COMPREHENSIVE AGRARIAN REFORM LAW OF

1988 .
REPUBLIC ACT NO. 6657
CHAPTER I
PRELIMINARY CHAPTER
SECTION 1. Title. - This Act shall be known as the Comprehensive Agrarian Reform Law
of 1988.
SECTION . Declaration of Principles and Policies. - It is the !olic" o# the State to !$%s$e
a Co&!%ehensi'e A(%a%ian Re#o%& P%o(%a& )CARP*. The wel#a%e o# the lan+less #a%&e%s
an+ #a%& wo%ke%s will %ecei'e the hi(hest consi+e%ation to !%o&ote social ,$stice an+ to
&o'e the nation towa%+s so$n+ %$%al +e'elo!&ent an+ in+$st%iali-ation. an+ the
establish&ent o# owne% c$lti'ato%shi! o# econo&ic-si-e+ #a%&s as the basis o# Phili!!ine
a(%ic$lt$%e.
To this en+. a &o%e e/$itable +ist%ib$tion an+ owne%shi! o# lan+. with +$e %e(a%+ to the
%i(hts o# lan+owne%s to ,$st co&!ensation an+ to the ecolo(ical nee+s o# the nation. shall
be $n+e%taken to !%o'i+e #a%&e%s an+ #a%& wo%ke%s with the o!!o%t$nit" to enhance thei%
+i(nit" an+ i&!%o'e the /$alit" o# thei% li'es th%o$(h (%eate% !%o+$cti'it" o# a(%ic$lt$%al
lan+s.
The a(%a%ian %e#o%& !%o(%a& is #o$n+e+ on the %i(ht o# #a%&e%s an+ %e($la% #a%& wo%ke%s.
who a%e lan+less. to own +i%ectl" o% collecti'el" the lan+s the" till o%. in the case o# othe%
#a%& wo%ke%s. to %ecei'e a sha%e o# the #%$its the%eo#. To this en+. the State shall enco$%a(e
the ,$st +ist%ib$tion o# all a(%ic$lt$%al lan+s. s$b,ect to the !%io%ities an+ %etention li&its
set #o%th in this Act. ha'in( taken into acco$nt ecolo(ical. +e'elo!&ental. an+ e/$it"
consi+e%ations. an+ s$b,ect to the !a"&ent o# ,$st co&!ensation. The State shall %es!ect
the %i(ht o# s&all lan+owne%s an+ shall !%o'i+e incenti'es #o% 'ol$nta%" lan+-sha%in(.
The State shall %eco(ni-e the %i(ht o# #a%&e%s. #a%& wo%ke%s an+ lan+owne%s. as well as
coo!e%ati'es an+ othe% in+e!en+ent #a%&e%s0 o%(ani-ation. to !a%tici!ate in the !lannin(.
o%(ani-ation. an+ &ana(e&ent o# the !%o(%a&. an+ shall !%o'i+e s$!!o%t to a(%ic$lt$%e
th%o$(h a!!%o!%iate technolo(" an+ %esea%ch. an+ a+e/$ate #inancial. !%o+$ction.
&a%ketin( an+ othe% s$!!o%t se%'ices.
The State shall a!!l" the !%inci!les o# a(%a%ian %e#o%& o% stewa%+shi!. whene'e%
a!!licable. in acco%+ance with law. in the +is!osition o% $tili-ation o# othe% nat$%al
%eso$%ces. incl$+in( lan+s o# the !$blic +o&ain. $n+e% lease o% concession. s$itable to
a(%ic$lt$%e. s$b,ect to !%io% %i(hts. ho&estea+ %i(hts o# s&all settle%s an+ the %i(hts o#
in+i(eno$s co&&$nities to thei% ancest%al lan+s.
The State &a" %esettle lan+less #a%&e%s an+ #a%& wo%ke%s in its own a(%ic$lt$%al estates.
which shall be +ist%ib$te+ to the& in the &anne% !%o'i+e+ b" law.
1" &eans o# a!!%o!%iate incenti'es. the State shall enco$%a(e the #o%&ation an+
&aintenance o# econo&ic-si-e+ #a&il" #a%&s to be constit$te+ b" in+i'i+$al bene#icia%ies
an+ s&all lan+owne%s.
The State shall !%otect the %i(hts o# s$bsistence #ishe%&en. es!eciall" o# local
co&&$nities. to the !%e#e%ential $se o# co&&$nal &a%ine an+ #ishin( %eso$%ces. both
inlan+ an+ o##sho%e. It shall !%o'i+e s$!!o%t to s$ch #ishe%&en th%o$(h a!!%o!%iate
technolo(" an+ %esea%ch. a+e/$ate #inancial. !%o+$ction an+ &a%ketin( assistance an+
othe% se%'ices. The State shall also !%otect. +e'elo! an+ conse%'e s$ch %eso$%ces. The
!%otection shall e2ten+ to o##sho%e #ishin( (%o$n+s o# s$bsistence #ishe%&en a(ainst
#o%ei(n int%$sion. 3ishwo%ke%s shall %ecei'e a ,$st sha%e #%o& thei% labo% in the $tili-ation
o# &a%ine an+ #ishin( %eso$%ces.
The State shall be ($i+e+ b" the !%inci!les that lan+ has a social #$nction an+ lan+
owne%shi! has a social %es!onsibilit". Owne%s o# a(%ic$lt$%al lan+ ha'e the obli(ation to
c$lti'ate +i%ectl" o% th%o$(h labo% a+&inist%ation the lan+s the" own an+ the%eb" &ake
the lan+ !%o+$cti'e.
The State shall !%o'i+e incenti'es to lan+owne%s to in'est the !%ocee+s o# the a(%a%ian
%e#o%& !%o(%a& to !%o&ote in+$st%iali-ation. e&!lo"&ent an+ !%i'ati-ation o# !$blic
secto% ente%!%ises. 3inancial inst%$&ents $se+ as !a"&ent #o% lan+s shall contain #eat$%es
that shall enhance ne(otiabilit" an+ acce!tabilit" in the &a%ket!lace.
The State &a" lease $n+e'elo!e+ lan+s o# the !$blic +o&ain to /$ali#ie+ entities #o% the
+e'elo!&ent o# ca!ital-intensi'e #a%&s. t%a+itional an+ !ionee%in( c%o!s es!eciall" those
#o% e2!o%ts s$b,ect to the !%io% %i(hts o# the bene#icia%ies $n+e% this Act.
SECTION 4. Definitions. - 3o% the !$%!ose o# this Act. $nless the conte2t in+icates
othe%wise5
)a* Agrarian Reform &eans the %e+ist%ib$tion o# lan+s. %e(a%+less o# c%o!s o% #%$its
!%o+$ce+. to #a%&e%s an+ %e($la% #a%& wo%ke%s who a%e lan+less. i%%es!ecti'e o# ten$%ial
a%%an(e&ent. to incl$+e the totalit" o# #acto%s an+ s$!!o%t se%'ices +esi(ne+ to li#t the
econo&ic stat$s o# the bene#icia%ies an+ all othe% a%%an(e&ents alte%nati'e to the !h"sical
%e+ist%ib$tion o# lan+s. s$ch as !%o+$ction o% !%o#it-sha%in(. labo% a+&inist%ation. an+ the
+ist%ib$tion o# sha%es o# stock which will allow bene#icia%ies to %ecei'e a ,$st sha%e o# the
#%$its o# the lan+s the" wo%k.
)b* Agriculture Agricultural !nterprise or Agricultural Activit" &eans the c$lti'ation o#
the soil. !lantin( o# c%o!s. (%owin( o# #%$it t%ees. incl$+in( the ha%'estin( o# s$ch #a%&
!%o+$cts. an+ othe% #a%& acti'ities an+ !%actices !e%#o%&e+ b" a #a%&e% in con,$nction
with s$ch #a%&in( o!e%ations +one b" !e%sons whethe% nat$%al o# ,$%i+ical. )As a&en+e+
b" R. A. 6771*
)c* Agricultural Land %e#e%s to lan+ +e'ote+ to a(%ic$lt$%al acti'it" as +e#ine+ in this Act
an+ not classi#ie+ as &ine%al. #o%est. %esi+ential. co&&e%cial o% in+$st%ial lan+.
)+* Agrarian Dispute %e#e%s to an" cont%o'e%s" %elatin( to ten$%ial a%%an(e&ents. whethe%
leasehol+. tenanc". stewa%+shi! o% othe%wise. o'e% lan+s +e'ote+ to a(%ic$lt$%e. incl$+in(
+is!$tes conce%nin( #a%& wo%ke%s0 associations o% %e!%esentation o# !e%sons in
ne(otiatin(. #i2in(. &aintainin(. chan(in( o% seekin( to a%%an(e te%&s o% con+itions o#
s$ch ten$%ial a%%an(e&ents.
It incl$+es an" cont%o'e%s" %elatin( to co&!ensation o# lan+s ac/$i%e+ $n+e% this Act an+
othe% te%&s an+ con+itions o# t%ans#e% o# owne%shi! #%o& lan+owne%s to #a%& wo%ke%s.
tenants an+ othe% a(%a%ian %e#o%& bene#icia%ies. whethe% the +is!$tants stan+ in the
!%o2i&ate %elation o# #a%& o!e%ato% an+ bene#icia%". lan+owne% an+ tenant. o% lesso% an+
lessee.
)e* #dle or A$andoned Land %e#e%s to an" a(%ic$lt$%al lan+ not c$lti'ate+. tille+ o%
+e'elo!e+ to !%o+$ce an" c%o! no% +e'ote+ to an" s!eci#ic econo&ic !$%!ose contin$o$sl"
#o% a !e%io+ o# th%ee )4* "ea%s i&&e+iatel" !%io% to the %ecei!t o# notice o# ac/$isition b"
the (o'e%n&ent as !%o'i+e+ $n+e% this Act. b$t +oes not incl$+e lan+ that has beco&e
!e%&anentl" o% %e($la%l" +e'ote+ to non-a(%ic$lt$%al !$%!oses. It +oes not incl$+e lan+
which has beco&e $n!%o+$cti'e b" %eason o# force ma%eure o% an" othe% #o%t$ito$s
e'ent5 Provided that !%io% to s$ch e'ent. s$ch lan+ was !%e'io$sl" $se+ #o% a(%ic$lt$%al o%
othe% econo&ic !$%!oses.
)#* &armer %e#e%s to a nat$%al !e%son whose !%i&a%" li'elihoo+ is c$lti'ation o# lan+ o% the
!%o+$ction o# a(%ic$lt$%al c%o!s eithe% b" hi&sel#. o% !%i&a%il" with the assistance o# his
i&&e+iate #a%& ho$sehol+. whethe% the lan+ is owne+ b" hi&. o% b" anothe% !e%son $n+e%
a leasehol+ o% sha%e tenanc" a(%ee&ent o% a%%an(e&ent with the owne% the%eo#.
)(* &armwor'er is a nat$%al !e%son who %en+e%s se%'ice #o% 'al$e as an e&!lo"ee o%
labo%e% in an a(%ic$lt$%al ente%!%ise o% #a%& %e(a%+less o# whethe% his co&!ensation is
!ai+ on a +ail". weekl". &onthl" o% (pa'"aw( basis. The te%& incl$+es an in+i'i+$al
whose wo%k has cease+ as a conse/$ence o#. o% in connection with. a !en+in( a(%a%ian
+is!$te who has not obtaine+ a s$bstantiall" e/$i'alent an+ %e($la% #a%& e&!lo"&ent.
)h* Regular &armwor'er is a nat$%al !e%son who is e&!lo"e+ on a !e%&anent basis b" an
a(%ic$lt$%al ente%!%ise o% #a%&.
)i* )easonal &armwor'er is a nat$%al !e%son who is e&!lo"e+ on a %ec$%%ent. !e%io+ic o%
inte%&ittent basis b" an a(%ic$lt$%al ente%!%ise o% #a%&. whethe% as a !e%&anent o% a non-
!e%&anent labo%e%. s$ch as (dumaan( (sacada( an+ the like.
),* *ther &armwor'er is a #a%&wo%ke% who +oes not #all $n+e% !a%a(%a!hs )(*. )h* an+ )i*.
)k* Cooperatives shall %e#e% to o%(ani-ations co&!ose+ !%i&a%il" o# s&all a(%ic$lt$%al
!%o+$ce%s. #a%&e%s. #a%& wo%ke%s. o% othe% a(%a%ian %e#o%& bene#icia%ies who 'ol$nta%il"
o%(ani-e the&sel'es #o% the !$%!ose o# !oolin( lan+. h$&an. technolo(ical. #inancial o%
othe% econo&ic %eso$%ces. an+ o!e%ate+ on the !%inci!le o# one &e&be%. one 'ote. A
,$%i+ical !e%son &a" be a &e&be% o# a coo!e%ati'e. with the sa&e %i(hts an+ +$ties as a
nat$%al !e%son.
CHAPTER II
CO8ERA9E
SEC. :. )cope. - The Co&!%ehensi'e A(%a%ian Re#o%& Law o# 1;77 shall co'e%. %e(a%+less
o# ten$%ial a%%an(e&ent an+ co&&o+it" !%o+$ce+. all !$blic an+ !%i'ate a(%ic$lt$%al
lan+s as !%o'i+e+ in P%ocla&ation No. 141 an+ E2ec$ti'e O%+e% No. ;. incl$+in( othe%
lan+s o# the !$blic +o&ain s$itable #o% a(%ic$lt$%e.
Mo%e s!eci#icall". the #ollowin( lan+s a%e co'e%e+ b" the Co&!%ehensi'e A(%a%ian Re#o%&
P%o(%a&5
)a* All alienable an+ +is!osable lan+s o# the !$blic +o&ain +e'ote+ to o% s$itable
#o% a(%ic$lt$%e. No %eclassi#ication o# #o%est o% &ine%al lan+s to a(%ic$lt$%al lan+s
shall be $n+e%taken a#te% the a!!%o'al o# this Act $ntil Con(%ess. takin( into
acco$nt ecolo(ical. +e'elo!&ental an+ e/$it" consi+e%ations. shall ha'e
+ete%&ine+ b" law. the s!eci#ic li&its o# the !$blic +o&ain<
b* All lan+s o# the !$blic +o&ain in e2cess to the s!eci#ic li&its as +ete%&ine+ b"
Con(%ess in the !%ece+in( !a%a(%a!h<
c* All othe% lan+s owne+ b" the 9o'e%n&ent +e'ote+ to o% s$itable #o% a(%ic$lt$%e<
an+
+* All !%i'ate lan+s +e'ote+ to o% s$itable #o% a(%ic$lt$%e %e(a%+less o# the
a(%ic$lt$%al !%o+$cts %aise+ o% that can be %aise+ the%eon.
SEC. =. )chedule of #mplementation. - The +ist%ib$tion o# all lan+s co'e%e+ b" this Act
shall be i&!le&ente+ i&&e+iatel" an+ co&!lete+ within ten )1>* "ea%s #%o& the
e##ecti'it" the%eo#.
SEC. ?. Retention Limits. + E2ce!t as othe%wise !%o'i+e+ in this Act. no !e%son &a" own
o% %etain. +i%ectl". an" !$blic o% !%i'ate a(%ic$lt$%al lan+. the si-e o# which shall 'a%"
acco%+in( to #acto%s (o'e%nin( a 'iable #a&il"-si-e+ #a%&. s$ch as co&&o+it" !%o+$ce+.
te%%ain. in#%ast%$ct$%e. an+ soil #e%tilit" as +ete%&ine+ b" the P%esi+ential A(%a%ian Re#o%&
Co$ncil )PARC* c%eate+ he%e$n+e%. b$t in no case shall the %etention b" the lan+owne%
e2cee+ #i'e )=* hecta%es. Th%ee )4* hecta%es &a" be awa%+e+ to each chil+ o# the
lan+owne%. s$b,ect to the #ollowin( /$ali#ications5 )1* that he is at least #i#teen )1=* "ea%s o#
a(e< an+ )* that he is act$all" tillin( the lan+ o% +i%ectl" &ana(in( the
#a%&5 Provided That lan+owne%s whose lan+s ha'e been co'e%e+ b" P%esi+ential @ec%ee
No. 6 shall be allowe+ to kee! the a%ea o%i(inall" %etaine+ b" the& the%e$n+e%< Provided
further That o%i(inal ho&estea+ (%antees o% +i%ect co&!$lso%" hei%s who still own the
o%i(inal ho&estea+ at the ti&e o# the a!!%o'al o# this Act shall %etain the sa&e a%eas as
lon( as the" contin$e to c$lti'ate sai+ ho&estea+.
The %i(ht to choose the a%ea to be %etaine+. which shall be co&!act o% conti($o$s. shall
!e%tain. to the lan+owne%5 Provided however That in case the a%ea selecte+ #o% %etention
b" the lan+owne% is tenante+. the tenant shall ha'e the o!tion to choose whethe% to
%e&ain the%ein o% be a bene#icia%" in the sa&e o% anothe% a(%ic$lt$%al lan+ with si&ila% o%
co&!a%able #eat$%es. In case the tenant chooses to %e&ain in the %etaine+ a%ea. he shall be
consi+e%e+ a leasehol+e% an+ shall lose his %i(ht to be a bene#icia%" $n+e% this Act. In case
the tenant chooses to be a bene#icia%" in anothe% a(%ic$lt$%al lan+. he loses his %i(ht as a
leasehol+e% to the lan+ %etaine+ b" the lan+owne%. The tenant &$st e2e%cise this o!tion
within a !e%io+ o# one )1* "ea% #%o& the ti&e the lan+owne% &ani#ests his choice o# the
a%ea #o% %etention.
In all cases. the sec$%it" o# ten$%e o# the #a%&e%s o% #a%& wo%ke%s on the lan+ !%io% to the
a!!%o'al o# this Act shall be %es!ecte+.
A!on the e##ecti'it" o# this Act. an" sale. +is!osition. lease. &ana(e&ent cont%act o%
t%ans#e% o# !ossession o# !%i'ate lan+s e2ec$te+ b" the o%i(inal lan+owne% in 'iolation o#
this Act shall be n$ll an+ 'oi+5 Provided however That those e2ec$te+ !%io% to this Act
shall be 'ali+ onl" when %e(iste%e+ with the Re(iste% o# @ee+s within a !e%io+ o# th%ee )4*
&onths a#te% the e##ecti'it" o# this Act . The%ea#te%. all Re(iste%s o# @ee+s shall in#o%& the
@AR within thi%t" )4>* +a"s o# an" t%ansaction in'ol'in( a(%ic$lt$%al lan+s in e2cess o#
#i'e )=* hecta%es.
SEC. 6. Priorities. - The @AR. in coo%+ination with the PARC shall !lan an+ !%o(%a& the
ac/$isition an+ +ist%ib$tion o# all a(%ic$lt$%al lan+s th%o$(h a !e%io+ o# ten )1>* "ea%s
#%o& the e##ecti'it" o# this Act. Lan+s shall be ac/$i%e+ an+ +ist%ib$te+ as #ollows5
Phase One5 Rice an+ co%n lan+s $n+e% P%esi+ential @ec%ee No. 6< all i+le o%
aban+one+ lan+s< all !%i'ate lan+s 'ol$nta%il" o##e%e+ b" the owne%s #o% a(%a%ian
%e#o%&< all lan+s #o%eclose+ b" (o'e%n&ent #inancial instit$tion< all lan+s ac/$i%e+
b" the P%esi+ential Co&&ission on 9oo+ 9o'e%n&ent )PC99*< an+ all othe% lan+s
owne+ b" the (o'e%n&ent +e'ote+ to o% s$itable #o% a(%ic$lt$%e. which shall be
ac/$i%e+ an+ +ist%ib$te+ i&&e+iatel" $!on the e##ecti'it" o# this Act. with the
i&!le&entation to be co&!lete+ within a !e%io+ o# not &o%e than #o$% ):* "ea%s<
Phase two5 All alienable an+ +is!osable !$blic a(%ic$lt$%al lan+s< all a%able !$blic
a(%ic$lt$%al lan+s $n+e% a(%o-#o%est. !ast$%e an+ a(%ic$lt$%al leases al%ea+"
c$lti'ate+ an+ !lante+ to c%o!s in acco%+ance with Section ?. A%ticle BIII o# the
Constit$tion< all !$blic a(%ic$lt$%al lan+s which a%e to be o!ene+ #o% new
+e'elo!&ent an+ %esettle&ent< an+ all !%i'ate a(%ic$lt$%al lan+s in e2cess o# #i#t"
)=>* hecta%es. inso#a% as the e2cess hecta%a(e is conce%ne+. to i&!le&ent
!%inci!all" the %i(ht o# #a%&e%s an+ %e($la% #a%& wo%ke%s. who a%e lan+less. to own
+i%ectl" o% collecti'el" the lan+s the" till. which shall be +ist%ib$te+ i&&e+iatel"
$!on the e##ecti'it" o# this Act. with the i&!le&entation to be co&!lete+ within a
!e%io+ o# not &o%e than #o$% ):* "ea%s.
Phase Th%ee5 All othe% !%i'ate a(%ic$lt$%al lan+s co&&encin( with la%(e
lan+hol+in(s an+ !%ocee+in( to &e+i$& an+ s&all lan+hol+in(s $n+e% the
#ollowin( sche+$le5
a* Lan+hol+in(s abo'e twent"-#o$% ):* hecta%es $! to #i#t" )=>* hecta%es.
to be(in on the #o$%th ):th* "ea% #%o& the e##ecti'it" o# this Act an+ to be
co&!lete+ within th%ee )4* "ea%s< an+
b* Lan+hol+in(s #%o& the %etention li&it $! to twent"-#o$% ):* hecta%es.
to be(in on the si2th )?th* "ea% #%o& the e##ecti'it" o# this Act an+ to be
co&!lete+ within #o$% ):* "ea%s< to i&!le&ent !%inci!all" the %i(ht o#
#a%&e%s an+ %e($la% #a%&wo%ke%s who a%e lan+less. to own +i%ectl" o%
collecti'el" the lan+s the" till.
The sche+$le o# ac/$isition an+ %e+ist%ib$tion o# all a(%ic$lt$%al lan+s co'e%e+ b" this
!%o(%a& shall be &a+e in acco%+ance with the abo'e o%+e% o# !%io%it". which shall be
!%o'i+e+ in the i&!le&entin( %$les to be !%e!a%e+ b" the P%esi+ential A(%a%ian Re#o%&
Co$ncil )PARC*. takin( into consi+e%ation the #ollowin(5 the nee+ to +ist%ib$te lan+s to
the tille% at the ea%liest !%acticable ti&e< the nee+ to enhance a(%ic$lt$%al !%o+$cti'it"<
an+ the a'ailabilit" o# #$n+s an+ %eso$%ces to i&!le&ent an+ s$!!o%t the !%o(%a&.
In an" case. the PARC. $!on %eco&&en+ation b" the P%o'incial A(%a%ian Re#o%&
Coo%+inatin( Co&&ittee )PARCCOM*. &a" +ecla%e ce%tain !%o'inces o% %e(ions as
!%io%it" lan+ %e#o%& a%eas. in which case the ac/$isition an+ +ist%ib$tion o# !%i'ate
a(%ic$lt$%al lan+s the%ein &a" be i&!le&ente+ ahea+ o# the abo'e sche+$les. In e##ectin(
the t%ans#e% within these ($i+elines. !%io%it" &$st be (i'en to lan+s that a%e tenante+.
The PARC shall establish ($i+elines to i&!le&ent the abo'e !%io%ities an+ +ist%ib$tion
sche&e. incl$+in( the +ete%&ination o# who a%e /$ali#ie+ bene#icia%ies5 Provided That an
owne%-tille% &a" be a bene#icia%" o# the lan+ he +oes not own b$t is act$all" c$lti'atin( to
the e2tent o# the +i##e%ence between the a%ea o# the lan+ he owns an+ the awa%+ ceilin( o#
th%ee )4* hecta%es.
SEC. 7. ,ultinational Corporations. - All lan+s o# the !$blic +o&ain lease+. hel+ o%
!ossesse+ b" &$ltinational co%!o%ations o% associations. an+ othe% lan+s owne+ b" the
(o'e%n&ent o% (o'e%n&ent-owne+ o% cont%olle+ co%!o%ations. associations. instit$tions o%
entities. +e'ote+ to e2istin( an+ o!e%ational a(%ib$siness o% a(%o-in+$st%ial ente%!%ises.
o!e%ate+ b" &$ltinational co%!o%ations an+ associations. shall be !%o(%a&&e+ #o%
ac/$isition an+ +ist%ib$tion i&&e+iatel" $!on the e##ecti'it" o# this Act. with the
i&!le&entation to be co&!lete+ within th%ee )4* "ea%s.
Lan+s co'e%e+ b" the !a%a(%a!h i&&e+iatel" !%ece+in(. $n+e% lease. &ana(e&ent.
(%owe% o% se%'ice cont%acts. an+ the like. shall be +is!ose+ o# as #ollows5
)a* Lease. &ana(e&ent. (%owe% o% se%'ice cont%acts co'e%in( s$ch lan+s co'e%in(
an a((%e(ate a%ea in e2cess o# 1.>>> hecta%es. lease+ o% hel+ b" #o%ei(n in+i'i+$als
in e2cess o# =>> hecta%es a%e +ee&e+ a&en+e+ to con#i%& with the li&its set #o%th
in Section 4 o# A%ticle BIII o# the Constit$tion.
)b* Cont%acts co'e%in( a%eas not in e2cess o# 1.>>> hecta%es in the case o# s$ch
in+i'i+$als shall be allowe+ to contin$e $n+e% thei% o%i(inal te%&s an+ con+itions
b$t not be"on+ A$($st ;. 1;;. o% thei% 'ali+ te%&ination. whiche'e% co&es
soone%. a#te% which. s$ch a(%ee&ents shall contin$e onl" when con#i%&e+ b" the
a!!%o!%iate (o'e%n&ent a(enc". S$ch cont%acts shall likewise contin$e e'en a#te%
the lan+ has been t%ans#e%%e+ to bene#icia%ies o% awa%+ees the%eo#. which t%ans#e%
shall be i&&e+iatel" co&&ence+ an+ i&!le&ente+ within the !e%io+ o# th%ee )4*
"ea%s &entione+ in !a%a(%a!h 1 he%eo#.
)c* In no case will s$ch leases an+ othe% a(%ee&ents now bein( i&!le&ente+
e2ten+ be"on+ A$($st ;. 1;;. when all lan+s s$b,ect he%eo# shall ha'e been
+ist%ib$te+ co&!letel" to /$ali#ie+ bene#icia%ies o% awa%+ees. S$ch a(%ee&ents can
contin$e the%ea#te% onl" $n+e% a new cont%act between the (o'e%n&ent o%
/$ali#ie+ bene#icia%ies o% awa%+ees. on the one han+. an+ sai+ ente%!%ises. on the
othe%.
Lan+s lease+. hel+ o% !ossesse+ b" &$ltinational co%!o%ations. owne+ b" !%i'ate
in+i'i+$als an+ !%i'ate non-(o'e%n&ental co%!o%ations. associations. instit$tions. an+
entities. citi-ens o# the Phili!!ines. shall be s$b,ect to i&&e+iate co&!$lso%" ac/$isition
an+ +ist%ib$tion $!on the e2!i%ation o# the a!!licable lease. &ana(e&ent (%owe% o#
se%'ice cont%act in e##ect as o# A$($st ;. 1;76. o% othe%wise. $!on its 'ali+ te%&ination.
whiche'e% co&es soone%. b$t not late% than a#te% ten )1>* "ea%s #ollowin( the e##ecti'it" o#
this Act . Howe'e%. +$%in( the sai+ !e%io+ o# e##ecti'it". the (o'e%n&ent shall take ste!s to
ac/$i%e these lan+s #o% i&&e+iate +ist%ib$tion the%ea#te%.
In (ene%al. lan+s shall be +ist%ib$te+ +i%ectl" to the in+i'i+$al wo%ke%-bene#icia%ies. In
case it is not econo&icall" #easible an+ so$n+ to +i'i+e the lan+. then the" shall #o%& a
wo%ke%s0 coo!e%ati'e o% association which will +eal with the co%!o%ation o% b$siness
association o% an" othe% !%o!e% !a%t". #o% the !$%!ose o# ente%in( into a lease o% (%owe%s
a(%ee&ent an+ #o% all othe% le(iti&ate !$%!oses. Antil a new a(%ee&ent is ente%e+ into b"
an+ between the wo%ke%s0 coo!e%ati'e o% association an+ the co%!o%ation o% b$siness
association o% an" othe% !%o!e% !a%t". an" a(%ee&ent e2istin( at the ti&e this Act takes
e##ect between the #o%&e% an+ the !%e'io$s lan+owne% shall be %es!ecte+ b" both the
wo%ke%s0 coo!e%ati'e o% association an+ the co%!o%ation. b$siness association o% s$ch
othe% !%o!e% !a%t". In no case shall the i&!le&entation o% a!!lication o# this Act ,$sti#"
o% %es$lt in the %e+$ction o# stat$s o% +i&in$tion o# an" bene#its %ecei'e+ o% en,o"e+ b" the
wo%ke%-bene#icia%ies. o% in which the" &a" ha'e a 'este+ %i(ht. at the ti&e this Act
beco&es e##ecti'e.
The !%o'ision o# Section 4 o# this Act. with %e(a%+ to !%o+$ction an+ inco&e-sha%in(
shall a!!l" to #a%&s o!e%ate+ b" &$ltinational co%!o%ations.
@$%in( the t%ansition !e%io+. the new owne%s shall be assiste+ in thei% e##o%ts to lea%n
&o+e%n technolo(" in !%o+$ction. Ente%!%ises which show a willin(ness an+ co&&it&ent
an+ (oo+ #aith e##o%ts to i&!a%t 'ol$nta%il" s$ch a+'ance+ technolo(" will be (i'en
!%e#e%ential t%eat&ent whe%e #easible.
In no case shall a #o%ei(n co%!o%ation. association. entit" o% in+i'i+$al en,o" an" %i(ht% o%
!%i'ile(es bette% than those en,o"e+ b" a +o&estic co%!o%ation. association. entit" o%
in+i'i+$al.
SEC. ;. Ancestral Lands. - 3o% !$%!oses o# this Act. ancest%al lan+s o# each in+i(eno$s
c$lt$%al co&&$nit" shall incl$+e. b$t not be li&ite+ to. lan+s in the act$al. contin$o$s
an+ o!en !ossession an+ occ$!ation o# the co&&$nit" an+ its &e&be%s5 Provided That
the To%%ens S"ste& shall be %es!ecte+.
The %i(ht o# these co&&$nities to thei% ancest%al lan+s shall be !%otecte+ to ens$%e thei%
econo&ic. social an+ c$lt$%al well-bein(. In line with the othe% !%inci!les o# sel#-
+ete%&ination an+ a$tono&". the s"ste&s o# lan+ owne%shi!. lan+ $se. an+ the &o+es o#
settlin( lan+ +is!$tes o# all these co&&$nities &$st be %eco(ni-e+ an+ %es!ecte+.
An" !%o'ision o# law to the cont%a%" notwithstan+in(. the PARC &a" s$s!en+ the
i&!le&entation o# this Act with %es!ect to ancest%al lan+s #o% the !$%!ose o# i+enti#"in(
an+ +elineatin( s$ch lan+s5 Provided That in the a$tono&o$s %e(ions. the %es!ecti'e
le(islat$%es &a" enact thei% own laws on ancest%al +o&ain s$b,ect to the !%o'isions o# the
Constit$tion an+ the !%inci!les en$nciate+ in this Act an+ othe% national laws.
SEC. 1>. !-emptions and !-clusions.+
)a* Lan+s act$all". +i%ectl" an+ e2cl$si'el" $se+ #o% !a%ks. wil+li#e. #o%est %ese%'es.
%e#o%estation. #ish sanct$a%ies an+ b%ee+in( (%o$n+s. wate%she+s an+ &an(%o'es shall be
e2e&!t #%o& the co'e%a(e o# this Act.
)b* P%i'ate lan+s act$all". +i%ectl" an+ e2cl$si'el" $se+ #o% !%awn #a%&s an+ #ish!on+s
shall be e2e&!t #%o& the co'e%a(e o# this Act5 Provided That sai+ !%awn #a%&s an+
#ish!on+s ha'e not been +ist%ib$te+ an+ Ce%ti#icate o# Lan+ Owne%shi! Awa%+ )CLOA*
iss$e+ $n+e% the A(%a%ian Re#o%& P%o(%a&.
In cases whe%e the #ish!on+s o% !%awn #a%&s ha'e been s$b,ecte+ to the Co&!%ehensi'e
A(%a%ian Re#o%& Law. b" 'ol$nta%" o##e% to sell. o% co&&e%cial #a%&s +e#e%&ent o% notices
o# co&!$lso%" ac/$isition. a si&!le an+ absol$te &a,o%it" o# the act$al %e($la% wo%ke%s o%
tenants &$st consent to the e2e&!tion within one )1* "ea% #%o& the e##ecti'it" o# this Act.
Chen the wo%ke%s o% tenants +o not a(%ee to this e2e&!tion. the #ish!on+s o% !%awn
#a%&s shall be +ist%ib$te+ collecti'el" to the wo%ke%-bene#icia%ies o% tenants who shall
#o%& coo!e%ati'e o% association to &ana(e the sa&e.
In cases whe%e the #ish!on+s o% !%awn #a%&s ha'e not been s$b,ecte+ to the
Co&!%ehensi'e A(%a%ian Re#o%& Law. the consent o# the #a%&wo%ke%s shall no lon(e% be
necessa%"< howe'e%. the !%o'ision o# Section 4-A he%eo# on incenti'es shall a!!l".
)c* Lan+s act$all". +i%ectl" an+ e2cl$si'el" $se+ an+ #o$n+ to be necessa%" #o% national
+e#ense. school sites an+ ca&!$ses. incl$+in( e2!e%i&ental #a%& stations o!e%ate+ b"
!$blic o% !%i'ate schools #o% e+$cational !$%!oses. see+s an+ see+lin(s %esea%ch an+ !ilot
!%o+$ction cente%. ch$%ch sites an+ con'ents a!!$%tenant the%eto. &os/$e sites an+
Isla&ic cente%s a!!$%tenant the%eto. co&&$nal b$%ial (%o$n+s an+ ce&ete%ies. !enal
colonies an+ !enal #a%&s act$all" wo%ke+ b" the in&ates. (o'e%n&ent an+ !%i'ate
%esea%ch an+ /$a%antine cente%s an+ all lan+s with ei(hteen !e%cent )17D* slo!e an+ o'e%.
e2ce!t those al%ea+" +e'elo!e+. shall be e2e&!t #%o& the co'e%a(e o# this Act.)As a&en+e+ b" R. A. 6771*
SEC. 11. Commercial &arming. + Co&&e%cial #a%&s which a%e !%i'ate a(%ic$lt$%al lan+s
+e'ote+ to salt be+s. #%$it #a%&s. o%cha%+s. 'e(etable an+ c$t-#lowe% #a%&s. an+ cacao.
co##ee an+ %$bbe% !lantations. shall be s$b,ect to i&&e+iate co&!$lso%" ac/$isition an+
+ist%ib$tion a#te% ten )1>* "ea%s #%o& the e##ecti'it" o# this Act. In the case o# new #a%&s.
the ten-"ea% !e%io+ shall be(in #%o& the #i%st "ea% o# co&&e%cial !%o+$ction an+
o!e%ation. as +ete%&ine+ b" the @AR. @$%in( the ten-"ea% !e%io+. the 9o'e%n&ent shall
initiate ste!s necessa%" to ac/$i%e these lan+s. $!on !a"&ent o# ,$st co&!ensation #o% the
lan+ an+ the i&!%o'e&ents the%eon. !%e#e%abl" in #a'o% o# o%(ani-e+ coo!e%ati'es o%
associations. which shall the%ea#te% &ana(e the sai+ lan+s #o% the wo%ke%s-bene#icia%ies.)As
a&en+e+ b" R. A. 6771*
CHAPTER III
IMPRO8EMENT O3 TENARIAL AN@ LA1OR RELATIONS
SEC. 1. Determination of Lease Rentals. - In o%+e% to !%otect an+ i&!%o'e the ten$%ial
an+ econo&ic stat$s o# the #a%&e%s in tenante+ lan+s $n+e% the %etention li&it an+ lan+s
not "et ac/$i%e+ $n+e% this Act. the @AR is &an+ate+ to +ete%&ine an+ #i2 i&&e+iatel"
the lease %entals the%eo# in acco%+ance with Section 4: o# R. A. No. 47:: as
a&en+e+ 5 Provided That the @AR shall i&&e+iatel" an+ !e%io+icall" %e'iew an+ a+,$st
the %ental st%$ct$%e #o% +i##e%ent c%o!s. incl$+in( %ice an+ co%n. o# +i##e%ent %e(ions in
o%+e% to i&!%o'e !%o(%essi'el" the con+itions o# the #a%&e%. tenant o% lessee.
SEC. 1-A. #ncentives. - In+i'i+$als an+ entities ownin( o% o!e%atin( #ish!on+ an+ !%awn
#a%&s a%e he%eb" &an+ate+ to e2ec$te within si2 )?* &onths #%o& the e##ecti'it" o# this
Act. an incenti'e !lan with thei% %e($la% #ish!on+ o% !%awn #a%& wo%ke%s o% #ish!on+ o%
!%awn #a%& wo%ke%s0 o%(ani-ation. i# an". whe%eb" se'en !oint #i'e !e%cent )6.=D* o# thei%
net !%o#it be#o%e ta2 #%o& the o!e%ation o# the #ish!on+ o% !%awn #a%&s a%e +ist%ib$te+
within si2t" )?>* +a"s at the en+ o# the #iscal "ea% as co&!ensation to %e($la% an+ othe%
!on+ wo%ke%s in s$ch !on+s o'e% an+ abo'e the co&!ensation the" c$%%entl" %ecei'e.
In o%+e% to sa#e($a%+ the %i(ht o# the %e($la% #ish!on+ o% !%awn #a%& wo%ke%s $n+e% the
incenti'es !lan. the book o# the #ish!on+ o% !%awn #a%& owne%s shall be s$b,ect to !e%io+ic
a$+it o% ins!ection b" ce%ti#ie+ !$blic acco$ntants chosen b" the wo%ke%s.
The #o%e(oin( !%o'ision shall not a!!l" to a(%ic$lt$%al lan+s s$bse/$entl" con'e%te+ to
#ish!on+s o% !%awn #a%&s !%o'i+e+ the si-e o# the lan+ con'e%te+ +oes not e2cee+ the
%etention li&it o# the lan+owne%. )As a++e+ b" R. A. 6771*
SEC. 14. Production+)haring Plan. + An" ente%!%ise a+o!tin( the sche&e !%o'i+e+ #o% in
Section 4 o% o!e%atin( $n+e% a !%o+$ction 'ent$%e. lease. &ana(e&ent cont%act o% othe%
si&ila% a%%an(e&ent an+ an" #a%& co'e%e+ b" Sections 7 an+ 11 he%eo# is he%eb" &an+ate+
to e2ec$te within ninet" );>* +a"s #%o& the e##ecti'it" o# this Act. a !%o+$ction-sha%in(
!lan $n+e% ($i+elines !%esc%ibe+ b" the a!!%o!%iate (o'e%n&ent a(enc".
Nothin( he%ein shall be const%$e+ to sanction the +i&in$tion o# an" bene#its s$ch as
sala%ies. bon$ses. lea'es an+ wo%kin( con+itions (%ante+ to the e&!lo"ee-bene#icia%ies
$n+e% e2istin( laws. a(%ee&ents. an+ 'ol$nta%" !%actice b" the ente%!%ise. no% shall the
ente%!%ise an+ its e&!lo"ee-bene#icia%ies be !%e'ente+ #%o& ente%in( into an" a(%ee&ent
with te%&s &o%e #a'o%able to the latte%.
CHAPTER I8
RE9ISTRATION
SEC. 1:. Registration of Landowners. - Cithin one h$n+%e+ ei(ht" )17>* +a"s #%o& the
e##ecti'it" o# this Act. nat$%al o% ,$%i+ical. incl$+in( (o'e%n&ent entities. that own o% clai&
to own a(%ic$lt$%al lan+s. whethe% in thei% na&es o% in the na&e o# othe%s. e2ce!t those
who ha'e al%ea+" %e(iste%e+ !$%s$ant to E2ec$ti'e O%+e% No. ;. who shall be entitle+ to
s$ch incenti'es as &a" be !%o'i+e+ #o% b" PARC. shall #ile a swo%n state&ent in the !%o!e%
assesso%s o##ice in the #o%& to be !%esc%ibe+ b" the @AR. statin( the #ollowin(
in#o%&ation5
)a* The +esc%i!tion an+ a%ea o# the !%o!e%t"<
)b* The a'e%a(e (%oss inco&e #%o& the !%o!e%t" #o% at least th%ee )4* "ea%s<
)c* The na&es o# the tenants an+ #a%& wo%ke%s the%ein<
)+* The c%o!s !lante+ in the !%o!e%t" an+ the a%ea co'e%e+ b" each c%o! as o# E$ne
1.1;76<
)e* The te%&s o# &o%t(a(es. leases. an+ &ana(e&ent cont%acts s$bsistin( as o# E$ne 1.
1;76< an+
)#* The latest +ecla%e+ &a%ket 'al$e o# the lan+ as +ete%&ine+ b" the cit" o% !%o'incial
assesso%.
SEC. 1=. Registration of .eneficiaries. - The @AR in coo%+ination with the 1a%an(a"
A(%a%ian Re#o%& Co&&ittee )1ARC* as o%(ani-e+ in this Act. shall %e(iste% all a(%ic$lt$%al
lessees. tenants an+ #a%&wo%ke%s who a%e /$ali#ie+ to be bene#icia%ies with the assistance
o# the 1ARC an+ the @AR shall !%o'i+e the #ollowin( +ata5
)a* Na&es an+ &e&be%s o# thei% i&&e+iate #a%& ho$sehol+<
)b* Location an+ a%ea o# the lan+ the" wo%k<
)c* C%o!s !lante+< an+
)+* Thei% sha%e in the ha%'est o% a&o$nt o# %ental !ai+ o% wa(es %ecei'e+.
A co!" o# the %e(ist%" o% list o# all !otential CARP bene#icia%ies in the ba%an(a" shall be
!oste+ in the ba%an(a" hall. school o% othe% !$blic b$il+in(s in the ba%an(a" whe%e it shall
be o!en to ins!ection b" the !$blic at all %easonable ho$%s.
CHAPTER 8
LAN@ ACFAISITION
SEC. 1?. Procedure for Ac/uisition of Private Lands.+ 3o% !$%!oses o# ac/$isition o#
!%i'ate lan+s. the #ollowin( !%oce+$%es shall be #ollowe+5
)a* A#te% ha'in( i+enti#ie+ the lan+. the lan+owne%s an+ the bene#icia%ies. the @AR
shall sen+ its notice to ac/$i%e the lan+ to the owne%s the%eo#. b" !e%sonal +eli'e%"
o% %e(iste%e+ &ail. an+ !ost the sa&e in a cons!ic$o$s !lace in the &$nici!al
b$il+in( an+ ba%an(a" hall o# the !lace whe%e the !%o!e%t" is locate+. Sai+ notice
shall contain the o##e% o# the @AR to !a" a co%%es!on+in( 'al$e in acco%+ance with
the 'al$ation set #o%th in Sections 16. 17. an+ othe% !e%tinent !%o'isions he%eo#.
)b* Cithin thi%t" )4>* +a"s #%o& the +ate o# %ecei!t o# w%itten notice b" !e%sonal
+eli'e%" o% %e(iste%e+ &ail. the lan+owne%. his a+&inist%ato% o% %e!%esentati'e
shall in#o%& the @AR o# his acce!tance o% %e,ection o# the o##e%.
)c* I# the lan+owne% acce!ts the o##e% o# the @AR. the L1P shall !a" the lan+owne%
the !$%chase !%ice o# the lan+ within thi%t" )4>* +a"s a#te% he e2ec$tes an+ +eli'e%s
a +ee+ o# t%ans#e% in #a'o% o# the 9o'e%n&ent an+ s$%%en+e%s the Ce%ti#icate o#
Title an+ othe% &$ni&ents o# title.
)+* In case o# %e,ection o% #ail$%e to %e!l". the @AR shall con+$ct s$&&a%"
a+&inist%ati'e !%ocee+in(s to +ete%&ine the co&!ensation o# the lan+ b"
%e/$i%in( the lan+owne%. the L1P an+ othe% inte%este+ !a%ties to s$&&it e'i+ence
as to the ,$st co&!ensation #o% the lan+. within #i#teen )1=* +a"s #%o& the %ecei!t o#
the notice. A#te% the e2!i%ation o# the abo'e !e%io+. the &atte% is +ee&e+
s$b&itte+ #o% +ecision. The @AR shall +eci+e the case within thi%t" )4>* +a"s a#te%
it is s$b&itte+ #o% +ecision.
)e* A!on %ecei!t b" the lan+owne% o# the co%%es!on+in( !a"&ent o% in case o#
%e,ection o% no %es!onse #%o& the lan+owne%. $!on the +e!osit with an accessible
bank +esi(nate+ b" the @AR o# the co&!ensation in cash o% L1P bon+s in
acco%+ance with this Act. the @AR shall take i&&e+iate !ossession o# the lan+ an+
shall %e/$est the !%o!e% Re(iste% o# @ee+s to iss$e a T%ans#e% Ce%ti#icate o# Title
)TCT* in the na&e o# the Re!$blic o# the Phili!!ines. The @AR shall the%ea#te%
!%ocee+ with the %e+ist%ib$tion o# the lan+ to the /$ali#ie+ bene#icia%ies.
)#* An" !a%t" who +isa(%ees with the +ecision &a" b%in( the &atte% to the co$%t o#
!%o!e% ,$%is+iction #o% #inal +ete%&ination o# ,$st co&!ensation.
CHAPTER 8I
COMPENSATION
SEC. 16. Determination of 0ust Compensation. - In +ete%&inin( ,$st co&!ensation. the
cost o# ac/$isition o# the lan+. the c$%%ent 'al$e o# like !%o!e%ties. its nat$%e. act$al $se
an+ inco&e. the swo%n 'al$ation b" the owne%. the ta2 +ecla%ations. an+ the assess&ent
&a+e b" (o'e%n&ent assesso%s. shall be consi+e%e+. The social an+ econo&ic bene#its
cont%ib$te+ b" the #a%&e%s an+ the #a%&wo%ke%s an+ b" (o'e%n&ent to the !%o!e%t" as
well as the non-!a"&ent o# ta2es o% loans sec$%e+ #%o& an" (o'e%n&ent #inancin(
instit$tion on the sai+ lan+ shall be consi+e%e+ as a++itional #acto%s to +ete%&ine its
'al$ation.
SEC. 17. 1aluation and ,ode of Compensation. - The L1P shall co&!ensate the
lan+owne% in s$ch a&o$nt as &a" be a(%ee+ $!on b" the lan+owne% an+ the @AR an+
L1P o% as &a" be #inall" +ete%&ine+ b" the co$%t as ,$st co&!ensation #o% the lan+.
The co&!ensation shall be !ai+ in one o# the #ollowin( &o+es at the o!tion o# the
lan+owne%5
)1* Cash !a"&ent. $n+e% the #ollowin( te%&s an+ con+itions5
)a* &or lands a$ove fift" 2345 hectares insofar as the e-cess hectarage
isconcerned - Twent"-#i'e !e%cent )=D* cash. the balance to be !ai+ in
(o'e%n&ent #inancial inst%$&ents ne(otiable at an" ti&e.
)b* &or lands a$ove twent"+four hectares and up to fift" 2345 hectares - Thi%t"
!e%cent )4>D* cash. the balance to be !ai+ in (o'e%n&ent #inancial inst%$&ents
ne(otiable at an" ti&e.
)c* &or lands twent"+four 2675 hectares and $elow - Thi%t"-#i'e !e%cent )4=D*
cash. the balance to be !ai+ in (o'e%n&ent #inancial inst%$&ents ne(otiable at an"
ti&e.
)* Sha%es o# stock in (o'e%n&ent-owne+ o% cont%olle+ co%!o%ations. L1P !%e#e%%e+
sha%es. !h"sical assets o% othe% /$ali#ie+ in'est&ents in acco%+ance with ($i+elines set b"
the PARC<
)4* Ta2 c%e+its which can be $se+ a(ainst an" ta2 liabilit"<
):* L1P bon+s. which shall ha'e the #ollowin( #eat$%es5
)a* ,ar'et interest rates aligned with 91+da" treasur" $ill rates. Ten !e%cent
)1>D* o# the #ace 'al$e o# the bon+s shall &at$%e e'e%" "ea% #%o& the +ate o#
iss$ance $ntil the tenth )1>th* "ea%5 Provided That sho$l+ the lan+owne% choose
to #o%e(o the cash !o%tion. whethe% in #$ll o% in !a%t. he shall be !ai+
co%%es!on+in(l" in L1P bon+s<
)b* Transfera$ilit" and negotia$ilit". S$ch L1P bon+s &a" be $se+ b" the
lan+owne%. his s$ccesso%s-in-inte%est o% his assi(ns. $! to the a&o$nt o# thei% #ace
'al$e #o% an" o# the #ollowin(5
)i* Ac/$isition o# lan+ o% othe% %eal !%o!e%ties o# the (o'e%n&ent. incl$+in(
assets $n+e% the Assets P%i'ati-ation P%o(%a& an+ othe% assets #o%eclose+
b" (o'e%n&ent #inancial instit$tion in the sa&e !%o'ince o% %e(ion whe%e
the lan+s #o% which the bon+s we%e !ai+ a%e sit$ate+<
)ii* Ac/$isition o# sha%es o# stock o# (o'e%n&ent-owne+ o% cont%olle+
co%!o%ations o% sha%es o% stock owne+ b" the (o'e%n&ent in !%i'ate
co%!o%ations<
)iii* S$bstit$tion #o% s$%et" o% bail bon+s #o% the !%o'isional %elease o#
acc$se+ !e%sons. o% #o% !e%#o%&ance bon+s<
)i'* Sec$%it" #o% loans with an" (o'e%n&ent #inancial instit$tion. !%o'i+e+
the !%ocee+s o# the loans shall be in'este+ in an econo&ic ente%!%ise.
!%e#e%abl" in a s&all an+ &e+i$&-scale in+$st%". in the sa&e !%o'ince o%
%e(ion as the lan+ #o% which the bon+s a%e !ai+<
)'* Pa"&ent #o% 'a%io$s ta2es an+ #ees to the (o'e%n&ent5 Provided That
the $se o# these bon+s #o% these !$%!oses will be li&ite+ to a ce%tain
!e%centa(e o# the o$tstan+in( balance o# the #inancial
inst%$&ent5 Provided further That the PARC shall +ete%&ine the
!e%centa(es &entione+ abo'e<
)'i* Pa"&ent #o% t$ition #ees o# the i&&e+iate #a&il" o# the o%i(inal
bon+hol+e% in (o'e%n&ent $ni'e%sities. colle(es. t%a+e schools an+ othe%
instit$tions<
)'ii* Pa"&ent #o% #ees o# the i&&e+iate #a&il" o# the o%i(inal bon+hol+e% in
(o'e%n&ent hos!itals< an+
)'iii* S$ch othe% $ses as the PARC &a" #%o& ti&e to ti&e allow.
In case o# e2t%ao%+ina%" in#lation. the PARC shall take a!!%o!%iate &eas$%es to
!%otect the econo&".
SEC. 1;. #ncentives for 1oluntar" *ffers for )ale. - Lan+owne%s othe% than banks an+
othe% #inancial instit$tions who 'ol$nta%il" o##e% thei% lan+s #o% sale shall be entitle+ to an
a++itional #i'e !e%cent )=D* cash !a"&ent.
SEC. >. 8ol$nta%" Land Transfer. - Lan+owne%s o# a(%ic$lt$%al lan+s s$b,ect to
ac/$isition $n+e% this Act &a" ente% into a 'ol$nta%" a%%an(e&ent #o% +i%ect t%ans#e% o#
thei% lan+s to /$ali#ie+ bene#icia%ies s$b,ect to the #ollowin( ($i+elines5
)a* All notices #o% 'ol$nta%" lan+ t%ans#e% &$st be s$b&itte+ to the @AR within the
#i%st "ea% o# the i&!le&entation o# the CARP. Ne(otiations between the
lan+owne%s an+ /$ali#ie+ bene#icia%ies co'e%in( an" 'ol$nta%" lan+ t%ans#e% which
%e&ain $n%esol'e+ a#te% one )1* "ea% shall not be %eco(ni-e+ an+ s$ch lan+ shall
instea+ be ac/$i%e+ b" the (o'e%n&ent an+ t%ans#e%%e+ !$%s$ant to this Act.
)b* The te%&s an+ con+itions o# s$ch t%ans#e% shall not be less #a'o%able to the
t%ans#e%ee than those o# the (o'e%n&ent 0s stan+in( o##e% to !$%chase #%o& the
lan+owne% an+ to %esell to the bene#icia%ies. i# s$ch o##e%s ha'e been &a+e an+ a%e
#$ll" known to both !a%ties.
)c* The 'ol$nta%" a(%ee&ent shall incl$+e sanctions #o% non-co&!liance b" eithe%
!a%t" an+ shall be +$l" %eco%+e+ an+ its i&!le&entation &onito%e+ b" the @AR.
SEC. 1. Pa"ment of Compensation $" .eneficiaries 8nder 1oluntar" Land
Transfer.+ @i%ect !a"&ent in cash o% in kin+ &a" be &a+e b" the #a%&e%-bene#icia%" to the
lan+owne% $n+e% te%&s to be &$t$all" a(%ee+ $!on b" both !a%ties. which shall be
bin+in( $!on the&. $!on %e(ist%ation with an+ a!!%o'al b" the @AR. Sai+ a!!%o'al shall
be consi+e%e+ (i'en. $nless notice o# +isa!!%o'al is %ecei'e+ b" the #a%&e%-bene#icia%"
within 4> +a"s #%o& the +ate o# %e(ist%ation.In the e'ent the" cannot a(%ee on the !%ice o#
the lan+. the !%oce+$%e #o% co&!$lso%" ac/$isition as !%o'i+e+ in Section 1? shall a!!l".
The L1P shall e2ten+ #inancin( to the bene#icia%ies #o% !$%!oses o# ac/$i%in( the lan+.
CHAPTER 8II
LAN@ RE@ISTRI1ATION
SEC. . 9ualified .eneficiaries. - The lan+s co'e%e+ b" the CARP shall be +ist%ib$te+ as
&$ch as !ossible to lan+less %esi+ents o# the sa&e ba%an(a". o% in the absence the%eo#.
lan+less %esi+ents o# the sa&e &$nici!alit" in the #ollowin( o%+e% o# !%io%it"5
)a* a(%ic$lt$%al lessees an+ sha%e tenants<
)b* %e($la% #a%& wo%ke%s<
)c* seasonal #a%& wo%ke%s<
)+* othe% #a%& wo%ke%s<
)e* act$al tille%s o% occ$!ants o# !$blic lan+s<
)#* collecti'e o% coo!e%ati'es o# the abo'e bene#icia%ies< an+
)(* othe%s +i%ectl" wo%kin( on the lan+.
Provided however That the chil+%en o# lan+owne%s who a%e /$ali#ie+ $n+e% Section ? o#
this Act shall be (i'en !%e#e%ence in the +ist%ib$tion o# the lan+ o# thei% !a%ents<
an+5Provided further that act$al tenant -tille%s in the lan+hol+in( shall not be e,ecte+ o%
%e&o'e+ the%e#%o&.
1ene#icia%ies $n+e% P%esi+ential @ec%ee No. 6 who ha'e c$l!abl" sol+. +is!ose+ o#. o%
aban+one+ thei% lan+ a%e +is/$ali#ie+ to beco&e bene#icia%ies $n+e% thei% !%o(%a&.
A basic /$ali#ication o# a bene#icia%" shall be his willin(ness. a!tit$+e an+ abilit" to
c$lti'ate an+ &ake lan+ as !%o+$cti'e as !ossible. The @AR shall a+o!t a s"ste& o#
&onito%in( the %eco%+ o% !e%#o%&ance o# each bene#icia%". so that an" bene#icia%" ($ilt" o#
ne(li(ence o% &is$se o# the lan+ o% an" s$!!o%t e2ten+e+ to hi& shall #o%#eit his %i(ht to
contin$e as s$ch bene#icia%". The @AR shall s$b&it !e%io+ic %e!o%ts on the !e%#o%&ance
o# the bene#icia%ies to the PARC.
I#. +$e to lan+owne%0s %etention %i(hts o% to the n$&be% o# tenants. lessees. o% wo%ke%s on
the lan+. the%e is not eno$(h lan+ to acco&&o+ate an" o% so&e o# the&. the" &a" be
(%ante+ owne%shi! o# othe% lan+s a'ailable #o% +ist%ib$tion $n+e% this Act. at the o!tion o#
the bene#icia%ies.
3a%&e%s al%ea+" in !lace an+ those not acco&&o+ate+ in the +ist%ib$tion o# !%i'atel"-
owne+ lan+s will be (i'en !%e#e%ential %i(hts in the +ist%ib$tion o# lan+s #%o& the !$blic
+o&ain.
SEC. 4. Distri$ution Limit. + No /$ali#ie+ bene#icia%" &a" own &o%e than th%ee )4*
hecta%es o# a(%ic$lt$%al lan+.
SEC. :. Award to .eneficiaries. + The %i(hts an+ %es!onsibilities o# the bene#icia%" shall
co&&ence #%o& the ti&e the @AR &akes an awa%+ o# the lan+ to hi&. which awa%+ shall
be co&!lete+ within one h$n+%e+ ei(ht" )17>* +a"s #%o& the ti&e the @AR takes act$al
!ossession o# the lan+. Owne%shi! o# the bene#icia%" shall be e'i+ence+ b" a Ce%ti#icate o#
Lan+ Owne%shi! Awa%+. which shall contain the %est%ictions an+ con+itions !%o'i+e+ #o%
in this Act. an+ shall be %eco%+e+ in the Re(iste% o# @ee+s conce%ne+ an+ annotate+ on the
Ce%ti#icate o# Title.
SEC. =. Award Ceilings for .eneficiaries. - 1ene#icia%ies shall be awa%+e+ an a%ea not
e2cee+in( th%ee )4* hecta%es. which &a" co'e% a conti($o$s t%act o# lan+ o% se'e%al !a%cels
o# lan+ c$&$late+ $! to the !%esc%ibe+ awa%+ li&its.
3o% !$%!oses o# this Act. a lan+less bene#icia%" is one who owns less than th%ee )4*
hecta%es o# a(%ic$lt$%al lan+. The bene#icia%ies &a" o!t #o% collecti'e owne%shi!. s$ch as
co-wo%ke%s o% #a%&e%s0 coo!e%ati'e o% so&e othe% #o%& o# collecti'e
o%(ani-ation5 Provided That the total a%ea that &a" be awa%+e+ shall not e2cee+ the total
n$&be% o# co-wo%ke%s o% &e&be%s o# the coo!e%ati'e o% collecti'e o%(ani-ation &$lti!lie+
b" the awa%+ li&it abo'e !%esc%ibe+. e2ce!t in &e%ito%io$s cases as +ete%&ine+ b" the
PARC. Title to the !%o!e%t" shall be iss$e+ in the na&e o# the co-owne%s o% the coo!e%ati'e
o% collecti'e o%(ani-ation as the case &a" be.
SEC. ?. Pa"ment $" .eneficiaries. - Lan+s awa%+e+ !$%s$ant to this Act shall be !ai+ #o%
b" the bene#icia%ies to the L1P in thi%t" )4>* ann$al a&o%ti-ations at si2 !e%cent )?D*
inte%est !e% ann$&. The !a"&ents #o% the #i%s th%ee )4* "ea%s a#te% the awa%+ &a" be at
%e+$ce+ a&o$nts as establishe+ b" the PARC 5 Provided That the #i%st #i'e )=* ann$al
!a"&ents &a" not be &o%e than #i'e !e%cent )=D* o# the 'al$e o# the ann$al (%oss
!%o+$ction is !ai+ as establishe+ b" the @AR. Sho$l+ the sche+$le+ ann$al !a"&ents a#te%
the #i#th "ea% e2cee+ ten !e%cent )1>* o# the ann$al (%oss !%o+$ction an+ the #ail$%e to
!%o+$ce acco%+in(l" is not +$e to the bene#icia%"0s #a$lt. the L1P &a" %e+$ce the inte%est
%ate o% %e+$ce the !%inci!al obli(ation to &ake the !a"&ent a##o%+able.
The L1P shall ha'e a lien b" wa" o# &o%t(a(e on the lan+ awa%+e+ to bene#icia%" an+ this
&o%t(a(e &a" be #o%eclose+ b" the L1P #o% non-!a"&ent o# an a((%e(ate o# th%ee )4*
ann$al a&o%ti-ations. The L1P shall a+'ise the @AR o# s$ch !%ocee+in(s an+ the latte%
shall s$bse/$entl" awa%+ the #o%#eite+ lan+hol+in( to othe% /$ali#ie+ bene#icia%ies. A
bene#icia%" whose lan+ as !%o'i+e+ he%ein has been #o%eclose+ shall the%ea#te% be
!e%&anentl" +is/$ali#ie+ #%o& beco&in( a bene#icia%" $n+e% this Act.
SEC. 6. Transfera$ilit" of Awarded Lands. - Lan+s ac/$i%e+ b" bene#icia%ies $n+e% this
Act &a" not be sol+. t%ans#e%%e+ o% con'e"e+ e2ce!t th%o$(h he%e+ita%" s$ccession. o% to
the (o'e%n&ent. o% to the L1P. o% to othe% /$ali#ie+ bene#icia%ies #o% a !e%io+ o# ten )1>*
"ea%s5 Provided however. That the chil+%en o% the s!o$se o# the t%ans#e%o% shall ha'e a
%i(ht to %e!$%chase the lan+ #%o& the (o'e%n&ent o% L1P within a !e%io+ o# two )* "ea%s.
@$e notice o# the a'ailabilit" o# the lan+ shall be (i'en b" the L1P to the 1a%an(a"
A(%a%ian Re#o%& Co&&ittee )1ARC* o# the ba%an(a" whe%e the lan+ is sit$ate+. The
P%o'incial A(%a%ian Coo%+inatin( Co&&ittee )PARCCOM*. as he%ein !%o'i+e+. shall. in
t$%n. be (i'en +$e notice the%eo# b" the 1ARC.
I# the lan+ has not "et been #$ll" !ai+ b" the bene#icia%". the %i(ht to the lan+ &a" be
t%ans#e%%e+ o% con'e"e+. with !%io% a!!%o'al o# the @AR. to an" hei% o# the bene#icia%" o%
to an" othe% bene#icia%" who. as a con+ition #o% s$ch t%ans#e% o% con'e"ance. shall c$lti'ate
the lan+ hi&sel#. 3ailin( co&!liance he%ewith. the lan+ shall be t%ans#e%%e+ to the L1P
which shall (i'e +$e notice o# the a'ailabilit" o# the lan+ in the &anne% s!eci#ie+ in the
i&&e+iatel" !%ece+in( !a%a(%a!h.
In the e'ent o# s$ch t%ans#e% to the L1P. the latte% shall co&!ensate the bene#icia%" in one
l$&! s$& #o% the a&o$nts the latte% has al%ea+" !ai+. to(ethe% with the 'al$e o#
i&!%o'e&ents he has &a+e on the lan+.
SEC. 7 . )tanding Crops at the Time of Ac/uisition. - The lan+owne% shall %etain his
sha%e o# an" stan+in( c%o!s $nha%'este+ at the ti&e the @AR shall take !ossession o# the
lan+ $n+e% Section 1? o# this Act. an+ shall be (i'en a %easonable ti&e to ha%'est the sa&e.
CHAPTER 8III
CORPORATE 3ARMS
SEC. ;. &arms *wned or *perated $" Corporations or *ther .usiness Associations. + In
the case o# #a%&s owne+ o% o!e%ate+ b" co%!o%ations o% othe% b$siness associations. the
#ollowin( %$les shall be obse%'e+ b" the PARC.
In (ene%al. lan+s shall be +ist%ib$te+ +i%ectl" to the in+i'i+$al wo%ke%-bene#icia%ies.
In case it is not econo&icall" #easible an+ so$n+ to +i'i+e the lan+. then it shall be owne+
collecti'el" b" the wo%ke%-bene#icia%ies who shall #o%& a wo%ke%s0 coo!e%ati'e o%
association which will +eal with the co%!o%ation o% b$siness association. Antil a new
a(%ee&ent is ente%e+ into b" an+ between the wo%ke%s0 coo!e%ati'e o% association an+ the
co%!o%ation o% b$siness association. an" a(%ee&ent e2istin( at the ti&e this Act takes
e##ect between the #o%&e% an+ the !%e'io$s lan+owne% shall be %es!ecte+ b" both the
wo%ke%s0 coo!e%ati'e o% association an+ the co%!o%ation o% b$siness association.
SEC. 4>. :omelots and &armlots for ,em$ers of Cooperatives. - The in+i'i+$al &e&be%s
o# the coo!e%ati'es o% co%!o%ations &entione+ in the !%ece+in( section shall be !%o'i+e+
with ho&elots an+ s&all #a%&lots #o% thei% #a&il" $se. to be taken #%o& the lan+ owne+ b"
the coo!e%ati'e o% co%!o%ation.
SEC. 41. Corporate Landowners. - Co%!o%ate lan+owne%s &a" 'ol$nta%il" t%ans#e%
owne%shi! o'e% thei% a(%ic$lt$%al lan+hol+in(s to the Re!$blic o# the Phili!!ines !$%s$ant
to Section > he%eo# o% to /$ali#ie+ bene#icia%ies. $n+e% s$ch te%&s an+ con+itions
consistent with this Act. as the" &a" a(%ee $!on. s$b,ect to con#i%&ation b" the @AR.
A!on ce%ti#ication b" the @AR. co%!o%ations ownin( a(%ic$lt$%al lan+s &a" (i'e thei%
/$ali#ie+ bene#icia%ies the %i(ht to !$%chase s$ch !%o!o%tion o# the ca!ital stock o# the
co%!o%ation that the a(%ic$lt$%al lan+. act$all" +e'ote+ to a(%ic$lt$%al acti'ities. bea%s in
%elation to the co&!an"0s total assets. $n+e% s$ch te%&s an+ con+itions as &a" be a(%ee+
$!on b" the&. In no case shall the co&!ensation %ecei'e+ b" the wo%ke%s at the ti&e the
sha%es o# stocks a%e +ist%ib$te+ be %e+$ce+. The sa&e !%inci!le shall be a!!lie+ to
associations. with %es!ect to thei% e/$it" o% !a%tici!ation.
Co%!o%ations o% associations which 'ol$nta%il" +i'est a !%o!o%tion o# thei% ca!ital stock.
e/$it" o% !a%tici!ation in #a'o% o# thei% wo%ke%s o% othe% /$ali#ie+ bene#icia%ies $n+e% this
section shall be +ee&e+ to ha'e co&!lie+ with the !%o'isions o# this Act5 Provided That
the #ollowin( con+ition a%e co&!lie+ with5
)a* In o%+e% to sa#e($a%+ the %i(ht o# bene#icia%ies who own sha%es o# stocks to
+i'i+en+s an+ othe% #inancial bene#its. the books o# the co%!o%ation o% association
shall be s$b,ect to !e%io+ic a$+it b" ce%ti#ie+ !$blic acco$ntants chosen b" the
bene#icia%ies<
)b* I%%es!ecti'e o# the 'al$e o# thei% e/$it" in the co%!o%ation o% association. the
bene#icia%ies shall be ass$%e+ o# at least one )1* %e!%esentati'e in the boa%+ o#
+i%ecto%s. o% in a &ana(e&ent o% e2ec$ti'e co&&ittee. i# one e2ists. o# the
co%!o%ation o% association<
)c* An" sha%es ac/$i%e+ b" s$ch wo%ke%s an+ bene#icia%ies shall ha'e the sa&e
%i(hts an+ #eat$%es as all othe% sha%es< an+
)+* An" t%ans#e% o# sha%es o# stocks b" the o%i(inal bene#icia%ies shall be 'oi+ a$
initio $nless sai+ t%ansaction is in #a'o% o# a /$ali#ie+ an+ %e(iste%e+ bene#icia%"
within the sa&e co%!o%ation.
I# within two )* "ea%s #%o& the a!!%o'al o# this Act. the lan+ o% stock t%ans#e% en'isione+
abo'e is not &a+e o% %eali-e+ o% the !lan #o% s$ch stock +ist%ib$tion a!!%o'e+ b" the
PARC within the sa&e !e%io+. the a(%ic$lt$%al lan+ o# the co%!o%ate owne%s o% co%!o%ation
shall be s$b,ect to the co&!$lso%" co'e%a(e o# this Act.
SEC. 4. Production+)haring. - Pen+in( #inal lan+ t%ans#e%. in+i'i+$als o% entities ownin(.
o% o!e%atin( $n+e% lease o% &ana(e&ent cont%act. a(%ic$lt$%al lan+s a%e he%eb" &an+ate+
to e2ec$te a !%o+$ction-sha%in( !lan with thei% #a%&wo%ke%s o% #a%&wo%ke%s0
o%(ani-ation. i# an". whe%eb" th%ee !e%cent )4D* o# the (%oss sales #%o& the !%o+$ction o#
s$ch lan+s a%e +ist%ib$te+ within si2t" )?>* +a"s at the en+ o# the #iscal "ea% as
co&!ensation to %e($la% an+ othe% #a%&wo%ke%s in s$ch lan+s o'e% an+ abo'e the
co&!ensation the" c$%%entl" %ecei'e5Provided. That these in+i'i+$als o% entities %eali-e
(%oss sales in e2cess o# #i'e &illion !esos !e% ann$& $nless the @AR. $!on !%o!e%
a!!lication. +ete%&ines a lowe% ceilin(.

In the e'ent that the in+i'i+$al o% entit" %eali-es a !%o#it. an a++itional ten !e%cent )1>D*
o# the net !%o#it a#te% ta2 shall be +ist%ib$te+ to sai+ %e($la% an+ othe% #a%&wo%ke%s within
ninet" +a"s at the en+ o# the #iscal "ea%. To #o%estall an" +is%$!tion in the no%&al
o!e%ation o# lan+s to be t$%ne+ o'e% to the #a%&wo%ke%-bene#icia%ies &entione+ abo'e. a
t%ansito%" !e%io+. the len(th o# which shall be +ete%&ine+ b" the @AR. will be establishe+.
@$%in( this t%ansito%" !e%io+. at least one !e%cent )1D* o# the (%oss sales o# the entit" shall
be +ist%ib$te+ to the &ana(e%ial. s$!e%'iso%" an+ technical (%o$! in !lace at the ti&e o#
the e##ecti'it" o# this Act. as co&!ensation #o% s$ch t%ansito%" &ana(e%ial an+ technical
#$nction it will !e%#o%&. !$%s$ant to an a(%ee&ent that the #a%&wo%ke%-bene#icia%ies an+
the &ana(e%ial. s$!e%'iso%" an+ technical (%o$! &a" concl$+e. s$b,ect to the a!!%o'al o#
the @AR.
SEC. 44. Pa"ment of )hares of Cooperative or Association. - Sha%es o# a coo!e%ati'e o%
association ac/$i%e+ b" #a%&e%s-bene#icia%ies o% wo%ke%s-bene#icia%ies shall be #$ll" !ai+
#o% in an a&o$nt co%%es!on+in( to the 'al$ation as +ete%&ine+ in the i&&e+iatel"
s$ccee+in( section. The lan+owne% an+ the L1P shall assist the #a%&e%-bene#icia%ies an+
wo%ke%-bene#icia%ies in the !a"&ent #o% sai+ sha%es b" !%o'i+in( c%e+it #inancin(.
SEC. 4:. 8aluation of Lands. - A 'al$ation sche&e #o% the lan+ shall be #o%&$late+ b" the
PARC. takin( into acco$nt the #acto%s en$&e%ate+ in Section 16. in a++ition to the nee+ to
sti&$late the (%owth o# coo!e%ati'es an+ the ob,ecti'e o# #oste%in( %es!onsible
!a%tici!ation o# the wo%ke%s-bene#icia%ies in the c%eation o# wealth.
In the +ete%&ination o# a !%ice that is ,$st not onl" to the in+i'i+$al b$t to societ" as will.
the PARC shall cons$lt closel" with the lan+owne% an+ the wo%ke%s-bene#icia%ies.
In case o# +isa(%ee&ent. the !%ice +ete%&ine+ b" the PARC. i# acce!te+ b" the wo%ke%s-
bene#icia%ies. shall be #ollowe+. witho$t !%e,$+ice to the lan+owne%0s %i(ht to !etition the
S!ecial A(%a%ian Co$%t to %esol'e the iss$e o# 'al$ation.
CHAPTER IB
SAPPORT SER8ICES
SEC. 4=. Creation of )upport )ervices *ffice. - The%e is he%eb" c%eate+ the O##ice o#
S$!!o%t Se%'ices $n+e% the @AR to be hea+e+ b" an An+e%sec%eta%".
The o##ice shall !%o'i+e (ene%al s$!!o%t an+ coo%+inati'e se%'ices in the i&!le&entation
o# the !%o(%a&. !a%tic$la%l" in ca%%"in( o$t the !%o'isions o# the #ollowin( se%'ices to
#a%&e% bene#icia%ies an+ a##ecte+ lan+owne%s5
)1* I%%i(ation #acilities. es!eciall" secon+ c%o! o% +%" season i%%i(ation #acilities<
)* In#%ast%$ct$%e +e'elo!&ent an+ !$blic wo%ks !%o,ects in a%eas an+ settle&ent
that co&e $n+e% a(%a%ian %e#o%&. an+ #o% this !$%!ose. the !%e!a%ation o# the
!h"sical +e'elo!&ent !lan o# s$ch settle&ents !%o'i+in( s$itable ba%an(a" sites.
!otable wate% an+ !owe% %eso$%ces. i%%i(ation s"ste&s. see+s an+ see+lin( banks.
!ost ha%'est #acilities. an+ othe% #acilities #o% a so$n+ a(%ic$lt$%al +e'elo!&ent
!lan. 3o% the !$%!ose o# !%o'i+in( the a#o%ecite+ in#%ast%$ct$%e an+ #acilities. the
@AR is a$tho%i-e+ to ente% into cont%acts with inte%este+ !%i'ate !a%ties on lon(
te%& basis o% th%o$(h ,oint 'ent$%e a(%ee&ents o% b$il+-o!e%ate-t%ans#e% sche&e5
)4* 9o'e%n&ent s$bsi+ies #o% the $se o# i%%i(ation #acilities
):* P%ice s$!!o%t an+ ($a%antee #o% all a(%ic$lt$%al !%o+$ce<
)=* E2ten+in( to s&all lan+owne%s. #a%&e%s an+ #a%&e%s0 o%(ani-ations the
necessa%" c%e+it. like concessional an+ collate%al-#%ee loans. #o% a(%o-
in+$st%iali-ation base+ on social collate%als like the ($a%antees o# #a%&e%s0
o%(ani-ations<
)?* P%o&otin(. +e'elo!in( an+ e2ten+in( #inancial assistance to s&all an+
&e+i$&-scale in+$st%ies in a(%a%ian %e#o%& a%eas<
)6* Assi(nin( s$##icient n$&be%s o# a(%ic$lt$%al e2tension wo%ke%s to #a%&e%s0
o%(ani-ation<
)7* An+e%take %esea%ch. +e'elo!&ent an+ +isse&ination o# in#o%&ation on
a(%a%ian %e#o%&. !lants an+ c%o!s best s$ite+ #o% c$lti'ation an+ &a%ketin(. an+
low cost an+ ecolo(icall" so$n+ #a%& in!$ts an+ technolo(ies to &ini&i-e %eliance
on e2!ensi'e an+ i&!o%te+ a(%ic$lt$%al in!$ts<
);* @e'elo!&ent o# coo!e%ati'e &ana(e&ent skills th%o$(h intensi'e t%ainin(<
);* Assistance in the i+enti#ication o# %ea+" &a%kets #o% a(%ic$lt$%al !%o+$ce an+
t%ainin( in the othe% 'a%io$s as!ects o# &a%ketin(<
)1>* Con+$ct an+ e##ecti'e in#o%&ation +isse&ination s"ste& th%o$(h the
@e!a%t&ent o# A(%ic$lt$%e to !%o&ote &a%ketin( an+ &ini&i-e s!oila(e o#
a(%ic$lt$%al !%o+$ce an+ !%o+$cts<
)11* C%eate a c%e+it ($a%antee #$n+ #o% a(%ic$lt$%al lan+owne%s that will enhance
the collate%al 'al$e o# a(%ic$lt$%al lan+s that a%e a##ecte+ o% will be a##ecte+ b"
co'e%a(e $n+e% the a(%a%ian %e#o%& !%o(%a&< an+
)1* A+&inist%ation. o!e%ation. &ana(e&ent an+ #$n+in( o# s$!!o%t se%'ices
!%o(%a&s an+ !%o,ects incl$+in( !ilot !%o,ects an+ &o+els %elate+ to a(%a%ian
%e#o%& as +e'elo!e+ b" the @AR. )As a&en+e+ b" R. A. 6;>=*
SEC. 4?. &unding for )upport )ervices. - In o%+e% to co'e% the e2!enses an+ cost o#
s$!!o%t. at least twent"-#i'e !e%cent )=D* o# all a!!%o!%iations #o% a(%a%ian %e#o%& shall
i&&e+iatel" be set asi+e an+ &a+e a'ailable #o% this !$%!ose5 Provided That #o% the ne2t
#i'e )=* "ea%s. a &ini&$& o# one )1* A(%a%ian Re#o%& Co&&$nit" )ARC* shall be
establishe+ b" the @AR. in coo%+ination with the local (o'e%n&ent $nits. non-
(o'e%n&ental o%(ani-ations an+ !eo!le0s o%(ani-ations in each le(islati'e +ist%ict with a
!%e+o&inant a(%ic$lt$%al !o!$lation5Provided further. That the a%eas in which the ARCs
a%e to be establishe+ shall ha'e been #$ll" s$b,ecte+ $n+e% this law.
3o% this !$%!ose. an A(%a%ian Re#o%& Co&&$nit" shall be +e#ine+ as a ba%an(a" o% a
cl$ste% o# ba%an(a"s !%i&a%il" co&!ose+ an+ &ana(e+ b" A(%a%ian Re#o%& 1ene#icia%ies
who shall be willin( to be o%(ani-e+ an+ $n+e%take the inte(%ate+ +e'elo!&ent o# an a%ea
an+Go% thei% o%(ani-ationsGcoo!e%ati'es. In each co&&$nit". the @AR. to(ethe% with the
a(encies an+ o%(ani-ations abo'e &entione+. shall i+enti#" the #a%&e%s0 association.
coo!e%ati'e o% thei% %es!ecti'e #e+e%ations a!!%o'e+ b" the #a%&e%s-bene#icia%ies that shall
take the lea+ in the a(%ic$lt$%al +e'elo!&ent o# the a%ea. In a++ition. the @AR shall be
a$tho%i-e+ to !acka(e !%o!osals an+ %ecei'e (%ants. ai+s an+ othe% #o%&s o# #inancial
assistance #%o& an" so$%ce. )As a&en+e+ b" R. A. 6;>=*
SEC. 46. )upport )ervices to the .eneficiaries. - The PARC shall ens$%e that s$!!o%t
se%'ices to #a%&e%-bene#icia%ies a%e !%o'i+e+. s$ch as5
)a* Lan+ s$%'e"s an+ titlin(<
)b* Libe%ali-e+ te%&s o# c%e+it #acilities an+ !%o+$ction loans<
)c* E2tension se%'ices b" wa" o# !lantin(. c%o!!in(. !%o+$ction an+ !ost-ha%'est
technolo(" t%ans#e% as well as
&a%ketin( an+ &ana(e&ent assistance an+ s$!!o%t to coo!e%ati'es an+ #a%&e%
o%(ani-ation<
)+* In#%ast%$ct$%e s$ch as access t%ails. &ini-+a&s. !$blic $tilities. &a%ketin( an+
sto%a(e #acilities< an+
)e* Resea%ch. !%o+$ction an+ $se o# o%(anic #e%tili-e%s an+ othe% local s$bstances
necessa%" to #a%&in( an+ c$lti'ation.
The PARC shall #o%&$late !olicies to ens$%e that s$!!o%t se%'ices to #a%&e%-bene#icia%ies
shall be !%o'i+e+ at all sta(es o# lan+ %e#o%&.
The .agong ;ilusang ;a$uha"an sa ;aunlaran )1HHH* Sec%eta%iat shall be t%ans#e%%e+
an+ attache+ to the L1P. #o% its s$!e%'ision. incl$+in( all its a!!licable an+ e2istin( #$n+s.
!e%sonnel. !%o!e%ties. e/$i!&ent an+ %eco%+s.

Mis$se o% +i'e%sion o# the #inancial an+ s$!!o%t se%'ices he%ein !%o'i+e+ shall %es$lt in
sanction a(ainst the bene#icia%" ($ilt" the%eo#. incl$+in( the #o%#eit$%e o# the lan+
t%ans#e%%e+ to hi& o% lesse% sanctions as &a" be !%o'i+e+ b" the PARC. witho$t !%e,$+ice
to c%i&inal !%osec$tion.
SEC. 47. )upport )ervices to Landowners. - The PARC. with the assistance o# s$ch othe%
(o'e%n&ent a(encies an+ inst%$&entalities as it &a" +i%ect. shall !%o'i+e lan+owne%s
a##ecte+ b" the CARP an+ !%o!e% a(%a%ian %e#o%& !%o(%a&s with the #ollowin( se%'ices5
)a* In'est&ent in#o%&ation. #inancial an+ co$nselin( assistance<
)b* 3acilities. !%o(%a&s an+ sche&es #o% the con'e%sion o% e2chan(e o# bon+s iss$e+ #o%
!a"&ent o# the lan+s ac/$i%e+ with stocks an+ bon+s iss$e+ b" the National 9o'e%n&ent.
the cent%al bank an+ othe% (o'e%n&ent instit$tions an+ inst%$&entalities<
)c* Ma%ketin( o# L1P bon+s. as well as !%o&otin( the &a%ketabilit" o# sai+ bon+s in
t%a+itional an+ non-t%a+itional #inancial &a%kets an+ stock e2chan(es<
)+* Othe% se%'ices +esi(ne+ to $tili-e !%o+$cti'el" the !%ocee+s o# the sale o# s$ch lan+s
#o% %$%al in+$st%iali-ation.

A lan+owne% who in'ests in %$%al-base+ in+$st%ies shall be entitle+ to the incenti'es
(%ante+ to a %e(iste%e+ ente%!%ise en(a(e+ in a !ionee% o% !%e#e%%e+ a%ea o# in'est&ent as
!%o'i+e+ #o% in the O&nib$s In'est&ent Co+e o# 1;76. o% to s$ch othe% incenti'es as the
PARC. the L1P. o% othe% (o'e%n&ent #inancial instit$tions &a" !%o'i+e.
The L1P shall %e+ee& a lan+owne%0s L1P bon+s at #ace 'al$e5 Provided that the !%ocee+s
the%eo# shall be in'este+ in a 1OI- %e(iste%e+ co&!an" o% in an" a(%i-b$siness o% a(%o-
in+$st%ial ente%!%ise in the %e(ion whe%e the lan+owne% has !%e'io$sl" &a+e in'est&ents.
to the e2tent o# thi%t" !e%cent )4>D* o# the #ace 'al$e o# sai+ L1P bon+s. s$b,ect to
($i+elines that shall be iss$e+ b" the L1P.
SEC. 4;. Land Consolidation. - the @AR shall ca%%" o$t lan+ consoli+ation !%o,ects to
!%o&ote e/$al +ist%ib$tion o# lan+hol+in(s. to !%o'i+e the nee+e+ in#%ast%$ct$%e in
a(%ic$lt$%e. an+ to conse%'e soil #e%tilit" an+ !%e'ent e%osion.
CHAPTER B
SPECIAL AREAS O3 CONCERN
SEC. :>. )pecial Areas of Concern. - As an inte(%al !a%t o# the Co&!%ehensi'e A(%a%ian
Re#o%& P%o(%a&. the #ollowin( !%inci!les in these s!ecial a%eas o# conce%n shall be
obse%'e+5
)1* )u$sistence &ishing. - S&all #ishe% #olk. incl$+in( seawee+ #a%&e%s. shall be
ass$%e+ o# (%eate% access to the $tili-ation o# wate% %eso$%ces<
)* Logging and ,ining concessions. - S$b,ect to the %e/$i%e&ent o# a balance+
ecolo(" an+ conse%'ation o# wate% %eso$%ces. s$itable a%eas. as +ete%&ine+ b" the
@e!a%t&ent o# En'i%on&ent an+ Nat$%al Reso$%ces )@ENR*. in lo((in(. &inin(
an+ !ast$%e a%eas. &$st be o!ene+ $! #o% a(%a%ian settle&ents whose bene#icia%ies
will be %e/$i%e+ to $n+e%take %e#o%estation an+ conse%'ation o# !%o+$cts &etho+s.
S$b,ect to e2istin( laws. %$les an+ %e($lation. settle%s an+ &e&be%s o# t%ibal
co&&$nities &$st be allowe+ to en,o" an+ e2!loit the !%o+$cts o# the #o%ests othe%
than ti&be% within the lo((in( concessions.
)4* )parsel" *ccupied Pu$lic Agricultural lands. - S!a%sel" occ$!ie+ a(%ic$lt$%al
lan+s o# the !$blic +o&ain will be s$%'e"e+. !%oclai&e+ an+ +e'elo!e+ as #a%&
settle&ents #o% /$ali#ie+ lan+less !eo!le base+ on an o%(ani-e+ !%o(%a& to ens$%e
thei% o%+e%l" an+ ea%l" +e'elo!&ent
A(%ic$lt$%al lan+ allocations will be &a+e #o% i+eal #a&il"-si-e+ #a%&s as
+ete%&ine+ b" the PARC. Pionee%s an+ othe% settle%s will be t%eate+ e/$all" in
e'e%" %es!ect.
S$b,ect to the !%io% %i(hts o# /$ali#ie+ bene#icia%ies. $nc$lti'ate+ lan+s o# the
!$blic +o&ain shall be &a+e a'ailable on a lease basis to inte%este+ an+ /$ali#ie+
!a%ties. Pa%ties who will en(a(e in the +e'elo!&ent o# ca!ital-intensi'e. t%a+itional
o% !ionee%in( c%o!s will be (i'en !%io%it".
The lease !e%io+. which shall not be &o%e than a total o# #i#t" )=>* "ea%s. shall be
!%o!o%tionate to the a&o$nt o# in'est&ent an+ !%o+$ction (oals o# the lessee. A
s"ste& o# e'al$ation an+ a$+it will be instit$te+.
):* #dle a$andoned foreclosed and se/uestered lands. - I+le. aban+one+.
#o%eclose+ an+ se/$este%e+ lan+s shall be !lanne+ #o% +ist%ib$tion as ho&elots an+
#a&il"-si-e+ #a%& lots to act$al occ$!ants. I# lan+ a%ea !e%&its. othe% lan+less
#a&ilies will be acco&&o+ate+ in these lan+s.
)=* Rural <omen. - All /$ali#ie+ wo&en &e&be%s o# the a(%ic$lt$%al labo% #o%ce
&$st be ($a%antee+ an+ ass$%e+ e/$al %i(hts to owne%shi! o# the lan+. e/$al
sha%es o# the #a%&0s !%o+$ce. an+ %e!%esentation in a+'iso%" o% a!!%o!%iate
+ecision-&akin( bo+ies.
)?* 1eterans and Retirees. - In acco%+ance with Section 6 o# A%ticle B8I o# the
Constit$tion. lan+less wa% 'ete%ans an+ 'ete%ans o# &ilita%" ca&!ai(ns. thei%
s$%'i'in( s!o$se an+ o%!hans. %eti%ees o# the A%&e+ 3o%ces o# the Phili!!ines
)A3P* an+ the Inte(%ate+ National Police )INP*. %et$%nees. s$%%en+e%ees. an+
si&ila% bene#icia%ies shall be (i'en +$e consi+e%ation in the +is!osition o#
a(%ic$lt$%al lan+s o# the !$blic +o&ain.
)6* Agriculture =raduates. - 9%a+$ates o# a(%ic$lt$%al schools who a%e lan+less
shall be assiste+ b" the (o'e%n&ent. th%o$(h the @AR. in thei% +esi%e to own an+
till a(%ic$lt$%al lan+s.
CHAPTER BI
PRO9RAM IMPLEMENTATION
SEC. :1. The Presidential Agrarian Reform Council. - The P%esi+ential A(%a%ian Re#o%&
Co$ncil )PARC* shall be co&!ose+ o# the P%esi+ent o# the Phili!!ines as Chai%&an. the
Sec%eta%" o# A(%a%ian Re#o%& as 8ice-Chai%&an an+ the #ollowin( as &e&be%s5
Sec%eta%ies o# the @e!a%t&ents o# A(%ic$lt$%e< En'i%on&ent an+ Nat$%al Reso$%ces<
1$+(et an+ Mana(e&ent < Local 9o'e%n&ent< P$blic Co%ks an+ Hi(hwa"s< T%a+e an+
In+$st%"< 3inance< Labo% an+ E&!lo"&ent< @i%ecto%-9ene%al o# the National Econo&ic
an+ @e'elo!&ent A$tho%it"< P%esi+ent. Lan+ 1ank o# the Phili!!ines< A+&inist%ato%.
National I%%i(ation A+&inist%ation< an+ th%ee )4* %e!%esentati'es o# a##ecte+ lan+owne%s
to %e!%esent L$-on. 8isa"as an+ Min+anao5 Provided that one o# the& shall be #%o& the
c$lt$%al co&&$nities.
SEC. :. !-ecutive Committee. - The%e shall be an E2ec$ti'e Co&&ittee )EBCOM* o# the
PARC co&!ose+ o# the Sec%eta%" o# the @AR as Chai%&an. an+ s$ch othe% &e&be%s as the
!%esi+ent &a" +esi(nate. takin( into acco$nt A%ticle BIII. Section = o# the Constit$tion.
Anless othe%wise +i%ecte+ b" the PARC. the EBCOM &a" &eet an+ +eci+e on an" an+ all
&atte%s in between &eetin(s o# the PARC5 Provided however That its +ecisions &$st be
%e!o%te+ to the PARC i&&e+iatel" an+ not late% than the ne2t &eetin(.
SEC. :4. )ecretariat. - A PARC Sec%eta%iat is he%eb" establishe+ to !%o'i+e (ene%al
s$!!o%t an+ coo%+inati'e se%'ices s$ch as inte%-a(enc" linka(es< !%o(%a& an+ !%o,ect
a!!%aisal an+ e'al$ation an+ (ene%al o!e%ations &onito%in( #o% the PARC.
The Sec%eta%iat shall be hea+e+ b" the Sec%eta%" o# A(%a%ian Re#o%& who shall be assiste+
b" an An+e%sec%eta%" an+ s$!!o%te+ b" a sta## whose co&!osition shall be +ete%&ine+ b"
the PARC E2ec$ti'e Co&&ittee an+ whose co&!ensation shall be cha%(eable a(ainst the
A(%a%ian Re#o%& 3$n+. All o##ice%s an+ e&!lo"ees o# the Sec%eta%iat shall be a!!ointe+ b"
the Sec%eta%" o# A(%a%ian Re#o%&.
SEC. ::. Provincial Agrarian Reform Coordinating Committee 2PARCC*,5. - A
P%o'incial A(%a%ian Re#o%& Coo%+inatin( Co&&ittee is he%eb" c%eate+ in each !%o'ince.
co&!ose+ o# a Chai%&an. who shall be a!!ointe+ b" the P%esi+ent $!on the
%eco&&en+ation o# the EBCOM. the P%o'incial A(%a%ian Re#o%& O##ice% as E2ec$ti'e
O##ice%. an+ one )1* %e!%esentati'e each #%o& the @e!a%t&ent o# A(%ic$lt$%e. @e!a%t&ent
o# En'i%on&ent an+ Nat$%al Reso$%ces an+ #%o& the L1P< one )1* %e!%esentati'e each
#%o& e2istin( #a%&e%s0 o%(ani-ations. a(%ic$lt$%al coo!e%ati'es an+ non-(o'e%n&ental
o%(ani-ations in the !%o'ince< two )* %e!%esentati'es #%o& lan+owne%s at least one )1* o#
who& shall be a !%o+$ce% %e!%esentin( the !%inci!al c%o! o# the !%o'ince< an+ two )*
%e!%esentati'es #%o& #a%&e%s an+ #a%& wo%ke%s o% bene#icia%ies. at least one )1* o# who&
shall be a #a%&e% o% #a%&wo%ke% %e!%esentin( the !%inci!al c%o! o# the !%o'ince. as
&e&be%s5 Provided. That in a%eas whe%e the%e a%e c$lt$%al co&&$nities. the latte% shall
likewise ha'e one )1* %e!%esentati'e.
The PARCCOM shall coo%+inate an+ &onito% the i&!le&entation o# the CARP in the
!%o'ince. It shall !%o'i+e in#o%&ation on the !%o'isions o# the CARP. ($i+elines iss$e+ b"
the PARC an+ on the !%o(%ess o# the CARP in the !%o'ince. In a++ition. it shall5
)a* Reco&&en+ to the PARC the #ollowin( 5
)1* Ma%ket !%ice to be $se+ in the +ete%&ination o# the !%o#it-sha%in( obli(ation o#
a(%ic$lt$%al entities in the !%o'ince<
)* A+o!tion o# the +i%ect !a"&ent sche&e between the lan+owne% an+ the #a%&e%
an+Go% #a%&wo%ke%-bene#icia%"5 Provided. that the a&o$nt an+ te%&s o# !a"&ent
a%e not &o%e b$%+enso&e to the a(%a%ian %e#o%& bene#icia%" than $n+e% the
co&!$lso%" co'e%a(e !%o'ision o# the CARL5 Provided. further That the a(%a%ian
%e#o%& bene#icia%" a(%ees to the a&o$nt an+ the te%&s o# !a"&ent 5 Provided
furthermore That the @AR shall act as &e+iato% in cases o# +isa(%ee&ent between
the lan+owne% an+ the #a%&e% an+Go% #a%&wo%ke%-bene#icia%"5 Provided
finall" That the #a%&e% an+Go% #a%&e%-bene#icia%" shall be eli(ible to bo%%ow #%o&
the L1P an a&o$nt e/$al to ei(ht"-#i'e !e%cent )7=D* o# the sellin( !%ice o# the
lan+ that the" ha'e ac/$i%e+<
)4* Contin$o$s !%ocessin( o# a!!lications #o% lease-back a%%an(e&ents. ,oint
'ent$%e a(%ee&ents an+ othe% sche&es that will o!ti&i-e the o!e%atin( si-e #o%
a(%ic$lt$%e !%o+$ction an+ also !%o&ote both sec$%it" o# ten$%e an+ sec$%it" o#
inco&e to #a%&e% bene#icia%ies5 Provided That lease-back a%%an(e&ents sho$l+ be
the last %eso%t. )As a&en+e+ b" R. A. 6;>=*
SEC. := Province+$"+Province #mplementation. - The PARC shall !%o'i+e the ($i+elines
#o% the !%o'ince-b"-!%o'ince i&!le&entation o# the CARP. takin( into acco$nt
!ec$lia%ities an+ nee+s o# each !lace. kin+ o# c%o!s nee+e+ o% s$ite+. lan+ +ist%ib$tion
wo%kloa+. bene#icia%ies0 +e'elo!&ent acti'ities an+ othe% #acto%s !%e'alent o% obtainin( in
the a%ea. In all cases. the i&!le&entin( a(encies at the !%o'incial le'el shall !%o&ote the
+e'elo!&ent o# i+enti#ie+ ARCs witho$t ne(lectin( the nee+s an+ !%oble&s o# othe%
bene#icia%ies. The ten-"ea% !%o(%a& o# +ist%ib$tion o# !$blic an+ !%i'ate lan+ in each
!%o'ince shall be a+,$ste+ #%o& "ea% to "ea% b" the !%o'ince0s PARCCOM in acco%+ance
with the le'el o# o!e%ations !%e'io$sl" establishe+ b" the PARC. in e'e%" case ens$%in(
that s$!!o%t se%'ices a%e a'ailable o% ha'e been !%o(%a&&e+ be#o%e act$al +ist%ib$tion is
e##ecte+. )As a&en+e+ b" R. A. 6;>=*
SEC. :? . .aranga" Agrarian Reform Committee )1ARC*. - Anless othe%wise !%o'i+e+ in
this Act. the !%o'isions o# E2ec$ti'e O%+e% No. ; %e(a%+in( the o%(ani-ation o# the
1a%an(a" A(%a%ian Re#o%& Co&&ittee )1ARC* shall be in e##ect.
SEC. :6. &unctions of the 1ARC. - In a++ition to those !%o'i+e+ in E2ec$ti'e O%+e% No.
;. the 1ARC shall ha'e the #ollowin( #$nction5
)a* Me+iate an+ conciliate between !a%ties in'ol'e+ in an a(%a%ian +is!$te
incl$+in( &atte%s %elate+ to ten$%ial an+ #inancial a%%an(e&ents<
)b* Assist in the i+enti#ication o# /$ali#ie+ bene#icia%ies an+ lan+owne%s within the
ba%an(a"<
)c* Attest to the acc$%ac" o# the initial !a%cella%" &a!!in( o# the bene#icia%"0s
tilla(e<
)+* Assist /$ali#ie+ bene#icia%ies in obtainin( c%e+it #%o& len+in( instit$tions<
)e* Assist in the initial +ete%&ination o# the 'al$e o# the lan+<
)#* Assist the @AR %e!%esentati'e in the !%e!a%ation o# !e%io+ic %e!o%ts on the
CARP i&!le&entation #o% s$b&ission to the @AR<
)(* Coo%+inate the +eli'e%" o# s$!!o%t se%'ices to bene#icia%ies< an+
)h* Pe%#o%& s$ch othe% #$nctions as &a" be assi(ne+ b" the @AR .
)* The 1ARC shall en+ea'o% to &e+iate. conciliate an+ settle a(%a%ian +is!$tes lo+(e+
be#o%e it within thi%t" )4>* +a"s #%o& its takin( co(ni-ance the%eo#. I# a#te% the la!se o# the
thi%t" +a" !e%io+. it is $nable to settle the +is!$te. it shall iss$e a ce%ti#ication o# its
!%ocee+in(s an+ shall #$%nish a co!" the%eo# $!on the !a%ties within se'en )6* +a"s #%o&
the e2!i%ation o# the thi%t" +a"s !e%io+.
SEC. :7. Legal Assistance. - The 1ARC o% an" &e&be% the%eo# &a". whene'e% necessa%"
in the e2e%cise o# an" o# its #$nctions he%e$n+e%. seek the le(al assistance o# the @AR an+
the !%o'incial. cit". o% &$nici!al (o'e%n&ent.
SEC. :;. Rules and Regulations. - The PARC an+ the @AR shall ha'e the !owe% to iss$e
%$les an+ %e($lations. whethe% s$bstanti'e o% !%oce+$%al. to ca%%" o$t the ob,ects an+
!$%!oses o# this Act. Sai+ %$les shall take e##ect ten )1>* +a"s a#te% !$blication in two )*
national news!a!e%s o# (ene%al ci%c$lation.
CHAPTER BII
A@MINISTRATI8E A@EA@ICATION
SEC. =>. 9uasi+0udicial Powers of the @AR. - The @AR is he%eb" 'este+ with !%i&a%"
,$%is+iction to +ete%&ine an+ a+,$+icate a(%a%ian %e#o%& &atte%s an+ shall ha'e e2cl$si'e
o%i(inal ,$%is+iction o'e% all &atte%s in'ol'in( the i&!le&entation o# a(%a%ian %e#o%&.
e2ce!t those #allin( $n+e% the e2cl$si'e ,$%is+iction o# the @e!a%t&ent o# A(%ic$lt$%al
)@A* an+ the @e!a%t&ent o# En'i%on&ent an+ Nat$%al Reso$%ces )@ENR*.
It shall not be bo$n+ b" technical %$les o# !%oce+$%e an+ e'i+ence b$t shall !%ocee+ to
hea% an+ +eci+e all cases. +is!$tes o% cont%o'e%sies in a &ost e2!e+itio$s &anne%.
e&!lo"in( all %easonable &eans to asce%tain the #acts o# e'e%" case in acco%+ance with
e/$it" an+ the &e%its o# the case. Towa%+ this en+. it shall a+o!t a $ni#o%& %$le o#
!%oce+$%e to achie'e a ,$st. e2!e+itio$s an+ ine2!ensi'e +ete%&ination o# e'e%" action o%
!%ocee+in( be#o%e it.
It shall ha'e the !owe% to s$&&on witnesses. a+&iniste% oaths. take testi&on". %e/$i%e
s$b&ission o# %e!o%ts. co&!el the !%o+$ction o# books an+ +oc$&ents an+ answe%s to
inte%%o(ato%ies an+ iss$e s$b!oena. an+ su$poena duces tecum an+ to en#o%ce its w%its
th%o$(h she%i##s o% othe% +$l" +e!$ti-e+ o##ice%s. It shall likewise ha'e the !owe% to !$nish
+i%ect an+ in+i%ect conte&!t in the sa&e &anne% an+ s$b,ect to the sa&e !enalties as
!%o'i+e+ in the R$les o# Co$%t .
Re!%esentati'es o# #a%&e% lea+e%s shall be allowe+ to %e!%esent the&sel'es. thei% #ellow
#a%&e%s o% thei% o%(ani-ations in an" !%ocee+in(s be#o%e the @AR5 Provided
however that when the%e a%e two o% &o%e %e!%esentati'es #o% an" in+i'i+$al o% (%o$!. the
%e!%esentati'es sho$l+ choose onl" one a&on( the&sel'es to %e!%esent s$ch !a%t" o%
(%o$! be#o%e an" @AR !%ocee+in(s.
Notwithstan+in( an a!!eal to the Co$%t o# A!!eals. the +ecision o# the @AR shall be
i&&e+iatel" e2ec$to%".
SEC. =1. &inalit" of Determination. - An" case o% cont%o'e%s" be#o%e it shall be +eci+e+
within thi%t" )4>* +a"s a#te% it is s$b&itte+ #o% %esol$tion. Onl" one )1* &otion #o%
consi+e%ation shall be allowe+. An" o%+e%. %$lin( o% +ecision shall be #inal a#te% the la!se
o# #i#teen )1=* +a"s #%o& %ecei!t o# a co!" the%eo#.
SEC. =. &rivolous Appeals. - To +isco$%a(e #%i'olo$s o% +ilato%" a!!eals #%o& the
+ecisions o% o%+e%s on the local o% !%o'incial le'els. the @AR &a" i&!ose %easonable
!enalties. incl$+in( b$t not li&ite+ to. #ines o% cens$%es $!on e%%in( !a%ties.
SEC. =4. Certification of 1ARC. - The @AR shall not take co(ni-ance o# an" a(%a%ian
+is!$te o% cont%o'e%s" $nless a ce%ti#ication #%o& the 1ARC that the +is!$te has been
s$b&itte+ to it #o% &e+iation an+ conciliation witho$t an" s$ccess o# settle&ent is
!%esente+5 Provided however that i# no ce%ti#ication is iss$e+ b" the 1ARC within thi%t"
)4>* +a"s a#te% a &atte% o% iss$e is s$b&itte+ to it #o% &e+iation o% conciliation. the case o%
+is!$te &a" be b%o$(ht be#o%e the PARC.
CHAPTER BIII
EA@ICIAL RE8IEC
SEC. =:. Certiorari. + An" +ecision. o%+e%. awa%+ o% %$lin( o# the @AR on an" a(%a%ian
+is!$te o% on an" &atte% !e%tainin( to the a!!lication. i&!le&entation. en#o%ce&ent. o%
inte%!%etation o# this Act an+ othe% !e%tinent laws on a(%a%ian %e#o%& &a" be b%o$(ht to
the Co$%t o# A!!eals b" ce%tio%a%i e2ce!t as othe%wise !%o'i+e+ in this Act within #i#teen
)1=* +a"s #%o& %ecei!t o# a co!" the%eo#.
The #in+in(s o# #act o# the @AR shall be #inal an+ concl$si'e i# base+ on s$bstantial
e'i+ence.
SEC . ==. >o Restraining *rder or Preliminar" #n%unction.- No co$%t in the Phili!!ines
shall ha'e ,$%is+iction to iss$e an" %est%ainin( o%+e% o% w%it o# !%eli&ina%" in,$nction
a(ainst PARC o% an" o# its +$l" a$tho%i-e+ o% +esi(nate+ a(encies in an" case. +is!$te o%
cont%o'e%s" a%isin( #%o&. necessa%" to. o% in connection with the a!!lication.
i&!le&entation. en#o%ce&ent. o% inte%!%etation o# this Act an+ othe% !e%tinent laws on
a(%a%ian %e#o%&.
SEC. =?. )pecial Agrarian Court. + The s$!%e&e Co$%t shall +esi(nate at least one )1*
b%anch o# the Re(ional T%ial Co$%t )RTC* within each !%o'ince to act as a S!ecial A(%a%ian
Co$%t.
The S$!%e&e Co$%t &a" +esi(nate &o%e b%anches to constit$tion s$ch a++itional S!ecial
A(%a%ian Co$%ts as &a" be necessa%" to co!e with the n$&be% o# a(%a%ian cases in each
!%o'ince. In the +esi(nation. the S$!%e&e Co$%t shall (i'e !%e#e%ence to the Re(ional T%ial
Co$%ts which ha'e been assi(ne+ to han+le a(%a%ian cases o% whose !%esi+in( ,$+(es we%e
#o%&e% ,$+(es o# the +e#$nct Co$%t o# A(%a%ian Relations.
The Re(ional T%ial Co$%t )RTC* ,$+(es assi(ne+ to sai+ co$%ts shall e2e%cise sai+ s!ecial
,$%is+iction in a++ition to the %e($la% ,$%is+iction o# thei% %es!ecti'e co$%ts.
The S!ecial A(%a%ian Co$%ts shall ha'e the !owe% an+ !%e%o(ati'es inhe%ent in o%
belon(in( to the Re(ional T%ial Co$%ts.
SEC. =6. )pecial 0urisdiction . - The S!ecial A(%a%ian Co$%ts shall ha'e o%i(inal an+
e2cl$si'e ,$%is+iction o'e% all !etitions #o% the +ete%&ination o# ,$st co&!ensation to
lan+owne%s. an+ the !%osec$tion o# all c%i&inal o##enses $n+e% this Act. The R$les o#
Co$%t shall a!!l" to all !%ocee+in(s be#o%e the S!ecial A(%a%ian Co$%ts $nless &o+i#ie+ b"
this Act.
The S!ecial A(%a%ian Co$%ts shall +eci+e all a!!%o!%iate cases $n+e% thei% s!ecial
,$%is+iction within thi%t" )4>* +a"s #%o& s$b&ission o# the case #o% +ecision.
SEC. =7. Appointment of Commissioners. + The S!ecial A(%a%ian Co$%ts. $!on thei% own
initiati'e o% at the instance o# an" o# the !a%ties. &a" a!!oint one o% &o%e co&&issione%s
to e2a&ine. in'esti(ate an+ asce%tain #acts %ele'ant to the +is!$te. incl$+in( the 'al$ation
o# !%o!e%ties. an+ to #ile a w%itten %e!o%t the%eo# with the co$%t.
SEC. =;. *rders of the )pecial Agrarian Courts. - No o%+e% o# the S!ecial A(%a%ian Co$%ts
on an" iss$e. /$estion. &atte% o% inci+ent %aise+ be#o%e the& shall be ele'ate+ to the
a!!ellate co$%ts $ntil the hea%in( shall ha'e been te%&inate+ an+ the case +eci+e+ on the
&e%its.
SEC. ?>. Appeals.- An a!!eal &a" be taken #%o& the +ecision o# the S!ecial A(%a%ian
Co$%ts b" #ilin( a !etition #o% %e'iew with the Co$%t o# A!!eals #i#teen )1=* +a"s #%o&
%ecei!t o# notice o# the +ecision< othe%wise. the +ecision shall beco&e #inal.
An a!!eal #%o& the +ecision o# the Co$%t o# A!!eals. o% #%o& an" o%+e%. %$lin( o% +ecision
o# @AR. as the case &a" be. shall be b" a !etition #o% %e'iew with the S$!%e&e Co$%t
within a non-e2ten+ible !e%io+ o# #i#teen )1=* +a"s #%o& %ecei!t o# a co!" o# sai+ +ecision.
SEC. ?1. Procedure on Review. + Re'iew b" the Co$%t o# A!!eals o% the S$!%e&e Co$%t. as
the case &a" be. shall be (o'e%ne+ b" the R$les o# Co$%t. The Co$%t o# A!!eals. howe'e%.
&a" %e/$i%e the !a%ties to #ile si&$ltaneo$s &e&o%an+a within a !e%io+ o# #i#teen )1=*
+a"s #%o& notice. a#te% which the case is +ee&e+ s$b&itte+ #o% +ecision.
SEC. ?. Preferential Attention in Courts. + All co$%ts in the Phili!!ines. both t%ial an+
a!!ellate. a%e he%eb" en,oine+ to (i'e !%e#e%ential attention to all cases a%isin( #%o& o% in
connection with the i&!le&entation o# the !%o'isions o# this Act.
All cases !en+in( in co$%t a%isin( #%o& o% in connection with the i&!le&entation o# this
Act shall contin$e to be hea%+. t%ie+ an+ +eci+e+ into thei% #inalit". notwithstan+in( the
e2!i%ation o# the ten-"ea% !e%io+ &entione+ in Section = he%eo#.
CHAPTER BI8
3INANCIN9
SEC. ?4. &unding )ource.+ The initial a&o$nt nee+e+ to i&!le&ent this Act #o% the !e%io+
o# ten )1>* "ea%s $!on a!!%o'al he%eo# shall be #$n+e+ #%o& the A(%a%ian Re#o%& 3$n+
c%eate+ $n+e% Sections > an+ 1 o# E2ec$ti'e O%+e% No. ;.A++itional a&o$nts a%e
he%eb" a$tho%i-e+ to be a!!%o!%iate+ as an+ when nee+e+ to a$(&ent the A(%a%ian
Re#o%& 3$n+ in o%+e% to #$ll" i&!le&ent the !%o'isions o# this Act.
So$%ces o# #$n+in( o% a!!%o!%iations shall incl$+e the #ollowin(5
)a* P%ocee+s o# the sales o# the Assets P%i'ati-ation T%$st<
)b* All %ecei!ts #%o& assets %eco'e%e+ an+ #%o& sale o# ill-(otten wealth %eco'e%e+
th%o$(h the P%esi+ential Co&&ission on 9oo+ 9o'e%n&ent<
)c* P%ocee+s o# the +is!osition o# the !%o!e%ties o# the 9o'e%n&ent in #o%ei(n co$nt%ies<
)+* Po%tion o# a&o$nts acc%$in( to the Phili!!ines #%o& all so$%ces o% o##icial #o%ei(n ai+
(%ants an+ concessional #inancin( #%o& all co$nt%ies. to be $se+ #o% the s!eci#ic !$%!oses
o# #inancin( !%o+$ction c%e+its. in#%ast%$ct$%es. an+ othe% s$!!o%t se%'ices %e/$i%e+ b"
this Act<
)e* Othe% (o'e%n&ent #$n+s not othe%wise a!!%o!%iate+.
All #$n+s a!!%o!%iate+ to i&!le&ent the !%o'isions o# this Act shall be consi+e%e+
contin$in( a!!%o!%iations +$%in( the !e%io+ o# its i&!le&entation.
SEC. ?:. &inancial #ntermediar" for the CARP. - The Lan+ 1ank o# the Phili!!ines shall
be the #inancial inte%&e+ia%" #o% the CARP. an+ shall ins$%e that the social ,$stice
ob,ecti'es o# the CARP shall en,o" a !%e#e%ence a&on( its !%io%ities.
CHAPTER B8
9ENERAL PRO8ISIONS
SEC. ?=. Conversion of Lands . + A#te% the la!se o# #i'e )=* "ea%s #%o& its awa%+. when the
lan+ ceases to be econo&icall" #easible an+ so$n+ #o% a(%ic$lt$%al !$%!oses. o% the localit"
has beco&e $%bani-e+ an+ the lan+ will ha'e (%eate% econo&ic 'al$e #o% %esi+ential.
co&&e%cial o% in+$st%ial !$%!oses. the @AR. $!on a!!lication o# the bene#icia%" o% the
lan+owne%. with +$e notice to the a##ecte+ !a%ties. an+ s$b,ect to e2istin( laws. &a"
a$tho%i-e the %eclassi#ication o% con'e%sion o# the lan+ an+ its +is!osition5 Provided That
the bene#icia%" shall ha'e #$ll" !ai+ his obli(ation.
SEC. ?=-A Conversion into &ishpond and Prawn &arms. + No con'e%sion o# !$blic
a(%ic$lt$%al lan+s into #ish!on+s an+ !%awn #a%&s shall be &a+e e2ce!t in sit$ations
whe%e the !%o'incial (o'e%n&ent with the conc$%%ence o# the 1$%ea$ o# 3ishe%ies an+
A/$atic Reso$%ces )13AR* +ecla%es a coastal -one as s$itable #o% #ish!on+ +e'elo!&ent.
In s$ch case. the @e!a%t&ent o# En'i%on&ent an+ Nat$%al Reso$%ces )@ENR* shall allow
the lease an+ +e'elo!&ent o# s$ch a%eas5 Provided That the +ecla%ation shall not a!!l" to
en'i%on&entall" c%itical !%o,ects an+ a%eas as containe+ in Title )A* s$b-!a%a(%a!h two.
)1-=* an+ )C* an+ Title )1*. n$&be% ele'en )11* o# P%ocla&ation No. 1:?.
entitle+ (Proclaiming Certain Areas and T"pes of Pro%ects as !nvironmentall" Critical
and <ithin the the )cope of the !nvironmental #mpact )tatement 2!#)5 )"stem
!sta$lished under Presidential Decree >o. 138?( to ens$%e the !%otection o# %i'e%
s"ste&s. a/$i#e%s an+ &an(%o'e 'e(etations #%o& !oll$tion an+ en'i%on&ental
+e(%a+ation5 Provided further That the a!!%o'al shall be in acco%+ance with a set o#
($i+elines to be +%awn $! an+ !%o&$l(ate+ b" the @AR an+ the 13AR5 Provided
furthermore That s&all-#a%&e% coo!e%ati'es an+ o%(ani-ations shall be (i'en !%e#e%ence
in the awa%+ o# the 3ish!on+ Lease A(%ee&ents )3LAs*.
No con'e%sion o# &o%e than #i'e )=* hecta%es o# !%i'ate lan+s to #ish!on+s an+ !%awn
#a%&s shall be allowe+ a#te% the !assa(e o# this Act. e2ce!t when the $se o# the lan+ is
&o%e econo&icall" #easible an+ so$n+ #o% #ish!on+ an+Go% !%awn #a%&. as ce%ti#ie+ b" the
1$%ea$ o# 3ishe%ies an+ A/$atic Reso$%ces )13AR* . an+ a si&!le an+ absol$te &a,o%it" o#
the %e($la% #a%& wo%ke%s o% tenants a(%ee to the con'e%sion. The @e!a%t&ent o# A(%a%ian
Re#o%& &a" a!!%o'e a!!lications #o% chan(e in the $se o# the lan+5 Provided finall" That
no !iece&eal con'e%sion to ci%c$&'ent the !%o'isions o# this Act shall be allowe+. In these
cases whe%e the chan(e o# $se is a!!%o'e+. the !%o'isions o# Section 4-A he%eo# on
incenti'es shall a!!l". )As a++e+ b" R. A. 6771*
SEC. ?=-1. #nventor". - Cithin one )1* "ea% #%o& the e##ecti'it" o# this Act. the 13AR shall
$n+e%take an+ #inish an in'ento%" o# all (o'e%n&ent an+ !%i'ate #ish!on+s an+ !%awn
#a%&s an+ $n+e%take a !%o(%a& to !%o&ote the s$stainable &ana(e&ent an+ $tili-ation o#
!%awn #a%&s an+ #ish!on+s. No lease $n+e% Section ?=-A he%eo# &a" be (%ante+ $ntil a#te%
the co&!letion o# the sai+ in'ento%".
The s$stainable &ana(e&ent an+ $tili-ation o# !%awn #a%&s an+ #ish!on+s shall be in
acco%+ance with the e##l$e stan+a%+s. !oll$tion cha%(es an+ othe% !oll$tion cont%ol
&eas$%es s$ch as. b$t not li&ite+ to. the /$antit" o# #e%tili-e%s. !estici+es an+ othe%
che&icals $se+ that &a" be establishe+ b" the 3e%tili-e% an+ Pestici+e A$tho%it" )3PA*.
the En'i%on&ent Mana(e&ent 1$%ea$ )EM1*. an+ othe% a!!%o!%iate (o'e%n&ent
%e($lato%" bo+ies. an+ e2istin( %e($lations (o'e%nin( wate% $tili-ation. !%i&a%il"
P%esi+ential @ec%ee No. 1>?6. entitle+ (A Decree #nstituting a <ater Code There$"
Revising and Consolidating the Laws =overning the *wnership Appropriation
8tili@ation !-ploitation Development Conservation and Protection of <ater
Resources.( )As a++e+ b" R. A. 6771*
SEC. ?=-C. Protection of ,angrove Areas. + In e2istin( 3ish!on+ Lease A(%ee&ent )3lAs*
an+ those that will be iss$e+ a#te% the e##ecti'it" o# this Act. a !o%tion o# the #ish!on+ a%ea
#%ontin( the sea. s$##icient to !%otect the en'i%on&ent. shall be establishe+ as a b$##e% -one
an+ be !lante+ to s!eci#ie+ &an(%o'e s!ecies to be +ete%&ine+ in cons$ltation with the
%e(ional o##ice o# the @ENR. The Sec%eta%" o# En'i%on&ent an+ Nat$%al Reso$%ces shall
!%o'i+e the !enalties #o% an" 'iolation o# this $n+e%takin( as well as the %$les #o% its
i&!le&entation. )As a++e+ b" R. A. 6771*
SEC. ?=-@. Change of Crops. -The chan(e o# c%o!s to co&&e%cial c%o!s o% hi(h 'al$e
c%o!s shall not be consi+e%e+ as a con'e%sion in the $se o% nat$%e o# the lan+. The chan(e
in c%o! sho$l+. howe'e%. not !%e,$+ice the %i(hts o# tenants o% leasehol+e%s sho$l+ the%e
be an" an+ the consent o# a si&!le an+ absol$te &a,o%it" o# the a##ecte+ #a%& wo%ke%s. i#
an". shall #i%st be obtaine+. )As a++e+ b" R. A. 6771*
SEC. ??. !-emptions from Ta-es and &ees of Land Transfers. + T%ansactions $n+e% this
Act in'ol'in( a t%ans#e% o# owne%shi!. whethe% #o%& nat$%al o% ,$%i+ical !e%sons. shall be
e2e&!te+ #o%& ta2es a%isin( #%o& ca!ital (ains. These t%ansactions shall also be e2e&!te+
#%o& the !a"&ent o# %e(ist%ation #ees. an+ all othe% ta2es an+ #ees #o% the con'e"ance o%
t%ans#e% the%eo#5 Provided That all a%%ea%a(es in %eal !%o!e%t" ta2es. witho$t !enalt" o%
inte%est. shall be +e+$ctible #%o& the co&!ensation to which the owne% &a" be entitle+.
SEC. ?6. &ree Registration of Patents and Titles. + All Re(iste%s o# @ee+s a%e he%eb"
+i%ecte+ to %e(iste%. #%ee #%o& !a"&ent o# all #ees an+ othe% cha%(es. !atents. titles an+
+oc$&ents %e/$i%e+ #o% the i&!le&entation o# the CARP.
SEC. ?7. #mmunit" of =overnment Agencies from 8ndue #nterference. + No in,$nction.
%est%ainin( o%+e%. !%ohibition o% &an+a&$s shall be iss$e+ b" the lowe% co$%ts a(ainst the
@e!a%t&ents o# A(%a%ian Re#o%& )@AR*. @e!a%t&ent o# A(%ic$lt$%e )@A*. the @e!a%t&ent
o# En'i%on&ent an+ Nat$%al Reso$%ces )@ENR*. an+ the @e!a%t&ent o# E$stice )@OE* in
thei% i&!le&entation o# the P%o(%a&.
SEC. ?;. Assistance of *ther =overnment !ntities.+ The PARC. in the e2e%cise o# its
#$nctions. is he%eb" a$tho%i-e+ to call $!on the assistance an+ s$!!o%t o# othe%
(o'e%n&ent a(encies. b$%ea$s an+ o##ices. incl$+in( (o'e%n&ent-owne+ an+ cont%olle+
co%!o%ations.
SEC. 6>. Disposition of Private Agricultural Lands. + The sale o% +is!osition o#
a(%ic$lt$%al lan+s %etaine+ b" a lan+owne% as a conse/$ence o# Section ? he%eo# shall be
'ali+ as lon( as the total lan+hol+in(s that shall be owne+ b" the t%ans#e%ee the%eo#
incl$si'e o# the lan+ to be ac/$i%e+ shall not e2cee+ the lan+hol+in(s ceilin(s !%o'i+e+ #o%
in this Act. An" sale o% +is!osition o# a(%ic$lt$%al lan+s a#te% the e##ecti'it" o# this Act
#o$n+ to be cont%a%" to the !%o'isions he%eo# shall be n$ll an+ 'oi+. T%ans#e%ees o#
a(%ic$lt$%al lan+s shall #$%nish the a!!%o!%iate Re(iste% o# @ee+s an+ the 1ARC with an
a##i+a'it attestin( that his total lan+hol+in(s as a %es$lt o# the sai+ ac/$isition +o not
e2cee+ the lan+hol+in( ceilin(. The Re(iste% o# @ee+s shall not %e(iste% the t%ans#e% o# an"
a(%ic$lt$%al lan+ witho$t the s$b&ission o# this swo%n state&ent to(ethe% with !%oo# o#
se%'ice o# a co!" the%eo# to the 1ARC.
SEC. 61. .an' ,ortgages. - 1anks an+ othe% #inancial instit$tions allowe+ b" law to hol+
&o%t(a(e %i(hts o% sec$%it" inte%ests in a(%ic$lt$%al lan+s to sec$%e loans an+ othe%
obli(ations o# bo%%owe%s. &a" ac/$i%e title to these &o%t(a(e+ !%o!e%ties. %e(a%+less o#
a%ea. s$b,ect to e2istin( laws on co&!$lso%" t%ans#e% o# #o%eclose+ assets an+ ac/$isition
as !%esc%ibe+ $n+e% Section 1? o# this Act.
SEC. 6 . Leases ,anagement =rower or )ervices Contracts ,ortgages and *ther
Claims. + Lan+s co'e%e+ b" this Act $n+e% lease. &ana(e&ent. (%owe% o% se%'ice cont%acts.
an+ the like shall be +is!ose+ o# as #ollows5
)a* Lease. &ana(e&ent. (%owe% o% se%'ice cont%acts co'e%in( !%i'ate lan+s &a" contin$e
$n+e% thei% o%i(inal te%&s an+ con+itions $ntil the e2!i%ation o# the sa&e e'en i# s$ch
lan+ has. in the &eanti&e. been t%ans#e%%e+ to /$ali#ie+ bene#icia%ies.
)b* Mo%t(a(es an+ othe% clai&s %e(iste%e+ with the Re(iste% o# @ee+s will be ass$&e+ b"
the (o'e%n&ent $! to an a&o$nt e/$i'alent to the lan+owne%0s co&!ensation 'al$e as
!%o'i+e+ in this Act.
SEC. 64. Prohi$ited Acts and *missions. + The #ollowin( a%e !%ohibite+5
)a* The owne%shi! o% !ossession. #o% the !$%!ose o# ci%c$&'entin( the !%o'isions o# this
Act. o# a(%ic$lt$%al lan+s in e2cess o# the total %etention li&its o% awa%+ ceilin(s b" an"
!e%son. nat$%al o% ,$%i+ical. e2ce!t those $n+e% collecti'e owne%shi! b" #a%&e%-
bene#icia%ies.
)b* The #o%cible ent%" o% ille(al +etaine% b" !e%sons who a%e not /$ali#ie+ bene#icia%ies
$n+e% this Act to a'ail the&sel'es o# the %i(hts an+ bene#its o# the A(%a%ian Re#o%&
P%o(%a&<
)c* The con'e%sion b" an" lan+owne% o# his a(%ic$lt$%al lan+ into non-a(%ic$lt$%al $se
with intent to a'oi+ the a!!lication o# this Act to his lan+hol+in(s an+ to +is!ossess his
tenant #a%&e%s o% the lan+ tille+ b" the&<
)+* The will#$l !%e'ention o% obst%$ction b" an" !e%son. association o% entit" o# the
i&!le&entation o# the CARP<
)e* The sale. t%ans#e%. con'e"ance o% chan(e o# the nat$%e o# lan+s o$tsi+e o# $%ban
cente%s an+ cit" li&its eithe% in whole o% in !a%t a#te% the e##ecti'it" o# this Act. The +ate o#
the %e(ist%ation o# the +ee+ o# con'e"ance in the Re(iste% o# @ee+s with %es!ect to title+
lan+s an+ the +ate o# the iss$ance o# the ta2 +ecla%ation to the t%ans#e%ee o# the !%o!e%t"
with %es!ect to $n%e(iste%e+ lan+s. as the case &a" be. shall be concl$si'e #o% the !$%!ose
o# this Act<
)#* The sale. t%ans#e% o% con'e"ance b" a bene#icia%" o# the %i(ht to $se o% an" othe%
$s$#%$ct$a%" %i(ht o'e% the lan+ he ac/$i%e+ b" 'i%t$e o# bein( a bene#icia%". in o%+e% to
ci%c$&'ent the !%o'isions o# this Act.
SEC. 64-A. !-ception. - The !%o'isions o# Section 64. !a%a(%a!h )e* to the cont%a%"
notwithstan+in(. the sale an+Go% t%ans#e% o# a(%ic$lt$%al lan+ in cases whe%e s$ch sale.
t%ans#e% o% con'e"ance is &a+e necessa%" as a %es$lt o# a bank0s #o%eclos$%e o# the
&o%t(a(e+ lan+ is he%eb" !e%&itte+.) As a++e+ b" R. A. 6771*
SEC. 6: . Penalties. - An" !e%son who knowin(l" o% will#$ll" 'iolates the !%o'isions o# this
Act shall be !$nishe+ b" i&!%ison&ent o# not less than one )1* &onth to not &o%e than
th%ee )4* "ea%s o% a #ine o# not less than one tho$san+ !esos )P1.>>>.>>* an+ not &o%e
than #i#teen tho$san+ !esos )P1=.>>>.>>*. o% both. at the +isc%etion o# the co$%t. I# the
o##en+e% is a co%!o%ation o% association. the o##ice% %es!onsible the%e#o% shall be c%i&inall"
liable
SEC. 6=. )uppletor" Application of !-isting Legislation. + The !%o'isions o# Re!$blic Act
N$&be% 47::. as a&en+e+. P%esi+ential @ec%ee N$&be%s 6 an+ ?? as a&en+e+.
E2ec$ti'e O%+e% N$&be%s 7 an+ ;. both Se%ies o# 1;76. an+ othe% laws not
inconsistent with this Act shall ha'e s$!!leto%" e##ect.
SEC. 6?. Repealing Clause. - Section 4= o# Re!$blic Act N$&be% 47::. P%esi+ential
@ec%ee N$&be% 41?. the last two !a%a(%a!hs o# Section 1 o# P%esi+ential @ec%ee N$&be%
1>47. an+ all othe% laws. +ec%ees. e2ec$ti'e o%+e%s. %$les an+ %e($lations. iss$ances o%
!a%ts the%eo# inconsistent with this Act a%e he%eb" %e!eale+ o% a&en+e+ acco%+in(l".
SEC. 66. )epara$ilit" Clause. - I#. #o% an" %eason. an" section o% !%o'ision o# this Act is
+ecla%e+ n$ll an+ 'oi+. no othe% section. !%o'ision o% !a%t the%eo# shall be a##ecte+ an+ the
sa&e shall %e&ain in #$ll #o%ce an+ e##ect.
SEC. 67. !ffectivit" Clause. - This Act Shall take e##ect i&&e+iatel" a#te% !$blication in at
least two )* national news!a!e%s o# (ene%al ci%c$lation.
A!!%o'e+5 E$ne 1>. 1;77