Agrarian Law 1

CARL: Sections 41 to 78 Reviewer

SECTION 41. The Presidential Agrarian Reform Council. Composition of the Presidential Agrarian Reform Council
— The Presidential Agrarian Reform Council (PARC) (PARC)
shall be composed of the President of the Philippines
as Chairman, the Secretary of Agrarian Reform as Sec of Deparment
Vice-Chairman and the following as members; of Agriculture
Secretaries of the Departments of Agriculture;
Environment and Natural Resources; Budget and
Management; Local Government; Public Works and Sec. of DENR
Highways; Trade and Industry; Finance; Labor and
Employment; Director-General of the National
Sec. DBM
Economic and Development Authority; President,
Land Bank of the Philippines; Administrator, National
Irrigation Administration; and three (3) representatives Sec. of DILG
of affected landowners to represent Luzon, Visayas
and Mindanao; six (6) representatives of agrarian
reform beneficiaries, two (2) each from Luzon, Visayas Sec. of DPWH
and Mindanao, provided that at least 1 of them shall
come from a duly recognized national organization
of agrarian reform beneficiaries with a substantial Sec. of DTI
number of women members: Provided finally, that at
least 20% of the members of the PARC shall be
women but in no case shall they be less than 2. Sec. of Finance

SECTION 42. Executive Committee. — There shall be

Sec. of DOLE
an Executive Committee (EXCOM) of the PARC
composed of the Secretary of the DAR as Chairman,
and such other members as the President may Director-General
President of PH
Chairperson -

designate, taking into account Article XIII, Section 5 of National

Vice-Chairperson
of the Constitution. Unless otherwise directed by the Economic and
Secretary of
Development
PARC, the EXCOM may meet and decide on any and Department of
Authority (NEDA)
all matters in between meetings of the PARC; Agrarian Reform
Provided, however, That its decisions must be
reported to the PARC immediately and not later than President of LBP
the next meeting.

SECTION 43. Secretariat. — A PARC Secretariat is Administrator-

hereby established to provide general support and National Irrigation
coordinative services such as inter-agency linkages; Administration
program and project appraisal and evaluation and
general operations monitoring for the PARC.
The Secretariat shall be headed by the Secretary of Administrator-
Agrarian Reform who shall be assisted by an Land Registration
Undersecretary and supported by a staff whose Authority
composition shall be determined by the PARC
Executive Committee and whose compensation shall 6 representatives
be chargeable against the Agrarian Reform Fund. All of affected
officers and employees of the Secretariat shall be landowners to
appointed by the Secretary of Agrarian Reform. represent Luzon,
Visayas, and
Mindanao
6 representatives
of agrarian reform
beneficiaries, 2
each from Luzon,
Visayas, and
Mindanao

of the 6 representatives of the agrarian reform

beneficiaries:
a. At least 1 should be from the indigenous
peoples;
b. At least 1 should come from duly recognized
national organization of rural women of a

“When you keep fighting, you eventually learn how to win.”

- Jung Hoo, Healer
Agrarian Law 2

national organization of agrarian reform

beneficiaries with a substantial number of
women members

at least 20% of the members of the PARC should be

women but in no case should they be less than 2. EXECUTIVE OFFICER -
Provincial Agrarian
Reform
SECTION 44. Provincial Agrarian Reform Coordinating
Committee (PARCCOM). — A Provincial Agrarian
Reform Coordinating Committee (PARCCOM) is 1 representative
hereby created in each province, composed of a each from -
Chairman, who shall be appointed by the President >DA,
upon the recommendation of the EXCOM, the >DENR, and
>Land Bank
Provincial Agrarian Reform Officer as Executive
Officer, and one representative each from the
Departments of Agriculture, and of Environment and
1 representative
Natural Resources and from the LBP, one each from -
representative each from existing farmers' >existing farmer's
organizations, agricultural cooperatives and non- organizations,
governmental organizations in the province; two >agricultural
representatives from landowners, at least one of cooperatives, and
whom shall be a producer representing the principal >non-governmental
crop of the province, and two representatives from organizations in the
farmer and farmworker-beneficiaries, at least one of province
whom shall be a farmer or farmworker representing
the principal crop of the province, as members: CHAIRMAN -
appointed by the
Provided, That in areas where there are cultural 2 representatives
President upon
communities, the latter shall likewise have one from -
recommendation of
representative. landowners, at least
EXCOM
The PARCCOM shall coordinate and monitor the 1 shall be a producer
implementation of the CARP in the province. It shall representing the
principal corp of the
provide information on the provisions of the CARP,
province
guidelines issued by the PARC and on the progress of
the CARP in the province.; in addition, it shall:
"(a) Recommend to the PARC the following: 2 representatives
"(1) Market prices to be used in the determination of from - farmers and
the profit sharing obligation of agricultural entities in farmworkers or
beneficiaries, at
the province;
least 1 of whom shall
"(2) Adoption of the direct payment scheme be a farmer or
between the landowner and the farmer and/or farmworker
farmworker beneficiary: Provided, that the amount representing the
and terms of payment are not more burdensome to principal crop of the
the agrarian reform beneficiary than under the province
compulsory coverage provision of the
CARL: Provided, further, That the agrarian reform 1 representative from
beneficiary agrees to the amount and terms of - cultural
payment: Provided, furthermore, That the DAR shall communities, in
act as mediator in cases of disagreement between areas where there
the landowner and the farmer and/or farmworker are cultural
beneficiary; Provided, finally, That the farmer and/or communities
farmer beneficiary shall be eligible to borrow from the
LBP an amount equal to eighty-five percent (85%) of
the selling price of the land that they have acquired;
"(3) Continuous processing of applications for lease
back arrangements, joint-venture agreements and
other schemes that will optimize the operating size for SECTION 45. Province-by-Province Implementation.
agricultural production and also promote both — The PARC shall provide the guidelines for a
security of tenure and security of income to farmer province-by-province implementation of the CARP,
beneficiaries: Provided, That lease back taking into account the peculiarities and needs of
arrangements should be the last resort." each place, kind of crops needed or suited, land
distribution workload, beneficiaries’ development
activities and other factors prevalent or obtaining in
the area. In all cases, the implementing agencies
Composition of PARCOM identified ARCs without neglecting the needs and
problems of other beneficiaries. The ten-year

“When you keep fighting, you eventually learn how to win.”

- Jung Hoo, Healer
Agrarian Law 3

program of distribution of public and private lands in

each province shall be adjusted from year by the
province's PARCCOM in accordance with the level of
operations previously established by the PARC, in
farmers and
every case ensuring that support services are farmworkers
available or have been programmed before actual beneficiaries
distribution is effected.

farmers and
farmworkers non-
beneficiaries
MANNERS OF IMPLEMENTATION OF THE AGRARIAN
REFORM PROGRAM
agriculture
à Sec. 45 of the CARL mandates the implementation of cooperative
the agrarian reform program on a province-by-province
basis because of the peculiarities and needs of each
province, such as the kind of crops needed or suited, other farmer
land, distribution, workload, and other factors prevalent organizations
or obtaining in the area.
barangay council
à The PARCOM coordinates and monitors the
BARC is composed non-government
implementation of the agrarian reform program in the
of the organizations
province.
representatives
coming from the landowners
SECTION 46. Barangay Agrarian Reform Committee following:
(BARC). — Unless otherwise provided in this Act, the Land Bank
provisions of Executive Order No. 229 regarding the
organization of the Barangay Agrarian Reform Official of the DA
Committee (BARC) shall be in effect. assigned to the
barangay

Official of the DENR

official assigned to
the area

Department of
Agrarian Reform
Technologist
assigned to the area
who shall act as the
Secretary

“When you keep fighting, you eventually learn how to win.”

- Jung Hoo, Healer
Agrarian Law Atty. Joyrich Golangco
SECTION 47. Functions of the BARC. — In addition to
those provided in Executive Order No. 229, the BARC
shall have the following functions:
(a)Mediate and conciliate between parties involved
in an agrarian dispute including matters related to
tenurial and financial arrangements;
(b)Assist in the identification of qualified beneficiaries
and landowners within the barangay;
(c)Attest to the accuracy of the initial parcellary
mapping of the beneficiary's tillage;
(d)Assist qualified beneficiaries in obtaining credit
from lending institutions;
(e)Assist in the initial determination of the value of the
land;
(f)Assist the DAR representatives in the preparation of
periodic reports on the CARP implementation for
submission to the DAR;
(g)Coordinate the delivery of support services to
beneficiaries; and
(h)Perform such other functions as may be assigned
by the DAR.
(2) The BARC shall endeavor to mediate, conciliate
and settle agrarian disputes lodged before it within
thirty (30) days from its taking cognizance thereof. If
after the lapse of the thirty-day period, it is unable to
settle the dispute, it shall issue a certificate of its
proceedings and shall furnish a copy thereof upon
the parties within seven (7) days after the expiration
of the thirty-day period.
FUNCTIONS OF THE BARC UNDER EO 229
a. To participate and give support to the
implementation of programs on agrarian reform;
b. To mediate, conciliate or arbitrate agrarian
conflicts and issues that are brought to it for
resolution; and
c. To perform such other functions that the PARC, its
Executive Committee, or the DAR Secretary may
delegate from time to time.
SECTION 48. Legal Assistance. — The BARC or any
member thereof may, whenever necessary in the
exercise of any of its functions hereunder, seek the
legal assistance of the DAR and the provincial, city,
or municipal government.
LEGAL ASSISTANCE
In the exercise of its mediation or conciliation functions,
the BARC can ask for legal advice from the Department
of Agrarian Reform to ensure that its proposed solution
to the dispute us within the bounds of law.
SECTION 49. Rules and Regulations. — The PARC and
the DAR shall have the power to issue rules and
regulations, whether substantive or procedural, to
carry out the objects and purposes of this Act. Said
rules shall take effect ten (10) days after publication
in two (2) national newspapers of general circulation.
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
4
RULE MAKING POWER OF DAR AND PARC
This provision authorizes DAR and PARC to promulgate
rules and regulations to carry out the purposes of the
agrarian reform program. In the exercise of their rule-
making power, the DAR and PARC cannot enlarge or
amend the provisions of the statute.
CHAPTER XII
ADMINISTRATIVE ADJUDICATION
SECTION 50. Quasi-Judicial Powers of the DAR. — The
DAR is hereby vested with primary jurisdiction to
determine and adjudicate agrarian reform matters
and shall have exclusive original jurisdiction over all
matters involving the implementation of agrarian
reform except those falling under the exclusive
jurisdiction of the Department of Agriculture (DA) and
the Department of Environment and Natural
Resources (DENR).
It shall not be bound by technical rules of procedure
and evidence but shall proceed to hear and decide
all cases, disputes or controversies in a most
expeditious manner, employing all reasonable
means to ascertain the facts of every case in
accordance with justice and equity and the merits of
the case. Toward this end, it shall adopt a uniform rule
of procedure to achieve a just, expeditious and
inexpensive determination of every action or
proceeding before it.
It shall have the power to summon witnesses,
administer oaths, take testimony, require submission
of reports, compel the production of books and
documents and answers to interrogatories and issue
subpoena, and subpoena duces tecum, and enforce
its writs through sheriffs or other duly deputized
officers. It shall likewise have the power to punish
direct and indirect contempts in the same manner
and subject to the same penalties as provided in the
Rules of Court.
Responsible farmer leaders shall be allowed to
represent themselves, their fellow farmers, or their
organizations in any proceedings before the DAR:
Provided, however, That when there are two or more
representatives for any individual or group, the
representatives should choose only one among
themselves to represent such party or group before
any DAR proceedings.
Notwithstanding an appeal to the Court of Appeals,
the decision of the DAR shall be immediately
executory except a decision or a portion thereof
involving solely the issue of just compensation.
TWO-FOLD JURISDICTION OF THE DAR
As stated under Sec. 50 of CARL,
1) The first is essentially executive and pertains to the
enforcement and administration of the laws,
carrying them into practical operation and
enforcing their due observance
2) The second is judicial and involves the
determination of rights and obligations of the
parties
Agrarian Law 5

Ø Note that not every case involving an agricultural

Therefore, a line must be drawn between the functions if land automatically makes it an agrarian dispute
the DAR Regional Office and functions of DARAB upon which DARAB has jurisdiction.
Adjudication Board: Ø The mere fact that the land is an agricultural land
does not make the possessor an agricultural lessee or
DAR Regional Office DARAB Adjudication tenant.
Board Ø Tenancy is not a purely factual relationship
- concerns the - The function of dependent on what the alleged tenant does upon
implementation of DARAB, including the land. It is a legal relationship.
agrarian reform laws RARAD, and PARAD Ø The intent of the parties, the understanding when the
concerns the farmer is installed, and their written agreements,
- essentially adjudication of provided these are complied with and are not
EXECUTIVE because agrarian reform contrary to law, are even more important.
it pertains to the cases Ø The law provides that an agrarian dispute must be a
enforcement and controversy relating to a tenurial arrangement over
administration of - Judicial in nature, lands devoted to agriculture.
laws, carrying them involving as it does Ø Such arrangement may be leasehold, tenancy, or
into practical the determination of stewardship.
operation and rights and obligations Ø If the occupancy and possession was by mere
enforcing their due of the parties tolerance, there is no agrarian dispute.
observance
PARAD HAS PRIMARY AND EXCLUSIVE JURISDICTION,
THE QUASI-JUDICIAL JURISDICTION OF DAR To determine and adjudicate matters pertaining to:
It is exercised through the DARAB, and embraces the
following: Sec. 1, Rule II, 2009 DARAB Rules of Procedure
a. Primary jurisdiction: to determine and a. The rights and obligations of persons, whether
adjudicate agrarian reform matters, and natural or juridical, engaged in the management,
b. Appellate jurisdiction: over orders and cultivation, and use of all agricultural lands
decisions of the Agrarian Reform Adjudicators; covered by R.A. No. 6657, otherwise known as the
Comprehensive Agrarian Reform Law (CARL), as
THE QUASI-JUDICIAL POWERS OF THE DAR amended, and other related agrarian laws;
DARAB is authorized to, in the exercise of its quasi-judicial b. The preliminary administrative determination of
powers: reasonable and just compensation of lands
a. Hear and decide cases within its jurisdiction acquired under Presidential Decree (PD) No. 27
b. Summon witnesses and the Comprehensive Agrarian Reform Program
c. Administer oaths (CARP);
d. Take testimony c. Those cases involving the annulment or rescission
e. Issue subpoena ad testificandum and duces of lease contracts or deeds of sale or their
tecum amendments involving lands under the
f. Issue writs of execution, and administration and disposition of the DAR or Land
g. Punish direct or indirect contempt Bank of the Philippines (LBP), and the amendment
of titles pertaining to agricultural lands under the
THE PROVINCIAL AGRARIAN REFORM ADJUDICATORS administration and disposition of the DAR and LBP;
(PARAD) as well as EPs issued under PD 266, Homestead
General Rule: PARAD has primary and exclusive Patents, Free Patents, and miscellaneous sales
jurisdiction to hear and decide agrarian disputes. patents to settlers in settlement and re-settlement
areas under the administration and disposition of
Agrarian Dispute - refers to any controversy relating to the DAR;
tenurial arrangements, whether leasehold, tenancy, d. Those cases involving the ejectment and
stewardship or otherwise, over lands devoted to dispossession of tenants and/or leaseholders;
agriculture, including disputes concerning farmworkers' e. Those cases involving the sale, alienation, pre-
associations or representation of persons in negotiating, emption, and redemption of agricultural lands
fixing, maintaining, changing, or seeking to arrange under the coverage of the CARL, as amended or
terms or conditions of such tenurial arrangements. other agrarian laws;
f. Those involving the correction, partition, secondary
It includes any controversy relating to compensation of and subsequent issuances such as reissuance of
lands acquired under this Act and other terms and lost/destroyed owner's duplicate copy and
conditions of transfer of ownership from landowners to reconstitution of Certificates of Land Ownership
farmworkers, tenants and other agrarian reform Award (CLOAs) and Emancipation Patents (EPs)
beneficiaries, whether the disputants stand in the which are registered with the Land Registration
proximate relation of farm operator and beneficiary, Authority;
landowner and tenant, or lessor and lessee. (Sec. 3, g. Those cases involving the review of leasehold
CARL) rentals and fixing of disturbance compensation;
h. Those cases involving the collection of amortization
payments, foreclosure and similar disputes
concerning the functions of the LBP, and payments

“When you keep fighting, you eventually learn how to win.”

- Jung Hoo, Healer
 Agrarian Law
for lands awarded under PD No. 27, RA No. 3844,
as amended, and R.A. No. 6657, as amended by
R.A. No. 9700, and other related laws, decrees,
orders, instructions, rules, and regulations, as well as
payment for residential, commercial, and industrial
lots within the settlement and resettlement areas
under the administration and disposition of the
DAR;
i. Those cases involving boundary disputes over
lands under the administration and disposition of
the DAR and the LBP, which are transferred,
distributed, and/or sold to tenant-beneficiaries and
are covered by deeds of sale, patents, and
certificates of title;
j. Those cases previously falling under the original
and exclusive jurisdiction of the defunct Court of
Agrarian Relations under Section 12 of PD No. 946
except those cases falling under the proper courts
or other quasi-judicial bodies; and
k. Such other agrarian cases, disputes, matters or
concerns referred to it by the Secretary of the DAR.
Sec. 12 of PD 946
The Courts of Agrarian Relations shall have original and
exclusive jurisdiction over:
(a) Cases involving the rights and obligations of persons
in the cultivation and use of agricultural land except
those cognizable by the National Labor Relations
Commission; Provided, That no case involving the
determination of rentals over any kind of tenanted
agricultural land shall be taken cognizance of by the
Courts of Agrarian Relations unless there has been a
prior fixing of provision rental by the Department of
Agrarian Reform, except that the tenant-farmer may
directly bring the case for immediate determination
by the Courts of Agrarian Relations;
(b) Questions involving rights granted and obligations
imposed by laws, Presidential Decrees, Orders,
Instructions, Rules and Regulations issued and
promulgated in relation to the agrarian reform
program;
Provided, however, That matters involving the
administrative implementation of the transfer of the
land to the tenant-farmer under Presidential Decree
No. 27 and amendatory and related decrees,
orders, instructions, rules and regulations, SHALL BE
EXCLUSIVELY COGNIZABLE BY THE SECRETARY OF
AGRARIAN REFORM, namely:
(1) classification and identification of
landholdings;
(2) identification of tenant-farmers and
landowners, and determination of their
tenancy relationship;
(3) parcellary mapping;
(4) determination of the total production and value
of the land to be transferred to the tenant-
farmer;
(5) issuance, recall or cancellation of certificates
of land transfer in cases outside the purview of
Presidential Decree No. 816;
(6) right of retention of the landowner;
(7) right of the tenant-farmer to a home lot;
(8) disposition of the excess area in the tenant's
farmholding;
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
6
(9) change of crop from rice and/or corn to any
other agricultural crop;
(10) issuance of certification for the conversion of
tenanted rice and/or corn land for residential,
commercial, industrial, or other urban
purposes, it being understood that the
authority to issue certificates for conversion of
other kinds of tenanted agricultural land for the
same purposes remains vested in the Secretary
of Agrarian Reform;
(11) transfer, surrender or abandonment by the
tenant-farmer of his farmholding and its
disposition; and
(12) increase of tillage area by a tenant-farmer;
Provided, further, That the decision of the Secretary of
Agrarian Reform may be APPEALED TO THE PRESIDENT OF
THE PHILIPPINES.
(c) Cases involving the collection of amortizations on
payments for lands acquired under Presidential
Decree No. 27, as amended, Commonwealth Act
Numbered twenty, as amended, Commonwealth
Act Numbered five hundred thirty-nine, as
amended, Republic Act Numbered eleven hundred
and sixty, as amended, Republic Act Numbered
fourteen hundred, as amended, Republic Act
Numbered thirty-eight hundred and forty-four, as
amended, and other related laws, decrees, orders,
instructions, rules and regulations, as well as payment
for residential, commercial and industrial lots within
the settlement and resettlement areas under the
administration and disposition of the Department of
Agrarian Reform;
(d) Cases involving collection of amortizations on
payments for farm machineries and implements
distributed and sold by the Department of Agrarian
Reform and the Land Bank of the Philippines to
tenant-farmers, agricultural lessees, settlers, owner-
cultivators, amortizing owner-cultivators, the
Samahang Nayon, compact farms, farmers'
cooperatives, and other registered farmers'
associations or organizations, as well as payment for
indebtedness of settlers by reason of the assistance
given them by the Department of Agrarian Reform in
the form of seeds, work animals, houses, subsistence,
transportation, medicines, farm implements, tools,
and the like;
(e) Cases involving collection of amortizations on
payments for irrigation systems and/or water rights
grants, as well as irrigation fees, charge and/or
rentals
(f) Cases involving collection of rentals on agricultural
lands leased by the Department of Agrarian Reform
or Land Bank and collection of agricultural loans
granted to tenant-farmers, agricultural lessees,
settlers, owner-cultivators, amortizing owner-
cultivators, the Samahang Nayon, compact farms,
farmers' cooperatives and other registered farmer
associations or organizations;
(g) Cases involving the annulment or rescission of lease
contracts and deeds of sale, and the cancellation or
 Agrarian Law
amendment of titles pertaining to agricultural lands
under the administration and disposition of the
Department of Agrarian Reform and the Land Bank,
as well as emancipation patents issued under
Presidential Decree No. 266, homestead patents,
free patents, and miscellaneous sales patents to
settlers in settlement and resettlement areas under
the administration and disposition of the Department
of Agrarian Reform;
(h) Cases involving boundary disputes over lands under
the administration and disposition of the Department
of Agrarian Reform and the Land Bank, which are
transferred, distributed and/or sold to tenant-
beneficiaries and are covered by deeds of sale,
patents and certificates of titles;
(i) Cases arising out of, or in connection with,
membership in the Samahang Nayon, compact
farms, farmers' cooperatives and other registered
farmers' associations or organizations, and the rights
and obligations arising from such membership;
(j) Cases arising directly or indirectly between
corporations or partnerships covered by General
Order No. 47 and tenant-farmers, agricultural
lessees, settlers, owner-cultivators, amortizing
owner-cultivators, the Samahang Nayon, compact
farms, farmers' cooperatives, and other registered
farmers' associations or organizations, and between
such corporation or partnerships and other
corporations, partnerships, associations or single
proprietorships where the question involved affects
the rights and interests of the persons herein
mentioned;
(k) Cases involving the determination of title to
agricultural lands where this issue is raised in an
agrarian dispute by any of the parties or a third
person in connection with the possession thereof for
the purpose of preserving the tenure of the
agricultural lessee or actual tenant-farmer and
effecting the ouster of the interloper or intruder in
one and the same proceeding;
(l) Cases involving the sale, alienation, mortgage
foreclosure, pre-emption and redemption of
tenanted agricultural land;
(m) Cases involving expropriation of all kinds of land in
furtherance of the agrarian reform program;
(n) Expropriation proceedings for public purpose of all
kinds of tenanted agricultural land, whether
instituted by the State, its political subdivisions and
instrumentalities, or corporations and entities
authorized by laws to expropriate;
(o) Cases involving acquisition by the Department of
Agrarian Reform of irrigation systems and/or water
rights grants for the benefit of tenant-farmers,
agricultural lessees, settlers, owner-cultivators,
amortizing owner-cultivators, the Samahang Nayon,
compact farms, farmers' cooperatives, and other
registered farmers' associations or organizations, the
Department of Agrarian Reform being hereby
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
7
vested with the authority to construct irrigation
systems and apply for water rights grants for the
purpose herein provided;
(p) Ejectment proceedings instituted by the Department
of Agrarian Reform and the Land Bank involving lands
under their administration and disposition, except
urban properties belonging to the Land Bank;
(q) Cases involving violations of the penal provisions of
Republic Act Numbered eleven hundred and ninety-
nine, as amended, Republic Act Numbered thirty
eight hundred and forty-four, as amended,
Presidential Decrees and laws relating to agrarian
reform; Provided, however, That violations of the said
penal provisions committed by any Judge shall be
tried by the courts of general jurisdiction; and
(r) Violations of Presidential Decrees Nos. 815 and 816.
APPEAL FROM THE DECISIONS OF THE PARAD
Ø Decisions of PARAD are appealable to DARAB within
15 days.
THE REGIONAL AGRARIAN REFORM ADJUDICATORS
(RARAD)
Sec. 5, Rule II, 2009 DARAB Rules of Court
SECTION 5. Role of the RARAD. — The RARAD shall be the
Executive Adjudicator in his Region directly responsible
to the Board. As such, he shall:
a. Exercise administrative supervision over the
PARADs and, in the absence of the PARAD
concerned, their personnel, which shall include,
among others, the monitoring of cases in his
Region;
b. Receive, hear, and adjudicate agrarian disputes
and land cases within the Region;
c. He shall also hear the following cases:
1. Those cases that cannot be handled by the
PARAD on account of inhibition,
disqualification or when there is no PARAD
designated in the locality;
2. Those matters of such complexity and
sensitivity that the decision thereof would
constitute an important precedent affecting
regional interest as may be recommended
by the concerned RARAD and approved by
the Board; and
3. Preliminary determination of just
compensation valued at 10M-50M;
4. Hear application for the issuance of a writ of
preliminary injunction and/or temporary
restraining order and such other cases which
the Board may assign.
DARAB HAS NO JURISDICTION OVER MATTERS PERTAINING
TO OWNERSHIP
Reason: When the controversy pertains to ownership,
there is no agrarian dispute, hence, the matter is beyond
the jurisdiction of the DARAB.
Excerpt from a case: Heirs of Herman Rey Santos v. CA p.
119
DARAB HAS NO JURISDICTION OVER RETENTION OR
EXEMPTION ISSUES
 Agrarian Law
Issues pertaining to retention rights of the landowner and
the exclusion or exemption from agrarian reform
coverage are cognizable by the Secretary of the
Department of Agrarian Reform because they pertain to
the administrative implementation of agrarian law.
DARAB HAS NO JURISDICTION OVER RIGHT OF WAY ISSUES
DARAB cannot entertain a petition for right of way
filed by agrarian reform beneficiaries against an
adjoining landowner because the issue of right of way or
easement over private property without tenancy
relations is outside the jurisdiction of DARAB.
Case: Laguna Estates v. CA p. 120
DARAB HAS NO JURISDICTION TO IDENTIY AND CLASSIFY
LANDHOLDINGS FOR AGRARIAN REFORM COVERAGE
The jurisdiction for this issue is vested with the
Secretary of DAR, because matters of agrarian reform
coverage is strictly a part of the administrative
implementation of the agrarian reform program.
DARAB HAS NOT JURISDICTION OVER MATTERS
PERTAINING TO IDENTIFICATION AND SELECTION OF THE
BENEFICIARIES
These issues are matters of involving administrative
implementation of the agrarian reform program. The
matter is cognizable with the Secretary of DAR.
Hence, any party who claims to have priority over those
who have been identified by the MARO should file his
protest with the MARO or PARO and later with DAR.
Section 50-A. Exclusive Jurisdiction on Agrarian Dispute.
— No court or prosecutor's office shall take cognizance
of cases pertaining to the implementation of the CARP
except those provided under Section 57 of Republic Act
No. 6657, as amended. If there is an allegation from any
of the parties that the case is agrarian in nature and one
of the parties is a farmer, farmworker, or tenant, the case
shall be automatically referred by the judge or the
prosecutor to the DAR which shall determine and certify
within fifteen (15) days from referral whether an agrarian
dispute exists: Provided, that from the determination of
the DAR, an aggrieved party shall have judicial recourse.
In cases referred by the municipal trial court and the
prosecutor's office, the appeal shall be with the proper
regional trial court, and in cases referred by the regional
trial court, the appeal shall be to the Court of Appeals.
In cases where regular courts or quasi-judicial
bodies have competent jurisdiction, agrarian reform
beneficiaries or identified beneficiaries and/or their
associations shall have legal standing and interest to
intervene concerning their individual or collective rights
and/or interests under the CARP.
The fact of non- registration of such
associations with the Securities and Exchange
Commission, or Cooperative Development Authority, or
any concerned government agency shall not be used
against them to deny the existence of their legal
standing and interest in a case filed before such courts
and quasi-judicial bodies.
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
8
Agrarian Case Directly Filed in Court – Action to be Taken
G Primary Jurisdiction to determine and adjudicate
Agrarian Reform matters à Department of Agrarian
Reform
G Should a party directly file a case with the regular
court and the pleading alleges that the case is agrarian
in nature and one of the parties is a farmer, farmworker,
or tenant, the Court SHOULD NOT DISMISS the case.
N Instead, it should refer the matter to the DAR for
the purpose of determining whether an
agrarian dispute exists.
The aggrieved party has 15 days to appeal the
ruling of the DAR to the:
Regional Trial Court For Cases referred by
the Municipal Trial
Court or the
prosecutor’s office
Court of Appeals For Cases referred by
the Regional Trial Court
Legal Personality of Unregistered Associations Cannot Be
Challenged
” Courts can still entertain complaints or petitions
filed by unregistered associations or cooperatives
composed of agrarian reform beneficiaries despite
the fact that they are not incorporated with the
Securities and Exchange or registered with the
Cooperative Development Authority.
Section 51. Finality of Determination. — Any case or
controversy before it shall be decided within thirty (30)
days after it is submitted for resolution. Only one (1)
motion for reconsideration shall be allowed. Any order,
ruling or decision shall be final after the lapse of fifteen
(15) days from receipt of a copy thereof.
G The aggrieved party can elevate the order or ruling of
the DAR to the Court of Appeals by way of a petition for
review on certiorari under Rule 43 of the Rules of Court.
Section 52. Frivolous Appeals. — To discourage frivolous
or dilatory appeals from the decisions or orders on the
local or provincial levels, the DAR may impose
reasonable penalties, including but not limited to fines or
censures upon erring parties.
à As to what is a FRIVOLOUS or DILATORY APPEAL is a
factual matter which should be decided according to
the surrounding facts and circumstances.
Section 53. Certification of the BARC. — The DAR shall not
take cognizance of any agrarian dispute or controversy
unless a certification from the BARC that the dispute has
been submitted to it for mediation and conciliation
without any success of settlement is presented:
provided, however, that if no certification is issued by the
BARC within thirty (30) days after a matter or issue is
Agrarian Law Atty. Joyrich Golangco
submitted to it for mediation or conciliation the case or
dispute may be brought before the PARC.
Prerequisite to Filing of a Complaint before the DARAB
þ There should be a presentation of the
certification from the Barangay Agrarian
Reform Committee (BARC) of the
barangay where the land involved is
located, to the effect that the dispute has
been submitted without any success of
settlement.
BARC Certification is not necessary in the following
cases:
(1) Where the issue involves the valuation of land
to determine just compensation for its
acquisition;
(2) Where one party is a public or private
corporation, partnership, association or
juridical person, or a public officer or
employee and the dispute relates to the
performance of his official functions;
(3) Where the Secretary of the Department of
Agrarian Reform directly refers the matter to the
DARAB or the Adjudicator; or
(4) Where the MARO or, in his absence the Senior
Agrarian Reform Program Technologist or
Agrarian Reform Program Technologist certifies
the non-existence of the BARC or the inability
of the BARC to convene.
BARC Certification Not Needed in Judicial Determination
of Just Compensation
ë BARC is needed only for cases filed before the
DARAB.
r It is not needed in petitions filed with
the special agrarian courts for
determination of just compensation
§ Reason: The jurisdiction of
Special Agrarian Courts
over petitions for
determination of just
compensation is original
and exclusive.
CHAPTER XIII
JUDICIAL REVIEW
Section 54. Certiorari. — Any decision, order, award or
ruling of the DAR on any agrarian dispute or on any
matter pertaining to the application, implementation,
enforcement, or interpretation of this Act and other
pertinent laws on agrarian reform may be brought to the
Court of Appeals by certiorari except as otherwise
provided in this Act within fifteen (15) days from the
receipt of a copy thereof.
The findings of fact of the DAR shall be final and
conclusive if based on substantial evidence.
à The remedy from an adverse ruling of the DAR is to file
a petition for review on certiorari under Rule 43 of the
Rules of Court within 15 days from notice of the ruling.
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
9
Section 55. No Restraining Order or Preliminary
Injunction. — Except for the Supreme Court, no court in
the Philippines shall have jurisdiction to issue any
restraining order or writ of preliminary injunction against
the PARC, the DAR, or any of its duly authorized or
designated agencies in any case, dispute or controversy
arising from, necessary to, or in connection with the
application, implementation, enforcement, or
interpretation of this Act and other pertinent laws on
agrarian reform.
The Import of the Law
o What Section 55 seeks to prohibit is the
issuance of restraining orders or injunctions
against the proceedings before the DAR or the
Presidential Agrarian Reform Council (PARC) so
as not to disrupt the smooth implementation of
the agrarian reform program.
Ê But once a ruling is rendered and the
aggrieved party brings the matter to
the proper courts, the prohibition will
NO longer apply.
§ In such a situation, the court
can issue a restraining order
or injunction as an ancillary
relief, particularly when
jurisdictional error or grave
abuse of discretion was
committed in rendering the
ruling.
Section 56. Special Agrarian Court. — The Supreme
Court shall designate at least one (1) branch of the
Regional Trial Court (RTC) within each province to act as
a Special Agrarian Court.
The Supreme Court may designate more
branches to constitute such additional Special Agrarian
Courts as may be necessary to cope with the number of
agrarian cases in each province.n the designation, the
Supreme Court shall give preference to the Regional Trial
Courts which have been assigned to handle agrarian
cases or whose presiding judges were former judges of
the defunct Court of Agrarian Relations.
The Regional Trial Court (RTC) judges assigned
to said courts shall exercise said special jurisdiction in
addition to the regular jurisdiction of their respective
courts.
The Special Agrarian Courts shall have the powers and
prerogatives inherent in or belonging to the Regional
Trial Courts.
† The RTC should specifically be designated by the
Supreme Court as a Special Agrarian Court.
Land Bank v. Villegas: Regional Trial Courts
which have not been designated as special
agrarian courts cannot hear petitions for
determination of just compensation even if the
land subject of such cases happen to be within
their territorial jurisdiction.
Section 57. Special Jurisdiction. — The Special Agrarian
Courts shall have original and exclusive jurisdiction over
K. Ann Uy x C. Santiago x C. Aurea
Agrarian Law
all petitions for the determination of just compensation
to landowners, and the prosecution of all criminal
offenses under this Act. The Rules of Court shall apply to
all proceedings before the Special Agrarian Courts,
unless modified by this Act.
The Special Agrarian Courts shall decide all
appropriate cases under their special jurisdiction within
thirty (30) days from submission of the case for decision.
In addition to their
vested jurisdiction,
the SAC are
conferred original
and exclusive Petitions for the
jurisdiction to hear determination of just
and decide: compensation to
Additional landowners
Jurisdiction of the
SAC
Criminal Violations of
the CARL
Section 6, Rule XIX of the 2009 DARAB Rules of Procedure
à The party who disagrees with the decision of the
Adjudicator may contest the same by filing an original
action with the Special Agrarian Court having jurisdiction
over the subject property within fifteen days from his
receipt of the Adjudicator’s decision.
Section 58. Appointment of Commissioners. — The
Special Agrarian Courts, upon their own initiative or at
the instance of any of the parties, may appoint one or
more commissioners to examine, investigate and
ascertain facts relevant to the dispute including the
valuation of properties, and to file a written report
thereof with the court.
Objections of the Commissioner’s Report
6 Under the Rule 32 of the Rules of Court, a party has
TEN days within which to signify grounds for
objections to the findings of the report.
¼ Upon expiration of the 10-day period, the matter will
be set for hearing after which the court will issue an
order adopting, modifying or rejecting the report in
whole or in part.
Section 59. Orders of the Special Agrarian Courts. — No
order of the Special Agrarian Courts on any issue,
question, matter or incident raised before them shall be
elevated to the appellate courts until the hearing shall
have been terminated and the case decided on the
merits.
r Interlocutory orders of the Special Agrarian
Court cannot be challenged before the higher
court until the case is decided on the merits.
o Purpose: To expedite the resolution of
agrarian disputes.
Section 60. Appeals. — An appeal may be taken from
the decision of the Special Agrarian Courts by filing a
petition for review with the Court of Appeals within
fifteen (15) days receipt of notice of the decision;
otherwise, the decision shall become final.
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
Atty. Joyrich Golangco 10
An appeal from the decision of the Court of
Appeals, or from any order, ruling or decision of the DAR,
as the case may be, shall be by a petition for review with
the Supreme Court within a non-extendible period of
fifteen (15) days from receipt of a copy of said decision.
Remedy from Adverse Decision of the Special Agrarian
Court
† The remedy from an adverse decision
rendered by the Regional Trial Court acting as
Special Agrarian Court is appeal via petition for
review under Rule 43 of the Rules of Court, and
not an ordinary appeal.
† This is so even if Special Agrarian Courts are not
mentioned in Rule 43 of the Rules of Court.
Land Bank v. De Leon
¨ “xxx the failure to mention Special Agrarian
Courts in Section 1 of Rule 43 of the Revised
Rules of Civil Procedure cannot be construed
to mean that a petition for review is not
permissible for decisions of the said special
courts. In fact, the said Rule is not relevant to
determine whether a petition for review is the
proper mode of appeal from decisions of
Regional Trial Courts in agrarian cases, that is,
when they act as Special Agrarian Courts.
Section 1 of Rule 43 of the 1997 Revised Rules
of Civil Procedure merely mentions the Court of
Tax Appeals and the other different quasi-
judicial agencies without exclusivity in its
phraseology. Such omission cannot be
construed to justify the contention that a
petition for review is prohibited for decisions on
special agrarian cases inasmuch as the
category is for quasi-judicial agencies and tax
courts to which the Regional Trial Courts do not
properly belong. Although Supreme Court
Circular No. 1-91 (precursor to Rule 43 of the
Revised Rules of Civil Procedure) included the
decisions of Special Agrarian Courts in the
enumeration requiring petition for review, its
non-inclusion later on in Rule 43 merely signifies
that it was inappropriately classified as a quasi-
judicial agency.”
¨ What is indisputable is that Section 60 expressly
regards a petition for review as the proper way
of appealing decisions of agrarian courts. So
far, there is no rule prescribed by this Court
expressly disallowing the said procedure.
Remedy from • is appeal by certiorari with the
Adverse Decision Supreme Court under Rule 45 of
of the Court of the Rules of Court, within 15 days
Appeals from notice.
• Section 60 of the CARL provides
The 15-day
for the non-extendible period of
period is non-
the filing of the petition for review
extendible
with the Supreme Court.
K. Ann Uy x C. Santiago x C. Aurea
Agrarian Law Atty. Joyrich Golangco
Section 61. Procedure on Review. — Review by the Court
of Appeals or the Supreme Court, as the case may be,
shall be governed by the Rules of Court. The Court of
Appeals, however, may require the parties to file
simultaneous memoranda within a period of fifteen (15)
days from notice, after which the case is deemed
submitted for decision.
Applicability of the Rules of Court
† On appeal, the procedure outlined in the Rules
of Court will govern.
† To expedite the proceedings, the Court can
just require the parties to submit the
simultaneous memorandum within 15 days
after which the case will be deemed submitted
for decision.
Section 62. Preferential Attention in Courts. — All courts in
the Philippines, both trial and appellate, shall give
preferential attention to all cases arising from or in
connection with the implementation of the provisions of
this Act.
All cases pending in court arising from or in
connection with the implementation of this Act shall
continue to be heard, tried and decided into their
finality, notwithstanding the expiration of the ten-year
period mentioned in Section 5 hereof.
à Considering the nature of an agrarian case, it is
imperative that the case be decided with expeditiously
for the benefit of both the agrarian reform beneficiary
and the landowner who is entitled to prompt payment
of just compensation.
CHAPTER XIV
FINANCING
Section 63. Funding Source. — The amount needed to
further implement the CARP as provided in this Act, until
June 30, 2014, upon expiration of funding under
Republic Act No. 8532 and other pertinent laws, shall be
funded from the Agrarian Reform Fund and other
funding sources in the amount of at least One hundred
fifty billion pesos (P150,000,000,000.00).
Additional amounts are hereby authorized to
be appropriated as and when needed to augment the
Agrarian Reform Fund in order to fully implement the
provisions of this Act during the five (5)-year extension
period.
Sources of funding or appropriations shall
include the following:
(a) Proceeds of the sales of the Privatization and
Management Office (PMO);
(b) All receipts from assets recovered and from sales of
ill-gotten wealth recovered through the PCGG
excluding the amount appropriated for compensation
to victims of human rights violations under the
applicable law;
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
11
(c) Proceeds of the disposition and development of the
properties of the Government in foreign countries, for the
specific purposes of financing production credits,
infrastructure and other support services required by this
Act;
(d) All income and collections of whatever form and
nature arising from the agrarian reform operations,
projects and programs of the DAR and other CARP
implementing agencies;
(e) Portion of amounts accruing to the Philippines from
all sources of official foreign aid grants and concessional
financing from all countries, to be used for the specific
purposes of financing productions, credits,
infrastructures, and other support services required by
this Act;
(f) Yearly appropriations of no less than Five billion pesos
(P5,000,000,000.00) from the General Appropriations Act;
(g) Gratuitous financial assistance from legitimate
sources; and
(h) Other government funds not otherwise appropriated.
All funds appropriated to implement the
provisions of this Act shall be considered continuing
appropriations during the period of its implementation:
Provided, That if the need arises, specific amounts for
bond redemptions, interest payments and other existing
obligations arising from the implementation of the
program shall be included in the annual General
Appropriations Act: Provided, further, That all just
compensation payments to landowners, including
execution of judgments therefor, shall only be sourced
from the Agrarian Reform Fund: Provided, however, That
just compensation payments that cannot be covered
within the approved annual budget of the program shall
be chargeable against the debt service program of the
national government, or any unprogrammed item in the
General Appropriations Act: Provided, finally, That after
the completion of the land acquisition and distribution
component of the CARP, the yearly appropriation shall
be allocated fully to support services, agrarian justice
delivery and operational requirements of the DAR and
the other CARP implementing agencies.
Funding of Just Compensation
‘ The just compensation payments to
landowners can only be sourced from the
Agrarian Reform Fund.
‘ If the annual budget for the agrarian reform
fund is NOT SUFFICIENT, the just compensation
payments shall be charged against the debt
service program of the national government,
or any unprogrammed item in the Genera
Appropriations Act.
Section 64. Financial Intermediary for the CARP. — The
Land Bank of the Philippines shall be the financial
intermediary for the CARP, and shall insure that the social
justice objectives of the CARP shall enjoy a preference
K. Ann Uy x C. Santiago x C. Aurea
Agrarian Law Atty. Joyrich Golangco 12

among its priorities. CONVERSION RECLASSIFICATION

The act of changing the The act of specifying

current use of a piece of how agricultural lands
Financial Arm of the agricultural land into shall be utilized for non-
Agrarian Reform
Program some other use as agricultural uses such as
approved by the residential, industrial and
Department of Agrarian commercial, as
The determination of just
compensation under the Reform. embodied in the land
Role of the Land Bank CARL commences with use plan, subject to the
Land Bank determining
the value of the lands. requirements and
procedures for land use
Using Land Bank's conversion.
valuation, the
Department of Agrarian
Reform makes an offer to
the landowner.

A mere
He has to undergo
reclassification of an
CHAPTER XV agricultural land
the process of
conversion before he
GENERAL PROVISIONS does not
is permitted to use
automatically allow
the agricultural land
the landowner to
for other purposes.
change its use.
Section 65. Conversion of Lands. — After the lapse of five
(5) years from its award, when the land ceases to be
economically feasible and sound for agricultural
purposes, or the locality has become urbanized and the Effect of
Reclassification
land will have a greater economic value for residential,
commercial or industrial purposes, the DAR, upon
application of the beneficiary or the landowner with
respect only to his/her retained area which is tenanted,
with due notice to the affected parties, and subject to
existing laws, may authorize the reclassification or Scope of DAR’s Conversion Authority
conversion of the land and its disposition: Provided, That Sta. Rosa Realty v. Court of Appeals: Agricultural lands
if the applicant is a beneficiary under agrarian laws and that were already or reclassified as non-agricultural prior
the land sought to be converted is the land awarded to to June 15, 1998 does not require any conversion
him/her or any portion thereof, the applicant, after the clearance or authority from the DAR because the said
conversion is granted, shall invest at least ten percent lands are not covered by the agrarian reform program.
(10%) of the proceeds coming from the conversion in
government securities: Provided, further, That the CREBA v. Secretary of Agrarian Reform
applicant upon conversion shall fully pay the price of the
land: Provided, furthermore, That irrigated and irrigable ¨ The authority of the DAR to approve or
lands, shall not be subject to conversion: Provided, disapprove conversion of agricultural land into
finally, That the National Irrigation Administration shall residential, commercial or industrial use can
submit a consolidated data on the location nationwide only be exercised after the effectivity of RA
of all irrigable lands within one (1) year from the 6657 on June 15, 1998.
effectivity of this Act. ¨ After June 15, 1998, conversion approval is
necessary even if the land has been
Failure to implement the conversion plan within reclassified as non-agricultural by the local
five (5) years from the approval of such conversion plan government units or by way of Presidential
or any violation of the conditions of the conversion order Proclamation.
due to the fault of the applicant shall cause the land to ¨ Reclassification alone will not suffice to use the
automatically be covered by CARP. agricultural lands for non-agricultural purposes.
Conversion is needed to change the current
use of reclassified agricultural lands.
CONVERSION
à the act of changing the current use of a piece of
agricultural land into some other use, to wit:
Who can apply for conversion?
(a) For residential, commercial, industrial, and € The following can apply for land conversion:
other non-agricultural purposes;
(b) For another type of agricultural activity such as (a) The beneficiary; or
livestock, poultry and fishpond the effect of (b) The landowner with respect only to his retained
which is to exempt the land from CARP area which is tenanted
coverage; When is the proper time to file the application for
(c) For non-agricultural use other than that conversion?
previously authorized.

“When you keep fighting, you eventually learn how to win.”

- Jung Hoo, Healer K. Ann Uy x C. Santiago x C. Aurea
Agrarian Law Atty. Joyrich Golangco
¦ It can be filed after the lapse of FIVE years from the
award of the land.
Under what conditions can an application for conversion
be filed?
D The application for conversion can be filed if any of
the following conditions exist:
(i) When the land CEASES to be economically
feasible for agricultural purposes; or
(ii) When the locality has become urbanized and
the land will have a greater economic value for
residential, commercial or industrial purposes.
INVEST 10% of the
proceeds from the
conversion in
Beneficiary is government
Obligations of the
required to securities
beneficiary if the
application for
conversion is
approved
PAY the Land Bank
the FULL PRICE of the
land upon
conversion
Lands that Cannot Absolutely be subject to Conversion
(Section 4 of DAR A.O. No. 01-99)
(a) Agricultural lands within protected areas
designated under the National Integrated
Protected Areas System (NIPAS), including
watershed and recharged areas of acquifers,
as determined by the Department of
Environment and Natural Resources (DENR);
(b) All irrigated lands, as delineated by the
Department of Agriculture (DA) and/or the
National Irrigation Administration (NIA), where
water is available to support rice and other
crop production, and all irrigated lands where
water is not available for rice and other crop
production but are within areas programmed
for irrigation facility rehabilitation by the DA
and/or the NIA;
(c) All irrigable lands already covered by irrigation
projects with firm funding commitments, as
delineated by DA and/or NIA; and
(d) All agricultural lands with irrigation facilities
operated by private organizations.
Areas Highly Restricted from Conversion (Section 5 of
DAR A.O. No. 01-99)
(a) Irrigable lands not covered by irrigation
projects with firm funding commitment;
(b) Agro-industrial croplands, or lands presently
planted to industrial crops that support the
economic viability of existing agricultural
infrastructure and agro-based enterprises;
(c) Highlands or areas located in elevations of 500
meters or above and have the potential for
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
13
growing semi-temperate and usually high-
value crops;
(d) Lands issued with notice of land valuation and
acquisition, or subject of a perfected
agreement between the landowner and the
beneficiaries under the voluntary land
transfer/direct payment scheme (VLT/DPS)
under the Comprehensive Agrarian Reform
Program (CARP); and
(e) Environmentally critical areas (ECAs) as
determined by the DENR in accordance with
law.
à These lands are highly restricted from conversion
because they require, apart from the standard
requirements, a project of feasibility study and
environmental compliance certificate.
Effect of Failure to Implement the approved Conversion
Plan
If the approved the land will
conversion plan is continue to be
not implemented convered by the
within 5 years agrarian reform
from approval program
Section 65-A. Conversion into Fishpond and Prawn
Farms. – No conversion of public agricultural lands into
fishponds and prawn farms shall be made except in
situations where the provincial government with the
concurrence of the Bureau of Fisheries and Aquatic
Resources (BFAR) declares a coastal zone as suitable for
fishpond development. In such case, the Department of
Environment and Natural Resources (DENR) shall allow
the lease and development of such areas: Provided,
That the declaration shall not apply to environmentally
critical projects and areas as contained in title (A) sub-
paragraph two, (B-5) and (C-1) and title (B), number
eleven (11) of Proclamation No. 2146, entitled
Proclaiming Certain Areas and Types of Projects as
Environmentally Critical and Within the Scope of the
Environmental Impact Statement (EIS) System
established under Presidential Decree No. 1586,'” to
ensure the protection of river systems, aquifers and
mangrove vegetations from pollution and
environmental degradation: Provided, further. That the
approval shall be in accordance with a set of guidelines
to be drawn up and promulgated by the DAR and the
BFAR: Provided, furthermore, that small-farmer
cooperatives and organizations shall be given
preference in the award of the Fishpond Lease
Agreements (FLAs).
No conversion of more than five (5) hectares of
private lands to fishponds and prawn farms shall be
allowed after the passage of this Act, except when the
use of the land is more economically feasible and sound
for fishpond and/or prawn farm, as certified by the
Bureau of Fisheries and Aquatic Resources (BFAR), and a
simple and absolute majority of the regular farm workers
K. Ann Uy x C. Santiago x C. Aurea
Agrarian Law Atty. Joyrich Golangco
or tenants agree to the conversion, the Department of
Agrarian Reform, may approve applications for change
in the use of the land: Provided, finally, That no
piecemeal conversion to circumvent the provisions of
this Act shall be allowed. In these cases, where the
change of use is approved, the provisions of Section 32-
A hereof on incentives shall apply.
Conversion of Public Agricultural Lands to Fishponds
D Public agricultural lands can be converted into
fishponds and prawn farms ONLY when the coastal zone
is declared suitable for fishpond development by the
provincial government and Bureau of Fisheries and
Aquatic Resources.
þ If the condition is complied with, the DENR
can allow the lease and development of
the area.
Conversion of Private Agricultural Lands to Fishponds
General Rule: Private agricultural lands can be
converted into fishponds and prawn farms up to a
maximum area of FIVE hectares.
Exception: The DAR may approve the conversion of
more than FIVE hectares of agricultural land to fishponds
and prawn farms under the following conditions:
(1) When the use of the land is more economically
feasible and sound for fishpond and/or prawn
farm, as certified by the BFAR; and
(2) A simple and absolute majority of the regular
farm workers or tenants agree to the
conversion
Section 65-B. Inventory. – Within one (1) year from the
effectivity of this Act, the BFAR shall undertake and finish
an inventory of all government and private fishponds
and prawn farms, and undertake a program to promote
the sustainable management and utilization of prawn
farms and fishponds. No lease under Section 65-A hereof
may be granted until after the completion of the said
inventory.
The sustainable management and utilization of
prawn farms and fishponds shall be in accordance with
the effluent standards, pollution charges and other
pollution control measures such as, but not limited to, the
quantity of fertilizers, pesticides and other chemicals
used, that may be established by the Fertilizer and
Pesticide Authority (FPA), the Environmental
Management Bureau(EMB),and other appropriate
government regulatory bodies, and existing regulations
governing water utilization, primarily Presidential Decree
No. 1067, entitled “A Decree Instituting A Water Code,
Thereby Revising and Consolidating the Laws Governing
the Ownership, Appropriation, Utilization, Exploitation,
Development, Conservation and Protection of Water
Resources.
Purpose: The inventory of all government and private
fishponds and prawn farms will help the DAR monitor
unauthorized conversions of lands into fishponds and
prawn farms.
Section 65-C. Protection of Mangrove Areas. – In existing
Fishpond Lease Agreements (FLAs) and those that will be
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
14
issued after the effectivity of this Act, a portion of the
fishpond area fronting the sea, sufficient to protect the
environment, shall be established as a buffer zone and
be planted to specified mangrove species to be
determined in consultation with the regional office of the
DENR. The Secretary of Environment and Natural
Resources shall provide the penalties for any violation of
this undertaking as well as the rules for its
implementation.
Purpose: Intents to harmonize Agrarian Reform with
environmental laws.
Section 65-D. Change of Crops. – The change of crops
to commercial crops or high value crops shall not be
considered as a conversion in the use or nature of the
land. The change in crop should however, not prejudice
the rights of tenants or leaseholders should there be any
and the consent of a simple and absolute majority of the
affected farm workers, if any, shall first be obtained.
Change of Crops does not Need DAR Approval
Considering that change of crops to commercial crops
or high value crops is not considered as a conversion in
the use or nature of the land, approval of DAR is not
required.
Section 66. Exemptions from Taxes and Fees of Land
Transfers. — Transactions under this Act involving a
transfer of ownership, whether from natural or juridical
persons, shall be exempted from taxes arising from
capital gains. These transactions shall also be exempted
from the payment of registration fees, and all other taxes
and fees for the conveyance or transfer thereof;
provided, that all arrearages in real property taxes,
without penalty or interest, shall be deductible from the
compensation to which the owner may be entitled.
) Deeds of transfer of ownership to agrarian reform
beneficiaries, whether voluntary transfer or
compulsory acquisition are EXEMPT from capital
gains tax and other taxes.
Section 67. Free Registration of Patents and Titles. — All
Registers of Deeds are hereby directed to register, free
from payment of all fees and other charges, patents,
titles and documents required for the implementation of
the CARP.
) Lands acquired by AR beneficiaries and those
registered by the landowner are EXEMPTED from
transfer fees, registration fees, etc.
Section 68. Immunity of Government Agencies from
Undue Interference. — In cases falling within their
jurisdiction, no injunction, restraining order, prohibition or
mandamus shall be issued by the regional trial courts,
municipal trial courts, municipal circuit trial courts, and
metropolitan trial courts against the DAR, the DA, the
DENR, and the Department of Justice in their
implementation of the Program.
K. Ann Uy x C. Santiago x C. Aurea
Agrarian Law Atty. Joyrich Golangco 15

Purpose of law in prohibiting lower courts from issuing

When bank or financial When bank or FI is
injunction: Ensure the unhampered, speedy and smooth deemed as Lien-Holder
institution is deemed as
implementation of agrarian reform program.
the new landowner If on the date the land
transfer claim was
Section 69. Assistance of Other Government Entities. — a)The bank or financial received by the LBP
The PARC, in the exercise of its functions, is hereby institution is the from the DAR:
authorized to call upon the assistance and support of purchaser in the
other government agencies, bureaus and offices, foreclosure sale and a)Mortgage debt is not
including government-owned or -controlled the redemption yet due and
corporations. period, as provided by demandable; or
law, has already b)Mortgage debt is
expired in cases where already due and
) This emphasizes the utmost importance given by the
the right of demandable but the
government to the agrarian reform program. redemption exists; or bank or FI has not
b)The bank or financial foreclosed on the
Section 70. Disposition of Private Agricultural Lands. — institution is the property; or
The sale or disposition of agricultural lands retained by a purchaser in the c)Mortgage debt has
landowner as a consequence of Section 6 hereof shall foreclosure sale and already been
be valid as long as the total landholdings that shall be said foreclosure sale is foreclosed but the
owned by the transferee thereof inclusive of the land to confirmed by the period to exercise the
be acquired shall not exceed the landholding ceilings court in cases where right of redemption in
only equity of cases provided by law
provided for in this Act. redemption is has not yet expired or
Any sale or disposition of agricultural lands after the provided. the foreclosure sale
effectivity of this Act found to be contrary to the has not yet been
provisions hereof shall be null and void. confirmed by the
Transferees of agricultural lands shall furnish the court in cases where
appropriate Register of Deeds and the BARC an affidavit there is only equity of
attesting that his total landholdings as a result of the said redemption.
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.
Rights and Privileges of
Rights and Privileges of
Affidavit of aggregate Landholding –– Requirement for the Bank or FI as Lien-
the Bank or FI as LO
Registration Holder
Aside from the normal requirements for registration, the 1)Receive all notices,
buyer of an agricultural land is required, as a condition advices, •Receive payment for
for registration of title, to submit to ROD an affidavit of correspondence, and the obligation of the
all other mortgagor from the
aggregate landholding (with confirmation from
communications from land transfer proceeds
Assessor’s Office) in order to ensure that the landholding DAR or LBP such as but up to an amount
does not exceed 5hec limit. not limited to, notice of equivalent to the LO's
coverage, Notice of compensation value;
Section 71. Bank Mortgages. — Banks and other financial Land Valuation and •Receive notices,
institutions allowed by law to hold mortgage rights or Acquisition, Letter- advices, and all other
security interests in agricultural lands to secure loans and Requirement for communications
other obligations of borrowers, may acquire title to these Processing and pertaining to the
Payment of Claim, etc.; obligation of LO-debtor,
mortgaged properties, regardless of area, subject to
2)Transact with DAR or LB i.e. mortgagor
existing laws on compulsory transfer of foreclosed assets
regarding all aspects of
and acquisition as prescribed under Section 13 of this the subject land transfer
Act. claim to the exclusion of
all other persons;
3)Be named as the
recipient of all cash and
bond deposits;
4)Receive all the
proceeds of the subject
land transfer claim less
deductions to which the
land may be liable.

“When you keep fighting, you eventually learn how to win.”

- Jung Hoo, Healer K. Ann Uy x C. Santiago x C. Aurea
Agrarian Law Atty. Joyrich Golangco 16

themselves of the rights and benefits of the Agrarian

Obligations of B&FI as LO
•Comply with all the
requirements for the
processing and
payment of the claim
such as the surrender of
the owner;s duplicate
copy of title
•Sign all land transfer
documents required as
a consequence of the
processing and
payment of the land
transfer claim such as:
Deef of assignment,
warranties and
undertaking, deed of
transfer, deed of
confirmation of
coverage and transfer,
etc.
Obligations of B&FI as
Lien-Holder
•Issue a release of
mortgage or execute a
deed of redemption
and deliver the owner's
duplicate of title after
payment of the value of
the lien; and
•Sign all other documents
necessar to effect the
cancellation of the
mortgage
Reform Program;
(c) Any conversion by any landowner of his/her
agricultural land into any non-agricultural use with intent
to avoid the application of this Act to his/her
landholdings and to dispossess his/her bonafide tenant
farmers;
(d) The malicious and willful prevention or obstruction by
any person, association or entity of the implementation
of the CARP;
(e) The sale, transfer, conveyance or change of the
nature of lands outside of urban centers and city limits
either in whole or in part after the effectivity of this Act,
except after final completion of the appropriate
conversion under Section 65 of Republic Act No. 6657,
as amended. The date of the registration of the deed of
conveyance in the Register of Deeds with respect to
titled lands and the date of the issuance of the tax
declaration to the transferee of the property with
respect to unregistered lands, as the case may be, shall
be conclusive for the purpose of this Act;

(f) The sale, transfer or conveyance by a beneficiary of

Section 72. Lease, Management, Grower or Service
Contracts, Mortgages and Other Claims. — Lands
covered by this Act under lease, management, grower
or service contracts, and the like shall be disposed of as
follows:
(a) Lease, management, grower or service contracts
covering private lands may continue under their original
terms and conditions until the expiration of the same
even if such land has, in the meantime, been transferred
to qualified beneficiaries.
(b) Mortgages and other claims registered with the
Register of Deeds shall be assumed by the government
up to an amount equivalent to the landowner's
compensation value as provided in this Act.
Term of Contractual Arrangements will be Respected
If at any time when the land was placed under agrarian
reform coverage, any contract of lease, mngt contract,
grower or service contracts, will be respected until their
expiry notwithstanding the fact that the land has already
been transferred to the beneficiaries.
Debts Secured by Mortgage on Land
If the land subject of AR coverage has been mortgaged,
the government will assume the obligation in an amount
not exceeding what the LO would receive as just
compensation for the land.
Section. 73. Prohibited Acts and Omissions. — The
following are prohibited:
the right to use or any other usufructuary right over the
land he/she acquired by virtue of being a beneficiary, in
order to circumvent the provisions of this Act;
(g) The unjustified, willful, and malicious act by a
responsible officer or officers of the government through
the following: " (1) The denial of notice and/or reply to
landowners;
(2) The deprivation of retention rights;
(3) The undue or inordinate delay in the preparation of
claim folders; or
(4) Any undue delay, refusal or failure in the payment of
just compensation;
(h) The undue delay or unjustified failure of the DAR, the
LBP, the PARC, the PARCCOM, and any concerned
government agency or any government official or
employee to submit the required report, data and/or
other official document involving the implementation of
the provisions of this Act, as required by the parties or the
government, including the House of Representatives
and the Senate of the Philippines as well as their
respective committees, and the congressional oversight
committee created herein;
(i) The undue delay in the compliance with the
obligation to certify or attest and/or falsification of the
certification or attestation as required under Section 7 of
Republic Act No. 6657, as amended; and "(j) Any other
culpable neglect or willful violations of the provisions of
this Act.

(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;
In the case of government officials and
employees, a conviction under this Act is without
prejudice to any civil case and/or appropriate
administrative proceedings under civil service law, rules
and regulations.

(b) The forcible entry or illegal detainer by persons who

are not qualified beneficiaries under this Act to avail

“When you keep fighting, you eventually learn how to win.”

- Jung Hoo, Healer K. Ann Uy x C. Santiago x C. Aurea
Agrarian Law Atty. Joyrich Golangco
Any person convicted under this Act shall not
be entitled to any benefit provided for in any agrarian
reform law or program.
Criminal Violations:
1) Ownership or possession of agricultural lands in
excess of the total retention limits or award
ceilings if done for the purpose of
circumventing the provisions of the CARL;
2) Forcible entry or illegal detainer by persons
who are not qualified beneficiaries under
CARL; if done to avail the rights and benefits of
the AR program;
3) Conversion of agricultural land to non-
agricultural use if done with the intent to avoid
the application of the CARL to his landholdings
and to dispossess his bona fide tenant farmers;
4) Malicious ad willful prevention or obstruction of
the implementation of CARP;
5) Sale, transfer, conveyance or change of the
nature of lands outside of urban centers and
city limits either in whole or in part after the
effectivity if CARL except after final completion
of appropriate conversion under Sec. 65 of RA
6657, as amended;
6) Sale, transfer or conveyance by a beneficiary
of the right to use or any other usufructuary
right over the land he required by virtue of
being a beneficiary if done to circumvent the
provisions if CARL;
7) Unjustified, willful and malicious act by a
responsible officer/s of government thru the ff:
a. Denial of notice and/or reply to LO;
b. Deprivation of retention rights;
c. Undue or inordinate delay in the
preparation of claim folders; or
d. Undue delay, refusal or failure in the
payment of JC
8) Undue delay or unjustified failure by any
concerned government agency or any
government official or employee to submit the
required report, data and/or other official
documents involving the implementation of
the provisions of the CARL s required by the
parties or the government;
9) Undue delay in the compliance with the
obligation to certify or attest and/or
falsification of the certification or attestation as
required under Sec. 7 of RA 6657, as amended;
10) Any other culpable neglect or willful violations
of the provisions of this act
Section 73-A. Exception. –The provisions of Section 73,
paragraph (E), to the contrary notwithstanding, the sale
and/or transfer of agricultural land in cases where such
sale, transfer or conveyance is made necessary as a
result of a bank’s foreclosure of the mortgaged land is
hereby permitted.
) The sale or transfer of a mortgaged agricultural land
as a result of a bank’s foreclosure is NOT a criminal
violation of the CARL.
Section 74. Penalties. — Any person who knowingly or
willfully violates the provisions of this Act shall be
“When you keep fighting, you eventually learn how to win.”
- Jung Hoo, Healer
17
punished by imprisonment of not less than one (1) month
to not more than three (3) years or a fine of not less than
One thousand pesos (P1,000.00) and not more than
Fifteen thousand pesos (P15,000.00), or both, at the
discretion of the court: Provided, That the following
corresponding penalties shall be imposed for the
specific violations hereunder:
(a) Imprisonment of three (3) years and one (1) day to
six (6) years or a fine of not less than Fifty thousand pesos
(P50,000.00) and not more than One hundred fifty
thousand pesos (P150,000.00), or both, at the discretion
of the court upon any person who violates Section 73,
subparagraphs (a), (b), (f), (g), and (h) of Republic Act
No. 6657, as amended; and
(b) Imprisonment of six (6) years and one (1) day to
twelve (12) years or a fine of not less than Two hundred
thousand pesos (P200,000.00) and not more than One
million pesos (P1,000,000.00), or both, at the discretion of
the court upon any person who violates Section 73,
subparagraphs (c), (d), (e), and (i) of Republic Act No.
6657, as amended.
If the offender is a corporation or association,
the officer responsible therefor shall be criminally liable.
Section 75. Suppletory Application of Existing Legislation.
— The provisions of Republic Act No. 3844 as amended,
Presidential Decree Nos. 27 and 266 as amended,
Executive Order Nos. 228 and 229, both Series of 1987;
and other laws not inconsistent with this Act shall have
suppletory effect.
Section 76. Repealing Clause. — Section 35 of Republic
Act No. 3834, Presidential Decree No. 316, the last two
paragraphs of Section 12 of Presidential Decree No. 946,
Presidential Decree No. 1038, and all other laws, decrees
executive orders, rules and regulations, issuances or
parts thereof inconsistent with this Act are hereby
repealed or amended accordingly.
Section 77. Separability Clause. — If, for any reason, any
section or provision of this Act is declared null and void,
no other section, provision, or part thereof shall be
affected and the same shall remain in full force and
effect.
Section 78. Effectivity Clause. — This Act shall take effect
immediately after publication in at least two (2) national
newspapers of general circulation.
K. Ann Uy x C. Santiago x C. Aurea