conversion of agri lands

8/10/2019 Conversion of Agri Lands

1/7

SECOND DIVISION

JOSE LUIS ROS, ANDONI F.

ABOITIZ, XAVIER ABOITIZ,

ROBERTO E. ABOITIZ, ENRIQUE

ABOITIZ, MATTHIAS G.

MENDEZONA, CEBU INDUSTRIAL

PARK DEVELOPERS, INC. and FBM

ABOITIZ MARINE, INC.,

P e t i t i o n e r s,

- versus -

DEPARTMENT OF AGRARIAN

REFORM, HON. ERNESTO

GARILAO, in his capacity as DAR

Secretary, and DIR. JOSE LLAMES,

in his capacity as Director of DAR-

Regional 7,

R e s p o n d e n t s.

G.R. No. 132477

Present:

PUNO,

Chairman,

AUSTRIA-MARTINEZ,

CALLEJO, SR.,

TINGA, and

CHICO-NAZARIO,JJ.

Promulgated:

August 31, 2005

x- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -x

D E C I S I O N

CHICO-NAZARIO,J.:

Petitioners are the owners/developers of several parcels of land

located in Arpili, Balamban, Cebu. By virtue of Municipal Ordinance No. 101

passed by the Municipal Council of Balamban, Cebu, these lands were

reclassified as industrial lands.[1]

On 03 April 1995, the Provincial Board of

Cebu approved Balambans land use plan and adopted en totoBalambans

Municipal Ordinance No. 101 with the passage of Resolution No. 836-95 and

Provincial Ordinance No. 95-8, respectively.[2]

As part of their preparation for

the development of the subject lands as an industrial park, petitioners

secured all the necessary permits and appropriate government

certifications.[3]

Despite these permits and certifications, petitioner Matthias

Mendezona received a letter from Mr. Jose Llames, Director of the

Department of Agrarian Reform (DAR) Regional Office for Region 7, informing

him that the DAR was disallowing the conversion of the subject lands for

industrial use and directed him to cease and desist from further

developments on the land to avoid the incurrence of civil and criminal

liabilities.[4]

Petitioners were thus constrained to file with the Regional Trial Court

(RTC) of Toledo City a Complaint dated 29 July 1996 for Injunction with

Application for Temporary Restraining Order and a Writ of Preliminary

Injunction, docketed as Civil Case No. T-590.[5]

In an order[6]

dated 12 August

1996, the RTC, ruling that it is the DAR which has jurisdiction, dismissed the

Complaint for lack of jurisdiction.[7]

It justified the dismissal in this wise:

A perusal of Section 20 of the Local Government Code expressly

provides that the Municipalities through an Ordinance by the Sanggunian

may authorize the reclassification of the agricultural land within their areainto non-agricultural. Paragraph (e) of the aforesaid Section, provides

further: that nothing in this Section shall be construed as repealing or

modifying in any manner the provision of Republic Act 6657. In an opinion of

the Secretary of Justice, quoted: With respect of (sic) conversion of

agricultural land to non-agricultural uses the authority of the DAR to approve

the same may be exercise (sic) only from the date of the effectivity of the

Agrarian Reform Law on June 15, 1988. It appears that the petitioners had

applied for conversion on June 13, 1995 and therefore the petitioner (sic) are

estopped from questioning the authority and jurisdiction of the Department

of Agrarian Reform. The application having been filed after June 15, 1988,

the reclassification by the Municipal Council of Balamban was just a step in

the conversion of the aforestated lands according to its purpose. Executive

Order No. 129-A, Section 5, The Department shall be responsible for

implementing Comprehensive Agrarian Reform and for such purpose it is

authorized to (J) approve or disapprove the conversion, restructuring or

readjustment of agricultural land into non-agricultural uses. Said Executive

Order amended Section 36 of Republic Act No. 3644 which clearly mandates

that the DAR Secretary (sic) approve or disapprove conversion are not

impliedly repealed. In fact, under Section 75 of Republic Act 6657 the abov

laws and other laws not inconsistent of (sic) this act shall have suppletory

effect. Further, Section 68 of Republic Act 6657 provides: No injunction

restraining order, prohibition or mandamus shall be issued by the lowe

court against the Department of Agrarian Reform, DENR and Department o

Justice in their implementation of the program. With this provision, it i

therefore clear (sic) when there is conflict of laws determining whether the

Department of Agrarian Reform has been exclusively empowered by law to

approve land conversion after June 15, 1988 and (sic) the final ruling fall

only with the Supreme Court or Office of the President.

WHEREFORE, in view of the foregoing, the Application for Restraining

Order is hereby ordered DENIED and the main case is DISMISSED, this Court

having no jurisdiction over the same.[8]

In an order dated 18 September 1996, the trial court denied the motion

for reconsideration filed by the petitioners.[9]

Petitioners filed before thi

Court a Petition for Review on Certiorariwith application for Temporary

Restraining Order and Writ of Preliminary Injunction.[10]

In a

resolution[11]

dated 11 November 1996, this Court referred the petition to the

Court of Appeals.[12]

Petitioners moved for a reconsideration of the said

resolution but the same was denied in a resolution dated 27 January1997.

[13]

At the Court of Appeals, the public respondents were ordered[14]

to file

their Comments on the petition. Two sets of comments from the public

respondents, one from the Department of Agrarian Reform Provincia

Office[15]

and another from the Office of the Solicitor General,[16]

were

submitted, to which petitioners filed their Consolidated Reply.[17]

On 02 December 1997, the Court of Appeals rendered a

decision[18]

affirming the Order of Dismissal issued by the RTC .[19]

A motion

for reconsideration filed by the petitioners was denied in a resolution dated

30 January 1998.[20]

Hence, this petition.

The following issues[21]are raised by the petitioners for resolution:

(a) Whether or not the reclassification of the subject lands to

industrial use by the Municipality of Balamban, Cebu pursuant to it

authority under Section 20(a) of Republic Act No. 7160 or the Loca

Government Code of 1991 (the LGC) has the effect of taking such lands ou

of the coverage of the CARL and beyond the jurisdiction of the DAR;

(b) Whether or not the Complaint for Injunction may be dismissed

under the doctrine of primary jurisdiction;

(c) Whether or not the Complaint for Injunction is an appropriate

remedy against the order of the DAR enjoining development works on the

subject lands;

(d) Whether or not the Regional Trial Court of Toledo City hadauthority to issue a writ of injunction against the DAR.

In sum, petitioners are of the view that local governments have the

power to reclassify portions of their agricultural lands, subject to the

conditions set forth in Section 20[22][23]

of the Local Government Code.

According to them, if the agricultural land sought to be reclassified by the

local government is one which has already been brought under the coverage

of the Comprehensive Agrarian Reform Law (CARL) and/or which has been

distributed to agrarian reform beneficiaries, then such reclassification mus

be confirmed by the DAR pursuant to its authority under Section 6522

of the

CARL, in order for the reclassification to become effective. If, however, the

land sought to be reclassified is not covered by the CARL and not distributed
http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn1http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn1http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn1http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn2http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn2http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn2http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn3http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn3http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn3http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn4http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn4http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn4http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn5http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn5http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn5http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn6http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn6http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn6http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn7http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn7http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn7http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn8http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn8http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn8http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn9http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn9http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn9http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn10http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn10http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn10http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn11http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn11http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn11http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn12http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn12http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn12http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn13http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn13http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn13http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn14http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn14http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn14http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn15http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn15http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn15http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn16http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn16http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn16http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn17http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn17http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn17http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn18http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn18http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn18http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn19http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn19http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn19http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn20http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn20http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn20http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn21http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn21http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn21http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn22http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn22http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn22http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn22http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn22http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn21http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn20http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn19http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn18http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn17http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn16http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn15http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn14http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn13http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn12http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn11http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn10http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn9http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn8http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn7http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn6http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn5http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn4http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn3http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn2http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn1


2/7

to agrarian reform beneficiaries, then no confirmation from the DAR is

necessary in order for the reclassification to become effective as such case

would not fall within the DARs conversion authority. Stated otherwise,

Section 65 of the CARL does not, in all cases, grant the DAR absolute,

sweeping and all-encompassing power to approve or disapprove

reclassifications or conversions of all agricultural lands. Said section only

grants the DAR exclusive authority to approve or disapprove conversions of

agricultural lands which have already been brought under the coverage of

the CARL and which have already been distributed to farmer beneficiaries.

The petition lacks merit.

After the passage of Republic Act No. 6657, otherwise known as

Comprehensive Agrarian Reform Program, agricultural lands, though

reclassified, have to go through the process of conversion, jurisdiction over

which is vested in the DAR. However, agricultural lands already reclassified

before the effectivity of Rep. Act No. 6657 are exempted from conversion.

Department of Justice Opinion No. 44, Series of 1990, provides:

. . . True, the DARs express power over land use conversion is limited

to cases in which agricultural lands already awarded have, after five years,

ceased to be economically feasible and sound for agricultural purposes, or

the locality has become urbanized and the land will have a greater economic

value for residential, commercial or industrial purposes. But to suggest that

these are the only instances when the DAR can require conversion clearances

would open a loophole in R.A. No. 6657, which every landowner may use to

evade compliance with the agrarian reform program. Hence, it shouldlogically follow from the said departments express duty and function to

execute and enforce the said statute that any reclassification of a private

land as a residential, commercial or industrial property should first be cleared

by the DAR.

The requirement that agricultural lands must go through the process of

conversion despite having undergone reclassification was underscored in the

case ofAlarcon v. Court of Appeals,[24]

where it was held that reclassification

of land does not suffice:

In the case at bar, there is no final order of conversion. The subject

landholding was merely reclassified. Conversion is different from

reclassification. Conversion is the act of changing the current use of a piece

of agricultural land into some other use as approved by the Department ofAgrarian Reform. Reclassification, on the other hand, is the act of specifying

how agricultural lands shall be utilized for non-agricultural uses such as

residential, industrial, commercial, as embodied in the land use plan, subject

to the requirements and procedure for land use conversion. Accordingly, a

mere reclassification of agricultural land does not automatically allow a

landowner to change its use and thus cause the ejectment of the tenants. He

has to undergo the process of conversion before he is permitted to use the

agricultural land for other purposes.

Rep. Act No. 6657 took effect on 15 June 1988. Municipal Ordinance No.

101 of Balamban, Cebu, which reclassified the subject lands, was passed on

25 March 1992, and Provincial Ordinance No. 95-8 of the Provincial Board of

Cebu, which adopted Municipal Ordinance No. 101, was passed on 03 April

1995, long after Rep. Act No. 6657 has taken effect. Section 4 of Rep. Act No.

6657 provides:

SEC. 4. Scope.The Comprehensive Agrarian Reform Law of 1988 shall

cover, regardless of tenurial arrangement and commodity produced, all

public and private agricultural lands as provided in Proclamation No. 131 and

Executive Order No. 229, including other lands of the public domain suitable

for agriculture.

. . .

(d) All private lands devoted to or suitable for agriculture regardless

of the agricultural products raised or that can be raised thereon.

To further clarify any doubt on its authority, the DAR issued

Administrative Order No. 12 dated October 1994 which reads:

Administrative Order No. 12

Series of 1994

SUBJECT: CONSOLIDATED AND REVISED RULES AND PROCEDURES GOVERNING CONVERSION O

ARICULTURAL LANDS TO NON-AGRICULTURAL USES

I. PREFATORY STATEMENT

The guiding principles on land use conversion is to preserve prime

agricultural lands. On the other hand, conversion of agricultural lands, when

coinciding with the objectives of the Comprehensive Agrarian Reform Law to

promote social justice, industrialization, and the optimum use of land as a

national resource for public welfare, shall be pursued in a speedy and

judicious manner.

To rationalize these principles, and by virtue of Republic Act (R.A.) No. 3844

as amended, Presidential Decree (P.D.) No. 27, P.D. No. 946, Executive Orde

(E.O.) No. 129-A and R.A. No. 6657, the Department of Agrarian Reform

(DAR) has issued several policy guidelines to regulate land use conversion

This Administrative Order consolidates and revises all existing implementing

guidelines issued by the DAR, taking into consideration, other Presidentia

issuances and national policies related to land use conversion.

II. LEGAL MANDATE

A. The Department of Agrarian Reform (DAR) is mandated to approve o

disapprove applications for conversion, restructuring or readjustment o

agricultural lands into non-agricultural uses, pursuant to Section 4(i) o

Executive Order No. 129-A, Series of 1987.

B. Section 5(i) of E.O. No. 129-A, Series of 1987, vests in the DAR, exclusive

authority to approve or disapprove applications for conversion of agricultura

lands for residential, commercial, industrial, and other land uses.

C. Section 65 of R.A. No. 6657, otherwise known as the Comprehensive Agrarian

Reform Law of 1988, likewise empowers the DAR to authorize under certain

conditions, the reclassification or conversion of agricultural lands.

D. Section 4 of Memorandum Circular No. 54, Series of 1993 of the Office of the

President, provides that action on applications for land use conversion on

individual landholdings shall remain as the responsibility of the DAR, which

shall utilize as its primary reference, documents on the comprehensive land

use plans and accompanying ordinances passed upon and approved by the

local government units concerned, together with the National Land Use

Policy, pursuant to R.A. No. 6657 and E.O. No. 129-A.

III. DEFINITION OF TERMS

A. Agricultural land refers to land devoted to agricultural activity and not classified

as mineral, forest, residential, commercial or industrial land (Section 3[c]

R.A. No. 6657).

B. Conversion is the act of changing the current use of a piece of agricultural land

into some other use.

C. Reclassification of agricultural lands is the act of specifying how agricultural land

shall be utilized for non-agricultural uses such as residential, industria

commercial, as embodied in the land use plan. It also includes the reversion

of non-agricultural lands to agricultural use.

. . .

V. COVERAGE

These rules shall cover all private agricultural lands as defined herein

regardless of tenurial arrangement and commodity produced. It shall also

include agricultural lands reclassified by LGUs into non-agricultural uses

after June 15, 1988, pursuant to Memorandum Circular (M.C.) No. 54, Series

of 1993 of the Office of the President and those proposed to be used fo
http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn24http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn24http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn24http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn24


3/7

livestock, poultry and swine raising as provided in DAR Administrative Order

No. 9, Series of 1993.

In the case ofAdvincula-Velasquez v. Court of Appeals,[25]

we held:

Our ruling in the Nataliacase was reiterated in National Housing

Authority v. Allarde (318 SCRA 22 [1999]).

The Court of Appeals reliance on DOJ Opinion No. 44, Series of 1990,

is in order. In the said opinion, the Secretary of Justice declared, viz:

Based on the foregoing premises, we reiterate the view that with

respect to conversions of agricultural lands covered by R.A. No. 6657 to non-

agricultural uses, the authority of DAR to approve such conversions may be

exercised from the date of the laws effectivity on June 15, 1988. This

conclusion is based on a liberal interpretation of R.A. No. 6657 in the light of

DARs mandate and extensive coverage of the agrarian reform program.

Following the DOJ opinion, the DAR issued Administrative Order No. 6,

Series of 1994, stating that lands already classified as non-agricultural before

the enactment of Rep. Act No. 6657 no longer needed any conversion

clearance:

I. Prefatory Statement

In order to streamline the issuance of exemption clearances, based on

DOJ Opinion No. 44, the following guidelines are being issued for the

guidance of the DAR and the public in general.

II. Legal Basis

Sec. 3(c) of RA 6657 states that agricultural lands refers to the land

devoted to agricultural activity as defined in this act and not classified as

mineral, forest, residential, commercial or industrial land.

Department of Justice Opinion No. 44, series of 1990 has ruled that,

with respect to the conversion of agricultural lands covered by RA No. 6657

to non-agricultural uses, the authority of DAR to approve such conversion

may be exercised from the date of its effectivity, on June 15, 1988. Thus, all

lands that are already classified as commercial, industrial, or residentialbefore 15 June 1988 no longer need any conversion clearance.

The authority of the DAR to approve conversions of agricultural lands

covered by Rep. Act No. 6657 to non-agricultural uses has not been pierced

by the passage of the Local Government Code. The Code explicitly

provides[26]

that nothing in this section shall be construed as repealing or

modifying in any manner the provisions of Rep. Act No. 6657.

It being settled that jurisdiction over conversion of land is vested in the

DAR, the complaint for injunction was correctly dismissed by the trial and

appellate courts under the doctrine of primary jurisdiction. This Court,

in Bautista v. Mag-isa Vda. De Villena,[27]

found occasion to reiterate the

doctrine of primary jurisdiction

The doctrine of primary jurisdiction precludes the courts from

resolving a controversy over which jurisdiction has initially been lodged with

an administrative body of special competence. For agrarian reform cases,

jurisdiction is vested in the Department of Agrarian Reform (DAR); more

specifically, in the Department of Agrarian Reform Adjudication Board

(DARAB).

Executive Order 229 vested the DAR with (1) quasi-judicial powers to

determine and adjudicate agrarian reform matters; and (2) jurisdiction over

all matters involving the implementation of agrarian reform, except those

falling under the exclusive original jurisdiction of the Department of

Agriculture and the Department of Environment and Natural Resources. This

law divested the regional trial courts of their general jurisdiction to try

agrarian reform matters.

Under Republic Act 6657, the DAR retains jurisdiction over all agrarian

reform matters. The pertinent provision reads:

Section 50. Quasi-Judicial Powers of the DAR. The DAR is hereby

vested with the primary jurisdiction to determine and adjudicate agrarian

reform matters and shall have exclusive original jurisdiction over all matter

involving the implementation of agrarian reform, except those falling unde

the exclusive jurisdiction of the Department of Agriculture and the

Department of Environment and Natural Resources.

It shall not be bound by technical rules of procedure and evidence

but shall proceed to hear and decide all cases, disputes or controversies in a

most expeditious manner, employing all reasonable means to ascertain the

facts of every case in accordance with justice and equity and the merits of

the case. Toward this end, it shall adopt a uniform rule of procedure to

achieve a just, expeditious and inexpensive determination of every action o

proceeding before it. . . .

Finally, the third and fourth issues which may be summed up into

whether or not an injunction is the appropriate remedy against the order o

the DAR enjoining petitioners in developing the subject land, we rule in the

negative. Section 68 of Rep. Act No. 6657 provides:

SEC. 68. Immunity of Government Agencies from Undue Interference

No injunction, restraining order, prohibition or mandamus shall be issued

by the lower courts against the Department of Agrarian Reform (DAR), theDepartment of Agriculture (DA), the Department of Environment and Natura

Resources (DENR), and the Department of Justice (DOJ) in thei

implementation of the program.

WHEREFORE, premises considered, the instant petition is DENIED fo

lack of merit. The decision of the Court of Appeals in CA-G.R. SP No. 42666

dated 02 December 1997 affirming the order dated 12 August 1996 of the

Regional Trial Court of Toledo City, Branch 29, in Civil Case No. T-590 is

AFFIRMED. Costs against petitioners.

Ros, et al. vs DAR, et al.G.R. No. 132477, August 31, 2005FACTS:

Petitioners are the owners/developers of several parcels of land. By virtue o

a MunicipalOrdinance, these lands were reclassified as industrial lands. Aspart of their preparation for thedevelopment of the subject lands as an

industrial park, petitioners secured all the necessary permits andappropriate

government certifications.However, the DAR disallowed the conversion o

the subject lands for industrial use and directed thepetitioners to cease and

desist from further developments on the land.Petitioners filed with the RTC a

Complaint for Injunction with Application for TemporaryRestraining Orde

and a Writ of Preliminary Injunction. However, the RTC, ruling that it is the

DAR whichhas jurisdiction, dismissed the complaint.When the case wa

brought to the SC, it was referred to the CA. However, the CA affirmed

thedismissal of the case. Hence, this petition.

ISSUES:

1. Whether or not the DAR has the primary jurisdiction over the case.

After the passage of Republic Act No. 6657, otherwise known as

Comprehensive AgrarianReform Program, agricultural lands, though

reclassified, have to go through the process of conversion, jurisdiction overwhich is vested in the DAR.The Department of Agrarian Reform (DAR) i

mandated to approve or disapprove applicationsfor conversion

restructuring or readjustment of agricultural lands into non-agricultura

uses, pursuantto Section 4(i) of Executive Order No. 129-A, Series o

1987.Section 65 of R.A. No. 6657, otherwise known as the Comprehensive

Agrarian Reform Law of 1988, likewise empowers the DAR to authorize unde

certain conditions, the reclassification orconversion of agricultural lands.I

being settled that jurisdiction over conversion of land is vested in the DAR

the complaint forinjunction was correctly dismissed by the trial and appellate

courts under the doctrine of primary jurisdiction. The doctrine of primary

jurisdiction precludes the courts from resolving a controversy overwhic

jurisdiction has initially been lodged with an administrative body of specia

competence. Foragrarian reform cases, jurisdiction is vested in the
http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn25http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn25http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn25http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn26http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn26http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn26http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn27http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn27http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn27http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn27http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn26http://sc.judiciary.gov.ph/jurisprudence/2005/aug2005/132477.htm#_ftn25


4/7

Department of Agrarian Reform (DAR); morespecifically, in the Department

of Agrarian Reform Adjudication Board (DARAB).

2. Whether or not the RTC can issue a writ of injunction against the DAR.

Section 68 of Rep. Act No. 6657 provides:

SEC. 68. Immunity of Government Agencies from Undue Interference. No

injunction, restrainingorder, prohibition or mandamus shall be issued by the

lower courts against the Department of AgrarianReform (DAR), the

Department of Agriculture (DA), the Department of Environment and Natural

Resources (DENR), and the Department of Justice (DOJ) in their

implementation of the program.

G.R. No. 183409 June 18, 2010

CHAMBER OF REAL ESTATE AND BUILDERS ASSOCIATIONS, INC.

(CREBA),petitioner,

vs.

THE SECRETARY OF AGRARIAN REFORM,Respondent.

D E C I S I O N

PEREZ,J.:

This case is a Petition for Certiorari and Prohibition (with application for

temporary restraining order and/or writ of preliminary injunction) under Rule

65 of the 1997 Revised Rules of Civil Procedure, filed by herein petitioner

Chamber of Real Estate and Builders Associations, Inc. (CREBA) seeking to

nullify and prohibit the enforcement of Department of Agrarian Reform

(DAR) Administrative Order (AO) No. 01-02, as amended by DAR AO No. 05-

07,1and DAR Memorandum No. 88,

2for having been issued by the Secretary

of Agrarian Reform with grave abuse of discretion amounting to lack or

excess of jurisdiction as some provisions of the aforesaid administrative

issuances are illegal and unconstitutional.

Petitioner CREBA, a private non-stock, non-profit corporation duly organizedand existing under the laws of the Republic of the Philippines, is the umbrella

organization of some 3,500 private corporations, partnerships, single

proprietorships and individuals directly or indirectly involved in land and

housing development, building and infrastructure construction, materials

production and supply, and services in the various related fields of

engineering, architecture, community planning and development financing.

The Secretary of Agrarian Reform is named respondent as he is the duly

appointive head of the DAR whose administrative issuances are the subject

of this petition.

The Antecedent Facts

The Secretary of Agrarian Reform issued, on 29 October 1997, DAR AO No.

07-97,3entitled "Omnibus Rules and Procedures Governing Conversion of

Agricultural Lands to Non-Agricultural Uses," which consolidated all existing

implementing guidelines related to land use conversion. The aforesaid rules

embraced all private agricultural lands regardless of tenurial arrangement

and commodity produced, and all untitled agricultural lands and agriculturallands reclassified by Local Government Units (LGUs) into non-agricultural

uses after 15 June 1988.

Subsequently, on 30 March 1999, the Secretary of Agrarian Reform issued

DAR AO No. 01-99,4entitled "Revised Rules and Regulations on the

Conversion of Agricultural Lands to Non-agricultural Uses," amending and

updating the previous rules on land use conversion. Its coverage includes the

following agricultural lands, to wit: (1) those to be converted to residential,

commercial, industrial, institutional and other non-agricultural purposes; (2)

those to be devoted to another type of agricultural activity such as livestock,

poultry, and fishpond the effect of which is to exempt the land from the

Comprehensive Agrarian Reform Program (CARP) coverage; (3) those to be

converted to non-agricultural use other than that previously authorized; and

(4) those reclassified to residential, commercial, industrial, or other non-

agricultural uses on or after the effectivity of Republic Act No. 665 75on 15

June 1988 pursuant to Section 20

6

of Republic Act No. 7160

7

and otherpertinent laws and regulations, and are to be converted to such uses.

On 28 February 2002, the Secretary of Agrarian Reform issued another

Administrative Order, i.e., DAR AO No. 01-02, entitled "2002 Comprehensive

Rules on Land Use Conversion," which further amended DAR AO No. 07-97

and DAR AO No. 01-99, and repealed all issuances inconsistent therewith.

The aforesaid DAR AO No. 01-02 covers all applications for conversion from

agricultural to non-agricultural uses or to another agricultural use.

Thereafter, on 2 August 2007, the Secretary of Agrarian Reform amended

certain provisions8of DAR AO No. 01-02 by formulating DAR AO No. 05-07,

particularly addressing land conversion in time of exigencies and calamities.

To address the unabated conversion of prime agricultural lands for real

estate development, the Secretary of Agrarian Reform further issued

Memorandum No. 88 on 15 April 2008, which temporarily suspended the

processing and approval of all land use conversion applications.

By reason thereof, petitioner claims that there is an actual slow down of

housing projects, which, in turn, aggravated the housing shortage

unemployment and illegal squatting problems to the substantial prejudice

not only of the petitioner and its members but more so of the whole nation.

Hence, this petition.

The Issues

In its Memorandum, petitioner posits the following issues:

I.

WHETHER THE DAR SECRETARY HAS JURISDICTION OVER LANDS THAT HAVE

BEEN RECLASSIFIED AS RESIDENTIAL, COMMERCIAL, INDUSTRIAL, OR FOR

OTHER NON-AGRICULTURAL USES.

II.

WHETHER THE DAR SECRETARY ACTED IN EXCESS OF HIS JURISDICTION AND

GRAVELY ABUSED HIS DISCRETION BY ISSUING AND ENFORCING [DAR AO NO

01-02, AS AMENDED] WHICH SEEK TO REGULATE RECLASSIFIED LANDS.

III.

WHETHER [DAR AO NO. 01-02, AS AMENDED] VIOLATE[S] THE LOCA

AUTONOMY OF LOCAL GOVERNMENT UNITS.

IV.

WHETHER [DAR AO NO. 01-02, AS AMENDED] VIOLATE[S] THE DUE PROCESS

AND EQUAL PROTECTION CLAUSE[S] OF THE CONSTITUTION.

V.

WHETHER MEMORANDUM NO. 88 IS A VALID EXERCISE OF POLICE POWER.9

The subject of the submission that the DAR Secretary gravely abused his

discretion is AO No. 01-02, as amended, which states:

Section 3.Applicability of Rules. These guidelines shall apply to a

applications for conversion, from agricultural to non-agricultural uses or to

another agricultural use, such as:x x x x

3.4 Conversion of agricultural lands or areas that have been reclassified by

the LGU or by way of a Presidential Proclamation, to residential, commercia

industrial, or other non-agricultural uses on or after the effectivity of RA

6657 on 15 June 1988, x x x. [Emphasis supplied].

Petitioner holds that under Republic Act No. 6657 and Republic Act No

8435,10

the term agricultural lands refers to "lands devoted to or suitable for

the cultivation of the soil, planting of crops, growing of fruit trees, raising o

livestock, poultry or fish, including the harvesting of such farm products, and

other farm activities and practices performed by a farmer in conjunction with

such farming operations done by a person whether natural or juridical, and

not classified by the law as mineral, forest, residential, commercial o

industrial land." When the Secretary of Agrarian Reform, however, issued

DAR AO No. 01-02, as amended, he included in the definition of agricultura

lands "lands not reclassified as residential, commercial, industrial or othe

non-agricultural uses before 15 June 1988." In effect, lands reclassified fromagricultural to residential, commercial, industrial, or other non-agricultura

uses after 15 June 1988 are considered to be agricultural lands for purposes

of conversion, redistribution, or otherwise. In so doing, petitioner avows that

the Secretary of Agrarian Reform acted without jurisdiction as he has no

authority to expand or enlarge the legal signification of the term agricultura

lands through DAR AO No. 01-02. Being a mere administrative issuance, it

must conform to the statute it seeks to implement, i.e., Republic Act No

6657, or to the Constitution, otherwise, its validity or constitutionality may

be questioned.

In the same breath, petitioner contends that DAR AO No. 01-02, as amended

was made in violation of Section 6511

of Republic Act No. 6657 because i

covers all applications for conversion from agricultural to non-agricultura

uses or to other agricultural uses, such as the conversion of agricultural land

or areas that have been reclassified by the LGUs or by way of Presidentia

Proclamations, to residential, commercial, industrial or other non-agriculturauses on or after 15 June 1988. According to petitioner, there is nothing in

Section 65 of Republic Act No. 6657 or in any other provision of law that

confers to the DAR the jurisdiction or authority to require that non-awarded

lands or reclassified lands be submitted to its conversion authority. Thus, in

issuing and enforcing DAR AO No. 01-02, as amended, the Secretary o

Agrarian Reform acted with grave abuse of discretion amounting to lack or

excess of jurisdiction.

Petitioner further asseverates that Section 2.19,12

Article I of DAR AO No. 01

02, as amended, making reclassification of agricultural lands subject to the

requirements and procedure for land use conversion, violates Section 20 o

Republic Act No. 7160, because it was not provided therein that

reclassification by LGUs shall be subject to conversion procedures o

requirements, or that the DARs approval or clearance must be secured to

effect reclassification. The said Section 2.19 of DAR AO No. 01-02, as
http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt1http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt1http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt1http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt2http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt2http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt2http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt3http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt3http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt3http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt4http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt4http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt4http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt5http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt5http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt5http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt6http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt6http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt6http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt7http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt7http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt7http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt8http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt8http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt8http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt9http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt9http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt9http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt10http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt10http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt10http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt11http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt11http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt11http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt12http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt12http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt12http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt12http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt11http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt10http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt9http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt8http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt7http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt6http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt5http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt4http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt3http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt2http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt1


5/7

amended, also contravenes the constitutional mandate on local autonomy

under Section 25,13

Article II and Section 2,14

Article X of the 1987 Philippine

Constitution.

Petitioner similarly avers that the promulgation and enforcement of DAR AO

No. 01-02, as amended, constitute deprivation of liberty and property

without due process of law. There is deprivation of liberty and property

without due process of law because under DAR AO No. 01-02, as amended,

lands that are not within DARs jurisdiction are unjustly, arbitrarily and

oppressively prohibited or restricted from legitimate use on pain of

administrative and criminal penalties. More so, there is discrimination and

violation of the equal protection clause of the Constitution because the

aforesaid administrative order is patently biased in favor of the peasantry at

the expense of all other sectors of society.

As its final argument, petitioner avows that DAR Memorandum No. 88 is not

a valid exercise of police power for it is the prerogative of the legislature and

that it is unconstitutional because it suspended the land use conversion

without any basis.

The Courts Ruling

This petition must be dismissed.

Primarily, although this Court, the Court of Appeals and the Regional Trial

Courts have concurrent jurisdiction to issue writs of certiorari,

prohibition, mandamus, quo warranto, habeas corpus and injunction, such

concurrence does not give the petitioner unrestricted freedom of choice of

court forum.15

In Heirs of BertuldoHinog v. Melicor,16

citing People v.

Cuaresma,17

this Court made the following pronouncements:

This Court's original jurisdiction to issue writs of certiorari is not exclusive. It

is shared by this Court with Regional Trial Courts and with the Court of

Appeals. This concurrence of jurisdiction is not, however, to be taken asaccording to parties seeking any of the writs an absolute, unrestrained

freedom of choice of the court to which application therefor will be directed.

There is after all a hierarchy of courts. That hierarchy is determinative of the

venue of appeals, and also serves as a general determinant of the

appropriate forum for petitions for the extraordinary writs. A becoming

regard for that judicial hierarchy most certainly indicates that petitions for

the issuance of extraordinary writs against first level ("inferior") courts

should be filed with the Regional Trial Court, and those against the latter,

with the Court of Appeals. A direct invocation of the Supreme Courts original

jurisdiction to issue these writs should be allowed only when there are

special and important reasons therefor, clearly and specifically set out in the

petition. This is [an] established policy. It is a policy necessary to prevent

inordinate demands upon the Courts time and attention which are better

devoted to those matters within its exclusive jurisdiction, and to prevent

further over-crowding of the Courts docket.18

(Emphasis supplied.)

The rationale for this rule is two-fold: (a) it would be an imposition upon theprecious time of this Court; and (b) it would cause an inevitable and resultant

delay, intended or otherwise, in the adjudication of cases, which in some

instances had to be remanded or referred to the lower court as the proper

forum under the rules of procedure, or as better equipped to resolve the

issues because this Court is not a trier of facts .19

This Court thus reaffirms the judicial policy that it will not entertain direct

resort to it unless the redress desired cannot be obtained in the appropriate

courts, and exceptional and compelling circumstances, such as cases of

national interest and of serious implications, justify the availment of the

extraordinary remedy of writ of certiorari, calling for the exercise of its

primary jurisdiction.20

Exceptional and compelling circumstances were held present in the following

cases: (a) Chavez v. Romulo,21

on citizens right to bear arms; (b) Government

of [the] United States of America v. Hon. Purganan,22

on bail in extradition

proceedings; (c) Commission on Elections v. Judge Quijano-Padilla,

23

ongovernment contract involving modernization and computerization of voters

registration list; (d) Buklod ng Kawaning EIIB v. Hon. Sec. Zamora,24

on status

and existence of a public office; and (e) Hon. Fortich v. Hon. Corona ,25

on the

so-called "Win-Win Resolution" of the Office of the President which modified

the approval of the conversion to agro-industrial area.26

In the case at bench, petitioner failed to specifically and sufficiently set forth

special and important reasons to justify direct recourse to this Court and why

this Court should give due course to this petition in the first instance, hereby

failing to fulfill the conditions set forth inHeirs of BertuldoHinog v.

Melicor.27

The present petition should have been initially filed in the Court of

Appeals in strict observance of the doctrine on the hierarchy of courts.

Failure to do so is sufficient cause for the dismissal of this petition.

Moreover, although the instant petition is styled as a Petition for Certiorari,

in essence, it seeks the declaration by this Court of the unconstitutionality or

illegality of the questioned DAR AO No. 01-02, as amended, and

Memorandum No. 88. It, thus, partakes of the nature of a Petition for

Declaratory Relief over which this Court has only appellate, not original

jurisdiction.28

Section 5, Article VIII of the 1987 Philippine Constitution

provides:

Sec. 5. The Supreme Court shall have the following powers:

(1) Exercise original jurisdiction over cases affecting ambassadors, othe

public ministers and consuls, and over petitions for certiorari, prohibition

mandamus, quo warranto, and habeas corpus.

(2) Review, revise, reverse, modify, or affirm on appeal or certiorari as the

law or the Rules of Court may provide, final judgments and orders of lower

courts in:

(a) All cases in which the constitutionality or validity of any treaty

international or executive agreement, law, presidential decree

proclamation, order, instruction, ordinance, or regulation is in question

(Emphasis supplied.)

With that, this Petition must necessarily fail because this Court does not have

original jurisdiction over a Petition for Declaratory Relief even if only

questions of law are involved.

Even if the petitioner has properly observed the doctrine of judicia

hierarchy, this Petition is still dismissible.

The special civil action for certiorari is intended for the correction of errors o

jurisdiction only or grave abuse of discretion amounting to lack or excess o

jurisdiction. Its principal office is only to keep the inferior court within the

parameters of its jurisdiction or to prevent it from committing such a grave

abuse of discretion amounting to lack or excess of jurisdiction.29

The essential requisites for a Petition for Certiorari under Rule 65 are: (1) the

writ is directed against a tribunal, a board, or an officer exercising judicial oquasi-judicial functions; (2) such tribunal, board, or officer has acted withou

or in excess of jurisdiction, or with grave abuse of discretion amounting to

lack or excess of jurisdiction; and (3) there is no appeal or any plain, speedy

and adequate remedy in the ordinary course of law.30

Excess of jurisdiction as distinguished from absence of jurisdiction means

that an act, though within the general power of a tribunal, board or officer, is

not authorized and invalid with respect to the particular proceeding, because

the conditions which alone authorize the exercise of the general power in

respect of it are wanting.31

Without jurisdiction means lack or want of lega

power, right or authority to hear and determine a cause or causes

considered either in general or with reference to a particular matter. I

means lack of power to exercise authority.32

Grave abuse of discretion implie

such capricious and whimsical exercise of judgment as is equivalent to lack of

jurisdiction or, in other words, where the power is exercised in an arbitrary

manner by reason of passion, prejudice, or personal hostility, and it must be

so patent or gross as to amount to an evasion of a positive duty or to avirtual refusal to perform the duty enjoined or to act at all in contemplation

of law.33

In the case before this Court, the petitioner fails to meet the above

mentioned requisites for the proper invocation of a Petition for Certiorar

under Rule 65. The Secretary of Agrarian Reform in issuing the assailed DAR

AO No. 01-02, as amended, as well as Memorandum No. 88 did so in

accordance with his mandate to implement the land use conversion

provisions of Republic Act No. 6657. In the process, he neither acted in any

judicial or quasi-judicial capacity nor assumed unto himself any performance

of judicial or quasi-judicial prerogative. A Petition for Certiorari is a specia

civil action that may be invoked only against a tribunal, board, or officer

exercising judicial functions. Section 1, Rule 65 of the 1997 Revised Rules o

Civil Procedure is explicit on this matter, viz.:

SECTION 1. Petition for certiorari. When any tribunal, board or office

exercising judicial or quasi-judicial functions has acted without or in excess oits or his jurisdiction, or with grave abuse of discretion amounting to lack or

excess of jurisdiction, and there is no appeal, nor any plain, speedy, and

adequate remedy in the ordinary course of law, a person aggrieved thereby

may file a verified petition in the proper court, alleging the facts with

certainty and praying that judgment must be rendered annulling o

modifying the proceedings of such tribunal, board or officer.1avvphi1

A tribunal, board, or officer is said to be exercising judicial function where it

has the power to determine what the law is and what the legal rights of the

parties are, and then undertakes to determine these questions and

adjudicate upon the rights of the parties. Quasi-judicial function, on the

other hand, is "a term which applies to the actions, discretion, etc., of public

administrative officers or bodies x x x required to investigate facts o

ascertain the existence of facts, hold hearings, and draw conclusions from
http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt13http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt13http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt13http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt14http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt14http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt14http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt15http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt15http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt15http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt16http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt16http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt16http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt17http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt17http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt17http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt18http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt18http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt18http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt19http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt19http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt19http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt20http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt20http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt20http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt21http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt21http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt21http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt22http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt22http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt22http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt23http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt23http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt23http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt24http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt24http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt24http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt25http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt25http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt25http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt26http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt26http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt26http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt27http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt27http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt27http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt28http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt28http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt28http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt29http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt29http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt29http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt30http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt30http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt30http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt31http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt31http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt31http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt32http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt32http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt33http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt33http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt33http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt33http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt32http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt31http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt30http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt29http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt28http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt27http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt26http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt25http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt24http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt23http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt22http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt21http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt20http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt19http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt18http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt17http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt16http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt15http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt14http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt13


6/7

them as a basis for their official action and to exercise discretion of a judicial

nature."34

Before a tribunal, board, or officer may exercise judicial or quasi-judicial acts,

it is necessary that there be a law that gives rise to some specific rights of

persons or property under which adverse claims to such rights are made, and

the controversy ensuing therefrom is brought before a tribunal, board, or

officer clothed with power and authority to determine the law and

adjudicate the respective rights of the contending parties.35

The Secretary of Agrarian Reform does not fall within the ambit of a tribunal,

board, or officer exercising judicial or quasi-judicial functions. The issuance

and enforcement by the Secretary of Agrarian Reform of the questioned DAR

AO No. 01-02, as amended, and Memorandum No. 88 were done in the

exercise of his quasi-legislative and administrative functions and not of

judicial or quasi-judicial functions. In issuing the aforesaid administrative

issuances, the Secretary of Agrarian Reform never made any adjudication of

rights of the parties. As such, it can never be said that the Secretary of

Agrarian Reform had acted with grave abuse of discretion amounting to lack

or excess of jurisdiction in issuing and enforcing DAR AO No. 01-02, as

amended, and Memorandum No. 88 for he never exercised any judicial or

quasi-judicial functions but merely his quasi-legislative and administrative

functions.

Furthermore, as this Court has previously discussed, the instant petition in

essence seeks the declaration by this Court of the unconstitutionality or

illegality of the questioned DAR AO No. 01-02, as amended, and

Memorandum No. 88. Thus, the adequate and proper remedy for the

petitioner therefor is to file a Petition for Declaratory Relief, which this Court

has only appellate and not original jurisdiction. It is beyond the province of

certiorari to declare the aforesaid administrative issuances unconstitutionaland illegal because certiorari is confined only to the determination of the

existence of grave abuse of discretion amounting to lack or excess of

jurisdiction. Petitioner cannot simply allege grave abuse of discretion

amounting to lack or excess of jurisdiction and then invoke certiorari to

declare the aforesaid administrative issuances unconstitutional and illegal.

Emphasis must be given to the fact that the writ of certiorari dealt with in

Rule 65 of the 1997 Revised Rules of Civil Procedure is a prerogative writ,

never demandable as a matter of right, "never issued except in the exercise

of judicial discretion."36

At any rate, even if the Court will set aside procedural infirmities, the instant

petition should still be dismissed.

Executive Order No. 129-A37

vested upon the DAR the responsibility of

implementing the CARP. Pursuant to the said mandate and to ensure the

successful implementation of the CARP, Section 5(c) of the said executive

order authorized the DAR to establish and promulgate operational policies,

rules and regulations and priorities for agrarian reform implementation.Section 4(k) thereof authorized the DAR to approve or disapprove the

conversion, restructuring or readjustment of agricultural lands into non-

agricultural uses. Similarly, Section 5(l) of the same executive order has given

the DAR the exclusive authority to approve or disapprove conversion of

agricultural lands for residential, commercial, industrial, and other land uses

as may be provided for by law. Section 7 of the aforesaid executive order

clearly provides that "the authority and responsibility for the exercise of the

mandate of the [DAR] and the discharge of its powers and functions shall be

vested in the Secretary of Agrarian Reform x x x."

Under DAR AO No. 01-02, as amended, "lands not reclassified as residential,

commercial, industrial or other non-agricultural uses before 15 June 1988"

have been included in the definition of agricultural lands. In so doing, the

Secretary of Agrarian Reform merely acted within the scope of his authority

stated in the aforesaid sections of Executive Order No. 129-A, which is to

promulgate rules and regulations for agrarian reform implementation andthat includes the authority to define agricultural lands for purposes of land

use conversion. Further, the definition of agricultural lands under DAR AO

No. 01-02, as amended, merely refers to the category of agricultural lands

that may be the subject for conversion to non-agricultural uses and is not in

any way confined to agricultural lands in the context of land redistribution as

provided for under Republic Act No. 6657.

More so, Department of Justice Opinion No. 44, Series of 1990, which

Opinion has been recognized in many cases decided by this Court, clarified

that after the effectivity of Republic Act No. 6657 on 15 June 1988 the DAR

has been given the authority to approve land conversion.38

Concomitant to

such authority, therefore, is the authority to include in the definition of

agricultural lands "lands not reclassified as residential, commercial, industrial

or other non-agricultural uses before 15 June 1988" for purposes of land use

conversion.

In the same vein, the authority of the Secretary of Agrarian Reform to include

"lands not reclassified as residential, commercial, industrial or other non

agricultural uses before 15 June 1988" in the definition of agricultural land

finds basis in jurisprudence. In Ros v. Department of Agrarian Reform,39

thi

Court has enunciated that after the passage of Republic Act No. 6657

agricultural lands, though reclassified, have to go through the process o

conversion, jurisdiction over which is vested in the DAR. However

agricultural lands, which are already reclassified before the effectivity o

Republic Act No. 6657 which is 15 June 1988, are exempted from

conversion.40

It bears stressing that the said date of effectivity of Republic

Act No. 6657 served as the cut-off period for automatic reclassifications o

rezoning of agricultural lands that no longer require any DAR conversion

clearance or authority.41

It necessarily follows that any reclassification made

thereafter can be the subject of DARs conversion authority. Having

recognized the DARs conversion authority over lands reclassified after 15

June 1988, it can no longer be argued that the Secretary of Agrarian Reform

was wrongfully given the authority and power to include "lands no

reclassified as residential, commercial, industrial or other non-agricultura

uses before 15 June 1988" in the definition of agricultural lands. Such

inclusion does not unduly expand or enlarge the definition of agricultura

lands; instead, it made clear what are the lands that can be the subject of

DARs conversion authority, thus, serving the very purpose of the land use

conversion provisions of Republic Act No. 6657.

The argument of the petitioner that DAR AO No. 01-02, as amended, was

made in violation of Section 65 of Republic Act No. 6657, as it covers even

those non-awarded lands and reclassified lands by the LGUs or by way o

Presidential Proclamations on or after 15 June 1988 is specious. As explained

in Department of Justice Opinion No. 44, series of 1990, it is true that theDARs express power over land use conversion provided for under Section 65

of Republic Act No. 6657 is limited to cases in which agricultural lands

already awarded have, after five years, ceased to be economically feasible

and sound for agricultural purposes, or the locality has become urbanized

and the land will have a greater economic value for residential, commercia

or industrial purposes. To suggest, however, that these are the only instances

that the DAR can require conversion clearances would open a loophole in

Republic Act No. 6657 which every landowner may use to evade compliance

with the agrarian reform program. It should logically follow, therefore, from

the said departments express duty and function to execute and enforce the

said statute that any reclassification of a private land as a residential

commercial or industrial property, on or after the effectivity of Republic Ac

No. 6657 on 15 June 1988 should first be cleared by the DAR.42

This Court held in Alarcon v. Court of Appeals43

that reclassification of land

does not suffice. Conversion and reclassification differ from each other

Conversion is the act of changing the current use of a piece of agriculturaland into some other use as approved by the DAR while reclassification is the

act of specifying how agricultural lands shall be utilized for non-agricultura

uses such as residential, industrial, and commercial, as embodied in the land

use plan, subject to the requirements and procedures for land use

conversion. In view thereof, a mere reclassification of an agricultural land

does not automatically allow a landowner to change its use. He has to

undergo the process of conversion before he is permitted to use the

agricultural land for other purposes.44

It is clear from the aforesaid distinction between reclassification and

conversion that agricultural lands though reclassified to residential

commercial, industrial or other non-agricultural uses must still undergo the

process of conversion before they can be used for the purpose to which they

are intended.

Nevertheless, emphasis must be given to the fact that DARs conversion

authority can only be exercised after the effectivity of Republic Act No. 6657on 15 June 1988.45

The said date served as the cut-off period for automatic

reclassification or rezoning of agricultural lands that no longer require any

DAR conversion clearance or authority.46

Thereafter, reclassification o

agricultural lands is already subject to DARs conversion authority

Reclassification alone will not suffice to use the agricultural lands for othe

purposes. Conversion is needed to change the current use of reclassified

agricultural lands.

It is of no moment whether the reclassification of agricultural lands to

residential, commercial, industrial or other non-agricultural uses was done by

the LGUs or by way of Presidential Proclamations because either way they

must still undergo conversion process. It bears stressing that the act o

reclassifying agricultural lands to non-agricultural uses simply specifies how

agricultural lands shall be utilized for non-agricultural uses and does not

automatically convert agricultural lands to non-agricultural uses or for othe
http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt34http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt34http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt34http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt35http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt35http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt35http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt36http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt36http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt36http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt37http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt37http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt37http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt38http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt38http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt38http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt39http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt39http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt39http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt40http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt40http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt40http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt41http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt41http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt41http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt42http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt42http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt42http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt43http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt43http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt43http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt44http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt44http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt44http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt45http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt45http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt45http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt46http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt46http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt46http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt46http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt45http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt44http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt43http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt42http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt41http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt40http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt39http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt38http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt37http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt36http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt35http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt34


7/7

purposes. As explained in DAR Memorandum Circular No. 7, Series of 1994,

cited in the 2009 case of Roxas & Company, Inc. v. DAMBA-NFSW and the

Department of Agrarian Reform,47

reclassification of lands denotes their

allocation into some specific use and providing for the manner of their

utilization and disposition or the act of specifying how agricultural lands shall

be utilized for non-agricultural uses such as residential, industrial, or

commercial, as embodied in the land use plan. For reclassified agricultural

lands, therefore, to be used for the purpose to which they are intended there

is still a need to change the current use thereof through the process of

conversion. The authority to do so is vested in the DAR, which is mandated to

preserve and maintain agricultural lands with increased productivity. Thus,

notwithstanding the reclassification of agricultural lands to non-agricultural

uses, they must still undergo conversion before they can be used for other

purposes.

Even reclassification of agricultural lands by way of Presidential

Proclamations to non-agricultural uses, such as school sites, needs

conversion clearance from the DAR. We reiterate that reclassification is

different from conversion. Reclassification alone will not suffice and does not

automatically allow the landowner to change its use. It must still undergo

conversion process before the landowner can use such agricultural lands for

such purpose.48

Reclassification of agricultural lands is one thing, conversion

is another. Agricultural lands that are reclassified to non-agricultural uses do

not ipso facto allow the landowner thereof to use the same for such purpose.

Stated differently, despite having reclassified into school sites, the landowner

of such reclassified agricultural lands must apply for conversion before the

DAR in order to use the same for the said purpose.

Any reclassification, therefore, of agricultural lands to residential,

commercial, industrial or other non-agricultural uses either by the LGUs or byway of Presidential Proclamations enacted on or after 15 June 1988 must

undergo the process of conversion, despite having undergone

reclassification, before agricultural lands may be used for other purposes.

It is different, however, when through Presidential Proclamations public

agricultural lands have been reserved in whole or in part for public use or

purpose, i.e., public school, etc., because in such a case, conversion is no

longer necessary. As held in Republic v. Estonilo,49

only a positive act of the

President is needed to segregate or reserve a piece of land of the public

domain for a public purpose. As such, reservation of public agricultural lands

for public use or purpose in effect converted the same to such use without

undergoing any conversion process and that they must be actually, directly

and exclusively used for such public purpose for which they have been

reserved, otherwise, they will be segregated from the reservations and

transferred to the DAR for distribution to qualified beneficiaries under the

CARP.50

More so, public agricultural lands already reserved for public use or

purpose no longer form part of the alienable and disposable lands of thepublic domain suitable for agriculture.

51Hence, they are outside the

coverage of the CARP and it logically follows that they are also beyond the

conversion authority of the DAR.

Clearly from the foregoing, the Secretary of Agrarian Reform did not act

without jurisdiction or in excess of jurisdiction or with grave abuse of

discretion amounting to lack or excess of jurisdiction in (1) including lands

not reclassified as residential, commercial, industrial or other non-

agricultural uses before 15 June 1988 in the definition of agricultural lands

under DAR AO No. 01-02, as amended, and; (2) issuing and enforcing DAR AO

No. 01-02, as amended, subjecting to DARs jurisdiction for conversion lands

which had already been reclassified as residential, commercial, industrial or

for other non-agricultural uses on or after 15 June 1988.

Similarly, DAR AO No. 01-02, as amended, providing that the reclassification

of agricultural lands by LGUs shall be subject to the requirements of land use

conversion procedure or that DARs approval or clearance must be securedto effect reclassification, did not violate the autonomy of the LGUs.

Section 20 of Republic Act No. 7160 states that:

SECTION 20. Reclassification of Lands. (a) A city or municipality may,

through an ordinance passed by the sanggunian after conducting public

hearings for the purpose, authorize the reclassification of agricultural lands

and provide for the manner of their utilization or disposition in the following

cases: (1) when the land ceases to be economically feasible and sound for

agricultural purposes as determined by the Department of Agriculture or (2)

where the land shall have substantially greater economic value for

residential, commercial, or industrial purposes, as determined by the

sanggunian concerned: Provided, That such reclassification shall be limited to

the following percentage of the total agricultural land area at the time of the

passage of the ordinance:

x x x x

(3) For fourth to sixth class municipalities, five percent (5%): Provided

further, That agricultural lands distributed to agrarian reform beneficiaries

pursuant to Republic Act Numbered Sixty-six hundred fifty-seven (R.A. No

6657), otherwise known as "The Comprehensive Agrarian Reform Law," shal

not be affected by the said reclassification and the conversion of such land

into other purposes shall be governed by Section 65 of said Act.

x x x x

(e) Nothing in this Section shall be construed as repealing, amending, o

modifying in any manner the provisions of R.A. No. 6657.

The aforequoted provisions of law show that the power of the LGUs to

reclassify agricultural lands is not absolute. The authority of the DAR to

approve conversion of agricultural lands covered by Republic Act No. 6657 to

non-agricultural uses has been validly recognized by said Section 20 of

Republic Act No. 7160 by explicitly providing therein that, "nothing in this

section shall be construed as repealing or modifying in any manner the

provisions of Republic Act No. 6657."

DAR AO No. 01-02, as amended, does not also violate the due process clause,

as well as the equal protection clause of the Constitution. In providing

administrative and criminal penalties in the said administrative order, the

Secretary of Agrarian Reform simply implements the provisions of Section

73 and 74 of Republic Act No. 6657, thus:

Sec. 73. Prohibited Acts and Omissions.The following are prohibited:

x x x x

(c) The conversion by any landowner of his agricultural land into any non

agricultural use with intent to avoid the application of this Act to his

landholdings and to disposes his tenant farmers of the land tilled by them;

x x x x

(f) The sale, transfer or conveyance by a beneficiary of the right to use or anyother usufructuary right over the land he acquired by virtue of being a

beneficiary, in order to circumvent the provisions of this Act.

x x x x

Sec. 74. Penalties. Any person who knowingly or willfully violates the

provisions of this Act shall be punished by imprisonment of not less than one

(1) month to not more than three (3) years or a fine of not less than one

thousand pesos (P1,000.00) and not more than fifteen thousand peso

(P15,000.00), or both, at the discretion of the court.

If the offender is a corporation or association, the officer responsible

therefor shall be criminally liable.

And Section 11 of Republic Act No. 8435, which specifically provides:

Sec. 11. Penalty for Agricultural Inactivity and Premature Conversion.x x x.

Any person found guilty of premature or illegal conversion shall be penalized

with imprisonment of two (2) to six (6) years, or a fine equivalent to one

hundred percent (100%) of the government's investment cost, or both, at the

discretion of the court, and an accessory penalty of forfeiture of the land andany improvement thereon.

In addition, the DAR may impose the following penalties, after determining

in an administrative proceedings, that violation of this law has been

committed:

a. Consolation or withdrawal of the authorization for land use conversion

and

b. Blacklisting, or automatic disapproval of pending and subsequent

conversion applications that they may file with the DAR.

Contrary to petitioners assertions, the administrative and criminal penaltie

provided for under DAR AO No. 01-02, as amended, are imposed upon the

illegal or premature conversion of lands within DARs jurisdiction, i.e., "lands

not reclassified as residential, commercial, industrial or for other non

agricultural uses before 15 June 1998."

The petitioners argument that DAR Memorandum No. 88 is unconstitutional

as it suspends the land use conversion without any basis, stands on hollowground.

It bears emphasis that said Memorandum No. 88 was issued upon the

instruction of the President in order to address the unabated conversion o

prime agricultural lands for real estate development because of the

worsening rice shortage in the country at that time. Such measure was made

in order to ensure that there are enough agricultural lands in which rice

cultivation and production may be carried into. The issuance of said

Memorandum No. 88 was made pursuant to the general welfare of the

public, thus, it cannot be argued that it was made without any basis.

WHEREFORE, premises considered, the instant Petition for Certiorari is

DISMISSED. Costs against petitioner.

SO ORDERED.
http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt47http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt47http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt47http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt48http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt48http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt48http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt49http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt49http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt49http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt50http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt50http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt50http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt51http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt51http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt51http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt51http://www.lawphil.net/judjuris/juri2010/jun2010/gr_183409_2010.html#fnt50http://www.lawphil.net/judjuris/juri2010/jun201

conversion of agri lands

Documents