December 14, 1999
DAR OPINION NO. 76-99
MS. VICTORIA P. CABRAL
No. 31 Hulo, Meycauayan
Bulacan
Dear Ms. Cabral:
This refers to your letter dated 23 February 1999 requesting for opinion regarding the sale made by Sps. Alejandro and Esperanza Berboso in 1994 (as per attached documents) of their landholdings awarded to them by DAR under TCT No. EP-046 and TCT No. EP-047 both issued on 14 November 1991 consisting an area of 22,426 square meters and 1,000 square meters, respectively, located at Brgy. Saluysoy, Meycauayan, Bulacan. It is your opinion that the sale is unlawful and is a ground for cancellation of registered/unregistered EPs provided for under DAR Administrative Order No. 2, Series of 1994.
We wish to state that as a general rule, lands awarded to agrarian reform beneficiaries (ARBs) under P.D. No. 27 may not be sold or disposed of except when the transfer is through hereditary succession or to the government. The reason is obviously to encourage the ARBs to cultivate the land and make it as productive as possible pursuant to the mandate of the Constitution and agrarian laws to redistribute lands to the landless. However, ownership of lands awarded under Presidential Decree No. 27, as amended by Executive Order No. 228, may be transferred after full payment of amortization by the beneficiary (Section 6, E.O. No. 228) provided that the following shall be observed:
1. that the productivity of the land shall be maintained;
2. that the buyer will not exceed the aggregate landowner ceiling provided by law;
3. that the ownership ceiling of five (5) hectares shall be imposed; and
4. the awardee was identified as tenant as of 21 October 1972 (Item II. 4, DAR Administrative Order No. 8, Series of 1995, considering that the sale was made only within three (3) years from award).
Accordingly, we submit that if the spouses subject of your query had complied with the requirements given above upon proper application and issuance of a DAR Clearance, then the sale made by them is not in violation of existing agrarian laws, rules and regulations. Otherwise, the sale may be considered as invalid and illegal.
Attached herewith is DAR Administrative Order No. 8, Series of 1995 for more information and better clarification as regards transferability of awarded lands, specifically those provided for under Item II thereof (Policy Statement).
We wish to state, however, that this opinion is merely informational or clarificatory and does not constitute as a decision on whatever case that might have been brought or will be brought before the proper forum.
We hope to have clarified you on the matter.
Very truly yours,
(SGD.) FEDERICO A. POBLETE
Undersecretary for Legal Affairs, and Policy and Planning
Copy furnished:
OSEC
Doc. No. 99020750