P.R. Laws tit. 30, § 2355
Despite the fact that registration does not validate transactions or contracts that are null according to the law, nor does it alter the legal relationship of those intervening as parties in said transactions or contracts, a third person who, in good faith and by paying a price, validly acquires a right from a person who according to the Registry, appears with the power to convey it, shall be sustained in his acquisition after he has recorded his right, when for any reason the Registry is found to be inaccurate, either because the grantor’s title is rescinded, cancelled or annulled for reasons not clearly shown in the Registry itself, or because there are actions or titles of ownership or of other real rights that are not duly recorded.
With regard to this, the Registry shall be understood to be all standing entries relating to a property or right, that have not been extinguished as provided in § 2451 of this title, which refer to the liens or rights that do not convey or encumber, in addition to the entry that gives notice to the right of the conveyor.
The good faith of a third party shall always be presumed unless there is proof that the inaccuracy of the Registry was known when the property was acquired.
A gratuitous acquirer shall only enjoy the Registry protection corresponding to the predecessors in title or to the conveyors.
In no case shall rights merely mentioned or the undue recording of obligations, affect a third party.
History —Mortgage Law, 1979, § 105; June 14, 1980, No. 143, p. 535.