In executing a deed of donation, one must consider first the capacity of the

donor to enter into contracts. He must be capable of disposing the object of

the donation and he must not be prohibited or disqualified by law from
making such donation. The donee must likewise not be disqualified by law
from accepting the donation (Article 738, Civil Code). For instance,
incapacitated persons may not be recipients of donations. Donation made
in their favor shall be void even if made under the guise of another contract
or through a person who is interposed (Article 743, Civil Code).
Our laws also state that those who are incapacitated to succeed by will
may not accept donations. This includes: (1) priests who heard the
confession of the donor during the latters last illness, or the minister of the
gospel who extended spiritual aid to him during the same period; (2)
relatives of such priest or minister of the gospel within the fourth degree,
the church, order, chapter, community, organization, or institution to which
such priest or minister may belong; (3) guardians, if made by their wards,
before final accounts of the guardianship have been approved, unless the
guardian is an ascendant, descendant, brother or sister; (4) attesting
witness of the execution of the donation, if there is any, or the spouse,
parents or children, or anyone claiming under such witness, spouse,
parents or children; (5) physician, surgeon, nurse, health officer, or druggist
who took care of the donor during his last illness; and (6) those made by
individuals, associations, and corporations not permitted by law to make
donations (Article 1027, Civil Code). Additionally, spouses and those living
together as husband and wife without a valid marriage are prohibited from
donating to each other during the marriage or during the time they are living
together, except moderate gifting on the occasion of family rejoicing (Article
87, Family Code of the Philippines).
Apart from the foregoing, the following are considered prohibited donations:
(1)
Those made between persons who were guilty of adultery or concubinage
at the time of the donation; (2) Those made between persons who were
guilty of the same criminal offense, in consideration thereof; (3) Those
made to a public officer or his wife, descendants and ascendants, by
reason of his office (Article 739, Civil Code).
The object to be donated must not be outside the commerce of men and
must be transmissible. If the property to be donated is a personal property,
the parties may agree orally or in writing, provided that if the agreement is
made orally, simultaneous delivery must be made. But if the value of the
personal property exceeds five thousand pesos (P5,000), the donation and
the acceptance thereof must be made in writing (Article 748, Civil Code).
On the other hand, if what is to be donated is a real property, the same
must be made in a public document, specifying the property to be donated
and the value of the charges which the donee must satisfy (Article 749,
Civil Code).
The acceptance of the donee may be made in the same instrument or in a
separate public document, but it shall not take effect, unless it is done
during the lifetime of the donor. If the acceptance is made in a separate

public document, the donor must be notified of such acceptance in an

authentic form and the same must be noted in both instruments.
To understand the procedure of donating a property, it is important to
understand first the nature of donation as a legal act. According to law:
Article 725. Donation is an act of liberality whereby a person disposes
gratuitously of a thing or right in favor of another, who accepts it (Civil Code
of the Philippines).
As clearly defined by the above-cited law, donation is a legally recognized
act of voluntarily transferring ownership over a property by the owner to his
intended recipient who in turn accepts the donated property.
The law provides for specific formal requirements in donating a property
depending on the nature of the property being donated. For immovable
properties such as the land that will be donated to you by your father, the
law provides that:
Article 749. In order that the donation of an immovable may be valid, it
must be made in a public document, specifying therein the property
donated and the value of the charges which the donee must satisfy.
The acceptance may be made in the same deed of donation or in a
separate public document, but it shall not take effect unless it is done
during the lifetime of the donor.
If the acceptance is made in a separate instrument, the donor shall be
notified thereof in an authentic form, and this step shall be noted in both
instruments (Civil Code of the Philippines).
In other words, for there to be a valid donation, the law requires that a deed
of donation be executed in a public document indicating the details of the
property to be donated and the conditions for the donation, if any. It is also
required that the person receiving the donation expressly manifests his/her
conformity in receiving the donation in the same document or in a separate
document but which must be executed within the lifetime of the donor.
These formal requirements in the preparation and execution of a deed of
donation must be fully observed to have a valid donation.
With regard to your concern on processing the donation in order to transfer
the donated property to your name, you would need to proceed to the
Assessors Office where the property is located for the tax assessment and
zonal classification of the subject land. You would also need to pay the real
property tax of the land at the Treasurers Office, including the necessary
donors tax to be paid at the Bureau of Internal Revenue. After paying the
necessary legal fees and taxes, you may proceed to the Registry of Deeds
for the transfer of the title of the property to your name.

DONATION

NATURE OF DONATIONS
Art. 725. Donation is an act of liberality whereby a person disposes gratuitously of a thing or right in
favor of another, who accepts it. (618a)

DONATION AS AN ACT AND AS A CONTRACT

> Although the article says it is an act, it cannot be denied that a donation is really a contract
> It itself is a mode of acquiring ownership and doesnt ordinarily require delivery before ownership
may be transferred

ESSENTIAL CHARACTERISTICS OF A TRUE

DONATION INTER VIVOS
1. The necessary form
2. Consent or acceptance by donee during donors lifetime
3. Irrevocability
4. Intent to benefit the donee
5. Resultant decrease in the assets or patrimony of donor
Art. 726. When a person gives to another a thing or right on account of the latter's merits or
of the services rendered by him to the donor, provided they do not constitute a demandable
debt, or when the gift imposes upon the donee a burden which is less than the value of the
thing given, there is also a donation. (619)

CLASSIFICATION OF DONATIONS
1. From viewpoint of motive, purpose or cause
a. Simplethe cause is pure liberality
b. Renumeratorydue to past services rendered or future services or charges and burdens
c. Onerousburdens and charges equal to the value of the thing donated
d. Modalconsideration is less than the value of the thing donated
2. Time of taking effect
a. Inter vivos
b. Mortis causa
Art. 727. Illegal or impossible conditions in simple and remuneratory donations shall be considered
as not imposed. (n)
Art. 728. Donations which are to take effect upon the death of the donor partake of the nature
of testamentary provisions, and shall be governed by the rules established in the Title on
Succession. (620)

DONATIONS FROM THE VIEWPOINT OF EFFECTIVITY

DISTINCTION BETWEEN DONATION INTER VIVOS
AND MORTIS CAUSA
INTER VIVOS

MORTIS CAUSA

Takes effect during lifetime of donor Must

follow the formalities of donations
Cannot be revoked except for grounds
provided for by law
In case of impairment of the legitime,
donations inter vivos are preferred to
donations mortis causa
The right of disposition is completely
transferred to the donee

Acceptance by donee must be during

lifetime of donor

Takes effect after the death of the donor

Must follow the formalities of wills and codicils
Can be revoked anytime and for any reason while
the donor is still alive
In case the legitime is impaired, donations mortis
causa are reduced ahead of donations inter vivos,
the latter being preferred
The right of disposition isnt transferred to the donee
while the donor is still alive
Acceptance by donee mortis causa can be only be
done upon donors death

DONATION IN PRAESENTI TO BE DELIVERED IN

FUTURO
> Considered as a donation inter vivos and all the characteristics referred to above are applicable to
it in relation to a donation inter vivos
Art. 729. When the donor intends that the donation shall take effect during the lifetime of the
donor, though the property shall not be delivered till after the donor's death, this shall be a
donation inter vivos. The fruits of the property from the time of the acceptance of the
donation, shall pertain to the donee, unless the donor provides otherwise. (n)
Art. 730. The fixing of an event or the imposition of a suspensive condition, which may take
place beyond the natural expectation of life of the donor, does not destroy the nature of the
act as a donation inter vivos, unless a contrary intention appears. (n)

SUSPENSIVE CONDITION WHICH MAY BE FULFILLED

BEYOND THE LIFETIME OF THE DONOR
> Reason for the lawretroactive effect of the fulfillment of the suspensive condition
Art. 731. When a person donates something, subject to the resolutory condition of the
donor's survival, there is a donation inter vivos. (n)

DONATION SUBJECT TO THE RESOLUTORY

CONDITION OF THE DONORS SURVIVAL
Art. 732. Donations which are to take effect inter vivos shall be governed by the general
provisions on contracts and obligations in all that is not determined in this Title. (621)

SUPPLETORY EFFECT OF RULES ON CONTRACTS

Art. 733. Donations with an onerous cause shall be governed by the rules on contracts and
remuneratory donations by the provisions of the present Title as regards that portion which
exceeds the value of the burden imposed. (622)
Art. 734. The donation is perfected from the moment the donor knows of the acceptance by
the donee. (623)

PERFECTION OF THE DONATION

> Donation is perfected not from the time of acceptance but from the time of knowledge of the donor
that the donee has accepted

PERSONS WHO MAY GIVE OR RECEIVE A DONATION

Art. 735. All persons who may contract and dispose of their property may make a donation. (624)

WHO MAY DONATE; SIMULTANEOUS CAPACITIES

> It is not enough that a person be capacitated to contract, he must also have the capacity to dispose
Art. 736. Guardians and trustees cannot donate the property entrusted to them. (n)
REASON FOR THE RULE: they can only do acts of administration and not of ownership.
Art. 737. The donor's capacity shall be determined as of the time of the making of the
donation. (n)

DETERMINATION OF CAPACITY
> Capacity of both donor and donee is determined at the time of perfection of the donation
Art. 738. All those who are not specially disqualified by law therefor may accept donations.
(625)

WHEN IS A PERSON CONSIDERED SPECIALLY

DISQUALIFIED BY LAW
> Specially disqualified doesnt refer to those incapacitated to contract like minors and those of
unsound mind but to people such as those mentioned in article 739, etc.
Art. 739. The following donations shall be void:
(1) Those made between persons who were guilty of adultery or concubinage at the time of
the donation;
(2) Those made between persons found guilty of the same criminal offense, in consideration
thereof;
(3) Those made to a public officer or his wife, descedants and ascendants, by reason of his
office.
In the case referred to in No. 1, the action for declaration of nullity may be brought by the
spouse of the donor or donee; and the guilt of the donor and donee may be proved by
preponderance of evidence in the same action. (n)

DONATIONS THAT ARE VOID BECAUSE OF MORAL

CONSIDERATIONS
1. The first kindthose made between persons who were guilty of adultery or concubinage at the
time of the donation
a. The adultery or concubinage need not be proved in a criminal action. The guilt may be proved
by preponderance of evidence.
b. If the donation was made after the adultery or concubinage, then it is valid except if the

consideration thereof is the commission of the act

c. If the perpetrators are merely sweethearts but dont have any sexual intercourse with one
another, then this prohibition is not applicable. Remember the elements of adultery and
concubinage.
2. The second kindthose made between persons found guilty of the same criminal offense, in
consideration thereof
a. There must be a criminal convictionmere preponderance of evidence showing guilt is not
sufficient
b. It doesnt matter whether the donation was made before or after the commission of the offense
3. The third kindthose made to a public officer or his wife, descendants and ascendants by reason
of his office
a. Purposeto prevent bribery

REASON WHY THE DONATION ARE VOID

> Void by reason of public policy
Art. 740. Incapacity to succeed by will shall be applicable to donations inter vivos. (n)
Art. 1027. The following are incapable of succeeding:
(1) The priest who heard the confession of the testator during his last illness, or the minister
of the gospel who extended spiritual aid to him during the same period;
(2) The relatives of such priest or minister of the gospel within the fourth degree, the church,
order, chapter, community, organization, or institution to which such priest or minister may
belong;
(3) A guardian with respect to testamentary dispositions given by a ward in his favor before
the final accounts of the guardianship have been approved, even if the testator should die
after the approval thereof; nevertheless, any provision made by the ward in favor of the
guardian when the latter is his ascendant, descendant, brother, sister, or spouse, shall be
valid;
(4) Any attesting witness to the execution of a will, the spouse, parents, or children, or any
one claiming under such witness, spouse, parents, or children;
(5) Any physician, surgeon, nurse, health officer or druggist who took care of the testator
during his last illness;
(6) Individuals, associations and corporations not permitted by law to inherit. (745, 752, 753,
754a)
Art. 1032. The following are incapable of succeeding by reason of unworthiness:
(1) Parents who have abandoned their children or induced their daughters to lead a corrupt or
immoral life, or attempted against their virtue;
(2) Any person who has been convicted of an attempt against the life of the testator, his or
her spouse, descendants, or ascendants;
(3) Any person who has accused the testator of a crime for which the law prescribes
imprisonment for six years or more, if the accusation has been found groundless;
(4) Any heir of full age who, having knowledge of the violent death of the testator, should fail
to report it to an officer of the law within a month, unless the authorities have already taken
action; this prohibition shall not apply to cases wherein, according to law, there is no
obligation to make an accusation;
(5) Any person convicted of adultery or concubinage with the spouse of the testator;
(6) Any person who by fraud, violence, intimidation, or undue influence should cause the
testator to make a will or to change one already made;
(7) Any person who by the same means prevents another from making a will, or from revoking

one already made, or who supplants, conceals, or alters the latter's will;
(8) Any person who falsifies or forges a supposed will of the decedent. (756, 673, 674a)
Art. 741. Minors and others who cannot enter into a contract may become donees but acceptance
shall be done through their parents or legal representatives. (626a)

MINORS MAY BE DONEES MAY MINORS ACCEPT BY

THEMSELVES?
It depends.
1. If the donation is simpleyes because after all is for the benefit of the child. The exception is
when a written acceptance is required. In this case, the parents or legal representative must
intervene.
2. If the donation is onerous or conditionalbecause there is some burden is imposed on the child.
The parent and the legal representative must intervene.
Art. 742. Donations made to conceived and unborn children may be accepted by those
persons who would legally represent them if they were already born. (627)

REQUISITES FOR THE ARTICLE TO APPLY

1. The child be born alive later
2. Or that the child after being born alive, should live for at least 24 hours
Art. 743. Donations made to incapacitated persons shall be void, though simulated under the guise
of another contract or through a person who is interposed. (628)

DISGUISED DONATIONS TO INCAPACITATED

PERSONSMEANING OF INCAPACITATED
> Refers to those who are not allowed to become donees
Art. 744. Donations of the same thing to two or more different donees shall be governed by the
provisions concerning the sale of the same thing to two or more different persons. (n)

DONATION OF THE SAME OBJECT TO TWO OR MORE

DIFFERENT DONEES; CROSS-REFERENCE TO
ARTICLE 1544
Art. 745. The donee must accept the donation personally, or through an authorized person with a
special power for the purpose, or with a general and sufficient power; otherwise, the donation shall
be void. (630)

FORMALITIES FOR ACCEPTANCE

> The formalities for acceptance if any must also be present, otherwise the donation is void

THRU WHOM ACCEPTANCE MAY BE MADE

> This article speaks of two kinds of authorized personsone with special power and another, one
with a general and sufficient power
Art. 746. Acceptance must be made during the lifetime of the donor and of the donee. (n)

APPLICABILITY OF THE ARTICLE ON WHEN

ACCEPTANCE IS TO BE MADE
> The rule enunciated herein is applicable to donations inter vivos as well as donations which are
onerous
> In the case of onerous donations, without unconditional acceptance, there will be no meeting of
minds and thus, no perfection of contract
Art. 747. Persons who accept donations in representation of others who may not do so by
themselves, shall be obliged to make the notification and notation of which Article 749 speaks. (631)

ADDITIONAL DUTY OF THOSE WHO ACCEPT FOR

OTHERS
1. It is understood that the persons referred to here are duly authorized to do the acceptance
2. Notification and notation in the proper cases, are essential for the perfection of the donation
Art. 748. The donation of a movable may be made orally or in writing. An oral donation requires the
simultaneous delivery of the thing or of the document representing the right donated. If the value of
the personal property donated exceeds five thousand pesos, the donation and the acceptance shall
be made in writing, otherwise, the donation shall be void. (632a)
Art. 749. In order that the donation of an immovable may be valid, it must be made in a public
document, specifying therein the property donated and the value of the charges which the donee
must satisfy. The acceptance may be made in the same deed of donation or in a separate public
document, but it shall not take effect unless it is done during the lifetime of the donor. If the
acceptance is made in a separate instrument, the donor shall be notified thereof in an authentic form,
and this step shall be noted in both instruments. (633)