Anselmo Taghoy v. Sps. Felixberto Tigol, Jr.

Summary

This case involves a property dispute over an 11,067 square meter lot originally owned by spouses Filomeno Taghoy and Margarita Amit. After Filomeno's death, his heirs executed an extrajudicial settlement selling the property to respondents Felixberto and Rosita Tigol for P1,000. However, the respondents simultaneously executed joint affidavits stating the sale was without consideration and only for securing bank loans. Petitioners later sued for nullity of title and partition. The RTC ruled the sale was absolutely simulated and void, but the CA reversed, finding it relatively simulated with the loan payment as consideration. The Supreme Court reversed the CA, holding that the respondents' own admissions in their joint affidavits proved absolute simulation. The sale was declared void, with respondents entitled only to reimbursement for loan payments as necessary expenses under co-ownership principles, not full ownership of the property.