MEMORANDUM
FOR : GERONIMA B. ANGELES
District Manager, QCP-NCR
THRU : VICTOR C. BALBA
Group Manager, NCR
SUBJECT —_: Request for Opinion re: Cancellation of Conditions Annotated on
the
Title after the Lapse of the Restrictive Period by Non-Awardees
March 8, 2016
This refers to your request for opinion re: cancellation of conditions annotated
on the title after the lapse of restrictive period by non-awardees dated January 13,
2016
|i your memorandum, you mentioned about the conflicting opinion issued by
this Department on April 21, 2015 and September 2, 2015 regarding payment of
transfer fee after the lapse of the restrictive period
We stand by the opinion rendered by this Department dated April 21, 2015 as
itis more in consonance with NHA Policy on the matter. The opinion rendered by this
Department dated September 2, 2015 has no leg to stand on as the basis for
rendering the opinion was the Re-orientation and Workshop on Awards and Tenurial
Services (Agreements Reached) dated June 10, 11 & 19, 2009 which, incidentally,
was provided by a staff of your Office. The second opinion is more of an oversight as
the document provided by your staff used as basis has no force and effect as it was
not approved by the NHA Management and the Board of Directors.
When a lot is awarded in any of our projects, the name of the original awardee
's thus listed in the Lot Inventory System (LIS) and it remains in the list as long as no
approved transfer over the lot is recorded. The NHA has no privity or business
relations with subsequent transferees, thus, prior to any cancellation of restrictions
from the title, the transfer must first be approved and the necessary fees paid by the
transferee
Memorandum Circular No. 400, dated October 29, 1985 approved by former
NHA General Manager, Gaudencio V. Tobias, authorized the charging of fees for
transfer of Rights over lots, lots with houses and condominium units and other
Services rendered by NHA pursuant to Batas Pambansa Blg. 325 and its
Implementing Rules and Regulations Under Ministry of Finance Order No. 6-83 and
as approved by the Cabinet on September 19, 1985‘Subsequently, Memorandum Circular No. 1295, dated March 2, 1998 was
issued by former NHA General Manager, Marciano M. Pineda pursuant to Executive
Order No. 159, dated February 23, 1994, the Department of Finance and
Department of Budget Management Joint Circular No. 2-94, dated December 14,
1994 and NHA Board Resolution No. 3782, dated October 16, 1997 which revised
the fees collected for services rendered by the National Housing Authority.
In both issuances, there was no distinction on whether the charging of
transfer fees is to be made prior to or after the lot has been fully paid or titled.
The fees collected under Memorandum Circular No. 1295 is applicable as cost
of services rendered by NHA.
In view of the foregoing, we are of the considered opinion that transfer fees
‘must first be collected by NHA on the transfer of property before any cancellation of
restriction annotated on the title is processed
Any act to the contrary is violative of NHA Rules and Regulation and may be
subject of an administrative case.
Further, unless the existing memorandum, policy or rules is revised, amended
or abandoned by NHA Management and the Board of Directors, the same stands.
Please be guided accordingly.
cg
UB LAMY
ATTY. ELEONOR ARCADIO BALABAT
[Prerin-chare, Lege Departgent
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Pc2meme GeronimaAngelesQCP