Title
Ayog vs. Cusi, Jr.
Case
G.R. No. L-46729
Decision Date
Nov 19, 1982
Dispute over 250-hectare land awarded to Binan Development Co., Inc. in 1953; 1973 Constitution's land prohibition ruled non-retroactive; ejectment judgment limited to original defendants.
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Case Digest (G.R. No. L-46729)

Facts:

Background of the Case:

  • The case involves a dispute over a 250-hectare land in Barrio Tamugan, Guianga (Baguio District), Davao City, awarded to Binan Development Co., Inc. by the Director of Lands on January 21, 1953, under Sales Application No. V-6834.
  • Some occupants of the land protested the sale, but the Director of Lands dismissed their protests on August 30, 1957, ordering them to vacate the land. No appeal was made from this decision.

Ejectment Suit:

  • Binan Development Co., Inc. filed an ejectment suit (Civil Case No. 3711) on February 27, 1961, against 40 defendants who refused to vacate the land.
  • The trial court found that 20 of the defendants had their protests dismissed by the Director of Lands in 1957 and ruled in favor of the corporation, ordering the defendants to vacate the land.
  • The Court of Appeals affirmed this decision on December 5, 1975, and the Supreme Court denied review on May 17, 1976.

Issuance of Sales Patent and Title:

  • On August 14, 1975, Sales Patent No. 5681 was issued to Binan Development Co., Inc. for a reduced area of 175.3 hectares, and Original Certificate of Title No. P-5176 was registered.
  • The Director of Lands and the Secretary of Natural Resources noted that the corporation had complied with all requirements under the Public Land Law before the 1973 Constitution took effect, granting it a vested right to the land.

Constitutional Issue:

  • Petitioners argued that the 1973 Constitution, which prohibits private corporations from holding alienable lands of the public domain, should prevent the enforcement of the ejectment judgment.
  • The lower court suspended the execution of the judgment pending the resolution of this constitutional issue.

Issue:

  1. Whether the 1973 Constitution's prohibition on private corporations holding alienable lands of the public domain applies retroactively to the sales application and patent issued to Binan Development Co., Inc.
  2. Whether the judgment in the ejectment suit can be enforced against petitioners who were not defendants in the original case.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Contempt Incident:

  • The Court dismissed the contempt proceeding against the tractor drivers and the manager of Binan Development Co., Inc., as the temporary restraining order did not specifically enjoin them from acting on the land.
  • The affected petitioner, Melquiades Emberador, was advised to pursue civil and criminal remedies for the destruction of his improvements.

Conclusion:

  • The petition was dismissed for lack of merit, with the clarification that the ejectment judgment could not be enforced against petitioners who were not defendants in the original case.
  • The contempt proceeding was also dismissed.


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