Title
Spouses Rebamonte vs. Spouses Lucero
Case
G.R. No. 237812
Decision Date
Oct 2, 2019
Dispute over Lot No. 1305-A involving unregistered sales, jurisdiction, and validity of deeds; SC upheld CA, voiding two sales due to lack of authority.

Case Summary (A.M. No. RTJ-13-2360)

Essential Facts and Antecedent Proceedings

The subject property, originally owned by Guillermo Lucero's parents (Marcos and Tomasa), was mortgaged to the Development Bank of the Philippines due to a loan default, leading to an extrajudicial foreclosure. Despite this, a repurchase agreement allowed the parents to regain ownership before selling the lot to Guillermo. Meanwhile, Lino Rebamonte claimed ownership of three hectares of Lot No. 1305-A through alleged sales from Tomasa and Guillermo's sisters, albeit these sales were unregistered. Guillermo, demanding possession of his property, filed a complaint against the petitioners, leading to litigation in the RTC.

Ruling of the RTC

On February 3, 2012, the RTC declared the deeds of sale from Guillermo's sisters to Lino as null and void, stating that they had no right to sell the property due to the parents being the rightful owners at the time of the transactions. Conversely, the RTC recognized the sale from Tomasa to Lino as valid. Consequently, the RTC ordered the petitioners to vacate the disputed portions and allocated damages to the respondents.

Ruling of the Court of Appeals

The Court of Appeals upheld the RTC's decision, denying the petitioners' appeal for lack of merit. They confirmed that the two deeds from Guillermo's sisters were indeed void due to the lack of ownership rights at the time of sale.

Issues Raised by Petitioners

The petitioners raised several issues before the Supreme Court, primarily questioning the jurisdiction of the RTC based on the assessed property value, alleging defective service of summons, and asserting that the failure to substitute a deceased party rendered the RTC's decision null and void.

The Court's Ruling on Jurisdiction

Initially, the petitioners contended that the RTC lacked jurisdiction because the assessed value of the subject portions was below the threshold for RTC cases, thus falling under the jurisdiction of the Municipal Trial Court. However, they were barred from raising this argument at this late stage due to the doctrine of estoppel by laches as they had actively participated in the proceedings without previously asserting a lack of jurisdiction.

The Court's Ruling on Service of Summons

The petitioners' claim regarding defective service of summons was dismissed by the Supreme Court, which noted that their voluntary appearance was tantamount to proper service. The petitioners had engaged fully in the trials and proceedings, thereby undermining their claim of insufficient service.

The Court's Ruling on Substitution of a Deceased Party

The Supreme Court addressed the petitioners' assertion that the death of respondent Guillermo in 2000 warranted a nullification of the RTC decision due to unaddressed substitution. The Court clarified that the failure to substitute a party does not automatically void a judgment unless i

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