Natural Resourceso Refer to the material objects of economic value and utility to

man produced by nature.o They constitute the patrimony of the nation.o Manila Prince Hotel vs GSIS

National patrimony refers not only to the natural resources of the Philippines but also to the cultural heritage of theFilipinos.

Laws Governing the Subjecto PLAo The Petroleum Acto Revised Forestry Codeo Fisheries Code o Water Codeo Philippine Mining Acto IPRA Lawo Coal Land Act

Doctrine of Constitutional Supremacyo Means that when a law or contract violates the norm of the

constitution whether promulgated by the legislative or executive or entered into by private persons is null and void and without any force or effect. Since the Constitution is paramount, fundamental and supreme law of the nation, it is deemed written in every statute.

Jura Regalia or Regalian Doctrineo Section 2, Article XII of 1987 Constitution

1 st sentence All lands of public domain, Water, Minerals, Coal, Petroleum and other Mineral oils, All forces of potential energy, Fisheries, Forest or timber, Wildlife Flora and fauna and Other natural resources are owned by the state

o 2 nd sentence Exception of Agricultural Lands

o 3 rd sentence

EDU under full control and supervision of the Stateo 4 th sentence

State may enter into CP, JV, PSA with FC, corp., asso., with 60% owned capital

o 5 th sentence Period of not more than 25 years renewable for another

25 yearso 6 th sentence

Limitation of Grant in Water Rights for Irrigation Water supply Fisheries Industrial uses other development of water power

o 2 nd paragraph Protection of Marine wealth

o 3 rd paragraph Small scale utilization of NR Cooperative fish farming

o 4 th paragraph Large scale EDU

Entered into by the president with foreign-owned corporations involving either technical or financial assistance.

subject to general terms and conditions provided by the law

in such condition the State shall promote the development and use of local scientific and technical resources

o 5 th paragraph Notification of President to Congress

Within 30 days from its execution

Imperiumo is the government authority possessed by the State which is

expressed in the concept of Sovereignty.Dominium

o is the capacity of the State to acquire property.Presumption of State Ownership

o GR All lands that were not acquired from the government either by purchase or grant belong to the public domain

o EXP possession since time immemorialNature of possession by the natives

o Ancestral domain and ancestral lands are not part of lands of the PD.

Ancestral Domaino All embracing concept which refers to lands, inland waters,

coastal areas and natural resources therein.o It includes lands which may no longer be exclusively occupied

by the indigenous cultural cxs but to which they had traditionally had access for their subsistence and traditional activities.

Ancestral Landso Narrower in concepto Refers to those lands held under the same conditions of

ancestral domaino But limited to lands that are not merely occupied and possessed

but are also utilized by cultural cxs under the claim of individual or traditional group ownership.

Executive Prerogativeo The classification of public lands is, thus, an exclusive

prerogative of the Executive Department through the Office of the President

o Courts have no authority to convert lands of public domain into alienable and disposable lands.

o Title over land part of forest is void.

Constitutional Limits #1o GR: all natural resources shall not be alienatedo EXP: only agricultural lands of the PD may be alienated

Government lands are not all public landsFriar lands are not included as public lands

o Friar Lands are those lands of certain haciendas acquired by US government from religious organizations acquired on July 5, 1903 at a price of 6M in gold.

Disposition of Friar Landso Under Act No. 1120 which governs the administration and

disposition of friar lands The purchase by an actual occupant and bona fide settler

of any portion of FL shall be agreed upon by the purchaser and the DL subject to the approval of Sec of ANR.

Absence of approval will render the sale null and void ab initio because the approval is an indispensable requisite for its validity.

Classification of Lands in PDo Agricultural;o Forest or timber;o National parks;o Mineral. no mixed classification (Republic vs CA 1988)

Surface owner has no right over the minerals underneatho For the loss, the owner is entitled to compensation under the

Mining Law or in appropriate expropriation proceedings.

Mangrove Swamps are forest landso Under the administrative code.

Rules on disposition of ALPo Private Corp./assn.

cannot acquire ALP may lease maximum area of 1000 hectares

o Qualified Individuals Can acquire 12 hectares May lease up to 500 hectares

Term of lease is for 25 years, renewable for another 25 years.o Purpose

To equitably diffuse ownership or to encourage “owner-cultivatorship” and the” economic family-size farm.”

Huge lanholdings by the corporations or private persons had sown social unrest.

o Exception: Under parity agreement (tidings-McDuffie)

Americans may own ALP of maximum area of 1024 hectares as appended in 1935 Constitution and revised by the Laurel-Langley Agreement.

Under ‘parity agreement’, US citizen and corporations may acquire lands of the public domain but they cannot acquire private lands.

Their rights is until July 3, 1974. Vested rights has to be respected. It could not be

abrogated by the new Constitution. (Lausan Ayog vs Cusi, 1982)

Rights of natural-born Filipino who have lost their Citizenshipo Under RA 8179 former natural-born Filipino may acquire the ff:

500sq.m- urban land

3000 sq.m- rural land For business or other purposes

Constitutional Limit #2o EDU of NR must be under full control and supervision of the State

under the constitutionally allowed modes

Allowed modes of EDUo Direct undertakingo Co-production

Gov’t shall provide inputs to the mining operations other than the mineral resource

o Joint Venture Agreement Both parties having equity share Aside from earnings in equity, Gov’t is entitled to share on

the gross output.o Production sharing agreement

Contractor provide the financing, technology, management and personnel to conduct mining operations

Shares in gross outputo Financial or technical assistance agreement

Financial assistance for large scale EDU of mineral resources.

Only to mineral, petroleum, and other mineral oils. Safeguards:

o Service contract must be in accordance with general law setting standard terms;

o The president be the signatory for the gov’to The president report the executed agreement

to congress within 30 days.

Full control is not a mathematic day to day management by the contractor, provided that the State retains the power to direct overall strategy;

o and to set aside , reverse or modify plans and actions of the contractor.

Control by the State means to regulate the conduct of affairs in various enterprises and restrain activities deemed not desirable or beneficial with the end view of ensuring that these enterprises

Contribute to economic development and general welfare of the country,

Conserve the environment,

Uplift the well-being of the local affected communities.Constitutional limit #3

o All agreements in respect to EDU of natural resources should not exceed 25 years

o Renewable for another 25 yearso Water rights not covered by the 25 year limit

Constitutional limit #4o use and enjoyment of the marine wealth of the archipelagic

waters, territorial sea and EEZ reserved for FC only.o Archipelagic waters- water around, between and connecting

islands of archipelagoo Territorial sea- belt of the sea located between the coast and

internal waters of the coastal state on the one hand and the high seas on the other extending up to 12 NM from the low water mark

o Contiguous Zone- area of the sea extending up to 12NM from the territorial sea

o EEZ- area of the sea extending up to 200 NM from the low water mark.

Constitutional limit #5o Utilization of NR in rivers, lakes, bays and lagoonso Allowed only on a small scale to FC or cooperativeo Priority given to subsistence fishermen and fishworkers.o It is only a “preferential right” but not an absolute right.

This can be regulated for the right of the people to a balanced ecology by LGUs. (tano vs Socrates, 1997)

Public Land Act CA 141November 7, 1936

Coverage: Lands of the PDExcludes: timber and mineral lands; friar landsDENR secretary- Executive officer to carry out the actDirector of Lands- has direct executive control of the survey, classification, lease, sale or any other land of PD

Doctrine of Indefeasibility of Torrens title (PD 1529) GR: the decree of registration and the certificate of title issued

shall become inconvertible after the lapse of one year form date of entry.

EXP: when the State bring an action for reversion of PL even after 1 year if procured through

o Fraud ando Misrepresentation.

Actions for reversion do not prescribe.o Prescription and laches will not bar actions filed by the

State to recover its property acquired through fraud by private individuals.

o The RP is the real party in interest.Pre-requisite for disposition of ALP

o Formal declaration by the President Upon recommendation of the DENR Secretary to effect

that such lands are open to disposition or concession and whenever practicable the lands should have been

previously surveyed.Excluded from disposition

o Those reserved for public or quasi-public useso Those that have become private property or subject to private

right.

Alienation o Disposition or concession o Means methods authorized by CA 141 for acquisition, lease, use

or benefit of the lands of the PD other than timber or mineral lands.

Modes of dispositiono Homesteado Saleo Leaseo Confirmation of imperfect or incomplete title

By judicial legalization By administrative legalization or free patent

Material allegations in applications for grant of PLo Legal qualificationso Purpose for the use of land according to the object specified in

the application and the land is suitable for the purpose contemplated

o For the exclusive use of applicanto Description and location of the lando Occupancy, cultivation, improvements on land, in anyo Allegation that the land is not timber or mineral land and does

not contain deposits of salt or coal.o Applicant is prohibited to make any clearing on or utilize the

easement area for ordinary farming

Requirement on personal tillageo Applicant or transferee must enter and work to improve and

cultivate the land by himself within the periods prescribed for the various modes of concession under the PLA.

o Share tenancy is prohibited: violation will result to cancellation of the grant and forfeiture of improvements in favor of the government.

Remedies from decision of BL directoro Motion for reconsiderationo Appeal to the DENR secretaryo If affirmed by the DENR secretary

File a motion for reconsiderationo If denied, file special civil action on certiorari under R65o Decision of th BL cannot be collaterally attacked.

Mode 1Homestead

o It is a home, the house and the adjoining land where the head of the family dwells,

o the home farm; fixed residence of the head of a family with the land and buildings surrounding main house.

Statutory privileges accorded to Homestead lando Exempt from execution

o Cannot be held liable for the satisfaction of an obligation within 5 years from issuance of patent

o If validly mortgage under act 3135 Right of redemption

The mortgagor may redeem the property within 1 year from the registration of the certificate of sale.

If he fails to do so, he or his heirs may repurchase the property within 5 years from the date of sale not from the date of registration at the ROD.

The 5 year period to be reckoned from the date of expiration of the one year period.

o If validly mortgage to a rural bank 5 year period to commence to run after the expiration of

the 2 year period redemption allowed under Rural Banks Act.

Rural bank of Davao vs CA, 1993 The mortgagor may redeem the property within 2

years from the date of foreclosure. If the mortgagor failed to exercise the right

He or his heirs may still repurchase the property within 5 years from the date of expiration of the 2 year redemption period.

Homestead lands are not exempt from coverage of agrarian reform law (Paris vs Alfeche, 2001)

the right to retain 7 hectares of land is subject to condition that the landowner is actually cultivating that area or will cultivate upon the effectivity of the law.

Qualification to obtain homestead FC 18 years or head of the family Must not own more than 12 hectares of land

Nor has any gratuitous allotment of more than 12 hectares of land

o If applicant is married woman She must be living separately from her husband Not dependent for support Her husband is insane or physically incapacitated to work; Husband is in prison

Mandatory requirements in homestead application

Homesteader must start to improve and cultivate the land within 6 months after the approval;

Homesteader must have cultivated at least 1/5 of the land within a period of not less than 1 year or more than 5 years from date of approval of application;

Continuous residency in the same municipality where homestead is located or in adjacent municipality for at least 1 year; and

Abandonment for more than 6 months at any one time during period of required residency and occupation.

Conditions before applicant may validly transfer his rights BEFORE the issuance of patent

He has already complied with all the requirements; His non-continuance is of no fault of his own; Made to a bona fide purchaser legally qualified to apply

homestead; Not for speculative purpose; and Approved by the BL director

Restrictions: Homestead cannot encumbered or alienated during the period

from date of approval up to the date of issuance of patent; Encumbrance or alienation within 5 years from the date of

issuance of patent or grant is prohibited; Homestead cannot be held liable to the satisfaction of any debt

contracted prior to the expiration of said period; Exp: improvements or crops on the homestead land

Alienation, transfer, or conveyance after 5 years and before 25 years requires approval of the DENR secretary.

Rules on right of redemption/repurchase of homestead lando 5 years

if mortgage or sold to a Private persono 6 years

if mortgaged covered under Act 3135o 7 years

If mortgaged to a Rural Banko None

if sold to family membero None

if not devoted for agriculture

patentee is already 71 years old not anymore residing in the property and his motivation for the repurchase was purely for profit.

o Period must be reckoned from date of sale or conveyance.

Mode 2Sales of Public Agricultural Lands

Qualificationso FCo Legal age or head of the familyo Maximum of 12 hectares

Conditions:o ALP must not be located:

Within 10 kms from the boundaries of the city proper in chartered cities;

Within 5 kms from municipal hall or town plaza of any municipality

o There must actual occupation on the landso Total landholdings must not exceed 5 hectares

Excess landholdingo Qualified individuals:

The area in excess of 12 hectareso For corporations:

Any land acquired by virtue of foreclosure is deemed in excess of landholding

Hence, must be disposed of within 5 years

Procedure in Sale of ALPo Filing of applicationo Appraisal conducted by the BL director and approved by the

DENR secretaryo Publication of the notice of sale

Once a week for 3 consecutive weeks in the OG and 2 newspapers

One published in Manila and Other municipality or province where the land is

situated.o Posting

in the Bulletin Board of the LMB QC and in 3 conspicuous places in the provincial capitol and the

municipal hall where the the land is situatedo Submission of bids in sealed envelope

Addressed to the BL Director together with the 10% amount of the bid in

cash, certified check treasury warrant postal money order

o Opening of bids and awarding to the highest bidder

Rules in Biddingo 2 or more highest equal bids

And one belongs to the applicant Applicant wins

o If highest bid is not that of applicant Oral bidding is called

Instances: Two or more of such sealed bids turn out to be

equal and the highest, and that of the applicant is not one of them

ALP to be sold has been declared to be vacant and no applicant is recognized to have preferential rights over it.

And highest oral bidder winso In all instances

Applicant is given the option to equal the highest bidder.

Paymento May be in FULL oro In 10 equal annual installments

Reckoned from the date of the award Overdue installment is subject to 4% interest

Requisites before sales patent is issuedo he must have occupied the land applied for;o he must have cultivated at least 1/5 of the land within 5 years

after the date of the reward;o when the application is for pasture

he must have grazed on the land with his own cattle numbering at the rate of one head for every 2 hectares;

failure to comply or any voluntary abandonment for more than one year at any given time, the land may be reverted and all prior payments forfeited.

Valid conveyance of land prior to issuance of sales patento Sec 29 allows applicant to convey or encumber his rights after

cultivation has started

o Conditions: It does not affect the interest of the government Transferor is not delinquent in paying the installment due There must be prior approval of the DENR Secretary.

Without approval violates sec 29 The effect is annulment of the sales application as if

none had been filed.Joint venture

o is allowed in sale of public land Barreo v Rivera Where one person contributes his capital, consisting oh

his duly approved sales application and another contributes his labor and money to finalize the cultivation of same land a joint venture or partnership is formed under A 1767 of CC.

o Is not allowed in homestead A homestead applicant is required by law to occupy and

cultivate the land for his own and his family benefit, and not for the benefit of someone else.

If homesteader occupies and cultivates the land on behalf of another person and obtains title on the understanding that a portion would be transferred to him

o It is invalid, hence bars issuance of the patent.

Restrictions in sale of public lando Survey plan must be made before issuance of sales patent;o Mineral deposits not included in conveyance;o Land subject to legal servitudes;o Subject to ROW not exceeding 60m in width for public

highways, railroad, irrigation canals;o After the grant of title

Subsequent transfer within 10 years from grant or cultivation is not valid without consent from the State.

When land becomes of private ownershipo it is only upon issuance of the sales patent that the Government

is divested with its title.o Approval of the application merely authorizes applicant to

take possession of the land in order for him to comply with the requirements set by law

o Meanwhile the government still remains the owner The application can be cancelled if it shown the

requirements are not complied with.Annulment of Patent

o Director of lands can investigate violations even while the patent and corresponding title have already been issued.

o He cannot render decision annulling the sales patent since annulment is a judicial process.

Mode 4Lease of ALP

Qualifications:o FC of legal age (500 hectares)o Private corporation or association registered under the laws of

the Phils whose capital stock of at least 60% is owned by the Filipinos (1000Hec)

Limitations:o Any officer, employee, stockholder, etc of a corp/assn already

holding ALP may not apply for lease of such land. In case it may be allowed

It must be necessary to carry out on his business

Procedure in Sale of ALPo Filing of applicationo Appraisal conducted by the BL director and approved by the

DENR secretaryo Publication of the notice of sale

Once a week for 3 consecutive weeks in the OG and 2 newspapers

One published in Manila and Other municipality or province where the land is

situated.o Posting

in the Bulletin Board of the LMB QC and in 3 conspicuous places in the provincial capitol and the

municipal hall where the the land is situatedo Submission of bids in sealed envelope

Addressed to the BL Director together with the 10% amount of the bid in

cash, certified check treasury warrant

postal money ordero Opening of bids and awarding to the highest bidder

No bid will be consideredo If proposed rent is less than 3% of the appraised value of the

lando The bidder did not deposit rental equivalent to at least the first

3 months of the lease.o If the land applied for is for grazing, annual rental must not be

less than 2%.

Conditions in lease of ALPo Rental:

To be paid in advance starting from the date of approval of the lease

subject to automatic increase if the rent falls below 3 % in case of re-appraisal

o Period: 25 years Renewable for another 25 years Extension is not a matter of right.

Lessee must justify the extension by showing he has introduced important improvements on the leased land

o Cultivation: Applicant must have broken and cultivated at least 1/3 of

the land within 5 years from approval.

Restrictions:o Lessee cannot assign, encumber, or sublet his right over the

leased land without approval from the DENR secretary.o Reason: to avoid speculation purposes or situation where the

land is used by other persons not legally qualified to lease ALP.o Lessee cannot sublease the improvements on the land without

consent from the government (Barach Motors vs Universal Trading, 1966)

Breach thereof by the lessee the gov’t may declare the lease forfeited and take possession of the premises and all improvements thereon.

o Lessee cannot remove or dispose of any valuable timber, stone, oil, coal, salts or other minerals including medicinal mineral waters.

o The leased land is subject to the same conditions and restriction imposed on sale of ALP regarding taxes, servitudes, easements, mines and water rights.

Preference of lessee to buy leased land.Lessee has legal standing to oppose registration of ALP.

o He is considered a party interest entitled to file opposition for registration of the same land.

It is not necessary to register the lease contract.o Law contemplates are those transfers of ownership not

documents transferring mere possession.

Mode 4Confirmation of imperfect or incomplete title

Judicial legalizationo When to file:

until dec 31, 2020o Where to file:

RTC in the province or city where the land lieso Procedure:

notice of the application with the survey plan must be furnished to the OSG, the Bureau of Lands.

Publication of notice: initial hearing once a week for 3 consecutive weeks

in the OG and 2 newspapers

one published in Manila and other in the municipality or province

where the land is situated posting in the Bulletin Board of the LMB, QC

and in 3 conspicuous places in the provincial capitol and the municipal hall where the land is situated.

Person entitled to Judicial legalizationo Those who prior to the transfer of sovereignty from Spain to the

US have applied for the purchase.

o Those who by themselves or through their predecessors-in-interest have been in open, continuous, exclusive and notorious possession and occupation of the AL of the public domain

Under a bona fide claim of acquisition of ownership since JUNE 12, 1945, immediately preceding the filing of the application of confirmation of title

EXP when prevented by war or force majeure. These shall be conclusively presumed to have

performed all the conditions essential to a Government grant

o Members of the national cultural minoritieso Who by themselves or through their predecessors-in-

interest have been in OCEN possession and occupation of lands of the public domain since June 12, 1945.

Registration under LRA vs PLAo LRA

Presumption that title already exists and the court is there only to confirm;

Dismissal may be with or without prejudice to refilling; and

Applicant does not risk losing his propertyo PLA

land applied for presumed to belong to the State and applicant is claiming it by virtue of OCEN possession amounting to imperfect title;

in court hearing, the application has jurisdiction and power to adjudicate the land in favor of the conflicting claimants

if none is entitled land is declared in favor of the Gov’t

applicant runs risk of losing the land applied for without opportunity of refilling the application.

Prescription:o 30 years in possession without title and in bad faitho In ALP possession must be traced since June 12, 1945.

Administrative Legalization/ free patento Person entitled:

Natural born Filipino Not owner of more than 12 hectares In OCEN possession of the land since july 4, 1945

Has paid real estate taxes on the property for the same period and the land has not been occupied by other person.

Procedure:o Filing of application with Bureau of Lands

Accompanied by map and technical description of the land and affidavits subscribed by two disinterested persons residing the same municipality or barangay where the land lies;

Posting of notices in conspicuous places in the provincial capital the municipality and barangay where the land is

situated for 2 consecutive weeks action to the BL

o when free patent becomes final and conclusive:o GR: 1 year after issuance of the free patent

Title becomes indefeasible and inconvertibleo EXP: where the land granted is not part of the public

domain but private land.o the patent and torrens title issued are nullity.

Restrictions:o Land cannot encumbered or alienated within 5 years from the

date of issuance Except in favor of the government or its instrumentalities.

o Improvements or crops not coveredo After 5 years the land may be alienated without need of

approval from the DENR.o Any alienation is subject to right of repurchase by the patentee,

his heirs within 5 years from date of sale.

Alienable Public Lands other than timber, mineral or agricultural

o Reclaimed landso Foreshoreo Marshy land or land covered with water bordering upon the

shores or banks of navigable lakes or rivers ando Other lands not included in above classification.

The foregoing may be disposed of for residential, commercial, industrial or other productive purposes.