Title
Dolores vs. Arro
Case
G.R. No. 48090
Decision Date
Feb 16, 1950
A trust relationship arose from a court promise, obligating Jose Yulo y Regalado to transfer disputed lots to plaintiffs; Supreme Court upheld specific performance, rejecting prescription defenses.

Case Summary (G.R. No. 48090)

Background of the Case

On January 31, 1941, Dolores Pacheco filed a petition for a writ of certiorari with the court following a judgment by the Court of Appeals, which affirmed a ruling from the Court of First Instance ordering Jose Yulo y Regalado to execute deeds of assignment for certain lots claimed by the plaintiffs. The petition presented issues surrounding an agreement made in open court that involved the renaming of streets as a condition for the transfer of property.

Original Claims and Defenses

Jose Yulo y Regalado had originally claimed the lots in question, presenting a special defense stating that the allegations did not constitute grounds for an action and that the statute of limitations had expired. Following his death, his heirs were substituted in the suit. The Court subsequently ruled in favor of the minors, establishing that the original owners had a legitimate claim to the lots.

Court Findings and Key Considerations

The Court noted that prior to the cadastral measurement and the petitioners’ formal claims, the claimants had been the actual possessors and owners of the lots. The court highlighted that the agreement established in open court, where the names of streets were to be changed in exchange for a promise to convey the lots, created a fiduciary duty on the part of Jose Yulo y Regalado. The ruling emphasized that he was to be considered a mere depositary of the titles, with an obligation to transfer ownership back to the rightful claimants.

Legal Principles Applied

The Court discussed the doctrine regarding fiduciary relationships, indicating that a trustee cannot invoke the statute of limitations to evade fulfilling obligations arising from trust. It underscored that the right of the beneficiaries would be protected, and that the original accord among the parties created a binding agreement, overriding later claims of ownership based solely on technicalities.

Admission of Evidence

In regards to the admission of Exhibit B, the Court determined that, despite the lack of formal certification or authentication, its contents were integrally related to th

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