Seller’s warranty in case of eviction
The seller is liable for the eviction of the buyer even if there is no stipulation on the matter in their contract. Notwithstanding, the seller and the buyer may increase, diminish, or suppress this legal obligation of the vendor.
The seller is liable for eviction if the property is sold for nonpayment of taxes due and it is not made known to the buyer before the sale.
The seller (as judgment debtor) is liable for eviction in judicial sales, except if otherwise decreed in the judgment.
When adverse possession began before sale
The seller is not liable for eviction if the adverse possession began before the sale but the prescriptive period is completed after the transfer, the vendor is not be liable for eviction.
Void stipulation exempting seller if he acted in bad faith
Any stipulation that would exempt the seller from the liability for eviction is void if he acted in bad faith.
If the buyer renounced the right to warranty in case of eviction and the same took place, the seller will only pay for the value which the thing sold had at the time of the eviction. In case the buyer made the waiver with knowledge of the risks of eviction and assumed its consequences, then the seller is not liable.
Buyer’s rights in case of eviction
In case the parties have not agreed upon or nothing has been stipulated in case of eviction, the buyer has the right to demand from the seller the following:
- The return of the value which the thing sold had at the time of the eviction, be it greater or less than the price of the sale;
- The income or fruits, if he has been ordered to deliver them to the party who won the suit against him;
- The costs of the suit which caused the eviction, and, in a proper case, those of the suit brought against the vendor for the warranty;
- The expenses of the contract, if the vendee has paid them; and
- The damages and interests, and ornamental expenses, if the sale was made in bad faith.
When buyer may ask for rescission
The buyer may ask for rescission if by eviction he loses a part of thing sold of such importance, in relation to the whole, that he would not have bought it without said part, he may demand the rescission of the contract, with the obligation to return the thing without other encumbrances that those which it had when he acquired it.
Sale of immovable encumbered with unspecified non-apparent burden or servitude
In case of a sale of immovable and it is encumbered with any non-apparent burden or servitude, not mentioned in the agreement, of such a nature that it must be presumed that the vendee would not have acquired it had he been aware thereof, he may ask for the rescission of the contract, unless he should prefer the appropriate indemnity. The latter mentioned rights cannot be exercised if the non-apparent burden or servitude is recorded in the Registry of Deeds, unless there is an express warranty that the thing is free from all burdens and encumbrances.” Within one year to be computed from the execution of the deed, the buyer may seek rescission or sue for damages.
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 Ibid. Article 1548. “Eviction shall take place whenever by a final judgment based on a right prior to the sale or an act imputable to the vendor, the vendee is deprived of the whole or of a part of the thing purchased” (Article 1548, Civil Code). “The vendee need not appeal from the decision in order that the vendor may become liable for eviction” (Article 1549, Civil Code). It should be noted that the seller’s warrant “cannot be enforced until a final judgment has been rendered, whereby the vendee loses the thing acquired or a part thereof” (Article 1557, Civil Code). Thus, the seller is not “obliged to make good the proper warranty, unless he is summoned in the suit for eviction at the instance of the vendee” (Article 1668, Civil Code). Hence, the defendant buyer “shall ask, within the time fixed in the Rules of Court for answering the complaint, that the vendor be made a co-defendant” (Article 1559, Civil Code).
 Ibid. Article 1548.
 Ibid. Article 1551.
 Ibid. Article 1552.
 Ibid. Article 1550.
 Ibid. Article 1553.
 Ibid. Article 1554.
 CIVIL CODE. Article 1555.
 Ibid. Article 1555 (1).
 Ibid. Article 1555 (2).
 Ibid. Article 1555 (3).
 Ibid. Article 1555 (4).
 Ibid. Article 1555 (5).
 CIVIL CODE. Paragraph 1, Article 1556. The seller may “exercise this right of action, instead of enforcing the vendor’s liability for eviction.” “The same rule shall be observed when two or more things have been jointly sold for a lump sum, or for a separate price for each of them, if it should clearly appear that the vendee would not have purchased one without the other” (Paragraph 2 and 3, Article 1556, Civil Code).
 Ibid. Paragraph 1, Article 1560.
 Ibid. Parragph 1, Article 1560.
 Ibid. “One year having elapsed, he may only bring an action for damages within an equal period, to be counted from the date on which he discovered the burden or servitude” (Paragraph 3, Article 1560, Civil Code).