- Petitioner
- GSIS
- Respondent
- Custodio
- Citation
- G.R. No. L-26170
- Court
- Supreme Court
- Division
- En Banc
- Ponente
- Reyes, J.
- Decided
- January 27, 1969
Summary
This Supreme Court case involved the distribution of GSIS retirement benefits (P8,339.36) of deceased member Simeon Custodio among his surviving heirs. The primary legal issue was whether all heirs were bound by an extrajudicial settlement executed by only some of them, recognizing the deceased's sister Susana as sole beneficiary. The SC ruled that non-signatory heirs retain their inheritance rights per stirpes under Civil Code Article 1005, with Macario C. Custodio receiving a 1/4 share and Luisa and David Custodio each receiving 1/24 shares, while signatory heirs remain bound by the settlement. The case established important precedents on intestate succession, the binding effect of extrajudicial settlements, and procedural requirements for pleading fraud. The decision balanced the principle of freedom to settle estates among heirs with the protection of inheritance rights of non-participating heirs under the Civil Code.