Vda de Albar V Carandang

Vda.
De Albar v Carandang - Due to the destruction of the building on the Ongpin property, the US War
Usufruct (Insurance) | Jan 18, 2017 | J. Mendoza Damage Commission approved the claim that was presented for the
damage caused to the property in the amount of P8, 574, which was paid to
Nature of Case: original action for certiorari and received by the naked owners.
Digest maker: MReynoso - The usufructuary paid real estate taxes for the years 1945 to 1952 in the total
SUMMARY: In dispute is the lot + building left by Donya Rosario, who wanted the amount of P1,989.27 as well as the real estate taxes for the years 1953 - 1954
naked ownership to be with Vda. De Albar, but the usufruct with Josefa Fabie for
(P295.80)
life. The building burnt down. Now, Vda. De Albar is arguing that the usufructuary
- Oct. 2, 1952 - Vda. De Albar et al commenced the present action to settle the
has extinguished and the rentals of the newly built building should belong to him.
DOCTRINE: dispute. They wanted a declaration stating that the usufruct in favor of
Josefa Fabie is now only limited to receiving the legal interest on the value
FACTS: of the land, and her right to receive any rental under the contract entered
- Donya Rosario Fabie y Grey owned a lot in Manila with a building and into between the parties already ceased.
improvements erected. Her will stated that she wanted the naked - TC: (it’s in Spanish but from my zero experience, this is what it said) In
ownership of the whole property to Rosario Grey Vda. De Albar, et al, but favor of the Usufruct.
its usufruct to Josefa Fabie for life. This was expressly noted in the new title.
- CA: Affirmed the decision
o “I go to my minor goddaughter Maria Josefa de la Paz Fabie, in
lifetime usufruct the income of the farms located in Santo Cristo -
street. . . and on Ongpin Street, Numbers 950 to 956 of the District
of Santa Cruz, Manila.” (Google Translate) ISSUE/S & RATIO:
- There was an encumbrance noted on the title prohibiting the usufructuary Whether or not the usufruct included the building and the land? YES
- Lopez v Constantino: When both land and building belong to the same
from selling, mortgaging or transferring Josefa’s right of usufruct during her
owner, as in this case, the rents on the building constitute an earning of the
minority.
capital invested in the acquisition of both land and building. There can be a
- During liberation, as a consequence of the fire that gutted the buildings in
land without a building, but there can be no building without land. The
many portions of Manila, the building on the Ongpin lot was burned. The
land, being an indispensable part of the rented premises cannot be
only things not destroyed by the fire were the walls and other
considered as having no rental value whatsoever.
improvements.
- From the above, it is clear that when the deceased constituted the life
- Au Pit, a Chinaman, offered to lease the property for five years for P500. He
usufruct on the rentals of the "fincas situadas" in Ongpin and Sto. Cristo
also offered to construct a new building on the lot worth P30k, provided
streets, she meant to impose the encumbrance both on the building and the
that the naked owners as well as the usufructuary sign the agreement of
land on which it is erected for indeed the building cannot exist without the
lease.
land.
o Usufructuary: argued that she has the exclusive right to cede the
- Moreover, in the Spanish language, the term "fincas" has a broad scope; it
property by lease and to receive the full rental value by virtue of
includes not only building but land as well.
her right of usufruct
- Since only the building was destroyed and the usufruct is constituted not
o Naked Owners: argued that the right of usufruct was extinguished
only on the building but on the land as well, then the usufruct is not deemed
when the building was destroyed, the right of usufructuary was
extinguished by the destruction of the building for under the law usufruct is
limited to the legal interest on the value of the lot and the materials.
extinguished only by the total loss of the thing subject of the encumbrance
o But since both wanted to execute the lease agreement, they agreed
on a temporary compromise where the naked owners would
receive P100 or 20% of the monthly rental and the usufructuary
RULING:
would receive 80% or P400. It was also stipulated in the agreement Ruled in favor of Josefa
that the title to the building to be constructed would accrue to the
land upon completion in the name of the naked owners but subject
to the right of usufruct f Josefa.

Vda de Albar V Carandang

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