Title
Spouses Inalvez vs. Nool
Case
G.R. No. 188145
Decision Date
Apr 18, 2016
A property dispute arose over co-ownership rights after foreclosure and sale, with respondents claiming forgery and asserting possession for over 35 years, upheld by courts.

Case Summary (G.R. No. 188145)

Historical Ownership and Transactions

The land in question was initially covered by TCT No. 58398, registered in the names of Spouses Nicolas and Francisca Nool and Spouses Cornelio and Bayang Nool, with a total area of 15.1441 hectares. In 1965, a portion was sold to the petitioners and Maria Zamora, leading to the cancellation of TCT No. 58398 and the issuance of TCT No. 58439, which included fractional shares for all owners involved. After further transactions, including a mortgage executed in 1980 and subsequent foreclosure, TCT No. 188252 was eventually issued to the petitioners and Spouses Jim and Liberty Baluyot.

Respondents’ Claims and Ejectment Proceedings

The respondents continued their possession of the property after the transactions, with Bayang asserting her claim as a co-owner based on inheritance. They argued that they had been in continuous and exclusive possession of the property, contending that they achieved ownership through ordinary acquisitive prescription. The petitioners initiated ejectment proceedings in 2000, alleging that respondents failed to share harvest proceeds as agreed.

Legal Proceedings and Initial Rulings

The Department of Agrarian Reform Adjudication Board (DARAB) dismissed the petitioners' case for lack of a tenancy relationship. Subsequently, the petitioners pursued recovery of possession through the Regional Trial Court (RTC). The RTC ruled in favor of the petitioners, ordering the respondents to vacate the property and pay compensation, thus recognizing the petitioners as the rightful owners based on their current titles.

Court of Appeals Decision

Upon appeal, the Court of Appeals (CA) reversed the RTC's decision, affirming that co-ownership existed despite the transactions involving the mortgage and foreclosure. The CA highlighted that the petitioners could not claim exclusive ownership based solely on registered title, as the foreclosure did not terminate the co-ownership rights of the respondents. The CA noted issues of forgery concerning the mortgage agreements, further undermining the validity of the petitioners' claims.

Supreme Court’s Ruling

The Supreme Court affirmed the CA's decision, determining that co-ownership between the petitioners and respondents persisted through the transactions involving TDB and the subsequent reacquisition of the property by the petitioners. It reiterated that the mere act of mortgaging without the consent of the co-owners does not affect their owners

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