CASES DLSU CIVIL LAW REVIEW G01 A.Y. 2023-2024, 1st Semester # Subject Matter Case Title Ponente WEEK 3: Overview of Property Relations Relevant law(s) to the case ACP Doctrine CPG Doctrine Person Assigned Rights and Obligations of Spouses 1 2 Rights and Obligations of Goitia v. Campos-Rueda, G.R. No. 11263, Spouses November 2, 1916. Arroyo v. Vasques-Arroyo 42 Phil 54 Trent, J. Street, J. 3 Ilusorio vs. Bildner, G.R. No. 139789. May 12, 2000. Pardo, J. 4 Rep. v Molina, G.R. No. 108763 February 13, 1997 Panginiban, J. FC 68 – 71; FC 72, 100; 127; 101, NCC 921 (4), FC 69 FC 70, 94 (last par.), 122, 146 FC 70,194, 94 (1), 122, 146 FC 73 as amended by RA 10572 (May 24, 2013) The husband still has a duty to support his wife even if the latter leaves the conjugal home due the fault of the husband. The wife has the obligation and duty, both moral and legal, to return to the common home and cohabit with the husband. However, it is not within the jurisdiction of the courts of this country to seek to compel one of the spouses to cohabit with, and provide conjugal rights to, the other. As a result, the Court cannot hold that Mariano B. Arroyo is entitled to the unconditional and absolute order for the return of the wife to the marital domicile sought for, but he is unquestionably entitled to a judicial declaration that his wife has presented herself without sufficient cause and that it is her duty to return. Even if the husband refuses to live with his wife, coverture is a matter beyond judicial authority and cannot be enforced by compulsion of a writ of habeas corpus. The essential marital obligations must be those embraced by Articles 68 up to 71 of the Family Code as regards the husband and wife as well as Articles 220, 221 and 225 of the same Code in regard to parents and their children. Yu De Ocampo Dino Eulogio Basis for Property Relations of the Spouses 5 Marriage settlements 6 7 Donations propter nuptias Valencia v Loquiao, GR 122134, October 3, 2003 Tinga, J. Delgado v. GQ Realty Development, G.R. No. 241774, September 25, 2019 Caguioa, J. Solis vs Solis, 53 Phil 912 [1928] Avanceña, C.J. 8 Mateo vs Lagua, 29 SCRA 864 Reyes, J. 9 Cano v Cano, G.R. No. 188666, December 14, 2017 Sereno, J. FC 74, 75, 130 (3); 103 (3) FC 77, NCC 1357, 1358, NCC 709 Under the Old Civil Code, a donation propter nuptias must be made in a public instrument where the property donated is specifically described, and acceptance is not necessary for the validity of such donation. Under the New Civil Code, donations propter nuptias must be expressed in writing to be enforceable, and implied acceptance of such donation is sufficient. An Ante-nuptial agreement governs the property relations of the spouses. The husband can no longer claim the property that he gave to his wife since he discharged all his interest over all gifts that he had bestowed upon his wife in the ante-nuptial agreement. FC 81 cf. Art. 86 (1), FC 82 – 87, NCC Arts. 748-749, NCC 761, NCC 765; FC Donation propter nuptias shall be governed by the rules on donations under Art. 50; 43 (3), FC 44; 61 the Civil Code. Thus, in order that a donation of real property may be valid, it must be made in a public instrument. Moreover, the death of the donee may be imposed as a resolutory condition to revoke the donation propter nuptias. Donation propter nuptias, being liberalities, remain subject to reduction of inofficiousness upon the death of the donor, if they infringe the legitime of a forced heir. To order that a donation may be reduced for being inofficious, there must be proof that the value of the donated property exceeds that of the disposable free portion plus the donee's share as legitime in the properties of the donor. In this case, however, there was no sufficient evidence to rule on the inofficiousness of the donation and to order its reduction. For donations propter nuptias made before the Family Code, acceptance in a public instrument is not required. Implied acceptance is deemed sufficient. For those made prior to the Family Code, donations propter nuptias are subject to the rules on ordinary donations and must be accepted by the donee in a public instrument. Hernando Josol Laydia Mendoza Pagayatan Comparing the ACP and the CPG How do the CPG cases apply to the ACP 10 Muller v Muller, G.R. No. 149615, August 29, 2006 Ynares-Santiago, J. 1. When applicable: FC 75, 103 (3); 130 1. Commencement: (a) Marriages An alien spouse cannot seek reimbursement for the funds that were used to buy the property in the Philippines after the termination of the ACP, even if it was included. To hold otherwise would be a violation of the absolute disqualification of aliens from owning lands in the Philippines. Palabrica 11 Beumer v Amores, GR 195670, December 3, 2012 Perlas-Bernabe, J. Pandy 12 Abrenica v Abrenica, G.R. No. 180572, June 18, 2012 13 Santos vs. Santos, G.R. No. 250774, June 16, 2021 Carandang, J. 14 Alexander vs Spouses Escalona, G.R. No. 256141. July 19, 2022 (en banc) Quiao v Quiao, G. R. No. 183622, July 4, 2012 Lopez, M.V., J. A foreigner spouse married to a Filipina who admits that he is well aware of the constitutional prohibition imposed upon foreigners in owning land in the Philippines would not entitle him for reimbursement from the conjugal property on the ground of equity. Second marriage was on May 28 1998 and FC is applicable to their marriage. They follow ACP by default. Thus, Art. 92, par. (3) of the Family Code excludes from the community property the property acquired before the marriage of a spouse who has legitimate descendants by a former marriage; and the fruits and the income, if any, of that property. A property acquired by one spouse through onerous title during the marriage is part of the absolute community of property. Thus, half of which is owned by the other spouse. The Supreme Court held that the disturbance compensation in a form of land was acquired by onerous title. Therefore, half of the land, as part of the absolute community of property, is owned by Maria, the spouse. Any disposition or encumbrance of a conjugal property by one spouse must be consented to by the other; otherwise, it is void. "Net Profits" as contemplated in "Net Profits" as contemplated in Articles 102(4) of the FC in relation Articles 102(4) of the FC in relation to forfeiture in Article 63 of the FC to forfeiture in Article 63 of the FC are the same for both ACP and CPG are the same for both ACP and CPG property regimes. property regimes. 15 Absolute community of property Conjugal partnership of gains Sereno, J. Reyes, J. (3); 92 (3) 2. Commencement: FC 88 3. Waiver during marriage: FC 89 4. Waiver after marriage: FC 89 par. 2 cf NCC Art. 168, FC 136 5. Suppletory rules : FC 90; NCC 484-501 under FC, FC 107 (b) Marriages before FC, FC 105(2) Cf FC 256 2. Waiver during marriage: cf. FC 88, FC 89 3. Suppletory rules : FC 108; NCC 1767-1768 Here, the couple had no separate properties and as such, nothing would be returned to them after settling the debts and obligations incurred during their marriage. Normally, what remains is that the remainder should be divided equally between the spouses and their respective heirs. However, due to him being a guilty party for cohabitating with a third party, his share in the net profits of the CPG is forfeited in favor of their children by virtue of FC Article 63(2). Paras Roxas Sandoval Sison 16 BPI v. Fernandez G.R. No.173134, September 2, 2015 Brion, J. Under the ACP property regime, both spouses shall have the right to administer communal property. In this case, Baby had the right to withdraw the funds even if the same were to be considered communal property because she had in her possession the certificates of deposit and she was one of the joint account holder. The argument of BPI that the deposits are conjugal property was not sustained by the Supreme Court because under the express terms of the certificates of deposits, if the account is under the and/or terms and that the certficate of deposits were in the possession of one of the depositors, the funds should have been surrendered to the possessor. Moreover, a joint depositor has the right to ask for his/her share from the preterminated deposits even if the joint accounts contained conjugal funds. As to ACP, it must be proven first Under CPG, all the properties of the that the property was acquired during spouses are presumed part of the the marriage in order for the CPG in the absence of proof that it presumption that the property belongs exclusively to either of the belongs to ACP to kick in. spouses. Young 17 Heirs of Jarque v Jarque, GR 196733, Nov. 21, 2018 Jardeleza, J. 18 Anastacio vs. Heirs , G.R. No. 224572, August 27, 2020 Caguioa, J. Under Art. 75 of the Family Code, in the absence of a marriage settlement or when the regime agreed upon is void, the default property regime under the Family Code for Filipino Spouses is the absolute community of property regime. Under Art. 105 (2) of the Family Code, the Family Code "shall also apply to the conjugal partnership of gains already established before the effectivity of the Family Code, without prejudice to vested rights already acquired in accordance with the Civil Code or other laws." (CPG also applies when the spouses agree on CPG as their property regime through marriage settlement) De Ocampo 19 Esteban v Campano, G.R. No. 235364, April 26, 2021 Carandang, J. Under ACP, the transfer of community property without the authority of the court or written consent of the other spouse is VOID. However, the transaction will be construed as a continuing offer on the part of the consenting spouse and the third person and may be perfected as a binding contract upon the acceptance by the other spouse or authorization by the court before the offer is withdrawn by either or both offerors. Under CPG, the rule on the transfer of conjugal property without the consent of the other spouse is the same as ACP. However, the court in this case made a distinction between transfers made under the Family Code and those made under the Civil Code. Dino 20 When Applicable / Muller v Muller, G.R. No. 149615, Commencement / Waiver August 29, 2006 during Marriage / Waiver after Marriage / Ynares-Santiago, J. Under the Family Code, the transfer of conjugal property without the authority of the court or written consent of the other spouse is VOID; while under the Civil Code, the transfer of conjugal property without the wife's consent is merely VOIDABLE. An action for annulment must be brought by the wife, during the marriage and within 10 years from the questioned transaction. An alien spouse who used his funds to buy a property in the Philippines cannot later seek reimbursement after the termination of the ACP or CPG, even if it was included. To allow such would constitute a circumvention of the constitutional prohibition of aliens from owning lands in the Philippines. Yu Palabrica 21 22 23 g Suppletory rules Beumer v Amores, GR 195670, December 3, 2012 Abrenica v Abrenica, G.R. No. 180572, June 18, 2012 Perlas-Bernabe, J. Sereno, J. Santos vs. Santos, G.R. No. 250774, June 16, 2021 Carandang, J. Buado vs. CA, G.R. No. 145222, April 24, 2009 Tinga,J. 24 25 Dar v Legasto, G.R. No. 143016, August 30, 2000 26 Cotoner vs. Revilla, G.R. No. 190901, November 12, 2014 Kapunan, J. Leonen, J. Under ACP, the same principle applies regarding the dissolution of community property and non-entitlement of the foreigner spouse for going against the Constitutional provision. A foreigner spouse who is well aware of the constitutional prohibition against foreigners owning land and who, because of such prohibition, registers the property under the name of his wife shows his intent to skirt the Constitutional prohibition. As such, in the dissolution of CPG, the foreigner is deemed to never have acquired any right over the subject properties by reason of such unconstitutional purchase. Properties are assumed ACP unless it is proved that it is excluded. In this case, it is excluded as the properties were acquired before the marriage of a spouse who has legitimate descendants by a former marriage under Art 92 (3). The court prevented second wife from claiming properties that were acquired by her late husband during his first marriage. Absolute community of property shall consist of all the property owned by the spouses at the time of the celebration of the marriage or acquired thereafter, except property acquired by gratuitous title, among others, as provided by Art. 93 (FC). In this case, the subject property was acquired by Jose by onerous title during his marriage to Maria despite being denominated as donation. Thus, it shall form part of the community property of Jose and Maria and one-half of the property belongs to Maria. Article 94(3) ACP is liable for A spouse who is not a party to the obligation and debts contracted by suit but whose conjugal property is either spouse without the consent of being executed on account of the the other but benefited the family. other spouse being the judgment obligor cannot be considered as a stranger if it redounded to the benefit of the conjugal partnership. Where a married couple is sued jointly over a property in which they have a common interest, the signing of one of the spouses of the certification of non-forum shopping is sufficient and is considered substantial compliance. Under the Family Code, the The sale of the property took place administration and enjoyment of the before the effectivity of the Family community property shall belong to Code. Under Art. 165 of the Civil both spouses jointly. Nevertheless, Code, the husband is the the consent of the other spouse is administrator of the conjugal necessary in order to dispose of partnership. In Art. 172 of the Civil common property. Code, the wife cannot bind the conjugal partnership without the husband's consent, except in cases provided by law. In this case, the signature of the husband was forged, even if the signature of the wife was authentic, her signature alone would not bind the subject property since the said transaction was made without the consent of her husband. Pandy Paras Roxas Eulogio Hernando Josol 27 Matthews vs. Taylor, GR 164584, June 22, 2009 Nachura, J. 28 Heirs of Go v Servacio, GR 157537, Sept. 7, 2011 Bersamin, J. 29 Domingo vs. Molina, G.R. No. 200274, April 20, 2016 Brion, J. The Constitutional prohibition against aliens acquiring public and private lands in the Philippines would apply in either ACP or CPG regime. An alien husband cannot question the validity of the lease agreement entered into by his wife without his consent, even if he contends that his funds were used in the property's Therefore, an alien husband cannot acquisition and improvement. Ruling question the validity of the lease otherwise would countenance indirect agreement entered into by his wife controversion of the constitutional without his consent, even if he prohibition on aliens acquiring contends that his funds were used in private and public lands in the the property's acquisition and Philippines. If the property were to improvement. be declared conjugal, this would accord the alien husband a substantial interest and right over the land, as he would then have a decisive vote as to its transfer or disposition. The same doctrine will apply under The disposition by sale of a portion the ACP regime, as the requirement of the conjugal property by the of prior liquidation does not surviving spouse without the prior prejudice vested rights. liquidation mandated by Art 130 of the Family Code is not necessarily void if said portion has not yet been allocated by judicial or extrajudicial partition to another heir of the deceased spouse. The requirement of prior liquidation does not prejudice vested rights. In this case, the SC ruled that the sale was valid but only up to the extent of the selling heirs' undivided shares. In the absence of a marriage The Family Code is applicable in settlement, or when the regime conjugal partnerships established agreed upon is void, the system of before and after the effectivity of the absolute community of property as Family Code, provided that such established in this Code shall govern. provisions of the Family Code is without prejudice to vested rights already acquired under the Civil Code and other laws. Laydia Mendoza Pagayatan 30 Uy v Estate of Fernandez, G.R. No. 200612, April 5, 2017 Reyes, J. 31 Quiao v Quiao, G. R. No. 183622, July 4, 2012 Reyes, J. 32 Dino v Dino, GR 178044, January 19, 2011 Carpio, J. 33 Spouses Cueno v. Spouses Bautista, , G.R. No. 246445, March 02, 2021 Caguioa, J. ACP shall govern if there was no marriage settlement or when the regime agreed upon is void. The commencement of the ACP between spouses shall commence at the precise moment that the marriage was celebrated. A CPG that was already established prior to the effectivity of the Family Code is applicable to Art. 130 which states that upon dissolution of the CPG due to the death of either spouse, it should be liquidated in the same proceeding for the settlement of the estate of the deceased, or in [Same treatment with CPG] Under the absence thereof, by the surviving Art. 103 of the FC, upon the spouse within one year from the termination of the marriage by death, death of the deceased spouse. Absent the community propety shall be any liquidation, disposition or liquidated in the same proceeding for encumbrance of the CPG is void. the settlement of the estate of the deceased, or in the absence, by the However, any disposition or sale surviving spouse within one year made by the surviving spouse of his from the death of the deceased or her undivided share shall be valid spouse. Absent liquidation, any and the buyer shall have the rights as disposition or encumbrance of the a co-owner. community property involved in the terminated marriage is void. ACP as the presumptive regime in the Prior to the enactment of the Family absence of marriage settlements arose Code, Article 119 provided that CPG with the enactment of the Family as found in the Civil Code would Code, excepting those under Article govern property relations in the 92. absence of marriage settlements or void marriage settlements. For marriages dissolved under Art. 36 of the Family Code, what would govern thte liquidation of properties owned in common by the spouses during the period of cohabitation are the rules on co-ownership. Under Article 1413 of the Spanish Articles 96 46 and 124 47 of the Civil Code, the wife's consent was Family Code unequivocally state that not required for the sale of conjugal a disposition of community or property as the husband's right to conjugal property without the administer and dispose of the same consent of the other spouse is void was considered "full, absolute and but shall constitute a "continuing complete." offer on the part of the consenting spouse and the third person, and may be perfected as a binding contract upon the acceptance by the other spouse or authorization by the court before the offer is withdrawn by either or both offerors. Palabrica Sison Pandy Paras 34 Esteban v Campano, G.R. No. 235364, April 26, 2021 35 Turla vs. Heirs of Patrocinio N. Dayrit, G.R. No. 205743. October 6, 2021 36 Belcodero v. CA 227 SCRA 303 37 Sps. Estonina v. CA G.R. No. 111547, Jan. 27, 1997 Carandang, J. Carandang, J. Under ACP, the transfer of community property without the authority of the court or written consent of the other spouse is VOID. However, the transaction will be construed as a continuing offer on the part of the consenting spouse and the third person and may be perfected as a binding contract upon the acceptance by the other spouse or authorization by the court before the offer is withdrawn by either or both offerors. Under ACP, when a spouse initially did not give his or her consent on a transaction involving a conjugal property but subsequently gives it, the contract shall be deemed perfected. Otherwise, it shall be considered void. Vitug, J. NCC ARTICLE 199. In the absence of stipulation to the contrary, the community shall consist of all present and future property of the spouses not excepted by law. Francisco, J. As per Article 93 of the Family Code, property acquired during a marriage (reckoned from marriages since the enactment of the FC) are presumed to belong to the absolute community, unless it is proved otherwise or falls under the exceptions under Article 92. Under CPG, the rule on the transfer of conjugal property without the consent of the other spouse is the same as ACP. However, the court in this case made a distinction between transfers made under the Family Code and those made under the Civil Code. Under the Family Code, the transfer of conjugal property without the authority of the court or written consent of the other spouse is VOID; while under the Civil Code, the transfer of conjugal property without the wife's consent is merely VOIDABLE. An action for annulment must be brought by the wife, during the marriage and within 10 years from the questioned transaction. The heirs, except the spouse who did not give consent, cannot annul the contract involving the conjugal property unless they prove that spouse who alienated it did it fraudulently such as absence of consideration. The Supreme Court held in this case that there being valuable consideration for the transfer, the sale cannot be considered as in fraud of Rita, even if made without her consent. Under both the new Civil Code (Article 160) and the old Civil Code (Article 1407), "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." In order for the presumption in favor of a conjugal partnership under Article 160 of the Civil Code to apply, proof of acquisition during the marriage is a sine qua non requirement. Here, petitioners were unable to present proof that the property was acquired during the marriage, and merely offered such theory on the basis that when title over the land was issued, the spouses were already married. Dino Roxas Sandoval Sison 38 Quiao v Quiao, G. R. No. 183622, July 4, 2012 39 Castro vs. Miat, 397 SCRA 271 40 Spouses Carlos vs Tolentino, GR No 234533, June 27, 2018 41 Heirs of Jarque v Jarque, GR 196733, Nov. 21, 2018 Reyes, J. Article 102(4) of the Family Code refers to the term "net profits" in relation to the dissolution of the ACP and subsequent forfeiture of a guilty spouse. Puno, J. Under the ACP, properties brought to the marriage and properties bought during the marriage shall likewise be considered communal property. Velasco Jr., J. The rules on ACP state that donations to third persons are void without the consent of the other spouse, similiar to the rules on CPG. Jardeleza, J. Article 102(4) of the Family Code in its use of the term "net profits" also applies to dissolution of CPG under FC Article 129. Petitioner asks to clarify the meaning of "net profits" earned by the conjugal partnership for purposes of forfeiture under FC Article 63. Supposedly, since there is no other provision under FC that defines "net profits", then FC 102 applies. Properties purchased during the marriage shall be considered conjugal. A spouse who contends that a certain property was exclusively his / hers, he / she has to prove that the same was purchased before the marriage or that when it was purchased during the marriage, the same was purchased through the exclusive party of the spouse. Under CPG, donations to third persons are void, without consent of the other spouse. However, in this case, the court did not declare a donation of conjugal property to be wholly void due to the lack of signature of one spouse in its deed of donation. The court explained that in consonance with justice and equity, it is proper to uphold the validity of the Deed of Donation but only to the extent of the consenting deceased spouse's 1/2 share in the subject property especially when the conjugal partnership had already been terminated upon the death of the consenting spouse. Similar to CPG, in ACP, the net Under CPG, upon the death of either remainder of the absolute spouse, the conjugal partnership is community, shall also be divided dissolved. The surviving spouse is equally between the husband and entitled to his/her 1/2 share in the wife, unless a different portion or partnership, while the remaining half division was agreed upon in the belongs to the estate of the deceased marraige saettlements, or unless there which will be inherited by his/her has been a waiver with regard to the forced heirs. shares. Sison Young Yu Yu 42 Anastacio vs. Heirs , G.R. No. 224572, August 27, 2020 Caguioa, J. 43 Spouses Cueno v. Spouses Bautista, , G.R. No. 246445, March 02, 2021 Caguioa, J. 44 Esteban v Campano, G.R. No. 235364, April 26, 2021 Carandang, J. Neither spouse can dispose or encumber ACP without authority of the court or the written consent of the other spouse, otherwise, the encumbrance or disposition will be deemed void. The sale of congjugal property requires the consent of both spouses. The absence of the consent of one renders the sale or disposition null and void. In this case, the act that Juan and Juliana were separated from bed and board(a mensa et thoro) at the time of the supposed sale of the subject property by Juan to petitioners did not exempt the disposition from the requirement of obtaining the other spouse's consent. Likewise, since Juliana died before acceptance is conveyed, the continuing offer becomes ineffective and could not have materialized into a binding contract. Art 173 remedy is not applicable in Under CPG, the court held that ACP. Aguilar-Reyes case is to be followed that sale of property without the Articles 96 46 and 124 47 of the consent of wife is voidable under Art Family Code unequivocally state that 166 and the wife may initiate the a disposition of community or annulment of the sale within 10 yrs conjugal property without the from the transaction during the consent of the other spouse is void marriage under Art 173. but shall constitute a "continuing offer on the part of the consenting spouse and the third person, and may be perfected as a binding contract upon the acceptance by the other spouse or authorization by the court before the offer is withdrawn by either or both offerors. Under ACP, the transfer of Under CPG, the rule on the transfer community property without the of conjugal property without the authority of the court or written consent of the other spouse is the consent of the other spouse is VOID. same as ACP. However, the court in However, the transaction will be this case made a distinction between construed as a continuing offer on transfers made under the Family the part of the consenting spouse and Code and those made under the Civil the third person and may be Code. perfected as a binding contract upon the acceptance by the other spouse or Under the Family Code, the transfer authorization by the court before the of conjugal property without the offer is withdrawn by either or both authority of the court or written offerors. consent of the other spouse is VOID; while under the Civil Code, the transfer of conjugal property without the wife's consent is merely VOIDABLE. An action for annulment must be brought by the wife, during the marriage and within 10 years from the questioned transaction. De Ocampo Paras Dino 45 Turla vs. Heirs of Patrocinio N. Dayrit, G.R. No. 205743. October 6, 2021 Carandang, J. 46 Alexander vs Spouses Escalona, G.R. No. 256141. July 19, 2022 (en banc) Lopez, M.V., J. The conditional sale transaction The law reserves the right to the wife would have been void if the property in annulling a contract involving a regime between the spouses is ACP. conjugal property which must be brought during the marriage and within ten years from the transaction. In this case, their marriage had been dissolved upon the death of Patrocinio on December 16, 1991. Not having been annulled, the Deed of Sale dated January 11, 1991 in favor of Ricardo is valid and binding. ARTICLE 207. Neither spouse may Any disposition or encumbrance of a alienate or encumber any common conjugal property by one spouse property without the consent of the must be consented to by the other; other. In case of unjustifiable refusal otherwise, it is void. by the other spouse, the courts may grant the necessary consent. Roxas Sandoval Presumptions 47 48 Presumptions Tarrosa vs. De Leon, G.R. No. 185063. July 23, 2009 Velasco, Jr., J. Anastacio vs. Heirs , G.R. No. 224572, August 27, 2020 Caguioa, J. FC 93 cf NCC 160 FC 116 Article 93 of the FC: Property acquired during the marriage is presumed to belong to the ACP, unless it is proven that it is one of those excluded. If the title to the property was obtained during the effectivity of the marriage, the presumption of ownership by the conjugal property will arise under the law. To overturn this presumption, the evidence NCC 160: The presumption is that of presented must be compelling, CPG, unless proven that it is owned unambiguous and convincing, and it exclusively by one of the spouses. FC must be clear proof of exclusive 116, on the other hand, provides for ownership, burden of which lies with the existence of the presumption in the party asserting it. favor of CPG regardless of whether such acquisition is made, contracted, Failed to overturn presumption since or registered in the name of one or there was no evidence on the source both spouses, unless proven. for funding. Under Art. 93 of the Family Code, it Under Art. 116 of the Family Code, a also provides that the presumption rebuttable presumption is established, will apply if the proponent proves where the party who invokes that that the property in question was presumption must first prove that the acquired during the marriage, unless property was acquired during the it is proved to be one of those marriage. Once the condition sine excluded. Thus, the spouse who qua non that the property was alleges that property is exclusive must acquired during the marriage is likewise prove exclusivity. established, then the presumption that all properties acquired during the marriage are deemed conjugal, until the contrary is proved. Moreover, it is not necessary to prove that the property was acquired with conjugal funds and the presumption still applies even when the manner in which the property was acquired is unclear. The presumption is created even if the acquisition appears to have been made, contracted or registered in the name of one spouse. Sison De Ocampo 49 Strong Fort Warehousing Corporation vs Banta, G.R. Nos. 222369 and 222502. November 16, 2020 Lopez, J. 50 Cordova vs. Ty, G.R. No. 246255. February 03, 2021 Delos Santos, J. 51 Alexander vs Spouses Escalona, G.R. No. 256141. July 19, 2022 (en banc) Lopez, M.V., J. The properties acquired during the marriage by the spouses shall be presumed to be communal. The properties acquired during the marriage by the spouses shall be presumed to be conjugal. As such, the written consent of the spouse shall be needed for all dispositions or encumbrances of communal properties made by the other spouse. As such, the written consent of the spouse shall be needed for all dispositions or encumbrances of conjugal properties made by the other spouse. In this case, the forgery of the wife's signature would still make the real estate mortgage void but the contract of loan executed by the husband shall subsist. Under ACP, it must be proven first that the property was acquired during the marriage in order for the presumption that the property belongs to ACP to kick in. To rebut the presumption, it must be proven that the property is one of those excluded from the ACP. In this case, the forgery of the wife's signature made the real estate mortgage void but the contract of loan executed by the husband subsisted. Under CPG, there is no need to prove that the properties were acquired with funds of the partnership. Even if it is unclear how the properties were acquired, the presumption will still apply, and the properties will still be considered conjugal. In order to rebut the presumptive conjugal nature of the property, a movant must present strong, clear and convincing evidence of exclusive ownership of one of the spouses. The burden of proving that the property belongs exclusively to the wife or to the husband rests upon the party asserting it. In ACP, ARTICLE 199. In the Article 160 of the Civil Code is absence of stipulation to the contrary, explicit that "[a]ll property of the the community shall consist of all marriage is presumed to belong to present and future property of the the conjugal partnership, unless it be spouses not excepted by law. proved that it pertains exclusively to the husband or to the wife." The properties acquired during the lifetime of the husband and wife are presumed to be conjugal. The presumption may be rebutted only through clear and convincing evidence. The burden of proof rests upon the party asserting exclusive ownership of one spouse. Inclusions/Constitution Young Yu Sandoval 52 53 54 Inclusions/Constitution Titan v David, G.R. No. 169548, March 15, 2010 Villanueva vs CA, 427 SCRA 439 Berciles v. GSIS,128 SCRA 53, cf. FC 11 Del Castillo, J. Carpio, J. Guerrero, J. FC 91 Under Art. 91 of the Family Code, the community property should consist of all property possessed or acquired by the spouses at the time of the marriage celebration or subsequently, unless otherwise stated in the Chapter of absolute community property or in the marriage settlements. Under Art. 116 of the Family Code, unless proven otherwise, any property obtained during the marriage is deemed to be conjugal, regardless of whether the acquisition appears to have been made, negotiated for, or registered in the name of one or both spouses. In this case, Titan failed to overturn the presumption that the property, Likewise, Art. 93 of the Family Code purchased during the spouses' also provides that there is a marriage, was part of the conjugal presumption that all property partnership. acquired during the marriage shall form part of the ACP property Hence, the sale to Titan required the regime unless it is proved to be one consent of both spouses because of those excluded. Thus, the spouse under Art. 124 FC, where any who alleges that property is exclusive disposition or encumbrance of must likewise prove exclusivity. conjugal property must have the written consent of the other spouse, otherwise said disposition is deemed void. Under ACP (Art. 93) Property Under CPG (Art. 116), all property acquired during the marriage by acquired by the spouses during the either spouse is presumed to belong marriage, regardless in whose name to the community, unless it is proved the property is registered, is that it is one of those excluded. presumed conjugal unless the contrary is proved. The properties must first be proven to have been acquired during the marriage before they are presumed conjugal. Article 93 Property acquired during the marriage is presumed to belong to the ACP unless proven to be excluded. In this case, the legitimate wife was able to prove that the property in question was acquired during the marriage. Hence, the court applied the presumption that it is conjugal. As to the retirement premiums, there being no proof that the premiums were paid from the exclusive funds of the deceased husband, the law provides that one-half of the amount belongs to the wife as her property in the conjugal partnership and the other half shall go to the estate of the deceased husband which shall in turn be distributed to his legal heirs. De Ocampo Dino Eulogio 55 Jovellanos v CA, G.R. No. 100728 June 18, 1992 56 Munoz, Jr. v Ramirez, GR 156125, August 25, 2010 57 Padilla v Padilla, October 4, 1943 Regalado, J. Brion, J. Bocobo, J. Art. 91 of the FC provides that the ACP is composed of all property owned by the spouses during the celebration of the marriage or acquired thereafter. Thus, when ownership over the property acquired via installment is vested determines whether it is part of the ACP. In such properties, ownership is vested upon full payment of the purchase price. Thus, if full payment is made during the celebration of the marriage, or is made thereafter, then the property belongs to the ACP. Ownership is vested in a contract to sell only upon full payment of the purchase price. Where the property has been possessed by the husband during the marriage, but the purchase price for the same has not yet been paid, such property cannot be considered as part of the conjugal property of the spouses. It will only be considered part thereof when the purchase price has been fully paid. In this case, the purchase price was only fully paid during the second marriage. Still, according to Art. 118, if part of the installment was paid by the CPG of the first marriage, reimbursement to the CPG is required. Art. 92 of the FC: The following shall The property Erlinda inherited from be excluded from the community his father is excluded from the property: (1) Property acquired community property since it is during the marriage by gratuitous title acquired by gratuitous title. The by either spouse, and the fruits as property is an exclusive property of well as the income thereof, if any, Erlinda. With regard to the unless it is expressly provided by the contention that Eliseo introduced donor, testator or grantor that they improvements to the property, under shall form part of the community Art. 120 of the FC, should the cost of property. The property Erlinda improvement be more than the value inherited from his father is excluded of the property at the time of from the community property since it improvement, the entire property is acquired by gratuitous title shall belong to the conjugal partnership, subject to reimbursement of the value of the property. However, the improvement introduced by Eliseo did not even reach 1/4 of the value of the property. Thus, it remained exlucsive property of Erlinda. Under the ACP regime, properties purchased with the exclusive money of the wife are excluded from the ACP. Properties purchased from the wife's exclusive funds must be adjudged paraphernal, despite the fact that the certificates of title are in the names of both spouses. Hernando Josol Laydia 58 Padilla v Paterno, December 26, 1961 Reyes, J. Under the ACP regime, properties purchased using the exclusive money of the wife during the marriage are excluded from the ACP. 59 Coingco v Flores, 82 Phil. 284 Feria, J. In ACP, the community property shall consist of all the property owned by the spouses at the time of the celebration of the marriage or acquired thereafter. Upon the dissolution of marriage, the husband or his heirs may be compelled to make immediate restitution of the paraphernal property which has been turned over to the husband for administration. In this case, when the husband died, the marriage was dissolved, and his heir was bound to return the paraphernal properties of the widow, and from that moment, any income or fruit derived from said paraphernal properties belonged to the OWNER thereof. These retroact to the time of death of the husband, and thus, the widow must be reimbursed from that time. A building constructed by the conjugal partnership on land belonging to one of the spouses does not automatically make the land conjugal property. The building may be conjugal, but upon dissolution of the partnership, the land may or may not be conjugal, depending on the result of the liquidation. Mendoza Pagayatan Exclusions Exclusions FC 92; FC 95 FC 109 Management of exclusive property 60 Management of exclusive Laperal v. Katigbak, 10 SCRA 493 property Regala, J. FC 143-146 (a) By the spouse-owner, FC 110 (b) By the other spouse, FC 110 2nd par; FC 142, 75, 227 Under ACP, pursuant to Art. 92 of the FC, the property for the personal and exclusive use of either spouse shall not form part of the community property. However, jewelry shall form part of community property. Art. 110 of the FC states that spouses shall retain exclusive control and management of their exclusive properties, unless during marriage either spouse transferred the administration to the other by means of a public instrument and recorded it the registry of property of the place where the property is located. In this case, the husband cannot bind the paraphernal property and use it to satisfy his debts, unless the powers of administration have been transferred to him. The absence of proof of powers of administration to the husband gives the wife to continue exercising exclusive control and management of the same. Palabrica 61 Francisco v CA, G.R. No. 102330, 25 November 1998 Quisumbing, J. 62 Tan v Andrade, GR 171904, Aug 7, 2013 Perlas-Bernabe, J. 63 Veloso v. Martinez, 28 Phil 255 Johnson, J. 64 Berciles v. GSIS,128 SCRA 53, cf. FC 115 Guerrero, J. 65 Plata v. Yatco, 12 SCRA 718 66 Veloso v. Martinez, supra 67 Manotok Realty v. CA, 149 SCRA 372 Reyes, J.B.L., J. Johnson, J. Gutierrez, Jr., J. Property already owned by a spouse prior to a marriage and subsequently brought to the marriage is considered to be separate property. Acquisitions which are made by lucrative title refer to those which have been gratuitously acquired and those acquired by the spouse through donation, devise, legacy, or inheritance. ACP is also terminated upon death of CPG was terminated upon death of either spouse husband. Wife's declaration that she is the absolute owner was not disputed, hence the properties were exclusive properties of wife. In ACP, jewelries shall form part of A jewelry inhereted by the wife shall the community property in be considered as her sole and accordance with Art. 92 (2) of the separate property unless she had Family Code. delivered it properly to her husband with the intent that he might administer it properly. The Supreme Court held that since the requisites are absent, she is entitled to the possession of the jewels. Under Art. 91 of the Family Code, the absolute community property shall consist of all the property owned by the spouses at the time of the celebration of the marriage or acquired thereafter In ACP, all present and future properties of either spouse shall belong to the community property of the spouses as long as it is not one of those excepted by law. Absent proof of contrary, the retirement premiums also belong to the conjugal property of the spouses. In this case, 1/2 shall go to the surviving spouse and the other, to the legal heirs of the deceased person. If the property regime is that of ACP, Conveyance of paraphernal property Articles 143-146 of the FC would by a spouse to a third person and apply suppletorily. subsequent reconveyance back to her does not transform it to conjugal Applying to the same facts, Article property, unless it is proven that the 145 would be applicable, in that it reconveyance came from conjugal would remain paraphernal property funds. and that it may be owned, disposed, possessed, administered and enjoyed without the consent of the other spouse. It also would not convert the property to that of the absolute community, especially if agreed upon as separate by both spouses. Under ACP, property acquired during The jewels were the sole and separate the marriage are presumed to be part property of the wife, acquired from of the community property. her mother, and in the absence of further proof, it must be presumed that they constituted a part of her paraphernal property. Under ACP, ARTICLE 206. The If the paraphernal property of the ownership, administration, possession dead spouse is sold by the surviving and enjoyment of the common spouse, without the latter being property belong to both spouses appointed as administrator nor being jointly. In case of disagreement, the the owner, such sale is deemed void courts shall settle the difficulty. ab initio and cannot be ratified. Pandy Paras Roxas Sandoval Sison Roxas Sandoval 68 Ong vs CA, 204 SCRA 297 Paras, J. Applying Article 145 of the Family Code, the earnings of a spouse from their separate estate are theirs. It is silent on the scenario contemplated in Ong. Since profits earned by the wife from her business go to the conjugal partnership, it would only be just and equitable that the obligations contracted by the wife in relation to her business may also be chargeable not only against her paraphernal property but also against the conjugal property of the spouses. Sison Encumbrance/disposition of exclusive property 69 Encumbrance/disposition Wong et al. v. IAC 200 SCRA 792 of exclusive property 70 Ching vs CA, G.R. No. 124642. February 23, 2004 Fernan, CJ. Callejo Sr., J. FC 143-146, NCC 1490,1782. FC 111 as amended by RA 10572, FC 112, NCC 1490 Under the ACP property regime, disposition of communal property shall bear the consent of both spouses. In this case, Katrina, the estranged wife, could not validly attach communal property to the public auction since her assets in the communal property is merely inchoate in nature. Under the Civil Code (before the effectivity of the Family Code on August 3, 1988), a wife may bind the conjugal partnership only when she purchases things necessary for the support of the family or when she borrows money for the purpose of purchasing things necessary for the support of the family if the husband fails to deliver the proper sum; when the administration of the conjugal partnership is transferred to the wife by the courts or by the husband and when the wife gives moderate donations for charity. Having failed to establish that any of these circumstances occurred, the Wongs may not bind the conjugal assets to answer for Katrina's personal obligation to the Wongs. Under ACP, each spouse retains Under the conjugal partnership of control over their exclusive property, gains, property even if registered in and the other spouse may not bnd the name of one spouse is presumed such property unless authorized by conjugal and a creditor seeking to the spouse who owned the exclusive claim that such property is prooperty or by the court. paraphernal must prove that the property is exclusive property of the debtor spouse. Being conjugal property, it cannot be levied upon to answer for the debts of the debtor spouse absent proof that the debt redounded to the benefit of the conjugal partnership. Young Yu 71 Anastacio vs. Heirs , G.R. No. 224572, August 27, 2020 Caguioa, J. Neither spouse can dispose or encumber ACP without authority of the court or the written consent of the other spouse, otherwise, the encumbrance or disposition will be deemed void. Under 109 of the Family Code, it provides instances where the properties are exclusive properties of the spouse: ((1) That which is brought to the marriage as his or her own; (2) That which each acquires during the marriage by gratuitous title; (3) That which is acquired by right of redemption, by barter or by exchange with property belonging to only one of the spouses; and (4) That which is purchased with exclusive money of the wife or of the husband. This case does not fall within any of the four instances. Thus, the consent of Juliana is required, otherwise said disposition or encumbrance is deemed void. De Ocampo Property bought on installment 72 73 Property bought on installment Jovellanos v CA, G.R. No. 100728 June 18, 1992 Regalado, J. Tarrosa vs. De Leon, GR 185063, July 23, 2009 Velasco, Jr., J. FC Art. 118, 119 Ownership is vested in a contract to sell only upon full payment of the purchase price. Where the property has been possessed by the husband during the marriage, but the purchase price for the same has not yet been paid, such property cannot be considered as part of the conjugal property of the spouses. It will only be considered part thereof when the purchase price has been fully paid. In this case, the purchase price was only fully paid during the second marriage. Still, the children of the first marriage cannot be deprived of such property for a portion of the payments made for the property came from the first marriage. Art. 118 provides that any amount advanced by the partnership or by either or both spouses shall be reimbursed. Under Art. 118 of the Family Code, property bought on installments paid partly from exclusive funds and partly from CPG funds, belongs to the buyer or buyers if full ownership was vested before the marriage and to the conjugal partnership if such ownership was vested during the marriage. However, it must be noted that reimbursement to the CPG is required. In this case, the full payment of the conditional contract was made during the marriage. Thus, ownership was transferred only during the marriage and the questioned property is considered a conjugal property. Improvements on property Hernando De Ocampo 74 Improvements on property Munoz, Jr. v Ramirez, GR 156125, August 25, 2010 75 Padilla v Padilla, October 4, 1943 76 77 Brion, J. NCC 445, 446. FC 120 Under ACP, the land remains paraphernal and the improvements shall belong to the owner of the land, subject to reimbursement to ACP. Bocobo, J. Under the ACP regime, ordinary accession applies. Therefore, as a general rule, the ownership of the improvements (i.e., building) follows that of the land upon which it is built. (NCC, Art. 445) However, when common funds are used to construct the building over the exclusive property of the wife, NCC Art. 448 applies. Padilla v Paterno, December 26, 1961 Reyes, J. Under the ACP regime, properties purchased using the exclusive money of the wife during the marriage are excluded from the ACP. A payment of indemnity would be required for the improvements, pursuant to Art. 448 of the Civil Code. Coungco v Flores, 82 Phil. 284 Feria, J. Under the ACP regime, property acquired before the marriage by either spouse, when such spouse has legitimate descendants by a former marriage, are excluded from the ACP, together with the fruits and income thereof. Thus, despite the improvements on the property, the land is still considered the exclusive property of the spouse. Charges and Obligations The wife's exclusive property shall belong to CPG when the cost of the improvement and any resulting increase in value are more than the value of the exclusive property at the time of the improvement. The owner-spouse is entitled to reimbursement of the value of the property at the time of the improvement. However, the wife here retained ownership of the property because the cost of improvement was paid for through monthly salary deductions of the husband, which was not sufficient to cover the entire amount of the house. Thus, the property remained paraphernal, subject to reimbursement. The ownership of the land is retained by the wife until she is paid the value of the lot, as a result of the liquidation of the conjugal partnership. The mere construction of a building from common funds does not convey the ownership of the wife's land to the conjugal partnership. Such act of constructing a building over the wife's land is simply an exercise of the right of usufruct pertaining to the conjugal partnership. The improvements on property accrue to the owner of the land. In this case, the widow was the sole owner of the paraphernal properties as those properties never became conjugal since the conjugal improvements on the subject properties were destroyed before they could be reimbursed to the widow. The widow is also the sole owner of all the income from the said properties that accrued during the administration by the administratrix of the deceased husband's estate. The construction of a building during marriage on land belonging to one of the spouses does not ipso facto make the land a conjugal property. The conjugal partnership, however, may acquire the land by paying the value therefore. Dino Laydia Mendoza Hernando 78 Charges and Obligations Luzon Surety Co., Inc. vs De Garcia, 30 SCRA 111 Fernando, J. 79 Gelano vs CA, 103 SCRA 90 De Castro, J. 80 G-Tractors, Inc., vs CA, 135 SCRA 192 Cuevas, J. 81 Francisco v Gonzales, G.R. No. 177667, September 17, 2008 Austria-Martinez, J. 82 Buado vs. CA, G.R. No. 145222, April 24, 2009 Tinga, J. FC 94 FC 121, 122, 123 Art. 94. The absolute community of property shall be liable for: (3) Debts and obligations contracted by either spouse without the consent of the other to the extent that the family may have been benefited. This is not true in this case since the husband, in acting as a guarantor or surety for another, did not act for the benefit of the family. The only obligations that are chargeable against the conjugal property are those incurred in the legitimate pursuit of career, profession, or business, with the honest belief that it is for the benefit of the family. This is not true in this case since the husband, in acting as a guarantor or surety for another, did not act for the benefit of the conjugal partnership. Obligations contracted by the Obligations contracted by the husband during marriage, even husband during marriage, even without the consent of the wife, without the consent of the wife, which redounded to the benefit of which redounded to the benefit of the family, are chargeable against the the family, are chargeable against the ACP. conjugal property. The ACP will only be liable for debts If the husband incurs an and obligations contracted during the indebtedness in the legitimate pursuit marriage by the designated of his career or profession or suffers administrator-spouse for the benefit losses in a legitimate business, the of the community, or both spouses, conjugal partnership must equally or by one spouse with the consent of bear the indebtedness and the losses, the other; or for debts and unless he deliberately acted to the obligations contracted by either prejudice of his family. In this case, spouse without the consent of the the SC held that the indebtedness of other to the extent that the family the husband is chargeable to the may have been benefited. conjugal partnership. The ACP is liable for the personal A personal debt of one spouse debts incurred by either of the cannot bind the conjugal partnership, spouses, in case of absence or unless the debt was incurred for the insufficiency of the exclusive support of the family. property of the debtor-spouse, the payment of which shall be considered as advances to be deducted from the share of the debtor-spouse upon liquidation of the community. Liabilities incurred by either spouses by Payment of personal debts contracted reason of crime or quasi-delict is by either of the spouses before or chargeable to the ACP. during the marriage shall not be charged in to the CPG unless it redounds to the benefit of the family. Except on cases of absence or insuffiency of the exclusive property, the CPG has no duty to make advance payments for the liability of the debtor spouse. Josol Laydia Mendoza Pagayatan Eulogio 83 Mariano vs CA, 174 SCRA 59 Narvasa, J. 84 Ayala vs CA, 286 SCRA 272 Martinez, J. 85 Ching vs CA, 423 SCRA 356 Callejo Sr., J. 86 Homeowners vs. Dailo, G.R. 153802, Mar.11, 2005 Tinga, J. 87 Pana vs. Heirs of Juanite, Sr., G.R. No. 164201, December 10, 2012 Abad, J. In Art. 94 of the FC, the ACP shall be liable to all debts and obligations contracted during marriage by one spouse with the consent of the other and where the family may have benefitted. If such is insufficient, the spouses shall be solidarily liable for the unpaid balance with their separate properties. The conjugal partnership of the spouses, as provided under Art. 121, FC, shall be liable for the debts and obligations by either spouse where the cause of said liability redounded to the benefit of the family. In this case, the wife engaged in business with the husband’s consent, and the income derived was used for the support of the family. Thus, the liability of the conjugal assets to respond for the wife’s obligations cannot be disputed. In the absence of proof that an Art. 94(3) of the Family Code indemnity agreement executed by a provides that the absolute community property shall be liable spouse redounds to the benefit of his or her family, then such undertaking for debts and obligations is not a conjugal debt but an contracted by either spouse obligation personal to the spouse. In without the consent of the other this case, the Court denied the claim to the extent that the family may over the conjugal properties since the have been benefited; benefits claimed are not those contemplated under Art. 161 of the Civil Code since these are mere by-products or a spin-off of the loan itself. ACP provides for the similar provision that absolute community of property is not liable for debtor-spouse liability if it did not redound to the benefit of the family The benefits contemplated by Art 161 must be those directly resulting from the loan and cannot merely be a by-product or a spin-off of the loan itself. Thus, the conjugal properties is not liable for the liabilities of the debtor-spouse. In accordance with Art. 94 (3), the For the subject property belonging to community of property shall be liable conjugal property to be held liable, for debts and obligations contracted the obligation contracted by the late without the consent of the other Marcelino Dailo, Jr. must have spouse ONLY to the extent that the redounded to the benefit of the family may have been benefitted. conjugal partnership. The Supreme Court held that there's no evidence that the obligation redounded to the benefit of the family. In ACP, ARTICLE 205 of the NCC. Article 121 of the FC allows the Indemnities that must be paid by payment of criminal indemnities either spouse on account of a crime imposed on the guilty spouse out of or of a quasi-delict shall be paid from the partnership even before it is the common assets, without any liquidated. However, Art. 22 of FC obligation to make reimbursement. provides: “at the time of liquidation of the partnership, such offending spouse shall be charged for what has been paid for the purposes above-mentioned.” Palabrica Pandy Paras Roxas Sandoval 88 Boston Equity Resources, Inc. vs. Del Rosario, G.R. No. 173946, June 19, 2013 Perez, J. 89 De Los Santos v Abejon, G.R. No. 215820, March 20, 2017 Perlas-Bernabe, J. 90 Costuna vs. Domondon, 180 SCRA 333 Sarmiento, J. 91 Jader-Manalo v Camaisa, G.R. No. 147978, January 23, 2002 Kapunan, J. A collection case can proceed and the demands of a creditor can be satisfied by the surviving spouse, even without impleading the estate of the husband. The estate of the deceased spouse is not an indispensable party to the collection case when the obligation of the spouses are solidary in nature.. If the regime is CPG, the estate of the deceased spouse is an indispensable party to a collection case, since the liquidation process of the CPG is different under Article 129(2) of the FC. In specific, 129(2) first requires that the amounts advanced by the CPG in payment of obligations of either spouse (solidary liability inclulded) be first credited to the conjugal partnership as an asset, and 129(4) requires that the debts and obligations of the partnership be first paid out of conjugal assets. If the assets are insufficient, then such debts can be deducted from separate properties. Under the ACP regime, the The conjugal partnership shall be communal property shall also be liable for all the debts and obligations liable for all debts and obligations contracted during the marriage by contracted during the marriage. The both spouses. In cases of death by death of either spouse does not either spouse, the estate shall be the extinguish the death and the creditor one to be liable for the debt and not may file a claim against the estate of the heirs. In this case, the husband the decedent and the surviving died so the creditors may file a claim spouse. against the estate and against the surviving spouse. Under ACP, debts and obligations In CPG, hospital and medical contracted by either spouses are expenses of one or both spouses are chargeable against the ACP, to the chargeable to the conjugal extent that the family may have been partnership. For a transaction to be benefited. chargeable to the conjugal partnership, it is enough that it would result to some discernible advantage or go to the conjugal partnership, directly or indirectly. It need not be quantified into pesos or square meters of real property. The absence of consent of one of the The absence of consent of one of the spouses renders the entire sale null spouses renders the entire sale null and void, including the sale of the and void, including the sale of the portion of the conjugal property portion of the conjugal property pertaining to the spouse who pertaining to the spouse who contracted the sale. Mere awarness contracted the sale. Mere awarness does not equate to consent. does not equate to consent. Sison Young Yu De Ocampo 92 Carlos vs. Abelardo, 380 SCRA 361 Kapunan, J. Under ACP, the community property is liable for debts and obligations contracted by either spouse without the consent of the other to the extent that the family may have been benefitted. 93 People v. Lagrimas, G.R. No. L-25355, August 28, 1969 Fernando, J. Article 94(9) Liabilities incurred by either spouse by reason of crime or a quasi-delict,in case of absence or insufficiency of the exclusive property of the debtor spouse, the payment of which shall be considered as advances to be deducted from the share of the debtor spouse upon liquidation of the ACP. 94 Pana vs. Heirs of Juanite, Sr., G.R. No. 164201, December 10, 2012 Abad, J. Art. 199 of the NCC, all present and future properties of each spouse shall form part of their common property with the exceptions in Art. 201. Dar v Uy vs. CA, 346 SCRA 246 Pardo, J. Under CPG, a loan contracted by the wife is the liability of the conjugal partnership, even if the husband refused to acknowledge the loan, because the loan redounded to the benefit of the family. The loan was used to purchase the house and lot which became the conjugal home of the spouses and his family. Hence, CPG is liable; or in case it is insufficient, the spouses are solidarily liable with their separate properties. Fines and indemnities imposed upon either of the husband and wife may be enforced against the parnership after responsibilities under Article 161 (now Article 121 FC) have been covered, if the spouse who was bound should have no exclusive property it should be insufficient. The period which liability may be enforeced presupposes that the CPG still exist. The law speaks of partnership assets. Art. 142 of the OCC, it is only the fruits from their separate properties and income shall be placed in their common property. Dino Eulogio Sandoval Administration and Enjoyment 95 Administration and Enjoyment (a) Joint administration, FC 96; FC 90 (b) Sole administration (1) incapacity, FC 96 (2) – no court order (2) separation in fact FC 100 (3), 253 – with court order (3) abandonment, FC 101, 253 – with court order (4) pendency of legal separation proceeding, FC 61 – with court order (a) Joint administration, FC 124 cf. FC Same. 142 (b) Sole administration (1) Incapacity, FC 124, 253 (2) Separation in fact, FC 127(3), 253 (3) Abandonment, FC 101, 128, 253 (4) Pendency of legal separation proceedings, FC 61 A wife who assumes sole powers of adminstration has the same powers and duties of a guardian under the Rules of Court. A spouse that wishes to sell real property as an administrator of the conjugal property must follow the procedure for the sale of the ward's estate required of judicial guardians under the Rules of Court. Hernando 96 Sabalones v. CA 230 SCRA 79 97 Esteban vs. Campano, G.R. No. 235364, April 26, 2021 98 Tuazon vs. Fuentes, G.R. No. 241699, August 04, 2021 99 Legasto, G.R. No. 143016, August 30, 2000 100 Docena vs. Lapesura, 355 SCRA 658 Cruz, J. Carandang, J. Inting, J. Kapunan, J. Gonzaga-Reyes, J. Same. The law does indeed grant to the spouses joint administration over the conjugal properties as clearly provided in Article 124 of the Family Code. However, Article 61 also states that after a petition for legal separation has been filed, the trial court shall, in the absence of a written agreement between the couple, appoint either one of the spouses or a third person to act as the administrator. Although no formal designation of the administrator has been made, such designation was implicit in the decision of the trial court denying the petitioner any share in the conjugal properties (and thus also disqualifying him as administrator thereof) Under ACP, where one spouse Under CPG, where one spouse disposes a community property disposes a conjugal property without without authority of the court or authority of the court or written written consent of the other spouse, consent of the other spouse, the the disposition is void. However, the disposition is void. However, the transaction shall be construed as a transaction shall be construed as a continuing offer and may be continuing offer and may be perfected upon acceptance of by the perfected upon acceptance of by the other spouse or authorization by the other spouse or authorization by the court before the offer is withdrawn. court before the offer is withdrawn. Note: the court made a distinction between transfers without the consent of the other spouse under the Family Code, which is void; and transfers made under the Civil Code, which is merely voidable. Same rule applies for both ACP and Same rule applies for both ACP and CPG: Before a spouse could convey CPG: Before a spouse could convey common property in case of the conjugal property in case of the incapacity or inability of the other incapacity or inability of the other spouse to participate in the spouse to participate in the administration, the latter's written administration, the latter's written consent or court authority must be consent or court authority must be obtained. Otherwise, the disposition obtained. Otherwise, the disposition or encumbrance shall be void. or encumbrance shall be void. If the spouses were sued jointly as "Mr. and Mrs." over a property that belongs to their absolute community of property, the Certification of Non-Forum Shopping can be signed by only one of them. In administration of the ACP likewise The administration of conjugal belongs to the husband and wife. property belongs to the husband and wife jointly. However, administration does not require that husband and wife always act together. Josol Dino Laydia Mendoza Pagayatan 101 Aggabao vs. Parulan, G.R. No. 165803, Sept. 1, 2010 102 Uy vs. CA, 346 SCRA 246 Bersamin, J. [Same as CPG] In ACP, provisions of co-ownership shall apply to matters not provided under the FC. In relation to administration and enjoyment, it shall belong to both spouses jointly, and in case of disagreement, the husband’s decision shall prevail, subject to the wife’s recourse to a judicial remedy, as provided under Art. 96 of the FC. Art. 124 of the FC provides that the administration and enjoyment of the CPG shall belong to both spouses jointly. In case of disagreement, the husband’s decision shall prevail, subject to the wife’s recourse to a judicial remedy. In this case, Dionisio (husband) failed to prove that the SPA held by Atty. Parulan included the authority for administration. The Court held that the SPA, being a special agency, was limited to the sale of the property and did not extend to the power to administer the property. For there to be a valid sale, there must be proof of court authority or written consent from the other spouse. The principle in CPG is the same The provision under Art. 124 of the Family Code granting a spouse the as ACP. Under Art. 96, In the sole power of administration in case event that one spouse is incapacitated or otherwise unable of incapacity or inability of the other spouse to participate in the to participate in the administration administration of conjugal properties, of the common properties, the does not apply in cases when a other spouse may assume sole spouse is incompetent to participate powers of administration. The in the administration of the conjugal word "incapacity" is treated the property or is unable to give consent. The term "incapacity" means the same. separation, abandonment, or absence of a spouse. Pardo, J. Palabrica Pandy Disposition and encumbrance 103 104 Disposition and encumbrance Jader-Manalo v Camaisa, G.R. No. 147978, January 23, 2002 Guiang vs CA, 291 SCRA 372 Kapunan, J. Panganiban, J. FC 96-98 FC 124-125 Even if the other spouse actively participated in negotiating for the sale of the property, that other spouse's written consent to the sale is required by law for its validity. Mere awareness of a transaction is not consent. Thus, the contract will be void even if one spouse participated in the negotiation but thereafter refused to sign the contracts of sale. (Same as provided under Art. 96 of the Family Code) Under ACP, 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 thereof makes it merely voidable. Only in the latter case can ratification cure the defect. Even if the other spouse actively participated in negotiating for the sale of the property, that other spouse's written consent to the sale is required by law for its validity. Mere awareness of a transaction is not consent. Thus, the contract will be void even if one spouse participated in the negotiation but thereafter refused to sign the contracts of sale. (Same as provided under Art. 124 of the Family Code) Amicable settlement entered cannot be considered as a ratification as void contracts cannot be ratified. Neither can it be considered a continuing offer as it is not mentioned in the settlement and that by its tenor was to the effect that respondents would vacate the property. De Ocampo Paras 105 Roxas v. CA 198 SCRA 541 [1991] Paras, J. 106 Alinas vs Alinas, GR No. 158040, April 14, 2008 Austria-Martinez, J. 107 Siochi v Gozon, G.R. No. 169900, March 18, 2010 Carpio, J. 108 Aggabao vs. Parulan, G.R. No. 165803, Sept. 1, 2010 Bersamin, J. Absence of consent of one spouse in relation to the transaction involving conjugal property renders the transaction void. The joinder of the wife is necessary in cases where there is a lease a conjugal property for a period of more than one year. The remedy of the wife is to annul the contract provided that it is within 10 years from the transaction and it is during the marriage. In ACP, ARTICLE 207. Neither Art. 124 of the FC states that, absent spouse may alienate or encumber any any authority given by the court or common property without the the other spouse. the disposition or consent of the other. In case of encumbrance of the property without unjustifiable refusal by the other the consent of the other shall be void. spouse, the courts may grant the necessary consent. Article 63(2) provides that forfeiture As a consequence of the legal of the guilty spouse of their net share separation decree, the conjugal of the profit after the dissolution of partnership is terminated and settled, the property regime as an effect of a and the guilty spouse loses any decree of legal separation applies entitlement to a portion of the net both to ACP and CPG. profits obtained from the conjugal partnership. Specifically, only the husband's share, as the offending spouse, in the net profits is forfeited in favor of the recipient (donee). According to Article 102(4) of the Family Code, the computation of the net profits subject to forfeiture under Article 43, No. (2), and 63, No. (2), is based on the increase in the value of the community property between its market value at the time of marriage celebration and its market value at the time of dissolution. It is crucial to note that what is forfeited to the donee is not Alfredo's share in the conjugal partnership property but solely the net profits derived from the conjugal partnership property. In ACP, the alienation and disposition Art. 124 of the Family Code applies of the community properties shall be in the sales and disposition of governed by Arts. 96-98 of the FC. conjugal properties that were made after the effectivity of the same, even The powers of administration do not if the marriage was celebrated prior include the powers of disposition or to the effectivity of the Family Code. encumbrance without court authority In this case, the sale was made on or written consent of the other March 18, 1991 or after August 3, spouse. Absence of the court 1988 (the effectivity of the FC) authority and written consent renders the disposition or encumbrance as In this case, the sale was void, due to void. the absence of a court authority or written consent of the other spouse. Roxas Sandoval Sison Palabrica 109 Ko v Aramburo, G. R. No. 190995, August 9, 2017 Tijam, J. 110 Spouses Cueno v. Spouses Bautista, , G.R. No. 246445, March 02, 2021 Caguioa, J. 111 Esteban Vs. Campano, G.R. No. 235364, April 26, 2021 Carandang, J. 112 Tuazon vs. Fuentes, G.R. No. 241699, August 04, 2021 Inting, J. Under the Family Code, the sale of the husband without the written consent of the wife shall be void under Art. 96 (2). The separation from bed and board between husband and wife is an indication that the marital relationship between them has gone stale and renders the alleged consent given to encumber the conjugal assets suspicious. However, since the circumstances occurred before the effectivity of the Family Code, the sale of the husband without the consent of the wife renders the sale merely voidable. Art 173 remedy is not applicable in Under CPG, the court held that ACP. Aguilar-Reyes case is to be followed Articles 96 46 and 124 47 of the that sale of property without the Family Code unequivocally state that consent of wife is voidable under Art a disposition of community or 166 and the wife may initiate the conjugal property without the annulment of the sale within 10 yrs consent of the other spouse is void from the transaction during the but shall constitute a continuing offer marriage under Art 173. on the part of the consenting spouse and the third person, and may be perfected as a binding contract upon the acceptance by the other spouse or authorization by the court before the offer is withdrawn by either or both offerors. Under ACP, the transfer of Under CPG, the rule on the transfer community property without the of conjugal property without the authority of the court or written consent of the other spouse is the consent of the other spouse is VOID. same as ACP. However, the court in However, the transaction will be this case made a distinction between construed as a continuing offer on transfers made under the Family the part of the consenting spouse and Code and those made under the Civil the third person and may be Code. perfected as a binding contract upon the acceptance by the other spouse or Under the Family Code, the transfer authorization by the court before the of conjugal property without the offer is withdrawn by either or both authority of the court or written offerors. consent of the other spouse is VOID; while under the Civil Code, the transfer of conjugal property without the wife's consent is merely VOIDABLE. An action for annulment must be brought by the wife, during the marriage and within 10 years from the questioned transaction. Same rule applies for both ACP and Same rule applies for both ACP and CPG: The disposition of common CPG: The disposition of common property by the husband as an property by the husband as an administrator in appropriate cases administrator in appropriate cases requires the written consent of the requires the written consent of the wife, otherwise, the disposition is wife, otherwise, the disposition is void. Knowledge or being merely void. Knowledge or being merely aware of a transaction is not consent. aware of a transaction is not consent. Young Paras Dino Laydia 113 Heirs of Patrocinio N. Dayrit, G.R. No. 205743. October 6, 2021 114 Carandang, J. Alexander vs Spouses Escalona, G.R. No. 256141. July 19, 2022 (en banc) Lopez, M.V., J. Cabreza v Cabreza, GR 171260, September 11, 2009 Del Castillo, J. Under the ACP regime, the encumbrance and dispositiion of a community property is void if done without the consent of the other spouse or authority of the court. In ACP, ARTICLE 207 of the FC states that, neither spouse may alienate or encumber any common property without the consent of the other. In case of unjustifiable refusal by the other spouse, the courts may grant the necessary consent. Under CPG, transfer of conjugal property entered into without a wife's consent is voidable, not void. The action for the annulment of a contract involving conjugal real property entered into by a husband without the wife's consent must be brought: (1) by the wife; (2) during the marriage; and (3) within ten years from the questioned transaction. In this case, the husband died the same year, terminating the marriage. Not having annulled, the Deed of Sale executed by the husband with the wife's consent is valid and binding. Any disposition or encumbrance of a conjugal property by one spouse must be consented to by the other; otherwise, it is void. Yu Sandoval Effect of separation de facto/ Effect of abandonment/ Dissolution 115 Effect of separation de facto/ Effect of abandonment/ Dissolution FC 100; 101; cf. FC 239, FC 101, FC 72 – damages, rescission/nullity of a contract, FC 99, 102, 103, 104. 147, 148 FC 127, FC 128 cf. FC 239, FC 128 cf. Art. 102 (6) of the Family Code FC 101, FC 126, 129, 130, 147, 148 considers situations wherein the community regime has more than one property. When there is more than one property in the ACP, the law provides that the properties should be liquidated and divided , and the conjugal dwelling shall be given to the spouse with whom the majority of the common children choose to remain. However, the family home may be sold after dissolution of the conjugal partnership if there is a judicial order, and the family home is the only property of the ACP or CPG. 116 Heirs of Go v Servacio, GR 157537, Sept. 7, 2011 Bersamin, J. 117 Ugalde v Ysasi, GR 130623, February 29, 2008 Carpio, J. 118 Dino v Dino, GR 178044, January 19, 2011 Perlas-Bernabe, J. Art. 129 (9) of the Family Code considers situations wherein the conjugal partnership has more than one property. When there is more than one property in the CPG, the law provides that the properties should be liquidated and divided , and the conjugal dwelling shall be given to the spouse with whom the majority of the common children choose to remain. De Ocampo However, the family home may be sold after dissolution of the conjugal partnership if there is a judicial order, and the family home is the only property of the ACP or CPG. The alienation made by the surviving spouse of a portion of the community property, without the prior liquidation mandated by Art. 130 of the Family Code, is not wholly void ab initio, and shall be valid only to the extent of what will be allotted, in the final partition, to the vendor. The judicial separation of property Same rule for ACP. The judicial results in the termination of CPG. separation of property results in The finality of the trial court's order the termination of ACP. approving the parties' separation of property resulted in the termination of the CPG. A marriage declared void under Art. 36 of the Family Code is governed by the rules on liquidation on co-ownership under Art. 147. The Court does not find it necessary to liquidate the properties in the same proceeding for the declaration of nullity of marriage. Mendoza Dino Pandy 119 Quiao v Quiao, G. R. No. 183622, July 4, 2012 Perez, J. Even in an ACP, the effect of having no separate properties before marriage and the existence of a guilty party leaves such party no properties if forfeited in favor of the common children. Here, the properties listed were considered part of the conjugal partnership. As a result, whatever remains in the conjugal partnership should have been divided equally between the spouses and/or their respective heirs. However, since petitioner was found to be a guilty party, his share of the net profits is relinquished in favor of their common children, pursuant to Article 63(2) of the FC. No portion will be given back to the guilty party in the CPG, as a consequence of both parties having no separate properties before the marriage. Sison 120 Barrido v. Nonato, G.R. No. 176492, October 20, 2014 Peralta, J. Same The rules which are set up to govern the liquidation of either the absolute community or the conjugal partnership of gains, the property regimes recognized for valid and voidable marriages, are irrelevant to the liquidation of the co-ownership that exists between common-law spouses of void marriages. Under 147, the presumption is co-ownership unless proven otherwise. Eulogio 121 Noveras v. Noveras, G.R. No. 188289, August 20, 2014 Perez, J. Same. Hernando 122 Domingo vs. Molina, G.R. No. 200274, April 20, 2016 Brion, J. Separation in fact for one year is a ground to grant judicial separation of property. This case is replete with evidence that the spouses were indeed separated for one year, and their reconciliation is highly improbable. The petition for judicial separation of property should therefore be granted. The granting of the same automatically dissolves the absolute community of property regime, and liquidation follows thereafter. The dissolution of the ACP by reason of the death of a spouse results in a co-ownership by the surviving heirs with respect to the share of the deceased spouse until final liquidation and partition. When the conjugal partnership is dissolved by reason of the death of a spouse, an implied co-ownership ensues among the surviving heirs with respect to the share of the deceased spouse until final liquidation and partition. Pagayatan 123 Uy v Estate of Fernandez, G.R. No. 200612, April 5, 2017 Reyes, J. [Same treatment with CPG] Under Art. 103 of the FC, upon the termination of the marriage by death, the community propety shall be liquidated in the same proceeding for the settlement of the estate of the deceased, or in the absence, by the surviving spouse within one year from the death of the deceased spouse. Absent liquidation, any disposition or encumbrance of the community property involved in the terminated marriage is void. 124 Jimenez vs. Dy, G.R. No. 218731, February 13, 2019 J.C. Reyes, Jr. Same treatment for ACP. Upon the termination of the marriage by death, the community property shall be liquidated in the same proceeding for the settlement of the estate of the deceased. 125 Paterno v Paterno, G.R. 213687, Jan. 8, 2020 126 Heirs of Caburnay, v. Heirs of Sison, G.R. No. 230934, December 02, 2020 Caguioa, J. 127 Perez, Jr. vs. Perez-Senerpida, G.R. No. 233365, March 24, 2021 Caguioa, J. J.C. Reyes, Jr., J. Under the CPG, the spouses are co-owners of all the properties of the conjugal partnership. Upon the death of one spouse and dissolution of the CPG, the surviving spouse has an actual and vested one-half undivided share of the properties, which is not determinate property until liquidation and partition. The other half of the deceased spouse’s share shall have an implied ordinary co-ownership among the surviving spouse and the other heirs (such as the children). Further, any disposition or sale made by the surviving spouse, despite the absence of liquidation of the CPG, is not necessarily void because the right as a co-owner would be transferred to the buyer for the undivided share. The subject property is conjugal in nature being registered under the names of spouses Sixto and Marcosa. Upon the death of Marcosa, the conjugal nature of the property was dissolved and the interest of Sixto, one-half share on the property (as spouse) + one-fourth (share as surviving spouse) goes to him. Roberta, their child, is entitled to the other one-fourth of the property. After the death of Marcosa, the subject property became co-owned by Sixto and Roberta. Thus, Sixto can only validly sell 3/4 of the property (his aliquot share). Article 147 would still apply even if the parties were married before the Family Code took effect by express provision of the Family Code on its retroactive effect for as long as it does not prejudice or impair vested or acquired rights in accordance with the Civil Code or other laws. The legal effect of a confirmation of a void ab initio marriageis that it is retroactive to the time when the marriage ceremony transpired, as if no marriage took place. This means that during the ten-year cohabitation of the spouses, they lived together merely as common-law spouses. Thus, their property regime is governed by Article 147. The contract to sell entered into by the husband of his conjugal property with his deceased wife is not entirely void for failure to effect liquidation. In instances where the surviving spouse and the heirs of the deceased spouse do not liquidate the conjugal properties, and kept undivided, a co-ownership is deemed established for the management, control, and enjoyment of the common property and the properties are divided according to the law on co-ownership. The dissolution of the ACP under The dissolution of the CPG under Art. 36 puts into effect Art. 147 of Art. 36 puts into effect Art. 147 of the FC. The donation of any property the FC. Under Art. 147, the donation (acquired during the cohabitation) by of any property (acquired during the one party without the consent of the cohabitation) by one party without other is void. the consent of the other is void. Palabrica Josol Laydia Mendoza Pagayatan # Subject Matter Case Title Ponente Relevant law(s) to the case Doctrine Person Assigned Separation of Property 128 Regime of separation of property Ugalde v Ysasi, GR 130623, February 29, 2008 Carpio J. 129 Noveras v. Noveras, G.R. No. 188289, August 20, 2014 Perez, J. 130 Estrella Abid-Babano vs. Executive Secretary G.R. No. 201176, August 28, 2019 [en banc] Bersamin, J. (a) In the marriage settlements, FC 143-146 (b) When mandatory, FC 103 & FC 130 (c) Reconciliation in legal separation, FC 66(2) (d) Judicial separation of property, 134 - 146 The approval of a compromise agreement on the parties' separation of property, resulted in the dissolution of the conjugal partnership of gains between the spouses. Dino The spouses were found to have actually been separated for at least one year, thus, the petition for judicial separation of the absolute community property should be granted. The granting of the same automatically dissolves the absolute community of property regime, and liquidation follows thereafter. Article 38 of the Code of Muslim Personal Laws specifically defines their regime of property relations as Muslims to be one of complete separation of property. Under the Civil Code, which also has suppletory application to the Code of Muslim Personal Laws, the consequence of the property regime of complete separation is found in Article 214 of the Civil Code and the same effect is in the Family Code under Article 145 Hernando The rule on special co-ownership (Art. 147) shall govern the liquidation of common property of a void marriage under Art. 36 of the Family Code. In case of failure to secure a JDNOM before contracting a 2nd marriage, the property regime of the 2nd marriage shall be governed by the provisions of Articles 147 and 148 of the FC on the "Property Regime of Unions without Marriage" and shall be divided according to their respective contributions. A spouse's active contribution to the business gives rise to the presumption that properties acquired during the period of cohabitation has been acquired through joint efforts, work or industry of both parties. As a result, it will be considered as co-owned in equal shares. Further, if one party did not directly participate in acquiring a property, but instead contributed to the family's care and household management, it is still deemed a joint contribution to the acquisition of that property. Art. 147 of the Family Code applies to a union between parties who are legally capacitated and are not barred by any impediment to marry but whose marriage is still void. In these cases, liquidation of the properties is not required before the nullity decree may be issued. Article 147 of the Family Code applies to the union of parties who are legally capacitated and not barred by any impediment to contract marriage, but whose marriage is nonetheless declared void under Article 36 of the Family Code, as in this case. Roxas Paras Property Regimes of Unions without Marriage 131 Property Regimes of Valdes v. QC RTC, G.R. No. 122749, July Unions without Marriage 31, 1996 132 Carino vs. Carino, GR 132539, February 3, 2001 133 Gonzales vs Gonzales, 478 SCRA 327 134 Diño v Diño, GR 178004, January 19, 2011 135 Salas, Jr., v Aguila, G.R. No. 202370, SEP 23 2013 136 Barrido v. Nonato, G.R. No. 176492, October 20, 2014 Vitug, J. Ynares-Santiago, J. Sandoval-Gutierrez, J. Perlas-Bernabe, J. Carpio, J. Peralta,J. Unions under FC 147, 4, 35, 36, 53 Under this property regime, property acquired during the marriage is prima facie presumed to have been obtained through the couple's joint efforts and governed by the rules on co-ownership. In the present case, Salas did not rebut this presumption. Accordingly, the partition of the Discovered Properties as ordered by the RTC and the CA should be sustained, but on the basis of co-ownership and not on the regime of conjugal partnership of gains. Under Article 147, the man and the woman: (1) must be capacitated to marry each other; (2) live exclusively with each other as husband and wife; and (3) their union is without the benefit of marriage or their marriage is void. Here, all these elements are present. The term "capacitated" inthe first paragraph of the provision pertains to the legal capacity of a party to contract marriage. Sandoval Sison Pandy Young Eulogio 137 People v XXX, GR 240441, Dec. 4, 2019 Reyes, A., Jr., J 138 Paterno v Paterno, G.R. 213687, Jan. 8, 2020 J.C. Reyes, Jr., J. 139 Perez v Senerpida, G.R. No. 233365, March 24, 2021 140 Belcodero v. CA 227 SCRA 303 141 Agapay vs Agapay, 276 SCRA 340 142 Tumlos vs. Sps. Fernandez, G.R. No. 137650, Apr 12, 2000 143 Atienza vs.de Castro,G.R. No. 1695698, Nov. 29, 2006 Garcia, J. 144 Signey v SSS, GR No. 173582, Jan. 28, 2008 Tinga, J. 145 Borromeo vs Descallar, GR No. 159310, Feb. 24, 2009 Common-law spouse and step-parent have different legal meanings which cannot be used interchangeably. The fact that a person is proved to be the common-law spouse of another, does not mean that the former is already the stepfather of the latter's child. Both must be sufficiently proved, and proof of one does not prove the other. Article 147 of the Family Code only applies to properties acquired by the parties while they lived exclusively with each other as husband and wife. For as long as the property had been purchased, whether on installment, financing or other mode of payment, during the period of cohabitation, the disputable presumption that they have been obtained by the parties' joint efforts, work or industry, and shall be owned by them in equal shares, shall arise. However, in this case, the parties' equal share shall only pertain to the paid portion before their separation, for in this peculiar kind of co-ownership, the partnership is considered terminated upon the parties' separation or desistance to continue said relations. In the special co-ownership between parties living together as husband and wife, Article 147 establishes that as long as the cohabitation lasts and the co-ownership exists, no disposition inter vivos of such undivided share can be validly made by one party without the consent of the other. This prohibition against a spouse to donate any absolute community property or conjugal partnership property without the consent of the other spouse equally applies to common-law relations or cohabitations of a man and a woman without a valid marriage or under a void marriage. Caguioa, J. Vitug, J. Romero, J. Panganiban,J. Puno, C.J. Unions under FC 148, 35, 37, 38 Article 148 of the NCC cannot apply if vested rights of the legal heirs will be impaired. The rules of co-ownership will be applicable if there is proof of actual contribution in purchasing a property during cohabitation between a married man and his concubine. If actual contribution is not proved, there will be no co-ownership and no presumption of equal shares. The concubine could not have had the means to contribute towards the purchase of a riceland and house and lot because she was only 20 years old at that time and living with a 64-year-old man. Hence, the property should revert to the CPG of the man and his lawful wife. Efforts in the care and maintrnance of the family and household are regarded as contribution to the common property by one who doesnt earn a salary or income under Article 147, however this condition is not included in 148. If the contribution of the party is not proved, there will be no co-ownership and no presumtion of equal shares. Even if the cohabitation or the acquisition of property occurred before the effectivity of the Family Code, the regime of limited co-ownership of property shall govern parties not legally capacitated to marry each other, but who are nonetheless living together as husband and wife. In such a case, proof of actual contribution is required for a co-ownership to result. According to RA 8282 (SSS Law), a surviving spouse claiming death benefits as a dependent must be the legal spouse. Petitioner's marriage with the deceased is null and void since the deceased had a prior existing marriage. Thus, petitioner has no right to claim death benefits. In property relations under Article 148, it is necessary for each of the partners to prove his or her actual contribution to the acquisition of property in order to be able to lay claim to any portion of it. Presumptions of co-ownership and equal contribution do not apply. Yu Laydia De Ocampo Sandoval Dino Eulogio Hernando Josol Laydia 146 Heirs of Maramag vs De Guzman, GR 181132, June 5, 2009 147 Lacbayan v Samoy, GR 165427, March 21, 2011 148 Go- Bangayan v Bangayan, G.R. No. 201061, July 3, 2013 Nachura, J. Villarama, Jr. Carpio J. Illegitimate children, borne out of a union without marriage, can be beneficiaries in an insurance contract. There is no prescription in naming as beneficiaries the children of illicit relationships by the insured. The share of the paramour in the insurance proceeds, whether forfeited by the court due to the prohibition on donations under Art. 739 of the Civil Code or by the insurer themselves, must be awarded to the illegitimate children. Only in cases where the insured has not designated any beneficiary, or when the designated beneficiary is disqualified by law to receive the proceeds, that the insurance policy will be redounded to the benefit of the estate of the insured. Until the issue of co-ownership is definitely resolved, a partition of properties cannot be given effect. Property acquired during cohabitation can only be considered common property if: (1) there is evidence showing that the properties were acquired by the parties during their cohabitation; and (2) there is evidence that the properties were acquired through the parties' actual joint contribution of money, property, or industry. These two conditions must concur. Art. 148 of the FC (regime of limited co-ownership) applies to cohabitation existing without the benefit of marriage wherein one of the parties is validly married to another and provides that actual joint contribution must be proven to establish co-ownership over the properties alleged to have been acquired during the cohabitation. Mendoza Pagayatan Palabrica In this case, the Court ruled that the words “married to” beside the name of a spouse are merely descriptive of the civil status of the registered owner and do not prove co-ownership. Without proof of actual contribution from either or both spouses, there can be no co-ownership under Art. 148 of the FC. 149 Lavadia vs. Heirs of Luna, G.R. No. 171914, July 23, 2014 Bersamin, J. 150 Tambuyat v. Tambuyat, G.R. No. 202805, March 23, 2015 Del Castillo, J. 151 Fullido v Grilli, G.R. No. 215014, February 29, 2016 152 Canada v Baclot, G.R. No. 221874, July 07, 2020 Mendoza, J. J. Reyes, JR., J. Properties acquired during a bigamous marriage are governed by rules on co-ownership under Art. 144 of the Civil Code. The person who alleges co-ownership has the burden of proof and he or she must establish it by proof of actual contributions in the acquisition of property. Both marriages were subsisting at the time of the acquisition of the subject property and issuance of the certificate of title thereto. Thus, it cannot be said that Adriano and Banguis have a common-law relationship at all. Documentary evidence among others, the parties' respective marriage contracts, which, together with marriage certificates, are considered the primary evidence of a marital union A leaase contracted by a Filipino with a foreign common law husband is void where the contract states that it is shall last for 50 years and renewable for another 50 years as this would limit Fullido's exercise of ownership since she wouldn't be able to dispose the same without any consent from Grilli. Properties jointy acquired by parties cohabiting under 148 shall be divided relative to their actual contribution which requires proof. Absent any proof of such, their contributions shall be deemed equal. Pandy Paras Roxas Sandoval