REPUBLIC OF THE PHILIPPINES, represented by the MINDANAO MEDICAL CENTER, petitioner, vs. HON.

COURT OF APPEALS and ALEJANDRO Y DE JESUS, respondents. G.R. No. L-40912 September 30, 1976 I. FACTS: Eugenio de Jesus applied with the Bureau of Lands for sale patent a portion of what was then Lot 522 of Davao Cadastre. Then, Bureau of Lands accepted sealed bids, one Dr. Jose Ebro submitted a bid of P100.50 per hectare which was the highest bid. Thus the said auction was annulled for the sale applicant, Eugenio, failed to participate because of non-service of notice on him of the scheduled bidding. Another bidding was held, Eugenio was the lone bidder where he equaled the bid of Dr. Ebro, then made a deposit of P221.00 representing 10% of the price of the land at P100.50 per hectare. Hence, Director of Lands issued to Eugenio an order of award on Nov. 23, 1934. However, on Aug. 28, 1936, Director of Lands ordered an amendment of the Sales Application of Eugenio in conformity with Proclamation No. 85 of President Quezon withdrawing the said land from sale because it covered the land, Lot 1176-B-2 which was needed and reserved from military campsite purposes. Thus, when Eugenio paid P660.45 covering the 8th and 10th installment for 20.6400 hectares excluding the military campsite the Director of Lands Jose Dans ordered the issuance of the patent of the said land situated in Barrio Poblacion, Davao. On Aug. 11, 1956, President Magsaysay revoked Proclamation No.85 and issued Proclamation No. 328 which declared the Lot 1176-B-2 open to disposition for resettlement of squatters in Piapi Beach, Davao thus it was also revoked by him on Oct. 9, 1956. Afterwards, President Magsaysay issued Proclamation No. 350, reserving the same land for medical center site purposes hence, Mindanao Medical Center (MMC) claimed for simple title to the land. Respondent, Alejandro de Jesus, son and successor-in-interest of Eugenio, opposed the registration of the MMC on the ground that his father acquired vested right on the subject land by virtue of Order of Award issued to him by Director of Lands. Thus, after due hearing, CFI of Davao rendered judgment in favor of the MMC. Hence, Alejandro appealed the case to the CA and it ruled in affirmation to him. Then, petitioner MMC elevated the matter to the SC through certiorari on the ground that pursuant to Proclamation No. 350 which legally effected the land grant to MMC, Bureau of Medical Services, and Department of Health, of the whole lot, validity sufficient for initial registration under the Land Registration Act such land grant is constitutive of a fee simple title or absolute title in favor of MMC. II. ISSUE: Whether or not petitioner MMC has registerable title over a full 12.8081hectare land by virtue of an executive proclamation in 1956 reserving the area for medical center site purposes.

III. HELD: It would be completely absurd to rule that, on the basis of Proclamation No. 350, the Medical Center has registerable title on the portion occupied by it, its nervous disease pavilion and the reasonable appurtenances, and not on the full extent of the reservation, when the proclamation explicitly reserved the entire Lot 1176-B-2 of 12.8081 hectares to the Center. Certainly, proclamation no. 350 is free of any legal infirmity. It proceeds from the recognized competence of the president to reserve by executive proclamation alienable lands of the public domain for a specific public use or service. Revised Administrative Code, sec. 64 empowers the President to reserve from sale of other disposition and for specific public uses for service, any land belonging to the private domain of the Government of the Philippines, the use of which is not otherwise directed by law. The land reserved "shall be used for the specific purposes directed by such executive order until otherwise provided by law." Similarly, Section 83 of the Public Land Act (CA 141) authorizes the President to "designate by proclamation any tract or tracts of land of the public domain as reservations for the use of the Commonwealth of the Philippines or of any of its branches, or of the inhabitants thereof, ... or for quasi-public uses or purposes when the public interest requires it, including reservations for ... other improvements for the public benefit. IV. LESSON: Lands covered by reservation are not subject to entry, and no lawful settlement on them can be acquired. The claims o0f persons who have settled on occupied, and improved a parcel of public land which is later included in a reservation are considered worthy of protection and are usually respected, but where the President, as authorized by law, issues a proclamation reserving certain lands and warning all persons to depart therefrom, this terminates any rights previously acquired in such lands by a person who was settled thereon in order to obtain a preferential right of purchase. And patents for lands which have been previously granted, reserved from sale, or appropriate, are void.

FRANCISCO I. CHAVEZ, PETITIONER, vs. PUBLIC ESTATES AUTHORITY and AMARI COASTAL BAY DEVELOPMENT CORPORATION, RESPONDENT.

G.R. No. 133250

July 9, 2002

I. FACT: A contract was entered into by the government through Commissioner of Public Works and Highways (CPWH) with the Construction and Development Corporation of the Philippines (CDCP) to reclaim a foreshore and offshore areas of the Manila Bay and to construct Phases I and II of the Manila-Cavite Coastal road under the Manila-Cavite Coastal Road and Reclamation Project (MCCRRP). The contract was in consideration that 50% of the total reclaimed land. Then, P.D. No.1084 was issued by President Marcos creating the PEA and tasked to reclaim land, including foreshore and submerged areas and to develop, improve, acquire, lease and sell any and all kinds of lands. Pres. Marcos also issued P.D. No. 1085 which transfers to PEA the lands reclaimed in the foreshore and offshore of Manila-Cavite Coastal Road and Reclamation Project in the contract entered by the CPWH and CDCP. In view of that, PEA and CDCP entered into Memorandum Agreement wherein CDCP shall give up all its development rights and should agree to cede and transfer all the rights, title, interests and participation in and to all areas of land reclaimed to PEA. In accordance, Pres. Corazon Aquino issued Special Patent No. 3517, granting and transferring the parcel of land reclaimed under MCCRRP containing a total area of 1,915,894 sqm. Afterwards, the Register of Deeds of Municipality of Paranaque issued in the name of PEA three Transfer Certificate of Titles the reclaimed islands known as Freedom Islands. Subsequently, PEA entered into Joint Venture Agreement (JVA) with AMARI, a private corporation to develop the freedom islands and to reclaim an additional 250 submerged areas surrounding the island to complete the configuration in Master Development Plan of Southern Reclamation Project-MCCRP. However, the JVA was denounced by Senate President Ernesto Maceda as grandmother of all scams. Then, Senate Committee on Government Corporations and Public Officers and Investigation and the Committee on Accountability of Public Officers and Investigation conducted joint investigation and concluded in its report that the reclaimed lands under the JVA are lands of public domain which government has not classified as alienable lands and the certificates of the title covering the freedom islands are thus void and the JVA is therefore illegal. Hence, Pres. Ramos created Legal Task Force to conduct study on the legality of the JVA which upheld its legality negating the conclusions of the Senate Committee. Subsequently, the report that there was on-going renegotiation between PEA and AMARI under an order issued by Pres. Ramos was published in the Philippine Daily Inquirer and Today. In that case, Chavez as a taxpayer, filed the instant petition for Mandamus with Prayer for Issuance of Writ of Preliminary Injunction and Temporary Restraining Order on the ground that the sale to AMARI of lands of public domain violated Sec. 3, Art. XII of the Constitution. Thus, despite of the petition, PEA and AMARI signed the Amended JVA which was approved by

Pres. Estrada. Therefore, Chavez prays that on constitutional and statutory grounds the renegotiated contract be declared null and void. II. ISSUE: Whether the Amended JVA violates Sec. 3, Art. XII of the Constitution. III. HELD: Yes, it violates Sec. 3, Art. XII of the Constitution. The mere physical act of reclamation by PEA of the foreshore or submerged areas does not make the reclaimed lands alienable or disposable lands of public domain, much less patrimonial lands of the PEA. Absence of official classification and formal declaration that these lands are not needed for public services it remain inalienable lands of public domain. In order for PEA to sell its reclaimed foreshore and submerged alienable lands of public domain, there must be a legislative authority empowering PEA to sell the lands. Thus, it would be subject to constitutional ban on private corporations from acquiring alienable lands of public domain. IV. LESSON: Historically, lands reclaimed by the government are sui generis, not available for sale to private parties unlike other alienable public lands. Reclaimed lands retain their inherent potential as areas for public use or public service. Alienable lands of the public domain, increasingly becoming scarce natural resources, are to be distributed equitably among our ever-growing population. To insure such equitable distribution, the 1973 and 1987 Constitutions have barred private corporations from acquiring any kind of alienable land of the public domain. Those who attempt to dispose of inalienable natural resources of the State, or seek to circumvent the constitutional ban on alienation of lands of the public domain to private corporations, do so at their own risk.

FRANCISCO CHAVEZ, petitioner vs. NATIONAL HOUSING AUTHORITY, R-II BUILDERS, INC., R-II HOLDINGS,INC., HARBOUR CENTRE PORT TERMINAL, INC. and MR. REGHIS ROMERO II, respondent. G.R. No. 164527 August 15, 2007

I. FACTS: Comprehensive and Integrated Metropolitan Manila Waste Management Plan (Plan) which formulated by the Presidential Tasked Force on Waste Management as well the Smokey Mountain Development and Reclamation Project (SMDRP) started since the time of President Corazon Aquino until President Joseph Estrada. The said project aimed to convert Smokey Mountain Dumpsite into habitable housing project inclusive of the reclamation of the area across R-10, adjacent to the Smokey Mountain as enabling component of the project. The said project was handled first to R-II Builders, Inc. (RBI) being the top bidder in the Pre-Quality Bid or the right to become NHAs joint venture partner in the implementation of the SMDRP. However, the project was suspended; thus, RBI had already accomplished a portion of necessary works and change orders which resulted in RBI and Asset Pool incurring advances for direct and indirect cost. Afterwards, President Estrada issued MO No.13 reconstituting the SMDRP EXECOM and further directed the review of the Supplemental Agreement and submits its recommendation on the completion of the SMDRP. Hence, EXECOM conducted the review which resulted to an amendment in the Supplemental Agreement which includes the approval of 150 hectares additional reclamation order to make the reclamation feasible as part of enabling component and conveyance of the 17-hectare Vitas property. Then, NHA approved the conveyance of the 17-hectare Vitas Property in favor of the existing, or newly created Asset Pool of the Project to be developed into a mixed commercial-industrial area. RBI lamented the government to bid out the remaining works terminating the Project with the RBI and all agreements related thereto, hence, RBI demanded the payment of just compensation for all accomplishments and costs incurred in developing the SMDRP plus reasonable rate of return. Former Solicitor General Francisco Chavez filed the instant case on the ground of constitutional issues. II. ISSUE: Whether or not a private corporation is barred by the Constitution to acquire lands of public dominion. II. HELD: No, on the ground that when proclamations nos. 39 and 456 were issued, inalienable lands covered by said proclamations were converted to alienable and disposable and disposable land of public domain. After the issuance of the titles to reclaimed lands were transferred to NHA, said alienable and disposable lands of public domain were automatically classified as lands of the private domain or patrimonial property of the State because NHA is an agency not tasked to dispose alienable or disposable lands of public domain. The only way that the reclaimed land could be transferred is in conjunction with its projects and to attain its goals when it is automatically

converted to patrimonial property. Being patrimonial or private properties of the State, then it has the power to sell the same to any qualified person. IV. LESSON Reclaimed alienable lands of the public domain if sold or transferred to a public or municipal corporation for a monetary consideration become patrimonial property in the hands of the public or municipal corporation. Once converted to patrimonial property, the land may be sold by the public or municipal corporation to private parties, whether Filipino citizens or qualified private corporations.