AGRA

DEFINITIONS:

(a) Agrarian Reform means redistribution of lands, regardless of crops or fruits produced, to
farmers and regular farmworkers who are landless, irrespective of tenurial arrangement, to
include the totality of factors and support services designed to lift the economic status of the
beneficiaries and all other arrangements alternative to the physical redistribution of lands,
such as production or profit-sharing, labor administration, and the distribution of shares of
stocks, which will allow beneficiaries to receive a just share of the fruits of the lands they
work.
(b) Agricultural Land refers to land devoted to agricultural activity as defined in this Act and not
classified as mineral, forest, residential, commercial or industrial land.

(c) Agrarian Dispute refers to any controversy relating to tenurial arrangements, whether
leasehold, tenancy, stewardship or otherwise, over lands devoted to agriculture, including
disputes concerning farmworkers' associations or representation of persons in negotiating,
fixing, maintaining, changing, or seeking to arrange terms or conditions of such tenurial
arrangements.

It includes any controversy relating to compensation of lands acquired under this Act and
other terms and conditions of transfer of ownership from landowners to farmworkers, tenants
and other agrarian reform beneficiaries, whether the disputants stand in the proximate
relation of farm operator and beneficiary, landowner and tenant, or lessor and lessee.

(d) Farmer refers to a natural person whose primary livelihood is cultivation of land or the
production of agricultural crops, either by himself, or primarily with the assistance of his
immediate farm household, whether the land is owned by him, or by another person under a
leasehold or share tenancy agreement or arrangement with the owner thereof.

(e) Farmworker is a natural person who renders service for value as an employee or laborer in
an agricultural enterprise or farm regardless of whether his compensation is paid on a daily,
weekly, monthly or "pakyaw" basis. The term includes an individual whose work has ceased
as a consequence of, or in connection with, a pending agrarian dispute and who has not
obtained a substantially equivalent and regular farm employment.

Regular Farmworker is a natural person who is employed on a permanent basis by an agricultural

enterprise or farm.

Seasonal Farmworker is a natural person who is employed on a recurrent, periodic or intermittent

basis by an agricultural enterprise or farm, whether as a permanent or a non-permanent laborer,
such as "dumaan", "sacada", and the like.

Other Farmworker is a farmworker who does not fall under paragraphs (g), (h) and (i).
 Agricultural tenancy exists when all the following requisites are present:
1) the parties are the landowner and the tenant or agricultural lessee;
2) the subject matter of the relationship is an agricultural land;
3) there is consent between the parties to the relationship;
4) the purpose of the relationship is to bring about agricultural production;
5) there is personal cultivation on the part of the tenant or agricultural lessee; and
6) the harvest is shared between landowner and tenant or agricultural lessee.

EXCLUSIONS FROM THE COVERAGE OF RA 6657

A. Lands actually, directly, and exclusively used for parks, wildlife, forest reserves,
reforestation, fish sanctuaries and breeding grounds, watersheds and mangroves;
B. Private lands actually, directly, and exclusively used for prawn farms and fishponds;
C. Lands actually, directly, and exclusively used and found to be necessary for:
1. National defense;
2. School site and campuses;
3. Experimental farm stations operated for educational purposes;
4. Seeds and seedling research and pilot production center;
5. Church sites and convents appurtenant thereto;
6. Mosque sites and Islamic centers appurtenant therto;
7. Communal burial grounds and cemeteries;
8. Penal colonies and penal farms actually worked by the inmates;
9. Research and quarantine centers; and
10. All lands with 18% slope and over, except those already developed.

SECURITY OF TENURE

SECTION 49. Ejectment of Tenant. - Notwithstanding any agreement or provision of law as to the
period, in all cases where land devoted to any agricultural purpose is held under any system of
tenancy, the tenant shall not be dispossessed of his holdings except for any of the causes
hereinafter enumerated and only after the same has been proved before, and the dispossession is
authorized by, the court.

Section 50. Causes for the Dispossession of a Tenant. - Any of the following shall be a sufficient
cause for the dispossession of a tenant from his holdings:

(a) The bona fide intention of the landholder to cultivate the land himself personally or
through the employment of farm machinery and implements: Provided, however, That should
the landholder not cultivate the land himself or should fail to employ mechanical farm
implements for a period of one year after the dispossession of the tenant, it shall be
presumed that he acted in bad faith and the land and damages for any loss incurred by him
 because of said dispossession: Provided, further, That the land-holder shall, at least one
year but not more than two years prior to the date of his petition to dispossess the tenant
under this subsection, file notice with the court and shall inform the tenant in wiring in a
language or dialect known to the latter of his intention to cultivate the land himself, either
personally or through the employment of mechanical implements, together with a certification
of the Secretary of Agriculture and Natural Resources that the land is suited for
mechanization: Provided, further, That the dispossessed tenant and the members of his
immediate household shall be preferred in the employment of necessary laborers under the
new set-up.

(b) When the current tenant violates or fails to comply with any of the terms and conditions of
the contract or any of the provisions of this Act: Provided, however, That this subsection shall
not apply when the tenant has substantially complied with the contract or with the provisions
of this Act.

(c) The tenant's failure to pay the agreed rental or to deliver the landholder's share: Provided,
however, That this shall not apply when the tenant's failure is caused by a fortuitous event or
force majeure.

(d) When the tenant uses the land for a purpose other than that specified by agreement of
the parties.

(e) When a share-tenant fails to follow those proven farm practices which will contribute
towards the proper care of the land and increased agricultural production.

(f) When the tenant through negligence permits serious injury to the land which will impair its
productive capacity.

(g) Conviction by a competent court of a tenant or any member of his immediate family or
farm household of a crime against the landholder or a member of his immediate family.

Section 51. Burden of Proof. - The burden of proof to show the existence of a lawful cause for the
ejectment of a tenant shall rest upon the landholder.

Section 8. Extinguishment of Agricultural Leasehold Relation - The agricultural leasehold relation

established under this Code shall be extinguished by:

(1) Abandonment of the landholding without the knowledge of the agricultural lessor;

(2) Voluntary surrender of the landholding by the agricultural lessee, written notice of which
shall be served three months in advance; or

(3) Absence of the persons under Section nine to succeed to the lessee, in the event of
death or permanent incapacity of the lessee.
 Section 28. Termination of Leasehold by Agricultural Lessee During Agricultural Year - The
agricultural lessee may terminate the leasehold during the agricultural year for any of the
following causes:

(1) Cruel, inhuman or offensive, treatment of the agricultural lessee or any member of his
immediate farm household by the agricultural lessor or his representative with the knowledge
and consent of the lessor;

(2) Non-compliance on the part of the agricultural lessor with any of the obligations imposed
upon him by the provisions of this Code or by his contact with the agricultural lessee;

(3) Compulsion of the agricultural lessee or any member of his immediate farm household by
the agricultural lessor to do any work or render any service not in any way connected with
farm work or even without compulsion if no compensation is paid;

(4) Commission of a crime by the agricultural lessor or his representative against the
agricultural lessee or any member of his immediate farm household; or

(5) Voluntary surrender due to circumstances more advantageous to him and his family.

Section 16. Procedure for Acquisition of Private Lands. — For purposes of acquisition of private
lands, the following procedures shall be followed:

(a) After having identified the land, the landowners and the beneficiaries, the DAR shall send
its notice to acquire the land to the owners thereof, by personal delivery or registered mail,
and post the same in a conspicuous place in the municipal building and barangay hall of the
place where the property is located. Said notice shall contain the offer of the DAR to pay a
corresponding value in accordance with the valuation set forth in Sections 17, 18, and other
pertinent provisions hereof.

(b) Within thirty (30) days from the date of receipt of written notice by personal delivery or
registered mail, the landowner, his administrator or representative shall inform the DAR of
his acceptance or rejection of the offer.

(c) If the landowner accepts the offer of the DAR, the Land Bank of the Philippines (LBP)
shall pay the landowner the purchase price of the land within thirty (30) days after he
executes and delivers a deed of transfer in favor of the government and surrenders the
Certificate of Title and other muniments of title.

(d) In case of rejection or failure to reply, the DAR shall conduct summary administrative
proceedings to determine the compensation for the land requiring the landowner, the LBP
 and other interested parties to submit evidence as to the just compensation for the land,
within fifteen (15) days from the receipt of the notice. After the expiration of the above period,
the matter is deemed submitted for decision. The DAR shall decide the case within thirty (30)
days after it is submitted for decision.

(e) Upon receipt by the landowner of the corresponding payment or, in case of rejection or
no response from the landowner, upon the deposit with an accessible bank designated by
the DAR of the compensation in cash or in LBP bonds in accordance with this Act, the DAR
shall take immediate possession of the land and shall request the proper Register of Deeds
to issue a Transfer Certificate of Title (TCT) in the name of the Republic of the Philippines.
The DAR shall thereafter proceed with the redistribution of the land to the qualified
beneficiaries.

(f) Any party who disagrees with the decision may bring the matter to the court of proper
jurisdiction for final determination of just compensation.

Section 23. Rights of Agricultural Lessee in General - It shall be the right of the agricultural lessee:

(1) To have possession and peaceful enjoyment of the land;

(2) To manage and work on the land in a manner and method of cultivation and harvest
which conform to proven farm practices;

(3) To mechanize all or any phase of his farm work; and

(4) To deal with millers and processors and attend to the issuance of quedans and
warehouse receipts for the produce due him.

Section 24. Right to a Home Lot - The agricultural lessee shall have the right to continue in the
exclusive possession and enjoyment of any home lot he may have occupied upon the effectivity of
this Code, which shall be considered as included in the leasehold.

Section 25. Right to be Indemnified for Labor - The agricultural lessee shall have the right to be
indemnified for the cost and expenses incurred in the cultivation, planting or harvesting and other
expenses incidental to the improvement of his crop in case he surrenders or abandons his
landholding for just cause or is ejected therefrom. In addition, he has the right to be indemnified for
one-half of the necessary and useful improvements made by him on the landholding: Provided, That
these improvements are tangible and have not yet lost their utility at the time of surrender and/or
abandonment of the landholding, at which time their value shall be determined for the purpose of the
indemnity for improvements.

Section 26. Obligations of the Lessee - It shall be the obligation of the agricultural lessee:
 (1) To cultivate and take care of the farm, growing crops, and other improvements on the
landholding as a good father of a family and perform all the work therein in accordance with
proven farm practices;

(2) To inform the agricultural lessor within a reasonable time of any trespass committed by
third persons upon the farm, without prejudice to his direct action against the trespasser;

(3) To take reasonable care of the work animals and farm implements delivered to him by the
agricultural lessor and see that they are not used for purposes other than those intended or
used by another without the knowledge and consent of the agricultural lessor: Provided,
however, That if said work animals get lost or die, or said farm implements get lost or are
destroyed, through the negligence of the agricultural lessee, he shall be held responsible and
made answerable therefor to the extent of the value of the work animals and/or farm
implements at the time of the loss, death or destruction;

(4) To keep his farm and growing crops attended to during the work season. In case of
unjustified abandonment or neglect of his farm, any or all of his expected produce may, upon
order of the Court, be forfeited in favor of the agricultural lessor to the extent of the damage
caused thereby;

(5) To notify the agricultural lessor at least three days before the date of harvesting or,
whenever applicable, of threshing; and

(6) To pay the lease rental to the agricultural lessor when it falls due.

Section 29. Rights of the Agricultural Lessor - It shall be the right of the agricultural lessor:

(1) To inspect and observe the extent of compliance with the terms and conditions of their
contract and the provisions of this Chapter;

(2) To propose a change in the use of the landholding to other agricultural purposes, or in the
kind of crops to be planted: Provided, That in case of disagreement as to the proposed
change, the same shall be settled by the Court according to the best interest of the parties
concerned: Provided, further, That in no case shall an agricultural lessee be ejected as a
consequence of the conversion of the land to some other agricultural purpose or because of
a change in the crop to be planted;

(3) To require the agricultural lessee, taking into consideration his financial capacity and the
credit facilities available to him, to adopt in his farm proven farm practices necessary to the
conservation of the land, improvement of its fertility and increase of its productivity: Provided,
That in case of disagreement as to what proven farm practice the lessee shall adopt, the
same shall be settled by the Court according to the best interest of the parties concerned;
and

(4) To mortgage expected rentals.

Section 30. Obligations of the Agricultural Lessor - It shall be the obligation of the agricultural lessor:
 (1) To keep the agricultural lessee in peaceful possession and cultivation of his landholding;
and

(2) To keep intact such permanent useful improvements existing on the landholding at the
start of the leasehold relation as irrigation and drainage system and marketing allotments,
which in the case of sugar quotas shall refer both to domestic and export quotas, provisions
of existing laws to the contrary notwithstanding.

SHAREHOLD VS LEASEHOLD

A. In Share Tenancy

(a) If the tenant is to receive less than the corresponding share for the different contributions
be made to the production of the farm as hereinafter provided.

(b) If it is stipulated that the tenant or any member or his immediate farm household shall
without compensation perform any work or render any service not connected with the
tenant's duties and obligations provided under this Act.

B. In Leasehold Tenancy

(a) If the tenant-lessee is to pay to the landholder, lessor, as a consideration for the use of
the land, an amount in excess of that hereinafter provided for the kind and class of land
involved.

(b) If the tenant-lessee is to pay the landholder-lessor a consideration in excess of the

amount prescribed as fair rental value, as determined pursuant to the provisions of this Act,
for the use of work animals, services and/or farm implements belonging to the landholder-
lessor, in case it is agreed between the parties that the latter shall furnish any or all of these
items of production.

(c) If it is stipulated that, as a condition precedent to the commencement or continuance of

the lease, the tenant-lessee shall rent work animals, services or farm implements, or shall
make use of any store or services operated by the landholder-lessor or any other person, or
that the landholder-lessor may impose fines, deductions and/or assessments, or that the
tenant-lessee shall, without compensation, perform any work or render any service not
connected with the tenant's duties and obligations provided under this Act.