CONJUGAL PARTNERSHIP OF

PROPERTY

BY: DARYL DOMINIC F. CANOZA

Section 1R
 Oftentimes referred to as the CPG, it is one of the property relations between the spouses,
under which the husband and wife place in a common fund the proceeds, products, fruits and
income from their separate properties and those acquired by either or both spouses through their
efforts or by chance, and, upon dissolution of the marriage or of the partnership, the net gains or
benefits obtained by either or both spouses shall be divided equally between them, unless
otherwise agreed in the marriage settlements.

Section 3: CONJUGAL PARTNERSHIP OF PROPERTY

Article 116: All property acquired during the marriage, whether the acquisition appears to
have been made, contracted or registered in the name of one or both spouses, is presumed to
be CONJUGAL unless the contrary is provided.

WHEN PRESUMPTION IS APPLICABLE?

The presumption is applicable if the property was purchased during the marriage. It is not
necessary to prove that property was acquired through partnership fund or the manner how it was
acquired.

In the case of Jocson vs CA:

The party who invoked that presumption must first prove that the property in controversy was
acquired during the marriage. Therefore, the PROOF OF ACQUISITION IS a condition sine qua
non for the operation of the presumption in favour of conjugal property.

WHAT IF THERE IS NO PROOF AS TO WHEN THE PROPERTY AS ACQUIRED?

In the case of Maramba vs Lozano

The fact that the title is in the wife’s name alone it is DETERMINATIVE.

IS THE TORRENS TITLE A VALID PROOF THAT THE PROPERTY IS CONJUGAL?

In the case of Magallon vs Mantejo

The Torrens title stating that: Lacerna married to Magallon, the phrase “married to” is merely a
descriptive of civil status and does not prove that land is conjugal. Why? Because there would be
a case that the Acquisition was done before the marriage but only registered after the marriage.

Therefore: for as long as it is proven that the PROPERTY has been acquired during the marriage,
the PRESUMPTION applies even though the spouses live separately. The evidence must be
clear to overcome the presumption.
 Art. 117. The following are conjugal partnership properties:

(1) Those acquired by onerous title during the marriage at the expense of the common
fund, whether the acquisition be for the partnership, or for only one of the spouses;

A two-tiered test may be applied in determining whether a property acquired during the marriage
is conjugal or exclusive:

(1) the manner of acquisition test (whether onerous or gratuitous); and

(2) in case of onerous acquisitions, the source of funds test (whether conjugal funds or exclusive
money).

(2) Those obtained from the labor, industry, work or profession of either or both of the
spouses;

The law provides that anything obtained from labor, industry, work or profession of either or
both of the spouses is CONJUGAL.

It includes daily wages, periodic salaries, honorarium or fees in the practice of profession, or
income from industrial, agricultural or commercial enterprise.275

It is essential, however, that said wages, salaries, fees or income be earned during the marriage
for them to be considered conjugal partnership properties. If earned prior to the marriage, they
will pertain to the spouse who earned it as his or her exclusive property.

(3) The fruits, natural, industrial, or civil, due or received during the marriage from the
common property, as well as the net fruits from the exclusive property of each spouse;

The fruits referred to include natural, industrial and civil fruits.

 Natural fruits are the spontaneous products of the soil, and the young and other products
of animals.284
 Industrial fruits are those produced by lands of any kind through cultivation or
labor.285
 Civil fruits, on the other hand, are the rents of building, the price of leases of lands and
other property and the amount of perpetual or life annuities or other similar income.

“Net fruits” refer to the remainder of the fruits after deducting the amount necessary to cover
the expenses of administration of said exclusive property.
 (4) The share of either spouse in the hidden treasure which the law awards to the finder or
owner of the property where the treasure is found;

The hidden treasures referred to must not be in raw form it must undergone transformation from
its original state such as earrings, necklace, jewelries etc.

(5) Those acquired through occupation such as fishing or hunting;

These are those acquired ownership wherein nobody owns it.

(6) Livestock existing upon the dissolution of the partnership in excess of the number of each
kind brought to the marriage by either spouse;

There are 40 Cows brought to the marriage, upon dissolution it became 60. How many will go
the conjugal?

(7) Those which are acquired by chance, such as winnings from gambling or betting.
However, losses therefrom shall be borne exclusively by the loser-spouse.

Art. 118. Property bought on installments paid partly from exclusive funds of either or both
spouses and partly from conjugal funds belongs to the buyer or buyers if full ownership was
vested before the marriage and to the conjugal partnership if such ownership was vested
during the marriage.

In either case, any amount advanced by the partnership or by either or both spouses shall be
reimbursed by the owner or owners upon liquidation of the partnership.

How are we going to determine if the property is CONJUGAL or EXCLUSIVE?

It is by knowing when the ownership was vested.

IF the husband bought a property before the marriage on instalment basis and the OWNERSHIP
vested before marriage but the payment extend during the marriage, EXCLUSIVE but the
conjugal has the right to reimburse upon liquidation.

IF the husband bought a property before the marriage on instalment and the OWNERSHIP
vested during marriage and the payment extended during the marriage, CONJUGAL but the
conjugal has the right to PAY the advancement made by the husband.
What is the rule in case of purchase by installment?

Property bought on installments paid partly from exclusive funds of either or both spouses and
partly from conjugal funds belongs to the buyer or buyers if full ownership was vested before the
marriage and to the conjugal partnership if such ownership was vested during the marriage. In
either case, any amount advanced by the partnership or by either or both spouses shall be
reimbursed by the owner or owners upon liquidation of the partnership.

Art. 119. Whenever an amount or credit payable within a period of time belong to one of the
spouses, the sums which may be collected during the marriage in partial payments or by
instalments on the principal shall be the exclusive property of the spouse. However, interests
FALLING DUE during the marriage on the principal shall belong to the conjugal
partnership.

This is the case where in one of the spouse lend a money before marriage and the principal
payment together with interest extend during the payment. PRINCIPAL= exclusive, while
INTEREST= conjugal.

What is the rule in case a spouse has a credit payable to him over time?

Whenever an amount or credit payable within a period of time belongs to one of the spouses, the
sums which may be collected during the marriage in partial payments or by installments on the
principal shall be the exclusive property of the spouse. However, interests falling due during the
marriage on the principal shall belong to the conjugal partnership.

Art. 120. The ownership of improvements, whether for utility or adornment, made on the
separate property of the spouses at the expense of the partnership or through the acts or
efforts of either or both spouses shall pertain to the conjugal partnership, or to the original
owner-spouse, subject to the following rules:

When the cost of the improvement made by the conjugal partnership and any resulting
increase in value are more than the value of the property at the time of the improvement, the
entire property of one of the spouses shall belong to the conjugal partnership, subject to
reimbursement of the value of the property of the owner-spouse at the time of the
improvement; otherwise, said property shall be retained in ownership by the owner-spouse,
likewise subject to reimbursement of the cost of the improvement.

In either case, the ownership of the entire property shall be vested upon the reimbursement,
which shall be made at the time of the liquidation of the conjugal partnership.
What is the rule if improvements are made on that exclusive property using conjugal funds
or through the acts or efforts of either or both spouses?

The ownership of improvements, whether for utility or adornment, made on the separate property
of the spouses at the expense of the partnership or through the acts or efforts of either or both
spouses shall pertain to the conjugal partnership, or to the original owner-spouse, subject to the
following rules:

1. When the cost of the improvement made by the conjugal partnership and any resulting
increase in value are MORE than the value of the property at the time of the improvement, the
entire property of one of the spouses shall belong to the conjugal partnership.

2. When the cost of the improvement made by the conjugal partnership and any resulting
increase in value are LESS than the value of the property at the time of the improvement, the
entire property shall remain with the owner-spouse.

3. In either case, the owner-spouse or the conjugal partnership, as the case may be, is entitled to
reimbursement for the value of the principal property or the improvement, as the case may be.

In this provision it talks about

(1) the property is owned exclusively by one of the spouses;
(2) said property has been the subject of an improvement, whether for utility or adornment; and
(3) the improvements were made at the expense of the conjugal partnership or through the acts or
efforts of either or both spouses.

Illustration:

The reason for #2 and #7 is that in Absolute Community of property, the spouses have fewer or
not at all separate properties to shoulder the said expenses since all properties before marriage
was brought to ACP as co-ownership.

Sample Computation:

Total Net remainder of Conjugal Property……………………………….P100,000

Husband share from net remainder of conjugal……………………….…P 50,000
Wife share………………………………………………………………….P 50,000

Husband share from net remainder of conjugal……………………………P 50,000

Amount advanced by husband……………………………………………(P 10,000)
Balance of Husband Share………………………………………………….P 40,000

The 10,000 will then go back to the partnership asset which would be again divided to husband
and wife.
Therefore:
Wife Share is (50,000 +5,000)…………………………………………….P 55,000
Husband share is (40,000 + 5000)…………………………………………P 45,000

Section 4: Charges upon and obligation of conjugal partnership.

ACP (Art 94) CPG (Art 121 and122)

1) The support of the spouses, their common same
children, and the legitimate children of
either spouse;
2. For illegitimate children support will 2. For illegitimate children support will
come from separate property, if insufficient come from separate property, if insufficient
ACP shall advance, chargeable to share of CPG shall advance , only after satisfying
parent upon liquidation obligation under Article 121 and chargeable
to share of parent upon liquidation
(3) All debts and obligations contracted same
during the marriage by the designated
administrator-spouse for the benefit of the
conjugal partnership of gains, or by both
spouses or by one of them with the consent
of
the other;
(4) Debts and obligations contracted by
either spouse without the consent of the
other to the extent that the family may have
been benefited;
(4) All taxes, liens, charges, and expenses, same
including major or
minor repairs upon the conjugal
partnership property;
(5) All taxes and expenses for mere (5) All taxes and expenses for mere
preservation made during the marriage preservation made during the marriage
upon the separate property of either spouse upon the separate property of either spouse
only if used by the family. whether used or not;
(6) Expenses to enable either spouse to same
commence or complete a professional,
vocational, or other activity for self-
improvement;
(7) Ante-Nuptial Debts Chargeable to ACP (7) Ante-Nuptial Debts Chargeable to CPG
if redounded to benefit of Family, if if redounded to benefit of Family, if
personal debit ACP will be liable but personal debt CPG will be liable only after
deductible to the share of debtor spouse. satisfying all obligation under this Article
but deductible to the share of debtor spouse.