Philippine Supreme Court Jurisprudence


Philippine Supreme Court Jurisprudence > Year 1954 > August 1954 Decisions > G.R. No. L-6746 August 31, 1954 - ESPERANZA V. BUHAT, ET AL. v. ROSARIO BESANA, ETC., ET AL.

095 Phil 721:




PHILIPPINE SUPREME COURT DECISIONS

EN BANC

[G.R. No. L-6746. August 31, 1954.]

ESPERANZA V. BUHAT, ET AL., Plaintiffs-Appellants, v. ROSARIO BESANA, ETC., ET AL., Defendants-Appellees.

Vicente Abalajon, for Appellants.

Santiago Abela, Vito for Appellees.


SYLLABUS


1. ACTIONS; PRESCRIPTION; MORTGAGE; REGISTRATION OF MORTGAGE DOES NOT MAKE IT IMPRESCRIPTIBLE. — The fact the a mortgage is registered does not make the action to foreclose it imprescriptible.


D E C I S I O N


PARAS, C.J. :


On May 31, 1924, Jose M. Besana mortgaged his undivided one-half share in lot No. 1406 of the cadastral survey of Panay in favor of Luis Bernales, to secure an indebtedness of P900, payable within six years from said date. On October 27, 1926, original certificate of title No. RO-1364 (10255) was issued in the name of Jose M. Besana and Rosario Besana, brother and sister, covering lot No. 1406 in undivided equal shares; and on said certificate the mortgage in favor of Luis Bernales was noted. Jose M. Besana died and his portion passed to his surviving sister, Rosario Besana. Luis Bernales also died and his mortgage credit against Jose M. Besana was inherited by Antonio Bernales who in turn transferred the same to the herein plaintiffs, Esperanza V. Buhat and Mauro A. Buhat. Rosario Besana sold her portion to Manuel B. Bernales who, on June 30, 1950, conveyed it to the plaintiffs. As the indebtedness above referred to remained unpaid, the present action was instituted in the Court of First Instance of Capiz by the plaintiffs against Rosario Besana and her husband Lorenzo Contreras on December 6, 1952, for the foreclosure of the mortgage of May 31, 1924. The defendants Rosario Besana and Lorenzo Contreras filed a motion to dismiss the complaint, on the ground that plaintiffs’ cause of action had prescribed, the complaint having been filed more than ten years from May 31, 1930 (in fact some 22 years after the obligation has become due and demandable). On May 6, 1953, the Court of First Instance of Capiz issued an order dismissing the case without costs. The plaintiffs have appealed.

Appellants’ contention is that, as the mortgage was registered, the action to foreclose did not prescribe, because section 46 of the Land Registration Act, No. 496, provides that "No title to registered land in derogation to that of the registered owner shall be acquired by prescription or adverse possession." This is clearly without merit. The citation speaks of the title of the "registered owner" and refers to prescription or adverse possession as a mode of acquiring ownership, the whole philosophy of the law being merely to make a Torrens title indefeasible and, without more, surely not to cause a registered lien or encumbrance such as a mortgage — and the right of action to enforce it — imprescriptible as against the registered owner. The important effect of the registration of a mortgage is obviously to bind third parties.

Wherefore, the appealed order is affirmed, and it is so ordered with costs against the appellants.

Pablo, Bengzon, Padilla, Montemayor, Reyes, A., Jugo, Bautista Angelo, Labrador, Concepcion and Reyes, J.B.L., JJ., concur.




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