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Cagampang - BusOrg - de La Cruz vs. CA

Maria de la Cruz y Gutierrez entrusted the administration of her lot to her niece Maria de la Cruz y Guevarra. When cadastral proceedings were held, Maria de la Cruz y Gutierrez's name was incorrectly filled out. Later, private respondents claimed the land as their exclusive property. Petitioners filed a complaint for reconveyance. The court found that Exhibit B-3, which showed Maria de la Cruz y Gutierrez consenting to Maria de la Cruz y Guevarra's administration of the lot, constituted an express trust despite not being in writing, as no particular words or writing is required to create an express trust under Philippine law. As such, petitioners'

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97 views1 page

Cagampang - BusOrg - de La Cruz vs. CA

Maria de la Cruz y Gutierrez entrusted the administration of her lot to her niece Maria de la Cruz y Guevarra. When cadastral proceedings were held, Maria de la Cruz y Gutierrez's name was incorrectly filled out. Later, private respondents claimed the land as their exclusive property. Petitioners filed a complaint for reconveyance. The court found that Exhibit B-3, which showed Maria de la Cruz y Gutierrez consenting to Maria de la Cruz y Guevarra's administration of the lot, constituted an express trust despite not being in writing, as no particular words or writing is required to create an express trust under Philippine law. As such, petitioners'

Uploaded by

Vina Cagampang
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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HEIRS OF MARIA DE LA CRUZ Y GUTIERREZ, Petitioners, v.

COURT OF APPEALS and HEIRS OF MARIA DE LA CRUZ Y


GUEVARRA, Respondents.
G.R. No. 76590. February 26, 1990.]
Paras, J

DOCTRINE:

CIVIL LAW; TRUST; EXPRESS TRUST; MAY NOT BE EXPRESSLY STATED IN A DOCUMENT; AND MAY BE ORAL; HOW CREATED. — It has been held
that under the law on Trusts, it is not necessary that the document expressly state and provide for the express trust, for it may even be created orally, no particular
words are required for its creation (Article 1444, Civil Code). An express trust is created by the direct and positive acts of the parties, by some writing or deed or will
or by words evidencing an intention to create a trust (Sotto v. Teves, 86 SCRA 154 [1978]). No particular words are required for the creation of an express trust, it
being sufficient that a trust is clearly intended (Vda. de Mapa v. Court of Appeals, 154 SCRA 294 [1987]). Hence, petitioner’s action, being one based on express
trust, has not yet prescribed

ACTION FOR RECONVEYANCE DOES NOT PRESCRIBE EXCEPT WHEN TRUSTEE REPUDIATES TRUST. — Be it noted that Article 1443 of the Civil Code
which states "No express trusts concerning an immovable or any interest therein may be proved by parol evidence," refers merely to enforceability, not validity of a
contract between the parties. Otherwise stated, for purposes of validity between the parties, an express trust concerning an immovable does not have to be in writing.
Thus, Article 1443 may be said to be an extension of the Statute of Frauds. The action to compel the trustee to convey the property registered in his name for the
benefit of the cestui for trust does not prescribe. If at all, it is only when the trustee repudiates the trust that the period of prescription may run (Enriquez v. Court of
Appeals, 104 SCRA 656 [1981]).

Facts:

Maria dela Cruz y Gutierrez resided in the subject lot in the concept of an owner. Later, she entrusted the administration of the
said lot to her niece Maria de la Cruz y Guevarra. When cadastral proceedings were held, Maria de la Cruz y Gutierrez filed an
answer to the questioned lot, affixing her thumbmark. In the space provided to be filled up with the personal circumstances of
claimant Maria de la Cruz y Gutierrez, what appears therein is the name Maria de la Cruz, married to Calixto Dimalanta, instead
of Maria de la Cruz y Gutierrez; and in the space provided intended for the personal circumstances of other person or persons
who may have an interest on the said lot, the name Fermin de la Cruz, single, appears. The trial court adjudicated the subject
Lot in favor of Maria de la Cruz, 26 years old, married to Calixto Dimalanta and Fermin de la Cruz, Single.

Petitioners filed a complaint for reconveyance. Private respondents claimed that the land in question is their exclusive property,
having inherited the same from their parents. Moreover, they asserted that petitioners have lost their cause of action by
prescription.

Petitioners’ predecessor-in-interest, Maria de la Cruz y Gutierrez, was an unlettered woman, a fact borne out by her affixing her
thumbmark in her answer in Cadastral Case. Because of her mental weakness, in a prepared document for her, Exhibit B-3,
she consented and authorized her niece Maria de la Cruz y Guevarra to administer the lot in question. Such fact is corroborated
by the testimony of Daniel Lansay, the son of Maria de la Cruz y Gutierrez that Maria de la Cruz y Guevarra was the one
entrusted with the paying of land taxes.

Private respondents argue that said Exhibit "B-3" is a portion of the tax declaration (Exhibit "B") which was prepared by the
Office of the Municipal Assessor Treasurer where the lot in question is located, and clearly not the written instrument constituting
an express trust required under Article 1443 of the Civil Code.

Issue: WON Exhibit B-3 constitutes an express trust required under Article 1443 of the Civil Code

Held: YES

It has been held that under the law on Trusts, it is not necessary that the document expressly state and provide for the
express trust, for it may even be created orally, no particular words are required for its creation (Article 1444, Civil
Code). An express trust is created by the direct and positive acts of the parties, by some writing or deed or will or by words
evidencing an intention to create a trust (Sotto v. Teves, 86 SCRA 154 [1978]). No particular words are required for the creation
of an express trust, it being sufficient that a trust is clearly intended (Vda. de Mapa v. Court of Appeals, 154 SCRA 294 [1987]).
Hence, petitioner’s action, being one based on express trust, has not yet prescribed. Be it noted that Article 1443 of the
Civil Code which states "No express trusts concerning an immovable or any interest therein may be proved by parol
evidence," refers merely to enforceability, not validity of a contract between the parties. Otherwise stated, for purposes
of validity between the parties, an express trust concerning an immovable does not have to be in writing. Thus, Article 1443 may
be said to be an extension of the Statute of Frauds. The action to compel the trustee to convey the property registered in his
name for the benefit of the cestui for trust does not prescribe. If at all, it is only when the trustee repudiates the trust that the
period of prescription may run (Enriquez v. Court of Appeals, 104 SCRA 656 [1981]).

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