IMMOVABLE PROPERTY
• Lex situs (where the property is situated)
– character of immovable property as an isolated
object (law of the place where the land is situated)
Immovable property
as the factor not the parties
MOVABLE PROPERTY
• Lex domicilii (owner’s domicile)
• Lex situs (where the property is situated)
• Lex loci actus (place where the transaction was completed and
the proper law of the forum)
Proper law of
transfer (state which has the
most real connection with the transfer)
Article 16 of the
Civil Code
“Real property as
well as personal property is subject to the law of the place where it is
situated”
CAPACITY TO TRANSFER OR ACQUIRE
• Law of the place where the property is located
EXTRINSIC AND INTRINSIC VALIDITY
• The formalities of a contract to convey
property are governed by the lex situs.
• Lex situs also applies to the essential
validity of the transfer unless the lex intentionis is clearly established.
• The lex situs also governs the effects of the
conveyance of properties.
EXCEPTIONS TO LEX SITUS RULE
• Where the transaction does not affect transfer
of title to or ownership of the land. In this case the proper law of the
transfer which is the lex intentionis or lex voluntatis is the governing law.
• In contracts where real property is offered by
way of security for the performance of an obligation such as loan, the
principal contract is the loan while the mortgage of the land is only an
accessory. The mortgage of the land is governed by the rule of lex situs but
the loan contract is governed by the rules on ordinary contracts.
• Testate and intestate succession and capacity
to succeed are governed by the national law of the decedent. (Article 16, par.
2, Civil Code)
