Republic of the
Supreme Court
FIRST DIVISION
FRANCISCO ALONSO, substituted by MERCEDES V. ALONSO,
TOMAS V. ALONSO and ASUNCION V. ALONSO, Petitioners, - versus - CEBU COUNTRY CLUB, INC., Respondent, REPUBLIC OF THE PHILIPPINES, represented by the OFFICE OF THE
SOLICITOR GENERAL,
Public Respondent. |
G.R. No. 188471 Present: PUNO, C.J.,
CARPIO
MORALES, LEONARDO-DE CASTRO, BERSAMIN, and VILLARAMA, JR., JJ. Promulgated: April 20, 2010 |
x-----------------------------------------------------------------------------------------x
D E C I S I O N
BERSAMIN, J.:
By
petition for review on certiorari, the
petitioners appeal the order dated December 28, 2007 of the Regional Trial
Court (RTC), Branch 20, in Cebu City, denying the motion for issuance of
writ of execution of the Office of the Solicitor General (OSG) in behalf of
the Government, and the order dated April 24, 2009, denying their motion for reconsideration filed against
the first order.
Antecedents
The antecedent facts are
those established in Alonso v. Cebu Country Club,[1]
which follow.
Petitioner Francisco M.
Alonso (Francisco) was the only son and sole heir of the late spouses Tomas N.
Alonso and Asuncion Medalle. Francisco died during the pendency of this case,
and was substituted by his legal heirs, namely: his surviving spouse,
Mercedes V. Alonso, his son Tomas V. Alonso (Tomas) and his daughter Asuncion
V. Alonso.[2]
In 1992, Francisco discovered
documents showing that his father Tomas N. Alonso had acquired Lot No. 727 of the Banilad Friar Lands Estate from the Government in or
about the year 1911; that the original vendee of Lot No. 727 had
assigned his sales certificate to Tomas N. Alonso, who had been consequently
issued Patent No. 14353; and that on March 27, 1926, the
Director of Lands had executed a final deed of sale in favor of Tomas N. Alonso,
but the final deed of sale had not been registered with the Register of Deeds
because of lack of requirements, like the approval of the final deed of sale by
the Secretary of Agriculture and Natural Resources, as required by law.[3]
Francisco subsequently found
that the certificate of title covering Lot No. 727-D-2 of the
Banilad Friar Lands Estate had been “administratively reconstituted from the
owner’s duplicate” of Transfer Certificate of Title (TCT) No.
RT-1310 in the name of United Service Country Club, Inc., the predecessor of respondent
Cebu Country Club, Inc (Cebu Country Club); and that upon the order of the court
that had heard the petition for reconstitution of the TCT, the name of the
registered owner in TCT No. RT-1310 had been changed to that
of Cebu Country Club; and that the TCT stated that the reconstituted title was
a transfer from TCT No. 1021.[4]
It is relevant to mention
at this point that the current TCT covering Lot 727-D-2 in the name of Cebu
Country Club is TCT No. 94905, which was entered in the land records of
With his discoveries, Francisco
formally demanded upon Cebu Country Club to restore the ownership and
possession of
On
On
Both parties appealed to
the Court of Appeals (CA), which ultimately affirmed the RTC on
Nothing daunted, Francisco appealed to this Court (G.R. No. 130876).
On
WHEREFORE,
we DENY the petition for review. However, we SET ASIDE the decision of the
Court of Appeals and that of the Regional Trial Court,
IN LIEU THEREOF, we DISMISS the complaint and counterclaim of the parties in Civil Cases No. CEB 12926 of the trial court. We declare that Lot No. 727 D-2 of the Banilad Friar Lands Estate covered by Original Certificate of Title Nos. 251, 232, and 253 legally belongs to the Government of the Philippines. [9]
The petitioners sought a reconsideration. On
In late 2004, the Government, through
the OSG, filed in the RTC a motion for
the issuance of a writ of execution.[11] Cebu
Country Club opposed the motion for the
issuance of a writ of execution in due course.
Later on, the proceedings on the
OSG’s motion for the issuance of a writ
of execution at the instance of Cebu Country Club in deference to the on-going
hearings being conducted by the Committee on Natural Resources of the House of
Representatives on a proposed bill to confirm the TCTs and reconstituted titles
covering the Banilad Friar Lands Estate in Cebu City.[12] The
Congress ultimately enacted a law to validate the TCTs and reconstituted titles
covering the Banilad Friar Lands Estate in
Thereafter, both Cebu Country Club
and the OSG brought the passage of R.A. No. 9443 to the attention of the RTC for
its consideration in resolving the OSG’s motion
for the issuance of a writ of execution.[14] On
The petitioners filed a motion for reconsideration dated
Upon being directed by the RTC to
comment on the petitioners’ motion for
reconsideration, the OSG manifested in writing that the Government was no longer
seeking the execution of the decision in G.R. No. 130876, subject to its
reservation to contest any other titles within the Banilad Friar Lands Estate should
clear evidence show such titles as having been obtained through fraud.[17]
After the filing of the OSG’s
comment, the RTC issued the second appealed order, denying the petitioners’ motion for reconsideration, giving the
following reasons:
1. The party who had a direct interest in the execution
of the decision and the reconsideration of the denial of the motion for
execution was the Government, represented only by the OSG; hence, the
petitioners had no legal standing to file the motion for reconsideration, especially that they were not
authorized by the OSG for that purpose;
2. R.A. No. 9443 “confirms and declares as valid” all
“existing” TCTs and reconstituted titles; thereby, the State in effect waived
and divested itself of whatever title or ownership over the Banilad Friar Lands
Estate in favor of the registered owners thereof, including Lot 727 D-2; and
3. The situation of the parties had materially changed, rendering
the enforcement of the final and executory judgment unjust, inequitable, and impossible,
because Cebu Country Club was now recognized by the State itself
as the absolute owner of
Lot 727 D-2.[18]
Hence, the petitioners appeal by petition for review on certiorari.
Contentions of the Petitioners
The petitioners challenge the orders
dated December 28, 2007 and April 29, 2009, because:
1.
R.A. No. 9443 did
not improve Cebu Country Club’s plight, inasmuch as R.A. No. 9443 presupposed
first a sales certificate that lacked the required signature, but Cebu Country
Club did not have such sales certificate. Moreover, the titleholders were in fact
the owners of the lands covered by their respective titles, which was not true with
Cebu Country Club due to its being already adjudged with finality to be not the
owner of
2.
The doctrine of
law of the case barred the application of R.A. No. 9443 to Cebu Country Club;
3.
The RTC’s
declaration that R.A. No. 9443 confirmed Cebu Country Club as the absolute
owner of Lot 727-D-2 despite the prior and final judgment of the Supreme Court
that Cebu Country Club was not the owner was unconstitutional, because it
virtually allowed the legislative review of the Supreme Court’s decision
rendered against Cebu Country Club;
4.
The use of R.A.
No. 9443 as a waiver on the part of the Government vis-à-vis Cebu Country Club was not only misplaced but downrightly
repugnant to Act 1120, the law governing the legal disposition and alienation
of Friar Lands; and
5. The petitioners had the requisite standing to question
the patent errors of the RTC, especially in the face of the unholy conspiracy
between the OSG and Cebu Country Club, on the one hand, and, on the other hand,
the passage of R.A. No. 9443 and DENR Memorandum No. 16, both of which in fact
made their predecessor Tomas N. Alonso’s sales certificate and patent valid.[19]
Issues
The Court confronts and resolves the
following issues, to wit:
1.
Whether or not the
petitioners were the real
parties-in-interest to question the denial by the RTC of the OSG’s motion
for the issuance of a writ of execution;
2.
Whether or not R.A.
No. 9443 gave the petitioners a legal interest to assail the RTC’s orders; and
3.
Whether or not
the petitioners can appeal by petition for review on certiorari in behalf of the OSG.
Ruling
The petition for
review is denied due course.
A.
Preliminary Considerations:
Petitioners contravene the hierarchy of
courts,
and the petition is fatally defective
Before delving on the stated issues,
the Court notes that the petitioners are guilty of two violations that warrant
the immediate dismissal of the petition for review on certiorari.
The first refers to the petitioners’
breach of the hierarchy of courts by coming directly to the Court to appeal the
assailed issuances of the RTC via
petition for review on certiorari. They
should not have done so, bypassing a review by the Court of Appeals (CA), because
the hierarchy of courts is essential to
the efficient functioning of the courts and to the orderly administration of
justice. Their non-observance of the hierarchy of courts has forthwith enlarged
the docket of the Court by one more case, which, though it may not seem
burdensome to the layman, is one case too much to the Court, which has to devote
time and effort in poring over the papers submitted herein, only to discover in
the end that a review should have first been made by the CA. The time and
effort could have been dedicated to other cases of importance and impact on the
lives and rights of others.
The hierarchy of courts is not to be
lightly regarded by litigants. The CA stands between the RTC and the Court, and
its establishment has been precisely to take over much of the work that used to
be done by the Court. Historically, the CA
has been of the greatest help to the Court in synthesizing the facts, issues,
and rulings in an orderly and intelligible manner and in identifying errors that
ordinarily might escape detection. The Court has thus been freed to better
discharge its constitutional duties and perform its most important work, which,
in the words of Dean Vicente G. Sinco,[20] “is less concerned with the decision
of cases that begin and end with the transient rights and obligations of particular
individuals but is more intertwined with the direction of national policies,
momentous economic and social problems, the delimitation of governmental
authority and its impact upon fundamental rights.”[21]
The need to elevate the matter first
to the CA is also underscored by the reality that determining whether the
petitioners were real parties in interest entitled to bring this appeal against
the denial by the RTC of the OSG’s motion for the issuance of a writ of
execution was a mixed question of fact and law. As such, the CA was in the
better position to review and to determine. In that regard, the petitioners violate
Section 1, Rule 45 of the 1997 Rules of
Civil Procedure, which demands that an appeal by petition for review on certiorari be limited to questions of
law.[22]
The
second violation concerns the omission of a sworn certification against forum
shopping from the petition for review on certiorari.
Section 4, Rule 45 of the 1997 Rules of
Civil Procedure requires that the petition for review should contain, among
others, the sworn certification on the undertakings provided in the last
paragraph of Section 2, Rule 42 of the 1997 Rules
of Civil Procedure, viz:
Section 2. xxx
The petitioner shall
also submit together with the petition a certification under oath that he has
not theretofore commenced any other action involving the same issues in the
Supreme Court, the Court of Appeals or different divisions thereof, or any
other tribunal or agency; if there is such other action or proceeding, he must
state the status of the same; and if he should thereafter learn that a similar
action or proceeding has been filed or is pending before the Supreme Court, the
Court of Appeals, or different divisions thereof, or any other tribunal or
agency, he undertakes to promptly inform the aforesaid courts and other
tribunal or agency thereof within five (5) days therefrom. (n)
Only
petitioner Tomas V. Alonso has executed and signed the sworn certification against forum shopping attached to
the petition. Although neither of his co-petitioners – Mercedes V. Alonso and Asuncion V. Alonso – has joined the certification, Tomas did not present any written express authorization in his
favor authorizing him to sign the certification in their behalf. The signing of the certification by only one
of the petitioners could not be presumed to reflect the personal knowledge by
his co-petitioners of the filing or non-filing of any similar action or claim.[23]
Hence, the failure of Mercedes and
B.
Petitioners are not proper parties
to appeal and assail the order of the RTC
The petitioners are relentless in insisting that their claim to Lot No.
727-D-2 of the Banilad
Friar Lands Estate should be preferred to that of Cebu Country Club, despite the final
judgment in G.R. No. 130876 being adverse to their claim. Their insistence raises
the need to resolve once and for all whether or not the petitioners retained
any legal right to assert over Lot No. 727-D-2 following the
Government’s manifest desistance from the execution of the judgment in G.R. No. 130876
against Cebu Country Club.
The above-noted defects of the petition for review notwithstanding,
therefore, the Court has now to address and resolve the stated issues on the sole
basis of the results the Court earlier reached in G.R. No. 130876. In this
regard, whether or not the petitioners are the proper parties to bring this
appeal is decisive.
After careful consideration, the Court finds that the cause of the
petitioners instantly fails.
In G.R. No. 130876, the Court found that the petitioners did not validly acquire ownership
of Lot No.
727-D-2, and declared that Lot No. 727 D-2 legally belonged to the Government, thus:
The second issue is whether the Court of
Appeals erred in ruling that the Cebu Country Club, Inc. is owner of Lot No. 727.
Admittedly, neither petitioners nor their predecessor had any title to the land in
question. The most that petitioners could claim was that the
Director of Lands issued a sales patent in the name of Tomas N. Alonso. The sales patent, however, and even the corresponding deed of sale were
not registered with the Register of Deeds and no title was ever issued in the
name of the latter.
This is because there were basic requirements not complied with, the most important of which was
that the deed of sale executed by
the Director of Lands was not approved by the Secretary of Agriculture and
Natural Resources. Hence, the deed of sale was void. “Approval
by the Secretary of Agriculture and Commerce is indispensable for the validity
of the sale.” Moreover, Cebu Country Club, Inc. was in possession of the land
since 1931, and had been paying the real estate taxes thereon based on tax
declarations in its name with the title number indicated thereon. Tax receipts
and declarations of ownership for taxation purposes are strong evidence of
ownership. This Court has ruled that although tax declarations or realty tax
payments are not conclusive evidence of ownership, nevertheless, they are good indicia
of possession in the concept of owner for no one in his right mind will be
paying taxes for a property that is not in his actual or constructive
possession.
Notwithstanding this fatal defect, the Court of Appeals
ruled that “there was substantial compliance with the requirement of Act No.
1120 to validly convey title to said lot to Tomas N. Alonso.”
On this point, the Court of Appeals erred.
Under Act No. 1120, which governs the administration and
disposition of friar lands, the purchase by an actual and bona fide settler or
occupant of any portion of friar land shall be “agreed upon between the
purchaser and the Director of Lands, subject to the approval of the Secretary
of Agriculture and Natural Resources (mutatis mutandis).”
In his Memorandum filed on
Only recently, in Jesus P. Liao
v. Court of Appeals, the Court has ruled categorically that approval by the Secretary of Agriculture and
Commerce of the sale of friar lands is indispensable for its validity, hence, the absence of such approval
made the sale null and void ab-initio. Necessarily, there can be no
valid titles issued on the basis of such sale or assignment. Consequently,
petitioner Francisco’s father did not have any registerable title to the land
in question. Having none, he could not transmit anything to his sole heir,
petitioner Francisco Alonso or the latter’s heirs.
In a vain attempt at showing that he had succeeded to the
estate of his father, on
Consequently,
we rule that neither Tomas N. Alonso nor his son Francisco M. Alonso or the
latter’s heirs are the lawful owners of
The
pronouncement in
G.R. No. 130876 renders beyond dispute that the non-execution of the
judgment would not adversely affect the petitioners, who now hold no right
whatsoever in Lot No. 727-D-2. Otherwise put, they are not the proper parties to
assail the questioned orders of the RTC, because they stand to derive nothing
from the execution of the judgment against Cebu Country Club.
Every action must be prosecuted or
defended in the name of the real party
in interest, unless otherwise authorized by law or the rules.[26] A
real party in interest is one
who stands to be benefited or injured by the judgment in the suit, or the party
entitled to the avails of the suit.[27] “Interest” within the meaning of the rule
means material interest, an interest in issue and to be affected by the decree,
as distinguished from mere interest in the question involved, or a mere
incidental interest. The rule refers to a real
or present substantial interest, as
distinguished from a mere expectancy; or from a future, contingent,
subordinate, or consequential interest.[28]
One having no right or interest to protect cannot invoke the jurisdiction of
the court as a party-plaintiff in an action.[29]
Thus, an appeal, like this one, is an
action to be prosecuted by a party in interest before a higher court. In order for the appeal to prosper, the litigant must
of necessity continue to hold a real
or present substantial interest that
entitles him to the avails of the suit on appeal. If he does not, the appeal,
as to him, is an exercise in futility. So it is with the petitioners!
In contrast,
the Government, being the legal owner of Lot No. 727-D-2, is the only party
adversely affected by the denial, and is the proper party entitled
to assail the denial.[30] However,
its manifest desistance from the execution of the decision effectively barred
any challenge against the denial, for its non-appeal rendered the denial final
and immutable.
C.
R.A. No. 9443 gives petitioners no legal
interest
to assail the denial of the motion for
execution
Section 1 of R.A. No. 9443 provides:
Section 1. All existing Transfer Certificates of Title and Reconstituted Certificates of Title duly issued by the Register of Deeds of Cebu Province and/or Cebu City covering any portion of the Banilad Friar Lands Estate, notwithstanding the lack of signatures and/or approval of the then Secretary of Interior (later Secretary of Agriculture and Natural Resources) and/or the then Chief of the Bureau of Public Lands (later Director of Public Lands) in the copies of the duly executed Sale Certificates and Assignments of Sale Certificates, as the case may be, now on file with the Community Environment and Natural Resources Office (CENRO), Cebu City, are hereby declared as valid titles and the registered owners recognized as absolute owners thereof.
The law expressly declares as valid “(a)ll existing
Transfer Certificates of Title and Reconstituted Certificates of Title duly
issued by the Register of Deeds of Cebu Province and/or
Although
On the other hand, the petitioners could
not benefit from R.A. No. 9443 because of their non-compliance with the express
condition of holding any Transfer
Certificate of Title or
Reconstituted Certificate of Title respecting
The appropriate recourse for the
petitioners, if they persist in the belief that the TCT of Cebu Country Club
should be nullified, is to compel the OSG through the special civil action for mandamus to commence the action to annul
on the ground that Cebu Country Club had obtained its title to
On the question that TCT No. RT-1310 (T-11351) bears the
same number as another title to another land, we agree with the Court
of Appeals that there is nothing fraudulent with the fact that Cebu Country Club, Inc.’s reconstituted title bears the
same number as the title of another parcel of land.
This came about because under General Land Registration Office (GLRO) Circular
No. 17, dated February 19, 1947, and Republic Act No. 26 and Circular No. 6, RD
3, dated August 5, 1946, which were in force at the time the title was
reconstituted on July 26, 1948, the titles issued before the inauguration of
the Philippine Republic were numbered consecutively and the titles issued after
the inauguration were numbered also consecutively starting with No. 1, so that
eventually, the titles issued before the inauguration were duplicated by titles
issued after the inauguration of the Philippine Republic. xxx.
xxx
Petitioners next argue that the reconstituted title of Cebu
Country Club, Inc. had no lawful source to
speak of; it was reconstituted through extrinsic and intrinsic fraud in the
absence of a deed of conveyance in its favor. In truth, however, reconstitution was based on the owner’s duplicate
of the title, hence, there was no need for the covering deed of sale or other
modes of conveyance.
IN VIEW OF THE FOREGOING, the petition for review on certiorari is denied for lack of merit.
The Court declares that Cebu Country
Club, Inc. is the exclusive owner of Lot No.727-D-2 of the Banilad Friar Lands
Estate, as confirmed by Republic Act No. 9443.
Costs of suit to be paid by the petitioners.
SO
ORDERED.
LUCAS P. BERSAMIN
Associate Justice
WE CONCUR:
REYNATO S. PUNO
Chief Justice
Chairperson
CONCHITA CARPIO MORALES TERESITA J. LEONARDO-DE CASTRO
Associate
Justice Associate
Justice
MARTIN S. VILLARAMA, JR.
Associate Justice
C E R T I F I C A T I O N
Pursuant to Section 13, Article VIII
of the Constitution, I certify that the conclusions in the above decision had
been reached in consultation before the case was assigned to the writer of the
opinion of the Court’s Division.
REYNATO S. PUNO
Chief
Justice
[1] G.R. No.
130876, January 31, 2002, 375 SCRA 390.
[2]
[3]
[4]
[5] Annex 3, Comment
on the petition for review on certiorari.
[6] Rollo,
p. 394.
[7]
[8]
[9]
[10] G.R. No.
130876,
[11] Rollo, p. 15.
[12]
[13] Entitled An Act Confirming and Declaring, Subject to Certain Exceptions,
the Validity of Existing Transfer Certificate of Title Covering the Banilad
Friar Lands Estate, Situated in the First District of
[14] Rollo,
p. 17.
[15]
[16]
[17]
[18]
[19]
[20] Philippine Political Law, 10th Edition,
p. 323
[21] Conde v. Intermediate Appellate Court,
144 SCRA 144
[22] Section 1. Filing of petition with Supreme Court.—A party desiring to appeal by certiorari from a judgment, final order or resolution of the Court of Appeals, the Sandiganbayan, the Court of Tax Appeals, the Regional Trial Court or other courts, whenever authorized by law, may file with the Supreme Court a verified petition for review on certiorari. The petition may include an application for a writ of preliminary injunction or other provisional remedies and shall raise only questions of law, which must be distinctly set forth. The petitioner may seek the same provisional remedies by verified motion filed in the same action or proceeding at any time during its pendency.
[23] Gonzales
v. Balikatan Kilusang Bayan sa Pananalapi, Inc., G.R. No. 150859, March 28,
2005, 454 SCRA 111, 115.
[24] Rule 45,
1997 Rules of Civil Procedure,
relevantly states:
Section
5. Dismissal or denial of petition. –
The failure of the petitioner to comply
with any of the foregoing requirements regarding the payment of the docket
and other lawful fees, deposit for costs, proof of service of the petition, and
the contents of the documents which
should accompany the petition shall be sufficient ground for the dismissal
thereof.
The
Supreme Court may on its own initiative deny the petition on the ground that
the appeal is without merit, or is prosecuted manifestly for delay, or that the
questions raised therein are too unsubstantial to require consideration. (3a)
[25] Supra,
note 1, 375 SCRA 390, 403-405.
[26] Section 2.
Rule 3 of the 1997 Rules of Civil Procedure.
[27]
[28] Quisumbing
v. Sandiganbayan, G.R. No. 138437,
[29] Ralla v.
Ralla, G.R.
No. 78646,
[30] Cañete v.
Genuino Ice Company, Inc., G.R. No. 154080, January 22, 2008, 542 SCRA 206,
220-222, where the petitioners admitted not to be the owners of the land, but
the Government, the Court declared: “xxx
petitioners may not be considered the real parties in interest for the purpose of maintaining the suit for cancellation
of the subject titles. The Court of Appeals is correct in declaring that only
the State, through the Solicitor General, may institute such suit. Jurisprudence on the matter has been settled
and the issue need not be belabored.”); Gabilla v. Barriga, No.
L-28917, September 30, 1971, 41 SCRA 131 (where the Court declared: “xxx In his amended complaint the plaintiff
makes no pretense at all that any part of the land covered by the defendant’s
title was privately owned by him or by his predecessors-in-interest. Indeed, it
is admitted therein that the said land was at all times a part of the public
domain until
[31] This was
submitted by the OSG to the RTC in connection with petitioners’ motion for
reconsideration dated
[32] Rollo,
p. 175.
[33] Supra,
note 1, pp. 399-402.