National Power Corporation v. Jocson

G.R. Nos. 94193-99 · 1992-02-25 · J. DAVIDE, JR., J.: · Primary: Remedial; Secondary: Civil
REITERATION

Facts

The Antecedents: The National Power Corporation (NAPOCOR) filed seven (7) eminent domain cases to acquire right-of-way easements for its Negros-Panay Interconnection Project. NAPOCOR alleged urgent need, failed negotiations with property owners, and sought to fix provisional values to obtain a writ of possession. Procedural History: The cases were consolidated and re-raffled multiple times. The respondent Judge initially ordered NAPOCOR to show cause why expropriation was necessary and not dangerous. Subsequently, the Judge fixed provisional values significantly exceeding the assessed market values. NAPOCOR deposited the amounts. The respondent Judge then increased these provisional values without hearing, holding the writ of possession in abeyance. Later, the Judge issued an order requiring defendants to state within 24 hours if they would accept the deposited amounts as full satisfaction, and that the writ of possession would issue only after their manifestation and receipt. Finally, the Judge issued another order directing NAPOCOR to pay specific amounts within 24 hours as full payment and that the writ of possession would issue after defendants received the amounts. The Petition: NAPOCOR filed a special civil action for certiorari, alleging that the respondent Judge acted with grave abuse of discretion, in excess of jurisdiction, and in violation of due process by issuing the questioned orders, particularly in fixing excessive provisional values, increasing them without hearing, and unduly delaying the issuance of the writ of possession.

Issue(s)

Whether the respondent Judge committed grave abuse of discretion in fixing and increasing the provisional values of the properties sought to be expropriated. Whether the respondent Judge committed grave abuse of discretion in holding in abeyance the issuance of the writ of possession despite NAPOCOR's compliance with the deposit requirements. Whether the respondent Judge committed grave abuse of discretion in requiring the defendants to manifest their acceptance of the deposited amounts as full satisfaction and in making the issuance of the writ of possession contingent upon such acceptance and receipt.

Ruling

The Supreme Court granted the petition, set aside the questioned orders of the respondent Judge, and made permanent the temporary restraining order. The Court directed the respondent Judge to fix the provisional values in accordance with P.D. No. 42 and to proceed with the eminent domain cases without unnecessary delay.

Ratio Decidendi

On the fixing and increasing of provisional values: The Court held that the respondent Judge committed grave abuse of discretion by fixing provisional values based on market value and potential profits, disregarding Presidential Decree No. 42 (P.D. No. 42), which mandates that the provisional value be an amount equivalent to the assessed value for taxation purposes. The Court further noted that the increase in provisional values in Civil Cases Nos. 5938 and 5939 was done without a hearing, violating due process. The Court emphasized that once the provisional value is fixed and deposited, the trial court loses plenary control over the order fixing the amount of the deposit and cannot amend or modify it in matters of substance. On the issuance of the writ of possession: The Court reiterated that upon filing of the complaint or at any time thereafter, the petitioner has the right to take possession of the property involved upon depositing the provisional value. This right is granted by Section 2 of Rule 67 of the Rules of Court and P.D. No. 42. The issuance of the writ of possession is a ministerial duty of the court. The respondent Judge's refusal to issue the writ, despite NAPOCOR's compliance with the deposit requirements, constituted a grave abuse of discretion and a violation of the law. On requiring manifestation of acceptance and making writ contingent on receipt: The Court found the respondent Judge's order requiring defendants to manifest their acceptance of the deposited amounts as full satisfaction, and making the writ of possession contingent on such acceptance and receipt, to be without legal basis. This action effectively surrendered the judicial prerogative to determine just compensation to the defendants, which is an impermissible encroachment on judicial functions. The Court stressed that the determination of just compensation is a judicial function, and the respondent Judge's procedure amounted to an abdication of this duty and a disregard of the established procedure in eminent domain cases.

Main Doctrine

The Supreme Court reiterated that in eminent domain cases, the petitioner's right to take possession upon deposit of the provisional value is ministerial, and the trial court commits grave abuse of discretion by unduly delaying or refusing to issue the writ of possession. Furthermore, the Court emphasized that the determination of provisional value under P.D. No. 42 must be based on the assessed value for taxation purposes, not on market value or potential profits, and that the trial court loses control over the order fixing the provisional value once the deposit is made.

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