SC: No written donation, no city ownership of roads and open spaces

By Gerome Dalipe

The Supreme Court has ruled that local governments cannot automatically claim ownership of subdivision roads and open spaces without a formal, written deed of donation and an official act of acceptance.

In a decision penned by Associate Justice Jhosep Y. Lopez, the SC’s Second Division sided with Rainier L. Madrid, a resident and taxpayer who challenged Quezon City’s use of public funds to improve areas he argued remain privately owned within Capital Park Homes Subdivision.

Quezon City contended that a 1964 ordinance requiring developers to dedicate 6 percent of open space to the city—and the subdivision’s plan approval in 1969—amounted to legal dedication.

The city argued those acts showed the developer complied and the lots were effectively turned over.

The Supreme Court rejected that reasoning, affirming the Court of Appeals’ finding that ordinance provisions and plan approvals alone do not effect a transfer of title.

Citing the Civil Code, the high court stressed that a valid transfer of private property to the government requires both a written deed of donation and an act of acceptance by the public entity.

The ruling clarified that without those formalities, subdivision parcels designated as open spaces or roads remain private property even if accessible to the public.

It also underscored that local governments must secure clear documentary proof before treating such lands as public or spending public funds on improvements.