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Falsification

The petitioners (Eddie and Bryan Dizon) filed a petition for review with the Supreme Court to challenge lower court rulings involving a property dispute. The Court of Appeals had affirmed an RTC decision reversing an MTCC ruling in favor of the petitioners. The MTCC had initially ruled the petitioners were not unlawfully occupying property that respondent (Yolanda Beltran) claimed to have purchased, but found issues of possible fraud in the sale documents. The RTC then ruled in favor of Beltran, finding she had title to the property. The Supreme Court will review the case and legal issues involved in the disputed lower court rulings.

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0% found this document useful (0 votes)
104 views13 pages

Falsification

The petitioners (Eddie and Bryan Dizon) filed a petition for review with the Supreme Court to challenge lower court rulings involving a property dispute. The Court of Appeals had affirmed an RTC decision reversing an MTCC ruling in favor of the petitioners. The MTCC had initially ruled the petitioners were not unlawfully occupying property that respondent (Yolanda Beltran) claimed to have purchased, but found issues of possible fraud in the sale documents. The RTC then ruled in favor of Beltran, finding she had title to the property. The Supreme Court will review the case and legal issues involved in the disputed lower court rulings.

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Randy Lemew
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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G.R. No. 221071, January 18, 2017 - EDDIE E. DIZON AND BRYAN R. DIZON, Petitioners, v.

YOLANDA
VIDA P. BELTRAN, Respondent.

THIRD DIVISION

G.R. No. 221071, January 18, 2017

EDDIE E. DIZON AND BRYAN R. DIZON, Petitioners, v. YOLANDA VIDA P.


BELTRAN, Respondent.

DECISION

REYES, J.:

Before the Court is the petition for review on certiorari,1 under Rule 45 of the Rules of Court, with
prayer for the issuance of a temporary restraining order and/or writ of preliminary injunction, filed by
Eddie E. Dizon (Eddie) and Bryan James R. Dizon (Bryan) (collectively, the petitioners) to challenge
the Decision2 rendered on January 23, 2015 and Resolution3 issued on September 7, 2015 by the
Court of Appeals (CA) in CA-G.R. SP No. 05256-MIN. The dispositive portion of the assailed decision
reads:
chanRoblesvirtualLawlibrary

WHEREFORE, the instant petition is hereby GRANTED. The Decision dated 13 June 2012 of the
Regional Trial Court of Davao City, Branch 14, is REVERSED and SET ASIDE. The Decision dated 11
November 2011 of the Municipal Trial Court in Cities of Davao City, Branch 1, in Civil Case No.
21[,]755-A-10, is REINSTATED. The Regional Trial Court of Davao City, Branch 14, is hereby
ORDERED to issue a writ of execution for the enforcement of the MTCC Decision dated 11 November
2011.

SO ORDERED.4 ChanRoblesVirtualawlibrary

The assailed resolution denied the petitioners' motion for reconsideration. chanroblesvirtuallawlibrary

Antecedents

Eddie started working as a seafarer in the 1980s. 5 He has two children, namely, Bryan and James
Christopher R. Dizon (James).6

Eddie and Verona Juana Pascua-Dizon (Verona) (collectively, the Spouses Dizon) got married on
March 8, 1995.7 Verona was a housewife.8 She and her mother, together with Bryan and James,
resided in the house erected on a 240-square-meter lot (disputed property) at No. 42 Mahogany
Street, Nova Tierra Subdivision, Lanang, Davao City.9 The disputed property was covered by Transfer
Certificate of Title (TCT) No. T-351707. 10 issued in 2002. The registered owners were "[Verona],
married to [Eddie]."

In 2008, Verona filed before the Regional Trial Court (RTC) of Davao City a petition for the issuance of
Temporary and Permanent Protection Orders against Eddie and James. 11

On April 9, 2008, the Spouses Dizon entered into a Compromise Agreement, 12 whereby they
contemplated selling the disputed property in the amount of not less than P4,000,000.00, which price
shall be increased by P100,000.00 for every succeeding year until the same is finally sold. They would
thereafter equally divide the proceeds from the sale.

On September 27, 2009, Eddie left the Philippines to work on board a ship. 13

Sometime in October of 2009, Verona was confined at the Adventist Hospital in Bangkal, Davao City.
She was transferred to Ricardo Limso Medical Center on November 30, 2009. 14 She died on December
8, 2009 due to cardio-respiratory arrest, with "leukonoid reaction secondary to sepsis or malignancy
(occult)" as antecedent cause.15

Eddie claimed that he was unaware of Verona's hospital confinement. On December 9, 2009, his
brother Jun Dizon (Jun), called him through the telephone and informed him about Verona's death.
Eddie intended to promptly return to the Philippines before Verona's burial. Hence, he advised Jun to
ask Verona's relatives to wait for his arrival. 16

It took a while before Eddie's employer finally permitted him to go home. Verona was already buried
before Eddie's arrival on December 21, 2009. 17

Thereafter, a copy of a Deed of Absolute Sale (Deed),18 dated December 1, 2009, was shown to Eddie.
Its subject was the disputed property conveyed to herein respondent, Yolanda Vida P. Beltran (Vida),
for P1,500,000.00.19

Eddie alleged that the Deed was falsified, and his and Verona's signatures thereat were forgeries. 20

In January of 2010, Eddie filed two complaints against Vida. One was a civil case for nullification of the
Deed, and for payment of damages and attorney's fees.21 The other was a criminal complaint for
falsification of public document. 22 He also caused the annotation of a notice of lis pendens upon TCT
No. T-351707.23

On April 6, 2010, TCT No. T-351707 was cancelled, and in its place, TCT No. T-146-2010002236 was
issued in Vida's name.24 Eddie belatedly discovered about the foregoing fact sometime in May 2010
after Davao Light and Power Company cut off the electrical connection purportedly upon the advice of
the new owner of the disputed property. 25 cralawredchanroblesvirtuallawlibrary

Ruling of the Municipal Trial Court in Cities

In June of 2010, Vida filed before the Municipal Trial Court in Cities (MTCC) of Davao City an action for
unlawful detainer26 against the petitioners, James and their unnamed relatives, house helpers and
acquaintances residing in the disputed property. 27

Vida alleged that she is the registered owner of the disputed property. While the Deed evidencing the
conveyance in her favor was executed on December 1, 2009, Eddie pre-signed the same on April 9,
2008 before he left to work :abroad. The Spouses Dizon's respective lawyers witnessed the signing.
After Verona's death, Vida tolerated the petitioners' stay in the disputed property. On May 18, 2010,
Vida sent a formal letter requiring the petitioners to vacate the disputed property, but to no avail. 28

The petitioners sought the dismissal of Vida's complaint arguing that at the time the Deed was
executed, Verona was already unconscious. Eddie, on the other hand, could not have signed the Deed
as well since he left the Philippines on September 27, 2009 and returned only on December 21, 2009.
Further, Verona's signature appearing on the Deed was distinctly different from those she had affixed
in her petition for the issuance of a temporary protection order and Compromise Agreement, dated
March 26, 2008 and April 9, 2008, respectively. Besides, the purchase price of P1,500,000.00 was not
in accord with the Spouses Dizon's agreement to sell the disputed property for not less than
P4,000,000.00.29

On November 11, 2011, the MTCC rendered a Decision 30 directing the petitioners and their co-
defendants to turn over to Vida the possession of the disputed property, and pay P1,000.00 monthly
rent from July 12, 2010 until the said property is vacated, P20,000.00 as attorney's fees and cost of
suit. Vida was, however, ordered to pay therein defendants P414,459.78 as remaining balance relative
to the sale.31

The MTCC rationalized as follows:


chanRoblesvirtualLawlibrary

The claim of [the petitioners] as to the falsity of the sale is a collateral attack on the generated title
itself, which can only be impugned in a direct proceeding litigated for that matter. The fact that
[Eddie] presigned the [Deed] prior to the death of [Verona], in the presence of counsels[,] which
remained unrebutted[,] was in fact giving consent to the act of disposing the property to answer for
any exigency or impending situation that will arise later[,] which may or may not be entirely
connected with the medical requirements of his ailing spouse[,] whose health condition at that time of
the execution [of the Deed] ha[d] apparently started to deteriorate. Records show [that] [Vida]
incurred a hefty sum of One Million Eighty-Five Thousand Five Hundred and Forty pesos and twenty-
one centavos (P1,085,540.21) for both medical and burial expenses of the deceased of which
[Eddie] failed to support in violation of the Civil Code on the rights and, [sic] obligation of the husband
and wife to render mutual support.

xxxx

While evidences were presented to prove the existence of fraud in the execution of the instrument[,]
the same cannot be appreciated in this summary action for want of jurisdiction.

x x x [A] notarized document carries the evidentiary weight conferred upon it with respect to its due
execution, and documents acknowledged before a notary public have in their favor the presumption of
regularity. x x x.

xxxx

x x x The sole issue to be resolved is whether or not defendants unlawfully withheld the property sold
to [Vida.]

xxxx

While it is true that defendants herein filed both civil and criminal cases for the Nullification of the
[Deed] and Falsification alleging forgeries, the issues therein are entirely different from this ejectment
case. The criminal case, [sic] only proves the existence of probable cause to determine criminal
culpability. The nullification tackles the validity or invalidity of the sale on grounds of falsity.

The prevailing doctrine is that suits or actions for the annulment of sale title or document do not abate
any ejectment action respecting the same property x x x.

xxxx

x x x [C]onsidering the conjugal nature of the property and the subsequent dissolution of the conjugal
partnership upon the death of [Verona] on December 08, 2009, with the execution of conveyance in
favor of [Vida], this Court deemed it equitable and just for [Vida], to return to [Eddie], [sic] the
remaining balance of the sale representing the net amount less the total actual medical and burial
expenses of [Verona] from the proceeds of the sale, in the amount of FOUR HUNDRED, FOURTEEN
THOUSAND FOUR HUNDRED, FIFTY-NINE PESOS AND SEVENTY-NINE centavos
(P414,459.79) in the absence of evidence to that effect and for reasons of equity. 32 ChanRoblesVirtualawlibrary

Ruling of the RTC

The petitioners filed an appea133 before the RTC. During its pendency, Vida filed a motion for the
issuance of a writ of execution. On June 13, 2012, the RTC reversed the MTCC ruling, dismissed the
complaint for unlawful detainer and denied Vida's motion for the issuance of a writ of execution. 34 The
RTC explained that:
chanRoblesvirtualLawlibrary

Under Republic Act No. 7691 expanding the jurisdiction of the Metropolitan Trial Courts, [MTCCs],
Municipal Trial Courts, and Municipal Circuit Trial Courts, amending Batas Pambansa [Blg.] 129,
otherwise known as the "Judiciary Reorganization Act of 1980,["] paragraph 2, of Section 33 therein
provides that the court of first level has "x-x- Exclusive Original jurisdiction over cases of forcible entry
and unlawful detainer: Provided, that when, in such cases, the defendant raises the question of
ownership in his pleadings and the question of possession cannot he resolved without
deciding the issue of ownership[, the latter] shall be resolved only to determine the issue of
possession[.]["] x x x

In the pleadings of the [petitioners] filed before the court a quo, and even in their memorandum on
appeal, they vigorously raise[d] the question of ownership of [Vida] based on the alleged notarized
[Deed] signed by [Eddie] in favor of [Vida] where the latter derived her so-called ownership over the
subject premises[.] Truly indeed upon examination by any sensible man[,] it would reveal that the
signature[s] of [the Spouses Dizon] appearing at the bottom of the alleged Deed [were] falsified x x x.
Thus, a document challenged by a party in litigation as falsified may be proved without resorting to an
opinion of handwriting experts. x x x.

In another case[,] the Supreme Court held that: "x-x- A finding of forgery does not entirely depend on
the testimony of handwriting experts. Although it is useful[,] the judge still exercises independent
judgment on the issue of authenticity of the signatures under scrutiny by comparing the
alleged forged signature and the authentic and genuine signatures of the person whose
signature is theorized upon to have been forged. x x x

This court x x x took occasion in comparing and examining the signature of [Verona] in the [Deed] x x
x vis-a-vis her signature appearing in the compromise agreement executed [with Eddie] x x x[.] [The
comparison] lucidly showed that the signatures of [Verona] [were] x x x very different from each
other and [the differences are] detectable by a human eye. x x x.

xxxx

Another thing that caught the curiosity of this court is the stipulation contained in the compromise
agreement x x x wherein [the Spouses Dizon] agreed x x x that the "x-x- net selling price of the said
conjugal property should be sold not lower than FOUR MILLION (P4,000,000.00) PESOS for the year
2008 x x x."

xxxx

x x x [T]here was never proof adduced that the compromise agreement adverted to was rescinded or
modified by the [Spouses Dizon]. To the view of this Court[,] the consideration of the said [Deed] x x
x has an indicia of fraud x x x [and] the signature[s] of the [Spouses Dizon] as falsified. [A] [f]alsified
document cannot give right or ownership to a party who uses it.

xxxx

x x x To justify an action for unlawful detainer[,] the permission or tolerance must have been
present at the beginning of the possession[.]-x-x-x- Since the complaint did not satisfy the
jurisdictional requirement of a valid cause for unlawful detainer, the [MTCC] had no jurisdiction over
the case. x x x.35 (Emphasis and underlining in the original) ChanRoblesVirtualawlibrary

Ruling of the CA

Vida assailed the foregoing via a petition for review, which the CA granted in the herein assailed
decision and resolution. The CA's reasons are cited below:
chanRoblesvirtualLawlibrary

[Vida] was able to sufficiently allege and consequently established the requisites of unlawful detainer.

First, [Vida] alleged that she is the registered owner of the [disputed] property and she merely
tolerated the continuous possession of the [petitioners] [of] the [disputed] property after she
purchased it and had it titled in her name. Second, [the petitioners'] possession became illegal upon
notice by [Vida] to [the petitioners] of the termination of the [petitioners'] right of possession as
shown by the Notice to Vacate dated 18 May 2010 sent by [Vida's] counsel to [the petitioners]. Third,
[the petitioners] refused to vacate the [disputed] property x x x thereby depriving [Vida] of the
enjoyment thereof. And fourth, [Vida] instituted the complaint dated 03 June 2010 for unlawful
detainer within one (1) year from demand to vacate the premises. x x x.
xxxx

x x x While the said [Deed] was questioned by [the petitioners] for being a nullity in a separate case,
yet, it should be emphasized that the determination of the validity or the nullity of the [Deed] should
be properly threshed out in that separate proceeding and not in the summary action for unlawful
detainer. x x x.

xxxx

x x x Nothing is more settled than the rule that "[i]n an unlawful detainer case, the sole issue for
resolution is the physical or material possession of the property involved, independent of any claim of
ownership by any of the parties. However, where the issue of ownership is raised, the courts may pass
upon the issue of ownership in order to determine who has the right to possess the property. The
Court stresses, however, that this adjudication is only an initial determination of ownership for the
purpose of settling the issue of possession, the issue of ownership being inseparably linked thereto.
The lower court's adjudication of ownership in the ejectment case is merely provisional and would not
bar or prejudice an action between the same parties involving title to the property. It is, therefore, not
conclusive as to the issue of ownership, which is the subject matter of a separate case for annulment
of [the Deed] filed by [the petitioners].

x x x [T]he RTC[,] in resolving the issue of possession in the unlawful detainer case[,] has not only
provisionally passed upon the issue of ownership of the [disputed] property but it in fact made a
determinative and conclusive finding on the ownership thereof, contrary to the settled rule that in [an]
unlawful detainer case, the only issue to be resolve[d] by the court is the physical or material
possession of the property involved x x x.

x x x [W]hile the Court may make provisional determination of ownership in order to determine who
between [Vida] and [the petitioners] had the better right to possess the property, yet, the court is
proscribed from making a conclusive finding on this issue. x x x [T]hc RTC has already made a
preemptive finding on the validity or invalidity of the document, [but] the resolution thereof properly
pertains to a separate proceeding pending before it in a separate case. x x x.

xxxx

x x x [T]his Court agrees with the contention of [Vida] that the RTC:'s pronouncement that the
signatures in the [Deed] were forged and [Vida's] title issued pursuant thereto is void is a collateral
attack on [Vida's] title which violates the [principle of] indefeasibility of the Torrens title. x x x

xxxx

Verily, unless and until [Vida's] title over the [disputed] property is annulled in a separate proceeding
instituted by [the petitioners], the same is valid and [Vida] has the right to possess the subject
property, being an attribute of her ownership over it. x x x.

xxxx

x x x [T]o stay the immediate execution of judgment in ejectment proceedings, the defendant-
appellant must: (a) perfect his appeal, (b) file a supersedeas bond, and (c) periodically deposit the
rentals falling due during the pendency of the appeal.

x x x [T]he supersedeas bond was paid by [the petitioners] only on 02 May 2012. x x x [T]he bond
filed by [the petitioners] in order to stay the immediate execution of the MTCC Decision was filed out
of time as it was not filed within the period to appeal.

x x x [T]he failure of the [petitioners] in this case to comply with any of the conditions provided under
Section 19, Rule 70 of the Rules of Court is a ground tor the outright execution of the judgment, the
duty of the court in this respect being "ministerial and imperative." x x x.
Thus, as the supersedeas bond was filed out of time or beyond the period to appeal, [Vida's] motion
for immediate execution should have been acted upon by the RTC and the writ of execution should
have been issued as a matter of right.36 (Citations omitted and italics in the original) ChanRoblesVirtualawlibrary

The CA, through the herein assailed resolution, 37 denied the petitioners' motion for
reconsideration.38 chanroblesvirtuallawlibrary

Issues

The instant petition is anchored on the issues of whether or not:

(1) Vida has a cause of action for unlawful detainer against the petitioners considering that the
Deed she relied upon in filing her complaint was falsified, hence, null; and
(2) the RTC conectly ruled that in an unlawful detainer case, the MTCC can resolve the issue of
ownership.39

In support thereof, the petitioners point out that relative to the falsification case filed by Eddie against
Vida, the Office of the Davao City Prosecutor issued a Resolution, 40 dated June 11, 2010, stating that
no expert eye is needed to ascertain that the signatures appearing in the Deed were different from the
standard signatures of the Spouses Dizon. Further, on September 20, 2010, another resolution 41 was
issued finding probable cause to indict Vida for the crime of falsification of public documents.
Thereafter, the MTCC issued a Warrant of Arrest42 against Vida.

The petitioners also insist that no Deed was executed conveying the disputed propetiy in Vida's favor.
When the Deed was purportedly executed on December 1, 2009, Verona was already unconscious,
while Eddie was abroad. Having been simulated, the Deed was void and inexistent. It produced no
effect and cannot create, modify or extinguish a juridical relation. lienee, Vida had no right to transfer
the title in her name using the falsified Deed. Perforce, her complaint for unlawful detainer against the
petitioners had no leg to stand on and should be dismissed.

Citing Spouses De Guzman v. Agbagala,43 the petitioners c1aim that the rule on non-collateral attack
of a Torrens title does not apply in a case where the title is void from the start. An action to declare
the nullity of a void title does not prescribe and is susceptible to direct, as well as to collateral attack. 44

Anent the belated posting of the supersedeas bond, the petitioners stress that fault cannot be ascribed
to them. They waited for the MTCC's order approving and fixing the amount. When the order was
finally issued, the petitioners were required to post the bond before the RTC and deposit the monthly
rental as well. The petitioners complied before the RTC rendered its Decision dated June 13, 2012. 45

As counterclaims, the petitioners impute malice and bad faith against Vida in filing the complaint for
unlawful detainer. The petitioners, thus, pray for the award of P1,000,000.00 as moral damages,
P500,000.00 as exemplary damages, P50,000.00 as attorney's fees, and P2,000.00 for each
appearance of their counsel.46

In Vida's Comment,47 she argues that the petitioners' claim of forgery is yet to be proven in court by
clear, positive and convincing evidence. Having been notarized, the Deed enjoys the presumption of
due execution, and shall remain valid unless annulJed in a proper proceeding. Besides, the allegations
of forgery and nullity of the Deed are immaterial in a summary action for unlawful detainer. Allowing
the foregoing claims to be litigated amounts to a collateral attack on Vida's title.

Vidal also points out that the petitioners paid the su,fsersedeas bond only on May 2, 2012, beyond the
period to perfect an appeal.48 chanroblesvirtuallawlibrary

Ruling of the Court

On matters of procedure
While the petitioners explicitly raise only two substantive issues, in the body of the petition, they
discuss procedural matters anent their payment of the supersedeas bond and an alleged error on the
part of the CA in concluding that the RTC should have issued a writ of execution relative to the MTCC's
decision in Vida's favor.49

The petitioners admit that they posted the supersedeas bond beyond the period to perfect an appeal,
but claim that it was the MTCC, which belatedly fixed the amount. Pending the appeal they had filed
before the RTC, they promptly posted the bond after the amount was determined by the MTCC. 50

In Spouses Chua v. CA,51 the Court ruled that:


chanRoblesvirtualLawlibrary

Petitioners need not require the MTC to fix the amount of the supersedeas bond. They could have
computed this themselves. As early as 1947, we have held in Aylon vs. Jugo and De Pablo that the
supersedeas bond is equivalent to the amount of rentals, damages and coststated in the
judgment.52 ChanRoblesVirtualawlibrary

If the cited case were to be applied, the petitioners' failure to post the supersedes bond within the
allowable period shall result in the immediate execution of the MTCC judgment. Nonetheless, in City of
Naga v. Hon. Asuncion, et al.,53 the Court has carved exceptions to immediate execution of
judgmentin ejectment cases, viz.:
chanRoblesvirtualLawlibrary

Petitioner herein invokes seasonably the exceptions to immediate execution of judgments in ejectment
cases cited in Hualam Construction and Dev't. Corp. v. Court of Appeals and Laurel v. Abalos, thus:
chanRoblesvirtualLawlibrary

Where supervening events (occurring subsequent to the judgment) bring about a material change in
the situation of the parties which makes the execution inequitable, or where there is no compelling
urgency for the execution because it is not justified by the prevailing circumstances, the court may
stay immediate execution of the judgment. ChanRoblesVirtualawlibrary

Noteworthy, the foregoing exceptions were made in reference to Section 8, Rule 70 of the old Rules of
Court which has been substantially reproduced as Section 19, Rule 70 54 of the 1997 Rules of Civil
Procedure. Therefore, even if the appealing defendant was not able to file a supersedeas bond, and
make periodic deposits to the appellate court, immediate execution of the MTC decision is not proper
where the circumstances of the case fall under any of the above-mentioned exceptions. x x
x.55 (Citations omitted and underlining ours) ChanRoblesVirtualawlibrary

In Laurel, et al. v. Hon. Abalos, etc., et al.,56 therein respondent filed an action for reformation of the
deed of sale against therein petitioners pending the appeal of the unlawful detainer case before the
RTC. The RTC thereafter denied therein petitioners' motion for the issuance of a writ of execution
relative to the MTCC judgment, and required therein respondent to post a supersedeas bond.
According to the Court, the peculiar environmental circumstances obtaining in the case justify the
non-immediate execution of the MTCC's judgment pending appeal. The Court further expounded as
follows:
chanRoblesvirtualLawlibrary

[T]his Court took pains at length to explain that this provision (regarding immediate execution of the
judgment of inferior courts in cases of unlawful detainer) can be availed of only if no question of title
is involved and the ownership or the right to the possession of the property is an admitted fact.
Through Mr. Justice Labrador, this Court said in De los Reyes vs. Castro, et al.:
chanRoblesvirtualLawlibrary

.... The provision for the immediate execution of a judgment of the justice of the peace court in
actions of unlawful detainer under Section 8 of Rule 72 of the [old] Rules of Court, is not applicable to
an action of detainer like the present, where there is no immediate urgency for the execution because
it is not justified by the circumstances. This view is based on the history of the action of forcible entry.
This action originated in the English common law where it was originally in the form of a criminal
proceeding whereby lands or properties seized through the use of force could immediately be
returned. x x x.

It is the opinion of the writer that inasmuch as the propet1y now subject of litigation was originally
sold only with right to repurchase to the plaintiff, so that the plaintiff was not really and originally the
owner and possessor of the property, and since there are reasonable grounds to believe that the
contract entered into between them was not one of lease but one of loan with mortgage of the
property, the right of the plaintiff to the immediate possession of the property is not apparent, clear or
conclusive, and neither should his right to the immediate execution of the property [be] allowed until
opportunity to settle the question of ownership is had. In other words, the writer of the opinion holds
that while Section 8 of Rule 72 is applicable also in cases of unlawful detainer, the immediate
execution it provides for may be availed of only if no question of title is involved and the ownership
and the right to the possession of the property is an admitted fact. ChanRoblesVirtualawlibrary

xxxx

Where supervening events (occurring subsequent to the judgment) bring about a material change in
the situation of the parties which makes the execution inequitable, or where there is no compelling
urgency for the execution because it is not justified by the prevailing circumstances, the court may
stay immediate execution of the judgment.

The assertion by Laput of "ownership" of the house she is occupying, the appeal pending in the [CA]
from the decision in Civil Case 1517 which declared null and void from the beginning the deed of sale
in favor of the petitioners, the latter's unexplained silence in the face of the manifestation filed by
Laput informing this Court of the supervening occurrences, and their failure to submit their comment
as required by this Court, are strong and sufficient additional reasons, cumulatively, to justify the
dismissal of the present petition.57 (Citations, emphasis and italics omitted, and underlining ours) ChanRoblesVirtualawlibrary

By analogy, in the unlawful detainer case from which the instant petition arose, Eddie was originally a
co-owner of the disputed property, and he remains in possession thereof. Vida, on the other, is not
even a resident of Davao City.58 Moreover, prior to Vida's filing of the unlawful detainer case, Eddie
had already instituted actions for nullification of the Deed and falsification of public documents. The
Office of the Davao City Prosecutor had likewise made a preliminary determination of probable cause
that forgery was committed. Eddie, thus, insists that no valid conveyance was made by Verona to
Vida. In the mind of the Court, the foregoing are persuasive reasons justifying the non-immediate
execution of the MTCC judgment despite the petitioners' belated posting of the supersedeas bond.
Hence, the CA erred in declaring that the RTC improperly denied Vida's motion for the issuance of a
writ of execution pending appeal.

On substantive issues

Being interrelated, the two substantive issues raised shall be discussed jointly. Essentially, the
petitioners allege that the MTCC should have dismissed Vida's complaint for unlawful detainer for lack
of basis as the Deed she relied upon is falsified and void. It is also claimed that the CA erred in not
upholding the RTC's ruling that the latter can take cognizance of the issue of ownership in an unlawful
detainer case.

The Court finds merit in the petitioners' arguments.

In Consolacion D. Romero and Rosario S.D. Domingo v. Engracia D. Singson,59 where there were
similar allegations of forgery and the issue of ownership was raised in the ejectment case, the Court
pronounced:
chanRoblesvirtualLawlibrary

In arriving at its pronouncement, the CA passed upon the issue or claim of ownership, which both
parties raised. While the procedure taken is allowed - under Section 16, Rule 70 60 of the 1997 Rules of
Civil Procedure, the issue of ownership may be resolved only to determine the issue of possession
- the CA nonetheless committed serious and patent error in concluding that based solely on
respondent's TCT 12575 issued in her name, she must be considered the singular owner of the subject
property and thus entitled to possession thereof - pursuant to the principle that "the person who has
Torrens Title over a land is entitled to possession thereof." Such provisional determination of
ownership should have been resolved in petitioners' favor.

When the deed of sale in favor of respondent was purportedly executed by the parties thereto and
notarized on June 6, 2006, it is perfectly obvious that the signatures of the vendors therein, Macario
and Felicidad, were forged. They could not have signed the same, because both were by then, long
deceased: Macario died on Febmary 22, 1981, while Felicidad passed away on September 14,
1997. This makes the June 6, 2006 deed of sale null and void; being so, it is "equivalent to nothing; it
produces no civil effect; and it does not create, modify or extinguish a juridical relation."

And while it is true that respondent has in her favor a Torrens title ovet the subject property, she
nonetheless acquired no right or title in her favor by virtue of the null and void June 6, 2006 deed.
"Verily, when the insttument presented is forged, even if accompanied by the owner's duplicate
certificate of title, the registered owner does not thereby lose his title, and neither does the assignee
in the forged deed acquire any right or title to the property."

xxxx
Insofar as a person who fraudulently obtained a property is concerned, the registration of the property
in said person's name would not be sufficient to vest in him or her the title to the property. A
certificate of title merely confirms or records title already existing and vested. The indefeasibility of
the Torrens title should not be used as a means to perpetrate fraud against the rightful owner of real
property. Good faith must concur with registration because, otherwise, registration would be an
exercise in futility. A Torrens title does not furnish a shield for fraud, notwithstanding the long-
standing rule that registration is a constructive notice of title binding upon the whole world. The legal
principle is that if the registration of the land is fraudulent, the person in whose name the land is
registered holds it as a mere trustee. ChanRoblesVirtualawlibrary

Since respondent acquired no right over the subject property, the same remained in the name of the
original registered owners, Macario and Felicidad. Being heirs of the owners, petitioners and
respondent thus became, and remain co-owners - by succession - of the subject property. As such,
petitioners may exercise all attributes of ownership over the same, including possession whether de
facto or dejure; respondent thus has no right to exclude them from this right through an action for
ejectment.

With the Court's detennination that respondent's title is null and void, the matter of direct or collateral
attack is a foregone conclusion as well. "An action to declare the nullity of a void title does not
prescribe and is susceptible to direct, as well as to collateral, attack;" petitioners wery not precluded
from guestioning the validity of respondent's title in the ejectment case. 61 (Citations and emphasis
omitted and underlining ours) ChanRoblesVirtualawlibrary

In the case at bar, when the Deed was executed on December 1, 2009, Eddie claimed that he was
abroad while Verona was already unconscious. Vida did not directly refute these allegations and
instead pointed out that the Deed was pre-signed in April of 2008. The foregoing circumstances
reduced the Deed into the category of a private instrument as can be drawn from the Court's
discussion in Adelaida Meneses (deceased) v. Venturozo,62viz.:
chanRoblesvirtualLawlibrary

As notarized documents, [Deeds] carry evidentiary weight conferred upon them with respect to their
due execution and enjoy the presumption of regularity which may only be rebutted by evidence so
clear, strong and conyincing as to exclude all controversy as to falsity. The presumptions that attach
to notarized documents can be affirmed only so long as it is beyond dispute that the notarization was
regular. A defective notarization will strip the document of its public character and reduce it to a
private instrument. Consequently, when there is a defect in the notarization of a document, the clear
and convincing evidentiary standard normally attached to a duly-notarized document is dispensed
with, and the measure to test the validity of such document is preponderance of evidence. 63 (Citations
omitted and underlining ours) ChanRoblesVirtualawlibrary

Further, in Dela Rama, et al. v. Papa, et al.,64 the Court elucidated that:


chanRoblesvirtualLawlibrary

Papas['] admissions, refreshing in their self-incriminatory candor, beat legal significance. With respect
to deeds of sale or conveyance, what spells the difference between a public document and a private
document is the acknowledgment in the former that the parties acknowledging the document appear
before the notary public and specifically manifest under oath that they are the persons who executed
it, and acknowledge that the same are their free act and deed. x x x

xxxx

The presumptions that attach to notarized documents can be affirmed only so long as it is beyond
dispute that the notarization was regular. We cannot ascribe that conclusion at bar to the deed of
sale. Respondent failed to confirm before the RTC that he had actually appeared before the notary
public, a bare minimum requirement under Public Act No. 2103. Such defect will not  ipso facto void
the deed of sale. However, it eliminates the presumptions that are carried by notarized public
documents and subject the deed of sale to a different level of scrutiny than that relied on by the
[CA]. This consequence is with precedent. In Tigno v. Sps. Aquino, where the public document in
question had been notarized by a judge who had no authority to do so, the Court dispensed with the
clear and convincing evidentiary standard normally attached to duly notarized documents, and instead
applied preponderance of evidence as the measure to test the validity of that document.65 (Citations
omitted and underlining ours) ChanRoblesVirtualawlibrary
In the instant petition, Vida impliedly admits the irregularity of the Deed's notarization as both of the
vendors were not personally present. Consequently, due execution can no longer be presumed.
Besides, the extant circumstances surrounding the controversy constitute preponderant evidence
suggesting that forgery was committed. Eddie promptly filed a criminal case for falsification of
documents and a civil case to nullify the Deed. Later, the Office of the Davao City Prosecutor found
probable cause to indict Vida for falsification. Consequently, the issue of ownership cannot be
disregarded in the unlawful detainer case. It bears stressing though that while the RTC aptly resolved
the issue of ownership, it is at best preliminary and shall not be determinative of the outcome of the
two other cases filed by Eddie against Vida.

Other matters

The Court observes that the MTCC ruling, which the CA affirmed, is based partly on equitable grounds.
Notably, the MTCC referred to Verona's medical expenses of P1,085,540.21, which Vida had
shouldered.66 The Court commiserates with Vida, if indeed she remains unpaid by Eddie for Verona's
medical and burial expenses. However, a creditor cannot resort to procedural shortcuts to collect in
kind for sums of money owed by a debtor.

In sum, the Court agrees with the RTC that the dismissal of Vida's complaintifor unlawful detainer is in
order.

WHEREFORE, the instant petition is GRANTED. The Decision and Resolution, dated January 23, 2015
and September 7, 2015, respectively, of the Court of Appeals in CA-G.R. SP No. 05256-MIN, are SET
ASIDE. The Decision dated June 13, 2012 of the Regional Trial Court of Davao City, Branch 14, in
Civil Case No. 34,450-2012, is REINSTATED. Consequently, Yolanda Vida P. Beltran's complaint for
unlawful detainer is DISMISSED.

SO ORDERED. cralawlawlibrary

Velasco, Jr., (Chairperson), Bersamin, Jardeleza, and Caguioa,*JJ., concur. chanRoblesvirtualLawlibrary

Endnotes:

 Designated Fifth Member of the Third Division per Special Order No. 2417 dated January 4, 2017.
*

Rollo, pp. 9-47.


1

2
 Penned by Associate Justice Rafael Antonio M. Santos, with Associate Justices Edgardo T. Lloren and
Edward B. Contreras, concurring; id. at 52-76.

 Id. at 78-81.
3

 Id. at 75-76.
4

 Id. at 125.
5

 Id. at 53.
6

See Certificate of Marriage, id. at 136.


7

 Id. at 125.
8

 Id. at 145.
9

10
 Id. at 137.

11
 Docketed as Case No. 055-08 and raffled to Branch 12, id. at 144-152.
 Id. at 138-139.
12

 Id. at 192.
13

 Id. at 193.
14

See Certificate of Death, id. at 140.


15

 Id. at 192.
16

 Id. at 192-193.
17

 Id. at 141-142.
18

 Id. at 192.
19

 Id.
20

 Id. at 124-135.
21

 Id. at 156-162.
22

 Id. at 29.
23

 Id. at 194.
24

25
cralawred  Id. at 193.

 Docketed as Civil Case No. 21,755-A-10.


26

Rollo, p. 187.
27

 Id. at 190.
28

 Id. at 192-193.
29

 Rendered by Presiding Judge Leo Tolentino Madrazo; id. at 187-200.


30

 Id. at 200.
31

 Id. at 196-199.
32

 Docketed as Civil Case No. 34,450-2012.


33

 Rendered by Presiding Judge George E. Omelio; rollo, pp. 201-207.


34

 Id. at 203-206.
35

 Id. at 61-71.
36

 Id. at 78-81.
37

 Id. at 87-101.
38

 Id. at 30.
39

 Issued by Prosecutor II Victor C. Sepulveda; id. at 163-164.


40
 Id. at 172.
41

 Id. at 173.
42

 569 Phil. 607 (2008).


43

Rollo, p. 40.
44

 Id. at 41-42.
45

 Id. at 42-43.
46

 Id. at 220-228.
47

 Id. at 226.
48

 Id. at 40-42.
49

 Id. at 141-42.
50

 350 Phil. 74 (1998).


51

 Id. at 84.
52

 579 Phil. 781 (2008).


53

54
Section 19. Immediate execution of judgment; how to stay same. - If judgment is rendered against
the defendant, execution shall issue immediately upon motion unless an appeal has been perfected
and the defendant to stay execution files a sufficient supersedeas bond, approved by the Municipal
Trial Court and executed in favor of the plaintiff to pay the rents, damages, and costs accruing down
to the time of the judgment appealed from, and unless, during the pendency of the appeal, he
deposits with the appellate court the amount of rent due from time to time under the contract, if any,
as determined by the judgment of the Municipal Trial Court. In the absence of a contract, he shall
deposit with the Regional Trial Court the reasonable value of the use and occupation of the premises
for the preceding month or period at the rate determined by the judgment of the lower court on or
before the tenth day of each succeeding month or period. The supersedeas bond shall be transmitted
by the Municipal Trial Court, with the papers, to the clerk of the Regional Trial Court to which the
action is appealed.

x x x Should the defendant fail to make the payments above prescribed from time to time during the
pendency of the appeal, the appellate court, upon motion of the plaintiff, and upon proof of such
failure, shall order the execution of the judgment appealed from with respect to the restoration of
possession, but such execution shall not be a bar to the appeal taking its course until the final
disposition thereof on the merits.

x x x x (Underlining ours)

City of Naga v. Hon. Asuncion, et al., supra note 53, at 797.


55

 140 Phil. 532 (1969).


56

 Id. at 541-544.
57

Rollo, pp. 164, 172.


58

 G.R. No. 200969, August 3, 2015.


59

60
Section 16. Resolving defense of ownership. - When the defendant raises the defense of ownership
in his pleadings and the question of possession cannot be resolved without deciding the issue of
ownership, the issue of ownership shall be resolved only to determine the issue of possession.

Consolacion D. Romero and Rosario S.D. Domingo v. Engracia D. Singson, supra note 59.
61

 675 Phil. 641 (2011).


62

 Id. at 651-652.
63

 597 Phil. 227 (2009).


64

 Id. at 241-242.
65

Rollo, p. 196.
66

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