BIZ BUZZ: Collateral damage

Some 20 homeowners at the Vista Real Classica subdivision in Old Balara, Quezon City, are caught in the crossfire between Sta. Lucia Realty and Development, which developed the property, and a unit of 8990 Holdings, which are battling in court for the land where homeowners’ houses stand.

The tension started last Aug. 17 when the lawyers of 8990 Housing Development Corp. informed residents of reconstituted lot 116 about the deployment of security guards to enforce the writ of execution issued by the Quezon City Regional Trial Court (RTC) Branch 104 on June 7, 2022.

The 109,038-square meter lot had been sold by one Evangeline Puzon to 8990 Housing, although the same property is also claimed by Sta. Lucia, which developed the property under a joint venture with Garsons Co. Inc.

Before obtaining a writ of execution to implement the RTC ruling, the Court of Appeals had ruled in April 2019 that Puzon held a “better right of possession,” while defendants Sta. Lucia Realty, Garsons, et al., had been “ordered to vacate the premises and immediately surrender possession.”

But what happens to homeowners who had bought their lots from Sta. Lucia? Homeowners estimate that about 30 “nonuniformed” men now patrol the area and they worry about forced eviction.

“It is tremendously unfair and unjust [for us] to lose our homes amid the land dispute between the large property developers. We have been living and established our families in this village for many years now. The court should have not allowed the sale of the lots to homebuyers in the first place. Why should we be the ones to suffer from this injustice?” the homeowners said in a collective statement.

Through the general manager of its legal department Hazel Helmuth, 8990 Housing said that “its actions were not only within the bounds of law but were also coordinated with lawful authorities.”

“Current residents within 8990’s property are free to access their homes and, in fact, maintain status quo at present. The positioning of 8990’s own security team is to ensure that 8990’s rights to possess are established and to make sure that respondents Sta. Lucia, et al., will not be able to sell the remaining portions of 8990’s property to their prospective buyers,” she added.

“The courts had clearly decided, affirmed and recognized that Puzon (8990) has a better right of possession over the subject lot 116. As the decision of the court became final and executory, 8990 coordinated with the court through its Sheriff to implement the standing Court of Appeals’ Decision on 17 August 2022 through a Writ of Execution,” she noted.

—Doris Dumlao-Abadilla

Possession vs ownership

Sta. Lucia, for its part, condemned the actions of 8990 Housing.

“Vista Real Classica homeowners are buyers in good faith and for value and they were not parties to the cases filed in court. To oust them at this point in time is a grave violation of their rights and of due process. Moreover, the case is not yet final and executory insofar as Sta. Lucia Realty is concerned because its petition in the Supreme Court is still pending and yet to be resolved,” it said.

The company insisted that Garsons, its joint venture partner, was the rightful owner of the property, noting that the camp of Evangeline Puzon assigned the property to 8990 Holdings and filed a complaint at the Regional Trial Court (RTC) after Sta. Lucia had completed the development of the subdivision.

The Court of Appeals’ (CA) ruling favoring Puzon was but “a Phyrric victory because the homeowners have their respective titles and were not impressed as party defendants,” Sta. Lucia argued.

While CA gave possession of the property to Puzon’s camp, Sta. Lucia noted that the CA ruling denied Puzon’s claim of ownership for failing to trace back ownership from the mother title.

“It should be stressed that the CA ruling was only an award of possession and not right of ownership. Possession is but an attribute of the right of ownership,” Sta. Lucia said.

Sta. Lucia had filed a petition with the Supreme Court questioning the decision of the CA, but the High Court later upheld the CA decision denying the claim of ownership by the camp of Puzon. However, Sta Lucia prayed that the SC should rule on both the issue of ownership as well as the issue of possession.

Garsons had also filed a separate petition, but this was denied by the SC. A motion for reconsideration was filed, which was also denied. The SC then issued a certificate of finality declaring that the decision concerning the Garsons petition has become final.

“To clarify, the writ of execution issued by the RTC of Quezon City referred only to the petition of Garsons but not to the petition of Sta. Lucia Realty,” Sta. Lucia said.

To protect the interests of their homeowners/buyers, Garsons and Sta. Lucia are filing a complaint for the “quieting of title in order to declare their right of ownership which, at this time, 8990 Housing Development could no longer do so as it is barred by a final judgement by the SC.”

In this new case to be filed, Garsons and Sta. Lucia Realty said they would not only prove that they are the rightful and legal owners of the property in question, but also demand moral and exemplary damages.

—Doris Dumlao-Abadilla INQ

Email us at BizBuzz@inquirer.com.ph

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