Dear PAO,
The title was transferred to our name last March 2012, and there is a lien written in the title pertaining to Sec. 4, Rule 74. In April, I applied for the housing loan of Pag-ibig.

After submitting all the documentary requirements, my loan was approved. However, one of the requirements to be submitted before getting the check is to have the lien cancelled by the Registry of Deeds. When I went there they told me that I needed to submit a petition to cancel lien signed by an attorney before they cancel it.

Is it possible for an attorney to prepare this petition to cancel lien even if the two-year prescribed period has not yet elapsed?

Please advise. Thanks.
Thea

Dear Thea,
It appears that the property mentioned in your letter was already partitioned among the heirs of the deceased owner. The annotation on the title thereof is a clear indication that the partition of the property was resolved without the intervention of the court and that the same was registered before the Registry of Deeds of the place where the property is located. The annotation on the title is a lien which signifies that other heirs of the deceased who may not have participated in the partition may still claim their shares or the creditors of the decedent who have not been aware of the partition may still demand payment of the debts within two years from the settlement and distribution of the estate (Section 4, Rule 74, Rules of Court of the Philippines).

The cancellation of the said annotation need not be made through a court order. It is sufficient that a petition is made before the Registry of Deeds of the place where the property is located and that the two-year period has already expired without any deprived heirs or creditors filing a case in court to satisfy their claims (Regalado, Remedial Law Compendium Book II (11th ed.), page 23, citing LRC Circular No. 143, dated January 28, 1964).

It is clear therefore that the filing of a petition praying for the cancellation of the said annotation before the two-year period mentioned above expires is an exercise in futility. You have to wait until the said period lapses, otherwise, the petition will be denied.

Again, we find it necessary to mention that this opinion is solely based on the facts you have narrated and our appreciation of the same. The opinion may vary when the facts are changed or elaborated.

We hope that we were able to enlighten you on the matter.

Editor’s note: Dear PAO is a daily column of the Public Attorney’s Office. Questions for Chief Acosta may be sent to This email address is being protected from spambots. You need JavaScript enabled to view it.