Beruflich Dokumente
Kultur Dokumente
COURT OF APPEALS
A vendee in an oral contract to convey land who had made part payment thereof, entered upon
the land and had made valuable improvements thereon is entitled to bring suit to clear his title
against the vendor who had refused to transfer the title to him. It is not necessary that the
vendee should have an absolute title, an equitable title being sufficient to clothe him with
personality to bring an action to quiet title.
FACTS:
In 1969, Pingol, the owner of a lot (Lot No. 3223) in Caloocan City, executed a DEED OF
ABSOLUTE SALE OF ONE-HALF OF AN UNDIVIDED PORTION OF [his] PARCEL OF LAND
in favor of Donasco (private respondent), payable in 6 years.
In 1984, Donasco died and was only able to pay P8,369 plus P2,000 downpayment, leaving a
balance of P10,161. The heirs of Donasco remained in possession of such lot and offered to
settle the balance with Pingol. However, Pingol refused to accept the offer and demanded a
larger amount. Thus, the heirs of Donasco filed an action for specific performance (with Prayer
for Writ of Prelim. Injunction, because Pingol were encroaching upon Donascos lot). Pingol
averred that the sale and transfer of title was conditional upon the full payment of Donasco
(contract to sell, not contract of sale). With Donascos breach of the contract in 1976 and death
in 1984, the sale was deemed cancelled, and the heirs continuous occupancy was only being
tolerated by Pingol.
ISSUES:
(1) Whether or not Pingol can refuse to transfer title to Donasco
(2) Whether or not Donasco has the right to quiet title
RULING:
(1) No. The contract between Pingol and Donasco is a contract of sale and not a contract to sell.
The acts of the parties, contemporaneous and subsequent to the contract, clearly show that the
parties intended an absolute deed of sale; the ownership of the lot was transferred to the
Donasco upon its actual (upon Donascos possession and construction of the house) and
constructive delivery (upon execution of the contract). The delivery of the lot divested Pingol of
his ownership and he cannot recover the title unless the contract is resolved or rescinded under
Art. 1592 of NCC. It states that the vendee may pay even after the expiration of the period
stipulated as long as no demand for rescission has been made upon him either judicially or by
notarial act. Pingol neither did so. Hence, Donasco has equitable title over the property.
(2) Although the complaint filed by the Donascos was an action for specific performance, it was
actually an action to quiet title. A cloud has been cast on the title, since despite the fact that the
title had been transferred to them by the execution of the deed of sale and the delivery of the
object of the contract, Pingol adamantly refused to accept the payment by Donascos and
insisted that they no longer had the obligation to transfer the title.
Donasco, who had made partial payments and improvements upon the property, is entitled to
bring suit to clear his title against Pingol who refused to transfer title to him. It is not necessary
that Donasco should have an absolute title, an equitable title being sufficient to clothe him with
personality to bring an action to quiet title.
Prescription cannot also be invoked against the Donascos because an action to quiet title to
property in ONEs POSSESSION is imprescriptible.