SECOND DIVISION
[G.R. NO. 160725, September 12, 2008]
NATIONAL POWER CORPORATION, Petitioner, v. PUREFOODS CORPORATION, SOLID DEVELOPMENT CORPORATION, JOSE ORTEGA, JR., SILVESTRE BAUTISTA, ALFREDO CABANDE, HEIRS OF VICTOR TRINIDAD, AND MOLDEX REALTY INCORPORATED, Respondents.
D E C I S I O N
TINGA, J.:
Owner/ Claimant | Lot/ Blk. No. | Tax Dec. No. | Title No. | Total Area In Sq. M. | Area Affected In Sq. M. | Assessed Value P | Classifi-cation Of Land |
1. Arcadio T. Cruz/ Purefoods Corp. | 2965 | 95- 01010-01090 | RT-73-15217 | 246,061 | 11,083 | P3,324.90 | Cogon land |
2. Calixto Cruz/ Purefoods Corp. | 1948 | 97-01010-00153 | T-278-287 (M) | 27,981 | 4,161 | 14,979.60 | Poultry/ Piggery/ Livestock Site |
3. Deogracias C. Mendoza/ Moldex Realty Corp. | 1258 | 94-21011-02796 | - | 18,992 | 3,387.50 | 7,398.31 | Agri-cultural |
4. Hacienda Sapang Palay/Moldex Realty Corporation | 1255 | 96-21017-00134 | - | 1,450,810 | 25,170 | 77,669.12 | Agri-cultural |
5. Solid Dev't. Corp. rep. by Domingo P. Gaw | 1889 | 93-020-00171 | CLOA-T-2322 | 21,743 | 6,871 | 8,039.00 | Riceland |
6. Jose Ortega, Jr. | 2186-C | 00027 | T-50926 | 12,060 | 2,471 | 4,293.27 | Riceland/Pasture |
7. Silvestre Bautista/ Alfredo Cabande rep. by Temestocles Cabande, Jr. | 1981-B | 93-020-00564 | - | 7,785 | 5,927 | 6,934.70 | Agri-cultural |
8. Heirs of Lucia Vda. de Trinidad/ Alfredo Cabande rep. by Temestocles Cabande, Jr. | 1981-A | 93-020-00563 | CLOA-T-6359 | 13,200 | 3,356 | 3,926.52 | Agri-cultural |
[Total] | 62,426.50 sq.m. | P126,565.427 |
WHEREFORE, in view of the foregoing premises, Judgment is hereby rendered as follows:Respondent Moldex sought reconsideration of the aforesaid decision27 but the same was denied by the RTC in its Order28 dated 07 December 2001. Both NAPOCOR and respondent Moldex filed separate appeals before the Court of Appeals.
- Ordering the expropriation of:
- 3,305 square meters portion of 18,992 square meters of land of Lot 1258-A, situated in San Jose del Monte, Bulacan, described and covered by Tax Declaration No. 94-21011-02796 issued by then Municipal Assessor of San Jose del Monte, Bulacan, owned by/registered in the name of MOLDEX REALTY INCORPORATED;
- 24,180 square meters portion of 1,450,810 square meters of land (Lot 2A-1, formerly Lot 1255), situated in San Jose del Monte, Bulacan, described in and covered by Tax Declaration No. 96-21017-00134 by then Municipal Assessor of San Jose del Monte, Bulacan, owned by/registered in the name of MOLDEX REALTY INCORPORATED;
- 11,083 square meters portion of 246,061 square meters of land (Lot 2965), situated in Angat, Bulacan, described in and covered by TCT No. RT-73-15217 (T-274516-M) issued by the Register of Deeds of Bulacan, owned by/registered in the name of PUREFOODS CORPORATION;
- 4,161 square meters portion of 27,981 square meters of land (Lot 1948), situated in Angat, Bulacan described in and covered by TCT No. T-278287 (M) issued by the Register of Deeds of Bulacan, owned by/registered in the name of PUREFOODS CORPORATION;
- 6,871 square meters portion of 27,743 square meters of land (Lot 1889), situated in San Idelfonso, Bulacan, described in and covered by CLOA T-2322, issued by the Register of Deeds of Bulacan, owned by/registered in the name of SOLID DEVELOPMENT CORPORATION;
- 2,471 square meters portion of 12,060 square meters of land (Lot 2186-C), situated in San Rafael, Bulacan, described in and covered by TCT No. T-50926, issued by the Register of Deeds of Bulacan, owned by/registered in the name of Jose Ortega, Jr.;
- 5,927 square meters portion of 7,785 square meters of land (Lot 1981-B), situated in San Idelfonso, Bulacan, described in and covered by Tax Declaration No. 93-020-00564, issued by the Municipal Assessor of San Ildefonso, Bulacan, owned by/registered in/claimed by Silvestre Bautista/Alfredo Cabande;
- 3,356 square meters portion of 13,200 square meters of land (Lot 1981-A), situated in San Ildefonso, Bulacan, described in and covered by CLOA T-6359, issued by the Register of Deeds of Bulacan, owned by/registered in/claimed by the Heirs of Victor Trinidad/Alfredo Cabande,
all in favor of plaintiff NATIONAL POWER CORPORATION and against above-named defendants, for the public use or purpose described in the Complaint and in this Decision;- fixing the amount of Six Hundred Pesos (P600.00) per square meter for 27,485 square meters of land of MOLDEX REALTY INCORPORATED as just compensation and fixing the amount of Four Hundred Pesos (P400.00) per square meter for 15,244 square meters of land of PUREFOODS CORPORATION, 6,871 square meters of land of SOLID DEVELOPMENT CORPORATION, 2,471 square meters of land of JOSE ORTEGA, JR., 5,927 square meters of land of SILVESTRE BAUTISTA/ALFREDO CABANDE and 3,356 square meters of land of the HEIRS OF VICTOR TRINIDAD/ALFREDO CABANDE, as just compensation, to be paid by plaintiff NATIONAL POWER CORPORATION to said defendants/claimants or their representatives, deducting therefrom any unpaid and overdue real estate taxes due to the Government;
- ordering payment of said just compensation by plaintiff NATIONAL POWER CORPORATION to named defendants or the latter's representatives with legal interest at 6% per annum from January 6, 1998 until finality of this Decision and at 12% per annum from its finality until full payment thereof.
Let each copy of this DECISION be furnished to and recorded in the Office of the Register of Deeds of Bulacan, Municipal Assessor of Angat, Bulacan, City Assessor of City of San Jose del Monte, Bulacan, Municipal Assessor of San Ildefonso, Bulacan and Municipal Assessor of San Rafael, Bulacan.
No costs is hereby ordered since plaintiff NATIONAL POWER CORPORATION is, under its Charter, exempt from payment of costs of the proceedings.
SO ORDERED.26
Granting arguendo that what petitioner acquired over respondent's property was purely an easement of a right of way, still, we cannot sustain its view that it should pay only an easement fee, and not the full value of the property. The acquisition of such an easement falls within the purview of the power of eminent domain. This conclusion finds support in similar cases in which the Supreme Court sustained the award of just compensation for private property condemned for public use. Republic v. PLDT held thus:Also, in National Power Corporation v. Aguirre-Paderanga,48 the Court noted that the passage of NAPOCOR's transmission lines over the affected property causes not only actual damage but also restriction on the agricultural and economic activity normally undertaken on the entire property. While NAPOCOR in that case was seeking to acquire only an easement of right-of-way, the Court nonetheless ruled that the just compensation in the amount of only 10% of the market value of the property was not enough to indemnify the incursion on the affected property."x x x. Normally, of course, the power of eminent domain results in the taking or appropriation of title to, and possession of, the expropriated property; but no cogent reason appears why the said power may not be availed of to impose only a burden upon the owner of condemned property, without loss of title and possession. It is unquestionable that real property may, through expropriation, be subjected to an easement of right of way."True, an easement of a right of way transmits no rights except the easement itself, and respondent retains full ownership of the property. The acquisition of such easement is, nevertheless, not gratis. As correctly observed by the CA, considering the nature and the effect of the installation power lines, the limitations on the use of the land for an indefinite period would deprive respondent of normal use of the property. For this reason, the latter is entitled to payment of a just compensation, which must be neither more nor less than the monetary equivalent of the land.47
In the case at bar, the trial court based its determination of just compensation on the reports and proceedings made by the Commissioners, by adopting the findings of Commissioners' Ortega and Magdasoc who made a Joint Commissioners' Report. The aforesaid report has also taken into consideration the report made by the other Commissioner B/G Malto. In their joint report, the commissioners recommended that the fair market value of the property subject of the expropriation proceedings, owned by Moldex is P700.00 per square meter while other properties at P400.00. In the separate report of Commissioner Malto, at first it valued the subject properties at P700.00 per square meter and subsequently, it made an amended report, taking into account the Discovery of the Contracts to Sell during the year 1996 showing that the value of the property of Moldex was P1,600 per square meter and another in the year 1999 that shows that its value was P1,800 per square meter. x x x However, there was no evidence that such lands subject of the aforesaid contracts to sell is sufficiently similar to the properties subject of expropriation owned by appellant Moldex. x x x It cannot be said that all properties in this area have the same market value nor do the contracts to sell conclusive as to the fair market price of a parcel of land because it may be above its fair market value. Appellant Moldex did not present evidence showing that the lots subject of contracts to sell is similar to the lands subject of expropriation. Thus, evidence presented by appellant Moldex cannot be a basis in determining the real fair market value of the properties subject of expropriation. x x xBased on the foregoing elucidation, the Court of Appeals affirmed the RTC's finding of the value of just compensation based on the majority report's valuation of P400.00 per square meter for the properties belonging to respondents with the exception of respondent Moldex. Both the Court of Appeals and the RTC were convinced that the commissioners' recommendation was arrived at after a judicious consideration of all factors. Absent any showing that said valuation is exorbitant and unjustified, the same is binding on this Court.
x x x It should be observed in the report made by the Commissioners that they made an ocular inspection of the area and they found that the property is semi-cogonal and agricultural in character and that during their inspection they noticed trace of old rice stalks that marked the surrounding [e]specially under the transmission lines of the plaintiff-appellant NPC. Since the Commissioners are disinterested persons who made the ocular inspection and report, their report is entitled to great weight.
x x x It can be clearly deduced from the report of the Commissioners that although the report was made in year 2001, they considered other facts which were reflective of the value of the subject properties even before such time. x x x they also considered the Deeds of Sale execute[d] in 1996 and they also inquired with the Office of the Provincial Assessors to aid them in arriving at the fair market value of the subject lands. x x x n the joint report of Commissioners' Ortega and Magdasoc, it was reflected that the value of the property ranged from P500.00 to P1,000.00 if the property is developed and improved and in the report of Commissioner Malto, from an appraisal of Cuervo Appraisers, Inc. and Asian Appraisal Co. the developed lots in the area could be valued at P525.00 to P700.00 per square meter. x x x Thus, from this [sic] facts, it could be clearly shown that in recommending the valuation of the subject properties, allowance was made taking into consideration the time of taking of the property subject of expropriation and the filing of complaint. x x x 56
SO ORDERED.
Quisumbing, (Chairperson), Carpio Morales, Velasco, Jr., and Brion, JJ., JJ., concur.
Endnotes:
1Rollo, pp. 8-36.
2 Penned by J. Mercedes Gozo-Dadole, Acting Chairman of the Special Fifth Division and concurred in by JJ. Juan Q. Enriquez, Jr. and Rosmari D. Carandang.
3 CA rollo, pp. 55-60.
4 Entitled, "An Act Revising the Charter of the National Power Corporation;" effective 10 September 2001.
5 Republic Act No. 6395, Sec. 3(h).
6 Records, pp. 1-9.
7 Id. at 3-4.
8 Id. at 4-5.
9 Id. at 5-6.
10 Id. at 38-44.
11 Id. at 91-95.
12 Id. at 137-142.
13 Id. at 115-119.
14 Id. at 140.
15 Id. at 92-93.
16 Id. at 116-118.
17 Id. at 100-104.
18 Id. at 106.
19 Id. at 165.
20 Id. at 286.
21 Id. at 328-335.
22 Id. at 336-339.
23 Id. at 339.
24 Id. at 379.
25 Supra note 3.
26 Id. at 58-59.
27 Records, pp. 388-394.
28 Id. at 406.
29 Supra note 2.
30 CA rollo, pp. 270-283.
31 Supra note 1.
32Rollo, pp. 89-101.
33 Id. at 81-88.
34 Id. at 121-129.
35 Id. at 130-137.
36 Id. at 140-144.
37 Id. at 145-150.
38 Id. at 151-156.
39 Id. at 157-158.
40 Id. at 166-167.
41 Id. at 168-171.
42 Id. at 176.
43 Republic Act 6395, as amended by Presidential Decree No. 938, Section 3A provides: In acquiring private property or private property rights through expropriation proceedings where the land or portion thereof will be traversed by the transmission lines, only a right-of-way easement thereon shall be acquired when the principal purpose for which such land is actually devoted will not be impaired, and where the land itself or portion thereof will be needed for the projects or works, such land or portion thereof as necessary shall be acquired.
In determining the just compensation of the property or property sought to be acquired through expropriation proceedings, the same shall -In addition to the just compensation for easement of right-of-way, the owner of the land or owner of the improvement, as the case may be, shall be compensated for the improvements actually damaged by the construction and maintenance of the transmission lines, in an amount not exceeding the market value thereof as declared by the owner or administrator, or anyone having legal interest in the property, or such market value as determined by the assessor whichever is lower; Provided, that in cases any buildings, houses and similar structures are affected by the right-of-way for the transmission lines, their transfer, if feasible, shall be effected at the expense of the Corporation; Provided, further, that such market value prevailing at the time the Corporation gives notice to the landowner or administrator or anyone having legal interest in the property, to the effect that his land or portion thereof is needed for its projects or works shall be used as basis to determine the just compensation therefore.
(a) With respect to the acquired land or portion thereof, not exceed the market value declared by the owner or administrator or anyone having legal interest in the property, or such market value as determined by the assessor, whichever is lower. (b) With respect to the acquired right-of-way easement over the land or portion thereof, not to exceed ten percent (10%) of the market value declared by the owner or administrator or anyone having legal interest in the property, or such market value as determined by the assessor whichever is lower.
44 ENTITLED "AN ACT TO FACILITATE THE ACQUISITION OF RIGHT-OF-WAY, SITE OR LOCATION FOR NATIONAL GOVERNMENT INFRASTRUCTURE PROJECTS AND FOR OTHER PURPOSES;" effective 7 November 2000.
45Gomez v. Sta. Ines, G.R. No. 132537, 14 October 2005, 473 SCRA 25, 37.
46 G.R. No. 150936, 18 August 2004, 437 SCRA 60.
47 Id. at 67-68.
48 G.R. No. 155065, 28 July 2005, 464 SCRA 481.
49 Id. at 493.
50National Power Corporation v. Chiong, 452 Phil. 649, 663-664 (2003).
51Land Bank of the Philippines v. Celada, G.R. No.164876, 23 January 2006.
52 G.R. No. L-59603, 29 April 1987, 149 SCRA 305.
53 Id. at 314.
54 Id. at 316.
55National Power Corporation v. Chiong, 452 Phil. 649, 660 (2003).
56 Citations omitted.