Siari Valley Estates vs Lucasan
G.R. No. L-11005. October 31, 1957
G.R. No. L-13281. August 31, 1960
Complete Names of Parties
SIARI VALLEY ESTATES, INC., petitioner, vs. FILEMON LUCASAN, ET AL., respondents.
THESIS STATEMENT
X FILED a case/petition against Y on the grounds of
The RELIEFS sought:
FACTS
- On Jan 1952, CFI Zamboanga ordered Lucasan to deliver to the Siari Valley Estates the cattle inside the former’s pasture or pay its value of P40,000 and P40,000 worth of damages.
- A writ of execution was issued, sheriff levied, lands were sold, debtor failed to redeem.
- At the time of possession of the lands, Lucasan opposed it alleging that one of the parcels of land is his family home.
- On Parcel 1, stands a big house of mixed materials worth P23,270. It appears that Lucasan and his wife constituted this house and was registered on 1955 (around 3 years after the court ordered to the delivery)
PLAINTIFF | DEFENDANT |
Argument 1Argument 2Argument 3 | Family home is beyond the reach of judicial executionLevy made by the sherriffnot in accordance with what is prescribed in Section 14, Rule 39, in relation to Section 7, Rule 59, of the Rules of Court. |
Who filed to SC: Siari Valley
ISSUE 2: Is the family home extrajudicially established by respondent on the lot and house in question exempt from execution? No.
Ratio:
(1) “The family home extrajudicially formed shall be exempt from execution” except “for debts incurred before the declaration was recorded in the Registry of Property.” Article 243 (Now Article 155 of FC)
(2) What is the meaning of debt here?
(a) Debt that is undisputed,
(b) or may it also refer to any pecuniary obligation even if the same has not yet been finally determined? (which is the Jan 1952, CFI Zamboanga decision) Can it be a debt even it’s still a judgment pending appeal?
Yes. Letter B.
Ratio: The reason why a family home constituted after a debt had been incurred is not exempt from execution is to protect the creditor against a debtor who may act in bad faith by resorting to such declaration just to defeat the claim against him.||| (Siari Valley Estates, Inc. v. Lucasan, G.R. No. L-13281, [August 31, 1960], 109 PHIL 294-299)
If the contention of respondent be sustained a debtor may be allowed to circumvent this provision of the law to the prejudice of the creditor. This the Court cannot countenance.||| (Siari Valley Estates, Inc. v. Lucasan, G.R. No. L-13281, [August 31, 1960], 109 PHIL 294-299)
Ponente: Angelo Bautista
SUPREME COURT RULING: Petition granted. Order of CFI Zamboanga on Jan 1952 is affirmed.