, plaintiff-appellee,
vs.
TALISAY-SILAY MILLING CO., ET AL
This proceeding originated in a complaint filed by the Bachrach Motor Co., Inc.,
against the Talisay-Silay Milling Co., Inc., for the delivery of the amount P13,850 or
promissory notes or other instruments or credit for that sum payable as bonus in
favor of Mariano Lacson Ledesma. The Philippine National Bank filed a third party
claim alleging a preferential right to receive any amount which Ledesma might be
entitled to from the respondent. as bonus, because that would be civil fruits of the
land mortgaged to said bank.
Issue: WON the such income should be considered as civil fruits.
Held: No, Article 355 of the Civil Code considers three things as civil fruits: First, the
rents of buildings; second, the proceeds from leases of lands; and, third, the income
from perpetual or life annuities, or other similar sources of revenue. That is why we
say that by "civil fruits" the Civil Code understands one of three and only three
things, to wit: the rent of a building, the rent of land, and certain kinds of income.
Assuming that in broad juridical sense of the word "income" it might be said that
the bonus in question is "income" under article 355 of the Civil Code, it is obvious to
inquire whether it is derived from the land mortgaged by Mariano Lacson Ledesma
to the appellant bank for the benefit of the central; for it is not obtained from that
land but from something else, it is not civil fruits of that land, and the bank's
contention is untenable.
acquired ownership, not because the sale was void, as erroneously claimed by the
trial court, but because the sale was not consummated by a legally effective
delivery of the property sold.
Bernardo vs bataclan
Facts: By a contract of sale executed from Pastor Samonte and others ownership of
a parcel of land of about 90 hectares situated in sitio Balayunan, Silang, Cavite. To
secure possession of the land from the vendors. When plaintiff entered upon the
premises, however, he found the defendant herein, Catalino Bataclan, who appears
to have been authorized by former owners, as far back as 1922, to clear the land
and make improvements thereon. . In this case, plaintiff was declared owner but the
defendant was held to be a possessor in good faith, entitled to reimbursement in
the total sum of P1,642, for work done and improvements made.
Issue: WON defendant has the right to be reimbursed.
Held yes, The Civil Code confirms certain time-honored principles of the law of
property. One of these is the principle of accession whereby the owner of property
acquires not only that which it produces but that which is united to it either
naturally or artificially.Whatever is built, planted or sown on the land of another, and
the improvements or repairs made thereon, belong to the owner of the land.Where,
however, the planter, builder, or sower has acted in good faith, a conflict of rights
arises between the owners and it becomes necessary to protect the owner of the
improvements without causing injustice to the owner of the land. In view of the
impracticability of creating what Manresa calls a state of "forced coownership"), the
law has provided a just and equitable solution by giving the owner of the land the
option to acquire the improvements after payment of the proper indemnity or to
oblige the builder or planter to pay for the land and the sower to pay the proper rent
(art. 361). It is the owner of the land who is allowed to exercise the option because
his right is older and because, by the principle of accession, he is entitled to the
ownership of the accessory thing.
lot, said defendants should be ordered to remove the structure at their own expense
and to restore plaintiffs in the possession of said lot. Defendants objected to this
motion which, after hearing, was granted by Judge Natividad.
Issue: WON defendants may be ordered to remove the structure at their own
expense.
Held: no , The owner of the building erected in good faith on a land owned by
another, is entitled to retain the possession of the land until he is paid the value of
his building, under article 453. The owner of the land, upon the other hand, has the
option, under article 361, either to pay for the building or to sell his land to the
owner of the building. But he cannot, as respondents here did, refuse both to pay
for the building and to sell the land and compel the owner of the building to remove
it from the land where it is erected. He is entitled to such remotion only when, after
having chosen to sell his land, the other party fails to pay for the same.
Issue: Whether or not the land owner is compelled to exercise either option: to buy the building or to sell
the land?
Held: yes .
Ernesto and his wife (BPS) were clearly in good faith as they believed that Rebeccas
mother has the capacity to eventually transfer the title of the land to them. In line
with this, Sarmiento (LO) was required to exercise only 2 options: To purchase the
house or to sell the land to them, in this case, based on the value decided by the
courts. Since Sarmiento failed to exercise the option within the allotted period, and
based on Art. 448, the LO is compelled by law to exercise either option. Not
choosing either is a violation of the law.
Depra v Dumlao; G.R. No. L-57348. May 16, 1985
Facts: Plaintiff-appellee, Francisco Depra, is the owner of a parcel of land while ,
Agustin Dumlao, defendant-appellant, owns an adjoining lot. when DUMLAO
constructed his house on his lot, the kitchen thereof had encroached on an area of
thirty four (34) square meters of DEPRA's property, Beatriz Depra after writing a
demand letter asking DUMLAO to move back from his encroachment, filed an action
for Unlawful Detainer. the Municipal Court found that DUMLAO was a builder in good
faith, and applying Article 448 of the Civil
Issue: . Whether or not the land owner can be compelled to accept rent payments
by the court (with both LO and BPS being in good faith)?
Held : The Court remanded the case to the RTC to determine the fair price of the
land, the expenses incurred by the BPS (Dumlao), the increase in value of the land,
and whether the value of the land is considerably more than the value of the
kitchen built on it. The RTC shall then give Depra 15 days to exercise such option.
Facts: That plaintiff the registered owner of a parcel of land situated Paraaque, that
said land was purchased by plaintiff from Pariz Industries, Inc. in 1970, together with
all the buildings and improvements including the wall existing thereon; that the
defendant is the registered owner of a parcel of land that said land which adjoins
plaintiff's land. plaintiff agreed to demolish the wall at the back portion of its land
thus giving to defendant possession of a portion of his land previously enclosed by
plaintiff's wall; that defendant later filed a complaint before the office of Municipal
Engineer of Paraaque, Metro Manila as well as before the Office of the Provincial
Fiscal of Rizal against plaintiff in connection with the encroachment or occupation
by plaintiff's buildings and walls of a portion of its land but said complaint did not
prosper; that defendant dug or caused to be dug a canal along plaintiff's wall, a
portion of which collapsed in June, 1980, and led to the filing by plaintiff of the
supplemental complaint in the above-entitled case and a separate criminal
complaint for malicious mischief
Issue: WON petitioner is a build in badfaith.
Held: There is no question that when petitioner purchased the land from Pariz
Industries, the buildings and other structures were already in existence. The record
is not clear as to who actually built those structures, but it may well be assumed
that petitioner's predecessor-in-interest, Pariz Industries, did so. Article 527 of the
Civil Code presumes good faith, and since no proof exists to show that the
encroachment over a narrow, needle-shaped portion of private respondent's land
was done in bad faith by the builder of the encroaching structures, the latter should
be presumed to have built them in good faith. Good faith consists in the belief of the
builder that the land he is building on is his, and his ignorance of any defect or flaw in his
title. 23 Hence, such good faith, by law, passed on to Pariz's successor,
the Civil Code arises only if the lessor opts to appropriate the improvements. Since
the petitioners refused to exercise that option, 20 the private respondents cannot compel
them to reimburse the one-half value of the house and improvements. Neither can they
retain the premises until reimbursement is made. The private respondents' sole right then is
to remove the improvements without causing any more impairment upon the property
leased than is necessary
At the time he built improvements on Lot 8, Kee believed that said lot was what he
bought from petitioner. He was not aware that the lot delivered to him was not Lot
8. Thus, Kees good faith. Petitioner failed to prove otherwise.
To demonstrate Kees bad faith, petitioner points to Kees violation of paragraphs 22
and 26 of the Contract of Sale on Installment
We disagree. Such violations have no bearing whatsoever on whether Kee was a
builder in good faith, that is, on his state of mind at the time he built the
improvements on Lot 9. These alleged violations may give rise to petitioners cause
of action against Kee under the said contract (contractual breach), but may not be
bases to negate the presumption that Kee was a builder in good faith.
Kee is a layman not versed in the technical description of his property, he had to
find a way to ascertain that what was described in TCT No. 69561 matched Lot 8.
Thus, he went to the subdivision developers agent and applied and paid for the
relocation of the lot, as well as for the production of a lot plan by CTTEIs geodetic
engineer. Upon Kees receipt of the map, his wife went to the subdivision site
accompanied by CTTEIs employee, Octaviano, who authoritatively declared that the
land she was pointing to was indeed Lot 8. Having full faith and confidence in the
reputation of CTTEI, and because of the companys positive identification of the
property, Kee saw no reason to suspect that there had been a misdelivery. The steps
Kee had taken to protect his interests were reasonable.
Felices v Iriola; G.R. No. L-11269.
Facts : It appears that plaintiff and appellee Silverio Fences was the grantee of a
homestead of over eight hectares located in barrio Curry, Municipality of Pili,
Province of Camarines Sur, under Homestead Patent The month following the
issuance of his patent, on February 24, 1949, appellee conveyed in conditional sale
to defendant and appellant Mamerto Iriola a portion of his homestead of more than
four hectares, for the consideration. Two years after the sale, on April 19, 1951,
appellee tried to recover the land in question from appellant, but the latter refused
to allow it unless he was paid the amount of P2,000 as the alleged value of
improvements he had introduced on the property.
Issue: WON iriola shall be reimbursed for the improvement made to the property in
question.
Held: no The rule of Art. 453 of the Civil Code invoked by appellant 1 can not be
applied to the instant case for the reason that the lower court found, and appellant
admits, that the improvements in question were made on the premises only after
appellee had tried to recover the land in question from appellant, and even during
the pendency of this action in the court below. After appellant had refused to restore
the land to the appellee, to the extent that the latter even had to resort to the
present action to recover his property, appellee could no longer be regarded as
having impliedly assented or conformed to the improvements thereafter made by
appellant on the premises. Upon the other hand, appellant, recognizing as he does
appellee's right to get back his property, continued to act in bad faith when he
made improvements on the land in question after he had already been asked extrajudicially and judicially, to surrender and return its possession to appellee; and as a
penalty for such bad faith, he must forfeit his improvements without any right to
reimbursement therefor. "He who builds, plants or sows in bad faith on the land of
another, loses that is built, planted, or sown without right to indemnity" (Art. 449,
New Civil Code)..
the trial court for determination of the current market value of the apartment bldg and ordered the
Sps to pay Pecson otherwise it shall be restored to Pecson until payment of indemnity.]
The reason behind the law giving the riparian owner the right to any land or alluvion
deposited by a river is to compensate him for the danger of loss that he suffers
because of the location of his land.
denied. Anchoring their claim of ownership on Article 457 of the Civil Code,
petitioners vigorously argue that the disputed 14-hectare land is an accretion
caused by the joint action of the Talisay and Bulacan Rivers which run their course
on the eastern and western boundaries, respectively, of petitioners' own tract of
land.
Issue:
Whether or not the petitioners can rightfully claim the land under the principle of
accretion
Held:
of Felix Baes under TCT No. 24300. The soil displaced by the canal was used to fill up the old
bed of the creek, Meanwhile, Baes had Lot 2958-C and a portion of Lot 2958-A
swelled with the coming of the rains. The submerged portion, however, would reappear during the dry season from January to August. It would remain under water
for the rest of the year, that is, from September to December during the rainy
season. During the cadastral survey conducted at Balug, Tumauini, Isabela on 21
October 1969, the two (2) parcels of land belonging to respondent Manalo were
surveyed and consolidated into one lot, designated as Lot No. 307, Pls-964. Lot 307
which contains 4.6489 hectares includes: (a) the whole of the 1.80 hectares
acquired from Gregorio Taguba; and (b) 2.8489 hectares out of the 8.65 hectares
purchased from Faustina Taccad. As the survey was conducted on a rainy month, a
portion of the land bought from Faustina Taccad then under water was left
unsurveyed and was not included in Lot 307.
Issue: Whether or not Manalo owns Lot 821 by way of accretion
Held: The disputed property is not an accretion. It is the action of the heavy rains
that cause the highest ordinary level of waters of the Cagayan River during the
rainy season. The depressed portion is a river bed and is thus considered property
of public domain, the requisites of accretion in article 457 were not satisfied. These
are: 1) that the deposition of the soil or sediment be gradual and imperceptible; 2)
that it be the result of the action of the waters of the river (or sea); and 3) the land
where the accretion takes place is adjacent to the banks of the rivers (or the sea
coast). The accretion shouldve been attached to Lot 307 for Manalo to acquire its
ownership. BUT, the claimed accretion lies on the bank of the river; not adjacent to
Lot 307 but directly opposite it across the river. Aside from that, the dike-like
slopes which were very steep may only be formed by a sudden and forceful action
like flooding. The steep slopes could not have been formed by the river in a slow
and gradual manner.