Corporation Code v. CARP

The Hacienda Luisita, Inc., cannot shield itself from the CARP coverage merely under the convenience of being a corporate entity. It should be underscored that the agricultural lands held by HLI by virtue of the Stock Distribution Scheme of CARP are no ordinary assets. These are special assets, because, originally these should have been distributed to the farmers-beneficiaries were it not for the approval of the Stock Distribution Scheme by the PARC. The HLI is no ordinary corporation as it was formed and organized precisely to make use of these agricultural lands actually intended for distribution to the farm workers of the Hacienda. Thus, it cannot shield itself from the coverage of CARP by invoking the Corporation Code. The obligations and remedies of the parties to the Stock Distribution Option Agreement are primarily governed by RA6657.