Natalia
Realty, Inc. vs. Department of Agrarian Reform
225
SCRA 278 (1993)
Facts:
Petitioner
Natalia Realty, Inc. is the owner of a 125.0078-ha land set aside by
Presidential Proclamation No. 1637 (1979) as townsite area for the Lungsod
Silangan Reservation. Estate Developers and Investors Corporation (EDIC), the
developer of the area, was granted preliminary approval and locational
clearances by the then Human Settlements Regulatory Commission (HSRC) for the
establishment of the Antipolo Hills Subdivision therein. In November 1990, a
Notice of Coverage was issued by DAR on the undeveloped portion of the
landholding. The developer filed its objections and filed this case imputing
grave abuse of discretion to respondent DAR for including the undeveloped
portions of its landholding within the coverage of CARP.
Issue:
Are
lands already classified for residential, commercial or industrial use, and
approved by HLURB and its precursor agencies prior to 15 June 1988, covered by
RA 6657?
Held:
Sec.
4 of RA 6657 states that the CARL covers "regardless of tenurial
arrangement and commodity produced, all public and private and agricultural
lands" and as per the transcripts of the Constitutional Commission,
"agricultural lands" covered by agrarian reform refers only to those
which are "arable and suitable lands" and "do not include commercial,
industrial and residential lands." The land subject of the controversy has
been set aside for the Lungsod Silangan Reservation by Proclamation No. 1637
prior to the effectivity of RA 6657 and in effect converted these lands into
residential use. Since the Natalia lands were converted prior to 15 June 1988,
DAR is bound by such conversion, and thus it was an error to include these
within the coverage of CARL.
