GR 141182; (October, 2001)

SECOND DIVISION

G.R. No. 141182; October 9, 2001

HEIRS OF PEDRO CUETO Represented by ASUNCION CUETO, petitioner,

vs.

HON. COURT OF APPEALS (SPECIAL FORMER FIRST DIVISION) and CONSOLACION COMPUESTO, respondents.

BUENA, J.:

This is an appeal by Certiorari under Rule 45, seeking to set aside Decision of the Court of Appeals dated April 30, 1999¹ in CA G.R. SP No. 45708 entitled, "Heirs of Pedro Cueto vs. Consolacion Compuesto," which denied the Petition for Review and affirmed the Decision of the Department of Agrarian Reform Adjudication Board, the dispositive portion of which reads:

"WHEREFORE, in the light of the foregoing, judgement is hereby rendered declaring petitioner (herein respondent) as the bonafide tenant of landowner Pedro Cueto on the subject land holding, ordering the substituted respondents:

"1. To return the physical possession and cultivation of the subject property to herein petitioner.

"2. To present and desist from further disturbing petitioner in her possession/cultivation of the subject land.

"All claims and counterclaim are hereby dismissed for lack of legal basis.

“No pronouncement as to cost.

"SO ORDERED."²

On March 20, 2001, after an exchange of pleadings and while the above-entitled case was pending resolution before the Second Division of this Court, the Petitioners and the Private Respondent, by their respective counsels, entered into a compromise agreement.³ On even date, the parties filed a Joint Motion for Leave to File Motion to Admit Compromise.⁴ This Court granted the said motion for leave on July 2, 2001.⁵ Thereafter, on August 30, 2001, Petitioners and Private Respondent filed a Joint Manifestation with Motion⁶ to approve the said compromise agreement, dated March 20, 2001, which reads:

"The undersigned parties, assisted by their respective counsels, and the Heirs of the Spouses Zacarias and Coleta Buenaagua, represented by Diano B. Leus, have agreed to amicably settle the above-entitled case, under the following terms and conditions:

"COMPROMISE AGREEMENT"

"1. That respondent Consolacion Compuesto and the Heirs of the Spouses Zacarias and Coleta Buenaagua will divide equally the involved landholding in this case consisting of more of less 1.20 hectares of riceland, situated at Sto. Niño, Sagnay, Camarines Sur, and bounded by a Creek and the lands of Francisco Buenaagua, Clemente Coronel, Paulino Villano, and Zacarias Buenaagua;

"2. That the above-cited division shall be done by vertically dividing the above-described landholding from its middle portion;

"3. That the divided half portion of the involved landholding bounded by a creek and the lands of Francisco Buenaagua and Clemente Coronel will be the portion that will go to respondent Consolacion Compuesto while the half portion of the involved landholding bounded by the lands of Paulino Villano and Zacarias Buenaagua will be the portion that will go collectively to the heirs Spouses Zacarias and Coleta Buenaagua;

"4. That respondent Consolacion Compuesto and the Heirs of the Spouses Zacarias and Coleta Buenaagua will share equally in the expenses to be incurred in the segregation or division of their above-described respective half portions;

"5. That respondent Consolacion and the Heirs of the Spouses Zacarias and Coleta Buenaagua will each pay the heirs of Pedro Cueto the amount of Twenty Five thousand (P25,000.00) Pesos or a total amount of Fifty Thousand (P50,000.00) Pesos, in addition to what they had already paid as the landowners’ share or rentals in the involved landholding, as the just compensation of said landholding;

"6. That the above-cited obligations of respondent Consolacion Compuesto and the heirs of the Spouses Zacarias and Coleta Buenaagua will be discharged by each of them by paying or giving said heirs of Pedro Cueto one-fourth (1/4) share of their net harvest in their respective above-described half harvest in their respective portions in the involved landholding after the approval of this agreement by the Honrable Court, until they are fully paid; and

"7. That by virtue of this compromise agreement, the parties hereto have waived and renounced, as they hereby waive and renounced forever, any and all claims and counterclaims of whatever nature and kind against each other arising from and/or by reason of this present case.

"WHEREFORE, premises considered, the undersigned parties most respectfully prayed of this Honorable Court that the foregoing compromise agreement be approved and on the basis thereof, a decision be rendered in the above-entitled case, without pronouncement as to costs.

"Naga City, Philippines, March 20, 2001

"HEIRS OF PEDRO CUETO

By:

(sgd,) ASUNCION CUETO

            Petitioners

Assisted by:

(sgd,) CELSO B. CUETO

            Counsel for the Petitioners

(sgd,) CONSOLACION COMPUESTO

            Private Respondent

Assisted by:

(sgd,) OSCAR B. VILLAMORA

            Cousel for Private Respondent

HEIRS OF SPS. ZACARIAS and COLETA BUENAAGUA

By:

(sgd.) DIANA B. LEUS"

It is apparent that despite the pendency of this case, the parties have endeavored and managed to resolve the dispute among themseves and managed to resolved the dispute among themselves. The only thing left for us to do is put our judicial imprimatur on the compromise agreement in accordance with Article 2037 of the Civil Code.

Finding the Compromise Agreement to be in order and not contrary to law, morals, good customs and public policy, the same is hereby approved.

WHEREFORE, judgment is hereby rendered in accordance with the aforequoted Compromise Agreement dated March 20, 2001. The parties are enjoined to comply strictly and in good faith as well as with sincerity and honesty of purpose, the terms, conditions and stipulation therein contained.

SO ORDERED.

Bellosillo, Mendoza, Quisumbing, De Leon, Jr., JJ., concur.

Footnote

1 Annex "A"/CA Decision, pp. 27-35, ROLLO.

2 CA Decision, p. 28. ROLLO.

3 Compromise Agreement, pp. 91-92, ROLLO.

4 Motion, p. 85, ROLLO.

5 SC Resolution, p. 87, ROLLO.

6 Motion, p. 88, ROLLO.

Batas Pinas