G.R. No. L-22403 October 31, 1968
LUIS BUENAVENTURA, ANTONIO and DANIEL CASTRO, petitioners, vs. THE AUDITOR GENERAL OF THE PHILIPPINES, respondent.

FACTS

The petitioners, heirs of the late Daniel T. Tirona, sought compensation from the government for two lots (Lot No. 5 of TCT No. 1709 and Lot No. 6 of TCT No. 442) totaling 12,045 square meters. These lots, part of the original certificates of title issued in 1916 in Tirona’s name, are occupied by the national highway from Noveleta to Cavite City, which was built in 1917. No annotation in favor of the government appears on the back of the original certificates of title, and no deed of conveyance to the Government by the registered owner or his heirs exists. The heirs have paid real estate taxes on the lots up to the present. After unsuccessful negotiations for a right-of-way agreement in 1952, the claim was submitted to the Auditor General in 1960. The Auditor General rejected the claim, presuming previous consent and payment had been obtained and that the claim had prescribed.

ISSUE

Whether the heirs of the registered owner are entitled to compensation from the government for the taking of their registered land for public use (a national highway) despite the absence of a recorded conveyance and the lapse of time.

RULING

Yes. The Supreme Court reversed the decision of the Auditor General. The presumption of regularity in the taking of the land is rebutted by the absence of any recorded conveyance or annotation on the Torrens titles, which is required by law ( Act No. 496 , Section 50) to affect registered land. The duty of the Government to pay for private registered land it appropriates for public use subsists regardless of the passage of time, based on equity and the principles established in Herrera vs. Auditor General and Alfonso vs. Pasay City. The government is directed to indemnify the landowners for the value of the land at the time of taking (1917) and to reimburse the land taxes paid by them since that time.