[CAPTION]

PETITION

COMES NOW the Petitioners, by and through the undersigned

counsel and unto this Honorable Court, most respectfully aver:

1. That herein petitioners are the HEIRS OF SPOUSES AAA and

BBB, who are represented herein by CCC, a Filipino, of legal age, and
a resident of Cebu City, where he may be served with subpoenas,
notices, orders and other processes of the Honorable Court. A copy
of the respective Special Power of Attorney executed by the said heirs
of the spouses AAA and BBB in favor of AAA, authorizing the latter
to represent them in this action, is hereto attached as Annex “A” and
series, which are made as integral parts hereof.

2. The following are the respondents herein named, to wit:

2.1. The Register of Deeds for Cebu City who holds office at
Cebu City, where summons, subpoenas, orders, notices and such
other legal processes of the Honorable Court may be served;
and

2.2. XYZ Corp., a corporation whose term of existence has

since expired on August 5, 2000 without having been renewed
or revived. Per verification with the Securities and Exchange
Commission (SEC), while the corporate name Union Import
Export Corp. appears in their system, there is no existing
document or record pertaining thereto that shows its registered
business address. This defendant therefore is being sued as one
whose whereabouts is unknown pursuant to Rule 14, Section 14
of the Rules of Court on Summons.1

3. The Register of Deeds for Cebu City is being named as a

respondent in his official capacity as head of the Registry of Deeds
for Cebu City where Transfer Certificate of Title No. T-000 is
registered; while XYZ Corp. has been impleaded herein being the
1
Sec. 14. Service upon defendant whose identity or whereabouts are unknown.

In any action where the defendant is designated as an unknown owner, or the like, or whenever his
whereabouts are unknown and cannot be ascertained by diligent inquiry, service may, by leave of court, be
effected upon him by publication in a newspaper of general circulation and in such places and for such time
as the court may order.
Petition for Cancellation of Annotation Page 2

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mortgagee appearing in the mortgage transaction annotated on

Transfer Certificate of Title No. T-000.

4. The late spouses AAA and BBB died on August 3, 1991 and
August 4, 1970, respectively, in Cebu City.

5. During their lifetime, the spouses AAA and BBB were the
owners of two (2) parcels of land located at Brgy. YY, Cebu City,
denominated as Lot No. 5000 and 5001, covered by Transfer
Certificate of Title No. T-000, which parcels of land are more
particularly described as follows, to wit:

Lot No. 5000

(TCT No. T-000)

“__________________________________________.”

Lot No. 5001

(TCT No. T-000)

“___________________________________________.”

A copy of Transfer Certificate of Title No. T-000 is hereto

attached as Annex “B” for ready reference.

6. Upon the death of the said spouses, the subject properties were
transferred by way of inheritance to their children, among whom are
A, B, C, D and E.

6.1 A died on 17 March 2010 without issue, while B died on

30 August 2010 and is survived by his children, namely,
B1, B2, and B3. (The wife of B, B4, died on 7 June 2002).

6.2 The Subject Properties, not having been partitioned yet,

are co-owned by all the heirs of the late spouses AAA and
BBB.
Petition for Cancellation of Annotation Page 3

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7. Found on page 2 of said Transfer Certificate of Title No. T-000

is an annotation of a mortgage under Entry No. 4736 dated January
25, 1963, which mortgage was executed by AAA and BBB in favor of
XYZ Corp. as security for the payment of a loan in the amount of
only Three Thousand Pesos (P3,000.00).

8. The loan secured by the mortgage referred to in the subject

annotation has already been paid by the late BBB more than forty (40)
years ago, however, the instrument or document evidencing the
discharge or release of the mortgage referred to in the said annotation
had been lost in the personal files of the late BBB, and the same was
not filed and registered with the Registry of Deeds of Cebu City as
the said instrument or document could not be located despite
repeated and thorough efforts undertaken by the children of said
BBB.

9. The late B, during his lifetime, had executed a sworn affidavit

stating among others that he had personally seen the said instrument
of discharge or release of mortgage executed by XYZ Corp. in favor
of AAA and BBB, and that the same clearly stated therein that the
amount of Three Thousand Pesos (P3,000.00) was fully paid.

For ready reference, a copy of the said sworn affidavit secured

from the records of the Registry of Deeds of Cebu City is hereto
attached as Annex “C.”

10. Moreover, assuming that the loan secured by such mortgage

had not yet been paid, the mortgage referred to in the subject
annotation has already prescribed with the lapse of more than fifty
(50) years from the time the right of action to enforce the said
mortgage has accrued on the part of XYZ Corp.

10.1. Under Article 1142 of the Civil Code, it states, to wit:

“ Art. 1142. A mortgage action prescribes after ten years.”

10.2. Thus any action on the part of XYZ Corp. to enforce a

right arising from such mortgage, assuming that any does exist,
is already barred by prescription on account of its inaction for
more than ten years already, and consequently, XYZ Corp., or
any of its assigns and/or successors-in-interest, has lost its
rights under the said mortgage.
Petition for Cancellation of Annotation Page 4

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10.3. Accordingly, with the mortgage having lost its efficacy by

operation of law, it is but proper that the annotation referring
thereto previously entered on the pages of Transfer Certificate
of Title No. T-000 be duly cancelled.

11. Furthermore, there is no more reason to maintain the subject

annotation on Transfer Certificate of Title No. T-000 due to the fact
that, other than having already lost its right to enforce the mortgage
on account of prescription, the said mortgage creditor, XYZ Corp.,
has already ceased to exist as a legal entity upon the expiration of its
corporate existence sometime on August 5, 2000.

In support of such information is a “Certificate of Corporate

Filing/Information” issued by the Securities and Exchange
Commission on December 20, 2004, which states that:

“ THIS IS TO CERTIFY that a verification made on

available records of XYZ CORP. with SEC No. 5111 on file with
the Commission shows that:

subject corporation was registered with the Commission

on August 5, 1950 to exist for a period of fifty (50) years
which term has expired on August 5, 2000. No Amended
Articles of Incorporation extending its term of existence
appears to have been filed.”

A copy of the said certification secured from the records of the

Registry of Deeds of Cebu City is hereto attached as Annex “D” for
ready reference.

WHEREFORE, premises considered, it is most respectfully

prayed upon the Honorable Court that, after due notice and hearing,
judgment be rendered ordering the Register of Deeds of Cebu City to
cause the cancellation of the annotation found on page 2 of Transfer
Certificate of Title No. T-000 under Entry No. 4736 dated January 25,
1963 pertaining to a mortgage executed by AAA and BBB in favor of
XYZ Corp.
Petition for Cancellation of Annotation Page 5

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Petitioners pray for such other relief, just and equitable, under
the premises.

Cebu City, Philippines, 9 August 2019.

[COUNSEL FOR PETITIONER]

[VERIFICATION AND CERTIFICATION

ON NON-FORUM SHOPPING]