A Land Titles Finals

8/3/2019 A Land Titles Finals

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THEFRATERNALORDEROFUTOPIA

LANDTITLES|ATTY.LORENZO PADILLAARIKABU &GEOF REYES |2A-2014 PAGE 1 OF 8

LAND TITLESATTY. LORENZO PADILLA

PD 1529Property Registration Decree (supersededthe old Land Registration Act).NOTE: Before PD 1529, numerous systems that havebeen used in the process of land title registration.

MODULE 1

xxx WHEREAS, there is a need to update theLand Registration Act and to codify the variouslaws relative to registration of property, in order tofacilitate effective implementation of said laws;WHEREAS, to strengthen the Torrens system, it isdeemed necessary to adopt safeguards to preventanomalous titling of real property, and to

streamline and simplify registration proceedingsand the issuance of certificates of title;WHEREAS, the decrees promulgated relative tothe registration of certificates of land transfer andemancipation patents issued pursuant toPresidential Decree No. 27 to hasten theimplementation of the land reform program of thecountry form an integral part of the propertyregistration laws xxx

Legal concepts pertaining to land titles absorbed byPD 1529:

1. Cadastral Act2. Limitation of Affidavit of Adverse Claim to

Thirty (30) days

Extent or scope or jurisdiction of land registrationcourts:

1. Registrability of a particular land under theTorrens system

2. whether the applicant is a holder of theproper registration proceedingNOTE: Cadastral proceeding, similar to anordinary court action, is a proceeding wherethe court adjudicates. In an ordinaryproceeding, courts identify the registrabilityof the land

On account of absence of objection, the adjudicationof the issue will not be declared as void but valid. Itcannot be held void for lack of jurisdiction per se, but

rather determined by the procedure.

Land Registration Court is similar to a Court of FirstInstance/Regional Trial Court sitting as such.Interestingly, should the case be dismissed, CFI/RTCwill once again assume jurisdiction for appeals (Vda.de Arceo v. CA, Averia v. Cagioa).

PNB v. International Corporate Bank under PD

1529, Sec. 2, Land Registration Courts now exercisebroader jurisdiction.

Courts of First Instance shall have exclusive jurisdiction over all applications for originalregistration of title to lands, includingimprovements and interests therein, and over allpetitions filed after original registration of title, withpower to hear and determine all questions arisingupon such applications or petitions xxx

Coverage of Par. 2, Sec. 2 of PD 15291. Petitions and actions before and on original

registration.2. Petitions and actions filed after original

registration.

xxx Judicial proceedings for the registration of landsthroughout the Philippines shall be in rem and shall bebased on the generally accepted principles underlying theTorrens system. xxx

Coverage of Par. 1, Sec. 2 of PD 15291. Deals with registrations and titles of land.2. Jurisdiction over registrations and titles

proceedings in rem.

Administrative JudicialIn personam- effectiveonly between the

parties involved

In rem enforcedagainst the whole world;

even including thegovernment

Bornales v. CA the process of registration underTorrens system merely confirms a pre-existing title orright of ownership (even before beginning application,one already possesses the right or title). Registrationtherefore is NOT a mode of acquiring a title.NOTE: Title pertains to the paper/document thatevidences the right.

Limitations of registration under Torrens system:1. Protection is not absolute e.g., registration

does not warrant the integrity of the titleagainst erosion. Law on Property, however,provides compensation (i.e., alluvial propertywill belong to the owner of the eroded land)

Coronel v. IAC wrongful titling of the land belongingto another will not be make the holder the rightfulowner. System of registration will not make theregistered owner the owner of the lands that areillegally included in the title.


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Galloy v. CA certificate of title will not be regardedas a conclusive evidence of ownership as far illegallyacquired lands are concerned.

NON-REGISTRABLE LANDSNOTE: Land Registration Title; government is

empowered to dedicating/assigning of lands throughlegislation

Land may be either:1. Public

a. Mineralb. Forestc. Agricultural lands

i. Specific purpose1. Watershed2. Naval/Military3. Foreshore lands

ii. Alienable/disposableNOTE: Republic Land Act (Sec. 48)public land possessed and occupied inthe concept of an owner since June 12,1945 or earlier can be the subject of

judicial confirmation of title. (Inessence, private rights may beacquired over alienable lands of publicdomain.) This is currently beingmandated by Sec. 14 of PD 1529.Heirs of Malabanan v. Republic proper interpretation of the provision ofSec. 14(a) of PD 1529, for purposes ofcommencing judicial confirmation oftitles, the land need not be alienableand disposable since June 12, 1945 orearlier. Even if the land is alienable or

disposable is insufficient to make itregistrable. The applicant must provepossession since June 12, 1945 orearlier.NOTE: So long as land is possessedand occupied for thirty (30) years, thenthe holder acquires a veritable title thatis good even against the government.However, the Court held in Republic v.Munoz that the reliance on the 30-yearrule would be tantamount to relying onan outdated provision.

2. Privatea. (From public lands) acquired

through possession and alienable

landsb. Prescriptionc. Abandoned riverbeds, accresions,

and lands acquired throughaccessions

d. Lands acquired under any otherprovisions of the law(ex. Reclaimed lands)NOTE: These can even refer toNON-REGISTRABLE lands by

virtue of the law which authorizesthe conversion of such asregistrable land.

Notable jurisprudence:1. Chavez v. Public Estates Authority and

Amari titling of reclaimed lands; indicatethe requirement to hold the land for 30 yearssince June 12, 1945 or earlier (hybridconstruction of the two rules on acquiring titleof alienable land, in consideration of theamendment made in Sec. 48(b) of the oldLand Registration Act). This is rendered mootby Sec. 14 or PD 1529, which upheld theJune 12, 1945 or earlier rule.

2. Munoz v. Director of Forestry motivationswhich led the government to create thewatershed area responsible for the waterresources of MM.

3. Republic v. Delos Angeles foreshore areain Paranaque held as unregistrable

4. Republic v. Lat differentiate lakeshore fromforeshore lands:

Foreshore Lakeshore

Continuousaccumulation ofsand near the sea;non-registrable

Accumulation ofalluvial deposits;registrable(susceptible to beingtitles; provided thatthey are produced bynatural action or theebb and flow of thewater)

4. Thompson v. Director of Industry type ofmangrove lands involved in this case are,historically private lands, thus are NOT forestslands; but certain mangrove lands may benon-registrable. (Q: Naturally occurring orplanted over provate lands?)

The Republic of the Philippines may hold lands thatare patrimonial in character, hence non-registrable.But government may lose the same as with any otherprivate land.

1. Alienable or disposable lands under publicdomain.

2. Possessed and owned on June 12, 1945 or

earlier

MODULE 2

Section 3.Status of other pre-existing land registrationsystem. The system of registration under the SpanishMortgage Law is hereby discontinued and all lands recordedunder said system which are not yet covered by Torrens titleshall be considered as unregistered lands.


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Hereafter, all instruments affecting lands originally registeredunder the Spanish Mortgage Law may be recorded underSection 113 of this Decree, until the land shall have beenbrought under the operation of the Torrens system.The books of registration for unregistered lands providedunder Section 194 of the Revised Administrative Code, asamended by Act No. 3344, shall continue to remain in force;provided, that all instruments dealing with unregistered landsshall henceforth be registered under Section 113 of thisDecree.

Registration under Sec. 113 pertains to recording ofinstruments relating to unregistered lands.NOTE: PD 1529 deals with judicial registrationproceedings.

Two types of judicial proceedings:1. Ordinary

Q: Who may apply?A: Sec. 114

- application must be filed to the directorof the Lands Management Bureau.

-Five (5) days from the filing of theapplication, the court will issue an ordersetting the date of initial hearing.

- Said order is then forwarded to the LandRegistration Authority (LandRegistration Commission in P.D. 1529)

- Initial hearing to be held not within 45days, but before 90 days

o Compliance with thejurisdictional requirements:

Necessity ofpublication (once inOfficial Gazette, andonce in a newspaper

in general circulation) Failure to comply with

the publicationrequirement willrender any judgementvoid

Not only applicable fororiginal registrations;but also includesthose which add tothe subject matter ofthe registration.

o Filing of opposition (of adverseor interested party); must be onor before date of initial hearing

o Mailing of notices (providedthat addressees are known, ex.Occupants or adjacent landowners; if unknown, there mustbe a statement in theapplication as to the extent ofthe search made to find them)

Governmentagencies:

DPWHand/orprovincialgovernor,municipal/city mayor if

the landborders apublic land

Where theland isadjacent to abody ofwater, to theOSG; toBureaus ofFisheriesDevelopment, and Mines;if tenanted,

to theDepartmentof LandReform

o Posting in: (1) bulletin, and (2)land itself

Rule 108 approximates the publicationrequirement. Certification of the LandReform Authority is made after havingcomplied with the publication requirements.

Francisco v. CA absence of statementregarding the extent of search made to findunknown parties to the application; a sale in

line with irregularities will weaken suchapplication for registration.

During the initial hearing:1. Proof of jurisdictional requirements2. Opposition3. In case of an order of general default,

parties who failed to file an oppositionon or before the date of initial hearingcan no longer participate in the hearinguntil the lifting of general default ismade.

Objective of the trial - to find sufficient titleproper for confirmation

Following judgment of a court, anyaggrieved party can appeal. If there is nosuch appeal or it has been disposed with,the judgment shall reach its finality. Courtshall issue order to LRA to issue a decree ofregistrationNOTE: Judgement land registration court;decree of registration LRA; certificate oftitle register of deeds


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NOTE: PD 1529 is categorical, i.e., without properlyfollowing procedural requirements, the application forregistration will not be sustained

- There has to be a survey or plan of theland

-Muniments of titles (proof of ownership)

2. Cadastral tail-end of cadastral proceedingis to adjudicate the title (either the land willbe awarded to any or either of the claimants,otherwise to the government)

Leyva v. Jandoc who may file a petition: right of alessee is subordinate to that of the lessor. Standardsof dominical claim is reiterated in this case.(Applicants lessees cannot file such claim for theyhave no locus standing)

Pons Realty Corp. V. CAapplicant may not be the

owner himself; he may be representative of theowner. But documents designating suchrepresentation must be presented.Larangan v. CA court is not necessarily bound toaward title where there are no oppositions; duty of thecourt is to find title proper to registration

Guitierrez Hermanos v. CA quantum of proof:clear and convincing evidence. Burden of proof lieson the applicant, failure to prove his claim, under theRegalian Doctrine, shall make the property as publicproperty

Republic v. Association Benevola de Cebu whenappeal of judgment shall be made; 30-day period for

appeal (Sec. 30 of PD 1529). The new period ofappeal shall be 15 days, in accordance with theJudiciary Reorganization Act of 1980.

Benin v. Tuazon deals with the effect ofamendments on the jurisdiction of the court.Reduction of area of land applied for, no need forrepublication. If increase is minimal, republication isnot necessary (title will be avoided only to the extentof the excess); however if increase is substantial,republication is deemed necessary.

National Grains Authority v. IAC

Sec. 22 of 1529 land that is subject to pending landregistration proceedings may be subject to dealings(i.e., pacto de retro sale) in whole or in part; it is notsufficient to have it registered under Sec. 113 of PD1529, but the transaction must be brought to theattention of the court, with notice of such sale, courtmay substitute them as applicant; otherwise thetransfer of ownership will not occur.Moral of the case: OBSERVE SEC. 22.

MODULE 4

Roxas v. Dinglasan when it comes to registrationof land, the mode of acquiring is registration whichbinds and the operative act of registering the land.

Sec. 32 where ground is fatal infirmity.

CFI/RTC has exclusive and original jurisdiction over judicial registration of lands. However by virtue ofSec. 34, there are instances when it may bedelegated (can only try case within the delegatedauthority, i.e. value of land is below P20,000) to aMeTC or MTC.

Effects of a Decree of RegistrationSec. 31its the decree of registration that binds theland and quiets the title thereto; to whom it mayconcern, issued by the Land Registration Authority(administrative agency)

Sec. 44 Statutory Liens1. Opening clause says, every registered

owner receiving a certificate of title, inpursuance of a degree of registration; everyinnocent purchaser taking a certificate of titlefor value and in good faith, shall hold thesame free from all encumbrances exceptthose noted in said certificate and any of thefollowing encumbrances which may besubsisting, namely:

a. Liens, claims or rights arising or

existing under the laws andConstitution of the Philippines.b. Unpaid real estate taxes levied and

assessed within two yearsimmediately preceding theacquisition.

c. Any public highway or private wayestablished or recognized by law, orany government irrigational canal orlateral

d. Any disposition of the property orlimitation on the use thereof.

MODULE 5

DBP v. Acting Register of Deeds of NuevaEcjia

1. Entry alone [in the primary entry books]produces the effect of registration.

2. Whether the transaction entered is avoluntary or involuntary one, so longas the registrant has complied with allthat is required of him for purposes of


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entry and annotation, and nothing moreremains to be done but a dutyincumbent solely on the register ofdeeds.

3. No legal inter regnum between the

entry in the primary entry book and thatin the registration book.Q: What is the date of inscription?A:

Q: What are the duties of the registrant?A: (1) present the document representing thevoluntary dealings (ex. deed of sale), (2) presentthe owners duplicate, (3) pay the Register ofDeeds (RoD) to pay for the necessary fees.Following the above mentioned requirements,the RoD shall be obliged to make an entry in theprimary entry book.

Mingoa v. Land Registration Administrator1. The date of mailing of an instrument to

the RoD for purposes of registrationshould be considered the date of filingand receipt by RoD.

2. It is the date that should be entered inthe primary entry book of the RoDwhich shall be regarded as the date ofits registration (NOT the date of actualreceipt).

Roxas v. Dinglasan with delivery or tradition,the ownership over the property is transferred.

But this rule has no application to registeredlands. Since the spinsters never registered thelands, ownership was never transferred to them.It is the act of registration that conveys andbinds the land. (All the world is entitled to relyon the title.)

Fule v. Vda. De Lagare Spouses Fule wereinnocent purchasers for value. (Padilla: inreconciling it with Sec. 44, every subsequentpurchasers... even if the certificate of title is inthe name of Vda. De Lagare?) They relied onregistrability of the document presented by John

De Lagare.

Duran v. IAC1. Chain of title doctrine acknowledges

the rights of innocent purchasers forvalue. (Read with Sec. 53)

2. A fraudulent or forged document of salemay become the ROOT of a valid title ifthe certificate of title has already been

transferred from the name of the trueowner to the name of the forger or thename indicated by the forger.

3. Applying rules of equity, when one oftwo persons may or must suffer a loss, it

should be the one who was negligent inprotecting his or her interest.

4. The moment a third person intervenes,an invalid transaction may neverthelessbe a source of a valid rights (i.e., in thiscase, the mortgagee satisfies the statusof an innocent purchaser for value).Spring to rise higher than its source.NOTE: Under Sec. 32, the terminnocent purchaser for value shallextend to lessees, mortgagees.

Traders Royal Bank v. CA two different

parties who are purchasers for value and ingood faith.

Pabalan v. Santarin a forged deed is null andvoid and conveys no title, all the transactionssubsequent to the consequent sale shalllikewise be void.

Medina v. Chanco fraud was alleged, buyer inthe fraudulent sale was made to believe that thesale was indeed a real transaction. Thetransferee transferred the ownership to thepresent owners. There is room to apply thechain of title doctrine.

Spouses Opson v. Treasurer of thePhilippines when an impostor applies for anowners duplicate.

Gatiaoan v. Gaffud transactions involvingvoid titles shall produce no legal effect.

On account of absolute nullity of titlescovering unregistrable land, all the titlesare considered null and void.GR: Chain of title doctrine a title that isnull and void can be the source of avalid title.

Sec. 53 xxx After the entry of decree ofregistration, any subsequent title obtained byvirtue of a forged owners duplicate or forged deed(ex. of sale) would be null and void.

EX:1. When title is an absolute nullity (ex. title

covering unregistrable land).


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2. Transactions entered into by animpostor.

BAVA v. Dionisio liens; buyer for value and ingood faith has a right to rely on the certificate of

title; Sec. 44 provides that purchaser is boundonly by what appears in the certificate of title,unless such facts supposedly to be annotatedwas actually known.

MODULE 6

Life of a notice of adverse claim has beenlimited to thirty (30) days. (PD1529)But jurisprudence has provided that so long asthere is no judicial cancellation, the notice shallsubsist.Notice of adverse claim is a remedy of last

resort, when no provisions in PD1529 shallapply.Sps. Licantro case when notice was deemedineffective, there is no longer a need to addressthe issue of the expiration of the notice.Attachment is a provisional remedy. When writof attachment is served to the property (i.e., incustodia legis), this would serve as a security.Any subsequent distribution/attachmentrecorded will be considered inferior to the priorregistered attachment.If not properly issued, Court may dissolve suchattachment subject to recording in the Registerof Deeds.Provisions for lis pendens similar to theircounterparts in the RoC.File a notice of lis pendens usually in the formof action to recover title, remove cloud in title,partition, or any petition involving land.On cancellation of lis pendens:

1. May be cancelled by the RoD upon thepetition of the person who calls it to beregistered.

2. Otherwise, it can only be cancelled byorder of the Court, a petition may befiled by any person.

a. If notice of lis pendens is

intended to molest the otherparty

b. If notice of lis pendens does notmean to protect the otherperson.

MODULE 7Registration of titles to agricultural lands:

1. Complicated by agrarian reform laws:

a. Transactions/documents mustbe accompanied by a clearancefrom the Department of AgrarianReform, which requires aninspection by DAR whether the

transactions comply with therequirements of the AgrarianReform Law.

b. Non-compliance will not entitlean applicant to registration.

2. Sec. 103:a. Patent or grant by the

government shall be consideredas a contract between thegovernment and the grantee,BUT once registered in the RoDshall be binding to third persons,and a certificate of title shall

issue.b. In the same manner, foragricultural lands, DAR canissue a CLOA, but may also beregistered to the RoD so that acertificate of title shall issue(effect similar to a cancellationof an old title and an issuance ofa new one).

MODULE 8

Sec. 107: Transactions are not exclusive, theyare susceptible of being classified into (1)voluntary and (2) involuntary.Sec. 108: The RoD has no authority to makeany amendments on the certificate of title. Anyamendments/alterations shall in a summaryproceeding. Unless there is an opposition, inwhich case a full blown trial shall proceed.Sec. 109: Notice must be given to the RoD. Thiswill also be a summary proceeding, unless thereis otherwise an opposition and the case becamecontroversial in nature.NOTE: Mere notice of loss of certificate to theRoD does not immediately warrant an issuanceof a replacement. There must be a hearing first.

Sec. 110: Original design of PD 1529 is to makejudicial reconstitution the SOLE process for suchreconstitution.

1. Administrative reconstitution initiallyabolished by PD 1529;NOTE: RA 6732 entails the proceedingsto followed in case of administrativereconstitution. A circular was issued formass issuance of reconstitution/en


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LANDTITLES|ATTY.LORENZO PADILLAARIKABU &GEOF REYES |2A-2014 PAGE 7OF 8

masse reconstitution for loss ofcertificates due to force majeure.Government encourages that interestedparties go to court, consolidate theirpetitions into a single case, but was

ineffective. Thus, administrativereconstitution was reinstituted,SUBJECT to limitations. Suchreservation/restriction is, anyencumbrances, annotations, etc. whichare not included in the administrativelyreconstituted title will remain in effect(making the innocent purchaser forvalue prone to unknown parties with aclaim over the property covered by thelost title).

2. Judicial reconstitution Expanded bythe safeguards installed by RA 26 to

ensure the safety of the proceedings. Ineffect, the judicially reconstituted titleswill be as good as the lost titles, i.e.,when liens or encumbrances are notincluded in the judicially reconstitutedtitle, anyone relying on such title will besafe without duty to go beyond what isindicated in the judicially indicated title.

NOTE: Administrative reconstitution can only beeffected upon the presentment of owners or co-owners duplicate of title, granting all otherrequirements are present (10% of the titles havebeen lost or destroyed/no less than 500).

Otherwise, one will not be qualified to avail ofadministrative reconstitution.

RA 26 (Secs. 2 and 3) declare whatdocuments can be sources for reconstitution;

Sec. 2 reconstitution of titlesSec. 3 document requirements orother liens or encumbrances.NOTE: Not an arbitrary application, buta list of alternative sources ofreconstitution.

Q: If the requirements are present, is one

obligated to apply for administrativereconstitution?A: Availability of administrative reconstitutionDOES NOT preclude judicial reconstitution.Administrative reconstitution is subject to liens orencumbrances not reproduced in thereconstituted title continue to be binding.

Municipality of Legaspi v. AL AmmenTransportation A judicially reconstituted titlehas same virtuality as the original, not subjectcollateral attack, under the provisions of Sec. 44,one rely on the four corners of the certificate of

title.

But one cannot administratively reconstitutedcertificate of title. One becomes obligated to goback to inspect any encumbrances that mightnot be carried over. In essence, one who isdealing with administratively reconstitutedcannot be considered an innocent purchaser forvalue.

With regard to judicially reconstituted title, ifencumbrances were not transferred in thereconstitution, then it is cut off, as if they never

existed. One may not rely on the absence of anyentry in the memorandum of encumbrances.NOTE: Transactions never brought to theattention of the reconstitution Court are deemedto have been cut off. (NHA v. IAC)

Municipality of Legaspi v. AL AmmenTransportation case was for recovery ofpossession; defects in judicial reconstitutionproceedings (ex. failure to notify themunicipality); not merely infirmity but defectswould render the reconstitution null and void.Judicially reconstituted certificate of title reliedupon AL Ammen shall have the same virtuality

as the original title; any collateral attack (ex.recovery of possession), will have no choice butto respect the title.

Director of Lands v. CA (first case) in orderto reconstitute title, notice must be given toconcerned parties; late notice will allow suchparties to assail the reconstitution. There shouldbe NO EXCEPTION despite the circumstance ofthe case (where there are too many parties to besent with such notice of reconstitution), publicnotice through signs all over the area wouldhave sufficed.

Director of Lands v. CA and TahananDevelopment Corporation v. CA compliancewith Secs. 12 and 13 should be made withexactness and precision (Justice Guerrero). Thelightest deviation will affect the validity of theproceedings. Failure to do so would otherwiserender the proceeding null and void for lack of


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notice to the parties and the title has suffered afatal defect.

You can only reconstitute a valid original title;where there is no original title in the first place,

there is nothing to reconstitute.

RECALL: Sec. 3 (and Sec. 113) of PD 1529 institute the Torrens system as the only meansof registering titles of land. Lands registered inother systems are declared unregistered lands.

Inclusion within the same set of laws therelevant provisions pertaining to transactionsinvolving unregistered lands. Registration underthe Torrens system is subject to better rights.

(NHA v. IAC).Registration of a pacto de retrosale didnot establish a better right than thebuyer a retro, upon reliance to the titlewhich bore no indication of such pactode retrosale.

Salita v. Calleja involves a house constructedon a registered land; if transaction relates toregistered land, apply Sec. 50 to 59; otherwise,if the land Sec. 113 or Act. 3344

Hanopol v. Pilapil better right; facts andcircumstances which, taken together, would

establish a better right.

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A Land Titles Finals