Facts:

• The case involves petitioner Vicente Ibay and respondents Atanacio Abando and Rosita T. Abando.
• The dispute is over a parcel of land originally owned by the People's Homesite and Housing Corporation (PHHC) in Quezon City.
• On July 22, 1959, Atanacio Abando transferred his rights to half of the lot to his daughter, Rosita Abando.
• Rosita Abando sold her rights to Vicente Ibay on January 28, 1960, for P4,500.
• Ibay took possession of the property and made significant improvements.
• PHHC disapproved the transfer because Ibay already owned another PHHC lot, making him ineligible to acquire another under PHHC policy.
• Despite the disapproval, Ibay continued to occupy the property.
• On August 16, 1971, the Abandos obtained a transfer certificate of title for the lot and demanded that Ibay vacate the premises.
• Ibay refused, leading the Abandos to file a complaint for recovery of possession in the Court of First Instance of Rizal, which ruled in favor of the Abandos.
• Ibay appealed to the Intermediate Appellate Court, which affirmed the lower court's decision.
• Ibay then petitioned the Supreme Court for review.

Issue:

• (Unlock)

Ruling:

• The Supreme Court ruled that the transfer of rights from Rosita Abando to Vicente Ibay was invalid due to the disapproval of the PHHC.
• The adve...(Unlock)

Ratio:

• The transfer of rights was invalid because it lacked the necessary approval from the PHHC, which was explicitly required by PHHC policy.
• At the time of the transfer, Rosita Abando was not yet the owner of the lot, and the PHHC's approval was essential for the transfer to be valid.
• The PHHC disapproved the transfer because Ibay was already the holder of another PHHC lot, making him ineligi...continue reading