ENUMERATION

CIVIL LAW REVIEW EXCE 1. Those 1. Those acquired

MODULE 4 PTIO excluded in through
N the marriage gratuitous title,
settlement; including fruits
Absolute Community, In General and income
2. Those for UNLESS
personal and expressly
When Governing exclusive provided by the
 If the marriage is celebrated under the Civil Code (or use (but grantor that they
prior to August 3, 1988), absolute community shall jewelries are shall form part of
govern if it was provided for in the marriage included in the ACP.
settlement between the future spouses. the ACP).
 If the marriage is celebrated during the effectivity of 2. Those for
the Family Code (on August 3, 1988 or thereafter), 3. Those personal and
absolute community shall govern if: acquired by exclusive use (but
a. If it was provided for in the marriage settlement either jewelries are
between the future spouses; or spouse who included in the
b. If there was no marriage settlement at the time has ACP).
legitimate
of the celebration of the marriage, or if the
descendants
marriage settlement was void.
by a former
Summary of Inclusion/Exclusion marriage,
including
Properties Acquired Properties fruits and
Prior to Marriage Acquired During income.
the Marriage

RULE Properties Properties acquired Obligations Chargeable to the Absolute Community

acquired prior to during the marriage
the marriage are are included in the 1. Support
included in the ACP a. Spouses
ACP. b. common children; and
 c. legitimate children of either spouse.
2. Debts and Obligation
a. Antenuptial debts
- Contracted before the marriage by either spouse
are chargeable to the absolute community only if
they have redounded to the benefit of the family.
b. For those contracted during the marriage:
i. if contracted by both spouses;
ii. if contracted by one spouse With the consent
of the other;
iii. If contracted by one spouse without the
consent of the other but only to the extent that
they have redounded to the benefit of the
family;
iv. if contracted by the administrator-spouse for
the benefit of the community.
3. Taxes and Expenses:
a. Taxes falling upon the community property;
b. Taxes falling upon the separate property, if used by
the family;
c. Expenses incurred on the community property,
whether the repair is major or minor;
d. Expenses incurred on a separate property if:
i. incurred during the marriage;
ii. for mere preservation; and
iii. property is used by the family.
4. Expenses to enable spouse to commence or
complete a professional or vocational course, or
other activity for self-improvement;
5. Value of what is donated or promised by both
spouses in favor of common legitimate children for
the exclusive purpose of commencing or completing
a professional or vocational course, or other activity
for self-improvement;
6. Expenses of litigation between the spouses.
Unless: the suit is found to be groundless.760
7. In case only of insufficiency or absence of
exclusive property of the debtor-spouse, which shall
be considered as advances to be deducted from the
share of the debtor-spouse upon liquidation of the
community, for the following:
i. Antenuptial debt by either spouse which did not
benefit the family;
ii. Support of illegitimate children of either spouse;
and
iii. Liabilities incurred by either spouse by reason of a
crime or quasi-delict.
Obligations Chargeable to Separate Property
1. Support of illegitimate children of either spouse is
chargeable to exclusive property of the illegitimate
parent.
2. Liabilities incurred by reason of a crime or
quasidelict.
3. Expenses of litigation between the spouses if found
to be groundless.
4. Losses during the marriage in any game of chance,
betting, sweepstakes or any other kind of gambling,
whether permitted or prohibited by law.
5. Debts contracted during the marriage:
i. By the administrator-spouse which did not
benefit the community;
ii. By one spouse without the consent of the other
which did not benefit the family.
6. Antenuptial debts by either spouse which did not
benefit the family
7. Taxes incurred on a separate property which is not
used by the family.
8. Expenses incorred during the marriage on a
separate property if:
i. not for its preservation and
ii. the property is not used by the family.
 Sole Administration is Allowed:
1. If one spouse is incapacitated or otherwise unable
to participate in the administration of common
properties, the other may assume sole power of
administration, without need of court approval or
authorization.
2. If a spouse without just cause abandons the other
or fails to comply with his or her obligations to the
family, the aggrieved spouse may petition the
court for sole administration."
3. During the pendency of a legal separation case,
the court may designate either of the spouses as
sole administrator.
Dissolution or Termination of Absolute Community
Causes of dissolution or termination of absolute
community:
1. Death of either spouse;
2. Finality of a decree of legal separation
3. Finality of a judgment of annulment.
4. Finality of judgment declaring the marriage void.
5. Upon judicial separation of property during the
marriage, either voluntarily or for a cause.
Procedure for Liquidation of Absolute Community
1. Inventory, listing separately the exclusive properties
and the properties of the absolute community.
2. Payment of debts and obligations of the absolute
community. In case of insufficiency of the absolute
community properties, the spouses shall be solidarily
liable for the unpaid balance with their separate
properties.
3. Whatever remains of the exclusive properties of the
spouses shall thereafter be delivered to each of them.
4. The net remainder of the properties of the absolute
community shall constitute its “net assets,” which shall
be divided equally between the spouses, unless a
different proportion or division was agreed upon in the
marriage settlement, or unless there has been a
voluntary waiver of such share.
5. Delivery of presumptive legitimes of the common
children
6. The conjugal dwelling, including the lot shall be
adjudicated to the spouse with whom the majority of
the common children choose to remain unless
otherwise agreed upon by the parties. In case there is
no majority, the court shall decide.
 In the regime of absolute community of property, “net
profits“ is computed based on the following
procedures:
a. Get the market value of the absolute community
properties at the time of the community's
dissolution;
b. From the totality of the market value of all the
properties, subtract the debts and obligations of
the absolute community;
c. The result of the foregoing procedures shall be
“net assets” or net remainder of the properties of
the absolute community;
d. Deduct the market value of the properties at the
time of marriage. The result is the “net profits”
Conjugal Partnership, In General
When Governing
 If the marriage is celebrated under the Civil Code
or prior to August 3, 1988, the regime of conjugal
partnership of gains shall govern if:
i. If it was provided for in the marriage settlement
between the future spouses; or
ii. If there was no marriage settlement at the time of
the celebration of the marriage, or if the marriage
settlement was void.
Properties Included and Excluded in the Conjugal
Partnership
Properties Excluded or Separate Properties
1. Properties acquired PRIOR to the marriage;
EXCEPT:
a. Fruits and income of said properties, which shall be
included in the conjugal partnership, but only the
“net fruits” shall be included.
b. Those included therein in the marriage settlement,
subject to the 1/5 limitation under Article 84 and the
rule in Article 92(3) of the FC, Which apply by
analogy.
2. Properties acquired DURING the marriage by
GRATUITOUS title;
3. Properties acquired by right of redemption, by
barter or by exchange with property belonging to
only one of the spouses;
4. Properties purchased with exclusive money.
Properties Included:
1. Properties acquired by onerous title during the
marriage at the expense of common fund.
 Requisites:
i. Acquisition is made during the marriage;
 ii. Thru onerous title; and ii. If full ownership was vested during the marriage,
iii. At the expense of common fund. conjugal property;
iii. In either case, there shall be reimbursement upon
2. Property obtained during the marriage from the
liquidation of the partnership.
labor, industry, work or profession of either or both
spouses.
Improvement on Separate Property
3. Fruits from conjugal properties and “net fruits”  Requisites:
from separate properties. i. An improvement is made on a separate property
of either spouse;
4. Share in the hidden treasure and those acquired ii. Improvement is made during the marriage;
through fishing or hunting. iii. At the expense of the conjugal partnership or
5. Those acquired through chance, such as winnings through the acts or efforts of either or both
from gambling or betting. However, losses shall be spouses.
borne exclusively by the loser spouse.
 owner-spouse prior to reimbursement.
6. Livestock existing at the time of the dissolution of
the partnership, in excess of the number of each kind
brought to the marriage by either spouse. Summary of Inclusion/Exclusion
Properties Acquired Before Properties Acquired
Property Bought through Installment: Marriage During Marriage
 Requisites:
i. Property is bought on installment prior In the Gen. Rule: Properties If acquired through
marriage; acquired before gratuitous title,
ii. Payment is completed only during the marriage; the marriage are - NOT included in the
and not included in CPG but the fruits and
iii. Paid party from exclusive funds and partly from the CPG, but income of said
conjugal funds. fruits and properties are included
income of said in the CPG.
 Rules in determining ownership properties
accruing during If acquired through
i. If full ownership was vested prior to marriage,
the marriage are onerous title and:
exclusive property of the buyer;
included in the 1. Using exclusive
 CPG. money or funds, the : in the CPG in
property so acquired is the marriage
exclusive property not settlement
included in the CPG. subject to the
following
2. Using conjugal limitations:
funds, the property so
acquired is generally 1. May not
included in the CPG exceed more
except if the than 1/5 of
acquisition is by way of present
exercise of right of property;
redemption. In the and
latter, the property
belongs to the owner 2. May not
of the right of include
redemption regardless properties
of the source of funds acquired
used in the prior to
redemption. If the right marriage if
pertains to only of the either of the
spouse, the property is future
exclusive property of spouses has
said spouse even if legitimate
conjugal funds are descendants
used in the acquisition. in a former
marriage.
In this case, the CPC
shall only be
reimbursed upon its
liquidation.

Exception When included

 Obligations Chargeable to the Conjugal Partnership
1. Support of:
a. Spouses;
b. common children; and
c. legitimate children of either spouse
 BUT support of illegitimate children of either spouse
is chargeable to exclusive property of the illegitimate
parents
2. Debts and Obligation
a. Antenuptial debts
- Contracted before the marriage by either spouse
are chargeable to the conjugal partnership if they
have redounded to the benefit of the family.
b. For those contracted during the marriage:
i. if contracted by both spouses;
ii. if contracted by one spouse With the consent of
the other;
iii. If contracted by one spouse without the consent
of the other but only to the extent that they have
redounded to the benefit of the family;
iv. if contracted by the administrator-spouse for the
benefit of the partnership.
3. Taxes and Expenses
a. Taxes falling upon the conjugal partnership property
and those falling upon the separate property;
b. Expenses incurred on the conjugal partnership
property, whether the repair is major or minor;
c. Expenses incurred on a separate property if:
i. incurred during the marriage; and
ii. for mere preservation.
d. Expenses to enable spouse to commence or
complete a professional or vocational course, or
other activity for self-improvement;
e. Value of what is donated or promised by both
spouses in favor of common legitimate children for
the exclusive purpose of commencing or completing
a professional or vocational course, or other activity
for self-improvement;
f. Expenses of litigation between the spouses.
UNLESS: the suit is found to be groundless.
Obligations Chargeable to Separate Property
1. Support of illegitimate children of either spouse is
chargeable to exclusive property of the illegitimate
parent
2. Liabilities incurred by reason of a crime or quasidelict.
3. Expenses of litigation between the spouses if found to
be groundless.
4. Losses during the marriage in any game of chance,
betting, sweepstakes or any other kind of gambling,
whether permitted or prohibited by law.
5. Debts contracted during the marriage:
a. By the administrator-spouse which did not beneiit
the community;
b. By one spouse without the consent of the other
which did not benefit the family.
6. Antenuptial debts by either spouse which did not
benefit the family.
7. Expenses incurred during the marriage on a separate
property if the same is not for its preservation.
 For Nos. 1, 2 and 6, said obligations can be
enforced against conjugal partnership provided that:
a. the spouse who is bound has no exclusive
properties or the same are insufficient; and
b. the responsibilities of the conjugal partnership
enumerated in Article 121 have already been
covered, subject to reimbursement upon
liquidation of the partnership.
(d)Buyer in good faith:
Thus, the buyers of conjugal property must observe
two kinds of requisite diligence, namely:
(a) the diligence in verifying the validity of the title
covering the property; and
(b) the diligence in inquiring into the authority of the
transacting spouse to sell conjugal property in
behalf of the other spouse.
[Chapter 5: Separation of Property of the Spouses]
[Chapter 6: Regime of Separation of Property]
Separation of Property of Spouses During the
Marriage
(1) When Can It Govern:
a) By express declaration in the marriage
settlement:
b) By judicial order
c) By failure of the surviving spouse to liquidate
the absolute community or conjugal partnership
of gains of a previous marriage which has been
terminated by death within the 1-year period
required by law prior to contracting another
marriage.
(2) Judicial Separation for Suffiicient Cause:
Grounds:
(i) Other spouse has been sentenced to a penalty
which carries with it civil interdiction;
(ii) Other spouse has been judicially declared an
absentee;
(iii) Other spouse has lost parental authority by court
decree;
(iv)Other spouse has abandoned the petitioner or has
failed to comply with marital obligations
(v) The administrator-spouse in the marriage
settlement has abused his/her power;
(vi)That spouses have been separated in fact for at
least one year and reconciliation is highly
improbable.
(3) Revival of Previous Property Regime:
(a) Grounds for revival:
 (i) If voluntary, the parties may agree to the
revival even in the absence of a reason/ ( c)Automatic termination of administration:
ground. However, no voluntary separation may The alienation of any exclusive property of a spouse
thereafter be granted. administered by the other automatically terminates the
(ii) If for sufficient cause, upon cessation of the administration over such property and the proceeds of
ground which was the basis of the judicial order the alienation shall be turned over to the owner-spouse.
for separation. If judicial separation is for a
sufficient a cause, the spouses can again
petition for judicial separation so long as there
is a new cause/ground.
[Chapter 7: Property Regime of Unions Without
(4) Transfer of Administration of Exclusive Property Marriage]
to (Arts. 147 - 148, FC)
Another Spouse During the Marriage:
(a) By agreement: Property Regime Property Regime Under
Under Article 147, FC Article 148, FC
Requisites:
(i) By means of a public instrument; Applicability: Applicability:
(ii) To be recorded in the registry of property of Applies when a man  Article 148 of the
the place where the property is located. and a woman, suffering Family Code applies
no legal impediment to in cases where the
(b) By order of the court upon petition, based on any marry each other, so parties in union are
of these grounds: exclusively live together incapacitated to
(i) Other spouse becomes the guardian of the as husband and wife marry each other.
other; under a void marriage  It refers to the
or without the benefit of property regime of
(ii) Other spouse is judicially declared an
marriage. bigamous marriages,
absentee;
adulterous
(iii) Other spouse is sentenced to a penalty which
relationships,
carries with it civil interdiction; or
relationships in a
(iv) Other spouse becomes fugitive from justice or state of concubine,
hiding as an accused in a criminal case.934 relationships where

Requisites:
For Article 147 to
operate, the man
and the woman:
(i) must be capacitated
to marry each other;
(ii) live exclusively with
each other as
husband and wife;
and
(iii) their union is
without the benefit of
marriage or their
marriage is void.
Reminder: The term
"capacitated" in the
provision (in the first
paragraph of the law)
refers to the legal
capacity of a party to
contract marriage, i.e.,
any "male or female of
the age of eighteen
years or upwards not
under any of the
impediments mentioned
both man and woman
are married to other
persons, multiple
alliances of the same
married man.
Requisites:
For Article 148 to operate,
the man and the woman:
(a) must be incapacitated
to marry each other
or they do not live
exclusively with each
other as husband and
wife; and
(b) their union is without
the benefit of
marriage or their
marriage is void.
(Retroactive application of
Art. 148 FC:
Although adulterous
cohabitation of the parties
commenced before the
effectivity of the Code on
August 3,1988, Article 148
thereof applies because this
provision was intended
precisely to fill up the hiatus
in Article 144 of the Civil
Code.
in Articles 37 and 38 of
the Code. Before Article 148 of the
Family Code was enacted,
Note that while Article there was no provision
147 also applies to governing property relations
union without of couples living in a state of
marriages, or those adultery or concubinage
merely cohabiting as because Article 144 of the
husband and wife Civil Code applies only to a
without the benefit of relationship between a man
marriage, it is necessary and a woman who are not
that they must be incapacitated to marry each
capitated to marry each other, or to one in which the
other and that they are marriage of the parties is
living "exclusively as void from the beginning.
husband and wife.
Hence, even if the
As such, Article 147 cohabitation or the
does not apply to cases acquisition of the property
of multiple alliances, occurred before the Family
even if in relation to Code took effect, Article 148
each union the parties governs
are capacitated to marry
each other. In the same
way, even if it is a case
of exclusive
cohabitation but if the
parties are not
capacitated to marry
each other, Article 147
does not apply. In both
situations, the property
regime of the parties
shall be that which is (b) Property Acquired them in common in
provided in Article 148 During Cohabitation: proportion to their
of the Family Code. Under this property respective contributions.
regime, properties
Examples of acquired by both parties Hence, mere cohabitation
Marriages Governed during their union without proof of contribution
by Article 147: through their work and will not result in a co-
(i) Marriages industry shall be ownership.Such
declared void by governed by the rules contributions and
reason of on equal co- corresponding shares were
psychological ownership and are prima facie presumed to be
incapacity; prima facie presumed equal.
(ii) Marriages to have been obtained
celebrated through their joint However, for this
without a valid efforts. presumption to arise, proof
marriage license. of actual contribution is
Rule on Distribution of Rule on Distribution of Article 147 creates a required.
Properties: Properties: presumption that
properties acquired Stated otherwise, co-
(a) Wages and (a) Wages and salaries: during the cohabitation ownership will only be up to
Salaries: Wages and salaries earned of the parties have been the extent of the proven
Wages and salaries by each party belong to him acquired through their actual contribution of money,
earned by either party or her exclusively. joint efforts, work or property or industry. If the
during the cohabitation industry and shall be actual contribution of the
shall be owned by the (b) Property acquired owned by them in equal party is not proved, there will
parties in equal shares during cohabitation: shares. be no co-ownership and no
and will be divided presumption of equal
equally between them, Under this regime, only the It further provides that a shares.
even if only one party properties acquired by both party who did not  The fact that the
earned the wages and of the parties through their participate in the controverted property
the other did not actual joint contribution of acquisition by the other was titled in the name
contribute thereto. money, property and party of any property of the parties to an
industry shall be owned by shall be deemed to adulterous
have contributed jointly relationship is not
in the acquisition thereof sufficient proof of co-
if the former's efforts ownership absent
consisted in the care evidence of actual
and maintenance of the contribution in the
family and of the acquisition of the
household. property. Registration
under the Torrens title
Efforts in the care and system merely
maintenance of the confirms, and does
family and household not vest title.
are regarded as  The words "married
contributions to the to” preceding the
acquisition of common name of a spouse are
property by one who merely descriptive of
has no salary or income the civil status of the
or work or industry. registered owner and
such words do not
Unlike the conjugal prove co-ownership
partnership of gains, the under Article 148.
fruits of the couple's
separate property £ire (i) If one of the parties in the
not, however, included cohabitation is validly
in the co-ownership. married to another, his or
her share in the co-
(i) During the ownership shall accrue to
cohabitation, the parties the absolute community or
are prohibited from conjugal partnership existing
disposing by acts inter in such valid marriage. In
vivos or encumbering Belcodero v. Court of
their respective shares Appeals, the Court held that
in the co-owned property acquired by a man
property without the while living with a common-
consent of the other.
In other words, Article
493 of the NCC does
not apply. But after the
cohabitation, Article 493
of the NCC will already
be applicable.
(ii) In MBTC v.
Pascual,the validity of
an encumbrance of the
entire property made by
one of the parties
without the other's
consent was upheld by
the SC with respect
only to the share" of the
consenting co-owner,
applying the provision
of Article 493 of the
NCC.
In this case, the
encumbrance was
made after the
termination of the
cohabitation (or after the
finality of the judgment
declaring the marriage
void by reason of
psychological
incapacity).
(iii) If the cohabitation is
law wife during the
subsistence of his marriage
is conjugal property, even
when the property was titled
in the name of the common-
law wife. In such cases, a
constructive trust is deemed
to have been created by
operation of Article 1456 of
the Civil Code over the
property which lawfully
pertains to the conjugal
partnership of the subsisting
marriage.
(ii) If there is no such valid
marriage, the share of the
party who acted in bad faith
(whether either or both acted
in bad faith) shall be
forfeited, which forfeiture
shall take place upon the
termination of the
cohabitation, in favor of:
1) the common children,
if any;
2) in default of common
children, the
surviving
descendants of the
party who acted in
bad faith;
3) in the absence of
by reason of a void descendants, the Family Relations
marriage and only one innocent party.
of the parties acted in (1) Extent of "Family Relations":
bad faith, the share of Not Applicable to Same- (i) Between husband and wife
the latter in the Sex (ii) Between parents and children
coownership shall be Marriafife/Cohabitation: (iii) Among other ascendants and descendants; and
forfeited in favor of the  Article 148 does not (iv)Among brothers and sisters, whether of fulll or
following, which apply to a half-blood.
forfeiture shall take cohabitation of parties
place upon the coming from same
termination of the (c) Cases not subject to compromise:
sex, or to a same-sex
cohabitation: marriage. (i) civil status of persons;
1) the common  Note that Article 148 (ii) validity of marriage or legal separation;
children, if any; refers to (iii) any ground for legal separation;
2) in default of cohabitations (iv) future support;
common children, between a man and a (v) jurisdiction of courts; and
the surviving woman. (vi) future legitime.
descendants of the  With respect to the
party who acted in property relations of
bad faith; same-sex Chapter 2: The Family Home]
3) in the absence of cohabitations, the (Arts. 152-162, FC)
descendants, the same shall be
innocent party. governed by the (2) How Constituted:
applicable provisions prior to effectivity of after the effectivity of
of the Civil Code on Family Code: Family Code
Property.  If the family home was  a family home is
constructed before the deemed constituted
effectivity of the FC or on a house and lot
[Title V — The Family] before August 3,1988, then from the time it is
it must have been occupied as a
[Chapter 1: The Family as an Institution] constituted either family residence.
(Arts. 149-151, FC) judicially or  There is no need to
extrajudicially as constitute the
 provided under Articles same judicially or the family home is
225, 229-231 and 233 of extrajudicially as made answerable
the Civil Code. required in the Civil must have been
Code, and the incurred after August
Judicial extrajudicial exemption is 3,1988.
constitution constitution effective from the
requires the is governed time it was
filing of a by Articles constituted and lasts (4) Who May Constitute:
verified 240 to 242 as long as any of its (i) Jointly by the husband and wife or
petition of the Civil beneficiaries under (ii) by an unmarried head of a family
before the Code and Article 154 actually
courts and involves the resides therein. (5) Beneficiaries of Family Home:
the execution of  Moreover, the family (a) Two sets of beneficiaries:
registration a public home should belong
of the court instrument to the absolute
(i) The husband and wife, or an unmarried person
order with which must community or
the Registry also be conjugal partnership, who is the head of a family, who constituted the
of Deeds of registered or if exclusively by family home; and
the area with the one spouse, its
where the Registry of constitution must (ii) Their parents, ascendants, descendants, brothers
property is Property have been with and sisters, whether the relationship be legitimate
located. consent of the other, or illegitimate, who are living in the family home
and its value must and who depend upon the head of the family for
 Failure to comply with either not exceed certain legal support.
one of these two modes of amounts depending
constitution will bar a upon the area where (b) Requisites:
judgment debtor from it is located. In order for the relatives of the person who constituted
availing of the privilege  Further, the debts the family home to be considered a beneficiary of the
incurred for which family home, three requisites must concur:
the exemption does
(i) They must be among the relationships
not apply as
enumerated in Article 154 of the Family Code;
provided under
(ii) They live in the family home; and
Article 155 for which
 (iii) They are dependent for legal support upon the Meanwhile, extrajudicial of the absolute
head of the family. constitution is governed by community or the
Articles 240 to 242 of the conjugal partnership, or
Civil Code and involves of the exclusive
the execution of a public properties of either
instrument which must spouse with the latters
Benefits of Family Home: also be registered with the consent, or on the
Registry of Property. property of the
Failure to comply with unmarried head of the
(a) Rule:
either one of these two family;
It is exempt from execution, forced sale or attachment. modes of constitution will
bar a judgment debtor (iv) At the time of its
(b) Conditions precedent for exemption: from availing of the constitution, the actual
It is duly constituted as such, as follows privilege. value of the family home
(aa) If constituted prior (bb) If constituted after shall not exceed the
to effectivity of FC: effectivity of FC: amount of P300,000 in
urban areas and
P200,000 in rural areas.
It must have been (i) There must be proof
constituted either judicially that the alleged family (c) Exceptions to the rule: The foregoing exemption
or extrajudicially as home was constituted shall not apply
provided under Articles jointly by the husband and (i) For non-payment of taxes;
225, 229-231 and 233 of wife or by an unmarried (ii) For debts incurred prior to the constitution of family
the Civil Code. head of a family; home;
Judicial constitution of (iii) For debts secured by mortgages on the premises
family home requires (ii) It must be the house
before or after such constitution; and
quires the filing of a where they and their
(iv)For debts due to laborer's, mechanics, architects,
verified petition before the family actually reside
courts and the registration and the lot on which it is builders, materialmen and others who have
of the court*s order with situated; rendered service or furnished material for the
the Registry of Deeds of construction of the building.
the area where the (iii) The family home must
property is located. be part of the properties Effect of increase in actual value of family home:
If by reason of involuntary improvement
 If the increase in value is by reason of an
involuntary improvement, like the conversion into
a residential area or the establishment of roads
and other facilities, the one establishing the family
home should not be punished by making his
home liable to creditors.
 Hence, the family home still enjoys protection
from execution, force sale or attachment.
forced sale or attachment provided the following
conditions obtain:
(a) the actual value of the property at the time of its
constitution has been determined to fall below the
statutory limit and
(b) (b) the improvement or enlargement does not
result in an increase in its value exceeding the
statutory limit.

If by reason of voluntary improvement:

 If the value of the family home exceeded the
maximum amount because of voluntary
improvements by the one establishing the family
home, then Article 160 will apply.
 To warrant, therefore, the execution sale of the
family home under Article 160, the following
facts are required to be established:
1. there was an increase in its actual value;
2. the increase resulted from voluntary
improvements on the property introduced,
by the persons constituting the family
home, its owners or any of its
beneficiaries; and
3. the increased actual value exceeded the
maximum allowed under Article 157.

Any subsequent improvement or enlargement of the

family home by the persons constituting it, its owners, or
any of its beneficiaries will still be exempt from execution,