Mercado vs. Espiritu

Domingo and Josefa Mercado v.
Jose Espiritu, administrator of the estate of the deceased Luis Espiritu

G.R. No. L-11872; December 1, 1917
Consent given by minors
FACTS:
The plaintiffs alleged that they and their sisters Concepcion and Paz, all surnamed Mercado, were
the children and sole heirs of Margarita Espiritu, sister of the deceased Luis Espiritu. Margarita Espiritu
died in 1897, leaving as her paraphernal property a tract of land in Calumpit, Bulacan, that could produce
180 cavanes of rice per annum. The Mercado siblings alleged that, in 1910, said Luis Espiritu, by means
of cajolery, induced, and fraudulently succeeded in getting the plaintiffs Domingo and Josefa Mercado to
sign a deed of sale of the land left by their mother. The defendant Espiritu alleged that the complaint filed
by the plaintiffs was unfounded and malicious.
It was duly proven that, by a notarial instrument of May 25, 1894, the plaintiffs' mother conveyed
by actual and absolute sale for the sum of P2,000, to her brother Luis Espiritu a portion of the land now
on litigation. On account of the loss of the original of said instrument on the possession of Espiritu and
because during the revolution, the public documents of the Province of Bulacan were burned, Wenceslao
Mercado, the widower of the vendor and father of the plaintiffs, executed, at the instance of the interested
party Espiritu, the notarial instrument, of the date of May 20, 1901, in his own name and those of his
minor children and therein set forth that it was true that the sale of said portion of land had been made by
his aforementioned wife, then deceased, to Luis Espiritu in 1894.
On May 14, 1901, the widower Wenceslao Mercado, according to the private document Exhibit
2, pledged or mortgaged to the same man, Luis Espiritu, for P375, a part, or an area covered by 6
cavanes of seed, of the land that had belonged to this vendor's deceased wife, to the said Luis Espiritu and
which now forms a part of the land in question — a transaction which Mercado was obliged to make in
order to obtain funds with which "to cover his children's needs." Wenceslao Mercado, the plaintiffs'
father, having died, about the year 1904, the plaintiffs Domingo and Josefa Mercado, together with their
sisters Consejo and Paz, declaring themselves to be of legal age and in possession of the required
legal status to contract, executed and subscribed before a notary the document Exhibit 3, on May 17,
1910, in which referring to the previous sale of the land, effected by their deceased mother for the sum of
P2,600 and with her husband's permission and authorization, they sold absolutely and in perpetuity to
Luis Espiritu, for the sum of P400 "as an increase" of the previous purchase price, the land described in
said instrument and situated in Panducot, pueblo of Calumpit, Bulacan, of an area equal to that usually
sown with 21 cavanes of seed.
The plaintiffs Mercados seek the annulment of the deed Exhibit 3, on the ground that on the date
of its execution they were minors without legal capacity to contract, and for the further reason that the
deceased purchaser Luis Espiritu availed himself of deceit and fraud in obtaining their consent for the
execution of said deed.
ISSUE: Whether or not the document proving the sale of the land to Espiritu is invalid, provided that the
consent for the sale was given by minors?
NO, the document is not invalid.

RULING:
The courts, in their interpretation of the law, have laid down the rule that the sale of real estate,
made by minors who pretend to be of legal age, when in fact they are not, is valid, and they will not be
permitted to excuse themselves from the fulfillment of the obligations contracted by them, or to have
them annulled in pursuance of the provisions of Law 6, title 19, of the 6th Partida; and the judgment that
holds such a sale to be valid and absolves the purchaser from the complaint filed against him does not
violate the laws relative to the sale of minors' property, nor the juridical rules established in consonance
therewith. (Decisions of the supreme court of Spain, of April 27, 1860, July 11, 1868, and March 1,
1875.)
According to the deed of May 25, 1894, Margarita Espiritu conveyed to her brother Luis the
parcel of 15 cavanes of seed (Exhibit 1) and after her death the plaintiffs' widowed father mortgaged or
pledged the remaining parcel or portion of 6 cavanes of seed to her brother-in-law, Luis Espiritu, in May,
1901 (Exhibit 2). The notarial instrument (Exhibit 3) which was assailed by the plaintiffs, recognized
the validity of the previous contracts, and the totality of the land, consisting of an area containing 21
cavanes of seed rice, was sold absolutely and in perpetuity. In consideration of the fact that the said
vendor Luis Espiritu paid them, as an increase, the sum of P400, by virtue of the contract made with him,
they declare having sold to him absolutely and in perpetuity said parcel of the land, waive and
thenceforth any and all rights they may have, inasmuch as said sum constitutes the just price of the
property. There is no conclusive proof in the record that this last document was false and simulated on
account of the employment of any violence, intimidation, fraud, or deceit, in the procuring of the consent
of the vendors who executed it.
The plaintiffs have absolutely no right whatever to recover said first parcel of land, as its
ownership was conveyed to the purchaser by means of a singular title of purchase and sale; and as to the
other portion of 6 cavanes of seed, they could have redeemed it before May 17, 1910, upon the payment
or the return of the sum which their deceased father Wenceslao Mercado had, during his lifetime, received
as a loan under security of the pledged property; but after the execution of the document Exhibit 3, the
creditor Luis Espiritu definitely acquired the ownership of said parcel of 6 cavanes. It is therefore a rash
venture to attempt to recover this latter parcel by means of the contract of final and absolute sale, set forth
in the deed Exhibit 3.
Aside from the foregoing, it cannot be concluded that the plaintiffs, who claim to have minors
when they executed the notarial instrument Exhibit 3, have suffered positive and actual losses and
damages in their rights and interests as a result of the execution of said document, inasmuch as the sale
effected by the plaintiffs' mother, Margarita Espiritu, in May, 1894, of the greater part of the land of 21
cavanes of seed, did not occasion any damage or prejudice to the plaintiffs, inasmuch as their father
stated in the document Exhibit 2 that he was obliged to mortgage or pledge said remaining portion of the
land in order to secure the loan of the P375 furnished by Luis Espiritu and which was subsequently
increased to P600 so as to provide for certain engagements or perhaps to meet the needs of his children,
the plaintiff. Therefore, to judge from the statements made by their father himself, they received through
him, in exchange for the land of 6 cavanes of seed, which passed into the possession of the creditor Luis
Espiritu, the benefit which must have accrued to them from the sums of money received as loans; and
finally, on the execution of the impugned document Exhibit 3, the plaintiffs received and divided between
themselves the sum of P400, which sum, added to that P2,000 received by Margarita Espiritu, and to that
of the P600 collected by Wenceslao Mercado, widower of the latter and father of the plaintiffs, makes all
together the sum of P3,000, the amount paid by the purchaser as the price of all the land containing 21
cavanes of seed, and is the just price of the property, was not impugned, and, consequently, should be
considered as equivalent to, and compensatory for, the true value of said land.
DISPOSITIVE:
For the foregoing reasons, whereby the errors assigned to the judgment appealed from have been
refuted, and deeming said judgment to be in accordance with law and the evidence of record, we should,
and do hereby, affirm the same, with costs against the appellants. So ordered.

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Mercado vs. Espiritu

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Domingo and Josefa Mercado v.

Jose Espiritu, administrator of the estate of the deceased Luis Espiritu

NO, the document is not invalid.

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