Title
Rebusquillo vs. Spouses Gualvez
Case
G.R. No. 204029
Decision Date
Jun 4, 2014
Avelina, not sole heir, signed void Affidavit of Self-Adjudication and simulated Deed of Sale to facilitate titling; SC upheld RTC, annulling documents without separate heirship proceeding.

Case Summary (G.R. No. 183871)

Facts of the Case

• Eulalio died intestate on July 3, 1964; Victoria died intestate on June 30, 1983. They left an untitled 2,869 sqm land in Legazpi City recorded as Tax Declaration ARP No. 0141.
• In December 2001 and February 2002, Avelina signed an Affidavit of Self-Adjudication and a Deed of Absolute Sale in favor of respondents to “facilitate titling.” She purportedly believed she was the sole heir.
• Respondents advanced P50,000 to Avelina and paid delinquent taxes, agreeing that all heirs would share in the property and reimburse costs upon sale.
• In October 2004, Avelina and Salvador filed a complaint to annul both documents, restore TD 0141, and protect other heirs’ rights.

Procedural History

• RTC (Jan. 20, 2009) – Annulled the Affidavit and Deed: Avelina was not sole heir; the sale lacked intent as a true transfer. Ordered cancellation of the new tax declaration and reinstatement of ARP 0141; directed Avelina to refund P50,000.
• CA (Mar. 30, 2012/Sept. 25, 2012) – Reversed the RTC: held that heirship issues require special administration proceedings; the notarized Deed enjoys presumption of regularity and cannot be annulled in an ordinary action.
• SC (June 4, 2014) – Granted petition; reversed the CA; reinstated the RTC decision.

Issues

  1. Whether heirship may be determined in an ordinary civil action or only in special probate/intestate proceedings.
  2. Whether Avelina’s Affidavit of Self-Adjudication is valid if she is not the sole heir.
  3. Whether the Deed of Absolute Sale is void despite being notarized and under the parol-evidence rule.

Applicable Law and Legal Principles (1987 Constitution as Basis)

• Rule 74, Sec. 1, Rules of Court – Extrajudicial settlement by affidavit is available only if there is one heir.
• Rule 130, Sec. 9, Rules of Court – Exceptions to the parol-evidence rule allow proof of true intent, validity, or existence of other terms when the agreement’s validity or true intent is in issue.
• Civil Code, Arts. 1345–1346 – Distinguish between absolute simulation (void) and relative simulation of contracts.
• Jurisprudential exception – When parties have stipulated heirship facts and presented evidence, special proceedings may be dispensed with (Portugal v. Portugal-Beltran, Pereira v. Court of Appeals).

Supreme Court Ruling

  1. Heirship Determination
    – Respondents admitted in pre-trial stipulations that Avelina was not sole heir and that Salvador was co-heir. Under the jurisprudential exception, no separate administration proceeding was necessary.
  2. Affidavit of Self-Adjudication
    – Section 1, Rule 74 requires a sole heir. Avelina, not being sole heir, falsely declared herself as such. The affida

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