Petitioner contracted a loan from Villanueva’s parents, mortgaging the subject parcel of land as security. Years after, the parcel of land became the subject for an application for registration by the Ramos brothers. They insisted that they had a better claim over the land than petitioner. After trial, the case was dismissed as the land has not been reclassified for other purposes and remained a part of the forest reserve. Consequently, the brothers were able to secure reclassification of the land and the same was registered in their name as owners, and they later sold the land to Villanueva. Thereafter, petitioner came to know of the registration and filed a complaint, which was dismissed.
HELD:
Petitioner possessed and occupied the land after it had been declared by the government as part of the forest reserve. In fact, the land remained as part of the forest reserve until such time it was reclassified into alienable or disposable land at the behest of the Ramoses. A positive act of the government is needed to declassify land which is classified as forest, and to convert it into alienable and disposable land for other purposes. Until such lands have been properly declared to be available for other purposes, there is no disposable land to speak of. Absent the fact of reclassification prior to the possession and cultivation in good faith by petitioner, the property occupied by him remained classified as forest or timberland, which he could not have acquired by prescription.
