BUSINESSES and locators in the Camp John Hay area, the property in the middle of a contentious dispute between Camp John Hay Development Corp. (CJHDevco) and the Bases Conversion and Development Authority (BCDA), appear to be the real losers in legal battle of the two parties as the debate has now shifted to the validity of sublessees’ contracts.
In a letter penned by Chairman Robert John L. Sobrepeña of CJHDevco, addressed to locators and businesses, the developer repudiated the claims of BCDA, and told locators their sublease contracts will be honored.
The BCDA, in an earlier news conference, said they must review the existing sublease contracts of the locators now that the said property has been turned over as a result of the ruling of the arbitral tribunal of the Philippine Dispute Resolution Center.
In its letter, CJHDevco first said that the “final award” of the arbitral tribunal which terminated the original lease agreement , and resulting to the ordering of CJHDevco to vacate the property, is not “executor.”
“Under the law, CJHDevco is not required to turn over Camp John Hay until and unless the arbitration award is confirmed by the Regional Trial Court [of Baguio]. Until such confirmation, neither the Bcda nor CJHDevco, much less sublessees such as you, is legally obliged to comply with its terms,” Sobrepeña said in his letter. Moreover, Sobrepeña said the termination of the original lease contract does not empower the BCDA to repeal the subleases to locators, since the BCDA has consented to subletting the real-estate developments found within the property, through its subsidiary, the John Hay Management Corp.
BCDA should continue to honor its commitment, said Sobrepeña, since it was its subsidiary which vested the right to lease the properties.
Moreover, CJHDevco said BCDA has representatives in the board of directors of CJHDevco from 2009 to 2011, and, therefore, cannot say that it is unaware of the CJHDevco’s operations and agreements with locators.
In a previous news conference announcing the final reward of the arbitral tribunal, the BCDA said it has no idea how many locators or the details of the contracts of the sub-lessees because CJHDevco reportedly hasn’t been forthcoming with its records.
“Under these circumstances, BCDA cannot now disclaim knowledge of the sublease contracts, nor claim it had never consented to subletting properties,” Sobrepeña said.
Last, CJHDevco said they cannot be ordered to deliver to BCDA areas inside Camp John Hay that are occupied by sublessees and only those that are physically in its direct possession such as its administrative offices. The rationale for this, said CJHDevco, is that under the Civil Code, an order for “mutual restitution,” or transferring the property back to BCDA cannot include third persons, in this case the sub-lessees, who acted in good faith.
“We assure each and every homeowner and locator, that in the event of litigation, we shall make available legal counsel to assist you to defend your rights,” Sobrepeña ended.
30 comments
The uncertainties and losses of all concerned with this case are alarming and cannot be given proper transitions according to the tribunal court’s decision. BCDA Arnel Casanova caused the uncertainties to businesses and locators inside the camp. His management-style is not fit for this kind of endeavors.
The merits for giving an award to Bases Conversion and Development Authority (BCDA) and Camp John Hay Development Corporation (CJH Dev Co) by the Arbitration Tribunal formed indefinite solutions which cannot obtain in peaceful endorsement. The BCDA was finding more complications than what the court’s ordered.
While each side are making its own legal findings for their present situations, it also creates additional problems being unfolded by both parties. Nevertheless, the investors and businessmen who had contracts with CJHDevCo before are in quandary for the on-going squabble of the two parties.
The leadership of Arnel Casanova of BCDA caused unnecessary tension and uncertainty, which is bad for tourism and for business in general. The investors inside the camp were very much affected by this legal squabble. Moreover, peaceful transition and understanding to each other is needed for them to look forward for development.
The BCDA action to the case caused the negative element in pushing up the development of Baguio City and its people. It only developed uncertainties and losses to all concerned. Nowadays, people need peaceful business endeavors inside the Camp John Hay.
BCDA through the leadership of the demigod Casanova has created several plunders with their dealings with CJHDevCo. Why not they rectify their mistakes and work harmoniously with the Sobrepena group for the betterment of the City of Baguio.
If the records of investors and locators were kept by the CJHDevCo and BCDA must wait for it. Bob Sobrepena said, “Under the law, CJHDevco is not required to turn over Camp John Hay until and unless the arbitration award is confirmed by the Regional Trial Court of Baguio in the
form of Writ of Execution.”
I agree with your views but Bob Sobrena had stated in a press conference that BCDA has representatives in CJHDevCo, implying they know all about these contracts. So why waive the confidentiality. Hayz, Casanova is just on another fishing expedition.
Neither the BCDA nor CJHDevco, much less sub-lessees are legally obliged to comply with its terms. Moreover, the termination of the original lease contract does not empower the BCDA to repeal the subleases to locators, since the BCDA has consented to subletting the real-estate developments found within the property, through its subsidiary, the John Hay Management Corp.
Will both parties follow the tribunal decisions? The Philippine Dispute Resolution Center, Inc.,(PDRCI) cast its decision to both CJHDevCo and BCDA, ordering the developer, CJHDevCo to give up occupancy of the leased areas of the former military camp and the BCDA to return P1.42 billion as reimbursement for rental payments.
The best that BCDA and CJHDevCo to do is to respect the arbitration tribunal’s decision. The Sobrepena group to turn over control of Camp John Hay Economic Zone as soon as BCDA has fulfilled its obligation to them. Get that 1,42 B Mr. Casanova ASAP
Of course, with this case, it started to create another gigantic problem to all especially the investors inside the Camp John Hay. Right now for sure, they are subjected to uncertainties while the two giants fought with all their weapons at hand. This is not good example to all Baguio residents and its visitors.
The locators are the sure losers here. A cloud of uncertainties fly over the City of Baguio that may lead to the city’s soon stagnant business atmosphere. These 2 parties must take into consideration the investors interest. It is best that they just abide by what the court has ordered each party to do.
Easier than done, with both parties throwing accusations and going into debates, I believe the cloud of uncertainties engulfing the investors; minds will be far from over. Poor locators, they are the collateral damage in this legal battle.
If the city government of Baguio will have a place in the camp for management and operations, then, the better. The future brings more tourists to the camp for its revenues and uplifting the image after this dilapidated case done by the arrogant President of BCDA.
Tama ka po rito. ang naiipit sa labanang ito ay ang mga mamamayan ng Baguio. Umaasa sila na maaayos na ang alitang ito sa pagitan ng BCDA at CJHDevCo. Kung magkagayon ay tiyak na gaganda ang pamumuhay nila sanhi ng pagdami ng business establishments at ang paglago ng turismo.
The arbitration court had penned its decision and it is but mandatory that the 2 feuding parties namely BCDA and CJHDevCo to respect and abide by the court’s decision. No more exchanges of malicious accusations
Will somebody tell both BCDA and CJHDevCo to please honor the court’s decision and stop this debate. It only sends wrong signals to those investors inside the leased properties in CJH.. They are the poor losers if this legal battle continue to drags on.
Mr Parker on;y foolish individuals can’t abide by a court’s decision. And BCDA and CJHDevC0 are 2 of them. Just do their obligations as the court so ordered. No more useless debates. The people of Baguio has long been longing for a more stable life conditions to reign over their city.
Hindi ko nga maubos isipin kung bakit ganito ang ikinikilos ng magkabilang grupo. Ang bawat isa naman sa kanila ay nakagawa ng pagkakamali na naging dahilan ng gusot ngayon sa CJH development zone. Bakit hindi na lang nila gawin ang nakassa sa desisyon ng korete. Iyon ang magbibigay ng kapanatagan sa mga investors doon at magiging mitsa para muling guminhawa ang pamumuhay ng Baguio residents.
The decision stated out that Camp John Hay will be given back to the government under Bases Conversion Development Authority (BCDA). Also, CJHDevCo does not owe Php 3.3 billion back rentals to BCDA in which the latter party was claiming.
In a statement by Robert John L. Sobrepena, Camp John Hay’s Chairman, he assured that all the buyers, locators and sub-lessees that their rights to the properties they acquired will continue to be protected and respected.
In any case, most likely, BCDA might give the contract to another developer and this is what I fear the most. They could give it to an ally which will cause corruption and therefore can end up as to what happened to the Metro Rail Transit (MRT) in Metro Manila.
This makes us all wonder considering that there are members of BCDA who are also board members of CJHDevCo and now they are claiming that they have no idea or whatsoever to the operations carried out by CJHDevCo.
This is one thing I am hoping that will eventually flip the tables around. If the Baguio RTC will trash out the previous decision of arbitrary tribunal, then perhaps we will be seeing a better future for Camp John Hay.
This is horrible. All the leasers and locators are now trapped in the middle of this argument. But as for now, all we can do is watch out for the next move by the Bases Conversion Development Authority.
Based on the current laws, fifty percent of the lease revenues of Bases Conversion Development Authority shall be given to the Armed Forces of the Philippines Modernization Program.
Now that BCDA (Bases Conversion Development Authority) has to pay a large amount back to CJHDevCo (Camp John Hay Development Corporation) this means that the funds for the AFPMP will directly suffer all because of Casanova’s incompetence.
According to Abakada partylist Rep. Jonathan dela Cruz, Casanova mismanaged the development of Camp John Hay that yields bad result to the Armed Forces of the Philippines Modernization Program (AFPMP).
According to the Sept. 13, 2014 decision upheld by the Pasay Court, BCDA’s President and CEO Arnel Casanova has failed to establish a probable cause in the accusation of Robert Sobrepeña of making false representations that Camp John Hay Development Corporation (CJHDevCo) was not capable of paying rentals for Camp John Hay.