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INVOLUNTARY

DEALINGS

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Section 69. Attachments. An attachment, or a copy of any writ,
order or process issued by a court of record, intended to create
or preserve any lien, status, right, or attachment upon registered
land, shall be filed and registered in the Registry of Deeds for
the province or city in which the land lies, and, in addition to the
particulars required in such papers for registration, shall contain
a reference to the number of the certificate of title to be affected
and the registered owner or owners thereof, and also if the
attachment, order, process or lien is not claimed on all the land
in any certificate of title a description sufficiently accurate for
identification of the land or interest intended to be affected. A
restraining order, injunction or mandamus issued by the court
shall be entered and registered on the certificate of title affected,
free of charge.

Attachment is the legal process of


seizing another’s property in
accordance with a writ or judicial
order for the purpose of securing

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satisfaction of a judgment yet to be
rendered. The writ of attachment is
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used primarily to seize the debtor’s
property in order to secure the debt
or claim of the creditor in the event
that a judgment is rendered.

GROUNDS:
Rule 57 of the Rules of Court
At the commencement of the action or at any time before entry of
judgment, a plaintiff or any proper party may have the property of the
adverse party attached as security for the satisfaction of any judgment
that may be recovered in, among others, the following cases:
(a) In an action to recover the possession of property unjustly
or fraudulently taken, detained or converted, when the property, or
any part thereof, has been concealed, removed, or disposed of to
prevent its being found or taken by the applicant or an authorized
person;

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(b) In action against a party who has been guilty of fraud in
contracting the debt or incurring the obligation upon which the action
is brought, or in the performance thereof; and

(c) In an action against a party who has removed or disposed


of his property, or is about to do so, with intent to defraud his
creditors.

Section 70. Adverse claim. Whoever claims any part or interest in registered land adverse to the
registered owner, arising subsequent to the date of the original registration, may, if no other
provision is made in this Decree for registering the same, make a statement in writing
setting forth fully his alleged right or interest, and how or under whom acquired, a
reference to the number of the certificate of title of the registered owner, the name of the
registered owner, and a description of the land in which the right or interest is claimed.
The statement shall be signed and sworn to, and shall state the adverse claimant's residence, and a
place at which all notices may be served upon him. This statement shall be entitled to registration
as an adverse claim on the certificate of title. The adverse claim shall be effective for a period of
thirty days from the date of registration. After the lapse of said period, the annotation of
adverse claim may be canceled upon filing of a verified petition therefor by the party in interest:
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Provided, however, that after cancellation, no second adverse claim based on the same
ground shall be registered by the same claimant.
Before the lapse of thirty days aforesaid, any party in interest may file a petition in the Court of
First Instance where the land is situated for the cancellation of the adverse claim, and the court
shall grant a speedy hearing upon the question of the validity of such adverse claim, and shall
render judgment as may be just and equitable. If the adverse claim is adjudged to be invalid,
the registration thereof shall be ordered canceled. If, in any case, the court, after notice and

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hearing, shall find that the adverse claim thus registered was frivolous, it may fine the claimant in
an amount not less than one thousand pesos nor more than five thousand pesos, in its discretion.
Before the lapse of thirty days, the claimant may withdraw his adverse claim by filing with the
Register of Deeds a sworn petition to that effect.

The purpose of annotating the adverse claim on the


title of the disputed land is to apprise third persons
that there is a controversy over the ownership of the
land and to preserve and protect the right of the
adverse claimant during the pendency of the
controversy. It is a notice to third persons that any
transaction regarding the disputed land is subject to
the outcome of the dispute.

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“if no other provision is made in this Decree for
registering the same”

Adverse claim of a contract of sale?

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If the basis for the adverse claim is perfected contract
of sale the procedure is for the registration of the
vendee’s right on a registered property as prescribed
by Section 51, in relation to Section 52 of the
Property Registration Decree which requires the
production of the owner’s duplicate certificate to
pave the way for the entry of a new certificate in
favor of the vendee. The filing of an adverse claim
under Section 70 is ineffective for the purpose of
protecting the vendee’s right since it does not have
the effect of a conveyance.
(LP Leviste & Co. vs. Noblejas)

Requisites of an adverse claim.


The following are the formal requisites of an adverse claim:
1. The adverse claimant must state the following in writing:
(a) his alleged right or interest;

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(b) how and under whom such alleged right or interest
is acquired;
(c) the description of the land in which the right or
interest is claimed; and
(d) the number of the certificate of title;

2. The statement must be signed and sworn to before a notary


public or other officer authorized to administer oath; and

3. The claimant should state his residence or the place to which all
notices may be served upon him

After the lapse of 30 days, is the


adverse claim automatically
cancelled?

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Sajonas v. Court of Appeals:
The Supreme Court held that while the law states that “(t)he adverse
claim shall be effective for a period of thirty days from the date of
registration,” this provision should not be treated separately, but should
be read in relation to the sentence following that “(a)fter the lapse of said
period, the annotation of adverse claim may be cancelled upon filing of a
verified petition therefor by the party in interest.” If the rationale of the
law is for the adverse claim to ipso facto lose force and effect after the
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lapse of thirty days, then no adverse claim need be cancelled. The law,
taken together, simply means that the cancellation of the adverse claim is
still necessary to render it ineffective, otherwise, the inscription will
remain annotated and shall continue as a lien upon the property. A
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fortiori, the limitation on the period of effectivity is immaterial in
determining the validity or invalidity of an adverse claim which is the
principal issue to be decided by the court.

SEC. 71. Surrender of certificate in involuntary dealings. —


If an attachment or other lien in the nature of involuntary
dealing in registered land is registered, and the duplicate
certificate is not presented at the time of registration, the
Register of Deeds shall, within thirty-six hours thereafter, send
notice by mail to the registered owner, stating that such paper
has been registered, and requesting him to send or produce his
duplicate certificate so that a memorandum of the attachment or
other lien may be made thereon. If the owner neglects or refuses
to comply within a reasonable time, the Register of Deeds shall
report the matter to the court, and it shall, after notice, enter an
order to the owner, to produce his certificate at a time and place
named therein, and may enforce the order by suitable process.

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Section 72. Dissolution, etc. of attachments, etc.
Attachments and liens of every description upon
registered land shall be continued, reduced,
discharged and dissolved by any method sufficient in
law, and to give effect to the continuance, reduction,
discharge or dissolution thereof the certificate or
other instrument for that purpose shall be registered
with the Register of Deeds.

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Section 76. Notice of lis pendens.
No action to recover possession of real estate, or to quiet title
thereto, or to remove clouds upon the title thereof, or for
partition, or other proceedings of any kind in court directly
affecting the title to land or the use or occupation thereof or the
buildings thereon, and no judgment, and no proceeding to
vacate or reverse any judgment, shall have any effect upon
registered land as against persons other than the parties thereto,
unless a memorandum or notice stating the institution of such
action or proceeding and the court wherein the same is pending,
as well as the date of the institution thereof, together with a
reference to the number of the certificate of title, and an
adequate description of the land affected and the registered
owner thereof, shall have been filed and registered.

Lis pendens literally means a pending suit.


The doctrine of lis pendens refers to the jurisdiction,
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power or control which a court acquires over property
involved in a suit, pending the continuance
of the action, and until final judgment.

may involve actions that deal not only with title or


possession of a property, but also with the use or
occupation of a property. The litigation must directly
involve a specific property which is necessarily
affected by the judgment.

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The purposes of lis pendens are:

(1) to protect the rights of the party causing the


registration of the lis pendens, and

(2) to advise third persons who purchase or contract


on the subject property that they do so at their peril
and subject to the result of the pending litigation.

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Notice need not be annotated on the owner’s copy.

The annotation of a notice of lis pendens at the back of the


original copy of the certificate of title on file with the
Register of Deeds is sufficient to constitute constructive
notice to purchasers or other persons subsequently dealing
with the same property. It is not required that said annotation
be also inscribed upon the owner’s copy because such copy
is usually unavailable to the registrant; it is normally in the
hands of the adverse party, or perhaps in the hands of a
stranger to the suit.

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Notice of lis pendens may involve actions that deal not only
with title or possession of a property, but also with the use or
occupation of a property. The litigation must directly involve a
specific property which is necessarily affected by the judgment.

Lis pendens is appropriate in the following cases:

1. Action to recover possession of real estate;


2. Action to quiet title thereto;
3. Action to remove clouds thereon;
4. Action for partition; and
5. Any other proceedings of any kind in court directly affecting
the title to the land or the use or occupation thereof or the
buildings thereon.

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The doctrine of lis pendens has no application
in the following cases:

1. Preliminary attachments;

2. Proceedings for the probate of wills;

3. Levies on execution;

4. Proceedings for administration of estate of deceased


persons; and

5. Proceedings in which the only object is the recovery of a


money judgment.

Section 77. Cancellation of lis pendens.


Before final judgment, a notice of lis pendens may be canceled
upon order of the court, after proper showing that the notice is for

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the purpose of molesting the adverse party, or that it is not
necessary to protect the rights of the party who caused it to be
registered. It may also be canceled by the Register of Deeds
upon verified petition of the party who caused the registration
thereof.
At any time after final judgment in favor of the defendant, or other
disposition of the action such as to terminate finally all rights of
the plaintiff in and to the land and/or buildings involved, in any
case in which a memorandum or notice of lis pendens has been
registered as provided in the preceding section, the notice of lis
pendens shall be deemed canceled upon the registration of a
certificate of the clerk of court in which the action or proceeding
was pending stating the manner of disposal thereof.

Section 86. Extrajudicial settlement of estate.


When a deed of extrajudicial settlement has been duly registered, the Register of
Deeds shall annotate on the proper title the two-year lien mentioned in Section
4 of Rule 74 of the Rules of Court. Upon the expiration of the two-year period
and presentation of a verified petition by the registered heirs, devisees or
legatees or any other party in intthe Register of Deeds shall cancel the two-
year lien noted on the title without the necessity of a court ordererest that no
claim or claims of any creditor, heir or other person exist,. The verified petition

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shall be entered in the Primary Entry Book and a memorandum thereof made on
the title.

No deed of extrajudicial settlement or affidavit of adjudication shall be


registered unless the fact of extrajudicial settlement or adjudication is published
once a week for three consecutive weeks in a newspaper of general
circulation in the province and proof thereof is filed with the Register of
Deeds. The proof may consist of the certification of the publisher, printer, his
foreman or principal clerk, or of the editor, business or advertising manager of
the newspaper concerned, or a copy of each week's issue of the newspaper
wherein the publication appeared.

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