- Petitioner
- Cezar Yatco Real Estate Services
- Respondent
- Bel-Air Village Association
- Citation
- G.R. No. 211780
- Court
- Supreme Court
- Division
- Third Division
- Ponente
- Leonen, J.
- Decided
- November 21, 2018
Summary
This case involves a dispute over whether a homeowners' association can extend deed restrictions beyond their original 50-year term. Property owners in Bel-Air Village challenged the association's 2006 vote to extend restrictions until 2032, arguing the association lacked authority and that voting proxies were invalid. The case traversed multiple judicial levels with conflicting decisions. The Supreme Court ultimately affirmed the extension's validity, applying contract interpretation principles from Civil Code Article 1370. The Court found that a plain reading of the deed restrictions showed the 50-year term was amendable by majority vote, as the restrictions empowered the association to 'add new ones, amend or abolish particular restrictions.' The decision also upheld proxy validity under Corporation Code requirements and rejected constitutional freedom of association claims, emphasizing that property owners voluntarily accepted the restrictions when purchasing their lots.