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PROPERTY
Course Outline
AY 2020-2021

I Concept and Nature, Definition and Characteristic of


Property

A. Classification of Things

B. Classification of Property

1. Immovable or Real Property – Art. 415


Movable or Personal Property – Art. 416-417

Davao Sawmill v. Castillo, 61 Phil 709


Berkenketter v. Cu Unjieng, 61 Phil 663
Lopez v. Orosa, 103 Phil 98
Associated Insurance v. Lya, 103 Phil 972
Tumalad v. Vicencio, 41 SCRA 143
Makati Leasing v. Wearever, 122 SCRA 143
Bd. Of Assessment Appeals v. Meralco, 10 SCRA 63
Meralco Securities v. Bd. Of Assessment Appeals,
114 SCRA 260
Caltex v. Bd. Of Assessment Appeals, 114 SCRA 296
Sibal v. Valdez, 50 Phil 512
U.S. v. Carlos, 21 Phil 543
Hongkong & Shanghai Bank v. Aldecoa, 30 Phil 255
Involuntary Insolvence of Strochecker v. Ramirez 44
Phil 933
US v. Tambunting 41 Phil 364
Rubiso v. Rivera 37 Phil 72
Mindanao Bus Company v. City Assessor, et al 6 SCRA
197
Tsai v. CA 336 SCRA 324
Navarro v. Pineda 9 SCRA 631
Prudential Bank v. Panis 153 SCRA 390
Punzalan Jr. v. Vda. De Lacsamana 121 SCRA 331
Leung Yee v. PL Strong Machinery Co. 37 SCRA 644
Bicerra v. Tenezza 6 SCRA 648
Fels Energy Inc. v. Province of Batangas et al, GR
168557, 2/16/07
Ladera v. Hodges G.R. NO. 8027-R, Vol. 48, No. 12, O.G.
5374, September 23, 1952
Makati Leasing & Finance Corp., v. Wearever Textile
Mills, Inc., G.R. No. L-58469. May 16, 1983
Santos Evangelista v. Alto Surety & Insurance Co., Inc.
103 Phil. 401 (1958);
Serg’s Products, Inc. v. PCI Leasing and Finance, Inc.,
G.R. No. 137705, August 22, 2000;
Burgos, Sr. v. Chief of Staff, G.R. No. 64261, 26
December 1984;
Yap v. Tañada, G.R. No. L-32917, 18 July 1988;
Machinery & Engineering Supplies, Inc. v. Court of
Appeals 96 Phil. 70 (1954);
Manila Electric Company v. City Assessor, G.R. No.
166102, August 5, 2015;
Capitol Wireless, Inc., v. Provincial Treasurer of
Batangas, G.R. No. 180110, May 30 2016

2. Consumable and non-consumable; (fungible & non-


fungibles)-Art 418
2

3. Property of Public Dominion of Private Ownership –


Art 419

a. Property of the State – Art. 420-422

i. for public use


ii. for public service
iii. for development of national wealth

b. Property of Municipal Corporations – Art.


424, par. 1

i. for public use including public


works for public service

c. Private Property

i. Patrimonial property of State – Art


421
ii. Patrimonial property of municipal
corporation – Art. 424 par. 2
iii. Private property of private persons
– Art 425 par. 2
- individual ownership
- collective ownership

Laurel v. Garcia, G.R. Nos. 92013, 92047, July 25, 1990;


Rabuco v. Villegas, G.R. Nos. L-24661, L-24915, L-24916,
February 28, 1974;
Macasiano v. Diokno, G.R. No. 97764, 10 August 1992;
Republic v. Court of Appeals, G.R. No. 100709, November
14, 1997
Province of Zamboanga del Norte v. City of Zamboanga ,
G.R. No. L-24440, March 28, 1968;
Chaves v. Public Estates Authority, G.R. No. 133250,
July 9, 2002;
Villarico v. Sarmiento, G.R. No. 136438, November 11,
2004
Heirs of Malabanan v. Republic, G.R. No. 179987, 3
September 2013
Republic v. Santos, III, G.R. No. 160453, November 12,
2012
Navy Officers’ Village Association, Inc. v. Republic,
G.R. No. 177168, 3 August 2015
City of Lapu-Lapu v. PEZA, G.R. Nos. 184203, 187583,
November 26, 2014;
Republic v. Aboitiz, G.R. No. 174626, October 23, 2013
Alolino v. Flores, G.R. No. 198774, 4 April 2016

4. Importance and Significance of Classification

Government v. Cabangis, 53 Phil 112


Cebu v. Bercilles, 66 SCRA 481
Tantoco v. Municipal Council, 49 Phil 52
Salas v. Jarencia, 46 SCRA 734
Municipality of San Miguel v. Fernandez, 130
SCRA 56
Zamboanga del Norte v. Zamboanga, 22 SCRA 1334

II. OWNERSHIP

A. Definition

B. Bundle of rights included in ownership Art. 429


3

(Jus utendi, fruendi, abutendi, disponendi, indicandi,


possidendi)
Caisip v. People 36 SCRA 17
Javier v. Veridiano, G.R. No. L-48050, October 10, 1994
Bustos v. Court of Appeals, G.R. No. 120784-85, 24 January
2001
Heirs of Roman Soriano v. Court of Appeals, G.R. No. 128177,
August 15, 2001
Garcia v. Court of Appeals, G.R. No. 133140, August 10, 1999
Rodil Enterprises, Inc. v. Court of Appeals, G.R. No. 129609
and 135537, 29 November 2001
Isaguirre v. De Lara, G.R. No. 138053, May 31, 2000
Custodio v. Corrado, G.R. No. 146082, 30 July 2004
Abejaron v. Nabasa, G.R. No. 84831, June 20, 2001
Javier v. Lumontad, G.R. No. 203760, December 3, 2014
Bradford United Church of Christ, Inc. v. Ando, G.R. No.
195669, May 30, 2016

C. Other specific rights found in Civil Code


Arts. 429,430,437,438,444

a. right to exclude; self-help; doctrine of self help;


elements – Art. 429
German Management & Services, Inc. v. Court of
Appeals 177 SCRA 495
Caisip v. People 36 SCRA 17
People v. Pletcha, Jr. 22 CA Rep. 807
Diamond Farms, Inc. v. Diamond Farm Workers Multi-
Purpose Cooperative, G.R. No. 192999, 18 July 2012
Spouses Fuentes v. Roca, G.R. No. 178902, 21 April
2010

b. right to enclose or fence – Art 430


c. right to receive just compensation in case of
expropriation – Art 435
De Knecht v. Bautista, 100 SCRA 660
City of Manila v. Chinese Community, 40 Phil 349
Republic v. Juan, 92 SCRA 26

d. right to hidden treasure – Arts. 438-439


e. right of accession – Art. 440
f. right to recover possession and/or ownership – jus
vindicandi

i. available actions to recover


possession/ownership
re: immovable property
-accion reivindicatoria
-accion publiciana
-forcible entry and unlawful detainer

De Leon v. CA, 245 SCRA 166


Alfredo Bokingo, v. Court of Appeals, et al, G.R. 161739 May 4, 2006
Leonor B. Cruz vs. Teofila Catapang,
GR 164110, February 12, 2008

r/: movable property


-replevin

ii. requisite for recovery Art 434


Laluan v. Malana, 65 SCRA 494

iii. presumption of ownership


4

Laluan v. Mendoza, 65 SCRA 480

Other Cases:
Heirs of George Bofill v. CA, 237 SCRA 451
Acap v. CA, 251 SCRA 30
Alfredo Bokingo v. CA, GR 161739; May 4, 2006
Depra v. Dumlao 136 SCRA 475
Spouses Benitez v. CA 266 SCRA 242
Dominica Cutanda v. Heirs of Roberto Cutanda
335 SCRA 418
Oclarit v. CA 233 SCRA 239
Heirs of Vincilao Sr. v. CA 288 SCRA 574
PEZA v. Fernandez 358 SCRA 489
Bongato v. Malvar 387 SCRA 327
Chiao Liong Tan v. CA 228 SCRA 75
Sps. Lydia Flores-Cruz & Reynaldo Cruz vs.
Sps. Leonardo & Illuminada Cruz, et. al
GR 172217; September 18, 2009

D. Limitations of real right of ownership

1. General limitations.
2. Specific limitations
3. Imposed by Previous Owner
4. Imposed by Owner himself
5. Limitation from scattered provisions of the
Civil code. Arts 431, (Sic utere tuo ut
alienum non laedas) 432, 2191,677-679-,670;
649 & 652; 637; 676; 644, 684-687 (as well as
those provided in special Laws, i.e. Water
Code, Zoning ordinances, etc.)

U.S. v. Causby, 328 U.S. 256; 66 Sup. Ct 1062


Lunod v. Meneses, 11 Phil 128
U.S. v. Toribia, 15 Phil 85
Andamo v. Intermediate Appellate Court, G.R. No.
74761, 6 November 1990

III. Right of Accession

A. Concept, Definition, Kinds


B. Requisites – Meneses v. CA, 246 SCRA 162
C. Rights with respect to Immovable Property
D. Rights with respect to Movable Property
E. General Principles of Accession
a. Accessory follows the principal
b. No unjust enrichment
c. Accessory incorporated to principal such that it
cannot be separated without serious damage or
diminution of value Art. 447
d. Bad faith involves liability for damages and other
dire consequences
e. Bad faith of one party neutralizes bad faith of the
other – Art 453
f. Ownership of fruits to owner of principal thing
exceptions:
i. possession in good faith
ii. in usufruct
iii. in lease
iv. in antichresis

F. Rights and Obligation of Owner


5

1. vis-à-vis builder/planter/sower (BPS) in


good/bad faith – Arts 443, 447, 450, 451,
453, 454

2. vis-à-vis third person

Bachrach Motor Co. v. Talisay-Silay Miling Co.


56 Phil. 117
Equatorial Realty Development, Inc. v. Mayfair
Theater 370 SCRA 56
Daclison v. Baytion, G.R. No. 219811, April 6,
2016
Land Bank of the Phils. v. Perez, G.R. No.
166884, June 13, 2012

Pacific Farms Inc. v. Esguerra, 30 SCRA


684
Bernardo v. Bataclan, 66 Phil 590
Mendoza v. De Guzman, 52 Phil 164
San Diego v. Monteza, 6 SCRA 207
Filipinas Colleges Inc. v. CA, 106 Phil
247
Grana & Torralba v. CA, 109 Phil 260
Panlileo v. Mercado,

Agustine v. IAC, G.R. 66075, July 5, 1990


Inter-Regional Dev’t. Corp. v. CA, July
22, 1975 GR L-39677
Ferrer v. Bautista, 231 SCRA 257
Hilario v. City of Manila, 19 SCRA 931
Pecson v. CA, 244 SCRA 407
Pleasantville v. CA, 253 SCRA 10
Javier v. CA, 231 SCRA 498
Baes v. CA 224 SCRA 562
Ronquillo v. CA 195 SCRA 433
Reynante v. CA 207 SCRA 794
Grande v. CA 5 SCRA 524
Heirs of Navarro v. IAC 268 SCRA 74
Republic v. CA 131 SCRA
Binalay v. Manalo 195 SCRA 374
Viajar v. CA 168 SCRA 405
Ballatan v. CA 304 SCRA 34
Geminiano v. CA 259 SCRA 344
Sarmiento V. Agan 129 SCRA 122
Manotok Realty v. Tecson 164 SCRA 587
Technogas Phil. V. CA 268 SCRA 5
Lanzar v. Director of Lands 78 SCRA 130
Santos v. Bernabe 54 Phil 19

IV. Quieting of Title/Removing a Cloud on Title

A. Nature, Purpose, and Basis, Requisites – Arts. 476-481


Uberas v. CFI, 86 SCRA 145
Sapto v. Fabiana, 103 Phil 683
Spouses Benito v. Saquitan-Ruiz 394 SCRA 250
Metropolitan Bank v. Alejo 364 SCRA 812
Robles v. CA 328 SCRA 97
Gapacan v. Omipet 387 SCRA 97
Oblea v. CA 244 SCRA 101
Vda. De Aviles v. CA 264 SCRA 473
Gallar v. Hussain 20 SCRA 186
Pingol v. CA 226 SCRA 118
Titong v. CA 287 SCRA 102
6

Heirs of Juan Oclarit v. CA 233 SCRA 239

V. Co-Ownership

A. Concept, Definition, Characteristics – Art 484


Si v. CA, 342 SCRA 653
Spouses del Campo v. Obesia 160 SCRA 379
Sanchez vs. Court of Appeals, 404 SCRA 541, 547
Gapacan vs. Omnipet, 387 SCRA 383, 392

B. Co-ownership v. partnership Art. 1767

Ona v. Commissioner of Internal Revenue, 45 SCRA 74


Gatchalian v. Collector, 67 Phil 666
Obillas v. Commissioner, 139 SCRA 436

C. Rights of co-owners – Arts 493, 485, 487, 488, 490, 492, 494

Lavadia v. Cosme, 72 Phil. 196


Sering v. Plazo, 166 SCRA 84
Spouses Alfredo & Rosario Mendoza v. Maria Coronel, G.R. 156402; February 13, 2006

D. Limitations on rights – Arts 486, 492, 495

Aguilar v. CA, 227 SCRA 473, 480


De Guia v. CA, 413 SCRA 114, 127

E. Obligations of co-owners – Arts 488, 489, 491


 Pardell v. Bartolome 23 Phil. 450

F. Termination of Co-ownership – Arts 494, 496, 500

Salvador v. CA, 243 SCRA 407


Mercado v. CA, 240 SCRA 616
Caro v. Court of Appeals 113 SCRA 10
Bailon- Casilao v. Court of Appeals 160 SCRA 738
Roque v. Intermediate Appellate Court 165 SCRA 118
Delima v. Court of Appeals 201 SCRA 641
Aguilar v. Court of Appeals 227 SCRA 472
Tomas Claudio Memorial College, Inc. v. Court of Appeals 316 SCRA 502
Robles v. Court of Appeals 328 SCRA 97

VI. The Condominium Law

Condominium Corporation vs. Campos, 104 SCRA 295)


Cardinal Building Owners Asso. Inc. v. Asset Recovery & Mngt. Corp. 495 SCRA 103
Jacobus Bernard Hulst v. PR Builders Inc., GR 156364, Sept. 3, 2007

VII. Waters, Minerals and Trademarks – Arts 502-522, Water


Code

VIII. POSSESSION

A. Definition and concept – Art 522

Possession is the holding of a thing or the enjoyment of a right, whether by material occupation or
by the fact that the thing or the right is subjected to the action of our will.
7

It is a real right independent of and apart from ownership i.e., the right of possessor (possession as
distinguished from the right to possess (jus possidendi)

Rizal Cement Co., Inc. v. Villareal 135 SCRA 15


Wong v. Carpio 203 SCRA 118
Somodio v. Court of Appeals 235 SCRA 307
Maglucot- Aw v. Maglucot 329 SCRA 78
Cequena v. Bolante 330 SCRA 216
Carbonilla, v. Abiera, G.R. No. 177637, July 26, 2010

1. Essential requisites of possession:


a. holding or control of a thing or right (corpus) consists of either

i. the material or physical either


ii. exercise of a right
iii. constructive possession

Ramos v. Dir. Of Lands (39 Phil 175)


Director v. CA (130 SCRA 91)
German Mngt. And Services v. CA 177 SCRA 495

b. intention to possess

2. Degrees of holding possession

a. mere holding or possession without title


whatsoever and in violation of the right of the
owner, e.g., possession of a thief or a usurper
of land

b. possession with juridical title but not that of


ownership e.g., possession of tenant, depository
agent, bailee, trustee, lessee, anticheretic
creditor. This degree of possession will never
ripen into full ownership as long as there is no
repudiation of concept under which property is
held.

c. possession with just title or title sufficient to


transfer ownership, but not from the true owner
e.g. possession of a vendee from vendor who
pretends to be the owner.

This degree of possession may ripen into full


ownership by lapse of time through acquisitive
prescription.

d. possession with just title from the true owner.


The delivery of possession transfers ownership
and strictly speaking, jus possidendi

3. Cases of possession

a. possession by one’s self or possession exercised


in one’s own name, possession in the name of
another – Art. 524

b. possession in the concept of an owner and


possession in the concept of a holder and
ownership belonging to another – Art. 525

c. possession in good faith and possession in bad


faith – Art. 526
8

d. Effect of possession by possession in the concept


of owner

d.1 possession may be lapse of time and be


converted into ownership (subject to
certain exceptions)

Heirs of Placido Miranda v. CA (255 SCRA


386)
Heirs of George Bofill, supra.

d.2 presumption of just title and cannot be


obliged to show or prove it – Art. 541;
exception Art. 1131

d.3 possessor may bring all actions necessary


to protect his possession except accion
reivindicatoria

d.4 may employ self – help under Art. 429

d.5 possessor may ask for inscription of such


real right of possession in the registry of
property

d.6 has right to the fruits and reimbursement


for expenses

d.7 upon recovery of possession which he ahs


been unlawfully deprived may demand fruits
and damages.

d.8 generally he can do on the things possessed


everything that the law authorizes an owner
to do until he is ousted by one who has a
better right.

d.9 possession in good faith and possession in


bad faith – Art. 526

- mistaken upon a doubtful or


difficult question of law as a basis
of good faith – Art. 526, par. 3

Kasilag v. Roque 69 Phil. 217


Tuazon v. Jurilla, 76 SCRA 216
Caram v. Laureta 103 SCRA 7
MWSS v. CA 143 SCRA
Geminiano v. CA 259 SCRA 344

4. Presumption in favor of the possessor

a. good faith until the contrary is proved – Art.


527

b. continuity of initial good faith in which


possession was commenced. Qualification of rule
– Art 528
9

c. of enjoyment of possession in the same character


in which possession was required until contrary
is proved – Art. 529

d. of non-interruption of possession in favor of


present possessor who proves possession at a
previous time until the contrary is proved. (Art.
554, 1120-1124)

e. of continuous possession or non-interruption of


possession of which he was wrongfully deprived,
for all purposes favourable to him – Art. 561

f. other presumptions with respect to specific


properties or property rights:

i. of extension of possession of real


property to all movables contained therein
so long as it is not shown that they
should be excluded; exceptions – Art. 426

ii. non-interruption of possession of


hereditary property – Art 533

iii. possession of movable equivalent to title


– Art 559; recovery of lost movable or
movable of which one has been unlawfully
deprived.

EDCA Publishing v. Santos 184 SCRA 614

iv. in favor of co-possessor – Art. 543

5. What things or rights may be possessed:

- only things or rights susceptible of appropriation


may be the object of possession – Art. 530

6. What may not be possessed by private persons

i. res communes
ii. property of public dominion
iii. discontinuous and/or non-apparent
easements

7. Acquisition of possession

a. Ways of acquiring possession – Art. 531


a.1 material occupation of the thing

- the doctrine of constructive


possession includes constructive
delivery
i. traditio brevi-manu
ii. traditio constitutum
possessorium

a.2 subjection to the action of our will


1. includes traditio longa manu and
tradition simbolica

a.3 proper acts and legal formalities – refers


to the acquisition of possession by
10

sufficient title, inter vivos or mortis


causa, lucrative title, gratuitous or
onerous. Examples: donations, succession
(testate or intestate), contracts, judicial
writs of possession, writ of execution of
judgments, execution and registration of
public instruments.

Banco Espaúolv. Peterson, 7 Phil 409

b. By whom may possession be acquired – Art. 532


b.1 by same person; elements of personal
acquisition
b.2 by his legal representatives; requisites
b.3 by his agent
b.4 by any person without any power whatsoever
but subject to ratification, without
prejudice to proper case of negotiorum
gestio Arts. 2144, 4129, 2150
b.5 qualifiedly minor and incapacitated persons
– Art. 525

c. What do not affect possession – Arts. 5379, 1119


c.1 acts merely tolerated
c.2 acts executed clandestinely and without the
knowledge of the possessor
c.3 acts by violence – Art. 536
Cuaycong v. Benedicta 37 Phil. 781
Estudillo v. PHHC, 73 SCRA 15
Peran v. CFI, 125 SCRA 79

d. Rules to solve conflict of possession – Art. 538

General Rule: Possession cannot be recognized


in two different personalities, except
in cases of co-possession by co-
possessors without conflicting claims
or interest

In case of conflict, preference is given to


d.1 present possessor or actual possessor
d.2 if there be two or more possessors, the one
longer in possession
d.3 if dates of possession are the same, the
one who presents a title
d.4 if all conditions are equal, the thing
shall be placed in judicial deposit pending
determination of possession or ownership
through proper proceedings.

8. Effects of possession
a. In general, every possessor has a right to be
respected in his possession.
a.1 in case he should be disturbed he shall be
protected in and restored to said possession
- actions to recover possession
i. summary proceedings. Forcible entry and
unlawful detainer, writ of preliminary
mandatory injunction in forcible entry
cases within 15 days from filing of
complaint (Art 539)
11

Yu v. Honrada 99 SCRA 273

- the same writ is available in


unlawful detainer actions upon
appeal – Art. 1674

ii. Accion publiciana (based on superior


right of possession not ownership

Bishop of Cebu v. Mangaron 6 Phil 286


Rodriguez v. Taino 16 Phil 301
Magay v. Estandian L-28975 Feb. 1976

iii. Accion revindicatoria (recovery of


ownership)
Bishop of Cebu. supra.

iv. action for replevin (of movable


property) Rules of Court Rule 60 Sec. 1

a.2 possessor can employ self help (Art 429)

b. Effect of possession by possession in the concept


of owner

b.1 possession may, by lapse of time, be


converted into ownership (subject to
certain exceptions)

b.2 presumption of just title and cannot be


obliged to show or prove it. Art. 541;
exception Art. 1131

Heirs of Junicro v. Lizares 17 Phil 112

b.3 possessor may bring all actions necessary


to protect his possession except accion
reivindicatoria

b.4 may employ self help under Art. 429

b.5 possessor may ask for inscription of such


real right or possession in the registry of
property

b.6 has right to the fruits and reimbursement


for expenses

b.7 upon recovery of possession which he has


been unlawfully deprived may demand fruits
and damages

b.8 generally he can do on the things possessed


everything that the law authorizes as owner
to do until he is ousted by one who has a
better right

9. Loss of possession – Art. 555, 556, 557

Aragon v. Insular Government 19 Phil. 223


 Catholic Vicar Apostolic of the Mountain Province V. CA 183 SCRA 639
12

Supapo v. Spouses de Jesus, G.R. No. 198356, April 20, 2015

IX. USUFRUCT

A. Concept – Art. 562

Usufruct is a real right, temporary in character that


authorizes the holder to enjoy all the advantages derived
from a normal exploitation of another’s property, according
to its destination or purpose, and imposes the obligation of
restoring, at the time specified, either the thing itself or
its equivalent.

B. Characteristics of Usufruct

C. Usufruct distinguished from lease, from servitudes

D. Classes of Usufruct

1. By origin: voluntary, legal, mixed

2. By person enjoying right of usufruct: simple,


multiple, simultaneous, successive; limitation on
successive usufruct Art. 756 & 869

3. By object of usufruct: rights- Art. 574, things


(normal, abnormal, irregular or quasi-usufruct)

4. By extent of the usufruct:

4.a As to the fruits: total, partial Art. 564

4.b As to the object: universal Art 564:


pure, conditional, with a term (period)

5. By the terms of usufruct- Art 564; pure,


conditional, with a term (period)

E. Rights of Usufructuary – Arts. 566, 582

Bachrach v. Seifert 87 Phil 483


Seifert v. Bachrach 79 Phil 748

1. As to the thing and its fruits

a. right to possess and enjoy the thing


itself its fruits and accessions
- natural, industrial and civil fruits
- as to hidden treasure, usufructuary
is considered a stranger – Arts 566,
438
- fruits pending at the beginning of
usufruct – Art. 567
- fruits pending at the termination of
usufruct
- civil fruits – Art 568, 569

b. right to lease the thing – Art 572


Fabie v. David, 75 Phil 536
- limitation
13

- liability of the usufructuary-


lessor (Art. 590)
- exceptions to right of leasing the
thing

c. right to improve the thing Art. 579


limitations – Arts. 581, 579, 580

2. As to the legal right of usufruct itself

a. right to mortgage
right of usufruct – Art. 572
exception: parental usufruct – Arts.
321, 323

b. right to alienate the usufruct

F. Rights of naked owner

1. At the beginning of usufruct (Obligations of


usufructuary at the beginning of usufruct

2. During the usufruct


a. retains title to the thing or property
b. he may alienate the property
c. limitations – Art. 581

G. Obligations of the Usufructuary

1. At the beginning of usufruct or before exercising


the usufruct

a. To make inventory- Art 583

a.1 requisites of inventory


i. immovables described
ii. movables appraised
iii. notice to owner
a.2 exception to requirement of inventory
(Art 585)

b. To give a bond for the faithful


performance of duties as usufructuary

b.1 no bond is required in the following


i. no prejudice would result – Art
585
ii. usufruct is reserved by donor –
Art. 584
iii. parents in parental usufruct –
Art. 585, 326
iv. in case of caucion juratoria –
Art. 587

b.2 Effect of filing a bond – Art.


588

b.3 Effect of failure to give bond –


Art. 586, 599

2. During the usufruct


14

a. To take care of the thing like a good


father of a family – Art. 589

b. To undertake ordinary repairs – Art 592


- concept of ordinary repairs

c. To notify owner of need to undertake extra


ordinary repairs – Art. 593
- concept on extra ordinary repairs
- Art. 594 par. 1 – extra-ordinary
repairs shall be at the expense of
owner but when made by owner,
usufructuary pays legal interest on
the amount while usufruct lasts.
- naked owner cannot be complelled
to undertake extra-ordinary repairs.
(if indispensable and owner fails to
undertake extra-ordinary repairs,
may be made usufructuary;
usufructuary’s right – Art. 594 par.
1

d. To pay for annual charges and taxes and


taxes on the fruits.

e. To notify owner of any act detrimental to


ownership – Art. 601

f. To shoulder the cost of litigation re:


usufruct – Art. 602

g. To answer for fault or negligence of


alienee, lessee, or agent of usufructuary
– Art. 690

3. At the termination of usufruct


1. To deliver the thing in usufruct to the
owner in the condition in which he has
received it.
- exception: abnormal usufruct

H. Special cases of usufruct


1. Usufruct over a pension or periodical income –
Art. 570
2. Usufruct of property owned in common. – Art. 582
3. Usufruct of head of cattle – Art. 591
4. Usufruct over vineyards and woodlands – Arts. 575
& 576
5. Usufruct on a right of action – Art. 578
6. Usufruct on mortgaged property. – Art. 600
7. Usufruct over an entire patrimony – Art. 598
8. Usufruct over deteriorable property – Art. 573
9. Usufruct over consumable property (or quasi-
usufruct) – Art. 574

I. Extinguishment of usufruct – Art. 603

1. Death of usufructuary. Exceptions: Arts. 611,


606
2. Expiration of period or fulfullment of resolutory
conditions imposed on usufruct by person
constituting the usufruct.
15

3. Merger of rights of usufruct and naked ownership


in one person.
4. Renunciation of usufructuary

Limitations:
- must be express
- if made in fraud of creditors,
waiver may be rescinded by them
through action under Art. 1381.

5. Extinction or loss of property

a. If destroyed; property is insured before


the termination of the usufruct (Art. 608)

a.1 when insurance premium paid by owner


and usufructuary ( Art. 608 par. 1)

i. if owner rebuilds, usufruct


subsists on new building
ii. if owner does not rebuild,
interest on insurance proceeds
paid to usufructuary

a.2 when insurance taken by owner only,


because usufructuary refuses (Art. 608
par. 2)

i. owner entitled to insurance


money (no interest paid to
usufructuary)
ii. if he does not rebuild, usufruct
continue remaining in land and
materials or owner pays interest
on value of both
iii. if owner rebuilt, usufruct does
not continue on new building,
but owner must pay interest on
land and old materials.

a.3 when insurance taken by usufructuary


only depends on value of
usufructuary’s insurable interest (not
provided for in Civil Code)

i. insurance proceeds to the


usufructuary
ii. no obligation to rebuild
iii. usufruct continues on the land
iv. owner does not share in
insurance proceeds.

b. If destroyed; property is not insured


(Art. 607)

b.1 if building forms part of an immovable


under usufruct

i. if owner does not rebuild,


usufruct continues over the land
and materials.
ii. if owner rebuilds, usufructuary
must allow owner to occupy the
16

land and to make use of


materials but owner must pay
interest on value of both the
land and materials.

6. Termination of right of person constituting the


usufruct

7. Prescription

Cases covered:
If third party acquires ownership of thing or
property in usufruct or right of ownership lost
through prescription, or right of usufruct not
begun within prescription period, or if there is
a tacit abandonment or non-user of thing held in
usufruct for required period.

8. What do not cause extinction of usufruct

a. Expropriation of thing in usufruct (Art.


609)

b. Bad use of thing in usufruct (Art. 610):


owner’s right

Cases:
Vda. de Aranas v. Aranas 150 SCRA 415
Locsin v. Valenzuela 173 SCRA 454

X. EASEMENTS OR SERVITUDES

A. Definition-

Real Easement Art. 613


Personal Easement Art. 614

B. Essential features of easements or real servitudes

1. It is a real right.

2. It is a right enjoyed over another property (jus in


re aliena) i.e. it cannot exist in one’s own property
(nulli res sua servit).

3. It is a right constituted over an immovable by


nature (land and buildings), not over movables or
other immovables in Art. 415.

4. It limits the servient owner’s right of ownership


for the benefit of the dominant estate. Being an
abnormal limitation of ownership, it cannot be
presumed.

5. It creates a relation between tenements.

6. It cannot consist in requiring the owner of the


servient estate to do an act. (servitus in
faciendo consistere requil) unless the act is
17

accessory to a praedial servitude (obligation


propter rem)

7. Generally, it may consist in the owner of the


dominant estate demanding that the owner of the
servient estate refrain from doing something
(servitus in non faciendo) or that the latter
permit that something be done over the servient
property (servitus in patendo) but not in the
right to demand that the owner of the servient
estate obligation to a predial servitude
(obligation propter rem).

8. It is inherent or inseparable from estate to which


they actively or passively belong (Art 617)

9. It is intransmissible, i.e., it cannot be


alienated separately from the tenement affected
or benefited.

10. It is indivisible (Art. 618)

11. It has permanence, i.e. once it attaches, whether


used or not, it continues and may be used at
anytime.

C. Classifications of Servitudes

1. As to recipient of benefits

a. Real
b. Personal (Art 614)

2.As to source of origin:

a. legal, whether for public use or for the


interest of private persons (Art. 634)
b. voluntary

3. As to its exercise (Art. 615)

a. Apparent
b. Non-apparent

4. As indication of its existence (Art. 615)

a. positive
b. negative

D. General rules relating to servitudes

1. No one can have a servitude over his own property


(nulli res sua servit)

2. A servitude cannot consist in doing (servitus in


faciendo consistere nequit)

3. There cannot be a servitude over another servitude


(servitus servitudes esse non postes)
18

4. A servitude must be exercised civiliter, i.e., in


a way least burdensome to the owner of the land.

Quimen vs. CA, 257 SCRA 163


Francisco vs. IAC, 177 SCRA 527
Floro vs. Llenado, 244 SCRA 713

5. A servitude must have a perpetual cause.

E. Modes of acquiring easements.

1. By title – juridical act which gives rise to the


servitude, e.g., law, donations, contracts or wills.

Manila Electric Co. vs. IAC, GR 71393, 6/28/89

a. if easement has been acquired but no proof of


existence of easement is available, and easement is
one that cannot be acquired by prescription – then:

- may be cured by deed of recognition


by owner of servient estate, or
- by final judgment
- existence of an apparent sign
considered a title
(Amor v. Florentina, 74 Phil.
541)

2. By prescription

F. Rights and Obligations of Owners of Dominant and Servient


Estates

1. Rights of owner of dominant estate

a. to use the easement (Art 626) and exercise all


rights necessary for its use (art 625)
b. to do at his expense, all necessary works for the
use and preservation of the easement (Art 627)

2. Obligations of the owner of dominant estate:

a. to use the easement for benefit of immovable and


in the manner originally established (Art 626)
b. to notify owner of servient estate before making
repairs and to make repairs in a manner least
inconvenient to servient estate (Art 627)
c. not to alter easement or render it more burdensome
(Art. 627)
d. to contribute to expenses of works necessary for
use and preservation of servitude, if there are
several dominant estates unless he renounces his
interest (Art 628)

3. Rights of owner of servient estate

a. to retain ownership and use of his property (Art


630)
b. to change the place and manner of use the easement
(Art 629, par 2)

4. Obligations of owner of servient estate


19

a. not to impair the use of the easement (Art 628, par


1)
b. to contribute proportionately to expenses if he
uses the easement (Art 628, par 2)

G. Modes of Extinguishment of Easements

1. Merger - must be absolute, perfect and definite


not merely temporary
2. By non-user for 10 years

Computation of the period

a. discontinuous easements; counted from the


day they ceased to be used.
b. Continuous easements; counted from the day
an act adverse to the exercise took place.
3. The use by a co-owner of the dominant estate bars
prescription with respect to the others (Art 633)
4. Servitudes not yet exercised cannot be extinguished by
non-user
5. Extinguishment by impossibility of use
6. Expiration of the terms or fulfillment of resolutory
condition
7. Renunciation of the owner of dominant estate – must be
specific, clear, express (distinguished from non-user)
8. Redemption agreed upon between the owners
9. Other causes not mentioned in Art 631

a. Annulment or rescission of the title


constituting the easement
b. termination of the right of grantor
c. abandonment of the servient estate
d. eminent domain
e. special cause for extinction of legal
rights of way: if right of way no long
necessary (Art 655)

H. Legal Easements

1. Law governing legal easements

a. for public legal easements

a.1 special laws and regulations relating


thereto, e.g., PD 1067; PD 705

a.2 by the provisions of Chapter 2, Title VII,


Book II, New Civil Code

b. for private legal easements

b.1 by agreement of the interested parties


whenever the law does not prohibit it and
no injury is suffered by a third person

b.2 by the provisions of Chapter 2, Title VII


Book II
20

2. Private Legal Easements provided for by the New


Civil Code

a. Those established for the use of water or


easements relating to waters (Art. 637-648)
b. The easement of right of way (Arts. 649-657)
c. The easement of party wall (arts 658-666)
d. The easement of light and view (Art 667-673)
e. The easement of drainage of buildings (Arts 674-
676)
f. The easement of distances for certain
constructions and plantings (arts 677-681)
g. The easement against nuisances (arts 682-683)
h. The easement of lateral and subjacent support
(Arts 684-687)

I. Additional cases:
Valisno v. Adriano 161 SCRA 398
Ronquillo, et al. v. Roco, et al. 103 Phil. 84
Tanedo v. Bernad 165 SCRA 86
Costabella Corporation v. Court of Appeals 193 SCRA 333
Encarnacion v. Court of Appeals 195 SCRA 74
Case v. Heirs of Tuason 14 Phil. 521
Choco v. Santamaria 21 Phil. 132
Solid Manila Corporation v. Bio Hong Trading Co., Inc.
195 SCRA 748
Floro v. Llendo 244 SCRA 713
Quimen v. Court of Appeals 257 SCRA 163
De Jesus, et al. v. Howmart Corp., et al. 12 CA Rep. 831
La Vista Association, Inc. v. Court of Appeals 278 SCRA
498
Alcantra v. Reta, Jr. 372 SCRA 364
Prosperity Credit Resources, Inc. v. Court of Appeals 301
SCRA 52
Villanueva v. Velasco 346 SCRA 99
National Irrigation Administration v. Court of Appeals
440 SCRA 661

XI. NUISANCE

A. Definition – Art 694

B. Classification of Nuisances (Art 695)


Per accidens v. per se
Public v. private
El Deposito v. Lood 47 SCRA 174
City of Manila v. Garcia, L-26053, Feb. 1967
Hidalgo Enterprises v. Balandan, L-3422, June 13, 1952

C. Liability of Nuisance Creator

D. Effect of Lapse of Time – Art 698


Ongsiako v. Ongsiako, L-7510, March 30, 1957

E. Remedies

a. Against a Public Nuisance – Arts 699-704


b. Against a Private Nuisance – Arts 705-707

Cases:
Rana v. Wong, G.R. No. 192861-62, 30 June 2014
Republic v. Tan, G.R. No. 199537, 10 February 2016
21

Cruz v. Pandacan Hiker’s Club, Inc., G.R. No. 188213,


January 11, 2016

BOOK THREE – Different Modes of Acquiring Ownership

A. Theory of Mode and Title

CASE:
Acap v. Court of Appeals 251 SCRA 30

Title 1 – Occupation(Arts. 713-720)


A. Requisites

Title 2 – Intellectual Creation (Arts. 721-724)

Title 3 – Donation
Title 4 – Prescription
1. Acquisitive Prescription
2. Extinctive Prescription
3. Laches
4. Prescription of Ownership and Other Real Rights (Arts. 1117-1138)
5. Prescription of Actions (Arts. 1139-1155)

CASES:

James v. Eurem Realty Development Corp., G.R. No. 190650, October 14,
2013

DONATION

I. Definition – 725

II. Essential Requisites of Donation

a. requisites of a valid contract


b. formal requisite/s – 748, 749
c. consent / acceptance of donee – 745, 746,
747
d. irrevocability
e. animus donandi
f. resultant decrease in the assets

III. Classification of Donation

a. simple
b. remuneratory – kinds; effect of illegal or
impossible conditions – 727
c. onerous - 733
d. inter vivos – 729, 731
- characteristics
- governing law - 732
- effect of a suspensive condition -
730
-
e. propter nuptias
f. mortis causa
- Characteristics
- Governing Law

IV. Who may be donors – 735, exception 736, 752

V. Who may be donees – 738, 741, 742 exception 740, 752


22

VI. What may be donated – 750; exception 751, 755

VII. Perfection of Donation – 737, 734

VIII. Void donations – 739; 743

IX. Inofficious donations – 760 & 761; 771 & 752

X. Double Donation – 744; 1544

XI. Revocation and Reduction of Donations

a. Revocation vs. reduction

b. Who can ask for reduction/revocation - 772;


intransmissible right 770

c. Grounds- 760, 764, 765

d. Reason for revocation / reduction

e. Extent of reduction – 761, 771; exception


(ingratitude) 766 – relate 769 ; right of
donor – 767;

f. Procedure to be followed by donee – 762,


768
- fruits: 760, 764, 771

g. Prescription period – 763, 764, 769

Cases:
De Luna v. Abrigo 181 SCRA 150
Reyes v. Mosqueda 187 SCRA 661
Liguez v. Court of Appeals 102 Phil. 577
Pershing tan Queto v. Court of Appeals 148 SCRA 54
Pijarillo v. Intermidiate Appellate Court 176 SCRA 340
Cruz v. Court of Appeals 140 SCRA 245
Roman Catholic Archbishop of Manila v. Court of Appeals 198
SCRA 300
Eduarte v. Court of Appeals 253 SCRA 391
Quilala v. Alacntara 371 SCRA 311
Hemedes v. Court of Appeals 316 SCRA 347
Siguan v. Lim 318 SCRA 725
Noceda v. Court of Appeals 316 SCRA 504
Heirs of Cesario Velasquez v. Court of Appeals 325 SCRA 552
Gonzales v. Court of Appeals 358 SCRA 393
Imperial v. Court of Appeals 316 SCRA 393
Republic v. Silim 356 SCRA 1
Gestopa v. Court of Appeals 342 SCRA 105
Carinan v. Spouses Cueto, G.R. No. 198636, October 8, 2014
Calanasan v. Spouses Dolorito, G.R. No. 171937, November 25,
2013
Victoria v. Pidlaoan, G.R. No. 196470, April 20, 2016
Heirs of Gozo v. Philippine Union Mission Corp. of the Seventh
Day Adventist Church, G.R. No. 195990, August 5, 2015

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