Short answer. Yes, and the consequence of getting it wrong is total. Where a sale of land or of any interest in land is made through an agent, the authority of that agent must be in writing; otherwise the sale is void. Not voidable, not merely unenforceable, but void.
What the law says
When a sale of a piece of land or any interest therein is through an agent, the authority of the latter shall be in writing; otherwise, the sale shall be void.
Civil Code, Article 1874 — Sale of Land Through an Agent. Read the full provision →
Void is the word the article uses
Article 1874 is one sentence: when a sale of a piece of land or any interest therein is through an agent, the authority of the latter shall be in writing; otherwise, the sale shall be void. A void sale is not a sale that can be cured by performance, by the passage of time, or by the buyer's good faith. Full payment does not save it, occupation of the land for years does not save it, and neither does the fact that the owner knew all along and said nothing at the time. The requirement is formal, and formal requirements are unforgiving by design.
Any interest therein is broader than a sale of the lot
The article does not stop at outright sales of a whole parcel. It reaches any interest in land, so an undivided share, a portion, or a right over the property sold through an agent falls within it. The written authority must also exist as authority to sell, which is a stronger thing than authority to negotiate, to look for buyers, or to receive payment. Article 1878 makes the point from the other direction by requiring a special power of attorney to sell immovables, so a general authorisation to manage a property is not the document this article calls for.
Who this catches in practice
Rarely a professional broker, who tends to paper the arrangement. It catches families. A sibling signs the deed while the registered owner is working abroad. One heir signs for all the heirs on the strength of a phone conversation. A spouse signs alone for property that needs both. A caretaker of long standing accepts the price and hands over the title. Every one of these produces a buyer who has paid, a seller who has been paid, a property that has changed hands in fact, and a sale that the Civil Code treats as never having existed at all.
What to ask for before you pay
If the person across the table is not the registered owner, ask for the written special power of attorney, read what it actually authorises, and check that the principal named in it is the owner named on the title, spelled the same way. Verify that it has not been revoked and that the principal is alive, since authority does not survive the principal's death. Where the owner is abroad, expect the document to have been executed before the appropriate consular officer. And insist on a certified true copy of the title from the registry, obtained yourself.
Cases citing this provision
These Supreme Court decisions cite the provision above. We list them so you can read them yourself; the summaries of what each decided are not ours to give.
- Reman Recio vs. Heirs of Spouses Aguego and Maria Altamirano, namely Alejandro, et al., all surnamed Altamirano, et al, G.R. No. 182349, July 24, 2013 — read the decision on LawPhil →
- Mactan-Cebu International Airport Authority vs. Richard E. Unchuan, G.R. No. 182537, June 1, 2016 — read the decision on LawPhil →
- Sps. Joselina Alcantara and Antonio Alcantara, et al. vs. Brigida L. Nido, as attorney-in-fact of Revelen Srivastava, G.R. No. 165133, April 19, 2010 — read the decision on LawPhil →
- Purita A. Pahud, et al. vs. Court of Appeals, et al, G.R. No. 160346, August 25, 2009 — read the decision on LawPhil →
Related provisions
- Civil Code, Article 1878 — Acts Requiring a Special Power of Attorney
- Civil Code, Article 1403 — Unenforceable Contracts and the Statute of Frauds