Torrens System Lecture
Torrens System Lecture
Torrens title is the certificate of ownership issued by the land Register of Deeds, naming and
declaring the owner of the real property described therein, free from all liens and encumbrances
except such as may be expressly noted thereon or otherwise reserved by law. Its effect is that it
can be conclusive against the whole world, it is guaranteed to be indefeasible, unassailable, and
imprescriptible. The title once registered cannot be impugned, altered, changed, modified,
enlarged, or diminished except in some direct proceeding permitted by law.
1. Original registrationis the first registration of the land whereby an Original Certificate of Title
is entered in the Registry of Property and a duplicate owner’s copy is issued to the owner by the
Register of Deeds. It can be further classified into:
a. Judicial registration which will be done through the courts. It may either be voluntary where it
instituted by the applicant under the provisions of Act 496 or PD 1529 or compulsory at the
instance of the State under provision of Act 2259 (Cadastral Act)
Subsequent registration is a process where the Original Certificate of Title is cancelled and
subsequently registered under a Transfer Certificate of Title in favor of the new owner in cases
of land conveyance such as sale, donation or assignment.
According to Presidential Decree 1529 “Amending and Codifying the Laws Relative to
Registration of Property and for Other Purposes”, or also known as Property registration Decree,
it has laid down the enumeration of who may apply for original registration of Title.
Section 14. Who may apply. The following persons may file in the proper Court of First Instance
an application for registration of title to land, whether personally or through their duly authorized
representatives:
(1) Those who by themselves or through their predecessors-in-interest have been in open,
continuous, exclusive and notorious possession and occupation of alienable and disposable lands
of the public domain under a bona fide claim of ownership since June 12, 1945, or earlier.
(2) Those who have acquired ownership of private lands by prescription under the provision of
existing laws.
(3) Those who have acquired ownership of private lands or abandoned river beds by right of
accession or accretion under the existing laws.
(4) Those who have acquired ownership of land in any other manner provided for by law.
Where the land is owned in common, all the co-owners shall file the application jointly.
Where the land has been sold under pacto de retro, the vendor a retro may file an application for
the original registration of the land, provided, however, that should the period for redemption
expire during the pendency of the registration proceedings and ownership to the property
consolidated in the vendee a retro, the latter shall be substituted for the applicant and may
continue the proceedings.
A trustee on behalf of his principal may apply for original registration of any land held in trust by
him, unless prohibited by the instrument creating the trust.
What are the attributes and limitations on certificates of title and registered lands?
• Title Form Information- where the type of form, date of revision and serial number can be
found
• Survey Information- where the parcel identity (lot, block, survey plan number), location,
adjoining parcels, tie point, tie line, bearings and distances from corner to corner and the area
and date of survey can be found
• Registration Information- where the name of the Register of Deeds, title number, book number,
page number, place/time/date of registration, name and signature of registrar and historical
information (date and place of original registration, OCT No., Volume No., Page No., Decree
No., record/name of original owner, number of cancelled title for OCT) can be found
• Ownership Information- where the name/s of all persons whose interest make up the full
ownership, citizenship, civil status, postal address
It is issued (by the Director Lands) over land not of the public domain is a nullity, devoid of
force and effect against the owner whose title is covered by an OCT or TCT.
Registration of untitled lands or lands with imperfect titles is ineffective against third persons.
That in case of double sale, the title registered under the Torrens System is superior than title
registered under Act 3344. Registration under the Torrens System, at the Registry of Deeds is
needed so that title shall be binding upon third parties.
It is issued by the administrator of LRA upon order of the court. It shall bind the land and quiet
title thereto – the purpose of Torrens System. Land becomes registered only upon transcription
of the decree in the original registration book by the Register of Deeds and not on the date of
issuance of the decree. Certificate of title becomes indefeasible after ONE YEAR from issuance
of the decree.
The Register of Deeds shall not enter any new title in favor of the grantee until a plan indicating
the portions into which the land has been subdivided shall first be presented, together with the
technical descriptions thereof. Meantime, the deed of conveyance may be annotated at the
owner’s certificate.
References:
Peña, N. Registration of Land Titles and Deeds. Quezon City: Rex Printing Company, Inc.
Presidential Decree No. 27, “Decreeing the Emancipation of Tenants from the Bondage of
theOil, Transferring to Them the Ownership of the Land They Till and Providing the Instruments
and Mechanism Therefor”
Property Registration Decree 1529, “Amending and Codifying the Laws Relative to Registration
of Property and for Other Purposes”
Public Land Act, Com. Act No. 141, “Title and Application of the Act, Lands to Which It
Refers, and Classification, Delimitation and Survey Thereof for Concession”
Land registration
For legal research purposes of lawyers visiting this blog, may I simplify herein below
the basic things to do in handling a petition or application for original and cadastral land
registration before the Regional Trial Courts (RTC) of the Philippines.
2. PD 1529, Sec. 14, et. seq. (Prop. Reg. Decree of1978 [Orig. Reg.]);
3. Act 2259 (Cadastral Act);4. CA No. 141 (Public Land Act). Format of application/petition:
read Sec. 15, PD1529.
1. Orig. plan in tracing cloth or diazo polyester film duly approved by the DENR Reg.
Tech. Dir.
2. In lieu thereof, a true copy of the said orig. plan attested and certified correct by the Reg.
Tech. Dir. Or his duly authorized official.
3. Two white or blue print copies of the plan.
4. Orig. And two copies of the technical descriptions certified by the Reg. Tech. Dir. or his
authorized official. Not merely signed by the Geod. Engr.
5. Orig. and two copies of the Geod. Engr.’s certificate. In lieu thereof, a certification (orig. and
two copies) from the Reg. Tech. Dir. as to its non-availability.
6. Tax Dec. or in lieu thereof, an affid. of 3 disinterested person as to the market value of the
land (Jud. Form 81).
7. All orig. muniments of title of the petitioner which prove his ownership of the land. Not
mandatory as along as the docs can be produced before the court during the trial.
Work to do before filing petition (secure orig. copies of the attachments to the petition):
1. Work out with the ofc. of the DENR Reg. Tech. Dir. All the approved plans, tech.
descrip., certif.. of non-availability of Geod. Engr.’s certificate.
2. Work out with priv. Geod. Engr. the orig. copy of his Certif.
3. Work out with the local Assessor the orig. copy of the Tax Dec.
5. Gather all proofs of payments of taxes - local real estate and transfer taxes and all
BIR/national revenue taxes involving the land and all related transactions.
6. Others. The petitioner must submit proof of service of a copy of the petition and its annexes
on the Reg. Exec. Dir. of the DENR (by way of Copy Furnished). Allege in the petition. Attach
affid. of service. (Sec. 17, Pd1529).
Initial hearing:
5.2. Letter of RTC BCC forwarding the case to the LRA and the OSG
5.3. Notices to the petitioner, adjoining owners, creditors, et. al.
5.4. Sheriff’s certificate of posting
5.5. Proofs of notice of initial hearing addressed to concerned govt agencies: CENRO, PENRO,
DENR Reg. Off., OSG, LRA, RD, et. al.
5.6. Two certificates/affids. of publication (Off. Gaz. and a national newspaper). With orig.
copies of th eprinted issue/s.
5.7. Others (see the Record of the case and mark all notices/orders related to the initial
hearing, as well as all proofs of service thereof).Order of initial hearing must be issued
within 5 days from filing of petition (after raffle to the court branch).Two copies of order of
initial hearing are served on the LRA within 15 days from issuance thereof. LRA shall arrange
for its publication in the Off. Gaz. and in a national newspaper (once only). Petitioner must pay
publication fee to LRA docket section cashier. Get OR .Fees
– see Sec. 111, PD 1529. To be collected by RTC OCC. Based on assessed value of land and
improvements, per Tax Dec. or per joint affid. of 3disinterested person as to its market value.
Get OR. (See also new Rule 141, Legal Fees; and Rule 142,Costs of Suit).Cost of publications.
–To be paid to the LRA, approx. P1, 000 (Off. Gazz.). Fees of national news paper vary. Go to
LRA docket section with certif. copy of order of initial hearing, with court case/docket number,
for ref. of LRA cashier. Upon gen. default, petitioner may move for ex parte presentation of
evid. before the BCC as commissioner. (Rule 32, Rules of Court).
The court’s LRC Case No. (court docket no.) is different from the LRA’s Rec. No. The LRA
Rec. No.
is set by LRA, not by the court.
After trial, the final steps are:
Prepared by:
Atty. Manuel J. Laserna Jr.
Managing Partner, Laserna Cueva Mercader LawOffices (LCM Law)Founder and Board
Consultant, Las Pinas City Bar Association (LPBA), Inc.Prof. of Law, FEU, Manila
(ret.)lcmlaw@gmail.comhttp://attylaserna.blogspot.comhttp://lcmlaw.multiply.com
MALACAÑANGM a n i l aPRESIDENTIAL DECREE No. 1529AMENDING AND
CODIFYING THE LAWS RELATIVE TOREGISTRATIONOF PROPERTYAND FOR
OTHER PURPOSES
Section 44. Statutory liens affecting title. Everyregistered owner receiving a certificate of
title inpursuance of a decree of registration, and everysubsequent purchaser of registered
land taking acertificate of title for value and in good faith, shall holdthe same free from all
encumbrances except thosenoted in said certificate and any of the followingencumbrances
which may be subsisting, namely:First. Liens, claims or rights arising or existing underthe
laws and Constitution of the Philippines which arenot by law required to appear of record
in the Registryof Deeds in order to be valid against subsequentpurchasers or
encumbrancers of record.Second. Unpaid real estate taxes levied and assessedwithin two
years immediately preceding theacquisition of any right over the land by an
innocentpurchaser for value, without prejudice to the right ofthe government to collect
taxes payable before thatperiod from the delinquent taxpayer alone.Third. Any public
highway or private way establishedor recognized by law, or any government
irrigationcanal or lateral thereof, if the certificate of title doesnot state that the boundaries
of such highway orirrigation canal or lateral thereof have beendetermined.Fourth. Any
disposition of the property or limitationon the use thereof by virtue of, or pursuant
to,Presidential Decree
No. 27 or any other law or regulations on agrarianreform.
ASSURANCE FUND
Section 93. Contribution to Assurance Fund. Uponthe entry of a certificate of title in the
name of theregistered owner, and also upon the originalregistration on the certificate of
title of a building orother improvements on the land covered by saidcertificate, as well as
upon the entry of a certificatepursuant to any subsequent transfer of registeredland, there
shall be paid to the Register of Deedsone-fourth of one per cent of the assessed value ofthe
real estate on the basis of the last assessmentfor taxation purposes, as contribution to
theAssurance Fund. Where the land involved has notyet been assessed for taxation, its
value forpurposes of this decree shall be determined by thesworn declaration of two
disinterested persons tothe effect that the value fixed by them is to theirknowledge, a fair
valuation.
Nothing in this section shall in any way preclude thecourt from increasing the valuation of
the propertyshould it appear during the hearing that the valuestated is too small.
Section 94. Custody and investment of fund. Allmoney received by the Register of Deeds
under thepreceding section shall be paid to the NationalTreasurer. He shall keep this
money in an AssuranceFund which may be invested in the manner and formauthorized by
law, and shall report annually to theCommissioner of the Budget the condition andincome
thereof.
The income of the Assurance Fund shall be added tothe principal until said fund amounts
to five hundredthousand pesos, in which event the excess incomefrom investments as well
as from the collections ofsuch fund shall be paid into the National Treasury tothe account
of the Assurance Fund.
Section 95. Action for compensation from funds. Aperson who, without negligence on his
part,sustains loss or damage, or is deprived of land orany estate or interest therein in
consequence of thebringing of the land under the operation of theTorrens system of arising
after original registrationof land, through fraud or in consequence of anyerror, omission,
mistake or misdescription in anycertificate of title or in any entry or memorandum inthe
registration book, and who by the provisions ofthis Decree is barred or otherwise
precluded underthe provision of any law from bringing an action forthe recovery of such
land or the estate or interesttherein, may bring an action in any court of petent jurisdiction
for the recovery of damagesto be paid out of the Assurance Fund.
CLAIMS AGAINST THEASSURANCE FUND
> Section 95 provides a remedy where a person whosustains loss or damage or is deprived of any
estate orinterest in land in consequence of the operations of theTorrens system of registration,
without negligence on hispart, may bring an action for the recovery of damages tobe paid out of
the Assurance fund> Public policy demands that those unjustly deprived oftheir rights over real
property by reason of the operationof our registration laws be afforded remedies> According to
the principles of the Torrens system, it isa condition sine que non that the person who brings
anaction for damages against the Assurance fund be theregistered owner, and as to holders of
transfercertificates of title that they be innocent purchasers ingood faith and for value> There
must also be a showing of loss or damage ordeprivation of any land or interest thereon by
theoperation of PD1529> Where plaintiff is solely responsible for the plight inwhich it finds
itself, the Director of Lands and theNational Treasurer are exempt from any liability
REQUISITES FOR RECOVERYFROM THE ASSURANCE FUND
1. That a person sustains loss or damage, or isdeprived of any estate or interest in land2.
On account of bringing of land under theoperations of the Torrens system arising after
theoriginal registration3. Through fraud, error, omission, mistake, ormisdescription in a
certificate of title or entry ormemorandum in the registration4. Without negligence on his
part5. And is barred or precluded from bringing anaction for the recovery of such land or
estate orinterest therein
RECORDED MORTGAGE ISPROTECTED EVEN IF TITLE
ISSUBSEQUENTLY NULLIFIED
Land Registration
Section 10 of Presidential Decree No. 1529, asamended provides for the duty of the Register
ofDeeds in so far registration of instruments areconcerned. It states,
"It shall be the duty ofthe Register of Deeds to immediatelyregister an instrument presented
forregistration dealing with real or personal property which complies with all therequisites for
registration."
Now, can the Register of Deeds refuseregistration of an instrument? Subsequentportion of said
section provides,
"He shall seeto it that said instrument bears the proper documentary and science stampsand
that the same are properly canceled. If the instrument is not registerable, heshall forthwith
deny registration thereofand inform the presentor of such denialin writing, stating the ground
or reasontherefor, and advising him of his right toappeal by consulta in accordance
with Section 117 of this Decree."
Clearly, when the Register of Deeds, for somereason or another, refuse registration orannotation
of a particular instrument, documentor paper, the remedy provided by law is to appeal by
consulta said denial to the Land Registration Authority.Here are the steps or procedure of appeal
byconsulta:
1) The Register of Deeds shall notify theinterested party in writing, setting forth thedefects of the
instrument or the legal groundrelied upon for denying the registration, andadvising that if he is
not agreeable to such ruling,he may, without withdrawing the documentsfrom the Registry,
elevate the matter by Consultato the Administrator of the Land Registration Authority
(LRA).2) Within five {5) days from receipt of notice ofdenial, the party-in-interest shall file his
Consulta with the Register of Deeds concerned and pay the
consulta fee.
3) After receipt of the Consulta and payment ofthe corresponding fee the Register of
Deedsmakes an annotation of the pending consulta atthe back of the certificate of title.
4) The Register of Deeds then elevates the caseto the LRA Administrator with certified
recordsthereof and a summary of the facts and issuesinvolved.
5) The LRA Administrator then conductshearings after due notice or may just requireparties to
submit their memoranda.
6) After hearing, the LRA Administrator issuesan order prescribing the step to be taken or
thememorandum to be made. His resolution inconsulta shall be conclusive and binding upon
allRegisters of Deeds unless reversed on appeal bythe Court of Appeals or by the Supreme
Court.(Section 117, P.D. 1529).
A certain
Register of Deeds
denied theregistration of the Deed of Absolute Saleexecuted by a corporation sole on the ground
that ―Court Approval is necessary since the
Vendor being a corporation sole pursuantto
Section 113 of Batas Pambansa Blg. 68
,the
Corporation Code of the Philippines
.‖
Pursuant to
Section 117 of Presidential DecreeNo. 1529
, otherwise known as the
PropertyRegistration Decree
, we elevate the matterto
Land Registration Authority (LRA)
by wayof
c o n s u l t a
.
BASIS OF CONSULTA
Section 117 of the Property Registration Decreereads
–
Section 117. Procedure. When the Register ofDeeds is in doubt with regard to the proper stepto
be taken or memorandum to be made inpursuance of any deed, mortgage or otherinstrument
presented to him for registration, orwhere any party in interest does not agree withthe action
taken by the Register of Deeds withreference to any such instrument, the questionshall be
submitted to the Commissioner of LandRegistration by the Register of Deeds, or by theparty in
interest thru the Register of Deeds.Where the instrument is denied registration, theRegister of
Deeds shall notify the interested partyin writing, setting forth the defects of theinstrument or
legal grounds relied upon, andadvising him that if he is not agreeable to suchruling, he may,
without withdrawing thedocuments from the Registry, elevate the matterby consulta within five
days from receipt of noticeof the denial of registration to the Commissionerof Land
Registration.The Register of Deeds shall make amemorandum of the pending consulta
on thecertificate of title which shall be cancelled motuproprio by the Register of Deeds after
finalresolution or decision thereof, or beforeresolution, if withdrawn by petitioner.The
Commissioner of Land Registration,considering the consulta and the records certifiedto him after
notice to the parties and hearing,shall enter an order prescribing the step to betaken or
memorandum to be made. Hisresolution or ruling in consultas shall beconclusive and binding
upon all Registers ofDeeds, provided, that the party in interest whodisagrees with the final
resolution, ruling or orderof the Commissioner relative to consultas mayappeal to the Court of
Appeals within the periodand in manner provided in Republic Act No.5434.
STATEMENT OF MATERIAL DATES
Include a statement that the corporation sole hasuntil a particular date (it should be within
fivedays)to elevate the matter by consulta to theLand Registration Authority.
STATEMENT OF FACTSISSUE
Whether or not the Deed of Absolute Sale isregistrable, despite the absence of a Court Approval
allowing the corporation sole, to sell theProperty?
DISCUSSION
1. Section 113 of the Corporation Code of thePhilippines was the basis for the denial
ofregistration by the Register of Deeds. Section113 is hereto quoted in full, as follows:
“Acquisition and alienation of property.
- Anycorporation sole may purchase and hold realestate and personal property for its
church,charitable, benevolent or educational purposes,and may receive bequests or gifts
for suchpurposes. Such corporation may sell or mortgagereal property held by it by obtaining an
order forthat purpose from the Court of First Instance ofthe province where the property is
situated uponproof made to the satisfaction of the court thatnotice of the application for leave
to sell ormortgage has been given by publication orotherwise in such manner and for such time
assaid court may have directed, and that it is to theinterest of the corporation that leave to sell
ormortgage should be granted. The application forleave to sell or mortgage must be made
bypetition, duly verified, by the chief archbishop,bishop, priest, minister, rabbi or
presiding elderacting as corporation sole, and may be opposedby any member of the religious
denomination,sect or church represented by the corporationsole: Provided, That in cases where
the rules,regulations and discipline of the religiousdenomination, sect or church, religious society
ororder concerned represented by such corporationsole regulate the method of acquiring,
holding,selling and mortgaging real estate and personalproperty, such rules, regulations and
disciplineshall control, and the intervention of the courtsshall not be necessary. (portions in
bold areadded for emphasis)2. Basing only on the first paragraph of the above
–
quoted Section 113 of the Corporation Code,the Register of Deeds is correct in his
denial.However, he erroneously missed the proviso on
the same Section 113 that states ―Provided, That
in cases where the rules, regulations anddiscipline of the religious denomination, sect orchurch,
religious society or order concernedrepresented by such corporation sole regulatethe method of
acquiring, holding, selling andmortgaging real estate and personal property,such rules,
regulations and discipline shallcontrol, and the intervention of the courts shall
not be necessary.‖
3. A corporation sole was organized andregistered with the Securities and
ExchangeCommission, under the following provision of theCorporation Code of the Philippines
(―Corporation Code‖):
―SECTION 110. Corporation Sole. —
For thepurpose of administering and managing, astrustee, the affairs, property and temporalities
ofany religious denomination, sect or church, acorporation sole may be formed by the
chiefarchbishop, bishop, priest, minister, rabbi orother presiding elder of such religious
denomination, sect or church.‖
6. For the purpose of this consulta, it isinstructive to note that corporation sole describedin
Section 113 of the Corporation Code, maypurchase, hold and dispose of real estate andpersonal
property for its church, charitable,benevolent or educational purposes. Moreover,corporation sole
has rules, regulations anddiscipline which regulates the method ofacquiring, holding, selling and
mortgaging realestate and personal property, such that theexistence of said rules, regulations
anddiscipline, the intervention of the courts shall notbe necessary as said rules, regulations
anddiscipline would control.10. Since corporation sole rules, regulations anddiscipline regulate
the method of selling realestate property, such rules, regulations anddiscipline shall control, and
the intervention of the
courts shall not be necessary. Hence, the Deedof Absolute Sale is registrable, despite theabsence
of a Court Approval allowing LDS, beinga corporation sole, to sell the Property.
PRAYER
We therefore request that:1. The Land Registration Authority directs theRegister of Deeds to
register the Deed of Absolute Sale between the parties--2. The Register of Deeds be further
directed tocause the cancellation of Transfer Certificate ofTitle No. and the issuance of a new
title coveringthe ---square meters subject of the sale in favorof the buyer.Based on LRA
CIRCULAR No. 04-2005otherwise known as the Supplement to Rulesand Procedure on
Consulta, it is directed that allConsulta shall be filed directly with the Registerof Deeds
concerned who shall endorse the sameto the LRA after payment of the required fees. Noconsulta
shall be entertained by LRA without therequired endorsement from the Register ofDeeds.