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FACTS: In the year 1880, Mariano Nable Jose was married in first wedlock
to Doa Paz Borja and had by her the following children: Remedios,
Feliciano, Rocio and Mariano, the first three of whom are now of age,
Remedios is married to Fernando Arce, but the last child, Mariano, is still a
minor and is represented in this suit by the said Fernando Arce as curator
ad litem. Paz Borja died intestate in the year 1898, and left no heirs than
the said four children and her surviving husband, Mariano Nable Jose. The
community partnership between Mariano Nable Jose and his Paz Borja has
not been liquidated since its dissolution in the year 1898. No proceedings
whatever have been had for the judicial administration of the properties of
this partnership. Mariano Nable Jose got indebted and mortgaged the
community properties to Amparo Nable Jose de Lichauco and Asuncion
Nable Jose, niece Carmen Castro, The Standard Oil Company on
September 27, 1909. This property is encumbered by another mortgaged in
favor of Carmen Castro. Paz Borja's heirs had no knowledge mortgages
nor did they give their consent to them. In order to recover payment and
foreclosure of mortgages, Amparo N. Jose de Lichauco and Asuncion H.
Jose, The Standard Oil Company of New York; and then Carmen Castro
commenced actions against Mariano N. Jose y Vinluan.
ISSUE: Whether or not the surviving husband, after the death of his wife
may sell or mortgage the community property acquired during coverture.
HELD: The trial court erred in declaring the mortgage invalid in so far as it
affects the one-half undivided share of said property, which the court
erroneously held to be the property of these heirs. The judgment entered
by the trial judge should be reversed, and that the record should be
returned to the court below, where a new judgment will be entered
disposing of the contentions of the various parties to this litigation as
hereinbefore indicated, and providing for the sale of the mortgaged
property in the form and upon the conditions prescribed by law.
ISSUE: Whether or not a joint savings account and a joint current account
in a bank, of a husband and his wife are liable for the payment of the
obligation of the husband.
HELD: No. The sum of P636.80 was derived from the paraphernal property
of the appellee, Margarita Quintos de Ansaldo, the wife of the other
appellee Angel A. Ansaldo. It therefore belongs to the conjugal partnership
of the said spouses. (Civil Code, art. 1401.) The fruits of the paraphernal
property cannot be subject to the payment of personal obligations of the
husband, unless it be proved that such obligation were productive of some
benefit to the family. But there was no proof that the obligations contracted
by Angel A. Ansaldo, were productive and benefited the family. While the
sum of P636.80 has become the property of the conjugal partnership, the
entitlement of the husband to one-half of the property of the conjugal
partnership does not vest until the dissolution of the marriage when the
conjugal partnership is also dissolved. (Civil Code, arts. 1392 and 1426.)
Issue: Whether or not the house and lot pertains to the second marriage?
Held: Yes. The conditional sale agreement in said contract is, therefore, also
in the nature of a contract to sell, as contradistinguished from a contract of
sale. In a contract to sell or a conditional sale, ownership is not transferred
upon delivery of the property but upon full payment of the purchase price.
Generally, ownership is transferred upon delivery, but even if delivered, the
ownership may still be with the seller until full payment of the price is made, if
there is stipulation to this effect, usually known as a pactum reservati dominii,
or contractual reservation of title, and is common in sales on the installment
plan. Compliance with the stipulated payments is a suspensive condition.
Upon the execution of said deed of absolute sale, full ownership was vested in
Daniel Jovellanos when he was already married to Annette H. Jovellanos, this
property necessarily belonged to his conjugal partnership with his said second
wife. But the second wife is still liable to pay the corresponding
reimbursements to the petitioners who helped pay for the amortization of the
house and lot as stated in Article 118 of the Family Code on property bought
on installments, where ownership is vested during the marriage, such property
shall belong to the conjugal partnership.
FLORES VS FLORES
FACTS:
Jose Flores, deceased, had been three times married and left children
surviving from each of said marriages. In the settlement of his estate,
various questions have arisen as to the nature of the property to be divided.
Now, the children of the 2nd marriage, Sotero and Agueda insisted in the
lower court that all of the property acquired by the testator during his 2 nd
marriage pertained to the conjugal partnership w/c should be liquidated &
that the half pertaining to their mother should be segregated before any
general distribution of the estate should occur. It appears that after the
death of 2nd wife, Flores instituted proceedings to register said lands and
procured the Torrens certificate of title thereto in his sole name. This had
the effect of making these lands the exclusive property of Flores and of
extinguishing their character as conjugal property of the prior marriage.
ISSUE: Whether or not the said land w/ Torrens certificate of title is part of
conjugal property of the second marriage.
HELD: The property acquired during the 2nd marriage pertains to the
conjugal partnership of said marriage regardless of the form in which the
title is then or there afterwards taken. The surviving husband is ex-officio
manager, or administrator, of the conjugal estate. He has the power to
alienate the property for the purpose of liquidating the estate and the
purchaser under him undoubtedly gets valid title. But as long as the
husband retains the property in whatever form, he holds it in the character
of administrator and is virtually a trustee for those interested in the conjugal
partnership. It is clearly shown that the registration of property in the name
of one who holds in a trust character does not extinguish the trust or
destroy the rights of the beneficiary.
ISSUE: Whether or not the System is liable to pay the benefits to Jose P.
Tecson, a friend and co- worker of Lim Hoc whom he designated as his
beneficiary.
HELD: Yes, the contribution of the employer is for the benefit of the
employee. Hence the beneficiary should primarily be the one to profit by
such contributions. It may be true that the purpose of the coverage under
the Social Security System is protection of the employee as well as of his
family, but this purpose or intention of the law cannot be enforced to the
extent of contradicting the very provisions of said law as contained in
Section 13, thereof, as follows:
Section 13. Upon the covered employee's death or total and permanent
disability under such conditions as the Commission may define, before
becoming eligible for retirement and if either such death or disability is not
compensable under the Workmen's Compensation Act, he or, in case of his
death, his beneficiaries as recorded by his employer shall be entitled to the
following benefit: ... (R.A. 1161 as amended.)
It is to be noted also that the funeral expenses of Lim Hoc are to be paid
from the benefits, so that what is to be paid to Tecson would be greatly
reduced.
ISSUE: Whether or not the trial Judge erred in disallowing items (c), (d),
(e), ( f ), and (g) for it not constitute legal charge against the interest of
Marcela Tizon.
HELD: Yes, the Judge erred in holding that items (c), (d), (e), ( f ), and (g)
could not constitute a legal charge against the interest of Marcela Tizon.
The amount paid out to redeem the property should be charged against the
one-half portion pertaining to Marcela Tizon, and it remained as the
particular property of Marcela Tizon, for if the right of redemption pertained
to her, so also must the property belong to her after redemption. (Civ.
Code, arts. 1337-2; 1396-3.) An irrigation system beneficial to real property
is a useful expenditure with the contemplation of article 1404 of the Civil
Code and, if financed from the community assets, is chargeable against the
party benefit when the time comes for the liquidation of the conjugal
partnership. The maintenance and support of Marcela Tizon during
widowhood, was properly borne by the administrator of the deceased
husband, but this expenditure was in the nature of a mere advancement
and under article 1430 of the Civil Code.