Title
Spouses Cruz vs. Leis
Case
G.R. No. 125233
Decision Date
Mar 9, 2000
Gertrudes sold conjugal property post-husband's death; heirs contested sale. SC ruled property conjugal, sale of half-share valid, but consolidation improper without judicial order.

Case Digest (G.R. No. 125233)
Expanded Legal Reasoning Model

Facts:

  • Marriage and Acquisition of Property
    • Adriano Leis and Gertrudes Isidro were married on 19 April 1923.
    • On 27 April 1955, Gertrudes acquired from the Department of Agriculture and Natural Resources a 100-sq.m. lot in Bo. Sto. Niño, Marikina, Rizal, covered by TCT No. 42245, described as “Gertrudes Isidro, widow.”
    • On 2 March 1956, TCT No. 43100 was issued in the name of “Gertrudes Isidro,” likewise as “widow.”
  • Loan, Contracts of Sale, and Transfer of Title
    • On 5 February 1985, Gertrudes borrowed ₱15,000 from spouses Alexander and Adelaida Cruz at 5% interest, secured by a mortgage on TCT No. 43100.
    • Failing to pay by 5 February 1986, she executed on 11 March 1986:
      • A “Kasunduan” (pacto de retro sale), granting her one year to repurchase.
      • A “Kasunduan ng Tuwirang Bilihan” (deed of absolute sale) over the same property for ₱39,083.00.
    • Upon failure to repurchase, title consolidated in Alexander Cruz; TCT No. 130584 was issued on 21 April 1987.
  • Death, Ejectment Demand, and Litigation
    • Gertrudes died on 9 June 1987, intestate. Her heirs (private respondents) then received ejectment demands from petitioners.
    • Private respondents sued in the RTC of Pasig to nullify the absolute sale and title, alleging:
      • Fraud (due to Gertrudes’ illiteracy and age).
      • Undervaluation of the property.
      • Conjugal nature of the land—sale effected without spousal consent.
    • The RTC declared the absolute‐sale contract and TCT No. 130584 null and void, ruled the property conjugal, reinstated TCT No. 43100, and awarded damages and attorney’s fees.
    • The Court of Appeals affirmed; petitioners appealed to the Supreme Court.

Issues:

  • Was the disputed property conjugal or Gertrudes’ exclusive (paraphernal) property?
  • Does redemption from a prior mortgage foreclosure terminate co‐ownership and vest exclusive title in Gertrudes?
  • Does failure to obtain a judicial order under Article 1607, Civil Code, invalidate the consolidation of ownership in the vendee a retro?
  • What is the effect of Gertrudes’ failure to repurchase under the pacto de retro on title and ownership?

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

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