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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
 

   
October-2001 Jurisprudence                 

  • G.R. No. 137841 October 1, 2001 - PEOPLE OF THE PHIL. v. ALBERTO CHUA

  • G.R. No. 117512 October 2, 2001 - REBECCA ALA-MARTIN v. HON. JUSTO M. SULTAN

  • G.R. No. 120098 October 2, 2001 - RUBY L. TSAI v. HON. COURT OF APPEALS EVER TEXTILE MILLS

  • G.R. No. 124037 October 2, 2001 - PEOPLE OF THE PHILIPPINES v. REYNALDO DE GUZMAN

  • G.R. No. 126592 October 2, 2001 - ROMEO G. DAVID v. JUDGE TIRSO D.C. VELASCO, ET AL.

  • G.R. No. 129900 October 2, 2001 - JANE CARAS y SOLITARIO v. HON. COURT OF APPEALS and PEOPLE OF THE PHILIPPINES

  • G.R. No. 133000 October 2, 2001 - PATRICIA NATCHER petitioner v. HON. COURT OF APPEALS AND THE HEIRS OF GRACIANO DEL ROSARIO-LETICIA DEL ROSARIO

  • G.R. No. 133895 October 2, 2001 - ZENAIDA M. SANTOS v. CALIXTO SANTOS, ET AL.

  • G.R. Nos. 135522-23 October 2, 2001 - PEOPLE OF THE PHIL. v. AMORSOLO G. TORRES

  • G.R. No. 137777 October 2, 2001 - THE PRESIDENTIAL AD-HOC FACT FINDING COMMITTEE, ET AL. v. THE HON. OMBUDSMAN ANIANO DESIERTO, ET AL.

  • G.R. No. 138322 October 2, 2001 - GRACE J. GARCIA v. REDERICK A. RECIO

  • G.R. No. 138929 October 2, 2001 - PEOPLE OF THE PHIL. v. FLORENTINO DEL MUNDO

  • G.R. No. 139050 October 2, 2001 - REPUBLIC OF THE PHILIPPINES v. THE COURT OF TAX APPEALS and AGFHA

  • G.R. No. 142877 October 2, 2001 - JINKIE CHRISTIE A. DE JESUS and JACQUELINE A. DE JESUS v. THE ESTATE OF DECEDENT JUAN GAMBOA DIZON

  • G.R. No. 125081 October 3, 2001 - PEOPLE OF THE PHILIPPINES v. REMEDIOS PASCUA

  • G.R. No. 128195 October 3, 2001 - ELIZABETH LEE and PACITA YULEE v. REPUBLIC OF THE PHILIPPINES

  • G.R. Nos. 128514 & 143856-61 October 3, 2001 - PEOPLE OF THE PHILIPPINES v. NILO LEONES

  • G.R. Nos. 142602-05 October 3, 2001 - PEOPLE OF THE PHILIPPINES v. BONIFACIO ARIOLA

  • A.M. No. 01-6-192-MCTC October 5, 2001 - Request To Designate Another Judge To Try And Decide Criminal Case No. 3713

  • A.M. No. RTJ-01-1610 October 5, 2001 - ATTY. EDGAR H. TALINGDAN v. JUDGE HENEDINO P. EDUARTE

  • G.R. No. 124498 October 5, 2001 - EDDIE B. SABANDAL v. HON. FELIPE S. TONGCO Presiding Judge

  • G.R. No. 127441 October 5, 2001 - DOROTEO TOBES @ DOTING v. COURT OF APPEALS

  • G.R. No. 130499 October 5, 2001 - PEOPLE OF THE PHILIPPINES v. PAMFILO QUIMSON @ "NOEL QUIMSON

  • G.R. No. 130962 October 5, 2001 - PEOPLE OF THE PHILIPPINES v. JOSE REAPOR y SAN JUAN

  • G.R. No. 131040 October 5, 2001 - PEOPLE OF THE PHIL. v. MICHAEL FRAMIO SABAGALA

  • G.R. No. 132044 October 5, 2001 - PEOPLE OF THE PHILIPPINES v. ANTONIO @ Tony EVANGELISTA Y BINAY

  • G.R. No. 132718 October 5, 2001 - PEOPLE OF THE PHILIPPINES v. JOSE CASTILLON III and JOHN DOE

  • G.R. Nos. 135452-53 October 5, 2001 - PEOPLE OF THE PHIL. v. IRENEO M. ALCOREZA

  • G.R. No. 139760 October 5, 2001 - FELIZARDO S. OBANDO v. HON. COURT OF APPEALS

  • G.R. No. 144189 October 5, 2001 - R & M GENERAL MERCHANDISE v. COURT OF APPEALS, ET AL.

  • G.R. No. 121948 October 8, 2001 - PERPETUAL HELP CREDIT COOPERATIVE v. BENEDICTO FABURADA

  • G.R. No. 123075 October 8, 2001 - PEOPLE OF THE PHIL. v. PEDRO L. NUELAN

  • G.R. No. 129926 October 8, 2001 - PEOPLE OF THE PHIL. v. NOLE M. ZATE

  • G.R. No. 137599 October 8, 2001 - PEOPLE OF THE PHILIPPINES v. GILBERT BAULITE and LIBERATO BAULITE

  • G.R. No. 138941 October 8, 2001 - AMERICAN HOME ASSURANCE COMPANY v. TANTUCO ENTERPRISES

  • G.R. No. 141297 October 8, 2001 - DOMINGO R. MANALO v. COURT OF APPEALS (Special Twelfth Division) and PAIC SAVINGS AND MORTGAGE BANK

  • A.M. No. 01-9-246-MCTC October 9, 2001 - OFFICE OF THE COURT ADMINISTRATOR v. JUDGE ALIPIO M. ARAGON

  • G.R. No. 138886 October 9, 2001 - PEOPLE OF THE PHILIPPINES v. SP01 WILFREDO LEAÑO SP01 FERDINAND MARZAN SPO1 RUBEN B. AGUSTIN SP02 RODEL T. MADERAL * SP02 ALEXANDER S. MICU and SP04 EMILIO M. RAMIREZ

  • G.R. No. 141182 October 9, 2001 - HEIRS OF PEDRO CUETO Represented by ASUNCION CUETO v. HON. COURT OF APPEALS (SPECIAL FORMER FIRST DIVISION) and CONSOLACION COMPUESTO

  • A.M. No. 99-12-03-SC October 10, 2001 - RE: INITIAL REPORTS ON THE GRENADE INCIDENT THAT OCCURRED AT ABOUT 6:40 A.M. ON DECEMBER 6, 1999

  • G.R. No. 129313 October 10, 2001 - SPOUSES MA. CRISTINA D. TIRONA and OSCAR TIRONA v. HON. FLORO P. ALEJO as Presiding Judge

  • G.R. Nos. 135679 & 137375 October 10, 2001 - PEOPLE OF THE PHILIPPINES v. GODOFREDO RUIZ

  • G.R. No. 136258 October 10, 2001 - PEOPLE OF THE PHIL. v. CARLOS FELICIANO

  • A.M. No. 2001-9-SC October 11, 2001 - DOROTEO IGOY v. GILBERT SORIANO

  • A.M. No. RTJ-99-1485 October 11, 2001 - TEOFILO C. SANTOS v. JUDGE FELICIANO V. BUENAVENTURA

  • G.R. No. 80796 & 132885 October 11, 2001 - PROVINCE OF CAMARINES NORTE v. PROVINCE OF QUEZON

  • G.R. No. 118387 October 11, 2001 - MARCELO LEE v. COURT OF APPEALS and HON. LORENZO B. VENERACION and HON. JAIME T. HAMOY

  • G.R. Nos. 123913-14 October 11,2001

    PEOPLE OF THE PHIL. v. PABLO CALLOS

  • G.R. No. 130415 October 11, 2001 - PEOPLE OF THE PHILIPPINES v. ALVIN YRAT y BUGAHOD and RAUL JIMENA, ET AL.

  • G.R. No. 130562 October 11, 2001 - Brigida Conculada v. Hon. Court Of Appeals

  • G.R. No. 112526 October 12, 2001 - STA. ROSA REALTY DEVELOPMENT CORPORATION v. COURT OF APPEALS

  • G.R. No. 122710 October 12, 2001 - PHILIPPINE NATIONAL BANK v. COURT OF APPEALS and REMINGTON INDUSTRIAL SALES CORPORATION

  • G.R. Nos. 134769-71 October 12, 2001 - PEOPLE OF THE PHIL. v. ROBERTO BATION

  • G.R. No. 137843 October 12, 2001 - PEOPLE OF THE PHIL. v. EDUARDO S. AÑONUEVO

  • G.R. No. 139904 October 12, 2001 - PEOPLE OF THE PHIL. v. CONRADO MERCADO

  • G.R. No. 136470 October 16, 2001 - VENANCIO R. NAVA v. COMMISSION ON AUDIT

  • G.R. No. 140794 October 16, 2001 - PEOPLE OF THE PHIL. v. RICARDO T. AGLIDAY

  • A.M. No. P-00-7-323-RTJ October 17, 2001 - RE: RELEASE BY JUDGE MANUEL T. MURO, RTC, BRANCH 54 MANILA, OF AN ACCUSED IN A NON-BAILABLE OFFENSE

  • A.M. No. P-00-1419 October 17, 2001 - OFFICE OF THE COURT ADMINISTRATOR v. MAGDALENA G. MAGNO

  • A.M. No. RTJ-97-1390 & AM RTJ-98-1411 October 17, 2001 - ATTY. CESAR B. MERIS v. JUDGE CARLOS C. OFILADA

  • G.R. No. 123137 October 17, 2001 - PEOPLE OF THE PHILIPPINES v. PO2 ALBERT ABRIOL

  • G.R. No. 124513 October 17, 2001 - ROBERTO ERQUIAGA v. HON. COURT OF APPEALS

  • G.R. No. 127540 October 17, 2001 - EUGENIO DOMINGO v. HON. COURT OF APPEALS

  • G.R. No. 127830 October 17, 2001 - MANOLET LAVIDES v. ERNESTO B. PRE

  • G.R. No. 129069 October 17, 2001 - PEOPLE OF THE PHIL. v. JULIO R. RECTO

  • G.R. No. 129236 October 17, 2001 - PEOPLE OF THE PHIL. v. RAYMUNDO G. DIZON

  • G.R. No. 129389 October 17, 2001 - PEOPLE OF THE PHILIPPINES v. TEODORICO UBALDO

  • G.R. Nos. 132673-75 October 17, 200

    PEOPLE OF THE PHIL. v. DOMINADOR C. GOMEZ

  • G.R. No. 136291 October 17, 2001 - LETICIA M. MAGSINO v. REPUBLIC OF THE PHILIPPINES

  • G.R. No. 136869 October 17, 2001 - PEOPLE OF THE PHILIPPINES v. DENNIS MAZO

  • G.R. No. 141673 October 17, 2001 - MANUEL L. QUEZON UNIVERSITY/AUGUSTO B. SUNICO v. NLRC (Third Division), ET AL.

  • G.R. No. 142726 October 17, 2001 - PEOPLE OF THE PHIL. v. APOLONIO ACOSTA

  • G.R. No. 143190 October 17, 2001 - ANTONIO P. BELICENA v. SECRETARY OF FINANCE

  • G.R. No. 143990 October 17, 2001 - MARIA L. ANIDO v. FILOMENO NEGADO and THE HONORABLE COURT OF APPEALS

  • G.R. Nos. 121039-45 October 18, 2001 - THE PEOPLE OF THE PHILIPPINES v. MAYOR ANTONIO L. SANCHEZ

  • G.R. No. 132869 October 18, 2001 - GREGORIO DE VERA v. COURT OF APPEALS

  • G.R. No. 143486 October 18, 2001 - PEOPLE OF THE PHILIPPINES v. MARIO DUMAGAY TUADA

  • G.R. No. 144735 October 18, 2001 - YU BUN GUAN v. ELVIRA ONG

  • G.R. No. 116285 October 19, 2001 - ANTONIO TAN v. COURT OF APPEALS and the .C.C.P

  • G.R. Nos. 121201-02 October 19, 2001 - THE PEOPLE OF THE PHILIPPINES plaintiff-appellee v. GIO CONCORCIO @ JUN

  • G.R. No. 129995 October 19, 2001 - THE PROVINCE OF BATAAN v. HON. PEDRO VILLAFUERTE

  • G.R. No. 130730 October 19, 2001 - HERNANDO GENER v. GREGORIO DE LEON and ZENAIDA FAUSTINO

  • G.R. No. 133002 October 19, 2001 - PEOPLE OF THE PHILIPPINES v. INTOY GALLO @ PALALAM

  • G.R. No. 137904 October 19, 2001 - PURIFICACION M. VDA. DE URBANO v. GOVERNMENT SERVICE INSURANCE SYSTEM (GSIS)

  • A.M. No. 99-12-497-RTC October 23, 2001 - REQUEST OF JUDGE FRANCISCO L. CALINGIN

  • G.R. No. 121267 October 23, 2001 - SMITH KLINE & FRENCH LABORATORIES v. COURT OF APPEALS, ET AL.

  • G.R. No. 124036 October 23, 2001 - FIDELINO GARCIA v. COURT OF APPEALS, ET AL.

  • G.R. No. 124295 October 23, 2001 - JUDGE RENATO A. FUENTES v. OFFICE OF THE OMBUDSMAN-MINDANAO

  • G.R. No. 125193 October 23, 2001 - MANUEL BARTOCILLO v. COURT OF APPEALS and the PEOPLE OF THE PHILIPPINES

  • G.R. No. 130846 October 23, 2001 - PEOPLE OF THE PHILIPPINES v. ROGELIO PAMILAR y REVOLIO

  • G.R. No. 131841 October 23, 2001 - PEOPLE OF THE PHILIPPINES v. RUBEN VILLARMOSA

  • G.R. No. 132373 October 23, 2001 - PEOPLE OF THE PHILIPPINES v. TIRSO ARCAY @ "TISOY" and TEODORO CLEMEN @ "BOY

  • G.R. No. 134740 October 23, 2001 - IRENE V. CRUZ v. COMMISSION ON AUDIT

  • G.R. No. 135481 October 23, 2001 - LIGAYA S. SANTOS v. COURT OF APPEALS, ET AL.

  • G.R. No. 136105 October 23, 2001 - PEOPLE OF THE PHILIPPINES v. ANTONIO PAREDES y SAUQUILLO

  • G.R. No. 136337 October 23, 2001 - PEOPLE OF THE PHILIPPINES v. NELSON CABUNTOG

  • G.R. No. 139114 October 23, 2001 - PEOPLE OF THE PHILIPPINES v. ROMAN LACAP Y CAILLES

  • G.R. No. 139274 October 23, 2001 - QUEZON PROVINCE v. HON. ABELIO M. MARTE

  • G.R. No. 139329 October 23, 2001 - PEOPLE OF THE PHILIPPINES v. ERLINDO MAKILANG

  • G.R. Nos. 140934-35 October 23, 2001 - PEOPLE OF THE PHILIPPINES v. CONDE RAPISORA y ESTRADA

  • A.M. No. RTJ-01-1634 October 25, 2001 - OFFICE OF THE COURT ADMINISTRATOR v. SILVERIO Q. CASTILLO

  • G.R. No. 102367 October 25, 2001 - PEOPLE OF THE PHILIPPINES v. ABUNDIO ALBARIDO and BENEDICTO IGDOY

  • G.R. No. 126359 October 25, 2001 - PEOPLE OF THE PHIL v. CARLITO OLIVA

  • G.R. No. 127465 October 25, 2001 - SPOUSES NICETAS DELOS SANTOS v. COURT OF APPEALS

  • G.R. No. 133102 October 25, 2001 - PEOPLE OF THE PHILIPPINES v. DINDO AMOGIS y CRINCIA

  • G.R. Nos. 134449-50 October 25, 2001 - PEOPLE OF THE PHILIPPINES v. PEDRO HERNANDEZ y PALMA

  • G.R. No. 135813 October 25, 2001 - FERNANDO SANTOS v. Spouses ARSENIO and NIEVES REYES

  • G.R. No. 135822 October 25, 2001 - PEOPLE OF THE PHILIPPINES v. PIO DACARA y NACIONAL

  • G.R. Nos. 137494-95 October 25, 2001 - THE PEOPLE OF THE PHILIPPINES v. SOTERO REYES alias "TURING"

  • G.R. Nos. 142741-43 October 25, 2001 - PEOPLE OF THE PHILIPPINES v. ROMEO MANAYAN

  • A.M. No. P-01-1474 October 26, 2001 - ANTONIO C. REYES v. JOSEFINA F. DELIM

  • G.R. No. 120548 October 26, 2001 - PEOPLE OF THE PHILIPPINES v. JOSELITO ESCARDA

  • G.R. Nos. 121492 & 124325 October 26, 2001 - BAN HUA UY FLORES v. JOHNNY K.H. UY

  • G.R. No. 132169 October 26, 2001 - PEOPLE OF THE PHILIPPINES v. SANICO NUEVO @ "SANY

  • G.R. No. 133741-42 October 26, 2001 - PEOPLE OF THE PHILIPPINES v. LINO VILLARUEL

  • G.R. No. 134802 October 26, 2001 - PEOPLE OF THE PHILIPPINES v. RENATO Z. DIZON

  • G.R. No. 135920 October 26, 2001 - ENCARNACION ET AL. v. SEVERINA REALTY CORPORATION

  • G.R. No. 140719 October 26, 2001 - NICOLAS UY DE BARON v. COURT OF APPEALS

  • G.R. No. 140912 October 26, 2001 - PEOPLE OF THE PHILIPPINES v. RODRIGO DIAZ Y SEVILLETA

  • G.R. No. 141540 October 26, 2001 - EDUARDO TAN v. FLORITA MUECO and ROLANDO MUECO

  • G.R. No. 143231 October 26, 2001 - ALBERTO LIM v. PEOPLE OF THE PHILIPPINES

  • G.R. No. 144237 October 26, 2001 - WINSTON C. RACOMA v. MA. ANTONIA B. F. BOMA

  • G.R. Nos. 146319 & 146342 October 26, 2001 - BENJAMIN E. CAWALING v. THE COMMISSION ON ELECTIONS

  • G.R. No. 146593 October 26, 2001 - UNITED COCONUT PLANTERS BANK v. ROBERTO V. ONGPIN

  •  





     
     

    G.R. No. 127830   October 17, 2001 - MANOLET LAVIDES v. ERNESTO B. PRE

     
    PHILIPPINE SUPREME COURT DECISIONS

    SECOND DIVISION

    [G.R. No. 127830. October 17, 2001.]

    MANOLET LAVIDES, Petitioner, v. ERNESTO B. PRE, in his personal and official capacity as Deputy Sheriff of Pasay City, the CITY SHERIFF OF PASAY CITY, VIMARCO, INC., and COURT OF APPEALS, Respondents.

    D E C I S I O N


    QUISUMBING, J.:


    Before us is a petition for review of the decision of the Court of Appeals dated October 10, 1996, in CA-G.R. CV No. 47710. Said decision affirmed the judgment of the Regional Trial Court (RTC) of Gumaca, Quezon, Branch 61, in Civil Case No. 1719-G. Also for review is the Court of Appeals’ resolution dated January 21, 1997, denying petitioner’s motion for reconsideration.chanrob1es virtua1 1aw 1ibrary

    The facts as found by the trial court and adopted by the appellate court are as follows:chanrob1es virtual 1aw library

    Plaintiff Manolet Lavides purchased the six (6) properties, subject of this action, from the spouses Policarpio Castro and Natalia Dy Castro, who executed the following documents: (a) ‘Kasulatan ng Biling Mabibiling Muli’ dated March 8, 1975 (Exh.’A’), relative to the parcel of land covered by Transfer Certificate of Title No. T-34702, of the land records of Quezon (Exh.’1’), and (b) ‘Kasulatan ng Biling Mabibiling Muli’ dated April 1, 1975 (Exh.’B’), covering the properties registered under Transfer Certificate of Titles (sic) Nos. T-88030 (Exh.’2’); T-104900 (Exh.’3’); T-75611 (Exh.’4’); T-83936 (Exh.’5’) and T-97768 (Exh.’6’), all of the land records of Quezon Province. These two (2) deeds of pacto de retro sale (Exhs.’A’ & ‘B’), were not registered nor annotated on the titles of the subject properties.

    On May 10, 1976, Vimarco, Inc., filed with the Court of First Instance (CFI) of Rizal, Pasay City, Branch XXXVIII a complaint against the spouses Policarpio Castro and Natalia Dy Castro, for (a) sum of money with damages with petition for preliminary attachment, and this was docketed as Civil Case No. 5122-P.

    On May 28, 1976, said Court of First Instance issued an ex-parte order for a writ of preliminary attachment. Pursuant to said order, defendant Vimarco, Inc. caused its registration on the certificates of titles over subject properties with the Register of Deeds of Quezon Province.

    On June 25, 1976, defendants in Civil Case No. 5122-P, filed a motion to dissolve the aforementioned writ. No resolution was rendered on said motion to dissolve.

    On October 13, 1976, acting on defendant Vimarco’s motion for judgment on the pleadings, the CFI of Rizal rendered its decision in Civil Case No. 5122-P in favor of defendant Vimarco, Inc., and against Policarpio Castro and Natalia Dy Castro. This was appealed to the Court of Appeals by said spouses, 1 but on June 3, 1977, the appellate court promulgated its decision in favor of defendant Vimarco, Inc. The spouses Castro went to the Supreme Court on a petition for certiorari and mandamus 2 and on July 29, 1983, the Supreme Court rendered its decision dismissing said petition. 3

    Thus, the decision in Civil Case No. 5122-P having become final and executory, the RTC of Pasay City, upon application by Vimarco, Inc., issued an order of execution dated November 29, 1983. In pursuance of said order of execution, defendant Deputy Sheriff Ernesto B. Pre in representation of the City Sheriff of Pasay City, caused a ‘Sheriff’s Notice of Auction Sale on Execution Upon Real Properties’, which was issued and published in the "Mabuhay News" on December 16, 23, and 30, 1983. Auction sale on properties attached by the deputy Sheriff of Pasay City was first scheduled for January 10, 1984. However, on said date, plaintiff served on said defendants a third-party claim (Exh, ‘B-l’) over the properties covered by TCT Nos. T-34702, T-88030, T-104900, T-75611, T-83936, and T-97768, proposed to be sold at said auction sale. The auction sale was postponed for January 17, 1984.chanrob1es virtua1 1aw 1ibrary

    Before the auction sale could proceed, plaintiff filed a separate action (Civil Case No. 1719-6) before this Court (RTC of Gumaca, Quezon, Branch 61) to assert his claim on subject properties praying that a preliminary injunctive writ be issued to maintain the status quo. Accordingly, a restraining order dated January 16, 1984, was issued and served on defendant Deputy Sheriff, on January 17, 1984, before the scheduled auction sale could be made on subject properties. The auction sale proceeded with respect to properties not claimed in this action. On March 20, 1984, this Court issued a writ of preliminary injunction.

    The trial court then proceeded to receive evidence from the opposing parties in order to resolve the issue of which takes legal precedence (1) the levy of the subject properties by virtue of a duly registered writ of attachment; or (2) the unregistered documents of pacto de retro sale executed before the said levy. 4

    On August 31, 1984, the RTC of Gumaca, Quezon, Branch 61, issued its decision. Its decretal portion reads:chanrob1es virtual 1aw library

    WHEREFORE, judgment is hereby rendered against the plaintiff, and in favor of the defendant, as follows:chanrob1es virtual 1aw library

    (a) Dissolving the writ of preliminary injunction previously issued; consequently, the City Sheriff of Pasay City or any of his deputy (sic), can now proceed with the auction sale of the subject properties;

    (b) Dismissing the complaint; and

    (c) Dismissing the counterclaim.

    No pronouncement as to costs.

    SO ORDERED. 5

    Dissatisfied with the above judgment, petitioner seasonably appealed the decision of the trial court to the Court of Appeals, and the appeal was docketed as CA-G.R. CV No. 47710. On October 10, 1996, the Court of Appeals (Ninth Division) affirmed in toto the trial court’s decision and dismissed the appeal of petitioner and in its resolution dated January 27, 1997, denied his motion for reconsideration.

    Hence, the instant petition assigning the following errors:chanrob1es virtual 1aw library

    I


    THE COURT OF APPEALS ERRED IN HOLDING THAT THE APPELLEE CORPORATION HAS A SUPERIOR RIGHT OF CLAIM TO THE SUBJECT PROPERTIES.

    II


    THE COURT OF APPEALS ERRED IN NOT FINDING THAT THE APPELLEE CORPORATION’S ACTUAL KNOWLEDGE OF THE PETITIONER’S CLAIM OVER THE SUBJECT PROPERTIES IS EQUIVALENT TO REGISTRATION AND THEREFORE WAS IN BAD FAITH.

    III


    THE COURT OF APPEALS ERRED IN FINDING THAT THE PREVIOUS ORDER OF PRELIMINARY ATTACHMENT IN CIVIL CASE NO. 5122-P HAD BEEN DECIDED WITH FINALITY.

    IV


    THE COURT OF APPEALS ERRED IN NOT AWARDING PETITIONER’S CLAIM FOR DAMAGES AND ATTORNEY’S FEES. 6

    Carefully examining petitioner’s assigned errors, we find that the pivotal issue in this case is whether the respondent court erred in holding that a levy on execution, pursuant to a decision affirmed by the Supreme Court, is superior to a prior unregistered pacto de retro sale of the same properties.

    On record, four facts stand undisputed in this case. First, the deeds of sale of the properties in question by Policarpio and Natalia Castro to petitioner were unregistered. Second, the disputed properties are covered by the Torrens System of land registration. Third, the writ of attachment issued by the then CFI of Rizal, in Pasay City, was duly recorded and annotated. Lastly, the decision dated July 29,1983 of the Supreme Court in G.R. No. L-47410 is already final and executory.chanrob1es virtua1 1aw 1ibrary

    The law applicable to the facts of this case is Section 50 of the Land Registration Act (Act No. 496), substantially reproduced in Section 51 of Presidential Decree No. 1529, the Property Registration Decree. Section 50 of Act No. 496 provides in part:chanrob1es virtual 1aw library

    An owner of registered land may convey, mortgage, lease, charge, or otherwise deal with the same as fully as if it had not been registered. . . But no deed, mortgage, lease, or other voluntary instrument, except a will, purporting to convey or affect registered land, shall take effect as a conveyance or bind the land, but shall operate only as a contract between the parties and as evidence of authority to the clerk or register of deeds to make registration. The act of registration shall be the operative act to convey and affect the land, and in all cases under this Act the registration shall be made in the office of the register of deeds of the province or city where the land lies.

    The deeds of sale from which petitioner draws title were what we call pacto de retro. They were neither registered nor annotated on the certificates of title of the disputed realties. At the time the properties were levied upon, the titles were still in the name of the Castro spouses. Under the cited Section 50 of Act No. 496, the deeds of pacto de retro sale in petitioner’s favor cannot bind private respondent Vimarco, Inc., because they were unrecorded and they "operate only as a contract between the parties" .chanrob1es virtua1 1aw 1ibrary

    Moreover, the disputed parcels are registered lands under the Torrens System. Under this system, registration is the operative act, which gives validity to the transfer or creates a lien upon the land. As Act No. 496 clearly provides in Section 50, "registration is the operative act to bind or affect the land insofar as third persons are concerned." As early as Villasor v. Camon, 89 Phil. 404 (1951), we held that it is the act of registration with the Register of Deeds which validates dealings with properties registered under the Torrens System. This rule was affirmed recently in Calalang v. Register of Deeds of Quezon City, 231 SCRA 88 (1994) and in Sajonas v. Court of Appeals, 258 SCRA 79 (1996). The only exception made in Fernandez v. Court of Appeals, 189 SCRA 780, 789 (1990), is a situation where a party has actual knowledge of the claimant’s actual, open, and notorious possession of the disputed property at the time that the levy or attachment was registered. In such a situation, the actual notice and knowledge is equivalent to registration, because to hold otherwise would be to tolerate fraud and the Torrens System cannot be used to shield fraud. 7

    Petitioner insists that private respondent Vimarco, Inc., had actual knowledge of his ownership and possession of the properties in this case. But the records show no evidentiary support for his assertion. What the records show is that the private respondents acquired knowledge of petitioner’s claim only when he filed his third-party claim with the Deputy Sheriff of Pasay City on January 10, 1984.

    In contrast, the levy on execution was not only recorded with the Register of Deeds, it was also annotated on the certificates of title as early as 1976. Settled in this jurisdiction is the doctrine that a prior registration of a lien creates a preference. 8 Even subsequent registration of the prior sale will not diminish this preference, which retroacts to the date of the levy. 9 As pointed out in Defensor v. Brillo, 98 Phil. 427 (1956), to hold otherwise would render the preference nugatory and meaningless. Lastly, the attachment or levy of property of a judgment debtor creates a lien, which nothing can subsequently destroy except the very dissolution of the attachment or levy itself. 10 Inasmuch as the petitioner’s deeds of pacto de retro sale over the subject parcels were unregistered, the rights of the petitioner over them became subordinate and subject to the duly recorded and annotated attachment and levy.chanrob1es virtua1 1aw 1ibrary

    Petitioner’s contention that the CFI’s order of preliminary attachment in Civil Case No. 5122-P did not become final lacks merit as well as basis. Where a decision has been rendered, the court in effect had denied all pending motions. 11 The attachment remains effective up to the present. To rule otherwise would only result in the continued delay in the payment of an admitted indebtedness many years overdue, and thereby defeat the just claim of legitimate creditors.

    WHEREFORE, the petition is DENIED, and the assailed decision of the Court of Appeals in CA-G.R. CV No. 47710 AFFIRMED. Costs against petitioner.

    SO ORDERED.

    Bellosillo, Mendoza, Buena and De Leon, Jr., JJ., concur.

    Endnotes:



    1. Docketed as CA-G.R. No. SP-06276.

    2. Docketed as G.R. No. L-47410.

    3. See Castro v. Court of Appeals, G.R. No. L-47410,123 SCRA 782 (1983).

    4. Rollo, pp. 59-61.

    5. Records, p. 335

    6. Supra. note 4 at 15.

    7. Republic v. Register of Deeds of Quezon, G.R. No. 73974, 244 SCRA 537, 547 (1995); Custilo v. Maravilla, G.R. No. 23386, 48 Phil. 442, 448 (1925).

    8. PNB v. Javellana, G.R. No. L-5270, 92 Phil. 525, 530 (1953).

    9. Vargas v. Tancioco, G.R. No. 45899, 67 Phil. 308, 311 (1939).

    10. Santos v. Aquino, Jr., G.R. No. 86181-82, 205 SCRA 127, 133 (1992).

    11. Ong v. Fonacier, G.R. No. L-20887, 17 SCRA 617, 622 (1966).

    G.R. No. 127830   October 17, 2001 - MANOLET LAVIDES v. ERNESTO B. PRE


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