1. SALES; SALE OF PROPERTY SUBJECT TO THE RIGHT OF ANOTHER; VENDEE CANNOT ACQUIRE MORE THAN WHAT VENDOR CAN CONVEY; "RES JUDICATA" NOT A DEFENSE; CASE AT BAR. — In Civil Case No. 1213 of the Court of First Instance of Negros Occidental, the Court adjudged to defendant J. M. the ownership of the whole lot No. 426 of the cadastral survey of Bacolod, and at the same time required defendant C. R. to execute a deed of sale of lot No. 426-A (part of Lot No. 426) in favor of appellee. Subsequently, defendant J. M. sold the said lot to appellant. The present action is one to enforce the obligation imposed by the decision in Civil Case No. 1213 upon defendant C. R. Appellant claims that as the ownership of the entire lot had already been decided in the aforesaid civil case in favor of his predecessor-in-interest, said decision constituted res judicata on the matter. Held: The decision in Civil Case No. 1213, while acknowledging the right of appellant’s predecessor-in-interest to the whole lot No. 426, the same was made subject to the right of the appellee over Lot No. 426-A. Consequently, appellant acquired from. his predecessor all the rights which the latter may have over the lot, subject to the right of the appellee as already stated. He could not claim otherwise for appellant could not acquire more than what the vendor could convey. Appellant’s defense of res judicata is, therefore, untenable.

Lot No. 426 of the cadastral survey of Bacolod with an area of 14,272 square meters, was originally registered in the name of Maria Maning. On October 13, 1924, she sold a part of the said lot with an area of 7,544 square meters, designated as lot No. 426-A, to the Bacolod-Murcia Milling Co., Inc., for the sum of P2,000. As this sale was not reduced to writing, the vendor, upon receipt of the purchase price, promised to execute the corresponding deed of sale but she died without having done so. The ownership of lot No. 426 was transmitted by descent to her daughter, Concepcion de la Rama, who was able to secure a title therefor in her own name (Transfer Certificate of Title No. 170-R [T-1770]). The Bacolod-Murcia Milling Co., Inc., then made a demand on said heir to execute the deed of sale covering lot No. 426-A, but other than acknowledging the sale and promising to do what was required of her, she made no move towards its fulfillment. Instead, on January 20, 1949, she sold the entire lot No. 426 with right of repurchase to Jose Miraflores for the sum of P5,000.

On February 24, 1949, the Bacolod-Murcia Milling Co., Inc., filed a complaint with the Court of First Instance of Negros Occidental (Civil Case No. 1213) against Concepcion de la Rama-Villaruz and Jose Miraflores praying that defendant de la Rama be ordered to execute the necessary deed of sale over Lot No. 426-A of the Bacolod cadastre in its favor and to declare the pacto de retro sale made by said defendant in favor of her co-defendant Miraflores null and void in so far as it affected Lot No. 426-A. Therein defendants filed a "provisional answer" dated May 24, 1949, reserving their right to file an amended answer, but as the aforesaid amended answer was actually . filed only on November 2, 1950, the Court, upon plaintiff’s objection, denied admission thereof and a judgment on the pleadings was rendered on December 6, 1950, ordering defendant Concepcion de la Rama to execute a deed of sale of Lot No. 426-A in favor of plaintiff Bacolod-Murcia Milling Co., Inc. However, by reason of the absence of any allegation of bad faith in the complaint, Jose Miraflores was considered to be a purchaser in good faith and was absolved from any liability. On appeal to this Court, the decision of the lower court was upheld (90 Phil., 154).

In the meantime, or on August 1, 1950, Concepcion de la Rama, assisted by her husband Jes