Racelis v. Racelis

Summary

This case involves the validity of donations made by Benita Palmeda to Crispulo Dealo in 1923, subject to conditions including annual payments of P2,000 for thirty years. When Dealo could only deliver percentages of produce from 1931-1937 due to crop failures, Palmeda's collateral heirs sought revocation of the donations and nullification of Dealo's subsequent sale of five parcels to a third party. The Supreme Court affirmed the trial court's dismissal, ruling that the modified payment arrangement was consensual and did not constitute a violation. The Court emphasized the principle of upholding trust dispositions for charitable purposes, noting that revocation would deprive intended beneficiaries. However, the Court confirmed that Dealo's alienation of the trust property was improper and inconsistent with the trust's continuance.