In Sps. Wilfredo Del Rosario v. Virgilio Montaña, the Supreme Court addressed whether rights acquired under an unconstitutional law remain valid under the operative fact doctrine. The Court ruled that even though Presidential Decree No. 293 was declared unconstitutional, the cancellation of the petitioner’s title was valid since the Register of Deeds already invalidated it in accordance with the said unconstitutional decree, and they are not in actual physical possession of the property. This decision highlights the complexities of balancing constitutional principles with the reality of actions taken under laws later deemed invalid, providing guidance on property rights and the impact of judicial decisions on existing claims.

From Land Grant to Legal Standstill: Can Rights Exist Under an Unconstitutional Decree?

The case began when petitioner Fe Lumotan del Rosario applied to purchase Lot No. 18, Block-19, Pangarap Village, Caloocan City, under Presidential Decree No. 293, which aimed to distribute properties in the Tala Estate. She was awarded the property and a Transfer Certificate of Title (TCT No. 120788) was issued in her name. Respondent Virgilio Montaña, whose father’s claim against Fe Lumotan’s application was rejected, was in actual possession of the disputed property, despite Fe Lumotan paying the taxes thereon.

However, in Tuason vs. Register of Deeds, Caloocan City, the Supreme Court declared P.D. No. 293 unconstitutional. As a result, the Register of Deeds of Caloocan City inscribed Entry No. 218192 on petitioner’s title, invalidating it based on the Court’s decision. Years later, when Fe Lumotan visited the property, she found Virgilio Montaña had constructed a house on it, asserting his rights. Consequently, the spouses Del Rosario filed a complaint for Quieting of Title with Recovery of Possession de jure. The trial court dismissed the complaint, stating that Fe Lumotan’s title stemmed from a null and void source because it was based on the unconstitutional P.D. No. 293.

The Supreme Court faced two key issues: whether the petition was filed on time, and whether the petitioner’s title was invalidated by the declaration of P.D. No. 293 as unconstitutional. The Court noted that the proper mode of appeal from the trial court’s decision was a petition for review on certiorari under Rule 45, not a special civil action for certiorari under Rule 65, thus it should have been filed within the 15-day reglementary period. In addition, the Supreme Court pointed out that the petitioners clearly disregarded the doctrine of hierarchy of courts which serves as a general determinant of the proper forum for the availment of the extraordinary remedies.

Even if the petition was procedurally flawed, the Court proceeded to address the second issue, invoking the principle that constitutional issues of paramount importance should be resolved. The Supreme Court emphasized that the Torrens system is merely a system of registration and does not create or validate titles.

The court reviewed the Tuason case, explaining that P.D. No. 293 was declared unconstitutional because then President Marcos exercised a judicial function without due process. Marcos made a determination of facts and applied the law, actions that fall within the scope of judicial power, which he did not possess. It was in truth a disguised, vile stratagem deliberately resorted to favor a few individuals, in callous and disdainful disregard of the rights of others. It was in reality a taking of private property without due process and without compensation whatever, from persons relying on the indefeasibility of their titles in accordance with and as explicitly guaranteed by law.

While P.D. No. 293 was declared void ab initio (from the beginning), the Supreme Court has recognized the doctrine of operative fact, which acknowledges that actions taken under an unconstitutional law may have consequences that cannot be ignored. However, several factors weighed against the petitioners. Fe Lumotan’s title had already been invalidated by the Register of Deeds pursuant to the Tuason ruling, rendering her a holder of a canceled title. Additionally, she was not in actual physical possession of the property.

Ultimately, the Supreme Court held that the trial court did not err in dismissing the complaint. The petitioners could not rely on a Court of Appeals ruling that upheld a title under similar circumstances because, in that case, the title had not been canceled and the claimant was in actual possession. Therefore, the Supreme Court affirmed the decision of the Regional Trial Court, reinforcing that a title derived from a law declared unconstitutional does not automatically confer valid rights, especially when the title has been canceled and the claimant lacks possession.

FAQs

What was the key issue in this case?	The central issue was whether a title acquired under Presidential Decree No. 293, later declared unconstitutional, could still be valid under the operative fact doctrine.
What did the Supreme Court decide regarding P.D. No. 293?	The Supreme Court affirmed its prior ruling that P.D. No. 293 was unconstitutional and void ab initio, meaning it was invalid from its inception.
What is the operative fact doctrine?	The operative fact doctrine recognizes that some actions taken under a law later declared unconstitutional may have legal effect, especially if overturning them would cause significant disruption.
Why did the petitioners lose their claim?	The petitioners lost because their title had already been invalidated by the Register of Deeds following the declaration of P.D. No. 293 as unconstitutional, and they were not in actual possession of the property.
What was the significance of the Tuason case in this decision?	The Tuason case established the unconstitutionality of P.D. No. 293, which directly led to the cancellation of the petitioner’s title, and that became a key factor in the Supreme Court’s decision.
What does void ab initio mean?	Void ab initio means “void from the beginning.” A law or contract that is void ab initio has no legal effect from the moment it was created.
Did the Supreme Court consider the equities of the case?	While the Supreme Court acknowledged the situation, the procedural and substantive issues, such as the canceled title and lack of possession, outweighed any potential equitable considerations.
What is a Transfer Certificate of Title (TCT)?	A Transfer Certificate of Title (TCT) is a document issued by the Register of Deeds that serves as evidence of ownership of a specific parcel of land registered under the Torrens system.

This case serves as an important reminder of the complexities involved when dealing with laws later declared unconstitutional. It underscores the importance of ensuring the validity of one’s title and maintaining possession of the property. This case also highlighted the importance of compliance to procedural rules for filing petitions or appeals before the Courts.

For inquiries regarding the application of this ruling to specific circumstances, please contact ASG Law through contact or via email at frontdesk@asglawpartners.com.

Disclaimer: This analysis is provided for informational purposes only and does not constitute legal advice. For specific legal guidance tailored to your situation, please consult with a qualified attorney.
Source: SPS. WILFREDO DEL ROSARIO AND FE LUMOTAN DEL ROSARIO v. VIRGILIO MONTAÑA AND GENEROSO CARLOBOS, G.R. No. 134433, May 28, 2004