property (paras summarized)

8/11/2019 Property (Paras Summarized)

1/49

PROPERTY REVIEWERCivil Code of the Philippines

Paras, Book II, Articles 44 to !"#

PROPERTY (subject or course) classifies or defines the different kinds of appropriable objects, provides for

their acquisition, and loss, and in general, treats of the nature and consequence of such real rights.

Classification of THINGS

Res nullius belonging to no one

Res communes to everyone Res alicujus to someone

Classification of Property

Movable, immovable

ublic, private dominion

!ithin, outside the commerce of man

resent, future property

"angible or corporeal, intangible or incorporeal

rincipal, accessory

#ungible, non$fungible

%eneric, specific

&n custodia legis, free property

Characteristics of Property'. tility for the satisfaction of moral or economic ants*. +usceptibility of appropriation. &ndividuality or substantivity

ARTIC$E 44

Importance of classification to immovable and movable the fact that different provisions of the lagovern the acquisition, possession, disposition, loss, and registration of immovables and movables

Human body neither personal nor real

ARTIC$E 4% & I''ova(les

Definition the etymological meaning should yield to the legal or juridical significance attached to theterm by the la

Academic Classification of !A" P#P!TI!S'. -y nature*. -y classification. -y destination or purpose. -y analogy

-uildings there should be intent of permanent anne/ation (immovable property)

0o distinction hether built on on land or not

Materials and1or dismantled house personal property

House built on rented land may be mort$a$ed2

3hattel provided parties agree and no innocent third party is prejudiced

Real 4state Mortgage should be preferred if made subsequent to chattel mortgage

-uildings subject to chattel mortgage cannot be sold e/tra judicially (under '5, refers to realmortgage only)

0o legal compulsion to register buildings that do not belong to oners land 06 registry in thisjurisdiction of building apart from land.

-uildings sold or mortgaged to be immediately demolished personal property, true object of thecontract is the materials

R4%&+"R7 6# R64R"7 ministerial duty, should register as long as proper fee has been paid. 8e hasno judicial or quasi$judicial poer to determine the nature of the document.

3onstructions of all kinds attachment must be more or less permanent

!ooden scaffoldings of painters personal property

9etached or uprooted trees personal property, e/cept timer in timberland

Real property (incorporeal thing) injury or breakage or deterioration in case of separation must be+-+":0"&:;


2/49

4verything attached to an immovable (par.) hen incorporation ceases or hen it is detached it isconsidered as personal property

ar. (statues, reliefs, paintings) should have intent to attach permanently

ar.5 (machinery) '. +hould be placed by the oner of the tenement*. &ndustry or orks must be carried on in a building. 9irectly meet the needs of the industry or ork. Machines must be essential and principal elements in the industry, and not merely incidental

4ffect of separation (par.5)'. &f no longer used in the industry chattel*. "emporary separation but still needed in the industry real property

Machinery placed by tenant personal

"enant promised to give the machinery real to the oner

"enant acted as agent of oner real

3annot be real property if placed by person having "4M6R:R7 R&%8" only

4lectric poles1toers personal properties, because it does not fall in par.',, < 5.

ar.= $'. :nimals inside real property*. +ame ith animals temporarily outside but ith intent to return

ar.> #ertili?ers should be actually used in land

ar.@ mines, slag dumps, etc

ar.A floating house vs. vessel

ar.'B pertaining to CrightsD real property by analogy

ARTIC$E 4! & )ova(les

%roing crops personal property for purposes of chattel mortgage la and attachment

"est of hat may be stole it is of value and may be appropriated by a person other than the oner

T!ST2 hether movable or immovable'. roperty is capable of being carried from place to place ("est by 94+3R&"&60)*. 3hange in location can be made ithout injuring real property to hich it is attached. 6bject is not enumerated in :R" '5 ("est by 4E3;+&60)

"est by 4E3;+&60 is superior to the test by description.

atent, copyright, right to invention personal property

ARTIC$E 4*

6bligations and actions over movables and demandable sums +hares of stocks

&f object is illegal not considered demandable so no right e/ists

&f the only property of a corporation is real property shares of stock is still personal property

M6047, hether legal tender or merchandise personal property

ARTIC$E 4+

3onsumable by nature, cannot be used ithout being consumed

0on$consumable any other property

#ungible if agreed that the equivalent be returned

0on$fungible identical thing be returned

ARTIC$E 4" P-(lic do'inion or private o.nership

ublic capacity

rivate capacity

ARTIC$E 4/0

ublic 9ominion onership by the +tate, it has control and administration

6R onership by the public in generalThree %inds&

'. ublic use may be used by anybody*. ublic service may be used only by duly authori?ed persons. 9evelopment of national ealth e.g. natural resources

3anals constructed by the +tate ublic 9omain


3/49

3anals constructed by private persons privateCharacteristics of Properties of Public Dominion&

'. 6utside the commerce of man*. 3annot be acquired by prescription. 3annot be registered or subject of a "orrens title. 3annot be levied upon by e/ecution, nor can they be attached5. %enerally, they can be used by everybody=. 4ither real or personal property

Registration of properties of ublic domain does not confer onership &nclusion in title does not confer title

#orest lands cannot be registered

Right of public character cannot be transferred e/cept through succession

:lloing the use of canals by others the oner losses the e/clusive right to use the same

:gricultural land may be acquired by private persons

#orest and mining lands may not be transferred but may be leased

ublic agricultural lands alienable portions 06" classified as forest or mineral lands, may beacquired, if made available becoming patrimonial properties

roper licensee ons forest products obtained by other entities

3lassification and re$classification of ublic lands prerogative of the e/ecutive department

%overnment lands includes public and patrimonial lands

ublic ;and :ct2

;and is alienable public land

6pen, continuous, adverse possession

ARTIC$E 4/

atrimonial property not devoted to public use, public service, or development of national ealth.

6ned by the +tate in its private capacity.!'amples&

'. #riar lands*. +an ;a?aro 4state. ;ands obtained in escheat proceedings. Municipal oned aterorks system

atrimonial properties may be acquired through prescription

ARTIC$E 4//

!hen not devoted to public use, public service or development of national ealth patrimonialproperty

4/ecutive and legislative authority to make +38 declaration

ARTIC$E 4/#(or P#"ITICA" S)*DI+ISI#NS&

'. ublic use*. atrimonial property

: municipality is a juridical person capable of acquiring properties

0ational %overnment 3entral %overnment

%overnment of the hilippines $ totality

ARTIC$E 4/4

roperties of political subdivisions for ublic service patrimonial atrimonial property not ordinary private property, acquisition should 06" impair certain

governmental activities

roperties that came from the +tate the %overnment controls the disposition of properties of politicalsubdivisions

:bsence of proof that political subdivisions acquired the properties ith their on funds presumethat it came from the +tate

Types of Properties of Political Subdivisions&'. :cquired through their on funds*. "hose subject to the control and supervision of the +tate held in trust by the +tate to them

roperties for -;&3 +4 may not be leased reimburse the rents if 06 benefit as gained by lessee


4/49

roperties of patrimonial in nature may be levied upon or attached

ARTIC$E 4/%

rivate properties may be oned individually or collectively

ossession since time immemorial presumption that it never been part of public domain

4rror in "orrens title hich includes government properties may only be questioned by thegovernment

ayment of land ta/ is not an evidence of onership if there is a "orrens title

:cquisition of land by aliens prohibited (absolute)

ARTIC$E 4/! #urnitures

"he article enumerates things not included in the term #urnitures

Money, credit, securities, stocks, jeelry, etc.

OW1ER23IP

ARTIC$E 4/*#,N!SHIP independent and general right of a person to control a thing particularly in his possession,enjoyment, disposition, and recovery, subject to 06 restriction e/cept2

'. "hose imposed by +tate*. -y private persons. :nd ithout prejudice to the provisions of the la

;easehold relation is 0ot e/tinguished by the alienation or transfer of legal possession of thelandholding

Finds of 6nership

#ull onership includes all rights

0aked onership #ull onership minus usufruct

+ole$onership

3o$onership

ARTIC$E 4/+i$hts of #-ner&

'. 4njoy*. 9ispose. Recover

Right to possess right to hold a thing or enjoy a right

Right to use includes the right to e/clude any person from the enjoyment and disposal thereof

Right to fruits$ natural, industrial and civil

Right to abuse consume

Right to dispose donate, sell, pledge, mortgage

+eller need 0ot be the oner upon perfection of sale, but should be the oner at the time ofdelivery

Right to recover right to action against holder and possessor of the thing

:s "ransferrable to heirs and assignees

Right of 6nership is 06" absolute

!elfare of the people is the supreme la

se of property should 0ot impair the rights of others

;imitations by the +tate2

olice poer

4minent domain

"a/ation

Actions to !C#+!&'. R4;4G&0 $ personal property

a. 3oupled ith a rit of replevinb. Must sho in his affidavit or of another person that the applicant is the onerc. :llege the cause of detentiond. "hat it is 06" in custodia legise. +tate the market value of the propertyf. %ive a bond double the value of the property


5/49

"he court then orders the sheriff to take custody of the property(or re.delivery&

!ithin 5 daysa. ost counterbond double the value of the propertyb. +erve the plaintiff ith the copy thereof

"o avail remedy of intervention of third party action of property is necessary

!rit of replevin cannot be directed against a laful possessor

Replevin ill not lie in properties in custodia legis

*. #6R3&-;4 40"R7 deprived of possession through2# #orce& &ntimidation+ +tealth" "hreat+ +trategy

:n action to recover physical or material possession

rescription ' year

:llegation of Cunlaful possessionD $ sufficient

6ne in possession of public land may file an action for forcible entry

:ctual condition of the title to property and onership is 06" material

3ourt of #irst &nstance (R"3) has concurrent jurisdiction if possession cannot be determined unless

the issue of onership is resolved

. 0;:!#; 94":&04R unlaful ithholding after e/piration or termination of right to hold possession

+quatter should vacate upon demand, proper remedy is unlaful detainer

&ssue is physical or material possession

+ubsequent acquisition ill not bar the e/ecution of judgment

&f issue on title or onership is in question action should be dismissed for lack of jurisdiction.nless in case of appeal, parties agree that R"3 ill hear the case in its jurisdiction

rescription $ ' year, upon receipt of last demand to vacate

+quatter settles ithout aful authority'. 6ne ho settles in public land*. nlaful settler in private land

rescription after 604 year upon termination of contract

9emand to vacate should be absolute and 06" conditional

:ction be brought after 5 days (building) or '5 days (land) after demand to vacate, unless accionpubliciana is instituted

aying less rentals than stipulated there is illegal possession

6nership of an alien is 06" a defense onership is immaterial in the action

nlaful detainer possession as laful in the beginning but became unlaful afterards

-oth #orcible 4ntry and nlaful 9etainer actions in personam or quasi$in rem

:fter ' year prescribes remedy is accion publiciana

%uests, friends, and relatives are privies to an action against a tenant

: ne tenant may file the action after termination of contract of the old tenant

;ease Cmonth$to$monthD basis may be ejected

9emand to vacate is essential tenant retains possession

0ot essential buyer, seller or any other person retains possession

!rit of e/ecution and demolition may be issued if judgment in ejectment case is final

&f decision is in favor of plaintiff immediate e/ecution, unless2'. :ppeal has been perfected*. 9efendant files sufficient bond. 9efendant pay rents, damages and costs

+upersedeas bond for -:3F R40":;+ only, defendant should still pay periodic deposits

&f decision is in favor of defendant he shall continue possession (no e/ecution)

Mortgagee cannot intervene in ejectment case involving possession only

. :33&60 -;&3&:0: recovery of the better right to possess

lenary action in ordinary civil proceeding

rescription 'B years

&ssue is possession de jure


6/49

0o automatic suspension if government ish to e/propriate the property (distinguished fromforcible entry and unlaful detainer)

%inds of Accion Publiciana&a. 9eprivation not caused by #&+"+b. :ction for forcible entry or unlaful detainer hich has prescribed (more than ' year)

R"3 has jurisdiction

&f the action of forcible entry or unlaful detainer is decided upon$ cannot institute accionpubliciana

:ccion pauliana action to rescind contracts in fraud of creditors

5. :33&60 R4&G&09&3:"6R&: recover onership over real property

R"3 has jurisdiction

"itle proceedings over public land -ureau of ;ands

if pending, R"3 should dismiss for lack of course of action

rescribes in 'B or B years

'B years good faith and just title

B years does not require good faith or just title

Recovery of title or possession of real estate does 06" lapse by death

:ction in personam binding upon parties and privies thereto

9ecree of registration is not open to revie or attack after lapse of one year but reconveyance isstill available if it has not yet passed to an innocent purchaser

&f already passed to an innocent purchaser action is for damages only

-oth reivindication and detainer may be filed over the same land because it involves differentissues

Hudgment is not binding against strangers. 4ven if declared oner, ejectment case should still beinstituted against strangers in possession.

Iuestion of title may be raised any time even if the cause of action should constitute acts ofejectment (no need to ait for lapse of ' year)

+quatter lack of cause of action for reconveyance

&mplied trust reconveyance prescribes in 'B years

#raud years after discovery of fraud

9eclaration of onership may include possession if there are 06 rights to be defined ith respectto the possessor

&f there is, oner should file a motion for e/ecution of right to possess :ccion reivindicatoria does not e/ist if deprived by virtue of la

=. !rit of &njunction

0ot alloed hen not in possession

ossessor presumed to have a better rightIn/unction0 remedy for the follo-in$&

a. May present a motion after 'B days of institution of #orcible entry court shall decide in B daysb. 9uring appeal of unlaful detainer 'B days after perfection of appealc. 6ner, still in possession, to prevent repeated intrusiond. 3ontinued usurpation thru #&+"+e. ossession de jure for over a year even though 06" the oner

9ecision denying injunction does 06" bar suit in ejectment

>. !rit of ossession

+uccessful registrant under the "orrens +ystem be put in possession

May be used by the rightful oner and not against him

&mplies delivery of possession

!rit of demolition may also be issued

964+ 06" prescribe (laches ill not lie)

May only be issued once

ossessors after registration $ remedy is accion interdictal and 06" possession

ARTIC$E 4/"

Right to e/clude any person from the enjoyment and disposal thereof


7/49

May use force as may be reasonably necessary to prevent actual or threatened invasion or usurpation

ARTIC$E 4#0

6ner may build alls, ditches, etc. but ithout detriment to servitudes constituted thereon

ARTIC$E 4#

se should 06" injure rights of third persons

#undamental basis of police poer

ARTIC$E 4#/ Cstate of necessityD

e1uisites&'. 4vil sought to be avoided actually e/ists*. &njury feared is %R4:"4R. 0o other practical and less harmful means to prevent it

ARTIC$E 4##

9isputable presumption of onershipe1uisites

'. :ctual possession*. 3laim of onership

ossessor in the concept of oner presumption that he has just title

"rue oner has to resort to judicial process to prevent disturbance of peace

ARTIC$E 4#4e1uisites of action to recover&

'. roperty must be identified*. Reliance on the title of plaintiff and not on the eakness of the defendantJs claim

9efinite description

&f both claims are !4:F presumption of onership is in the possessor

ARTIC$E 4#%!2IN!NT D#2AIN&

'. "aking by competent authority*. 6bservance of due process. "aking for public use. ayment of just compensation

ublic use determination does 06" depend on the character of the entity or agency

3ongress may authori?e to devote land in public use to another

3ity is 0ot authori?ed mere general authority is vested

Hust compensation fair and full equivalent value of the loss sustained

H3 K MG L(39 $ 3-)

0e concept of just compensation based on Csocial valueD

9etermination of H3 judicial function

&nterest should be = per annum

-asis of H32

"ime of the taking

&nstitution of action (hichever is earlier)

0ot only reasonable amount (H3) but also reasonable time

H3 K should not be higher than hat the oner demands +entimental value is 06" considered in H3

3onsequential -enefits (3-) should be actual and appreciable

4/propriator is liable for the tenantJs eviction

"he claim for compensation may prescribe

&f %overnment does 06" pay action may be brought against the :uditor %eneral

6nership is transferred only after payment of just compensation ith proper interest

&f 4/propriation grants full onership does not revert to original oner hen property is no longer forpublic use

&f grant is conditional it ill revert

Mere notice of e/propriation, mere notice of condemnation proceedings oner may still sell the landNe/cept hen government is in actual possession


8/49

+mall land e/traordinary e/propriation not alloed

&f sale is agreed no need for e/propriation

4/propriation may impair contracts e/cept hen the %overnment is a party to the contract

%overnment entered a lease to on contract cannot institute e/propriation, but enforcement ofcontract if oner refuses to sell

4/propriation presupposes onership cannot question onership of oner hile at the same timeinstitute e/propriation proceedings

rovisional value should be deposited to possess property

rban ;and Reform first refusal to tenants residing for 'B years in leased land ithin ;R e/ceptapartment dellers

ARTIC$E 4#!

+ei?ure through police poer no compensation

0uisance can be abated

ublic, private nuisance

0uisance per se, per accidensARTIC$E 4#*

6ner of land oner of its surface and everything under it

8e may construct any orks ithout detriment to servitudes and subject to special las andordinances

8e cannot complain to reasonable requirements of aerial navigation#-nership is sub/ect to&

'. +ervitudes and easements*. +pecial las. 6rdinances. Reasonable requirements of aerial navigation5. revent injury to rights of third persons (principle of human relations)

Restricted by reasonable requirements of underground shelter

Mines discovered underneath private land public domain by virtue of Regalian 9octrine (Mining ;a)

ARTIC$E 4#+

9iscovery in property of oner K 'BB to oner

;and of another by chance K 5B$5B, oner and finder

&f finder is trespasser K no share

&f land oner is married conjugal

&f interest to science and arts +tate may acquire paying just price

sufructuary is a stranger K no share

sufructuary is the finder K 5B

;aborers employed to find treasure no share but ill be paid ages

3ontract may stipulate actual share of finders in treasure hunt

ARTIC$E 4#"Hidden Treasure&

'. 8idden and unknon deposit*. 3onsists of money, jeelry, and other precious objects. ;aful onership does not appear

&f deliberately hidden by oner 06" Chidden treasureD if he can prove onership

9eath of oner of treasure ill go to the heirs

ACCE22IO1

ARTIC$E 440

:ccession right of the oner to everything hich is2'. roduced thereby*. !hich is incorporated or attached thereto

a. 0aturalb. :rtificial

2#D!S of Ac1uirin$ #-nership6 6ccupation; ;a


9/49

9 9onation" "radition& &ntellectual creation rescription+ $ +uccession

ARTIC$E 44ARTIC$E 44/Natural (ruits

+pontaneous products of the soil

"he young

6ther products of animals

Real propertyIndustrial (ruits

roduced by lands through cultivation or labor

Real propertyCivil (ruits

Rents

rice of leases of land and property

:mount of perpetual or life annuities

6ther similar income

ersonal propertyOOO

7oung no distinction, if either brought by scientific means or not, natural fruit &f leased onerously oned by lessee

&f commodatum oned by oner

ARTIC$E 44#If $ood faith possessor ons the fruitsIf possessor is in bad faith

&f fruits already gathered oner should pay for production, gathering, preservation if heclaims the fruits

&f still attached apply :rt. A

ARTIC$E 444

:nnual and perennial crops natural fruits

3ivil fruits accrue daily and can be pro$rated

ARTIC$E 44%

4/ception2 :rt '*B, #amily 3ode oner is one ith greater value in share (either conjugal orparaphernal)

ARTIC$E 44!

resumption as to improvements oned by landoner and made at his e/pense

ARTIC$E 44* 4%!ood faith 5 Bad faithIndemnity&

'. ayment of necessary e/penses*. useful e/penses. ;u/urious e/penses

"ando-ner #-ner of materials *uilder 3 Planter 3So-er

Article 44*Good faith

4"ando-ner5

ay the value ofmaterials

Right to removeithout injury to the orkconstructed


10/49

*ad faith4"ando-ner5

ay the value ofmaterials plus damages

:bsolute right toremove, plus right to beindemnified for damages

Measure ofdamages2'. Galue of the loss

suffered*. rofits failed to

reali?e

Article 44+ 3hoice K landoner,because of the principle ofaccession

C4arlier rightD or ColderrightD

Good faith4*oth "ando-ner

and*uilder3Planter3So-

er5

May appropriate ashis on after payment ofproper indemnity

0o right of removalunless builder fails to payupon choice of compulsorysale

&f the landoner didnot choose to appropriateand the price of land isconsiderable more than

that of the buildings ortrees pay R4:+60:-;4R40", terms fi/ed byparties, in case ofdisagreement, the courtsshall fi/ the term of thelease.

May pay theprice of land,provided that valueof the land is 06"considerably morethan that of thebuilding or trees

If builder fails to pay&'. May demand

reasonable rent

*. 9emolish thehouse. +ell the

property at publicauction (ordinarymoney debt)

"ando-ner #-ner of materials *uilder 3 Planter 3 So-er

Article 44"*ad faith

4*uilder3Planter3So-er5

May demanddemolition at the e/penseof the builder, planter orsoer plus damages

%et the houseithout indemnity plusdamages

;osses hat isbuilt, planted, or soedithout right toindemnity

Article 4%0 4% May compel thebuilder, planter to pay theprice of land, and soer,proper rent plus damages

Article 4%/ 4ntitled toreimbursement for thenecessary e/penses forthe preservation of theland

Article 4%# &f both are bad faith K %669 #:&"8Article 4%4

*ad faith4"ando-ner5

ay the value of the

materials plus damages

:bsolute right to

remove plus right to beindemnified fordamages

Article 4%%*ad faith

4#-ner of thematerials5

;osses all rights to beindemnified. 8e caneven be liable forconsequentialdamages

Good faith4#-ner of the

materials5

+ubsidiarily liable incase of insolvency of thebuilder, and if he makesuse of the materials

4ntitled toreimbursement

rincipally liablefor reimbursement


11/49

He does N#T ma6e use ofthe materials if&

&f he compels thebuilder to purchasethe land

6r demolish theconstruction

ARTIC$E 4%*Accession Natural

'. :lluvium*. :vulsion. 3hange in the course of rivers. #ormation of islands

:lluvium gradual change

Rivers only

+oil cannot be identified

:ccretion on bank of a lake oned by the oners of the estate

+ame on islands

6n sea public domain

4asement accretion oned by riparian oner

:lluvium 06" protected by registration or "orrens title Registration needed to protect alluvium from prescription

:lluvium automatic onership but 06" automatic registration

ARTIC$E 4%+

'. onds No accretion if2O -y natural decrease

*. ;agoons O 4/traordinary floods

"his is not alluvium because there is 06 alluvial deposit

ARTIC$E 4%"Avulsion

Fnon portion of the land transfers to another estate

3onsiderable quantity of earth

:ction of ater'. +udden or abrupt change*. &dentifiable or verifiable. 6ned by oner of the land it as detached from

Removal should be ithin * years

ARTIC$E 4!0

"rees uprooted should be claimed in = months

&f claimed oner should pay e/penses in gathering and putting them in a safe place

:fter claim of onership but no actual claim action to recover ill prescribe in years (ordinaryprescription)

ARTIC$E 4!Chan$e in the course of -aters

6ned by landoners of land no occupied by the ater

6ners of land adjoining the land shall have the right to acquire it. Galue shall not e/ceed thevalue of area occupied by the ne land (are lost).

C&n proportionD if multiple oners

&f one oner the hole thing is oned by landoners of lands no occupied by the ne river bed

e1uisites&


12/49

'. 3hange must be sudden to identify old river bed*. 3hange is permanent. 0atural change. 9efinite abandonment of government5. River must continue to e/ist

&f river dries up public domain

ARTIC$E 4!/

River (ne bed) in private estate public domain &f the course ent back to original bed land oned by landoners not of public domain (ne bed)

ARTIC$E 4!#

River divides into branches

&solation 1 +eparation land oned by riparian oner

ARTIC$E 4!4Islands on&

'. +eas*. ;akes oned by the +tate. 0avigable 1 floating rivers

ARTIC$E 4!%

Islands formed on non.navi$able rivers& 6ner of nearer margin sole oner

&f equidistant divided longitudinally in half

ARTIC$E 4!!Accession for )ova(le Propert6Types&

'. :djunction*. Mi/ture (commi/tion or confusion). +pecification

:djunction $to things of different oners join and form a single object%inds&

'. &nclusion*. +oldering. !riting. ainting5. !eaving

ARTIC$E 4!*

rincipal

:ccessory been united as ornament or for its use or perfection

ARTIC$E 4!+Principal.Accessory Test

'. "hat to hich the other has been united as an ornament, or for its use, or perfection*. %reater G:;;4. %reater G6;M4. %reater M4R&"+ (combined consideration for utility and volume)

Motor vehicle engine is principal

ARTIC$E 4!"

+eparation may be demanded if no injury

&f accessory is M6R4 precious separation may be demanded even injury is caused to principal

ARTIC$E 4*0

-ad faith (oner of accessory) losses the thing incorporated

-ad faith (oner of principal) accessory may choose2

"o pay for the value plus damages

Remove the thing even resulting to injury of principal thing plus damages


13/49

-oth bad faith good faith

ARTIC$E 4*2aterial employed -ithout consent of o-ner&

'. 9elivery of thing in equal kind and value*. ay the price (according to e/pert appraisal)

+entimental value must be considered

Material may be principal or accessory

ARTIC$E 4*/ARTIC$E 4*#

Mi/ture respective identities of the component elements are lost

-y chance

Mi/ture oned in proportion

0ot separable ithout injury to the part belonging%inds& to him.

'. 3ommi/tion solid*. 3onfusion liquid

&f good faith co$onership

&f bad faith losses material plus damages

&f things mi/ed are of same kind, quantity and quality divide into equal parts

ARTIC$E 4*4 +pecification ne form to anotherJs material thru the application of ;:-6R

aint for painting specification (paint of another)

-oard, canvass, metal, stone, paper accessory, therefore it is C:djunctionD.

!orker in %669 #:&"82'. :ppropriate the ne thing*. ay for the materials

-ut if the materials is more valuable than the ne thing2'. 6ner of the materials gets the ne thing but pays for the ork*. 6r demand indemnity for the material

!orker in -:9 #:&"82'. May appropriate as his on ithout paying labor*. 6r demand indemnity for materials plus damages

Ad/unction&'. * things*. :ccessory follos principal. "hings joined retain their nature

2i'ture&'. * things*. 3o$onership results. ;ose their respective nature

Specification&'. ' thing but form is changes*. :ccessory follos principal. 0e object retains the nature of original object

ARTIC$E 4*%

+entimental value shall be appreciated

ARTIC$E 4*! 7-ietin8 of TitleA cloud e'ist&

'. 6f an instrument*. :pparently valid or effective. -ut in truth is &0G:;&9, or ineffective. :nd may be prejudicial to the title

&f plaintiff is in possession quieting of title does not prescribe


14/49

0ature of action in personam

"o authori?e an action determination of the part of the defendant to create cloud is not merelyspeculative

ARTIC$E 4**Plaintiff must have&

'. ;egal onership*. -eneficial onership

ARTIC$E 4*+Action may be used&

'. !hen contract has ended*. :ction is barred by e/tinctive prescription

ARTIC$E 4*"

laintiff should return all benefits he received from defendant if he ins

ARTIC$E 4+0

Iuieting of title should not be in conflict ith the 3ivil 3ode

ARTIC$E 4+

;e/ situsAction -ill not prosper&

'. -oundaries*. roper interpretation of contract. laintiff has no title. :ction has prescribed5. 3ontract is void on its face=. Mere claim or assertion

ARTIC$E 4+/

!alls in danger of falling oblige demolition, or may be demolished by administrative authorities at hise/pense

3omplainant2'. roperty adjacentN or*. Must pass the vicinity

ARTIC$E 4+#

&&&CO&OW1ER23IP

ARTIC$E 4+4

3o$onership state here an individual thing or right belongs to to or more persons

"o or more persons having an ideal part of a thing hich is not physically divided

"here is 06 co$onership hen the different portions oned by different people are already concretelydetermined and identifiable, even if not yet technically described

,hat $overns co.o-nership&'. 3ontracts*. +pecial legal provision. rovisions of the "itle on co$onership

T!NANC7 IN C#22#N

&deal division

May dispose ideal1undivided share 3o$oner dies share goes to heir

&f co$oner is minor others ill not benefit, prescription ill run against other co$oners8#INT T!NANC7

06 ideal division

May 06" dispose of share

&f co$oner dies $ by accretion to other joint tenants

&f co$oner is a minor ill benefit other co$oners, prescription ill not run

Characteristics of co.o-nership&'. More than one subject or oner*. 6ne physical hole, divided into ideal shares


15/49

. Must respect each other in the common use, enjoyment or preservation of the physical hole. 4ach co$oner holds almost absolute control of his ideal share5. 06 juridical personality=. : co$oner is a trustee for the others

ARTIC$E 4+%

+hare in the -404#&"+ and 38:R%4+ in proportion to the interest of each

3ontrary stipulation is G6&9

roportional share to the accretion or alluvium

ARTIC$E 4+!i$ht to use&

&nterest of the co$onership must not be injured

3o$oners must not be prevented from using it

ARTIC$E 4+*

: co$oner may defend in court the interest of the co$onership

3ase instituted by one is in behalf of all9!/ectment: includes&

'. forcible entry accion interdictal*. unlaful detainer. accion publiciana. accion reivindicatoria

5. quieting of title=. replevin

ARTIC$E 4++

May compel others to share the necessary e/penses for preservation

Renunciation instead of reimbursement

8is undivided share as may be equivalent to his share of e/penses and ta/es

9oes not necessarily renounce his entire share

ARTIC$E 4+"Consent of;604 repairs, ejectment action:;; alterations, acts of onership#&0:03&:; M:H6R&"7 all others, useful improvements, lu/urious embellishments, administration, better

enjoyment

njustified opposition resulting to damage be borne by the one ho opposed

0otification is required if practicable

ARTIC$E 4"0

erpendicular co$onershipProportionate contribution for&

'. main alls*. party alls. roof . other things used in common

#loor oner bears e/penses of his floor

+tairs be maintained, +torey by storey, by the users

Condo'ini-' Act

Condominium interest in real property consisting of a separable interest in a unit in a residential,industrial, or commercial building and an undivided interest in common directly or indirectly, in theland on hich it is located and in other common areas in the building

)nit part of a condominium for independent use or onership

Pro/ect entire parcel of real property

Common areas entire project e/cept all units separately granted, held or reserved

)ndivided interest 3Common areas held by the condominium corporation

-uyer of a unit acquires onership after payment in full of purchase price


16/49

:ll incorporators of a condominium corporation must be an oner of a condo unit

ARTIC$E 4"Alteration is a chan$e;

'. !hich is more or less permanent*. 3hanges the use of the thing. rejudice the condition of the thing or its enjoyment by others

!ffect of ille$al alteration&

'. 3o$oner may lose hat he spent*. 9emolition may be compelled. -" hatever benefits shall belong to the co$onership. 3o$oners ill be entitled to proportional share of rent

ARTIC$E 4"/

;ease (one year or less) act of administration

&f more than a year alteration

Registered lease $ alteration

ARTIC$E 4"#

&f a co$oner sells the entire common property, the sale is valid only insofar as his share is concerned,unless the sale is consented by the other co$oners.

ARTIC$E 4"4Co.o-ner may not demand partition&'. &f by agreement for a certain period of time ('B years)*. rohibited by donor or testator (*B years). rohibited by la. hysical partition ould render the property unserviceable5. ;egal nature does not allo partition

0o prescription in favor of a co$oner if he e/pressly or impliedly recogni?es the co$onership

ARTIC$E 4"%

3o$oners cannot demand physical partition of an indivisible object

-ut co$onership may still be terminated

ARTIC$E 4"!Partition&

'. 4/trajudicial, Hudicial*. rovisional or "emporary, ermanent. artition of real properly, artition of personal property

. artition in a judicial decree, artition duly registered in the Registry of roperty, artition in a publicinstrument, artition in a private instrument, 6ral partition

(actors considered in Partition'. reference in the partition*. 3omparative value. ;ots and parcels hich ill be most advantageous and equitable, having due regard to the

improvements, situation, and quality of the different parts of the land

artition made by commissioners ill not be effective until approved by the court

Commissioners . competent and disinterested persons ill be assigned by the court if the partiescannot agree upon the partition

ARTIC$E 4"*i$hts if creditors -ith respect to partition&

3reditor E may participate

&f he did not participate, he may not impugn a partition already e/ecuted unless

E as defrauded

E previously presented formal opposition to prevent it


17/49

ARTIC$E 4"+"e$al Partition

#irst, give the hole to one co$oner ho ill no be required to indemnify the rest

&f this is not agreed upon, there must be a sale (public auction or private sale)

ARTIC$E 4""

"hird personsJ rights are protected in partition.

ARTIC$E %00!ffects of Partition&

'. Mutual accounting of benefits received*. Mutual reimbursement for e/penses. &ndemnity for damages in case of negligence or fraud. Reciprocal arranty for2 defects of title (eviction) and quality (hidden defects)5. 3o$oner has e/clusive possession of the part allotted to him

=. artition confers upon each the e/clusive title over his respective share

ARTIC$E %0

4ach co$oner is liable, after partition, for the defects of title and quality of the portionHo- co.o-nership is e'tin$uished&

'. Hudicial partition*. 4/trajudicial partition

. -y prescription, one co$oner has acquired the property through adverse possession and repudiatingthe co$onership of the other. +tranger acquires by prescription of the thing oned in common5. Merger in one co$oner=. ;oss or destruction

>. 4/propriation (indemnity ill be distributed accordingly)

PO22E22IO1

8olding of a thing or the enjoyment of a rightARTIC$E %/#

Right "6 possession incident to onership

Right 6# possession an independent right, independent of onershipDe$rees of Possession

'. Mere holding, ithout any right

*. ossession ith a juridical title, but not that of an oner. ossession ith a just title, but not from a true oner Real possessory right. ossession ith a title of dominium just title from the true oner

e1uisites or !lements of Possession'. 8olding or control of the thing or right may be actual or constructive*. 9eliberate intention to possess (animus possidendi). ossession by virtue of oneJs on right

8olding or detention may be actual or constructive

3onstructive possession essential that the property be 06" in the adverse possession of anotherClasses of Possession

'. 6neJs on name or another*. 3oncept of oner or holder. %ood faith or bad faith

6nership is different from possession. : judgment fro onership does not necessarily includepossession as an incident. -ut here the actual possessor has no valid right over the property, thesurrender of possession should be included in the judgment.

ossession is 06" a definite proof of onership

ossession sufficient that the petitioner as able to subject the property to the action of his ill

6nership thing is completely subject to his ill in a manner 06" prohibited by la and inconsistentith the rights of others

ARTIC$E %/4Possession may be e'ercised&

'. oneJs on name*. name of another

Possession in another


18/49

*. 0ecessary mother possesses for unborn child. nauthori?ed only if subsequently authori?ed but ithout prejudice no negotiorum gestio

Gisits to object does 06" necessarily sho possession

6nership of rented land2

;essor thru tenant, in the concept of oner

"enant concept of holder

ARTIC$E %/%

Possession in;'. 3oncept of oner hether in good or bad faith, claims to be and acts as if the oner

ossession that may ripen into onership, also knon as adverse possession*. 3oncept of a holder recogni?es another to be the oner

!'amples of Possession in concept of a holder'. tenant*. usufructuary. depositary. bailee in commodatum

ossession is of the property concerned. "he possession of the rights are possessed by them in theconcept of an oner.

ARTIC$E %/!

#raud cannot be presumed. &t must be established by clear and convincing evidence.

Good faith %ood faith one ho is not aare that there e/ists in his title or mode of acquisition any fla hich

invalidates it

%ood faith is a question of intention. &t is intangible and evidenced by e/ternal signs.

"he belief must be reasonable, not a capricious one.

!hile the possessor in good faith is one ho believes he is the oner, the possessor in the concept ofan oner is one ho acts as if he is the oner

*ad faith

&f circumstances e/ist that require a prudent man to investigate, he ill be in bad faith if he does notinvestigate

-ad faith or malice implies a conscious and intentional design to do a rongful act for a dishonestpurpose or moral obliquity. &t is different from he negative idea of negligence.

Malice or bad faith contemplates a state of mind affirmatively operating ith futive design or ill ill. &tmeans breach of a knon duty thru some motive. -ad faith partakes of the nature of fraud.

#ails to act ith the diligence of a prudent man

2ista6e on a Doubtful or Difficult =uestion of "a-

May be the basis of good faith provided that such ignorance is not gross

4rror in the application of the la and the interpretation of a doubtful doctrine can still make theperson a possessor in good faith

-ut mistake or ignorance of a la by itself cannot be the basis of good faith, the la must be one thatis doubtful or difficult

*ad faith is personalHust because a person is in bad faith does not necessarily mean that his successors$in$interest are also in badfaith.

ARTIC$E %/*

resumption is alays given because every person should be presumed honest until the contrary isproved

&f no evidence is presented proving bad faith, the presumption of good faith remains

ARTIC$E %/+,hen Good faith is converted to *ad faith

#rom the moment the facts e/ist of knoledge of the fla

&t does not matter hether the facts ere cause by him or another,hen *ad faith be$ins4/istence may begin either from the receipt of judicial summons or even before such time such as a letterfrom the true oner


19/49

D*P vs CA!hen a contract of sale is void, the possessor is entitled to the fruits during the time the property as held in

good faith%ood faith ceases hen action to recover possession is filed against him and he is served summons therefor

ARTIC$E %/"Presumptions

'. %ood faith*. 3ontinuity of character of possession same character in hich it as acquired until otherise

proved. 0on$interruption of possession transmission of possession of hereditary property. resumption of Hust "itle of the possessor in the concept of an oner5. 0on$interruption of possession of property unjustly lost but legally recovered=. ossession during intervening period>. ossession of movables ith real property@. 4/clusive possession of common property

ARTIC$E %#0

,hat may be possessed& only those things hich are susceptible of being appropriated

es Nullius&may be possessed and acquired by occupation but cannot be acquired by prescription.

ARTIC$E %#Material occupation

4/ercise of a right+ubjection to our illroper acts and legal formalities 1 constructive possessionHo- possession is ac1uired

'. Material occupation detention of thing, also includes constitutom possessorium or traditio brevimanu

*. +ubjection to our ill includes traditio longa manu and traditio simbolica. 3onstructive possession

!ssential e1uirements'. corpus detention of thing*. animus intent to possess

ARTIC$E %#/Ac1uisition of possession 4from the vie-point of -ho possesses5

'. personal

*. thru authori?ed persons. unauthori?ed persons but should be subsequently ratified

!ssential e1uisites'. personal

intent to possess

capacity to possess

object capable of being possessed*. authori?ed

intent to possess for principal

authority and capacity to possess

principal has capacity and intent to possess. unauthori?ed

intent to possess for another

capacity of principal to possess

ratification by principal-ut if the stranger had possessed it in his on name, he has possession and not the principal.

ARTIC$E %##

ossession of the deceased should be added to the possession of the heir

:cquisition of possession thru succession mortis causaTime of Ac1uisition&f heir accepts from the moment of death since there is no interruption


20/49

&n the computation of time necessary for prescription, the present possessor may complete the periodfor prescription by tacking his possession to that of his grantor pr predecessor$in$interest.

Retroactive effect of the acceptance

&f heir refuses or incapacitated to inherit deemed never to have possessed the same

+ale needs delivery+uccession$by the operation of la, direct transmittal of possession

ARTIC$E %#4 &f the father or decedent as in bad faith, it does not necessarily mean that the son as also in bad

faith. "he son is presumed to be in good faith. 8oever, since the father as in bad faith, theconsequences of the good faith of the son should be counted only from the time of the decedentJsdeath.

years possession in bad faith should be equivalent to ' year possession in good faith

ARTIC$E %#%Persons referred

'. unemancipated minors*. insane. prodigal or spendthrift. those under civil interdiction5. deaf$mutes

in general, those laboring under restrictions on capacity to actNature of Possession

&n acquisition of possession, only those matters here they have capacity to act such as physicalsei?ure of res nullius and donation of personal property simultaneously delivered to them

:nd 06" possession here juridical acts are imperative like the possession of land the onership ofhich he desires to test in court, in this case, intervention of the legal representatives or guardians isneeded

Ac1uisition by prescription

May acquire property or rights either personally, or thru parents, guardians, or legal representatives

ARTIC$E %#!Possession cannot be ac1uired&thru force or intimidation as long as there is a possessor ho objects thereto

'. thru mere tolerance mere inaction or failure to bring an action is 06" tolerance*. thru clandestine, secret possession possession ithout knoledge, or stealth, not open or public.Ho- to recover possession+hould not be taken into his on hands. #irst, should request the usurper to give up the thing. &f he refuses,

invoke the aid of the competent court. 6therise, the oner can be made the defendant in a forcible entry

case.

ARTIC$E %#*

ossession by mere tolerance, no matter ho long continued, does not start the running of the periodof prescription

: squatterJs possession, hen there is no violence, is by mere toleranceClandestine possession

&f secret to many, but kno to the oner, possession is affected

"here is a presumption that hen possession is clandestine, it is also unknon to the oner

Possession by force or violence #orce may be proved e/pressly or by implication

"he act of entering into the premises and e/cluding the laful possessor therefrom necessarily impliesthe e/ertion of force over the property

"he force may be2'. actual or merely threatened*. done by the possessor himself or by his agent. done against the oner or any other possessor. done to oust the possessor or prevent him from getting back the premises

2eanin$ of acts; do not affect possession'. 0o legal possession the intruder does not acquire any right to possession*. "he legal possessor, even if ousted, is still the possessor and therefore2


21/49

+till entitled to the benefits of prescription

4ntitled to the fruits

:nd still entitled as possessor for all purposes favorable to him. "he intruder cannot acquire the property by prescription

ARTIC$E %#+"itle either a right or the document evidencing the right:pplies to preference in possession hether personal or real property

&t also applies hether the possession as longer or shorter than one year

3o$possessors of a parcel of land hat is mortgaged must be made parties to the foreclosureproceedings, otherise they cannot be deprived of possession of that portion of the land actuallypossessed by them

General ule e$ardin$ Possession as a (actossession as a fact cannot be recogni?ed at the same time in to different personalities.4/cept2

3o$possessors

ossession in different concepts or degreesules in case of conflict

'. present possessor*. if both are present, the one longer in possession. if both began possession at the same time, the one ho presents a title. if both present a title, the 3ourt ill decide. Meanhile, the thing ill be judicially deposited.

Preference in #-nership or Double Sale

Movable first ho possessed in good faithImmovable&

'. first registered in good faith*. no registration, first possessor in good faith. no possession, the one ith the oldest title

ARTIC$E %#"

:n adverse possession of property by another is not an encumbrance in la, and does not contradictthe condition that the property be free from encumbrance

:dverse possession is not a lien for a lien signifies a security for a claimSpecific i$hts

Reasons for protection of possession2'. it is similar to onership, and as a matter of fact it modifies onership

*. gives rise to presumption that the possessor is the oner 4very possessor is protected under :rt. 5A, hether in the concept of an oner or holder

"he doctrine of e/haustion of administrative remedies is not applicable to a party ho claims thedisputed land as his on private land

: squatter has no possessory right against the oner of the land because his occupancy of the land ismerely tolerated by the oner

: rit of e/ecution and order of demolition is not appealable here there is no allegation that it hasvaried the tenor of the judgment

"e$al means of restoration to possession

Reasons for legal means2'. to prevent spoliation or a disregard of public order*. to prevent deprivation of property ithout due process of la. to prevent a person from taking the la into his on hands

"he oner should go to court, and not eject the unlaful possessor by force

: tenant illegally forced out by the oner$landlord may institute an action for forcible entry even if hehad not been paying rent regularly

&njunction is generally not the proper remedy to recover possession, particularly hen there areconflicting claims of onership

: final judgment in an unlaful detainer case may be e/ecuted even if there is still pending accionreivindicatoria, for to actions can co$e/ist

: mere trespasser, even if ejected, has no right to institute an action of forcible entry,rit of Preliminary 2andatory In/unction

&njunction cannot substitute for the other, actions to recover possession. "his is because in themeantime, the possessor has in his favor, the presumption of rightful possession, till the case is finallydecided. 4/ception2 very clear case of usurpation.


22/49

e1uisites for the Issuance'. in forcible entry cases in the original court file ithin 'B days from the time the complaint isfiled*. in unlaful detainer cases in R"3 and 3: file ithin 'B days from the time the appeal isperfected only if2

lesseeJs appeal is frivolous or dilatory

lesseeJs appeal is prima facie meritorious

even if the forcible entry is filed eleven months from entry, the remedy may still be availed of. 0ote2prescription of forcible entry is ' year

"he rit of preliminary injunction cannot be granted ithout notice and hearing

ARTIC$E %40Possession in the concept of o-ner

ossessor in concept of an oner may eventually become the oner by prescription

: possessor in the concept of holder cannot acquire property by acquisitive prescription. #orprescription to set in, the possession must be adverse, public, and to the e/clusion of all.

Possession in the concept of holder'. ;essees*. "rustees. :ntichretic creditors. :gents5. :ttorneys=. 9epositaries

>. 3o$oners unless the co$onership is clearly repudiated by unequivocal acts communicatedto the other co$oners

"a/ declarations and receipts are not conclusive evidence of onership but hen coupled ith proof ofactual possession, ta/ declarations and receipts are strong evidence of onership.

ARTIC$E %4e1uirements of presumption of a /ust title&

'. Must be in possession (actual or constructive)*. "he possession must be in the concept of oner

:ctual possession of the property under claim of onership raises the disputable presumption ofonership. "he true oner must resort to judicial process fro the recovery of the property.

"he article can apply to both real and personal propertyeasons for presumption&

'. resumption that one is in good faith*. &nconvenience of carrying proofs of onership around

98ust title: in possession'. &t is presumed*. Hust title means true and valid title sufficient to transfer onership

Three 6inds of Titles'. "rue and Galid "itle there as a mode of transferring onership and the grantor as the oner*. 3olorable "itle although there as a mode of transferring onership, something is rong

because the grantor is not the oner

Titulo Colorado is hat is meant by just title in the la of prescription

6rdinary prescription needs good faith and just title

4/traordinary prescription does not need either good faith or just title

&n case of real properties, prescription is 'B and B years respectively. utative "itle although a person believes himself to be the oner, he nonetheless is not, because

there as no mode of acquiring onership

:dverse possession is needed only to acquire something by prescription. -ut there is no need forprescription if you are already the oner.

: person ho is not in fact in possession cannot acquire a prescriptive right to the land by the mereassertion of a right therein

ARTIC$E %4/

-y analogy, if my possession of the house is in the concept of oner, my possession of the furniture isalso presumed to be in the concept of oner. "herefore, my just title to both the house and furniture ispresumed.

-y Creal propertyD and CmovablesD e mean only real or personal things, 06" rights.Applicability of the Article

'. !hether the possessor be in good or bad faith


23/49

*. !hether the possession be in oneJs name or another. !hether the possession be in the concept of oner or holder

ARTIC$E %4#Co.possession

4/clusive possession begins at the time of division

&nterruption in possession of :R" of the thing only limited to that part thereof. :lso, there is aproportionate losing in the area possessed.

ules in civil interruption'. 3ivil interruption is produced by judicial summons to the possessor*. Hudicial summons shall be deemed not to have been issued, and shall not give rise to interruption2

&f it should be void for lack of legal solemnities

&f the plaintiff should desist from the complaint or should allo the proceedings to lapse

&f the possessor should not be absolved from the complaint&n all these cases, the period of the interruption shall be counted #6R the prescription.

ARTIC$E %44(irst para$raph

:lthough because of the interruption his good faith ceases, the possessor can still retain the propertyuntil he has been fill reimbursed for all the necessary and useful e/penses made by him on theproperty

#ruits refer to the natural, industrial, and civil fruits, not to other things

;egal interruption happens hen a complaint is filed against him and he receives the proper judicialsummons

-efore legal interruption, the fruits received are his on

:fter the receipt of the summons, the right to get the fruits not yet gathered ceases

ossessor is entitled to the fruits received before the conversion into -:9 #:&"8, for then, he ouldstill be in good faith

!hen a contract of sale is void, the possessor is entitled to keep the fruits during the period for hichit held the property in good faith

Second para$raph

&f at the time of legal interruption, the crops are still groing, the rule on pending crops, not that ongathered crops, should apply

&f at the time of legal interruption, the crops have already been gathered, but are sold only after suchinterruption, the sale is immaterial, for the la only requires only a gathering or severance

Third para$raph

&f civil fruits accrue daily, :rt. 55 does not apply :ctual receipt of the rents is immaterial

ARTIC$E %4%

"his article applies to 409&0% fruits, natural or industrial. :lso to crops already planted but not yetmanifest.

"he e/penses for cultivation shall also be dividedpro rata> Manresa2 the better rule ould be for thee/penses to be borne in proportion to hat each receives from the harvest

"he charges (ta/es, interest on mortgages) are also to be divided in proportion to the time opossession

ARTIC$E %4!Necessary !'penses they are those ithout hich the thing ould physically deteriorate or be lostN those

made for the preservation of the thing"hey do not increase the thingJs valueN they merely prevent the things from becoming useless!'amples

"hose incurred for cultivation, production, and upkeep

0ecessary repairs for the houseN#T necessary e'penses

"hose incurred for filling up ith soil a vacant or deep lot

8ouse constructed on land possessed by a stranger


24/49

;and ta/es they are merely charges

nnecessary improvements on a parcel of land purchased at auction sale, made just to preventredemption

4/penses made by the possessor to enable him to use the property for his on purposesi$hts of a possessor as to necessary e'penses

&f in good faith'. Refund*. Retain premises till paid

&f in bad faith refund only

&f the oner sues the possessor for the recovery of the property, the possessor in good faith must file acounterclaim for the refund of necessary and useful e/penses, otherise the judgment in the case illbe a -:R to a subsequent suit brought solely for the recovery of such e/penses

)seful e'penses those that add value to the property!'amples

"hose incurred for an irrigation system

4rection of a chapel

Making artificial fishponds

3onstruction of additional rooms in the house

#or clearing up the land formerly thickly covered ith trees and shrubberyi$hts of a possessor as to useful e'penses

&f in good faith'. Reimbursement either the amount spent or for the increase in value*. Retention till paid

. Removal provided no substantial damage or injury caused to the principal, reducing its value.nless, option ' is e/ercised.

"he possessor in good faith is entitle to both the fruits and e/penses, hence they o not compensate

each other.

&f in bad faith is 06" entitled to any right regarding the useful e/penses. "he builder in bad faithloses hatever is built ithout payment of any indemnity.

ecovery cannot prosper&

ossessor in bad faith

#ailure to present a counterclaimemar6s

Right of retention no need to pay rent

9uring the period of retention, additional improvements ill not be entitled to refund because thebuilder already kne that he is not the oner (bad faith)

ARTIC$E %4*Dama$e substantial one that reduces the value of the property, thus a slight injury curable by an ordinary

repair does not defeat the right of removal, but the repairs should be chargeable to the possessor

ARTIC$E %4+"u'urious or #rnamental e'penses those hich add value to the thing only for certain determinate persons

in vie of their particular hims. "hey are neither essential for preservation nor useful to everybody ingeneral.

!'amples

8and paintings on the all of the house

%arage made of platinum

!ater fountains in gardensi$hts of a possessor as to lu'urious e'penses

&f in good faith0o right of refund or retention but can remove if no substantial injury is cause. 8oever, oner has

option to allo2'. ossessor to remove

*. 6r retain for himself by refunding the :M60" +40"

&n bad faith


25/49

0o right of refund or retention but can remove if no substantial injury is cause. 8oever, oner hasoption to allo2

'. ossessor to remove*. 6r retain for himself by refunding the G:;4 it has at the time oner 40"4R+ into possession

"he value of the refund if the possessor is in bad faith is less because depreciation has set in.

ARTIC$E %4"

ossessor in bad faith2 "he refund should not e/ceed the amount spent, otherise he is placed in abetter position than the possessor in good faith

i$hts of a possessor re$ardin$ the fruits &f in good faith

'. %athered or severed fruits are his on*. ending or ungathered fruits pro$rating beteen possessor and oner of e/penses, net harvest,

and charges

-ad faith'. %athered fruits must return value of fruits already received as ells as the value of fruits hich

the oner or legitimate possessor could have received ith due care or diligence, minus thenecessary e/penses

*. ending or ungathered fruits no rights at all, not even to e/penses for cultivation

"he possessor in bad faith is duty bound to render an accounting of the fruits received or could havebeen received and must pay damages amounting to a reasonable rent for the term of his possession.

"he rule as to the fruits does not apply to a defendant in a forcible entry case here the recoverabledamages are the reasonable compensation for the use and occupation of the premises the fair rental

value.

ARTIC$E %%0!very possessor refers to one in good or bad faith, concept of oner or holder, in oneJs on name or

another, and 06" to the oner or the person adjudged by the court to be lafully entitled to possess.

"iti$ation refers to a court action

ARTIC$E %%Neither the possessor in $ood faith nor in bad faith is entitled to&

&mprovements caused by 0:"R4

&mprovements caused by "&M4

ARTIC$E %%/ules applicable

%ood faith'. -efore receipt of judicial summons 06" liable*. :fter judicial summons

;oss or deterioration thru fortuitous event 06" liable

"hru fraudulent intent or negligence $ ;&:-;4

-ad faith ;&:-;4 in any case

ARTIC$E %%#ARTIC$E %%4&&ARTIC$E %%%,ays of "osin$ Possession

"hru possessorJs voluntary ill and intent'. :bandonment*. :ssignment (onerous or gratuitous conveyance)

:gainst the possessorJs ill'. ossession of another for more than one year*. #inal judgment in favor of another. 4/propriation. rescription in favor of another5. Recovery or reivindication by the legitimate oner

-ecause of the object'. 9estruction or total loss of the thing*. %oing out of commerce. 4scaping from possessorJs control of ild animals


26/49

Abandonment voluntary renunciation of a thin$e1uisites&

"he abandoner must have been a possessor in the concept of oner

8e must have the capacity to renounce or alienate

0o e/pectation to recover or intent to return or get backAdditional Doctrines&

: property oner cannot be held to have abandoned the same until at least he has some knoledge ofthe loss if its possession or the thing

"here is no real intention to abandon property hen as in case of a shipreck or a fire, things are

thron into the sea or upon the highay :n oner may abandon possession merely, leaving onership in force, but a mere possessor cannot

abandon onership since he never had the same

&f an oner has not lost possession because there has been no abandonment, it surely cannot beacquired by another thru prescription

"here is no abandonment if an oner merely tolerated anotherJs possession, nor if the latter as doneby stealth or effected thru force and intimidation

"here is no abandonment of movables even if there is temporary ignorance of their hereabouts, solong as they remain under the control of the possessor (so long as another has not obtained controlover them)

&n true abandonment, possession de facto and de jure are lost

:bandonment hich converts the thing into res nullius does not apply to land:ssignment complete transmission of onership rights to another person, onerously or gratuitously

at no time did the thing not have a possessor for possession merely changed hands or control

both possession de facto and de jure are lost, and no action ill allo recoveryPossession of another

&f a person is not in possession for more than one year, he loses possession 94 #:3"6. "hus, he can nolonger bring an action for forcible entry or unlaful detainer. Moreover, constructive possession is alsolost possession. -ut may still institute an accion publiciana to recover possession de jure, possessionas a legal right, or the real right of possession.

&f a person loses possession for more than 'B years, he loses possession de jure, or the real right ofpossession. :ccion publiciana or reivindicatoria is still possible unless prescription has set in.

Destruction0 "oss0 ,ithdra-al from commerce

: thing is lost hen it perishes, or goes out of commerce, or disappears in such a ay that itse/istence is unknon, or it cannot be recovered.

artial loss in general results only in the loss of possession of the part lost

:rt. 555 refer to both real and personal property e/cept par. .

ARTIC$E %%! ossession is lost hen he has no idea at all about the hereabouts of the movable

06" lost he more or less knos its general location, though he may not kno its precise or definitelocation

ARTIC$E %%*

&f & leave my land and another possesses the same fro the required period, & have lost my possessionand the onership over the same, insofar as the occupier is concerned, but not insofar as otherpeople. #or strangers, relying on the Registry, are still privileged to consider me possessor and oner.

ARTIC$E %%+&&ARTIC$E %%"Possession of movable property ac1uired&

&n bad faith is never equivalent to title &n good faith as a general rule, equivalent to title. &f the oner ants to get back, he must reimburse.

4/ception2 06" equivalent to title hen the oner had ;6+" it or 0;:!#;7 94R&G49 of it, 0;4++the possessor had acquired it in good faith at a public sale.

Note&

"he title is not that of an absolute oner but one that can be defeated only by the true oner hogives reimbursement

4ven if not the absolute oner yet, possession may eventually ripen into full onership thru acquisitiveprescription

&t is necessary that the possession be in the concept of oner an that the oner had not lost theproperty nor unlafully deprived of it


27/49

Ac1uired in $ood faith the possessor is of the belief that the person hom he received the thing as itsoner and could transfer valid title thereto

Title the juridical act of transferring or conferring onershipN and not a document"ost missed or misplaced

)nla-fully deprived taken by another thru theft, robbery or estafa. 0ot applicable if only Ccivil liabilityDarises.

Summary&

6ner may recover !&"86" reimbursement

'. #rom possessor in bad faith*. #rom possessor in good faith if oner had lost or unlafully deprived of it

6ner may recover but +86;9 reimburse'. &f possessor acquired the object in good faith at a -;&3 +:;4 or :3"&60

6ner 3:006" recover, even if he offers reimbursement (hether or not lost or unlafully deprived)'. &f possessor had acquired it in good faith by purchase from a M4R38:0"J+ +"6R4, #:&R+, or

M:RF4"+*. &f oner by his conduct is precluded from denying the sellerJs authority to sell (estoppel). &f possessor had obtained the goods because he as an innocent purchaser for value and holder of

a 04%6"&:-;4 document of title to the goods

ARTIC$E %!0

6neJs possession of ild animals is lost hen they are under :06"84RJ+ control or under 06 604J+control

ules on Domesticated or Tamed animals'. "he possessor does 06" lose possession of them as long as they habitually return to possessorJspremises

*. ossession is ;6+" if the aforementioned habit has ceased

ARTIC$E %!

Recovery should be according to the la such as proper rits and actions or ith the aid of thecompetent authorities

:rt. 5=' applies to both possessors in good and bad faith but only if -404#&3&:; to them

ossessor in good faith may make use of the article for the purpose of prescription

ossessor in bad faith is not required to return the fruits the oner could have received during theperiod of interruption, for to impose the duty ould prejudice and not benefit, said possessor.

929:R9CT

Article %!/+#R3" gives a right to enjoy the property of another ith the obligation of preserving its form and

substance, unless the title constituting it or the la otherise provide

Real right, of temporary in nature, hich authori?es its holder to enjoy all the benefits hich resultfrom the normal enjoyment of anotherJs property, ith the obligation to return, at the designated timeeither the same thing, or in special cases, its equivalent

combination of right to use and right to the fruits

right to dispose Cnaked onershipD

#ull onership K 0aked onership L sufruct!ssential Characteristics

'. Real right hether Registered or not*. "emporary in nature or duration. &ts purpose is to enjoy the benefits and derive all the advantages from the object as a

consequence of normal use or e/ploitationNatural Characteristics"he obligation of 360+4RG&0% or R4+4RG&0% the #6RM :09 +-+":034 of the thing.

Accidental Characteristics'. hether it be pure or a conditional usufruct*. the number of years it ill e/ist. hether it is in favor of one person or several, etc.


28/49

#b/ect of )sufruct'. may be real or personal property*. may be sterile or productive (fruitful things). may be created over a right (as long as it is 06" strictly personal or intransmissible, and has an

independent e/istencei$hts of Action

'. action to protect the usufruct itself*. action to protect the e/ercise of the usufruct

Article %!#Classification as to #ri$in

'. ;egal created by la. +uch usufruct cannot, because of family reasons, be mortgaged or alienated bythe parents.

*. Goluntary or 3onventionala. created by the ill of the parties &0"4R G&G6+ (during lifetime)

if this is created by sale or any valuable consideration +tatute of #rauds applies toreal property and personal property 5BB or more

b. created M6R"&+ 3:+:

the formalities of a ill or codicil must be complied ith, either notarial orholographic

. Mi/ed or rescriptive created by both la and act of person

"o constitute a valid usufruct, all the requirements of the la must be complied ith

: usufruct over real property, being a real right, must be duly registered to bindinnocent third persons

Article %!4Classification as to =uantity or !'tent

'. as to fruits total or partial (depending on hether all the fruits are given or not)*. as to object 0&G4R+:; (if over the entire patrimony) or +&0%;4 or :R"&3;:R (if only individual

things are includedClassification as to Number of persons en/oyin$ the ri$ht

'. +imple only one usufructuary*. Multiple several

a. +imultaneous at the same timeb. +uccessive one after the other

&f created by donation all the donees must be alive, or at least already conceived, at thetime of he perfection of the donation

"estamentary succession there must only be to successive usufructuaries, both mustbe alive or at least conceived at the time of the testatorJs death

Classification as to =uality or %inds of #b/ects'. over R&%8"+ the right must not be strictly personal or intransmissible

right to receive present or future support cannot be subject of a usufruct

a usufruct over a real right is also by itself a real right*. over "8&0%+

06RM:; or perfect or regular. "his involves non$consumable thingshere the form and substance are preserved.

:-06RM:; imperfect or irregular. sufruct over consumable property(quasi$ usufruct), over non$consumable things that gradually deteriorate by use, overunproductive or sterile animals

Classification as to Terms or Conditions'. ure usufruct no term or condition

*. !ith a period or term (Ca terminoD)a. 4/ die from a certain dayb. &n diem up to a certain dayc. 4/ die in diem from a certain day up to a certain day

. !ith a condition (conditional)

Article %!%ules $overnin$ a usufruct

'. the agreement of the parties or the title granting the usufruct*. in case of deficiency, apply the 3ivil 3ode


29/49

In case of Conflict"he rights granted by virtue of a ill prevails over the codal provisions, unless repugnant to the mandatoryprovisions of the 3ivil 3ode.

Article %!!(ruits ."he usufructuary is entitled to the natural, industrial and civil fruits that ill accrue during the e/istence

of the usufruct.Dividends they are income or civil fruits, hether cash or stock dividends. "heyshould belong to the

usufructuary because they are declared out of company profits and not corporate capital.

%enerally, products hich diminish capital, cannot be considered fruits, unless a contrary intentionappears.

8idden treasure usufructuary is a stranger. -ut may be entitled to one$half if he is finder.

Article %!*ules

#ruits pending at the beginning of usufruct'. belong to the usufructuary*. no necessity of refunding oner of e/penses incurred. but ithout prejudice to the right of third persons

#ruits pending at the termination of the usufruct

'. belong to the oner*. but the oner must reimburse the usufructuary for the ordinary cultivatione/penses, and for the seeds and similar e/penses, from the proceeds of the fruits. :lso, rights of innocent third parties should not be prejudiced.

Article %!+ules -hen leased property to another;ease e/ecuted by the usufructuary should terminate at the end of the usufruct or earlier e/cept in the case of

leases of rural lands, because if the usufruct ends earlier, the lease continues for the remainder of the

agricultural year.

&t is not the naked oner, but the usufructuary ho has the right to choose the tenant.

Article %!"

&&&Article %*03ivil fruits shall accrue proportionately to the naked oner and usufructuary, for the time the usufruct lasts.

"he parties may stipulate otherise in their contract, absent the stipulation apply :rt 5>B.

"he article applies hether the date of distribution of benefits from industrial or commercialenterprises are fi/ed or not.

"he +3 ruled that both cash and stock dividends are fruits. +ame should apply to profits of apartnership.

Article %*)sufruct has the ri$ht to the en/oyment of&

'. accessions (hether artificial or natural)

*. servitudes or easements. all benefits inherent in the property like the right to hunt, fish, construct rain ater receptacles, etc

Article %*/i$hts -ith eference to thin$ itself

'. 8e may personally enjoy the thing (entitled to possession and fruits)

"he enjoyment may also be thru another unless the contrary has been provided or stipulated*. 8e may lease the thing to another even ithout the onerJs consent. Moreover, ordinarily the lease

must 06" e/tend to a period longer than that of the usufruct, unless the oner consents. "hus, thelease ends at the time the usufruct ends, e/cept in rural leases.

&f the lessee should damage the property, the usufructuary shall anser to the oner

"he usufructuary may demand reimbursement from the lessee, because of the breachof contract of the lease


30/49

&f the usufructuary cannot pay, his bond shall be liablei$hts -ith eference to the ri$ht itself

'. 8e may alienate the usufructuary right sell, donate, bequeath, or devise e/cept2a. ;egal usufructb. sufruct granted in consideration of his personc. sufruct acquired thru a caucion juratoria

*. 8e may pledge or mortgage the usufructuary right. -ut he may not pledge or mortgage thething itself.

arental usufruct cannot be alienated or pledged or mortgaged.

Article %*#!ffect of the Deterioration fast deterioratin$ thin$s

'. 06RM:; +4 the usufructuary is 06" responsible. 0o necessity to make repairs to restore themto their formal condition. #ailure to return the thing ill result in indemnification for the value ofthe object may have at the end of the usufruct

*. 4G40" 6R :3" that 409:0%4R+ their preservation 1 #6R"&"6+ 4G40", even though 06 faultor negligence or fraud on the part of the usufructuary required to make ordinary or necessaryrepairs

. #R:9 or 04%;&%4034 the usufructuary is responsible. +uch liability may hoever be set offagainst improvements

Article %*4=uasi.usufruct$ on consumable things. #orm and substance is not really preserved. "his is really a +&M;4;6:0.ules for =uasi.usufruct

'. the usufructuary(debtor$borroer) can use them as if he is the oner, ith complete right of pledge oralienation

*. -" at the end of the usufruct, he musta. ay the :R:&+49 value (if appraised hen first delivered)b. 6r if there as no appraisal, return the same kind, quality or quantity 6R pay the price current

at the termination of the usufruct (not the original price or value)

Article %*%Special usufruct on fruit bearin$ trees . i$hts"he usufructuary can use the folloing2

'. dead trunks*. those cut off or uprooted by accident

but he must replace them ith ne plants

Article %*!'. if it is impossible or too burdensome to replace them, the usufructuary has an option. 8e

a. may use the trunks but should replace themb. or may leave the dead, fallen, or uprooted trunks at the onerJs disposal, and demand that the

latter remove them and clear the land*. if it is slightly burdensome to replace them, the usufructuary must replace them (hether he uses the

dead trunks or not), and he cannot demand clearance of the land by the oner

Article %**#bli$ations of the usufructuary Special usufruct over -oodland

'. in the e/ercise of the diligence in caring for the property, the oodland should be preserved, either bydevelopment or by replanting, he cannot consume all

*. in the cutting or felling of the trees, he must a. follo the onerJs habit or practicesb. in default thereof, follo the customs of the place (as to manner, amount, season), all ithout

prejudice to the oner, for he can use but cannot abuse applicable if oodland is acopse(thicket of small trees) or consists of timber for building

c. of there be no customs, the only time the usufructuary can cut don trees ill be for repair orimprovement, but here the oner must first be informed

. cannot alienate the trees unless he is e/pressly or impliedly permitted by the oner or unless heneeds the money to do some repairs (but need to inform oner)

Article %*+,hat the usufructuary can demand from the o-ner

'. authority to bring the action (usually a special poer of attorney)


31/49

*. proofs needed for recovery

to prejudice third parties, the usufruct must either be registered or knon to them

Institution of the action"he action may be instituted in the usufructuaryJs name, for being the oner of the usufruct, he is deemed a

real party in the interest

if the purpose is the recovery of the property or right, he is still required to obtain authority of thenaked oner

if the purpose is to object to or prevent disturbance over the property, no authority is needed

!ffect of the /ud$ment'. naked onership belongs to the oner*. usufruct belongs to the usufructuary

Article %*")seful and "u'urious Improvements"he usufructuary has the right to make2

'. useful improvements*. lu/urious improvements-"

'. he must not alter the form or substance of the property held in usufruct*. he is 06" entitled to a refund, -" he may

a. either remove the improvements if no substantial damage is causedb. or set$off(compensate) the improvements against damages for hich he may be liable

&mprovements may be registered, but not independently, but in the registration proceedings of theland held in usufruct to protect him against third persons

4/ample2 to enforce right of removal of useful improvements against innocent purchaser for value ofland sold

!hile a possessor in good faith is entitled to a refund for useful improvements, a usufructuary is not.

Article %+0ules Set.off

'. &f damage e/ceeds the value of the improvements, usufructuary is still liable for the difference*. &f the value of the improvements e/ceeds the damage, the difference does not go to the usufructuary,

but accrues instead in the absence of a contrary stipulation in favor of the naked oner, otherise it isas if the usufructuary ould be entitled to a partial refund in cash

e1uisites Set.off'. "he damage must have been caused by the usufructuary*. "he improvements must have augmented the value of the property

Article %+0aked oner retains the right to alienate the property -ut

'. 8e cannot alter its form or substance*. 6r do anything prejudicial to the usufructuary

: purchaser of the property must respect the usufruct in case it is registered or knon to him,

6"84R!&+4, he can oust the usufructuary, ho ca then look to the naked oner for damages &f the naked oner bequeaths or devises to another thru a ill, the legatee or devisee should respect

the usufruct

9ouble sale2 ordinarily not alloed to sell usufruct to another after having sold it first to theusufructuary. -ut if he does so :rt '5 on 9ouble +ale ill apply.

#ther ri$hts of the na6ed o-ner'. 3onstruct any orks*. Make any improvements. 6r make ne plantings thereon if it be rural

-" such acts must 06" cause2'. 9ecrease in the value of the usufruct*. 6r prejudice the right of the usufructuary


32/49

Article %+/)sufructuary of a part of common property: co$oner may give the usufruct of his share to another, even ithout the consent of others, unless personal

considerations are present.

"he usufructuary in such a case takes the onerJs place as to2'. :dministration (management)*. 3ollection of fruits or interest

!ffect of Partition'. &f there be partition, the usufructuary continues to have the usufruct of the part allotted to the co$

oner concerned*. &f the co$oners make a partition, ithout the intervention of the usufructuary, this is alright, and the

partition binds said usufructuary. 0ecessarily hoever, the naked oner must also respect theusufruct.

Article %+#

&nventory and security not necessary before the right to usufruct begins. "hey are merely necessarybefore physical possession and enjoyment of the property can be had

e1uirements for the ma6in$ of the inventory'. "he oner must be previously notified*. "he condition of the immovables must be described. "he movables must be appraised

. 0o form is required e/cept real property in public instrument to bind third persons5. 4/penses to be borne by the usufructuary=. 4ffect of not making inventory same as not giving security>. !hen inventory is 06" required2

a. !hen no one ill be injured thereby provided the naked oner consentsb. &n case of aiver

property (paras summarized)

Documents