September 27, 2000

DAR OPINION NO. 21-00

Engr. Edwin M . Amella

Municipal Agrarian Reform Office

Banisilan, Cotabato

Dear MARO Amella:

This refers to your letter dated 25 May 2000 seeking opinion on whether or not lands awarded by the Department of Agrarian Reform with Certificates of Land Ownership Award (CLOAs) already issued to farmer-beneficiaries can be the subject of Voluntary Offer to Sell (VOS) back to the government.

As culled from your letter, homestead patents and CLOAs covering, more or less, eight (8) hectares of land at the resettlement project in Banisilan, Cotabato had already been issued to farmer-beneficiaries as early as 1989; that one of the conditions annotated on said titles is the prohibition to sell, transfer or convey except through hereditary succession, or to the government, or to the LBP, or to other qualified beneficiaries for a period of ten (10) years pursuant to Section 27 of R.A. No. 6657; and, that since these titles are already more than ten (10) years old from issuance and some of the farmer-beneficiaries do not have any heir to succeed, they are now contemplating to sell said awarded lands back to the government through Voluntary Offer to Sell.

Section 27 of R.A. No. 6657 pertinently provides, quote:

"SECTION 27.         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 a period of two (2) years. . . ." (emphasis supplied)

The above provision of law allows the transfer of awarded lands to the government even within the 10-year prohibitory period. It follows, therefore, that said lands may likewise be transferred to the government after the 10-year prohibitory period for eventual distribution to other qualified beneficiaries. However, strictly speaking, such transfer should not be termed as VOS as contemplated under Section 19 of R.A. No. 6657 and related laws and guidelines on VOS.

Section II.A.5 of DAR Administrative Order No. 01, series of 1989, pursuant to Section 27 of R.A. No. 6657, further provides:

"The following transactions are valid:

xxx                      xxx                      xxx

5.      Those executed after ten (10) years from the issuance and registration of the Emancipation Patent or Certificate of Land Ownership Award."

It should be noted, however, that an awardee who shall dispose of his/her landholding shall no longer be qualified to become a beneficiary under CARP (Item II.9, DAR Administrative Order No. 8, series of 1995).

We hope to have clarified the matter with you.

Very truly yours,

(SGD.) FEDERICO A. POBLETE

Undersecretary for Legal Affairs, and Policy and Planning

Copy furnished:

PARO Marion Abella

DAR Provincial Office

New Kidapawan Hardware Bldg.

Quezon Blvd., Kidapawan City