Art. 572.

The usufructuary may personally enjoy the thing in usufruct, lease it to another, or alienate his
right of usufruct, even by a gratuitous title; but all the contracts he may enter into as such usufructuary
shall terminate upon the expiration of the usufruct, saving leases of rural lands, which shall be
considered as subsisting during the agricultural year

Art 603. Usufruct is extinguished:

b) By the expiration of the period for which it was constituted,

Title VI. - USUFRUCT

CHAPTER 1

USUFRUCT IN GENERAL

Art. 562. Usufruct gives a right to enjoy the property of another with the obligation of preserving its
form and substance, unless the title constituting it or the law otherwise provides. (467)

Art. 563. Usufruct is constituted by law, by the will of private persons expressed in acts inter vivos or in a
last will and testament, and by prescription. (468)

Art. 564. Usufruct may be constituted on the whole or a part of the fruits of the thing, in favor of one
more persons, simultaneously or successively, and in every case from or to a certain day, purely or
conditionally. It may also be constituted on a right, provided it is not strictly personal or
intransmissible. (469)

Art. 565. The rights and obligations of the usufructuary shall be those provided in the title constituting
the usufruct; in default of such title, or in case it is deficient, the provisions contained in the two
following Chapters shall be observed. (470)

CHAPTER 2

RIGHTS OF THE USUFRUCTUARY

Art. 566. The usufructuary shall be entitled to all the natural, industrial and civil fruits of the property in
usufruct. With respect to hidden treasure which may be found on the land or tenement, he shall be
considered a stranger. (471)

Art. 567. Natural or industrial fruits growing at the time the usufruct begins, belong to the usufructuary.

Those growing at the time the usufruct terminates, belong to the owner.
In the preceding cases, the usufructuary, at the beginning of the usufruct, has no obligation to refund to
the owner any expenses incurred; but the owner shall be obliged to reimburse at the termination of the
usufruct, from the proceeds of the growing fruits, the ordinary expenses of cultivation, for seed, and
other similar expenses incurred by the usufructuary.

The provisions of this article shall not prejudice the rights of third persons, acquired either at the
beginning or at the termination of the usufruct. (472)

Art. 568. If the usufructuary has leased the lands or tenements given in usufruct, and the usufruct
should expire before the termination of the lease, he or his heirs and successors shall receive only the
proportionate share of the rent that must be paid by the lessee. (473)

Art. 569. Civil fruits are deemed to accrue daily, and belong to the usufructuary in proportion to the time
the usufruct may last. (474)

Art. 570. Whenever a usufruct is constituted on the right to receive a rent or periodical pension, whether
in money or in fruits, or in the interest on bonds or securities payable to bearer, each payment due shall
be considered as the proceeds or fruits of such right.

Whenever it consists in the enjoyment of benefits accruing from a participation in any industrial or
commercial enterprise, the date of the distribution of which is not fixed, such benefits shall have the
same character.

In either case they shall be distributed as civil fruits, and shall be applied in the manner prescribed in the
preceding article. (475)

Art. 571. The usufructuary shall have the right to enjoy any increase which the thing in usufruct may
acquire through accession, the servitudes established in its favor, and, in general, all the benefits
inherent therein. (479)

Art. 572. The usufructuary may personally enjoy the thing in usufruct, lease it to another, or alienate his
right of usufruct, even by a gratuitous title; but all the contracts he may enter into as such usufructuary
shall terminate upon the expiration of the usufruct, saving leases of rural lands, which shall be
considered as subsisting during the agricultural year. (480)

Art. 573. Whenever the usufruct includes things which, without being consumed, gradually deteriorate
through wear and tear, the usufructuary shall have the right to make use thereof in accordance with the
purpose for which they are intended, and shall not be obliged to return them at the termination of the
usufruct except in their condition at that time; but he shall be obliged to indemnify the owner for any
deterioration they may have suffered by reason of his fraud or negligence. (481)

Art. 574. Whenever the usufruct includes things which cannot be used without being consumed, the
usufructuary shall have the right to make use of them under the obligation of paying their appraised
value at the termination of the usufruct, if they were appraised when delivered. In case they were not
appraised, he shall have the right to return at the same quantity and quality, or pay their current price at
the time the usufruct ceases. (482)

Art. 575. The usufructuary of fruit-bearing trees and shrubs may make use of the dead trunks, and even
of those cut off or uprooted by accident, under the obligation to replace them with new plants. (483a)
Art. 576. If in consequence of a calamity or extraordinary event, the trees or shrubs shall have
disappeared in such considerable number that it would not be possible or it would be too burdensome
to replace them, the usufructuary may leave the dead, fallen or uprooted trunks at the disposal of the
owner, and demand that the latter remove them and clear the land. (484a)

Art. 577. The usufructuary of woodland may enjoy all the benefits which it may produce according to its
nature.

If the woodland is a copse or consists of timber for building, the usufructuary may do such ordinary
cutting or felling as the owner was in the habit of doing, and in default of this, he may do so in
accordance with the custom of the place, as to the manner, amount and season.

In any case the felling or cutting of trees shall be made in such manner as not to prejudice the
preservation of the land.

In nurseries, the usufructuary may make the necessary thinnings in order that the remaining trees may
properly grow.

With the exception of the provisions of the preceding paragraphs, the usufructuary cannot cut down
trees unless it be to restore or improve some of the things in usufruct, and in such case shall first inform
the owner of the necessity for the work. (485)

Art. 578. The usufructuary of an action to recover real property or a real right, or any movable property,
has the right to bring the action and to oblige the owner thereof to give him the authority for this
purpose and to furnish him whatever proof he may have. If in consequence of the enforcement of the
action he acquires the thing claimed, the usufruct shall be limited to the fruits, the dominion remaining
with the owner. (486)

Art. 579. The usufructuary may make on the property held in usufruct such useful improvements or
expenses for mere pleasure as he may deem proper, provided he does not alter its form or substance;
but he shall have no right to be indemnified therefor. He may, however, remove such improvements,
should it be possible to do so without damage to the property. (487)

Art. 580. The usufructuary may set off the improvements he may have made on the property against any
damage to the same. (488)

Art. 581. The owner of property the usufruct of which is held by another, may alienate it, but he cannot
alter its form or substance, or do anything thereon which may be prejudicial to the usufructuary. (489)

Art. 582. The usufructuary of a part of a thing held in common shall exercise all the rights pertaining to
the owner thereof with respect to the administration and the collection of fruits or interest. Should the
co-ownership cease by reason of the division of the thing held in common, the usufruct of the part
allotted to the co-owner shall belong to the usufructuary. (490)

CHAPTER 3

OBLIGATIONS OF THE USUFRUCTUARY

Art. 583. The usufructuary, before entering upon the enjoyment of the property, is obliged:

(1) To make, after notice to the owner or his legitimate representative, an inventory of all the property,
which shall contain an appraisal of the movables and a description of the condition of the immovables;

(2) To give security, binding himself to fulfill the obligations imposed upon him in accordance with this
Chapter. (491)

Art. 584. The provisions of No. 2 of the preceding article shall not apply to the donor who has reserved
the usufruct of the property donated, or to the parents who are usufructuaries of their children's
property, except when the parents contract a second marriage. (492a)

Art. 585. The usufructuary, whatever may be the title of the usufruct, may be excused from the
obligation of making an inventory or of giving security, when no one will be injured thereby. (493)

Art. 586. Should the usufructuary fail to give security in the cases in which he is bound to give it, the
owner may demand that the immovables be placed under administration, that the movables be sold,
that the public bonds, instruments of credit payable to order or to bearer be converted into registered
certificates or deposited in a bank or public institution, and that the capital or sums in cash and the
proceeds of the sale of the movable property be invested in safe securities.

The interest on the proceeds of the sale of the movables and that on public securities and bonds, and
the proceeds of the property placed under administration, shall belong to the usufructuary.

Furthermore, the owner may, if he so prefers, until the usufructuary gives security or is excused from so
doing, retain in his possession the property in usufruct as administrator, subject to the obligation to
deliver to the usufructuary the net proceeds thereof, after deducting the sums which may be agreed
upon or judicially allowed him for such administration. (494)

Art. 587. If the usufructuary who has not given security claims, by virtue of a promise under oath, the
delivery of the furniture necessary for his use, and that he and his family be allowed to live in a house
included in the usufruct, the court may grant this petition, after due consideration of the facts of the
case.

The same rule shall be observed with respect to implements, tools and other movable property
necessary for an industry or vocation in which he is engaged.

If the owner does not wish that certain articles be sold because of their artistic worth or because they
have a sentimental value, he may demand their delivery to him upon his giving security for the payment
of the legal interest on their appraised value. (495)

Art. 588. After the security has been given by the usufructuary, he shall have a right to all the proceeds
and benefits from the day on which, in accordance with the title constituting the usufruct, he should
have commenced to receive them. (496)

Art. 589. The usufructuary shall take care of the things given in usufruct as a good father of a
family. (497)
Art. 590. A usufructuary who alienates or leases his right of usufruct shall answer for any damage which
the things in usufruct may suffer through the fault or negligence of the person who substitutes
him. (498)

Art. 591. If the usufruct be constituted on a flock or herd of livestock, the usufructuary shall be obliged
to replace with the young thereof the animals that die each year from natural causes, or are lost due to
the rapacity of beasts of prey.

If the animals on which the usufruct is constituted should all perish, without the fault of the
usufructuary, on account of some contagious disease or any other uncommon event, the usufructuary
shall fulfill his obligation by delivering to the owner the remains which may have been saved from the
misfortune.

Should the herd or flock perish in part, also by accident and without the fault of the usufructuary, the
usufruct shall continue on the part saved.

Should the usufruct be on sterile animals, it shall be considered, with respect to its effects, as though
constituted on fungible things. (499a)

Art. 592. The usufructuary is obliged to make the ordinary repairs needed by the thing given in usufruct.

By ordinary repairs are understood such as are required by the wear and tear due to the natural use of
the thing and are indispensable for its preservation. Should the usufructuary fail to make them after
demand by the owner, the latter may make them at the expense of the usufructuary. (500)

Art. 593. Extraordinary repairs shall be at the expense of the owner. The usufructuary is obliged to notify
the owner when the need for such repairs is urgent. (501)

Art. 594. If the owner should make the extraordinary repairs, he shall have a right to demand of the
usufructuary the legal interest on the amount expended for the time that the usufruct lasts.

Should he not make them when they are indispensable for the preservation of the thing, the
usufructuary may make them; but he shall have a right to demand of the owner, at the termination of
the usufruct, the increase in value which the immovable may have acquired by reason of the
repairs. (502a)

Art. 595. The owner may construct any works and make any improvements of which the immovable in
usufruct is susceptible, or make new plantings thereon if it be rural, provided that such acts do not cause
a diminution in the value of the usufruct or prejudice the right of the usufructuary. (503)

Art. 596. The payment of annual charges and taxes and of those considered as a lien on the fruits, shall
be at the expense of the usufructuary for all the time that the usufruct lasts. (504)

Art. 597. The taxes which, during the usufruct, may be imposed directly on the capital, shall be at the
expense of the owner.

If the latter has paid them, the usufructuary shall pay him the proper interest on the sums which may
have been paid in that character; and, if the said sums have been advanced by the usufructuary, he shall
recover the amount thereof at the termination of the usufruct. (505)
Art. 598. If the usufruct be constituted on the whole of a patrimony, and if at the time of its constitution
the owner has debts, the provisions of Articles 758 and 759 relating to donations shall be applied, both
with respect to the maintenance of the usufruct and to the obligation of the usufructuary to pay such
debts.

The same rule shall be applied in case the owner is obliged, at the time the usufruct is constituted, to
make periodical payments, even if there should be no known capital. (506)

Art. 599. The usufructuary may claim any matured credits which form a part of the usufruct if he has
given or gives the proper security. If he has been excused from giving security or has been able to give it,
or if that given is not sufficient, he shall need the authorization of the owner, or of the court in default
thereof, to collect such credits.

The usufructuary who has given security may use the capital he has collected in any manner he may
deem proper. The usufructuary who has not given security shall invest the said capital at interest upon
agreement with the owner; in default of such agreement, with judicial authorization; and, in every case,
with security sufficient to preserve the integrity of the capital in usufruct. (507)

Art. 600. The usufructuary of a mortgaged immovable shall not be obliged to pay the debt for the
security of which the mortgage was constituted.

Should the immovable be attached or sold judicially for the payment of the debt, the owner shall be
liable to the usufructuary for whatever the latter may lose by reason thereof. (509)

Art. 601. The usufructuary shall be obliged to notify the owner of any act of a third person, of which he
may have knowledge, that may be prejudicial to the rights of ownership, and he shall be liable should he
not do so, for damages, as if they had been caused through his own fault. (511)

Art. 602. The expenses, costs and liabilities in suits brought with regard to the usufruct shall be borne by
the usufructuary. (512)

CHAPTER 4

EXTINGUISHMENT OF USUFRUCT

Draft me an agreement to pay 100k as partial payment to the obligation, provided that the mortgagor
will order the lessee to vacate my house, so that I can clean it up and prepare it for selling. The
remaining balance will be paid out of the proceeds of the sale

Art. 603. Usufruct is extinguished:

(1) By the death of the usufructuary, unless a contrary intention clearly appears;

(2) By the expiration of the period for which it was constituted, or by the fulfillment of any resolutory
condition provided in the title creating the usufruct;

(3) By merger of the usufruct and ownership in the same person;

(4) By renunciation of the usufructuary;

(5) By the total loss of the thing in usufruct;

(6) By the termination of the right of the person constituting the usufruct;

(7) By prescription. (513a)

Art. 604. If the thing given in usufruct should be lost only in part, the right shall continue on the
remaining part. (514)

Art. 605. Usufruct cannot be constituted in favor of a town, corporation, or association for more than
fifty years. If it has been constituted, and before the expiration of such period the town is abandoned, or
the corporation or association is dissolved, the usufruct shall be extinguished by reason thereof. (515a)

Art. 606. A usufruct granted for the time that may elapse before a third person attains a certain age, shall
subsist for the number of years specified, even if the third person should die before the period expires,
unless such usufruct has been expressly granted only in consideration of the existence of such
person. (516)

Art. 607. If the usufruct is constituted on immovable property of which a building forms part, and the
latter should be destroyed in any manner whatsoever, the usufructuary shall have a right to make use of
the land and the materials.

The same rule shall be applied if the usufruct is constituted on a building only and the same should be
destroyed. But in such a case, if the owner should wish to construct another building, he shall have a
right to occupy the land and to make use of the materials, being obliged to pay to the usufructuary,
during the continuance of the usufruct, the interest upon the sum equivalent to the value of the land
and of the materials. (517)

Art. 608. If the usufructuary shares with the owner the insurance of the tenement given in usufruct, the
former shall, in case of loss, continue in the enjoyment of the new building, should one be constructed,
or shall receive the interest on the insurance indemnity if the owner does not wish to rebuild.

Should the usufructuary have refused to contribute to the insurance, the owner insuring the tenement
alone, the latter shall receive the full amount of the insurance indemnity in case of loss, saving always
the right granted to the usufructuary in the preceding article. (518a)

Art. 609. Should the thing in usufruct be expropriated for public use, the owner shall be obliged either to
replace it with another thing of the same value and of similar conditions, or to pay the usufructuary the
legal interest on the amount of the indemnity for the whole period of the usufruct. If the owner chooses
the latter alternative, he shall give security for the payment of the interest. (519)

Art. 610. A usufruct is not extinguished by bad use of the thing in usufruct; but if the abuse should cause
considerable injury to the owner, the latter may demand that the thing be delivered to him, binding
himself to pay annually to the usufructuary the net proceeds of the same, after deducting the expenses
and the compensation which may be allowed him for its administration. (520)

Art. 611. A usufruct constituted in favor of several persons living at the time of its constitution shall not
be extinguished until death of the last survivor. (521)
Art. 612. Upon the termination of the usufruct, the thing in usufruct shall be delivered to the owner,
without prejudice to the right of retention pertaining to the usufructuary or his heirs for taxes and
extraordinary expenses which should be reimbursed. After the delivery has been made, the security or
mortgage shall be cancelled. (522a)

Certainly! Here’s a draft letter you can use for this situation:

---

30 July 2024

Dear Mrs. Liza Inquig

I hope this letter finds you well. I am writing on behalf of my parents, RODRIGO DAYOT SR. and GENIMA
DELICANA, to address the outstanding obligation concerning the mortgage of their property located at
Brgy. Mangnao, Dumaguete City.

In an effort to resolve this matter, my father is prepared to make a partial payment of PhP 100,000 today
towards the total outstanding balance. This payment is contingent upon the following condition:

Immediate Action for Vacating the Property: I sincerely request that you, as the surviving spouse of the
mortgagee MR. RAFAEL INQUIG, order the current lessee to vacate the said mortgaged property as soon
as possible. This will allow us to clean, prepare, and make necessary repairs and improvements in order
to list the property for sale.

Based on the terms of the Mortgage Contract executed last April 2010 between my mother, Genima
Delicana, and your late husband, Mr. Rafael Inquig, the mortgagee was given usufructuary rights over the
property, hence, your husband leased the said property to other persons.

Under the law, the usufructuary may personally enjoy the thing in usufruct, lease it to another, or
alienate his right of usufruct, even by a gratuitous title; but all the contracts he may enter into as such
usufructuary shall terminate upon the expiration of the usufruct. Further, under the law, usufruct is
extinguished: (1) by the death of the usufructuary, unless a contrary intention clearly appears; and (2)
by the expiration of the period for which it was constituted, among others.

Thus, the usufructuary rights over the said property has already terminated, and the right to enjoy the
fruits or rent over the property had already ceased a long time ago.

Please be guided that my parents, the mortgagors, are committed to fulfilling their obligations. However,
it is important to emphasize that the mortgagees, as parties to the mortgage contract, retain ownership
rights over the property and thus have the legal authority to manage or dispose of it. This right, however,
is restricted while there are lessees still residing in the property.

Rest assured that the remaining balance of the obligation will be settled from the proceeds of the sale of
the property. I will provide you with a detailed accounting of the sale and promptly pay any outstanding
balance from the proceeds.

Thank you for your attention to this matter. I look forward to your positive response and to resolving this
obligation in an efficient and mutually beneficial manner.

Sincerely,

ATTY. RAIZA DAWN DELICANA DAYOT