DEED OF USUFRUCT

KNOW ALL MEN BY THESE PRESENTS:

This DEED is executed and entered into by and between:

This CITY GOVERNMENT OF BUTUAN, a public

corporation duly organized and existing by virtue of Republic
Act No.523, as amended, with address at City Hall
Compound, Barangay Doongan, Butuan City, 8600, Agusan
del Norte, represented herein by its City Mayor, ENGR.
RONNIE VICENTE C. LAGNADA, per authority granted by
the Sangguniang Panlungsod under SP Resolution No.
________, series of _____ and herein referred to as
“LANDOWNER”;

-AND-

The DEPARTMENT OF EDUCATION (DepEd), a

national government agency, created pursuant to law,
represented by the School Division Superintendent
MARILOU B. DEDUMO, PhD, CESO V, SDS, herein
referred to as the “USUFRUCTUARY”;

-WITNESSETH-

WHEREAS, the LANDOWNER is the absolute owner of a parcel of land

covered by Transfer Certificate of Title No. RT – 10587 and Transfer
Certificate of Title No. _________, both situated in Barangay Baobaoan,
Butuan City, Philippines;

WHEREAS, the USUFRUCTUARY proposes to build its Elementary

School Building in a portion of the above-cited property containing an area
of SIX THOUSAND TWO HUNDRED SIX SQUARE METERS (6,206 sq.
m.) for Lot B, PCS-22570 (LCR) and THREE THOUSAND SEVEN
HUNDRED NINETY FOUR SQUARE METERS (3,794 sq. m.) for Lot J,
PCS-22570 (LCR), which is more particularly described in the Sketch Plan,
as follows:

TECHNICAL DESCRIPTION

Lot B, PCS-22570 (LRC) Area= 6, 206 Sq. Meters

Line Bearing Distance (M)
 1-2 S 25°41’E 60.00
2-3 S 61°57’W 100.08
3-4 N 25°41’W 64.13
4-1 N 64°19’E 100.00

Line Bearing Distance (M)

1-2 S 25°41’E 40.00
2-3 S 64°19’W 100.00
3-4 N 25°40’W 35.87
4-1 N 61°57’E 100.08
Lot J, PCS-22570 (LRC) Area= 3,794 Sq. Meters

Lot B S 72°03’E 1,117.34

Lot J S 70°16’E 1, 154.62
Tie Line from BLLM No. 23, CAS-121 to cor. “1” of Lots

Donated Area Affected by Basketball Covered Court

(Area=425 sq.m)
Line Bearing Distance (M)
1-2 64°19’E 22.37
2-3 S 26°19’E 16.74
3-4 S 65°53’W 6.39
4-5 S 22°53’E 5.81
5-6 S 65°53’W 9.56
6-7 N 26°41’W 5.82
7-8 S 65°53’W 6.18
8-1 N 25°52’W 16.12

Line Bearing Distance (M)

1-2 N64°19’E 19.76
2-3 S 23°47’E 2.27
3-4 S 66°51’W 19.75
4-1 N 23°47’W 1.40
Donated Area Affected by Barangay Hall (Area=36 sq.meters)

WHEREAS, the LANDOWNER, by these presents, offers for use to the

USUFRUCTUARY the above mentioned property;

WHEREAS, the USUFRUCTUARY, accepts the afore-said offer of the

LANDOWNER with gratitude and deep appreciation wherein a portion
thereof will be utilized for the construction of the proposed Elementary
School Building;
WHEREAS, the LANDOWNER is willing to enter into a usufruct
agreement with the USUFRUCTUARY subject to the terms and conditions
herein;

NOW THEREFORE, for and in consideration of the foregoing premises

and of the mutual covenants hereinafter:

1. TERM. The term of the usufruct shall be for a period of fifty (50)
years from the signing of this DEED and is renewable for another 50
years, unless the LANDOWNER pre-terminate the same on the
ground that the USUFRUCTUARY violates any of the conditions
stated herein.

Provided, further that, any inaction on the part of the

LANDOWNER for any prolonged period of time cannot be taken to
mean as a renunciation of its right to pre-terminate the DEED under
the said ground.

Moreover, the said Deed of Usufruct is renewable at the discretion

of the City Government of Butuan.

2. OWNERSHIP. While the usufruct and/or beneficial use of the

above-described real property is transferred to the
USUFRUCTUARY, the naked title of the same remains with and
continues to be in the name of the LANDOWNER. Upon expiration
or pre-termination or non-renewal of the DEED, all permanent
improvements existing therein shall inure to the benefit of the
LANDOWNER.

3. RIGHTS AND OBLIGATIONS OF THE USUFRUCTUARY.

a. The USUFRUCTUARY has the right to make such improvements

or expenses on the subject property he may deem proper and to
remove the improvements provided no damage is caused to the
property.

b. The USFRUCTUARY may provide, introduce and/or proper

infrastructures, perimeter fences and other facilities that shall
make the subject real property sustainable and viable for use.

c. The USUFRUCTUARY has the right to enjoy any increase which

the thing in usufruct may acquire through accession.

d. The USUFRUCTUARY shall voluntarily surrender possession

and return or vacate the subject real property to the
LANDOWNER without need of demand upon expiration of the
DEED in case the latter does not renew the same.

e. The USUFRUCTUARY shall not sell, dispose, mortgage,

encumber, transfer, assign, tolerate the use by a third party or use
 as a collateral the subject real property or any portion thereof
during the lifetime of the DEED.

f. The USUFRUCTUARY shall not alienate or transfer its

usufructuary rights or do anything thereon which may be
prejudicial to the LANDOWNER.

g. The USUFRUCTUARY shall maintain the cleanliness and peace

and order in the area of the usufruct.

h. The cost for installation and monthly billing of electricity,

consumption of water, internet and such other services procured
for and used by the USUFRUCTUARY shall be for its own
account.

4. RIGHTS AND OBLIGATIONS OF THE LANDOWNER.

a. To authorize the USUFRUCTUARY to apply, sign, obtain, secure

and submit documents for securing the necessary permits,
including but not limited to building and development permits.

b. Exercise the right of ownership over the property under usufruct.

c. The LANDOWNER or any of its authorized representative, with

prior notice to the USUFRUCTUARY, has the right to inspect the
premises at any reasonable hour of the day, provided that such
inspection is necessary for the purpose of ensuring the faithful
compliance to the conditions and provisions laid down in this
DEED as well as the proper observance of the existing laws, rules
and regulations.

5. CONDITIONS OF THE DEED OF USUFRUCT.

a. The use of the parcel of land shall be devoted solely and

exclusively for the construction of building by the Department of
Education to be utilized as the Elementary School Building of the
USUFRUCTUARY.

b. The building of the Department of Education shall be constructed

within three (3) years from the date of the perfection of this Deed
of Usufruct.

c. That in case the USUFRUCTUARY fails to comply with the

foregoing conditions, this usufruct shall be deemed null and void
from the beginning and the possession of the parcel of land shall
automatically revert back to the LANDOWNER without need of
judicial action.

d. That if the USUFRUCTUARY has already acquired a lot in

another municipality with the same purpose and utilization as
 provided in this DEED, the herein Deed of Usufruct shall be
automatically revoked and the land shall be reverted back to the
LANDOWNER.

6. SUBLEASE. The USUFRUCTUARY has no authority to sublease the

premises or any part thereof to third person and/or entity.

7. This DEED shall be binding upon the Parties hereto and their
successors-in-interest.

8. EFFECTIVITY. This DEED will take effect only upon

commencement of the construction of structures and buildings,
which should not be later than three (3) years from signing of this
Deed. In the event of failure to commence construction within the
prescribed period or failure to complete construction within three (3)
years from the commencement, this contract shall be considered as
RESCINDED and the subject property shall be reconveyed to the
LANDOWNER including whatever improvements thereon without
need of judicial demand.

IN WITNESS WHEREOF, the Parties hereunto affixed their

signatures on this _____ day of ________, 20___ at the City of Butuan,
Philippines.

CITY GOVERNMENT OF DEPARTMENT OF

BUTUAN EDUCATION
LANDOWNER USUFRUCTUARY
Represented by: Represented by:

ENGR. RONNIE VICENTE C. MARILOU B. DEDUMO, PhD,

LAGNADA CESO V, SDS

SIGNED IN THE PRESENCE OF:

______________________ ________________________
 ACKNOWLEDGMENT

Republic of the Philippines)

Butuan City ) S.S

 
BEFORE ME, a notary for and in the City of Butuan, personally appeared on ____
day of ________ 20____:
 

Date/Place
Name    Govt. ID Number
Issued
ENGR. RONNIE VICENTE C.
LAGNADA
MARILOU B. DEDUMO, PhD,
CESO V, SDS

known to me and to me known to be the same persons who executed the

foregoing Deed of Usufruct consisting of six (6) pages and acknowledged to me
that the same is their free and voluntary act and deed.
 
WITNESS MY HAND AND SEAL, on the date and place first above written.
 
 

Doc. No._____;
Page No. _____;
Book No._____;
Series of 20___.