Rights of A Co-Owner and Its Limitations: Civil Code
Rights of A Co-Owner and Its Limitations: Civil Code
Rights of A Co-Owner and Its Limitations: Civil Code
LAPINID
RIGHTS OF A CO-OWNER AND ITS LIMITATIONS A co-owner has an absolute ownership of his
EXTENT OF THE RIGHT OF A CO-OWNER undivided and pro-indiviso share in the co-owned
A co-owner is an owner not only to the part that property. He has the right to alienate, assign and
pertains to him but also of the entire co-owned property. mortgage it, even to the extent of substituting a third
Being the owner of the entire co-owned property, a co- person in its enjoyment provided that no personal
owner can exercise all the attributes of ownership with rights will be affected. This is evident from the Article
respect to the entire property. In exercising his 493 Civil Code.
attributes of ownership, it may conflict with the rights of
the other co-owners. A co-owner is an owner of the whole and over the
whole he exercises the right of dominion, but he is at
LIMITATIONS the same time the owner of a portion, which is truly
While the co-owner has rights over the entire co-owned abstract. Hence, his co-owners have no right to
property, he may use the co-owned property only: enjoin a co-owner who intends to alienate or
1. For the purpose for which it is intended substitute his abstract portion or substitute a third
2. Without prejudice to the interests of the co- person in its enjoyment.
ownership and
3. Without preventing others from making use A co-owner has an absolute right to share his undivided
thereof according to their own rights share even if the act of selling is an act of alteration.
Purpose for which it is intended ALTERATION
The co-owner should use the co-owned property in It is an act of an alteration because you will be causing
accordance with the agreement he has with his co- the transfer of ownership rights.
owners, if there is any.
Rule of co-ownership regarding an act of
If there is none, that use for which it is ordinarily alteration:
adapted according to its nature (e.g. house only for • Must be concurred in by all co-owners.
living and not to be used as a factory) or use to which it • Otherwise, alteration would be illegal and would
has been previously devoted.
thus be nullified.
Illustration: Qualification to the rule:
There is an existing agreement regarding rental of a
• If the co-owner would sell his undivided (?) share, it
commercial building. If one of the co-owners would use
is an act of alteration.
a portion of the commercial building, he must pay the • If the co-owner would sell his undivided share, that
appropriate rentals.
is allowed by law pursuant to Article 493.
If there is no agreement as to how the property should Legal effects of the sale of an undivided share:
be used, we go by the nature of the property. A co-
When a co-owner effects the sale of his undivided share,
owner must use a co-owned property in accordance with
he is not selling a particular portion of the co-owned
the use for which that property is ordinarily adopted.
property. He is selling only his undivided interest, which
pending partition, is something that is abstract.
If it is an ancestral residential house, the co-owner will
use it only for residential purposes. He cannot insist to
The buyer of that selling co-owner, cannot insist that
use it or a portion thereof for commercial purposes. what is bought is a specific portion because technically
Such insistence would violate the rule pertaining to the
upon entering into a contract of lease [sale] with that
limitations on the exercise of his right of ownership.
co-owner, what is bought is his interest in the co-
ownership.
RIGHT TO SELL UNDIVIDED SHARE
Art. 493. Each co-owner shall have the full Therefore, the buyer needs to await the result of the
ownership of his part and of the fruits and benefits partition before he can claim a specific portion in that
pertaining thereto, and he may therefore alienate, co-owned property.
assign or mortgage it, and even substitute another
person in its enjoyment, except when personal rights Validity of the sale by a co-owner:
are involved. But the effect of the alienation or the The sale is valid even if technically the subject matter is
mortgage, with respect to the co-owners, shall be his interest in the co-ownership and not a specific
limited to the portion, which may be allotted to him portion of the property.
in the division upon the termination of the co-
ownership. Property | Atty. Gravador | A.Y. 2020 – 2021 | AGregorio
RIGHT TO BRING SUIT IN BEHALF OF THE OTHER property. The matter about impleading an indispensable
CO-OWNERS party becomes merely a procedural matter.
Qualification to the rule allowing filing of suit by
CARANDANG v. HEIRS OF DE GUZMAN
one co-owner without participation of other co-
In this connection, Article 1811 of the Civil
owners
Code provides that:
ADLAWAN v. ADLAWAN
"[a] partner is a co-owner with the other partners of
For a case to prosper, even if filed only by one co-
specific partnership property."
owner, that suing co-owner must recognize the
existence of the co-ownership. In other words, on
Taken with the presumption of the conjugal nature of
the face of the allegations of the complaint, it must
the funds used to finance the four checks used to
be clear and apparent that he is bringing it for and in
pay for petitioners' stock subscriptions, and with the
behalf of the other co-owners.
presumption that the credits themselves are part of
conjugal funds, Article 1811 makes Quirino and
If on the face of the complaint the suing co-owner
Milagros de Guzman co-owners of the alleged credit.
disowns the existence of the co-ownership, he cannot
later on backtrack and say that he is bringing it for
Being co-owners of the alleged credit, Quirino and
and behalf of the co-owners for the purpose of
Milagros de Guzman may separately bring an action
saving his case from eventual dismissal.
for the recovery thereof. In the fairly recent cases
of Baloloy v. Hular and Adlawan v. Adlawan, we
held that, in a co-ownership, co-owners may bring RIGHT TO BRING SUIT
actions for the recovery of co-owned property RESUENA v. CA
without the necessity of joining all the other co- Article 487 of the Civil Code is a categorical and an
owners as co-plaintiffs because the suit is presumed unqualified authority in favor of respondent to evict
to have been filed for the benefit of his co-owners. petitioners from the portions of Lot No. 2587. This
provision is a departure from Palarca v.
Baguisi, which held that an action for ejectment
General Rule:
must be brought by all the co-owners. Thus, a co-
ART. 487. Any one of the co-owners may bring an owner may bring an action to exercise and protect
action in ejectment the rights of all. When the action is brought by one
co-owner for the benefit of all, a favorable decision
will benefit them; but an adverse decision cannot
Rule in Remedial Law qualified by Civil Code prejudice their rights.
There is a rule in procedural law or remedial law that for
a case to prosper, all indispensable parties must be Respondent's action for ejectment against petitioners
impleaded. is deemed to be instituted for the benefit of all co-
owners of the property since petitioners were not
Applying this remedial law principle, technically all the able to prove that they are authorized to occupy the
co-owners are indispensable parties and therefore all of same.
them should be impleaded in the case.
The General Rule under Art. 487 was applied in this case
If an indispensable party is not impleaded, the court even in the light of the objection that other co-owners
would have no jurisdiction to proceed and any judgment should have been impleaded because the suing co-
that it may render without the presence of an owner recognized the existence of the co-ownership and
indispensable party would be void. such recognition was clearly inferred based on the
allegations in the complaint.
However, this is qualified by the provision of the Civil
Code in regard to the right of a co-owner in bringing a There must be recognition of the co-ownership on
suit for and in behalf of the co-owners. This is allowed the part of the suing co-owner
by the Civil Code.
ADLAWAN v. ADLAWAN
Petitioner cannot validly maintain the instant action considering
Civil Code is very clear in stating that any one of the co- that he does not recognize the co-ownership flowing from
owners may bring an action in ejectment. With the use succession to the property of his father. There is no merit in
of the word “ejectment” it refers to all real actions to petitioner's claim that he has the legal personality to file the
present unlawful detainer suit because it would benefit not only
recover ownership and possession of a co-owned him but also his alleged co-owners. However, petitioner forgets
that he filed the instant case to acquire possession of the property
and to recover damages. If granted, he alone will gain possession
Property
of the lot |and
Atty. Gravador
benefit from the| proceeds
A.Y. 2020 – 2021
of the award |ofAGregorio
damages
to the exclusion of the heirs of Graciana.
RULES ON WHO DECIDES THE FOLLOWING: OLD RULE
1. Acts of Preservation Co-owner may renounce his whole interest, and pertains
2. Acts of Administration to exemption in being required to contribute to future
3. Acts of Alteration expenses.
These are matters that normally confront the co-owners CRITICISM TO THE NEW RULE
while the co-ownership exists. When a co-owner from whom a contribution is asked
renounces, will that exempt him from claims that may be
EXPENSES OF PRESERVATION ETC. interposed by creditors?
This is more of a responsibility of a co-owner in regard Example: Renunciation of a portion of interest in
to expenses of preservation. co-ownership (Tolentino)
a. This is dacion en pago, subrogation, etc.
Expenses of preservation are such as would be b. Since this renunciation pertains to a debt
indispensable for the continued existence of the thing. already incurred, consent of the other co-owners
is required such as on the following matters:
ART. 488. Each co-owner shall have a right to valuation of the share
compel the other co-owners to contribute to the c. Effect on creditors (third party): Can the co-
expenses of preservation of the thing or right owned owner exempt himself to pay his share of the
in common and to the taxes. Any one of the latter expenses to the creditor simply by renouncing
may exempt himself from this obligation by an equivalent portion of his share in the co-
renouncing so much of his undivided interest as may ownership?
be equivalent to his share of the expenses and taxes.
No such waiver shall be made if it is prejudicial to the No. This cannot be done by a co-owner or cannot put
co-ownership this up as a defense because this constitutes novation by
change of debtor since he will be exempting himself
from liability. Thus, the debtors now would be the
Renunciation remaining co owners. This set-up requires consent of
Only leeway to a co-owner here is that if he does not creditor to be valid pursuant to the law on Obligations
want to contribute, he may renounce so much of his and Contracts.
undivided interest as may be equivalent to his share of
the expenses and taxes. Take note of these observations.