System of Absolute Community (Part 4, Articles 102 to 104)

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Section 6. Liquidation of the Absolute Community Assets and Liabilities

Art. 102. Upon of the absolute community regime, the following procedure shall apply:

(1) An shall be prepared, listing separately all the properties of the absolute community and the .

(2) The of the absolute community shall be paid out of its . In case of insufficiency of said assets, the spouses shall be for the unpaid balance with their separate properties in accordance with the provisions of the second paragraph of Article 94.

(3) Whatever remains of the of the spouses shall thereafter be delivered to each of them.

(4) The net remainder of the properties of the absolute community shall constitute its , which shall be between husband and wife, unless a was agreed upon in the marriage settlements, or unless there has been a of such share provided in this Code. For purpose of computing the net profits subject to forfeiture in accordance with Articles 43, No. (2) and 63, No. (2), the said profits shall be the between the market value of the community property at the time of the celebration of the marriage and the market value at the time of its .

(5) The of the common children shall be delivered upon , in accordance with Article 51.

(6) Unless otherwise agreed upon by the parties, in the partition of the properties, the on which it is situated shall be adjudicated to the spouse with whom the choose to remain.

Children below the age of seven years are deemed to have , unless the court has decided otherwise. In case there is no such majority, the court shall decide, taking into consideration the of said children.

Art. 103. Upon the termination of the marriage by , the community property shall be liquidated in the same proceeding for the of the deceased.

If no judicial settlement proceeding is instituted, the surviving spouse shall the community property either judicially or extra-judicially within from the death of the deceased spouse. If upon the lapse of the six months period, no liquidation is made, involving the community property of the terminated marriage shall be void.
Should the surviving spouse contract a without complying with the foregoing requirements, a shall govern the property relations of the subsequent marriage.

Art. 104. Whenever the liquidation of the community properties of contracted by the same person before the effectivity of this Code is carried out simultaneously, the respective capital, fruits and income of each community shall be determined upon such proof as may be considered according to the . In case of doubt as to which community the existing properties belong, the same shall be in proportion to the capital and duration of each.

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