Revised Rules and Regulations on the Acquisition of Agricultural Lands Subject of Mortgage or Foreclosure

May 31, 2000

DAR ADMINISTRATIVE ORDER NO. 01-00

 

Pursuant to Section 49 of Republic Act (RA) No. 6657, otherwise known as the "Comprehensive Agrarian Reform Law of 1988", and Section 7, Chapter 2, Book IV of Executive Order No. 292, otherwise known as "The Revised Administrative Code of 1987", the rules and regulations on the acquisition of private agricultural lands subject of mortgage or foreclosure are hereby revised as follows:

SECTION 1. Rationale. — Section 25 of Republic Act No. 337, otherwise known as "The General Banking Act", provides that acquired assets and mortgaged properties foreclosed by banks shall be disposed of within a period of five (5) years after foreclosure. Further, Section 71 of RA 6657 provides that "(b)anks and other financial institutions allowed by law to hold mortgage rights or security interests in agricultural lands to secure loans and other obligations of borrowers may acquire title to these mortgaged properties, regardless of area, subject to existing laws on compulsory transfer of foreclosed assets and acquisition as prescribed under Section 16 of this Act." Furthermore, Section 72 (b) of RA 6657 provides that "(m)ortgages and other claims registered with the Register of Deeds (ROD) shall be assumed by the government up to an amount equivalent to the landowner's compensation value as provided in this Act."

SECTION 2. Definition of Terms. — As used in this Order, the terms enumerated are defined as follows:

a) Banks include banking institutions, commercial banks, savings banks, mortgage banks, trust companies, building and loan associations, branches and agencies in the Philippines of foreign banks, and all other corporations, companies, partnerships and associations performing banking functions in the Philippines. (Section 22, Act No. 335).

b) Mortgage is an accessory contract whereby the debtor (or a third person) guarantees the performance of the principal obligation by subjecting real property or real rightsas security in case of non-fulfillment of said obligation within the period agreed upon.

c) Mortgagor is one who, having all or some title to property, by written instrument, pledges that property for some particular purpose such as security for a debt.

d) Mortgagee refers to banks, financial institutions and other persons whether natural or juridical, holding registered mortgage rights over said lands.

e) Foreclosure is the procedure by which the mortgaged property is sold on default of the mortgagor in satisfaction of the mortgage debt. It denotes the procedure adopted by the mortgagee to terminate the rights of the mortgagor on the property and includes the sale itself. (Development Bank of the Phils. vs. Zaragoza, 84 SCRA 668 [1978]).

f) Redemption is a transaction by which the mortgagor reacquires or buys back the property which may have passed under the mortgage or divests the property of the lien which may have created.

g) Right of Redemption is the right of the mortgagor to redeem the mortgaged property within a certain period after it was sold for the satisfaction of the mortgage debt.

Where the mortgagee is a bank, the right of redemption exists in both judicial and extra-judicial foreclosure. In such case, the mortgagor or his successor-in-interest may exercise his right of redemption within one year from the date of the registration of the certificate of sale. (Section 78, RA 337; Rosario vs. Tayug Rural Bank, 22 SCRA 1220 [1968]). However, when a land covered by homestead or free patent mortgaged with a rural bank is foreclosed, the homesteader or free patent holder, as well as his heirs, shall have the right to redeem the same within one (1) year from the date of foreclosure in the case of land not covered by a Torrens Title or one (1) year from the date of registration of the foreclosure in the case of land covered by a Torrens Title (Section 6, par. 3, RA 7353, otherwise known as, "The Rural Banking Act of 1992").

Where the mortgagee is other than a bank, the right of redemption exists only in extra-judicial foreclosure. In such case, the debtor, his successor in interest or any judicial creditor or judgment creditor of said debtor, or any person having a lien on the property subsequent to the mortgage or deed of trust under which the property is sold may redeem the same within the term of one year from the date of registration of the certificate of sale with the appropriate Register of Deeds (Section 6, Act No. 3135, otherwise known as "An Act to Regulate the Sale of Property Under Special Powers Inserted In Or Annexed to Real Estate Mortgages; Reyes vs. Noblejas, G.R. No. L-23691, November 25, 1967).

h) Equity of Redemption refers to the right of the mortgagor to redeem the mortgaged property after his default in the performance of the conditions of the mortgage but before the sale of the mortgaged property or confirmation of the sale. (Top Rate International Services, Inc. vs. Intermediate Appellate Court, 142 SCRA 467 [1986]).

Equity of redemption exists in judicial foreclosure, except where the mortgagee is a bank. The equity of redemption may be exercised by the mortgage debtor, the second mortgagee, the subsequent attaching creditor or purchaser, within a period not less than ninety (90) days nor more than one hundred twenty (120) days from the entry of judgment of foreclosure and even thereafter, provided he does so before the foreclosure sale is confirmed by the court. (Sections 2 & 3, Rule 68, Revised Rules of Court).

SECTION 3. Coverage. — These rules shall cover all agricultural lands subject of mortgage or foreclosure. They shall not apply to cases where the mortgagee is already the registered owner of the property at the start of the acquisition proceedings. In such cases, the procedures provided in DAR Administrative Order No. 2 (1996), as amended, shall govern.

SECTION 4. Mortgagee Deemed as Landowner. — For purposes of covering the property under the agrarian reform program, the mortgagee shall be considered as the new landowner if before the deposit of just compensation is made:

a) The mortgagee is the purchaser in the foreclosure sale and the redemption period, as provided by law, has already expired in cases where the right of redemption exists; or

b) The mortgagee is the purchaser in the foreclosure sale and said foreclosure sale is confirmed by the court in cases where only equity of redemption is provided.

SECTION 5. Mortgagee Deemed as Lien-holder. — The mortgagee shall be considered a lien-holder if on the date the land transfer claim was received by the Land Bank of the Philippines (LBP) from the Department of Agrarian Reform (DAR):

a) The mortgage debt is not yet due and demandable; or

b) The mortgage debt is already due and demandable but the mortgagee has not foreclosed on the property; or

c) The mortgage has already been foreclosed but the period to exercise the right of redemption, in cases provided by law, has not yet expired; or the foreclosure sale has not yet been confirmed by the court in cases where there is only equity of redemption.

SECTION 6. Consolidation of Mortgagee's Title. — The mortgagee may proceed to effect the cancellation of the mortgagor's certificate of title and the issuance of a new one in his or its name in accordance with Section 63 of PD No. 1529, or the "Property Registration Decree", upon the expiration of the redemption period or upon confirmation by the court of the foreclosure sale, as the case may be.

If the mortgagee fails to cause the issuance of a certificate of title in his or its name within thirty (30) days from receipt of the notice of land valuation and acquisition, the procedure for the transfer of title in the name of the Republic of the Philippines shall be followed in accordance with DAR AO 2 (1996). The Provincial Agrarian Reform Office shall furnish the Register of Deeds (ROD) all supporting documents to effect the consolidation of title in the name of the mortgagee as provided in Section 63 of PD 1529, as follows:

a) Where there is only equity of redemption, a certified copy of the final order of the court confirming the sale;

b) In cases where the right of redemption exists:

1) In judicial foreclosure, the final deed of sale executed by the sheriff in favor of the mortgagee;

2) In extra-judicial foreclosure, either a final deed of sale executed by the person authorized by virtue of the power of attorney embodied in the deed of mortgage, or an affidavit of the mortgagee attesting to the fact of non-redemption. In case the latter requirement is not executed by the mortgagee, an affidavit executed by the Provincial Agrarian Reform Officer (PARO) attesting to the fact of the mortgagee's failure to execute such affidavit of non-redemption shall be sufficient.

After the submission of said supporting documents, in addition to those required in ordinary acquisition proceedings under AO 2 (1996), and after the corresponding annotations of the consolidation of ownership and of the transfer of the property to the Republic of the Philippines on the mortgagor's title, the mortgagor's title shall be cancelled and a new one issued in the name of the Republic of the Philippines, without the need of issuing a certificate of title in the name of the mortgagee.

SECTION 7. Payment of Taxes, Penalties, Fines, Registration Fees and Other Impositions. — All taxes, penalties, fines, registration fees and other impositions required to be paid by the mortgagor and the mortgagee before title can be registered in the name of the Republic of the Philippines shall be deducted from the proceeds of the land transfer claim and paid by the LBP if the mortgagee fails to pay such fees within fifteen (15) days after due notice and demand either through personal service or registered mail by the PARO. Upon failure of the mortgagee/landowner to pay said fees within the prescribed period, the PARO shall verify whether an order converting, exempting or lifting the coverage or acquisition was issued involving the subject property, and if there is none, he shall direct the LBP to deduct from the proceeds of the land transfer claim the necessary amount and pay the said taxes, penalties, registration fees, fines and other impositions. 

SECTION 8. Rights and Privileges of Mortgagee. — The rights and privileges of the mortgagee as new landowner or lien-holder are as follows:

a) As new landowner, the bank, financial institution, or other concerned person shall be entitled, among others, to:

1) Receive all notices, advices, correspondence, and all other communications from the DAR and/or LBP, such as, but not limited to, Notice of Coverage, Notice of Land Valuation and Acquisition, Letter-Requirement for Processing and Payment of Claim, etc.;

2) Transact with DAR and/or LBP regarding all aspects of subject land transfer claim, to the exclusion of all other persons;

3) Be named as the recipient of all cash and bond deposits; and

4) Receive all the proceeds of subject land transfer claim, less deductions to which the land may be liable.

b) As lien-holder, the bank, financial institution, or other concerned person shall be entitled, among others, to:

1) Receive payment for the obligation of the mortgagor from the land transfer proceeds up to an amount equivalent to the landowner's compensation value; and

2) Receive notices, advices, and all other communications pertaining to the obligation of the landowner-debtor (mortgagor).

SECTION 9. Obligations of Mortgagee. — The obligations of the mortgagee as new landowner or lien-holder are as follows:

a) As new landowner, the mortgagee shall:

1) Comply with all the requirements for processing and payment of the claim such as surrender of the Owner's Duplicate Copy of Title; and

2) Sign all land transfer documents required as a consequence of the processing and payment of the land transfer claim such as: Deed of Assignment, Warranties and Undertaking, Deed of Transfer, Deed of Confirmation of Coverage and Transfer, etc.

b) As lien-holder, the mortgagee shall:

1) Issue a release of mortgage, or execute a deed of redemption, and deliver the Owner's Duplicate Copy of Title after payment of the value of the lien; and

2) Sign all other documents necessary to effect the cancellation of the mortgage.

SECTION 10. Sanctions for Failure to Comply with Obligation. — The proceeds of the land transfer claim shall not be released to the landowner until and unless he complies with his obligations set forth in Section 9 (a). Likewise, the lien-holder shall not be paid the amount of his claim until and unless he complies with his obligations enumerated in Section 9 (b).

SECTION 11. Operating Procedures. — In cases where the mortgagee is considered as the landowner, the following procedures shall apply:

a) Land transfer claim under process by DAR/LBP

Steps	Responsible			Documentary
	Person/Office	Activity	Requirements
1	DARPO	Proceeds with the processing of the claim
		folder in accordance with AO 2 (1996), as
		amended
2	LBP-LVLCO	Proceeds with the usual processing and
		approval of the land transfer claim
3	LBP-LVLCO	Sends Memorandum of Valuation (MOV),	CARP Form No. 9 -
		together with Claim Folder Profile and	Memorandum of
		Valuation Summary to PARO with advice	Valuation and
		to send notice to the mortgagee (new	Claim Folder
		landowner), for consolidation of	Profile and
	.	ownership in mortgagee's name	Valuation Summary
4	DARPO	Sends Notice of Land Valuation and	CARP Form No. 10
		Acquisition (NLVA) to the mortgagee	- Notice of Land
		(new landowner), together with the Notice	Valuation and
		to Consolidate Ownership within thirty	Acquisition
		(30) days from receipt thereof. If there is a
		subsequent transfer or reconveyance of the	CARP Form No.
		property, the mortgagee shall notify DAR	10.b - Notice to
		of said transfer/reconveyance within	Consolidate
		fifteen (15) days from receipt of DAR's	Ownership
		Notice to Consolidate Ownership.
		Otherwise, the mortgagee shall be deemed	CARP Form No.
		owner of the property notwithstanding the	10.c - Affidavit of
		subsequent transfer. In case the mortgagee	Consolidation of
		does not respond, the PARO shall	Ownership
		consolidate the ownership in the
		mortgagee's name.
5	Mortgagee as	Accepts or rejects the land valuation.	CARP Form No.
	new landowner	(Note: Procedures on the acceptance or	10.a - LO's Reply to
		rejection of the valuation outlined in AO 2	NLVA
		[1996] shall apply)
		Executes affidavit of consolidation duly	Copy of New Title
		annotated/registered or a certified copy of
		the new title in mortgagee's name and
		forwards same to DARPO.
		DAR shall request ROD to issue TCT in	CARP Form No. 18
		the name of RP as provided in AO 2	- Request to Issue
		(1996). In such case, the PARO shall	TCT in the name of
		furnish the ROD all documents showing	RP
		the consolidation of title in the name of the
		mortgagee.
6	DARPO	Sends LBP a request to pay or to deposit	CARP Form No. 12
		the land transfer claim.	- Request to Pay or
		i.	In case the mortgagee (new landowner)	CARP Form No. 15
			has effected consolidation of ownership,	- Request to Deposit
			forwards to LBP a certified copy of the	(as the case may be)
			new title;	case may be)
		ii.	In case the mortgagee (new landowner)	CARO Form No.
			has not effected consolidation of	10.c - Affidavit of
			ownership, furnishes LBP affidavit of	Consolidation of
			consolidation duly executed by PARO	Ownership
			with a statement of account on the
			expenses incurred (such as taxes,
			impositions, penalties and other fees)
			to effect the transfer of title. Verifies if	CARP Form No.
			an order was issued converting,	15.a - Request to
			exempting or lifting the coverage or	Deduct Expenses
			acquisition of subject property, and if
			there is none, directs LBP to deduct
			said expenses from the proceeds of
			the land transfer claim.
7	LBP	Prepares payment and remits the same to	CARP Form No.
		agencies concerned; issues Certification	17 - Certification
		of Deposit (COD) to the DAR	of Deposit

 

b) Land transfer claim already approved by LBP and Certificate of Deposit issued in favor of former registered owner where the redemption period has expired or the foreclosure sale has been confirmed by the court, as the case may be.

Steps	Responsible				Documentary
	Person/Office	Activity	Requirements
1	DAR	Sends notice/invitation to new landowner	CARP Form No.
		for conference to discuss matters	2.b - Notice to
		pertaining to the land transfer claim and	Mortgagee/New
		other information relative thereto	Landowner
2	DAR/	Mortgagee as new landowner may, during
	LBP-LVO	the conference, present specific issues
		and/or concerns which shall be discussed
		and resolved by DAR, LBP-LVO, and other
		agencies concerned
3	The mortgagee	If no issues and/or concerns are raised,
	as new	mortgagee as new landowner will execute
	landowner	affidavit of consolidation of ownership
4	DAR	Issues order directing LBP to inscribe in	CARP Form No.
		the COD and in other pertinent documents	18.b - Letter to
		contained in the claim folder the name of	the LBP
		the mortgagee as new landowner in place
		of the former owner
5	The mortgagee	If mortgagee as new landowner raises
	as new	issues and/or concerns pertinent to land
	landowner	transfer claim and other information
		relative thereto:
	DAR	i.	If the issue involves coverage, shall
			advise the mortgagee, as the new
			landowner, that the matter shall be
			resolved administratively by filing a
			written protest thereof.
		ii.	If the issue involves land valuation,
			the same shall be resolved through
			quasi-judicial proceedings by the
			Adjudication Board.
6	DAR	PARO shall request mortgagee (new	CARP Form No.
		landowner) to execute affidavit of	10.b - Notice to
		consolidation.	Consolidate
					Ownership
	The mortgagee	a)	The mortgagee as the new landowner
	as the new		executes affidavit of consolidation
	landowner
	DAR		i.	Issues order directing LBP to	CARP Form No.
				inscribe the name of the mortgagee	18.b - Letter to LBP
				as the new landowner in the COD
				and in other pertinent documents
				contained in the claim folder in
				place of the former landowner.
	LBP		ii.	Issues COD in the name of the	CARP Form No.
				mortgagee as the new landowner.	17 - Certification
				In such case, processing of the	of Deposit
				land transfer claim shall proceed
				accordingly.
		b)	If the mortgagee (new landowner)
			refuses or fails to execute the affidavit
			of consolidation, the activity provided
			under Sec. 6(b) (2) hereof, shall be
			undertaken.

 

c) Procedures for transfer of title and registration.

Steps	Responsible			Documentary
	Person/Office	Activity		Requirements
1	DARPO	Requests ROD to issue title in the name of	a)	CARP Form
		RP		No. 18 or 18.a -
				Request to Issue
				TCT in the name
				of RP
			b)	CARP Form
				No. 10.c -
				Affidavit of
				Consolidation
			c)	CARP Form
				No. 17 - LBP
				Certification of
				Deposit
2	ROD	Issues title in the name of RP	New TCT in the
			name of RP
		Note: Procedures on the generation and
		registration of CLOA outlined under the
		Joint DAR-LRA Memorandum Circular
		No. 9 (1996) shall apply.

 

SECTION 12. Procedure When Mortgagee is Lienholder. — In case the period of redemption has not yet expired or the foreclosure sale has not been confirmed by the court at the time item D.1, Step 25 or item D.2, Step 26 of DAR Administrative Order No. 2, Series of 1996 is undertaken, the mortgagee shall be simply paid the amount of the mortgage debt but not exceeding the equivalent of the landowner's compensation value. For this purpose, the guidelines outlined in the said administrative order shall apply.

SECTION 13. Repealing Clause. — All other previous orders, circulars, memoranda and other issuances inconsistent herewith are hereby revoked or modified accordingly.

SECTION 14. Effectivity. — This Order shall take effect ten (10) days after its publication in two (2) national newspapers of general circulation pursuant to Section 49 of RA 6657.

Diliman, Quezon City, May 31, 2000.

(SGD.) HORACIO R. MORALES, JR.SecretaryDepartment of Agrarian Reform

CARP FORMS

Form No.	Title/Description
2.b	Notice to Mortgagee/New Landowner
2.c	LO's Letter-Request to LBP
9	Memorandum of Valuation and Claim Folder
	Profile and Valuation Summary
10	Notice of Land Valuation and Acquisition
10.a	LO's Reply to the Notice of Land Valuation
	and Acquisition
10.b	Notice to Consolidate Ownership
10.c	Affidavit of Consolidation of Ownership
12	Request to Pay
15	Request to Deposit
15.a	Request to Deduct Expenses
17	Certification of Deposit
18	Request to Issue TCT in the Name of RP
18.a	Request to Register Deed of Transfer and to
	Issue RP Title
18.b	Letter to LBP

 

CARP FORM NO. 2.b: NOTICE TO MORTGAGEE/NEW LANDOWNER

(LT Claim already approved by LBP)

________________

 Date

_________________________

_________________________

_________________________

Dear Sir/Madam:

This refers to your landholding embraced by OCT/TCT/TD No. ________ with an area of ________________ located at ________________________ which was covered by the Comprehensive Agrarian Reform Program (CARP) pursuant to R.A. No. 6657.

In this connection and in order to expedite payment of your land compensation claim, we are furnishing you with copies of the following documents for your information and ready reference:

Notice of Coverage

Field Investigation Report

Notice of Land Valuation and Acquisition

Certificate of Deposit

The Land Bank of the Philippines (LISP) has already issued a Certification of Deposit on _______________ in the name of ________________________, pursuant to DAR Administrative Order No. _____, Series of 2000. This means that such deposit and subsequent release will be made in your name as the new owner.

In case you have no further question or clarification relative to the coverage or any of the foregoing documents, may we request that you sign the attached form requesting LBP to place the compensation proceeds in your name/bank and effect immediate payment pursuant to the aforecited A.O. (See CARP Form No. 2.c)

If you need to be clarified on any of the foregoing documents, we invite you to a conference on _____________________ at _______ o'clock at the Provincial Agrarian Reform Office located at _______________________.

Should you fail to attend or to respond within fifteen (15) days from receipt hereof, the Field Investigation Report (FIR) as well as the land value reflected in the Notice of Land Valuation and Acquisition shall be considered in its entirety, and the landowner's compensation shall be placed in the name of the bank/your name (if private person) as the new owner of the foreclosed property.

In the event that a deposit has been made in the name of the former landowner/mortgagor, the same shall be placed in the name of the bank/your name (if private person), and such deposit shall be released to you pursuant to DAR Administrative Order No. _____, Series of 2000, copy of which is attached for your reference.

Thank you for your cooperation.

Very truly yours,

___________________________

Provincial Agrarian Reform Officer

Copy distribution:
Original	-	LO
Duplicate	-	CF
Triplicate	-	DARRO
Quadruplicate	-	DARMO
Quintuplicate	-	File

 

CARP FORM NO. 2.c: LO'S LETTER-REQUEST TO LBP

________________

 Date

_________________________

_________________________

_________________________

Sir:

In connection with the VOCF/CACF in the name of _____________________ _________________________ covering a parcel of agricultural land under OCT/TCT No. _______ located at ______________________________, may I request that the compensation proceeds be placed in my name/bank and that immediate payment be effected pursuant to AO No. ______, Series of 2000.

Thank you.

Very truly yours,

___________________________

 Landowner

Copy distribution:
Original	-	LBP
Duplicate	-	CF
Triplicate	-	DARRO
Quadruplicate	-	DARMO
Quintuplicate	-	LO

 

CARP FORM NO. 9: MEMORANDUM OF VALUATION, CLAIM FOLDER PROFILE AND VALUATION SUMMARY

MEMORANDUM

 

In connection with your Memorandum Request for Valuation of the above-named property, we are pleased to inform you that after taking into consideration the land valuation factors under existing guidelines and the applicable provisions of RA 6657, we have determined the value of the land covering an area of ___________ hectares, including improvements thereon, in the total amount of Pesos ______________________________________ (P____________), details of which are indicated in the attached CF Profile and Valuation Summary. This total compensation, however, shall be subject to adjustments to conform with the actual area covered as determined by final survey.

For your information and appropriate action.

_______________________

Name & Signature

Land Bank of the Philippines

Copy distribution:
Original	}
Duplicate	}	DARPO
Triplicate	-	DARRO
Quadruplicate	-	DARMO
Quintuplicate	-	File

 

CLAIM FOLDER PROFILE AND VALUATION SUMMARY

BASIC INFORMATION/DATA:

The agricultural property of LANDOWNER ___________________________ located at __________________________________________________________ covered by OCT/TCT No./s/Survey/Lot No./s _______________________________ registered in the name/s of ______________________________________________ ___________________________________________________________________ has been the subject of:

[ ] voluntary offer to sell (VOS) by the landowner or his authorized representative ________________________________ per letter-offer dated ________________ or the total area of ____________ hectares at P ____________________ per hectare.

[ ] compulsory acquisition by the government for the total area of ____________ hectares at P_________________ per hectare.

FINDINGS:

Based on the data/information in the documents transmitted by the __________ ______________________ per letter transmitted dated _________________, the land was jointly inspected by the representatives from the DAR, LBP and BARC per ocular inspection report dated _______________ with the following results/findings:

[ ] The land is devoted to certain crops such as:

________________________________________________________

________________________________________________________

[ ] The land is not planted to any crop; is idle/abandoned since the year ________ up to the present;

[ ] Based on interviews from the farmers living nearby or adjacent landholdings, the subject land was once planted to crops, like ______________________ sometime in the year _______________;

[ ] Per certification dated _______________ of the ________________ _________________________ the land is suitable to agriculture;

[ ] There are _____ actual farmer-occupants; _____ tenants; _____ farm-workers; _____ seasonal workers; _____ others;

[ ] There is no production/farm income reported/derived by the landowner or by the tenants from said land;

[ ] The landowner derives farm income from the land, the data of which were verified and duly confirmed by the _____________________ and subsequently compared against industry figures from the ___________ ___________________.

The land transaction as gathered by the _____________________ for the subject properties were found to be:

[ ] comparable to subject landholding as to land uses, topography, etc.;

[ ] located within the same municipality where the land is located;

[ ] located outside the municipality but within the province because ___________________________________________________________________________________________________

[ ] Cost of acquisition (is/is not) relevant.

[ ] Market Value per Mortgage (MVM) (is/is not) relevant.

[ ] Other lacking data or documents needed from the landowner are as follows: (Use additional sheets, if necessary) ____________________

________________________________________________________

________________________________________________________

________________________________________________________

[ ] Tax declaration and tax clearance (are/are not) on file.

ON PERMANENT IMPROVEMENTS:

[ ] There are no existing improvements in the property.

[ ] There are existing improvements in the property which shall be considered for compensation or payment in the total amount of ______________________________ (P____________) the details of which are stated in the Field Investigation Report and the appraised values considered are as follows:

APPRAISED VALUES	STRUCTURES
___________________	_______________________
___________________	_______________________
___________________	_______________________
___________________	_______________________
___________________	_______________________

 

Therefore, the total compensation for the land including the above improvements, is ________________________________ (P______________).

Please refer to the attached Land Valuation Worksheet for the land valuation for subject property.

FOR DAR'S INFORMATION AND APPROPRIATE ACTION

	VALUATION GROUP	PROCESSING GROUP
PREPARED BY/DATE:	_________________	_________________
REVIEWED BY/DATE:	_________________	_________________

 

CARP FORM NO. 10: NOTICE OF LAND VALUATION AND ACQUISITION

__________________

Date

_________________________

_________________________

_________________________

Sir/Madam:

This refers to your agricultural land covered by the Comprehensive Agrarian Reform Program pursuant to RA 6657, described as follows:

OCT/TCT No/s.	________________	Location	__________________
Total Area (Ha)	________________		__________________
Tax Dec. No/s.	________________		__________________

 

Please be informed that out of the total area indicated in the aforesaid title/s, an area of _______________ hectares is subject to immediate acquisition and distribution to qualified agrarian reform beneficiaries under VOS/CA arrangement of the CARP.

Furthermore, based on the value determined by the LBP per attached Memorandum of Valuation, Claim Folder Profile and Valuation Summary, we offer you as compensation a total amount of Pesos ___________________________________ (P____________), covering _____________ hectares including improvements, if any. This total compensation, however, shall be subject to price adjustments to conform with the actual area covered as determined by final land survey (Section 17 of RA 6657). 

We request that you inform the Department of Agrarian Reform (DAR), through this Provincial Office, within thirty (30) days upon receipt of this Notice whether you accept or reject the amount of compensation offered for your property, by accomplishing the attached CARP Form No. 10.a.

In case of acceptance, the LBP shall deposit the compensation proceeds in a Savings Account in your name based on our Request to Pay. However, the actual release of payment shall be effected only upon your submission of all documentary requirements enumerated in the attached Claim Folder Profile and Valuation Summary. If within 7 days from LBP receipt of our Request to Pay, you fail to submit the necessary documents required for the release of payment, we will ask the Register of Deeds to transfer your title covering subject property to the Republic of the Philippines and effect the distribution of the land to qualified agrarian reform beneficiaries.

In the same manner, in case of your rejection or failure to reply to this Notice within the thirty (30) day period, the LBP, shall on the basis of our Request, deposit in your name the cash and bonds representing the compensation proceeds, which you may withdraw upon submission of all release requirements listed in the Claim Folder Profile & Valuation Summary hereto attached. The DARAB/RARAD/PARAD shall conduct summary administrative proceedings, with due notice to you, to determine the compensation for the property, wherein you, the LBP, and other parties shall be requested to submit evidence as to its just compensation.

In any event, the DAR shall take immediate possession of the property, upon your receipt of payment, or upon our receipt of the Certification of Deposit.

Very truly yours,

___________________________

Name & Signature

Provincial Agrarian Reform Officer

Attached: as stated

Copy distribution:
Original	-	LO
Duplicate	-	LBP
Triplicate	-	For Posting
Quadruplicate	-	DARMO
Quintuplicate	-	File

 

CARP FORM NO. 10.a: LANDOWNER'S REPLY TO NOTICE OF LAND VALUATION AND ACQUISITION

__________________

Date

The Secretary

Department of Agrarian Reform

Diliman, Quezon City

 

Sir:

This is in reply to your Notice of Land Valuation and Acquisition dated ____________________ regarding my property covered under CARP located at ________________________________________ described as follows:

OCT/TCT No.	_______________________
Tax Dec. No.	_______________________
Area/Title (Ha.)	_______________________
Area for Acquisition (Ha.)	_______________________
Value for the land	P______________________
Value for the improvements	P______________________
Total	P______________________

 

Please be informed that I [ ] Accept [ ] Reject (check appropriate box) the value offered for my property, pursuant to the terms and conditions of the Notice of Land Valuation and Acquisition.

Attached herewith are the documents required by LBP for the payment of my land and its improvement, if any, as enumerated in the Claim Folder Profile and Valuation Summary.

Very truly yours,

____________________

Name and Signature

Landowner

____________________

Address

CARP FORM NO. 10.b: NOTICE TO CONSOLIDATE OWNERSHIP

__________________

Date

________________________

 (Mortgagee)

________________________

________________________

Sir/Madam:

This refers to the foreclosed property registered in the name of ______________________________________ embraced by OCT/TCT No. ____________________ with an area of _______________ situated at __________________________ which has been covered by the Comprehensive Agrarian Reform Program (CARP) pursuant to Republic Act No. 6657.

Since the redemption period has already expired and the right of the mortgagor to redeem the property has not been exercised, the ownership over the said property, by operation of law, has been legally consolidated in your name (mortgagee).

In this regard, you are advised to execute within 15 days from receipt hereof an Affidavit of Consolidation so that the corresponding new Transfer Certificate of Title (TCT) shall be issued in your name, otherwise the DAR through the undersigned shall execute the same.

Very truly yours,

(Printed Name and Signature)

__________________________

Provincial Agrarian Reform Officer

Copy distribution:
Original	-	LO/Mortgagee
Duplicate	-	CF
Triplicate	-	DARPO
Quadruplicate	-	DARMO
Quintuplicate	-	File

 

CARP FORM NO. 10.c: AFFIDAVIT OF CONSOLIDATION OF OWNERSHIP

I, _______________________________, of legal age, the duly appointed/designated Provincial Agrarian Reform Officer for __________________, with office address at _____________________________________, and in behalf of the Department of Agrarian Reform, a government agency with principal address at Elliptical Road, Diliman, Quezon City, Metro Manila, hereby depose and say:

1. The Department of Agrarian Reform (DAR) is mandated under Republic Act No. 6657, otherwise known as the Comprehensive Agrarian Reform Law of 1988 to cover, regardless of tenurial arrangement and commodity produced, all public and private agricultural lands as provided in Proclamation No. 131 and Executive Order No. 229, including other lands of the public domain suitable for agriculture.

2. On ___________________, a Deed of Real Estate Mortgage was executed by _________________________________ (Full Name of Mortgagor) in favor of the ______________________________ (Full Name of Mortgagee) as a security for a loan over a certain real property covered by Original/Transfer Certificate of Title No. ______________, issued by the Register of Deeds of the City/Province of _________________, and more particularly described as follows:

(Copy technical description in Certificate of Title)

3. The mortgaged property has been the subject of the foreclosure proceedings as evidenced by the Sheriff's Certificate of Sale issued in the name of ___________________________ and duly registered with the Register of Deeds of ________________________________ on _____________________________.

4. The mortgagor or any other person allowed by law to redeem failed to exercise the right of redemption within the reglementary period thereby ipso jure consolidating ownership over the property in favor of the purchaser at public auction who is entitled to execute an affidavit of consolidation for the issuance of a certificate of title in his/her/its name.

5. The property above described was the subject of compulsory acquisition proceedings by the Department of Agrarian Reform but DAR cannot effect the transfer of title in the name of the Republic of the Philippines because of the failure/refusal of the mortgagee/purchaser to execute the Affidavit of Consolidation notwithstanding affiant's Notice dated ____________________.

6. By virtue of its acquisition pursuant to the Comprehensive Agrarian Reform Law of the parcel of land heretofore described, the DAR, through the undersigned Provincial Agrarian Reform Officer, hereby consolidates ownership over the aforesaid parcel of land and requests the Register of Deeds to cancel Original/Transfer Certificate of Title No. __________ and issue, in lieu thereof, a new one in the name of the Republic of the Philippines after the corresponding annotation of the consolidation of ownership and the transfer of the property to the Republic of the Philippines on the mortgagor's title.

IN TESTIMONY HEREOF, affiant has set his/her hand at ________________, Philippines, this _____ day of _________, 2000.

(Printed Name and Signature)

____________________________

Provincial Agrarian Reform Officer

(Affiant)

ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES)PROVINCE OF _______________)MUNICIPALITY OF ___________) S. S.

BEFORE ME, on this ______ day of ____________, _______ at ____________________, personally appeared ___________________________, with Community Tax Certificate No. _____________ issued at _______________ on ________________ known to me to be the same person who executed the foregoing AFFIDAVIT OF CONSOLIDATION OF OWNERSHIP signed by her/him and her/his instrumental witnesses on each and every page thereof and she/he acknowledged that the same is her/his own free and voluntary act and deed.

WITNESS MY HAND AND SEAL on the date and at the place first above-written.

NOTARY PUBLIC

Doc. No. ________Page No. ________Book No. _______Series of ________

Copy distribution:
Original	-	ROD
Duplicate	-	CF
Triplicate	-	LO
Quadruplicate	-	DARRO
Quintuplicate	-	DARMO

 

CARP FORM NO. 12: REQUEST TO PREPARE DEED OF TRANSFER AND TO PAY LANDOWNER

MEMORANDUM

 

This refers to the VOCF/CACF under the name of _________________ covering a parcel of agricultural land under OCT/TCT No. _____________ located at __________________________________.

The landowner had accepted the price as per your valuation of the subject land, improvements and facilities thereon.

It is therefore requested that the LBP cause the execution of the Deed of Transfer and pay the landowner, and secure the Transfer Certificate of Title in the name of the RP, copy furnished DAR.

____________________________

Name & Signature

Provincial Agrarian Reform Officer

Copy distribution:
Original	-	LBP
Duplicate	-	LO
Triplicate	-	DARRO
Quadruplicate	-	DARMO
Quintuplicate	-	File

 

CARP Form No. 15.a: REQUEST TO DEDUCT EXPENSES

__________________

Date

MEMORANDUM

 

This refers to the VOCF/CACF in the name of _____________________ covering a parcel of agricultural land under OCT/TCT No. _________________ located at ____________________________.

In this connection, it is hereby requested that the expenses incurred in the execution of the Affidavit of Consolidation (such as taxes, impositions, penalties & other fees) be deducted from the proceeds of the aforesaid property. 

____________________________

Provincial Agrarian Reform Officer

Copy distribution:
Original	-	LBP
Duplicate	-	CF
Triplicate	-	DARRO
Quadruplicate	-	DARMO
Quintuplicate	-	File

 

CARP FORM NO. 17: CERTIFICATION OF DEPOSIT (LBP)

LAND BANK OF THE PHILIPPINES

_______________________________

_______________________________

Claim No. ____________

CERTIFICATION

This is to certify that the Land Bank of the Philippines has deposited the sum of PESOS _________________________________ (P_____________) in cash and in Agrarian Reform bonds on __________________, as compensation for ____________ hectares of the parcel/s of land situated at ____________________________ covered by OCT/TCT No./s/Survey/Lot No/s. _____________________ in the name/s of _________________________________________________ pursuant to:

[ ] PD 27 [ ] GO 228 [ ] EO 229 [ ] RA 6657

This certification is issued in accordance with LRA Circular No. 96-06 dated 23 July 1996 and DAR Administrative Order No. 2, series of 1996.

Done this _______ day of ____________, 200__ at ________________.

__________________________

LBP Authorized Representative

CARP FORM NO. 18: REQUEST TO ISSUE TCT IN THE NAME OF RP

MEMORANDUM

 

This refers to the agricultural land/s of _________________________ which has been subjected to Voluntary Offer to Sell (VOS)/Compulsory Acquisition (CA) pursuant to RA 6657, with the following information:

OCT/TCT No.	_________________
Tax Dec. No.	_________________
Area/Title (Ha)	_________________
Area Acquired (Ha)	_________________
Location:
	Barangay	_________________
	Municipality	_________________
	Province	_________________

 

The landowner

[ ] has rejected the value of his landholdings as determined by the Land Bank of the Philippines (LBP) and DAR.

[ ] has failed to reply the Notice of Valuation sent by this Office within thirty (30) days upon receipt thereof; hence, is deemed to have rejected the value indicated therein.

[ ] has accepted the value of his landholdings as determined by the Land Bank of the Philippines and DAR but failed to comply with/submit the requirements for payment within seven (7) days from receipt of the DAR Request to Pay (CARP Form No. 12).

Thus, the Land Bank of the Philippines, upon request of this Office, deposited the compensation proceeds in the name of the herein landowner.

In view thereof and in accordance with pertinent guidelines, we are transmitting herewith a Certification from LBP and a copy of the segregation/subdivision plan and its corresponding technical descriptions approved by the DENR where property is partially covered by CARP.

It is therefore requested that the Register of Deeds issue the corresponding Transfer Certificate of Title in the name of the Republic of the Philippines in accordance with Section 16 of RA 6657.

__________________________

Name and Signature

Provincial Agrarian Reform Officer

Copy distribution:
Original	-	ROD
Duplicate	-	LBP
Triplicate	-	DARRO
Quadruplicate	-	DARMO
Quintuplicate	-	DARPO

 

CARP FORM NO. 18.a: REQUEST TO REGISTER THE DEED OF TRANSFER AND TO ISSUE RP TITLE

MEMORANDUM

 

This refers to the Deed of Transfer (DOT) executed by _______________ covering a parcel of agricultural land under OCT/TCT No. __________ located at ______________________________.

The landowner had accepted the valuation of the property, improvements and facilities thereon.

It is therefore requested that the ROD cause the registration of the DOT and corresponding Transfer Certificate of Title in the name of the Republic of the Philippines be issued, copy furnished the DAR.

__________________________

(Name and Signature)

Provincial Agrarian Reform Officer

Copy distribution:
Original	-	ROD
Duplicate	-	CF
Triplicate	-	DARRO
Quadruplicate	-	DARMO
Quintuplicate	-	File

 

CARP FORM NO. 18.b: LETTER TO THE LAND BANK OF THE PHILIPPINES

_______________

 Date

______________________

______________________

______________________

Sir/Madam:

This pertains to the property registered in the name of __________________ embraced by OCT/TCT No. _______________ with an area of __________ located at _______________________________ which has been covered by the Comprehensive Agrarian Reform Program (CARP) pursuant to Republic Act No. 6657.

The subject property was mortgaged by the registered owner to the _______________________________ wherein the redemption period has already prescribed. As a consequence, the ownership over the said property is consolidated in the name of said mortgagee as the new owner thereof.

Inasmuch as the Land Transfer Claim has already been approved by your office and a Certificate of Deposit (COD) has been issued in the name of the original owner, it is therefore requested that the name of the new owner shall be inscribed in the pertinent land transfer documents in lieu of the original owner.

Thank you for your usual cooperation.

Very truly yours,

(Printed Name and Signature)

__________________________

Provincial Agrarian Reform Officer

Copy distribution:
Original	-	LBP
Duplicate	-	CF
Triplicate	-	DARPO
Quadruplicate	-	MARO
Quintuplicate	-	File

 

Published in Malaya and the Philippine Daily Inquirer on June 6, 2000.