25. Gallent vs Velasquez

Case: Gallent vs Velasquez Velasquez Facts: Spouses Gallent were the owners of a 761 sqm residenal propert alon! "n!eles Street# "la$an!% Said propert has improvements improvements consisn! of two&store two&store house and a swimmin! pool% Su$sequentl# Su$sequentl# the mort!a!ed mort!a!ed said propert propert in favour favour of allied $an' as a securit for a loan amounn! amounn! to 1%()% *he Spouses Spouses Gallent Gallent failed to pa their loan# which had $allooned $allooned to +,#6-1#.7,%66/ +,#6-1#.7,%66/ thus# "llied 0an' etra2udiciall foreclosed the mort!a!ed propert% "t the pu$lic aucon# "llied 0an' emer!ed as the hi!hest $idder and was issued a correspondin! cer3cate of sale dated Septem$er 4(# 4555% owever# spouse spousess Gallen Gallentt faile failed d to redeem redeem the prope propert rt aer aer one one ear ear hence hence "llied "llied 0an' 0an' consol consolida idated ted its ownership% "ccordin!l# the old *C* of the propert was cancelled and replaced $ a new *C* in the name of "llied $an'% 8ater on# "llied 0an' a!reed to sell $ac' the propert to the spouses for ,)% 9n turn# spouses paid -%() and the remainin! was paa$le in an instalment $asis for 14 months% )oreover# )oreover# it was spulated the spouses ma possess the said propert as lessees while pain! for the remainin! $alance% nfornatel# due to 3nancial di;cules# the Spouses Gallent sou!ht the help of their close famil friend# # to help them se?le their remainin! monthl amorzaons% "s an inducement# the a!reed that Velasquez would have the su$2ect propert re!istered under his name unl the have repaid him% Su$sequentl# the Spouses Gallent eecuted a @eed of "ssi!nment of Ai!hts where$ the assi!ned to Velasquez all their ri!hts# interests# and o$li!aons under their "!reement to Sell with "llied 0an'% Velasquez paid "llied 0an' the remainin! $alance amounn! to +416#6-(%.7# evidenced $ an B;cial Aeceipt% Someme in 455-# "llied 0an' and Velasquez eecuted a @eed of  "$solute Sale over the su$2ect propert for the price of +, )illion# wherein Geor!e Gallent himself  si!ned as an instrumental witness% 14 owever# the said instrument was not re!istered% Su$sequentl# Velasquez caused another @eed of Sale1- dated ovem$er 1.# 455-# over the su$2ect propert which showed a lower sellin! price of +l%4 )illion to $e re!istered# purportedl for ta purposes% "s a result# a new *C* was re!istered under the name of Velasquez% "er more than four ears# or on