1. OBLIGATIONS AND CONTRACTS; PACTO DE RETRO SALE; LOAN GURANTEED BY A MORTGAGE. — Where the supposed vendors remained in posession of the property sold and were not only bound to pay the purchase price, with the interest thereon, but also under obligation to make payment in installments, immediately after the execution of the deed of sale, and to pay the taxes on said property, as well as the premium of the insurance policy on the house built therein, the contract is one of loan guaranteed by a mortgage, not a conditional sale or an option to purchase .

2. ID.; ID.; ID. — Where the vendee did not demand the delivery either of the property sold upon the execution of the deed of sale, or the transfer certificates of title, and did not file an affidavit of consolidation of her title upon the expiration of the period of redemption, these omissions are indicative of the fact that the property had merely been mortgaged, not sold.

This action was instituted by Pilar Araullo Macoy — in her own behalf and as judicial administratrix of the intestate estate of the late Gregorio Araullo - for the purpose of compelling defendants Carmen Vasquez Trinidad, Zacarias Jamelo and Jose Jamelo, to interplead and litigate among themselves upon their conflicting claims on a given obligation which plaintiff is willing to satisfy, but which, owing to said conflicting claims, she does not know whom to pay. Plaintiff is assisted by her husband Jose Macoy, whereas defendant Carmen Vasquez Trinidad is assisted by her husband Pedro Trinidad. During the pendency of the case, Gertrudis A. Martir was authorized to file a complaint in intervention, in her capacity as administratrix of the intestate estate of her deceased husband, Hermogenes Martir. Said defendants — with the exception of Jose Jamelo — filed their respective answer to plaintiff’s complaint, as well as to the complaint in intervention. In due course, the Court of First Instance of Negros Occidental, thereafter, rendered a decision the dispositive part of which reads as follows:jgc:chanrobles.com.ph

"POR LO EXPUESTO, el Juzgado falla esta causa ordenando a la demandante a pagar a la tercerista en su capacidad de administradora deI Intestado deI finado Hermogenes Martir, dentro del plazo de noventa (90) dias a contar desde la fecha en que sea notificada de esta decision, el saldo del importe del credito hipotecario a favor del finado Hermogenes Martir, con sus intereses de 12 por ciento anual desde el 27 de Octubre de 1937 hasta el 30 de Mayo de 1940, y 8 por ciento anual desde el 31 de Mayo de 1940 hasta su completo pago. Transcurrido dicho plaso, y en caso de incumplimiento de dicho pago, el Sheriff ProvinciaI vendera en publica subasta los y bienes objectos de la hipoteca, debiendo aplicarse eI producto de Ia venta al pago del credito hipotecario tantas veces mencionado y al pago de los interes vencidos.

"Una vez satisfecho el saldo del importe del credito hipotecario, y tan pronto como quede firme y ejecutoria esta decision, la tercerista otorgara la correspondiente escritura de traspaso de los Lotes Nos. 1200-B y 1200 C, ambas del Catastro de Bacolod, con sua mejoras, y a favor del Intestado de la finedo Gregoria Araullo y Pilar Araullo, respectivamente.

"Se ordena a los demandados Carmen Vasquez y Zacarias Jamelo para que pagnen a la tercerista en su referida capacidad las cantidades que respectivamente recibieron erroneamente de la demandante, con sus intereses legales desde la fecha de la presentacion de la demanda en esta causa hasta su completo pago.

"Se sobreseen la contrademanda interpuesta por Zacarias Jamelo en su escrito de contestacion, asi como la reconvenci