Facts: Petitioner Romeo Caluzor alleges that Lorenzo Llanillo took him as a tenant, giving him (Caluzor) a sketch of the the land he will be cultivating. Even after the death of Lorenzo, Caluzor continued giving Lorenzos share to his overseer, Martin Ricardo. In 1990, Deogracias Llanillo, son of Lorenzo, offered to pay Caluzor P17,000 per hectare of the cultivated land in exchange for turning his (Caluzors) tillage over to Deogracias. However, no payment was made and instead, Caluzor was ejected from the land. Efforts before the Barangay Agrarian Reform Council proved futile which gave authority to Caluzor to file the instant case. Before the PARAD Petitioner prayed for the restoration of land to his possession and prayed for the payment of disturbance compensation. On the other hand, Deogracias denied any tenancy relationship existed between him and Caluzor; he presented several documents, among which are the master list of tenants and landowners, and a letter for requesting a change in the classification of the land. Meanwhile, DAR granted the application of the land from agricultural to residential and commercial use filed by Deogracias through his attorney-in-fact, Moldex. PARAD ultimately dismissed the complaint. It ruled that petitioner failed to adduce evidence that the landowner gave his consent for Caluzor to become tenant of the land. Caluzor failed to present evidence he has a leasehold contract, and that any receipt of payment for his alleged leasehold rentals. It is a well settled doctrine that mere cultivation without proof of tenancy conditions does not suffice to establish tenancy relations. Before the DARAB Caluzor appealed to the DARAB, and the latter ruled in favour of Caluzor. It held that the institution of Caluzor as tenant in the land and sharing of the produce sufficiently established tenancy relationship between them. The subsequent conveyance of the land to the heirs does not extinguish Caluzors right to till the land (See Section 10, Agricultural leasehold relation not extinguished by expiration of period, etc.). Before the Court of Appeals Deogracias and Moldex appealed the decision of the DARAB. The CA revised the ruling of the DARAB and reinstated the decision of PARAB. It held that the application for conversion of land was granted because the land is no longer suitable for agricultural production, the property has been classified as residential/ commercial, and MARO, PARO, RD, CLUPPI) recommended the approval. In fact, subject land is not a developed subdivision. There can be no agricultural tenant on a residential land. With regards the disturbance compensation, the records are bereft of evidence showing that Caluzor is tenant of Llanillo. Hence, this recourse to the Supreme Court. Issue: Whether a tenancy relationship exists between Caluzor and Llanillo. Ruling: There is no tenancy relationship between Caluzor and Llanillo. Tenancy relationship and entitlement to disturbance compensation requires factual and legal bases. Section 5 provides that a tenant shall mean a person who, himself and with the aid available from his immediate farm household cultivates the land belonging to, or
possessed by another, with the latters consent for purposes of
production, sharing the produce with the landholder under the share tenancy system, or paying to the landholder a price certain or ascertainable in produce or in money or both, under the leasehold tenancy system. The following elements must concur: (PACPPH) 1, the parties are the landowner and tenant; 2, the subject matter is agricultural land; 3, there is consent between the parties and the relationship; 4, the purpose of the relationship is to bring about agricultural production; 5, there is personal cultivation on the part of the tenant or agricultural lessee; 6, the harvest is shared between landowner and tenant or agricultural lessee. The absence of one will not make an alleged tenant a de jure tenant. Unless a person has established that he is a de jure tenant, he is not entitled to security of tenure or to be covered by the land reform program. In establishing tenancy relationship, independent evince should prove the consent of the landowner to the relationship and the sharing of the harvest. In this case, the third and sixth elements are not present. Caluzor testified that Lorenzo allowed him to cultivate the land by giving to him (Caluzor) the sketch of the lot in order to delineate the portion of his tillage. Yet, the sketch did not establish that Lorenzo had categorically taken the petitioner as his agricultural tenant. This element (consent) demanded that the landowner and tenant should have agreed to the relationship freely and voluntarily, with neither of them unduly imposing his will on the other. In this case, there is no showing of such consent. Even assuming that Lorenzo permitted Caluzor to till the land, there is still no tenancy relationship established because they had not discussed any fruit sharing scheme, with Lorenzo simply telling him that he would just ask his share from Caluzor. Petitioner disclosed that he did not see Lorenzo after he received the sketch and until Lorenzos death. Although he still continued sharing the fruits through Ricardo evidenced by a list of produce to support his claim, the list did not indicate Ricardos receiving the fruits listed. It did not also contain Ricardos authority to receive Lorenzos share. The absence of the clear cut sharing agreement between Caluzor and Lorenzo could only signify that the latter merely tolerated Caluzors cultivation sans tenancy. It did not make him de jure tenant. There must be concrete evidence on record adequate to prove the element of sharing. To prove sharing of harvests, a receipt or any other credible evidence must be presented. Tenancy relationship cannot be presumed. Leasehold tenancy is not brought about by mere congruence of facts but, being a legal relationship, the mutual will of the parties to that relationship should be primordial. To be entitled to disturbance compensation, one should be a de jure tenant. The de jure tenant should allege and prove (1) the cost and expenses incurred in the cultivation, planting, or harvesting and other expenses incidental to the improvement of his crop and (2) necessary and useful improvements made in cultivationg the land.