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TRANSFER ACTION TEMPLATE

I. INTRODUCTION

This template may serve as a guide in deciding cases where the main issue pertains to the application of
clearance in relation to transfer and/or conveyance of land covered by agrarian laws, particularly P.D. 27 and
R.A. 6657.

This template shall serve as guide as regards steps to take in order to arrive at a just, reasonable and
comprehensive decision related to the transfer and/or conveyance of land covered under the laws of agrarian
reform, taking into consideration the pertinent laws, administrative issuances and jurisprudence which may
aid the decision maker in performing his/her task.

II. CHECKLIST OF DOCUMENTARY REQUIREMENTS

IN ALL CASES

[] Written request of the transferor for the application filed with the MARO

[] Deed or instrument of transfer to be registered

[] Certified true copy of the OCT/TCT or Tax Declaration if the land is not covered by a Certificate of
title

[] The comments and recommendations regarding the transfer of the MARO and the PARO

[] Proof of applicant's identity (government issued ID, etc.)

[ ] Duly notarized Special Power of Attorney if the applicant is not the transferor/owner of the
property

TRANSFERS MADE BY THE FARMER-BENEFICIARIES, WHERE APPLICATION IS FILED PRIOR TO JANUARY


5, 1996

Common Requirements:

[] Certified true copy of the evidence of the award (CLOA, Emancipation Patent, Free Patent)

[] Affidavit of the transferee that he/she and spouse have a total landholding inclusive of the land to
be acquired of not more than five (5) hectares if he/she is a non-beneficiary and three (3) hectares if
beneficiary

[] Proof of service that the BARC has been furnished a copy of the affidavit of the transferee; or
proof that the affidavit is attached to the copy of the Register of Deeds

[ ] MARO's report on the conduct of the field investigation whether or not the subject land is
tenanted by a person other than the transferee

If transfer is made through hereditary succession:

[] Proof of death

[] Any proof that would show that the beneficiary is dead


[] Any of the following, whichever is applicable:

[] Copy of the will, if any, and of a court order allowing probate thereof;

[] Copy of affidavit of sole adjudication if there is only one heir; or

[] Extra judicial settlement between the heirs ad/or waiver of rights in favor of one heir,
should there be several heirs;

[] If none of the above three items are executed, whichever applies below:

i. For CLT covered landholdings: Apply M.C. No. 19, Series of 1978

ii. For EP or CLOA covered landholdings: The Order/Resolution of the Estate Court.

If there is an allegation that the amortization has already been fully paid:

[] Certificate of Full Payment of Amortization issued by LBP (or by DAR in case of lands covered by
VLT/DPS)

If the transferee is a qualified beneficiary who is not the heir of the original FB

[] Certification by the MARO that the transferee is qualified as a beneficiary

TRANSFERS MADE BY THE FARMER-BENEFICIARIES, WHERE APPLICATION IS FILED ON OR AFTER


JANUARY 5, 1996

Common Requirements:

[] Certificate of Full Payment of Amortization issued by LBP (or by DAR in case of lands covered by
VLT/DPS), or certified true copy of OCT/TCT with a notation that the amortizations due has already been
paid in full

[ ] Certification Regarding Payment of Irrigation Fees from NIA and Certification whether or not
subject property is irrigated and covered by service area of communal irrigation system.

[] Certificate Regarding Loans (equipment, production, etc.) from DAR/LBP

[] Tax clearance from the Local Treasurer's Office

[] Affidavit of the transferor and transferee stating that the subject property has no pending case
with the DARAB, DAR, Office of the President, or any court

[] Affidavit of the transferee that he/she and spouse have a total landholding inclusive of the land to
be acquired of not more than three (3) hectares

[] Certified copy of the Income Tax Return of the Transferee duly received by the BIR for the tax
year immediately preceding the date of the application

[] The Residence Certificate of the Transferee

[ ] Certification by the Municipal/City/ or Provincial Assessor's Office stating the aggregate


agricultural landholding owned by the transferee

TRANSFERS MADE BY THE LANDOWNER


Common requirements:

[] Affidavit of the transferee that he/she and spouse have a total landholding inclusive of the land to
be acquired of not more than five (5) hectares if he/she is a non-beneficiary and three (3) hectares if
beneficiary

[] Proof of service that the BARC has been furnished a copy of the affidavit of the transferee; or
proof that the affidavit is attached to the copy of the Register of Deeds

[ ] MARO's report on the conduct of the field investigation whether or not the subject land is
tenanted by a person other than the transferee

[] Certification by the Provincial Assessor's/City Assessor's Office stating the landholding owned by
the transferee

[ ] Affidavit of transferor stating that the land subject of deed is a retention or portion of the
retention area

[] Certification from MARO determining the accuracy/truth of the instrument/deed and affidavit

If the transferee is the government or the LBP:

[] Waiver/Voluntary surrender of land executed by the FB in favor of the government

[] Any deed/document showing transfer of ownership

III. JURISDICTION

Original jurisdiction of ALI cases is vested with the Regional Director (RD).

IV. STANDING

The following have legal standing to file transfer action:

1. The farmer beneficiary or the land owner;

2. The heirs of deceased beneficiary; or

3. The authorized representatives.

V. TIMELINESS

The application for a clearance generally has no prescription period.

The denial of the request for issuance of DAR clearance for transfer under A.O. No. 1 Series of 1989 (rules of
transfer of agricultural landholdings in general) may give rise to a cause of action for an ALI case on the part of
the aggrieved party. Nothing in the said A.O. states a prescription period for the filing of the ALI case, but a
party should be subjected to the general principles of laches.

The denial of the request for the of issuance of a DAR clearance for transfer under A.O. No. 8, Series of
1995 (transfer of awarded lands) may be appealed to the Office of the Secretary through the BALA within
fifteen (15) days.

VI. DETERMINATION OF THE APPROPRIATE ACTION

1. FOR IMMEDIATE DISMISSAL

A. Dismissed due to lack of cause of action


(Basis: II (3) of A.O. No. 1, Series of 1989)

• If the transfer is to be effected through any of the following means, the case must be
dismissed on the ground that no prior clearance from DAR is necessary:

a. Deed of extra-judicial partition of the property of a deceased who died prior to


15 June 1988.

b. Deed of partition of property owned in common by co-owners prior to 15 June


1988.

c. Subdivision of title without change of ownership.

d. Deed of real estate mortgage signed by the original landowner or beneficiary.

B. Dismissed due to transfer being void

(Basis: A.O. No. 1, Series of 1989)

• If sale, transfer, or conveyance change the nature of the land outside of urban
centers and city limits either in whole or in part after 15 June 1988, except as provided
under the rules of conversion, then dismiss it on the ground that the transfer is void.

2. LANDS AWARDED TO BENEFICIARIES

A. Lands covered by a CLT, regardless of the date it was transferred, and Lands Awarded
through an EP which is Transferred prior to 1 July 2009

(Basis: P.D. No. 27; A.O. No. 08, Series of 1995; and Estate of the Late Encarnacion Vda. De
Panlilio, represented by George Lizares, vs. Gonzalo Dizon, et al., G.R. 148777, October 18, 2007)

• Approve only if the following elements exist:

i. The owner-transferor is a farmer-tenant-beneficiary awarded either a CLT or


an EP by the DAR pursuant to P.D. No. 27; and

ii. The transferee is:

a. the government; or

b. an heir of the owner-transferor

• If it is the heir of the owner-transferor, the following other elements must ALSO
exist:

i. In case the farmholding is covered by a CLT:

a. the owner-transferor has passed away;

b. the transferee is a compulsory heir of the deceased;

c. the transferee is willing to maintain the productivity of the land;

d. the transferee will not own more than an aggregate area of 3 hectares of
agricultural land after the transfer;

e. the transferee is not an original beneficiary who has previously disposed


of his/her landholding;

f. the transferee has the following qualifications:


• a full-fledged member of a duly recognized farmers' cooperative;

capable of personally cultivating the farmholding; and

willing to assume the obligations and responsibilities of a tenant-


beneficiary; AND

g. the transferee is:

chosen by the owner-transferor in a will;

the sole heir and has executed an affidavit of adjudication;

has been designated to succeed to the land through an extra-


judicial settlement and/or waiver of rights;

has been chosen by the other heirs within one month from the
death of the tenant-beneficiary; or

has the highest priority to succeed the land pursuant to M.C. No.
19, Series of 1978, the priority list being:

o spouse

o eldest heir

ii. In case the landholding is covered by an EP:

a. the owner-transferor has passed away;

b. the transferee is willing to maintain the productivity of the land;

c. the transferee will not own more than an aggregate area of 3 hectares of
agricultural land after the transfer;

d. the transferee is not an original beneficiary who has previously disposed


of his/her landholding; and

e. the transferee has succeeded to the farmholding by extra-judicial


settlement or by a decision of an estate court

B. Lands Awarded through a CLOA, regardless of the date it was transferred, and Lands
Awarded through an EP which is Transferred on or after 1 July 2009

(Basis: R.A. No. 6657; and A.O. No. 08, Series of 1995)

SCENARIO #1: The CLOA/EP has been issued LESS THAN 10 years prior to the transfer; OR The
CLOA/EP has been issued 10 years or more prior to the transfer, but the beneficiary has yet to fully pay
the entire amortization.

• Approve only if the following elements exist:

i. The owner-transferor is a farmer-beneficiary awarded a CLOA/EP by the DAR


pursuant to R.A. No. 6657; and

ii. The transferee is:

a. the government or the LBP;


b. an heir of the owner-transferor; or

c. other qualified beneficiary.

• If it is the heir of the owner-transferor, the following other elements must ALSO
exist:

i. the owner-transferor has passed away;

ii. the transferee is willing to maintain the productivity of the land;

iii. the transferee will not own more than an aggregate area of 3 hectares of
agricultural land;

iv. the transferee is not an original beneficiary who has previously disposed of
his/her landholding; and

v. the transferee has succeeded to the farmholding by extra-judicial settlement


or by a decision of an estate court

• If it is the other qualified beneficiary, the following other elements must ALSO exist:

i. the transferee is willing to maintain the productivity of the land;

ii. the transferee will not own more than an aggregate area of 3 hectares of
agricultural land after the transfer; and

iii. the transferee is not an original beneficiary who has previously disposed of
his/her landholding.

SCENARIO #2: The CLOA/EP has been issued 10 years or more prior to the transfer and the full
amortization has already been paid

• Approve only if the following elements exist:

i. The owner-transferor is a farmer-beneficiary awarded a CLOA/EP by the DAR


pursuant to R.A. No. 6657;

ii. The transfer is valid under civil law (this includes a valid hereditary succession);
and

iii. The transferee will not own more than an aggregate area of 5 hectares of
agricultural land after the transfer.

3. LANDS RETAINED BY LANDOWNERS

(Basis: A.O. No. 1, Series of 1989; DOJ Opinion 41, Series of 1992; A.O. No. 5, Series of 2006)

SCENARIO #1: The land was transferred prior to 15 June 1988

A. If the transferee is the DAR

• Approve only if the following elements exist:

i. The transferor is the landowner; and

ii. The land is transferred for the purposes of agrarian reform.


B. If the transferee is NOT the DAR

• Approve only if the following elements exist:

i. The transferor is the only landowner;

ii. The land being transferred is the land retained by the landowner pursuant to
his/her/its retention rights;

iii. The transferee's total landholding after acquiring the land at issue shall not
exceed 5 hectares; and

iv. The transfer is registered with the Registry of Deeds on or before 13


September 1989.

SCENARIO #2: The land was transferred on or after 15 June 1988

• Approve only if the following elements exist:

i. The transferor is the landowner;

ii. The land being transferred is the land retained by the landowner pursuant to
his/her/its retention rights; and

iii. The transferee's total landholding after acquiring the land at issue shall not
exceed 5 hectares — those exceeding 5 hectares shall be deemed void and thus may
not be approved.

VII. APPEALS

Appeal of the findings/order of the Regional Office shall be made to the Office of the Secretary.

Notice of appeal is submitted to the Regional Office and the Appeal Brief with BALA.

VIII. APPLICABLE PRINCIPLES, LAWS, RULES AND POLICIES, JURISPRUDENCE

1. GUIDING PRINCIPLES

A. The Constitution provides that: "The State shall, by law, undertake an agrarian reform
program founded on the right of farmers and regular farmworkers, who are landless, to own
directly, or collectively the lands they till, or in the case of farmworkers, to receive a just share of
the fruits thereof." (Article XIII, Section 4, 1987 Constitution).

B. The objective of this mandate of the Constitution as embodied in our agrarian laws and
regulations, is to give ownership, possession and use of the awarded land to farmers and
farmworkers in order that they may actually cultivate the land with the end goal of improving
their standard of living.

C. Our agrarian laws prescribe the rules as regards the transfer/conveyance of land covered by
our agrarian laws.

D. Under PD 27, title to the land acquired pursuant thereto shall not be transferable except by
hereditary succession or to the government in accordance with the provisions of agrarian laws
and regulations. On the other hand, R.A. 6657, as amended by R.A. 9700 prescribes that lands
acquired by beneficiaries under the law other agrarian reform laws shall not be sold, transferred
or conveyed except through hereditary succession, or to the government, or to the LBP, or to
other qualified beneficiaries through DAR for a period of ten (10) years. Furthermore the R.A.
6657, as amended, states that if the land has not yet been fully paid by the beneficiary, the rights
to the land may be transferred or conveyed with prior approval of the DAR, to any heir of the
beneficiary or to any other beneficiary who, as a condition for such transfer or conveyance, shall
cultivate the land himself/herself.

2. LEGAL PROVISIONS

A. R.A. 6657, as amended by R.A. 9700

(1) Sections 6

SEC. 6. Retention Limits. — Except as otherwise provided in this Act, no person


may own or retain, directly, any public or private agricultural land, the size of which shall
vary according to factors governing a viable family-sized farm, such as commodity
produced, terrain, infrastructure, and soil fertility as determined by the Presidential
Agrarian Reform Council (PARC) created hereunder, but in no case shall the retention by the
landowner exceed five (5) hectares. Three (3) hectares may be awarded to each child of the
landowner, subject to the following qualifications: (1) that he is at least fifteen (15) years of
age; and (2) that he is actually tilling the land or directly managing the farm: Provided, That
landowners whose lands have been covered by Presidential Decree No. 27 shall be allowed
to keep the area originally retained by them thereunder; Provided, further, That original
homestead grantees or direct compulsory heirs who still own the original homestead at the
time of the approval of this Act shall retain the same areas as long as they continue to
cultivate said homestead.

xxx xxx xxx

Upon the effectivity of this Act, any sale, disposition, lease, management contract or
transfer of possession of private lands executed by the original landowner in violation of
this Act shall be null and void: Provided, however, That those executed prior to this Act shall
be valid only when registered with the Register of Deeds within a period of three (3) months
after the effectivity of this Act. Thereafter, all Registers of Deeds shall inform the DAR within
thirty (30) days of any transaction involving agricultural lands in excess of five (5) hectares.

(2) SEC. 27. Transferability of Awarded Lands. — Lands acquired by beneficiaries


under this Act may not be sold, transferred or conveyed except through hereditary
succession, or to the government, or to the LBP, or to other qualified beneficiaries for a
period of ten (10) years: Provided, however, That the children or the spouse of the
transferor shall have a right to repurchase the land from the government or LBP within a
period of two (2) years. Due notice of the availability of the land shall be given by the LBP to
the Barangay Agrarian Reform Committee (BARC) of the barangay where the land is
situated. The Provincial Agrarian Coordinating Committee (PARCCOM), as herein provided,
shall, in turn, be given due notice thereof by the BARC.

[The title of the land awarded under the agrarian reform must indicate that it is an
emancipation patent or a certificate of land ownership award and the subsequent transfer
title must also indicate that it is an emancipation patent or a certificate of land ownership
award.] — included by R.A. 9700, effective starting 1 July 2009.

If the land has not yet been fully paid by the beneficiary, the right to the land may be
transferred or conveyed, with prior approval of the DAR, to any heir of the beneficiary or to
any other beneficiary who, as a condition for such transfer or conveyance, shall cultivate
the land himself. Failing compliance herewith, the land shall be transferred to the LBP which
shall give due notice of the availability of the land in the manner specified in the
immediately preceding paragraph.
In the event of such transfer to the LBP, the latter shall compensate the beneficiary in
one lump sum for the amounts the latter has already paid, together with the value of
improvements he has made on the land.

(3) SEC. 70. Disposition of Private Agricultural Lands. — The sale or disposition of
agricultural lands retained by a landowner as a consequence of Section 6 hereof shall be
valid as long as the total landholdings that shall be owned by the transferee thereof
inclusive of the land to be acquired shall not exceed the landholdings ceilings provided for
in this Act. Any sale or disposition of agricultural lands after the effectivity of this Act found
to be contrary to the provisions hereof shall be null and void. Transferees of agricultural
lands shall furnish the appropriate Register of Deeds and the BARC with an affidavit
attesting that his total landholdings as a result of the said acquisition do not exceed the
landholding ceiling. The Register of Deeds shall not register the transfer of any agricultural
land without the submission of this sworn statement together with proof of service of a
copy thereof to the BARC.

(4) SEC. 73. Prohibited Acts and Omissions. — The following are prohibited:

(a) The ownership or possession, for the purpose of circumventing the provisions
of this Act, of agricultural lands in excess of the total retention limits or award ceilings
by any person, natural or juridical, except those under collective ownership by
farmer-beneficiaries.

xxx xxx xxx

B. PD 27

"xxx xxx xxx

No title to the land owned by the tenant-farmers under this Decree shall be actually issued
to tenant-farmer unless and until the tenant-farmer has become full-fledged member of a duly
recognized farmer's cooperative;

Title to land acquired pursuant to this Decree or the Land Reform Program of the
Government shall not be transferable except by hereditary succession or to the Government in
accordance with the provisions of this Decree, the Code of Agrarian Reforms and other existing
laws and regulations

xxx xxx xxx"

C. EO 228, Section 6

Sec. 6. The total costs of the land including interest at the rate of six percent (6%) per
annum with a two percent (2%) interest rebate for amortizations paid on time, shall be paid by
the farmer-beneficiary or his heirs to the Land Bank over a period up to twenty (20) years in
twenty (20) equal annual amortizations. Lands already valued and financed by the Land Bank are
likewise extended a 20-year period of payment of twenty (20) equal annual amortizations.
However, the farmer-beneficiary if he so elects, may pay in full before the twentieth year or may
request the Land Bank to structure a repayment period of less than twenty (20) years if the
amount to be financed and the corresponding annual obligations are well within the farmer's
capacity to meet. Ownership of lands acquired by the farmer-beneficiary may be transferred
after full payment of amortizations.

3. RULES AND POLICIES


A. Section 2, DAR A.O. 08, Series of 2011

SECTION 2. Unauthorized Land Transfers Defined. — For the purposes of this


Administrative Order (A.O.), an unauthorized transfer shall be defined as any sale, disposition, or
transfer of possession to any private entity on or after 15 June 1988 by a landowner who owns
one or more agricultural lands with an aggregate size of more than five (5) hectares, the transfer
of which involves the said landholdings or a portion thereof. However, the sale, disposition, or
transfer of possession of the first five (5) hectares of the landholding of a landowner who has
never exercised his/her/its retention rights shall not be deemed unauthorized for the purposes of
this A.O., provided, that if the transfer of the first five (5) hectares was made after the NOC was
validly issued and duly served to the landowner and the latter failed to exercise his/her/its
retention rights within the period prescribed by the appropriate A.O., the said transfer shall still
be deemed unauthorized. The aforementioned definition shall also include those transfers made
prior to 15 June 1988 if the said transfers were not registered within three (3) months after 15
June 1988, or on or before 13 September 1988.

The definition notwithstanding, the following transfers shall not be deemed as


unauthorized for the purposes of this A.O.:

(1) those made through hereditary succession;

(2) consolidation by banks to its name of foreclosed agricultural landholdings, provided that
the mortgage, foreclosure, and consolidation was done in accordance with its ordinary course of
business; and

(3) sale or disposition by banks of agricultural landholdings that it has foreclosed and
consolidated in its name.

IMPLEMENTING RULES AND REGULATIONS

a. A.O. No. 08, Series of 2011 (effective October 16, 2011 onwards)

b. A.O. No. 5, Series of 2006 (effective June 10, 2006 onwards)

c. A.O. No. 8, Series of 1995 (effective January 5, 1996 onwards)

d. DOJ 41, Series of 1992 (effective April 2, 1992)

e. A.O. No. 1, Series of 1989 (effective January 1989 onwards)

f. MC 19, Series of 1978 (effective September 12, 1978 onwards)

IX. JURISPRUDENCE

A. RURAL BANK OF DASMARIÑAS VS. JARIN, G.R. NO. 180778, OCTOBER 16, 2009

Prohibition on the transfer of lands under P.D. No. 27:

Citing P.D. No. 27:

"Title to land acquired pursuant to this Decree or the Land Reform Program of the Government
shall not be transferable except by hereditary succession or to the Government in accordance
with the provisions of this Decree, the Code of Agrarian Reforms and other existing laws and
regulations."
Respondents' farm lots subject of the mortgages are thus not subject to foreclosure, except by the
Land Bank, because foreclosure contemplates the transfer of ownership over the mortgaged
lands.

xxx xxx xxx

The policy behind the prohibition in Presidential Decree No. 27 precludes expanding the exceptions
therein. So this Court declared:

"Upon the promulgation of Presidential Decree No. 27 on October 21, 1972, petitioner was
DEEMED OWNER of the land in question. As of that date, he was declared emancipated from the
bondage of the soil. As such, he gained the rights to possess, cultivate, and enjoy the landholding
for himself. Those rights over that particular property were granted by the government to him
and to no other. To insure his continued possession and enjoyment of the property, he could not,
under the law, make any valid form of transfer except to the government or by hereditary
succession, to his successors.

xxx xxx xxx

The prohibition against transfers to persons other than the heirs of other qualified beneficiaries
stems from the policy of the Government to develop generations of farmers to attain its avowed
goal to have an adequate and sustained agricultural production. With certitude, such objective
will not see the light of day if lands covered by agrarian reform can easily be converted for non-
agricultural purposes.

B. ESTATE OF THE LATE ENCARNACION VDA. DE PANLILIO, REPRESENTED BY GEORGE LIZARES, VS.
GONZALO DIZON, ET AL., G.R. 148777, OCTOBER 18, 2007

(Note that the case of Estate of Vda. De Panlilio vs. Dizon, at least with respect to Transfer Action, has
already been supplanted by Section 12 of R.A. No. 9700 which amended Section 27 of R.A. No. 6657.
The law, however, only applies to transfers made after 1 July 2009.)

"Sixth Issue: Subsequent transfers valid only to qualified farmer-beneficiaries

EO 228 not inconsistent with PD 27 on prohibition of transfers

The prohibition in PD 27, the Tenants Emancipation Decree, which took effect on October 21,
1972, states that [t]itle to land acquired pursuant to this Decree or the Land Reform Program of the
Government shall not be transferable except by hereditary succession or to the Government in
accordance with the provisions of this Decree, the Code of Agrarian Reforms and other existing laws and
regulations.

Hereditary succession means succession by intestate succession or by will to the compulsory heirs
under the Civil Code, but does not pertain to testamentary succession to other persons. Government
means the DAR through the Land Bank of the Philippines which has superior lien by virtue of mortgages
in its favor.

Thus, PD 27 is clear that after full payment and title to the land is acquired, the land shall not be
transferred except to the heirs of the beneficiary or the Government. If the amortizations for the land
have not yet been paid, then there can be no transfer to anybody since the lot is still owned by the
Government. The prohibition against transfers to persons other than the heirs of other qualified
beneficiaries stems from the policy of the Government to develop generations of farmers to attain its
avowed goal to have an adequate and sustained agricultural production. With certitude, such objective
will not see the light of day if lands covered by agrarian reform can easily be converted for non-
agricultural purposes.

On the other hand, Sec. 6 of EO 228 provides, thus:


Sec. 6. The total cost of the land including interest at the rate of six percent (6%) per annum with
a two percent (2%) interest rebate for amortizations paid on times, shall be paid by the farmer-
beneficiary or his heirs to the Land Bank over a period of up to twenty (20) years in twenty (20) equal
annual amortizations. Lands already valued and financed by Land Bank are likewise extended a 20-year
period of payment of twenty (20) equal annual amortizations. However, the farmer-beneficiary if he so
elects, may pay in full before the twentieth year or may request the Land Bank to structure a repayment
period of less than twenty (20) years if the amount to amount to be financed and the corresponding
annual obligations are well within the farmers' capacity to meet. Ownership of lands acquired by
farmer-beneficiary may be transferred after full payment of amortizations.

xxx xxx xxx

(T)he provision in question is silent as to who can be the transferees of the land acquired through
the CARP. The rule in statutory construction is that statutes inpari materia should be construed together
and harmonized. Since there appears to be no irreconcilable conflict between PD 27 and Sec. 6 of EO
228, then the two (2) provisions can be made compatible by maintaining the rule in PD 27 that lands
acquired under said decree can only be transferred to the heirs of the original beneficiary or to the
Government. Second, PD 27 is the specific law on agrarian reform while EO 228 was issued principally to
implement PD 27. This can easily be inferred from EO 228 which provided for the mode of valuation of
lands subject of PD 27 and the manner of payment by the farmer-beneficiary and mode of
compensation to the land owner. Third, implied repeals are not favored. A perusal of the aforequoted
Sec. 6 of EO 228 readily reveals that it confers upon the beneficiary the privilege of paying the value of
the land on a twenty (20)-year annual amortization plan at six percent (6%) interest per annum. He may
elect to pay in full the installments or have the payment plan restructured. Said provision concludes by
saying that after full payment, ownership of the land may already be transferred. Thus, it is plain to see
that Sec. 6 principally deals with payment of amortization and not on who qualify as legal transferees
of lands acquired under PD 27. Since there is no incompatibility between PD 27 and EO 228 on the
qualified transferees of land acquired under PD 27, ergo, the lands acquired under said law can only
be transferred to the heirs of the beneficiary or to the Government for eventual transfer to qualified
beneficiaries by the DAR pursuant to the explicit proscription in PD 27. (Emphasis supplied).

Thus, the alleged transfers made by private respondents in G.R. No. 148777 of lands acquired under PD
27 to non-qualified persons are illegal and null and void."

X. STRUCTURE OF THE DECISION

A. NATURE OF THE CASE

• The opening paragraph should discuss the nature of the case. The reader then knows
specifically what the RD is being asked to decide. State how the matter is before the RD. Identify
the parties and the nature of the proceedings.

Example:

"This is a case involving Transfer action filed by ________________________ over the


subject landholding with TCT ________________ located at __________________ with an area
________________."

B. FACTS

• Those facts necessary to a disposition of the matter under consideration should be set
forth. Facts should be stated logically and concisely. A decision need not and should not set forth
all the facts that may be involved in the case. Only a narrative statement of the controlling facts
should be made. Controlling facts are facts which, when added together, enable the judge to
come to some factual conclusion that affects the outcome of the case. The writer has to be
selective; the RD must know which facts are material to his readers and their understanding of the
decision. There must be no misstatement of facts. An improper factual recitation can result in
irreversible miscarriage of justice.
Example:

"The applicant, _________________, is the registered landowner of the subject


landholding, which was awarded to him by virtue of ___________________ on
________________. The application was filed on ________________ at the
____________________. The amortization for the land appears to have been fully paid to the
Land Bank of the Philippines on ___________________. The buyer of the land is
__________________, who presently owns ___________________ agricultural lands."

C. ISSUE/S

• Once these preliminary matters have been covered, the writer must identify the specific
legal or factual issues to be discussed. State the issues simple enough that even a non-lawyer, can
read and understand. Discuss each issue individually.

Example:

"Whether or not the application for transfer of the subject agricultural land should be
granted."

D. LAW, RULES AND REGULATIONS AND JURISPRUDENCE

• Next, systematically analyze the law, rules and jurisprudence (if there's any), as it pertains
to the facts of the case leading to the conclusions.

Example:

"Under Section 27 of R.A. 6657, as amended ______________________. This is further


clarified by DAR A.O. ____ Series of ____ which provides that _____________________________.
The Supreme Court decided in the case of ____________ (G.R. __________, date) that
_____________."

E. DECISION

• Having covered each issue, the RD should summarize the dispositions by bringing together
the conclusions into a decision.

Example:

"From the records of the case, it shows that the application is supported by all the
necessary documentary requirements, i.e., ________________________. The applicant and the
buyer have likewise met the requisites provided by law for a valid transfer of agricultural land,
namely __________________. Wherefore, the application for clearance in relation to the transfer
of the subject landholding is hereby granted."

XI. SAMPLE APPLICATION OF THE TEMPLATE BASED ON AN ACTUAL CASE

Avelina Salapate-Marilag, Applicant.

xxx xxx xxx

ORDER

NATURE/HISTORY OF THE CASE

This is a transfer action concerning a parcel of agricultural land, denominated as lot No. 1988,
covered under Emancipation Patent No. 161093, Cad 471-D, Polangui Cadastre, situated at Ubaliw,
Polanagui, Albay.
FACTS

Virgilio Salapate is an Agrarian Reform Beneficiary under Presidential Decree No. 27. He died on 25
February 1988, leaving his wife Rosario, and son Amadeo, as his surviving heirs. On 14 March 2005,
his son Amadeo died, thereby leaving his wife, Rosario, as his sole surviving heir. Due to failing health
and old age, Rosario waived her right to succeed as beneficiary of the above-described landholding
and executed an affidavit in favor of her sister-in-law, herein applicant Avelina Salapate-Marilag. The
latter then assumed possession of the subject lot and started cultivating it. Having assumed the
obligations and res0ponsibilities of a farmer-beneficiary, the DAR Municipal office of Polangui
recommended Avelina Salapate-Marilag as the most qualified beneficiary.

ISSUE

May the rights of a sole surviving heir of a farmer-beneficiary be waived and transferred by said heir
in favor of a party who is not an heir of the farmer-beneficiary?

LAW, RULES AND REGULATIONS AND JURISPRUDENCE

The preferential rights of a spouse as an heir of a farmer-beneficiary may only be ceded in favor of
other heirs.

MAR Memorandum Circular No. 19, Series of 1978, explicitly provides that succession to the farm
holding covered by Operation Land Transfer shall be covered by the pertinent provisions of the New
Civil Code of the Philippines, subject to the following limitations: ". . .; the ownership and cultivation
of the farmholding shall ultimately be consolidated in one heir who possesses the qualifications;
provided, however, that the surviving spouse shall be first given preference; otherwise, in the absence
of or due to the permanent incapacity of the surviving spouse, priority shall be determined among the
heirs according to age. . . . . In the following cases, the farmholding shall revert to the government for
reallocation to a deserving tenant-farmer." [Paragraph No. 1, Letter b & Paragraph No. 2, Letters b
and e]

In this case, the only surviving heir of Virgilio Salapate is his spouse, Rosario. Under the law on
succession and the MAR Memorandum Circular abovequoted, the surviving spouse has the first
preference to the landholding. In this case, however, due to her old age and failing health, the said
surviving spouse waived her right to succeed in the landholding. The rules state that, if the surviving
spouse is incapacitated, the farmholding shall revert to the government for reallocation.

DECISION

WHEREFORE, Rosario R. Salapate is hereby declared DISQUALIFIED as farmer-beneficiary and the


instant transfer action in favor of applicant Avelina Salapate-Marilag is DENIED for being premature.
Lot No. 1988, containing an area of 17,574 square meters is declared VACANT and the MARO of
Albay is directed to re-distribute the same to a qualified tenant-farmer, pursuant to the provisions of
Administrative Order No. 7, Series of 2003, in relation to other existing rules and regulations.

SO ORDERED.

Lakandula Drive, Gogon, Legazpi City. 22 September 2009.

MARIA CELESTINA M. MANLAGÑIT-TAM


Regional Director

Copy Furnished:
Parties or Counsel
MARO