Dar Vs Cuenca
Dar Vs Cuenca
Dar Vs Cuenca
[2]
[3]
As previously stated, the principal issue raised in the court below involves a pure
question of law. Thus, it being clear that the court a quo has jurisdiction over the
nature and subject matter of the case below, it did not commit grave abuse of
discretion when it issued the assailed order denying petitioners motion to dismiss and
granting private respondents application for the issuance of a writ of preliminary
injunction.
WHEREFORE, premises considered, the petition is denied due course and is
accordingly DISMISSED.
[4]
The assailed Resolution, on the other hand, denied petitioners Motion for
Reconsideration.
The Facts
The CA narrated the facts as follows:
implementation of the Notice of Coverage which is the initial step of acquiring lands
under R.A. 6657.
Petitioner also contends that the nature and subject matter of the case below is purely
agrarian in character over which the court a quo has no jurisdiction and that therefore,
it had no authority to issue the assailed injunction order.
[5]
[6]
Issues
In its Memorandum, petitioner raises the following issues:
1. The Honorable Court of Appeals committed serious error by not taking into
cognizance that the issues raised in the complaint filed by the private respondent,
which seeks to exclude his land from the coverage of the CARP, is an agrarian reform
matter and within the jurisdiction of the DAR, not with the trial court.
2. The Honorable Court of Appeals, with due respect, gravely abused its discretion by
sustaining the writ of injunction issued by the trial court, which is a violation of
Sections 55 and 68 of Republic Act No. 6657.
[7]
First Issue:
Jurisdiction
In its bare essentials, petitioners argument is that private respondent, in his
Complaint for Annulment of the Notice of Coverage, is asking for the exclusion of his
landholding from the coverage of the Comprehensive Agrarian Reform Program
(CARP). According to the DAR, the issue involves the implementation of agrarian
reform, a matter over which the DAR has original and exclusive jurisdiction, pursuant to
Section 50 of the Comprehensive Agrarian Reform Law (RA 6657).
On the other hand, private respondent maintains that his Complaint assails mainly
the constitutionality of EO 405. He contends that since the Complaint raises a purely
legal issue, it thus falls within the jurisdiction of the RTC. We do not agree.
Conflicts involving jurisdiction over agrarian disputes are as tortuous as the history
of Philippine agrarian reform laws. The changing jurisdictional landscape is matched
only by the tumultuous struggle for, and resistance to, the breaking up and distribution
of large landholdings.
Two Basic Rules
Two basic rules have guided this Court in determining jurisdiction in these
cases. First, jurisdiction is conferred by law. Andsecond, the nature of the action and
the issue of jurisdiction are shaped by the material averments of the complaint and the
character of the relief sought. The defenses resorted to in the answer or motion to
dismiss are disregarded; otherwise, the question of jurisdiction would depend entirely
upon the whim of the defendant.
[8]
[9]
[10]
Grant of Jurisdiction
Ever since agrarian reform legislations began, litigants have invariably sought the
aid of the courts. Courts of Agrarian Relations (CARs) were organized under RA
1267 [f]or the enforcement of all laws and regulations governing the relation of capital
and labor on all agricultural lands under any system of cultivation. The jurisdiction of
these courts was spelled out in Section 7 of the said law as follows:
[11]
Sec. 7. Jurisdiction of the Court. - The Court shall have original and exclusive
jurisdiction over the entire Philippines, to consider, investigate, decide, and settle all
questions, matters, controversies or disputes involving all those relationships
established by law which determine the varying rights of persons in the cultivation
and use of agricultural land where one of the parties works the land, and shall have
concurrent jurisdiction with the Court of First Instance over employer and farm
employee or labor under Republic Act Numbered six hundred two and over landlord
and tenant involving violations of the Usury Law (Act No. 2655, as amended) and of
inflicting the penalties provided therefor.
All the powers and prerogatives inherent in or belonging to the then Courts of First
Instance (now the RTCs) were granted to the CARs. The latter were further vested by
the Agricultural Land Reform Code (RA 3844) with original and exclusive jurisdiction
over the following matters:
[12]
(1) All cases or actions involving matters, controversies, disputes, or money claims
arising from agrarian relations: x x x
(2) All cases or actions involving violations of Chapters I and II of this Code and
Republic Act Number eight hundred and nine; and
(3) Expropriations to be instituted by the Land Authority: x x x.
[13]
Presidential Decree (PD) No. 946 thereafter reorganized the CARs, streamlined
their operations, and expanded their jurisdiction as follows:
Sec. 12. Jurisdiction over Subject Matter. - The Courts of Agrarian Relations shall
have original and exclusive jurisdiction over:
a) Cases involving the rights and obligations of persons in the cultivation and use of
agricultural land except those cognizable by the National Labor Relations
Commission; x x x ;
b) Questions involving rights granted and obligations imposed by laws, Presidential
Decrees, Orders, Instructions, Rules and Regulations issued and promulgated in
relation to the agrarian reform program; Provided, however, That matters involving
the administrative implementation of the transfer of the land to the tenant-farmer
under Presidential Decree No. 27 and amendatory and related decrees, orders,
instructions, rules and regulations, shall be exclusively cognizable by the Secretary of
Agrarian Reform, namely:
(1) classification and identification of landholdings;
(2) x x x;
(3) parcellary mapping;
(4) x x x;
xxxxxxxxx
[15]
[16]
Then came Executive Order No. 229. Under Section 17 thereof, the DAR shall
exercise quasi-judicial powers to determine and adjudicate agrarian reform matters, and
shall have exclusive jurisdiction over all matters involving implementation of agrarian
reform, except those falling under the exclusive original jurisdiction of the DENR and the
Department of Agriculture [DA]. The DAR shall also have the powers to punish for
contempt and to issue subpoena, subpoena duces tecum and writs to enforce its orders
or decisions.
[17]
In Quismundo v. CA, this provision was deemed to have repealed Section 12 (a)
and (b) of Presidential Decree No. 946, which vested the then Courts of Agrarian
Relations with original exclusive jurisdiction over cases and questions involving rights
granted and obligations imposed by presidential issuances promulgated in relation to
the agrarian reform program.
[18]
Under Section 4 of Executive Order No. 129-A, the DAR was also made responsible
for implementing the Comprehensive Agrarian Reform Program. In accordance with
Section 5 of the same EO, it possessed the following powers and functions:
(b) Implement all agrarian laws, and for this purpose, punish for contempt and issue
subpoena, subpoena duces tecum, writs of execution of its decisions, and other legal
processes to ensure successful and expeditious program implementation; the decisions
of the Department may in proper cases, be appealed to the Regional Trial Courts but
shall be immediately executory notwithstanding such appeal;
xxxxxxxxx
(h) Provide free legal services to agrarian reform beneficiaries and resolve agrarian
conflicts and land-tenure related problems as may be provided for by law;
xxxxxxxxx
In the same case, the Court also held that the jurisdictional competence of the DAR
had further been clarified by RA 6657 thus:
x x x. The Act [RA 6657] makes references to and explicitly recognizes the effectivity
and applicability of Presidential Decree No. 229. More particularly, the Act echoes the
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 to enforce its writs
through sheriffs or other duly deputized officers. It shall likewise have the power to
punish direct and indirect contempt in the same manner and subject to the same
penalties as provided in the Rules of Court.
[21]
Nonetheless, we have held that the RTCs have not been completely divested of
jurisdiction over agrarian reform matters. Section 56 of RA 6657 confers special
jurisdiction on Special Agrarian Courts, which are actually RTCs designated as such by
the Supreme Court. Under Section 57 of the same law, these Special Agrarian Courts
have original and exclusive jurisdiction over the following matters:
[22]
Clearly, the main thrust of the allegations is the propriety of the Notice of Coverage, as
may be gleaned from the following averments, among others:
9. Under the provisions of CARL, it is the PARC and/or the DAR, and not x x x Land
Bank, which is authorized to preliminarily determine the value of the lands as
compensation therefor, thus x x x;
xxxxxxxxx
12. That the aforementioned NOTICE OF COVERAGE with intendment and purpose
of acquiring [respondents] aforementioned land is a gross violation of law (PD 399
dated 28 February 1974 which is still effective up to now) inasmuch as [respondents]
land is traversed by and a road frontage as admitted by the DARs technician and
defendant FORTUNADO (MARO) x x x;
13. That as reflected in said Pre-Ocular Inspection Report, copy of which is hereto
attached as annex D forming part hereof, [respondents] land is above eighteen percent
(18%) slope and therefore, automatically exempted and excluded from the operation
of Rep. Act 6657, x x x. (Italics supplied)
[25]
10. Executive Order No. 405 dated 14 June 1990 (issued by the then President
Corazon Aquino) is unconstitutional for it plainly amends, modifies and/or repeals
CARL. On 14 June 1990, then President Corazon Aquino had no longer law-making
powers as the Philippine Congress was by then already organized, existing and
operational pursuant to the 1987 Constitution. A copy of the said Executive Order is
hereto attached as Annex B forming part hereof.
11. Our constitutional system of separation of powers renders the said Executive
Order No. 405 unconstitutional and all valuations made, and to be made, by the
defendant Land Bank pursuant thereto are null and void and without force and
effect. Indispensably and ineludibly, all related rules, regulations, orders and other
issuances issued or promulgated pursuant to said Executive Order No. 405 are also
null and void ab initio and without force and effect.
[26]
We stress that the main subject matter raised by private respondent before the trial
court was not the issue of compensation (the subject matter of EO 405 ). Note that no
amount had yet been determined nor proposed by the DAR. Hence, there was no
occasion to invoke the courts function of determining just compensation.
[27]
[28]
To be sure, the issuance of the Notice of Coverage constitutes the first necessary
step towards the acquisition of private land under the CARP. Plainly then, the propriety
of the Notice relates to the implementation of the CARP, which is under the quasijudicial jurisdiction of the DAR. Thus, the DAR could not be ousted from its authority by
the simple expediency of appending an allegedly constitutional or legal dimension to an
issue that is clearly agrarian.
[29]
In view of the foregoing, there is no need to address the other points pleaded by
respondent in relation to the jurisdictional issue.We need only to point that in case of
doubt, the jurisprudential trend is for courts to refrain from resolving a controversy
involving matters that demand the special competence of administrative agencies, even
if the question[s] involved [are] also judicial in character, as in this case.
[30]
Second Issue:
Preliminary Injunction
Having declared the RTCs to be without jurisdiction over the instant case, it follows
that the RTC of La Carlota City (Branch 63) was devoid of authority to issue the
assailed Writ of Preliminary Injunction. That Writ must perforce be stricken down as a
nullity.Such nullity is particularly true in the light of the express prohibitory provisions of
the CARP and this Courts Administrative Circular Nos. 29-2002 and 38-2002. These
Circulars enjoin all trial judges to strictly observe Section 68 of RA 6657, which reads:
SO ORDERED.
Sandoval-Gutierrez, Corona, and Carpio-Morales, JJ., concur.
[1]
[2]
Penned by Justice Wenceslao I. Agnir Jr. and concurred in by Justices B. A. Adefuin-de la Cruz (chair,
Twelfth Division) and Josefina Guevara-Salonga.
[3]
[4]
CA Decision, p. 7; id., p. 36
[5]
[6]
The Petition was deemed submitted for decision on June 18, 2003, upon the Courts receipt of
petitioners Supplemental Memorandum signed by Atty. Girlie B. Rocha of the Bureau of Agrarian
Legal Assistance, Department of Agrarian Reform. Petitioner filed its Memorandum, also signed
by Atty. Rocha, on May 22, 2003; while the Court received private respondents Memorandum
signed by Atty. Jose J. Diaz on June 4, 2003.
[7]
[8]
Alemars (Sibal & Sons), Inc. v. CA, 350 SCRA 333, 339, January 26, 2001; Saura v. Saura Jr., 313
SCRA 465, 472, September 1, 1999; Salva v. CA, 364 Phil. 281, 303, March 11, 1999.
[9]
Unilongo v. CA, 365 Phil. 105, 114, April 5, 1999; Abrin v. Campos, 203 SCRA 420, 423, November 12,
1991; Spouses De la Cruz v. Bautista, 186 SCRA517, 525, June 14, 1990.
[10]
Unilongo v. CA, supra; Garcia v. CA, 339 Phil. 433, 441-442, June 10, 1997.
[11]
[12]
Sec. 155. Powers of the Court; Rules and Procedures. - The Courts of Agrarian Relations shall have all
the powers and prerogatives inherent in or belonging to the Court of First Instance.
The Courts of Agrarian Relations shall be governed by the Rules of Court: Provided, That in the hearing,
investigation and determination of any question or controversy pending before them, the Courts
without impairing substantial rights, shall not be bound strictly by the technical rules of evidence
and procedure, except in expropriation cases.
[13]
154 of RA 3844.
[14]
44 of BP 129 reads:
Sec. 44. Transitory provisions. - The provisions of this Act shall be immediately carried out in accordance
with an Executive Order to be issued by the President.The Court of Appeals, the Courts of First
Instance, the Circuit Criminal Courts, the Juvenile and Domestic Relations Courts, the Courts of
Agrarian Relations, the City Courts, the Municipal Courts, and the Municipal Circuit Courts shall
continue to function as presently constituted and organized, until the completion of the
reorganization provided in this Act as declared by the President. Upon such declaration, the said
courts shall be deemed automatically abolished and the incumbents thereof shall cease to hold
office. The cases pending in the old Courts shall be transferred to the appropriate Courts
constituted pursuant to this Act, together with the pertinent functions, records, equipment,
property and the necessary personnel.
x x x x x x x x x (Italics supplied)
[15]
[16]
19(7) of BP 129. See also Pagara v. CA, 325 Phil. 66, 80, March 12, 1996; and Philippine National
Bank v. Florendo, 206 SCRA 582, 587, February 26, 1992.
[17]
Providing the Mechanisms for the Implementation of the Comprehensive Agrarian Reform Program.
[18]
201 SCRA 609, 613-614, September 13, 1991, per Regalado, J. (cited in Machete v. CA, 320 Phil. 227,
233-234, November 20, 1995).
[19]
[20]
[21]
[22]
[23]
Issued on July 1, 2002. The Circular seeks the avoidance of conflict of jurisdiction over cases under the
Comprehensive Agrarian Reform Law of 1988 (RA No. 6657).
[24]
The case caption is Annulment of Notice of Coverage and Declaration of Unconstitutionality of E.O. No.
405, Series of 1990 with Preliminary Injunction and Restraining Order. Rollo, pp. 40-A to 53.
[25]
[26]
[27]
Sec. 1. The Land Bank of the Philippines shall be primarily responsible for the determination of the land
valuation and compensation for all private lands suitable for agriculture under either the Voluntary
Offer to Sell (VOS) or Compulsory Acquisition (CA) arrangement as governed by Republic Act
No. 6657. The Department of Agrarian Reform shall make use of the determination of the land
valuation and compensation by the Land Bank of the Philippines, in the performance of its
functions.
After effecting the transfer of titles from the landowner to the Republic of the Philippines, the Land Bank of
the Philippines shall inform the Department of Agrarian Reform of such fact in order that the latter
may proceed with the distribution of the lands to the qualified agrarian reform beneficiaries within
the time specified by law.
Sec. 2. The Department of Agrarian Reform shall continue to perform its functions under Republic Act No.
6657, particularly in the identification of the priority landholdings for coverage under the
Comprehensive Agrarian Reform Program.
xxxxxxxxx
Sec. 4. This Executive Order shall not be construed to diminish the rights and remedies of the landowners
and agrarian reform beneficiaries under Republic Act No. 6657.
[28]
Association of Small Landowners in the Philippines, Inc. v. Secretary of Agrarian Reform, 175 SCRA
343, 380, July 14, 1989. See also Section 57 of RA 6657 regarding the jurisdiction of the Special
Agrarian Courts.
[29]
16 of RA 6657 outlines the procedure for acquisition of private lands. The pertinent provisions provide:
(a) After having identified the land, the landowners and the beneficiaries, the DAR shall send its notice to
acquire the land to the owners thereof, by personal delivery or registered mail, and post the same
in a conspicuous place in the municipal building and barangay hall of the place where the
property is located. Said notice shall contain the offer of the DAR to pay a corresponding value in
accordance with the valuation set forth in Sections 17, and 18, and other pertinent provisions
hereof.
xxxxxxxxx
(d) In case of rejection or failure to reply, the DAR shall conduct summary administrative proceedings to
determine the compensation for the land requiring the landowner, the LBP and other interested
parties to submit evidence as to the just compensation for the land, within fifteen (15) days from
the receipt of the notice. After the expiration of the above period, the matter is deemed submitted
for decision. The DAR shall decide the case within thirty (30) days after it is submitted for
decision. (Italics supplied)
[30]
Villaflor v. CA, 345 Phil. 524, 559, October 9, 1997, per Panganiban, J.