When the parties spouses suffer from a legal impediment to marry or when they do not live exclusively with each other as husband and wife, the provisions of Article 148 of the Family Code apply, where only the properties acquired by both of the parties through their actual joint contribution of money, property, or industry shall be owned by them in common in proportion to their respective contributions. Proof of actual contribution is required, unlike in situations covered by Article 147. In the absence of proof of extent of the parties’ respective contribution, their share are presumed to be equal. The same rule and presumption shall apply to joint deposits of money and evidences of credit.
If one of the parties is validly married to another, his or her share in the co-ownership shall accrue to the absolute community or conjugal partnership existing in such valid marriage. If the party who acted in bad faith is not validly married to another, his or her shall be forfeited in the manner provided in the last paragraph of the preceding Article.
The foregoing rules on forfeiture shall likewise apply even if both parties are in bad faith. (Agapay vs. Palang, G.R. No. 116668 July 28 1997; Article 148, FC)
