Thursday, February 25, 2021

DIGEST/ HANNAH GRACE REFUGIO/ PHIL-VILLE DEVELOPMENT AND HOUSING CORPORATION V. BONIFACIO

 

PHIL-VILLE DEVELOPMENT AND HOUSING CORPORATION, 
vs.
MAXIMO BONIFACIO, CEFERINO R. BONIFACIO, APOLONIO B. TAN, BENITA B. CAINA, CRISPINA B. PASCUAL, ROSALIA B. DE GRACIA, TERESITA S. DORONIA, CHRISTINA GOCO AND ARSENIO C. BONIFACIO, in their capacity as the surviving heirs of the late ELEUTERIA RIVERA VDA. DE BONIFACIO, 

G.R. No. 167391              

June 8, 2011

 

 FACTS:

The petitioner Phil-Ville Development and Housing Corporation is the registered owner of three parcels of land located in Caloocan City, having a total area of 8,694 square meters and covered by Transfer Certificates of Title (TCT) Nos. 270921, 270922 and 270923.Prior to their subdivision, the lots were collectively designated as Lot 1-G of the subdivision plan Psd-2731 registered in the name of Phil-Ville under TCT No. T-148220.Said parcels of land form part of Lot 23-A of the Maysilo Estate originally covered by Original Certificate of Title (OCT) No. 994 in the name of Isabel Gil de Sola as the judicial administratrix of the estate of Gonzalo Tuason and thirty-one others. Phil-Ville acquired the lots by purchase from N. Dela Merced and Sons, Inc. on July 24, 1984.

Previously, a group composed of Eleuteria Rivera, Bartolome P. Rivera, Josefa R. Aquino, Gregorio R. Aquino, Pelagia R. Angeles, Modesta R. Angeles, Venancio R. Angeles, Felipe R. Angeles Fidela R. Angeles and Rosauro R. Aquino, claiming to be the heirs of Maria de la Concepcion Vidal, a co-owner to the extent of 1-189/1000% of the properties covered by OCT Nos. 982, 983, 984, 985 and 994 of the Hacienda Maysilo, filed a petition with the Court of First Instance of Rizal in Land Registration Case No. 4557 praying for the substitution of their names on OCT No. 994 in place of Maria de la Concepcion Vidal. The petition was granted by the CFI. Thereafter, the alleged heirs of Maria de la Concepcion Vidal filed a petition for the partition of the properties covered by OCT Nos. 982, 983, 984, 985 and 994. On December 29, 1965, the CFI granted the petition and appointed three commissioners to determine the most equitable division of the properties. Said commissioners, however, failed to submit a recommendation.

After 31 years, Eleuteria Rivera filed a Supplemental Motion for the partition and segregation of portions of the properties covered by OCT No. 994. The Regional Trial Court (RTC), Branch 120, of Caloocan City, through Judge Jaime D. Discaya, to whom the case was transferred, granted said motion.Writ of possession was issued in Eleuteria Rivera’s favor upon the Order of Judge Discaya issued on the same date. Accordingly, Sheriff Cesar L. Cruz served a Notice to Vacate  upon Phil-Ville, requiring it to vacate Lots 23-A and 28. Bonifacio Shopping Center, Inc., which occupied Lot 28-A-2, was also served a copy of the notice. Aggrieved, Bonifacio Shopping Center, Inc. filed a petition for certiorari and prohibition, before the Court of Appeals. In a Decision, the appellate court set aside and declared as void the Order and Writ of Possession and the Notice to Vacate. The appellate court explained that a party who has not been impleaded in a case cannot be bound by a writ of possession issued in connection therewith.

Due to the foregoing events, petitioner filed a complaint for quieting of title and damages against the surviving heirs of Eleuteria Rivera Vda. de Bonifacio (namely Maximo R. Bonifacio, Ceferino R. Bonifacio, Apolonia B. Tan, Benita B. Caina, Crispina B. Pascual, Rosalia B. de Gracia, Teresita S. Doronia, Christina B. Goco, Arsenio C. Bonifacio, Carmen B. Bernardino and Danilo C. Bonifacio) and the Register of Deeds of Caloocan City. In a Decision, the Caloocan RTC ordered the quieting of Phil-Ville’s titles over Lots 1-G-1, 1-G-2 and 1-G-3, declaring as valid TCT Nos. 270921, 270922 and 270923 in Phil-Ville’s name.

The respondents filed a petition for Review on Certiorari, the Court referred the petition to the Court of Appeals for adjudication on the merits since the case does not involve pure questions of law. Respondents moved for reconsideration of the Resolution, but the Court denied their motion. Thus, respondents’ petition was transferred to the Court of Appeals.The Court of Appeals rendered a Decision dismissing the appeal as regards Danilo Bonifacio and Carmen Bernardino. Danilo, Carmen and respondents elevated the case to the Supreme Court through a Petition for Review on Certiorari.

ISSUE:

Whether TCT No. C-314537 in the name of Eleuteria Rivera constitutes a cloud over petitioner’s titles over portions of Lot 23-A of the Maysilo Estate.

RULING:

The Supreme Court ruled that in order that an action for quieting of title may prosper, two requisites must concur: (1) the plaintiff or complainant has a legal or equitable title or interest in the real property subject of the action; and (2) the deed, claim, encumbrance, or proceeding claimed to be casting cloud on his title must be shown to be in fact invalid or inoperative despite its prima facie appearance of validity or legal efficacy. Quieting of title is a common law remedy for the removal of any cloud upon, doubt, or uncertainty affecting title to real property. Whenever there is a cloud on title to real property or any interest in real property by reason of any instrument, record, claim, encumbrance, or proceeding that is apparently valid or effective, but is, in truth and in fact, invalid, ineffective, voidable, or unenforceable, and may be prejudicial to said title, an action may be brought to remove such cloud or to quiet the title. In such action, the competent court is tasked to determine the respective rights of the complainant and the other claimants, not only to place things in their proper places, and make the claimant, who has no rights to said immovable, respect and not disturb the one so entitled, but also for the benefit of both, so that whoever has the right will see every cloud of doubt over the property dissipated, and he can thereafter fearlessly introduce any desired improvements, as well as use, and even abuse the property.

In this case, the petitioner submits that a cloud exists over its titles because TCT No. C-314537 in the name of Eleuteria Rivera purports to cover the same parcels of land covered by petitioner’s TCT Nos. 270921, 270922 and 270923. It points out that what appears to be a valid and effective TCT No. C-314537 is, in truth, invalid because it covers Lot 23 which is not among those described in the OCT No. 994 on file with the Register of Deeds of Rizal and registered on May 3, 1917. Petitioner notes that the OCT No. 994 allegedly registered on April 19, 1917 and from which TCT No. C-314537 was derived, is not found in the records of the Register of Deeds. In other words, the action seeks the removal of a cloud from Phil-Ville’s title and/or the confirmation of its ownership over the disputed properties as the successor-in-interest of N. Dela Merced and Sons, Inc.

While it is true that TCT No. C-314537 in the name of Eleuteria Rivera is an instrument that appeared to be valid but was subsequently shown to be invalid, it does not cover the same parcels of land that are described in petitioner’s titles. Foremost, Rivera’s title embraces a land measuring 14,391.54 square meters while petitioner’s lands has an aggregate area of only 8,694 square meters. On the one hand, it may be argued that petitioner’s land could be subsumed within Rivera’s 14,391.54-square meter property. Yet, a comparison of the technical descriptions of the parties’ titles negates an overlapping of their boundaries.

An action for the reformation of an instrument, to quiet title to real property or remove clouds therefrom, or to consolidate ownership under Article 1607 of the Civil Code, may be brought under this Rule. Thus, while petitioner was not able to demonstrate that respondents’ TCT No. C-314537 in the name of Eleuteria Rivera constitutes a cloud over its title, it has nevertheless successfully established its ownership over the subject properties and the validity of its titles which entitles it to declaratory relief.

No comments:

Post a Comment