Civil Law LandTitles

Chapter 1: BACKGROUND, BASIC CONCEPTS & GENERAL PRINCIPLES

Land Title evidence of right of owner or extent of his interest, by which means he can maintain control and as a rule assert right to exclusive possession and enjoyment of property.Deed instrument in writing which any real estate or interest therein is created, alienated, mortgaged or assigned or by which title to any real estate may be affected in law or equity.1. Grantor2. Grantee3. Words of grant4. Description of property5. Signature of grantor6. WitnessesTypes of estates:1. Freehold estate indicates title of ownership.a. Fee simple absolute title; conferred without limitation, qualification or restrictionb. Fee tail pass title to grantee & his heirsc. Life state held for duration of life of grantee2. Less than freehold estate a right short of titlea. Estate for years lease for a period agreed upon, lessor retains ownership of landb. Tenancy from period to period lease running from month to month or year to year with automatic renewalc. Tenancy at will person is permitted to occupy land of another without stipulation as to period3 Stages of Development of Legal System of Transferring Titles:1. Production & delivery of deed by grantor to grantee without registration2. Deed of conveyance is recorded to bind 3rd persons3. Registration of titleRegistration guarantees the titleRecording does not guarantee the title; need to examine other docsPurpose of Registration:1. Serve as constructive notice2. Prevent fraudulent claims3. Protect interest of strangers to transactionModes of Acquiring Land Titles:1. Title by public grant conveyance of public land by government to a private individual2. Title by acquisitive prescription open, continuous, exclusive, notorious possession of a property3. Title by accretion alluvion4. Title by reclamation filling of submerged land by deliberate act and reclaiming title thereto; government5. Title by voluntary transfer private grant; voluntary execution of deed of conveyance6. Title by involuntary alienation no consent from owner of land; forcible acquisition by state7. Title by descent or devise hereditary succession to the estate of deceased owner8. Title by emancipation patent or grant for purpose of ameliorating sad plight of tenant-farmers; not transferable except by hereditary successionChapter 2: TORRENS SYSTEM ORIGIN, NATURE & GENERAL CHARACTERISTICSAdvantages:1. Abolishes endless fees2. Eliminates repeated examination of titles3. Reduces records enormously4. Instantly reveals ownership5. Protects against encumbrances not noted on the Torrens certificate6. Makes fraud almost impossible7. It assures8. Keeps up the system without adding to burden of taxation; beneficiaries of the system pay the fees9. Eliminates tax titles10. Gives eternal title as state ensures perpetuity11. Furnishes state title insurance rather than private title insurance12. Makes possible the transfer of titles or of loans within the compass of hours instead of a matter of daysPurpose of Torrens Law:quiet title to land once registered, owner might rest securePersons Bound When Title Not Registered:1. Grantor2. Heirs & devisees3. Persons with actual noticeProcedure in Land Registration Case:1. Survey of land by Bureau of lands or duly licensed private surveyor2. Filing of application for registration by applicant3. Setting of date of initial hearing of application by RTC4. Clerk of court to transmit to Land Registration Authority the application, date of initial hearing & other pertinent docs5. Publication of notice of filing of application, date & place of hearing in OG and in newspaper of general circulation6. Service of notice contiguous owners, occupants & those who have interest in property7. Filing of answer or opposition to application8. Hearing of case by RTC9. Promulgation of judgment by court10. Issuance of decree by RTC decision; Instruct land registration authority to issue decree of confirmation & registration11. Entry of decree of registration in Land Titles Administration12. Send copy of decree to Register of Deeds13. Transcription of decree of registration in registration book & issuance of the owners duplicate original certificate of title of the applicant by the Land registration Authority upon payment of prescribed fees.CHAPTER 3: APPLICATION IN ORDINARY REGISTRATION PROCEEDINGSWho may Apply:1. Those in open, continuous, exclusive, notorious possession of patrimonial property of state underbona fideclaim of ownership since June 12, 1945 or earlier2. Those who acquired ownership of private land by prescription3. Those who acquired ownership of private lands by right of accretion4. Those who acquired ownership in any manner provided for by lawLimitation to Ownership of Land by Corporation:1. Private lands2. At least 60% Filipino to acquire private land3. Restricted as to extent reasonably necessary to enable it to carry out purpose which it was created4. If engaged in agricultural restricted to 1,024 ha.5. Patrimonial property of state6. Lease for 25 years renewable7. Limited to 1,000 ha.8. Apply to both Filipinos & foreign cos.Form & Contents of Application:1. In writing & signed by applicant or person duly authorized2. Description of land3. Citizenship4. Civil status5. Full names & address of occupants & adjoining ownersWhat to Accompany Application:1. Tracing cloth plan duly approved by the Director of Lands2. 3 copies of technical descriptions3. 3 copies of surveyors certificate4. All original muniments of title5. 4 copies of certificate by city/provincial treasurer of assessed value of landAmendments Allowed & Not Allowed1. Substantial change in boundaries or increase in area new technical description necessary need new publication & notice2. Substitution of name of new owner file motion with court3. Decrease the area file motion in courtMuniment of Title instruments or written evidences which applicant hold or posses to enable him to substantiate & prove title to his estateTransaction Took Place Before Issuance of Decree:1. Record instrument in Register of Deeds in same manner as if no application was made2. Present instrument to RTC, motion praying that same be considered in relation to the pending applicationTransaction Took Place after Issuance of Decree: Register directly with REGISTER OF DEEDS for purpose of canceling such title & issuing a TCT.CHAPTER 4: PUBLICATION, ANSWER & DEFAULTNotice in conspicuous place in land & bulletin board of municipality 14 days before hearingHearing within 7 days after publication in OG 25 90 days from date of orderTo Whom Notice must be Sent:1. City/municipal mayor & provincial governor2. Department of Agrarian Reform, Solicitor General & Director of Lands , Director of Fisheries, Director of Mines3. Adjoining owners & those who have rights or interest theretoRequisites of Opposition:1. Set forth objections to the application2. State interest claimed by oppositorGeneral Default If no person appears and answers within time prescribedSpecial Default Party appears at initial hearing without having filed an answer and ask court for time to file answer but failed to do so within period allowed.CHAPTER 5: HEARING & DECREEWho Conducts Hearing:1. RTC2. Refer to referee commissionerProceedings for Ordinary Registration (Land registration Act) /Proceeding for judicial confirmation of Imperfect title under the Public land act There exist a title to be confirmed Land applied for belongs to the state Court may dismiss without prejudice to file new application Dismiss with prejudice Risk to have application denied without losing land Risk involves loss of landCHAPTER 6: JUDGMENT & DECREEDecree issued by land registration authority containing technical description of land; issued after finality of judgment1. Decrees dismissing application2. Decrees of confirmation and registration Final after 1 year after decree Unless there in innocent purchaser for value Subject only to appeal Once final, cannot be subject to attack, deemed conclusive against the world3. Put end to litigation4. Purpose of Torrens system is protected Amendment after 1 year is allowed creation or extinguishment of new rights; inclusion of new owners not allowedJudgment decision of court constituting its opinion after taking into consideration the evidence submittedWrit of Possession order to sheriff to deliver the land to the successful party litigant; no prescription1. Against loser2. Against anyone unlawfully & adversely occupyingWhen Writ may not Issue: Person entered into property after decree- non claimant; had been there for 10 yearsMeans to Recover Possession:1. Forcible entry2. Unlawful detainer3. Accion publiciana4. Accion reindivicatoriaRes Judicata:1. Former judgment must be final2. Rendered by court having jurisdiction over subject matter & parties3. Judgment on merits4. Identity of parties, subject matter and causes of actionRemedies Available to Aggrieved Party in Registration Proceedings:1. Motion for new trial must be brought within 15 days from notice of judgment2. Fraud, accident, mistake, excusable negligence which ordinary prudence could not have guarded3. Newly discovered evidence which could not be discovered & produced at trial4. Evidence insufficient to justify decision, decision is against the law5. Appeal must be brought 15 days from notice of judgment6. Review of decree of registration available to party deprived of day in court; became non-party due to misrepresentation; invoke actual fraud; before expiration of 1 year; specific acts intended to deceive; will no longer prosper if already transferred to innocent purchaser for value7. Plaintiff is owner of land registered in name of defendant8. Registration procured through actual fraud9. Property has not issued to innocent purchaser for value10. Action is filed within 1 year after issuance of decree of registration11. Relief from judgment 60 days 6 months after entry of order; available to party to case, FAME; after judgment; person deprived of right is party to case12. Reconveyance actionin personam; available so long as property not passed yet to innocent purchaser for value; bad faith or with notice of defect13. Recovery for damages14. Person is wrongfully deprived of his land by registration in name of another actual or constructive fraud15. No negligence on his part16. Barred/ precluded from bringing an action17. Action for compensation has not prescribedCHAPTER 7: CERTIFICATE OF TITLETorrens Title certificate of ownership issued under the Torrens System of registration by the government through road naming & declaring owner in fee simple of property described therein free from all liens except those expressly noted.Process:1. Within 15 days from finality of order of judgment directing registration of title court to order Land registration Admin to issue decree of registration and certificate of title2. Clerk of court will send order of court & copies of judgment3. Administrator to issue decree of registration & original & duplicate of OCT signed by Administrator, entered & file decree of registration in LRA4. Send to Register of Deeds original & duplicate of title & certificate for entry in his registration book5. Enter in record book, dated, signed, numbered & sealed take effect upon date of entry6. Register of Deeds to send notice to registered owner ready for delivery after payment of fees7. Register of Deeds shall send duplicate & note on each certificate of title to whom it is issued8. Original copy to be filed in Register of Deeds; bound in consecutive order.Action for Partition, Splitting or Consolidation of Titles:1. Splitting or consolidation ordinary Register of Deeds level, no court involved2. Subdivision plan approval of NHA, final approval of LRA, then Register of Deeds to issue memorandum that streets not to be disposed except by way of donation to govt. shall be effected without approval of NHA.Annotations at Back of Certificate need court order; otherwise null & voidCHAPTER 8: VOLUNTARY DEALINGS WITH REGISTERED LANDOperative Act registration by owner; deed not registered binding only between partiesProcess of Registration:1. File instrument creating or transferring interest and certificate of title with Register of Deeds2. Owners duplicate3. Payment of fees & documentary stamp tax4. Evidence of full payment of real estate tax5. Document of transfer 1 copy additional for city/provincial assessor6. Register of Deeds shall make a memorandum on the certificate of title, signed by him7. Issue TCTVoluntary dealings Need to present title to record the deed in registry & to make memorandum on title.Involuntary dealings No presentation required; sufficient that annotation in entry book is sufficientFormal requisites of a deed:1. Full name2. Nationality3. Place of residence4. Postal address of grantee or other persons acquiring or claiming interest5. Civil status6. Whether or not corporation:a. Register of Deeds to keep an entry book day bookb. Enter in order of reception all deeds & voluntary instruments, write & processes re land -Year, month, day, time, minute of reception of instrument; Registered from time of entryc. Fees of 5 bucks per document to be paid within 15 daysd. Note memorandum & sign & issuance of certificatee. Documents are numbered & indexed & indorsed with reference to certificate of title public recordsf. Subject to reasonable regulation Cost borne by vendor.CHAPTER 9: REAL ESTATE MORTGAGEReal Estate Mortgage real property/real rights secures fulfillment of an obligationKinds:1. Conventional agreed upon by parties2. Legal Created by operation of law3. Judicial results from a judgment4. Equitable pacto de retroin form but mortgage in essenceEssential Requisites:1. Constituted to secure fulfillment of principal obligation2. Mortgagor be absolute owner of thing mortgaged3. Person constituting mortgage has free disposal of propertySpecial Characteristics:1. Subject matter is realty2. Real right attaches to property wherever it is & whoever holds it3. Accessory presupposes existence of valid principal obligation; cannot stand alone4. Indivisibility even if debt is divisible; mortgage is not5. Inseparability mortgage lien is inseparable from property6. Retention of possession mortgagor retains possessionPacto de Retro Equitable Mortgage1. Price of sale with right to repurchase is usually inadequate2. Vendor remains in possession as lessee or otherwise3. Upon or after expiration of right to repurchase, another instrument extending period /granting new period is executed4. Purchaser retains a part of the purchase price5. Vendor binds himself to pay taxes on thing sold6. Real intention of parties is that transaction shall secure payment of debt or fulfillment of other obligationReal MortgageChattel Mortgage

Subject matter is real propertySubject matter is movable

Public document onlyMay be in private document provided there is affidavit of good faith

Right of redemption for 1 yearNo right of redemption

Deficiency can be recoveredDeficiency cannot be recovered

Execution & Registration1. Execution of deed in a form sufficient in law (public instrument)2. Registration with Register of Deeds where the land lies & take effect upon registration3. Present deed of mortgage together with owners duplicate4. Payment of fees5. Register of Deeds shall enter upon original certificate of title & upon duplicate a memorandum date, time of filing, signature, file number assigned to deed6. Register of Deeds to note on deed the date & time of filing & reference to volume & page of registration book in which it was registered7. No duplicate need be issuedSubject Matter Real property plus all its accessions unless contrary is stipulated Future property without legal effect Future improvements deemed included Fruits & rents of mortgaged property deemed included Continuing credit secured by mortgage validForms:1. Private document void & inexistent2. Public instrument but not recorded binding between parties but not 3rdpersons without notice3. Public document & registered valid & binding to 3rdpartiesMay Mortgage be Registered Without Duplicate Title:Yes If being withheld by the owner, Register of Deeds notifies by mail within 24 hours to registered owner:1. Stating that mortgage has been registered2. Requesting that owners duplicate be produced so that memorandum be made thereof Owner refuses to comply within reasonable time; Register of Deeds to notify court & court may enter order requiring owner to produce certificateSubsequent Dealings in Mortgaged Property1. May be further alienated stipulation to contrary is void Assignment must also be registered since registration is operative act to affect land If not recorded valid as to parties but not to 3rdparties, right not protected against somebody who registers & procures better right No need to secure permission of mortgagee Understood unless prohibited in contract1. May be further mortgaged stipulation to contrary is void1. Pactum commisorium not allowed1. Property is mortgaged2. There is stipulation for automatic appropriation1. Discharge Execute public document canceling or releasing mortgaged in form prescribed by law Present instrument with Register of Deeds where land lies together with owners duplicate for registration Memorandum of cancellation is annotated on duplicate & originalWhen Mortgagor Dies1. Abandon security & prosecute his claim by sharing in general distribution of assets of the estate2. Foreclose mortgage by making executor party defendant3. Foreclose it in due timeParties in Foreclosure Suit:all persons claiming interest subordinate in right to mortgageeAction to Foreclose:Prescribes in 10 years (written contract)Venue:Per stipulation or in absence thereof, where the property liesForeclosure1. JUDICIAL Mortgagee to petition in court for foreclosure Court to render order for debtor to pay sum due within 90 days and if not paid from date of service, property be sold at public auction Notice & Publication Public auction: sale to highest bidder Sheriff to issue certificate confirming judicial foreclosure File with Register of Deeds final decree of court confirming sale Memo entered in certificate of title If right of redemption exist, certificate of title of mortgagor not to be cancelled but memorandum shall be entered upon the certificate duplicate & original After expiry of 1 year redemption period & no redemption, title is consolidated to new owner Purchaser to be entitled to new certificate of title & memorandum endorsed on mortgage deed If there is redemption, memorandum to be annotated on certificate of title2. EXTRA-JUDICIAL Allowed only if stipulation between party authorizes extra-judicial foreclosure Cannot be made legally outside of city where land lies Publication required: post notices for 20 days in 3 public places where property lies & if property is more than P400.00, publication must be for 3 consecutive weeks in news paper of general circulation If foreclosure by rural banks, exempt from publication in newspaper for loans not exceeding 3,000.00 Registration of sale in Register of Deeds:1. Deed of sale must be supported by certificate of sheriff that said sale was conducted accordingly stating the date, time, place of sale, names of creditor & debtor, description of property, name of highest bidder, selling price2. Present in Register of Deeds where land lies3. Memorandum on back of certificate is made4. After expiration of 1 year of redemption period title is consolidated if no redemption exercised: purchaser to file with Register of Deeds the deed of sale & sworn statement attesting to fact that there is no redemption5. New certificate of title issued in favor of vendee6. If redeemed notice of redemption shall be registered & accomplished by way of memorandum on proper certificate of titleRight of Redemption Payment of purchase price plus 1% per month plus taxes if paid by purchaser To be exercised within 1 year after registration of saleRight to Deficiency allowedCHAPTER 10: CHATTEL MORTGAGEChattel Mortgaged personal property is registered with Register of Deeds to secure performance of an obligationSubject Matter:movablesDeed of Mortgage: Requires only description to enable parties & other persons to identify the subject matterRegistration of Chattel Mortgage1. Execution of document2. Payment of fees3. Register of Deeds enters in DAY BOOK in strict order of their presentation chattel mortgages & other instruments relating thereto (primary process)4. Register of Deeds thereafter enters in a more detailed form the essential contents of the instrument in the Chattel Mortgage Register (complementary process)Effect of Registration:1. Creates a lien attaches to the property whoever holds it; binding on subsequent purchasers2. Constructive noticeSale of Chattel Without Consent of Mortgagee void; criminal actEffect of Failure to Register: Valid between parties but void against 3rdpersons If instead of registration, it is delivered it shall be a pledge & not chattel mortgage (if no chattel mortgage deed executed) Actual knowledge is same effect as registrationAffidavit of Good Faith: Statement That 1. Mortgaged is made to secure obligation specified2. Valid & just obligation3. Not entered into for purpose of fraudEffect of Absence of Affidavit of Good Faith: Vitiates mortgage as against creditors & subsequent encumbrances Valid as between parties No need to be in public documentAssignment of Mortgage No need to be registered, permissive only & not mandatoryCancellation of Chattel Mortgage Mortgagee to execute a discharge of the mortgage in manner provided by lawForeclosure of Mortgage The must first be non-payment & at least 30 days have elapsed since then Alternatives:1. Judicial2. Extra-judicial only if there is stipulation/authorityProcedure in Foreclosure1. Notice posted for 10 days in at least 2 public places in municipality where property is to be sold designating the time, place and purpose of sale2. Mortgagor is notified in writing at least 10 days before sale3. Public auction4. 30 days after sale, officer makes a return & file with Register of Deeds where mortgage has been recorded5. Officers return operates as a discharge of the lien created by the mortgage6. Proceeds to be applied:7. Cost of sale8. Amount of obligation9. Subsequent mortgages10. Balance mortgagorRecovery of Deficiency:AllowedCHAPTER 11: LEASELease one of parties deliver possession of property to another who is obliged to pay rent for use of such property.Registration of Lease1. File with Register of Deeds the instrument creating lease together with Owners Duplicate of certificate of title2. Register of Deeds to register by way of memorandum upon certificate of title3. No new certificate shall be issuedWhen Prohibition in Mortgaged Property as regards Subsequent Conveyances, etc.:Leasehold cannot be registered in the title thereof.Effect of Registration:1. Creates a real right but without prejudice to rights of 3rdpersons2. If not registered valid as between parties but not to 3rdpersons without noticeRegistration lessor not required to initiate; lessee shall initiateAliens:1. May be granted temporary rights for residential purposes2. Limit: 25 years, renewable for another 25 yearsWho Else May Register:Builder in Good FaithCHAPTER 12: TRUSTS & POWERS OF ATTORNEYTrust obligation of a person to whom legal title to property is transferred to hold the property according to confidence reposed in him2 Kinds:1. Expressed need to be in writing; cannot be proved by parole evidence2. Implied exist by operation of law; can be proved by parole evidence3. Property is bought but paid by another party4. Donation is made but donee have no beneficial interest thereon5. Price of sale of property is loaned & conveyance is made to lender to secure fulfillment of loan6. Land passes by succession to a person but legal title is put in anothers name7. 2 persons purchase property but placed only in ones name8. Guardian uses funds of ward to buy property9. Property is acquired thru mistake or fraudPower of Attorney authority granted to a person to dispose ones property.Trust Differentiated from Power of Attorney1. Trust has 3 parties while power of attorney has 2 parties2. Trust is for benefit of 3rdparty while power of attorney is for benefit of principalRegistration of Trust1. Sworn statement claiming interest by reason of an implied trust with description of land & reference to number of certificate shall be registered in Register of Deeds2. Provided not prohibited to do so by instrument creating the trustAppointment of Trustee by Court Certified copy of decree shall be presented to Register of Deeds & surrender duplicate certificate Cancel duplicate & new certificate shall be entered by Register of DeedsACTION FOR RE-CONVEYANCE BASED ON IMPLIED TRUST Prescribes in 10 years If acknowledged in written form becomes express trust prescribes upon repudiationCHAPTER 13: INVOLUNTARY DEALINGS WITH REGISTERED LANDInvoluntary Dealings transactions affecting land in which cooperation of registered owner is not needed: it may even be against his willAttachment A writ issued at the institution or during progress of an action commanding the sheriff to attach the property, rights, credits or effects of the defendant to satisfy demands of the plaintiff Kinds:1. Preliminary2. Garnishment3. Levy on executionRegistration of Attachment / Other Liens1. Copy of writ in order to preserve any lien, right or attachment upon registered land may be filed with Register of Deeds where land lies, containing number of certificate of title of land to be affected or description of land2. Register of Deeds to index attachment in names of both plaintiff & defendant or name of person whom property is held or in whose name stands in the records3. If duplicate of certificate of title is not presented:4. Register of Deeds shall within 36 hours send notice to registered owner by mail stating that there has been registration & requesting him to produce duplicate so that memorandum be made5. If owner neglects or refuses Register of Deeds shall report matter to court6. Court after notice shall enter an order to owner to surrender certificate at time & place to be named therein4. Although notice of attachment is not noted in duplicate, notation in book of entry of Register of Deeds produces effect of registration already.Effect of Registration of Attachment:1. Creates real right2. Has priority over execution sale3. But between 2 attachments one that is earlier in registration is preferred4. If not registered actual knowledge is same as registrationDuty of Register of Deeds Basically ministerial but may refuse registration in ff circumstances:1. Title to land is not in the name of defendant2. No evidence is submitted to show that he has present or possible future interest in land3. Unless:heirProperties Exempt From Execution: Family HomeAttachment How continued, reduced or discharged Any method sufficient in law Document to be registered1. EXECUTION SALE To enforce a lien of any description on registered land, any execution or affidavit to enforce such lien shall be filed with Register of Deeds where land lies Register in registration book & memorandum upon proper certificate of title as adverse claim or as an encumbrance To determine preferential rights between 2 liens: priority of registration of attachment2. TAX SALE Sale of land for collection of delinquent taxes and penalties due the government In personam (all persons interested shall be notified so that they are given opportunity to be heard) Notice to be given to delinquent tax payer at last known address Publication of notice must also be made in English, Spanish & local dialect & posted in a public & conspicuous place in place wherein property is situated & at main entrance of provincial building Sale cannot affect rights of other lien holders unless given right to defend their rights: due process must be strictly observed Tax lien superior to attachment No need to register tax lien because it is automatically registered once the tax accrues But sale of registered land to foreclose a tax lien need to be registeredProcedure of Registration of Tax Sale:1. Officers return shall be submitted to Register of Deeds together with duplicate title2. Register in registration book3. Memorandum shall be entered in certificate as an adverse claim or encumbrance4. After period of redemption has expired & no redemption (2 years from registration of auction sale) cancellation of title & issuance of new one5. Before cancellation, notice shall be sent to registered owner: to surrender title & show cause why it shall not be cancelledActual Knowledge is Equivalent to RegistrationAdverse Claim1. Make a statement in writing setting forth alleged interest, from whom acquired, how acquired, no of certificate of land, name of registered owner, description of land in which right/interest is claimed signed & sworn to2. Statement shall be entitled to registration as adverse claim on certificate of title3. Effective for 30 days from date of registration4. After 30 days, may be cancelled by filing of verified petition by party in interest Any party may petition in court to cancel adverse claim Court to grant speedy hearing If adverse claim is adjudged invalid may be cancelled5. No 2ndadverse claim based on same ground shall be registered by same claimantCHAPTER 14: REGISTRATION OF LIS PENDENSPurpose:keep subject matter within the power of the court until the entry of final judgment Therefore creates merely a contingency & not a liensEffect of Registration:1. Impossibility of alienating the property in dispute during the pendency of the suit may be alienated but purchaser is subject to final outcome of pending suit2. Register of Deeds duty bound to carry over notice oflis pendenson all new titles to be issuedCancellation ofLis Pendens:1. Before final judgment court may order cancellation after showing that notice I sonly for purpose of molesting an adverse party or it is not necessary to protect rights of party who caused it to be registered2. Register of Deeds may also cancel by verified petition of party who caused such registration3. Deemed cancelled when certificate of clerk of court stating manner of disposal of proceeding is registeredNotice ofLis Pendensis an Involuntary Transaction Sufficient that there is entry in day bookOther Parties who Need to Register:1. ASSIGNEE IN INVOLUNTARY PROCEEDING FOR INSOLVENCY Duty of the officer serving notice to file copy of notice to Register of Deeds where the property of debtor lies Assignee elected or appointed by court shall be entitled to entry of new certificate of registered land upon presentment of copy of assignment with bankrupts certificate of title (duplicate) New certificate shall not that it is entered to him as assignee or trustee in insolvency proceedingsJudgment / Order Vacating Insolvency Proceedings Order shall also be registered Surrender title issued in name of assignee & debtor shall be entitled to entry of new certificate2. GOVERNMENT IN EMINENT DOMAIN Copy of judgment file in Register of Deeds which states description of property, certificate number, interest expropriated, nature of public use Memorandum shall be made or new certificate of title shall be issuedCHAPTER 15: TRANSMISSION BY DESCENT AND DEVISEWhen Owner of Property Dies testate or intestate, Administrator shall file with Register of Deeds registration of property in his name to be vested with ownership as trustee so he can sell, etc, convey, etc Not necessary if already empowered in the willWhen Judicial Proceeding Not Necessary Heirs may partition estate immediately & no need to be burdened with cost/expenses of an administrator1. In absence of debts2. Heirs are all of legal agePartition / Settlement of Estate1. JUDICIAL After entry of final judgment of partition, copy certified by clerk of court to be filed with Register of Deeds Each owner to gave separate certificate of title (duplicate) If ordered to be sold, purchaser shall be entitled to a certificate of title entered in his name upon presentment of order confirming sale2. EXTRAJUDICIAL3. Decedent died intestate4. No debts5. Heirs are all of legal age, or minors represented by guardian Heirs to execute public instrument to be filed with Register of Deeds If disagree with each other, file in court ordinary action for partition If there is only 1 heir, may adjudicate to himself entire estate via affidavit to be filed with Register of Deeds If there is movables involved, bond to be filed equivalent to value of property as certified under oath by parties conditioned upon payment if any just claim which may be filed by creditor within 2 years after distribution Publication in newspaper of general circulation for 3 weeks; not binding to those without notice Final after 2 yearsOral Partition, When Deemed Valid In provinces when person dies leaving property not covered by Torrens system to avoid legal expenses, heirs make a list of property, pay off debts & assign to each Statute of frauds do not operate because it is not a conveyance but a separation of property and designation of part which belongs to themWills and Letters of Administration Executor required to file with Register of Deeds a certified copy of his letters of administration or the will if there is a will in order that Register of Deeds may register upon certificate a memorandum with reference to file no & date of filingCourt Authority Needed in Order to Sell1. May be dispensed with if will empowers him sell2. Without authority first secured, heir may sell subject to result of pending administrationCHAPTER 16: ASSURANCE FUND State creates a fund for the compensation of persons injured by divesting/cutting off of rights due to the indefensibility of title; following that act of registration is operative act by which State transfers title; created to relieve innocent persons from harshness of doctrine that certificate of title is conclusive evidence of an indefeasible title to land. Upon entry of certificate in name of owner or TCT, of 1% shall be paid to Register of Deeds based on assessed value of land as contribution to assurance fund; if no assessment yet, sworn declaration of 2 disinterested persons subject to determination by court. Money shall be under custody of the National treasurer; invest it until P+I aggregates to 500,000, excess shall be paid to the Assurance Fund; annual report of Treasurer to Secretary of Budget.Who is Entitled:1. Claimant must be owner, purchaser or encumbrancer in good faith who suffered actual damage by loss of land; in short he is deprived of his land or interest therein2. No negligence attributable to him3. Claimant is barred from filing action to recover said land4. Action to recover from assurance fund has not prescribedLoss/Damages Should Not be Due to Following Reasons:1. Breach of trust2. Mistake in resurvey resulting in expansion of area in certificate of titleLoss/Damages Should be Due to the Following Reasons:1. Omission, mistake, misfeasance of Register of Deeds or clerk of court2. Registration of 3rdpersons as owner3. Mistake, omission, misdescription in certificate of title, duplicate or entry in books4. CancellationAgainst whom Action is Filed:1. Action due to deprivation of land due to mistake, negligence, omission of Register of Deeds, etc Register of Deeds and National Treasurer as defendants; Sol-Gen must appear2. Private persons involved should also be impleadedLiability:1. Satisfy claims from private persons first2. When unsatisfied secondary liable is the National Treasurer who shall pay thru assurance fund; thereafter Government shall be subrogated to rights of plaintiff to go against other parties or securitiesMeasure of Damages: Based on amount not greater than fair market value of land Amount to be recovered not limited to 500,000 which is maintained as standing fund If fund is not sufficient, National Treasurer is authorized to make up for deficiency from other funds available to Treasury even if not appropriatedWhere and When to File Action against Assurance Fund:1. Any court of competent jurisdiction RTC in city where property lies or resident of plaintiff2. Action prescribes in 6 years from time plaintiff actually suffered loss3. If plaintiff is minor, insane or imprisoned has additional 2 years after disability is removed to file action notwithstanding expiration of regular periodCHAPTER 17: PETITIONS AND MOTIONS AFTER ORIGINAL REGISTRATION1. Lost Duplicate Certificate Sworn statement that certificate is lost to be filed by person in interest with Register of Deeds Petition to court for issuance of new title After notice and hearing court to order issuance of new title with memorandum that it is issued in place of lost certificate (duplicate) If false statement: complex crime of estafa thru falsification of public document2. Adverse claim in registered land Whoever claims a better right or interest in a land adverse to the registered owner shall make written statement alleging his right, how and when acquired with description of land Statement to be signed and sworn to Entitled to registration as adverse claim noted on certificate of title If there is petition speedy hearing, determine validity of adverse claim May be cancelled without court order; effective only for 30 days After cancellation, no adverse claim on same ground may be registered by same claimant1. Adverse to registered owner2. Arises after original registration3. Cannot be registered under provisions of land registration act To be made on original certificate, to the duplicate is not necessary because no access Contracts of lease, contract to sell but prescription and money claims are not allowed Purpose: measure designed to protect the interest of a person over a property where registration is not provided for by the land registration act; serve as notice and warning to persons subsequently dealing on said land Different with lis pendens: permanent; can only be removed after hearing is done but adverse claim is only for 30 days: lis pendens notice that property is in litigation; adverse claim; somebody is claiming better right Recent ruling: adverse claim can only be removed upon court order3. Petition Seeking Surrender of Duplicate Title In voluntary and involuntary conveyances when duplicate cannot be produced, petition in court may be filed to compel surrender of certificate of title duplicate to Register of Deeds After hearing, may order issuance of new certificate and annul the old certificate; new certificate shall contain annotation re annulment of old certificate4. Amendment and Alteration of Certificate of Title A certificate of title cannot be altered, amended except in direct proceeding in court; summary proceeding Entries in registration books also not allowed to be altered except by order of the court Grounds:1. New interest not appearing on the instrument have been created2. Interest have terminated or ceased3. Omission or error was made in entering certificate4. Name of person on certificate has been changed5. Registered owner has married6. Marriage has terminated7. Corporation which owner registered land has dissolved and has not conveyed the property within 3 years after its dissolution What corrections are permitted in title (which does not include lands included in original; technical description as long as original decree of registration will not be reopened and rights or interest of persons not impaired; old survey was incorrect; substitution of name of registered owner)1. Alteration which do not impair rights and2. Alteration which impair rights with consent of all parties3. Alterations to correct obvious mistakes5. Reconstitution of original certificate of tile As consequence of war records have been destroyed When reconstituted have same validity as old title Can only be done judicially by filing a petition for reconstitution with RTC To be published in OG for 2 cons issues and on main entrance of municipality at least 30 days before hearing In remproceedings Court to order reconstitution if it deemed fit; issue order to Register of Deeds Lack of essential data fatal6. Transaction evidenced by lost document how registered Register of Deeds forbidden to effect registration of lost or destroyed documents Steps by interested parties:1. Procure authenticated copy of lost or destroyed instrument2. Secure an order from courtCHAPTER 18: FEES, OFFENSES, PENALTIES In connection with original and subsequent registration of lands payable to Clerk of court, Register of Deeds, sheriff Full payment of fees prerequisite to registration: at least the entry fee of 5.00, rest of the fees due payable within next 15 daysOffenses:1. Larceny2. Perjury false statement under oath3. Fraudulent procurement of certificate: fine of not more than 10,000 or imprisonment of 5 years or both in discretion of court4. Forgery: fine of not more than 10,000 or imprisonment of 10 years or both in discretion of court5. Forging of seal in Register of Deeds, name, signature or handwriting of any officer of court of Register of Deeds6. Fraudulent stamping or assistance in stamping7. Forging of handwriting, signature of persons authorized to sign8. Use of any document which an impression of the seal of the Register of Deeds is forged9. Fraudulent sale: sale of mortgaged property under the misrepresentation that it is not encumbered; deceitful disposition of property as free from encumbrance: imprisonment of 3 years or fine not exceeding 2,00 or both at discretion of courtCHAPTER 19: REGISTRATION OF PUBLIC LANDSPublic Lands all lands owned by the government Inalienable and alienable Inalienable public domain: timber and miner lands Alienable/ Disposable public agricultural landPublic land may be alienated, conveyed to private person.Procedure:1. Official issuing instrument of conveyance to issue instrument2. File instrument with Register of Deeds3. Instrument to be entered in books and owners duplicate to be issued4. Instrument only contract between Government and private person and does not take effect as conveyance if unregistered, it is registration which is operative act of conveying land; evidence of authority for Register of Deeds to register5. Fees to be paid by grantee6. After issuance of certificate of title, land is deemed registered land within the purview of the Torrens systemNature of Title to Public Lands conveyed: Indefeasible and Conclusive In absence of registration, title to public land is not perfected and therefore not indefeasible In case of 2 titles obtained on same date one procured thru decree of registration is superior than patent issued by director of lands 2 titles procured by one person one from homestead patent, one from judicial decree & sold to 2 diff persons, one who bought it for value and in good faith & one who register first shall have preference.Classification of Land of Public Domain: Classification is exclusive prerogative of executive & not by judiciary Anyone who applies for confirmation of imperfect title has burden of proof to overcome the presumption that the land sought to be registered forms part of public domain (Regalian doctrine).Under the Constitution:1. Agricultural only one subject to alienation2. Forest or timber3. Mineral lands4. National parkUnder the Public Land Act:1. Alienable/disposable2. Agricultural3. Residential, commercial, industrial4. Educational, charitable5. Town sites and for public and quasi-public uses6. Timber lands inalienable7. Mineral lands inalienable If patent or title is issued voidab initiofor lack of jurisdiction Not subject to acquisitive prescription; even if in possession for long time, will not ripen into ownership Except:mineral lands and forest lands acquired before inauguration of Commonwealth in November 15, 1935; vested rights which are protected.FishpondsBefore: included in definition of agriculture, conversion of agricultural land to fishponds does not change character of landNow:restricted meaning; fishponds has distinct category; cannot be alienated but may be leased from government.Director of Lands Quasi-judicial officer Findings of fact conclusive on higher court with absence of fraud, mistake other than error of judgment; but not with regards to finding of law Empowered to alienate and dispose landsModes of Alienating Public Lands:1. Homestead settlement2. Sale3. Confirmation of imperfect or incomplete title4. Judicial legalization5. Administrative legalization Lease not included since lease does not transfer ownership; free-title grant: free distribution of public lands to encourage people to cultivate; government furnishes the applicant with tolls plus cash allowance to enable him to cultivateConfirmation of Imperfect Title:1. Last extension granted by Government was until December 31, 19872. Right made available to person qualified to acquire alienable and disposable public land thru open, continuous, exclusive, notorious (OCEN) possession underbonafideclaim of ownership since June 12, 1945.3. Prior to transfer of sovereignty from Spain to US, have applied for purchase but did not receive title, without default on their part provided they have occupied since their application4. In OCEN possession since June 12, 1945 or earlier5. Members of cultural minorities in OCEN who has claim of ownership for at least 30 yearsMax Land that can be Applied:144 hectares In case of foreigner, sufficient that he is already Filipino citizen at the time of his application Corporation who has less 60% Filipino ownership cannot apply confirmation of imperfect title; can only leasePersons Competent to Question Land Grant Persons who obtained title from State or thru persons who obtained title from StatePATENTWhen is Government Grant Deemed Acquired by Operation of Law:1. Deed of conveyance issued by government patent/grant2. Registered with Register of Deeds mandatory: operative act to convey & transfer title3. Actual physical possession, open & continuous Land ceased to be part of public domain & now ownership vests to the grantee Any further grant by Government on same land is null & void Upon registration, title is indefeasibleTitle Issued Pursuant to Registration of Patent1. Indefeasible when registered, deemed incorporated with Torrens system; 1 year after issuance of patent2. May not be opened one year after entry by Land Registration Authority; otherwise, confusion, uncertainty & confusion on government system, of distribution of public lands may arise & this must be avoidedExcept:annullable on ground of fraud, may be reopened even after 1 year because registration does not shield bad faith Court in exercise of equity jurisdiction may direct reconveyance even without ordering cancellation of titleAim of Homestead Patent: Benevolent intention of government to distribute disposable agricultural land to destitute citizens for their home and cultivation As a matter of public policy, may be repurchased even if after 5 years provided not for profit Right of repurchase not allowed if sold within family & not for cultivating or living but for speculation purposeRestrictions:1. Cannot be alienated within 5 years after approval of application for patent2. Cannot be liable for satisfaction of debt within 5 years after approval of patent application3. Subject to repurchase of heirs within 5 years after alienation when allowed already4. No corporation, partnership, association may acquire unless solely for commercial, industrial, educational, religious or charitable purpose or right of way subject to consent of grantee & approval of Secretary of Natural resourcesExceptions:1. Action for partition because it is not a conveyance2. Alienations or encumbrances made in favor of the governmentErred Homesteader not Bared byPari Delicto Pari delictorule does not apply in void contract Violation of prohibition results in void contract Action to recover does not prescribeHomesteader If he dies, succeeded by heirs in the applicationLegal Restriction in Disposition by Non-Christians (Cultural MINORITIES) Conveyance is valid if able to read and can understand language where deed is written Otherwise, not valid unless approved by Commission on National Integration Safeguard is to protect them against fraud/deceitCHAPTER 20: CADASTRAL REGISTRATION PROCEEDINGSPurpose: Another means to bring lands under operation of Torrens System Ordinary registration is slow for lack of initiative on part of landowners, innovation was conceived to hasten and accelerate registration Government initiates that all lands within a stated region are up for registration whether or not owners are interested to settle their titlesNature of Proceedings: In rem No defendant & no plaintiff CompulsoryProcedure:1. Cadastral survey In opinion of Phil president pursuant to requirement of public interest, title of land within a specified area needs to be settled and adjudicated Order Director of Lands to make survey and plan Director gives notice to persons claiming interest in lands & to gen public of day of survey published in OG and posted in conspicuous place on lands to be surveyed Geodetic engineers commences survey During survey, boundaries are marked by monuments2. Filing of petition After survey and plot been made, Director represented by Sol Gen institutes cadastral proceeding by filing petition in court against holders, claimants, possessors, occupants Parcel of lots given their cadastral numbers3. Publication of notice of hearing Court to order date of hearing LRA to notify public by publishing notice 1x in OG and 1x in newspaper of general circulation & copy mailed to person whose address is known & other copies posted in conspicuous place designated bylaw4. Filing of answer Any person claiming interest in any part of lands subject to petition is required to file answer Answer must give the ff details:1. Age of claimant2. Cadastral number of lot claimed3. Name of barrio or municipality where lot is located4. Name of owners of adjoining lots5. If in possession & without grant no of years in possession6. If not in possession state interest claimed7. If assessed of taxation assessed value8. Any encumbrances affecting said lots9. Hearing of case In any convenient place where land lies Like an ordinary RTC trial Conflicting claims are determined Lots claimed are awarded to persons entitles if they could prove title If none could prove title land is declared public domain6. Decision Claimants are notified of decision7. Issuance of decree and certificate of title Upon order of court, LRA to enter decree of registration Decree made basis for issuance of OCT Decree are now being directly prepared and issued on regulation forms of such certificateNature of Title Covered by 2 Acts: Title in good faith & for value Errors in plan does not annul decree of registration Cancellation & correction is permittedLand Already Registered Jurisdiction is limited only to correction of technical errors Court cannot issue decree on land already decreed Revision of decree allowed when substantial rights are not impaired; what is prohibited is registered land to be registered again in name of another Jurisdiction subsist to all incidental mattersCADASTRAL PROCEEDING COMPARED TO ORDINARY REGISTRATIONCADASTRALORDINARY

Party InitiatingGovernmentPrivate Individual

Subject MatterPrivate and PublicPrivate Lands

OwnershipGovernment does not assert ownershipInterested only in settlement of titlesOwnership is Asserted

SurveyGovernment undertakes survey and advances expensesOn account of owner

As to riskIn absence of successful claimant, property goes to governmentApplicant has another chance to claim is dismissal is without prejudice

When can Cadastral Proceedings may be Opened 10 years up to Dec 31, 1968 Unable to file their claim even while in possession granted right to petition for reopening of proceedings provided such were not alienated, leased or disposed by governmentCadastral Court does not Award Damages, But may Direct Sheriff to Deliver Possession Provisions of land registration act applicable to cadastral proceedingsCHAPTER 21: SYSTEM OF REGISTRATION FOR UNREGISTERED LANDS System of registration for unregistered land under the Torrens System (ACT 3344) Before:covers voluntary dealings,nowincludes involuntary dealings Effect if prospective; binds 3rdpersons after registration but yields to better rights of 3rdperson prior to registration (limited effect to 3rdparties) Reason: no strict investigation involved Subsequent dealings also valid if recorded Register of Deeds keeps day book & a register; index system is also kept Procedure:1. Presentment of instrument dealing in unregistered land2. If found in order registered3. If found defective registration is refused writing his reason for refusalSource:Civil Law (Land Titles) Memory AidAteneo Central Bar Operations 2001