NATRES

Natural Resources

Refer to material objects of economic value and utility to man produced by nature

Constitutes the patrimony of the nation

Sec. 2, Art. 12 of the 1987 Constitution

All lands of the public domain, waters, minerals, coal, petroleum, and other mineral oils, all forces of potential enerfy, fisheries, forests or timber, wildlife, flora and fauna, and other natural resources are owned by the State. With the exception of agricultural lands, all natural resources shall not be alienated. The exploration, development, and utilization of natural resources shall be under the full control of the state. The state may enter into co-production, joint venture or production sharing agreements with Filipino citizens, or corporations or associations at least 60 percentum of whose capital is owned by such citizens. Such agreements may be for a period not exceeding 25 years, renewable for not more than 25 years, and such terms and conditions as may be provided by law. in cases of water rights for irrigation, water supply, fisheries, or industrial uses other than the development of water power, beneficial use may be the measure and limit of the grant.

The state shall protect the nation’s marine wealth in its archipelagic waters, territorial sea, and exclusive economic zone, and reserve its use and enjoyment exclusively to Filipino citizens.

The Congress may, by law, allow small-scale utilization of natural resources by Filipino citizens, as well as cooperative fish farming, with priority subsistence fishermen and fishworkers in rivers, lakes, bays and lagoons.

The President may enter into agreements with foreign-owned corporations involving either technical or financial assistance for large scale exploration, development and utilization of minerals, petroleum and other mineral oils according to the general terms and conditions provided by law, based on real contributions to the economic growth and general welfare of the country. In such agreements, the State shall promote the development and use of local scientific and technical resources.

The President shall notify the Congress of every contract entered into in accordance with this provision, within 30 days from its execution.

Lands of the public domain; how classified

Sec. 3, Art. 12 of the 1987 Constitution

Lands of the public domain are classified into agricultural, forest or timber, mineral lands, and national parks. Agricultural lands of the public domain may be further classified according to the uses to which they may be devoted. Alienable lands of the public domain shall be limited to agricultural lands. Private corporations or associations may not hold such alienable lands of the public

domain except by lease, for a period not exceeding 25 years, renewable for not more than 25 years, and not to exceed 1,000 hectares in area. Citizens of the Philippines may lease not more than 500 hectares, or acquire not more than 12 hectares thereof by purchase, homestead, or grant.

Taking into account the requirements of conservation, ecology and development, and subject to the requirements of agrarian reform, the Congress shall determine, by law, the size of lands of the public domain which may be acquired, developed, held or leased and the conditions thereof.

Note:

Agricultural lands of the public domain may be further classified according to their use:

o Agriculturalo Residential, commercial, industrial, or for

similar productive purposeso Educational, charitable, or other similar

purposeso Reservations for town sites and for public

and quasi-public uses The President is empowered to make the

classifications and transfer lands from one class to another.

Alienable public land held openly, continuously and exclusively for the prescribed period is converted to private property by mere lapse or completion of said period ipso jure.

But if it is a forest/timber land, or forest reserve, it is not capable of private appropriation, and possession thereof, however long, cannot convert them into private property.

Mineral, timber or forest lands are not subject to private ownership unless they are first classified as agricultural lands and so released for alienation

Classification of public lands is an exclusive prerogative of the Exec Dept of the Govt and not of the courts.

Public agricultural lands

Is neither timber nor mineral lands, and is susceptible to cultivation for agricultural purposes.

Any parcel of land or building lot whenever susceptible to cultivation and may be converted into a field and planted with vegetation, or where such land is not mining nor forest in its nature.

Public forests

A large tract of land covered with a natural growth of trees and underbrush; a large wood

A certain territory of wooden ground and fruitful pastures, privileged for wild beasts and fowls.

Note:

MIA UNABIA – PROUD PORTIAN

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Any patent or title issued by the Director of Lands to private parties is void ab initio for lack of jurisdiction

Granting that Torrens title can no longer be reopened under the LRA, still the land covered thereby may be reconveyed to the State in an action for reconveyance.

Mineral lands

Necessary to show that it is more valuable for mining purposes than for anything else

Mining operation on such land must be profitable enough, such that where the costs to develop and extract the minerals therefrom would be more than the proceeds that could be realized upon the disposition of the minerals produced

Lands containing deposits of valuable, useful or precious minerals in such quantities as to justify expenditures in the effort to extract them, and which are more valuable for the minerals they contain than for agricultural or other uses.

Presumption as to Nature of particular lands

Land may be classified as forest or mineral today, and after the exhaustion of the timber or minerals contained therein may be classified as agricultural land tomorrow.

In case of doubt and considering that it is a matter of public knowledge that a majority of the lands in the Phils are agricultural lands, it was rightly held that in the absence of evidence to the contrary any land may be presumed to be agricultural.

One reason given for this presumption is that it is good for the country to have the large public domain come under private ownership.

Another reason is that since it is a matter of public knowledge that a majority of the lands in the Phils are agricultural lands, it follows that the courts have a right to presume, in lieu of contrary proof, that lands are agricultural in nature.

Meaning of Full Control

Alienable lands can still be leased, but inalienable lands can only be developed and utilized directly by the state in conjunction with qualified individuals or corporations by way of co-production, joint venture or production sharing.

Public Lands

Chapter 1. Alienable and Disposable Lands in General

Meaning of Public Lands

Lands of the public domain as are subject to alienation and disposal by the state in accordance with the PLA.

Officers charged with the Administration of Public Lands

The chief executive charged to carry out the provisions of the PLA is the Sec. of Natural Resources

Under his supervision thru whom he may act is the Dir. of Lands who is especially charged with the direct exec control over:

o Surveyso Classificationo Leaseso Saleso And other forms of concession or

disposition and management of public lands The decisions of the Dir of Lands as to questions of

facts are conclusive when approved by the Sec. The Dir of Lands is, by law, a quasi-judicial officer

Reversion of land acquired through fraud

The doctrine of indefeasibility of Torrens tilte does not bar the filing of an action for cancellation of title and reversion of land even if more than 1 year as elapsed from the issuance of the free patent in case of fraud in obtaining it

Public policy demands that one who obtains title to a public land through fraud should not be allowed to benefit therefrom

Classification of Alienable ad Disposable Lands

Agricultural (farmland) Residential, commercial, industrial or for similar

productive purposes Educational, charitable or other similar purposes Reservations for town sites and for public and quasi-

public uses

Prerequisites of disposition

Before any public land may be alienated or disposed of, it is indispensable that there be a formal declaration by the Pres upon recommendation of the Sec. of Environment and Natural Resources, to the effect that such lands are open to disposition or concession, and whenever practicable the lands should have been previously surveyed.

Lands which have been reserved for public or quasi-public uses, as well as those appropriated by the govt or in any manner have become private property or subject to private right, cannot be included among those to be declared open to disposition or concession

Alienation, disposition or concession – any of the methods authorized by the said law for the acquisition, leases, use or benefit of the lands of the public domain other than timber or mineral land.

Modes of disposition


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Public lands suitable for agricultural purposes can be disposed of only as follows:

o For homestead settlemento By saleo By leaseo By confirmation of imperfect or incomplete

title By judicial legalization By administrative legalization (free

patent)

Application for grant of public land

All applications for public land grants or concessions are to be addressed to the Dir. Of Lands, made under oath, and must set forth:

o The full name of the applicant, his age, palce of birth, citizenship, civil status, and post-office address. If applicant is a corporation, association or co-partnership, it I necessary to accompany it with its articles of incorporation, association or co-partnership, together with an affidavit giving the names of stockholders or members, their citizenship, and the amount of shares subscribed by each

o That the applicant has all the legal qualifications and none of the disqualifications

o That the application is made for the actual purpose of using the land accdg to the object specified therein and for no other purpose, and that the land is suitable for the purpose contemplated

o That the application is made for the exclusive use of the applicant

o An accurate description of the land and its location

o Whether the land is occupied, cultivated or improved, and, if so, by whom and since when

o That the land applied for is not timber nor mineral land and does not contain guano or deposits of salt or coal

o That the applicant agrees that a strip of 40 meters wide from the bank on each side of any river or stream that may be found on the land applied for be demarcated and preserved as permanent timberland to be planted exclusively to trees of known economic value, and that applicant shall not make any clearing thereon or utilize the same for ordinary farming purposes.

Applicant required to work on land by himself

It is an essential condition in every application for, or grant of, agricultural lands of the public domain that the applicant or his transferee must enter and work upon, improve and cultivate the land by himself within the periods prescribed for the various modes of concession under the PLA

The employment or use of share tenants in whatever form for purposes of complying with the requirements of the law regarding entry, occupation, improvement and cultivation, is prohibited, and any violation thereof shall constitute a ground for the denial of the application, cancellation of the grant and forfeiture of improvements on the land in favor of the govt.

The lands thus forfeited may be disposed of to other qualified persons who will till such lands themselves

Agricultural lands originally tilled under the provisions of the PLA may be sold to individuals not otherwise disqualified, provided that it be an essential condition in such sale that the vendee shall cultivate the land himself and shall not employ or use share tenants for the purpose.

Appeals from decisions of Dir. Of Lands

The decision of the Dir. Of Lands may be annulled or reviewed only in a direct proceeding and not collaterally

The aggrieved party may, within a prescribed period from date of receipt of a copy of the decision of the Dir of Lands, avail himself of two alternatives:

1. To file a motion for reconsideration based upon any of the grounds for new trial such as provided in the Rules of Court as may be applicable

2. To appeal the decision of the Dir. Of Lands to the Sec. of Natural Resources

Grounds for review:1. Fraud2. Accident3. Mistake4. Excusable negligence

The decision of the Dir. Of Lands becomes final after said period unless a motion for reconsideration is filed or unless an appeal to the Sec is taken.

As to the decision of the Sec. this becomes final after 30 days from the date of service thereof to the party in interest, in questions of facts

A decision rendered by the Dir. Of Lands and affirmed by the Sec is conclusive and not subject to review by the courts

The decision of the Sec may be appealed further to the Pres of the Phils, if the aggrieved party so desires

Appellant is bound to wait for the final action of the Pres before he may be deemed to have exhausted his administrative remedies


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At that stage, the aggrieved party cannot simply withdraw his appeal to the Pres and thereafter file action in court. That course was held to be premature.

It is thus a prerequisite that before a decision of the Dir. Of Lands as affirmed by the Sec may be brought to the courts for review, administrative remedies must first be exhausted

Where administrative remedies have not been exhausted, it only implies that there is an absence of a cause of action, and does not affect the jurisdiction of the court either over the parties if they have been properly summoned, or over the subject-matter of the case.

Questions of fact and law only shall be entertained by the court

Time within which to appeal administrative decision to court

GR: The recourse to the court may be availed of within a reasonable time

An appeal from a decision of the Sec to the Pres, however, is not a condition sine qua non for the exhaustion of administrative remedies before resorting to judicial review

Chapter 2. Homestead

Concept of Homestead

Homestead – the home, the house and the adjoining land where the head of the family dwells; the home farm; the fixed residence of the head of a family, with the land and the bldgs surrounding the main house

Under the modern homestead laws – it is an artificial estate in land, devised to protect the possession and enjoyment of the owner against the claims of his creditors, by withdrawing the property from execution and forced sale, so long as the occupied as a home.

Purpose of the law: To give the homesteader a place to live in with his family so that he may become a happy citizen and a useful member of our society.

The homestead land is also exempt from the coverage of the Agricultural Land Reform Law

The homestead act is a social legislation enacted for the welfare and protection of the poor.

Qualification and area obtainable

1. Filipino citizen2. Over the age of 18 years3. Head of the family4. Must not own more than twenty four hectares land

in the Phils

5. Nor has the benefit of any gratuitous allotment of more than twenty four hectares of land since the occupation of the Phils by the US

Note:

With respect to a corp or assoc already holding or controlling agricultural public land, its members or stockholders as well as its officers, reps, attys, agents, employees or bondholders, may if qualified apply for homestead or free patent, but not for any of the other modes of acquiring agricultural public lands

In case of a married woman, she is not allowed to apply or make a homestead entry.

XPN: o When she is leaving separately from her

husband and is not dependent upon him for her support

o When her husband is insane or physically incapacitated to work

o When her husband is in prison, serving a term of such duration as would prevent him from complying with the requirements of the law regarding residence on the land

Procedure to obtain homestead patent

1. A person who is legally qualified may file his application for a homested with the Bureau of Lands. If found in order. The application shall be approved by the Dir and the applicant is authorized to enter the land upon payment of an entry fee of 5 pesos. In practice it is required that this fee accompanies the application, although by law it may be paid w/in 60 or upto 120 days if extended, before the application may be cancelled for delinquency

2. W/in 6 months after the approval of the application, the applicant or homesteader shall start to improve and cultivate the land; and w/in a period of not less than 1 year or more than 5 years from the date of the approval of the application, the homesteader must have cultivated at least 1/5 of the land, otherwise his right to the homestead shall be lost. In this connection, PD 152 prohibits the employment or use of share tenants in complying with the requirements of the law regarding entry, occupation, improvement and cultivation of public lands, thereby doing away with absentee homesteaders.

3. The applicant must have continuous residence in the same municipality where the homestead is located, or in an adjacent municipality, for at least 1 year.

4. After complying with the above requirements regarding cultivation and residence, the homesteader, or hos legal representative if he happens to be under legal disability, shall notify the


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Dir. Of Lands that he is ready to present final proof of his compliance with the legal requirements to be entitled to the issuance of a homestead patent.

5. Before the hearing for the presentation of the final proof, due notice shall be given to the homesteader and to the public in the manner prescribed by the Sec stating, among other things, the name and address of the homesteader, the description of the land with its boundaries and area, the names of the witnesses by whom it is expected that the necessary facts will be established, and the time and place at which, and the name of the officer before whom, such proof will be made.

6. If the Dir. Of Lands finds that the applicant has complied with the cultivation and residence requirements and that the land in question is under the law subject to homestead entry, and the homesteader has not actually changed his residence or voluntarily abandoned the land for more than 6 months at any one time during the years of residence and occupation required, or has otherwise not failed to comply with the other requirements of the PLA, a homestead patent may be granted the applicant upon payment of P5 as final fee.

Right of Possession by Homestead Applicant

The approval of a homestead application gives the applicant authority to take possession of the land and priority of right to acquire title upon his compliance with the requirements of the law.

This authority, however, does not confer a right to possess which is indefeasible and sufficient in itself to exclude other possible claimants, or as depriving the Dir. Of Lands of his control over the disposition of such land and his power to hear and adjudicated the conflicting claims.

A public land applicant who is in possession of the land applied for has the right to maintain an action for forcible entry against one who intrudes into his possession.

Payment of Real Estate Taxes by Applicant

GR: The payment of real estate taxes is incumbent upon the owner

XPN: In the case of homesteads as well as other grants under the PLA, the applicant who is not yet the owner is required to pay such taxes on the land applied for beginning January 1 of the year ff that in which the application has been filed, w/o need of waiting even for the approval of his application

When right to homestead becomes vested in applicant

Where a homesteader has already complied with all the terms and conditions which entitled him to a

patent for a particular tract of public land, he acquires a vested interest therein, and is to be regarded as the equitable owner thereof.

Such right once vested is equivalent to a patent actually issued inasmuch as the execution and delivery of the patent have become the ministerial acts of the officer charged with that duty

Reckoning point – date of compliance with all the requirements not the issuance of patent.

Tax declaration + actual possession = full ownership

When homestead considered conjugal property or otherwise

Not the time of the issuance of the homestead patent but the time of the fulfillment of the requirement of the PLA for the acquisition of such right to the patent

If the final proof was completed and the final fee paid during marriage, homestead is unquestionably conjugal but if these are accomplished after the dissolution of the marriage by the death of the wife, then the homestead becomes pvt property of the husband.

The surviving spouse acquires the absolute title thereto as his/her separate property, free from any community interest.

During the subsistence of the applicant’s first marriage, and the time of the second marriage, the land must be regarded as acquired during, and the belonging to the conjugal partnership of the first marriage.

An applicant may be said to have acquired a vested right over a homestead only by the presentation of the final proof and its approval by the Director of Lands.

The decisive factor in determining whether a parcel of land acquired by way of homestead is conjugal property of the first or second marriage

The time of the fulfillment of the requirements of the Public Land Law for the acquisition of such right to the patent.

Who succeeds applicant in case of his death.

Widow shall entitled to have a patent for the land applied for issued to her upon showing that she has consummated the requirements of law for homesteading the land

The only in case the deceased applicant leaves no widow shall his interest in the land descend and the patent issue to his legal heirs

One person entitled to only one homestead; exceptions.

Where a person was issued a homestead patent for less than 24 hectares, he could be allowed to apply


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again for another homestead, provided the area thereof, added to his previous homestead, did not exceed a total of 24 hectares.

Transfer of rights of applicant when allowable.

At any time after the approval of the homestead application and before the issuance of the patent, the applicant may be allowed to transfer his rights to the land including the improvements thereon under certain conditions:

a. The applicant had complied with all the requirements of the law so far;

b. That he cannot continue with his homestead thru fault of his own;

c. The transfer is made to a bona fide purchaser who himself is legally qualified to apply for a homestead;

d. The proposed transfer is not for speculative purposes;

e. It shall be subject to the approval of the Director of Lands, w/out w/c approval it shall be null and void and the homestead entry subject to cancellation.

Transfer was made before, and not after, the approval of the homestead application, such transfer as made by the landholder to another is valid as b/w parties

Patented land not subject to further adjudication

A prvt property, having been brought under the operation of the Torrens system, cannot be acquired by prescription or adverse possession.

A homestead patent issued and registered becomes irrevocable and enjoys the same privileges as Torrens titles issued under the LRA

Actual fraud may still be annulled and cancelled provided appropriate action is taken w/in 1 yr from and after the date of issuance of the patent

Revision of land to state subject to action

The power of the government to annul the patent and the title to the homestead may only be exercised w/in 1 yr

After that period the remedy may still be open is for reversion of the land to the State

Prescriptive period of attacking the validity of the title is 1 yr

Action for reversion is available w/in 5 yrs from the time the right to such action shall have accrued

1 yr period w/in w/c to seek review of the homestead award runs from the promulgation of the order of the Director of Lands for the issuance of the patent, not from its actual issuance

Homestead patent cannot cover prvt land

Homestead patent w/c purports to convey lad to w/c the govt did not have any title at the time of its issuance does not vest any title at all in the patentee as against the true owner

A homestead patent once registered under the LRA cannot be the subject-matter of a subsequent cadastral proceeding

Restrictions on subsequent alienation and encumbrance

No alienation, transfer, or conveyance of nay homestead after 5 yrs and before 25 yrs after issuance of title shall be valid w/out the approval of the Sec of Agri and Nat Res, w/c the approval shall not be denied except on constitutional and legal grounds.

Sales w/in 5 yrs void

The act is deemed sufficient cause for the reversion of the whole grant to the State

The purchaser may recover the price w/c he has paid, and where the homesteader vendor died the recovery may be pursued as a claim filed against his estate in the corresponding proceeding

Vendee introduced improvements in the land, he forfeits them w/out any right to reimbursement in accordance w/ Art 449 of the NCC.

Liability to debt or obligation

Homestead cannot be held liable for the satisfaction of nay debt or obligation contracted prior to the expiration of 5 yrs from the date of the issuance of the patent

Purchase or lease by prvt individual subject to limitation

A qualified individual landowner may acquire by purchase or lease any land orig acquired as homestead but subject to the limitation that area added to his landholdings should not exceed a total of 144 hectares

Right of redemption

Every conveyance of land acquired under free patent or homestead provisions of the PLA, shall be subject to repurchase by the applicant, his widow or legal heirs, w/in 5 yrs from the date of reconveyance

Period is counted from the date of sale

NOTE: Note the difference b/w right of repurchase and equitable redemption

Purchase in a foreclosure sale has only an inchoate right under Act 3135

Extrajudicial foreclosure: 5 yrs + 1 yr = 6 yrs Judicial – equitable redemption


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o Period before foreclosure is registered in ROD

Homestead: o Extra: 5 yrs + 1 yr = 6 yrso Judicial: 5 yrs

Rural Bank Act: 5 yrs + 2 yrs = 7 yrs

How much to pay for redemption

The price of sale + necessary and useful expenses made on the thing sold

Necessary expenses = incurred for the preservation of the thing

Useful expenses = covers those w/c increase the value or augment of the income of the property

Right of redemption when not applicable to conveyance w/in family circle

If not for the purpose of preserving the land w/in the family circle but to dispose of it once again for greater profit, it would violate of the policy and spirit of law

Law discourages patentees from taking advantage of the salutary policy

For profit, repurchase should be disallowed

Chapter 3. Sale of Public Agricultural Lands

Who are qualified to purchase PAL

1. Only Filipino citizens2. Legal age or head of family3. If corporation or association, 60% of the capital

which belonged to Filipinos

Maximum area that may be acquired

Up to 12 hectares Prvt corp or assoc as well as partnership as an entity

may no longer be considered qualified to purchase or otherwise to compete in that respect w/ prvt individuals

Agri lands not located w/in 10 km from the boundaries of the city proper in chartered cities or w/in 5 km in municipalities, same be sold to actual occupants:

o who do not own any parcel of land or o whose actual total landholdings do not

exceed 5 hectares ando resided in the land applied for at least 2 yrs

prior to the date of application

Excess landholdings temporarily allowed for recovery of mortgage loan

If there is excess, the same shall be disposed w/in 5 yrs

In case of failure to do so, there shall be paid on the land in excess for the 1st yr a surtax of 50% additional to the ordinary real estate tax

For each succeeding yr 50% shall be added to the last preceeding annual tax rate, until the excess landholdings shall have been disposed of

Pre-existing rights respected

Rights over public agricultural lands are to respected as vested rights

Such persons who do not meet the qualifications now prescribed, are authorized to continue hold the land as if they were qualified, but they are forbidden to encumber, convey or alienate the same, except to those legally qualified

In subsequent acquisition of hereditary succession no qualification is prescribed by law or Consti

Procedure for the sale of PLA

1. Filling of applications – filed with the Director of Lands

2. Appraisal – Land to be sold shall be appraised by the Director of Lands with the approval of the Secretary of Environment and Natural Resources

3. Publication of notice of sale – once a week for 3 consecutive weeks in the Official Gazette and in two newspapers one in Manila and the other in the municipality or province where the land is located or in the neighboring province

4. Submission of bids – Sealed and addressed to the Director of Lands, inclosing cash or certified check, treasury warrant or post office money order for an amount equivalent to 10% of the bid, payable to the same. Any bid of less appraisal value of land shall not be considered

5. Opening of bids and awards – Awarded to the highest bidder. Director of Lands shall at once call for oral public bidding.

6. Payment of price – Amount submitted in the bid is applied to the price, balance be paid full or in ten installments. In overdue installments, same subject to interest at 4% per annum from date of delinquency

Procedure to obtain public agricultural land

1. By homestead settlement2. Lease3. Sale4. Confirmation of imperfect and incomplete title

a. Judicial legalizationb. Administrative legalization

NOTE: A holder of a land acquired under free patent is more favorably situated than that of an owner of registered property

Instances where oral bidding allowed


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1. Where 2 or more such sealed bids turn out to be equal and the highest, and that of the applicant is not one of them

2. Where the public agricultural land to be sold has been declared by the Sec to be vacant and no applicant is recognized to have preferential rights thereto

Prerequisite to issuance of patent

The purchaser must show that he has occupied and has broken and cultivated at least 1/5 of the land w/in 5 years after the date of the award

Where the land purchased is to be devoted to pasture, that he has grazed on the land his own cattle numbering at the rate of one head for every two hectares of the entire area

If the purchaser has failed to comply with the requirements, or has voluntarily abandoned the land for more than 1 year at any one time, the land shall revert to the state and all prior payments on account of the purchase price and all improvements existing on the land shall be forfeited

Conveyance of land before issuance of sales patent

An applicant is allowed after cultivation of the land has been begun to convey or encumber his rights to any person, Provided:

o Such conveyance or encumbrance does not affect any right or interest of the govt on the land; and

o The transferor is not delinquent in the payment of any installment due and payable

o Previous approval of the Sec is required Such approval becomes unnecessary after the

purchaser had complied with all the requirements of the law, even if the patent has not been actually issued, for in that case the rights of the purchaser are already deemed vested, the issuance of the patent being a mere ceremony

The execution and delivery of the patent after the right to it has become complete, are the mere ministerial acts of the officers charged with the duty

Fortiori – a contract to convey land made before the issuance of a patent but after final proof has been made and the land paid is not illegal

Effect of sale of land pending application

The sale of the property covered pending application for a sales patent w/o the required approval of the govt produced the effect of annulling the sales application as if non had been filed

The Bureau of Lands could consider and approve subsequent applications for the acquisition of the property filed by other persons with the necessary applications

Joint venture in purchase of public land

Joint venture/ partnership1. Where one person contributes his capital,

consisting of his duly approved sales appliction and recognized right of possession over a parcel of public land which he has begun cultivating and over which he has already spent time and effort,

2. Another contributes his labor and money to finalize the cultivation of the same land,

3. With the understanding that both shall divide the land in the proportion agreed upon by them

4. Each partner is bound as a trustee to be ever loyal to his partner

Legal limitations and restrictions

1. No sale patent shall be issued unless the land purchased has been surveyed and an accurate plat made thereof by the BOL

2. Does not include mineral deposits contained in the land

3. Subject to the same public servitudes4. Subject to a ROW not exceeding 60 meters in width

for public highways etc5. Where a corp, assoc or partnership may acquire or

have any rigor interest to any such land purchased under the PLA, it is required that:

a. Consent of the granteeb. Approval of the Secc. Solely for commercial, industrial,

educational, religious or charitable purposes or for a ROW

6. Area shall not exceed 12 hectares7. Can not be conveyed, encumber or dispose w/in 10

years8. Subject to the provisions of the PLL, especially with

regards to the:a. Legal reservationsb. Encumbrancesc. Limitationsd. Restrictions imposed by PLL

Additional purchases allowed

Conditions:1. Addtl land shall be adjacent to or not

distant from the land originally purchased2. Total area must not exceed 12 hectares3. Previous purchase must have been fully

paid4. At least 1/5 of the land previously

purchased must have been cultivated5. Addtl purchases shall be subject to the

same conditions prescribed for the 1st

purchase


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Land becomes of private ownership only after issuance and registration of sales patent

The approval of a sales application merely authorizes the applicant to take possession of the land so that he could comply with the requirements

The govt still remains the owner, and application may still be cancelled and the land awarded to another applicant, if legal requirements are not complied with

What divests the govt of title to the land is the issuance of the sales patent and its subsequent registration in the office of the ROD

It is the registration and issuance of the cert of title of a public land patent that segregates the land from the mass of public domain and converts it into private property

The annulment of a title is a judicial process

Appeal to president merely permissive; when court may act w/o need of exhaustion of administrative remedies

It is permissive, not obligatory Permissive - Without doubt he can revoke the

decision of any subordinate official under him in the exec dept

Not obligatory – Pres is not required to pass upon all such decisions by his subordinates

The Sec is an alter-ego of the Preso Assumption is that the action of the Sec

bears the implied sanction of the Pres unless the same is disapproved by the latter

Officers charged to sign patents

Pres may delegate to the Sec the power to sign patents

For lands not exceeding 5 hectares, the district land officers are empowered to sign the patents

Chapter 4. Lease of Public Agricultural Lands

Who are qualified to lease agricultural lands

1. Any Filipino citizen of lawful age2. Any crop or assoc of which at least 60% of the

capital stock or of any interest in said capital stock belongs wholly to Filipinos, and which is organized and constituted under the laws of the Phils

Disqualifications and limitations

GR: Any member, stockholder, officer, representative, attorney, agent, employee or bondholder of any corp or assoc already holding or controlling agricultural public land is disqualified to apply for lease to such land

XPN: Where it may be allowed, such lease may be granted only if it is reasonably necessary to carry on his business in case of an individual, or the business

for which it was lawfully created and which it may lawfully pursue in the Phils in case of a corp or assoc

With respect to the area: The limitation is:o For corp or assoc - up to 1,000 hectareso For individuals – 500 hectares

Pasture lands – belong to forestall lands

Procedure for the lease of public agricultural lands

Same as that followed for sale of such lands No bid shall be considered in which the proposed

anneal rental is less than 3% of the appraised value of the land nor where the bidder has not deposited the rental for at least the 1st 3 months of the lease

Where the land object of the proposed lease is to be devoted to grazing, the min annual rental is only 2% of its approved value

Period of lease

May run for a period of 25 years, renewable for another 25 years

The extension or renewal thereof is not a matter of right on the part if the lessee

It is discretionary on the part of the Sec It is incumbent upon the lessee to justify the

necessity of such an extension or renewal by showing that he has introduced important improvements on the leased land

Upon the final termination of the lease, all bldgs and other permanent improvements become the property of the govt

Cultivation requirement

Essential condition of the lease: The lessee shall have broken and cultivated at least 1/3 of the land w/in 5 years

Restrictions upon lease

Lessee can not subsequently assign, encumber or sublet his rights over public agricultural land w/o the approval of the Sec

Lessee can not remove or dispose of any valuable timber on the leased land, except as may be permitted by existing forest regulations

He can not also remove or dispose of stone, oil, coal, salts or other minerals, inc medicinal mineral waters

Lessee is further subject to the same conditions and restrictions imposed on lands acquired under sales patents with respect to taxes, servitudes, easements, mines, water rights etc.

Lease of addtl area

Lessee may apply for lease of addtl area adjacent to or near the land originally leased, provided that:

o Addtl area added to the original one held does not exceed the max allowed


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o Lessee shall have paid the rentals for at least the first 2 years on the orig lease

o At least 1/3 of the land held thereunder be broken and cultivated

Lessee’s option to purchase

Where public land object of the lease is to be sold by the govt during the term of the lease, the lessee shall have the option to purchase it

Right of lessee to oppose registration of land filed by other persons

The lessee is considered a party in interest entitled to file opposition to such an application

Mandamus will lie to compel the trial court to permit said lessee and his counsel to appear and oppose the application for registration of such land

Registration of lease of public land not necessary

Chapter 5. Confirmation of Imperfect or Incomplete Title

Acquisition by Judicial Legislation

Persons entitled to benefits:

Persons qualified to acquire lands of the public domain thru judicial legalization or confirmation of their imperfect or incomplete title are granted by law until Dec. 31, 1976, to file with the court an appropriate application therefore.

These persons are required to meet the ff. conditions: (Sec. 48, CA 141)

o Those who prior to the transfer of sovereignty from Spain to the US have applied for the purchase, composition or other form of grant of lands of the public domain under the laws and royal decrees then in force and have instituted and prosecuted the proceedings in connection therewith, but have, with or without default upon their part, or for any other cause, not received title therefore, if such applicants or grantees and their heirs have occupied and cultivated said lands continuously since the filing of their applications.

o Those who by themselves or through their predecessors-in-interest have been in open, continuous, exclusive and notorious possession and occupation of agricultural lands of the public domain, under a bona fide claim of acquisition of ownership, since June 12, 1945, immediately preceding the filing of the application for confirmation of title, except when prevented by war or force majeure. These shall be conclusively presumed to have performed all the conditions essential to a Government grant

and shall be entitled to a certificate of title under the provisions of this chapter.

o Members of the national cultural minorities who by themselves of through their predecessors-in-interest have been in open, continuous, exclusive and notorious possession and occupation of lands of the public domain suitable to agriculture, whether disposable or not, under a bona fide claim of ownership since June 12, 1945 shall be entitled to the rights granted in subsection (b) hereof.

Only lands of the public domain, and not of private ownership, are disposable for purposes of confirmation.

Form of Application:

Shall be accompanied with a plan of the land and documents evidencing the right of the applicant to the land claimed

State the citizenship of the applicant Set forth fully the nature of the claim Specify the date and form of application for

purchase, composition etc, Specify the extent of the compliance with the

conditions required by the Spanish Laws and royal decrees for the acquisition of legal title

Statement of the length of time such land has been actually occupied by the claimant or his predecessors-in-interest

Procedure:

Application is filed with the RTC of the province or city where the land lies

Notice of such application together with a plan of the land is forwarded to the Solicitor Gen.

SG after investigation of the facts, shall return the papers of the case to the court within 3 months

Publication of the notice of initial hearing in the OG and newspaper of gen. circulation

Posting of the notice in conspicuous places Courts adjudicates the land to the applicant of he

could show that he has title thereto proper for registration

Otherwise, his application is dismissed and the land is declared land of the public domain

GR: Aliens are not entitled to a decree of registration, they being disqualified from acquiring lands of the public domain.

XPN: If he was already a Filipino citizen at the time of application.

Difference btw. Registration under Land Registration Act and under Public Land Act

LRA PLA1. Presumed existence of 1. Admittedly, land belongs


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title to the land to the State2. Court may dismiss application with or without prejudice to the right to file a new application

2. Court has the jurisdiction and power to adjudicate the land in favor of any of the conflicting claimants, and if none of them is entitled then in favor of the gov’t

3. Risk of denial of application w/o necessarily losing the property

3. Risk of losing the land applied for, w/o affording him another chance

GR: Property of the State or any of its subdivisions, not patrimonial in character, shall not be the object of prescription. (NCC, Art. 1113)

XPN: Where a person has been in open, continuous, exclusive and notorious possession and occupation of agricultural lands of the public domain, under a bona fide claim of acquisition of ownership since June 12, 1945. (PLA, Sec. 48)

Limitation as to Area:

Before- 1,000 hectares RA 6236/PD 1073- 144 hectares Constitution- 12 hectares

When Burden of Proof is upon Gov’t

Where a parcel of land the registration of which is applied for, has been possessed and cultivated by the applicant and his predecessors-in-interest for a considerable number of years w/o the gov’t having taken any action to dislodge the occupants from their holdings.

Acquisition by Administrative Legalization or Free Patent

Persons Entitled to Apply:

Natural-born citizen of the Philippines Does not own more than 24 hectares Who since July 4, 1945, or prior thereto, has

continuously occupied and cultivated such public lands

Land has not been occupied by any other persons

Note: Members of the national cultural minorities who has continuously occupied and cultivated a tract of land, whether disposable or not since July 4, 1945, shall be entitled also to have a free patent issued to him for such tract of land not to exceed 24 hectares (12 hect.- Constitution), and provided that at the time he files his application, he is not the owner of any real property. (Sec. 44, CA 141)

Natural-born citizen - one who is a citizen of the Phils. from birth w/o having to perform any act to acquire or perfect his Phil. citizenship.

Note: Application for free patent is not a matter of right but only a privilege granted by the State. (may only be availed of up to Dec. 31, 1987)

Free Patent when deemed Final and Conclusive

After a free patent application is granted and the corresponding cert. of title issued, the land ceased to be part of the public domain and became private property over which the Dir. of Lands has neither control not jurisdiction.

The remedy of review on the ground of actual fraud may properly be invoked in connection with free patents within one year from the date of the issuance thereof.

Beyond that period, action for the annulment of the title can no longer be entertained.

Restrictions on Free Patents:

GR: Cannot be encumbered or alienated within 5 yrs. from and after the date of the issuance of the patent or grant

XPN: In favor of the gov’t GR: Cannot become liable to the satisfaction of any

debt contracted prior to the expiration of said period XPN: Improvements or crops on the land may be

mortgaged or pledged to qualified persons

Note:

After the 5 yr period, land held under free patent may be alienated, transferred or conveyed w/o need of approval of SENR

Subject to repurchase by the patentee, his widow or legal heirs, w/in a period of 5 yrs.

In cases of corps., assoc., or partnerships:

May acquire such patented land or the permanent improvements with the ff. conditions:

o Consent of the granteeo Approval of the SENRo Solely for commercial, industrial,

educational, religious or charitable purposes, or for a ROW

GR: Jurisdiction of Dir of Lands is lost after Registration of Patent

XPN: If facts and circumstances so warrant, he is not precluded to conduct appropriate investigation as to how such title has been acquired, and if the purpose of such investigation is to determine WON fraud has been committed in securing such title.


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Chapter 6. Lands for Residential, Commercial, Industrial Purposes

Classification:

Reclaimed Landsa. submerged land w/c by deliberate act of

dredging and filling has emerged to the surface

b. owned by the Statec. gov’t may declare it property of the

adjoining owners as an increment thereto, only where it is no longer needed for public use or for public service

Foreshorea. that part of the land adjacent to the sea w/c

is alternately covered and uncovered by the ordinary flow of the tides.

b. Belongs to the State Marshy Lands

a. such land bordering on shores and banks of navigable rivers and lakes

b. generally swampy or soft wet land Lands not included in any of the foregoing classes

Available for Purchase or Lease (Sec. 60, CA141)

Area allowed is limited only to such as may be determined by the SENR

No case to exceed 144 hectares

NOTE: For persons, corps., assocs., or partnerships disqualified under the provisions of the PLA to purchase such lands for agricultural purposes, they may be allowed to lease lands suitable for industrial or residential purposes but the lease shall be good only for the duration such land is used for such purposes.

May Aliens Lease Public Lands?

NO!!

It appears from the Constitution that the right of aliens to lease disposable land of the public domains is not allowed

o “x x x. Private corps. or assoc. may not hold such alienable lands of the public domain except by lease, x x x. Citizens of the Phils may lease not more than 500 hectares, or acquire not more than 12 hectares thereof by purchase, homestead or grant.” (Sec. 3, Art. 12, 1987 Constitution)

Procedure for Sale or Lease:

required that the land be surveyed with the approval of the SENR subdivided into lots with the necessary streets and

alleys on the layout Dir of lands shall cause to be published the

necessary notices in the OG

Shall be made through oral bidding Adjudication made to the highest bidder

NOTE: If the applicant has made improvements on the land by virtue of a permit duly issued, the sale or lease shall be made by sealed bidding, subject in any case to the rule that the applicant shall have the option to equal that of the highest bidder and thereby be preferred.

NOTE: Sales w/o public bidding may be permitted where the purchaser (Fil., of legal age, not owner of any home lot in the municipality or city) in good faith established his residence on a parcel of public land therein w/c is not needed for public service.

Not more than 1,000 sq. mtrs, price to be fixed by the Dir of Lands

Prerequisite: must have constructed his house on the land and actually reside therein

Such land cannot be encumbered or alienated within a period of 10 yrs from the date of the issuance of the patent, except in favor of the gov’t

In case of transfer/alienation: subject to the approval of SENR, and subject further to repurchase w/in a period of 5 yrs.

Permits for Temporary Occupation and Use (Sec. 68, PLA)

Issued by SENR to qualified persons for the occupation and use of public lands suitable for residential, commercial or industrial purposes upon payment of a reasonable fee.

Subject to revocation at any time when public interest so require

2 kinds of permits:o Revocable Permit – issued for such land not

covered by a regular public land applicationo Provisional Permit – one granted for such

land covered by a prescribed public land application

Conditions to be Incorporated in Lease Contract:

Minimum rental – 3% of the appraised or reappraised value of the land plus 1% of the appraised and reappraised value of the improvements

Term of Lease – not more than 25 yrs., renewable for not more than 25 yrs.

If term of lease exceeds 10 yrs. – subject to reappraisal every 10 yrs.

W/in 6 months – construction of permanent improvements must be commenced ; w/in 18 months – construction must be completed

Upon termination of lease – all improvements shall become property of the gov’t

Where fees are to be charged to the public by the lessee, the sched of such fees or rates shall be submitted to the gov’t annually for approval and regulation


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Leased land shall be subject to easement of coast police and other easements reserved by existing laws

NOTE: Violation of any of the conditions shall be deemed sufficient ground for rescission.

Chapter 7. Lands for Educational, Charitable and other Similar Purposes

Acquisition by Province and Other Gov’t Entities

The President upon recommendation of the SENR may execute a donation, sale, lease or exchange in favor of any province, municipality, or other branch or subdivision of the gov’t under such terms and conditions as may be deemed fit.

Limitations to Gov’t Grants

As to the area: the law does not set any definite limit GR: Land granted cannot be subsequently be

encumbered or alienated. XPN: When the public service requires their being

leased or exchanged for other lands belonging to private persons

In which case, it shall be subject to the approval of the Pres or if the Congress disposes otherwise

Acquisition by Private Institutions (Sec. 70, CA 141)

Lands classified for educational, charitable or other similar purposes may be disposed of by sale or lease for the purpose of founding a:

o Cemeteryo Churcho Collegeo Schoolo Universityo Other institutions for educational,

charitable or philantrophical purposes, or scientific research

As to the are: depends upon what may be reasonably necessary to carry out the purposes contemplated; in no case to exceed 90 hect.

Lands cannot be sold or alienated w/o the prior consent of the Congress

Conditions of Sale or Lease

Same as terms and conditions provided in the sale and lease of public agricultural lands (req. for cultivation may be waived.

May be w/o need of public auction upon order of the SENR and the price shall be fixed by him

Purchase/lessee cannot sell, transfer, encumber or lease the land for any purpose other than that contemplated in the application

o Violation of this condition, the sale or lease shall be rescinded and all improvements

introduced in the land are deemed forfeited to the gov’t

Chapter 8. Reservations for Town Site and for Public and Semi-Public Uses

Procedure to Establish New Town

Where public interests demand the founding of a new town, the SENR shall direct the DoL to survey the exterior boundaries of the proposed site

DoL submits the survey to the SENR who in turn submits the same to the Pres.

o If Pres. approves: issues the necessary proclamation reserving the land surveyed as a town site

o Certified copies of such proclamation are furnished the DoL and the ROD of the province or city where the land lies

Land is then subdivided into lots for commercial and industrial uses, and the remainder for residential purposes

o Pres. may reserve for public purposes any lot/s not yet disposed of.

If it is necessary to expropriate private lands w/in the limits of he new town, the Pres. shall direct the SG to institute appropriate proceedings in court

The plat as finally approved is recorded in the Bureau of Lands and in the Office of the ROD concerned

Lots shall then be sold, after due notice, at a public auction to the highest bidder at a price not less than 2/3 of the appraised value

o w/in 6 months: commencement of the construction of improvements

o w/in 18 months: completion thereof

Proceeds of Sale:

Turned over to the National Treasury as part of the gen. funds

Limitations:

Not more than 2 residential lots and 2 other lots for commercial/industrial uses in any one town site may be sold to any one person, corp., assoc., except with the specific approval of the SENR

For Baguio buyers: forbidden to cut down any tree All sales/dispositions of lots in the town site are

subject to the blanket authority reserved upon Congress to alter, rescind or cancel at any time as circumstances may warrant

Reservation for Public or Semi-Public Purposes

Designated by proclamation of the Pres. upon recommendation of the SENR

Reservations may include:o Areas for highways


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o ROW for railroadso Hydraulic power siteso Irrigation systemso Communal pastureso Public parkso Public quarrieso Public fishpondso Workingmen’s village

These reservations are not subject to alienation, nor may they be subject to occupation, entry, sale, lease, or other disposition until again declared alienable by proclamation of the Pres. or Prime Minister

Reservations Along River Banks for Timberland

Sec. 90, CA141 – imposes a reservation of 40 mtrs. wide along the bank on each side of any river/stream for the purpose of reserving the same as permanent timberland of the gov’t

Applicable only to lands of the public domain subsequently acquired by a private person/entity

Reservations for Non-Christian Filipinos

With preference to lands already used or possessed by them

Each male of over 18 yrs of age or head of family may be allowed for his use and benefit not more than 4 hect. of land

o Provided: he does not own yet 4 hect. or more by title or gratuitous patent

Ancestral Lands

PD 410 – all unappropriated agricultural lands of the public domain occupied and cultivated by members of the national cultural communities for at least 10 yrs have been declared “ancestral lands”, for distribution exclusively among the members of said communities and to be developed for the establishment of agro-industrial projects, thus creating conditions for employment and enhancing the progress of the people.

Bureau of Lands – identify, survey and subdivide such ancestral lands into family-sized farm lots not exceeding 5 hect. each

Such lands cannot be transferred, sold or alienated w/in a period of 10 yrs, except in favor of the gov’t

In case of mortgage or other encumbrances, the approval of the SENR is a requirement

To perfect title of such lands, the occupants thereof are given 10 yrs from March 11, 1974, w/in w/c to file their respective applications

Otherwise, their preferential rights thereto shall be lost and the lands declared open for allocation to other deserving applicants

Reservation for Agricultural Colonies

Designate by proclamation of the Pres. upon recommendation of the SENR

The SENR may turn over a colony so reserved to any person or corp., who shall clear, break and prepare for cultivation the land and to establish the necessary irrigation system and suitable roads

Congress thereafter, may direct such land so prepared and cultivated be disposed of by sale or lease

Provisions Common to Reservations:

Certified copies of the proclamations are forwarded to the DoL for record purposes and copy of the record filed with the Office of the ROD of the province or city where the land lies

DoL shall order the immediate survey of the land and cause the same to be registered under the LRA.

Disposition of Idle Military Reservations

Lands within military reservations owned by the RP w/c are no longer needed for military purposes may be subdivided into lots w/ areas to be determined by the DoL w/ the approval of the SENR

After segregation therefrom what may be needed for public service, the remaining lots may be sold to qualified persons, with the 1st priority given to:

o bona fide occupantso war veterans of the past waro members of the USAFFEo recognized guerillaso and deserving members of unrecognized

guerillas

Disposition by Non-Christian Filipinos

Valid, if the person making the conveyance or encumbrance is able to read and can understand the language in w/c the instrument of conveyance or encumbrance is written.

Creation of National Housing Authority

Created by PD 757 Powers and fxns of NHA:

o Develop and implement the comprehensive and integrated housing program of the gov’t

o Formulate and enforce general and specific policies for housing development and resettlement

o Exercise right of eminent domain or acquire by purchase privately owned lands for purposes of housing development, resettlement and related services and facilities

o Develop and undertake housing development and/or resettlement projects


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through joint ventures or other arrangements with public or private entities

o Prescribe and enforce guidelines, standards and rules for the purpose of protecting home and lot buyers through the regulation of real estate trade and business

o Regulate the relationship btw owners and lessees of residential properties

IPRA LAW. RA. No. 8371

Sec.1. Short Title – The Indigenous Peoples Rights Act of 1997

Sec. 2. Declaration of State Policies

The State shall recognize and promote all the rights of Indigenous Cultural Communities/Indigenous Peoples hereunder enumerated within the framework of the Constitution.

a. The State shall recognize and promote the rights of ICCs/IPs within the framework of national unity and development

b. The State shall protect the rights of ICCs/IPs to their ancestral domains to ensure their economic, social and cultural well being and shall recognize the applicability of customary laws governing property rights or relations in determining the ownership and extent of ancestral domain

c. The State shall recognize, respect and protect the rights of ICCs/IPs to preserve and develop their cultures, traditions and institutions. It shall consider these rights in the formation of national laws and policies

d. The State shall guarantee the members of the ICCs/IPs regardless of sex, shall equally enjoy the full measure of human rights and freedoms without distinction or discrimination

e. The State shall take measures, with the participation of the ICCs/IPs concerned, to protect their rights and guarantee for their cultural integrity, and to ensure the members of the ICCs/IPs benefit on an equal footing from the rights and opportunities which national laws and regulations grant to other members of the population, and

f. The State recognizes its obligations to respond to strong expression of the ICCs/IPs for cultural integrity by assuring maximum ICC/IP participation in the direction of education, health, as well as other services of ICCs/IPs, in order to render such services more responsive to the needs and desires of these communities.

Towards these ends, the State shall institute and establish the necessary mechanisms to enforce and guarantee the realization of these rights, taking into consideration their customs, traditions, values, beliefs, interest and institutions and to adopt and implement measures to protect their rights to their ancestral domains.

Definitions:

Ancestral Domains – refer to all areas generally belonging to ICCs/IPs comprising lands, inland waters, coastal areas, and natural resources therein, held under a claim of ownership, occupied or individually by ICCs/IPs, by themselves or through their ancestors, communally or individually since time immemorial, continuously to the present except when interrupted by war, force majuere or displacement by force, deceit, stealth or as a consequence of government projects or any other voluntary dealings entered into by govt and private individuals/corps, and which are necessary to ensure their economic, social and cultural welfare. It shall include ancestral lands, forests, pasture, residential, agricultural and other lands individually owned whether alienable and disposable or otherwise, hunting grounds, burial grounds, worship areas, bodies of water, mineral and other natural resources, and lands which may no longer be exclusively occupied by ICCs/IPs who are still nomadic and/or shifting cultivators

Ancestral Lands – refer to land occupied, possessed and utilized by individuals, families and clans who are members of the ICCs/IPs since time immemorial, by themselves or through their predecessors in interest, under claims of individual or traditional group ownership, continuously, to the present except when interrupted by war, force majuere or displacement by force, deceit, stealth, or as a consequence of govt projects entered into by the govt and private individuals/corps, including, but not limited to, residential lots, rice terraces or paddies, private forests, swidden farms and tree lots.

Cert of Ancestral Domain Title – a title formally recognizing the rights of possession and ownership of ICCs/IPs over their ancestral domains identified and delineated in accordance with this law

Cert of Ancestral Lands Title – title formally recognizing the rights of ICCs/IPs over their ancestral lands

Free and Prior Informed Consent (FCIP) – the consensus of all members of the ICCs/IPs to be determined in accordance with their respective customary laws and practices, free from any external manipulation, interference and coercion, and obtained after fully disclosing the intent and scope of the activity, in a languange and process understandable to the community

Indigenous Cultural Communities or Indigenous Peoples – a group of people or homogenous societies identified by self-ascription and ascription by others, who have continuously lived as an organized community on communally bounded and defined territory, and who have, under claims of ownership since time immemorial, occupied, possessed and utilized such territories, sharing common bonds of language, customs, traditions, and


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other distinctive cultural traits, or who have, through resistance to political, social and cultural inroads of colonization, non indigenous religions and cultures, became historically differentiated from the majority of Filipinos. ICCs/IPs shall likewise include peoples who are regarded as indigenous on accout of their descent from the populatiosn which inhabited the country, at the time of conquest or colonization, or at the time of inroads of non-indigenous religions and cultures, or the establishment of present state boundaries, who retain some or all of their own social, economic, cultural and political institutions, but who may have been displaced from their traditional domains or who may have resettled outside their ancestral domains

Natl Commission on Indigenous People (NCIP) – the office created under this Act, which shall be under the Office of the Pres, and which shall be the primary government agency responsible for the formulations and implementation of policies, plans and programs to recognize, protect and promote the rights of ICCs/IPs

Native title – refers to pre-conquest rights to lands and domains which, as far back as memory reaches, have been held under a claim of private ownership by ICCs/IPs, have never been public lands and are thus indisputably presumed to have been held that way since before the Spanish Conquest

Time Immemorial – refers to a period of time when as far back as memory can go, certain ICCs/IPs are known to have occupied, possessed in the concept of owner, and utilized a defined territory devolved to them, by operation of customary law or inherited from their ancestors, in accordance with their customs and traditions.

Rights to Ancestral Domain

Concept of Ancestral Lands/Domains – not only physical but also the spiritual and cultural bonds to the areas

Indigenous Concept of Ownership

Serve as material bases of their cultural integrity ICCs/IPs private but community property which

belongs to all generations Cannot be sold, disposed or destroyed

Rights to Ancestral Domains

1. Right of Ownershipa. Right to claim ownership over lands, bodies

of water traditionally and actually occupied, sacred places, traditional hunting and fishing grounds

2. Right to Develop Lands and Natural Resourcesa. Right to develop, control and use lands and

territories traditionally occupied, owned, or used

b. To manage and conserve the natural resources

c. Right to negotiate the terms and conditions for the exploration of natural resources for the purpose of ensuring ecological, environmental protection and the conservation measures

d. Receive just and fair compensation for any damages which they may sustain as a result of the project

e. Right to effective measures by the govt to prevent any interference with alienation and encroachment upon these rights

3. Right to Stay in the Territoriesa. Right to stay and not to be removed

therefromb. No ICCs/IPs will be relocated w/o their free

and prior informed consent, other than eminent domain

c. Shall be guaranteed the right to return to their ancestral domains, as soon as the frounds for relocation cease to exist

4. Right in case of Displacementa. State shall endeavor to resettle the

displaced ICCs/IPs where they can have temporary life support systems

b. Right to return to their abandoned landsc. Shall enjoy security of tenure over lands to

which they have been resettled5. Right to Regulate Entry of Migrants6. Right to Safe and Clean Air and Water

a. Shall have access to integrated systems for the management of their inland waters and air space

7. Right to Claim Parts of Reservations8. Right to Resolve Conflicts

Right to Ancestral Lands

1. Right to transfer land/property – among members of the same ICCs/IPs

2. Right to redemption – right to redeem land within a period not exceeding 15 years, if transfer of land to non members of the concerned ICCs/IPs is tainted by the vititated consent

Option to Secure Cert of Title under CA 141 or LRA 492

OCENPO for a period of not less than 30 years Exercised within 20 years (up to 2018 only)

Exemption from taxes

GR: Lands under Ancestral Domain shall be exempt from real property taxes, special levies and other forms of exaction

XPN: Portions of the ancestral domain that are actually used for large-scale agriculture, commercial forest plantation and residential purposes or upon titling by private persons


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Appeals to the Court of Appeals

Decisions of the NCIP shall be appealable to the CA by way of a petition for review

Part II. Mineral Lands

Chapter 1. Mining in General

Declaration of Policy

It shall be the responsibility of the State to promote their rational exploration, development, utilization and conservation through the combined efforts of government and the private sector in order to enhance natl growth in a way that effectively safeguards the environment and protect the rights of affected communities

Ownership of Mineral Resources

Mineral lands are owned by the State and the exploration, development, utilization and processing thereof shall be under its full control and supervision

The state may directly undertake such activities or it may enter into mineral agreements with contractors

The state shall recognize and protect the rights of the ICCs to their ancestral lands as provided by the Consti

o No ancestral land shall be opened for mining operations w/o the FPIC of the indigenous cultural minority concerned

Mineral lands and Mineral Deposits

Mineral lands – any area where mineral resources are found

Minerals – all naturally-occuring inorganic substance in solid, gas, liquid, or any intermediate state excluding energy materials such as coal, petroleum, natural gas, radioactive materials and geothermal energy

Mineral resources – any concentration of minerals/rocks with POTENTIAL economic value

Mineral deposits – natural deposits or accumulation of minerals, belong to the state, whether found in public or private lands, or in beds of creeks, rivers, lakes or other submerged lands w/in the territorial waters or on the continental shelf

Mineral reservations

The Pres upon the recommendation of the Director through the Sec, may establish mineral reservations

When there is a need to preserve strategic raw materials for industries critical to natl devl, or certain minerals for scientific, cultural or ecological value, the Pres may establish mineral reservations

All submerged lands w/in the contiguous zone and in the exclusive economic zone of the Phils are hereby declared to be mineral reservations

Mine and quarry distinguished

Whether any excavation be a mine or not depends on the mode which it is worked and not on the substance obtained from it

Mine Quarry A work for the excavtion of minerals, by means of pits, shafts, levels, tunnels, and others

The whole excavation is open

Mining Claim

A parcel of land containing precious metal in its soil or rock, and is often used in mining parlance as synonymous with the term ‘location’

Location – the act of appropriating a mining claim on the public domain, accdg to established law or rules

Perfected mining claim deemed withdrawn from public domain

A perfected valid appropriation of public mineral land operates as a withdrawal of the tracts from the body of the public domain, and so long as such appropriation remains valid and subsisting, the land covered thereby is deemed private property

Mineral lands when not deemed part of NatRes

Mineral lands which at the time the constitutional provision took effect no longer formed part of the public domain, they having been segregated from the natural resources in the sense contemplated, do not come within the prohibition

Chapter 2. Prospecting, Location and Registration of Mining Claims

Maximum area of mining claims allowed

Onshore, in any one province – For individuals - 20 blocks For partnerships, coprs, coops, or

assoc – 200 blocks Onshore, in the entire Phils

For individuals – 40 blocks For partnerships etc – 400 blocks

Offshore, beyond 500m from the mean low tied level For individuals – 100 blocks For partnerships etc – 1000 blocks

A block or meridional block means an area bounded by ½ minute of latitude and ½ minute of longitude, containing approximately 81 hect

Areas open to mining operations

All mineral resources in public or private lands, inc timber or forests lands shall be open to mineral


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agreements or financial and technical assistance agreement applications

Mining agreement or financial or technical assistance agreement applications shall not be allowed:

o Military and other govt reservations (XPN: prior written clearance)

o Near or under public or private bldgs, cemeteries, archeological and historic sites, bridges, highways etc

o Areas covered by valid and existing mining rights

o Areas expressedly prohibited by lawo Areas covered by small-scale minerso Old growth or virgin forests

Declaration of Location (Claim) of Mining Claim

A qualified person locating a mining claim is required to prepare by himself or through his agent a declaration of location in the form prescribed, and record it after having been duly accomplished and notarized with the Mines Regional Recorder

Registration of Declaration of Location, etc

The declaration of location is to be filed and registered with the Mines Regional Recorder

Assignment or transfer by the claim-owner as well as any other docu or instruments relating to or affecting any mining right or title thereto or interest therein are likewise to be recorded

Amendment of declaration of location allowable

Provided that such amended declaration will not prejudice pre-existing rights of 3rd persons and that no lease on the mining claim affected has as yet been granted to him by the Govt prior to the filing of the amended declaration

Rights acquired by registration of declaration of location

Shall give the claim owner, his successors and assigns, the right to occupy, explore and develop said claim from the date of the recording thereof

Exploration permit

Before a qualified person may enter into a mineral agreement, he has to explore the land first, and secure an exploration permit from the Bureau of Mines and Geo-sciences

An exploration permit shall be for a period of 2 years subject to annual review and relinquishment or renewal upon the recommendation of the Dir

Declaration of mining project feasibility

The approval of the mining project feasibility and compliance with other requirements provided in

this act shall entitle the holder to an exclusive right to a mineral production sharing agreement or other mineral agreements or financial or technical assistance agreement

Chapter 3. Survey and Lease of Mining Claims

Forms of mineral agreements

Mineral production sharing agreement – is an agreement where the govt grants to the contractor the exclusive right to conduct mining operations w/in a contract area and shares in the gross outpus. The contractor shall provide the financing, technology, management and personnel necessary for the implementation of this agreement

Co-production agreement – is an agreement btw the govt and the contractor wherein the govt shall provide inputs to the mining operations other than the mineral resource

Joint venture agreement – is an agreement where a joint-venture company is organized by the govt and the contractor with both parties having equity shares. Aside from earnings in equity, the govt shall be entitled to a share in the gross output

Maximum area for mineral agreement

Onshore, in any one provinceo For individuals – 10 blockso For partnerships, coops, assoc, or corps –

100 blocks Onshore, in the entire Phils

o For individuals – 20 blockso For partnerships etc – 200 blocks

Offshore, in the entire Philso For individuals – 50 blockso For partnerships etc – 500 blockso For the exclusive economic zone, a larger

area to be determined by the Sec Shall not include mining or quarry areas under

operating agreements btw the contractor and a claim owner /lessee /permitee /licensee

Assignment or transfer of mineral agreement

The rights and obligations derived from a mineral agreement, can not, ordinarily be assigned or transferred unless there is a prior approval of the SENR

Withdrawal from mineral agreement

Contractor may, by giving due notice at any time during the term of the agreement, apply for the cancellation of the mineral agreement due to causes which, in the opinion of the contractor, make continued mining operations no longer feasible or viable


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Provided, that the contractor has met all its financial, fiscal, and legal obligations

Financial or technical assistance agreements; eligibility; maximum contract area

Any qualified person with technical and financial capability to undertake large scale exploration, devl and utilization of mineral resources in the Phils may enter into a financial or technical assistance agreement directly with the govt

Limited to petroleum, mineral oils, minerals Maximum area as provided for the law that a

person may be granted are:o 1,000 meridional blocks onshoreo 4,000 meridional blocks offshoreo Combinations of (a) and (b) provided

that it shall not exceed the maximum limits of onshore and offshore areas

Option to convert into a mining agreement

If the economic viability of the contract area is found to be inadequate to justify large-scale mining operations

Provided, that the mineral agreement shall only be for the remaining period of the orig agreement

In the case of foreign contractor, it shall reduce its equity to 40% in the corp, partnership, assoc or coop

o To allow fil ownership and control

Assignment or transfer of agreement

Subject to the prior approval of the Pres Provided that the Pres shall notify Congress of every

financial or technical assistance agreement assigned or converted

Withdrawal from financial or technical assistance agreement

Contractor shall manifest in writing to the Sec his intention to withdraw form the agreement

Chapter 4. Quarry Resources

Quarry resources defined

Any common stone or other common mineral substance as the Dir of Mines and Geo-sciences may so declare, such as, but not restricted to, marl, marble, granite, volcanic cinders, basalt, tuff and rock phosphate, provided they contain no metals or other valuable minerals in economically substantial quantities

Quarry permit, area; period

any qualified person may apply to the provincial or city mining regulatory board for a quarry permit or

privately owned lands and or public lands for bldg and construction materials

The Provincial governor shall grant the permit after the applicant has complied with all the requirements as prescribed by the rules and regulations

The maximum area which a qualified person may hold at any one time shall be 5 hect

A quarry permit shall have a term of 5 years, renewable for like periods but not to exceed a total term of 25 years

No quarry permit shall be issued or granted on any area covered by a mineral agreement, or financial or technical assistance agreement

Cancellations of quarry permit

May be cancelled by the provincial governor for violations of the provisions of this act

Kinds of quarry permits

1. Commercial sand and gravel permit – permit to extract and remove sand and gravel or other loose or unconsolidated materials which are used in their natural state, w/o undergoing processing from an area of not more than 5 hect

2. Industrial sand and gravel permit – permit to extract sand and gravel and other loose or unconsolidated materials that necessitate the use of mechanical processing covering an area of more than 5 hect

3. Exclusive sand and gravel permit – for your own consumption, provided that there will be no commercial disposition thereof


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NATRES

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