1919-Visayan Refining Co. v. Camus
1919-Visayan Refining Co. v. Camus
1919-Visayan Refining Co. v. Camus
SYLLABUS
DECISION
STREET , J : p
We would not of course pretend that, under our modern system of Government,
in which the Legislature plays so important a role, the executive department could,
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without the authority of some statute, proceed to condemn property for its own uses;
because the traditional prerogatives of the sovereign are not often recognized
nowadays as a valid source of power, at least in countries organized under republican
forms of government. Nevertheless it may be observed that the real check which the
modern Legislature exerts over the Executive Department, in such a matter as this, lies
not so much in the extinction of the prerogative as in the fact that the hands of the
Executive can always be paralyzed by lack of money — something which is ordinarily
supplied only by the Legislature.
At any rate the conclusion is irresistible that where the Legislature has expressly
conferred the authority to maintain expropriation proceedings upon the Chief Executive,
the right of the latter to proceed therein is clear. As is said by the author of the article
from which we have already quoted, "Once authority is given to exercise the power of
eminent domain, the matter ceases to be wholly legislative. The executive authorities
may then decide whether the power will be invoked and to what extent." (10 R. C. L., p.
14.)
The power of eminent domain, with respect to the conditions under which the
property is taken, must of course be exercised in subjection to all the restraints
imposed by constitutional or organic law. The two provisions by which the exercise of
this power is chie y limited in this jurisdiction are found in the third section of the
Jones Act, already mentioned, which among other things declares (1) that no law shall
be enacted which shall deprive any person of property without due process of law and
(2) that private property shall not be taken for public use without just compensation.
The latter of these provisions is directly aimed at the taking of property under the
exercise of the power of eminent domain; and as this requirement, in connection with
the statutes enacted to make sure the payment of compensation, usually affords all the
protection that the owner of property can claim, it results that the due process clause is
rarely invoked by the owner in expropriation proceedings.
Nevertheless it should be noted that the whole problem of expropriation is
resolvable in its ultimate analysis into a constitutional question of due process of law.
The speci c provisions that just compensation shall be made is merely in the nature of
a superadded requirement to be taken into account by the Legislature in prescribing the
method of expropriation. Even were there no organic or constitutional provision in force
requiring compensation to be paid, the seizure of one's property without payment, even
though intended for a public use, would undoubtedly be held to be a taking without due
process of law and a denial of the equal protection of the laws.
This point is not merely an academic one, as might super cially seem. On the
contrary it has a practical bearing on the problem before us, which may be expressed
by saying that, if the Legislature has prescribed a method of expropriation which
provides for the payment of just compensation, and such method is so conceived and
adapted as to ful ll the constitutional requisite of due process of law, any proceeding
conducted in conformity with that method must be valid.
These considerations are especially important to be borne in mind in connection
with the second contention made by counsel for the petitioners, namely, that land
cannot be expropriated by the Government in the absence of a legislative appropriation
especially destined to pay for the land to be taken. To this question we now address
ourselves; and while we bear in mind the cardinal fact that just compensation must be
made, the further fact must not be overlooked that there is no organic or constitutional
provision in force in these Islands requiring that compensation shall actually be paid
prior to the judgment of condemnation.
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If the laws which we have exhibited or cited in the preceding discussion are
attentively examined it will be apparent that the method of expropriation adopted in this
jurisdiction is such as to afford absolute assurance that no piece of land can be nally
and irrevocably taken from an unwilling owner until compensation is paid. It is true that
in rare instances the proceedings may be voluntarily abandoned before the
expropriation is complete or the proceedings may fail because the expropriator
becomes insolvent, in either of which cases the owner retains the property; and if
possession has been prematurely obtained by the plaintiff in the proceedings, it must
be restored. It will be noted that the title does not actually pass to the expropriator until
a certi ed copy of the record of the judgment is recorded in the o ce of the register of
deeds (sec. 251, Code Civ. Proc.). Before this stage of the proceedings is reached the
compensation is supposed to have been paid; and the court is plainly directed to make
such nal order and judgment as shall secure to the defendant just compensation for
the land taken. (Sec. 246, Code Civ. Proc.) . Furthermore, the right of the expropriator is
nally made dependent absolutely upon the payment of compensation by him. (Sec. 3,
Act No. 2826; sec. 247, Code Civ. Proc.).
It will be observed that the scheme of expropriation exempli ed in our statutes
does not primarily contemplate the giving of a personal judgment for the amount of the
award against the expropriator: the idea is rather to protect the owner by requiring
payment as a condition precedent to the acquisition of the property by the other party.
The power of the court to enter a judgment for the money and to issue execution
thereon against the plaintiff is, however, unquestioned; and the court can without doubt
proceed in either way. But whatever course be pursued the owner is completely
protected from the possibility of losing his property without compensation.
When the Government is plaintiff the judgment will naturally take the form of an
order merely requiring the payment of the award as a condition precedent to the
transfer of the title, as a personal judgment against the Government could not be
realized upon execution. It is presumed that by appearing as plaintiff in condemnation
proceedings, the Government submits itself to the jurisdiction of the court and thereby
waives its immunity from suit. As a consequence it would be theoretically subject to the
same liability as any other expropriator. Nevertheless, the entering of a personal
judgment against it would be an unnecessary, as well as profitless formality.
In the face of the elaborate safeguards provided in our procedure, it is frivolous
to speculate upon the possibility that the Legislature may nally refuse to appropriate
any additional amount, over and above the provisional deposit, that may be necessary
to pay the award. That it may do. But the Government can not keep the land and
dishonor the judgment. Moreover, in the eventuality that the expropriation shall not be
consummated, the owners will be protected by the deposit from any danger of loss
resulting from the temporary occupation of the land by the Government; for it is
obvious that this preliminary deposit serves the double purpose of a prepayment upon
the value of the property, if nally expropriated, and as an indemnity against damage in
the eventuality that the proceedings should fail of consummation.
It appears that the money represented by the certi cate of deposit which was
placed at the disposal of the lower court, pursuant to the requirements of section 2 of
Act No. 2826, was taken from certain appropriations under the control of the Militia
Commission, a body created by section 29 of Act No. 2715, for the purpose, among
others, of advising the Governor-General upon measures relative to the organization,
equipment, and government of the National Guard and reserve militia. Counsel for the
petitioners say that money appropriated for the purposes of the Militia Commission
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cannot be lawfully used to acquire the land which is now the subject of expropriation,
because no authority for the exercise of the power of eminent domain is to be found in
any of the Acts appropriating money for said Commission; from whence it is argued
that the certificate of deposit affords no protection to the owners of property.
The point appears to be one of little general importance, and we will not multiply
words over it. Su ce it to say that in our opinion the Insular Auditor was acting within
his authority when he let this money out of the Insular Treasury; and being now within
the control of the lower court, it will doubtless in due time be applied to the purpose for
which the deposit was made.
From the foregoing discussion it is apparent that the action taken by the lower
court in the condemnation proceedings aforesaid was in all respects regular and within
the jurisdiction of the court. The writ prayed for in the petition before us, therefore, can
not be issued. The application is accordingly denied, with costs against ,the petitioners.
Arellano, C. J., Torres, Araullo and Avanceña, JJ., concur.
Johnson, J., reserves the right to prepare a separate opinion.
Separate Opinions
MALCOLM , J., concurring :
I agree with the conclusion arrived at in the majority decision. I am clearly of the
opinion that the alternative application for a writ of certiorari or prohibition should not
be granted. An analysis into their simplest elements of the various questions presented
may easily be made as follows: 1. The power of the Philippine Government in eminent
domain; 2. The constitutional prohibition that (A) private property (E) shall not be taken
for public use (C) without just compensation; and 3. The constitutional prohibition that
no money shall be paid out of the treasury except in pursuance of an appropriation by
law.