Case Digest (G.R. No. 224324)
Facts:
On October 16, 1998, National Power Corporation (NAPOCOR) filed a complaint for eminent domain in the RTC of Kabankalan City to acquire easements over Lots 1316, 2746 and 2747 for its Kabankalan-Maricalum 138KV Transmission Island Grid Project, deposited P258,000 with PNB-Kabankalan and was placed in possession on August 3, 1999. The RTC rendered a decision on May 26, 2011 ordering expropriation and awarding just compensation totaling P18,919,113.75 less the deposit, which the Court of Appeals affirmed with modification on October 29, 2014 and amended April 8, 2016; NAPOCOR petitioned to the Supreme Court.Issues:
- Should just compensation be determined by the prevailing price and character of the property at the time of filing of the complaint in 1998?
- From what date and at what rates should legal interest on the difference between the final adjudged amount and the initial deposit accrue?
Ruling:
The Court affirmed the decisions of the RTC and the Court of Appeals insofar Case Digest (G.R. No. 224324)
Facts:
- Parties and nature of the action
- National Power Corporation (NAPOCOR) is a government-owned and controlled corporation created by virtue of Republic Act No. 6395.
- Petition filed by NAPOCOR on October 16, 1998: Complaint for eminent domain before the Regional Trial Court (RTC) of Kabankalan City seeking acquisition of easement of right of way for the Kabankalan-Maricalum 138KV Transmission Line Island Grid Project.
- Respondents named in the complaint included Heirs of Salvador Serra Serra, Heirs of Gregorio Serra Serra, Margarita Serra Serra, Francisca Teresa Serra Serra, Francisco Jose Serra Serra, Spouses Primitivo Hernaez and Paz Bacol, Spouses Bernardino Moncera and Rogaciana Hernaez, Spouses Ambrosio Fortaliza and Luisa Hernaez, Bank of the Philippine Islands, represented by its Manager, Luis A. Puentevella, and Arsenio Al Acuna.
- Subject properties and initial proceedings
- Properties alleged to be necessary for the project: Lot Nos. 1316 and 2746 with a total area of more or less 54,060 sq. meters; Lot No. 2747 later included, increasing the total affected area to more or less 60,526.50 sq. meters.
- NAPOCOR deposited P258,000.00 with Philippine National Bank, Kabankalan Branch (PNB-Kabankalan) representing provisional and assessed value.
- NAPOCOR was placed in possession of the subject properties on August 3, 1999.
- RTC directed amendment to include Lot 2747 on March 10, 2000; Amended Complaint included Lot 2747.
- Case management before the RTC
- RTC dismissed the case without prejudice for failure to prosecute on April 29, 2003; dismissal was reconsidered and set aside on October 15, 2003.
- RTC constituted a Board of Commissioners to determine just compensation; the Board submitted its report on October 25, 2007.
- RTC judgment of May 26, 2011
- RTC ordered expropriation and declared NAPOCOR to have the lawful right to take the specified properties for the project and continued possession.
- RTC’s determination of just compensation considered Department of Finance Department Order No. 60-97 zonal values for 1997, actual use (sugarcane planting), and extent of disturbance from expropriation.
- RTC awarded just compensation as follows:
- P9,356,400.00 for Lot 1316 (affected area 16,560 sq. meters, more or less).
- P8,156,250.00 for Lot 2746 (717-A) (affected area 37,500 sq. meters, more or less).
- P1,406,463.75 for Lot 2747 (717-B) (affected area 6,466.50 sq. meters, more or less).
- RTC ordered deduction of the P258,000.00 deposit from the total and judgment for the remaining balance of P18,661,113.75 with legal interest from taking of possession until fully paid.
- Proceedings in the Court of Appeals
- Court of Appeals-Ceb...(Subscriber-Only)
Issues:
- Primary valuation issue
- Whether the amount of just compensation should be based on the prevailing price and character of the property at the time of filing of the Complaint for eminent domain in 1998.
- Improvements and period relied upon
- Whether the courts a quo erroneously considered improvements on the subject properties as of 2006 in fixing just compensation.
- Interest on just compensation
- From what date legal...(Subscriber-Only)
Ruling:
- (Subscriber-Only)
Ratio:
- (Subscriber-Only)
Doctrine:
- (Subscriber-Only)