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If there are two titles covering the same property, which title shall prevail?

Photo from Unsplash | Ryan Mercier

The following post does not create a lawyer-client relationship between Alburo Alburo and Associates Law Offices (or any of its lawyers) and the reader. It is still best for you to engage the services of a lawyer or you may directly contact and consult Alburo Alburo and Associates Law Offices to address your specific legal concerns, if there is any.

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:

On the assumption that there was regularity in the registration leading to the eventual issuance of subject transfer certificates of title, the better approach is to trace the original certificates from which the certificates of title in dispute were derived. Should there be only one common original certificate of title, …,the transfer certificate issued on an earlier date along the line must prevail, absent any anomaly or irregularity tainting the process of registration. (Top Management Programs Corp. v. Fajardo, G.R. No. 150462, [June 15, 2011], 667 PHIL 144-171)


The law provides that – 

Section 31. Decree of registration. Every decree of registration issued by the Commissioner shall bear the date, hour and minute of its entry, and shall be signed by him. It shall state whether the owner is married or unmarried, and if married, the name of the husband or wife: Provided, however, that if the land adjudicated by the court is conjugal property, the decree shall be issued in the name of both spouses. If the owner is under disability, it shall state the nature of disability, and if a minor, his age. It shall contain a description of the land as finally determined by the court, and shall set forth the estate of the owner, and also, in such manner as to show their relative priorities, all particular estates, mortgages, easements, liens, attachments, and other encumbrances, including rights of tenant-farmers, if any, to which the land or owner’s estate is subject, as well as any other matters properly to be determined in pursuance of this Decree.

The decree of registration shall bind the land and quiet title thereto, subject only to such exceptions or liens as may be provided by law. It shall be conclusive upon and against all persons, including the National Government and all branches thereof, whether mentioned by name in the application or notice, the same being included in the general description “To all whom it may concern”.

While the decree of registration will bind the land and quiet the title thereto, there are instances where the same property is covered by two certificates of title. Jurisprudence is instructive as to what should be considered in case of this scenario.

 

Jurisprudence provides – 

In Degollacion v. Register of Deeds of Cavite, the Supreme Court  held that if two certificates of title purport to include the same land, whether wholly or partly, the better approach is to trace the original certificates from which the certificates of title were derived. Citing our earlier ruling in Mathay v. Court of Appeals, the Court declared:

…where two transfer certificates of title have been issued on different dates, to two different persons, for the same parcel of land even if both are presumed to be title holders in good faith, it does not necessarily follow that he who holds the earlier title should prevail. On the assumption that there was regularity in the registration leading to the eventual issuance of subject transfer certificates of title, the better approach is to trace the original certificates from which the certificates of title in dispute were derived.Should there be only one common original certificate of title, …,the transfer certificate issued on an earlier date along the line must prevail, absent any anomaly or irregularity tainting the process of registration.

 

(Top Management Programs Corp. v. Fajardo, G.R. No. 150462, [June 15, 2011], 667 PHIL 144-171)



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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