702 Phil. 521
BERSAMIN, J.:
WHEREFORE, all premises considered, judgment is hereby rendered ordering the defendant Land Bank of the Philippines to pay petitioner Manolo Goduco the total amount of One Million Two Hundred Twenty Seven Thousand Five Hundred Seventy One & 10/100 (P1,227,571.10), Philippine Currency, representing the just compensation of the properties covered by TCT No. NT-146092 (2839), situated at Poblacion/Talabutab, Gen. Natividad, Nueva Ecija x x x with an area of 10.9635 hectares, and TCT No. NT-61608, situated at Macabucod, Aliaga, Nueva Ecija, with an area of 4.1224 hectares, with 6% legal interest per annum from date of taking (which the Court determines to be October 25, 1999) until fully paid.
SO ORDERED.[4]
x x x x
Under the factual circumstances of this case, the agrarian reform process is still incomplete as the just compensation to be paid has yet to be settled. As mentioned earlier, the court a quo set the date of taking on 25 October 1999. During this time, Republic Act No. 6657 which took effect on 15 June 1988 was already operational. Thus, the ruling of the Supreme Court in Land Bank of the Philippines v. Natividad, supra, is highly relevant thus:Considering the passage of Republic Act No. 6657 (RA 6657) before the completion of this process, the just compensation should be determined and the process concluded under the said law. Indeed, RA 6657 is the applicable law, with PD 27 and EO 228 having only suppletory effect, conformably without our ruling in Paris v. Alfeche.A perusal of the records, however, disclosed that in the valuation of the subject properties, the court a quo utilized the formula:
x x x xLV = Average Gross Production (AGP) x 2.5 x the Government Support Price (GSP)Under Section 17 of RA No. 6657, infra, the Congress enumerated certain factors to be considered in ascertaining just compensation of properties covered under the CARP. x x x.
x x x x
Significantly, the court a quo’s valuation of the properties in question finds support under Section 17 of RA 6657, thus:SECTION 17. Determination of Just Compensation. – In determining just compensation, the cost of acquisition of the land, the current value of like properties, its nature, actual use and income, the sworn valuation by the owner, tax declarations, and the assessment made by government assessors shall be considered. The social and economic benefits contributed by the farmers and the farmworkers and by the government to the property as well as the non-payment of taxes or loans secured from any government financing institution shall be considered additional factors to determine its valuation.In the case at bar, as can be gleaned from the recorded evidence, hearings were had and there were presentation of the parties’ evidence. Hence, it can be safely assumed that the court a quo has aptly considered the factors provided under Section 17, supra, in its determination of just compensation.
x x x x
In sum, We find that the just compensation which the court a quo fixed is within the bounds of what the law considers as full and fair equivalent of the properties taken.
x x x x
WHEREFORE, premises considered, instant Petition is DENIED. The assailed Decision of the court a quo dated 31 January 2005 is AFFIRMED.[7]
I.
WHETHER OR NOT THE CA COMMITTED SERIOUS ERRORS OF LAW IN THE FOLLOWING INSTANCES: (A) THE QUESTIONED DECISION DISREGARDS [SIC] THE SUPREME COURT RULING ON THE DATE OF TAKING OF LANDS UNDER P.D. NO. 27/ E.O. NO. 228 WHICH WAS ENUNCIATED IN G.R. NO. 148223 TITLED “FERNANDO GABATIN, ET AL., VS. LAND BANK OF THE PHILIPPINES” (25 NOVEMBER 2005); (B) THE QUESTIONED DECISION DISREGARDED THE GOVERNMENT SUPPORT PRICE (GSP) FOR PALAY PRESCRIBED IN P.D. NO. 27/E.O. NO. 228 AMOUNTING TO THIRTY FIVE PESOS (PHP35.00), WHICH AMOUNT IS SUBJECT TO MANDATORY JUDICIAL NOTICE;II
WHETHER OR NOT UNDER PD NO. 27, THE LANDS WERE DEEMED TAKEN BY OPERATION OF LAW ON 21 OCTOBER 1972, THE DATE OF EFFECTIVITY OF SAID PRESIDENTIAL DIRECTIVE;III.
WHETHER OR NOT THE GOVERNMENT SUPPORT PRICE (GSP) FOR PALAY PRESCRIBED IN P.D. NO. 27/E.O. NO. 228 AMOUNTING TO PHP35 IS SUBJECT TO MANDATORY JUDICIAL NOTICE.[9]
(a) P229,799.42, for the acquired area consisting of 2.3539 hectares located in Macabucod, Aliaga, Nueva Ecija and covered by TCT No. NT – 61608; and (b) P2,260,725.87 for the acquired area consisting of 10.4795 hectares located in Talubatab, Gen. Natividad, Nueva Ecija and covered by TCT No. NT-146092,
REPUBLIC OF THE PHILIPPINES)There is no question that the foregoing Agreement was a compromise that the parties freely and voluntarily entered into for the purpose of finally settling their dispute in this case. Under Article 2028 of the Civil Code, a compromise is a contract whereby the parties, by making reciprocal concessions, avoid a litigation or put an end to one already commenced. Accordingly, a compromise is either judicial, if the objective is to put an end to a pending litigation, or extrajudicial, if the objective is to avoid a litigation. As a contract, a compromise is perfected by mutual consent. However, a judicial compromise, while immediately binding between the parties upon its execution, is not executory until it is approved by the court and reduced to a judgment.[15] The validity of a compromise is dependent upon its compliance with the requisites and principles of contracts dictated by law. Also, the terms and conditions of a compromise must not be contrary to law, morals, good customs, public policy and public order.[16]
CITY OF MANILA ) S.S.AGREEMENT
KNOW ALL MEN BY THESE PRESENTS:
This agreement made and executed by and between:
LAND BANK OF THE PHILIPPINES, with principal place of business at 1598 M.H. del Pilar cor. Quintos Sts., Malate, Manila, hereinafter called the “First Party,” and
HEIRS OF SPOUSES JORJA RIGOR-SORIANO and MAGIN SORIANO, NAMELY: MARIVEL S. CARANDANG and JOSEPH SORIANO, hereinafter called the “Second Party,”WITNESSETH:
- That the First Party, in a Memorandum from Lily M. San Luis, Officer-in Charge, AOC III-A, Land Bank of the Philippines, City of San Fernando, Pampanga, revalued the acquired area belonging to the Second Party, consisting of 2.3539 hectares located at Macabucad, Aliaga, Nueva Ecija, covered by TCT No. NT - 61608 pursuant to DAR Administrative Order No. 1, Series of 2010, in the amount of Two Hundred Twenty Nine Thousand Seven Hundred Ninety Nine Pesos & 42/100 (Php 229,799.42).
- That on 04 August 2011, the above-stated revaluation for subject property was duly approved by the First Party’s approving authorities, as indicated in the Memorandum and thereafter communicated to the Second Party for unconditional acceptance.
- That the First Party, in a subsequent Memorandum from Lily M. San Luis, Officer-in-Charge, AOC III-A, Land Bank of the Philippines, City of San Fernando, Pampanga, revalued another acquired area belonging to the Second Party, consisting of 10.4795 hectares located at Talubatab, Gen. Natividad, Nueva Ecija, covered by TCT No. NT - 146092 pursuant to the above-stated DAR Administrative Order in the amount of Two Million Two Hundred Sixty Thousand Seven Hundred Twenty Five Pesos & 87 (Php 2,260,725.87).
- That on 18 January 2011, the above-stated revaluation for the subject property was duly approved by the First Party’s approving authorities as indicated in the Memorandum and thereafter communicated to the Second party for unconditional acceptance.
- That for the above-stated claims, the amounts of Php 210,884.03 for TCT No. NT – 61608 and Php 2,073,339.00 for TCT No. – NT-146092, representing the increase in valuation are due to the Second Party, receipt of which is hereby acknowledged.
- That the above-stated revalued amounts, which the Second Party have received, are completely satisfactory to the Second Party who manifest unconditional acceptance thereof, representing as they do, the fair, full and just compensation for subject properties.
- That in view of the Second Party’s unconditional or absolute acceptance and full receipt of the foregoing amounts as just compensation for subject properties the First Party and the Second Party hereby consider the case titled “Land Bank of the Philippines v. Heirs of Spouses Jorja Rigor-Soriano and Magin Soriano, namely: Marivel S. Carandang and Joseph Soriano (G.R. No. 178312) pending before the Supreme Court, closed and terminated.
IN WITNESS WHEREOF, the parties hereto have hereunto set their hands this NOV 29 2012 day of November, 2012, in CITY OF MANILA, Philippines.
FIRST PARTY: SECOND PARTY: LAND BANK OF THE PHILIPPINES (Sgd.)
MARIVEL S. CARANDANG (Sgd.)
JOSEPH SORIANO REPRESENTED/ASSISTED BY: ASSISTED BY: NOEL B. MARQUEZ
VP – Head, CLSD/Counsel (Sgd.)
FELIPE R. DE BELEN
Counsel(Sgd.)
MYLENE R. PACASUM/
Counsel(Sgd.)
JOSE M. A. QUIMBOY
Counsel Signed in the presence of: (Sgd.)
SYLVIA M. EUSEBIO (Sgd.)
RENAN B. UMALI