Sps Lee and Huang v. Land Bank of The Philippines

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G.R. No.

218867, February 17, 2016

SPOUSES EDMOND LEE AND HELEN HUANG, Petitioners, v. LAND


BANK OF THE PHILIPPINES, Respondent.

FACTS:

Petitioners-spouses Edmond Lee and Helen Huang (petitioners) are the registered
owners of parcels of land with an aggregate area of 5.4928 hectares (has.) situated in
Mambog, Hermosa, Bataan and covered by Transfer Certificate of Title (TCT) No. T-
26257 of the Register of Deeds of Bataan (subject property). The subject property was
compulsorily acquired by the Department of Agrarian Reform (DAR) in accordance with
Republic Act No. (RA) 6657, as amended, otherwise known as the "Comprehensive
Agrarian Reform Law of 1988."

DAR offered the sum of P109,429.98 as just compensation for the 1.5073-ha. portion of
the subject property. Rejecting the valuation, petitioners instead filed the present petition
for determination of just compensation against Provincial Adjudicator Erasmo SP. Cruz
of the Department of Agrarian Reform Adjudication Board (DARAB) and herein
respondent before the RTC, docketed as Civil Case No. 7171.

In defense, respondent claimed that its valuation was based on DAR Administrative Order
(AO) No. 11, series of 1994, as amended by DAR AO No. 5, series of 1998. It also
contended that petitioners' appraisal was biased.

The RTC Ruling and Subsequent Proceedings

After due proceedings, the RTC, sitting as a SAC, rendered a Decision dated January 17,
2002 rejecting the valuation given by respondent and setting the just compensation for
petitioners' 1.5073 has. at P250.00 per square meter, or a total amount of P3,768,250.00.
It took judicial notice of the fact that the lots within the vicinity of the subject property are
valued between F200.00 to P500.00 per square meter.

Respondent's motion for reconsideration was denied in an Order dated June 14, 2002.

Petitioners filed a motion for execution of the RTC's January 17, 2002 Decision, alleging
that while they received a copy of respondent's Notice of Appeal dated June 19, 2002,
upon verification, no such appeal was actually filed before the RTC. Respondent denied
petitioners' claim and asserted that it filed a Notice of Appeal in accordance with the rules
and has, therefore, perfected its appeal. As such, the RTC's January 17, 2002 Decision
was not yet final and executory.

Finding that respondent had perfected its appeal and based on equitable considerations
and the highest interest of justice, the RTC, in an Order dated June 7, 2007, gave due
course to respondent's appeal and directed that the entire records thereof be transmitted

Remedial Law
to the CA.

The RTC clarified that respondent was able to file its Notice of Appeal within the
prescribed period and that a postal money order in the amount of P520.00 had been
issued by respondent in favor of the Clerk of Court of the RTC of Balanga City, Bataan,
representing the payment of the appeal fee.

Upon a meticulous inspection of the records, the RTC found that respondent failed to pay
the prescribed appeal fees. While it is true that Postal Money Order No. J8353389-390
had been issued by respondent as purported payment therefor, records show that the
amount pertaining thereto had not been remitted or credited to the account of the Office
of the Clerk of Court of the RTC. According to the Officer-in-Charge (OIC) Clerk of Court
of the RTC, Mr. Gelbert Argonza (Mr. Argonza), respondent's failure to pay the appeal
fees was the reason why the records of the case were not transmitted to the CA,
explaining that proof of payment of the appeal fees is a required attachment that forms
part of the records to be transmitted to the CA.

ISSUE: Whether or not the CA erred in finding grave abuse of discretion on the part of
the RTC when it dismissed respondent's appeal for failure to prosecute.

HELD:

Failure to transmit appeal; appellant’s duty to prosecute.

It was held that even if the prescribed fees have already been paid, the appellant still has
the duty to exercise diligence and prudence in ascertaining that the records of the case
have been transmitted to the CA and that the appeal has been given due course.
Appellants who fail to exercise that duty shall be considered to have abandoned their
appeal and to have consequently failed to prosecute it.

Under the Rules of Court (Section 3 of rule 44), if the original record, or the record on
appeal, is not transmitted to the CA within 30 days after the perfection of the appeal either
party may file a motion with the trial court for the transmittal of that record. It is an
established rule that appellants have the duty to prosecute their appeal with reasonable
diligence.

Remedial Law

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