Removal, sale, pledge of mortgaged property, A319 Revised Penal Code
Removal of mortgaged property refers to the offense of knowingly removing personal property mortgaged under the Chattel Mortgage Law to any province or city other than the one in which it was located at the time of the execution of the mortgage, without the written consent of the mortgagee, or the latter’s executors, administrators or assigns.
1. Concept
Removal of mortgaged property – refers to the offense of knowingly removing personal property mortgaged under the Chattel Mortgage Law to any province or city other than the one in which it was located at the time of the execution of the mortgage, without the written consent of the mortgagee, or the latter’s executors, administrators or assigns.
Sale of mortgaged property – refers to the offense of selling a personal property already pledged, or any part thereof, under the terms of the Chattel Mortgage Law, without consent of the mortgagee written on the back of the mortgage and noted on the record thereof in the office of the Register of Deeds of the province where such property is located.
Sale of mortgaged property – refers to the offense of pledging a personal property already pledged, or any part thereof, under the terms of the Chattel Mortgage Law, without consent of the mortgagee written on the back of the mortgage and noted on the record thereof in the office of the Register of Deeds of the province where such property is located.
a. Legal basis
Article 319. Removal, sale or pledge of mortgaged property. – The penalty or arresto mayor or a fine amounting to twice the value of the property shall be imposed upon:
1. Any person who shall knowingly remove any personal property mortgaged under the Chattel Mortgage Law to any province or city other than the one in which it was located at the time of the execution of the mortgage, without the written consent of the mortgagee, or his executors, administrators or assigns.
2. Any mortgagor who shall sell or pledge personal property already pledged, or any part thereof, under the terms of the Chattel Mortgage Law, without the consent of the mortgagee written on the back of the mortgage and noted on the record hereof in the office of the Register of Deeds of the province where such property is located.
(Revised Penal Code)
2. Modes of commission
The following are the modes of committing the offense:
1) Removal of mortgaged property; and
2) Sale of mortgaged property; and
3) Pledge of mortgaged property; and
a. Mode 1: Removal of mortgaged property
Elements of the offense of removal of mortgaged property:
1) That the offender is a mortgagor;
2) That the offender mortgaged a personal property under the Chattel Mortgage Law;
3) That the offender knowingly remove said personal property mortgaged to any province or city other than the one in which it was located at the time of the execution of the mortgage;
4) That the offender did so without the written consent of the mortgagee, or his executors, administrators or assigns. (REVISED PENAL CODE, Article 319[1])
1) Element 1: Offender is a mortgagor
The offender is not just any other person; rather, the offender is a mortgagor under the terms of the Chattel Mortgage Law.
2) Element 2: Mortgaged personal property
The offender should have mortgaged personal property or any part thereof under the terms of the Chattel Mortgage Law. The mortgage should be perfected or completed as it serves as the basis for the offense. Otherwise, if the mortgaged property is not properly made under the terms of the Chattel Mortgage Law, then there may not be an offense should the personal property be subsequently removed to any province or city other than the one in which it was located at the time of the execution of the mortgage, without written consent from the mortgagee, or the latter’s executors, administrators or assigns.
3) Element 3: Knowingly removes personal property mortgaged
That the offender knowingly removes said personal property mortgaged to any province or city other than the one in which it was located at the time of the execution of the mortgage, is the gravamen of the offense.
As it is required that the offender has knowledge of the circumstances affecting the personal property, it presupposes that the offender likewise had the intention of violating the terms of the Chattel Mortgage Law.
Conversely, if a person does not have any knowledge, then it can be hardly said that there was any intention to violate the said law.
4) Element 4: Without written consent
3) That the offender did so without the written consent of the mortgagee, or his executors, administrators or assigns. (REVISED PENAL CODE, Article 319[1])
b. Mode 2: Sale of mortgaged property
Elements of the offense of sale of mortgaged property:
1) That the offender is a mortgagor;
2) That the offender pledged a personal property, or any part thereof, under the terms of the Chattel Mortgage Law;
3) That the offender sells said personal property already pledged, or any part thereof; and
4) That the offender did so without the consent of the mortgagee written on the back of the mortgage and noted on the record hereof in the office of the Register of Deeds of the province where such property is located. (REVISED PENAL CODE, Article 319[2])
1) Element 1: Offender is a mortgagor
The offender is not just any other person; rather, the offender is a mortgagor under the terms of the Chattel Mortgage Law.
2) Element 2: Pledged a personal property or any part thereof
The offender should have pledged personal property or any part thereof under the terms of the Chattel Mortgage Law. The pledge should be perfected or completed as it serves as the basis for the offense. Otherwise, if the pledge is not property made under the terms of the Chattel Mortgage Law, then there may not be an offense should the personal property be subsequently sold or pledged later on, even if without the written consent of the mortgagee.
3) Element 3: Sells personal property already pledged
That the offender sells said personal property already pledged, or any part thereof, is the gravamen of the offense. By doing so, this undermines the purpose and function of the Chattel Mortgage Law, particularly in securing a debt in favor of the creditor or any person entitled to the pledged personal property under a certain contract or terms of the Chattel Mortgage Law.
4) Element 4: Without written consent
The written consent cannot be made on any other paper. The provision specifically stated that the consent of the mortgage should be written on the back of the mortgage and noted on the record thereof in the office of the Register of Deeds of the province where such property is located.
c. Mode 3: Pledge of mortgaged property
Elements of the offense of pledge of mortgaged property:
1) That the offender is a mortgagor;
2) That the offender pledged a personal property, or any part thereof, under the terms of the Chattel Mortgage Law;
3) That the offender pledges said personal property already pledged, or any part thereof; and
4) That the offender did so without the consent of the mortgagee written on the back of the mortgage and noted on the record hereof in the office of the Register of Deeds of the province where such property is located. (REVISED PENAL CODE, Article 319[2])
1) Element 1: Offender is a mortgagor
See earlier discussion under sale of mortgaged property.
2) Element 2: Pledged a personal property or any part thereof
See earlier discussion under sale of mortgaged property.
3) Element 3: Pledges personal property already pledged
That the offender pledges said personal property already pledged, or any part thereof, is the gravamen of the offense.
See earlier discussion under sale of mortgaged property.
4) Element 4: Without written consent
See earlier discussion under sale of mortgaged property.
3. Things to note
The following are some additional things to note about this offense.
a. Common provisions
This offense shares common provisions with other offenses under Title X of the Revised Penal Code – Crimes Against Property. See: Crimes Against Property
References
⦁ Title 10 – Crimes Against Property, Book 2, Revised Penal Code
/Updated: June 23, 2023
