Initial valuation of land by LBP not binding upon the court.

The determination of just compensation for agricultural lands brought under agrarian reform is the exclusive domain of the courts and that the executive and legislative acts of fixing just compensation are not conclusive or binding upon the court, but should only be regarded as an initial valuation. In case the landowner rejects the offer or fails to reply, the DAR Adjudicator conducts summary administrative proceedings to determine the compensation for the land by requiring the landowner, the landbank and other interested parties to submit evidence as to the just compensation for the land. Any valuation of Land Bank in accordance with any formula should only be regarded as an initial valuation, never conclusive nor controlling. Otherwise, Land Bank or the DAR might impermissibly usurp the essentially judicial function of determination of just compensation (LBP v. Sps. Costo, G.R. No. 174647. December 5, 2012).