Francisco vs Master Iron Works Construction Corp.

(Article 147)

G.R. 151967 | February 16, 2005

J. Callejo Sr.

Facts:

Josefina and Francisco were married. An Affidavit of Waiver was executed by Eduardo where he
declared that before his marriage to Josefina, the latter purchased two parcels of land, including the
house constructed thereon, with her own savings, and that he was waiving whatever claims he had over
the property. Josefina mortgaged the said property for a loan of P157,000.00.

Eduardo, who was then the General Manager and President of Reach Out Trading International,
bought 7,500 bags of cement worth P768,750.00 from Master Iron Works & Construction Corporation
but failed to pay for the same. The latter filed a complaint against Eduardo for the return of the said
commodities, or the value thereof. The trial court rendered judgment in favor of MIWCC.

Josefina filed a Complaint against MIWCC and Sheriff Alejo for a writ of preliminary injunction or
temporary restraining order and alleged that she was the sole owner of the property levied on
execution. She reiterated that her husband, had no right or proprietary interest over the said property
as evidenced by his affidavit of waiver annotated at the dorsal portion of the said title.

Issue:

Is the subject property is the conjugal property of Josefina and Eduardo?

Held:

The petitioner failed to prove that she acquired the property with her personal funds before her
cohabitation with Eduardo and that she is the sole owner of the property. The evidence on record
shows that the executed a deed of absolute sale over the property to the petitioner and titles over the
property were, thereafter, issued to the latter as vendee after her marriage to Eduardo. Since the
subject property was acquired during the subsistence of the marriage of Eduardo and Carmelita, under
normal circumstances, the same should be presumed to be conjugal property.