Adverse Claim Registration After a Deed of Sale

(Philippine Torrens‑title practice, April 2025)

1. Concept and Purpose

An adverse claim is an annotation placed on a Torrens certificate of title (TCT or OCT) by a person who asserts “any part or interest” in the registered land “adverse to the registered owner” (Sec. 70, PD 1529).
Key idea: it is the cheapest, quickest way to give the entire world—especially prospective buyers, creditors and encumbrancers— constructive notice that the claimant will contest the registered owner’s title. It is therefore the standard remedy when:

the property has just been sold to another but the buyer has not yet registered the deed, or
the claimant fears that the owner (or a successor‑in‑interest) will register a subsequent deed of sale or mortgage that could defeat an unregistered interest.

2. Statutory Basis

Source	Salient provision
§ 70, Presidential Decree No. 1529 (Property Registration Decree, 1978)	Authorizes registration of an adverse claim; limits its prima‑facie effect to 30 days, renewable; empowers the Register of Deeds (RD) to require supporting documents; allows cancellation by (a) verified petition of any interested party after hearing, or (b) written withdrawal of the claimant.
Land Registration Authority (LRA) Circulars (e.g., LRA Circular No. 35‑2002)	Prescribe uniform templates for the “Affidavit of Adverse Claim,” filing fees, and docketing procedures.
Civil Code (Arts. 1311, 1625, 1626)	Underpin the doctrine that registration is a mode of acquisition or protection vis‑à‑vis third persons in real property transactions.

3. Who May Register

Holders of unregistered deeds of sale, barter, donation, assignment or partition.
Vendees whose Deed of Sale was rejected by the RD for a curable defect (e.g., deficient documentary stamp tax) but who wish to freeze the title meanwhile.
Creditors claiming an equitable mortgage disguised as a sale (Spouses Cortes v. Alhambra, G.R. 215415, Jan 22 2020).
Heirs or co‑owners asserting an undisclosed hereditary share.
Possessors in concept of owner under Art. 1118 Civil Code if they can show colorable title.

The claimant need not have a fully vested legal title; a colorable or prima‑facie right suffices, provided it is adverse to the current entry on the title.

4. Timing

Scenario	Practical deadline	Rationale
Right arose before a Deed of Sale is registered	File before (or at the same time as) the buyer lodges the deed	To ensure priority; first in time, first in right.
Right arose after the sale but before the buyer secures a new TCT	File within 30 days from knowledge of the sale	To prevent the buyer from becoming an innocent purchaser in good faith.
Ongoing litigation affecting title	Usually prefer a Notice of Lis Pendens, but an adverse claim can be provisional while pleadings are being prepared.

Tip: Bring the affidavit and the deed (or other evidence) in duplicate so that the RD can microfilm one copy and stamp the other “Registered.”

5. Substantive and Formal Requirements

Verified Affidavit (Sec. 70) containing:
- description of the land (lot & block number, area, TCT/OCT number, technical description);
- the nature of the claim and how it arose;
- prayer that the statement be registered.
Supporting Documents:
- Deed of Sale, Contract to Sell, or other instrument giving rise to the claim;
- Tax clearance (if transaction is taxable);
- Valid IDs and SPA if through an attorney‑in‑fact.
Filing & Entry Fees: ₱50.00 annotation fee plus ₱0.50/parcel plus legal research fee (LRA Rev. Schedule, 2022).
Presentation of Owner’s Duplicate Certificate so that the annotation can be stamped or printed. (If the owner refuses to surrender, claimant may request the RD to issue a memorandum and send notice to produce within five days; Sec. 72, PD 1529.)

6. Effect of Registration

Constructive notice: binds the whole world even if nobody actually reads the title.
Priority: Within the 30‑day life span, an adverse claim ranks ahead of later voluntary dealings (sales, mortgages) unless the claimant knew and consented to them.
Prima‑facie validity, not conclusive: the annotation does not transfer ownership; it merely preserves whatever right may eventually be proven.
Conversion to other annotations: After judgment, the adverse claim may be cancelled and replaced by a final deed of conveyance, a writ of execution, or a notice of lis pendens as appropriate.

7. Duration, Renewal and Cancellation

Rule	Illustration
30‑day life (Sec. 70)	An adverse claim annotated on 05 May 2025 is effective until 04 June 2025.
Renewal/re‑registration	Simply re‑file the same affidavit (plus fee) on or before expiry to preserve priority. Courts have upheld serial renewals if the underlying controversy is unresolved (Consolidated Rural Bank v. Court of Appeals, G.R. 137599, Feb 22 2000).
Voluntary withdrawal	A signed, verified “Release of Adverse Claim” recorded by the claimant.
Petition to cancel	Any interested party may move to cancel for being improper, frivolous or already adjudged; RD must hear and resolve summarily (Sec. 70, last ¶).

8. Comparison with Related Remedies

Feature	Adverse Claim	Lis Pendens	Notice of Levy/Attachment
Governing law	§ 70 PD 1529	Sec. 76 PD 1529; Rule 13 §14 Rules of Court	Rule 57 Rules of Court; Sec. 79 PD 1529
Who files	Any adverse interest holder	Plaintiff or defendant in a pending real‑action case	Sheriff by order of court
Lifespan	30 days, renewable	Until case terminated or cancellation ordered	Until satisfied or lifted
Purpose	Preserve private unregistered rights	Warn of judicial contest over title	Secure judgment debt
Bond required?	None	None	Usually yes (attachment bond)

9. Common Pitfalls & Practical Advice

Silent titles. Buyers sometimes accept a TCT with a freshly cancelled adverse claim—always demand the cancellation order and read it.
Mis‑characterizing the claim. If the dispute is already in court, file a lis pendens; an adverse claim may be refused for duplicity.
Expired annotations. After 30 days, the entry no longer provides constructive notice and may be ignored by subsequent registrants.
Affidavit defects. Incomplete property description or missing jurat = refusal to register. Bring a notary public to the RD for on‑the‑spot corrections.
Owner’s duplicate unavailable. Ask the RD to annotate on the original title first and issue a notice to produce; you may later file a petition for reconstitution if the duplicate is lost.

10. Selected Jurisprudence

Case	G.R. / Date	Doctrine
San Miguel Properties v. Spouses Gazo	140067 / Oct 13 2010	Annotation of adverse claim is optional but prudent; failure to annotate does not automatically forfeit an otherwise valid sale as between the parties.
Cayetano v. Blas	L‑44754 / June 20 1988	Registration is the operative act that binds third persons; adverse claim protects an earlier but unregistered sale.
Spouses Abalos v. Heirs of Abalos	158989 / June 24 2013	Serial renewals permitted so long as there is a subsisting controversy; the 30‑day rule is not self‑executing.
Consolidated Rural Bank v. CA	137599 / Feb 22 2000	Banks are charged with greater diligence; a single adverse claim annotation suffices to defeat the bank’s claim of good faith.

11. Step‑by‑Step Checklist (Post‑Sale Scenario)

Draft and notarize the Affidavit of Adverse Claim.
Gather evidence: unregistered Deed of Sale, tax documents, IDs.
Visit the Register of Deeds where the title is situated; pay annotation fee.
Present owner’s duplicate (or request RD notice to produce).
Secure the annotated owner’s duplicate or a certified true copy of the title reflecting the adverse claim.
Calendar the 30‑day expiry date; apply for re‑annotation if the dispute is not yet settled.
If the buyer registers the deed while the adverse claim is alive, immediately assess whether to:
- petition to cancel the buyer’s TCT, or
- convert the claim into a lis pendens if litigation is inevitable.

12. Frequently Asked Questions

Q	A
Does an adverse claim stop the RD from issuing a new TCT to a subsequent buyer?	No. The RD may still register a later deed, but the new title will carry the annotation, thus subordinating the buyer’s right to the outcome of the claim.
Can I sue for damages if the RD wrongfully refuses to annotate?	You may file a petition for mandamus in the RTC acting as Land Registration Court; if bad faith is proven, you may claim actual and moral damages.
Is it a crime to file a false adverse claim?	Yes. It may constitute perjury (Art. 183, RPC) and Falsification of Public Documents (Art. 171).

13. Conclusion

Registering an adverse claim after a Deed of Sale is the Filipino real‑property practitioner’s go‑to remedy for freezing the Torrens system long enough to vindicate an unregistered right. When done promptly and renewed diligently, it can defeat even a subsequent registered conveyance—and can be the difference between preserving ownership and losing it forever.