Racpan V Baroga-Haigh

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CIVIL PROCEDURE

ISSUE: Whether the venue was improperly laid?


RUDY L. RACPAN v. SHARON BARROGA-HAIGH
HELD: NO, the venue was properly laid as the complaint was a
G.R. No. G.R. No. 234499| June 06, 2018
personal action.
Subtopic: F. Jurisdiction vs. venue
RATIO
DOCTRINE: Well-settled is the rule that an action to annul a
contract of loan and its accessory real estate mortgage is a personal VENUE OF ACTION
action. In a personal action, the plaintiff seeks the recovery of
personal property, the enforcement of a contract or the recovery Section 1. Venue of real actions. - Actions affecting title to or
of damages. In contrast, in a real action, the plaintiff seeks the possession of real property, or interest therein, shall be
recovery of real property, or, as indicated in Section 2 (a), Rule 4 of commenced and tried in the proper court which has jurisdiction
the then Rules of Court, a real action is an action affecting title to over the area wherein the real property involved, or a portion
real property or for the recovery of possession, or for partition or thereof, is situated.
condemnation of or foreclosure of mortgage on, real property.
Forcible entry and detainer actions shall be commenced and tried
FACTS: in the municipal trial court of the municipality or city wherein the
real property involved, or a portion thereof, is situated.
 Petitioner Rudy Racpan filed a Complaint "For
Declaration For Nullity of Deed of Sale with Right to Section 2. Venue of personal actions. - All other actions may be
Repurchase & Attorney's Fees" before the Regional Trial commenced and tried where the plaintiff or any of the principal
Court of Davao City, Branch 11 (RTC-Davao). In his plaintiffs resides, or where the defendant or any of the principal
Complaint, which was docketed as Civil Case No. 34, defendants resides, or in the case of a non-resident defendant
742-2012, petitioner alleged that after his wife's death where he may be found, at the election of the plaintiff.
on November 12, 2011, he instructed their daughter to
arrange his wife's important documents.
 In so doing, their daughter discovered a Deed of Sale The basic distinction between a real and a personal action and their
with Right to Purchase dated March 29, 2011. The Deed respective venues in Bank of the Philippine Islands v. Hontanosas,
of Sale was purportedly signed by him and his late wife Jr.
and appeared to convey to respondent Sharon Barroga-
Haigh a real property registered in his name under TCT [ real action ] A real action is one that affects title to or possession
No. T-142-2011009374 and located in Bo. Tuganay, of real property, or an interest therein. Such action is to be
Municipality of Carmen, Province of Davao del commenced and tried in the proper court having jurisdiction over
Norte.4Petitioner maintained that the Deed of Sale was the area wherein the real property involved, or a portion thereof,
falsified and fictitious as he never signed any contract, is situated, which explains why the action is also referred to as a
not even any special power of attorney, for the sale or local action
conveyance of the property which is still in his [personal action] In contrast, the Rules of Court declares all other
possession. Thus, he prayed for the declaration of the actions as personal actions. Such actions may include those
Deed of Sale's nullity. brought for the recovery of personal property, or for the
 RTC dismissed the case for failure to comply with a enforcement of some contract or recovery of damages for its
condition precedent prior to its filing. breach, or for the recovery of damages for the commission of an
 CA affirmed the RTC ruling. injury to the person or property. The venue of a personal action is
 The CA explained that petitioner's Complaint is a real the place where the plaintiff or any of the principal plaintiffs
action as it wants the court to abrogate and nullify - resides, or where the defendant or any of the principal defendants
whatever right or claim the respondent might have on resides, or in the case of a non-resident defendant where he may
the property subject of the Deed of Sale. Hence, for the be found, at the election of the plaintiff, for which reason the
appellate court, Section 1, Rule 4 of the Rules of Court action is considered a transitory one.
is applicable. Under this Rule, real actions shall be [ AS APPLIED IN THIS CASE ] In the Complaint filed with the court a
commenced and tried in the proper court which has quo, petitioner sought the nullification of the Deed of Sale with
jurisdiction over the area wherein the real property Right to Repurchase on the strength of this claim: he did not sign
involved is situated. As the property involved is located the same nor did he execute any special power of attorney in favor
in Bo.Tuganay, Municipality of Carmen, Province of of his late wife to do so in his behalf. 18 But, as there was no
Davao del Norte, the appellate court held that the allegation that the possession and title to the property have been
Complaint should have been lodged with the RTC of transferred to respondent, nowhere in the Complaint did
Davao del Norte and not the RTC-Davao. petitioner allege or pray for the recovery or reconveyance of the
real property

1
Evidently, as the Complaint was not concerned with the title to or
recovery of the real property, it was a personal action. Thus, Davao
City, where both the petitioner and the respondent reside is the
proper venue for the complaint. The appellate court therefore
committed a reversible error in affirming the trial court's dismissal
of the case for improper venue

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