Spouses Eliseo R. Bautista v. Spouses Mila Jalandoni

Summary

This consolidated case involved fraudulent land sales where Spouses Jalandoni's properties were sold without their knowledge through an unauthorized agent, Teresita Nasino, to Spouses Bautista, who subsequently mortgaged the properties to Manila Credit Corporation. The Supreme Court affirmed the nullification of both the fraudulent titles and mortgage rights, applying Civil Code provisions requiring written authority for land sales through agents. The Court emphasized that innocent original registered owners who were not negligent have superior rights over even good faith mortgagees, reinforcing the security of the Torrens system for legitimate title holders while protecting against fraudulent transactions.