FACTS:

There is an existing action to nullify the TCT of the spouses. During the pendency, they obtained from the bank a loan secured by a REM over the subject land. Upon their failure to pay, the REM was foreclosed. Upon the registration, the bank was informed of the decision to declare the TCT null and void.

HELD:

A cloud on title is a semblance of title which appears in some legal form but which is in fact unfounded. In this case, the judgment cannot be considered as a cloud on petitioner’s title or interest over the real property covered by the TCT, which doesn't even have a semblance of being a title.