Case Digest (G.R. No. 190207)
Facts:
In Lloyds Industrial Richfield Corporation (now merged with and known as Republic Cement Corporation) v. National Power Corporation, decided on June 30, 2021, Lloyds Richfield owned several parcels of land in Dawis Norte and Dawis Sur, Carmen, Cebu, which it quarried for limestone to manufacture cement. In 1996, the National Power Corporation (NPC) negotiated to acquire a right-of-way easement over seven of these lots for the 230 KV Leyte-Cebu Interconnection Project, but the parties failed to agree. NPC then filed a Complaint for expropriation before the Regional Trial Court (RTC) of Danao City and secured an ex parte Writ of Possession, immediately taking over the lots. Lloyds Richfield opposed, moved to dismiss, and later answered, insisting on full payment of the fair market value of the lands and the limestone deposits, since the installation of high-tension lines and an expanded safety zone would indefinitely deprive it of quarrying activities. A Committee on Appraisal, inCase Digest (G.R. No. 190207)
Facts:
- Background and Parties
- Lloyds Industrial Richfield Corporation (now Republic Cement Corporation) operates a cement plant in Danao City and owns several limestone-quarrying lots in Dawis Norte and Dawis Sur, Carmen, Cebu (Tax Declaration Nos. 1501100012, 150110001, 1501100039, 15001100038, 1500110042, 151100041, 1501100005; Lot Nos. 1859, 1861, 1860, 1833, 1832, 1830, 1829).
- National Power Corporation (NPC) sought an easement of right of way over these parcels to construct 230 KV transmission lines for the Leyte-Cebu Interconnection Project.
- Trial Court Proceedings
- NPC filed a complaint for expropriation and secured a writ of possession. Lloyds Richfield answered, claiming full just compensation (land and limestone deposits) because the easement would render its quarry operations impossible.
- A Committee on Appraisal (city assessor Parilla, NPC’s rep. Ocon, Lloyds Richfield’s rep. Gallego) surveyed the lots, recommended a 200 m safety zone each side (total 400 m), expanding expropriation to 11 lots (adding Lot Nos. 1824, 1831, 1862, 1863), and valued land at ₱450/m² and limestone at ₱26/ton (3,651,092.40 tons).
- Lower Courts’ Decisions
- Regional Trial Court (Dec. 13, 1999) condemned 11 lots, awarded full market value of land (₱39,628,800) and limestone (₱94,928,402.40), rejecting NPC’s 10% easement-fee claim.
- Court of Appeals (Dec. 3, 2008) affirmed condemnation of 11 lots and full land compensation, but deleted limestone award (holding minerals owned by State) and remanded for recalculation of land compensation.
- Supreme Court Pleadings
- Lloyds Richfield’s Petition (G.R. No. 190207) challenged deletion of limestone compensation and remand, urged affirmation of ₱450/m² rate.
- NPC’s Petition (G.R. No. 190213) sought reversal of full compensation rulings, urged 10% easement fee, exclusion of four lots, and remand for proper valuation.
Issues:
- Must NPC pay full fair market value of land or only a 10% easement fee?
- Were the four additional lots within the expanded safety zone properly included?
- Is Lloyds Richfield entitled to just compensation for limestone deposits?
- Should the case be remanded for re-determination of land compensation?
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)