++ar. pro#eedings intended to provide an e:peditio,s
+eans o! prote#ting a#t,a$ possession or rigt o! possession o! propert.. Tit$e is not invo$ved=
tat is ". it is a spe#ia$ #ivi$ a#tion "it a spe#ia$ pro#ed,re.
%%
3a""p)i3
Te Co,rt o! Appea$s #orre#t$. e$d tat respondents did not a-andon teir o,se.
A-andon+ent re8,ires ;a< a #$ear and a-so$,te intention to reno,n#e a rigt or #$ai+ or to
desert a rigt or propert.= and ;-< an e:terna$ a#t -. "i# tat intention is e:pressed or
17 | P a g e
#arried into eJe#t. Te intention to a-andon i+p$ies a depart,re, "it te avo"ed intent o!
never ret,rning, res,+ing or #$ai+ing te rigt and te interest tat ave -een
a-andoned.
%7
Tere is none in tis #ase.
Te dis#onne#tion o! "ater and e$e#tri# s,pp$. and te !a#t tat respondents $e!t te o,se
"en respondent Sa+,e$ "as assigned to S,rigao de$ Norte in 1''', do not #onstit,te
a-andon+ent. As #orre#t$. !o,nd -. te Co,rt o! Appea$s, respondents $e!t va$,a-$es inside
te o,se and ad te sa+e pad$o#Aed, "i# a#ts #onstit,te assertion and prote#tion o!
teir rigt over te s,-Be#t o,se and negate ren,n#iation and intention to $ose te sa+e.
%)
It -ears stressing tat te instant #ase "as pre#eded -. te 9$ing o! a#tions !or re#over. o!
possession and +a$i#io,s +is#ie! -e!ore te OK#e o! te P,nong 0aranga.. LiAe"ise, ,pon
dis#over. o! petitionersS a#ts o! intr,sion, respondents i++ediate$. 9$ed a #o+p$aint !or
!or#i-$e entr. and da+ages -e!ore te 5,ni#ipa$ Tria$ Co,rt in Cities. Te Certi9#ation to Fi$e
A#tion dated A,g,st %&, %22% so"s tat no sett$e+ent or #on#i$iation "as rea#ed.
%4
It is
#$ear !ro+ te !oregoing tat respondents ave not -een re+iss in asserting teir rigts and
tat petitionersS #$ai+s over te s,-Be#t propert. ave not gone ,n#a$$enged.
Te Co,rt aKr+s te a"ard o! Pp(4,%22.22 representing te va$,e o! i+prove+ents and
attorne.Ss !ees. Te iss,e on te propriet. o! te a"ard "as raised !or te 9rst ti+e on
+otion !or re#onsideration -e!ore te Co,rt o! Appea$s. Ee$$6sett$ed is te r,$e tat iss,es not
raised -e$o" #annot -e raised !or te 9rst ti+e on appea$.
%&
E?EREFORE, -ased on te !oregoing, te petition is *ENIE*. Te 5ar# %), %22( *e#ision o!
te Co,rt o! Appea$s in CA6C.R. SP No. 2211765IN 9nding petitioners $ia-$e !or !or#i-$e entr. is
AFFIR5E*.
O OR#ERE#.
OOOOOOOOOOOOOOOOO
G.R. No. 16+213 !1.6, 21, 2009
$!LENTIN C!BRER!, "!NUEL C!BRER!, 'n( REBECC! LELIE C!BR!, Petitioners,
vs.
ELI?!BETH GET!RUEL!, EULOGIO !B!BON, LEONI#! LIG!N, "!RIETTO !B!BON,
GLORI! P!N!L, LEONOR! OC!RI?!, OTERO !B!BON, JR., 'n( JOEPH
!B!BON, Respondents.
* E C I S I O N
C!RPIO, J.:
T5e C'-e
0e!ore te Co,rt is a petition !or revie"
1
assai$ing te %% >an,ar. %22) *e#ision
%
and 7 5a.
%22) Reso$,tion
7
o! te Co,rt o! Appea$s in CA6C.R. SP No. (22&%.
T5e !n2e8e(en2 F'82-
Lot Nos. 7&746CC and 7&746Y, $o#ated in Ina.a"an, Pardo, Ce-, Cit. "ere #overed -. Ta:
*e#$aration Nos. CR%T61%62/(62%)2' and CR%T61%62/(62%)71 in te na+e o! Ar#adio >a#a
;Ar#adio<. Te eirs o! Ar#adio e:e#,ted a notariHed do#,+ent Ano"n as I4asa.utan nga
5inigalaI dated %4 >,$. 1'41 "i# stip,$ated tat a$$ te inerited properties o! Ar#adio,
in#$,ding Lot No. 7&74, "o,$d go to Peregrina >a#a Ca-rera ;Peregrina<. ?o"ever, in a
Repartition ProBe#t approved on %1 Nove+-er 1'4& -. >,dge >ose 5. 5endoHa o! te Co,rt o!
First Instan#e o! Ce-, Cit., 0ran# & in Spe#ia$ Pro#eedings No. %1161, Lot Nos. 7&746CC and
7&746Y "ere given to Ur-ana >a#a A-a-on ;Ur-ana<, +oter o! E$iHa-et Cetar,e$a, E,$ogio
A-a-on, Leonida Ligan, 5arietto A-a-on, C$oria Pana$, Leonora O#ariHa, Sotero A-a-on, >r.,
and >osep A-a-on ;respondents<. Upon Ur-anaSs deat in 1''/, respondents inerited te
$ots.
1a$entin Ca-rera ;1a$entin<, 5an,e$ Ca-rera ;5an,e$<, and Re-e##a Les$ie Ca-ras ;Ca-ras<,
PeregrinaSs adopted da,gter, o##,pied te $ots "it te Ano"$edge and #onsent o!
respondents.
Respondents a$$eged tat 1a$entin, 5an,e$, and Ca-ras ;#o$$e#tive$., petitioners< "ere
o##,p.ing portions o! te $ots "ito,t pa.ing an. renta$s, -,t "it an agree+ent tat te.
"o,$d va#ate te pre+ises and de+o$is teir o,ses at teir e:pense so,$d respondents
need te propert.. In %221, respondents persona$$. noti9ed petitioners tat te. "o,$d
repossess te propert.. Respondents asAed petitioners to va#ate te pre+ises and re+ove
te o,ses te. -,i$t on te $ots. ?o"ever, despite repeated de+ands, petitioners re!,sed to
va#ate te pre+ises. Te +atter "as re!erred to te Lupong 1agapa&ayapa o! 0aranga.
Ina.a"an, Ce-, !or possi-$e a+i#a-$e sett$e+ent -,t petitioners sti$$ re!,sed to va#ate te
pre+ises. T,s, respondents 9$ed an a#tion !or eBe#t+ent against petitioners, do#Aeted as
Civi$ Case No. R6)4%(2.
Petitioners assai$ed te ProBe#t o! Partition as in#redi-$e -e#a,se its 9rst page "as +issing
and it $a#Aed te signat,res o! te parties "o e:e#,ted it. Petitioners asserted te va$idit. o!
te I4asa.utan nga 5inigala.I Ca-ras a$$eged tat as o"ner o! Lot No. 7&74 ,pon PeregrinaSs
deat, se #o,$d not -e eBe#ted !ro+ te pre+ises. 1a$entin and 5an,e$ a$$eged tat te.
#o,$d not -e eBe#ted -e#a,se te. -,i$t teir o,ses "it PeregrinaSs Ano"$edge and #onsent.
T5e Ru,6n9- o7 25e "TCC 'n( RTC
In its *e#ision
)
dated ) Apri$ %22%, te 5,ni#ipa$ Tria$ Co,rt in Cities, 0ran# /, Ce-, Cit.
;5TCC< r,$ed in !avor o! respondents, as !o$$o"s3
E?EREFORE, B,dg+ent is ere-. rendered in !avor o! te p$aintiJs and against te
de!endants, ordering te $atter to va#ate te pre+ises in 8,estion and to de+o$is "atever
i+prove+ents introd,#ed tereon and s,rrender #o+p$ete #ontro$ and possession tereo! to
te p$aintiJs, and to Boint$. and severa$$. pa. te $atter3
1< te a+o,nt o! P14,222.22 !or and as attorne.Ss !ees=
%< $itigation e:penses in te s,+ o! P4,222.22= and #ost o! s,it.
SO OR*ERE*.
4
Te 5TCC r,$ed tat te I4asa.utan nga 5inigalaI "as s,perseded -. te #o,rt6approved
Repartition ProBe#t. Te 5TCC noted tat in te Repartition ProBe#t, Lot Nos. 7&746CC and
7&746Y "ere given to Ur-ana, respondentsS prede#essor6in6interest. Te 5TCC r,$ed tat
"i$e te $ots "ere sti$$ in Ur-anaSs na+e, respondents "ere not -arred !ro+ B,di#ia$$.
eBe#ting petitioners !ro+ te pre+ises.
Petitioners appea$ed !ro+ te 5TCCSs *e#ision.
In its 1' 5a. %227 *e#ision,
&
te Regiona$ Tria$ Co,rt o! Ce-, Cit., 0ran# / ;RTC< reversed
te 5TCCSs *e#ision. Te RTC r,$ed tat te ProBe#t o! Partition so"ed tat Lot No. 7&746Y
"as #o6o"ned -. Ur-ana ;%41 s8. +.<, Peregrina ;(&7 s8. +.<, and Andres >a#a ;%41 s8. +.<.
Te RTC r,$ed tat as PeregrinaSs eir, Ca-ras -e#a+e a #o6o"ner o! Lot No. 7&746Y and se
#o,$d not -e eBe#ted !ro+ te propert.. Te RTC r,$ed tat 1a$entin and 5an,e$ #o,$d not
$iAe"ise -e eBe#ted !ro+ te propert. as te. "ere a$$o"ed -. Ca-ras to o##,p. te $ot.
Te RTC r,$ed tat te ProBe#t o! Partition a$so so"ed tat Ur-anaSs tota$ sare o! 1,)'' s8.
+., #overing 1,%)( s8. +. o! Lot No. 7&746CC and %41 s8. +. o! Lot No. 7&746Y, "as so$d to
one >ose9na Asas ;Asas<. As s,#, respondents ad no #a,se o! a#tion against petitioners.
Te dispositive portion o! te RTCSs *e#ision reads3
Eere!ore, te B,dg+ent in te *e#ision dated Apri$ ), %22%, o! te 5,ni#ipa$ Tria$ Co,rt in
Cities, 0ran# /, Ce-, Cit., in Civi$ Case No. R6)4%(2, is RE1ERSE*, and anoter one is
entered *IS5ISSINC te #ase against de!endants6appe$$ants.
P$aintiJs6appe$$ees are dire#ted to #o+pensate de!endants6appe$$ants attorne.Ss !ees in te
a+o,nt o!P14,222.22, and $itigation e:penses in te a+o,nt o! P4,222.22, as "e$$ as to pa.
te #osts.
SO OR*ERE*.
/
Respondents 9$ed a +otion !or re#onsideration. In its %' >,$. %227 Order, te RTC partia$$.
granted respondentsS +otion. Te RTC r,$ed tat it erred in 9nding tat Ur-ana so$d er sare
1) | P a g e
to Asas. Te RTC r,$ed tat te ProBe#t o! Partition so"ed tat it "as Pan9$o >a#a "o so$d
is sare to Asas. Te RTC +odi9ed its 1' 5a. %227 *e#ision as !o$$o"s3
Eere!ore, te B,dg+ent in te *e#ision dated Apri$ ), %22%, o! te 5,ni#ipa$ Tria$ Co,rt in
Cities, 0ran# /, Ce-, Cit., in Civi$ Case No. R6)4%(2, is 5O*IFIE*, as !o$$o"s3
1< *is+issing te #o+p$aint as regards Lot 7&446Y= and
%< Ordering de!endants6appe$$ants to va#ate Lot No. 7&446CC, de+o$is "atever
i+prove+ents te. +a. ave introd,#ed tereon and s,rrender #o+p$ete #ontro$ and
possession tereo! to p$aintiJs6appe$$ees.
No prono,n#e+ent as to #osts.
SO OR*ERE*.
(
Petitioners +oved !or re#onsideration o! te RTCSs %' >,$. %227 Order, assai$ing te ProBe#t o!
Partition. In its 7 Septe+-er %227 Order,
'
te RTC denied petitionersS +otion. Te RTC r,$ed
tat petitioners !ai$ed to present an. eviden#e s,pporting te p,rported !a$sit. o! te ProBe#t
o! Partition. Te RTC ,pe$d te B,risdi#tion o! te 5TCC and !,rter r,$ed tat respondentsS
a#tion "as an eBe#t+ent #ase.
Petitioners 9$ed a petition !or revie" -e!ore te Co,rt o! Appea$s.
T5e Ru,6n9 o7 25e Cou.2 o7 !11e',-
In its %% >an,ar. %22) *e#ision, te Co,rt o! Appea$s aKr+ed te %' >,$. %227 and 7
Septe+-er %227 Orders o! te RTC.
Te Co,rt o! Appea$s e$d tat te B,risdi#tion o! te #o,rt is deter+ined -. te a$$egations in
te #o+p$aint. Te Co,rt o! Appea$s e$d tat a #o+p$aint !or ,n$a"!,$ detainer is s,K#ient i!
it a$$eges tat te "ito$ding o! possession or te re!,sa$ to va#ate is ,n$a"!,$. Te Co,rt o!
Appea$s r,$ed tat prior p.si#a$ possession is indispensa-$e on$. in a#tions !or !or#i-$e entr.
-,t not in ,n$a"!,$ detainer. Te Co,rt o! Appea$s !,rter r,$ed tat o##,pation o! te
pre+ises +,st -e to$erated -. te o"ners rigt !ro+ te start o! te possession o! te
propert. so,gt to -e re#overed.
Te Co,rt o! Appea$s !o,nd tat in tis #ase, petitioners "ere o##,p.ing te $ots "ito,t
renta$s ,pon agree+ent "it respondents tat te. "o,$d re$in8,is possession on#e
respondents need te propert.. ?o"ever, petitioners re!,sed to va#ate te pre+ises despite
de+ands -. respondents. Te Co,rt o! Appea$s r,$ed tat te a$$egations "ere s,K#ient to
#on!er B,risdi#tion ,pon te 5TCC "ere te eBe#t+ent s,it "as instit,ted and tried.
Te Co,rt o! Appea$s noted tat petitioners #a$$enged respondentsS #$ai+ o! o"nersip o!
te propert.. Te Co,rt o! Appea$s r,$ed tat te on$. iss,e invo$ved in an eBe#t+ent #ase is
possession de facto. ?o"ever, "en te iss,e o! possession #o,$d not -e reso$ved "ito,t
reso$ving te iss,e o! o"nersip, te #o,rt +a. re#eive eviden#e ,pon te 8,estion o! tit$e to
te propert. -,t so$e$. !or te p,rpose o! deter+ining te iss,e o! possession. ?en#e, te
5TCC a#ted #orre#t$. "en it re#eived eviden#e on te iss,e o! o"nersip. Te Co,rt o!
Appea$s !,rter noted tat te RTC ,pe$d te 5TCCSs 9nding tat te ProBe#t o! Partition
s,perseded te64asa.utan nga 5inigala.6 Te Co,rt o! Appea$s s,stained te RTC in re!,sing
to ad+it do#,+ents s,-+itted -. petitioners "i# te. !ai$ed to present -e!ore te 5TCC.
Te Co,rt o! Appea$s stressed tat te 5TCCSs 9nding on te iss,e o! o"nersip "as +ere$.
provisiona$. T,s, petitioners "ere not $ega$$. -arred !ro+ 9$ing te proper a#tion to sett$e te
8,estion o! tit$e.
Te dispositive portion o! te *e#ision o! te Co,rt o! Appea$s reads3
E?EREFORE, pre+ises #onsidered, te present petition is ere-. *ENIE* *UE COURSE and
a##ording$. *IS5ISSE*. Te assai$ed Orders dated >,$. %', %227 and Septe+-er 7, %227 o!
te #o,rt a 7uo are ere-. -ot AFFIR5E*.
No prono,n#e+ent as to #osts.
SO OR*ERE*.
12
Petitioners 9$ed a +otion !or re#onsideration. In its 7 5a. %22) Reso$,tion, te Co,rt o!
Appea$s denied te +otion.
Te Co,rt o! Appea$s r,$ed tat a #o+p$aint !or ,n$a"!,$ detainer +,st -e 9$ed "itin one
.ear !ro+ de+and and not !ro+ te start o! possession as #$ai+ed -. petitioners. Te Co,rt
o! Appea$s reiterated tat in #ases o! !or#i-$e entr. and ,n$a"!,$ detainer, te iss,e is p,re
p.si#a$ or de facto possession and prono,n#e+ents +ade on te 8,estion o! o"nersip are
provisiona$ in nat,re. Te Co,rt o! Appea$s !,rter r,$ed tat a$$ #ases o! !or#i-$e entr. and
,n$a"!,$ detainer sa$$ -e 9$ed -e!ore te proper 5,ni#ipa$ Tria$ Co,rt, tere -eing no
B,risdi#tiona$ a+o,nt invo$ved, even "it respe#t to da+ages or ,npaid renta$s so,gt.
?en#e, te petition -e!ore tis Co,rt.
T5e I--ue-
Petitioners raise te !o$$o"ing iss,es in teir 5e+orand,+3
11
1. Eeter te 5TCC ad B,risdi#tion to entertain te eBe#t+ent #ase #onsidering te
a-sen#e o! a #ontra#t, "ritten or ora$, entered into -. respondents and petitioners as $essors
and $essees, respe#tive$.=
%. Eeter to$eran#e as a gro,nd !or eBe#t+ent is tena-$e in tis #ase= and
7. Eeter te ProBe#t o! Partition s,perseded te 64asa.utan nga 5inigala.6
T5e Ru,6n9 o7 256- Cou.2
Te petition as no +erit.
Petitioners insist tat te 5TCC ad no B,risdi#tion to entertain respondentsS #o+p$aint
-e#a,se tere "as no #ontra#t, ora$ or "ritten, -et"een te parties. Petitioners a$$ege tat
te proper a#tion so,$d ave -een one !or re#over. o! possession and not !or ,n$a"!,$
detainer.
Ee do not agree.
It is sett$ed tat a #o+p$aint s,K#ient$. a$$eges a #a,se o! a#tion !or ,n$a"!,$ detainer i! it
re#ites te !o$$o"ing3
;1< initia$$., possession o! propert. -. te de!endant "as -. #ontra#t "it o. 34 2o,e.'n8e o!
te p$aintiJ=
;%< event,a$$., s,# possession -e#a+e i$$ega$ ,pon noti#e -. p$aintiJ to de!endant o! te
ter+ination o! te $atterSs rigt o! possession=
;7< terea!ter, te de!endant re+ained in possession o! te propert. and deprived te
p$aintiJ o! te enBo.+ent tereo!= and
;)< "itin one .ear !ro+ te $ast de+and on de!endant to va#ate te propert., te p$aintiJ
instit,ted te #o+p$aint !or eBe#t+ent.
1%
In tis #ase, te #o+p$aint a$$eged tat petitioners "ere o##,p.ing te propert., "it
agree+ent tat so,$d respondents need te propert., petitioners "o,$d re$in8,is
possession o! te $ots and de+o$is teir o,ses at teir e:pense. Respondents persona$$.
noti9ed petitioners to va#ate te pre+ises and to de+o$is teir o,ses -,t petitioners
re!,sed to va#ate te $ots. Te #o+p$aint esta-$ised tat petitionersS possession "as -.
to$eran#e o! respondents, and teir possession -e#a+e i$$ega$ "en te. re!,sed to va#ate
te pre+ises ,pon de+and -. respondents. ?ere, te possession -e#a+e i$$ega$ not !ro+ te
ti+e petitioners started o##,p.ing te propert. -,t !ro+ te ti+e de+and "as +ade !or
te+ to va#ate te pre+ises. In sort, te #o+p$aint s,K#ient$. esta-$ised a #ase !or
,n$a"!,$ detainer.
Contrar. to petitionersS #ontention, te iss,e in tis #ase is not te o"nersip o! te $ots. It
so,$d -e stressed tat te a$$egations in te #o+p$aint and te #ara#ter o! te re$ie! so,gt
deter+ine te nat,re o! te a#tion and te #o,rt "it B,risdi#tion over it.
17
Te de!enses set
,p in an ans"er are not deter+inative o! B,risdi#tion.
1)
Te B,risdi#tion o! te #o,rt #annot -e
+ade to depend on te e:#$,sive #ara#teriHation o! te #ase -. one o! te parties.
14
T,s3
14 | P a g e
In an ,n$a"!,$ detainer #ase, te so$e iss,e !or reso$,tion is p.si#a$ or +ateria$ possession o!
te propert. invo$ved, independent o! an. #$ai+ o! o"nersip -. an. o! te parties. ?o"ever,
"ere te iss,e o! o"nersip is raised, te #o,rts +a. pass ,pon te iss,e o! o"nersip in
order to deter+ine "o as te rigt to possess te propert.. Ee stress, o"ever, tat tis
adB,di#ation is on$. an initia$ deter+ination o! o"nersip !or te p,rpose o! sett$ing te iss,e
o! possession, te iss,e o! o"nersip -eing insepara-$. $inAed tereto. Te $o"er #o,rtSs
adB,di#ation o! o"nersip in te eBe#t+ent #ase is +ere$. provisiona$ and "o,$d not -ar or
preB,di#e an a#tion -et"een te sa+e parties invo$ving tit$e to te propert.. It is, tere!ore,
not #on#$,sive as to te iss,e o! o"nersip : : :.
1&
Te 5TCC, te RTC, and te Co,rt o! Appea$s a$$ e$d tat te Repartition ProBe#t s,perseded
te 64asa.utan nga 5inigala.6 Ee s,stain teir !a#t,a$ 9nding as tis Co,rt gives s,-stantia$
"eigt to te !a#t,a$ 9nding o! te tria$ #o,rt, parti#,$ar$. i! tis !a#t,a$ 9nding is s,stained
-. appe$$ate #o,rts. ?o"ever, "e a$so reiterate tat tis reso$,tion on te iss,e o! o"nersip
is on$. provisiona$ !or te p,rpose o! sett$ing te iss,e o! possession.
<HEREFORE, "e #EN& te petition. Ee !FFIR" te %% >an,ar. %22) *e#ision and 7 5a.
%22) Reso$,tion o! te Co,rt o! Appea$s in CA6C.R. SP No. (22&%.
O OR#ERE#.
OOOOOOOOOOOOOOOOO
G.R. No. 1699*6 J'nu'.4 19, 2009
POUE JONEL P!#ILL! 'n( !R!H P!#ILL!, Petitioners,
vs.
I!URO !. $EL!CO, TEO#OR! !. $EL!CO, #ELI! !. $EL!CO, $!LERI!NO !.
$EL!CO, JR., I#! !. $EL!CO, !"ELIT! C. $EL!CO, ERIBERTO C. $EL!CO, JR.,
'n( CELI! C. $EL!CO, Respondents.
# E C I I O N
N!CHUR!, J.=
0e!ore te Co,rt is a petition !or revie" on #ertiorari ,nder R,$e )4 o! te R,$es o! Co,rt
assai$ing te *e#ision
1
dated Fe-r,ar. 11, %224 and te Reso$,tion
%
dated O#to-er ), %224 o!
te Co,rt o! Appea$s ;CA< in CA6C.R. C1 No. &'''/ entit$ed VIsa,ro A. 1e$as#o, Teodora A.
1e$as#o, *e$ia A. 1e$as#o, 1a$eriano A. 1e$as#o, >r., Ida A. 1e$as#o, A+e$ita C. 1e$as#o, Eri-erto
C. 1e$as#o, >r. and Ce$ia C. 1e$as#o v. Spo,ses >one$ Padi$$a and Sara Padi$$a.W
T$e facts
Te !a#ts o! te #ase are as !o$$o"s3
Respondents are te eirs o! *r. Arte+io A. 1e$as#o ;Arte+io<, "o died sing$e and "ito,t
an. iss,e on >an,ar. %%, 1')'. *,ring is $i!eti+e, Arte+io a#8,ired Lot No. %1&1 #onsisting
o! /,/'1 s8,are +eters sit,ated at 0aranga. PinagsanBan, PagsanBan, Lag,na, #overed -. Ta:
*e#$aration No. )/7'. Arte+io a#8,ired te $ot !ro+ spo,ses 0rigido Sa#$,ti and 5e$itona
O-ia$, eviden#ed -. a deed o! sa$e dated Fe-r,ar. 1), 1')).
In O#to-er 1'(/, petitioners entered te propert. as tr,stees -. virt,e o! a deed o! sa$e
e:e#,ted -. te R,ra$ 0anA o! PagsanBan in !avor o! spo,ses 0arto$o+e So$o+on, >r. and
Teresita Padi$$a ;So$o+on spo,ses<.
Respondents de+anded tat petitioners va#ate te propert., -,t te $atter re!,sed. Te
+atter "as re!erred to te -aranga. !or #on#i$iation= o"ever, te parties !ai$ed to rea# an
a+i#a-$e sett$e+ent. Terea!ter, petitioners #a,sed te #,tting o! trees in te area, !en#ed it
and -,i$t a o,se tereon. Te. arvested te #rops and per!or+ed oter a#ts o! do+inion
over te propert..
On O#to-er 1), 1''1, respondents 9$ed a #o+p$aint !or a##ion p,-$i#iana, a##o,nting and
da+ages against petitioners -e!ore te Regiona$ Tria$ Co,rt ;RTC< o! Santa Cr,H, Lag,na.
Te. asAed te #o,rt to order petitioners to va#ate te propert. and to pa. +ora$ and
e:e+p$ar. da+ages, attorne.Ss !ees and #ost o! s,it.
Isa,ro A. 1e$as#o ;Isa,ro<, te -roter o! te de#eased Arte+io, as ad+inistrator o! te
propert., "as presented as a "itness. ?e testi9ed tat Arte+io o"ned te propert.. As
eviden#e tereo!, e presented te Tas,$atan ng 0i$iang T,$,.an e:e#,ted -. spo,ses
0rigido Sa#$,ti and 5e$itona O-ia$ in !avor o! Arte+io, and de#$ared tat e ;Isa,ro< "as
present d,ring te signing o! te instr,+ent. ?e oJered in eviden#e ta: de#$arations and ta:
re#eipts #overing Lot No. %1&1 "i# "ere a$$ in te na+e o! Arte+io. A #erti9#ation !ro+ te
Land Registration A,torit. ;LRA< "as $iAe"ise presented -. Isa,ro "i# states tat -ased
on te re#ords o! te LRA, *e#ree No. )277)( "as iss,ed on O#to-er 12, 1'72 #overing Lot
No. %1&1.
7
Ro$ando R. F$ores, a geodeti# engineer, a$so testi9ed tat on >an,ar. 1&, 1''7, ,pon prior
noti#e to petitioners, e #ond,#ted a s,rve. o! te $and -ased on te te#ni#a$ des#ription o!
te propert. and te +ap !ro+ te 0,rea, o! Lands. Te p,rpose o! te s,rve. "as to veri!.
i! te area o##,pied -. petitioners "as Lot No. %1&1. Upon is e:a+ination and -ased on is
s,rve., e #on#$,ded tat te $and o##,pied -. petitioners "as Lot No. %1&1.
)
On te oter and, petitioners averred tat te So$o+on spo,ses o"ned te propert.= tat
te said spo,ses -o,gt it !ro+ te R,ra$ 0anA o! PagsanBan as eviden#ed -. a deed o! sa$e
dated Septe+-er ), 1'(/= tat te $and "as identi9ed as Lot No. /&6pt, #onsisting o! 12,222
s8,are +eters, $o#ated at PinagsanBan, PagsanBan, Lag,na= and tat te spo,ses a,toriHed
petitioners to o##,p. te $and and introd,#e i+prove+ents tereon.
Petitioners !,rter #$ai+ed tat s,-se8,ent to te sa$e o! te propert. to te So$o+on
spo,ses, Lot No. /&6pt. "as $evied on in Civi$ Case No. 7%2 ,nder te B,risdi#tion o! te
5,ni#ipa$ Tria$ Co,rt o! PagsanBan, Lag,na. Te #ase "as entit$ed VR,ra$ 0anA o! PagsanBan,
In#. v. Spo,ses ?e#tor and E++a 1e$as#o, 1a$eriano 1e$as#o and 1irginia 5iso.W Petitioners
a$$eged tat 1a$eriano 1e$as#o o-tained a $oan !ro+ te R,ra$ 0anA o! PagsanBan, "it ?e#tor
1e$as#o as #o6+aAer, and te $and "as +ortgaged -. 1a$eriano as #o$$atera$. 1a$erianoSs
!ai$,re to pa. te $oan #a,sed te !ore#$os,re o! te $and, and on Septe+-er 1/, 1'(2, Lot
No. /&6pt "as so$d at a p,-$i# a,#tion -. te Provin#ia$ SeriJ. Te R,ra$ 0anA o! PagsanBan
"as te igest -idder.
Pedro Pa$a+eda Trinidad, >r. ;Pedro<, as a "itness !or te petitioners, testi9ed tat e "as
-orn in 0aranga. PinagsanBan, PagsanBan, Lag,na, and ad -een residing tere sin#e -irt.
?e said tat -ased on is Ano"$edge, te $and -e$onged to Nonong ;1a$eriano< 1e$as#o
-e#a,se e ,sed to -,. #o#on,ts arvested !ro+ te said $and and it "as Nonong 1e$as#o
"o #a,sed te gatering o! #o#on,ts tereon.
4
Petitioner >one$ Padi$$a a$so tooA te "itness stand. ?e testi9ed tat Pedro "as o##,p.ing te
$and "en e initia$$. visited it. A representative o! te R,ra$ 0anA o! PagsanBan dis#$osed to
i+ tat te $and previo,s$. -e$onged to 1a$eriano. ?e veri9ed !ro+ te 5,ni#ipa$ Assessor
te te#ni#a$ des#ription o! te $and, -,t no $onger veri9ed !ro+ te 0,rea, o! Lands -e#a,se
e tr,sted te -anA. Upon is re#o++endation, is sister and is -roter6in6$a" p,r#ased
te propert. a!ter veri!.ing te s,pporting do#,+ents. It "as is -roter6in6$a" "o "ent to
te 0,rea, o! Lands and !o,nd tat it "as Lot No. %1&1.
&
On >,$. %/, 1''', te RTC rendered a *e#ision,
/
te dispositive portion o! "i# reads3
E?EREFORE, PRE5ISES CONSI*ERE*, B,dg+ent is ere-. rendered in !avor o! te
FrespondentsG ordering te FpetitionersG to va#ate te $and present$. o##,pied -. te+ and
restore possession tereo! to te FrespondentsG, to render an a##o,nting o! te pro#eeds
!ro+ te #rop arvested tere!ro+ starting Septe+-er 1'(/ ,p to te ti+e te propert. is
ret,rned to te FrespondentsG, and to re+ove at teir e:pense a$$ te str,#t,res te.
#onstr,#ted tereon.
(
Petitioners 9$ed an appea$ -e!ore te CA, -,t on Fe-r,ar. 11, %224, te CA iss,ed te
assai$ed de#ision aKr+ing te de#ision o! te RTC. Te. #onse8,ent$. 9$ed a +otion !or
1& | P a g e
re#onsideration. ?o"ever, te sa+e "as denied in te assai$ed reso$,tion dated O#to-er ),
%224.
?en#e, te instant petition.
T$e Issues
Petitioners an#or teir petition on te !o$$o"ing gro,nds3
I. Te a$$eged sa$e e:e#,ted -et"een 0rigido Sa#$,ti and 5e$itona O-ia$ as se$$er and *r.
Arte+io F1e$as#oG as -,.er "as never esta-$ised, respondents aving !ai$ed to present te
origina$ #op. tereo! d,ring te tria$ despite teir #$ear and #ategori#a$ #o++it+ent to do so.
F,rter+ore, te p,rported Origina$ Certi9#ate o! Tit$e iss,ed in te na+e o! 0rigido Sa#$,ti
and 5e$itona O-ia$ "as never presented in eviden#e, t,s, #reating te pres,+ption tat ad
it -een presented, te sa+e "o,$d ave -een adverse to respondents.
'
II. Te spo,ses So$o+on a#8,ired te s,-Be#t propert. !ro+ its $a"!,$ o"ner in good !ait and
!or va$,e.
12
III. Te spo,ses So$o+on a#8,ired te s,-Be#t propert. at te p,-$i# a,#tion sa$e #ond,#ted
-. te provin#ia$ seriJ o! Lag,na -ased on te B,dg+ent and "rit o! e:e#,tion iss,ed -. te
5,ni#ipa$ Tria$ Co,rt o! Lag,na against respondent 1a$eriano 1e$as#o !or non6pa.+ent o! a
$oan #onsidering tat ;1< te iss,an#e o! Ta: *e#$aration No. )&%) in te na+e o! respondent
1a$eriano 1e$as#o is entit$ed to te pres,+ption o! reg,$arit. espe#ia$$. sin#e respondents
ave not e:p$ained o" and ". it "as "rong$. iss,ed in te na+e o! teir o"n -roter,
respondent 1a$eriano 1e$as#o and "ito,t an. o! te+ taAing an. a#tion to #orre#t te
a$$eged +istaAe= and ;%< -. teir !ai$,re to assert teir a$$eged o"nersip o! te propert. and
teir ina#tion F-. notG 8,estioning te $ega$ a#tion taAen -. te -anA against teir #o6
respondent 1a$eriano 1e$as#o and te s,-Be#t propert. despite teir !,$$ a"areness sin#e
1'(2, respondents are -arred -. estoppe$ !ro+ den.ing te tit$e o! te -anA and te So$o+on
spo,ses.
11
I1. Te a#tion a 8,o "as -arred -. pres#ription #onsidering tat respondents 9$ed teir $ega$
a#tion against te petitioners on$. on O#to-er 1), 1''1, +ore tan ten ;12< .ears a!ter te
-anA ad a#8,ired te s,-Be#t propert. on Septe+-er 1/, 1'(2 at te p,-$i# a,#tion
#ond,#ted -. te Provin#ia$ SeriJ o! Lag,na.
1%
1. At te ver. $east, respondents are g,i$t. o! $a#es, te. aving s$ept on teir rigts !or an
,nreasona-$e $engt o! ti+e s,# tat to dispossess petitioners o! te propert. a!ter te. ad
introd,#ed s,-stantia$ i+prove+ents tereon in good !ait "o,$d res,$t in ,nd,e da+age
and inB,r. to te+ a$$ d,e to te si$en#e and ina#tion o! respondents in asserting teir a$$eged
o"nersip over te propert..
17
1I. Te eviden#e proves tat Lot no. %1&1 and Lot no. /&6pt are one and te sa+e.
1)
1II. Te !ai$,re o! Att.. Asinas to present oter "itnesses, additiona$ do#,+ents and to
respond to #ertain p$eadings -ro,gt a-o,t -. is serio,s i$$nesses #onstit,tes e:#,sa-$e
neg$igen#e or in#o+peten#. to "arrant a ne" tria$ #onsidering tat te S,pre+e Co,rt itse$!
ad re#ogniHed Vneg$igen#e or in#o+peten#. o! #o,nse$ as a gro,nd !or ne" tria$W espe#ia$$.
i! it as res,$ted in serio,s inB,sti#e or to an ,neven p$a.ing 9e$d.
14
1III. Te over"e$+ing testi+onia$ and do#,+entar. eviden#e, i! presented, "o,$d ave
a$tered te res,$t and te de#ision no" appea$ed !ro+.
1&
IX. Te petitioners so,$d -e a"arded teir #o,nter#$ai+ !or e:e+p$ar. da+ages, attorne.Ss
!ees and $itigation e:penses.
1/
Te arg,+ents s,-+itted -. petitioners +a. -e s,++ed ,p in te !o$$o"ing iss,es3
I. Eo, as -et"een te parties, ave a -etter rigt o! possession o! Lot No. %1&1=
II. Eeter te #o+p$aint !or a##ion p,-$i#iana as a$read. pres#ri-ed= and
III. Eeter te neg$igen#e o! respondentSs #o,nse$ entit$es te+ to a ne" tria$.
T$e Ruling of t$e "ourt
Ee den. te instant petition.
/irst. Te instant #ase is !or a##ion p,-$i#iana, or !or re#over. o! te rigt to possess. Tis
"as a p$enar. a#tion 9$ed in te regiona$ tria$ #o,rt to deter+ine te -etter rigt to
possession o! rea$t. independent$. o! te tit$e.
1(
A##ion p,-$i#iana is a$so ,sed to re!er to an
eBe#t+ent s,it "ere te #a,se o! dispossession is not a+ong te gro,nds !or !or#i-$e entr.
and ,n$a"!,$ detainer, or "en possession as -een $ost !or +ore tan one .ear and #an no
$onger -e +aintained ,nder R,$e /2 o! te R,$es o! Co,rt. Te o-Be#tive o! te p$aintiJs in
a##ion p,-$i#iana is to re#over possession on$., not o"nersip.
1'
0ased on te 9ndings o! !a#ts o! te RTC "i# "ere aKr+ed -. te CA, respondents "ere
a-$e to esta-$is $a"!,$ possession o! Lot No. %1&1 "en te petitioners o##,pied te
propert.. Lot No. %1&1 "as te s,-Be#t o! *e#ree No. )277)( -ased on te de#ision dated
O#to-er 12, 1'72 in Cadastre ;Cad.< Case No. 11, LRC Re#ord No. %2(. Te Origina$ Certi9#ate
o! Tit$e to te $and "as iss,ed to 0rigido Sa#$,ti and 5e$itona O-ia$. On Fe-r,ar. 1), 1')),
te origina$ o"ners o! te $and so$d te sa+e to Arte+io. Fro+ te date o! sa$e, ,nti$
Arte+ioSs deat on >an,ar. %%, 1')', e "as in #ontin,o,s possession o! te $and. Een
Arte+io died, Isa,ro a#ted as ad+inistrator o! te $and "it To+as 1ivero as #aretaAer. In
1'(/, petitioners o##,pied te propert. -. virt,e o! a deed o! sa$e -et"een te R,ra$ 0anA o!
PagsanBan and te So$o+on spo,ses. Te $and -o,gt -. te So$o+on spo,ses !ro+ te 0anA
is deno+inated as Lot No. /&6pt and previo,s$. o"ned -. 1a$eriano. ?o"ever, it "as proved
d,ring tria$ tat te $and o##,pied -. petitioners "as Lot No. %1&1 in te na+e o! Arte+io,
"ereas te $and so$d -. te -anA to te petitioners "as Lot No. /&6pt.
Civen tis !a#t,a$ +i$ie,, it #an readi$. -e ded,#ed tat respondents are $ega$$. entit$ed to
te possession o! Lot No. %1&1.
It is a $ong6standing po$i#. o! tis Co,rt tat te 9ndings o! !a#ts o! te RTC "i# "ere
adopted and aKr+ed -. te CA are genera$$. dee+ed #on#$,sive and -inding. Tis Co,rt is
not a trier o! !a#ts and "i$$ not dist,r- te !a#t,a$ 9ndings o! te $o"er #o,rts ,n$ess tere are
s,-stantia$ reasons !or doing so.
%2
In te instant #ase, "e 9nd no e:#eptiona$ reason to depart
!ro+ tis po$i#..
0econd. Te #ase 9$ed -. respondents !or a##ion p,-$i#iana as not pres#ri-ed. Te a#tion
"as 9$ed "it te RTC on O#to-er 1), 1''1. Petitioners dispossessed respondents o! te
propert. in O#to-er 1'(/. At te ti+e o! te 9$ing o! te #o+p$aint, on$. !o,r ;)< .ears ad
e$apsed !ro+ te ti+e o! dispossession.
Under Arti#$e 444;)< o! te Civi$ Code o! te Pi$ippines, te rea$ rigt o! possession is not $ost
ti$$ a!ter te $apse o! ten .ears. It is sett$ed tat te re+ed. o! a##ion p,-$i#iana pres#ri-es
a!ter te $apse o! ten .ears.
%1
T,s, te instant #ase "as 9$ed "itin te a$$o"a-$e period.
1)ird. Petitioners p,t in iss,e tat Lot No. %1&1 and Lot /&6pt are one and te sa+e, and tat
te $and "as o"ned -. 1a$eriano "en it "as !ore#$osed -. te -anA. Tis, in eJe#t, is a
#o$$atera$ atta#A on te tit$e over te propert. "i# is registered in te na+e o! Arte+io.
Ee #annot #o,ntenan#e tis stan#e o! te petitioners, and per!or#e, +,st striAe it do"n. Tit$e
to a registered $and #annot -e #o$$atera$$. atta#Aed.
%%
A separate a#tion is ne#essar. to raise
te iss,e o! o"nersip.
In accion pu.liciana, te prin#ipa$ iss,e is possession, and o"nersip is +ere$. an#i$$ar.
tereto. On$. in #ases "ere te possession #annot -e reso$ved "ito,t reso$ving te iss,e o!
o"nersip +a. te tria$ #o,rt de$ve into te #$ai+ o! o"nersip. Tis r,$e is en,n#iated
in -efugia v. CA,
%7
"ere te Co,rt de#$ared, viH.3
Eere te 8,estion o! "o as prior possession inges on te 8,estion o! "o te rea$ o"ner
o! te disp,ted portion is, te in!erior #o,rt +a. reso$ve te iss,e o! o"nersip and +aAe a
de#$aration as to "o a+ong te #ontending parties is te rea$ o"ner. In te sa+e vein,
"ere te reso$,tion o! te iss,e o! possession inges on a deter+ination o! te va$idit. and
interpretation o! te do#,+ent o! tit$e or an. oter #ontra#t on "i# te #$ai+ o! possession
is pre+ised, te in!erior #o,rt +a. $iAe"ise pass ,pon tese iss,es. Tis is -e#a,se, and it
1/ | P a g e
+,st -e so ,nderstood, tat an. s,# prono,n#e+ent +ade aJe#ting o"nersip o! te
disp,ted portion is to -e regarded +ere$. as provisiona$, en#e, does not -ar nor preB,di#e an
a#tion -et"een te sa+e parties invo$ving tit$e to te $and.
/ourt). Petitioners aver tat te. are entit$ed to a ne" tria$ d,e to te !ai$,re o! teir #o,nse$
in te pro#eedings -e!ore te RTC to present testi+onia$ and do#,+entar. eviden#e
ne#essar. !or te+ to o-tain a !avora-$e B,dg+ent. Te. +aintain tat te !ai$,re o! teir
#o,nse$ to present tese oter eviden#e "as d,e to #o,nse$Ss $ingering i$$ness at tat ti+e,
and tere!ore, #onstit,tes e:#,sa-$e neg$igen#e.
It +a. -e reiterated tat +istaAes o! #o,nse$ as to te #o+peten#. o! "itnesses, te
s,K#ien#. and re$evan#. o! eviden#e, te proper de!ense, or te -,rden o! proo!, as "e$$ as
is !ai$,re to introd,#e #ertain eviden#e or to s,++on "itnesses and to arg,e te #ase, are
not proper gro,nds !or a ne" tria$, ,n$ess te in#o+peten#e o! #o,nse$ -e so great tat is
#$ient is preB,di#ed and prevented !ro+ !air$. presenting is #ase.
%)
In tis #ase, te i$$ness o! petitionersS #o,nse$ and is a$$eged !ai$,re to present additiona$
eviden#e d,ring te tria$ o! te #ase do not #onstit,te s,K#ient gro,nd !or a ne" tria$. Te
Order
%4
iss,ed -. te tria$ #o,rt in its denia$ o! te +otion !or ne" tria$ 9$ed -. petitioners
apt$. e:p$ains te reason ". a ne" tria$ is ,nne#essar., "iz.8
Ass,+ing tat Att.. Asinas !ai$ed to per!or+ te i+p,ted a#ts -. reason o! is ai$+ents, sti$$,
te sa+e is ins,K#ient gro,nd to grant a ne" tria$. Te eviden#e on re#ord esta-$ised te
!a#t tat FrespondentsG and teir prede#essors6in6interest ave -een in possession o! te
s,-Be#t rea$t. !or a $ong ti+e. Teir possession "as interr,pted -. FpetitionersG "o entered
te propert. in F1'(/G p,rs,ant to a deed o! sa$e -et"een te R,ra$ 0anA o! PagsanBan and
spo,ses 0arto$o+e C. So$o+on and Teresita Padi$$a. Considering tat tis is an a##ion
p,-$i#iana and FrespondentsSG ear$ier rigt!,$ possession o! te s,-Be#t par#e$ o! $and as
-een ade8,ate$. esta-$ised, te testi+onia$ and do#,+entar. eviden#e so,gt to -e
add,#ed in a ne" tria$ "o,$d not adverse$. aJe#t te 9ndings o! te Co,rt. Te o"nersip
and possession o! te propert. p,r#ased -. te So$o+on spo,ses !ro+ te R,ra$ 0anA o!
PagsanBan #o,$d -e te s,-Be#t o! an appropriate a#tion.
<HEREFORE, te instant petition is #ENIE# !or $a#A o! +erit. Costs against te petitioners.
O OR#ERE#.
OOOOOOOOOOOOOO
@G.R. NO. 1*2A+* - "'.85 1A, 200+B
#I!N! JE!NNE LOPE?, Petitioner3 &. POUE E#ILBERTO 'n( E$ELINE PO?ON 'n(
COURT OF !PPE!L, Res%ondents.
R E O L U T I O N
!UTRI!-"!RTINE?, J.=
On *e#e+-er ', 1'(&, Trade: *eve$op+ent Corporation ;ITrade:I< and respondents spo,ses
Edi$-erto and Eve$ine PoHon ;PoHon, !or -revit.< entered into an Agree+ent to P,r#ase and
to Se$$ "ere-. te !or+er agreed to se$$ to te $atter a o,se and $ot $o#ated on Paraiso
Street, *as+arinas 1i$$age, 5aAati Cit. ;IParaiso propert.I, !or -revit.<. Trade: !ai$ed to
#o+p$. "it its o-$igation to de$iver te Paraiso propert. to te PoHons, ,ni$atera$$. res#inded
te Agree+ent to P,r#ase and to Se$$ on >,ne 72, 1'(/ and so$d te Paraiso propert. to >.?.
PaBara Constr,#tion Corporation, a !e" da.s -e!ore in!or+ing te PoHons o! te res#ission.
On >,$. %1,1'(/, te PoHons 9$ed an a#tion !or spe#i9# per!or+an#e and da+ages against
Trade:, >.?. PaBara Constr,#tion Corporation, Cesar *io+a+po ;as President o! Trade: and in
is persona$ #apa#it.< and -roAer Fa,sto Ceorge Ra.+,ndo. Te #ase "as do#Aeted as Civi$
Case No. 1/74( and raYed to >,dge Teo9$o L. C,adiH o! te Regiona$ Tria$ Co,rt ;RTC<, 5aAati
Cit., 0ran# 1)/. On >,$. 1(, 1''2, B,dg+ent "as rendered in !avor o! te PoHons, n,$$i!.ing
te sa$e o! te Paraiso propert. to >.?. PaBara Constr,#tion Corporation, dire#ting Trade: and
*io+a+po to e:e#,te te #orresponding deed o! #onve.an#e and ordering te PoHons to pa.
Trade: te -a$an#e o! te p,r#ase pri#e "itin a period o! &2 da.s !ro+ de$iver. o! te
Paraiso propert. !ree !ro+ an. o##,pant. On appea$,
1
te Co,rt o! Appea$s aKr+ed said
B,dg+ent "it +odi9#ation as to te a+o,nt o! da+ages.
%
Trade: !,rter e$evated te
+atter to tis Co,rt -,t !ai$ed to se#,re aKr+ative re$ie!.
7
*espite te order
)
o! >,dge C,adiH, Trade: sti$$ !ai$ed to de$iver possession o! te Paraiso
propert., pro+pting said B,dge to divest Trade: o! its tit$e and #on!er te sa+e ,pon te
PoHons. A##ording$., te Register o! *eeds o! 5aAati Cit. #an#e$$ed Trans!er Certi9#ate o!
Tit$e ;TCT< No. 1414%% in te na+e o! Trade: and iss,ed TCT No. %1%177 to te PoHons.
4
In
order to #o+p$ete te B,dg+ent, te PoHons so,gt per+ission !ro+ te #o,rt to instit,te te
proper a#tion against te o##,pant o! te Paraiso propert., erein petitioner *iana >eanne
LopeH. On Nove+-er 1&, 1''(, >,dge C,adiH granted te +otion.
Te PoHons sent de+and $etters to LopeH, asserting tat te. "ere entit$ed to possession o!
te Paraiso propert. as ear$. as 5ar# 14, 1''/ and to reasona-$e #o+pensation !or its ,se.
LopeH did not eed te de+and.
On Fe-r,ar. (, %222, te PoHons 9$ed a #o+p$aint !or eBe#t+ent against LopeH, do#Aeted as
Civi$ Case No. &'%&% and raYed to >,dge Se$+a Pa$a#io6A$aras o! te 5etropo$itan Tria$ Co,rt
;5eTC<, 5aAati Cit., 0ran# &1.
L,estioning te a$$eged p,r#ase -. te PoHons o! te Paraiso propert., LopeH #ontended in
er Ans"er, as !o$$o"s3 Te PoHons +ere$. #onspired "it Trade: to divest er o! its
o"nersip. Se, not Trade:, is te rea$ o"ner o! te Paraiso propert. aving p,r#ased te
sa+e !ro+ Enri8,e Po-e$. Se engaged te servi#es o! 0e$tran C,asa. La" OK#es to
organiHe Paraiso Rea$t. Corporation, a #o+pan. to -e o"ned -. er, and, to do#,+ent te
trans!er o! tit$e !ro+ Po-e$ to Paraiso Rea$t. Corporation. Se $ater dis#overed, o"ever, tat
te Paraiso propert. "as registered in te na+e o! Trade: and "as never $ega$$. trans!erred
to er. *espite "arning te PoHons o! er o"nersip o! te Paraiso propert., te. sti$$
pro#eeded to p,r#ase te sa+e. Een se $earned o! te e:isten#e o! Civi$ Case No. 1/74(,
se instit,ted an a#tion !or 8,ieting o! tit$e, "i# "as do#Aeted as Civi$ Case No. '&6&'%
"i# is pending -e!ore te RTC o! 5aAati Cit., 0ran# &2. LopeH arg,ed tat te 5eTC ad
no B,risdi#tion over te #ase sin#e te a$$egations in te #o+p$aint are in te nat,re o!
an accion rein"indicatoria and tat as te o"ner o! te Paraiso propert., se #annot -e
#onsidered as aving ,n$a"!,$$. "ite$d its possession. Se $iAe"ise asserted tat te
PoHons "ere not inno#ent p,r#asers !or va$,e and in good !ait and tat te B,dg+ent
against Trade: in Civi$ Case No. 1/74( "as not -inding ,pon er.
In its *e#ision dated *e#e+-er %7, %222, >,dge A$aras r,$ed tat te 5eTC as B,risdi#tion
over te #ontrovers., e:p$aining tat te +ere assertion o! o"nersip -. te de!endant "i$$
not o,st it o! its B,risdi#tion over a#tions !or !or#i-$e entr. and ,n$a"!,$ detainer= and tat te
PoHons "ere entit$ed to possession o! te Paraiso propert., ratio#inating, as
!o$$o"s3Z[\Rr]-$^_ `arbc\$ $\d $a-r\re
.. . In s,pport o! teir #ontention, te p$aintiJs presented as teir eviden#e TCT %1%177 in
teir na+es. P,rs,ant to se#tion )/ o! A#t )'/ or te Land Registration A#t, a Certi9#ate o!
Tit$e is #on#$,sive proo! o! p$aintiJs o"nersip over te s,-Be#t propert. "en d,$. #erti9ed
,nder te signat,re o! te C$erA o! te Register o! *eeds o! te provin#e or #it. "ere te
$and is sit,ated. F,rter+ore, se#tion )( o! Presidentia$ *e#ree 14%' states tat a #erti9#ate
o! tit$e sa$$ not -e s,-Be#t to #o$$atera$ atta#A. It #an on$. -e a$tered, +odi9ed and #an#e$ed
in a dire#t pro#eeding in a##ordan#e "it te $a". 5ore so, inas+,# as te iss,e in
eBe#t+ent #ases is p.si#a$ possession or +ateria$ possession and not o"nersip, tis #ase is
not a proper !or,+ !or te de!endant to assai$ te va$idit. o! te p$aintiJs #erti9#ate o! tit$e
over te s,-Be#t +atter erein.
1( | P a g e
A$$ tro,g o,t te tedio,s deve$op+ent o! tis #ase, despite te n,+ero,s arg,+ents
repeated$. raised and propo,nded -. te de!endant, se as never, not even on#e,
presented an. do#,+ent, origina$ or se#ondar., p,rported or even a$$eged to -e te -asis o!
er rigt, to prove er $a"!,$ o"nersip or even $ega$ possession o! te s,-Be#t propert.. Te
gro,nds to er #$ai+ o! o"nersip are +ere a$$egation ,ns,pported -. eviden#e +ateria$ to
deter+ine te iss,e o! +ateria$ possession= de!endant erse$! is in a di$e++a in proo! o!
o"nersip o! te propert. "eter se re#eived it as a gi!t or tro,g a $egiti+ate p,r#ase
and sa$e, tere -eing no sing$e do#,+ent to prove er rigts at present.
As to te oter points raised -. te de!endant, -eing an indispensa-$e part. in an ear$ier
#ase 9$ed -. te p$aintiJs against Trade: and te iss,e o! a B,dg+ent in persona&, te sa+e
aving -een si+p$. raised to +is$ead and distort te a#t,a$ and rea$ iss,es in tis #ase, teir
deter+ination 9nds no -earing at tis point.
&
;%&p)asis supplied<Zr\$\d$a-r\re
On appea$, te Regiona$ Tria$ Co,rt, 0ran# &2, 5aAati Cit., presided -. >,dge 5arissa
5a#araig C,i$$en, s,stained te de#ision o! >,dge A$aras, t,s3Z[\Rr]-$^_ `arbc\$ $\d $a-r\re
Ee are in#$ined to agree "it te p$aintiJ6appe$$ees position. It is evident !ro+ te
do#,+entar. e:i-its s,-+itted to te #o,rt a 8,o tat te !or+er o"ner o! te s,-Be#t
propert. Trade: *eve$op+ent Corporation ad a standing arrange+ent "it te de!endant6
appe$$ant !or er to o##,p. te pre+ises rent6!ree.
Eit te sa$e o! te s,-Be#t propert. to te p$aintiJ6spo,ses ne#essari$. an. #ontra#t,a$
arrange+ent -et"een Trade: and de!endant6appe$$ant "as a,to+ati#a$$. ter+inated and an
i+p$ied ne" $ease "as esta-$ised -et"een te de!endant6appe$$ant and PoHons -. virt,e o!
te $atters s,##eeding to te rigts o! o"nersip and possession previo,s$. e$d -. Trade:.
Tere -eing no "ritten #ontra#t o! $ease entered into -et"een te parties, te $ega$
pres,+ption is tat it "as eJe#ted on a +ont to +ont -asis, "i# in t,rn per+its te
$essor, erein p$aintiJs6appe$$ees to ter+inate te $ease at te end o! te +ont in 8,estion.
In t,rn, de!endant6appe$$ants stat,s is ana$ogo,s to tat o! a $essee "ose ter+ as e:pired
and "o so,$d tere!ore s,rrender te $eased pre+ises to te rigt!,$ o"ner.
/
LopeH 9$ed a Petition !or Revie" "it te Co,rt o! Appea$s
(
-,t !ai$ed to o-tain a !avora-$e
B,dg+ent.
'
As "it te 5ETC and RTC, te Co,rt o! Appea$s !o,nd tat te PoHons, as
registered o"ners, ad a -etter rigt o! possession to te Paraiso propert., !,rter stating
tat3Z[\Rr]-$^_ `arbc\$ $\d $a-r\re
.. . A #erti9#ate o! tit$e is a #on#$,sive eviden#e o! o"nersip. It does not even +atter i! te
tit$e is 8,estiona-$e, te instant a#tion -eing an eBe#t+ent s,it. ;*iHon v. Co,rt o! Appea$s,
%&) SCRA 7'1 F1''&G< Tis adB,di#ation regarding te iss,e o! o"nersip, o"ever, is +ere$.
provisiona$, and tere!ore, "o,$d not -ar or preB,di#e an a#tion -et"een te sa+e parties
invo$ving te 8,ieting o! tit$e to te s,-Be#t propert.. ;?i$ario v. Co,rt o! Appea$s, s,pra< Te
petitioner, "ose #$ai+ to do+inion depends $arge$. on ,ns,pported #$ai+s o! o"nersip as
no -asis in $a" and !a#t to de+and retention o! p.si#a$ possession.
12
;%&p)asis
supplied<Zr\$\d$a-r\re
LopeH 9$ed a +otion !or re#onsideration. So+eti+e terea!ter, se a$so 9$ed "it te Co,rt o!
Appea$s a +otion !or ne" tria$ on te gro,nd o! ne"$. dis#overed eviden#e. Appended
tereto "as te aKdavit dated Fe-r,ar. %/, %22% o! *io+a+po, president o! Trade:, stating
tat te Paraiso propert. "as rea$$. o"ned -. LopeH. In a Reso$,tion dated 5ar# %2,
%22%,
11
te Co,rt o! Appea$s denied -ot te +otion !or re#onsideration and te +otion !or
ne" tria$ on te gro,nds tat LopeH #an advan#e er rigt o! o"nersip "it te appropriate
proo!s in te pending a#tion !or 8,ieting o! tit$e 9$ed -. er and te aKdavit appears +ere$.
as an a!terto,gt. LopeH so,gt re#onsideration o! te !oregoing Reso$,tion -,t te Co,rt o!
Appea$s +ere$. noted te sa+e sin#e se ad a$read. taAen steps to -ring te +atter to tis
Co,rt.
1%
In er present Petition !or Revie" on Certiorari , LopeH insists tat se is te rea$ o"ner o! te
Paraiso propert. and tat te PoHons "ere not inno#ent p,r#asers !or va$,e sin#e te. did
not e:er#ise di$igen#e in as#ertaining te tr,e o"nersip o! said propert. despite a$$eged
#ir#,+stan#es tat "o,$d ave pro+pted te+ to do so. Se a$so raised as errors te !ai$,re
o! te PoHons to i+p$ead er in Civi$ Case No. 1/74( even to,g se "as an indispensa-$e
part.= te i+propriet. o! an a#tion !or eBe#t+ent "en te disp,te -et"een te parties arose
!ro+ #onNi#ting #$ai+s o! o"nersip proper$. reso$ved in an accion rein"indicatoria= and te
9nding tat er o##,pan#. o! te Paraiso propert. "as +ere$. to$erated -. Trade:. LopeH
$iAe"ise #ontested er $ia-i$it. !or renta$s, te a+o,nt tereo! and te denia$ o! er +otion
!or ne" tria$.
In te Reso$,tion o! >,ne 1/, %22%,
17
te Co,rt denied te petition o,trigt !or3 ;a< !ai$,re to
s,K#ient$. so" tat te Co,rt o! Appea$s #o++itted an. reversi-$e error in te #a$$enged
de#ision and reso$,tion to "arrant an e:er#ise -. tis Co,rt o! its dis#retionar. appe$$ate
B,risdi#tion= ;-< -eing !rivo$o,s, te sa+e aving -eing de#ided against er -. te tree $o"er
#o,rts= and ;#< !ai$,re to a##o+pan. te petition "it #$ear$. $egi-$e d,p$i#ate origina$ or
#erti9ed tr,e #opies o! te assai$ed de#ision and reso$,tion.
LopeH so,gt re#onsideration o! te !oregoing reso$,tion. Re!erring to te e:p$anation
#ontained in er ear$ier +otion to ad+it #erti9ed tr,e #opies o! te de#ision and reso$,tion o!
te Co,rt o! Appea$s, se #ontended tat er initia$ non6#o+p$ian#e "as e:#,sa-$e, and
,nder te #ir#,+stan#es, did not "arrant te dis+issa$ o! te petition. LopeH disp,ted te
prono,n#e+ent tat er petition "as !rivo$o,s, arg,ing tat ea# #o,rt ad a diJerent vie"
on te nat,re o! er possession o! te Paraiso propert.. Se a$so #$ai+ed tat te Co,rt o!
Appea$s eJe#tive$. deprived er o! d,e pro#ess "en it #arged er "it te d,t. o!
prod,#ing eviden#e tat are in te possession o! te adverse part.= tat te denia$ o! er
+otion !or ne" tria$ raises a nove$ 8,estion o! $a" or B,sti#ia-$e 8,estion #a$$ing !or te
e:er#ise o! tis Co,rts dis#retionar. appe$$ate B,risdi#tion= and tat te a"ard o! renta$s in
!avor o! te PoHons "as #ontrar. to te prin#ip$e o! res judicata.
In te Reso$,tion o! A,g,st %&, %22%,
1)
te Co,rt denied te +otion !or re#onsideration "it
9na$it., tere -eing neiter #o+pe$$ing reason nor s,-stantia$ arg,+ent to "arrant te
re#onsideration so,gt.
Unpert,r-ed, LopeH 9$ed a +otion !or $eave to 9$e and ad+it se#ond +otion !or
re#onsideration "it a pra.er tat te #ase -e set !or ora$ arg,+ents. Te Co,rt granted te
+otion.
14
A!ter te ora$ arg,+ents, -ot parties "ere re8,ired to s,-+it +e+oranda in
s,pport o! teir respe#tive positions.
1&
No" s,-+itted !or reso$,tion is te se#ond +otion !or
re#onsideration.
At te o,tset, LopeH re#ogniHes tat a se#ond +otion !or re#onsideration is a$$o"ed on$. !or
e:traordinar. pers,asive reasons. Se s,-+its tat te !o$$o"ing #onstit,te s,#
e:traordinar. pers,asive reasons3
1. Trade: ;te vendor o! te PoHons< #o,$d not ave -een petitioners $essor nor #o,$d Trade:
ave +ere$. to$erated er o##,pan#. o! te s,-Be#t propert., "i# -egan in A,g,st 1'(2, as
Trade: did not e:ist prior to 72 O#to-er 1'(&.
%. Te instant petition #o,$d -e treated pro )ac "ice as a petition to ann,$ te Order dated
Nove+-er 1&, 1''( o! >,dge C,adiH.
7. Te de#isions o! te #o,rts -e$o" #ir#,+vent te prin#ip$es o! res judicataand $a" o! te
#ase inso!ar as te iss,e o! renta$s is #on#erned.
). Te eJe#t o! te !ai$,re o! te PoHons to i+p$ead petitioner in te C,adiH #ase is
Ipie#e+ea$I $itigation, tanta+o,nt to !or,+6sopping.
4. Te PoHons ave, tro,g teir eviden#e and ad+issions, over"e$+ing$. esta-$ised tat
te. #o,$d not ave -een inno#ent p,r#asers !or va$,e, en#e, +a. not assert an. rigt o!
possession as an attri-,te o! o"nersip against petitioner.
1' | P a g e
&. Te Order dated Nove+-er 1&, 1''( o! >,dge C,adiH a,toriHing te PoHons to 9$e teir
#o+p$aint !or eBe#t+ent "as iss,ed in -$atant disregard o! petitioners rigt to -e eard -e!ore
te proper !or,+ as to te iss,e o! o"nersip, and not +ere$. possession de facto.
1/
Te Co,rt, o"ever, is not #onvin#ed. Te !oregoing reasons o! LopeH are essentia$$. te
sa+e or a reas o! arg,+ents previo,s$. raised in er petition and 9rst +otion !or
re#onsideration, and "i# te Co,rt !o,nd ins,K#ient to "arrant a revie" o! te assai$ed
de#ision o! te Co,rt o! Appea$s. Te iss,es and arg,+ents add,#ed -. LopeH ave -een
#orre#t$. and ade8,ate$. addressed -. te de#isions o! te 5eTC, RTC and Co,rt o! Appea$s,
and te Co,rt sees no !,rter need to e:po,nd on tese 9ndings and #on#$,sions.
Tro,go,t te pro#eedings o! tis #ase, LopeH as repeated$. +ade iss,e o! te !ai$,re o!
te PoHons to i+p$ead er as a part. in Civi$ Case No. 1/74(. It appears, o"ever, tat se
as previo,s$. atte+pted to seeA redress !or tis a$$eged o+ission, a$-eit "ito,t s,##ess. In
C.R. No. 1%7//1, a!ter te Petition !or Revie" o! Trade: "as denied, LopeH 9$ed a +otion !or
$eave to 9$e #o++ent in said #ase. Considering tis +ane,ver as e8,iva$ent to a +otion to
intervene, te Co,rt denied te +otion !or $a#A o! +erit, e:p$aining tat intervention +a.
proper$. -e invoAed on$. d,ring te tria$ pase o! a #ase and tat LopeH so,gt to present
!a#t,a$ iss,es tat it #annot pass ,pon in a petition 9$ed ,nder R,$e )4.
1(
S,-se8,ent$.,
d,ring te pro#eedings !or te e:e#,tion o! te B,dg+ent in Civi$ Case No. 1/74(, LopeH 9$ed
a +otion to dis+iss.
1'
>,dge C,adiH denied te +otion #iting te 9nding o! te Co,rt tat
intervention "as too $ate.
%2
Te +otion !or re#onsideration "as $iAe"ise denied. >,dge C,adiH
reiterated tat te +otion to dis+iss "as a -e$ated atte+pt to intervene and opined tat i!
LopeH -e$ieves tat se is entit$ed to re$ie!, it +a. -e se#,red !ro+ te a#tion !or 8,ieting o!
tit$e pending -e!ore anoter -ran# o! te RTC.
%1
LopeH 9$ed a petition !or certiorari "it te
Co,rt o! Appea$s.
%%
Said #o,rt, o"ever, sared te o-servations o! >,dge C,adiH and
dis+issed te petition.
%7
It is a$so not diK#,$t to see tat LopeH "ants tis Co,rt to taAe #ogniHan#e o! #ir#,+stan#es
"i# se -e$ieves "o,$d s,pport er a$$eged o"nersip o! te Paraiso propert. and #ast
do,-t on te PoHons +anner o! a#8,isition, and ten r,$e on tese #o+peting #$ai+s,
espe#ia$$. sin#e se re!,ses to a##ept te deter+ination o! te #o,rts -e$o" in te eBe#t+ent
#ase tat, -ased on te TCT in teir na+e, te PoHons ave a -etter rigt to possess te
Paraiso propert..
Tis Co,rt is not a trier o! !a#ts nor #an it taAe #ogniHan#e o! !a#ts a$$eged -. LopeH tat ave
.et to -e proven in an appropriate pro#eeding, s,# as Civi$ Case No. '&6&'% pending in te
RTC o! 5aAati Cit., 0ran# &2.
ACCOR*INCLY,te se#ond +otion !or re#onsideration is !%N#%! !or $a#A o! +erit.
No !,rter p$eadings sa$$ -e entertained in tis #ase. Let entr. o! B,dg+ent -e +ade in d,e
#o,rse.
SO OR*ERE*.
OOOOOOOOOOOOOOOOOOO
G.R. No. 16*90A Ju,4 2A, 2009
P. #O"IN!#OR R. N!R$!E? 'n( LILI! <. N!R$!E?, Petitioners,
vs.
P. ROE OG! !LCIO 'n( !NTONIO !LCIO, Respondents.
* E C I S I O N
C!RPIO, J.:
T5e C'-e
Tis is a petition
1
!or revie" on #ertiorari ,nder R,$e )4 o! te R,$es o! Co,rt. Te petition
#a$$enges te %' O#to-er %22) *e#ision
%
o! te Co,rt o! Appea$s in CA6C.R. C1 No. &7/4/.
Te Co,rt o! Appea$s aKr+ed "it +odi9#ation te & Apri$ 1''( *e#ision
7
o! te Regiona$
Tria$ Co,rt ;RTC<, >,di#ia$ Region 1, 0ran# (, La Trinidad, 0eng,et, in Civi$ Case No. ()6C16
22').
T5e F'82-
Larr. A. Ogas ;Ogas< o"ned a 1,7%'6s8,are +eter par#e$ o! $and sit,ated in Pi#o, La Trinidad,
0eng,et. Te propert. "as #overed -. Trans!er Certi9#ate o! Tit$e ;TCT< No. T612&(, and a
portion "as s,-Be#t to a 726.ear $ease agree+ent
)
"it Esso Standard Eastern, In#. Ogas so$d
te propert. to is da,gter Rose O. A$#iso ;A$#iso<. TCT No. T612&( "as #an#e$$ed and TCT
No. T61%)%%
4
"as iss,ed in te na+e o! A$#iso.
On %4 A,g,st 1'/', A$#iso entered into a *eed o! Sa$e "it Rigt to Rep,r#ase,
&
se$$ing te
propert. to >ai+e Sansano ;Sansano< !or P12,222. A$#iso $ater rep,r#ased te propert. !ro+
Sansano and, on %( 5ar# 1'(2, se entered into anoter *eed o! A-so$,te Sa$e,
/
tis ti+e
se$$ing te propert. to Ce$so S. 0ate ;0ate< !or P42,222. Te *eed stated tat3
Te SELLER "arrants tat er tit$e to and o"nersip o! te propert. erein #onve.ed are !ree
!ro+ a$$ $iens and en#,+-ran#es e:#ept tose as appear on te !a#e o! te tit$e, spe#i9#a$$.,
tat $ease over te said propert. in !avor o! ESSO STAN*AR* EASTERN, INC., te rigts over
"i# as a $essor te SELLER $iAe"ise ere-. trans!ers in !,$$ to te -,.er.
(
TCT No. T61%)%% "as #an#e$$ed and TCT No. T61&2&&
'
"as iss,ed in te na+e o! 0ate. On 1)
A,g,st 1'(1, 0ate entered into a *eed o! Sa$e o! Rea$t.,
12
se$$ing te propert. to te spo,ses
*o+inador R. NarvaeH and Li$ia E. NarvaeH ;Spo,ses NarvaeH< !or P(2,222. TCT No. T61&2&&
"as #an#e$$ed and TCT No. T61&4%(
11
"as iss,ed in te na+e o! te Spo,ses NarvaeH. In
1'(%, te Spo,ses NarvaeH -,i$t a #o++er#ia$ -,i$ding on te propert. a+o,nting
to P722,222.
A$#iso de+anded tat a stip,$ation -e in#$,ded in te 1) A,g,st 1'(1 *eed o! Sa$e o! Rea$t.
a$$o"ing er to rep,r#ase te propert. !ro+ te Spo,ses NarvaeH. In #o+p$ian#e "it
A$#isoSs de+and, te *eed stated tat, ITe SELLER ;0ate< #arries over te +ani!ested intent
o! te origina$ SELLER o! te propert. ;A$#iso< to -,. -a#A te sa+e at a pri#e ,nder s,#
#onditions as te present 0UYERS ;Spo,ses NarvaeH< +a. i+pose.I Te Spo,ses NarvaeH
!,rnised A$#iso "it a #op. o! te *eed.
A$#iso a$$eged tat se in!or+ed te Spo,ses NarvaeH tat se "anted to rep,r#ase te
propert.. Te Spo,ses NarvaeH de+anded P722,222, -,t A$#iso "as "i$$ing to pa.
on$. P142,222. A$#iso and te Spo,ses NarvaeH !ai$ed to rea# an agree+ent on te
rep,r#ase pri#e.
In a Co+p$aint
1%
dated 14 >,ne 1'() and 9$ed "it te RTC, A$#iso pra.ed tat ;1< te %4
A,g,st 1'/' *eed o! Sa$e "it Rigt to Rep,r#ase, te %( 5ar# 1'(2 *eed o! A-so$,te
Sa$e, and te 1) A,g,st 1'(1 *eed o! Sa$e o! Rea$t. -e ann,$$ed= ;%< te Register o! *eeds
-e ordered to #an#e$ TCT Nos. T61&2&& and T61&4%(= ;7< te Spo,ses NarvaeH -e ordered to
re#onve. te propert.= and ;)< Sansano, 0ate, and te Spo,ses NarvaeH -e ordered to pa.
da+ages, attorne.Ss !ees and e:penses o! $itigation. A$#iso #$ai+ed tat te intention o! te
parties "as to enter into a #ontra#t o! rea$ estate +ortgage and not a #ontra#t o! sa$e "it
rigt o! rep,r#ase. Se stated tat3
FCGontrar. to te #$ear intention and agree+ent o! te parties, parti#,$ar$. te p$aintiJs
erein, de!endant >AI5E SANSANO, taAing advantage o! te good !ait and 9nan#ia$
predi#a+ent and diK#,$ties o! p$aintiJs at te ti+e, #a,sed to -e prepared and ind,#ed "it
insido,s Fsi#G "ords and +a#inations, prevai$ed ,pon p$aintiJ to sign a #ontra#t
deno+inated as ISa$e Eit Rigt to Rep,r#aseI, instead o! *eed o! Rea$ Estate 5ortgage as
"as te #$ear intention and agree+ent o! te parties.
: : : :
*e!endant >AI5E SANSANO #a,sed to -e prepared a #ontra#t deno+inated as *EE* OF
A0SOLUTE SALE, #overing te $ot in 8,estion, #ontrar. to te #$ear intention and
%2 | P a g e
,nderstanding o! p$aintiJ "o "as inveig$ed into signing said #ontra#t ,nder te i+pression
tat "at se "as e:e#,ting "as a rea$ estate +ortgage.
17
T5e RTCC- Ru,6n9
In its & Apri$ 1''( *e#ision, te RTC e$d tat ;1< te %4 A,g,st 1'/' *eed o! Sa$e "it Rigt
to Rep,r#ase -e#a+e functus ofcio "en A$#iso rep,r#ased te propert.= ;%< te a#tion to
ann,$ te %( 5ar# 1'(2 *eed o! A-so$,te Sa$e ad pres#ri-ed= ;7< A$#iso ad no $ega$
persona$it. to ann,$ te 1) A,g,st 1'(1 *eed o! Sa$e o! Rea$t.= ;)< te 1) A,g,st 1'(1 *eed
o! Sa$e o! Rea$t. #ontained a stip,$ation pour autrui in !avor o! A$#iso f A$#iso #o,$d
rep,r#ase te propert.= ;4< A$#iso #o++,ni#ated to te Spo,ses NarvaeH er a##eptan#e o!
te !avor #ontained in te stip,$ation pour autrui= ;&< te rep,r#ase pri#e "as P(2,222= ;/<
A$#iso #o,$d eiter appropriate te #o++er#ia$ -,i$ding a!ter pa.+ent o! te inde+nit.
e8,iva$ent to one6a$! o! its +arAet va$,e "en #onstr,#ted or se$$ te $and to te Spo,ses
NarvaeH= and ;(< A$#iso "as entit$ed to P122,222 attorne.Ss !ees andP%2,222 no+ina$
da+ages.
Te Spo,ses NarvaeH appea$ed to te Co,rt o! Appea$s. In teir Appe$$ants 0rie!
1)
dated %1
Nove+-er %222, te Spo,ses NarvaeH #$ai+ed tat ;1< te 1) A,g,st 1'(1 *eed o! Sa$e o!
Rea$t. did not #ontain a stip,$ation pour autrui 9 not a$$ re8,isites "ere present= ;%< te RTC
erred in setting te rep,r#ase pri#e at P(2,222= ;7< te. "ere p,r#asers !or va$,e and in
good !ait= and ;)< te. "ere -,i$ders in good !ait.
T5e Cou.2 o7 !11e',-C Ru,6n9
In its %' O#to-er %22) *e#ision, te Co,rt o! Appea$s e$d tat ;1< te 1) A,g,st 1'(1 *eed
o! Sa$e o! Rea$t. #ontained a stip,$ation pour autrui= ;%< A$#iso a##epted te !avor #ontained
in te stip,$ation pour autrui= ;7< te RTC erred in setting te rep,r#ase pri#e at P(2,222= ;)<
te 1) A,g,st 1'(1 *eed o! Sa$e o! Rea$t. invo$ved a #ontra#t o! sa$e "it rigt o! rep,r#ase
and not rea$ estate +ortgage= ;4< te Spo,ses NarvaeH "ere -,i$ders in good !ait= and ;&<
A$#iso #o,$d eiter appropriate te #o++er#ia$ -,i$ding a!ter pa.+ent o! te inde+nit. or
o-$ige te Spo,ses NarvaeH to pa. te pri#e o! te $and, ,n$ess te pri#e "as #onsidera-$.
+ore tan tat o! te -,i$ding. Te Co,rt o! Appea$s re+anded te #ase to te RTC !or
deter+ination o! te propert.Ss reasona-$e rep,r#ase pri#e.
T5e I--ue
Te Spo,ses NarvaeH e$evated te #ase to te Co,rt. In teir Petition dated 14 *e#e+-er
%22), te Spo,ses NarvaeH #$ai+ed tat A$#iso did not #o++,ni#ate er a##eptan#e o! te
!avor #ontained in te stip,$ation pour autrui= t,s, se #o,$d not rep,r#ase te propert..
T5e Cou.2C- Ru,6n9
Te petition is ,n+eritorio,s.
Arti#$e 1711, paragrap %, o! te Civi$ Code states te r,$e on stip,$ations pour autrui3
I! a #ontra#t so,$d #ontain so+e stip,$ation in !avor o! a tird person, e +a. de+and its
!,$9$$+ent provided e #o++,ni#ated is a##eptan#e to te o-$igor -e!ore its revo#ation. A
+ere in#identa$ -ene9t or interest o! a person is not s,K#ient. Te #ontra#ting parties +,st
ave #$ear$. and de$i-erate$. #on!erred a !avor ,pon a tird person.
In Li&itless *otentials, #nc. ". Quilala,
14
te Co,rt $aid do"n te re8,isites o! a stip,$ation pour
autrui3 ;1< tere is a stip,$ation in !avor o! a tird person= ;%< te stip,$ation is a part, not te
"o$e, o! te #ontra#t= ;7< te #ontra#ting parties #$ear$. and de$i-erate$. #on!erred a !avor to
te tird person f te !avor is not an in#identa$ -ene9t= ;)< te !avor is ,n#onditiona$ and
,n#o+pensated= ;4< te tird person #o++,ni#ated is or er a##eptan#e o! te !avor -e!ore
its revo#ation= and ;&< te #ontra#ting parties do not represent, or are not a,toriHed -., te
tird part..
A$$ te re8,isites are present in te instant #ase3 ;1< tere is a stip,$ation in !avor o! A$#iso=
;%< te stip,$ation is a part, not te "o$e, o! te #ontra#t= ;7< 0ate and te Spo,ses NarvaeH
#$ear$. and de$i-erate$. #on!erred a !avor to A$#iso= ;)< te !avor is ,n#onditiona$ and
,n#o+pensated= ;4< A$#iso #o++,ni#ated er a##eptan#e o! te !avor -e!ore its revo#ation
f se de+anded tat a stip,$ation -e in#$,ded in te 1) A,g,st 1'(1 *eed o! Sa$e o! Rea$t.
a$$o"ing er to rep,r#ase te propert. !ro+ te Spo,ses NarvaeH, and se in!or+ed te
Spo,ses NarvaeH tat se "anted to rep,r#ase te propert.= and ;&< 0ate and te Spo,ses
NarvaeH did not represent, and "ere not a,toriHed -., A$#iso.
Te Spo,ses NarvaeH #$ai+ tat A$#iso did not #o++,ni#ate er a##eptan#e o! te !avor.
Te. state tat3
A per,sa$ o! te provision o! te *eed o! Sa$e o! Rea$t. -et"een Ce$so 0ate and te spo,ses
*o+inador R. NarvaeH and Li$ia E. NarvaeH ;Anne: I0I< "i# #$ear$. provides tat Ite tird
personI ;Rose O. A$#iso< +,st ave #o++,ni#ated er a##eptan#e to te o-$igors ;spo,ses
*o+inador R. NarvaeH and Li$ia E. NarvaeH< -e!ore its revo#ation "as not #o+p$ied "it. Te
a##eptan#e is at -est -. +ere in!eren#e.
: : : :
Petitioner NarvaeH #$ear$. stated tat "i$e te #ontra#t ;*eed o! Sa$e o! Rea$t., Anne: I*I<
#ontained an Fsi#G stip,$ation in !avor o! a tird person ;Rose O. A$#iso<, se did not de+and
its !,$9$$+ent and #o++,ni#ate er a##eptan#e to te o-$igors -e!ore its revo#ation.
: : : :
Ee +aintain tat te stip,$ation a!ore8,oted is not a stip,$ation pour autrui. Let te !o$$o"ing
-e e+pasiHed3
1.Ei$e te #ontra#t #ontained a stip,$ation in !avor o! a tird person ;Rose A$#iso< se did
not de+and its !,$9$$+ent and se never #o++,ni#ated er a##eptan#e to te o-$igors
;Spo,ses NarvaeH< -e!ore its revo#ation ;U. Ta+ vs. Leonard, 72 Pi$. )/1= Co8,ia vs.
Fie$d+enSs Ins,ran#e Co., In#., %& SCRA 1/(<
%.Cranting arguendo tat te stip,$ation is a pour autrui .et in te tree +eetings Rose
A$#iso ad "it 5rs. NarvaeH se never de+anded !,$9$$+ent o! te a$$eged stip,$ation pour
autrui and, "at is "orse, se did not #o++,ni#ate er a##eptan#e to te o-$igors -e!ore it
is revoAed.
1&
A petition !or revie" on #ertiorari ,nder R,$e )4 o! te R,$es o! Co,rt so,$d in#$,de on$.
8,estions o! $a" f 8,estions o! !a#t are not revie"a-$e. A 8,estion o! $a" e:ists "en te
do,-t #enters on "at te $a" is on a #ertain set o! !a#ts, "i$e a 8,estion o! !a#t e:ists "en
te do,-t #enters on te tr,t or !a$sit. o! te a$$eged !a#ts. Tere is a 8,estion o! $a" i! te
iss,e raised is #apa-$e o! -eing reso$ved "ito,t need o! revie"ing te pro-ative va$,e o! te
eviden#e. On#e te iss,e invites a revie" o! te eviden#e, te 8,estion is one o! !a#t.
1/
Eeter A$#iso #o++,ni#ated to te Spo,ses NarvaeH er a##eptan#e o! te !avor #ontained
in te stip,$ationpour autrui is a 8,estion o! !a#t. It is not revie"a-$e.
Te !a#t,a$ 9ndings o! te tria$ #o,rt, espe#ia$$. "en aKr+ed -. te Co,rt o! Appea$s, are
-inding on te Co,rt.
1(
In its & Apri$ 1''( *e#ision, te RTC !o,nd tat A$#iso #o++,ni#ated
to te Spo,ses NarvaeH er a##eptan#e o! te !avor #ontained in te stip,$ation pour autrui.
Te RTC stated tat3
Ro-e !,86-o 8o//un68'2e( 5e. '88e12'n8e o7 -u85 7':o.'3,e -261u,'26on D5en -5e
Den2 2o -ee (e7en('n2 L6,,6' Fsi#G N'.:'eE 6n 25e6. 5ou-e. Under te !oregoing
#ir#,+stan#es, tere is no 8,estion tat p$aintiJ Rose A$#iso #an +aintain er instant a#tion
!or te en!or#e+ent and@or !,$9$$+ent o! te a!orestated stip,$ation in er !avor to -. Fsi#G
-a#A te propert. in 8,estion.
1'
;E+pasis s,pp$ied<
In /lorentino ". %ncarnacion, 0r.,
%2
te Co,rt e$d tat te a##eptan#e +a. -e +ade at an.
ti+e -e!ore te !avora-$e stip,$ation is revoAed and tat te a##eptan#e +a. -e in 'n4
7o./ f it does not ave to -e !or+a$ or e:press -,t +a. -e i+p$ied. *,ring te tria$, A$#iso
testi9ed tat se in!or+ed te Spo,ses NarvaeH tat se "anted to rep,r#ase te propert.3
8 X Eat "as .o,r proposa$ to 5rs. NarvaeH -. "a. o! sett$e+entM
%1 | P a g e
a X I tried to go to er and asAed er i! I #o,$d redee+ te propert. and 5rs. NarvaeH to$d +e
". not, .o, #o,$d redee+ te propert. -,t not o,r pri#e.
: : : :
8 X No", "en .o, "ent -a#A to er, "at i! an. did .o, propose to er or te$$ er, 5ada+
"itnessM
a X I B,st asAed !or te rede+ption !or te propert., sir and se B,st to$d +e "a Fsi#G te pri#e
tat I #o,$d on$. redee+ te propert..
8 X Tree ?,ndred to,sand pesosM
a X Yes, sir.
8 X *id .o, +aAe an. #o,nter proposa$M
a X Yes, !or te tird ti+e I "ant Fsi#G -a#A again .o,r ?onor...
%1
Te e:#eptions to te r,$e tat te !a#t,a$ 9ndings o! te tria$ #o,rt are -inding on te Co,rt
are ;1< "en tere is grave a-,se o! dis#retion= ;%< "en te 9ndings are gro,nded on
spe#,$ations= ;7< "en te in!eren#e +ade is +ani!est$. +istaAen= ;)< "en te B,dg+ent o!
te Co,rt o! Appea$s is -ased on a +isappreension o! !a#ts= ;4< "en te !a#t,a$ 9ndings are
#onNi#ting= ;&< "en te Co,rt o! Appea$s "ent -e.ond te iss,es o! te #ase and its 9ndings
are #ontrar. to te ad+issions o! te parties= ;/< "en te Co,rt o! Appea$s over$ooAed
,ndisp,ted !a#ts "i#, i! proper$. #onsidered, "o,$d B,sti!. a diJerent #on#$,sion= ;(< "en
te 9ndings o! te Co,rt o! Appea$s are #ontrar. to tose o! te tria$ #o,rt= ;'< "en te !a#ts
set !ort -. te petitioners are not disp,ted -. te respondents= and ;12< "en te 9ndings
o! te Co,rt o! Appea$s are pre+ised on te a-sen#e o! eviden#e and are #ontradi#ted -. te
eviden#e on re#ord.
%%
Te Spo,ses NarvaeH did not so" tat te instant #ase !a$$s ,nder an.
o! te e:#eptions.
In its %' O#to-er %22) *e#ision, te Co,rt o! Appea$s e$d tat 0ate and te Spo,ses NarvaeH
entered into a sa$e "it rigt o! rep,r#ase and tat, app$.ing Arti#$e ))( o! te Civi$ Code,
A$#iso #o,$d eiter appropriate te #o++er#ia$ -,i$ding a!ter pa.+ent o! te inde+nit. or
o-$ige te Spo,ses NarvaeH to pa. te pri#e o! te $and, ,n$ess te pri#e "as #onsidera-$.
+ore tan tat o! te -,i$ding. Arti#$e ))( states3
Art. ))(. Te o"ner o! te $and on "i# an.ting as -een -,i$t, so"n or p$anted in good
!ait, sa$$ ave te rigt to appropriate as is o"n te "orAs, so"ing or p$anting, a!ter
pa.+ent o! te inde+nit. provided !or in Arti#$es 4)& and 4)(, or to o-$ige te one "o -,i$t
or p$anted to pa. te pri#e o! te $and, and te one "o so"ed, te proper rent. ?o"ever, te
-,i$der or p$anter #annot -e o-$iged to -,. te $and i! its va$,e is #onsidera-$. +ore tan tat
o! te -,i$ding or te trees. In s,# #ase, e sa$$ pa. reasona-$e rent, i! te o"ner o! te
$and does not #oose to appropriate te -,i$ding or trees a!ter proper inde+nit.. Te parties
sa$$ agree ,pon te ter+s o! te $ease and in #ase o! disagree+ent, te #o,rt sa$$ 9: te
ter+s tereo!.
Te Co,rt o! Appea$s stated tat3
FTGe #ontra#t -et"een de!endants6appe$$ants 0ate and NarvaeH spo,ses is a #ontra#t o! sa$e
"it a stip,$ation granting p$aintiJs6appe$$ees te rigt to rep,r#ase te propert. at a
reasona-$e pri#e. 0eing te a-so$,te o"ners o! te propert. in 8,estion, de!endants6
appe$$ants NarvaeH spo,ses ave te ,ndisp,ted rigt to ,se, enBo. and -,i$d tereon.
?aving -,i$t te i+prove+ent on te $and te. o"n and registered in teir na+es, te. are
$iAened to -,i$ders in good !ait and teir rigts over te i+prove+ent sa$$ -e governed -.
Arti#$e ))( o! te Civi$ Code "i# provides3
ART. ))(. Te o"ner o! te $and on "i# an.ting as -een -,i$t, so"n or p$anted in good
!ait, sa$$ ave te rigt to appropriate as is o"n te "orAs, so"ing or p$anting, a!ter
pa.+ent o! te inde+nit. provided !or in arti#$es 4)& and 4)(, or to o-$ige te one "o -,i$t
or p$anted to pa. te pri#e o! te $and, and te one "o so"ed, te proper rent. ?o"ever, te
-,i$der or p$anter #annot -e o-$iged to -,. te $and i! its va$,e is #onsidera-$. +ore tan tat
o! te -,i$ding or tress. In s,# #ase, e sa$$ pa. reasona-$e rent, i! te o"ner o! te $and
does not #oose to appropriate te -,i$ding or trees a!ter proper inde+nit.. Te parties sa$$
agree ,pon te ter+s o! te $ease and in #ase o! disagree+ent, te #o,rt sa$$ 9: te ter+s
tereo!.
App$.ing said Arti#$e, p$aintiJs6appe$$ees, a!ter rep,r#asing te $and, "i$$ ave te !o$$o"ing
options3
;1< to appropriate !or te+se$ves te -,i$ding ,pon pa.+ent o! its va$,e to de!endants6
appe$$ants NarvaeH spo,ses= OR
;%< to #o+pe$ te de!endants6appe$$ants NarvaeH spo,ses to -,. te $and, ,n$ess te va$,e o!
tereo! Fsi#G -e #onsidera-$. +ore tan tat o! te -,i$ding, in "i# #ase, said spo,ses +a.
$ease te $and instead. Te parties sa$$ agree ,pon te ter+s o! te $ease and in #ase o!
disagree+ent, te #o,rts sa$$ 9: te ter+s tereo!.
%7
Te Co,rt disagrees.
Te r,$e is tat on$. errors spe#i9#a$$. assigned and proper$. arg,ed in te appe$$antSs -rie!
"i$$ -e #onsidered, e:#ept B,risdi#tiona$ and #$eri#a$ errors.
%)
?o"ever, te Co,rt is #$oted
"it a+p$e a,torit. to revie" +atters not assigned as errors i! teir #onsideration is
ne#essar. in arriving at a B,st de#ision.
%4
Arti#$e ))( is inapp$i#a-$e in #ases invo$ving #ontra#ts o! sa$e "it rigt o! rep,r#ase f it is
inapp$i#a-$e "en te o"ner o! te $and is te -,i$der, so"er, or p$anter. In *ecson ". Court of
$ppeals,
%&
te Co,rt e$d tat3
!.268,e ++8 (oe- no2 '11,4 2o ' 8'-e D5e.e 25e oDne. o7 25e ,'n( 6- 25e 3u6,(e.,
-oDe., o. 1,'n2e. "o ten $ater $oses o"nersip o! te $and -. sa$e or donation. Tis Co,rt
said so in Coleongco ". -egalado3
!.268,e 361 o7 25e o,( C6:6, Co(e 6- no2 '11,68'3,e 6n 256- 8'-e, 7o. Re9','(o
8on-2.u82e( 25e 5ou-e on 56- oDn ,'n( -e!ore e so$d said $and to Co$eong#o. !.268,e
361 '11,6e- on,4 6n 8'-e- D5e.e ' 1e.-on 8on-2.u82- ' 3u6,(6n9 on 25e ,'n( o7
'no25e. 6n 9oo( o. 6n 3'( 7'625, '- 25e 8'-e /'4 3e. I2 (oe- no2 '11,4 2o ' 8'-e
D5e.e ' 1e.-on 8on-2.u82- ' 3u6,(6n9 on 56- oDn ,'n(, 7o. 25en 25e.e 8'n 3e no
Fue-26on '- 2o 9oo( o. 3'( 7'625 on 25e 1'.2 o7 25e 3u6,(e..
E$se"ise stated, D5e.e 25e 2.ue oDne. 56/-e,7 6- 25e 3u6,(e. o7 25e Do.G- on 56- oDn
,'n(, 25e 6--ue o7 9oo( 7'625 o. 3'( 7'625 6- en26.e,4 6..e,e:'n2. ;E+pasis s,pp$ied<
Arti#$e ))( is inapp$i#a-$e in te present #ase -e#a,se te Spo,ses NarvaeH -,i$t te
#o++er#ia$ -,i$ding on te $and tat te. o"n. 0esides, to #o+pe$ te+ to -,. te $and,
"i# te. o"n, "o,$d -e a-s,rd.
As te Co,rt o! Appea$s #orre#t$. o-served, te ter+s o! te 1) A,g,st 1'(1 *eed o! Sa$e o!
Rea$t. so" tat 0ate and te Spo,ses NarvaeH entered into a sa$e "it rigt o! rep,r#ase,
"ere 0ate trans!erred is rigt o! rep,r#ase to A$#iso. Te *eed states tat, ITe SELLER
;0ate< #arries over te +ani!ested intent o! te origina$ SELLER o! te propert. ;A$#iso< to -,.
-a#A te sa+e at a pri#e ,nder s,# #onditions as te present 0UYERS ;Spo,ses NarvaeH<
+a. i+pose.I Arti#$e 1&21 o! te Civi$ Code states tat, IConventiona$ rede+ption sa$$ taAe
p$a#e "en te vendor reserves te rigt to rep,r#ase te ting so$d, "it te o-$igation to
#o+p$. "it te provisions o! Arti#$e 1&1& and oter stip,$ations "i# +a. ave -een
agreed ,pon.I In Gallar ". 5usain,
%/
te Co,rt e$d tat Ite rigt o! rep,r#ase +a. -e
e:er#ised on$. -. te vendor in "o+ te rigt is re#ogniHed -. #ontra#t or -. an. person to
"o+ te rigt +a. ave -een trans!erred.I
In a sa$e "it rigt o! rep,r#ase, te app$i#a-$e provisions are Arti#$es 1&2& and 1&1& o! te
Civi$ Code, not Arti#$e ))(. Arti#$es 1&2& and 1&1& state3
Art. 1&2&. Te rigt re!erred to in Arti#$e 1&21, in te a-sen#e o! an e:press agree+ent, sa$$
$ast !o,r .ears !ro+ te date o! te #ontra#t.lawp):l
So,$d tere -e an agree+ent, te period #annot e:#eed ten .ears.
%% | P a g e
?o"ever, te vendor +a. sti$$ e:er#ise te rigt to rep,r#ase "itin tirt. da.s !ro+ te
ti+e 9na$ B,dg+ent "as rendered in a #ivi$ a#tion on te -asis tat te #ontra#t "as a tr,e
sa$e "it rigt to rep,r#ase.
Art. 1&1&. Te vendor #annot avai$ i+se$! o! te rigt o! rep,r#ase "ito,t ret,rning to te
vendee te pri#e o! te sa$e, and in addition3
;1< Te e:penses o! te #ontra#t, and an. oter $egiti+ate pa.+ents +ade -. reason o! te
sa$e=
;%< Te ne#essar. and ,se!,$ e:penses +ade on te ting so$d.
Under Arti#$e 1&1&, A$#iso +a. e:er#ise er rigt o! rede+ption -. pa.ing te Spo,ses
NarvaeH ;1< te pri#e o! te sa$e, ;%< te e:penses o! te #ontra#t, ;7< $egiti+ate pa.+ents
+ade -. reason o! te sa$e, and ;)< te ne#essar. and ,se!,$ e:penses +ade on te ting
so$d. In te present #ase, te #ost o! te -,i$ding #onstit,tes a ,se!,$ e:pense. Use!,$
e:penses in#$,de i+prove+ents "i# a,g+ent te va$,e o! te $and.
%(
Under te 9rst paragrap o! Arti#$e 1&2&, A$#iso ad !o,r .ears !ro+ 1) A,g,st 1'(1 to
rep,r#ase te propert. sin#e tere "as no e:press agree+ent as to te period "en te
rigt #an -e e:er#ised. Tender o! pa.+ent o! te rep,r#ase pri#e is ne#essar. in te e:er#ise
o! te rigt o! rede+ption. Tender o! pa.+ent is te se$$erSs +ani!estation o! is or er desire
to rep,r#ase te propert. "it te oJer o! 6//e(6'2e 1e.7o./'n8e.
%'
A$#isoSs inti+ation to te Spo,ses NarvaeH tat se "anted to rep,r#ase te propert. "as
ins,K#ient. To ave eJe#tive$. e:er#ised er rigt o! rep,r#ase, A$#iso so,$d ave tendered
pa.+ent. In Lee ". Court of $ppeals,
72
te Co,rt e$d tat3
Te r,$e tat tender o! pa.+ent o! te rep,r#ase pri#e is ne#essar. to e:er#ise te rigt o!
rede+ption 9nds s,pport in #ivi$ $a". Arti#$e 1&1& o! te Civi$ Code o! te Pi$ippines : : :
!,rnises te g,ide, to "it3 ITe vendor #annot avai$ i+se$! o! te rigt o! rep,r#ase
"ito,t ret,rning to te vendee te pri#e o! te sa$e...I3a""p)i3
T,s, in te #ase o! Angao vs. C$avano, 1/ Pi$. 14%, it "as e$d tat Iit is not s,K#ient !or
te vendor to inti+ate or to state to te vendee tat te !or+er desires to redee+ te ting
so$d, -,t e +,st i++ediate$. tere,pon oJer to repa. te pri#e...I LiAe"ise, in severa$ oter
#ases de#ided -. te S,pre+e Co,rt ;Fr,#to vs. F,entes, 14 Pi$. 7&%= Retes vs. S,e$to, %2
Pi$. 7')= Rosa$es vs. Re.es, et a$., %4 Pi$. )'4= Can,to vs. 5ariano, 7/ Pi$. ()2= *e $a Cr,H,
et a$. vs. Res,rre##ion, et a$., '( Pi$. '/4= and oter #ases< "ere te rigt to rep,r#ase
"as e$d to ave -een proper$. e:er#ised, tere "as a de9nite 9nding o! tender o! pa.+ent
aving -een +ade -. te vendor. ;E+pasis s,pp$ied<
Neverte$ess, ,nder te tird paragrap o! Arti#$e 1&2&, A$#iso as 72 da.s !ro+ te 9na$it.
o! tis *e#ision to e:er#ise er rigt o! rep,r#ase. In Laserna ". a"ier,
71
te Co,rt e$d tat3
Te ne" Civi$ Code in Arti#$e 1&2&, tereo! gives te vendors a retro Ite rigt to rep,r#ase
"itin tirt. da.s !ro+ te ti+e 9na$ B,dg+ent "as rendered in a #ivi$ a#tion, on te -asis
tat te #ontra#t "as a tr,e sa$e "it te rigt to rep,r#ase.I Tis provision as -een
#onstr,ed to +ean tat Ia!ter te #o,rts ave de#ided -. a 9na$ or e:e#,tor. B,dg+ent tat
te #ontra#t "as a pacto de retro and not a +ortgage, te vendor ;"ose #$ai+ as +ortgagor
ad de9nite$. -een reBe#ted< +a. sti$$ ave te privi$ege o! rep,r#asing "itin 72 da.s.I
;PereH, et a$."s. P,$,eta, 12& Pi$., %&).<
Te tird paragrap o! Arti#$e 1&2& a$$o"s se$$ers, "o #onsidered te transa#tion te.
entered into as +ortgage, to rep,r#ase te propert. "itin 72 da.s !ro+ te ti+e te. are
-o,nd -. te B,dg+ent 9nding te transa#tion to -e one o! sa$e "it rigt o! rep,r#ase.
<HEREFORE, te Co,rt #ENIE te petition. Te Co,rt !FFIR" te %' O#to-er %22)
*e#ision o! te Co,rt o! Appea$s in CA6C.R. C1 No. &7/4/ "it "O#IFIC!TION. Respondent
Rose O. A$#iso +a. e:er#ise er rigt o! rede+ption -. pa.ing te petitioners Spo,ses
*o+inador R. NarvaeH and Li$ia E. NarvaeH ;1< te pri#e o! te sa$e, ;%< te e:penses o! te
#ontra#t, ;7< $egiti+ate pa.+ents +ade -. reason o! te sa$e, and ;)< te ne#essar. and
,se!,$ e:penses +ade on te s,-Be#t propert.. Te Co,rt #IRECT te Regiona$ Tria$ Co,rt,
>,di#ia$ Region 1, 0ran# (, La Trinidad, 0eng,et, to deter+ine te a+o,nts o! te e:penses
o! te #ontra#t, te $egiti+ate e:penses +ade -. reason o! te sa$e, and te ne#essar. and
,se!,$ e:penses +ade on te s,-Be#t propert..
A!ter s,# deter+ination, respondent Rose O. A$#iso sa$$ ave 72 da.s to pa. te a+o,nts to
petitioners Spo,ses *o+inador R. NarvaeH and Li$ia E. NarvaeH.
O OR#ERE#.
OOOOOOOOOOOOOOOOOOO
HEIR OF THE L!TE JO!HUIN LI"ENE, n'/e,4=
CONCE! LI"ENE, u.:6:6n9 1ou-eI 'n( #!NILO
'n( JOELITO, 3o25 -u.n'/e( L6/en-e, 856,(.en,
Petitioners,

- "ersus -

RIT! $#!. #E R!"O, RETITUTO R!"O, $IRGILIO
#I!?, IRENEO R!"O, BENJ!"IN R!"O,
<!L#&TRU#E R!"O-B!ILIO, TRINI#!# R!"O-
BR!$O, P!? R!"O-P!CU!, FELICII"! R!"O-
RE&E, 'n( J!CINT! R!"O,
Respondents.
G.R. No. 1*2319

P.e-en2=

LUISU50INC,
Q
.,
CARPIO, ., C)airperson,
C?ICO6NAPARIO,
PERALTA, and
A0A*,
QQ
.




P.o/u,9'2e(=

O82o3e. 28, 2009
X66 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6 6X

# E C I I O N

PER!LT!, J.,

Tis is a petition !or revie" on certiorari ,nder R,$e )4 o! te R,$es o! Co,rt seeAing to
ann,$ and set aside te *e#ision
F1G
o! te Co,rt o! Appea$s dated *e#e+-er %2, %221 in CA6
C.R. C1 No. 774(' aKr+ing in toto te *e#ision
F%G
o! te Regiona$ Tria$ Co,rt o! 5ani$a,
0ran# 14, dated Septe+-er %1, 1''2 in Civi$ Case No. (761&1%(.

Te ante#edent !a#ts are as !o$$o"s3

*a$+a#io LoHada "as te registered o"ner o! a par#e$ o! $and identi9ed as Lot No. 1%,
0$o#A No. 12/) o! te #adastra$ s,rve. o! te Cit. o! 5ani$a #overed -. Origina$ Certi9#ate o!
%7 | P a g e
Tit$e ;OCT< No. /27& iss,ed at te Cit. o! 5ani$a on >,ne 1), 1'%/,
F7G
#ontaining an area o!
(/7.(2 s8,are +eters, +ore or $ess, $o#ated in 0eata Street, Panda#an, 5ani$a.

*a$+a#io LoHada s,-divided is propert. into 9ve ;4< $ots, na+e$.3 Lot Nos. 1%6A, 1%60,
1%6C, 1%6* and 1%6E. Tro,g a *eed o! *onation dated 5ar# ', 1'7%,
F)G
e donated te
s,-divided $ots to is da,gters, na+e$.3 Isa-e$, Sa$,d, Cata$ina, and Fe$i#idad, a$$ s,rna+ed
LoHada. Te *eed o! *onation "as registered "it te oK#e o! te Register o! *eeds o!
5ani$a on 5ar# 14, 1'7%.

Under te said *eed o! *onation, te $ots "ere adB,di#ated to *a$+a#ioDs
da,gters in te !o$$o"ing +anner3

a. Lot No. 1%6A in !avor o! Isa-e$ LoHada, +arried to Isaa# Li+ense=
-. Lot No. 1%60 in !avor o! Cata$ina LoHada, +arried to Sotero Natividad=
#. Lot No. 1%6C in !avor o! Cata$ina LoHada, +arried to Sotero Natividad= Isa-e$
LoHada, +arried to Isaa# Li+ense= and Sa$,d LoHada, +arried to Fran#is#o Ra+os, in e8,a$
parts=
d. Lot No. 1%6* in !avor o! Sa$,d LoHada, +arried to Fran#is#o Ra+os= and
e. Lot No. 1%6E in !avor o! Isa-e$ LoHada, +arried to Isaa# Li+ense, and
Fe$i#idad LoHada, +arried to Ca$i#ano Centeno.

0. virt,e o! te *eed o! *onation e:e#,ted -. *a$+a#io LoHada, OCT No. /27&, "i#
"as registered in is na+e, "as #an#e$$ed and, in $ie, tereo!, Trans!er Certi9#ates o! Tit$e
;TCTs< -earing Nos. )22)1, )22)%, )22)7, )22)), and )22)4 "ere iss,ed in !avor o! te
donees, e:#ept TCT No. )22)), "i# re+ained in is na+e. Tese ne" TCTs "ere annotated
at te -a#A o! OCT No. /27&.
F4G

TCT No. )22)7, "i# #overed Lot No. 1%6C, "as iss,ed in te na+e o! its #o6o"ners
Cata$ina LoHada, +arried to Sotero Natividad= Isa-e$ LoHada, +arried to Isaa# Li+ense= and
Sa$,d LoHada, +arried to Fran#is#o Ra+os. It #overed an area o! &(.&2 s8,are +eters, +ore
or $ess, "as -o,nded on te norteast -. Lot No. 1%6A, on te so,t"est -. Ca$$e 0eata, and
on te nort"est -. Lot No. 1%6* o! te s,-division p$an. In 1'7%, respondentsD prede#essor6
in6interest #onstr,#ted teir residentia$ -,i$ding on Lot No. 1%6*, adBa#ent to Lot No. 1%6C.

On 5a. 1&, 1'&', TCT No. '&((&
F&G
"as iss,ed in te na+e o! >oa8,in Li+ense #overing
te ver. sa+e area o! Lot No. 1%6C.

On O#to-er 1, 1'(1, >oa8,in Li+ense se#,red a -,i$ding per+it !or te #onstr,#tion o! a
o$$o" -$o#A !en#e on te -o,ndar. $ine -et"een is a!oresaid propert. and te adBa#ent
par#e$ o! $and $o#ated at %/4' 0eata Street, Panda#an, 5ani$a, designated as Lot No. 1%6*,
"i# "as -eing o##,pied -. respondents. Te !en#e, o"ever, #o,$d not -e #onstr,#ted
-e#a,se a s,-stantia$ portion o! respondentsD residentia$ -,i$ding in Lot No. 1%6* en#roa#ed
,pon portions o! >oa8,in Li+enseDs propert. in Lot No. 1%6C.
>oa8,in Li+ense de+anded te re+ova$ o! te en#roa#ed area= o"ever, respondent
ignored -ot ora$ and "ritten de+ands. Te parties !ai$ed to a+i#a-$. sett$e te diJeren#es
-et"een te+ despite re!erra$ to te .arangay. T,s, on 5ar# ', 1'(7, >oa8,in Li+ense,
d,$. represented -. is Attorne.6in6Fa#t, Teo9sta L. Re.es, instit,ted a Co+p$aint
F/G
against
respondents -e!ore te Regiona$ Tria$ Co,rt ;RTC< o! 5ani$a, 0ran# 14, !or re+ova$ o!
o-str,#tion and da+ages.

>oa8,in Li+ense pra.ed tat te RTC iss,e an order dire#ting respondents, Boint$. and
severa$$., to re+ove te portion "i# i$$ega$$. en#roa#ed ,pon is propert. on Lot No. 1%6C
and, $iAe"ise, pra.ed !or te pa.+ent o! da+ages, attorne.Ss !ees and #osts o! s,it.

Respondents, on te oter and, averred in teir Ans"er
F(G
tat te. "ere te s,rviving
eirs o! Fran#is#o Ra+os,
F'G
"o, d,ring is $i!eti+e, "as +arried to Sa$,d LoHada, one o! te
da,gters o! *a$+a#io LoHada, te origina$ o"ner o! Lot No. 1%. A!ter s,-dividing te said
$ot, *a$+a#io LoHada donated Lot No. 1%6C in !avor o! is da,gters Cata$ina, +arried to
Sotero Natividad= Isa-e$, +arried to Isaa# Li+ense= and Sa$,d, +arried to Fran#is#o Ra+os.
0eing te s,rviving eirs o! Fran#is#o Ra+os, respondents $ater -e#a+e #o6o"ners o! Lot No.
1%6C. Lot No. 1%6C as served as rigt o! "a. or #o++on a$$e. o! a$$ te eirs o! *a$+a#io
LoHada sin#e 1'7% ,p to te present. As a #o++on a$$e., it #o,$d not -e #$osed or !en#ed -.
>oa8,in Li+ense "ito,t #a,sing da+age and preB,di#e to respondents.

A!ter tria$ on te +erits, te RTC rendered a *e#ision
F12G
dated Septe+-er %1,
1''2 dis+issing te #o+p$aint o! >oa8,in Li+ense. It r,$ed tat an apparent ease+ent o!
rigt o! "a. e:isted in !avor o! respondents. Pertinent portions o! te de#ision read as !o$$o"s3

Te Co,rt 9nds tat an apparent ease+ent o! rigt o! "a. e:ists in !avor o! te de!endants
,nder Arti#$e &%) o! te Civi$ Code. It #annot -e denied tat tere is an a$$e. "i# so"s its
e:isten#e. It is ad+itted tat tis a$$e. "as esta-$ised -. te origina$ o"ner o! Lot 1% and
tat in dividing is propert., te a$$e. esta-$ised -. i+ #ontin,ed to -e ,sed a#tive$. and
passive$. as s,#. Even "en te division o! te propert. o##,rred, te non6e:isten#e o! te
ease+ent "as not e:pressed in te #orresponding tit$es nor "ere te apparent sign o! te
a$$e. +ade to disappear -e!ore te iss,an#e o! said tit$es.

Te Co,rt a$so 9nds tat "en p$aintiJ a#8,ired te $ot ;1%6C< "i# !or+s te a$$e., e Ane"
tat said $ot #o,$d serve no oter p,rpose tan as an a$$e.. Tat is ". even a!ter e a#8,ired
it in 1'&', te $ot #ontin,ed to -e ,sed -. de!endants and o##,pants o! te oter adBoining
$ots as an a$$e.. Te e:isten#e o! te ease+ent o! rigt o! "a. "as tere!ore Ano"n to
p$aintiJ "o +,st respe#t te sa+e in spite o! te !a#t tat is trans!er #erti9#ate o! tit$e
does not +ention te $ot o! de!endants as a+ong tose $isted terein as entit$ed to s,# rigt
o! "a.. It is an esta-$ised prin#ip$e tat a#t,a$ noti#e or Ano"$edge is as -inding as
registration.
F11G


Aggrieved -. said de#ision, >oa8,in Li+ense 9$ed a noti#e o! appea$. Te re#ords o! te
#ase "ere trans+itted to te Co,rt o! Appea$s ;CA<. *,ring te penden#. o! te appea$ "it
te CA, >oa8,in Li+ense died in 1'''.
F1%G

Te CA, Sevent *ivision, in CA6C.R. C1 No. 774(', in its *e#ision
F17G
dated *e#e+-er
%2, %221 dis+issed te appea$ and aKr+ed in toto te de#ision o! te RTC.

Fr,strated -. tis t,rn o! events, petitioners, as s,rviving eirs o! >oa8,in Li+ense,
e$evated te #ase to tis Co,rt via a Petition !or Revie" on Certiorari
F1)G
raising te !o$$o"ing
iss,es3

1. *I* T?E ?ONORA0LE COURT OF APPEALS CO55IT A CRA1E A0USE OF *ISCRETION
A5OUNTINC TO LACT OF >URIS*ICTION, IN ?OL*INC, LITE T?E TRIAL COURT *I*, T?AT
%) | P a g e
RESPON*ENTSD LOT 1%6* ?AS AN EASE5ENT OF RIC?T OF EAY O1ER >OALUIN LI5ENSEDS
LOT 1%6CM

%. *I* T?E ?ONORA0LE COURT OF APPEALS CO55IT A CRA1E A0USE OF *ISCRETION
A5OUNTINC TO LACT OF >URIS*ICTION, IN FAILINC TO ?OL*, LITE T?E TRIAL COURT *I*,
T?AT T?E PROTRU*INC PORTIONS OF RESPON*ENTSD ?OUSE ON LOT 1%6* EXTEN*INC INTO
>OALUIN LI5ENSEDS LOT 1%6C CONSTITUTE A NUISANCE AN*, AS SUC?, S?OUL* 0E
RE5O1E*M


Petitioners aver tat te CA erred in r,$ing tat sin#e Lot No. 1%6C "as #overed -. t"o
TCTDs, i.e., TCT Nos. )22)7 and '&((&, and tere "as no eviden#e on re#ord to so" o"
>oa8,in Li+ense "as a-$e to se#,re anoter tit$e over an a$read. tit$ed propert., ten one o!
tese tit$es +,st -e o! d,-io,s origin. A##ording to te CA, TCT No. '&((&, iss,ed in te
na+e o! >oa8,in Li+ense, "as sp,rio,s -e#a,se te LoHada sisters never disposed o! te said
propert. #overed -. TCT No. )22)7. Te CA !,rter r,$ed tat a #o6o"nersip e:isted over
Lot No. 1%6C -et"een petitioners and respondents. Petitioners #o,ntered tat TCT No. '&((&,
-eing te on$. and -est $egiti+ate proo! o! o"nersip over Lot No. 1%6C, +,st prevai$ over
TCT No. )22)7.

Respondents a$$ege tat it "as possi-$e tat TCT No. '&((&, in te na+e o! >oa8,in
Li+ense, "as o-tained tr, !ra,d, +isrepresentation or !a$si9#ation o! do#,+ents -e#a,se
te donees o! said propert. #o,$d not possi-$. e:e#,te an. va$id trans!er o! tit$e to >oa8,in
Li+ense, as te. "ere a$read. dead prior to te iss,an#e o! TCT No. '&((& in
1'&'. Respondents !,rter a$$ege tat petitioners !ai$ed to prod,#e proo! s,-stantiating te
iss,an#e o! TCT No. '&((& in te na+e o! >oa8,in Li+ense.
Apparent$., respondents are 8,estioning te $ega$it. o! TCT No. '&((&, an iss,e tat
tis Co,rt #annot pass ,pon in te present #ase. It is a r,$e tat te va$idit. o! a torrens tit$e
#annot -e assai$ed #o$$atera$$..
F14G
Se#tion )( o! Presidentia$ *e#ree ;P*< No. 14%' provides
tat3

FaG #erti9#ate o! tit$e sa$$ not -e s,-Be#t to #o$$atera$ atta#A. It #annot -e a$tered, +odi9ed,
or #an#e$$ed e:#ept in a dire#t pro#eeding in a##ordan#e "it $a".


In te #ase at -ar, te a#tion 9$ed -e!ore te RTC against respondents "as an a#tion
!or re+ova$ o! o-str,#tion and da+ages. Respondents raised te de!ense tat >oa8,in
Li+enseDs tit$e #o,$d ave -een o-tained tro,g !ra,d and +isrepresentation in te tria$
pro#eedings -e!ore te RTC. S,# de!ense is in te nat,re o! a #o$$atera$ atta#A, "i# is not
a$$o"ed -. $a".

F,rter, it as -een e$d tat a #erti9#ate o! tit$e, on#e registered, so,$d not
terea!ter -e i+p,gned, a$tered, #anged, +odi9ed, en$arged or di+inised, e:#ept in a
dire#t pro#eeding per+itted -. $a". Oter"ise, te re$ian#e on registered tit$es "o,$d -e $ost.
Te tit$e -e#a+e inde!easi-$e and in#ontroverti-$e a!ter te $apse o! one .ear !ro+ te ti+e
o! its registration and iss,an#e. Se#tion 7% o! P* 14%' provides tat V,pon te e:piration o!
said period o! one .ear, te de#ree o! registration and te #erti9#ate o! tit$e sa$$ -e#o+e
in#ontroverti-$e. An. person aggrieved -. s,# de#ree o! registration in an. #ase +a. p,rs,e
is re+ed. -. a#tion !or da+ages against te app$i#ant or oter persons responsi-$e !or te
!ra,d.W
F1&G
It as, tere!ore, -e#o+e an an#ient r,$e tat te iss,e on te va$idit. o!
tit$e, i.e., "eter or not it "as !ra,d,$ent$. iss,ed, #an on$. -e raised in an a#tion e:press$.
instit,ted !or tat p,rpose.
F1/G
In te present #ase, TCT No. '&((& "as registered in 1'&' and
respondents never instit,ted an. dire#t pro#eeding or a#tion to assai$ >oa8,in Li+enseDs tit$e.

Additiona$$., an e:a+ination o! TCT No. )22)7 "o,$d readi$. so" tat tere is an
annotation tat it as -een ;C$NC%LL%!.<
F1(G
A reading o! TCT No. '&((& "o,$d a$so revea$
tat said tit$e is a trans!er !ro+ TCT No. )((&&
F1'G
and not TCT )22)7. T,s, it is possi-$e tat
tere "as a series o! trans!ers eJe#ted !ro+ TCT No. )22)7 prior to te iss,an#e o! TCT No.
'&((&. ?en#e, respondentsD position tat te iss,an#e o! TCT No. '&((& in te na+e o!
>oa8,in Li+ense is i+possi-$e, -e#a,se te registered o"ners o! TCT No. )22)7 "ere a$read.
dead prior to 1'&' and #o,$d not ave trans!erred te propert. to >oa8,in Li+ense, #annot -e
taAen as proo! tat TCT No. '&((& "as o-tained tro,g !ra,d, +isrepresentation or
!a$si9#ation o! do#,+ents.

Findings o! !a#t o! te CA, a$to,g genera$$. dee+ed #on#$,sive, +a. ad+it revie" -.
tis Co,rt i! te CA !ai$ed to noti#e #ertain re$evant !a#ts tat, i! proper$. #onsidered, "o,$d
B,sti!. a diJerent #on#$,sion, and i! te B,dg+ent o! te CA is pre+ised on a +isappreension
o! !a#ts.
F%2G
As "it te present #ase, te CADs o-servation tat TCT No. '&((& is o! d,-io,s
origin, as TCT No. )22)7 does not appear to ave -een disposed o! -. Cata$ina, Isa-e$ and
Sa$,d LoHada, is i+proper and #onstit,tes an indire#t atta#A on TCT No. '&((&. As "e see
it, TCT No. '&((&, at present, is te -est proo! o! >oa8,in Li+enseSs o"nersip over Lot No.
1%6C. T,s, te CA erred in r,$ing tat respondents and petitioners #o6o"ned Lot No. 1%6C,
as said $ot is no" registered e:#$,sive$. in te na+e o! >oa8,in Li+ense.

*,e to te !oregoing, >oa8,in Li+ense, as te registered o"ner o! Lot 1%6C, and is
s,##essors6in6interest, +a. en#$ose or !en#e is $and or tene+ents -. +eans o! "a$$s,
dit#es, $ive or dead edges, or -. an. oter +eans "ito,t detri+ent to servit,des
#onstit,ted tereon.
F%1G

?o"ever, a$to,g te o"ner o! te propert. as te rigt to en#$ose or !en#e is
propert., e +,st respe#t servit,des #onstit,ted tereon. Te 8,estion no" is "eter
respondents are entit$ed to an ease+ent o! rigt o! "a..

Petitioners #ontend tat respondents are not entit$ed to an ease+ent o! rigt o! "a.
over Lot No. 1%6C, -e#a,se teir Lot No. 1%6* is not d,$. annotated at te -a#A o! TCT No.
'&((& "i# "o,$d entit$e te+ to enBo. te ease+ent, ,n$iAe Lot Nos. 1%6A61, 1%6A6%, 1%6A6
7, 1%6A6), 1%6A64, and 1%6A6&. Respondents, on te oter and, a$$ege tat te. are entit$ed
to an ease+ent o! rigt o! "a. over Lot No. 1%6C, "i# as -een #ontin,o,s$. ,sed as an
a$$e. -. te eirs o! *a$+a#io LoHada, te residents in te area and te p,-$i# in genera$ !ro+
1'7% ,p to te present. Sin#e petitioners are !,$$. a"are o! te $ong e:isten#e o! te said
a$$e. or ease+ent o! rigt o! "a., te. are -o,nd to respe#t te sa+e.

As de9ned, an ease+ent is a rea$ rigt on anoterDs propert., #orporea$ and
i++ova-$e, "ere-. te o"ner o! te $atter +,st re!rain !ro+ doing or a$$o"ing so+e-od.
e$se to do or so+eting to -e done on is propert., !or te -ene9t o! anoter person or
tene+ent.
F%%G

Ease+ents +a. -e #ontin,o,s or dis#ontin,o,s, apparent or non6apparent.

%4 | P a g e
Contin,o,s ease+ents are tose te ,se o! "i# is or +a. -e in#essant, "ito,t te
intervention o! an. a#t o! +an. *is#ontin,o,s ease+ents are tose "i# are ,sed at
interva$s and depend ,pon te a#ts o! +an. Apparent ease+ents are tose "i# are +ade
Ano"n and are #ontin,a$$. Aept in vie" -. e:terna$ signs tat revea$ te ,se and enBo.+ent
o! te sa+e. Non6apparent ease+ents are tose "i# so" no e:terna$ indi#ation o! teir
e:isten#e.
F%7G

In te present #ase, te ease+ent o! rigt o! "a. is dis#ontin,o,s and apparent.
It is dis#ontin,o,s, as te ,se depends ,pon te a#ts o! respondents and oter persons
passing tro,g te propert.. 0eing an a$$e. tat so"s a per+anent pat going to and
!ro+ 0eata Street, te sa+e is apparent.

0eing a dis#ontin,o,s and apparent ease+ent, te sa+e #an -e a#8,ired on$. -.
virt,e o! a tit$e.
F%)G

In te #ase at -ar, TCT No. '&((&, iss,ed in te na+e o! >oa8,in Li+ense, does
not #ontain an. annotation tat Lot No. 1%6* "as given an ease+ent o! rigt o! "a. over Lot
No. 1%6C. ?o"ever, >oa8,in Li+ense and is s,##essors6in6interests are !,$$. a"are tat Lot
No. 1%6C as -een #ontin,o,s$. ,sed and ,ti$iHed as an a$$e. -. respondents and residents in
te area !or a $ong period o! ti+e.

>oa8,in Li+enseDs Attorne.6in6Fa#t, Teo9sta L. Re.es, testi9ed tat respondents and
severa$ oter residents in te area ave -een ,sing te a$$e. to rea# 0eata Streetsin#e
1'7%. T,s3

Att.. 5an,e$ 0. To+a#r,H3
L3 5rs. Eitness, -. virt,e o! tat *eed o! *onation .o, #$ai+ tat tit$es "ere iss,ed to
te #i$dren o! *a$+a#io LoHada na+e$. Sa$,d LoHada, Cata$ina LoHada and Isa-e$ LoHada, is
tat rigtM
A3 Yes, sir.

L3 And a!ter te said propert. "as adB,di#ated to is said #i$dren te $atter #onstr,#ted
teir o,ses on teir $ots.
A3 Yes, sir.

L3 As a +atter o! !a#t, te erein de!endants ave #onstr,#ted teir o,ses on te
pre+ises a$$oted to te+ sin#e te .ear 1'7%M
A3 Yes, sir, te. "ere a-$e to #onstr,#t teir o,se !ronting 0eata Street.

L3 And tat o,se te. ave #onstr,#ted on teir $ot in 1'7% is sti$$ e:isting toda.M
A3 Yes, sir and te. sti$$ ,sed te a$$e. in 8,estion and te. are s,pposed to ,se 0eata
Street -,t te. are not ,sing 0eata Street.

L3 Te. are ,sing te a$$e.M
A3 Yes, sir, te. are ,sing te a$$e. and te. do not pass tro,g 0eata Street.

L3 And te. ave -een ,sing te a$$e. sin#e 1'7% ,p to te presentM
A3 Yes, sir te. ave -een ,sing te a$$e. sin#e tat ti+e. Tat "as teir +istaAe and
te. so,$d -e ,sing 0eata Street -e#a,se te. are !ronting 0eata Strret.

L3 As a +atter o! !a#t, it is not on$. erein de!endants "o ave -een ,sing tat a$$e.
sin#e 1'7% ,p to te presentM
A3 Yes, sir te. are ,sing te a$$e. ,p to no".

L3 As a +atter o! !a#t, in tis pi#t,re +arAed as E:. VC61W te a$$e. is ver. apparent.
Tis is te a$$e.M
A3 Yes, sir.

L3 And tere are o,ses on eiter side o! tis a$$e.M
A3 Yes, sir.

L3 As a +atter o! !a#t, a$$ te residents on eiter side o! te a$$e. are passing tro,g
tis a$$e.M
A3 Yes, sir, -e#a,se te oters ave per+it to ,se tis a$$e. and te. are no" a$$o"ed to
,se te a$$e. -,t te Ra+osDs !a+i$. are no" FnotG a$$o"ed to ,se tis a$$e..
F%4G


In Mendoza ". -osel,
F%&G
tis Co,rt e$d tat3

Petitioners #$ai+ tat inas+,# as teir trans!er #erti9#ates o! tit$e do not +ention
an. $ien or en#,+-ran#e on teir $ots, te. are p,r#asers in good !ait and !or va$,e, and as
s,# ave a rigt to de+and !ro+ respondents so+e pa.+ent !or te ,se o! te a$$e..
?o"ever, te Co,rt o! Appea$s !o,nd, as a !a#t, tat "en respondents a#8,ired te t"o $ots
"i# !or+ te a$$e., te. Ane" tat said $ots #o,$d serve no oter p,rpose tan as an
a$$e.. T$e e/istence of t$e easement of rig$t of 0a( 0as t$erefore #no0n to
%etitioners 0$o must res%ect t$e same3 in s%ite of t$e fact t$at t$eir transfer
certi4cates of title do not mention an( 'urden or easement. It is an esta'lis$ed
%rinci%le t$at actual notice or #no0ledge is as 'inding as registration.
Ever. -,.er o! a registered $and "o taAes a #erti9#ate o! tit$e !or va$,e and in
good !ait sa$$ o$d te sa+e !ree o! a$$ en#,+-ran#es e:#ept tose noted on said
#erti9#ate. It as -een e$d, o"ever, tat V"ere te part. as Ano"$edge o! a prior
e:isting interest tat "as ,nregistered at te ti+e e a#8,ired a rigt to te sa+e $and, is
Ano"$edge o! tat prior ,nregistered interest as te eJe#t o! registration as to i+.W
F%/G


In te #ase at -ar, Lot No. 1%6C as -een ,sed as an a$$e. ever sin#e it "as
donated -. *a$+a#io LoHada to is eirs. It is ,ndisp,ted tat prior to and a!ter te
registration o! TCT No. '&((&, Lot No. 1%6C as served as a rigt o! "a. in !avor o!
respondents and te p,-$i# in genera$. Ee 8,ote !ro+ te RTCDs de#ision3

: : : It #annot -e denied tat tere is an a$$e. "i# so"s its e:isten#e. It is ad+itted tat
tis a$$e. "as esta-$ised -. te origina$ o"ner o! Lot 1% and tat in dividing is propert. te
a$$e. esta-$ised -. i+ #ontin,ed to -e ,sed a#tive$. and passive$. as s,#. Even "en te
division o! te propert. o##,rred, te non6e:isten#e o! te ease+ent "as not e:pressed in
te #orresponding tit$es nor "ere te apparent sign o! te a$$e. +ade to disappear -e!ore te
iss,an#e o! said tit$es.

Te Co,rt a$so 9nds tat "en p$aintiJ a#8,ired te $ot ;1%6C< "i# !or+s te a$$e., e Ane"
tat said $ot #o,$d serve no oter p,rpose tan as an a$$e.. Tat is ". even a!ter e a#8,ired
it in 1'&' te $ot #ontin,ed to -e ,sed -. de!endants and o##,pants o! te oter adBoining
$ots as an a$$e.. : : :
F%(G
%& | P a g e


T,s, petitioners are -o,nd -. te ease+ent o! rigt o! "a. over Lot No. 1%6C, even
to,g no registration o! te servit,de as -een +ade on TCT No. '&((&.

?o"ever, respondentsS rigt to ave a##ess to te propert. o! petitioners does not
in#$,de te rigt to #ontin,a$$. en#roa# ,pon te $atterSs propert.. It is not disp,ted tat
portions o! respondentsD o,se on Lot No. 1%6* en#roa# ,pon Lot No. 1%6C. Ceodeti#
Engineer >ose Agres, >r. testi9ed on te en#roa#+ent o! respondentsD o,se on Lot No. 1%6C,
"i# e s,rve.ed.
F%'G
In order to sett$e te rigts o! te parties re$ative to te en#roa#+ent,
Ee so,$d deter+ine "eter respondents "ere -,i$ders in good !ait.

Cood !ait is an intangi-$e and a-stra#t 8,a$it. "it no te#ni#a$ +eaning or stat,tor.
de9nition= and it en#o+passes, a+ong oter tings, an onest -e$ie!, te a-sen#e o! +a$i#e
and te a-sen#e o! a design to de!ra,d or to seeA an ,n#ons#iona-$e advantage. An
individ,a$Ss persona$ good !ait is a #on#ept o! is o"n +ind and, tere!ore, +a. not
#on#$,sive$. -e deter+ined -. is protestations a$one. It i+p$ies onest. o! intention, and
!reedo+ !ro+ Ano"$edge o! #ir#,+stan#es "i# o,gt to p,t te o$der ,pon in8,ir.. Te
essen#e o! good !ait $ies in an onest -e$ie! in te va$idit. o! oneSs rigt, ignoran#e o! a
s,perior #$ai+, and a-sen#e o! intention to overrea# anoter. App$ied to possession, one is
#onsidered in good !ait i! e is not a"are tat tere e:ists in is tit$e or +ode o! a#8,isition
an. Na" "i# inva$idates it.
F72G

Cood !ait is a$"a.s pres,+ed, and ,pon i+ "o a$$eges -ad !ait on te part o! te
possessor rests te -,rden o! proo!.
F71G
It is a +atter o! re#ord tat respondentsD prede#essor6
in6interest #onstr,#ted teir residentia$ -,i$ding on Lot No. 1%6*, adBa#ent to Lot No. 1%6C, in
1'7%.
F7%G
RespondentsD prede#essor6in6interest o"ned te 1@7 portion o! Lot No. 1%6C at te
ti+e te propert. "as donated to te+ -. *a$+a#io LoHada in 1'7%. Te *eed o! *onation
e:e#,ted -. te $ate *a$+a#io LoHada, dated 5ar# ', 1'7%, spe#i9#a$$. provides tat3

I ere-. grant, #ede and donate in !avor o! Cata$ina LoHada +arried to Sotero
Natividad, Isa-e$ LoHada +arried to Isaa# Si+ense and Sa$,d LoHada +arried to Fran#is#o
Ra+os, a$$ Fi$ipinos, o! $ega$ age, te par#e$ o! $and Ano"n as Lot No. 1%6C, in e5ual %arts.
F77G


Te portions o! Lot No. 1%6*, parti#,$ar$. te overang, #overing 1 +eter in "idt and
1/ +eters in $engt= te stairs= and te #on#rete str,#t,res are a$$ "itin te 1@7 sare a$$oted
to te+ -. teir donor *a$+a#io LoHada and, en#e, tere "as a-sen#e o! a so"ing tat
respondents a#ted in -ad !ait "en te. -,i$t portions o! teir o,se on Lot No. 1%6C.

Using te a-ove para+eters, "e are #onvin#ed tat respondentsD prede#essors6in6
interest a#ted in good !ait "en te. -,i$t portions o! teir o,se on Lot 1%6C. Respondents
-eing -,i$ders in good !ait, "e sa$$ no" dis#,ss te respe#tive rigts o! te parties re$ative
to te portions en#roa#ing ,pon respondentsD o,se.

Arti#$es ))( and 4)& o! te Ne" Civi$ Code provide3

Art. ))(. Te o"ner o! te $and on "i# an.ting as -een -,i$t, so"n or p$anted
in good !ait, sa$$ ave te rigt to appropriate as is o"n te "orAs, so"ing or p$anting,
a!ter pa.+ent o! te inde+nit. provided !or in Arti#$es 4)& and 4)(, or to o-$ige te one "o
-,i$t or p$anted to pa. te pri#e o! te $and, and te one "o so"ed, te proper rent.
?o"ever, te -,i$der or p$anter #annot -e o-$iged to -,. te $and i! its va$,e is #onsidera-$.
+ore tan tat o! te -,i$ding or trees. In s,# #ase, e sa$$ pa. reasona-$e rent, i! te
o"ner o! te $and does not #oose to appropriate te -,i$ding or trees a!ter proper inde+nit..
Te parties sa$$ agree ,pon te ter+s o! te $ease and, in #ase o! disagree+ent, te #o,rt
sa$$ 9: te ter+s tereo!.

Art. 4)&. Ne#essar. e:penses sa$$ -e re!,nded to ever. possessor= -,t on$. te possessor
in good !ait +a. retain te ting ,nti$ e as -een rei+-,rsed tere!or.
Use!,$ e:penses sa$$ -e re!,nded on$. to te possessor in good !ait "it te sa+e rigt o!
retention, te person "o as de!eated i+ in te possession aving te option o! re!,nding
te a+o,nt o! te e:penses or o! pa.ing te in#rease in va$,e "i# te ting +a. ave
a#8,ired -. reason tereo!.


In 0pouses !el Ca&po ". $.esia,
F7)G
tis provision "as app$ied to one "ose o,se,
despite aving -een -,i$t at te ti+e e "as sti$$ #o6o"ner, over$apped "it te $and o!
anoter. In tat #ase, tis Co,rt r,$ed3

Te #o,rt a 7uo #orre#t$. e$d tat Arti#$e ))( o! te Civi$ Code #annot app$. "ere a #o6
o"ner -,i$ds, p$ants or so"s on te $and o"ned in #o++on !or ten e did not -,i$d, p$ant or
so" ,pon te $and tat e:#$,sive$. -e$ongs to anoter -,t o! "i# e is a #o6o"ner. Te #o6
o"ner is not a tird person ,nder te #ir#,+stan#es, and te sit,ation is governed -. te
r,$es o! #o6o"nersip.

?o"ever, "en, as in tis #ase, te o"nersip is ter+inated -. te partition and it appears
tat te o,se o! de!endants over$aps or o##,pies a portion o! 4 s8,are +eters o! te $and
pertaining to p$aintiJs "i# te de!endants o-vio,s$. -,i$t in good !ait, ten te provisions
o! Arti#$e ))( o! te ne" Civi$ Code so,$d app$.. : : :
F74G


In oter "ords, "en te #o6o"nersip is ter+inated -. a partition, and it appears tat
te o,se o! an erst"i$e #o6o"ner as en#roa#ed ,pon a portion pertaining to anoter #o6
o"ner, -,t te en#roa#+ent "as in good !ait, ten te provisions o! Arti#$e ))( so,$d
app$. to deter+ine te respe#tive rigts o! te parties. In tis #ase, te #o6o"nersip "as
ter+inated d,e to te trans!er o! te tit$e o! te "o$e propert. in !avor o! >oa8,in Li+ense.

Under te !oregoing provision, petitioners ave te rigt to appropriate said portion o!
te o,se o! respondents ,pon pa.+ent o! inde+nit. to respondents, as provided !or in
Arti#$e 4)& o! te Civi$ Code. Oter"ise, petitioners +a. o-$ige respondents to pa. te pri#e
o! te $and o##,pied -. teir o,se. ?o"ever, i! te pri#e asAed !or is #onsidera-$. +,#
+ore tan te va$,e o! te portion o! te o,se o! respondents -,i$t tereon, ten te $atter
#annot -e o-$iged to -,. te $and. Respondents sa$$ ten pa. te reasona-$e rent to
petitioners ,pon s,# ter+s and #onditions tat te. +a. agree. In #ase o! disagree+ent,
te tria$ #o,rt sa$$ 9: te ter+s tereo!. O! #o,rse, respondents +a. de+o$is or re+ove te
said portion o! teir o,se, at teir o"n e:pense, i! te. so de#ide.
F7&G

Te #oi#e -e$ongs to te o"ner o! te $and, a r,$e tat a##ords "it te prin#ip$e o!
a##ession tat te a##essor. !o$$o"s te prin#ipa$ and not te oter "a. aro,nd.
F7/G
Even as
te option $ies "it te $ando"ner, te grant to i+, neverte$ess, is pre#$,sive. ?e +,st
%/ | P a g e
#oose one. ?e #annot, !or instan#e, #o+pe$ te o"ner o! te -,i$ding to instead re+ove it
!ro+ te $and.
F7(G

Te o-vio,s -ene9t to te -,i$der ,nder tis arti#$e is tat, instead o! -eing o,trigt$.
eBe#ted !ro+ te $and, e #an #o+pe$ te $ando"ner to +aAe a #oi#e -et"een t"o options3
;1< to appropriate te -,i$ding -. pa.ing te inde+nit. re8,ired -. $a", or ;%< to se$$ te $and
to te -,i$der.
F7'G

Te raison d=etre !or tis provision as -een en,n#iated, t,s3

Eere te -,i$der, p$anter or so"er as a#ted in good !ait, a #onNi#t o! rigts
arises -et"een te o"ners, and it -e#o+es ne#essar. to prote#t te o"ner o! te
i+prove+ents "ito,t #a,sing inB,sti#e to te o"ner o! te $and. In vie" o! te
i+pra#ti#a-i$it. o! #reating a state o! !or#ed #o6o"nersip, te $a" as provided a B,st
so$,tion -. giving te o"ner o! te $and te option to a#8,ire te i+prove+ents a!ter
pa.+ent o! te proper inde+nit., or to o-$ige te -,i$der or p$anter to pa. !or te $and and
te so"er te proper rent. ?e #annot re!,se to e:er#ise eiter option. It is te o"ner o! te
$and "o is a,toriHed to e:er#ise te option, -e#a,se is rigt is o$der, and -e#a,se, -. te
prin#ip$e o! a##ession, e is entit$ed to te o"nersip o! te a##essor. ting.
F)2G
In a##ordan#e "it !epra ". !u&lao,
F)1G
tis #ase +,st -e re+anded to te tria$ #o,rt to
deter+ine +atters ne#essar. !or te proper app$i#ation o! Arti#$e ))( in re$ation to Arti#$e
4)&. S,# +atters in#$,de te option tat petitioners "o,$d taAe and te a+o,nt o!
inde+nit. tat te. "o,$d pa., so,$d te. de#ide to appropriate te i+prove+ents on te
$ots.

Anent te se#ond iss,e, a$to,g it +a. see+ tat te portions en#roa#ing ,pon
respondentsD o,se #an -e #onsidered a n,isan#e, -e#a,se it inders petitionersD ,se o! teir
propert., it #annot si+p$. -e re+oved at respondentsD e:pense, as pra.ed !or -. petitioner.
Tis is -e#a,se respondents -,i$t te s,-Be#t en#roa#+ent in good !ait, and te $a" aJords
te+ #ertain rigts as dis#,ssed a-ove.

<HEREFORE, te petition is #ENIE#, te *e#ision o! te Co,rt o! Appea$s dated *e#e+-er
%2, %221 in CA6C.R. C1 No. 774(' is !FFIR"E# "it te !o$$o"ing"O#IFIC!TION=

1. No #o6o"nersip e:ists over Lot No. 1%6C, #overed -. TCT No. '&((&, -et"een
petitioners and respondents.

%. Te #ase is RE"!N#E# to te Regiona$ Tria$ Co,rt, 0ran# 14, 5ani$a, !or !,rter
pro#eedings "ito,t !,rter de$a. to deter+ine te !a#ts essentia$ to te proper app$i#ation
o! Arti#$es ))( and 4)& o! te Civi$ Code.
O OR#ERE#.