CHAPTER 2 153

THE TENANT EMANCIPATION LAW

ere has to be full payment

Lim land to the tenant or lessee. Th not
ner could be divested of his
compensation before the landow (I,
compensation
otherwise, the land would be taken without just
onal injunction against taking of private
CHAPTER 2 Violation of the constituti
notwithstanding
porty without just compensation. Therefore,
THE TENANT EMANCIPATION LAW eemed full
Phrase "shall be deemed owner," or "are now d
ip over the land will be transferred to
Hers" the title and ownersh
he just compensation to
PRESIDENTIAL DECREE NO. 27 beneficiaries only upon full payment of t
[as amended by Executive Order No. 228] landowner.

of land to be transferred to the tenant-farmer

The tenant-farmer is entitled to:
Applicability of the Law (a) five (5) hectares, if not irrigated; or

The Tenant Emancipation Law supplements the Compre (b) three (3) hectares, if irrigated;
sive Agrarian Reform Law.' It applies only to private agricult
lands primarily devoted to rice and corn under share tenan ges of land transfer
lease-tenancy. 27 is effected
The land transfer under Presidential Decree No. two
Transfer of lands to tenants (2) stages, namely:
(CLT) to
(a) Issuance of a Certificate of Land Transfer the
Presidential Decree No. 27 provides that:
farmer-beneficiary; and
"The tenant farmer, whether in land classified as landed
(b) Issuance of Emancipation Patent (EP) .4
estate or not, shall be deemed owner of a portion constituting
a family-size farm of five (5) hectares if not irrigated and three )
(3) hectares if irrigated."' lanIficance of the Certificate of Land Transfer (CLT
wnership
The CLT does not vest upon the tenant-beneficiary o
Section 1 of Executive Order No. 228 further provides that'
or the land. It merely qualifies the tenant-beneficiary to possess
"SECTION 1. All qualified farmer beneficiaries are now the itions preparatory to ownership.
deemed full owners as of October 21, 1972 of the land they MI and comply with certain cond
acquired by virtue of Presidential Decree No. 27 (hereinafter , he is issued
the tenant-beneficiary complies with the conditions
Imancipation Patent.'
referred to as P.D. No. 27)."'
ignIficance of an Emancipation Patent (EP)
The phrase "shall be deemed owner" or "are now dee ownership
The EP vests upon the farmer-beneficiary absolute
full owners" does not mean automatic transfer of title or owners hority for the
or the landholding, and it constitutes conclusive aut
tificate of title in his name.6
Nuance of an original or transfer cer
'Sec. 75, R.A. No. 6657.
'Emphasis supplied.
'Emphasis supplied.
352.
'Heirs of Dr. Jose Deleste v. Land Bank, 661 SCRA
152
 . Estrella, 201 SCRA 636.
'Levardo v. Yatco, 582 SCRA 93; Vinzons-Magana v
'Maylem v. Ellano, 692 SCRA 440.
154 AGRARIAN LAW AND SOCIAL LEGISLATION
Indefeasibility of EPs
EPs are titles brought under the operation of the To
System. Hence, they are conferred with the same indefeasibility
security as provided for by Presidential Decree No. 1529, as ama
by Republic Act No. 6732. Emancipation patents become indefea
and imprescriptible after one (1) year from its registration wi
Office of the Registry of Deeds, subject to the conditions, limita
and qualifications under the Comprehensive Agrarian Reform
the Property Registration Decree, and other pertinent laws.
provided for in Section 24 of the Comprehensive Agrarian Re
Law, the pertinent portion of which reads as follows:
"SECTION 24. Award to Beneficiaries. — The rights
and responsibilities of the beneficiaries shall commence from
their receipt of a duly registered emancipation patent or
certificate of land ownership award and their actual physical
d inquired under the Tenant Emancipation Law, except to the
possession of the awarded land. Such award shall be completed
in not more than one hundred eighty (180) days from the date
of registration of the title in the name of the Republic of the
Philippines: Provided, That the emancipation patents, the
certificates of land ownership award, and other titles
issued under any agrarian reform program shall be
indefeasible and imprescriptible after one (1) year from
its registration with the Office of the Registry of Deeds,
subject to the conditions, limitations and qualifications of this
Act, the property registration decree, and other pertinent laws.
The emancipation patents or the certificates of land ownership
award being titles brought under the operation of the torrens
system, are conferred with the same indefeasibility and security
afforded to all titles under the said system, as provided for by
Presidential Decree No. 1529, as amended by Republic Act No.
6732."
Mier-beneficiary after full payment of the amortizations. Section
f 141xecutive Order No. 228 provides that:
Cancellation of EPs
Emancipation Patents may be cancelled on the follo
grounds:
(a) Abandonment of the land;
(b) Neglect or misuse of land;?
(c) Failure to pay three (3) annual amortization;'
'Sec. 22, Comprehensive Agrarian Reform Law.
'Sec. 26, ibid.
CHAPTER 2 155
THE TENANT EMANCIPATION LAW
(d) Misuse or diversion of financial and support services;'
(e) Sale, transfer or conveyance of the right to use the
land;'" and
(f) Illegal conversion of the land."
idlction over cancellation of EPs
A II cases involving the cancellation of registered emancipation
111,H are within the exclusive and original jurisdiction of the
rotary of the Department of Agrarian Reform.12
ant-beneficiary cannot sell or transfer ownership of the land
The tenant-beneficiary cannot sell or transfer ownership of the
ornment or by hereditary succession. Presidential Decree No. 27
rtMHly provides that:
"Title to land acquired pursuant to this Decree or the Land
Reform Program of the Government shall not be transferable
except by hereditary succession or to the Government in
accordance with the provisions of this Decree, the Code of
Agrarian Reforms and other existing laws and regulations."
tenant-farmer will pay the Land Bank
The farmer-beneficiary or his heirs will pay the Land Bank
total costs of the land plus interest at the rate of six percent
11 per annum for twenty (20) years in twenty (20) equal annual
orlizations. The Emancipation Patent will be issued to the
"SECTION 6. The total costs of the land including
Interest at the rate of six percent (6%) per annum with a two
percent (2%) rebate for amortizations paid on time, shall be paid
by the farmer-beneficiary or his heirs to the Land Bank over a
period of up to twenty (20) years in twenty (20) equal annual
amortizations. Larls already valued and financed by the Land
"Sec. 37, ibid.
"Sec. 73, ibid.
"Sec. 73, ibid.
"Sec. 24, ibid.
156 AGRARIAN LAW AND SOCIAL LEGISLATION CHAPTER 2 157
THE TENANT EMANCIPATION LAW

Bank are likewise extended a 20-year period of payment o
twenty (20) equal annual amortizations. However, the farmer-
beneficiary if he so elects, may pay in full before the twentieth
year or may request the Land Bank to structure a repayment
period of less than twenty (20) years if the amount to be financed
and the corresponding annual obligations are well within the
farmer's capacity to meet. Ownership of lands acquired by the
farmer-beneficiary may be transferred after full payment of
amortizations."
alue
Rank bonds over a 10-year period, with 1/10 of the face v
maturing every year until the 10th year; and
(c) Other modes of payment as may be prescribed or
il.12
approved by the Presidential Agrarian Reform Counc
beneficiary
Lease rentals paid to the landowner by the farmer
r October 21, 1972 is considered as advance payment for the
al.'"

Failure on the part of the farmer-beneficiary to pay thre tontlon right of landowner
annual amortizations shall cause the Land Bank to foreclos ntitled to
Under Presidential Decree No. 27, the landowner is e
mortgage.12 e is cultivating
fain an area of not more than seven (7) hectares, if h
The tenant-farmer, or any of his compulsory heirs may li will cultivate it. Thus:
foreclosure within a period of two (2) years from its registratio of not
"In all cases, the landowner may retain an area
paying the Land Bank all unpaid amortizations on the land is cultivating
more than seven (7) hectares if such landowner
interest thereon of six percent (6%) per annum.14
such area or will now cultivate it."
If the tenant-farmer or any of his compulsory heirs does uired
take steps to lift the foreclosure within the 2-year period, owner Personal cultivation by the landowner is not req
gh labor administration.10
ILivation can be done indirectly throu
of the land will be transferred to the Land Bank.n Thereafter,
Land Bank, not later than three (3) months after its acquisition o vis retention
land, shall sell the foreclosed land to any interested landless fa otention right under Predidential Decree No. 27 vis-à- ght
duly certified to as a bonafide landless farmer by the Depart under the CARL
of Agrarian Reform of the barangay or the two closest baran t of retention
If the landowner has already exercised his righ
where the land is situated.'6 ger exercise the
odor Presidential Decree No. 27, he can no lon
Reform Law.
tention right under Comprehensive Agrarian
Payment of just compensation to landowner
lowever, he can keep the 7-hectare retention limit
The just compensation is payable to the landowner thrO granted under
any of the following modes, at the option of the landowner: residential Decree No. 27.20

(a) Direct payment to the landowner by the fa If the landowner chooses to retain five (5) hectares under
beneficiaries, in cash or in kind, on terms to be mutually a omprehensive Agrarian Reform Law, the seven (7) hectares
No. 27 shall
upon by the beneficiaries and landowners and subject to roviously retained by him under Presidential Decree
e Comprehensive
approval of the Department of Agrarian Reform; o immediately placed under the coverage of th
Agrarian Reform Law.21
(b) Payment by the Land Bank with 10% payabl
cash immediately and the balance payable in the form of L

13Sec. 8, E.O. No. 228.

"Sec. 10, ibid. "Sec. 3, E.O. No. 228.
15Ibid. I8Sec. 2, ibid.
16Sec. 11, ibid.
"'Sec. 2 (b), DAR Administrative Order No. 05-00. "Sec. 6, Administrative Order No. 05-00.
.
Comprehensive Agrarian Reform Law, as amended 21Sec. 3, DAR
158 AGRARIAN LAW AND SOCIAL LEGISLATION

Jurisdiction over retention or exemption issues

Issues pertaining to retention rights of the landowner and

exclusion or exemption from agrarian reform coverage are cogniz by
the Secretary of the Department of Agrarian Reform because t
CHAPTER 3
pertain to administrative implementation of agrarian law.22 THE CODE OF AGRARIAN REFORMS

REPUBLIC ACT NO. 3844

mended by Presidential Decree Nos. 251, 444, 1039, and 1817,
Republic Act Nos. 6389, 6557, 7907, and 9700]

tory of the Code of Agrarian Reforms

The Code of Agrarian Reforms was initially denominated as

Agricultural Land Reform Code. Republic Act No. 6389 renamed
m the Code of Agrarian Reforms.

The Agricultural Land Reform Code was an administration

mubmitted by President Diosdado Macapagal for enactment by
fith Congress of the Philippines. It was signed into law on Au-
g 8, 1963.

fictive of the Code of Agrarian Reforms

The main objective of the Code of Agrarian Reforms is to create

stem of owner-cultivatorship and economic family-size farm as
Mk of Philippine'agriculture.

ch) of Agrarian Reforms vis-a-vis Comprehensive Agrarian

form Law
The Comprehensive Agrarian Reform Law did not repeal
Code of Agrarian Reforms. The Code of Agrarian Reforms
pplements the Comprehensive Agrarian Reform Law.'

'Sec. 75, R.A. No. 6657.

22Sta. Ana v. Carpo, 572 SCRA 463; Magno v. Francisco, 616 SCRA 402. 159