Case Summary (G.R. No. 151334)
Applicable Law and Procedural Framework
Applicable constitutional framework: 1987 Philippine Constitution (decision rendered post-1990). Relevant statutory and procedural authorities: Rules of Court (Rule 45 for certiorari, Rule 69 for partition by commissioners), the Old Civil Code (as governing succession and conjugal partnership for events before 1950), and pertinent Civil Code provisions cited in the record (e.g., Articles 493, 494, 834, 1456, and relevant succession articles). Relevant jurisprudential principles concerning the Torrens system, co-ownership, prescription, laches, and implied trusts were applied.
Factual Background
Leandro Figuracion died intestate in May 1958; his surviving spouse was Carolina. Their children included Emilia and several co-heirs. Leandro executed a Deed of Quitclaim on August 23, 1955 in favor of his six children concerning Lot Nos. 2299 and 705, though specific shares were not delineated. Lot No. 707 was originally owned by Eulalio Adviento and covered by OCT No. 15867. Agripina Adviento (daughter of Eulalio by his first wife Marcela) executed a Deed of Quitclaim on November 28, 1961 transferring the eastern half of Lot No. 707 to her niece Emilia. On December 11, 1962, Carolina executed an Affidavit of Self-Adjudication purporting to adjudicate the entire Lot No. 707 to herself and, on the same date, executed a Deed of Absolute Sale of Lot No. 707 in favor of Hilaria and Felipa; TCT No. 42244 was thereafter issued in the names of Hilaria and Felipa. Emilia resided in the United States from 1971 until 1981, built a house on the eastern half of Lot No. 707 after returning, and in 1994 filed a complaint for partition, annulment of documents, reconveyance, quieting of title, and damages following threats to demolish her house.
Issues Presented
The issues simplified during pre-trial were: (1) whether Lot Nos. 2299 and 705 were the exclusive properties of Leandro (and therefore subject to partition among his heirs), and (2) whether Emilia was the owner of the eastern half of Lot No. 707. On further appeal and prior Supreme Court action in a related docket, the dispute before the Court pertained only to Lot No. 707.
Trial Court Findings
The Regional Trial Court (Branch 49, Urdaneta) dismissed Emilia’s complaint for partition, reconveyance, quieting of title, and damages, but declared null and void Carolina’s Affidavit of Self-Adjudication, the Deed of Sale, and TCT No. 42244 insofar as they affected Lot No. 707. The RTC held that partition of Lot Nos. 2299 and 705 was premature pending estate settlement of Leandro’s estate. As to Lot No. 707, the RTC concluded that Carolina transferred only her one-half share to Felipa and Hilaria and that any disposition of Agripina’s share was void; nevertheless, the court declined to finally adjudicate the eastern half to Emilia pending settlement of Eulalio’s estate.
Court of Appeals Decision
The Court of Appeals reversed the RTC insofar as it refused to order partition of Lot No. 707. The CA held that Carolina’s sale of the entire lot in 1962 affected only her pro indiviso share and did not prejudice Agripina’s share that had been conveyed earlier to Emilia by Deed of Quitclaim. Consequently, the proper remedy was partition of Lot No. 707 to segregate the share belonging to the seller and give it to the buyer. The CA declared Lot No. 707 to be owned pro indiviso as follows: Emilia – 1/2; Felipa – 1/4; Hilaria – 1/4, and directed partition under Rule 69 if the parties could not agree.
Scope of Review and Procedural Bar on New Defenses
The petitioners attempted on appeal to challenge the nature, execution, and enforceability of Agripina’s Deed of Quitclaim—arguing it was an unaccepted donation and pointing to alleged defects (non-registration, absence in court archives, absence from National Archives, and purported lack of notarial commission of the notary). The Supreme Court declined to consider these contentions because they were not raised below at trial and thus contravened the well-settled rule (Rule 44, Sec. 15 of the Rules of Court) that issues not raised in the lower courts ordinarily cannot be raised for the first time on appeal. The Court observed that the new theory would have required reception of additional evidence and a trier-of-fact determination, matters beyond the scope of a Rule 45 petition.
Ownership, Co-ownership and Effect of Alienation by One Co-owner
The Court affirmed the CA’s determination that Lot No. 707 was co-owned by Agripina and Carolina as heirs of Eulalio. A co-owner cannot, by self-adjudication or by unilateral act, divest the share of another co-owner (nemo dat quod non habet). Accordingly, when Carolina sold the entire lot, she conveyed only her pro indiviso share; the buyers (Hilaria and Felipa) acquired only whatever portion corresponded to Carolina’s share and became co-owners with Emilia (as Agripina’s successor-in-interest) in respect of the remaining undivided portions. The issuance of a Torrens title in the buyers’ names did not conclusively extinguish the rights of the unnamed co-owner; the Torrens system records and confirms title but does not create a title in favor of one who has no rightful claim. Thus, Emilia’s prior acquisition of Agripina’s eastern half by Deed of Quitclaim supported her right to co-ownership and to compel partition.
Prescription, Laches, and Acts Repudiating Co-ownership
The petitioners argued that issuance of TCT No. 42244 and the lapse of time had resulted in acquisitive prescription or laches in their favor. The Court applied established criteria for repudiation and acquisitive prescription among co-owners: repudiation must be clear and known to other co-owners, evidenced conclusively, and accompanied by exclusive, notorious possession for the prescriptive period. The Court found those elements lacking. The acts of Hilaria and Felipa—such as registering the title and paying certain taxes—were insufficient to show open, continuous, exclusive, and notorious possession hostile to Emilia’s rights, particularly as Hilaria paid taxes on behalf of Emilia for certain years and Emilia built on the eastern portion without opposition until 1994. The Court also emphasized that when registration occurs in trust-like circumstances whereby a co-owner is excluded from the title, an implied trust may arise by operation of law; a trustee-registrant cannot rely on Torrens registration to repudiate the trust. Laches was similarly inapplicable because Emilia filed suit promptly after an express repudiation (the attempted demolition) occurred in 1994.
Succession Analysis Under the Old Civil Code and Apportionment
Because the relevant deaths and marriages predated the New Civil Code, succession and conjugal property aspects were governed by the Old Civil Code. The Court analyzed the distribution of Lot No. 707 upon Eulalio’s death and subsequent death of Faustina, concluding that Agripina was entitled to 5/8 of Lot No. 707 and Carolina to 3/8, with Faustina’s usufructary rights merging upon her death. However, Agripina’s Deed of Quitclaim conveyed only the eastern one-half (1/2) of the lot to Emilia rather than Agripina’s entire 5/8 entitlement; the remainder of Agripina’s 5/8 not conveyed by the deed (i.e., 1/8) would devolve to Agripina’s nearest collateral (Carolina) under succession rules. Taking those inheritance proportions and the effect of the deeds into account, the Court recalculated the proper partition among the
Case Syllabus (G.R. No. 151334)
Case Caption and Nature of Proceeding
- Petition for Review on Certiorari under Rule 45 of the Rules of Court, assailing the Court of Appeals Decision dated December 11, 2001 in CA‑G.R. CV No. 58290, which reversed and set aside the Regional Trial Court (RTC) of Urdaneta, Pangasinan, Branch 49 Decision dated June 26, 1997.
- RTC had dismissed respondent Emilia Figuracion‑Gerilla’s complaint for partition, annulment of documents, reconveyance, quieting of title and damages, while the RTC also annulled the Affidavit of Self‑Adjudication executed by petitioner Carolina (Carlina) Vda. De Figuracion.
- The petitioners seek reversal of the CA decision; the Supreme Court’s eventual disposition affirms the CA decision with modifications and remands for partition by commissioners.
Parties and Relationships
- Petitioners: Carolina (Carlina) Vda. De Figuracion (surviving spouse of Leandro Figuracion) and heirs of other children (Elena Figuracion‑Ancheta’s heirs, heirs of Hilaria A. Figuracion, heirs of Quintin Figuracion).
- Respondent: Emilia Figuracion‑Gerilla, one of the children of Leandro and Carolina.
- All parties are heirs of Leandro Figuracion, who died intestate in May 1958; Carolina is the surviving spouse; the other heirs named are Leandro and Carolina’s children.
- Additional familial background: Lot No. 707 originally belonged to Eulalio Adviento; Eulalio had children Agripina (by first wife Marcela Estioko) and Carolina (by second wife Faustina Escabesa); Agripina died July 28, 1963, single and without issue.
Properties in Dispute
- Lot No. 2299: area 7,547 sq. m., originally covered by TCT No. 4221‑P (later cancelled and replaced by TCT No. 101331 after sale of 162 sq. m. to Lazaro Adviento).
- Lot No. 705: area 2,900 sq. m., covered by TCT No. 4220‑P.
- Lot No. 707 (Cadastral Survey of Urdaneta, Pangasinan): area 3,164 sq. m., originally covered by OCT No. 15867 issued in the name of Eulalio Adviento on August 21, 1917.
- Subject matter of the complaint: partition of Lots Nos. 2299, 705 and 707; annulment of Affidavit of Self‑Adjudication, Deed of Absolute Sale and TCT No. 42244 (covering Lot No. 707); reconveyance of eastern half of Lot No. 707; quieting of title and damages.
Material Documentary Transactions and Acts
- August 23, 1955: Leandro executed a Deed of Quitclaim over Lots Nos. 2299 and 705 in favor of his six children; shares not specifically delineated because Leandro and Carolina reserved the lots and their fruits for their expenses.
- November 28, 1961: Agripina executed a Deed of Quitclaim over the eastern half of Lot No. 707 in favor of her niece Emilia (document described in petitioners’ submissions; wording of quitclaim recited in records).
- December 11, 1962: Carolina executed an Affidavit of Self‑Adjudication adjudicating unto herself the entire Lot No. 707 as sole and exclusive heir of Eulalio and Faustina.
- December 11, 1962 (same date): Carolina executed a Deed of Absolute Sale over Lot No. 707 in favor of Hilaria and Felipa; Hilaria and Felipa caused cancellation of OCT No. 15867 and issuance of TCT No. 42244 in their names.
- 1971–1981: Emilia and family went to the United States and returned to the Philippines in 1981; upon return, Emilia built a house on the eastern half of Lot No. 707, relying on Agripina’s Deed of Quitclaim.
- 1994: Hilaria and agents threatened to demolish Emilia’s house; Katarungang Pambarangay proceedings failed to settle the dispute; Emilia instituted the complaint for partition and related reliefs on May 23, 1994.
Procedural History
- Pre‑trial in RTC: issues framed to include whether Lot Nos. 2299 and 705 were Leandro’s exclusive properties and whether Emilia is owner of eastern half of Lot No. 707.
- RTC Decision (June 26, 1997): dismissed the complaint for partition, reconveyance, quieting of title and damages; annulled the Affidavit of Self‑Adjudication, Deed of Absolute Sale and TCT No. 42244 (concerning Lot No. 707); held partition of Lots 2299 and 705 premature and declined to adjudicate eastern half of Lot No. 707 in Emilia’s favor because estate settlement of Eulalio was not yet undertaken.
- CA Decision (December 11, 2001): reversed and set aside RTC decision insofar as Lot No. 707, ruling that RTC erred in refusing to partition Lot No. 707; declared Lot No. 707 covered by TCT No. 42244 to be owned as follows: Emilia — A1/2 pro indiviso share; Felipa — A1/4 pro indiviso share; Hilaria — A1/4 pro indiviso share; directed partition among them or appointment of commissioner under Rule 69. CA agreed partition of Lots 2299 and 705 premature.
- Appeal from CA to Supreme Court by Emilia (G.R. No. 154322): Court denied appeal on August 22, 2006, concurring with CA’s holding regarding partition of Lots 2299 and 705 being inappropriate.
- Present Petition (G.R. No. 151334): petitioners challenge CA decision as contrary to law and jurisprudence; Supreme Court resolved only issues concerning Lot No. 707 in view of prior denial relating to Lots 2299 and 705.
Issues Presented on the Petition
- Whether petitioners may raise for the first time on appeal arguments challenging the execution and enforceability of Agripina’s Deed of Quitclaim (i.e., that it was actually an unaccepted donation and is void).
- Whether respondent Emilia is entitled to compel partition of Lot No. 707 and whether her right to demand partition is barred by acquisitive prescription or laches.
- Proper apportionment of ownership shares in Lot No. 707 among Emilia, Hilaria, Felipa and Carolina’s estate, taking into account conjugal and succession rules applicable under the Old Civil Code.
Parties’ Primary Contentions
- Petitioners:
- The Deed of Quitclaim in favor of Emilia was in reality a deed of donation without the required acceptance and therefore void.
- The Deed of Quitclaim is defective and suspect for several reasons: lack of registration with the Register of Deeds, absence of copy with RTC Clerk of Court, absence of record with the Office of the National Archives, and notarization by an attorney not commissioned to notarize in 1961.
- TCT No. 42244 in the names of Felipa and Hilaria rendered the Deed of Quitclaim ineffective; issuance of the TCT constitutes repudiation of co‑ownership and, with passage of time, gives rise to acquisitive prescription and laches barring Emilia’s claim.
- Respondent Emilia:
- The Deed of Quitclaim in her favor should be treated as an onerous donation governed by rules on contracts and not as a simple donation requiring the formalities of do