Matthews v. Taylor
G.R. No. 164584
June 22, 2009
Facts:
Benjamin Taylor, a British subject, was married to Joselyn Taylor on June 30, 1988. While their marriage was subsisting, the couple bought a parcel of land in Boracay. The sale was allegedly financed by Benjamin. All required permits and licenses for the operation of the resort were obtained in the name of Ginna Celestino, Joselyn’s sister. When the relationship turned sour, Joselyn ran away with another man. In 1992, she executed a special power of attorney in favor of Benjamin so he could maintain, sell, lease, and sublease the property in Boracay.
Later that year, Joselyn entered into an agreement of lease with Philip Matthews. In the contract of agreement, Benjamin’s signature appeared on the last page under the phrase “signed in the presence of.” However, Benjamin later instituted an action for Declaration of Nullity of Agreement of Lease with Damages because his consent was not obtained and that the property was conjugal. Matthews claimed he was in good faith.
Issue:
Does Benjamin’s non-consent nullify the Agreement of Lease?
Ruling:
No. It is a clear mandate from the Constitution that aliens may not be able to acquire lands in the Philippines if they do not fall within the exceptions. The pertinent constitutional provision is Article XII, Section 7 of the 1987 Constitution, which states
Save in cases of hereditary succession, no private lands shall be transferred or conveyed except to individuals, corporations, or associations qualified to acquire or hold lands of the public domain.
Hence, even if the property was purchased by the alien, he cannot claim that trust was created in his favor because the contract was illegal to begin with. Since in the Deed of Sale, Joselyn’s name was listed as the vendee, she acquired sole ownership thereto. Thus, Benjamin’s consent is not even required in the lease agreement.
It's a Ping Thing 