Case Summary (G.R. No. 191945)
Procedural History
NPC filed Civil Case No. 0008 to expropriate land in December 2002, offering ₱500/m²; respondents countered at ₱2,000/m². The Regional Trial Court (RTC) confirmed NPC’s authority, appointed commissioners, and NPC deposited provisional amounts. The RTC later issued and then recalled a writ of possession for NPC’s failure to comply with compensation guidelines. NPC appealed to the Court of Appeals (CA), which affirmed the recall and rejection of NPC’s appeal. NPC filed a Petition for Review in the Supreme Court and subsequently moved to withdraw its petition.
Applicable Constitutional and Statutory Provisions
– 1987 Constitution, Article III, Section 9: Private property shall not be taken for public use without just compensation.
– Rules of Court, Rule 67: Two-stage expropriation (authority and compensation); provisional deposit with authorized depositary enables possession.
– Republic Act No. 8974: Requires 100% zonal valuation plus value of improvements to be paid directly to owner before possession.
– Republic Act No. 8975: Prohibits lower courts from issuing temporary restraining orders or injunctions against national infrastructure projects.
Expropriation Stages Under Rule 67 and RA 8974
First Stage: Judicial determination of authority and public use; ends with order of expropriation.
Second Stage: Determination of just compensation by court-appointed commissioners; ends with final order fixing compensation.
NPC’s adherence to Rule 67 allowed deposit of assessed value to obtain a writ of possession, but RA 8974 mandates direct payment of zonal valuation and improvements before possession.
Trial Court Proceedings and Errors in Issuing and Recalling Writ of Possession
– NPC deposited provisional amounts (₱3,280 then ₱580,769.93) with Land Bank and secured a writ of possession.
– Respondents successfully moved for payment of additional amounts based on commissioners’ valuation.
– RTC recalled the writ, finding NPC misled the court by relying on deposit rather than direct payment as required by RA 8974.
– Supreme Court held the writ was improperly issued because NPC failed to (1) pay zonal valuation directly to owners and (2) determine improvements’ value pursuant to implementing rules (replacement-cost method by agency).
Distinction Between Provisional Deposit and Just Compensation
Provisional Deposit: Based on zonal valuation; prerequisite for possession; not determinative of final compensation.
Just Compensation: Fair market value ascertained by commissioners and judicial order; constitutionally required equivalent of owner’s loss. NPC’s deposit did not substitute for final payment to vest possession.
Prohibition on Injunctive Relief Under RA 8975
Recall of an improperly issued writ of possession is corrective, not an injunctive remedy. RA 8975 prohibits lower courts from granting temporary restraining orders or preliminary injunctions against national infrastructure projects, but does not bar courts from correcting jurisdictional or procedural errors in expropriation.
Necessity and Public Use in Expropriation
Eminent domain requires genuine public necessity and specific purpose. If the project ceases or shifts purpose, expropriation may be dismissed or land reco
...continue readingCase Syllabus (G.R. No. 191945)
Procedural Background
- National Power Corporation (NPC) filed an expropriation Complaint (Civil Case No. 0008, RTC Virac, Catanduanes, Branch 43) for a right-of-way easement to build its Substation Island Grid Project.
- Respondents objected to NPC’s initial offer of ₱500.00 per square meter, claiming a value of ₱2,000.00 per square meter.
- Trial court confirmed NPC’s right to expropriate and appointed commissioners to determine just compensation.
- NPC deposited provisional amounts (₱3,280.00, later ₱580,769.93) with Land Bank of the Philippines and secured a Writ of Possession; respondents moved to lift or suspend it.
- Commissioners valued land improvements and structures, and recommended ₱1,500.00 per square meter for land; NPC opposed.
- Trial court set just compensation at ₱2,000.00 per square meter, recalled and canceled the Writ of Possession for NPC’s failure to deposit additional amounts, and required full payment before any possession.
- Court of Appeals affirmed both the valuation and recall of possession; motion for reconsideration denied.
- NPC filed a Petition for Review on Certiorari with the Supreme Court, followed by motions for temporary restraining order and to resolve.
- NPC later sought withdrawal of its petition, indicating it would acquire an alternative site; respondents opposed dismissal of the underlying Complaint.
Factual Background
- Subject properties: parcels in Barangay Marinawa, Bato, Catanduanes owned by respondents and heirs.
- Purpose of expropriation: construction and maintenance of NPC’s Substation Island Grid Project.
- Location characteristics: along highway, near growing community, close to Virac town, Cabugao Bay seashore, and Maribina Falls.
- Commission’s fair market value findings: prevailing local market range of ₱1,500.00