G.R. No. L-1496. November 29, 1949.
COMMONWEALTH OF THE PHILIPPINES, plaintiff-appellee, vs. CAYETANO DE BORJA, defendant-appellant.

FACTS

The Commonwealth Government filed a complaint on June 19, 1939, to expropriate a 10,565-square-meter parcel of land in Gapan, Nueva Ecija, for subdivision and resale to its tenants or occupants. The government alleged that conflicts existed between the tenants and the landowner regarding ownership and possession of the occupied portions. The defendant-appellant filed a motion to dismiss, which the Court of First Instance overruled. The case was appealed, and the Supreme Court found it analogous to its recent ruling in Guido vs. Rural Progress Administration.

ISSUE

Whether the expropriation of the land for the purpose of subdivision and resale to its tenants is for a public use as authorized by Commonwealth Act No. 539 and the Constitution.

RULING

No. The Supreme Court reversed the appealed order and dismissed the complaint. Following its decision in Guido vs. Rural Progress Administration, the Court held that the expropriation was not for a public use. The land was commercial, and the expropriation was intended solely for the economic relief of a few tenants, devoid of any consideration of public health, peace, order, or general public advantage. Such a taking would be for a private use, which is not authorized under the constitutional provision (Article XIII, Section 4) and the implementing Act (Commonwealth Act No. 539), as interpreted in light of the intent of the framers to break up large agricultural estates, not commercial lots. The expropriation would violate the constitutional guarantees against taking private property for private use without due process and without just compensation.

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