GENERAL/FUNDAMENTALS OF REAL ESTATE SERVICE

Fundamentals of Property Ownership

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Special CPD Lectures for Vista Land
 OWNERSHIP LIMITATIONS: GENERAL

includes destruction, restriction, diminution, or interruption

of the rights of ownership or
of the common and necessary use and enjoyment of the property
in a lawful manner, lessening or destroying its value.

neither necessary that the owner be wholly deprived of the use,

nor material whether the property is removed from his possession,
or in any respect changes hands.
National Government Local Government
LAWS OF THE LAND
RA – Republic Act
BP – Batas Pambansa
PD – Presidential Decree
EO – Executive Order

JURISPRUDENCE

IRR – Implementing Rules and Regulation

EO – Executive Order
PP – Presidential Proclamation
AO – Administrative Order

ORDINANCE and Resolution

#1 #2 #3
 National Political-Geographic Units
Government
Autonomous
Regions

Provinces HUCs/ICCs Provinces HUCs/ICCs

Component Component
Cities Municipalities Municipalities
Cities

Barangays Barangays Barangays

Barangays Barangays Barangays
 ARTICLE 1

The national territory comprises

the Philippine archipelago,
with all the islands and waters embraced therein,
and all other territories over which
the Philippines has sovereignty or jurisdiction,
consisting of its
terrestrial, fluvial, and aerial domains,
including its territorial sea, the seabed, the subsoil,
the insular shelves, and other submarine areas.
The waters
around, between, and connecting
the islands of the archipelago,
regardless of their breadth and dimensions,
form part of the
internal waters of the Philippines.
 The waters around, between, and connecting
the islands of the archipelago,
regardless of their breadth and dimensions,
form part of the internal waters of the Philippines.
United Nations Convention on the Law of the Sea
(10 December 1982) 2015 Members: 166 countries and the European Union

The Convention establishes

a comprehensive legal framework
to regulate all ocean space, its uses and resources.
17 Parts (320 Articles ) + 9 Annexes (116 Articles )

UNCLOS was opened for signature

at Montego Bay, Jamaica, on 10 December 1982.
It entered into force 12 years later, on 16 November 1994.
 RA 9522,
in 10 March 2009,
amended RA 3046 and defined
The New
ARCHIPELAGIC BASELINE
OF THE PHILIPPINES

EEZ = max 200nmi

inclusive of:
Territorial Sea = 12nmi
Contiguous Zone = + 12nmi

Commission on The Limits

of The Continental Shelfl
additional
Continental Shelf = 150nmi
CLASSIFICATION ACQUISITION
 According to Nature  Byoperation ofLaw

 According to Ownership  Bystipulation ofContract

 According to Constitution and Other Laws

 Special Properties
 CLASSIFICATION OF PROPERTIES

PERSONAL
Classification
in Terms of MOVABLE
NATURE IMMOVABLE
REAL
Article 415. TEN (10) IMMOVABLE PROPERTIES

By Nature By Incorporation

By Destination By Analogy
Article 415. TEN (10) IMMOVABLE PROPERTIES

By By
By Nature By Analogy
Incorporation Destination

1. Land, buildings, 2. Flora 2. Objects for use or 10. Contracts for

roads and 3. Everything ornamentation public works,
constructions attached to an 5. Machinery or and servitudes
of all kinds immovable in a implements and
adhered to the fixed manner 6. Animal breeding other real rights
soil 4. Objects for use or spaces over
ornamentation 9. Floating docks immovable
(intent to attach and structures property.
permanently) (intended by nature
6. Fauna’s breeding and object to remain
places at a fixed place on a
7. Fertilizer on land river, lake, or coast)
CLASSIFICATION ACQUISITION
 According to Nature  Byoperation ofLaw

 According to Ownership  Bystipulation ofContract

 According to Constitution and Other Laws

 Special Properties
PUBLIC LAND CLASSIFICATION

 Exploration, Development, and Utilization

may be undertaken by the State
1. directly or
2. indirectly
(co-production,
JV, or
production-sharing agreements)
only with Filipino
 natural persons, or
 juridical persons
(60% capital ownership)
 Agreements = maximum 25 years
renewable for another 25yrs
CONSTITUTIONAL CLASSIFICATION OF PROPERTIES
Article 12, Section 2 (fourth paragraph)
The President may enter into agreements
with foreign-owned corporations involving either
technical or financial assistance for large-scale
exploration, development, and utilization
of minerals, petroleum, and other mineral oils
according to the general terms and conditions
provided by law, based on real contributions to the
economic growth and
general welfare of the country.
One of the largest and most significant
industrial endeavors in Philippine history.
The project is spearheaded by DOE,
and developed and operated by
Shell Philippines Exploration B.V. (SPEX)
on behalf of joint venture partners
Chevron Malampaya LLC
and the PNOC-Exploration Corporation.

Joint Oil and Gas Exploration with Chevron

 SPECIAL PROPERTIES - WATER

Article 502. The following are of public dominion:

1. Rivers and their natural beds;
2. Continuous or intermittent waters of springs and brooks running in their natural beds and the
beds themselves;
3. Waters rising continuously or intermittently on lands of public dominion;
4. Lakes and lagoons formed by Nature on public lands, and their beds;
5. Rain waters running through ravines or sand beds, which are also of public dominion;
6. Subterranean waters on public lands;
7. Waters found within the zone of operation of public works, even if constructed by a contractor;
8. Waters rising continuously or intermittently on lands belonging to private persons, to the
State, to a province, or to a city or a municipality from the moment they leave such lands;
9. The waste waters of fountains, sewers and public establishments
SPECIAL PROPERTIES - WATER

RA 386, Article 504

The use of public waters is acquired:
(1) By administrative concession;
(2) By prescription for ten (10) years.
 PD 1067
Water Code of the PH
The banks or rivers and streams
and the shores of the seas and lakes throughout their entire length
and within a zone of 3 meters in urban areas,
20 meters in agricultural areas and 40 meters in forest areas,
along their margins, are subject to the EASEMENT OF PUBLIC USE
in the interest of recreation, navigation, flotage, fishing and salvage.
No person shall be allowed to stay in this zone longer than what is necessary
for recreation, navigation, flotage, fishing or salvage
or to build structures of any kind.
 CLASSIFICATION OF PROPERTIES - SPECIAL

Waters
Minerals
Trade-marks & Trade-names
 !

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CLASSIFICATION ACQUISITION
 According to Nature  Byoperation ofLaw

 According to Ownership  Bystipulation ofContract

 According to Constitution and Other Laws

 Special Properties
FUNDAMENTAL LAW OF THE LAND
CONSTITUTIONAL CLASSIFICATION ACCORDING TO ALIENABILITY
PUBLIC DOMAIN BY LAW
PRIVATE DOMAIN BY CONTRACT

Foreshore and Reclaimed Lands; Lakes, navigable rivers and creeks

MAJOR LAWS FOR THE CONSTITUTIONAL CLASSIFICATION OF LPD

Agricultural Lands Forest or Mineral Land National Parks

Timber Land

NON-ALIENABLE, NON-DISPOSABLE
Lands of the Public Domain classified as forest and mineral lands as
well as national parks beyond the commerce of man
 The Philippines is one of the richest mineral resource-
endowed country in the world. The country is ranked the
world’s 5th most mineral-rich country:
3rd largest gold reserve deposits, 4th in copper,
5th in nickel and 6th in chromite resources.
Out of its 30 million hectares of land area,
30% has been found to be geologically prospective for
metallic minerals, while an additional 17% of its
total land area is potentially rich in non-metallic deposits.
CONSTITUTIONAL CLASSIFICATION OF PROPERTIES
philippine
Public Land
2. Forest or Timber

A long-term license executed by and between

the Secretary of the DENR, on behalf of the
government, and the grantee for the
harvesting and removal from the
public forest of timber and, in appropriate
cases, also of other forest products.
CONSTITUTIONAL CLASSIFICATION OF PROPERTIES
philippine
Public Land
4. National Parks
MAJOR LAWS FOR THE CONSTITUTIONAL CLASSIFICATION OF LPD

Agricultural Lands Forest or Mineral Land National Parks

Timber Land

ALIENABLE AND DISPOSABLE (A&D)

Lands of the Public Domain classified as agricultural that may be
acquired thru public grant or confirmation of imperfect title

Special CPD Lectures for Vista Land

CONSTITUTIONAL CLASSIFICATION OF PROPERTIES
philippine
Public Land
1. agricultural
Article 12, Section 3
Private corporations or associations may not hold such
alienable lands of the public domain except by lease,
for a period not exceeding 25 years,
renewable for not more than 25 years,
and not to exceed 1,000 hectares in area.
Citizens of the Philippines may lease
not more than 500 hectares,
or acquire not more than 12 hectares
thereof by purchase, homestead, or grant.
?
 STATUTORY CLASSIFICATION OF LANDS

Title 2
Agricultural Public Lands
Title 3
Lands for Residential, Commercial or Industrial
Title 4
of the public domain Lands for Educational, Charitable, and Others
may be further classified by law
Title 5
according to the uses.
Reservations
OWNERSHIP ACQUISITION – TRANSMISSION & TRADITION

Homestead
mode of acquiring A&D lands for agricultural purposes
Agricultural conditioned upon actual cultivation and residence.
Residential
Sale > Miscellaneous Sale
Commercial disposition by public auction of A&D lands
Industrial for residential, commercial and industrial
Educational
Charitable Free Patent > Administrative & Judicial Legalization
Reservations public grant of land title based on residency-prescription
with 5-year non-transferability restriction
 OWNERSHIP ACQUISITION – TRADITION

Homestead
mode of acquiring A&D lands for agricultural purposes
conditioned upon actual cultivation and residence.
1. Filipino Citizen only @ max. 12 hectares
Agricultural
2. One homestead application only to DENR
Residential
1. PENRO = max. 5-hectares
Commercial 2. RED = above 5 hectares
Industrial 3. Secretary = above 10 hectares
Educational 3. Title will be issued after
Charitable a. Cultivation = 20% of the land (min. 1yr – max. 5yrs)
Reservations b. Residency = min. 1 year (within LGU or adjacent LGU)
4. Transferability = after 5 years
 OWNERSHIP ACQUISITION – TRADITION

Sale > Miscellaneous Sale

disposition by public auction of A&D lands
for residential, commercial and industrial
1. Filipino Citizen only @ max. 12 hectares
Agricultural  Applicant should not own more than 5 hectares
Residential 2. A&D Agricultural Lands beyond
Commercial 1. City Proper = 10 km
Industrial 2. Municipal Proper = 5 km
Educational 3. Cultivation = 20% of the land within 5 years
Charitable  Pasture = 1 cattle per hectare
Reservations 4. Transferability = after 10 years
5. Reversion = voluntary abandonment w/in 1 year
FREE PATENT LAWS: ADMINISTRATIVE LEGALIZATION

Agricultural
Residential
Commercial
Industrial
Educational
Charitable
Reservations

ADMINISTRATIVE LEGALIZATION SEC 44

OWNERSHIP ACQUISITION – TRANSMISSION

HUC = 200 sqm 1st and 2nd Class = 750 sqm

Other cities = 500 sqm Other municipalities = 1,000 sqm

COVERAGE: all lands that are zoned as residential areas

PRESCRIPTION: under a bona fide claim of ownership for at least 10 years
APPLICATION & TRANSFERABILITY: one application and no restriction, respectively

45
CLASSIFICATION ACQUISITION
 According to Nature  Byoperation ofLaw

 According to Ownership  Bystipulation ofContract

 According to Constitution and Other Laws

 Special Properties
CLASSIFICATION OF PROPERTIES IN TERMS OF OWNERSHIP
Concept of

Can you own a land who has no apparent owner ?

Concept of
REGALIAN DOCTRINE

The Doctrine dictates that

all lands of the public domain
belong to the State,
that the State is the source
of any asserted right
to ownership of land
and charged with the
conservation of such patrimony.

The doctrine has been consistently adopted under the

1935, 1973, and 1987 Constitutions.
REGALIAN DOCTRINE UNDER 1987 CONSTITUTION

All lands of the public domain,

waters, minerals, coal, petroleum,
and other mineral oils,
all forces of potential energy,
fisheries, forests or timber,
wildlife, flora and fauna, and
other natural resources
are owned by the State.

Except agricultural lands, all natural

resources shall not be alienated.
CONSTITUTIONAL CLASSIFICATION OF PROPERTIES
CA 141, Section 6
The President, upon the recommendation of the Secretary of Agriculture
and Commerce, shall from time to time classify the lands of the
public domain into —
a. Alienable or disposable,
b. Timber, and
c. Mineral lands,
and may at any time and in a like manner
transfer such lands from one class to another,
for the purposes of their administration and disposition.
A&D LANDS OF PUBLIC DOMAIN

PUBLIC
for Public Purpose, Public Use and Wealth Dev’t

PRIVATE
PATRIMONIAL PROPERTY

Article 12, Section 3

Alienable lands of the public domain shall be limited to agricultural lands.
A&D LANDS OF PUBLIC DOMAIN

PUBLIC
for Public Purpose, Public Use and Wealth Dev’t

RA 386, Article 420

The following things are property of public dominion:

1. Those intended for public use, such as roads, canals, rivers,

torrents, ports and bridges constructed by the State,
banks, shores, roadsteads, and others of similar character;

2. Those which belong to the State, without being for public

use, and are intended for some public service or
for the development of the national wealth.
A&D LANDS OF PUBLIC DOMAIN

RA 386, Article 422

Property of public dominion,
when no longer intended for public use or for public service,
shall form part of the patrimonial property of the State.

PRIVATE
PATRIMONIAL PROPERTY
CLASSIFICATION OF PROPERTIES IN TERMS OF OWNERSHIP
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