CH loses battle in SC over expropriation

CEBU, Philippines - The Supreme Court has upheld a lower court’s decision requiring the Cebu City government to pay 12-percent interest of the just compensation of the property it expropriated to serve as access road leading to the Cebu Business Park.

The high tribunal denied the petition for review on certiorari filed by the city government against Apolonio Dedamo, Jr.

Dedamo, who inherited the property from his parents, wants to claim 12-percent interest per year of the P20,826,339.50 just compensation from the time the city government take possession of the property in 1994 until the decision of the civil case for expropriation became final and executory.

Dedamo filed a petition before the court which was granted by the Court of Appeals. The appellate court however ruled that the 12-percent legal interest should be computed from the time the judgment became final and executory until the total amount is paid.

The city government assailed the ruling and elevated the case on certiorari before the Supreme Court.

Associate justice Bienvenido Reyes denied the petition citing the issue has already been decided with finality.

“The petition is denied on the ground of “res judicata” (a matter already judged) in the mode of conclusiveness of judgment. Conclusiveness of judgment bars the relitigation in a second case of fact or question already settled in a previous case,” the decision reads.

He added the city governments “can no longer question” the award given by the Court of Appeals to the respondent.

The case stemmed from a civil case filed before the court by the city government to take possession of the two parcels of land owned by the parents of Dedamo.  The city government took possession of the property after it deposited P51,156 pursuant to the provision under Section 19 of Republic Act 7160.

The parties entered into a compromise agreement  on December 14, 1994. It was agreed that a “provisional payment” of P1,786,400 should be made by the city government pending the determination by a panel of commissioners the just compensation.

The panel later reported to the court the sum of P20,826,339.50 as just compensation. The report was adopted and approved by the court.

The order was then affirmed by the CA and attained its finality. The court then ordered the issuance of a writ of execution. The City of Cebu on December 23, 2003 paid the sum of P19,039,939.50 as the remaining balance. But, Dedamo demanded a 12-percent legal interest of the amount. (FREEMAN)