Justina Cosipe Sigaya v. Diomer Mayuga

Summary

This case involved a complex dispute over ownership of Lot 3603 in Dao, Capiz, originally owned by Dionisia Alorsabes. Multiple parties claimed rights to different portions through various inheritance and sale transactions. The central issue was whether Teodulfo Sigaya, petitioners' predecessor, was a purchaser in good faith entitled to protection under the Torrens system when he bought the entire lot from Francisco Abas in 1978. The Supreme Court affirmed lower court findings that Teodulfo was not a good faith purchaser because he had actual notice that respondents were in possession of the property before his purchase. The Court emphasized that a purchaser cannot close his eyes to obvious facts that should prompt further inquiry. Francisco had fraudulently obtained title by misrepresenting to his aunts that they were signing as witnesses when they were actually selling their shares. Since respondents had been in actual, continuous possession since before 1960 and Teodulfo was aware of this occupancy, he could not claim good faith. The decision reinforced that the Torrens system's protection extends only to innocent purchasers for value, and actual knowledge of adverse possession defeats such protection.