G.R. No. 159571 -

Ruling

WHEREFORE, premises considered, the instant appeal is hereby DISMISSED for lack of merit. The assailed decision of the court a quo dated October 26, 1998 is AFFIRMED WITH THE MODIFICATION that its declaration of the [petitioners] as lawful heirs of Dolores Derecho-Rigonan, and indicating their lawful share equivalent to the share of one child of the deceased Hilarion Derecho is DELETED. "Costs against the [petitioners]." [3] The trial court's Decision, modified by the CA, had disposed as follows: "WHEREFORE, premises considered, judgment is hereby rendered in favor of [respondents], declaring the Affidavit of Adjudication executed by Leandro Rigonan on April 24, 1980 and the Deed of Sale executed by Teodoro Rigonan in favor of Valerio Laude null and void; ordering the cancellation of Tax Dec. No. 00667 in the name of Valerio Laude; ordering the [petitioners] to pay [respondents], jointly and severally, moral damages in the sum of P10,000.00 and litigation expenses in the sum of P5,000.00. "[Petitioners] are hereby ordered to give-up and deliver the possession and ownership of the parcel of land in question to [respondents]. [Petitioners] being the heirs of the late Dolores Derecho are entitled to the rightful share equivalent to the share of one child of deceased Hilarion Derecho." [4] The Facts The instant controversy revolves around a parcel of land located at Tuburan Sur, Danao City, originally owned by Hilarion Derecho. When Hilarion died long before World War II, his eight children -- Leonardo, Apolinar, Andres, Honorata, Dolores, Gerardo, Agaton, and Oliva -- became pro indiviso co-owners of the subject property by intestate succession. Subsequently, Tax Declaration No. 00267 [5] was issued under the name "Heirs of Hilarion." On July 16, 1921, five of the co-owners -- Leonardo, Apolinar, Andres, Honorata, and Dolores -- sold the inherited property to Francisco Lacambra, subject to a five-year redemption clause. [6] Notably, the three other Derecho heirs -- Gerardo, Agaton, and Oliva -- were not parties to the pacto de retro sale. Sometime in 1928, two years after the period for redemption expired, Dolores -- together with her husband, Leandro Rigonan -- purchased [7] the land from Lacambra and immediately occupied it. [8] More than five decades passed without any controversy. On April 24, 1980, Leandro Rigonan executed the assailed Affidavit of Adjudication in favor of his son, Teodoro Rigonan (the deceased husband of Petitioner Delfina vda. de Rigonan). [9] Under this instrument, Leandro declared himself to be the sole heir of Hilarion, [10] while Teodoro obtained the cancellation of Tax Declaration No. 00267, [11] and acquired Tax Declaration No. 00667 in his own name. [12] During the same year, Teodoro mortgaged the subject property to the Rural Bank of Compostela of Cebu. Dreading foreclosure, he settled his obligations with the bank [13] by securing the aid of Spouses Valerio and Visminda Laude. On April 5, 1984, Teodoro executed the a