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Prof. Joselito Guianan Chan's The Labor Code of the Philippines, Annotated Labor Standards & Social Legislation Volume I of a 3-Volume Series 2019 Edition (3rd Revised Edition)
 

 
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UNITED STATES SUPREME COURT JURISPRUDENCE
 

 
PHILIPPINE SUPREME COURT JURISPRUDENCE
 

   
March-2001 Jurisprudence                 

  • A.M. No. MTJ-00-1279 March 1, 2001 - ALICIA GONZALES-DECANO v. ORLANDO ANA F. SIAPNO

  • A.M. No. MTJ-00-1282 March 1, 2001 - SOFRONIO DAYOT v. RODOLFO B. GARCIA

  • G.R. No. 112092 March 1, 2001 - PEOPLE OF THE PHIL. v. ROBERT NUÑEZ

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  • G.R. No. 126019 March 1, 2001 - PEOPLE OF THE PHIL. v. MARIO CALDONA

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  • G.R. No. 134330 March 1, 2001 - ENRIQUE M. BELO, ET AL. v. PHIL. NATIONAL BANK, ET AL.

  • G.R. Nos. 135667-70 March 1, 2001 - PEOPLE OF THE PHIL. v. JESSIE VENTURA COLLADO

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  • G.R. No. 142527 March 1, 2001 - ARSENIO ALVAREZ v. COMELEC, ET AL.

  • G.R. No. 144678 March 1, 2001 - JAVIER E. ZACATE v. COMELEC, ET AL.

  • G.R. Nos. 146710-15 & 146738 March 2, 2001 - JOSEPH E. ESTRADA v. ANIANO DESIERTO, ET AL.

  • G.R. No. 113236 March 5, 2001 - FIRESTONE TIRE & RUBBER COMPANY OF THE PHIL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 113265 March 5, 2001 - PEOPLE OF THE PHIL. v. MANUEL PEREZ

  • G.R. No. 118680 March 5, 2001 - MARIA ELENA RODRIGUEZ PEDROSA v. COURT OF APPEALS, ET AL.

  • G.R. No. 123788 March 5, 2001 - DOMINADOR DE GUZMAN v. COURT OF APPEALS, ET AL.

  • G.R. No. 124686 March 5, 2001 - PEOPLE OF THE PHIL. v. ROQUE ELLADO

  • G.R. No. 127158 March 5, 2001 - PEOPLE OF THE PHIL. v. JULIO HERIDA, ET AL.

  • G.R. No. 132353 March 5, 2001 - PEOPLE OF THE PHIL. v. ALFREDO IBO

  • G.R. No. 126557 March 6, 2001 - RAMON ALBERT v. CELSO D. GANGAN

  • G.R. No. 138646 March 6, 2001 - PEOPLE OF THE PHIL. v. JOMER CABANSAY

  • G.R. No. 139518 March 6, 2001 - EVANGELINE L. PUZON v. STA. LUCIA REALTY AND DEVELOPMENT

  • G.R. Nos. 140249 & 140363 March 6, 2001 - DANILO S. YAP v. COURT OF APPEALS, ET AL.

  • G.R. No. 140884 March 6, 2001 - GELACIO P. GEMENTIZA v. COMELEC, ET AL.

  • G.R. No. 143823 March 6, 2001 - JENNIFER ABRAHAM v. NLRC, ET AL.

  • G.R. No. 126168 March 7, 2001 - PEOPLE OF THE PHIL. v. ANTONIO SAMUDIO

  • G.R. No. 129594 March 7, 2001 - PEOPLE OF THE PHIL. v. JUNNIFER LAURENTE

  • G.R. No. 135945 March 7, 2001 - UNITED RESIDENTS OF DOMINICAN HILL v. COMM. ON THE SETTLEMENT OF LAND PROBLEMS

  • G.R. No. 136173 March 7, 2001 - PEOPLE OF THE PHIL. v. ERNESTO ICALLA

  • G.R. Nos. 137481-83 & 138455 March 7, 2001 - PEOPLE OF THE PHIL. v. CONRADO SALADINO

  • G.R. Nos. 139962-66 March 7, 2001 - PEOPLE OF THE PHIL. v. EUGENIO MANGOMPIT

  • A.M. No. MTJ-00-1297 March 7, 2001 - JOSEFINA BANGCO v. RODOLFO S. GATDULA

  • A.M. No. MTJ-00-1329 March 8, 2001 - HERMINIA BORJA-MANZANO v. ROQUE R SANCHEZ

  • G.R. No. 122611 March 8, 2001 - NAPOLEON H. GONZALES v. COURT OF APPEALS, ET AL.

  • G.R. No. 125901 March 8, 2001 - EDGARDO A. TIJING, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 130378 March 8, 2001 - PEOPLE OF THE PHIL. v. ARNEL MATARO, ET AL.

  • G.R. No. 134279 March 8, 2001 - PEOPLE OF THE PHIL. v. RICKY ROGER AUSTRIA

  • G.R. Nos. 135234-38 March 8, 2001 - PEOPLE OF THE PHIL. v. ALEJANDRO GUNTANG

  • G.R. No. 137649 March 8, 2001 - PEOPLE OF THE PHIL. v. RODOLFO VILLADARES

  • G.R. No. 138137 March 8, 2001 - PERLA S. ZULUETA v. ASIA BREWERY

  • G.R. No. 138774 March 8, 2001 - REGINA FRANCISCO, ET AL v. AIDA FRANCISCO-ALFONSO

  • G.R. No. 140479 March 8, 2001 - ROSENCOR DEVELOPMENT CORPORATION, ET AL. v. PATERNO INQUING, ET AL.

  • G.R. No. 140713 March 8, 2001 - ROSA YAP PARAS, ET AL. v. ISMAEL O. BALDADO

  • G.R. No. 112115 March 9, 2001 - REPUBLIC OF THE PHIL. v. COURT OF APPEALS, ET AL.

  • G.R. Nos. 140619-24 March 9, 2001 - BENEDICTO E. KUIZON, ET AL. v. ANIANO A. DESIERTO

  • G.R. No. 126099 March 12, 2001 - ROBERTO MITO v. COURT OF APPEALS, ET AL.

  • G.R. No. 128372 March 12, 2001 - PEOPLE OF THE PHIL. v. REMEGIO DELA PEÑA

  • G.R. Nos. 130634-35 March 12, 2001 - PEOPLE OF THE PHIL. v. MANOLITO OYANIB

  • G.R. No. 131889 March 12, 2001 - VIRGINIA O. GOCHAN, ET AL. v. RICHARD G. YOUNG, ET AL.

  • G.R. No. 136738 March 12, 2001 - PEOPLE OF THE PHIL. v. EFREN VALEZ

  • G.R. No. 137306 March 12, 2001 - VIRGINIA AVISADO, ET AL. v. AMOR RUMBAUA, ET AL.

  • G.R. Nos. 140011-16 March 12, 2001 - PEOPLE OF THE PHIL. v. EUSTAQUIO MORATA

  • A.M. No. P-01-1464 March 13, 2001 - SALVADOR O. BOOC v. MALAYO B. BANTUAS

  • G.R. No. 103073 March 13, 2001 - REPUBLIC OF THE PHIL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 131530 March 13, 2001 - Y REALTY CORP. v. SANDIGANBAYAN, ET AL.

  • G.R. No. 136594 March 13, 2001 - PEOPLE OF THE PHIL. v. JOEL CANIEZO

  • G.R. No. 139405 March 13, 2001 - PEOPLE OF THE PHIL. v. ARTURO F. PACIFICADOR

  • A.M. No. RTJ-00-1530 March 14, 2001 - EDGARDO ALDAY, ET AL. v. ESCOLASTICO U. CRUZ

  • G.R. Nos. 116001 & 123943 March 14, 2001 - PEOPLE OF THE PHIL. v. LUISITO GO

  • G.R. No. 130209 March 14, 2001 - PEOPLE OF THE PHIL. v. LARRY LAVAPIE, ET AL.

  • G.R. Nos. 130515 & 147090 March 14, 2001 - PEOPLE OF THE PHIL. v. ANSELMO BARING

  • G.R. Nos. 134451-52 March 14, 2001 - PEOPLE OF THE PHIL. v. REYNALDO FRETA

  • G.R. No. 137036 March 14, 2001 - PEOPLE OF THE PHIL. v. HERNANDO DE MESA, ET AL.

  • G.R. No. 138045 March 14, 2001 - PEOPLE OF THE PHIL. v. MARIETTA PATUNGAN, ET AL.

  • G.R. No. 139300 March 14, 2001 - AMIGO MANUFACTURING v. CLUETT PEABODY CO.

  • G.R. No. 102985 March 15, 2001 - RUBEN BRAGA CURAZA v. NLRC, ET AL.

  • G.R. No. 133480 March 15, 2001 - PEOPLE OF THE PHIL. v. FLORANTE AGUILUZ

  • G.R. Nos. 135201-02 March 15, 2001 - PEOPLE OF THE PHIL. v. FLORENCIO FRANCISCO

  • G.R. No. 141616 March 15, 2001 - CITY OF QUEZON v. LEXBER INCORPORATED

  • G.R. No. 116847 March 16, 2001 - MANUFACTURERS BUILDING v. COURT OF APPEALS, ET AL.

  • G.R. No. 128083 March 16, 2001 - PEOPLE OF THE PHIL. v. RODOLFO M. HILARIO

  • G.R. No. 128922 March 16, 2001 - ELEUTERIA B. ALIABO, ET AL. v. ROGELIO L. CARAMPATAN, ET AL.

  • G.R. No. 129070 March 16, 2001 - PEOPLE OF THE PHIL. v. NELLIE CABAIS

  • G.R. No. 131544 March 16, 2001 - EPG CONSTRUCTION CO., ET AL. v. GREGORIO R. VIGILAR

  • G.R. No. 135047 March 16, 2001 - PEOPLE OF THE PHIL. v. RICARDO CACHOLA, ET AL.

  • G.R. No. 137282 March 16, 2001 - PEOPLE OF THE PHIL. v. ALFREDO ALIPAR

  • G.R. Nos. 137753-56 March 16, 2001 - PEOPLE OF THE PHIL v. NILO ARDON

  • A.M. No. 01-1463 March 20, 2001 - EVELYN ACUÑA v. RODOLFO A. ALCANTARA

  • A.M. No. MTJ-00-1306 March 20, 2001 - ROBERT M. VISBAL v. RODOLFO C. RAMOS

  • A.M. No. P-97-1241 March 20, 2001 - DINNA CASTILLO v. ZENAIDA C. BUENCILLO

  • G.R. Nos. 105965-70 March 20, 2001 - GEORGE UY v. SANDIGANBAYAN, ET AL

  • G.R. No. 108991 March 20, 2001 - WILLIAM ALAIN MIAILHE v. COURT OF APPEALS, ET AL.

  • G.R. No. 130663 March 20, 2001 - PEOPLE OF THE PHIL v. ANGELES STA. TERESA

  • G.R. Nos. 136862-63 March 20, 2001 - PEOPLE OF THE PHIL. v. ROLANDO SANTOS

  • G.R. Nos. 139413-15 March 20, 2001 - PEOPLE OF THE PHIL. v. ENDRICO GALAS

  • G.R. No. 140356 March 20, 2001 - DOLORES FAJARDO v. COURT OF APPEALS, ET AL.

  • G.R. No. 140919 March 20, 2001 - PEOPLE OF THE PHIL. v. BUTCH BUCAO LEE

  • G.R. No. 142476 March 20, 2001 - REPUBLIC OF THE PHIL. v. SANDIGANBAYAN

  • G.R. No. 144074 March 20, 2001 - MEDINA INVESTIGATION & SECURITY CORP., ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 127772 March 22, 2001 - ROBERTO P. ALMARIO v. COURT OF APPEALS, ET AL.

  • G.R. Nos. 133815-17 March 22, 2001 - PEOPLE OF THE PHIL. v. EDGARDO LIAD, ET AL.

  • G.R. No. 134972 March 22, 2001 - ERNESTO CATUNGAL, ET AL. v. DORIS HAO

  • A.M. No. P-01-1469 March 26, 2001 - ROEL O. PARAS v. MYRNA F. LOFRANCO

  • A.M. No. RTJ-01-1624 March 26, 2001 - REQUEST FOR ASSISTANCE RELATIVE TO SPECIAL PROCEEDINGS NO. 28

  • A.M. No. 99-731-RTJ March 26, 2001 - HILARIO DE GUZMAN v. DEODORO J. SISON

  • G.R. Nos. 102407-08 March 26, 2001 - PEOPLE OF THE PHIL. v. EDMUNDO LUCERO

  • G.R. No. 121608 March 26, 2001 - FLEISCHER COMPANY v. NLRC, ET AL.

  • G.R. No. 121902 March 26, 2001 - PEOPLE OF THE PHIL. v. WALTER MELENCION

  • G.R. No. 125865 March 26, 2001 - JEFFREY LIANG v. PEOPLE OF THE PHIL.

  • G.R. No. 129916 March 26, 2001 - MAGELLAN CAPITAL MNGT. CORP., ET AL. v. ROLANDO M. ZOSA, ET AL.

  • G.R. Nos. 131638-39 March 26, 2001 - PEOPLE OF THE PHIL. v. LORETO MEDENILLA

  • G.R. No. 131653 March 26, 2001 - ROBERTO GONZALES v. NLRC, ET AL

  • G.R. No. 133475 March 26, 2001 - PEOPLE OF THE PHIL. v. ERNESTO MONTEJO

  • G.R. No. 134903 March 26, 2001 - UNICRAFT INDUSTRIES INTERNATIONAL CORP., ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 136790 March 26, 2001 - PEOPLE OF THE PHIL. v. MANUEL GALVEZ

  • G.R. No. 137268 March 26, 2001 - PEOPLE OF THE PHIL. v. EUTIQUIA CARMEN, ET AL.

  • G.R. No. 137590 March 26, 2001 - FLORENCE MALCAMPO-SIN v. PHILIPP T. SIN

  • G.R. No. 137739 March 26, 2001 - ROBERTO B. TAN v. PHIL. BANKING CORP., ET AL.

  • G.R. No. 137889 March 26, 2001 - PEOPLE OF THE PHIL. v. ROMEO DELOS SANTOS

  • G.R. No. 142950 March 26, 2001 - EQUITABLE PCI BANK v. ROSITA KU

  • G.R. Nos. 147066 & 147179 March 26, 2001 - AKBAYAN - Youth, ET AL. v. COMELEC, ET AL.

  • A.M. No. 00-7-09-CA March 27, 2001 - IN RE: DEMETRIO G. DEMETRIA

  • A.M. No. P-01-1473 March 27, 2001 - GLORIA O. BENITEZ v. MEDEL P. ACOSTA

  • G.R. No. 123149 March 27, 2001 - PEOPLE OF THE PHIL. v. CORNELIO CABUG

  • G.R. No. 131588 March 27, 2001 - PEOPLE OF THE PHIL. v. GLENN DE LOS SANTOS

  • G.R. Nos. 137762-65 March 27, 2001 - PEOPLE OF THE PHIL. v. REYNALDO BARES

  • G.R. No. 137989 March 27, 2001 - PEOPLE OF THE PHIL. v. SONNY MATIONG, ET AL.

  • A.M. No. MTJ-01-1357 March 28, 2001 - MONFORT HERMANOS AGRICULTURAL DEVELOPMENT CORP. v. ROLANDO V. RAMIREZ

  • A.M. No. RTJ-00-1574 March 28, 2001 - GORGONIO S. NOVA v. SANCHO DAMES II

  • G.R. No. 100701 March 28, 2001 - PRODUCERS BANK OF THE PHIL. v. NLRC, ET AL.

  • G.R. No. 101442 March 28, 2001 - JOSE ANGELES v. COURT OF APPEALS, ET AL

  • G.R. No. 110012 March 28, 2001 - ANASTACIO VICTORIO v. COURT OF APPEALS, ET AL.

  • G.R. No. 112314 March 28, 2001 - VICENTE R. MADARANG v. SANDIGANBAYAN, ET AL.

  • G.R. No. 117964 March 28, 2001 - PLACIDO O. URBANES, JR. v. COURT OF APPEALS, ET AL.

  • G.R. No. 122216 March 28, 2001 - ALJEM’S CORPORATION v. COURT OF APPEALS, ET AL.

  • G.R. No. 126751 March 28, 2001 - SAFIC ALCAN & CIE v. IMPERIAL VEGETABLE OIL CO.

  • G.R. No. 126959 March 28, 2001 - PEOPLE OF THE PHIL. v. SERVANDO SATURNO, ET AL.

  • G.R. No. 136965 March 28, 2001 - UNIVERSITY OF THE PHIL. v. SEGUNDINA ROSARIO

  • G.R. No. 137660 March 28, 2001 - PEOPLE OF THE PHIL. v. CARLOS L. ALCANTARA

  • G.R. No. 137932 March 28, 2001 - CHIANG YIA MIN v. COURT OF APPEALS, ET AL.

  • G.R. No. 138474 March 28, 2001 - PEOPLE OF THE PHIL. v. FORTUNATO BALANO

  • G.R. Nos. 139571-72 March 28, 2001 - ROGER N. ABARDO v. SANDIGANBAYAN

  • G.R. No. 140153 March 28, 2001 - ANTONIO DOCENA, ET AL. v. RICARDO P. LAPESURA, ET AL.

  • G.R. No. 141307 March 28, 2001 - PURTO J. NAVARRO, ET AL. v. COURT OF APPEALS, ET AL.

  • G.R. No. 142007 March 28, 2001 - MANUEL C. FELIX v. ENERTECH SYSTEMS INDUSTRIES, ET AL.

  • G.R. No. 143173 March 28, 2001 - PEDRO ONG, ET AL. v. SOCORRO PAREL, ET AL.

  • G.R. No. 144169 March 28, 2001 - KHE HONG CHENG v. COURT OF APPEALS, ET AL.

  • G.R. No. 131836 March 30, 2001 - PEOPLE OF THE PHIL. v. MELITA SINCO, ET AL.

  • G.R. No. 137564 March 30, 2001 - PEOPLE OF THE PHIL. v. DOMINADOR DOMENDED

  • G.R. No. 137648 March 30, 2001 - PEOPLE OF THE PHIL. v. IRENEO PADILLA

  • G.R. No. 140311 March 30, 2001 - DENNIS T. GABIONZA v. COURT OF APPEALS, ET AL

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    G.R. No. 137739   March 26, 2001 - ROBERTO B. TAN v. PHIL. BANKING CORP., ET AL.

     
    PHILIPPINE SUPREME COURT DECISIONS

    FIRST DIVISION

    [G.R. No. 137739. March 26, 2001.]

    ROBERTO B. TAN, Petitioner, v. PHILIPPINE BANKING CORP., HELEN LEONTOVICH VDA. DE AGUINALDO and REGISTRAR OF DEEDS OF MARIKINA, Respondents.

    D E C I S I O N


    KAPUNAN, J.:


    This is a petition for review on certiorari filed by Roberto Tan (petitioner) seeking to reverse and set aside the resolutions, dated 28 August 1998 and 23 February 1999, of the Court of Appeals in CA-G.R. SP No. 39903. In the said resolutions, the CA directed the Register of Deeds of Marikina to reinstate the Transfer Certificates of Title (TCT) Nos. 194096 and 194098 in the name of Philippine Banking Corporation (respondent bank) over the same parcel of land already covered by petitioner’s valid and subsisting TCT No. 296945.chanrob1es virtua1 1aw 1ibrary

    The antecedent facts of the case as culled from the decision 1 of the CA are as follows: On 29 December 1995, petitioner bought from Helen L. Aguinaldo (respondent Aguinaldo) a parcel of land at the Valley Golf Subdivision in Antipolo, Rizal. The lot was then covered by TCT No. 294192 in the name of respondent Aguinaldo. No claims, liens or encumbrances appeared on the said title. After payment of the agreed purchase price, TCT No. 294192 was cancelled and a new one (TCT No. 296945) in the name of petitioner was issued.

    On 29 February 1996, two (2) months after he bought the property, petitioner was served a copy of the petition for certiorari filed by respondent bank in CA-G.R. SP No. 39903. Said petition stated that petitioner was "being sued here as a nominal party as the new registered owner of Transfer Certificate of Title No. 296945." It was only then .that petitioner learned that the lot he bought from respondent Aguinaldo was subject of legal dispute between her and respondent bank.

    It appears that respondent Aguinaldo and her husband Daniel R. Aguinaldo obtained a loan in the amount of two hundred thousand pesos (P200,000.00) from respondent bank some time in December 1977. To secure the payment of this obligation, the Aguinaldos executed in favor of respondent bank a real estate mortgage over three parcels of land situated in Antipolo and Cainta, Rizal covered by TCT Nos. 234903, 153844 and 151622. In January of 1985, Daniel Aguinaldo obtained three more loans from respondent PBC totalling over five hundred thousand pesos (P500,000.00). He died without having paid these loans.

    Upon maturity of these loans, respondent bank sent a demand letter to respondent Aguinaldo, as administratrix of the estate of her husband. Despite said demand, the loans remained unpaid. Respondent bank thus initiated extra-judicial foreclosure proceedings on the real estate mortgage. In the public auction sale, the mortgaged properties were sold to respondent bank as the highest bidder.

    On 15 February 1990, before the expiration of the redemption period of one year, respondent Aguinaldo filed a complaint for the nullification of the aforesaid foreclosure proceedings, docketed as Civil Case No. 90-1705-A, with Branch 71, Regional Trial Court, Antipolo, Rizal. In said proceedings, the parties (respondent Aguinaldo and respondent bank) entered into a Joint Partial Stipulation of Facts stating, among others, that they "agree that the decision to be rendered by this Honorable Court [RTC] shall be final and unappealable, subject only to the filing within the reglementary period of the usual motion for reconsideration." chanrob1es virtua1 1aw 1ibrary

    On 20 April 1995, the trial court rendered its decision the dispositive portion of which reads:chanrob1es virtual 1aw library

    WHEREFORE, judgment is hereby rendered as follows:chanrob1es virtual 1aw library

    (1) The Notice of Sheriff’s Sale dated February 10, 1989, Certificate of Sale dated March 10, 1989, Affidavit of Consolidation executed by the defendant bank, and the deed of sale dated February 1, 1995 executed by the bank in favor of the Terraces Realty & Development Corporation are hereby declared null and void and of no legal force and effect;

    (2) The Register of Deeds of Marikina, Metro Manila is hereby ordered to cancel Transfer Certificates of Title No. 194096 and 194098 in the name of the bank and Transfer Certificate of Title No. 275504 in the name of Terraces Realty & Development Corporation, and to issue, in lieu thereof, new titles in the name of the plaintiff or her successor-in-interest upon proof by the latter of the payment to be made by them to the bank or by similar proof that such amount is deposited by the plaintiff in trust for the bank.

    The plaintiff shall pay to the bank or deposit the amount in trust for the bank within fifteen (15) days from receipt of a copy of this decision the amounts as follows:chanrob1es virtual 1aw library

    (a) on the promissory note for P176,623.24 — The amount of P176,623.24 plus the stipulated 12% interest per annum from January 24, 1985 until March 10, 1989; and 12% interest per annum on said amount of P176,623.24 from March 11, 1989 until fully paid.

    (b) on the promissory note for P380,000.00 — The amount of P380,000.00 plus 14% interest per annum from January 24, 1985 until March 10, 1989; and 12% interest per annum on said amount of P380,000.00 from March 11, 1989 until fully paid; and

    (c) on the promissory note of P31,000.00 — The amount of P31,000.00 14% interest per annum from January 24, 1985 until March 10, 1989; and 12% interest per annum of said amount of P31,000.00 from March 11, 1989 until fully paid.

    (3) The claim of plaintiff for damages and attorney’s fees is hereby denied.

    No pronouncement as to costs. 2

    Respondent bank filed a motion for reconsideration of the said decision. Pending resolution thereof, respondent bank moved for the inhibition of the presiding judge. The motion for inhibition was granted, thus, the case was re-raffled to Branch 72. The presiding judge thereof subsequently denied respondent bank’s motion for reconsideration. Respondent bank then filed a notice of appeal but the same was denied on the ground that it (respondent bank) already waived its right to appeal pursuant to the joint stipulation. The decision was declared final and executory.

    On 6 October 1995, the Clerk of Court of Branch 72 issued a certification that the decision had become final. Upon presentation of the trial court’s decision and certification, the Register of Deeds of Marikina canceled respondent bank’s TCT No. 194096 and 194098 and Terraces Realty & Development Corporation’s TCT No. 275504 and issued new titles in lieu thereof, all in the name of respondent Aguinaldo. She subsequently sold the lot covered by one of these titles to petitioner who was then issued TCT No. 296945 therefor.chanrobles virtual law library

    Respondent bank filed a motion for reconsideration of the decision of the trial court but the same was denied. It then brought the case to the CA by way of certiorari. In its decision, dated 27 February 1998, the CA substantially granted the reliefs prayed for by respondent bank and directed the trial court to, among others, give due course to respondent bank’s appeal and elevate the records of the case to the CA for review. The CA, however, denied respondent bank’s prayer for the reinstatement of its TCTs stating that the averments as against petitioner are insufficient to make up a cause of action against the latter. 3

    Respondent bank thereafter moved for a partial reconsideration of the CA decision insofar as it denied its prayer for the reinstatement of its TCTs. For his part, petitioner filed a motion to cancel notice of lis pendens while respondent Aguinaldo filed a motion for reconsideration. Acting on these motions, the CA issued the assailed resolution of 28 August 1998 the dispositive portion of which reads:chanrob1es virtual 1aw library

    WHEREFORE, the Motion to Cancel Notice of Lis Pendens dated 23 March 1998 filed by respondent Roberto B. Tan and the motion for reconsideration filed by respondent Helen Leontovich Vda. De Aguinaldo dated 23 March 1998 are hereby DENIED, for lack of merit.

    Petitioner’s Motion for Partial Reconsideration dated 20 March 1998 is hereby GRANTED and par.(d) of the dispositive portion of our decision promulgated on 27 February 1998 is hereby MODIFIED to read as follows:chanrob1es virtual 1aw library

    Directing the Registrar of Deeds to reinstate the cancelled Transfer Certificates of Title Nos. 194096 & 194098 in the name of petitioner and Transfer Certificate of Title No. 275504 in the name of Terraces Realty & Development Corporation, or issue new ones in the event this is not legally feasible in their favor, pending review of the case on appeal.

    SO ORDERED. 4

    Petitioner filed a motion for reconsideration but it was denied by the appellate court in its resolution of 23 February 1999. Hence, petitioner filed the instant petition assigning the following errors:chanrob1es virtual 1aw library

    1. The Court of Appeals erred and committed serious irregularity in directing the "reinstatement" of Philbank’s cancelled TCT No. 194096 (or the issuance of a new one in its place), in the fact of an existing TCT in Roberto Tan’s name over the same parcel of land, and absent any proper direct action and judgment for reconveyance against him which rescinds or cancels his TCT No. 296945;

    2. The Court of Appeals erred and acted without jurisdiction in deciding upon the question of whether Philbank’s cancelled TCT No. 194096 should be reinstated, or a new title issued in its place, this being within the exclusive jurisdiction of regional trial courts, and outside the scope of a certiorari proceeding. 5

    The Court required respondent bank and respondent Aguinaldo to file their respective Comments. Thereafter, the parties were required to file their respective memoranda.

    The Court finds the petition meritorious.chanrob1es virtua1 1aw 1ibrary

    The first assailed CA resolution (28 August 1998) directing the Register of Deeds of Marikina to reinstate the TCTs of respondent bank had the effect of canceling petitioner’s title over the same parcel of land. The CA clearly committed reversible error in issuing the aforesaid resolution. Petitioner was not even a party to the action between respondent Aguinaldo and respondent bank in the court a quo. Petitioner was impleaded only in the certiorari case filed by respondent bank in the CA. In fact, the petition filed by respondent CA merely stated that petitioner was being "sued as a nominal party in his capacity as the new registered owner of Transfer Certificate of Title No. 296945." 6 Other than this averment, there were no allegations to constitute a cause of action against petitioner. As the CA held in its main decision:chanrob1es virtual 1aw library

    Private respondent Roberto Tan has filed a motion to dismiss on two grounds, one of which is." . . the petition stales no cause of action against Roberto B. Tan." In his submission to support this ground, Tan claims being a buyer in faith and for value (P2.5 Million), P2 Million of which came from a loan directly paid by the lender bank to the seller, and the full consideration was fully paid.

    Under the circumstances obtaining, the prayer under paragraph 3.5 cannot be granted. The aforequoted averments as against private respondent Roberto B. Tan are insufficient to make up a cause of action for the desired relief. 7

    The CA, in its decision, correctly denied respondent bank’s prayer to reinstate its canceled TCTs because to do so would effectively cancel petitioner’s title on the same lot. It must be noted that petitioner’s title was regularly issued after the lot covered by the same was sold to him by respondent Aguinaldo. Petitioner relied on the seller’s title, which was then free from any claims, liens or encumbrances appearing thereon.chanrob1es virtua1 1aw 1ibrary

    As such, petitioner’s title can only be challenged in a direct action. It is well settled that a certificate of title cannot be subject to collateral attack and can be altered, modified or cancelled only in a direct proceeding in accordance with law. 8 Having obtained a valid title over the subject lot, petitioner is entitled to protection against indirect attacks against his title. The CA’s original ruling on the matter, as stated in its decision, denying respondent bank’s prayer for reinstatement of its canceled titles "without prejudice to the filing of proper action" should thus stand. It is more in keeping with the purpose of the adoption of the Torrens system in our country:chanrob1es virtual 1aw library

    The Torrens system was adopted in this country because it was believed to be the most effective measure to guarantee the integrity of land titles and to protect their indefeasibility once the claim of ownership is established and recognized. If a person purchases a piece of land on the assurance that the seller’s title thereto is valid, he should not run the risk of being told later that his acquisition was ineffectual after all. This would not only be unfair to him. What is worse is that if this were permitted, public confidence in the system would be eroded and land transactions would have to be attended by complicated and not necessarily conclusive investigations and proof of ownership. The further consequence would be that land conflicts could be even more numerous and complex than they are now and possibly also more abrasive, if not even violent. The Government, recognizing the worthy purposes of the Torrens system, should be the First to accept the validity of the titles issued thereunder once the conditions laid down by the law are satisfied. 9

    WHEREFORE, premises considered, the Resolutions, dated 28 August 1998 and 23 February 1999, of the Court of Appeals are REVERSED and SET ASIDE. Its Decision, dated 27 February 1998, is REINSTATED in toto.

    SO ORDERED.chanrob1es virtua1 1aw 1ibrary

    Davide, Jr., C.J., Puno, Pardo and Ynares-Santiago, JJ., concur.

    Endnotes:



    1. Rollo, pp. 70-73.

    2. Id., pp. 71-72.

    3. Id., p. 80.

    4. Id., p. 25.

    5. Id., pp. 16-17.

    6. Id., p. 30.

    7. Id., p. 80.

    8. Carreon v. Court of Appeals, 291 SCRA 78,89 (1998).

    9. Tenio-Obsequio v. Court of Appeals, 230 SCRA 550, 557 (1994).

    G.R. No. 137739   March 26, 2001 - ROBERTO B. TAN v. PHIL. BANKING CORP., ET AL.




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