EN
BANC
ROXAS & COMPANY, INC.,
Petitioner, - versus - DAMBA-NFSW and the
DEPARTMENT OF AGRARIAN REFORM,* Respondents. x------------------------------------x DAMAYAN NG MGA
MANGGAGAWANG BUKID SA ASYENDA ROXAS-NATIONAL FEDERATION OF SUGAR WORKERS
(DAMBA-NFSW), Petitioner, - versus - SECRETARY OF
THE DEPT. OF AGRARIAN REFORM, ROXAS & Co., INC. AND/OR ATTY. MARIANO
AMPIL, Respondents. x-----------------------------------x KATIPUNAN NG MGA MAGBUBUKID SA HACIENDA ROXAS,
INC. (KAMAHARI), rep. by its President CARLITO CAISIP, and DAMAYAN NG
MANGGAGAWANG BUKID SA ASYENDA ROXAS-NATIONAL FEDERATION OF SUGAR WORKERS
(DAMBA-NFSW), represnted by LAURO MARTIN, Petitioners,
- versus - SECRETARY OF THE DEPT. OF
AGRARIAN REFORM, ROXAS & Co., INC., Respondents. x------------------------------------------x DEPARTMENT OF LAND REFORM, FORMERLY DEPARTMENT OF
AGRARIAN REFORM (DAR),
Petitioner,
- versus - ROXAS & CO, INC., Respondent. x------------------------------------x ROXAS & CO., INC., Petitioner,
- versus - DAMBA-NFSW, Respondent. x------------------------------------x DAMBA-NFSW REPRESENTED BY
LAURO V. MARTIN, Petitioner,
- versus - ROXAS & CO., INC., Respondent. x------------------------------------x DAMBA-NFSW, Petitioner,
- versus - ROXAS & CO., INC., Respondent. |
G.R. No. 149548 G.R. No. 167505Present: PUNO, C.J., CARPIO, CARPIO
MORALES, CHICO-NAZARIO, VELASCO,
JR., NACHURA,
LEONARDO-DE CASTRO,
BRION, PERALTA, BERSAMIN, ABAD, and VILLARAMA, JJ. Promulgated: December 4, 2009 G.R. No.
167540 G.R. No.
167543 G.R. No.
167845 G.R. No.
169163 G.R. No.
179650 |
|
|
x----------------------------------------------------------------------------------------x
D E C I S I O N
CARPIO MORALES, J.
The main subject of the seven
consolidated petitions is the application of petitioner Roxas & Co., Inc.
(Roxas & Co.) for conversion from agricultural to non-agricultural use of
its three haciendas located in
Nasugbu, Batangas containing a total area of almost 3,000 hectares. The facts are not new, the Court having
earlier resolved intimately-related issues dealing with these haciendas.
Thus, in the 1999 case of Roxas & Co., Inc. v. Court of Appeals,[1] the
Court presented the facts as follows:
. . . Roxas & Co. is a domestic corporation and is the
registered owner of three haciendas, namely, Haciendas Palico, Banilad
and Caylaway, all located in the
x x x x
On
Before the law’s effectivity, on
x x x x
Nevertheless,
on
x x x x[2] (emphasis and underscoring supplied)
The petitions in G.R. Nos. 167540 and 167543 nub
on the interpretation of Presidential Proclamation
(PP) 1520 which was issued on November 28, 1975 by then President Ferdinand
Marcos. The PP reads:
DECLARING THE MUNICIPALITIES OF MARAGONDON AND
WHEREAS, certain areas in the sector comprising the Municipalities of Maragondon and Ternate in Cavite Province and Nasugbu in Batangas have potential tourism value after being developed into resort complexes for the foreign and domestic market; and
WHEREAS, it is necessary to conduct the necessary studies and to segregate specific geographic areas for concentrated efforts of both the government and private sectors in developing their tourism potential;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby declare the area comprising the Municipalities of Maragondon and Ternate in Cavite Province and Nasugbu in Batangas Province as a tourist zone under the administration and control of the Philippine Tourism Authority (PTA) pursuant to Section 5 (D) of P.D. 564.
The PTA shall identify well-defined geographic areas within the zone with potential tourism value, wherein optimum use of natural assets and attractions, as well as existing facilities and concentration of efforts and limited resources of both government and private sector may be affected and realized in order to generate foreign exchange as well as other tourist receipts.
Any duly established military reservation existing within the zone shall be excluded from this proclamation.
All proclamation, decrees or executive orders inconsistent herewith are hereby revoked or modified accordingly. (emphasis and underscoring supplied).
The incidents which spawned the
filing of the petitions in G.R. Nos. 149548, 167505, 167845, 169163 and
179650 are stated in the dissenting
opinion of Justice Minita Chico-Nazario, the original draft of which was made
the basis of the Court’s deliberations.
Essentially, Roxas & Co. filed its
application for conversion of its three haciendas
from argricultural to non-agricultural on the assumption that the issuance
of PP 1520 which declared Nasugbu, Batangas as a tourism zone, reclassified them
to non-agricultural uses. Its pending application
notwithstanding, the Department of Agrarian Reform (DAR) issued Certificates of
Land Ownership Award (CLOAs) to the farmer-beneficiaries in the three haciendas
including CLOA No. 6654 which
was issued on
The application for conversion of
Roxas & Co. was the subject of the above-stated Roxas & Co., Inc. v.
Court of Appeals which the
Court remanded to the DAR for the observance of proper acquisition
proceedings. As
reflected in the above-quoted statement of facts in said case, during the
pendency before the DAR of its application for conversion following its
remand to the DAR or on May 16, 2000, Roxas & Co. filed with the DAR an application
for exemption from the coverage of the Comprehensive Agrarian Reform
Program (CARP) of 1988 on the basis of PP 1520 and of DAR Administrative Order (AO)
No. 6, Series of 1994[3]
which states that all lands already classified as commercial, industrial, or
residential before the effectivity of CARP no longer need conversion clearance
from the DAR.
It bears mentioning at this juncture
that on April 18, 1982, the Sangguniang
Bayan of Nasugbu enacted Municipal Zoning Ordinance No. 4 (Nasugbu MZO No. 4) which was approved
on
The records show that Sangguniang Bayan and Association of
Barangay Captains of Nasugbu filed before this Court petitions for intervention
which were, however, denied by Resolution of
After the seven present petitions
were consolidated and referred to the Court en
banc,[5]
oral arguments were conducted on
The core issues are:
1. Whether PP 1520 reclassified in 1975 all
lands in the Maragondon-Ternate-Nasugbu tourism zone to non-agricultural use to
exempt Roxas & Co.’s three haciendas in
Nasugbu from CARP coverage;
2. Whether Nasugbu MSO No. 4, Series of 1982 exempted certain lots in Hacienda Palico from CARP coverage; and
3. Whether the partial and complete
cancellations by the DAR of CLOA No. 6654 subject of G.R. No. 167505 is valid.
The Court shall discuss the issues in seriatim.
I. PP 1520 DID NOT AUTOMATICALLY CONVERT THE
AGRICULTURAL LANDS IN THE THREE MUNICIPALITIES INCLUDING NASUGBU TO
NON-AGRICULTURAL LANDS.
Roxas & Co. contends that PP 1520
declared the three municipalities as each constituting a tourism zone, reclassified
all lands therein to tourism and, therefore, converted their use to
non-agricultural purposes.
To
determine the chief intent of PP 1520, reference to the “whereas clauses”
is in order. By and large, a reference
to the congressional deliberation records would provide guidance in dissecting
the intent of legislation. But since PP
1520 emanated from the legislative powers of then President Marcos during
martial rule, reference to the whereas clauses cannot be dispensed with.[6]
The perambulatory clauses of PP 1520
identified only “certain areas in the sector comprising the [three
Municipalities that] have potential tourism value” and mandated the conduct of
“necessary studies” and the segregation of “specific geographic areas” to
achieve its purpose. Which is why the PP
directed the Philippine Tourism Authority (PTA) to identify what those
potential tourism areas are. If all the lands
in those tourism zones were to be wholly converted to non-agricultural use,
there would have been no need for the PP to direct the PTA to identify what those
“specific geographic areas” are.
The Court had in fact passed upon a similar
matter before. Thus in DAR v. Franco,[7]
it pronounced:
Thus,
the DAR Regional Office VII, in coordination with the Philippine Tourism
Authority, has to determine precisely which areas are for tourism development
and excluded from the Operation Land Transfer and the Comprehensive Agrarian
Reform Program. And suffice it to state
here that the Court has repeatedly ruled that lands already classified as
non-agricultural before the enactment of RA 6657 on
While the above pronouncement in Franco
is an obiter, it should not be ignored in the resolution of the present
petitions since it reflects a more rational and just interpretation of PP 1520.
There is no prohibition in embracing the
rationale of an obiter dictum in settling controversies, or in
considering related proclamations establishing tourism zones.
In
the above-cited case of Roxas & Co.
v. CA,[9] the
Court made it clear that the “power to determine whether Haciendas Palico, Banilad
and Caylaway are non-agricultural,
hence, exempt from the coverage of the [Comprehensive Agrarian Reform Law] lies
with the [Department of Agrarian Reform], not with this Court.”[10] The DAR, an administrative body of special
competence, denied, by Order of
Relatedly,
the DAR, by Memorandum Circular No. 7,
Series of 2004,[12]
came up with clarificatory guidelines and therein decreed that
A. x x x x.
B. Proclamations declaring general areas such as whole provinces, municipalities, barangays, islands or peninsulas as tourist zones that merely:
(1) recognize certain still unidentified areas within the covered provinces, municipalities, barangays, islands, or peninsulas to be with potential tourism value and charge the Philippine Tourism Authority with the task to identify/delineate specific geographic areas within the zone with potential tourism value and to coordinate said areas’ development; or
(2) recognize the potential value of identified spots located within the general area declared as tourist zone (i.e. x x x x) and direct the Philippine Tourism Authority to coordinate said areas’ development;
could not be regarded as effecting an automatic reclassification of the entirety of the land area declared as tourist zone. This is so because “reclassification of lands” denotes their allocation into some specific use and “providing for the manner of their utilization and disposition (Sec. 20, Local Government Code) or the “act of specifying how agricultural lands shall be utilized for non-agricultural uses such as residential, industrial, or commercial, as embodied in the land use plan.” (Joint HLURB, DAR, DA, DILG Memo. Circular Prescribing Guidelines for MC 54, S. 1995, Sec.2)
A proclamation that merely recognizes the potential tourism value of certain areas within the general area declared as tourist zone clearly does not allocate, reserve, or intend the entirety of the land area of the zone for non-agricultural purposes. Neither does said proclamation direct that otherwise CARPable lands within the zone shall already be used for purposes other than agricultural.
Moreover, to view these kinds of proclamation as a reclassification for non-agricultural purposes of entire provinces, municipalities, barangays, islands, or peninsulas would be unreasonable as it amounts to an automatic and sweeping exemption from CARP in the name of tourism development. The same would also undermine the land use reclassification powers vested in local government units in conjunction with pertinent agencies of government.
C.
There being no reclassification, it is clear that said
proclamations/issuances, assuming [these] took effect before June 15, 1988,
could not supply a basis for exemption of the entirety of the lands
embraced therein from CARP coverage x x x x.
D. x x x x. (underscoring in the original; emphasis and italics supplied)
The DAR’s reading into these general
proclamations of tourism zones deserves utmost consideration, more especially
in the present petitions which involve vast tracts of agricultural land. To reiterate, PP 1520 merely recognized
the “potential tourism value” of certain areas within the general area declared
as tourism zones. It did not reclassify
the areas to non-agricultural use.
Apart from PP 1520, there are
similarly worded proclamations declaring the whole of Ilocos Norte and
Indubitably, these
proclamations, particularly those pertaining to the Provinces of Ilocos Norte
and
Relatedly, a reference to the Special Economic Zone Act of 1995[14]
provides a parallel orientation on the issue.
Under said Act, several towns and cities encompassing the whole
Interestingly, then President Marcos
also issued on
Given these martial law-era decrees
and considering the socio-political backdrop at the time PP 1520 was issued in
1975, it is inconceivable that PP 1520, as well as other similarly worded
proclamations which are completely silent on the aspect of reclassification of
the lands in those tourism zones, would nullify the gains already then achieved
by PD 27.
Even so, Roxas & Co. turns to Natalia Realty v. DAR and NHA v. Allarde to support its
position. These cases are not even closely similar to
the petitions in G.R. Nos. 167540 and 167543.
The only time that these cases may find application to said petitions is
when the PTA actually identifies “well-defined
geographic areas within the zone with potential tourism value.”
In remotely tying these two
immediately-cited cases that involve specific and defined townsite reservations
for the housing program of the National Housing Authority to the present
petitions, Roxas & Co. cites Letter of Instructions No. 352 issued on December
22, 1975 which states that the survey and technical description of the tourism
zones shall be considered an integral part of PP 1520. There
were, however, at the time no surveys and technical delineations yet of the
intended tourism areas.
On hindsight, Natalia and Allarde find
application in the petitions in G.R. Nos. 179650 & 167505, which petitions are
anchored on the extenuating effects of Nasugbu
MZO No. 4, but not in the petitions in G.R. Nos. 167540 & 167543
bearing on PP 1520, as will later be discussed.
Of significance also in the present
petitions is the issuance on
It bears emphasis that a mere
reclassification of an agricultural land does not automatically allow a landowner to change its use since there
is still that process of conversion before one is permitted to use it for other
purposes.[20]
Tourism Act, and not to PP
1520, for possible exemption.
II. ROXAS & CO.’S APPLICATION IN DAR Administrative Case No. A-9999-142-97 FOR CARP
EXEMPTION IN HACIENDA PALICO SUBJECT OF G.R. NO. 179650 CANNOT
BE GRANTED IN VIEW OF DISCREPANCIES IN THE LOCATION AND IDENTITY OF
THE SUBJECT PARCELS OF LAND.
Since PP 1520 did not automatically convert Haciendas Caylaway, Banilad and Palico
into non-agricultural estates, can Roxas & Co. invoke in the alternative Nasugbu MZO No. 4, which reclassified in
1982 the haciendas to
non-agricultural use to exclude six parcels of land in Hacienda Palico from
CARP coverage?
By Roxas & Co.’s contention, the affected
six parcels of land which are the subject
of DAR Administrative Case No. A-9999-142-97 and nine parcels of land which are the subject of DAR Administrative
Case No. A-9999-008-98 involved in
G.R. No. 167505, all in Hacienda Palico,
have been reclassified to non-agricultural uses via Nasugbu MZO No. 4 which was approved by the forerunner of HLURB.
Roxas & Co.’s contention fails.
To be sure, the Court had on several
occasions decreed that a local government unit has the power to classify and
convert land from agricultural to non-agricultural prior to the effectivity of
the CARL.[23] In Agrarian Reform Beneficiaries
Association v. Nicolas,[24] it
reiterated that
. .
. the facts obtaining in this case are similar to those in Natalia Realty. Both subject lands form part of an area
designated for non-agricultural purposes.
Both were classified as non-agricultural lands prior to
x x x x
In
the case under review, the subject parcels of lands were reclassified within an
urban zone as per approved Official Comprehensive Zoning Map of the City of
The DAR Secretary[26]
denied the application for exemption of Roxas & Co., however, in this wise:
Initially, CLUPPI-2 based [its]
evaluation on the lot nos. as appearing in CLOA No. 6654. However, for purposes of clarity and to
ensure that the area applied for exemption is indeed part of TCT No. T-60034,
CLUPPI-2 sought to clarify with [Roxas & Co.] the origin of TCT No.
T-60034. In a letter dated
In denying Roxas & Co.’s motion
for reconsideration, the DAR Secretary held:
The
landholdings covered by the aforesaid titles do not correspond to the
Certification dated February 11, 1998 of the [HLURB] , the Certification dated
September 12, 1996 issued by the Municipal Planning and Development
Coordinator, and the Certifications dated July 31, 1997 and May 27, 1997 issued
by the National Irrigation Authority. The certifications were issued for Lot Nos.
21, 24, 28, 31, 32 and 34. Thus, it was
not even possible to issue exemption clearance over the lots covered by TCT
Nos. 60019 to 60023.
Furthermore, we also note the
discrepancies between the certifications issued by the HLURB and the Municipal
Planning Development Coordinator as to the area of the specific lots.[28]
(emphasis and underscoring supplied)
In affirming the DAR Secretary’s
denial of Roxas & Co.’s application for exemption, the Court of Appeals, in
CA-G.R. SP No. 63146 subject of G.R. No. 179650, observed:
In
the instant case, a perusal of the documents before us shows that there is no
indication that the said TCTs refer to the same properties applied for
exemption by [Roxas & Co.] It is true that the certifications …refer, among
others, to DAR Lot Nos. 21, 24, 28, 31, 32 and 34…But these certifications contain nothing to show that these lots are
the same as Lots 125-A, 125-B, 125-C, 125-D and 125-E covered by TCT Nos.
60019, 60020, 60021, 60022 and 60023, respetively. While [Roxas & Co.] claims that DAR Lot Nos.
21, 24 and 31 correspond to the aforementioned TCTs submitted to the DAR no
evidence was presented to substantiate such allegation.
Moreover, [Roxas & Co.] failed to submit TCT 634 which it claims covers DAR Lot Nos. 28, 32 and 24.(TSN, April 24, 2001, pp. 43-44)
x x x x
[Roxas
& Co.] also claims that subject properties are located at Barangay Cogunan
and Lumbangan and that these properties are part of the zone classified as
Industrial under Municipal Ordinance No. 4, Series of 1982 of the
Its foregoing findings notwithstanding,
the appellate court still allowed Roxas & Co. to adduce additional evidence
to support its application for exemption under Nasugbu MZO No. 4.
Meanwhile, Roxas & Co. appealed
the appellate court’s decision in CA-G.R. No. SP No. 63146 affirming the DAR
Secretary’s denial of its application for CARP exemption in Hacienda Palico (now the subject of G.R.
No. 149548).
When Roxas & Co. sought the
re-opening of the proceedings in DAR Administrative Case No. A-9999-142-97 (subject
of G.R. No. 179650), and offered additional evidence in support of its
application for CARP exemption, the DAR Secretary, this time, granted its
application for the six lots including
Lot No. 36 since the additional documents offered by Roxas & Co. mentioned
the said lot.
In granting the application, the DAR
Secretary[30] examined
anew the evidence submitted by Roxas & Co. which consisted mainly of
certifications from various local and national government agencies.[31] Petitioner in G.R. Nos. 167505, 167540, 169163
and 179650, Damayan Ng Mga Manggagawang Bukid
Sa Asyenda Roxas-National
Federation of Sugar Workers (DAMBA-NFSW), the organization of the farmer-beneficiaries, moved to have
the grant of the application reconsidered but the same was denied by the DAR by
Order of December 12, 2003, hence, it filed a petition for certiorari before the Court of Appeals, docketed
as CA-G.R. SP No. 82225, on grounds of forum-shopping and grave abuse of
discretion. The appellate court, by
Decision of
While ordinarily findings of facts of
quasi-judicial agencies are generally accorded great weight and even finality
by the Court if supported by substantial evidence in recognition of their
expertise on the specific matters under their consideration,[32]
this legal precept cannot be made to apply in G.R. No. 179650.
Even as the existence and validity of
Nasugbu MZO No. 4 had already been
established, there remains in dispute the issue of whether the parcels of
land involved in DAR Administrative Case No. A-9999-142-97 subject of G.R. No. 179650
are actually within the said zoning ordinance.
The Court finds that the DAR
Secretary indeed committed grave abuse of discretion when he ignored the
glaring inconsistencies in the certifications submitted early on by Roxas &
Co. in support of its application vis-à-vis
the certifications it later submitted when the DAR Secretary reopened DAR
Administrative Case No. A-9999-142-97.
Notably, then DAR Secretary Horacio
Morales, on one hand, observed that the “landholdings covered by the aforesaid
titles do not correspond to the Certification dated February 11, 1998 of the
[HLURB], the Certification dated September 12, 1996 issued by the Municipal
Planning and Development Coordinator, and the Certifications dated
In this regard, the Court finds in
order the observation of DAMBA-NFSW that Roxas & Co. should have submitted
the comprehensive land use plan and pointed therein the exact locations of the
properties to prove that indeed they are within the area of coverage of Nasugbu MZO No. 4.
The petitions in G.R. Nos. 179650
& 149548 must be distinguished from Junio v. Garilao[33]
wherein the certifications submitted in support of the application for
exemption of the therein subject lot were mainly considered on the presumption
of regularity in their issuance, there being no doubt on the location and identity of the subject lot.[34] In G.R. No. 179650, there exist uncertainties on the location and
identities of the properties being applied for exemption.
G.R. No. 179650 & G.R. No. 149548
must accordingly be denied for lack of merit.
III. ROXAS & CO.’S APPLICATION FOR CARP
EXEMPTION IN DAR Administrative Case No.
A-9999-008-98 FOR THE NINE PARCELS OF LAND IN HACIENDA
PALICO SUBJECT OF G.R. NO. 167505 SHOULD BE GRANTED.
The Court, however, takes a different
stance with respect to Roxas & Co.’s application for CARP exemption in DAR
Administrative Case No. A-9999-008-98 over nine
parcels of land identified as Lot Nos. 20, 13, 37, 19-B, 45, 47, 49, 48-1
and 48-2 which are portions of TCT No. 985 covering 45.9771 hectares in Hacienda Palico, subject of G.R. No. 167505.
In its application, Roxas & Co.
submitted the following documents:
1. Letter-application dated
2. Secretary’s Certificate dated September 2002
executed by Mariano M. Ampil III, Corporate Secretary of Roxas & Company,
Inc., indicating a Board Resolution authorizing him to represent the
corporation in its application for exemption with the DAR. The same Board
Resolution revoked the authorization previously granted to the Sierra
Management & Resources Corporation;
3. Photocopy of TCT No. 985 and its
corresponding Tax Declaration No. 0401;
4. Location
and vicinity maps of subject landholdings;
5. Certification
dated 10 July 1997 issued by Reynaldo Garcia, Municipal Planning and
Development Coordinator (MPDC) and Zoning Administrator of Nasugbu, Batangas,
stating that the subject parcels of land are within the Urban Core Zone as
specified in Zone A. VII of Municipal Zoning Ordinance No. 4, Series of 1982, approved by the Human
Settlements Regulatory Commission (HSRC), now the Housing and Land Use
Regulatory Board (HLURB), under Resolution No. 123, Series of 1983, dated 4 May
1983;
6. Two
(2) Certifications both dated 31 August 1998, issued by Alfredo Tan II,
Director, HLURB, Region IV, stating that the subject parcels of land appear to
be within the Residential cluster Area as specified in Zone VII of Municipal
Zoning Ordinance No. 4, Series
of 1982, approved under HSRC Resolution No. 123, Series of 1983, dated 4 May
1983;[35]
x x x x (emphasis and underscoring supplied)
By Order of
1. The
farmer-occupants within subject parcels of land shall be maintained in their
peaceful possession and cultivation of their respective areas of tillage until
a final determination has been made on the amount of disturbance compensation
due and entitlement of such farmer-occupants thereto by the PARAD of Batangas;
2. No development shall be undertaken within the subject parcels of land until the appropriate disturbance compensation has been paid to the farmer-occupants who are determined by the PARAD to be entitled thereto. Proof of payment of disturbance compensation shall be submitted to this Office within ten (10) days from such payment; and
3. The cancellation of the CLOA issued to the farmer-beneficiaries shall be subject of a separate proceeding before the PARAD of Batangas.[36]
DAMBA-NSFW moved for reconsideration
but the DAR Secretary denied the same and explained further why CLOA holders
need not be informed of the pending application for exemption in this
wise:
As regards the first ground raised by [DAMBA-NSFW], it should be remembered that an application for CARP-exemption pursuant to DOJ Opinion No. 44, series of 1990, as implemented by DAR Administrative Order No. 6, series of 1994, is non-adversarial or non-litigious in nature. Hence, applicant is correct in saying that nowhere in the rules is it required that occupants of a landholding should be notified of an initiated or pending exemption application.
x x x x
With
regard [to] the allegation that oppositors-movants are already CLOA holders of
subject propert[ies] and deserve to be notified, as owners, of the initiated
questioned exemption application, is of no moment. The Supreme Court in the case of Roxas
[&]
“We stress that the failure of respondent DAR to comply with the requisites of due process in the acquisition proceedings does not give this Court the power to nullify the CLOA’s already issued to the farmer beneficiaries. x x x x. Anyhow, the farmer[-]beneficiaries hold the property in trust for the rightful owner of the land.”
Since subject landholding has been validly determined to be CARP-exempt, therefore, the previous issuance of the CLOA of oppositors-movants is erroneous. Hence, similar to the situation of the above-quoted Supreme Court Decision, oppositors-movants only hold the property in trust for the rightful owners of the land and are not the owners of subject landholding who should be notified of the exemption application of applicant Roxas & Company, Incorporated.
Finally, this Office finds no substantial basis to reverse the assailed Orders since there is substantial compliance by the applicant with the requirements for the issuance of exemption clearance under DAR AO 6 (1994).[37]
On DAMBA-NSFW’s petition
for certiorari, the Court of Appeals, noting that the petition was belatedly
filed, sustained, by Decision of
The Court finds no reversible error in the Court of Appeals’ assailed
issuances, the orders of the DAR Secretary which it sustained being amply
supported by evidence.
IV. THE CLOAs ISSUED BY THE DAR in ADMINISTRATIVE CASE NO. A-9999-008-98
SUBJECT OF
G.R. No. 179650 TO THE FARMER-BENEFICIARIES INVOLVING THE NINE PARCELS OF LAND
IN HACIENDA PALICO MUST BE CANCELLED.
Turning now to the validity of the
issuance of CLOAs in Hacienda Palico vis-à-vis
the present dispositions: It bears
recalling that in DAR Administrative Case Nos. A-9999-008-98 and A-9999-142-97
(G.R. No. 179650), the Court ruled for Roxas & Co.’s grant of exemption in
DAR Administrative Case No. A-9999-008-98 but denied the grant of exemption in DAR
Administrative Case No. A-9999-142-97 for reasons already discussed. It follows that the CLOAs issued to the
farmer-beneficiaries in DAR Administrative Case No. A-9999-008-98 must be
cancelled.
But first, the Court digresses. The assertion of DAMBA-NSFW that the
petitions for partial and complete cancellations of the CLOAs subject of DARAB
Case Nos. R-401-003-2001 to R-401-005-2001 and No. 401-239-2001 violated the
earlier order in Roxas v. Court of Appeals does not lie. Nowhere did
the Court therein pronounce that the CLOAs issued “cannot and should not be
cancelled,” what was involved therein being the legality of the acquisition
proceedings. The Court merely reiterated
that it is the DAR which has primary jurisdiction to rule on the validity of
CLOAs. Thus it held:
. . . [t]he failure of respondent DAR to comply with the requisites of due process in the acquisition proceedings does not give this Court the power to nullify the [CLOAs] already issued to the farmer-beneficiaries. To assume the power is to short-circuit the administrative process, which has yet to run its regular course. Respondent DAR must be given the chance to correct its procedural lapses in the acquisition proceedings. x x x x. Anyhow, the farmer beneficiaries hold the property in trust for the rightful owner of the land.[39]
On the procedural question raised by
Roxas & Co. on the appellate court’s relaxation of the rules by giving due
course to DAMBA-NFSW’s appeal in CA G.R. SP No. 72198, the subject of G.R. No. 167845:
Indeed, the perfection of an appeal
within the statutory period is jurisdictional and failure to do so renders the
assailed decision final and executory.[40] A relaxation of the rules may, however, for
meritorious reasons, be allowed in the interest of justice.[41] The Court finds that in giving due course to
DAMBA-NSFW’s appeal, the appellate court committed no reversible error. Consider its ratiocination:
x x x x. To deny [DAMBA-NSFW]’s appeal with the PARAD will not only affect their right over the parcel of land subject of this petition with an area of 103.1436 hectares, but also that of the whole area covered by CLOA No. 6654 since the PARAD rendered a Joint Resolution of the Motion for Reconsideration filed by the [DAMBA-NSFW] with regard to [Roxas & Co.]’s application for partial and total cancellation of the CLOA in DARAB Cases No. R-401-003-2001 to R-401-005-2001 and No. 401-239-2001. There is a pressing need for an extensive discussion of the issues as raised by both parties as the matter of canceling CLOA No. 6654 is of utmost importance, involving as it does the probable displacement of hundreds of farmer-beneficiaries and their families. x x x x (underscoring supplied)
Unlike courts of justice, the DARAB,
as a quasi-judicial body, is not bound to strictly observe rules of procedure
and evidence. To strictly enforce rules
on appeals in this case would render to naught the Court’s dispositions on the
other issues in these consolidated petitions.
In the main, there is no logical
recourse except to cancel the CLOAs issued
for the nine parcels of land
identified as Lot Nos. 20, 13, 37, 19-B, 45, 47, 49, 48-1 and 48-2 which are
portions of TCT No. 985 covering 45.9771 hectares in Hacienda Palico (or those covered by DAR Administrative Case
No. A-9999-008-98). As for the rest of
the CLOAs, they should be respected since Roxas & Co., as shown in the
discussion in G.R. Nos. 167540, 167543
and 167505, failed to prove that the other lots in Hacienda Palico and the other two haciendas, aside from the above-mentioned nine lots, are
CARP-exempt.
Conformably, Republic Act No. 3844 (R.A. No. 3844), as amended,[42] mandates
that disturbance compensation be given to tenants of parcels of land upon
finding that “(t)he landholding is declared by the department head upon
recommendation of the National Planning Commission to be suited for
residential, commercial, industrial or some other urban purposes.”[43] In addition, DAR AO No. 6, Series of 1994
directs the payment of disturbance compensation before the application for
exemption may be completely granted.
Roxas & Co. is thus mandated to first satisfy the disturbance
compensation of affected farmer-beneficiaries in the areas covered by the nine parcels of lands in DAR AO No.
A-9999-008-98 before the CLOAs covering them can be cancelled. And it is
enjoined to strictly follow the
instructions of R.A. No. 3844.
Finally then, and in view of the
Court’s dispositions in G.R. Nos. 179650 and 167505, the May 27, 2001 Decision of the Provincial
Agrarian Reform Adjudicator (PARAD)[44]
in DARAB Case No. 401-239-2001 ordering the total cancellation of CLOA No. 6654,
subject of G.R. No. 169163, is SET ASIDE except with respect to the CLOAs issued for Lot Nos. 20, 13, 37, 19-B, 45, 47, 49, 48-1 and 48-2
which are portions of TCT No. 985 covering 45.9771 hectares in Hacienda Palico (or those covered by DAR
Administrative Case No. A-9999-008-98).
It goes without saying
that the motion for reconsideration of DAMBA-NFSW is granted to thus
vacate the Court’s October 19, 2005 Resolution dismissing DAMBA-NFSW’s petition
for review of the appellate court’s Decision in CA-G.R. SP No. 75952;[45]
WHEREFORE,
1)
In G.R. No. 167540, the Court REVERSES and SETS ASIDE
the November 24, 2003 Decision[46]
and March 18, 2005 Resolution of the Court of Appeals in CA-G.R. SP No. 72131
which declared that Presidential Proclamation No. 1520 reclassified the lands
in the municipalities of Nasugbu in Batangas and Maragondon and Ternate in
Cavite to non-agricultural use;
2)
The Court accordingly GRANTS the Motion for Reconsideration
of the Department of Agrarian Reform in G.R. No. 167543 and REVERSES and SETS ASIDE its Resolution
of July 20, 2005;
3)
In G.R. No. 149548, the
Court DENIES the petition for review of Roxas & Co. for lack of
merit;
4) In G.R. No. 179650, the Court
GRANTS the petition for review of DAMBA-NSFW and REVERSES and SETS
ASIDE the
5) In G.R. No. 167505, the Court DENIES
the petition for review of DAMBA-NSFW and AFFIRMS the
6) In G.R. No. 167845, the Court DENIES
Roxas &
7) In G.R. No. 169163, the Court SETS ASIDE the Decisions of
the Provincial Agrarian Reform Adjudicator in DARAB Case No. 401-239-2001
ordering the cancellation of CLOA No. 6654 and DARAB Cases Nos. R-401-003-2001
to No. R-401-005-2001 granting the partial cancellation of CLOA No. 6654. The
CLOAs issued for Lots No. 21 No. 24, No. 26, No. 31, No. 32 and No. 34 or those covered by DAR
Administrative Case No. A-9999-142-97) remain; and
8) Roxas & Co. is ORDERED to pay the disturbance
compensation of affected farmer-beneficiaries in the areas covered by the nine
parcels of lands in DAR Administrative Case No. A-9999-008-98 before the CLOAs
therein can be cancelled, and is ENJOINED to strictly follow the mandate of
R.A. No. 3844.
No pronouncement as to costs.
SO ORDERED.
CONCHITA CARPIO
MORALES
Associate Justice
WE
CONCUR:
REYNATO S.
PUNO
Chief Justice
ANTONIO T. CARPIO Associate Justice |
RENATO C. CORONA Associate Justice |
MINITA
V. CHICO-NAZARIO Associate Justice ANTONIO EDUARDO B. NACHURA Associate Justice |
PRESBITERO J. VELASCO, JR. Associate Justice TERESITA J. LEONARDO-DE CASTRO Associate Justice |
ARTURO D. BRION Associate Justice LUCAS P. BERSAMIN Associate Justice |
DIOSDADO M. PERALTA Associate Justice MARIANO C. Associate Justice |
ROBERTO A. ABAD Associate Justice |
MARTIN S. VILLARAMA, JR. Associate Justice |
CERTIFICATION
Pursuant to
Section 13, Article VIII of the Constitution, I hereby certify that the
conclusions in the above Decision had been reached in consultation before the
case was assigned to the writer of the opinion of the Court.
REYNATO S. PUNO
Chief Justice
* Now the Department of Land Reform.
[1] G.R. No. 127876, 378 Phil. 727 (1999).
[2]
[3] GUIDELINES FOR THE ISSUANCE OF EXEMPTION CLEARANCES BASED ON SECTION 3(c) OF RA 6657 AND THE DEPARTMENT OF JUSTICE (DOJ) OPINION NO. 44, SERIES OF 1990.
[4] Rollo (G.R. No. 167540), pp. 1280-1281.
[5] Resolutions of
[6] Vide Evangelista v.
[7] G.R. No. 147479,
[8]
[9] Supra note 2.
[10]
[11] Ibid.
[12] CLARIFICATORY GUIDELINES ON THE
EFFECT OF DECLARATIONS OF GENERAL AREAS IN THE COUNTRY AS “TOURIST ZONES” TO
THE COVERAGE OF LANDS DEVOTED TO OR SUITABLE FOR AGRICULTURE WITHIN SAID AREAS
UNDER THE [CARP]. Issued on
[13] Proclamation Nos. 1653, 1801, 2052 and 2067.
[14] Republic Act No. 7916.
[15] SECTION
5. Establishment of ECOZONES. - To ensure the viability and geographic
dispersal of ECOZONES through a system of prioritization, the following areas
are initially identified as ECOZONES, subject to the criteria specified in
Section 6:
a) So much as
may be necessary of that portion of Morong, Hermosa, Dinalupihan, Orani, Samal,
and Abucay in the
b) So much as
may be necessary of that portion of the municipalities of Ibaan,
c) So much as may be necessary of that portion of the City of
d) So much as may be necessary of that portion of the City of
e) So much as may be necessary of that portion of the
f)So much as may be necessary of that portion of the City of
g) So much as may be necessary of that portion of
h) So much as may be necessary of that portion of
i) So much as may be necessary of that portion of Tubalan Cove,
Malita in the Province of Davao del Sur;
j) So much as may be necessary of that portion of Baler, Dinalungan
and Casiguran including its territorial waters and islets and its immediate
environs in the
k) So much as may be necessary of that portion of cities of Naga and
Iriga in the
l) So much as may be necessary of that portion of
m) So much as may be necessary of that portion of Lapu-lapu in the
n) So much as may be necessary of that portion of
o) So much as may be necessary of that portion of the
p) So much as may be necessary of that portion of the
q) So much as may be necessary of that portion of the municipalities
of San Jose de Buenavista, Hamtic, Sibalom, and Culasi in the
r) So much as may be necessary of that portion of the
municipalities of Catarman, Bobon and
s) So much as may be necessary of that portion of the
t) So much as may be necessary of that portion of Polloc, Parang in
the
u) So much as may be necessary of that portion of the
v) So much as may be necessary of that portion of the
w) So much as may be necessary of that portion of Dipolog
City-Manukan Corridor in the
x) So much as may be necessary of that portion of Mambajao,
y) So much as may be necessary of that portion of Infanta, Real,
Polillo, Alabat, Atimonan, Mauban, Tiaong, Pagbilao, Mulanay, Tagkawayan, and
Dingalan Bay in the Province of Quezon;
z) So much as may be necessary of that portion of
aa) So much as may be necessary of that portion of
bb) So much as may be necessary of that portion of
cc) So much as may be necessary of that portion of the
autonomous region;
dd) So much as may be necessary of that portion of
Masinloc, Candelaria and Sta. Cruz in the
ee) So much as may be necessary of that portion of the
ff) So much as may be necessary of that portion of
gg) So much as may be necessary of that portion of
hh) So much as may be necessary of that portion of the
ii) So much as may be necessary of that portion of the
jj) So much as may be necessary of that portion of the
kk) So much as may be necessary of that portion of the
[16] Land
Conversion. - Agricultural lands may be converted for residential,
commercial, industrial and other non-agricultural purposes, subject to the
conditions set forth under Republic Act. No.. 6657 and other existing
laws.
[17] Tenant Emancipation Decree of 1972.
[18] On
[19] On
[20] Section 2(k) of DAR Administrative Order No. 01-99, Revised Rules and Regulations on the Conversion of Agricultural Lands to Non-Agricultural Uses.
[21] Republic Act No. 9593.
[22] SEC. 61.
Development Planning. – x x x x.
x x x x.
No [Tourism Enterprise Zone]
shall be designated without a development plan duly approved by the [Tourism
Infrastructure and Enterprise Zone Authority] and without the approval, by
resolution, of the [local government unit] concerned. Any deviation or
modification from the development plan shall require the prior authorization of
the TIEZA. The TIEZA may cause the suspension of granted incentives and
withdrawal of recognition as a TEZ Operator. It may likewise impose reasonable
fines and penalties upon TEZ Operators and responsible persons for any failure
to properly implement the approved development plan.
Lands identified as part of a TEZ shall qualify for
exemption from the coverage of Republic Act No. 7279, otherwise known as the
Urban Development and Housing Act of 1992, and Republic Act No. 6657, otherwise
known as the Comprehensive Agrarian Reform Law, subject to rules and
regulations to be crafted by the TIEZA, the Housing and Urban Development
Coordinating Council and the Department of Agrarian Reform.
[23] Vide:
Pasong Bayabas Farmers Association v. CA, G.R. No. 142359,
[24] G.R. No. 168394,
[25]
[26] Then Secretary Horacio R. Morales, Jr.
[27] CA rollo (CA G.R. No. 63146 as part of G.R. No. 149548), pp. 9-11.
[28]
[29]
[30] Then Secretary Hernani Braganza.
[31] The
DAR Secretary ruled that:
In the case at hand Records show that subject
properties were originally registered under TCT No. T-985. This is shown in the Certification dated
CERTIFICATION
x
x x x.
This
is to certify that Lot No. 125 of Psd-04016141 (OLT) under TCT No. 49946 is a
transfer from TCT-985. Further, it is
certified that
x
x x x.
In a letter dated
x
x x x.
A
scrutiny of TCT Nos. T-60019, T-60020, T-60021, T-60022, T-60023 and T-60034
shows that they are transfers from TCT No. T-59946. Furthermore, a Certification dated 6
September 2001 issued by Dante Ramirez, Deputy Register of Deeds, Nasugbu,
Batangas, states that the mother title of TCT Nos. T-60019, T-60020, T-60021,
T-60022, T-60023 and T-60034 is TCT No. T-985. registered in the name of Roxas
Y Cia.
x x x x.
In the case at hand, the Certification dated
[32] Viva Footwear Manufacturing Corp. v. SEC, G.R. No. 163235, April 27, 2007, 522 SCRA 609, 615 citing Quiambao v. CA, G.R. No. 128305, March 28, 2005, 454 SCRA 17, 40.
[33] G.R. No. 147146,
[34]
[35] Rollo (G.R. No. 167505), pp. 529-532.
[36]
[37]
[38]
[39] Supra note 1 at 783.
[40] Sublay v. NLRC, 324 SCRA 188 (2000).
[41] Cuevas
v. Bais Steel Corporation, G.R. No. 142689,
[42] An Act to Ordain the Agricultural Land Reform Code and to Institute Land Reforms in the Philippines, including the Abolition of Tenancy and the Channeling of Capital into Industry, Provide for the Necessary Implementing Agencies, Appropriate Funds therefor and for Other Purposes. As amended by Republic Act No. 6389.
[43] Section 36 (1) of R.A. No. 3844.
[44] PARAD Barbara P. Tan. In the Decision of
WHEREFORE, premises considered, Judgment is hereby rendered:
1. Finding and declaring the issuance of CLOA 6654 not in accordance with the mandate of Sec. 16, RA 6657 thereby effectively circumventing the implementation of the CARP;
2. Finding CLOA 6654 to be fictitious/null and void having been generated on the basis of a subdivision survey which was plotted on a survey plan which has already been previously cancelled, superseded and extinct, accordingly;
3. Ordering the cancellation of CLOA 6654, as prayed for by Petitioner, without prejudice, however, to the execution of the proper subdivision survey for purposes of delineating accurately the boundaries of the properties subject of acquisition proceedings for purposes of determining their coverage under the CARP or their negotiability for conversion and/or exclusion from the Program.
[45] Penned by Justice Andres B. Reyes, Jr. with the concurrence of Justices Lucas P. Bersamin and Celia C. Librea-Leagogo.
[46] Penned by Justice Jose L. Sabio, Jr. with the concurrence of Justices Amelita G. Tolentino and Regalado E. Maambong and the dissent of Justices Ruben T. Reyes (now a retired member of the Court) and Portia Aliño-Hormachuelos.