What is CARP (Comprehensive Agrarian Reform Program), Or RA 6657.

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Transcript of What is CARP (Comprehensive Agrarian Reform Program), Or RA 6657.

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    CARP, or the Comprehensive Agrarian Reform Program, is the redistribution of public and private agricultural lands to

    farmers and farmworkers who are landless, irrespective of tenurial arrangement. CARP’s vision is to have an equitable

    land ownership with empowered agrarian reform beneficiaries who can effectively manage their economic and social

    development to have a better quality of life.

    ne of the ma!or programs of CARP is "and #enure $mprovement, which seeks to hasten distribution of lands to

    landless farmers. %imilarly, the &epartment offers %upport %ervices to the beneficiaries such as infrastructure facilities,

    marketing assistance program, credit assistance program, and technical support programs. 'urthermore, the

    department seeks to facilitate, resolve cases and deliver Agrarian (ustice.

    #he legal basis for CARP is the Republic Act )o. **+ otherwise known as Comprehensive Agrarian Reform "aw

    -CAR" signed by President Cora/on C. Aquino on (une 01, 0233. $t is an act which aims to promote social !ustice and

    industriali/ation, providing the mechanism for its implementation, and for other purposes.

    REPUBLIC ACT NO. 6657

    (June 10, 1988)

    AN ACT INSTITUTING A COMPREENSI!E AGRARIAN RE"ORM PROGRAM TO PROMOTE SOCIAL JUSTICE

    AN# IN#USTRIALI$ATION, PRO!I#ING TE MECANISM "OR ITS IMPLEMENTATION, AN# "OR OTER

    PURPOSES

    CAPTER I

    P%e&''n%* C+-e% 

    %4C#$) 0. #itle. 5 #his Act shall be known as the Comprehensive Agrarian Reform "aw of 0233.

    %4C#$) 6. &eclaration of Principles and Policies. 5 $t is the policy of the %tate to pursue a Comprehensive Agrarian

    Reform Program -CARP. #he welfare of the landless farmers and farmworkers will receive the highest consideration to

    promote social !ustice and to move the nation toward sound rural development and industriali/ation, and the

    establishment of owner cultivatorship of economic7si/e farms as the basis of Philippine agriculture.

    #o this end, a more equitable distribution and ownership of land, with due regard to the rights of landowners to !ust

    compensation and to the ecological needs of the nation, shall be undertaken to provide farmers and farmworkers with

    the opportunity to enhance their dignity and improve the quality of their lives through greater productivity of agricultural

    lands.

    #he agrarian reform program is founded on the right of farmers and regular farmworkers, who are landless, to own

    directly or collectively the lands they till or, in the case of other farm workers, to receive a !ust share of the fruits thereof.

    #o this end, the %tate shall encourage and undertake the !ust distribution of all agricultural lands, sub!ect to the priorities

    and retention limits set forth in this Act, having taken into account ecological, developmental, and equity considerations,

    and sub!ect to the payment of !ust compensation. #he %tate shall respect the right of small landowners, and shall

    provide incentives for voluntary land7sharing.

    #he %tate shall recogni/e the right of farmers, farmworkers and landowners, as well as cooperatives and other

    independent farmers8 organi/ations, to participate in the planning, organi/ation, and management of the program, and

    shall provide support to agriculture through appropriate technology and research, and adequate financial production,

    marketing and other support services.

    #he %tate shall apply the principles of agrarian reform, or stewardship, whenever applicable, in accordance with law, in

    the disposition or utili/ation of other natural resources, including lands of the public domain, under lease or

    concession, suitable to agriculture, sub!ect to prior rights, homestead rights of small settlers and the rights of indigenous

    communities to their ancestral lands.

    #he %tate may resettle landless farmers and farmworkers in its own agricultural estates, which shall be distributed to

    them in the manner provided by law. 9y means of appropriate incentives, the %tate shall encourage the formation and

    maintenance of economic7si/e family farms to be constituted by individual beneficiaries and small landowners. #he

    %tate shall protect the rights of subsistence fishermen, especially of local communities, to the preferential use of

    communal marine and fishing resources, both inland and offshore. $t shall provide support to such fishermen through

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    appropriate technology and research, adequate financial, production and marketing assistance and other services. The

    State shall also protect, develop and conserve such resources. The protection shall extend to offshore fishing grounds of

    subsistence fishermen against foreign intrusion. Fishworkers shall receive a just share from their labor in the utiliation

    of marine and fishing resources.

    The State shall be guided by the principles that land has a social function and land ownership has a social responsibility.

    !wners of agricultural lands have the obligation to cultivate directly or through labor administration the lands they own

    and thereby make the land productive.

    The State shall provide incentives to landowners to invest the proceeds of the agrarian reform program to promote

    industrialiation, employment and privatiation of public sector enterprises. Financial instruments used as payment for

    lands shall contain features that shall enhance negotiability and acceptability in the marketplace. The State may lease

    undeveloped lands of the public domain to qualified entities for the development of capital"intensive farms, and

    traditional and pioneering crops especially those for exports subject to the prior rights of the beneficiaries under this #ct.

    S$%T&!' (. )efinitions. *For the purpose of this #ct, unless the context indicates otherwise+

    a- #grarian eform means redistribution of lands, regardless of crops or fruits produced, to farmers and regular

    farmworkers who are landless, irrespective of tenurial arrangement, to include the totality of factors and support

    services designed to lift the economic status of the beneficiaries and all other arrangements alternative to the physical

    redistribution of lands, such as production or profit"sharing, labor administration, and the distribution of shares of stocks,

    which will allow beneficiaries to receive a just share of the fruits of the lands they work.

    b- #griculture, #gricultural $nterprise or #gricultural #ctivity means the cultivation of the soil, planting of crops, growing

    of fruit trees, raising of livestock, poultry or fish, including the harvesting of such farm products, and other farm activities

    and practices performed by a farmer in conjunction with such farming operations done by person whether natural or

     juridical.

    c- #gricultural /and refers to land devoted to agricultural activity as defined in this #ct and not classified as mineral,

    forest, residential, commercial or industrial land.

    d- #grarian )ispute refers to any controversy relating to tenurial arrangements, whether leasehold, tenancy,

    stewardship or otherwise, over lands devoted to agriculture, including disputes concerning farmworkers0 associations or

    representation of persons in negotiating, fixing, maintaining, changing, or seeking to arrange terms or conditions of suchtenurial arrangements.

    &t includes any controversy relating to compensation of lands acquired under this #ct and other terms and conditions of

    transfer of ownership from landowners to farmworkers, tenants and other agrarian reform beneficiaries, whether the

    disputants stand in the proximate relation of farm operator and beneficiary, landowner and tenant, or lessor and lessee.

    e- &dle or #bandoned /and refers to any agricultural land not cultivated, tilled or developed to produce any crop nor

    devoted to any specific economic purpose continuously for a period of three (- years immediately prior to the receipt of

    notice of acquisition by the government as provided under this #ct, but does not include land that has become

    permanently or regularly devoted to non"agricultural purposes. &t does not include land which has become unproductive

    by reason of force majeure or any other fortuitous event, provided that prior to such event, such land was previously

    used for agricultural or other economic purpose.

    f- Farmer refers to a natural person whose primary livelihood is cultivation of land or the production of agricultural crops,

    either by himself, or primarily with the assistance of his immediate farm household, whether the land is owned by him, or

    by another person under a leasehold or share tenancy agreement or arrangement with the owner thereof.

    g- Farmworker is a natural person who renders service for value as an employee or laborer in an agricultural enterprise

    or farm regardless of whether his compensation is paid on a daily, weekly, monthly or 1pakyaw1 basis. The term includes

    an individual whose work has ceased as a consequence of, or in connection with, a pending agrarian dispute and who

    has not obtained a substantially equivalent and regular farm employment.

    h- egular Farmworker is a natural person who is employed on a permanent basis by an agricultural enterprise or farm.

    i- Seasonal Farmworker is a natural person who is employed on a recurrent, periodic or intermittent basis by an

    agricultural enterprise or farm, whether as a permanent or a non"permanent laborer, such as 1dumaan1, 1sacada1, and

    the like.

    j- !ther Farmworker is a farmworker who does not fall under paragraphs

    g-, h- and i-.

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    (k) Cooperatives shall refer to organizations composed primarily of small agricultural producers, farmers, farmworkers,

    or other agrarian reform beneficiaries who voluntarily organize themselves for the purpose of pooling land, human,

    technological, financial or other economic resources, and operated on the principle of one member, one vote. A juridical

    person may be a member of a cooperative, with the same rights and duties as a natural person.

    CHAPTER II

    Coverage

    !C"#$% &. cope. ' "he Comprehensive Agrarian eform aw of *++ shall cover, regardless of tenurial

    arrangement and commodity produced, all public and private agricultural lands, as provided in -roclamation %o. **

    and !/ecutive $rder %o. 00+, including other lands of the public domain suitable for agriculture.

    1ore specifically the following lands are covered by the Comprehensive Agrarian eform -rogram2

    (a) All alienable and disposable lands of the public domain devoted to or suitable for agriculture. %o reclassification of

    forest or mineral lands to agricultural lands shall be undertaken after the approval of this Act until Congress, taking into

    account ecological, developmental and e3uity considerations, shall have determined by law, the specific limits of the

    public domain.

    (b) All lands of the public domain in e/cess of the specific limits as determined by Congress in the preceding paragraph4

    (c) All other lands owned by the 5overnment devoted to or suitable for agriculture4 and

    (d) All private lands devoted to or suitable for agriculture regardless of the agricultural products raised or that can be

    raised thereon.

    !C"#$% 6. chedule of #mplementation. ' "he distribution of all lands covered by this Act shall be implemented

    immediately and completed within ten (*7) years from the effectivity thereof.

    !C"#$% 8. etention imits. ' !/cept as otherwise provided in this Act, no person may own or retain, directly or

    indirectly, any public or private agricultural land, the size of which shall vary according to factors governing a

    viable family9size farm, such as commodity produced, terrain, infrastructure, and soil fertility as determined by the

    -residential Agrarian eform Council (-AC) created hereunder, but in no case shall retention by the landowner

    e/ceed five (6) hectares.

    "hree () hectares may be awarded to each child of the landowner, subject to the following 3ualifications2 (*) that he is

    at least fifteen (*6) years of age4 and (0) that he is actually tilling the land or directly managing the farm2 -rovided, "hat

    landowners whose lands have been covered by -residential :ecree %o. 0; shall be allowed to keep the areas originally

    retained by them thereunder2 -rovided, further, "hat original homestead grantees or their direct compulsory heirs who

    still own the original homestead at the time of the approval of this Act shall retain the same areas as long as they

    continue to cultivate said homestead.

    "he right to choose the area to be retained, which shall be compact or contiguous, shall pertain to the landowner2

    -rovided, however, "hat in case the area selected for retention by the landowner is tenanted, the tenant shall have the

    option to choose whether to remain therein or be a beneficiary in the same or another agricultural land with similar or

    comparable features. #n case the tenant chooses to remain in the retained area, he shall be considered a leaseholderand shall lose his right to be a beneficiary under this Act. #n case the tenant chooses to be a beneficiary in another

    agricultural land, he loses his right as a leaseholder to the land retained by the landowner. "he tenant must e/ercise this

    option within a period of one (*) year from the time the landowner manifests his choice of the area for retention. #n all

    cases, the security of tenure of the farmers or farmworkers on the land prior to the approval of this Act shall be

    respected.

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    Phase Two: All alienable and disposable public agricultural lands; all arable public agricultural lands under agro-forest,

    pasture and agricultural leases already cultivated and planted to crops in accordance with Section 6, Article X of the

    !onstitution; all public agricultural lands which are to be opened for new develop"ent and resettle"ent; and all private

    agricultural lands in e#cess of fifty $%&' hectares, insofar as the e#cess hectarage is concerned, to i"ple"ent principally

    the rights of far"ers and regular far"wor(ers, who are the landless, to own directly or collectively the lands they till,

    which shall be distributed i""ediately upon the effectivity of this Act, with the i"ple"entation to be co"pleted within a

    period of not "ore than four $)' years*

    Phase Three: All other private agricultural lands co""encing with large landholdings and proceeding to "ediu" and

    s"all landholdings under the following schedule:

    $a' +andholdings above twenty-four $)' hectares up to fifty $%&' hectares, to begin on the fourth $)th' year fro" the

    effectivity of this Act and to be co"pleted within three $' years; and

    $b' +andholdings fro" the retention li"it up to twenty-four $)' hectares, to begin on the si#th $6th' year fro" the

    effectivity of this Act and to be co"pleted within four $)' years; to i"ple"ent principally the right of far"ers and regular

    far"wor(ers who are landless, to own directly or collectively the lands they till*

    The schedule of ac.uisition and redistribution of all agricultural lands covered by this progra" shall be "ade in

    accordance with the above order of priority, which shall be provided in the i"ple"enting rules to be prepared by the

    Presidential Agrarian /efor" !ouncil $PA/!', ta(ing into consideration the following; the need to distribute land to the

    tillers at the earliest practicable ti"e; the need to enhance agricultural productivity; and the availability of funds andresources to i"ple"ent and support the progra"*

    n any case, the PA/!, upon reco""endation by the Provincial Agrarian /efor" !oordinating !o""ittee $PA/!!01',

    "ay declare certain provinces or region as priority land refor" areas, in which the ac.uisition and distribution of private

    agricultural lands therein "ay be i"ple"ented ahead of the above schedules* n effecting the transfer within these

    guidelines, priority "ust be given to lands that are tenanted*

    The PA/! shall establish guidelines to i"ple"ent the above priorities and distribution sche"e, including the

    deter"ination of who are .ualified beneficiaries: Provided, That an owner-tiller "ay be a beneficiary of the land he does

    not own but is actually cultivating to the e#tent of the difference between the area of the land he owns and the award

    ceiling of three $' hectares*

    S2!T03 4* 1ultinational !orporations* 5 All lands of the public do"ain leased, held or possessed by "ultinational

    corporations or associations, and other lands owned by the govern"ent or by govern"ent-owned or

    controlled corporations, associations, institutions, or entities, devoted to e#isting and operational agri-business or agro-

    industrial enterprises, operated by "ultinational corporations and associations, shall be progra""ed for ac.uisition and

    distribution i""ediately upon the effectivity of this Act, with the i"ple"entation to be co"pleted within three $' years*

    +ands covered by the paragraph i""ediately preceding, under lease, "anage"ent, grower or service contracts, and

    the li(e, shall be disposed of as follows:

    $a' +ease, "anage"ent, grower or service contracts covering such lands covering an aggregate area in e#cess of ,&&&

    hectares, leased or held by foreign individuals in e#cess of %&& hectares are dee"ed a"ended to confor" with the li"its

    set forth in Section of Article X of the !onstitution*

    $b' !ontracts covering areas not in e#cess of ,&&& hectares in the case of such corporations and associations, and %&&

    hectares, in the case of such individuals, shall be allowed to continue under their original ter"s and

    conditions but not beyond August 7, 77, or their valid ter"ination, whichever co"es sooner, after which, such

    agree"ents shall continue only when confir"ed by the appropriate govern"ent agency* Such contracts shall li(ewise

    continue even after the lands has been transferred to beneficiaries or awardees thereof, which transfer shall be

    i""ediately co""enced and i"ple"ented and co"pleted within the period of three $' years "entioned in the first

    paragraph hereof*

    $c' n no case will such leases and other agree"ents now being i"ple"ented e#tend beyond August 7, 77, when all

    lands sub8ect hereof shall have been distributed co"pletely to .ualified beneficiaries or awardees* Such agree"ents cancontinue thereafter only under a new contract between the govern"ent or .ualified beneficiaries or awardees, on the

    one hand, and said enterprises, on the other* +ands leased, held or possessed by "ultinational corporations, owned

    by private individuals and private non-govern"ental corporations, associations, institutions and entities, citi9ens of the

    Philippines, shall be sub8ect to i""ediate co"pulsory ac.uisition and distribution upon the e#piration of the applicable

    lease, "anage"ent, grower or service contract in effect as of August 7, 74, or otherwise, upon its valid ter"ination,

    whichever co"es sooner, but not later than after ten $&' years following the effectivity of the Act* owever during the

    said period of effectivity, the govern"ent shall ta(e steps to ac.uire these lands for i""ediate distribution thereafter*

    n general, lands shall be distributed directly to the individual wor(erbeneficiaries* n case it is not econo"ically feasible

    and sound to divide the land, then they shall for" a wor(ers< cooperative or association which will deal with

    the corporation or business association or any other proper party for the purpose of entering into a lease or growers

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    agreement and for all other legitimate purposes. Until a new agreement is entered into by and between the workers'

    cooperative or association and the corporation or business association or any other proper party, any agreement

    existing at the time this Act takes effect between the former and the previous landowner shall be respected by both the

    workers' cooperative or association and the corporation, business, association or such other proper party. In no case

    shall the implementation or application of this Act justify or result in the reduction of status or diminution of any benefits

    received or enjoyed by the workerbeneficiaries, or in which they may have a vested right, at the time this Act becomes

    effective,.

    !he provisions of "ection #$ of this Act, with regard to production and incomesharing shall apply to farms operated by

    multinational corporations. %uring the transition period, the new owners shall be assisted in their efforts to learn modern

    technology in production. &nterprises which show a willingness and commitment and goodfaith efforts to impart

    voluntarily such advanced technology will be given preferential treatment where feasible.

    In no case shall a foreign corporation, association, entity or individual enjoy any rights or privileges better than those

    enjoyed by a domestic corporation, association, entity or individual.

    "&!I() *. Ancestral +ands. -or purposes of this Act, ancestral lands of each indigenous cultural community shall

    include, but not be limited to, lands in the actual, continuous and open possession and occupation of the community and

    its members /rovided, !hat the !orrens "ystems shall be respected. !he right of these communities to their ancestral

    lands shall be protected to ensure their economic, social and cultural wellbeing. In line with the principles of self

    determination and autonomy, the systems of land ownership, land use, and the modes of settling land disputes of all

    these communities must be recogni0ed andrespected.

     Any provision of law to the contrary notwithstanding, the /A1 may suspend the implementation of this Act with respect

    to ancestral lands for the purpose of identifying and delineating such lands /rovided, !hat in the autonomous regions,

    the respective legislatures may enact their own laws on ancestral domain subject to the provisions of the onstitution

    and the principles enunciated in this Act and other national laws.

    "&!I() 23. &xemptions and &xclusions. +ands actually, directly and exclusively used and found to be necessary

    for parks, wildlife, forest reserves, reforestation, fish sanctuaries and breeding grounds, watersheds, and

    mangroves, national defense, school sites and campuses including experimental farm stations operated by public or

    private schools for educational purposes, seeds and seedlings research and pilot production centers, church sites and

    convents appurtenant thereto, mos4ue sites and Islamic centers appurtenant thereto, communal burial grounds

    and cemeteries, penal colonies and penal farms actually worked by the inmates, government and private research and

    4uarantine centers and all lands with eighteen percent 52678 slope and over, except those already developed shall be

    exempt from the coverage of the Act.

    "&!I() 22. ommercial -arming. ommercial farms, which are private agricultural lands devoted to commercial

    livestock, poultry and swine raising, and a4uaculture including saltbeds, fishponds and prawn ponds, fruit farms,

    orchards, vegetable and cutflower farms, and cacao, coffee and rubber plantations, shall be subject to immediate

    compulsory ac4uisition and distribution after 5238 years from the effectivity of the Act. In the case of new farms, the ten

    year period shall begin from

    the first year of commercial production and operation, as determined by the %A1. %uring the tenyear period, the

    government shall initiate the steps necessary toac4uire these lands, upon payment of just compensation for the land and the improvements thereon, preferably in favor

    of organi0ed cooperatives or associations,

    which shall hereafter manage the said lands for the workerbeneficiaries. If the %A1 determines that the purposes for

    which this deferment is granted no

    longer exist, such areas shall automatically be subject to redistribution. !he provisions of "ection #$ of the Act, with

    regard to productionand incomesharing,

    shall apply to commercial farms.

    CHAPTER III

    Improvement of Tenurial and Labor Relations

    "&!I() 2$. %etermination of +ease 1entals. In order to protect and improve the tenurial and economic status of the

    farmers in tenanted lands under the retention limit and lands not yet ac4uired under this Act, the %A1 is mandated

    to determine and fix immediately the lease rentals thereof in accordance with "ection #9 of 1epublic Act )o. #699, as

    amended /rovided, !hat the %A1 shall immediately and periodically review and adjust the rental structure for different

    crops, including rice and corn, or different regions in order to improve progressively the conditions of the farmer, tenant

    or lessee.

    "&!I() 2#. /roduction"haring /lan. Any enterprise adopting the scheme provided for in "ection #$ or operating

    under a production venture, lease, management contract or other similar arrangement and any farm covered by

    "ections 6 and 22 hereof is hereby mandated to execute within ninety 5*38 days from the effectivity of this Act, a

    productionsharing plan, under guidelines prescribed by the appropriate government agency.

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    Nothing herein shall be construed to sanction the diminution of any benefits such as salaries, bonuses, leaves and

    working conditions granted to the employeebeneficiaries

    under existing laws, agreements, and voluntary practice by the enterprise, nor shall the enterprise and its employee-

    beneficiaries be prevented from entering into any agreement with terms more favorable to the latter.

    CHAPTER IV

    Registration

    SEC!"N #$. %egistration of &andowners. '(ithin one hundred eighty )#*+ days from the effectivity of this ct, all

    persons, natural or uridical, including government entities, that own or claim to own agricultural lands, whether in their

    names or in the name of others, except those who have already registered pursuant to Executive "rder No. //0, who

    shall be entitled to such incentives as may be provided for the 1%C, shall file a sworn statement in the proper

    assessor2s office in the form to be prescribed by the 3%, stating the following information4

    )a the description and area of the property5

    )b the average gross income from the property for at least three )6 years5

    )c the names of all tenants and farmworkers therein5 cda

    )d the crops planted in the property and the area covered by each crop as of 7une #, #0*85

    )e the terms of mortgages, lease, and management contracts subsisting as of 7une #, #0*8, and

    )f the latest declared market value of the land as determined by the city or provincial assessor.

    SEC!"N #9. %egistration of :eneficiaries. ' he 3% in coordination with the :arangay grarian %eform Committee):%C as organi;ed in this ct, shall register all agricultural lessees, tenants and farmworkers who are

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    (f) Any party who disagrees with the decision may bring the matter to the court of proper jurisdiction for final

    determination of just compensation.

    CHAPTER VI

    Compensation

    SECTI! "#. $etermination of %ust Compensation. &In determining just compensation' the cost of acuisition of the

    land' the current alue of the li*e properties' its nature' actual use and income' the sworn aluation by the owner' the ta+

    declarations' and the assessment made by goernment assessors shall be considered. The social and economic

    benefits contributed by the farmers and the farmwor*ers and by the ,oernment to the property as well as the non-

    payment of ta+es or loans secured from any goernment f inancing institution on the said land shall be considered as

    additional factors to determine its aluation.

    SECTI! ". /aluation and 0ode of Compensation. &The 123 shall compensate the landowner in such amounts as

    may be agreed upon by the landowner and the $A4 and the 123' in accordance with the criteria proided for in

    Sections "5 and "#' and other pertinent proisions hereof' or as may be finally determined by the court' as the just

    compensation for the land.

    The compensation shall be paid on one of the following modes' at the option of the landowner6

    (") Cash payment' under the following terms and conditions7

    (a) 8or lands aboe & Twenty-fie percent fifty (9:) hectares' insofar (;9) hectares the balance to be paid in and up to fifty (9:)

    hectares. goernment financial instruments negotiable at any time.

    (c) 8or lands twenty-four & Thirty-fie percent (=9) hectares and below. cash' the balance to be paid in

    goernment financial instruments negotiable at any time.

    (;) Shares of stoc* in goernment-owned or controlled corporations' 123 preferred shares' physical assets or other

    ualified inestments in accordance with guidelines set by the 3A4C7

    (=) Ta+ credits which can be used against any ta+ liability7

    (>) 123 bonds' which shall hae the following features6

    (a) 0ar*et interest rates aligned with ?"-day treasury bill rates. Ten percent (":

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    (a) All notices for voluntary land transfer must be submitted to the DAR within the first year of the implementation of the

    CARP. Negotiations between the landowners and ualified beneficiaries covering any voluntary land transfer which

    remain unresolved after one (!) year shall not be recogni"ed and such land shall instead be acuired by the government

    and transferred pursuant to this Act.

    (b) #he terms and conditions of such transfer shall not be less favorable to the transferee than those of the

    government$s standing offer to purchase from the landowner and to resell to the beneficiaries% if such offers have been

    made and are fully &nown to both parties.

    (c) #he voluntary agreement shall include sanctions for non'compliance by either party and shall be duly recorded and

    its implementation monitored by the DAR.

    C#*+N ,!. Payment of Compensation by -eneficiaries nder /oluntary 0and #ransfer. 1Direct payments in cash or

    in &ind may be by the farmer'beneficiary to the landowner under terms to be mutually agreed upon by both parties%

    which shall be binding upon them% upon registration with the approval by the DAR. aid approval shall be considered

    given% unless notice of disapproval is received by the farmer'beneficiary within thirty (23) days from the date of

    registration. *n the event they cannot agree on the price of land% the procedure for compulsory acuisition as provided in

    ection !4 shall apply. #he 0-P shall e5tend financing to the beneficiaries for purposes of acuiring the land.

    CHAPTER VII

    Land Redistribution

    C#*+N ,,. 6ualified -eneficiaries. 1 #he lands covered by the CARP shall be distributed as much as possible to

    landless residents of the same barangay% or in the absence thereof% landless residents of the same municipality in the

    following order of priority7 (a) agricultural lessees and share tenants8 (b) regular farmwor&ers8 (c) seasonal

    farmwor&ers8 (d) other farmwor&ers8 (e) actual tillers or occupants of public lands8 (f) collectives or cooperatives of the

    above beneficiaries8 and (g) others directly wor&ing on the land. Provided% however% #hat the children of landowners

    who are ualified under ection 4 of this Act shall be given preference in the distribution of the land of their parents7

    and Provided% further% #hat actual tenant'tillers in the landholdings shall not be e9ected or removed therefrom.

    -eneficiaries under Presidential Decree No. ,: who have culpably sold% disposed of% or abandoned their land are

    disualified to become beneficiaries under this Program. A basic ualification of a beneficiary shall be his willingness%

    aptitude% and ability to cultivate and ma&e the land as productive as possible. #he DAR shall adopt a system ofmonitoring the record or performance of each beneficiary% so that any beneficiary guilty of negligence or misuse of the

    land or any support e5tended to him shall forfeit his right to continue as such beneficiary. #he DAR shall submit periodic

    reports on the performance of the beneficiaries to the PARC. *f% due to the landowner$s retention rights or to the

    number of tenants% lessees% or wor&ers on the land% there is not enough land to accommodate any or some of them%

    they may be granted ownership of other lands available for distribution under this Act% at the option of the beneficiaries.

    ;armers already in place and those not accommodated in the distribution of privately'owned lands will be given

    preferential rights in the distribution of lands from the public domain.

    C#*+N ,2. Distribution 0imit. 1 No ualified beneficiary may own more than three (2) hectares of agricultural land.

    C#*+N ,. Award Ceilings for -eneficiaries. 1-eneficiaries shall be awarded an area not e5ceeding three (2)

    hectares which may cover a contiguous tract of land or several parcels of land cumulated up to the prescribed award

    limits. ;or purposes of this Act% a landless beneficiary is one who owns less than three (2) hectares of agricultural land.

    #he beneficiaries may opt for collective ownership% such as co'ownership or farmers cooperative or some other form of

    collective organi"ation7 Provided% #hat the total area that may be awarded shall not e5ceed the total number of co'

    owners or member of the cooperative or collective organi"ation multiplied by the award limit above prescribed% e5cept

    in meritorious cases as determined by the PARC. #itle to the property shall be issued in the name of the co'owners orthe cooperative or collective organi"ation as the case may be.

    C#*+N ,4. Payment by -eneficiaries. 10ands awarded pursuant to this Act shall be paid for by the beneficiaries to

    the 0-P in thirty (23) annual amorti"ations at si5 percent (4?) interest per annum. #he payments for the first three (2)

    years after the award may be at reduced amounts as established by the PARC7 Provided% #hat the first five (>) annual

    payments may not be more than five percent (>?) of the value of the annual gross production as established by the

    DAR. hould the scheduled annual payments after the fifth year e5ceed ten percent (!3?) of the annual gross

    production and the failure to produce accordingly is not due to the beneficiary$s fault% the 0-P may reduce the interest

    rate or reduce the principal obligations to ma&e the repayment affordable. #he 0-P shall have a lien by way of

    mortgage on the land awarded to the beneficiary8 and this mortgage may be foreclosed by the 0-P for non'payment of

    an aggregate of three (2) annual amorti"ations. #he 0-P shall advise the DAR of such proceedings and the latter shall

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    subsequently award the forfeited landholdings to other qualified beneficiaries. A beneficiary whose land, as provided

    herein, has been foreclosed shall thereafter be permanently disqualified from becoming a beneficiary under this Act. cd

    SECTI! "#. Transferability of Awarded $ands. %$ands acquired by beneficiaries under this Act may not be sold,

    transferred or conveyed e&cept through hereditary succession, or to the government, or the $'(, or to other qualified

    beneficiaries for a period of ten )*+ years- (rovided, however, That the children or the spouse of the transferor shall

    have a right to repurchase the land from the government or $'( within a period of two )" years. ue notice of the

    availability of the land shall be given by the $'( to the 'arangay Agrarian /eform Committee )'A/C of the barangay

    where the land is situated. The (rovincial Agrarian /eform Coordinating Committee )(A/CC0 as herein provided,

    shall, in turn, be given due notice thereof by the 'A/C. If the land has not yet been fully paid by the beneficiary, the

    rights to the land may be transferred or conveyed, with prior approval of the A/, to any heir of the beneficiary or to

    any other beneficiary who, as a condition for such transfer or conveyance, shall cultivate the land himself. 1ailing

    compliance herewith, the land shall be transferred to the $'( which shall give due notice of the availability of the land

    in the manner specified in the immediately preceding paragraph. In the event of such transfer to the $'(, the latter shall

    compensate the beneficiary in one lump sum for the amounts the latter has already paid, together with the value of

    improvements he has made on the land.

    SECTI! "2. Standing Crops at the Time of Acquisition. %The landowner shall retain his share of any standing crops

    unharvested at the time the A/ shall ta3e possession of the land under Section *4 of the Act, and shall be given a

    reasonable time to harvest the same.

    CHAPTER VIII

    Corporate Farms

    SECTI! "5. 1arms wned or perated by Corporations or ther 'usiness Associations. %In the case of farms

    owned or operated by corporations or other business associations, the following rules shall be observed by the (A/C-

    In general, lands shall be distributed directly to the individual wor3er6beneficiaries. In case it is not economically feasible

    and sound to divide the land, then it shall be owned collectively by the wor3ers7 cooperative or association which will

    deal with the corporation or business association. 8ntil a new agreement is entered into by and between the wor3ers7

    cooperative or association and the corporation or business association, any agreement e&isting at the time this Act ta3es

    effect between the former and the previous landowner shall be respected by both the wor3ers7 cooperative or

    association and the corporation or business association.

    SECTI! 9+. :omelots and 1armlots for 0embers of Cooperatives. % The individual members of the cooperatives or

    corporations mentioned in the preceding section shall be provided with homelots and small farmlots for their family use,

    to be ta3en from the land owned by the cooperative or corporation.

    SECTI! 9*. Corporate $andowners. %Corporate landowners may voluntarily transfer ownership over their agricultural

    landholdings to the /epublic of the (hilippines pursuant to Section "+ hereof or to qualified beneficiaries, under such

    terms and conditions, consistent with this Act, as they may agree upon, sub;ect to confirmation by the A/. 8pon

    certification by the A/, corporations owning agricultural lands may give their qualified beneficiaries the right to

    purchase such proportion of the capital stoc3 of the corporation that the agricultural land, actually devoted to agricultural

    activities, bears in relation to the company7s total assets, under such terms and conditions as may be agreed upon by

    them. In no case shall the compensation received by the wor3ers at the time the shares of stoc3s are distributed bereduced. The same principle shall be applied to associations, with respect to their equity or participation. Corporations or

    associations which voluntarily divest a proportion of their capital stoc3, equity or participation in favor of their wor3ers or

    other qualified beneficiaries under this section shall be deemed to have complied with the provisions of the Act-

    (rovided, That the following conditions are complied with- a In order to safeguard the right of beneficiaries who own

    shares of stoc3s to dividends and other financial benefits, the boo3s of the corporation or association shall be sub;ect to

    periodic audit by certified public accountants chosen by the beneficiaries< b Irrespective of the value of their equity in

    the corporation or association, the beneficiaries shall be assured of at least one )* representative in the board of

    directors, or in a management or e&ecutive committee, if one e&ists, of the corporation or association< and c Any shares

    acquired by such wor3ers and beneficiaries shall have the same rights and features as all other shares. d Any transfer

    of shares of stoc3s by the original beneficiaries shall be void ab initio unless said transaction is in favor of a qualified and

    registered beneficiary within the same corporation. If within two )" years from the approval of this Act, the land or stoc3

    transfer envisioned above is not made or reali=ed or the plan for such stoc3 distribution approved by the (A/C within

    the same period, the agricultural land of the corporate owners or corporation shall be sub;ect to the compulsory

    coverage of this Act. acd

    SECTI! 9". (roduction6Sharing. %(ending final land transfer, individuals or entities owning, or operating under lease

    or management contract, agricultural lands are hereby mandated to e&ecute a production6sharing plan with their farm

    wor3ers or farmwor3ers7 reorgani=ation, if any, whereby three percent )9> of the gross sales from the production of

    such lands are distributed within si&ty )4+ days of the end of the fiscal year as compensation to regular and other

    farmwor3ers in such lands over and above the compensation they currently receive- (rovided, That these individuals or

    entities reali=e gross sales in e&cess of five million pesos per annum unless the A/, upon proper application,

    determines a lower ceiling. In the event that the individual or entity reali=es a profit, an additional ten percent )*+> of

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    the net profit after tax shall be distributed to said regular and other farmworkers within ninety (90) days of the end of the

    fiscal year. To forestall any disruption in the normal operation of lands to be turned over to the farmworker-beneficiaries

    mentioned above a transitory period the length of which shall be determined by the !"# shall be established. !uring

    this transitory period at least one percent ($%) of the gross sales of the entity shall be distributed to the managerial

    supervisory and technical group in place at the time of the effectivity of this "ct as compensation for such transitory

    managerial and technical functions as it will perform pursuant to an agreement that the farmworker-beneficiaries and

    the managerial supervisory and technical group may conclude sub&ect to the approval of the !"#.

    'T*+, . ayment of 'hares of ooperative or "ssociation. / 'hares of a cooperative or association acuired by

    farmers-beneficiaries or workersbeneficiaries shall be fully paid for in an amount corresponding to the valuation as

    determined in the immediately succeeding section. The landowner and the 12 shall assist the farmers-beneficiaries

    and workers-beneficiaries in the payment for said shares by providing credit financing.

    'T*+, 3. 4aluation of 1ands. /" valuation scheme for the land shall be formulated by the "# taking into

    account the factors enumerated in 'ection $5 in addition to the need to stimulate the growth of cooperatives and the

    ob&ective of fostering responsible participation of the workers-beneficiaries in the creation of wealth. *n the determination

    of price that is &ust not only to the individuals but to society as well the "# shall consult closely with the landowner

    and the workersbeneficiaries. *n case of disagreement the price as determined by the "# if accepted by the

    workers-beneficiaries shall be followed without pre&udice to the landowner6s right to petition the 'pecial "grarian ourt

    to resolve the issue of valuation.

    CHAPTER IXSupport Services

    'T*+, 7. reation of 'upport 'ervices +ffice. / There is hereby created the +ffice of 'upport 'ervices under the

    !"# to be headed by an 8ndersecretary. The +ffice shall provide general support and coordinative services in the

    implementation of the program particularly in carrying out the provisions of the following services to farmer-beneficiaries

    and affected landowners $) *rrigation facilities especially second crop or dry season irrigation facilities: ;) *nfrastructure

    development and public works pro&ects in areas and settlements that come under agrarian reform and for this purpose

    the preparation of the physical development plan of such settlements providing suitable barangay sites potable water

    and power resources irrigation systems and other facilities for a sound agricultural development plan: ) ) romoting developing and

    extending financial assistance to small-and medium-scale industries in agrarian reform areas: 5) "ssigning sufficient

    numbers of agricultural extension workers to farmers6 organi=ations: ?) 8ndertake research development and

    dissemination of information on agrarian reform and low-cost and ecologically sound farm inputs and technologies to

    minimi=e reliance on expensive and imported agricultural inputs: 9) !evelopment of cooperative management skills

    through intensive training: $0) "ssistance in the identification of ready markets for agricultural produce and training in

    other various prospects of marketing: and cdtai $$) "dministration operation management and funding of support

    services programs and pro&ects including pilot pro&ects and models related to agrarian reform as developed by the !"#.

    'T*+, >. @unding for 'upport 'ervices. /*n order to cover the expenses and cost of support services at least

    twenty-five percent (;7%) of all appropriations for agrarian reform shall be immediately set aside and made available for

    this purpose. *n addition the !"# shall be authori=ed to package proposals and receive grants aid and other forms offinancial assistance from any source.

    'T*+, 5. 'upport 'ervices to the 2eneficiaries. / The "# shall ensure that support services to farmers-

    beneficiaries are provided such as (a) 1and surveys and titling: (b) 1iberali=ed terms on credit facilities and production

    loans: (c) xtension services by way of planting cropping production and postharvest technology transfer as well as

    marketing and management assistance and support to cooperatives and farmers6 organi=ations: (d) *nfrastructure such

    as access trails mini-dams public utilities marketing and storage facilities: and (e) #esearch production and use of

    organic fertili=ers and other local substances necessary in farming and cultivation. The "# shall formulate policies to

    ensure that support services to farmerbeneficiaries shall be provided at all stages of land reform. The 2agong Ailusang

    Aabuhayan sa Aaunlaran (2AAA) 'ecretariat shall be transferred and attached to the 12 for its supervision including

    all its applicable and existing funds personnel properties euipment and records. Bisuse or diversion of the financial

    and support services herein provided shall result in sanctions against the beneficiary guilty thereof including the

    forfeiture of the land transferred to him or lesser sanctions as may be provided by the "# without pre&udice to

    criminal prosecution.

    'T*+, ?. 'upport 'ervices to 1andowners. /The "# with the assistance of such other government agencies

    and instrumentalities as it may direct shall provide landowners affected by the "# and prior agrarian reform

    programs with the following services (a) *nvestment information financial and counseling assistance: (b) @acilities

    programs and schemes for the conversion or exchange of bonds issued for payment of the lands acuired with stocks

    and bonds issued by the ,ational

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    of the sale of such lands for rural industrialization. A landowner who invests in rural-based industries shall be entitled to

    the incentives granted to a registered enterprise engaged in a pioneer or preferred area of investment as provided for in

    the Omnibus Investment Code of 198! or to such other incentives as the "A#C! the $%"! or other government financial

    institutions ma& provide. 'he $%" shall redeem a landowner(s $%" bonds at face value! provided that the proceeds

    thereof shall be invested in a %OI-registered compan& or in an& agribusiness or agro-industrial enterprise in the region

    where the landowner has previousl& made investments! to the e)tent of thirt& percent *+, of the face value of said

    $%" bonds! sub/ect to guidelines that shall be issued b& the $%".

    0C'IO2 +9. $and Consolidation. 3 'he 4A# shall carr& out land consolidation pro/ects to promote e5ual distribution

    of landholdings! to provide the needed infrastructures in agriculture! and to conserve soil fertilit& and prevent erosion.

    CHAPTER X

    Special Areas of Concern

    0C'IO2 6,. 0pecial Areas of Concern. 3 As an integral part of the Comprehensive Agrarian #eform "rogram! the

    following principles in these special areas of concern shall be observed7

    *1 0ubsistence ishing. 30mall fisherfol! including seaweed farmers! shall be assured of greater access to the

    utilization of water resources.

    *: $ogging and ;ining Concessions. 30ub/ect to the re5uirement of a balanced ecolog& and conservation of water

    resources! suitable areas! as determined b& the 4epartment of nvironment and 2atural #esources *42#! in logging!mining and pasture areas! shall be opened up for agrarian settlements whose beneficiaries shall be re5uired to

    undertae reforestation and conservation production methods. 0ub/ect to e)isting laws! rules and regulations! settlers

    and members of tribal communities shall be allowed to en/o& and e)ploit the products of the forest other than timer

    within the logging concessions.

    *+ 0parsel& Occupied "ublic Agricultural $ands. 30parsel& occupied agricultural lands of the public domain shall be

    surve&ed! proclaimed and developed as farm settlements for 5ualified landless people based on an organized program

    to ensure their orderl& and earl& development. cda Agricultural land allocations shall be made for ideal famil&-size farms

    as determined b& the "A#C. "ioneers and other settlers shall be treated e5uall& in ever& respect. 0ub/ect to the prior

    rights of 5ualified beneficiaries! uncultivated lands of the public domain shall be made available on a lease basis to

    interested and 5ualified parties. "arties who will engaged in the development of capitalintensive! traditional or pioneering

    crops shall be given priorit&. 'he lease period! which shall not be more than a total of fift& *

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    SECTION 42. Executive Committee. — There shall be an Executive Committee (EXCOM o! the "#$C com%ose& o! the

    Secretar' o! the #$ as Chairman) an& such other members as the "resi&ent ma' &esi*nate) ta+in* into account #rticle

    XIII) Section , o! the Constitution. -nless otherise &irecte& b' "#$C) the EXCOM ma' meet an& &eci&e on an' an& all

    matters in beteen meetin*s o! the "#$C/ "rovi&e&) hoever) That its &ecisions must be re%orte& to the "#$C

    imme&iatel' an& not later than the next meetin*.

    SECTION 40. Secretariat. — # "#$C Secretariat is hereb' establishe& to %rovi&e *eneral su%%ort an& coor&inative

    services such as inter1a*enc' lin+a*es %ro*ram an& %ro3ect a%%raisal an& evaluation an& *eneral o%erations monitorin*

    !or the "#$C. The Secretariat shall be hea&e& b' the Secretar' o! #*rarian $e!orm ho shall be assiste& b' an

    -n&ersecretar' an& su%%orte& b' a sta!! hose com%osition shall be &etermine& b' the "#$C Executive Committee

    an& hose com%ensation shall be char*eable a*ainst the #*rarian $e!orm un&. #ll o!!icers an& em%lo'ees o! the

    Secretariat shall be a%%ointe& b' the Secretar' o! #*rarian $e!orm.

    SECTION 44. "rovincial #*rarian $e!orm Coor&inatin* Committee ("#$CCOM. — # "rovincial #*rarian $e!orm

    Coor&inatin* Committee ("#$CCOM is hereb' create& in each %rovince) com%ose& o! a Chairman) ho shall be

    a%%ointe& b' the "resi&ent u%on the recommen&ation o! the EXCOM) the "rovincial #*rarian $e!orm O!!icer as

    Executive O!!icer) an& one re%resentative each !rom the e%artments o! #*riculture) an& o! Environment an& Natural

    $esources an& !rom the 56") one re%resentative each !rom existin* !armers7 or*ani8ations) a*ricultural coo%eratives

    an& non1*overnmental or*ani8ations in the %rovince to re%resentatives !rom lan&oners) at least one o! hom shall

    be a %ro&ucer re%resentin* the %rinci%al cro% o! the %rovince) an& to re%resentatives !rom !armer an& !armor+er1

    bene!iciaries) at least one o! hom shall be a !armer or !armor+er re%resentin* the %rinci%al cro% o! the %rovince) as

    members/ "rovi&e&) That in areas here there are cultural communities) the latter shall li+eise have onere%resentative. The "#$CCOM shall coor&inate an& monitor the im%lementation o! the C#$" in the %rovince. It shall

    %rovi&e in!ormation on the %rovisions o! the C#$") *ui&elines issue& b' the "#$C an& on the %ro*ress o! the C#$" in

    the %rovince.

    SECTION 4,. "rovince1b'1"rovince Im%lementation. — The "#$C shall %rovi&e the *ui&elines !or a %rovince1b'1

    %rovince im%lementation o! the C#$". The ten1'ear %ro*ram o! &istribution o! %ublic an& %rivate lan&s in each %rovince

    shall be a&3uste& !rom 'ear b' the %rovince7s "#$CCOM in accor&ance ith the level o! o%erations %reviousl'

    establishe& b' the "#$C) in ever' case ensurin* that su%%ort services are available or have been %ro*ramme& be!ore

    actual &istribution is e!!ecte&.

    SECTION 49. 6aran*a' #*rarian $e!orm Committee (6#$C. — -nless otherise %rovi&e& in this #ct) the %rovisions o!

    Executive Or&er No. 22: re*ar&in* the or*ani8ation o! the 6aran*a' #*rarian $e!orm Committee (6#$C shall be in

    e!!ect.

    SECTION 4;. unctions o! the 6#$C. — In a&&ition to those %rovi&e& in Executive Or&er No. 22:) the 6#$C shall have

    the !olloin* !unctions/ (a Me&iate an& conciliate beteen %arties involve& in an a*rarian &is%ute inclu&in* matters

    relate& to tenurial an& !inancial arran*ements ac& (b #ssist in the i&enti!ication o! . 5e*al #ssistance. — The 6#$C or an' member thereo! ma') henever necessar' in the exercise o! an'

    o! its !unctions hereun&er) see+ the le*al assistance o! the #$ an& the %rovincial) cit') or munici%al *overnment.

    SECTION 4:. $ules an& $e*ulations. — The "#$C an& the #$ shall have the %oer to issue rules an& re*ulations)

    hether substantive or %roce&ural) to carr' out the ob3ects an& %ur%oses o! this #ct. Sai& rules shall ta+e e!!ect ten (?=

    &a's a!ter %ublication in to (2 national nes%a%ers o! *eneral circulation.

    CHAPTER XII

    Administrative Adjudication

    SECTION ,=. @uasi1Au&icial "oers o! the #$. — The #$ is hereb' veste& ith the %rimar' 3uris&iction to &etermine

    an& a&3u&icate a*rarian re!orm matters an& shall have exclusive ori*inal 3uris&iction over all matters involvin* the

    im%lementation o! a*rarian re!orm exce%t those !allin* un&er the exclusive 3uris&iction o! the e%artment o! #*riculture

    (# an& the e%artment o! Environment an& Natural $esources (EN$. It shall not be boun& b' technical rules o!

    %roce&ure an& evi&ence but shall %rocee& to hear an& &eci&e all cases) &is%utes or controversies in a most ex%e&itious

    manner) em%lo'in* all reasonable means to ascertain the !acts o! ever' case in accor&ance ith 3ustice an& e

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    a&minister oaths) ta+e testimon') re

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    SECTION 9?. "roce&ure on $evie. — $evie b' the Court o! #%%eals or the Su%reme Court) as the case ma' be)

    shall be *overne& b' the $ules o! Court. The Court o! #%%eals) hoever) ma' re. Immunit' o! Bovernment #*encies !rom -n&ue Inter!erence. — No in3unction) restrainin* or&er)

    %rohibition or man&amus shall be issue& b' the loer courts a*ainst the e%artment o! #*rarian $e!orm (#$) the

    e%artment o! #*riculture (#) the e%artment o! Environment an& Natural $esources (EN$) an& the e%artment o!

    Austice (OA in their im%lementation o! the %ro*ram.

    SECTION 9:. #ssistance o! Other Bovernment Entities. — The "#$C) in the exercise o! its !unctions) is hereb'

    authori8e& to call u%on the assistance an& su%%ort o! other *overnment a*encies) bureaus an& o!!ices) inclu&in*

    *overnmentone& or 1controlle& cor%orations.

    SECTION ;=. is%osition o! "rivate #*ricultural 5an&s. — The sale or &is%osition o! a*ricultural lan&s retaine& b' a

    lan&oner as a conse

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    SECTION 72. Lease, Management, Grower or Service Contracts, Mortgages and Other Claims. Lands covered !"

    this #ct $nder lease, management, grower or service contracts, and the li%e shall !e dis&osed o' as 'ollows( )a* Lease,

    management, grower or service contracts covering &rivate lands ma" contin$e $nder their original terms and conditions

    $ntil the e+&iration o' the same even i' s$ch land has, in the meantime, !een trans'erred to $ali'ied !ene'iciaries. )!*

    Mortgages and other claims registered with the -egister o' eeds shall !e ass$med !" the government $& to an amo$nt

    e$ivalent to the landowner/s com&ensation val$e as &rovided in this #ct.

    SECTION 70. 1rohi!ited #cts and Omissions. The 'ollowing are &rohi!ited( )a* The ownershi& or &ossession, 'or the

    &$r&ose o' circ$mventing the &rovisions o' this #ct, o' agric$lt$ral lands in e+cess o' the total retention limits or award

    ceilings !" an" &erson, nat$ral or $ridical, e+ce&t those $nder collective ownershi& !" 'armer3!ene'iciaries. )!* The

    'orci!le entr" or illegal detainer !" &ersons who are not $ali'ied !ene'iciaries $nder this #ct to avail themselves o' the

    rights and !ene'its o' the #grarian -e'orm 1rogram. )c* The conversion !" an" landowner o' his agric$lt$ral land into

    an" nonagric$lt$ral $se with intent to avoid the a&&lication o' this #ct to his landholdings and to dis&ossess his tenant

    'armers o' the land tilled !" them. )d* The will'$l &revention or o!str$ction !" an" &erson, association or entit" o' the

    im&lementation o' the C#-1. )e* The sale, trans'er, conve"ance or change o' the nat$re o' lands o$tside o' $r!an

    centers and cit" limits either in whole or in &art a'ter the e''ectivit" o' this #ct. The date o' the registration o' the deed o'

    conve"ance in the -egister o' eeds with res&ect to titled lands and the date o' the iss$ance o' the ta+ declaration to

    the trans'eree o' the &ro&ert" with res&ect to $nregistered lands, as the case ma" !e, shall !e concl$sive 'or the

    &$r&ose o' this #ct. )'* The sale, trans'er or conve"ance !" a !ene'iciar" o' the right to $se or an" other $s$'r$ct$ar"

    right over the land he ac$ired !" virt$e o' !eing a !ene'iciar", in order to circ$mvent the &rovisions o' this #ct.

    SECTION 74. 1enalties. #n" &erson who %nowingl" or will'$ll" violates the &rovisions o' this #ct shall !e &$nished !"im&risonment o' not less than one )5* month to not more than three )0* "ears or a 'ine o' not less than one tho$sand

    &esos )15,666.66* and not more than 'i'teen tho$sand &esos )15,666.66*, or !oth, at the discretion o' the co$rt. I' the

    o''ender is a cor&oration or association, the o''icer res&onsi!le there'or shall !e criminall" lia!le.

    SECTION 7. S$&&letor" #&&lication o' E+isting Legislation. The &rovisions o' -e&$!lic #ct No. 0844 as amended,

    1residential ecree Nos. 27 and 299 as amended, E+ec$tive Order Nos. 228 and 22:, !oth Series o' 5:87; and other

    laws not inconsistent with this #ct shall have s$&&letor" e''ect.

    SECTION 79. -e&ealing Cla$se. Section 0 o' -e&$!lic #ct No. 0804, 1residential ecree No. 059, the last two

    &aragra&hs o' Section 52 o' 1residential ecree No. :49, 1residential ecree No. 5608, and all other laws, decrees

    e+ec$tive orders, r$les and reg$lations, iss$ances or &arts thereo' inconsistent with this #ct are here!" re&ealed or

    amended accordingl". cdt

    SECTION 77. Se&ara!ilit" Cla$se. I', 'or an" reason, an" section or &rovision o' this #ct is declared n$ll and void, no

    other section, &rovision, or &art thereo' shall !e a''ected and the same shall remain in '$ll 'orce and e''ect.

    SECTION 78. E''ectivit" Cla$se. This #ct shall ta%e e''ect immediatel" a'ter &$!lication in at least two )2* national

    news&a&ers o' general circ$lation.

     #&&roved(