PROPERTY

REGIMES
ABSOLUTE COMMUNITY
OF
PROPERTY
When is it Mandatory?
There is no marriage
settlement
There is no marriage
settlement but it is void
EFFECTS OF WAIVER

Before the Marriage

During the Marriage
After Dissolution of Marriage
 Properties Included
Article 91
All properties owned by the spouses at the
time of the celebration of the marriage
Properties acquired thereafter

Article 92
Property acquired during marriage
 Properties Excluded
Property excluded from absolute community of property in the
marriage
Property acquired during the marriage by gratuitous title by
either spouse, and the fruits as well as the income thereof, if
any, unless it is expressly provided by the donor, testator or
grantor that they shall form part of the community property.
Property for personal and exclusive use of either spouse.
However, jewelry shall form part of the community property.
Property acquired before the marriage by either spouse who
has LEGITIMATE DESCENDANTS by a former marriage, and
the fruits as well as the income, if any, of such property.
 Liabilities and Charges
Art. 94. The absolute community of
property shall be liable for:

a. The support of the spouses, their

common children, and legitimate
children of either spouse;

b. All debts and obligations contracted

by one spouse with the consent of the
other;
 Liabilities and Charges
c. Debts and obligations contracted by
either spouse without the consent;

d. All taxes, liens, charges and

expenses;

e. All taxes and expenses for mere

preservation;

f. Expenses for self-improvement;

 Liabilities and Charges
g. Ante-nuptial debts of either spouse insofar as
they have redounded to the benefit of the family;

h. The value of what is donated or promised by

both spouses;

i. Ante-nuptial debts of either spouse other than

those falling under paragraph (7) of this Article;

j. Expenses of litigation between the spouses

unless the suit is found to be groundless.
 Liabilities and Charges
NOTES:
1. If the community property is insufficient to cover
the foregoing liabilities, except those falling under
paragraph (9), the spouses shall be solidarily liable
for the unpaid balance with their separate
properties.
2. Art. 95. Whatever may be lost during the
marriage in any game of chance, betting,
sweepstakes, or any other kind of gambling,
whether permitted or prohibited by law, shall be
borne by the loser and shall not be charged to the
community but any winnings therefrom shall form
part of the community property.
 ADMINISTRATION
GENERAL RULE:
Art. 96. The administration and enjoyment of
the community property shall belong to both
spouses jointly.
( Matthews v. Taylor, G.R. No. 164584, June 22,
2009)

EXCEPTIONS:
a. In case of disagreement, the husband's decision shall
prevail.
b. In the event that one spouse is incapacitated,
 DISPOSITION
Art. 97. Either spouse
may dispose by will of
his or her interest in
the community
property.
 DONATION OF COMMUNAL
PROPERTY, PROHIBITED
GENERAL RULE:
Art. 98. Neither spouse may donate any
community property without the consent of the
other.

EXCEPTIONS:
a. make moderate donations from the
community property for charity
b. make moderate donations from on
occasions of family rejoicing or family distress
 EFFECT OF SEPARATION DE
FACTO
Art. 100. The separation in fact between husband
and wife shall not affect the regime of absolute
community except that:

a. The spouse who leaves the conjugal home or

refuses to live therein, without just cause;
b. When the consent of one spouse to any
transaction of the other is required by law;
c. In the absence of sufficient community property,
the separate property of both spouses shall be
solidarily liable for the support of the family.
 LIQUIDATION
Art. 102. Upon dissolution of the absolute
community regime, the following procedures
shall apply:

a.An inventory shall be prepared;

b.The debts and obligations of the absolute

community shall be paid out of its assets;
 LIQUIDATION
c. Whatever remains of the exclusive properties of
the spouses shall thereafter be delivered to each of
them;

d. The net remainder of the properties of the

absolute community shall constitute its net assets;

e. The presumptive legitimes of the common children

shall be delivered upon partition;

f. Unless otherwise agreed upon by the parties

 LIQUIDATION
Art. 103. 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.

If no judicial settlement proceeding is instituted, the

surviving spouse shall liquidate the community
property either judicially or extra-judicially within six
months from the death of the deceased spouse.
 LIQUIDATION
Art. 104. Whenever the liquidation of the community
properties of two or more marriages contracted by
the same person before the effectivity of this Code is
carried out simultaneously.
 CONJUGAL
PARTNERSHIP
OF
GAINS
 What is the conjugal partnership of
gains?
is one of the property relations between the
spouses, under which the husband and wife place
in a common fund the proceeds, products, fruits
and income from their separate properties and
those acquired by either or both spouses through
their efforts or by chance, and, upon dissolution of
the marriage or of the partnership, the net gains or
benefits obtained by either or both spouses shall
be divided equally between them(General rule),
unless otherwise agreed in the marriage
settlements.
 CONCEPT
Properties covered by the Conjugal
Partnership: (Art. 106)

1. the proceeds, products, fruits and

income from their separate
properties; and
2. those acquired by either or both
spouses through their efforts or by
chance.
 CONJUGAL PARTNERSHIP
a. No juridical capacity
b. Regulated generally by law
c. Generally managed by the
husband
d. Purpose is not particularly
for profit
e. Few grounds for dissolution
ORDINARY PARTNERSHIP
a. Has juridical capacity
b. Regulated by agreement
between the parties and only
subsidiarity by law
c. Management depends upon
the stipulation of the parties
d. Purpose is for profit
e. Many grounds for
dissolution
 LAW THAT GOVERN OR APPLY
Art. 108 - The conjugal partnership shall
be governed by the rules on the contract
of partnership in all that is not in conflict
with what is expressly determined in this
Chapter or by the spouses in their
marriage settlements.
 Commencement (Art.88)
-shall begin at the moment that the marriage
is celebrated. Any stipulation, express or
implied, for the commencement of the
community regime at any other time shall be
void.
 Can a spouse waive his/her right, interest or share in
the community property during marriage? (Art 89)

No. Except in case of judicial separation of

property, any waiver of rights, shares and
interest of the absolute community of property
during the marriage can be made in
accordance with Art. 77 FC.

*The creditors of the spouse who made such

waiver may petition the court to rescind the
waiver to the extent of the amount sufficient to
cover the amount of their credits.
 COMPONENTS
Art. 116 All property acquired
during the marriage is presumed
to be conjugal unless the
contrary is proved

*The presumption can only be

overcome by strong, clear and
convincing evidence.
 PROPERTIES INCLUDED
(1)Those acquired by onerous title during the
marriage at the expense of the common fund, whether
the acquisition be for the partnership, or for only one
of the spouses;

(2) Those obtained from the labor, industry, work or

profession of either or both of the spouses;

(3) The fruits, natural, industrial, or civil, due or

received during the marriage from the common
property, as well as the net fruits from the exclusive
property of each spouse;
 PROPERTIES INCLUDED
(4) The share of either spouse in the hidden treasure which the
law awards to the finder or owner of the property where the
treasure is found;

(5) Those acquired through occupation such as fishing or

hunting;

(6) Livestock existing upon the dissolution of the partnership in

excess of the number of each kind brought to the marriage by
either spouse; and

(7) Those which are acquired by chance, such as winnings

from gambling or betting. However, losses therefrom shall be
borne exclusively by the loser-spouse.
 What is the rule in case of purchase by
instalment? Art. 118
Property bought on instalment paid partly
from exclusive funds of either or both
spouses and partly from conjugal 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.
In either case, any amount advanced by
the partnership or by either or both spouses
shall be reimbursed by the owner or
owners upon liquidation of the partnership.
 What is the rule in case a spouse has a credit
payable to him over time? (Art. 119)
Whenever an amount or credit payable within a
period of time belongs to one of the spouses,
the sums which may be collected during the
marriage in partial payments or by installments
on the principal shall be the exclusive property
of the spouse. However, interests falling due
during the marriage on the principal shall
belong to the conjugal partnership.
 What is the rule if improvements are made on that exclusive
property using conjugal funds or through the acts or efforts of
either or both spouses? (Art. 120)
*It is important to determine which is bigger or greater in value
The value of the property just before the improvement was
made;
or
Its value after the improvement including the cost

If property is > cost of improvements= owned by the owner

spouse =>
reimbursement
If improvement is > property = belongs to the conjugal
partnership =>
reimbursement
 PROPERTIES EXCLUDED
Exclusive Property of Each Spouse Art. 109
Art. 109. The following shall be the exclusive property of each
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. (148a)
 PROPERTIES EXCLUDED
Art. 113
Donations or left by will to the spouses, shall be divided equally
or in accordance with the will

Art. 114
If the donations are onerous, the amount of the charges shall
be borne by the exclusive property of the donee spouse,
whenever they have been advanced by the conjugal
partnership of gains. (151a)

Art. 115
Retirement benefits, pensions, annuities, gratuities, usufructs
and similar benefits shall be governed by the rules on
gratuitous or onerous acquisitions as may be proper in each
case. (n)
*depends on the reason of payments
 What are the charges upon and obligations of the
conjugal partnership?
Art. 121
The conjugal partnership shall be liable for:
(1) Support
spouse, their
common children, and the
legitimate children of either spouse;

(2) Debts and obligations

Contracted during the marriage by the designated
administrator-spouse for the benefit of the family,
Contracted by both spouses or
Contracted by one of them with the consent of the other

(3) Debts and obligations without marital consent

Provided that the family was benefited;
 What are the charges upon and obligations of the
conjugal partnership?
4) All taxes, liens, charges, and expenses, including
major or minor repairs upon the conjugal partnership
property;

(5) All taxes and expenses for mere preservation

made during the marriage upon the separate property
of either spouse;

(6) Education or Self-improvement (Spouses)

(7) Ante-nuptial debts of either spouse insofar as they

have redounded to the benefit of the family;
 What are the charges upon and obligations of the
conjugal partnership?
(8) Donations or those promised to the common legitimate
children for;
Professional courses or
Vocational course
Any other activity for self-improvement; and

(9) Expenses of litigation between the spouses unless the

suit is found to groundless.
If groundless, the spouse suing shall pay the expenses
*insufficiency to cover the liabilities, the spouses shall be
solidarily liable for the unpaid balance with their separate
properties. (161a)
 What shall not be charged against the conjugal
partnership? (Art. 122)
Debts incurred before or during marriage except when it
benefited the family

Fines and pecuniary indemnities

However, if separate property is insufficient, the conjugal

partnership property shall be liable, subject to two
conditions:
The obligation of and charges upon the conjugal
partnership shall have
been covered; and
There must be reimbursement during liquidation
 What is the rule in case of winnings or
losses in gambling? (Art. 123)
Any loss incurred by a spouse during the
marriage in any kind of gambling, shall be
borne by that spouse, and shall not be charged
to the conjugal partnership.

Any winnings though, shall form part of the

conjugal partnership property.
 Administration of
conjugal partnership of property
Art. 96 and Art. 125-125
Administration and enjoyment: shall belong to both
spouses JOINTLY
Disagreement: Husbands decision will prevail but
subject to recourse to the courts by the wife for a
proper remedy
Within 5 years from the date of the contract
implementing such decision
Incapacitated: sole powers to other spouse
Excp: power of disposition or encumbrance w/o the
authority of the court or written consent of other
spouse
Absence of authority/consent: VOID
Continuing offer: acceptance by other
spouse/authorization by the court before offer is
withdrawn
 Art. 125
Cannot donate w/o consent of the other
spouse
But may w/o consent of other make
MODERATE DONATIONS
For charity or on occasions of family
rejoicing or family distress
 Administration
of
Exclusive Property
 Transfer of Administration
Art. 110 FC
Either spouse may, DURING the marriage
transfer the administration of his exclusive
property
Public instrument
Civil registry of property
NOTE: power to encumber, alienate or
dispose-not impaired by such transfer of
management
 Art. 111 FC
Of age: mortgage, encumber, alienate or
dispose
EXCLUSIVE PROPERTY
w/o consent
Appear alone in court
 Art. 112 FC
Alienation of any exclusive property
administered by the other
AUTOMATICALLY terminates
Proceed turned over to owner-spouse
 DISPOSITION
of
conjugal partnership
 Disposition
of
exclusive property Art. 110
 DISSOLUTION Art. 126
FC
1.) upon death of either spouse;
2.) when there is a decree of legal separation;
3.) when the marriage is annulled or declared
void;
In case of judicial separation of property during
the marriage under articles 134 to 138.
 Separation in fact Art. 127 FC
1.) the spouse who leaves the conjugal home or refuses to live
therein, without just cause shall not have the right to be supported;

2.) when the consent of one spouse to any transaction of the other
is required by law, judicial authorization shall be obtained in a
summary proceeding;

3.) in the absence of sufficient conjugal partnership property, the

separate property of both spouses shall be solidarily liable for the
support of the family. The spouse present shall, upon petition in a
summary proceeding, be given judicial authority to administer or
encumber any specific separate property of the other spouse and
use the fruits or proceeds thereof to satisfy the latters share.
 Art. 128 FC
Without just cause or fails to comply with his or her
obligations: petition of receivership; for judicial
separation of property or for authority to be the sole
administrator of the conjugal partnership property subject
to precautionary conditions as the court may impose.

Marital, parental or property relations

Left conjugal dwelling without intention of returning

3 months; failed to within period to give any information

on whereabouts shall be prima facie
 Liquidation
Art. 129 upon dissolution:

1.) an inventory shall be prepared, listing separately all the

properties of the conjugal partnership and the exclusive properties
of each spouse;

2.) amounts advanced by the conjugal partnership in payment of

personal debts and obligations of either spouse shall be credited
to the conjugal partnership as an asset thereof;

3.) each spouse shall be reimbursed for the use of his or her
exclusive funds in the acquisition of property of for the value of his
or her exclusive property, the ownership of which has been vested
by law in the conjugal partnership;
4.) the debts and obligations of the conjugal partnership shall be paid
out of the conjugal assets. In case of insufficiency of said assets, the
spouses shall be solidarily liable for the unpaid balance with their
separate properties, in accordance with the provisions of paragraph 2
of Art. 121

5.) whatever remains of the exclusive properties of the spouses shall

thereafter be delivered to each of them.

6.) unless the owner had been indemnified from whatever source, the
loss or deterioration of movables used for the benefit of the family,
belonging to either spouse, even due to fortuitous event, shall be paid
to said spouse from the conjugal funds, if any.

7.) the net remainder of the conjugal partnership shall constitute the
profits, which shall be divided equally between husband and wife,
unless a different proportion or division was agreed upon in the
marriage settlements or unless there has been voluntary waiver or
forfeiture of such share as provided in this code.
8.) The presumptive legitimes of the common
children shall be delivered upon partition in
accordance with Art. 51.

9.) In the partition of the properties, the conjugal

dwelling and the lot on which it is situated shall,
unless otherwise agreed upon by the parties, be
adjudicated to the spouse with whom the majority of
the common children choose to remain. Children
below the age of 7 years are deemed to have chosen
the mother, unless the court has decided otherwise.
In case there is no such majority, the court shall
decide, taking into consideration the best interests of
said children.
 When may it take place?
Agreement of the future spouses in the marriage settlement
Previous marriage has been terminated by death of one
spouses and the surviving spouse contracts a subsequent
marriage without subjecting the absolute community or the
conjugal of gains in said previous marriage to liquidation
within a period of one year from death of the spouse
Upon the finality of decree of legal separation
When court approves the joint petition of the spouses for
the voluntary dissolution of their absolute community or
conjugal of gains
When the courts decrees the separation of property of the
spouses following a petition filed by one of the spouses for
such separation under the grounds enumerated in Article
135
 Two (2) Ways

1) By filing a petition for legal

separation
2) By filing a petition for
separation of property, either
voluntarily or for sufficient
cause
 ARTICLE 135
(grounds for separation of property)
Civil interdiction
 ARTICLE 135
(grounds for separation of property)
Civil interdiction

Absentee
 ARTICLE 135
(grounds for separation of property)
Civil interdiction

Absentee

Loss of parental authority

 ARTICLE 135
(grounds for separation of property)
Civil interdiction

Absentee

Loss of parental authority

Abandonment
 ARTICLE 135
(grounds for separation of property)
Civil interdiction

Absentee

Loss of parental authority

Abandonment

Abuse of power of administration

 ARTICLE 135
(grounds for separation of property)
Civil interdiction

Absentee

Loss of parental authority

Abandonment

Abuse of power of administration

Separated in fact
 ARTICLE 135
(grounds for separation of property)
Civil interdiction

Absentee

Loss of parental authority

Abandonment

Abuse of power of administration

Separated in fact

Voluntary dissolution un der Art. 136

 ARTICLE 135 Article 141
(grounds for separation of property) (Revival of former property regime)

Civil interdiction

Absentee

Loss of parental authority

Abandonment

Abuse of power of administration

Separated in fact

Voluntary dissolution un der Art. 136

 ARTICLE 135 Article 141
(grounds for separation of property) (Revival of former property regime)

Civil interdiction When it terminates

Absentee

Loss of parental authority

Abandonment

Abuse of power of administration

Separated in fact

Voluntary dissolution un der Art. 136

 ARTICLE 135 Article 141
(grounds for separation of property) (Revival of former property regime)

Civil interdiction When it terminates

Absentee When the absentee spouse reappears

Loss of parental authority

Abandonment

Abuse of power of administration

Separated in fact

Voluntary dissolution un der Art. 136

 ARTICLE 135 Article 141
(grounds for separation of property) (Revival of former property regime)

Civil interdiction When it terminates

Absentee When the absentee spouse reappears

Loss of parental authority

When parental authority is judicially restored

Abandonment

Abuse of power of administration

Separated in fact

Voluntary dissolution un der Art. 136

 ARTICLE 135 Article 141
(grounds for separation of property) (Revival of former property regime)

Civil interdiction When it terminates

Absentee When the absentee spouse reappears

Loss of parental authority

When parental authority is judicially restored

Abandonment
Resumption of common life with eat other

Abuse of power of administration

Separated in fact

Voluntary dissolution un der Art. 136

 ARTICLE 135 Article 141
(grounds for separation of property) (Revival of former property regime)

Civil interdiction When it terminates

Absentee When the absentee spouse reappears

Loss of parental authority

When parental authority is judicially restored

Abandonment
Resumption of common life with eat other

When the court authorizes the resumption of

Abuse of power of administration the power of administration

Separated in fact

Voluntary dissolution un der Art. 136

 ARTICLE 135 Article 141
(grounds for separation of property) (Revival of former property regime)

Civil interdiction When it terminates

Absentee When the absentee spouse reappears

Loss of parental authority

When parental authority is judicially restored

Abandonment
Resumption of common life with eat other

When the court authorizes the resumption of

Abuse of power of administration the power of administration

When the court authorizes the resumption of

Separated in fact the power of administration

Voluntary dissolution un der Art. 136

 ARTICLE 135
(grounds for separation of property)
Civil interdiction
Absentee
Loss of parental authority
Abandonment
Abuse of power of administration
Separated in fact
Voluntary dissolution un der Art. 136
Article 141
(Revival of former property regime)
When it terminates
When the absentee spouse reappears
When parental authority is judicially restored
Resumption of common life with eat other
When the court authorizes the resumption of
the power of administration
When the court authorizes the resumption of
the power of administration
Revival of former property regime ( no
voluntary separation of property may
thereafter be granted; the revival shall be
governed by Art. 67)
Regime of Complete Separation of Property

Each spouse shall own, dispose

of, possess, administer and enjoy
his or her own separate property,
whether acquired prior to the
marriage or during the marriage,
without need of the consent of the
other.
 Liabilities and Charges

Article 146 of the Family Code:

BOTH SPOUSES shall bear the FAMILY
EXPENSES in proportion to their income,
or, in case of insufficiency or default
thereof, to the current market value of
their SEPARATE PROPERTY
The liability of both spouse to creditors for
family expenses shall, however, be
solidary
Yao v. Perello G.R. No. 153828

The only time the separate properties of

the spouses can be made to answer for
liabilities to creditors is when the
liabilities are incurred for family
expenses.
 Administration/Disposition
Article 145 of the Family Code:
The administration of all classes of exclusive
property of either spouse may be transferred
by the court to another spouse:
1. When one spouse becomes the guardian
of the other;
2. When one spouse is judicially declared
an absentee;
3. When spouse is sentenced to a penalty
which carries with it civil interdiction; or
 Administration/Disposition
4. When one spouse becomes a fugitive
from justice, or is hiding as an acused in a
criminal case.

If other spouse is not qualified by reason of

incompetence, conflict of interest, or any
other just cause, the court shall appoint a
suitable person to be the administrator.
 SEPARATION
OF
PROPERTY
DURING THE MARRIAGE
PROCEDURE
 Article 134

Separation of property between spouses

during the marriage shall not take place
except by JUDICIAL ORDER! Or without
judicial conferment when there is an express
stipulation in marriage settlements.
(Agapay vs. Palang 85 S 145)
 Article 136

Voluntary Separation
-spouses may agree on the separation of
their absolute community property regime or
their conjugal partnership of gains
-effective upon court approval otherwise void
-must not contrary to public policy
 Article 139
-The petition for separation of property and the final
judgment granting the same shall be recorded in the
proper local civil registries of properties.

What registries are involved?

- Both the local civil registry and the registries of
property (where the property is located).
PROPERTY REGIME
OF
UNIONS WITHOUT
MARRIAGE
 Article 147
When a man and a woman who are capacitated to marry each other, live exclusively
with each other as husband and wife without the benefit of marriage or under a void
marriage, their wages and salaries shall be owned by them in equal shares and the
property acquired by both of them through their work or industry shall be governed
by the rules on co-ownership. In the absence of proof to the contrary, properties
acquired while they lived together shall be presumed to have been obtained by their
joint efforts, work or industry, and shall be owned by them in equal shares. For
purposes of this Article, a party who did not participate in the acquisition by the other
party of any property shall be deemed to have contributed jointly in the acquisition
thereof if the former's efforts consisted in the care and maintenance of the family and
of the household. Neither party can encumber or dispose by acts inter vivos of his or
her share in the property acquired during cohabitation and owned in common,
without the consent of the other, until after the termination of their cohabitation.
When only one of the parties to a void marriage is in good faith, the share of the
party in bad faith in the co-ownership shall be forfeited in favor of their common
children. In case of default of or waiver by any or all of the common children or their
descendants, each vacant share shall belong to the respective surviving
descendants. In the absence of descendants, such share shall belong to the
innocent party. In all cases, the forfeiture shall take place upon termination of the
cohabitation.
 Applicability of the Article
For Article 147 to operate, 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.

(Mercado Fehr vs Fehr,G.R. No. 152716. October 23,

2003)
It was held by the Supreme Court that once a marriage is void under Article 36 of the
Family Code, regardless of the cause, rules on co-ownership should govern the
property relations of the parties. Article 147 is a remake of Article 144 of the Civil
Code as interpreted and so applied in previous cases

This peculiar kind of co-ownership applies when a man and a woman, suffering no
legal impediment to marry each other, so exclusively live together as husband and
wife under a void marriage or without the benefit of marriage. The term "capacitated"
in the provision (in the first paragraph of the law) refers to the legal capacity of a
party to contract marriage, i.e., any "male or female of the age of eighteen years or
upwards not under any of the impediments mentioned in Articles 37 and 38 of the
Code.

Under this property regime, property acquired by both spouses through their work
and industry shall be governed by the rules on equal co-ownership. Any property
acquired during the union is prima facie presumed to have been obtained through
their joint efforts. A party who did not participate in the acquisition of the property
shall still be considered as having contributed thereto jointly if said party's "efforts
consisted in the care and maintenance of the family household." Unlike the conjugal
partnership of gains, the fruits of the couple's separate property are not included in
the co-ownership.

(Valdes vs RTC, G.R. No. 159521, December 16, 2005)

 What are the properties governed by the rules
on coownership
(Art. 484 501 of the Civil Code)?

They are:
(1) the property acquired by either or both of them
through their work or industry; and
(2) their wages and salaries.

Hence, donated, inherited, or purchased properties

are not covered except that in the case of purchases,
they also co-owned if obtained in exchange or
substitution of (1) or (2).
 THE STRUCTURE OF THE PROPERTY RELATIONSHIP
UNDER ARTICLE 147 IS AS FOLLOWS:

1. Salaries and wages shall be owned by them in equal shares;

2. Property acquired by either of the parties exclusively by his

or by her own fund belongs to such party provided that there is
proof that he or she acquired it by exclusive funds;

3. Property acquired by both of them through their work or

industry shall be governed by the rules on co-ownership.
Consequently, either spouse may alienate in favor of the other
his or her share in the property;
 THE STRUCTURE OF THE PROPERTY RELATIONSHIP
UNDER ARTICLE 147 IS AS FOLLOWS:

4. Property acquired while they live together shall be presumed

to have been obtained by their joint efforts, work or industry
and shall be owned by them in equal shares. A party who did
not participate in the acquisition by the other party of any
property shall be deemed to have contributed jointly in the
acquisition thereof if the formers efforts consisted in the care
and maintenance
of the family and of the household;
(Gonzales vs Gonzales, G.R. No. 159521, December 16, 2005)
 THE STRUCTURE OF THE PROPERTY RELATIONSHIP
UNDER ARTICLE 147 IS AS FOLLOWS:

5. The fruits of the couples separate property are not included in the
co-ownership;

6. Property acquired by any of the parties after separation shall be

exclusively owned by the party who acquired it;

7. Neither party can encumber or dispose by acts inter vivos of his or

her share in the property acquired during cohabitation and owned in
common without the consent of the other until after termination of
their cohabitation. However, either spouse may alienate in favor of
the other his or her share in the property co-owned. But no one can
donate or waive any interest in the co-ownership that
would constitute an indirect or direct grant of gratuitous advantage to
the other which is void pursuant to article 87; and
 THE STRUCTURE OF THE PROPERTY RELATIONSHIP
UNDER ARTICLE 147 IS AS FOLLOWS:

8. When only one of the parties to avoid marriage is in good

faith, the share of the party in bad faith in the co-ownership
shall be in favor of their common children. In case of default of
or waiver by any or all of the common children or their
descendants, each vacant share shall belong to the respective
surviving descendant, in the absence of descendant such
share shall belong to the
innocent party. In all cases, the forfeiture shall take place upon
termination of the cohabitation.
 Article 148
In cases of cohabitation not falling under the preceding Article, only
the properties acquired by both of the parties through their actual
joint contribution of money, property, or industry shall be owned by
them in common in proportion to their respective contributions. In the
absence of proof to the contrary, their contributions and
corresponding shares are presumed to be equal. The same rule and
presumption shall apply to joint deposits of money and evidences of
credit.

If one of the parties is validly married to another, his or her share in

the co-ownership shall accrue to the absolute community or conjugal
partnership existing in such valid marriage. If the party who acted in
bad faith is not validly married to another, his or her shall be forfeited
in the manner provided in the last paragraph of the preceding Article.
The foregoing rules on forfeiture shall likewise apply even if both
parties are in bad faith.
 Application of Article 148

Article 148 of the Family Code, which applies

to bigamous marriages, adulterous
relationships, relationships in a state of
concubinage, relationships where both man
and woman are married to other persons,
and multiple alliances of the same married
man.
(Saguid vs CA, G.R No. 150611, June 10,
2003)
 Relationship contemplated:

1. Person not capacitated to marry

2. Adulterous marriage even if it occurred prior
to the effectivity of the Family Code
3. Bigamous or polygamous marriage
4. Incestuous void marriages under Article 37
5. Void marriages by reason of public policy
(Article 38)
Under this regime, only the properties acquired by both of the
parties through their actual joint contribution of money,
property, or industry shall be owned by them in common in
proportion to their respective contributions Proof of actual
contribution is required, unlike in situations covered by Article
147. In the absence of proof of extent of the parties respective
contribution, their share shall be presumed to be equal.

Under Article 148, the properties acquired by the parties

through their actual joint contribution shall belong to the
coownership. Wages and salaries earned by each party belong
to him or her exclusively. Then too, contributions in the form of
care of the home, children and household, or spiritual or moral
inspiration, are excluded in this regime.
In the cases which involved the issue of co-ownership of
properties acquired by the parties to a bigamous marriage and an
adulterous relationship, respectively, the Supreme Court ruled that
proof of actual contribution in the acquisition of the property is
essential.

The claim of co-ownership of the parties to the bigamous and

adulterous union is without basis because they failed to
substantiate their allegation that they contributed money in the
purchase of the disputed properties.

The Court ruled that the fact that the controverted property was
titled in the name of the parties to an adulterous relationship is not
sufficient proof of co-ownership absent evidence of actual
contribution in the acquisition of the property.
(Tumlos vs Fernandez, G.R. No. 137650, April 12, 2000, Adriano
vs CA, G.R. No. 124118, March 27, 2000)
Although the adulterous cohabitation of the parties commenced in 1987, which is
before the date of the effectivity of the Family Code on August 3, 1998, Article 148
thereof applies because this provision was intended precisely to fill up the hiatus in
Article 144 of the Civil Code. Before Article 148 of the Family Code was enacted,
there was no provision governing property relations of couples living in a state of
adultery or concubinage. Hence, even if the cohabitation or the acquisition of the
property occurred before the Family Code took effect, Article 148 governs.

As in other civil cases, the burden of proof rests upon the party who, as determined
by the pleadings or the nature of the case, asserts an affirmative issue. Contentions
must be proved by competent evidence and reliance must be had on the strength of
the partys own evidence and not upon the weakness of the opponents defense.
This applies with more vigor where, as in the instant case, the plaintiff was allowed
to present evidence ex parte. The plaintiff is not automatically entitled to the relief
prayed for. The law gives the defendant some measure of protection as the plaintiff
must still prove the allegations in the complaint. Favorable relief can be granted only
after the court is convinced that the facts proven by the plaintiff warrant such relief.
Indeed, the party alleging a fact has the burden of proving it and a mere allegation is
not evidence.

(Saguid vs CA, G.R No. 150611, June 10, 2003)

 Structure of the Property of Article 148:
1. Salaries and wages are separately owned and if any of the
parties is married, it shall form part of the property of such
legitimate marriage;

2. Property acquired solely by funds of any of the parties shall

belong to that party;

3. Only properties acquired by both of the parties through their

actual joint contribution shall be owned by them in common in
proportion to their respective contributions;

4. The respective shares over properties owned in common are

presumed to be equal. Proof is needed to show their
contribution and respective shares. Without proof, there can be
no presumption of co-ownership and equal sharing;
 Structure of the Property of Article 148:
5. The rule and presumption mentioned in the preceding shall
apply to joint deposits of money and evidences of credit;

6.If one, who is not validly married, acted in bad faith his/her
share shall be forfeited in the manner provided in the last
paragraph of Article 147. This shall also apply even if both
acted in bad faith
 Applicability
Article 147 Article 148
1. No legal impediment to Presence of legal
marry; impediment:
1. Adulterous relationships
2. Void marriage on the 2. Bigamous/polygamous
ground of psychological marriages
incapacity. 3. Incestuous void
marriages under Article 37
4. Void marriages by reason
of public policy (Art. 38)
 Salaries and Wages
Article 147 Article 148
Owned in equal shares Separately owned by the
parties. If any is married,
his/her salary pertains to the
Conjugal Partnership of
Gains of the legitimate
marriage.
 Property Exclusive Acquired
Article 147 Article 148
Belongs to party upon proof Belongs to such party
of acquisition through
exclusive funds
 Property acquired by both through
their work or industry
Article 147 Article 148
Belongs to party upon proof Belongs to such party
of acquisition through
exclusive funds
 Presumption
Article 147
Property acquired while living
together presumed obtained
by their joint efforts, work or
industry and owned by them in
equal shares.
If one party did not participate
in acquisition: presumed to
have contributed through care
and maintenance of family and
household.
Article 148
No presumption of joint
acquisition. Actual joint
contribution of money,
property or industry shall be
owned by them in common
proportion.
However, their contributions
are presumed equal, in the
absence of proof to the
contrary.
 Forfeiture
Article 147
When only one is in Good
Faith, share of party in Bad
Faith in the co-ownership be
forfeited in
favor of:
1. their common children.
2. innocent party in default
of / waiver by any/all
common children, or by
their descendants.
Article 148
If one of the parties is validly
married to another, his/her
share in the co-ownership shall
accrue to the Absolute
Community of Property or
Conjugal Property of Gains
existing in the marriage.
If the party who acted in Bad
Faith is not validly married to
another or if both parties are in
Bad Faith, such share be
forfeited in manner provided in
last paragraph of Art. 147
 Proof of actual contribution
Article 147 Article 148
Not necessary Necessary