SPECIAL THIRD DIVISION
G.R. No. 200349, March 06, 2017
FE B. YABUT AND NORBERTO YABUT, SUBSTITUTED BY HIS HEIRS REPRESENTED BY CATHERINE Y. CASTILLO, Petitioners, v. ROMEO ALCANTARA, SUBSTITUTED BY HIS HEIRS REPRESENTED BY FLORA LLUCH ALCANTARA, Respondent.
D E C I S I O N
PERALTA, J.:
Before the Court is a Petition for Review questioning the Decision1 of the Court of Appeals (CA), Cagayan de Oro City, dated March 15, 2011, and its Resolution2 dated January 25, 2012 in CA-G.R. CV No. 81799-MIN which upheld the Decision3 of the Regional Trial Court (RTC), Branch 21, Pagadian City, dated December 19, 2003, ruling that the requisites for the reconveyance of the subject properties were present.
The factual and procedural antecedents of the case, as borne out by the records, are as follows:chanRoblesvirtualLawlibrary
Romeo Alcantara filed a Complaint for Reconveyance alleging that he was the true and lawful owner and possessor of parcels of agricultural residential land located in Balangasan, Pagadian City, known as Lots 6509-C and 6509-D, Pls-119 (now Lots 8780 and 8781, Cad-11910, respectively) with a combined area of 2.5 hectares, more or less. He claimed that he had been in possession of the property since the time he bought it in 1960 from Pantaleon Suazola, who, in turn, had been continuously and openly in occupation and possession of said property in the concept of an owner for more than thirty (30) years before Alcantara acquired the same. Tiburcio Ballesteros then purportedly employed fraud to have the contested property registered in his name. Barely six (6) months later, Ballesteros sold the lots to his daughter, Fe B. Yabut.
For petitioners' part, on the other hand, they contend that Ballesteros applied for a Sales Application (SA 10279) covering a total land area of 46.2930 hectares with the Bureau of Lands as far back as December 9, 1927. On July 31, 1928, Barbara Andoy filed a Sales Application (SA 10960) over a portion of the same land area applied for by Ballesteros. On April 10, 1930, the Assistant Director of Lands issued a Decision in the case S.A. No. 10279, Tiburcio Ballesteros, Applicant and Contestant, versus S.A. No. 10960, Barbara Andoy, Applicant and Respondent, finding that Andoy entered a portion of the land in dispute with the knowledge that the premises had already been applied for by Ballesteros. Since Andoy's entry was not made in good faith, SA 10960 was rejected and SA 10279 was given due course.4 In July 1931, SA 10279 was parcelled into Lot Nos. 5862, 5863, 6576, 6586, 7098, and 6509.
Thereafter, Andoy's heirs entered and laid out their claims on portions of SA 10279: Faustino Andoy Jamisola on Lot No. 6509, Faustina Jamisola de Calivo on Lot No. 6576, and Oliva Jamisola de Libutan on Lot Nos. 6586 and 7098. Because of this, Ballesteros was forced to file a case or forcible entry against the Jamisola siblings in 1938 before the local Municipal Justice of Peace. This was later elevated to the Court of First Instance of Zamboanga. Unfortunately, Ballesteros, being the Commander of the United States Army Forces in the Far East forces in Western Negros, was captured as a prisoner of war during the World War II and imprisoned for three (3) years at the Capas, Tarlac concentration camp. During Ballesteros's absence or specifically on August 20, 1946, Andoy's son, Faustino Andoy Jamisola, sold a part of the subject property to Pantaleon Suazola. Said part covered an area of six (6) hectares and was later identified as Lot No. 6509-A.5
When Ballesteros returned to Pagadian in 1949 after his retirement as Provincial Philippine Constabulary Commander of Pampanga, he learned about the sale of the six (6) hectares between Faustino and Suazola. In deference to Suazola's son, who was his compadre, Ballesteros recognized said sale in an Affidavit, despite the covered property being part of SA 10279. Subsequently, Suazola sold the six (6) hectares to B.B. Andrada.
On September 3, 1952, however, Suazola filed Free Patent Application No. V8352 (FPA No. V8352) over what he identified as Lot No. 4111, which turned out to be the whole 11.5 hectares of Lot No. 6509. Thus, Ballesteros filed a Letter Protest to the Director of Lands against Suazola's FPA No. V8352. On August 11, 1953, the Director of Lands ruled that the rejection of Andoy's sales application in 1930 and the consequent recognition of better rights in favor of Ballesteros were as much binding upon the Jamisola siblings as it had been upon their mother.6 The Jamisola siblings then appealed to the Secretary of the Department of Agriculture and Natural Resources (DANR). On June 30, 1955, the DANR Secretary excluded the lots being claimed by the Jamisola siblings from SA 10279, in line with the government's land for the landless policy. Ballesteros then filed a motion for reconsideration (MR) contending that the Jamisolas were, in fact, not landless and offered proof that they owned several tracts of land. On September 3, 1955, the DANR granted said MR and held that, based on the new evidence presented, the claims of the Jamisolas over the portions in question should be rejected and the whole area covered by the sales application of Ballesteros should be further given due course.7 The Jamisola siblings filed a petition for certiorari before the Court of First Instance (CFI) but the same was dismissed. They elevated the case to the Supreme Court which was docketed as G.R. No. L-17466.
Sometime in May 1958, Andrada's son-in-law, Felipe Fetalvero, caused the survey of Lot No. 6509. In said survey, the portion sold to Andrada was identified as Lot No. 6509-A consisting of 6.3616 hectares. The survey likewise showed that the whole of Lot No. 6509 consisted of 10.5047 hectares, plus another hectare of barangay roads traversing Lot Nos. 6509-A and 6509-D, for a total of 11.5 hectares. Thus, without Lot No. 6509-A and the barangay roads, Lot No. 6509 was still left with a total of 4.1431 hectares consisting of Lot No. 6509-B with 1.7154 hectares, Lot No. 6509-C with 0.9821 hectare, and Lot No. 6509-D with 1.4456 hectares.
On August 12 and September 12, 1960, Romeo B. Alcantara bought Lot Nos. 6509-C and 6509-D from Suazola's heirs. He then applied for a Free Patent over Lot No. 6509-C on October 15, 1960 and another over Lot No. 6509-D on April 25, 1962.
On September 18, 1965, the Supreme Com1, in G.R. No. L-17466, upheld the CFI's dismissal of the petition filed by the Jamisola siblings as well as the September 3, 1955 Order of the DANR granting the MR of Ballesteros. Despite finality of the Court's decision in G.R. No. L-17466, the Jamisolas and their successors-in-interest still refused to vacate the premises of the subject lots. As a result, the Director of Lands issued an Order of Execution on July 6, 1966 directed to the District Land Officer to order the Jamisolas, their relatives, representatives, tenants, or anybody acting in their behalf to vacate the premises and place Ballesteros in peaceful and exclusive possession of the same. Thereafter, the DANR Land Investigator submitted a report stating that the Jamisolas or any of their relatives was not actually living within the premises.
As a result of the favorable ruling, Ballesteros filed a cadastral answer for the judicial confirmation of his title in the cadastral proceedings over Lot Nos. 6509-C and -D in Cadastral Case No. N-14, LRC Cad. Rec. No. N-475. His title to the subject prope11ies was confirmed in said proceedings and eventually, a decree was made registering such title under the Torrens System as Original Certificate of Title (OCT) No. T 0-4,051 on February 24, 1969. Again, Lot No. 6509-A was not included in this OCT since it was that part of the property the sale of which Ballesteros had recognized.
On August 5, 1969, Ballesteros sold Lot Nos. 6509-B, 6509-C, and 6509-D to his daughter, Yabut. Said lots were then registered under TCT No. T-4,975. On September 16, 1969, Alcantara filed a petition for review with the CFI praying that the issuance of the decree of title over the subject lots in favor of Ballesteros and the Yabuts be set aside since he was the true and lawful owner and possessor of said parcels of land and that they were totally devoid of any lawful claim over the subject lots.
On January 13, 1976, the CFI of Zamboanga del Sur dismissed Alcantara's petition, the dispositive portion of which states:ChanRoblesVirtualawlibrary
IN VIEW OF THE FOREGOING CONSIDERATIONS, the motion to dismiss filed by the herein movant Tiburcio Ballesteros is hereby GRANTED and the present petition for review is hereby dismissed. With costs against petitioner.Hence, Alcantara filed the Complaint for Reconveyance.
IT IS SO ORDERED.8chanroblesvirtuallawlibrary
WHEREFORE, judgment is hereby rendered in favor of the plaintiff. Accordingly, defendant is hereby ordered to execute a Deed of Reconveyance in favor of the plaintiff over Lot No. 6509-C, now Lot No. 8780, Pls-119, and Lot No. 6509-D, now Lot No. 8781, Pls-119, both covered by and described in Transfer Certificate No. 4,975, registered in the name of the defendant. Defendant is further ordered to surrender the said transfer certificate of title to the plaintiff together with the Deed of Reconveyance.Subsequently, Fe and her husband, Norberta Yabut, (the Spouses Yabut) elevated the case to the CA. On March 15, 2011, the appellate court dismissed the appeal and affirmed the RTC Decision, viz.:ChanRoblesVirtualawlibrary
In the event of defendant's failure to comply with the foregoing order of the Court, the Sheriff of the Regional Trial Court, Pagadian City, is hereby ordered to execute the necessary Deed of Reconveyance in favor of the plaintiff.
No pronouncement as to cost.
SO ORDERED.11chanroblesvirtuallawlibrary
WHEREFORE, the appeal is DISMISSED.After the Spouses Yabut's Motion for Partial Reconsideration had been denied,13 they filed the instant petition.
SO ORDERED.12chanroblesvirtuallawlibrary
x x x x So, the Secretary of Agriculture and Natural Resources reversed his decision of June 30, 1955 and affirmed the decision of the Director of Lands but excepted Lot No. 6509 which was transferred by Faustina Jamisola to one Pantaleon Suasola and the transfer is also recognized by Ballesteros.16However, while it is true that there was no mention of a specific part of Lot 6509, said property was repeatedly referred to as the lot which was subject of the transfer between Jamisola and Suazola that was recognized by Ballesteros. The Court stresses that the only sale between Jamisola and Suazola that Ballesteros clearly and expressly recognized was the one made on August 20, 1946 over a six (6)-hectare part of Lot 6509, later identified in a survey as Lot 6509-A. Ballesteros even executed an affidavit specially stating that he was acknowledging said sale to Suazola, only because the latter's son was his compadre and only with respect to the six (6) hectares. It could not have been the whole Lot 6509 since the total area of this property covers 11.5 hectares. The lone reason why the DANR failed to specify Lot 6509-A in its September 3, 1955 Order was because the survey on Lot 6509 would be done only in 1958. It had no other way of properly identifying the six (6) hectares which Jamisola sold to Suazola other than by referring to it as Lot 6509, since any portion of Lot 6509 was identified as simply Lot 6509. The Court could not likewise have corrected the same in its 1965 Decision since the appeal before it was exclusively on questions of law and it held that the findings of fact made by the CFI are conclusive and binding against it. The sole issue to be resolved then was whether or not the CFI erred when it held that the Director of Lands and DANR had not acted with grave abuse of discretion in rejecting Suazola's free patent application. The Court in G.R. No. L-17466 ruled that both the decisions of the Director of Lands and DANR Secretary were amply backed up by evidence presented by the parties. Thus, contrary to the erroneous findings of the lower courts in the instant case, Ballesteros has always retained his claim over the rest of Lot 6509 which was not part of the sale between Jamisola and Suazola.
x x x x But upon proof, attached by Ballesteros to his amended motion for reconsideration, that appellants were pot quite landless, the Secretary set aside his decision and affirmed the Director's decision, except with respect to Lot No. 6509 which had been transferred to a certain Suasola, for the reason that Ballesteros recognized the transfer.17chanroblesvirtuallawlibrary
As in the award of moral and exemplary damages, attorney's fees may be awarded only in case plaintiff's action or defendant's stand is so untenable as to amount to gross and evident bad faith.Likewise, the CA did not state any reasonable explanation as to how the registration in the name of Ballesteros became fraudulent. It seemed to simply equate dubiousness to fraud, to wit:ChanRoblesVirtualawlibrary
Without doubt, plaintiff has experienced some suffering by reason of the unjust titling of Lot No. 6509-C and Lot No. 6509-D in the name of Tiburcio Ballesteros. In this case, however, it was not shown that the defendants conspired with Tiburcio Ballesteros to defraud plaintiff.
As fraud is criminal in nature, it must be proved by clear preponderance of evidence. The inadequacy of the contract price and the relationship of the vendor Tiburcio Ballesteros to the vendee Fe Yabut, are not, by themselves, proof of fraud.23chanroblesvirtuallawlibrary
x x x x While it is true that defendants-appellants succeeded in obtaining title in their favor, the same was secured under dubious circumstances. No evidence was presented to establish the claim of defendants-appellants and their predecessors-in-interest to prove that they were in actual, and peaceful possession of the subject property. In fact, to this day, defendants-appellants are not in possession of subject property. Clearly, the registration of the land in the name of Tiburcio Ballesteros, and subsequently to defendants-appellants, was procured through fraud or other illegal means, and in contravention of the Supreme Court Decision in G.R. No. L-17466.24chanroblesvirtuallawlibraryWHEREFORE, in view of the foregoing, the Court GRANTS the petition, and REVERSES and SETS ASIDE the Decision of the Court of Appeals, Cagayan de Oro City, dated March 15, 2011, and its Resolution, dated January 25, 2012, in CA-G.R. CV No. 81799-MIN. Consequently, the Court dismisses Romeo Alcantara's Complaint for Reconveyance Cor being devoid of merit. The Court thus ORDERS the Alcantaras, their successors-in-interest, relatives, representatives, tenants, or anybody acting in their behalf to vacate the premises and finally place petitioners in peaceful and exclusive possession of the same; and the respondents to pay costs of the suit.
Endnotes:
1 Penned by Associate Justice Nina G. Antonio-Valenzuela, with Associate Justices Edgardo A. Camello, and Leoncia R. Dimagiba, concurring; rollo, pp. 35-101.
2 Penned by Associate Justice Edgardo A. Camello, with Associate Justices Carmelita Salandanan Manahan and Pedro B. Corales, concurring; id. at 102-103.
3 Penned by Associate Judge Rolando L. Goan; id. at 58-83.
4Rollo, pp. 4-5.
5Id. at 16-17.
6Id. at 22-24.
7Id. at 24-25.
8Id. at 19.
9Aromin v. Calibo, CA-G.R. CV No. 68811.
10Calibo v. Aromin.
11Rollo, pp. 82-83. (Emphasis in the original)
12Id. at 100. (Emphasis in the original)
13Id. at 102-103.
14Century Iron Works, Inc., et al. v. Bañas, 711 Phil. 576, 585 (2013).
15OMB v. De Villa, G.R. No. 208341, June 17, 2015, 759 SCRA 288, 300-301.
16Jamisola v. Ballesteros, G.R. No. L-17466. (Emphasis ours.)
17Id. (Emphasis ours.)
18Chu, Jr.. et al. v. Caparas, et al., 709 Phil. 319, 331 (2013).
19New Regent Sources, Inc. v. Tanjuatco, Jr., et al., 603 Phil. 321 , 328-329 (2009).
20Ramos v. Intermediate Appellate Court, 256 Phil. 521, 525 (1989).
21Marcopper Mining Corporation v. Garcia, 227 Phil. 166, 178 (1986).
22Spouses Galang v. Spouses Reyes, 692 Phil. 652, 662 (2012).
23Rollo, pp. 81-82. (Emphasis ours.)
24Id. at 98. (Emphasis ours.)