Title
Castro vs. Mendoza, Sr.
Case
G.R. No. 212778
Decision Date
Apr 26, 2017
Agricultural tenants challenge sale of land to municipality for public market, claiming redemption rights; SC denies petition, citing public use and invalid redemption.

Case Summary (G.R. No. 212778)

Background of Property Ownership

The dispute concerns a parcel of land originally owned by the Santos family, specifically covered by Transfer Certificate of Title No. T-20427. After the death of Simeon Santos, the property was partitioned among his surviving heirs, which included a deed of extrajudicial partition and sale executed on May 16, 1977. Petitioners were agricultural tenants of this property, with Teddy Castro assuming tenancy from his mother in July 1981.

Sale of Property and Subsequent Developments

The controversy commenced when one of the heirs, Jesus Santos, sold his share of the property (2,132.42 square meters) to the Municipality of Bustos for the development of a public market. This sale was finalized on October 27, 1992, without prior notification to the petitioners, who later filed a complaint seeking to exercise their rights of pre-emption and redemption under Republic Act No. 3884.

Rulings by PARAD and Subsequent Appeals

On June 28, 1995, the Provincial Agrarian Reform Adjudicator (PARAD) ruled in favor of the petitioners, acknowledging their tenancy rights and their entitlement to redeem the property due to the lack of notification regarding the sale. This decision favored the petitioners, leading to an appeal by both the Municipality and Jesus Santos. The Department of Agrarian Reform Adjudication Board (DARAB) confirmed the petitioners' tenant status but modified the PARAD decision, ruling against reinstating possession.

Court of Appeals Decision

Following several appeals, including one to the Court of Appeals (CA), which affirmed the recognition of the petitioners' tenancy, the CA modified the ruling to include moral damages and attorney's fees for the petitioners. Eventually, when petitioners attempted to redeem the property on March 2, 2006, they were met with resistance from the Municipality, leading to further litigation.

Issuances by PARAD and Further Appeals

The PARAD issued further rescheduling on the enforcement of their decision, culminating in a Writ of Execution and a Writ of Possession in 2006, against the Municipality’s various motions to contest these decisions. After diverse challenges, the case was appealed once again, culminating in the CA ruling that the petitioners had no valid right to redeem the property as the required legal procedures were not followed appropriately.

Tribunal's Final Stance

Upon review of the convolutions of the case, the Supreme Court upheld the CA’s decision, asserting that private respondents (as lessees of market stalls) maintained a legitimate interest in the proceedings and warranted intervention. The Supreme Court further ruled th

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