Thus, it is well-settled that a case filed by a landowner for recovery of possession or ejectment against a public utility corporation, endowed with the power of eminent domain, which has occupied the land belonging to the former in the interest of public service without prior acquisition of title thereto by negotiated purchase or expropriation proceedings, will not prosper. Any action to compel the public utility corporation to vacate such property is unavailing since the landowner is denied the remedies of ejectment and injunction for reasons of public policy and public necessity as well as equitable estoppel. The proper recourse is for the ejectment court: (1) to dismiss the case without prejudice to the landowner filing the proper action for recovery of just compensation and consequential damages; or (2) to dismiss the case and direct the public utility corporation to institute the proper expropriation or condemnation proceedings and to pay the just compensation and consequential damages assessed therein; or (3) to continue with the case as if it were an expropriation case and determine the just compensation and consequential damages pursuant to Rule 67 (Expropriation) of the Rules of Court, if the ejectment court has jurisdiction over the value of the subject land.
Pursuant to Republic Act No. 9136[31] or the Electric Power Industry Reform Act of 2001, the National Transmission Corporation (TransCo or TRANSCO), a government agency, was created to assume the electrical transmission functions of the National Power Corporation and is vested with the power of eminent domain subject to the requirements of the Constitution and existing laws.[32]
Given that BDC filed before the MTC a complaint for unlawful detainer against TransCo, which erected and then energized a 230 KV transmission traversing the whole extent of the subject property,[33] the MTC should have found or taken judicial notice that TransCo is a public service corporation with the power to expropriate. Upon such finding, the MTC, pursuant to the aforecited prevailing jurisprudence, should have then ordered the dismissal of the unlawful detainer case without prejudice to BDC's right to recover the value of the land actually taken, or ordered TransCo to institute the proper expropriation or condemnation proceedings and to pay the just compensation and damages assessed therein. The MTC could not have proceeded to determine just compensation given that the value of the subject property is clearly beyond its jurisdiction.
Further, the award of rental in arrears by the MTC is improper because BDC is only entitled to the just compensation of the subject land and consequential damages as determined pursuant to Sections 5 and 6, Rule 67 of the Rules of Court. While the award of rental in arrears is proper in an unlawful detainer action, its award in the present case cannot be upheld since an unlawful detainer action is not a sanctioned remedy in case a public service or utility corporation, endowed with the power of eminent domain, like TransCo in this case, has occupied privately-owned property without first acquiring title thereto by negotiated purchase or expropriation proceedings.
Pursuant to Republic Act No. 9136[31] or the Electric Power Industry Reform Act of 2001, the National Transmission Corporation (TransCo or TRANSCO), a government agency, was created to assume the electrical transmission functions of the National Power Corporation and is vested with the power of eminent domain subject to the requirements of the Constitution and existing laws.[32]
Given that BDC filed before the MTC a complaint for unlawful detainer against TransCo, which erected and then energized a 230 KV transmission traversing the whole extent of the subject property,[33] the MTC should have found or taken judicial notice that TransCo is a public service corporation with the power to expropriate. Upon such finding, the MTC, pursuant to the aforecited prevailing jurisprudence, should have then ordered the dismissal of the unlawful detainer case without prejudice to BDC's right to recover the value of the land actually taken, or ordered TransCo to institute the proper expropriation or condemnation proceedings and to pay the just compensation and damages assessed therein. The MTC could not have proceeded to determine just compensation given that the value of the subject property is clearly beyond its jurisdiction.
Further, the award of rental in arrears by the MTC is improper because BDC is only entitled to the just compensation of the subject land and consequential damages as determined pursuant to Sections 5 and 6, Rule 67 of the Rules of Court. While the award of rental in arrears is proper in an unlawful detainer action, its award in the present case cannot be upheld since an unlawful detainer action is not a sanctioned remedy in case a public service or utility corporation, endowed with the power of eminent domain, like TransCo in this case, has occupied privately-owned property without first acquiring title thereto by negotiated purchase or expropriation proceedings.
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