Title
End to Spanish Mortgage System in Land Registration
Law
Presidential Decree No. 892
Decision Date
Feb 16, 1976
Presidential Decree No. 892 discontinues the use of Spanish titles in land registration proceedings in the Philippines due to fraudulent transactions and conflicting claims, requiring holders of Spanish titles to apply for registration under the Land Registration Act within six months.

Requirement for Holders of Spanish Titles or Grants

  • All holders of Spanish titles or grants must apply for land registration under Act No. 496 (Land Registration Act) within six (6) months from the decree's effectivity.
  • After the six-month period, Spanish titles cannot be used as evidence of ownership in Torrens system registration proceedings.

Legal Status of Land Transactions and Instruments

  • Subsequent instruments affecting lands originally registered under the Spanish Mortgage Law may only be recorded under Section 194 of the Revised Administrative Code, as amended by Act 3344.

Rationale for the Decree

  • Fraudulent transactions involving Spanish titles have caused conflicts and litigations involving legitimate title holders and bona fide occupants.
  • Such fraudulent claims threaten property ownership stability and public peace.
  • The Spanish Mortgage system has become obsolete with negligible new registrations.
  • Spanish titles not brought under the Torrens system and not supported by actual possession are ineffective in proving ownership.

Effect on Existing Laws and Orders

  • All laws, executive orders, administrative orders, rules, and regulations inconsistent with this decree are repealed or modified accordingly.

Effectivity

  • The decree took effect immediately upon issuance.

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