Acquisition of property by laches.

In Sps. Aguirre v. Heirs of Lucas Villanueva, et al., G.R. No. 169898, October 27, 2006,
the petitioners have been in possession of a parcel of land for more than 26 years. They
declared it for taxation purposes, occupied it, built fences, planted trees and used the
same as ingress and egress towards their cottages. The respondent knew all these but
they did not lift a finger to bar them from doing so. They waited for 16 years to oust them.
Will the action prosper? Why?

Held: No. Laches had already set it. Since they have been in continuous possession and
enjoyment of the disputed land in good faith and with a just title since 1971 until 1997,
petitioners doubtlessly obtained title by ordinary acquisitive prescription.

The action is barred by laches which is defined as the failure to assert a right for an
unreasonable and unexplained length or time, warranting a presumption that the party
entitled to assert it has either abandoned or declined to assert it. This equitable defense
is based upon grounds of public policy, which requires the discouragement of stale claims
for the peace of society. (Vda. de Rigonan v. Derecho, G.R. No. 159571, July 15, 2005,
463 SCRA 627).

Acquisition of property by prescription.

Prescription, in general, is a mode of acquiring (or losing) ownership and other real rights
through the lapse of time in the manner and under conditions laid down by law, namely,
that the possession should be in the concept of an owner, public, peaceful, uninterrupted
and adverse. Acquisitive prescription is either ordinary or extraordinary. Ordinary
acquisitive prescription requires possession in good faith and with just title for 10 years.
Without good faith and just title, acquisitive prescription can only be extraordinary in
character which requires uninterrupted adverse possession for 30 years. (Heirs of
Maningding v. CA, 342 Phil. 567 (1979)).

Thus, for ordinary acquisitive prescription to set in, possession must be for at least 10
years, in good faith and with just title. Possession is “in good faith” when there is a
reasonable belief that the person from whom the thing is received has been the owner
thereof and could thereby transmit his ownership. (Art. 1127, NCC). There is “just title”
when the adverse claimant comes into possession of the property through any of the
modes recognized by law for the acquisition of ownership or other real rights, but the
grantor is neither the owner nor in a position to transmit the right. (Art. 1129, NCC).