matrix accession industrial arts 445-456

8/8/2019 Matrix Accession Industrial Arts 445-456

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Section 2 Right of Accession with Respect to Immovable Property Accession Continua

ACCESSION INDUSTRIAL = happens by : (governed by Articles 445 456 of the Civil Code)

a. Building

b. Planting

c. Sowing

Good Faith With reference to the landowner (LO) or owner of materials (OM):= he is deemed possessor in good faith who is not aware that there exists in his title or mode of acquisition any flaw whichinvalidates it. (Article 526 par 1, by analogy);= he is in good faith if he did not know that he had no right to such land or materials.= the owner of the land or materials is in good faith if he did not know that another was using his land or his materials; orgranting that he did know, if he informed the user of the ownership thereof and made necessary prohibition;

Good Faith - with reference to the builder, planter, or sower (BPS):

= BPS is in good faith if did not know that he had no right to such land or materials;

Good faith is always presumed, under Article 527, and he who alleges bad faith has the burden of proving such badfaith.

Bad Faith with reference to the landowner or owner of materials:= it is understood that there is bad faith on the part of the landowner whenever that act was done with his knowledge andwithout opposition (Art 453, par 2);= the landowner or owner of the materials would be in bad faith if such land or materials were used by another in hispresence or with his knowledge and forbearance and without the opposition in his part;= or the LO or OM is in bad faith if he allows another to use the land or materials, as the case may be, without informinghim of the ownership thereof;

Bad Faith with reference to the builder, planter or sower (BPS):= the BPS is in bad faith if he makes use of the land which he knows belong to another;= the BPS is in bad faith if he knew that he had no right to make use of such materials

MATRIX OF ACCESSION INDUSTRIAL:1


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Articles 445 456 of the Civil Code

Legend: LO = Landowner

BPS = Builder, Planter, or Sower

OM = Owner of Materials

(1)Presumption of ownership of accessory:Article 445:Whatever is built, planted or sown on the land of another and the improvements or repairs made thereon, belong to

the owner of the land, subject to the provisions of the following articles.(2)Presumptions that works, sowing planting were made by the landowner and at his expense

Article 446:All works, sowing, and planting are presumed made by the owner and at his expense, unless the contrary is proved.

LANDOWNER (LO)BUILDER,PLANTER, SOWER

(BPS)OWNER OF MATERIALS (OM)

RIGHTS OBLIGATIONS RIGHTS OBLIGATIONS RIGHTSOBLIGATION

S

A. Rules when landowner constructs or plants on his land with materials of another:Article 447Article 447. The owner of the land who makes thereon, personally or through another, plantings, constructions or works

with the materials of another, shall pay their value; and if he acted in bad faith, he shall also be obliged to thereparation of damages. The owner of the materials shall have the right to remove them only in case he can do sowithout injury to the work constructed, or without the plantings, constructions or works being destroyed. However, ifthe landowner acted in bad faith, the owner of the materials may remove them in any event, with a right to beindemnified for damages.

Note: Indemnification for damages shall comprehend not only the value of the loss suffered but also that of the profitswhich the oblige failed to realized;

(1)LO/BPS

= in BadFaith (BF);OM = inGF

a. Becomes the

owner of thematerials(right ofappropriationof thematerials);Except:When the OMdecides to

a. Must pay not

only the valueof the materialbut also obligedto thereparation ofdamages in caseOM chose not toremove thematerials.

a. Right to

reimbursementofthe value ofmaterials plusdamages, incase he choosesnot to removethe materials

b. Entitled toabsolute right

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Sremovedwithoutdestruction tothe workmade or tothe plants. Insuch a case,OM canremovethem.

materialsprovided it willnot cause injuryto the workconstructed, orwithout theplantings,construction orworks beingdestroyed.

B. Rules when BPS (builder, planter or sower) builds, plants or sows on the land of

anotherArticle 448. The owner of the land on which anything has been built, sown or planted in good faith, shall have the right to

appropriate as his own the works, sowing or planting, after payment of indemnity provided for in Articles 546 and548, or to oblige the one who built or planted to pay the price of the land, and the one who sowed, the proper rent.However, the builder or planter cannot be oblige to buy the land if its value is considerably more than that of thebuilding or trees. In such case, he shall pay reasonable rent, if the owner of the land does not choose to appropriatethe building or trees after proper indemnity. The parties shall agree upon the terms of the lease and in case ofdisagreement, the court shall fix the terms thereof.a. Article 546: Necessary expenses shall be refunded to every possessor, but only the possessor in good faith may retain the

thing until he has been reimbursed therefor.

b. Article 548: Expenses for pure luxury or mere pleasure shall not be refunded to the possessor in good faith; but he mayremove the ornaments with which he has embellished the principal thing if it suffers no injury thereby, and if his successorin the possession does not prefer to refund the amount expended.

Note: Indemnities to be given:a. Necessary expenses are those made for the preservation of the thing or those without which the thing would deteriorate

or be lost such as those incurred for cultivation, production, and upkeep. Ordinary repairs are those required by the wearand tear due to the natural use of the thing, and are indispensable for its preservation

b. Useful expenses are those that augment the income of the thing upon which they are spent or add value to the property

c. Luxurious expenses are those unnecessary expenses such as ornaments embellished upon the property.Note: Since the choice given the LO is confined to either the appropriation or compulsory selling, he has no

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S

right of removal or demolition, unless after having selected a compulsory sale, the builder fails to pay forthe land

Remedies if option exercised was compulsory selling and builder fails to pay:a. Leave things as they are and assume relation of lessor and lessee; pay rents; orb. Demolish what has been built, sown or planted; orc. Consider price of land as an ordinary money debt of the builder. Therefore, he may enforce payment thru andordinary action for the recovery of a money debt (levy and execution)

(1)LO = inGF;BPS = inGF;This rulealsoapplies ifboth the

LO andBPS is inBad Faith(Art. 453)

Land Owner hastwo (2) options:a. To

appropriateas his ownthe works,sowing orplanting

afterpayment ofindemnity;OR

b. Oblige thebuilder orplanter topay thevalue of theland; or the

a. Has to payindemnity ifchooses toappropriate asown the works,sowing or planting

made on his land

a. Right toreimbursement ofnecessaryand usefulexpenses

incurred forthepreservationof theproperty

b. Right ofRetention ofownershipof whateveris built,

a.To payproper rentin case theLO choosestoappropriate

whatever isbuilt, plantedor sown onhis land.(The termsof lease shallbe agreedupon by theparties, incase of

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Ssower, theproper rent(in case LOchose not toappropriate)

However:Cannot obligethe builder orplanter to buythe land if thevalue of the

land isconsiderablymore than thevalue of thebuilding ortrees;Otherwise,proper rentmust be paid;(The terms oflease shall be

agreed upon bythe parties, incase ofdisagreement,the court shallfix the terms.)

planted orsown on theland, untilpayment ofindemnityby the LO (ifLO choosestoappropriate)

c. May removethe

ornamentswith whichhe hasembellishedthe principalthing if itsuffers noinjurythereby,and if hissuccessor in

thepossessiondoes notprefer torefund theamountexpended.

d. Cannot beobliged tobuy the land

disagreement, the courtshall fix theterms.)

b. Must pay forthe value ofthe land if heaccepts theoffer of the

LO to sell theland;If BP fails topay theagreed price,he will losehis right ofretentionand LO shallbe entitledto removal

ofimprovement (Art. 450).

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Sif the valueof the landisconsiderably more thanthe value ofthe buildingor trees.

Article 449. He who builds, plants or sows in bad faith on the land of another, loses what is built, planted or sown withoutright of indemnity.

Article 450. The owner of the land on which anything has been built, planted or sown in bad faith may demand thedemolition of the works, or that the planting or sowing be removed, in order to replace things in their formercondition at the expense of the person who built, planted or sowed; or he may compel the builder or planter to paythe price of the land, and the sower the proper rent.

Article 451. In the cases of the two preceding articles, the landowner is entitled to damages from the builder, planter, orsower.

Article 452. The builder, planter or sower in bad faith is entitled to reimbursement for the necessary expenses for thepreservation of the land.

(2)LO = inGF;BPS = inBF

a. Right ofappropriation, i.e. hebecomes theowner ofwhatever isbuilt, planted

a. Pay for thenecessary anduseful expensesfor thepreservation ofthe land incurredby the BPS in bad

a. Loseswhatever isbuilt,planted orsown on theland ofanother

a. Pay for theexpensesincurred incase theland ownerchose todemolish or

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Sor sown onhis land,withoutpayingindemnity forits value (Art449)

b. May demandthedemolition ofthe work, or

that theplanting orsowing beremoved inorder toreplacethings intheir formercondition atthe expenseof the BPS

(Art. 450)c. May compelthe BP topay for thevalue of theland whetheror not it isconsiderablymore thanthe value of

faith (Art. 452) withoutright toindemnity(Art. 449)

b. He isentitled toreimbursement for thenecessaryand usefulexpenses for

thepreservationof the land(Art. 452)

removewhatever isbuilt orplanted/sown on his landin order toreplacethings theirformerconditions(Art 450)

b. If the LOcompels theBPS to buythe land, thelatter mustpay for thevalue of theland whetheror not the itis more thanthe value of

the buildingor trees; thesower mustpay for theproper rent(Art. 450)

c. In all of theabovecircumstances, the BPS

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Sthe buildingor trees;and sowerproper rent.(Art. 450)

d. In all of theabovecircumstances, the LOshall beentitled to

damagesfrom theBPS(Art451)

shall beliable fordamages.

Article 454. When the land owner acted in bad faith and the builder, planter or sower proceeded in good faith, theprovisions of Article 447 shall apply.

a. Article 447.The owner of the land who makes thereon, personally or through another, plantings, constructions orworks with the materials of another, shall pay their value; and if he acted in bad faith, he shall also be obliged to thereparation of damages. The owner of the materials shall have the right to remove them only in case he can do so withoutinjury to the work constructed, or without the plantings, constructions or works being destroyed. However, if the landowneracted in bad faith, the owner of the materials may remove them in any event, with a right to be indemnified for damages.

(3)LO = inBF;BPS = inGF

a. Becomes theowner of theimprovements (right ofappropriationof whatever isbuilt, plantedor sown);Except:When the

b.Must pay notonly the valueof what is built,planted or sownbut also obligedto thereparation ofdamages in caseBPS chose not toremove the

a.Right toreimbursement ofthevalue of thebuilding ortrees orplants plusdamages,in case hechooses not

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SBPS decidesto removetheimprovements whether ornotdestructionwould becaused. Inthis case, theimprovement

s would stillbelong to theBPS who inaddition willstill beentitled todamages

buildings ortrees/plants.

to removethematerials

b.Entitled toabsoluteright ofremoval oftheimprovements whetheror not

substantialinjury iscaused;plusdamages;(ownershipofimprovements stillretains tohim)

C. Rules when BPS (builder, planter or sower) builds, plants or sows on the land ofanother using the materials of a third person

Article 455. If the materials, plants or seeds belong to a third person who has not acted in bad faith, the owner of theland shall answer subsidiarily for their value and only in the event that the one who made use of them has noproperty with which to pay.

This provision shall not apply if the owner makes use of the right granted by Art. 450. If the owner of thematerials, plants or seeds has been paid by the builder , the later may demand from the landowner the value ofthe materials and labor.

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S(1)LO =inGFBPS = inGFOM = in GF

Apply the Rules in Art. 448, item 1 ofthis MatrixAdditional Rights and Obligation of theLO:1. Subsidiarily liable for the value of

the materials to OM in the eventthat the BPS is insolvent.

2. The landowner can only make useof the materials if he appropriatesthe construction; (LO subsidiarilyliable)

3. If he compels the BPS to purchasethe land; or to demolish theconstruction, the landowner doesnot make use of the materials, thushe cannot be made subsidiarilyliable to the OM for the valuethereof;

4. If the BPS pays the OM, BPS maydemand from landowner the valueof the materials and labor (providedLO did not appropriate the

materials because he did not profitfrom the accession)

Apply the Rules in Art. 448, item1 of this MatrixAdditional Rights and Obligationof the BPS:1. Principally liable to the OM;

since he was the first to usethe materials;

2. If BPS is insolvent, LO shallbe subsidiarily liable,provided the latter chose touse the materials;

3. If the BPS pays the OM, BPSmay demand from landownerthe value of the materialsand labor (provided LO didnot appropriate the materialsbecause he did not profitfrom the accession)

a. Entitled toreimbursementfrom the BPS,principally; or

b. Can go after theLO if the BPS isinsolvent and LO

uses thematerials

(2)LO = inGFBPS = inBFOM = in BF

a. Right ofappropriation, i.e. hebecomes theowner ofwhatever is

a.Pay for thenecessary anduseful expensesfor thepreservation ofthe land incurred

Note: As between BPS and OM since they are both in bad faith, goodfaith must govern. Hence:a. Becomes

the owner ofthematerials, ifhe pays fortheir value;

a.MustreimburseOM for thevalue of thematerials ifOM chose

a. Right toreimbursement ofthe value ofmaterials, incase he choosesnot to remove

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Sbuilt, plantedor sown onhis land,withoutpayingindemnity forits value (Art449);OR

b. May demandthe

demolition ofthe work, orthat theplanting orsowing beremoved inorder toreplacethings intheir formercondition at

the expenseof the BPS(Art. 450);OR

c. May compelthe BP to payfor the valueof the landwhether ornot it is

by the BPS in badfaith (Art. 452)

Exception:When they canbe removedwithoutdestruction tothe work madeor to theplants. Inwhich case,the OM mayremove them.

not removethematerials;

b.In case BPScannot pay,LO will notbesubsidiarilyliablebecause tohim, BPS is

in bad faithc. In case BPSpays for thevalue of thematerials toOM, BPScannot askreimbursement from theLO, becauseas to the

latter BPS isin bad faith.

the materials;(can onlydemandreimbursementfrom BPS ofwhich he isprimarily liable)In case BPScannot pay, LOwill not besubsidiarily

liable to OMbecause as tothe LO, BPS is inbad faithb. Limitedright ofremoval, i.e.

May removethe materialsprovided it willnot cause injury

to the workconstructed, orwithout theplantings,construction orworks beingdestroyed.

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Sconsiderablymore thanthe value ofthe buildingor trees; andsower properrent. (Art.450)

d. In all of theabovecircumstances the LO candemanddamagesfrom both theBPS and OM

(4)LO =inGFBPS = inGFOM = in BF

Apply the Rules in Art. 448, item 1 ofthis Matrix

Apply the Rules in Art. 448, item1 of this Matrix

If he acted in bad faith, OM shalllose all rights to be indemnified;Moreover, he can even be liable fordamages as when the materials areof an inferior quality.

Article 456. In the cases regulated in the preceding articles, good faith does not necessarily exclude negligence, which gives right to

damages under article 2176.Article 2176. Whoever by acts or omission causes damage to another, there being fault or negligence, is obliged to pay for thedamage done. Such fault or negligence, if there is no pre-existing contractual relations between the parties, is called quasi-delict.

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matrix accession industrial arts 445-456

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