Estate of Gogue

Opinion

FILED SUPERIOR COURT Or GUAH 1 2018 JAN -3 PM 2: 46 2 CLERK OF CO RT 3 B 4

5 IN THE SUPERIOR COURT OF GUAM

6 ESTATE OF SEVERA PANGELINAN ) CIVIL CASE NO. CV0347-16 GOGUE and TERESITA PANGELINAN ) 7 ) LATOUR, ) 8 ) FINDINGS OF FACT AND Plaintiffs ) CONCLUSIONS OF LAW 9 ) vs. ) 10 ) ) JESUS T. PANGELINAN, ET AL., ) 11 ) ) 12 ) Defendants. ) 13

14 INTRODUCTION This matter carne before the Honorable Michael J. Bordallo on July 10, 2017 for a 15 Bench Trial on Plaintiffs Complaint to Quiet Title to Estate 471, Dededo, Guam; for partition 16 of Estate 471; breach of fiduciary duties; and declaratory judgment. 17 Plaintiffs ESTATE OF SEVERA PANGELINAN GOGUE and TERESITA 18 PANGELINAN LATOUR ("Plaintiffs") were present and represented by counsel, Anita A.

19 Arriola, Esq. Defendants JESUS T. PANGELINAN and JESSE F. PANGELINAN ("Defendants JESUS and JESSE PANGELINAN") were present and represented by counsel, F. 20 Randall Cunliffe Esq. The remaining defendants were represented by John S. Unpingco, Esq. 21 Having considered the testimony of the parties and various exhibits, the Court hereby 22 enters the following Findings of Fact and Conclusions of Law. 1

24 --'

Page 1 of7 0::: 0 1 BACKGROUND

2 This matter arises out of the Plaintiffs' Complaint to Quiet Title to Estate 471, Dededo, Guam; for Partition; Breach of Fiduciary Duties; and Declaratory Judgment filed April 22, 3 2016. Petitioners seek quiet title to determine the interests of the heirs of Juan Unpingco 4 Pangelinan, a partition of the relevant property according to such interests, damages for breach 5 of fiduciary duty by the Co-Administrators of Juan's Estate, and a Declaratory Judgment as to

6 those issues. FINDINGS OF FACT 7 By a preponderance of the evidence, the Court makes the following findings of fact: 8 1. Juan Unpingco Pangelinan ("Juan") owned Estate 471, Dededo, Guam ("the 9 Property"). 10 2. Juan was married to his first wife, Maria Torres, and they had four children- Jose Pangelinan, Regina Pangelinan, Delfina Pangelinan, and Jesus Pangelinan. 11 3. Juan's first wife Maria Torres Pangelinan died. 12 4. Juan then married Maria Castro Pangelinan, who bore him two children, Severa 13 Pangelinan and Teresita Pangelinan. 14 5. Juan died during World War II and was survived by his second wife, Maria Castro

15 Pangelinan. 6. Juan's Estate was initially admitted to probate in 1945, In the Matter of the Estate of 16 Juan Pangelinan Unpingco. Probate Case No. PR0199-45. A Decree Settling Final 17 Account of Administratix and Final Distribution ("Decree") issued on November 13, 18 1952 held that Maria was to receive one-third (1/3) ofthe "rest and residue" of the 19 Estate, including "any other property not now known or discovered which may belong to said estate or in which said estate may have an interest." The Decree 20 further provided that Juan's six (6) surviving children would equally share in the 21 remaining two-thirds (2/3) of Juan's Estate. 22 7. On September 16, 1952, a judgment was filed in Civil Case No. 10-50 in the United 23 States District Court of Guam that documented the taking, condemnation, and

24 compensation of Lot No. Unsurveyed, Place of Agui, Estate No. 471, Dededo by the United States of America ("U.S.") from the Estate of Juan Pangelinan Unpingco. 25

Page 2 of7 1 8. Maria died in 1963 and her Estate was admitted to probate in In the Matter of the

2 Estate of Maria Castro Pangelinan. Probate Case No. PR0092-63. A Stipulation and Order for Final Distribution ("Stipulation"), was issued on June 23, 2003, in which 3 Plaintiffs equally shared in Maria's Estate, as they were her only surviving children. 4 9. On April25, 2001, the U.S. returned certain property described as Lot Naval Radio 5 Station (R) Finegayen-1 (formally Federal Aviation Administration Site) to the Guan

6 Economic Development Authority ("GEDA") by Quitclaim Deed recorded at Department of Land Management of the Government of Guam ("DLM") under 7 Instrument No. 636649. 8 10. The Quitclaim Deed provides that the U.S. forever quitclaim unto GEDA, its 9 successors and assigns, any and all right, title, interest, claim and demand which the 10 U.S. has in and to Lot Naval Radio Station (R) Finegayen-1.

11 11. As required by Public Law 23-141 and 25-45, GEDA transferred the same property to Guam Ancestral Lands Commission ("GALC") on June 6, 2001, by Quitclaim 12 Deed recorded at DLM under Instrument No. 638644. 13 12. On August 24, 2004, GALC held a Title Hearing on Estate 471. It was found in that 14 Title Hearing that Estate 471, Dededo or portion thereof, is within the boundaries of

15 the returned property described as Lot Naval Station (R) Finegayen-1. 13. On August 27, 2004, GALC issued a final written decision and order finding that six 16 (6) siblings, namely Jose T. Pangelinan, Jesus T. Pangelinan, Regina P. Duenas, 17 Delfina P. Flores, Severa C. Pangelinan, and Teresita C. Pangelinan are the ancestral 18 landowners of Estate 471, Dededo, through a distribution of the Estate of Juan 19 Unpingco Pangelinan. 14. On or about September 16,2004, GALC conveyed Estate 471 by Quitclaim Deed 20 recorded under Instrument No. 697876, as contained in Lot Naval Radio Station (R) 21 Finegayen-1 to the landowners. 22 15. The Affidavit of Transferee attached to GACL's Quitclaim Deed reserved the rights 23 of all of Juan's heirs to petition a court to determine the heirs' respective interests in

24 the Property.

26 Page 3 of7 1 16. Following the Deed from GALC, grantees Jesus T. Pangelinan and Jesse F.

2 Pangelinan, represented by Attorney John Unpingco, were appointed Co- Administrators of the Estate of Juan Unpingco Pangelinan in Probate Case No. 3 PR027-12. 4 17. Defendants Jesus Pangelinan and Jesse Pangelinan, in their capacity as Co- 5 Administrators in PR027-12, entered into agreements with attorney John Unpingco

6 for legal services and surveyor Generalismo Villaflores for surveying services. 18. The Co-Administrators attempted to survey, subdivide, and distribute Estate 471 to 7 all of Juan's six children in equal shares. 8 19. Later, the Co-Administrators filed a motion to dismiss the probate proceedings, 9 claiming that Juan's Estate had no real property to distribute, since GALC deeded 10 the property to Juan's six (6) children. The Court granted the motion and dismissed PR027-12. 11 20. On April22, 2016, plaintiffs Estate of Severa Pangelinan Gogue and Teresita 12 Pangelinan Latour filed a Complaint to Quiet Title for Estate 471, Dededo, for 13 partition, breach of fiduciary duties, and a declaratory judgement. Plaintiffs assert 14 they are entitled to a twenty-eight percent (28%) interest each in Estate 471, while

15 Defendants are entitled to an eleven percent ( 11%) ownership interest in the property. Plaintiffs further assert that they are not liable to Jesus Pangelinan, Jesse 16 Pangelinan, the Estate of Juan Unpingco Pangelinan, attorney John Unpingco, 17 surveyor Generalismo Villaflores, or to any others, for any work performed or 18 services rendered, for the probate, acquisition, appraisal, surveying, subdivision, 19 mapping, or distribution of Estate 471 in Juan's probate case.

20 CONCLUSIONS OF LAW 21 Ouiet Title Action 22 Guam law allows Plaintiffs to bring an action against other co-owners for the purpose of 23 determining their adverse claims to property. See 21 G.C.A. §25101. The GALC Quitclaim

24 Deed that conveyed Estate 471 to Juan's six children was accompanied by an Affidavit of Transferee, signed by heir Delfina Flores, which contained the following language: 25

Page 4 of7 1 The undersigned does not assert that slhe is a Grantee claiming, entitling to, or possessin any ownership interest in the above described property, but is acting on behalf of all the 2 transferees/heirs of Jose T. Pangelinan, Regina P. Duenas, Delfina Flores, Jesus T. Pangelinan, Severa C. Pangelinan, and Teresita C. Pangelinan in order that the deed from 3 the Guam Ancestral Lands Commission may be duly recorded in the records of the Department of Land Management as property that is owned in common by the heirs as 4 their interest may be determined by a court of competent jurisdiction (emphasis added). 5 The GALC's Quitclaim Deed conveys the property to the six children as co-owners, and it does 6 not preclude a separate action to quiet title in a court of competent jurisdiction. 7 Defendants argue that Plaintiffs request to quiet title is a collateral attack on the decision

8 of the Ancestral Lands Commission. The Court disagrees. Plaintiffs do not seek any order against GALC, but instead request an order from this Court for a cause that has not been 9 determined by the GALC. See Gov't of Guam v. Gutierrez ex rei. Torres, 2015 Guam 8 '115 10 (explaining that the Legislature intended GALC to exercise jurisdiction over land claims 11 concurrent with the legal remedies available under the Superior Court's original jurisdiction).

12 Defendants argue that Gutierrez does not apply in the instant case, as GALC was a real party in interest in the Government of Guam's action in Gutierrez. However, the Gutierrez opinion 13 makes no indication that the Superior Court's jurisdiction over the matter was dependent upon 14 the types of litigants involved in the case. 15 Partition 16 Plaintiffs are permitted to bring this present demand for partition pursuant to 7 G.C.A. § 24401, which allows a co-tenant to bring an action for a partition of real property according to 17 the respective rights of the persons interested therein. 18 15 G.C.A. § 903(b)(1) states that, in a situation where a decedent leaves a surviving 19 spouse and more than one living child, a decedent's separate estate goes one-third (113) to the 20 decedent's surviving spouse and the remainder in equal shares to the decedent's children and to

21 the lawful issue of any deceased child. Maria, as the surviving spouse, inherited a one-third (l/3) share. When Maria died, her 22 share went to her sole heirs, Severa and Teresita, who are additionally entitled to their portions o 23 the two-thirds (2/3) share which is to be split among the six children. Accordingly, Severa and 24 Teresita are entitled to a 28% interest in Estate 471, while Juan's other four children from his

25 first marriage (Jose, Jesus, Delfina, and Regina) or their respective heirs at law, are each entitled

26 Page 5 of7 1 to an 11% interest in Estate 471. Any partition of Estate 471 shall therefore be in accordance

2 with the respective interests ofthe heirs stated above. Defendants argue that a partition cannot be ordered without an approved map. However, 3 7 G.C.A. § 24401 does not require an approved map to exist for a partition action to take place. 4 Defendants also argue that 15 G.C.A. § 813 requires that all of Juan's children are to 5 inherit equally. Section 813 states that "Kindred of the half blood inherit equally with those of

6 the whole blood in the same degree ... " Section 813 was copied verbatim from Cal. Prob. Code§ 254. The California Supreme Court in Estate of Ryan, 21 Cal.2d 498 (1943) (en bane), held that 7 Section 254 was founded on the common law rule that "on failure of lineal descendants the 8 inheritance descended to the decedent's collateral relations who were ofthe blood of the 'first 9 purchaser."' Thus, like Section 254, Guam's Section 813 applies only where there is a failure of 10 lineal descendants. There is no such failure here since Juan was survived by his six children, as

11 well as his wife Maria. The cases cited by Defendants Jesus T. Pangelinan and Jesse F. Pangelinan are cases involving decedents who left no spouses or children, and the heirs were 12 cousins of the decedents. 13 Breach of Fiduciary Duties 14 Plaintiffs claim that they are not bound by the Co-Administrators' actions in the probate

15 case, including the Co-Administrators' agreements to convey land, as fees for services provided, to themselves, their lawyer, and the surveyor. The Co-Administrators made these agreements 16 while acting as administrators in the probate matter Estate of Juan Unpingco Pangelinan. This 17 matter was dismissed, and the Co-Administrators' actions are therefore void. Plaintiffs are 18 therefore not bound to these agreements. Because the actions are void, Plaintiffs are not entitled 19 to any damages for breach of fiduciary duties. Declaratory .Judgment 20 Plaintiffs request this Court to grant Declaratory Judgment that Plaintiffs: (i) are each 21 entitled to a 28% ownership interest in Estate 471; and (ii) are not liable to Jesus Pangelinan, 22 Jesse Pangelinan, the Estate of Juan Unpingco Pangelinan, attorney John Unpingco, surveyor 23 Generalismo Villaflores, or to any others, for any work performed or services rendered, for the

24 probate, acquisition, appraisal, surveying, subdivision, mapping, or distribution of Estate 471 in Juan's probate case. 25

Page 6 of7 1 ORDER

2 IT IS ORDERED, in accordance with these findings of fact and conclusions of law: I. Plaintiffs Teresita Pangelinan Latour and Estate of Severa Pangelinan Gogue are each 3 entitled to a 28% ownership interest in Estate 471; 4 2. Plaintiffs Teresita Pangelinan Latour and Estate of Severa Pangelinan Gogue are not 5 liable to Jesus Pangelinan, Jesse Pangelinan, the Estate of Juan Unpingco Pangelinan, 6 attorney John Unpingco, surveyor Generalismo Villaflores, or to any others, for any work performed or services rendered, for the probate, acquisition, appraisal, surveying, 7 subdivision, mapping, or distribution of Estate 471 in Juan's probate case. 8 ~ 9 SO ORDERED, t h i s + day of~ 10 / 11

26 Page 7 of7