CLASSIFICATION OF PUBLIC LANDS OPEN TO DISPOSITION

> Classification is an executive function

> Lands of the public domain which are alienable or open to disposition may be further
classified as agricultural, residential, commercial, or industrial, or for similar productive
purposes, educational, charitable, or other similar purpose, and reservations for townsites and
for public and quasi-public uses

MODES OF DISPOSITION
1. For homestead settlement
2. By sale
3. By lease
4. By confirmation of imperfect or incomplete title
a. By judicial legalization
b. By administrative legalization or free patent

HOMESTEAD PATENT
> Chapter 4 of the Public Land Act governs the disposition of alienable public lands through
homestead
> Any citizen of the Philippines over the age of 18 years, or the head of a family, may enter a
homestead of not exceeding 12 hectares of agricultural land of the public domain
> The applicant must have cultivated and improved at least 1/5 of the land continuously since
the approval of the application and resided for at least 1 year in the municipality in which the
land is located, or in a municipality in which the land is located, or in a municipality adjacent to
the same, and then, upon payment of the required fee, he shall be entitled to a patent

EFFECT OF COMPLIANCE WITH LEGAL REQUIREMENTS

> When a homesteader has complied with all the terms and conditions which entitle him to a
patent for a particular tract of public land, he acquires a vested interest therein, and is to be
regarded as the equitable owner thereof
> The execution and delivery of the patent, after the right to a particular piece of land has
become complete, are the mere ministerial acts of the officer charged with that duty
> Even without the patent, a perfected homestead is a property right in the fullest sense,
unaffected by the fact that the paramount title to the land is still in the government

SALES PATENT ON PUBLIC AGRICULTURAL LANDS

> Governed by Chapter 5 of the Public Land Act

> Any citizen of lawful age or the head of the family may purchase any tract of public
agricultural land not to exceed 12 hectares which shall be sold through sealed bidding
> The land shall be awarded to the highest bidder, but the applicant may equal the highest
bid

> The purchase price may be paid in full upon the making of the award or in not more than 10
equal annual installments from the date of the award

> It is required that the purchaser shall have not less than 1/5 of the land cultivated within 5
years from the date of the award, and before any patent is issued, he must show actual
occupancy, cultivation and improvement of at least 1/5 of the land until the date of final
payment

Torrens System
March 7, 2016fundamentals of land title and registration
What is land registration?

Land registration is a judicial or administrative proceeding whereby a persons claim of ownership over a
particular land is determined and confirmed or recognized so that such land and the ownership thereof
may be recorded in a public registry.

What is Torrens title?

Torrens title is the certificate of ownership issued by the land Register of Deeds, naming and declaring
the owner of the real property described therein, free from all liens and encumbrances except such as
may be expressly noted thereon or otherwise reserved by law. Its effect is that it can be conclusive
against the whole world, it is guaranteed to be indefeasible, unassailable, and imprescriptible. The title
once registered cannot be impugned, altered, changed, modified, enlarged, or diminished except in
some direct proceeding permitted by law.

What are the kinds of registration?

1. Original registrationis the first registration of the land whereby an Original Certificate of Title is
entered in the Registry of Property and a duplicate owners copy is issued to the owner by the Register
of Deeds. It can be further classified into:

a. Judicial registration which will be done through the courts. It may either be voluntary where it
instituted by the applicant under the provisions of Act 496 or PD 1529 or compulsory at the instance of
the State under provision of Act 2259 (Cadastral Act)

1. Voluntary -instituted by the applicant

2. Compulsory- at the instance of the State

b. Administrative registration wherein theacquisition of land patents to public agricultural lands and
registration thereof under Section 107 of CA No. 141 (The Public Land Act)

What is subsequent registration?

Subsequent registration is a process where the Original Certificate of Title is cancelled and subsequently
registered under a Transfer Certificate of Title in favor of the new owner in cases of land conveyance
such as sale, donation or assignment.

Who may apply for original registration of title?

According to Presidential Decree 1529 Amending and Codifying the Laws Relative to Registration of
Property and for Other Purposes, or also known as Property registration Decree, it has laid down the
enumeration of who may apply for original registration of Title.
Section 14. Who may apply. The following persons may file in the proper Court of First Instance an
application for registration of title to land, whether personally or through their duly authorized
representatives:

(1) Those who by themselves or through their predecessors-in-interest have been in open, continuous,
exclusive and notorious possession and occupation of alienable and disposable lands of the public
domain under a bona fide claim of ownership since June 12, 1945, or earlier.

(2) Those who have acquired ownership of private lands by prescription under the provision of existing
laws.

(3) Those who have acquired ownership of private lands or abandoned river beds by right of accession
or accretion under the existing laws.

(4) Those who have acquired ownership of land in any other manner provided for by law.

Where the land is owned in common, all the co-owners shall file the application jointly.

Where the land has been sold under pacto de retro, the vendor a retro may file an application for the
original registration of the land, provided, however, that should the period for redemption expire during
the pendency of the registration proceedings and ownership to the property consolidated in the vendee
a retro, the latter shall be substituted for the applicant and may continue the proceedings.

A trustee on behalf of his principal may apply for original registration of any land held in trust by him,
unless prohibited by the instrument creating the trust.

What are the attributes and limitations on certificates of title and registered lands?

A. Free from liens and encumbrances

B. Incontrovertible and Indefeasible
C. Certificate of title not subject to Collateral Attack

What are the parts and information on the title?

Title Form Information- where the type of form, date of revision and serial number can be found
Survey Information- where the parcel identity (lot, block, survey plan number), location, adjoining
parcels, tie point, tie line, bearings and distances from corner to corner and the area and date of survey
can be found
Registration Information- where the name of the Register of Deeds, title number, book number, page
number, place/time/date of registration, name and signature of registrar and historical information
(date and place of original registration, OCT No., Volume No., Page No., Decree No., record/name of
original owner, number of cancelled title for OCT) can be found
Ownership Information- where the name/s of all persons whose interest make up the full ownership,
citizenship, civil status, postal address

What is Homestead patent?

It is issued (by the Director Lands) over land not of the public domain is a nullity, devoid of force and
effect against the owner whose title is covered by an OCT or TCT.

What is the Registration of title under Act 3344?

Registration of untitled lands or lands with imperfect titles is ineffective against third persons. That in
case of double sale, the title registered under the Torrens System is superior than title registered under
Act 3344. Registration under the Torrens System, at the Registry of Deeds is needed so that title shall be
binding upon third parties.

What is a decree of registration?

It is issued by the administrator of LRA upon order of the court. It shall bind the land and quiet title
thereto the purpose of Torrens System. Land becomes registered only upon transcription of the
decree in the original registration book by the Register of Deeds and not on the date of issuance of the
decree. Certificate of title becomes indefeasible after ONE YEAR from issuance of the decree.

What is an assurance fund?

Sec 95 of Property Registration Decree provides that a person who, without negligence on his part
sustain loss or damage or is deprived of land or any estate or interest therein in consequence of the
bringing of the land under the operation of Torrens System or arising after the original registration of
the land, through fraud or in consequence of any error, may bring an action in any court of competent
jurisdiction for the recovery of damages paid out of the Assurance Fund within 6 years from the time the
right to bring such action accrues.
The assurance fund is intended to relive innocent persons from the harshness of the doctrine that a
certificate of title is conclusive evidence of indefeasible title to the land.

What is the rule on conveyance of only a portion of a land?

The Register of Deeds shall not enter any new title in favor of the grantee until a plan indicating the
portions into which the land has been subdivided shall first be presented, together with the technical
descriptions thereof. Meantime, the deed of conveyance may be annotated at the owners certificate.

Mandate & Functions

As provided for under Section 4 of E.O. 192, the DENR is mandated to be the primary
government agency responsible for the conservation, management, development and proper
use of the country's environment and natural resources, including those in reservations,
watershed areas and lands of the public domain, as well as the licensing and regulation of all
natural resources utilization as may be provided by law in order to ensure equitable sharing of
the benefits derived therefrom for the welfare of the present and future generations of
Filipinos.

Based on the above mandate, the DENR envisions to pass on to Filipinos a renewed hope in
people's ability to chart a new direction for development and a legacy of a self-sustaining
environment, mindful of people's rights to a life of dignity.

The DENR's mission is to be the dynamic force behind people's initiatives in the protection,
conservation, development and management of the environment through strategic alliances
and partnerships, participate processes, relevant policies and programs and appropriate
information technology towards sustainable development.

To accomplish the department's mandate, the following objectives serve as basis for policy
formulation:

Assure the availability and sustainability of the country's natural resources through their
judicious use and systematic restoration or replacement, whenever possible;
Increase the productivity of natural resources in order to meet the demands for forest,
mineral and land resources of a growing population in a manner consistent with
environmental protection and enhancement;
Enhance the contribution of natural resources for achieving national economic, political,
social development and ecological integrity;
Promote equitable access to natural resources by the different sectors of the
populations;
Maintain a desirable level of environmental quality;
Conserve specific terrestrial and marine areas representative of the Philippine natural
and cultural heritage for present and future generations.

The powers and functions of the DENR, per Section 5 of E.O. 192, are as follows:

Advise the President on the enactment of laws relative to the development, use, regulation
and conservation of the country's natural resources and the control of pollution;

Formulate, implement and supervise the government's policies, plans and programs
pertaining to the management, conservation, development, use and replenishment of the
country's natural resources.

Promulgate rules and regulations in accordance with law governing the exploration,
development, conservation, extraction, disposition, use and such other commercial activities
tending to cause the depletion and degradation of our natural resources;

Exercise supervision and control over forest lands, alienable and disposable lands, and
mineral resources and impose appropriate payments, fees, charges, rentals and any such form
of levy and collect such revenues for the exploration, development, utilization or gathering of
such resources;

Undertake exploration, assessment, classification and inventory of the country's natural

resources using ground surveys, remote sensing and complementary technologies;

Promote proper and mutual consultation with the private sector involving natural resources
development, use and conservation;
 Undertake geological surveys of the whole country including its territorial waters;

Establish policies and implement programs for the:

a. Accelerated inventory, surveys and classification of lands, forest and mineral resources
using appropriate technology, to be able to come up with a more accurate assessment
of resource quality and quantity;
b. Equitable distribution of natural resources through the judicious administration,
regulation, utilization, development and expansion of natural resource-based industries;
c. Promotion, development and expansion of natural resource-based industries;
d. Preservation of cultural and natural heritage through wildlife conservation and
segregation of national parks and other protected areas;
e. Maintenance of a wholesome natural environment by enforcing environmental
protections laws; and
f. Encouragement of greater people\'s participation and private initiative in natural
resource management.

Promulgate rules and regulations necessary to:

a. Accelerate cadastral and emancipation patent surveys, land use planning and public
land titling:
b. Harness forest resources in a sustainable manner, to assist rural development, support
forest-based industries, and provide raw materials to meet increasing demands, at the
same time keeping adequate reserves for environmental stability; and
c. Expedite mineral resources surveys, promote the production of metallic and non-
metallic minerals and encourage mineral marketing.

Regulate the development, disposition, extraction, exploration and use of the country's
forestland and mineral resources;

Assume responsibility for the assessment, development, protection, conservation, licensing

and regulation as provided for by law, where applicable, of all natural resources; the regulation
and monitoring of service contractors, licensees, lessees, and permittees for the extraction,
exploration, development and utilization of natural resource products; the implementation of
programs and measures with the end in view of promoting close collaboration between the
government and the private sector; the effective and efficient classification and sub-
classification of lands of the public domain; and the enforcement of natural resources laws,
rules and regulations;

Promulgate rules, regulations and guidelines on the issuance of co-production, joint venture
or production sharing agreements, licenses, permits, concessions, leases and such other
privileges and arrangement concerning the development, exploration and utilization of the
country's natural resources and shall continue to oversee, supervise and police our natural
resources; to cancel or cause to cancel such privileges and arrangements upon failure, non-
compliance or violations of any regulations, orders, and for all other causes which are in
furtherance of the conservation of natural resources and supportive of the national interest;

Exercise exclusive jurisdiction on the management and disposition of all lands of the public
domain and shall continue to be the sole agency responsible for the classification, sub-
classification, surveying and titling of lands in consultation with appropriate agencies;

Implement measures for the regulation and supervision of the processing of forest products,
grading and inspection of lumber and other forest products and monitoring of the movement of
timber and other forest products.
 Promulgate rules and regulations for the control of water, air and land pollution; Promulgate
ambient and effluent standards for water and air quality including the allowable levels of other
pollutants and radiations;

Promulgate policies, rules and regulations for the conservation of the country's genetic
resources and biological diversity, and endangered habitats; which will be presented to the
Cabinet for the President's approval;

Formulate an integrated, multi-sectoral, and multi-disciplinary National Conservation

Strategy, which will be presented to the Cabinet for President's approval;

Exercise other powers and functions and perform such other acts as may be necessary,
proper or incidental to the attainment of its mandates and objectives.

Doctrine of primary jurisdiction

"The doctrine of primary jurisdiction holds that if a case is such that its
determination requires the expertise, specialized training and knowledge of
the proper administrative bodies, relief must first be obtained in an
administrative proceeding before a remedy is supplied by the courts even if
the matter may well be within their proper jurisdiction.22 It applies where a
claim is originally cognizable in the courts, and comes into play whenever
enforcement of the claim requires the resolution of issues which, under a
regulatory scheme, have been placed within the special competence of an
administrative agency. In such a case, the court in which the claim is sought
to be enforced may suspend the judicial process pending referral of such
issues to the administrative body for its view or, if the parties would not be
unfairly disadvantaged, dismiss the case without prejudice.23

The objective of the doctrine of primary jurisdiction is to guide the

court in determining whether it should refrain from exercising its jurisdiction
until after an administrative agency has determined some question or some
aspect of some question arising in the proceeding before the court.24."

Exhaustion of Administrative Remedies

It has been consistently held by the Supreme Court, in a long line of cases, that before a party is
allowed to seek the intervention of the court, it is a pre-condition that he should have availed of
all the means of administrative processes afforded him. Hence, if a remedy within the
administrative machinery can still be resorted to by giving the administrative officer concerned
every opportunity to decide on a matter that comes within his jurisdiction, then such remedy
should be exhausted first before the courts judicial power can be sought. The premature
invocation of a courts intervention is fatal to ones cause of action as aptly explained by the
Supreme Court in the case of University of the Philippines v. Catungal, Jr., et al., (G.R. No. 121863,
May 5, 1997), to wit:

The underlying principle of the rule on exhaustion of administrative remedies rests on the
presumption that the administrative agency, if afforded a complete chance to pass upon the
matter, will decide the same correctly. There are both legal and practical reasons for the
principle. The administrative process is intended to provide less expensive and more speedy
solutions to disputes. Where the enabling statute indicates a procedure for administrative review
and provides a system of administrative appeal or reconsideration, the courts for reasons of
law, comity, and convenience will not entertain a case unless the available administrative
remedies have been resorted to and the appropriate authorities have been given an opportunity
to act and correct the errors committed in the administrative forum.
The rule in administrative law is that parties requesting judicial action must first exhaust their
remedies in the executive branch. This is premised not only on practical considerations but also
on the comity existing between different departments of the government, which comity requires
the court to stay their hands until the administrative processes have been completed. (Madrinan
vs. Sinco, 110 Phil. 160) Further, under the doctrine of exhaustion of administrative remedies,
recourse through court action, as a general rule, cannot prosper until all the remedies have been
exhausted at the administrative level, (Pacana vs. Consunji, 108 SCRA 631[1981]; Pestaas et al.
v. Dyogi, et al., 81 SCRA 574 [1978]; Antonio v. Tanco, 65 SCRA 448 [1975]).

Thus, in Abe-Abe et al. v. Manta (90 SCRA 524, 531 [1979]), the Supreme Court emphatically
declared:

When an adequate remedy may be had within the Executive Department of the government,
but nevertheless, a litigant fails or refuses to avail himself of the same, the judiciary shall decline
to interfere. This traditional attitude of the courts is based not only on convenience but likewise
on respect; convenience of the party litigants and respect for a co-equal office in the government.
If a remedy is available within the administrative machinery, this should be resorted to before
resort can be made to (the) court. (citing Cruz vs. Del Rosario, 119 Phil. 63, 66).

There is no question that a statute may vest exclusive original jurisdiction in an administrative
agency over certain disputes and controversies falling within the agencys special expertise. For
example, the constitutionality of such grant of exclusive jurisdiction to the Housing and Land Use
Regulatory Board over cases involving the sale of lots in commercial subdivisions was upheld in
Tropical Homes Inc. v. National Housing Authority (152 SCRA 540 [1987]) and again sustained in
a later decision in Antipolo Realty Corporation v. National Housing Authority (153 SCRA 399
[1987]) where the Supreme Court restated that the HLURB shall have exclusive jurisdiction to
regulate the real estate trade and business in accordance with the terms of PD 957 which defines
the quantum of judicial or quasi-judicial powers of the said agency.

As a result, the HLURB, in the exercise of its powers and functions, is authorized to interpret and
apply contracts, determine the rights of the parties under these contracts, and even award
damages, such as moral and exemplary, whenever appropriate. Thus, it has been held that one
of the thrusts of the multiplication of administrative agencies is the interpretation of such
contracts and agreements and that the determination of private rights under these agreements
is no longer a uniquely judicial function.

Moreover, if a remedy is very much available within the administrative machinery of the
administrative agency, then this alternative should first be utilized before resort can be made to
the courts, not only to give the administrative agency the opportunity to decide the matter by
itself correctly, but also to avoid the very pernicious evil the doctrine itself seeks to prevent the
unnecessary and premature resort to courts and the clogging of its dockets.

It is also important to note that the primordial effect of non-compliance and failure to exhaust
administrative remedies is that it deprives the complainants of a cause of action, which is, under
the Rules of Court, a ground for a motion to dismiss. Such failure, therefore, is fatal and calls for
the dismissal of the case.

CLASSIFICATION OF PROPERTIES ACCORDING TO WHOM IT BELONGS

The New Civil Code expressly classified property according to ownership by this article:

Article 419. Property is either of public dominion or of private ownership.

What are properties of public dominion?
Public dominion or property owned by the State (or its political subdivisions) in its public or sovereign
capacity and intended for public use and not for the use of the State as a juridical person.

Article 420. The following things are property of public dominion:

Those intended for public use, such as roads, canals, rivers, torrents, ports and bridges
constructed by the State, banks, shores, roadsteads, and others of similar character;
Those which belong to the State, without being for public use, and are intended for some
public service or for the development of the national wealth;
Art. 424. Property for public use, in the provinces, cities, and municipalities, consist of the
provincial roads, city streets, municipal streets, the squares, fountains, public waters,
promenades, and public works for public service paid for by said provinces, cities, or
municipalities.
*These subdivisions, however cannot register as their own any part of the public domain unless it can be
proved that the grant thereof has been made or possessed under the concept of an owner. They have
no authority to control or regulate properties of public domain for they are under the authority of
Congress.

What are the kinds of properties of public dominion?

Property intended for public use or which can be used by everybody and others of similar character
Property which is not for public use but intended for public service or those which can be used
only by duly authorized persons, such as government buildings and vehicles

Property intended for the development of national wealth such as minerals, coal, oil, forest, and
other natural resources

Further, under the 1987 Constitution (Section 3 Article XII) Lands of the public domain are classified into:

Section 3. Lands of the public domain are classified into agricultural, forest or timber, mineral
lands and national parks. Agricultural lands of the public domain may be further classified by
law according to the uses to which they may be devoted. Alienable lands of the public
domain shall be limited to agricultural lands. x x x
Agricultural

Forest or timber

Mineral lands

National parks

Examples of public dominion: 1987 Constitution: agricultural, forest, timber, national parks, mineral
lands, water, minerals, oils, coal, petroleum, sources of potential energy, fisheries, wildlife, flora, fauna,
roads, canals, rivers, banks, shores and others similar in character. Agricultural land is the only alienable
and disposable land of the government

What are the characteristics of properties of public domain?

It is beyond the commerce of man

It cannot be acquired by prescription

It cannot be registered under the Land Registration Law and be the subject of a Torrens Title

It cannot be levied upon by execution nor can be attached.

What are properties of private ownership?

Private ownership or property owned by the State in its private capacity, and is known as patrimonial
property. It may also be owned by private persons, either individually or collectively.

Here are the provisions of the law which point out to this classification:

Article 421. All other property of the State, which is not of the character stated in the
preceding article, is patrimonial property.
*Patrimonial property is the property of the State owned by it in its private or proprietary capacity, i.e.,
the property is not intended for public use, or for some public service, or for the development of the
national wealth.

Article 422. Property of public dominion, when no longer intended for public use or for public
service, shall form part of the patrimonial property of the State.
*Under Article 422 there must be a formal declaration by the executive or possibly legislative
department of the government that the property of the State is no longer needed for public use of for
public service; otherwise, the property continues to be property of public dominion notwithstanding the
fact that it is not actually devoted for such use or service.

Art. 423. The property of provinces, cities, and municipalities is divided into property for
public use and patrimonial property. (343)
*The political subdivisions of the national government may also own properties in their private capacity.

Article 425. Property of private ownership, besides the patrimonial property of the State,
provinces, cities, and municipalities, consists of all property belonging to private persons,
either individually or collectively.
What are the differences between public domain and patrimonial properties?
Public dominion cannot be acquired by prescription, even by city or municipality.

Patrimonial property of the State may be the subject of acquisition through prescription.

Public lands become patrimonial property upon express government manifestation that the property is
already patrimonial and declaration that these are already alienable and disposable.

And only when the property has become patrimonial can the prescriptive period for the acquisition of
property of the public domain begin to run.

113 of the Civil Code: All things that are within the commerce of man are susceptible to prescription,
and that the property of the State or any of its subdivisions not patrimonial in character shall not be the
object of prescription.

How are lands of public domain reclassified?

A positive act of the Government is necessary to enable such reclassification, and the exclusive
prerogative to classify public lands under existing laws is vested in the Executive Department, not in the
courts.

Section 2. All lands of the public domain, waters, minerals, coal, petroleum, and other
mineral oils, all forces of potential energy, fisheries, forests or timber, wildlife, flora and
fauna, and other natural resources are owned by the State. With the exception of agricultural
lands, all other natural resources shall not be alienated. x x x
*The Constitution places a limit on the type of public land that may be alienated. Under Section 2,
Article XII of the 1987 Constitution, only agricultural lands of the public domain may be alienated; all
other natural resources may not be.

Article XII, Section 3, of the 1987 Constitution states:

Sec 3. x x x Alienable lands of the public domain shall be limited to agricultural lands. Private
corporations or associations may not hold such alienable lands of the public domain except
by lease, for a period not exceeding twenty-five years, renewable for not more than twenty-
five years, and not to exceed one thousand hectares in area. Citizens of the Philippines may
lease not more than five hundred hectares, or acquire not more than twelve hectares thereof
by purchase, homestead or grant.
*The Constitution has laid down a prohibition for private corporations or associations to own lands of
public domain but may enjoy such only by lease in accordance to the terms expressly provided in the
abovementioned section.

Article 422. Property of public dominion, when no longer intended for public use or for public
service, shall form part of the patrimonial property of the State.
*Under Article 422 there must be a formal declaration by the executive or possibly legislative
department of the government that the property of the State is no longer needed for public use of for
public service; otherwise, the property continues to be property of public dominion notwithstanding the
fact that it is not actually devoted for such use or service.

What lands may not be declared open to disposition or concession?

Those which have been reserved for public or quasi-public uses;

Those which have been appropriated by the government;

Those which have become private property like the friar lands and the ancestral lands under the IPRA
Law

The Revised Forestry code also provides that no land of the public domain 18% in slope or over shall be
classified as alienable and disposable;

Submerged lands like the waters (sea or bay) above them are part of the inalienable natural resources.

What are the classification of lands under the Constitution?

Classification under 1935 Constitution- Agricultural, forest or timber

Classification under 1973 Constitution- Agricultural, industrial, commercial, residential, resettlement,

mineral, timber and mineral lands

Classification under 1987 Constitution- Agricultural, forest, timber and national parks

All others under the 1987 Constitution are patrimonial property

No public land can be acquired except by a grant from the State