QUIETING OF TITLE

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QUIETING OF TITLE

 

WHAT IS AN ACTION FOR QUIETING OF TITLE/ WHAT ARE ITS REQUISITES?

 

Art. 476. Whenever there is cloud on title to real property or any interest therein, by reason of any instrument, record, claim, encumbrance or proceeding which is apparently valid or effective but is in truth and in fact invalid, ineffective, voidable, or unenforceable, and may be prejudicial to said title, an action may be brought to remove such cloud or to quiet the title.

                        An action may also be brought to prevent a cloud from being cast upon title to real property or any interest therein.

Art. 477. The plaintiff must have legal or equitable title to, or interest in the real property which is the subject matter of the action. He need not be in possession of said property.

Art. 478. There may also be an action to quiet title or to remove a cloud therefrom when the contract, instrument or other obligation has been extinguished or has terminated, or has been barred by extinctive prespcription.

Art. 479. The plaintiff must return to the defendant all benefits he may have received from the latter, or reimburse him for expenses that may have redounded to the plaintiff’s benefit.

Case: Ono vs. Lim

            Lucasan vs. PDIC

WHAT ARE SOME INSTANCES WHEN CLOUD OF TITLE ON REAL PROPERTY EXISTS?

  1. An absolute fictitious contract of sale or a sale with simulated consideration.
  2. A sale by an agent without written authority
  3. A forged contract
  4. A contract of sale or donation which has become inoperative because of non performance by the vendee or done of a condition precedent.
  5. A voidable contract.

DOES AN ACTION FOR QUIETING OF TITLE PRESCRIBED?

It depends: If plaintiff is in possession, does not prescribe, only right is to remove or prevent cloud.

                                           If plaintiff is not in possession:

  1. it may prescribe:

                                                            10 years-ordinary prescription

                                                            30 years – extraordinary prescription

  1. may bring ordinary actions of ejectment, publiciana, reivindicatoria

WHEN ACTION TO QUIET TITLE WILL NOT PROSPER?

  1. Dispute is merely boundaries – remedy is relocation survey
  2. Involves interpretation and meaning of contract
  3. Plantiff has no title, either legal or equitable
  4. Action prescribed (plaintiff must be out of possession)
  5. If instrument is void on its face
  6. If it is a mere claim or assertion.

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