Property Matrix

Forms of Accession Continua:
- may refer to immovable or movable property

- with regard to immovable, it may either be industrial or natural
1. accession industrial may take the form of
building
planting and
sowing
2. accession natural may either be:
alluvium
avulsion
change of course of the river, or
formation of islands.
- with regard to movable, it may either be:
adjunction or conjunction
Commixtion or confusion, and
specification
Basic Principles in Accession Continua:
1. That the union or attachment or the incorporation of two or more things belonging to different owners to
each other or to one another must be such that they cannot be separated from each other or from one
another without causing a substantial physical or juridical injury to any one, to some or to all of the
things involved. If such separation is possible without injury, their respective owners retain their
ownership without effects on the others since there is no accession.
2. That the accessory follows the principal.
3. That no one shall unjustly enrich himself at the expense of another.
4. That good faith exonerates a person from punitive liability and damages. He who acts in good faith may
be held responsible for his act, but he should not be penalized.
5. That bad faith subjects a person to damages and other unfavorable consequences.
6. That bad faith of one party neutralizes the bad faith of the other and, therefore, both should be
considered as having acted in good faith.
IMMOVABLE:
- Three forms of industrial accession: Building, Planting and Sowing
- 3 Scenarios:
1. Building, planting, sowing on ones own land with materials belonging to another, governed
by Article 447 of the NCC [BPS owns the land, not the materials];
2. Building, planting, sowing with ones own materials on the land of another, governed by
Articles 448 up to 454 of the NCC [BPS owns the materials not the land]; and
3. Building, planting, sowing on the land of another with materials belonging to a third person,
governed by Article 455 of the NCC, in relation to other articles [BPS not the owner of land,
BPS not owner of materials, materials belong to third person].
-
Builder in good faith BPS believes that he had the right to build, plant or sow because he thinks he
owns the land or believes himself to have a claim of title. To be deemed a builder in good faith, it is
essential that a person assert title to the land on which he builds, i.e., it is essential that he be a possessor
in concept of an owner and that he be unaware that there exists in his title or mode of acquisition any
flaw which invalidates it.
Building, planting, sowing

on ones own land with
materials belonging to
another,
governed
by
Article 447 of the NCC
(2 persons: (i) BPS is the
land owner; (ii) Owner of
materials)
Building, planting, sowing with

ones own materials on the land
of another, governed by Articles
448 up to 454 of the NCC
(2 persons: (i) BPS is owner of
materials; (ii) Land owner)
If both the land owner If both the LO and the B/P/S

(LO) and the owner of the (who is also the OM) acted in
materials (OM) acted in good faith:
good faith:
(a) LO is given the options,
(a) LO can appropriate what either:
he has built, planted or (1) Option to appropriate: To
sown.
appropriate as his own the works,
- having acted in good faith, sowing or planting after payment
LO is not liable for to the BPS the necessary and
damages.
useful expenses, and in proper
- however, LO must pay the case, expenses for pure luxury or
value of the materials, mere pleasure incurred by the
otherwise unjust enrichment latter pursuant to Arts. 546 and
will result
548;
- the option to appropriate is - pending reimbursement, builder
with the LO being the in good faith has right of
owner of the principal
retention until paid; hence, is not
require to pay rentals;
(b) If materials can be - ownership does not pass to the
returned in exactly the same land owner until full payment of
form and substance and Arts 546 and 548;
without causing injury to or
the land, LO may return the (2) Option to sell: To oblige the
materials to OM / OM may one who built or planted to pay
also demand the removal or the price of the land, if the value
return of the materials.
of the land is not considerably
- There is no accession in more than that of the building or
this case.
trees, and the one who sowed the
proper rent.
Building, planting, sowing

on the land of another
with materials belonging
to a third
person,
governed by Article 455 of
the NCC, in relation to
other articles
(3 persons: (i) BPS; (ii)
Land Owner; (iii) Owner of
materials)
If OM acted in bad faith
- OM
loses
his
materials without
any
right
whatsoever.
- BPS would be
considered merely
an agent of the OM.
Pursuant to 449,
OM loses what has
been built, planted
or sown without
any
right
to
indemnity. OM is
even liable for
damages.
- LO can claim what
has been built,
planted or sown
without
any
obligation
to
indemnify the OM
(449 & 455).
- If BPS acted in
good faith, he may
claim from the LO
reasonable
compensation for
his labor (principle
against
unjust
enrichment)
- In case that the builder or

planter refuses to pay the land (if If OM acted in good faith
the value of the same is not
- OM must be paid
considerably more than that of
the
value
of
the building or trees), the LO
materials
does not automatically become
- BPS is primarily
the owner of the improvements
liable to make such
without paying any indemnity.
payment to OM
The remedy left to the parties in
(without damages if
such eventuality is any of the ff:
BPS acted in good
1. They may decide to leave
faith; with damages
things as they are and
if BPS acted in bad
assume the relation of
faith)
lessor and lessee, and
- Once payment is
should they disagree as to
made,
BPS
the amount of the rental
becomes owner of

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Forms of Accession Continua:

- may refer to immovable or movable property

Building, planting, sowing

Building, planting, sowing with

If both the land owner If both the LO and the B/P/S

Building, planting, sowing

- In case that the builder or

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