REPUBLIC V. RURAL BANK OF KABACAN
HELD
FACTS:
t*e Petit Petition ion is PARTLY GRANTED . +*e &1 A"g"st WHEREFORE, t*e
NIA is a governm governmentent-owne owned-an d-and-co d-contr ntroed oed cor!orat cor!oration ion created created "nde "nderr R.A. .A. #$%& #$%&.. It is !rim !rimar ari i' ' res! res!on onsi si( (e e )or )or irri irriga gati tion on deveo!m deveo!ment ent and manageme management nt in t*e co"ntr' co"ntr'. +o carr' carr' o"t its !"r!ose, NIA was s!ecica' a"t*oried "nder P./. 001 to e2ercise t*e !ower o) eminent domain.
1%%5 1%%5 CA /eci /ecisi sion on in CA- CA-.R .R.. CV No. No. $0&7 $0&7$, $, awar awardi ding ng 4"st 4"st com!ensa com!ensation tion to t*e de)endants de)endants as owners owners o) t*e e2!ro! e2!ro!riat riated ed !ro!erties and deeting t*e inc"sion o) t*e va"e o) t*e e2cavated soi, is *ere(' AFFIRMED wit* MODIFICATION . +*e case is *ere(' tria co"rt co"rt )or t*e rece!tio rece!tion n o) evidence evidence to REMANDED to t*e tria esta(is* t*e !resent owner o) Lot No. #%5%.
NIA needed some !arces o) and )or t*e !"r!ose o) constr"cting t*e 3ait"(og-3arigadao Irrigation Pro4ect. On %5 6e!tem(er &778, it ed wit* t*e R+C R+C o) Ka(acan, Ka(acan, Cota(ato Cota(ato a Com!aint Com!aint )or t*e e2!ro!riation o) a !ortion o) t*ree 9#: !arces o) and covering a tota o) &8,87;.7& s<"are meters. NIA ed a 6econd Amended Com!aint to aege !ro!er' t*e area so"g*t to (e e2!ro!riated, t*e e2act address o) t*e e2!ro!riated !ro!erties and t*e owners t*ereo). NIA )"rt*er !ra'ed t*at it (e a"t*orie a"t*oried d to ta=e ta=e immediat immediate e !ossession !ossession o) t*e !ro!er !ro!erties ties a)ter de!os de!ositi iting ng wit* wit* t*e P*ii P*ii!! !!in ine e Nation Nationa a Ban= Ban= t*e t*e amo"n amo"ntt o) ₱&7,18$.05 re!resenting t*e !rovisiona va"e t*ereo). Res!o Res!onde ndent nts s ed ed t*eir t*eir Answ Answer er wit* wit* A>rm A>rmati ative ve and 6!eci 6!ecia a /e)enses and Co"ntercaim. Co"ntercaim. +*e' aeged t*at NIA *ad no a "t*orit' to e2!ro!riate !ortions o) t*eir and, (eca"se it was not a sovereign sovereign !oitica !oitica entit'? entit'? t*at it was not necessar' necessar' to e2!ro! e2!ro!riate riate t*eir !ro!erties, !ro!erties, (eca"se t*ere was an a(andoned government government !ro!ert' ad4acent to t*eirs, w*ere t*e !ro4ect co"d !ass t*ro"g*? t*at Lot No. #%5% was no onger owned (' t*e R"ra Ban= o) Ka(acan? t*at NIAs va"ation va"ation o) t*eir t*eir e2!ro! e2!ro!riate riated d !ro!ert !ro!erties ies was inacc"r inacc"rate ate (eca"se o) t*e im!rovements on t*e and t*at s*o"d *ave !aced its its va" va"e e at ₱0 miion? miion? and t*at NIA never never negotiat negotiated ed wit* t*e andowners (e)ore ta=ing t*eir !ro!erties )or t*e !ro4ect, ca"sing !ermanent and irre!ara(e damages to t*eir !ro!erties va"ed at ₱10%,%%%. ISSUE/S
&. @ON +E FIN/IN FIN/IN OF U6+ CO3PEN6 CO3PEN6A A+ION OF +E LAN/ LAN/ AN/ +E I3PROVE3EN+6 I3PROVE3EN+6 +EREON BA6E/ ON +E REPOR+ OF +E CO33I66IONER6 I6 CORREC+. 1. @ON +E PA PAD3EN+ D3EN+ OF U6+ CO3PEN6A CO3PEN6A+ION +ION FOR LO+ LO+ NO. #%5% 6OUL/ BE 3A/E 3A/E +O RE6PON/ RE6PON/EN+6 EN+6 3ARARI+ 3ARARI+A A +ABOA/ +ABOA/A A AN/ POR+IA POR+IA CARI63A CARI63A RU+ OR+I. OR+I.
RATIO:
On t*e rst iss"e, in e2!ro!riation !roceedings, 4"st com!ensation is dened as t*e )" and )air e<"ivaent o) t*e !ro!ert' ta=en )rom its owner owner (' t*e t*e e2!r e2!ro!r o!riat iator or.. +*e +*e commis commissio sione ners rs !ro!e !ro!er' r' determined t*e 4"st com!ensation to (e awarded to t*e andowners w*ose !ro!erties were e2!ro!riated (' !etitioner. +*e records records s*ow t*at t*e tria co"rt d"ti)"' d"ti)"' )oowed t*e !roced"re "nder R"e $; o) t*e &77; R"es o) Civi Proced"re w*en it )ormed )ormed a commit committee tee t*at was tas= tas=ed ed to deter determin mine e t*e t*e 4"st 4"st com!ensa com!ensation tion )or t*e e2!ro!riat e2!ro!riated ed !ro!ert !ro!erties. ies. +*e rst set o) committee mem(ers made an oc"ar ins!ection o) t*e !ro!erties, s"(4ect o) t*e e2!ro!riation. +*e' aso determined t*e e2act areas aGected, as we as t*e =inds and t*e n"m(er o) im!rovements on t*e !ro!ertie !ro!erties. s. @*en t*e mem(ers were "na(e to agree agree on t*e va"ation o) t*e and and t*e im!rovements im!rovements t*ereon, t*e tria co"rt seected anot*er (atc* o) disinterested mem(ers to carr' o"t t*e tas= o) determining t*e va"e o) t*e and and t*e im!rovements. +*e new committee mem(ers even made a second oc"ar ins!ection o) t*e e2!ro!riated areas. +*e' aso o(tained data )rom t*e t*e BIR to deter determin mine e t*e t*e ona ona va"at va"ation ion o) t*e e2!r e2!ro!r o!riat iated ed !ro!e !ro!erti rties, es, interv interview iewed ed t*e t*e ad4ace ad4acent nt !ro!e !ro!ert rt' ' owner owners, s, and and considered ot*er )actors s"c* as distance )rom t*e *ig*wa' and t*e near( near(' ' town town cent center er.F .F"rt "rt*e *er, r, t*e t*e commit committe tee e mem( mem(ers ers aso aso considered Provincia Ordinance No. &;#, w*ic* was !rom"gated (' t*e Province o) Cota(ato on &0 "ne &777, and w*ic* !rovide )or t*e va"e o) t*e !ro!erties !ro!erties and t*e im!rovemen im!rovements ts )or ta2ation ta2ation !"r!oses. @e can readi readi' ' ded"ce ded"ce )rom )rom t*ese t*ese esta( esta(is* is*ed ed )acts )acts t*at t*at t*e t*e committee mem(ers endeavored a rigoro"s !rocess to determine t*e t*e 4"st 4"st com!e com!ensa nsatio tion n to (e award awarded ed to t*e t*e owner owners s o) t*e t*e e2!ro!riated !ro!erties. @e cannot, as !etitioner wo"d want "s to, oversim!i)' t*e !rocess "nderta=en (' t*e committee in arriving at its recomme recommendat ndations ions,, (eca"se (eca"se t*ese were were not (ased (ased on mere mere con4ect"res and "nreia(e data.
On t*e second iss"e, t*e Petition is meritorio"s. +*e CA a>rmed t*e r"ing o) t*e tria co"rt, w*ic* *ad awarded t*e !a'ment o) 4"st com!ensation intended )or Lot No. #%5% registered in t*e name o) t*e R"ra Ban= o) Ka(acan to t*e de)endants-intervenors on t*e (asis o) t*e non-!artici!ation o) t*e r"ra r"ra (an= (an= in t*e t*e !roc !rocee eedi ding ngs s and and t*e t*e att atter ers s s"(s s"(se< e<"e "ent nt 3ani)e 3ani)esta statio tion n t*at t*at it was no onge ongerr t*e t*e owner owner o) t*at t*at ot. ot. +*e a!!eate co"rt erred on t*is matter. It s*o"d (e noted t*at eminent domain cases invove t*e e2!endit"re o) !"(ic )"nds. In t*is =ind o) !roceeding, we re<"ire tria co"rts to (e more circ"ms!ect in t*eir eva"ation o) t*e 4"st com!ens com!ensation ation to (e awarded awarded to t*e owner o) t*e e2!ro!ria e2!ro!riated ted !ro!ert'. +*"s, it was im!r"dent )or t*e a!!eate co"rt to re' on t*e R"ra Ban= o) Ka(acans mere decaration o) non-owners*i! and non-!art non-!artici! ici!ation ation in t*e e2!ro! e2!ro!riati riation on !roceed !roceeding ing to vaidate vaidate de)endants-intervenors caim o) entitement to t*at !a'ment. +*e aw im!oses certain ega re<"irements re<"irements in order )or a conve'ance o) rea !ro!ert' to (e vaid. It s*o"d (e noted t*at Lot No. #%5% is a registered !arce o) and covered (' +C+ No. +-$&7$#. In order )or t*e reconve'a reconve'ance nce o) rea rea !ro!ert !ro!ert' ' to (e vaid, t*e conve'ance m"st (e em(odied in a !"(ic doc"ment and registered in t*e o>ce o) t*e Register o) /eeds w*ere t*e !ro!ert' is sit"ated. @e *ave scr"!"o"s' e2amined t*e records o) t*e case
and )o"nd no !roo) !roo) o) conve' conve'anc ance e or evide evidenc nce e o) trans) trans)er er o) owners*i! o) Lot No. #%5% )rom its registered owner, t*e R"ra Ban= o) Ka(acan, Ka(acan, to de)endan de)endants-in ts-interv tervenor enors. s. As it is, t*e +C+ is sti sti registered registered in t*e name o) t*e said r"ra (an=. It is not dis!"ted t*at t*e (an= did not !artici!ate in t*e e2!ro!riation !roceedings, and t*at it mani)ested t*at it no onger owned Lot No. #%5%. +*e tria co"rt co"rt s*o"d s*o"d *ave nevert*e nevert*eess ess re<"ired re<"ired t*e r"ra (an= and t*e de)endants-interve de)endants-intervenors nors to s*ow !roo) or evidence !ertaining to t*e conve'an conve'ance ce o) t*e s"(4ect s"(4ect ot. +*e co"rt cannot re' on mere mere in)erence, in)erence, considering t*at t*e !a'ment o) 4"st com!ensation com!ensation is intended to (e awarded soe' owner (ased on t*e atters !roo) o) owners*i!.
