XXX 5.) Except With Prior Written Consent of The Donor or Its Successor, The Donee
XXX 5.) Except With Prior Written Consent of The Donor or Its Successor, The Donee
It is our will that Jarabini Gonzales-del Rosario and Emiliano Gonzales 2. That before his death, the transfer should be revocable by the transferor at will,
will continue to occupy the portions now occupied by them. ad nutum; but revocability may be provided for indirectly by means of a reserved
power in the donor to dispose of the properties conveyed; and
It is further our will that this DONATION MORTIS CAUSA shall not in any
way affect any other distribution of other properties belonging to any of 3. That the transfer should be void if the transferor should survive the transferee.
us donors whether testate or intestate and where ever situated.
The Court thus said in the same case that the express "irrevocability" of the donation
It is our further will that any one surviving spouse reserves the right, is the "distinctive standard that identi︎fies the document as a donation inter vivos."
ownership, possession and administration of this property herein
donated and accepted and this Disposition and Donation shall be Here, the donors plainly said that it is "our will that this Donation Mortis Causa shall
operative and effective upon the death of the DONORS. be irrevocable and shall be respected by the surviving spouse." The intent to make
the donation irrevocable becomes even clearer by the proviso that a surviving donor
shall respect the irrevocability of the donation. Consequently, the donation was in
reality a donation inter vivos.
The donors in this case of course reserved the "right, ownership, possession, and
administration of the property" and made the donation operative upon their death.
But this Court has consistently held that such reservation (reddendum) in the
context of an irrevocable donation simply means that the donors parted with their
naked title, maintaining only beneficial ownership of the donated property while they
lived.
Notably, the three donees signed their acceptance of the donation, which
acceptance the deed required. This Court has held that an acceptance clause
indicates that the donation is inter vivos, since acceptance is a requirement only for
such kind of donations. Donations mortis causa, being in the form of a will, need not
be accepted by the donee during the donor's lifetime.
Finally, in case of doubt, the conveyance should be deemed a donation inter vivos
rather than mortis causa, in order to avoid uncertainty as to the ownership of the
property subject of the deed.
Since the donation in this case was one made inter vivos, it was immediately
operative and ︎final. The reason is that such kind of donation is deemed perfected
from the moment the donor learned of the donee's acceptance of the donation. The
acceptance makes the donee the absolute owner of the property donated.
Given that the donation in this case was irrevocable or one given inter vivos,
Leopoldo's subsequent assignment of his rights and interests in the property to
Asuncion should be regarded as void for, by then, he had no more rights to assign.
He could not give what he no longer had.
03 Moreño-Lentfer v. Wolf 7. CA: reversed the RTC’s decision. It held that the petitioners are jointly
GR No. 152317 | Nov. 10, 2004 | Donation | Quisumbing | Adarlo and severally liable to pay Wolf.
PETITIONER: Victoria Moreno-Lentfer, Gunter Lentfer, and John Craigie Young 8. Petitioners’ contentions:
Cross a. Wolff did not intend to be reimbursed for the payment of the
RESPONDENT: Hans Jurgen Wolff consideration and that he consented to the same. By virtue
RECIT READY: of Art. 1238, payment by Wolf was considered as a donation.
9. Wolff’s contentions
DOCTRINE: a. Art. 1238 only applies to contracts of loan where payment is
A donation is a simple act of liberality where a person gives freely of a thing or made by a third person to a creditor in favor of a debtor of a
right in favor of another, who accepts it. previously incurred obligation
Art. 748 - If the value of the personal property donated exceeds five thousand b. In this case, there is a contract of sale where no real
pesos, the donation and the acceptance shall be made in writing. Otherwise, creditor-debtor relationship exists between the parties
the donation shall be void.
c. His conduct never intimated any intention to donate in favor
of Victoria
FACTS:
d. The alleged donation is void for non-compliance with the
1. Petitioners’ version: Petitioners allege that Victoria, Gunther, and formal requirements under Art. 748. Since the amount
Cross (petitioners) and Wolff engaged the notarial services of Atty. exceeds P5,000, both the donation and its acceptance must
Dimayacyac for: (1) the sale of a beach house owned by petitioner be in writing to be valid.
Cross in Puerto Galera, and (2) the assignment of Cross' contract of
ISSUE/S:
lease on the land where the house stood.
1. W/N Art. 1238 of the New Civil Code is applicable to the case - NO
a. The sale and assignment of the lease right would be in the 2. W/N the principle of solutio indebiti is applicable to the case - YES, in
name of Victoria, the total consideration of 220,000 favor of Wolff and not the Victoria Moreno-Lentfer
Deutchmarks (DM) would be paid to Wolf. RATIO:
b. Wolf executed a promissory note in favor of Cross 1. W/N Art. 1238 of the New Civil Code is applicable to the case - NO
2. Respondent’s version: Wolf, however, states that the Lentfer spouses
were his confidants who held in trust for him, a time deposit account, The facts of the case show the absence of intention to be reimbursed which
in the amount of DM 200,000 at Solid Bank. is the qualifying circumstance in Art. 1238. Wolff’s acts contradict any
3. Knowing Wolff’s interest to own a house along the beach, the Lentfer intention to donate the properties to Victoria. When Wolff learned of the deed
spouses urged him to buy Cross’ beach house and lease rights in of sale and assignment of lease rights made in favor of Victoria, the former
Puerto Galera. Wolf agreed and paid Cross the amount of DM immediately filed for the annulment of sale and reconveyance of property.
221,700 as total consideration for the sale and assignment of lease Wolff is not even related to the Lentfer spouses. Wolff only trusted the
rights. Lentfer spouses to keep a time deposit account for him for the purpose of
4. However, petitioners and Atty. Dimayacyac surreptitiously executed a buying the beach house.
deed of sale where it was made to appear that it was sold to Victoria
for only P100,000, along with the assignment of lease. The petitioners’ claim of donation likewise fails. A donation is a simple act of
5. When Wolff learned of the same, he filed a complaint for the liberality where a person gives freely of a thing or right in favor of another,
annulment of sale and the reconveyance of property with damages. who accepts it. But when a large amount of money is involved, equivalent to
6. RTC dismissed the case for failure to establish a cause of action. P3,297,800, based on the exchange rate in the year 1992, we are constrained
to take the petitioners' claim of liberality of the donor with more than a grain
of salt.
Since the subject of donation is the purchase money, Art. 748 of the New
Civil Code is applicable. Accordingly, the donation of money equivalent to
P3,297,800 as well as its acceptance should have been in writing. It was not.
Hence, the donation is invalid for non-compliance with the formal requisites
prescribed by law.
2. W/N the principle of solutio indebiti is applicable to the case - YES, in
favor of Wolf not Victoria
Solutio indebiti applies in the following cases where (1) a payment is made
when there exists no binding relation between the payor, who has no duty to
pay, and the person who received the payment, and (2) the payment is made
through mistake, and not through liberality or some other cause.
Records show that a bank-to-bank payment was made by Wolff to Cross in
favor of co-petitioner Moreño-Lentfer. Respondent was under no duty to
make such payment for the benefit of Moreño-Lentfer. There was no binding
relation between respondent and the beneficiary, Moreño-Lentfer. The
payment was clearly a mistake. Since Moreño-Lentfer received something
when there was no right to demand it, she had an obligation to return it.
Following Article 2221 of the New Civil Code, two conditions must concur to
declare that a person has unjustly enriched himself or herself, namely: (a) a
person is unjustly benefited, and (b) such benefit is derived at the expense of
or to the damage of another.22
We are convinced petitioner Moreño-Lentfer had been unjustly enriched at
the expense of Wolf. She acquired the properties through deceit, fraud and
abuse of confidence. The principle of justice and equity does not work in her
favor but in favor of Wolff. Whatever she may have received by mistake from
and at the expense of Wolff should thus be returned to the latter, if the
demands of justice are to be served.
Wolff is entitled to the reconveyance of the properties since the
constitutional prohibition against aliens owning land does not apply as the
subject properties are a beach house and a lease right over the land.
Villanueva v. Froilan
of dispositions are resolved to favor inter vivos transfers "to avoid uncertainty as to
72804 | January 24, 2011 | Nature of Donation | Carpio | Da Silva
GR No. 1 the ownership of the property subject of the deed."
Petitioner: GONZALO VILLANUEVA, REPRESENTED BY HIS HEIRS
POUSES FROILAN AND LEONILA BRANOCO
Respondents: S
FACTS:
Recit-Ready: Gonzalo Villanueva represented by his heirs, sued the Spouses Froilan 1. Petitioner Gonzalo Villanueva (petitioner), here represented by his heirs, sued
and Leonila to recover land in Leyte and collect damages. They claim ownership spouses Froilan and Leonila Branoco (respondents), in the Regional Trial
through purchase from one Casimiro Vere who bought the property from Alvegia Court of Naval, Biliran to recover a 3,492 square-meter parcel of land in
Rodrigo. The respondent spouses on the otherhand, claim ownership through Amambajag, Culaba, Leyte and collect damages. Petitioner claimed
purchase from one Eufracia Rodriguez, to whom Rodrigo donated the property prior ownership over the Property through purchase in July 1971 from Casimiro
to the contract of sale over the contested land between Rodrigo and Vere. It is Vere, who, in turn, bought the Property from Alvegia Rodrigo in August 1970.
claimed by the petitioners that the donation by Rodrigo to Rodriguez was a donation Petitioner declared the Property in his name for tax purposes soon after
mortis causa which was cancelled by Rodrigo when she sold the property to Vere. acquiring it.
Thus, the petitioners claimed that by the time Rodriguez sold the disputed property, 2. Respondents similarly claimed ownership over the Property through
there was no title to transfer. The issue in this case is whether or not Rodrigo’s act of purchase in July 1983 from Eufracia Rodriguez to whom Rodrigo donated
gratuitously transferring title of the property to Rodriguez was a donation mortis the Property in May 1965.
causa. The Court here held that it wasn’t. They found that it was a perfected 3. The trial court rejected respondents' claim of ownership after treating the
donation inter vivos. The Court pointed to three reasons why this was so. Deed as a donation mortis causa which Rodrigo effectively cancelled by
First,.Rodrigo stipulated that "if the herein Donee predeceases me, the Property will selling the Property to Vere in 1970.Thus, by the time Rodriguez sold the
not be reverted to the Donor, but will be inherited by the heirs of x xx Rodriguez," Property to respondents in 1983, she had no title to transfer.
signaling the irrevocability of the passage of title to Rodriguez's estate, waiving 4. Respondents appealed to the Court of Appeals, where the CA found that the
Rodrigo's right to reclaim title. This transfer of title was perfected the moment Deed as a testamentary disposition was instead a donation inter vivos.
Rodrigo learned of Rodriguez's acceptance of the disposition. Second, what Rodrigo Accordingly, the CA upheld the sale between Rodriguez and respondents,
reserved for herself was only the beneficial title to the Property, evident from and, conversely found the sale between Rodrigo and petitioner's
Rodriguez's undertaking to "give one half of the produce of the land to Apoy Alve predecessor-in-interest, Vere, void for Rodrigo's lack of title.
during her lifetime." Thus, the Deed's stipulation that "the ownership shall be vested
on Rodriguez upon my demise," taking into account the non-reversion clause, could ISSUE/S:
only refer to Rodrigo's beneficial title. And third, the existence of consideration other
than the donor's death, such as the donor's love and affection to the donee and the W/N Rodrigo’s act of gratuitously transferring title to Rodriguez was a donation
services the latter rendered, while also true of devises, nevertheless "corroborates mortis causa – NO.
the express irrevocability of inter vivos transfers.
The petitioner cannot capitalize on Rodrigo's post-donation transfer of the Property to
Vere as proof of her retention of ownership. If such were the barometer in interpreting
deeds of donation, not only will great legal uncertainty be visited on gratuitous
dispositions, this will give license to rogue property owners to set at naught perfected
transfers of titles, which, while founded on liberality, is a valid mode of passing
ownership. The interest of settled property dispositions counsels against licensing
such practice.
"Art. 148. In cases of cohabitation not falling under the preceding Article, *DONATION
only the properties acquired by both of the parties through their actual joint
contribution of money, property, or industry shall be owned by them in Under the circumstances, therefore, the purchase and the subsequent registration of
common in proportion to their respective contributions. In the absence of the realty in petitioner’s name was tantamount to a donation by Rodolfo to Milagros.
proof to the contrary, their contributions and corresponding shares are By express provision of Article 739(1) of the Civil Code, such donation was void,
presumed to be equal. The same rule and presumption shall apply to joint because it was "made between persons who were guilty of adultery or concubinage
deposits of money and evidence of credit. at the time of the donation."
Thus, when a common-law couple have a legal impediment to marriage, only the
property acquired by them -- through their actual joint contribution of money, property
or industry -- shall be owned by them in common and in proportion to their respective
contributions.
[06] SECRETARY OF EDUCATION v. HEIRS OF DULAY 4. Hence, the respondents, filed a complaint for the revocation of the deed of
GR No. 164748 | 27 January 2006 | Prescription of Donation | Uy donation and cancellation of the title, alleging that (1) there was a condition in
Petitioner: THE SECRETARY OF EDUCATION and DR. BENITO TUMAMAO, Schools the deed of donation that the DECS, as donee, utilize the subject property for
Division Superintendent of Isabela school purposes, that is, the construction of a building to house the Rizal
Respondents: HEIRS OF RUFINO DULAY, SR., represented by IGNACIA VICENTE, National High School, (2) the DECS did not fulfill the condition and that the land
RUFINO DULAY, JR., SUSANA DULAY, ADELAIDA DULAY, LUZVIMINDA DULAY and remained idle up to the present.
CECILIA DULAY 5. However, the petitioners argued that (a) the DECS complied with said condition
because the land was being used by the school as its technology and home
Recit-Ready: economics laboratory; (b) the donation was not inofficious for the donors were
Spouses. Dulay donated a 10,000 sum parcelof land in Isabela in favour of of the the owners of five other parcels of land, all located at Rizal, Santiago City; (c) the
Ministry of Education and Culture to be used to construct the national high action has prescribed.
school. After more than 13 years, the land remains idled and unutilized. Hence,
respondent filed for the revocation of the donation. The SC held that the donation ISSUE:
may still b e revoked for failure to comply with the condition therein and the W/N the respondents' right to seek the revocation of the deed of donation is already
action has not prescribed. Since such failure to comply with the condition of barred by prescription and laches - NO.
utilizing the property for school purposes became manifest sometime in 1988
when the DECS utilized another property for the construction of the school RATIO:
building, the four-year prescriptive period did not commence on such date. The right to seek the revocation of donation had not yet prescribed when
Further, Under Article 733 of the New Civil Code, a donation with an onerous cause respondents filed their complaint
is essentially a contract and is thus governed by the rules on contract.
The SC rejected the contention of the OSG that respondents’ cause of action is
already barred by prescription under Article 764 of the New Civil Code, or four years
Doctrine: from the non-compliance with the condition in the deed of donation. Since such
Under Article 733 of the New Civil Code, a donation with an onerous cause is failure to comply with the condition of utilizing the property for school purposes
essentially a contract and is thus governed by the rules on contract. became manifest sometime in 1988 when the DECS utilized another property for the
construction of the school building, the four-year prescriptive period did not
since a deed of donation is considered a written contract, it is governed by Article commence on such date. Petitioner was given more than enough time to comply
1144 of the New Civil Code, which provides that the prescriptive period for an with the condition, and it cannot be allowed to use this fact to its advantage. It must
action arising from a written contract is ten (10) years from the time the cause of be stressed that the donation is onerous because the DECS, as donee, was burdened
action accrues. In the case of donation, the accrual of the cause of action is from with the obligation to utilize the land donated for school purposes. Under Article 733
the expiration of the time within which the donee must comply with the of the New Civil Code, a donation with an onerous cause is essentially a contract and is
conditions or obligations of the donation. thus governed by the rules on contract.
FACTS:
Since a deed of donation is considered a written contract, it is governed by Article
1. Spouses Dulay executed a deed of donation over a 10,000-sqm portion of their
1144 of the New Civil Code, which provides that the prescriptive period for an action
property in favor of the Ministry of Education and Culture.
arising from a written contract is ten (10) years from the time the cause of action
2. Sometime in 1988, the DECS, through its Secretary, started construction of the
accrues. In the case of donation, the accrual of the cause of action is from the
Rizal National High School building on a parcel of land it acquired from
expiration of the time within which the donee must comply with the conditions or
Alejandro Feliciano. The school site was about 2 kms away from the land
obligations of the donation. In the instant case, however, it must be noted that the
donated by the spouses Dulay.
subject donation ︎fixed no period within which the donee can comply with the
3. The Sps. Dulay requested that the property be returned to them considering that
the land was never used since 1981, or a period of more than 13 years. The condition of donation. As such, resort to Article 1197 of the New Civil Code is
Barangay Council of Rizal, Santiago City issued Resolution No. 397 recognizing necessary. Said article provides that if the obligation does not ︎x a period, but from its
the right of the donors to redeem the subject parcel of land because of the nature and the circumstances it can be inferred that a period was intended, the
DECS’ failure to utilize it for the intended purpose. courts may ︎fix the duration thereof.
07 Dolar v. Barangay Lublub
Doctrine:
GR No. 152663 | Nov. 18, 2005 | Revocation and Reduction | Garcia | Adarlo
If the corresponding contract of donation expressly provides for automatic
Petitioner: Edgardo D. Dolar rescission and/or reversion in case of breach of the condition therein, and the
Respondents: Barangay Lublub (now P.D. Monfort North) of the Municipality donee violates or fails to comply with the condition, the donated property
of Dumangas, herein represented by its Punong Barangay, Pepito Dua, PLDT, reverts back automatically to the donor. Where, however, the donee denies
Dumangas Water District, 4th Iloilo Mobile Group, Iloilo Provincial Police, Iloilo the rescission or challenges the propriety thereof, then only the final award of
RTC Branch 68 the court can "conclusively settle whether the resolution is proper or not."
An action to revoke under Art. 764 prescribes after four (4) years from
Recit-Ready: non-compliance by the donee with any of the conditions set forth in the deed
Dolar and Jaranilla donated Lot No. 1 in favor of Brgy. Lublub. The Deed of of donation.
Donation stated that the area shall be for the purpose of constructing
buildings and/or establishing a public plaza, sports complex, public market, FACTS:
health centers and the like for the use of Brgy. Lublub. It likewise stated that if 1. Dolar and Jaranilla were co-owners of a parcel of land (|Lot No. 1)
the said stipulation is not followed within 5 years from the execution of the situated in Brgy. Lublub, Dumangas, Iloilo. In 1981, Dolar and
deed, the deed will have no force and effect and the ownership will revert Jaranilla donated Lot No. 1 to Brgy. Lublub subject to the following
back to the donors. After the acceptance of the donation, the barangay took conditions:
possession of the property which became the site of government office a. Area donated is for the purpose of constructing buildings
buildings and recreational facilities. The barangay’s peaceful possession was and/or establishing a public plaza, sports complex, public
then disturbed when the donated area was included in the published list of market, health centers and the like for the use of Brgy.
tax delinquent properties for disposition. At the auction sale, the petitioner Lublub
was the highest bidder and was awarded the property. The petitioner then b. Construction and development of the are shall be initiated
filed a complaint against Brgy. Lublub for Quieting of Title and Recovery of and completed within 5 years from the execution of the Deed
Possession involving the property donated. He claimed that Brgy. Lublub of Donation, should the same not be made or completed the
failed to comply with the conditions of the Deed of Donation. The RTC Deed shall have no force and effect, and the ownership will
dismissed the complaint stating that the petitioner’s action was already revert back to the donors
barred by prescription. The Court held that the donation and subsequent c. Should the use of the area be converted to uses other than
acceptance are valid. It likewise held that the donation was not automatically those mentioned, the deed shall be deemed revoked and
revoked. It states that if the corresponding contract of donation expressly ownership shall revert to the donor
provides for automatic rescission and/or reversion in case of breach of the 2. Militar, the Barangay Captain, accepted the donation on behalf of the
condition therein, and the donee violates or fails to comply with the condition, barangay. Following the execution of the deed, Brgy. Lublub took
the donated property reverts back automatically to the donor. Where the possession of the property. In the following years, government office
donee denies, as here, the rescission or challenges the propriety thereof, then buildings and recreational facilities were constructed on the donated
only the final award of the court can, "conclusively settle whether the property,
resolution is proper or not." Moreover, petitioner’s action to revoke the 3. Eight years after the execution of the Deed of Donation, Dolar was
donation has already prescribed. When Dolar filed the complaint, 17 years issued TCT No. T-129837 by the RD. In June 1989, Dolar then
had already passed since the Deed of Donation had been executed, which is executed another deed donating the same property to Brgy. Lublub
far too removed from the prescriptive period provided in Art. 764 or the with the same conditions.
10-year period under Art. 1144.
4. The barangay’s peaceful possession was then disturbed when the d. deed of donation having been executed in 1981 yet, the
donated area was included in the published list of tax delinquent donee . . . took possession of the same in concept of an
properties for disposition. At the auction sale, Dolar was the highest owner, with just title, adverse, open, peaceful and
bidder and was awarded the property. continuously up to the present. Hence, even if the donation is
5. Dolar then filed a complaint against Brgy. Lublub for Quieting of Title void or conditions were not complied with, the property is
and Recovery of Possession involving the property donated. He now owned by the donee, - as it can be considered that it has
states that: been acquired by prescription.
a. The barangay failed to build or establish within the period 8. The trial court held that Dolar’s action has already been barred by
provided a public plaza, sports complex etc. for the use of extinctive prescription under Art. 764.
the barangay
b. The barangay allowed the use of the area donated to be
converted to uses other than those provided in the deed ISSUE/S & RATIO:
c. Due to the failure of the barangay to declare the lot in its 1. W/N his action is one for revocation of donation instead of for
name for taxation purposes, the same was sold at a public quieting of title; whether or not the action for quieting has prescribed
auction. - The action was for the revocation of donation
d. The donation has automatically lost its force and effect and
the ownership has reverted to Dolar or the donation was As correctly observed by the RTC, Dolar’s complaint seeks for a judgment
deemed automatically revoked declaring him the absolute owner of the donated property, which necessarily
e. Allowing the construction by public and private entities has includes the revocation of the deed of donation in question. Verily, a
cast a cloud on the title declaration of petitioner' absolute ownership appears legally possible only
6. In its defense, Brgy. Lublub states that: when the deed of donation is contextually declared peremptorily revoked.
a. The donation was made and accepted on the same public
instrument duly notarized by a Notary Public An action to revoke under Art. 764 prescribes after four (4) years from
b. Acceptance was made by the Brgy. Captain with authority non-compliance by the donee with any of the conditions set forth in the
from the Brgy. Council deed of donation. A little less than seventeen (17) years separate September
c. The buildings/ structures were for the use and benefit of 16, 1981, when the Deed of Donation was executed, from May 6, 1998, when
Brgy. Liblub Dolar filed his complaint in Civil Case No. 98-033. Seventeen (17) years is, in
7. In its Motion to Dismiss, Brgy. Lublub states that: turn, too far removed from the 4-year prescriptive period referred to in Article
a. Dolar proceeded with the complaint without first seeking 764 or even from the 10-year period under Article 1144.
revocation of the deed of donation in a proper court as
provided for under Art. 764 Respondent barangay traces its claim of ownership over the disputed
b. Dolar unilaterally revoked the deed of donation and property to a valid contract of donation which is yet to be effectively revoked.
proceeded with the filing of the complaint with the Such rightful claim does not constitute a cloud on the supposed title of
assumption that the donation was already validly revoked petitioner over the same property removable by an action to quiet title. The
c. The deed was executed on Sept. 16, 1981. Even if the donee remedy afforded in Article 476 of the Civil Code is unavailing until the
failed to comply with the conditions of the deed within 5 yrs. donation shall have first been revoked in due course under Article 764 or
or until 1986, Dolar should have sought revocation within 4 Article 1144 of the Code.
years from 1986 or until 1990 only
The rule on the imprescriptibility of actions to quiet title admits of in the nature of an agreement granting a party the right to rescind a contract
exceptions. The trial court correctly mentioned one, referring to a situation in case of breach, without need of going to court and that upon the
where the plaintiff in an action to quiet title is not in actual possession of the happening of the resolutory condition or non-compliance with the conditions
land. In the case at bench, petitioner is not in possession of the property. of the contract, the donation is automatically revoked without need of a
Dolar is even asking in his complaint for the recovery of possession of the judicial declaration to that effect. Where, however, the donee denies, as here,
donated property. the rescission or challenges the propriety thereof, then only the final award of
the court can, to borrow from University of the Philippines v. de los Angeles,
Respondent barangay had, under the terms of the deed of donation, five (5) "conclusively settle whether the resolution is proper or not."
years from the execution of the conveying deed in September 1981, or up
September 1986, within which to introduce and complete the contemplated Roman Catholic Archbishop of Manila v. CA:
development of the donated area. Following Article 764 of the Civil Code, When a deed of donation, . . . expressly provides for automatic
petitioner had four (4) years from September 1986, or up to September 1990, revocation and reversion of the property donated, the rules on
within which to seek the revocation of the subject donation on the ground of contract and the general rules on prescription should apply, and not
breach of contract. Article 764 of the Civil Code. Since Article 1306 of said Code
authorizes the parties to a contract to establish such stipulations, . . .
2. W/N the deed of donation in question is (a) valid for defective not contrary to law, . . . public order or public policy, we are of the
acceptance and/or (b) no longer effective by reason of the opinion that, at the very least, that stipulation of the parties providing
automatic reversion clause therein. - (a) YES & (b) NO for automatic revocation of the deed of donation, without prior
Validity of the donation & acceptance judicial action for that purpose, is valid subject to the determination
Dolar states that the donation is void for the lack of authority of the Barangay of the propriety of the rescission sought. Where such propriety is
Captain to accept the same, citing Section 88 of BP. 337 — the law then in sustained, the decision of the court will be merely declaratory of the
force — and Sections 91 and 389 the Local Government Code of 199. revocation, but it is not in itself the revocatory act.
Dolar is hardly the proper party to challenge the validity of the acceptance of In the case at bench, it cannot be gainsaid that respondent barangay denied
the donation – which is presumed to be valid – on the ground he invokes. or challenged the purported revocation of the donation. In fact, the denial or
The honor to question the Barangay Captain’s ultra vires act belongs to the challenge is embodied in respondent barangay's complaint iand in its Answer
Sanggunian of P.D. Monfort North. Even assuming that the petitioner has the cum motion to dismiss in Civil Case 98-033, which similarly prayed for the
legal standing to raise such a question, the final answer would still lean cancellation of petitioner's title on the subject property.
towards the validity of the donation. From the allegations of the parties, it
appears that the Sanggunian of Lublub and the subsequent Sanggunian of 3. W/N respondent barangay had acquired the property in question by
P.D. Monfort North neither repudiated the acceptance of the donation nor acquisitive prescription.
acted in opposition to the donation. The enjoyment of the benefits of the Adverse, continuous and long possession of a piece of real property cannot
donation effectively ratified the acceptance of the donation. defeat the title of a registered owner. But, then, this postulate presupposes a
Torrens title lawfully acquired and issued. As may be recalled, however,
Donation still effective respondent barangay filed a case for the Cancellation of Title,
If the corresponding contract of donation expressly provides for automatic Reconveyance/Issuance of Title precisely because of the dubious manner by
rescission and/or reversion in case of breach of the condition therein, and which petitioner allegedly acquired his TCT No. T-129837 over a lot he
the donee violates or fails to comply with the condition, the donated property admits donating.
reverts back automatically to the donor. Such provision, De Luna teaches, is
Parenthetically, petitioner's contention that the donation was invalid because
it was not registered in the Registry of Property deserves no merit. For, as
between the parties to the donation and their assigns, the registration of the
deed of donation with the Registry of Deeds is not needed for its validity and
efficacy.
09 NOCEDA v. CA 1. On June 1, 1981, private respondent Aurora Directo, petitioner Rodolfo
GR No. 119730 | September 2, 1999 | Revocation and Reduction | J. Gonzaga-Reyes | Noceda, and Maria Arbizo, the daughter, grandson, and widow, respectively,
Narciso of the late Celestino Arbizo, extrajudicially settled a parcel of land.
Petitioner: RODOLFO NACEDA 2. Directo’s share was 11,426 square meters, Noceda got 13,294 square
Respondents: C OURT OF APPEALS and AURORA ARBIZO DIRECTO meters, and the remaining 41,810 square meters went to Maria Arbizo. On
the same date, Directo donated 625 square meters of her share to Noceda,
Recit-Ready: Directo, Noceda, and Arbizo extrajudicially settled a parcel of land. On who is also her nephew.
the same date, Directo donated 625 square meters of her share to Noceda, who is 3. However, on August 17, 1981, another extrajudicial settlement-partition of
her nephew being the son of her deceased sister, Carolina. On August 17, 1981, the Lot 1121 was executed by plaintiff Directo, Noceda, and Arbizo. Three fifths
same parties executed another extrajudicial-settlement partition of the same lot. 3/5 of the said land went to Maria Arbizo while Directo and Noceda got only
of the said land went to Arbizo while Directo and Noceda got only 1/5 each. onefifth each. In said extrajudicial settlement-partition as well as in the Tax
Sometime in 1981, Noceda constructed a house on the land donated to him by De claration 16-0032 over Lot 1121 in the name of the late Celestino Arbizo,
Directo. Directo fenced the portion allotted to her in the extrajudicial settlement, the said parcel of land was said to have an area of only 29,845 square
excluding the donated lot and constructed thereon 3 huts. However, in 1985, Noceda meters.
removed the fence earlier constructed by Directo and occupied the 3 huts and
4. Noceda later constructed his house on the land donated to him by Directo.
fenced the entire lot of Directo without her consent. Directo demanded from Noceda
to vacate her land, but the latter refused. Directo filed a complaint for recovery of 5. Directo, on the other hand, fenced the portion allotted to her in the
possession and rescission/annulment of donation, against Noceda before the trial extrajudicial settlement, excluding the donated portion, and constructed
court. The RTC rendered a decision in favor of Directo, ordered Noceda to vacate and thereon three huts.
reconvey the property to Directo and also declared the extrajudicial settlement dated
6. However, said fence was later removed by Noceda, occupied the three huts
August 17, 1981 valid and revoked the Deed of Donation dated June 1, 1981. The CA and fenced the entire land of Directo without her consent.
affirmed the trial court. The issue is W/N the deed of donation should be revoked.
The Court affirms the rulings of the lower court. Noceda contends that the action to 7. Directo demanded that Noceda vacate her land, but the latter refused. Thus,
enforce the revocation has already prescribed since the usurpation took place in Directo filed a complaint for the recovery of possession and ownership and
September 1985 while the complaint was filed on September 16, 1986, thus more rescission/annulment of donation.
than 1 year has passed. However, the Court held that the donor must file the action
8. RTC: It declared valid the extrajudicial partition and further held that the
to revoke his donation within one year from the time he had knowledge of the deed of donation be revoked. It further ordered Noceda to vacate and
ingratitude of the donee. Also, it must be shown that it was possible for the donor to reconvey that donated portion to Directo, and to remove the house built
institute the said action within the same period. inside the donated portion at his expense or pay a monthly rental of
P300.00.
The concurrence of these two requisites must be shown by defendant Noceda in
order to bar the present action. Defendant Noceda failed to do so. He reckoned the 9. CA: It affirmed the decision of the trial court.
one year prescriptive period from the occurrence of the usurpation of the property of
plaintiff Directo in the first week of September, 1985, and not from the time the latter 10. Noceda’s contentions: Granting that the revocation is proper, the right to
had the knowledge of the usurpation. enforce the same had already prescribed since as admitted by Directo,
Noceda usurped her property in the first week of September 1985 while the
Doctrine: Art. 769 of the New Civil Code states that: "The action granted to the donor complaint for revocation was filed on September 16, 1986, thus more than 1
by reason of ingratitude cannot be renounced in advance. This action prescribes year had passed from the alleged usurpation.
within one year to be counted from the time the donor had knowledge of the fact and
it was possible for him to bring the action." ISSUE/S: W/N the deed of donation should be revoked ( YES)
RATIO: The Court upholds the findings of the lower courts that the deed of donation
FACTS: should be revoked.
Art. 769 of the New Civil Code states that: "The action granted to the donor
by reason of ingratitude cannot be renounced in advance. This action
prescribes within one year to be counted from the time the donor had
knowledge of the fact and it was possible for him to bring the action."
The concurrence of these two requisites must be shown by defendant Noceda in
order to bar the present action. Defendant Noceda failed to do so. He reckoned the
one year prescriptive period from the occurrence of the usurpation of the property of
plaintiff Directo in the first week of September, 1985, and not from the time the latter
had the knowledge of the usurpation. Moreover, defendant Noceda failed to prove
that at the time plaintiff Directo acquired knowledge of his usurpation, it was possible
for plaintiff Directo to institute an action for revocation of her donation.
The action to revoke by reason of ingratitude prescribes within one (1) year to be
counted from the time (a) the donor had knowledge of the fact; (b) provided that it
was possible for him to bring the action.
It is incumbent upon Noceda to show proof of the concurrence of these two
conditions in order that the 1 year period for bringing the action be considered to have
already prescribed. No competent proof was adduced by Noceda to prove his
allegation. In Civil Cases, the party having the burden of proof must establish his case
by preponderance of evidence. He who alleges a fact has the burden of proving it and
a mere allegation is not evidence.