Consent is Crucial in Validating Property Donations

Cardinez v. Spouses Cardinez, G.R. No. 213001, August 04, 2021

Imagine inheriting a piece of land from your family, only to find out years later that you unknowingly signed it away due to a misunderstanding. This is precisely what happened to Prudencio and Cresencia Cardinez, highlighting the critical role of consent in property transactions. In a case that reached the Supreme Court of the Philippines, the validity of a deed of donation was questioned, shedding light on the essential elements required for such legal documents to hold up in court.

The Cardinez case involved a family dispute over a 1,950-square meter parcel of land inherited by three brothers. Prudencio, one of the heirs, was allegedly tricked into signing a deed of donation by his brother Valentin, believing it was for a different purpose. The central legal question was whether the deed was valid given the absence of Prudencio’s informed consent.

Legal Context: The Essentials of Consent in Donations

In the Philippines, the Civil Code governs contracts, including donations. Article 1318 of the Civil Code states that a valid contract must have three requisites: consent of the contracting parties, an object certain which is the subject matter of the contract, and a cause of the obligation which is established. For a donation to be valid, the donor must freely and knowingly give their consent to transfer ownership of the property to the donee.

Consent, as defined in Article 1330 of the Civil Code, must be intelligent, free, and spontaneous. This means the donor must have a clear understanding of what they are agreeing to. If consent is vitiated by fraud, mistake, or undue influence, the contract may be voidable. However, if consent is completely absent, as in the case where the donor is unaware of the true nature of the document they are signing, the contract is void ab initio, or from the beginning.

Consider a scenario where a homeowner agrees to donate a portion of their property to a neighbor for a community garden, but the document they sign is actually for the entire property. If the homeowner did not understand the document’s contents, the donation would be void due to the lack of consent.

Case Breakdown: The Journey of the Cardinez Family

The Cardinez family’s saga began when Simeona Cardinez passed away, leaving her land to her sons Prudencio, Florentino, and Valentin. The land was divided equally among them, and Prudencio registered his portion under Tax Declaration No. 18237. In 1994, Valentin asked Prudencio to sign a document, claiming it was for the partition of the land. Unbeknownst to Prudencio, it was a deed of donation transferring his property to Valentin’s children.

Years later, Prudencio discovered that his land was no longer in his name. His sons, Henry and Nelson, investigated and found a notarized Deed of Donation dated April 26, 1994, which appeared to have been signed by Prudencio and his wife Cresencia. However, Prudencio insisted he never intended to donate his land and was misled by Valentin.

The case proceeded through the courts. The Regional Trial Court (RTC) ruled that the deed was voidable due to fraud, while the Court of Appeals (CA) declared it void ab initio because of the complete absence of consent. The Supreme Court upheld the CA’s decision, emphasizing the importance of consent in donations:

“Consent is absent in the instant case. Consent, to be valid, must have the following requisites: (1) intelligent or with an exact notion of the matter to which it refers; (2) free; and (3) spontaneous. The parties’ intention should be clear; otherwise, the donation is rendered void in the absence thereof.”

The Supreme Court also noted that the notarized document did not enjoy the presumption of regularity due to the testimony of Eufrosina’s death before the deed’s execution:

“Interestingly, Eufrosina, the wife of Valentin and one of the signatories in the Deed, died in 1958, or 36 years before the Deed of Donation was executed. It is worthy to note that Isidro, one of the petitioners, admitted his mother’s demise during the trial.”

Finally, the Court ruled that actions to declare the inexistence of a void contract do not prescribe, allowing Prudencio to seek reconveyance of his property at any time.

Practical Implications: Ensuring Valid Property Donations

This ruling underscores the importance of ensuring that all parties fully understand and consent to the terms of a donation. Property owners should:

• Read and understand any legal document before signing.
• Seek legal advice to clarify the contents of complex documents.
• Ensure that notaries explain the document’s purpose and contents.

Businesses and individuals involved in property transactions should be cautious about the authenticity and validity of documents. The case also highlights the need for vigilance in verifying the identity of signatories, especially in notarized documents.

Key Lessons:

• Consent must be informed and freely given for a donation to be valid.
• Notarization does not automatically validate a document if consent is absent.
• Actions to annul void contracts are imprescriptible, allowing for legal recourse at any time.

Frequently Asked Questions

What is a deed of donation?

A deed of donation is a legal document that formalizes the transfer of property from a donor to a donee without any monetary exchange.

What happens if consent is missing in a deed of donation?

If consent is absent, the deed is void from the beginning, and the property remains with the original owner.

Can a notarized document be challenged in court?

Yes, a notarized document can be challenged if it can be proven that the consent was not given or was obtained fraudulently.

How long do I have to challenge a void deed of donation?

Actions to declare the inexistence of a void contract do not prescribe, meaning you can challenge it at any time.

What should I do if I suspect I signed a document under false pretenses?

Seek legal advice immediately to understand your rights and the steps you can take to rectify the situation.

ASG Law specializes in property law and civil litigation. Contact us or email hello@asglawpartners.com to schedule a consultation.