Title
Divestment of US Landholdings in PH
Law
Letter Of Instructions No. 645
Decision Date
Dec 22, 1977
A Philippine law establishes a committee to evaluate and approve land divestment proposals from U.S. citizens and entities, with the Solicitor General taking over the responsibility of enforcing constitutional provisions on land ownership and initiating legal proceedings against violators.

Questions (CESB Resolution NO. 718)

It directs the Solicitor General to take actions to divest or challenge U.S. citizens and entities that continue to hold Philippine lands in violation of constitutional and statutory limits on land ownership.

Land ownership is limited to Filipino citizens, or to corporations/entities at least 60% of the capital of which is owned by Filipino citizens.

It references the Cabinet Committee on Divestment of Private Landholdings of U.S. Citizens and Entities created under LOI No. 307 (Aug. 21, 1975). LOI No. 645 transfers/assigns remaining divestment matters and enforcement actions to the Solicitor General after the committee’s evaluation and approvals were completed.

Because the Parity Agreement granted a time-limited right to U.S. citizens/entities. After its expiration, continued landholding beyond the allowed period would conflict with the Constitution and other laws, thus requiring divestment or legal proceedings.

It means instituting proceedings against U.S. citizens/entities that continue to hold land unlawfully, and performing other acts needed to implement the end of the Parity Agreement rights.

The Solicitor General is directed to institute appropriate proceedings against U.S. citizens or entities that continue to hold land in violation of constitutional and legal ownership limits.

It identifies the constitutional basis for the rights of U.S. citizens/entities under the Parity Agreement and the effect of its expiration, which LOI No. 645 seeks to implement.

It states that sufficient time had been granted to finalize divestment programs as a consequence of the Parity Agreement’s expiration on July 3, 1974.

It directs the Solicitor General to act on all matters pertaining to U.S. land divestment that were previously within the jurisdiction of the Cabinet Committee established under LOI No. 307.

It includes both. Aside from instituting proceedings against unlawful holders, it instructs the Solicitor General to grant clearance for land registration related to conjugal partnership property upon dissolution when one spouse is an American citizen.

The clearance is to be granted upon the dissolution of the conjugal partnership where one spouse is an American citizen.

It does not remove the nationality restrictions; instead, it authorizes clearance for registration in a specific scenario (after dissolution of conjugal partnership), implying a procedural mechanism to handle property settlement consistent with divestment/enforcement requirements.

It implies such continued holding is unconstitutional/illegal and warrants legal action through proceedings to enforce divestment and compliance.

The Cabinet Committee evaluated proposals and approved divestment schemes, while the Solicitor General is tasked to carry out enforcement (proceedings) and to handle remaining divestment-related matters and clearances.


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