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Art.179, Sec.7, Chapter 4 of the Civil Code of the Phils.

 Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains



Art. 179. Upon the dissolution of the conjugal partnership, an inventory shall be formed, but such inventory shall not be necessary: 
(1) If, after the dissolution of the partnership, one of the spouses should have renounced its effects and consequences in due time; or
(2) When separation of property has preceded the dissolution of the partnership. 


Discussion/Explanation:


This article tells that upon the dissolution or disintegration of conjugal partnership, it is needed that all assets should be known or inventoried. The conjugal partnership will be terminates upon the death of either spouse, when there is a decree of legal separation, when the marriage is annulled or declared void, or in case of judicial separation of property during the marriage settlement. Liquidation of properties is base on the agreement of the couple they settled before their marriage.
           
In such example of settlement of conjugal estate it will be when the marriage is dissolved by the death of the husband or wife, the community property shall be inventoried, administered, and liquidation, and the debts thereof paid, in the testate or intestate proceedings of the deceased spouse. But if both spouses have died, the conjugal partnership shall be liquidated in the testate or intestate proceeding of either.
           
 Some instances that shall not be necessary in such inventory of conjugal partnership are if one of the spouses should have renounced its effects and consequences in due time, and when separation of property has preceded the dissolution of the partnership. It just one thing that it may be one of them will disown the consequences upon the inventories for just making sure and valuing on  what property they have, before he/she married. Otherwise, if they already settle it upon separation of property or getting their own share before they marrying each other  and now after a year of living with  each other, if they decide to null their marriage or within the death on spouse, they already made an agreement. They just protecting the property on what they should have and fighting their rights in each conjugal estate.

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Art.180, Sec.7, Chapter 4 of the Civil Code of the Phils.

 Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains


Art. 180. The bed and bedding which the spouses ordinarily use shall not be included in the inventory. These effects, as well as the clothing for their ordinary use, shall be delivered to the surviving spouse. 


Discussion/Explanation:


When we say the words “ordinarily use” we are referring to those personal use or daily use in living. In this article ordinarily use by the spouse such as clothes, bed  and bedding's that an surviving spouse usually use together with his/her deceased spouse we’re not be included in the inventory. It shows the respect upon the deceased spouse and being or serves as his/her memories.

            It is also vested to this article that the inheritance does not include everything that belongs to the deceased at the time of his/her death. It is limited to his property, rights, and obligations not extinguished by his/her death. In addition, however, to the transmissible rights and obligations existing at the time of the decedent’s death, all property accruing thereto from that time will pertain to the heir.
 

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Art.181, Sec.7, Chapter 4 of the Civil Code of the Phils.

Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains




Art. 181. The inventory having been completed, the paraphernalia property shall first be paid. Then, the debts and charges against the conjugal partnership shall be paid. 


Discussion/Explanation:


By this article if the inventory will be already completed, the first should be paid is the paraphernalia property. The paraphernalia property is the property owned before he/she get married. Because it is used to designate those properties which form no part of the property a bride bring to her husband.
           
The debts and charges against the conjugal partnership shall be paid as part of the inheritance, as the provisions of the rules of court on the settlement of the estates of deceased persons but should not be overlooked. The heirs of the deceased are no longer liable for the debts he/she may leave at the time of his death. Because such debts are chargeable against the property or assets left by the deceased.

The property of the deceased may always  be subjected to the payment of his/her debts in whatever hands it may be found, inasmuch as the   right of a creditor to alien upon such property, created by the mere fact of the debtor’s death, may be said to be recognized by the provisions of the  Rules of Court.

 

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Art.182, Sec.7, Chapter 4 of the Civil Code of the Phils.

 Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains


Art. 182. The debts, charges and obligations of the conjugal partnership having been paid; the capital of the husband shall be liquidated and paid to the amount of the property inventoried.


Discussion/Explanation:


This article upon paying of the debts, charges and obligations of the conjugal partnership only what remains to the husband’s capital will be subjected to the distribution among the heirs. In other words, the heirs are no longer personally liable for the debts of the deceased. Because in such debts must be collected only from the property left upon his death and if this should not be sufficient to cover all of them, to heirs cannot be made to pay the collectible balance.
           
Within the liquidation of the capital of the husband, it is need to be paid on what have been uses in inventoried of the property. Then, whatever been left will be the amount or the inheritance that would be distributed equally among the right heirs.
 

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Art.183, Sec.7, Chapter 4 of the Civil Code of the Phils.

Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains

Art. 183. The deductions from the inventoried property having been made as provided in the two preceding articles, the remainder of said property shall constitute the credit of the conjugal partnership.


Discussion/Explanation:


           According from the Art.181 and Art. 182, this article upon deductions of all charges that need to be paid, the remaining of the inventoried property will be constitute the credit of the conjugal partnership. As we can see, only money debts are chargeable against the estate left by the deceased and these are the obligations which do not pass to the heirs, but constitute a charge against the hereditary property.
           
Thus, when a husband dies, the widow and minor or incapacitate children of the deceased person during the direction of the court, such allowances as are provided by the Civil Code. This is the allowance for support, taken out of the general estate and given to the widow and minor children until their shares are delivered to them, but which shall be deducted from their portion in so far as it exceeds what they may have been entitled to as fruits or income.
           
 Since the law gives this benefit only to minor “children” besides the widow, it is obvious that grandchildren are not included, neither is the widower or the deceased husband. And it is appears upon liquidation of the estate, that the liabilities of the conjugal partnership and of the husband’s personal estate exceed the assets and no allowance pending settlement can be given.
  

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Art.184, Sec.7, Chapter 4 of the Civil Code of the Phils.

 Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains



Art. 184. The loss or deterioration of the movables belonging to either spouse, although through fortuitous event, shall be paid from the conjugal partnership of gains, should there be any.


Those suffered by real property shall not be reimbursable in any case, except those on paraphernalia property administered by the husband, when the losses were due to his fault. He shall pay for the same.



Discussion/Explanation:


            The above article when we note the words “loss or deterioration” it is mean “act of losing or impairment for the benefit that should be used of the family”. Losing movable belongings to either spouse or for the family of the deceased that they need and should use in living were not easily. Payments from the conjugal funds if been available, it shall be made even if the  loss is through a fortuitous event or happened by a chance, the overriding consideration being the benefit afforded the family  by the movable belongings exclusively to either spouse.
           
This would not be happened if it is the owner had been indemnified or secure against the losses from whatever source that had. But upon insufficiency of said assets, the spouses shall be solidarity liable for the unpaid balance with their separate properties. Then in accordance of the property remaining this will be serve as payments.
 

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Art.185, Sec.7, Chapter 4 of the Civil Code of the Phils.

 Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains


Art. 185. The net remainder of the conjugal partnership of gains shall be divided equally between the husband and the wife or their respective heirs, unless a different basis of division was agreed upon in the marriage settlements.



Discussion/Explanation:


            In this article the profits refers to the net remainder of the conjugal properties, that is, after paying the conjugal obligations. The law provides that the surviving spouse is entitled to a portion “equal to legitimize of each of the legitimate children or descendants”, the descendant succeed only in representation of the children, and hence whatever the number of descendants may be would be immaterial. The important thing is the number of children, whether surviving or represented by descendants. If only descendants survive, therefore, the number of children they represent, and not the number of descendants, is to be taken as the divisor.
           
The descendants have their own right and share equally or per capita. In this case, it would seem that the legitimacy of the surviving spouse must be equal to that of each descendant. Under this view, however, it will be possible for the children, by repudiating, to considerably reduce the amount of legitimacy of the living spouse, if there are more descendants.
           
This is most likely to happen when the children descendants are from a former marriage of the deceased, and, therefore, might wish to prejudice the surviving spouse who is only a stepparent to them. The legitimacy of the widower should not be reduced by the unilateral act of the children. The divisor must still be the number of children.

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Art.186, Sec.7, Chapter 4 of the Civil Code of the Phils.

Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains


Art. 186. The mourning apparel of the widow shall be paid for out of the estate of the deceased husband. 


Discussion/Explanation:


           The mourning apparel is refers to the wearing clothes of the widow within her sorrow upon death of her husband. The above article tells that the mourning apparel of the widow will be paid and she doesn’t have a fear anymore about the cost of the clothes she needs to wear. It is get from the estate left of her deceased husband.
           
This is need to be paid for out of the estate because by the time of their mourn when the widow still wearing mourning apparel she’s still showing her care and respect from the death of her deceased husband. She’s still have a right to the property of her deceased husband even they null their marriage. Upon apparel, it is serving as a proof of the widow’s mourning until it won’t get over or end.

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Art.187, Sec.7, Chapter 4 of the Civil Code of the Phils.

 Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains
Art. 187. With regard to the formation of the inventory, rules for appraisal and sale of property of the conjugal partnership, and other matters which are not expressly determined in the present Chapter, the Rules of Court on the administration of estates of deceased persons shall be observed. 


Discussion/Explanation:


          This article presents that the rules on appraisal and sale of property in the Rules of Court as well as the other pertinent rules on matter not covered by this Code with respect to administration and settlement of the estate of deceased person are made applicable to liquidation of the conjugal partnership. It may also apply to liquidation of the absolute community of property in case of settlement of the estate of the deceased spouse.

           
In some point, there must be a legally appointed administrator of the estate. The liquidation of the conjugal property by the widow upon her husband’s death, not being authorized by law, is illegal and null. The person appointed administrator is entitled to the custody and possession of the property of the conjugal partnership while the settlement is being made. This doesn’t mean, however, that the wife or surviving partner is reprieved of all intervention in the settlement of the affairs of the partnership, for in intestate estate she is entitled to be appointed administered of her husband’s estate, unless some good reason for not appointing her is shown.
           
 But the partnership itself is dissolved and the surviving spouse, even if he be the husband, ceases to be the legal administrator of the conjugal property. No complainant can therefore be brought against him in an ordinary action for a recovery of a debt chargeable against the conjugal property, and the claim for this purpose should be filed in the testamentary or intestate proceedings of the deceased spouse.

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Art.188, Sec.7, Chapter 4 of the Civil Code of the Phils.

Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains

 


Art. 188. From the common mass of property support shall be given to the surviving spouse and to the children during the liquidation of the inventoried property and until what belongs to them is delivered; but from this shall be deducted that amount received for support which exceeds the fruits or rents pertaining to them.










Discussion/Explanation:


            In this article what belongs to the surviving spouse and children are their legitimized as well as the surviving spouse’s shares in the net profit or net asset of the conjugal property. With respect to the children, aside from their legitimized, they are entitled to   whatever shares may be forfeited in their favor. From these shares may be deducted over-payments for support as authorized by the above article.
           
The mass of property is now consists of right and obligations adjudicated to the heirs or transmitted to them after deducting there from all the debts left by the deceased. Obligations are no longer a part of the inheritance. There are other obligations, however, which do not constitute money debts. These are not extinguished by death, and must still be considered as forming part of the inheritance. Thus, if the deceased is a lessee for as definite period, paying a periodical rental, then the heirs will inherit the obligation to the pay the rentals as they fall due together with the rights arising from the lease contract.


  

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Art.189, Sec.7, Chapter 4 of the Civil Code of the Phils.

Main Topic: Liquidation of the Conjugal Partnership
Sub. Topic: Chapter 4 Conjugal Partnership of Gains




Art. 189. Whenever the liquidation of the partnership of two or more marriages contracted by the same person should be carried out at the same time, in order to determine the capital of each partnership all kinds of proof in the absence of inventories shall be admitted; and in case of doubt, the partnership property shall be divided between the different partnerships in proportion to the duration of each and to the property belonging to the respective spouses.



Discussion/Explanation:


          This article described that upon the liquidation of the property, it's in need to see all the proofs for proper and equal distribution of conjugal property among two or more marriages contracted by the same person. The conjugal partnership formed by the second marriage was dissolved before judicial declaration of its nullity, the only just and equitable solution in this case would be to recognize the right of the second wife to have share of one-half in the property acquired by her and her husband, and consider the other half as pertaining to the conjugal partnership of the first marriage.

However, the real properties listed in the supplementary inventory are not included, because they definitely belong to the estate of the husband as the latter’s inheritance for his parents. It is one-half of the properties that pertain to the first conjugal partnership belong to her husband as his conjugal shares upon marriage, while the other half shall be considered as inherited by him and his five children as the heirs of the first wife. The properties pertain to the second partnership shall also be equally divided that one-half will belong to the husband and the other will be on the second wife, as their respective shares in their conjugal partnership properties. Then the shares of the husband should be divided among heirs, namely the second wife and his five children. The estate/property of the second wife were  shall be consist of one-half share in the conjugal properties of the aforesaid second marriage upon distribution and her one-sixth share in the estate of their husband as an heir.

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