Respondents Metro Cebu Pacific Savings Bank (Metro Cebu) and Cordova Trading Post, Inc. (Cordova Trading) filled with the Municipal Circuit Trial Court (MCTC) of Consolacion-Cordova, Cebu separate applications for original registration of two parcels of land situated in Poblacion, Cordova, Cebu. Metro Cebu applied for the original registration of Lot No. 325-A, while Cordova Trading applied for Lot No. 325-B. Subject properties are both covered by the Cordova Cad. 670 and contains an area of 933 and 531 square meters, respectively.
Cordova Trading claimed that it acquired Lot No. 325-B from Benthel Development Corporation (Benthel) through an exchange of properties and by sale. Benthel asserted that it bought the said parcels of land from Clodualdo Dalumpines.
Meanwhile, Metro Cebu averred that the same Dalumpines attached the subject properties as security for his loan and was mortgaged in the former’s favor. Such mortgage was subsequently foreclosed in favour of Metro Cebu as evidenced by an Affidavit of Consolidation of Ownership.
The MCTC rendered a decision ordering the issuance of the decree of registration to be issued in favour of respondents. The Court of Appeals affirmed the trial court’s ruling.
Issue:
Whether or not the Court of Appeals erred in granting the respondent’s Application for Original Registration of the subject properties
Ruling:
The petition was granted.
The lower courts should have denied the respondent’s applications for original registration of the subject properties since they miserably failed to prove their entitlement over the subject properties.
Section 14 of P.D. No. 1529 enumerated those who may apply for original registration of title to land namely: (1) those who by themselves or through their predecessors-in-interest have been in open, continuous, exclusive and notorious possession and occupation of alienable and disposable lands of the public domain under a bona fide claim of ownership since June 12, 1945, or earlier; (2) those who have acquired ownership of private lands by prescription under the provision of existing laws; (3) those who have acquired ownership of private lands or abandoned river beds by right of accession or accretion under the existing laws; and (4) those who have acquired ownership of land in any other manner provided by law.
It is settled that the applicant must present proof of specific acts of ownership to substantiate the claim and cannot just offer general statements, which are mere conclusions of law rather than factual evidence of possession. Actual possession consists in the manifestation of acts of dominion over it of such a nature as a party would actually exercise over his own property.
Claims of ownership of the subject properties based on the tax declarations presented will not prosper. It is only when these tax declarations are coupled with proof of actual possession of the property that they may become the basis of a claim of ownership.
The well-entrenched rule is that all lands not appearing to be clearly of private dominion presumably belong to the State. The applicant for land registration must prove that the Department of Environment and Natural Resources (DENR) Secretary had approved the land classification and released the land of the public domain as alienable and disposable, and that the land subject of the application for registration falls within the approved area per verification through survey by the Provincial Environment and Natural Resources Office (PENRO) or CENRO. In addition, the applicant for land registration must present a copy of the original classification approved by the DENR Secretary and certified as a true copy by the legal custodian of the official records.
In Vallao v. Republic, the Court declared that there must be a positive act declaring land of the public domain as alienable and disposable. The applicant must establish the existence of a positive act of the government, such as a presidential proclamation or an executive order; and administrative action, investigation reports of Bureau of Lands investigators; and a legislative act or a statute.
