Uniformity of Documentary

Attachments
The following rules were taken from the DRAM ROW Manual with some general concepts of law
 ROW Acquisition where the LANDOWNER IS DECEASED

*There are situations where the Transfer Certificate of Titles (TCTs) are registered under
the name of a deceased person (original owners).

• As stipulated in Ministry Order 65, series of 1983, the heirs must first consolidate their
ownership of the property either thru court proceedings or through an extra-judicial
settlement, subject to the provisions of Rule 74 of the New Rules of Court.

*ROW Engineers/Agents are reminded and advised to secure a copy of the Extrajudicial
Settlement of Estate (EJS) from the heirs of the deceased registered landowner.

• Once the heirs of the deceased landowner have consolidated their ownership as
mentioned above, ROW acquisition may proceed through the normal flow, i.e., through
donation, deed of exchange, negotiated sale, or expropriation, depending on the
decision of the heirs.
 Additional documentary requirements

• Original or certified copy of Certificate of Death;

• Notarized EJS of ALL the heirs;
• Special Power of Attorney (SPA), if applicable; and
• Other pertinent documents.

*In the event the heirs do not have an EJS, advise them to execute one.
The purpose of the EJS is to settle their estate/property and to have it
(title and/or property) transferred in their names.

*Where the heirs already have a prepared/notarized EJS, secure a copy of

the same, as this will be attached on our file folder as a supporting
document for processing of payment.
 Civil Code of the Philippines (Succession)

• Article 774. Succession is a mode of acquisition by virtue of which the

property, rights and obligations to the extent of the value of the
inheritance, of a person are transmitted through his death to another or
others either by his will or by operation of law.

• Article 777. The rights to the succession are transmitted from the
moment of the death of the decedent.

• Article 960. Legal or intestate succession takes place, among others, (1)
If a person dies without a will, or with a void will, or one which has
subsequently lost its validity; Xxx
 Rule 74, Rules of Court (Special Proceedings)

• If the decedent left no will and no debts and the heirs are all of age, or the
minors are represented by their judicial or legal representatives duly
authorized for the purpose, the parties may, without securing letter of
administration, divide the estate among themselves as they see fit by means of
a public instrument filed in the office of the register of deeds, and should they
disagree, they may do so in an ordinary action of partition. If there is only one
heir, he may adjudicate to himself the entire estate by means of an affidavit
filed in the office of the register of deeds. [Sec. 1, Rule 74]

Documents that may be secured from the heir:

1. Extrajudicial Settlement of Estate

2. Affidavit of Sole Adjudication

*In case of a Judicial Settlement of Estate, a COURT ORDER is necessary.

 Acquisition of ROW where the LANDOWNER
IS A CORPORATION
*There are situations where the property is under the name of a
corporation/partnership/juridical entity.

• In accordance with Ministry Order 65, series of 1983, a certified copy of

the notarized Resolution of the governing Board of such corporation or
partnership authorizing any of its officers to execute the corresponding
deed of conveyance shall be attached to the said deed. In case of a
partnership, the managing partner should execute the deed.

• Once the authorization is completed, ROW acquisition may proceed

through the normal flow. That is, through donation, negotiated sale, or
deed of exchange. If the corporation or partnership does not accept the
price offer, the authorized officer may be assigned as their
representative in the expropriation proceedings.
 Additional documentary requirements

• Articles of Incorporation (AIC) or certified copy of the registration

papers of the landowner-corporation from the Securities and Exchange
Commissions (SEC);
• Board Resolution issued by the landowner-corporation designating its
authorized representative;
• Secretary’s Certificate (notarized); and
• Other pertinent documents.

*Under our Manual, the first two documents are essential.

 Batas Pambansa Blg. 68 (The Corporation
Code of the Philippines)
• A corporation is an artificial being created by operation of law, having
the right of succession and the powers, attributes and properties
expressly authorized by law or incident to its existence. [Sec. 2]

• A corporation has a separate and distinct personality from its members.

[Francisco vs. Mejia, GR No. 141617, August 14, 2001]

• One of the consequences of the having a separate and distinct

personality is that a corporation is entitled to own properties in its own
name and its properties are not properties of its stockholders, directors
and officers. [Halley vs. Printwell, Inc., GR No. 157549, May 30, 2011]
 Acquisition of ROW where the VENDOR IS
REPRESENTED BY AN ATTORNEY-IN-FACT
*There are instances where we deal with an authorized representative of the
landowner.

• In accordance with Ministry Order 65, series of 1983, a corresponding Special

Power of Attorney (SPA) should be made an integral part of the Deed of
Conveyance.

• Once this requirement is met, ROW acquisition may proceed through the
normal procedures, except that the Attorney-in-Fact shall assume the role of
the landowner.

• After payment has been made through any of the above modes of acquisition,
send a notice to the landowner that the payment has been made. Attach
pertinent documents such as a photocopy of the voucher and or the check
payment.
 Additional documentary requirements

• Duly notarized Special Power of Attorney (SPA);

• If the landowner-principal is living abroad, the SPA must be duly attested by the
Philippine Consulate of the country where the property owner is residing (this what we
commonly call as “red ribbon”); and
• Other pertinent documents.

*It is be advisable to secure both the IDs of the Principal and the Attorney-in-
Fact/Agent/Representative. This is to validate and/or verify the signatures appearing on
the SPA.

*For purposes of convenience and uniformity, please indicate in the letter offer, voucher
and other documents the name of the Agent/Representative, thus:

“JUAN DELA CRUZ

Attorney-in-Fact of Pedro Santos”
 Civil Code of the Philippines (Agency)

• Art. 1868. By the contract of agency a person binds himself to render some
service or to do something in representation or on behalf of another, with the
consent or authority of the latter.

• Art. 1874. When a sale of a piece of land or any interest therein is through an
agent, the authority of the latter shall be in writing, otherwise the sale shall
be void. [Pertains to a special power of attorney (Art. 1878 (12)]

• Art. 1877. An agency couched in general terms comprises only acts of

administration, even if the principal should state that he withholds no power or
that the agent may execute such acts as he may consider appropriate, or even
though the agency should authorize a general and unlimited management.

*Thus, following the above-cited provisions of the law, an authorization letter is

not valid and binding.
 ROW Acquisition of Structures And Improvements
of Owners with NO LEGAL RIGHTS TO THE LAND
*There are instances where we encounter claimants who only own
structures/improvements found on the subject lot.

• The provisions of Section 6.6 of RA 10752-IRR pertaining to the

replacement cost of structures and improvements shall also apply to all
owners of structures and improvements – i.e. informal settlers - who do
not have legally recognized rights to the land, and who meet all of the
criteria set in the said IRR Section.

*As per our Manual, it is required that proof of ownership be established,

that is, certification from the barangay (Certificate of Ownership signed
by the Barangay Chairman).
 Additional documentary requirements

• Special Power of Attorney (SPA), for those lands/lots with

buildings/structures erected thereon but the owner of said
buildings/structures is not the registered landowner;
• Certificate of Improvement, under the name of the building/structure
owner, if applicable;
• Tax declaration for the building, if applicable; and
• Other pertinent documents.

*The SPA should be executed by the landowner AUTHORIZING

BUILDING/STRUCTURE OWNER to receive payment.
 Basis for the requirement of SPA

• Article 414 of the Civil Code enumerates immovable properties, among

others, (1) Land, buildings, roads and constructions of all kinds adhered
to the soil; (2) Trees, plants, and growing fruits, while they are attached
to the land or form an integral part of an immovable; Xxx

*Buildings are always immovable under the Code. A building treated

separately from the land on which it stood is immovable property and the
mere fact that the parties to a contract seem to have dealt with it
separate and apart from the land on which it stood in no wise changed its
character as immovable property. (Punsalan, Jr., vs. Lacsamana, GR No. L-
55729, March 28, 1983)
 Civil Code of the Philippines (Property)

• Article 445. Whatever is built, planted or sown on the land of another

and the improvements or repairs made thereon, belong to the owner of
the land, subject to the provisions of the following articles.

• Article 446. All works, sowing, and planting are presumed made by the
owner and at his expense, unless the contrary is proved.

*Following the provisions cited, it follows that buildings/structures

erected on the subject lot are presumed to be owned by the registered
landowner (named owner in the title).
Thank you for listening…

Legal Division
Department of Public Works and Highways
Regional Office IX, Zamboanga City