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THE COURT OF APPEALS, THE DIRECTOR OF LANDS AND OSE CHUATENGCO, respondents. FACTS On 14 April 1982, petitioner United Paracale Mining Company filed a complaint against t e !irector of "ands and fifty#t ree $%&' ot er individ(al defendants, alleging, among ot er t ings, t at t e company )as t e o)ner of some forty# nine $49' mining claims located in Paracale, Camarines *orte, aving located and perfected t e claims (nder t e provisions of t e P ilippine +ill of 19,2 and Act *o. -24, as amended. . ese mining claims )ere t ere/y s(pposed to /e private property of t e company and segregated from t e mass of t e p(/lic domain. 0ince 19&, and 19&4 (p (ntil no), petitioner, /y itself and t ro(g its predecessors#in#interest, ad /een performing t e ann(al assessment )or1 re2(ired /y la), filing t e corresponding affidavits of assessment )or1 )it t e office of t e mining recorder and paying real estate ta3es on t e mining claims. Petitioner ad applied for a patent on t e claims, and t e +(rea( of Mines approved and recogni4ed t e company5s rig ts over t e mining claims. On 1- Octo/er 1968, petitioner filed )it t e +(rea( of Mines an application for mining lease over t e claims, )it a reservation t at 7$t' e filing of t $e' application for mining lease $)as' )it o(t pre8(dice to t e rig ts of t e applicant and its predecessors#in#interest in and all t e mineral claims o/8ect t ereof ac2(ired (nder t e provisions of t e Act of Congress of 9(ly 1, 19,2, . . . .7 On 11 9(ne 1982, t irty#seven $&6' of t e fifty# t ree $%&' individ(al defendants filed an ans)er denying t e material allegations of t e complaint. On 8 0eptem/er 1992, erein private respondent 9ose C (atengco filed a motion to dismiss t e complaint, asseverating t at t e complaint did not state a ca(se of action. C (atengco cited 0ection 1 of Presidential !ecree *o. 1214 ) ic directed 7$ 'olders of s(/sisting and valid patenta/le
mining claims, lode or placer, located (nder t e provisions of t e Act of Congress of 9(ly 1, 19,2, as amended, s all file a mining lease application . . . )it in one $1' year from t e approval of t is !ecree, and (pon t e filing t ereof, olders of t e said claims s all /e considered to ave )aived t eir rig ts to t e iss(ance of mining patents t erefor: Provided, however, . at t e non# filing of t e application for mining lease /y t e olders t ereof )it in t e period $t erein' prescri/ed $)o(ld' ca(se t e forfeit(re of all . . . rig ts to t e claim.7 On 2% April 198-, t e trial co(rt granted t e motion to dismiss; ) ere(pon, petitioner filed an appeal )it respondent co(rt. On 1% *ovem/er 199,, t e appellate co(rt affirmed t e decision of t e trial co(rt. <ere t en is t e instant petition. ISSUE . e 2(ery of petitioner: 7= at is actually t e rig t of a locator of mining claim located and perfected (nder t e P ilippine +ill of 19,2. !oes e ave an a/sol(te rig t of o)ners ip, or merely a rig t to possess said claim>7 ?emedial la): Can t e action proceed )it o(t aving 8oined t e indispensa/le parties> (mao ra ni ako gidugang) HELD Petitioner contends t at t ere are t)o $2' conflicting r(lings made /y t is Co(rt on t e same iss(e. @n Director of Lands vs. Kalahi Investments, Inc. $1-9 0C?A -8&', a locator of mining claims perfected (nder t e P ilippine +ill of 19,2 as /een eld not to ave an a/sol(te rig t of o)ners ip over said claims /(t merely a possessory rig t t ereto. @n tok!"ig #edge $ining %om&any, Inc. vs. %ourt of &&eals and Liwan %onsi $19& 0C?A 61', o)ever, a locator of mining claim perfected (nder t e P ilippine +ill of 19,2, t e Co(rt as r(led, does ave an a/sol(te rig t of o)ners ip over is claim /eing t ere/y removed from t e p(/lic domain.
@n its resol(tion, dated 1 9(ne 1992, t e Co(rt re2(ired respondents to file t eir respective comments. On 1, *ovem/er 199&, t e 0olicitor Aeneral filed a comment and motion, dated *ovem/er 199&, alleging t at ) en petitioner appealed t e trial co(rt5s order of dismissal of Civil Case *o. 49,%, only private respondent C (atengco )as named adverse party; t e !irector of "ands )as not incl(ded. . e 0olicitor Aeneral t (s prayed: =<B?BCO?B, premises considered, it is respectf(lly prayed t at t e !irector of "ands /e e3cl(ded as respondent in t e present petition; t at t e motions for e3tension of time to file comment in /e alf of t e !irector of "ands /e disregarded; and t at t e !irector of "ands /e e3c(sed from filing t e re2(ired comment. 1 Atty. Creddie Denida, co(nsel for private respondent, as failed to comply )it t e Co(rt5s resol(tion of 1, Ce/r(ary 199&, notice of ) ic appears to ave /een received /y im on 6 April 199&. . e period given im aving e3pired on 16 April 199&, t e re2(ired comment is ere/y dispensed )it . 0ection 6, ?(le & of t e ?evised ?(les of Co(rt provides: 0ec. 6. Comp(lsory 8oinder of parties. E Parties in interest )it final determination can /e ad s all /e 8oined eit er as defendants. indispensa/le o(t ) om no of an action plaintiffs or
ctions' Parties' $ining claims' (he Dir. )f Land is an indis&ensa*le &arty in a mining claim. An action cannot proceed (nless t e indispensa/le parties are 8oined; 2 t at 8oinder is mandatory and, (nless s(c indispensa/le parties are impleaded, t e case m(st /e dismissed. 3 Clearly, t e !irector of "ands is an indispensa/le party to t e case, and is omission is fatal to t e ca(se of erein petitioner. =<B?BCO?B, t e petition is !@0M@00B!. Costs against petitioner. 0O O?!B?B!.