[ Act No. 3176, November 24, 1924 ]

AN ACT TO AMEND SECTION SIX HUNDRED AND EIGHTY-FIVE OF ACT NUMBERED ONE HUNDRED AND NINETY, KNOWN AS THE CODE OF CIVIL PROCEDURE, ESTABLISHING A NEW PROCEDURE FOR THE LIQUIDATION OF THE COMMUNITY PROPERTY WHEN THE MARRIAGE IS DISSOLVED BY THE DEATH OF THE HUSBAND OR WIFE, AND FOR OTHER PURPOSES

Be it enacted by the Senate and House  of Representatives of the Philippines in Legislature assembled and by  the authority of the  same:

SECTION  1. Section six hundred and eighty-five of Act Numbered One hundred  and ninety, known as the  Code of Civil Procedure, is  hereby amended to read as follows:

"SEC. 685. When the marriage is dissolved by the death of the  husband or  wife, the community  property  shall be inventoried, administered, and  liquidated, and the debts thereof  shall be paid, in the testamentary or intestate proceedings of the deceased spouse,  in  accordance with  the provisions of this Code relative to the administration and liquidation  of  the  estates of deceased  persons, or in an ordinary liquidation and partition proceeding, unless  the parties, being all of age and legally capacitated, avail themselves of the right granted to them by this  Code of proceeding to  an  extra judicial partition and liquidation of said property.

"In case it is necessary to sell any portion of said community property in order to pay the outstanding debts and obligations of the same, such sale shall be made in the manner and with the formalities established by this Code for the sale of the property of deceased persons.  Any sale, transfer, alienation or  disposition of said property effected without said formalities shall be null and void, except as regards the portion that  belonged  to  the  vendor at the time  the liquidation and partition was  made."

SEC. 2. All acts and other provisions of law inconsistent herewith are hereby repealed.

SEC. 3. This Act shall take effect on its approval.

Approved, November 24, 1924.