The 2011 Revised Rules and Procedures on the Cancellation of Registered EPs, CLOAs, and Other Titles

September 21, 2011

DAR ADMINISTRATIVE ORDER NO. 06-11

 

PREFATORY STATEMENT

Republic Act (R.A.) No. 6657, as amended by R.A. No. 9700, Executive Order (E.O.) No. 229, Presidential Decree (P.D.) No. 27, E.O. No. 228, and R.A. No. 3844 as amended by R.A. No. 6389, and other agrarian laws prescribe the manner of acquisition, re-distribution, and award of agricultural lands to qualified farmer-beneficiaries with corresponding rights and obligations. The awards of land to qualified beneficiaries are evidenced by Emancipation Patents (EPs), Certificates of Land Ownership Award (CLOAs), and other titles.

The titles generated and distributed pursuant to the agrarian reform program form an integral part of the property registration system, and enjoy the same degree of importance and weight accorded to titles issued and registered under the Torrens System.

Mindful that the EPs, CLOAs, and other titles issued under any agrarian reform program possess the same degree of indefeasibility as the land titles under the property registration decree once brought under the operation of the Torrens System, any action intending to question the efficacy or diminish the import of said land titles must be allowed only through direct proceedings, while strictly observing the manner hereunder prescribed and subject only to grounds herein specified. This is bolstered by Section 24 of R.A. No. 6657, as amended, which states, ". . . the emancipation patents, the certificates of land ownership award, and other titles issued under any agrarian reform program shall be indefeasible and imprescriptible after one (1) year from its registration with the Office of the Registry of Deeds subject to the conditions, limitations and qualifications of this act, the property registration decree, and other pertinent laws."

Moreover, the Department of Agrarian Reform (DAR) Secretary has the exclusive and original jurisdiction on cases for cancellation of the aforesaid titles. Section 24 of R.A. No. 6657, as amended, states: "All cases involving the cancellation of registered emancipation patents, certificates of land ownership award, and other titles issued under any agrarian reform program are within the exclusive and original jurisdiction of the Secretary of the DAR". Considering, however, that the proximity to the subject landholding of the Adjudicators of the DAR Adjudication Board (DARAB), which previously had jurisdiction to resolve cancellation cases, are closer than that of the Secretary, they are now tasked to undertake the case build up therefor, but not to resolve them, to ensure that due process is properly accorded to the parties involved. STcaDI

This amendatory Administrative Order is accordingly issued to highlight the indefeasibility of the EPs, CLOAs, and other titles distributed under agrarian reform, emphasize due process in the cancellation proceedings, streamline the cancellation process before the DAR Secretary, protect the interest of the farmer beneficiaries, and improve the access to justice of farmers before the DAR.

ARTICLE I

General Provisions

SECTION 1. Coverage. — These rules of procedure ("Rules") shall apply to all cases involving the involuntary cancellation of registered EPs, CLOAs, and other titles issued by the DAR under any agrarian reform program.

SECTION 2. Statement of Policies. — The cancellation of EPs, CLOAs, and other titles issued by the DAR pursuant to agrarian reform laws shall be governed by the following policies:

(a) The State recognizes the indefeasibility of EPs, CLOAs, and other titles issued under any agrarian reform program; and

(b) Cancellation of registered EPs, CLOAs, and other titles issued under any agrarian reform program shall be strictly regulated and may be allowed only in the manner and conditions prescribed hereunder.

SECTION 3. Definition of Terms. — For purposes of these Rules, the following terms are defined as follows:

(a) Agrarian Law Implementation (ALI) Case — is an administrative matter involving disputes or controversies such as the identification of beneficiaries, exemption from coverage, and the like, in the implementation of agrarian reform laws which falls under the exclusive jurisdiction of the DAR Secretary or his/her authorized representative and the Regional Director. This shall also include ALI cases covered by special Administrative Orders (A.O.s) such as, but not limited to, cases for exemption or exclusion from coverage.

(b) Agrarian Reform Beneficiary — refers to farmers who were granted lands under P.D. No. 27 and R.A. No. 6657, as amended, and regular farmworkers who are landless, irrespective of tenurial arrangement, who benefited from the redistribution of lands, as evidenced by an EP or a CLOA. TCaSAH

(c) Cancellation — refers to the process of annulling, invalidating, and revoking the EPs, CLOAs, or other titles issued under any agrarian reform program. It does not include the correction of entries in the said EPs, CLOAs, or other titles as the same falls under the jurisdiction of the DARAB, wherein correction therein is defined as the process of correcting or changing clerical or typographical errors (i.e., wrong spelling, age, etc.) in the EPs, CLOAs, or titles issued under any agrarian reform program without affecting substantial rights of other interested persons.

(d) Case Control Number — refers to the number assigned by the clerk of the Provincial Agrarian Reform Adjudicator (PARAD) to the petition for cancellation received by it for monitoring purposes and for the determination of case folders actually transmitted by the PARAD, which number shall be substantially adopted up to the Office of the Secretary (OSEC) level. The case control number shall be in a format distinct from ordinary DARAB cases.

(e) Certificate of Finality — refers to the original or certified true copy of a Certificate or Order of Finality issued by the Regional Director or the Secretary, or any of their authorized representatives, or the Office of the President of the Philippines regarding Agrarian Law Implementation (ALI) cases appealed to it, or an Entry of Judgment issued by a judicial court regarding ALI and other related cases.

(f) Comment — refers to the verified responsive pleading of the respondent either admitting or denying the allegations in the petition and setting forth his/her defenses. Respondent may attach affidavit/s or counter-affidavit/s and other relevant documents to the comment, pre-marked as Exhibits "1", "2", "3", and so forth.

(g) Farmer Beneficiaries — refer to Agrarian Reform Beneficiaries (ARBs).

(h) Final Order or Resolution — is an order or resolution that disposes of the subject matter in its entirety or terminates a particular proceeding or action, leaving nothing else to be done but to enforce by execution what has been determined by the court, quasi-judicial body, or tribunal. cASTED

(i) Exclusive Jurisdiction — is the power to adjudicate a case to the exclusion of all other courts and quasi-judicial bodies. It is that forum in which an action must be commenced because no other forum has the jurisdiction to hear and determine the action.

(j) Indispensable Party — is a party who has such an interest in the controversy or subject matter that a final adjudication cannot be made in his absence, without injuring or affecting that interest. Agrarian reform beneficiaries or identified beneficiaries and/or their associations are indispensable parties in petitions for cancellation of their respective EPs, CLOAs, or other title issued to them under any agrarian reform program. The fact of non-registration of such associations with the Securities and Exchange Commission, Cooperative Development Authority, or any other concerned government agency, shall not be used against them to deny the existence of their legal standing and interest in a case filed before the DAR.

(k) Investigation Proceeding — is the process of verifying the allegations in the petition and the comment.

(l) Misuse of the Land — is any act causing substantial and unreasonable damage on the land, and causing the deterioration and depletion of its soil fertility and improvements thereon.

(m) Necessary Party — is not an indispensable party but ought to be a party if complete relief is to be accorded as to those already parties, or for a complete determination or settlement of the claim subject of the action. Except when the concerned Provincial Agrarian Reform Officer (PARO) is himself the petitioner, in cases for cancellation, the PARO shall be impleaded as party-respondent where it would be incumbent upon him to defend the propriety of the issuance of the subject title. All oppositors to an EP or CLOA shall be impleaded as a necessary party.

(n) Neglect or Abandonment — refers to a clear and absolute intention to renounce a right or a claim, or to abandon a right or property coupled with an external act by which that intention is expressed or carried into effect. Intention to abandon implies a departure, with the avowed intent of never returning, resuming or claiming the right and the interest that have been abandoned. It consists in any one of these conditions: (a) failure to cultivate the lot due to reasons other than the non-suitability of the land to agricultural purposes, for at least two (2) calendar years, and to pay the amortizations for the same period; (b) permanent transfer of residence by the beneficiary and his family, which has rendered him incapable of cultivating the lot; or (c) relinquishment of possession of the lot for at least two (2) calendar years and failure to pay the amortization for the same period.

(o) Nominal Party — refers to the party to an action who is connected to the case, but without any interest or prejudice, so that the tribunal can resolve certain issues or have all the evidence proved with his help to give a proper judgment. This nominal party will not be affected by the result of the case and is not at fault or considered for any benefits out of it. In cases for cancellation, the Register of Deeds (ROD) of the place where the land covered by EPs, CLOAs, or titles sought to be cancelled is situated must be impleaded as party-respondent. 

(p) Original Jurisdiction — is the power to take cognizance of a case at its inception, try it, and pass judgment thereon upon the law and facts.

(q) Pauper or Indigent Litigant — is a party who is a farmer, agricultural lessee, tenant, farm worker, actual tiller, occupant, collective or cooperative of the foregoing beneficiaries, or amortizing owner-cultivator, and who shall allege in the verified complaint/petition or sworn statement such fact without need of further proof.

(r) Petition for Cancellation — is a verified pleading alleging the grounds relied upon by the petitioner in seeking the cancellation of the subject EPs, CLOAs, or other titles issued under any agrarian reform program, which shall be duly supported by original or certified true or photocopies of relevant documents together with affidavits of witnesses, and accordingly pre-marked as Exhibits "A", "B", "C", and so forth. AICHaS

 The petition must include as party-respondents the concerned holders or successors-in-interest of EPs, CLOAs, or other titles issued under any agrarian reform program.

(s) Premature Conversion — refers to the undertaking of any development activity, the result of which may modify or alter the physical characteristics of the agricultural land as would render it suitable for non-agricultural purposes, without an approved conversion order from the DAR, pursuant to Section 11 of R.A. No. 8435.

(t) Re-allocation — refers to the process of substituting the farmer beneficiary on a specific landholding because the said beneficiary is found to be disqualified in an administrative proceeding. The grounds for re-allocation include but are not limited to the following: (1) abandonment, (2) waiver of rights to become a beneficiary, and (3) commission of illegal transactions such as the transfer of rights or ownership of the awarded land without the written consent and approval of the DAR Regional Director concerned.

ARTICLE II

Grounds for Cancellation

SECTION 4. Grounds. — The following are the grounds for the cancellation of EPs, CLOAs, and other titles issued under any agrarian reform program:

1. The landholding involves the retention area of the landowner provided that the retention right was exercised by the latter within the period allowed by the applicable laws or rules from the receipt of the Notice of Coverage;

2. The landholding is excluded or exempted from coverage of CARP, P.D. No. 27, or any other agrarian reform laws provided that the application for exclusion thereof was filed within the period allowed by the applicable laws or rules from receipt of the Notice of Coverage;

3. Defective Notices of Coverage (NOCs) due to, among others, improper service thereof, or erroneous identification of the landowner or landholding, provided, that the outcome of the cancellation proceeding shall not prejudice the CARP coverage of the subject landholding;

4. The landholding is outside the authority of the DAR to dispose of, as the same falls under the exclusive authority of the Department of Environment and Natural Resources (DENR) or the National Commission on Indigenous People (NCIP);

5. Erroneously-issued titles as a result of:

(a) erroneous technical description of the covered landholding; or

(b) the cancellation of the landowner's title prior to the issuance of the Certificate of Deposit (COD), in the case of CLOAs; SIcEHC

6. Misuse or diversion of financial and support services extended to ARBs pursuant to Section 37 of R.A. No. 6657, as amended;

7. Misuse of the land;

8. Material misrepresentation of the ARB's basic qualifications as provided under Section 22 of R.A. No. 6657, as amended, P.D. No. 27, and other agrarian laws;

9. Premature conversion by the ARB pursuant to Section 73 (F) of R.A. No. 6657, as amended and Section 11 of R.A. No. 8435;

10. Sale, transfer, lease, or any other form of conveyance by a beneficiary of the right of ownership, right to use, or any other usufructuary right over the land acquired by virtue of being a beneficiary, in order to violate or circumvent the provisions of Sections 27 and 73 of R.A. No. 6657, as amended, P.D. No. 27, and other agrarian laws; cSaCDT

11. Deliberate and absolute non-payment of three (3) consecutive amortizations in case of voluntary land transfer/direct payment scheme, provided that the ARB has been installed and is in actual possession of the land, and provided further that the last proviso will not apply if the non-possession of the ARB is attributable to his or her own fault;

12. Deliberate and absolute failure of the ARB to pay at least three (3) annual amortizations to the Land Bank of the Philippines (LBP), provided an amortization table has been issued to the ARB, and provided further that the amortizations shall start one (1) year from the ARB's actual occupancy pursuant to Section 26 of R.A. No. 6657, as amended;

13. Neglect or abandonment of the awarded land as defined by Section 3(n); or

14. Acts analogous to the foregoing.

ARTICLE III

Procedure

SECTION 5. Indefeasibility, A Bar to Cancellation Proceedings. — EPs, CLOAs, and other titles issued under any agrarian reform program shall be indefeasible and imprescriptible after one (1) year from its registration with the Office of the Register of Deeds (ROD). Accordingly, the DAR Secretary shall not entertain any action for the cancellation of EPs, CLOAs, and titles after the lapse of the said one (1) year period, except for cases involving Sections 4.4 to 4.14 of these Rules. The said one (1) year period, however, shall be interrupted upon the filing of any:

1. ALI case, with a prayer for the cancellation of the title, involving only the grounds mentioned in Section 4.1 to 4.3, with the Regional Director or the DAR Secretary; or CTaSEI

2. other case with any court, office, or tribunal other than the Regional Director or the DAR Secretary, where the latter two has no jurisdiction, involving the grounds mentioned in Section 4.1 to 4.3 only.

This period shall likewise be deemed interrupted with respect to all pending ALI cases involving the grounds mentioned in Section 4.1 to 4.3 at the time these Rules take into effect.

Nothing in this provision may be used to unduly delay the ripening of the indefeasibility of a title.

SECTION 6. ALI Cases Covering the Grounds Mentioned in Section 4. — All ALI cases pending with the Office of the Regional Director of the DAR, involving any of the grounds mentioned in Section 4 of Article II, insofar as there are already registered EPs or CLOAs covering the subject landholding, shall be dismissed with instructions to file a verified Petition for Cancellation in accordance with this A.O.

SECTION 7. Initiation of a Cancellation Case. — A cancellation case shall be initiated by the filing of a verified Petition for Cancellation and the payment of the filing fee, if necessary.

The verified Petition shall be filed with the Office of the PARAD who has jurisdiction over the place where the land covered by the EPs, CLOAs, or other titles sought to be cancelled is located.

The Disclosure Statement stated in Section 8 of this A.O. must be attached to the verified Petition.

The documentary and evidentiary requirements mandated by the appropriate A.O.s governing the ALI component of the cancellation case must also be attached to the verified Petition. The party initiating the cancellation case must understand that the different grounds stated in Section 4 of this A.O. have documentary and evidentiary requirements that are provided by the other A.O.s governing the ALI component thereof. Failure, therefore, to attach such documentary and evidentiary requirements as mandated by the appropriate A.O.s may result in the dismissal of the case for failure of the petitioner to show proof of his/her/its cause of action.

In the event any of these requirements are lacking, the PARAD shall issue an Interlocutory Order requiring the petitioner to submit them. The failure of the PARAD to issue such Interlocutory Order, or the failure of the petitioner to receive the same, shall not prevent the dismissal of the cancellation case on the ground that the petitioner failed to prove his/her/its cause of action.

At least five (5) copies of the petition must be prepared and filed with the PARAD. If there is more than one (1) respondent, more copies should be prepared and filed by the petitioner in order to provide all of them with a copy.

SECTION 8. Disclosure Statement. — The petitioner shall disclose and certify under oath, in the petition or its integral annex, that:

(a) He is a party-in-interest or properly authorized by a party-in-interest;

(b) He has not commenced and/or is aware of any other action or proceeding involving the same land, or a portion thereof, or issue in any court, tribunal, or quasi-judicial agency; and to the best of his knowledge, no such action or proceeding is pending in any court, tribunal, or quasi-judicial agency;

(c) If there is any action or proceeding which is either pending or may have been terminated, he shall state the status thereof; and

(d) If he thereafter learns that a similar action or proceeding has been filed or is pending before any court, tribunal, or quasi-judicial agency, he undertakes to report that fact within five (5) days therefrom to the DAR Office where the case for cancellation is pending. THaAEC

The failure to file the required disclosure statement, and/or the commission of acts constituting forum shopping, shall be a ground for dismissal of the cancellation case without prejudice.

SECTION 9. Who May File a Petition for Cancellation. — The verified petition for cancellation may be filed by any party in interest with respect to the title of the land, such as, but not limited to, the following:

(a) The person granted or applying for retention;

(b) The person whose land was declared exempted or excluded from the coverage of R.A. No. 6657, as amended, or of P.D. No. 27, or who is applying for such exemption or exclusion thereunder; 

(c) Qualified farmer-beneficiaries who have been determined as legally entitled to the generated and issued CLOA, or persons applying for inclusion as a farmer-beneficiary;

(d) Re-allocatees of the awarded land pursuant to P.D. No. 27, or persons applying for re-allocation under the same law;

(e) Actual tillers or occupants of the subject land; or

(f) Provincial Agrarian Reform Officers (PAROs) or the Regional Directors (RDs) with respect to those cases involving any of the grounds under Sections 4.5 to 4.14 or pursuant to a lawful Order.

SECTION 10. Filing Fee. — A filing fee of Three Thousand Pesos (Php3,000.00) shall be paid by the petitioner to the DAR Provincial Office Cashier, except if the petitioner is the government or any of its officials or employees in the exercise of its or their official function or in case the petitioner is a pauper litigant, in which case the payment of the filing fee shall be waived. THEDcS

SECTION 11. Cancellation with Final judgment in an ALI Case. — In the event that there is already a prior and final determination of an ALI case involving any of the grounds mentioned in Section 4 of Article II, the petitioner may file an action for cancellation in accordance with these Rules by filing a petition together with the following duly marked documents:

1. Original or certified true copy of the final and executory Order or Resolution of the DAR Regional Director, DAR Secretary, or the court;

2. Certificate of Finality;

3. Original owner's duplicate or certified true copy of the EPs, CLOAs, or any other titles sought to be cancelled;

4. Official Receipt issued for the payment of the corresponding filing fee, unless the petitioner is a pauper or indigent litigant; and

5. Any other relevant documents that may support the petition for cancellation.

SECTION 12. Assignment of Case Control Number. — Within the same day of receipt of the verified petition and, if applicable, proof of payment of the filing fee, the clerk of the PARAD shall assign a Case Control Number for monitoring purposes.

SECTION 13. Issuance of Notice. — The PARAD shall retain two (2) copies of the petition, and the rest to be served upon the respondents, ROD, and PARO concerned. The EP or CLOA holder must be deemed as a respondent.

The PARAD shall, within five (5) days from receipt of proof of the verified petitions and full payment of the filing fee, issue a Notice to Comment, attaching thereto a copy of the petition and supporting documents, if any, pre-marked as exhibits "A", "B", "C", and so forth.

The aforesaid Notice shall direct the respondent(s) and concerned ROD to file a verified Comment to the petition, attaching thereto duly marked documentary evidence marked as exhibits "1", "2", "3" and so forth within a non-extendible period of fifteen (15) days from receipt thereof, furnishing a copy to the petitioner. The same Notice shall inform the party that the component ALI case of the cancellation case may be governed by other A.O.s and he/she is therefore advised to review the said A.O.s. The recommended form of said Notice is attached hereto as Form 2. HSIDTE

SECTION 14. Service of Notice. — The PARAD shall immediately instruct his Sheriff to serve the Notice to Comment, together with the petition and marked exhibits, to the respondent(s) and concerned ROD. Service of the Notice to Comment shall be made to the respondents through the following persons:

(1) Service upon the respondent who is a natural person — The Notice shall be served to the respondent;

(2) Service upon co-owners of collective CLOAs — In case the CLOA-holder of the landholding are multiple persons as co-owners, the Notice shall be served upon each and every registered co-owner, unless one is specifically authorized, in a written public document, to receive for the co-owners;

(3) Service upon minors — When the respondent is a minor, service shall be made upon him/her personally and to his/her father and/or mother, whoever has lawful custody of the said minor. If the respondent has no parents, service shall be made upon him/her personally and to his/her legal guardian if he/she has one, or, if none, upon his/her guardian ad litem whose appointment shall be applied for by the DAR;

(4) Service upon incompetents — When the respondent is insane or otherwise incompetent, service shall be made upon him/her personally and to his/her legal guardian if he/she has one, or, if none, upon his/her guardian ad litem whose appointment shall be applied for by the DAR;

(5) Service upon entity without juridical personality — When the respondents who are persons associated through an entity without juridical personality are issued a Notice under the name by which they are generally or commonly known, service may be effected upon all the respondents by serving upon any one of them, or upon the person in charge of the office or place of business maintained in such name, provided that service shall not individually bind any person whose connection with the entity has, upon due notice, been severed before the proceeding was brought; CaEIST

(6) Service upon domestic private juridical entity — When the respondent is a corporation, partnership, or association organized under the laws of the Philippines with a juridical personality, service may be made on the president, managing partner, general manager, corporate secretary, treasurer, or in-house counsel; and

(7) Service upon the Estate of a deceased respondent — When the respondent is an Estate of a deceased person, the Notice shall be served to:

1. if the settlement of the Estate is currently pending with the court, the Executor or the Administrator of the Estate; or

2. if the Estate is not pending with the court or if there is no executor or administrator, the Notice shall be served to all known heirs and shall also be published.

The Notice to Comment shall be served personally. If the person authorized to receive cannot be found at the date of service, it shall be, on the same day, served personally to any person of suitable age and discretion who is residing at the residence of the Respondent, or with some competent person in charge at the place of business of the Respondent. In the case of juridical entities, the substituted service of said Notice shall be made to a competent person in charge of the office of those mentioned in Section 14 (6) hereof.

If the respondent cannot be personally served with the Notice to Comment, service shall be effected by publication, the Notice following the form stated in Annex "A" of this A.O. In case the Sheriff effects the service by publication, he must submit a report to the PARAD explaining in detail the efforts he has made to personally serve the said Notice. The published Notice shall include instructions on how the Respondent may get a copy of the verified Petition from the PARAD. The expenses for the publication of the Notice to Comment shall be borne by the petitioner, unless the latter is a pauper or indigent litigant. ETDaIC

The Sheriff or any personnel of the DAR that may be authorized by the Sheriff shall post on the bulletin board of the Barangay Hall where the land covered by the EP, CLOA, or other title of the land sought to be cancelled is located, a 72.39 by 57.15 centimeters (28.5 x 22.5 inches) notice stating the following both in English and in the local dialect:

"To all concerned,

[Original/Transfer] Certificate of Title No. CLOA-____________ registered in the name of ______________ is currently the subject of a cancellation proceeding with the Department of Agrarian Reform with case number ___________.

The above-mentioned farmer-beneficiary and all other respondents _______________ are required to submit their verified comments on or before _________________ with the Provincial Agrarian Reform Adjudicator located at _______________________.

Removal of this notice is punishable by law.

_________________

The Barangay Secretary shall execute a certificate of posting (containing, among others, the date when the notice was posted at the bulletin board). The Sheriff shall collect the said certification and take photographs of the posted notice and submit them to the PARAD.

The petitioner shall cause the production of a billboard, preferably made of tarpaulin or any visible waterproof and environmentally-friendly material, measuring 60.96 by 91.44 centimeters (2 x 3 feet), containing the same message as the notice posted on the Barangay Hall billboard, and install the same at a conspicuous location along the premises of the landholding within three (3) days from his filing of his verified petition. He shall thereafter take at least three (3) photographs of the same notice and submit them to the PARAD no later than five (5) days from the filing of his verified petition. The petitioner may seek the assistance of the DAR in case there is probable cause to believe that the installation of the billboard will be confronted with violence.

The Sheriff shall submit a report to the PARAD on the mode of service used for said Notice, and the fact of transmittal of the notice to the Barangay Secretary concerned.

For those respondents who did not receive the Notice to Comment personally, the date of publication or the posting at the bulletin board or the installation of the tarpaulin billboard, whichever is later, shall be deemed the date of receipt of the same.

SECTION 15. Time to Comment. — The respondent has fifteen (15) days from receipt of the aforesaid Notice to file or submit his or her verified Comment to the PARAD. The failure to submit the Comment shall be deemed a general denial of the material allegations of the petition.

SECTION 16. Information About the Parties or their Counsel. — The counsel of the Parties, or, if none, the Parties themselves, must indicate in their verified petition or their comment, whichever is applicable, their name, address, electronic mail address, telephone numbers, and fax numbers.

SECTION 17. Case Folder Build-Up. — The clerk of the PARAD is tasked with the preparation of a complete Case Folder, which must contain the following: 

(a) Official Receipt as proof of payment, except those exempted from payment of filing fees under Section 10 of these Rules; IScaAE

(b) Verified Petition with Disclosure Statement;

(c) Verified Comment;

(d) Valid authorization by a person allowed by Section 9 of these Rules to file a cancellation case, in case the person filing is acting on behalf of the said person;

(e) Notices, and proof of service and receipt of said notices;

(f) Owner's Duplicate Copy or certified photocopy of EPs, CLOAs, or other titles;

(g) Memorandum;

(h) Marked documentary exhibits;

(i) The photographs of the notices as mentioned in Section 14 of these Rules;

(j) Either:

a. Documentary requirements of A.O.s governing the component ALI case; or

b. If the case is filed in accordance with Section 11 hereof:

i. Original or certified true or photocopy of final and executory orders and resolutions; and

ii. Original or certified true or photocopy of Certificate of Finality; and STECAc

(k) Other pertinent documents.

In the event that any of the above-mentioned documents are missing, the PARAD shall issue an Interlocutory Order requiring the petitioner or any of the respondents to submit those missing documents. The failure of the PARAD to issue such Interlocutory Order, or the failure of a party to receive such Order, shall not be an excuse for the said party, who has the primary responsibility to submit all necessary documents, to provide these.

Upon completion of the Case Folder, the clerk of the PARAD shall cause the arranging of each document therein in chronological order according to date of receipt, and affix his initial on each and every page. When for special reasons a particular document in the records requires that it be free from any form of marking, the affixing of initials shall be made only upon photocopies thereof, with the originals placed in a separate envelope while said photocopies shall form part of the case folder.

SECTION 18. Transmittal of Case Folder to the Regional Director, the RCLUPPI, the CLUPPI, or the BALA. — The PARAD shall prepare a Transmittal Letter accompanying the Case Folder, particularly stating therein the parties involved, the number and description of the contents of the Case Folder, and the number of pages contained therein. Thereafter, the PARAD shall, within ten (10) days from the completion of the Case Folder, forward the same to:

(1) The Regional Director who has jurisdiction over the subject landholding, if the cancellation case is filed on the grounds mentioned in Section 4 (1), (3), (4), (5), (6), (7), (8), (10), (11), (12), and (13) of this A.O.;

(2) The Regional Center for Land Use Policy Planning and Implementation (RCLUPPI), Center for Land Use Policy Planning and Implementation (CLUPPI), or the Regional Director, depending on who has jurisdiction over the component exclusion or exemption case of the cancellation case, as vested by the governing A.O., if the said cancellation case is filed on the ground mentioned in Section 4 (2) of this A.O.;

(3) The RCLUPPI (if the size of the subject landholding is five [5] hectares or less) or the CLUPPI (if the size of the subject landholding is more than five [5] hectares), if the cancellation case is filed on the ground mentioned in Section 4 (9) of this A.O.; and CAaSHI

(4) The Bureau of Agrarian Legal Assistance (BALA), if the cancellation case is filed in accordance with Section 11 of this A.O. In such case, the BALA shall proceed with the procedure set by Section 22 of this A.O.

The PARAD shall keep for his file one Case Folder containing photocopies of the original Case Folder.

SECTION 19. Absence of a PARAD. — In the event that the PARAD concerned needs to inhibit on the case, or that there is a vacancy in the Office of the PARAD concerned and no radiating Adjudicator has yet been designated, then the functions of the PARAD in Sections 3 (d), 7, 12, 13, 14, 15, 17, 18, and 42 hereof shall be delegated to the Regional Agrarian Reform Adjudicator (RARAD) of the place where the land covered by the EPs, CLOAs, or other titles sought to be cancelled is located.

SECTION 20. Investigation by the Regional Director, RCLUPPI, or CLUPPI. — The Regional Director, RCLUPPI, or CLUPPI, whomever or whichever the Case Folder was transmitted to, shall conduct an ocular inspection (OCI), if necessary, after giving all the parties prior notice thereof. The said Regional Director, RCLUPPI, or CLUPPI may use video recordings during the OCI, together with an affidavit of authentication from the person recording the video, both of which shall form part of the OCI Report. If an OCI is conducted, the said Regional Director, RCLUPPI, or CLUPPI shall prepare the Report thereon within ten (10) days from the date the OCI was conducted.

No hearing may be conducted by the said Regional Director, RCLUPPI, or CLUPPI in the course of the investigation. The parties may submit, at this time, amended or supplemental position papers, at their own instance or upon the request of the Regional Director, RCLUPPI, or CLUPPI. Proof of service to the opposing parties of the aforementioned amended or supplemental position paper must be attached to that filed with the DAR. The position paper shall not be accepted without the said proof of service. The opposing party may submit a Comment to the said position paper within fifteen (15) days from their receipt thereof, furnishing a copy of the same to the other party.

SECTION 21. Investigation Report and Recommendation. — Upon termination of the investigation proceedings, or if no investigation is conducted, the Regional Director, RCLUPPI, or CLUPPI, whomever or whichever the Case Folder was transmitted to, shall prepare an Investigation Report for transmittal to the BALA, containing therein the factual findings and observations regarding the case. The said Regional Director, RCLUPPI, or CLUPPI, must also provide a Recommendation as to how the ALI component should be resolved.

The said Regional Director, RCLUPPI, or CLUPPI, shall include his/its Investigation Report and Recommendation and the minutes of proceedings of the investigation in the Case Folder. Within five (5) days from the execution of the Investigation Report and Recommendation, the Case Folder shall be transmitted to the BALA.

The said Regional Director, RCLUPPI, or CLUPPI shall keep for his file one Case Folder containing photocopies of the original Case Folder.

SECTION 22. Pagination and Indexing of Case Folders. — Upon receipt of the Case Folder, the BALA shall substantially adopt the Case Control Number previously assigned therefor. For this purpose, the BALA shall maintain a Docket Book containing the docket numbers assigned for each case, the details of the petition, and the date the Case Folder was received.

The BALA shall cause the arranging of each document therein in chronological order according to date of receipt, and inscribe a page number on and initial each and every page. When for special reasons a particular document in the records requires that it be free from any form of marking, the pagination and affixing of initials shall be made only upon photocopies thereof, with the originals placed in a separate envelope while said photocopies shall form part of the case folder. He shall also prepare a table of contents, which shall be placed immediately after the Endorsement by the BALA of the Case Folder. SaIACT

The BALA shall, within fifteen (15) days from its receipt of the Case Folder, transmit the arranged, paginated, and indexed Case Folder to the Office of the Assistant Secretary for Legal Affairs (ASEC-LAO).

SECTION 23. Conduct of Clarificatory Hearing. — The DAR Undersecretary for Legal Affairs, when he deems it necessary or upon the recommendation of the Assistant Secretary for Legal Affairs, may conduct a hearing for clarification, issue interlocutory orders, and require submission of additional evidence. He may authorize the Legal Division Chief of the Provincial or Regional Office or the PARAD or RARAD concerned, to conduct such hearings, if the Undersecretary deems it necessary.

For this purpose, the official record of the proceedings conducted shall be kept and form part of the case folder.

SECTION 24. Review, Findings, and Recommendation by ASEC-LAO. — The ASEC-LAO shall conduct a review, evaluation, and thorough assessment of the entire case records. Thereafter, the ASEC-LAO shall prepare its findings and recommendation and transmit the same to the Office of the Undersecretary for Legal Affairs (USEC-LAO).

SECTION 25. Review, Findings, and Recommendation by USEC-LAO. — The USEC-LAO shall conduct its own review, evaluation, and thorough assessment of the entire case records. Thereafter, the USEC-LAO shall prepare its findings and recommendation.

SECTION 26. Transmittal of Case Folder with Findings and Recommendation to the DAR Secretary. — The USEC-LAO shall, within five (5) days from the completion of its aforesaid recommendation, transmit the same, together with the Case Folder, to the DAR Secretary. The date of such transmittal shall be considered the date when the case is deemed submitted for resolution. Such date shall be indicated in the Department's website and/or the case monitoring system.

SECTION 27. Decision. — The DAR Secretary shall render a Decision by issuing an Order and furnishing a copy thereof by registered mail and, if available, electronic mail, to the parties' counsel or representatives, as well as the parties themselves and the DAR officials who took part in the proceedings. The soft copy of the Order transmitted to the parties by electronic mail shall merely serve as advance notice thereof, as the actual date of receipt of the hard copy sent by registered mail shall be the basis for the determination of the period to file either a motion for reconsideration or an appeal.

In case a copy of the Order sent by registered mail is unclaimed and is returned to the DAR Secretary, the caption and the dispositive portion thereof shall be published in a newspaper of general circulation. The date of the publication shall be deemed as the time the Order is received by the party who failed to receive it by registered mail. ADSTCa 

When the cancellation of a CLOA is based on Section 4 (5) (b) hereof, and there is no finding that the COD should not be or should not have been issued, the DAR Secretary shall not issue the Order until a COD has been issued. A certified true copy of the COD must be attached to the Order of the DAR Secretary, especially the copies of the Order that shall be furnished to the parties.

ARTICLE IV

Disqualification of the Secretary as to the ALI Component of the Cancellation Case

SECTION 28. Disqualification of the Secretary as to the ALI Component of the Cancellation Case. — In cancellation cases other than those falling under Section 11 of this A.O., where in the Secretary's sound discretion, there are just and valid grounds to believe he might be induced to act in favor of one party or with bias or prejudice against a party arising out of circumstances reasonably capable of inciting such a state of mind, he must inhibit from deciding the ALI component of the case by putting such fact and reason into writing and incorporating it in the case folder.

Thereafter, it shall be incumbent upon the Undersecretary of Legal Affairs to render a Decision as to the ALI component of the case.

The Undersecretary of Legal Affairs may reconsider his Decision, upon proper motion in accordance with the ALI Rules of Procedure. The aforementioned Decision may also be appealed to the Office of the President in accordance with the rules and procedures that are set forth by the latter.

The issue as to the cancellation proper of the EP, CLOA, or other title issued under any agrarian reform program shall be suspended until such time that a final and executory decision has been rendered on the ALI component of the case. cCAaHD

ARTICLE V

Prohibited Motions

SECTION 29. Prohibited Motions. — The following motions shall not be allowed:

(a) Motion to declare respondent in default or for default judgment;

(b) All motions filed before the Comment;

(c) Motion for extension of time to file an appeal, a motion for reconsideration, or a memorandum; and

(d) Second Motion for Reconsideration.

In case any party files any of the prohibited Motions, the PARAD, Regional Director, RCLUPPI, CLUPPI, BALA, Undersecretary for Legal Affairs, or the Secretary, whomever or whichever has the Case Folder, shall accept the written motion and include it in the Case Folder, but he/it shall not act upon the matter.

ARTICLE VI

Grounds for Dismissal

SECTION 30. Dismissal of Petition. — The petition for cancellation may be denied by the DAR Secretary on the following grounds:

1. If, in an action for cancellation falling under Section 11 of Article III, the petitioner failed to submit any of the following documents:

(a) Original, certified true, or photocopies of the final and executory Order and Resolution of the DAR Regional Director, DAR Secretary, or the courts; AHDaET

(b) Certificate of Finality;

(c) Original owner's duplicate or certified true copy of the EPs, CLOAs, or any other titles sought to be cancelled;

(d) Official Receipt issued for the payment of the corresponding filing fee, unless the petitioner is exempt under Section 10 of Article III of these Rules; and

(e) Any other relevant documents that may support the petition for cancellation;

2. Failure to pay filing fee;

3. Failure to comply with Section 8 of Article III of these Rules;

4. Failure to submit the documentary requirements mandated by other A.O.s governing the ALI component of the case; or

5. When the petition for cancellation was filed after the one (1) year period as provided under Article III, Section 5 of these Rules, save those instances covered by Article II, Sections 4.4 to 4.14 hereof. aECSHI

ARTICLE VII

Direct Order of Cancellation

SECTION 31. Direct Cancellation. — The procedures in Articles III, IV, and V notwithstanding, the Secretary may, in resolving an appeal of an ALI case decision of a Regional Director, order the cancellation of an EP, CLOA, or any other title issued under any agrarian reform program, provided that all of the following conditions are present:

1. The decision of the Secretary in the appealed ALI case shall result in the cancellation of the EP, CLOA, or other title issued under any agrarian reform program; and

2. The holder of the EP, CLOA, or other title is given the right to be heard through the procedures set by Section 32 of this A.O.

SECTION 32. Order to Comment. — To ensure that due process is afforded to the holder of the EP, CLOA, or other title issued under any agrarian reform program that may be cancelled, if the Secretary, pending resolution of an ALI case appealed from the decision of a Regional Director, determines that: AEIHCS

1. A possible decision of the Secretary in the appealed ALI case shall result in the cancellation of the EP, CLOA, or other title issued under any agrarian reform program; and

2. The holder of the EP, CLOA, or other title is a party to the appealed ALI case.

he shall issue an Interlocutory Order directing the PARAD to:

i. inform the holder of the EP, CLOA, or other title, through a Notice that shall be served in the same manner as the service of a Notice to Comment provided Section 14 of this A.O., that the pending ALI case is being considered by the OSEC as a cancellation case, and direct him/her to submit to the OSEC, with a copy furnished to the opposing party, within thirty (30) days from receipt thereof, a Comment on the issue of the ALI case and the possibility of the cancellation of the his/her awarded title as a consequence of an adverse decision in the case;

ii. post Notices in the landholding and on the bulletin board of the Barangay Hall that the subject landholding is a subject of a cancellation case. DACIHc

The opposing party may file a Reply to the Comment within fifteen (15) days from his receipt thereof without the need of an Order from the OSEC.

ARTICLE VIII

Motion for Reconsideration

SECTION 33. Motion for Reconsideration. — A party may file only one (1) Motion for Reconsideration of the Order of the DAR Secretary to cancel the EP, CLOA, or other title issued under any agrarian reform program, within a period of fifteen (15) days from receipt thereof, furnishing a copy of the motion to all other parties' counsel or representative. The filing of the Motion for Reconsideration shall interrupt the running of the reglementary period within which to file a notice of appeal.

SECTION 34. Comment on Motion for Reconsideration. — The adverse party may file a Comment on the Motion for Reconsideration within a non-extendible period of ten (10) days from receipt thereof. No Order from the DAR Secretary is necessary for a party to file a Comment.

SECTION 35. Resolution of the Motion for Reconsideration. — The DAR Secretary shall resolve the Motion for Reconsideration by issuing an Order/Resolution in due course, furnishing a copy thereof by registered mail and, if available, electronic mail, to the parties' counsel or representative as well as the parties themselves and the DAR officials who took part in the proceedings. The soft copy of the Order transmitted to the parties by electronic mail shall merely serve as advance notice thereof, as the actual date of receipt of the hard copy sent by registered mail shall be the basis for the determination of the period to file an appeal.

In case a copy of the Order sent by registered mail is unclaimed and is returned to the DAR Secretary, the caption and the dispositive portion thereof shall be published in a newspaper of general circulation. The date of the publication shall be deemed as the time the Order is received by the party who failed to receive it by registered mail. cECaHA

ARTICLE IX

Appeal

SECTION 36. Appeal of the Decision of the DAR Secretary. — The Order or Resolution of the DAR Secretary may be appealed to the Office of the President, in accordance with the rules and procedures that are set forth by the latter.

ARTICLE X

Finality

SECTION 37. Finality. — The Order or Resolution of the DAR Secretary shall become final and executory upon the expiration of the period to appeal therefrom if no appeal has been duly perfected.

SECTION 38. Order of Finality. — The BALA shall issue an Order of Finality upon any party's formal request and presentation of proof that no appeal to the Office of the President has been filed before the period to appeal expired. STIEHc

ARTICLE XI

Execution

SECTION 39. Execution. — If the Order or Resolution of the DAR Secretary becomes final and executory in accordance with Article IX hereof, the BALA, on motion or motu proprio, shall issue a Writ of Implementation.

If an appeal has been duly perfected and finally resolved, the execution may forthwith be applied by filing a Motion for the Issuance of a Writ of Implementation with the Undersecretary for Legal Affairs within five (5) years from the date of entry of the final decision.

After the lapse of the five (5)-year reglementary period, a party may file an action for the execution of a final decision on the Cancellation case with the Office of the Secretary at any time prior to it being barred by the statute of limitations.

The Writ of Implementation shall direct the concerned Registry of Deeds to cancel the EP, CLOA, or other title issued pursuant to any agrarian reform program. The PARO concerned shall effect the necessary actions in order to implement the DAR Secretary's Order.

SECTION 40. Writ of Possession and Writ of Demolition. — After the issuance of the Writ of Implementation, the BALA, on motion or motu proprio, may issue a Writ of Possession and/or a Writ of Demolition directing the Sheriff of the concerned PARAD to install the rightful title-holder of the subject landholding.

SECTION 41. Enforcement of a Partial Cancellation. — Whenever the Order of cancellation pertains only to a portion of an awarded land, or, in case of a collective CLOA, only to the inchoate portion thereof of one or more, but not all, of the ARBs, the Writ of Implementation shall direct the: 

1. PARO concerned to issue a new EP or CLOA covering the area not cancelled or in the name of the ARBs whose right to the said award are not terminated by the cancellation Order; and

2. Register of Deeds concerned to cancel the entire affected EP or CLOA and to register that issued by the PARO.

ARTICLE XII

Provisional Relief

SECTION 42. Temporary Restraining Order. — At any time prior to the transmittal of the PARAD of a Case Folder to the OSEC, in cases where any party may immediately suffer grave or irreparable damage, or where the performance or continuance of certain acts will render the case moot and academic, or where there is a need to maintain peace and order and prevent injury or loss of life or property, the PARAD may, at the instance of any party, issue a Temporary Restraining Order (TRO), which shall be only be effective for a non-extendible period of seventy-two (72) hours, to prevent grave and irreparable damage. During such period, the party may file for a Cease and Desist Order with the OSEC or USEC-LAO. DACTSa

SECTION 43. Cease and Desist Order. — At any time prior to either the finality of the Order of the Secretary or the perfection of an appeal, in cases where any party may suffer grave or irreparable damage, or where the performance or continuance of certain acts will render the case moot and academic, or where there is a need to maintain peace and order and prevent injury or loss of life or property, the Secretary or the Undersecretary for Legal Affairs may, motu proprio or at the instance of any party, issue a Cease and Desist Order (CDO) to prevent grave and irreparable damage while awaiting resolution of the case.

SECTION 44. Failure to Comply, Ground for Contempt. — The failure of any person to comply with the TRO or CDO is a ground for Indirect Contempt.

ARTICLE XIII

Powers of the Secretary

SECTION 45. Powers of the Secretary. — The DAR Secretary and the Undersecretary for Legal Affairs shall have the power to summon witnesses, administer oaths, take testimonies, require submission of reports, compel the production of books and documents and answers to interrogatories, issue subpoena duces tecum and ad testificandum, and issue other writs and processes necessary for the resolution of the petition. The DAR Secretary shall likewise have contempt powers, direct and indirect, in accordance with Section 50 of R.A. No. 6657, as amended.

ARTICLE XIV

Final Provisions

SECTION 46. Case Records are Public Documents. — Subject to the provisions of pertinent laws and guidelines on confidentiality and transparency, including Memorandum Circular No. 7, Series of 2011, the records of a cancellation case are public documents. However, confidential information as provided for by the Department's rules and related laws shall not be disclosed.

SECTION 47. Suspension of Rules. — The DAR Secretary may suspend the application of these Rules in order to serve and protect the interest of justice.

SECTION 48. Transitory Provisions. — The USEC-LAO shall, within thirty (30) days from the effectivity of this A.O., determine which among the cases for cancellation of registered EPs, CLOAs, and other titles pending with the OSEC, including those referred to it by the DARAB or the appropriate Adjudicator, shall require the necessary case build-up. EaICAD

Those cancellation cases that the USEC-LAO shall deem necessary for case build-up shall be transmitted to the appropriate PARAD and the procedures stated from Section 17 of this A.O. onwards shall be followed. The USEC-LAO shall inform the parties of the said cancellation cases as to the fact that the cancellation case has been referred to the PARAD.

Those cancellation cases, on the other hand, that the USEC-LAO shall deem ready for disposition shall be resolved in accordance with the procedures stated from Section 25 of this A.O. onwards.

The Petitioners in all cancellation cases pending as of the time of the effectivity of this A.O. must submit to the said OSEC or the PARAD, whoever is currently holding the case folder, a Disclosure Statement, as described in Section 8 hereof. Non-submission of the abovementioned Statement shall be a ground for the dismissal of the Petition without prejudice. The OSEC or USEC-LAO shall send notices to all such Petitioners to inform them of this duty. SATDHE

SECTION 49. Repealing Clause. — These Rules repeal A.O. No. 3, Series of 2009, and all orders, circulars, rules and regulations, and issuances or portions thereof that are inconsistent herewith.

SECTION 50. Separability Clause. — Any judicial pronouncement declaring as unconstitutional any provision of these Rules shall have no effect on the validity of the other provisions not affected thereby.

SECTION 51. Effectivity Clause. — These Rules shall take effect ten (10) days after its publication in two (2) newspapers of general circulation.

Diliman, Quezon City, September 21, 2011.

(SGD.) VIRGILIO R. DE LOS REYES

Secretary

Department of Agrarian Reform

ANNEX A

To all concerned,

[Original/Transfer] Certificate of Title No. CLOA-____________ registered in the name of ______________ is currently the subject of a cancellation proceeding with the Department of Agrarian Reform with case number ___________.

The above-mentioned farmer-beneficiary and all other respondents _______________ are required to submit their verified comments on or before _________________ with the Provincial Agrarian Reform Adjudicator located at _______________________.

Form 1: Verification and Disclosure Statement

Republic of the Philippines)

______________________) S.S.

VERIFICATION AND DISCLOSURE STATEMENT

I, _______________, of legal age, Filipino, single, and with residence at _________________________ after having been sworn to in accordance to laws, hereby depose and say that: aIcSED

1. I am the Petitioner in the case at bar and have caused the preparation of the Petition;

2. I have read the pleading and confirm that the allegations therein are true and correct as of my personal knowledge or based on authentic records; and

3. I further certify that I have not commenced and/or am not aware of any other action or proceeding involving the same land, or a portion thereof, or issue in any court, tribunal, or quasi-judicial agency; and to the best of my knowledge, no such action or proceeding is pending in any court, tribunal, or quasi-judicial agency, and if I should thereafter learn that the same or similar action or claim has been filed or is pending, I shall report that fact within five (5) days therefrom to the DAR Office where this aforesaid Petition for Cancellation has been filed.

————————

Petitioner

SUBSCRIBED AND SWORN to before me this ______ day of ________, affiant exhibiting to me his __________________ issued at _________ on _______________.

Doc. No. ________

Page No. ________

Book No. ________

Series of ________.

Form 2: Notice to Comment

_____________________

_____________________

Ginoo/Binibini ,

Binibigyan po kayo ng abiso na ang EP/CLOA No. ________ na rehistrado sa pangalan ninyo ay pinapakansela sa tanggapan ng Kalihim ng DAR ni ________________________. Ang petisyon para sa pagkansela ay naisumite sa tanggapan ng Provincial Agrarian Reform Adjudicator ng probinsya ng ___________ noong _____________. Kalakip nitong abiso ang kopya ng petisyon at mga ebidensya. Binibigyan po kayo ng labing limang (15) araw mula sa pagtanggap ninyo nito para magharap ng inyong kasagutan o depensa sa pagkansela ng nasabing EP/CLOA. Maaari pong isumite ang inyong nakasulat na kasagutan o depensa sa tanggapan ng opisina ng Provincial Agrarian Reform Adjudicator na mahahanap sa ____________________. IHEDAT

Para sa inyong kaalaman, maliban sa alintuntuning sumasaklaw sa pagdinig ng mga aksyong pagkansela ng EP/CLOA, ibang mga Administrative Order naman ang susundin pagdating sa aspetong kasong Agrarian Law Implementation (ALI) nito.

Lubos na Gumagalang,

——————————

PARAD ng __________

Address: _______________

 

Email: _______________	Petsa ng pagtangap: __________
Telephone Number: ___________	Natanggap ni: _______________

 

 

Published in The Philippine Star and Business World on September 26, 2011.