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AGRARIAN LAW REVIEWER dialect known to the latter of his intention to cultivate

the land himself, either personally or through the


employment of mechanical implements, together with
RA 1199. Section 4. Systems of Agricultural Tenancy; Their
a certification of the Secretary of Agriculture and
Definitions. - Agricultural tenancy is classified into leasehold
Natural Resources that the land is suited for
tenancy and share tenancy.
mechanization: Provided, further, That the
dispossessed tenant and the members of his
Share tenancy exists whenever two persons agree on a joint immediate household shall be preferred in the
undertaking for agricultural production wherein one party employment of necessary laborers under the new set-
furnishes the land and the other his labor, with either or both up.
contributing any one or several of the items of production, the
tenant cultivating the land personally with the aid of labor
(b) When the current tenant violates or fails to comply
available from members of his immediate farm household, and
with any of the terms and conditions of the contract or
the produce thereof to be divided between the landholder and
any of the provisions of this Act: Provided, however,
the tenant in proportion to their respective contributions.
That this subsection shall not apply when the tenant
has substantially complied with the contract or with
Leasehold tenancy exists when a person who, either personally or the provisions of this Act.
with the aid of labor available from members of his immediate
farm household, undertakes to cultivate a piece of agricultural
(c) The tenant's failure to pay the agreed rental or to
land susceptible of cultivation by a single person together with
deliver the landholder's share: Provided, however,
members of his immediate farm household, belonging to or
That this shall not apply when the tenant's failure is
legally possessed by, another in consideration of a price certain or
caused by a fortuitous event or force majeure.
ascertainable to be paid by the person cultivating the land either
in percentage of the production or in a fixed amount in money, or
in both. (d) When the tenant uses the land for a purpose other
Section 9. Severance of Relationship. - The tenancy relationship is than that specified by agreement of the parties.
extinguished by the voluntary surrender of the land by, or the
death or incapacity of, the tenant, but his heirs or the members of
(e) When a share-tenant fails to follow those proven
his immediate farm household may continue to work the land
farm practices which will contribute towards the
until the close of the agricultural year. The expiration of the
proper care of the land and increased agricultural
period of the contract as fixed by the parties, and the sale or
production.
alienation of the land do not of themselves extinguish the
relationship. In the latter case, the purchaser or transferee shall
assume the rights and obligations of the former landholder in (f) When the tenant through negligence permits
relation to the tenant. In case of death of the landholder, his heir serious injury to the land which will impair its
or heirs shall likewise assume his rights and obligations. productive capacity.

(g) Conviction by a competent court of a tenant or any


SECTION 49. Ejectment of Tenant. - Notwithstanding any member of his immediate family or farm household of
agreement or provision of law as to the period, in all cases where a crime against the landholder or a member of his
land devoted to any agricultural purpose is held under any system immediate family.
of tenancy, the tenant shall not be dispossessed of his holdings
except for any of the causes hereinafter enumerated and only Section 51. Burden of Proof. - The burden of proof to show the
after the same has been proved before, and the dispossession is existence of a lawful cause for the ejectment of a tenant shall rest
authorized by, the court. upon the landholder.

Section 50. Causes for the Dispossession of a Tenant. - Any of the RA 3844 Section 6. Parties to Agricultural Leasehold Relation - The
following shall be a sufficient cause for the dispossession of a agricultural leasehold relation shall be limited to the person who
tenant from his holdings: furnishes the landholding, either as owner, civil law lessee,
usufructuary, or legal possessor, and the person who personally
(a) The bona fide intention of the landholder to cultivates the same.
cultivate the land himself personally or through the
employment of farm machinery and implements: Beneficiary: Share-Tenant or Agricultural lessees
Provided, however, That should the landholder not
cultivate the land himself or should fail to employ Modes of transfer of land: a. Sale, Alienation or Transfer of the
mechanical farm implements for a period of one year legal possession of the landholding; b. Extinguishment of
after the dispossession of the tenant, it shall be agricultural leasehold relation; c. Voluntary surrender; d.
presumed that he acted in bad faith and the land and Donation; e. Succession; f. Subleasing
damages for any loss incurred by him because of said
dispossession: Provided, further, That the land-holder Section 34. Consideration for the Lease of Riceland and Lands
shall, at least one year but not more than two years Devoted to Other Crops - The consideration for the lease of
prior to the date of his petition to dispossess the riceland and lands devoted to other crops shall not be more than
tenant under this subsection, file notice with the court the equivalent of twenty-five per centum of the average normal
and shall inform the tenant in wiring in a language or harvest during the three agricultural years immediately preceding
the date the leasehold was established after deducting the Section 11. Lessee's Right of Pre-emption - In case the agricultural
amount used for seeds and the cost of harvesting, threshing, lessor decides to sell the landholding, the agricultural lessee shall
loading, hauling and processing, whichever are applicable: have the preferential right to buy the same under reasonable
Provided, That if the land has been cultivated for a period of less terms and conditions: Provided, That the entire landholding
than three years, the initial consideration shall be based on the offered for sale must be pre-empted by the Land Authority if the
average normal harvest during the preceding years when the land landowner so desires, unless the majority of the lessees object to
was actually cultivated, or on the harvest of the first year in the such acquisition: Provided, further, That where there are two or
case of newly-cultivated lands, if that harvest is normal: Provided, more agricultural lessees, each shall be entitled to said
further, That after the lapse of the first three normal harvests, the preferential right only to the extent of the area actually cultivated
final consideration shall be based on the average normal harvest by him. The right of pre-emption under this Section may be
during these three preceding agricultural years: Provided, exercised within ninety days from notice in writing which shall be
furthermore, That in the absence of any agreement between the served by the owner on all lessees affected.
parties as to the rental, the maximum allowed herein shall apply:
Provided, finally, That if capital improvements are introduced on
Section 12. Lessee's Right of Redemption - In case the
the farm not by the lessee to increase its productivity, the rental
landholding is sold to a third person without the knowledge of the
shall be increased proportionately to the consequent increase in
agricultural lessee, the latter shall have the right to redeem the
production due to said improvements. In case of disagreement,
same at a reasonable price and consideration: Provided, That the
the Court shall determine the reasonable increase in rental.
entire landholding sold must be redeemed: Provided, further,
That where these are two or more agricultural lessees, each shall
Specifically, in Gabriel v. Pangilinan,19 this Court differentiated
be entitled to said right of redemption only to the extent of the
between a leasehold tenancy and a civil law lease in the
area actually cultivated by him. The right of redemption under this
following manner, namely: (1) the subject matter of a leasehold
Section may be exercised within two years from the registration
tenancy is limited to agricultural land, but that of a civil law lease
of the sale, and shall have priority over any other right of legal
may be rural or urban property; (2) as to attention and cultivation,
redemption.
the law requires the leasehold tenant to personally attend to and
cultivate the agricultural land; the civil law lessee need not
personally cultivate or work the thing leased; (3) as to purpose, Section 24. Prohibitions to Tenant: -It shall be unlawful for the
the landholding in leasehold tenancy is devoted to agriculture; in tenant, whenever the area of his holdings is five hectares or more,
civil law lease, the purpose may be for any other lawful pursuits; or is sufficient size to make him and the members of his
and(4) as to the law that governs, the civil law lease is governed immediate farm household fully occupied in its cultivation, to
by the Civil Code, but the leasehold tenancy is governed by special contract to work at the same time on two or more separate
laws. holdings belonging to different landholders under any system of
tenancy, without the knowledge and consent of the land-holder
Agricultural tenancy exists when all the following requisites are with whom he first entered into tenancy relationship.
present: 1) the parties are the landowner and the tenant or agricultural
lessee; 2) the subject matter of the relationship is an agricultural land; 3) Duty to implement fundamental policy goals set forth in a
there is consent between the parties to the relationship; 4) the purpose presidential decree upheld as part of the law of the land under
of the relationship is to bring about agricultural production; 5) there is Revised Constitution; Case at bar.—Presidential Decree No. 27
personal cultivation on the part of the tenant or agricultural lessee; and was issued in October of 1972. The very next month, the 1971
6) the harvest is shared between landowner and tenant or agricultural Constitutional Convention voiced its overwhelming approval.
lessee. There is no doubt then, as set forth expressly therein, that the
goal is emancipation. What is more, the decree is now part and
Section 7. Tenure of Agricultural Leasehold Relation - The parcel of the law of the land according to the revised Constitution
agricultural leasehold relation once established shall confer upon itself. Ejectment therefore of petitioners is simply out of the
the agricultural lessee the right to continue working on the question. That would be to set at naught an express mandate of
landholding until such leasehold relation is extinguished. The the Constitution. Once it has spoken, our duty is clear; obedience
agricultural lessee shall be entitled to security of tenure on his is unavoidable.This is not only so because of the cardinal
landholding and cannot be ejected therefrom unless authorized postulate of constitutionalism, the supremacy of the fundamental
by the Court for causes herein provided. law. It is also because any other approach would run the risk of
setting at naught this basic aspiration to do away with all
remnants of a feudalistic order at war with the promise and the
Section 8. Extinguishment of Agricultural Leasehold Relation -
hope associated with an open society. To deprive petitioners of
The agricultural leasehold relation established under this Code
the small landholdings in the face of a presidential decree
shall be extinguished by:
considered ratified by the new Constitution and precisely in
accordance with its avowed objective could indeed be
(1) Abandonment of the landholding without the contributory to perpetuating the misery that tenancy has
knowledge of the agricultural lessor; spawned in the past as well as the grave social problems thereby
created. De Chavez vs. Zobel, 55 SCRA 26, No. L-28609, No. L-
28610 January 17, 1974
(2) Voluntary surrender of the landholding by the
agricultural lessee, written notice of which shall be
served three months in advance; or Constitutional Law; Agrarian Law; LOI 474 which decreed the Land
Transfer Program of the government of agricultural lands planted
to rice and corn is not unconstitutional. It is neither a class
(3) Absence of the persons under Section nine to
legislation nor does it deprive a person of property without due
succeed to the lessee, in the event of death or
process of law or just compensation.—There is no merit to the
permanent incapacity of the lessee.
contention that Letter of Instruction No. 474 denies equal Requisites for the exercise by the landowner of his right of
protection. To condemn as class legislation an executive act retention.—On the other hand, the requisites for the exercise by
intended to promote the welfare of tenants is to ignore not only the landowner of his right of retention are the following: (1) the
the letter of the Constitution—incidentally cited in the petition land must be devoted to rice or corn crops; (2) there must be a
itself—requiring the “formulation and implementation of an system of share-crop or lease-tenancy obtaining therein; and (3)
agrarian reform program aimed at emancipating the tenant from the size of the landholding must not exceed twenty-four (24)
the bondage of the soil,” but also the nation’s history. Zurbano vs. hectares, or it could be more than twenty-four (24) hectares
Estrella, 137 SCRA 333, No. L-61617 July 2, 1985 provided that at least seven (7) hectares thereof are covered
lands and more than seven (7) hectares of it consist of “other
agricultural lands.” Daez vs. Court of Appeals, 325 SCRA 856, G.R.
Agrarian Reform; Just Compensation; If the agrarian reform
No. 133507 February 17, 2000
process is still incomplete as when just compensation is not
settled prior to the passage of Republic Act (RA) No. 6657, it
should be computed in accordance with said law despite the fact The grounds for cancellation of registered EPs were summarized
that the property was acquired under Presidential Decree (PD) by DAR Memorandum Order No. 02, Series of 1994, to wit:
No. 27.—The issue in this case has long been laid to rest by this 1. Misuse or diversion of financial and support services
Court. In numerous rulings, We have repeatedly held that the extended to the ARB; (Section 37 of R.A. No. 6657)
seizure of landholdings or properties covered by PD No. 27 did not 2. Misuse of land; (Section 22 of R.A. No. 6657)
take place on October 21, 1972, but upon the payment of just 3. Material misrepresentation of the ARB’s basic
compensation. Indeed, acquisition of property under the qualifications as provided under Section 22 of R.A. No.
Operation Land Transfer Program under PD No. 27 does not 6657, P.D. No. 27, and other agrarian laws;
necessarily mean that the computation of just compensation 4. Illegal conversion by the ARB; (Cf. Section 73,
thereof must likewise be governed by the same law. In Paragraph C and E of R.A. No. 6657)
determining the applicable formula, the date of the payment of 5. Sale, transfer, lease or other forms of conveyance by
just compensation must be taken into consideration for such a beneficiary of the right to use or any other
payment marks the completion of the agrarian reform process. If usufructuary right over the land acquired by virtue of
the agrarian reform process is still incomplete as when just being a beneficiary in order to circumvent the
compensation is not settled prior to the passage of RA No. 6657, it provisions of Section 73 of R.A. No. 6657, P.D. No. 27,
should be computed in accordance with said law despite the fact and other agrarian laws. However, if the land has been
that the property was acquired under PD No. 27. Clearly, by law acquired under P.D. No. 27/E.O. No. 228, ownership
and jurisprudence, R.A. No. 6657, upon its effectivity, became the may be transferred after full payment of amortization
primary law in agrarian Land Bank of the Philippines vs. Ibarra, by the beneficiary; (Sec. 6 of E.O. No. 228)
741 SCRA 447, G.R. No. 182472 November 24, 2014 6. Default in the obligation to pay an aggregate of
three (3) consecutive amortizations in case of
voluntary land transfer/direct payment scheme, except
Land transfer under P.D. No. 27 is effected in two stages: (1) the
in cases of fortuitous events and force majeure;
issuance of a certificate of land transfer to a farmer-beneficiary as
7. Failure of the ARBs to pay for at least three (3)
soon as the DAR transfers the landholding to him in recognition of
annual amortizations to the LBP, except in cases of
his being deemed an owner; and (2) the issuance of an
fortuitous events and force majeure; (Section 26 of RA
emancipation patent as proof of full ownership of the landholding
6657)
upon full payment of the annual amortizations or lease rentals by
8. Neglect or abandonment of the awarded land
the farmer-beneficiary. No principle in agrarian reform law is
continuously for a period of two (2) calendar years as
indeed more settled than that the issuance of an emancipation
determined by the Secretary or his authorized
patent entitles the farmer-beneficiary to the vested right of
representative; (Section 22 of RA 6657)
absolute ownership of the landholding, and it constitutes
9. The land is found to be exempt/excluded from P.D.
conclusive authority for the issuance of an original or transfer
No. 27/E.O. No. 228 or CARP coverage or to be part of
certificate of title in his name. It presupposes that the grantee or
the landowner’s retained area as determined by the
beneficiary has, following the issuance of a certificate of land
Secretary or his authorized representative; and
transfer, already complied with all the preconditions required
10. Other grounds that will circumvent laws related to
under P.D. No. 27, and that the landowner has been fully
the implementation of agrarian reform.
compensated for his property. Maylem vs. Ellano, 592 SCRA 440,
G.R. No. 162721 July 13, 2009
SECTION 50. Quasi-Judicial Powers of the DAR. — The DAR is
hereby vested with the primary jurisdiction to determine and
Agrarian Reform Law; Presidential Decree No. 27; Requisites for adjudicate agrarian reform matters and shall have exclusive
coverage under the Operation Land Transfer.—P.D. No. 27, original jurisdiction over all matters involving the implementation
which implemented the Operation Land Transfer (OLT) Program, of agrarian reform except those falling under the exclusive
covers tenanted rice or corn lands. The requisites for coverage jurisdiction of the Department of Agriculture (DA) and the
under the OLT program are the following: (1) the land must be Department of Environment and Natural Resources (DENR). It
devoted to rice or corn crops; and (2) there must be a system of shall not be bound by technical rules of procedure and evidence
share-crop or lease-tenancy obtaining therein. If either requisite is but shall proceed to hear and decide all cases, disputes or
absent, a landowner may apply for exemption. If either of these controversies in a most expeditious manner, employing all
requisites is absent, the land is not covered under OLT. Hence, a reasonable means to ascertain the facts of every case in
landowner need not apply for retention where his ownership over accordance with justice and equity and the merits of the case.
the entire landholding is intact and undisturbed. Toward this end, it shall adopt a uniform rule of procedure to
achieve a just, expeditious and inexpensive determination for
every action or proceeding before it. It shall have the power to
summon witnesses, administer oaths, take testimony, require
submission of reports, compel the production of books and
documents and answers to interrogatories and issue subpoena,
and subpoena duces tecum, and enforce its writs through sheriffs
or other duly deputized officers. It shall likewise have the power
to punish direct and indirect contempts in the same manner and
subject to the same penalties as provided in the Rules of Court.
Responsible farmer leaders shall be allowed to represent
themselves, their fellow farmers, or their organizations in any
proceedings before the DAR: Provided, however, That when there
are two or more representatives for any individual or group, the
representatives should choose only one among themselves to
represent such party or group before any DAR proceedings.
Notwithstanding an appeal to the Court of Appeals, the decision
of the DAR shall be immediately executory.

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 (Land Bank of the Philippines), 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.

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