EP CLOA CCLOA Parcelization

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EMANCIPATION PATENT

WHAT IS EMANCIPATION
PATENT?
WHAT IS EMANCIPATION PATENT?

A title granted or awarded to the farmer which represents


absolute ownership over the land under Presidential
Decree No. 27.
WHY WAS PRESIDENTIAL
DECREE NO. 27 ENACTED?
WHY WAS PRESIDENTIAL DECREE NO. 27 ENACTED?

1. In the concept of old land ownership, only few


spawned a valid and legitimate grievances that gave
rise to violent conflict and social tension.
2. To redress such legitimate grievances being one of
the fundamental objectives of the New Society.
3. The reformation which must start with the
emancipation of the tiller of the from his bondage.
WHAT ARE THE
REQUISITES FOR
APPLICATION?
WHAT ARE THE REQUISITES FOR APPLICATION?

Presidential Decree No. 27, October 21, 1972


• Requisites for application:

1. Applicant must be tenant farmers of private agricultural lands;

2. The agricultural lands must be primarily devoted to rice and


corn; and

3. It must be a system of sharecrop or lease-tenancy, whether


classified as estate or not.
WHAT IS THE RETENTION
LIMIT/AWARD CEILING?
WHAT IS THE RETENTION LIMIT/AWARD CEILING?

• The tenant farmer, whether in land classified as


landed estate or not, shall be deemed owner of
a portion constituting a family-size farm of five
(5) hectares if not irrigated and three (3)
hectares if irrigated.
WHAT IS THE
LANDOWNER RETENTION
LIMIT?
WHAT IS THE LANDOWNER RETENTION LIMIT?

• In all cases, the landowner may retain an area of not


more than seven (7) hectares if such landowner is
cultivating such area or will now cultivate it.
WHAT IS THE COST OF
THE LAND OR
COMPENSATION?
WHAT IS THE COST OF THE LAND OR COMPENSATION?

• The value of the land shall be equivalent to two and


one-half (2 1/2) times the average harvest of three
normal crop years immediately preceding the
promulgation of this Decree.

• The total cost of the land, including interest at the rate


of six (6) per centum per annum, shall be paid by the
tenant in fifteen (15) years of fifteen (15) equal annual
amortizations.
WHAT HAPPENS IF
APPLICANT FAILS TO
FULFIL OBLIGATION?
WHAT HAPPENS IF APPLICANT FAILS TO FULFIL OBLIGATION?

• In case of default, the amortization due shall be paid


by the farmers' cooperative in which the defaulting
tenant-farmer is a member, with the cooperative
having a right of recourse against him.
WHAT IS THE REQUISITE
BEFORE THE TITLE TO THE LAND
OWNED BE ACTUALLY ISSUED TO
THE TENANT-FARMER?
WHAT IS THE REQUISITE BEFORE THE TITLE TO THE LAND OWNED
BE ACTUALLY ISSUED TO THE TENANT-FARMER?

• No title to the land owned by the tenant-farmers under


this Decree shall be actually issued to a tenant-farmer
unless and until the tenant-farmer has become a full-
fledged member of a duly recognized farmer's
cooperative.
IS EMANCIPATION
PATENT TRANSFERRABLE?
IS EMANCIPATION PATENT TRANSFERRABLE?

• Generally, title to land acquired pursuant to this


Decree or the Land Reform Program of the
Government shall not be transferable.

• Exception: by hereditary succession or to the


Government in accordance with the provisions of this
Decree, the Code of Agrarian Reforms and other
existing laws and regulations.
WHAT ARE THE STEPS IN
TRANSFERRING THE LAND
TO THE TENANT-TILLER?
WHAT ARE THE STEPS IN TRANSFERRING THE LAND TO THE
TENANT-TILLER?

RENATO V. BARRIOS, G.R. No. 172841 (2010)


The Primer on Agrarian Reform enumerates the steps in transferring the land to the
tenant-tiller, thus:

• First step: the identification of tenants, landowners, and the land covered by OLT;
• Second step: land survey and sketching of the actual cultivation of the tenant to
determine parcel size, boundaries, and possible land use;
• Third step: the issuance of the Certificate of Land Transfer (CLT). To ensure accuracy
and safeguard against falsification, these certificates are processed at the National
Computer Center (NCC) at Camp Aguinaldo;
• Fourth step: valuation of the land covered for amortization computation;
• Fifth step: amortization payments of tenant-tillers over fifteen (15) year period; and
• Sixth step: the issuance of the Emancipation Patent.
ARE QUALIFIED
APPLICANTS OF EPs
DEEMED FULL OWNERS?
ARE QUALIFIED APPLICANTS OF EPs DEEMED FULL OWNERS?

EXECUTIVE ORDER NO. 228 July 17, 1987


- Yes.
Sec. 1. All qualified farmer beneficiaries are now deemed
full owners as of October 21, 1972 of the land they acquired by
virtue of Presidential Decree No. 27.
WHAT ARE THE MODES OF
COMPENSATION TO THE
LANDOWNER?
WHAT ARE THE MODES OF COMPENSATION TO THE LANDOWNER?

EXECUTIVE ORDER NO. 228 July 17, 1987

Sec. 3. Compensation shall be paid to the landowners in


any of the following modes, at the option of the landowners:
Bond payment;
Direct payment in cash or in kind mutually agreed by the
beneficiaries and landowners subject to the approval of DAR; and
Other modes of payment as may be prescribed or approved by
the Presidential Agrarian Reform Council.
CAN AN AWARDED LAND
COVERED BY EP BE A
SUBJECT OF A CONTRACT
OF SALE?
CAN AN AWARDED LAND COVERED BY EP BE A SUBJECT OF A
CONTRACT OF SALE?

DAR OPINION NO. 70-97

- Yes.
As elucidated by the Supreme Court in the Case of Engracia Vinzons-Magana
vs. Hon. Conrado Estrella, et al., 201 SCRA 536, the issuance of Emancipation
Patent confers on the farmer-grantee a vested right of absolute ownership in the
landholding — a right which has become fixed and established and is no longer
open to doubt and controversy. Thus, Emancipation Patent is a proof of ownership
which can be the subject of a contract of sale in the exercise of one's right of
ownership without violating the prohibitions embodied in Section 27 of R.A. No.
6657 (Comprehensive Agrarian Reform Law) relative to sale or disposition of
awarded lands for a period of ten (10) years from their award because said
provision of law solely applies to awarded lands under R.A. No. 6657 covered by
Certificates of Land Ownership Award (CLOAs) and not to PD 27 lands covered by
EPs.
CAN AN AWARDED LAND COVERED BY EP BE A SUBJECT OF A
CONTRACT OF SALE?

• Moreover, DAR Administrative Order No. 08, Series of 1995 (copy


attached) further supports the view relative to sale or disposition of
awarded lands under P.D. No. 27. Specifically, transfer of awarded lands
under P.D. No. 27, as amended by Executive Order No. 228 may be
allowed, provided the following shall be observed:

a) that the productivity of the land shall be maintained;


b) that the buyer will not exceed the landowner ceiling provided by
law; and
c ) that the ownership ceiling of five ( 5 ) hectares shall be imposed.
SUMMARY
SUMMARY

• Under PD No. 27, beneficiaries are issued


certificates of land transfer (CLTs) to entitle them to
possess lands. Thereafter, they are issued
emancipation patents (EPs) after compliance with all
necessary conditions. Such EPs, upon their
presentation to the Register of Deeds, shall be the
basis for the issuance of the corresponding transfer
certificates of title (TCTs) in favor of the corresponding
beneficiaries.
CERTIFICATE OF LAND
OWNERSHIP AWARD (CLOA)
WHAT IS A CERTIFICATE
OF LAND OWNERSHIP
AWARD (CLOA)?
WHAT IS A CERTIFICATE OF LAND OWNERSHIP AWARD (CLOA)?

Agricultural landholdings which are covered by the


Comprehensive Agrarian Reform Program (CARP) are awarded to
qualified farmer-beneficiaries through the issuance of a Certificate
of Land Ownership Award (CLOA). (DAR AO No. 06-16)

Certificate of Land Ownership Award (CLOA) is a document


evidencing ownership of the land granted or awarded to the
beneficiary by DAR, and contains the restrictions and conditions
provided for in R.A. 6657 and other applicable laws. (DAR AO No.
03-90)
WHAT ARE THE
QUALIFICATIONS OF AN
ELIGIBLE BENEFICIARY?
WHAT ARE THE QUALIFICATIONS OF AN ELIGIBLE BENEFICIARY?

1. Landless as defined in R.A. 6657;

2. Filipino citizen;
3. At least fifteen (15) years of age or head of family at the
time of acquisition of the property (titled in the name of the
Republic of the Philippines);

4. Has the willingness, ability and aptitude to cultivate and


make the land productive. (DAR AO No. 10-90)
REPUBLIC ACT NO. 6657, AS AMENDED BY R.A. NO. 9700

AGRARIAN REFORM LAW OF 1988


RA No. 6657 was enacted pursuant to the constitutional mandate
enshrined in Section 4, Article XIII of the 1987 Constitution which
provides:

“SEC. 4. The State shall, by law, undertake an agrarian reform


program founded on the right of farmers and regular farmworkers,
who are landless, to own directly or collectively the lands they till or,
in the case of other farmworkers, to receive a just share of the fruits
thereof. To this end, the State shall encourage and undertake the
just distribution of all agricultural lands, subject to such priorities and
reasonable retention limits as the Congress may prescribe, taking
into account ecological, developmental, or equity considerations, and
subject to the payment of just compensation. In determining
retention limits, the State shall respect the right of small landowners.
The State shall further provide incentives for voluntary land-sharing.”
WHAT ARE THE LANDS
COVERED UNDER R.A. NO.
6657?
WHAT ARE THE LANDS COVERED UNDER R.A. NO. 6657?

(a) All alienable and disposable lands of the public domain devoted to
or suitable for agriculture. No reclassification of forest or mineral lands
to agricultural lands shall be undertaken after the approval of this Act
until Congress, taking into account ecological, developmental and equity
considerations, shall have determined by law, the specific limits of the
public domain.

(b) All lands of the public domain in excess of the specific limits as
determined by Congress in the preceding paragraph;

(c) All other lands owned by the Government devoted to or suitable


for agriculture; and

(d) All private lands devoted to or suitable for agriculture regardless


of the agricultural products raised or that can be raised thereon. (Sec.4)
WHAT ARE THE LANDS
EXEMPTED FROM CARP
COVERAGE?
WHAT ARE THE LANDS EXEMPTED FROM CARP COVERAGE?

Section 10 of RA No. 6657, as amended by RA No. 7881, dated


February 20, 1995, exempts or excludes the following from CARP
coverage:

(a) Lands actually, directly and exclusively used for parks,


wildlife, forest reserves, reforestation, fish sanctuaries and
breeding grounds, watersheds and mangroves;

(b) Private lands actually, directly and exclusively used for


prawn farms and fishponds; Provided, That said prawn farms and
fishponds have not been distributed and Certificate of Land
Ownership Award (CLOA) issued to agrarian reform beneficiaries
under the CARP, and subject further to the conditions prescribed
in the law;
WHAT ARE THE LANDS EXEMPTED FROM CARP COVERAGE?

(c) Lands actually, directly and exclusively used and found to be necessary
for:

— national defense, school sites and campuses, including experimental


farm stations operated by public or private schools for educational
purposes, seeds and seedling research and pilot production center;
— church sites and convents appurtenant thereto, mosque sites and
Islamic centers appurtenant thereto, communal burial grounds and
cemeteries;
— penal colonies and penal farms actually worked by the inmates;
— government and private research and quarantine centers; and
— all lands with eighteen percent (18%) slope and over, except those
already developed.
WHO ARE THE QUALIFIED
BENEFICIARIES?
WHO ARE THE QUALIFIED BENEFICIARIES?

SECTION 22. Qualified Beneficiaries. – The lands covered by the


CARP shall be distributed as much as possible to landless residents of
the same barangay, or in the absence thereof, landless residents of the
same municipality in the following order of priority:

(a) agricultural lessees and share tenants;


(b) regular farmworkers;
(c) seasonal farmworkers;
(d) other farmworkers;
(e) actual tillers or occupants of public lands;
(f) collectives or cooperatives of the above beneficiaries; and
(g) others directly working on the land.
WHO ARE THE QUALIFIED BENEFICIARIES?

Provided, however, That the children of landowners who


are qualified under Section 6 of this Act shall be given
preference in the distribution of the land of their parents: and
provided, further, that actual tenant-tillers in the landholdings
shall not be ejected or removed therefrom.
WHO ARE LANDLESS
BENEFICIARIES?
WHO ARE THE LANDLESS BENEFICIARIES?

For purposes of this Act, a landless


beneficiary is one who owns less than three
(3) hectares of agricultural land. (Par. 2,
Sec. 25)
WHAT IS THE AWARD
CEILING FOR THE
BENEFICIARY?
WHAT IS THE AWARD CEILING TO THE BENEFICIARY?

SECTION 25. Award Ceilings for Beneficiaries. –


Beneficiaries shall be awarded an area not
exceeding three (3) hectares which may cover a
contiguous tract of land or several parcels of land
cumulated up to the prescribed award limits.
WHAT IS THE RETENTION
LIMIT OF THE
LANDOWNER?
WHAT IS THE RETENTION LIMIT OF THE LANDOWNER?

SECTION 6. Retention Limits. – Except as otherwise provided in this


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

There shall be incorporated after Section 6 of Republic Act No. 6657,


as amended by Section 4 R.A. No. 9700

“SEC. 6-A. Exception to Retention Limits. — Provincial, city and


municipal government units acquiring private agricultural lands by
expropriation or other modes of acquisition to be used for actual, direct
and exclusive public purposes, such as roads and bridges, public
markets, school sites, resettlement sites, local government facilities,
public parks and barangay plazas or squares, consistent with the
approved local comprehensive land use plan, shall not be subject to the
five (5)-hectare retention limit under this Section and Sections 70 and
73(a) of Republic Act No. 6657, as amended: Provided, That lands
subject to CARP shall first undergo the land acquisition and distribution
process of the program: Provided, further, That when these lands have
been subjected to expropriation, the agrarian reform beneficiaries
therein shall be paid just compensation.”
IS THE SALE OF THE RETAINED
LAND BY THE LANDOWNER
VALID?
IS THE SALE OF THE RETAINED LAND BY
THE LANDOWNER VALID?
IS THE SALE OF THE RETAINED LAND BY THE LANDOWNER VALID?

YES.
SECTION 70. Disposition of Private Agricultural Lands. –
The sale or disposition of agricultural lands retained by a
landowner as a consequence of Section 6 hereof shall be
valid as long as the total landholdings that shall be owned
by the transferee thereof inclusive of the land to be
acquired shall not exceed the landholding ceiling provided
for in this Act.

Note: Any sale or disposition of agricultural lands after the effectivity of this Act found to
be contrary to the provisions hereof shall be null and void.
QUASI-JUDICIAL POWERS OF
THE DAR
QUASI-JUDICIAL POWERS OF THE DAR

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).
SUMMARY
SUMMARY

Under RA No. 6657, the procedure has


been simplified. Only certificates of land
ownership award (CLOAs) are issued, in lieu
of EPs, after compliance with all
prerequisites. Thereafter, upon presentation
of the CLOAs to the Register of Deeds, TCTs
are issued to the designated beneficiaries.
CLTs are no longer issued.)
Collective CLOA &
CCLOA Parcelization
What is Collective CLOA (CCLOA)?
- refers to an existing registered CLOA issued
by the DAR to farmers’ cooperative, farmers’
association, other organized group of ARBs,
or group of ARBs not organized.
Conditions for the Issuance of Collective Titles

1 The current farm management


system of the land covered by CARP
2 The farm labor system is specialized, where
the farmworkers are organized by functions
will not be appropriate for individual and not by specific parcels such as spraying,
farming of farm parcels weeding, packing and other similar functions

3 The potential beneficiaries are


currently not farming individual
4 The farm consists of multiple crops being
farmed in an integrated manner or includes
parcels but collectively work on large non-crop production areas that are
contiguous areas necessary for the viability of farm operations,
such as packing plants, storage areas, dikes,
and other similar facilities that cannot be
subdivided or assigned to individual farmers.
Shall collective ownership be allowed for idle and
abandoned lands or underdeveloped agricultural
lands?
- Yes, only if beneficiaries opt for it and there is a clear
development plan that would require collective farming
or integrated farm operations exhibiting the conditions
described in the preceding slide.

Otherwise, the land awarded to a farmer-beneficiary


should be in the form of an individual title, covering one (1)
contiguous tract or several parcels of land cumulated up to
a maximum of three (3) hectares.
What are the types of collective CLOAs?
The option to select a collective Certificate of
Land Ownership Award (CLOA) may be
exercised by the Agrarian Reform
Beneficiaries (ARBs) pursuant to Section 25,
RA 6657, which specifies the following types
of collective CLOAs:

(1) on co-ownership basis;


(2) farmers' cooperatives; and
(3) some other forms of farmers' collective
organization.
What is the other reason for the issuance
of a collective CLOA?
The DAR may also opt to issue a collective
Certificate of Land Ownership Award in case
it is not economically feasible and sound to
divide the land among the worker-
beneficiaries pursuant to Section 29 of RA
6657.
What are the lands covered under CCLOA?
All private agricultural lands, public lands
within proclaimed DAR settlement projects
and those lands turned over to the DAR by
other government agencies and institutions
pursuant to Executive Order No. 407, as
amended by Executive Order No. 448.
What is the award limit?
The total area that may be awarded under a
collective CLOA shall not exceed the total
number of co-owners, or members of the
cooperative or collective organization
multiplied by the award limit of three (3)
hectares except in meritorious cases as
determined by the PARC, pursuant to Section
25 of RA 6657.
How are the lands subdivided?
Lands covered by collective CLOAs on a co-
ownership basis shall be subdivided in
accordance with the actual occupancy of
the ARBs, provided it does not exceed three
hectares.

Landholdings covered by CLOAs in the name


of a cooperative or farmers' association
may, at the option of the organization, also
be subdivided based on the share of each
member provided that the subdivision as
determined by the DAR shall be
economically feasible.
In issuing individual CLOAs
- Within ten (10) years from the issuance of a collective CLOA, the
DAR shall retain the option to generate the individual CLOAs in the
name of the ARBs. the subsequent individual CLOAs to be
generated by the DAR for each co-owner shall be on Transfer
Certificate of Title (TCT) CLOA Forms to be subsequently registered
with the Office of the Register of Deeds (ROD) concerned.

- Beyond ten (10) years, the issuance of individual certificates of title


shall already be subject to the procedures and requirements of the
Land Registration Authority (LRA) pursuant to the Land Registration
Decree (PD 1529).

10-year restriction shall be reckoned from the date of the


issuance of the collective CLOA.
CCLOA Parcelization
“With regard to existing collective certificates of land ownership
award, the DAR should immediately undertake the parcelization
of said certificates of land ownership award, particularly those
that do not exhibit the conditions for collective ownership
outlined above. The DAR shall conduct a review and
redocumentation of all the collective certificates of land
ownership award. The DAR shall prepare a prioritized list of
certificates of land ownership award to be parcelized. The
parcelization shall commence immediately upon approval of this
Act and shall not exceed a period of three (3) years. Only those
existing certificates of land ownership award that are collectively
farmed or are operated in an integrated manner shall remain as
collective.”
—Section 25 of the Republic Act (R.A.) No. 6657, as amended by Section 10 of R.A. No. 9700
Parcelization of Landholdings (LH) with CCLOAs
- refers to the process of subdividing and
determining the exact metes and bounds of
the areas, allocation of lots to ARBs in a
CCLOA, determination of common use
areas, portions with common service
facilities and establishment of areas
capable of being alienated and disposed of
by the government.
Will parcelization still take place even if some
ARBs want to maintain the CCLOA?
- Yes, in cases where some of the ARBs choose to
maintain the CCLOA while others opt to
dissociate himself/themselves from a CCLOA,
the same shall be parcelized resulting to a
combination of individual c-Titles and
collective c-Titles subject to existing laws and
policies of DAR.

Computerized Title (c-Title) – a result of the subdivision or


parcelization of a CCLOA previously generated, registered and
issued to a group of ARBs by DAR for LHs covered and awarded
by CARP. It contains the restrictions and conditions provided in RA
6657 as amended by RA 9700 and other applicable laws.
What is the share of each ARB?
- Each of the ARB in the CCLOA shall be
entitled for a share not to exceed the
three (3)-hectare award ceiling under
CARP
What happens to excess area after
parcelization?
- The PARPO II shall cause the simultaneous
conduct of identification, screening and
selection of additional qualified
beneficiaries in accordance with
pertinent policy under RA 6657, as
amended.
What happens when ARBs disagree on the
equitable allocation of the land?
The following shall be observed, whichever is
applicable:

1. Manner provided under “Clarificatory


Guidelines Governing the Identification,
Screening and Selection of Farmworker
Beneficiaries for Haciendas, Commercial
Farms and Plantations Pursuant to RA
6657, as amended”; or

2. Conduct of raffle.
When ARBs are married
DAR A.O. No. 1, Series of 2011 and DAR A.O. No.
7, Series of 2011, as amended, provides that:

“Sec. 105. Farmers who are husband/wife


directly working on the subject land maybe
entitled to three (3) hectares each. Provided
that they are qualified as ARBs in their own
respective vested rights to the said land
which have been duly established.”
Parcelization Process

MARPO/designated MARPO/designated Execution of Lot


personnel shall personnel shall Allocation
prepare and send discuss the Agreement
a Notice of Meeting parcelization,
to all registered schedule of
ARBs activities and
documentary
requirements from
the ARBs
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