A.M. No.

03-02-05-SC

Supreme Court of the Philippines

1 April 2003
Republic of the Philippines
Supreme Court
Manila

En Banc

Resolution

Acting on the letter of the Chairman of the Committee on Revision of the

Rules of Court submitting for this Court’s consideration and approval the
Proposed Rule on Guardianship of Minors, the Court Resolved to APPROVE the
same.

The Rule shall take effect on May 1, 2003 following its publication in a
newspaper of general circulation not later than April 15, 2003.

April 1, 2003.

Davide, Jr., C.J., Bellosillo, Puno, Vitug, Mendoza, Panganiban, Quisumbing,

Ynares-Santiago, Sandoval-Gutierrez, Carpio, Austria-Martinez, Corona, Carpio-
Moralez,Callejo Sr., Azcuna, JJ., concur.

Rule on Guardianship of Minors

SECTION 1. Applicability of the Rule.— This Rule shall apply to petitions for
guardianship over the person or property, or both, of a minor.

The father and the mother shall jointly exercise legal guardianship over the
person and property of their unemancipated common child without the necessity
of a court appointment. In such case, this Rule shall be suppletory to the
provisions of the Family Code on guardianship.

SECTION 2. Who may petition for appointment of guardian.— On grounds

authorized by law, any relative or other person on behalf of a minor, or the minor
himself if fourteen years of age or over, may petition the Family Court for the
appointment of a general guardian over the person or property, or both, of such
minor. The petition may also be filed by the Secretary of Social Welfare and
Development and by the Secretary of Health in the case of an insane minor who
needs to be hospitalized.
 SECTION 3. Where to file petition.— A petition for guardianship over the
person or property, or both, of a minor may be filed in the Family Court of the
province or city where the minor actually resides. If he resides in a foreign
country, the petition shall be flied with the Family Court of the province or city
where his property or any part thereof is situated.

SECTION 4. Grounds of petition.— The grounds for the appointment of a

guardian over the person or property, or both, of a minor are the following:

(a) death, continued absence, or incapacity of his parents;

(b) suspension, deprivation or termination of parental authority;
(c) remarriage of his surviving parent, if the latter Is found unsuitable to
exercise parental authority; o
(d) when the best interests of the minor so require.

SECTION 5. Qualifications of guardians.— In appointing a guardian, the

court shall consider the guardian’s:

(a) moral character;

(b) physical, mental and psychological condition;
(c) financial status;
(d) relationship of trust with the minor;
(e) availability to exercise the powers and duties of a guardian for the full
period of the guardianship;
(f) lack of conflict of interest with the minor; and
g) ability to manage the property of the minor.

SECTION 6. Who may be appointed guardian of the person or property, or

both, of a minor.— In default of parents or a court-appointed guardian, the court
may appoint a guardian of the person or property, or both, of a minor, observing
as far as practicable, the following order of preference:

(a) the surviving grandparent and In case several grandparents survive,

the court shall select any of them taking Into account all relevant
considerations;
(b) the oldest brother or sister of the minor over twenty-one years of age,
unless unfit or disqualified;
(c) the actual custodian of the minor over twenty-one years of age, unless
unfit or disqualified; and(d) any other person, who in the sound discretion
of the court, would serve the best interests of the minor.

SECTION 7. Contents of petition.— A petition for the appointment of a

general guardian must allege the following:

(a) The jurisdictional facts;

 (b) The name, age and residence of the prospective ward;
(c) The ground rendering the appointment necessary or convenient;
(d) The death of the parents of the minor or the termination, deprivation
or suspension of their parental authority;
(e) The remarriage of the minor’s surviving parent;
(f) The names, ages, and residences of relatives within the 4th civil degree
of the minor, and of persons having him in their care and custody;
(g) The probable value, character and location of the property of the minor;
and
(h) The name, age and residence of the person for whom letters of
guardianship are prayed.

The petition shall be verified and accompanied by a certification against

forum shopping. However, no defect in the petition or verification shall render
void the issuance of letters of guardianship.

SECTION 8. Time and notice of hearing.— When a petition for the

appointment of a general guardian is filed, the court shall fix a time and place
for its hearing, and shall cause reasonable notice to be given to the persons
mentioned in the petition, including the minor if he is fourteen years of age or
over, and may direct other general or special notice to be given.

SECTION 9. Case study report.— The court shall order a social worker to
conduct a case study of the minor and all the prospective guardians and submit
his report and recommendation to the court for its guidance before the scheduled
hearing. The social worker may intervene on behalf of the minor if he finds that
the petition for guardianship should be denied.

SECTION 10. Opposition to petition.— Any interested person may contest

the petition by filing a written opposition based on such grounds as the majority
of the minor or the unsuitability of the person for whom letters are prayed, and
pray that the petition be denied, or that letters of guardianship issue to himself,
or to any suitable person named in the opposition.

SECTION 11. Hearing and order for letters to issue.— At the hearing of the
petition, it must be shown that the requirement of notice has been complied
with. The prospective ward shall be presented to the court. The court shall hear
the evidence of the parties in support of their respective allegations. If warranted,
the court shall appoint a suitable guardian of the person or property, or both, of
the minor.

At the discretion of the court, the hearing on guardianship may be closed

to the public and the records of the case shall not be released without its
approval.
 SECTION 12. When and how a guardian of the property for non-resident
minor is appointed; notice.— When the minor resides outside the Philippines but
has property in the Philippines, any relative or friend of such minor, or any one
interested in his property, in expectancy or otherwise, may petition the Family
Court for the appointment of a guardian over the property.

Notice of hearing of the petition shall be given to the minor by publication

or any other means as the court may deem proper. The court may dispense with
the presence of the non-resident minor.

If after hearing the court is satisfied that such non-resident is a minor and
a guardian is necessary or convenient, it may appoint a guardian over his
property.

SECTION 13. Service of final and executory judgment or order.— The final
and executory judgment or order shall be served upon the Local Civil Registrar
of the municipality or city where the minor resides and the Register of Deeds of
the place where his property or part thereof is situated shall annotate the same
in the corresponding title, and report to the court his compliance within fifteen
days from receipt of the order.

SECTION 14. Bond of guardian; amount; conditions.— Before he enters

upon the execution of his trust, or letters of guardianship issue, an appointed
guardian may be required to post a bond in such sum as the court shall
determine and conditioned as follows:

(a) To make and return to the court, within three months after the issuance
of his letters of guardianship, a true and complete Inventory of all the
property, real and personal, of his ward which shall come to his possession
or knowledge or to the possession or knowledge of any other person in his
behalf;
(b) To faithfully execute the duties of his trust, to manage and dispose of
the property according to this rule for the best interests of the ward, and
to provide for his proper care, custody and education;
(c) To render a true and Just account of all the property of the ward in his
hands, and of all proceeds or interest derived therefrom, and of the
management and disposition of the same, at the time designated by this
rule and such other times as the court directs; and at the expiration of his
trust, to settle his accounts with the court and deliver and pay over all the
property, effects, and monies remaining in his hands, or due from him on
such settlement, to the person lawfully entitled thereto; and
(d) To perform all orders of the court and such other duties as may be
required by law.
 SECTION 15. Where to file the bond; action thereon.— The bond posted by a
guardian shall be filed in the Family Court and, In case of breach of any of its
conditions, the guardian may be prosecuted in the same proceeding for the
benefit of the ward or of any other person legally interested in the property.

Whenever necessary, the court may require the guardian to post a new
bond and may discharge from further liability the sureties on the old bond after
due notice to interested persons, if no injury may result therefrom to those
interested in the property.

SECTION 16. Bond of parents as guardians of property of minor.— lf the

market value of the property or the annual Income of the child exceeds
₱50,000.00, the parent concerned shall furnish a bond In such amount as the
court may determine, but in no case less than ten per centurn of the value of
such property or annual income, to guarantee the performance of the obligations
prescribed for general guardians.

A verified petition for approval of the bond shall be flied in the Family Court
of the place where the child resides or, if the child resides in a foreign country,
in the Family Court of the place where the property or any part thereof is
situated.

The petition shall be docketed as a summary special proceeding In which

all incidents and issues regarding the performance of the obligations of a general
guardian shall be heard and resolved.

SECTION 17. General duties of guardian.— A guardian shall have the care
and custody of the person of his ward and the management of his property, or
only the management of his property. The guardian of the property of a
nonresident minor shall have the management of all his property within the
Philippines.

A guardian shall perform the following duties:

(a) To pay the just debts of the ward out of the personal property and the
income of the real property of the ward, If the same is sufficient; otherwise,
out of the real property of the ward upon obtaining an order for its sale or
encumbrance;
(b) To settle all accounts of his ward, and demand, sue for, receive all debts
due him, or may, with the approval of the court, compound for the same
and give discharges to the debtor on receiving a fair and just dividend of
the property and effects; and to appear for and represent the ward in all
actions and special proceedings, unless another person is appointed for
that purpose;
(c) To manage the property of the ward frugally and without waste, and
apply the income and profits thereon, insofar as may be necessary, to the
 comfortable and suitable maintenance of the ward; and if such income and
profits be insufficient for that purpose, to sell or encumber the real or
personal property, upon being authorized by the court to do so;
(d) To consent to a partition of real or personal property owned by the ward
jointly or in common with others upon authority granted by the court after
hearing, notice to relatives of the ward, and a careful investigation as to
the necessity and propriety of the proposed action;
(e) To submit to the court a verified inventory of the property of his ward
within three months after his appointment, and annually thereafter, the
rendition of which may be required upon the application of an interested
person;
(f) To report to the court any property of the ward not included in the
inventory which is discovered, or succeeded to, or acquired by the ward
within three months after such discovery, succession, or acquisition; and
(g) To render to the court for its approval an accounting of the property
one year from his appointment, and every year thereafter or as often as
may be required.

SECTION 18. Power and duty of the court.— The court may:

(a) Request the assistance of one or more commissioners in the appraisal

of the property of the ward reported in the initial and subsequent
inventories;
(b) Authorize reimbursement to the guardian, other than a parent, of
reasonable expenses incurred in the execution of his trust, and allow
payment of compensation for his services as the court may deem just, not
exceeding ten per centum of the net income of the ward, if any; otherwise,
in such amount the court determines to be a reasonable compensation for
his services; and
(c) Upon complaint of the guardian or ward, or of any person having actual
or prospective interest in the property at the ward, require any person
suspected of having embezzled, concealed, or disposed of any money,
goods or interest, or a written instrument belonging to the ward or his
property to appear for examination concerning any thereof and issue such
orders as would secure the property against such embezzlement,
concealment or conveyance.

SECTION 19. Petition to sell or encumber property.— When the income of a

property under guardianship is insufficient to maintain and educate the ward,
or when it is for his benefit that his personal or real property or any part thereof
be sold, mortgaged or otherwise encumbered, and the proceeds invested in safe
and productive security, or in the improvement or security of other real property,
the guardian may file a verified petition setting forth such facts, and praying that
an order issue authorizing the sale or encumbrance of the property.
 SECTION 20. Order to show cause.— If the sale or encumbrance is
necessary or would be beneficial to the ward, the court shall order his next of
kin and all person/s interested in the property to appear at a reasonable time
and place therein specified and show cause why the petition should not be
granted.

SECTION 21. Hearing on return of order; costs.— At the time and place
designated in the order to show cause, the court shall hear the allegations and
evidence of the petitioner and next of kin, and other persons interested, together
with their witnesses, and grant or deny the petition as the best interests of the
ward may require.

SECTION 22. Contents of order for sale or encumbrance and its duration;
bond.— If, after full examination, it is necessary, or would be beneficial to the
ward, to sell or encumber the property, or some portion of it, the court shall
order such sale or encumbrance the proceeds of which shall be expended for the
maintenance or the education of the ward, or invested as the circumstances may
require. The order shall specify the grounds for the sale or encumbrance and
may direct that the property ordered sold be disposed of at public sale, subject
to such conditions as to the time and manner of payment, and security where a
part of the payment is deferred. The original bond of the guardian shall stand as
security for the proper appropriation of the proceeds of the sale or encumbrance,
but the court may, if deemed expedient, require an additional bond as a
condition for the sale or encumbrance. The authority to sell or encumber shall
not extend beyond one year, unless renewed by the court.

SECTION 23. Court may order investment of proceeds and direct

management of property.— The court may authorize and require the guardian to
invest the proceeds of sales or encumbrances, and any other money of his ward
in his hands, in real or personal property, for the best interests of the ward, and
may make such other orders for the management, investment, and disposition
of the property and effects, as circumstances may warrant.

SECTION 24. Grounds for removal or resignation of guardian.— When a

guardian becomes insane or otherwise incapable of discharging his trust or is
found thereafter to be unsuitable, or has wasted or mismanaged the property of
the ward, or has failed to render an account or make a return for thirty days
after it is due, the court may, upon reasonable notice to the guardian, remove
him as such and require him to surrender the property of the ward to the person
found to be lawfully entitled thereto.

The court may allow the guardian to resign for justifiable causes.

Upon the removal or resignation of the guardian, the court shall appoint a
new one.
 No motion for removal or resignation shall be granted unless the guardian
has submitted the proper accounting of the property of the ward and the court
has approved the same.

SECTION 25. Ground for termination of guardianship.— The court motu

proprio or upon verified motion of any person allowed to file a petition for
guardianship may terminate the guardianship on the ground that the ward has
come of age or has died. The guardian shall notify the court of such fact within
ten days of its occurrence.

SECTION 26. Service of final and executory judgment or order.— The final
and executory judgment or order shall be served upon the Local Civil Registrar
of the municipality or city where the minor resides and the Register of Deeds of
the province or city where his property or any part thereof is situated. Both the
Local Civil Registrar and’ the Register of Deeds shall enter the final and executory
judgment or order in the appropriate books in their offices.

SECTION 27. Effect of the rule.— This Rule amends Rules 92 to 97 inclusive
of the Rules of Court on guardianship of minors. Guardianship of incompetents
who are not minors shall continue to be under the jurisdiction of the regular
courts and governed by the Rules of Court.

SECTION 28. Effectivity.— This Rule shall take effect on May 1, 2003
following its publication in a newspaper of general circulation not later than April
15, 2003.