Article 8p. 8

NATURAL RESOURCES AND ENVIRONMENTAL LAWS STATUTES and IMPLEMENTING RULES AND REGULATIONS

effect of annulling the acquisition and reverting the

property and all rights thereto to the State, and all

payments on the purchase price theretofore made to the

Government shall be forfeited. (Amendments to C.A. No.

141 (Public Land Act), Republic Act No. 6516, [July 22,

1972])

SECTION 30. If at any time after the date of the award

and before the issuance of patent, it is proved to the

satisfaction of the Director of Lands, after due notice to

the

purchaser,

that

the

purchaser

has

voluntarily

abandoned the land for more than one year at any one

time,

or

has

otherwise

failed

to

comply

with

the

requirements of the law, then the land shall revert to the

State, and all prior payments made by the purchaser and

all improvements existing on the land shall be forfeited.

SECTION

31.

No

person,

corporation, association, or

partnership shall be permitted, after the approval of this

Act, to acquire the title to or possess as owner any lands

of the public domain if such lands, added to other lands

belonging to such person, corporation, association, or

partnership shall give a total area greater than the area

the acquisition of which by purchase is authorized under

this Act. Any excess in area over this maximum and all

right, title, interest, claim or action held by any person,

corporation, association, or partnership resulting directly

or indirectly in such excess shall revert to the State.

This section shall, however, not be construed to prohibit

any

person,

corporation,

association,

or

partnership

authorized by this Act to require lands of the public

domain from making loans upon real estate security and

from purchasing real estate whenever necessary for the

recovery of such loans; but in this case, as soon as the

excess

above

referred

to

occurs,

such

person,

corporation, association or partnership shall dispose of

such lands within five years, for the purpose of removing

the excess mentioned. Upon the land in excess of the

limit there shall be paid, so long as the same is not

disposed of, for the first year a surtax of fifty per centum

additional to the ordinary tax to which such property

shall be subject, and for each succeeding year fifty per

centum shall be added to the last preceding annual tax

rate, until the property shall have been disposed of.

The

person,

corporation,

association,

or

partnership

owning the land in excess of the limit established by this

Act shall determine the portion of the land to be

segregated.

At the request of the Secretary of Agriculture and

Commerce, the Solicitor-General or the officer acting in

his stead shall institute the necessary proceedings in the

proper court for the purpose of determining the excess

portion to be segregated, as well as the disposal of such

portion in the exclusive interest of the Government.

SECTION 32. This chapter shall be held to authorize only

one

purchase

of

the

maximum

amount

of

land

hereunder by the same person, corporation, association,

or

partnership;

and

no

corporation,

association,

or

partnership, any member of which shall have received

the benefits of this chapter or of the next following

chapter, either as an individual or as a member of any

other

corporation,

association,

or

partnership,

shall

purchase any other lands of the public domain under

this chapter.

But any purchaser of public land, after having made the

last payment upon and cultivated at least one-fifth of

the land purchased, if the same shall be less than the

maximum

allowed

by

this

Act,

may

purchase

successively additional agricultural public land adjacent

to or not distant from the land first purchased, until the

total area of such purchases shall reach the maximum

established in this chapter: Provided, That in making

such

additional

purchase

or

purchases,

the

same

conditions shall be complied with as prescribed by this

Act for the first purchase.

CHAPTER VI Lease

SECTION 33. Any citizen of lawful age of the Philippines,

and any corporation or association of which at least sixty

per centum of the capital stock or of any interest in said

capital

stock

belongs

wholly

to

citizens

of

the

Philippines, and which is organized and constituted

under the laws of the Philippines, may lease any tract of

agricultural public land available for lease under the

provisions of this Act, not exceeding a total of one

thousand and twenty-four hectares. If the land leased is

adapted to and be devoted for grazing purposes, an area

not exceeding two thousand hectares may be granted.

No

member,

stockholder,

officer,

representative,

attorney,

agent,

employee

or

bondholder

of

any

corporation

or

association

holding

or

controlling

agricultural public land shall apply, directly or indirectly,

for agricultural public land except under the homestead

and free patent provisions of this Act: Provided, That no

lease shall be permitted to interfere with any prior claim

by settlement or occupation, until the consent of the

occupant or settler is first had, or until such claim shall

be legally extinguished, and no person, corporation, or

association shall be permitted to lease lands hereunder

which are not reasonably necessary to carry on his

business in case of an individual, or the business for

which it was lawfully created and which it may lawfully

pursue

in

the

Philippines,

if

an

association

or

corporation.

SECTION 34. A notice of the date and place of the

auction of the right to lease the land shall be published

and announced in the same manner as that prescribed

for the publication and announcement of the notice of

sale, in section twenty-four of this Act.

SECTION 35. All bids must be sealed and addressed to

the Director of Lands, and must have enclosed therewith

cash or a certified check, Treasury warrant, or post-office

money order payable to the order of the Director of

Lands, for a sum equivalent to the rental for at least the

first three months of the lease: Provided, That no bid

shall be considered in which the proposed annual rental

is less than three per centum of the value of the land

according to the appraisal made in conformity with

section one hundred and sixteen of this Act.

SECTION 36. The auction of the right to lease the land

shall be conducted under the same procedure as that

prescribed for the auction sale of agricultural lands as

prescribed in section twenty-six of this Act: Provided,

That no bid shall be accepted until the bidder shall have

deposited the rental for at least the first three months of

the lease.

SECTION 37. The annual rental of the land leased shall

not be less than three per centum of the value of the

land, according to the appraisal and reappraisal made in

accordance with section one hundred sixteen of this Act;

except for lands reclaimed by the Government, which

shall not be less than four per centum of the appraised

and

reappraised

value

of

the

land:

Provided,

That

one-fourth of the annual rental of these lands reclaimed

prior to the approval of this Act shall accrue to the

construction and improvement portion of the Portworks

Fund: And provided, further, That the annual rental of

not less than four per centum of the appraised and

reappraised value of the lands reclaimed using the

Portworks Fund after the approval of this Act shall all

accrue to the construction and improvement portion of

the Portworks Fund. But if the land leased is adapted to

and be devoted for grazing purposes, the annual rental

© 2018 Compiled by RGL

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