Title
Supreme Court
Republic vs. Ortigas and Co., Ltd. Partnership
Case
G.R. No. 171496
Decision Date
Mar 3, 2014
Ortigas sought to sell land reserved for road widening; Republic opposed, citing donation requirement. SC ruled for Ortigas, affirming just compensation for public use.

Case Summary (G.R. No. 171496)

Key Dates

• February 14, 2001 – Petition for authority to sell filed in RTC Pasig
• June 11, 2001 – RTC grants authority to sell Lot 5-B-2-A-1 to the Republic
• October 3, 2001 – RTC denies motion for reconsideration of sale order
• October 14, 2005 – Court of Appeals dismisses appeal for lack of appealable order
• February 9, 2006 – Court of Appeals denies motion for reconsideration
• March 3, 2014 – Supreme Court decision

Applicable Law

• 1987 Constitution, Article III, Section 9 – Private property shall not be taken for public use without just compensation
• Presidential Decree No. 1529 (Property Registration Decree), Section 50 – Restriction on disposal of delineated streets and passageways, except by donation
• Rules of Court: Rule 41 (appeals from RTC to CA), Rule 45 (certiorari to SC), Rule 50 (pure questions of law)

Facts

Respondent Ortigas owned Lot 5-B-2 (70,278 sqm) in Pasig City. At DPWH’s request for the C-5 flyover, Ortigas:

  1. Subdivided the parcel into five lots, reserving one (Lot 5-B-2-A, 1,445 sqm) for widening Ortigas Avenue;
  2. Annotated “road widening” on the title, subject to PD 1529, Sec. 50;
  3. After construction in 1999 used only 396 sqm, re-subdivided into Lot 5-B-2-A-1 (utilized) and A-2 (unused);
  4. Filed in the RTC on February 14, 2001 a petition for authority to sell Lot A-1 to the Republic; publication and service were duly made; no oppositions appeared at the April 27, 2001 hearing;
  5. Presented evidence ex parte (ownership, government request, lack of compensation);
  6. RTC Branch 267 issued on June 11, 2001 an order authorizing the sale to the Republic; the Republic opposed, arguing the lot could only be conveyed by donation under PD 1529, Sec. 50; RTC denied its motion for reconsideration on October 3, 2001;

Procedural History

– October 24, 2001: Republic filed notice of appeal to the Court of Appeals, citing the October 3 order;
– October 14, 2005: CA dismissed the appeal, holding that orders denying motions for reconsideration are interlocutory and not appealable under Rule 41;
– February 9, 2006: CA denied the Republic’s motion for reconsideration for lack of jurisdiction, noting the appeal raised only a question of law;
– Republic petitioned the Supreme Court under Rule 45.

Issues

  1. Whether the CA erred in dismissing the Republic’s appeal on procedural technicalities.
  2. Whether Ortigas may sell the lot to the Republic or must convey it by donation under PD 1529, Section 50.

Procedural Appeal Analysis

• Rule 41, Section 1 prohibits appeals from interlocutory orders that do not finally dispose of the case; orders denying motions for reconsideration are generally interlocutory unless they put an end to a particular matter.
• Rule 41, Section 2(c) and Rule 50 exclude pure questions of law from CA review; such appeals must proceed by petition for review under Rule 45.
• The only issue before CA was whether donation was the exclusive mode of conveyance under PD 1529, a pure question of law not involving evidence review.
• The CA properly dismissed the appeal for lack of jurisdiction on procedural grounds.

Substantive Conveyance Analysis

• Section 50 of PD 1529 governs mere subdivision streets and passageways not taken for public use; it does not apply where the government, with color of authority, takes pr

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