Case Summary (G.R. No. 138386-87)
Case Background
The legal conflict arises from defendants Juan Tong and Pua Giok Eng's assertion of ownership over the rice mill and camarin due to a deed dated July 31, 1931, for which Ong Guan Can, Jr. acted as an agent. The plaintiff contends that the property is owned by Ong Guan Can and is accessible for execution due to outstanding debts.
Court Findings at First Instance
The Court of First Instance of Capiz ruled that the 1931 deed was invalid, asserting that it did not transfer ownership of the property in question. The ruling stated that the execution could proceed against the properties since Ong Guan Can's ownership had not been effectively divested.
Validity of the Deed
The court noted significant issues with the deed, specifically the lack of designation indicating Ong Guan Can, Jr.'s role as an agent when signing. Although a power of attorney issued on May 23, 1928, was referenced, the court categorized it as a limited power that did not authorize the alienation of the properties. This limitation is consistent with Article 1713 of the Civil Code, which states that the power of attorney must explicitly allow the agent to alienate property for such a transfer to be valid.
Appellants' Arguments
The appellants argued that the defect in the deed was remedied by presenting a previous general power of attorney from 1920. However, the court cited Article 1732 of the Civil Code, explaining that a new limited power of attorney does not necessarily revoke a prior general power of attorney. Thus, if there is inconsistency between the powers,
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Case Overview
- This case revolves around a dispute over ownership of a rice mill and camarin located in Dao, Province of Capiz.
- The plaintiff, DY BUNCIO & COMPANY, INC., claims that the property belongs to its judgment debtor, Ong Guan Can.
- The defendants, Juan Tong and Pua Giok Eng, assert ownership as the owner and lessee based on a deed dated July 31, 1931, executed by Ong Guan Can, Jr.
Court Proceedings
- The initial trial was held in the Court of First Instance of Capiz.
- The court ruled that the deed in question was invalid.
- The ruling indicated that the property was subject to execution due to the judgment creditor's claims against the owner, Ong Guan Can.
Appeal
- Defendants Juan Tong and Pua Giok Eng filed an appeal, arguing that the deed executed on July 31, 1931, is valid.
- The appeal focuses on the legitimacy of the authority under which Ong Guan Can, Jr. acted as the agent in the sale of the property.
Details of the Deed
- The deed states that Ong Guan Can, Jr. sold the rice mill and camarin for P13