OCA Circular No. 15-2023

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OCA CIRCULAR NO. 15-2023
TO: ALL REGIONAL TRIAL COURTS HANDLING

EXPROPRIATION CASES
RE: FURTHER CLARIFICATION ON THE COVERAGE OF

OCA CIRCULAR NO. 113-2019 DATED 16 JULY 2019 ON
EXPROPRIATION CASES, ACQUISITION OF RIGHT-
OF-WAY, ISSUANCE OF WRITS OF POSSESSION, AND
ENTITLEMENT TO INTEREST PURSUANT TO
REPUBLIC ACT NO. 10752, AND DETERMINATION OF
MARKET VALUES IN RELATION TO REPLACEMENT
COST
By way of legislation, there are private firms I granted with a franchise to

construct, develop, establish, operate, and maintain for commercial purposes and in
the public interest, huge infrastructures considered as national government projects,
with the power to acquire either by purchase, negotiation, expropriation or
condemnation proceedings thereof, any private lands with or adjacent to the
premises.
In the institution of the aforementioned proceedings, Republic Act (R.A.) No.

10752, or The Right-of-Way Act' may be applied whenever necessary. The
definition of national government projects in the said law and its Implementing
Rules and Regulations (IRR) refers, among others, to those involving private sector
participation and all necessary activities or projects that are intended for public use
or purpose",
Still, in the course of expropriation proceedings of all concerned stakeholders

involving national government projects, the determination of the proper amount of
the Replacement Cost" at current market value of improvements and structures and
1 Like San Miguel Aerocity, Inc., per Republic Act No. 11506 (An Act Granting San Miguel Aerocity Inc. a Franchise to
Construct, Develop, Establish, Operate and Maintain a Domestic and International Airport in the Municipality of Bulakan,
Province of Bulacan, and to Construct, Develop, Establish, Operate, and Maintain all Adjacent Airport City, 27 July 2020.)
2 Sec. 15. Right-oJ-Way., ibid.
327 July 2015.
4 Sec. 3. National Government Projects. (d), IRR, ibid.
5 Sec. 3(3), IRR, R.A. No. 10752, ibid. - refers to the cost necessary to replace the affected structure or improvement with a similar
asset based on current market prices; Sec. 6.6. - shall be based on the current market prices of materials, equipment, labor,
the current market value of crops and trees, when found in the property subject of
expropriation, among others, which may form part of the provisional deposit", must
be settled.
Bearing in mind the legal principle involving real properties that the accessory
follows the principal, a writ of possession that can be immediately issued over a
piece of land should not be delayed by an issue regarding the replacement costs of
the improvements and structures and/or the current market value of the crops and
trees found therein. Thus, there is no need to conduct extensive hearings thereon and
should be ruled upon in a summary manner.
As such, and by way of procedure, the following should be observed to

expedite the issuance and/or implementation of writs of possession involving all
properties subject of expropriation proceedings:
A. Determination of the Replacement Cost at current market value of

improvements and structures
(l)Besides the required determination by the implementing/expropriating

agency or company, appraisal shall also be made by a government
financial institution with adequate experience in property appraisal and
an independent property appraiser accredited by the Bangko Sentral ng
Pilipinas (BSP)7 or a professional association of appraisers recognized
by the BSP8;
(2)The court shall give the three (3) appraisers a non-extendible period of
thirty (30) calendar days to submit their respective appraisals;
(3)If no appraisal is submitted to the court within the prescribed period,
especially from the concerned institutions and independent appraiser,
then the submission shall be deemed waived and the replacement cost
for purposes of issuing the writ of possession involving the
improvements and structures should be based on the
implementing/expropriating agency's or company's submitted
computation or appraisal; and,
(4) Whether the owner of the property contests or not the
implementing/expropriating agency's or company's proffered cost or
value, the court shall then determine the just compensation to be paid
the owner over the entire expropriated property within sixty (60)
calendar days from the date of issuance of the writ of possession. When
the decision of the court becomes final and executory, the
implementing/expropriating agency or company shall pay the owner
contractors profit and overhead, and all other attendant costs associated with the acquisition and installation of a similar asset in
place of the affected asset.
6 Sec. 6. Guidelines for Expropriation Proceedings, (a)(2)(3), R.A. No. 10752, ibid.
7 Sec. 6 (a)(2), ibid.
8 Sec. 6.2. (b)(2), IRR, ibid.

the difference between the amount already paid and the just
compensation as determined by the court", if there is any.
B. Determination of the current market value of crops and trees
(Lj Appraisal shall be made by a government financial institution or an

independent property appraiser as provided for in Item number 1
abovel'':,
(2) The court shall give any of the said appraisers a non-extendible period
of thirty (30) calendar days to submit the required appraisals;
(3) If no appraisal is submitted by any of the above appraisers to the court
within the prescribed period, then appraisal shall be made by the
implementing/expropriating agency and shall be submitted to the court
within a non-extendible period of fifteen (15) calendar days. The
appraisal of the implementing/expropriating agency shall then serve as
the basis of the current market value of crops and trees; and,
(4) Item number (4) above shall be adopted herein.
This Circular shall be read in connection with and shall serve as a supplement
to OCA Circular Nos. 113-201911, 42-202212, and 6~-202213 involving all pending
and subsequent expropriation cases.
For guidance, implementation and strict observance.
19 January 2023
9 Sec. 6 (f), ibid.

10 Sec. 6. (a)(3), ibid.
II ibid. 7 July 2019.
12CLARIFICATION ON THE COVERAGE OF OCA CIRCULAR NO. 113-2019 DATED 16 JULY 2019 ON EXPROPRIATION
CASES, ACQUISITION OF RIGHT-OF-WAY, ISSUANCE OF WRITS OF POSSESSION, AND ENTITLEMENT TO
INTEREST PURSUANT TO REPUBLIC ACT NO. 10752, 28 February 2022.
13 EXPEDITIOUS RESOLUTION OF EXPROPRIATION CASES AND OTHER RELATED PROCESSES, 25 March 2022.

OCA Circular No. 15-2023

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's-

l\.epuhlic of the llbilippineg

OCA CIRCULAR NO. 15-2023

TO: ALL REGIONAL TRIAL COURTS HANDLING

RE: FURTHER CLARIFICATION ON THE COVERAGE OF

By way of legislation, there are private firms I granted with a franchise to

In the institution of the aforementioned proceedings, Republic Act (R.A.) No.

Still, in the course of expropriation proceedings of all concerned stakeholders

As such, and by way of procedure, the following should be observed to

A. Determination of the Replacement Cost at current market value of

(l)Besides the required determination by the implementing/expropriating

8 Sec. 6.2. (b)(2), IRR, ibid.

B. Determination of the current market value of crops and trees

(Lj Appraisal shall be made by a government financial institution or an

For guidance, implementation and strict observance.

9 Sec. 6 (f), ibid.

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