Letter to a Lawyer

Dear Attorney,

I hope this letter finds you well. I am reaching out to seek your guidance regarding a matter involving the property of our late parents. To give you a brief background, the house where our family grew up was verbally "entrusted" by our parents to our youngest sibling before they passed away. However, there was no formal or written documentation to confirm this arrangement.

Unfortunately, our youngest sibling has also since passed away. Now, their spouse intends to sell the property. The issue is that the property remains under our late parents’ name, and no transfer has ever been formally executed to our youngest sibling or anyone else.

We, as the surviving children of our parents, are uncertain about our rights in this situation. Does the surviving spouse of our youngest sibling have the authority to sell the property? Do we, as children of our parents, retain rights to the property?

We are deeply concerned and would appreciate your legal advice on this matter.

Thank you very much for your time and guidance.

Sincerely,
A Concerned Family Member

Understanding Heirs’ Rights to Parental Property Under Philippine Law

Introduction

In the Philippines, inheritance and property rights are governed by the Civil Code of the Philippines and relevant jurisprudence. The situation described above involves key legal questions about inheritance, the validity of verbal wills, and the rights of both the legal heirs of the parents and the surviving spouse of the deceased youngest sibling. Let us delve into the specific legal principles applicable to this scenario.

1. Parental Property Remains Under Their Names

If the property in question remains registered under the names of the parents and there is no documented will or deed of donation, the property is considered part of the parents’ estate. Upon their death, the property becomes subject to the laws of succession under the Civil Code of the Philippines.

2. The Lack of a Written Will or Documentation

Under Article 804 of the Civil Code, a will must be in writing to be valid. A verbal agreement or instruction from the parents does not constitute a valid testamentary disposition unless made in an extraordinary circumstance, such as imminent danger of death, and even then, it must be properly witnessed and reduced to writing within 30 days (Article 810).

Without a written will or donation, the purported “verbal inheritance” to the youngest sibling has no legal basis.

3. Distribution of Property: Intestate Succession

In the absence of a will, the parents’ property is subject to intestate succession under the Civil Code. Here is how the property is distributed:

Equal Shares Among Legal Heirs:
The children of the deceased parents inherit the property in equal shares as compulsory heirs under Article 887 of the Civil Code. This includes the surviving children and the legal heirs of any deceased children (i.e., grandchildren).
Representation Rights:
If one of the children (e.g., the youngest sibling) predeceased the parents, their children (if any) inherit their share by right of representation under Article 972. If the youngest sibling had no children, their share reverts to the surviving siblings.

4. Rights of the Youngest Sibling’s Spouse

Under Article 1001 of the Civil Code, a surviving spouse is an heir of the deceased spouse. However, their rights pertain only to the exclusive property of the deceased spouse and not directly to the parents’ property unless it has been properly transferred.

If the property is still in the names of the parents, the spouse of the youngest sibling has no legal right to sell or claim ownership of the property. The surviving children of the parents retain ownership rights as legal heirs.

5. Procedure to Resolve the Issue

To clarify and enforce the rights of the legal heirs, the following steps must be undertaken:

Step 1: Judicial Settlement of the Estate

The property must undergo estate settlement to identify and distribute the shares of the legal heirs.
If heirs agree, an extrajudicial settlement can be executed under Rule 74 of the Rules of Court. This requires a notarized agreement and publication in a newspaper of general circulation.

Step 2: Transfer of Title

Once the estate is settled, the property title must be transferred to the heirs or their representatives, dividing it according to their legal shares.

Step 3: Address Claims by the Spouse

The surviving spouse of the youngest sibling must be informed of the legal framework. If the spouse insists on selling the property, their claim can be legally contested as they lack authority to sell a property that does not belong to the deceased sibling.

6. Selling the Property

A property under the names of deceased parents cannot be sold without the unanimous consent of all legal heirs or through judicial approval. Any sale without proper authority is void under Philippine law.

If the legal heirs wish to sell the property, they must:

Complete the estate settlement process.
Secure consent from all heirs or seek judicial approval if there is a disagreement.

7. Remedies for Heirs

The surviving children of the parents may pursue the following remedies if the surviving spouse of the youngest sibling proceeds with the sale:

Injunction: To prevent the unauthorized sale of the property.
Declaration of Nullity of Sale: If the sale has occurred, the heirs can file a case for nullity, as the spouse lacks legal authority.

8. Jurisprudence on Similar Cases

The Supreme Court has consistently ruled that properties of deceased parents that remain registered in their names cannot be sold without proper estate settlement. In cases like Heirs of Gabatan v. CA (G.R. No. 139588, 2002), the Court emphasized that estate properties are co-owned by the heirs until settlement.

Conclusion

The surviving children of the parents retain rights to the property under the principles of intestate succession. The spouse of the youngest sibling has no legal claim to sell the property while it remains under the parents’ names. Immediate steps should be taken to settle the estate and protect the legal heirs' rights.

For further assistance, it is recommended that the family consult with a lawyer to formally initiate estate proceedings and address any claims from the surviving spouse of the youngest sibling.