Lubrica Vs Land Bank
Lubrica Vs Land Bank
Lubrica Vs Land Bank
JURISPRUDENCE:
In determining just compensation, the cost of the acquisition of the land, the current value of like
properties, its nature, actual use and income, the sworn valuation by the owner, the tax declarations,
and the assessment made by government assessors shall be considered.
Facts:
Petitioners own parcels of agricultural lands in Mindoro Occidental which were placed
under land reform pursuant to PD 27. Thereafter subdivided and distributed to farmer
beneficiaries.
Petitioners rejected Land Bank’s valuation of their properties, hence the PARAD
conducted summary proceedings for determination of just compensation and PARAD
fixed the preliminary just compensation at P51,800,286.43 for the 311.7682 hectares
(TCT No. T-31) and P21,608,215.28 for the 128.7161 hectares. However, LBP not
satisfied with the valuation filed for judicial determination of just compensation before
RTC. RTC ordered LBP to deposit the amounts provisionally determined by the PARAD
as there is no law which prohibits LBP to make a deposit pending the fixing of the final
amount of just compensation. On June 17, 2003, LBP filed with the Court of Appeals
and issued 60 day Temporary Restraining Order (TRO). On May 26, 2004, The CA
rendered decision in favor of the petitioner and the instant petition is denied. However,
LBP moved for reconsideration, which was granted, and the May 26, 2004 decision was
hereby VACATED, ABANDONED. The CA, in its Amended Decision, held that the
immediate deposit of the preliminary value of the expropriated properties is improper
because it was erroneously computed. Citing Gabatin v. Land Bank of the Philippines,
Issue:
Whether or not the court a quo has decided the case in a way not in accord with the
latest decision of the Supreme Court in the case of Land Bank of the Philippines vs.
Hon. Eli G.C. Natividad, et al., G.R. No. 127198, prom. May 16, 2005
Held:
YES. The Natividad case reiterated the Court’s ruling in Office of the President v. Court
of Appeals that the expropriation of the landholding did not take place on the effectivity
of P.D. No. 27 on October 21, 1972 but seizure would take effect on the payment of just
compensation judicially determined.
In the instant case, petitioners were deprived of their properties in 1972 but have yet to
receive the just compensation therefor. The parcels of land were already subdivided
and distributed to the farmer-beneficiaries thereby immediately depriving petitioners of
their use. Under the circumstances, it would be highly inequitable on the part of the
petitioners to compute the just compensation using the values at the time of the taking
in 1972, and not at the time of the payment, considering that the government and the
farmer-beneficiaries have already benefited from the land although ownership thereof
have not yet been transferred in their names. Petitioners were deprived of their
properties without payment of just compensation which, under the law, is a prerequisite
before the property can be taken away from its owners. The transfer of possession and
ownership of the land to the government are conditioned upon the receipt by the
landowner of the corresponding payment or deposit by the DAR of the compensation
with an accessible bank. Until then, title remains with the landowner.
Hence, petition is hereby GRANTED. The amended decision of CA is REVERSED and
SET ASIDE.
Roderico U Bongoyan
JD-2