LAW ON PROPERTY Title I PROPERTY PROPERTY An object or a right which is appropriated or susceptible of appropriation by man, with capacity to satisfy

y human wants and needs. CLASSIFICATION OF PROPERTY: 1 .Mobility and Non-mobility a.Movable or personal property b.Immovable or real property 2 . Ownership a.Public dominion or ownership b.Private dominion or ownership 3. Alienability a. Within the commerce of man (or whichmay be the objects of contracts or judicialtransactions) b.Outside the commerce of man 4. Existence a.Present property (res existents) b.Future property (res futurae) (NOTE: Both present and future propertymay be the subject of sale but generallynot the subject of donation.) 5.Materiality or Immateriality a.Tangible or corporeal b.Intangible or incorporeal 6.Dependence or Importance a. Principal b. Accessory 7.Capability of Substitution a.Fungible capable of substitution by other things of the same quality and quantity b. Non-fungible incapable of suchsubstitution, hence, the identical thingmust be given or returned 8.Nature or Definiteness a.Generic one referring to a group or class b.Specific one referring to a single, unique object 9.Whether in the Custody of the Court or Free a.In custodia legis in the custody of the court b. free property CHARACTERISTICS: 1. Utility for the satisfaction of moral or economic wants 2. Susceptibility of appropriation 3. Individuality or substantivity , that is, it canexist by itself and not merely as a part of awhole.

Art. 415. IMMOVABLE PROPERTY Art. 416. MOVABLE PROPERTY JURIDICAL CLASSIFICATION OF IMMOVABLE PROPERTIES: (NIDA) 1. By nature cannot be moved from place toplace because of their nature (ART 415 par 1& 8 NCC) a. and buildings & all kinds ofconstructions adhered to soil b. mine, quarries Bicerra v Teneza, 6 SCRA 649 (1962) ISSUE: Whether a demolished house is real property or continues to be real property? HELD: NO.A house is classified as immovable property byreason of its adherence to the soil on which it is built.This classification holds true regardless of the factthat the house may be situated on land belonging toa different owner.But once the house is demolished,as in this case, it ceases to exist as such and henceits character as an immovable likewise ceases. 2. By incorporation essentially movables but attached to an immovable that it becomes an integral part of it (ART 415 par 2,3,4,6) a. trees, plants & growing fruits adhered to soil b.everything attached to an immovable in a fixed manner that it will break if separated c.statues, paintings if intended by owner tobe integral part of immovable and placedonly by owner or his agent d. animal houses if intended by owner to become permanently attached to immovable 3. By destination movables but purpose is to partake of an integral part of an immovable (ART 415 par 4,5,6,7,9) a. machinery placed by owner of thetenement or his agent & tend directly tomeet the needs of such works/industry REQUISITES: i. industry or works must be carried on inside the building or on the land (thus a transportation business is notcarried on in a building or in thecompound) ii. placed by the owner of the building or property Davao Sawmill v Castillo, 61 Phil 709 (1935) Machinery which is movable in its nature onlybecomes immobilized when placed in a plant by THEOWNER of the property or plant

BUT NOT when so placed by a TENANT, ausufructuary or any person having only temporaryright, unless such person acted as the agent of theowner iii. machines must be essential and principal elements in the industry b. fertilizers actually used on a piece of land c. docks & floating structures intended by their nature and object to remain at a fixed place on a river, lake or coast. Rubiso v Rivera, 37 Phil 72 (1917) Vessels are essentially movable but theypartake to a certain extent of the nature andconditions of real property due to their value andimportance. 4.By analogy/by law contracts for public works, servitude & other real rights over immovable property (ART 415 par 10) MOVABLE PROPERTY: (SIFTOS) 1. S usceptible of appropriation that are not included in enumeration in immovable 2. I mmovable that are designated as movable by special provision of law 3. F orces of nature brought under control by science 4. T hings w/c can be transported w/oimpairment of real property where they arefixed 5. O bligations which involve demandable sums (credits) 6. S hares of stocks of agricultural, commercial& industrial entities although they may havereal estate (1/2 interest in the business ispersonal property. Involuntary Insolvency ofStrochecker v. Ramirez) TESTS TO DETERMINE WHETHER PROPERTY IS REAL OR PERSONAL: 1. Rule of Exclusion not included in ART 415 (inclusio unius est exclusion alterius) 2. Rule of Description if the property can betransported from one place to another, andno injury would be suffered by it, then it ispersonal property, unless expressly includedin ART 415 Art. 418. Movable property is either consumable or non-consumable. To the first class belongthose movables which cannot be used in amanner appropriate to their nature without theirbeing consumed; to the second class belong allthe others. CLASSIFICATION OF MOVABLES: 1. According to nature a.consumable cannot be utilized w/o being consumed b. non-consumable 2. According to intention of theparties/purpose (whether it can besubstituted by other things of same kind,quality and quantity) a. fungible (res fungibles) only the equivalent is returned b. non-fungible (res nec fungibles) identical thing is returned, do not admit ofsubstitution Sibal v Valdez,50 Phil 512 (1927) Chattel Mortgage growing crops are movable property. United States v Carlos, 21 Phil 364 (1946) ISSUE: w/n electric energy is property and therefore

may be stolen HELD: YES.True test of what is a proper subject of larceny seems to be not whether the subject is corporeal or incorporeal, but whether it is capable of appropriation by another than the owner. Involuntary Insolvency of Strochechker v Ramirez, 44 Phil 933 (1922) interest in the business ispersonal property. Art. 419. Property is either of public dominion or of private ownership. Art. 420. The following things are property of public dominion: (1)Those intended for public use, suchas roads, canals, rivers, torrents, ports, andbridges constructed by the State, banks, shores,roadsteads, and others of similar character; (2)Those which belong to the State,without being for public use, and are intended forsome public service or for the development of thenational wealth. CLASSIFICATION OF PROPERTY ACCORDING TO OWNERSHIP: 1. Public dominion outside the commerce of men KINDS : a.intended for public use b.intended for public service of state, provinces, cities & municipalities CHARACTERISTICS : i. outside the commerce of men cannot be alienated or leased or bethe subject of any contract ii. cannot be acquired by private individual through prescription iii. not subject to attachment & execution iv. cannot be burdened by voluntary easement v. cannot be registered under the LandRegistration Law and be the subjectof a Torrens Title vi. in general, can be used by everybody c.for the development of national wealth 2. Private Ownership 1.patrimonial property of state, provinces, cities, municipalities a.exist for attaining economic ends of state b.property of public dominion when no longer intended for public use/service declared patrimonial (NOTE: Patrimonial properties may

be acquired by private individuals or corporations through prescription.) 2.property belonging to private persons individually or collectively NOTE: sacred and religious objects are considered outside the commerce of man.They are neither public nor private party. Art. 421. All other property of the State, which is not of the character stated in the preceding article, is partrimonial property. PATRIMONIAL PROPERTY is property pertaining to the State which is not intended for public use, publicservice, or for the development of the national wealth.It is intended rather for the attainment of theeconomic ends of the State, that is, for subsistence. Subject to prescription May be an object of ordinary contract Art. 422.Property of public dominion, when nolonger intended for public use or for publicservice, shall form part of the patrimonialproperty of the State. A property is converted from property ofpublic dominion to patrimonial propertythrough a formal declaration of the executiveor legislative departments of the government. Without the declaration, the propertycontinues to form part of the public domainand therefore cannot be the subject ofacquisitive prescription. Dacanay v Asistio Jr., 208 SCRA 404 (1992) ISSUE: May public streets or thoroughfares beleased or licensed to market stallholders by virtue ofa city ordinance or resolution of the Metro ManilaCommission? HELD: NO.The right of the public to use the city streetsmay not be bargained away through contract.Hence, the agreement between the city governmentand stallholders is contrary to law and therefore void. * Rule: local government cannot withdraw a public street from public use, unless it has been granted such authority by law. Art. 423. The property of provinces, cities, and municipalities is divided into property for public use and patrimonial property. Art. 424. Property for public use, in the provinces, cities, and municipalities, consist of theprovincial roads, city streets, municipal streets,the squares, fountains, public waters,promenades, and public works for public servicepaid for by said provinces, cities, or municipalities. All other property possessed by any of them is patrimonial and shall be governed by this Code, without prejudice to the provisions of special laws. Art. 425. Property of private ownership, besides the patrimonial property of the State, provinces,cities, and municipalities, consists of all propertybelonging to private persons, either individuallyor collectively.

Aliens have no right to acquire any public or private agricultural, commercial, or residential lands except by hereditary succession. Private individual has superior right over the property against the state. Title II OWNERSHIP OWNERSHIP is the independent and general right of a person to control a thing particularly in hispossession, enjoyment, disposition, and recovery,subject to no restrictions except those imposed bythe State or private persons, without prejudice to theprovisions of the law. TITLE is that which constitutes a just cause of exclusive possession or which is the foundation of ownership of property KINDS OF OWNERSHIP: 1.Full ownership (dominium or jus in re propia) includes all the rights of the owner 2. Naked ownership (nuda proprietas) where the right to the use and the fruits hasbeen denied Naked ownership + usufruct = Full ownership 3.Sole ownership ownership is vested only in one person 4. Co-ownership/Tenancy in Common ownership is vested in two or more owners;unity of the property, plurality of the subjects Art. 427. Ownership may be exercised over things or rights. Art. 428. The owner has the right to enjoy and dispose of a thing, without other limitations than those established by law. The owner has also a right of actionagainst the holder and possessor of the thing inorder to recover it. SEVEN RIGHTS OF OWNERSHIP: 1.Jus abutendi right to consume, transform or abuse 2.Jus accesiones right to accessories 3.Jus disponendi right to dispose 4.Jus fruendi right to fruits 5.Jus possidendi right to possess 6.Jus utendi right to enjoy 7.Jus vindicandi right to exclude others from possession of the thing ACTIONS FOR POSSESSION: 1.Movable Replevin (return of a movable) Note: machinery and equipment used for anindustry and indispensable for the carryingon of such industry, cannot be the subject ofreplevin, because they are considered realproperties. It is both a form of principal and of provisional remedy. Calub v CA, 331 SCRA 55 (2000) A property that is validly deposited in custodia legis cannot be the subject of a replevin suit. 2.Immovable a.Accion Interdictal i.forcible entry (detentacion) usedby person deprived of possessionthrough: force, intimidation, strategy,threat, or stealth (FISTS) (issue: defacto or physical possession notjuridical, must recover within 1 yearfrom unlawful deprivation, or fromdiscovery, in case of stealth orstrategy); summary proceeding ii. unlawful detainer used bylessor/person having legal right overproperty when

lessee/personwithholding property refuses tosurrender possession of property afterexpiration of lease/right to holdproperty (physical possession, mustrecover within 1 year from unlawfuldeprivation: date of last demand orlast letter of demand); summaryproceeding b.accion publiciana plenary action torecover the better right of possession;must be brought within a period of 10years, otherwise the real right ofpossession is lost; issue is possessionde jure not de facto; ordinary civilproceeding c.accion reinvindicatoria recovery of dominion of property as owner