January 29, 1997
DAR OPINION NO. 11-97
MRS. HIPOLITA V . MONTEALEGRE
Municipal Agrarian Reform Officer
Lupi, Camarines Sur
Dear MARO Montealegre:
This has reference to your letter dated 7 November 1996 seeking opinion on whether the value of the property occupied as legal easement can be deducted from the total value which the landowner is supposed to receive from the Land Bank of the Philippines as a result of Voluntary Offer to Sell (VOS).
You state that the subject property has an area of 77.7130 hectares and situated at Lupi, Camarines Sur; that said property is untitled although with an approved plan and technical description registered in the name of Atty. Alegria Arroyo-Villa way back in 1948; and that controversy arose between DAR and the Bureau of Lands (now Land Management Bureau) on one hand and the LBP on the other relative to the correct valuation of her properties offered through VOS.
Please be informed that VOS as one of the recognized modes of acquisition under R.A. 6657 is highly favored and encouraged because it ensures the cooperation of landowners in having their properties covered. Their cooperative acts as shown by their willingness save not only the government valuable time in acquiring agricultural lands for distribution to qualified-beneficiaries but also from incurring tremendous expenses incident thereto.
As a matter of fact, Section 19 of R.A. 6657 (Comprehensive Agrarian Reform Law) even grant the landowners other than banks and other financial institutions an additional five percent (5%) cash payment as incentives. The grant of additional incentives which is intended to ease the burden of landowners in losing their properties negates the claim of the DAR and the Bureau of Lands that the value of properties covered by legal easements be deducted from the total value due the landowner. As elucidated in the case of "Ayala de Roxas vs. City of Manila", (9 Phil. 215) the imposition of an easement over a 3-meter strip of the plaintiff's property could not be legally done without payment to it of just compensation. To subscribe to the view of DAR and the Bureau of Lands that the value of the property occupied by legal easement be deducted from the total value due the landowner would not only substantially reduce the total value of the property, but above all will cause injustice to the landowner concerned. Hence, payment should speedily be effected without deduction as to the value of the property occupied by the legal easement.
We hope to have clarified the matter with you.
Very truly yours,
(SGD.) ARTEMIO A. ADASA, JR.
Undersecretary for Legal Affairs, and Policy and Planning
Copy furnished:
Jose Z. Grageda
OIC-PARO, DAR PO-CS
San Jose, Pili
Camarines Sur