Question

Joanna, a successful businesswoman, owns a commercial building in Makati City. She decides to sell the building to Miguel, a young entrepreneur who plans to start his own business. Miguel, excited about the opportunity, agrees to purchase the property.

However, after signing the deed of sale, Miguel realizes that the building does not come with the furniture and equipment inside. Joanna argues that she only sold the immovable property and not the movables.

Based on the provisions of the Civil Code, specifically Articles 414-418, discuss the classification of property as immovables and movables:

1. Explain the concept of immovables according to the Civil Code.
2. Provide examples of immovables that would typically be included in the sale of a building.
3. Discuss the distinction between movables and immovables when it comes to the transfer of property rights.
4. Can Joanna argue that the furniture and equipment inside the building are movables and therefore not included in the sale?
5. Explain how the classification of property as immovables and movables affects the rights and obligations of the buyer and seller in a transaction.