FACTS:

The respondents in this case inherited a land in Aroroy, Masbate, which was solely used for cow and calf breeding. In 1987, they voluntarily offered to sell their land to the Department of Agrarian Reform (DAR) under the agrarian reform program. However, in 1990, the Supreme Court declared that lands used for livestock and poultry-raising were not deemed agricultural land and invalidated certain provisions of the Comprehensive Agrarian Reform Law (CARL). Subsequently, the respondents requested the withdrawal of their voluntary offer to sell as their landholding was specifically used for cattle-raising and therefore exempted from the CARL.

Upon inspection, the Municipal Agrarian Reform Officer recommended the exemption of the respondents' landholding. However, the DAR issued Administrative Order (A.O.) No. 9, series of 1993, which established retention limits for livestock farms. The respondents objected to the inclusion of their landholding and challenged the constitutionality of A.O. No. 9. They appealed to the Office of the President but were denied.

The Court of Appeals, on further appeal, declared DAR A.O. No. 9 null and void and reversed the ruling of the Office of the President. The main issue in this case revolves around the constitutionality of A.O. No. 9, which sets a maximum retention limit for owners of lands dedicated to livestock raising.

ISSUES:

1. Whether DAR Administrative Order (A.O.) No. 9, series of 1993 is unconstitutional.

RULING:

1. The Court of Appeals declared DAR A.O. No. 9, series of 1993 null and void for being contrary to the intent of the 1987 Constitutional Commission to exclude livestock farms from the land reform program of the government. The Office of the President affirmed the order of the Department of Agrarian Reform (DAR) ruling that the landholding is covered by the agrarian reform program. However, the Court of Appeals reversed and set aside the ruling, declaring DAR A.O. No. 9, series of 1993 null and void.

PRINCIPLES:

• Lands devoted to livestock and poultry-raising are not included in the definition of agricultural land.

• It is within the constitutional power of the DAR to issue administrative orders in the implementation of agrarian reform laws.

• DAR Administrative Order (A.O.) No. 9, series of 1993 is null and void for being contrary to the intent of the 1987 Constitutional Commission to exclude livestock farms from the land reform program of the government.