Title
Lindain vs. Court of Appeals
Case
G.R. No. 95305
Decision Date
Aug 20, 1992
Minors’ land sold by guardian without court approval; petitioners claim void sale, SC reinstates nullity, prescribes after 30 years, 1966-1987 dispute.

Case Summary (G.R. No. 95305)

Factual Background

The petitioners were the registered owners of a parcel of land, covered by Transfer Certificate of Title No. NT-63540, when their mother, acting as their guardian, sold the land in 1966 for P2,000 to the respondents. The transaction was documented in a Deed of Absolute Sale and was duly registered with the Register of Deeds. The respondents, after initially expressing concerns regarding the legality of the sale due to the minor status of the petitioners, were advised by legal counsel that the sale could proceed without court approval, since the property was valued under P2,000. The title was subsequently transferred to their names under Certificate of Title No. 66311.

Legal Contention

The petitioners claimed that the sale was null and void as it lacked judicial authority or court approval, which they argued was a necessary requirement for the valid disposition of minor’s property. In contrast, the respondents maintained the sale's validity, asserting that the petitioners could not rescind the contract because they had reached the age of majority, and any claims had already prescribed.

Trial Court Decision

The RTC ruled in favor of the petitioners, declaring the sale void due to the absence of judicial approval. The court ordered the cancellation of the title in the respondents' names and directed the issuance of a new title in favor of the petitioners. Furthermore, the RTC mandated that the respondents vacate the property while preserving their rights as good faith possessors.

Court of Appeals Decision

Upon appeal, the Court of Appeals reversed the RTC's decision, referencing a precedent that allowed parents to sell minor children’s property without court approval if the value was below P2,000. This court upheld the respondents’ position and dismissed the petitioners' complaint.

Supreme Court Analysis

The Supreme Court found merit in the petitioners' claims. Citing Article 320 of the New Civil Code, the court reiterated that a legal administrator, in this case, their mother, could not validly dispose of the property without court approval when its value exceeded P2,000. The Court emphasized the importance of judicial oversight in such transactions involving minors, reinforcing the restrictions placed on a parent’s authority to ensure the protection of the children's interests.

Good Faith and Prescription

The S

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