Maria Antonia Siguan v. Rosa Lim

Maria Antonia Siguan v. Rosa LimMagsino, Patricia Marie C.{Facts:Issue:Whether the Deed of Donation was made in fraud of Siguan and is therefore rescissibleArguments:Doctrine:Accion Pauliana the action to rescind contracts in fraud of creditors

Requisites:

Plaintiff asking for rescission has a credit prior to alienationDebtor made a subsequent contract conveying a patrimonial benefit to a third personCreditor has no other legal remedy to satisfy his claimAct being impugned is fraudulentThird person who received the property conveyed has been an accomplice to the fraudCredit of plaintiff in the accion pauliana must exist prior to the fraudulent alienation, without prior existing debt there can neither be injury nor fraud

While this is necessary, the judgment enforcing it is immaterial

Even if the judgment be subsequent to the alienation merely declaratory, with retroactive effect to the date when the credit was constituted

Aug. 1990 Debt was incurred, Aug. 1989 Deed of Donation was executed

Decision:What are the requisites of Accion Pauliana?Plaintiff asking for rescission has a credit prior to alienationDebtor made a subsequent contract conveying a patrimonial benefit to a third personCreditor has no other legal remedy to satisfy his claimAct being impugned is fraudulentThird person who received the property conveyed has been an accomplice to the fraud