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RIOFERO VS.

CA
G.R. No. 129008 - January 13, 2004
Petitioners: Teodora A. Rioferio, Veronica O. Evangelista Assisted By Her Husband
Zaldy Evangelista, Alberto Orfinada, And Rowena O. Ungos, Assisted By Her
Husband Beda Ungos
Respondents: Court Of Appeals, Esperanza P. Orfinada, Lourdes P. Orfinada, Alfonso
Orfinada, Nancy P. Orfinada, Alfonso James P. Orfinada, Christopher P. Orfinada And
Angelo P. Orfinada
Ponente: J. Tinga

FACTS:
Alfonso P. Orfinada, Jr. died without a will. Leaving several personal and real
properties. He also left a widow and with whom he had seven children who are the
herein respondents.
Respondents Alfonso James and Lourdes Orfinada discovered that petitioner
Teodora Rioferio and her children executed an Extrajudicial Settlement of Estate
of a Deceased Person with Quitclaim involving the properties of the estate of the
decedent .. Respondents also found out that petitioners were able to obtain a loan
from the Rural Bank of Mangaldan Inc. by executing a Real Estate Mortgage over the
properties subject of the extra-judicial settlement.
Alfonso “Clyde” P. Orfinada III, Respondent filed a Petition for Letters of
Administration praying that letters of administration encompassing the estate of
Alfonso P. Orfinada, Jr. be issued to him.
Petitioners averred that the RTC committed grave abuse of discretion in
issuing the assailed order which denied the dismissal of the case on the ground that
the proper party to file the complaint for the annulment of the extrajudicial
settlement of the estate of the deceased is the estate of the decedent and not the
respondents.
The Court of Appeals rendered the assailed Decision stating that it discerned
no grave abuse of discretion amounting to lack or excess of jurisdiction by the public
respondent judge when he denied petitioners’ motion to set affirmative defenses for
hearing in view of its discretionary nature.

ISSUE:
Whether the heirs may bring suit to recover property of the estate pending
the appointment of an administrator is the issue in this case.

RULING:
YES. Petitioners vehemently fault the lower court for denying their motion to
set the case for preliminary hearing on their affirmative defense that the proper
party to bring the action is the estate of the decedent and not the respondents. Just
as no blame of abuse of discretion can be laid on the lower court’s doorstep for not
hearing petitioners’ affirmative defense, it cannot likewise be faulted for recognizing
the legal standing of the respondents as heirs to bring the suit.
Pending the filing of administration proceedings, the heirs without doubt have legal
personality to bring suit in behalf of the estate of the decedent in accordance with
the provision of Article 777 of the New Civil Code “that (t)he rights to succession are
transmitted from the moment of the death of the decedent.” Even if administration
proceedings have already been commenced, the heirs may still bring the suit if an
administrator has not yet been appointed. This is the proper modality despite the
total lack of advertence to the heirs in the rules on party representation. In fact, in
the case of Gochan v. Young this Court recognized the legal standing of the heirs to
represent the rights and properties of the decedent under administration pending
the appointment of an administrator.
Even if there is an appointed administrator, jurisprudence recognizes two
exceptions, viz: (1) if the executor or administrator is unwilling or refuses to bring
suit (Pascual v. Pascual); and (2) when the administrator is alleged to have
participated in the act complained of (Velasquez v. George) and he is made a party
defendant (Borromeo v. Borromeo). Evidently, the necessity for the heirs to seek
judicial relief to recover property of the estate is as compelling when there is no
appointed administrator, if not more, as where there is an appointed administrator
but he is either disinclined to bring suit or is one of the guilty parties himself.

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