Petitioner
Susan Bance
Respondent
Spouses Nemesio
Citation
G.R. No. 254544
Court
Supreme Court
Division
First Division
Decided
March 22, 2021

Summary

Property dispute involving Susan Bance against Spouses Nemesio and Fidela Ballecer over encroachment on real property. Respondents alleged that Spouses Bance built on 127 square meters when they only purchased 70 square meters under a Deed of Absolute Sale. The RTC ruled in favor of respondents, ordering removal of excess construction and payment of rental and damages. The Court of Appeals affirmed, finding Spouses Bance as builders in bad faith. The Supreme Court upheld the decision with modification, applying Article 450 of the Civil Code and adding 6% per annum interest on monetary awards. The case establishes that when a property sale specifies a definite area rather than a lump sum, buyers cannot claim ownership beyond the specified boundaries and must remove encroaching improvements as builders in bad faith.

Statutes applied

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By Intellegal Editorial Board · March 22, 2021

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