Case Digest (ASSOCIATION OF SMALL LANDOWNERS IN THE PHILIPPINES, INC., ET AL. vs. HONORABLE SECRETARY OF AGRARIAN REFORM)

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ASSOCIATION OF SMALL LANDOWNERS IN THE

PHILIPPINES, INC., ET AL. vs. HONORABLE


SECRETARY OF AGRARIAN REFORM
G.R. No. 78742 July 14, 1989

FACTS:
These are consolidated cases because they involve
common legal questions, involving serious challenges to the
constitutionality of P.D. No. 27, E.O. Nos. 228 and 229, Proc.
No. 131 and R.A. No. 665.
G.R. No. 79777
The petitioners are questioning the constitutionality P.D.
No. 27 and E.O. Nos. 228 and 229 on grounds inter alia of
separation of powers, due process, equal protection and the
constitutional limitation that no private property shall be taken
for public use without just compensation.
G.R. No. 79310
This petition seeks to prohibit the implementation of
Proc. No. 131 and E.O. No. 229. The petitioners claim that,
even assuming that the interim legislative power of the
President was properly exercised, Proc. No. 131 and E.O. No.
229 would still have to be annulled for violating the
constitutional provisions on just compensation, due process,
and equal protection.
G.R. No. 79744
The petitioners argue that E.O. Nos. 228 and 229 are
violative of the constitutional provision that no private property
shall be taken without due process or just compensation.
G.R. No. 78742
The petitioners claim that they cannot eject their tenants
and so are unable to enjoy their right of retention because the
DAR has so far not issued the implementing rules required
under the above-quoted decree.

1

ISSUE:
Whether or not P.D. No. 27, E.O. Nos. 228 and 229,
Proc. No. 131 and R.A. No. 665 are the constitutional.

RULING:
YES, the Supreme Court speaking through Justice Cruz
SUSTAINED R.A. No. 6657, P.D. No. 27, Proc. No. 131, and
E.O. Nos. 228 and 229. The promulgation of P.D. No. 27 by
President Marcos has already been sustained in Gonzales v.
Estrella, and the Court found no reason to modify or reverse it
on that issue. As for the power of President Aquino to
promulgate Proc. No. 131 and E.O. Nos. 228 and 229, the
same was authorized under Section 6 of the Transitory
Provisions of the 1987 Constitution.
This brings us now to the power of eminent domain.
Private rights must yield to the irresistible demands of the
public interest on the time-honored justification that the
welfare of the people is the supreme law. In any event, the
decision to redistribute private agricultural lands in the manner
prescribed by the CARP was made by the legislative and
executive departments in the exercise of their discretion. The
Court is not justified in reviewing that discretion in the absence
of a clear showing that it has been abused.
It cannot be denied from these cases that the traditional
medium for the payment of just compensation is money and
no other. However, we do not deal here with the traditional
exercise of the power of eminent domain. This is not an
ordinary expropriation where only a specific property of
relatively limited area is sought to be taken by the State from
its owner for a specific and perhaps local purpose. What we
deal with here is a revolutionary kind of expropriation.
In connection with these retained rights, assuming that
the petitioners have not yet exercised their retention rights, if
any, under P.D. No. 27, the Court held that they are entitled to
the new retention rights provided for by R.A. No. 6657.

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