Sps. Devisfruto v. Greenfell

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SPOUSES RUTH DIZON DEVISFRUTO AND ALLAN DEVISFRUTO, PETITIONERS,

V. MAXIMA L. GREENFELL, RESPONDENT

G.R. No. 227725, July 01, 2020

Leonen, J. – Third Division

NATURE OF THE ACTION:

Petition for Review on Certiorari questioning the Decision and Resolution of the Court of
Appeals.

FACTS:

Maxima Greenfell was a natural-born citizen who later became an Australian citizen.
Prior to reacquiring Filipino citizenship, she financed the purchase of a house and 2 lots, from
Spouses Dante and Erna Magisa. The lots were registered in the name of her niece, Ruth Dizon
Devisfruto. Deeds of sale were executed by which the Magisa Spouses sold the properties to
Ruth. Thereafter, the Devisfruto Spouses possessed the properties and Ruth declared herself as
the owner, as shown in a Tax Declaration. In April 2009, after reacquiring her Philippine
citizenship, Greenfell demanded that the properties be transferred to her name. When Ruth
refused to comply, Greenfell filed the Complaint for Reconveyance before the Municipal Circuit
Trial Court.

The MTC, RTC, and CA ruled in favor of Greenfell. The Devisfruto Spouses argued that
the properties had been given gratuitously to them. They allege that respondent gave the
properties to Ruth because she is her favorite niece, and claim that respondent only filed a case
after their relationship turned sour. They insist that it was not unlikely for respondent to
gratuitously give the property to Ruth, as she has the financial capacity to assist less fortunate
relatives.

ISSUE:

Whether or not the subject properties were donated to the Spouses Devisfruto.

RULING:

No. The Petition is DENIED.

In Carinan v. Spouses Cueto, where it was argued that the respondent therein had
gratuitously paid the purchase money for property as a donation, this Court noted that donations
of purchase money must follow the formal requirements mandated by law:

In order to sufficiently substantiate her claim that the money paid by the respondents was
actually a donation, Esperanza should have also submitted in court a copy of their written
contract evincing such agreement. Article 748 of the New Civil Code (NCC), which applies to
donations of money, is explicit on this point as it reads:

Art. 748. The donation of a movable may be made orally or in writing. —

An oral donation requires the simultaneous delivery of the thing or of the document
representing the right donated.
If the value of the personal property donated exceeds five thousand pesos, the donation
and the acceptance shall be made in writing. Otherwise, the donation shall be void.

As the Court ruled in Moreño-Lentfer v. Wolff, a donation must comply with the
mandatory formal requirements set forth by law for its validity. When the subject of donation is
purchase money, Article 748 of the NCC is applicable. Accordingly, the donation of money as
well as its acceptance should be in writing. Otherwise, the donation is invalid for non-
compliance with the formal requisites prescribed by law.

Although petitioners repeatedly insisted that the purchase money for the properties was
gratuitously given, it appears that they did not, at any stage, present evidence that this donation
complied with the formal requirements under Article 748 of the Civil Code. Thus, this Court sees
no reason to consider this argument any further.

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