Myreviewer Notes Property 2013 08 02 PDF
Myreviewer Notes Property 2013 08 02 PDF
Myreviewer Notes Property 2013 08 02 PDF
mere fact that the parties to a contract seem to - New Civil Code does NOT define
have dealt with it separate and apart from the immovable or real property but
land on which it stood in no wise changed its enumerates what are considered as
character as immovable property such
- Best example is LAND
N.B. - Must be adhered to soil (Ex. shovelful of
Possessory rights over said property before land considered personal property)
title is vested on the grantee, may be validly - As explained in Biscerra v. Teneza, a
transmitted or conveyed as in a deed of
mortgage. Prudential Bank v. Panis, 153 SCRA house (or a building) is classified as
390 (1987) immovable property by reason of its
Publication in a newspaper of general adherence to the soil on which it is built.
circulation was indispensable (to the subject Thus, a building which is merely
building as realproperty). Being admitted that
no such publication was ever made, the superimposed on the soil is not a real
execution sale was void. Ladera v. C.N. Hodges, property.
et al. (CA), 48 Off. Gaz. 5374 (1952) - In BUILDINGS, considered immovable
Non-acquisition of a preferential lien through provided they are more or less of a
the preliminary writ of attachment is futile. The
Court of Appeals erred when it opined that the permanent structure, adhered to the soil
house should have been levied pursuant to the - Rule is not affected by the fact that the
rules governing the levy of personal property building is erected on a land owned by
In reversing the decision of the CA, the another person
Supreme Court reiterated the ruling in Ladera
v. Hodges. Evangelista v. Alto Surety & Ins. Co., - If the parties so agreed that the building
Inc., 103 Phil. 401 (1958) (or house) is a personal property and a
proper subject of the contract of chattel
Instances Where Building Is Treated As mortgage, they are estopped from
Personal Property: Doctrine of Estoppel; denying the existence of the chattel
mortgage which, as between them, must
N.B. be upheld.
The trial court upheld the validity of the chattel
mortgage. In sustaining the decision of the N.B.
trial court, the Supreme Court applied the The duties of a register of deeds in respect to
principle of estoppel because the house in the registration of chattel mortgage are of a
question was treated as personal or movable purely ministerial character; and no provision
property by the parties to the contract of law can be cited which confers upon him
themselves. Navarro v. Pineda, 9 SCRA 631 any judicial or quasi-judicial power to
(1963) determine the nature of any document of
The Supreme Court, the said Court again which registration is sought as a chattel
applied the principle of estoppel since the mortgage. Standard Oil Co. of New York v.
parties treated the subject house as Jaramillo, G.R. No. L-20329, March 16, 1923
personalty. The Court explained that although
there is no specific statement referring to the
subject house as personal property, yet by
ceding, selling or transferring a property by (2) Trees, plants, and growing fruits, while
way of chattel mortgage (Vicencio and Simeon) they are attached to the land or form an
could only have meant to convey the house as
chattel, or at least, intended to treat the same integral part of an immovable;
as such, so that they should not now be
allowed to make an inconsistent stand by By nature
claiming otherwise. Tumalad v. Vicencio, 41 - Spontaneous products of the soil
SCRA 143 (1971)
By incorporation
-Planted through labor
IMMOVABLE PROPERTY
Growing fruits may exceptionally be treated as
Art. 415. The following are immovable personal property pursuant to the provisions of
property: Article 416(2) of the New Civil Code
(1) Land, buildings, roads and constructions
of all kinds adhered to the soil; GENERAL RULE: Growing crops are
considered REAL PROPERTY
attached; unless expressly included in certain juridical prerogatives over such property.
Art. 415 The ownership of such properties is in the social
group, whether national, provincial or municipal.
N.B.
Test by Exclusion is superior. N.B.
Since the ownership of public dominion
Art. 417. The following are also considered belong to the public in general and not to
the state, the latter may not make them
as personal property:
object of commerce unless they are
properly converted into patrimonial
(1) Obligations and actions which have for property.
their object movables or demandable sums;
and Kinds of Public Dominion
(2) Shares of stock of agricultural, (1) For public use (Art. 420[1])
commercial and industrial entities, although (2) For public service (Art. 420[2]), NCC)
they may have real estate. (3) For the development of national wealth.
(Art. 424[1], NCC)(420)(2), NCC)
N.B.
Even if the sole property of a corporation N.B.
consists only of real property, a share of Property is presumed to be State property
stock in said corporation is considered in the absence of any showing to the
personal property (Cedman vs Winslow, 10 contrary. (Regalian Doctrine)
Mass 145)
Art. 420. The following things are property of
Is money considered merchandise? public dominion:
No. In domestic circulation, money is a LEGAL
TENDER, and NOT MERCHANDISE. Those intended for public use, such as
Exception: When attempted to be exported or roads, canals, rivers, torrents, ports and
smuggled, money is considered as merchandise bridges constructed by the State, banks,
or commodity subject to forfeiture. shores, roadsteads, and others of similar
character;
Art. 418. Movable property is either
consumable or non-consumable. To the first Examples:
class belong those movables which cannot Public streams, natural beds of rivers,
be used in a manner appropriate to their river channels, waters of rivers, creeks
nature without their being consumed; to the
second class belong all the others. (2) Those which belong to the State, without
being for public use, and are intended for
CONSUMABLE NON-CONSUMABLE some public service or for the development
This cannot be used Any other kind of movable
according to its nature property
of the national wealth.
without being consumed
As to the intention of parties Art. 421. All other property of the State,
FUNGIBLE NON-FUNGIBLE which is not of the character stated in the
Capable of substitution of Incapable of substitution; preceding article, is patrimonial property.
same kind and quantity Identical thing must be
given or returned
PATRIMONIAL PROPERTY OF THE STATE
- Are those owned by the state NOT
devoted to public use, public service or
Chapter 3
the development of national wealth.
PROPERTY IN RELATION TO WHOM IT
- It is the property owned by the state in
BELONGS
its private or proprietary capacity
- May be acquired by private individuals
Art. 419. Property is either of public or corporations thru prescription
dominion or of private ownership. - May be an object of ordinary contract
PROPERTY OF PUBLIC DOMINION, defined: N.B.
It is not owned by the state but pertains to the Patrimonial properties may be acquired by
state, which, as territorial sovereign, exercises private individuals or corporations
Art. 423. The property of provinces, cities, Whenever the word "muebles," or
and municipalities is divided into property "furniture," is used alone, it shall not be
for public use and patrimonial property. deemed to include money, credits,
commercial securities, stocks and bonds,
Art. 424. Property for public use, in the jewelry, scientific or artistic collections,
provinces, cities, and municipalities, consist books, medals, arms, clothing, horses or
of the provincial roads, city streets, carriages and their accessories, grains,
municipal streets, the squares, fountains, liquids and merchandise, or other things
public waters, promenades, and public which do not have as their principal object
works for public service paid for by said the furnishing or ornamenting of a building,
provinces, cities, or municipalities. except where from the context of the law, or
the individual declaration, the contrary
All other property possessed by any of them clearly appears.
is patrimonial and shall be governed by this
Code, without prejudice to the provisions of Title II
special laws. OWNERSHIP
Chapter 1
N.B. OWNERSHIP IN GENERAL
It is evident that the movable and
immovable property of a municipality,
necessary for governmental purpose, may OWNERSHIP Independent and general right
not be attached and sold for the payment of a person to control a thing particularly in his
of a judgment against the municipality. possession, enjoyment, disposition, and
The supreme reason for this rule is the
character of the public use to which such
recovery. Subject to no restriction except those
kind of property is devoted. (Vda. de Tan imposed by the state of private persons, without
Toco v. Municipal Council of Iloilo (GR. No. L- prejudice.
24950, March 25, 1926)
In administering the patrimonial property
of municipalities, the municipal council
TITLE that which constitutes a just cause of
occupies, for most purposes, the position exclusive possession or which is the foundation
of a board of directors of a private of ownership of property.
corporation. (Mendoza v. De Leon, G.R.
No. L-9596, February 11, 1916)
Kinds of Ownership
1. Full - includes all rights of owner
3. Right to dispose the property (Art. 428, FORCIBLE ENTRY UNLAWFUL ENTRY
par. 1, NCC); Right to recover the When unlawful
Possession was unlawful Possession was lawful
property from any holder or possessor from the beginning (ab initio) from beginning but became
(Art. 428, par. 2, NCC); Right to demand because of F-I-S-T-S unlawful afterwards
indemnity for damages suffered due to As to filing of complaint
lawful interference by a third person to Plaintiff must allege and Plaintiff need not been in
prove that he was in prior prior physical possession
avert an imminent danger (Art. 432,
physical possession
NCC); the right to just compensation in As to reckoning date of 1-year prescription
case of eminent domain (Art. 435, Date of actual entry Date of last demand
NCC);
2. Accion publiciana
Rights of Person Over His Property Plenary action to recover the better right
The right to enjoy, which includes: of possession or plenaria de posesion.
the use of such force as may be necessary to injured, because the inconvenience arising from said
use can be considered as a mere consequence of
repel or prevent actual or threatened
community life. (Spouses Custodio v. CA, G.R. No.116100,
unlawful physical invasion or usurpation of February 9, 1996)
his property.
Art. 437. The owner of a parcel of land is the EXCEPTION: If finder is not the owner of the
owner of its surface and of everything under land, finder is entitled to of the treasure if:
it, and he can construct thereon any works 1. Made in the property of another, or of
or make any plantations and excavations the state or any of its subdivisions;
which he may deem proper. 2. Made by chance;
3. Finder is not a trespasser/agent of the
Limitations: landowner;
1. Servitudes; 4. Finder is not a co-owner of the property
2. Special laws and ordinances; where it is found; and
3. Reasonable requirements of aerial 5. Finder is not married under the absolute
navigation; and community or the conjugal partnership
4. Rights of third persons (Art. 431, NCC) system (otherwise his share belongs to
the community).
Restriction includes principles on human
relations and the prevention of injury to the EXCEPTION TO THE EXCEPTION: If the finder
rights of third persons (Art. 19, 431). is a trespasser, he shall not be entitled of any
share.
Rights over the land are indivisible, and the land N.B.
itself cannot be half agricultural and half mineral. If the ownership of the treasure is known,
but the owner is already dead, the same
The owner of the land is the owner of its surface will not be considered hidden treasure
and subsurface. Thus a party cannot claim and must therefore go to the owners
ownership by acquisitive prescription of mineral rightful heirs.
land by showing he was in possession of the
land or the surface thereof in the concept of
agricultural land. (Republic v. CA) (Chapter 2: RIGHT OF ACCESSION, skipped)
In default of contracts, or of special the thing owned in common upon by all partners
provisions, co-ownership shall be governed As to 3rd persons
A co-owner does not A partner usually
by the provisions of this Title. represent the co-ownership represents the partnership
and binds the same
Requisites of Co-Ownership SOURCES OF CO-OWNERSHIP
1. Plurality of subjects 1. law
2. Unity of object 2. contract
3. Recognition of ideal share 3. succession
4. fortuitous event or chance
Dual Nature of Co-Ownership 5. occupancy
1. Ownership over ideal share
2. Joint ownership as a whole Art. 485. The share of the co-owners, in the
N.B. benefits as well as in the charges, shall be
Once partition or division is effected or proportional to their respective interests.
once the property is subdivided and
distributed among co-owners, the co- Any stipulation in a contract to the contrary
ownership is terminated. shall be void.
A co-owner cannot claim a definite portion
of a property owned in common. The portions belonging to the co-owners in
[W]here the transferees of an undivided
portion of the land allowed a co-owner of the co-ownership shall be presumed equal,
the property to occupy a definite portion unless the contrary is proved.
thereof and has not disturbed the same,
for a period too long to be ignored--the N.B.
possessor is in a better condition or right If A, B, C and D contribute to a property in
(Potior est conditio possidentis). Clearly, the respective manner: 45%, 30% 15%
the plaintiff in this instance is barred from 10%. They cannot agree later that they will
asserting her alleged right over the contribute equally to payment of its taxes
portion subject matter in the instant case nor would they agree to get equal shares
on the ground that their right has been from the fruits thereof. Such stipulation is
lost by laches. Vda. de Cabrera v. Court of void under Art. 485 of Civil Code.
Appeals, G.R. No. 108547, February 3, 1997
Art. 486. Each co-owner may use the thing
LACHES has been defined as the failure or owned in common, provided he does so in
neglect, for an unreasonable and unexplained accordance with the purpose for which it is
length of time, to do that which by exercising intended and in such a way as not to injure
due diligence could or should have been done the interest of the co-ownership or prevent
earlier; it is negligence or omission to assert a the other co-owners from using it according
right within a reasonable time, warranting a to their rights. The purpose of the co-
presumption that the party entitled to assert it ownership may be changed by agreement,
either has abandoned it or declined to assert it. express or implied.
CO-OWNERSHIP PARTNERSHIP N.B.
As to creation The defendant, therefore, in occupying
May exist without the Created only by reason of with her husband the upper floor of the
necessity of a contract contract said house, did not injure the interests of
As to personality her co-owner, her sister, nor did she
Does not possess a juridical Has the juridical personality prevent the latter from living therein, but
personality distinct from the distinct from each of the merely exercised a legitimate right
co-owners partners pertaining to her as co-owner of the
As to purpose property. Pardell v. Bartolome, G.R. No. L-
Common enjoyment of the Profit from the things or 4656, November 18, 1912.
thing owned in common services contributed
As to duration
Limitations on the Right to Use
Agreement not to divide the No limit as to the time of
property exceeding 10 years existence (1) such use must be in accordance with
is invalid; the purpose for which the thing is
As to effect of death intended;
Death of a co-owner does Death of a partner brings (2) such use must be without prejudice to
not dissolve the co- about the dissolution of
ownership partnership the rights of the other co-owners; and
As to disposal of share
A co-owner may freely A partner has no power of
dispose of his ideal share of disposal unless agreed
(3) such use must not be in a manner as to right owned in common and to the taxes.
prevent the other co-owners from using Any one of the latter may exempt himself
the thing according to their own right. from this obligation by renouncing so much
of his undivided interest as may be
N.B. equivalent to his share of the expenses and
Each co-owner of property held pro
indiviso exercises his rights over the
taxes. No such waiver shall be made if it is
whole property and may use and enjoy the prejudicial to the co-ownership.
same with no other limitation than that he
shall not injure the interests of his co- Art. 489. Repairs for preservation may be
owners, the reason being that until a
division is made, the respective share of
made at the will of one of the co-owners, but
each cannot be determined and every co- he must, if practicable, first notify his co-
owner exercises, together with his co- owners of the necessity for such repairs.
participants joint ownership over the pro Expenses to improve or embellish the thing
indiviso property, in addition to his use
shall be decided upon by a majority as
and enjoyment of the same. Aguilar v. CA,
G.R. No. 76351, October 29, 1993. determined in Article 492.
The right of enjoyment by each co-owner is
limited by a similar right of the other co- - Right to demand contribution from co-
owners. A co-owner cannot devote common
property to his exclusive use to the prejudice owners inherent for preservation
of the co-ownership. Hence, if the subject is expenses
a residential house, all the co-owners may - Prior notice is required prior to execution
live there with their respective families to the
extent possible. However, if one co-owner of repairs or embellishment
alone occupies the entire house without - Failure of prior notice for repairs may
opposition from the other co-owners, and still be effective,
there is no lease agreement, the other co-
owners cannot demand the payment of - But absence of prior notice for
rent. Conversely, if there is an agreement to embellishment may lose the right to
lease the house, the co-owners can demand recover proportionate share
rent from the co-owner who dwells in the
house. De Guia v. CA, G.R. No. 120864, - A compelled co-owner to contribute
October 8, 2003 proportionally may opt to exercise
renunciation
Art. 487. Any one of the co-owners may bring Art. 490. Whenever the different stories of a
an action in ejectment. house belong to different owners, if the titles
of ownership do not specify the terms under
The term, action in ejectment, not only includes which they should contribute to the
a suit of forcible entry (detentacion) or unlawful necessary expenses and there exists no
detainer (desahucio), but all kinds of actions for agreement on the subject, the following rules
the recovery of possession, including an accion shall be observed:
publiciana and a reinvindicatory action. (1) The main and party walls, the roof and
the other things used in common, shall
- Action must be instituted for all co- be preserved at the expense of all the
owners in proportion to the value of the
owners
story belonging to each;
- This action is also available even (2) Each owner shall bear the cost of
against a co-owner maintaining the floor of his story; the
- While a co-owner may bring an action in floor of the entrance, front door, common
ejectment under Article 487 without the yard and sanitary works common to all,
necessity of joining all the other co- shall be maintained at the expense of all
owners as co- plaintiffs because the suit the owners pro rata;
is deemed to be instituted for the benefit (3) The stairs from the entrance to the first
of all, any adverse judgment cannot story shall be maintained at the expense
of all the owners pro rata, with the
prejudice the rights of the unimpleaded
exception of the owner of the ground
co-owners. However, any judgment of floor; the stairs from the first to the
the court in favor of the co-owner will second story shall be preserved at the
benefit the others. expense of all, except the owner of the
ground floor and the owner of the first
story; and so on successively.
Art. 488. Each co-owner shall have a right to
compel the other co-owners to contribute to
the expenses of preservation of the thing or
- The provisions are not applicable to The following acts of the majority are
Republic Act No. 4276 (The considered prejudicial to the co-ownership:
Condominium Act) (1) when the resolution calls for a
substantial change or alteration of the
CONDOMINIUM is an interest in real property common property or of the use to which
consisting of a separate interest in a unit in a it has been dedicated by agreement or
residential, industrial or commercial building and by its nature;
an undivided interest in common directly or (2) when the resolution goes beyond the
indirectly, in the land on which it is located and limit of mere administration or invades
in other common areas of the building. proprietary rights of the co-owners in
violation of Article 491;
Art. 491. None of the co-owners shall, (3) when the majority authorizes lease,
without the consent of the others, make loans or other contracts without security,
alterations in the thing owned in common, exposing the thing to serious danger to
even though benefits for all would result the prejudice of the other co-owners;
therefrom. However, if the withholding of the and
consent by one or more of the co-owners is (4) when the majority refuses to dismiss an
clearly prejudicial to the common interest, administrator who is guilty of fraud or
the courts may afford adequate relief. negligence in his management, or he
does not have the respectability,
Art. 492. For the administration and better aptitude, and solvency required of
enjoyment of the thing owned in common, persons holding such positions.
the resolutions of the majority of the co-
owners shall be binding. Art. 493. Each co-owner shall have the full
ownership of his part and of the fruits and
There shall be no majority unless the benefits pertaining thereto, and he may
resolution is approved by the co-owners who therefore alienate, assign or mortgage it, and
represent the controlling interest in the even substitute another person in its
object of the co-ownership. enjoyment, except when personal rights are
Should there be no majority, or should the involved. But the effect of the alienation or
resolution of the majority be seriously the mortgage, with respect to the co-owners,
prejudicial to those interested in the property shall be limited to the portion which may be
owned in common, the court, at the instance allotted to him in the division upon the
of an interested party, shall order such termination of the co-ownership.
measures as it may deem proper, including
the appointment of an administrator. - Right to alienate a co-owners pro
indiviso share is inherent
Whenever a part of the thing belongs - Alienation or mortgage shall be limited
exclusively to one of the co-owners, and the to the portion as may be allotted to a
remainder is owned in common, the
co-owner
preceding provisions shall apply only to the
- The binding force of a contract must be
part owned in common.
recognized as far as it is legally possible
to do so quando res non valet ut ago,
- The law prohibits the making of
valeat quantum valere potest (when a
alterations in the thing owned in
thing is of no effect as I do it, it shall
common without the consent of all the
have effect as far as [or in whatever
other co-owners
way] it can)
- The law does not clarify the kind of
- no one can give what he does not have
consent necessary for the making of
nemo dat quod non habet.
alterations
- Doctrine of buyer in good faith applies
- The other co-owners can compel the
erring co-owner to undo what has been
N.B.
done at the latters expense (Art. 1168, [The Court is] not unaware of the principle
NCC) that a co-owner cannot rightfully dispose
of a particular portion of a co-owned
property prior to partition among all the
co-owners. However, this should not