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WhatisCARP(ComprehensiveAgrarianReform
Program),orRA6657?
CARP,ortheComprehensiveAgrarianReformProgram,istheredistributionofpublicandprivateagriculturallands
tofarmersandfarmworkerswhoarelandless,irrespectiveoftenurialarrangement.CARPsvisionistohavean
equitablelandownershipwithempoweredagrarianreformbeneficiarieswhocaneffectivelymanagetheireconomic
andsocialdevelopmenttohaveabetterqualityoflife.

OneofthemajorprogramsofCARPisLandTenureImprovement,whichseekstohastendistributionoflandsto
landlessfarmers.Similarly,theDepartmentoffersSupportServicestothebeneficiariessuchasinfrastructure
facilities,marketingassistanceprogram,creditassistanceprogram,andtechnicalsupportprograms.Furthermore,
thedepartmentseekstofacilitate,resolvecasesanddeliverAgrarianJustice.

ThelegalbasisforCARPistheRepublicActNo.6657otherwiseknownasComprehensiveAgrarianReformLaw
(CARL)signedbyPresidentCorazonC.AquinoonJune10,1988.Itisanactwhichaimstopromotesocialjustice
andindustrialization,providingthemechanismforitsimplementation,andforotherpurposes.

REPUBLICACTNO.6657
(June10,1988)

ANACTINSTITUTINGACOMPREHENSIVEAGRARIANREFORMPROGRAMTOPROMOTESOCIAL
JUSTICEANDINDUSTRIALIZATION,PROVIDINGTHEMECHANISMFORITSIMPLEMENTATION,AND
FOROTHERPURPOSES

CHAPTERI
PreliminaryChapter

SECTION1.Title.ThisActshallbeknownastheComprehensiveAgrarianReformLawof1988.

SECTION2.DeclarationofPrinciplesandPolicies.ItisthepolicyoftheStatetopursueaComprehensive
AgrarianReformProgram(CARP).Thewelfareofthelandlessfarmersandfarmworkerswillreceivethe
highestconsiderationtopromotesocialjusticeandtomovethenationtowardsoundruraldevelopmentand
industrialization,andtheestablishmentofownercultivatorshipofeconomicsizefarmsasthebasisofPhilippine
agriculture.
Tothisend,amoreequitabledistributionandownershipofland,withdueregardtotherightsoflandownerstojust
compensationandtotheecologicalneedsofthenation,shallbeundertakentoprovidefarmersandfarmworkers
withtheopportunitytoenhancetheirdignityandimprovethequalityoftheirlivesthroughgreaterproductivityof
agriculturallands.

Theagrarianreformprogramisfoundedontherightoffarmersandregularfarmworkers,whoarelandless,toown
directlyorcollectivelythelandstheytillor,inthecaseofotherfarmworkers,toreceiveajustshareofthefruits
thereof.Tothisend,theStateshallencourageandundertakethejustdistributionofallagriculturallands,subject
totheprioritiesandretentionlimitssetforthinthisAct,havingtakenintoaccountecological,developmental,and
equityconsiderations,andsubjecttothepaymentofjustcompensation.TheStateshallrespecttherightofsmall
landowners,andshallprovideincentivesforvoluntarylandsharing.

TheStateshallrecognizetherightoffarmers,farmworkersandlandowners,aswellascooperativesandother
independentfarmers'organizations,toparticipateintheplanning,organization,andmanagementoftheprogram,
andshallprovidesupporttoagriculturethroughappropriatetechnologyandresearch,andadequatefinancial
production,marketingandothersupportservices.

TheStateshallapplytheprinciplesofagrarianreform,orstewardship,wheneverapplicable,inaccordancewith
law,inthedispositionorutilizationofothernaturalresources,includinglandsofthepublicdomain,underleaseor
concession,suitabletoagriculture,subjecttopriorrights,homesteadrightsofsmallsettlersandtherightsof
indigenouscommunitiestotheirancestrallands.

TheStatemayresettlelandlessfarmersandfarmworkersinitsownagriculturalestates,whichshallbedistributed
totheminthemannerprovidedbylaw.Bymeansofappropriateincentives,theStateshallencouragethe
formationandmaintenanceofeconomicsizefamilyfarmstobeconstitutedbyindividualbeneficiariesandsmall
landowners.TheStateshallprotecttherightsofsubsistencefishermen,especiallyoflocalcommunities,tothe
preferentialuseofcommunalmarineandfishingresources,bothinlandandoffshore.Itshallprovidesupportto
suchfishermenthroughappropriatetechnologyandresearch,adequatefinancial,productionandmarketing
assistanceandotherservices.TheStateshallalsoprotect,developandconservesuchresources.Theprotection
shallextendtooffshorefishinggroundsofsubsistencefishermenagainstforeignintrusion.Fishworkersshall
receiveajustsharefromtheirlaborintheutilizationofmarineandfishingresources.

TheStateshallbeguidedbytheprinciplesthatlandhasasocialfunctionandlandownershiphasasocial
responsibility.Ownersofagriculturallandshavetheobligationtocultivatedirectlyorthroughlaboradministration
thelandstheyownandtherebymakethelandproductive.

TheStateshallprovideincentivestolandownerstoinvesttheproceedsoftheagrarianreformprogramtopromote
industrialization,employmentandprivatizationofpublicsectorenterprises.Financialinstrumentsusedaspayment
forlandsshallcontainfeaturesthatshallenhancenegotiabilityandacceptabilityinthemarketplace.TheState
mayleaseundevelopedlandsofthepublicdomaintoqualifiedentitiesforthedevelopmentofcapitalintensive
farms,andtraditionalandpioneeringcropsespeciallythoseforexportssubjecttothepriorrightsofthe
beneficiariesunderthisAct.

SECTION3.Definitions.ForthepurposeofthisAct,unlessthecontextindicatesotherwise:

(a)AgrarianReformmeansredistributionoflands,regardlessofcropsorfruitsproduced,tofarmersandregular
farmworkerswhoarelandless,irrespectiveoftenurialarrangement,toincludethetotalityoffactorsandsupport
servicesdesignedtolifttheeconomicstatusofthebeneficiariesandallotherarrangementsalternativetothe
physicalredistributionoflands,suchasproductionorprofitsharing,laboradministration,andthedistributionof
sharesofstocks,whichwillallowbeneficiariestoreceiveajustshareofthefruitsofthelandstheywork.

(b)Agriculture,AgriculturalEnterpriseorAgriculturalActivitymeansthecultivationofthesoil,plantingofcrops,
growingoffruittrees,raisingoflivestock,poultryorfish,includingtheharvestingofsuchfarmproducts,andother
farmactivitiesandpracticesperformedbyafarmerinconjunctionwithsuchfarmingoperationsdonebyperson
whethernaturalorjuridical.

(c)AgriculturalLandreferstolanddevotedtoagriculturalactivityasdefinedinthisActandnotclassifiedas
mineral,forest,residential,commercialorindustrialland.

(d)AgrarianDisputereferstoanycontroversyrelatingtotenurialarrangements,whetherleasehold,tenancy,
stewardshiporotherwise,overlandsdevotedtoagriculture,includingdisputesconcerningfarmworkers'
associationsorrepresentationofpersonsinnegotiating,fixing,maintaining,changing,orseekingtoarrangeterms
orconditionsofsuchtenurialarrangements.

ItincludesanycontroversyrelatingtocompensationoflandsacquiredunderthisActandothertermsand
conditionsoftransferofownershipfromlandownerstofarmworkers,tenantsandotheragrarianreform
beneficiaries,whetherthedisputantsstandintheproximaterelationoffarmoperatorandbeneficiary,landowner
andtenant,orlessorandlessee.

(e)IdleorAbandonedLandreferstoanyagriculturallandnotcultivated,tilledordevelopedtoproduceanycropnor
devotedtoanyspecificeconomicpurposecontinuouslyforaperiodofthree(3)yearsimmediatelypriorto
thereceiptofnoticeofacquisitionbythegovernmentasprovidedunderthisAct,butdoesnotincludelandthat
hasbecomepermanentlyorregularlydevotedtononagriculturalpurposes.Itdoesnotincludelandwhichhas
becomeunproductivebyreasonofforcemajeureoranyotherfortuitousevent,providedthatpriortosuchevent,
suchlandwaspreviouslyusedforagriculturalorothereconomicpurpose.

(f)Farmerreferstoanaturalpersonwhoseprimarylivelihoodiscultivationoflandortheproductionofagricultural
crops,eitherbyhimself,orprimarilywiththeassistanceofhisimmediatefarmhousehold,whetherthelandis
ownedbyhim,orbyanotherpersonunderaleaseholdorsharetenancyagreementorarrangementwiththeowner
thereof.

(g)Farmworkerisanaturalpersonwhorendersserviceforvalueasanemployeeorlaborerinanagricultural
enterpriseorfarmregardlessofwhetherhiscompensationispaidonadaily,weekly,monthlyor"pakyaw"basis.
Thetermincludesanindividualwhoseworkhasceasedasaconsequenceof,orinconnectionwith,apending
agrariandisputeandwhohasnotobtainedasubstantiallyequivalentandregularfarmemployment.

(h)RegularFarmworkerisanaturalpersonwhoisemployedonapermanentbasisbyanagriculturalenterpriseor
farm.

(i)SeasonalFarmworkerisanaturalpersonwhoisemployedonarecurrent,periodicorintermittentbasisbyan
agriculturalenterpriseorfarm,whetherasapermanentoranonpermanentlaborer,suchas"dumaan","sacada",
andthelike.

(j)OtherFarmworkerisafarmworkerwhodoesnotfallunderparagraphs

(g),(h)and(i).

(k)Cooperativesshallrefertoorganizationscomposedprimarilyofsmallagriculturalproducers,farmers,
farmworkers,orotheragrarianreformbeneficiarieswhovoluntarilyorganizethemselvesforthepurposeof
poolingland,human,technological,financialorothereconomicresources,andoperatedontheprincipleofone
member,onevote.Ajuridicalpersonmaybeamemberofacooperative,withthesamerightsanddutiesasa
naturalperson.

CHAPTERII
Coverage

SECTION4.Scope.TheComprehensiveAgrarianReformLawof1989shallcover,regardlessoftenurial
arrangementandcommodityproduced,allpublicandprivateagriculturallands,asprovidedinProclamationNo.
131andExecutiveOrderNo.229,includingotherlandsofthepublicdomainsuitableforagriculture.
MorespecificallythefollowinglandsarecoveredbytheComprehensiveAgrarianReformProgram:

(a)Allalienableanddisposablelandsofthepublicdomaindevotedtoorsuitableforagriculture.Noreclassification
offorestorminerallandstoagriculturallandsshallbeundertakenaftertheapprovalofthisActuntilCongress,
takingintoaccountecological,developmentalandequityconsiderations,shallhavedeterminedbylaw,the
specificlimitsofthepublicdomain.

(b)AlllandsofthepublicdomaininexcessofthespecificlimitsasdeterminedbyCongressinthepreceding
paragraph

(c)AllotherlandsownedbytheGovernmentdevotedtoorsuitableforagricultureand

(d)Allprivatelandsdevotedtoorsuitableforagricultureregardlessoftheagriculturalproductsraisedorthatcan
beraisedthereon.

SECTION5.ScheduleofImplementation.ThedistributionofalllandscoveredbythisActshallbeimplemented
immediatelyandcompletedwithinten(10)yearsfromtheeffectivitythereof.

SECTION6.RetentionLimits.ExceptasotherwiseprovidedinthisAct,nopersonmayownorretain,directly
orindirectly,anypublicorprivateagriculturalland,thesizeofwhichshallvaryaccordingtofactorsgoverninga
viablefamilysizefarm,suchascommodityproduced,terrain,infrastructure,andsoilfertilityasdeterminedbythe
PresidentialAgrarianReformCouncil(PARC)createdhereunder,butinnocaseshallretentionbythelandowner
exceedfive(5)hectares.

Three(3)hectaresmaybeawardedtoeachchildofthelandowner,subjecttothefollowingqualifications:(1)that
heisatleastfifteen(15)yearsofageand(2)thatheisactuallytillingthelandordirectlymanagingthefarm:
Provided,ThatlandownerswhoselandshavebeencoveredbyPresidentialDecreeNo.27shallbeallowedtokeep
theareasoriginallyretainedbythemthereunder:Provided,further,Thatoriginalhomesteadgranteesortheirdirect
compulsoryheirswhostillowntheoriginalhomesteadatthetimeoftheapprovalofthisActshallretainthesame
areasaslongastheycontinuetocultivatesaidhomestead.

Therighttochoosetheareatoberetained,whichshallbecompactorcontiguous,shallpertaintothelandowner:
Provided,however,Thatincasetheareaselectedforretentionbythelandowneristenanted,thetenantshallhave
theoptiontochoosewhethertoremainthereinorbeabeneficiaryinthesameoranotheragriculturallandwith
similarorcomparablefeatures.Incasethetenantchoosestoremainintheretainedarea,heshallbeconsidereda
leaseholderandshalllosehisrighttobeabeneficiaryunderthisAct.Incasethetenantchoosestobea
beneficiaryinanotheragriculturalland,heloseshisrightasaleaseholdertothelandretainedbythelandowner.
Thetenantmustexercisethisoptionwithinaperiodofone(1)yearfromthetimethelandownermanifestshis
choiceoftheareaforretention.Inallcases,thesecurityoftenureofthefarmersorfarmworkersonthelandprior
totheapprovalofthisActshallberespected.

UpontheeffectivityofthisAct,anysale,disposition,lease,management,contractortransferofpossessionof
privatelandsexecutedbytheoriginallandownerinviolationoftheActshallbenullandvoid:Provided,however,
ThatthoseexecutedpriortothisActshallbevalidonlywhenregisteredwiththeRegisterofDeedswithinaperiod
ofthree(3)monthsaftertheeffectivityofthisAct.Thereafter,allRegistersofDeedsshallinformtheDepartment
ofAgrarianReform(DAR)withinthirty(30)daysofanytransactioninvolvingagriculturallandsinexcessoffive(5)
hectares.

SECTION7.Priorities.TheDepartmentofAgrarianReform(DAR)incoordinationwiththePresidentialAgrarian
ReformCouncil(PARC)shallplanandprogramtheacquisitionanddistributionofallagriculturallandsthrougha
periodoften(10)yearsfromtheeffectivityofthisAct.Landsshallbeacquiredanddistributedasfollows:
PhaseOne:RiceandcornlandsunderPresidentialDecreeNo.27allidleorabandonedlandsallprivatelands
voluntarilyofferedbytheownersforagrarianreformalllandsforeclosedbythegovernmentfinancialinstitutions
alllandsacquiredbythePresidentialCommissiononGoodGovernment(PCGG)andallotherlandsownedbythe
governmentdevotedtoorsuitableforagriculture,whichshallbeacquiredanddistributedimmediatelyupon
theeffectivityofthisAct,withtheimplementationtobecompletedwithinaperiodofnotmorethanfour(4)years

PhaseTwo:Allalienableanddisposablepublicagriculturallandsallarablepublicagriculturallandsunderagro
forest,pastureandagriculturalleasesalreadycultivatedandplantedtocropsinaccordancewithSection6,Article
XIIIoftheConstitutionallpublicagriculturallandswhicharetobeopenedfornewdevelopmentandresettlement
andallprivateagriculturallandsinexcessoffifty(50)hectares,insofarastheexcesshectarageisconcerned,
toimplementprincipallytherightsoffarmersandregularfarmworkers,whoarethelandless,toowndirectlyor
collectivelythelandstheytill,whichshallbedistributedimmediatelyupontheeffectivityofthisAct,withthe
implementationtobecompletedwithinaperiodofnotmorethanfour(4)years.

PhaseThree:Allotherprivateagriculturallandscommencingwithlargelandholdingsandproceedingtomedium
andsmalllandholdingsunderthefollowingschedule:

(a)Landholdingsabovetwentyfour(24)hectaresuptofifty(50)hectares,tobeginonthefourth(4th)yearfromthe
effectivityofthisActandtobecompletedwithinthree(3)yearsand

(b)Landholdingsfromtheretentionlimituptotwentyfour(24)hectares,tobeginonthesixth(6th)yearfromthe
effectivityofthisActandtobecompletedwithinfour(4)yearstoimplementprincipallytherightoffarmersand
regularfarmworkerswhoarelandless,toowndirectlyorcollectivelythelandstheytill.

Thescheduleofacquisitionandredistributionofallagriculturallandscoveredbythisprogramshallbemadein
accordancewiththeaboveorderofpriority,whichshallbeprovidedintheimplementingrulestobepreparedbythe
PresidentialAgrarianReformCouncil(PARC),takingintoconsiderationthefollowingtheneedtodistributelandto
thetillersattheearliestpracticabletimetheneedtoenhanceagriculturalproductivityandtheavailabilityoffunds
andresourcestoimplementandsupporttheprogram.

Inanycase,thePARC,uponrecommendationbytheProvincialAgrarianReformCoordinatingCommittee
(PARCCOM),maydeclarecertainprovincesorregionasprioritylandreformareas,inwhichtheacquisitionand
distributionofprivateagriculturallandsthereinmaybeimplementedaheadoftheaboveschedules.Ineffectingthe
transferwithintheseguidelines,prioritymustbegiventolandsthataretenanted.

ThePARCshallestablishguidelinestoimplementtheaboveprioritiesanddistributionscheme,includingthe
determinationofwhoarequalifiedbeneficiaries:Provided,Thatanownertillermaybeabeneficiaryofthelandhe
doesnotownbutisactuallycultivatingtotheextentofthedifferencebetweentheareaofthelandheownsand
theawardceilingofthree(3)hectares.

SECTION8.MultinationalCorporations.Alllandsofthepublicdomainleased,heldorpossessedby
multinationalcorporationsorassociations,andotherlandsownedbythegovernmentorbygovernmentownedor
controlledcorporations,associations,institutions,orentities,devotedtoexistingandoperationalagribusinessor
agroindustrialenterprises,operatedbymultinationalcorporationsandassociations,shallbeprogrammedfor
acquisitionanddistributionimmediatelyupontheeffectivityofthisAct,withtheimplementationtobecompleted
withinthree(3)years.

Landscoveredbytheparagraphimmediatelypreceding,underlease,management,growerorservicecontracts,
andthelike,shallbedisposedofasfollows:

(a)Lease,management,growerorservicecontractscoveringsuchlandscoveringanaggregateareainexcessof
1,000hectares,leasedorheldbyforeignindividualsinexcessof500hectaresaredeemedamendedtoconform
withthelimitssetforthinSection3ofArticleXIIoftheConstitution.
(b)Contractscoveringareasnotinexcessof1,000hectaresinthecaseofsuchcorporationsandassociations,
and500hectares,inthecaseofsuchindividuals,shallbeallowedtocontinueundertheiroriginaltermsand
conditionsbutnotbeyondAugust29,1992,ortheirvalidtermination,whichevercomessooner,afterwhich,such
agreementsshallcontinueonlywhenconfirmedbytheappropriategovernmentagency.Suchcontracts
shalllikewisecontinueevenafterthelandshasbeentransferredtobeneficiariesorawardeesthereof,which
transfershallbeimmediatelycommencedandimplementedandcompletedwithintheperiodofthree(3)years
mentionedinthefirstparagraphhereof.

(c)InnocasewillsuchleasesandotheragreementsnowbeingimplementedextendbeyondAugust29,1992,
whenalllandssubjecthereofshallhavebeendistributedcompletelytoqualifiedbeneficiariesorawardees.Such
agreementscancontinuethereafteronlyunderanewcontractbetweenthegovernmentorqualifiedbeneficiariesor
awardees,ontheonehand,andsaidenterprises,ontheother.Landsleased,heldorpossessedbymultinational
corporations,ownedbyprivateindividualsandprivatenongovernmentalcorporations,associations,institutions
andentities,citizensofthePhilippines,shallbesubjecttoimmediatecompulsoryacquisitionanddistributionupon
theexpirationoftheapplicablelease,management,growerorservicecontractineffectasofAugust29,1987,or
otherwise,uponitsvalidtermination,whichevercomessooner,butnotlaterthanafterten(10)yearsfollowingthe
effectivityoftheAct.Howeverduringthesaidperiodofeffectivity,thegovernmentshalltakestepstoacquire
theselandsforimmediatedistributionthereafter.

Ingeneral,landsshallbedistributeddirectlytotheindividualworkerbeneficiaries.Incaseitisnoteconomically
feasibleandsoundtodividetheland,thentheyshallformaworkers'cooperativeorassociationwhichwilldeal
withthecorporationorbusinessassociationoranyotherproperpartyforthepurposeofenteringintoaleaseor
growersagreementandforallotherlegitimatepurposes.Untilanewagreementisenteredintobyandbetweenthe
workers'cooperativeorassociationandthecorporationorbusinessassociationoranyotherproperparty,
anyagreementexistingatthetimethisActtakeseffectbetweentheformerandthepreviouslandownershallbe
respectedbyboththeworkers'cooperativeorassociationandthecorporation,business,associationorsuchother
properparty.InnocaseshalltheimplementationorapplicationofthisActjustifyorresultinthereductionof
statusordiminutionofanybenefitsreceivedorenjoyedbytheworkerbeneficiaries,orinwhichtheymayhavea
vestedright,atthetimethisActbecomeseffective,.

TheprovisionsofSection32ofthisAct,withregardtoproductionandincomesharingshallapplytofarms
operatedbymultinationalcorporations.Duringthetransitionperiod,thenewownersshallbeassistedintheir
effortstolearnmoderntechnologyinproduction.Enterpriseswhichshowawillingnessandcommitmentandgood
faitheffortstoimpartvoluntarilysuchadvancedtechnologywillbegivenpreferentialtreatmentwherefeasible.

Innocaseshallaforeigncorporation,association,entityorindividualenjoyanyrightsorprivilegesbetterthan
thoseenjoyedbyadomesticcorporation,association,entityorindividual.

SECTION9.AncestralLands.ForpurposesofthisAct,ancestrallandsofeachindigenousculturalcommunity
shallinclude,butnotbelimitedto,landsintheactual,continuousandopenpossessionandoccupationofthe
communityanditsmembers:Provided,ThattheTorrensSystemsshallberespected.Therightofthese
communitiestotheirancestrallandsshallbeprotectedtoensuretheireconomic,socialandculturalwellbeing.In
linewiththeprinciplesofselfdeterminationandautonomy,thesystemsoflandownership,landuse,and
themodesofsettlinglanddisputesofallthesecommunitiesmustberecognizedand
respected.

Anyprovisionoflawtothecontrarynotwithstanding,thePARCmaysuspendtheimplementationofthisActwith
respecttoancestrallandsforthepurposeofidentifyinganddelineatingsuchlands:Provided,Thatinthe
autonomousregions,therespectivelegislaturesmayenacttheirownlawsonancestraldomainsubjectto
theprovisionsoftheConstitutionandtheprinciplesenunciatedinthisActandothernationallaws.

SECTION10.ExemptionsandExclusions.Landsactually,directlyandexclusivelyusedandfoundtobe
necessaryforparks,wildlife,forestreserves,reforestation,fishsanctuariesandbreedinggrounds,watersheds,
andmangroves,nationaldefense,schoolsitesandcampusesincludingexperimentalfarmstationsoperatedby
publicorprivateschoolsforeducationalpurposes,seedsandseedlingsresearchandpilotproductioncenters,
churchsitesandconventsappurtenantthereto,mosquesitesandIslamiccentersappurtenantthereto,communal
burialgroundsandcemeteries,penalcoloniesandpenalfarmsactuallyworkedbytheinmates,governmentand
privateresearchandquarantinecentersandalllandswitheighteenpercent(18%)slopeandover,exceptthose
alreadydevelopedshallbeexemptfromthecoverageoftheAct.

SECTION11.CommercialFarming.Commercialfarms,whichareprivateagriculturallandsdevotedto
commerciallivestock,poultryandswineraising,andaquacultureincludingsaltbeds,fishpondsandprawnponds,
fruitfarms,orchards,vegetableandcutflowerfarms,andcacao,coffeeandrubberplantations,shallbesubjectto
immediatecompulsoryacquisitionanddistributionafter(10)yearsfromtheeffectivityoftheAct.Inthecaseof
newfarms,thetenyearperiodshallbeginfrom
thefirstyearofcommercialproductionandoperation,asdeterminedbytheDAR.Duringthetenyearperiod,the
governmentshallinitiatethestepsnecessaryto
acquiretheselands,uponpaymentofjustcompensationforthelandandtheimprovementsthereon,preferablyin
favoroforganizedcooperativesorassociations,
whichshallhereaftermanagethesaidlandsfortheworkerbeneficiaries.IftheDARdeterminesthatthepurposes
forwhichthisdefermentisgrantedno
longerexist,suchareasshallautomaticallybesubjecttoredistribution.TheprovisionsofSection32oftheAct,
withregardtoproductionandincomesharing,
shallapplytocommercialfarms.

CHAPTERIII
ImprovementofTenurialandLaborRelations

SECTION12.DeterminationofLeaseRentals.Inordertoprotectandimprovethetenurialandeconomicstatus
ofthefarmersintenantedlandsundertheretentionlimitandlandsnotyetacquiredunderthisAct,theDARis
mandatedtodetermineandfiximmediatelytheleaserentalsthereofinaccordancewithSection34ofRepublicAct
No.3844,asamended:Provided,ThattheDARshallimmediatelyandperiodicallyreviewandadjusttherental
structurefordifferentcrops,includingriceandcorn,ordifferentregionsinordertoimproveprogressivelythe
conditionsofthefarmer,tenantorlessee.

SECTION13.ProductionSharingPlan.AnyenterpriseadoptingtheschemeprovidedforinSection32or
operatingunderaproductionventure,lease,managementcontractorothersimilararrangementandanyfarm
coveredbySections8and11hereofisherebymandatedtoexecutewithinninety(90)daysfromtheeffectivityof
thisAct,aproductionsharingplan,underguidelinesprescribedbytheappropriategovernmentagency.

Nothinghereinshallbeconstruedtosanctionthediminutionofanybenefitssuchassalaries,bonuses,leavesand
workingconditionsgrantedtotheemployeebeneficiaries
underexistinglaws,agreements,andvoluntarypracticebytheenterprise,norshalltheenterpriseandits
employeebeneficiariesbepreventedfromenteringintoanyagreementwithtermsmorefavorabletothelatter.

CHAPTERIV
Registration

SECTION14.RegistrationofLandowners.Withinonehundredeighty(180)daysfromtheeffectivityofthisAct,
allpersons,naturalorjuridical,includinggovernmententities,thatownorclaimtoownagriculturallands,whether
intheirnamesorinthenameofothers,exceptthosewhohavealreadyregisteredpursuanttoExecutiveOrderNo.
229,whoshallbeentitledtosuchincentivesasmaybeprovidedforthePARC,shallfileaswornstatementinthe
properassessor'sofficeintheformtobeprescribedbytheDAR,statingthefollowinginformation:

(a)thedescriptionandareaoftheproperty
(b)theaveragegrossincomefromthepropertyforatleastthree(3)years
(c)thenamesofalltenantsandfarmworkersthereincda
(d)thecropsplantedinthepropertyandtheareacoveredbyeachcropasofJune1,1987
(e)thetermsofmortgages,lease,andmanagementcontractssubsistingasofJune1,1987,and
(f)thelatestdeclaredmarketvalueofthelandasdeterminedbythecityorprovincialassessor.

SECTION15.RegistrationofBeneficiaries.TheDARincoordinationwiththeBarangayAgrarianReform
Committee(BARC)asorganizedinthisAct,shallregisterallagriculturallessees,tenantsandfarmworkerswho
arequalifiedtobebeneficiariesoftheCARP.ThesepotentialbeneficiarieswiththeassistanceoftheBARCand
theDARshallprovidethefollowingdata:

(a)namesandmembersoftheirimmediatefarmhousehold
(b)ownersoradministratorsofthelandstheyworkonandthelengthof
tenurialrelationship
(c)locationandareaofthelandtheywork
(d)cropsplantedand
(e)theirshareintheharvestoramountofrentalpaidorwagesreceived.

AcopyoftheregistryorlistofallpotentialCARPbeneficiariesinthebarangayshallbepostedinthebarangay
hall,schoolorotherpublicbuildingsinthebarangaywhereitshallbeopentoinspectionbythepublicatall
reasonablehours.

CHAPTERV
LandAcquisition

SECTION16.ProcedureforAcquisitionofPrivateLands.Forpurposesofacquisitionofprivatelands,the
followingproceduresshallbefollowed:

(a)Afterhavingidentifiedtheland,thelandownersandthebeneficiaries,theDARshallsenditsnoticetoacquire
thelandtotheownersthereof,bypersonaldeliveryorregisteredmail,andpostthesameinaconspicuousplace
inthemunicipalbuildingandbarangayhalloftheplacewherethepropertyislocated.Saidnoticeshallcontainthe
offeroftheDARtopayacorrespondingvalueinaccordancewiththevaluationsetforthinSections17,18,and
otherpertinent
provisionshereof.

(b)Withinthirty(30)daysfromthedateofreceiptofwrittennoticebypersonaldeliveryorregisteredmail,the
landowner,hisadministratororrepresentativeshallinformtheDARofhisacceptanceorrejectionoftheoffer.

(c)IfthelandowneracceptstheofferoftheDAR,theLandBankofthePhilippines(LBP)shallpaythelandowner
thepurchasepriceofthelandwithinthirty(30)daysafterheexecutesanddeliversadeedoftransferinfavorof
thegovernmentandsurrenderstheCertificateofTitleandothermunimentsoftitle.

(d)Incaseofrejectionorfailuretoreply,theDARshallconductsummaryadministrativeproceedingstodetermine
thecompensationforthelandrequiringthelandowner,theLBPandotherinterestedpartiestosubmitevidenceas
tothejustcompensationfortheland,withinfifteen(15)daysfromthereceiptofthenotice.Aftertheexpirationof
theaboveperiod,thematterisdeemedsubmittedfordecision.TheDARshalldecidethecasewithinthirty(30)
daysafteritissubmittedfordecision.

(e)Uponreceiptbythelandownerofthecorrespondingpaymentor,incaseofrejectionornoresponsefromthe
landowner,uponthedepositwithanaccessiblebankdesignatedbytheDARofthecompensationincashorin
LBPbondsinaccordancewiththisAct,theDARshalltakeimmediatepossessionofthelandandshallrequest
theproperRegisterofDeedstoissueaTransferCertificateofTitle(TCT)inthenameoftheRepublicofthe
Philippines.TheDARshallthereafterproceedwiththeredistributionofthelandtothequalifiedbeneficiaries.

(f)Anypartywhodisagreeswiththedecisionmaybringthemattertothecourtofproperjurisdictionforfinal
determinationofjustcompensation.
CHAPTERVI
Compensation

SECTION17.DeterminationofJustCompensation.Indeterminingjustcompensation,thecostofacquisitionof
theland,thecurrentvalueofthelikeproperties,itsnature,actualuseandincome,theswornvaluationbythe
owner,thetaxdeclarations,andtheassessmentmadebygovernmentassessorsshallbeconsidered.Thesocial
andeconomicbenefitscontributedbythefarmersandthefarmworkersandbytheGovernmenttothepropertyas
wellasthenonpaymentoftaxesorloanssecuredfromanygovernmentfinancinginstitutiononthesaidlandshall
beconsideredasadditionalfactorstodetermineitsvaluation.

SECTION18.ValuationandModeofCompensation.TheLBPshallcompensatethelandownerinsuchamounts
asmaybeagreeduponbythelandownerandtheDARandtheLBP,inaccordancewiththecriteriaprovidedforin
Sections16and17,andotherpertinentprovisionshereof,orasmaybefinallydeterminedbythecourt,asthejust
compensationfortheland.

Thecompensationshallbepaidononeofthefollowingmodes,attheoptionofthelandowner:
(1)Cashpayment,underthefollowingtermsandconditions
(a)ForlandsaboveTwentyfivepercentfifty(50)hectares,insofar(25%)cash,thebalancetoastheexcess
hectarageisbepaidingovernmentconcerned.financialinstrumentsnegotiableatanytime.
(b)ForlandsaboveThirtypercent(30%)cash,twentyfour(24)hectaresthebalancetobepaidinanduptofifty
(50)hectares.governmentfinancialinstrumentsnegotiableatanytime.
(c)ForlandstwentyfourThirtyfivepercent(35%)(24)hectaresandbelow.cash,thebalancetobepaidin
governmentfinancialinstrumentsnegotiableatanytime.

(2)Sharesofstockingovernmentownedorcontrolledcorporations,LBPpreferredshares,physicalassetsor
otherqualifiedinvestmentsinaccordancewithguidelinessetbythePARC

(3)Taxcreditswhichcanbeusedagainstanytaxliability

(4)LBPbonds,whichshallhavethefollowingfeatures:
(a)Marketinterestratesalignedwith91daytreasurybillrates.Tenpercent(10%)ofthefacevalueofthebonds
shallmatureeveryyearfromthedateofissuanceuntilthetenth(10th)year:Provided,Thatshouldthelandowner
choosetoforegothecashportion,whetherinfullorinpart,heshallbepaidcorrespondinglyinLBPbonds
(b)Transferabilityandnegotiability.SuchLBPbondsmaybeusedbythelandowner,hissuccessorsininterestor
hisassigns,uptotheamountoftheirfacevalue,foranyofthefollowing:
(i)Acquisitionoflandorotherrealpropertiesofthegovernment,includingassetsundertheAssetPrivatization
Programandotherassetsforeclosedbygovernmentfinancialinstitutionsinthesameprovinceorregionwherethe
landsforwhichthebondswerepaidaresituated
(ii)Acquisitionofsharesofstockofgovernmentownedorcontrolledcorporationsorsharesofstocksownedby
thegovernmentinprivatecorporations
(iii)Substitutionforsuretyorbailbondsfortheprovisionalreleaseofaccusedpersons,orperformancebonds
(iv)Securityforloanswithanygovernmentfinancialinstitution,providedtheproceedsoftheloansshallbe
investedinaneconomicenterprise,preferablyinasmallandmediumscaleindustry,inthesameprovinceor
regionasthelandforwhichthebondsarepaid
(v)PaymentforvarioustaxesandfeestogovernmentProvided,Thattheuseofthesebondsforthesepurposes
willbelimitedtoacertainpercentageoftheoutstandingbalanceofthefinancialinstruments:Provided,further,
ThatthePARCshalldeterminethepercentagementionedabove

(vi)Paymentfortuitionfeesoftheimmediatefamilyoftheoriginalbondholderingovernmentuniversities,
colleges,tradeschools,andotherinstitutions

(vii)Paymentforfeesoftheimmediatefamilyoftheoriginalbondholderingovernmenthospitalsand

(viii)SuchotherusesasthePARCmayfromtimetotimeallow.
Incaseofextraordinaryinflation,thePARCshalltakeappropriatemeasurestoprotecttheeconomy.

SECTION19.IncentivesforVoluntaryOffersforSales.Landowners,otherthanbanksandotherfinancial
institutions,whovoluntarilyoffertheirlandsforsaleshallbeentitledtoanadditionalfivepercent(5%)cash
payment.

SECTION20.VoluntaryLandTransfer.LandownersofagriculturallandssubjecttoacquisitionunderthisAct
mayenterintoavoluntaryarrangementfordirecttransferoftheirlandstoqualifiedbeneficiariessubjecttothe
followingguidelines:

(a)AllnoticesforvoluntarylandtransfermustbesubmittedtotheDARwithinthefirstyearoftheimplementation
oftheCARP.Negotiationsbetweenthelandownersandqualifiedbeneficiariescoveringanyvoluntarylandtransfer
whichremainunresolvedafterone(1)yearshallnotberecognizedandsuchlandshallinsteadbeacquiredbythe
governmentandtransferredpursuanttothisAct.

(b)Thetermsandconditionsofsuchtransfershallnotbelessfavorabletothetransfereethanthoseofthe
government'sstandingoffertopurchasefromthelandownerandtoreselltothebeneficiaries,ifsuchoffershave
beenmadeandarefullyknowntobothparties.

(c)Thevoluntaryagreementshallincludesanctionsfornoncompliancebyeitherpartyandshallbedulyrecorded
anditsimplementationmonitoredbytheDAR.

SECTION21.PaymentofCompensationbyBeneficiariesUnderVoluntaryLandTransfer.Directpaymentsin
cashorinkindmaybebythefarmerbeneficiarytothelandownerundertermstobemutuallyagreeduponbyboth
parties,whichshallbebindinguponthem,uponregistrationwiththeapprovalbytheDAR.Saidapprovalshallbe
consideredgiven,unlessnoticeofdisapprovalisreceivedbythefarmerbeneficiarywithinthirty(30)daysfromthe
dateofregistration.Intheeventtheycannotagreeonthepriceofland,theprocedureforcompulsoryacquisition
asprovidedinSection16shallapply.TheLBPshallextendfinancingtothebeneficiariesforpurposesofacquiring
theland.

CHAPTERVII
LandRedistribution

SECTION22.QualifiedBeneficiaries.ThelandscoveredbytheCARPshallbedistributedasmuchas
possibletolandlessresidentsofthesamebarangay,orintheabsencethereof,landlessresidentsofthesame
municipalityinthefollowingorderofpriority:(a)agriculturallesseesandsharetenants(b)regularfarmworkers
(c)seasonalfarmworkers(d)otherfarmworkers(e)actualtillersoroccupantsofpubliclands(f)collectivesor
cooperativesoftheabovebeneficiariesand(g)othersdirectlyworkingontheland.Provided,however,Thatthe
childrenoflandownerswhoarequalifiedunderSection6ofthisActshallbegivenpreferenceinthedistributionof
thelandoftheirparents:andProvided,further,Thatactualtenanttillersinthelandholdingsshallnotbeejected
orremovedtherefrom.BeneficiariesunderPresidentialDecreeNo.27whohaveculpablysold,disposedof,or
abandonedtheirlandaredisqualifiedtobecomebeneficiariesunderthisProgram.Abasicqualificationofa
beneficiaryshallbehiswillingness,aptitude,andabilitytocultivateandmakethelandasproductiveaspossible.
TheDARshalladoptasystemofmonitoringtherecordorperformanceofeachbeneficiary,sothatany
beneficiaryguiltyofnegligenceormisuseofthelandoranysupportextendedtohimshallforfeithisrightto
continueassuchbeneficiary.TheDARshallsubmitperiodicreportsontheperformanceofthebeneficiariestothe
PARC.If,duetothelandowner'sretentionrightsortothenumberoftenants,lessees,orworkersontheland,
thereisnotenoughlandtoaccommodateanyorsomeofthem,theymaybegrantedownershipofotherlands
availablefordistributionunderthisAct,attheoptionofthebeneficiaries.Farmersalreadyinplaceandthosenot
accommodatedinthedistributionofprivatelyownedlandswillbegivenpreferentialrightsinthedistributionof
landsfromthepublicdomain.
SECTION23.DistributionLimit.Noqualifiedbeneficiarymayownmorethanthree(3)hectaresofagricultural
land.

SECTION24.AwardtoBeneficiaries.Therightsandresponsibilitiesofthebeneficiaryshallcommencefrom
thetimetheDARmakesanawardofthelandtohim,whichawardshallbecompletedwithinonehundredeighty
(180)daysfromthetimetheDARtakesactualpossessionoftheland.Ownershipofthebeneficiaryshallbe
evidencedbyaCertificateofLandOwnershipAward,whichshallcontaintherestrictionsandconditionsprovided
forinthisAct,andshallberecordedintheRegisterofDeedsconcernedandannotatedontheCertificateofTitle.

SECTION25.AwardCeilingsforBeneficiaries.Beneficiariesshallbeawardedanareanotexceedingthree(3)
hectareswhichmaycoveracontiguoustractoflandorseveralparcelsoflandcumulateduptotheprescribed
awardlimits.ForpurposesofthisAct,alandlessbeneficiaryisonewhoownslessthanthree(3)hectaresof
agriculturalland.Thebeneficiariesmayoptforcollectiveownership,suchascoownershiporfarmerscooperative
orsomeotherformofcollectiveorganization:Provided,Thatthetotalareathatmaybeawardedshallnotexceed
thetotalnumberofcoownersormemberofthecooperativeorcollectiveorganizationmultipliedbytheawardlimit
aboveprescribed,exceptinmeritoriouscasesasdeterminedbythePARC.Titletothepropertyshallbeissued
inthenameofthecoownersorthecooperativeorcollectiveorganizationasthecasemaybe.

SECTION26.PaymentbyBeneficiaries.LandsawardedpursuanttothisActshallbepaidforbythe
beneficiariestotheLBPinthirty(30)annualamortizationsatsixpercent(6%)interestperannum.Thepayments
forthefirstthree(3)yearsaftertheawardmaybeatreducedamountsasestablishedbythePARC:Provided,
Thatthefirstfive(5)annualpaymentsmaynotbemorethanfivepercent(5%)ofthevalueoftheannualgross
productionasestablishedbytheDAR.Shouldthescheduledannualpaymentsafterthefifthyearexceedten
percent(10%)oftheannualgrossproductionandthefailuretoproduceaccordinglyisnotduetothebeneficiary's
fault,theLBPmayreducetheinterestrateorreducetheprincipalobligationstomaketherepaymentaffordable.
TheLBPshallhavealienbywayofmortgageonthelandawardedtothebeneficiaryandthismortgagemaybe
foreclosedbytheLBPfornonpaymentofanaggregateofthree(3)annualamortizations.TheLBPshalladvise
theDARofsuchproceedingsandthelattershallsubsequentlyawardtheforfeitedlandholdingstootherqualified
beneficiaries.Abeneficiarywhoseland,asprovidedherein,hasbeenforeclosedshallthereafterbepermanently
disqualifiedfrombecomingabeneficiaryunderthisAct.cd

SECTION27.TransferabilityofAwardedLands.LandsacquiredbybeneficiariesunderthisActmaynotbe
sold,transferredorconveyedexceptthroughhereditarysuccession,ortothegovernment,ortheLBP,ortoother
qualifiedbeneficiariesforaperiodoften(10)years:Provided,however,Thatthechildrenorthespouseofthe
transferorshallhavearighttorepurchasethelandfromthegovernmentorLBPwithinaperiodoftwo(2)years.
DuenoticeoftheavailabilityofthelandshallbegivenbytheLBPtotheBarangayAgrarianReformCommittee
(BARC)ofthebarangaywherethelandissituated.TheProvincialAgrarianReformCoordinatingCommittee
(PARCCOM)ashereinprovided,shall,inturn,begivenduenoticethereofbytheBARC.Ifthelandhasnotyet
beenfullypaidbythebeneficiary,therightstothelandmaybetransferredorconveyed,withpriorapprovalofthe
DAR,toanyheirofthebeneficiaryortoanyotherbeneficiarywho,asaconditionforsuchtransferor
conveyance,shallcultivatethelandhimself.Failingcomplianceherewith,thelandshallbetransferredtotheLBP
whichshallgiveduenoticeoftheavailabilityofthelandinthemannerspecifiedintheimmediatelypreceding
paragraph.IntheeventofsuchtransfertotheLBP,thelattershallcompensatethebeneficiaryinonelumpsum
fortheamountsthelatterhasalreadypaid,togetherwiththevalueofimprovementshehasmadeontheland.

SECTION28.StandingCropsattheTimeofAcquisition.Thelandownershallretainhisshareofanystanding
cropsunharvestedatthetimetheDARshalltakepossessionofthelandunderSection16oftheAct,andshall
begivenareasonabletimetoharvestthesame.

CHAPTERVIII
CorporateFarms
SECTION29.FarmsOwnedorOperatedbyCorporationsorOtherBusinessAssociations.Inthecaseoffarms
ownedoroperatedbycorporationsorotherbusinessassociations,thefollowingrulesshallbeobservedbythe
PARC:Ingeneral,landsshallbedistributeddirectlytotheindividualworkerbeneficiaries.Incaseitisnot
economicallyfeasibleandsoundtodividetheland,thenitshallbeownedcollectivelybytheworkers'cooperative
orassociationwhichwilldealwiththecorporationorbusinessassociation.Untilanewagreementisenteredinto
byandbetweentheworkers'cooperativeorassociationandthecorporationorbusinessassociation,any
agreementexistingatthetimethisActtakeseffectbetweentheformerandthepreviouslandownershallbe
respectedbyboththeworkers'cooperativeorassociationandthecorporationorbusinessassociation.

SECTION30.HomelotsandFarmlotsforMembersofCooperatives.Theindividualmembersofthe
cooperativesorcorporationsmentionedintheprecedingsectionshallbeprovidedwithhomelotsandsmall
farmlotsfortheirfamilyuse,tobetakenfromthelandownedbythecooperativeorcorporation.

SECTION31.CorporateLandowners.Corporatelandownersmayvoluntarilytransferownershipovertheir
agriculturallandholdingstotheRepublicofthePhilippinespursuanttoSection20hereofortoqualified
beneficiaries,undersuchtermsandconditions,consistentwiththisAct,astheymayagreeupon,subjectto
confirmationbytheDAR.UponcertificationbytheDAR,corporationsowningagriculturallandsmaygivetheir
qualifiedbeneficiariestherighttopurchasesuchproportionofthecapitalstockofthecorporationthatthe
agriculturalland,actuallydevotedtoagriculturalactivities,bearsinrelationtothecompany'stotalassets,under
suchtermsandconditionsasmaybeagreeduponbythem.Innocaseshallthecompensationreceivedbythe
workersatthetimethesharesofstocksaredistributedbereduced.Thesameprincipleshallbeappliedto
associations,withrespecttotheirequityorparticipation.Corporationsorassociationswhichvoluntarilydivesta
proportionoftheircapitalstock,equityorparticipationinfavoroftheirworkersorotherqualifiedbeneficiariesunder
thissectionshallbedeemedtohavecompliedwiththeprovisionsoftheAct:Provided,Thatthefollowing
conditionsarecompliedwith:a)Inordertosafeguardtherightofbeneficiarieswhoownsharesofstocksto
dividendsandotherfinancialbenefits,thebooksofthecorporationorassociationshallbesubjecttoperiodicaudit
bycertifiedpublicaccountantschosenbythebeneficiariesb)Irrespectiveofthevalueoftheirequityinthe
corporationorassociation,thebeneficiariesshallbeassuredofatleastone(1)representativeintheboardof
directors,orinamanagementorexecutivecommittee,ifoneexists,ofthecorporationorassociationandc)Any
sharesacquiredbysuchworkersandbeneficiariesshallhavethesamerightsandfeaturesasallothershares.d)
Anytransferofsharesofstocksbytheoriginalbeneficiariesshallbevoidabinitiounlesssaidtransactionisin
favorofaqualifiedandregisteredbeneficiarywithinthesamecorporation.Ifwithintwo(2)yearsfromtheapproval
ofthisAct,thelandorstocktransferenvisionedaboveisnotmadeorrealizedortheplanforsuchstock
distributionapprovedbythePARCwithinthesameperiod,theagriculturallandofthecorporateownersor
corporationshallbesubjecttothecompulsorycoverageofthisAct.acd

SECTION32.ProductionSharing.Pendingfinallandtransfer,individualsorentitiesowning,oroperatingunder
leaseormanagementcontract,agriculturallandsareherebymandatedtoexecuteaproductionsharingplanwith
theirfarmworkersorfarmworkers'reorganization,ifany,wherebythreepercent(3%)ofthegrosssalesfromthe
productionofsuchlandsaredistributedwithinsixty(60)daysoftheendofthefiscalyearascompensationto
regularandotherfarmworkersinsuchlandsoverandabovethecompensationtheycurrentlyreceive:Provided,
ThattheseindividualsorentitiesrealizegrosssalesinexcessoffivemillionpesosperannumunlesstheDAR,
uponproperapplication,determinesalowerceiling.Intheeventthattheindividualorentityrealizesaprofit,an
additionaltenpercent(10%)ofthenetprofitaftertaxshallbedistributedtosaidregularandotherfarmworkers
withinninety(90)daysoftheendofthefiscalyear.Toforestallanydisruptioninthenormaloperationoflandsto
beturnedovertothefarmworkerbeneficiariesmentionedabove,atransitoryperiod,thelengthofwhichshallbe
determinedbytheDAR,shallbeestablished.Duringthistransitoryperiod,atleastonepercent(1%)ofthegross
salesoftheentityshallbedistributedtothemanagerial,supervisoryandtechnicalgroupinplaceatthetimeofthe
effectivityofthisAct,ascompensationforsuchtransitorymanagerialandtechnicalfunctionsasitwillperform,
pursuanttoanagreementthatthefarmworkerbeneficiariesandthemanagerial,supervisoryandtechnicalgroup
mayconclude,subjecttotheapprovaloftheDAR.
SECTION33.PaymentofSharesofCooperativeorAssociation.Sharesofacooperativeorassociation
acquiredbyfarmersbeneficiariesorworkersbeneficiariesshallbefullypaidforinanamountcorrespondingtothe
valuationasdeterminedintheimmediatelysucceedingsection.ThelandownerandtheLBPshallassistthe
farmersbeneficiariesandworkersbeneficiariesinthepaymentforsaidsharesbyprovidingcreditfinancing.

SECTION34.ValuationofLands.AvaluationschemeforthelandshallbeformulatedbythePARC,takinginto
accountthefactorsenumeratedinSection17,inadditiontotheneedtostimulatethegrowthofcooperativesand
theobjectiveoffosteringresponsibleparticipationoftheworkersbeneficiariesinthecreationofwealth.Inthe
determinationofpricethatisjustnotonlytotheindividualsbuttosocietyaswell,thePARCshallconsultclosely
withthelandownerandtheworkersbeneficiaries.Incaseofdisagreement,thepriceasdeterminedbythePARC,if
acceptedbytheworkersbeneficiaries,shallbefollowed,withoutprejudicetothelandowner'srighttopetitionthe
SpecialAgrarianCourttoresolvetheissueofvaluation.

CHAPTERIX
SupportServices

SECTION35.CreationofSupportServicesOffice.ThereisherebycreatedtheOfficeofSupportServices
undertheDARtobeheadedbyanUndersecretary.TheOfficeshallprovidegeneralsupportandcoordinative
servicesintheimplementationoftheprogramparticularlyincarryingouttheprovisionsofthefollowingservicesto
farmerbeneficiariesandaffectedlandowners:1)Irrigationfacilities,especiallysecondcropordryseasonirrigation
facilities2)Infrastructuredevelopmentandpublicworksprojectsinareasandsettlementsthatcomeunder
agrarianreform,andforthispurpose,thepreparationofthephysicaldevelopmentplanofsuchsettlements
providingsuitablebarangaysites,potablewaterandpowerresources,irrigationsystemsandotherfacilitiesfora
soundagriculturaldevelopmentplan3)Governmentsubsidiesfortheuseofirrigationfacilities4)Pricesupport
andguaranteeforallagriculturalproduce5)Extendingtosmalllandowners,farmers'organizationsthenecessary
credit,likeconcessionalandcollateralfreeloans,foragroindustrializationbasedonsocialcollateralslikethe
guaranteesoffarmers'organization:6)Promoting,developingandextendingfinancialassistancetosmalland
mediumscaleindustriesinagrarianreformareas7)Assigningsufficientnumbersofagriculturalextensionworkers
tofarmers'organizations8)Undertakeresearch,developmentanddisseminationofinformationonagrarianreform
andlowcostandecologicallysoundfarminputsandtechnologiestominimizerelianceonexpensiveandimported
agriculturalinputs9)Developmentofcooperativemanagementskillsthroughintensivetraining10)Assistancein
theidentificationofreadymarketsforagriculturalproduceandtraininginothervariousprospectsofmarketingand
cdtai11)Administrationoperationmanagementandfundingofsupportservices,programsandprojectsincluding
pilotprojectsandmodelsrelatedtoagrarianreformasdevelopedbytheDAR.

SECTION36.FundingforSupportServices.Inordertocovertheexpensesandcostofsupportservices,at
leasttwentyfivepercent(25%)ofallappropriationsforagrarianreformshallbeimmediatelysetasideandmade
availableforthispurpose.Inaddition,theDARshallbeauthorizedtopackageproposalsandreceivegrants,aid
andotherformsoffinancialassistancefromanysource.

SECTION37.SupportServicestotheBeneficiaries.ThePARCshallensurethatsupportservicestofarmers
beneficiariesareprovided,suchas:(a)Landsurveysandtitling(b)Liberalizedtermsoncreditfacilitiesand
productionloans(c)Extensionservicesbywayofplanting,cropping,productionandpostharvesttechnology
transfer,aswellasmarketingandmanagementassistanceandsupporttocooperativesandfarmers'
organizations(d)Infrastructuresuchasaccesstrails,minidams,publicutilities,marketingandstoragefacilities
and(e)Research,productionanduseoforganicfertilizersandotherlocalsubstancesnecessaryinfarmingand
cultivation.ThePARCshallformulatepoliciestoensurethatsupportservicestofarmerbeneficiariesshallbe
providedatallstagesoflandreform.TheBagongKilusangKabuhayansaKaunlaran(BKKK)Secretariatshallbe
transferredandattachedtotheLBP,foritssupervisionincludingallitsapplicableandexistingfunds,personnel,
properties,equipmentandrecords.Misuseordiversionofthefinancialandsupportserviceshereinprovidedshall
resultinsanctionsagainstthebeneficiaryguiltythereof,includingtheforfeitureofthelandtransferredtohimor
lessersanctionsasmaybeprovidedbythePARC,withoutprejudicetocriminalprosecution.
SECTION38.SupportServicestoLandowners.ThePARCwiththeassistanceofsuchothergovernment
agenciesandinstrumentalitiesasitmaydirect,shallprovidelandownersaffectedbytheCARPandprioragrarian
reformprogramswiththefollowingservices:(a)Investmentinformationfinancialandcounselingassistance(b)
Facilities,programsandschemesfortheconversionorexchangeofbondsissuedforpaymentofthelands
acquiredwithstocksandbondsissuedbytheNationalGovernment,theCentralBankandothergovernment
institutionsandinstrumentalities(c)MarketingofLBPbonds,aswellaspromotingthemarketabilityofsaidbonds
intraditionalandnontraditionalfinancialmarketsandstockexchangesand(d)Otherservicesdesignedtoutilize
productivelytheproceedsofthesaleofsuchlandsforruralindustrialization.Alandownerwhoinvestsinrural
basedindustriesshallbeentitledtotheincentivesgrantedtoaregisteredenterpriseengagedinapioneeror
preferredareaofinvestmentasprovidedforintheOmnibusInvestmentCodeof1987,ortosuchotherincentives
asthePARC,theLBP,orothergovernmentfinancialinstitutionsmayprovide.TheLBPshallredeema
landowner'sLBPbondsatfacevalue,providedthattheproceedsthereofshallbeinvestedinaBOIregistered
companyorinanyagribusinessoragroindustrialenterpriseintheregionwherethelandownerhaspreviously
madeinvestments,totheextentofthirtypercent(30%)ofthefacevalueofsaidLBPbonds,subjecttoguidelines
thatshallbeissuedbytheLBP.

SECTION39.LandConsolidation.TheDARshallcarryoutlandconsolidationprojectstopromoteequal
distributionoflandholdings,toprovidetheneededinfrastructuresinagriculture,andtoconservesoilfertilityand
preventerosion.

CHAPTERX
SpecialAreasofConcern

SECTION40.SpecialAreasofConcern.AsanintegralpartoftheComprehensiveAgrarianReformProgram,
thefollowingprinciplesinthesespecialareasofconcernshallbeobserved:

(1)SubsistenceFishing.Smallfisherfolk,includingseaweedfarmers,shallbeassuredofgreateraccesstothe
utilizationofwaterresources.

(2)LoggingandMiningConcessions.Subjecttotherequirementofabalancedecologyandconservationof
waterresources,suitableareas,asdeterminedbytheDepartmentofEnvironmentandNaturalResources(DENR),
inlogging,miningandpastureareas,shallbeopenedupforagrariansettlementswhosebeneficiariesshallbe
requiredtoundertakereforestationandconservationproductionmethods.Subjecttoexistinglaws,rulesand
regulations,settlersandmembersoftribalcommunitiesshallbeallowedtoenjoyandexploittheproductsofthe
forestotherthantimerwithintheloggingconcessions.

(3)SparselyOccupiedPublicAgriculturalLands.Sparselyoccupiedagriculturallandsofthepublicdomainshall
besurveyed,proclaimedanddevelopedasfarmsettlementsforqualifiedlandlesspeoplebasedonanorganized
programtoensuretheirorderlyandearlydevelopment.cdaAgriculturallandallocationsshallbemadeforideal
familysizefarmsasdeterminedbythePARC.Pioneersandothersettlersshallbetreatedequallyinevery
respect.Subjecttothepriorrightsofqualifiedbeneficiaries,uncultivatedlandsofthepublicdomainshallbemade
availableonaleasebasistointerestedandqualifiedparties.Partieswhowillengagedinthedevelopmentof
capitalintensive,traditionalorpioneeringcropsshallbegivenpriority.Theleaseperiod,whichshallnotbemore
thanatotaloffifty(50)years,shallbeproportionatetotheamountofinvestmentandproductiongoalsofthe
lessee.Asystemofevaluationandauditshallbeinstituted.

(4)Idle,Abandoned,ForeclosedandSequesteredLands.Idle,abandoned,foreclosedandsequesteredlands
shallbeplannedfordistributionashomelotsandfamilysizefarmlotstoactualoccupants.Iflandareapermits,
otherlandlessfamiliesshallbeaccommodatedintheselands.

(5)RuralWomen.Allqualifiedwomenmembersoftheagriculturallaborforcemustbeguaranteedandassured
equalrighttoownershipoftheland,equalsharesofthefarm'sproduce,andrepresentationinadvisoryor
appropriatedecisionmakingbodies.
(6)VeteransandRetirees.InaccordancewithSection7ofArticleXVIoftheConstitution,landlesswarveterans
andveteransofmilitarycampaigns,theirsurvivingspouseandorphans,retireesoftheArmedForcesofthe
Philippines(AFP)andtheIntegratedNationalPolice(INP),returnees,surrenderees,andsimilarbeneficiariesshall
begivendueconsiderationinthedispositionofagriculturallandsofthepublicdomain.

(7)AgricultureGraduates.Graduatesofagriculturalschoolswhoarelandlessshallbeassistedbythe
government,throughtheDAR,intheirdesiretoownandtillagriculturallands.

CHAPTERXI
ProgramImplementation

SECTION41.ThePresidentialAgrarianReformCouncil.ThePresidentialAgrarianReformCouncil(PARC)
shallbecomposedofthePresidentofthePhilippinesasChairman,theSecretaryofAgrarianReformasVice
ChairmanandthefollowingasmembersSecretariesoftheDepartmentsofAgricultureEnvironmentandNatural
ResourcesBudgetandManagementLocalGovernment:PublicWorksandHighwaysTradeandIndustry
FinanceLaborandEmploymentDirectorGeneraloftheNationalEconomicandDevelopmentAuthority
President,LandBankofthePhilippinesAdministrator,NationalIrrigationAdministrationandthree(3)
representativesofaffectedlandownerstorepresentLuzon,VisayasandMindanaosix(6)representativesof
agrarianreformbeneficiaries,two(2)eachfromLuzon,VisayasandMindanao,providedthatoneofthemshallbe
fromtheculturalcommunities.

SECTION42.ExecutiveCommittee.ThereshallbeanExecutiveCommittee(EXCOM)ofthePARCcomposed
oftheSecretaryoftheDARasChairman,andsuchothermembersasthePresidentmaydesignate,takinginto
accountArticleXIII,Section5oftheConstitution.UnlessotherwisedirectedbyPARC,theEXCOMmaymeetand
decideonanyandallmattersinbetweenmeetingsofthePARC:Provided,however,Thatitsdecisionsmustbe
reportedtothePARCimmediatelyandnotlaterthanthenextmeeting.

SECTION43.Secretariat.APARCSecretariatisherebyestablishedtoprovidegeneralsupportand
coordinativeservicessuchasinteragencylinkagesprogramandprojectappraisalandevaluationandgeneral
operationsmonitoringforthePARC.TheSecretariatshallbeheadedbytheSecretaryofAgrarianReformwho
shallbeassistedbyanUndersecretaryandsupportedbyastaffwhosecompositionshallbedeterminedbythe
PARCExecutiveCommitteeandwhosecompensationshallbechargeableagainsttheAgrarianReformFund.All
officersandemployeesoftheSecretariatshallbeappointedbytheSecretaryofAgrarianReform.

SECTION44.ProvincialAgrarianReformCoordinatingCommittee(PARCCOM).AProvincialAgrarianReform
CoordinatingCommittee(PARCCOM)isherebycreatedineachprovince,composedofaChairman,whoshallbe
appointedbythePresidentupontherecommendationoftheEXCOM,theProvincialAgrarianReformOfficeras
ExecutiveOfficer,andonerepresentativeeachfromtheDepartmentsofAgriculture,andofEnvironmentand
NaturalResourcesandfromtheLBP,onerepresentativeeachfromexistingfarmers'organizations,agricultural
cooperativesandnongovernmentalorganizationsintheprovincetworepresentativesfromlandowners,atleast
oneofwhomshallbeaproducerrepresentingtheprincipalcropoftheprovince,andtworepresentativesfrom
farmerandfarmworkerbeneficiaries,atleastoneofwhomshallbeafarmerorfarmworkerrepresentingthe
principalcropoftheprovince,asmembers:Provided,Thatinareaswherethereareculturalcommunities,the
lattershalllikewisehaveonerepresentative.ThePARCCOMshallcoordinateandmonitortheimplementationof
theCARPintheprovince.ItshallprovideinformationontheprovisionsoftheCARP,guidelinesissuedbythe
PARCandontheprogressoftheCARPintheprovince.

SECTION45.ProvincebyProvinceImplementation.ThePARCshallprovidetheguidelinesforaprovinceby
provinceimplementationoftheCARP.Thetenyearprogramofdistributionofpublicandprivatelandsineach
provinceshallbeadjustedfromyearbytheprovince'sPARCCOMinaccordancewiththelevelofoperations
previouslyestablishedbythePARC,ineverycaseensuringthatsupportservicesareavailableorhavebeen
programmedbeforeactualdistributioniseffected.
SECTION46.BarangayAgrarianReformCommittee(BARC).UnlessotherwiseprovidedinthisAct,the
provisionsofExecutiveOrderNo.229regardingtheorganizationoftheBarangayAgrarianReformCommittee
(BARC)shallbeineffect.

SECTION47.FunctionsoftheBARC.InadditiontothoseprovidedinExecutiveOrderNo.229,theBARCshall
havethefollowingfunctions:(a)Mediateandconciliatebetweenpartiesinvolvedinanagrariandisputeincluding
mattersrelatedtotenurialandfinancialarrangementsacd(b)Assistintheidentificationofqualifiedbeneficiaries
andlandownerswithinthebarangay(c)Attesttotheaccuracyoftheinitialparcellarymappingofthebeneficiary's
tillage(d)Assistqualifiedbeneficiariesinobtainingcreditfromlendinginstitutions(e)Assistintheinitial
determinationofthevalueoftheland(f)AssisttheDARrepresentativesinthepreparationofperiodicreportson
theCARPimplementationforsubmissiontotheDAR(g)Coordinatethedeliveryofsupportservicesto
beneficiariesand(h)PerformsuchotherfunctionsasmaybeassignedbytheDAR.(2)TheBARCshallendeavor
tomediate,conciliateandsettleagrariandisputeslodgedbeforeitwithinthirty(30)daysfromitstaking
cognizancethereof.Ifafterthelapseofthethirtydayperiod,itisunabletosettlethedispute,itshallissuea
certificateofitsproceedingsandshallfurnishacopythereofuponthepartieswithinseven(7)daysafterthe
expirationofthethirtydayperiod.

SECTION48.LegalAssistance.TheBARCoranymemberthereofmay,whenevernecessaryintheexercise
ofanyofitsfunctionshereunder,seekthelegalassistanceoftheDARandtheprovincial,city,ormunicipal
government.

SECTION49.RulesandRegulations.ThePARCandtheDARshallhavethepowertoissuerulesand
regulations,whethersubstantiveorprocedural,tocarryouttheobjectsandpurposesofthisAct.Saidrulesshall
takeeffectten(10)daysafterpublicationintwo(2)nationalnewspapersofgeneralcirculation.

CHAPTERXII

AdministrativeAdjudication

SECTION50.QuasiJudicialPowersoftheDAR.TheDARisherebyvestedwiththeprimaryjurisdictionto
determineandadjudicateagrarianreformmattersandshallhaveexclusiveoriginaljurisdictionoverallmatters
involvingtheimplementationofagrarianreformexceptthosefallingundertheexclusivejurisdictionofthe
DepartmentofAgriculture(DA)andtheDepartmentofEnvironmentandNaturalResources(DENR).Itshallnotbe
boundbytechnicalrulesofprocedureandevidencebutshallproceedtohearanddecideallcases,disputesor
controversiesinamostexpeditiousmanner,employingallreasonablemeanstoascertainthefactsofeverycase
inaccordancewithjusticeandequityandthemeritsofthecase.Towardthisend,itshalladoptauniformruleof
proceduretoachieveajust,expeditiousandinexpensivedeterminationforeveryactionorproceedingbeforeit.It
shallhavethepowertosummonwitnesses,administeroaths,taketestimony,requiresubmissionofreports,
compeltheproductionofbooksanddocumentsandanswerstointerrogatoriesandissuesubpoena,andsubpoena
ducestecum,andenforceitswritsthroughsheriffsorotherdulydeputizedofficers.Itshalllikewisehavethe
powertopunishdirectandindirectcontemptsinthesamemannerandsubjecttothesamepenaltiesasprovided
intheRulesofCourt.Responsiblefarmerleadersshallbeallowedtorepresentthemselves,theirfellowfarmers,or
theirorganizationsinanyproceedingsbeforetheDAR:Provided,however,Thatwhentherearetwoormore
representativesforanyindividualorgroup,therepresentativesshouldchooseonlyoneamongthemselvesto
representsuchpartyorgroupbeforeanyDARproceedings.NotwithstandinganappealtotheCourtofAppeals,the
decisionoftheDARshallbeimmediatelyexecutory.

SECTION51.FinalityofDetermination.Anycaseorcontroversybeforeitshallbedecidedwithinthirty(30)
daysafteritissubmittedforresolution.Onlyone(1)motionforreconsiderationshallbeallowed.Anyorder,ruling
ordecisionshallbefinalafterthelapseoffifteen(15)daysfromreceiptofacopythereof.

SECTION52.FrivolousAppeals.Todiscouragefrivolousordilatoryappealsfromthedecisionsorordersonthe
localorprovinciallevels,theDARmayimposereasonablepenalties,includingbutnotlimitedtofinesorcensures
uponerringparties.
SECTION53.CertificationoftheBARC.TheDARshallnottakecognizanceofanyagrariandisputeor
controversyunlessacertificationfromtheBARCthatthedisputehasbeensubmittedtoitformediationand
conciliationwithoutanysuccessofsettlementispresented:Provided,however,Thatifnocertificationisissued
bytheBARCwithinthirty(30)daysafteramatterorissueissubmittedtoitformediationorconciliationthecase
ordisputemaybebroughtbeforethePARC.

CHAPTERXIII
JudicialReview

SECTION54.Certiorari.Anydecision,order,awardorrulingoftheDARonanyagrariandisputeoronany
matterpertainingtotheapplication,implementation,enforcement,orinterpretationofthisActandotherpertinent
lawsonagrarianreformmaybebroughttotheCourtofAppealsbycertiorariexceptasotherwiseprovidedinthis
Actwithinfifteen(15)daysfromthereceiptofacopythereof.ThefindingsoffactoftheDARshallbefinaland
conclusiveifbasedonsubstantialevidence.

SECTION55.NoRestrainingOrderorPreliminaryInjunction.NocourtinthePhilippinesshallhavejurisdiction
toissueanyrestrainingorderorwritofpreliminaryinjunctionagainstthePARCoranyofitsdulyauthorizedor
designatedagenciesinanycase,disputeorcontroversyarisingfrom,necessaryto,orinconnectionwiththe
application,implementation,enforcement,orinterpretationofthisActandotherpertinentlawsonagrarianreform.

SECTION56.SpecialAgrarianCourt.TheSupremeCourtshalldesignateatleastone(1)branchofthe
RegionalTrialCourt(RTC)withineachprovincetoactasaSpecialAgrarianCourt.TheSupremeCourtmay
designatemorebranchestoconstitutesuchadditionalSpecialAgrarianCourtsasmaybenecessarytocopewith
thenumberofagrariancasesineachprovince.Inthedesignation,theSupremeCourtshallgivepreferencetothe
RegionalTrialCourtswhichhavebeenassignedtohandleagrariancasesorwhosepresidingjudgeswereformer
judgesofthedefunctCourtofAgrarianRelations.TheRegionalTrialCourt(RTC)judgesassignedtosaidcourts
shallexercisesaidspecialjurisdictioninadditiont

otheregularjurisdictionoftheirrespectivecourts.TheSpecialAgrarianCourtsshallhavethepowersand
prerogativesinherentinorbelongingtotheRegionalTrialCourts.SECTION57.SpecialJurisdiction.The
SpecialAgrarianCourtsshallhaveoriginalandexclusivejurisdictionoverallpetitionsforthedeterminationofjust
compensationtolandowners,andtheprosecutionofallcriminaloffensesunderthisAct.TheRulesofCourtshall
applytoallproceedingsbeforetheSpecialAgrarianCourts,unlessmodifiedbythisAct.TheSpecialAgrarian
Courtsshalldecideallappropriatecasesundertheirspecialjurisdictionwithinthirty(30)daysfromsubmissionof
thecasefordecision.

SECTION58.AppointmentofCommissioners.TheSpecialAgrarianCourts,upontheirowninitiativeoratthe
instanceofanyoftheparties,mayappointoneormorecommissionerstoexamine,investigateandascertain
factsrelevanttothedisputeincludingthevaluationofproperties,andtofileawrittenreportthereofwiththecourt.

SECTION59.OrdersoftheSpecialAgrarianCourts.NoorderoftheSpecialAgrarianCourtsonanyissue,
question,matterorincidentraisedbeforethemshallbeelevatedtotheappellatecourtsuntilthehearingshallhave
beenterminatedandthecasedecidedonthemerits.

SECTION60.Appeals.AnappealmaybetakenfromthedecisionoftheSpecialAgrarianCourtsbyfilinga
petitionforreviewwiththeCourtofAppealswithinfifteen(15)daysreceiptofnoticeofthedecisionotherwise,the
decisionshallbecomefinal.AnappealfromthedecisionoftheCourtofAppeals,orfromanyorder,rulingor
decisionoftheDAR,asthecasemaybe,shallbebyapetitionforreviewwiththeSupremeCourtwithinanon
extendibleperiodoffifteen(15)daysfromreceiptofacopyofsaiddecision.

SECTION61.ProcedureonReview.ReviewbytheCourtofAppealsortheSupremeCourt,asthecasemay
be,shallbegovernedbytheRulesofCourt.TheCourtofAppeals,however,mayrequirethepartiestofile
simultaneousmemorandawithinaperiodoffifteen(15)daysfromnotice,afterwhichthecaseisdeemed
submittedfordecision.
SECTION62.PreferentialAttentioninCourts.AllcourtsinthePhilippines,bothtrialandappellate,shallgive
preferentialattentiontoallcasesarisingfromorinconnectionwiththeimplementationoftheprovisionsofthis
Act.AllcasespendingincourtarisingfromorinconnectionwiththeimplementationofthisActshallcontinueto
beheard,triedanddecidedintotheirfinality,notwithstandingtheexpirationofthetenyearperiodmentionedin
Section5hereof.

CHAPTERXIV
Financing

SECTION63.FundingSource.TheinitialamountneededtoimplementthisActfortheperiodoften(10)years
uponapprovalhereofshallbefundedfromtheAgrarianReformFundcreatedunderSections20and21of
ExecutiveOrderNo.229.Additionalamountsareherebyauthorizedtobeappropriatedasandwhenneededto
augmenttheAgrarianReformFundinordertofullyimplementtheprovisionsofthisAct.Sourcesoffundingor
appropriationsshallincludethefollowing:a)ProceedsofthesalesoftheAssetsPrivatizationTrustb)Allreceipts
fromassetsrecoveredandfromsalesofillgottenwealthrecoveredthroughthePresidentialCommissiononGood
Governmentc)ProceedsofthedispositionofthepropertiesoftheGovernmentinforeigncountriesd)Portionof
amountsaccruingtothePhilippinesfromallsourcesofofficialforeigngrantsandconcessionalfinancingfromall
countries,tobeusedforthespecificpurposesoffinancingproductioncredits,infrastructures,andothersupport
servicesrequiredbythisActcdt(e)Othergovernmentfundsnototherwiseappropriated.Allfundsappropriatedto
implementtheprovisionsofthisActshallbeconsideredcontinuingappropriationsduringtheperiodofits
implementation.

SECTION64.FinancialIntermediaryfortheCARP.TheLandBankofthePhilippinesshallbethefinancial
intermediaryfortheCARP,andshallinsurethatthesocialjusticeobjectivesoftheCARPshallenjoyapreference
amongitspriorities.

CHAPTERXV
GeneralProvisions

SECTION65.ConversionofLands.Afterthelapseoffive(5)yearsfromitsaward,whenthelandceasestobe
economicallyfeasibleandsoundforagriculturalpurposes,orthelocalityhasbecomeurbanizedandthelandwill
haveagreatereconomicvalueforresidential,commercialorindustrialpurposes,theDAR,uponapplicationofthe
beneficiaryorthelandowner,withduenoticetotheaffectedparties,andsubjecttoexistinglaws,mayauthorize
thereclassificationorconversionofthelandanditsdisposition:Provided,Thatthebeneficiaryshallhavefully
paidhisobligation.

SECTION66.ExemptionsfromTaxesandFeesofLandTransfers.TransactionsunderthisActinvolvinga
transferofownership,whetherfromnaturalorjuridicalpersons,shallbeexemptedfromtaxesarisingfromcapital
gains.Thesetransactionsshallalsobeexemptedfromthepaymentofregistrationfees,andallothertaxesand
feesfortheconveyanceortransferthereofProvided,Thatallarrearagesinrealpropertytaxes,withoutpenaltyor
interest,shallbedeductiblefromthecompensationtowhichtheownermaybeentitled.

SECTION67.FreeRegistrationofPatentsandTitles.AllRegistersofDeedsareherebydirectedtoregister,
freefrompaymentofallfeesandothercharges,patents,titlesanddocumentsrequiredfortheimplementationof
theCARP.

SECTION68.ImmunityofGovernmentAgenciesfromUndueInterference.Noinjunction,restrainingorder,
prohibitionormandamusshallbeissuedbythelowercourtsagainsttheDepartmentofAgrarianReform(DAR),the
DepartmentofAgriculture(DA),theDepartmentofEnvironmentandNaturalResources(DENR),andthe
DepartmentofJustice(DOJ)intheirimplementationoftheprogram.

SECTION69.AssistanceofOtherGovernmentEntities.ThePARC,intheexerciseofitsfunctions,ishereby
authorizedtocallupontheassistanceandsupportofothergovernmentagencies,bureausandoffices,including
governmentownedorcontrolledcorporations.
SECTION70.DispositionofPrivateAgriculturalLands.Thesaleordispositionofagriculturallandsretainedby
alandownerasaconsequenceofSection6hereofshallbevalidaslongasthetotallandholdingsthatshallbe
ownedbythetransfereethereofinclusiveofthelandtobeacquiredshallnotexceedthelandholdingceilings
providedforinthisAct.AnysaleordispositionofagriculturallandsaftertheeffectivityofthisActfoundtobe
contrarytotheprovisionshereofshallbenullandvoid.Transfereesofagriculturallandsshallfurnishthe
appropriateRegisterofDeedsandtheBARCanaffidavitattestingthathistotallandholdingsasaresultofthesaid
acquisitiondonotexceedthelandholdingceiling.TheRegisterofDeedsshallnotregisterthetransferofany
agriculturallandwithoutthesubmissionofthisswornstatementtogetherwithproofofserviceofacopythereofto
theBARC.

SECTION71.BankMortgages.Banksandotherfinancialinstitutionsallowedbylawtoholdmortgagerightsor
securityinterestsinagriculturallandstosecureloansandotherobligationsofborrowers,mayacquiretitletothese
mortgagedproperties,regardlessofarea,subjecttoexistinglawsoncompulsorytransferofforeclosedassetsand
acquisitionasprescribedunderSection13ofthisAct.acd

SECTION72.Lease,Management,GrowerorServiceContracts,MortgagesandOtherClaims.Landscovered
bythisActunderlease,management,growerorservicecontracts,andthelikeshallbedisposedofasfollows:(a)
Lease,management,growerorservicecontractscoveringprivatelandsmaycontinueundertheiroriginalterms
andconditionsuntiltheexpirationofthesameevenifsuchlandhas,inthemeantime,beentransferredtoqualified
beneficiaries.(b)MortgagesandotherclaimsregisteredwiththeRegisterofDeedsshallbeassumedbythe
governmentuptoanamountequivalenttothelandowner'scompensationvalueasprovidedinthisAct.

SECTION73.ProhibitedActsandOmissions.Thefollowingareprohibited:(a)Theownershiporpossession,
forthepurposeofcircumventingtheprovisionsofthisAct,ofagriculturallandsinexcessofthetotalretention
limitsorawardceilingsbyanyperson,naturalorjuridical,exceptthoseundercollectiveownershipbyfarmer
beneficiaries.(b)TheforcibleentryorillegaldetainerbypersonswhoarenotqualifiedbeneficiariesunderthisAct
toavailthemselvesoftherightsandbenefitsoftheAgrarianReformProgram.(c)Theconversionbyany
landownerofhisagriculturallandintoanynonagriculturalusewithintenttoavoidtheapplicationofthisActtohis
landholdingsandtodispossesshistenantfarmersofthelandtilledbythem.(d)Thewillfulpreventionor
obstructionbyanyperson,associationorentityoftheimplementationoftheCARP.(e)Thesale,transfer,
conveyanceorchangeofthenatureoflandsoutsideofurbancentersandcitylimitseitherinwholeorinpartafter
theeffectivityofthisAct.ThedateoftheregistrationofthedeedofconveyanceintheRegisterofDeedswith
respecttotitledlandsandthedateoftheissuanceofthetaxdeclarationtothetransfereeofthepropertywith
respecttounregisteredlands,asthecasemaybe,shallbeconclusiveforthepurposeofthisAct.(f)Thesale,
transferorconveyancebyabeneficiaryoftherighttouseoranyotherusufructuaryrightoverthelandheacquired
byvirtueofbeingabeneficiary,inordertocircumventtheprovisionsofthisAct.

SECTION74.Penalties.AnypersonwhoknowinglyorwillfullyviolatestheprovisionsofthisActshallbe
punishedbyimprisonmentofnotlessthanone(1)monthtonotmorethanthree(3)yearsorafineofnotlessthan
onethousandpesos(P1,000.00)andnotmorethanfifteenthousandpesos(P15,000.00),orboth,atthediscretion
ofthecourt.Iftheoffenderisacorporationorassociation,theofficerresponsiblethereforshallbecriminallyliable.

SECTION75.SuppletoryApplicationofExistingLegislation.TheprovisionsofRepublicActNo.3844as
amended,PresidentialDecreeNos.27and266asamended,ExecutiveOrderNos.228and229,bothSeriesof
1987andotherlawsnotinconsistentwiththisActshallhavesuppletoryeffect.

SECTION76.RepealingClause.Section35ofRepublicActNo.3834,PresidentialDecreeNo.316,thelasttwo
paragraphsofSection12ofPresidentialDecreeNo.946,PresidentialDecreeNo.1038,andallotherlaws,
decreesexecutiveorders,rulesandregulations,issuancesorpartsthereofinconsistentwiththisActarehereby
repealedoramendedaccordingly.cdt

SECTION77.SeparabilityClause.If,foranyreason,anysectionorprovisionofthisActisdeclarednulland
void,noothersection,provision,orpartthereofshallbeaffectedandthesameshallremaininfullforceandeffect.
SECTION78.EffectivityClause.ThisActshalltakeeffectimmediatelyafterpublicationinatleasttwo(2)
nationalnewspapersofgeneralcirculation.

Approved:June10,1988

Next:CARPER(ComprehensiveAgrarianReformProgramExtensionwithReforms)RA9700

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