G.R. No. 137287 - Non vs. Court of Appeals

Spouses Julian C. Viado and Virginia P. Viado owned several properties, including a house and lot located at 147 Isarog Street, La Loma, Quezon City, covered by Transfer Certificate of Title (TCT) No. 42682.
Virginia P. Viado died on October 20, 1982, and Julian C. Viado died on November 15, 1985.
Their surviving heirs were children Nilo Viado, Leah Viado Jacobs, Rebecca Viado (married to Jose Non), and Delia Viado.
Nilo Viado and Leah Viado Jacobs both died on April 22, 1987.
Nilo Viado’s heirs were his wife Alicia Viado and their two children Cherri Viado and Fe Fides Viado.

Since 1977, both petitioners (Rebecca Viado, Jose Non, and Delia Viado) and respondents (Alicia Viado, Cherri Viado, and Fe Fides Viado) shared residence at the Isarog property.
Tensions arose when petitioner Rebecca Viado requested equal division of the property to accommodate the growing families.
Respondents claimed absolute ownership over the entire property and demanded petitioners vacate their portion.

On February 1, 1988, petitioners filed a partition case before the Quezon City RTC Branch 93, asserting co-ownership.
Respondents based their claim on:

A deed of donation executed by Julian Viado, covering his half conjugal share of the Isarog property in favor of Nilo Viado.
A deed of extrajudicial settlement where Julian Viado, Leah Viado Jacobs (via power of attorney), and Rebecca Viado waived their rights over the property inherited from Virginia Viado in favor of Nilo Viado.

These documents were executed on August 26, 1983, but registered only on January 7, 1988.
The registration led to cancellation of TCT No. 42682 and issuance of new TCT No. 373646 in the names of Nilo Viado’s heirs.

Petitioners attacked the validity of the deed of donation and extrajudicial settlement, alleging:

Forgery and undue influence by Nilo Viado on Julian Viado.
Fraud in procuring Rebecca Viado’s signature on the extrajudicial settlement.
Preterition of Delia Viado, alleged to be a retardate, due to her exclusion from the extrajudicial settlement.

They noted the late registration of the documents (five years after execution) and the deaths of the parties involved at the time of registration.

The RTC found in favor of respondents, recognizing Alicia Viado and her children as the true owners of the property.
The Court of Appeals affirmed the trial court’s decision but remanded the case to determine the value of the property and the amount respondents should pay to Delia Viado for her preterition.

Whether the deed of donation and extrajudicial settlement, executed in 1983 but registered only in 1988 after the deaths of the signatories, validly transferred the Isarog property to Nilo Viado’s heirs.

Whether the petitioners’ allegations of forgery, undue influence, and fraud affecting the execution of the said documents were proven.

Whether the preterition of Delia Viado in the extrajudicial settlement justifies the annulment of the title or entitles her to compensation.