RULE 39 Where judgment or order has become executory, the court cannot refuse to

EXECUTION, SATISFACTION AND EFFECT OF JUDGMENTS issue a writ of execution, EXCEPT:

Section 1. Execution upon judgments or final orders
WHEN EXECUTION IS A MATTER OF RIGHT
1) On motion;
2) Upon judgment or order that disposes of the action or proceeding;
3) Upon expiration of the period to appeal therefrom and no appeal has been duly
perfected;
4) When appeal has been duly perfected and resolved, by filing a motion with the
court of origin submitting true copies of the final judgment or final order sought
to be enforced and of the entry thereof, with notice to the adverse party, and
with a hearing when the circumstances so require.
If the court of origin refuses to issue a writ of execution, the appellate court may, on
motion, direct the court of origin to issue the writ.
For purposes of appeal:
Final order it disposes of the action
Interlocutory order leaves something to be done in the trial court with respect to the
merits of the case
For purposes of binding effect or whether it can be subject of execution:
Final order after the lapse of the reglementary period to appeal and no appeal has
been perfected
a) When subsequent facts and circumstances transpire which render such execution
unjust or impossible, such as a supervening cause;
b) On equitable grounds;
c) Where judgment has been novated by the parties (e.g. agreement entered into
by the parties other than terms of payment);
d) When a petition for relief or an action to enjoin the judgment is filed and a
preliminary injunction is prayed for and granted;
e) When the judgment has become dormant, the 5-year period under Sec. 6 of this
Rule having expired without the judgment having been revived;
f) Where the judgment turns out to be incomplete or is conditional.
QUASHAL of a writ of execution is proper when:
a) It was improvidently issued;
b) It was defective in substance;
c) It was issued against the wrong party;
d) Judgment was already satisfied;
e) It was issued w/o authority;
f) A change in the situation of the parties renders execution inequitable;
g) Controversy was never validly submitted to the court;
h) It varies the terms of the judgment;
i) It is sought to be enforced against property exempt from execution;
j) There is ambiguity in the terms of the judgment.
*These defects may also be challenged on appeal or in certiorari, prohibition or
mandamus actions.

FINAL JUDGMENTS FINAL AND EXECUTORY JUDGMENTS APPEAL is the remedy from the denial of a motion for execution.
Dispose of, adjudicate, or determine Becomes final & executory by operation of
the rights of parties law GENERAL RULE: Final and executory judgment cannot be amended or modified
Still subject to appeal After lapse of period to appeal and no Any amendment w/c substantially affects a final and executory judgment is null and
appeal was perfected, no further action void for lack of jurisdiction
can be had
Execution of judgment not a matter of Execution of judgment a matter of right EXCEPTION: JUDGMENT MAY BE MODIFIED AS TO:
right 1) clerical errors, mistakes or omissions, as by amendment nunc pro tunc (to make a
present record of an order w/c the court rendered at a previous term but, by
When execution is a matter of right, the judgment debtor need NOT be given advance inadvertence has not been entered);
notice or prior hearing of such motion for execution. An EX PARTE motion for the CLERICAL ERROR JUDICIAL ERROR
issuance of the writ would suffice. HOWEVER, where losing party shows that Errors not the result of exercise of Mistake relates to something the
subsequent facts had taken place which would render execution unjust, a hearing on judicial functions court did not consider or pass on,
the motion should be held. or considered and erroneously
decided
 May be modified, corrected even Cannot be modified must be done A final and executory judgment can no longer be amended by adding thereto relief not
after judgment has become final in another case/suit originally included e.g. award of ownership does not necessarily include possession
and executory
Section 2. Discretionary execution
2) to clarify ambiguity; or
3) in judgments for support, which can always be amended from time to time, in WHEN ISSUANCE OF WRIT OF EXECUTION IS DISCRETIONARY
light of the circumstances. 1) Execution pending appeal
a) While trial court has jurisdiction over the case and is in possession of either
Remedies against a judgment or order which has become executory: the original record or record on appeal;
a) Petition for relief under Rule 38, b) When trial court has lost jurisdiction but has not transmitted records of the
b) Direct attack against the judgment, or case to the appellate court;
- Made through an action or proceeding the main object of which is to ANNUL, c) When trial court has lost jurisdiction and has transmitted records -> motion
SET ASIDE, or ENJOIN the enforcement of such judgment, if not yet carried for execution pending appeal with appellate court
into effect 2) Execution of several, separate or partial judgments
c) Collateral attack against the judgment SEPARATE/PARTIAL
SEVERAL JUDGMENTS
- Made when, in another action to obtain a different relief, an attack on the JUDGMENTS
judgment is made as an incident in said action Rendered against one or more of Rendered at any stage of the action
- Proper only when it is patent that the court which rendered said judgment several defendants, leading the regarding a particular claim, leaving
had no jurisdiction action to proceed against the the action to proceed as to the
others remaining claims
JUDGMENTS AND FINAL ORDERS THAT MAY BE EXECUTED AS A MATTER OF
RIGHT BEFORE EXPIRATION OF TIME TO APPEAL EXECUTION AS A
DISCRETIONARY EXECUTION
1) Forcible entry and detainer MATTER OF RIGHT
2) Injunction, receivership, accounting and support May issue before the lapse of period Issued when period to appeal has
3) Award, judgment, final order, or resolution of quasi-judicial agencies -> to appeal already lapsed and no appeal has
appealable to CA been perfected
Discretionary upon the court; there Ministerial duty of the court
JUDGMENTS THAT ARE NOT APPEALABLE: is inquiry on whether there is good provided there are no
1) Sin perjuico judgments (judgment, w/o any stated facts in support of the reason for execution supervening events
conclusion)
2) Conditional judgments A judgment of the CA cannot be executed pending appeal. Once final and executory,
3) Incomplete judgments the judgment on appeal must be remanded to the lower court, where a motion for
execution may be filed only after its entry.
WHEN EXECUTION OF FINAL AND EXECUTORY JUDGMENT MAY BE
ENJOINED REQUISITES FOR EXECUTION PENDING APPEAL
1) Upon filing of a petition for relief from judgment 1) On motion by the prevailing party, with notice to the adverse party;
2) Attack against a judgment which is void for lack of jurisdiction, or obtained 2) Good reasons for issuing execution; and
through fraud 3) The good reasons must be stated in a special order.
3) On equitable grounds
4) In cases falling under the (6) exceptions above Execution pending appeal is not applicable in land registration proceedings
.
Section 3. Stay of discretionary judgment

Stay of execution may be allowed at the discretion of the court by filing a supersedeas
bond
SUPERSEDEAS BOND
It is one filed by a petitioner and approved by the court before judgment becomes
final and executory and conditioned upon the performance of the judgment appealed
from in case it be affirmed wholly or in part.
The supersedeas bond guarantees satisfaction of the judgment in case of affirmance
on appeal, not other things like damage to property pending the appeal.
Aside from the supersedeas bond, an aggrieved party may file a special civil action of
certiorari under Rule 65 against the order granting execution pending appeal where
the same is not founded upon good reasons.
This remedy may be availed of notwithstanding the fact that 1) he has appealed
from the judgment, or 2) has filed a supersedeas bond.
Section 4. Judgments not stayed by an appeal
The following judgments are immediately executory, enforceable after their rendition
and shall not be stayed by an appeal, unless otherwise ordered by the trial court:
1) Injunction;
2) Receivership;
3) Accounting;
4) Support; and
5) Such other judgments declared to be immediately executory unless otherwise
ordered by the trial court.
Generally, only judgments and final orders or resolutions may be executed.
EXCEPTIONS are orders granting support pendente lite which can be executed even if
the main case is still pending, and orders in injunction, receivership and accounting
cases.
As a rule, execution shall issue only if the judgment has become executory, that is, no
motion for new trial or reconsideration has been filed, nor has an appeal or certiorari
proceeding been taken therefrom.
Even before judgment has become executory and before appeal was perfected, the
court, in its discretion, may order execution upon good reasons to be stated in a
special order, such as:
a) Where the lapse of time would make the ultimate judgment ineffective;
b) Where the appeal is clearly dilatory;
c) Where the judgment is for support and the beneficiary is in need thereof;
d) Where the articles subject of the case would deteriorate;
e) Where defendants are exhausting their income and have no other property aside
from the proceeds from the lots subject of the action;
f) Where the judgment debtor is in imminent danger of insolvency or is actually
insolvent (does not apply where other judgment co-debtor is not insolvent);
g) Where the prevailing party is of advanced age and in a precarious state of health,
and the obligation in the judgment is non-transmissible, being for support; etc.
CERTIORARI lies against an order granting execution pending appeal where the same
is not founded upon good reasons.
To prevent execution pending appeal, the losing party must post a supersedeas bond
to answer for such damages as may be awarded by the appellate court or for the
performance of the judgment appealed from in case of affirmance on appeal.
However, the filing of supersedeas bond does not entitle the judgment debtor to the
suspension of execution as a matter of right. Hence, where the needs of the prevailing
party are urgent, the court can order immediate execution despite such supersedeas
bond.
The motion for immediate execution must be filed before the court approves the
record on appeal and, formerly, the appeal bond, where such were required, because
upon such approval, the appeal is deemed perfected and the trial court loses
jurisdiction over the subject matter, except to issue orders for the protection and
preservation of the rights of the parties.
Since appeal is now generally taken by merely filing a notice of appeal, it was then
held that the motion for immediate execution should be filed before the notice is filed
and the appeal given due course by the trial court. As long as such motion is filed
before the appeal is perfected (lapse of last day for all parties to appeal), the writ may
issue after the period for appeal.
Award for actual and compensatory damages may be ordered executed pending
appeal, but not moral and exemplary damages.
Moral and exemplary damages depends on actual result of the appeal
Section 5. Effect of reversal of executed judgment
The trial court may, on motion, issue restitution or reparation in an event of a
reversal, total or partial, after a petition for relief under Rule 38; or annulment of
judgment under Rule 47 is granted
Reversal the property itself must be returned to the judgment debtor, if the same is
still in the possession of the judgment creditor, plus compensation to the former for
deprivation and use of the property. This can be effected by motion to the trial court.
If restitution is not possible, then compensation should be made as follows:
a) If purchaser at public auction was judgment creditor, he must pay full value of
property at the time of its seizure, plus interest thereon;
b) If purchaser was a third person, the judgment creditor must pay the judgment
debtor the amount realized from the sale of said property at the sheriffs sale,
with interest; and
c) If judgment award was reduced on appeal, judgment creditor must return to the
judgment debtor only the excess which he received over and above that to which
he is entitled under the final judgment, with interest.
Section 6. Execution by motion or by independent action.
A final and executory judgment or order may be executed:
1) On motion, w/in 5 years from entry; or
2) By filing another action w/in 10 years from entry
Lifespan of writ of execution = 5 years
A revived judgment is again enforceable by motion w/in 5 years and thereafter, by
another action w/in 10 years from finality of the revived judgment, not the original
judgment
Failure to object to a writ of execution issued after 5 years from final judgment does
not validate the writ, as the question of jurisdiction cannot be conferred by the will of
the parties.
HOWEVER, where execution was withheld due to:
a) Financial difficulties of the debtor, or
b) Was suspended by agreement of the parties, especially if it was with court
approval, or
c) Was not carried out due to the repealed refusal or failure of the sheriff to enforce
the same, or
d) Was suspended by order of the court, or
e) Was interrupted by the filing of a motion for examination of the judgment debtor
and an action for mandamus by the judgment creditor
THE 5-YEAR PERIOD MAY BE PROPORTIONATELY EXTENDED.
After 5 years and within 10 years from entry of the judgment, such judgment
becomes a mere right of action and if unsatisfied, the prevailing party can file an
action for revival of judgment.
An action to revive a judgment is a personal one and not quasi in rem.
WHEN 5 AND 10 YEAR PERIODS NOT APPLICABLE
1) Judgment for support
- does not prescribe
- may still be enforced by motion even after the 5 year period
2) Special proceedings
* e.g. land registration proceedings
NOTE: An action for support does not prescribe and may still be enforced by motion
even after the lapse of 5 year period since the obligation is a continuing one. The
court never loses jurisdiction to enforce such.
EXECUTION OF A JUDGMENT BY COMPROMISE WITH A TERM
If a compromise agreement w/ a term suspends the enforceability of a final judgment,
the 5 year/10 year period must be counted from the end of such term, not from the
date of entry
REVIVAL OF A JOINT AND SEVERAL JUDGMENT
A judgment rendered against several defendants, jointly and severally, can be revived
against one of them only.
WHEN 5/10 YEAR PERIOD SUSPENDED
1) When the enforceability of a final decision is suspended by the court;
2) When the 5 year period is interrupted or suspended by agreement of the parties
3) When the judgment creditor institutes supplementary proceedings to the
execution
4) When delays are caused by judgment obligors own initiatives and for her
advantage
A valid execution issued and levied w/in the 5 year period may be enforced by sale
even after the lapse of the said period
The levy is the essential act by which the property is set apart for satisfaction of
judgment
However, the execution sale must take place w/in the 10 year period
VENUE OF ACTION FOR ENFORCEMENT OF JUDGMENT
personal action -> where plaintiff resides or defendant resides, at the election of Section 8. Issuance, form, and contents of a writ of execution.
the plaintiff;
real action -> where the property is located The writ of execution shall:
1) Issue in the name of the RP from the court which granted the motion;
DEFENSES AVAILABLE IN AN ACTION FOR 2) State the name of the court, the case number and title, the dispositive part of the
ENFORCEMENT OF JUDGMENT subject judgment or order; and
prescription 3) Require the sheriff or other proper officer to whom it is directed to enforce the
satisfaction of claim writ according to its terms, in the manner provided:
counterclaims
a) If execution is against the property of the judgment obligor , to satisfy the
JURISDICTION TO CHANGE, JURISDICTION TO ENFORCE judgment with interest, out of his REAL OR PERSONAL PROPERTY;
ALTER, MODIFY JUDGMENT JUDGMENT b) If it is against REAL OR PERSONAL PROPERTY in the hands of personal
Terminates when the Continues even after representatives, heirs, devisees, legatees, tenants, or trustee of the
judgment becomes final judgment has become final, for judgment obligor, to satisfy the judgment with interest out of such property;
purposes of execution and c) If it is for the sale of real or personal property , to SELL SUCH PROPERTY,
enforcement DESCRIBING IT, AND APPLY THE PROCEEDS IN CONFORMITY WITH THE
Governed by Rule 39, Section 1 Governed by Rule 39, Section 6 JUDGMENT, the material parts of which shall be recited in the writ of
execution;
Section 7. Execution in case of death of party. d) If it is for the delivery of the possession of real or personal property , to
DELIVER THE POSSESSION OF THE SAME, DESCRIBING IT, TO THE PARTY
Execution may issue or be enforced: ENTITLED THERETO, and to SATISFY ANY COSTS, DAMAGES, RENTS OR
a) In case of the death of the judgment obligee, upon the application of his PROFITS covered by the judgment OUT OF THE PERSONAL PROPERTY (then
executor or administrator, or successor in interest; out of the REAL PROPERTY if personal property is not sufficient) of the
b) In case of the death of the judgment obligor after entry of the judgment or person against whom it was rendered;
order which has become final and executory, against his executor or
administrator or successor in interest, if the judgment is for recovery of real The motion for execution and the writ of execution must state SPECIFICALLY the
or personal property, or the enforcement of a lien thereon. If judgment obligor amount of INTEREST, COSTS, DAMAGES, RENTS, OR PROFITS DUE AS OF THE DATE
dies before entry, and the action is for a contractual money claim, judgment OF ISSUANCE OF THE WRIT, ASIDE FROM THE PRINCIPAL OBLIGATION.
cannot be enforced by a writ of execution and the action will continue until entry
of final judgment. If it is a favorable judgment, it may be enforced as a claim The MTC, as the court of origin, and which took cognizance of the case in the exercise
against the debtors estate under Rule 86; of original jurisdiction, is the court authorized to issue the writ of execution (if
c) In case of the death of the judgment obligor, after execution is actually levied execution is a matter of right).
upon any of his property, the same may be sold for the satisfaction of the
judgment obligation, and officer making the sale shall account to the executor or The writ of execution must conform to the judgment and if it is different from or
administrator for any surplus. exceeds the terms of judgment, it is a nullity and may be quashed on motion, and
appeal may be taken from a denial of said motion.
1) Judgment obligor dies after entry of judgment, before levy on his property:
a) if it is for recovery of real or personal property execution will issue General rule: the portion of the decision that becomes subject of execution is that
b) if it is for a sum of money judgment cannot be enforced by writ of ordained in the dispositive part thereof.
execution but must be filed as a claim against his estate EXCEPTIONS:
2) Judgment obligor dies after levy was made execution sale may proceed
a) Where there is ambiguity or uncertainty, the body of the opinion may be referred
to for purposes of construing the judgment; and
b) Where extensive and explicit discussion and settlement of the issue is found in
the body of the decision.
Writ of possession may be issued only in:
a) Land registration proceedings, which are in rem;
b) Extrajudicial foreclosure of real estate mortgage;
c) Judicial foreclosure of real estate mortgage; and
d) In execution sales.
An APPEAL is the remedy from an order denying the issuance of a writ of execution.
However, an order granting the issuance of a writ of execution of afrine final
judgment is NOT APPEALABLE.
If judgment debtor has simulated a transfer of his property to evade execution, said
property may be levied upon for the satisfaction of the judgment without the need of
an independent action to annul the simulated transfer since it is void and non-existent.
Section 9. Execution of judgments for money, how enforced
3 WAYS TO ENFORCE A JUDGMENT FOR MONEY
1) Immediate payment on demand
Judgment obligor shall pay in cash, certified bank check payable to the judgment
obligee, or any other form of payment acceptable to the latter
a) Payment made to the judgment obligee or his representative, or if not present, to
the executing sheriff, or
b) If not practicable, to a fiduciary account in the nearest government depository
bank of the RTC of the locality. Clerk of said court shall arrange for remittance of
the deposit to the account of the court that issued the writ whose clerk of court
shall then deliver said payment to judgment obligee in satisfaction of judgment.
The excess, if any,shall be delivered to judgment obligor while lawful fees shall be
retained by the clerk of court. In no case shall the executing sheriff demand that
payment by check be made payable to him.
2. Satisfaction by levy
If judgment obligor cannot pay all or part of the obligation in cash, certified bank
check or other mode of payment acceptable to the judgment obligee
LEVY
An act by which an officer sets apart or appropriates a part or whole of the property of
the judgment debtor for purposes of the execution sale.
The officer shall levy upon properties of the judgment obligor of every kind and
nature which may be disposed of for value and not otherwise exempt from
execution
Judgment obligor exercises option to choose which property is levied upon; if not
exercised, officer shall levy 1st on personal property, then on real property
The sheriff shall sell only property sufficient to satisfy the judgment and other
lawful fees.
The execution creates a lien in favor of the judgment obligee over the right, title,
and interest of the judgment obligor in such property at the time of the levy,
subject to liens and encumbrances then existing.
3) garnishment of debts and credits
GARNISHMENT
An act of appropriation by the court when property of debtor is in the hands of third
persons.
The sheriff may levy on debts due to debtor, or other credits, including bank
deposits, financial interests, royalties, commissions and other personal property,
not capable of manual delivery in the possession or control of 3rd parties
Notice served on 3rd party (garnishee)
The garnishee shall make a written report to the court within 5 days from service
of the notice stating whether or not the judgment obligor has sufficient funds or
credits to satisfy the amount of judgment. If not, the report shall state how much
funds or credits the garnishee holds for the judgment obligor. The garnished
amount in cash, or certified bank check issued in the name of judgment oblige,
shall be delivered directly to judgment oblige within 10 working days from service
of notice, except the lawful fees which shall be paid directly to court. In there are
2 or more garnishees, the judgment obligor, if available, shall have the right to
indicate the garnishee/s who shall be required to deliver the amount due,
otherwise the choice is with judgment obligee.
GENERAL RULE: All property belonging to judgment obligor not exempt from
execution may be attached.
EXCEPTIONS:
1) Usufruct
2) Ascertainable interest in real estate as mortgagor, mortgagee, or otherwise
3) Unused balance of an overdraft account (credit not subject to garnishment)
Levy on personal property may be actual or constructive
e.g. levy on a barge by registration w/ Philippine Coast Guard (constructive)

Section 10. Execution of judgments for specific act
SPECIFIC ACTS
1) Conveyance, delivery of deeds, or other specific acts; vesting title
If party fails to comply within the time specified, the court may direct the act to
be done at the cost of the disobedient party
If real or personal property is situated w/in the Philippines: court in lieu of
conveyance may give order divesting title and may vest it in others
2) Sale of real or personal property
3) Delivery or restitution of real property
Officer shall demand person to peaceably vacate property w/in 3 working days,
and restore possession to judgment obligee, otherwise officer shall oust such
persons with the assistance, if necessary, of appropriate peach officers, and
employing such means as may be reasonably necessary to retake possession.
Writ of execution directing sheriff to cause the defendant to vacate is in the
nature of a habere facias possessionem and authorizes sheriff to break open the
premises where there is no occupant therein.
4) Removal of improvements on property subject of execution
Officer shall not destroy, demolish, or remove improvements except upon special
order of the court
Special order issued upon motion, after judgment obligor failed to remove the
same
5) Delivery of personal property
Officer shall take possession of the same and deliver it to the judgment obligee
Failure to comply with specific acts under Rule 39 Sec. 10 is not necessarily
punishable by contempt.
However, if a party refuses to:
1) Vacate the property the sheriff must oust the party. A demolition order from the
court is required (there must be a hearing on motion and due notice) to effect
removal of an improvement constructed by the defeated party.
2) Deliver the sheriff will take possession and deliver it to the winning party.
3) Comply the court can appoint some other person at the expense of the
disobedient party and the act shall have the same effect as if the required party
performed it
No time limit w/in which an order of demolition should be carried out; defeated party
is given reasonable period to look for another place.
ORDER OF DEMOLITION COULD BE ISSUED AFTER THE 5 YEAR PERIOD
but writ of execution must be served w/in 5 years
order of demolition ancillary to writ
Certiorari is available if requirements for issuance of order of demolition are not
followed
Section 11. Execution of special judgment
SPECIAL JUDGMENT
A special judgment is one that can be complied with ONLY BY THE JUDGMENT
OBLIGOR HIMSELF.
It requires the performance of any other act than payment of money, or the sale or
delivery of real or personal property
Failure to comply with special judgment under Section 11 is punishable as contempt.
Contrast with Sec. 10 the acts of which can be performed by persons appointed by the
court other than the party directed; thus the disobedient party incurs no liability for
contempt.
Section 12. Effect of levy on execution as to third persons
It shall create a lien in favor of the judgment obligee over the right, title and interest
of the judgment obligor in such property at the time of the levy, subject liens and
encumbrances.
Judgment debtor must be served with notice of the levy, but if not served, the defect
is cured by service on him of the notice of sale prior to the sale.
Garnishment if act of appropriation by the sheriff involves money, stocks or other
incorporeal property in the hands of third persons
Garnishment of bank deposit is not a violation of RA 1405 (secrecy of bank deposits)
as it does not involve an inquiry or examination of such deposit.
Section 13. PROPERTIES EXEMPT FROM EXECUTION
1) family home, or homestead, land necessarily used in connection therewith
2) ordinary tools and implements used in trade, employment, or livelihood
3) 3 horses, cows, carabaos, or other beast of burden, necessarily used in his
ordinary occupation
4) necessary clothing and articles for ordinary personal use, except jewelry
5) household furniture and utensils necessary for housekeeping P100K
6) Provisions for individual or family use sufficient for 4 months
7) Professional libraries and equipment P300K The rules do not provide any lifetime for a writ of attachment unlike writ of execution
8) One fishing boat and accessories P100K used in livelihood
9) Salaries, wages, or earnings as are necessary for support of family w/in 4 months Section 15. Notice of sale of property on execution
preceding levy
10) Lettered gravestones REQUISITES FOR NOTICE OF SALE REQUISITES FOR NOTICE OF SALE
11) Monies, benefits, privileges, or annuities accruing out of any life insurance OF PERSONAL PROPERTY OF REAL PROPERTY
12) Right to receive legal support, or money or property obtained as such support, or Perishable property: If 50,000: notice posted in 3 public
any pension or gratuity from the Government written notice of time and place of the places for 20 days particularly describ-ing
13) Properties specially exempt from execution sale posted in 3 public places for such the property and stating where the
time as may be reasonable considering property is to be sold
Exemptions enumerated cannot be claimed if the judgment is for the recovery of the character & condition of the property If > 50,000: Publication once a week for 2
unpaid price of the article involved or for the foreclosure of a mortgage thereon. Other personal property: notice posted in consecutive weeks in one newspaper
3 public places for not less than 5 days selected by raffle and notice posted in 3
The exemptions must be claimed, otherwise they are deemed waived. public places for 20 days
In all cases, written notice of the sale shall be given to the judgment obligor, at least
OTHER PROPERTIES SPECIALLY EXEMPT FROM EXECUTION 3 days before the sale, except as provided in paragraph (a) [perishable property]
1) Property mortgaged to DBP hereof where notice shall be given at any time.
2) Property taken over by Alien Property Administration
3) Savings of national prisoners deposited with the Postal Savings Bank The notice shall specify the place, date and exact time of the sale which should not be
4) Backpay of pre-war civilian employees earlier than 9 am and not later than 2 pm. The place of the sale may be agreed upon
5) Philippine Government backpay to guerillas by the parties. In the absence of such agreement, sale of real property or personal
6) Produce, work animals, and farm implements of agricultural lessees, subject to property not capable of manual delivery shall be held in the OFFICE OF THE CLERK OF
limitations COURT OF RTC OR MTC which issued the writ or was designated by appellate court.
7) Benefits from private retirement systems of companies and establishments, with In the case of personal property capable of manual delivery , sale should be held in the
limitations place WHERE PROPERTY IS LOCATED.
8) Labor wages, except for debts incurred for food, shelter, clothing, and medical
attendance EFFECTS OF AN EXECUTION SALE WITHOUT THE REQUIRED NOTICE
9) Benefit payments from the SSS 1) Sheriff and creditor are joint tortfeasors
10) Copyrights and other rights in intellectual property under the former copyright law 2) Liable in solidum because liability is joint and solidary
11) Bonds issued under RA 1000
Want of notice does not invalidate the execution sale where purchaser is innocent and
Section 14. Return of writ of execution no collusion appears (buyer in good faith)

Writ of execution is returnable to the court after judgment is satisfied in part or in full Section 16. Proceedings where property claimed by third persons

If judgment cannot be satisfied, the sheriff shall report to the court w/in 30 days after 3RD PARTY CLAIM
receipt of the writ and state the reason therefor. Such writ shall continue in effect A claim by any person other than the judgment debtor or his agent on property levied
during the period within which the judgment may be enforced by motion. Report shall on execution
be made every 30 days until the judgment is satisfied in full, or its effectivity expires.
PURPOSE OF 3RD PARTY CLAIM
Lifetime of writ of execution 5 years from entry of judgment 1) To recover property levied on by sheriff (although 3rd party can vindicate claim in
a separate action)
2) To hold sheriff liable for damages for the taking or keeping of such property
WHEN TO FILE A 3RD PARTY CLAIM
At any time, so as long as the sheriff has the possession of the property levied upon,
or before the property is sold under execution
WHAT IS THE PROCEDURE FOR A 3RD PARTY CLAIM
3rd party should make an affidavit of his title thereto, or right of possession thereof,
stating the grounds of such right or title and should serve such affidavit upon the
sheriff and a copy thereof to the judgment obligee.
The sheriff may or may not require the judgment obligee to file a bond.
Where a third-party claim has been filed in due form, the prevailing party can compel
the sheriff to proceed by the filing of a bond to answer for damages that may be
incurred as a consequence of the execution.
INDEMNITY BOND FILED NO INDEMNITY BOND FILED
Action for damages brought against Action for damages may be
the principal and sureties on the brought against sheriff himself
bond
Sheriff not liable for damages Sheriff liable for damages
Sheriff bound to keep property on Sheriff not bound to keep property
behalf of judgment oblige under levy
REMEDY OF THE CREDITOR
1) File a bond to indemnify 3rd party complainant
- amount of bond not less than value of property
- sheriff not liable for damages if bond is filed
2) File a claim for damages against 3rd party in the same or separate action
- based on the ground that 3rd party claim is frivolous or plainly spurious
REMEDY OF THE 3RD PARTY
1) Summary hearing before the court which authorized the execution
2) If third-party-claim has been disregarded by the sheriff because of the bond filed
by prevailing party, remedy is to vindicate his claim in a separate action
(independent reivindicatory action) against the judgment creditor or the
purchaser at public auction
- no intervention allowed since judgment final & executory
3) File a separate action for damages against the sheriff/terceria (if no bond filed)
4) File a claim for damages against the bond
- claim must be w/in 120 days from filing of bond
- These are cumulative remedies
The right of third-party claimants should not be decided in the action where the third-
party claims are presented, but in a separate action which the court should direct the
claimants to file. Reason: no man shall be affected by proceedings to which he is a
stranger
The sheriff is at complete liberty to suspend or not to suspend execution if the
judgment creditor does not file a bond.
The judgment creditor cannot be compelled to file a bond because he is at complete
liberty to do so.
Without an indemnity bond, the sheriff acts at his own risk if he keeps the property
(can be liable for damages).
When the writ of execution is issued in favor of the Republic of the Philippines, or any
officer duly representing it, the filing of such bond shall not be required, and in case
the sheriff or levying officer is sued for damages as a result of the levy, he shall be
represented by the SolGen and if held liable therefor, the actual damages adjudged by
the court shall be paid by the national Treasurer out of such funds as may be
appropriated for the purpose.
Section 17. Penalty for selling without notice, or removing or defacing
notice
PERSONS LIABLE UNDER SECTION 17
1) Officer selling without notice
2) Any person willfully removing or defacing notice posted (e.g. notice posted in 3
public places)
What is the liability?
1) punitive damages to any person injured thereby = P5000,
2) actual damages
Section 18. No sale if judgment and costs paid
If judgment obligor paid the amount of judgment -> NO writ of execution may be
issued or implemented
Section 19. How property sold on execution; who may direct manner and
order of sale
All sales of property under execution must be made:
1) at a public auction
2) to the highest bidder
3) to start at the exact time fixed in the notice
After sufficient property has been sold to satisfy the execution, no more shall be sold
and any excess property or proceeds of the sale shall be delivered to the judgment
obligor or authorized representative unless otherwise directed by judgment.
When the sale is of real property consisting of several known lots, they must be sold
separately, or, when a portion of such real property is claimed by a third person, he
may require it to be sold separately.
The judgment obligor, if present, may direct the order in which real or personal
property shall be sold.
Sale of real properties must be made in the province where the same are situated
Purpose is to obtain the best price
PERSONS PROHIBITED FROM BUYING
1) The guardian, the property of the person who may be under his guardianship
2) Agents, the property whose administration or sale may have been intrusted to
them, unless consent of principal has been given
3) Executors and administrators, the property of the estate under administration
4) Public officers and employees, the property of the State, the administration of
which has been intrusted to them (also applies to judges and government experts
who took part in the sale)
5) Justices, judges, prosecuting attorneys, clerks of court and other officers and
employees connected with the administration of justice, the property and rights in
litgation or levied upon an execution before the court within whose jurisdiction or
territory they exercise their respective function (also applies to lawyers, the
property and rights which may be the object of litigation in which they may take
part)
6) Any other specially disqualified by law
- Officer conducting sale, or his deputies
EFFECT OF SALE OF REAL PROPERTY IN MASS GENERAL RULE: Valid
EXCEPTION:
1) when it appears that a larger sum would have been realized from a sale in
parcels, or
2) a sale of less than whole would be sufficient to satisfy debt
Remedy against irregular sale Motion to vacate or set aside the sale
Mere inadequacy of price is not material if there is a right of redemption. But,
shocking inadequacy of price may be ground for setting aside sale
Who has jurisdiction to set aside execution sale?
Court w/c rendered judgment that became final and executory has exclusive
jurisdiction
After sufficient property has been sold to satisfy the execution, no more sale shall be
made and any excess shall be promptly delivered to the judgment obligor or his
authorized representative, unless otherwise directed by the judgment or order of the
court.
Section 20. Refusal of purchaser to pay
Officer may sell again the property to the highest bidder
Refusing purchaser may be liable for amount of loss occasioned by such refusal
Refusing purchaser may be punished for contempt
Officer may reject subsequent bid of refusing purchaser
Section 21. Judgment obligee as purchaser
If judgment obligee is the successful bidder
BID JUDGMENT IF BID > JUDGMENT
Judgment obligee not required Judgment obligee required
to pay bid to pay excess
Section 22. Adjournment of Sale
With written consent of both judgment obligee and obligor, sale may be
adjourned to any date and time agreed upon
Without such agreement, officer may adjourn the sale from day to day if it
becomes necessary to do so for lack of time to complete the sale on the date
fixed in the notice
Adjournment = waiver of publication of another notice requirement
Section 23. Conveyance to purchaser of personal property capable of
manual delivery
After purchaser pays the purchase price, the sheriff must deliver the property
capable of manual delivery to the purchaser
If desired the sheriff shall execute and deliver a certificate of sale
No right of redemption in sales of personal property on execution
Section 24. Conveyance to purchaser of personal property not capable of The certificate of sale to be issued shall make EXPRESS MENTION of the existence of
manual delivery such third-party claim.

For personal property not capable of manual delivery, the officer must execute Section 27. Who may redeem real property so sold
and deliver to purchaser certificate of sale (symbolic delivery)
RIGHT OF REDEMPTION:
Section 25. Conveyance of real property; certificate thereof given to 1. Personal Property None; sale is absolute
purchaser and filed with registry of deeds 2. Real Property there is a right of redemption
CERTIFICATE OF SALE MUST CONTAIN
1) Description of real property sold; WHO MAY REDEEM?
2) Price paid (per lot) JUDGMENT OBLIGOR REDEMPTIONER
3) Whole price paid Judgment obligor, or his successor Creditor who has a lien by virtue of
4) Statement of expiration of right of redemption 1 year from date of registration of in interest (e.g. transferee, another attachment, judgment, or
certificate of sale assignee, heirs, joint debtors) mortgage on property SUBSEQUENT
to the lien under which the property
Certificate of sale of real property is merely a memorial of the fact of sale and does was sold
not confer any right to the possession, much less the ownership, of the real property When? When?
purchased. It is the DEED OF SALE executed by the sheriff at the expiration of period Within 1 year from the date of 1) Within 1 year from the date of
of redemption which constitutes effective conveyance of the property sold and entitles registration of the certificate of registration of the certificate of
the purchaser to possession of the property sold. sale sale; or
2) Within 60 days from the last
ORDINARY SALE ON EXECUTION IN JUDICIAL redemption by another
EXECUTION FORECLOSURE OF MORTGAGE redemptioner
Need not be confirmed Needs judicial confirmation
Right of redemption No right of redemption (except A surety is NOT a successor in interest
where motgagee is a bank) By paying the debt, he stands in the place of the creditor, not obligor
Purchaser acquires title upon Purchaser acquires title after
expiration of redemption period judicial confirmation of sale Section 28. Time and manner of, and amounts payable on, successive
redemptions; notice to be given and filed
Purchaser acquires only right, title, interest and claim of judgment obligor.
PERIOD OF REDEMPTION
Purchaser of property registered under Torrens system acquires the same free from JUDGMENT OBLIGOR REDEMPTIONER
liens or encumbrances not noted thereon. Judgment Obligor has 1 year from 1st redemptioner has 1 year to
registration of certificate of sale redeem
Auction sale retroacts to date of levy
E.g. a 3rd party claim was filed after the levy. The fact that the 3rd party claim was 2nd redemptioner has 60 days to
presented 1 day before the execution sale is immaterial. If the levy is valid, the sale is redeem after 1st redemption
also valid. The auction sale retroacts to the date of the levy.
3rd redemptioner has 60 days after
The purchaser is not entitled to possession during the period of redemption. 2nd, etc.
Once he redeems, no further Further redemption allowed, even
Section 26. Certificate of sale where property claimed by 3rd person redemption is allowed after lapse of 1 year, as long as
 each redemption is made w/in 60 Such certificate must be filed and recorded in the registry of deeds of the place in
days after the last which the property is situated.

Payment how and to whom made Payments may be made to the purchaser, redemptioner, or sheriff.
Tender of redemption money may be made to purchaser or sheriff
If tender to sheriff duty to accept Redemption can be paid in other forms than cash. The rule is construed liberally in
allowing redemption (aid rather than to defeat the right) and it has been allowed to in
Medium of payment the case of a cashiers check, certified bank checks, and even checks.
Cash, although Sec. 9, Rule 39 allows certified bank check
If check is dishonored, redemption invalid A formal offer to redeem is not necessary where the right to redeem is exercised
If check became stale for not being presented, through no fault of redemptioner, through the filing of a complaint to redeem in the courts, within the period to redeem.
redemption valid
Section 30. Proof required of redemptioner
Amounts Payable On Redemption
JUDGMENT OBLIGOR REDEMPTIONER JUDGMENT OBLIGOR REDEMPTIONER
If he redeems from the If he redeems from the purchaser: No proof required If based on judgment or final
purchaser: - Same as judgment obligor order:
- Purchase price + 1% interest - Amount of lien, If purchaser Right of redemption appears on - must serve copy of judgment
+ assessment or taxes also creditor w/ prior lien record or final order, certified by
clerk of court
If he redeems from redemptioner If he redeems from redemptioner
- Redemption price + 2% - Same as judgment obligor If based on mortgage or other
interest + assessment or lien, must serve:
- Amount of liens held by
taxes - memorandum of record
last redemptioner prior to
his own, w/ interest certified by the registrar of
deeds, or an original or
certified copy of any
Written NOTICE OF REDEMPTION, and any assessments or taxes paid by
assignment necessary to
redemptioner or if he has or acquires any lien other than that upon which the
establish his claim, AND
redemption was made, must be given to the officer who made the sale and a
duplicate filed with the registry of deeds. - affidavit, showing amount due
Effect if notice is not filed: Property may be redeemed without paying such on lien
assessments, taxes or liens
Right of redemption cannot be levied on by judgment creditor
Section 29. Effect of redemption by judgment obligor, and a certificate to
be delivered and recorded thereupon; to whom payments on redemption The judgment debtor may legally sell his right of redemption
made
The pendency of an action, brought in good faith and relating to the validity of the
If judgment obligor redeems, no further redemption is allowed. The person to whom sale of the property involved, tolls the terms of the right of redemption
redemption was made must execute and deliver to the judgment obligor a
CERTIFICATE OF REDEMPTION acknowledged before a notary public or other officer Failure to produce proof by redemptioner is waived by refusal on other grounds.
authorized to take acknowledgments of conveyance of real property.
Validity of redemption not affected by failure to present proof
If person to whom redemption was offered accepts without requiring proof
redemption valid
Section 31. Manner of using premises pending redemption; waste
restrained
During the period pending the redemption, the court issues an order to restrain the
commission of waste on the property by injunction.
WHAT IS NOT COMMISSION OF WASTE
1) Use in the same a manner previously used;
2) Use in the ordinary course of husbandry;
3) Make necessary repairs to buildings thereon
Section 32. Rents, earnings and income of property pending redemption
During the period of redemption, all rents, expenses, income and fruits derived still
belong to the debtor.
During the period of redemption, the purchaser or redemptioner is not
entitled to:
1) Possession
2) Receive the rents, earnings, and income of property sold on execution;
3) Reimbursement for improvements
If the sheriff puts the purchaser at public auction in possession of the land during the
1-year period of redemption, an action for FORCIBLE ENTRY lies against the sheriff
and said purchaser.
Section 33. Deed and possession to be given at expiration of redemption
period; by whom executed or given
Upon expiration when no redemption has been made within 1 year, purchaser is
entitled to conveyance and possession of property.
Upon expiration when no redemption has been made within 6 months, last
redemptioner is entitled to conveyance and possession of property.
Within 1 year purchaser acquires only the rights, title, interest and claim of judgment
obligor to property. After 1 year, the purchaser now has his own right and acquires
right to the property. It is at this time that the writ of possession is issued.
The right of the purchaser to the property retroacts to the date of the levy.
Writ of possession may be enforced against judgment obligor, successors-
in-interest but NOT against a third party occupying the land in which case the court
should order a hearing to determine the nature of his adverse possession.
Section 34. Recovery of price if sale not effective; revival of judgment
If purchaser or successor in interest fails to recover possession, is evicted therefrom in
consequence of irregularities in the proceedings or because the judgment has been
reversed, or because the party has vindicated his claim to the property, purchaser
may, on motion or in a separate action:
1) recover from judgment obligee price paid w/ interest, or so much w/c is not
returned to judgment obligor; or
2) have original judgment revived for whole price w/ interest
Section 35. Right to contribution or reimbursement
If property is executed against several persons, and more than due proportion has
been satisfied -> one who pays may compel contribution from the others
If surety pays -> he may compel repayment from the principal
Section 36. Examination of judgment obligor when judgment unsatisfied
Upon return of writ of execution, and judgment is still unsatisfied, the creditor may
ask the court to require the obligor to appear and his property or income be examined
at a specific time and place; and proceedings may be had for the application of the
property and income of the judgment obligor towards the satisfaction of the judgment
No judgment obligor shall be required to appear before a court or commissioner
outside the province or city where he resides or is found.
PROCEEDINGS SUPPLEMENTARY TO EXECUTION
The proceedings are to aid judgment creditors in discovery of debtors property and its
application to the satisfaction of judgment. It is to compel the disclosure of any
property that is not exempt from execution
1) Sec. 36 examination of judgment obligors property
2) Sec. 37 examination of judgment obligors debtor (garnishee)
3) Sec. 38 enforcement of attendance and conduct of examination (punishable by
contempt)
4) Sec. 39 judgment obligors debtor may pay sheriff
5) Sec. 40 order to apply to obligors property in the hands of another, investigate
income, expenses, earnings -> order fix monthly payments
6) Sec. 41 appoint receiver
7) Sec. 42 sale of debtors interest in real estate
8) Sec. 43 if garnishee denies debt, court may order creditor to institute action
against such person to pay debt
Section 37. Examination of obligor of judgment obligor
Any person or corporation who has property of the debtor, or is indebted to the debtor
-> court may order such person to be examined -> to bind the credits due to debtor
The garnishee becomes a forced intervenor, requiring him to pay his debt not to
the judgment debtor but to the creditor (a form of involuntary novation).
Section 38. Enforcement of attendance and conduct of examination
A party or other person may be compelled by an order of subpoena, to attend before
the court or commissioner to testify as provided in Sections 36 & 37.
Failure to obey such order or subpoena may be punished for contempt.
If the examination is before a commissioner, he must take in it writing and certify it to
the court. All examinations and answers before a court or commissioner must be
under oath.
Section 39. Obligor may pay execution against obligee
Persons indebted to the debtor may pay sheriff.
Sheriffs receipt shall mean a discharge for the amount paid and shall be credited by
the obligee on execution.
Section 40. Order for application of property and income to satisfaction of
judgment.
Court may order property of judgment obligor, or money due him, not exempt from
execution, in the hands of either himself or another, to be applied to the satisfaction
of the judgment
Investigation of income and expenses -> if it appears earnings more than necessary
for support of family -> court may order that he pay judgment in fixed monthly
installments -> failure to pay when due without good excuse indirect contempt
Section 41. Appointment of receiver
The court may appoint a receiver of the property of the judgment obligor, and it may
also forbid a transfer or other disposition of, or any interference with, the property of
the judgment obligor not exempt from execution.
The sheriff is not a proper person to be appointed as receiver.
Section 42. Sale of ascertainable interest of judgment obligor in real estate.
If Judgment obligor has interest in real estate (as mortgagor or mortgagee, or
otherwise)
Receiver may be ordered to sell and convey real estate or interest therein
Section 43. Proceedings when indebtedness denied or another person
claims property.
Person or corporation having property of obligor or indebted to him, claims an interest
in property adverse to him or denies debt
Court may:
1) Authorize, by an order made to that effect, the judgment obligee to institute
action against person or corporation for recovery of such interest or debt;
2) Forbid transfer or other disposition of such interest or debt w/in 120 days from
notice of order; or
3) May punish disobedience of such order as for contempt.
This is an example of a party authorized by statute to sue, even if he is not the real
party in interest.
Court cannot make a finding that 3rd person has in his possession property belonging
to judgment debtor or is indebted to him and to order said person to pay amount to
judgment creditor.
Execution may issue only upon an incontrovertible showing that 3rd party holds
property of judgment obligor or is indebted to him.
Section 44. Entry of satisfaction of judgment by clerk of court
Section 45. Entry of satisfaction with or without admission
 separate action
Judgment obligee is obliged to execute and acknowledge admission of satisfaction of for reimburse-
judgment only if judgment obligor demands ment but princi-
pal can no longer
ENTRY OF SATISFACTION OF JUDGMENT-WHEN set up defenses
MADE w/c he could
1) upon return of execution satisfied have set up in
2) upon filing of admission of satisfaction by creditor the original
3) upon indorsement of such admission action
4) upon order of the court
- if principal not
Creditor who compels satisfaction of judgment loses right of appeal. notified, he may
set up defenses
Debtor who voluntary satisfies judgment loses right to appeal. in a subsequent
action
But, the debtor who is compelled to pay does NOT lose right to appeal.
The principal is bound by the same judgment from the time he has notice of the
TENDER OF PAYMENT OF TENDER OF PAYMENT OF action or proceeding and has been given an opportunity at the suretys request, to
JUDGMENT CONTRACTUAL DEBT join the defense.
- If tender refused, not - If tender refused, must
necessary to make consign payment w/ court Section 47. Effect of judgment or final orders.
consignation
- Court may direct money to be Paragraph (a) refers to rule on Res Judicata in judgments IN REM.
paid to the court, and order
entry of satisfaction of JUDGMENT OR FINAL ORDER EFFECT: CONCLUSIVE AS TO
judgment
Against a specific thing The title of the thing
Section 46. When principal bound by judgment against surety Probate of a will or administration Will or administration
of the estate of a deceased (However, it shall only be prima
PRINCIPAL AND person facie evidence of the death of the
SURETY SUED PRINCIPAL SUED
SURETY JOINTLY testator or intestate)
ALONE ALONE
SUIED In respect to the personal, Condition, status, or relationship of
- principal also - judgment may be - principal has no political, or legal condition or the person
bound by rendered against cause of action status of a particular person
judgment them jointly & against surety
severally Paragraph (b) refers to as bar by former judgment or Res Judicata in judgments
- surety should - IN PERSONAM
notify principal - surety should file
and request him cross-claim for RES JUDICATA
to join in reimbursement It is a matter adjudged; an existing final judgment or decree rendered on the merits is
defense; surety conclusive upon the rights of the parties or their privies, in all other actions or suits in
must still file
the same or any other judicial tribunal, on the points and matters in issue in the first
suit.
- The parties and causes of action in both actions are identical or substantially the
same.
It is based on the principle that parties should not litigate the same matter more than
once.
REQUISITES OF RES JUDICATA
1) Former judgment or order must be final and executory;
2) Court has jurisdiction over subject matter and parties;
3) Former judgment or order was on merits;
4) Identity of parties, subject matter, and cause of action between first and second
action.
Test to determine IDENTITY OF CAUSE OF ACTION
Whether the same evidence would sustain both causes of action
NOTE: Res Judicata applies only between adverse parties in a former suit, NOT
between co-parties
presented
- Identity of parties, subject - Identity of parties and subject
matter, cause of action matter only
Section 48. Effect of foreign judgments or final orders.
EFFECT OF A JUDGMENT OR ORDER OF A FOREIGN TRIBUNAL:
1) Against a specific thing (in rem) conclusive upon title to the thing
2) Against a person (in personam) presumptive evidence of a right as between the
parties and their successors in interest by a subsequent title
In both instances, the judgment may be repelled by evidence of want of jurisdiction,
notice, collusion, fraud, or clear mistake of law or fact
Judgment of a foreign tribunal cannot be enforced by execution in the Philippines.
Such judgment only creates a RIGHT OF ACTION and its non-satisfaction, a cause of
action, and it is NECESSARY that a suit/civil action be brought upon said foreign
judgment in our local courts to allow the losing party an opportunity to challenge the
judgment on the grounds provided and defend itself against the enforcement of that
decision in the local forum.

Paragraph (c) is known as conclusiveness of judgment or preclusion of issues ENFORCEMENT OF FOREIGN JUDGMENTS
or rule of AUTER ACTION PENDANT By filing an action based on said judgment; foreign judgment is presumed to be valid
and binding.
CONCLUSIVENESS OF JUDGMENT
Issues that are actually and directly resolved in a former suit cannot again be raised in If defendant had also been a party to and actually participated in the proceedings in
any future case between the same parties involving a different cause of action. the foreign court, he is bound by the judgment therein and the doctrine of res judicata
will apply to such foreign judgment.
RES JUDICATA OR BAR BY ESTOPPEL BY JUDGMENT OR
FORMER JUDGMENT CONCLUSIVENESS BY The judgment of a foreign court is only presumptive evidence of a right on the part of
JUDGMENT the prevailing party and if suit thereon is brought in the Philippines, the same may be
- Refers to same action, claim - Refers to another action repelled by evidence of clear mistake of law.
or demand between same parties but
involves different claim
- Absolute bar to subsequent - Judgment merely an estoppel
action only as to those matters in
- There is finality as to the issue or controverted
claim or demand in
controversy, not only to
matters presented, but as to
any other admissible matter
w/c might have been