FEU, JD4202
i) Fertilizers: P 2000
v) Insecticides: P 2000
Under Section 34 of Republic Act No. 3844, the lease rental to be paid by
all agricultural lessees shall not be more than the equivalent of twenty-five
percent of the average normal harvest during the three agricultural years
immediately preceding 15 June 1988, after deducting the amount used for seeds
and the cost of harvesting, threshing, loading, hauling and processing, whichever
is applicable. Thus, the rent which Pedro has to pay is computed as follows:
In this case, Pedro, being the lessee, may plant secondary crops on
the land he leases.
c. Can Juan ask for an increase in the monthly rent? Why or why not?
In this case, Juan cannot ask for an increase in the monthly rent
despite the introduction of the auxiliary crops by Pedro. The planting of
secondary crops has already been considered by the parties when they
fixed the amount of rent. Nevertheless, Juan is entitled to twenty per
centum of the net produce in the said crops provided that Pedro
shouldered all the expenses of production.
The crops can be changed from rice to corn when the landholder
proposes such change.
Under Section 29 (2) of Republic Act 3844, it shall be the right of the
agricultural lessor to propose a change in the use of the landholding to
other agricultural purposes, or in the kind of crops to be planted:
Provided, That in case of disagreement as to the proposed change, the
same shall be settled by the Court according to the best interest of the
parties concerned.
In this case, rice can be changed to corn when Juan, the lessor,
proposes such change and Pedro, the lessee, agrees to said proposal. In
the event that Pedro rejects the proposed change, the Court shall settle
the disagreement taking into consideration the best interest of both
parties.
Therefore, the crops can be changed when the lessor and lessee
agree to the proposed change.
3. Aldo, the eldest, Barbara and Caloy, the youngest, are children of Juan, a
tenant of Don Subas. Juan is married to Elsa.
The person who will succeed Juan is either of his children or his spouse
depending on their capacity to cultivate the landholding and subject to
the choice of the agricultural lessor.
In this case, the person who will succeed Juan is either his spouse or
one of his children subject to choice of Don Subas, the agricultural lessor.
However, if Don Subas failed to exercise his choice within the periods
provided in the law, the order of succession shall start from Elsa, the
surviving spouse, then Aldo, the eldest child, followed by Barbara, the
next eldest, and lastly by Caloy, the youngest.
Therefore, the person who will succeed Juan shall be chosen by Don
Subas or in the event the latter failed to choose, the priority shall be in
accordance with the order established in the law i.e. the surviving
spouse, the eldest direct descendant by consanguinity, or the next eldest
descendant or descendants in the order of their age.
b. If Don Subas goes to you for legal advice on the matter what will you
propose as the BEST option? Explain.
4. Under Republic Act No. 3844, it is provided that one of ground for dispossession
is, as follows:
5. When can the landowner ask for an increase in the lease rental?
The landowner can ask for an increase in the lease rental if capital
improvements are introduced on the farm not by the lessee to increase its
productivity.
Under Section 34 (4th proviso) of Republic Act No. 3844, the rental shall be
increased proportionately to the consequent increase in production due to said
improvements. In case of disagreement, the Court shall determine the reasonable
increase in rental.
Hence, there can be an increase in the lease rental if capital improvements
are introduced not by the lessee to increase the productivity.
7. What kinds of crops, if any, are excluded in the computation of the lease rental?
Principal and auxiliary crops which are not existing at the time the leashold
agreement was established shall be excluded from the computation of the lease
rental.
Under Section 3.6. of DAR Administrative Order No. 06 Series of 2003, the
lease rental shall cover the whole farmholding attended to by the lessee.
Computation of the lease rental shall include both the principal and auxiliary
crops in the area as of the time the leasehold agreement was established.
Hence, those principal and auxiliary crops which are not existing at the time
of the establishment of leashold agreement shall not be included in the
computation of the lease rental.