WHEREAS, during the effectivity of the so-called "Parity Amendment" to the 1935 Constitution, citizens of the United States who were formerly Filipino citizens and other United States citizens who have resided in the Philippines for a long period of time or who become permanent residents thereof had acquired private residential lands for family dwelling purposes in good faith and in the honest belief that they may continue holding the same even after the expiration of Parity;

WHEREAS, under Section 11, Article XVII, of the new Constitution, the titles of American citizens over their private landholdings in the Philippines acquired prior to July 3, 1974, "shall be valid as against other private persons only";

WHEREAS, justice requires that the Government should treat these American old-timers, these former Filipino citizens, and these Americans who become permanent residents of the Philippines with special consideration and compassion.

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby order and decree the following: SECTION 1. Citizens of the United States of America who were formerly citizens of the Philippines or who on the date hereof have resided in the Philippines continuously for at least twenty (20) years, and who in good faith had acquired private residential lands in the Philippines not exceeding five thousand (5,000) square meters for a family dwelling before the expiration of the Philippine-United States Trade Agreement on midnight July 3, 1974 may continue to hold such lands and to transfer ownership over such lands to qualified persons or entities.

The same right is hereby granted to those citizens of the United States who become permanent residents of the Philippines and who acquired private residential lands in the Philippines of not more than five thousand (5,000) square meters for a family dwelling.

SEC. 2. All laws, decrees, orders, policies, rules and regulations or part thereof inconsistent herewith are hereby repealed or modified accordingly.

SEC. 3. This Decree shall take effect immediately.

Done in the City of Manila, this 27th day of May, in the year of Our Lord, nineteen hundred and seventy-five.