Title
2003 DAR Rules on Landowner Retention Rights
Law
Dar Administrative Order No. 02
Decision Date
Jan 16, 2003
This administrative order establishes revised rules and procedures for landowners in exercising their retention rights under existing agrarian reform laws, ensuring the protection of tenant farmers' rights while outlining specific criteria and timelines for retention applications.

Questions (DAR ADMINISTRATIVE ORDER NO. 02)

The landowner may choose a retention area that is compact and contiguous, least prejudicial to the entire landholding, and least prejudicial to the majority of farmers therein.

The landowner must signify intention to retain within 60 days from receipt of notice of coverage. Failure to signify within the period constitutes waiver of the right to retain any area.

Within 30 days from the manifestation date, the landowner must indicate the exact location of the retention area. Failure to do so authorizes the MARO to choose the retention area.

The landowner must cultivate the land directly or through labor administration and ensure that the retained area is made productive.

Rights previously acquired by tenant farmers under PD 27 and the security of tenure of farmers/farmworkers prior to RA 6657 approval must be respected; actual tenant farmers shall not be ejected or removed from the land.

Such transactions are null and void; transactions executed prior to RA 6657 are valid only when registered with the Register of Deeds within three months after 15 June 1988, in accordance with Section 6 of RA 6657.

Any person, natural or juridical, who owns agricultural lands with an aggregate area of more than 5 hectares may apply for retention.

No. A landowner who exercised retention under PD 27 may no longer exercise the same right under RA 6657. If he opts to retain 5 hectares in other agricultural lands, the 7 hectares previously retained under PD 27 shall be immediately placed under CARP coverage.

Heirs may exercise the retention right only if they prove that the decedent manifested during his lifetime an intention to exercise retention prior to 23 August 1990.

Under CA, retention must be exercised within 60 days from receipt of notice of coverage. Under VOS and VLT/DPS, retention must be exercised simultaneously at the time of offer for sale or transfer. In general, retention may be exercised any time before receipt of notice of coverage.

Waiver occurs through acts/omissions such as failure to manifest within 60 days from receipt of notice of CARP coverage; failure to state intention under VLT/DPS/VOS; express waiver documents; executing LTPA-FU or APFU over the subject property; consenting documents covering entire landholding; entering VLT/DPS or VOS but not manifesting retention intention upon filing; or estoppel by laches through unreasonable delay in asserting the right.

They are generally entitled to retain 7 hectares, subject to specific disqualifications and exceptions stated in the same section (e.g., certain tenanted rice and corn lands).

For landowners who filed retention applications after the 27 August 1985 deadline and did not comply with LOI 41, 45, and 52 (Section 8.4), or for those who failed to apply under PD 27 and also failed to comply with the 27 August 1985 deadline (Section 8.5), subject to the stated disqualifications.

The tenant may choose to remain in the area as a lessee, or to become a beneficiary in the same or another agricultural land with similar or comparable features.

The tenant may choose to be paid disturbance compensation by the landowner, subject to a minimum amount: not less than five (5) times the average gross harvest on their landholding during the last five (5) preceding calendar years under Section 36 of RA 3844 as amended by RA 6389.

Within one (1) year from the time the landowner manifests choice, or from the time MARO chooses the retention area, or from the time an order granting retention is issued.

The tenant becomes a leaseholder and loses the right to be an Agrarian Reform Beneficiary (ARB) under CARP, and a required lease agreement must be executed.

Applications may be filed with the office of the Regional Director or PARO. The receiving office forwards the application to the MARO with jurisdiction over the landholding after assigning a docket number.

The decision becomes final after fifteen (15) days from receipt, unless duly appealed to the DAR Secretary under the Rules of Procedure for Agrarian Law Implementation (ALI) cases.


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