Cabaliw was the second wife of Benigno. During their marriage, they bought 2 parcels of land. They had a daughter Soledad.  Benigno abandoned his wife Cabaliw, thus the latter filed an action in court for support. The Court ordered Benigno to pay her P75 a month. However, Benigno did not pay and instead sold their property to his son-in-law Soterro. The transaction was done without Isidora’s consent. Prior to the sale, Soterro already knew that there was a judgment rendered against his father-in-law but proceeded to buy the property anyway. When Cabaliw found out, she instituted an action along with her daughter to recover the properties.

Issue:

Is there a presumption of fraud?

Held:

Yes. Alienations by onerous title are presumed fraudulent when made by persons against whome some judgment has been rendered or some writ of attachment has been issued. Benigno was ordered by the Court to pay Cabaliw support and he failed to do so. Instead, he sold his properties to his son-in-law. The close relationship between Benigno and Soterro is a badge of fraud. Soterro knew about the judgment against Benigno but proceeded to purchase the properties anyway. He cannot be said to be a purchaser in good faith. The presumption of fraud is not overcome by the fact that the transactions were all made in the nature of public instruments between Soterro and Benigno. The properties sold were conjugal properties. These cannot be sold without Cabaliw’s consent.