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RepublicofthePhilippines
SUPREMECOURT
Manila
SECONDDIVISION
G.R.No.L49087April5,1982
MINDANAODEVELOPMENTAUTHORITY,nowtheSOUTHERNPHILIPPINESDEVELOPMENT
ADMINISTRATION,petitioner,
vs.
THECOURTOFAPPEALSandFRANCISCOANGBANSING,respondents.
CONCEPCIONJR.,J.:
PetitionforreviewoncertiorariofthedecisionoftheCourtofAppealsinCAG.R.No.48488R,entitled:"Mindanao
DevelopmentAuthority,etc.,plaintiffappellee,versusFranciscoAngBansingdefendantappellant",whichreversed
thedecisionoftheCourtofFirstInstanceofDavaoanddismissedthecomplaintfiledinCivilCaseNo.6480ofthe
saidcourt.
ItisnotdisputedthattherespondentFranciscoAngBansingwastheownerofabigtractoflandwithanareaof
about300,000sq.m.,situatedinBarrioPanacanDavaoCity.OnFebruary25,1939,AngBansingsoldaportion
thereof,withanareaofabout5hectarestoJuanCruzYapChuyThecontractprovided,amongothers,the
following:
ThatIherebyagreetoworkforthetitlingoftheentireareaofmylandundermyownexpensesandthe
expensesforthetitlingoftheportionsoldtomeshallbeundertheexpensesofthesaidJuanCruzYap
Chuy.1
Afterthesale,thelandofAngBangingwassurveyedanddesignatedasLot664B,Psd1638.Lot664Bwas
furthersubdividedintofive(5)lotsandtheportionsoldtoJuanCruzYapChuyshortenedtoJuanCruz,was
designatedasLot664B3,withanareaof61.107squaremeters,moreorless.2OnJune1517andDecember15,
1939,acadastralsurveywasmadeandLot664B3wasdesignatedasLot1846CoftheDavaoCadastre.OnDecember
23,1939,JuanCruzsoldLot1846CtotheCommonwealthofthePhilippinesfortheamountofP6,347.50.3Onthatsame
day,JuanCruz,asvendor,andC.B.CamandMiguelN.Lansonaassureties,executedasuretybondinfavorofthevendee
toguaranteethevendor'sabsolutetitleoverthelandsold.4

ThecadastralsurveyplanwasapprovedbytheDirectorofLandsonJuly10,1940,5andonMarch7,1941,Original
CertificateofTitleNo.26wasissuedinthemeansofVictorianaAngBansing,OrfelinaAngBansingandFranciscoAng
Bansingasclaimantsoftheland,pursuanttoDecreeNo.745358issuedonJuly29,1940.OnMarch31,1941,OCTNo.26
wascancelledpursuanttoaDeedofAdjudicationandTransferCertificateofTitleNo.1783wasissuedinthenameof
FranciscoAngBansing.6

Onthatday,March31,1941,AngBangingsoldLot1846AtoJuanCruzandTCTNo.1783wascancelled.TCT
No.1784wasissuedinthenameofJuanCruz,forLot1846AandTCTNo.1785wasissuedinthenameofAng
BansingfortheremainingLots1846B,1846C,1846D,and1846E.Later,AngBansingsoldtwosubdivisionlots
ofLot1846B,namely:Lot1846B2CandLot1846B1toVedastoCorcueraforwhichTCTNo.2551andTCTNo.
2552,respectively,wereissuedinthenameofthesaidVedastoCorcueraonAugust10,1946.Thereafter,Lot1848
A,withanareaof9.6508hectares,andLots1846BAand1848B2DallsubdividedportionsofLot1846B,were
similarlyconveyedtoJuanCruzforwhichTCTNo.2599andTCTNo.2600,respectively,wereissuedinthename
ofJuanCruzonSeptember26,1946.TCTNo.2601wasissuedinthenameofAngBansingfortheremainderof
theproperty,includingthelotinquestion.Then,anotherportionof1846B,designatedinthesubdivisionplanasLot
1848B2BwassoldtoJuanCruzforwhichTCTNo.184wasissuedinthelatter'sname.OnNovember28,1946,
aftertheseconveyances,thereremainedinthepossessionofAngBansingunderTCTNo.2601,Lot1846C,thelot
inquestionLot1846DandLot1846E.However,TCTNo.2601wasagainpartiallycancelledwhenAngBansing
soldLot1846DtoVedastoCorcuera.7

OnFebruary25,1965,thePresidentofthePhilippinesissuedProclamationNo.459,transferringownershipof
certainparcelsoflandsituatedinSasaDavaoCity,totheMindanaoDevelopmentAuthority,nowtheSouthern
PhilippinesDevelopmentAdministration,subjecttoprivaterights,ifany.Lot1846C,thedisputedparcelofland,
wasamongtheparcelsoflandtransferredtotheMindanaoDevelopmentAuthorityinsaidproclamation.8
OnMarch31,1969,Atty.HectorL.BisnarcounselfortheMindanaoDevelopmentAuthority,wroteAngBansing
requestingthelattertosurrendertheOwner'sduplicatecopyofTCTNo.2601sothatLot1846Ccouldbeformally
transferredtohisclientbutAngBansingrefused.9Consequently,onApril11,1969,theMindanaoDevelopment
AuthorityfiledacomplaintagainstFranciscoAngBansingbeforetheCourtofFirstInstanceofDavaoCity,docketedtherein
asCivilCaseNo.6480,forthereconveyanceofthetitleoverLot1846C,alleging,amongothers,thefollowing:

xxxxxxxxx
9.Thatthedeedofsale,markedasAnnex'A',itwasstipulatedbythepartiesthatthedefendantwould
worktosecuretitleofhisentiretractoflandofabout30hectaresdefrayingtheexpensesforthesame
andtheexpensesforthetitleoftheportionsoldbythedefendanttoJuanCruzYapChuyshallbe
bornedbythelatter
10.Thatthedefendantasvendorandtheonewhoworkedtosecurethetitleofhisentiretractofland
whichincludedtheportionsoldbyhim.toJuanCruzYapChuyactedinthecapacityofand/orserved
astrusteeforanyandallpartieswhobecomesuccessorininteresttoJuanCruzYapChuyandthe
defendantwasboundandobligatedtogive,deliverandreconveytoJuanCruzYapChuyand/orhis
successorininterestthetitlepertainingtotheportionoflandsoldandconveyedbyhimtoJuanCruz
YapChuybyvirtueofthedeedofsalemarkedasAnnex'A'andhisaffidavitmarkedasAnnex'C'.10
Inanswer,AngBansingreplied:
xxxxxxxxx
9.ThatdefendantadmitsthatinAnnex'A'ofthecomplaint,itwasagreedandstipulatedinparagraph6
thereofthat:
ThatIherebyagreetoworkforthetitlingoftheentireareaofmylandundermyown
expenseandtheexpensesforthetitlingoftheportionsoldtomeshallbeunderthe
expensesofthesaidJuanCruzYapChuy.
anddefendantinfactsecuredathisexpensehisOCTNo.26forhisentirelandthatintheprocessof
defendant'ssecuringhistitleneitherJuanCruzYapChuynortheCommonwealthofthePhilippines
assertedanyrighttoownershipofthesubjectpropertyandthatwasalmost30yearsagountilplaintiff
fileditscomplaint,thusplaintiffisforeverbarredfromclaiminganyrightoverthesubjectproperty.
Therewasnorealsalemadebutonlytheintentiontosellaportionofthelandasstatedbydefendant
inAnnex'C'ofthecomplaint.
10.Thatdefendantdeniesallegationscontainedinparagraph10ofthecomplaintthatheactedasthe
trusteeofJuanCruzYapChuyDefendantwasneversuchmatteroffactJuanCruzYapChuyforthe
last26years,thatisuntilhe.diedinOctober,1965,nevermadeanydemandtohavethetitleofthe
subjectpropertytransferredinhisnamebecauseheknewallthetimethattheallegedsaleinhisfavor
waspersenullandvoidhealsoknewthatnosalewaseverconsummated.11
Aftertrial,theCourtofFirstInstanceofDavaoCityfoundthatanexpresstrusthadbeenestablishedandordered
thereconveyanceofthetitletoLot1846CoftheDavaoCadastretotheplaintiffMindanaoDevelopmentAuthority.
12

AngBangingappealedtotheCourtofAppealsandthesaidappellatecourtruledthatnoexpresstrusthasbeen
createdand,accordingly,reversedthejudgmentanddismissedthecomplaint.13
Hence,thepresentrecourse.
Thepetitioniswithoutmerit.AsfoundbytherespondentCourtofAppeals,noexpresstrusthadbeencreated
betweenAngBangingandJuanCruzoverLot1846CoftheDavaoCadastre."Trustsareeitherexpressorimplied.
Expresstrustsarecreatedbytheintentionofthetrustororoftheparties.Impliedtrustscomeintobeingby
operationoflaw."14Itisfundamentalinthelawoftruststhatcertainrequirementsmustexistbeforeanexpresstrustwillbe
recognized.Basically,theseelementsincludeacompetenttrustorandtrustee,anascertainabletrustres,andsufficiently
certainbeneficiaries.Stiltedformalitiesareunnecessary,butneverthelesseachoftheaboveelementsisrequiredtobe
established,and,ifanyoneofthemismissing,itisfataltothetrusts.Furthermore,theremustbeapresentandcomplete
dispositionofthetrustproperty,notwithstandingthattheenjoymentinthebeneficiarywilltakeplaceinthefuture.Itis
essential,too,thatthepurposebeanactiveonetopreventtrustfrombeingexecutedintoalegalestateorinterest,andone

thatisnotincontraventionofsomeprohibitionofstatuteorruleofpublicpolicy.Theremustalsobesomepowerof
administrationotherthanameredutytoperformacontractalthoughthecontractisforathirdpartybeneficiary.Adeclaration
oftermsisessential,andthesemustbestatedwithreasonablecertaintyinorderthatthetrusteemayadminister,andthat
thecourt,ifcalleduponsotodo,mayenforce,thetrust."15

Inthiscase,thehereinpetitionerreliesmainlyuponthefollowingstipulationinthedeedofsaleexecutedbyAng
BansinginfavorofJuanCruztoprovethatanexpresstrusthadbeenestablishedwithAngBansingasthesettlor
andtrusteeandJuanCruzasthecestuiquetrustorbeneficiary:
ThatIherebyagreetoworkforthetitlingoftheentireareaofmylandundermyownexpensesandthe
expensesforthetitlingoftheportionsoldtomeshallbeundertheexpensesofsaidJuanCruzYap
Chuy.
Theabovequotedstipulation,however,isnothingbutaconditionthatAngBansingshallpaytheexpensesforthe
registrationofhislandandforJuanCruztoshouldertheexpensesfortheregistrationofthelandsoldtohim.The
stipulationdoesnotcategoricallycreateanobligationonthepartofAngBansingtoholdthepropertyintrustfor
JuanCruz.Hence,thereisnoexpresstrust.Itisessentialtothecreationofanexpresstrustthatthesettlor
presentlyandunequivocallymakeadispositionofpropertyandmakehimselfthetrusteeofthepropertyforthe
benefitofanother.16
Incaseofadeclarationoftrust,thedeclarationmustbeclearandunequivocalthattheownerholds
propertyintrustforthepurposesnamed.17
WhileAngBansinghadagreedinthedeedofsalethathewillworkforthetitlingof"theentireareaofmylandunder
myownexpenses,"itisnotcleartherefromwhethersaidstatementreferstothe30hectareparceloflandortothat
portionlefttohimafterthesale.Afailureonthepartofthesettlordefinitelytodescribethesubjectmatterofthe
supposedtrustorthebeneficiariesorobjectthereofisstrongevidencethatheintendednotrust.18
Theintenttocreateatrustmustbedefiniteandparticular.Itmustshowadesiretopassbenefitsthroughthe
mediumofatrust,andnotthroughsomerelatedorsimilardevice.19
Clearandunequivocallanguageisnecessarytocreateatrustandmereprecatorylanguageandstatementsof
ambiguousnature,arenotsufficienttoestablishatrust.AstheCourtstatedinthecaseofDeLeonvs.Packson,20
atrustmustbeprovenbyclear,satisfactoryandconvincingevidenceitcannotrestonvagueanduncertainevidenceoron
loose,equivocalorindefinitedeclarations.Consideringthatthetrustintenthasnotbeenexpressedwithsuchclarityand
definiteness,noexpresstrustcanbededucedfromthestipulationaforequoted.

NorwilltheaffidavitexecutedbyAngBangingonApril23,1941,21beconstruedashavingestablishedanexpress
trust.Ascounselforthehereinpetitionerhasstated,"theonlypurposeoftheAffidavitwastoclarifythattheareaoftheland
soldbyAngBansingtoJuanCruzYapChuyisnotonly5hectaresbut61,107squaremetersoralittleoversix(6)hectares."
22

ThatnoexpresstrusthadbeenagreeduponbyAngBansingandJuanCruzisevidentfromthefactthatJuanCruz,
thesupposedbeneficiaryofthetrust,nevermadeanyattempttoenforcetheallegedtrustandrequirethetrusteeto
transferthetitleoverLot1846Cinhisname.Thus,therecordsshowthatthedeedofsale,coveringLot1846C,
wasexecutedbyAngBansinginfavorofJuanCruzonFebruary25,1939.Twoyearslater,oronMarch31,1941,
AngBansingsoldLot1846AtothesaidJuanCruzforwhichTCTNo.1784wasissuedinthenameofJuanCruz.
Subsequentlythereafter,Lot1848A,withanareaof9.6508hectares,andLots1846Aand1848B2D,all
subdividedportionsofLot1846B,weresimilarlyconveyedtothesaidJuanCruzforwhichTCTNo.2599andTCT
No.2600,respectively,wereissuedinthenameofJuanCruzonSeptember26,1946.Then,anotherportionof'Lot
1846B,designatedinthesubdivisionplanasLot1848B213,wassoldtoJuanCruzforwhichTCTNo.184was
issuedinhisnameonNovember28,1948.Despitethesenumeroustransfersofportionsoftheoriginal30hectare
parceloflandofAngBansingtoJuanCruzandtheissuanceofcertificatesoftitleinthenameofJuanCruz,the
latterneversoughtthetransferofthetitletoLot1846Cinhisname.Forsure,ifthepartieshadagreedthatAng
BansingshallholdthepropertyintrustforJuanCruzuntilaftertheformershallhaveobtainedacertificateoftitleto
theland,thelatterwouldhaveaskedforthereconveyanceofthetitletohiminviewofthesuretybondexecutedby
himinfavoroftheCommonwealthGovernmentwhereinhewarrantshistitleovertheproperty.TheconductofJuan
Cruzisinconsistentwithatrustandmaywellhaveprobativeeffectagainstatrust.
But,evengranting,arguendo,thatanexpresstrusthadbeenestablished,asclaimedbythehereinpetitioner,it
wouldappearthatthetrusteehadrepudiatedthetrustandthepetitionerherein,theallegedbeneficiarytothetrust,
didnottakeanyactionthereinuntilafterthelapseof23years.Thus,initsReplytotheDefendant'sAnswer,filedon
June29,1969,thehereinpetitioneradmittedthat"afterthelastwartheCityEngineer'sOfficeofDavaoCitymade
repeateddemandsonthedefendantsforthedeliveryandconveyancetotheCommonwealthGovernment,nowthe
RepublicofthePhilippines,ofthetitleoflandinquestion,Lot1846C,butthedefendantignoredandevadedthe
same."23ConsideringthatthedemandwasmadeinbehalfoftheCommonwealthGovernment,itisobviousthatthesaid

demandwasmadebeforeJuly4,1946,whentheCommonwealthGovernmentwasdismantledandtheRepublicofthe
Philippinescameintobeing.From1946to1969,whentheactionforreconveyancewasfiledwiththeCourt,23yearshad
passed.Forsure,theperiodforenforcingtherightsoftheallegedbeneficiaryoverthelandinquestionaftertherepudiation
ofthetrustbythetrustee,hadalreadyprescribed.

Needlesstosay,onlyanimpliedtrustmayhavebeenimpresseduponthetitleofAngBangingoverLot1846Cof
theDavaoCadastresincethelandinquestionwasregisteredinhisnamealthoughthelandbelongedtoanother.In
impliedtrusts,thereisneitherpromisenorfiduciaryrelations,thesocalledtrusteedoesnotrecognizeanytrustand
hasnointenttoholdthepropertyforthebeneficiary."24Itdoesnotarisebyagreementorintention,butbyoperationof
law.Thus,ifpropertyisacquiredthroughmistakeorfraud,thepersonobtainingitis,byforceoflaw,consideredatrusteeof
animpliedtrustforthebenefitofthepersonfromwhomthepropertycomes.25

Ifapersonobtainslegaltitletopropertybyfraudorconcealment,courtsofequitywillimpressuponthetitleaso
calledconstructivetrustinfavorofthedefraudedparty.26
Thereisalsoaconstructivetrustifapersonsellsaparceloflandandthereafterobtainstitletoitthroughfraudulent
misrepresentation.27
Suchaconstructivetrustisnotatrustinthetechnicalsenseandisprescriptibleitprescribesin10years.28
Here,the10yearprescriptiveperiodbeganonMarch31,1941,upontheissuanceofOriginalCertificateofTitleNo.
26inthenamesofVictorianaAngBansingOrfelinaAngBansingandFranciscoAngBanging.Fromthatdateupto
April11,1969,whenthecomplaintforreconveyancewasfiled,morethan28yearshadpassed.Clearly,theaction
forreconveyancehadprescribed.
Besides,theenforcementoftheconstructivetrustthatmayhavebeenimpresseduponthetitleofAngBansingover
Lot1846CoftheDavaoCadastreisbarredbylaches.29ItappearsthatthedeedofsaleinfavoroftheCommonwealth
GovernmentwasexecutedbyJuanCruzonDecember23,1939,duringthecadastralproceedings,andevenbeforethe
cadastralsurveyplanwasapprovedbytheDirectorofLandsonJuly10,1940.But,thevendeethereindidnotfileananswer,
muchlessanoppositiontotheanswerofAngBansinginthesaidCadastralproceedings.Thejudgmentrenderedinthesaid
cadastralproceeding,awardingthelotinquestiontoAngBansingisalreadyfinal.Afteraninexcusabledelayofmorethan28
yearsandacquiescencetoexistingconditions,itisnowtoolateforthepetitionertocomplain.

WHEREFORE,thepetitionshouldbe,asitishereby,DENIED.Nocosts.
SOORDERED.
DeCastro,ErictaandEscolin,JJ.,concur.
Barredo,J.(Chairman),Ireservemyvote.

SeparateOpinions

AQUINO,J.,dissenting:
ThedisputedlandshouldbeadjudicatedtothegovernmentagencyknownastheSouthernPhilippines
DevelopmentAdministration,thesuccessoroftheCommonwealthofthePhilippines.
ToadjudgeFranciscoAngBansingastheownerofthelandistosanctionabrazenbreachoftrustoraformof
landgrabbingandtoperpetrateagrossinjustice.Thefactsareasfollows:
1.Beforethewar,FranciscoAngBangingwastheownerofatractofunregisteredlandwithanareaofabout
twentyninehectareslocatedatBarrioPanacan(Sasa)DavaoCity.
2.OnFebruary25,1939,hesoldtoJuanCruzYapChuyforsixthousandpesosaportionofthesaidlandwithan
areaofaroundfivehectares,boundedonthenorthbythelandofVedastoCorcuera,ontheeastbytheDavaoGulf,
onthesouthbythelandofAngPingandonthewestbytheremainingportionbutseparatedbytheprovincialroad.
AngBansing'swife,AnataliaCepeda,wasoneofthetwowitnessesinthedeedofsale.Thesalewasregisteredon
March1,1939intheregistryofdeedsofDavaoCity.
3.Inthedeedofsale,AngBansingmadethefollowingcommitment:"ThatIherebyagreetoworkforthetitlingof
theentireareaofmylandundermyownexpensesandtheexpensesforthetitlingoftheportionsoldto(by)me

shallbeundertheexpensesofthesaidJuanCruzYapChuyItwasalsostipulatedthatthebuyercouldtake
possessionofthelandanditsimprovements(p.14,RecordonAppeal).
4.AfterthesurveyofAngBansing'sland,theportionsoldtoJuanCruzYapChuycametobeknownasLotNo,
664B3,describedasfollows:"BoundedontheNorthbyLotNo.664B4ontheEastbytheDavaoGulfonthe
SouthbyLotNo.564andontheWestbyLotNo.664B5containinganareaofsixtyonethousandonehundred
seven(61,107)squaremetersmoreorless."Byreasonofthe1939cadastralsurvey,LotNo.664B3cametobe
knownasLotNo.1846CoftheDavaocadastre.ThesurveywasmadeonJune1517andDecember15,1939,
andwasapprovedonJuly10,1940.
5.Abouttenmonthslater,oronDecember23,1939,JuanCruzYapChuysoldtotheCommonwealthofthe
Philippinesthesameportion,IdentifiedasLotNo.664B3,withanareaof61,107squaremeters,togetherwiththe
improvementsthereon,forthesumofP6,347.50allocatedasfollows:
6.1107hectaresatP140ahectare..........................................P855.00756coconuttrees,allfruit
bearing,atP7pertree................5,292.00
200coconuttrees,notproductive,atonepesoatree.........................................................................
200.00
ThesaleincludedaparceloflandIdentifiedaslotNo.664B5,withanareaof8,023squaremeters,whichwasa
partofthenationalroadandwhichCruzdonatedtotheCommonwealthGovernment.Thesalewasregisteredinthe
registryofdeedsofDavaoCityonDecember27,1939,meaningthatAngBansinghadconstructivenoticethereof
6.Simultaneouslywiththatdeedofsale,JuanCruzYapChuyasprincipal,andG.B.CamandMiguelN.Lanzona
assureties,executedabondinthesumofP6,347.50(thepriceofthesale)infavoroftheCommonwealthofthe
Philippines.ThebondwouldbecomevoidiftheCommonwealthobtainedabsolutetitletotheland.
7.OnApril23,1941,AngBansingexecutedanaffidavitwhereinheconfirmedtheprevioussaletoJuanCruzYap
ChuyofthesaidLotNo.1846C.Hiswife,AnataliaCepeda,wasawitnessinthesaidaffidavit.AngBansing
clarifiedthattheexactareaofthelotsoldis16,107squaremetersandnotfivehectaresonlywhichlatterareawas
merelyhiscalculation.AngBansingfurthersaidintheaffidavit:
ThatIherebycertifythatIhavenoobjectionthatthesaidportionafterthesurveybetransferredand
ceded,asIintendedtotransferandcedethesame,tothesaidJuanCruzYapChuybyvirtueofthe
saidDeedofSaleabovementioned(referringtothe1939DeedofSale).
ThataffidavitwasregisteredonMay8,1941.
8.LotNo.664B3orNo.1846CwascoveredbyTaxDeclarationsNos.80454,R3612,R5232andA12123in
thenameoftheRepublicofthePhilippines(pp.8889,RecordonAppeal).Ontheotherhand,AngBansingnever
declaredLotNo.1846Cfortaxpurposesandneverpaidanyrealtytaxestherefor.
9.AngBansingobtainedDecreeNo.745358fortheregistrationofthe29hectareland(includingLotNo.664B3or
No.1846C).Byvirtueofthatdecree,OriginalCertificateofTitleNo.26wasissuedonMarch7,1941inthenames
ofVictorianaAngBansingOrfelinaAngBangingandFranciscoAngBansing
10.Theissuanceofthattitleimpliesthatthegovernmentofficial(maybetheprovincialdistrictengineeratDavao
City),whowasawareofthepurchaseofLotNo.664B3fromAngBansingwasnegligentinnotinterveninginthe
landregistrationproceedingsoastohavethatlotregisteredinthenameoftheCommonwealthofthePhilippines.
AnotherimplicationisthatAngBanginghadalreadyactedfraudulentlyorinbadfaithinnotaskinghislawyerto
segregateLotNo.664B3orLotNo.1846Cfromhislandandtoseetoitthataseparatetitleforthatlotwas
issuedinthenameoftheCommonwealthofthePhilippines.
11.OnMarch31,1941,or24daysaftertheissuanceofOCTNo.26,itwascancelledbecauseofa"deedof
adjudication".TransferCertificateofTitleNo.1783wasissuedforthe19hectarelandinthenameofFranciscoAng
Bansingalone.
12.AngBansing'sland,knownasLotNo.1846,wassubdividedintofivelots,namely:LotsNos.1846A,1846B,
1846C,1846Dand1846E.OnthatsamedateofMarch31,1941,whenAngBansingobtainedTCTNo.1783,he
soldLotNo.1846AtoJuanCruzYapChuyBecauseofthatsale,TCTNo.1783wascancelledandTCTNo.1784
wasissuedtoJuanCruzYapChuywhileTCTNo.1785wasissuedtoAngBangingfortheotherfourlotswhich(it
shouldberepeated)includedLotNo.1846Cthedisputedlotsoldin1939byAngBansingtoJuanCruzYapChuy
andinturnsoldbythelattertotheCommonwealthofthePhilippines.(ThenameJuanCruzYapChuywas
shortenedtoJuanCruzasshowninEntryNo.8052datedAugust4,1953,appearinginTCTNo.1784.Cruzdiedin
1965.)

13.AngBansingsoldtoVedastoCorcueraLotsNos.1846B1and1846B2C,whicharesubdivisionlotsofLot
No.1846B.AsaresultTCTNo.1785wascancelledandTCTNos.2551and2552wereissuedtoCorcueraon
August10,1946.LotNo.1846DwasalsosoldbyAngBansingtoCorcuera.
14.OtherportionsofLotNo.1846BweresoldbyAngBansingtoJuanCruz.LotsNos.1846Cand1846E,the
remaininglots,registeredinthenameofAngBansingasshowninTCTNo.T2601(Exh.L),werenotalienatedby
him.
15.OnSeptember25,1965,PresidentDiosdadoMacapagalissuedProclamationNo.459,transferringtothe
Mindanao'DevelopmentAuthority(acorporatebodycreatedbyRepublicActNo.3034),"subjecttoprivaterights,if
any",eightparcelsoflandformingpartoftheGovernment'sprivatedomain.AmongthoseparcelswasParcel6,Lot
No.1846C,Psd16952,thehereindisputedlot,withanareaof61,107squaremeters,boundedonthewestbythe
nationalhighway,onthenorthbyLotNo.1846D,ontheeastbytheGulfofDavaoandonthesouthbyLotNo.564
A.Thus,LotNo.1846CbecameapartofthePortAreaReservationfromSasatoPanacanDavaoCity.
16.InaletterdatedMarch31,1969,counselfortheMindanaoDevelopmentAuthorityrequestedAngBansingto
surrendertheowner'sduplicateofTCTNo.T2601sothatLotNo.1846Ccouldbetransferredtothesaid
governmentagency(Exh.K).AngBansingdidnotheedthedemand.
17.OnApril11,1969,theMindanaoDevelopmentAuthoritysuedAngBansingforthereconveyanceofLotNo.
1846C.Aftertrial(duringwhichAngBangingdidnottestify),thetrialcourtheldthatAngBansingheldLotNo.
1846CintrustfortheStateandthattheprescriptiveperiodforrecoveringtheLotfromAngBansingstartedonlyin
1968whenAngBangingallegedlyrepudiatedthetrust.
18.ThetrialcourtcancelledAngBansing'stitleanddirectedtheregisterofdeedstoissueanewtitletothe
MindanaoDevelopmentAuthorityforLotNo.1846C.AngBansingappealedtotheCourtofAppeals.
19.ThatCourtinitsdecisiondatedDecember27,1977,reversingthetrialcourt'sdecision,heldthatAngBanging
wastheownerofthedisputedlot.ItruledthatevenifAngBansingheldLotNo.1846Cinexpresstrust,thetrust
wasInnovated"bysubsequentcircumstancesandthatthesaleofLotNo.1846CtotheCommonwealthofthe
PhilippineswasnotconsummatedbecauseAngBangingsoldLotNo.1846AandportionsofLotNo.1846Bto
JuanCruzinLieuofLotNo.1846C.
20.TheAppellateCourtalsoheldthattheMindanaoDevelopmentAuthorityhadnocauseofactionfor
reconveyancebecauseithadnoprivitywithAngBansingandthatthetrust,ifany,wasanimpliedorconstructive
trustandtheactionbasedonthatkindoftrustwasbarredbyprescription.
21.PresidentialDecreeNo.690,whichtookeffectonApril22,1975,establishedtheSouthernPhilippines
DevelopmentAdministrationandabolishedtheMindanaoDevelopmentAuthority.Thelatter'sassetswere
transferredtotheAdministration.
IamoftheopinionthatAngBangingisatrusteeinanexpresstrustcoveringLotNo.1846C.Thetrustisevidenced
byhisaforementionedaffidavitofApril23,1941whichheexecutedtwentythreedaysafterTCTNo.1783was
issuedtohimforthatlot.
Asalreadynoted,AngBansinginthataffidavitsworethatheintendedtocedeandtransferthatrottoJuanCruz
afterthesurvey(Exh.C).Thatswornstatementshouldbeconsideredinconjunctionwiththestipulationinthe1939
deedofsalethatAngBansingwouldundertakethetitlingofthewholeLotNo.1846andthattheregistration
expensescorrespondingtoLotNo.1846CwouldbebornebyJuanCruz,thevendeeofthatsubdivisionlot(Exh.
A).
ThesaidstatementscreateanexpresstrustforLotNo.1846CinfavorofJuanCruzandhissuccessorsininterest
orassignees."Noparticularwordsarerequiredforthecreationofanexpresstrust,itbeingsufficientthatatrustis
clearlyintended"(Art.1444,CivilCode).
Itissignificantthat,whileAngBansingsoldLotsNos.1846A,1846Band1846DtoCruzandCorcuera,hedidnot
touchatallLotNo.1846C.Hedidnotalienatethatlotbecauseheknewthatitwasnothispropertyandthatit
belongedtotheState.
Equallysignificantandcredibleisthetrialcourt'sfindingthatitwasonlyin1968thatAngBansinglaidclaimtoLot
No.1846CthroughRufinoBoncayao,asurveyorwhoworkedintheDavaoCityengineer'sofficeandwho
discoveredthatthetitletothelothadnotyetbeenplacedinthenameoftheCommonwealthofthePhilippines.
ThetrialcourtfoundthatBoncayao,astheagentofAngBangingandwiththeadviceandbackingofVicenteC.
Garcia,AngBansing'slawyer,claimedthatAngBansingwasthetrueownerofLotNo.1846C.Therebeingan
expresstrustinthiscase,theequitableactiontocompelthetrusteetoreconveythelandregisteredinhisnamein
trustforthebenefitofthecestuiquetrustdoesnotprescribe(Manalangvs.Canlas,94Phil.776Ramosvs.
Ramos,L19872,December3,1974,61SCRA284,299).

Thedefenseofprescriptioncannotbesetupinanactiontorecoverpropertyheldintrustforthebenefitofanother
(Sevillavs.DelosAngeles,97Phil.875).
Propertyheldintrustcanberecoveredbythebeneficiaryregardlessofthelapseoftime(Marabillesvs.Quito100
Phil.64Bancairenvs.Diones,98Phil.122,126Juanvs.Zuniga114Phil.1163Vda.deJacintovs.Vda.de
Jacinto,115Phil.363,370).Prescriptioninthecaseofexpresstrustscanbeinvokedonlyfromthetimethetrustis
repudiated(Tamayovs.Callejo,68O.G.8661,46SCRA27,32).
AndatrusteewhotakesaTorrenstitleinhisnameforthelandheldintrustcannotrepudiatethetrustbyrelyingon
theregistration.ThatisoneofthelimitationsuponthefinalityofadecreeoftitleSottovs.Teves.L38018,October
31,1978,86SCRA154,178Alvarezvs.Espiritu,122Phil.229,235).
Therule,thatanactionforreconveyanceprescribesintenyears,appliestoanimpliedtrust,nottoanexpresstrust
(Carantesvs.CourtofAppeals,L33360,April25,1977,76SCRA514).
So,asageneralruleatrustestate(inanexpresstrust)isexemptfromtheoperationofthestatuteoflimitations.
Theexceptioniswhenthetrusteerepudiatesthetrustinwhichcasethetrusteemayacquirethetrustestateby
prescription.Therepudiationmustbeknowntothecestuiquetrustandmustbedirect,clear,openandequivocal.
(CallejonSalinasvs.RomanTuasonandMorenoRoman,55Phil.729Palmavs.Cristobal,77Phil.712Valdezvs.
Olorga,L22571,May25,1973,51SCRA71.)
OnewhoacquiresaTorrenstitleinhisownnametopropertywhichheisadministeringforhimselfand
hisbrothersandsistersasheirsincommonbydescentfromacommonancestormaybecompelledto
surrendertoeachofhiscoheirshisappropriateshare".Apartitionproceedingisanappropriate
remedytoenforcethisright.(Castrovs.Castro,57Phil.675).Anequitableactionforreconveyanceis
alsoaproperremedy(Lagunavs.Levantino71Phil.566Sumiravs.Vistan,74Phil.138).
Inanyevent,therealplaintiffinthiscaseistheRepublicofthePhilippinesandprescriptiondoesnotrunagainstthe
State(DelaVinavs.GovernmentoftheP.I.,65Phil.262,265Republicvs.Ruiz,L23712,April29,1968,23SCRA
348).
Themaximisnullumtempusoccurritregiornullumtempusoccurritreipublicae(lapseoftimedoesnotbartheright
ofthecrownorlapseoftimedoesnotbarthecommonwealth).Theruleisnowembodiedinarticle1108(4)ofthe
CivilCode.
ItisamaximofgreatantiquityinEnglishlaw.Thebestreasonforitsexistenceisthegreatpublicpolicyof
preservingpublicrightsandpropertyfromdamageandlossthroughthenegligenceofpublicofficers.(34AmJur.
301Ballentines'sLawDictionary,p.891U.S.vs.Nashville,Chattanooga&St.LouisRailwayCo.,118U.S.
120,125).
Thus,therightofreversionorreconveyancetotheStateoflandsfraudulentlyregisteredornotsusceptibleofprivate
appropriationoracquisitiondoesnotprescribe(Martinesvs.CourtofAppeals,L31271,April29,1974,56SCRA
647,655Republicvs.Ramos,117Phil.45,49).
Thegovernmentofficialsconcernedwerenegligentinnotinterveninginthelandregistrationproceedingorinnot
promptlyaskingAngBangingtoreconveythedisputedlottotheCommonwealthortotheRepublicofthe
Philippines.
SuchnegligencedoesnotprejudicetheState.Thenegligenceoromissionsofpublicofficersastotheirpublicduties
willnotworkanestoppelagainsttheState(10R.C.L.705,citedinBachrachMotorCo.vs.Unson,50Phil.981,990
CentralAzucareradeTarlacvs.CollectorofInternalRevenue,104Phil.653,656Peoplevs.Ventura,114Phil.162,
169).
IvotetoreverseandsetasidethedecisionoftheCourtofAppealsandtoaffirmthetrialcourt'sdecisionwiththe
modificationthatthetitleshouldbeissuedtotheSouthernPhilippinesDevelopmentAdministration.

SeparateOpinions
AQUINO,J.,dissenting:
ThedisputedlandshouldbeadjudicatedtothegovernmentagencyknownastheSouthernPhilippines
DevelopmentAdministration,thesuccessoroftheCommonwealthofthePhilippines.
ToadjudgeFranciscoAngBansingastheownerofthelandistosanctionabrazenbreachoftrustoraformof
landgrabbingandtoperpetrateagrossinjustice.Thefactsareasfollows:

1.Beforethewar,FranciscoAngBangingwastheownerofatractofunregisteredlandwithanareaofabout
twentyninehectareslocatedatBarrioPanacan(Sasa)DavaoCity.
2.OnFebruary25,1939,hesoldtoJuanCruzYapChuyforsixthousandpesosaportionofthesaidlandwithan
areaofaroundfivehectares,boundedonthenorthbythelandofVedastoCorcuera,ontheeastbytheDavaoGulf,
onthesouthbythelandofAngPingandonthewestbytheremainingportionbutseparatedbytheprovincialroad.
AngBansing'swife,AnataliaCepeda,wasoneofthetwowitnessesinthedeedofsale.Thesalewasregisteredon
March1,1939intheregistryofdeedsofDavaoCity.
3.Inthedeedofsale,AngBansingmadethefollowingcommitment:"ThatIherebyagreetoworkforthetitlingof
theentireareaofmylandundermyownexpensesandtheexpensesforthetitlingoftheportionsoldto(by)me
shallbeundertheexpensesofthesaidJuanCruzYapChuyItwasalsostipulatedthatthebuyercouldtake
possessionofthelandanditsimprovements(p.14,RecordonAppeal).
4.AfterthesurveyofAngBansing'sland,theportionsoldtoJuanCruzYapChuycametobeknownasLotNo,
664B3,describedasfollows:"BoundedontheNorthbyLotNo.664B4ontheEastbytheDavaoGulfonthe
SouthbyLotNo.564andontheWestbyLotNo.664B5containinganareaofsixtyonethousandonehundred
seven(61,107)squaremetersmoreorless."Byreasonofthe1939cadastralsurvey,LotNo.664B3cametobe
knownasLotNo.1846CoftheDavaocadastre.ThesurveywasmadeonJune1517andDecember15,1939,
andwasapprovedonJuly10,1940.
5.Abouttenmonthslater,oronDecember23,1939,JuanCruzYapChuysoldtotheCommonwealthofthe
Philippinesthesameportion,IdentifiedasLotNo.664B3,withanareaof61,107squaremeters,togetherwiththe
improvementsthereon,forthesumofP6,347.50allocatedasfollows:
6.1107hectaresatP140ahectare...........................................P855.00756coconuttrees,allfruit
bearing,atP7pertree.................5,292.00
200coconuttrees,notproductive,atonepesoatree..........................................................................
200.00
ThesaleincludedaparceloflandIdentifiedaslotNo.664B5,withanareaof8,023squaremeters,whichwasa
partofthenationalroadandwhichCruzdonatedtotheCommonwealthGovernment.Thesalewasregisteredinthe
registryofdeedsofDavaoCityonDecember27,1939,meaningthatAngBansinghadconstructivenoticethereof
6.Simultaneouslywiththatdeedofsale,JuanCruzYapChuyasprincipal,andG.B.CamandMiguelN.Lanzona
assureties,executedabondinthesumofP6,347.50(thepriceofthesale)infavoroftheCommonwealthofthe
Philippines.ThebondwouldbecomevoidiftheCommonwealthobtainedabsolutetitletotheland.
7.OnApril23,1941,AngBansingexecutedanaffidavitwhereinheconfirmedtheprevioussaletoJuanCruzYap
ChuyofthesaidLotNo.1846C.Hiswife,AnataliaCepeda,wasawitnessinthesaidaffidavit.AngBansing
clarifiedthattheexactareaofthelotsoldis16,107squaremetersandnotfivehectaresonlywhichlatterareawas
merelyhiscalculation.AngBansingfurthersaidintheaffidavit:
ThatIherebycertifythatIhavenoobjectionthatthesaidportionafterthesurveybetransferredand
ceded,asIintendedtotransferandcedethesame,tothesaidJuanCruzYapChuybyvirtueofthe
saidDeedofSaleabovementioned(referringtothe1939DeedofSale).
ThataffidavitwasregisteredonMay8,1941.
8.LotNo.664B3orNo.1846CwascoveredbyTaxDeclarationsNos.80454,R3612,R5232andA12123in
thenameoftheRepublicofthePhilippines(pp.8889,RecordonAppeal).Ontheotherhand,AngBansingnever
declaredLotNo.1846Cfortaxpurposesandneverpaidanyrealtytaxestherefor.
9.AngBansingobtainedDecreeNo.745358fortheregistrationofthe29hectareland(includingLotNo.664B3or
No.1846C).Byvirtueofthatdecree,OriginalCertificateofTitleNo.26wasissuedonMarch7,1941inthenames
ofVictorianaAngBansingOrfelinaAngBangingandFranciscoAngBansing
10.Theissuanceofthattitleimpliesthatthegovernmentofficial(maybetheprovincialdistrictengineeratDavao
City),whowasawareofthepurchaseofLotNo.664B3fromAngBansingwasnegligentinnotinterveninginthe
landregistrationproceedingsoastohavethatlotregisteredinthenameoftheCommonwealthofthePhilippines.
AnotherimplicationisthatAngBanginghadalreadyactedfraudulentlyorinbadfaithinnotaskinghislawyerto
segregateLotNo.664B3orLotNo.1846Cfromhislandandtoseetoitthataseparatetitleforthatlotwas
issuedinthenameoftheCommonwealthofthePhilippines.
11.OnMarch31,1941,or24daysaftertheissuanceofOCTNo.26,itwascancelledbecauseofa"deedof
adjudication".TransferCertificateofTitleNo.1783wasissuedforthe19hectarelandinthenameofFranciscoAng

Bansingalone.
12.AngBansing'sland,knownasLotNo.1846,wassubdividedintofivelots,namely:LotsNos.1846A,1846B,
1846C,1846Dand1846E.OnthatsamedateofMarch31,1941,whenAngBansingobtainedTCTNo.1783,he
soldLotNo.1846AtoJuanCruzYapChuyBecauseofthatsale,TCTNo.1783wascancelledandTCTNo.1784
wasissuedtoJuanCruzYapChuywhileTCTNo.1785wasissuedtoAngBangingfortheotherfourlotswhich(it
shouldberepeated)includedLotNo.1846Cthedisputedlotsoldin1939byAngBansingtoJuanCruzYapChuy
andinturnsoldbythelattertotheCommonwealthofthePhilippines.(ThenameJuanCruzYapChuywas
shortenedtoJuanCruzasshowninEntryNo.8052datedAugust4,1953,appearinginTCTNo.1784.Cruzdiedin
1965.)
13.AngBansingsoldtoVedastoCorcueraLotsNos.1846B1and1846B2C,whicharesubdivisionlotsofLot
No.1846B.AsaresultTCTNo.1785wascancelledandTCTNos.2551and2552wereissuedtoCorcueraon
August10,1946.LotNo.1846DwasalsosoldbyAngBansingtoCorcuera.
14.OtherportionsofLotNo.1846BweresoldbyAngBansingtoJuanCruz.LotsNos.1846Cand1846E,the
remaininglots,registeredinthenameofAngBansingasshowninTCTNo.T2601(Exh.L),werenotalienatedby
him.
15.OnSeptember25,1965,PresidentDiosdadoMacapagalissuedProclamationNo.459,transferringtothe
Mindanao'DevelopmentAuthority(acorporatebodycreatedbyRepublicActNo.3034),"subjecttoprivaterights,if
any",eightparcelsoflandformingpartoftheGovernment'sprivatedomain.AmongthoseparcelswasParcel6,Lot
No.1846C,Psd16952,thehereindisputedlot,withanareaof61,107squaremeters,boundedonthewestbythe
nationalhighway,onthenorthbyLotNo.1846D,ontheeastbytheGulfofDavaoandonthesouthbyLotNo.564
A.Thus,LotNo.1846CbecameapartofthePortAreaReservationfromSasatoPanacanDavaoCity.
16.InaletterdatedMarch31,1969,counselfortheMindanaoDevelopmentAuthorityrequestedAngBansingto
surrendertheowner'sduplicateofTCTNo.T2601sothatLotNo.1846Ccouldbetransferredtothesaid
governmentagency(Exh.K).AngBansingdidnotheedthedemand.
17.OnApril11,1969,theMindanaoDevelopmentAuthoritysuedAngBansingforthereconveyanceofLotNo.
1846C.Aftertrial(duringwhichAngBangingdidnottestify),thetrialcourtheldthatAngBansingheldLotNo.
1846CintrustfortheStateandthattheprescriptiveperiodforrecoveringtheLotfromAngBansingstartedonlyin
1968whenAngBangingallegedlyrepudiatedthetrust.
18.ThetrialcourtcancelledAngBansing'stitleanddirectedtheregisterofdeedstoissueanewtitletothe
MindanaoDevelopmentAuthorityforLotNo.1846C.AngBansingappealedtotheCourtofAppeals.
19.ThatCourtinitsdecisiondatedDecember27,1977,reversingthetrialcourt'sdecision,heldthatAngBanging
wastheownerofthedisputedlot.ItruledthatevenifAngBansingheldLotNo.1846Cinexpresstrust,thetrust
wasInnovated"bysubsequentcircumstancesandthatthesaleofLotNo.1846CtotheCommonwealthofthe
PhilippineswasnotconsummatedbecauseAngBangingsoldLotNo.1846AandportionsofLotNo.1846Bto
JuanCruzinLieuofLotNo.1846C.
20.TheAppellateCourtalsoheldthattheMindanaoDevelopmentAuthorityhadnocauseofactionfor
reconveyancebecauseithadnoprivitywithAngBansingandthatthetrust,ifany,wasanimpliedorconstructive
trustandtheactionbasedonthatkindoftrustwasbarredbyprescription.
21.PresidentialDecreeNo.690,whichtookeffectonApril22,1975,establishedtheSouthernPhilippines
DevelopmentAdministrationandabolishedtheMindanaoDevelopmentAuthority.Thelatter'sassetswere
transferredtotheAdministration.
IamoftheopinionthatAngBangingisatrusteeinanexpresstrustcoveringLotNo.1846C.Thetrustisevidenced
byhisaforementionedaffidavitofApril23,1941whichheexecutedtwentythreedaysafterTCTNo.1783was
issuedtohimforthatlot.
Asalreadynoted,AngBansinginthataffidavitsworethatheintendedtocedeandtransferthatrottoJuanCruz
afterthesurvey(Exh.C).Thatswornstatementshouldbeconsideredinconjunctionwiththestipulationinthe1939
deedofsalethatAngBansingwouldundertakethetitlingofthewholeLotNo.1846andthattheregistration
expensescorrespondingtoLotNo.1846CwouldbebornebyJuanCruz,thevendeeofthatsubdivisionlot(Exh.
A).
ThesaidstatementscreateanexpresstrustforLotNo.1846CinfavorofJuanCruzandhissuccessorsininterest
orassignees."Noparticularwordsarerequiredforthecreationofanexpresstrust,itbeingsufficientthatatrustis
clearlyintended"(Art.1444,CivilCode).
Itissignificantthat,whileAngBansingsoldLotsNos.1846A,1846Band1846DtoCruzandCorcuera,hedidnot
touchatallLotNo.1846C.Hedidnotalienatethatlotbecauseheknewthatitwasnothispropertyandthatit

belongedtotheState.
Equallysignificantandcredibleisthetrialcourt'sfindingthatitwasonlyin1968thatAngBansinglaidclaimtoLot
No.1846CthroughRufinoBoncayao,asurveyorwhoworkedintheDavaoCityengineer'sofficeandwho
discoveredthatthetitletothelothadnotyetbeenplacedinthenameoftheCommonwealthofthePhilippines.
ThetrialcourtfoundthatBoncayao,astheagentofAngBangingandwiththeadviceandbackingofVicenteC.
Garcia,AngBansing'slawyer,claimedthatAngBansingwasthetrueownerofLotNo.1846C.Therebeingan
expresstrustinthiscase,theequitableactiontocompelthetrusteetoreconveythelandregisteredinhisnamein
trustforthebenefitofthecestuiquetrustdoesnotprescribe(Manalangvs.Canlas,94Phil.776Ramosvs.
Ramos,L19872,December3,1974,61SCRA284,299).
Thedefenseofprescriptioncannotbesetupinanactiontorecoverpropertyheldintrustforthebenefitofanother
(Sevillavs.DelosAngeles,97Phil.875).
Propertyheldintrustcanberecoveredbythebeneficiaryregardlessofthelapseoftime(Marabillesvs.Quito100
Phil.64Bancairenvs.Diones,98Phil.122,126Juanvs.Zuniga114Phil.1163Vda.deJacintovs.Vda.de
Jacinto,115Phil.363,370).Prescriptioninthecaseofexpresstrustscanbeinvokedonlyfromthetimethetrustis
repudiated(Tamayovs.Callejo,68O.G.8661,46SCRA27,32).
AndatrusteewhotakesaTorrenstitleinhisnameforthelandheldintrustcannotrepudiatethetrustbyrelyingon
theregistration.ThatisoneofthelimitationsuponthefinalityofadecreeoftitleSottovs.Teves.L38018,October
31,1978,86SCRA154,178Alvarezvs.Espiritu,122Phil.229,235).
Therule,thatanactionforreconveyanceprescribesintenyears,appliestoanimpliedtrust,nottoanexpresstrust
(Carantesvs.CourtofAppeals,L33360,April25,1977,76SCRA514).
So,asageneralruleatrustestate(inanexpresstrust)isexemptfromtheoperationofthestatuteoflimitations.
Theexceptioniswhenthetrusteerepudiatesthetrustinwhichcasethetrusteemayacquirethetrustestateby
prescription.Therepudiationmustbeknowntothecestuiquetrustandmustbedirect,clear,openandequivocal.
(CallejonSalinasvs.RomanTuasonandMorenoRoman,55Phil.729Palmavs.Cristobal,77Phil.712Valdezvs.
Olorga,L22571,May25,1973,51SCRA71.)
OnewhoacquiresaTorrenstitleinhisownnametopropertywhichheisadministeringforhimselfand
hisbrothersandsistersasheirsincommonbydescentfromacommonancestormaybecompelledto
surrendertoeachofhiscoheirshisappropriateshare".Apartitionproceedingisanappropriate
remedytoenforcethisright.(Castrovs.Castro,57Phil.675).Anequitableactionforreconveyanceis
alsoaproperremedy(Lagunavs.Levantino71Phil.566Sumiravs.Vistan,74Phil.138).
Inanyevent,therealplaintiffinthiscaseistheRepublicofthePhilippinesandprescriptiondoesnotrunagainstthe
State(DelaVinavs.GovernmentoftheP.I.,65Phil.262,265Republicvs.Ruiz,L23712,April29,1968,23SCRA
348).
Themaximisnullumtempusoccurritregiornullumtempusoccurritreipublicae(lapseoftimedoesnotbartheright
ofthecrownorlapseoftimedoesnotbarthecommonwealth).Theruleisnowembodiedinarticle1108(4)ofthe
CivilCode.
ItisamaximofgreatantiquityinEnglishlaw.Thebestreasonforitsexistenceisthegreatpublicpolicyof
preservingpublicrightsandpropertyfromdamageandlossthroughthenegligenceofpublicofficers.(34AmJur.
301Ballentines'sLawDictionary,p.891U.S.vs.Nashville,Chattanooga&St.LouisRailwayCo.,118U.S.
120,125).
Thus,therightofreversionorreconveyancetotheStateoflandsfraudulentlyregisteredornotsusceptibleofprivate
appropriationoracquisitiondoesnotprescribe(Martinesvs.CourtofAppeals,L31271,April29,1974,56SCRA
647,655Republicvs.Ramos,117Phil.45,49).
Thegovernmentofficialsconcernedwerenegligentinnotinterveninginthelandregistrationproceedingorinnot
promptlyaskingAngBangingtoreconveythedisputedlottotheCommonwealthortotheRepublicofthe
Philippines.
SuchnegligencedoesnotprejudicetheState.Thenegligenceoromissionsofpublicofficersastotheirpublicduties
willnotworkanestoppelagainsttheState(10R.C.L.705,citedinBachrachMotorCo.vs.Unson,50Phil.981,990
CentralAzucareradeTarlacvs.CollectorofInternalRevenue,104Phil.653,656Peoplevs.Ventura,114Phil.162,
169).
IvotetoreverseandsetasidethedecisionoftheCourtofAppealsandtoaffirmthetrialcourt'sdecisionwiththe
modificationthatthetitleshouldbeissuedtotheSouthernPhilippinesDevelopmentAdministration.

Footnotes
1RecordonAppeal,pp.1216,85.
2Id,pp.9091.
3Id,pp.1723,86.
4Id,pp.5457,86.
5Id,p.33.
6Id,p.90.
7Id,pp.9192.
8Id,pp.2636,88.
9Id,pp.8990.
10Id,pp.212.
11Id,pp.3754.
12Id,pp.185198.
13Rollo,pp.4454.
14Art.1441,CivilCode.
15Sec.31,Trusts,76AmJr2d,pp,278279.
16Sec.35,Trusts,76AmJur2d.281.
17Warnervs.BurlingtonFed.Sav.&L.Asso.,168ALR1265,49A2d93.
18BogertonTrustsandTrustees,Sec.48.
19Id,Sec.46.
2011Phil.1267.
21RecordonAppeal,p.189.
22Rollo,p.35.
23RecordonAppeal,pp.5960.
24Diazvs.Gorricho103Phil.261.
25Art.1456,CivilCode.
26Gayondatovs.TreasureroftheP.I.,49Phil.244.
27Gonzalesvs.Jimenez,121Phil.84.
28Escayvs.CourtofAppeals,L37504,Dec.18,1974,61SCRA369,andothercasescitedtherein.
29Buenaventuravs.David,37Phil.435Ramosvs.Ramos,L19872,Dec.3,1974,61SCRA284.
TheLawphilProjectArellanoLawFoundation

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