Title
Sarmiento vs. Agana
Case
G.R. No. 57288
Decision Date
Apr 30, 1984
Couple built house on land mistakenly believed owned by in-laws; court upheld their good faith, ordered landowner to reimburse or sell land.
A

Case Digest (G.R. No. 57288)

Facts:

  • Procedural Posture
    • Petitioner Leonila Sarmiento filed an ejectment suit in the Municipal Court of Parañaque against spouses Ernesto Valentino and Rebecca Lorenzo-Valentino for unlawfully occupying her land.
    • The Municipal Court valued the improvements at ₱20,000 and ordered eviction upon payment; the Court of First Instance of Pasay City, on memoranda under R.A. 6031 and Article 448 of the Civil Code, modified the judgment to require Sarmiento to either indemnify respondents ₱40,000 or sell the land to them for ₱25,000.
  • Construction and Sale of Property
    • In 1967, believing the lot to belong to his mother-in-law, Ernesto built a residential house on a 145 sqm lot (Lot D, Paranaque) at a cost of ₱8,000–10,000.
    • The lot was actually titled to Jose C. Santos Jr., who sold it to Sarmiento on September 7, 1974 for ₱15,000.
  • Ejectment Proceedings and Valuations
    • January 6, 1975: Sarmiento demanded respondents vacate; April 21, 1975: she filed ejectment.
    • At trial, Ernesto testified the house’s value was ₱30,000–40,000 (uncontroverted); the Municipal Court set it at ₱20,000. On appeal, the CFI chose the ₱40,000 figure and set the land’s value at ₱25,000.
  • Certiorari Petition
    • Sarmiento sought certiorari relief in the Supreme Court, alleging the CFI abused its discretion in valuation and in the relief granted.

Issues:

  • Whether respondents were builders in good faith entitled to the options under Article 448 of the Civil Code.
  • Whether the Court of First Instance abused its discretion in valuing the house at ₱40,000 and the land at ₱25,000.
  • Whether the relief—granting Sarmiento the choice to indemnify or sell—comported with the Civil Code.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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