Ricardo Cheng vs. Ramon B. Genato, Ernesto R. Da Jose and
Socorro B. Da JoseG.R. No. 129760 [December 29, 1998] Martines,
J.Facts:Respondent Ramon B. Genato is the owner of two parcels of
land located at Paradise Farms, San Jose del Monte, Bulacan with an
aggregate area of 35,821square meters. He entered into an agreement
with respondent-spouses Ernesto R. Da Jose and Socorro B. Da Jose
over the stated two parcels of land. The agreement concluded in the
execution of a contract to sell for which the purchase price was
P80.00 per square meter. The contract was in a public instrument
and was duly annotated at the back of the two certificates of title
on the same day.Da Jose spouses, not having finished verifying the
titles asked for and was granted by respondent Genato an extension
of another 30 days. However, according to Genato, the extension was
granted on condition that a new set of documents is made seven days
from October 4, 1989. This was denied by the Da Jose
spouses.Pending the effectivity of the extension period, and
without due notice to the Da Jose spouses, Genato executed an
Affidavit to Annul the Contract to Sell. Likewise, no annotation of
the said affidavit at the back of his titles was made right
away.Petitioner Ricardo Cheng went to Genato's residence and
expressed interest in buying the subject properties. On that
occasion, Genato showed to Ricardo Cheng copies of his transfer
certificates of title and the annotations at the back thereof of
his contract to sell with the Da Jose spouses. Genato also showed
him the Affidavit to Annul the Contract to Sell which has not been
annotated at the back of the titles. Regardless of the same, Cheng
went ahead and issued a check for P50,000.00 upon the assurance by
Genato that the previous contract with the Da Jose spouses will be
annulled for which Genato issued a handwritten receipt.Genato
deposited Cheng's check. On the same day, Cheng called up Genato
reminding him to register the affidavit to annul the contract to
sell. The following day Genato caused the registration of the
Affidavit to Annul the Contract to Sell in the Registry of Deeds,
Meycauayan, Bulacan.Da Jose spouses they met Genato by coincidence
at the Office of the Registry of Deeds of Meycauayan, Bulacan. Da
Jose spouses discovered about the affidavit to annul their
contract. The latter were shocked at the disclosure and protested
against the rescission of their contract. They were willing and
able to pay the balance of the agreed down payment, later on in the
day, Genato decided to continue the Contract he had with them. The
agreement to continue with their contract was formalized in a
conforme letter.Thereafter, Ramon Genato advised Ricardo Cheng of
his decision to continue his contract with the Da Jose spouses and
the return of Cheng's P50,000.00 check. Consequently, Cheng's
lawyer sent a letterto Genato demanding compliance with their
agreement and threatening legal action.Genato sent a letter to
Cheng enclosing a BPI Cashier's Check for P50,000.00 and expressed
regret for his inability to "consummate his transaction" with him.
After having received the letter, Cheng returned the said check to
the former via RCPI telegramreiterating that "our contract to sell
your property had already been perfected." Cheng executed an
affidavit of adverse claimand had it annotated on the subject
TCT's.Cheng filed a complaintfor specific performance to compel
Genato to execute a deed of sale to him of the subject properties
plus damages and prayer for preliminary attachment. In his
complaint, Cheng averred that the P50,000.00 check he gave was a
partial payment to the total agreed purchase price of the subject
properties and considered as an earnest money for which Genato
acceded. Thus, their contract was already perfected.The lower court
ruled that the receipt issued by Genato to Cheng unerringly meant a
sale and not just a priority or an option to buy.On appeal to the
Courtof Appeals, it reversed the said judgment and ruled that the
prior contract to sell in favor of the Da Jose spouses was not
validly rescinded. The subsequent contract to sell between Genato
and Cheng, embodied in the handwritten receipt, was without force
and effect due to the failure to rescind the prior contract and
that Cheng should pay damages to the respondents being found to be
in bad faith.Issue:Whether or not the Da Jose spouses' Contract to
Sell has been validly rescinded or resolvedWhether or not Ricardo
Cheng's own contract with Genato was not just a contract to sell
but one of conditional contract of sale which gave him better
rights, thus precluding the application of the rule on double sales
under Article 1544, Civil CodeHeld:The petition must be denied for
no reversible error can be ascribed to the ruling of the Court of
Appeals that there was no valid and effective rescission or
resolution of the Da Jose spouses Contract to Sell, contrary to
petitioner's contentions and the trial court's erroneous ruling.1.
Article 1191 of the New Civil Code cannot be made to apply to the
situation in the instant case because no default can be ascribed to
the Da Jose spouses since the 30-day extension period has not yet
expired. The Da Jose spouses' contention that no further condition
was agreed when they were granted the 30-days extension period from
October 7, 1989 in connection with clause 3 of their contract to
sell dated September 6, 1989 should be upheld. Genato could have
sent at least a notice of the affidavit to annul the contract to
sell, there being no stipulation authorizing him for automatic
rescission, so as to finally clear the encumbrance on his titles
and make it available to other would be buyers.2. The records of
this case are replete with admissionsthat Cheng believed it to be
one of a Contract to Sell and not one of Conditional Contract of
Sale. But even if we are to assume that the receipt is to be
treated as a conditional contract of sale, it did not acquire any
obligatory force since it was subject to suspensive condition that
the earlier contract to sell between Genato and the Da Jose spouses
should first be cancelled or rescinded a condition never met, as
Genato, to his credit, upon realizing his error, redeemed himself
by respecting and maintaining his earlier contract with the Da Jose
spouses.
Danao Coal Mining Syndicate, Ltd. vs. Cenon LaurenteG.R. No.
L-20075 [November 27, 1968] Reyes, J.Facts:Transfer certificate of
title (TCT No. 7567) covered a parcel of land situated in Camansi,
Danao, Cebu. The same was issued in 1928 by the Register of Deeds
of Cebu in favor of H. M. H. Nemazee, the proprietor of the
original applicant, Danao Coal Mining Syndicate, Ltd.In a quitclaim
deed, the heirs of Nemazee transferred and quitclaimed in favor of
Southwestern University their rights, title, interest and
participation in, including their mining and leasehold rights over,
subject land.Southwestern University petitioned the lower court to
order: (1) the cancellation of the annotation of encumbrances on
the ground that the condition and agreement constituting the same
were cancelled and rendered inoperative by the outbreak of World
War II as well as by the death of all the listed beneficiaries
thereof; (2) the registration of the quitclaim deed; and (3) the
cancellation of TCT No. 7567 itself, and issuance of a new
certificate of title in its name. The petition was immediately
granted and a new certificate of title (TCT No. RT-2164) was
thereafter issued in favor of Southwestern University.Cenon
Laurente moved for reconsideration of the order of cancellation,
specifically of the second portion of the annotation of
encumbrances in question. He alleged that Southwestern University
had filed an ejectment suitbefore another branch of the same court
against him and several other occupants of the land covered by TCT
No. 7567, over which land, he claimed, he might possibly have an
interest as a purchaser of a certain parcel of land situated also
in Camansi, Danao, Cebu, from Filomeno del Mar, one of the persons
in whose favor "the use of occupancy of the surface of the ...
land" covered by said TCT No. 7567 was reserved. Laurente thus
argued that the cancellation of the annotation of the incumbrance
in favor of Filomeno del Mar and others should not have been
ordered without giving notice, at least through publication, to the
parties who, like him, being a successor-in-interest of said
Filomeno del Mar, might thereby be adversely affected. Laurente's
alleged interest was, however, never registered.The motion for
reconsideration was denied reasoning that inasmuch as the law
specifically provides notice to parties in interest, such notice if
any, should be limited to the parties listed or annotated on the
certificate of title. Hence,if such parties are already dead, as
had been alleged and substantiated by petitioner Southwestern
University, thennotice to said parties would be superfluous or
notice would not be necessary. The Court acting within its limited
jurisdiction as a Court of Land Registration, can only act on what
appears on the face of the certificate of title, and cannot go
beyond what appears therein as movant Cenon Laurente would now want
this Court to believe. Notice by Publication is not necessary in
connection with the petition which has been duly filed in
accordance with Section 112 of Act 496.Granting that the use and
occupancy which was annotated in the certificate of title is a real
right which could be transferred or disposed of by the person named
in the certificate of title to a third person (Cenon Laurente), the
lattershould have taken the precaution of having his right
annotatedon said (certificate of title).His failure to do so is
therefore fatal, in the sense that this Court cannot consider him
as a party in interest who is entitled to noticebefore the petition
for cancellation of encumbrance could be acted upon.Issue:Whether
or not court erred in denying the motion for reconsideration filed
by a third person whose interest, purportedly, might have been
prejudiced by the cancellationHeld:No. Cancellation of registered
interests that have terminated and ceased may be ordered by the
land registration court under the Land Registration Act. The new
owner, Southwestern University, of the land herein involved took
the right step by petitioning the court under said section to have
the registered interests the deceased persons' rights of use and
occupancy of the surface of said land ordered cancelled on the
ground that the same had terminated and ceased. Notice was no
longer necessary for the court to acquire jurisdiction over the
petition insofar as the second portion of the annotation of
encumbrances was concerned. With the death of all the registered
adverse claimants thereof, there were no more parties in interest
to be notified.Appellant Laurente was not and cannot now be
considered a party in interest entitled to notice. He was a
stranger representing no adverse claim as to render the petition
for cancellation controversial and, thereby, divest the lower court
of its jurisdiction. The cancellation of the right of the persons
recorded as entitled to use and occupancy of the surface of the
landis too vague and unsubstantial to give him standing to claim
right to notice or to contest the order of cancellation. Before a
claimant can be considered as possessing a genuine adverse interest
that would deprive the Registration Court of jurisdiction to
proceed in the absence of notice to him, there must be a showing of
theprima facietruth and validity of such adverse interest. Laurente
has failed to make such a showing. His motion merely speaks of
apossibilityof being prejudiced.
Apolinio Egao and Beatriz Egao vs. Court of Appeals, Severo
Dignos and Severo BontilaoG.R. No. L-79787 [June 29, 1989] Padilla,
J.Facts:Private respondents filed an action Quieting of Title
and/or Recovery of Possession and Ownership before the RTC of
Manolo Fortich, Bukidnon,against petitioners Apolonio and Beatriz
Egao. They alleged that they are the legitimate owners and
possessors of two parcels of land situated at Lonocan, Manolo
Fortich, Bukidnon, per deed of absolute sale. Upon purchase of the
lot from Roberto Marfori, improvements were introduced and taxes
paid by private respondents. Sometime in June 1983, petitioners
allegedly occupied illegally portions of the land.In their answer,
petitioner claims that Apolonio Egao is the registered owner of the
parcel of land evidenced by OCT No. P-3559 issued by the Register
of Deeds of Bukidnon pursuant to Free Patent No. 298112 dated 12
August 1965. He also claim that the land has never been sold by
reason of the prohibition against alienation under Commonwealth Act
No. 141The Trial court ruled in favor of the petitioners and
ordered respondent Severo Bontilao to immediately deliver to the
Egaos the owner's duplicate copy of Original Certificate of Title
No. P-3559.Private respondents went to the Court of Appeals and the
same set aside the RTC decision.Issue:Whether or not the
respondents has a right over the disputed land, they being the
transferees of MarforiHeld:No. It clearly appears that all deeds
were executed within the prohibited period of five years.
Respondents who are not innocent purchasers for value have no
standing to question petitioners' right to the land and to file an
action for quieting of title.An "innocent purchaser for value" is
deemed, under the Torrens system, to include an innocent lessee,
mortgagee or other encumbrancer for value.Where a purchaser
neglects to make the necessary inquiries and closes his eyes to
facts which should put a reasonable man on his guard as to the
possibility of the existence of a defect in his vendor's title, and
relying on the belief that there was no defect in the title of the
vendor, purchases the property without making any further
investigation, he cannot claim that he is a purchaser in good faith
for value.The rule ofpari delicto non oritur actio(where two
persons are equally at fault neither party may be entitled to
relief under the law), admits of exceptions and does not apply to
an inexistent contract, such as, a sale voidab initiounder the
Public Land Act, when its enforcement or application runs counter
to the public policy of preserving the grantee's right to the land
under the homestead law.
Pacifico Garcia vs. Benjamin Gozon, et al.G.R. Nos. L-48971
& 49011 [January 22, 1980] Aquino, J.Facts:A deed of sale for
two parcels of land of the Hacienda Maysilo, located in Malabon,
Rizal and covered by Original Certificate of Title No. 983, was
executed in favor of Ismael Lapus abona fideoccupant thereof. The
deed was executed pursuant to an order of the Court of First
Instance of Rizal in Civil Case No. 391,Negao vs. Vidal, a
partition proceeding involving the said hacienda.The deed of sale
was presented for registration and was recorded as Primary Entry
No. 7710. However, the deed of sale was not annotated on OCT No.
983 and that title was apparently not cancelled.As a result of the
registration of that deed of sale, Transfer Certificate of 'Title
No. 4910 was issued to Lapus for the two parcels of land and
Transfer Certificate of Title No. 4911 was issued for the remaining
five lots covered by OCT No. 983.Lapus on different occasions
mortgaged the two parcels of land to secure his obligations to the
PNB, the Government and the Philippine Trust Company. He died in
1951. The two parcels of land were inherited by his daughter,
Carolina Lapuz-Gozon. She became the registered owner of the two
lots. She subdivided them into 55 lots. She sold some of the
subdivision lots to her co-respondents-appellees herein. Lapus and
his successors-in-interest have been in possession of the two
parcels even before 1910.In 1962, the alleged heirs of the late
Maria de la Concepcion Vidal filed a motion in Land Registration
alleging that they were deprived of their participation in the
Hacienda Maysilo covered by OCT No. 983 and for other titles and
that, since only OCT No. 983 was supposedly unencumbered, all the
land covered by that title should be adjudicated to them. The court
granted the motion notwithstanding the fact that OCT No. 983
appears to have remained uncancelled although the sale to Lapus of
two parcels covered by it and the fact that it had been replaced by
TCT Nos. 4910 and 4911.On June 7, 1963, OCT No. 983 was definitely
cancelled and in lieu thereof Transfer Certificate of Title No.
112236 was issued to the Riveras. Later, Lots 5 and 7 of the said
title were assigned by Bartolome Rivera to Sergio Cruz and Pacifico
Garcia and TCT Nos. 112743 and 112742 were issued to Cruz and
Garcia, respectively. Thus, two sets of transfer certificates of
title for Lots E and G or 5 and 7, originally covered by OCT No.
983, were issued, one to the heir of Ismael Lapus and another set
to the successors-in-interest of the Riveras.On October 22, 1964,
Garcia subdivided Lot 7 (G) into Lots A and B. As a consequence of
the assignment, TCT No. 112742 was cancelled and TCT No. 134957 was
issued to Muoz. In 1965, he mortgaged Lot B to the Associated
Banking Corporation to secure a loan of P200,000.On July 17, 1964
Cruz sold to Santiago Go Lot 5 (E). Go mortgaged Lot 6 to PNB to
secure a loan of P50,000 which was later increased to P60,000.Muoz
and Go did not pay their mortgage debts. The two banks foreclosed
the mortgages. The PNB bought the mortgaged lot at the auction
sale. The sheriff issued to it a certificate of sale but at that
time there was already a notice oflis pendensannotated on the title
of the mortgaged lot. TCT Nos. 212163 and 236881 for the mortgaged
lots were issued to the Associated Banking Corporation and PNB,
respectively.Gozon later learned that the Riveras had acquired the
land. Her lawyer and a surveyor informed her that parcels E and G,
which she inherited from her father, were identical to Lots 5 and 7
which were conveyed to Cruz and Garcia. She registered adverse
claims on the titles covering Lots 5 and 7. On December 27, 1965
she and the persons to whom she had transferred portions of parcels
E and G filed with the Court of First Instance of Rizal at Caloocan
City against the Riveras, Cruz, Muoz, Garcia, Associated Banking
Corporation, PNB and others an action to quiet title and for
damages.The trial court in its decision declared valid TCT Nos.
141802 to 141855 and 143512 issued to Mrs. Gozon and her
co-plaintiffs. It voided TCT No. 112235 issued to the Riveras and
all titles and transactions emanating therefrom insofar as those
titles covered the lots embraced in plaintiffs' titles.On appeal,
the decision was affirmed by the Court of Appeals.Issue:Whether or
not the1920title issued to Lapus and the titles derived therefrom
should prevail over the1963title issued to the Riveras and the
subsequent titles derived from itHeld:Yes. The title of Lapus and
the titles derived therefrom should be given effect. The title of
the Riveras and the titles springing from it are void. Lapus was an
innocent purchaser for value. He validly transmitted to his
successors-in-interest his indefeasible title or ownership over the
disputed lots. That title could not be nullified by the issuance 43
years later to other persons of another title over the same lots
due to the failure of the register of deeds to cancel the title
preceding the title issued to Lapuz. This must be so considering
that Lapus and his interest remained in possession of the disputed
successors in lots and the rival claimants never possessed the
same.It is settled that is this jurisdiction the maximprior est in
tempore, potior est in jure(he who is first in time is preferred in
right) is followed in land registration matters.
People of the Philippines vs. Mizpah ReyesG. R. No. 74226-27
[July 27, 1989] Cortes, J.Facts:The spouses Julio Rizare and
Patricia Pampo owned a parcel of land located in Lipa City
registered in their names under TCT No. T-7471. They were survived
by the following children: the accused Mizpah R. Reyes and the
complainants Cristina R. Masikat, Julieta R. Vergara and Aurora
Rizare Vda. de Ebueza.In June 1983, the complainants allegedly
discovered from the records of the Register of Deeds of Lipa City
that the said property had already been transferred in the name of
Mizpah Reyes under TCT No. T-9885 effected through a notarized deed
of sale executed and signed on by their parents Julio Rizare and
Patricia Pampo. The deed of sale was registered with the Register
of Deeds of Lipa City on May 26, 1961. Upon examination of the
document, they found that the signatures of their parents were
falsified and that accused also made an untruthful statement that
she was single although she was married. The document was referred
by the complainants to the N.B.I. for examination of the signatures
of their parents and a report was returned with the finding that
the signature of Julio Rizare was genuine but that of Patricia
Pampo was forged. Upon complaint, the fiscal filed with the RTC of
Batangas, 2 Informations both for falsification of public document,
the first for allegedly making it appear in the notarized deed of
sale that Patricia Pampo, the mother of the accused, participated
in the sale of a parcel of land by falsifying Pampo's signature,
and the second for allegedly making an untruthful statement of fact
in the deed of sale by stating that accused was single.Accused
filed a motion to quash both informations on grounds that the
criminal action or liability has been extinguished by prescription
of the crime and the trial court had no jurisdiction over the
offense charged and the person of accused because of non-compliance
with the pre-conciliation requirement of P.D. No. 1508. The trial
court granted the motion.On appeal, the decision was
affirmed.Issue:Whether or not the discovery of the crime may be
deemed to have taken place from the time the document was
registered with the Register of Deeds, consistent with the rule on
constructive noticeHeld:No. Registration in a public registry is a
notice to the whole world. The record is constructive notice of its
contents as well as all interests, legal and equitable, included
therein. All persons are charged with knowledge of what it
contains.The Court does not subscribe to the conclusion that the
presumptions and rules of interpretation used in the law on
prescription of civil suits, including the rule on constructive
notice, cannot be applied in criminal actions.The application of
the rule on constructive notice in the construction of Art. 91 of
the Revised Penal Code would most certainly be favorable to the
accused since the prescriptive period of the crime shall have to be
reckoned with earlier, i.e., from the time the notarized deed of
sale was recorded in the Registry of Deeds. In the instant case,
the notarized deed of sale was registered on May 26, 1961. The
criminal informations for falsification of a public document having
been filed only on October 18, 1984, or more than ten years from
May 26, 1961, the crime for which the accused was charged has
prescribed. The Court of Appeals, therefore, committed no
reversible error in affirming the trial court's order quashing the
two informations on the ground of prescription.
Government Service Insurance System vs. Court of AppealsG.R. No.
L-40824 [February 23, 1989] Regalado, J.Facts:Private respondents,
spouses Isabelo R. Racho, together with the spouses Flaviano
Lagasca, executed a deed of mortgage in favor of GSISand
subsequently, another deed of mortgage in connection with two loans
granted by the latter in the sums of P 11,500.00 and P 3,000.00,
respectively.A parcel of land covered by Transfer Certificate of
Title No. 38989 of the Register of Deed of Quezon City, co-owned by
said mortgagor spouses, was given as security under the aforesaid
two deeds.On July 11, 1961, the Lagasca spouses executed an
"Assumption of Mortgage" where they obligated themselves to assume
the aforesaid obligation to the GSIS and to secure the release of
the mortgage covering that portion of the land belonging to herein
private respondents and which was mortgaged to the GSIS. This
undertaking was not fulfilled.Upon failure of the mortgagors to
comply, GSIS extrajudicially foreclosed the mortgage and caused the
mortgaged property to be sold at public auction.More than two years
thereafter, herein private respondents filed a complaint against
the petitioner and the Lagasca spouses in the former Court of First
Instance of Quezon City,praying that the extrajudicial foreclosure
be declared null and void. It was further prayed that they be
allowed to recover said property, and/or the GSIS be ordered to pay
them the value thereof, and/or they be allowed to repurchase the
land. Private respondents alleged that they signed the mortgage
contracts not as sureties or guarantors for the Lagasca spouses but
they merely gave their common property to the said co-owners who
were solely benefited by the loans from the GSIS.The trial court
rendered judgment dismissing the complaint for failure to establish
a cause of action. However, such decision was reversed by the
respondent Court of Appeals.Issue:Whether or not private
respondents are liable under the mortgage contractHeld:Yes.
Contrary to the holding of the respondent court, it cannot be said
that private respondents are without liability under the aforesaid
mortgage contracts.So long as valid consent was given, the fact
that the loans were solely for the benefit of the Lagasca spouses
would not invalidate the mortgage with respect to private
respondents' share in the property. In consenting thereto, their
share in the property shall nevertheless secure and respond for the
performance of the principal obligation. The parties to the
mortgage could not have intended that the same would apply only to
the aliquot portion of the Lagasca spouses in the property,
otherwise the consent of the private respondents would not have
been required.The supposed requirement of prior demand would not
matter since the mortgage contracts created obligations with
specific terms for the compliance thereof. The facts further show
that the private respondents expressly bound themselves as solidary
debtors in the promissory note hereinbefore quoted.On the
extrajudicial foreclosure effected by GSIS, respondent court erred
that lack of notice to the private respondents of the extrajudicial
foreclosure sale impairs the validity thereof. There is no showing
that the foregoing requirement on notice was not complied with in
the foreclosure sale complained of .The respondent court erred in
annulling the mortgage insofar as it affected the share of private
respondents or in directing reconveyance of their property or the
payment of the value thereof Indubitably, whether or not private
respondents herein benefited from the loan, the mortgage and the
extrajudicial foreclosure proceedings were valid.
Alfredo Sajonas and Conchita Sajonas vs. Court of AppealsG.R.
No. 102377 [July 5, 1996] Torres, Jr., J.Facts:Spouses Ernesto
Uychocde and Lucita Jarin agreed to sell a parcel of residential
land located in Antipolo, Rizal to the petitioners on installment
basis as evidenced by a Contract to Sell. The property was
registered in the names of the Uychocde spouses. Sajonas couple
caused the annotation of an adverse claim based on the said
Contract to Sell on the title of the subject property, which was
inscribed as Entry No. 116017. Upon full payment of the purchase
price, the Uychocdes executed a Deed of Sale involving the property
in question in favor of the Sajonas couple. The deed of absolute
sale was registered almost a year after.Domingo Pilares
(defendant-appellant) filed a case for collection of sum of money
against Ernesto Uychocde. A Compromise Agreement was entered into
by the parties in the said case under which Ernesto Uychocde
acknowledged his monetary obligation to Domingo Pilares. When
Uychocde failed to comply with his undertaking, Pilares moved for
the issuance of a writ of execution to which the court granted.
Accordingly, a writ of execution was issued by the CFI of Quezon
City where the civil case was pending. Pursuant to the order of
execution, a notice of levy on execution was issued on February 12,
1985 where defendant sheriff Roberto Garcia of Quezon City
presented said notice of levy on execution before the Register of
Deeds of Marikina and the same was annotated at the back of TCT No.
79073 as Entry No. 123283.When the deed of absolute sale was
registered, TCT No. N-79073 was cancelled and in lieu thereof, TCT
No. N-109417 was issued in the name of the Sajonas couple. The
notice of levy on execution annotated by defendant sheriff was
carried over to the new title. Sajonas couple filed a Third Party
Claim with the sheriff of Quezon city, hence the auction sale of
the subject property did not push through as scheduled.Sajonas
spouses demanded the cancellation of the notice of levy on
execution upon Pilares. Despite said demand, Pilares refused to
cause the cancellation of said annotation. In view thereof,
petitioners filed a complaint before the Regional Trial Court of
Rizal against Domingo Pilares, the judgment creditor of the
Uychocdes.The trial court rendered a decision in favor of the
Sajonas couple, and ordered the cancellation of the Notice of Levy
from Transfer Certificate of Title No. N-109417.On appeal,
appellate court reversed the lower court's decision, and upheld the
annotation of the levy on execution on the certificate of
title.Issue:Whether or not the petitioners has a better right over
the property in questionHeld:Yes. The adverse claim provision in
Section 110 of the Land Registration Act (Act 496) does not provide
for a period of effectivity of the annotation of an adverse claim.
P.D. No. 1529, however, now specifically provides for only 30 days.
If the intention of the law was for the adverse claim to remain
effective until cancelled by petition of the interested party, then
said provision in P.D. No. 1529 stating the period of effectivity
would not have been inserted in the law.Since the adverse claim was
annotated on August 27, 1984, it was effective only until September
26, 1984. Hence, when the defendant sheriff annotated the notice of
levy on execution on February 12, 1985, said adverse claim was
already ineffective. It cannot be said that actual or prior
knowledge of the existence of the adverse claim on the Uychocdes'
title is equivalent to registration inasmuch as the adverse claim
was already ineffective when the notice of levy on execution was
annotated. Thus, the act of defendant sheriff in annotating the
notice of levy on execution was proper and justified.To interpret
the effectivity period of the adverse claim as absolute and without
qualification limited to thirty days defeats the very purpose for
which the statute provides for the remedy of an inscription of
adverse claim, as the annotation of an adverse claim is a measure
designed to protect the interest of a person over a piece of real
property where the registration of such interest or right is not
otherwise provided for by the Land Registration Act or Act 496 (now
P.D. 1529 or the Property Registration Decree), and serves as a
warning to third parties dealing with said property that someone is
claiming an interest or the same or a better right than the
registered owner thereof.
Benita Salao, et al. vs. Juan Salao, et al.G.R. No. L-26699
[March 16, 1976] Aquino, J.Facts:Manuel Salao died in 1885. His
eldest son, Patricio, died in 1886 survived by his only child.
Valentin Salao. There is no documentary evidence as to what,
properties formed part of Manuel Salao's estate, if any. His widow
died on May 28, 1914. After her death, her estate was administered
by her daughter Ambrosia.It was partitioned extrajudicially in a
deed dated December 29, 1918 but notarized on May 22, 1919. The
deed was signed by her four legal heirs, namely, her three
children, Alejandra, Juan and Ambrosia, and her grandson, Valentin
Salao, in representation of his deceased father.The documentary
evidence proves that prior to the death of Valentina Ignacio her
two children, Juan and Ambrosia, secured a Torrens title, OCT No.
185 of the Registry of Deeds of Pampanga, in their names for a 47
hectare fishpond. It is also known as Lot No. 540 of the Hermosa
cadastre because that part of Lubao later became a part of
Bataan.The Calunuran fishpond is the bone of contention in this
case.Juan and his sister Ambrosia had engaged in the fishpond
business. Where they obtained the capital is not shown in any
documentary evidence. Plaintiffs' version is that Valentin Salao
and Alejandra Salao were included in that joint venture, that the
funds used were the earnings of the properties supposedly inherited
from Manuel Salao, and that those earnings were used in the
acquisition of the Calunuran fishpond. There is no documentary
evidence to support that theory.On the other hand, the defendants
contend that the Calunuran fishpond consisted of lands purchased by
Juan and Ambrosia in 1905, 1906, 1907 and 1908.After Juan and
Ambrosia secured a Torrens title for the Calunuran fishpond in 1911
they exercised dominical rights over it to the exclusion of their
nephew, Valentin Salao.On December 1, 1911 Ambrosia Salao sold
underpacto de retrofor P800 the Calunuran fishpond to Vicente
Villongco. The period of redemption was one year. In the deed of
sale Ambrosia confirmed that she and her brother Juan were thedueos
proindivisosof the saidpesqueria.On December 7, 1911 Villongco, the
vendee a retro, conveyed the same fishpond to Ambrosia by way of
lease.After the fishpond was redeemed from Villongco, Ambrosia and
Juan sold it underpacto de retroto Eligio Naval. The period of
redemption was also one year. The fishpond was later redeemed and
Naval reconveyed it to the vendorsa retroin a document.The
Calunuran fishpond has an area of 479,205 square meters and that it
was claimed by Juan Salao and Ambrosia Salao, while the
Pinanganacan fishpond (subsequently acquired by Juan and Ambrosia)
has an area of 975,952 square meters (Exh. 22).Ambrosia Salao
bought from the heirs of Engracio Santiago a parcel of swampland
planted tobacawanand nipa.The record of Civil Case No. 136, General
Land Registration Office Record No. 12144, Court of First Instance
of Pampanga shows that Ambrosia Salao and Juan Salao filed an
application for the registration of that land in their names.Judge
Moir ordered the issuance of a decree for the said land. The decree
was issued on February 21, 1917. On March 12, 1917 Original
Certificate of Title No. 472 of the Registry of Deeds of Pampanga
was issued in the names of Juan Salao and Ambrosia Salao.The
Pinanganacan or Lewa fishpond later became Cadastral Lot No. 544 of
the Hermosa cadastre. It adjoins the Calunuran fishpond.Juan Y.
Salao, Sr. and his nephew, Valentin Salao, died. The intestate
estate of Valentin Salao was partitioned extrajudiciallybetween his
two daughters, Benita Salao-Marcelo and Victorina Salao-Alcuriza.
His estate consisted of the two fishponds which he had inherited in
1918 from his grandmother, Valentina Ignacio.Ambrosia Salao donated
to her grandniece, plaintiff Benita Salao. As donee Benita Salao
signed the deed of donation.On that occasion she could have asked
Ambrosia Salao to deliver to her and to the children of her sister,
Victorina, the Calunuran fishpond if it were true that it was held
in trust by Ambrosia as the share of Benita's father in the alleged
joint venture.But she did not make any such demand. It was only
after Ambrosia Salao's death that she thought of filing an action
for the reconveyance of the Calunuran fishpond which was allegedly
held in trust and which had become the sole property of Juan Salao
y Santiago (Juani).During the Japanese occupation and about a year
before Ambrosia Salao's death, she donated her one-half
proindivisoshare in the two fishponds in question to her nephew,
Juan S. Salao, Jr. (Juani) At that time she was living with Juani's
family. He was already the owner of the the other half of the said
fishponds, having inherited it from his father, Juan Y. Salao, Sr.
(Banli) The deed of denotion included other pieces of real property
owned by Ambrosia. She reserved for herself the usufruct over the
said properties during her lifetime.The said deed of donation was
registered only on April 5, 1950.The lawyer of Benita Salao and the
Children of Victorina Salao in a letter informed Juan S. Salao, Jr.
that his clients had a one-third share in the two fishponds and
that when Juani took possession thereof in 1945, he refused to give
Benita and Victorina's children their one-third share of the net
fruits which allegedly amounted to P200,000.Juan S. Salao, Jr. in
his answer categorically stated that Valentin Salao did not have
any interest in the two fishponds and that the sole owners thereof
his father Banli and his aunt Ambrosia, as shown in the Torrens
titles issued in 1911 and 1917, and that he Juani was the donee of
Ambrosias one-half share.Benita Salao and her nephews and niece
asked for the annulment of the donation to Juan S. Salao, Jr. and
for the reconveyance to them of the Calunuran fishpond as Valentin
Salaos supposed one-third share in the 145 hectares of fishpond
registered in the names of Juan Y. Salao, Sr. and Ambrosia
Salao.Issue:Whether or not plaintiffs action for reconveyance had
already prescribedHeld:Yes. Reconveyance had already prescribed.
Plaintiffs action is clearly barred by prescription or laches.Under
Act No. 190, whose statute of limitation would apply if there were
an implied trust in this case, the longest period of extinctive
prescription was only ten year.The Calunuran fishpond was
registered in 1911. The written extrajudicial demand for its
reconveyance was made by the plaintiffs in 1951. Their action was
filed in 1952 or after the lapse of more than forty years from the
date of registration. The plaintiffs and their
predecessor-in-interest, Valentin Salao, slept on their rights if
they had any rights at all. Vigilanti prospiciunt jura or the law
protects him who is watchful of his rights.Undue delay in the
enforcement of a right is strongly persuasive of a lack of merit in
the claim, since it is human nature for a person to assert his
rights most strongly when they are threatened or invaded. Laches or
unreasonable delay on the part of a plaintiff in seeking to enforce
a right is not only persuasive of a want of merit but may,
according to the circumstances, be destructive of the right
itself.Having reached the conclusion that the plaintiffs are not
entitled to the reconveyance of the Calunuran fishpond, it is no
longer to Pass upon the validity of the donation made by Ambrosia
Salao to Juan S. Salao, Jr. of her one-half share in the two
fishponds The plaintiffs have no right and personality to assail
that donation.Even if the donation were declared void, the
plaintiffs would not have any successional rights to Ambrosias
share. The sole legal heir of Ambrosia was her nephew, Juan, Jr.,
her nearest relative within the third degree. Valentin Salao, if
living in 1945 when Ambrosia died, would have been also her legal
heir, together with his first cousin, Juan, Jr. (Juani). Benita
Salao, the daughter of Valentin, could not represent him in the
succession to the estate of Ambrosia since in the collateral line,
representation takes place only in favor of the children of
brothers or sisters whether they be of the full or half blood is
(Art 972, Civil Code). The nephew excludes a grandniece like Benita
Salao or great-gandnephews like the plaintiffs Alcuriza.
Teodoro Almirol vs. Register of Deeds of AgusanG.R. No. L-22486
[March 20, 1968] Castro, J.Facts:Teodoro Almirol purchased from
Arcenio Abalo a parcel of land covered by original certificate of
title P-1237 in the name of "Arcenio Abalo, married to Nicolasa M.
Abalo." Sometime in May, 1962 Almirol went to the office of the
Register of Deeds of Agusan in Butuan City to register the deed of
sale and to secure in his name a transfer certificate of title.
Registration was refused by the Register of Deeds upon the
following grounds that Original Certificate of Title No. P-1237 is
considered conjugal property; the sale of a conjugal property
acquired after the effectivity of the New Civil Code it is
necessary that both spouses sign the document; but since, the wife
has already died when the sale was made, the surviving husband
cannot dispose of the whole property without violating the existing
law.In view of such refusal, Almirol went to the Court of First
Instance of Agusan on a petition formandamus, to compel the
Register of Deeds to register the deed of sale and to issue to him
the corresponding transfer certificate of title. It is Almirol's
assertion that it is but a ministerial duty of the respondent to
perform the acts required of him, and that he has no other plain,
speedy and adequate remedy in the ordinary course of law.In its
resolution, the lower court, declaring that mandamusdoes not lie
because the adequate remedy is that provided by Section 4 of Rep.
Act 1151", dismissed the petition.Issue:Whether or not mandamuswill
lie to compel the respondent to register the deed of sale in
questionHeld:No. Whether the document is invalid, frivolous or
intended to harass, is not the duty of a Register of Deeds to
decide, but a court of competent jurisdiction.The register of deeds
is entirely precluded by section 4 of Republic Act 1151 from
exercising his personal judgment and discretion when confronted
with the problem of whether to register a deed or instrument on the
ground that it is invalid. For under the said section, when he is
in doubt as to the proper step to be taken with respect to any deed
or other instrument presented to him for registration, all that he
is supposed to do is to submit and certify the question to the
Commissioner of Land Registration who shall, after notice and
hearing, enter an order prescribing the step to be taken on the
doubtful question.The courta quocorrectly dismissed the petition
formandamus. Section 4 of Republic Act 1151 provides that "where
any party in interest does not agree with the Register of Deeds,
the questionshall be submittedto the Commissioner of Land
Registration," who thereafter shall "enter an order prescribing the
step to be taken or memorandum to be made," which shall be
"conclusive and binding upon all Registers of Deeds." This
administrative remedymustbe resorted to by the petitioner before he
can have recourse to the courts.