September 8, 1999
DAR OPINION NO. 42-99
MR. ANDRES YORO
President, Camarin Village Association
Phase 7-C, Pkg. XI, Block 28 Lot 35
Bagong Silang, Kalookan City
Dear Mr. Yoro:
This refers to your letter dated 18 February 1999 requesting opinion on the following agrarian issues relative to the farms located in the municipalities of Pio V. Corpus and Esperanza, province of Masbate under the names of Casabangan Farm Corporation and Mercedes Larrazabal:
1. Whether or not these farms primarily used as a pasture land can be covered under the Comprehensive Agrarian Reform Program.
2. Whether or not these farms can be the subject of reversion pursuant to the pertinent provisions of the Public Land Act.
3. Whether or not these farms may be exempted from the coverage of Comprehensive Agrarian Reform Program (CARP) based on the Supreme Court Ruling in Luz Farms vs. The Secretary of Agrarian Reform.
Anent your first query, a verification of the records on file at the Office of the Undersecretary for Field Operations and Support Services (FOSSO) of this Department reveals that the subject farm is indeed devoted to cattle raising in commercial scale.
DAR Administrative Order No. 9, Series of 1993 pertinently provides, quote:
"III. POLICY STATEMENT
A. Private agricultural lands or portions thereof exclusively, directly and actually used for livestock, poultry and swine raising as of June 15, 1988 shall be excluded from the coverage of CARP.
B. In determining the areas qualified for exclusion under this Administrative Order, the following ratios of land, livestock, poultry and swine raising shall be adopted.
1.0 Grazing
1.1 Cattle, Carabao and Horse Raising
— cattle; carabao and horses (regardless of age) — the maximum ratio is one (1) head to one (1) hectare."
If the subject farms conform with the requirements prescribed by the above-quoted Administrative Order, the same shall be exempted from CARP coverage, after the landowner has duly applied for exemption and such has been adjudicated on the merits to be indeed exempt from CARP coverage.
Anent your second query, the law which governs reversion of ownership of a parcel of land to the Republic of the Philippines is Section 122 of the Public Land Act. Under the said law, reversion is not automatic. The government, if there is legal and factual basis therefor, has to initiate an action to cancel the patent and certificate of title in order that the land involved may be reverted to it (Villacorta vs., Olanday, 73 Phil. 655).
Anent your third query, from the facts presented and evaluation of the records on file, the subject property is actually devoted to commercial livestock raising. Under the clear pronouncement of the Supreme Court in Luz Farms vs. the Honorable Secretary of Agrarian Reform, G.R. No. 86889, Dec. 4, 1990, Sec. 11 of R.A. No. 6657, which includes private agricultural lands devoted to commercial livestock, poultry and swine raising in the definition of commercial farm, is invalid to the extent that the aforecited agro-industrial activities are made to be covered by the agrarian reform program of the State. Said Supreme Court Ruling excludes livestock and poultry lands from the coverage of agrarian reform. Accordingly, in the light of said Ruling and DAR Administrative Order No. 9, Series of 1993, the subject landholding, upon proper application and due issuance of a DAR exemption clearance could be considered as outside the ambit of the agrarian reform program.
Furthermore, it is apparent that the landholding you are referring to is the same one discussed in DAR Opinion No. 26, Series of 1999, and the issues raised therein appear to be related to the matters being raised in your inquiry, thus, we deem it proper to furnish you with a copy thereof for your guidance.
Thank you for communicating with us and we hope to have clarified the matters with you.
Very truly yours,
(SGD.) DANILO T. LARA
Undersecretary for Legal Affairs, and Policy and Planning
Copy furnished:
PARO Mildred S. Marcaida
DAR Provincial Office
Nursery St., Masbate
Masbate
The Municipal Agrarian Reform Officer
DAR-Municipal Office
Pio V. Cruz, Masbate
The Municipal Agrarian Reform Officer
DAR-Municipal Office
Esperanza, Masbate