Dalen, Gustavo

De Luna, Aries S.
Macadaeg, Jovy B.
Hacienda Luisita et.al., v. Presidential Agrarian Reform
Council et.al.,
G.R. No. 171101 April 24, 2012
Velasco, Jr., J.
Facts:
Issue/s:
1.) Whether the just compensation must be reckoned from
the time the stock distribution plan of Hacienda Luisita Inc. was
approved by PARC on November 21, 1989.
2.) Whether the just compensation was done in accordance
with the due process clause.
3.) Whether the just compensation should be computed from
the time Hacienda Luisita Inc. dispossessed control over the
property.
Held:
The Supreme Court held that this resolution should be made
final and executory. The government through the DAR, is ordered
to pay hacienda Luisita Inc. the just compensation for the 240square meters homelots distributed to the FWBs.
Just compensation has been defined as the full and fair
market equivalent of the property taken from its owner by the
expropriator. The measure is not the takers gain, but the owners
loss. In determining just compensation, the price or value of the
property at the time it was taken from the owner and
appropriated by the government shall be the basis. If the
government takes possession of the land before the institution of
expropriation proceedings, the value should be fixed as of the
time of the taking of said possession, not of the filing of the
complaint.
1.)
In the first issue, the Court held that the issue is already
settled by the DAR that by a vote of 8-6, the Court affirmed
its ruling that the date of taking in determining just
compensation is November 21, 1989 when PARC approved
HLIs stock option plan. As regards the issue of interest on
just compensation. We also leave this matter to the DAR and
the LBP, subject to review by the RTC acting as a SAC.
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2.)
3.)
For the purpose of determining just compensation, the
date of taking is November 21, 1989 (the date when PARC
approved HLIs SDP) since this is the time that the FWBs
were considered to own and possess the agricultural lands in
Hacienda Luisita. To be precise, these lands became subject
of the agrarian reform coverage through the stock
distribution scheme only upon the approval of the SDP, that
is, on November 21, 1989. Such approval is akin to a notice
of coverage ordinarily issued under compulsory acquisition.
On the contention of the minority (Justice Sereno) that the
date of the notice of coverage [after PARCs revocation of the
SDP], that is, January 2, 2006, is determinative of the just
compensation that HLI is entitled to receive, the Court
majority noted that none of the cases cited to justify this
position involved the stock distribution scheme. Thus, said
cases do not squarely apply to the instant case.
The
foregoing notwithstanding, it bears stressing that the DAR's
land valuation is only preliminary and is not, by any means,
final and conclusive upon the landowner. The landowner can
file an original action with the RTC acting as a special
agrarian court to determine just compensation. The court
has the right to review with finality the determination in the
exercise of what is admittedly a judicial function.

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