MINISTRY MEMORANDUM CIRCULAR NO.

10-82

October 21, 1982

MINISTRY MEMORANDUM CIRCULAR NO. 10-82

TO : All MAR Regional Directors, District Officers Team Leaders and Fieldmen
All Concerned

SUBJECT : Policy Guidelines On Operation Homelot Transfer Pursuant To LOI

705

Under Letter of Instruction No. 705, the President directed the transfer of the
homelots actually occupied by tenant-farmers who are, or may be, beneficiaries of the
Operation Land Transfer Program under Presidential Decree No. 27.

For effective implementation of the directive, the following guidelines are hereby
issued for the information and guidance of all concerned:

I. Homelot

This shall apply to homelots actually occupied by tenant-farmers who are, or

may be, beneficiaries of the Land Transfer Program under PD No. 27. For this purpose,
a homelot shall mean that contiguous area where the farmer-beneficiary has established
his permanent dwelling, including the area utilized for raising vegetables, poultry, pigs
and other animals or for engaging in home industries.

II. Beneficiaries

1.0 Farmer-beneficiaries whose farmlots are covered by OLT under PD No. 27.

1.1 Farmer-beneficiaries whose farmlots are covered by

OLT under LOI 474.
1.2 Farmer-beneficiaries whose farmlots are covered by
OLT pursuant to MAR Memorandum Circular No. 2,
Series of 1978.
 1.3 Farmer-beneficiaries whose farmlots are under
leasehold but voluntarily offered by landowners for OLT
coverage.

III. Landowners Covered

1.0 Landowners whose landholdings are covered by OLT under PD No. 27.

1.1 Landowners whose landholdings are covered by

OLT under LOI 474.
1.2 Landowners whose landholdings are covered by
OLT pursuant to MAR Memorandum Circular No. 2,
Series of 1978.
1.3 Landowners whose landholdings are under leasehold
but voluntarily offered for OLT coverage.

IV. Location and Size of Homelot

The homelot actually occupied by the farmer-beneficiary, whether located inside

or outside the farmlot, shall be transferred to him, provided that the area to be
transferred shall not exceed one-thousand (1,000) square meters. If the area actually
occupied exceeds the maximum area fixed herein, the acquisition of such excess area
shall be the subject of a separate private transaction between the landowner and the
farmer-beneficiary.

V. Valuation/Compensation for the Homelot

1.0 In the following cases, the price of the homelot shall be computed on the
basis of the price of the farmlot transferred to the farmer-beneficiary under PD No.
27.

1.1 Homelot is located inside the farmlot.

1.2 Homelot is located outside the farmlot but within the
landholding owned by the same landowner.
1.3 Homelot is located in another parcel of a landholding
owned by the same landowner, or where same landowner
has an interest in fee simple, but within reasonable
distance or in the "vicinity" of the farmlot. For this
purpose, reasonable distance shall mean a distance of not
more than five (5) kilometers from the farmlot of the
farmer-beneficiary to his homelot.
 2.0 In the following cases, the price of the homelot shall be agreed upon
between the farmer-beneficiary and the landowner which price shall be consistent
with the provisions of LOI No. 705.

2.1 Homelot is outside the five (5) kilometer radius but

owned by the same landowner.
2.2 Homelot is located within the five (5) kilometer
radius from the farmlot but owned by another person.
2.3 Homelot is located outside the five (5) kilometer
radius owned by another person but voluntarily offered.

3.0 Any permanent improvement introduced by the landowner on the homelot

being utilized directly, solely by the farmer-beneficiary may at the option of the
latter be transferred to him, the valuation of which shall be the subject of
agreement between them and added to the value of the homelot:

4.0 Transfer of ownership of the homelot after October 21, 1972 to any person
other than the farmer-beneficiary, shall not in any manner affect the valuation
thereof pursuant to LOI No. 705 and this circular.

VI. Expropriation of Homelots

In case of disagreement, the Ministry of Agrarian Reform upon written request

of the farmer-beneficiary, may acquire through expropriation said homelot for resale at
cost to the latter in accordance with the provisions of Republic Act No. 3844 as
amended, PD No. 76, PD No. 251, as amended, and other applicable pertinent laws.

VII. Mode of Payment/Manner and Period of Repayment by Farmer-Beneficiary

1.0 Direct Payment

1.1 On the basis of the price established for the

homelots, the landowner and farmer-beneficiary may
agree on a direct payment scheme either in kind or in
cash, provided that the landowner submits legal evidence
of ownership of such landholding which should be free
from liens or encumbrances. All effort should be exerted
to encourage landowners and farmer-beneficiaries to enter
into direct payment scheme. SCADIT

2.0 Payment through LBP

 2.1 At the option of the landowners, LBP shall finance
the. total value of the homelots transferred to the farmer-
beneficiaries subject to existing laws, decrees, rules and
regulations and related issuances.
2.2 The total cost of the homelot including interest at the
rate of six (6) percentum per annum shall be paid by the
farmer-beneficiary in fifteen (15) years of fifteen (15)
equal annual amortization, provided, however, that the
farmer-beneficiary shall have the option to accelerate such
amortization payments.

VIII. Survey of Homelot

Final land survey shall be undertaken in accordance with MAR existing policies
and procedures.

IX. Titling/Documentation

An Emancipation Patent shall be issued to the farmer-beneficiary covering the

homelot upon full payment of the value thereof.

X. Previous Agreement/Contracts Regarding Transfer of Homelots

Deeds of Transfer involving homelot covered by a Torrens Certificate of Title

duly executed by the landowner and farmer-beneficiary and registered with the Registry
of Deeds prior to the issuance of LOI 705 shall be respected.

Deeds of Transfer/Agreements/Contracts, executed and duly registered with the

Registry of Deeds after the issuance of LOI 705, shall be subject to the limitation of the
transferability as provided for under PD 27. Said Deed of
Transfers/Agreements/Contracts, shall be submitted to the team office concerned.

In all other cases, a copy of such Contract/Agreement/Deed of Transfer shall be

submitted to the Team Office concerned and on the basis of which Emancipation of
Patents shall be issued to the farmer-beneficiary.

XI. Payment of Realty Taxes for Homelot

The farmer-beneficiary, shall be liable for the payment of the realty tax
assessable on the homelot beginning calendar year 1973, provided that where the
homelot is owned by another landowner referred to under No. III, 2.0 hereof, the
liability shall begin the Calendar Year 1979.
 Farmer-beneficiary whose farmlots are covered by OLT pursuant to MAR
Memo. Circular No. 2, Series of 1978 shall be liable for the payment of the realty tax
assessable on the home lot beginning calendar year following the date of the Order of
Placement.

Farmer-beneficiary whose farmlots are under leasehold but voluntarily offered

by landowner for OLT coverage shall be liable for the payment of the realty tax
assessable on the homelot beginning calendar year following the date of the offer.

XII. Relocation of Homelot

Subject to mutual agreement of the landowner and the farmer-beneficiaries, the

homelot sites may be relocated in another area.

XIII. Limitation to Title of Ownership of Homelots

Title to homelots acquired pursuant to LOI No. 705 and this circular shall not be
transferable except by hereditary succession or to the government.

XIV. Maintenance of Status Quo

Pending the acquisition of the homelot, the farmer-beneficiary shall not be

removed, ejected or ousted therefrom and his peaceful possession thereof shall be
preserved and maintained at all times.

XV. Effectivity

This Memorandum Circular shall amend Ministry Memorandum Circular No.

23, Series of 1978, and all other related issuances inconsistent herewith, and shall take
effect immediately.

Please be guided accordingly.

Diliman, Quezon City, October 21, 1982.

(SGD.) CONRADO F. ESTRELLA

Minister

PRIMER ON LAND-RELATED PROBLEMS

 FOREWORD

The President has repeatedly declared that the Agrarian Land Reform Program is an
urgent and vital social and economic reform program of the government. The New Republic is
determined to vigorously implement the Agrarian Land Reform Program as demonstrated by
various acts as well as the issuance of Presidential Decrees, letters of instructions and order to
hasten the implementation of the program and to ensure the protection of tenant-farmers.

The AFP believes that the success of the Agrarian Land Reform Program, to which it is
totally committed depends greatly on the civilians' and soldiers' understanding of the Program
itself.
This Primer is designed therefore to provide both civilian farmers and the soldiers a better
understanding of solving land disputes that somehow hinder the progress of the Agrarian Land
Reform Program.

(SGD.) FABIAN C. VER

General AFP
Chief of Staff

1. Question WHAT IS THE PURPOSE AND OBJECTIVE OF THIS

PRIMER?

Answer It seeks to establish guidelines for the uniformed and civilian

personnel of the AFP/INP as well as the general public to enhance better
understanding, generate further cooperation and support and humanize the
implementation of laws, orders, rules and regulations.

2. Question WHAT AFP UNIT/INP STATION CAN PROVIDE

ASSISTANCE TO A TENANT-FARMER REGARDING HIS, LAND PROBLEM
WHERE AFP/INP PERSONNEL ARE INVOLVED?

Answer The Philippines is divided into thirteen (13) regions where the
various Government agencies have field offices. On the part of the AFP, each regions
has a Constabulary Regional Command. If the tenant-farmer is far from this
Command, he can avail of the nearest PC/INP unit in the area. aHATDI

Each Regional Command has a Home Defense Office that serves as a link
between the civilians and the military. Any complaint may be filed through this
Office. Another AFP unit that can proves assistance to the civilians is the Regional
Civil Relations Group under the Civil Relations Service, AFP.
3. Question WHAT ASSISTANCE CAN THE AFP/INP GIVE TO THE
TENANT-FARMERS?

Answers a. When the circumstances warrant, the tenant-farmers may

seek the assistance of the nearest PC Detachment or unit of INP Station for
intervention to preserve peace and order and to prevent the commission of crimes or
acts or coercion or harassment.

b. When a tenant-farmer does not know the legal procedures, the AFP unit
can give him legal assistance or referral of the tenant-farmer's problem to the agency
concerned.

c. The AFP unit/INP station concerned with civilian relations can assist in
making both parties involved in cases or problem to dialogue and settle their problem
peacefully.

4. Question HOW SHOULD THE AFP/INP PERSONNEL TREAT THE

CASE AND PROBLEMS PRESENTED TO THEM BY THE COMPLAINANT?

Answer The following are the MND guidelines in handing farmer-related

problems:

a. Police/military authorities should remain neutral and

unbiased when handling or dealing and/or taking action on
farmer-related disputes and problems.
b. In the enforcement on implementation of court orders
or decisions of the Minister of Agrarian Reform, the role of the
AFP/INP personnel shall be limited to that of maintaining
peace and order and of providing security to the sheriff or
government official or employee tasked to carry out the order
or decision.
c. Considering the nature of the problem, police/military
authorities shall maximize the utilization of the local Peace
and Order Councils.

5. Question WHAT ARE THE LAWFUL PROCEDURES IN SETTLING

LAND DISPUTES?

Answer Pursuant to LOI No. 226 the following procedures were laid down
by Minister Conrado Estrella and Minister Juan Ponce Enrile in a Memorandum of
Agreement, dated September 18, 1975, in settling land disputes.
a. Any complaint for, report of, violation of Presidential
decrees, orders or directives, prohibiting the ejectment of
tenants from their agricultural landholdings, including
violations or related MAR Circulars and Memoranda, shall
initially be investigated by the Agrarian Reform Team Office
which has jurisdiction coverage of the farmholding in
question;
b. Upon receipt of the complaint or report, the Agrarian
Reform Team Leader or Legal Officer when so directed shall
immediately conduct a summary fact-finding investigation of
the said complaint or report and if finding show a prima facie
violation of laws, decrees or directives, the Team Leader and
or the Legal Officer shall immediately assist the complaining
tenant-farmer, to prepare a formal complaint under oath.
Thereafter, all the parties concerned shall be called for
confrontation in the Team Office with the end in view of
maintaining the peaceful possession and cultivation of the
farmholding by the tenant-farmer and if he has been illegally
ejected, removed or excluded therefrom, to effect his
immediate reinstatement;
c. Should Agrarian Reform Team Leader or Legal Officer
fail in his effort to amicably resolve the controversy he shall
immediately submit a detailed report of the case with his
recommendation thereon to the Agrarian Reform District
Officer, together with the sworn complaint of the tenant-
farmer, as well as the pertinent documents and records of the
case without prejudice to his seeking the assistance of the
nearest Philippine Constabulary Detachment or Unit should
circumstances warrant immediate PC intervention to preserve
peace and order and/or prevent the commission of further acts
of coercion or harassment;
d. Upon receipt of the report, the Agrarian Reform
District Officer, with the assistance of the MAR District Legal
Staff, shall review and evaluate the case. If upon evaluation
the complaint is found to be meritorious and warranted by the
facts-established, he shall immediately resolve the controversy
and issue corresponding resolution on the matter of
maintaining the status quo relationship between the parties as
of October 21, 1972 and/or preventing the ejectment of the
tenant-farmer and/or reinstating and maintaining him in the
peaceful possession and cultivation of the farmholding.
 Thereafter, the resolution together with the complaint as well
as the supporting documents shall be forwarded to the
Provincial Commander who shall summon thereafter the
landowner and all the persons cited in the said complaint, for
the purpose of confronting them with the violation or
violations committed and warn them of the serious
consequences thereof, and to inform them to immediately
cease any and all acts of coercion or harassment against the
tenant-farmers and, if the latter has been removed, ejected or
excluded from his landholding, to reinstate him and to
maintain said tenant-farmer in the peaceful possession and
cultivation of his farmholding. For this purpose, and to ensure
compliance of the law, the landowner and all persons involved
in the controversy, adequate security or escort shall be
provided by the PC Provincial Commander to the tenant-
farmer and MAR personnel assisting the said tenant-farmer;
Should the complaint for violation of PD 583 involve an
official or employee of the Government, the Agrarian Reform
District concerned shall forward the records of the case to the
MAR Regional Director, who shall transmit the same together
with his recommendation to the Minister of Agrarian Reform
for the latter's appropriate disposition. However, if the
complaint involves any member of the Armed Forces of the
Philippines the Agrarian Reform Regional Director shall
forward the complaint and supporting documents to the
Minister of National Defense.

6. Question WHAT IS THE MEANING OF THE PRINCIPLE OF

MAINTENANCE OF THE "STATUS QUO"?

Answer When there is breach of peace and order, or an imminent threat

thereof, caused by the actual or attempted disturbance of a situation without lawful
order or authorization, the proper way to maintain peace and order is usually thru the
maintenance of the "status quo". "Status quo" means the condition or situation before
the controversy.

Illustrative Case No. 1.

A tenant is being ordered or intimidated by his landlord or by a third party to

leave his landholding. The tenant is, therefore, disturbed. The landlord or third party
threatens to use force if the tenant does not vacate the landholding.
 The tenant asks the AFP unit or station commander to tell the landlord or
third party to desist from ejecting the tenant by force or from threatening violence if
he does not vacate the land. TacADE

Proper Action:

The military or police officer should immediately notify the nearest MAR
officer of the situation, so that the latter may be able to determine and decide who
should be entitled to the possession of the land. After decision is reached, the same
military or police officer should see to it that the decision is implemented by the
concerned MAR or Court personnel. Pending the resolution of the problem, the
military and/or police officer should see to it that peace and order is maintained and
that no acts of violence or intimidation are committed.

For his own protection, the police or soldier involved should seek the legal
advise and support of the civilian agency or court having jurisdiction.

Illustrative Case No. 2.

When the police or military officer arrives at the scene, the landlord or a third
party is in the process of bulldozing the landholding of the tenant or destroying his
crops or demolishing his home, against the protest of the tenant.

Proper Action

The police or military officer should inquire if the landlord or third party has
a written authority from the proper office or court, and if not, he should stop the
bulldozing, the destruction of the crop and demolition of the house. He should
advise the landlord or third party to file the proper case in the court or in the proper
civilian agency.

Meantime, he should maintain peace and order and protect the tenant who
was in actual possession of the landholding before the controversy:

The same course of action should be undertaken in cases where the police or
military officer sees, upon coming to the scene, that the landholder or other third
person is constructing a fence within or around the landholding in question against
the will of the actual possessor or tenant, or obstructing a passage way or road
within or leading to the landholding which has always been open before, against the
protest of the tenant or possessor of the landing, or is doing any similar acts of
interference with the peaceful possession or full possession of the landholding, or
any of its improvements, or the enjoyment of easements connected with said
landholding, when it is established that said tenant or possessor has been enjoying
the same before the controversy.

Illustrative Case No. 3.

When the police or military officer arrives at the scene, two persons are
fighting for possession of a pig or some other animal, each one claiming to be
entitled to said animal.

Proper Action:

The police or military officer should first determine which party had
possession of the animal before the controversy. Then, he should order that said
animal be given first to said party and advise the other who claims it to file the
proper action in the proper civilian agency, office, or court.

Until said civilian agency, office, or court decides who has right of possession
of the animal in question, the party who was in possession before the controversy
should be protected in his possession.

Illustrative Case No. 4.

A number of farmer-settlers are occupying a piece of public land. Suddenly, a

second party comes around claiming that he has the right over such lands through a
grant of free patent or sales patent. The patentee is therefore, ejecting the farmer-
settlers from the land, against the latter's will.

Proper Action:

The police or military officer should protect the farmer-settlers who have
been in possession of the land before the coming of the second party and should
advise the second party to file his case with the Ministry of Natural Resources or
with the proper court; and until the Ministry of Natural Resources or the proper
court settles the matter, the police or military officer should protect the farmer-
settlers in their peaceful occupation.

Illustrative Case No. 5.

The problem becomes more difficult when the situation before the
controversy has already been changed or disturbed when the police or military
arrives at the scene, as for instance, when the demolition has been completed and the
landlord or third party has already established his own possession by, for instance,
constructing his house and establishing himself or other people therein, while the
tenant has nowhere to stay.

Proper Action:

In this particular case, the police or military officer should immediately, and
if possible, personally go to the civilian agency or court of seek advise and/or
temporary solution so that the status quo occupant will not suffer unduly.