Cabral v. Ibanez

Summary

This case involves a property encroachment dispute where plaintiffs unknowingly built their house partially on defendants' 14 square meter lot. The Supreme Court ultimately affirmed that plaintiffs were builders in good faith under Article 448 of the Civil Code, having constructed without knowledge of the encroachment. The case established the landowner's right to elect between purchasing the encroaching improvement or selling the encroached land. The decision clarifies the application of good faith builder provisions when construction occurs through mutual ignorance of property boundaries, emphasizing the Civil Code's balanced approach to protecting both landowner and builder rights in encroachment cases.