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Also, the matters contained in the following were written in accordance with the law, rules, and jurisprudence prevailing at the time of writing and posting, and do not include any future developments on the subject matter under discussion.
AT A GLANCE:
Yes, the law expressly allows the land subject matter of an application for registration to be “dealt with”, i.e., to be disposed of or encumbered during the interval of time between the filing of the application and the issuance of the decree of title, and to have the instruments embodying such disposition or encumbrance presented to the registration court by the interested party” for the court to either “order such land registered subject to the encumbrance created by said instruments, or order the decree of registration issued in the name of the buyer or of the person to whom the property has been conveyed by said instruments. The application need not be amended. (Mendoza v. CA, et. al., G.R. No. L-36637 July 14, 1978)
Pending the issuance of its decree of registration, Lands can be sold, leased, mortgaged or otherwise dealt with.
The law says –
Section 22. Dealings with land pending original registration. After the filing of the application and before the issuance of the decree of registration, the land therein described may still be the subject of dealings in whole or in part, in which case the interested party shall present to the court the pertinent instruments together with a subdivision plan approved by the Director of Lands in case of transfer of portions thereof and the court, after notice to the parties, shall order such land registered subject to the conveyance or encumbrance created by said instruments, or order that the decree of registration be issued in the name of the person to whom the property has been conveyed by said instruments.
(Section 22, P.D. 1529)
As previously held by the Supreme Court:
The law expressly allows the land subject matter of an application for registration to be “dealt with”, i.e., to be disposed of or encumbered during the interval of time between the filing of the application and the issuance of the decree of title, and to have the instruments embodying such disposition or encumbrance presented to the registration court by the interested party” for the court to either “order such land registered subject to the encumbrance created by said instruments, or order the decree of registration issued in the name of the buyer or of the person to whom the property has been conveyed by said instruments. The application need not be amended. (Mendoza v. CA, et. al., G.R. No. L-36637 July 14, 1978)
The law does not require that the application for registration be amended by substituting the “buyer” or the person to whom the property has been conveyed” for the applicant. Neither does it require that the “buyer” or the “person to whom the property has been conveyed” be a party to the case. He may thus be a total stranger to the land registration proceedings. The only requirements of the law are: (1) that the instrument be presented to the court by the interested party together with a motion that the same be considered in relation with the application; and (2) that prior notice be given to the parties to the case.
(Mendoza v. CA, et. al., G.R. No. L-36637 July 14, 1978)
Read also: What is the difference between “Title” and “Certificate of Title”?
Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries regarding taxation and taxpayer’s remedies, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.
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