G.R. No. 131277 -

Ruling

WHEREFORE, the foregoing considered, the appealed decision is SET ASIDE and another one entered allowing plaintiffs-appellants to stay in the premises pending final termination of the administrative proceedings for cancellation of defendants-appellees' titles and final termination of the action for reversion and annulment of title. Let notice of lis pendens be annotated on Original Certificate of Title Nos. T-55515 and T-55516. "Let a copy of this decision be furnished to the Director of Lands and the Office of the Solicitor General for the administrative investigation of plaintiff-appellant's complaint and [for] the eventual filing of the petition for the cancellation of defendants-appellees' title [to] be initiated, expedited if still pending, and resolved without further delay." [2] By the foregoing disposition, the Court of Appeals effectively reversed the February 9, 1995 Decision [3] of the Regional Trial Court of Misamis Oriental, Branch 17, which disposed: "WHEREFORE, premises considered, the complaint filed in this case against the defendants by the plaintiffs should be, as it is hereby ordered, DISMISSED, for lack of merit. Accordingly, the defendants are hereby declared as owners of the property in litigation as evidenced by their certificates of title covering their respective portions of Lot No. 3714 and the plaintiffs, who are now possessing and occupying said parcel of land, are hereby ordered to vacate the same within ninety (90) days, so that the defendants can take possession of their respective portions and enjoy the same as owners thereof. "The counter-claims are, likewise, dismissed for failure to prove the same. Costs against the plaintiffs." [4] Hence, this recourse to this Court. [5] The Facts As found by the Court of Appeals, the facts of the case are as follows: "x x x Plaintiffs-appellants [herein respondents] are the actual occupants and residents of a portion [of land] consisting of 1 ha. 7552 sq. m. (Appellants' Brief, p. 28, Rollo) of the controverted lot, Lot No. 3714 of the Cadastral Survey of Cagayan [(]Cadastral Case No. 18, L.R.C. Rec. No. 1562[)] with the improvements thereon, situated in the Barrio of Lapasan, City of Cagayan de Oro x x x containing an area of ONE HUNDRED TWENTY SIX THOUSAND ONE HUNDRED AND TWELVE (126,112) SQUARE METERS, more or less (Exhibit `2'; Records, pp. 12-13). "Plaintiffs-appellants are miscellaneous sales patent applicants of their respective portions of the aforedescribed lot occupied by them [(]some as far back as 1965[)] and have been religiously paying taxes on the property. The action for reconveyance with damages filed before the Regional Trial Court, Misamis Oriental, Cagayan de Oro City springs from the fact that the lot in question [(]Lot 3714[)] had been titled under Original Certificate of Title No. O-740 issued by the then Land Registration Commission on December 13, 1977 in the name of Patricio Salcedo married to Pilar Nagac. Said OCT was issued pursuant to Decree of Re