A person may constitute, or be the beneficiary of, only one family home for purposes of availing the benefits of a family home. (Art. 161, FC)
Showing posts with label Family Home. Show all posts
Showing posts with label Family Home. Show all posts
Friday, January 31, 2014
What happens if the person constituting the family home dies?
If there are beneficiaries who survive and are living in the family home, it will continue for 10 years, unless at the expiration of 10 years, there is still a minor beneficiary, in which case the family home continues until that beneficiary becomes of age. (Patricio vs. Dario, G.R. No. 170829, November 20, 2006)
The family home shall continue for a period of ten (10) years or for as long as there is a minor beneficiary. The heirs cannot partition the same unless the court finds compelling reasons therefor. This rule shall apply regardless of whoever owns the property or constituted the family home. (Art. 159, FC)
What is the duration of the exemption against execution enjoyed by the family home?
The exemption is effective from the time of the constitution of the family home as such, and lasts so long as any of its beneficiaries actually resides therein. (Art. 153, FC)
What are the requisites to be a beneficiary of the family home?
To be a beneficiary of the family home, three requisites must concur:
(1) they must be among the relationships enumerated in Art. 154 of the Family Code;
(2) they live in the family home; and
(3) they are dependent for legal support upon the head of the family. (Patricio vs. Dario, G.R. No. 170829, November 20, 2006)
Who are the beneficiaries of the family home?
The beneficiaries of a family home are:
(1) The husband and wife, or an unmarried person who is the head of a family; and
(2) Their parents, ascendants, descendants, brothers and sisters, whether the relationship be legitimate or illegitimate, who are living in the family home and who depend upon the head of the family for legal support. (Art. 154,FC)
Can the family home be sold or otherwise alienated? Under what conditions?
The family home may be sold, alienated, donated, assigned or encumbered by the owner or owners thereof with the written consent of the person constituting the same, the latter's spouse, and a majority of the beneficiaries of legal age. In case of conflict, the court shall decide. (Art. 158, FC)
When should the protection against execution, forced sale or attachment enjoyed by the family home be invoked?
● At no other time can the status of a residential house as a family home can be set up and proved and its exemption from execution be claimed but before the sale thereof at public auction. (Sps. De Mesa v. Sps. Acero, G.R. No. 185064, 16 January 2012)
● While it is true that the family home is constituted on a house and lot from the time it is occupied as a family residence and is exempt from execution or forced sale under Article 153 of the Family Code, such claim for exemption should be set up and proved to the Sheriff before the sale of the property at public auction. Failure to do so would estop the party from later claiming the exemption. (Honrado v. Court of Appeals, G.R. No. 166333, November 25, 2005)
● The settled rule is that the right to exemption or forced sale under Article 153 of the Family Code is a personal privilege granted to the judgment debtor and as such, it must be claimed not by the sheriff, but by the debtor himself before the sale of the property at public auction. (Honrado v. Court of Appeals, ibid.)
What is the remedy of the judgment creditor if the value of the family home exceeds the maximum amount fixed by law?
When a creditor whose claims is not among those mentioned in Article 155 obtains a judgment in his favor, and he has reasonable grounds to believe that the family home is actually worth more than the maximum amount fixed in Article 157, he may apply to the court which rendered the judgment for an order directing the sale of the property under execution. The court shall so order if it finds that the actual value of the family home exceeds the maximum amount allowed by law as of the time of its constitution. If the increased actual value exceeds the maximum allowed in Article 157 and results from subsequent voluntary improvements introduced by the person or persons constituting the family home, by the owner or owners of the property, or by any of the beneficiaries, the same rule and procedure shall apply.
At the execution sale, no bid below the value allowed for a family home shall be considered. The proceeds shall be applied first to the amount mentioned in Article 157, and then to the liabilities under the judgment and the costs. The excess, if any, shall be delivered to the judgment debtor. (Art. 160, FC)
Up to what extent is the family home exempt from execution, forced sale or attachment?
Article 157 of the Family Code allows the exemption of the family home from execution, forced sale or attachment if its actual value does not exceed, at the time of its constitution, the amount of P300,000.00 in urban areas and P200,000.00 in rural areas, or such amounts as may be fixed by law. Should the value of the currency changes after the adoption of the Family Code, the value most favorable for the constitution of a family home shall be the basis of evaluation.
Urban areas are deemed to include chartered cities and municipalities whose annual income at least equals that legally required for chartered cities. All others are deemed to be rural areas.
When is a family home not exempt from execution, forced sale or attachment?
Under Art. 155 of the FC, while the family home shall be exempt from execution, forced sale or attachment, it may not be so except for:
(1) nonpayment of taxes;
(2) debts incurred prior to the constitution of the family home;
(3) debts secured by mortgages on the premises before or after such constitution; and
(4) debts due to laborers, mechanics, architects, builders, materialmen and others who have rendered service or furnished material for the construction of the building.
What is the law regarding the exemption of a family home from execution, forced sale or attachment?
Under Art. 153 of the Family Code, from the time of the constitution and so long as any of the beneficiaries of the family home actually resides therein, the family home is exempt from execution, forced sale or attachment except as provided for in Art. 155 of the Family Code and to the extent of the value allowed by law.
What are the rules on constitution of family homes for purposes of exemption from execution?
First, family residences constructed before the effectivity of the Family Code or before August 3, 1988 must be constituted as a family home either judicially or extrajudicially in accordance with the provisions of the Civil Code in order to be exempt from execution;
Second, family residences constructed after the effectivity of the Family Code on August 3, 1988 are automatically deemed to be family homes and thus exempt from execution from the time it was constituted and lasts as long as any of its beneficiaries actually resides therein;
Third, family residences which were not judicially or extrajudicially constituted as a family home prior to the effectivity of the Family Code, but were existing thereafter, are considered as family homes by operation of law and are prospectively entitled to the benefits accorded to a family home under the Family Code. (Sps. De Mesa v. Sps. Acero, G.R. No. 185064, 16 January 2012)
How is family home constituted?
Before the effectivity of the Family Code on August 3, 1988, a family home can constituted either judicially or extra-judicially as provided under Articles 225, 229-231 and 233 of the Civil Code. Judicial constitution of the family home requires the filing of a verified petition before the courts and the registration of the court’s order with the Registry of Deeds of the area where the property is located. Meanwhile, extrajudicial constitution is governed by Articles 240 to 242 of the Civil Code and involves the execution of a public instrument which must also be registered with the Registry of Property. (Sps. De Mesa v. Sps. Acero, G.R. No. 185064, 16 January 2012)
After the effectivity of the Family Code: Under the Family Code, a family home is deemed constituted on a house and lot from the time it is occupied as a family residence. There is no need to constitute the same judicially or extrajudicially as required in the Civil Code. (Modequillo vs. Breva, GR. No. 86355, May 31, 1990) All family homes constructed after the effectivity of the Family Code are constituted as such by operation of law. All existing family residences as of August 3, 1988 are considered family homes and are prospectively entitled to the benefits accorded to a family home under the Family Code. (Kelley, Jr. v. Planters Products, Inc., G.R. No. 172263, July 9, 2008, 557 SCRA 499)
Thursday, January 30, 2014
When is the family home deemed constituted?
The family home is deemed constituted on a house and lot from the time it is occupied as a family residence. From the time of its constitution and so long as any of its beneficiaries actually resides therein, the family home continues to be such and is exempt from execution, forced sale or attachment except as hereinafter provided and to the extent of the value allowed by law. (Art. 153, Family Code)
May a family home be constituted on a house without the land on which it is erected?
No. It is submitted that a family home may not be constituted without including the land on which it is erected. From the very definition of a family home enunciated in Art. 156 of the Family Code, it is clear that the land on which the house is erected is an integral part of a family home. Besides, there is a clear implication both from the definition and purpose of such family home as well as from the provisions of the Civil Code as amended by the Family Code regulating said home that is permanent in character. Now, if a house constructed on a rented land, for instance, maybe constituted into a family home, it becomes temporary. It cannot, therefore, serve the purpose of a family home. (Jurado, Civil Law Reviewer, 2006 ed., page 200-201)
May a property that is subject of a conditional sale be constituted a family home?
Yes. The second paragraph of Article 156 of the Family Code provides: "Nevertheless, property that is the subject of a conditional sale on installments where ownership is reserved by the vendor only to guarantee payment of the purchase price may be constituted as a family home."
On what properties must the family home be constituted?
The family home must be part of the properties of the absolute community or the conjugal partnership, or of the exclusive properties of either spouse with the latter's consent.
The family home may also be constituted by an unmarried head of a family on his or her own property. (Art. 156, Family Code)
Who may constitute a family home?
The family home may be constituted jointly by the husband and the wife or by an unmarried head of a family. (Art. 152, Family Code)
What is a family home?
The family home, constituted jointly by the husband and the wife or by an unmarried head of a family, is the dwelling house where they and their family reside, and the land on which it is situated. (Art. 152, Family Code)
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