Napocor Vs Ileto
Napocor Vs Ileto
169957
The NPC opposed to the valuation of the RTC based from the recommendations of the
commissioners.
ISSUES: Whether or Not the Commissioners and the RTCs way of determining the
value of just compensation is proper in this case.
HELD: NO
We cannot affirm the RTCs decision in fixing just compensation of all the subject properties
at P250.00 per square meter, for lack of legal or factual basis.
In eminent domain or expropriation proceedings, the just compensation to which the owner
of a condemned property is entitled is generally 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 given and received therefor." [The market
value] is not limited to the assessed value of the property or to the schedule of market
values determined by the provincial or city appraisal committee. However, these values may
serve as factors to be considered in the judicial valuation of the property.
To determine the just compensation to be paid to the landowner, the nature and character of
the land at the time of its taking is the principal criterion.
In the present case, the RTC made a determination that all the properties subject of the
NPCs expropriation complaint, regardless of their location or classification, should be
valued at P250.00 per square meter. In arriving at this valuation, the RTC explained, thus:
In order to determine the issue of just compensation, the Court constituted a team of three
commissioners chaired by Atty. Aristan Tayag with Atty. Luis Manuel Bugayong as
representative of the plaintiff and Barangay Captain Manuel Villacorta as representative of
the landowners.
Eventually, the team of commissioners submitted its report adopting the recommendation of
just compensation in a similar case for eminent domain of the Regional Trial Court of
Bulacan wherein it set the just compensation for agricultural land at P265.00 per square
meter, residential land at P1,540.00 per square meter, and commercial land at P2,300.00
per square meter. However, considering that a partial decision was already rendered
wherein the lands affected were valued at P250.00 per square meter, the team
recommended the latter amount for the remaining properties subject of expropriation.
It is apparent from this RTC explanation that Commissioner Tayag and Commissioner
Villacorta based their recommendation for just compensation of all the properties in
question solely on the value fixed in the compromise agreement between the NPC and the
Heirs of Sofia Mangahas. But in accepting this recommendation, the RTC failed to take
into consideration the fact that the property subject of the compromise agreement is
located in Tigbe, Norzagaray, Bulacan, while the other properties subject of the
RTCs decision are located in other municipalities in Bulacan.