AGRARIAN LAW NOTES (SOURCE: UNGOS) LANDAS, M.B.

19. EO228 – July 17, 1987; declaring full land

CHAPTER I: PRELIMINARY CHAPTER
ownership in favor of beneficiaries under PD27
20. EO229 – July 22, 1987; providing mechanics for its
Agrarian Law implementation
21. Proc. No. 131 – comprehensive agrarian reform
➔ Refers to distribution of public agricultural lands 22. Comprehensive Agrarian Reform Law of 1988
and large estates, as well as the regulation of the (RA6657) – June 10, 1988
relationship between the landowner and the 23. RA7881, RA7905, RA8532, RA9700 – amend
farmer who works on the land certain provisions of CARL

➔ Embraces all laws that govern and regulate the Agrarian Reform
rights and relationship over agricultural lands
between landowners, tenants, lessees or ➔ Redistribution of lands, regardless of crops or
agricultural workers fruits produced, to farmers and regular
farmworkers who are landless, irrespective of
➔ Ager = field; Agrarian = relating to land or to the tenurial arrangement, to include the totality of
ownership or division of land factors and support services designed to lift the
economic status of the beneficiaries and all other
Focus: agrarian reform (redistribution of agricultural lands) arrangements alternative to the physical
distribution of lands, such as production or profit-
Social Legislation sharing, labor administration, and the distribution
of shares of stocks, which will allow beneficiaries
➔ Laws or statutes enacted under the social justice to receive a just share of the fruits of the lands they
clause of the Constitution (Sec. 3, Art. XIII) work (Sec. 3[a], RA6657)

➔ No precise definition as it is so broad it covers ➔ Not confined to distribution of lands and includes
labor laws, agrarian laws, and welfare laws other alternative modes – to confine is not feasible
considering there is not enough agricultural land
➔ Emphasis on public good and social welfare that can be distributed to every farmer or regular
farmworker
History
CARL of 1988
1. Civil Code, particularly the Special Provisions for
Rural Leases – Spanish Era ➔ Basis for the implementation of CARP; embodies
2. Philippine Rice Share Tenancy Act (A4054) – the state policy of processing the program aimed
February 27, 1933 at liberating the vast potential wealth of Philippine
3. Sugar Tenancy Act (A4113) – December 7, 1933 agriculture by giving majority of Filipinos a real
4. CA53 – tenant testimony is prima facie evidence and rightful stake in the land
of tenancy contract
5. CA178 – amended provisions of A4054 Comprehensive Agrarian Reform Program
6. CA271 – amended provisions of A4113
7. CA461 – security of tenure to agricultural tenants A social justice and poverty alleviation program which
8. CA608 – amended CA 461 seeks to empower lives of agrarian reform beneficiaries
9. RA34 – amended provisions of A4054 through equitable distribution and ownership of the land
10. Agricultural Tenancy Act (RA1199) – August 30, based on the principle of land to the tiller
1954; repealed all tenancy laws except A4113
11. RA2263 – amended RA34 Also, to provide opportunities for a dignified and improved
12. Land Reform Act of 1995 (RA1400) – September 9, quality of life of agrarian reform beneficiaries through the
1955; expropriation of tenanted states provision of adequate support services for sound rural
13. Agricultural Land Reform Code (RA3844) – August development and the establishment of economic-size
8, 1963; abolished shared tenancy farms as the basis of Philippine agriculture.
14. Code of Agrarian Reforms of the Philippines
(RA6389) – September 10, 1971
15. Tenant Emancipation Law (PD27) – October 21,
1972; transfer of lands devoted to rice and corn
16. PD946 – June 17, 1976; reorganization of CAR
17. PD1038 – October 21, 1976; strengthen security of
non-rice and non-corn tenants
18. PD251, PD444, PD1039, PD1817 – amended Code
of Agrarian Reforms of the Philippines

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Agricultural Land by a farmer in conjunction with such farming operations
done by persons whether natural or juridical
Raising of Livestock, Poultry or Fish Not Embraced in the
Land devoted to agricultural activity and not classified as Term “Agriculture”
mineral, forest, residential, commercial or industrial land
(Sec. 3[c], RA6657) They are classified as INDUSTRIAL and not agricultural
activities, thus, exempt from the agrarian reform program.
(a) Devoted to agricultural activity;
Reason: No land is tilled and no crop is harvested. Land is
(a) Not classified as mineral or forest by DENR; not the primary resource in raising of livestock, poultry, or
even swine. They do not spout from the land, hence, are not
(b) Prior to June 15, 1988, not classified for ‘fruits of the land.’
residential, commercial or industrial use under a
local government town plan and zoning ordinance,
CHAPTER II: COVERAGE
as approved by the HLURB

Constitutionality of CARL Section 4. Scope. — The Comprehensive Agrarian Reform

Law of 1989 shall cover, regardless of tenurial arrangement
It is not unconstitutional because it is a valid exercise of and commodity produced, all public and private agricultural
police power. lands, as provided in Proclamation No. 131 and Executive
Order No. 229, including other lands of the public domain
Primary Objective of Agrarian Reform suitable for agriculture.

To break up agricultural lands and transform them into More specifically the following lands are covered by the
economic-size farms to be owned by the farmers Comprehensive Agrarian Reform Program:
themselves, with the end in view of uplifting their socio-
economic status (a) All alienable and disposable lands of the public
domain devoted to or suitable for agriculture. No
➔ Founded on the right of the farmers and regular reclassification of forest or mineral lands to
farmworkers who are landless, to own directly or agricultural lands shall be undertaken after the
collectively the lands they till or, in case of other approval of this Act until Congress, taking into
farm workers, to receive a just share in the fruits account ecological, developmental and equity
thereof (see Sec. 4, Art. XIII, 1987 Consti) considerations, shall have determined by law, the
specific limits of the public domain;
➔ However, it does not guarantee improvement in (b) All lands of the public domain in excess of the
the lives of the agrarian reform beneficiaries – specific limits as determined by Congress in the
merely provides for a possibility or favorable preceding paragraph;
chance of uplifting economic status (c) All other lands owned by the Government devoted
to or suitable for agriculture; and
Owner-Cultivatorship (d) All private lands devoted to or suitable for
agriculture regardless of the agricultural products
The state of a person who not only provides capital and raised or that can be raised thereon.
management, but also personally cultivates his own land
with the aid of his immediate family and household. (Sec. Lands Covered
166[22], Agricultural Land Reform Code)
(a) All public and private agricultural lands;
Economic Family-Size Farm
(b) Other lands of the public domain suitable for
An area of farm land that permits efficient use of labor and agriculture
capital resources of the farm family and will produce an
income sufficient to provide a modest standard of living to Lands Not Covered
meet a farm family’s need for food, clothing, shelter and
education with possible allowance for payment of yearly (a) Private lands with a total area of 5 hectares and
installments on the land, and reasonable reserves to absorb below;
yearly fluctuations in income.
(b) Lands actually, directly and exclusively used for
Agriculture, Agricultural Enterprise or Agricultural Activities parks, wildlife, forest reserves, reforestation, fish
sanctuaries and breeding grounds, watersheds
Refers to cultivation of the soil, planting of crops, growing and mangroves;
of fruit trees, including the harvesting of such farm
products, and other farm activities and practices performed (c) Private lands actually, directly and exclusively
used for prawn farms and fishponds;

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 (d) Lands actually, directly and exclusively used and ➔ In compulsory acquisition, he shall exercise his
found to be necessary for: right of retention by signifying his intent to retain
within 60 days from receipt of notice
(i) National defense;
(ii) School sites and campuses; ➔ In voluntary offer to sell, voluntary land transfer or
(iii) Experimental farm stations operated for direct payment, he shall exercise the right
education purposes; simultaneously at the time of offer for sale or
(iv) Seeds and seedling research and pilot transfer (DAR AO 02, 2003)
production centers;
(v) Church sites and convents appurtenant Right to Choose Retention Area
thereto;
(vi) Mosque sites and Islamic centers The landowner has the right to choose the area to be
appurtenant thereto; retained. This area shall be compact and contiguous and
(vii) Communal burial grounds and cemeteries; shall be least prejudicial to the entire landholding and the
(viii) Penal colonies and penal farms actually majority of the farmers therein. (DAR AO 02, 2003)
worked by the inmates;
(ix) Research and quarantine centers Waiver of Retention Right
(x) All lands with 18% slope and over, except
those already developed Under DAR AO 02, 2003 (Sec. 6), the land owner waives his
right to retain by committing any of the ff acts or omissions:
Extension of Implementation of CARL
(i) Failure to manifest intention to exercise his right
➔ RA9700 (Sec. 5) extended the implementation of to retain within 60 calendar days from receipt of
the CARL on acquisition and distribution of notice of coverage;
agricultural lands to June 30, 2014 – dapat (ii) Failure to state such intention upon offer to sell or
hanggang 1998 lang application under the Voluntary Land Transfer or
Direct Payment Schemes;
Retention Right of the Landowner
(iii) Execution of any document stating that he
Rule: The landowner has the right to retain, but not more expressly waives his right to retain;
than 5 hectares of his landholdings. (Sec. 6, RA6657)
(iv) Execution of a “Landowner Tenant Production
➔ Need not be personally cultivated by landowner – Agreement and Farmer’s Undertaking” or
can be done indirectly through labor admin “Application to Purchase and Farmer’s
Undertaking” covering subject property;
➔ Right of deceased landowner may be exercised by
heirs, who must prove that former had manifested (v) Failure to manifest an intention to exercise his
during his lifetime and before August 23, 1990 his right to retain upon filing an application for
intention to exercise the right Voluntary Land Transfer/Direct Payment Scheme
or Voluntary Offer to Sell;
Constitutional Basis for Landowner Retention Rights
(vi) Execution and submission of any document
Sec. 4, Art. XIII. The State shall, by law, undertake an indicating that he is consenting to the CARP
agrarian reform program founded on the right of farmers coverage of his entire landholding; or
and regular farmworkers, who are landless, to own directly
or collectively the lands they rill or, in case of other (vii) Performance of any act constituting estoppel by
farmworkers, to receive a just share in the fruits thereof. To laches, warranting a presumption that he
this end the State shall encourage and undertake the just abandoned his right or declined to assert it.
distribution of all agricultural lands, subject to such
priorities and reasonable retention limits as the Congress Criminal Violations
may prescribe, taking into account ecological,
developmental, or equity considerations, and subject to the The CARL of 1988 prohibits:
payment of just compensation. In determining retention
limits, the State shall respect the right of small landowners. (a) Persons from owning or possessing agricultural
The State shall further provide incentives for involuntary lands in excess of the total retention limits or
land-sharing. award ceilings for the purpose of circumventing
the provisions of the law
When to Exercise Right
(b) Responsible government officers from
Anytime before receipt of the notice of coverage unjustifiably, willfully, and maliciously depriving a
landowner of his retention rights

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 (f) Harvest is shared between landowner and
tenant or agricultural lessee.

Scenarios on Retention Rights: Effect if chooses to remain: He will no longer be considered

as tenant, but an agricultural lessee. He will also be
Exercise of Right Under CARL & Tenant Emancipation Law disqualified as an agrarian reform beneficiary

If landowner has already exercised his right of retention Effect if chooses to be a beneficiary: He loses his right to be
under the Tenant Emancipation Law, he can no longer a lessee of the land retained by the landowner.
exercise such right under CARL.
Agricultural lessee’s rights
If he chooses to retain 5 hectares under CARL, those
previously retained under the Tenant Emancipation Law (a) Peaceful possession and enjoyment of land
shall be immediately placed under the coverage of the
CARL. (b) Manage and work on the land in a manner and
method of cultivation and harvest which confirm
Spouses’ Exercise of Retention Rights to proven farm practices

Spouses with a conjugal or absolute community property (c) Mechanize all or any phase of his farm work
regime can only retain 5 hectares. Spouses with a
separation of property regime can retain 5 hectares each. (d) Deal with millers, processors and attend to the
issuance of quedans and warehouse receipts for
Over Lands Covered by EP, CLOA the process due him

A landowner can exercise his right of retention over land (e) Be afforded a homelot
which has already been covered by an Emancipation Patent
or Certificate of Land Ownership Award. Such issuance (f) Be indemnified for the cost and expenses incurred
does not absolutely bar the landowner from retaining the in the cultivation, planting or harvesting and other
area covered thereby. expenses incidental to the improvement of his
crop in case he surrenders or abandons his
Remedy: petition for cancellation of EP or CLOA landholding for just cause or ejected therefrom

Right of Tenant Over Lands Chosen to be Retained Agricultural lessee’s obligations

The tenant may choose on whether to remain therein or be (a) To cultivate and take care of the farm, growing
a beneficiary in the same or another agricultural land with crops, and other improvements on the landholding
similar or comparable features. as a good father of a family and perform all the
work therein in accordance with proven farm
➔ Must be exercised within 1 year from the time the practices;
landowner manifests his choice of the area for
retention (b) To inform the agricultural lessor within a
reasonable time of any trespass committed by
➔ Relationship of landlord-tenant must exist – mere third persons upon the farm, without prejudice to
occupation or cultivation will not ipso facto make his direct action against the trespasser;
the tiller and agricultural tenant
(c) To take reasonable care of the work animals and
Substantial evidence: proven by the ff elements – farm implements delivered to him by the
agricultural lessor and see that they are not used
(a) Parties are the landowner and the tenant or for purposes other than those intended or used by
agricultural lessee; another without the knowledge and consent of the
agricultural lessor: Provided, however, That if said
(b) Subject matter of the relationship is an work animals get lost or die, or said farm
agricultural land; implements get lost or are destroyed, through the
negligence of the agricultural lessee, he shall be
(c) Consent between the parties to relationship; held responsible and made answerable therefor to
the extent of the value of the work animals and/or
(d) Purpose of the relationship is to bring about farm implements at the time of the loss, death or
agricultural production; destruction;

(e) Personal cultivation on the part of the tenant (d) To keep his farm and growing crops attended to
or agricultural lessee; during the work season. In case of unjustified
abandonment or neglect of his farm, any or all of

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 his expected produce may, upon order of the Court, Both the Constitution and CARL respect the superiority of
be forfeited in favor of the agricultural lessor to the the rights of homesteaders over the rights of tenants.
extent of the damage caused thereby;
(e) To notify the agricultural lessor at least three days Agrarian reform law cannot be invoked to defeat the very
before the date of harvesting or, whenever purpose of the enactment of The Homestead Act (CA141).
applicable, of threshing; and It was enacted for the welfare and protection of the poor.

(f) To pay the lease rental to the agricultural lessor ➔ Homestead grantees are entitled to retain the area
when it falls due. – even if it exceeds 5 hectares – provided that (a)
they are the owners of the original homestead at
Term of the Lease the time of the approval of the CARL and (b) they
continue to cultivate the same.
➔ The relation once established continues until such
is extinguished through any of the ff: CA141 – gives a needy citizen a piece of land where he may
build a modest house for himself and family and plant what
(a) Abandonment or voluntary surrender of the is necessary for subsistence and for the satisfaction of
landholding by the lessee life’s other needs

(b) Absence of successor in the event of death or Criminal Violation

permanent incapacity of the lessee
CARL also prohibits forcible entry or illegal detainer by
Note: Leasehold does not necessarily extinguish by death persons who are not qualified beneficiaries under the law, if
or incapacity. Lessor can choose among: done to avail of the rights and benefits of the agrarian
reform program.
(a) Surviving spouse;
(b) Eldest direct descendant by consanguinity; or Expropriation of Private Agricultural Lands by LGUs
(c) Next eldest descendant/s in order of their age
(1) The Department of Agrarian Reform (DAR) will
Leasehold is also not terminated by mere expiration of term subject the private agricultural land to agrarian
or period in the contract, or transfer of ownership or legal reform coverage, then pay just compensation to
possession of land. the landowner.

Children of the Landowner (2) DAR will distribute the land to agrarian reform
beneficiaries
If the landowner owns more than 5 hectares of agricultural
land, the excess area may be awarded to the children of the (3) LGU will expropriate the land and pay the agrarian
landowner to the extent of 3 hectares for each child under reform beneficiaries the just compensation.
the ff conditions:
Import of the Provision on Land Size Review
(a) Child is at least 15 years old;
Sec. 6-B, RA6657 is an implied recognition that the uniform
(b) He is actually tilling the land or directly managing setting of a 5-hectare limit for all agricultural landholding
the farm; may not be feasible considering the economic differences
for each type of agricultural product.
➔ A qualified child who owns less than 5 hectares is
entitled to an award of his parent’s total Acquisition and Distribution Scheme
landholding provided that his total area does not
exceed the 5-hectare ownership ceiling. Sec. 7, RA6657 – scheme for final acquisition and
distribution of all remaining agri lands (in order of priority):
➔ Lands awarded to qualified children cannot be
sold, transferred, or conveyed for a period of 10 1. Lands with area of more than 50 hectares to be
years except: completed by June 30, 2012, specifically:

(a) Through hereditary succession (a) Those which have already been subjected to a
(b) To the government Notice of Coverage on or before Dec. 10, 2008;
(c) To the Land Bank of the Philippines (b) Rice and corn lands;
(d) To other qualified beneficiaries (c) Idle or abandoned lands;
(d) Private lands voluntarily offered by the
Right of Homesteaders vis-a-vis Right of Tenants owners for agrarian reform;
(e) Lands foreclosed by government financial
(See Sec. 4, Art. XIII in relation to Sec. 6, CARL) institutions;
(f) Lands acquired by the PCCG;

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 (g) All other lands owned by the government association which will deal with the corporation by way of
devoted to or suitable for agriculture; lease or growers’ agreement and other legitimate purpose.
2. Lands with area of 24 hectares up to 50 hectares,
to be completed by June 30, 2013, specifically: Ancestral Land

(a) All alienable and disposable public agri lands; ➔ Lands of the public domain that have been in open,
(b) All arable public agri lands under agro-forest,
continuous, exclusive and notorious occupation
pasture and agri leases already cultivated and
and cultivation by members of the National
planted to crops in accordance with Sec. 6,
Art. XIII of the Constitution; Cultural Communities by themselves or through
(c) All public agri lands which are to be opened their ancestors, under a bona fide claim of
for new development and resettlement; acquisition of ownership according to their
(d) All private agri lands which have already been customs and traditions for a period of at least 30
subjected to a Notice of Coverage issued on years before the date of approval of PD410
or before Dec. 10, 2008; and
(e) All remaining private agricultural lands ➔ Lands occupied, possessed and utilized by
regardless as to whether they have been individuals, families and clans who are members
subjected to notices of coverage of the indigenous cultural communities or
indigenous peoples since time immemorial, by
3. Lands with an area of more than 10 hectares up to
themselves or through their predecessors-in-
24 hectares, to be completed by June 30, 2013;
interest, under claims of individual or traditional
4. Lands from the retention limit up to 10 hectares, to group ownership, continuously, to the present
be completed by June 30, 2014. except when interrupted by war, force majeure, or
displacement by force, deceit, stealth, or as a
Qualified Beneficiaries: Farmers and regular farmworkers consequence of government projects and other
actually tilling the land, as certified under oath by the Brgy. voluntary dealings entered into by government and
Agrarian Reform Council (BARC) and attested under oath by private individuals/corporations, including, but not
landowners limited to, residential lots, rice terraces or paddies,
private forests, swidden farms and tree lots (Sec.
The Intended beneficiary shall state under oath before the 3[b], RA8371)
judge that he/she is willing to work on the land to make it
productive and assume obligation of paying the ➔ EXEMPTED from coverage of the agrarian reform
amortization for compensation of the land and land taxes program – CARL respects systems of land
thereon. ownership, land use and modes of settling land
disputes of all ICCs, in line with the principles of
Idle or Abandoned Land self-determination and autonomy

➔ Any agricultural land not cultivated, tilted, or Exemptions from CARL Coverage
developed to produce any crop nor devoted to any
specific economic purpose continuously for a The DAR Sec. has the jurisdiction and authority to exempt
period of 3 years immediately prior to the receipt or exclude a property from the coverage of the agrarian
of notice of acquisition by the government reform program.

➔ Does not include those permanently or regularly Note: The land classification embodied in Tax Declaration
devoted to non-agricultural purposes is not conclusive, thus, are not the sole basis of land
classification. It is refutable.
➔ Does not include those unproductive by reason of
force majeure or other fortuitous event provided ➔ Land classified as non-agricultural prior to
that prior to such, the land was previously used for effectivity of CARL (June 15, 1988)
agricultural or other economic purpose
➔ Lands with at least 18% slope – considered as
Agricultural Land Possessed by Multinational Corporations permanent forests or forest reserves regardless of
condition of vegetative cover, occupancy, use
These are also subject to compulsory acquisition and
distribution, which shall be distributed directly to the Reason for exemption: prevent adverse effects on
individual worker-beneficiaries. If not economically feasible lowlands and streams resulting from soil erosion
and sound to divide the land, the individual workers-
beneficiaries shall form a workers’ cooperative or

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 ➔ School sites and campuses – the school is in the Other farmworkers – those who do not fall under the
best position to determine whether the land is concepts of farmworkers, regular farmworkers, and
necessary for use as school site or campuses seasonal farmworkers are defined under CARL (Sec. 3[j],
RA6657)
Commercial Farms Cooperatives – organizations composed primarily of small
agricultural producers, farmers, farmworkers, or other
These are lands devoted to salt beds, fruit farms, orchards, agrarian reform beneficiaries who voluntarily organize
vegetable and cut flower farms; and cacao, coffee and themselves for the purpose of pooling land, human,
rubber plantations. technological, financial or other economic resources, and
operated on the principle of one member, one vote. A
Implementation Deferred on Commercial Farms juridical person may be a member of a cooperative, with the
same rights and duties as a natural person (Sec. 3[k],
Compulsory acquisition and distribution of commercial RA6657)
farms has been deferred for 10 years:
Qualifications of Commercial Farm Beneficiaries
(a) From effectivity of CARL – for farms already
existing when the law took effect (1) 18 years old at the time of filing of the application
as beneficiary;
(b) From first year of commercial production and
operation – for new farms (2) Willingness, aptitude and ability to cultivate and
make the land productive;
Mode of Acquisition
(3) Employed in the commercial farm between June
(1) Voluntary offer to sell 15, 1988 and June 15, 1998 or upon expiration of
(2) Compulsory Acquisition the deferment
(3) Direct payment scheme
* Farmworkers who worked the longest on the land
Manner of Distribution continuously will be given priority (DAR AO 09, 1998)

➔ May be distributed individually or collectively –if Disqualified to Become Commercial Farm Beneficiaries
former, entitled to 3 hectares each or a minimum
of 1 hectare each if the land is not sufficient to (1) Farmworkers who have retired from service,
accommodate them whether optional or compulsory;

Order of priority: (2) Farmworkers who have resigned from their

employment with the farm;
(1) Agricultural lessees and share tenants;
(2) Regular farmworkers; (3) Farmworkers who have been dismissed for cause;
(3) Seasonal farmworkers;
(4) Other farmworkers; (4) Farmworkers, lessees or tenants who waive or
(5) Actual tillers or occupants of public lands; refuse to be a beneficiary;
(6) Collectives/cooperatives of above beneficiaries;
(7) Others directly working on the land. (5) Farmworkers, lessees or tenants who have
committed a violation of the agrarian reform laws
Note: Infrastructure facilities and improvements which are and regulations
necessary and beneficial to the operations of the farm may
be subject to acquisition as determined by DAR. Freedom of Beneficiaries to Choose Type of Agribusiness

Regular farmworker – natural person who is employed on a (1) To choose the type of agribusiness venture
permanent basis by an agricultural enterprise or farm (Sec. arrangement that will maintain the economic
3[h], RA6657) viability of the farm;

Seasonal farmworker – natural person who is employed on (2) To market their products or enter into marketing
a recurrent, periodic, or intermittent basis by an agricultural arrangements;
enterprise or farm, whether as a permanent or a
nonpermanent laborer, such as ‘dumaan’, ‘sacada’, and the (3) To avail of the services or assistance of
like (Sec. 3[i], RA6657) individuals, associations, or NGOs in negotiating
for the most advantageous agribusiness venture

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 arrangement, enterprise development, and
capacity building.

(SEC. 29, DAR AO 09, 1998 – TYPES OF AGRIBUSINESS)

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