Philippine Supreme Court Jurisprudence


Philippine Supreme Court Jurisprudence > Year 1909 > March 1909 Decisions > G.R. No. 4966 March 27, 1909 - LUCIO BUZON v. MAXIMO LICAUCAO, ET AL.

013 Phil 354:




PHILIPPINE SUPREME COURT DECISIONS

EN BANC

[G.R. No. 4966. March 27, 1909. ]

LUCIO BUZON, Plaintiff-Appellee, v. MAXIMO LICAUCAO, ET AL., Defendants-Appellants.

Jose Varela y Calderon, for Appellants.

Manuel Torres, for Appellee.

SYLLABUS


1. REALTY; PRECEDENCE OF ATTACHMENT OVER AN UNRECORDED DEED OF REGISTERED LAND. — While an unrecorded deed of conveyance executed by the owner of land not registered under the provisions of the Land Registration Act conveys the title and ownership to the purchaser at the date of its execution, so that the subsequent levy of an attachment or execution by a judgment creditor is void and of no effect, the same rule can not be applied where the land has been registered under that Act, because, by its terms, an unrecorded deed does not convey or affect the land until and unless the transaction is duly registered. (Sec. 50, Act No. 496.)


D E C I S I O N


CARSON, J. :


On the 15th day of December, 1904, a certificate of title to the parcel of land described in the complaint was issued in pursuance of a decree of the Court of Land Registration to one Rafael Herrera. Thereafter Maximo Licauco, one of the defendants in these proceedings, instituted an action against Herrera in the Court of First Instance of Manila, and obtained an order of attachment against the property of Herrera, which was levied on this land on the 1st day of October, 1907, by filing and registering a copy of the order in the office of the register of deeds. On the 10th of March, 1908, Licauco undertook to subject the property thus attached to execution on the judgment in his favor in the action wherein the order of attachment was issued; and together with his codefendant in these proceedings, Jose McMicking, ex officio sheriff of Manila, took the necessary steps looking to the sale at public auction of the above-mentioned parcel of land, for the purpose of recovering therefrom the amount of that judgment. Thereupon Lucio Buzon, the plaintiff in the case at bar, claiming to be the true owner of the land in question, instituted these proceedings for the purpose of enjoining Licauco and the sheriff of Manila from proceeding with the execution of sale.

It appears that on the 6th day of September, 1907, Herrera executed a deed of sale of the land in question to Lucio Buzon, which, on the same day, was duly acknowledged before a notary public, but was not presented to the register of deeds until the 4th day of October, 1907, when Buzon secured from the office of the register of deeds of the city of Manila a certificate of transfer and title to the land in question, which certificate contains, in the memorandum of incumbrances affecting the property described therein, an annotation of the order of attachment filed and registered by Licauco in the office of the register of deeds, on the 1st day of October, 1907.

Licauco, the defendant in the case at bar, insisted that this alleged sale to Buzon was a simulated and not a genuine sale; that the right of ownership never passed by virtue thereof from Herrera, the original owner; that the certificate of title held by Buzon was obtained by fraud; and that, for this reason, as well as because of the fact that he had duly filed and recorded his order of attachment four days prior to the issuance of Buzon’s certificate of transfer and title, this certificate should not be permitted to defeat his right to subject the property in question to execution.

The trial court held that Buzon was entitled to the injunction prayed for, and that Licauco’s remedy for the alleged infringement of his rights resulting from the alleged fraudulent or simulated sale, was in the Court of Land Registration, because in the opinion of the trial judge, Buzon’s certificate of title, issued on October 4, 1907, "was duly issued by the register of deeds of Manila pursuant to a decree of the Court of Land Registration," and under section 38 of Act No. 496, such a decree "shall bind the land and quiet title thereto," and be "conclusive upon and against all persons . . . subject, however, "to the right of any person deprived of land or of any estate or interest therein by decree of registration obtained by fraud to file in the Court of Land Registration a petition for review within one year after entry of the decree." It is very clear, that the trial court erred in thus relying upon the provisions of section 38 of Act No. 496, since Buzon’s certificate of transfer and title shows on its face that it is not the original title to the land in question, issued by the register of deeds, in pursuance of a decree of the Court of Land Registration, having been issued by the register of deeds under the provisions of section 57 of Act No. 496, upon presentation to him of the deed of conveyance from Herrera, to whom the original certificate of title had been issued in pursuance of a decree of the Court of Land Registration on the 15th day of December, 1904.

Upon motion for a new trial, the court reexamined the merits of plaintiff’s contention regardless of the point discussed in its original decision, and in overruling the motion arrived at "the same result;" holding that the evidence failed to establish defendant’s allegations that the conveyance to plaintiff of the land in controversy was fraudulent as to the defendant Licauco, and that the deed of conveyance to Buzon, executed on September 6, 1907, "though unrecorded takes priority over the subsequent attachment of execution against the same property, levied on October 1, 1907," notwithstanding the fact that the order of attachment was filed and recorded in the office of the register of deeds four days prior to the issuance of the certificate of title to Buzon, and the further fact that the levy of attachment was duly annotated in the "memorandum of incumbrances" affecting the property described therein, which appears on the back of the certificate. This ruling appears to be based upon the doctrine laid down by this court in various cases wherein we have held that the levy of an attachment or of an execution against a judgment debtor upon real estate which stands in his name in the old registries of property, created by virtue of the provisions of the Spanish Mortgage Law (Ley Hipotecaria), is void, where it appears that prior to the levy of the attachment or execution, the property has been conveyed to a third party by an unrecorded deed; and that such levies of attachment or execution do not give the judgment creditor any preference over existing claims against the property that have not been recorded; the provisions contained in the statutes of many of the States of America, whereby an unrecorded deed is declared to be of no effect as to a subsequent recorded attachment or as to judgment creditors, not being found in the laws of the Philippine Islands applicable to transactions affecting lands not registered under the Land Registration Act; and the provisions of article 1473 of the Civil code, which give preference to that one of two deeds which is first recorded, not extending to attachments of executions. (See Fabian v. Smith, Bell & Co., Phil. Rep., 496; Boncan v. Smith, Bell & Co., 9 Phil. Rep., 109.)

But it is to be observed that in none of these cases had the property been registered under the provisions of Act No. 496, known as "The Land Registration Act," nor were the levies of attachment made, as in this case, under the provisions of that Act touching "attachments and other liens." And while an unrecorded deed of conveyance executed by the owner of land not registered under the provisions of the Land Registration Act conveys the title and ownership to the purchaser as of the date of its execution, so that a subsequent levy of an attachment or execution by a judgment creditor of the vendor is void and of no effect, the same rule can not be applied where the land has been registered under that Act, because, by its terms, an unrecorded deed of conveyance does not convey or affect the land until and unless the transaction is duly registered.

Section 50 of that Act expressly provides that —

"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 being "the operative act to convey and affect the land." Section 51 provides that —

"Every conveyance, mortgage, lease, lien, attachment, order, decree, instrument or entry, affecting registered land, which would, under existing laws, if recorded, filed, or entered in the office of the register of deeds, affect the real estate to which it relates shall, if registered, filed, or entered in the office of the register of deeds in the province or city where the real estate to which such instrument relates lies, be notice to all persons from the time of such registering, filing, or entering."cralaw virtua1aw library

And section 59 provides that —

"If at the time of any transfer there appear upon the registration book incumbrances or claims adverse to the title of the registered one, they shall be stated in the new certificate or certificates, except so far as they may be simultaneously released or discharged."cralaw virtua1aw library

Under these express provisions of the Land Registration Act, it is clear that the deed of sale of Herrera to Buzon did not take effect as a conveyance, or bind the land, until the 4th day of October, 1907, and that the levy of Licauco’s attachment against the land by the filing and recording of the order of attachment in the office of the register of deeds on the 1st day of October was not affected thereby.

Buzon, on the back of whose certificate of transfer and title appears a memorandum of the levy of attachment, had both actual and constructive notice of the fact that the attachment had been levied upon the land purchased by him, before he became the owner, and clearly he is not entitled to an injunction to restrain Licauco from subjecting this land to execution, in accordance with the provisions of the Land Registration Act touching "attachments and other liens."cralaw virtua1aw library

The judgment of the trial court is reversed, and the injunction granted therein is dissolved, with the costs in the Court of First Instance in favor of the defendants, but without costs to either party in this instance.

Arellano, C.J., Mapa, Johnson and Willard, JJ., concur.




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    013 Phil 70

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    013 Phil 74

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    013 Phil 79

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    013 Phil 88

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    013 Phil 93

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    013 Phil 97

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    013 Phil 103

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    013 Phil 109

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    013 Phil 112

  • G.R. No. 4202 March 9, 1909 - MAMERTO GILLESANIA, ET AL. v. NICOLAS MENASALVAS, ET AL.

    013 Phil 116

  • G.R. No. 4714 March 9, 1909 - UNITED STATES v. EUSEBIO BURIAS, ET AL.

    013 Phil 118

  • G.R. No. 5099 March 9, 1909 - ANGEL ORTIZ v. GRANT TRENT

    013 Phil 130

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    013 Phil 133

  • G.R. No. 4119 March 11, 1909 - EUGENIA PAGALARAN v. VALENTIN BALLATAN, ET AL.

    013 Phil 135

  • G.R. No. 5000 March 11, 1909 - UNITED STATES v. VICTOR SANTO NIÑO

    013 Phil 141

  • G.R. No. 5007 March 11, 1909 - SONG FO & CO. v. TIU CA SONG

    013 Phil 143

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    013 Phil 152

  • G.R. No. 5200 March 11, 1909 - VICENTE BANDOY v. JUDGE OF THE COURT OF FIRST INSTANCE

    013 Phil 157

  • G.R. No. 3894 March 12, 1909 - JUAN IBAÑEZ DE ALCOA v. INSULAR GOVERNMENT

    013 Phil 159

  • G.R. No. 4555 March 12, 1909 - SEVERO HERNANDO v. SEVERO SAMBRANO

    013 Phil 175

  • G.R. No. 4962 March 12, 1909 - UNITED STATES v. VICENTE AGBAYANI

    013 Phil 178

  • G.R. No. 5030 March 12, 1909 - JUAN M. MANZANO v. JOSE TAN SUNCO

    013 Phil 183

  • G.R. No. 4802 March 13, 1909 - ANDRES PUIG, ET AL. v. ANTONIO MERCADO

    013 Phil 186

  • G.R. No. 4776 March 18, 1909 - MANUEL ORMACHEA TIN-CONGCO v. SANTIAGO TRILLANA

    013 Phil 194

  • G.R. No. 5002 March 18, 1909 - MARTIN BELEN, ET AL. v. ALEJO BELEN

    013 Phil 202

  • G.R. No. 3678 March 19, 1909 - CELESTINA SANTOS, ET AL. v. JUANA MARQUEZ, ET AL.

    013 Phil 207

  • G.R. No. 4898 March 19, 1909 - SALVADOR GUERRERO v. LEOPOLDO TERAN

    013 Phil 212

  • G.R. No. 4114 March 20, 1909 - JUAN BRUSAS v. EUTIQUIO INFANTE

    013 Phil 217

  • G.R. No. 4861 March 20, 1909 - F. W. PRISING v. MILTON E. SPRINGER

    013 Phil 223

  • G.R. No. 2935 March 23, 1909 - GOVERNMENT OF THE PHIL. v. GEORGE I. FRANK

    013 Phil 236

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    013 Phil 240

  • G.R. No. 3683 March 23, 1909 - MARIANO PERFECTO v. MUNICIPALITY OF GUINOBATAN

    013 Phil 245

  • G.R. No. 4275 March 23, 1909 - PAULA CONDE v. ROMAN ABAYA

    013 Phil 249

  • G.R. No. 4610 March 23, 1909 - AGUSTIN GA. GAVIERES v. FLORA BROTO

    013 Phil 266

  • G.R. No. 4891 March 23, 1909 - SOFIA DEVESA v. CRISPIN ARBES

    013 Phil 273

  • G.R. No. 5045 March 23, 1909 - GUILLERMO BOWLER v. PASTRO ALCAZAR

    013 Phil 282

  • G.R. No. 4796 March 25, 1909 - UNITED STATES v. SILVERIO PEREZ, ET AL.

    013 Phil 287

  • G.R. No. 4912 March 25, 1909 - UNITED STATES v. EMILIA GUY-SAYCO

    013 Phil 292

  • G.R. No. 5008 March 25, 1909 - IN RE: MANUELA AMANCIO TOMAS, ET AL. v. JORGE PARDO

    013 Phil 297

  • G.R. No. 3413 March 27, 1909 - POMPOSA BONJOC, ET AL. v. CANDELARIO CUISON

    013 Phil 301

  • G.R. No. 3876 March 27, 1909 - RUFINA YATCO v. JESUALDO GANA

    013 Phil 305

  • G.R. No. 4053 March 27, 1909 - IN RE: SERAFIN CANO URQUISA

    013 Phil 315

  • G.R. No. 4575 March 27, 1909 - TEODORICA ENDENCIA CUSAR v. INSULAR GOVERNMENT

    013 Phil 319

  • G.R. No. 4783 March 27, 1909 - LUCIO J. BUZON v. INSULAR GOVERNMENT, ET AL.

    013 Phil 324

  • G.R. No. 4799 March 27, 1909 - AGRIPINO SEGOVIA v. PROVINCIAL BOARD OF ALBAY, ET AL.

    013 Phil 331

  • G.R. No. 4825 March 27, 1909 - UNITED STATES v. BERNARDO SANCHEZ

    013 Phil 337

  • G.R. No. 4882 March 27, 1909 - RUPERTO MONTINOLA v. LUCRECIO HOFILENA, ET AL.

    013 Phil 339

  • G.R. No. 4937 March 27, 1909 - CRISPULO SIDECO v. FRANCISCO PASCUA

    013 Phil 342

  • G.R. No. 4946 March 27, 1909 - MANILA RAILROAD COMPANY v. MARIA DEL CARMEN RODRIGUEZ, ET AL.

    013 Phil 347

  • G.R. No. 4966 March 27, 1909 - LUCIO BUZON v. MAXIMO LICAUCAO, ET AL.

    013 Phil 354

  • G.R. No. 5074 March 27, 1909 - VICENTA FRANCO v. C. W. O’BRIEN

    013 Phil 359

  • G.R. No. 4192 March 29, 1909 - DAVID SALVACION v. EUSTAQUIO SALVACION

    013 Phil 366

  • G.R. No. 4559 March 29, 1909 - TOMAS S. GUISON v. INSULAR GOVERNMENT

    013 Phil 374

  • G.R. No. 4952 March 29, 1909 - TOMAS OLINO v. MARIANO MEDINA

    013 Phil 379

  • G.R. No. 4329 March 30, 1909 - UNITED STATES v. EPIFANIO MAGCOMOT, ET AL.

    013 Phil 386

  • G.R. No. 4226 March 31, 1909 - LA COMPANIA GENERAL DE TABACOS DE FILIPINAS v. CANDIDA OBED, ET AL.

    013 Phil 391

  • G.R. No. 4380 March 31, 1909 - UNITED STATES v. ESTANISLAO ANABAN, ET AL.

    013 Phil 398

  • G.R. No. 4462 March 31, 1909 - UNITED STATES v. AGRIPINO ZABALLERO, ET AL.

    013 Phil 405

  • G.R. No. 4705 March 31, 1909 - UNITED STATES v. ANTONINA LAMPANO, ET AL.

    013 Phil 409

  • G.R. No. 4885 March 31, 1909 - UNITED STATES v. VIDAL ROLDAN

    013 Phil 415

  • G.R. No. 4894 March 31, 1909 - GEO WHALEN v. PASIG IRON WORKS

    013 Phil 417

  • G.R. No. 4911 March 31, 1909 - UNITED STATES v. AGUSTIN CONCEPCION, ET AL.

    013 Phil 424