Judge of First Instance may appoint guardian.
SEC. 551. Judge of First Instance may appoint guardian. — The judge of a Court of First Instance of each province, when it appears necessary or convenient, may appoint guardians for the persons and estates, or either of them, of minors, who have no guardian legally appointed by will or deed, and who are inhabitants or residents of the province, or who reside without the Philippine Islands and have estates within the province. Such appointment may be made on the petition of a relative, or other person on behalf of the minor, or on petition of the minor, if fourteen years of age. Before making such appointment the judge must cause such notice as he deems reasonable to be given to any person having the care of such minor, and to such relatives of a minor residing in the province as he may deem proper.
Spanish law as to power of family council in guardianship matters repealed.
SEC. 552. Spanish law as to power of family council in guardianship matters repealed. — All provisions of Spanish law heretofore prevailing in the Philippine Islands, giving to the family council any authority in the appointment of guardians for minors or other persons, are hereby repealed.
Father or mother natural guardian and to be appointed guardian of estate, If competent.
SEC. 553. Father or mother natural guardian and to be appointed guardian of estate, If competent. — The father, or, in case of his death or legal disqualification, the mother, of a minor child, is to be deemed the natural guardian of the child, and as such is entitled to the custody, and care for the education, of the minor, but not of his estate, unless so ordered by the court. It shall be the duty of the judge, in the appointment of guardian of the estate of a minor child, to appoint the father or mother or near relative of the child, preference being given in the order just named; but the court shall have the power to set aside the order of preference here provided, and to appoint any suitable person as guardian, either of the person or of the estate of the minor, or both, as the best interests of the child may require. The authority of the guardian shall not be extinguished or affected by the marriage of the guardian.
Guardian to care for minor's education.
SEC. 554. Guardian to care for minor's education. — A guardian duly appointed shall have the custody and care of the education of the minor, if the court shall so order, and likewise the care and management of his estate, if the court shall so order, until such minor arrives at the age of majority, or marries, or until the guardian is legally discharged.
Bond of guardian.
SEC. 555. Bond of guardian. — Before the order appointing any person guardian under this chapter takes effect, and before letters of guardianship issue, the judge must require of such person a bond to the minor, with sufficient surety, to be approved by the judge, and in such sum as he shall order, conditioned that the guardian will faithfully execute the duties of his trust according to the law, and the following conditions shall form a part of such bond without being expressed therein:
1. To make an inventory of all the estate, real and personal, of his ward, that comes to his possession or knowledge, and to return the same within such time as the court may order;
2. To dispose of and manage the estate according to law for the best interests of the ward, and faithfully to discharge his trust in relation thereto, and also in relation to the care, custody, and education of the ward;
3. To render an account on oath of the property, estate, and moneys of the ward in his hands, and all proceeds or interest derived therefrom, and of the management and disposition of the same, within three months after his appointment, and at such other times as the judge directs, and at the expiration of his trust, to settle his accounts with the Court of First Instance and to pay over and deliver all the estate, moneys, and effects remaining in his hands, or due from him on such settlement, to the person lawfully entitled thereto. Upon filing the bond duly approved, letters of guardianship must issue from the judge to the person appointed. The oath of the guardian shall be indorsed thereon that he will perform the duties as such guardian according to law.
Recording letters of guardianship.
SEC. 556. Recording letters of guardianship. — All letters of guardianship issued, and all guardians' bonds executed under the provisions of this chapter, together with the oaths thereon, must be recorded by the clerk of the Court of First Instance of the province within and for which the appointment is made.
Testamentary guardians.
SEC. 557. Testamentary guardians. — Every guardian appointed by the will of a parent must give bond and qualify, and has the same powers and has the same duties in regard to the person and estate of his ward as guardians appointed by the court, except so far as their powers and duties are legally modified, enlarged, or changed by the will by which such guardian was appointed.
Guardians ad litem not affected by this chapter.
SEC. 558. Guardians ad litem not affected by this chapter. — Nothing contained in this chapter affects or impairs the power of any court to appoint a guardian ad litem, to defend the interests of any minor interested in any action or matter pending therein.
GUARDIAN OF PERSONS OF UNSOUND MIND
Appointment of guardians of persons of unsound mind.
SEC. 559. Appointment of guardians of persons of unsound mind. — When it is represented to a Court of First Instance, or a judge thereof, by petition verified by oath of any relative or friend, that any person who is an inhabitant or resident of the province, is insane or is a spendthrift, incompetent to manage his estate, praying that a guardian may be appointed for such person, such court or judge must cause a notice to be given to the supposed insane or incompetent person of the time and place of hearing the petition, not less than five days before the time so appointed; and such person, if able to attend, must be produced on the hearing.
Duty of court to appoint.
SEC. 560. Duty of court to appoint. — If after a full hearing and examination upon such petition, it appears to the court or judge that the person in question is incapable of taking care of himself and managing his property, such court or judge must appoint a guardian of his person and estate, with the powers and duties hereinafter specified.
Power and bond of guardian.
SEC. 561. Power and bond of guardian. — Every guardian appointed, as provided in the preceding section, shall have the care and custody of the person of his ward and the management of all of his estate, until such guardian is legally discharged; and he must give bond to such ward in like manner and with like conditions as before prescribed with reference to the guardian of a minor.
Restoration of competency.
SEC. 562. Restoration of competency. — Any person who has been declared insane or incompetent, or the guardian, or any relative of such person within the third degree, or any friend may apply, by petition, to the Court of First Instance of the province in which the appointment of guardians is made, and have the fact of his restoration to capacity judicially determined. The petition shall be verified by oath, and shall state that such person is then sane and competent. Upon receiving the petition, the court must appoint a day for hearing before the court, and shall cause notice of the trial to be given to the guardian of the person so declared insane or incompetent and to the ward. On the trial, the guardian, or relatives of the person so declared insane or incompetent, and in the discretion of the court any other person, may contest the right to the relief demanded. Witnesses may be required to appear and testify, and may be called and examined by the court on its own motion. If it be found that the person be of sound mind, and capable of taking care of himself and property, his restoration to capacity shall be adjudged and the guardianship of such person, if such person be not a minor, shall cease.
Guardian to pay debts of ward.
SEC. 563. Guardian to pay debts of ward. — Every guardian appointed under the provisions of this chapter, whether for a minor or any other person, must pay all just debts due from his ward out of his personal estate and the income of his real estate if sufficient; if not, then out of his real estate, upon obtaining an order for the sale thereof, and disposing of the same, in the manner provided in this Code for the sale of real estate of deceased persons.
Guardian to settle all affairs of ward.
SEC. 564. Guardian to settle all affairs of ward. — Every guardian must settle all accounts of the ward, and demand, sue for, and receive all debts due to him, or may, with the approbation of the judge, compound for the same and give discharges to the debtor, on receiving a fair and just dividend of the estate and effects; he must appear for and represent his ward in all legal suits and proceedings, unless another person be appointed for that purpose.
Management of ward's estate.
SEC. 565. Management of ward's estate. — Every guardian must manage the estate of his ward frugally and without waste, and apply the income and profits thereof, so far as may be necessary, for the comfortable and suitable maintenance of the ward and his family, if there be any; and if such income and profits be insufficient for that purpose, the guardian may sell the real estate, upon obtaining an order of the judge therefor, as provided in the preceding section. He must apply the proceeds of such sale, so far as may be necessary, for the maintenance and support of his ward and his family, if there be any.
Action of guardian in partition proceedings.
SEC. 566. Action of guardian in partition proceedings. — The guardian may join in and assent to a partition of the real or personal estate of the ward, held by the ward jointly or in common with others, after leave granted by the judge or court having jurisdiction over the estate; but such leave shall not be granted except after a careful investigation of the necessity and propriety of the proposed action by the judge or court, after such notice to relatives of the ward as the judge or court may deem necessary.
Inventory and accounts of guardians.
SEC. 567. Inventory and accounts of guardians. — Every guardian must return to the court an inventory of the estate of his ward within three months after his appointment and annually thereafter. The court or judge may, upon application made for that purpose by any person interested, compel the guardian to render an account to the court of the estate of his ward. The inventories and accounts so to be returned must be sworn to by the guardian. All the estate of the ward described in the first inventory must be appraised by two appraisers appointed and sworn by the judge. Such inventory, with the appraisement of the property therein described, must be recorded by the clerk of the court in a proper book kept in his office for that purpose. Whenever any other property of the ward is discovered, not included in the inventory of the estate already returned, and whenever any other property has been succeeded to or acquired by any ward, for his benefit, the like proceedings must be had for the return and appraisement thereof within the time provided for the first inventory and return.
Settlement of guardian's accounts.
SEC. 568. Settlement of guardian's accounts. — The guardian must upon the expiration of a year, from the time of his appointment, and as often thereafter as may be required, present his account to the court for settlement and allowance.
In the settlement of the account, the guardian shall be allowed the amount of his reasonable expenses incurred in the execution of his trust and also such compensation for his services as the court, in which his accounts are settled, deems just and reasonable; but not exceeding two dollars per day for the time actually spent, and a commission upon all disbursements made by him, which commission shall be the same as that in this Code provided for disbursements made by executors and administrators. But in cases of exceptional importance, a larger compensation may be allowed for the services of the guardian.
Sale or reinvestment of portions of estate.
SEC. 569. Sale or reinvestment of portions of estate. — When the income of an estate under guardianship is insufficient to maintain the ward and his family, or to maintain and educate the ward when a minor, or when it appears to the satisfaction of the court that it is for the benefit of the ward that his real estate or some part thereof should be sold, and the proceeds thereof put out at interest, or invested in some productive security, or in the improvement or security of other real estate of the ward, the guardian may present to the judge or court by which he was appointed through a verified petition, setting forth the condition of the estate of his ward and the facts and circumstances on which the petition is founded, tending to show the necessity or expediency of the sale. If it appears to the court or judge that it is necessary, or would be beneficial to the ward that the estate or some part of it should be sold, the court shall thereupon make an order directing the next of kin to the ward, and all persons interested in the estate, to appear before the judge or court, at the time and place therein specified, not less than four nor more than eight weeks from the time of making such order, to show cause why an order should not be granted for the sale of such estate. If it appears that it is necessary, or would be beneficial to the ward, to sell the estate, or some portion of it, the court shall order the sale to be made and the proceeds thereof to be expended for the maintenance of the ward and his family, or the education of the ward, if a minor, or for the putting of the same out at interest, or the investment of the same as the circumstances may require. Upon the hearing, the court or judge shall hear the proofs and allegations of the petitioner and next of kin, and other persons interested, together with their witnesses, and may grant or refuse the order, as the best interests of the ward may require.
The court or judge shall make such order as to costs of the hearing as may be just.
If the prayer of the petition is granted, the order of sale shall specify the causes why the sale is necessary, or beneficial, and may order the sale to be made, either at public or private sale. The original bond of the guardian shall stand as security for the proper appropriation of the proceeds of the sale, but the judge or court may, if deemed expedient, require an additional bond as a condition for the granting of the order of sale. No order of sale granted in pursuance of this section shall continue in force more than one year after granting the same, without a sale being had. The petition, notice to heirs, and parties interested, and order of the court or judge in the premises, shall be recorded by the clerk of court as a part of the record of the guardianship.
Sales must be for cash or other adequate security.
SEC. 570. Sales must be for cash or other adequate security. — All sales of real estate of wards must be for cash, or for part cash and part deferred payments, the credit in no case to exceed three years from the date of sale, as in the discretion of the court is deemed most beneficial to the ward. In case of deferred payments, the guardian must receive notes for the deferred payments, and a mortgage securing the same upon the real estate sold, with such additional security, if any, as the court deems necessary.
Reinvestment of the proceeds of sale.
SEC. 571. Reinvestment of the proceeds of sale. — The court or judge may authorize and require the guardian to invest the proceeds of sales, and any other of his ward's money in his hands, in real estate, or in any other manner most to the interest of all concerned and may make such other orders, and give such directions, as are needful for the management, investment and disposition of the estate and effects, as circumstances may require.
Guardian of nonresident.
SEC. 572. Guardian of nonresident. — When a person liable to be put under guardianship, according to the provisions of this chapter, resides without the Philippine Islands, and has estate therein, any friend of such person, or anyone interested in his estate, in expectancy or otherwise, may apply to the judge or Court of First Instance in any province in which there is any estate of such absent person, for the appointment of a guardian, and if, after notice given to all interested, in such manner as such court orders, by publication or otherwise, and a full hearing and examination, it appears proper, a guardian for such absent person may be appointed; and every guardian appointed under this section shall have the same powers, and perform the same duties with respect to the estate of the ward found within the Philippine Islands, and with respect to the person of the ward, if he shall come to reside therein, as are prescribed with respect to any other guardians appointed under this chapter.
Such guardian must give bond, in the manner and with the like conditions hereinbefore provided for other guardians, except that the provisions respecting the inventory and the disposition of the estate and effects, and accounts to be rendered by the guardian, must be confined to such estate and effects as come into his hands in the Philippine Islands.
The guardianship which is here first lawfully granted, of any person residing without the Islands, extends to all the estate of the ward within the islands, and excludes the jurisdiction of the court of every other province.
Examination of person suspected of defrauding wards or concealing property.
SEC. 573. Examination of person suspected of defrauding wards or concealing property. — Upon complaint made to him by any guardian, ward, creditor, or other person interested in the estate or having a prospective interest therein, as heir or otherwise, against anyone suspected of having concealed, embezzled, or conveyed away, any money, goods, or interest, or an instrument in writing belonging to the ward or to his estate, the Court of First Instance, or the judge thereof, of the province wherein the guardian was appointed, may cite such suspected person to appear before such judge or court, and may examine him touching such money, goods, effects, or instrument, and may make such order as is necessary to secure the estate against such concealment, embezzlement, or conveyance.
Removal and resignation of guardian.
SEC. 574. Removal and resignation of guardian. — When a guardian, appointed either by the testator or a court or judge, becomes insane or otherwise incapable of discharging his trust or unsuitable therefor, or has wasted or mismanaged the estate, or failed for thirty days to render an account or make a return, the judge or court may, upon such notice to the guardian as the judge or court may require, remove him, and compel him to surrender the estate of the ward to the person found to be lawfully entitled thereto. Every guardian may resign when it appears proper to allow the same; upon the resignation or removal of a guardian as herein provided, whether appointed by will or otherwise, the court may appoint another in the place of the guardian who resigns or was removed.
Termination of guardianship.
SEC. 575. Termination of guardianship. — The marriage of a minor ward terminates the guardianship of the person of such ward, but not of the estate; the guardian of an insane or other person may be discharged by the court when it appears, upon the application of the ward or otherwise, that the guardianship is no longer necessary.
New bond may be required.
SEC. 576. New bond may be required. — The court or judge may require a new bond to be given by the guardian whenever such court or judge deems it necessary, and may discharge the existing sureties from further liability, after due notice given, as such court may direct, when it shall be made certain that no injury can result therefrom to those interested in the estate.
Guardian's bond to be filed, and action thereon.
SEC. 577. Guardian's bond to be filed, and action thereon. — Every bond given by a guardian shall be filed and recorded in the office of the clerk of the Court of First Instance of the province; and in case of a breach of the condition thereof, may be prosecuted for the use and benefit of the ward, or of any person legally interested in the estate.
Limitation of action on bond.
SEC. 578. Limitation of action on bond. — No action can be maintained against the sureties on any bond given by a guardian, unless it be commenced within three years from the discharge or removal of the guardian; but if, at the time of such discharge, the person entitled to bring such action is under legal disability to sue, the action may be commenced at any time within three years after such disability is removed.
Limitations of actions for the recovery of property sold.
SEC. 579. Limitations of actions for the recovery of property sold. — No action for the recovery of any estate sold by a guardian can be maintained by the ward, or by any person claiming under him, unless it is commenced within three years next after the termination of the guardianship, or, when a legal disability to sue exists by reason of minority or otherwise, at the time when the cause of action accrues, within three years next after the removal of such disability.
Orders and guardianship proceedings to be matters of record.
SEC. 580. Orders and guardianship proceedings to be matters of record. — Orders appointing and removing guardians, authorizing the sale of property, investment of the proceeds thereof, and settling of accounts, shall be made matters of record in the Court of First Instance.
Pending guardianship to proceed in accordance with Spanish law, with certain exceptions.
SEC. 581. Pending guardianship to proceed in accordance with Spanish law, with certain exceptions. — All proceedings in cases of guardianship pending in the Philippine Islands at the time of the passage of this Act, shall proceed in accordance with the existing Spanish procedure under which the guardians were appointed: Provided, nevertheless, That any guardian appointed under existing Spanish law may be removed in accordance with the provisions of section five hundred and seventy-four of this Act, and his successor may be appointed as therein provided, and every successor to a guardian so removed shall, in the administration of the person or estate, or either, as the case may be, of his ward, be governed by the provisions of this Act.
Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).
