Documente Academic
Documente Profesional
Documente Cultură
v
BPI
GR
203039
|
September
11,
2013
J.
CARPIO
Doctrine:
The
general
rule
is
that
the
just
compensation
to
which
the
owner
of
the
condemned
property
is
entitled
to
is
the
market
value.
Market
value
is
that
sum
of
money
which
a
person
desirous
but
not
compelled
to
buy,
and
an
owner
willing
but
not
compelled
to
sell,
would
agree
on
as
a
price
to
be
paid
by
the
buyer
and
received
by
the
seller.
The
general
rule,
however,
is
modified
where
only
a
part
of
a
certain
property
is
expropriated.
In
such
a
case,
the
owner
is
not
restricted
to
compensation
for
the
portion
actually
taken;
he
is
also
entitled
to
recover
the
consequential
damage,
if
any,
to
the
remaining
part
of
the
property.
Facts:
DPWH
filed
with
RTC
Las
Pias
a
case
for
expropriation
against
portions
of
the
properties
of
BPI
and
of
Bayan
Villanueva,
situated
in
Pamplona,
Las
Pias.
o DPWH
needed
281
square
meters
of
BPIs
lot
and
177
square
meters
from
Villanuevas
lot
for
the
construction
of
the
Zapote-Alabang
Fly-Over.
Neither
BPI
nor
Villanueva
objected
to
the
propriety
of
the
expropriation.
RTC
constituted
a
Board
of
Commissioners
to
determine
the
just
compensation.
o In
the
Report,
the
mount
of
P40,000
per
square
meter
was
recommended
as
the
fair
market
value.
RTC,
in
its
decision,
set
the
fair
market
value
at
P40,000
per
square
meter.
BPI:
281
sq.
m.
x
P40,000
=
P11,240,000
Villanueva:
177
sq.
m.
x
P40,
000
=
P7,080,000
The
acting
branch
clerk
of
court
issued
a
Certification,
stating
that
the
said
decision
has
become
final,
executory
and
unappealable.
BPI
filed
a
Motion
for
Partial
New
Trial
to
determine
the
just
compensation
of
the
building,
which
was
not
included
in
the
RTC
decision.
o RTC
granted
partial
new
trial.
Due
to
the
failure
of
counsel
for
petitioner,
despite
notice,
to
appear
during
the
scheduled
hearing
for
the
determination
of
the
just
compensation
of
the
building,
RTC
allowed
BPI
to
present
its
evidence
ex-parte.
o After
an
ocular
inspection
of
the
building,
Leticia
Agbayani,
commissioner,
reported
the
following
findings:
A
new
building
was
constructed,
and
said
building
was
attached
and
made
as
an
integral
part
of
the
original
building.
The
building
was
moved
back
when
it
was
constructed
to
conform
with
the
requirement
of
the
Building
Code.
Improvements
were
introduced
around
the
building.
RTC
ruled
that
just
compensation
for
the
building
was
due,
and
ordered
petitioner
to
pay
the
additional
amount
of
P2.6M.
Petitioner
moved
for
MR,
on
the
ground
that
the
proceeding
fixing
the
just
compensation
of
the
building
is
null
and
void
for
not
complying
with
the
mandatory
procedure
laid
out
in
the
Rules
of
Court.
o RTC
granted
MR
of
petitioner;
BPI
filed
MR,
stating
that
there
was
substantial
compliance
with
the
Rules;
RTC
denied
MR
of
BPI.
RTC
gave
petitioner
and
BPI
ten
days
to
submit
their
respective
nominees
and
their
oaths
of
office.
Villanueva
C2020
1
o BPI
nominated
Roland
Savellano.
o Petitioner,
instead
of
submitting
its
nominee,
filed
a
Manifestation
and
Motion,
objecting
to
the
propriety
of
paying
just
compensation
for
BPIs
building
and
praying
that
BPIs
claim
for
additional
just
compensation
was
denied.
Petitioner
claimed
that
the
building
was
never
taken
by
the
government.
In
support,
petitioner
attached
a
letter
from
the
DPWH:
o x
x
x
the
original
plan
affecting
the
subject
property
was
not
implemented.
The
width
of
the
sidewalk
at
the
premises
under
consideration
was
reduced
from
2.5m
to
2.35m
to
avoid
the
costly
structure
of
the
bank.
BPI
claimed
that
it
was
not
aware
that
the
original
plan
was
not
implemented.
After
being
ordered
to
submit
its
nominee,
petitioner
nominated
Romulo
Gervacio,
the
OIC
of
the
City
Assessors
Office
in
Las
Pias
City.
o BPIs
Savellano
recommended
the
amount
of
P2.6M,
based
on
the
appraisal
conducted
by
an
independent
professional
business
and
property
consultant.
o Petitioners
Gervacio
recommended
P1.9M,
which
was
the
market
value
indicated
on
the
tax
declaration
of
said
building.
RTC
adopted
the
recommendation
of
Gervacio.
o Petitioner
filed
an
appeal
with
CA,
stating
that
the
previous
decision
which
was
declared
final
and
executory
has
attained
finality.
CA
dismissed
appeal,
and
affirmed
the
RTC
ruling;
petitioner
filed
the
present
petition
before
SC.
Issues
and
Holding:
W/N
the
award
of
additional
just
compensation
for
BPIs
building
is
unfounded
and
without
legal
basis.
No.
o Eminent
domain
is
the
authority
and
right
of
the
State,
as
sovereign,
to
take
private
property
for
public
use
upon
observance
of
due
process
of
law
and
payment
of
just
compensation.
Just
compensation
is
the
full
and
fair
equivalent
of
the
property
sought
to
be
expropriated.
o The
general
rule
is
that
the
just
compensation
to
which
the
owner
of
the
condemned
property
is
entitled
to
is
the
market
value.
Market
value
is
that
sum
of
money
which
a
person
desirous
but
not
compelled
to
buy,
and
an
owner
willing
but
not
compelled
to
sell,
would
agree
on
as
a
price
to
be
paid
by
the
buyer
and
received
by
the
seller.
o The
general
rule
is
modified
where
only
a
part
of
a
certain
property
is
expropriated.
In
this
case,
the
owner
is
not
restricted
to
compensation
for
the
portion
actually
taken,
as
he
is
also
entitled
to
recover
the
consequential
damage,
if
any,
to
the
remaining
part
of
the
property.
o In
the
present
case,
petitioner
contends
that
BPIs
building
was
never
taken
by
petitioner,
and
that
to
award
consequential
damages
for
the
building
was
unfounded
and
without
legal
basis.
o SC
held
that
no
actual
taking
of
the
building
is
necessary
to
grant
consequential
damages.
Consequential
damages
are
awarded
if,
as
a
result
of
the
expropriation,
the
remaining
property
of
the
owner
suffers
from
an
impairment
or
decrease
in
value.
o To
determine
just
compensation,
the
trial
court
should
first
as
certain
the
market
value
of
the
property,
to
which
should
be
added
the
consequential
damages
after
deducting
therefrom
the
consequential
benefits
which
may
arise
from
the
expropriation.
Villanueva
C2020
2
If
the
consequential
benefits
should
exceed
the
consequential
damages,
these
items
are
regarded
altogether
as
the
basic
value
of
the
property,
which
should
be
paid
in
every
case.
Ruling:
Petition
denied.
Villanueva C2020 3