Dear Attorney,

I sold my house and lot, but there seems to be a legal problem after the sale. Could you kindly explain my obligations as the seller? I am unsure how to proceed and would appreciate your guidance.

Thank you.

— A Concerned Seller

Insights

In the Philippines, when a property, such as a house and lot, is sold, the seller has specific obligations under the Civil Code. These responsibilities ensure that the buyer receives what was agreed upon, free from legal issues.

The primary obligations of a seller include:

Delivery of Property: The seller is required to deliver the property to the buyer. This means handing over the title and possession of the property. Delivery can be physical or symbolic, such as the transfer of ownership documents like the deed of sale.
Warranty Against Eviction: The seller must guarantee that the buyer will not be disturbed by claims from third parties over the property sold. This is called a warranty against eviction. If the buyer loses ownership due to a valid claim by another person, the seller could be liable to compensate the buyer.
Warranty Against Hidden Defects: The seller must ensure that the property has no hidden defects that make it unsuitable for its intended use. If such defects are discovered, the buyer can seek remedies such as a price reduction or even rescission of the sale, depending on the severity of the defect.
Compliance with Contract Terms: All terms stipulated in the sale agreement must be honored. If the seller fails to comply with these terms, the buyer may have grounds to take legal action for breach of contract.

In case of non-compliance with these obligations, the buyer can take legal recourse under the laws governing contracts and sales in the Philippines.