Doña Corazon Veloso was the owner of a certain piece or parcel of land, situated in the then municipality of Cebu (today's Cebu City). On the 22nd day of November 1911, she leased the parcel of land to Messers. F. C. Rey and J.P. Zeeman for a period of ten years, renewable, upon its expiration, for other periods of five years each, in which, in the aggregate, should not exceed twenty years.
On the 5th day of December, 1916, Michael and Co. Inc. was, with the consent of the lessor Doña Corazon Veloso, subrogated to all the leasehold rights and interests of the said Arey and Zeeman, thus becoming the lessee of the land in question. Thereafter the said lessee, Michael and Co. Inc., erected upon said land a building and named it Cine Ideal.
Thereafter, by virtue of a decree of date January 24, 1918, issued by the Court of First Instance of Cebu in cadastral case no. 9, obtained a certificate of title (No. 703) to said parcel of land, under the Torrens Title System. During the hearing of the cadastral case, Michael and Co. Inc, did not appear nor suggest to the court the existence of the lease in his favor upon the parcel of land. The certificate of title was issued free from all liens and encumbrances and without any memorandum or annotation thereon on any real right which might exist upon said land.
On the 19th day of February 1920, Michael and Co. Inc. sold, transferred to Don Jose Avila its building known as Cine Ideal as well as all the leasehold rights and interests which it had in said land by virtue of the contract of lease aforesaid.
Thereafter Don Jose Avila applied to the register of deeds of the Province of Cebu (at that time all lands including those within the municipality of Cebu were registered by the province of Cebu) to have the building as well as the lease be recorded and annotated on the certificate of title of the land, then on March 31, 1920, the Register of Deeds, without the knowledge and consent of Dona Corazon Veloso.
However on July 22, 1920, Doña Corazon Veloso sold, transferred and delivered the land to Ora Snyder in the amount of P44,340 and the vendee (Synder) obtained a transfer certificate of title of the land and building.
Ora Synder brought a legal action against the Provincial Fiscal of Cebu as Ex-Officio Register of Deed and Don Jose Avila, to have the registration and annotation of said contract of lease declared null and void and to cancel the annotation. The Court of First Instance dismissed the case when the Provincial Fiscal and Don Jose Avila filed a demurrer to evidence. When the case reached the Supreme Court it ruled on February 8, 1922 that ordered that the case be remanded to the lower court. Ora Synder was represented by Pantaleon Del Rosario, while Don Jose Avila was represented by the American lawyers-residents of Cebu, McVean and Vickers, Don Paulino Gullas, Briones, and Cabahug.
Don Jose Avila eventually became the lawful owner of the land and building and was then known as the "Theater King of Cebu" and "Cebu's Father of Show Business". Don Jose Avila also purchased "Imprenta Avila" to print his publications, "The Advertiser" and "Ang Tigmantala."
Don Jose Avila's son, Jesus S. Avila, nicknamed "Lindong" became a lawyer on January 21, 1955, and he is the heir of Don Jose Avila that now manages the building formerly known as Cine Ideal. It was also Don Jose Avila who was able to buy the Teatro Junquera which was finished in 1895 and later bought by Pedro Royo, a Spanish businessman and film maker. It changed hands, first to Leopold Falek and Pedro Rivera and eventually to Don Jose Avila.
Don Jose Avila was called "Little Governor" of Cebu, having served as Secretary to Governors Sergio Suico Osmena, Dionisio Jakosalem, and Manuel Roa. A great grandson, Valeriano "Bobit" Avila served Cebu City as head of the Cebu Traffic Operations Management or CITOM for many years, and, like his great grandfather, Don Jose, writes a column with Cebu's oldest running newspaper, The Freeman and Philippine Star.