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Property - Title IV - Modifications of Ownership (Possession/Usufruct/Leas…
Property - Title IV - Modifications of Ownership (Possession/Usufruct/Lease)
Possession
Article 523.
Possession is the holding of a thing or the enjoyment of a right. (430a)
A relation of power or control over the object of possession and its possessors, whether it be a thing or a right. Control is one of fact i.e. effective, without regards as to the issue of ownership.
Elements of Possession
Occupancy
- occupancy, apprehension or taking
Animus Possidendi
- a state of mind. Inferred from the fact that the thing is under the apparent control of the possessor.
Forms of Possession
Actual Possession/Constructive Possession
Actual Possession
- refers the manifestation of acts of dominion of such a nature as those an owner would exercise.
The Owner of a real estate can have actual possession not only when he is in physical occupation but when another who recognizes his rights occupies the property (Reyes v. CA 1999)
Here, if person that possesses in fact is different from the person who is the legal possessor - there can still be actual possession by the legal possessor if the possessor-in-fact merely acts as an agent of the latter.
Constructive Possession
- Refers to possession and cultivation of a portion of land under claim of ownership of all.
Requisites
: (1) Actual possession of a portion of the property; (2) Claim of ownership over the whole area; (3) Remainder of the area must not be in the adverse possession of another; (4) Area claimed must be reasonable
Jus Possidendi/Possessionis
Jus Possessionis
- right of possession independent and apart from ownership
Possession in Book II, Title V - addresses this form of possession
Accion Publiciana
- Based on jus possessionis
Jus Possidendi
- right to possession as an incident to ownership
Under the Civil Code
Possession in one's own and and possession in the name of another
Possession in the concept of owner and in the concept of holder
Possession in good faith and in bad faith
(2) Possession in one's own name -
all kinds of possession anchored on a juridical title or right - possession by owner or possession of property by one who recognizes owner's right.
(1) Possession in the name of another -
can cover either Possession as an agent of one entitled to possession such that the possessor becomes a mere instrument for the exercise of the possession
Acquisitive Prescription
Immovables
Good Faith
- possession of 10 years (1134)
Bad Faith
- thirty years of uninterrupted adverse possession (1137)
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Movables (1132)
Theft
- no acquisitive prescription of movables that were acquired through crimes. (1133)
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Good Faith
- 4 Years
Bad Faith
- 8 Years
Requisites
-
Concept of an Owner – demonstrate to other people as If you are the owner (Presupposes that you are not owner)
Public – everybody must know, public must be put on notice
Peaceful – other people are not contesting it for a period of time
Uninterrupted
OCEAN
- Open, Continuous, Exclusive And Notorious possession and occupation.
Possession in the concept of owner/holder (NCC 525)
Owner
- can be either the actual owner or one who represents himself as the owner.
Anchored of the belief that of others/world that the possessor is the owner.
Note that a possessor in the concept of an owner can refer to either possession in bad faith or good faith. So long as OCEAN, then possessor in the concept of an owner.
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Holder
- possessor that acknowledges a superior right of ownership of another.
If a holder by virtue of a title or juridical right, they are considered as possessors in the concept of a holder with respect to the thing itself. However, with respect to the rights, they are possessors in the concept of an owner.
If in the concept of holder, cannot be possessor in good faith over the thing.
Possession in good faith/bad faith (540-541)
Good Faith
- Refers to the belief of the individual itself.
Elements of possession in good faith: (1) the possessor has a title or mode of acquisition; (2) there is a flaw or defect in said title or mode which invalidates it; and (3) the possessor is unaware of the flaw or defect, or believes that the thing belongs to him.
Belief in title must refer to a colorable right, not mere stubborn belief.
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Bad Faith
- Possession with the knowledge of possession with a defect of title
Succession
- Possession in bad faith does not transfer to successors if, the successor is not aware of the defect in the title. In these cases, good faith possession begins at the death of the decedent.(534)
Rights
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Deterioration
In case of deterioration, if bad faith liable even if there is a fortuitous event. If not, then no liability. (552)
Article 524.
Possession may be exercised in one's own name or in that of another. (413a)
Article 525
. The possession of things or rights may be had in one of two concepts: either in the concept of owner, or in that of the holder of the thing or right to keep or enjoy it, the ownership pertaining to another person. (432)
Acquisition of Possession
Material Occupation of a thing or the exercise of a right;
Subjecting the right to the action of will
Proper acts and legal formalities established for the acquisition of such right.
Article 531
. Possession is acquired by the material occupation of a thing or the exercise of a right, or by the fact that it is subject to the action of our will, or by the proper acts and legal formalities established for acquiring such right. (438a)
Material Occupation/Exercise of a Right
- can refer to either Material Occupation or Constructive Possession
Subjection to action of the will
- not material apprehension. But, sufficient act to demonstrate a degree of control such that it becomes subject to one's will.
Tradicion Simbolica
- delivery of symbols which represent delivery of the control of the thing. i.e. giving of keys to a house
Tradicion Longa Manu
- Tranferor pointing out things to be transferred to transferee
Proper Acts and Legal Formalities
- any juridical act by which possession is acquired or to which the law gives the force of acts of possession
Succession
- Succession transfers possession without need of physical or material holding of the property. Relevant in cases of acquisitive prescription, whereby the possession is deemed uninterrupted from the predecessor-in-interest to the heir even if heir doesn't take actual, physical possession.
Where Possession is not Acquired
Article 536.
In no case may possession be acquired through force or intimidation as long as there is a possessor who objects thereto. He who believes that he has an action or a right to deprive another of the holding of a thing, must invoke the aid of the competent court, if the holder should refuse to deliver the thing. (441a)
Force
- If possession is attained through force, etc. and the possessor at the time objects thereto then there is no possession acquired in the eyes of the law.
Toleration
- mere toleration does not affect possession. Possession must be made under claim of title in order to ripen into a right.
In effect, this is possession in the concept of a holder. At most, the possessor has a right under 536.
Clandestine Acts
- If possession is executed without the knowledge of the possessor, there is no transfer of possession.
Once possessor acquires knowledge of the acts, possession changes
Continuity of Possession
- a present possessor who shows proof that he was in possession at a previous time is presumed to have been in continuous possession since that time. (554)
Loss of Possession (555)
Assignment to another, either by gratuitous or onerous title
Act that transfers possession to another person.
Destruction or total loss of the thing, or when it goes out of the commerce of man
Covers things expropriated by the government.
Abandonment of the thing -
Any act that voluntarily renounces right to the thing.
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By the Possession of another
Possession of movables
(NCC 559)
Requisites for Title
- Here, possession equivalent to title if:
In good faith; (
In the concept of owner .
Irrevindicability
- If both requisites are present then the owner cannot recover as the title is valid against them.
Exceptions
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Animals
(560-561)
Can refer to either wild, or domesticated animals or tame.
Wild
- possessed only when they are under control. Otherwise, res nullius
Domesticated
- possessed so long as they maintain habit of returning to possessor/home. (20) day period from loss of possession to recover.
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(2) Means that there must be intent to possess. Thus, if person acquires material possession without knowledge of it, then they are not deemed as possessors.
As a real Right
Carl Von Savigny
- possession is considered as a fact, which gives rise to certain juridical consequences attached to it by law, that confers upon it the character of a right.
People v. Estoista
- intention to possess under the firearms law not intended to imply title or right to the weapon to the exclusion of everyone else. Possession here covers both jus possidendi and jus possessionis. Guilt determined by intent to use.
Civil law contemplates legal possession
Capacity to Possess
- Minors and incaps can acquire possession over things, but not of rights. With respect to rights, they must be assisted by legal representatives. (535)
Usufruct & Lease
Usufruct
Real Right of Temporary Character
- Real Right of temporary character - Authorizes holder to enjoy all utilities which result from the normal exploitation of the property of another in accordance with its destination and which imposes the obligation of restoring at the time specified either the thing itself or in special cases its equivalent
Article 562.
Usufruct gives a right to enjoy the property of another with the obligation of preserving its form and substance, unless the title constituting it or the law otherwise provides. (467)
Rights Granted
- Jus Utendi and Jus Fruendi
Obligation
- generally, to preserve the form and substance of the subject of the usufruct. However, law or stipulation can provide otherwise.
Creation
Article 563
. Usufruct is constituted by law, by the will of private persons expressed in acts inter vivos or in a last will and testament, and by prescription. (468)
Object
Can cover both movables or immovables as well as rights.
Rights
- must be
Not strictly personal rights;
Intransmissible;
Rights must have its own independent existence - thus servitudes can't be the object of usufructs.
Rights of Usufructuary
Obligations of the Usufructuary
During the Life of the Usufruct
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Prior to commencement of usufruct
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During the termination of the Usufruct
Termination of the Usufruct
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Generally, Jus Utendi, Fruendi and Possidendi
Possidendi
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Fruendi
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Utendi
This holds true even against the real owner for the duration of the usufruct.
Rights of Owner
Disponendi
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Basically, allowing one to enjoy another's property. Possession pre-condition to enjoyment.
Lease
Only covers Jus Utendi.
ARTICLE 1643
- In the lease of things, one of the parties binds himself to give to another the enjoyment or use of a thing for a price certain, and for a period which may be definite or indefinite. However, no lease for more than ninety-nine years shall be valid. (1543a)
Real Right
- a lease is a real right. It is an act of strict ownership and not merely an act of administration. Its efficacy continues from the time of the execution of the contract until its termination, either via contractual conditions or non-payment of rentals.Can also be a quasi-real (if registered in registry) or a personal right.
Mere failure to pay rent does not terminate lease. Instead, there must be demand for payment and subsequent non-payment. (Soriano v. CA)