Legal Question in Real Estate Law in Philippines

My grand ma and grand pa have 3 daughters, Anna, Karen and Nina. The couple owns a property here in the Philippines, but then Karen, the 2nd daughter, borrowed the land title of the property to serve as collateral when she loaned money from Mr.A, without even informing the other 2 siblings. Karen failed to pay her loan from Mr. A. After 5 years, Mr.A came to us and informed us about it and that he is planning to acquire the property because Karen failed to pay, which is reasonable.
Nina was shocked about the news. She negotiated with Mr. A not to confescate the property in leiu that she will be paying a monthly amount of money to pay her sister's debt (Karen). Fortunately, Mr. A agreed with the terms.
Anna is paying 40% of the debt and Nina is paying 60% of it monthly. Grandma and Grandpa said verbally, that since Anna and Nina are the only ones paying the debt, the property will only be divided between the 2 of them instead of being 3.
Grandpa is sick right now, Anna and Nina wants to make sure that the said verbal agreement with Grandpa and Grand ma be made legal. They wanted a legal statement be signed by grandpa and grandma indicating the arrangement. This is to avoid Karen from claiming any part of the property because 1st she did not inform her siblings about the debt and having the property as collateral; 2nd it was her debt; and 3rd she did not pay any portion of the debt to regain the property.
Please advise. Thank you.
Question:
1. Is the arrangement possible? only having Anna and Nina as beneficiary for the property once Grandma and grandpa dies?
2. If so, what legal statement should we make?

Asked on 9/13/12, 2:38 pm

VOLTAIRE T. DUANO VOLTAIRE T. DUANO LAW OFFICE

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While they are still alive let them execute a deed of sale in favor of the two.

Answered on 9/18/12, 5:59 am

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