December 13, 1996

DAR OPINION NO. 121-96

Mr. Jose Alex R. Valles

Legal Officer II

DAR Provincial Office

Mati, Davao Oriental

Dear Mr. Valles:

This refers to your request for opinion on the correct interpretation and application of Section 6, paragraph 2 of R.A. 6657. Specifically, you wish to be clarified whether a tenant who opts to be a beneficiary in one landholding, forfeits his right to remain as leaseholder in another landholding.

Applicable to the situation is Section 6 of R.A. 6657, as implemented by Administrative Order No. 11, Series of 1990, which provides, among others, that "the right to choose the area to be retained, which shall be compact and contiguous, shall pertain to the landowner: Provided, however, that in case the area selected for retention by the landowner is tenanted, the tenant shall have the option to choose whether to remain therein or be a beneficiary in the same or another agricultural land with similar or comparable features. In case the tenant chooses to remain in the retained area, he shall be considered a leaseholder and shall lose his right to be beneficiary under this Act. In case the tenant chooses to be a beneficiary in another agricultural land, he loses his right as a leaseholder to the land retained by the landowner. The tenant must exercise this option within a period of one (1) year from the time the landowner manifests his choice of the area for retention." In other words, should the tenant avail of one, he loses his right to avail of the other.

In view thereof, we answer your query in the affirmative.

We hope to have clarified the matter with you.

Very truly yours,

(SGD.) LORENZO R. REYES

OIC-Undersecretary
LAFMA