Heirs of Ardona v. Hon. Reyes (CFI of Cebu) and Phil.

Tourism Authority
123 SCRA 220 (Oct. 26, 1983)

Doctrine: As long as the purpose of the taking is public, power of eminent domain comes
into play. Whatever may be beneficially employed for the general welfare satisfies the
requirement of public use

FACTS:

The Phil. Tourism Authority filed 4 complaints with the CFI of Cebu for the expropriation of
282 ha of rolling land for the development into integrated resort complexes of selected and
well-defined geographic areas with potential tourism value. The PTA will construct a sports
complex, clubhouse, playground and picnic area on said land. AN electric power grid will
also be established by NPC as well as deep well and drainage system. Complimentary
support facilities (malls, coffee shops) will also be created.

The defendants alleged that the taking is not impressed with public use under the
Constitution, that the land was covered by the land reform program and therefore the
Court of Agrarian Reform and not the CFI of Cebu has jurisdiction over the case, and that
the expropriation would impair the obligations and contracts.

Nonetheless, upon deposit of an amount equivalent to 10% of the value of the property, CFI
authorized the PTA to take immediate possession of the land.

ISSUE: WON the public use requirement for the exercise of the power of eminent domain
has been complied with

HELD:

Yes. The concept of public use is not limited to traditional purpose for the construction of
roads, bridges, and the like. The idea that “public use” means “use by the public” has been
discarded. As long as the purpose of the taking is public, power of eminent domain comes
into play. Whatever may be beneficially employed for the general welfare satisfies the
requirement of public use.

The petitioners have not shown that the area being developed is land reform area and that
the affected persons have been given emancipation patents and certificates of land transfer.
Also, the contract clause has never been regarded as a barrier to the exercise of police
power and likewise eminent domain.