“A ‘Specie of Notice'”
COMPLETE NAMES OF PARTIES: Standard Oil of New York, petitionerVs. Joaquin Jaramillo, register of deeds of Manila
NUMBER AND DATE: GR 20329; Mar 16, 1923
MY UNIQUE NAME OF THIS CASE: Mr. ROD, don’t act as judge.
LESSONS RELATED TO SUBJECT/TEACHER’S EMPHASIZED POINTS: Famous quote from this case: “It is a familiar phenomenon where things that are considered personal property, are classified as real property for purposes of taxation.”
THESIS STATEMENT: Standard Oil Co. FILED a case against ROD of Manilato register the instruments in the records of Chattel Mortgageon the grounds that mortgaged house by a tenant is personal property.
- De Vera was lessee/tenant of land in Manila, and owner of house of strong materials upon it. Executed chattel mortgage upon the house conveying to Standard Oil leasehold interest/rights in said lot and building.
- Standard Oil (p) then delivered to Jaranillo (r) for the purpose of recording in the book of record of chattel mortgages.
- Jaranillo refused because he is of the opinion that the house in question was not a chattel mortgage.
|PLAINTIFF OIL CO.||DEFENDANT ROD Jaranillo|
|ROD to record the chattel mortgage by De Vera in proper document in favor of Standard Oil||Said instrument is not chattel mortgage because the mortgage is not personal property within the meaning of Chattel Mortgage Law.|
SC: This position is untenable.
Who filed to SC: Standard Oil Co
ISSUE 1: Is the act of the ROD Jaranillo tenable/valid/lawful? No.
- His duty is purely ministerial in character: that is to accept the fee and record the instrument.
- No law confers him any judicial or quasi-judicial power to determine the nature of any document of which registration is sought as chattel mortgage.
- He must leave the effects of registration and determination to the court if questions arise.
ISSUE 2: What is the purpose or effect of recording an instrument in a chattel mortgage? Constructive Notice
- It serves as a constructive notice of the existence of the contract.
- Must the legal effects of the contract be discovered in the instrument iteself along with the notice? Yes.
- Does registration adds anything to the document or affects anybody’s rights? No. It only serves as a source of title and a species of notice.
What should the register of deeds do? Register (LOL)
- Jaranillo should accept the document of Standard Oil Co and register it.
Is registering a “house of strong materials” in Chattel Mortgage a futile act?
- Raising that question based on the ruling in Leung Yee v. Strong is not decisive of the question in this case.
SUPREME COURT RULING: The demurrer of ROD is OVERRULED, unless within 5 days, ROD shall interpose a sufficient answer to the petition, the writ of mandamus will be issued as prayed.