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3.c.4.

Public Land Act of 1903 - Homestead

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OUR ANCESTRAL SOCIETY b. Classes: 2. b. 1. Datu or Sultan-dispose 2. b. 2. Maharlika or Freeman 2. b. 3. Alipin 2.b.3.a. Alipin Namamahay 2.b.c.b. Alipin Saguiguilid 2. ROOTS OF OUR AGRARIAN PROBLEM 2.a. 1565 Miguel Lopez de Legazpi and Urdaneta First Spanish settlement in Cebu 2.a.1.They decided to move to Manila for two reasons: 2.a.1.a. Pintados 2.a.1.b. Martin de Goite 2.a.2. Death of Rajah SulaymanChieftain of Manila 2.a.3. Rajah Lakandula Chieftain of Tondo recognized Spanish sovereignty 2.a.4. Legazpi reassured Lakandula: 2.a.4.a.-His property will be respected 2.a.4.b. He and other Datus would be exempt from paying tribute. 2.a.5 ENCOMIENDA SYSTEM 2.a.5a. Spanish Soldiers 2.a.5b. Spanish Settlers 2.a.5c. Religious Orders (Magalat Revolt) 2.a.6. Caciques 2.a.7. Inquilinato EARLY ATTEMPTS AT AGRARIRAN REFORM IN THE PHILIPPINES 3.a.June 12, 1898 Gen. Emilio Aguinaldo-IndependenceRepublican government 3.a.1. Confiscation of Friar Lands 3.b.December 10, 1898 Treaty of Paris The Philippines was ceded by Spain to U.S. U.S. guarantee to respect and safeguard the private lands owned by Spaniards 3.c. Americans instituted the following reforms: 3.c.1. Philippine Bill of 1902 3.c.2. Land Registration Act of 1902 (Act 496-Torrens System) 3.c.3. Negotiation Gov. William Taft and Pope Leo XIII in 1903-(Friar Lands)

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a. Barangay

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System in the Philippines 3.c.5. Cadastral Survey of 1910 3.c.6. Establishment of Agricultural Colonies in 1913 3.c.7. Rice Share Tenancy Act of 1933 (Act No. 4054) 3.c.8. Tenancy Act of 1933 (Sugar) 3.d. These measures failed to established successful agrarian reform as shown by: 3.d.1. Unsuccessful attempt to buy friar lands 3.d.2. Tenancy doubled by 1935-George Taylor 3.d.3. Tension increased between landlord and tenants 3.d.3.a. Colorum Uprising-Pedro Calosa, Tayug, Pangasinan 1913 3.d.3.b. Sakdalista RevoltBenigno Ramos, Cabuyao, Laguna-1935 3.d.4. Formation of Militant Peasant Organization "Katipunang Pambansa ng Magbubukid ng Pilipinas-1924. Seek to Eliminate Usury; Increase tenants share; Protect, small homesteaders: Abolish Cedula Tax and unite small farmers to liberate the Philippines. 3.e. Commonwealth Government-Pres. Manuel L. Quezon 3.e.1. Social Justice Program- Act Nos. 178, 461 and 608sought to establish Agrarian Reform by: 3.e.1.a.-Requiring a WRITTEN CONTRACT between tenant & landlord; 3.e.1.b. Purchase of large HACIENDAS for subdivision in small parcels for tenants; 3.e.1.c. NARIC-National Rice & Corn Corp. established 3.f. December 8, 1941 Second World War. 3.f.1 Japanese Occupation 3.f.2-HUKBALAHAP Organization 4. SHAKING OFF THE YOKE OF BONDAGE 4.a.1945- Liberation of the Philippines 4.b. July 4, 1946 Philippines was declared independent by the Americans

4.c. HUKS-Associated with present movement- Land Reform was unmentionable in government quarters. 4.d. 1953. Pres. Ramon Magsaysay elected and Huk Supremo Luis Taruc surrendered 4.d.1. Pres. Magsasay introduce the following: 4.d.1.a. R.A. No. 1199 Agricultural Tenancy Act of 1954 4.d.1.b. Court of Agrarian Relations 4.d.1.c. Agricultural Tenancy Commission (Patents of Settlers) 4.d.1.d. NARRA Nat. Resettlement and Rehabilitation Adm. 4.d.1.e. ACCFA Agricultural Credit and Cooperative Financing Administration 4.d.1.f. FACOMA Farmers Cooperative and Marketing Association 4.e. 1961 Pres. Diosdado Macapagal elected 4.e.1. August 8, 1963 RA 3844 Agricultural Land Reform Code 4.e.1.a. Family-Economic Size Farm Land for the Landless 4.e.1.b.Discourage Absentee Landlordism 4.e.1.c. Expropriate big private landed estates 4.e.1.d. Direct landlord capital to industry 4.f. 1965-1972 Pres. Ferdinand E. Marcos 4.f.1 RA 6389 Code of Agrarian Reform- Sept. 10. 1971. 4.f.2 September 21, 1972 Declaration of Land Martial Law 4.f.3 P.D. 2 Entire country as a Land Reform Area, Sept. 26, 1972 4.f.4 PD 27 Tenant Emancipation Decree, October 21, 1972 The historic document broke the silence of the century. 5. THE PHILOSOPHY OF AGRARIAN REFORM 5.a. Philosophy is a frame of mind, a point of view, or an organized exposition of rationale to justify the objectives, materials and processes involved in an

understanding or project to which one may refer for clarifying questions, doubts, or problems. 5.a.1. MORAL Holy Bible Leviticus Chapter 25 Inalienable status of land; For mens Collective Welfare; Cultivatorship means stewardship of God given property 5.a.1.a. KORAN, Sura XXII, Aya 6 The Meaning of the Glorious Qur-an by Marmaduke Pinkthall says = unto him belongeth whatever is in the heaven and whatsoever is between them and whatsoever is beneath the soil. Also Sura II, Aya 22 5.a.1.b. Allah owns the land and men are only steward of the land for the welfare of mankind. 5.a.1.c. Muslim concept of land ownership is upheld by MIRAS, the Muslim book of the Laws on Land 5.a.1.d. Man-made laws in the Philippines are more liberal than the strict religious point for having recognized PRVATE OWNERSHIP. 5.a.1.e. Pope John III in his Encyclical Pacem In Terris quotes St. Thomas Aquinas who says Human law has the true nature of law only in so far as it corresponds to right reason, and therefore is derived from the eternal law. Insofar as it falls short of right reason, a law is said to be a wicker law and so lacking the true nature of law it is rather a kind of violence. 5.a.2. Legal Political Aspect 5.a.2.a. Basis = 1. Philippines Constitution 2.Principle of Democratization of Wealth and Property 5.a.2.b. Sec. 12 Art. XIV 1973 Constitution 5.a.2.c. Democratization simply means the sharing of private wealth with the entire society, and this calls for the regulation of property for collective human ends. 5.a.2.d. The Supreme Court subjected private ownership to some kinds of restraints and burdens, upholding agrarian reform and vesting if formally with legality. 5.a.3. Social Aspect 5.a.3.a. Agrarian Reform is Land Reform Plus Man Reform 5.a.3.b. Social Justice 5.a.3.c. Salus populi est suprema lex 5.a.3.d. Sec utera tuo ut alienum non laedas.

5.a.4. The Economic Aspect 5.a.4.a. Agrarian Reform abolishes share tenancy which is the root cause of injustice 5.a.4.b. It uphold the economic tiller of the soil and protect his freedom against pernicious and

THREE STAGES OF AGRARIAN REFORM IN THE PHILIPPINES


immoral economic practices. 5.a.4.c. It has not merely seek the transfer of ownership of agricultural lands but provide him assistance to improve farm method; make credit available for the purchase of farm implements, fertilizers and farm facilities; market his farm produce and settle his legal problems. 5.a.4.d. Surplus in production 5.a.5. Land Reform and Agrarian Reform 5.a.5.a-Reform connotes change from the existing agrarian condition of the country; it implies the existence of shortcomings and defects which very urgently necessitate corrective measures. 5.a.5.b-Land Reform-In a limited sense refer to Land Ownership-the earth where we live and which we cultivate. 5.a.5.c. Agrarian Reform-Refers to the relationship that exist between man and his land a well as that between man and fellow countryman. It denotes not only private ownership of land and its accompanying problems but all possible undertaking which will improve the lot of man, the tiller of the soil 5.a.5.d. Five components of Agrarian Reform 5.a.5.c.1. Land Tenure Improvement Program - Regulation of private ownership of lands 5.a.5.c.2. Physical Development Needed infrastructure i.e. irrigation system, roads, ports, electrification, school building and social and recreational facilities. 5.a.5.c.3. Institutional Development Establishment of Farmers Cooperative and organizing farmers into effective production units. 5.a.5.c.4. Agricultural Development aims at increasing the production capabilities of farmers especially the emancipated tenant tillers

5.a.5.c.5. Human Resource Development-Clientele and personal training which aims to increase the capabilities of the farmers, the landowner and the community at large to work toward growth and increasing the competencies of the government worker or change-agent who is entrusted with the implementation of the program

FIRST STAGE SHARE TENANCY Republic Act No. 1199 The Agricultural Tenancy Act of the Philippines- Effectivity- August 20, 1954 SECOND STAGE AGRICULTURAL LEASEHOLD Republic Act No. 3844- Agricultural Land Reform Code- Effectivity August 8, 1963. Republic Act. No. 6389-Code of Agrarian Reform Effectivity September10, 1971 Presidential Decree No. 1425- Amending Presidential Decree No. 1040 by Strengthening the Prohibition against Agricultural Share Tenancy and Providing Penalties for Violation Thereof - Effectivity June 10, 1978- Penalties Two (2) Year imprisonment or fine of not more than P5000.00 or both.

THIRD STAGE FULL OWNERSHIP Presidential Decree No. 27Tenant's Emancipation Decree - Effectivity October 21, 1972. Letter of Instruction No. 474 Effectivity October 21, 1976

Presidential Proclamation No. 131 Instituting a Comprehensive Agrarian Reform Program- Effectivity July 22, 1987. Republic Act No. 6657 - An Act Instituting a Comprehensive Agrarian Reform Program to Promote Social Justice and Industrialization, providing the Mechanism for its implementation and other purposes Effectivity June 15, 1988.

2.c. "A tenant shall mean a person who himself and with the aid available from within his immediate farm household, cultivates the land belonging to or possessed by, another, with the latters consent for purpose of production, sharing the produce with the landholder under the share tenancy system, or paying the landholder a price certain or ascertainable in produce or in money or both, under the leasehold tenancy." (Sec. 5, (a), RA 1199 3.d. "A landholder shall mean a person, natural or judicial, who either as owner, lessee, usufructuary, or legal possessor, lets or grant to another the use or cultivation of his land for a consideration either in shares under the share tenancy system or a price certain or ascertainable under the leasehold tenancy system." (Sec. 5 (b), RA 1199) 3.e. Rules on sharing of crops other than Rice. (Sec. 41, Chapter III, RA 1199) 3.e.1 Contract stipulating the ratio of crop division; 3.e.2 Custom of the place 3.e.3. Minimum share of the tenant is thirty percent of the harvest of produce. 3.f. Sec. 14 of the Tenancy Act ( RA 1199), grants the tenant the option to elect the leasehold tenancy, whereas Sec. 35 (RA 3844) exempts coconut lands from leasehold. The inconsistency is resolved by Sec. 172 (RA 3844) which ordains that "all laws or parts of any law inconsistent with this Code are hereby repealed. (Rodinas vs. Fuentes, CA.G.R. Nos. 04595-98-SP, July 16, 1976) 3.g. Essential Elements of Tenancy Relationship 3.g.1. The parties are the landholder and the tenant 3.g.2. The subject is agricultural land 3.g.3. There is consent 3.g.4. The purpose is agricultural

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production 3.g.5. There is personal cultivation 3.g.6. There is sharing of harvest or payment of rentals. (Caballes vs. DAR, 168 SCRA 247; Qua vs. Court of Appeals, 198 SCRA 247. Second Stage AGRICULTURAL LEASEHOLD 2.a. Republic Act No. 3844 Agricultural Land Reform Code (Effectivity August 8, 1963). 2.b. Parties in Agricultural Leasehold 2.b.1 Landlord/lessor The person (natural or juridical) who furnishes the land as 2.b.1.a. Owner 2.b.1.b. Civil Law Lessee 2.b.1.c. Usufructuary 2.b.1.d. Legal Possessor 2.b.2. Tenant-Lessee, The person who personally cultivate the land with the aid of labor from his immediate farm household (Sec. 6, RA 3844) 2.c. The Agricultural Lessor lets or grants to another the cultivation and use of his land for a price certain (Sec. 166, (3)., RA 3844 2.d. The Agricultural Lessee, cultivates the land belonging to or possessed by another with the latter consent for purposes of production, for a price certain in money or in produce or both (Sec. 166 (2) RA 3844 2.e. "Agricultural Land" means land devoted to any growth, including but not limited to crop lands, salt beds, fish ponds, idle land and abandoned land (Sec. 166 (1) 2.f. Agricultural Leasehold Contract in General The Agricultural/Lessor and the Agricultural Lessee shall be free to enter into any kind of terms, conditions or stipulation in a leasehold contract, as long as they are not contrary to law, morals, or public policy. (Sec. 15, RA 3844).

THREE STAGES OF AGRARIAN REFORM IN THE PHILIPPINES

1. First Stage SHARE TENANCY 1.a. Republic Act No. 1999 -The Agricultural Tenancy Act of the Philippines (Effectivity- August 30, 1954) 2.b. Share Tenancy exist whenever two persons agree on a joint undertaking wherein one party furnishes the land and the other his labor, with either or both contributing any one or several of the items of production, the tenant cultivating the land personally with the aid of labor available from members of his immediate farm household and the produce thereof to be divided between the landholder and the tenant in proportion to the respective contributions." (Sec. 4. RA 1199)

2.f.1. The agricultural leasehold relation shall be established by: 2.f.1.a. Operation of law in accordance with Sec. 4, RA 3844. 2.f.1.b. Orally or in writing, express or impliedly. (Sec. 5 RA 3844) 2.g.Form and Registration of the Leasehold Contract: 2.g.1. In writing (quadruplicate) 2.g.2. In a language or dialect known to the agricultural lessee 2.g.3 Signed or Thumb-marked by the Agri. Lessee personally and the Agri. Lessor or his authorized representative before two witnesses to be chosen by each party. 2.g.4. Parties acknowledge the execution of the contract before the Justice of the Peace of the municipality where the land is situated (No fees is required). 2.g.5. Each party retain a copy. 2.g.6. The Third copy is delivered by the judge to the Municipal Treasurer of the place where the land is located. 2.g.7. The Fourth copy to the Office of the Agrarian Counsel (Sec. 17, RA 3844). 2.h. The Agricultural Leasehold Contract shall be conclusive between the contending parties if not denounced or impugned within thirty (30) days after its registration, except, in case of mistake, violence, intimidation, undue influence or fraud. 2.i. The agricultural Leasehold Relation is not extinguished by: 2.i.1. Expiration of the Term or period in a leasehold contract 2.i.2. Sale, Alienation or Transfer of the legal possession of the landholding. The purchaser or transferee is subrogated to the rights and

substituted to the obligations of the agricultural lessor (Sec. 10, RA 3844) 2.j. Rights of the Agricultural Lessee: 2.j.1. Right to Security of Tenure To have possession and peaceful enjoyment of the land (Sec. 71 RA 3844)(Bernardo vs. CA, 168 SCRA 439) 2.j.2 Right to a Homelot (Sec. 24, RA 3844) LOI 705 (June 10, 1978) 2.j.3.Right of the Pre-Emption Agri. Lessee preferential right to buy the land under reasonable terms and conditions (Sec.11, RA 3844) 2.j.4. Right of Redemption The right to redeem the land at a reasonable price and consideration if the land is sold to a third persons without his knowledge (Sec. 12, RA 3844) 2.j.5. Right to be paid DISTURBANCE COMPENSATION in case of approved land use conversion (Sec. 36 (1), RA 3844 as amended by Sec.7(1), RA 6389)

2,j.9. To deal with millers and processors and attend to the issuance of quedans and warehouse receipts of the produce due him/her (Sec. 23 (4), RA 3844 2.k. Obligation of the Agricultural Lessee (Duties and Responsibilities (Sec. 26. RA 3844) 2.k.1. Cultivate and Take care of the farm, growing crops & other improvements. Perform all work in accordance with the proven farm practices. 2.k.2. Inform the lessor of trespass committed by 3rd persons w/o prejudice to his direct action against the trespasser. 2.k.3.Take reasonable care of work animals and farm implements delivered to him by the lessor and see to it that it is not used for purposes than, those intended or by another without the knowledge and consent of the lessor 2.k.4 Keep the farm and growing crops attended to during the work season. 2.k.5. To pay the lease rentals to the lessor when it falls due. 2.l. Rights of the Agricultural Lessor (Sec. 29. RA 3844) 2.l.1. To Inspect and observe the extent of compliance with the terms and conditions of the leasehold contract 2.l.2. To Propose a change in the use of the landholding to other agricultural purposes, or in the kind of crops planted 2.l.3. To require the lessee, to adopt proven farm practices necessary to the conservation of the land, improvement of the fertility and increase in productivity; "Proven farm practices" means sound farming practices generally acceptable through usage or officially recommended by the Agricultural

2.j.6. Right to be imdemnified for the cost and expenses in the cultivation and for the expenses incidental to the improvement of the crops in case the lessee surrenders, abandons for a just cause or is ejected without court order. (Sec. 25, RA 3844) 2.j.7. To manage and work on the land in manner and method of cultivation and harvest which conform to proven farm practices. (Sec. 23. (2), RA 3844) 2.j.8. To mechanize all or any phase of his farmwork (Sec. 23, (3) RA 3844)

Productivity Commission for a particular type of farm. (Sec., (11), RA 3844) 2.l.4. To Mortgage Expected rentals. 2.m. Prohibition on the Agricultural Lessor (Sec. 31, RA 3844) 2.m.1. To dispossess the agricultural lessee of his/her landholding except upon authorization by the Court under Sec. 36.RA 3844 2.m.2.To require the lessee to assume, directly or indirectly the payment of taxes or part thereof levied the landholding. 2.m.3.To require the lessee to assume, directly or indirectly any, rent, "canon" or other obligation of the lessor to a third party 2.m.4.To deal with millers or processors without a written authorization of the lessee in case the crop has to be sold in a processed form before payment of lease rentals. 2.m.5.To discourage, directly or indirectly, the formation, maintenance or growth of unions or organizations of lessee in his/her land. 2.m.6 (New) For coconut lands, indiscriminate cutting of coconut tree will be deemed a prima facie evidence of intent to eject his tenant from his landholding unless there is a CERTIFICATION by the PCA or RESOLUTION from the Municipal Board, allowing the cutting for valid reason. (A.0.5.S. 1993, A.O. 16.S. 1989). 2.n. Consideration for the Lease of Agricultural lands 2.n.1. Not more than 25 per centum of the average normal harvest during the three agricultural years immediately preceding the date the leasehold was established. 2.n.2. Deductible items 2.n.2.a. Seedlings 2.n.2.b. Cost of Harvesting

2.n.2.c. Cost of Threshing 2.n.2.d. Cost of Loading 2.n.2.e. Cost of Hauling 2.n.2.f. Cost of Processing 2.n.3. If the land is cultivated for a period of less than three years, the initial consideration is based on the average normal harvest during the preceeding years when the land was actually cultivated or on the harvest of the first year if newly cultivated, and the harvest is normal. 2.n.4. After the lapse of the first three normal harvest, the final consideration shall be based on the average normal harvest during these three preceding agricultural years. 2.n.5. In the absence of any agreement as to the rental, the maximum allowed shall be applied. 2.n.6. If capital improvement is introduced not by the lessee to increase productivity, the rentals shall be increased proportionally to the consequent increase in production due to the improvement. 2.n.7. In case of disagreement the Court shall determine the reasonably increase in rental. 2.n.8. Capital improvement refers to any permanent and tangible improvement on the land that will result in increased productivity. If done with the consent of the lessee, then the lease rental shall be increased proportionately. 2.o.. Sec. 36, RA 3844, Possession of Landholding; Exceptions. = The agricultural lessee shall continue in the ENJOYMENT and POSSESSION of his landholding except if his dispossession is authorized by the Court in a judgment that is final and executory if after due hearing it is shown that =

2.0.1. The agricultural lessor-owner or a member of his family will personally cultivate the landholding (Amended by Sec. 7, RA 6389; Sequi vs. Vera, CAG.R. No. 00975-R. Oct. 22, 1975). Or will convert the land- holding into residential, factory, hospital, school site or other useful non-agricultural purposes. Provided that Disturbance Compensation equivalent to five times the average of the gross harvest on his landholding during the last five preceding calendar years (Sec. 7, RA 6389 (Amendment) The tenant have the right to demand possession and claim damages if the landholder is in Bad Faith by not cultivating the land himself for three years or fails to substantially carry out such conversion within one year after the dispossession of the tenant 2.o.2. The agricultural lessee failed to substantially comply with any of the terms an conditions of the contract or any provision of this Code unless his failure is causes by fortuitous event or force majeure. 2o.3. The agricultural lessee planted crops or used the landholding for a purpose other than what had been previously agreed upon. 2.o.4. The agricultural lessee failed to adopt proven farm practices. 2.o.5. The land or other substantial permanent improvement is substantially damaged or destroyed or has unreasonably deteriorated through the fault or negligence of the agricultural lessee 2.o.6. The agricultural lessee does not pay the lease rental when it falls due provided that if non-payment is due to crop failure to the extent of 75% as a result of fortuitous event, it cannot be a ground for dispossession although

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the obligation to pay the rental due that particularly crop is not thereby extinguished. 2.o.7. The lessee employed a sub-lessee on the landholding. Extinguished of Agricultural Leasehold Relations (Sec. 8. RA 3844) The agricultural leasehold relations established under the Code shall be extinguished by= 2.p.1.ABANDONMENT of the landholding without the knowledge of the agricultural lessor. (Teodoro vs. Macaraeg, 27 SCRA 7 (1969) To constitute abandonment there must be an absolute relinquishment of the premises of the tenant. This "overt act" must be coupled with his intention to do so "which is carried into effect," (Philippine Labor and Social Legislation, Martin, 70 Ed. Pp. 405-406). Abandonment to validly terminate tenancy relationship is characterized by: (a) an INTENT to ABANDON, and (b) an OVERT ACT to carry out such intention There must be, therefore, NO ANIMUS REVERTENDI on the part of the tenant (Labor, Agrarian and Social Legislation, Montemayor, 2nd Ed., 1968, pp. 54-55) 2.p.2. VOLUNTARY SURRENDER of the landholding by the agricultural lessee, written notice of which shall be served three months in advance (Nisnisan, et al., vs. CA, 294 SCRA 173 (1998). As a mode of extinguishing tenancy relationship it connotes a decision in the part of the tenant to return the possession of the landholding and relinquished his right as tenant thereon uninfluenced by any compelling factor, coming particularly from the landholder. For surrender to be valid, there must be (a) an intention to abandon, and (b) an external act or an omission to

act, by which such intention is carried out into effect. When a tenant voluntarily yield the land, he terminates the tenancy relationship by his unilateral act. (Annacleto Inson vs. B. Planas de Asis, et al. Ca GR No. Sp01769. Oct. 11, 1974. 2.p.3. Absence of a person under Sec. 9 to succeed to the lessee in the event of death or permanent incapacity of the lessee 2.p.3.a. Succession in Agricultural Leasehold Relation: Ground: Death or Permanent Incapacity = Who succeeds = Person chosen by the agricultural lessor within one month from death or permanent incapacity from among the following = a) Surviving spouse; b) The eldest direct descendant by consanguinity; c) The next eldest descendant or descendants in the order of their age. If the death or permanent incapacity occurs during the agricultural year such choice shall be exercised at the end of the agricultural year. If the Agricultural Lessor fails to exercise his choice within the one month period, the PRIORITY shall be in accordance with the order herein established. In case of death of the agricultural lessor, the leasehold shall bind his legal heirs. 2.q. The lessor who Ejects his tenant without Court authorization shall be liable for: 2.q.1.Fine or Imprisonment 2.q.2.Damages suffered by the agricultural lessee in addition to Fine or Imprisonment for unauthorized dispossession

2.q.3.Payment of Attorney's Fees incurred by the lessee 2.q.4.The Reinstatement Of The Agricultural Lessee 2.r. Other related Laws and Issuances 2.r.1. P.D. No. 152 (March 31,1973), Prohibits the employment or use of share-tenants in complying with the requirements of the law regarding entry, occupation, improvement and cultivation of public lands. 2.r.2. P.D.. No. 583 (November 10, 1974), prescribed penalty for the unlawful ejectment, exclusion, removal or ouster of tenantfarmers from their landholdings 2.r.3. P.D. No. 816 (October 21, 1976) penalized any agricultural lessee of rice and corn lands under PD 27 who deliberately refuses or continue to refuse to pay rentals or amortization when they are due and remain unpaid within a period of two years. 2.r.4. P.D. No. 1425 (June 10, 1979) strengthened the prohibition against the practice of share tenancy and providing penalties thereof. Under this Decree any tenant who refuses to enter into leasehold contract may be prosecuted before the Court of Agrarian Relations. 2.r.5. P.D. No. 1040 (October 21, 1976) prohibited and penalized the contracting of share tenants in all agricultural land covered by P.D. 27. 2.S. Administrative Orders covering Leasehold implementation 2.s.1. DAR Administrative Order No. 5 s. 1997 Rules and Regulations Governing the Lease of Lands Planted to Palm Oil Trees and the

Determination of Lease Rental under Lease Arrangement, Amending Administrative Order No. 11, Series of 1988 2.s.2. DAR Administrative Order No. 4, S. 1997-Guidelines on the withdrawal of Farmers-Beneficiaries Lease Rentals/ Amortization Payments Deposited with the LBP 2.s.3. DAR Administrative Order No. 05, s. 1993-Rules and Procedures Governing Agricultural Leasehold and the Determination of Lease Rental for Tenanted Lands. This AO supersedes AO No. 04, S 1989, AO 09, S.1991 and AO 04, s. 1992. 3. Third Stage FULL OWNERSHIP BY TENANT-BENEFICIARY. 3.a. Presidential Decree No. 27-Tenant's Emancipation Decree (EffectivityOctober 21, 1972 3.b. Presidential Decree No. 2 - (Effectivity September 27, 1972) Proclaiming the entire country as a Land Reform Area. 3.c. Reason for the Decree The old concept of land ownership by a few has spawned valid and legitimate grievances that gave rise to violent conflict and social tension. 3.d. Salient features of Presidential Decree No. 27. 3.d.1. It applies to TENANT-FARMERS of private agricultural lands primarily devoted to rice and corn under a system of share-crop or lease tenancy, whether classified as land estate or not. NOTE: Elements of Traditional Utility and suitability of land as rice or corn land (Code Commission, PD 946) 3.d.2. The tenant-farmer is DEEMED OWNER of a family size farm of

five (5) hectares if not irrigated and three (3) hectares if irrigated. 3.d.3. The landowner may retain an area of not more then seven (7) hectares if he is cultivating such area or will now cultivate it. 3.d.4. The value if the land shall be equivalent to two and one half (2-1/2) times the AVERAGE HARVEST OF THREE NORMAL CROP YEARS IMMEDIATELY PRECEDING THE PROMULGATION OF THIS DEGREE. 3.d.5. The tenant shall pay for THE COST OF THE LAND, including interest of six (6) percent per annum in FIFTEEN (15) YEARS of fifteen (15) equal annual amortizations. NOTE: The period is extended to twenty (20) years equal annual amortization under Sec. 6, E.O.. 228 of July 17, 1987 by Pres, Corazon C. Aquino. 3.d.6. The FARMER'S COOPERATIVE pays the amortization if the tenant defaults in payment of amortization. The cooperative shall have a RIGHT OF RECOURSE against the member tenant. 3.d.7. The TITLE to the land owned by the tenant shall not be transferable except BY HEREDITARY SUCCESSION or TO THE GOVERNMENT in accordance with this Decree, the Code of Agrarian Reform and other existing laws and regulation. NOTE: Sec. 6, EO 228 provides, "Ownership of lands acquired by farmer-beneficiary may be transferred after full payment of amortization. 3.d.8. The Department of Agrarian Reform through its Secretary is hereby empowered to promulgate rules and regulations for the implementation of this Decree.

3.e. Presidential Decree No. 27 was assumed to be constitutional and upheld as part and parcel of the law of the land in De Chavez vs. Zobel 55 SCRA 26 and survived the test of constitutionality in Gonzales vs Estrella, 91 SCRA 294 (1979), Finally, in Association of Small Landowners in the Philippines, Inc. vs. Secretary of Agrarian Reform, 175 SCRA 342 (1989) all assault on the validity of PD 27, RA 6657, etc, was ultimately set aside. 3.f. Presidential Decree prohibiting the Illegal Ejectment of tenant-tillers. 3.f.1. PD 316 (October 22, 1973) applies to tenant-farmers in agricultural lands primarily devoted to rice and corn. No judge/hearing officer of CAR, CFI, Municipal or City Court, Fiscal or hearing offices shall take cognizance of any ejectment case or any case designed to harass a tenant unless certified by the Secretary of DAR as a proper case for trial or hearing after a preliminary determination of the relationship between the parties is conducted by DAR in a referral made by the court or hearing officer. DAR Memorandum, Circular No. 29 (December 6, 1973) is the implementing guidelines of PD 316 Issues to be resolved. a. Whether or not one party is a tenant-farmer, b. Whether or not the land is planted to rice ad/or corn; c. Whether or not the action involves the ejectment, or is designed to harass or remove the actual tiller, the tenantfarmer; d. In criminal cases, whether or not the crime complained of arose out of or is connected with agrarian relations.

3.f.2. PD 583 (November 16, 1974) Prescribing penalties for the unlawful EJECTMENT, EXCLUSION REMOVAL or OUSTER of tenant-farmers from this farmholdings. 3.f.2.a. Who are liable under the Decree 1. Any judge of the CAR, CFI, Municipal Court or any fiscal or investigating officer, including members of the Armed Forces of the Philippines, WHO SHALL ORDER the ejectment, exclusion, removal or ouster or shall take COGNIZANCE of an ejectment case or one designed to eject, exclude, remove or oust a tenant-farmer without referring the case to the DAR pursuant to PD 316 . (Penalty = Prison Mayor and Perpetual Absolute Disqualification. 2. Any officer or employee of the government including members of the Armed Forces of the Philippines WHO EXECUTES an order for the ejectment, exclusion, removal or ouster of tenantfarmers, knowing that the order is unlawful (Penalty-Prison Correctional and Perpetual Absolute Disqualification. 3.Any landowner who CONVERTS his tenanted land primarily devoted to rice and corn into nonagricultural use or to the production of the other crops to avoid the application of the land reform laws or decrees to the landholding and to dispossess his tenant-farmers, except if previously authorized by the Secretary of Agrarian Reform, (Penalty-Prison Mayor or FINE him P5,000.00 to P10,000.00 or both (Also PD 815, Oct. 21, 1975) 3.f.3 PD 1038 (October 21, 1976) Strengthening the Security of Tenure of tenant-tillers in NONRICE/CORN producing private agricultural lands. 3.f.3.a. Who are liable under the Decree= 1. Judge or Fiscal or Hearing officer who TAKES COGNIZANCE or ORDERS the ejectment, exclusion, removal or ouster of tenant-tillers without securing the certification of the Secretary of DAR that the case is proper for trial or hearing;

2. Any officer or employee of the government, including members of the Armed Forces of the Philippines, who, EXECUTES an order for the ejectment, exclusion, removal or ouster of tenanttillers knowing that said order is unlawful. 3. Any landowner, landholder, agricultural lessor or anybody acting for and in their behalf who by an act, scheme, or strategy eject, exclude, remove or oust a tenant-tiller from his landholding in contravention of this Decree. 3.g.Presidential Decree NO. 226 (August 4, 1973) Mechanics of Registration of Ownership and/or Title to land under PD No. 27. 3.g.1.All CLTs issued pursuant to PD 27 shall be FILED by DAR and RECORDED with the LRA and TRANSMITTED to ROD of the province or city where the land is located. If registered land the DAR shall indicate the number of ORIGINAL OR TRANSFER CERTIFICATE OF THE TITLE. 3.g.2. The ROD shall RECORD in the PRIMARY BOOK and ANNOTATE A MEMORANDUM in the Certificate of Title covering the land, with need of PRIOR SURRENDER of the owner's duplicate Certificate of Title . It shall be the DUTY of the ROD to notify the landowner of such fact within a reasonable time. It the land is NOT REGISTERED under the Torrens System the ROD shall RECORD the CLT in the PRIMARY ENTRY BOOK and in the REGISTRATION BOOK for unregistered lands under Act 3344. 3.g.3. An EMANCIPATION PATENT and/or GRANT shall be issued by the DAR if the tenantfarmer shall have fully complied with the requirement for a grant or title under PD 27. The title is based on a duly approved survey plan. If the land is under the Torrens System, the EP if filed with the ROD, shall constitute conclusive authority for him to enter a TCT in accordance with the patent/grant.

The ROD before cancelling the original of the certificate of title and issuing a new one in favor of the tenant-grantee shall require the registered owner or person in possession of the title to SURRENDER THE OWNER'S DUPLICATE FOR CANCELLATION, within a reasonable period. If the owner or party withholding such duplicate certificate REFUSE or FAIL TO SURRENDER within 30 days from and after receipt of notice the ROD shall be AUTHORIZED TO CANCEL the ORIGINAL as well as the OWNER'S DUPLICATE CERTIFICATE OF TITLE and in lieu thereof issue a NEW ONE with the corresponding OWNERS duplicate, in favor of the tenantgrantee. If the patent or grant affects UNREGISTERED LANDS, the filing of the EP with the ROD of the province or city where the land is situated, shall bring the land under the operation of ACT 496, and the same shall be considered registered land. It is the duty of the RODs, after entry of the patent/grant in the REGISTRATION BOOK to ENTER an ORIGINAL CERTIFICATE OF TITLE for such registered land and issue an owner's duplicate certificate to the tenant-grantee. 3.g.4. No FEE, PREMIUM, or TAX of any kind shall be charge or imposed in connection with the ISSUANCE and REGISTRATION of documents and titles, nor shall postage dues and mailing charges be required in all matters connected with the implementation of this Decree. 3.h. RULES ON COVERAGE OF LANDS UNDER PD 27. 3.h.1. Rule 1 Landed estates or landholdings larger than 24 hectare (LOI 46 (December 7, 1972) - covered by OLT and there is no retention to the landowner.

3.h.2. Rule 2 Landholding of 24 hectares or less (but above 7 hectares (LOI 46 (ibid) and LOI 227 (November 16, 1974) covered by OLT but landowner is entitled o retention except if LOI 474 (October 21, 1976) applies. 3.h.3. Rule 3 Landholding of 7 hectares or less is EXEMPTED from OLT except if LOI 474 is applicable i.e. 3.h.3.a. Landowner owns other agricultural land of more than seven hectares in aggregate area, or 3.h.3.b. He owns COMMERCIAL, INDUSTRIAL, RESIDENTIAL or URBAN LAND where he derive an adequate income, DAR Memo, Circular No. 11, s. 1978 (April 21, 1978) adequate income is at least FIVE THOUSAND (P5000.00) PESOS per annum. (gross income). II. 3.i. Republic Act No. 6657 Comprehensive Agrarian Reform Law of 1988 (CARL 1988 (Sec. 1. RA 6657). 3.i.1.. Principles and Policies of the CARL. (See 2, RA 6657) 3.i.1.a. The WELFARE of the landless farmers and farmworkers will receive the highest consideration of the state to promote social justice (1st par.) This will enhance their dignity and improve the quality of their lives through greater productivity of agricultural lands. 3.i.1.b. The vision of the law is to attain: a. Agrarian Reform b. RURAL DEVELOPMENT, and c. Industrialization (1st par.) 3.i.1.c.The establishment of OWNERCULTIVATORSHIP of ECONOMIC SIZE FARM is the basis of Philippine Agriculture, (1st par.)

3.i.1.d.There will be an EQUITABLE DISTIRBUTION OF LANDS but with due regard to the rights of landowners to JUST COMPENSATION. (2nd par.) 3.i.1.e. * The agrarian reform program is founded on the right of farmers and regular farmworkers, who are landless, TO OWN directly or collectively the land they till or in the case of other farmworkers to receive a JUST SHARE of the fruits thereof. (3rd Par.) The state shall encourage and undertake the JUST DISTRIBUTION OF ALL AGRICULTURAL LANDS, subject to the PRIORITIES and RETENTION LIMITS set forth in this Act, taking into account ECOLOGICAL, DEVELOPMENTAL and EQUITY consideration and subject to the payment of JUST COMPENSATION. (3rd par.) The state shall apply the principles of AGRARIAN REFORM OR STEWARDSHIP in the disposition or utilization of the other natural resources, including lands of the public domain, under lease or concession suitable to agriculture, subject to PRIOR RIGHTS, HOMESTEAD RIGHTS of small settlers and the rights of INDIGENOUS COMMUNITIES to their ancestral lands (5th par) Ancestral lands of each indigenous cultural community shall include, but not be limited to lands in the actual, continuous and open possession and occupation of the community and its members. The State may RESETTLE landless farmers and farmworkes in its OWN agricultural estates, which shall be distributed to them in the manner provided by law (6th par). The state shall encourage the formation and maintenance of ECONOMIC-SIZE FAMILY FARMS to be constituted by individual beneficiaries and small landowners (7th par.). The state shall protect the RIGHTS OF SUBSISTENCE FISHERMEN, especially of local communities, to the PREFERENTAL USE OF COMMUNAL MARINE, and FISHING RESOURCES, both inland and offshore. It shall provide support to

such fishermen through APPROPRIATE TECHNOLOGY & RESEARCH, ADEQUATE FINANCIAL, PRODUCTION AND MARKETING ASSISTANCE and OTHER SERVICES. The state shall also protect, develop and conserve such resources. The protection shall extent to OFF-SHARE FISHING GROUNDS of subsistence fishermen against foreign intrusion. Fishworkers shall receive a JUST SHARE from their labor in the utilization of marine and fishing resource. (8th par.) THE STATE SHALL BE GUINDED BY THE PRINCIPLE THAT "LAND HAS A SOCIAL FUNCTION AND LAND OWNERSHIP HAS A SOCIAL RESPONSIBILITY." Owners of agricultural land have the obligation to cultivate directly or through labor administration the lands, they own and thereby make the land productive (9th par). The state shall provide incentives to landowners to INVEST the proceeds of the agrarian reform program to promote INDUSTRIALIZATION, EMPLOYMENT, and PRIVATIZATION of public sector enterprises. (10th par). The state may LEASE undeveloped lands of the public domain to qualified entities for the development of capital-intensive farms and traditional and pioneering crops especially those for export subject to the prior rights of the beneficiaries under this Act. (11th par.) 3.j. COVERAGE OF CARL 1988 3.J.1. Scope All PUBLIC and PRIVATE Agricultural lands regardless of tenurial arrangement and commodity produced, including lands of the public domain suitable for agriculture. (1st par. Sec. 4, RA 6657) Specific lands covered by CARP.

a.

b.

All alienable and disposable lands of the public domain devoted to or suitable for agriculture All lands of the public domain in excess of the specific limits as

determined by Congress in the preceding paragraph; c. All other lands owned by the Government devoted to or suitable for agriculture; and d. All private lands devoted to or suitable for agriculture regardless of the agricultural products raised or that can be raised thereon. 3. K. PRIORITIES The DAR, in coordination with the PARC shall plan and program the acquisition and distribution of all agricultural lands through a period of ten (10) years from the effectively of this Act. Land shall be acquired and distributed as follows: Phase One:1.Rice and corn land under PD 27;

3. All public agricultural lands which


are opened for new development and resettlement; and 4. All private agricultural lands in excess of fifty (50) hectares These shall be distributed immediately upon the effectivity of the Act, with the implementation to be completed within a period of not more than four (4) years. Phase Three: All private AGRICULTURAL LANDS commencing with LARGE landholdings and proceeding to MEDIUM and SMALL landholding under the following schedules: a) Landholdings ABOVE 24 hectares up to 50 hectares to begin on the forth year from effectivity of this act and to be completed within three years; and, b) Landholdings from the RETENTION LIMIT up to 24 hectares, to begin on the sixth year from effectivity of this Act and to be completed within four year. The PARC, upon the recommendation of the PARCCOM may declare certain provinces or regions as PRIORITY LAND REFORM AREAS, in which case the acquisition and distribution of PRIVATE AGRICULTURAL LANDS may be ahead of the above schedules. In effecting the Transfer of Land PRIORITY must be given to lands that are tenanted: 3.L. What lands are not covered by CARP 3.L.1 Those which are not suitable for agriculture or those which are classified as mineral, forest residential, commercial or industrial lands. (Sec. 3. , RA 6657); 3.L.2. Those which have been classified and approved as NON-AGRICLTURAL prior to June 15, 1988. (DOJ Opinion No. 44, S. 1990)

3.L.3. Those which are EXEMPT pursuant to Sec. 10, RA 6657. 3.L.4. Those which are devoted to poultry, swine or livestock-raising as of June 15, 1988 pursuant to the Supreme Court ruling on Luz. Farms vs. The Hon. Secretary of Agrarian Reform (192 SCRA 51); 3.L.5. Fishponds and prawn farms exempted pursuant to R.A. No. 7881, and its implementing Administrative Order No. 3, Series of 1995; 3.L.6. Those which are retained by the landowners; 3.L.7. Those lands or portions thereof under the coverage of EO 407 but found to be no longer suitable for agriculture and therefore, could not be given appropriate valuation by the LBP as determined by DAR/LBP; and 3.L.8.Those lands declared by Presidential Proclamations for certain uses other than agricultural. 3.m. What lands are EXEMPT from CARP coverage? 3.m.1 Lands ACTUALLY, DIRECTLY and EXCLUSIVELY used for parks, wildlife, forest reserves, reforestation, fish sanctuaries and breeding grounds, watershed and mangroves. 3.m.2. Private lands actually, directly and exclusively used for prawn farms and fishponds, provided that the same have not been distributed and CLOAs issue to agrarian reform beneficiaries. 3.m.3. Land actually, directly and exclusively used and found to be necessary for national defense, school/sites and campuses, including experiment farm station operated by public or private schools for educational purposes, seed and seedlings research and pilot production centers, church sites and convents appurtenant thereto, mosque sites and Islamic centers appurtenant thereof, communal burial grounds and cemeteries, penal colonies and penal farms actually worked by the inmates, government and private research and quarantine centers and all lands with eighteen percent (18%) slope

2. Idle and abandoned lands 3. Private lands voluntarily offered


by the owners for agrarian reform

4. Foreclosed land by government


financial institutions;

5. Land acquired by the Presidential


Commission on Good Government; and 6. All other lands owned by the

Government

devoted to or suitable for agriculture These shall be acquired and distributed immediately upon effectivity of the Act, with the implementation to be completed within a period of not more than four (4) years (Sec. 7, par. 2, RA 6657) Phase Two:

1. All Disposable and alienable


public agricultural lands;

2. All Arable public agricultural


lands under agro-forest, pasture and agricultural leases already cultivated and planted for crops in accordance with Sec. 6, Art. XIII of the Constitution;

and over, except those already developed. (see 10, RA 6657) 3.n.RETENTION LIMITS (Sec. 6, RA 6657) 3.n.1. Rules and Procedures Governing the Exercise of Retention Rights by Landowners and Award to children under Sec. 6 of RA 6657 (A.O. No. 11, Series of 1990; and A.O. No. 2, S. 2003) A. Landowners whose landholding are covered by CARP may retain an area of FIVE (5) hectares. In addition, each of his children, (legitimate, illegitimate or adopted may be AWARDED three (3) hectares as PREFERRED BENEFICIARY provided1. That the child was at least 15 years of age on the June 15, 1988 (RA 6657effectivity); and 2. The child was actually tilling the land or directly managing the farmland from June 15, 1988 to the filing of the application for retention and/or at the time of acquisition of the land under CARP. B. The landowner, has the RIGHT TO CHOOSE the area to be retained by him which shall be COMPACT and CONTIGUOUS and least prejudicial to the entire landholding and the majority of the farmers thereof; C. The landowner has the OBLIGATION to cultivate the land directly or through labor administration, and thereby make the land productive. D. If the area selected by the landowner for retention is TENANTED, the tenant shall have the OPTION to choose whether to REMAIN AS LESSEE or BE A BENEFICIARY in same or another agricultural land with similar or comparable feature. The tenant must exercise the option within one year form the time the landowner manifest his choice of the area for retention.

E.

Retention of husband and wife: 1. For marriages covered by the New Civil Code, the spouses who owns only CONJUGAL PROPERTIES may retain a total of five (5) hectares unless there is an agreement for the JUDICIAL SEPARATION OF PROPERTIES. However, if either or both of them are landowners in their respective rights (capital and/or paraphernal). They may retain not more than five (5) hectares each from their respective landholdings. In no case, however, shall the total retention of such a couple exceed 10 hectares, and 2. For marriage covered by the New Family Code (August 3, 1988), a husband owning capital property and/or a wife owning paraphernal property may retain not more than five (5) hectares each provided they execute a JUDICIAL SPERATION OF PROPERTIES prior to entering the marriage. In the absence of such an agreement all properties (capital, paraphernal and conjugal) shall be considered held in absolute community, therefore, only a total of five (5) hectares may be retained.

are subject to acquisition and distribution under OLT. AN OWNER MAY NOT RETAIN UNDER THE FOLLOWING CASES:

a) If he as of October 21, 1972 owned more than


24 hectares of tenanted rice or corn lands; or

b) By virtue of LOI 474, if he as of 21 October


1972 owns less than 24 hectares of tenanted rice but additionally owned the follows = Other agricultural land of more than seven hectares, whether tenanted or not, whether cultivated or not, and regardless of the income derived therefrom; or Land use for commercial, industrial, residential or other urban purposes, from which he derives adequate income to support himself and his family 3.n.2.b. Landowners who filed their application for retention BEFORE 27 August 1985, the deadline set by Administrative Order No. 1, Series of 1985, may retain not more than seven hectares of their landholding covered by PD 27 regardless of whether or not they complied with LOI Nos. 41, 45, and 52. Landowners who filed their application AFTER 27 August 1985 but complied with the requirement of LOI No. 41, 45 and 52 shall likewise be entitled to such a seven hectares retention area. However landowner who filed their application for retention AFTER the 27 August 1985 deadline and DID NOT COMPLY with the requirements of LOI Nos. 41, 45, and 52 shall only be entitled to a maximum of five (5) hectares as retention area. 3.n.2.c. A landowner WHO HAS DIED must have manifested during his lifetime his intention to exercise his right of retention prior to 23 AUGUST 1990 (The finality of the Supreme Court decision in the case "Association of Small

F. The original homestead grantees or direct compulsory heirs who still owns the original homestead at the time of the approval of RA 6657 may retain the same area as LONG AS THEY CONTINUE TO CULTIVATE THE SAID HOMESTEAD. 3.n.2 Right of Retention by Landowners under Presidential Decree No. 27. Supplemental Guideline A.O. No. 04, Series of 1991). The policy statements are as follows: 3.n.2.a. Landowners covered by PD 27 are entitled to retain SEVEN hectares, except those whose entire tenanted rice and corn lands

Landowners of the Philippines, Inc. et al. vs. Honorable Secretary of Agrarian Reform) to allow his heirs to now exercise such right under these Guidelines. Said heirs must show proof of the original landowners intention. The heirs may also exercise the original landowners' right of retention if they can prove that the decedent HAD NO KNOWLEDGE of OLT coverage over the subject property. 3.n.2.d. A landowner is DEEMED TO HAVE WAIVED his right of retention by the performance of ANY of the following acts. a. Signing the LTPA-FU covering the subject property; b. Entering into a DIRECT-PAYMENT SCHEME AGREEMENT as evidence by a Deed of Transfer over the subject property; and c. Signing/Submission of other documents indicating CONSENT to have the subject property covered, such as the form letter of the LBP on the disposition of the cash and band portion of a land transfer claim for payment, and the Deed of Assignment, Warranties and Undertaking executed in favor of the LBP. Under A.O.2. Series of 2003, The following are act or omission constituting WAIVER of his right to exercise his right of retention:

e) Entering into VLT/DPS or VOS but FAILING TO


MANIFEST an INTENTION TO EXERCISE HIS RIGHT TO RETAIN upon filing of the application for VLT/DPS or VOS. Execution and submission of any document that he is CONSENTING to the CARP coverage of his entire landholding; Performing any act constituting ESTOPPEL BY LACHES which is the failure or neglect for an unreasonable length of time to do that which he may have done earlier by exercising due diligence warranting a presumption that he abandoned his right or declined to assert it.

f) g)

3.n.3.a. The landowner may exercise his right of retention at any time BEFORE RECEIPT OF NOTICE OF COVERAGE. 3.n.3.b. Under the Compulsory Acquisition (CA) Scheme the landowners shall exercise his right of retention WITHIN SIXTY (60) DAYS from receipts of notice of coverage. 3.n.3.c. Under the Voluntary Offer to Sell (VOS) and the Voluntary Land Transfer (VLT)/Direct Payment Scheme (DPS), the landowner shall exercise his right of retention SIMULTANEOUSLY at the TIME OF OFFER for sale or transfer. 3.n.4. Criteria/Requirement for Award of Retention (Sec. 7 DAR AO 2, Series of 2003) 3.n.4.a. The land is private agricultural land; 3.n.4.b. The area chosen for retention shall be compact and contiguous and shall be least prejudicial to the entire landholding and the majority of the farmers therein; 3.n.4.c. The landowner must execute an affidavit as to the aggregate area of his landholding in the entire Philippines; and 3.n.4.d. The landowner must submit a list of his children who are fifteen (15) years old or over as of 15 June 1988 and who have been actually cultivating or directly managing the farm since 15 June 1988 for identification as preferred beneficiaries, as well as evidence of such. 3.n.4.e. The landowner must execute an affidavit stating the names of all farmers, agricultural lessees and share tenants, regular farmworkers, seasonal farmworkers, other farmworkers, actual tillers or occupants, and/or other persons directly working on the land; if there are no such persons, a sworn statement attesting to such fact. 3.O. LAND ACQUISTION (Chapter V, RA 6657)

3.n.2.e. All rights previously acquired by the tenantfarmers under PD 27 are RETAINED and RECOGNIZED. 3.n2.f. A landowner who owns lands other than rice and corn shall be PERSUADED TO SELECT the area he will retain from the "OTHER LAND" to prevent or minimize the possible dislocation of farmerbeneficiaries who have been issued CLTs or EPs. 3.n.2.g. Where there are CLT or EP holders in the area to be retained the DAR shall immediately INFORM the tenants and provide them the opportunity to DISPUTE OR CONTEST the landowners claim, Moreover, the DAR shall ensure that the affected tenants should they so desire, will be given PRIORITY in the distribution of other land of the landowners or other lands identified by the DAR for redistribution, subject to right of those clearly in place. The tenants may OPT to remain in the retained area as leaseholders, in which case, the required lease agreements shall be executed in accordance with existing laws, rules and regulations. The tenant must exercise this option within a period of one (1) year from the time the landowners manifests his choice of the area for retention . 3.n.3. Period to Exercise Right of Retention under RA 6657 (Sec. 4, DAR AO 2, Series of 2003)

a) Failure to manifest an intention for exercise his b) c)


right to retain WITHIN SIXTY (60) calendar days from receipt of CARP coverage. Failure to state such intention upon offer to sell or application under VLT/DPS scheme. Execution of a document stating that he expressly WAIVED his right to retain. The MARO/PARO/RD shall ATTEST to the due execution of the document. Execution of a LTPA-FU or application to Purchase and Farmer's Undertaking (APFU) covering subject property.

d)

3.o.1 What lands are acquired under CARP? 3.o.1.a.Public ALIENABLE AND DISPOSABLE (A & D) lands through Free Patent. 3.o.1.b.Resettlement sites though CLOAs 3.o.1.c.Land covered by the Integrated Social Forestry Program (ISFP) through STEWARDSHIP CONTRACT. 3.o.2. The MODES OF ACQUIRING LANDS for distribution under CARP 3.o.2.a.COMPULSORY ACQUISITION (CA) (Sec. 16, RA 6657) 3,o.2.b.VOLUNTARY OFFER TO SELL (VOS) (see 19, RA 6657) 3.o.2.c.VOLUNTARY LAND
TRANFER/DIRECT PAYMENT SCHEME (VLT/DPS) Sec. 20, RA

the place where the property is located. 3.o.3.c. Landowner/Administrator/Representative inform the DAR of his ACCEPTANCE or REJECTION of the offer within thirty (30) days from date of receipt of written notice by personal delivery or registered mail. 3.o.3.d. If landowner ACCEPTS the offer of the DAR, the LBP pays the landowner the purchase price of the land within thirty days after he executes and delivers a deed of transfer in favor of the government and surrenders the Certificate of Title and other muniments of title 3.o.3.e. In case of rejection or failure to reply, the DAR shall conduct SUMMARY ADMINISTRATIVE PROCEEDINGS to determine the compensation for the land by requiring the landowner, LBP and other interested parties to submit evidence as to just compensation for the land within 15 days from receipt of notice after which the case to deemed submitted for decision. The DAR shall decide the case within 30 days after it is submitted for decision. 3.o.3.f. Upon receipt by the landowner of the corresponding payment or, in case of rejection or no response from the landowner, upon the DEPOSIT with an ACCESSIBLE BANK designated by the DAR of the compensation in CASH or in LBP bonds, the DAR shall take immediate possession of the land and shall REQUEST the proper RODs to issue a TRANSFER CERTIFICATE OF TITLE (TCT) in the name of the Republic of the Philippines, the DAR shall thereafter proceed with the REDISTRIBUTION of the land to the qualified beneficiaries. 3.o.3.g. Any party who disagrees with decision may bring the matter to the court of

proper jurisdiction (SAC) for final determination of just compensation. 3.0.4. VOLUNTARY OFFER TO SELL (VOS) is a scheme wherein landowners came, forward and voluntarily offer the agricultural lands including improvements thereon if any, for coverage regardless of the phasing. The DAR encourages this made because VOS generally ensures the cooperation of the landowners. 3.0.4.a. Landowners other than banks and other financial institutions, who voluntarily offer their lands for sale shall be entitled to an additional five percent (5%) cash payment as incentive; (Sec. 19, RA 6657) 3.0.4.b. Landowners can file their application for VOS either at the DAR Central Office, or any field of the DAR. 3.0.5. VOLUNTARY LAND TRANSFER (VLT)Landowners of agricultural lands subject to acquisition under this Act may enter into a voluntary arrangement for direct transfer of their lands to qualified beneficiaries subject to the following guidelines: a) All notices for voluntary land transfer must be submitted to the DAR within the first year of the implementation of the CARP. Negotiations between the landowners and qualified beneficiaries covering any voluntary land transfer which remain unresolved after one (1) year shall not be recognized and such land shall instead be required by the government and transferred pursuant to this Act. b) The terms and conditions of such transfer shall not be less favorable to the transferee than those of the governments standing offer to purchase from the landowner and to resell to the beneficiaries, if such offers have been made and are fully known to both parties.

6657. 3.o.2.d.OPERATION LAND TRANSFER (OLT) under PD 27 and EO 228; and 3.o.2.e.EXECUTIVE ORDER No. 407, as amended by EO 448, EO 506, AO No. 03, Series of 1996 and AO No. 9, Series of 1997, for lands OWNED BY GOVERNMENT AGENCIES in a proprietary capacity or the pubic A & D lands under their administration by virtue of presidential proclamation. 3.o.3. Procedure for Acquisition of Private Agricultural Lands (Sec 16. RA 6657) COMPULSORY ACQUISITION 3.o.3.a. DAR IDENTIFIES the LAND, the LANDOWNER and the BENEFICIARIES. 3.o.3.b. DAR send NOTICE TO ACQUIRE THE LAND (Offer of the DAR to pay a corresponding value) to the owner thereof, by personal delivery or registered mail, and post the same in a conspicuous place in the municipal bldg. and Barangay Hall of

c) The voluntary agreement shall include sanctions for non-compliance by either party and shall be duly recorded and its implementation monitored by the DAR. (Sec. 20, R.A. 6657) 3.0.5.a. If the VLT/DPS remain unresolved after one (1) year, the land shall be covered under compulsory acquisition. 3.0.5.b. Land titles with existing liens and encumbrances may not be subject of VLT/DPS scheme. (i.e. land mortgaged to banks). This is a ruling made by DAR to simplify VLT/DPS transactions, particularly too facilitate the immediate transfer of title to the ARBs. 3.p. QUALIFIED BENEFICIARIES.- The lands covered by the CARP shall be distributed as much a possible to landless residents of the same barangay, or in the absence thereof, landless resident of the same municipality in the following order of priority:

abandoned their land are disqualified to become beneficiaries under this program. (Par.3, Sec. 22, RA 6657). 3.p.3. A basic qualification of a beneficiary shall be his willingness, aptitude, and ability to cultivate and make the land as productive as possible. The DAR shall adopt a system of monitoring the record or performance of each beneficiary, so that any beneficiary guilty of negligence or misuse of the land or any support extended to him shall forfeit his right to continue as such beneficiary. (Par. 4, Sec. 22, RA 6657). 3.p.4. If, due to the landowners retention rights or to the number of tenants, lessees, or workers on the land, there is not enough land to accommodate any or some of them, they may be granted ownership of other lands available for distribution under this Act, at the option of the beneficiaries. (Par.5, Sec.22, RA 6657) 3.p.5. Farmers already in place and those not accommodated in the distribution of lands from the public domain. (Par.6, Sec.22, RA 6657). 3.p.6. Distribution Limit.- No qualified beneficiary may own more than three (3) hectares of agricultural land. (Sec.23, RA 6657). 3.p.7. Award to Beneficiaries.- The rights and responsibilities of the beneficiary shall commence from the time the DAR makes an award of the land to him, which award shall be completed within one hundred eighty (180) days from the time the DAR takes actual possession of the land. Ownership of the beneficiary shall be evidenced by a Certificate of Land Ownership Award, which shall contain the restrictions and conditions provided for in this Act, and shall be recorded in the Register of Deeds concerned and annotated on the Certificate of Title. (Sec.24, RA 6657).

3.p.8.Award Ceilings for Beneficiaries.- Beneficiaries shall be awarded an area not exceeding three (3) hectares, which may cover a contiguous tract of land or several parcels of land comulated up to the prescribed award limits. For purposes of this Act, a landless beneficiary is one who owns, less than three (3) hectares of agricultural land. The beneficiaries may opt for collective ownership, such as co-ownership or farmers cooperative or some other form of collective organization: Provided, That the total area that may be awarded shall not exceed the total number of co-owners or members of the cooperative or collective organization multiplied by the award limit above prescribed, except in meritorious cases as determined by the PARC. Title to the property shall be issued in the name of the co-owners or the cooperative or collective organization as the case may be. (Sec. 25, RA 6657). 3.p.9.Payment by Beneficiaries.- Lands awarded pursuant to this Act shall be paid for the beneficiaries to the LBP in thirty (30) annual amortizations at six percent (6%) per annum. The payments for the first three (3) years after the award may be at reduced amounts as established by the PARC: Provided, That the first five (5) annual payments may not be more than five percent (5%) of the value of the annual gross production as established by the DAR. Should the scheduled annual payments after the fifth year exceed ten percent (10%) of the annual gross production and the failure to produce accordingly is not due to the beneficiarys fault, the LBP may reduce the interest rate or reduce the principal obligation to make the repayment affordable. The LBP shall have a lien by way of mortgage on the land awarded to the beneficiary; and this mortgage may be foreclosed by the LBP for non-

a) b) c) d) e) f) g)

agricultural lessees and share tenants; regular farmworkers; seasonal farmworkers; other farmworkers; actual tillers or occupants ofpublic lands; collectives or cooperatives of the above beneficiaries; and others directly working on the land. (Par. 1, Sec. 22, RA 6657)

3.p.1.The children of landowners who are qualified under Sec. 6 of this Act shall be given preference in the distribution of the land of their parents; And, further, that actual tenant-tillers in the landholding shall be ejected or removed therefrom. (Par. 2, Sec.22, RA 6657). 3.p.2. Beneficiaries under Presidential Decree No. 27 who have culpably sold, disposed of, or

payment of an aggregate of three (3) annual amortizations. The LBP shall advise the DAR of such proceedings and the latter shall subsequently award the forfeited landholding to other qualified beneficiaries. A beneficiary whose land, as provided herein, has been foreclosed shall thereafter be permanently disqualified from becoming a beneficiary under this Act. (Sec.26, RA 6657). 3.p.10. Transferability of Awarded Lands. - lands acquired by beneficiaries under this Act may not be sold, transferred or conveyed except through hereditary succession, or to the government, or to the LBP, or to other qualified beneficiaries for a period of ten (10) years; Provided, however, That the children or the spouse of the transferor shall have a right to repurchase the land from the government or LBP within the period of two (2) years. Due notice of the availability of the land shall be given by the LBP to he Barangay Agrarian reform Committee (BARC) of the barangay where the land is situated. The Provincial Agrarian reform coordinating Committee (PARCCOM), as herein provided, shall, in turn, be given due notice thereof by the BARC. If the land has not yet been fully paid by the beneficiary, the rights to the land may be transferred or conveyed, with prior approval of the DAR, to any heir of the beneficiary or to any other beneficiary who, as a condition for such transfer or conveyance, shall cultivate the land himself. Failing compliance herewith, the land shall be transferred to the LBP which shall give due notice of the availability of the land in the manner specified in the immediately preceding paragraph. In the event of such transfer to the LBP, the latter shall compensate the beneficiary in one lump sum for the amounts the latter has already paid, together with the value of improvements he has made on the land.(Sec. 27, RA 6657).

where: 3.Q. JUST COMPENSATION- Defined as fair market value. It is the price which the buyer pays without coercion and a seller accepts without compulsion. (Supreme Court Rulings) 3.Q.1.Land valuation is not an exact science but an exercise fraught with inexact estimates. This requires integrity, conscientiousness and prudence on the part off those responsible for determining its value. What is important ultimately is that the land value approximates as closely as possible, what is broadly considered by the community to be just. (A.O. 06, Series of 1992). 3.Q.2.Payment can be partly in cash and partly in bonds. 3.Q.3.Factors/Criteria considered in determining just compensation: 1. Cost of Acquisition of the land; 2. Current Value of like properties; 3. Nature of the land; 4. Actual use; 5. Income; 6. Sworn valuation by the landowner; 7. Tax Declaration; 8. Assessment made by government assessors; 9. The social and economic benefits contributed by the farmers, and 10.Non-payment of taxes or loans secured from any government financing institution on the land. 3.Q.4. Basic Formula for the valuation of lands covered by VOS and CA LV = Land Value CNI = Capitalized Net Income CS = Comparable Sales MV = Market Value per Tax Declaration 3.Q.5. Executive Order No. 405 dated 14 June 1990 transferred the responsibility for land valuation from DAR to the LBP. 3.Q.6. The final determination of just compensation is a judicial function. The LBP merely conducts administrative valuation which may be contested in the court of proper jurisdiction . (Magana vs. Paitan, G.R. No. 60269, dated 13 September 1990). 3.Q.7. Cash portion shall vary according to the size of the landholdings. The larger the landholding, the smaller the cash portion. The underlying principle is that small land owners are presumed to have greater need for cash to aid them in their bid to shift their capital from agriculture to industry. Payment shall be under the following terms and conditions:

a) Lands above 50 has. 25% cash; 75% b) c)


bonds; Lands above 24-50 has. 30% cash; 70% bonds; Lands 24 has. and below 35% cash; 65% bonds

Cash portion is increased by 5% for VOS. 3.Q.8.What the features of the new LBP bonds? a. This means bondholders can only get principal at the end of 25 years. On otherhand, the new LBP bonds mature in years, and one-tenth of the face value of the the ten the

LV = (CNI x 0.6) + (CS x 0.3) + (MV x 0.1)

new bonds matures every year from date of issue until the tenth year.

Payment for tuition of the immediate

b. The new LBP bonds also bear market rates of


interest the same as those of 91-day treasury bills. Old LBP bonds have a fixed six percent (6%) interest rate.

family of the original landholder in government universities, colleges, trade schools, and other institutions;

the same manner and subject to the same penalties in the Rules of Court. Responsible farmer leaders shall be allowed to represent themselves, their fellow farmers, or their organizations in any proceedings before the DAR: Provided, however, That when there are two or more representatives for any individual or group, the representatives should choose only one among themselves to represent such party or group before any DAR proceedings. (Sec. 50, RA 6657). 3.R.2.Agrarian Law Implementation Cases- The Adjudicator or the Board shall have no jurisdiction over matters involving the administrative implementation of RA No. 6657, otherwise known as the Comprehensive Agrarian Reform Law (CARL) of 1988 and other agrarian laws as enunciated by pertinent rules and administrative orders, which shall be under the exclusive prerogative of and cognizable by the Office of the Secretary of the DAR in accordance with his issuances, to wit: 3.1 Classification and identification of landholdings for coverage under the agrarian reform program and the initial issuance of CLOAs and EPs, including protests or oppositions thereto and petitions for lifting of such coverage; 3.2 Classification, identification, inclusion, exclusion, qualification, or disqualification of potential/actual farmer-beneficiaries; Subdivision surveys of land under CARP; Recall, or cancellation of provisional lease rentals, Certificates of Land Transfers (CLTs) and CARP Beneficiary Certificates (CBCs) in cases outside the purview of Presidential Decree (PD) No. 816, including the issuance, recall, or cancellation of EPs

Payment of bills in public hospitals; and Other uses as the PARC may allow from
time to time. 3.R. ADMINISTRATIVE ADJUDICATION 3.R.1.Quasi-Judicial Powers of the DAR The DAR is hereby vested with primary jurisdiction to determine and adjudicate agrarian reform matters and shall have exclusive original jurisdiction over all matters involving the implementation of agrarian reform, except those falling under the exclusive jurisdiction of the Department of Agriculture (DA) and the Department of Environment and Natural Resources (DENR). It shall not be bound by technical rules of procedures and evidence but shall proceed to hear and decide all cases, disputes or controversies in a most expeditious manner, employing all reasonable means to ascertain the facts of every case in accordance with justice and equity and the merits of the case: Toward this end, it shall adopt a uniform rule or procedure to achieve a just expeditious and inexpensive determination of every action or proceeding before it. It shall have the power to summon witnesses, administer oaths, take testimony, require submission of reports, compel the production of books and documents and answers to interrogatories and issue subpoena, and subpoena duces tecum and to enforce its writs through sheriffs or other duly deputized officers. It shall like wise have the power to punish direct and indirect contempts in

c. Finally, these bonds have alternative uses.


They may be used by the landowner, his successors in interest, or his assignees, for any of the following:

Acquisition

of land or other real properties of the government, including assets under the Asset Privatization Trust, and other assets foreclosed by the government financial institutions;

Acquisition of shares of stock of


government owned or controlled corporations, or shares of stocks owned by government in private corporations;

Substitution for surety or bail bonds for


the provisional release of accused persons, or for performance bonds;

Security for loans with some government


financial institutions, provided the proceeds are invested in an economic enterprise, preferably in a small and medium scale industry;

Payment for various taxes and fees to


government, up to a certain percentage of the outstanding balance of the financial instrument, and provided further that the PARC shall have determined the allowable percentage mentioned;

3.3 3.4

or CLOAs not yet registered with the Register of Deeds; 3.5 Exercise of the right of retention by the landowner; Application for exemption from coverage under Section 10 of RA 6657; Application for exemption pursuant to Department of Justice (DOJ) Opinion No. 44 (1990); Exclusion from CARP coverage of agricultural land used for livestock, swine, and poultry raising; Cases of exemption/exclusion of fish pond and prawn farms from the coverage of CARP pursuant to RA 7881;

3.6

3.7

3.16 Such other agrarian cases, disputes, matters or concerns referred to it by the Secretary of the DAR.( A.O. No. 6, Series of 2000 and Sec. 3, Rule II, 2003 Rules of Procedure (DARAB). 3.R.3.Primary and Exclusive Original Jurisdiction of the DAR Adjudication Board (DARAB) - The Adjudicator shall have primary and exclusive original jurisdiction to determine and adjudicate the following cases: 1.1 The rights and obligations of persons, whether natural or juridical, engaged in the management, cultivation, and use of all agricultural lands covered by Republic Act (RA) No. 6657, otherwise known as the Comprehensive Agrarian Reform Law (CARL), and other related agrarian laws; 1.2 The preliminary administrative determination of reasonable and just compensation of lands acquired under Presidential Decree (PD) No. 27 and the Comprehensive Agrarian Reform Program (CARP); 1.3 The annulment or cancellation of lease contracts or deeds of sale or their amendments involving lands under the administration and disposition of the DAR or Land Bank of the Philippines (LBP); 1.4 Those cases involving the ejectment and dispossession of tenants and/or leaseholders; 1.5 Those cases involving the sale, alienation, preemption, and redemption of agricultural lands under the coverage of the CARL or other agrarian laws; 1.6 Those involving the correction, partition, cancellation, secondary and subsequent issuances of Certificates of Land Ownership Award (CLOAs) and Emancipation Patents

(EPs) which are registered with the Land Registration Authority; 1.7 Those cases involving the review of leasehold rentals; 1.8 Those cases involving the collection of amortizations on payments for lands awarded under PD No. 27, as amended, RA No. 3844, as amended, and RA No. 6657, as amended, and other related laws, decrees, orders, instructions, rules, and regulations, as well as payment for residential, commercial, and industrial lots within the settlement and resettlement areas under the administration and disposition of the DAR; 1.9 Those cases involving the annulment or rescission of lease contracts and deeds of sale, and the cancellation or amendment of titles pertaining to agricultural lands under the administration and disposition of the DAR and LBP; as well as EPs issued under PD 266, Homestead Patents, Free Patents, and Miscellaneous Sales Patents to settlers in settlement and re-settlement areas under the administration and disposition of the DAR; 1.10 Those cases involving boundary disputes over lands under the administration and disposition of the DAR and the LBP, which are transferred, distributed, and/or sold to tenant-beneficiaries and are covered by deeds of sale, patents, and certificates of title; 1.11 Those cases involving the determination of title to agricultural lands where this issue is raised in an agrarian dispute by any of the parties or a third person in connection with the possession thereof for the purpose of preserving the tenure of the agricultural lessee or actual tenant-farmer or farmerbeneficiaries and effecting the ouster of the

3.8

3.9

3.10 Issuance of Certificate of Exemption for land subject of Voluntary Offer to Sell (VOS) and Compulsory Acquisition (CA) found unsuitable for agricultural purposes; 3.11 Application for conversion of agricultural land to residential, commercial, industrial, or other non agricultural uses and purposes including protests or oppositions thereto; 3.12 Determination of the rights of agrarian reform beneficiaries to homelots; 3.13 Disposition of excess area of the tenants/farmer-beneficiarys landholdings; 3.14 Increase in area of tenant/farmer-beneficiary; tillage of a

3.15 Conflict of claims in landed estates administered by DAR and its predecessors; or

interloper or intruder in one and the same proceeding; and 1.12 Those cases previously falling under the original and exclusive jurisdiction of the defunct Court of Agrarian Relations under Section 12 of PD No. 946 except those cases falling under the proper courts or other quasi-judicial bodies; 1.13 Such other agrarian cases, disputes, matters or concerns referred to it by the Secretary of the DAR. (Sec.1, Rule II, 2003 Rules of Procedure (DARAB).

3.S. JUDICIAL REVIEW (Chapter XIII, RA 6657) 3.S.1.Certiorari - Any decision, order, award or ruling of the DAR on any agrarian dispute or on any matter pertaining to the application, implementation, enforcement, or interpretation of this Act and other pertinent laws on agrarian reform may be brought to the Court of Appeals by certiorari except as otherwise provided in this Act within fifteen (15) days from the receipt of a copy thereof. The findings of fact of the DAR shall be final and conclusive if based on substantial evidence. (Sec.54, RA 6657).

compensation to landowners, and the prosecution of all criminal offenses under this Act. The Rules of Court shall apply to all proceedings before the Special Agrarian Courts, unless modified by this Act. The Special Agrarian Courts shall decide all appropriate cases under their special jurisdiction within thirty (30) days from submission of the case for decision.(Sec.57,RA 6657).

3.R.4. Certification of the BARC - The DAR shall not take cognizance of any agrarian dispute or controversy unless a certification from the BARC that the dispute has been submitted to it for mediation and conciliation without any success of settlement is presented: Provided, however, that if no certification is issued by the BARC within thirty (30) days after a matter or issue is submitted to it for mediation or conciliation the case or dispute may be brought before the PARC.(Sec. 53, RA 6657). 3.R.5. Finality of Determination Any case or controversy before it shall be decided within thirty (30) days after it is submitted for resolution. Only one (1) motion for reconsideration shall be allowed. Any order, ruling or decision shall be final after the lapse of fifteen (15) days from receipt of a copy thereof. (Sec.51, RA 6657). 3.R.6.Frivolous Appeal To discourage frivolous or dilatory appeals from the decisions or order on the local or provincial levels, the DAR may impose reasonable penalties, including but not limited to fines or censures upon erring parties. (Sec. 52, RA 6657).

3.S.2.Special Agrarian Court - The Supreme Court shall designate at least one (1) branch of the Regional Trial Court (RTC) within each province to act as a Special Agrarian Court. The Supreme Court may designate more branches to constitute such additional Special Agrarian Courts as may be necessary to cope with the number of agrarian cases in each province. In the designation, the Supreme Court shall give preference to the Regional Trial Courts which have been assigned to handle agrarian cases or whose presiding judges were former judges of the defunct Court of Agrarian Relations. The Regional Trial Court (RTC) judges assigned to said courts shall exercise said special jurisdiction in addition to the regular jurisdiction of their respective courts. The Special Agrarian Courts shall have the powers and prerogatives inherent in or belonging to the Regional Trial Courts. (Sec. 56, RA 6657). 3.S.3.Special Jurisdiction of the Special Agrarian Courts - The Special Agrarian Courts shall have original and exclusive jurisdiction over all petitions for the determination of just

3.S.4.Orders of the Special Agrarian Courts - No order of the Special Agrarian Courts on any issue, question, matter or incident raised before them shall be elevated to the appellate courts until the hearing shall have been terminated and the case decided on the merits. (Sec.59, RA 6657).

3.S.5.Appeals - An appeal may be taken from the decision of the Special Agrarian Courts by filing a petition for review with the Court of Appeals within fifteen (15) days after receipt of notice of the decision; otherwise, the decision shall become final. An appeal from the decision of the Court of Appeals, or from any order, ruling or decision of the DAR, as the case may be, shall be by a petition for review with the Supreme Court within a non-extendible period of fifteen (15) days from receipt of a copy of said decision. (Sec.60,RA 6657).

3.S.6.Procedure on Review - Review by the Court of Appeals or the Supreme Court, as the case may be, shall be governed by the Rules of Court. The Court of Appeals, however, may require the parties to file simultaneous memoranda within a period of fifteen (15) days from notice, after which

the case is deemed submitted for decision. (Sec. 61, RA 6657).

3.T.A.1.Ownership and Possession of Lands, beyond allowable limits The ownership or possession, for the purpose of circumventing the provisions of this Act, of agricultural lands in excess of the total retention limits or award ceiling by any person, natural or juridical, except those under collective ownership by farmer-beneficiaries,(Sec.73 (a),RA 6657). 3.T.A.2.Prohibited Sale, Transfer, Conveyance or Change in the nature of the land. The sale, transfer, conveyance or change of the nature of lands outside of urban centers and city limits either in whole or in part after the effectivity of this act. The date of the registration of the deed of conveyance in the Register of Deeds with respect to titled lands and the date of the issuance of the tax declaration to the transferee of the property with respect to unregistered lands, as the case may be, shall be conclusive for the purpose of this Act. (Sec.73(e),RA 6657). 3.T.A.3.Illegal/Premature/Unauthorized Conversion The conversion by any landowner of his agricultural land into any non-agricultural use with intent to avoid the application of this Act to his landholdings and to dispossess his tenant farmers of the land tilled by them. (Sec.73, RA 6657). 3.T.B.Prohibited Acts and Omissions by Beneficiaries under RA 6657 3.T.B.1.Sale, Transfer, Conveyance Acquired as a Beneficiary of Rights

by virtue of being a beneficiary, in order to circumvent the provisions of this Act. (Sec.73 (f),RA 6657). 3.T.B.2.Misuse or Diversion of Financial Aid and Support Services. This will result to sanction against the guilty beneficiary including the forfeiture of the land transferred to him or lesser sanction as may be provided by PARC without prejudice to criminal prosecution. (DAR MC 19, 1996) 3.T.B.3. Misuse of the Land The DAR shall adopt a system of monitoring the record or performance of each beneficiary, so that any beneficiary guilty of negligence or misuse of the land or any support extended to him shall forfeit his right to continue as such beneficiary. (Par.4, Sec.22, RA 6657). 3.T.B.4.Continuous Neglect or Abandonment of Awarded Lands. Beneficiaries under Presidential Decree No. 27 who have culpably sold, disposed of, or abandoned their land are disqualified to become beneficiaries under this Program. (Par.3, Sec.22, RA 6657). Neglect or abandonment is defined as the "willful failure of the ARB", together with his farm household, to cultivate, till, or develop his land to produce any crop, or to use the land for any specific economic purpose continuously for a period of two calendar years."(DAR A.O. 2 (1994) 3.T.B.5.Default and Failure in the Payment of amortization to Landowners.

3.S.7.Preferential Attention in Courts - All courts in the Philippines, both trial and appellate, shall give preferential attention to all cases arising from or in connection with the implementation of the provisions of this Act. All cases pending in court arising from or in connection with the implementation of this Act shall continue to be heard, tried and decided into their finality, notwithstanding the expiration of the ten-year period mentioned in Section 5 hereof. (Sec.62, RA 6657).

3.S.8.No Restraining Order or Preliminary Injunction - No court in the Philippines shall have jurisdiction to issue any restraining order or writ of preliminary injunction against the PARC or any of its duly authorized or designated agencies in any case, dispute or controversy arising from, necessary to, or in connection with the application, implementation, enforcement, or interpretation of this Act and other pertinent laws on agrarian reform. (Sec.55,RA 6657).

3.S.9.Immunity of Government Agencies from Undue Interference No injunction, restraining order, prohibition or mandamus shall be issued by the lower courts against the Department of Agrarian Reform (DAR), the Department of Agriculture (DA), the Department of Environment and Natural Resources (DENR), and the Department of Justice (DOJ) in their implementation of the program. (Sec.68, RA 6657). 3.T.A.Prohibited Acts and Omissions by Landowners under RA 6657 (Sec. 73, RA 6657)

The sale, transfer or conveyance by a beneficiary of the right to use or any other usufructuary right over the land he acquired

"Default in the obligation of the ARBs to pay the aggregate of three (3) consecutive amortizations to the landowner in the case of awarded lands under voluntary land transfer/direct payment scheme, except in cases of fortuitous events and force majeure" is administrative sanctioned. (Part I, item A (1) of DAR MC 19 (1996) in relation to Sec. 26, RA 6657) 3.T.B.6.Failure to pay Amortization to LBP The failure to pay amortizations to LBP is penalized under DAR MC 19 (1996) which states that "failure of the ARBs to pay at least three (3) consecutive amortizations to the LBP in the case of awarded lands under Compulsory Acquisition (CA) or Voluntary Offer to Sell (VOS), except in the case of fortuitous events and force majeure."

3.T.C. Prohibited Acts and Omissions by other Persons under RA 6657 3.T.C.1.Forcible Entry and Unlawful Detainer The forcible entry or illegal detainer by persons who are not qualified beneficiaries under this Act to avail themselves of the rights and benefits of the Agrarian Reform Program.(Sec 73(b), RA 6657). 3.T.C.2.Obstruction and Prevention of CARP Implementation The willful prevention or obstruction by any person, association or entity of the implementation of the CARP.(Sec. 73(d), RA 6657). 3.U. Penalties for the violation of the provision of RA 6657 Any person who knowingly or willfully violates the provisions of this Act shall be punished by imprisonment of not less than one (1) month to not more than three (3) years or a fine of not less than one thousand pesos (P1,000.00) and not more than fifteen thousand pesos (P15,000.00), or both, at the discretion of the court. If the offender is a corporation or association, the officer responsible therefor shall be criminally liable. (Sec. 74, RA 6657). 3.V. Effectivity Clause: This Act (RA 6657) shall take effect immediately after publication in at least two (2) national newspaper of general circulation. Approved: June 10, 1988 Effectivity: June 15, 1988

3.T.B.7. Waiver of Rights to Awarded Lands The waiver of rights to awarded lands by a beneficiary as an administrative offense. (Part I, Item A, No. 9 of MC 19 (1996). 3.T.B.8. FBs Surrender of Awarded Lands to Landowner or other Non ARBs. The surrender by a beneficiary of his awarded lands to landowner or other nonARBs, is penalized under part I, item A (10) of MC 19 (1996). 3.T.B.9.Material Misrepresentation Qualification by the Beneficiary of

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