Case Digest (G.R. No. L-24332)
Facts:
In the case of Ramon Rallos, Administrator of the Estate of Concepcion Rallos v. Felix Go Chan & Sons Realty Corporation (G.R. No. L-24332, January 31, 1978), Concepcion and Gerundia Rallos were co-owners of Lot No. 5983 in Cebu. On April 21, 1954, both sisters granted a special power of attorney to their brother, Simeon Rallos, authorizing him to sell the property. Concepcion died on March 3, 1955, yet on September 12, 1955, Simeon sold the undivided shares of both sisters to Felix Go Chan & Sons Realty Corporation for ₱10,686.90. The deed was registered, the old title canceled, and a new Transfer Certificate of Title No. 12989 issued to the corporation alone. On May 18, 1956, Ramon Rallos, as administrator of Concepcion’s estate, filed Civil Case No. R-4530 in the Court of First Instance of Cebu, seeking to void the sale of Concepcion’s share, cancel TCT No. 12989, restore co-ownership between the estate and the corporation, and recover attorney’s fees and costs. The trial couCase Digest (G.R. No. L-24332)
Facts:
- Background of parties and property
- Concepcion and Gerundia Rallos were sisters and co-owners of Lot No. 5983, TCT No. 11118 in Cebu.
- On April 21, 1954, both executed a special power of attorney in favor of their brother Simeon Rallos to sell the property.
- Death of principal and ensuing sale
- Concepcion died on March 3, 1955.
- On September 12, 1955, Simeon Rallos sold both sisters’ undivided shares, including Concepcion’s, to Felix Go Chan & Sons Realty Corporation for P10,686.90.
- Registry actions: TCT No. 11118 cancelled; new TCT No. 12989 issued in vendee’s name.
- Judicial proceedings
- On May 18, 1956, Ramon Rallos, administrator of Concepcion’s estate, filed Civil Case No. R-4530 in the CFI of Cebu seeking:
- Declaration of sale as unenforceable as to Concepcion’s share and reconveyance to her estate.
- Cancellation of TCT No. 12989 and issuance of new title in equal shares to the corporation and the estate.
- Indemnity for attorney’s fees and costs.
- Defenses and cross-actions: Realty Corp’s cross-claim vs. Simeon’s estate; third-party complaint by Simeon’s estate vs. estate of Gerundia.
- Trial court (Hon. Amador E. Gomez) rendered judgment:
- On plaintiff’s complaint:
- Deed of sale null and void as to Concepcion’s ½ share.
- Order to cancel TCT No. 12989; issue new title to corporation and estate, ½ share each.
- Delivery of possession of ½ share to plaintiff.
- Attorney’s fees P1,000 from Simeon’s estate.
- Costs jointly and severally against defendants.
- On cross-claim:
- P5,343.45 and P500 attorney’s fees awarded to corporation against Simeon’s estate.
- On third-party complaint: dismissal without prejudice.
- Court of Appeals reversed, upheld sale validity; petition for review ensued.
Issues:
- Legality of an agent’s act after death of the principal.
- Effect of the principal’s death on the agent’s authority under the Civil Code.
- Relevance of the agent’s knowledge of the principal’s death and the third party’s good faith.
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)