LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law LAND, TITLES, AND DEEDS Justice Oswaldo D. Agcaoili Philippine Judicial Academy, Supreme Court REGALIAN DOCTRINE All lands of whatever classification and other natural resources not otherwise appearing to be clearly within private ownership are presumed to belong to the State. To overcome the presumption of State ownership, the applicant must establish through incontrovertible evidence that the land sought to be registered is alienable or disposable based on a positive act of the government. (Republic v. Bantigue, GR No. 162322, March 14, 2012; See also: Agcaoili, Property Registration Decree and Related Laws, 2011 ed.) The doctrine is reflected Art. XII, Sec. 2 of the Constitution: Sec. 2. All lands of the public domain, waters, minerals, coal, petroleum, and other mineral oils, all forces of potential energy, fisheries, forests or timber, wildlife, flora and fauna, and other natural resources are owned by the State. With the exception of agricultural lands, all other natural resources shall not be alienated. But in Cariño v. Insular Government, 41 Phil. 935 (1909), cited in Cruz v. DENR Sec., 347 SCRA 128, the US Supreme Court granted an Igorot's application for registration of a piece of land in Benguet based on the latter's possession of the land from time immemorial, ratiocinating thus: ―when, as far back as testimony or memory goes, the land has been held by individuals under a claim of private ownership, it will be presumed to have been held in the same way from before the Spanish conquest, and never to have been public land.‖ NATURE OF REGISTRATION PROCEEDINGS Registration is not a mode of acquiring ownership but is merely a procedure to establish evidence of title over realty, a system of registration of titles to lands. The Torrens certificate of title is merely an evidence of ownership or title in property. (Casimiro Development Corporation v. Mateo, GR No. 175485, July 27, 2011) Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) Judicial proceedings for the registration of lands shall be in rem and based on generally accepted principles underlying the Torrens system. Jurisdiction in rem is acquired by the constructive seizure of the land through publication, service of notice and posting. The purpose of registration is to quiet title to land; to put a stop forever to any question of the legality of the title, except claims which were noted in the certificate at the time of registration, or which may arise subsequent thereto; to decree land titles that shall be final, irrevocable, and indisputable; and to relieve the land of the burden of known as well as unknown claims. (Legarda v. Saleeby, 31 Phil. 590; Ching v. CA, GR No. 59731, Jan. 11, 1990) But the Torrens system does not furnish a shield for fraud, nor permit one to enrich himself at the expense of others. (Rodriguez v. Lim, 459 SCRA 412; Manlapat v. Court of Appeals, GR No. 125585, June 8, 2005) While registration operates as a notice of the instrument to others, it does not add to its validity nor conveys an invalid instrument into a valid one as between the parties. (Pascua v. Court of Appeals, 401 Phil. 350) Neither does registration amount to a declaration that the instrument recognizes a valid and subsisting interest in the land. (Agricultural Credit v. Yusay, 107 Phil. 791) JURISDICTION Regional trial courts have exclusive jurisdiction over land registration cases and all petitions after original registration. (Sec. 2, PD No. 1529) However, first level courts may be assigned by the SC to hear and determine cadastral or land registration cases: (a) Where there is no opposition, or (b) Over contested lots, the value of which does not exceed P100,000. (Republic v. Bantigue, supra) Appeal is taken to the Court of Appeals. Page 1 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law The value of the property is ascertained in three ways: First, by the affidavit of the claimant; Second, by agreement of the respective claimants, if there are more than one; or, Third, from the corresponding tax declaration of the real property. (Sec. 34, BP 129) Sec. 2, PD 1529 has eliminated the distinction between the court‘s general jurisdiction and limited jurisdiction. Thus, a regional trial court has the authority to hear not only applications for original registration but also on all petitions filed after original registration of title. The amendment aims to avoid multiplicity of suits and simplify registration proceedings. The court can now hear and decide not only noncontroversial cases but even contentious issues which before were beyond its competence. Initially, the land registration court has jurisdiction over the land applied for at the time of the filing of the application. At the trial, the court, in the exercise of its jurisdiction, determines whether the land applied for is registerable, and the title thereto, confirmed. If the land turns out to be inalienable public land, then it has no jurisdiction to order its registration and the court must perforce dismiss the application. (Yujuico v. Republic, 537 SCRA 513; City of Dumaguete v. Phil. Ports Authority, GR No. 168973, Aug. 24, 2011). A registration court which has validly acquired jurisdiction over land subject of registration cannot be divested of said jurisdiction by a subsequent administrative act consisting in the issuance by the Director of Lands of a homestead patent covering the same parcel of land. Reason: proceedings for land registration are in rem, whereas proceedings for acquisition of homestead patents are not; thus, a homestead patent is not conclusive as far as courts acting on proceedings in rem are concerned. (De los Angeles v. Santos, 12 SCRA 622) LAND REGISTRATION AUTHORITY (LRA) Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) Functions of the LRA Administrator: 1. Issues decrees of registration 2. Resolves cases elevated en consulta 3. Exercises supervision and control over all clerks of court in relation to land registration 4. Implements orders or decisions of registration courts 5. Verifies and approves subdivision and consolidation survey plans Functions of the LRA: 1. Extends assistance to the DAR in the implementation of the land reform program; 2. Extends assistance to registration courts in ordinary and cadastral registration cases; and 3. Acts as central repository of records relative to original registration, including subdivision and consolidation plans of titled lands. LRA: issuance of decree ministerial It is ministerial only in the sense that they act under the orders of the court and the decree must be in conformity with the decision of the court. (Gomez v. Court of Appeals, 168 SCRA 503) But the duty ceases to be ministerial where the issuance of decree would result in double titling of lands. (Angeles v. Sec. of Justice, GR No. 142549, March 9, 2010) Distinction between “Title” and “Certificate of Title” Title may be defined as that which constitutes a just cause of exclusive possession, or which is the foundation of ownership of property. Certificate of title, on the other hand, is a mere evidence of ownership; it is not the title to the land itself. (Castillo v. Escutin, GR No. 171056, March 13, 2009, 581 SCRA 258) All claims to a parcel of land are quieted upon issuance of the certificate. (Decaleng v. Phil. Episcopal Church, GR No. 171209, June 27, 2012) The law does not require a person dealing with the owner of registered land to go beyond the certificate Page 2 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law of title as he may rely on the notices of the encumbrances on the property annotated on the title. Registration affords legal protection such that the claim of an innocent purchaser for value is recognized as valid despite a defect in the title of the vendor. (PCSO v. New Dagupan Metro Gas Corp., GR No. 173171, July 11, 2012) Ownership is different from a certificate of title. The certificate serves as proof of ownership. But mere issuance of a certificate of title does not foreclose the possibility that the property may be under co-ownership with persons not named in the certificate, or that the registrant may only be a trustee, or that other parties may have acquired interest over the property subsequent to the issuance of the certificate of title. (Lacbayan v. Samoy, GR No. 165427, March 21, 2011) Professor – 2C (2017-2018) city where the land to which it relates lies, be constructive notice to all persons from the time of such registering, filing, or entering. Registration in the public registry is notice to the whole world. (Guaranteed Homes v. Valdez (577 SCRA 441) Thus, between two buyers of the same land, priority is given to: 1. The first registrant in good faith; 2. Then, the first possessor in good faith; and 3. Finally, the buyer who in good faith presents the oldest title. (Art. 1544, CC) This rule, however, does not apply if the property is not registered under the Torrens system. (Abrigov. De Vera, 432 SCRA 544) There shall be at least one Register of Deeds for each province and city. Property registered remains, for all legal person in whose notwithstanding the conveyance, unless registered. Registration of instruments affecting registered land must be done in the proper registry to affect the land and bind third persons. (Aznar Brothers v. Aying, 458 SCRA 496). If a sale is not registered, it is binding only between the seller and the buyer, but it does not affect innocent third persons. (Bulaong v. Gonzales, GR No. 156318, Sept. 5, 2011) A property registered under the Torrens system is, for all legal purposes, unencumbered or remains to be the property of the person in whose name it is registered, notwithstanding the execution of any conveyance, mortgage, lease, lien, order or judgment unless the corresponding deed is registered. The order of entries in the Primary Entry Book of the RD determines the priority in registration. (Bulaong v. Gonzales, GR No. 156318, Sept. 5, 2011) OFFICE OF THE REGISTER OF DEEDS Registration of instruments affecting registered land must be done in the proper registry in order to affect and bind the land (Aznar Brothers v. Aying, 458 SCRA 496) and is notice to the whole world. (Guaranteed Homes, Inc. v. Valdez, 577 SCRA 441) Constructive Notice SEC. 52. Constructive notice upon registration. — Every conveyance, mortgage, lease, lien, attachment, order, judgment, instrument or entry affecting registered land shall, if registered, filed or entered in the Office of the Register of Deeds for the province or Land, Titles and Deeds Reviewer under the Torrens system purposes, the property of the name it is registered, execution of any deed of the corresponding deed is Under the Torrens system of registration, all encumbrances on the land shall be shown, or at least intimated upon the certificate of title and a person dealing with the owner of the registered land is not bound to go behind the certificate and inquire into transactions, the existence of which is not there intimated. The act of registration shall be the operative act to convey or affect the land insofar as third persons are concerned, and in all cases, the registration shall be made in the office of the Register of Deeds for the province or city where the land lies. (Sec. 51, PD 1529; Bulaong v. Gonzalez, supra.) Duty of Register of Deeds to Register: Ministerial Page 3 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Whether the document is valid or not is not for the RD to decide but for the courtto determine. (Gurbax Singh v. Reyes, 92 Phil. 182; Almirol v. Register of Deeds of Agusan, 22 SCRA 1152) Registration must first be allowed and the validity or effect thereof litigated afterwards. If the RD is in doubt as to the action taken, or where the interested party does not agree with the action taken by him, the RD shall certify the question to the LRA via consulta for resolution. (Sec. 117, PD 1529) Instances where Register of Deeds may hold registration 1. Where there are several copies of the title (as in co-ownership) but only one is presented. Every copy of the duplicate original must contain identical entries of the transactions, particularly voluntary ones, otherwise the whole Torrens system would cease to be reliable. The integrity of the Torrens system may be adversely affected if an encumbrance, or outright conveyance, is annotated on only one copy and not on the others. 2. Where the property is presumed conjugal but the document bears the signature of only one spouse. Under Article 166 of the CC, the alienation of conjugal property by the husband without the wife‘s consent is voidable. The wife may ask for annulment of the contract within 10 years. But where the title is solely in the name of the husband, and there is no showing that the land was acquired during the marriage, the presumption of conjugality does not obtain. (Assoc. Insurance v. Banzon, 26 SCRA 268) Under Art. 160 of the CC, all property of the marriage is presumed to belong to the conjugal partnership, unless it be proved that it pertains exclusively to the husband or to the wife. While it is not necessary to prove that the property was acquired with funds of the partnership, proof of acquisition during the marriage is an essential condition for the operation of the presumption in favor of the conjugal partnership. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) Where there is no showing as to when the property was acquired, the fact that the title is in the name of ―Antonia Dela Peña, married to Antegono Dela Peña‖is determinative of its nature as paraphernal, i.e., belonging exclusively to the wife. (Dela Peña v. Avila, GR No. 187490, Feb. 8, 2012) Under the Family Code (Aug. 3, 1988), the sale of a conjugal property requires the consent of both the husband and the wife. The absence of the consent of one renders the sale null and void, while the vitiation (e.g., mistake, violence, intimidation, undue influence or fraud, Art. 1390, CC) thereof makes it merely voidable. Only in the latter case can ratification cure the defect. Doctrinally and clearly, a void contract cannot be ratified. (Guiang v. CA, GR No. 125172, June 26, 1998) 4. Where there is a pending case involving the character of the land or validity of the conveyance In such case, registration may well await the outcome of the case; meantime the rights of the interested parties could be protected by the filing of a notice of lis pendens. (Balbin v. Register of Deeds, 28 SCRA 12) 5. Where required certificates or documents are not submitted, such as – DAR clearance, copy of latest tax declaration, certificate of payment of documentary stamp tax and capital gains tax, BIR certificate authorizing registration (CAR), tax clearance certificate of real estate taxes, certificate of payment of transfer tax, secretary‘s certificate and articles of incorporation (in case of a corporation), HLURB registration papers and license to sell (in case of a subdivision project), TIN, etc. PRIMARY CLASSIFICATION OF LANDS OF PUBLIC DOMAIN The 1987 Constitution classifies lands of the public domain into: 1. Agricultural lands, 2. Forest or timberlands, Page 4 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law 3. Mineral lands, and 4. National parks. Alienable lands of the public domain shall be limited to agricultural lands. Classification of lands under the 1935, 1973 and 1987Constitutions The 1935 Constitution classified lands of the public domain into agricultural, forest or timber. The 1973 Constitutionprovided the following divisions: agricultural, industrial or commercial, residential, resettlement, mineral, timber or forest and grazing lands, and such other classes as may be provided by law, giving the government great leeway for classification. The 1987 Constitution reverted to the 1935 Constitution classification with one addition: national parks. Of these, only agricultural lands may be alienated. . . .(Republic v. AFP Retirement and Separation Benefits System, GR No. 180463, Jan. 16, 2013) Pursuant to Secs. 6 and 7 of the Public Land Act (CA 141, as amended), the President, upon recommendation of the proper department head, has the authority to classify lands of the public domain into alienable or disposable, timber and mineral lands. The classification of public lands is an exclusive prerogative of the executive department. In the absence of classification, the land remains as unclassified land until it is released for disposition. (Republic v. Fabio, 575 SCRA 511) The President through a proclamation or executive order can classify or reclassify lands of the public domain. (Sec. of DENR v. Yap, 568 SCRA 164) The DENR Secretary is the only other official authorized to approve a land classification. This case illustrates the classification by Presidential fiat of Boracay Island in Malay, Aklan. On May 22, 2006, during the pendency of the case, President Arroyo issued Proclamation No. 1064 classifying Boracay Island into 400 hectares of reserved forest land (protection purposes) and 628.96 hectares of agricultural land, declaring it as alienable and opening Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) it for private ownership. (DENR Sec. v. Yap, GR No. 167707, Oct. 8, 2008) Secondary Classification of Agricultural Lands For purpose of administration and disposition, A and D lands may be further classified according to the use or purpose to which they may be devoted: 1. Agricultural; 2. Residential, commercial, industrial, or for similar purposes 3. Educational, charitable, or other similar purposes; and 4. Reservations for townsites and for public and quasi-public uses. (Sec. 9, CA No. 141). “Public land” distinguished from “government land” Public land is equivalent to public domain and includes only such land as may be the subject of disposition. Government land and public land are not synonymous –the first includes not only the second but also other lands already reserved or devoted to public use or subject to a private right. In sum, the government owns real estate which is part of ―public lands‖ and other real estate which is not a part thereof. (Montano v. Insular Government, 12 Phil. 572) NON-REGISTRABLE PROPERTIES Lands for public use or public service 1. Those intended for public use, such as roads, canals, rivers, torrents, ports and bridges, etc.; 2. Those which, without being for public use, are intended for some public service or for the development of the national wealth. (Art. 420, CC) These properties are outside the commerce of men and therefore not subject to private appropriation. (Martinez v. Court of Appeals, 56 SCRA 647) Property of public dominion, when no longer needed for public use or for public service, form part of the patrimonial (or private) property of the State. Page 5 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Property devoted for public service cannot be sold until there is a formal declaration by the government withdrawing it from being such. (Laurel v. Garcia, 17 SCRA 797) Patrimonial property may be acquired by private persons through prescription. (Malabanan v. Republic, 587 SCRA 172; Sec. 14(2), PD 1529) Property of public dominion, which generally includes property belonging to the State, is beyond the commerce of man. (Art. 420, CC) The Iloilo fishing port which was constructed by the State for public use and/or public service falls within the term "port" under Art. 420 of the CC. As such, it cannot be subject to execution or foreclosure sale. In like manner, the reclaimed land on which the IFPC is built cannot be the object of a private or public sale without Congressional authorization. (City of Pasig v. Republic, GR No. 185023, Aug. 24, 2011) Waters Rivers and their natural beds, lakes, all categories of surface waters, atmospheric or subterranean ground waters, and seawater all belong to the State. Waters found, or rain water falling, on private lands also belong to the State. (PD 1067, Water Code) PD 1067 (Water Code, 1976) repealed Arts. 502 to 518 of the Civil Code on Waters. The following belong to the state: Rivers and their natural beds; continuous or intermittent waters of springs and brooks; natural lakes and lagoons, all categories of surface waters; atmospheric water; subterranean or ground waters; and sea water. The following waters found on private lands belong to the State: Continuous or intermittent waters rising on such lands; lakes and lagoons naturally occurring on such lands; rain water falling on such lands; subterranean or ground waters; and water in swamps and marshes. Forests Forest is a large tract of land covered with a natural growth of trees and underbrush. Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) The classification is descriptive of its legal nature or status and does not have to be descriptive of what the land actually looks like. (DENR Sec. v. Yap, GR No. 167707, Oct. 8, 2008) Unless and until the land classified as forest is released as A and D, the rules on confirmation of title do not apply. (Amunategui v. Director of Forestry, 126 SCRA 69) Timber licenses, permits and license agreements are the principal instruments by which the State regulates the utilization of forest resources. (Alvarez v. PICOP Resources, Inc., 606 SCRA 444) They merely evidence a privilege granted by the State to qualified entities and do not vest in the latter a permanent or irrevocable right. They are not deemed contracts within the purview of the due process clause. (Oposa v. Factoran, GR No. 101083, July 30, 1993) Watersheds Watershed is an area drained by a river and enclosed by a boundary which separates it from adjacent watersheds.It is not susceptible of occupancy, disposition, or alienation. (Collado v. CA, GR No. 107764, Oct. 4, 2002) The protection of watershed ensures an adequate supply of water for future generations and the control of flashfloods that not only damage property but also cause loss of lives. (Tan v. Director of Forestry, 125 SCRA 302) Mangrove swamps Mangrove swamps or manglares are forestaland not alienable agricultural land. BFAR has no jurisdiction to dispose of swamplands or mangrove lands while such lands are still classified as forest lands. Mangrove swamps form part of the public forests and therefore not subject to disposition until they are first classified as alienable agricultural land. (Director of Forestry v. Villareal, 170 SCRA 598) Mineral Lands Page 6 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Mineral land means any area where mineral resources are found. Mineral lands and resources are owned by the State and their exploration, development and utilization is subject to the full control and supervision of the State. (Republic v. CA and Dela Rosa, 160 SCRA 228; La Bugal-B’laan v. Ramos, 445 SCRA 1) Possession of mineral land, no matter how long, does not confer possessory rights. (Atok Big Wedge v. CA, 193 SCRA 71) National Parks Land reserved for a national park cannot be registered. Where a certificate of title covers a portion of land within the area reserved for park purposes, the title should be annuled with respect to that portion. (Palomo v. CA, 266 SCRA 392) For instance, any portion of the Tiwi Hot Spring National Park cannot be disposed of under the Public Land Act or Property Registration Decree. Military or Naval Reservation Land inside a military (or naval) reservation, like the Fort Bonifacio Military Reservation, cannot be the object of registration unless it had been withdrawn from the reservation, reclassified and declared as disposable public land. Its status as part of a military reservation remains, even if incidentally it is devoted for a purpose other than as a military camp or for defense. (Republic v. Southside, 502 SCRA 587) Moreover, the 1987 Constitution forbids private corporations from acquiring any kind of alienable land of the public domain, except through lease for a limited period. (Ibid) Foreshore Lands Foreshore lands are inalienable unless declared to be A and D portions of the public domain. A foreshore land is that ―strip of land that lies between the high and low water marks and that is alternately wet and dry according to the flow of the tide, ―or "that part of the land adjacent to the sea which is alternately covered and left dry by the ordinary flow of the tides.―(Republic v. RREC, 299 SCRA 199) Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) But land invaded by the sea is a foreshore land and forms part of the public domain. (Republic v. CA and Morato, 281 SCRA 639) ―The CCP is a ‗non-municipal public corporation‘ established for the primary purpose of propagating arts and culture in the Philippines. It was created to awaken the consciousness of the Filipino people to their artistic and cultural heritage, and encourage them to assist in its preservation, promotion, enhancement and development. The CCP Complex was established as a worthy venue for Filipino artists to express their art and for the people to appreciate art and the Filipino culture. But more than its peso and centavo significance, the Decision and Amended Decision, unless reversed, will deal arts and culture a debilitating blow.‖ (Puno, J., concurring opinion in Republic v. RREC) Reclaimed Lands Submerged areas form part of the public domain; only when reclaimed from the sea can these submerged areas be classified as agricultural lands. Once reclaimed the government may then officially classify these lands as A and D, and declare these lands no longer needed for public service. Only then can these lands be considered as A and D lands and within the commerce of men. (Chavez v. PEA, 384 SCRA 152) Absent two official acts – (a) a classification that submerged areas are A and D, and (b) a declaration that they are not needed for public service -lands reclaimed from the sea are inalienable. The Public Estates Authority (PEA), renamed as Philippine Reclamation Authority (PRA), is the agency authorized to undertake reclamation projects. Lakes Lakes are neither agricultural nor disposable lands of the public domain; hence, free patents and certificates of title covering portions of the lake are a nullity. But areas beyond its natural bed, or the ground covered by the waters at their highest ordinary depth Page 7 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law during the dry season, may be registered. (Republic v. CA and De Rio, 131 SCRA 532) The LLDA has exclusive authority to issue permits for the use of the waters of the Laguna de Bay. Rivers and Creeks Rivers and creeks are parts of the public domain for public use and not capable of appropriation or acquisition by prescription. The ownership of a stream may not be acquired under a public land patent and the issuance of the corresponding certificate of title does not change its public character. (Mateo v. Moreno, 28 SCRA 796) A dried up creek is property of public dominion. (Fernando v. Acuña, GR No. 161030, Sept. 14, 2011) Protected Areas RA No. 7586 provides for the establishment and management of a national integrated protected areas system referred to as the ―National Integrated Protected Areas System (NIPAS) Act of 1992‖. Protected areas are necessary to maintain essential ecological processes and life-support systems, to preserve genetic diversity, to ensure sustainable use of resources found therein. A protected area, like the Bataan Natural Park, is inalienable. Reservations for public and semi-public purposes The President may designate by proclamation any tract of land of the public domain for the use of the Republic or its branches, e.g., public or semi-public uses like highways, hydroelectric sites, railroads, irrigation systems, etc. which shall be inalienable. The reserved land shall thereafter remain until otherwise provided by law or proclamation. (Republic, rep. by Mindanao Medical Center v. CA, 73 SCRA 146) DISPOSITION OF PROPERTY BY THE STATE The State possesses not only the right to determine what lands may or may not be the subject of disposition, the size thereof and procedure for the acquisition of title to land. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) For the purpose, the State has adopted the policy of multiple land use to the end that the country‘s natural resources may be rationally explored, developed, utilized and conserved, and to maintain a rational and orderly balance between socio-economic growth on one hand and environmental protection on the other. ―Taking into account the requirements of conservation, ecology, and development, and subject to the requirements of agrarian reform, the Congress shall determine, by law, the size of lands of the public domain which may be acquired, developed, held, or leased and the conditions therefor.‖(Sec. 3, Art. XII, Constitution) ―Private corporations or associations may not hold such alienable lands of the public domain except by lease, for a period not exceeding twenty-five years, renewable for not more than twenty-five years, and not to exceed one thousand hectares in area. Citizens of the Philippines may lease not more than five hundred hectares, or acquire not more than twelve hectares thereof by purchase, homestead, or grant.‖(Sec. 3, id.) ―The Congress shall, as soon as possible, determine by law the specific limits of forest lands and national parks, marking clearly their boundaries on the ground. Thereafter, such forest lands and national parks shall be conserved and may not be increased nor diminished, except by law. The Congress shall provide, for such period as it may determine, measures to prohibit logging in endangered forests and watershed areas.‖(Sec. 4, id.) ―The State, subject to the provisions of this Constitution and national development policies and programs, shall protect the rights of indigenous cultural communities to their ancestral lands to ensure their economic, social, and cultural well-being. The Congress may provide for the applicability of customary laws governing property rights or relations in determining the ownership and extent of ancestral domain.‖(Sec. 5, id.) LAND REGISTRATION: Historical Flashback Public Land Act (Act No. 926) Passed pursuant to the Philippine Bill of 1902. Page 8 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Prescribed rules for homesteading, selling and leasing portions of the public domain. Provided for the issuance of patents to native settlers, for the establishment of townsites, and for confirmation of Spanish concessions and grants. Operated on the assumption that the government‘s title to public land sprung from the Treaty of Paris between Spain and the United States. Public Land Act (Act No. 2874) Passed in 1919 under the Jones Law. It was more comprehensive in scope but limited the exploitation of agricultural lands to Filipinos and Americans and citizens of other countries which gave Filipinos the same privileges. After the passage of the 1935 Constitution, Act No. 2874 was amended in 1936 by CA No. 141, the present Public Land Act which is essentially the same as Act No. 2874. Public Land Act (C.A. No. 141) Approved on November 7, 1936, it applies to all lands of the public domain that have been officially delimited and classified. Provides for the different modes of government grant, e.g., homestead, sale, free patent (administrative legalization), and reservations for public and semi-public purpose. A certificate of title issued pursuant to a public land patent has the same validity and efficacy as a certificate of title issued through ordinary registration proceedings. Land Registration Act (Act No. 496) Approved on November 6, 1902, but became effective on January 1, 1903, it established the Torrens system. The ―Court of Land Registration‖ had exclusive jurisdiction over all applications for registration. Registration under the system did not create a title; it simply confirmed a title already vested. Proceedings under the Act were in rem, Final decrees were regarded as indefeasible and could not be reopened except upon a Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) petition for review within one year after entry of decree. Cadastral Act (Act No. 2259) Enacted on February 11, 1913, it is a compulsory registration proceeding initiated by the government to ―settle and adjudicate‖ title to lands. The Director of Lands gives notice to all persons of the date of survey for them to inform the surveyors of the boundaries of their claims. Only unregistered lands may be the subject of survey. All conflicting interests shall be adjudicated by the court and in the absence of successful claimants, the property is declared public land. Property Registration Decree (PD 1529) Approved June 11, 1978, the Decree supersedes and codifies all laws relative to land registration. It substantially incorporates the substantive and procedural requirements of Act No. 496 but includes judicial confirmation of imperfect titles under its Section 14(1). It provides remedies for fraudulent registration, including an Assurance Fund to answer for damages. REGISTRATION UNDER SECTION 14, PD 1529 Under Section 14(1) ―Those who by themselves or their predecessors-ininterest have been in open, continuous, exclusive and notorious possession and occupation of alienable and disposable lands of the public domain under a bona fide claim of ownership since June 12, 1945, or earlier.‖ Requisites 1. The applicant must be a Filipino citizen. 2. The land must already be classified as alienable and disposable (A and D) land at the time of the filing of the application (Mercado v. Valley Mountain Mines, GR No. 141019, Nov. 23, 2011; Victoria v. Republic, GR No. 179673, June 8, 2011; Republic v. Vega, GR No. 177790, Jan. 17, 2011; Page 9 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Malabanan v. CA, GR No. 179987, April 29, 2009). 3. Possession and occupation must be open, continuous, exclusive and notorious under a bona fide claim of ownership (OCENCO). 4. Since June 12, 1945 or earlier. Possession is: Open when it is patent, visible, apparent, notorious and not clandestine; Continuous when uninterrupted, unbroken and not intermittent or occasional; Exclusive when the adverse possessor can show exclusive dominion over the land and an appropriation of it to his own use and benefit; and Notorious when it is so conspicuous that it is generally known and talked of by the public or the people in the neighborhood. (Bienvenido v. Gabriel, GR No. 175763, April 11, 2012) Rationale of the rule that the land need be classified as A and D already at the time the application is filed: ―If the State, at the time the application is made, has not yet deemed it proper to release the property for alienation or disposition, the presumption is that the government is still reserving the right to utilize the property; hence, the need to preserve its ownership in the State irrespective of the length of adverse possession even in good faith.‖ Under Sec. 14(2) ―Those who have acquired ownership of private lands by prescription under the provisions of existing laws‖ Rule on prescription: 1. Ordinary prescription –10 years in good faith 2. Extraordinary prescription –30 years 3. But land must be patrimonial property for prescription to apply. (Malabanan v. Republic, supra) Lands of the public domain shall form part of the patrimonial property of the State when there is a declaration that: These lands are alienable or disposable, and Are no longer intended for public use or public service Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) Only when such lands have become patrimonial can the prescriptive period for the acquisition of the property begin to run. (Malabanan v. CA, supra) Concept of prescription possession for purposes of Possession must be that of owner, and it must be public, peaceful and uninterrupted. Acts of a possessory character by virtue of a license or mere tolerance are not sufficient. The present possessor may complete the period for prescription by tacking his possession to that of his grantor or predecessor-in-interest. It is presumed that the present possessor who was also the possessor at a previous time has continued to be in possession during the intervening time. Under Sec. 14(3) ―Those who have acquired ownership of private lands or abandoned river beds by right of accession or accretion under the existing laws.‖ Ownership of abandoned river beds by right of accession: Under Article 461 of the Civil Code, river beds which are abandoned through the natural change in the course of the waters ipso facto belong to the owners whose lands are occupied by the new course in proportion to the area lost. However, the owners of the adjoining lands shall have the right to acquire the same by paying the value thereof. The reason is that they are in the best position to utilize the old river bed which is adjacent to their property. Q: A and Beach own land on opposite sides of a river. The river changed its course, passing though the land of C. Who owns the abandoned river bed? A: C, to compensate him for his loss. Q: But suppose that two owners, C and D, lost portions of their lands, who owns the river bed? A: C and D, in proportion to the area lost. The owners of the affected lands may not compel the government to restore the river to its former bed, nor Page 10 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law can they restrain the government from taking steps to revert the river or stream to its former courts. But the owners may themselves undertake the reversion of the river to its original course, but upon a permit issued by the government. (Art. 58, PD 1067, Water Code) The ownership of the abandoned river bed is transferred ipso facto to the owners whose lands are occupied by the new course of the river ―to compensate for the loss of the land occupied by the new bed.‖ Requisites for the application of Art. 461: 1. The change must be sudden in order that the old river may be identified; 2. The change of the course must be more or less permanent and not temporary overflooding of another‘s land. 3. The change of the river must be a natural one, i.e., caused by natural forces (and not by artificial means) 4. There must be a definite abandonment by the government; 5. The river must continue to exist, i.e., it must not completely disappear. Ownership by right of accretion along river banks Under Art. 457, CC, to the owners of land adjoining the banks of rivers belong the accretion which they gradually receive from the effects of the current of the waters. Justification: To offset the owner‘s loss for possible erosion of his land due to the current of the river; To compensate him for his burdens arising from the subjection of his land to encumbrances or legal easements; and Owner is in the best position to cultivate it. (Cortex v. City of Manila, 10 Phil. 567) The increment does not automatically become registered land just because the lot which receives such accretion is covered by a Torrens title. It must be placed under the operation of the Torrens system. (Cureg v. IAC, 177 SCRA 313) The owner must register the accretion under the Torrens system, otherwise the alluvial property may be subject to acquisition through prescription by third persons. (Grande v. Court of Appeals, 5 SCRA 524) Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) Requisites for the application of Art. 457: 1. That the deposit be gradual and imperceptible; 2. That it be made through the effects of the current of the water; and 3. That the land where accretion takes place is adjacent to the banks of rivers. In the absence of evidence that the change in the course of the river was sudden or that it occurred through avulsion, the presumption is that the change was gradual and caused by accretion and erosion. A riparian owner does not acquire the additions to his land caused by special works designed to bring about accretion. Private persons cannot reclaim land from water bodies belonging to the public domain without permission from government authorities. And even if such reclamation is authorized, the reclaimed land does not automatically belong to the party reclaiming it as the land may still be the subject to the terms of the authority granted. Alluvial formation along the seashore is part of the public domain and, therefore, not open to acquisition by adverse possession. ―Art. 4, Lands added to the shore by accretion and alluvial deposits caused by the action of the sea, form part of the public domain. When they are no longer washed by the waters of the sea, and are not necessary for purposes of public utility, or for the establishment of special industries, or for the coast-guard service, the Government may declare them to be the property of the owners of the estate adjacent thereto and as an increment thereof.‖(Spanish Law of Waters) Until a formal declaration by the government, through the executive or legislature, that the alluvial formation is no longer needed for coast guard service, for public use or for special industries, the same continues to be part of the public domain not available for private appropriation of ownership. The land is not subject to ordinary prescription as it is outside the sphere of commerce. Under Sec. 14(4) Page 11 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law ―Those who have acquired ownership of land in any other manner provided for by law.‖ In Republic, rep. by the Mindanao Medical Center v. Court of Appeals (GR No. L-40912, Sept. 30, 1976), the SC held that Proclamation No. 350 legally effected a land grant for medical purposes to the Mindanao Medical Center validly sufficient for initial registration under the Land Registration Act. In International Hardwood and Veneer Co. v. University of the Philippines, Proc. No. 791 withdrew from settlement and reserved a parcel of land for the experiment station of the UP, followed by RA 3990 which ―ceded and transferred (the same area) in full ownership‖ to the UP, ―subject to existing concessions, if any.‖ Pursuant to the reservation, the Court held that the government divested itself of its rights and title thereto and made UP the absolute owner thereof, subject only to existing concessions. REGISTRATION UNDER SECTION 48(b), PUBLIC LAND ACT (CA 141) Who may apply? ―Those who by themselves or through their predecessors in interest have been in open, continuous, exclusive, and notorious possession and occupation of alienable and disposable lands of the public domain, under a bona fide claim of acquisition of ownership, since June 12, 1945, except when prevented by war or force majeure. These shall be conclusively presumed to have performed all the conditions essential to a Government grant and shall be entitled to a certificate of title under the provisions of this chapter.‖(Sec. 48[b], CA 141) No material differences between Sec. 14(1) of PD No. 1529 and Sec. 48(b) of CA No. 141 While the Public Land Act (PLA) refers to ―agricultural lands of the public domain‖ and the Property Registration Decree (PRD) refers to ―alienable and disposable lands of the public domain,‖ the subject lands are of the same type since under the Constitution, alienable lands of the public domain shall be limited to agricultural lands. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) Sec. 48(b), CA 141, as amended by PD 1073, requires possession since June 12, 1945, or prior thereto. But the land must already be classified as A and D land at the time the application for registration is filed. (Malabanan vs. CA, GR No. 179987, April 29, 2009) Developments in the law as to requisite possession The first PLA, or Act 926, required a possession and occupation for a period of ten (10) years prior to the effectivity of Act No. 296 on July 26, 1904 or on July 26, 1894. This was adopted in the PLA until it was amended by RA 1942 on June 22, 1957, which provided for a period of thirty (30) years. It was only with the enactment of PD 1073 on Jan. 25, 1977 that it was required that possession and occupation should commence on June 12, 1945. (Rep. v. East Silverlane, GR No. 186961, Feb. 20, 2012; Rep. v. Espinosa, GR No. 171514, July 18, 2012) PD 1073 cannot impair vested rights Vested rights acquired under Sec. 48(b) prior to its amendment by PD 1073 must be respected. Thus, an applicant who, prior to the effectivity of PD 1973 on Jan. 25, 1977, has been in open, continuous, exclusive and notorious possession and occupation of an agricultural land of the public domain, under a bona fide claim of ownership, for at least 30 years, or at least since Jan. 24, 1947, may apply for judicial confirmation of imperfect or incomplete title under Sec. 48(b) of the PLA. (Rep. v. Espinosa, GR No. 171514, July 18, 2012) When the conditions specified in Sec. 48(b) of the PLA are complied with, the possessor is deemed to have acquired, by operation of law, a right to a grant, without the necessity of a certificate of title being issued. (Herico v. Dar, 95 SCRA 437; Republic v. Doldol, supra) Compliance with all requirements for a government grant ipso jure converts land to private property. The land ceases to be of the public domain and is beyond the authority of the DENR to dispose of it under any of Page 12 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Professor – 2C (2017-2018) the modes of disposition under the Public Land Act. (Susi v. Razon, 48 Phil. 424) Section 48 (b) of the Public Land Act is the law that recognizes the substantive right of a possessor and occupant of an alienable and disposable land of the public domain, while Section 14 (1) of the Property Registration Decree recognizes this right by authorizing its registration, thus bringing the land within the coverage of the Torrens System. (Concurring opinion of J. Brion in Chang v. Republic, GR No. 171726, Feb. 23, 2011) Section 48 (b) of the Public Land Act is the law that recognizes the substantive right of a possessor and occupant of an alienable and disposable land of the public domain, while Section 14 (1) of the Property Registration Decree recognizes this right by authorizing its registration, thus bringing the land within the coverage of the Torrens System. The mode of acquisition recognized by Section 48 (b) of the Public Land Act and made registrable under Section 14 (1) of the Property Registration Decree is through confirmation of an imperfect or incomplete title. Both provisions allow confirmation of an imperfect or incomplete title only if the claimant has been in open, continuous, exclusive and notorious possession and occupation of alienable and disposable lands of the public domain since June 12, 1945 or earlier. REGISTRATION UNDER THE PEOPLES RIGHTS ACT (RA 8371) communities or indigenous peoples (ICCs/IPs) as a distinct sector in Philippine Society. It grants these people the ownership and possession of their ancestral domains and ancestral lands, and defines the extent of these lands and domains. The ownership given is the indigenous concept of ownership under customary law which traces its origin to native title. Ancestral lands/domains are not deemed part of the lands of the public domain but are private lands belonging to ICCs/IPs who have actually occupied, possessed and utilized their territories under claim of ownership since time immemorial. Native title refers to pre-conquest rights which, as far back as memory reaches, have been held under claim of private ownership by ICCs/IPs, have never been public lands and are thus indisputably presumed to have been held that way since before the Spanish Conquest. (Cruz v. Sec. of DENR, 347 SCA 128) The National Commission on Indigenous Peoples (NCIP) has the authority to issue certificates of ancestral domain title (CADT) or certificates of ancestral land title (CALT). The recording of CADT and CALT in the Office of the Register of Deeds does not result in the issuance of Torrens certificate of title. INDIGENOUS The purpose of registration is simply to apprise the public of the fact of recognition by the NCIP of specific claims to portions of the ancestral domains or ancestral lands. ―The State recognizes and promotes the rights of indigenous cultural communities within the framework of national unity and development.‖(Sec. 2 Art. II) Modes of Acquisition The rights of ICCs/IPs to their ancestral domains and ancestral lands may be acquired in two modes: 1. By native title over both ancestral lands and domains; or 2. By Torrens title under the Public Land Act (CA No. 141) of the Property Registration Decree (PD No. 1529) with respect to ancestral lands only. Constitutional provisions The Congress may provide for the applicability of customary law governing property rights or relations in determining the ownership and extent of ancestral domain.‖(Sec. 5, par. 2, Art. XII) Indigenous concept of ownership The IPRA (RA No. 8371) recognizes the existence of the indigenous cultural Land, Titles and Deeds Reviewer Requisites for Registration 1. The applicant is a member of an indigenous cultural group; Page 13 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law 2. He must have been in possession of an individually-owned ancestral land for not less than thirty (30) years; 3. By operation of law, the land is already classified as A and D, even if it has a slope of 18% or over, hence, there is no need to submit a separate certification that the land is A and D. (Sec. 12, RA 8371) The rights of ownership over ancestral lands may be transferred subject to the following limitations: 1. Only to members of the same ICCs/IPs; 2. In accord with customary laws and traditions; and 3. Subject to the right of redemption for a period of fifteen (15) years if the land was transferred to a non-member. Ancestral domains belong to all generations and therefore cannot be sold, disposed or destroyed. DIPOSITION OF FRIAR LANDS (ACT 1120) Friar lands are not public lands but private or patrimonial property of the government. Friar lands were purchased by the government for sale to actual occupants under Act 120 (Friar Lands Act) The Lands Management Bureau (LMB) shall first issue a sales certificate to the occupant who shall pay the purchase price in instalments. The purchaser becomes the owner upon the issuance of the certificate of sale, subject to cancellation in case the price agreed upon is not paid in full Upon full payment, the government shall then issue a final deed of conveyance to the purchaser No lease or sale shall be valid until approved by the DENR Secretary (Manotok v. Barque, GR No. 162335, Aug. 24, 2010) Sale of friar lands is different from sale of public lands: In sale of public lands, the land is opened for bidding; the successful bidder is given right of entry and to cultivate and improve the land. Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) Upon cultivation of 1/5 of the land, the applicant is given a sales patent. In the case of friar lands, the purchaser becomes the owner upon issuance of the certificate of sale in his favor. WHO MAY APPLY? CITIZENSHIP REQUIREMENT On the basis of their capacity “to acquire or holds lands of the public domain, ”the following may acquire private lands: 1. Filipino citizens 2. Filipino corporations and associations, 60% of whose capital are owned by Filipinos 3. Aliens by hereditary succession (Sec. 7, Art. XII) 4. A natural-born citizen of the Philippines who has lost his Philippine citizenship, subject to limitations provided by law. (Sec. 8, Id.) Citizens of the Philippines: 1. Those who are citizens of the Philippines at the time of the adoption of the 1987 Constitution 2. Those whose fathers or mothers are citizens of the Philippines 3. Those born before January 17, 1972, of Filipino mothers, who elect Philippine citizenship upon reaching the age of majority; and 4. Those who are naturalized in accordance with law. (Art. IV, Constitution): Constitutional provisions Save in cases of hereditary succession, no private lands shall be transferred or conveyed except to individuals, corporations, ort associations qualified to acquire or hold lands of the public domain. (Sec. 7, Art. XII) Notwithstanding the provisions of Section 7 of this Article, a natural-born citizen of the Philippines who has lost his Philippine citizenship may be a transferee of private lands, subject to limitations provided by law. (Sec. 8, Ibid) Area limitations under RA 7042 as amended by RA 8179 Urban land –5,000 square meters Rural land –3 hectares. Page 14 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Under RA 9225 (Citizenship Retention and Reacquisition Act of 2003), a natural-born citizen who has lost his Philippine citizenship by reason of his naturalization as a citizen of a foreign country is deemed to have ―re-acquired Philippine citizenship‖ upon taking his oath of allegiance to the Republic and ―shall enjoy full civil and political rights‖ under existing laws. The capacity to own land is determined at the time of its acquisition and not registration. Example: Pedro, a Filipino, bought land from Jose who at the time of the sale had already complied with the requirements for the registration of the land. Pedro later became a naturalized Canadian citizen. Pedro‘s subsequent acquisition of Canadian citizenship will not impair his right to the land which he could have validly registered when he was yet a Filipino citizen. He is also qualified under the terms of Sec. 8, Art. XII, Constitution. (Republic v. CA and Lapiña, 235 SCRA 567) Q: May the RD validly refuse to register a deed of donation of a residential land executed by a Filipino in favor of an unregistered organization, the ―Ung Sui Si Temple,‖ operating through three trustees all of Chinese nationality? A: Yes. In view of the absolute terms of Sec. 5, Title XIII of the 1935 Constitution (now Sec. 8, Art. XII, 1987 Constitution) that, ―save in cases of hereditary succession, no private agricultural land shall be transferred except to individuals, corporations or associations qualified to acquire or hold lands of the public domain,‖ the Constitution makes no exception to religious groups. (Register of Deeds v. Ung Sui Si temple, GR No. L-6776, May 21, 1995) Q: Can a Filipino vendor recover land sold to an alien? A: Yes. When an agreement is not illegal per se but is merely prohibited and the prohibition is designed for the protection of the plaintiff, he may recover the land, the public policy being to preserve and maintain the land in the hands of Filipino citizens. (Phil. Banking Corp. v. Lui She, 21 SCRA 52; Borromeo v. Descallar, 580 SCA 175; United Church v. Sebastian, 159 SCRA 446) Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) Note: In Rellosa v. Gaw Chee Hun, 93 Phil. 827, the Filipino vendor was in pari delicto with the alien vendee, hence, recovery was not allowed. When doctrine of pari delicto does not apply ―The principle underlying pari delicto as known here and in the United States is not absolute in its application. It recognizes certain exceptions one of them being when its enforcement or application runs counter to an avowed fundamental policy or to public interest. As stated by us in the Rellosa case, ‗This doctrine is subject to one important limitation, namely, whenever public policy is considered advanced by allowing either party to sue for relief against the transaction.‘‖(Binayug v. Ugaddan, GR No. 181623, Dec. 5, 2012) Other illustrative cases on acquisition by aliens Where the land was now in the hands of a naturalized Filipino, there is no more public policy to be served by allowing recovery. (Barsobia v. Cuenco , 199 Phil. 26), Where land is sold to a Chinese who later sold it to a Filipino, the sale can no longer be impugned. (Herrera v. Guan, 1 SCRA 406). Q: Chuck, an American, and Cory, a Filipino, acquired land which was registered in the latter‘s name. Cory sold the land to Mario without Chuck‘s consent. Valid? A: Yes. Chuck never acquired any right to the land, he being an alien. (Cheesman v. IAC, 193 SCRA 93) ―The Court had already denied a claim for reimbursement of the value of purchased parcels of Philippine land instituted by a foreigner Helmut Muller, against his former Filipina spouse, Elena Buenaventura Muller. It held that Helmut Muller cannot seek reimbursement on the ground of equity where it is clear that he willingly and knowingly bought the property despite the prohibition against foreign ownership of Philippine land enshrined under Section 7, Article XII of the 1987 Philippine Constitution. x x x Equity as a rule will follow the law and will not permit that to be done indirectly which, because of public policy, cannot be done directly. A contract that violates the Constitution and the law is null and void, vests no rights, creates no obligations and produces Page 15 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law no legal effect at all.‖ (Beumer v. Amores, GR No. 195670, Dec. 3, 2012) Private corporations not qualified ―Private corporations or associations may not hold (such) alienable lands of the public domain except by lease, for a period not exceeding 25 years, renewable for not more than 25 years, and not to exceed 1,000 hectares in area.‖(Sec. 3, Art. XII, Constitution) Reason: to encourage economic family-sized farms by transferring ownership of only a limited area of alienable lands of the public domain to a qualified individual. Available lands are decreasing due to increasing population. Corporation sole A corporation sole is vested with the right to hold real estate and personal property. (Roman Catholic Apostolic v. LRC, 102 Phil. 596) It is created not only to administer the temporalities of the church or religious society where the administrator (bishop or archbishop) belongs but also to hold and transmit the same to his successor in office. Upon the death of the administrator, church properties pass, by operation of law, not to his heirs but to his successor in office. In Republic v. Iglesia ni Cristo, 591 SCRA 438, the Court held that a private corporation may validly file an application for registration over a parcel of land it had acquired from a person who had already complied with the statutory period of possession. The possession of INC has been established not only from 1952 and 1959 when it purchased the respective halves of the subject lot, but is also tacked to the possession of its predecessors-in-interest who had been in possession thereof before June 12, 1945. Justice Oswaldo Agcaoili Professor – 2C (2017-2018) An open, continuous, adverse and public possession of property from time immemorial by a private individual confers effective title on said possessor, whereby the land ceases to be public and becomes private property. (Susi v. Razon, 48 Phil. 424) In Ayog v.Cusi, 146 SCRA 15, the Court ruled that the prohibition under Sec. 11, Art. XIV of the 1973 Constitution disqualifying for the first time a private corporation from purchasing public lands has no retroactive application because respondent corporation had already acquired a vested right to the land at the time the 1973 Constitution took effect, i,e., by complying with the construction and cultivation requirements of the law and paying the full purchase price of the land such that it now became the ministerial duty of government to issue the sales patent to the corporation. FORM AND CONTENTS OF APPLICATION The application shall be in writing, signed by the applicant or his authorized representative, and under oath. If there is more than one applicant, the application shall be signed and sworn to by each. The application shall contain a description of the land, and state the civil status of the applicant, and the names of all occupants and adjoining owners, if known. (Sec. 15, PD No. 1529) The application shall be filed with the RTC of the province or city where the land lies, with a copy furnished the Director of Lands. (Sec. 16, ibid.) The applicant may file a single application for two or more parcels of land in the same province Amendments which consist in a substantial change in the boundaries or an increase(not decrease) in area shall be subject to publication and notice as in an original application. (Sec. 19, ibid.; Benin v. Tuason, 57 SCRA 531) Vested Right A vested right is some right or interest in property that has been fixed and established, and is no longer open to doubt or controversy. (Lucero v. City of Pasig, 508 SCRA 23; Ayog v. Cusi, 204 Phil. 126) Land, Titles and Deeds Reviewer DEALINGS WITH LAND PENDING REGISTRATION Pending issuance of the decree, the land may be the subject of dealings (sale, lease, mortgage) in whole or in part, and the interested party shall submit to the court for consideration the pertinent documents and subdivision plan in case only portions of the land are Page 16 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law affected. The application need not be amended. (Mendoza v. CA, 84 SCRA 67) The court shall order the land registered subject to the conveyance or encumbrance, or order that the decree be issued to the transferee. (Sec. 22, ibid.) In case of transfer of a portion of the land, the corresponding should also be presented. Upon notice, the court shall: (a) order the land registered subject to the conveyance or encumbrance created by the instrument, or (b) order that the decree of registration be issued in the name of the person to whom the property has been conveyed. PUBLICATION, MAILING, AND NOTICE ―The Court shall within 5 days from filing of the application, issue an order setting the date and hour of the initial hearing which shall not be earlier than 45 days nor later than 90 days from the date of the order. The public shall be given notice of the initial hearing of the application for land registration by means of (a) publication; (2) mailing; and (c) posting.‖(Sec. 23, PD 529) Purpose: (a) to confer jurisdiction upon the court, and (b) to apprise the whole world of the case so that they may oppose the application, if minded. ―Upon receipt of the order of the court setting the time for initial hearing, the LRA shall cause a notice of initial hearing to be published once in the Official Gazette and once in a newspaper of general circulation in the Philippines: Provided, however, That the publication in the Official Gazette shall be sufficient to confer jurisdiction upon the court. Said notice shall be addressed to all persons appearing to have an interest in the land involved including the adjoining owners so far as known, and ‗to all whom it may concern.‘‖(Sec. 23, ibid.) Publication Constructive seizure of the land is effected through publication of the notice of initial hearing in the OG and in a newspaper of general circulation, and also the posting and mailing thereof to affected parties. (Sec. 23, PD No. 1529) Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) While the law says that publication in the OG shall be sufficient to confer jurisdiction upon the court, publication in a newspaper is still required to accord with the due process requirement. (Roxas v. Court of Appeals, 270 SCRA 309) But lack of personal notice does not vitiate the proceedings. (Roxas v. Enriquez, 212 SCRA 625) Role of the Solicitor General 1. The Solicitor General represents the government in all land registration and related proceedings. 2. As a rule only court notices and processes actually served upon the SG is binding on his office. 3. Deputized officers are under the direction and control of the SG himself. (NPC v. NLRC, GR No. 90933, May 29, 1997). 4. The government may appeal an adverse decision despite not filing any opposition. (Republic v. CA and Arquillo, 182 SCRA 290) Procedure where conveyance involves only a portion of land: No TCT shall be issued by the RD until a plan of the land showing the portions into which it has been subdivided, together with the technical description, shall have been verified and approved by the LRA or LMB. Meanwhile, the deed may only be annotated by the RD by way of memorandum on the grantor‘s certificate of title. (Sec. 58 in relation to Sec. 50, PD No. 1529). OPPOSITION Any person claiming an interest or right of dominion may appear and oppose the application for registration. Where no opposition is made, all the allegations in the application for registration shall be held as confessed, and the claimant shall be deemed to have forever lost his right to the land. But the absence of opposition does not justify the court into awarding the land to the applicant; he must still submit well-nigh incontrovertible proof that he is Page 17 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law entitled to registration. (Director of Lands v. Agustin, 42 Phil. 227) Order of default ―If no person appears and answers within the time allowed, the court shall, upon motion of the applicant, order a default to be recorded and require the applicant to present evidence. By the description in the notice ‗To All Whom It May Concern,‘ all the world are made parties defendant and shall be concluded by the default order. Where an appearance has been entered and an answer filed, a default order shall be entered against persons who did not appear and answer. (Sec. 26, PD 1529) ―If no person appears and answers within the period allowed, an order of (general) default shall be entered and the applicant required to present evidence. When an appearance has been entered and an answer filed, an order of (special) default shall be entered against persons who did not appear and answer.‖(Sec. 26, PD No. 1529) Appeal by party in default A party declared in default may appeal from the judgment on the ground that the applicant failed to prove the material allegations in his application for registration, or that the decision is contrary to law, even without first filing a motion to set aside the order of default. (Martinez v. Republic, 506 SCRA 601) Where the Director of Lands did not oppose the application and was, by order of the court, declared in default, the order should not prejudice the government since the Republic is usually not estopped by the mistake or error of its officials or agents. (Republic v. Aquino, 205 Phil. 141) Motion to dismiss based on res judicata proper in registration proceedings Sec. 34, PD 1529, provides that the Rules of Court shall be applicable to registration and cadastral cases by analogy or in a suppletory character. In Valisno v. Plan (143 SCRA 502), the Court, applying the principle of res judicata, sustained the applicant‘s motion to dismiss the opposition to his application for registration it appearing that the land sought to be registered had been previously litigated Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) between the applicant and the oppositor in a civil case for recovery of possession, resulting in a favorable judgment to the applicant. Applicability of res judicata Under the rule of res judicata, a final judgment or decree on the merits by a court of competent jurisdiction is conclusive of the rights of the parties or their privies, in all later suits and on all points and matters determined in the previous suit. The principle bars a subsequent suit involving the same parties, subject matter, and cause of action. The rationale for the rule is that "public policy requires that controversies must be settled with finality at a given point in time.―(Topacio v. Banco Filipino, GR No. 157644, Nov. 17, 2010) Elements of res judicata: (a) Former judgment must be final; (b) The court which rendered it had jurisdiction over the subject matter; (c) The judgment must be on the merits; (d) There must be between the first and the second actions, identity of parties, subject matter and cause of action. The doctrine does not require absolute but merely substantial identity of the parties. The defense of res judicata may be waived if not set up in a motion to dismiss. HEARING The court shall decide the case within 90 days from its submission. The court may refer the case or part thereof to a referee who shall submit his report to the court within 15 days after its termination. Applications for registration shall be heard by the regional trial court or, in proper cases, by the first level court, in the province or city where the land is situated. (Sec. 27, PD 1529) The burden is on the applicant to prove his positive averments and not for the government or the private oppositors to establish a negative proposition. Page 18 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law The applicant must submit convincing proof of his and his predecessor-in-interest‘s actual, peaceful and adverse possession and occupation in the concept of owner for the length of time and in the manner prescribed by law. He must show, by ―well-nigh incontro-vertible proof,‖and even in the absence of opposition, that he is the absolute owner of the land. Professor – 2C (2017-2018) DENR level of authority on land classification Secretary: Land classification and release of lands of the public domain as alienable and disposable (A and D) Secretary: Sub-classification of forest lands according to use PENRO: Issuance of certificate whether timber land or A and D –above 50.0 has. CENRO: Issuance of certificate whether timber land or A and D –below 50.0 has. (See also: Republic v. Jaralve, GR No. 175177, Oct. 24, 2012) EVIDENCE OF OWNERSHIP Identity of the land Proof that land is A and D 1. Certification of the BFD that land has been released as A and D 2. LC Map showing that the land is within the A and D portion of the public domain 3. Executive proclamation withdrawing a specific portion from a reservation and declaring same open for disposition. 4. Legislative or executive proclamation reserving a portion of the public domain for public or quasi-public use. The application for original registration must be accompanied by: (1) CENRO or PENRO Certification that land is A and D; and (2) Copy of the original classification approved by the DENR Secretary and certified as a true copy by the legal custodian thereof. (Republic v. Bantigue, GR No. 162322, March 14, 2012; Mercado v. Valley Mountain Mines, GR No. 141019, Nov. 23, 2011; Republic v. Dela Paz, GR No. 171631, Nov. 5, 2010; Republic v. T.A.N, 555 SCRA 477) Policy clarification by DENR Memorandum No. 564, dated Nov. 15, 2012 The issuance of the certification and the certified copy of the approved LC Map to prove that the area applied for is indeed classified as A and D is ―within the competence and jurisdiction of the CENRO.‖ A separate administrative order has been issued ―delegating to the CENRO the authority to issue the certification and the certified true copy of the approved land classification map and the particular issuance or order which was used as basis for such classification.‖ Land, Titles and Deeds Reviewer 1. Land must be surveyed to establish its identity, location and area. 2. Only the LMB Director may approve survey plans for original registration purposes. (PD 239, July 9, 1973) 3. There is now no need to present the tracing cloth plan of the land. A certified blue print or white print copy of the plan suffices for registration purposes. (Director of Lands v. CA and Iglesia ni Cristo, 158 SCRA 586) What defines a piece of titled property is not the numerical data indicated as the area of the land, but the boundaries or "metes and bounds" of the property specified in its technical description as enclosing it and showing its limits. (Rep. v. CA and Santos, GR No. 116111, Jan. 21, 1969, 301 SCRA 366). What defines a piece of land is not the area, calculated with more or less certainty mentioned in the description, but the boundaries therein laid down, as enclosing the land and indicating its limits. (Balantakbo v. CA, GR No. 108515, Oct. 16, 1995) In overlapping of titles disputes, it has always been the practice for the court to appoint a surveyor from the government land agencies —the LRA or the DENR —to act as commissioner. Survey is the process by which a parcel of land is measured and its boundaries and contents ascertained; also a map, plat or statement of the result of such survey, with the courses and distances and the quantity of the land. A case of overlapping of boundaries or encroachment depends on a reliable, if not accurate, verification Page 19 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law survey. (Pabaus v. Yutiamco, GR No. 164356, July 27, 2011) Possession and occupation 1. Possession must be under a claim of ownership. 2. Acts of a possessory character by one who holds the property by mere tolerance of the owner is not in the concept of owner, and do not start the period of prescription. 3. Actual possession consists of acts of dominion of such a nature as a party would naturally exercise over his own property 4. Occupation delimits the all-encompassing effect of constructive possession. Rule of preference in case of conflict of possession The present possessor shall be preferred; If there two possessors, the one longer in possession; If the dates of the possession are the same, the one who presents a title; and If both possessors have titles, the court shall determine the rightful possessor and owner of the land. (Art. 538, CC) Mere possession will not defeat the title of a holder of registered land. (Eduarte v. CA, 253 SCRA 391) Overt acts of possession may consist in: Introducing valuable improvements on the land like fruit-bearing trees; Fencing the area Constructing a residential house thereon; and Declaring the land for taxation purposes. In a practical and scientific way of planting, a onehectare land can be planted to 144 coconut trees. It takes only 10 years for mango trees , and 5 years for coconuts trees, to begin bearing fruit. (Republic v. CA and Chavez, 167 SCRA 150) GR: Supreme Court is not a trier of facts XPN: Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) (1) When the findings are grounded entirely on speculation, surmises or conjectures; (2) When the inference made is manifestly mistaken, absurd or impossible; (3) When there is grave abuse of discretion; (4) When the judgment is based on a misapprehension of facts; (5) When the findings of facts are conflicting; (6) When in making its findings the CA went beyond the issues of the case, or its findings are contrary to the admissions of both the appellant and the appellee; (7) When the findings are contrary to the trial court; (8) When the findings are conclusions without citation of specific evidence on which they are based; (9) When the facts set forth in the petition as well as in the petitioner‘s main and reply briefs are not disputed by the respondent; (10) When the findings of fact are premised on the supposed absence of evidence and contradicted by the evidence on record; and (11) When the CA manifestly overlooked certain relevant facts not disputed by the parties, which if properly considered, would justify a different conclusion. (Tyson’s Super Concrete v. CA, 461 SCRA 69) Tax declarations and tax receipts Tax declarations and tax receipts are not conclusive evidence of ownership but they are good indicia of possession in the concept of owner. (Llanes v. Republic, 572 SCA 258) A tax declaration merely proves payment of taxes. When coupled with actual possession, payment of taxes is evidence of great weight and can be the basis of a claim of ownership through prescription. (Republic v. Alconaba, 427 SCRA 611) Taxes must be paid annually. Spanish titles no longer efficacious as proof of ownership Pursuant to PD No. 892, dated Feb. 16, 1976, Spanish titles may no longer be used as evidence of land ownership. The proliferation of dubious Spanish titles have raised conflicting claims of ownership and tended to destabilize the Torrens system of registration. Page 20 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law JUDGMENT 1. The court shall render judgment within ninety (90) days from the date the case is submitted for decision. 2. The court may refer the case to a referee, usually the clerk of court, as hearing officer to receive evidence, to enable the judge to devote his time to other important businesses. 3. The hearing officer shall submit his report within 15 days after the termination of the hearing. 4. The court may render judgment on the basis of said report or, if necessary, it may reccommit the case to the hearing officer for the reception of additional evidence. (Sec. 27. PD 1529) The judgment confirms the title of the applicant or the oppositor. Partial judgment is proper where a subdivision plan is submitted. (Sec. 28) Judgment becomes final after 15 days from receipt of notice of the judgment. Court retains jurisdiction until after the entry of the final decree of registration. (Gomez v CA, 168 SCRA 503) Principle of res judicata is applicable to registration proceedings. (Aring v. Original, a6 SCRA 1021) Kinds of judgment 1. A judgment in rem is binding upon the whole world, such as a judgment in a land registration case or probate of a will. 2. A judgment in personam is binding upon the parties and their successors-in-interest but not upon strangers. 3. A judgment directing a party to deliver possession of a property to another is in personam; it is binding only against the parties and their successors-in-interest by title subsequent to the commencement of the action. 4. An action for declaration of nullity of title and recovery of ownership of real property, or reconveyance, is a real action but it is an action in personam, for it binds a particular individual only although it concerns the right to a tangible thing. (Muñoz v. Yabut, GR No. 142676, June 6, 2011) Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) Motion for execution of judgment not required The judgment does not have to be executed by motion or enforced by action within the purview of Rule 39 of the 1997 Rules of Civil Procedure. (Republic v. Nillas, GR No. 159595, Jan. 23, 2007) The winning party needs only to file a petition with the court for the issuance of an order directing the LRA to issue a decree of registration, a copy of which is then sent to the Register of Deeds for inscription in the registration book, and issuance of the original certificate of title. (Top Management Programs Corp. v. Fajardo, GR No.150462, June 15, 2011) Execution pending appeal not proper A Torrens title issued on the basis of a judgment that is not final is a nullity. The law requires that a decree shall be issued only upon the finality of the decision of the court, and it is on the basis of said decree that the RD issues the corresponding certificate of title. (Top Management v. Fajardo, supra) No period within which decree may be issued The fact that no decree has as yet been issued cannot divest the applicant of his title to and ownership of the land in question. There is nothing in the law that limits the period within which the court may issue a decree. The reason is that the judgment is merely declaratory in character and does not need to be enforced against the adverse party. (Del Rosario v. Limcaoco, GR No. 177392, Nov. 26, 2012) Notice to the Solicitor General Only notices of court orders or processes served on the Solicitor General bind the government. Period of appeal shall be counted from date of receipt of the judgment by the SG and not by the prosecutor. Belated filing of appeal by the State, or even its failure to file an opposition, because of the mistake or error of its officials or agents, does not deprive it of its right to appeal from the adverse judgment of the Page 21 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law registration court. (Republic v. Tiotioen, 568 SCRA 152) WRIT OF POSSESSION A writ of possession may be issued in: (a) Land registration proceeding which is in rem; (b) Extrajudicial foreclosure of realty; (c) Judicial foreclosure of mortgage which is a quasi in rem; and (d) Execution sales. A writ of possession may be issued not only against the person defeated in the land registration case but also against anyone unlawfully occupying the land during the pendency of the proceedings up to the issuance of the final decree. (Vencilao v. Vano, 182 SCRA 491) After the registration of the land is decreed, the winning party has the right to a title and possession of the land which is an inherent element of ownership. A writ of possession may be issued not only against the person or persons defeated but also against anyone unlawfully occupying the land during the registration proceedings and up to the issuance of the final decree. (Vencilao v. Vaño, GR No. L-25660, 1990) The fact that there is pending action attacking the validity of the decree is not a bar to the issuance of the writ of possession in favor of the registered owners. (Id., citing Sorongon v. Makalintal, GR No. L1692, Feb. 24, 1948) In the implementation of the writ, the sheriff cannot remove or demolish the improvements except upon special order of the court. (Tumibay v. Soro, GR 152016, April 12, 2010) The writ will not issue against persons taking possession after issuance of the final decree. The remedy is to file a separate action for forcible entry or detainer, or a reivindicatory action. (Bernas v. Nueva,127 SCA 399) ―A judgment for the delivery or restitution of property is essentially an order to place the prevailing party in possession of the property. If the defendant refuses to Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) surrender possession to the prevailing party, the sheriff should oust him. No express order to this effect needs to be stated in the decision; nor is a categorical statement needed in the decision that in such event the sheriff or other proper officer shall have the authority to remove the improvements on the property. The removal of the improvements is deemed read into the decision, subject only to the issuance of a special order by the court for the removal of the improvements.‖ (Tumibay v. Soro, GR 152016, April 12, 2010) ―There are ample justifications for the grant by the RTC of a writ that places the subject property in the possession of the spouses Valdez and spouses Malvar for the duration of the trial of Civil Case No. 00-6015. Sales Patent No. 38713, covering the subject property, had already been issued to Juan Valdez which makes him, at the very least, the equitable owner of the said property. There is already a request for the registration of Sales Patent No. 38713 pending before the Registry of Deeds of Marikina City.. The spouses Valdez acknowledge the transfer of the subject property to the spouses Malvar. The spouses Dela Rosa's title is based on TCT No. 451423-A in Cristeta dela Rosa's name, which is not registered with the Registry of Deeds of Marikina City or Antipolo City. TCT No. 451423-A is also traced back to Titulo de Propriedad No. 4136, which, in the Intestate Estate of the late Don Mariano San Pedro y Esteban v. Court of Appeals, GR No. 103727, Dec. 1, 1996, was already declared null and void, and from which no rights could be derived.‖ (De la Rosa v. Valdez, GR No. 159101, July 27, 2011) When separate action is necessary When parties against whom a writ of possession is sought entered into possession apparently after the issuance of the final decree, and none of them had been a party in the registration proceedings, the writ of possession will not issue. A person who took possession of the land after final judgment in registration proceedings cannot be summarily ousted through a writ of possession secured by a mere motion and that regardless of any title or lack of title of persons to hold possession of the land in question, they cannot be ousted without Page 22 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Professor – 2C (2017-2018) giving them their day in court in proper independent proceedings. (Bernas v. Nuevo, 127 SCRA 399) CERTIFICATE OF TITLE Failure to vacate; contempt Issuance of decree and certificate of title Under Section 3 (d), Rule 19, Rules of Court, the writ of execution must require the sheriff or other officer to whom it must be directed to deliver the possession of the property, describing it, to the party entitled thereto. The sheriff must dispossess or eject the losing party from the premises and deliver the possession thereof to the winning party. Within 15 days from entry of the judgment, the court shall direct the LRA Administrator to issue the decree of registration and prepare the original and duplicate certificate of title based thereon. The original certificate of title, signed by him, shall be a true copy of the decree, and shall be sent, together with the owner‘s duplicate, to the Register of Deeds of the city or province where the land lies. (Sec. 39, PD 1529) If subsequent to such dispossession or ejectment the losing party enters or attempts to enter into or upon the real property, for the purpose of exercising acts of ownership or possession, or in any manner disturbs the possession of the person adjudged to be entitled thereto, only then may the loser be charged with and punished for contempt . (Vencilao v. Vano, 182 SCRA 491). DECREE OF REGISTRATION A decree of registration is an order issued under the signature of the LRA Administrator stating that the land is registered in the name of the applicant (or oppositor or claimant, as the case may be). It shall bear the date, hour and minute of its entry. A certified copy of the decree is sent to the RD for transcription in the ―Registration Book.‖ The certificate of title shall take effect upon the date of the entry of the decree. (Manotok Realty, Inc. v. CLT Realty Development Corporation, GR No. 123346, Dec. 14, 2007) The decree of registration shall bind the land and quiet title thereto. It shall be conclusive against all persons, including the government and its branches. (Sec. 31, PD 1529) Land becomes registered land only upon the transcription of the decree in the book of the Register of Deeds, and not on the date of the issuance of the decree. (Manotok v. CLT Realty, supra) A court has no jurisdiction to decree again land already decreed in a prior case. (Laburada v. LRA, 287 SCRA 333), otherwise that constitutes a collateral attack on the existing title. (SM Prime Holdings v. Madayag, 578 SCRA 552) Land, Titles and Deeds Reviewer The certificate is an indefeasible evidence of ownership of the person whose name appears therein. (Panganiban v. Dayrit, 464 SCRA 370). Contents of a certificate of title Every certificate of title shall set forth the full names of the registered owners and their status. If the property belongs to the conjugal partnership, it shall be issued in the names of both spouses. All property of the marriage is presumed to belong to the conjugal partnership, unless it be proved that it pertains exclusively to the husband or to the wife. (Art. 160, CC) When the property is registered in the name of a spouse only and there is no showing as to when the property was acquired, this indicates that the property belongs exclusively to said spouse. The presumption in Art. 160 does not apply in that case especially where the rights of innocent third parties are involved. (PNB v, Vitug, 153 SCRA 435) Entry of original certificate of title Upon receipt by the RD of the original and duplicate copies of the title, the same shall be entered in the day book and shall be numbered, dated, signed and sealed. Said certificate of title shall take effect upon the entry thereof. The RD shall then send notice by mail to the registered owner that his owner‘s copy is ready for delivery to him upon payment of legal fees. The original certificate of title shall be a true copy of the decree of registration. It shall state the names of the registered owners and their status. If the property Page 23 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law is conjugal the title shall be issued in the names of both spouses. (Sec. 40, PD 1529) A certificate of title may be an original certificate of title, which constitutes a true copy of the decree of registration, or a transfer certificate of title, issued subsequent to original registration. The title serves as evidence of an indefeasible and incontrovertible title one year after the issuance of the decree of registration by the LRA. (Del Prado v. Caballero, GR No. 148225, March 3, 2010) A person dealing with registered land need not go beyond, but only has to rely on, the title of his predecessor. (Guaranteed Homes v. Valdez, 577 SCRA 441) A certificate of title issued pursuant to administrative proceedings is as indefeasible as any title issued through judicial proceedings provided the land is a disposable public land, and becomes incontrovertible one year after the issuance of the patent. (Republic v. Carle, 105 Phil. 1227) A certificate of title based on an emancipation patent under PD No. 27 also enjoys the same protection as a certificate issued judicially or administratively. (Lonoy v. Sec. of Agrarian Reform, R No. 175049, Nov. 27, 2008) Title earlier in date prevails On the assumption that there was regularity in the registration leading to the eventual issuance of subject transfer certificates of title, the better approach is to trace the original certificates from which the certificates of title in dispute were derived. Should there be only one common original certificate of title, . . ., the transfer certificate issued on an earlier date along the line must prevail, absent any anomaly or irregularity tainting the process of registration. (Top Management Programs Corp. v. Fajardo, GR No.150462, June 15, 2011) STATUTORY LIENS AFFECTING REGISTERED LAND Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) Every registered owner holds title free from encumbrances except: (a) Liens or rights not required by law to be registered (b) Unpaid real estate taxes (c) Public highway (d) Limitation on the use of property under agrarian reform and public land laws (e) Liability to attachment or levy on execution (f) Taking under eminent domain proceedings. (Sec. 44, PD No. 1529) Purpose: to give the registered owner an absolutely clean title, not subject to hidden defects or inchoate claims, as well as restrictions except those appearing in the certificate or imposed by the law. The decree does not relieve the land or the registered owner from any rights incident to: 1. The relation of husband and wife, landlord and tenant; 2. From liability to attachment or levy on execution; 3. From liability to any lien of any description established by law on the land and buildings thereon; or 4. Change the laws of descent, rights of partition, or right to take the same by eminent domain; or 5. Relieve such land from liability to any assignee in insolvency or bankruptcy; or 6. Change or affect other rights or liabilities created by law (Sec. 46, PD 1529) VOLUNTARY DEALINGS WITH REGISTERED LAND Any registered owner may convey, mortgage, lease or otherwise deal with the land. (Sec. 51. PD No. 1529). Every conveyance or disposition of registered land, if registered, is constructive notice to all persons from the time of registration. (Sec. 52, PD 1529; Guaranteed Homes v. Valdez, 577 SCA 441) But knowledge of an unregistered sale is equivalent to registration. (Fernandez v. CA, 189 SCRA 780) Contracts are obligatory in whatever form provided the essential requisites of consent, object and cause of the obligation is established. Page 24 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Donation of real property must be in a public instrument to be valid. For a mortgage to be validly constituted, the document must be recorded. Agreements mentioned in the Statute of Frauds, to be enforceable, must be in writing and subscribed by the party charged. Sale of real estate is valid regardless of form but is effective against third persons only from date of registration. Between two transactions concerning the same land, the registered transaction prevails over the earlier unregistered right. Thus, where a purchaser files an adverse claim to registered land only after the same was already mortgaged to the bank, upon the claim that he bought the land ―long before‖ the mortgage, the right of the bank to the property is superior to that of the purchaser. (Unchuan v. CA, 161 SCA 710) If two certificates of title purport to include the same land, the better approach is to trace the original certificates from which the certificates of titles were derived. (Bangis v. Adolfo, GR No. 190875, June 13, 2012) Rule in case of sale of conjugal property Under Article 124 of the Family Code, the sale of conjugal property requires the consent of both husband and wife. The absence of consent of one renders the sale null and void, including the portion pertaining to the spouse who contracted the sale. (Guiang v. Court of Appeals, 353 Phil. 578) Under Article 173 of the Civil Code, the disposition of conjugal property without the wife‘s consent is not void but merely voidable, and the wife may within 10 years ask the court for the annulment of the contract. Art. 161 of the Civil Code provides that the conjugal partnership shall be liable for debts and obligations contracted by the wife for the benefit of the conjugal partnership. (Alfredo v. Borras, 404 SCRA 145) In a contract of sale, title to the property passes to the vendee upon delivery of the Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) thing sold; in a contract to sell, ownership is, by agreement, reserved in the vendor and is not to pass to the vendee until full payment of the purchase price. Sale of real property in a public instrument is equivalent to the delivery thereof if the contrary does not appear. Dacion en pago is the delivery and transmission of ownership of a thing by the debtor to the creditor as an accepted equivalent of the performance of the obligation. Registration in the public registry is notice to the whole world. Knowledge of an unregistered sale is equivalent to registration. (Fernandez v. CA, 189 SCRA 780) Between two transactions concerning the same land, the registered transaction prevails over the earlier unregistered right. (Fudot v. Cattleya, 533 SCRA 350) VOLUNTARY REGISTRATION AND INVOLUNTARY Voluntary registration –the purchaser becomes the registered owner upon the filing and entry of the deed sale in the day book, and the surrender of the owner‘s duplicate certificate of title to the RD. Involuntary registration –registration is complete upon filing and entry of the order (e.g., of attachment, levy upon execution, notice or lis pendens, etc.)in the day book of the RD, without need of presenting the owner‘s duplicate. In voluntary registration, such as a sale, mortgage, lease and the like, if the owner's duplicate certificate be not surrendered and presented, or if no payment of registration fees be made within fifteen (15) days, entry in the day book of the deed of sale does not operate to convey and affect the land sold. In involuntary registration, such as an attachment, levy upon execution, lis pendens and the like, entry thereof in the day book is a sufficient notice to all persons of such adverse claim. (Bulaong v. Gonzales, GR No. 156318, Sept. 5, 2011) Page 25 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law REMEDIES REVIEW OF DECREE In Eland Philippines v. Garcia, GR No. 173289, Feb. 17, 2010, the Court, citing Agcaoili, ―Property Registration Decree and Related Laws‖, held: Courts may reopen the proceedings where a petition for review is filed within one year from the issuance of the decree of registration, based on actual or extrinsic fraud, and the property has not yet passed to an innocent purchaser for value. Requisites: (a) Petitioner must have an interest in land; (b) Petition is based on actual or extrinsic fraud; (c) Petition is filed within one year from the issuance of the decree of registration; and (d) Property has not yet passed to innocent purchaser for value. (Walstrom v. Mapa, 314 Phil. 527) Sec. 32, PD No. 1529: Review of Decree ―The decree of registration shall not be reopened or revised by reason of absence, minority, or other disability of any person adversely affected thereby, nor by any proceeding in any court for reversing judgments, subject, however, to the right of zany person, including the government and the branches thereof, deprived of land or of any estate or interest therein by such adjudication of confirmation of title obtained by actual fraud, to file in the proper Regional Trial Court a petition for reopening and review of the decree of registration not later than one year from and after the date of the entry of such decree of registration, but in no case shall such petition be entertained by the court where an innocent purchaser for value has acquired the land or an interest therein, whose rights may be prejudiced. Whenever the phrase ‗innocent purchaser for value‘ or an equivalent phrase occurs in this Decree, it shall be deemed to include an innocent lessee, mortgagee, or other encumbrancer for value. Upon the expiration of said period of one year, the decree of registration and the certificate of title shall become incontrovertible. Any person aggrieved by such decree of registration in any case may pursue his remedy by action for damages against the applicant or any other persons responsible for the fraud.‖ Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) Extrinsic fraud is the fraudulent act of the successful party committed outsidethe trial of a case against the defeated party which prevented the latter from fairly presenting his case. Intrinsic fraud refers to acts of a party in a litigation during the trial, such as the use of forged instruments or perjured testimony, which did not affect the presentation of the case, but did prevent a fair and just determination of the case. (Palanca v. American Food Manufacturing, 24 SCRA 819) Examples of extrinsic fraud Deliberate misrepresentation that the lot is not contested when in fact it is; Applying for land which the applicant knows had not been allotted to him in the partition; Willfully misrepresenting that there are no other claims to the land; Inducing a claimant not to oppose the application. The overriding consideration is that the fraudulent scheme prevented a party from having his day in court. The fraud is one that affects and goes into the jurisdiction of the court. ―Where the unsuccessful party had been prevented from exhibiting fully his case, by fraud or deception practiced on him by his opponent, as by keeping him away from court, a false promise of a compromise; or where the defendant never had knowledge of the suit, being kept in ignorance by the acts of the plaintiff; or where an attorney fraudulently or without authority assumes to represent a party and connives at his defeat; or where the attorney regularly employed corruptly sells out his client's interest to the other side -these, and similar cases, x x x are reasons for which a new suit may be sustained to set aside and annul the former judgment or decree, and open the case for a new and fair hearing.‖ . (Palanca v. American Food Manufacturing, 24 SCRA 819) ACTION FOR RECONVEYANCE An action for reconveyance is a legal and equitable remedy granted to the rightful landowner, whose land was wrongfully or erroneously registered in the name of another, to compel the registered owner to transfer or reconvey the land to him. Page 26 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law The action respects the decree of registration as incontrovertible but seeks the transfer of property, wrongfully or erroneously registered in another person‘s name, to its rightful owner or a person who has a better right. (Alde v. Bernal, GR No. 169336, March 18, 2010; Ybañez v. IAC, 194 SCRA 793; Gonzales v. IAC, 157SCRA 587) An action for reconveyance is an action in personam and is filed as an ordinary action in the ordinary courts of justice and not with the land registration court. A notice of lis pendens may be annotated on the certificate of title immediately upon the institution of the action in court. (Muñoz v. Yabut, GR No. 142676, June 6, 2011). Article 434 of the Civil Code provides that to successfully maintain an action to recover the ownership of a real property, the person who claims a better right to it must prove two (2) things: first, the identity of the land claimed; and second, his title thereto. Requisites: 1. The action is brought by the party in interest after one year from issuance of decree; 2. registration was procured through actual fraud; 3. the property has not yet passed to innocent purchaser for value. A party may file an action for reconveyance of the property of which he has been illegally deprived even before the issuance of the decree. (Mun. of Hagonoy v. Secretary, 73 SCRA 507) If property is acquired through mistake or fraud, the person obtaining it is, by force of law, considered a trustee of an implied trust for the benefit of the person from whom the property comes. Professor – 2C (2017-2018) An action for reconveyance under a constructive implied trust in accordance with Article 1456 does not prescribe unless and until the land is registered or the instrument affecting the same is inscribed in accordance with law, inasmuch as it is what binds the land and operates constructive notice to the world. Thus, where the land is unregistered, it is from the date of actual notice of the fraudulent sale that prescription began to toll. (Cabacungan v. Laigo, GR No. 175073, Aug. 15, 2011) Facts: When Pacete procured OCT No. V-16654 in 1961, the disputed lot was already in possession of Asotigue, whose predecessor-in-interest, Sumagad, had been occupying it since 1958. Is reconveyance proper? Held: Yes. The registration of Asotigue's lot in favor of Pacete, who neither possessed nor occupied the lot, is wrongful. Inasmuch as Pacete had not yet transferred the lot to an innocent purchaser for value, an action for reconveyance is proper. Reconveyance is available not only to the legal owner of a property but also to the person with a better right than the person under whose name said property was erroneously registered. (Pacete v. Asotigue, GR No. 188575, Dec. 10, 2012) In civil actions involving title to or interest in property, jurisdiction rests with the RTC where the assessed value of the property exceeds P20,000 (or, P50,000 in Metro Manila). An action for reconveyance is an ordinary action involving ―title‖ to land, and should be filed in the ordinary courts where the land or portion thereof is situated. (Sec. 1, Rule 4; Latorre v. Latorre, GR No. 183026, March 20, 2010; Republic v. Mangatora, GR No. 170375, July 7, 2010) An action for reconveyance based on implied trust prescribes in 10 years as it is an obligation created by law, to be counted from the date of issuance of the Torrens title over the property. The action is in personam and is binding only on persons impleaded. (Ching v. CA, 181 SCRA 9) This rule, however, applies only when the plaintiff or the person enforcing the trust is not in possession of the property. (PNB v. Jumanoy, GR No. 169901, Aug. 3, 2011) An action for reconveyance has sometimes been treated as an action to quiet title. Land, Titles and Deeds Reviewer Quieting of title Requisites: Page 27 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law 1. Plaintiff has a legal or equitable title or interest in the property 2. The deed, claim, encumbrance or proceeding claimed to be casting a cloud on his title must be shown to be invalid or inoperative despite its prima facie appearance of validity. (Philville Development and Housing Corporation v. Bonifacio, GR No. 167391, June 8, 2011) Illustration: Jose who is an agent, in representation of Pedro, sells the latter‘s house to Mario. The deed of sale is executed in a public instrument and there is no indication that the authority of the agent is not in writing. The deed of sale appears to be valid and effective on its face. As the authority of Jose to sell is not in writing, the sale is void (Art. 1874, CC). Pedro can file a suit against the buyer Mario to quiet his title. (Pineda, Property) Prescription of action for reconveyance 1. Action based on fraud –4 years 2. Action based on implied trust –10 years 3. Action based on void contract – imprescriptible 4. Action to quiet title where plaintiff is in possession –imprescriptible (See: Yared v. Tiongco, GR No. 161360, Oct. 19, 2011; Cabacungan v. Laigo, GR No. 175073, Aug. 15, 2011) But laches may bar recovery. (Fernando v. Acuna, GR No. 161030, Sept. 14, 2011; Lucas v. Gamponia, 100 Phil. 277) Elements of laches: 1. Conduct of defendant giving rise to a situation of which complaint is made and for which the complainant seeks a remedy; 2. Delay in asserting complainant‘s rights despite opportunity to do so; 3. Lack of knowledge or notice on the part of defendant that complainant would assert his right; and 4. Injury or prejudice to defendant if relief is accorded complainant, or the suit is not held to be barred. Petitioner‘s action to recover title and possession of the disputed lot was made only after 12 years from Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) the registration of the sale to defendant. (De la Calzada-Cierras v. CA, 212 SCRA 390) The claimed owner of a lot failed to appear during the cadastral proceedings, and brought action to question the judgment only 10 years later. (Gonzales v. Director of Lands, 52 Phil. 895) Plaintiff did not present his claim against the estate of the deceased wife but did so only four years later against the widower. (Yaptico v. Yulo, 57 Phil. 818) ACTION FOR DAMAGES After one year from the issuance of the decree, the sole remedy of the aggrieved party is not to set aside the decree but, respecting it as incontrovertible and no longer open to review, to bring an ordinary action in the ordinary court for reconveyance. But if the property has passed into the hands of an innocent purchaser for value, the remedy is an action for damages.(Gonzales v. IAC, 157 SCRA 587) Action for damages must be brought within ten (10 years) from issuance of the questioned certificate of title. (Art.1144, CC) ACTION FOR REVERSION Reversion is an action filed by the government, through the Office of the Solicitor General, to restore public land fraudulently awarded and disposed of to private individuals or corporations to the mass of the public domain. (Yujuico v. Republic, GR No. 168661, Oct. 26, 2007, citing Agcaoili, “Property Registration Decree”) Grounds: all cases where lands of the public domain are held in violation of the Constitution. The RTC may properly take cognizance of reversion suits which do not call for an annulment of judgment of the RTC acting as a land registration court. Actions for cancellation of title and reversion belong to the class of cases that "involve the title to, or possession of, real property, or any interest therein" and where the assessed value of the property exceeds P20,000.00 Batas Pambansa Blg. 129, Sec. 19 (2), fall under the jurisdiction of the RTC. (Republic Page 28 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law v. Roman Catholic Archbishop, GR No. 192975, Nov. 12, 2012; Santos v. CA, 214 SCRA 162) All actions for the reversion to the Government of lands of the public domain or improvements thereon shall be instituted by the Solicitor General or the officer acting in his stead, in the proper courts, in the name of the Republic of the Philippines. (Sec. 101, PLA) Unless and until the land is reverted to the State by virtue of a judgment of a court of law in a direct proceeding for reversion, the Torrens certificate of title thereto remains valid and binding against the whole world. (Tolentino v. Laurel, GR No. 181368, Feb.22, 2012) State not bound by prescription Under Sec. 91 of the Public Land Act (CA No. 141), the LMB Director has continuing authority to conduct investigation to determine whether or not public land has been fraudulently awarded or titled to the end that the corresponding certificate of title be cancelled and the land reverted to the mass public domain. (Piñero v. Director of Lands, 57 SCRA 386) The indefeasibility of a title is not a bar to an investigation by the State as to how such title has been acquired. (Cavile v. Litania-Hong, 581 SCRA 408) But where the title of an innocent purchaser for value was sought to be cancelled, it was held that ―it is only fair and reasonable to apply the equitable principle of estoppel by laches against the government,‖ and also the principle of res judicata.(Yujuico v. Republic, GR No. 168661, Oct. 26, 2007) Neither may the titleholder be made to bear the unfavorable effect of the mistake or negligence of the State‘s agents (in approving the subdivision plan) in the absence of proof of complicity in a fraud or of manifest damage to third persons. (Republic v. CA and Santos, 301 SCRA 366) ACTION FOR CANCELLATION OF TITLE It is an action initiated by a private party usually in a case where two titles are issued for the same lot. Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) Where two titles are issued for the same lot, the earlier in date prevails. (Pajomayo v. Manipon, 39 SCRA 676) Land does not revert to the State but is declared as lawfully belonging to the party whose title is superior over the other. But the State is vested with personality to file this action to protect public interest and safeguard the Assurance Fund If land covered by free patent was a private land, the Director of Lands has no jurisdiction over it. Such free patent and the certificate of title issued pursuant thereto are a nullity. The aggrieved party may initiate an action for cancellation of such title. The Director of Lands has no authority to grant free patent to lands that have ceased to be public in character and have passed to private ownership. Consequently, a certificate of title issued pursuant to a free or homestead patent partakes of the nature of a certificate issued in a judicial proceeding only if the land covered by it is really a part of the disposable land of the public domain. (Pabaus v. Yutiamco, GR No. 164356, July 27, 2011, citing De Guzman v. Agbagala, 546 SCRA 278) ANNULMENT OF JUDGMENT This is an extraordinary remedy filed with the Court of Appeals under Rule 47 of the Rules of Court, where the ordinary remedies of new trial, appeal, petition for relief or other appropriate remedies are no longer available through no fault of the petitioner. Judgments or orders of quasi-judicial bodies, e.g., NLRC or DARAB, are not covered by petitions for annulment. Reversion suits were originally filed with the RTC to annul titles or patents administratively issued by the LMB. But with the effectivity of BP Blg. 129 which gave the Intermediate Appellate Court (IAC) jurisdiction over actions for annulment judgments of RTCs, the Rules of Court promulgated on July 1, 1997 incorporated Rule 47 on annulment of judgments or final orders of the RTCs. (Yujuico v. Republic, 537 SCRA 513) Page 29 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Grounds for annulment: (a) Action is based on extrinsic fraud, filed within four (4) years from discovery; (b) Lack of jurisdiction over the person of the defendant/respondent or over the subject matter of the action. (Alcazarv. Arante, GR No. 177042, Dec. 10, 2012; Bulawanv. Aquende, GR No. 182819, June 22, 2011) If based on lack of jurisdiction, petitioner need not allege that the ordinary remedies of new trial or appeal are no longer available through no fault of his. If ground is lack of jurisdiction, another remedy is certiorari under Rule 65 where the CA and SC have concurrent jurisdiction. ―Since the petitioners never alleged that the National Airports Corporation acted with bad faith when it registered the lots in its name, the presumption of good faith prevails. Consequently, the National Airports Corporation, being a registrant in good faith, is recognized as the rightful owner of the lots in question, and the registration of the properties in its name cut off any and all prior liens, interests and encumbrances, including the alleged prior sale to Cobarde, that were not recorded on the titles.. .. In a case for annulment of title, the complaint must allege that the purchaser was aware of the defect in the title so that the cause of action against him will be sufficient. Failure to do so is fatal since the court cannot render a valid judgment against the purchaser who is presumed to be in good faith in acquiring the said property. Failure to prove, much less impute, bad faith on said purchaser who has acquired a title in his favor would make it impossible for the court to render a valid judgment thereon due to the indefeasibility and conclusiveness of his title.‖ (Cabigas v. Limbaco, GR No. 175291, July 27, 2011) Fraud and misrepresentation, as grounds for cancellation of patent and annulment of title, should never be presumed, but must be proved by clear and convincing evidence, mere preponderance of evidence not being adequate. Fraud is a question of fact which must be proved. In Sampaco v. Lantud, GR No. 163551, July 18, 2011, the signatory of the certification, Datu Samra Andam, A/Adm. Assistant II, Natural Resources Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) District No. XII-3, Marawi City, was not presented in court to testify on the due issuance of the certification, and to testify on the details of his certification, particularly the reason why the said office had no records of the data contained in OCT No. P-658 or to testify on the fact of fraud, if any. Allegations of actual fraud "the auction sale of the land is null and void for lack of actual and personal notice to herein petitioner"; ―the RTC did not comply with the procedure prescribed in Section 71, PD No. 1529 requiring notice by the Register of Deeds to the registered owner as to the issuance of a certificate of sale‖; ―Petitioner was not afforded due process when she was not notified of the proceedings instituted by respondent for the cancellation of her title.‖ (Castigador v. Nicolas, GR No. 184023, March 4, 2013) Fraud is extrinsic where it prevents a party from having a trial or from presenting his entire case to the court, or where it operates upon matters pertaining not to the judgment itself but to the manner in which it is procured. Lack of Jurisdiction – Illustrative Cases Camitan v. Fidelity Investment(551 SCRA 540) – where the owner‘s duplicate has not been lost but is in fact existing, the reconstituted title is null and void since the court never acquired jurisdiction over the petition for reconstitution. If the petition is based on extrinsic fraud, the remedy is subject to a condition precedent, i.e., that the ordinary remedies of new trial, appeal, petition fort relief are no longer available through no fault of petitioner. ―Grave abuse of discretion‖is not a proper ground for petition for annulment of judgment. (Antonino v. RD, GR No. 185663, June 20, 2012) The judgment of the CA shall set aside the questioned judgment, which is void for lack of jurisdiction, without prejudice to the original action being refiled in the proper court. Page 30 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Professor – 2C (2017-2018) However, where the judgment or final order is set aside on the ground of extrinsic fraud, the CA may, on motion, order the trial court to try the case as if a timely motion for new trial had been granted therein. (Sec. 7, Rule 47) RECOVERY OF DAMAGES ASSURANCE FUND FROM THE A person who sustains loss or damage, or is deprived of any land or interest therein by the operation of the Torrens system after original registration, without negligence on his part, is entitled to recover damages from the Assurance Fund. (Sec. 95, PD No. 1529) But the plaintiff who holds a certificate of title must be an innocent purchaser for value. The action must be brought within 6 years from the time right of action accrues Requisites for recovery as to any person who sustains loss or damage: 1. No negligence on his part, and 2. Loss or damage was through the omission or mistake of the court personnel, or the Register of Deeds or other employees of the Registry in the performance of their duties. Requisites for recovery as to any person deprived of any land or interest in the land: 1. No negligence on his part; 2. He was deprived of land or interest therein by the registration by any other person as owner of such land; or by mistake, omission or misdescription in any owner‘s duplicate certificate, or in any memorandum in the register, or by any cancellation; and 3. He is barred from bringing an action for the recovery of such land or interest therein. Defendants in an action against the AF The Register of Deeds and National Treasurer -when the action is for recovery for loss or damage of for deprivation of land or interest therein through fraud, negligence, omission, mistake or misfeasance of the court personnel, the RD or employees of the registry; The Register of Deeds, the National Treasurer and other persons –for loss or damage or deprivation of land or interest therein through fraud, negligence, Land, Titles and Deeds Reviewer mistake or misfeasance of persons other than court personnel, the RD or employees of the registry. The plaintiff must be the registered owner, or as to holders of transfer certificates of title, that they are innocent purchasers in good faith and for value. Action does not lie where the damage or deprivation of any right or interest in the land was caused by a breach of trust, express or implied. The person who claims damages should not have been negligent in acquiring the property or in obtaining registration thereof in his name (as where he is aware of a notice of lis pendens affecting the property) Illustrative cases: National Treasurer v. Perez (131 SCRA 264) –where respondent could not be awarded damages since the donation to him was not executed with the formalities of a will and therefore could not have transferred to him ownership of the property. Treasurer of the Philippines v. CA (153 SCRA 3590) – where respondents acquired no land or any interest in the land as a result of the invalid sale to them by the impostor Lawaan Lopez who had no title or interest to transfer. La Urbana v. Bernardo (62 Phil. 790) –where, having knowledge of the pending litigation and notice of lis pendens affecting the land, it nevertheless proceeded to take the risk of purchasing property in litigation. Fraginal v. Parañal (516 SCA 530) –where property sold to petitioner was a prime land which has been the subject of successive transfers with ―unusual haste‖ which should have triggered petitioner‘s curiosity. CRIMINAL PROSECUTION The State may criminally prosecute for perjury the party who obtains registration through fraud, such as by stating false assertions in the application for registration, sworn answer, or application for public land patent. Page 31 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Sec. 91 of the PLA provides that ―the statements made in the application shall be considered as essential conditions and parts of any concession, title, or permit issued on the basis of such application, and any false statement therein or omission of facts x x x shall ipso facto produce the cancellation of the concession, title, or permit granted.‖ INNOCENT PURCHASER FOR VALUE An innocent purchaser for value is one who buys the property of another without notice that some other person has a right to or interest in it, and who pays a full and fair price at the time of the purchase or before receiving any notice of another person‘s claim. (Yared v. Tiongco, GR No. 161360, Oct. 19, 2011; Rosales v. Burgos, 577 SCA 264) No petition for review shall be entertained by the court where an innocent purchaser for value has acquired the land or an interest therein. (Sec. 32, PD 1529) “Innocent purchaser for value” includes innocent mortgagee The phrase ―innocent purchaser for value‖ in Sec. 32 of the Property Registration Decree includes an innocent lessee, mortgagee, or other encumbrancer for value. (Unchuan v. Court of Appeals, GR No. 78775, May 31, 1988, 161 SCA 710) Good faith, or the lack of it, is a question of intention. In ascertaining intention, courts are necessarily controlled by the evidence as to the conduct and outward acts by which alone the inward motive may, with safety, be determined. (LBP v. Poblete, GR No. 196577, Feb. 25, 2013) Doctrine of “mortgagee in good faith” In LBP v. Poblete, GR No. 196577, Feb. 25, 2013, the Court explained the doctrine of ―mortgagee in good faith" as one based on the rule that buyers or mortgagees dealing with property covered by a Torrens certificate of title are not required to go beyond what appears on the face of the title. Thus, despite the fact that the mortgagor is not the owner of the mortgaged property, his title being fraudulent, the mortgage contract and any foreclosure Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) sale arising therefrom are given effect by reason of public policy. Doctrine of “morgagee in good faith” not applicable to banks It has been consistently held that the rule does not apply to banks, which are required to observe a higher standard of diligence. A bank whose business is impressed with public interest is expected to exercise more care and prudence in its dealings than a private individual, even in cases involving registered lands. A bank cannot assume that, simply because the title offered as security is on its face free of any encumbrances or lien, it is relieved of the responsibility of taking further steps to verify the title and inspect the properties to be mortgaged. (LBP v. Poblete, supra) In LBP v. Poblete, supra, the Court held that LBP is not a mortgagee in good faith because it processed Maniego‘s application upon presentation of OCT No. P-12026, which was still in the name of Poblete. It also ignored the fact that a certain Kapantay had previously used Poblete's title as collateral in its loan account with LBP. ―When the person applying for the loan is other than the registered owner of the real property being mortgaged, [such fact] should have already induced the Bank to make inquiries into and confirm [the] authority to mortgage . . . . A person who deliberately ignores a significant fact that could create suspicion in an otherwise reasonable person is not an innocent purchaser for value.‖(Citing Bank of Commerce v. San Pablo, GR No. 167848, 27 April 2007) Acts showing the bank’s lack of diligence Where the bank did not investigate the property to ascertain its actual occupants. (It is the standard practice of banks, before approving a loan, to send representatives to the premises of the land to investigate its real owners) Where the bank‘s representative concentrated only on the appraisal of the property and failed to inquire as to who were the then occupants of the property. Page 32 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Where the bank acted with haste in granting the mortgage loan and did not ascertain the ownership of the land being mortgaged, as well as the authority of the supposed agent executing the mortgage. (LBP v. Poblete, supra) Every person dealing with registered land has a right to rely on the correctness of the title and is not obliged to go beyond the certificate to determine the condition of the property. (Unchuan v. CA, 161 SCRA 710) But one who buys from one who is not the registered owner is expected to examine not only the certificate of title but all factual circumstances necessary to determine if there are any flaws in the title of the transferor. (Cabigas v. Limbaco, GR No. 175291, July 27, 2011) Justice Oswaldo Agcaoili Professor – 2C (2017-2018) One can sell only what one owns or is authorized to sell, and the buyer can acquire no more than what the seller can transfer legally. Prior est temporae, prior est in jura He who is first in right is preferred in right. Thus, when the thing sold is an immovable, the one who acquires it and first records it in the Registry of Property, both made in good faith, shall be deemed the owner. A certificate of title is not conclusive where it is the product of faulty or fraudulent registration. (Widows and Orphans Association, Inc. v. Court of Appeals, 201 SCRA 165) In a series of transfers, it is enough that the buyer examines the latest certificate of title and need not scrutinize each and every title that preceded it. (Tajonera v. CA, 103 SCRA 467) Where the inclusion of land in the certificate of prior date is a mistake, the mistake may be rectified by holding the latter of two certificates to be conclusive. (Legarda v. Saleeby, 31 Phil. 590) But under the rule of caveat emptor (buyer beware), one who buys without checking the vendor‘s title takes all the risks and losses consequent to such failure. (Dacasin v. CA, 80 SCRA 89) The rule that where two certificates purport to include the same land, the earlier in date prevails, is valid only absent any anomaly or irregularity tainting the process of registration. (Mathay v. Court of Appeals, 295 SCRA 556) A mortgage is invalid even in the hands of an innocent mortgagee where the title covers nonregistrable land. (LBP v. Republic, 543 SCRA 453) ―Under the Torrens system of land registration, the registered owner of realty cannot be deprived of her property through fraud, unless a transferee acquires the property as an innocent purchaser for value.. ..But a transferee who acquires the property covered by a reissued owner's copy of the certificate of title without taking the ordinary precautions of honest persons in doing business and examining the records of the proper Registry of Deeds, or who fails to pay the full market value of the property is not considered an innocent purchaser for value. (Cusi v. Domingo, GR No. 195825, Feb. 27, 2013) Nemo dat quod non habet No one can give what one does not have. Land, Titles and Deeds Reviewer Under Sec. 32, PD No. 1529, rule of good faith equally applies to mortgagees or other encumbrancers for value Thus, where the Torrens title was issued through regular registration proceedings, a subsequent order for the cancellation nullification of the title is not a ground for nullifying the mortgage rights of the bank. (St. Dominic v. IAC, 151 SCRA 577) The right or lien of an innocent mortgagee must be respected even if the mortgagor obtained his title through fraud. (Blanco v. Esquierdo, 110 Phil. 494) "The certificate of title was in the name of the mortgagor when the land was mortgaged to the PNB. Such being the case, petitioner PNB had the right to rely on what appeared on the certificate of title, and in the absence of anything to excite suspicion, it was under no obligation to look beyond the certificate and investigate the title of the mortgagor appearing on the face of the certificate." (Citing Gonzales vs. Page 33 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Intermediate Appellate Court, 157 SCRA 587; Phil. Coop. Bank vs. Carangdang, 139 SCRA 570; Penullar vs. PNB, 120 SCRA 171) "The right or lien of an innocent mortgagee for value upon the land mortgaged must be respected and protected, even if the mortgagor obtained his title through fraud.. ..The remedy of the persons prejudiced is to bring an action for damages against those who caused the fraud, and if the latter are insolvent, an action against the Treasurer of the Philippines may be filed for recovery of damages against the Assurance Fund.― (Citing Blanco v. Esquierdo, 110 Phil. 494) Banks required to exercise greater care But unlike private individuals, banks (and other persons engaged in lending money) are expected to exercise greater care and prudence in their dealings for their business is imbued with public interest. (PNB v. Jumanoy, GR No. 169901, Aug. 3, 2011; Metrobank v. SLGT Holdings, 533 SCRA 516; Cruz v. Bancom Finance, 379 SCRA 490; Philippine Trust Company v. Court of Appeals, GR No. 150318, Nov. 2010) This principle equally applies to realty corporations because of the nature of their business. (Sunshine Finance v. IAC, GR No. 74070, Oct. 28, 1991) Imbued with public interest, banks "are expected to be more cautious than ordinary individuals.‖ Thus, before approving a loan, the standard practice for banks and other financial institutions is to conduct an ocular inspection of the property offered to be mortgaged and verify the genuineness of the title to determine the real owner or owners thereof. Failure to do so makes them mortgagees in bad faith. (Alano v. Planter’s Development Bank, GR No. 171628, June 13, 2011) ―An impostor succeeded in tricking a court of law into granting his petition for the issuance of a duplicate owner's copy of the supposedly lost TCT. The impostor then had the TCT cancelled by presenting a purported deed of sale between him and the registered owners, both of whom had already been dead for some time, and another TCT was then Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) issued in the impostor's own name. This issuance in the impostor's own name was followed by the issuance of yet another TCT in favor of a third party, supposedly the buyer of the impostor. In turn, the impostor's transferee (already the registered owner in his own name) mortgaged the property to Spouses Miguel and Adela Lazaro, who then caused the annotation of the mortgage on the TCT. All the while, the original duplicate owner's copy of the TCT remained in the hands of an heir of the deceased registered owners with his co-heirs' knowledge and consent. . ..The Lazaros, as the mortgagees, claimed good faith, and urged the Court to find in their favor. But the Court held instead that since the title of the property mortgaged to the Lazaros was a second owner's duplicate TCT, which is, in effect a reconstituted title, and hence, this circumstance should have alerted them to make the necessary investigation, but they did not. ― (Cusi v. Domingo,GR No. 195825, Feb. 27, 2013) A deed of sale which was absolutely simulated is null and void and does not convey any right that could ripen into valid title; there being no valid mortgage, there could be no valid foreclosure, and the bank cannot be considered as a mortgagee in good faith. But where title was issued through regular proceedings and was given as security for a bank loan, the subsequent declaration of the title as null and void is not a ground for nullifying the mortgage rights of the bank. (St. Dominic Corp. V. IAC, 151 SCRA 577; Blanco v. Esquierdo, 110 Phil. 494) Forged deed is a nullity Generally, a forged deed is a nullity and conveys no title, even if accompanied by the owner‘s duplicate certificate of title. (Joaquin v. Madrid, 106 Phil. 1060) The registered owner does not lose his title, and neither does the assignee or mortgagee acquire any right to the property. (Bernales v. Sambaan, 610 SCRA 90) The innocent purchaser for value protected by law is one who purchases a titled land by a virtue of a deed executed by the registered owner himself, not by a forged deed. Page 34 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law ―A forged or fraudulent deed is a nullity and conveys no title. Where the deed of sale states that the purchase price has been paid but in fact has never been paid, the deed of sale is void ab initio for lack of consideration. Since the deed is void, the corresponding title issued to the vendee pursuant to the same deed is likewise void.. ..When the instrument presented for registration is forged, even if accompanied by the owner's duplicate certificate of title, the registered owner does not thereby lose his title, and neither does the mortgagee acquire any right or title to the property. It is essential that the mortgagor be the absolute owner of the property to be mortgaged; otherwise, the mortgage is void.‖ (LBP v. Poblete, GR No. 196577, Feb.25, 2013) Sec. 53 of PD No. 1529 provides that the subsequent registration of title procured by the presentation of a forged deed or other instrument is null and void. Thus, the subsequent issuance of TCT No. 195812 gave the petitioner no better right than the tainted registration which was the basis for the issuance of the same title. (Leoveras v. Valdez, GR No. 169985, June 15, 2011) But a forged deed may become the root of a valid title A forged deed may become the root of a valid title in a bona fide purchaser if the certificate has already been transferred from the name of the true owner to the name of the forger or the name indicated by the forger, and while it remained that way, the land was subsequently sold to an innocent purchaser for value. (Solivel v. Francisco, 170 SCRA 218) For then the vendee had the right to rely upon what appeared in the certificate. (Guaranteed Homes v. Valdez, 577 SCRA 441) ―A void title may become the root of a valid title if the derivative title was obtained in good faith and for value. Following the principle of indefeasibility of a Torrens title, every person dealing with registered lands may safely rely on the correctness of the certificate of title of the vendor/transferor, and he is not required to go beyond the certificate and inquire into the circumstances culminating in the vendor's acquisition of the property. The rights of innocent third persons who relied on the correctness of the Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) certificate of title and acquired rights over the property covered thereby cannot be disregarded and the courts cannot order the cancellation of such certificate for that would impair or erode public confidence in the Torrens system of land registration.‖(Muñoz v. Yabut, GR No. 142676, June 6, 2011) General Incidents of Registered Land ―Every registered owner receiving a certificate of title in pursuance of a decree of registration, and every subsequent purchaser of registered land taking a certificate of title for value and in good faith, shall hold the same free from all encumbrances except those noted in said certificate.‖(Sec. 44, PD 1529) The phrase ―innocent purchaser for value‖ includes an innocent lessee, mortgagee, or other encumbrancer for value. (Unchuan v. CA, 161 SCRA 710) Statutory liens Every registered owner and every subsequent purchaser for value and in good faith shall hold the same free from all encumbrances (Casimiro Development Corp. v. Mateo, GR No. 175485, July 27, 2011) except those noted in the certificate and any of the following: liens, claims or rights under the Constitution and laws; unpaid real estate taxes; any public highway or private way established by law; any disposition of the property or limitation on the use thereof by virtue of PD 27 or any law on agrarian reform. (Sec. 44, PD 1529) Lien Is a charge on property usually for the payment of some debt or obligation. It signifies a legal claim or charge on property, either real or personal, as a collateral or security for the payment of some debt or obligation. Encumbrance Is a burden upon land depreciative of its value, such as a lien, easement, or servitude, which, though adverse to the interest of the landowner, does not conflict with his conveyance of the land in fee, e.g., a mortgage, judgment lien, lease, security interest, easement or right of way, accrued and unpaid taxes. Page 35 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law Professor – 2C (2017-2018) Illustrative cases: REGISTERED LAND COLLATERAL ATTACK Alienable public lands donated, granted or held by a branch or subdivision of the government cannot be alienated unless authorized by Congress. (Chavez v. PEA, 384 SCRA 152) Section 44 which subjects the certificate of title to public servitudes which may be subsisting, does not apply, say, in the case of a road constructed subsequent to the acquisition of the land. (Dirgran v. Auditor General, 16 SCRA 762) Secs. 118 and 122 of the Public Land Act provide limitations on the right of the homestead or free patentee to alienate the land subject of the patent. REGISTERED LAND PRESCRIPTION NOT SUBJECT TO ―No title to registered land in derogation of the title of the registered owner shall be acquired by prescription or adverse possession.‖(Sec. 47, PD 1529) Title to land, once registered, is imprescriptible. It may not be lost by adverse, open and notorious possession. Prescription is unavailing not only against the registered owner but also against his hereditary successors. The right to recover possession of registered property is equally imprescriptible since possession is a mere consequence of ownership. (Repulic v. Mendoza, GR No. 185091, Aug. 8, 2010) A registered owner may be barred from recovering possession by virtue of laches In Panganiban v. Gamponia (100 Phil. 277), petitioners, for 45 years, did nothing to assert their right of ownership and were barred from recovering possession of the property. In Agne v. Director of Lands (181 SCRA 7090), the registered owner‘s right to recover possession was lost by inaction for almost 30 years. In Golloy v. CA (173 SCRA 26), while the lot was registered in the name of respondent, petitioners acquired title thereto by possession for 50 years. Land, Titles and Deeds Reviewer NOT SUBJECT TO A certificate of title cannot be altered, modified or cancelled except in a direct proceeding filed with the RTC (Sec. 48, PD 1529; Manotok v. Barque, 582 SCRA 583) Direct attack: when the object of the action is to annul or set aside the judgment, or enjoin its enforcement. Collateral attack: in an action to obtain a different relief, an attack on the judgment is nevertheless made as an incident thereto. A direct attack on title is proper in a counterclaim (Leyson v. Bontuyan, 452 SCRA 94). Illustrative cases: Director of Lands v. Gan Tan (89 Phil. 184) -where the decision of the lower court denying reconstitution because petitioner is allegedly an alien was reversed, the Supreme Court holding that the issue is a collateral attack on the title and should be raised only a direct action. Oño v. Lim (614 SCRA 514) – where it was held that there is no collateral attack when respondent asserted that the title in the name of petitioner‘s predecessor had become inoperative due to the prior conveyance of the land in favor of respondent‘s mother. Section 48 of Presidential Decree No. 1529, also known as the Property Registration Decree, provides that "[a] certificate of title shall not be subject to collateral attack [. . . and] cannot be altered, modified, or cancelled except in a direct proceeding in accordance with law". Clearly, the cancellation of the Manotok title cannot arise incidentally from the administrative proceeding for reconstitution of the Barque title even if the evidence from that proceeding revealed the Manotok title as fake. Nor could it have emerged incidentally in the appellate review of the LRA's administrative proceeding. (Manotok v. Barque, GR No. 162335, Dec.18, 2008) ADVERSE CLAIM Page 36 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Justice Oswaldo Agcaoili Professor – 2C (2017-2018) ―Whoever claims any part or interest in registered land adverse to the registered owner, arising subsequent to the original registration, may, if no other provision is made in this Decree for registering the same, make a statement in writing setting forth fully his alleged right or interest, and how or under whom acquired, a reference to the number of the certificate of title of the registered owner, the name of the registered owner, and a description of the land in which the right or interest is claimed.‖(Sec. 70, PD 1529) A notice of levy and subsequent sale of property cannot prevail over an existing adverse claim earlier inscribed on the certificate of title covering it. (Martinez v. Garcia, 611 SCRA 537) A person who claims an interest in registered land adverse to the registered owner may make a statement under oath setting forth his alleged right or interest and how acquired, the number of the certificate of title, name of the registered owner and a description of the land. That the foreclosure of mortgage was effected after the annotation of the adverse claim is of no moment since the foreclosure retroacts to the date of registration of the mortgage. (Limpin v. IAC, 166 SCRA 87) The statement shall be registered as an adverse claim and shall be effective for 30 days. The annotation may be cancelled upon the filing of a verified petition by the party in interest. (Sec. 70, PD 1529) An adverse claim is designed to protect the right or interest of a person over a piece of real property and serves as a notice to third persons that someone is claiming an interest in the land or a better right thereto than the registered owner. (Martinez v. Garcia, GR No. 166536, Feb. 4, 2010) An adverse claim based on prescription and adverse possession cannot be registered because, under Sec. 47, no title to registered land shall be acquired by prescription or adverse possession. (Estella v. Register of Deeds, 106 Phil. 911) The Register of Deeds cannot unilaterally cancel the adverse claim. There must be a hearing for the purpose. This is in line with the provision ―that after cancellation, no second adverse claim shall be registered by the same claimant. (Sanjonas v. CA, 258 SCRA 79) Adverse claim is proper where there is no other provision of law for the registration of claimant‘s alleged right or interest in the property. A notice of levy cannot prevail over an existing adverse claim inscribed in the certificate of title. A claim which arose priorto the date of the original registration cannot be entered as adverse claim. Where the claim is based on a perfected contract of sale by the owner of the land, the procedure is to register the contract so that a new transfer certificate of title is issued to the vendee-claimant. (Sec. 57, PD No. 1529) A mortgage is valid as between the parties even if unregistered, but registration of a mortgage is indispensable to bind third parties. A sale of land may not be annotated as an adverse claim because the law prescribes the remedy of registration of the sale and the issuance to the vendee of a transfer certificate of title. (RD v. Nicandro, 111 Phil. 989; Sec. 57, PD 1529) Prior registration of an adverse claim or notice of lis pendens creates a preference as against a mortgage registered later. The subsequent registration of a prior mortgage does not diminish this preference, which retroacts to the date of the notice of adverse claim or lis pendens. (Cruz v. Bancom Finance Corporation, GR No. 147788, March 19, 2002) The hereditary rights or a person registered fraudulently in her sister‘s name is registrable as an adverse claim. (Gabriel v. Register of Deeds, 9 SCRA 136) An adverse claim is effective for thirty days; but it is not ipso facto cancelled after said period -a separate petition is necessary. (Sajonas v. Court of Appeals, GR No. 102377, July 5, 1996) Land, Titles and Deeds Reviewer Page 37 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Justice Oswaldo Agcaoili Professor – 2C (2017-2018) The RD cannot unilaterally cancel the adverse claim. There must be a hearing for the purpose. (DiazDuarte v. Ong, 298 SCRA 388) thereof in the day book is a sufficient notice to all persons of such adverse claim. (Bulaong v. Gonzales, GR No. 156318, Sept. 5, 2011) The adverse claim may be cancelled if it is frivolous or vexatious, in which case damages may be adjudged against the adverse claimant. SURRENDER OF CERTIFICATE IN INVOLUNTARY DEALINGS Mortgage lien follows the property mortgaged Court may compel surrender of withheld certificate If an attachment or other lien in the nature of an involuntary dealing is registered and the duplicate certificate is not presented, the Register of Deeds shall, within 36 hours, request the registered owner to produce his duplicate certificate. If he refuses to comply within a reasonable time, the RD shall report the matter to the court which shall, after notice, issue an order for the owner to produce his certificate at the time and place stated and may enforce the order by suitable process. (Sec. 71, PD 1529) ―In an action for specific performance with damages based on a contract of sale, a motion may be filed by the purchaser for the issuance of an order to compel the holder of the duplicate certificate of title to surrender the same to the RD.. ..Even while Sec. 107 of PD 1529 speaks of a petition which can be filed by one who wants to compel another to surrender the certificates of title to the RD, this does not preclude a party to a pending case to include as incident therein the relief stated under Sec. 107, especially if the subject certificates of title to be surrendered are intimately connected with the subject matter of the principal action. This principle is based on expediency.‖ (Ligon v. CA, GR No. 107751, June 1, 1995) Voluntary and Involuntary Registration In voluntary registration, such as a sale, mortgage, lease and the like, if the owner's duplicate certificate be not surrendered and presented or if no payment of registration fees be made within fifteen (15) days, entry in the day book of the deed of sale does not operate to convey and affect the land sold. In involuntary registration, such as an attachment, levy upon execution, lis pendens and the like, entry Land, Titles and Deeds Reviewer Any lien annotated on the previous certificates of title which subsists should be incorporated in or carried over to the new transfer certificates of title. This is true even in the case of a real estate mortgage because pursuant to Art. 2126 of the Civil Code it directly and immediately subjects the property upon which it is imposed, whoever the possessor may be, to the fulfillment of the obligation for whose security it was constituted. It is inseparable from the property mortgaged as it is a right in rem—a lien on the property whoever its owner may be. Thus, all subsequent purchasers must respect the mortgage whether the transfer to them be with or without the consent of the mortgagee, for such mortgage until discharged follows the property. (Ligon v. CA, supra) SURRENDER OF WITHHELD CERTIFICATE ―Sec. 107. Surrender of withheld duplicate certificates. -Where it is necessary to issue a new certificate pursuant to any involuntary instrument which divests the title of the registered owner or where a voluntary instrument cannot be registered because of the refusal of the holder to surrender the owner‘s duplicate certificate, the party in interest may file a petition the court to compel surrender of the same to the Register of Deeds. The court, after hearing, may order the registered owner or any person withholding the duplicate certificate to surrender the same, and direct the entry of a new certificate or memorandum upon such surrender. If the person withholding the certificate is not amenable to the process of the court, or if for any reason the outstanding owner‘s duplicate certificate cannot be delivered, the court may order the annulment of the same as well the issuance of a new certificate of title in lieu thereof. Such new certificate and all duplicates thereof shall contain a memorandum of the annulment of the outstanding duplicate.‖ (Section 107, P.D. 1529) Q: In implementing the involuntary transfer of title of real property levied and sold on execution, is it enough for the executing party to file a motion Page 38 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law with the court which rendered judgment, or does he need to file a separate action with the Regional Trial Court? A: The proper course of action is to file a petition in court, rather than merely move, for the issuance of new titles. This is to afford due process to the registered landowner. (Reyes v. Tang Soat Ing, GR No. 185620, Dec. 14, 2011; Padilla v. Philippine Producers’ Cooperative Marketing Association, GR No. 141256, Sept. 18, 1995) NOTICE OF LIS PENDENS Lis pendens, which literally means pending suit, refers to the jurisdiction, power or control which a court acquires over property involved in a suit, pending the continuance of the action, and until final judgment. Lis pendens is intended: (1) to keep the properties in litigation within the power of the court until the litigation is terminated and to prevent the defeat of the judgment or decree by subsequent alienation; and (2) to announce to the whole world that a particular property is in litigation and serves as a warning that one who acquires an interest over said property does so at his own risk, or that he gambles on the result of the litigation over said property. (Mr Holdings, Ltd. v. Bajar, GR No. 153478, Oct. 10, 2012) A notice of lis pendens is governed by Sec. 14, Rule 13, 1997 Rules of Civil Procedure ―SEC. 14. Notice of lis pendens. —In an action affecting the title or the right of possession of real property, the plaintiff and the defendant, when affirmative relief is claimed in his answer, may record in the office of the registry of deeds of the province in which the property is situated a notice of the pendency of the action. Said notice shall contain the names of the parties and the object of the action or defense, and a description of the property in that province affected thereby. Only from the time of filing such notice for record shall a purchaser, or encumbrancer of the property affected thereby, be deemed to have constructive notice of the pendency of the action, and only of its pendency against the parties designated by their real names. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) The notice of lis pendens hereinabove mentioned may be cancelled only upon order of the court, after proper showing that the notice is for the purpose of molesting the adverse party, or that it is not necessary to protect the rights of the party who caused it to be recorded." A notice of lispendens is availed of mainly in real actions. These actions are: (a) An action to recover possession of real estate; (b) An action for partition; and (c) Any other court proceedings that directly affect the title to the land or the building thereon or the use or the occupation thereof. Additionally, the annotation of lispendens also applies to suits seeking to establish a right to, or an equitable estate or interest in, a specific real property, or to enforce a lien, a charge or an encumbrance against it. But it does not apply to actions involving title to or any right or interest in, personal property, such as the subject membership shares in a private non-stock corporation. (Mr Holdings v. Bajar, supra) Lis pendens is not proper in an action for sum of money ―A notice of lis pendens annotated on the cancelled TCT No. 170213 and carried over to Tan's TCT No. 10206 conferred upon RAM no rights over the subject property as well as petitioner, its successor-ininterest, since CC No. 67381, which RAM, predecessor-in-interest of petitioner, instituted against Zeñarosa was for collection of sum of money with damages —a purely personal action. Hence, the subsequent levy on execution on October 14, 2004 arising from the final money judgment in favor of petitioner cannot prevail over the earlier annotated attachment made by Lorenzo on September 30, 2002 and its subsequent notice of levy on execution and sale of the property to respondents on January 30, 2004, who then took possession. (Gagoomal v. Villacorta, GR No. Jan. 18, 2012) Purpose: to protect the rights of the party causing registration, and to advise third persons that they deal with the property subject to the result of the case Page 39 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law A notice of lis pendens neither affects the merits of the case nor creates a right or lien. Cancellation is proper when filed to molest adverse party or is not necessary to protect the rights of the person causing registration. Lis pendens is proper in the following cases: 1. Action to recover possession of property; 2. Action to quiet title thereto; 3. Action to remove clouds thereon; 4. Action for partition; and 5. Any other proceedings in court directly affecting the title to the land or the use or occupation thereof or the buildings thereon. The notice need not be annotated on the owner‘s duplicate certificate of title because the notice is an involuntary transaction. Entry in the day book is sufficient. (Yu v. CA, 251 SCRA 509) As a remedy, an action for reconveyance is filed as an ordinary action in the ordinary courts of justice and not with the land registration court. Reconveyance is always available as long as the property has not passed to an innocent third person for value. A notice of lis pendens may thus be annotated on the certificate of title immediately upon the institution of the action in court. The notice of lis pendens will avoid transfer to an innocent third person for value and preserve the claim of the real owner. (Pacete v. Asotigue, GR No. 188585, Dec. 10, 2012) In case of subsequent sales or transfers, the RD must carry over the notice of lis pendens on all titles to be issued. Transferees of title subject to lis pendens are bound by the judgment against their predecessors. (Selph v. Aguilar, 107 Phil. 443) Before final judgment, the notice may be cancelled upon order of the court if the notice is for the purpose of molesting the adverse party or if it is not necessary for the protection of the party who caused its registration; or by the RD upon verified petition of the party who caused the annotation thereof. (Sec. 77) Cancellation of lis pendens Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) The power to cancel a notice of lis pendens is exercised only under exceptional circumstances, such as: where such circumstances are imputable to the party who caused the annotation; where the litigation was unduly prolonged to the prejudice of the other party because of several continuances procured by petitioner; where the case which is the basis for the lis pendens notation was dismissed for non prosequituron the part of the plaintiff; or where judgment was rendered against the party who caused such a notation. (J. Casim Construction v. Registrar of Deeds, GR No. 168655, July 2, 2010) AMENDMENT CERTIFICATES AND ALTERATION OF No erasure, alteration, or amendment, shall be made upon the registration book after the entry of a certificate of title or of a memorandum thereon except by order of the proper Regional Trial Court. (Sec. 108, PD 1529) No amendment or alteration shall be made except upon order of the court. (Cuyugan v. Sy Quia, 24 Phil. A567) The petition shall be filed in the original case in which the decree was entered. (OCA v. Matas, 247 SCRA 9) In Paz v. Republic, GR No. 157367, Nov. 23, 2011, the Court held that the amendment and alteration of a certificate of title under Section 108 of P.D. No. 1529 is applicable in seven instances or situations, namely: (a) When registered interests of any description, whether vested, contingent, expectant, or inchoate, have terminated and ceased; (b) When new interests have arisen or been created which do not appear upon the certificate; (c) When any error, omission or mistake was made in entering a certificate or any memorandum thereon or on any duplicate certificate; (d) When the name of any person on the certificate has been changed; (e) When the registered owner has been married, or, registered as married, the marriage has been terminated and no right or interest of heirs or creditors will thereby be affected; Page 40 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (f) When a corporation, which owned registered land and has been dissolved, has not conveyed the same within three years after its dissolution; and (g) When there is reasonable ground for the amendment or alteration of title. Under Sec. 108, in relation to Sec. 2, PD No. 1529, the court may now hear both contentions and noncontentious cases. Section 108 provides that, after notice to all the interested parties, the court may (a) order the issuance of a new certificate, (b) order the entry or cancellation of a memorandum upon a certificate, or (c) grant any other relief upon such terms and conditions, requiring a bond if necessary, as it may deem proper. But the court, sitting as a land registration court, has no jurisdiction or authority to reopen the original decree of registration. The court cannot "impair the title or other interest of a purchaser holding a certificate for value and in good faith, or his heirs or assigns, without his or their written consent.―(Luzon Surety v. Mirasol, GR No. L-29313, Jan. 21, 1977) Thus, the court has jurisdiction over a petition for cancellation of encumbrances despite respondent‘s contention that the issue is controversial. (PNB v. International Corporate Bank, 199 SCRA 508). The court can compel petitioner to surrender his owner‘s duplicate certificate so that a new title may be issued to the INK despite his argument that the case involved the ―registrability ―of the document. (Ligon v. CA, 244 SCA 693) REPLACEMENT OF LOST OR DESTROYED CERTIFICATE OF TITLE Upon petition of the registered owner or person in interest, the court may, after notice and hearing, direct the issuance of a new duplicate certificate which shall in all respects be entitled to like faith and credit as the original duplicate. (Sec. 109, PD No. 1529) Where the owner‘s duplicate copy is not in fact lost or destroyed, a petition for the purpose is unwarranted as the court has no jurisdiction over the petition. Justice Oswaldo Agcaoili Professor – 2C (2017-2018) The registered owner or person in interest shall send notice, under oath, of the loss or destruction of the owner‘s duplicate certificate to the Register of Deeds; and The corresponding petition for the replacement of the lost or destroyed certificate shall then be filed in court and entitled in the original case in which the decree of registration was entered. Unlike in a petition for reconstitution, there is no requirement for the publication of the petition for replacement of a lost or destroyed certificate. RECONSTITUTION OF LOST OR DESTROYED CERTIFICATE OF TITLE The reconstitution of a certificate of title denotes restoration in the original form and condition of a lost or destroyed instrument attesting the title of a person to a piece of land. The purpose of the reconstitution of title is to have, after observing the procedures prescribed by law, the title reproduced in exactly the same way it has been when the loss or destruction occurred. RA 26 presupposes that the property whose title is sought to be reconstituted has already been brought under the provisions of the Torrens System. (Republic v. Tuastumban, GR No. 173210, Apri 24, 2009) The lost or destroyed document referred to is the one that is in the custody of the Register of Deeds. When reconstitution is ordered, this document is replaced with a new one —the reconstituted title —that basically reproduces the original. After the reconstitution, the owner is issued a duplicate copy of the reconstituted title. (Sec. 1, RA No. 26; Republic v. Vergel de Dios, GR No. 170459, Feb. 9, 2011) Requisites: (a) That the certificate of title had been lost or destroyed; Procedure Land, Titles and Deeds Reviewer Page 41 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (b) That the documents presented by petitioner are sufficient and proper to warrant reconstitution of the lost or destroyed certificate of title; (c) That the petitioner is the registered owner of the property or had an interest therein; (d) That the certificate of title was in force at the time it was lost and destroyed; and (e) That the description, area and boundaries of the property are substantially the same as those contained in the lost or destroyed certificate of title. (Id.) Judicial reconstitution partakes of a land registration proceeding and is subject to the jurisdictional requirements of publication, mailing and posting. This is mandatory. (Sec. 13, RA No. 26; Pinote v. Dulay, GR No. 56694, July 2, 1990) The petition shall be filed with the regional trial court of the province or city where the land lies. Sec. 108 of PD 1529 provides that all petitions or motions after original registration shall be filed and entitled in the original case in which the decree of registration was entered.(See also Sec. 2, RA No. 26. Office of the Court Administrator v. Matas, A.M. No. RTJ-92-836. August 2, 1995). In Manotok v. Barque, (supra), the Court held that if it appears that the subject property is already covered by an existing Torrens title in the name of another person, the LRA should dismiss the petition. The dismissal is subject to judicial review, but the only inquiry in such appellate proceeding is on whether or not there is a previously existing title covering the land. Neither the LRA nor the CA at that point may inquire into the validity of the title or the competing claims over the property. The only remedy is an action before the RTC for the cancellation of the existing title, whether by the competing claimant or by the OSG on behalf of the Republic. The cancellation of the previous (Manotok) title cannot arise incidentally from the administrative proceeding for reconstitution of the Barque title even if the evidence from that proceeding revealed the Manotok title as fake. Nor could it have emerged incidentally in the appellate review of the LRA's administrative proceeding. Sec. 48 of PD 1529 provides that "[a] certificate of title shall not be subject Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) to collateral attack [. . . and] cannot be altered, modified, or cancelled except in a direct proceeding in accordance with law". Neither the CA nor the LRA has the power to cancel titles. (Manotok v. Barque, supra) But there is no collateral attack on the title (OCT No. 239) when the reconstution case (LRC Case No. B1784) was dismissed by court precisely because the invalidity of said certificate of title was already determined with finality by the Supreme Court. The decision of the Court declaring OCT No. 239 as fake, forged, and spurious already bars the reconstitution of said title under the doctrine of res judicata, in the concept of conclusiveness of judgment. (Layos v. Fil-Estate, GR No. 150470, Aug. 6, 2008) Sources of reconstitution 1. Sec. 2, RA No. 26 -for reconstitution of an original certificate of title 2. Sec. 3, RA No. 26 –for reconstitution of a transfer certificate of title. 3. ―Any other document‖as a source of reconstitution refers to documents similarto those previously enumerated in the law under the principle of ejusdem generis.(Republic v. IAC and Kiram, 157 SCRA 62) Meaning of “any other document” The term "any other document" in paragraph (f) refers to reliable documents of the kind described in the preceding enumerations and that the documents referred to in Section 2 (f) may be resorted to only in the absence of the preceding documents in the list. The party praying for the reconstitution of a title must show that he had, in fact, sought to secure such documents and failed to find them before presentation of "other documents" as evidence in substitution is allowed. (Republic v. Lorenzo, GR No. 172338, Dec. 10, 2012) The non-compliance with the requirements prescribed in Sections 12 (contents of petition) and 13 (requirements of notice and hearing) of R.A. No. 26 is fatal. Page 42 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law These requirements and procedure are mandatory. The petition for reconstitution must allege certain specific jurisdictional facts; the notice of hearing must be published in the Official Gazette and posted in particular places and the same sent or notified to specified persons. Sections 12 and 13 of the Act provide specifically the mandatory requirements and procedure to be followed. (Castillo v. Republic, GR No. 182980, Jun 22, 2011. See also: Republic v. Domingo, GR No. 197315, Oct. 10, 2012) Examples of incompetent proof: 1. A survey plan, technical description, certification issued by the LRA, lot data computation, and tax declarations (which are not similar to those mentioned in subparagraphs (a) to (e) of Sec. 2 of RA 26, as pertaining to documents issued or are on file with the Registry of Deeds). 2. A survey plan and technical description (where the petition is based on Sec. 2 (f) of RA 26) which are mere additional documentary requirements. 3. A certification that Decree No. 190622 was issued for Lot 54, without stating the number and date of the title, and to whom issued. 4. A tax declaration (which is not a reliable document). (Republic v. Ramos, GR No. 169481, Feb. 22, 2010) Liberal construction of the Rules of Court does not apply to land registration cases. Indeed, to further underscore the mandatory character of these jurisdictional requirements, the Rules of Court do not apply to land registration cases. (Sec.4, Rule 1 of the 1997 Rules of Civil Procedure) In all cases where the authority of the courts to proceed is conferred by a statute, and when the manner of obtaining jurisdiction is prescribed by a statute, the mode of proceeding is mandatory, and must be strictly complied with, or the proceeding will be utterly void. When the trial court lacks jurisdiction to take cognizance of a case, it lacks authority over the whole case and all its aspects. (Castillo v. Republic, GR No. 182980, June 22, 2011) ―This Court has reiterated time and again that the absence of opposition from government agencies is of no controlling significance because the State cannot Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) be estopped by the omission, mistake or error of its officials or agents. Neither is the Republic barred from assailing the decision granting the petition for reconstitution if, on the basis of the law and the evidence on record, such petition has no merit.‖ (Republic v. Lorenzo, GR No. 172338, Dec. 10, 2012) Administrative reconstitution of lost or destroyed certificates is governed by RA 6732. It is available in case of substantial loss or destruction of land titles due fire, flood or other force majeure. (Manotok v. Barque, GR No. 162335, Dec. 18,2008) Requirements: 1. Number of certificates lost or damaged is at least 10% of the total number in possession of the RD. 2. In no case shall be number of certificates be less than 500. The administrative reconstitution of Torrens titles is intended for non-controversial cases, or especially where the subject property is not covered by an existing title in favor of a person other than the applicant. Such an implication is consonant with the rule that the reconstitution proceedings are not the venue for confirmation or adjudication of title, but merely a means by which a previously adjudicated title whose original has been lost or destroyed may be reissued to its owner. The LRA has no jurisdiction over a petition for reconstitution, where the property is already covered by a Torrens title. (Manotok v. Barque, supra) CONSULTA When the Register of Deeds is in doubt as to what action should be taken on an instrument presented for registration, or where ay party does not agree with the action taken by the Register of Deeds, the question shall be elevated to the LRA Administrator via en consulta for determination. (Sec. 117, PD 1529) The consulta shall be cancelled (a) upon final resolution of the case by the LRA Administrator, or (b) if the consulta is withdrawn by the petitioner. The ruling of the LRA shall be conclusive and binding on all RDs, without prejudice to an appeal to the Court of Appeals. Page 43 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law A party who does not agree with the action taken by the LRA is to appeal to the CA, via Rule 43 -and not by certiorari or prohibition -within 15 days from notice of the decision or resolution. (Calalang v. RD of QC, 231 SCRA 88) The administrative remedy must be resorted to by petitioner before he can have recourse to the courts. (Almirol v. RD of QC, 22 SCRA 1152) MORTGAGES AND LEASES The mortgagor must be the owner of the property mortgaged. A mortgage lien is a right in rem which follows property. A notice of lis pendens cannot prejudice mortgage previously registered. A mortgage is invalid even in the hands of an innocent mortgagee where the title covers nonregistrable land. (LBP v. Republic, 543 SCRA 453) Where the certificate of title is in the name of the mortgagor when the land is mortgaged, the mortgagee has the right to rely on what appears on the certificate of title. (Gonzales v. IAC, GR No. 69622, Jan. 29, 1988) The right or lien of an innocent mortgagee for value upon the land mortgaged must be respected and protected, even if the mortgagor obtained his title thereto thru fraud. (Blanco v. Esquierdo, GR No. L15182,Dec. 29, 1960). The general rule that a mortgagee need not look beyond the title does not apply to banks and other financial institutions as greater care and due diligence is required of them. Imbued with public interest, they "are expected to be more cautious than ordinary individuals.―(Alano v. Planter’s Development Bank, GR No. 171628, June 13, 2011) The ascertainment of the status or condition of a property offered to it as security for a loan must be a standard and indispensable part of its operations. (Duque-Rosario v. Banco Filipino Savings and Mortgage Bank, GR No. 140528, Dec. 7, 2011) Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) Although Art. 2085, CC, requires that the mortgagor must be the owner of the mortgaged property, the subsequent declaration that the title is null and void is not a ground for nullifying the mortgage right of the mortgagee. (Rural Bank of Sariaya v. Yacon, 175 SCRA 62) The right or lien of an innocent mortgagee must be respected, even if the mortgagor obtained his title thereto through fraud. The remedy of the person prejudiced is against those who caused the fraud, or if insolvent, an action for recovery of damages against the AF. (Blanco v. Esquierdo, 110 Phil. 494) Effect of a forged deed of mortgage A forged power of attorney is without force and effect, and the mortgage constituted by virtue thereof is also null and void and could not prejudice the rights of the registered owner. (Veloso v. La Urbana, 58 Phil. 681) An absolutely simulated contract of sale is void and transfers no ownership right; hence, the purported buyer, not being the owner, cannot validly mortgage the property and neither does the buyer at foreclosure sale acquire any title thereto. (Cruz v. Bancom, 379 SCRA 490) In extrajudicial foreclosures, the purchaser becomes the absolute owner when no redemption is made. Thus, after consolidation of ownership and issuance of a new transfer certificate of title in the name of the purchaser, he is entitled to possession of the property as a matter of right under Section 7 (Act 3135), and its issuance by the RTC is a mere ministerial function. But pursuant to Sec. 33, Rule 39, Rules of Court, the possession of the extrajudicially foreclosed property shall be withheld from the purchaser if a third-party is actually holding the same adversely to the mortgagor/debtor. (Madriaga v. China Banking Corp., G No. 192377, July 2, 2012) In foreclosure sale, there is no actual transfer of the mortgaged real property until after the expiration of the one-year redemption period as provided in Act No. 3135 and title thereto is consolidated in the name Page 44 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law of the mortgagee in case of non-redemption. In the interim, the mortgagor is given the option whether or not to redeem the real property. The issuance of the Certificate of Sale does not by itself transfer ownership. (Supreme Transliner, Inc. v. BPI Family Savings Bank, Inc., GR No. 165617, Feb. 23, 2011) Redemption The mortgagor has one year within which to redeem the property from the registration of sale, otherwise the right of the purchaser to the possession of the foreclosed property becomes absolute. The writ of possession becomes a matter of right and its issuance to a purchaser in an extrajudicial foreclosure is merely a ministerial function. Redemption is an implied admission of the regularity of the sale and would estop the petitioner from later impugning its validity on that ground. (Bulaong v. Gonzales, GR No. 156318, Sept. 5, 2011) Writ of possession Under Sec. 7 of Act No. 3135, a writ of possession may be issued either (a) within the one-year period, upon the filing of a bond, or (b) after the lapse of the redemption period, without need of a bond. The proceeding for the issuance of the writ is ex parte and is ministerial duty of the court, unless a third party is actually holding the property adversely to the judgment debtor, or where the bid price is unjustifiably higher than the real amount of the obligation. Mandamus is proper remedy to compel the issuance of a writ of possession. (Edralin v. PVB, GR No. 168523, March 9, 2011) Orders for the issuance of a writ of possession are issued as a matter of course upon the filing of the proper motion and approval of the corresponding bond since no discretion is left to the court to deny it. Such issuance being ministerial, its execution by the sheriff is likewise ministerial. (China Banking Corporation v. Abel, GR No. 182457, Jan.10, 2011) Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) The issuance of the writ may not be stayed by a pending action for annulment of the mortgage or the foreclosure itself, without prejudice, of course, to the eventual outcome of the pending annulment case. (Bank of the Philippine Islands v. Tarampi, GR No. 174988, Dec. 10, 2008) Issuance of the writ is ex parte, summary and ministerial. The order of the RTC granting the petition for a writ of possession is final which can only be questioned on appeal. (San Fernando Rural Bank, Inc. v. Pampanga Omnibus Development Corporation, GR No. 168088, April 4, 2007) REGISTRATION VIA ISSUANCE OF PUBLIC LAND PATENTS Registration of Patents Public lands suitable for agriculture can be disposed of by (a) homestead, (b) sale, (c) lease, and (d) confirmation of imperfect or incomplete titles by (1) judicial legalization or (2) administrative legalization (free patent) Public land patents when duly registered are veritable Torrens titles, entitled to all the safeguards relative thereto Homestead patent Any citizen of the Philippines may apply for a homestead of not exceeding 12 hectares. The applicant must have cultivated and improved at least one-fifth of the land and resided in the municipality (or adjacent municipality) where the land is located for at least one year. Once the applicant has complied with all the conditions essential to a government grant, he acquires not only a right to a grant but a grant of the land from the government. Sales patent A Filipino citizen or lawful age or the head of a family may apply for the purchase of an agricultural public land not to exceed 12 hectares. Page 45 of 62 LAND, TITLES, AND DEEDS REVIEWER Justice Oswaldo Agcaoili University of Santo Tomas – Faculty of Civil Law The land shall be sold through public bidding, and the land awarded to the highest bidder. The purchase price may be paid in full or in 10 installments. The applicant must cultivate at least one-fifth of the land within 5 years from the date of award. Direct sale (RA No. 730) RA No. 730 permits the private sale of not more than 1,000 square meters for residential purposes. The applicant: 1. Is a Filipino citizen; 2. Is not the owner of a home lot in the city or municipality; 3. Has established in good faith his residence on land not needed for public service; 4. Has constructed his house and actually resided therein. Free patent Applicant is a natural-born citizen who is not the owner of not more than 12 hectares of agricultural public land. He has occupied and cultivated the land for at least 30 years, by himself of his predecessors-in-interest; He has paid the real estate taxes while the same has not been occupied by any other person. ISSUANCE OF FREE PATENT TO RESIDENTIAL LANDS (RA NO. 10023) Requirements for a residential free patent: 1. Applicant must be a Filipino citizen 2. In actual occupation, residence and continuous possession and occupation of a residential land 3. Identified and zoned through an ordinance and not needed for public use or public service 4. For at least 10 years prior to the filing of the application. Area limitation: Highly urbanized cities –200 sq. m. Land, Titles and Deeds Reviewer Professor – 2C (2017-2018) Other cities –500 sq. m. 1stand 2ndclass municipalities –750 sq. m. Other municipalities –1,000 sq. m. Requirements for application: 1. Approved plan and technical description 2. Affidavit of two (2) witnesses confirming possession of applicant for at least 10 years Special patents A special patent is issued upon the promulgation of a special law or act of Congress or by the DENR Secretary as authorized by an EO of the President. Example: Freedom Islands in the Manila Bay area to which TCTs were issued to PEA. However, the lands so titled shall not be disposed unless with the approval of Congress if owned by the national agency, or by the sanggunian concerned through an approved ordinance if owned by LGUS. Prohibited alienations Sec. 118 of CA 141 proscribes the alienation or encumbrance of land acquired under a free patent or homestead patent within 5 years from the grant of the patent. The policy is to give patentee a place where to live with his family After 5 years but before 25 years from the issuance of the patent, a homestead may be disposed of subject to the approval of the DENR Secretary; but land covered by a free patent may be disposed of after 5 years. SUBDIVISION AND CONDOMINIUM BUYER’S DECREE (PD 957) Policy: to afford inhabitants the requirements of decent human settlement with ample opportunities for improving their quality of life. Real estate and condominium businesses must be closely supervised and regulated, and penalties imposed on fraudulent practices and manipulations. PD No. 957 implements the state policy of providing decent human settlement to improve the quality of life. Page 46 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Housing and Land Use Regulatory Board (HLURB), formerly NHA and HSRC, has exclusive jurisdiction to regulate real estate and trade business. HLURB is a quasi-judicial body with original and exclusive authority to hear and decide cases of the following nature: Unsound real estate business practice Claims for refund and any other claims filed by subdivision lot or condominium unit buyer against the project owner, developer or dealer Cases involving specific performance of contractual and statutory obligations filed by buyers of subdivision lot or condominium unit. Subdivisions are mandated to maintain and provide adequate water facilities for their communities. Without a provision for an alternative water source, the subdivision developer's alleged sale of the lot where the community's sole water source was located constituted a violation of this obligation. Thus, this allegation makes out a case for an unsound real estate business practice of the subdivision owner and developer. Clearly, the case at bar falls within the exclusive jurisdiction of the HLURB. (Liwag v. Happy Glen Loop) Decision of HLURB appealable to the OP whose decision may be elevated to the CA via a petition for review. HLURB has jurisdiction over cases for collection of unpaid installments and damages It has no jurisdiction over issues involving ownership or possession of property License to sell, requirements Absence of license to sell does not render sale void But developer may be held civilly and criminally liable Determination of criminal liability lies with the courts A license to sell and performance bond is not required in the following transactions: 1. Sale of a subdivision lot resulting from the partition of the land among co-owners-heirs Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) 2. Sale of a subdivision lot by the original. purchaser and any subsequent sale of the same lot. 3. Sale of a subdivision lot or condominium unit by or for account of a mortgagee when necessary to liquidate a bona fide debt. Foreigners may purchase condominium units and shares in the condominium corporations up to not more than 40-% of the total and outstanding capital stock of a Filipino-owned or controlled corporation. The land is owned by the corporation and the unit owner is simply a member in the corporation. The ownership of the land is legally separated from the unit itself. Time of completion / Consequence of delay 1. Failure to develop a subdivision may justify non-payment of amortizations by lot buyer 2. Failure of seller to deliver condominium unit entitles buyer to cancel contract Issuance of title 1. Duty of owner to deliver title 2. Duty of owner to redeem outstanding mortgage 3. Certificate of title not subject to collateral attack 4. Right of way to public road 5. Roads, alleys, sidewalks and open spaces (non-alienable and non-buildable) 6. Donations of parks and playgrounds to the city or municipality mandatory; may in turn be donated to the homeowners association The Lalicons claim that the NHA unreasonably ignored their letters that asked for consent to the resale of the subject property. But the NHA had no obligation to grant the Lalicons' request for exemption from the five-year restriction as to warrant their proceeding with the sale when such consent was not immediately forthcoming. And the resale without the NHA's consent is a substantial breach. The essence of the government's socialized housing program is to preserve the beneficiary's ownerships for a reasonable length of time, here at least within five years from the time he acquired it free from any encumbrance. (Lalicon v. NHA, GR No. 185440, July 13, 2011) Page 47 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Foreigners are allowed to purchase condominium units Any mortgage of the unit or lot requires approval of HLURB, otherwise mortgage is void Failure to develop a subdivision may justify nonpayment of amortizations by lot buyer Buyer may not be ousted for non-payment due to failure of subdivision owner to put up required improvements Owner or developer shall: 1. Deliver title to buyer upon full payment of lot or unit 2. Redeem outstanding mortgage 3. Secure a right of way to a public road 4. Initiate the organization of a homeowners association among buyers and residents 5. Provide adequate roads, alleys and sidewalks 6. Donate roads and open spaces to city or municipality where project is located. MULTIPLE CHOICE QUESTIONS 1. The real purpose of the Torrens system of registration is (a) to quiet title to land. (b) to recognize a valid and subsisting interest in land. (c) to bar innocent third parties from claiming an interest in the land. (d) to furnish a shield for fraud. 2. The following are sample allegations of actual fraud which may be the basis of a petition for the review of a decree. Which is the most serious? (a) The Solicitor General has not been furnished with the requisite notices and copy of the decision granting registration of land within the forest zone. (b) The applicant failed to show possession and occupation of the land for the length of time required by law. (c) The registration court did not have jurisdiction over the res because it is non-registrable. (d) The prosecutor did not have the authority to withdraw the appeal of the government. 3. The Regalian doctrine embodies the concept that: Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (a) all alienable and disposable lands of the public domain belong to the State. (b) all lands not clearly within private ownership presumptively belong to the State. (c) all lands not covered by Spanish titles presumptively belong to the State. (d) the King is regarded as the true and only source of title. 4. In what instances may first level courts exercise jurisdiction to hear land registration cases? (a) Where the application is not the subject of any adverse claim. (b) Where the assessed value of the land does not exceed P500,000 as shown in the affidavit of the applicant or corresponding tax declaration. (c) Where the land is not contested, or even if contested, has an assessed value not exceeding P100,000. (d) Where its exercise is delegated by the Supreme Court. 5. The following may properly interpose an opposition to the application for registration: (a) a homesteader who has not yet been issued his title but has fulfilled all the conditions. required by law for the issuance of patent. (b) a foreshore lease applicant. (c) a sales applicant pending issuance of the order of award. (d) the holder of timber license agreement duly approved by the DENR. 6. Which of the following (sample) allegations in a defendant‘s answer to plaintiff‘s complaint for quieting of title does not constitute a collateral attack on plaintiff‘s title? (a) that plaintiff is the prior registered owner of the land. (b) that plaintiff is disqualified to acquire the land since he is not a Filipino citizen. (c) that plaintiff has no cause of action because the land had been previously sold by plaintiff to defendant. (d) that plaintiff‘s title was improperly issued for lack of possession of the disputed property. 7. Section 5 of PD No. 957 prohibits the sale of a subdivision lot without an HLURB license. (a) The subsequent issuance of the license erases the offense. Page 48 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (b) The invocation of good faith extinguishes criminal liability. (c) The crime is regarded asmalum prohibitum. (d) The determination of liability rests with the HLURB. 8. Can the plaintiff in an action for specific performance compel defendant, in the same action, to surrender the duplicate certificate of title to the Register of Deeds (RD) for the registration of the sale? (a) No. He must file a separate petition in court to compel surrender of the same to the RD. (b) Yes, this being a necessary incident in the main case. (c) No. The issue should be threshed out in an ordinary action. (d) Yes, to avoid multiplicity of suits. 10. What is the prescriptive period for an action for compensation against the Assurance Fund? (a) 4 years. (b) 6 years. (c) 10 years. (d) imprescriptible. 11. PD No. 892, dated February 16, 1976, has outlawed Spanish titles as evidence of ownership in registration cases. However, (a) such a title may still be presented in evidence if accompanied by a survey plan executed prior to February 16, 1976. (b) such a title may still be presented if it is in the nature of a possessory information title. (c) such a title is absolutely barred without if‘s or but‘s. (d) such a title may still be presented in evidence if accompanied by its English translation. 12. The basis of the rule that the land sought to be registered is already A and D ―at the time the application for registration is filed‖ is that: (a) it is only when the land is classified as A and D that the State is deemed to have abdicated its exclusive prerogative over the land. (b) it is hardly possible to look for witnesses who could testify as to the status and condition of the land on or before June 12, 1945. (c) prior to the classification of the land as A and D, the land still remains part of the forest zone, hence, inalienable. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (d) previous rulings of the Supreme Court requiring that the land be declared A and D as of June 12, 1945 are merely obiter dicta. 13. Which of the following is incorrect: A Presidential proclamation reserving land for a specific public purpose (a) is valid if already classified as A and D. (b) is a matter of judicial notice. (c) is an asseveration of Regalian right. (d) is issued in the exercise of the State‘s dominical authority. 14. The function of the Register of Deeds to register instruments affecting registered land is ministerial. Accordingly, (a) his duty is compellable by mandamus. (b) he has no discretion to determine the intrinsic validity of the instrument provided that it is in due form. (c) his duty is to register the instrument without prejudice to a determination of its validity before the proper forum afterwards. (d) his duty is to register the instrument unless enjoined by the LRA. 15. Registration is not a mode of acquiring ownership. It is simply a procedure (a) to ensure that third parties may not assert any claim or interest in the land thereafter. (b) to establish proof of one‘s claim of ownership in the land. (c) to remove all liens and encumbrances in the land. (d) to assure the claimant a better title than what he actually has. 16. Lot X is registered in the name of ―Pedro, married to Maria.‖ Pedro sells the land to Jose without the written consent of Maria. May the Register of Deeds refuse registration? (a) No because the land belongs solely to Pedro, the registered owner. (b) Yes because there is nothing in the deed of sale to show that Pedro alone acquired the land in his own right. (c) No because the lack of consent of Maria is fatal, there being no showing that she is incapacitated to give her consent to the sale. (d) Yes because the deed of sale does not bear the signature of Maria who is presumed co-owner of the land. Page 49 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law 17. Registration under the Torrens system is a proceeding in rem. This means that (a) all interested persons are notified of the proceedings and have a right to appear in opposition to the application for registration. (b) the proceeding is against all known occupants and adjoining owners of the land. (c) the proceeding aims generally to bar some individual claim or objection so that certain persons who claim an interest in the land are entitled to be heard. (d) the proceeding shall be based on the generally accepted principles underlying the Torrens system. 18. The registration of a broker engaged in selling subdivision lots may be revokedwhen (a) he has made a material false statement in his application for registration. (b) he has been guilty of a fraudulent act in the sale of a subdivision lot. (c) he has demonstrated his unworthiness as a broker. (d) all of the above. 19. The court, in an order dated June 13, 2009, set the initial hearing of the case on September 25, 2009. Judgment was for the applicant. OSG contends that the notice of initial hearing is defective and/or it did not vest the trial court with jurisdiction over the case. Is the OSG correct? (a) Yes for the initial hearing should have been set not later than September 11, 2009, or 90 days from June 13, 2009. (b) No since the issuance and publication of the notice of initial hearing involved a process in which the applicant has had no participation. (c) No since the publication of the notice is jurisdictional. (d) No since the notice, as published, already gave sufficient notice to all interested parties of the actual date of hearing. 20. What acts may be considered sufficient to show the prior classification of the land as A and D? (a) Cadastral survey of a municipality preparatory to the filing of the petition for cadastral proceedings. (b) Titling of properties around the land subject of registration. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (c) Report and recommendation of the District Forester for the release of the property from the unclassified region. (d) Executive proclamation withdrawing from a reservation a specific area and declaring the same open for entry, sale or other mode of disposition. 21. Submerged lands when already reclaimed from the sea (a) are deemed alienable and disposable lands. (b) become alienable and disposable lands upon a positive act of the government. (c) become alienable and disposable lands upon a declaration by the courts to that effect. (d) become alienable and disposable when no longer needed for the easement of floatage or coast guard service. 22. To show the identity of the land for purposes of registration, and in line with prevailing rule, (a) the submission of the tracing cloth plan is mandatory. (b) the survey plan and technical description must be approved by the LRA. (c) the submission of a certified copy of the blueprint or whiteprint plan as approved by the DENR Regional Executive Director will suffice. (d) the submission of a certified copy of the blueprint or whiteprint plan will suffice if the area does not exceed the Constitutional limit. 23. When is a right to property deemed vested? (a) When the right to its enjoyment, present or prospective, has become the property of a particular person. (b) When it is no longer subject to question in any proceeding. (c) When the property was already released from the forest zone at the start of possession in the concept of owner. (d) When it is fixed by a legislative enactment or municipal ordinance. 24. Publication of the notice of initial hearing in the OG ―shall be sufficient to confer jurisdiction upon the court.‖(Sec. 23, PD 1529) Is there still a need to publish the notice in a newspaper? (a) No more since the law expressly provides that publication in the OG is sufficient. (b) Yes because practically no one reads the OG anyway. Page 50 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (c) No more since it is not fair that the applicant should be unduly burdened by additional expenses for publication. (d) Yes because publication in the newspaper is part of procedural due process. 25. Amendments to the application for registration may be allowed. However, (a) it is not permissible to make amendments after the registration of the property has been decreed except upon order of the court. (b) the amendment is proper only when the inclusion of additional area is very negligible, or smaller than the original area. (c) the amendment must bear the conformity of the Solicitor General as counsel for the government in all land registration proceedings. (d) the amended survey plan must first be approved by the LRA. 26. In order that additional area may be included in the original area subject of registration, the applicant should: (a) withdraw his original application and file a new one to include the additional area. (b) file a separate application for the additional area. (c) amend his application to include the additional area subject to the requirements of publication. (d) file a separate application for the additional area and move for the consolidation of said application with the original application for registration. 27. Petitioner bought registered land on July 5, 2009. When he registered the sale on January 5, 2010, a writ of attachment was already inscribed on the vendor‘s title on August 5, 2009. Which of the following is false? (a) the levy on attachment lost its efficacy by the subsequent registration of the prior sale. (b) the levy subordinated the right of petitioner as purchaser. (c) the attachment remained valid until discharged. (d) the execution sale should be upheld because it retroacts to the date of levy. 28. Overt acts of possession may consist in introducing valuable improvements on the property like fruit-bearing trees. In Republicv. Court of Appeals and Chavez (GR No. L-62680, Nov. 9, 1988), the Court held that in a practical and scientific way of planting, Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (a) it takes only 5 years for coconut trees and 3 years for mango trees to begin bearing fruit. (b) it takes only 10 years for mango trees and 5 years for coconut trees to begin bearing fruit. (c) it takes only 3 years for coconut trees and 5 years for mango trees to begin bearing fruit. (d) it takes only 10 years for coconut trees and 5 years for mango trees to begin bearing fruit. 29. The capacity to acquire private land is determined by the capacity (a) to convert the land to its maximum productivity. (b) to acquire public land. (c) to proffer well-nigh incontrovertible proof of possession since June 12, 1945 or prior thereto. (d) to show full compliance with the residence and cultivation requirements by oral and documentary evidence. 30. In determining the sufficiency of the evidence in a registration case, the Supreme Court generally may not re-evaluate the findings of fact of the trial and appellate courts. The recognized exceptions are: (a) when the findings of fact are conclusions without citation of specific evidence on which they are based (b) when the appellate court, in making its findings, went beyond the issues in the case. (c) when the petitioner disputes the jurisdiction of the trial court. (d) ―a‖and ―b‖. 31. The Civil Code provides that accretion belongs to the owners of the land adjoining the banks of the river. It is however necessary that the accretion (a) must have taken place for such length of time as to ipso jure convert the same into private ownership. (b) is made through the effects of the current of the water. (c) is formed by the natural change in the course of the river. (d) must have been formed gradually and imperceptibly for a period of not less than 10 years. 32. The primary purpose of cadastral proceedings is (a) to determine conflicting claims of ownership in the area subject of cadastral survey. (b) to provide a remedy, without any expense, for the correction of errors in the technical description of lands already titled so as to conform to the cadastral survey. (c) to settle and adjudicate title to lands. Page 51 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (d) to determine the priority or relative weight of two or more certificates of title for the same land. 33. Land subject of registration may be ―dealt with‖ after the filing of the application and before the issuance of decree. In case of sale, for instance, it is required that (a) the buyer is made a party to the case. (b) the instrument evidencing the transaction is presented to the court for appropriate consideration. (c) the application for registration is amended by substituting the buyer for the applicant. (d) the buyer shows proof that he is qualified to register the land in his name. 34. The duty of the LRA Administrator to issue a decree of registration is ministerial, the reason being that (a) his refusal would subject him to contempt of court. (b) he is an officer, and acts upon order, of the court. (c) the winning party has an absolute right to the fruits of the verdict. (d) the issuance of the decree is an express component of his official functions. 35. Pedro applied for the registration of land. The government opposed. Judgment was rendered in favor of Pedro, which became final. Thereafter, Pedro sold the land to Jose. Can the government appeal the judgment? (a) No because a final judgment can no longer be the subject of appeal. (b) No because the government is already concluded by the judgment, having interposed its opposition to the application for registration. (c) Yes because the government is not bound by the mistakes or errors of its agents. (d) No because the land is now transferred to a third person. 36. To avail of a petition for review, (a) the petitioner must allege facts surrounding the trial which prevented a fair and just determination of the case. (b) the petition must be filed within 60 days from the finality of the decision of the court. (c) the petitioner must await the expiration of one year from the issuance of the decree of registration. (d) the property has not passed to an innocent purchaser for value. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) 37. An action for reversion filed by the Solicitor General is proper where defendant‘s title covers (a) land consisting of alluvial deposits caused by the action of the sea. (b) land which had been previously titled through cadastral proceedings. (c) land subject of irregular reconstitution proceedings. (d) land forming part of the friar lands estate. 38. Over what cases does HLURB have no jurisdiction? (a) Claims for refund by a subdivision buyer. (b) Determination of the criminal liability of a broker selling condominium units without a license. (c) unsound real estate practices. (d) cases involving specific performance of contractual obligations filed by subdivision buyers. 39. What is the concept of ownership of ancestral domains? (a) They are part of the lands of the public domain under the concept of jura regalia. (b) They are the private but community property of indigenous peoples. (c) They, and all natural resources therein, belong in private ownership to indigenous cultural communities based on native title. (d) They are owned by the State pursuant to Section 2, Article XII which states that all lands and all other natural resources are ―owned by the State.‖ 40. Recovery from the Assurance Fund is possible (a) when private defendant is insolvent. (b) when plaintiff failed in his action for reconveyance. (c) when plaintiff is deprived of any interest in land on account of bringing land under the Torrens system. (d) when the Register of Deeds failed to exercise due care to forestall fraudulent registration. 41. When a deed of sale presented for registration is forged, (a) the registered owner does not lose his title to the land. (b) the transferee can recover damages from the Assurance Fund. (c) the transferee can ask the true owner to execute a deed of sale in his favor. (d) the Register of Deeds should elevate the matter to the LRA via en consulta. Page 52 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law 42. The burden of proving the status of a purchaser in good faith is discharged (a) by one who asserts that status. (b) by invoking the legal presumption of good faith. (c) by proof that the vendor is the true owner of the property sold. (d) by proof that the property was unencumbered at the time of the sale. 43. Jose forged the signature of the registered owner, Pedro, in a deed of sale purportedly made by the latter in favor of Mario who paid the full purchase price thereof. Is Mario a buyer in good faith? (a) No because as a cautious person he should have first determined in the office of the Register of Deeds who the true owner of the property is. (b) No because the forged deed does not convey any valid title. (c) Yes because a buyer of registered land need not go beyond the four corners of the title to determine any flaw in the title or ownership of his vendor. (d) Yes because he has paid the full purchase price of the land. 44. Pedro sold registered land to an alien. The sale was not registered. Realizing that the sale is prohibited, Pedro seeks to recover the land from the alien vendee. Will the action prosper? (a) Yes because the sale is not yet registered. (b) No because both Pedro and the alien vendee are in pari delicto. (c) No because Pedro is estopped from impugning the sale. (d) Yes because the prohibition is designed for the protection of the Filipino vendor. 45. A homesteader cannot sell the homestead within 5 years from the issuance of the patent. Which of the following situations is not covered by the prohibition? (a) Sale made to the homesteader‘s own son or daughter. (b) Sale made within the prohibitory period but conditioned that the sale shall not take effect until after the expiration of said period. (c) Sale of a portion of the homestead with the homesteader keeping a reasonable area for himself and his family (d) None of the above. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) 46. Minerals are discovered underneath Pedro‘s titled property. Who has the right to exploit the minerals? (a) The government has the absolute right to exploit the minerals. (b) Pedro has the right to exploit the minerals because he is the absolute owner of the land. (c) Pedro does not have the right to exploit the minerals because he owns the surface area only. (d) The government has the right to exploit the minerals upon prior expropriation of the property. 47. The purpose of a notice of lis pendens is (a) to fortify the claim of ownership of the party causing the registration thereof. (b) to prevent the owner of the property from alienating it while the case is still pending trial. (c) to advise third persons who purchase the property that they do so at their peril. (d) to put the owner on notice that he holds the property in trust for the person causing the annotation of the lis pendens. 48. May an adverse claim of ownership, based on prescription and adverse possession, be registered over registered land? (a) Yes because adverse claim aims to protect the interest of the person claiming ownership of the land. (b) No because title to registered land is imprescriptible. (c) Yes because the adverse claim serves as a notice that the adverse claimant has a better right to the land than the registered owner thereof. (d) No because prescription for the acquisition of title is never presumed. 49. If a dealer sells a condominium unit without a license to sell, what is the consequence? (a) The sale is null and void. (b) It does not affect the validity of the contract if the owner or dealer should thereafter secure a license to validate the sale. (c) It subjects the condominium developer and its officers civilly and criminally liable for the violation. (d) It allows the vendee to rescind the contract with a right to damages. 50. Reconstitution denotes reconstruction of a lost or destroyed original certificate of title. The term ―any other document‖ as a source of reconstitution may include Page 53 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (a) an order of the court for the issuance of the decree. (b) an approved survey plan and technical description of the land. (c) a certification by the LRA that a decree of registration was in fact issued. (d) none of the above. 51. GanTan lost his title when his house was burned in 1995. He filed for reconstitution in 2004. The court denied the petition based on a BID certification submitted by the OSG that GanTan is an alien. In case of appeal, how should the case be resolved? (a) The appeal should be denied because GanTan being an alien is disqualified from owning land in the country. (b) Reconstitution should be ordered because a Torrens title, as a rule, is irrevocable and indefeasible. (c) The appeal should be dismissed since petitioner has lost his right to the land on the ground of laches. (d) Reconstitution should be ordered because a Torrens title cannot be collaterally attacked. 52. Under the Indigenous Peoples Rights Act (RA No. 8371), registration under the Torrens system of individually-owned ancestral land requires (a) possession for not less than 30 years immediately prior to the approval of the law on October 29, 1997. (b) possession since June 12, 1945 or earlier. (c) possession for not less than ten (10) years in good faith. (d) possession for not less than thirty (30) years. 53. OCT No. 38621 was decreed in the name of ―Pedro Valdez, married to Lita Marquez‖. Because of the loss of the original copy of the title, Pedro petitioned the court for reconstitution. During the pendency of the case, Lita died. Assuming that the petition is substantiated, the court should issue an order of reconstitution: (a) in the name of ―Pedro Valdez, widower‖. (b) in the name of ―Pedro Valdez, married to Lita Marquez, deceased‖. (c) in the name of ―Pedro Valdez, married to Lita Marquez‖. (d) in the name of ―Pedro Valdez‖. 54. If the Register of Deeds is unsure whether or not an instrument affecting registered land is registrable, he should Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (a) return the document to the registrant for the reformation of the instrument. (b) ask the registrant to elevate the matter to the LRA for the resolution of the issue via en consulta. (c) himself refer the matter to the LRA for the determination of the issue. (d) advise the registrant to file an adverse claim in the meantime pending further study and determination of the issue. 55. Every purchaser of registered land – (a) is charged with notice of all liens whether or not annotated on the title, (b) should first investigate to determine the condition of the property. (c) may safely rely on the validity of the title. (d) should cautiously look behind the certificate to determine the true owner. 56. May a Dutch national validly purchase a residential unit in a townhouse project constituted under the Condominium Act? (a) No because aliens, whether individuals or corporations, are disqualified from acquiring public lands, hence, they are also disqualified from acquiring private lands. (b) Yes because for as long as 60% of the members of the condominium corporation are Filipinos, the remaining members can be foreigners. (c) Yes because the unit owner is simply a member of the condominium corporation and the land remains owned by the condominium corporation. (d) (b) and (c). 57. If only a portion of the land covered by a certificate of title is sold by the owner, and the deed is presented for inscription, the Register of Deeds (a) shall annotate the deed by way of memorandum on the grantor‘s certificate of title, original and duplicate. (b) shall not enter any transfer certificate to the grantee until a plan of the land showing all the portions or lots into which it has been subdivided shall have been verified and approved. (c) shall issue a new certificate of title to the grantee for the portion conveyed and at the same cancel the grantor‘s certificate partially with respect only to the portion conveyed. (d) (a) and (b). Page 54 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law Justice Oswaldo Agcaoili Professor – 2C (2017-2018) 58. Pedro decides to sell his property to Jose only to discover the loss of his owner's duplicate certificate of title covering it. What initial recourse should Pedro take? (a) Report the fact of loss to the police and then file a petition for replacement of the lost title before the court. (b) Send a notice under oath to the Register of Deeds of the province or city where the land lies as soon as the loss is discovered. (c) Promptly file with the proper court a verified petition for replacement of the lost title. (d) Proceed with the documentation of the sale and then file a petition for replacement of the lost title. rendered judgment nullifying Pedro‘s title as well as the mortgage to the bank. The bank now claims that it is both a mortgagee and buyer in good faith. Is the bank correct? 59. In 1995, Pedro, a natural born Filipino, bought an agricultural land from Jose who has been in possession thereof as owner since 1942. Pedro migrated to Japan where he acquired Japanese citizenship. He came back to the Philippines in 2010 and applied for the registration of the land which is now industrial in character. The government opposed since Pedro is now an alien. Is the opposition valid? (a) Yes because aliens are disqualified from acquiring lands in the Philippines. (b) Yes because even privately owned unregistered lands are presumed to be public lands under the Regalian doctrine. (c) No because the land at the time of its acquisition by Pedro is deemed already a private land. (d) Yes because industrial lands may only be leased to aliens. 62. The registration of an instrument affecting registered land (a) operates as a notice to all persons at the time of registering. (b) gives effect to the instrument. (c) forecloses a judicial declaration of its invalidity. (d) records an existing title. 60. Who has jurisdiction over cases involving the cancellation of registered emancipation patents (EPs), certificates of land ownership award (CLOAs), and other titles issued under the agrarian reform program? (a) The Secretary of Agrarian Reform. (b) The Department of Agrarian Reform Adjudication Board (DARAB). (c) The ordinary courts of justice. (d) The RTC acting as a Special Agrarian Court (SAC). 64. Mineral resources are owned by (a) the State, subject to privates rights if any there be. (b) the owner of the property where they are found. (c) the State. (d) the indigenous peoples when they are found within ancestral domains. 61. To secure a loan, Pedro mortgaged his titled property to the bank. The mortgage was annotated on the title. Subsequently, Jose filed suit with the RTC to quiet title and to nullify Pedro‘s title. A notice of lis pendens was annotated on Pedro‘s title. For Pedro‘s failure to pay, the property was sold at auction with the bank as successful bidder. Meantime, the RTC Land, Titles and Deeds Reviewer (a) No because the bank is a transferee pendente lite, subject to the results of the pending litigation. (b) No because no valid lien can arise from a void title as Pedro‘s. (c) Yes because the notice of lis pendens cannot affect the mortgage previously registered. (d) No because Pedro‘s title was declared void, and the mortgage being but an accessory contract, is also void. 63. The cancellation of a notice of lis pendens (a) is contingent on the existence of a final judgment. (b) is proper where it appears that the case has been unnecessarily prolonged. (c) may only be made at the instance of the adverse party. (d) may be made motu proprio by the Register of Deeds if it appears that the notice was filed to molest the adverse party. 65. Which of the following statements is not correct: (a) Because the majority of land in the country are agricultural lands, courts have a right to presume that lands are agricultural unless shown otherwise. (b) By reason of the rapid growth of timber or minerals today, lands classified as agricultural today may be differently classified tomorrow. (c) In classifying lands, each case must be classified upon the proof in a particular case. Page 55 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (d) When a tract of land has trees upon it, it is sufficient to declare the legal classification of the land as forest land. 66. Private lands taken by the government for public use through expropriation are (a) private property. (b) public lands. (c) patrimonial property. (d) part of the public domain. 67. A cadastral proceeding is initiated by the government. Relevantly, (a) Lands subject of a cadastral survey are deemed registrablelands. (b) Lands cadastrallysurveyed, excluding forests, water bodies and other natural resources, are automatically considered A and D lands. (c) Lands inside a cadastre must be officially declared A and D to be registrable. (d) Lands titled through cadastral proceedings cannot be sold within 5 years from the issuance of the decree. 68. The date of the initial hearing of a registration case shall be not earlier than (a) 60 days from the date of the order. (b) 90 days from the date of the order. (c) 120 days from the date of the order. (d) 45 days from the date of the order. 69. The remedy available to the interested party for the Register of Deeds‘ denial of his request for the issuance of a certificate of title pursuant to a court judgment is: (a) To cite the RD in contempt. (b) To file a mandamus petition versus the RD. (c) To appeal the RD‘s denial to the LRA via consulta. (d) To file administrative charges against the RD with the LRA. 70. Can a deed of donation of a parcel of land by a Filipino citizen to a religious organization whose trustees are non-Filipinos, be admitted by the RD for registration? (a) Yes because to disqualify the corporation would be a violation of its religious freedom. (b) No because land tenure is not indispensable to the free exercise of religion. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (c) Yes because the acquisition of the land is strictly for religious purposes, i.e., upon which to build churches and charitable institutions. (d) Yes because the religious organization has no capital stock, and so the Constitutional inhibition does not apply. 71. Mangrove swamps are not registrable. They are under the jurisdiction of the (a) Bureau of Forest Development. (b) Bureau of Fisheries and Aquatic Resources. (c) Department of Environment and Natural Resources. (d) Lands Management Bureau. 72. The registration court (a) must personally hear the parties and receive their evidence. (b) may refer the case to the clerk of court for the reception of evidence. (c) may refer the case to a referee but the court may accept or reject his report. (d) may not refer the case to a referee for hearing because judicial power is vested in the court itself. 73. Which statement is correct? (a) Public land is not synonymous with public domain. (b) Public land includes all lands of government ownership. (c) Government land and public land are synonymous terms. (d) The government owns real estate which is part of the public lands and other real estate which is not a part thereof. 74. Non-publication of the notice of initial hearing in a newspaper of general circulation (a) affects the jurisdiction of the court. (b) does not affect the jurisdiction of the court. (c) is not consequential since jurisdiction is acquired by the publication of the notice in the Official Gazette. (d) does not affect the applicant‘s claim of ownership. 75. An order of general default (a) may be modified or amended only before the presentation of evidence by the applicant.(b) precludes the filing of a motion for reconsideration by the oppositor who is concluded by the default order. (c) may be revoked upon motion within 90 days from the date of the default order. Page 56 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (d) does not preclude the party in default from filing a motion to set aside the default order. 76. Under PD No. 1529, the registration court shall decide the case within how many days from the date the case is submitted for resolution? (a) 90 days. (b) 120 days. (c) 1 year. (d) 30 days. 77. The certification by the LRA that publication, mailing and posting of the notice of initial hearing have been complied with (a) is immaterial to the applicant‘s claim of ownership. (b) may be considered because of the presumptive regularity in the performance of official functions. (c) is subject to contrary proof. (d) is conclusive as to such fact. 78. Where a tenant farmer appears to have a claim adverse to the applicant, who among the following need not be served with the notice of initial hearing? (a) Director of Fisheries and Aquatic Resources. (b) Solicitor General. (c) Secretary of Agrarian Reform. (d) Mayor of the city or municipality where the land is situated. 79. An applicant for a homestead or any other mode of disposition under the Public Land Act (a) may validly oppose an application for registration because of his inchoate interest in the land. (b) has no legal right to oppose the application. (c) may join cause with the Solicitor General by filing his opposition himself . (d) has the right to oppose if he has improvements on the land. 80. Where public land is titled by final judgment, (a) the actual occupant is not barred from filing a petition for relief from judgment. (b) the Director of Lands may conduct an investigation to determine whether fraud attended the registration. (c) the government cannot entertain any administrative protests against the judgment. (d) the government may file a petition to reopen the proceedings for insufficient evidence to prove the private character of the land. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) 81. Where no person appears or answers within the time allowed, (a) the court shall enter an order of special default. (b) an order of default may likely result in a judgment favorableto the applicant. (c) the allegations in the application shall be held as confessed. (d) the court may now render judgment either granting or dismissing the application for registration. 82. Where there is no publication of the notice of initial hearing, (a) the proceeding is utterly void. (b) personal notice to known adjoining owners may be effected to rectify the omission. (c) lack of publication may be corrected by publication of the notice before judgment. (d) the proceeding is valid if not contested by the Solicitor General. 83. Which of the following is false? (a)a judicial foreclosure of mortgage is a quasi in rem proceeding (b) An action to recover a parcel of land is a real action and, hence, an action in rem. (c) Suits to quiet title are not technically suits in rembut are characterized as quasi in rem. (d) An action to recover a parcel of land is an action in personam. 84. Lands invaded by the sea (a) belong to the affected municipality as municipal waters. (b) belong the State as maritime waters. (c) belong to the State as part of the public domain. (d) may be reclaimed by the affected private property owner. 85. The Land Registration Authority (LRA), which is the central repository of records relative to registered lands, is under what office? (a) Department of Agrarian Reform. (b) Department of Justice. (c) Office of the President. (d) Department of Environment and Natural Resources. 86. To be valid and effective, a notice of lis pendens must be Page 57 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (a)filed simultaneously with the filing of the action subject of the notice (b)annotated on both the duplicate certificate of title on file with the Register of Deeds and in the possession of the registered owner. (c)approved by the court in the pending case. (d)annotated on the original duplicate certificate of title on file with the Register of Deeds. 87. To identify and segregate a portion of the public domain for the establishment of court houses in the country – (a) The Supreme Court must issue a Resolution en banc for the purpose. (b) The issuance by the DENR of an Administrative Order is sufficient. (c) The reservation must be established by a Presidential Proclamation. (d) There must be a resolution by joint houses of Congress. 88. Land reclaimed by the government may be sold by the government to private parties only (a) when it is not needed for public service. (b) pursuant to a legislative act. (c) pursuant to a Presidential proclamation. (d) when no longer needed for coast guard service. 89. The registration of an instrument affecting registered land (a) operates as a notice to all persons at the time of registering. (b) gives effect to the instrument. (c) forecloses any judicial declaration of its invalidity. (d) puts in issue an instrument previously registered. 90. Which of the following allegations cannot be a ground for the amendment or correction of a certificate of title? (a) that the registered owner has married. (b) that new interests not appearing on the certificate have arisen. (c) that the corporation which is the registered owner of the land has been dissolved. (d) that the area should be corrected to conform to the new survey tending to show that the evidence introduced at the former hearing was inaccurate. 91. A Torrens certificate of title (a) protects the true owner from the usurper. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (b) permits one to defeat the claim of another. (c) is an effective tool against the commission of fraud. (d) records an existing title. 92. An action for reconveyance (a) seeks to reopen the registration proceedings. (b) respects the decree as incontrovertible and no longer open to review. (c) seeks to nullify defendant‘s title to pave the issuance of a new title to the rightful owner. (d) confirms plaintiff‘s ownership over the property. 93. Under the Administrative Code, the Solicitor General shall ―represent the government in all land registration and related proceedings.‖ This means that: (a) the SG may deputize any government prosecutor to assist him in the case. (b) notice of court processes, orders and decisions received by the prosecutor is notice to the Solicitor General. (c) the prosecutor may himself withdraw the government‘s appeal if he finds the same to be without any factual or legal basis. (d) the prosecutor may enter into a stipulation of facts or compromise with the applicant. 94. The period of prescription in an action for reconveyance is counted from the (a) date of the issuance of the title. (b) date of the promulgation of the judgment. (c) discovery of the fraud. (d) date of issuance of the decree of registration. 95. An action for reversion by the State is proper when defendant‘s title covers (a) land consisting of alluvial deposits caused by the action of the sea. (b) land previously titled through cadastral proceedings. (c) land within a reservation for public use. (d) (a) and (c). 96. An adverse claim may be recorded in which of the following instances? (a) lease over land which could not be registered because the owner‘s duplicate title was not surrendered. Page 58 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (b) existing claims on the land prior to the issuance of the certificate of title. (c) hereditary rights of a person in the land registered in her sister‘s name. (d) (a) and (c). 97. Opposition to an application for registration must be based on real right or dominion to property. This means that – (a) the oppositor must be able to show title to the property. (b) the oppositor must have the legal character necessary to maintain a registration proceeding in his own name. (c) it is enough that the oppositor should appear to have an interest in the property. (d) all of the above. 98. Under the Water Code, waters found on private lands belong the State. Which of the following is excluded? (a) continuous or intermittent waters rising on such lands. (b) lakes and lagoon naturally occurring on such lands. (c) rain water falling on such lands. (d) none of the above. 99. Pedro files an application for registration. However, the land applied for had been previously registered in the name of Jose. What should Jose do? (a) Jose should file an opposition and present his title during the hearing. (b) Jose should file an opposition alleging that Pedro‘s application constitutes a collateral attack on his title. (c) Jose should file a motion to dismiss based on res judicata. (d) Jose should file a suit for damages against Pedro for fraudulently seeking to register land which, he should know, is already titled to another. Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (a) The issuance of a reconstituted title does not determine the issue of ownership. (b) The LRA can motu proprio revoke the reconstituted title if the lost or destroyed title is subsequently found. (c) The issuance by the LRA of a reconstituted title is an administrative function. (d) The doctrine of res judicata applies to judicial reconstitution. 102. Section 14(1) of PD No. 1529 requires possession and occupation of the land applied for since June 12, 1945. Which of the following propositions is false? (a) Occupation is broader than possession because it includes the latter. (b) Occupation delimits the effect of constructive possession. (c) Possession means acts of dominion which a party would naturally exercise over his own property. (d) Occupation serves to highlight that possession must not be a mere fiction. 103. An adverse claim is effective for 30 days. To render the adverse claim functus officio, (a) the interested party should formally request the Register of Deeds to cancel the same upon the expiration of the 30-day period. (b) no action is necessary since the adverse claim automatically lapses upon the expiration of the 30-day period. (c) the interested party should file a petition in court for the cancellation of the adverse claim. (d) it is necessary to await the final outcome of the case. 100. The presumption in Article 160 of the Civil Code that all property of the marriage belongs to the conjugal partnership applies when (a) the ―spouses‖ are legally married. (b) the title is in the name of both husband and wife. (c) the spouses are living together. (d) the property was acquired during the marriage. 104. Can an adverse claim of ownership over registered land, based on acquisitive prescription, be registered? (a) Yes because adverse claim aims to protect the interest of the person claiming ownership thereof. (b) No because title to registered land is imprescriptible. (c) Yes because adverse claim is a notice that the adverse claimant has a better right to the land than the registered owner thereof. (d) No because acquisitive prescription of title to land can never be presumed. 101. In reconstitution proceedings, which of the following propositions is wrong: 105. An action for reconveyance based on a void deed of sale for lack of consent Land, Titles and Deeds Reviewer Page 59 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (a) prescribes in 10 years. (b) prescribes in 4 years (c) is imprescriptible (d) prescribes in 6 years. 106. A corporation sole may purchase and hold real estate because (a) the properties acquired by the corporation pass upon the death of the administrator to his heirs who are Filipino citizens. (b) ownership of said properties fall upon the church or congregation and not upon the incumbent administrator. (c) the corporation exercises ownership independently of the nationality of its incumbent administrator. (d) (b) and (c). 107. What is the concept of ownership of ancestral domains? (a) Ancestral domains are part of the lands of the public domain under the concept of jura regalia. (b) Ancestral domains are the private but community property of indigenous peoples. (c) Ancestral domains and all natural resources therein belong to indigenous cultural communities based on native title. (d) (a) and (b). 108. Land already decreed in an ordinary registration case cannot again be the subject of a subsequent cadastral proceeding because (a) once land is judicially decreed, the judgment is res judicata. (b) the registration in the name of the first owner is constructive notice to the whole world. (c) to declare the later title valid as against the first would undermine the efficacy of Torrens system. (d) all of the above. 109. To avail of a petition for review, (a) the petitioner must allege facts surrounding the trial which prevented a fair determination of the case. (b) the petition must be filed within sixty (60) days from the finality of the decision of the registration court. (c) the petitioner must await the expiration of one year from the issuance of the decree of registration. (d) the property has not passed to an innocent purchaser for value. Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) 110. Pedro files a petition for administrative reconstitution of title, but it appears that the land is already titled in the name of Lim. Lim is a Chinese. What are the options open to the LRA? (a) The LRA should order outright the cancellation of Lim‘s title and proceed to act on Pedro‘s petition for reconstitution. (b) The LRA should dismiss Pedro‘s petition pending the filing by the OSG or the competing claimant of an action before the RTC for the cancellation of Lim‘s title. (c) The LRA should elevate the matter to the Secretary of Justice for advisory opinion. (d) The LRA should defer action on Pedro‘s petition pending the results of the action to determine the validity of Lim‘s title 111. Who is the proper party to file an action for annulment or amendment of the title where it appears that the Assurance Fund may be held liable for damages due to the unlawful or erroneous issuance thereof? (a) the Solicitor General (b) the LRA Administrator (c) the LMB Director (d) the Register of Deeds 112. The rule that a forged deed may become the root of a valid title (a) does not apply where the owner still holds a valid title over the land. (b) applies even where the owner no longer holds a valid title to the land. (c) applies where the forger obtains a title to the land and thereafter sells it to another. (d) (a) and (c). 113. The Assurance Fund is not liable for loss or damage caused by which of the following? (a) Breach of trust, express or implied. (b) Mistake in the resurvey of registered land causing expansion of the area. (c) Error in the subdivision of the land resulting in the increase in area. (d) all of the above. 114. No salesman shall engage is selling subdivision lots unless registered with HLURB. His registration shall cease when (a) he has made a false statement in his application for registration. Page 60 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law (b) he has demonstrated his unworthiness to transact business as such. (c) he has violated any provision in his certificate of registration. (d) his employment with a dealer or broker has terminated. 115. Pedro, a lot buyer, filed a complaint against Asia Development Corporation (ADC) for mortgaging subdivision lots (including his) without being first informed of such fact. Which of the following defenses of ADC is valid? (a) that the loan to ADC was granted when the mortgaged property was not yet subdivided. (b) that the mortgage was constituted prior to the actual sale of the lot to Pedro. (c) that the knowledge or consent of the lot buyer to the mortgage is not required. (d) none of the above. 116. A notice of lis pendens (a) binds a bona fide purchaser of the property in dispute. (c) creates a right or lien that previously did not exist. (c) binds a purchaser, whether bona fide or not, of the disputed property. (d) is part of the doctrine of notice. 117. An action for reconveyance of land valued at P15,000 should be filed with what court? (a) the second level court of the province where the land lies. (b) the second level court or first level court of the place where defendant resides. (c) the first level court of the municipality where the land lies. (d) the second level court of the place where plaintiff resides. 118. Where the object of the plaintiff is to recover possession of real property as owner, the proper action is: (a) forcible entry and detainer. (b) accion reivindicatoria. (c) accion publiciana. (d) declaratory relief. 119. An action to quiet title to property in the possession of the plaintiff is imprescriptible, the reason being that: Land, Titles and Deeds Reviewer Justice Oswaldo Agcaoili Professor – 2C (2017-2018) (a) he has a continuing right to the aid of a court of equity to remove a cloud on his title. (b) he may wait until his title is attacked before taking steps to vindicate his right. (c) possession is a continuing right as is the right to defend such possession. (d) all of the above. 120. A certificate of title based upon a public land patent becomes indefeasible within what period? (a) 5 years after the issuance of the patent. (b) 1 year from the issuance of the patent. (c) 1 year from the date of the order of award. (d) 5 years from the approval of the application. 121. What is the consequence of non-payment by the lot buyer of installments due for failure of the owner/developer to finish the project within the time agreed upon? (a) Installments paid shall be forfeited in favor of the owner/developer. (b) The buyer may ask for the reimbursement of all amounts paid, but without interest. (c) The owner/developer could rescind the contract. (d) The buyer may suspend further payments until the owner/development had fulfilled its obligations. 122. A proceeding for the issuance of a writ of possession is a mere incident in the transfer of title, hence, it is impractical to award possession to a purchaser of property with knowledge of the existence of a third-party claim before said claim has been decided. Which of the following does not accord with this principle? (a) The court may not grant the writ where title is in doubt. (b) The prudent course of action is to hold in abeyance proceedings for the issuance of the writ. (c) The true owner must resort to judicial process for the recovery of the property. (d) The interested party should resort to mandamus since issuance of the writ is ministerial. 123. An action for reconveyance based on an implied or constructive trust prescribes in how many years from the issuance of the title over the property? (a) 4 years. (b) imprescriptible. (c) 10 years. (d) 6 years. Page 61 of 62 LAND, TITLES, AND DEEDS REVIEWER University of Santo Tomas – Faculty of Civil Law 124. The State may prosecute for perjury the party who obtains registration through fraud, such as by stating false assertions in the sworn application of applicants? Thus premised, which of the following is false? (a) A judgment on the guilt of the accused would not undermine the indefeasibility of Torrens titles. (b)To give immunity from prosecution to those successful in deceiving the registration court would be putting a premium on perjury. (c) The prosecution for perjury would amount to an attack on the validity of the titles which are presumed valid. (d) Any judgment rendered in the criminal case would leave the titles undisturbed. Justice Oswaldo Agcaoili Professor – 2C (2017-2018) 129. The original certificate of title is issued on the date (a) the decree of registration is issued by the LRA. (b) the title is given the corresponding number by the Register of Deeds. (c) the original and duplicate copies are received by the Register of Deeds from the LRA. (d) the decree of registration is transcribed. -----FIN------ 125. Laches is the failure or neglect to assert a right within reasonable time. Which is not correct in the following statements? (a) Laches is concerned with the fact of delay. (b) Laches applies in equity. (c) Laches is concerned with the effect of delay. (d) Laches is not based on a fixed time. 126. The writ of possession may not be issued in which of the following? (a)in a land registration proceeding. (b)in a petition for reconstitution. (b) in an extrajudicial foreclosure of a realty mortgage. (c)in a judicial foreclosure of mortgage. 127. What options are open to the mortgagee in case the mortgagor dies? (a) waive the mortgage and claim the entire debt from the estate of the mortgagor as an ordinary claim. (b) foreclose the mortgage judicially and prove any deficiency as an ordinary claim. (c)Rely on the mortgage exclusively, foreclosing the same at any time before it is barred by prescription, without right to file a claim for any deficiency. (d) all of the above. 128. Within what period may a judgment in a land registration case be enforced? (a) Upon motion within 5 years from the date of entry. (b) No further proceeding to enforce the judgment is necessary. (c) Upon motion within 10 years from the date of entry. (d) Upon motion after finality of judgment praying that LRA be directed to issue the decree of registration. Land, Titles and Deeds Reviewer Page 62 of 62