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AZNAR v. YAPDIANGCO- Stolen Goods AZNAR V.

YAPDIANGCO
True owner has a better right than a buyer in good faith to 13 SCRA 486
possession of a stolen good.
FACTS:
FACTS: Theodoro Santos advertised in the newspapers the sale of his Ford
Teodoro Santos advertised the sale of his FORD FAIRLANE 500 in a Fairlane 500. After the advertisement, a certain de Dios, claiming to
newspaper. On L. De Dios went to the house of Teodoro and talked be the nephew of Marella, went to the residence of Santos and
to his son Ireneo Santos and said that his uncle Vicente Marella is expressing his uncle’s intent to purchase the car. Since Santos
interested in buying the said car. wasn't around, it was Irineo who talked with de Dios. On being
informed, Santos advised his son to see
The next day, Ireneo went to the house of Marella and they agreed to Marella, which the son did. Marella expressed his intention to
the price of P14,700 on the understanding that it will be paid after the purchase the car. A deed of sale was prepared and Irineo was
car has been registered in the latter’s name. instructed by his father not to part with the deed and the car without
A deed of sale was executed and the registration was changed to the receiving the purchase price from Marella. When irineo and de Dios
name of Marella. Ireneo went to Marella to get the payment and arrived at the residence of Marella, the latter averred that his money
deliver the car who informed him that he is P2,000 short of the was short and had to borrow from his sister. He then instructed de
money and that they need to go to his sister to get it. Ireneo, together Dios and Irineo to go the supposed house of the sister to obtain the
with De Dios and an unidentified man went to a house. money with an unidentified person. He also asked Irineo to leave the
deed to have his lawyer see it. Relying on the good faith of Marella,
Once inside, De Dios asked Ireneo to wait in the sale. After waiting in Irineo did as requested. Upon arriving at the house of Marella’s
vain, he went down and discovered that the car was gone. supposed to be sister, de Dios and the unidentified person then
disappeared together with the car. This prompted Santos to report
Marella was able to sell the car to plaintiff-appellant Jose Aznar and the incident to the authorities. Thereafter, Marella was able to sell the
while attending to registration, the car was seized by Phil. land to Aznar. And while in possession of the car, police authorities
Constabulary due to the report of the incident. confiscated the same. This prompted Aznar to file an action for
replevin.
ISSUE:
Between the two parties, who has the better right? HELD:
Marella never had title to the car as the car wasn't ever delivered to
HELD: him. While there was a deed of sale in his favor, he was only able to
Teodoro Santos has the better right. Marella did not have any title to obtain possession of the car since he stole it from Santos. The
the property under litigation because the same was never delivered applicable law is Article 559. The rule is to the effect that if the owner
to him. He may have the contract but he never acquired valid title. has lost a thing, or if he has been unlawfully deprived of it, he has a
Although the keys to the car may have been given to the unidentified right to recover it, not only from its finder, thief or robber, but also
companion, it may be done only because that companion took them from third persons who may have acquired it in good faith from such
to the place where the sister of Marella was supposed to live. The car finder, thief or
was evidently stolen and that the buyer did not acquire any valid title robber. The said article establishes 2 exceptions to the general rule
thereto. of irrevindicabilty—to wit, the owner has lost the thing or has been
unlawfully deprived thereof. In these cases, the possessor cannot
retain the thing as against the owner who may recover it without
paying any indemnity, except when the possessor acquired it in a
public sale. Furthermore, the common law principle that where one of
two innocent persons must suffer a fraud perpetrated by another, the
law imposes the loss upon the party who, by his misplaced
confidence, has enable the fraud to be committed, cannot be applied
in this case, which is covered by an express provision of law.

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