Lawyer: Titles of FLI lots in SRP are clean

CEBU, Philippines - The Cebu City Government insists that the lot titles set to be released to Filinvest Land Inc. for the parcels of lot it bought at the South Road Properties are “clean titles” before the eyes of the law.

City lawyer Joseph Bernaldez said that the annotations on the titles cannot be considered an encumbrance or lien to the property.

“It is just a notice, not a lien, not an encumbrance. Just because a certain title is annotated does mean that it constitute already a lien or encumbrance,” Bernaldez said.

FLI withheld their 2012 payment supposedly amounting to P245.2 million, it was the fourth payment and due last March 5.

FLI wrote Mayor Michael Rama on March 7 informing him that the company is holding in abeyance the payment due for the year 2012 until the claims or levies registered in the two titles are settled or removed.

The two titles with TCT numbers PT-15971 and PCT-15972 are part of the SRP joint venture parcels. FLI said that these properties are eyed for expansion. The current projects of FLI at the SRP will not be affected.

The lots cover 9.7 hectares each and each title was annotated with a Notice of Levy on Execution and Notice of Lis Pendens.

The Notice of Levy on Execution was registered last Nov. 2, 2011 after the notice of levy issued by court sheriff Eugenio Fuentes Jr.

The Notice of Lis Pendens was filed by Maurillo Rallos last Jan. 9, 2012 giving notice that a case has been filed and is now pending at Regional Trial Court Branch 9 docketed as Civil Case No. CEB-20388.

Bernaldez said they have verified with the Landbank that these titled have been annotated by the Registrar of Deeds.

Bernaldez also said the annotations will not affect the ownership or interest of the lot owner.

He also clarified that just because the annotations were stated under a heading “Memorandum of Encumbrances” doesn’t follow that it can be interpreted as an encumbrance.

“It does not bind. That notice depends on a happening of a certain event,” Bernaldez said.

The City Legal Office is in the process of drafting a legal opinion on the matter. Bernaldez said it will contain the official position of the city and the course of action they will take in response to the move of FLI. — (FREEMAN)