COURSE OUTLINE IN PROPERTY

DEFINITION

Generally, property is an economic concept referring to a mass of things

useful for human activity. It is synonymous with the concept of “thing” which is
broader in scope as it includes both that which may be appropriated and that which
may not be appropriated.

As a course in law, property is that branch of civil law which classifies and
defines the different kinds of appropriable objects, provides for their acquisition and
loss. It treats of the nature and consequences of ownership and possession of real
rights.

I Classification

1.a. Importance of Classification

The classification of property is significant due to different applicable

provisions of the law governing acquisition, possession, disposition, loss,
registration, etc.

Criminal Law
E Commerce
Form of contracts
Prescription
Action and Venue
Taxation

1.b. Classification under the Civil Code (Art. 414)

1. Immovable or Real Property – Art. 415

a. by nature -(1) and (8)
b. by incorporation – (2), (3), (7)
c. by destination – (4), (5), (6), (9)
d. by analogy – (10)
 2. Movable or Personal Property – Arts. 416,417, 418

Differences between Real Rights and Personal Rights

1.c. By Ownership

1.c.1. Res Nullius

1.c.2. Public Domain (Arts. 419, 420-422, 424)

Effect of Classification of Property as Property of Public Dominion

Property is Outside the Commerce of Man

Property Cannot be the Subject of Acquisitive Prescription
Property Cannot be Attached or Levied upon in Execution
Property Cannot be Burdened with a Voluntary Easement

1.c.3. Property of State – Art. 420-422

For Public Use

For Public Service
For Development of National Wealth

1.c.4. Property of Municipal Corporations – Art. 424, par. 1

1.c.5. Private property

Patrimonial Property of State – Art. 421

Patrimonial Property of Municipalities, Cities and Provinces
Art. 424, par. 2
Private Property of Private Persons – Art. 425, par.
Individually
Collectively
1.b. Other Classification based on viewpoints

1.b.1 By their physical existence

a. Corporeal (tangible)
b. Incorporeal (intangible)

1.b.2. By their dependence or importance

a. Principal
b. Accessory

1.b.3. By their Subsistence (Art. 418)

a. Consumable
b. Non-Consumable

1.b.4. By the intention of parties

a. Fungible (replaceable)
b. Non-fungible (irreplaceable)

1.b.5. By its susceptibility to Division

a. Divisible
b. Indivisible

1.b.6. By reason of Designation

a. Generic
b. Specific

1.b.7. By its existence

a. Present
b. Future
 1.b.8. By its susceptibility to Commerce

a. Within the Commerce of Man

b. Outside the Commerce of Man

Cases:

Laurel vs. Garcia G.R. No. 92013 & 92047. July 25, 1990
Davao Sawmill vs Castillo 61 Phil 709
Heirs of Malabanan vs Republic GR No. 179987 September 3, 2013

II. OWNERSHIP

A. Definition

Ownership – It is independent and general right of a person to control a thing,

particularly in his possession, enjoyment, disposition and recovery, subject to no
restrictions, except those imposed by law and the rights of others.

Ownership is a relation in private law by virtue of which a thing (or property

right) pertaining to one person is completely subjected to his will in everything not
prohibited by public law or the concurrence with the rights of another.

B. Kinds of Ownership

a. Full ownership
b. Naked ownership
c. Sole Ownership
d. Co-ownership

C. Rights of an owner under the Civil Code (Art. 428)

c.1. the right to enjoy

includes . . . the right to possess (jus possidendi)

the right to use (jus utendi)
the right to the fruits (jus fruendi)

c.2. the right to dispose (jus disponendi)

 includes . . . the right to consume or destroy (jus abutendi)
the right to encumber or alienate

c.3. the right to recover (jus vindicandi)

Object of recovery

a. Recovery of personal property

Replevin

b. Recovery of real property

Accion Reivindicatoria (reivindicatory action)

Accion Publiciana (plenary action to recover possession)
Forcible Entry or Unlawful Detainer

Requisites in an action to recover (Art.434)

Identity of property
Strength of plaintiff’s title

c.4. Disputable presumption of ownership (Art. 433)

D. Other Specific Rights Found in Civil Code 249, 430, 437, 438,
444

a. Right to Exclude; Self-help; Doctrine of Self Help; Art. 429

b. Right to Enclose or Fence – Art. 430

- the right to exclude and enclose is subject to Art. 431 and the
“state of necessity” (Art. 432)

c. Right to Receive Just Compensation in Case of Expropriation –

Art. 435
d. Right to Hidden Treasure – Arts. 438-439

e. Right to accession –Art. 440

D. Limitation of Real Right of Ownership

1. General Limitation

a. Police power

b. Taxation

c. Eminent domain

2. Specific Limitation

3. Limitations from other provisions of Civil Code

Arts. 431, 432
Arts. 2919, 677, 670, 649, & 652, 637, 676, 644, 684-687

4. Limitation under our Constitution

Art. XII, Sections 7 & 8

Cases:

1. Valdez vs. CA GR No. 132424. May 4, 2006

2. De Gallego vs. Land Authority, L-26848, August 17, 1981 106 SCRA 598,
604-606

III RIGHT OF ACCESSION

A. Concept (Art. 440)

The right of a property owner to everything which is:

1) produced thereby (accession discreta)

2) which is incorporated/attached thereto,(accession continua) either:
2.a) artificially
2.b) naturally

B. General Principles of Accession

 a. Accessory Follows the Principal
b. No Unjust enrichment
c. All Works, Sowing and Planting are Presumed made by
Owner and at his Expense, unless contrary is proved.
d. Accessory Incorporated to principal such that it cannot be
Separated without Injury to Work Constructed or Destruction to
Plantings, construction or works – Art. 447
e. Bad Faith of one Party Neutralizes Bad Faith and other
Dire Consequences
f. Ownership of Fruits –To the Owner of Principal Thing:
Exceptions:

i. Possession in Good Faith

ii. Usufruct
iii. Agricultural Lease
iv. Antichresis

C. Obligation of Receiver of Fruits to pay expenses by 3 rd person in

production , gathering and preservation –Art. 443

D. Kinds of accession

1. Accession Discreta (Fruits) –Art. 441

a. Natural
b. Industrial
c. Civil

2. Accession Continua
a. Over Immovables

1. Artificial or Industrial – Building, Planting

Sowing (bps)

a. Owner is Builder, Planter, sower (BPS)

Using Material of Another Art. 447
- In Good Faith
- In bad Faith

b. BPS Builds Plants or Sows on Another`s

Land Using his Own Materials – Art. 448-
 454
BPS in Good Faith – Art. 448
BPS in Bad Faith – Art. 449, 450, 451

i. Options Open to Owner of Land

a. To acquire building, planting and sowing

BPS has right of retention
- retains possession without paying rental
- not entitled to fruits; his rights are the same as an
antichretic creditor

b. To sell and to BP to lease land to S

- BP may refuse if value of land considerable more

than what was BPed; then – forced lease by LO and
BP
- BPS in Bad Faith – Art. 449, 450, 451

ii. Rights of Builder Planter Sower in bad faith – Art. 452,

443

- Land owner in bad faith but BPS in good faith – Art.

454, 447 – reason for adverting to rule 447

BPS builds, plants, sows on another’s land with material owned by 3 rd person
– Art. 455

Good faith does not exclude negligence – Art. 456

2. Natural
a. Alluvium – Art. 457
b. Avulsion
c. Change of Course of River – Art. 461-463
d. Formation of Islands – Art. 461-465 PD 1067, Water Code

3. Over Movables

a. Conjunction and Adjunction

i. Inclusion or Engraftment
 ii. Soldadura or soldering
a. Plumbatura – different metals
b. Ferruminatio – same metal
iii. Tejido or Weaving
iv Escritura or writing
v. Pintura or painting
c. Commixtion and Confusion
d. Specification

IV. QUIETING OF TITLE

A. Differences Between Action to Quiet Title and Action:

- To Remove A Cloud
- To Prevent a Cloud

B. Prescription of Action – Imprescriptible if plaintiff is in possession; if

not, prescribes within period for filing accion publiciana, accion reivindicatoria

C. Who are Entitled to bring Action? Rule 63 Sec. 1 (par.2) RC

D. Requisites:

1. There is a cloud on title to real property or any interest to real property (Art.
476)
2. Plaintiff has legal or equitable title to or interest in the suject/real property.
3. Instrument, record, claim, etc. must be valid and binding on its face but in
truth and in fact invalid, ineffective, voidable or unenforceable

Note: Plaintiff must return benefits received from defendant

Cases:
1. Republic vs. CA [G.R. No. L-61647. October 12, 1984.]
2. Depra vs Dumlao [G.R. No. L-57348. May 16, 1985.]
3. Tecnogas vs CA[G.R. No. 108894. February 10, 1997.]