Julia Tuason v. Fausto Raymundo

Summary

This landmark case established the fundamental principle of the Torrens land registration system in the Philippines. Vicente Rodriguez and Gregoria Baroto Cruz sold the same property twice - first to defendant Raymundo in 1911 under an unregistered pacto de retro, then to plaintiff Tuason in 1913 with proper registration. The Supreme Court held that under Act No. 496, registration is the operative act that conveys title to registered land. An unregistered deed operates only as a contract between parties, not as a conveyance affecting the land. Therefore, Tuason's later but registered purchase took priority over Raymundo's earlier but unregistered transaction. The decision affirmed that good faith purchasers for value who register their deeds are protected under the Torrens system, establishing crucial precedent for property law in the Philippines.