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Chapter VII PROPERTY 1.) Law of country where property is situated. Article 16.

Real property as well as personal property is subject to the law of the country where it is stipulated/situated. Said provision embodies the rule of LEX Loci or Lex Loci or Lex Loci Rei Sitae. (The law of the place where a thing is situated., In recovery of land, the rule is that the action is governed by the law of the place where the land is located.) The situs of real property is fixed and irremovable, which is the place where it is situated. The situs of personal property may be transferred or removed from one country to another by its owner; EXCEPT: certain personal property which the law considers it as having a fixed situs, such as shares of stock which have their situs in the country where the corporation which issued them is domiciled or is incorporated. Further Lex loci or lex loci rei sitae with respect to real property means that the law of the place where the property is situated will govern. Read: American Jurisprudence on Lex Loci generally inflexible. It states: It is a universal principle that real or immovable property is exclusively subject to the laws of the country or state within which it is situated, and NO interference with it by any other sovereignty can be permitted. Therefore, all matters concerning the title and disposition of real property are determined by what is kwon as the lex loci rei sitae, which alone can prescribed the mode by which a title can pass from one person to another, or an interest therein of any sort can be grained or lost. (This general principle includes all rules which govern the descent alienation, and transfer of such property and the validity, effect, and construction of wills and other conveyances.)

@ Under this book the author classified the following real or immovable and personal or movable property taken from R.A. 386 known as NCC.

- Article 415. The following are immovable property: (1) Land, buildings, roads and constructions of all kinds adhered to the soil; (2) Trees, plants, and growing fruits, while they are attached to the land or form an integral part of an immovable; (3) Everything attached to an immovable in a fixed manner, in such a way that it cannot be separated therefrom without breaking the material or deterioration of the object;

(4) Statues, reliefs, paintings or other objects for use or ornamentation, placed in buildings or on lands by the owner of the immovable in such a manner that it reveals the intention to attach them permanently to the tenements; (5) Machinery, receptacles, instruments or implements intended by the owner of the tenement for an industry or works which may be carried on in a building or on a piece of land, and which tend directly to meet the needs of the said industry or works; (6) Animal houses, pigeon-houses, beehives, fish ponds or breeding places of similar nature, in case their owner has placed them or preserves them with the intention to have them permanently attached to the land, and forming a permanent part of it; the animals in these places are included; (7) Fertilizer actually used on a piece of land; (8) Mines, quarries, and slag dumps, while the matter thereof forms part of the bed, and waters either running or stagnant; (9) Docks and structures which, though floating, are intended by their nature and object to remain at a fixed place on a river, lake, or coast; (10) Contracts for public works, and servitudes and other real rights over immovable property. (334a) On the other hand, the following are deemed to be movable or personal property: Article 416. The following things are deemed to be personal property: (1) Those movables susceptible of appropriation which are not included in the preceding article; (2) Real property which by any special provision of law is considered as personalty; (3) Forces of nature which are brought under control by science; and (4) In general, all things which can be transported from place to place without impairment of the real property to which they are fixed. (335a) Article 417. The following are also considered as personal property: (1) Obligations and actions which have for their object movables or demandable sums; and

(2) Shares of stock of agricultural, commercial and industrial entities, although they may have real estate.
(Note: Discussion: this articles of the NCC classify, by enumeration, what are immovable or real properties and what are movable or personal properties. ) (Further noted: the situs of shares of stock is in the country or state where the corporation which issues them is registered and organized) 2. Lex Loci rule affecting land in the Philippines. Article 16. Real property as well as personal property is subject to the law of the country where it is stipulated/situated. It recognizes that foreign law of a foreign country governs real property situated therein, just as Philippines law governs real estate transactions in the country. Philippines law on real property, as it may impinge upon conflict of laws, is that ownership of land is reserved only to Filipino citizen or to a private corporate whose capital stock is owned by at least 60% of such citizen. (Sec. of art. XII of 1987 constitution.) Pursuant to Art. XII, sec. 3 of the constitution, private corporations may not hold alienable lands of the public domain EXCEPT by LEASE and citizens may lease or acquire alienable public lands. Art. XII, Sec. 2 limits the exploitation, development and utilization of agricultural lands to those specified therein, such as a private corporation the capital of which is owned by at least 60% of Filipino citizens. The 60% Filipino ownership requirement for a corporation to own land does not apply to a corporation sole, (Corporation Sole - special form of corporation; associated with the clergy and consists of 1 person only and his successors; incorporated by law giving them legal capacity and advantage) only the administrator of the temporalities in the diocese, on behalf of the faithful who are Filipino citizens. (But such requirement can be apply to religious societies composed of foreigners.)

3. Exception to rule prohibiting alien from owning land. 4. Conflict of laws in real property situated in another country. 5. Illustrative cases in lex loci: Laurel vs. Garcia.