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114151 - Philippine Law

ALEJANDRINO VS. CA
Good Law
THIRD DIVISION G.R. No. 114151, September 17, 1998 MAURICIA ALEJANDRINO, PETITIONER,
VS. THE HONORABLE COURT OF APPEALS, HON. BENIGNO G. GAVIOLA, RTC-9, CEBU CITY,
AND LICERIO P. NIQUE, RESPONDENTS.

DECISION

ROMERO, J.:

Questioned in this petition for review on certiorari is the Decision[1] of the Court of Appeals which ruled
that the trial court, in an action for quieting of title, did not act in excess of jurisdiction when it issued
an order for the segregation of property, after the finality of its decision.

The facts show that the late spouses Jacinto Alejandrino and Enrica Labunos left their six children
named Marcelino, Gregorio, Ciriaco, Mauricia, Laurencia and Abundio a 219-square-meter lot in
Mambaling, Cebu City identified as Lot No. 2798 and covered by Transfer Certificate of Title No.
19658. Upon the demise of the Alejandrino spouses, the property should have been divided among
their children with each child having a share of 36.50 square meters. However, the estate of the
Alejandrino spouses was not settled in accordance with the procedure outlined in the Rules of Court.

Petitioner Mauricia (one of the children) allegedly purchased 12.17 square meters of Gregorio's share,
36.50 square meters of Ciriaco's share and 12.17 square meters of Abundio's share thereby giving
her a total area of 97.43 square meters, including her own share of 36.50 square meters. It turned out,
however, that a third party named Licerio Nique, the private respondent in this case, also purchased
portions of the property, to wit: 36.50 square meters from Laurencia, 36.50 square meters from
Gregorio "through Laurencia," 12.17 square meters from Abundio also "through Laurencia" and 36.50
square meters from Marcelino or a total area of 121.67 square meters of the Alejandrino property.[2]

However, Laurencia (the alleged seller of most of the 121.67 square meters of the property) later
questioned the sale in an action for quieting of title and damages against private respondent Nique. It
was docketed as Civil Case No. CEB-7038 in the Regional Trial Court of Cebu City, Branch 9,
presided by Judge Benigno G. Gaviola. In due course, the lower court rendered a decision on
November 27, 1990 disposing of the case as follows:
"WHEREFORE, the Court hereby renders judgment in favor of defendant and against plaintiff,
dismissing the complaint filed by plaintiff against defendant, and on the Counterclaim and prayer
of defendant in its Answer, the Court hereby declares defendant as the owner in fee simple of the
share of plaintiff Laurencia Alejandrino and the shares of Marcelino, Gregorio and Abundio, all
surnamed Alejandrino, of the parcel of land known as Lot No. 2798 and covered by Transfer
Certificate of Title No. 19658 which 4 shares totals an area of 146 square meters more or less;
and the Court further Orders plaintiff to:

1. Vacate the premises subject of the complaint and surrender the property to defendant to the
extent of the 4 shares aforementioned;

2. Pay the defendant the amount of P15,000.00 as litigation and necessary expenses; the sum of
P10,000.00 as reimbursement for attorney's fees; the sum of P10,000.00 as moral damages and
P10,000.00 as exemplary damages;

3. Plus costs.

SO ORDERED."[3]
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Laurencia appealed the decision to the Court of Appeals under CA-G.R. CV No. 33433 but later
withdrew the same.[4] On April 13, 1992, the Court of Appeals considered the appeal withdrawn in
accordance with Rule 50 of the Rules of Court.[5]

Meanwhile, herein petitioner Mauricia Alejandrino filed on May 5, 1992 before the Regional Trial Court
of Cebu City, Branch VII, a complaint for redemption and recovery of properties with damages against
private respondent Nique that was docketed as Civil Case No. CEB-11673. Adelino B. Sitoy,
Laurencia's counsel in Civil Case No. CEB-7038, filed Civil Case No. CEB-11673 for petitioner
Mauricia.

The amended complaint in the latter case dated May 17, 1992 alleged that private respondent Nique
never notified petitioner Mauricia of the purchase of 121.67 square meters of the undivided Lot No.
2798 nor did he give petitioner Mauricia the preemptive right to buy the area as a co-owner of the
same lot. As such co-owner, petitioner Mauricia manifested her willingness to deposit with the court
the amount of P29,777.78, the acquisition cost of the portion purchased by private respondent Nique.
Petitioner Mauricia also alleged that she demanded from private respondent the area of around 24.34
square meters that the latter had "unduly, baselessly and maliciously claimed as his own but which, as
part of Lot No. 2798, actually belongs to her." The amended complaint prayed that petitioner Mauricia
be allowed to redeem the area of 121.67 square meters under the redemption price of P29,777.78
and that private respondent Nique be ordered to execute the necessary documents for the redemption
and the eventual transfer of certificate of title to her. The amended complaint further prayed for the
return to petitioner Mauricia of the 24.34-square-meter portion of the lot and for damages amounting
to P115,000 and attorney's fees of P30,000.

On August 2, 1993, the lower court granted the motion to admit the amended complaint and forthwith
ordered the defendant therein to file an amended answer.

In Civil Case No. CEB-7038 in the meantime, private respondent filed a motion for the segregation of
the 146-square-meter portion of the property that had been declared by the trial court as his own by
virtue of purchase. On May 6, 1993, the trial court issued an order the pertinent portions of which read
as follows:

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"O R D E R
For resolution is a `Motion to Order Segregation of 146 Square Meters In Lot No. 2798' dated
January 15, 1993 filed by defendant and the `Opposition' thereto dated February 2, 1992 by
plaintiff. Movant-defendant also filed a rejoinder dated February 15, 1993 to the Opposition.

After going over the allegations in the motion, the opposition thereto and the rejoinder as well as
the records of the case, particularly the decision rendered by this Court and the Order dated
October 28, 1992, denying the motion for reconsideration filed by plaintiffs and allowing the
issuance of a writ of execution, the Court is inclined to Grant the instant motion.

xxxxxxxxxxxx

In addition thereto, the Court makes the following observation:

1. Plaintiff (oppositor) has a total share of 146 square meters. This is admitted by her in her
complaint (par. 4 thereof). In the decision rendered by this Court, this share now belongs to
defendant movant by way of sale. The decision of this Court has long become final.

2. The total area of the land is 219 sq. meters (par. 2 of complaint), thus, the share of Mauricia
Alejandrino is only 73 square meters.

3. As early as June 10, 1983, Mauricia Alejandrino and Laurencia Alejandrino had entered into
an 'Extrajudicial Settlement of Estate' whereby they agreed to divide the land subject of this case
with Laurencia Alejandrino owning 146 square meters in the frontage and Mauricia Alejandrino
owning 75 square meters in the back portion (Exh. '16', Extrajudicial Settlement of Estate, par. 1)
(underscoring supplied), and that the parties assure each other and their successor in interest
that a right of way of two meters is granted to each party by the other permanently (Exh. '16', par.
2). This partition is signed by the parties and their witnesses. Although not notarized, it is
certainly valid as between the parties, Maurecia (sic) Alejandrino, being an immediate party, may
not renege on this.

4. Since the share of defendant Licerio P. Nique is specifically known to be 146 square meters,
and that its location shall be on the `frontage' of the property while the 73 square meters of
Maurecia (sic) Alejandrino shall be at the back portion, then, the Court cannot see its way clear,
why the 146 sq. meters share of defendant may not be segregated.

5. The contention by oppositor that the `segregation of defendant's share of 146 sq. meters from
Lot No. 2798 was not decreed in the judgment' is a rather narrow way of looking at the judgment.
Paragraph 1 of the dispositive portion of the judgment by this Court, Orders plaintiff to `vacate the
premises subject of the complaint and surrender the property to defendant to the extent of the 4
shares aforementioned.' The 4 shares of Laurencia Alejandrino of 146 sq. meters can be
segregated because Laurencia and Maurecia had already executed an extrajudicial partition
indicating where their respective shares shall be located (Exh. `16'). To deny the segregation is to
make the decision of this Court just about valueless is not altogether useless. The matter of
allowing the segregation should be read into the decision.

The bottomline is still that plaintiff Laurencia, despite the fact that the decision of this Court had
long become final; and despite the fact that she even withdraw (sic) her appeal, she still is
enjoying the fruits of the property to the exclusion of the rightful owner.

WHEREFORE, the Court hereby Grants the motion. The defendant Licerio Nique may proceed to
segregate his 2146 (sic) sq. meters from Lot NO. 2798 covered by TCT No. 19658, by having the
same surveyed by a competent Geodetic Engineer, at the expense of movant-defendant.

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SO ORDERED."[6]

Petitioner Mauricia questioned this order of the lower court in a petition for certiorari and prohibition
with prayer for the issuance of a writ of preliminary Injunction filed before the Court of Appeals. In
due course, the Court of Appeals dismissed the petition in a Decision promulgated on August 25,
1993.

The Court of Appeals stated that, in issuing the questioned order of May 6, 1993, the respondent court
was merely performing its job of seeing to it that "execution of a final judgment must conform to that
decreed in the dispositive part of the decision." It ratiocinated thus:
"x x x. In ordering the segregation of the 146 square meters, respondent Judge correctly referred
to the text of the decision to ascertain which portion of the land covered by TCT No. 19658 was
actually sold by Laurencia Alejandrino (sister of herein petitioner Mauricia) to private respondent
Nique. The respondent Judge did not err in relying upon Exhibit `16', the Deed of Extrajudicial
Settlement, dated June 10, 1983, mentioned in page 3 of the Decision. Pertinent portion of
Exhibit `16' reads:

`NOW, THEREFORE, the above-named parties-heirs hereby stipulates (sic), declare and agree
as follows:

`1. That the parties have agreed to divide the parcel of land with Laurencia Alejandrino owning
146 square meters in the frontage and Mauricia Alejandrino 73 square meters in the back
portions;

`2. That the parties mutually and reciprocally assure each other and their successor of interest
(sic) that a right of way of two meters is granted to each party to the other permanently.'
(underscoring supplied, Annex `1', Comment, p. 65, Rollo)

duly signed by herein petitioner and witnessed by private respondent Nique. It readily reveals
that when Laurencia subsequently sold her shares to herein private respondent, per the Deed of
Absolute Sale dated October 29, 1986 (Exhs. `B' and `10'), the parties must have referred to the
146 square meters in the frontage described in said document, Exhibit `16'. Laurencia had no
authority to sell more, or, less, than that agreed upon in the extrajudicial settlement between her
and herein petitioner Mauricia. Insofar as the latter is concerned, she is estopped from claiming
that said extrajudicial settlement was a fatally defective instrument because it was not notarized
nor published. What is important is that private respondent personally knew about Laurencia and
Mauricia's agreement because he was a witness to said agreement and he relied upon it when
he purchased the 146 square meters from Laurencia.

It cannot be validly claimed by petitioner that she was deprived of her property without due
process of law considering that private respondent is merely segregating the portion of the land
actually sold to him by Laurencia Alejandrino and it does not affect the 73 square meters that
properly pertain to petitioner.

Moreover, the Supreme Court has ruled that where there is ambiguity caused by an omission or
mistake in the dispositive portion of a decision the court may clarify such ambiguity by an
amendment even after the judgment had become final, and for this purpose it may resort to the
pleadings filed by the parties, the court's finding of facts and conclusions of law as expressed in
the body of the decision (Republic Surety and Insurance Co., Inc., et al., versus Intermediate
Appellate Court, et al., 152 SCRA 309). The assailed order, in effect, clarifies the exact location
of the 146 square meters pursuant to Exhibit `16'. Respondent court did not act in excess of its
jurisdiction. Hence, writs of certiorari and prohibition do not lie in this case."[7]

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Petitioner Mauricia filed a motion for the reconsideration of the Court of Appeals' decision. However,
on February 15, 1994, the Court of Appeals denied the same for lack of merit "there being no new
ground or compelling reason that justifies a reconsideration" of its Decision.[8]

In the instant petition for review on certiorari, petitioner assails the decision of the Court of Appeals,
contending that the lower court acted beyond its jurisdiction in ordering the segregation of the property
bought by private respondent as the same was not decreed in its judgment, which had long become
final and executory. Petitioner argues that partition of the property cannot be effected because private
respondent is also a defendant in Civil Case No. CEB-11673. She asserts that Exhibit 16, the
extrajudicial settlement of estate referred to in the questioned order of the lower court, was not
discussed in the decision of the lower court and even if it were, she could not be bound thereby
considering that she was not a party litigant in Civil Case No. CEB-7038. She questions the validity of
the deed of extrajudicial settlement because it was not notarized or published.

In his comment on the petition, private respondent alleges that although petitioner was not a party
litigant in Civil Case No. CEB-7038, she is estopped from questioning the decision in that case and
filing the instant petition because she had "knowledge of the existence of said case" where res
judicata had set in. He adds that the instant petition was filed in violation of Circular No. 28-91 on
forum shopping "in that the Petitioner in the instant petition whose counsel is also the counsel of
plaintiff-appellant Laurencia Alejandrino in CA-G.R. CV No. x x x, had filed a civil action - Civil Case
No. CEB-11673 x x x for "REDEMPTION & RECOVERY OF PROPERTIES WITH DAMAGES", which
is presently pending before Branch 7 of the Regional Trial Court of Cebu City." He asserts that the
lower court did not exceed its jurisdiction and/or commit grave abuse of discretion in granting his
motion for segregation of the 146 square meters of the land involved that rightfully belonged to him in
accordance with the decision of the lower court. He charges counsel for petitioner with exhibiting
"unethical conduct and practice" in appearing as counsel for petitioner in Civil Case No. CEB-11673
after he had appeared for complainant Laurencia in CA-G.R. CV No. 33433 or Civil Case No. CEB-
7038.

Under the circumstances of this case, the ultimate issue that needs determination is whether or not as
an heir of the Alejandrino property, Laurencia may validly sell specific portions thereof to a third party.

Article 1078 of the Civil Code provides that where there are two or more heirs, the whole estate of the
decedent is, before partition, owned in common by such heirs, subject to the payment of the debts of
the deceased. Under a co-ownership, the ownership of an undivided thing or right belongs to different
persons.[9] Each co-owner of property which is held pro indiviso exercises his rights over the whole
property and may use and enjoy the same with no other limitation than that he shall not injure the
interests of his co-owners. The underlying rationale is that until a division is made, the respective
share of each cannot be determined and every co-owner exercises, together with his co-participants,
joint ownership over the pro indiviso property, in addition to his use and enjoyment of the same.[10]

Although the right of an heir over the property of the decedent is inchoate as long as the estate has
not been fully settled and partitioned,[11] the law allows a co-owner to exercise rights of ownership
over such inchoate right. Thus, the Civil Code provides:
"ART. 493. Each co-owner shall have the full ownership of his part and of the fruits and benefits
pertaining thereto, and he may therefore alienate, assign or mortgage it, and even substitute
another person in its enjoyment, except when personal rights are involved. But the effect of the
alienation or the mortgage, with respect to the co-owners, shall be limited to the portion which
may be allotted to him in the division upon the termination of the co-ownership."

With respect to properties shared in common by virtue of inheritance, alienation of a pro

indiviso portion thereof is specifically governed by Article 1088 that provides:

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"ART. 1088. Should any of the heirs sell his hereditary rights to a stranger before the partition,
any or all of the co-heirs may be subrogated to the rights of the purchaser by reimbursing him for
the price of the sale, provided they do so within the period of one month from the time they were
notified in writing of the sale by the vendor."

In the instant case, Laurencia was within her hereditary rights in selling her pro indiviso share in Lot
No. 2798. However, because the property had not yet been partitioned in accordance with the Rules
of Court, no particular portion of the property could be identified as yet and delineated as the object of
the sale. Thus, interpreting Article 493 of the Civil Code providing that an alienation of a co-owned
property "shall be limited to the portion which may be allotted to (the seller) in the division upon the
termination of the co-ownership," the Court said:
"x x x (p)ursuant to this law, a co-owner has the right to alienate his pro-indiviso share in the co-
owned property even without the consent of the other co-owners. Nevertheless, as a mere part
owner, he cannot alienate the shares of the other co-owners. The prohibition is premised on the
elementary rule that `no one can give what he does not have' (Nemo dat quod non habet). Thus,
we held in Bailon-Casilao vs. Court of Appeals (G.R. No. 78178, April 15, 1988, 160 SCRA 738,
745), viz:

`x x x since a co-owner is entitled to sell his undivided share, a sale of the entire property by one
co-owner without the consent of the other co-owners is not null and void. However, only the rights
of the co-owner-seller are transferred, thereby making the buyer a co-owner of the property.

`The proper action in cases like this is not for the nullification of the sale or for the recovery of
possession of the thing owned in common from the third person who substituted the co-owner or
co-owners who alienated their shares, but the DIVISION of the common property of the co-
owners who possessed and administered it.'"[12]

The legality of Laurencia's alienation of portions of the estate of the Alejandrino spouses was settled
in Civil Case No. CEB-7038. The decision in that case had become final and executory with
Laurencia's withdrawal of her appeal. When private respondent filed a motion for the segregation of
the portions of the property that were adjudged in his favor, private respondent was in effect calling for
the partition of the property. However, under the law, partition of the estate of a decedent may only be
effected by (1) the heirs themselves extrajudicially, (2) by the court in an ordinary action
for partition, or in the course of administration proceedings, (3) by the testator himself, and (4) by the
third person designated by the testator.[13]

The trial court may not, therefore, order partition of an estate in an action for quieting of title. As there
is no pending administration proceedings, the property of the Alejandrino spouses can only be
partitioned by the heirs themselves in an extrajudicial settlement of estate. However, evidence on the
extrajudicial settlement of estate was offered before the trial court and it became the basis for the
order for segregation of the property sold to private respondent. Petitioner Mauricia does not deny the
fact of the execution of the deed of extrajudicial settlement of the estate. She only questions its validity
on account of the absence of notarization of the document and the non-publication thereof.

On extrajudicial settlement of estate, Section 1 of Rule 74 of the Rules of Court provides:

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"If the decedent left no will and no debts and the heirs are all of age, or the minors are
represented by their judicial or legal representatives duly authorized for the purpose, the parties
may, without securing letters of administration, divide the estate among themselves as they see
fit by means of a public instrument filed in the office of the register of deeds, and should they
disagree, they may do so in an ordinary action for partition. x x x.

The fact of the extrajudicial settlement or administration shall be published in a newspaper of

general circulation in the manner provided in the next succeeding section; but no extrajudicial
settlement shall be binding upon any person who has not participated therein or had no notice
thereof."

Notarization of the deed of extrajudicial settlement has the effect of making it a public
document[14] that can bind third parties. However, this formal requirement appears to be superseded
by the substantive provision of the Civil Code that states:
"ART. 1082. Every act which is intended to put an end to indivision among co-heirs and legatees
or devisees is deemed to be a partition, although it should purport to be a sale, an exchange, a
compromise, or any other transaction."

By this provision, it appears that when a co-owner sells his inchoate right in the co-ownership, he
expresses his intention to "put an end to indivision among (his) co-heirs." Partition among co-owners
may thus be evidenced by the overt act of a co-owner of renouncing his right over the property
regardless of the form it takes. In effect, Laurencia expressed her intention to terminate the co-
ownership by selling her share to private respondent.

Moreover, the execution of the deed of extrajudicial settlement of the estate reflected the intention of
both Laurencia and petitioner Mauricia to physically divide the property. Both of them had acquired the
shares of their brothers and therefore it was only the two of them that needed to settle the estate. The
fact that the document was not notarized is no hindrance to its effectivity as regards the two of them.
The partition of inherited property need not be embodied in a public document. In this regard,
Tolentino subscribes to that opinion when he states as follows:
"x x x. We believe, however, that the public instrument is not essential to the validity of the
partition. This is not one of those contracts in which form is of the essence. The public instrument
is necessary only for the registration of the contract, but not for its validity. The validity of an oral
contract among the heirs, terminating the co-ownership, has been recognized by the Supreme
Court in a decision x x x (where) that tribunal said: `An agreement among the heirs that a certain
lot should be sold and its proceeds paid to one of them is a valid oral contract, and the same has
the force of law between the parties from and after the original assent thereto, and no one of
them may withdraw or oppose its execution without the consent of all.'

In a still later case, the Supreme Court held that `partition among heirs or renunciation of an
inheritance by some of them is not exactly a conveyance for the reason that it does not involve
transfer of property from one to the other, but rather a confirmation or ratification of title or right to
property by the heir renouncing in favor of another heir accepting and receiving the inheritance.'
Hence, the court concluded, `it is competent for the heirs of an estate to enter into an oral
agreement for distribution of the estate among themselves.'"[15]

The deed of extrajudicial settlement executed by Mauricia and Laurencia evidence their intention to
partition the property. It delineates what portion of the property belongs to each other. That it was not
notarized is immaterial in view of Mauricia's admission that she did execute the deed of extrajudicial
settlement. Neither is the fact that the trial court only mentioned the existence of such document in its
decision in Civil Case No. CEB-7028. That document was formally offered in evidence and the court is
deemed to have duly considered[16] it in deciding the case. The court has in its favor the presumption
of regularity of the performance of its task that has not been rebutted by petitioner Mauricia. Neither
may the fact that the other heirs of the Alejandrino spouses, named Marcelino, Gregorio, Ciriaco and
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Abundio did not participate in the extrajudicial settlement of estate affect its validity. In her amended
complaint in Civil Case No. CEB-11673, petitioner Mauricia herself admitted having acquired by
purchase the rights over the shares of her brothers.

On the part of Laurencia, the court found that she had transmitted her rights over portions she had
acquired from her brothers to private respondent Nique. The sale was made after the execution of the
deed of extrajudicial settlement of the estate that private respondent himself witnessed. The
extrajudicial settlement of estate having constituted a partition of the property, Laurencia validly
transferred ownership over the specific front portion of the property with an area of 146 square meters.

The trial court, therefore, did not abuse its discretion in issuing the order for the segregation of the
property. In so doing, it was merely reiterating the partition of the property by petitioner Mauricia and
her sister Laurencia that was embodied in the deed of extrajudicial settlement of estate. The order
may likewise be deemed as a clarification of its decision that had become final and executory. Such
clarification was needed lest proper execution of the decision be rendered futile.

The Court finds no merit in the issue of forum shopping raised by private respondent. Forum shopping
exists where the elements of litis pendentia are present or where a final judgment in one case will
amount to res judicata in the other.[17] Because the judgment in Civil Case No. CEB-7028 is already
final and executory, the existence of res judicata is determinative of whether or not petitioner is guilty
of forum shopping. For the principle of res judicata to apply, the following must be present: (1) a
decision on the merits; (2) by a court of competent jurisdiction; (3) the decision is final; and (4) the two
actions involve identical parties, subject matter and causes of action.[18] The fourth element is not
present in this case. The parties are not identical because petitioner was not impleaded in Civil Case
No. CEB-7028. While the subject matter may be the same property of the Alejandrino spouses, the
causes of action are different. Civil Case No. CEB-7028 is an action for quieting of title and damages
while Civil Case No. CEB-11673 is for redemption and recovery of properties.

It appears moreover, that private respondent's argument on forum shopping is anchored on the fact
that counsel for both plaintiffs in those two cases is one and the same, thereby implying that the same
counsel merely wanted to prevail in the second case after having failed to do so in the first. The
records show, however, that Laurencia executed an affidavit[19] consenting to the appearance of her
counsel in any case that petitioner Mauricia might file against private respondent. She affirmed in that
affidavit that she could be included even as a defendant in any case that petitioner Mauricia would file
because she "fully agree(d)" with whatever cause of action Mauricia would have against private
respondent. Such a statement can hardly constitute a proper basis for a finding of forum shopping,
much less evidence of misconduct on the part of counsel. As noted earlier, the two cases have
different causes of action and the two plaintiffs who would have conflicting claims under the facts of
the case actually presented a united stand against private respondent. If there is any charge that
could be leveled against counsel, it is his lack of thoroughness in pursuing the action for quieting of
title. As counsel for plaintiff therein, he could have impleaded petitioner Mauricia knowing fully well her
interest in the property involved in order to avoid multiplicity of suits. However, such an omission is not
a sufficient ground for administrative sanction.

WHEREFORE, the instant petition for review on certiorari is hereby DENIED for lack of merit. Costs
against petitioner.

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