JLT Agro Inc Vs Balansag, G.R. No. 141882 Macacua, Alvia Aisa B. Facts

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JLT AGRO INC VS BALANSAG, G.R. No.

141882
Macacua, Alvia Aisa B.

FACTS:

Don Julian Teves owned a parcel of land covering 954 sqm, known as Lot No. 63 of the
Bais Cadastre.He contracted two marriages, first with Antonia and when she died, with
Milagros. He had 6 children in both marriages. They entered into a Compromise
Agreement which embodied the partition of Don Julian’s properties. After the partition,
Milagros took possession of the lot. However, Don Julian executed a Deed of Assignment
of Assets with Assumption of Liabilities and a Supplemental Deed in favor of J.L.T. Agro,
Inc., a family owned corporation. By virtue of this instrument, JLT Agro registered the
subject lot in its name. However, Milagros also sold the same lot to Antonio Balansag.

ISSUE:

Whether the supplemental deed executed by Don Julian in favor of JLT Agro is a valid
donation
RULING:

No, the supplemental deed is not a valid donation.

Art. 749. In order that the donation of the immovable may be valid, it must be made in a public
document, specifying therein the property donated and the value of the charges which the donee
must satisfy.

The acceptance may be made in the same deed of donation or in a separate public document, but
it shall not take effect unless it is done during the lifetime of the donor.

If the acceptance is made in a separate instrument, the donor shall be notified thereof in an
authentic form, and this step shall be noted in both instruments.

In Sumipat v. Banga, title to immovable property does not pass from the donor to the
donee by virtue of a deed of donation until and unless it has been accepted in a public
instrument and the donor duly notified thereof. The acceptance may be made in the very
same instrument of donation. If the acceptance does not appear in the same document,
it must be made in another. Where the deed of donation fails to show the acceptance, or
where the formal notice of the acceptance, made in a separate instrument, is either not
given to the donor or else not noted in the deed of donation and in the separate
acceptance, the donation is null and void.

In the case at bar, although the Supplemental Deed appears in a public document, the
absence of acceptance by the donee in the same deed or even in a separate document
is a glaring violation of the requirement.

Thus, there is no valid donation in favour of JLT Agro by Don Julian.

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