G.R. No. L-40474 August 29, 1975
CEBU OXYGEN & ACETYLENE CO., INC., petitioner, vs. HON. PASCUAL A. BERCILLES, Presiding Judge, Branch XV, 14th Judicial District, and JOSE L. ESPELETA, Assistant Provincial Fiscal, Province of Cebu, respondents.

FACTS

The petitioner, Cebu Oxygen & Acetylene Co., Inc., sought the registration of title over a parcel of land in Cebu City, which was a terminal portion of M. Borces Street. The City Council of Cebu, through Resolution No. 2193 dated September 23, 1968, declared this portion as an abandoned road, as it was not included in the City Development Plan. Subsequently, via Resolution No. 2755, the Council authorized its sale by public bidding. The petitioner emerged as the highest bidder, and a deed of absolute sale was executed in its favor on March 3, 1969.
Based on this deed, the petitioner filed an application for registration of title with the Court of First Instance of Cebu. The Assistant Provincial Fiscal, representing the state, moved to dismiss the application. The motion argued that the property, being a public road intended for public use, was part of the public domain and outside the commerce of man, thus inalienable and not subject to private registration. The trial court granted the motion and dismissed the application, prompting this petition for review.

ISSUE

The core issues are: (1) whether the City Charter of Cebu granted the City Council the valid authority to declare a road abandoned; and (2) if such a declaration converts the property into patrimonial property of the city that can be lawfully sold.

RULING

The Supreme Court reversed the trial court’s order and held that the petitioner had a registerable title. On the first issue, the Court ruled that the City Council of Cebu possessed the clear legislative power to close a city street under Section 31(34) of its Revised Charter ( Republic Act No. 3857 ). This provision expressly authorizes the council to close roads and states that property withdrawn from public servitude may be used or conveyed like other city real property. Citing Favis vs. City of Baguio, the Court emphasized that the city council is the competent authority to determine the necessity of property for public use, and its discretionary power is not subject to judicial interference absent abuse, fraud, or collusion.
On the second issue, the Court applied Article 422 of the Civil Code, which provides that property of public dominion, when no longer intended for public use, becomes part of the state’s patrimonial property. The legal logic is straightforward: once the city council validly withdrew the street portion from public use through its resolution, it ceased to be property of public dominion. Consequently, it was converted into patrimonial or private property of the City of Cebu. As patrimonial property, it fell within the commerce of man and could be lawfully alienated. The subsequent sale to the petitioner via public bidding was therefore valid. The Court concluded that the petitioner, by virtue of the valid deed of sale, acquired a registerable title over the lot and ordered the trial court to proceed with the hearing of the registration application.