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Understanding Property Types and Classifications

1. The document discusses the definition and classification of property under Philippine civil law. Property is divided into immovable (real) property and movable (personal) property. 2. Immovable property includes land, buildings, trees, structures permanently attached to land, and contractual rights over immovable property. Movable property includes all other objects that are not classified as immovable. 3. Immovable property is further classified into property that is immovable by nature, by incorporation, by destination, or by law based on characteristics like permanence of attachment or designation by the owner. This classification determines rules for acquisition of ownership and other rights.

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Kael Reyes
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0% found this document useful (0 votes)
193 views8 pages

Understanding Property Types and Classifications

1. The document discusses the definition and classification of property under Philippine civil law. Property is divided into immovable (real) property and movable (personal) property. 2. Immovable property includes land, buildings, trees, structures permanently attached to land, and contractual rights over immovable property. Movable property includes all other objects that are not classified as immovable. 3. Immovable property is further classified into property that is immovable by nature, by incorporation, by destination, or by law based on characteristics like permanence of attachment or designation by the owner. This classification determines rules for acquisition of ownership and other rights.

Uploaded by

Kael Reyes
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Property B.

Elements

A. Definition; distinguished from things • Must be susceptible of appropriation


• Utility (Can serve as means to satisfy human needs)
Article 414. All things which are or may be the object of • Substantivity or individuality (Must have autonomous and
appropriation are considered either: separate existence)

(1) Immovable or real property; or C. Classification: Relevance

(2) Movable or personal property. (333) • Immovable or movable (consumable or non-consumable)


• Public Domain or Private Ownership
• Property has no exact definition under the Civil Code but
implies that the concept refers to things which are susceptible Relevance:
of appropriation.
• Concept of Property under the Civil Code: Property is not For purposes of applying the rules of acquisitive prescription:
confined to things which are already appropriated or The ownership of movables prescribes through uninterrupted
possessed by man but also extends to those susceptible of such possession for four years in good faith or through uninterrupted
appropriation although not yet appropriated. possession for eight years, without need of any other condition.
• Property is derived from the Latin word proprius meaning Ownership and other real rights over immovable property, on the
belonging to one or one’s own. other hand, are acquired by ordinary prescription through
• Relation which the object has with the person exercising possession of ten years or thirty years, without need of title or of
dominion or right over it. good faith.
• Traditional Concept: Concept of property is limited (because
it extends only to those which are possessed and found in the In determining the propriety of the object of the contracts of
possession of man) compared to the concept of things, which pledge, chattel mortgage and real estate mortgage: Only
extent to all objects that exist, whether it is already in the movables can be the object of the contracts of pledge and chattel
possession of man or not. mortgage. On the other hand, only immovables can be the object
of a real estate mortgage contract. As a consequence, should the
Things are objects external to man. Concept of things under the parties execute a chattel mortgage over a real property, the same
Civil Code are not limited to corporeal objects (objects which can is null and void and registration of the instrument in the Registry
be perceived by the senses). Concept also extends to those which of Property does not validate it insofar as third parties are
have only an intellectual or juridical existence. Things embrace concerned.
material objects and rights.
For purposes of determining the formalities of a donation: If
the value of the personal property donated exceeds P5,000.00, the
donation and the acceptance are required to be in writing;
otherwise, the donation is void. In order that the donation of an a manner that it reveals the intention to attach them permanently to the
immovable property may be valid, it must be made in a public tenements;
document, as well as the acceptance thereof.
(5) Machinery, receptacles, instruments or implements intended by the
owner of the tenement for an industry or works which may be carried
In extrajudicial deposit: Only movable things may be the object of on in a building or on a piece of land, and which tend directly to meet
extrajudicial deposit. the needs of the said industry or works;

In crimes of theft, robbery and usurpation: Only personal property (6) Animal houses, pigeon-houses, beehives, fish ponds or breeding
places of similar nature, in case their owner has placed them or pre-
can be the object of the crimes of theft and robbery. However, the serves them with the intention to have them permanently attached to
crime of usurpation defined in Article 312 of the Revised Penal Code the land, and forming a permanent part of it; the animals in these
can be committed only with respect to a real property. places are included;

For purposes of determining the venue in remedial law: In the law (7) Fertilizer actually used on a piece of land;
of procedure, it is important to know the classification of property for
purposes of venue. If the action affects title to or possession of real (8) Mines, quarries and slug dumps, while the matter thereof forms part
of the bed, and waters either running or stagnant;
property, or interest therein, the action (referred to as “real action”)
must be filed in the proper court wherein the real property involved,
(9) Docks and structures which, though floating, are intended by their
or a portion thereof, is situated. All other actions (referred to as nature and object to remain at a fixed place on a river, lake, or coast;
“personal action”) may be commenced and tried where the plaintiff or
the defendant resides, at the election of the plaintiff. (10) Contracts for public works, and servitudes and other real rights
over immovable property. (334a)
1. Immovable or Real Property
1. Immovable by nature — those which by their essence and
Art. 415. The following are immovable property: nature are immovable or cannot be moved from one place to
another, such as lands and roads in paragraph 1 of Article
(1) Land, buildings, roads and constructions of all kinds adhered to the 415 and mines, quarries and slug dumps in paragraph 8 of
soil;
Article 415.
(2) Trees, plants, and growing fruits, while they are attached to the land
2. Immovable by incorporation — those which are treated as
or form an integral part of an immovable; immovable by reason of their attachment or incorporation to
an immovable in such manner as to be an integral part
(3) Everything attached to an immovable in a fixed manner, in such a thereof, such as buildings and constructions of all kinds
way that it cannot be separated therefrom without breaking the material adhered to the soil mentioned in paragraph 1 of Article 415;
or deterioration of the object; trees, plants and growing fruits mentioned in paragraph 2 of
Article 415 while they are still attached to the land or form
(4) Statues, reliefs, paintings or other objects for use or ornamentation, an integral part of an immovable; and those that are attached
placed in buildings or on lands by the owner of the immovable in such
to an immovable in the manner provided for in paragraph 3 2. Consumable and Non-Consumable
of Article 415.
3. Immovable by destination — those which are essentially Art. 418. Movable property is either consumable or non-consumable.
movable, but by the purpose for which they have been To the first class belong those movables which cannot be used in a
manner appropriate to their without their being consumed; to the
placed in an immovable, partake of the nature of the latter second class belong all the others. (337)
because of the added utility derived therefrom, such as those
mentioned in paragraphs 4, 5, 6, 7 and 9 of Article 415; and
As defined, a consumable is a movable which cannot be used in a
4. Immovable by analogy or by law — those that are manner appropriate to its nature without itself being consumed. For
mentioned in paragraph 10 of Article 415. example, a cigarette cannot be used in a manner appropriate to its
nature, i.e., for smoking, without itself being consumed. A non-
Movable of Personal Property consumable, on the other hand, is a movable which can be used in a
manner appropriate to its nature without itself being consumed. An
Art. 416. The following things are deemed to be personal property: example of a non-consumable is table which can be used in the
manner appropriate to its nature and, yet, it will not be consumed.
(1) Those movables susceptible of appropriation which are not
included in the preceding article;
On the other hand, the basis of the classification of movables into
(2) Real property which by any special provision of law is consid- ered fungible or non-fungible is simply the intention of the parties. The
as personalty; movable is classified as fungible if, by the intention of the parties, it
can be replaced by another of the same kind; otherwise, it is a non-
(3) Forces of nature which are brought under control by science; and fungible.

(4) In general, all things which can be transported from place to place 3. Other Classification
without impairment of the real property to which they are fixed. (335a)

Art. 417. The following are also considered as personal property:

(1) Obligations and actions which have for their object movables or 4. Property of Public Dominion; of Private Ownership
demandable sums; and
Art. 419. Property is either of public dominion or of private ownership.
(2) Shares of stock of agricultural, commercial and industrial enti- ties, (338)
although they may have real estate. (336a)
From the viewpoint of ownership, the Civil Code classifies
In general, all things susceptible of appropriation which can be properties, as follows: (1) in relation to the State, its properties are
transported from place to place without impairment of the real either of public dominion or patrimonial properties; (2) in relation to
property to which they are fixed and not included in the enumeration the political subdivisions (provinces, cities and municipalities), their
in Article 415 are classified as “personal” or “movable” property. properties are either of public dominion (for public use) or
patrimonial properties; (3) in relation to persons and entities other Characteristics:
than the State and its political subdivisions (or private persons, either
individually or collectively), their properties are denominated as that • Outside the Commerce of Man
of private ownership. • Not susceptible to private appropriation and acquisitive
prescription
a) Property of the state • Not subject to attachment and execution
• Cannot be burdened by voluntary easements
Art. 420. The following things are property of public dominion:
Art. 421. All other property of the State, which is not of the character
(1) Those intended for public use, such as roads, canals, rivers, stated in the preceding article, is patrimonial property. (340a)
torrents, ports and bridges constructed by the State, banks, shores,
road- steads, and others of similar character;
All other property of the State, which is not of the character stated in
Article 420 of the New Civil Code, is patrimonial property.256 It is
(2) Those which belongs to the State, without being for public use, and
are intended for some public service or for the development of the considered as a property of the State in what may be called the
national wealth. (339a) private sense.257 It is said that over this kind of property the State has
the same rights and has the same power of disposition as private
Kinds: individuals subject, of course, to existing rules and regulations.258
Thus, in Chavez v. Public Estates Authority,259 the Court held that
(1) those that are intended for public use; “government owned lands, as long they are patrimonial property,
can be sold to private parties, whether Filipino citizens or qualified
(2) those that are intended for some public service; and private corporations.”

(3) those that are intended for the development of national wealth Ex.

In a sense, the term “public dominion” means ownership by the Friar Lands
public in general.
Alienable and Disposable Lands of Public Domain
The term public dominion is to be viewed as referring to public
ownership in relation to the properties of the State intended for Alienable lands of the public domain, or those available for alien-
public use or for some public service mentioned in paragraph ation or disposition, are part of the patrimonial properties of the
numbers (1) and (2) of Article 420. Since the ownership of these State.263 They are State properties available for private ownership
properties belong to the public in general and not to the State, the except that their appropriation is qualified by Sections 2 and 3 of
latter may not make them the object of commerce unless they are Article XII of the Constitution and the public land laws.
properly converted into patrimonial properties pursuant to the
provisions of Article 422 of the New Civil Code.
Art. 422. Property of public dominion, when no longer intended for Republic v. Santos III, G.R. No. 160453, November 12,
public use or for public service, shall form part of the patrimonial
property of the State.
2012

Ex. When a fortress ceases to be used for the purpose for which it was 5. Importance and Significance of classification.
constructed, it becomes patrimonial property of the State.
Lopez v. Orosa, February 28, 1958
b) Property of Municipal Corporations – Art. 424 Par.1 Davao Saw Mill Co. v. Castillo, August 7, 1935
Art. 424. Property for public use, in the provinces, cities, and munic-
ipalities, consists of the provincial roads, city streets, municipal
Ownership
streets, the squares, fountains, public waters, promenades, and public
works for public service paid for by said provinces, cities, or Definition
municipalities.

“ownership” refers to the mass or bundle of rights that may be


All other property possessed by any of them is patrimonial and shall be
governed by this Code, without prejudice to the provisions of special exercised over a property. In other words, ownership refers to the
laws. (344a) bundle of rights that may be exercised over a property while the
latter is the object of the exercise of such rights.
C) Private Property
At least, in our jurisdiction, the more acceptable definition of
Art. 425. Property of private ownership, besides the patrimonial ownership is that given by Justice J.B.L. Reyes. He defines
property of the State, provinces, cities and municipalities, consists of ownership as “an independent right of exclusive enjoyment and
all property belonging to private persons, either individually or control of the thing for the purpose of deriving therefrom all
collectively. (345a)
advantages required by the reasonable needs of the owner (holder of
the right) and the promotion of the general welfare but subject to the
Private properties may belong to the State, to provinces, cities and restrictions imposed by law and the right of others.”
municipalities or may belong to the private individuals either
individually or collectively. Such properties when they belong to the
The Civil Code does not define ownership. Instead, the Code simply
State, provinces, cities and municipalities are called “patrimonial enumerates the rights which are included therein, as follows:
property;” and when they belong to private entities or individuals,
they are called “properties of private ownership.”
1. (1) the right to enjoy the property (Art. 428, par. 1, NCC);
All lands are presumed, however, to be public lands until the 2. (2) the right to dispose the property (Art. 428, par. 1, NCC);
contrary is established. 3. (3) the right to recover the property from any holder or
possessor (Art. 428, par. 2, NCC);
4. (4) the right to exclude any person from enjoyment and
disposal of the property (Art. 429, NCC);
5. (5) the right to enclose or fence the land or tenement (Art. • Accion publiciana – concerns possession de
430, NCC); jure. If more than one year has already elapsed
6. (6) the right to demand indemnity for damages suffered due since defendant had turned plaintiff out of
to lawful interference by a third person to avert an imminent possession or defendant’s possession had become
danger (Art. 432, NCC); illegal
7. (7) the right to just compensation in case of eminent domain • Accion reinvindicatoria – recovery of
(Art. 435, NCC); possession as an incident or attribute of
8. (8) the right to construct any works or make any plantations ownership, or what is known jus possidendi
and excavations on the surface or subsurface of the land
(Art. 437, NCC);
Jus utendi right to use the property without destroying its
9. (9) the right to hidden treasure found in the owner’s
substance
property (Art. 438, NCC); and
10. (10) the right to accessions. (Art. 440, NCC)
Jus fruendi right to the fruits
1. Bundle of rights included in ownership Art.428
Jus abutendi right to abuse or to consume the thing by its
Article 428. The owner has the right to enjoy and dispose use
of a thing, without other limitations than those established
by law. Jus Disponendi right to dispose or alienate

The owner has also a right of action against the holder Jus vindicandi right to recover
and possessor of the thing in order to recover it. (348a)
Jus possedendi right to posses
Right to Enjoy includes: Jus possedendi, Jus abutendi, Jus
utendi, Jus fruendi 2. Other specific rights found in the NCC - Arts. 429, 430,
437, 438, 444
Right to Use and Abuse 1. Right to exclude; self-help; doctrine of self-help,
elements Art. 429
Right to Dispose includes: power to alienate, encumber,
limit, transform, destroy or merge “Right to use such force as may be reasonably necessary to
repel or prevent an actual or threatened unlawful physical
Right to Recover invasion or usurpation of his property.”

• Accion Interdicatal – concerns possession de - Available not only to the owners but also to any of its
facto. May be forcible entry or unlawful detainer lawful possessors
- Used only if purpose is to “repel” or “prevent” an actual 5. Right of accession – Art. 440
or threatened unlawful physical invasion or usurpation of
property Art. 440. The ownership of property gives the right by accession to
- Cannot be invoked to recover property everything which is produced thereby, or which is incorporated or
attached thereto, either naturally or artificially. (353)

2. Right to enclose or fence – Art. 430


“accession” presupposes a previously existing ownership by the
owner over the principal, such that it is considered merely as an
The owner of a parcel of land or tenement has the right to
incident or an attribute of ownership. It is not, therefore, a mode of
enclose or fence the same by whatever means.65 In so doing,
acquiring ownership but a right included in ownership.
the owner is effectively giving notice to everybody that they
are not welcome in his property without his consent and he
Based from the provisions of Article 440, accession is classified into
may, therefore, validly consider any unauthorized intrusion
two: (1) accesion discreta; and (2) accesion continua. The first part
into his property as an act of unlawful aggression which will
of the article defines the concept of accesion discreta or the right of
authorize him to resort to self-help.
the owner to anything which is produced by his property. The second
part of the article, on the other hand, defines the concept of accesion
However, it is required that the right to enclose or fence must
continua or the right of the owner to anything which is incorporated
be legitimately exercised and must not be attended with bad
or attached to his property, whether such attachment is through
faith. Thus, if the lot owner fenced his property for the
natural or artificial causes.
purpose of evicting its occupant whose lease contract had
already expired, the lot owner is liable to said occupant for
Accesion discreta is subdivided into: (1) natural fruits, (2) industrial
damages.
fruits, and (3) civil fruits. Accesion continua, in turn, may refer to
either immovable property or movable property.
3. Right to receive just compensation in case of
expropriation – Art. 435
With regard to immovable property, accesion continua is classified
4. Right to hidden treasure – Arts. 438-439 into either industrial accession or natural accession depending on
the manner by which the attachment or incorporation takes place. In
For legal purposes, “hidden treasure” is understood to be any industrial accession, the incorporation takes place artificially; while
hidden and unknown deposit of money, jewelry, or other natural accession takes place through natural means. Industrial
precious objects, the lawful ownership of which does not accession, in turn, may take the form of either building, planting or
appear.173 Hence, for a property to be considered as “hidden sowing. Natural accession, on the other hand, has four forms: (1)
treasure” the following requisites must be satisfied: (1) the alluvion, (2) avulsion; (3) change of course of river; and (4)
deposit of money, jewelry or other precious objects must be formation of islands.
hidden or unknown; and (2) the lawful ownership of which
must not appear. With respect to movable property, accesion continua may either be:
(1) adjunction or conjunction, (2) commixtion or confusion, and (3)
specification. Adjunction or conjunction, in turn, may take place by:
(1) inclusion (engraftment), (2) soldadura (attachment); (3) tejido
(weaving); (4) pintura (painting); or (5) escritura (writing)

6. Right to recover possession and / or ownership-


Jus vindicandi

3. Limitations of real right of ownership

1. General limitation.

2. Specific limitations

4. Modes of Acquiring Ownership [Article 712]

Article 712 of the New Civil Code which enumerates the


seven modes of acquiring ownership (occupation,
intellectual creation, law, donation, succession, tradition and
prescription) does not consider “accession” as one of such
modes.

5. Evidence of Ownership

Sps. Guidangen v. Wooden, G.R. No. 174445, February


15, 2012

Certificate of Title but “Tax receipts and [tax]


declarations are prima facie proof of ownership or
possession of the property for which such taxes have
been paid.”

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