- Petitioner
- Philippine National Bank
- Respondent
- Generoso de Jesus
- Citation
- G.R. No. 149295
- Court
- Supreme Court
- Division
- First Division
- Ponente
- Vitug, J.
- Decided
- September 23, 2003
Summary
This case involves a property dispute between Philippine National Bank and Generoso De Jesus over a 124-square-meter portion of land encroached upon by PNB's building. De Jesus discovered the encroachment through a 1993 survey of his titled property and demanded PNB vacate the area. PNB claimed good faith, asserting it acquired the building from Mayor Ignacio in 1981 with the encroachment already existing, and that Ignacio offered to sell the encroached area. The Supreme Court affirmed lower court decisions favoring De Jesus, ruling that PNB cannot invoke Article 448 of the Civil Code as a builder in good faith. The Court held that since the original landowner (Ignacio) built on his own land before transferring to PNB, the provisions on builders in good/bad faith are inapplicable. The decision reinforces property rights and clarifies the application of Civil Code provisions on accession and builders' rights.