- Petitioner
- Heirs of Reynaldo Dela Rosa
- Respondent
- Mario A. Batongbacal
- Citation
- G.R. No. 179205
- Court
- Supreme Court
- Division
- Second Division
- Ponente
- Perez, J.
- Decided
- July 30, 2014
Summary
This case involved a dispute over whether a 1987 real estate transaction was a sale or equitable mortgage. Reynaldo Dela Rosa, a co-owner of a 15,001 sq.m. property, agreed to sell his 3,750 sq.m. share to the Batongbacals for P187,500.00, receiving P31,500.00 as advance payment. When Reynaldo failed to deliver the required Special Power of Attorney and later claimed the transaction was an equitable mortgage, the Batongbacals sued for specific performance. The Supreme Court affirmed that the transaction was a valid sale of Reynaldo's undivided share, applying Article 493 of the Civil Code which grants co-owners absolute rights to alienate their pro-indiviso shares without co-owner consent. The Court rejected claims of equitable mortgage, finding the contract's terms clearly expressed the parties' intent to sell, and ordered execution of the deed of sale.