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Tuesday, July 15, 2025

DAR asks CA to rethink P28.4–b payment to Hacienda Luisita

The Department of Agrarian Reform (DAR) has filed a motion for reconsideration before the Court of Appeals, challenging the court’s order that DAR and the Land Bank pay the Hacienda Luisita Inc. P28.488 billion in compensation for 4,500 hectares of sugar plantation in Tarlac covered by the Comprehensive Agrarian Reform Program.

“While we respect the decision of the Court, we believe there are substantial issues that merit further judicial scrutiny,” DAR plea stated.

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The motion, filed by the Office of the Solicitor General (OSG) stressed the necessity of a careful legal review and reasserted the government’s commitment to upholding the principles of agrarian reform while also ensuring the proper use of public funds and adherence to legal due process.

In an April 25 decision,  promulgated on April 25, 2025, the CA granted the petition for review filed by the Cojuangco family-owned estate against DAR and the Land Bank of the Philippines (LBP).

“Respondents are ordered to pay petitioner the total amount of P28,488,944,278.71 as just compensation as of 30 April 2025, without prejudice to the accrual of interest until fully paid,” the ruling stated, penned by Associate Justice Raymond Reynold Lauigan.

While DAR said the OSG has its trust and confidence in handling the case, it is still conducting its own careful evaluation through its legal services to share substantial inputs on the matter to protect the government’s interest. 

“The case remains a critical matter in the discourse on land reform and just compensation, and the government agencies involved reaffirm their commitment to ensuring that the resolution aligns with law, equity and public interest,” DAR said.

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