Petitioner
Julian Francisco (Substituted By His Heirs
Respondent
Pastor Herrera
Citation
G.R. No. 139982
Court
Supreme Court
Division
Second Division
Ponente
Quisumbing, J.
Decided
November 21, 2002

Summary

This case involved the validity of land sale contracts where the seller suffered from senile dementia. Eligio Herrera Sr. sold two parcels of land to Julian Francisco for P1,750,000 in 1991. His son Pastor Herrera challenged the sales, claiming his father was mentally incapacitated due to senile dementia. The RTC and CA declared the contracts null and void. However, the Supreme Court reversed, ruling that contracts by mentally incapacitated persons are merely voidable, not void per se, under Civil Code Article 1390. The Court found that respondent's acceptance of payments and negotiations for price increase constituted implied ratification, validating the contracts. The decision clarifies the important distinction between void and voidable contracts and the legal effects of ratification in cases involving mental incapacity.

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By the Intellegal Editorial Board · November 21, 2002

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