Case Summary (G.R. No. 149190)
Factual Background: Filing and Grant of Reconstitution
Respondent, represented by former City Mayor Brigido R. Simon, Jr., filed on 15 June 1990 a petition for reconstitution docketed as LRC Case No. Q-4146(90). Respondent claimed that J.M. Tuason donated to respondent on 12 July 1973 the property covered by Transfer Certificate of Title No. 23110 (TCT No. 23110), registered earlier in the name of J.M. Tuason & Co., Inc. Respondent asserted that the original TCT No. 23110 was among the documents destroyed by the fire that razed the Office of the Register of Deeds of Quezon City on 11 June 1988. Respondent sought reconstitution under Section 3(c) of RA 26 based on a certified true copy of TCT No. 23110 issued by the Register of Deeds on 5 January 1987.
The trial court scheduled the case for hearing on 8 November 1990. Notice of hearing was published in the 10 and 17 September 1990 issues of the Official Gazette and posted at the lobby of Quezon City Hall and on the bulletin board outside the trial court on 2 July 1990. Copies of the notice were furnished to the Office of the Solicitor General, the Bureau of Lands, the Register of Deeds of Quezon City, the National Land Titles and Deeds Registration Administration, and the Office of the Quezon City Prosecutor.
At the 8 November 1990 hearing, because no opposition had been filed, the trial court issued a general order of default against the whole world except the government and permitted respondent to present evidence ex parte. Respondent presented a certification that the original TCT No. 23110 was destroyed in the 11 June 1988 fire. It also presented the deed of donation and deed of acceptance to demonstrate respondent’s real interest over the property.
On 13 November 1990, the Administrator of the Land Registration Authority informed the trial court that the technical description of the lots was not clear and could not be verified. The Administrator requested that respondent submit a clear and legible copy of the certified true copy of TCT No. 23110 to enable the LRA to render a report on the technical description. Without waiting for such report, the trial court issued an Order dated 13 March 1991 granting reconstitution and ordering the reconstitution of TCT No. 23110. The 13 March 1991 Order became final on 17 April 1991. The Register of Deeds issued to respondent TCT No. RT-28565(23110).
Petitioners’ Discovery of the Reconstituted Title and Their Annulment Petition
In the latter part of 1996, petitioner Opriasa learned, during verification of land records with the LRA and the Register of Deeds, of the issuance of TCT No. RT-28565. On 2 October 1997, petitioners, claiming to be occupants and possessors of portions of Block 416, Barangay Manresa, Sta. Mesa Heights, Quezon City, filed in the Court of Appeals a petition for annulment of the 13 March 1991 Order with prayer for temporary restraining order or preliminary injunction.
Petitioners anchored their annulment petition on alleged lack of jurisdiction and extrinsic fraud. They contended that the trial court did not acquire jurisdiction because respondent failed to disclose petitioners’ actual possession and occupancy, as allegedly required by Sections 12 and 13 of RA 26. They further alleged extrinsic fraud, asserting that they were not notified of the reconstitution petition and were therefore deprived of their day in court. Petitioners also argued that the trial court acted without jurisdiction by failing to comply with Section 8 of LRC Circular No. 35. They additionally attacked the 13 March 1991 Order, asserting that the trial court ordered reconstitution “in the name of the Quezon City Government” and that there was a discrepancy in the property area as stated in the Order and in the notice of hearing.
Respondent, in its Comment dated 23 December 1997, denied extrinsic fraud by asserting that petitioners had always been aware of the reconstitution proceedings. Respondent also maintained that the 13 March 1991 Order had become final and executory long before petitioners filed their annulment petition, and that the petition was filed beyond the reglementary period.
Proceedings in the Court of Appeals
The Court of Appeals issued its Decision on 31 July 2000, dismissing petitioners’ petition and affirming the trial court’s 13 March 1991 Order. It held that there had been compliance with the jurisdictional requirements of RA 26. It further found no extrinsic fraud. Even assuming extrinsic fraud, the Court of Appeals ruled that the action would still fail for having been filed beyond the allowable period.
The Court of Appeals relied on Section 3, Rule 47 of the 1997 Rules of Civil Procedure, which provides that when based on extrinsic fraud, an action must be filed within four (4) years from discovery. It observed that petitioners’ allegations about discovery were inconsistent: in the original petition petitioners claimed they were not personally notified, but they did not state how and when they learned of the reconstitution proceedings. Only in the amended petition did they allege that discovery occurred “only lately,” when petitioner Opriasa was verifying land records before the LRA and the Quezon City Register of Deeds, and that therefore the petition was filed within four years from the alleged 1996 discovery.
The Court of Appeals compared the parties’ narratives and found respondent’s evidence more credible. It also noted as an undisputed fact that petitioner Opriasa had been a barangay official at the subject property since 1988, and therefore could not plausibly claim ignorance of the development program (“pabahay plan”) of respondent city government and, by implication, of the reconstitution move since the time frame preceded the alleged discovery. It concluded that petitioners’ prolonged inaction amounted to negligence, which did not warrant equitable relief.
Petitioners sought reconsideration, but the Court of Appeals denied the motion in its 18 July 2001 Resolution, prompting the present Rule 45 petition.
Issues Raised Before the Supreme Court
Petitioners presented the following issues: whether the trial court acquired jurisdiction over the reconstitution petition despite the alleged lack of actual notice to occupants or persons in possession; whether there was extrinsic fraud; whether the period to file a petition for annulment had already prescribed; whether the trial court acted without jurisdiction when it issued the 13 March 1991 Order without waiting for the LRA report; and whether the trial court acted without or in excess of jurisdiction when it (a) ordered reconstitution “in the name of the Quezon City Government,” and (b) proceeded despite alleged discrepancies in the stated property area between the Order and the notice of hearing.
Supreme Court’s Ruling: Petition Denied
The Court held that the petition had no merit and denied it. It affirmed the Court of Appeals Decision dated 31 July 2000 and its Resolution dated 18 July 2001.
Legal Basis and Reasoning: RA 26 Notice Requirements as Mandatory and Jurisdictional
The Court emphasized that jurisdiction over the subject matter is conferred by the Constitution or by law. Where the statute confers authority and the manner of obtaining jurisdiction is mandatory, compliance is required or the proceedings become void. Under Sections 12 and 13 of RA 26, the Court held that the special requirements and procedure must be complied with before the trial court can acquire jurisdiction over a petition for reconstitution. Failure to comply renders the proceedings and the decision approving reconstitution void.
The Court reiterated the mandatory elements: publication of the notice twice in successive issues of the Official Gazette at the petitioner’s expense; posting at least thirty days prior to hearing at the main entrance of the provincial building and the municipal building of the city or municipality where the land is situated; the notice’s contents including the number of lost or destroyed certificates of title if known, the registered owner’s name, the names of occupants or persons in possession, adjoining owners, and all other interested parties, and the property’s location, area, and boundaries; and the date by which interested persons must appear and file their claims or objections. The Court also identified as mandatory the sending of a copy of the notice by registered mail or otherwise at the petitioner’s expense to every person named whose address was known, at least thirty days prior to hearing, and submission at hearing of proof of publication, posting, and service as directed by the court.
Notice to Occupants or Persons in Possession and Petitioners’ Alleged Status
On the issue of actual notice, the Court recognized that for the trial court to acquire jurisdiction, occupants of the property should be notified. It found that the notice of hearing and the case records did not show that petitioners, who claimed to be occupants or persons in possession, were notified of the reconstitution petition. Petitioners therefore asserted lack of jurisdiction due to absence of notice.
The Court, however, assessed petitioners’ own admission regarding possession. Petitioners admitted that on 19 June 1989, they filed Civil Case No. Q-89-2768 against respondent for Recovery of Possession and Damages with Preliminary Injunction involving about 20,000 square meters of the property. The Court treated this as an admission that petitioners were no longer in possession when respondent filed the reconstitution petition on 15 June 1990. On that basis, the Court concluded that there was no need to notify petitioners as they were not the occupants or persons in possession entitled to the notice requirement. Since petitioners were not entitled to notice, the Court further held that they could not successfully claim extrinsic fraud premised on deprivation of notice and opportunity to be heard.
LRC Circular No. 35 and Non-Waiting for the LRA Report
Petitioners
...continue reading
Case Syllabus (G.R. No. 149190)
- Petitioners Felicisimo L. Opriasa and Pastor C. Ofilan sought review under Rule 45 of the Court of Appeals decision and resolution that affirmed the Regional Trial Court, Quezon City, Branch 76 order granting reconstitution of title.
- The Court of Appeals dismissed petitioners’ petition to annul the RTC order and denied reconsideration.
- The petition before the Court alleged lack of jurisdiction, extrinsic fraud, prescription, and jurisdictional defects in how the RTC proceeded and framed the reconstituted title.
Parties and Procedural Posture
- Respondent City Government of Quezon City initiated LRC Case No. Q-4146(90) for reconstitution of Transfer Certificate of Title No. 23110 (TCT No. 23110).
- Petitioners later filed a petition in the Court of Appeals for annulment of the 13 March 1991 RTC order granting reconstitution.
- The RTC held proceedings on the reconstitution petition after publication and posting, and then entered a general order of default due to lack of opposition.
- The Court of Appeals ruled that statutory notice and jurisdictional requirements under RA 26 were complied with, that extrinsic fraud was absent or, if assumed, the action was time-barred.
- The Court of Appeals denied petitioners’ motion for reconsideration in the 18 July 2001 resolution.
- The Court ultimately denied the petition and affirmed the Court of Appeals’ decision and resolution.
Key Factual Allegations
- On 15 June 1990, respondent filed in the trial court a petition to reconstitute TCT No. 23110, docketed as LRC Case No. Q-4146(90).
- Respondent claimed that J.M. Tuason donated the property to the city on 12 July 1973, and that the claimed title was originally registered in the name of J.M. Tuason & Co., Inc. (J.M. Tuason).
- Respondent alleged that the original TCT No. 23110 was destroyed in the 11 June 1988 fire that razed the Office of the Register of Deeds of Quezon City.
- Respondent invoked Section 3(c) of Republic Act No. 26 because it relied on a certified true copy of TCT No. 23110 issued on 5 January 1987.
- The RTC scheduled the case for hearing on 8 November 1990, and respondent’s notice was published in the 10 and 17 September 1990 issues of the Official Gazette and posted at Quezon City Hall and the bulletin board outside the trial court on 2 July 1990.
- The RTC furnished copies of the notice to the Office of the Solicitor General, the Bureau of Lands, the Register of Deeds of Quezon City, the National Land Titles and Deeds Registration Administration, and the Office of the Quezon City Prosecutor.
- At the hearing on 8 November 1990, the RTC issued a general order of default and allowed respondent to present evidence ex parte because there was no opposition.
- Respondent presented a Register of Deeds certification that the original TCT No. 23110 was destroyed and presented the deed of donation and deed of acceptance.
- After the hearing, the LRA informed the trial court on 13 November 1990 that the technical description was unclear and requested submission of a clear and legible copy so it could verify and report.
- Without waiting for the LRA report, the RTC granted reconstitution in an Order dated 13 March 1991, which became final on 17 April 1991.
- After reconstitution, the Register of Deeds issued TCT No. RT-28565(23110) (TCT No. RT-28565).
- Petitioners claimed that in the latter part of 1996 petitioner Opriasa learned of the issuance of TCT No. RT-28565 after verifying land records with the LRA and the Register of Deeds.
- On 2 October 1997, petitioners filed in the Court of Appeals a petition for annulment of the 13 March 1991 order with prayer for temporary restraining order or preliminary injunction.
- Petitioners alleged lack of jurisdiction because respondent did not disclose their actual possession and occupancy as required by Sections 12 and 13 of RA 26.
- Petitioners also alleged extrinsic fraud due to lack of notification and deprivation of their day in court.
- Petitioners further alleged that the RTC acted without jurisdiction by issuing the 13 March 1991 order without waiting for compliance with Section 8 of LRC Circular No. 35.
- Petitioners attacked the RTC order for directing reconstitution “in the name of the Quezon City Government” and for allegedly having a discrepancy in the property area between the RTC order and the notice of hearing.
Statutory Framework
- The Court treated jurisdiction in reconstitution as governed by the mandatory and special procedure in Republic Act No. 26 (RA 26).
- Sections 12 and 13 of RA 26 were characterized as prescribing requirements that must be complied with before the trial court may acquire jurisdiction over a reconstitution petition.
- Section 3(c) of RA 26 provided the basis for reconstitution from a certified copy previously issued by the Register of Deeds or a legal custodian.
- Section 12 of RA 26 required that the petition state the names and addresses of the occupants or persons in possession, among others.
- Section 13 of RA 26 required the trial court to cause notice to be sent to every person named in the notice whose address is known at least thirty days prior to hearing.
- Section 13 of RA 26 also required the notice to state, among other things, the title number, registered owner, occupants or persons in possession, adjoining owners, and the property description, and to specify the date for appearance and filing of claims or objections.
- The Court also addressed the function of LRC Circular No. 35, particularly Section 8, which involved processing and checking compliance after receipt of the petition and possible abeyance if requirements or technical plans were deficient.
- The Court cited Section 3, Rule 47 of the 1997 Rules of Civil Procedure for the four-year period to annul a judgment or final order based on extrinsic fraud, computed from discovery.
- The Court relied on jurisprudence on noncompliance with LRC Circular No. 35 and on the nondivestiture of trial court jurisdiction for failures not contemplated as jurisdictional defects under the governing statute.
Issues Raised
- The Court confronted whether the RTC acquired jurisdiction over the reconstitution petition despite petitioners’ claim of lack of actual notice to occupants or persons in possession.
- The Court also addressed whether extrinsic fraud existed to justify annulment.
- The Court considered whether the petition for annulment had been filed beyond the period prescribed by the rules.
- The Court addressed whether the RTC acted without jurisdiction when it granted reconstitution without waiting for an LRA report after a technical-description concern was raised.
- The Court addressed whether the RTC acted without or in excess of jurisdiction when it ordered reconstitution “in the name of the Quezon City Government.”
- The Court also addressed whether the RTC acted without or in excess of jurisdiction due to an alleged di