Legacies & Devises

Question 1

What are Legacies and Devises?

Answer 1

What is a legacy?
It is a testamentary disposition by virtue of which a person is called by the testator to inherit an individual item of personal property.

What is a devise?
It is a testamentary disposition by virtue of which a person is called by the testator to inherit an individual item called real property.

*Legacy is bequeathed, while a devise is devised.

Question 2

What is the purpose of Legacy and Devise?

Answer 2

Legacies and devises are separated by the testator from the universality of the inheritance that would have
appertained to the heir, and they have for their purposes:
(1) The compliance by the T of social duties
(2) His rewarding of love and devotion of friends and relatives
(3) His show of gratefulness for acts done to him
(4) His giving funds to beneficent and charitable institution

Question 3

Who has the duty of giving the legacies and devises?

Answer 3

• As a general rule, if no one is charged with this duty, it is the estate which must give the legacies and devises. The estate is of course represented by the executor, or the administrator with a will annexed.
• If the T gives this duty to the compulsory heirs, or to the legatees and devisees, they must comply with their duties, subject to the limitations imposed by law.

Question 4

What is a Sub‐legacy or Sub‐devisee?

Answer 4

 Article 925 (1) – A testator may charge with legacies and devisees not only his compulsory heirs but also the legatees and devisees.

Question 5

How does a sub legacy differ from a disposition captatoria?

Answer 5

• Similarity: Both are given for the benefit of 3rd persons.
• Difference: In sub legacy, the disposition is actually written in the will while in captatoria the testator is obliging the heir to make a disposition in his will.

Question 6

Can a person give by way of legacy or devise something which he does not own?

Answer 6

YES.

• The point is, as long as the testator knows that it does not belong to him, and still he gives it, there is a valid legacy or devise since there is an implied order from estate to acquire such property.
• Order may be express or implied. The law does not extinguish.

Question 7

1. X thought he owned a car and gave it to A by will. It turned out that it was Mr. B who actually owns the car. Valid Legacy?
2. Suppose that after two yrs after execution of a will, X bought the car from B. Valid Legacy?
3. Suppose that after two yrs after execution of a will, A bought car from B. Valid Legacy?

Answer 7

1. Invalid. Since X just thought that he owned the car.
   - If there is no knowledge or mistaken belief of ownership, it is invalid

2 . YES, Valid Legacy. Since car was already acquired by X.

3. NO, still invalid. Since the legacy in the will was void because X just thought he owned the thing, the subsequent acquisition by A is immaterial.

Question 8

1. X gives Ms. Samson the house and lot at 123 Espanya St. Manila by will, but she was actually the owner of the house, is there a valid devise?
2. Suppose after 3 months, Ms. Samson sold property to Ms. Lino. Valid Devise?
3. Suppose instead of selling property to Ms. Lino, she sold it to X. Valid Devise?

Answer 8

1. NO, even if X knew that she was the owner. Because the fact remains that Ms. Samson is already the owner.
2. NO, still invalid. Invalidity is determined at time of execution of the will.
3. YES, now it’s already valid. By acquiring property, the intention of the testator to validate the testamentary provision is revealed. The intention is the guiding rule in testamentary succession.
   Article 930 can be applied by analogy.

Question 9

1. Same facts - X gave property to Ms. Samson which is presently owned by Mr Feliciano and this fact was known by the testator. 1 year after, Ms Samson bought the same, is there a valid device?
2. What will you get?
3. Supposing Feliciano instead of selling, just donated?

Answer 9

1. YES.
2. What will you get? She can claim reimbursement. Since testator knew he was not the owner, he is actually ordering the acquisition of the thing.
3. Supposing Feliciano instead of selling, just donated?
   NO. Reimbursement cannot be claimed anymore.

Question 10

1. I give Ms. Samson my farm in Pampanga, 6 months after execution of the will, testator mortgaged the proprety, testator dies is the estate oblige to pay the loan to free the property?
2. Would it make a difference if mortgage was before execution of will?

Answer 10

1. YES.
2. Would it make a difference if mortgage was before execution of will?
   No difference. Estate is still obliged to pay loan.

Question 11

Supposing instead of mortgaging the property, the testator entered into an antichresis with A, will the estate be under the same obligation to pay the loan?

Answer 11

YES, antichresis (and any other encumbrance or lien) are covered although law (Art. 934) mentions only pledge and mortgage as long as it is given to secure or guarantee a recoverable debt.

Question 12

Testator entered into a contract of easement of right of way with A. is the estate obliged to extinguish the easement?

Answer 12

NO, any other charge, perpetual or temporary, with which the thing bequeathed is burdened, passes with it to the legatee or devisee.

Question 13

1. Testator says in his will, I give my credit of 1M to Ms Samson against Ms. Lino (legacy of a credit), before the death of testator, debtor made a partial payment of 200k. Will there be still a valid legacy?
2. Same facts, but before his death, the testator filed an action for collection against Ms. Lino, case pending when he died. Is there a valid legacy?

Answer 13

1. YES, but only up to P800k.
2. No more. The moment the testator files an action, the legacy of credit or legacy of condonation of a debt is rendered ineffective.

Question 14

“I give to Ms. Samson by way of legacy the condonation of her debt of 1M.” The testator filed an action against Ms. Samson before he died. Is the legacy effective?

Answer 14

If testator files an action against Ms. Samson before he dies, such legacy is rendered ineffective.

Question 15

With respect to generic condonations, when should existing obligations apply?

Answer 15

With respect to generic condonations, such should be interpreted only to apply only to existing obligations at the time of execution of the will.

Question 16

1. Testator owes Ms. Samson 30k. In his will, he gives Ms Samson by way of legacy 40k, how much can she collect?
2. Supposing testator says, I order that this 40k legacy be applied to her debt. How much can she collect?

Answer 16

1. P70k (30k as credit and 40k as legacy).
2. “I order that this 40k legacy be applied to her debt. “ How much can she collect?
   - P40k (30k will be testator’s payment for his debt)

Question 17

1. I give to Ms. Samson coconut farm. After death it was discovered that while he owned hectares of sugar land and rice land he did not own a piece of coconut land. Valid devise?
2. I give to Ms. Samson my car, after death although he is a multibillionaire, he did not own a single car. Valid Legacy?
3. What’s the reason for the difference? Why is a generic devise not valid if there is no such property in the estate? Why is a generic legacy still valid even if there is no such property in the estate?

Answer 17

1. No valid devise.
2. Yes, it is a valid legacy.
3. The genus in personal property is determined by nature while in real property, there is no genus, because each real property is individualized by the efforts of man.

Question 18

Up to when will a legacy for education last?

Answer 18

Until legatee is of age, or beyond the age of majority in order that legatee may finish some professional, vocational, or general course, provided he pursues his course diligently. (Art. 944, par. 1)

Question 19

1. What about a legacy for support?

2. How do you fix the amount?

Answer 19

1. It lasts during the lifetime of the legatee, unless testator provides otherwise.
2. Determine if Estate is capable of supporting the legatee. If there is already a habit of giving a said amount as support by testator when he is still alive, such amount will be the basis.

Question 20

When does the legatee or devisee acquire ownership of the thing given by way of legacy or devise?

Answer 20

From the moment of death (Art. 777). If what has been given is something determinate which is owned by the testator.

Question 21

Supposing the device or legacy is something not owned by the testator?

Answer 21

There has to be acquisition first.

Question 22

What about the right as distinguished from ownership?

Answer 22

From the moment of the death of the testator as long as legacy or devise is simple and unconditional.
If conditional, we must still see if condition will in fact be fulfilled.

Dean Navarro: Once condition is fulfilled, I submit that retroactivity should apply. That would harmonize it with the rule in Art. 777.

Question 23

Article 911. Order of Preference in the Hereditary Estate: After the net hereditary estate has been ascertained, what should be the order of payment?

Answer 23

After the net hereditary estate has been ascertained, what should be the order of payment?

a) First, give the legitimes
b) Then the donations inter vivos
c) Then the preferred legacies and devises
d) Then all other devises and legacies pro rata (in case the estate is not sufficient).

Question 24

In Article 950, there is another Order of Preference:

Answer 24

a) Remuneratory legacies and devises;
• Those which testator gives because he feels morally obliged to compensate certain persons, for services which should not however constitute demandable debts.
b) Legacies or devises declared by Testator to be preferential;
c) Legacies for support;
d) Legacies for education;
e) Legacies or devises of a specific, determinate thing which forms part of the estate;
f) All others, pro rata.

Question 25

When do you apply Articles 950 and 911?

Answer 25

 Art. 950 should only be applied when the conflict is exclusively among the legacies and devises.

Question 26

What is REMUNERATORY?

Answer 26

Intended to pay previous services which does not constitute demandable debt.

Question 27

1. If the testator gives you two legacies ‐ one onerous, the other gratuitous ‐ can you accept gratuitous and reject the onerous? 2. Can you accept the onerous and reject the gratuitous?

Answer 27

1. You have to accept both. 2. Yes, what the law prohibits is only accepting the gratuitous and rejecting the onerous. Unless of course testator makes it clear that both should be accepted.

Question 28

IMPORTANT | What are the three situations that will render the legacy or devise ineffective?

Answer 28

Article 957 a) Transformation b) Alienation c) Loss

Question 29

When is there TRansformation?

Answer 29

*When the nature of thing has been changed. EXAMPLE: coconut land to fish pond. *If thing changed in its form (physical appearance) and denomination (name by which the thing is called EXAMPLE: - If bracelet is melted and turned to a ring - Farm land to a resort (Form and denomination changed)

Question 30

Assume that a bracelet was given by legacy, added diamonds, is there transformation?

Answer 30

None, it is still a bracelet.

Question 31

When is there Alienation?

Answer 31

If the testator gives something, subsequently alienate it to a third person, the question that should be asked is, did the testator intend to permanently part with ownership of the thing? If yes, legacy or devise ineffective, if no, legacy or devise is valid. If right to repurchase, legacy or devise is valid. This is why the law itself exempts from operation of these rules where property is alienated with right to repurchase.

Question 32

If A gave B his H&L at Manila, subsequently donated to C and delivered the thing but executed only in a private document. Ineffective?

Answer 32

Devise is ineffective because there is no intent to permanently part with the thing since the donation is null and void. Even if A is able to recover property by reason of nullity, legacy or devise remains without effect.

Question 33

Distinction of Loss: during lifetime of testator and after death

Answer 33

- If the loss happens during the lifetime of the testator, the cause of the loss is immaterial. Ex.: So if testator gives you by legacy a particular car. Before his death, he burned his car. Legacy becomes ineffective. - If after the death, it depends. - - If loss is due to the fault or negligence of any of the heirs, then legacy remains valid. Law imposes solidary liability among the heirs who has taken possession of the property. - - If loss is due to caso fortuito, legacy or devise is rendered ineffective.

Question 34

Disposition made in general terms in favor of testator’s relatives – How would you construe it?

Answer 34

Article 959 | Give property to relative nearest in degree.

Question 35

Testator X dies survived by spouse W, grandfather GF, brothers A & B, nephew D son of predeceased brother C. Said in his will: I give free portion to my relatives. 1. Who will get the Free Portion? 2. How about D? 3. How about W? 4. Would it make any difference if testator said in his will: I give the free portion to those entitled thereto?

Answer 35

1. GF, A, & B. Since they are the nearest relatives. 2. D --- No. * Why not D? - No. He cannot represent C. 3. W ---- No. * Why not W? - She is not a relative In Article 959 – the rule that applies is the rule of proximity only. Disregard other rules of succession. No representation, no preference between lines, etc. 4. YES. He is in fact invoking the rules of Intestate Succession. Therefore, free portion should go to his legal and intestate heirs.

Question 36

Who are the persons that may be charged with legacies and devises?

Answer 36

The following may be expressly charged by the testator with the payment or delivery of a legacy or devises? 1. any compulsory heir 2. any voluntary heir 3. any legatee or devisee 4. the estate represented by the executor or administrator