Sales
Heirs of Corazon Villeza v. Elizabeth S. Aliangan and Rosalina Aliangan
G.R. Nos. 244667-69
December 2, 2020
FACTS:
Elizabeth and Rosalina, as buyers, and Corazon and Rosario Agpaoa, as sellers,
entered into a Deed of Conditional Sale for a property located at Centro I, Angadanan.
At the time of the execution of the aforementioned deed, the property formed part of
TCT No. T-299995, a 2,162 sq.m. parcel of land owned by Inocencio Agpaoa.
On November 14, 2006, TCT No. T-299995 was cancelled and TCT No. T-356999
(now only covering the 540.5 sq.m. Centro I property) was issued in Corazon's name.
Thereafter, Elizabeth and Rosalina sent monthly remittances.
Corazon and Rosario died without transferring ownership of TCT No. T-356999 in
respondents' favor. Respondents entreated petitioners, as heirs of Corazon, to honor the Deed
of Conditional Sale dated January 10, 2006. Petitioners did not accede to such request.
Repudiating the January 10, 2006 Deed of Conditional Sale for allegedly being
void ab initio, petitioners, argued that when the subject deed was executed on January 10,
2006, Inocencio was still the registered owner of the Centro I property considering that TCT
No. T-356999 was only issued in Corazon's name on November 14, 2006, Corazon cannot
thus appropriate something she does not own.
ISSUE:
Whether the DCS is not valid because at the time it was executed on January 10, 2006
the Centro I property was then registered in the name of Inocencio
RULING:
NO. Like a contract of sale, a contract to sell is consensual. It is perfected at the
moment there is a meeting of the minds upon the thing which is the object of the contract and
upon the price. At this stage, the seller's ownership of the thing sold is not an element in the
perfection of the contract of sale. It is, therefore, not required that, at the perfection stage, the
seller be the owner of the thing sold or even that such subject matter of the sale exists at that
point in time. Thus, under Article 1434 of the Civil Code, when a person sells or alienates a
thing which, at that time, was not his, but later acquires title thereto, such title passes by
operation of law to the buyer or grantee. This is the same principle behind the sale of "future
goods" under Article 1462 of the Civil Code. However, under Ar[icle 1459, at the time
of delivery or consummation stage of the sale, it is required that the seller be the owner of the
thing sold. Otherwise, he will not be able to comply with his obligation to transfer ownership
to the buyer.
There may even be a contract of sale of goods, whose acquisition by the seller
depends upon a contingency which may or may not happen.
With respect to the Centro I property, while on January 10, 2006 when the DCS was
executed it was still registered in Inocencio's name, the certificate of title over the property
was already transferred to Corazon on November 14, 2006 when TCT T-356999 was issued
in her name. From that time, Corazon had the right to transfer the ownership of the Centro I
property such that in April 2008, when the purchase price was paid in full by respondents, the
sellers could have transferred the ownership thereof to the buyers, as indeed they had the
obligation to do so.