LTD Outline Land Registration

8/9/2019 LTD Outline Land Registration

1/23

A. Importance of Land Registration 2

B. Function of Land Registration

2

C. General Legal Principles in Land Registration

2

1. The Identity of the Object and the Subject 2

2. The Consent

2

3. The Booking 2

4. The Publicity 2

D. Title and Deed Registration System 3

1. Deed Registration 3

2. Title Registration 3

3. Difference 3

E. Kinds Title Registration 4

1. Original Registration 4

2. Subsequent Transactions and Transfers of Right 4

E. Torrens System of Land Registration 4

1. Purpose of the Torrens System in General 4

2. Principles Behind the Torrens System 5

II. Land Registration in the Philippines

5

A. System of Recording of Unregistered Lands

5

B. Torrens System of Land Registration 5

III. Operations of the Torrens System in the Philippines

6

A. Operation of the Torrens System in the Philippines

6

1. Act 496 and Presidential Decree No. 1529 6

2. The Mirror Principles - the register is supposed to reflect the correct legalsituation on the parcel. 6

3. Exception to Indefeasibility

8

3. Insurance Principle 13

4. Booking Principle 13

5. Publicity 13

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I. Land Registration in General

A. Importance of Land Registration

! Provide order and stability in society by creating security in property ownership notonly for landowners but also for investors, bankers, government, etc.

! The systems of land registration are frequently directed at protecting the interests ofindividual landowners but they are also instruments of national land policy andmechanisms to support economic development.

B. Function of Land Registration

! Every land administration system should include some form of land registration,which is a process for recording, and in some countries guaranteeing, information

about the ownership of land.

! Land registration is a process of official recording of rights in land through deeds oras title on properties. It means that there is an official record (land register) of rightson land or of deeds concerning changes in the legal situation of defined units ofland. It gives an answer to the questions who and how. In some countrys, thisinformation regarding ownership of identifiable parcel units are contained in acadastre

! The function of land registration is to provide a safe and certain foundation for theacquisition, enjoyment and disposal of such rights in land.

C. General Legal Principles in Land Registration

1. The Identity of the Object and the Subject

! The concerned subject (owners and rights holders) and object (real propertydefined as a parcel) is unambiguously and clearly identified.

! What is owned by who or who owns what?

2. The Consent

!The real entitled person who is booked as such in the register must give hisconsent for a change of the inscription in the land register.

! Exception - Involuntary actions

3. The Booking

! The change in real rights on an immovable property, especially by transfer, is notlegally effected until the change or the expected right is booked or registered inthe land register.

4. The Publicity

! The legal registers are open for public inspection, the published facts can beupheld as being correct by third parties in good faith and can be protected by law.

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D. Title and Deed Registration System

1. Deed Registration

! In Deed Registration, the deed executed by the parties, being a document whichdescribes an isolated transaction on a piece of land, is registered. This deed is

evidence that a particular transaction took place between the parties, but it is inprinciple not in itself a proof of the legal rights of the transacting parties to dealwith the land. Thus before any dealing can be safely effected, the ostensibleowner must trace his ownership back to a good root of title.

! In Deed Registration, the initial enrolment or original registration of a parcel ofland to the system is not necessary. The determination of the rights of the holderof the ostensible title is not material to the registrar as what he is recording arenot titles that his office guarantees but only the transactions or dealings of theparties.

2. Title Registration! In Title Registration, it is not the deed describing the transfer of rights but the legal

consequence of the transaction or the right itself that is registered. The registrarmodifies, cancels and issues new titles in accordance with the deed executed bythe parties to a transaction. To be able to effectively register and issue titles, theregistrar only accepts titles that has been determined and declared by the Stateas indefeasible titles or those titles has been adjudicated in a proceeding thatbinds everyone. This indefeasible titles are then registered and a certificate of titleissued to the owner with a guarantee from the State that the person holding thesame is the true and lawful owner of the property described and that any person

can transact with the registered owner with confidence that the land is not subjectto any unregistered claim coming from third persons.

! Title Registration system shifts the balance significantly towards facility of transfer.It provides a public register of interests in land and enables a purchaser whocomplies with the system to acquire ownership free of a prior interest which is notrecorded in the register.

3. Difference

! Deed registration is concerned with the registration of the legal fact and while titleregistration is concerned with the legal consequence of that fact. In other words,in deed registration, the registrar only records the fact that there was a transactionon a piece of land between the parties by recording the deed evidencing saidtransaction while in title registration, the registrar records the effect of the deedexecuted by the parties and correspondingly makes modification on the title to theland subject of the transaction. Thus, if the deed that was executed by the partieseffectively transferred the land to the buyer, the title registry will cancel the title ofthe registered owner and issue a new title to the buyer as the new owner of theland since this cancellation of the title and issuance of a new one is the legalconsequence of the such sale.

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E. Kinds Title Registration

1. Original Registration

! It deals with the initial compilation of land titles in the registers through thedetermination of tenurial right holder to the land.

! In the Philippines, this is done through the registration of patents and registrationof decrees after original disposition of the State of lands from the public domain.

! Adjudication, as it is called in other countries, of private ownership on lands is thefirst function that the system of land registration has to fulfil. The conferment offirst time ownership of the land by the State to a private individual or entity createstitles that are registered with the land registry. These original titles made up theinitial compilation of land rights in a land registration system.

2. Subsequent Transactions and Transfers of Right

After the original registration of titles conferred by the State, registered owners maytransact their rights on the lands with other persons through deeds and other pubicinstruments. Such deed or public instrument affecting registered land is made ofpublic record through registration of such deed or sale with the land registry.

a) Simple transfer of rights

A person takes the interest of the registered owner of a parcel of land as the samewell-defined parcel.

b) Transfers of rights with property changes

The transaction caused the formation of new parcels of land. In this kind oftransfer, the parcel as a property as a unit and the interest thereat changes as aresult of the transfer. This changes are caused by subdivision or consolidation ofland parcels and involves an elaborate procedure of delineation of the newproperty unit/s. The new owner and his interest will have to be connected to thenewly formed parcels. This means that the existing registers have to be updateddue to subsequent changes in the boundaries of the parcels.

E. Torrens System of Land Registration

1. Purpose of the Torrens System in General

! Provide security of ownership, that is, it should protect an owner against beingdeprived of ownership except by his or her own act or by specific operation of alegal process such as expropriation or debt collection.

! Provide facility of transfer, that is, it should enable anyone, particularly apurchaser, to acquire ownership easily, quickly, cheaply and safely. Unfortunately,the measure designed to achieve one of these purposes is likely to militateagainst achieving the other.

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2. Principles Behind the Torrens System

Under the torrens system was devise to make transfer of title effective, efficient andsimple. In order to do this, title to land are initially acquired only by enrolling the landinto the system (original registration) and thereafter all subsequent transfers anddealings on the land have to be registered to have an effect against third persons

should be registered.

The Mirror Principle

The register is supposed to reflect the correct legal situation on the parcel; theregister should reflect as accurately as possible the true state of title to land sothat persons who propose to deal with land can discover all the facts relative to thetile

The Curtain Principle

No further historical investigation on the title "beyond what is stated register isnecessary; a purchaser should not need to go behind the register to investigatethe root of the title

The Insurance or Guarantee Principle

The State guarantees that what is registered is true for third parties in good faithand that a bona fide rightful claimant who is contradicted by the register isreimbursed from an insurance fund of the state.

CASES:

50. Case #1

51. Case #2

II. Land Registration in the Philippines

In the Philippines, there are presently only two (2) systems of registration of realproperty or rights therein, namely, the Torrens system, and the system of recording ofunregistered real estate. The Spanish Mortgage Law system of registration has beendiscontinued with the enactment of P.D. 892, dated February 16, 1976 and P.D. 1529dated June 11, 1978. Section 1 of P.D. 892 provides that the system of registrationunder the Spanish Mortgage Law is discontinued and all lands recorded under saidsystem which are not yet covered by Torrens Titles shall be considered unregisteredlands.

A. System of Recording of Unregistered Lands

B. Torrens System of Land Registration

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III. Operations of the Torrens System in the Philippines

A. Operation of the Torrens System in the Philippines

1. Act 496 and Presidential Decree No. 1529

2. The Mirror Principles - the register is supposed to reflect the correct legal

situation on the parcel.

a) Original Registration - Issuance of First Torrents Title

! Nature of Proceedings - In Rem

Publication

! To charge the whole world with the knowledge of claim on the land

! To invite third persons, including the State, to contest the claim of ownershipand prove their rights on the land

! Confer the court jurisdiction over the land applied for

Service of Notices

! DENR/Solicitor General

! Adjoining Owners

! Occupants

! National/Local Government Agencies as the case maybe

Judicial if Title is Acquired by Operations of Law

Administrative if Title is Conferred by Public Land Patent

b) Certainty as to the Identity of the Land

Land identification is done through survey; survey is a requirement before a landcan be registered.

! Survey of the land before approval of public land application (Section 8 ofCA No. 141)

! Survey of the land before registration (Section 15 for original voluntaryregistration and Section 35 and 36 for Cadastral)

! Approval of the subdivision survey of the land before issuance of newderivative titles (Section 50, PD No. 1529)

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! Exception: Mistakes in the resurvey or subdivision of registered landresulting in the expansion of the area in the certificate of title is not arecoverable loss from the Assurance fund (Section 101 of PD No. 1529)

c) Certainty as to the Ownership of the Land

The identity of the owner of the registered land is ensured during the originalregistration proceedings, cadastral registration proceedings or through theprocessing of public land application under the Public Land Act; the personalcircumstances of applicants are secured during the proceedings;

The proceedings in original registration by operations of law is in rem andadversarial, thus, the whole world is given an opportunity to contest ownership ofthe applicant. In public lands where the state (as owner) directly confers the landto the grantee who has to be qualified by the lands department.

! Statement of personal circumstances in public land applications;

! Statement of personal circumstances in ordinary and cadastral registrationproceedings;

! Statement of personal circumstances in the certificate of title. (Section 45 ofPD No. 1529)

! Posting of Notice of the Applications

! Publications

CASES: (See Survey Cases)

2. The Curtain Principle - The Creation of an Indefeasible Titles

No further historical investigation on the title beyond what is stated in thecertificate of title issued by the title registry is necessary; a purchaser should notneed to go behind the certificate of title to investigate the root of the title;indefeasible titles on land are created by registration under the system.

! Every registered owner receiving a certificate of title in pursuance of a decreeof registration and every subsequent purchaser of registered land taking acertificate of title for value and in good faith holds the same free form allencumbrance except those noted in the certificate. (Section 44, PD No. 1529);

! A certificate of title shall not be subject to collateral attack. It cannot be altered,modified or cancelled except in a direct proceeding in accordance with law(Section 48, PD No. 1529)

! No title to registered land in derogation of the title of the registered owner shallbe acquire by prescription. (Section 47, PD No. 1529)

CASES:

52. Soliven v. Francisco, GR No. 51450, Feb. 10, 1989 (Where innocent thirdpersons relying on the correctness of the certificate of title issued, acquire

rights over the property, the court cannot disregard such rights and order thetotal cancellation of the certificate for that would impair the public confidence inthe torrens system.)

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53.Duran v. IAC, GR No. L-64159, Sep. 10, 1985

3. Exception to Indefeasibility

Every registered owners and subsequent purchasers of registered lands aresubject to the following encumbrances on the title even if these does not appearon the certificate of title.

! Liens, claims or rights under the law which are not required to appear of recordin the Registry of Deeds

! Unpaid real estate taxes levied and assessed within 2 years

! Public high ways/canals or private way if the title does not state that theboundaries of such highway have been determined

! Disposition pursuant to agrarian reform law

! Registered land are subject to burdens and incident as any arise by operationof law.

! Rights incident to marital relation

! Landlord and tenant

! Liability to attachment or levy on execution

! Liability to any lien of any description established by law on the land and thebuildings

! Change the laws of descent

! Rights of partition between co-owners

! Right to take the same by eminent domain

! Liability to be recovered by an assignee in insolvency or trustee in bankruptcyunder the laws relative to preferences

! Change or affect in any way other rights or liabilities created by law andapplicable to unregistered land, except as otherwise provided under PD No.1529.

a) Deferred indefeasibility

! In Decree - the case cannot be reopened except if such decree wasobtained by actual fraud, action should be filed within 1 year after theissuance of decree. (Section 32, PD No. 1529)

! In Patents- the date of the issuance of patents corresponds to the date ofthe issue of the decree in ordinary registration cases, because the decreefinally awards the land applied for registration to the party entitle to it and thepatent issued by the Director of Lands equally and finally grants, awards andconveys the land applied for to the applicant. The purpose and effect of both

the decree and the paten is the same

Case

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52. Sumail vs. Judge CFI of Cotobato, GR No. L-8278, April 30, 1955

! Exception to the exception - If the property was acquired by an innocentpurchaser for value, then the one year period will not apply.

b) Statutory Liens

2. Reconveyance

a) A legal and equitable remedy granted to the rightful land owner of land which hasbeen wrongfully or erroneously registered in the name of another for purpose ofcompelling the latter to transfer or reconvey the land to him.

b) A person who has been wrongfully or fraudulently deprived of his real property orinterest therein may file an action for reconveyance of said property against theperson who perpetuated the fraud. Instances: mistake, fraud, forgery, breach of

trust, misrepresentation, illegality, lack of marital consent, erroneous inclusion of thelan, registration in bad faith, double titles, double sales, exclusion of co-heirs,expanded areas, equity, re issuable contracts, voida le contracts, up enforceablecontracts, void and in existent contracts.

c) Effect - it operates as an implied trust under Article 1456 of the Civil Code. Thus, anaction to enforce an implied trust is an action based upon an obligation created bylaw. (Villagonzago v. IAC, 167 SCRA, 535)

d) Instances:

(1) Forgery

(a) Cannot be presumed (Aznar Brother Realty Co. v. CA, 327 SCRA359)

(b) The rule is that the registration procured by the presentation of aforged duplicate certificate of titles forged deed of sale or otherinstruments is null and void (Sec. 53 of PD 1529)

i) Fule v. De Lagare (7 SCRA 351)

ii) Deed executed by an impostor (Tenorio-Obsequio v. CA, 230SCRA 550)

(1) Duty of the buyer to ascertain the identity of the sellerespecially when he is not e registered owner (Treasurer ofthe Philippines v. CA, 153 SCRA 359)

(2) Failure to exercise caution is equivalent to bad faith (Egao v.CA, 283 SCRA 484)

(3) Not applicable when the land is already titled in the name ofthe forger or such name indicated by the forger - fraudulentdeed maybe a root of a valid title. The right of an innocent

purchaser for value will have to be respected.

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(a) Does not apply when the real owner had in herpossession her own certificate of title to the land all thetime.

(b) Applicable only when the forger acquires the owner'sduplicate, converts it and then sell it to an innocent

purchaser for value

(2) Lack of Marital Consent

(a) A deed of sale of a conjugal property executed by the wife withouther husband's consent is null and void (Embrado v. CA, 233 SCRA335)

(3) Defects, Errors, on identity of Land

(a) Section 50 par (4) - The Commission may not order or cause anychange, modification, or amendment in the contents of any

certificate of title, or of any decree or plan, including the technicaldescription therein, covering any real property registered under theTorrens system, nor order the cancellation of the said certificate oftitle and the issuance of a new one which would result in theenlargement of the area covered by the certificate of title.

(b) Can be corrected; the long and continued possession of petitionersunder a claim of title cannot be defeated by the claim of a registeredowner whose title is defective from the very beginning (Agne v.Director of Lands, 181 SCRA 793)

(c) Mere possession of certificate of title under the Torrens system isnot conclusive as to the holder's true ownership of all the propertydescribed therein for he does not by virtue of said certificate alonebecome the owner of the land illegally included. (Galloy v. cA 173SCRA 26; Caragay-Layno v. CA, 133 SCRA 718)

(d) The inclusion is null and void, land registration cannot be made ashield (Vda. De Recinto v. Inciong, 77 SCRA 196)

(e) Action is not subject to prescription (see Caragay-Layno and DeRecinto)

(f) Expanded area - see Section 50, PD 1529 and (Republic v. De losAngeles, 159 SCRA 264) Hacienda Calatagan

(4) Double Title

(a) Prior title prevails

i) A land registration court has no jurisdiction to order theregistration of the land already decreed in the name of another inan earlier land registration case (Heirs of Gonzaga v. CA, 261SCRA 327)

ii) Applies to subsequent owners who derives his title from theearlier title (Sales Entrerprise, Inc. V. IAC, 154 SCRA 327)

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iii) Exception: when there is infirmity in the prior title (Azarcon v.Vallarta, 100 SCRA 450)

(b) Owner with two certificate of titles who sold the land to two differentpersons using each of the title (DBP v. Mangawang, 11 SCRA 405) -first registration rule

(5) Double Sale

(a) General Rule: Article 1544. Should an immovable property, theownership belong to the person acquiring it who in good faith firstrecorded the transaction in the Registry of Property. Should there beno inscription, the ownership shall pertain to the person who I. Goodfaith was first in possession and in the absence thereof, to theperson who presents the oldest title, provided there is good faith.

(b) The buyer must not be aware of the flaw; in good faith

(6) Exclusion of co-heirs - A co-heir who, through fraud, obtained a certificate of title in hisname to the prejudice of his co-heirs, is deemed to hold the land in trust for the latter.The action does not prescribe. (Vda. De Jacinto v. Vda de Jacinto, 5 SCRA 371)

e) Prescription of Action

(1) Bilog - annulment of deed of sale prescribes in four years on eh ground that thedefendant had obtained a certificate of title by means of fraudulent deed of sale isvirtually an action for e annulment of the deed by reason of fraud which action shouldbe filed within a period of four (4) years from the time the deed os sale was registeredat the RoD. From said date, it is considered as a constructive notice of the existence

of the deed of sale (Armentia v. Patricia, 18 SCRA 1253; Gatioan v. Tapucar, 140SCRA 311)

(2) But see Civil Code Article 1114 (10 years to bring action; upon a written contract,obligation created by law and judgements)

(a) Ten years from the cause of action accrued which is not necessarilythe date of execution of the contact, Naga Telephone Co., Inc. v. cA,230 SCRA 351)

(b) Title acquired by fraud creates constructive trust - the legal principleis that if the registration of the land is fraudulent, the person in

whose name the land is registered holds it as a mere trustee; andthe real owner is thus entitled to file an action for reconveyancewithin a period of ten (10) years (Pajarillo vs. IAC); there is anobligation to reconvey (Caro vs. CA, 180 SCRA 401)

(3) Action base on Fraud - 10 years from the issuance of title or date of registration ofdeed. (Caro v. CA, GR No. 76148, Dec. 201989; Leyson v. Bontuyan, GR No.156357, Feb. 18, 2005; Casipit v. CA, GR No. 96829, Dec. 9, 1991)

(4) Action base on implied trust - 10 years after issuance of title or date of registration(Villagonzalo v. IAC, GR No. 71110, Nov. 22, 1988; Amerol v. Bagumbaran)

(5) Action base on void contract - Imprescriptible (Solid State Multi-Products Corp. v.CAGR No. 8338, May 6, 1991)

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(6) Action based on fictitious deed - imprescriptible (Lacsamana vs. CA, GR No.121658, March 27, 1988)

(7) Action to quiet title - imprescriptible when in possession (Sapto v. Fabiana, GR No.L-11285, May 16, 1958; Caragay-Layno v. CA GR No. 52064, Dec. 26, 1984; Leysonvs. Buntuyan)

(8) Laches - is one of estoppel because it prevents people who have slept on their rightsfrom prejudicing the rights of third parties who have placed reliance on the inaction ofthe original patentee and his successors in interest (Lucas vs. Gamponia,GR No.L-9335, Oct. 31, 1956)

(9) Res Judicata - Court cancels the title (Roxas v. Court of Appeals, GR No. 138660,Feb. 5, 2004)

(10) State not bound by prescription (Republic v. Ruiz, GR No. L-23712, April 29,1968)

(11) Laches - There is no statutory limit for recovery of a registered land base on laches. Aa long list of cases were decided upholding the doctrine. A word of caution, however,is necessary because the Supreme Court has decided on a case by case basis and ithas not categorically set a specific time which could serve as a precedent.

3. Reversion - restoration of public land fraudulently awarded or disposed of to the massof the public domain

(1) Section 101 of the Public Land Act in relation to Section 35, Chapter XII, Title III of theAdministrative Code of 1987 (EO No. 292);

(2) Action for reversion is instituted by the Solicitor General.

(3) Grounds:

(a) Violation of the Constitution, disposition of inalienable land

(b) Falsehood in the application for a patent

i) Section 91 of the PLA

(4) Director of Lands may investigate even if the patent is already registered andindefeasible (Republic v. De Guzman, 326 SCRA 267)

(5) Action is imprescriptible

4. Caveat Emptor - Although it is a recognized principle that a person dealing withregistered land need not go beyond its certificate of Title, it is expected from thepurchaser of a valued property to inquire first into the status or nature of possession ofthe occupant, whether or not the occupants possess the land en concepto de dueo, inconcept of an owner.

a) The rule of caveat emptor requires the purchasers to be aware of the supposed titleof the vendor and one who buys without checking the vendors title takes all the risksand losses consequent to such failure. Possession by people other than the vendor

without making inquiry, cannot be regarded as bona fide purchaser in good faith.(Dacasin v. Court of Appeals, GR No. L-32723, Oct 28, 1977, Roxas v. Court ofAppeals, GR No. 138660, February 5, 2004).

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b) Generally, circumstances which would have reasonably require the purchaser toinvestigate defects in title (Caram v. Laureta, GR No. L-28740, Feb. 24, 1981)

c) Rule applies to mortgages of real property (Crisostomo v. Court of Appeals,GRNo. 91383, May 31, 1991)

5. Faulty Registration - A certificate of title is not conclusive where it is a product of afaulty registration. (Widows and Orphans Associations, Inc. v. Court of Appeals,GR No. 919797)

3. Insurance Principle

Section 93 to 102 of PD No. 1529 The Assurance Fund is an indemnity fund

created for the purpose of compensating a person who sustains loss or

damage, or is deprived of land or any interest therein in consequence of the

bringing of the land under the operation of the Torrens system or arising

after original registration of the land, through fraud or in consequence of any

error, omission, mistake or misdescription in any certificate of title or in anyentry or memorandum in the registration book. The Fund is sourced from

the amount collected by the register of deeds upon the entry of a certificate

of title in the name of registered owner, as well as upon the original

registration on the certificate of title of a building or other improvement on

the land covered by said certificate equivalent to one-fourth of one per cent

of the assessed value of the real estate on the basis of the last assessment

for taxation purposes. All the money received by the register of deeds shall

be paid to the National Treasurer who shall keep the same in an Assurance

Fund which may be invested in the manner and form authorized by law.

4. Booking Principle

! The act of registration from the time of such registering, filing or entering before theregister of deeds is the constructive notice and operative act to affect land thataffects third persons (Sections 51-52, PD No. 1529).

! Presentation of owners duplicate necessary to transact voluntary registration(Section 54, PD No. 1529).

! Registration of the transaction in the primary entry book (Section 53, PD No. 1529).

5. Publicity

! Notice Requirement in Original and Cadastral proceedings - publication, mailing andposting.

! Certified copies of all instruments filed and registered may also be obtained from theRegister of Deeds upon payment of the prescribed fees. (Section 56, PD No. 1529)

II. Registration of Deeds

A. Meaning - Registration of Deeds and other Instruments or subsequent registrationtakes place when a deed or instrument affecting land is made of public record after the

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date of its original registration. Thus, the registration of a sale, mortgage, lease,attachment, notice of levy or other encumbrances falls within the purview ofsubsequent registration.

B. Kinds of Deed Registration - deed registration is either voluntary of involuntaryregistration of instruments.

1. Voluntary - are contracts or agreements willfully executed by the land owner or hisduly authorized representative such as sales, leases, mortgages, donations,exchanges, trusts or variations thereof affecting real estate.

2. Involuntary - refers to those executed against the will or without the consent of thelandowner contrary to his interest or will affect him adversely such as attachments, levyon execution, adverse claim, lis pendens and other liens

C. Registration of Voluntary Transactions

1. Compliance with the essential requisites of a contract

a) Consent - meeting of the minds;

b) Object Certain - subject of the contract; within the commerce of man and lawful;and

c) Cause - consideration; prestation, services, benefits, pure beneficence or liberality.

2. Observance of the Formal requirements of a public instrument

a) When the law requires that some contracts be in some form in order for it to be validor enforceable, i.e. must be in writing (agreements in marriage, lease of more than

one year, agency to sell real property, donations inter-vivos, etc.)

b) The contract must be executed in the form of a public instrument;

c) Signed by the person/s executing the same;

d) In the presence of two witnesses who shall likewise sign and acknowledge to betheir free act and deed of the parties;

e) Before a notary public or other public officer authorized by law to takeacknowledgement. Documents executed in a foreign country should beacknowledged before a Philippine diplomatic or consular official. If acknowledged

before a foreign notary public, it should be authenticated by the Philippine diplomaticor consular official before it can be registered.

f) All pages of the deed must be signed.

g) The documents presented shall contain the full name, nationality, residence andpostal address of the grantee or other person acquiring or claiming interest; and

h) Must state marital status and name of wife/husband if married.

3. Submission of supporting documents for certain transactions before registrationas provided by special laws

a) Certified true copy of the Tax Declaration in transaction involving transfer ofownership;

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b) Certificate Authorizing Registration (CAR) or Certificate of Exemption from the BIR incase of sale, exchange or other disposition of real property;

c) Certification from the BIR that the documentary stamp tax has been paid;

d) Certification from the LGU Treasurer that the property is not delinquent in thepayment of real estate taxes in case of alienation, transfer or encumbrance of realproperty (Sec. 209, RA 7160, LGC1991);

e) Certification for the LGU Treasurer that the land transfer tax due on the transactionhas been paid in case of sale, donation, barter or any other mode of transferringownership or title of real property (Sec. 135, LGC 1991);

f) Clearance from Department of Agrarian Reform and Affidavit of Total Landholdingsby the vendee in case of sale of agricultural lands;

g) An Order fro the DAR Regional Director approving the sale in case the property soldis covered by an Emancipation Patent;

h) Duly approved subdivision plan and its corresponding Technical Description wherethe property to be titled by virtue of the transaction is a resulting lot of a subdivision;

i) Special Power of Attorney - if the transaction is through an agent;

j) Court Order - if made through a guardians or administrators; and

k) For Corporations - Secretary Certificate or a copy of the Board Resolutionauthorizing the transaction (sale, purchase, exchange) designating the officerauthorize to sign the deed.

4. Performance of the jurisdictional requisites for registration

a) Entry of the document in the primary entry book;

b) Payment of entry and registration fees; and

c) Production of the owners duplicate of title

D. Registration Procedure in Voluntary Registration in General

1. Entry of the document in the primary entry or day book, accompanied by all supportingdocuments applicable to the transaction; All supporting documents applicable to the

transaction should also be submitted together with the basic instruments.

2. Section 56 of PD 1529 require each register of deeds to keep a primary entry bookwhere all instruments relating to registered land shall be entered in the order of theirreception. Entry in the day book is the preliminary step in registration. The annotationof memorandum or the issuance of a new certificate of title is the final step toaccomplish registration. While the preliminary step and the final step may not beaccomplished in the same day, this however, is of no consequence because if actualregistration is accomplished its effect retroacts to the date of entry in the day book.Thus, it has been held that when a sale is registered in the name of the purchaseregistration takes effect on the date when the deed was noted in the entry book and not

when final registration was accomplished.

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3. To be noted in this book is the date, hour and minute of reception of all instrument inthe order they were received.

4. Payment of the entry and registration fee - Upon entry of the document, thecorresponding entry and registration fees should be paid. In default of payment, theentry in the primary entry book will ipso fact become null and void.

5. Surrender of the owners duplicate certificate and al co-owners duplicate if any hadbeen issued.

a) No voluntary instrument shall be registered by the registry of deeds, unless theowners duplicate certificate is presented with such instruments,

b) Exception in cases expressly provided for in PD 1529 or upon order of the court, forcause shown.

c) If co-owners duplicate certificates has been issued, all outstanding certificates soissued shall be surrendered whenever the register of deeds shall register any

subsequent voluntary transaction affecting the whole land or part thereof or anyinterest therein

6. Examination of the document, certificate of title and supporting papers by the deedsexaminer.

a) Registrability of an instrument is initially determined by the deeds examiner of theregistry. If the document is found to comply with all requirements the examinerrecommends its registration to the register of deeds. Otherwise, he recommendsdenial of registration.

b) The deeds examiner, on his own, is generally not allowed to register or denyregistration.

7. Review by the Register of Deeds of the action taken by the deeds examiner.

a) The authority to register or deny registration being lodge with the register of deeds,he is required to review the action taken by the deeds examiner.

b) He may either adopt, alter, modify or reverse such action depending upon his ownappraisal of registrability of the instrument filed for registration.

8. Registration of the document or denial of registration by the register of deeds.

a) If the register of deeds finds that the document presented complies with all therequisites for registration, it is his duty to immediately register the same.

b) If the instrument is not registrable, he shall forthwith deny registration thereof andinform the presentor of such denial in writing, stating the ground or reason therefor,and advising him of his right to appeal by consulta in accordance with Section 117 ofP.D. 1529

c) Where the documents conveys the simple title, such as in sales, donations, barterand other conveyances, the register of deeds shall make out in the registration booka new certificate of title to the grantee and shall prepared and deliver to him as

owner an owners certificate, noting the original and owners duplicate certificate thedate of transfer, the volume and page of the registration book in which the newcertificate is registered and a reference by number to the last preceding certificate.

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The original and owners duplicate of the grantors certificate shall be stampedcancelled.

d) In case the instrument does not divest the ownership or title from the owner or fromthe transferee of the registered owner, now new certificate of title shall be issued.The instrument creating such interests less than ownership shall be registered by a

brief memorandum thereof made by the register of deeds upon the certificate of titleand signed by him. The cancellation or extinguishment of such interests shall beregistered by a brief memorandum thereof made the the register of deeds upon thecertificate of the title and signed by him. The cancellation or extinguishment of suchinterests shall be registered in the same manner. In case the conveyance affectsonly a portion of the land described in the certificate of title, no new certificate shallalso be issued until a plan of the land showing all the portions or lots into which ithas been subdivided and the corresponding technical descriptions shall have beenverified and approve. The instrument shall only be registered by annotation on thegrantors title and its owners duplicate. Pending approval of the plan, no furtherregistration or annotation of any subsequent deed or other voluntary instrument

involving the unsegregated portion conveyed shall be affected, except where suchunsegregated portion was purchase from the government or any of itsinstrumentalities.

e) Should there be subsisting encumbrance or annotation on the grantors title, theyshall be carried over and stated in the new certificate of title except so far as theymay be simultaneously released or discharged.

E. Involuntary Registration

1. Attachment and Execution - a juridical institution which has for its purpose to secure

the outcome of the trial; the chief purpose is to secure a contingent lien on defendantsproperty until plaintiff can, by appropriate proceedings, obtain a judgment and have aproperty applied to tis satisfaction or to make some provision for unsecured debts incase where the means of satisfaction thereof are liable to be removed beyond thejurisdiction or improperly disposed of or concealed or otherwise placed beyond hereach of creditors.

2. Kinds

a) Preliminary Attachment - issued at the institution or the during the progress of anaction commanding the sheriff or other proper officer to attach property rights,credits or effects of defendant to satisfy the demand of plaintiff; an auxiliary remedyand cannot have an independent existence apart form the main claim

b) Garnishment - attachment for credits belonging to the judgement debtor and owingto him from a stranger to the litigation; does not usually involve actual seizure of theproperty;

c) Levy on execution - is the attachment issued to enforce the writ of execution of ajudgment which has become final and executory.

3. Registration of Attachments and Execution

a) Statutory Provisions - Section 69 of PD 1529 and Section 7, Rule 57 of the Rulesof Court

b) Documents to be Registered

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(1) Writ of Attachment or Execution;

(2) Notice of Attachment or levy on the execution; and

(3) Description of the Property;

c) Forms and Contents

(1) The Notice of Attachment or levy on execution should contain a reference to thenumber of the Certificate of Title, the volume and page of the registration book wherethe certificate is registered and the name of the registered owner; not applicable incase of unregistered lanD.

(2) If the attachment is not claimed on all the land, a description sufficiently accurate forthe identification of the land or interest must be made

d) Registration Procedure

(1) Entry in the Day Book or Primary Entry Book;

(2) Payment of entry and registration fee;

(3) A memorandum of the attachment shall be made on the Original of the Certificate ofTitle;

(4) Indexing - the Register of deeds shall index attachments in the name of the applicant,the adverse party, and the person by whom the property is held or in whose name itstands in the records.

e) Effects of Registration

(1) Notice of the attachment is a notice that the property is taken in the custody of the lawas security for the satisfaction of any judgement;

(2) Title still be subject to subsequent transaction but subject to the attachment lien

III. Actions after Registration

All petitions or motions filed under this Section as well as under any other provisionof this Decree after original registration shall be filed and entitled in the original casein which the decree or registration was entered.

A. Amendment and alteration of certificates.1. No erasure, alteration, or amendment shall be made upon the registration book

after the entry of a certificate of title or of a memorandum thereon and theattestation of the same be Register of Deeds, except by order of the properCourt of First Instance. A registered owner of other person having an interest inregistered property, or, in proper cases, the Register of Deeds with the approvalof the Commissioner of Land Registration, may apply by petition to the courtupon the ground that the registered interests of any description, whether vested,contingent, expectant or inchoate appearing on the certificate, have terminatedand ceased; or that new interest not appearing upon the certificate have arisen

or been created; or that an omission or error was made in entering a certificateor any memorandum thereon, or, on any duplicate certificate; or that the same orany person on the certificate has been changed; or that the registered owner

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has married, or, if registered as married, that the marriage has been terminatedand no right or interests of heirs or creditors will thereby be affected; or that acorporation which owned registered land and has been dissolved has notconvened the same within three years after its dissolution; or upon any otherreasonable ground; and the court may hear and determine the petition afternotice to all parties in interest, and may order the entry or cancellation of a new

certificate, the entry or cancellation of a memorandum upon a certificate, orgrant any other relief upon such terms and conditions, requiring security or bondif necessary, as it may consider proper; Provided, however, That this sectionshall not be construed to give the court authority to reopen the judgment ordecree of registration, and that nothing shall be done or ordered by the courtwhich shall impair the title or other interest of a purchaser holding a certificatefor value and in good faith, or his heirs and assigns, without his or their writtenconsent. Where the owner's duplicate certificate is not presented, a similarpetition may be filed as provided in the preceding section. (Section 108).

B. Reconstitution of lost or destroyed original of Torrens title

1. Original copies of certificates of title lost or destroyed in the offices of Register ofDeeds as well as liens and encumbrances affecting the lands covered by suchtitles shall be reconstituted judicially in accordance with the procedureprescribed in Republic Act No. 26.

2. Notice of all hearings of the petition for judicial reconstitution shall be given tothe Register of Deeds of the place where the land is situated and to theCommissioner of Land Registration. No order or judgment ordering thereconstitution of a certificate of title shall become final until the lapse of thirtydays from receipt by the Register of Deeds and by the Commissioner of Land

Registration of a notice of such order or judgment without any appeal havingbeen filed by any of such officials.

C. Adverse Claim

a) An adverse claim is a notice of a claim adverse to the registered owner, thevalidity of which is yet to be stablished in court at some future date, and is nobetter than a notice of lis pendens already pending in court (Acap v. CA, 251SCRA 30).

b) Purpose: to give notice to third persons dealing with the said property thatsomeone is claiming an interest on the subject.

c) Judicial determination is still necessary (Garbin v. CA, 253 SCRA 187)

d) Examples

(1) Seller refused to deliver the owner's duplicate

(2) Claim of heirs who were excluded (Carantes v. CA, 76 SCRA 514)

e) Cancellation by petition in court after 30 days by way of a petition in Court;after said petition, no second claim is allowed.

D. Amendment to the Certificate

1. Section 108. Amendment and alteration of certificates.

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a) Rule: No erasure, alteration, or amendment shall be made upon theregistration book after the entry of a certificate of title or of a memorandumthereon and the attestation of the same be Register of Deeds, except byorder of the court.

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b) Who may file: A registered owner of other person having an interest inregistered property, or, in proper cases, the Register of Deeds with theapproval of the Commissioner of Land Registration

c) Grounds:

(1) That the registered interests of any description, whether vested,contingent, expectant or inchoate appearing on the certificate, haveterminated and ceased; or

(2) That a new interest not appearing upon the certificate have arisen orbeen created;

(3) that an omission or error was made in entering a certificate or anymemorandum thereon, or, on any duplicate certificate;

(4) That the same or any person on the certificate has been changed; or

(5) That the registered owner has married, orif registered as married, thatthe marriage has been terminated and no right or interests of heirs orcreditors will thereby be affected; or

(6) that a corporation which owned registered land and has been dissolvedhas not convened the same within three years after its dissolution; or

(7) upon any other reasonable ground;

d) The court may hear and determine the petition after notice to all parties ininterest, and may order the entry or cancellation of a new certificate, theentry or cancellation of a memorandum upon a certificate, or grant any other

relief upon such terms and conditions, requiring security or bond ifnecessary, as it may consider proper; Provided, however, That this sectionshall not be construed to give the court authority to reopen the judgment ordecree of registration, and that nothing shall be done or ordered by the courtwhich shall impair the title or other interest of a purchaser holding acertificate for value and in good faith, or his heirs and assigns, without his ortheir written consent. Where the owner's duplicate certificate is notpresented, a similar petition may be filed as provided in the precedingsection.

2. All petitions or motions filed under this Section as well as under any other

provision of this Decree after original registration shall be filed and entitled in theoriginal case in which the decree or registration was entered

IV. DEALINGS WITH UNREGISTERED LANDS

A. Registration Under Act 3344 - In order to provide for the registration of instrumentsaffecting unregistered lands, the Administrative Code in Section 194 established asystem of registration under which all documents, affecting lands not registeredunder the Spanish Mortgage Law nor under the Torrens system, be recorded in theland records of the province or city where the land lies. This section of theAdministrative Code was subsequently amended by Act No. 2837 and later on

December 8, 1926, Act No. 3344 was passed revising to a considerable extent theprovisions of the Administrative Code. Rights acquired under this system are notabsolute. By express provision of the governing law they must yield to better rights

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B. (See Legayde vs. Sullano, 49 O.G., pp. 603-609, February, 1953). These wereagain subsequently amended by the provisions of Section 3 of Presidential Decree1529 pertinent portion of which are herein quoted, to wit: The books of registrationfor unregistered lands provided under Section 194 of the Revised AdministrativeCode, as amended by Act 3344, shall continue to remain in force provided allinstruments dealing with unregistered lands shall henceforth be registered under

Section 113 of this Decree (Section 3, P.D. 1529)

C. Recording of instruments relating to unregistered lands. No deed, conveyance,mortgage, lease, or other voluntary instrument affecting land not registered underthe Torrens system shall be valid, except as between the parties thereto, unlesssuch instrument shall have been recorded in the manner herein prescribed inthe office of the Register of Deeds for the province or city where the land lies.

D. The Register of Deeds for each province or city shall keep a Primary Entry Bookand a Registration Book. The Primary Entry Book shall contain, among otherparticulars, the entry number, the names of the parties, the nature of the document,

the date, hour and minute it was presented and received. The recording of the deedand other instruments relating to unregistered lands shall be effected by any ofannotation on the space provided therefor in the Registration Book, after the sameshall have been entered in the Primary Entry Book.

E. If, on the face of the instrument, it appears that it is sufficient in law, the Register ofDeeds shall forthwith record the instrument in the manner provided herein. In casethe Register of Deeds refuses its administration to record, said official shall advisethe party in interest in writing of the ground or grounds for his refusal, and the lattermay appeal the matter to the Commissioner of Land Registration in accordancewith the provisions of Section 117 of this Decree. It shall be understood that any

recording made under this section shall be without prejudice to a third party with abetter right.

F. After recording on the Record Book, the Register of Deeds shall endorse amongother things, upon the original of the recorded instruments, the file number and thedate as well as the hour and minute when the document was received for recordingas shown in the Primary Entry Book, returning to the registrant or person in interestthe duplicate of the instrument, with appropriate annotation, certifying that he hasrecorded the instrument after reserving one copy thereof to be furnished theprovincial or city assessor as required by existing law.

G. Tax sale, attachment and levy, notice of lis pendens, adverse claim and otherinstruments in the nature of involuntary dealings with respect to unregistered lands,

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H. if made in the form sufficient in law, shall likewise be admissible to record under thissection.

I. For the services to be rendered by the Register of Deeds under this section, heshall collect the same amount of fees prescribed for similar services for theregistration of deeds or instruments concerning registered lands.

V. Reversion

A.

B.

VI. Foreign Ownership

A. In general- only Filipino citizens may own land in the Philippines except if theacquisition of the land was through hereditary succession. This is a constitutionalrestriction that was placed under the 1935 Constitution. However, property rights of

American citizens existing prior to the 1935 Constitution are respected. Theprovisions was modified in the 1987 Constitution to exempt natural-born citizenswho had lost his citizenship subject to certain conditions. The 1973 Constitution didnot explicitly allows former natural born citizens to own land, nonetheless, BatasPambansa Bilang 185 allows concession to former Filipinos under the generalpower of the Prime Minister under Section 15 of Article XIII. The presentConstitution only allows two exception to the prohibition against foreign ownership:(1) hereditary succession; and (2) former natural born-citizens. However, propertyrights of alien prior to the 1936 Constitution and the special privileges given toAmerican citizens granted by the 1936 Constitution are respected.

B. Two (2) laws were enacted to implement the rules regarding exceptions of formernatural born citizens to own land.

1. Batas Pambansa Bilang 185 on residential lands; and

2. Republic Act No. 8179 on commercial and industrial lands, amending certainprovisions of the Foreign Investment Act of 1991.

VII. Actions and Petitions subsequent to registration

A. Re-issuance of lost duplicate certificate of titles

B. Reconstitution of lost certificate of title

C. Reversion of the land to the public domain

D. Reconveyance of Title

E. Correction of Errors in the certificate of title

LTD Outline Land Registration

Documents

Transcript of LTD Outline Land Registration