ACAP vs CA (Case Digest on Sale)

 ACAP vs CA

GR. No. 118114

Subject: Sale

 

Facts:

Felixberto Oruma inherited a parcel of land from his parent; and the said land was sold by Felixberto to Cosme Pido. Teodoro Acap had been the tenant of a portion of the said land. When ownership was transferred in 1975 by Felixberto to Cosme Pido, Acap continued to be the registered tenant thereof and religiously paid his leasehold rentals.

The controversy began when Pido died intestate, his surviving heirs executed a notarized document denominated as "Declaration of Heirship and Waiver of Rights to the subject lot in favor of EDY DE LOS REYES".

Private respondent sought for petitioner (Acap) to personally inform him that he (Edy) had become the new owner of the land and that the lease rentals thereon should be paid to him. Petitioner refused to pay any further lease rentals. After the lapse of four (4) years, private respondent filed a complaint for recovery of possession and damages against petitioner

During the trial before the court a quo, petitioner reiterated his refusal to recognize private respondent's ownership over the subject land.  [CA] Like the trial court, respondent court was also convinced that the said document stands as prima facie proof of appellee's (private respondent's) ownership of the land in dispute.

 

Issue:

Whether or not the "Declaration of Heirship and Waiver of Right" can be considereda deed of sale.

 

Held:

No.

 

Ratio:

In a Contract of Sale, one of the contracting parties obligates himself to transfer the ownership of and to deliver a determinate thing, and the other party to pay a price certain in money or its equivalent.

Upon the other hand, a declaration of heirship and waiver of rights operates as a public instrument when filed with the Registry of Deeds whereby the intestate heirs adjudicate and divide the estate left by the decedent among themselves as they see fit. It is in effect an extrajudicial settlement between the heirs under Rule 74 of the Rules of Court.

Hence, there is a marked difference between a sale of hereditary rights and a waiver of hereditary rights. The first presumes the existence of a contract or deed of sale between the parties. The second is, technically speaking, a mode of extinction of ownership where there is an abdication or intentional relinquishment of a known right with knowledge of its existence and intention to relinquish it, in favor of other persons who are co-heirs in the succession.