PROPERTY De-Leon PDF

I.
DEFINITION OF TERMS (2) Trees, plants, and growing fruits, while they are
attached to the land or form an integral part of an
PROPERTY ≠ THING immovable; (I)
Article 414. All things which are or may be the (3) Everything attached to an immovable in a fixed
object of appropriation are considered either: manner, in such a way that it cannot be separated
therefrom without breaking the material or
(1) Immovable or real property; or deterioration of the object; (I)
(2) Movable or personal property. (333)
(4) Statues, reliefs, paintings or other objects for use
or ornamentation, placed in buildings or on lands by
Thing – any object that exists and is capable of
the owner of the immovable in such a manner that it
satisfying human needs.
reveals the intention to attach them permanently to
– includes both objects that are already possessed
the tenements; (D)
or owned and those that are susceptible of
appropriation.
(5) Machinery, receptacles, instruments or
– i.e. kidney of a human being, corpse
implements intended by the owner of the tenement
for an industry or works which may be carried on in a
Property – an object which is, or may be,
building or on a piece of land, and which tend
appropriated.
directly to meet the needs of the said industry or
works; (D)
⁘ Not all kinds of things are property, but all kinds of
property are things.
(6) Animal houses, pigeon-houses, beehives, fish
ponds or breeding places of similar nature, in case
Requisites of Property: (U-S-A)
their owner has placed them or preserves them with
1. Utility – can serve as a means to satisfy human
the intention to have them permanently attached to
needs
the land, and forming a permanent part of it; the
2. Substantivity – can exist by itself and not
animals in these places are included; (D)
simply a part of the whole
3. Appropriability – capable of being alienated or
(7) Fertilizer actually used on a piece of land; (I)
possessed; not outside the commerce of men
(8) Mines, quarries, and slag dumps, while the matter
MOVABLE ≠ IMMOVABLE
thereof forms part of the bed, and waters either
running or stagnant; (N)
Movable Property (Personal) – generally can be
transferred from one place to another
(9) Docks and structures which, though floating, are
intended by their nature and object to remain at a
Immovable Property (Real) – generally can’t be
fixed place on a river, lake, or coast; (D)
transferred from place to place without destruction to
itself
(10) Contracts for public works, and servitudes and
other real rights over immovable property. (A)
⁘ important to differentiate because different laws
govern the acquisition, purchase, disposal, loss, and
registration of both Juridical Classification of Real Properties:
(N-I-D-A)
------------------------------------- 1. By Nature – by itself cannot be moved from one
place to another
I. Immovable Property = Real Property – those which cannot be carried from place to
place
Article 415. The following are immovable property:
2. By Incorporation – essentially movables but are
attached to an immovable in a fixed manner
(1) Land, buildings, roads and constructions of all
– paramount consideration: separation from the
kinds adhered to the soil; (N)
immovable will cause damage or deterioration
(rex vinta)
B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 1

– question to remember: WON it will cause (1) Obligations and actions which have for their
damage when removed? object movables or demandable sums; and
– ownership is immaterial
– i.e. fertilizer (if already applied to the soil; if in (2) Shares of stock of agricultural, commercial and
bags, still a movable property), plants, tiles industrial entities, although they may have real estate.
(336a)
3. By Destination – essentially movables but are
placed by the owner in an immovable as an Tests to Determine of Property is Movable:
added utility 1. Test of Exclusion – everything not included in
– 2 kinds: Art. 415
a) Machineries/Equipment 2. By Reason of Special Law – immovable by
Requisites: nature but movable for the purpose of special
(1) The thing must be placed by the law
owner 3. Test of Mobility – if property is capable of
(2) It is for an industry being transferred without injuring the real
(3) It is necessary in the trade and property to which it is attached
industry of the owner – essential and
principal, and must directly meet the FUNGIBLE ≠ CONSUMMABLE
needs of the industry
» i.e. chair in a classroom Article 418. Movable property is either consumable
b) Ornaments or non-consumable. To the first class belong those
Requisites: movables which cannot be used in a manner
(1) The thing must be placed by the appropriate to their nature without their being
owner consumed; to the second class belong all the others.
(2) There is an intention to attach such (337)
permanently
» i.e. any statue in a church Non-consummable – you can use the property, as to
its purpose, without being consumed.
4. By Analogy – classified by express provision of – i.e. air-conditioner, commodatum (held in trust):
law because it is regarded as united to the the bailor delivers to the bailee the exact thing in
immovable property the same quality the bailee left in his possession
II. Movable Property = Personal Property Consummable – cannot be used in a manner
appropriate to their nature without being consumed
1. By Nature – i.e. coffee
Article 416. The following things are deemed to be
personal property: ⁘ Keyword: Purpose
(1) Those movables susceptible of appropriation In Order to Determine Consummability:

which are not included in the preceding article; 1. Is there a reduction or decrease in the
quantity?
(2) Real property which by any special provision of – i.e. sign pen that was borrowed
law is considered as personalty; 2. Is there a physical destruction of the property?
– i.e. candle and match
(3) Forces of nature which are brought under control 3. Is there deterioration of the thing?
by science; and – i.e. water when you wash your clothes
(4) In general, all things which can be transported Non-fungible – property that is specified and not
from place to place without impairment of the real subject to substitution
property to which they are fixed. (335a)
Fungible – property that belongs to a common genus
2. By Analogy thus permitting substitution of the same kind or
Article 417. The following are also considered as quality
personal property:

– i.e. contract of loan (mutuum): there is an PROPERTY FOR PUBLIC USE ≠ PROPERTY
obligation to return the value of the money but not FOR PUBLIC SERVICE
the exact money with same serial number
Article 423. The property of provinces, cities, and
PROPERTY OF PUBLIC DOMINION ≠ municipalities is divided into property for public use
PATRIMONIAL PROPERTY and patrimonial property. (343)
Article 419. Property is either of public dominion or Article 424. Property for public use, in the provinces,
of private ownership. (338) cities, and municipalities, consist of the provincial
roads, city streets, municipal streets, the squares,
Article 420. The following things are property of fountains, public waters, promenades, and public
public dominion: works for public service paid for by said provinces,
cities, or municipalities.
(1) Those intended for public use, such as roads,
canals, rivers, torrents, ports and bridges constructed All other property possessed by any of them is
by the State, banks, shores, roadsteads, and others of patrimonial and shall be governed by this Code,
similar character; without prejudice to the provisions of special laws.
(344a)
(2) Those which belong to the State, without being
for public use, and are intended for some public PUBLIC USE PUBLIC SERVICE
service or for the development of the national wealth. not subject to private public property used by
(339a) appropriation the State for its offices
and functionaries
Article 421. All other property of the State, which is
used indiscriminately by intended for authorized
not of the character stated in the preceding article, is
anyone but nobody can persons only
patrimonial property. (340a)
exercise over it rights of
a private owner
Article 422. Property of public dominion, when no
i.e. Libingan ng Mga
longer intended for public use or for public service,
i.e. Luneta Park, streets, Bayani, PGH, Camp
shall form part of the patrimonial property of the
bridges, roads Crame
State. (341a)
Article 425. Property of private ownership, besides RES NULLIUS ≠ RES COMMUNES
the patrimonial property of the State, provinces, ≠ RES ALICUJUS ≠ RES DERELICTA
cities, and municipalities, consists of all property
belonging to private persons, either individually or a. Res Nullius – properties that belong to no one;
collectively. (345a) not yet appropriated but susceptible to
appropriation.
– i.e. wild animals, fish in the ocean
Property based on Ownership:
b. Res Communes – properties belonging to
1. Private Ownership – owned by private persons,
everyone
whether juridical or natural; it can be acquired by
– i.e. air → oxygen, lightning → electricity
acquisitive prescription.
c. Res Derelicta – abandoned property with the
2. Public Ownership – properties owned by the
intention of no longer owning them
State
– i.e. garbage, hidden treasure (owner is
a. Public Dominion – inalienable: Regalian
unknown and he abandoned the property)
Doctrine; outside the commerce of men
d. Res Alicujus – tangible or intangible things
– inalienable but can be leased out by the
which are owned privately, either in a collective
government (Laguna de Bay fish pen
or individual capacity, belonging to someone;
example)
objects already owned/possessed by men
b. Patrimonial Properties – owned by the
– i.e. fish inside the fish pen (fish sold in the
State in its private capacity; proprietary -
market)
may be alienated
– property intended for the attainment of the
economic ends of the State, that is for
subsistence.

BUILDER/POSSESSOR IN GOOD FAITH ≠ Indefinite passive subject There is a definite
BUILDER/POSSESSOR IN BAD FAITH which is (whole world) passive subject (debtor)
Enforceability
Builder/Possessor in Good Faith – he believes that Enforceable against the Enforceable only against
the person from whom ownership of the property was whole world the original debtor
acquired has the right to transfer the ownership; has a Action
clean title. Action in Rem – attached Action in Personam –
– Note: the Civil Code allows good faith as a to the property whoever attached to the person. If
defense for a mistake of fact the owner may be. The the person dies, the right
court will proceed to try ceases also. The court
Builder/Possessor in Bad Faith – he knows that the the case even without will not acquire
land does not belong to him and he has no right to defendant. jurisdiction unless the
build thereon or possess it. person submits himself
– i.e. a lessee is not a builder in good faith because before it.
he has knowledge of who is the rightful owner of
Extinguishment
the property.
Extinguished by loss or Not extinguished. Claim
REAL RIGHT ≠ PERSONAL RIGHT destruction for damages may still be
instituted.
Real Right – one that confers upon its holder an
autonomous power to derive directly from an Classification of Real Rights:
appropriate thing certain economic advantages, 1. Full Control:
independently of whoever should be the possessor of a. Ownership (Art. 428)
the thing. b. Possession (Art. 523)
– i.e. Right of Ownership (in Succession), Right to 2. Enjoyment
Collect Rentals (rentals emanate from the a. Usufruct (Art. 562)
property), Mortgage b. Servitude (Art. 613)
c. Lease Record (Art. 1676)
Personal Right – power belonging in one person to 3. Guaranty
demand from another as a definite passive subject the a. Mortgage (Art. 2124, 2140)
fulfillment of a prestation to give, to do, or not to do. b. Pledge (Art. 2085)
– i.e. Scholarship c. Antichresis (Art. 2132)
d. Retention
REAL RIGHT PERSONAL RIGHT 4. Acquisition
a. Pre-emption (Art. 1622-1623)
Creation b. Redemption (Art. 1601, 1619)
Created both by title and Created by title, except
mode when title is also the OWNERSHIP ≠ POSSESSION
mode as in succession
Article 427. Ownership may be exercised over things
Created directly over a Exercised through
or rights. (n)
thing another against whom an
action is brought
Article 428. The owner has the right to enjoy and
Limit dispose of a thing, without other limitations than
It is limited to No such limitation those established by law.
usefulness, value or
productivity The owner has also a right of action against the
Object holder and possessor of the thing in order to recover
Specific object and Covers all present and it. (348a)
generally corporeal future property of the
debtor. Applies to Article 523. Possession is the holding of a thing or
incorporeal or intangible the enjoyment of a right. (430a)
things.
Subjects Ownership – the right to enjoy, dispose, and recover
Definite active subject There is an active subject a thing without further limitations than those
(owner) (creditor) established by law or the will of the owner
– means that a person has the exclusive power to amount of perpetual or life annuities or other
receive all benefits and advantages arising from the similar income
thing. 3. Jus Utendi – to use and enjoy
– all-encompassing 4. Jus Abutendi – to abuse or use the property not
in accordance with its proper purpose; only the
Possession – holding of a thing or enjoyment of a owner is given the right
right. 5. Jus Disponendi – to dispose; to alienate,
– only one of the rights of an owner transform and even destroy
6. Jus Vindicandi – to recover or pursue (there
OCCUPATION POSSESSION must be actual usurpation)
As regards acquisition of ownership
Mode of acquiring Merely raises the i.e. Contract of Lease: right to possess, right to use, if
ownership presumption of stipulated, right to enjoy the fruits
ownership when Contract of Usufruct: right to possess, right to use,
exercised in the concept right to enjoy the fruits
of an owner
-------------------------------------
As to property involved
Involves only corporeal Any kind of property
DOCTRINE OF SELF-HELP
personal property
As regards ownership of the thing by another
Article 429. The owner or lawful possessor of a thing
Requires that the object The property may be has the right to exclude any person from the
be without an owner owned by somebody enjoyment and disposal thereof. For this purpose, he
As regards the intent to acquire may use such force as may be reasonably necessary
There must be an intent May be had in the to repel or prevent an actual or threatened unlawful
to acquire ownership concept of a mere holder physical invasion or usurpation of his property. (n)
As regards possession
May not take place May exist without Article 430. Every owner may enclose or fence his
without some form of occupation land or tenements by means of walls, ditches, live or
possession dead hedges, or by any other means without
As to period detriment to servitudes constituted thereon. (388)
Short duration Generally longer
As to leading to another mode of acquisition This principle authorizes an owner or lawful
Cannot lead to another May lead to another possessor of a property to use reasonable force to
mode of acquisition mode – prescription prevent or repeal an actual or threatened unlawful
physical invasion or usurpation of property. There
Kinds of Ownership: must be no delay in the pursuit, otherwise his
1. Full Ownership – includes all the rights of an recourse will be to go to court for recovery of
owner (Naked Ownership + Usufruct) property.
2. Naked Ownership – right to use but not to its – Note: the intruder must not have succeeded in its
fruits (Full Ownership – Usufruct) entry, otherwise, self-help cannot apply
3. Sole Ownership – vested only in one person (disturbance of possession or of real dispossession)
4. Co-Ownership – two or more owners
– unity of property, plurality of subjects DOCTRINE OF INCOMPLETE PRIVILEGE
Rights of an Owner: Article 432. The owner of a thing has no right to

1. Jus Possidendi – to possess prohibit the interference of another with the same, if
2. Jus Fruendi – to enjoy the fruits the interference is necessary to avert an imminent
a. Natural fruits – young of animals, plants danger and the threatened damage, compared to the
which grew without the intervention of man damage arising to the owner from the interference, is
b. Industrial fruits – produced by lands of any much greater. The owner may demand from the
kind through cultivation or labor person benefited indemnity for the damage to him.
c. Civil fruits – rents of buildings, the price of (n)
leases of lands and other property, and the

The law permits the injury or destruction of things c. Taxation – the power of the government to raise
belonging to others provided this is necessary to avert revenue in order to support its existence and carry out
a greater damage. its legitimate objectives.
The owner does not have the absolute right to prevent Specific Limitations:
interference to his property if it is necessary to Article 437. GR:The owner of a parcel of land is the
prevent greater damage to adjoining properties. owner of its surface and of everything under it, and
– remedy: demand from the person benefited he can construct thereon any works or make any
indemnity for the damage to him plantations and excavations which he may deem
– this prevails over self-help because of “state of proper, XPNs: 1without detriment to servitudes and
necessity”: to prevent greater evil 2
subject to special laws and ordinances. He cannot
complain of the reasonable requirements of 3aerial
Requisites: navigation. (350a)
(1) Interference is necessary
(2) The damage to another is much greater than Article 431. The owner of a thing cannot make use
the damage to the property thereof in such manner as to injure the rights of a
third person. (n)
-------------------------------------
Article 25. Thoughtless extravagance in expenses for
LIMITATIONS TO ONE’S OWNERSHIP pleasure or display during a period of acute public
want or emergency may be stopped by order of the
General Limitations: courts at the instance of any government or private
a. Eminent Domain – taking of private property for charitable institution.
public use upon payment of just compensation.
– forced acquisition and forced sale because owner C.A. 141, Section 118. Except in favor of the
is compelled by the government Government or any of its branches, units, or
institutions, lands acquired under free patent or
Article 435. No person shall be deprived of his homestead provisions shall not be subject to
property except by competent authority and for encumbrance or alienation from the date of the
public use and always upon payment of just approval of the application and for a term of five
compensation. years from and after the date of issuance of the patent
or grant, nor shall they become liable to the
Should this requirement be not first complied with, satisfaction of any debt contracted prior to the
the courts shall protect and, in a proper case, restore expiration of said period, but the improvements or
the owner in his possession. (349a) crops on the land may be mortgaged or pledged to
qualified persons, associations, or corporations.
Requisites:
(1) That the executive is authorized by an No alienation, transfer, or conveyance of any
ordinance or law to exercise such power homestead after five years and before twenty-five
(2) That the expropriation is for public use years after issuance of title shall be valid without the
(3) That there was a payment of just approval of the Secretary of Agriculture and
compensation Commerce, which approval shall not be denied
(4) That there was a valid and definite offer that except on constitutional and legal grounds.
was rejected
NECESSARY EXPENSES ≠
b. Police Power – taking of private property for the USEFUL EXPENSES ≠
general welfare without compensation. ORNAMENTAL/LUXURY EXPENSES
Article 436. When any property is condemned or Necessary Expenses – those without which the thing
seized by competent authority in the interest of would physically deteriorate or perish
health, safety or security, the owner thereof shall not – it is the owner who has the obligation to should
be entitled to compensation, unless he can show that this kind of expense because it is him who will
such condemnation or seizure is unjustified. benefit from it
– if the temporary holder of the property will
shoulder this, the owner needs to reimburse him

Useful Expenses – those which increase the (2) Lawful owner is unknown
productivity or raise the value for every subsequent (3) Discovered by chance
possessor – “chance” means no assurance that a
– consent from the owner is necessary, otherwise person with intent to look for the treasure
the one who introduced the useful expense shall will be able to find it
shoulder the expense incurred (4) Finder must not be a trespasser
Ornamental/Luxury Expenses – those which add to Rules:

the value of the thing only for certain determinate a. If the owner of the land, building, or other
persons property on which the treasure is found is
the finder, then the hidden treasure belongs
– Note: in Civil Code, the other terms for these to him.
expenses are: b. If the finder is not the owner of the land,
building, or other property on which the
1. Ordinary Expenses – due to the ordinary treasure is found, then he is entitled only to
wear and tear of the property and is ½ of the treasure.
indispensable for the preservation of the c. If the things found be of interest to science
thing; shouldered by the person enjoying the or the arts, the State may acquire them at
possession their just price, which shall be divided in
conformity with the rule stated.
2. Extraordinary Expenses – equivalent to d. If the finder is a trespasser, he shall not be
necessary expenses; shouldered by the entitled to any share of the treasure.
owner – reason: the trespasser cannot be allowed
to benefit from his unlawful act
II. HIDDEN TREASURE e. If the finder is employed to look for the
treasure, unless agreed upon he has no share
Article 438. Hidden treasure belongs to the owner of in the treasure. He can only ask for wages.
the land, building, or other property on which it is f. In case of Yamashita Treasure, ¼ is granted
found. to the finder and the other ¾ should belong
to the government. (P.D. 172)
Nevertheless, when the discovery is made on the
property of another, or of the State or any of its Principle of Irrevindicability – the possessor of the
subdivisions, and by chance, one-half thereof shall be personal property is the owner of such.
allowed to the finder. If the finder is a trespasser, he
shall not be entitled to any share of the treasure. III. ACCESSION
If the things found be of interest to science or the ACCESSION ≠ ACCESSORY

arts, the State may acquire them at their just price,
which shall be divided in conformity with the rule Accession – an extension of ownership over a thing
stated. (351a) to whatever is incorporated thereto naturally or
artificially
Article 439. By treasure is understood, for legal – anything that is: attached, produced, or
purposes, any hidden and unknown deposit of money, incorporated (A-P-I)
jewelry, or other precious objects, the lawful – fruits of or additions to improvements upon the
ownership of which does not appear. (352) principal
– not a mode of acquiring ownership because it
Hidden Treasure – any hidden and unknown deposit presupposes ownership of the principal thing,
of money, jewelry, or other precious objects, the hence, it is only a right included in ownership.
lawful owner of which does not appear. (Art. 1166)
Elements of a Hidden Treasure: Accessory – things joined to, or included with the
(1) Hidden and unknown deposit of money, principal for the latter’s embellishment, better use, or
jewelry, or other precious objects completion.
– “other” = ejusdem generis: same nature – ornament to add beauty and may be removed to
as enumerated the principal object without causing injury.

Kinds of Accession: be separated from each other without causing
1. Accession Discreta – by internal forces substantial injury to the things involved
2. Accession Continua – by external forces – presupposes absence of agreement between the
owners
ACCESSION DISCRETA – there is a controversy as to who is entitled to
– right of the owner to anything which is produced the resulting union
by his property (fruits: natural, industrial, or civil) – Kinds:
a. Movable – conjunction/adjunction,
Article 441. To the owner belongs: commixtion/confusion, or specification
b. Immovable – natural or industrial
(1) The natural fruits;
(2) The industrial fruits; I. Immovable
(3) The civil fruits. (354)
a. Accession Industrial – involves a person who,
Article 442. Natural fruits are the spontaneous through building, planting, or sowing, introduces an
products of the soil, and the young and other products improvement to the property
of animals.
Article 445. Whatever is built, planted or sown on
Industrial fruits are those produced by lands of any the land of another and the improvements or repairs
kind through cultivation or labor. made thereon, belong to the owner of the land,
subject to the provisions of the following articles.
Civil fruits are the rents of buildings, the price of (358)
leases of lands and other property and the amount of
perpetual or life annuities or other similar income. Article 446. All works, sowing, and planting are
(355a) presumed made by the owner and at his expense,
unless the contrary is proved. (359)
Rules:
a. If you are the owner of the property, you are Article 447. The owner of the land who makes
entitled to the fruits of the property. thereon, personally or through another, plantings,
b. Third persons who are still entitle to the constructions or works with the materials of another,
fruits are: shall pay their value; and, if he acted in bad faith, he
i. Usufructuary (Art. 556) – not only shall also be obliged to the reparation of damages.
entitled to the enjoyment of the The owner of the materials shall have the right to
property subject matter but also to remove them only in case he can do so without injury
its fruits (right to possess, use, and to the work constructed, or without the plantings,
to its fruits) constructions or works being destroyed. However, if
ii. Antichresis Creditor (Art. 2132) – the landowner acted in bad faith, the owner of the
the creditor acquires the right to materials may remove them in any event, with a right
receive the fruits of an immovable to be indemnified for damages. (360a)
of his debtor, with the obligation to
apply them to the payment of the Article 448. The owner of the land on which
interest, if owing, and thereafter to anything has been built, sown or planted in good
the principal of his credit faith, shall have the right to appropriate as his own
iii. Lessee – if there is no express the works, sowing or planting, after payment of the
provision against sublease, the indemnity provided for in articles 546 and 548, or to
lessee is entitled to the natural and oblige the one who built or planted to pay the price of
industrial fruits the land, and the one who sowed, the proper rent.
iv. Fruits Naturally Falling – belongs However, the builder or planter cannot be obliged to
to the owner of the adjacent land buy the land if its value is considerably more than
and not to the owner of the tree that of the building or trees. In such case, he shall pay
reasonable rent, if the owner of the land does not
ACCESSION CONTINUA choose to appropriate the building or trees after
– union of two or more things belonging to proper indemnity. The parties shall agree upon the
different owners in such a manner that they cannot terms of the lease and in case of disagreement, the

court shall fix the terms thereof. (361a) builder, planter or sower, the latter may demand from
the landowner the value of the materials and labor.
Article 449. He who builds, plants or sows in bad (365a)
faith on the land of another, loses what is built,
planted or sown without right to indemnity. (362) Article 456. In the cases regulated in the preceding
articles, good faith does not necessarily exclude
Article 450. The owner of the land on which negligence, which gives right to damages under
anything has been built, planted or sown in bad faith article 2176. (n)
may demand the demolition of the work, or that the
planting or sowing be removed, in order to replace Categories of B/P/S:
things in their former condition at the expense of the (a) Landowner is the B/P/S who is different
person who built, planted or sowed; or he may from the owner of materials
compel the builder or planter to pay the price of the Landowner B/P/S OM
land, and the sower the proper rent. (363a) (b) Landowner is different from the B/P/S who
is the owner of materials
Article 451. In the cases of the two preceding Landowner
articles, the landowner is entitled to damages from OM B/P/S
the builder, planter or sower. (n) (c) Landowner is different from the B/P/S who
is also different from the owner of materials
Article 452. The builder, planter or sower in bad Landowner
faith is entitled to reimbursement for the necessary B/P/S
expenses of preservation of the land. (n) OM
Article 453. If there was bad faith, not only on the Guidelines:
part of the person who built, planted or sowed on the (1) Know what situation it falls (Accession or
land of another, but also on the part of the owner of Accessory? A-P-I?)
such land, the rights of one and the other shall be the (2) Find the application of “accessory follows
same as though both had acted in good faith. the principal” – regardless if the owner is in
good faith or bad faith (Art. 466: the owner
It is understood that there is bad faith on the part of of the principal thing has the right to claim
the landowner whenever the act was done with his ownership of the accessory thing and not the
knowledge and without opposition on his part. (364a) vice-versa, Art. 445)
(3) Application of the principle of unjust
Article 454. When the landowner acted in bad faith enrichment
and the builder, planter or sower proceeded in good – the owner of the principal thing must
faith, the provisions of article 447 shall apply. (n) still pay for the value of the accessory
thing
Article 455. If the materials, plants or seeds belong – B/P/S or OM may go to court to compel
to a third person who has not acted in bad faith, the specific performance for payment of value
owner of the land shall answer subsidiarily for their of the materials
value and only in the event that the one who made (4) Whoever is in bad faith will always be liable
use of them has no property with which to pay. for damages and other unfavorable
consequences + value of the improvements
This provision shall not apply if the owner makes use
of the right granted by article 450. If the owner of the
materials, plants or seeds has been paid by the

Summary of Rules: *from UST Golden Notes*

b. Accession Natural – introduction of an years, it will
improvement is caused by nature and without human belong to the
intervention owner of the
– Kinds: property to
a. Alluvium which it is
b. Avulsion attached
c. Uprooted Trees “malumanay” = “maragsa” =
d. Abandoned Riverbeds Through Natural gradual with force
Change in the Course of the Water * in the absence of evidence that the change in the
e. Formation of Islands course of the river was sudden, the presumption is
that the change was gradual
Alluvium
Uprooted Trees – (delayed accession)
Article 457. To the owners of lands adjoining the
banks of rivers belong the accretion which they Article 460. Trees uprooted and carried away by the
gradually receive from the effects of the current of current of the waters belong to the owner of the land
the waters. (336) upon which they may be cast, if the owners do not
claim them within six months. If such owners claim
Article 458. The owners of estates adjoining ponds them, they shall pay the expenses incurred in
or lagoons do not acquire the land left dry by the gathering them or putting them in a safe place. (369a)
natural decrease of the waters, or lose that inundated
by them in extraordinary floods. (367) Abandoned Riverbeds Through Natural Change
– reason: to compensate him for the danger of loss in the Course of the Water – (delayed accession)
that he suffers because of the location of his land – more of an exchange deal: legal compensation
Avulsion – (delayed accession) Article 461. River beds which are abandoned
through the natural change in the course of the waters
Article 459. Whenever the current of a river, creek or ipso facto belong to the owners whose lands are
torrent segregates from an estate on its bank a known occupied by the new course in proportion to the area
portion of land and transfers it to another estate, the lost. However, the owners of the lands adjoining the
owner of the land to which the segregated portion old bed shall have the right to acquire the same by
belonged retains the ownership of it, provided that he paying the value thereof, which value shall not
removes the same within two years. (368a) exceed the value of the area occupied by the new bed.
(370a)
ALLUVIUM AVULSION
Sediments that accumulated on the Article 462. Whenever a river, changing its course
How does it by natural causes, opens a new bed through a private
seashore due to the force of the
take place estate, this bed shall become of public dominion.
water
Sudden or (372a)
Manner Gradual
abrupt
Where it was Formation of Islands
Unidentifiable Identifiable
detached
Owner from Article 463. Whenever the current of a river divides
whose property itself into branches, leaving a piece of land or part
it was detached thereof isolated, the owner of the land retains his
ownership. He also retains it if a portion of land is
Owner of the separated from the estate by the current. (374)
If the original
property to
New owner owner did not
which it is Article 464. Islands which may be formed on the
remove the
attached seas within the jurisdiction of the Philippines, on
portion
detached from lakes, and on navigable or floatable rivers belong to
its property the State. (371a)
within two

Article 465. Islands which through successive Nevertheless, in case the thing united for the use,
accumulation of alluvial deposits are formed in non- embellishment or perfection of the other, is much
navigable and non-floatable rivers, belong to the more precious than the principal thing, the owner of
owners of the margins or banks nearest to each of the former may demand its separation, even though
them, or to the owners of both margins if the island is the thing to which it has been incorporated may
in the middle of the river, in which case it shall be suffer some injury. (378)
divided longitudinally in halves. If a single island
thus formed be more distant from one margin than Article 470. Whenever the owner of the accessory
from the other, the owner of the nearer margin shall thing has made the incorporation in bad faith, he shall
be the sole owner thereof. (373a) lose the thing incorporated and shall have the
obligation to indemnify the owner of the principal
Rules: thing for the damages he may have suffered.
a. If the body of water formed is navigable, the
State owns it (Regalian Doctrine) If the one who has acted in bad faith is the owner of
b. If the body of water formed is non- the principal thing, the owner of the accessory thing
navigable, it will depend if: shall have a right to choose between the former
i. Nearer to X’s property, he is the sole paying him its value or that the thing belonging to
owner him be separated, even though for this purpose it be
ii. Equidistant or island is located necessary to destroy the principal thing; and in both
between two estates, there is co- cases, furthermore, there shall be indemnity for
ownership by operation of law damages.
II. Movable If either one of the owners has made the

incorporation with the knowledge and without the
Conjunction/Adjunction – the process of two objection of the other, their respective rights shall be
movables belonging to different owners being united determined as though both acted in good faith. (379a)
in such a way that they form a single object and each
of the things united preserves its own nature. Article 471. Whenever the owner of the material
employed without his consent has a right to an
Article 466. Whenever two movable things indemnity, he may demand that this consist in the
belonging to different owners are, without bad faith, delivery of a thing equal in kind and value, and in all
united in such a way that they form a single object, other respects, to that employed, or else in the price
the owner of the principal thing acquires the thereof, according to expert appraisal. (380)
accessory, indemnifying the former owner thereof for
its value. (375) Article 475. In the preceding articles, sentimental
value shall be duly appreciated. (n)
Article 467. The principal thing, as between two
things incorporated, is deemed to be that to which the Elements:
other has been united as an ornament, or for its use or (1) Two personal properties are put together
perfection. (376) (2) Separation of which will cause injury or
destruction
Article 468. If it cannot be determined by the rule (3) Identity of the separate personal properties is
given in the preceding article which of the two things retained
incorporated is the principal one, the thing of the
greater value shall be so considered, and as between When Separation of Things is Allowed:
two things of equal value, that of the greater volume. (1) Separation without injury
(2) Separation with injury if the accessory is
In painting and sculpture, writings, printed matter, much more precious than the principal
engraving and lithographs, the board, metal, stone, (3) Owner of the principal acted in bad faith
canvas, paper or parchment shall be deemed the
accessory thing. (377) Test to Determine the Principal (in order):
(1) Rule of Importance
Article 469. Whenever the things united can be (2) Rule of Greater Value
separated without injury, their respective owners may (3) Rule of Greater Volume
demand their separation. (4) Rule of Greater Merit

Rules: be determined by the provisions of the preceding
PRINCIPAL ACCESSORY article.
Both in Good Faith If the one who caused the mixture or confusion acted
1. acquire accessory and 1. receive payment for in bad faith, he shall lose the thing belonging to him
pay owner of the value of accessory; thus mixed or confused, besides being obliged to pay
accessory for its value; indemnity for the damages caused to the owner of the
or other thing with which his own was mixed. (382)
or
2. GR: demand Article 475. In the preceding articles, sentimental
2. demand separation separation provided that value shall be duly appreciated. (n)
provided that the thing the thing suffers no
suffers no injury injury Rules:
1st OWNER 2nd OWNER
XPN: if the accessory is By Will of Both Owners or by Accident
more precious than the Good Faith Good Faith
principal, he may 1. right is subject to stipulations; or
demand separation with 2. right is proportion to the part belonging to him (co-
or without injury ownership)
Good Faith Bad Faith By Will of Only 1 Owner or by Chance
acquire accessory lose accessory + pay for Good Faith Good Faith
without paying the owner damages 1. have the things separated, provided that the thing
of accessory + damages suffers no injury; or
Bad Faith Good Faith 2. if it cannot be separated without injury, acquire
1. pay value of accessory interest on mixture in proportion to his part (co-
+ pay damages; 1. receive payment for ownership)
the accessory + damages; Bad Faith
or Good Faith
(caused the mixture)
or nd
1st owner will lose his 2 owner will acquire
2. if opted by the owner part on the mixture + pay entire mixture + entitled
of the accessory, have 2. have accessory damages to the 2nd owner to damages
the things separated, separate with or without Good Faith
even though it will cause injury to the principal Bad Faith
(caused the mixture)
injury to the principal + thing + receive damages
as if both acted in good faith because the 2nd owner in
pay damages
good faith was the one who caused the ratification of
Both in Bad Faith the 1st owner’s bad faith
Same as though both acted in good faith
Specification – it is the giving of new form to
Commixtion/Confusion – the combination of another’s material through application of labor. The
materials where the respective identities of the material undergoes a transformation or change of
component elements are lost either voluntarily or by identity.
chance. – principal: labor
– commixtion: mixture of solids – accessory: material used
– confusion: mixture of liquids
Article 474. One who in good faith employs the
Article 472. If by the will of their owners two things material of another in whole or in part in order to
of the same or different kinds are mixed, or if the make a thing of a different kind, shall appropriate the
mixture occurs by chance, and in the latter case the thing thus transformed as his own, indemnifying the
things are not separable without injury, each owner owner of the material for its value.
shall acquire a right proportional to the part
belonging to him, bearing in mind the value of the If the material is more precious than the transformed
things mixed or confused. (381) thing or is of more value, its owner may, at his
option, appropriate the new thing to himself, after
Article 473. If by the will of only one owner, but in first paying indemnity for the value of the work, or
good faith, two things of the same or different kinds demand indemnity for the material.
are mixed or confused, the rights of the owners shall
If in the making of the thing bad faith intervened, the action may be brought to remove such cloud or to
owner of the material shall have the right to quiet the title.
appropriate the work to himself without paying
anything to the maker, or to demand of the latter that An action may also be brought to prevent a cloud
he indemnify him for the value of the material and from being cast upon title to real property or any
the damages he may have suffered. However, the interest therein.
owner of the material cannot appropriate the work in
case the value of the latter, for artistic or scientific Article 477. The plaintiff must have legal or
reasons, is considerably more than that of the equitable title to, or interest in the real property
material. (383a) which is the subject matter of the action. He need not
be in possession of said property.
Article 475. In the preceding articles, sentimental
value shall be duly appreciated. (n) Article 478. There may also be an action to quiet title
or remove a cloud therefrom when the contract,
Rules: instrument or other obligation has been extinguished
PRINCIPAL ACCESSORY or has terminated, or has been barred by extinctive
prescription.
Both in Good Faith
acquire accessory and GR: receive payment for Article 479. The plaintiff must return to the
pay owner of the value of accessory defendant all benefits he may have received from the
accessory for its value; latter, or reimburse him for expenses that may have
XPN: if the value of the redounded to the plaintiff's benefit.
material is greater than
the value of labor, he Article 480. The principles of the general law on the
may acquire the property quieting of title are hereby adopted insofar as they are
+ indemnify for labor not in conflict with this Code.
OR demand indemnity
for material Article 481. The procedure for the quieting of title or
Good Faith Bad Faith the removal of a cloud therefrom shall be governed
acquire accessory lose accessory + pay for by such rules of court as the Supreme Court shall
without paying the owner damages promulgated.
of accessory + damages
Bad Faith Good Faith Quieting of Title - is a declaratory relief or form of
1. lose accessory + pay 1. acquire the result proceeding originating in equity jurisprudence which
for damages without indemnity (due has, for its purpose, adjudication that a claim of title
to impossibility of to or an interest in property adverse to that of the
separation); complainant is invalid so that the complainant and
those claiming under him may be forever afterward
or or free from any danger of the hostile claim.
2. indemnify the value of 2. demand that he be Prescriptibility:

the material + pay indemnified for the value a. In possession – imprescriptible
damages of the material + b. Not in possession –
damages i. Ordinary – 10 years
Both in Bad Faith ii. Extraordinary – 30 years
Same as though both acted in good faith
Indispensible Requisite: Plaintiff must have a
IV. QUIETING OF TITLE legal/equitable title but need not be in possession of
the property.
Article 476. Whenever there is a cloud on title to real
Nature of Action: quasi in rem; against the person in
property or any interest therein, by reason of any
respect of the res
instrument, record, claim, encumbrance or
proceeding which is apparently valid or effective but
Property Affected: Real Property and Personal
is in truth and in fact invalid, ineffective, voidable, or
Property by Analogy
unenforceable, and may be prejudicial to said title, an

V. CO-OWNERSHIP (1) The main and party walls, the roof and the other
things used in common, shall be preserved at the
Article 484. There is co-ownership whenever the expense of all the owners in proportion to the value
ownership of an undivided thing or right belongs to of the story belonging to each;
different persons.
(2) Each owner shall bear the cost of maintaining the
In default of contracts, or of special provisions, co- floor of his story; the floor of the entrance, front
ownership shall be governed by the provisions of this door, common yard and sanitary works common to
Title. (392) all, shall be maintained at the expense of all the
owners pro rata;
Article 485. The share of the co-owners, in the
benefits as well as in the charges, shall be (3) The stairs from the entrance to the first story shall
proportional to their respective interests. Any be maintained at the expense of all the owners pro
stipulation in a contract to the contrary shall be void. rata, with the exception of the owner of the ground
floor; the stairs from the first to the second story shall
The portions belonging to the co-owners in the co- be preserved at the expense of all, except the owner
ownership shall be presumed equal, unless the of the ground floor and the owner of the first story;
contrary is proved. (393a) and so on successively. (396)
Article 486. Each co-owner may use the thing owned Article 491. None of the co-owners shall, without the
in common, provided he does so in accordance with consent of the others, make alterations in the thing
the purpose for which it is intended and in such a way owned in common, even though benefits for all
as not to injure the interest of the co-ownership or would result therefrom. However, if the withholding
prevent the other co-owners from using it according of the consent by one or more of the co-owners is
to their rights. The purpose of the co-ownership may clearly prejudicial to the common interest, the courts
be changed by agreement, express or implied. (394a) may afford adequate relief. (397a)
Article 487. Any one of the co-owners may bring an Article 492. For the administration and better
action in ejectment. (n) enjoyment of the thing owned in common, the
resolutions of the majority of the co-owners shall be
Article 488. Each co-owner shall have a right to binding.
compel the other co-owners to contribute to the
expenses of preservation of the thing or right owned There shall be no majority unless the resolution is
in common and to the taxes. Any one of the latter approved by the co-owners who represent the
may exempt himself from this obligation by controlling interest in the object of the co-ownership.
renouncing so much of his undivided interest as may
be equivalent to his share of the expenses and taxes. Should there be no majority, or should the resolution
No such waiver shall be made if it is prejudicial to of the majority be seriously prejudicial to those
the co-ownership. (395a) interested in the property owned in common, the
court, at the instance of an interested party, shall
Article 489. Repairs for preservation may be made at order such measures as it may deem proper, including
the will of one of the co-owners, but he must, if the appointment of an administrator.
practicable, first notify his co-owners of the necessity
for such repairs. Expenses to improve or embellish Whenever a part of the thing belongs exclusively to
the thing shall be decided upon by a majority as one of the co-owners, and the remainder is owned in
determined in article 492. (n) common, the preceding provision shall apply only to
the part owned in common. (398)
Article 490. Whenever the different stories of a
house belong to different owners, if the titles of Article 493. Each co-owner shall have the full
ownership do not specify the terms under which they ownership of his part and of the fruits and benefits
should contribute to the necessary expenses and there pertaining thereto, and he may therefore alienate,
exists no agreement on the subject, the following assign or mortgage it, and even substitute another
rules shall be observed: person in its enjoyment, except when personal rights
are involved. But the effect of the alienation or the
mortgage, with respect to the co-owners, shall be
limited to the portion which may be allotted to him in
the division upon the termination of the co- real rights belonging to them before the division was
ownership. (399) made. Personal rights pertaining to third persons
against the co-ownership shall also remain in force,
Article 494. No co-owner shall be obliged to remain notwithstanding the partition. (405)
in the co-ownership. Each co-owner may demand at
any time the partition of the thing owned in common, Article 500. Upon partition, there shall be a mutual
insofar as his share is concerned. accounting for benefits received and reimbursements
for expenses made. Likewise, each co-owner shall
Nevertheless, an agreement to keep the thing pay for damages caused by reason of his negligence
undivided for a certain period of time, not exceeding or fraud. (n)
ten years, shall be valid. This term may be extended
by a new agreement. Article 501. Every co-owner shall, after partition, be
liable for defects of title and quality of the portion
A donor or testator may prohibit partition for a period assigned to each of the other co-owners. (n)
which shall not exceed twenty years.
Co-ownership – the right of common dominion
Neither shall there be any partition when it is which two or more persons have in a spiritual part of
prohibited by law. a thing, not materially or physically divided.
(Sanchez Roman)
No prescription shall run in favor of a co-owner or – the manifestation of the private right of
co-heir against his co-owners or co-heirs so long as ownership, which instead of being exercised by the
he expressly or impliedly recognizes the co- owner in an exclusive manner over the thing
ownership. (400a) subject to it, it is exercised by two or more owners
and the undivided thing or right to which it refers is
Article 495. Notwithstanding the provisions of the one and the same. (Manresa)
preceding article, the co-owners cannot demand a – plurality of subjects, unity of the object
physical division of the thing owned in common,
when to do so would render it unserviceable for the Causes:
use for which it is intended. But the co-ownership 1. The Law – as in party walls, fences, and in
may be terminated in accordance with article 498. the legal conjugal partnership
(401a) 2. Contracts
3. Succession – when a person dies intestate,
Article 496. Partition may be made by agreement leaving his properties undivided to several
between the parties or by judicial proceedings. heirs, who becomes co-owners of the
Partition shall be governed by the Rules of Court inheritance
insofar as they are consistent with this Code. (402) 4. Fortuitous Event or Chance – as in cases of
commixtion/confusion caused by accident or
Article 497. The creditors or assignees of the co- chance, and of hidden treasure accidentally
owners may take part in the division of the thing discovered by a stranger on the land of the
owned in common and object to its being effected other
without their concurrence. But they cannot impugn 5. Occupancy – when two persons catch a wild
any partition already executed, unless there has been beast or gather forest products
fraud, or in case it was made notwithstanding a
formal opposition presented to prevent it, without CO-OWNERSHIP ≠ PARTNERSHIP
prejudice to the right of the debtor or assignor to
maintain its validity. (403) CO-OWNERSHIP PARTNERSHIP
Created by contract
Article 498. Whenever the thing is essentially Created by other sources
except conjugal
indivisible and the co-owners cannot agree that it be aside from contract
partnership
allotted to one of them who shall indemnify the
No juridical personality Has juridical personality
others, it shall be sold and its proceeds distributed.
(404) Purpose: Common
Purpose: Profit
enjoyment
Article 499. The partition of a thing owned in May not stipulate
May be for more than 10
common shall not prejudice third persons, who shall indivision for more than
years
retain the rights of mortgage, servitude or any other 10 years, or 20 years if
imposed by the Causes for Extinction of Co-ownership:
testator/donor 1. Total destruction of the thing
Not dissolved by the Dissolved by the death of 2. Merger of all interest into one person
death of a co-owner a partner 3. Prescription (adverse possession)
4. Partition (judicial or extra-judicial)
Re: Perpetual Co-ownership: None. Any co-owner
can demand partition of ownership at any time. VI. POSSESSION
– no co-owner can be compelled to stay in a co-
ownership for an indefinite time Article 523. Possession is the holding of a thing or
– an action to demand partition does not prescribe the enjoyment of a right. (430a)
→ any act intended to put an end to division is
deemed to be a partition Article 524. Possession may be exercised in one's
– co-ownership is terminated if there is a judicial or own name or in that of another. (413a)
extra-judicial partition of property
Article 525. The possession of things or rights may
Re: Undivided Interest: a co-owner has the right to be had in one of two concepts: either in the concept
freely sell and dispose of his undivided interest, but of owner, or in that of the holder of the thing or right
no right to sell a divided/definite part of the real to keep or enjoy it, the ownership pertaining to
estate. another person. (432)
– co-ownership will not exist if a portion owned is
completely determined or specified by its very Article 526. He is deemed a possessor in good faith
nature because the law contemplates of spiritual who is not aware that there exists in his title or mode
shares of acquisition any flaw which invalidates it.
– GR: the undivided interest cannot be acquired by
acquisitive prescription He is deemed a possessor in bad faith who possesses
XPN: unless there is an explicit repudiation of in any case contrary to the foregoing.
that share coming from the co-owner
Mistake upon a doubtful or difficult question of law
When Majority Consent is Needed: may be the basis of good faith. (433a)
a. E – enjoyment
b. M – management Article 527. Good faith is always presumed, and
c. I – Improvement upon him who alleges bad faith on the part of a
possessor rests the burden of proof. (434)
When Unanimous Consent is Needed:
a. E – encumbrance (mortgage) Article 528. Possession acquired in good faith does
b. D – disposition of entire property (sale or not lose this character except in the case and from the
donation) moment facts exist which show that the possessor is
c. A – alteration of thing owned in common not unaware that he possesses the thing improperly or
wrongfully. (435a)
Re: Expenses: if
a. Necessary – there is a right to reimburse Article 529. It is presumed that possession continues
from co-owners because it is beneficial to all to be enjoyed in the same character in which it was
of them. acquired, until the contrary is proved. (436)
– Note: that the law says it would be
better to notify the co-owners in advance, Article 530. Only things and rights which are
but consent is not needed susceptible of being appropriated may be the object
– if the other co-owner renounced his of possession. (437)
undivided share, that share will be
considered as payment for the necessary – holding of a thing or the enjoyment of a right
expenses incurred ↓ ↓
b. Useful and Luxury – if there is no consent, corporeal incorporeal
the co-owner who introduced the same will – possession in property does not refer to actual
be solely responsible for it. physical possession because there is such a thing
as:

a) Possession in the concept of holder – one Article 536. In no case may possession be acquired
who acknowledges in another a superior through force or intimidation as long as there is a
right which he believes to be ownership possessor who objects thereto. He who believes that
– i.e. lessee he has an action or a right to deprive another of the
b) Possession in the concept of owner – holding of a thing, must invoke the aid of the
owner himself or one who claims to be so competent court, if the holder should refuse to deliver
– i.e. lessor the thing. (441a)
Objects of Possession: Only things and rights which Article 537. Acts merely tolerated, and those
are susceptible of being appropriated may be the executed clandestinely and without the knowledge of
object of possession. (Res Nullius and Res Alicujus) the possessor of a thing, or by violence, do not affect
– excluded: possession. (444)
1. Res communes
2. Property of public dominion Article 538. Possession as a fact cannot be
3. Discontinuous servitudes recognized at the same time in two different
4. Non-apparent servitudes personalities except in the cases of co-possession.
Should a question arise regarding the fact of
WAYS OF ACQUIRING POSSESSION possession, the present possessor shall be preferred;
if there are two possessors, the one longer in
Article 531. Possession is acquired by the material possession; if the dates of the possession are the
occupation of a thing or the exercise of a right, or by same, the one who presents a title; and if all these
the fact that it is subject to the action of our will, or conditions are equal, the thing shall be placed in
by the proper acts and legal formalities established judicial deposit pending determination of its
for acquiring such right. (438a) possession or ownership through proper proceedings.
(445)
Article 532. Possession may be acquired by the same
person who is to enjoy it, by his legal representative, 1. Material Occupancy – by material occupation of
by his agent, or by any person without any power a thing or the exercise of a right
whatever: but in the last case, the possession shall not  Traditio Brevi Manu – transferee already
be considered as acquired until the person in whose had the property in his possession for any
name the act of possession was executed has ratified other reason (lessee → owner)
the same, without prejudice to the juridical  Constitutum Possessorium – owner of the
consequences of negotiorum gestio in a proper case. property alienates it but continues to be in
(439a) possession of the same in the concept of a
tenant or other subordinate right ( owner →
Article 533. The possession of hereditary property is lessee/usufructuary/depository)
deemed transmitted to the heir without interruption
and from the moment of the death of the decedent, in 2. By the subjection of the thing or right to the
case the inheritance is accepted. action of our will according to law even without
physical seizure
One who validly renounces an inheritance is deemed  Traditio Symbolica – delivery of the keys
never to have possessed the same. (440) of the place or depository where the thing is
stored or kept
Article 534. On who succeeds by hereditary title Q: What is Doctrine of Constructive
shall not suffer the consequences of the wrongful Possession?
possession of the decedent, if it is not shown that he A: The possession of the part is a
was aware of the flaws affecting it; but the effects of possession of the whole. To be considered
possession in good faith shall not benefit him except in possession, one need not have actual
from the date of death of the decedent. (442) occupation of every square inch of the
property at all times.
Article 535. Minors and incapacitated persons may  Tradition Longa Manu – delivery by mere
acquire the possession of things; but they need the consent or by mere pointing; thing cannot be
assistance of their legal representatives in order to manually transferred to the transferee at the
exercise the rights which from the possession arise in time of agreement but there is no legal
their favor. (443) obstacle to the transfer of ownership

3. By constructive possession or proper acts and DIFFERENT KINDS OF ACTION TO
legal formalities RECOVER POSSESSION OF REAL
 Clandestine Possession – hidden or PROPERTY
disguised, as distinguished from open or 1. Summary (Accion Interdictal)
public possession – Real Property: Forcible Entry or Unlawful
 Possession by Tolerance – does not give Detainer
rise to ownership Personal Property: Replevin
– Acts which do not give rise to possession: 1acts
merely tolerated, and those 2executed clandestinely a) Forcible Entry – physical possession was
and without the knowledge of the possessor of a deprived through fraud, intimidation,
thing, or 3by violence, do not affect possession strategy, threat, stealth (FISTS), or force
– the defendant has no right to be in
RIGHT OF POSSESSION ≠ possession of the property from the very
RIGHT TO POSSESSION start; informal settler → JD: MTC, MTCC
– period: within 1 year from the time of
JUS POSSESSIONIS JUS POSSIDENDI demand to vacate, or when several
right of possession is right to possession is a demands were made, from the last
independent and apart mere incident of demand either in personal or in writing
from ownership ownership
Who enjoys: Who enjoys: Requisites:
usufructuary, bailee in owner of the house is (1) that petitioner was in actual possession
commodatum, pledgee, entitled to possess it (2) that petitioner was deprived of
lessee possession through fraud, intimidation,
strategy, threat, stealth (FISTS), or force
POSSESSION WITH A JURIDICAL TITLE ≠
b) Unlawful Detainer – physical possession
POSSESSION WITH A JUST TITLE
was deprived through the expiration of the
contract to the right of possession
POSSESSION WITH A POSSESSION WITH A – possession was lawful in the beginning
JURIDICAL TITLE JUST TITLE but became unlawful later on
predicated on a juridical possession of an adverse – period: within 1 year after the expiration
relation existing between claimant whose title is of the contract
the possessor and the sufficient to transfer
owner of the thing but ownership but is Requisites:
not in the concept of an defective as the seller is (1) that defendant was in lawful possession
owner, such that of lease, not the true owner (2) that possession of the defendant already
usufructuary, depository became unlawful because the contract
connect with the right of connect with the right to already expired
possession possession
2. Accion Publiciana – plenary action to recover
RULE OF PREFERENCE IN CASE OF possession → ejectment suit → JD: RTC
DISPUTE RE: POSSESSION (Art. 538) – based on superior right of the plaintiff to
(1) the present possessor shall be preferred possession
– the law presumes that if you are in – issue: based on possession not ownership (not
possession, you are the owner possession de facto but possession de jure)
(2) if there are two possessors, the one longer in
possession 3. Accion Reivindicatoria – recovery of the
(3) if the dates of the possession are the same, dominion over the property as the owner → i.e.
the one who presents a title boundary dispute → JD: RTC
(4) if all these conditions are equal, the thing – issue: based on ownership
shall be placed in judicial deposit pending
determination of its possession or ownership 4. Injunction – against continuation of trespass
through proper proceedings

VII. USUFRUCT Distinction: the right to enjoy the fruits
Article 562. Usufruct gives a right to enjoy the Q: If onerous, what is the difference from lease?
property of another with the obligation of preserving A: In usufruct, the consideration is only given once.
its form and substance, unless the title constituting it On the other hand, in lease, the consideration is on a
or the law otherwise provides. (467) regular basis.
Article 563. Usufruct is constituted 1by law, 2by the Q: If gratuitous, what is the difference from
will of private persons expressed in acts inter vivos or commodatum?
in a last will and testament, and 3by prescription. A: The bailee has the right only to possess and use
(468) the property. Unlike the usufructuary, none regards
the enjoyment of the fruits.
Article 564. Usufruct may be constituted on the
whole or a part of the fruits of the thing, in favor of RIGHTS OF THE USUFRUCTUARY
one more persons, simultaneously or successively,
and in every case from or to a certain day, purely or Article 566. The usufructuary shall be entitled to all
conditionally. It may also be constituted on a right, the natural, industrial and civil fruits of the property
provided it is not strictly personal or intransmissible. in usufruct. With respect to hidden treasure which
(469) may be found on the land or tenement, he shall be
considered a stranger. (471)
Usufruct – right to enjoy the property of another
with the obligation of preserving its form and Article 567. Natural or industrial fruits growing at
substance, unless the title constituting it or the law the time the usufruct begins, belong to the
otherwise provides. usufructuary.
→ “uso” – use
“fructo” – fruits Those growing at the time the usufruct terminates,
– a real right of temporary character and in the belong to the owner.
nature of an encumbrance upon another’s property
which does not suppose a disintegration of In the preceding cases, the usufructuary, at the
ownership beginning of the usufruct, has no obligation to refund
to the owner any expenses incurred; but the owner
USUFRUCT ≠ LEASE ≠ COMMODATUM shall be obliged to reimburse at the termination of the
usufruct, from the proceeds of the growing fruits, the
ordinary expenses of cultivation, for seed, and other
Usufruct Lease Commodatum
similar expenses incurred by the usufructuary.
As to Parties
Naked Owner Lessor and Bailor and The provisions of this article shall not prejudice the
and Lessee Bailee rights of third persons, acquired either at the
Usufructuary beginning or at the termination of the usufruct. (472)
As to Rights
1. possess 1. possess 1. possess Article 568. If the usufructuary has leased the lands
2. use 2. use 2. use or tenements given in usufruct, and the usufruct
3. enjoy 3. enjoy (if should expire before the termination of the lease, he
allowed) or his heirs and successors shall receive only the
As to Consideration proportionate share of the rent that must be paid by
Civil Code is onerous essentially the lessee. (473)
silent – either gratuitous Article 569. Civil fruits are deemed to accrue daily,
gratuitous or and belong to the usufructuary in proportion to the
onerous time the usufruct may last. (474).
according to
Castan, a Article 570. Whenever a usufruct is constituted on
Spanish Civil the right to receive a rent or periodical pension,
Code whether in money or in fruits, or in the interest on
Commentator bonds or securities payable to bearer, each payment

due shall be considered as the proceeds or fruits of Article 585. The usufructuary, whatever may be the
such right. title of the usufruct, may be excused from the
obligation of making an inventory or of giving
Whenever it consists in the enjoyment of benefits security, when no one will be injured thereby. (493)
accruing from a participation in any industrial or
commercial enterprise, the date of the distribution of Article 586. Should the usufructuary fail to give
which is not fixed, such benefits shall have the same security in the cases in which he is bound to give it,
character. the owner may demand that the immovables be
placed under administration, that the movables be
In either case they shall be distributed as civil fruits, sold, that the public bonds, instruments of credit
and shall be applied in the manner prescribed in the payable to order or to bearer be converted into
preceding article. (475) registered certificates or deposited in a bank or public
institution, and that the capital or sums in cash and
Article 571. The usufructuary shall have the right to the proceeds of the sale of the movable property be
enjoy any increase which the thing in usufruct may invested in safe securities.
acquire through accession, the servitudes established
in its favor, and, in general, all the benefits inherent The interest on the proceeds of the sale of the
therein. (479) movables and that on public securities and bonds, and
the proceeds of the property placed under
Article 572. The usufructuary may personally enjoy administration, shall belong to the usufructuary.
the thing in usufruct, lease it to another, or alienate
his right of usufruct, even by a gratuitous title; but all Furthermore, the owner may, if he so prefers, until
the contracts he may enter into as such usufructuary the usufructuary gives security or is excused from so
shall terminate upon the expiration of the usufruct, doing, retain in his possession the property in
saving leases of rural lands, which shall be usufruct as administrator, subject to the obligation to
considered as subsisting during the agricultural year. deliver to the usufructuary the net proceeds thereof,
(480) after deducting the sums which may be agreed upon
or judicially allowed him for such administration.
– Note: While the usufruct lasts, the owner of the (494)
property held in usufruct is referred to as the
“naked owner” because he is deprived of some of Article 587. If the usufructuary who has not given
the more important attributes of ownership. security claims, by virtue of a promise under oath, the
 the usufructuary has the right to enjoy the delivery of the furniture necessary for his use, and
property, to the same extent as the owner, but that he and his family be allowed to live in a house
only with respect to its use and the receipt of included in the usufruct, the court may grant this
fruits. petition, after due consideration of the facts of the
case.
OBLIGATIONS OF THE USUFRUCTUARY
The same rule shall be observed with respect to
A. Obligations at the Commencement of Usufruct implements, tools and other movable property
necessary for an industry or vocation in which he is
Article 583. The usufructuary, before entering upon engaged.
the enjoyment of the property, is obliged:
If the owner does not wish that certain articles be
(1) To make, after notice to the owner or his sold because of their artistic worth or because they
legitimate representative, an inventory of all the have a sentimental value, he may demand their
property, which shall contain an appraisal of the delivery to him upon his giving security for the
movables and a description of the condition of the payment of the legal interest on their appraised value.
immovables; (495)
Article 588. After the security has been given by the
(2) To give security, binding himself to fulfill the usufructuary, he shall have a right to all the proceeds
obligations imposed upon him in accordance with and benefits from the day on which, in accordance
this Chapter. (491) with the title constituting the usufruct, he should have
commenced to receive them. (496)

Obligations at the Commencement of Usufruct: By ordinary repairs are understood such as are
1. to make an inventory of all the property; and required by the wear and tear due to the natural use of
2. to give a security the thing and are indispensable for its preservation.
Should the usufructuary fail to make them after
 Note: these obligations are not conditions sine demand by the owner, the latter may make them at
qua non for the effectivity of the usufruct or for its the expense of the usufructuary. (500)
commencement, but are conditions sine qua non
for the usufructuary’s entry upon the possession Article 593. Extraordinary repairs shall be at the
and enjoyment of property. expense of the owner. The usufructuary is obliged to
notify the owner when the need for such repairs is
Instances Where Usufructuary May Be Relieved of urgent. (501)
the Foregoing Obligations:
(1) when no one will be injured thereby (Art. Article 594. If the owner should make the
584) extraordinary repairs, he shall have a right to demand
(2) when the enjoyment of the property subject of the usufructuary the legal interest on the amount
of the usufruct is to be acquired through expended for the time that the usufruct lasts.
caucion juratoria (Art. 587)
 caucion juratoria refers to the promise Should he not make them when they are
under oath made in court by the indispensable for the preservation of the thing, the
usufructuary who has not given security; usufructuary may make them; but he shall have a
palabra de onor right to demand of the owner, at the termination of
the usufruct, the increase in value which the
Consequences of Failure to Comply with the immovable may have acquired by reason of the
Foregoing Obligations: repairs. (502a)
Generally, it will prevent the usufructuary from
exercising his right of usufruct but it will not result in Article 595. The owner may construct any works and
the termination of the usufruct. But, the owner may make any improvements of which the immovable in
demand instead: usufruct is susceptible, or make new plantings
(1) that the immovables be placed under thereon if it be rural, provided that such acts do not
administration cause a diminution in the value of the usufruct or
(2) that the movables be sold and its proceeds prejudice the right of the usufructuary. (503)
be invested in safe securities
(3) that the public bonds, instruments of credit Article 596. The payment of annual charges and
payable to order or bearer be converted into taxes and of those considered as a lien on the fruits,
registered certificates of deposited in a bank shall be at the expense of the usufructuary for all the
or public institution time that the usufruct lasts. (504)
(4) that the capital or sums in cash be invested
in safe securities Article 597. The taxes which, during the usufruct,
may be imposed directly on the capital, shall be at the
B. Obligations During the Life of Usufruct expense of the owner.
Article 589. The usufructuary shall take care of the If the latter has paid them, the usufructuary shall pay
things given in usufruct as a good father of a family. him the proper interest on the sums which may have
(497) been paid in that character; and, if the said sums have
been advanced by the usufructuary, he shall recover
Article 590. A usufructuary who alienates or leases the amount thereof at the termination of the usufruct.
his right of usufruct shall answer for any damage (505)
which the things in usufruct may suffer through the Article 598. If the usufruct be constituted on the
fault or negligence of the person who substitutes him. whole of a patrimony, and if at the time of its
(498) constitution the owner has debts, the provisions of
articles 758 and 759 relating to donations shall be
Article 592. The usufructuary is obliged to make the applied, both with respect to the maintenance of the
ordinary repairs needed by the thing given in usufruct and to the obligation of the usufructuary to
usufruct. pay such debts.

The same rule shall be applied in case the owner is (6) to pay the expenses, costs, and liabilities for
obliged, at the time the usufruct is constituted, to suits involving the usufruct
make periodical payments, even if there should be no (7) to notify the owner of any act of a 3rd person
known capital. (506) that may be prejudicial to the rights of the
owner
Article 599. The usufructuary may claim any
matured credits which form a part of the usufruct if Re: Expenses:
he has given or gives the proper security. If he has a. Ordinary Expenses – to be shouldered by the
been excused from giving security or has not been usufructuary
able to give it, or if that given is not sufficient, he b. Extraordinary expenses – to be shouldered
shall need the authorization of the owner, or of the by the owner
court in default thereof, to collect such credits.  if owner makes the repair, he has the right
to demand of the usufructuary payment
The usufructuary who has given security may use the of the legal interest on the amount
capital he has collected in any manner he may deem expended from the time they were made
proper. The usufructuary who has not given security until the usufruct lasts
shall invest the said capital at interest upon  if the needed extraordinary repairs are
agreement with the owner; in default of such indispensable for the preservation of the
agreement, with judicial authorization; and, in every thing, the usufructuary has an option to
case, with security sufficient to preserve the integrity make repairs himself, but he has the
of the capital in usufruct. (507) obligation to notify the owner of the
need of such repairs first
Article 600. The usufructuary of a mortgaged – he is entitled to indemnification +
immovable shall not be obliged to pay the debt for retention pending the reimbursement
the security of which the mortgage was constituted. of expenses
Should the immovable be attached or sold judicially C. Obligations at the Expiration of the Usufruct
for the payment of the debt, the owner shall be liable (1) to return the property, unless there is a right
to the usufructuary for whatever the latter may lose of retention
by reason thereof. (509) (2) to pay interest or the amount spent by the
owner of extraordinary repairs or taxes on
Article 601. The usufructuary shall be obliged to the capital
notify the owner of any act of a third person, of (3) to indemnify owner for loss due to
which he may have knowledge, that may be negligence of usufructuary or transferee
prejudicial to the rights of ownership, and he shall be
liable should he not do so, for damages, as if they had EXTINGUISHMENT OF USUFRUCT
been caused through his own fault. (511)
Article 603. Usufruct is extinguished:
Article 602. The expenses, costs and liabilities in
suits brought with regard to the usufruct shall be (1) By the death of the usufructuary, unless a
borne by the usufructuary. (512) contrary intention clearly appears;
Obligations During the Life of Usufruct: (2) By the expiration of the period for which it was
(1) to preserve its form and substance – main constituted, or by the fulfillment of any resolutory
obligation condition provided in the title creating the usufruct;
(2) to observe the diligence of a good father of
a family (3) By merger of the usufruct and ownership in the
(3) to make ordinary repairs on the property same person;
held in usufruct
(4) to pay the annual charges and taxes which (4) By renunciation of the usufructuary;
are imposed on the fruits of the property
held in usufruct (5) By the total loss of the thing in usufruct;
(5) to notify the owner of the need of urgent
extraordinary repairs (6) By the termination of the right of the person
constituting the usufruct;

Article 609. Should the thing in usufruct be
(7) By prescription. (513a) expropriated for public use, the owner shall be
obliged either to replace it with another thing of the
Article 604. If the thing given in usufruct should be same value and of similar conditions, or to pay the
lost only in part, the right shall continue on the usufructuary the legal interest on the amount of the
remaining part. (514) indemnity for the whole period of the usufruct. If the
owner chooses the latter alternative, he shall give
Article 605. Usufruct cannot be constituted in favor security for the payment of the interest. (519)
of a town, corporation, or association for more than
fifty years. If it has been constituted, and before the Article 610. A usufruct is not extinguished by bad
expiration of such period the town is abandoned, or use of the thing in usufruct; but if the abuse should
the corporation or association is dissolved, the cause considerable injury to the owner, the latter may
usufruct shall be extinguished by reason thereof. demand that the thing be delivered to him, binding
(515a) himself to pay annually to the usufructuary the net
proceeds of the same, after deducting the expenses
Article 606. A usufruct granted for the time that may and the compensation which may be allowed him for
elapse before a third person attains a certain age, its administration. (520)
shall subsist for the number of years specified, even
if the third person should die before the period Article 611. A usufruct constituted in favor of
expires, unless such usufruct has been expressly several persons living at the time of its constitution
granted only in consideration of the existence of such shall not be extinguished until the death of the last
person. (516) survivor. (521)
Article 607. If the usufruct is constituted on Article 612. Upon the termination of the usufruct, the
immovable property of which a building forms part, thing in usufruct shall be delivered to the owner,
and the latter should be destroyed in any manner without prejudice to the right of retention pertaining
whatsoever, the usufructuary shall have a right to to the usufructuary or his heirs for taxes and
make use of the land and the materials. extraordinary expenses which should be reimbursed.
After the delivery has been made, the security or
The same rule shall be applied if the usufruct is mortgage shall be cancelled. (522a)
constituted on a building only and the same should be
destroyed. But in such a case, if the owner should Causes of Extinguishment:
wish to construct another building, he shall have a (1) death of the usufructuary, unless a contrary
right to occupy the land and to make use of the intention clearly appears
materials, being obliged to pay to the usufructuary, (2) expiration of the period for which it was
during the continuance of the usufruct, the interest constituted, or by the fulfillment of any
upon the sum equivalent to the value of the land and resolutory condition provided in the title
of the materials. (517) creating the usufruct
(3) merger of the usufruct and ownership in the
Article 608. If the usufructuary shares with the same person
owner the insurance of the tenement given in (4) renunciation of the usufructuary
usufruct, the former shall, in case of loss, continue in (5) total loss of the thing in usufruct total loss of
the enjoyment of the new building, should one be the thing in usufruct
constructed, or shall receive the interest on the (6) termination of the right of the person
insurance indemnity if the owner does not wish to constituting the usufruct
rebuild. (7) prescription
Should the usufructuary have refused to contribute to VIII. EASEMENT

the insurance, the owner insuring the tenement alone,
the latter shall receive the full amount of the
insurance indemnity in case of loss, saving always
the right granted to the usufructuary in the preceding
article. (518a)

IX. NUISANCE Article 701. If a civil action is brought by reason of
the maintenance of a public nuisance, such action
Article 694. A nuisance is any act, omission, shall be commenced by the city or municipal mayor.
establishment, business, condition of property, or
anything else which: Article 702. The district health officer shall
determine whether or not abatement, without judicial
(1) Injures or endangers the health or safety of others; proceedings, is the best remedy against a public
or nuisance.
(2) Annoys or offends the senses; or Article 703. A private person may file an action on
account of a public nuisance, if it is specially
(3) Shocks, defies or disregards decency or morality; injurious to himself.
or
Article 704. Any private person may abate a public
(4) Obstructs or interferes with the free passage of nuisance which is specially injurious to him by
any public highway or street, or any body of water; or removing, or if necessary, by destroying the thing
which constitutes the same, without committing a
(5) Hinders or impairs the use of property. breach of the peace, or doing unnecessary injury. But
it is necessary:
Article 695. Nuisance is either public or private. A
public nuisance affects a community or neighborhood (1) That demand be first made upon the owner or
or any considerable number of persons, although the possessor of the property to abate the nuisance;
extent of the annoyance, danger or damage upon
individuals may be unequal. A private nuisance is (2) That such demand has been rejected;
one that is not included in the foregoing definition.
(3) That the abatement be approved by the district
Article 696. Every successive owner or possessor of health officer and executed with the assistance of the
property who fails or refuses to abate a nuisance in local police; and
that property started by a former owner or possessor
is liable therefor in the same manner as the one who (4) That the value of the destruction does not exceed
created it. three thousand pesos.
Article 697. The abatement of a nuisance does not Article 705. The remedies against a private nuisance
preclude the right of any person injured to recover are:
damages for its past existence.
(1) A civil action; or
Article 698. Lapse of time cannot legalize any
nuisance, whether public or private. (2) Abatement, without judicial proceedings.
Article 699. The remedies against a public nuisance Article 706. Any person injured by a private
are: nuisance may abate it by removing, or if necessary,
by destroying the thing which constitutes the
(1) A prosecution under the Penal Code or any local nuisance, without committing a breach of the peace
ordinance: or or doing unnecessary injury. However, it is
indispensable that the procedure for extrajudicial
(2) A civil action; or abatement of a public nuisance by a private person be
followed.
(3) Abatement, without judicial proceedings.
Article 707. A private person or a public official
Article 700. The district health officer shall take care extrajudicially abating a nuisance shall be liable for
that one or all of the remedies against a public damages:
nuisance are availed of.
(1) If he causes unnecessary injury; or

(2) If an alleged nuisance is later declared by the testate and intestate succession, and in consequence
courts to be not a real nuisance. of certain contracts, by tradition.
Nuisance - any act, omission, establishment, They may also be acquired by means of prescription.
business, condition of property, or anything else (609a)
which:
(1) Injures or endangers the health or safety of TITLE ≠ MODE
others; or
(2) Annoys or offends the senses; or Title – the legal basis by which to affect dominion or
(3) Shocks, defies or disregards decency or ownership
morality; or – same definition as title in LTD: it is the claim of
(4) Obstructs or interferes with the free passage of ownership
any public highway or street, or any body of
water; or Mode - the legal means by which dominion or
(5) Hinders or impairs the use of property ownership is created, transferred, or destroyed.
– means how to transfer ownership
Kinds of Nuisance:
a. As to the number of persons affected: Mode Title
1. Public – one that affects a community or directly and immediately serves merely to give the
neighborhood or any considerable number produces a real right occasion for its
of persons although the extent of the acquisition or existence
annoyance, danger or damage upon cause means
individuals may be unequal proximate cause remote cause
2. Private – one which affects an individual of essence of the right means whereby that
few persons only which is to be created or essence is transmitted
b. Other classification: transmitted
1. Nuisance Per Se – the kind of nuisance
which is always a nuisance. By its nature, it
i.e. Contract of Sale – title: sale, by virtue of such the
is always a nuisance all the time under any
buyer may now compel
circumstances regardless of location or
delivery from the seller
surroundings.
mode: delivery or tradition
2. Nuisance Per Accidens – the kind of
which transfers the ownership
nuisance by reason of location, surrounding
or in a manner it is conducted or managed.
Modes of Acquiring Ownership:
3. Temporary – that kind which if properly
(1) Occupation
attended does not constitute a nuisance
(2) Law
4. Permanent – that kind which by nature of
(3) Donation
structure creates a permanent inconvenience
(4) Tradition as a consequence of certain
contracts
Doctrine of Attractive Nuisance
(5) Intellectual Creation
– one who maintains on his premises dangerous
(6) Prescription
instrumentalities or appliances of a character likely
(7) Succession
to attract children in play, and who fails to exercise
ordinary care to prevent children from playing
Classification of Modes of Acquiring Ownership:
therewith or resorting thereto, is liable to child of
1. Original – independent of any pre-existing or
tender years who is injured thereby, even if the
preceding title or right of another person
child is technically a trespasser in the premises.
– you will be the first owner of the property
i.e. OCT
X. MODES OF ACQUIRING OWNERSHIP a. Occupation
b. Intellectual Creation
Article 712. Ownership is acquired by occupation c. Acquisitive Prescription
and by intellectual creation.
2. Derivative – arise or depend upon a pre-existing
Ownership and other real rights over property are or preceding title or right of another person:
acquired and transmitted by law, by donation, by

a. Law – special legal provisions which value, it shall be sold at public auction eight days
directly vest ownership hidden treasure, after the publication.
accession natural, falling fruits
b. Donation Six months from the publication having elapsed
c. Succession mortis causa without the owner having appeared, the thing found,
d. Tradition or its value, shall be awarded to the finder. The finder
and the owner shall be obliged, as the case may be, to
OCCUPATION reimburse the expenses. (615a)
Article 713. Things appropriable by nature which are Article 720. If the owner should appear in time, he
without an owner, such as animals that are the object shall be obliged to pay, as a reward to the finder, one-
of hunting and fishing, hidden treasure and tenth of the sum or of the price of the thing found.
abandoned movables, are acquired by occupation. (616a)
(610)
Occupation – acquisition of ownership by seizing
Article 714. The ownership of a piece of land cannot corporeal things that have no owner, made with the
be acquired by occupation. (n) intention of acquiring them, and accomplished
according to legal rules.
Article 715. The right to hunt and to fish is regulated
by special laws. (611) Requisites:
(1) There must be seizure of a thing
Article 716. The owner of a swarm of bees shall have (2) Which must be a corporeal personal
a right to pursue them to another's land, indemnifying property
the possessor of the latter for the damage. If the (3) Which must be susceptible of appropriation
owner has not pursued the swarm, or ceases to do so by nature
within two consecutive days, the possessor of the (4) The thing must be without an owner
land may occupy or retain the same. The owner of (5) There must be an intention to appropriate
domesticated animals may also claim them within
twenty days to be counted from their occupation by Kinds of Properties Acquired by Occupation:
another person. This period having expired, they shall 1. Animal which are the object of hunting and
pertain to him who has caught and kept them. (612a) fishing
2. Hidden treasures
Article 717. Pigeons and fish which from their 3. Abandoned movables – there must be
respective breeding places pass to another pertaining absolute abandonment
to a different owner shall belong to the latter,
provided they have not been enticed by some article INTELLECTUAL CREATION
or fraud. (613a)
Article 721. By intellectual creation, the following
Article 718. He who by chance discovers hidden persons acquire ownership:
treasure in another's property shall have the right
granted him in article 438 of this Code. (614) (1) The author with regard to his literary, dramatic,
historical, legal, philosophical, scientific or other
Article 719. Whoever finds a movable, which is not work;
treasure, must return it to its previous possessor. If
the latter is unknown, the finder shall immediately (2) The composer; as to his musical composition;
deposit it with the mayor of the city or municipality
where the finding has taken place. (3) The painter, sculptor, or other artist, with respect
to the product of his art;
The finding shall be publicly announced by the
mayor for two consecutive weeks in the way he (4) The scientist or technologist or any other person
deems best. with regard to his discovery or invention. (n)
If the movable cannot be kept without deterioration, Article 722. The author and the composer, mentioned
or without expenses which considerably diminish its in Nos. 1 and 2 of the preceding article, shall have the
ownership of their creations even before the

publication of the same. Once their works are Article 730. The fixing of an event or the imposition
published, their rights are governed by the Copyright of a suspensive condition, which may take place
laws. beyond the natural expectation of life of the donor,
does not destroy the nature of the act as a donation
The painter, sculptor or other artist shall have inter vivos, unless a contrary intention appears. (n)
dominion over the product of his art even before it is
copyrighted. Article 731. When a person donates something,
subject to the resolutory condition of the donor's
The scientist or technologist has the ownership of his survival, there is a donation inter vivos. (n)
discovery or invention even before it is patented. (n)
Article 732. Donations which are to take effect inter
Article 723. Letters and other private vivos shall be governed by the general provisions on
communications in writing are owned by the person contracts and obligations in all that is not determined
to whom they are addressed and delivered, but they in this Title. (621)
cannot be published or disseminated without the
consent of the writer or his heirs. However, the court Article 733. Donations with an onerous cause shall
may authorize their publication or dissemination if be governed by the rules on contracts and
the public good or the interest of justice so requires. remuneratory donations by the provisions of the
(n) present Title as regards that portion which exceeds
the value of the burden imposed. (622)
Article 724. Special laws govern copyright and
patent. (429a) Article 734. The donation is perfected from the
moment the donor knows of the acceptance by the
XI. DONATION donee. (623)
Article 725. Donation is an act of liberality whereby Donation - an act of liberality whereby a person
a person disposes gratuitously of a thing or right in disposes gratuitously of a thing or right in favor of
favor of another, who accepts it. (618a) another, who accepts it.
Article 726. When a person gives to another a thing Requisites:

or right on account of the latter's merits or of the (1) Donor must have the capacity to make the
services rendered by him to the donor, provided they donation
do not constitute a demandable debt, or when the gift (2) He must have donative intent
imposes upon the donee a burden which is less than (3) There must be delivery in certain cases
the value of the thing given, there is also a donation. (4) Donee must accept or consent to thedonation
(619) during the lifetime of the donor and the
donee, in case of donation inter vivos;
Article 727. Illegal or impossible conditions in whereas in case of donation mortis causa,
simple and remuneratory donations shall be acceptance is made after the donor’s death
considered as not imposed. (n) because they partake of a will.
Article 728. Donations which are to take effect upon Kinds of Donations as to the Time of Taking Effect:
the death of the donor partake of the nature of a. Inter vivos – those which take effect during
testamentary provisions, and shall be governed by the the lifetime of the donor
rules established in the Title on Succession. (620) b. Mortis causa – those which take effect only
upon the death of the donor
Article 729. When the donor intends that the
donation shall take effect during the lifetime of the INTER VIVOS MORTIS CAUSA
donor, though the property shall not be delivered till Takes effect Takes effect upon death
after the donor's death, this shall be a donation inter independently of the of the donor
vivos. The fruits of the property from the time of the donor’s death
acceptance of the donation, shall pertain to the donee, Title conveyed to the Title conveyed upon
unless the donor provides otherwise. (n) donee before donor’s donor’s death
death
Generally irrevocable Always revocable

during donor’s lifetime Article 744. Donations of the same thing to two or
Must comply with the Must comply with the more different donees shall be governed by the
formalities required by formalities required by provisions concerning the sale of the same thing to
Arts. 748-749 law for the execution of two or more different persons. (n)
wills
Acceptance should be Acceptance should be Article 745. The donee must accept the donation
made during the donor’s made after the donor’s personally, or through an authorized person with a
lifetime death special power for the purpose, or with a general and
Donor’s tax is payable Estate tax is payable sufficient power; otherwise, the donation shall be
void. (630)
Article 735. All persons who may contract and Article 746. Acceptance must be made during the
dispose of their property may make a donation. (624) lifetime of the donor and of the donee. (n)
Article 736. Guardians and trustees cannot donate Article 747. Persons who accept donations in
the property entrusted to them. (n) representation of others who may not do so by
themselves, shall be obliged to make the notification
Article 737. The donor's capacity shall be determined and notation of which article 749 speaks. (631)
as of the time of the making of the donation. (n)
Article 748. The donation of a movable may be made
Article 738. All those who are not specially orally or in writing.
disqualified by law therefor may accept donations.
(625) An oral donation requires the simultaneous delivery
of the thing or of the document representing the right
Article 739. The following donations shall be void: donated.
(1) Those made between persons who were guilty of If the value of the personal property donated exceeds
adultery or concubinage at the time of the donation; five thousand pesos, the donation and the acceptance
shall be made in writing. Otherwise, the donation
(2) Those made between persons found guilty of the shall be void. (632a)
same criminal offense, in consideration thereof;
Article 749. In order that the donation of an
(3) Those made to a public officer or his wife, immovable may be valid, it must be made in a public
descendants and ascendants, by reason of his office. document, specifying therein the property donated
and the value of the charges which the donee must
In the case referred to in No. 1, the action for satisfy.
declaration of nullity may be brought by the spouse
of the donor or donee; and the guilt of the donor and The acceptance may be made in the same deed of
donee may be proved by preponderance of evidence donation or in a separate public document, but it shall
in the same action. (n) not take effect unless it is done during the lifetime of
the donor.
Article 741. Minors and others who cannot enter into
a contract may become donees but acceptance shall If the acceptance is made in a separate instrument,
be done through their parents or legal representatives. the donor shall be notified thereof in an authentic
(626a) form, and this step shall be noted in both instruments.
(633)
Article 742. Donations made to conceived and
unborn children may be accepted by those persons
Requirements to be a Donor:
who would legally represent them if they were
1. Capacity to contract
already born. (627)
2. Capacity to dispose of his property
Article 743. Donations made to incapacitated persons
Requirement to be a Donee: not specially disqualified
shall be void, though simulated under the guise of
by law
another contract or through a person who is
interposed. (628)

Donations Void on Moral Grounds: ii. In another public instrument, notified to
(1) Those made between persons who were the donor in authentic form, and noted in
guilty of adultery or concubinage at the time both deeds, otherwise, donation is void.
of the donation
(2) Those made between persons found guilty of Article 750. The donation may comprehend all the
the same criminal offense, in consideration present property of the donor, or part thereof,
thereof provided he reserves, in full ownership or in usufruct,
(3) Those made to a public officer or his wife, sufficient means for the support of himself, and of all
descendants and ascendants, by reason of his relatives who, at the time of the acceptance of the
office donation, are by law entitled to be supported by the
– basis: considerations of morality and public donor. Without such reservation, the donation shall
policy be reduced in petition of any person affected. (634a)
Re: Donations to Conceived and Unborn Children: Article 751. Donations cannot comprehend future
– valid, provided that Art. 41 requisites are property.
satisfied.
– there is a presumptive/provisional personality By future property is understood anything which the
(Art. 40 – considered born) that turns into a donor cannot dispose of at the time of the donation.
conclusive personality the moment Art. 41 (635)
requisites are satisfied.
Article 752. The provisions of article 750
Article 40. Birth determines personality; but the notwithstanding, no person may give or receive, by
conceived child shall be considered born for all way of donation, more than he may give or receive
purposes that are favorable to it, provided it be by will.
born later with the conditions specified in the
following article. (29a) The donation shall be inofficious in all that it may
exceed this limitation. (636)
Article 41. For civil purposes, the foetus is
considered born if it is alive at the time it is REVOCATION OR REDUCTION
completely delivered from the mother's womb.
However, if the foetus had an intra-uterine life of Article 760. Every donation inter vivos, made by a
less than seven months, it is not deemed born if it person having no children or descendants, legitimate
dies within twenty-four hours after its complete or legitimated by subsequent marriage, or
delivery from the maternal womb. (30a) illegitimate, may be revoked or reduced as provided
in the next article, by the happening of any of these
Formalities of Donation: events:
1. As regards movable property:
a. With simultaneous delivery of property (1) If the donor, after the donation, should have
donated: legitimate or legitimated or illegitimate children,
i. For P5,000 or less – may be oral or even though they be posthumous;
written
ii. For more than P5,000 – written in public (2) If the child of the donor, whom the latter believed
or public document to be dead when he made the donation, should turn
b. Without simultaneous delivery: out to be living;
i. The donation and acceptance must be
written in a public or private instrument (3) If the donor subsequently adopt a minor child.
regardless of value, otherwise, donation is (644a)
unenforceable.
Article 761. In the cases referred to in the preceding
2. As regards immovable property: article, the donation shall be revoked or reduced
a. Must be made in a public instrument insofar as it exceeds the portion that may be freely
specifying disposed of by will, taking into account the whole
i. The property donated estate of the donor at the time of the birth, appearance
ii. The burdens assumed by the donee or adoption of a child. (n)
b. Acceptance may be made:
i. In the same instrument
Article 763. The action for revocation or reduction The value of said property shall be fixed as of the
on the grounds set forth in article 760 shall prescribe time of the donation. (650)
after four years from the birth of the first child, or
from his legitimation, recognition or adoption, or Article 768. When the donation is revoked for any of
from the judicial declaration of filiation, or from the the causes stated in article 760, or by reason of
time information was received regarding the ingratitude, or when it is reduced because it is
existence of the child believed dead. inofficious, the donee shall not return the fruits
except from the filing of the complaint.
This action cannot be renounced, and is transmitted,
upon the death of the donor, to his legitimate and If the revocation is based upon noncompliance with
illegitimate children and descendants. (646a) any of the conditions imposed in the donation, the
donee shall return not only the property but also the
Article 764. The donation shall be revoked at the fruits thereof which he may have received after
instance of the donor, when the donee fails to comply having failed to fulfill the condition. (651)
with any of the conditions which the former imposed
upon the latter. Article 769. The action granted to the donor by
reason of ingratitude cannot be renounced in
xxx advance. This action prescribes within one year, to be
counted from the time the donor had knowledge of
This action shall prescribe after four years from the the fact and it was possible for him to bring the
noncompliance with the condition, may be action. (652)
transmitted to the heirs of the donor, and may be
exercised against the donee's heirs. (647a) Article 770. This action shall not be transmitted to
the heirs of the donor, if the latter did not institute the
Article 765. The donation may also be revoked at the same, although he could have done so, and even if he
instance of the donor, by reason of ingratitude in the should die before the expiration of one year.
following cases:
Neither can this action be brought against the heir of
(1) If the donee should commit some offense against the donee, unless upon the latter's death the complaint
the person, the honor or the property of the donor, or has been filed. (653)
of his wife or children under his parental authority;
Article 771. Donations which in accordance with the
(2) If the donee imputes to the donor any criminal provisions of article 752, are inofficious, bearing in
offense, or any act involving moral turpitude, even mind the estimated net value of the donor's property
though he should prove it, unless the crime or the act at the time of his death, shall be reduced with regard
has been committed against the donee himself, his to the excess; but this reduction shall not prevent the
wife or children under his authority; donations from taking effect during the life of the
(3) If he unduly refuses him support when the donee donor, nor shall it bar the donee from appropriating
is legally or morally bound to give support to the the fruits.
donor. (648a)
For the reduction of donations the provisions of this
Article 766. Although the donation is revoked on Chapter and of articles 911 and 912 of this Code shall
account of ingratitude, nevertheless, the alienations govern. (654)
and mortgages effected before the notation of the
complaint for revocation in the Registry of Property Article 772. Only those who at the time of the
shall subsist. donor's death have a right to the legitime and their
heirs and successors in interest may ask for the
Later ones shall be void. (649) reduction or inofficious donations.
Article 767. In the case referred to in the first Those referred to in the preceding paragraph cannot
paragraph of the preceding article, the donor shall renounce their right during the lifetime of the donor,
have a right to demand from the donee the value of either by express declaration, or by consenting to the
property alienated which he cannot recover from donation.
third persons, or the sum for which the same has been
mortgaged. The donees, devisees and legatees, who are not
entitled to the legitime and the creditors of the
deceased can neither ask for the reduction nor avail Prescription of Action for Reduction or Revocation:
themselves thereof. (655a) PRESCRIPTVE RECKONING
BASIS
PERIOD PERIOD
Article 773. If, there being two or more donations, From the birth
Birth of Child 4 years
the disposable portion is not sufficient to cover all of of the 1st child
them, those of the more recent date shall be From the date
suppressed or reduced with regard to the excess. of filing of the
(656) original
petition for
Grounds for Revocation: adoption,
Adoption 4 years
1. Under Art. 760: provided a
a. Birth of a donor’s child or children after the decree of
donation, even though born after his death adoption is
b. Appearance of a donor’s child who is issued
missing and thought to be dead by the donor thereafter
c. Subsequent adoption by the donor of a From the date
minor child an information
2. Under Art. 764: when donee fails to comply with Appearance of was received
any of the conditions which the donor imposed upon a Child as to the
the donee 4 years
Believed to the existence or
3. Under Art. 765: by reason of ingratitude Dead survival of the
a. If the donee should commit some offense child believed
against the person, the honor or the property to be dead
of the donor, or of his wife or children under Non- From the non-
his parental authority; compliance compliance
b. If the donee imputes to the donor any with Any 4 years with the
criminal offense, or any act involving moral Condition condition
turpitude, even though he should prove it, Imposed
unless the crime or the act has been From the time
committed against the donee himself, his the donor had
wife or children under his authority; learned of the
c. If he unduly refuses him support when the donee’s act of
donee is legally or morally bound to give Act of
1 year ingratitude,
support to the donor. Ingratitude
provided it
was possible
for him to file
Grounds for Reduction: an action
1. Under Art. 760 (same) Failure to
2. Failure to Reserve Sufficient Means for Support Reserve Any time during
3. Inofficiousness Sufficient donor’s lifetime
4. Fraud Against Creditors Means
From donor’s
– Note: The donation shall be reduced insofar as it Inofficiousness 5 years
death
exceeds the portion that may be freely disposed of
From
by will, taking into account the whole estate of the
perfection of
donor at the time of the birth, appearance, or
donation or
adoption of a child. Fraud against
4 years from
creditors
knowledge by
Note: Revocation or Reduction is not automatic
the creditor of
despite the emergence of the circumstances
the donation
enumerated. It is only authorized if the amount or
value of the donation exceeds the disposable free
portion.

Summary of the Rules on Revocation of Donations:
TRANSMISSIBILITY EFFECT OF LIABILITY FOR

GROUNDS
OF ACTION REVOCATION FRUITS
Property must be returned
Transmitted to the children or its value if sold, or Donee must return the
Birth, Appearance, or
and descendants of the redeem the mortgage with fruits accruing form the
Adoption of Child
donor upon his death the right to recover the filing of the complaint
property
Property must be returned;
Donee must return the
alienations and mortgages
Non-compliance with To donor’s heirs against fruits received after the
are void subject to the
Conditions the donee’s heirs non-fulfillment of the
rights of 3rd persons
condition
against the donee
Property must be returned;
alienations and mortgages Donee must return the
No transmitted to the heirs
Act of Ingratitude before notation of fruits accruing from the
of the donor
complaint in the Registry filing of the complaint
of Property subsist
Summary of Rules on Reduction of Donations:
TRANSMISSIBILITY EXTENT OF
GROUNDS RIGHTS TO FRUITS
OF ACTION REDUCTION
Not transmissible
Failure of the Donor to Donee is entitled to the
To the extent necessary to
Reserve Sufficient Means Note: the duty to give and fruits as the owner of the
provide support
for Support right to support are property donated
personal
To donor’s heirs as
donation shall be reduced Only upon donor’s death
Inofficiousness Donee appropriates fruits
as regards the excess at with regard to the excess
donor’s death
Donee appropriates the
fruits not affected by the
reduction. When donation
To donor’s children and is revoked for any of the
Birth, Appearance, or To the extent necessary to
descendants upon his cause mentioned in Art.
Adoption of Child provide support
death 760, the donee shall not
return the fruits except
from the filing of the
complaint.
Fruits shall be returned in
Property returned for the case donee acted in bad
To creditor’s heirs or benefit of creditors subject faith; if impossible to
Fraud Against Creditors
successors-in-interest to the rights of innocent 3rd return indemnify the
persons donor’s creditor for
damages

XII. PRESCRIPTION
Prescription – is a mode of acquiring ownership and

other real rights through mere lapse of time and under
certain conditions laid down by law.
– possession should be in the concept of an owner:
open, continuous, exclusive, notorious
REAL PERSONAL
Ordinary (good
10 4
faith + just title)
Extraordinary 30 8
Kinds of Prescription:
ACQUISITIVE EXTINCTIVE
Expressly vests the Merely a statute of
property and raises a new limitation; it does
title in favor of the nothing more than bar
occupant the right of action of a
previous owner
Act of the possessor is Previous owner’s neglect
the cause is the cause

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I.

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 1

(1) Those movables susceptible of appropriation In Order to Determine Consummability:

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 2

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 3

Rights of an Owner: Article 432. The owner of a thing has no right to

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 5

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 6

Ornamental/Luxury Expenses – those which add to Rules:

If the things found be of interest to science or the ACCESSION ≠ ACCESSORY

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 7

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 8

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 9

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 10

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 15

II. Movable If either one of the owners has made the

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 16

2. indemnify the value of 2. demand that he be Prescriptibility:

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 18

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 21

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 22

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 23

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 24

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 25

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 26

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 27

Should the usufructuary have refused to contribute to VIII. EASEMENT

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 28

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 29

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 30

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 31

Article 726. When a person gives to another a thing Requisites:

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 32

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 33

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 36

TRANSMISSIBILITY EFFECT OF LIABILITY FOR

Summary of Rules on Reduction of Donations:

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 37

Prescription – is a mode of acquiring ownership and

B. de Leon | PROPERTY (2017) | Atty. Liza Lopez-Rosario 38

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