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Md PERSONS (3) #9 HEIRS OF AYUSTE vs. CA 313 SCRA

PERSONS (3) Case #9 HEIRS OF AYUSTE vs. CA 313 SCRA 493 (1999) GONZAGA-REYES, J.: TOPIC: Article 105-133, FC – Conjugal partnership of gains; Administration, enjoyment, disposition/encumbrance of the conjugal property (Under the Civil Code) LAWS: Article 165, NCC Article 166, NCC Article 173, NCC FACTS: Rafael and Christina Ayuste were married in 1961. They lived in Manila but operated a machine shop in Lucena City. The couple purchased a 180-sqm parcel of land in Lucena City, on which a temporary residence may be built for Rafael, as he manages their business. The land was registered in the ROD under the name of Rafael, married to Christina. Rafael sold the land in 1987 for PHP 40,000 to Viena Malabonga, as evidenced by a Deed of Absolute Sale, pre-signed by Christina on the 2nd page. Rafael died in 1989. Christina discovered that the land was sold in 1989, when she conducted an inventory of their properties and found out that the title was missing. She claims that the sale was made without her consent; her signature on the deed was forged. In 1990, she filed a complaint for the annulment of the sale and the cancellation of the title issued to private respondent-buyer. ISSUE: Whether or not the sale of the property by Rafael without Christina’s consent was valid and binding RULING: YES. The sale of the property by Rafael was valid and binding. According to Article 165 and 166 of the Civil Code: Article 165. The husband is the administrator of the conjugal partnership. (1412a)  Article 166. Unless the wife has been declared a non compos mentis or a spendthrift, or is under civil interdiction or is confined in a leprosarium, the husband cannot alienate or encumber any real property of the conjugal partnership without the wife's consent. If she refuses unreasonably to give her consent, the court may compel her to grant the same.  This article shall not apply to property acquired by the conjugal partnership before the effective date of this Code. (1413a) It is the general rule that a husband as the administrator of the conjugal partnership, he cannot alienate or encumber any of their real property without the wife’s consent, unless the situation falls under any of the exceptions in Article 166, paragraph 1. The wife is not left without recourse, for she may file a petition in the courts for the annulment of the disposition or encumbrance, provided that she files the petition during the marriage and within 10 years from the transaction in question, as provided for by Article 173. In this case, although Christina’s petition was filed within 10 years, the marriage had already been dissolved upon Rafael’s death in 1989. It was presumed that she was notified of the transaction, as the sale was registered in the ROD in 1987.