Dear PAO,
I am an overseas Filipino worker (OFW) who spent three decades working in a foreign country. I acquired five houses and lots, which I intend to use when I retire in the Philippines. My favorite nephew recently graduated from high school, and his parents want him to study in Metro Manila. Fortunately, I have a property near the prospective school. In this regard, I would like to donate the same and transfer its ownership to my favorite nephew because I am not married, and I do not have a child of my own. Can you please explain to me the legal procedure for donating a house and lot?
Isay
Dear Isay,
To answer your question, we shall refer to Article 725 of the New Civil Code, which reads as follows:
“Article 725. Donation is an act of liberality whereby a person disposes gratuitously of a thing or right in favor of another, who accepts it.”
By this definition, you, as a donor, voluntarily transfer ownership over a property to your intended recipient or donee, who, in turn, must accept the donated property. For immovable properties such as the land that you intend to donate to your favorite nephew, the law provides that:
“Article 749. In order that the donation of an immovable may be valid, it must be made in a public document, specifying therein the property donated and the value of the charges which the donee must satisfy.”
“The acceptance may be made in the same deed of donation or in a separate public document, but it shall not take effect unless it is done during the lifetime of the donor.
“If the acceptance is made in a separate instrument, the donor shall be notified thereof in an authentic form, and this step shall be noted in both instruments.” (Emphases supplied)
In the case of Heirs of Florencio v. Heirs of De Leon (GR 149570, March 12, 2004, Ponente: Justice Romeo Callejo Sr.), the Supreme Court ratiocinated: “As a mode of acquiring ownership, donation results in an effective transfer of title over the property from the donor to the donee, and is perfected from the moment the donor is made aware of the acceptance by the donee, provided that the donee is not disqualified or prohibited by law from accepting the donation. Once the donation is accepted, it is generally considered irrevocable, and the donee becomes the absolute owner of the property, except on account of officiousness, failure by the donee to comply with the charge imposed in the donation, or ingratitude. The acceptance, to be valid, must be made during the lifetime of both the donor and the donee. It must be made in the same deed or in a separate public document, and the donee’s acceptance must come to the knowledge of the donor.”
In other words, for there to be a valid donation, the law requires that a deed of donation be executed in a public document indicating the details of the property to be donated and conditions for the donations, if any. It is also required that the person receiving the donation expressly manifest his or her conformity and receive the donation in the same deed or in a separate document, which must be executed within the lifetime of the donor. These formal requirements in the preparation and execution of a deed of donation must be fully observed for there to be an actual valid donation.
This opinion is solely based on the facts you have narrated and our appreciation of the same. Thus, the opinion may vary when the facts are changed or further elaborated. We hope that we were able to enlighten you on the matter.
Editor’s note: Dear PAO is a daily column of the Public Attorney’s Office. Questions for Chief Acosta may be sent to [email protected]
