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[HEIRS OF B. A. CRUMB v. MARGARITO RODRIGUEZ](https://www.lawyerly.ph/juris/view/c2df0?user=fbGU2WFpmaitMVEVGZ2lBVW5xZ2RVdz09)
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[ GR No. L-7954, Mar 31, 1959 ]

HEIRS OF B. A. CRUMB v. MARGARITO RODRIGUEZ +

DECISION

105 Phil. 391

[ G.R. No. L-7954, March 31, 1959 ]

THE HEIRS OF B. A. CRUMB, ETC., ET AL., PLAINTIFFS AND APPELLANTS, VS. MARGARITO RODRIGUEZ, ET AL., DEFENDANTS AND APPELLEES.

D E C I S I O N

PADILLA, J.:

On 7 November 1922 Burdett  A. Crumb filed with the Bureau of Lands an application for lease of parts  of a tract of public land situated  in barrio Digos, municipality of Santa Cruz, province of Davao, originally applied for by the Mindanao Plantation Company (L. A. No. 17[E-14] and  Albert N. Boen (L. A. No.  242 [E-92]) (L. A. No. 2122,  Exhibit  1,  Defendants, Exhibit  Crumb).  On  29 June 1924 the  applicant died.  On 12 January 1925 the Director of  Lands awarded  the  lease applied for by the deceased  to  his  heirs  (Exhibit 1,  Defendants,  Exhibit Crumb).   On 12 August 1935 the Director of Lands  with the  approval of the Secretary of  Agriculture and  Commerce cancelled the lease on the ground that part of the leased tract  of land was subleased to aliens disqualified to lease public lands.  The lessees prayed for reconsideration  of  the  order  of  cancellation.  No  action on  their petitions for reconsideration  was taken until  the outbreak of the war  in  1941 (Exhibits A & B).  After the war the lessees revived and  pressed their petition  for reconsideration.  After  investigation and ocular inspection conducted  by the  Bureau  of  Lands, on 30 July  1948  the Director of Lands found
*  * * that  there  is no  sufficient evidence adduced to prove the subleasing of the land to aliens to justify the definite cancellation of the said  Lease Application No. 2122 of the late B. A. Crumb  and the disposition of the land covered thereby in favor of other persons, and, for  this reason, it is  neither legal nor just and equitable for this Office to cancel the said application.  Considering, however, the fact that portions of the land covered by the said application identified as Lots  Nos. 1586-A, 1601-A, 1620-A, and 1728-A  and 1586-B are more suitable for commercial and residential purposes rather than for agricultural purposes and, in fact, the said portions are actually occupied and used as such, the said Lease Application No. 2122, should be as it is hereby reinstated but  amended so as to  exclude therefrom  the  said portions.  The squatters occupying portions outside the areas of  said Lots Nos. 1586-A and B, 1601-A, 1620-A and 1728 A, are hereby ordered to vacate the premises. (Exhibit A.)
Margarito Rodriguez, Martin Bosio, Elino Casilac, Galo Dumagan,  Cresencio Erasmo, Juan Erasmo, Emilio Gubat, Claro  (Carlos)  Labos, Timoteo Lingcopines, Jesus Rabor, Cipriano Ravina, Rufino Revuelta, Dionisio Soriano, Julio Sotto and Barnabe  (Bernardo)  Vibas,  who are among  the defendants in the present case, and others whose  names need not be mentioned,  intervened  and appealed to the Secretary of Agriculture  and Natural Resources (Exhibit C).  On 3 March 1949 the Secretary  of Agriculture and Natural Resources denied their appeal (Exhibit B) and on 21  June 1949 their motion for reconsideration (Exhibit C). The intervenors  appealed to the President of the Philippines.  On 2 December  1950 the  President denied their appeal (Exhibit  D).  Before the expiration of  the lease on  12 January 1950 the lessees applied for renewal of the lease.   On  5 June 1951 the Secretary of Agriculture  and Natural Resources, upon recommendation of the Director of  Lands,  renewed  the lease for  another 25 years and denied  the  intervenors' opposition.   (Exhibit E).

On 18 March 1952 the plaintiffs filed an amended complaint in  the Court of First Instance of Davao alleging that the  defendants are occupying  parts  of the  leased tract of land without their consent  since  January  1940, that notwithstanding the  order of the Director  of  Lands and  the Secretary of Agriculture and Natural Resources to vacate the premises, they refused to  do so;  and that they have destroyed  the hemp (abaca), coconut and ramie plants therein.  They prayed that upon the  filing  of a bond to be fixed by  the Court the defendants be enjoined from  exercising further acts of possession over the parts of the  land  respectively occupied by them; that  after hearing the defendants be ordered to vacate and  deliver possession of the premises to them; and that the defendants be ordered to pay them damages in the respective amounts specified in the prayer (civil No. 344).

The  defendants, represented by the law  firm  of Ruiz, Ruiz,  Ruiz & Ruiz,  except Alipio  Datoc   and  Quintin Garcia, deny  that they are  occupying parts of the tract of land leased to the plaintiffs and assert that they  have been in possession of their  respective landholdings  even before the war.  As  special  defense they  assail the validity of the lease to the plaintiffs as the original applicant died before the award was  made and his heirs could not legally step into his  rights.   In addition, they claim that granting that the lease was  valid, the same already had expired  on 12 January 1950, and, therefore,  the  leased tract of land  reverted to the State and may be  disposed of as part of the public domain; that since the cancellation of the lease on 12 August 1935 by the Secretary  of Agriculture and Commerce, the  plaintiffs  had abandoned the leased tract of land  and allowed more than  3,000 people including them to occupy it; and that if they are occupying parts of the tract of land  in question, they  are bona fide occupants pursuant to the policy  of  the  Government  of breaking up big landed estates to be distributed among the landless like them.  They set up a counterclaim of P80,000 for  the value  of the  improvements they  have introduced,  in the  event that they are ordered to vacate the premises. They pray that the complaint be dismissed and the plaintiffs ordered to pay them P5,000 as damages for the malicious bringing of the action.

The defendant Alipio Datoc answered  that he  had acquired his  landholding  by homestead in  1927 and that the same  is  outside the boundaries of the tract  of land leased by the plaintiffs.  He set up a counterclaim of P500 and prayed that the complaint be dismissed.

The defendant Quintin Garcia claimed  that he was  a sublessee of the  tract of land leased to the estate of B. A. Crumb, the  plaintiffs  predecessor-in-interest, occupying about  10 hectares which he planted to abaca which was destroyed  during the war.  He  set up  a counterclaim of P1,230 for the value of the improvements he had  introduced and prayed that the complaint be dismissed.

The plaintiffs  filed replies controverting  the defendants' counterclaims.

After trial the Court rendered  judgment dismissing the plaintiffs' complaint and ordered them to pay the defendants the sum of Fl,000 as attorney's fees and costs of the suit. The plaintiffs have appealed.

The  case  involves possession  of  real  estate the  value of which exceeds P50,000 (Exhibits G  and  H), and for that reason  the  review of the judgment rendered by the trial court devolves upon this Court.

Section 4,  Act No. 2874, under which  the public  land in question was leased to the appellants, provides:
Subject to  said control,  the Director of Lands shall have direct executive control of the  survey, classification,  lease, sale, or any other form  of concession  or disposition  and  management of the lands of the public domain, and his decisions  as to questions of fact shall be conclusive when approved by the Secretary of Agriculture and Natural Resources.
Section 4, Commonwealth Act No.  141, under which the appellants' lease was  renewed by the Secretary of Agriculture and  Natural Resources  for another 25 years,  contains a similar provision.  Section  37, Act No. 2874,  provides in part:
Leases shall run for a period of not more than twenty-five years, but may be renewed for another period of not to exceed twenty-five years.  In case the lessee shall have made important  improvements which,  in  the discretion of  the  Secretary  of  Agriculture  and Natural Resources, justify a renewal of the lease, a further renewal for  an additional  period not to  exceed  twenty-five years may be granted.  * *  *.
Section 38, Commonwealth Act  No. 141, provides in part:
Leases shall run for a period of not more than twenty-five years, but may  be renewed once for another period  of not  to exceed twenty-five  years,  in case the lessee shall have made  important improvements which, in the discretion of the Secretary of Agriculture and Commerce, justify a renewal.  *  *  *.
As  the power to  lease  lands of the public  domain to qualified  persons or corporations is vested in the Director of Lands with the approval of the Secretary of  Agriculture and Natural Resources,  and  the authority to  renew  the lease upon its expiration  lies within  the discretion of the Secretary of Agriculture and Natural Resources, the decision of  the  Director of Lands with the  approval of  the Secretary of Agriculture and Natural Resources reinstating the appellants'  lease and  the  decision of the Secretary of Agriculture  and Natural  Resources renewing  their  lease for another  25 years may not be reviewed by the Courts in the absence  of fraud.  In reinstating the appellants' lease,  the Director of Lands  found  that the administrator of the estate of B. A. Crumb merely hired Japanese  subjects under  the "pakiao" system to clear and cultivate the land  and plant abaca trees and strip them; and that the evidence was not indubitable that their contract was a sublease  (Exhibit A).  These findings were approved by the Secretary of Agriculture and Natural Resources  (Exhibit B).  In renewing the appellants'  lease  for another twenty-five years, the  Secretary of  Agriculture  and Natural Resources found
"  *  * That  B.  A.  Crumb during his lifetime had really introduced important improvements on the land, has been established in several investigations conducted  by the  different  representatives of  the Bureau of Lands  and their findings have been confirmed in  the decisions of the Department of  Agriculture and Natural Resources; and of  the  Honorable Executive  Secretary by authority of  the President.  Under  these circumstances,  this Office  would be guilty of abuse of discretion if  the lease in favor of the heirs of B. A. Crumb would not be renewed.  B. A. Crumb, the original lessee, had; invested  thousands of  pesos in  introducing improvements on  the premises and to deprive his heirs of the fruits of the said improvements  is not only unjust  but illegal.  (Exhibit E)
A lessee has direct right of action  against an intruder.[1] In Pitargue vs. Sorilla, 92 Phil., 5; 48 Off. Gaz. 3849, 3854, this Court held that
The vesting of the Lands Department with authority to administer, dispose, and alienate public lands, therefore, must not be understood as depriving the other branches  of the Government  of the exercise of their respective functions or powers thereon, such as the authority to stop disorders and quell breaches of the peace by  the police and the authority  on the  part of the courts to take jurisdiction over  possessory actions arising  therefrom  not  involving;  directly or  indirectly,  alienation and disposition.
The appellee Alipio Datoc,  who claims that he  acquired his landholding  from  the Government by homestead  in 1927 and that the same is not within the appellants' leasehold  right, failed to present proof of such grant.  And when upon  his own motion the  Court commissioned  a surveyor  to verify  whether  his landholding  occupies  a part  of the  appellants'  leasehold right, the  surveyor  reported that  his landholding falls within  a  part  of the appellants' leasehold  right (Exhibit L).

The  appellee Quintin  Garcia  avers  in his  answer that he is a sublessee of the estate of B. A. Crumb.   Therefore,. his landholding falls within the appellants' leasehold right. The appellee Dionisio Soriano testified that Mr. Hughes, then manager  of the Crumb Estate, gave him a piece of land containing an area of 7 hectares in Digos to cultivate (pp. 626, 627,  t.s.n.).  It is, therefore,  within the appellants' leasehold right.

None of the appellees, all of whom  claim ownership of the lands they  respectively occupy, presented any proof of ownership or permit  granted by  the Director  of Lands to occupy them.   On the other hand, the appellants  have preponderantly shown  that the appellees  are  occupying parts of their  leasehold right.   In  Exhibit 1, defendants, Exhibit Crumb, which is a true copy  of  the decision of the Director of Lands awarding to the appellant's  heirs the lease of the  public  land  in question,  the  said  land is described as follows:

Bounded  on the northeast, by Rio Digos, public land,  Rio Digos, property claimed by  Vicente Barlis and public land; on the southeast, by Gulf of Davao; on the south, by public land and property claimed by R. W. Haley;  on the west, by public land, containing 1022-2416 hectares, situated in the barrio of Digos, Municipality of Sta. Cruz, Davao.  

In  Exhibit  C,  which is a true  copy  of the order of the Secretary of Agriculture and  Natural Resources, denying the intervenors' motion  for  reconsideration in  D.A.N.R. Case  No. 241, the following  appellees are mentioned as intervenors therein: Martin Bosio, Elino Casilac, Galo Dumagan, Cresencio  Erasmo, Juan Erasmo,  Emilio Gubat, Claro Labos, Timoteo  Lingcopines, Jesus  Mercado, Jesus Rabor, Cipriano Ravina, Rufino Revuelta, Dionisio Soriano, Julio  Sotto, and Barnabe (Bernardo)  Vibas.  In Exhibit M,  which is a true copy of a list containing the "names of actual occupants (intervenors-appellants) of the Crumb Estate,  Digos, Davao," signed by  the same counsel for the appellees except Quintin Garcia and Alipio Datoc, the following appellees appear:   Pedro Albino, Martin Bosio, Elino Casilac, Zoilo Dumagan, Juan Erasmo, Emilio Gubat, Claro Labos, Timoteo Lingcopines, Jesus Mercado, Ignacio Paraiso, Jesus Rabor, Cipriano Ravina, Rufino Revuelta, Dionisio Soriano, Julio Sotto, Nicasio Ubongen and Bernardo Vivas.  In Exhibits P,  Q, R, S, T, U, V, W and  X, which are true copies of the  declaration of real  property subscribed, sworn to in August 1947, and  filed by Martin Bosio, Rufino Revuelta, Emilio Gubat,  Pedro Albino, Zoilo Dumagan, Galo Dumangan, Jesus Mercado, Dionisio Soriano and Julio Sotto, respectively, under the provisions of Commonwealth Act No.  530, in Sta. Cruz, Davao, the following inscription appears:   "On  the  land  of  B.  A.  Crumb Estate;" and in Exhibit Y, which is true copy of a similar declaration subscribed, sworn to and filed by Juan Erasmo on 16 October 1947 in the same municipality, the following annotation appears: On the public land formerly owned by B. A.  Crumb."  As it appears that the appellees are illegally occupying parts of the appellants' leasehold right, they should be ordered to vacate the respective premises they occupy and restore possession thereof to the appellants.

As there is no definite  and satisfactory proof of the amount of damages  suffered by the  appellants, no amount of damages may be awarded to them.  Neither may the appellees be awarded the value of the improvements  as there is no indubitable proof to support their counterclaim on such improvements.

The judgment appealed from is  reversed  and the appellees ordered to vacate the premises they respectively occupy and restore possession  thereof to  the appellants,  without special pronouncement as to costs.

Paras, C. J., Bengzon, Montemayor, Reyes, A., Bautista Angelo, Labrador, Concepcion, Reyes, J. B. L., and Endencia, JJ., concur.



[1] Article 1664, new Civil  Code.

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