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# 13 case DAR Regional Director to conduct an ocular inspection

on the disputed property. The inspection team submitted


Petitioner: ALEJANDRO DANAN et al. an Ocular/Investigation Report stating that there were no
substantially significant plantings on the disputed
versus property. The Municipal Agrarian Reform Officer
("MARO") of Lubao, Pampanga also submitted a report
Respondents: THE HONORABLE COURT OF APPEALS and recommending the disqualification of private petitioners
ESTRELLA ARRASTIA, from availing of the benefits under the CARP.
G.R. No. 132759  On October 5, 1988, the DARAB issued an order denying
October 25, 2005 AMA's motion for authority to cultivate and the order
became final and executory on July 29, 1989.
Justice Tinga  Arrastia instituted an action against private petitioners for
violation of Section 73(b) of Republic Act (R.A.) No. 6657
DOCTRINE: that social justice was not meant to perpetrate an on October 9, 1989 and the trial court, sitting as a special
injustice against the landowner. agrarian court ("SAC"), issued a temporary restraining
order. Subsequently a preliminary injunction, both
enjoining private petitioners from entering and cultivating
the disputed property was issued to the latter.
Facts:  On November 29, 1989, private petitioners filed a
complaint for injunction and damages before the
 Sometime in 1976, a certain Rustico Coronel leased the Provincial Agrarian Reform Adjudication Board
subject property for a period of twelve (12) years or until ("PARAD") against Arrastia, alleging that they were
the crop year 1987 to 1988. Then, persons claiming to be actual tillers of the disputed property who were forcibly
farmers and residents of Barangay Lourdes and evicted by Arrastia from their tenanted lots through the
Barangay San Rafael signed a joint resolution as use of armed men. The matter was referred to BARC but
members of the Aniban ng mga Manggagawa sa the dispute could not be settled amicably per
Agrikultura ("AMA") to enter and lease the subject recommendation of BARC Officials.
property from the Arrastia heirs. They entered the  On the basis of the reports submitted by BARC officials
disputed land and planted various crops thereon. This and private petitioners' affidavits, the hearing officer
culminated in a violent confrontation on May 21, 1988 issued on December 9, 1990 an order granting a
that led to the filing of criminal charges against AMA preliminary injunction in favor of petitioners and the
members. PARAD also directed the MARO to act on the petition for
 On June 2, 1988, the AMA filed a complaint with the coverage of the disputed property under the CARP.
petitioner Department of Agrarian Reform Adjudicatory  On January 30, 1991, Arrastia filed an omnibus motion in
Board (DARAB), praying that respondent Arrastia be DARAB Case No. 0001, questioning the jurisdiction of
prevented from destroying standing crops on the the hearing officer to issue an order of injunction. The
disputed property and from fencing said property and that DARAB denied said motion and subsequently issued the
petitioners be allowed to continue with their farming writ of injunction on September 22, 1992.
thereon. On August 15, 1988, the DARAB ordered the
 Arrastia filed an answer in DARAB Regional Case No. deemed conclusive on this Court, which is not a trier of
161-P' 89, interposing the defense that the disputed land facts.
was not devoted to agriculture and that private petitioners  Mere occupation or cultivation of an agricultural land
were not tenants thereof. does not automatically convert a tiller or farmworker into
 After due hearing, the PARAD rendered a decision in an agricultural tenant recognized under agrarian laws.
DARAB Regional Case No. 161-P' 89 on May 13, 1993, The essential requisites of a tenancy relationship are:
declaring that the subject property is covered by the o (1) the parties are the landowner and the tenant;
CARP and that private petitioners are qualified o (2) the subject is agricultural land;
beneficiaries of the program. The adjudicator also issued o (3) there is consent among the parties;
an injunction prohibiting Arrastia from disturbing private o (4) the purpose is agricultural production;
petitioners' occupation of the property. o (5) there is personal cultivation; and
 Arrastia appealed the aforementioned decision to o (6) there is sharing of harvests.
petitioner DARAB. The appeal was docketed as DARAB
Case No. 1551. On March 28, 1994, the DARAB All these requisites must concur in order to create a
rendered its decision modifying the appealed judgment. tenancy relationship between the parties. In the case at
 Aggrieved, Arrastia elevated the controversy to the Court bar, it has not been sufficiently established that private
of Appeals, which reversed and set aside the decision of petitioners' occupation and cultivation of the disputed
the DARAB. property was with the consent of the landowners.

Issue:  As borne by the case records, respondent Arrastia owns


only 4.4630 hectares of the subject property, which is
 Whether or not private petitioners are qualified below the retention limit under Section 6 of R.A. No.
beneficiaries under the CARP? 6657 granting a right of retention of up to a maximum of
five (5) hectares of agricultural land in favor of a
landowner whose property may be acquired for
Held: distribution to agrarian reform beneficiaries.
 Consequently, a landowner may keep his entire covered
 The Court affirms factual findings and conclusions of the landholding if its aggregate size does not exceed the
Court of Appeals. retention limit of five (5) hectares. His land will not be
 The appellate court's conclusion that private petitioners covered at all by the operation land transfer program
committed particular violations warranting their although all requisites for coverage are present.
disqualification from the CARP is based on the MARO  The right of retention is a constitutionally guaranteed
report which has not been disputed by all the private right, which is subject to qualification by the legislature. It
petitioners. The MARO who prepared the report enjoys serves to mitigate the effects of compulsory land
the presumption of regularity in the performance of her acquisition by balancing the rights of the landowner and
functions. Absent any showing that the Court of Appeals the tenant and by implementing the doctrine that social
committed grave abuse of discretion in giving evidentiary justice was not meant to perpetrate an injustice against
weight to said report, said factual findings are generally the landowner. A retained area, as its name denotes, is
land which is not supposed to anymore leave the
landowner's dominion, thus sparing the government from The Municipality of Dasmariñas, Cavite passed Municipal
the inconvenience of taking land only to return it to the Ordinance 1 entitled “An Ordinance Providing Subdivision
landowner afterwards, which would be a pointless Regulation and Providing Penalties for Violation Thereof”
process. For as long as the area to be retained is sometime in 1971, in accordance with the Local Autonomy Act
compact or contiguous and does not exceed the retention (R.A. 2264).
ceiling of five (5) hectares, a landowner's choice of the
area to be retained must prevail. Moreover, EMRASON applied for authorization to develop its 372-hectare
Administrative Order No. 4, series of 1991, which land into a residential subdivision named "Traveller's Life
supplies the details for the exercise of a landowner's Homes" in 1972. The said municipality’s Council passed
retention rights, likewise recognizes no limit to the Municipal Ordinance 29-A on May 1972 which approved
prerogative of the landowner, although he is persuaded EMRASON’s application. However, due to some unexpected
to retain other lands instead to avoid dislocation of problems, EMRASON’s implementation of their subdivision
farmers. project was delayed.
 Therefore, there is no legal and practical basis to order
the commencement of the administrative proceedings for Meanwhile, R.A. 6657 (The Comprehensive Agrarian Reform
the placement of respondent Arrastia's land under the Law of 1988, CARL for brevity) became effective on 15 June
CARP since her property's land area falls below the 1988.
retention limit of five (5) hectares.
On September 23, 1988, the Municipal Mayor of Dasmariñas,
Cavite told EMRASON the approval for its 372 hectares
WHEREFORE, both petitions in G.R No. 132759 and property in Barrios Bukal and Langkaan, Dasmariñas, Cavite to
G.R. No. 132866 are DENIED. The Decision of the Court be developed into a residential, industrial, commercial and golf
of Appeals in CA-G.R. SP No. 33796 is AFFIRMED. course project. The conversion was done in conformity with the
Costs against private petitioners. approved Development Plan of Municipality of Dasmariñas,
Cavite.
+++++++++++++++++++++++++++++++++++++++++++
Then the Aquino government planned conversion of the
tenanted neighboring property of the National Development
#7 case Company (NDC) into an industrial estate managed through a
joint venture scheme of NDC and Marubeni Corporation. As part
Buklod nang Magbubukid sa Lupaing Ramos v. E.M. of the conversion, each tenant-farmer who opted to remain at
Ramos and Sons, Inc., G.R. No. 131481, March 16, 2011 the NDC property will receive three (3) hectares of land as
compensation. Department of Agrarian Reform (DAR) was
FACTS: tasked to acquire additional lands from nearby areas since NDC
In 1965, EM Ramos and Sons, Inc (EMRASON) acquired a 372- property’s size turned out insufficient for both demands of the
hectare land in Brgy. Langkaan, Municipality of Dasmariñas, proposed industrial project and for the government’s made
Cavite. commitment to the tenant-farmers of giving them a new land.

Thus, EMRASON’s land was earmarked for the said acquisition.


Municipal Ordinance 29-A made by the Municipality of
On August 29, 1990, Office of Agrarian Reform Secretary Dasmarinas which says, “ ‘Resolved, as it is hereby resolved, to
Benjamin Leong sent out the first of four batches of acquisition approve the application for subdivision containing an area of
notices of EMRASON’s property covering 303.38545 hectares Three Hundred Seventy-Two (372) Hectares situated in Barrios
of land at Barangay Langkaan, Dasmariñas, Cavite. Bocal and Langkaan, named as Traveller's Life Homes.’
Resolved that the Municipal Ordinance regarding subdivision
EMRASON protested to these notices. regulations existing in this municipality shall be strictly followed
by the subdivision”.
The Department of Agrarian Reform Region IV’s Legal Division
through its Hearing Officer Victor Baguilat, through its 28 August Section 3 of the Local Autonomy Act (R.A. No. 2264), which
1992 decision, declared all the notices of acquisitions null and empowers a Municipal Council “to adopt zoning and subdivision
void because the properties subject of acquisition proceedings ordinances or regulations” for the municipality where it belongs.
are exempted from CARP coverage, pursuant to DOJ Opinion
No. 44 (1990) of then Sec. Franklin Drilon. The said DOJ Section 4 of R.A. 6657 or Comprehensive Agrarian Reform Law
Opinion stated that lands already converted to non-agricultural (CARL) of 1988 which says that agrarian reform shall "cover,
uses before effectivity of Comprehensive Agrarian Reform Law regardless of tenurial arrangement and commodity produced, all
are no longer covered by agrarian reform. public and private agricultural lands.

DAR objected to Baguilat’s decision as well as the opinion of Ruling:


Sec. Drilon since it maintains that it has to provide the members The Supreme Court ruled in favor of EMRASON, Inc. It stated
of Buklod ng Maqbubukid Sa Lupaing Ramos (BUKLOD) three that the lands involved in the present case are not subject to
(3) hectares of land as tenant-farmers of the NDC property. agrarian reform since it was classified as residential land by
Municipal Ordinance 29-A of Municipality of Dasmariñas prior to
The Court of Appeals via its 26 March 1997 decision ruled in the effectivity of the Comprehensive Agrarian Reform Law.
favor of EMRASON and against BUKLOD, stating that the land
was already converted or classified as residential by the It also reiterated the ruling in Natalia vs. Department of Agrarian
Municipality of Dasmariñas prior to Comprehensive Agrarian Reform that since a special law classified the land for
Reform Law’s effectivity in 1988. residential, commercial, or industrial use, that land or property
cannot be anymore subject to agrarian reform. The Court also
ISSUES: used sec. 3 of RA 2264 or Local Autonomy Act to validate
EMRASON’s application via Ordinance 29-A made by the
1. Whether the Court of Appeals was right in ruling that the Municipality of Dasmariñas, Cavite.
land owned by EMRASON, Inc was not covered by
agrarian reform since it was classified as non-
agricultural/residential lands by Municipal Ordinance 29-
A? ++++++++++++++++++++++++++++++++++++++++++++++++

Legal Provisions cited: Option 2


Buklod nang Magbubukid sa Lupaing Ramos v. E.M. Ramos thereto were in the possession of, the Overseas Bank of Manila,
and Sons, Inc., G.R. No. 131481, March 16, 2011 which during the period material was under liquidation.
 
Facts:  On June 15. 1988, Republic Act No. 6657, otherwise known as
At the core of the controversy are several parcels of unirrigated the Comprehensive Agrarian Reform Law or CARL, took effect,
land (303.38545 hectares) which from part of a larger expanse ushering in a new process of land classification, acquisition and
with an area of 372 hectares situated at Barangay Langkaan, distribution.
Dasmarinas,Cavite. Originally owned by the Manila Golf and
Country Club, the property was acquired by the repondent On September 23, 1988, the Municipal Mayor of Dasmarinas,
EMRASON in 1965 for the purpose of developing the same into Cavite addressed a letter to EMRASON.
a residential subdivision known as Traveller's Life Homes.
On August 29, 1990, then OAR Secretary Benjamin Leong sent
out the first of four batches of notices of acquisition, each of
which drew protest from EMRASON. All told, these notices
Sometime in 1971, the Municipal Council of Dasmarinas, covered 303.38545 hectares of land situated at
Cavite, acting pursuant to Republic Act (R.A.) No. 2264, BarangayLangkaan, Dasmarinas, Cavite owned by EMRASON.
otherwise known as the "Loval Autonomy Act", enacted
Municipal Ordinance No. 1, hereinafter referred to as Ordinance In the meantime, EMRASON filed with the Department of
No. 1, enitled "An Ordinance Providing Subdivision Regulation Agrarian Reform Adjudication Board (DARAB), Region IV,
and Providing Penalties for Violation Thereof." Pasig, Metro Manila, separate petitions to nullify the first three
sets of the above notices. Collectively docketed as DARAB
In May, 1972, [respondent] E.M. Ramos and Sons, Inc., applied Case No. IV-Ca-0084-92, these petitions were subsequently
for an authority to convert and development its aforementioned referred to the Office of the Regional Director, Region IV, which
372-hectare property into a residential subdivision, attaching to had jurisdiction thereon. In his referral action, the Provincial
the aplication detailed development plans and development Agrarian Adjudicator directed the DAR Region IV, through its
proposals from Bancom Development Corporation and San Operations Division, to conduct a hearing and/or investigation lo
Miguel Corporation. Acting thereon the Municipal Council of determine whether or not the subject property is covered by the
Dasmarinas, Cavite passed on July 9, 1972 Municipal Comprehensive Agrarian Reform Program (CARP) and, if not,
Ordinance No. 29-A (Ordinance "No. 29-A, for brevity), to cancel the notices of acquisition.
approving EMRASON's application. Subsequently, EMRASON
paid the fees, dues and licenses needed to proceed with Forthwith, the DAR Regional office conducted an on-site
property development. It appears, however, that the actual inspection of the subject property.
implementation of the subdivision project suffered delay owing
On August 28, 1992, the Legal Division of DAR, Region IV,
to the confluence of events. Among these was the fact that the
through Hearing Officer Victor Baguilat, rendered a decision
property in question was then mortgaged to, and the titles
declaring as null and void all the notices of acquisitions,
observing that the property covered thereby is, pursuant to On May 14, 1996, the [Deputy Executive Secretary Corona]
Department of Justice (DOJ) Opinion No. 44, series of 1990, came out with his second challenged issuance denying
exempt from CARP. EMRASON's aforementioned motion for reconsideration x x x.

The DOJ Opinion adverted to, rendered by then Justice From the denial of its Motion for Reconsideration by the OP,
Secretary Franklin Drilon, clarified that lands already converted EMRASON filed a Petition for Review with the Court of Appeals.
to non-agricultural uses before June 15, 1988 were no longer
covered by CARP. On July 3, 1996, the Court of Appeals issued a Temporary
Restraining Order (TRO), which enjoined then DAR Secretary
On September 3, 1992, the Region IV DAR Regional Director Ernesto Garilao and Deputy Executive Secretary Renato C.
motu propio elevated the case to the Office of the Agrarian Corona from implementing the OP Decision of February 7, 1996
Reform Secretary, it being his view that Hearing Officer and Resolution of May 14, 1996 until further orders from the
Baguilat's decision ran contrary to the department's official court. On September 17, 1996, the appellate court issued a
position "to pursue the coverage of the same properties and its Resolution granting the prayer of EMRASON for the issuance of
eventual distribution to qualified beneficiaries particularly the a writ of preliminary injunction.The DAR Secretary filed a Motion
Langkaan farmers in fulfillment of the commitment of the for Reconsideration of the Resolution dated September 17,
government to deliver to them the balance of thirty-nine 1996 of the Court of Appeals, with the prayer that the writ of
hectares x x x". preliminary injunction already issued be lifted, recalled and/or
dissolved.
On January 6, 1993, the herein respondent DAR Secretary o
Garilao issued an order affirming the Notices of Acquisition and At this juncture, the DAR had already prepared Certificates of
Directing the OAR field officials concerned to pursue (he Land Ownership Award (CLOAs) to distribute the subject
coverage under RA 6657 of the properties of E.M. Ramos & property to farmer-beneficiaries. However, the writ of preliminary
Sons, Inc. for which subject Notices of Acquisition had been injunction issued by the Court of Appeals enjoined the release
issued. of the CLOAs. Buklod, on behalf of the alleged 300 farmer-
beneficiaries of the subject property, filed a Manifestation and
Its motion for reconsideration of the aforesaid order having been Omnibus Motion, wherein it moved that it be allowed to
denied by the DAR Secretary Garilao in his subsequent order of intervene as an indispensable party in CA-G.R. SP No. 40950;
January 6, 1993, EMRASON appealed to the Office of the that the writ of preliminary injunction be immediately dissolved,
President.On February 7, 1996, the Office of the President, having been issued in violation of Section 55 of the CARL; and
through herein respondent Deputy Executive Secretary Renato that the Petition for Review of EMRASON be dismissed since
C. Corona [(Deputy Executive Secretary Corona)], rendered the the appropriate remedy should have been a petition for certiorari
herein assailed decision x x x, dismissing EMRASON's appeal. before the Supreme Court.

The Court of Appeals allowed the intervention of Buklod


because -the latter's participation was "not being in any way
prejudicial to the interest of the original parties, nor will such total area of five (5) hectares and below shall not be covered for
intervention change the factual legal complexion of the case." acquisition and distribution to qualified beneficiaries.
The appellate court, however, affirmed the propriety of the
remedy availed by EMRASON given that under Section 5 More specifically, the following lands are covered by the CARP:
ofSupreme Court Revised Administrative Circular No. 1-95 (a) All alienable and disposable lands of the public domain
dated May 16, 1995, appeals from judgments or final orders of devoted to or suitable for agriculture. No reclassification of
the OP or the DAR under the CARL shall be taken to the Court forest or mineral lands to agricultural lands shall be undertaken
of Appeals, through a verified petition for review; and that under after the approval of this Act until Congress, taking into account
Section 3 of the same Administrative Circular, such a petition for ecological, developmental and equity considerations, shall have
review may raise questions of facts, law, or mixed questions of determined by law, the specific limits of the public domain;
facts and law.
(b) All lands of the public domain in excess of the specific limits
Ultimately, the Court of Appeals ruled in favor of EMRASON as determined by Congress in the preceding paragraph;
because the subject property was already converted/classified
as residential by the Municipality of Dasmarinas prior to the (c) All other lands owned by the Government devoted to or
effectivity of the CARL.. The Court of Appeals further observed suitable for agriculture; and
that the subject property has never been devoted to any
(d) All private lands devoted to or suitable for agriculture
agricultural activity and is, in fact, more suitable for non-
regardless of the agricultural products raised or that can be
agricultural purposes.
raised thereon.
ISSUE:
A comprehensive inventory system in consonance with the
Whether or not subject property could be placed under the national land use plan shall be instituted by the Department of
CARP. Agrarian Reform (DAR), in accordance with the Local
Government Code, for the purpose of properly identifying and
HELD: classifying farmlands within one (1) year from effectivity of this
No. Section 4, Chapter II of the CARL, as amended,24 /Vet. without prejudice to the implementation of the land
particularly defines the coverage of the CARP, to wit: acquisition and distribution." (Emphases supplied.)Section 3(c),
Chapter I of the CARL further narrows down the definition of
SEC. 4. Scope. - The Comprehensive Agrarian Reform Law of agricultural land that is subject to CARP to "land devoted to
1988 shall cover, regardless of tenurial arrangement and agricultural activity as defined in this Act and not classified as
commodity produced, all public and private agricultural lands as mineral, forest, residential, commercial or industrial land."
provided in Proclamation No. 131 and Executive Order No. 229,
including other lands of the public domain suitable for The CARL took effect on June 15, 1988. To be exempt from the
agriculture: Provided, That landholdings of landowners with a CARP, the subject property should have already been
reclassified as residential prior to said date.
The Court reiterates that since July 9, 1972, upon approval of
Resolution No. 29-A by the Municipality of Dasmarinas, the
subject property had been reclassified from agricultural to
residential. The tax declarations covering the subject property,
classifying the same as agricultural, cannot prevail over
Resolution No. 29-A.Since the subject property had been
reclassified as residential land by virtue of Resolution No. 29-A
dated July 9, 1972, it is no longer agricultural land by the time
the CARL took effect on June 15, 1988 and is, therefore,
exempt from the CARP.

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