PROPERTY, OWNERSHIP, AND ITS

MODIFICATIONS
Title I- CLASSIFICATION OF PROPERTY
PRELIMINARY PROVISIONS
Article 414. All things which are or may be the
object of appropriation are considered either:
(1) Immovable or real property; or
(2) Movable or personal property. (333)
THING (COSA)- is generally understood to be any
object that exists and is capable of satisfying some
human needs. It includes both objects that are
already possessed or owned (res alicujus) and
those that are susceptible of appropriation.
PROPERTY (BIENES)- refers to anything which is
already the object of appropriation or is found in
the possession of man.
All though the civil code use both terms
interchangeably, thing covers also objects not
susceptible of appropriation hence thing is much
comprehensive.
Requisites of property:
1. UTILITY- or the capacity to satisfy some
human want, such as for food, shelter,
clothing, knowledge, comfort, recreation,
etc. Utility which is generally economic
endows property with value susceptible of
pecuniary estimation;
2. SUBSTANTIVITY OR INDIVIDUALITY- or
quality of having existence apart from any
other thing.
3. APPROPRIABILITY- susceptibility of being
possessed by men.
Rights as property:
1. Real Right- is the right or interest
belonging to a person over a specific thing
without a definite passive subject against
whom such right may be personally
enforced. Also called Jus in Re
Classification of real rights based upon
dominion:
a) Domino pleno- the powers to enjoy and
to dispose are united:
Dominion
Civil Possession
Hereditary Right.
b) Domino menos pleno- the powers to
enjoy and to dispose are separated:
Surface Right
Usufruct
c) Domino limitado-the powers to enjoy
and to dispose are united but limited:

By charge such as easement, tax

By guarantee, such as mortgage, pledge
By privilege such as pre-emption
2. Personal Right- is the right or power of a
person to demand from another as a
definite passive subject, the fulfillment of
the latters obligation. Also called Jus in
Personam or Jus ad Rem
Elements of Personal Property:
Active Subject
Passive Subject
Object/prestation
Juridical/legal tie
Distinction between real rights and personal rights
Real Right
Personal
Right
Number
of Definite active There
is
a
persons
who subject
who definite passive
take part in the has
a
right and
definite
legal relation.
against
all active subject.
persons
generally as an
indefinite
passive
subject.
Subject matter
Object
is It
is
always
generally
incorporeal
corporeal thing thing
The manner in Acts directly
Acts indirectly
which the will
through
the
of the active
promise of the
subject acts
obligor
By the cause of Created
by title
their creation
mode or title
By the modes By
loss
or Survives
the
of
their destruction of subject matter
extinction
the thing
By the nature Directed
Binding
or
of the actions against
the enforceable
arising
from whole
world only against a
juridical
giving rise to particular
relation
real
action person (actio in
(actio in rem)
personam)
Classification of Property
1) As to their nature
a) Real
b) Personal
c) Mixed
2) As to their ownership
a) Public
b) Private
3) As to their divisibility

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4)
5)
6)
7)

a)
b)
As
a)
b)
As
a)
b)
As
a)
b)
As
a)
b)

8) As
a)
b)
9) As
a)
b)
10) As
a)
b)

Divisible
Indivisible
to their consumability
Consumable
Non-consumable
to their susceptibility of substitution
Fungible-can be substituted
Non-fungible-cannot be substituted
to their alienability
Within the commerce of man
Outside the commerce of man
to their existence in time
Existing or present
Future
to their dependence or importance
Principal
Accessory
to their definiteness or designation
Generic
Specific
to their manifestability to the senses:
Corporeal
Incorporeal

The main classification given by the Civil Code are

Real or Personal (Art. 414) and Public or Private
(Art. 419).
Classification into real and personal property:
American
Law
English
Spanish

Real

Personal

Immovable
Bienes
immuebles

Movable
Bienes Muebles

Difference:

Private
Law

Intl

Criminal Law

Governed by the
law
of
the
country
where
the property is
located.
Usurpation
of
property
only
involves
real
property

Personal
Property
Law
of
the
owners
nationality
or
domicile
Theft
Robbery
only
committed

Actions
concerning Real
property
are
brought to RTC
where
the
property lies

Contracts

Only
subject
matter
for
mortgage
and
antichresis

Donation

Valid
only
through a public
instrument

Prescription
Recording

30 yrs
Recorded in the
Registry
of
property
to
affect 3rd person

Mixed
properties/Semi-movables-partakes
nature of booth movable and immovable.
Chapter 1 IMMOVABLE PROPERTY

Most fundamental juristic classification

based on the nature of the thing. That is its
mobility or immobility.
Classification is important because it affects
all property as to acquisition, use and loss.
Also as to prescription, registration and
possession.
Real Property

Procedure

against personal
property
Personal
Property
is
brought
where
the
defendant/plainti
ff reside, or may
be found
Subj. matter of
deposit,
mutuum, pledge
and
chattel
mortgage
May be done
orally if value
does not exceed
P5,000
8 yrs
Not
required
except
for
chattel
mortgage
and
Ships
in the
Philippine Coast
Guard)

and
can
be

the

Article 415. The following are immovable

property:
(1) Land, buildings, roads and constructions of all
kinds adhered to the soil;
(2) Trees, plants, and growing fruits, while they are
attached to the land or form an integral part of an
immovable;
(3) Everything attached to an immovable in a fixed
manner, in such a way that it cannot be separated
therefrom without
breaking the material or deterioration of the object;
(4) Statues, reliefs, paintings or other objects for
use or ornamentation, placed in buildings or on
lands by the owner of the immovable in such a
manner that it reveals the intention to attach them
permanently to the tenements;
(5)
Machinery,
receptacles,
instruments
or
implements intended by the owner of the tenement
for an industry or works which may be carried on in
a building or on a piece of land, and which tend
directly to meet the needs of the said
industry or works;

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(6) Animal houses, pigeon-houses, beehives, fish

ponds or breeding places of similar nature, in case
their owner has
placed them or preserves them with the intention
to have them permanently attached to the land,
and forming a permanent part of it; the animals in
these places are included;
(7) Fertilizer actually used on a piece of land;
(8) Mines, quarries, and slag dumps, while the
matter thereof forms part of the bed, and waters
either running or
stagnant;
(9) Docks and structures which, though floating,
are intended by their nature and object to remain
at a fixed place on a river, lake, or coast;
(10) Contracts for public works, and servitudes and
other real rights over immovable property. (334a)
Classes of immovable or real property:
1) By nature- it cannot be carried from place
to place
2) By incorporation-it is attached to an
immovable in a fixed manner to be an
integral part thereof
3) By destination- it is placed in an
immovable for the utility it gives to the
activity carried thereon, such as machinery
installed in a building to meet the needs of
an industry in the building, and docks on a
river
4) By analogy- it is so classified by express
provision of law because it is regarded as
united to the immovable property.

Buildings is immovable provided it is more

or less permanent structure independent.
A structure superimposed on the soil (like
barong barong) may be considered as
movable
A
building
sold
to
be
demolished
immediately is movable
But the contracting parties, however may
validly stipulate that a real property be
considered as personal. After agreeing to
such stipulation, they are consequently
stopped from claiming otherwise.
The parties to a contract of chattel
mortgage may, by agreement, treat as
personal property that which by its nature
would be real property. But this is only good
between contracting parties. The same
cannot bind third persons who are not
parties thereto or their privies. Same goes
with rented house.

Immobilized machineries and equipment

can be considered personal depending on
the intent of the owners.

Trees, plants and growing fruits

They are immovable property while they
are attached to the land or form an integral
part of an immovable on the theory that
they derive their existence or sustenance
from the soil.
Once they are cut or uprooted they become
movable except in the case of uprooted
timber, which according to Manresa
still forms an integral part of timber
land.
Since trees and plants annexed to the land
are parts thereof, unless rights or interests
in such trees or plants are claimed in the
registration proceedings by others, they
become the property of the person to whom
the land is adjudicated.
Growing fruits, under certain conditions
growing crops or fruits or ungathered
products or fruits MAY be treated as
personal property.
Everything attached to an immovable in a fixed
manner
Things included are called rex vinta are
walls, canals and aqueducts. They are
immovable by incorporation or attachment.
Things which are temporarily separated
from the immovable shall continue to be
regarded as immovable if there is an intent
to put them back. -however Tolentino feels
that this is already not applicable. That once
a immovable is removed they are
considered movable.
Intent to attach permanently is essential to
be immovable.
Statues, reliefs, paintings or other objects for use or
ornamentation.
Objects must be placed by owner.-If placed
by a person not the owner the object will
not be immovable unless he acts as agent
of the owner.
It has been held that in case of immovables
by incorporation, such as houses, trees and
plants, Article 415 does not require that the
attachment be made by the owner of the
land, the only criterion is the union (or
incorporation) with the soil.
Intent to attach permanently is essential
Machiner, receptacles, instruments or implements
for an industry or works

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There are three requisites for this class be

immovable
1) The machinery must be placed by
the owner of the tenement or his
agent.
2) The industry or works must be
carried on in a building or on a
piece of land
3) The machinery must tend directly to
meet the needs of the said industry
or works.
Cash registers, typewriters are merely
incidental
and
not
be
considered
immobilized. Because business can survive
without it.
Work animals are movable
Electric poles and steel supporters are
movable.
The moment they are no longer used or
needed in the industry, they revert to their
normal condition of movables, although they
are not separated from the immovable.
But if still utilized even if temporarily
separated from the tenament continues to
be immovable.

Animal houses, pigeon houses, beehives, fish

ponds, or breeding places of similar nature
They are considered real property in case
their owner has placed them or preserves
them with the intention to have them
permanently attached to the land, and
forming a permanent part of it; the animals
in these places are included.
Have to be adhered to the soil.
But animals can be regarded as personal
property in case of alienation and for the
purpose of criminal law. They can be the
object of robbery and theft.
Fertilizers actually used on a piece of land
Fertilizers are immovable if they are actually
used because it is only then when there can
be no question that they form part of the
land. Hence, fertilizers kept in a barn are not
immovable.
Fertilizers already on the land for cultivation
of which they are intended, but still in their
containers, should still be regarded as
movable property in the same manner as
building materials on the land intended for
construction of building.
Mines, quarries and slag dumps.
Considered immovable property while he
matter thereof forms part of the bed. Once
served they become movable.

Waters either running or stagnant

Considered immovable except for water per
se which is movable
Docks and structures
Though floating they are classified as real
property if intended by their nature and
object to remain at a fixed place on a river,
lake or coasts.
Ships and vessels
Considered personal property. Although they
partake of the nature and condition of real
property on account of their value and
importance in the world of commerce. For
this reason, in case of double sale, the rules
in Article 1544 of the civil code is applicable.
1

Contracts for public works and servitudes and other

real right over immovables
Are considered immovables.
Chapter 2: Movable Property
Article 416. The following things are deemed to
be personal property:
(1) Those movables susceptible of appropriation
which are not included in the preceding article;
(2) Real property which by any special provision of
law is considered as personalty;
(3) Forces of nature which are brought under
control by science; and
(4) In general, all things which can be transported
from place to place without impairment of the real
property to which
they are fixed. (335a)
Article 417. The following are also considered as
personal property:
(1) Obligations and actions which have for their
object movables or demandable sums; and
(2) Shares of stock of agricultural, commercial and
1 Article 1544. If the same thing should have been sold

to different vendees, the ownership shall be transferred

to the person who may have first taken possession
thereof in good faith, if it should be movable property.
Should it be immovable property, the ownership shall
belong to the person acquiring it who in good faith first
recorded it in the
Registry of Property.
Should there be no inscription, the ownership shall
pertain to the person who in good faith was first in the
possession; and, in the
absence thereof, to the person who presents the oldest
title, provided there is good faith. (1473)

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industrial entities, although they may have real

estate. (336a)
Real property which by any special provision of law
is considered personal property
Growing crops are considered immovable
under Art. 415 (2) but they are recognized
as personal property by the Chattel
Mortgage Law.
Forces of nature
Electricity, gas, rays, heat, light, oxygen,
etc.
In general, all movable
Three tests may be applied to determine
whether a particular object is movable
property:
1. Whether
the
property
can
be
transported or carried from place to
place;
2. Whether such change of location can be
made without injuring the immovable to
which the object may be attached
3. Whether the object does not fall within
any of the ten cases enumerated in
Article 415
Obligations and actions
A promissory note is personal but if secured
by a real estate mortgage the loan is real
property.
Shares of stocks are personal property
Other incorporeal personal property
Intellectual property such as copy rights,
patents, trademarks, right to invention is
movable
Article
418.
Movable
property
is
either
consumable or nonconsumable. To the first class
belong those movables which cannot be used in a
manner appropriate to their nature without their
being consumed; to the second class belong all the
others. (337)
Consumability/Non-consumability-depends on the
nature of the thing
Fungible and non-fungible-depend on the intent of
the parties.
FUNGIBLE- it can be substituted by another thing
of the same kind, quality and quantity
NON-FUNGIBLEequivalents.

if

not

replaceable

in

such

Chapter 3: Property in Relation to the Person

to whom it belongs
Article 419. Property is either of public dominion
or of private ownership. (338)
Property classified according to ownership
1) Public dominion- or property owned by
the State (or its political subdivisions) in its
public or sovereign capacity and intended
for public use and not for the use of the
State as a juridical person.
2) Private ownership- property owned by:
a) The state in its private capacity, known
as patrimonial property (Art. 421424);
b) Private persons, either individually or
collectively.

Property is presumed to be State property in

the absence of any showing to the contrary.
All lands not appearing to be clearly private
dominion presumably belong to the State.
The burden of proof to overcome the
presumption of ownership of lands of the
public domain is on the person applying for
registration.

Difference between dominion and ownership

Property of public dominion is not owned by
the State but simply under its jurisdiction
and administration for the COLLECTIVE
ENJOYMENT of all the people of the State
which it is the territorial sovereign.
The purpose of property of public dominion
is not to serve the State as a juridical person
but the citizens. It is intended for the
common and public welfare, and so it
cannot be the object of appropriation either
by the State or by private persons.
The relation of the State to this property
arises from the fact that the State is the
juridical representative of the social group,
and as such it takes care of and preserves
the same, and regulates its use for the
general welfare.
Article 420. The following things are property of
public dominion:
(1) Those intended for public use, such as roads,
canals, rivers, torrents, ports and bridges
constructed by the State,
banks, shores, roadsteads, and others of similar
character;
(2) Those which belong to the State, without being
for public use, and are intended for some public

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service or for the

development of the national wealth. (339a)
Property of Public Dominion:
There are three kinds of this property
a) Property intended for public use-which
can be used by the public or everybody, and
not limited to privileged individuals and
others of similar character.
b) Property intended for public servicewhich can be used only by duly authorized
persons, such as government buildings and
vehicles
c) Property intended for the development
of national wealth- minerals, coal, oil,
forest and other natural resources.

The charging of fees to the public does not

determine the character of property. Thus a
property of public dominion even charges
fees do not affect the public character of the
road or its character for public use.
Canals constructed by private persons over
private property are of private ownership

Property of similar character to those intended for

public use:
1) Public streams, rivers channels, river beds,
creeks and esteros
2) Accretions to the shores of the sea by action
of the water
3) Submerged lands, lands reclaimed from the
sea
4) Lands that disappeared into the sea by
natural erosion. Even after its reclaimed it
still belongs to the government
5) Canals constructed on private lands of
private ownership but the owner loses his
proprietary rights over said canal through
prescription by allowing the pubic to use it
for transportation and fishing purpose.
6) Foreshore lands
7) A lot on which stairways were built for the
use of the people as passageway to the
highway.
Property outside the commerce of men
Property of public dominion are outside of
the commerce of men.
It has the characteristic of COLLECTIVE
OWNERSHIP.
They cannot be sold, leased or otherwise be
the subject matter of contracts
Property donated to a town for use as public
plaza becomes property for public use and
cannot be the subject of contracts.
They cannot be acquired by prescription

Land formed by the action of the sea as

accretion forms part of the public domain; it
cannot be appropriated not can it acquired
by prescription.
They cannot be encumbered, attached or be
subject to levy and sold at public auction to
satisfy a judgment
They cannot be burdened with easements.
They cannot be registered under the land
registration law and be the subject of a
torrens title.
The right of reversion to the State of public
property registered and which is not capable
of private appropriation or acquisition does
not prescribe.

Public lands and government lands

PUBLIC LANDS
GOVERNMENT LANDS
Used to describe so Broader term. It includes
much of the national not only the first but
domain
under
the also other lands of the
legislative
power
of government
already
Congress as has not reserved or devoted to
been
subjected
to public use or subject to
private right or devoted private
rights
and
to public use.
patrimonial lands.
It is held equivalent to
lands of the public
domain and does not
include by any means all
lands of government
ownership but only so
much of said lands as
are thrown open to
private
appropriation
and
settlement
by
homestead
law
and
other like general laws.
Alienation of public agricultural land
Under the Constitution, all natural resources
belong to the state, except of public
agricultural lands, they are not subject to
alienation. Unless public land is shown to
have been reclassified and alienated by the
State to a private person, it remains part of
the inalienable public domain.
Before public agriculture lands are made
available for disposition, they are property
of public dominion. They are not capable of
private appropriation but after being made
available they become patrimonial or
private property
In the hands of government agency tasked
to dispose lands of the public domain, these
lands are still public. Only when qualified

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parties acquire these lands will they become

private lands.
Article 421. All other property of the State, which
is not of the character stated in the preceding
article, is patrimonial property. (340a)
Patrimonial property- is the property of the State
owned by it in its private or proprietary capacity. It
is the property over which the State has the same
rights and which it may dispose to the same extent
as private individuals. This kind of lands may be
acquired by private individuals or juridical persons
through prescription. It can be the object of an
ordinary contract.
Examples: incomes or rents of the State; vacant
lands without known owner or possessor property
escheated to the State; property acquired in
execution and tax sales, property donated to the
government;
waterworks;
slaughter
houses,
markets, cemeteries
Article 422. Property of public dominion, when no
longer intended for public use or for public service,
shall form part of the patrimonial property of the
State. (341a)
Conversion of property of public dominion to
patrimonial property

This provision is not self-executing. There

must be a formal declaration by the
executive or possibly legislative department
of the government that the property of the
State is no longer needed for public use or
for public service before the same can be
classified as patrimonial or private property
of the State.
Under the Regalian doctrine, all lands of the
public domain belong to the State and lands
not otherwise appearing to be clearly within
private ownership are presumed to belong
to the State. Unless public land is shown to
have been reclassified as disposable and
subsequently alienated to a private person.
The disposition of reclaimed lands is
governed by Public land act.
In
case
of
provinces,
cities
and
municipalities, the conversion must be
authorized by law. Under the revised admin
code the provincial board was held without
power to grant exclusive use of an
unfinished provincial road for twenty years
to a lumber company in consideration of the

latter completing the construction thereof,

much less declare it private property.
Article 423. The property of provinces, cities, and
municipalities is divided into property for public use
and patrimonial property. (343)
Article 424. Property for public use, in the
provinces, cities, and municipalities, consist of the
provincial roads, city streets, municipal streets, the
squares, fountains, public waters, promenades, and
public works for public service paid for by said
provinces, cities, or municipalities.
All other property possessed by any of them is
patrimonial and shall be governed by this Code,
without prejudice to the provisions of special laws.
(344a)
Property of political subdivisions
Property of political subdivisions are divided
into:
Property for public use and patrimonial
property.
All property other than property enumerated
in Art. 424 are patrimonial property.
They have no authority to control or
regulate the use of public properties such as
roads and parks unless specific authority is
vested upon them by congress.
Article 425. Property of private ownership, besides
the patrimonial property of the State, provinces,
cities, and municipalities, consists of all property
belonging to private persons, either individually or
collectively. (345a)

Refer to all property belonging to private

persons wither collectively or individually
and those belonging to the State and any of
its
political
subdivisions
which
are
patrimonial in nature.
A possessory information inscribed in the
Register of Property showing possession by
their occupants and their predecessors
since time immemorial demonstrates prima
facie that the possessors of the land to
which it refers are the owners thereof.
The fact that a road has been kept in repair
by a private enterprise and the government
has not contributed to the const tends
strongly to support the contention that its
private
The mere fact that a tract of land has been
used for a long time as a road will not alone

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warrant the presumption that is has been

dedicated to the public
Property owned by the catholic church- with the
separation of the Church and state, there is nothing
prohibiting the church from alienating any property.
Provisions common to the three preceding
chapters
Article 426. Whenever by provision of the law, or
an
individual
declaration,
the
expression
"immovable things or property," or "movable things
or property," is used, it shall be deemed to include,
respectively, the things enumerated in Chapter 1
and Chapter 2.
Whenever the word "muebles," or "furniture," is
used alone, it shall not be deemed to include
money, credits, commercial securities, stocks and
bonds, jewelry, scientific or artistic collections,
books, medals, arms, clothing, horses or carriages
and their accessories, grains, liquids and
merchandise, or other things which do not have as
their principal object the furnishing or ornamenting
of a building, except where from the context of the
law, or the individual declaration, the contrary
clearly appears. (346a)
TITLE II.-OWNERSHIP
CHAPTER 1: OWNERSHIP IN GENERAL
Article 427. Ownership may be exercised over
things or rights. (n)
OWNERSHIP- is that independent right of a person
to the exclusive enjoyment and control of a thing
including its disposition and recovery subject only
to the restrictions or limitations established by law
and the rights of others.

2) To refer to power of a shareholder of a

corporation to buy or sell, the shares though
the shareholder is not registered in the
corporations books as the owner.
NAKED OWNERSHIP- the enjoyment of all the
benefits and privileges of ownership as against the
bare title to property.
Subject-matter of ownership
1) By thing is understood generally any
material object. Things usually refer to
corporeal property.
2) Rights whether real or personal, are
classified as incorporeal property.
Article 428. The owner has the right to enjoy and
dispose of a thing, without other limitations than
those established by law.
The owner has also a right of action against the
holder and possessor of the thing in order to
recover it. (348a)
Rights included in ownership
1. Jus possidendi or the right to possess
2. Jus utendi or the right to use and
enjoy;
3. Jus fruendi or the right to the fruits;
4. Jus accessionis or right to accessories;
5. Jus abutendi or the right to consume
the thing by its use;
6. Jus disponendi or the right to dispose
or alienate
7. Jus vindicandi or the right to vindicate
or recover
RIGHT TO POSSESS- is the right to hold a thing or
enjoy a right. It may be exercised in ones own
name or in that of another.

Beneficial ownership, legal ownership and naked

ownership
BENEFICIAL
OWNERSHIPis
ownership
recognized by law and capable of being enforced in
court, as distinct from legal ownership and control.
Beneficial use, ownership or interest in property
means right to its enjoyment in one person where
the legal title is in another.
It is used in two senses:
1) To indicate the interest of a beneficiary in
trust property (also called equitable
ownership)

Ownership is different with possession. The

right to possess does not always include the
right to use. Ones possession may be in the
concept of owner or a mere holder with the
ownership pertaining to another.
A person may be declared owner but he
may not be entitled to possession which
may be in the hands of another such as a
tenant or a lessee. Therefore a judgment of
ownership does not necessarily include
possession as a necessary incident.
However where the ownership of a property
was decided in a judgment the delivery of
possession should be considered included in
the decision where the defeated partys
claim to the possession is based on his
claim of ownership. An exception exists

Yvette Lim 2A (Property)

where the actual possessor has shown a

valid right over the property enforceable
even against the owner thereof.
In a contract of sale, the vendor is bound
not only to transfer the ownership of, but
also to deliver as well as warrant the thing
which is the object of the sale (Art. 1495).
The ownership of the thing sold is acquired
by the vendee from the moment it is
delivered to him (Art. 1496).
The thing shall be understood as delivered,
when it is placed in the control and
possession of the vendor.

RIGHT TO USE AND ENJOY- Includes the right to

transform and the right to exclude any person
from the enjoyment and disposal thereof.
For this purpose he may use force as may be
reasonably necessary to repel or prevent an actual
or threatened unlawful physical invasion or
usurpation of his property. Like enclose or fence his
property.
However he cannot make use his property to injure
the rights of third persons otherwise he is liable for
damages. The use of property has a social function
to contribute to the common good.

TITLE II. OWNERSHIP

CHAPTER 1: OWNERSHIP IN GENERAL
Article 427. Ownership may be exercised over
things or rights. (n)
OWNERSHIP- is that independent right of a person
to the exclusive enjoyment and control of a thing
including its disposition and recovery subject only
to the restrictions or limitations established by law
and the rights of others.
Beneficial ownership, legal ownership, and naked
ownership
BENEFICIAL
OWNERSHIP:
is
ownership
recognized by law and capable of being enforced in
court. Right to its enjoyment in one person where
the legal title is in another.

Used in two senses:

a) To indicate the interest of a beneficiary in
trust property= equitable ownership
b) To refer to power of a shareholder of a
corporation to buy or sell, the shares though
the shareholder is not registered in the
corporations books as the owner
NAKED OWNERSHIP: enjoyment of all benefits
and privileges of ownership, as against the bare
title to property.
Subject-matter of ownership
Ownership may be exercised over things or rights
1) THING: understood generally any material
object. Usually refer to corporeal property.
2) RIGHT: real or personal, are classified
incorporeal property. The res of rights may
be corporeal or incorporeal.
Article 428. The owner has the right to enjoy and
dispose of a thing, without other limitations than
those established by law.
The owner has also a right of action against the
holder and possessor of the thing in order to
recover it. (348a)
Rights included in ownership (includes both things
and rights)
1) Right to Enjoy and use-Jus utendi
a) Right to possess-Jus possidendi
b) Right to enjoy and use-Jus Utendi
c) Right to fruits-Jus Fruendi
d) Right to accessories-Jus Accessionis
2) Right
to
Dispose
or alienate-Jus
disponendi
a) Right to consume the thing byits use-Jus
abutendi
b) Right
to
alienate
or
dispose-Jus
disponendi
3) Right to Recover or to vindicate-Jus
vindicandi
RIGHT TO POSSESS-is the right to hold a thing or
enjoy a right. It may be exercised in ones own
name or in that of another
1) Ownership is different from possession. The
right to possess does not always include the
right to use (e.g. Deposit)
2) A owner may not be entitled to possession
(lease). Therefore, a judgment of ownership
does not necessarily include possession as a
necessary incident.
3) A claim of ownership was decided in
judgment, the delivery of possession should
be considered included in the decision
where the defeated partys claim to the
possession is based on his claim of

Yvette Lim 2A (Property)

ownership or the other party has no right to

possess. Exception is when possessor has
valid right over property (no. 2).
4) In a contract of sale, the vendor is bound
not only to transfer the ownership but
deliver the thing/object of the sale. Delivery
happens when the property is placed in the
control and possession of the person.
RIGHTS TO USE AND ENJOY
1) The right to transform
2) The right to exclude any person from
the enjoyment and disposal thereof.

He may use such force as may be

reasonably necessary to repel or prevent an
actual threat, unlawful physical invasion, or
usurpation of his property.
He may enclose or fence his property
subject to the servitudes that may be
constituted thereon
An owner cannot make use of his property in
such a manner as to injure the rights of a
third person. Otherwise he is liable for
damages. The use of property has a social
function to contribute to the common good.

RIGHT TO RECEIVE THE FRUITS AND ACCESSORIES.

The ownership of property gives the right by
accession to everything incorporated or
attached to the property either naturally or
artificially.
Accession includes the right to fruits and the
right to accessories of a thing.
But there are instances when the right to
fruits is given to the possessor not the
owner.
The general rule is that all accessions and
accessories are included in the obligation to
deliver a determinate thing although they
may not have been mentioned.
RIGHT TO CONSUME
Also known as Jus abutendi.
This means that the owner has the right to
consume a thing by its use
The owner has even the right to abuse or
even destroy the thing owned.
RIGHT TO DISPOSE OR ALIENATE
An owner may dispose of or alienate his
property either totally as in sale and
donation or partially without transferring
ownership, encumber as in lease, pledge
and mortgage.
Includes the right not to dispose.
The contract of pledge or mortgage may be
constituted only by the absolute owner of

the thing pledged or mortgaged otherwise

the pledge/mortgage is void.
RIGHT
TO
RECOVER
POSSESSION
AND/OR
OWNERSHIP
The owner has a right of action against the
holder and possessor of the thing in order to
recover it.
A possessor however has the presumption
of title in his favor. (he has the right to be
respected in his possession)-solution is to go
to judicial process.
ACTIONS AVAILABLE TO RECOVER POSSESSION
AND/OR OWNERSHIP:
1) RECOVERY OF PERSONAL PROPERTY
REPLEVIN (MANUAL DELIVERY OF PERSONAL
PROPERTY)
o Governed by Rule 60 of the Rules of
Court (Sec. 2)
o Requires the plaintiff to state in an
affidavit that he is the owner of the
property
claimed,
particularly
describing it, or that he is entitled to
the possession thereof and that it is
wrongfully detained by the adverse
party.
o The applicant for the writ of replevin
has
the
burden
of
proving
ownership/right of possession.
o Both a form of principal and
provisional remedy.
o A property under cutodia legis
cannot be a subject of replevin.
o The action shall prescribe 4 or 8
years from the time the possession
thereof is lost.
2) RECOVERY OF REAL PROPERTY
FORCIBLE ENTRY
UNLAWFUL DETAINER
o Ejectment suit which may be
instituted by a person deprived of
the possession of any land or
building
by
force,
intimidation,
threat, strategy or stealth or
landlord, vendor, vendee or other
person against whom the possession
of any land or building is unlawfully
withheld after the expiration or
termination of the right to hold
possession by virtue of any contract
o JURISDICTION: municipal trial court;
metropolitan trial court
o PRESCRIPTION: within one year from
the date of actual entry on the land
or date of last demand to vacate.
o Deals only with physical possession.

Yvette Lim 2A (Property)

10

The question of ownership is only

answered provisionally
o Summary in nature
o After one year, the owner of the
property cannot resort to either of
these remedies.
o FORCIBLE ENTRY- it is from the time
of entry that it became unlawful
o UNLAWFUL DETAINER- possession is
at first lawful later became illegal
due to expiration or termination of
the right to possess.
ACTION TO RECOVER POSSESSION (ACCION
PUBLICIANA/ACCION
PLENARIA
DE
POSESION)
o Is an ordinary civil proceeding to
recover the better right of possession
of realty independently of title,
except in cases of forcible entry and
unlawful
detainer.
Or
after
prescription of 1 year for bringing
forcible entry and unlawful detainer
has already expired.
o PRESCRIPTIVE PERIOD- 10 years
otherwise the real right of possession
is lost.
o JURISDICTION- RTC
ACTION TO RECOVER POSSESSION BASED
ON OWNERSHIP (ACCION REIVINDICATORIA
OR ACCION DE REINVINDICACION)
o Seeks the recovery of possession
based on ownership
The 4 cases above are in personam
proceedings meaning they only bind the
same parties or their successor in interest
ACTION FOR RECONVEYANCE
o What is sought is the transfer of the
property which has been wrongfully
or erroneously registered in another
persons name, to its rightful and
legal owner, or to one with a better
right.
o The complaint must allege two facts:
1) that the plaintiff was the owner of
the land or possessed the land in the
concept of owner; 2) that the
defendant had illegally disposed him
of the land.
o An
action
for
damages
not
reconveyance is the proper remedy if
the property has passed into the
hands of innocent party for value.
o Prescriptive period-4 years from date
of issuance of the certificate of title
over the property; 10 years if based
on implied or constructive trust ;
imprescriptible when the plaintiff is
in possession of the property.
o

Available not only to legal owner but

also to the person with better right
than the person under whose name
the
property
was
erroneously
registered.

CONCEPTS OF IN REM AND IN PERSONAM

IN REM-Is an action affecting title to real property
or recovery of possession. Action against the thing
itself.
IN PERSONAM- action against a person on his
personal liability; Enforcement of contract, recovery
of possession.
INJUNCTION AS A REMEDY FOR RECOVERY OF
POSSESSION
INJUNCTION- is a writ framed according to the
circumstances of the case commanding an act
which the court regards as essential to justice or
restraining an act it deems contrary to equity and
good conscience.

It is a judicial process whereby a person is

required to do or refrain from doing a particular
thing.
In order that a preliminary injunction may be
granted at any time after the commencement
of the action and before judgment:
1) There must exist a CLEAR AND POSITIVE
RIGHT over the property in question which
should be judicially protected through the
writ
2) The acts against which the injunction is to
be directed are violative of said rights.
Jurisdiction- Regional Trial Court
Injunctive relief will not be granted to take
property out of possession or control of one
party. Its proper function is to maintain status
quo at the commencement of the action.
Injunction cannot be substitute for other suits of
recovery.

CASES WHERE INJUNCTION IS ALLOWED:

1) Actions
for
forcible
entrythe
dispossessed plaintiff may file within 10
days from the filing of the complaint, a
motion for preliminary mandatory injunction
to restore to him in possession. Reason to
prevent defendant from committing further
acts of dispossession against the plaintiff.
2) Ejectment
casesUsually
involves
contracts of lease. Where an appeal is
taken, the lessor is given the same remedy
granted in Article 539 if the higher court is

Yvette Lim 2A (Property)

11

satisfied that the lessees appeal is frivolous

or dilatory or that the lessors appeal is
prima facie meritorious.
3) Possessor admittedly owner or in
possession in concept of owner- where
the actual possessor of the property is the
owner seeks protection from repeated
intrusions into his property by a stranger,
the writ of injunction may be issued to
restrain the acts of trespass and illegal
interference with his possession
4) Possessor clearly not entitled to
property- Although as a general rule, a
court should not by means of a preliminary
injunction, transfer property in litigation
from the possession of one party to another,
the exception is when there is a clear
finding of right of ownership and possession
of a land in favor of the party who claims
the subject property is covered by a Torrens
title pointing to such party as the
undisputed owner especially where the
certificate of title was never converted by
the possessor not its issuance tainted with
bad faith.
5) Extraordinary cases-where immediate
possession is a necessity. Where irreparable
injury will be done if adequate remedy is
not given.
WRIT OF POSSESSION- is generally understood
to be an order whereby a sheriff is commanded to
place a person in possession of a real or personal
property, such as when a property is extrajudicially
foreclosed, or to enforce a judgment and give
possession of the property to the person entitled
under the judgment.
Summary in nature, without need of notice to any
adverse party, as it is brought for the benefit of one
party only.
The writ is improper to eject another from
possession unless sought in connection with a land
registration proceeding.
1) LAND REGISTRATION PROCEEDING- the
judgment confirming the title of the applicant
and ordering the registration in his name carries
with it the delivery of possession which is an
inherent element of ownership.
No period of prescription as to the issuance of a
writ of possession,
A) AGAINST DEFEATED PARTY AND ADVERSE
OCCUPANT-adversely occupying the land or
any portion thereof during the land
registration proceedings. The purpose of the
writ is to place the winning party in

possession of the property covered by such

decree.
B) AGAINST SUBSEQUENT TRANSFEREE OR
POSSESSOR-Writ is not issued to them.
Remedy is a forcible entry or lawful detainer
case.
C) MAY INCLUDE WRIT OF DEMOLITION
2) REAL ESTATE MORTGAGE-the possession of
the property sold may be given to the
purchaser by the sheriff as against the
mortgagor or judgment debtor after the period
of redemption is expired unless a third peerson
is actually holding the property adversely.
3) CHATTEL MORTGAGE-necessary to recover
possession of the mortgaged chattel in case of
the refusal of the mortgagor to surrender it.
4) EMINENT DOMAIN PROCEEDINGS- The
following requisite must be satisfied:
a) Complaint for expropriation sufficient in
form and substance
b) Provisional
determination
of
just
compensation made by trial court on the
basis of judicial discretion
c) The deposit requirement in the Rules of
court must be complied
5) EJECTMENT
6) EXECUTION SALES

LIMITATIONS ON THE RIGHT OF OWNERSHIP

1) Imposed by the state in the exercise of the
power of taxation, police power and eminent
domain
2) Those imposed by law such as LEGAL
EASEMENT and the requirement of legitime in
succession
3) Those imposed by the grantor of the property
either by contract or will
4) Imposed by the owner himself (easement,
mortgage, pledge and lease)
5) Conflicts of private rights-accession continua
6) Acquisition of private lands by aliens
Article 429. The owner or lawful possessor of a
thing has the right to exclude any person from the
enjoyment and disposal thereof. For this purpose,
he may use such force as may be reasonably
necessary to repel or prevent an actual or
threatened unlawful physical invasion or usurpation
of his property. (n)
Embodies the doctrine of self-help (the
owner may use only such force as may be
reasonably necessary; the right to repel or
prevent an actual or threatened physical

Yvette Lim 2A (Property)

12

invasion or usurpation of property is

essential to the maintenance of property
rights.
Requisites for the article to apply:
1) Owner or lawful possessor- The
person defending his property must be
the owner or lawful possessor; hence, if
his possession is wrongful, the right to
use force cannot be availed of;
2) Reasonable force- He must use only
such force as may be reasonably
necessary to repel or prevent an
invasion or usurpation of his property;
otherwise, he shall be liable for
damages.
3) No delay- the doctrine of self-help can
only be exercised at the time of an
actual or threatened dispossession or
immediately after the dispossession to
regain possession. Once delay has taken
place the owner must resort to judicial
process for the recovery of the property
for he is not longer justified in taking the
law into his own hands.
4) Actual
or
threatened
physical
invasion or usurpation
Art. 432 is an exception of Art. 429

Article 430. Every owner may enclose or fence his

land or tenements by means of walls, ditches, live
or dead hedges, or by any other means without
detriment to servitudes constituted thereon.
(388)
Flows from the right of ownership is the
right of others to existing servitudes
imposed on the land or tenement.
Article 431. The owner of a thing cannot make
use thereof in such manner as to injure the rights
of a third person. (n)
Article 432. The owner of a thing has no right to
prohibit the interference of another with the same,
if the interference is necessary to avert an
imminent danger and the threatened damage,
compared to the damage arising to the owner from
the interference, is much greater. The owner may
demand from the person benefited indemnity for
the damage to him. (n)

This article is an exemption to the general rule

that a person cannot interfere with the right of
ownership.
This article
is based on the state of
necessity, a justifying circumstance recognized
in the RPC but which does exempt civil liability.

Two requisites:
1) Interference necessary- interference is
necessary to prevent imminent danger (E.g.
Firemen breaking in a house on fire)
2) Damage to another much greater than
damage to property

Article 433. Actual possession under claim of

ownership raises disputable presumption of
ownership. The true owner must resort to judicial
process for the recovery of the property. (n)

Applies to both movable and immovable

property.
Requisite to raise the presumption:
1) There
must
be
actual
(physical/material) possession of the
property
2) The possession must be under claim of
ownership
When a person is peacefully in possession of
the property he shall not be turned out by force,
by violence or by terror. Real owner must use
judicial
process
(ejectment
case
or
reinvindicatoria). Exception to Art. 429. Cases
which are summary in nature like ex parte
petition cannot be used to claim possession
held by a possessor of property.

Article 434. In an action to recover, the property

must be identified, and the plaintiff must rely on
the strength of his title and not on the weakness of
the defendant's claim. (n)

Preponderance of evidence is the

quantum of evidence needed.
Must prove not only his ownership of the
property but to be able to identify the lands
he claim (describing the location, area and
boundaries).
Failure to prove, his action will fail.

Evidence to prove ownership

Maybe written, oral
Torrens Title
Title from Spanish Government
Patent duly registered in the Registry of
Property by the grantee
Deed of sale
Operating a business for 9 years in
defendants own name representing himself
to the public to be the owner and the
plaintiff never made any protest or objection
Occupation of a building for a long time by a
party without paying rent
A letter in which defendant recognized the
ownership of the property by the plaintiff

Yvette Lim 2A (Property)

13

Adverse and exclusive possession and

ownership of parcels of land for a long time
attested not only by witnesses but also by
declaration of properties payment of taxes
and deed of mortgage executed by the
possessors
predecessors-in-interest
as
owners of the property.
Indicia of claim of ownership- maybe support
but does is not sufficient to claim ownership alone:
1) Mere fact of working in the land without
expressing the concept in which the land
was being worked
2) Mere leasing of property and receiving rent
3) Tax declaration and tax receipts
4) Deed of Donation inter vivos and proper
nuptias that is void
5) Mere registration of adverse claim
What is conclusive are certificates of title. It
indicates true and legal ownership of a private
land. Although when the CTC is subsequently
registered (a earlier certificate was issued) the
subsequent TCT is null and void.
Article 435. No person shall be deprived of his
property except by competent authority and for
public use and always upon payment of just
compensation.
Should this requirement be not first complied with,
the courts shall protect and, in a proper case,
restore the owner in his possession. (349a)

Known as eminent domain2

Requisites:
1) Taking by competent authority
2) For public use
3) Owner to be paid just compensation
4) Due process must be observed

Owner losses his right

1) Where there is estoppel or acquiescence on
part of owner (e.g. he allows public utility
company to construct a tower without
objection)-he may only sue for just
compensation.
Article 436. When any property is condemned or
seized by competent authority in the interest of
health, safety or security, the owner thereof shall
not be entitled to compensation, unless he can
show that such condemnation or seizure is

2 to expropriate private property for public use

paying the owner just compensation to be
ascertained according to law.

unjustified. (n)
Provision is based on Police Power and is
related to use and enjoyment and not
ownership
Person affected not entitled to financial
compensation, unless he shows that
condemnation is unjustified.
ARTICLE 437. The owner of a parcel of land is the
owner of its surface and of everything under it, and
he can construct thereon any works or make any
plantations and excavations which he may deem
proper, without detriment to servitudes and subject
to special
laws and ordinances. He cannot
complain of the reasonable requirements of aerial
navigation. (350a)
The right of the owner of a parcel of land to
construct any works or make any plantations and
excavations on his land is subject to:
1) Existing servitudes or easements
2) Special laws-springs from the concept of
regalian doctrine that all mineral and other
natural resources found either in public or
private lands are owned by the state (ART
XII, Sec. 2; Art 519)
3) Local ordinances
4) Reasonable requirements of aerial
navigation
5) Rights of third persons
Art. 438. Hidden treasure belongs to the owner of
the land, building, or other property on which it is
found.
Nevertheless, when the discovery is made on the
property of another, or of the State or any of its
subdivisions, and by chance, one-half thereof shall
be allowed to the finder. If the finder is a
trespasser, he shall not be entitled to any share of
the treasure.
If the things found be of interest to science of the
arts, the State may acquire them at their just price,
which shall be divided in conformity with the rule
stated. (351a)
Place where treasure may be found- land
building or other property
Belongs to owner of land if he is the finderexcept if found in the interest of science which
is tantamount to special case of eminent
domain.
Finders entitled to one-half if he is not the
owner of land.
Meaning of by chance-synonymous to good luck
Finder not entitled to share if a trespasser

Yvette Lim 2A (Property)

14

Right of finder employed to look for treasure-is

for compensation only and not share, unless
there is a stipulation.
Right of lessee of usufructuary-he gets half

Art. 439. By treasure is understood, for legal

purposes, any hidden and unknown deposit of
money, jewelry, or other precious objects, the
lawful ownership of which does not appear. (352)

Unknown-totally hidden or unexpected. Hence it is

not unknown if purposely hidden by owner of
property who can recover it from the finder, unless
he abandoned it or considered it loss without
expectation of finding it.
Its essential that no lawful ownership appears

TITLE III- CO OWNERSHIP

Article 484. There is co-ownership whenever the
ownership of an undivided thing or right belongs to
different persons.
In default of contracts, or of special provisions, coownership shall be governed by the provisions of
this Title. (392)
CO-OWNERSHIP- as a manifestation of
ownership, form of ownership
which exists whenever an undivided
thing
or
right
belongs
to
different persons. It is one aspect
of ownership
As a right, the right of common dominion which
two or more persons have in a
spiritual or ideal part of a thing which
is not materially or physically
divided.
Requisites of Co-ownership
1) There must be plurality of owners
2) The object of ownership must be a
thing or right which is undivided- may
be real or personal, or a right
3) Each co-owners right must be limited
only to his ideal share of the physical
whole. He cannot point to a particular
portion of the property as his very own.
Characteristics of Co-ownership
1) There are two or more co-owners
2) There is a single object which is not
materially or physically divided, each
co-owner exercise ownership, together
with other co-owners
3) There is no mutual representation by
the co-owners
4) It exists for the common enjoyment of
the co-owners
5) It has no distinct legal personality

6) It is governed first of all by the

contract of the parties otherwise by
special legal provisions and in default
of provisions under title III.

There is NO co-ownership when the different

portions owned by different people are
already CONCRETELY DETERMINED AND
SEPARATELY IDENTIFIABLE, even if not yet
technically described.

Sources of co-ownership
1. By Contract- such as when two persons
shared in paying the purchase price of a
parcel of land with the agreement to divide
the land equally between them.
2. By Law- absolute community of property
between spouses; easement of party walls
3. By Succession- heirs of undivided property
before partition.
4. By
testamentary
disposition
or
donation intervivos- where the testator or
donor prohibits partition of the property for
a certain period of time.
5. By fortuitous event or by chancediscovery of hidden treasure, confusion
which takes place by accident. (example of
sir: two old ladies grab each others
identical pearl necklaces that was scattered
in the floor-they are co-owners)
6. By occupancy- when two persons catch a
wild animal or fish in the open sea or gather
forest products. But if there is agreement
between them it would arise from contract.
Co-ownership distinguished from joint ownership
CO-OWNERSHIP

Ownershi
p of
Share

Owner of the
whole undivided
thing or right but
at the same time
of his own ideal
part thereof.

Dispositi
on of
Shares

Can dispose of
without consent
of the other

Effect of
death

The
heirs
are
subrogated to the
rights
of
the
deceased

Legal
disability
or

Not true with co-

JOINT
OWNERSHIP
No abstract share,
the rights of the
joint tenants being
inseparable
Not permitted to
dispose of his share
without the
consent of the
other
His ownership dies
with
him
and
instead of his heirs
inheriting his share
His disability inures
to the benefit of
the
others
for

Yvette Lim 2A (Property)

15

ownership

incapacit
y

purposes
of
prescription
and
therefore
prescription will not
run against the
latter
who
can
invoke
the
disability
as
a
defense

Co-ownership distinguished from partnership

CREATION

PERSONALIT
Y

PURPOSE

DISPOSAL
OF SHARE

MUTUAL
AGENCY
DISTRIBUTIO
N
OF
PROFITS
EFFECT OF
DEATH AND
INCAPACITY
DURATION

CO-OWNERSHIP
May be created
without
the
formalities of a
contract
Has no juridical or
legal personality

Purpose
of
collective
enjoyment of the
thing
Can dispose share
without consent
of the other with
the
transferee
automatically
becoming a coowner
No
Mutual
Representation
Proportional
to
respective
interest of coowners
Not dissolved by
death
or
incapacity of a
co-owner
A agreement to
keep the thing
divided more than
10 years is void

PARTNERSHIP
Created only by
a contract

Has
juridical
personality
distinct
from
the partners
To obtain profits

Cannot
be
substituted
without consent
of the other
partners

A partner can
bind
the
partnership
Subject
to
stipulation
of
parties
Dissolves
partnership

Without
limit
depending
on
the will of the
partners.

Co-ownership distinguished from easement

CO-OWNERSHIP
A co-owner has a right of

dominion over the entire

property and his
undivided share

right of dominion

Right of co-ownership
rests solely on each and
every co-owner over a
single object

Right of dominion is in
favor of one or more
persons and over two
or more different
things.

Article 485. The share of the co-owners, in the

benefits as well as in the charges, shall be
proportional to their respective interests. Any
stipulation in a contract to the contrary shall be
void.
The portions belonging to the co-owners in the coownership shall be presumed equal, unless the
contrary is proved. (393a)

Applicable only if stipulation in contract,

hence is created by will or donation, the
share of the co-owners need not be
proportionate to their respective interest.

Article 486. Each co-owner may use the thing

owned in common, provided he does so in
accordance with the purpose for which it is
intended and in such a way as not to injure the
interest of the co-ownership or prevent the other
co-owners from using it according to their rights.
The purpose of the co-ownership may be changed
by agreement, express or implied. (394a)
Limitations on co-owners right of use
1) In accordance with the purpose for
which the co-ownership is intended- to
determine the purpose, one must resort to
the agreement of the co-owners. In the
absence thereof, it is understood that the
use is for the ordinary use of it. If the thing
has been previously used for a particular
purpose it is presumed that its till what is
intended by the parties. The co-owners can
change the purpose by agreement.
Mere tolerance and prescription cannot be
invoked.
2) In such a way as not to injure the
interest of the co-ownership
3) In such a way as not to prevent the
other
co-owners
from
using
it
according to their rights.
Article 487. Any one of the co-owners may bring
an action in ejectment. (n)

EASEMENT
A limitation on the

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Co-owners are authorized to bring in behalf

of himself and the other co-owners an
action in ejectment affecting the coownership.
It can proceed without impleading the other
co-owners
Any judgment of the court in favor of the
plaintiff will benefit the other co-owners but
if the judgment is ADVERSE the same
cannot prejudice the rights of the unpleaded
co-owners. But they are bound where it
appears that the action was instituted in
their behalf with their express or implied
consent.

Article 488. Each co-owner shall have a right to

compel the other co-owners to contribute to the
expenses of preservation of the thing or right
owned in common and to the taxes. Any one of the
latter may exempt himself from this obligation by
renouncing so much of his undivided interest as
may be equivalent to his share of the expenses and
taxes. No such waiver shall be made if it is
prejudicial to the co-ownership. (395a)
Obligation to contribute expenses
The expenses of preservation of the thing or
right owned in common and the amount of
taxes due thereon should be borne by all.
Hence a co-owner who advanced them as a
right to demand reimbursement from the
others in proportion to their respective
interests in the co-ownership.
Until reimbursed, he holds a lien upon the
subject property for the amounts due.
Article 488 only refers to necessary
expenses
Although useful expenses can also be but
needs to be with the consent of the other
co-owners.
Expenses for pure luxury are not refundable.
Renunciation of his share
Renunciation need not be in total. But only
equivalent to his share of expense.Proportionate to his share.
The nature of the renunciation is in realty a
case of DACION EN PAGO
But the renunciation needs to have the
consent of the owner of the share.
A co-owner who has not waived his share in
the co-ownership may be compelled (by
action in court) to pay his share in the cost
of its maintenance.
He may not be
compelled to renounce.
But renunciation is not allowed in all cases
(e.g. a co-owner having the means cannot

renounce to exempt himself from the duty

to contribute for the repair of ruinous
building in danger of falling.)
Article 489. Repairs for preservation may be
made at the will of one of the co-owners, but he
must, if practicable, first notify his co-owners of the
necessity for such repairs. Expenses to improve or
embellish the thing shall be decided upon by a
majority as determined in Article 492. (n)

Talks about the ACTS OF PRESERVATION

The law requires that the co-owner if
practical must first notify his co-owners of
the necessity to repair.
This can be dispensed if co-owners are
cannot be reached by ordinary means of
communication.
The lack of notice even if practicable would
not exempt the other co-owners from the
obligation.
Reason of the notice is to prevent fraud.
The unjustified opposition of a co-owner
which resulted to losses, those who opposed
shall be liable for it.

Article 490. Whenever the different stories of a

house belong to different owners, if the titles of
ownership do not specify the terms under which
they should contribute to the necessary expenses
and there exists no agreement on the subject, the
following rules shall be observed:
(1) The main and party walls, the roof and the
other things used in common, shall be preserved at
the expense of all the owners in proportion to the
value of the story belonging to each;
(2) Each owner shall bear the cost of maintaining
the floor of his story; the floor of the entrance, front
door, common yard and sanitary works common to
all, shall be maintained at the expense of all the
owners pro rata;
(3) The stairs from the entrance to the first story
shall be maintained at the expense of all the
owners pro rata, with the exception of the owner of
the ground floor; the stairs from the first to the
second story shall be preserved at the expense of
all, except the owner of the ground floor and the
owner of the first story; and so on successively.
(396)

Although there are apparently separate and

distinct properties, these are indestructively
united for their ornamentation and use even
for their very existence with other necessary
and essential things which are the main and

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party walls, the roof and other things used

in common.
Article 491. None of the co-owners shall, without
the consent of the others, make alterations in the
thing owned in common, even though benefits for
all would result therefrom. However, if the
withholding of the consent by one or more of the
co-owners is clearly prejudicial to the common
interest, the courts may afford adequate relief.
(397a)

Known as the acts of alteration

Alteration- change made by a co-owner in
the thing owned which involves:
o Change of the thing from the state or
essence in which the others believe
should remain
o Withdrawal of the things from the
use to which they wish it to be
intended
o Any other transformation which
prejudices the condition or substance
of the thing or its enjoyment by the
others.
Major changes (e.g. building a house;
attached as encumbrance; selling)
Requires the UNANIMOUS CONSENT OF ALL
CO-OWNERS, because alteration constitutes
an act of ownership and not administration.
Consent may be obtained by express or
implied
A co-owner who made the alteration cannot
ask share from other co-owner with the
expenses
EXCEPT
if
they
expressly
consented.

Liability of alteration without consent of other co

owners: Punishments:
Lose of what he has spent
Be obliged to demolish the improvements
done
Be liable to pay for loses and damages the
community property or the other co-owners
may have suffered.
Article 492. For the administration and better
enjoyment of the thing owned in common, the
resolutions of the majority of the co-owners shall
be binding.
There shall be no majority unless the resolution is
approved by the co-owners who represent the
controlling interest in the object of the coownership.

Should there be no majority, or should the

resolution of the majority be seriously prejudicial to
those interested in the property owned in common,
the court, at the instance of an interested party,
shall order such measures as it may deem proper,
including the appointment of an administrator.
Whenever a part of the thing belongs exclusively to
one of the co-owners, and the remainder is owned
in common, the preceding provision shall apply
only to the part owned in common. (398)
Known as acts of administration
Administration- contemplate acts or
decisions for the common benefit of all the
co-owners and not for the benefit of only
one or some of them.
Distinguished from alteration, acts of
administration have transitory (not for long
duration) effects for the purpose of
preservation,
preparation
and
better
enjoyment of the things which do not affect
its essence nature or substance.
Majority prevails
Court can intervene in instance there is no
majority resolution or if acts is seriously
prejudicial to the interest of co-owners.
Article 493. Each co-owner shall have the full
ownership of his part and of the fruits and benefits
pertaining thereto, and he may therefore alienate,
assign or mortgage it, and even substitute another
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-ownership. (399)
Rights of each co-owner
1) He shall have full ownership of his part
2) He shall have full ownership of the fruits and
benefits pertaining thereto
3) He may alienate, assign, or mortgage his
ideal interest or share independently of the
other co-owners
4) He may substitute another person in the
enjoyment of his part except when personal
rights are involved
5) He may demand at any time the partition of
the thing owned in common in so far is his
share is concern.
Nature of right before partition
All the co-owners has an IDEAL OR
ABSTRACT QUOTA OR PROPORTIONATE
SHARE in the entire property.

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Legal right of redemption

A co-owner is given right of redemption
in case the shares of all the other co-owners
or any of them are sold to a third person.
The share of a co-owner may be attached.
Redemption by a co-owner does not
terminate the co-ownership not give him
title to the entire property.
Renunciation of interest
A co-owner may exempt himself from the
obligation to contribute to the expenses of
preservation of the thing or right owned in
common and to the taxes by RENOUNCING
HIS INTEREST equivalent to the expenses.
Sale or mortgage of common property
A owner can sell his pro indiviso share of the
fruits and other benefits. But the transferee
only acquires a share and not a physical
portion of the whole
A sale can be valid as long as it has a
condition that it only covers the property
that might be assigned to him.
The sale of a co-owner of the whole property
as his own without the consent of his coowners will make the sale valid up to his
entire quota unless authorized by the other
co-owners.
A co-owner may substitute another thing of
his undivided interest of another except
when its personal rights.
Personal right in this case is personal
relations of the co-owners. (Property used as
their house).
Article 494. No co-owner shall be obliged to
remain in the co-ownership. Each co-owner may
demand at any time the partition of the thing
owned in common, insofar as his share is
concerned.
Nevertheless, an agreement to keep the thing
undivided for a certain period of time, not
exceeding ten years, shall be valid. This term may
be extended by a new agreement.
A donor or testator may prohibit partition for a
period which shall not exceed twenty years.
Neither shall there be any partition when it is
prohibited by law.
No prescription shall run in favor of a co-owner or
co-heir against his co-owners or co-heirs so long as

he expressly or impliedly recognizes the coownership. (400a)

Important Provision

Termination of Co-ownership-maybe terminated in

1) By the consolidation or merger in only one
of the co-owners of all the interests of the
others.
2) By the destruction or loss of the co-owned
property
3) By acquisitive prescription in favor of a third
person.
4) By partition
5) By the termination of the period agreed
upon by the donor or testator or allowed by
law.
6) By the sale of the thing to third person.
PARTITION-is the division between two or more
persons of real or personal property which they
own in common so that each may enjoy and
possess his sole estate to the exclusion of and
without interference from the others.
The policy of the law is not to favor co-ownership.
This provision grants co-owners the right to
demand at any time partition of the thing owned in
common.
The action to partition is imprescriptible.
Exception to partition:
1) When there is an agreement to keep the
thing undivided (should not exceed ten
years).
2) When the partition is prohibited by the
donor or testator (should not exceed twenty
years)
3) When partition is prohibited by law
4) When the partition would render the thing
unserviceable for the use for which it is
intended.
5) When another co-owner has possessed the
property as exclusive owner and for a period
sufficient to acquire it by prescription.
EFFECTS OF REPUDIATION
Prescription begins to run from time of
repudiation for recovery of property.
Title may be claimed by prescription to the entire
property by satisfying the following:
1. He had performed unequivocal acts of
repudiation of his co-owners amounting to
their ouster
2. The positive acts of repudiation have been
made known to the other co-owners
3. The evidence is clear and complete to
establish prescription

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4. His possession is OPEN, CONTINUOUS,

EXCLUSIVE AND NOTORIOUS.
Specific acts of repudiation
1. Filing by a trustee of an action in court
2. Issuance of the certificate of title
3. Cancellation of title of co-owners and gets a
new certificate in his own name.
Article 495. Notwithstanding the provisions of the
preceding article, the co-owners cannot demand a
physical division of the thing owned in common,
when to do so would render it unserviceable for the
use for which it is intended. But the co-ownership
may be terminated in accordance with article 498.
(401a)
Article 496. Partition may be made by agreement
between the parties or by judicial proceedings.
Partition shall be governed by the Rules of Court
insofar as they are consistent with this Code. (402)

The issue of co-ownership should be

resolved first in order to take effect a
partition of properties.
When judicial discretion is needed (parties
cannot make up their mind)- partition is
based on nearest equity.

Article 497. The creditors or assignees of the coowners may take part in the division of the thing
owned in common and object to its being effected
without their concurrence. But they cannot impugn
any partition already executed, unless there has
been fraud, or in case it was made notwithstanding
a formal opposition presented to prevent it, without
prejudice to the right of the debtor or assignor to
maintain its validity. (403)
Right to impugn partition
1) If no notice is given, the creditors or
assignees may question the partition
already made
2) If notice is given it is their duty to make
appear their position
3) They cannot impugn a partition already
executed.
Article 498. Whenever the thing is essentially
indivisible and the co-owners cannot agree that it
be allotted to one of them who shall indemnify the
others, it shall be sold and its proceeds distributed.
(404)

shall retain the rights of mortgage, servitude or any

other real rights belonging to them before the
division was made. Personal rights pertaining to
third persons against the co-ownership shall also
remain in force, notwithstanding the partition.
(405)
Article 500. Upon partition, there shall be a
mutual accounting for benefits received and
reimbursements for expenses made. Likewise, each
co-owner shall pay for damages caused by reason
of his negligence or fraud. (n)
Article 501. Every co-owner shall, after partition,
be liable for defects of title and quality of the
portion assigned to each of the other co-owners.
(n)
Obligation of co-owners upon partition
1) Mutual accounting for benefits, profits or
income received for the fruits and other
benefits of the things belong to all coowners
2) Mutual reimbursement for expenses
3) Indemnity
for
damages
because
of
negligence and fraud
4) Reciprocal warranty for defects of title or
quality of the portion assigned to a coowner.
CHAPTER 2 RIGHT OF ACCESSION
GENERAL PROVISIONS
SECTION 1-RIGHT OF ACCESSION WITH
RESPECT TO WHAT IS PRODUCED BY
PROPERTY
Article 440. The ownership of property gives the
right by accession to everything which is produced
thereby, or which is incorporated or attached
thereto, either naturally or artificially. (353)
ACCESSION- the right of the owner of a thing, real
or personal to become the owner of everything
which is produced, incorporated or attached, either
naturally or artifically.
This article does not apply to the public domain.
ACCESSION CAN BE1) Building, planting or sowing
2) Accession natural like alluvion
3) Avulsion
4) Change of course of river
5) Formation of islands.

Article 499. The partition of a thing owned in

common shall not prejudice third persons, who

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ACCESSORIES-are things joined to or included

with the principal thing for the latters
embellishment, better use or completion.
Accessions are not mode of acquiring
ownership
KINDS OF ACCESSION
1) ACCESSION DISCRETA- is the extension of
the right of ownership of a person to the
products of a thing which belongs to such
person.
a) Natural Fruits
b) Industrial Fruits
c) Civil Fruits
2) ACCESSION CONTINUA- extension of the
right of ownership of a person to that which
is incorporated or attached to a thing which
belongs to such person.
a) With respect to real property
i)
Accession
industrial
(Building
planting or sowing)
ii)
Accession
natural
(alluvion,
avulsion, change of river course
and formation of islands)
b) With respect to personal property
i)
Conjunction or adjunction(which
may take place by inclusion or
engraftment,
soldadura
or
attachment, tejido or weaving,
pintura or painting and escritura
or writing.
ii)
Commixtion or confusion
iii)
Specification
Article 441. To the owner belongs:
(1) The natural fruits;
(2) The industrial fruits;
(3) The civil fruits. (354)
Right of owner to the fruits
GEN RULE: All fruits belong to the owner of a
thing. It may be in the form of damages suffered by
the owner of a land.

Article 441 refers to accession discreta

Accession discreta refers property BY
ACCESSION TO EVERYTHING WHICH IS
PRODUCED THEREBY.
Exception
o Possession in Good faith by anotherthe possessor in good faith is entitled
to the fruits received before the
possession is legally interrupted.
o Usufruct
o Lease of rural lands
o Pledge
o Antichresis

products of the soil, and the young and other

products of animals.
Industrial fruits are those produced by lands of any
kind through cultivation or labor.
Civil fruits are the rents of buildings, the price of
leases of lands and other property and the amount
of perpetual or life annuities or other similar
income. (355a)
Natural Fruits
1) Spontaneous products of the soil
2) The young and other products of animals

Standing trees being an integral part of the

land are generally not fruits, they are
immovables.
The owner of a female cow is presumed to
be the owner of its young by the right of
accretion. -partus sequitur ventrem- except
if there is a stipulation to the contrary.

Industrial fruits
When it is cultivated or exploited
Civil fruits
Rents of buildings
Prices of leases of movable or immovable
Amount of perpetual or life annuities or
other similar income.
Article 443. He who receives the fruits has the
obligation to pay the expenses made by a third
person in their production, gathering, and
preservation. (356)

Application- is when a planter sower buyer

has fruits to the property
The owner of the land must pay all
NECESSARY
EXPENSES
(production,
gathering and preservation) if the possessor
is in good faith. (Concept of unjust
enrichment)
If he is in bad faith he can only be
reimbursed for NECESSARY EXPENSE OF
PRESERVATION OF THE LAND.

Article 444. Only such as are manifest or born are

considered as natural or industrial fruits.
With respect to animals, it is sufficient that they are
in the womb of the mother, although unborn. (357)
1) Plants- deemed existing from the time the
seedlings appear from the ground

Article 442. Natural fruits are the spontaneous

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2) Fruits of trees- existing when they actually

appear
3) Animals-beginning of the gestation period.
Womb of mother animal
4) Fowls-beginning of incubation
SECTION 2: Right of Accession with Respect
to Immovable Property
Article 445. Whatever is built, planted or sown on
the land of another and the improvements or
repairs made thereon, belong to the owner of the
land, subject to the provisions of the following
articles. (358)

Accession Continua
Accession follows the principal
Incorporation or union must be intimateremoval can cause substantial injury
Effect of good faith and bad faith
o Good faith-exonerates a person from
punitive liability
o Bad faith- may give rise to dire
consequence. He has no right and may
be liable for damages.
Effect where both parties in bad faith-both
will be considered in good faith.
Owner of the land is subsidiary liable to
owner of material.

Article 446. All works, sowing, and planting are

presumed made by the owner and at his expense,
unless the contrary is proved. (359)
Article 447. The owner of the land who makes
thereon, personally or through another, plantings,
constructions or works with the materials of
another, shall pay their value; and, if he acted in
bad faith, he shall also be obliged to the reparation
of damages. The owner of the materials shall have
the right to remove them only in case he can do so
without injury to the work constructed, or without
the plantings, constructions or works being
destroyed. However, if the landowner acted in bad
faith, the owner of the materials may remove them
in any event, with a right to be indemnified for
damages. (360a)

Rules that apply when the owner of the

property uses the materials of another

1. Rights and liabilities of the owner of land

who used materials of another:

A. GOOD FAITH- the owner of the land

becomes the owner of the materials but
he shall pay their value. BUT the owner
of the material can remove them if the
removal can be done without injury to
the plantin etc.,
B. BAD FAITH- the owner of the land
becomes the owner of the materials but
he shall be obliged: 1) to pay their value
and 2) in addition to pay damages. BUT
the owner of the materials may remove
them if the removal may cause injury to
the plantings.
2. Rights and liabilities of the owner of
materials who acted in good faith:
A. If the landowner acted in good faith, the
owner of the materials is entitled to:
o Reimbursement for the value of the
materials or
o To removal of the materials if the
same can be done without injury to
the plantings
B. If the landowner acted in bad faith, the
owner of the materials is entitled
o To indemnification for damages
o To absolute right of removal whether
or not injury would be caused.
3. Rights and liabilities of owners of materials
who acted in bad faith
o Where the landowner is in good faith
and the owner of materials is in bad
faith, the latter would be liable for
any
CONSEQUENTIAL
DAMAGES
without right of removal whether not
injury would be caused
Article 448. The owner of the land on which
anything has been built, sown or planted in good
faith, shall have the right to appropriate as his own
the works, sowing or planting, after payment of the
indemnity provided for in articles 546 and 548, or
to oblige the one who built or planted to pay the
price of the land, and the one who sowed, the
proper rent. However, the builder or planter cannot
be obliged to buy the land if its value is
considerably more than that of the building or
trees. In such case, he shall pay reasonable rent, if
the owner of the land does not choose to
appropriate the building or trees after proper
indemnity. The parties shall agree upon the terms
of the lease and in case of disagreement, the court
shall fix the terms thereof. (361a)

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