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Facts: Petitioner, as a lessee, occupied the property of Castellvi in on a year to year

basis. Before the expiration of the lease contract, the Republic sought to renew the
same but Castellvi refused. When the AFP refused to vacate the leased premises after
the termination of the contract. Arellano, Chief of Staff, stated that it was difficult for the
army to vacate the premises in view of the permanent installations and other facilities
worth almost P500,000.00 that were erected and already established on the property,
and that, there being no other recourse, the acquisition of the property by means of
expropriation proceedings would be recommended to the President.

Petitioner Republic stated that the “taking ” of Castellvi’s property should be deemed as
of the year 1947 by virtue of the lease agreement. Respondent argued otherwise.

Issue: Whether petitioner’s contention that the taking occurred in 1947 (and not in
1959, is correct

Held:  It is clear, therefore, that the “taking” of Castellvi’s property for purposes of
eminent domain cannot be considered to have taken place in 1947 when the Republic
commenced to occupy the property as lessee thereof, and that the just compensation to
be paid for the Castellvi’s property should not be determined on the basis of the value of
the property as of that year. The lower court did not commit an error when it held that
the “taking” of the property under expropriation commenced with the filing of the
complaint in this case.
Under Sec. 4, Rule 67 of the Rules of Court, “just compensation” is to be determined as
of the date of the filing of the complaint. The Supreme Court has ruled that when the
taking of the property sought to be expropriated coincides with the commencement of
the expropriation proceedings, or takes place subsequent to the filing of the complaint
for eminent domain, the just compensation should be determined as of the date of the
filing of the complaint.
In the instant case, it is undisputed that the Republic was placed in possession of the
Castellvi property, by authority of the court, on August 10, 1959. The “taking” of the
Castellvi property for the purposes of determining the just compensation to be paid
must, therefore, be reckoned as of June 26, 1959 when the complaint for eminent
domain was filed.