Procedure for expropriation
Posted by Admin | Posted in Special Civil Actions | Posted on 16-07-2010
Tagged Under : eminent domain, expropriation, just compensation, RA 8974, Republic vs. Lim, taking
There are two stages in expropriation. The decisions of the court in both instances are final and appealable. Multiple appeals are allowed in this case. www.pinoylegal.com
- Stage 1: Determination of the Right to Expropriate
The government or LGU will file a verified complaint:
a) stating its right and the purpose for its exercise
b) description of the property
c) name of all persons owning, or claiming to own, or occupying it, showing as far as practicable their separate interest
d) if the title to the property is in the name of the Republic of the Philippines but is occupied by a private individual, or if the title is obscure or doubtful, this fact must be stated
Upon filing of the complaint, the expropriator may enter the property after depositing a certain amount with an authorized government depositary. The value of the deposit will vary – if it is real property, the assessed value for tax purposes, and if it is personal property, the court will provisionally determine it. www.pinoylegal.com
If it is an LGU expropriating a real property, the deposit should be equal to 15% of the market value of the property based on the tax declaration. www.pinoylegal.com
If the acquisition involves property to be used for national government infrastructure projects (RA 8794), the government should deposit 100% of the value of the property based on the current zonal valuation of the Bureau of Internal Revenue, including the value of improvements, if any. www.pinoylegal.com
These amounts are only provisional; the purpose is only to allow the plaintiff/expropriator to enter the property while the case is pending. It is for the protection of the property owner, who, in the meantime, will be deprived of the use and enjoyment of his/her property. If the case pushes through, the court will still have to determine the amount of just compensation to be paid to the owner in exchange for his or her property. www.pinoylegal.com
Then, the court may either dismiss the complaint or issue an Order of Expropriation declaring the plaintiff’s right to expropriate. www.pinoylegal.com
- Stage 2: Determination of Just Compensation
The just compensation is equivalent to the fair market value of the property – that is the price agreed upon by a buyer not compelled to buy and a seller not compelled to sell. This is to avoid a price that is either lower or higher than the actual market value. www.pinoylegal.com
The court will determine the just compensation with the aid of commissioners. The court will appoint not more than three competent and disinterested persons. They are to submit a report with recommendations to the court after they have viewed and examined the property. The court may wholly or partially accept or reject their report, securing the rights of both parties in either case. www.pinoylegal.com
Just compensation means not only the correct determination of the amount to be paid to the owner, but also payment within reasonable time after taking. Without prompt payment, compensation cannot be considered just. (Republic vs. Lim, June 29, 2005) www.pinoylegal.com Read the rest of this entry »