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The Directorate General for Legal Certainty and Public Faith has resolved an appeal against a registrar's refusal to register an adjudication decree issued in a mortgage foreclosure proceeding. The ruling examines the validity of registration against potential claims of third-party prejudice, based on Supreme Court jurisprudence which establishes that extra-procedural knowledge of the auction eliminates such prejudice (Art. 131 LH).
For banking institutions and successful bidders in auctions, the ruling reinforces legal certainty for registering judicial adjudication titles even when third-party possessors exist, provided it is proven that no prejudice occurred. For third parties acquiring properties through foreclosure, the risk of losing possession or ownership persists if the creditor has knowledge of the proceedings (as per cited jurisprudence).
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