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What is the difference between “Title” and “Certificate of Title”?

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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:

Title may be defined as that which constitutes a just cause of exclusive possession, or which is the foundation of ownership of property.  Certificate of title, on the other hand, is mere evidence of ownership; it is not the title to the land itself. (Castillo v. Escutin, G.R. No. 171056, [March 13, 2009], 600 PHIL 303-336)


The law provides – 

The original certificate of title shall be a true copy of the decree of registration. The decree of registration shall be signed by the Commissioner, entered and filed in the Land Registration Commission. The original of the original certificate of title shall also be signed by the Commissioner and shall be sent, together with the owner’s duplicate certificate, to the Register of Deeds of the city or province where the property is situated for entry in his registration book.

(Section 39, P.D. 1529)

 

Jurisprudence provides – 

The Court must clarify that a title is different from a certificate of title. Title is generally defined as the lawful cause or ground of possessing that which is ours. It is that which is the foundation of ownership of property, real or personal.  Title, therefore, may be defined briefly as that which constitutes a just cause of exclusive possession, or which is the foundation of ownership of property.  Certificate of title, on the other hand, is a mere evidence of ownership; it is not the title to the land itself.  Under the Torrens system, a certificate of title may be an Original Certificate of Title, which constitutes a true copy of the decree of registration; or a Transfer Certificate of Title, issued subsequent to the original registration.||| (Castillo v. Escutin, G.R. No. 171056, [March 13, 2009], 600 PHIL 303-336)

 

The certificate of title is indefeasible and imprescriptible and all claims to the parcel of land are quieted upon issuance of the certificate. (Decaleng v. Phil. Episcopal Church, GR No. 171209, June 27, 2012) 

 

The law does not require a person dealing with the owner of registered land to go beyond the certificate of title as he may rely on the notices of the encumbrances on the property annotated on the title. Registration affords legal protection such that the claim of an innocent purchaser for value is recognized as valid despite a defect in the title of the vendor. (PCSO v. New Dagupan Metro Gas Corp., GR No. 173171, July 11, 2012) 

 

Placing a parcel of land under the mantle of the Torrens system does not mean that ownership thereof can no longer be disputed. Ownership is different from a certificate of title, the latter only serving as the best proof of ownership over a piece of land. The certificate cannot always be considered as conclusive evidence of ownership. In fact, mere issuance of the certificate of title in the name of any person does not foreclose the possibility that the real property may be under co-ownership with persons not named in the certificate, or that the registrant may only be a trustee, or that other parties may have acquired interest over the property subsequent to the issuance of the certificate of title. Needless to say, registration does not vest ownership over a property, but may be the best evidence thereof.  (Lacbayan v. Samoy, GR No. 165427, March 21, 2011)



Read also: What are the different modes of acquiring title to property?

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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