G.R. No. 266538 - Sps. Rogelio D. Mina and Sotera S. Mina vs. Henry B. Aquende

The petitioners, Spouses Rogelio D. Mina and Sotera S. Mina, were the registered owners of a house and lot located at Lot 11, Pearl Heights, Victoria Homes Subdivision, Tunasan, Muntinlupa City, under Transfer Certificate of Title (TCT) No. 182759.
The property had a declared assessed value of PHP 34,430.00 (PHP 16,830.00 for the land and PHP 17,600.00 for the house improvements).
On November 8, 2017, the Muntinlupa City Treasurer, Anastacio L. MiAoza, conducted a public auction of the property for nonpayment of real property taxes. Respondent Henry B. Aquende won the auction with a bid of PHP 58,000.00.
A Certificate of Sale was issued to Aquende, and the sale was annotated on the TCT. An undated Final Deed of Sale/Conveyance was executed in favor of Aquende.

On January 10, 2022, Spouses Mina filed a Complaint for Annulment of Tax Sale with the Metropolitan Trial Court (MeTC), Muntinlupa City, docketed as Civil Case No. MeTC-7454.
They alleged the auction sale was invalid due to noncompliance with Sections 254, 258, and 260 of the Local Government Code:

Notices of Tax Delinquency and Warrant of Levy were sent by registered mail to an old address (a boarding house in Quezon City) where Rogelio previously lived in 1992, not to the occupant of the property.
Notices concerning auction sale and redemption period were similarly sent to this old address.
The notices were neither published nor was the tax delinquency annotated on the tax declaration of the property.
The property, valued at PHP 900,000.00, was sold for only PHP 58,000.00 (6% of zonal value), an unconscionable price.
The auction sale amounted to a taking of property without due process.
Aquende had not taken ownership despite the expiration of the one-year redemption period.
The petitioners sought attorney's fees of PHP 150,000.00 for having to litigate to protect their rights.

Aquende denied personal knowledge of the allegations but maintained that the sale was valid.
He referenced a pending Petition for Application of a New Certificate of Title before the RTC, involving the same parties and issue.
He argued the petitioners failed to deposit the amount of PHP 58,000.00 with interest as required under Section 267 of the Local Government Code, thus the court lacked jurisdiction.
He claimed to have bought the property in good faith and sought damages and attorney’s fees.

Spouses Mina filed a Reply denying litis pendentia and arguing that the deposit required under Section 267 need not be paid at the same time the complaint is filed but rather upon court order.
The Metropolitan Trial Court, Branch 114, on August 1, 2022, dismissed the complaint for failure to deposit the required amount, ruling the deposit a jurisdictional requirement that must be paid simultaneously with filing the complaint.
The Spouses' motion for reconsideration was denied on September 12, 2022.
On appeal, the Regional Trial Court, Branch 207, affirmed the dismissal in its March 20, 2023 Decision and denied their motion for reconsideration on April 4, 2023.

Petitioners filed the present Petition for Review on Certiorari challenging the requirement that the deposit must be made simultaneously with the complaint to give the court jurisdiction.
Respondent contended that the statutory terms "entertain" and "institution" in Section 267 manifest that the deposit is a jurisdictional and simultaneous filing requirement.

Whether Section 267 of the Local Government Code requires that the deposit of the amount for which the subject property was sold, together with interest, be made simultaneously with the filing of the complaint to annul a tax sale.
Whether failure to make the deposit at the time of filing the complaint divests the court of jurisdiction and mandates outright dismissal of the complaint.