P.D.

705 REVISED
FORESTRY CODE
KARLA INES B. MOJICA-APINADO
J.D. 1, BLOCK A
A. PRELIMINARY

1. GOVERNING LAW
 The law governing the management and utilization of Forest
Lands.
 Issued on May 19, 1975.
 The law places emphasis not only on the utilization of forest
resources but more so on the protection, rehabilitation and
development of forest lands, in order to ensure the continuity of
their productive condition
State Policies

 The multiple uses of forest lands shall be oriented to the development and
progress requirements of the country, the advancement of science and
technology, and the public welfare;
 Land classification and survey shall be systemized and hastened;
 The establishment of wood-processing plants shall be encouraged and
rationalized; and
 The protection, development and rehabilitation of forest lands shall be
emphasized so as to ensure their continuity in productive condition.
Definition of Terms

 Already sent via GC in PDF format, for your reference.

Sec. 4 – 12 amended by EO 192

(Reorganization of the DENR)
B. Organizational Structure

 1. Department of Environment and Natural Resources mandate:

 Shall be primarily responsible for the implementation of the State
Policies;
 Shall assure the availability and sustainability of the country’s natural
resources;
 Shall be primarily responsible for the conservation, management,
development and proper use of the country’s environment and natural
resources, specifically forest and grazing lands, as well as the licensing
and regulation of all natural resources.
RELATED CASES

 Ysmael v. Deputy Executive Secretary

G.R. No. 79538, Oct. 18, 1990
 In sustaining the cancellation of petitioner’s license agreement, the courts shall not
interfere in matters which are addressed to the sound discretion of government agencies
entrusted with the regulation of activities coming under the special technical knowledge
and training of such agencies.
 Ruzol v. Sandiganbayan
G.R. No. 186739 April 7, 2013
 LGU’s authority to manage and control communal forests within their territorial
jurisdiction is subject to supervision, control and review of the DENR.
 Sunville Timber Products, Inc. v. Abad (1992)
 The DENR should be allowed to rile in the first instance on any controversy coming under
its express powers before the courts of justice may intervene.
2. Forest Management Bureau

 Formerly Bureau of Forest Development

 Headed by a Director and assisted by one or more Assistant Director,
they are appointed by the President.
 A. Supervision:
 Under the control and supervision of the DENR Secretary.
 B. Review:
 All actions and decisions of the BD are subject to review, motu propio or upon
appeal by any person aggrieved thereby, by the DENR Secretary whose decision
shall be final and executory after the lapse of 30 days from receipt by the aggrieved
party of said decision, unless appealed to the President.
 C. Exhaustion of Administrative Remedies:
 Calls for resort first to the appropriate administrative authorities in the
resolution of a controversy falling under their jurisdiction before the
same may be elevated to the courts of justice for review.
 D. Finality of administrative decisions; laches
 It is an established doctrine that the decisions and orders of
administrative agencies have, upon their finality, the force and binding
effect of a final judgment within the purview of the doctrine of res
judicata.

***Res judicata – the principle in which a matter that has been adjudicated by a competent court may not be pursued further by the same parties.
3. Jurisdiction

 Authority over all forestlands, grazing lands and all forest reservations including watershed
reservations presently administered by other government agencies or instrumentalities.
 A. Legality of the closure of a logging road is a judicial question.
 PD No. 705 does not vest any power in the FMB to determine whether or not the
closure of a logging road is legal or illegal and to make such determination a pre-
requisite before an action for damages may be maintained.
 B. Holder of a pasture lease agreement has right of possession.
 The grantee of a pasture lease agreement has the right to the lawful possession of the
subject property for the period stated in the agreement, and any disturbance of its
possession is a valid ground for the issuance of a writ of preliminary mandatory
injunction in its favor.
RELATED CASES

 Republic v. CA and Bernabe (1987)

 Forest lands are within the exclusive jurisdiction of FMB and beyond the power and
jurisdiction of the Courts to register under the Torrens System.
 Lagua v. Cusi (1988)
 PD No. 705 does not vest any power in the FMB to determine whether or not the
closure of a logging road is legal or illegal and to make such determination a pre-
requisite before an action for damages may be maintained. This should properly be
threshed out in a judicial proceeding. Not every activity made inside a forest area is
subject to the jurisdiction of the FMB.
C. Classifications and Surveys

1. Classification
 Sec. 13: The DENR Secretary shall study, devise, determine and prescribe
the criteria, guidelines and methods for the proper and accurate
classification and survey of all lands of the public domain into agricultural,
industrial or commercial, residential, resettlement, mineral, timber or forest,
and grazing lands, and such other classes as may be provided by law rules
and regulations.
 A. Concept of Forest and Forest lands:
 Forest – a large tract of land covered with a natural growth of trees and
underbush; a large wood.
 Forest land – an area of land covered by forests.
Heirs of Amunategui v. Director of Forestry (1983)
- A forested area classified as forest land of the public domain does not lose such classification simply because
loggers or settlers may have stripped it of its forest cover. The classification is descriptive of its legal nature or
status and does not have to be descriptive of what the land actually looks like.

 B. Public forests or forests reserves are not capable of

private appropriation.
 Unless declassified and released by positive act of the government so that they may
form part of the disposable agricultural lands of the public domain.
 C. The IPRA converts ancestral lands as public agricultural
lands for registration purposes.
 RA No. 8371 – Indigenous People’s Right Act (IPRA) expressly converts ancestral
lands into public agricultural land which may be disposed by the State.
B. Topography
 Sec. 15. General Rule:
 No land of the public domain 18% in slope or over shall be classified as alienable
and disposable (A&D), nor any forest land 50% in slope or over as grazing land.
 Lands 18% in slope or over which have already been declared as A&D shall be
reverted to the classification of forest lands by the DENR, to form part of the forest
reserves,
 Exception:
 unless they are already covered by existing titles or approved public land
application, or actually occupied openly, continuously, adversely and publicly
for a period of not less than 30 years as of the effectivity of this Code, where the
occupant is qualified for a free patent under the Public Land Act.
C. Mangrove Swamps are in the Category of Forest Lands
 Mangrove swamps or Manglares are within the public forest lands of the PH.
 Director of Forestry v. Villareal (1989)
 The Director of Lands has no authority to dispose the same under the Public Land Act. It is the
Director of the FMB who has the authority to determine whether forest land is more valuable for
agricultural rather than forestry uses.
 Republic v. CA and Carantes (1987)
 Forest lands or forest reserves are not capable of private appropriation and possession thereof, no
matter how long, cannot convert them into private property, unless such lands are reclassified and
considered A&D by the Director of FMB.
 Malabanan v. Republic (2009)
 The law does not require that the land subject of registration should have been A&D during the entire period
of possession, it is sufficient that the land is already A&D at the time the application for registration is filed so
as to entitle the possessor of registration.
2. Reservations in Forest lands and Off-shore areas

 The PRESIDENT of the Philippines may establish within any lands of the
public domain, FOREST RESERVE and FOREST RESERVATION for the
national park system, FOR PRESERVATION AS CRITICAL
WATERSHEDS, or for any other purpose, and MODIFY BOUNDARIES of
existing ones.
 The DENR Secretary may reserve and establish any portion of the public
forest or forest reserve as site or experimental forest for use of the ERDS.
 When public interest so requires, any offshore areas needed for the
preservation and protection of its educational, scientific, historical,
ecological and recreational values including the marine life found therein,
shall be established as MARINE PARKS.
D. Utilization and Management

1. Sec. 19, Multiple Use

 Only the utilization, exploitation, occupation or possession of any forest lands and
grazing lands, or any activity therein, involving one or more of its resources, which will
produce the optimum benefits to the development and progress of the country, and the
public welfare, without impairment or with the least injury to its resources, shall be
ALLOWED.
 Principle of Inter-Generational Responsibility
 Oposa v. Factoran (1993) – every generation has a responsibility to the next to preserve that
rhythm and harmony for the full enjoyment of a balanced and healthful ecology.
 A Timber License is not a contract but a mere privilege which does not create
irrevocable rights
 A Timber License is an instrument by which the State regulates the utilization and disposition
of forest resources to the end that the public welfare is promoted. A TL is not a contract,
within the purview of due process clause; it is only a license or a privilege, which can be
validly withdrawn whenever dictated by public interest or welfare.
E. Timber

1. Sec. 27: Duration of License Agreement or License to Harvest Timber

 The duration of the PRIVILEGE to harvest timber in any particular forest land under a license
agreement or license shall be fixed and determined in accordance with the annual allowable cut
therein, the established cutting cycle thereof, the yield capacity of harvestable timber, and the
capacity of healthy residuals for a second growth.
 The privilege shall AUTOMATICALLY terminate, even before the expiration of the license
agreement or license, the moment the harvestable timber have been utilized without leaving any
logged-over area capable of commercial utilization.
 The MAXIMUM period of any privilege to harvest timber is 25 yrs, renewable for a period, not
exceeding 25 years, necessary to utilize all the remaining commercial quantity or harvestable
timber either from the unlogged or logged-over area. It shall be a CONDITION for the continued
privilege to harvest timer under any license or license agreement that the licensee shall
REFOREST all the areas which shall be determined by the DENR.
2. Size of Forest Concession
 The size of the forest lands which may be the subject of timber utilization shall
be limited to that which a person may effectively utilize and develop for a period
of 50 years, considering the cutting cycle, the past performance of the applicant
and his capacity not only to utilize but, more importantly to protect and manage
the whole area, and the requirements of processing plants existing or to be
installed in the region.
Sec. 29: Incentives to the Wood Industry

 The DENR Sec, in collaboration with other government agencies and the wood
industry associations and other private entities in the country, shall evolve
incentives for the establishment of an integrated wood industry in designated
wood industry centers and/or economic area.
 The President, upon the recommendations of the NEDA and the DENR, may
establish wood industry import-export centers in selected locations. Logs
imported for such centers shall be subject to such precaution as may be imposed
by the DENR, in collaboration with proper government agencies, to prevent the
introduction of pests, insects and/or diseases detrimental to the forests.
F. Reforestation

Sec. 34: Industrial Tree Plantations and Tree Farms

 A lease for a period of twenty five (25) years, renewable for another period not
exceeding twenty-five (25) years, for the establishment of an industrial tree plantation
(100 hectares min. area) or a tree farm (10 hectares min. are) may be granted by the
Department Head upon recommendation of the Director to any person qualified to
develop and exploit natural resources, over timber or forest lands of the public domain.

 Provident Tree Farms, Inc. v. Batario (1994)

 The enforcement of the importation ban under Sec. 36 of PD 705 is within the exclusive realm
of the BOC and direct recourse of petitioner to the RTC to compel the Commission oer
Customs to enforce the ban is devoid of any legal basis.
G. Forest Protection

1. Swamplands and Mangrove Forests

 All mangrove swamps set aside for coast protection purposes shall not be subject to clear-cutting
operation. Mangrove and other swamps released to the BFAR which are not utilized, or which have
been abandoned for 5 years for the date of such release, shall revert to the category of forest land.
2. Authority of Forest Officers
 Sec. 45: When in the performance of their official duties, shall have free entry into areas covered by a
license agreement, license, lease or permit.
3. Mineral Reservations
 Sec. 48: Mineral reservations which are not subject of mining operations or where operations have
been suspended for more than 5 years shall be placed under forest management by the FMB. Mineral
reservations where mining operations have been terminated due to exhaustion of its mineral shall
revert to the category of forest land, unless otherwise reserved for other purposes.
H. Special Uses

 Sec. 54: No forest land 50% in slope or over may be utilized for pasture
purposes.
 Sec. 56: The Bureau shall, in the preparation of multiple-use management
plans, identify and provide for the protection of scenic areas in all forest
lands which are potentially valuable for recreation and tourism, and plan
for the development and protection of such areas to attract visitors thereto
and meet increasing demands therefor.
I. Qualifications

1. Diffusion of Benefits.
 Sec. 59: The privilege to utilize, exploit, occupy or possess forest lands shall be diffused
to as many qualified and deserving applicants as possible.
 In the evaluation of applications of corporations, increased Filipino equity and
participation beyond the 60% constitutional limitation shall be encouraged. All other
factors being equal, the applicant with more Filipino equity and participation shall be
preferred.
2. Service Contracts
 Sec. 62: The Secretary may, in the national interest, allow forest product licenses,
lessees, or permittees to enter into service contracts for financial, technical, management,
or other forms of assistance in consideration for a fee, with any foreign person or entity
for the exploitation, development, etc.
J. CRIMINAL OFFENSES AND PENALTIES

1. Cutting, Gathering and/or Collecting Timber or Other Products Without License

 Two Offenses under Sec. 68 as amended by EO 277:
 Offense 1 – Cutting, gathering, collecting and removing timber forest products from any forest land, timber
from A&D public land, or from private land without authority.
 Offense 2 – Possession of timber or other forest products without the legal documents required under existing
forest laws and regulations.
 Penalties:
 Punished with the penalties imposed under Articles 309 and 310 of the Revised Penal Code. (Qualified
Theft)
 In case of partnership, associations, or corporations, the OFFICERS who ordered the cutting, gathering,
collection or possession shall be liable, and if such officers are aliens, they shall in addition to the penalty, be
deported without further proceedings on the part of the Commission on Immigration Deportation.
 Aliens - summary deportation without hearing
 The Court shall further ORDER the CONFISCATION in favor of the government of the timber or any forest
products cut, gathered, collected, removed, or possessed, as well as the machinery, equipment, implements
and tools illegally used in the area where the timber or forest products are found. (as amended by PD 1559
and by EO 277, promulgated July 25, 1987, 83 OG No. 31, August 3, 1987).
2. Unlawful Occupation or Destruction of Forest Land

 Sec. 69: Any person who enters, occupies, possesses or makes kaingin for his own private use or for others any forest land without authority
or in any manner destroys such forest land or part thereof, or causes damage to timber stand and other products and forest growths found
therein.
 Penalties:
 FINE in an amount of not less than P500 nor more than P20,000 and IMPRISONMENT for not less than 6 months nor more than 2
years
 And be liable to the payment of 10x the rental fees and other charges which would have accrued had the occupation and use of the
land been authorized under a license agreement, lease, license or permit.
 In case of an offender found guilty of making kaingin, the penalty shall be IMPRISONMENT for not less than 2 nor more than 4
years and a FINE equal to 8x the regular forest charges due on the forest products destroyed, without prejudice to the payment of the
full cost of production of the occupied area as determined by the DENR.
 The maximum of the penalty prescribed shall be imposed upon the offender who commits the same offense for the 3rd time.
 In all cases, the Court shall further order the EVICTION of the offender from the land and the forfeiture to the government of all
improvements made and all vehicles, domestic animals and equipment of any kind used in the commission of the offense. If not
suitable for use by the DENR, said vehicles, domestic animals, equipment and improvements shall be sold at public auction, the
proceeds of which shall accrue to the Development Fund of the DENR.
 In case the offender is a government official or employee, he shall, in addition be deemed automatically DISMISSED from office and
permanently disqualified from holding any elective or appointive position. (as amended by PD 1559)
3. Pasturing Livestock

 Sec. 70: Penalty

 IMPRISONMENT for not less than 6 mos nor more than 2 yrs AND a
FINE equal to 10x the regular rentals due, in addition to the
confiscation of such livestock and all improvements introduced in the
area in favor of the government.
 In case the offender is a corporation, partnership or association, the
officers and directors thereof shall be liable.
4. Illegal Occupation of National Parks System and Recreation Areas
and Vandalism Therein

 Sec. 85: Punishable Act

 Any person, without permit, occupy for any length of time any portion of the national park system or shall, in
any manner, cut, destroy, damage or remove timber or any species of vegetation of forest cover and other
natural resources found therein, or shall mutilate, deface or destroy objects of natural beauty or of scenic value
within areas of national parks.
 Any person who, without permit, shall hunt, capture, or kill any kind of bird, fish, or wild animal life within
any area of national park system.
 Penalty:
 Shall be fined not less than two hundred (P200.00) pesos or more than five hundred (P500.00) pesos exclusive
of the value of the thing damaged: Provided, That if the area requires rehabilitation or restoration as determined
by the Director, the offender shall also be required to restore or compensate for the restoration of the damage.
 Finally, That the Court shall order eviction of the offender from the land and the forfeiture in favor of the
Government of all timber or any species of vegetation and other natural resources collected or removed, and
any construction or improvement made thereon by the offender. If the offender is an association or corporation,
the president or manager shall be directly responsible and liable for the act of his employees or laborers.
5. Survey by Unauthorized Persons

 Sec. 73: Any person who shall, without permit to survey from Director,
enter any forest lands, whether covered by a license agreement, lease,
license, or permit, or not, and conduct or undertake a survey for whatever
purpose.
 Penalty: Imprisonment for not less than two (2) nor more than four (4)
years, in addition to the confiscation of the implements used in the
violation of this section including the cancellation of the license
6. Misclassification and Survey by Government Official or
Employee

 Sec. 74: Any public officer or employee who knowingly surveys, classifies, or
recommends the release of forest lands as alienable and disposable lands contrary to the
criteria and standards established in this Code, or the rules and regulations promulgated
hereunder.
 Penalty: Shall, after an appropriate administrative proceeding, be dismissed from the
service with prejudice to re-employment, and upon conviction by a court of competent
jurisdiction, suffer an imprisonment of not less than one (1) year and a fine of not less
than one thousand, (P1,000.00) pesos. The survey, classification or release of forest lands
shall be null and void.
7. Tax Declaration on Real Property

 Sec. 75: any public officer or employee who shall issue a tax declaration on real
property without a certification from the Director of Forest Development and the
Director of Lands or their duly designated representatives that the area declared for
taxation is alienable and disposable lands, unless the property is titled or has been
occupied and possessed by members of the national cultural minorities prior to July 4,
1955.
 Penalty: Imprisonment for a period of not less than two (2) nor more than four (4) years
and perpetual disqualification from holding an elective or appointive office.
8. Coercion and Influence

 Sec. 76: Any person who coerces, influences, abets or persuades the
public officer or employee referred to in the two preceding sections to
commit any of the acts mentioned therein.
 Penalty: Shall suffer imprisonment of not less than one (1) year and pay
a fine of five hundred (P500.00) pesos for every hectare or a fraction
thereof so improperly surveyed, classified or released.
9. Unlawful Possession of Implements and Devices Used by Forest
Officers

 Sec. 77: Any person who shall, without authority from the Director or his authorized representative,
make, manufacture, or has in his possession any government marking, hatchet or other marking
implement, or any marker, poster, or other devices officially used by officers of the Bureau for the
marking or identification of timber or other products, or any duplicate, counterfeit, or imitation
thereof, or make or apply a government mark on timber or any other forest products by means of any
authentic or counterfeit device, or alter, deface, or remove government marks or signs, from trees,
logs, stumps, firewood or other forest products, or destroy, deface, remove or disfigure any such
mark, sign, poster or warning notices set by the Bureau to designate the boundaries of cutting areas,
municipal or city forest or pasture, classified timber land, forest reserve, and areas under the national
park system or to make any false mark or imitation of any mark or sign herein indicated.
 Penalty: Imprisonment for a period of not less than (2) nor more than four (4) years and a fine of not
less than one thousand pesos (P1,000.00), nor more than ten thousand (P10,000.00) pesos in addition
to the confiscation of such implements and devices, and the automatic cancellation of the license
agreement, lease, license or permit, if the offender is a holder thereof, shall be imposed.
10. Payment, Collection and Remittance of Forest Charges

 Any person who fails to pay the amount due and payable under the provisions of this Code, the
National Internal Revenue Code, or the rules and regulations promulgated thereunder, shall be liable
to the payment of a surcharge of twenty-five per centum (25%) of the amount due and payable.
 Any person who fails or refuses to remit to the proper authorities said forest charges collectible
pursuant to the provisions of this Code or the National Internal Revenue Code, or who delays,
obstructs or prevents the same, or who orders, causes or effects the transfer or diversion of the funds
for purposes other than those specified in this Code.
 Penalty:
 for each such offense shall, upon conviction, be punished by a fine of not exceeding one hundred thousand
pesos (P100,000.00) and/or imprisonment for a period of not exceeding six (6) years in the discretion of the
Court. If the offender is a government official or employee, he shall, in addition, be dismissed from the
service with prejudice to reinstatement and with disqualification from holding any elective or appointive
office.
 If the offender is a corporation, partnership or association, the officers and directors thereof shall be liable.
11. Sale of Wood Products

 No person shall sell or offer for sale any log, lumber, plywood or other manufactured wood
products in the international or domestic market unless he complies with grading rules and
established or to be established by the Government.
 Failure to adhere to the established grading rules and standards, or any act of falsification of the
volume of logs, lumber, or other forest products shall be a sufficient cause for the suspension of the
export, sawmill, or other license or permit authorizing the manufacture or sale of such products for
a period of not less than two (2) years.
 Every dealer in lumber and other building material covered by this Code shall issue an invoice for
each sale of such material and such invoice shall state that the kind, standard and size of material
sold to each purchaser in exactly the same as described in the invoice.
 Any violation of this Section shall be sufficient ground for the suspension of the dealer's license
for a period of not less than two (2) years and, in addition thereto, the dealer shall be punished for
each such offense by a fine of not less than two hundred pesos (P200.00) or the total value of the
invoice, whichever is greater.