CASE NAME

& DOCTRINE AND FACTS ISSUE RULING

KEYWORD
Daez v. CA DOCTRINE: I. WON the I. Yes. Exemption and retention in agrarian
GR no. The issuance of an emancipation patent or court of reform are two (2) distinct concepts.
133507 certificate of land ownership award to the appeals
17 Febuary beneficiaries does not absolutely bar the erred The requisites for coverage under the OLT
2000 landowner from retaining the area covered when it program are the following: (1) the land
thereby ruled that must be devoted to rice or corn crops; and
kw: Right of distinction (2) there must be a system of share-crop
retention FACTS: between or lease-tenancy obtaining therein. If either
Eudosia Daez, now deceased, was the owner exemption requisite is absent, a landowner may apply
of a 4.1685-hectare riceland in Meycauayan, from for exemption.
Bulacan which was being cultivated by agrarian
respondents under a system of share- reform Thus, on one hand, exemption from
tenancy. The said land was subjected to the coverage coverage of OLT lies if: (1) the land is not
Operation land Transfer (OLT) program under and the devoted to rice or corn crops even if it is
presidential decree (p.d.) no. 278 as right of tenanted; or (2) the land is untenanted
amended by letter of instruction (LOI) no. retention even though it is devoted to rice or corn
4749. Thus, the then ministry of agrarian of crops. On the other hand, the requisites for
reform acquired the subject land and issued landowners the exercise by the landowner of his right
certificates of land transfer (CLT) on is only a of retention are the following: (1) the land
December 9, 1980 to private respondents as matter of must be devoted to rice or corn crops; (2)
beneficiaries. semantics there must be a system of share-crop or
sequel. lease-tenancy obtaining therein; and (3)
However, on May 31, 1981, private II. WON the size of the landholding must not
respondents signed an affidavit, allegedly Petitioner exceed twenty-four (24) hectares, or it
under duress, stating that they are not share heirs may could be more than twenty-four (24)
tenants but hired laborers. armed with such still hectares provided that at least seven (7)
document, Eudosia Daez applied for the exercise hectares thereof are covered lands and
exemption of said riceland from coverage of their right more than seven (7) hectares of it consist
p.d. no. 27 due to non-tenancy as well as to of "other agricultural lands"
for the cancellation of the CLTs issued to retention?
private respondents. Being distinct remedies, finality of

Daez declared ownership, among others, over
41.8064 hectares of agricultural lands
located in Bulacan.
DAR Undersecretary Jose C. Medina issued
an order denying Daez’s application for
exemption. DAR Secretary Leong affirmed the
assailed order. the order was sustained by the
CA.
On august 6 and 12, 1992, the DAR issued
emancipation patents (EPS) to private
respondents. thereafter, the register of
deeds of Bulacan issued the corresponding
transfer certificates of title (TCTS)
Exemption of the 4.1685 riceland from
coverage by p.d. no. 27 having been finally
denied her, Daez next filed an application
for retention of the same riceland, this
time under RA. no. 6657.
DAR Region 3 OIC-Director Bernardo allowed
Eudosia Daez to retain the subject riceland.
DAR Secretary Ernesto D. Garilao, set aside
the order of Regional Director. She appealed
Secretary Garilao's decision to the Office of
the President which ruled in her favor
which was reversed by the CA which ordered
for the reinstatement of the decision of DAR
Secretary Garilao.
judgment in one does not preclude the
subsequent institution of the other. Being
distinct remedies, finality of judgment in
one does not preclude the subsequent
institution of the other.
II. Yes. Petitioner heirs of Eudosia Daez may
exercise their right of retention over the
subject 4.1685 riceland.
Landowners who have not yet exercised
their retention rights under P.D. No. 27 are
entitled to the new retention rights under
R.A. No. 6657.
Sec. 6 of RA 6657 defines the nature and
incidents of a landowner's right of
retention. For as long as the area to be
retained is compact or contiguous and it
does not exceed the retention ceiling of
five (5) hectares, a landowner's choice of
the area to be retained, must prevail.
Without doubt, this right of retention may
be exercised over tenanted land despite
even the issuance of Certificate of Land
Transfer (CLT) to farmer-beneficiaries.