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FEDERICA ABALLE v. FORTUNATO SANTIAGO

This case has been cited 1 times or more.

2012-11-14
DEL CASTILLO, J.
Petitioner posits that Article 448 of the Civil Code does not apply and that respondent-spouses are not entitled to reimbursement of the value of the improvements made on the property because they were builders in bad faith.  At the outset, we emphasize that the issue of whether respondent-spouses are builders in good faith or bad faith is a factual question, which is beyond the scope of a petition filed under Rule 45 of the Rules of Court.[57]  In fact, petitioner is deemed to have waived all factual issues since it appealed the case directly to this Court,[58] instead of elevating the matter to the CA.  It has likewise not escaped our attention that after their failed preliminary conference, the parties agreed to submit the case for resolution based on the pleadings and exhibits presented.  No trial was conducted.  Thus, it is too late for petitioner to raise at this stage of the proceedings the factual issue of whether respondent-spouses are builders in bad faith.  Hence, in view of the special circumstances obtaining in this case, we are constrained to rely on the presumption of good faith on the part of the respondent-spouses which the petitioner failed to rebut.  Thus, respondent-spouses being presumed builders in good faith, we now rule on the applicability of Article 448 of the Civil Code.