Title
Carbonell vs. Court of Appeals
Case
G.R. No. L-29972
Decision Date
Jan 26, 1976
Poncio sold land to Carbonell, then to Infante. Infante registered first, acted in good faith, and improved the property. Court ruled in Infante's favor.

Case Digest (G.R. No. 179382)

Facts:

  • Parties and Original Transactions
    • Respondent Jose Poncio owned a 195-sqm lot at 179 V. Agan St., San Juan, Rizal, covered by TCT No. 5040, encumbered by a P1,500 mortgage with Republic Savings Bank.
    • Petitioner Rosario Carbonell, Poncio’s cousin and neighbor, negotiated to buy the lot at ₱9.50/sqm and agreed to assume the mortgage and pay arrearages.
    • On January 27, 1955, Carbonell and Poncio executed a private memorandum in the Batanes dialect reciting that title had passed to Carbonell, with Poncio permitted to live one year rent-free and thereafter as tenant.
  • Competing Sale and Procedural History
    • Unaware of the prior sale, respondent Emma Infante paid Poncio a higher price, assumed the mortgage, and on February 2, 1955 executed a formal deed of sale, registering it February 12, 1955.
    • Learning of Infante’s possession (wall and gate on February 5), Carbonell filed an adverse claim on February 8, 1955 and subsequently sued (June 1, 1955) to assert her prior sale and nullify Poncio’s deed to Infante.
    • Trial court (April 26, 1966) dismissed her complaint under the Statute of Frauds; the SC reversed (May 12, 1958) holding partial performance removed the contract from the Statute.
    • CFI decision (December 5, 1962) upheld Carbonell’s title; on new trial, CFI (January 20, 1965) dismissed it.
    • Court of Appeals (Fifth Div., November 2, 1967) restored Carbonell’s priority; a Special Division (October 30, 1968) granted Infantes’ motion for reconsideration, reinstating the CFI’s dismissal.
    • Carbonell elevated the case by certiorari to the Supreme Court.

Issues:

  • Applicability of Article 1544, New Civil Code, in determining priority between two vendees of the same immovable.
  • Whether the private memorandum and registration of an adverse claim by Carbonell constitute valid recordation in good faith.
  • Whether Infante’s subsequent formal sale and registration prevail despite notice of the prior transaction.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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