land title reviewer - midterms-updated

8/13/2019 Land Title Reviewer - Midterms-updated

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CHAPTER VI: JUDGMENT AND DECREE

Decree vs. Judgment

-Decreerefers to court decision or judgment of dismissal

- Judgmentmay always be considered a decree, but not allDecreemay be considered judgment. - Sec 37 of Act 496: f any case wit!out ad"erse claim, t!at

court finds a##licant does not !a"e title #ro#er for registration,a decree s!all be entered, dismissing t!e a##lication$ suc!

decree is called court order orjudgment of dismissal.

- %!en it #ro"ides furt!er for t!e entry of decree, awarding t!eland, it refers to court order orjudgment of adjudication

- &ut w!en same law #ro"ides t!e issuance of decree ofregistration, t!e term no longer con"eys t!e idea of court

decision, rat!er$ it refers to a decree of registration

When Judgment becomes final?

- 'ecision wit!out #rejudice, becomes final after #eriode(#iration wit!in w!ic! to #erfect an a##eal s!all !a"e ela#sed.

)3* days #eriod+ - Allowance of time is gi"en by deducting t!e time during

w!ic! a motion to set aside t!e judgment is #ending.

- !e #eriod to a##eal from final orders or resolution islimited to fifteen days )+ from date of notice.

- 'ecisions w!et!er erroneous or not, becomes final after t!e#eriod fi(ed by law.

- Subse/uent re-inter#retation of law may only be applied to

new cases, not to an old one.

- 0osterior c!anges in t!e doctrine of Su#reme 1ourt cannot

nullify a #rior final ruling in t!e same #roceedings.

When Judgment DOES O! become final after lapse of

period

- !at said decision could not ac/uire finality until amended

#lan w!ic! a##licants were ordered to submit was #resented

and a##ro"ed by court. - %!en suc! decision, which leaves something "et to bedone b" the parties and t!e court before it can be can be

enforced, in "arious cases, declared to be non-a##ealable.)2agbanua 0ineda " 'ion+

#orms of Judgment

- constitutes to t!e o#inion of t!e court after ta5ing into

consideration e"idences submitted by t!e #arties - or cases of only #ortion of land is contested, title may be

gi"en to those who has sufficient title, proper forregistration. - n land registration proceedings, it may order a##ro"al or

dismissal of a##lication for registration

$ssuance of Decree

- After !earing, if claimant !as title as stated in !is

a##lication or ad"erse claim, t!en a decree of confirmation

and registration sha !e entered"

- t binds t!e land, and /uiets t!e title

- S!all be conclusi"e against all #ersons )To whom it mayconcern+

- Pending appeal is not a##licable to land registration

#roceedings since it is fraug!t wit! dangerous conse/uences - A orrens title issued on judgment t!at is not final is a

%&&$!'.


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Statutor" liens affecting title

- All registered owners, recei"ing 1, and any subse/uent

#urc!aser ta5ing 1, s!all be free from encumbrances,

e(ce#t:

a. &iens, claims or rightsarising under t!e 8aw and0!il. 1onstitution, w!ic! are not re(uired to appear in

the )egistr" of Deeds, in order to be "alid againstsubse/uent #urc!aser

b. %npaid real estate ta*es assessed within two "ears

preceding the ac(uisitionof any rig!t o"er t!e land,wit!out #rejudice to go"t rig!t to collect ta( #ayable

from t!e ta(#ayerc. Any public or private highwa", established or

recogni+ed b" law, if 1 does not state t!eboundaries of suc!d. Any disposition of the propert" or limitation of

the use b" virtue of D

- 8egal easement s!ould !a"e been #re-e(isting at t!e time of

registration of title in order for owner to res#ect it. - f not, e(#ro#riation #roceeding s!ould be !ad for #ublic use

may not be im#osed on #ri"ate #ro#erty wit!out #ro#er

#roceedings, and #ayment of just com#ensation be made to t!eowner.

Encumbrances created b" administrative directive, null

and void

- it s!ould be co"ered in t!e title, if not, #urc!aser is notliable

- ndisclosed encumbrances strictly construed - n ta( laws, ta(es are not due and #ayable until t!ey !a"e

been le"ied and assessed

-it was !eld t!at suc! ta(es #aid for t!e years #re"ious to t!edate of t!e #urc!ase, t!ey not !a"ing been eit!er due or

#ayable and not !a"ing e"en been assessed or le"ied #rior to

t!e date of t!e #urc!ase, do not constitute a lien on the

propert" and should therefore be refunded to thepurchaser. )'e ;esus " 1ity of 2anila+

/dverse possession not an encumbrance

- egistration of land "est t!e a##licant not only t!e title

of land, but also t!e title to t!e im#ro"ements t!ereon.

Ownership of 0uilding alone cannot be registered

separatel"

- ?o 1 or '> s!all be issued co"ering t!e building and

im#ro"ements alone


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Decree roper in &and )egistration

- wo classes of decrees of 8> are as follows:

a. 'ecrees dismissing t!e a##lication - Sec 37

b. 'ecrees of 1onfirmation and >egistraton

- n case of fraud, #etition for re"iew s!ould be filed at >1one "ear after the entr" of the decree- 8ower court !as no jurisdiction to issue a decree

When Decree of )egistration is #$/&

- A decree of registration s!all not be o#ened by reasons of

absence, infancy or disability of #erson- #on e(#iration of one year term for a##eal, e"ery decree

issues s!all be considered ?A8 regardless if it is erroneousor not

- &ut any aggrie"ed #arty may #ursue remedy by action fordamagesagainst a##licant for fraud in #rocuring t!e decree- osauro+

1onclusiveness of Decree of )egistration

- A decree t!at !as become final s!all be deemed conclusi"efrom (uestions actuall" contested and all matters thatmight be litigated

)eason for finalit" of Decree- itle is #erfect, and cannot be /uestion later on- !e "ery #ur#ose of orrens System would be destroyed if

same land may be boug!t under a second action for registration)>eyes and ?adres " &orbon and 'irector of 8ands+

/mendment of Decree to include new owners

- if #ur#ose for amendment is to include new owners in t!e

1, it cannot be made, e"en wit! t!e consent of t!e originalowner

- rial court !as no jurisdiction o"er t!is one )@arcia " >eyes+

1hanges of decree from owner to purchaser

- !at t!e contro"ersy o"er t!e title to t!e /uestioned #ro#ertywas concluded by t!e una##ealed orders and t!at t!is action to

com#el & to surrender a #art of t!e #ro#erty co"ered by t!eorrens certificate is not maintainable. )44+

Decree to non-claimants

- 1ourt !as no jurisdiction

- f #ro#erty erroneously adjudicated to non-claimant, t!en soldit to an innocent t!ird #erson, creditor-mortgagee could ac/uire

no !ig!er rig!t t!an w!at t!e mortgagor !ad in t!e #ro#erty,

not!ing.- 2ortgagee s!all collect !is credit from t!e mortgagor in

#ersonal action or from assurance funds- ?ew ruling: e"en if 1 is issued to non-claimants is

declared null-and-"oid, t!e rig!ts of innocent mortgagee cannotbe disregarded.


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- 1ancellation of '> to non-claimants and re-issuance torig!tful owner, #ro#erty be subjected also to mortgage lien be

cancelled

Writ of ossession2 person entitled thereto- m#lies t!e deli"ery of #ossession of t!e land to t!esuccessful litigant

- Writ of execution, commanding t!e s!eriff to entert!e land and gi"e #ossession to t!e owner

- Writ of demolition, remo"e somet!ing constructed on t!e land

issued- S ? needed to wait for final decree of judgment be

issued before a##lying for writ of #ossession- after registration !as once been awarded, writ becomes a

matter of e(#ediency- #re"ious lien or encumbrances ac5nowledged as binding s!allnot militate against its immediate issuance

- %0 may be a"ailable in t!e ff. cases:a. in land #roceedings, in rem

b. e(trajudicial foreclosure of mortgagec. judicial foreclosure of mortgage, /uasi in rem

d. e(ecution sales

/gainst whom writ ma" lie

- ?ot only to #erson w!o a##ear in #roceeding, but also against

t!ose w!o, !a"ing been ser"ed wit! #rocess, did not a##ear- ?ot only to t!ose w!o loss in a registration case, but also to

t!ose illegally occu#ies t!e said land

-t cannot be used to #arty w!ose decree was fa"ored, nor to!is re#resentati"es or successors

Will rights to issuance of WO prescribe?

- >uling of 2anla#a 1ase: As long as no writ of #ossession!as #re"iously been issued, rig!ts of t!e a##licant or

subse/uent #urc!aser to as5 for an issuance of %0, wouldne"er #rescribe.

- ?o title to register land in derogation to t!at of registered

owner s!all be ac/uired by #rescri#tion or ad"erse #ossession

)Sec 47 0'9+- Once a 3udgment has become final and e*ecutor",#re"ailing #arty is entitled a matter of rig!t of e(ecution, w!ic!

is courts ministerial duty- E*ception: w!en u#on its finality, facts and circumstances

trans#ire w!ic! renders its e(ecution im#ossible or unjust

1ollateral attac4 not bar to WO

- f '> !as been obtained t!roug! fraud, aggrie"ed #arty mayfile for #etition for re"iew on #roceedings, year from date of

issuance- &ut it cannot collaterally attac5ed by #ersons claiming t!etitle

- Attac5ing t!e "alidity of decree, is not a bar to t!e issuance of%0 a##lied for by t!e registered owner

-orrens itle 1/O!be collaterally attac5ed.%!en %0 may not issue

- 0arties w!om %0 was soug!t !a"e been in a. #ossession of

t!e land for at least * years,b. entered into #ossession after issuance of final decree,

c. none !ad been an o##ositor in t!e registration #roceedings$writ of #ossession will not issue

)2anuel et.al " >osauro+

- %!en court granted #etition of %0 wit!out #rior notice toad"erse #arties, suc! granted %0 is considered null and "oid.

)Biolation of >ule Sec 4 >ules of 1ourt+

Ordinar" means to recover possession5

!hree 4inds5


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a. Summary of action establis!ed by >ule 7* >ules of 1ourt- Action for forcibly entry or unlawful detainer, w!ic!

see5s for reco"ery of #!ysical #ossession

b.Accion Publiciana

- >eco"ery of t!e rig!t to #ossess to be instituted at>1c.Accion eivindicatoria

- >eco"ery of owners!i#$ w!ic! includes #ossession$w!ic! is wit!in >1

es Judicata ! final judgment in an ordinary ci"il casedetermining owners!i# of land in a registration #roceeding

)e(uisites of the e*istence of )es Judicata

a. ormer ;udgment must be finalb. t must !a"e been rendered by a court !a"ing jurisdictiono"er t!e subject matter

c. 2ust be a ;udgment on t!e meritsd. !ere must be identity of #arties, subject matter and causes

of action

Judgment when not considered res #$dicata

- %!en a judgment dismissing an a##lication for registration ofland does not o#erate as res judicata between applicants who

has successfully resisted the application-%!en a##lication for registration !as been dismissed by court

%itho$t &re#$dice

)emedies available to aggrieved part" in registration

proceedings5

- ew trial

- /ppeal- )eview of Decree of registration

- )elief from 3udgment- )econve"ance- )ecover" of damages

/. ew !rial- C/ui"alent to a motion for reconsideration$ for cases not yet#assed to a##ellate court

6rounds for ew !rial5

. raud, accident, mista5es or e(cusable negligence

. ?ewly disco"ered e"idence3. C"idence is insufficient to justify a decision

rocedure in motions for new trial

. S!all be in writing stating t!e grounds. or cases of raud, motion for t!e cause s!all be su##ortedby affida"its of merits

3. or cases of new e"idence found, s!all be su##orted byaffida"its of witnesses w!om suc! e"idence is e(#ected to be

gi"enDow motion for new trial acted u#on

- !e judge may grant new trial on !is own motion if e"idence

was insufficient to justify !is decision- t is an act of discretion of t!e judge, w!ic! is non-a##ealable,

so long as !e !as not abused it

Effect of granting motion for new trial

- riginal judgment s!all be "acated, and action s!all stand fortrial de no"o, but recorded e"idence ta5en at former trial s!all

still be used u#on t!e new trial wit!out reta5ing t!e same- !ere s!all be new consideration of e"idence already

#resented and of t!e law a##licable to t!e case for #ur#ose ofrendering new judgment


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- 0eriod of 3* days begin to run u#on t!e recei#t of t!e newdecision and sto#s running u#on t!e #resentation of motion

0. /ppeal

- an effecti"e ordering of legal relations!i# in ci"il society is#ossible only w!en eac! court is granted e(clusi"e jurisdictiono"er t!e matter #ro#erly broug!t to it.

- A##eal may be ta5en by ser"ing u#on t!e ad"erse #artywit!in 3* days from notice of order of final judgment:

a. otice of /ppeal, s#ecify t!e #arties to t!e a##eal

b. /ppeal bondin t!e amount of 0*c. )ecord on /ppeal, s!all state t!e full name of all #arties in

t!e #roceedings- C(tension on a##eal s!ould be as5ed before t!e e(#iration of

t!e 3*-days #eriod

1. )eview of Decree of )egistration

- A"ailable only to an aggrie"ed #arty w!o !as been deprivedof land or estate b" decree of registration, and t!e only

ground t!at may in"o5ed for t!is #ur#ose is actual fraud

-#etition for re"iew may be filed at >1

- After #etition for re"iew !as been filed, o##osing #arty are

gi"en days to res#ond after co#y of t!e #etition !as beenser"ed

- A decree can only be re"iewed on cases of actual fraud,notwit!standing t!e fact t!at one year !as not ela#sed since its

issuance

- raud must consists an intentional omission of facts re/uiredby law, and must be actual and e*trinsic

- 0etition for re"iew of actual fraud cannot be a"ailed if landin"ol"ed is not #ri"ate in nature, but one t!at belongs to t!e

#ublic domain 7Abing " Amistad+

- 0ro#erty transferred to an innocent #urc!aser, #etition forre"iew can no longer #ros#er

1onditions 3ustif"ing a review of a decree of registration

are as follows5a. 0laintiff is t!e owner of t!e land, registered in t!e name oft!e defendant

b. >egistration #rocured t!roug! actual fraudc. 0ro#erty !as not been transferred to an innocent #urc!aser of

"alue

d. Action is filed wit!in one year from t!e issuance and entryof '>

1onstructive #raud

- nintentional dece#tion, negligence, mista5e of fact, or anytransaction w!ic! e/uity regards as wrongful- As to action for damages, actual fraud need not to be #ro"ed,

constructi"e fraud being sufficient

D. )eopening of Decree, O! an e*clusive remed"

- >emedy of #etitioning for t!e re"ision of t!e decree wit!in

one year is not e(clusi"e during t!at #eriod only.

- or cases of constructi"e fraud, t!e only remedy remaining tot!e de#ri"ed #arty is to file a #etition to com#el t!e registered

owner to:a. con"ey t!e #ro#erty to !im

b. as5 for damages e"en if t!e #eriod of one year from issuance

of decree !as not e(#ired

C. >elief from judgment- >ule 3E Sec of >ules of 1ourt, w!en a judgment is ta5en in

>1 t!roug! fraud, !e may file a #etition in suc! court #rayingt!at suc! judgment may be set aside


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orms and contents of #etition$ #eriod of filing

- 0etition must be "erified and filed wit!in si(ty days after

#etitioner learns of t!e judgment

- t must be accom#anied wit! affida"its s!owing fraud- 0etition of relief may be filed s!ould be com#uted not fromrenditionof judgment, but from entryof judgment.

E. )econve"ance

- !is remedy is always a"ailable as long as #ro#erty !as not

yet been transferred to t!ird #erson in "alue- >emedy of a landowner w!ose #ro#erty !as been wrongfully

registered in t!e name of anot!er, but w!ic! remedy cannot bea"ailed if propert" has passed on to an innocent purchaser

of value- t is an ens!rined rule t!at e"en a registered owner of #ro#ertymay be barred from reco"ering #ossession of #ro#erty by

"irtue of lac!es )Bda. 'e 1abrera " 1A+- >e/uisites: )a+ clear and con"incing e"idence$ )b+ fact of

fraud committed by #arty w!o registered t!e #ro#erty in !isname

- raud is a ground for recon"eyance

- A contract of recon"eyance #resu##oses t!e e(istence of a#rior agreement w!erein a #arty to w!om #ro#erty was

con"eyed underta5e t!e same to t!e ot!er #arty under certainterms and conditions )8acorte " 1A+

- 0rescri#tion: * years from t!e date of issuance of 1

- f action of recon"eyance based from fictitious deed of sale,action is null and void,

- Action for recon"eyance attac5s bot! t!e 3udgment ofcadastral court, and see5s confirmation by t!e court of

plaintiff title of land

- ne year #eriod for reo#ening of decree not a##licable torecon"eyance

- 8eaning5Action for >econ"eyance is not barred by t!e la#se

of one year

0u"er in 0ad #aith

- Samonte " 1A, or cases of a buyer in bad fait!, @eneral

rules says t!at a #erson dealing wit! registered land !as a rig!t

to rel" on the !orens 1O! and dispense with the need ofma4ing further in(uiries

- E*ception5 %!en #arty !as actual 5nowledge on t!e lac5 ordefects of t!e title

- 9eld: ne w!o falls in t!e e(ce#tion cannot be considered aninnocent #urc!aser in "alue or #urc!aser in good fait!$ t!us not

entitled to #rotection of law

)emedies available to aggrieved parties5

. @rounds for >eo#ening of 'ecree of >egistration- %!en rig!ts of #ersons de#ri"ed of land due to actual fraud

- ailure and omission of a##licant to disclose t!e fact of#!ysical #ossession constitutes actual fraud

. C(/ui"as " 1A

-


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- >emedy of an owner w!o !as fraudulently de#ri"ed of !island w!ic! was sold to an innocent purchaser for value, :"ears from date of discover" of deception

)e(uisites for claiming damages5a. 0erson is in reality, wrongfully de#ri"ed of !is land by t!eregistration in t!e name of anot!er by actual or constructi"e

fraudb. !ere was no negligence on !is #art

c. De is barred or in any way #recluded from bringing an action

for t!e reco"ery of landd. Action for #rescri#tion !as not #rescribed

Who are liable for damages?

- !e #erson w!o caused t!e damage s!ould be liable

- f #erson is insol"ent, go"ernment may #ro"ide com#ensationto answer for suc! damages

CHAPTER VII' CERTI(ICATE )( TIT*E

!orrens titleis t!e certificate of owners!i# naming and declaring t!e

owner in fee sim#le of t!e real #ro#erty described t!erein,

free from all liens and encumbrances e(ce#t suc! as may be

e(#ressly noted t!ereon or ot!erwise reser"ed by law.

$DE#E/S$0$&$!' O# / #)EE /!E! !$!&E5u#on t!e e(#iration of one year from t!e date of

#romulgation of t!e order of t!e 'irector of 8ands for t!e issuanceof #atent, and as long as t!e land dis#osed of is really #art of t!edis#osable land of t!e #ublic domain- becomes indefeasible andincontro"ertible. D%CBC>, indefeasibility of t!e title may not bar

t!e State, t!ru t!e Solicitor @eneral, from filing an action forre"ersion if t!ere !ad been any fraud or misre#resentation in t!e title.

1E)!$#$1/!E /S E;$DE1E O# !$!&E5a orrens certificate is t!e best e"idence of owners!i# of

registered land. t does not gi"e t!oug! t!e owner any bettertitle t!an w!at !e actually !as. De does not obtain anyt!ing

bigger t!at w!at !is title re#resents by "irtue of t!ecertificate.

W9O 9/S )$69! !O OSSESS OWE)egister of 'eeds in t!ename of t!e #erson in w!ose fa"our t!e land was decreed,and t!erefore s!all be deli"ered to t!e registered owner.

O)$6$/& /D !)/S#E) 1E)!$#$1/!E O#

!$!&E:Original 1ertificate of !itle 7O1!=F issued w!en land !as

been adjudicated and decreed in t!e name of its owner in a

registration #roceeding for t!e first time.!ransfer 1ertificate of !itle 7!1!+F w!en t!e 1 is

cancelled and re#laced by anot!er title, by reason of asubse/uent sale or transfer, t!e new certificate issued is

denominated


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Dence, t!e 1 is deri"ed to a common 1, it would besafe to conclude t!at t!e 1 issued at an earlier date s!ould

#re"ail. t!ere are two 1, t!en w!ic!e"er of t!e twotransfer t!at can be traced to t!e earlier 1 s!ould #re"ail.

)O!E1!$O O# $O1E! !9$)D E)SO

%!en innocent t!ird #ersons ac/uire rig!ts o"er a #ro#erty,t!e court cannot disregard suc! rig!ts nor order t!e totalcancellation of t!e certificate. or t!e effect of suc! anoutrig!t cancellation would be to im#air #ublic confidence int!e certificate of title.!e remedy t!oug! of t!e #erson #rejudiced is to bring an

action for damages against t!ose w!o caused t!e fraud, and ift!e latter are insol"ent, an action against t!e reasurer of t!e

0!ili##ines may be filed for reco"ery of damages against t!eAssurance und.

6OOD #/$!9, 9OW DE!E)8$EDt !as been #re"iously !eld t!at a #urc!aser in good fait! isone w!o buys t!e #ro#erty of anot!er wit!out notice t!atsome ot!er #erson !as a rig!t to or interest on suc! #ro#erty,and #ays a full and fair #rice for t!e same. t is enoug! t!at !ee(amines t!e latest certificate of title w!ic! was issued in t!ename of t!e immediate transferor. n ot!er words, it is t!atOW&ED6E O# %)19/SE)

DOES O! 1OS!$!%!E 0/D #/$!9Section 39 of Act ?o.496, as amended by Act ?o. *,egistry of

0ro#erty.

S/&E 0' 1O-OWE)S!e owner of an undi"ided interest in t!e #ro#erty !as t!erig!t to freely sell and dis#ose of only !is rig!ts, #artici#ationand interest in an undi"ided #ro#erty !eld in common wit!


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ot!ers, but !as no rig!t to sell a s#ecific #art, by metes andbounds, of t!e #ro#erty.

S&$!!$6 O) 1OSO&$D/!$O O# !$!&ESt is necessary t!at t!e consolidation #lan s!owing t!e lots to

be affected, be #assed t!ru t!e Administrator, wit!out w!ose

aut!ority t!e >egistrar of 8and itles and 'eeds cannot issueany new certificate of title for t!e consolidated lot or lots.

!O))ES !$!&E 0$DS !9E &/D !O S'S!E8

#O)E;E)!e obtaining of a decree of registration and t!e entry of acertificate of title s!all be regarded as an agreement running

wit! t!e land, and binding u#on t!e a##licant and allsuccessors in title.

!O))ES !$!&E O! S%0JE1! !O )ES1)$!$O>egistered title under t!e orrens system cannot be defeated

by #rescri#tion. A title once registered cannot be defeated,e"en by ad"erse, o#en, and notorious #ossession.

&/D )E6$S!)/!$O2 !$!&ED &/D 1/O! 0E

/1%$)ED 0' )ES1)$!$O?o title to registered land in derogation to t!at of t!eregistered owner s!all be ac/uired by #rescri#tion or ad"erse

#ossession. A torrens title cannot be collaterally attac5ed.!e title may be c!allenged only in a #roceeding for t!at

#ur#ose, not in an a##lication for registration of land alreadyregistered in t!e name of anot!er #erson.

)$69! !O )E1O;E) OSSESS$O E%/&&'$8)ES1)$!$0&E!e rig!t to reco"er #ossession of t!e registered #ro#erty ise/ually im#rescri#tible, since #ossession is a mereconse/uence of owners!i# to a registered owner under t!e

orrens system.

&/19ES W9E !O DE#E/! $8)ES1)$!$0$&$!'

O# !O))ES !$!&E%!ile it cannot be denied t!at no title to registered land in

derogation to t!at of t!e registered owner s!all be ac/uired

by #rescri#tion or ad"erse #ossession, t!is legal guaranteemay in a##ro#riate cases yield to t!e rig!t of a t!ird #erson

on t!e e/uitable #rinci#le of lac!es. Accordingly, it was !eldt!at, w!ile t!e defendant may not be considered as !a"ing

ac/uired title by #rescri#tion based on !is and !is

#redecessors long continued #ossession for 37 years, t!eregistered owners rig!t to reco"er t!e #ossession of t!e

#ro#erty as well as t!e title t!ereto from t!e defendant !as,by t!e long #eriod of 37 years and by #atentees inaction andneglect, been con"erted into a stale demand, t!us barring t!eoriginal owner from reco"ering t!e #ossession of suc! titledland by lac!es. n ot!er words, 5ee#ing silent, ne"er claimingt!e land for a long time, say almost 3* years, t!e /uiescenceand inactions are sufficient to command t!e im#osition oflac!es against t!eir ad"erse claims.

!O))ES !$!&E2 $DE#E/S$0$&$!' O# !9E S/8E2)ES1)$!$O

0rescri#tion does not run against registered land. nderSection 47 0.'. 9, no title to registered land inderogation of t!at of t!e registered owner s!all be ac/uired

by #rescri#tion or ad"erse #ossession. !e certificate of titleissued is an absolute and indefeasible e"idence of owners!i#of t!e #ro#erty in fa"our of t!e #erson w!ose name a##earst!erein. t is binding and conclusi"e u#on t!e w!ole world,and t!at all #ersons must ta5e notice and no one can #leadignorance of t!e registration.

E;$DE!$/)' ;/&%E O# 1E)!$#$1/!E O# !$!&Et is a conclusi"e e"idence wit! res#ect to t!e owners!i# oft!e land described t!erein, and ot!er matters w!ic! can belitigated and decided in land registration #roceedings.

$DE#E/S$0$&$!' /D $8)ES1)$!$0$&$!' O# /

!O))ES !$!&E0rescri#tion does not run against registered land F title, onceregistered, cannot be defeated e"en by ad"erse, o#en andnotorious #ossession.


11/29

a( declarations and ta( recei#ts can not #re"ail o"er acertificate of title w!ic! is an incontro"ertible #roof of

owners!i#.

E##$1/1' O# 1E)!$#$1/!E O# !$!&E 0/SED O /

/!E!An 1 issued by t!e >egister of 'eeds under anadministrati"e #roceeding is as indefeasible as certificate oftitle issued under judicial #roceedings.

Cha&ter VIII

V)*UNTAR+ DEA*ING, -ITH

REGI,TERED *AND,

What operates to conve" or affect registered lands.

t is t!e act of registration t!at o#erates to con"ey registered

land or affect title t!ereto. !us, Section * of Act 496, as amendedby Section of 0residential 'ecree ?o. 9&y registration, it creates constructi"e notice to t!e w!ole world.

ractical applications of the law.

nder t!e orrens system, registration is t!e o#erati"eact t!at gi"es "alidity to t!e transfer or creates a lien u#on t!eland )Secs. * and , 8and >egistration Act+.

A #erson dealing wit! registered land is not re/uired to go

be!ind t!e register to determine t!e condition of t!e #ro#erty. De isonly c!arged wit! notice of t!e burdens on t!e #ro#erty w!ic! arenoted on t!e face of t!e register or t!e certificate of title. A bona fide #urc!aser for "alue of suc! #ro#erty at an auction sale ac/uires

good title as against a #rior transferee of t!e same #ro#erty if suc!transfer was unrecorded at t!e time of t!e auction sale.

!e e(istence or absence of good fait! will, of course, !a"e

to be determined u#on t!e facts and t!e legal en"ironment of eac!

#articular case .n s!ort, a #urc!aser in good fait! of realty ac/uiresagood title as against all t!e transferees t!ereof w!ose rig!t is notrecorded in t!e >egistry of 'eeds at t!e time of t!e sale.

!e general rule t!at one w!o buys from a #erson w!o is not

t!e registered owner is not a #urc!aser in good fait! does not a##lyto a case w!ere t!e seller, w!ile !e may not !a"e been t!e registeredowner of t!e land at t!e time of t!e sale, ac/uired subse/uently "alidtitle to t!e land in !is own name, w!ic! title was t!en transferred tot!e "endee.

t was affirmed t!at under Section * of Art ?o. 496

instruments e(ecutedby t!e owners #ur#orting to transfer orencumber registeredland s!all o#erate only as e"idence of aut!orityto t!e >egister of'eeds to effect registration, and t!at it is t!e act ofregistration t!ats!all be t!e o#erati"e act to con"ey and effect t!eland.

rocess of registration0ro"ides t!at no new certificate of title s!all be entered or issuedu#on any transfer of registered land w!ic! does not di"est t!e land in

fee sim#le from t!e owners or from someone of t!e registeredowners.

All interests in registered land less t!an an estate in fee sam#le areregistered by filing wit! t!e >egister of 'eeds t!e instrumentcreating or transferring or claiming suc! interests, and t!is officialma5es a brief memorandum t!ereof u#on t!e certificate of title,signed by !im. A similar memorandum is also made on t!e ownersdu#licate. n li5e manner, t!e cancellation or e(tinguis!ment of suc!interests is registered.


12/29

Entr" in da" boo4 not sufficient accomplishment of

registration%!ile t!e effect of registration retroacts as of t!e date of t!e entry oft!e document in t!e day boo5 of t!e >egister of 'eeds, registration is

not considered accom#lis!ed until and unless a memorandum of suc!document is made on t!e certificate of title

Sufficienc" of registration of voluntar" dealings in landegister of 'eeds is in duty bound to #erform it entry of t!edeedin t!e day boo5 is not sufficient registration must be rejected bot!u#on law and u#on aut!ority. t is u#on law for t!e reason t!atSection 6 of t!e 8and >egistration Act says t!at deeds relating toregistered land s!all, u#on #ayment of t!e fi ling fee, be entered int!e entry boo5 I also called day boo5 in t!e same section I wit!notation of year, mont!, day, !our, and minute of t!eir rece#tion andt!at egister of 'eeds in order to accom#lis! suc!registration.

!us, it was rig!tly !eld t!at in "oluntary registration, t!e#resentation of t!e deed of sale and its entry in t!e day boo5 wit!outt!e surrender of t!e title did not o#erate or con"ey and affect t!e landsold or con"eyedt!e #erson claiming to be entitled t!ereto s!alla##ly by #etition to t!e court w!ic!, after !earing, may order t!e

registered owner orany #erson wit!!olding t!e title to surrender t!esame, and direct t!e entry of a new certificate u#on suc! surrender

Effect of failure to register.%!ile it is true t!at t!e act of registration of a deed of sale ofland is t!e egister of'eeds to ma5e registration= )Sec. . 0.'. ?o. 9+, t!e #urc!aser

does not necessarily lose !is rig!ts by !is mere failure to registeruntil after a t!ird #arty w!o !as ac/uired t!e land in good fait! and

for "alue s!all !a"e registered t!e subse/uent deed. Dowe"er, t!e#urc!aser w!o 5nows or oug!t to 5now t!at t!e land !e is ac/uiring

!as #re"iousJy been sold, but w!ic! sale !as not been registered, isnot a #urc!aser in good fait! and for t!at reason !is ac/uisitioncannot defeat t!e rig!t of t!e first #urc!aser on t!e mere ground t!att!e second deed!as been registered.

t is a well-settled rule t!at registration is not necessary to ma5ea contract of sale "alid and effecti"e as between t!e #arties t!ereto.


13/29

or, actual notice is e/ui"alent to registration. !is #rinci#le !olds

true wit! res#ect to #ri"ies of t!e contracting #arties. t is li5ewisesettled t!at t!e #ur#ose of registration is to gi"e notice to t!ird

#ersons.

n ot!er words, as between t!e #arties and t!eir #ri"ies, anunrecorded deed of sale co"ering land registered under t!e orrenssystem #asses title of owners!i# o"er t!e land t!erein con"eyed tot!e"endee. ailure of registration would not, at anytime after t!esale, "itiate or annul t!e rig!t of owners!i# conferred by suc! sale

Elevation of doubts and controversies to 1ommissioner of

&and )egistration 7now /dministrator of &and

)egistration

/uthorit"=#arty in interest cannot by#ass t!e 1ommissioner in suc! matters. o#ermit suc! a recoursewould be de"iating from t!e doctrine of e(!austion of administrati"eremedies, w!ic! is so well-settled in t!is jurisdiction. t re/uires t!at

w!ere an administrati"e remedy is #ro"ided by statute, relief must besoug!t by e(!austing t!is remedy before t!e courts will act.

!is doctrine is said to rest u#on t!e #resum#tion t!at t!e

administrati"e agency, if gi"en a com#lete c!ance to #ass u#on t!ematter, will decide correctly

/ppeal from decision of &and )egistration 1ommission

7now

the &and )egistration /uthorit"=w!en a #arty in interest disagrees wit! t!e ruling or resolution of t!e1ommissioner of 8and >egistration and t!e issue in"ol"es a /uestion

of law, a##eal could be ta5en t!ere from to t!e 1ourt of A##eals,instead of t!e Su#reme 1ourt, wit!in fifteen days after notice,

regardless of w!et!er t!e a##eal in"ol"es /uestions of fact, mi(ed

/uestions of fact and law, or /uestions of law, or all t!e t!ree 5indsof /uestions.

)egister of Deeds not authori+ed to determine whether or not

fraud was committed in the deed sought to be registered.

!e duties enjoined u#on t!e >egister of 'eeds by Section 7of t!e 8and >egistration Act are clearly ministerial and mandatoryin c!aracter, not only as indicated by t!e au(iliary egistry of 'eeds of "oluntarycon"eyances of real #ro#erty under t!e orrens system is mainly


14/29

controlled by t!e 8and >egistration Act, as amended. Among ot!ers,t!is statute #ro"ides t!at t!e act of registration is t!e o#erati"e act to

con"ey and affect registered land. !e re/uirements for deeds andot!er "oluntary instruments of con"eyance to be registrable t!ere

under are s#ecified in t!e law, t!us: )+ !e #resentation of t!e

owners du#licate certificate w!ene"er any duly e(ecuted "oluntaryinstrument is filed for registration$ )+ t!e #ayment of t!e #rescribedregistration fees and t!e re/uisite documentary stam#s$ )3+ t!ee"idence of full #ayment of real estate ta( as may be due$ and )4+ t!einclusion of one e(tra co#y of any document of transfer or alienationof real #ro#erty, to be furnis!ed t!e city or #ro"incial assessor. #onsatisfaction of suc! minimum re/uirements set by t!e e(istingstatutes, it becomes t!e duty of t!e >egister of 'eeds to gi"e courseto registration.

?o entity, e(ce#t t!e legislature itself, may add to or detractfrom or ot!erwise alter or amend t!e re/uirements it !as so

enumeratedI and t!en only by t!e corres#onding amendment of t!ee(istingstatutes or t!e enactment of new ones.

Sale of lands to aliens.#riven$o vs% egister of Deedsof &anila3* !eld t!at aliens are not allowed to ac/uire owners!i# ofurban or residential lands in t!e 0!ili##ines, and as a conse/uence,all ac/uisitions made in contra"ention of t!e #ro!ibition since t!efundamental law became effecti"e are null and "oidper se and abinitio%t!e 1onstitutionwas not in force during t!e ;a#anese militaryoccu#ation and t!erefore t!e constitutional #ro"ision dis/ualifying

aliens from ac/uiring real #ro#erty in t!e 0!ili##ines was nota##licable and t!e doctrinelaid down in t!e Kri"en5o case cannot bein"o5ed in a sale t!at too5#lace during said occu#ation.>ig!t to re#urc!ase is not contem#lated by t!e constitutional

#ro!ibition. !us, an alien w!o "alidly owns agricultural land, w!ic!!as been sold at #ublic auction for ta( delin/uency, may a"ail!imself of t!e rig!t to re#urc!ase t!e same wit!in t!e #eriod

#rescribed by t!e Assessment 8aw. Suc! rig!t is but an incident oft!e rig!t of owners!i# and its e(ercise by t!e owner, w!o !a##ens to

be an alien, does not fall wit!in t!e #ur"iew of t!e terms egister of 'eeds s!owing

t!e date and #lace of !is birt!$ t!e names and addresses of !is

#arents, of !is s#ouse and c!ildren, if any$ !is intention to reside#ermanently in t!e 0!ili##ines$ t!e date !e lost !is citiens!i# andt!e country of w!ic! !e is #resently a citien$ and suc! ot!er

information as may be re/uired by #ertinent rules and regulationsissued by t!e Secretary of ;ustice.

!ransfer of private land to natural-born citi+en of the

hilippines who has lost his hilippine citi+enship.!e transfer as a mode of ac/uisition in said law refers to eit!er


15/29

"oluntary sale, de"ise or donation, or in"oluntary sales on ta(delin/uency, foreclosure and e(ecution of judgment. or ot!er

#ur#oses, !e s!all still be entitled to be a transferee of additionalurban or rural land for business or ot!er #ur#oses w!ic! w!en added

to t!ose already owned by !im s!all not e(ceed t!e ma(imum areas

!erein aut!oried.A transferee under t!is Act may ac/uire not more t!an two )+lots w!ic! s!ould be situated in different munici#alities or citiesanyw!ere in t!e 0!ili##ines: 0ro"ided, t!at t!e total land area t!ereofs!all not e(ceed fi "e t!ousand ),***+ s/uare meters in t!e case ofurban land or t!ree )3+ !ectares in t!e case of rural land for use by!im for business or ot!er #ur#oses. A transferee w!o !as alreadyac/uired urban land s!all be dis/ualified from ac/uiring rural landand "ice "ersa.=!e law refers to former citiens of t!e 0!ili##ines w!o werenatural born. f t!ey were naturalied and lost 0!ili##ine citiens!i#,

t!ey are not /ualified to ac/uire lands under t!e afore/uoted laws.!is is so because of t!e #ublic #olicy t!at land in t!e 0!ili##ines isreser"ed for t!e ili#inos.

/merican landholdings.Accordingly, citiens of t!e nited States w!o were formerlycitiens of t!e 0!ili##ines or w!o on 2ay 7, 976 !ad resided int!e 0!ili##ines continuously for at least twenty years, and w!o ingood fait! !ad ac/uired #ri"ate residential lands in t!e 0!ili##inesnot e(ceeding ,*** s/uare meters for a family dwelling before ;uly3, 974, are allowed to continue to !old suc! lands indefinitely and

to transfer owners!i# t!ereof to /ualified #ersons or entities. !esame rig!t is granted to t!ose citiens of t!e nited States w!o !a"e

become #ermanent residents of t!e 0!ili##ines and w!o ac/uired#ri"ate residential lands of not more t!an ,*** s/uare meters for afamily dwelling. %it! res#ect to American land!oldings not co"ered

by t!e abo"e s#ecial concession, 0residential 'ecree ?o. 66E issued2arc! 7, 97, !as aut!oried t!e ?ational 'e"elo#ment 1om#any,a go"ernment-owned cor#oration, to ac/uire, !old, de"elo# anddis#ose all lands

ac/uired by Americans under t!e 0arity Amendment before t!etermination on ;uly 3, 974 of t!eir rig!t to ac/uire suc! lands.

Dowe"er, wit! res#ect to lands ac/uired by Americans #rior to;uly 4, 946, suc! ac/uisition !as been !eld as "ested rig!ts and as

suc! cannot be im#aired

Simultaneous registration of sales coursed thru alien bu"er

/llowednless t!e court s!ould !old ot!erwise, it seems t!at w!erean alien ac/uired residential land by #urc!ase but before t!e saleis registered in !is name !e !as already dis#osed of t!e land to onelegally /ualified, t!e simultaneous registration of t!e two successi"esales may fa"orably be acted u#on,t may be true t!at an alien,e(ce#t an American, may not now ac/uire residential lots in t!is

jurisdiction, and t!at !e may not t!erefore register t!e sale of suc!

lots in !is fa"or, but t!is is so only if t!e #ur#ose of t!e registrationis to ma5e !im t!e owner of t!e land. %!ere suc! registration wouldser"e only as a means to com#lete and #erfect t!e title of a #erson orentity not ot!erwise dis/ualified to ac/uire t!e land, t!e registrationof suc! a deed would not, in t!e o#inion of t!e undersigned)Secretaryof ;ustice+, contra"ene any #ro"ision of law or of t!e 1onstitution.!e e"il soug!t to be a"oided by t!e constitutional in!ibition, as

recently construed by t!e Su#reme 1ourt, is to #re"ent any #ortionof our lands, including residential lots, from falling into t!e !ands of

aliens. Suc! an e"entuality is not #resent !ere, because t!e

registration,it !as already been said, is soug!t not to "est title in an alien

but sim#ly to enable an entity /ualified to !old t!e land to #erfect its

title.=

Effect of naturali+ation of alien bu"er.n a sale of #ri"ate agricultural land to an alien dis/ualified to!old title t!ereto, t!e "endor di"ests !imself of t!e title to suc! landand is not #ermitted to sue for t!e annulment of t!e sale. !e alien


16/29

buyer !olds suc! title against t!e w!ole world, e(ce#t against t!eState. &ut w!ere t!e State !as not commenced esc!eat #roceedings

and in t!e meantime t!e alien !as become a naturalied citien oft!e 0!ili##ines, t!e State s!all be deemed to !a"e wai"ed its rig!t to

esc!eat t!e #ro#erty and t!e title of t!e alien t!ereto becomes lawful

and "alid as of t!e date of its ac/uisition or transfer to !im. or if t!eaim of t!e ban on alien from ac/uiring land is to #reser"e suc! andfor future generations of ili#inos, t!at aim would not be t!warted

by ma5ing lawful suc! ac/uisition of an alien w!o !as now becomea alse narration of facts in a deed of sale of real #ro#erty mayconstitute falsification of #ublic document. t was t!us !eld t!at analien woman !as t!e legal obligation to disclose !er true citiens!i#0ili#ino by naturaliation.in a contract of sale of real #ro#erty w!ere t!e disclosure of t!e trut!would !a"e rendered t!e sale a #atent nullity as "iolati"e of t!e1onstitution #ro!ibiting aliens from ac/uiring #ri"ate agricultural

lands, and suc! act of false disclosure t!erein does not cease to be anoffense #unis!able under t!e >e"ised 0enal 1ode, by t!e subse/uentnaturaliation of !er !usband.

/c(uisition of land with mone" furnished b" alien, when

valid.((( ac/uisition by a citien of t!e 0!ili##ines of #ri"ate

agricultural landswit! money gi"en or donated to !im by an alien,

#ro"ided t!e transaction was done in good fait!, is "alid w!at is#ro!ibited by t!e 1onstitution and t!e statutes is t!e ac/uisition of

#ri"ate agricultural lands by an alien for !imself.

)egistration of alien corporation not a prere(uisite to

owning real propert".?o law or #ro"ision of t!e 1or#oration 8aw w!ic! #ro!ibits

a business concern not aut!oried to transact business from buyingor owning real #ro#erty.=

nder >A 67, e"ery cor#oration aut!oried to engage inagriculture s!all be restricted to t!e owners!i# and control of not to

e(ceed ,*4 !ectares of land

1onstitutional bar against #ri"ate cor#orations ac/uiring

alienable lands of t!e #ublic domain in t!e 0!ili##ines:-lease only limited to ,*** !a and under art. L,

sec 3 of consti, suc! s!all not e(ceed yrs and renewable for t!esame #eriod

E*ception to the prohibition5

-w!en at t!e time suc! cor#oration ac/uired t!eland, its #redecessors-in-interest ac/uired it by

#rescri#tion, enabling it to con"ey title to t!ecor#oration

-#ri"ate cor# may institute confi rmation#roceedings under Section 4E)b+ of t!e 0ublic 8andAct if, at t!e time of institution of t!e registration

#roceedings, t!e land was already #ri"ate land-w!ere rig!ts are already "ested before t!e law of

#ro!ibition came into effect-w!en transaction were #erfectly "alid and #ro#er

'eterminati"e of t!is issue is t!e c!aracter of t!e #arcels ofland I w!et!er t!ey were still #ublic

land or already #ri"ate I w!en t!e registration #roceedings were

commenced. f t!ey were already #ri"ate lands, t!e constitutional#ro!ibition against ac/uisitions by a #ri"ate cor#oration would nota##ly. )?ati"idad "s. 1A, * S 439+

/lien religious corporation dis(ualified.

-ac/uisition of land in t!e 0!ili##ines is limited only to itscitiens, or to cor#orations or associations at least si(ty #er centumof t!e ca#ital of w!ic! is owned by suc! citiens


17/29

-a deed of donation of a #arcel of land e(ecuted by a ili#ino

citien in fa"or of a religious organiation w!ose founder, trusteesand administrator are non-ili#inos, cannot be admitted for

registration

1orporation sole as mere administrator of church propert"

not contemplated in constitutional prohibition.

-sale of land in fa"or of t!e >oman 1at!olic A#ostolicAdministrator of 'a"ao, nc., a cor#oration sole, t!oug! t!e actualincumbent be a 1anadian citien, does not "iolate t!e fundamentallaw and t!erefore may be registered. t is, of course, assumed andt!is is a matter of #ublic 5nowledge t!at t!e 1at!olic #o#ulation of'a"ao consists o"erw!elmingly of ili#inos, or far more t!an si(ty

#ercent.

$mportance of address in the records.

-?otices and #rocesses in relation to registered land aremailed to t!e addresses of #ersons s!own in t!e records. o 5ee# t!isinformation u#-to-date, Section of t!e 0ro#erty >egistration'ecree re/uires t!at any c!ange in t!e residence or #ost offi ceaddress of suc! #erson s!all be endorsed by t!e >egister of 'eeds ont!e original instrument, on recei"ing a sworn statement of suc!c!ange

Owneregister of 'eeds !as no aut!ority to register a

con"eyance in fee sim#le or w!ene"er any "oluntary instrument is#resented for registration wit!out t!e #resentation of t!e "endorsdu#licate certificate unless !e is ordered to do so by a court ofcom#etent jurisdiction.

$ssuance of transfer certificate of title to purchaser

essential.

-!e entry of a memorandum of a con"eyance in fee sim#leu#on t!e original certificate of title wit!out t!e issuance of a transfercertificate of title to t!e #urc!aser is not a sufficient registration ofsuc! con"eyance

-!e only e(ce#tion to t!is rule is in t!e case of a sale of anunsegregated #ortion )#art only+ of a #arcel of land co"ered by a

certificate of title

#orged deed as root of valid title.

-A forged deed is a nullity and con"eys no title

-A deed of sale e(ecuted by an im#ostor wit!out t!eaut!ority of t!e owner of t!e land sold is a nullity, and registrationwill not "alidate w!at ot!erwise is an in"alid document. Dowe"er,w!ere t!e certificate of title was already transferred from t!e name oft!e true owner to t!e forger, and w!ile it remained t!at way t!e landwassubse/uently sold to an innocent #urc!aser, t!e "endee !ad t!e rig!t

to rely u#on w!at a##eared in t!e certificate and, in t!e absence ofanyt!ing to e(cite sus#icion, was under no obligation to loo5 beyond

t!e certificate and in"estigate t!e title of t!e "endor a##earing on t!e


18/29

face of said certificate.6 !is is a concrete instance to illustrate !owa forged deed may be t!e root of a "alid title in a bona fide#urc!aser

-as between two innocent #ersons, t!e mortgagee and one of

t!e mortgagors, t!e latter w!o made t!e fraud #ossible by !is act of

confidence must bear t!e loss$ it is essential, t!oug!, t!at t!e fraudbe made #ossible by t!e owners act in entrusting t!e certificate oftitle to anot!er. %!ere t!e mortgage is admittedly a forgery and t!eregistered owner !as not been s!own to !a"e been negligent or inconni"ance wit! t!e forger, t!e mortgage cannot be enforced againstt!e owner$

-one w!o consents to be a mortgagee wit!out ta5ingsufficient care to see to it t!at t!e #erson w!o e(ecuted t!e deed ofmortgage is t!e real registered owner of t!e #ro#erty is guilty ofnegligence and must suffer for it

-law #rotects t!e innocent #urc!aser for "alue w!o relied ont!e records found in order in t!e registry, and t!at !e ac/uired t!e

#ro#erty or rig!ts t!erein in good fait! and for "alue.

-w!ere t!e #ro#erty mortgaged was not owned by t!emortgagor )li5e forged deed+ t!e mortgage is null and "oid, and t!e

#urc!aser of t!e mortgaged #ro#erty ac/uired no better rig!ts, t!eregistration of t!e mortgage notwit!standing

-in order t!at t!e !older of a certificate for "alue issued by "irtue of

t!e registration of a "oluntary instrument may be considered a !olderin good fait! for "alue, t!e instrument registered s!ould not beforged. Suc! situation does not obtain w!ere t!e #urc!aser !as been

t!e "ictim of im#ostors #retending to be t!e registered owners butw!o are not said owners

)e(uisites of an action for reconve"ance 7presupposes e*istence

of defrauded part"=5

)+ clear and con"incing e"idence of title to t!e#ro#erty$ and

)+ fact of fraud committed by t!e #arty w!o

registered t!e #ro#erty in !isM!er name.

-0urc!aser in good fait!-A #urc!aser or mortgagee cannot close !is eyes to

facts w!ic! s!ould #ut a reasonable man on !is guard, andt!en claim t!at !e acted in good fait! under t!e belief t!att!ere was no defect in t!e title of t!e "endor or mortgagor.

-!e #resence of anyt!ing w!ic! e(cites or arousessus#icion s!ould t!en #rom#t t!e "endee to loo5 beyond t!ecertificate and in"estigate t!e title of t!e "endor a##earingon t!e face of said certificate.

-A #urc!aser in good fait! is one w!o buys t!e#ro#erty of anot!er, wit!out notice t!at some ot!er #erson!as rig!t to, or interest in, suc! #ro#erty and #ays notice oft!e claim or interest of some ot!er

#ersons in t!e #ro#erty.

-An innocent #urc!aser for "alue is one w!o buyst!e #ro#erty of anot!er wit!out notice t!at some ot!er #erson!as a rig!t to or interest in suc! #ro#erty and #ays a full and

fair #rice for t!e same at t!e time of suc! #urc!ase or before

!e !as notice of t!e claim of anot!er #erson.

-!e annotation of usufructuary rig!ts does not

im#ose u#on t!e mortgagee-buyer t!e obligation toin"estigate t!e "alidity of its mortgagors title.

-%!at defines a #iece of land is not t!e area calculated wit!

more or less certainty, by t!e tec!nical descri#tion, but t!eboundaries laid down as enclosing t!e land and indicating its limits.


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/n innocent part" who relied on a registered power of

attorne" not protected.

-one w!o buys from a #erson w!o is not t!e registered owner

)as in atty-in-fact+ is e(#ected to e(amine not only t!e certificate butalso all factual circumstances necessary for !im to determine if t!ereare any flaws in t!e title of t!e transferor, or in !is ca#acity totransfer t!e land.

Sale b" non-owner validated b" subse(uent ac(uisition b"

seller.

-w!en a #erson, w!o was not t!e owner of t!e land !e !assold or alienated, afterwards ac/uires title t!ereto, suc! title #asses

by o#eration of law to t!e buyer or grantee

-f t!e "endor is not t!e owner of t!e #ro#erty at t!e time oft!e sale, t!e sale is null and "oid, e(ce#t w!en subse/uentlyconfirmed or ratified

-t is true t!at if a #erson sells t!at w!ic! !e does not own

and subse/uently ac/uires a title t!ereto by succession, suc! title#asses by o#eration of law to t!e buyer, )Art. 434, ?11+, Nes, t!at

is true only, if at t!e time of deat! of t!e owner, !e was still t!eowner of t!e #ro#erty$ ot!erwise, !e cannot transmit successional

rig!ts.

-n double sales, w!at is rele"ant and material is not w!et!ert!e second buyer is a buyer in good fait! but w!et!er !e registeredt!e sale in good fait!.

-A torrens title is conclusi"e and indefeasible. t cannot bet!e subject of a collateral attac5 and cannot be altered, modified orcancelled e(ce#t in a direct #roceeding.

Order of entries and pa"ment of fees.

-Section 6 of Act ?o. 496, as amended by 0.'. ?o. 9,directs t!at eac! >egister of 'eeds s!all 5ee# an entry boo5 inw!ic!, u#on #ayment of t!e filing fee, !e s!all enter in t!e order of

t!eir rece#tion all deeds and ot!er "oluntary instruments, and allco#ies of writs or ot!er #rocesses fi led wit! !im relating toregistered land

Who spends for registration of sale.

-&y e(#ress #ro"ision of Article 4E7 of t!e new 1i"il 1ode,

t!e e(#enses for t!e registration as well as for t!e e(ecution of t!esale are to be borne by t!e "endor, unless t!ere is a sti#ulation to t!econtrary. Attorneys fees for t!e #re#aration of t!e necessary #a#ers

and cost of documentary stam#s are deemed included in suc!e(#enses.

)egistered instruments as public records.

-%!ile t!e >egister of 'eeds !as discretion to determine t!emanner in w!ic! #ersons desiring to ins#ect, e(amine or co#y t!erecords in !is office may e(ercise t!eir rig!ts, suc! #ower does not

carry wit! it t!e aut!ority to #ro!ibit.

1opies of instruments.

-%it! t!e #assage, !owe"er, of >e#ublic Act ?o. 46, it isnow re/uired t!at e"ery document of transfer of alienation of real

#ro#erty filed wit! t!e >egister of 'eeds be accom#anied wit! ane(tra co#y to be transmitted by said officer to t!e city or #ro"incialassessor, irres#ecti"e of w!et!er said document !as been registeredor denied


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registration. &ut mere failure to furnis! t!e re/uired e(tra co#y of t!edocument will not o#erate to in"alidate w!at ot!erwise is a "alid

agreement.

riorit" of registration determined according to entries in

da" boo4.

-w!en registration is accom#lis!ed, its effect retroacts as oft!e date of t!e entry in t!e day boo5. &ut, ifit could not be accom#lis!ed at all, t!e #rimary entry in t!e day boo5automatically loses its force and effect.

#ailure to e*amine entries not constituting negligence.-?egligence s!ould not be im#uted to one w!o did not go

be!ind a certificate of title in "iew of t!e fact t!at if t!e >egister of

'eeds !as #erformed !is legal duty suc! a certificate s!ould s!ow all

encumbrances on t!e land described t!erein.

Date of registration prevails over date of discover".-it was !eld t!at t!e weig!t of aut!orities is to t!e effect t!at

t!e registration of an instrument in t!e ffice of t!e >egister of'eeds constitutes constructi"e notice to t!e w!ole world, and,

t!erefore, disco"ery of fraud is deemed to !a"e ta5en #lace at t!etime of t!e registration

!he mirror principle

-A #urc!aser is not re/uired to e(#lore beyond w!att!e record in t!e registry indicates on its face

-in t!e absence of any sign t!at mig!t arosesus#icion, !as no obligation to underta5e furt!erin"estigation

Effect of registration of title in the hands of a bu"er in bad faith2

prescription of an action for reconve"ance2 laches.

-registration does not "est title, it is merely e"idenceof suc! title o"er a #articular

-!e defense of indefeasibility of orrens title doesnot e(tend to a transferee w!o ta5es t!e

certificate wit! notice of a fl aw in !is title.

-An action for recon"eyance of a #arcel of landbased on im#lied or constructi"e trust #rescribes in * years,t!e #oint of reference being t!e date of registration of t!edeed of t!e date of issuance of t!ecertificate of title o"er t!e #ro#erty but t!is rule a##lies onlyw!en t!e #laintiff or t!e #erson enforcing t!e trust is not in

#ossession of t!e #ro#erty$ since if t!e #erson claiming to bet!e owner t!ereof is in actual

#ossession of t!e #ro#erty t!e rig!t to see5 recon"eyance,w!ic! in effect see5s to /uiet title to t!e #ro#erty, does not

#rescribe

rotection of bu"ers in good faith.

-under t!e orrens system of registration, t!eminimum re/uirement for one to be a buyer in good fait! ist!at t!e "endee at least sees t!e owners du#licate co#y oft!e title and relies on t!e same

Effect of registration of simulated sale.

-!e orrens system does not create title. t onlyconfirms and records titles already e(isting and "ested. t

does not #rotect a usur#er from t!e true owner. t cannot be a

s!ield for commission of fraud. t does not #ermit one toenric! !imself at t!e e(#ense of anot!er

ossession2 effect of e*ecution of deed of sale

-#rior #!ysical deli"ery or #ossession is not legally

re/uired and t!e e(ecution of t!e deed of sale is deemede/ui"alent to deli"ery.


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Sale with assumption of mortgage

-in sales wit! assum#tion of mortgage, t!e

assum#tion of mortgage is a condition to t!e sellers consentso t!at wit!out a##ro"al of t!e mortgagee, no sale is

#erfected.

$ssuance of transfer certifi cate after e*ecution sale

-t!e #urc!aser at an e(ecution sale may #etition fort!e issuance of a new certifi cate of title to !im, subject tot!e condition t!at before entry of a new certificate of title,t!e registered owner may #ursue all legal and e/uitableremedies to im#eac! or annul suc! #roceedings

E*tent of obligation covered b" mortgagee

-an action to foreclose a mortgage is usually limited

to t!e amount mentioned in t!e mortgage, but w!ere on t!efour corners of t!e mortgage contract t!e intent of t!econtracting #arties is manifestt!at t!e mortgaged #ro#erty s!all also answer for futureloans or ad"ancements, t!en t!e same is not im#ro#er as it is"alid and binding between t!e #arties

)estriction of homestead right to dispose of the land within @

"ears

-Cncumbrances !as been defined as anyt!ing t!at

im#airs t!e use or transfer of #ro#erty, anyt!ing w!ic!

constitutes a burden on t!e title, a burden, c!arge or lienu#on #ro#erty. !e restriction on t!e enjoyment of #ro#ertyim#osed by a contract of lease sufficiently meets t!e

definition of an encumbranceunder Section E of t!e 0ublic 8and Act because suc!

contract


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- incidentally, w!ere t!e !usband sold t!e land and !ouse

s#ecially in fa"or of !is concubine after !e !ad abandoned

!is own family, it was !eld t!at t!e sale was null and "oid

for being contrary to morals and #ublic #olicy.

. h"sical deliver" of real estate sold not necessar".

- !e e(ecution of a #ublic document of sale is e/ui"alent

to deli"ery.

- Dowe"er, w!en dealing wit! registered land, deli"ery is

not com#lete unless two re/uisites concur, namely:

)+ t!e e(ecution of a #ublic instrument of con"eyance$ and

)+ t!e registration of t!e deed, w!ic! is t!e o#erati"e

act t!at con"eys and binds t!e land.

3. Double sale of same land.

- sale to two different #erson

- registering it bot! under torrent system is remote

- t!e #erson !olding under t!e #rior certificate is entitled

to t!e land as against t!e #erson w!o obtained t!e second

certificate co"ering t!e same land. A declaration of nullity ofone of t!e titles can be obtained in an action to /uiet title

under Article 476 of t!e new 1i"il 1ode.

- Dowe"er, w!ere t!ere was bad fait! on t!e #art of one of t!e

#urc!asers of t!e same land, t!e #reference is always in fa"or of

t!e ot!er.

- illustrated in t!e following case: Dere, t!e land in litigation was

transferred twice by its former owner, now deceased: first, in fa"or

of A on 'ecember 9, 99, t!roug! a #ri"ate document of sale$

and t!en in fa"or of &, made ten years later, or on A#ril 9, 939,

by means of a deed of cession ratified before a notary #ublic andlater registered wit! t!e >egister of 'eeds of 1amarines Sur.

!ere is no /uestion t!at &, in ac/uiring t!e land in /uestion,

5nowing t!at it !ad already been sold to A, !ad not acted in good

fait!. DC8': !at t!e cession in fa"or of & is null and "oid. !e

fundamental #remise of t!e #referential rig!ts establis!ed by

Article 473 )now Article 44+ of t!e 1i"il 1ode is good fait!.

Artice ./00 of the Ne% Ci1i Code &ro1ides as

foo%s:

2If the same thing sho$d ha1e !een sod to different

1end' ees3 the o%nershi& sha !e transferred to the

&erson %ho ma4 ha1e first ta5en &ossession thereof in

good faith3 if it sho$d !e mo1a!e &ro&ert4"

2,ho$d it !e immo1a!e &ro&ert43 the o%nershi&

sha !eong to the &erson ac6$iring it %ho in good faith

first recorded it in the Registr4 of Pro&ert4"

2,ho$d there !e no inscri&tion3 the o%nershi& sha

&er' tain to the &erson %ho in good faith %as first in the

&ossession7 and3 in the a!sence thereof3 to the &erson %ho

&resents the od' est tite3 &ro1ided there is good faith"8

- urt!er, S1 em#!asie, t!at t!e #reference establis!ed in t!e

cited article of t!e 1i"il 1ode de#ends not only u#on t!e #riority

of inscri#tion, but also u#on good fait! of t!e second #urc!aser.


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!us, under Article 44, mere registration is not enoug! to

ac/uire new title. @ood fait! must concur.

4. Occupation

- 2ere occu#ation, or filling a #arcel of land, cannot #re"ailagainst titles recorded in aut!entic #ublic instruments.

>egistration in fa"or of one defeats t!e #ossession on t!e

#art of t!e ot!er, for more credit is gi"en to registration t!an

to actual #ossession.

. ossession, how determined.

- if none of t!e #urc!asers registered, t!e #roblem is !ow to

determine t!e first one in #ossession.

- Su#reme 1ourt !eld t!at, according to Article 473 )now

Article 44+ of t!e 1i"il 1ode, t!eyPre first #urc!aser w!o

were t!e first in #ossession and, conse/uently, t!at t!e sale

in t!eir fa"or was su#erior.

- suc! ruling is a reaffirmation of t!e #rinci#le t!at


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estate in fee sim#le subject to t!e "endors rig!t of

redem#tion.

And !e may mortgage t!e #ro#erty or im#ose u#on it any

ot!er c!arge, but if t!e "endor redeems it !e )t!e "endor+ is

entitled to recei"e it free of any c!arge or mortgage im#osed

by t!e "endee, alt!oug! !e s!all be obliged to res#ect any

lease made by t!e latter in good fait! and in accordance wit!

t!e customs of t!e #lace w!ere it is situated.

E. )egistration of Cpacto de retroegistry of

'eedsH

A##lying Section of 0.'. ?o. 9, w!ic! #ro"ides t!at


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one may be led to conclude t!at t!e #eriod to re#urc!ase

s!ould be com#uted from t!e date t!e deed of sale was

registered.

t was !eld, !owe"er, t!at suc! #eriod s!ould be rec5oned

not from t!e date of t!e registration of t!e deed but from t!e

date of its e(ecution inasmuc! as t!e owner is neit!er

#ro!ibited nor #recluded by law from binding !imself to an

agreement w!ereby !is rig!t of re#urc!ase is for a #eriod

starting from t!e date of e(ecution of t!e deed.

Section of 0.'. ?o. 9 #ro"ides t!at, e"en wit!out t!e

act of registration, a deed #ur#orting to con"ey or affect

registered land s!all o#erate as a contract between t!e

#arties.

n s!ort, t!e rule is t!at, alt!oug! a transaction affecting

registered land !as not been registered in t!e >egistry of

'eeds nor annotated on t!e orrens title co"ering it, t!e

tec!nical deficiency will not render t!e transaction

ineffecti"e as suc!, but sim#ly will render it ineffecti"e as

against t!ird #ersons.

. 1onsolidation of ownership in Cpacto de retro


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t!ereof would im#air and diminis! rig!ts "ested under t!e

old 1ode.E4

%!ere t!e court !eld t!at a sale under #acto de retro was an

e/uitable mortgage and conse/uently t!e #etition to

consolidate owners!i# !ad to be dismissed, suc! judgment in

itself does not constitute an adjudication of t!e rig!t to

foreclose t!e mortgage or to collect t!e indebtedness, but

only gi"es rise to suc! rig!t unless in t!e #etition for

consolidation t!ere was an alternati"e #rayer to t!at effect.

Dowe"er, t!e failure to ma5e suc! alternati"e #rayer cannot

be considered as a bar to collecting t!e indebtedness in a

#ro#er action for t!at #ur#ose.

. )ight of vendor Ca retro.

!e sole rig!t of t!e "endor under a #acto de retro sale is

t!at of redem#tion.

%!en a "endor a retro dies lea"ing se"eral !eirs, eac! !eir

can only re#urc!ase or redeem suc! #art or s!are in t!e

#ro#erty w!ic! !e !as or may !a"e ac/uired as in!eritance.

&ut in t!e case of redem#tion by a "endor a retro, !e is

e(ercising a rig!t or #ri"ilege, and not disc!arging an

obligation. n order to #reser"e suc! rig!t, s!ould t!e

re#urc!ase #rice be refused, it is not necessary to effectuate

consignation, tender of #ayment being sufficient.

Dowe"er, a "endor e(ercising suc! rig!t must reimburse t!e

"endee a retro not only t!e #rice of sale, but also t!e

e(#enses of t!e contract and any ot!er legitimate #ayments

made by reason of t!e sale, and t!e necessary and useful

e(#enses made on t!e t!ing sold.

De !as no o#tion to re/uire t!e "endee a retro to remo"e t!e

useful im#ro"ements on t!e land subject of t!e sale a retro.

ntil !e s!all !a"e reimbursed t!e "endee a retro of suc!

e(#enses, t!e latter may retain #ossession of t!e #ro#erty.

3. Sale under Cpacto de retro when not convertible into

mortgage.

A contract of #acto de retro by a #ublic document, alt!oug!

t!ere a##ear t!erein t!e words


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Suc! rig!t may be e(ercised not only after t!e

consummation of t!e sale but e"en before, t!e #eriod of

t!irty days made a"ailable t!erefor being set to commence

from t!e date of written notice by t!e "endor or #ros#ecti"e

"endor, as t!e case may be.

And to insure t!at one entitled to suc! rig!t !as been gi"en

t!e #ro#er o##ortunity, Article 63 of t!e 1i"il 1ode

e(#ressly #ro!ibits t!e registration of t!e deed of sale, unless

accom#anied wit! an affida"it of t!e "endor s!owing t!at !e

!as gi"en t!e re/uired written notice to all #ossible

redem#tioners.

t!e affida"it re/uirement does not a##ly to transactions

w!ic! too5 effect #rior to t!e effecti"ity of t!e ?ew 1i"il1ode. ?eit!er does it a##ly to a case w!ere t!e deed soug!t

to be registered contains a recital of t!e fact t!at t!e re/uired

written notice !as #re"iously been gi"en by t!e "endor to all

#ossible redem#tioners, for by suc! recital of t!e fact in t!e

deed itself it is not made less effecti"e t!an if it were done

bymeans of a se#arate affida"it.

So, also, t!e furnis!ing of a co#y of t!e deed of sale is

e/ui"alent to t!e gi"ing of written notice re/uired by law,

and t!e 3*-day #eriod for t!e legal redem#tion begins to runfrom t!e date of recei#t of said deed of sale.

. When to appl" to rural land?

As #ro"ided by Article 6 of t!e 1i"il 1ode, t!e rig!t of

redem#tion is a"ailable to t!e owners of t!e adjoining lands

w!en t!e land alienated is rural and its area does not e(ceed

one !ectare.

Dowe"er, t!is rig!t cannot be in"o5ed w!ere t!e grantee

does not own any rural land. Also, w!ere two or more

adjoining owners are entitled to t!e same rig!t, t!e owner of

t!e smaller area is to be #referred, and if bot! adjoining

lands !a"e t!e same area, t!e one w!o first re/uested t!eredem#tion is gi"en t!e #riority.

or t!e #ur#ose of t!e e(ercise of suc! rig!t between

adjacent owners, bot! t!e land of t!e one e(ercising t!e rig!t

of redem#tion and t!e adjacent #ro#erty soug!t to be

redeemed must be rural. f eit!er is, or bot! are, urban t!ere

is no rig!t of redem#tion.

6. When to appl" to urban land.

!e rig!t of legal redem#tion or #re-em#tion w!ic! was

made a"ailable under t!e S#anis! 1i"il 1ode to rural land

only !as now been e(tended by t!e ?ew 1i"il 1ode to urban

land w!ere t!is is so small and so situated as to ma5e a

major #ortion t!ereof of no #ractical #ur#ose wit!in a

reasonable time, t!e same !a"ing been boug!t merely for

s#eculation. Suc! rig!t is granted to t!e owner of t!e

adjoining land at a reasonable #rice.

&ut w!ere t!ere are two or more owners of adjoining lands,t!e owner w!ose intended use of t!e land in /uestion

a##ears best justified s!all be #referred in t!e e(ercise of t!e

rig!t of #re-em#tion or redem#tion.

7. )ural land and urban land, distinguished.


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ural means #ertaining to t!e country as distinguis!ed

from a city or town, and t!e word is deri"ed from t!e 8atin

rus, ruris, t!e country.


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land title reviewer - midterms-updated

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