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What is ADR?
means any process or procedure
used to resolve a dispute or controversy,
other than by adjudication of a presiding
judge of a court or an officer of a
government agency, as defined in this
Act, in which a neutral third party
participates to assist in the resolution of
issues, which includes arbitration,
mediation, conciliation, early neutral
evaluation, mini-trial, or any combination
thereof;(ra9285 sec.3)
What is Arbitration?
a voluntary dispute resolution
process in which one or more arbitrators,
appointed in accordance with the
agreement of the parties, or rules
promulgated pursuant to this Act, resolve
a dispute by rendering an award(ra9285
sec.3(d))
PARTY AUTONOMY
Definition
Freedom of the parties to make
their own arrangement to resolve their
disputes
Note:
State encourages and promotes the use
of ADR in order to:
1. Achieve speedy and impartial
justice
2. De-clog court dockets
The exercise of party autonomy is
manifested in several ways, e.g.
1. Parties are able to select their
arbitrators
2. Participate in the process for
selection of their arbitrators
3. Number of arbitrators
4. Qualification of arbitrators; or
5. The period of their selection
Unlike in litigation the parties cannot:
1. Choose the judge who will resolve
their dispute; or
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THE ARBITRATION
AGREEMENT
PRESUMPTIVE VALIDITY
AND ENFORCEABILITY OF
Referral to Arbitration
GR: (RA 9285, sec 24)
The court which an action is
brought in a matter which is subject to
arbitration agreement shall refer firts to
arbitration if:
1. AT LEAST 1 party so requested (not
latter than the pre-trial); or
2. Upon the request of BOTH parties
EXCEPTION:
Unless it finds the arbitration
agreement null and void
Note:
Thus the action for arbitral
proceedings will commenced and award
may be made while the issue is pending
before the court (IRR, art. 5.7 b)
MULTIPLE PARTIES
If there are multiple parties in an action
before the court, the court will refer to
arbitration those who are bound by the
arbitration agreement and the civil action
may continue to those who are not
bound by such arbitration agreement.
(IRR, 5.7 c)
The court should not decline to refer
SOME or ALL of the parties to
arbitration for any of the following
reasons:
1. Not all of the disputes subject of
the civil action may be referred to
arbitration;
2. Not all of the parties to the civil
action are bound by the arbitration
agreement and referral to
arbitration would result in
multiplicity of suits;
3. The issues raised in the civil action
could be speedily and efficiently
resolved in its entirety by the court
rather than in arbitration;
4. Referral to arbitration does not
appear to be the most prudent
action; or
5. The stay of the action would
prejudice the rights of the parties
to the civil action who are not
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reconsideration,
appeal or petition
for certiorati
APPOINTMENT OF ARBITRATORS
Submission
Agreement
GR:
Parties are free to agreed the
number of arbitrators
EXCEPTION:
Failure such determination, number
of such arbitrators shall be 3
Appointment of Arbitrators (Model
art. 11)
1. Any person can act as an
arbitrators even if he is an alien
UNLESS otherwise agreed by the
parties
2. The parties can agreed to the
PROCEDURE of APPOINTING the
arbitrator/s subject to:
1. Motion for
reconsiderati
on; and/or
2. Petition for
certiorari
Where
arbitration
agreement
exist before
the action is
filed
subject to:
DENIED
Immediately
executor
NOT subject to an
appeal
NOT subject to
motion for
BUT may be
In arbitration
with 3
arbitrators:
1. Each party
shall appoint
1 arbitrators
2. And the
elected 2
arbitrators by
the parties
shall elect 1
arbitrators
(being the 3rd
Under the
procedure agreed
upon by the parties
Parties failed to:
1. Act as
required
under such
procedure; or
2. 2 arbitrators,
unable to
reach an
agreement
3. 3rd party,
including the
institution,
fails to
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arbitrator)
perform any
function
In Arbitration
with a SOLE
arbitrator
The court shall
appoint the
arbitrator UPON
request of a party,
if the parties are
unable to agree
upon
NOTE: (IRR, 5.10)
Upon appointment by the
appointing authority, the latter shall
summon the parties and their respective
counsel to appear before said authority
on the date, time and place set by it, for
the purpose of selecting and appointing
the sole arbitrator.
If the sole arbitrator is not
appointed in such meeting or the
meeting does not take place due to the
absence of either or both parties despite
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of claim in
accordance
with art. 23
(1) of
Model law
of defence
in
accordance
with art. 23
(1) of
Model law
hearing;
or
2. To
produce
docume
ntary
evidenc
e
Arbitral
Tribunal
shall
terminate
the
proceeding
s
Arbitral
Tribunal
shall
continue
the
proceeding
WITHOUT
treating
such failure
in itself an
admission
of the
claimants
Arbitral
Tribunal may
continue the
proceedings
and make the
award on the
evidence
before it.
SEAT OF ARBITRATION
GR: (RA 9285, sec. 30)
The parties are free to agree the
seat of Arbitration
Exception:
Failing such agreement, the place
of arbitration shall be in Metro Manila,
UNLESS the arbitral tribunal , having
regard the circumstances of the case and
the convenience of the parties shall
decide on the place.
NOTE:
NOTE:
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EXCEPTION:
Failing any designation, the arbitral
tribunal shall apply law determine by the
conflict of law rules which it considered
applicable
NOTE:
The arbitral tribunal shall decide ex
aeqou et bono or as amiable
composituer ONLY if EXPRESSLY
AUTHORIZED by the parties
NOTE:
In all cases the arbitral tribunal
shall decide in accordance with the term
of the contract and shall take into
account the usage of the trade applicable
for transactions.
LANGUAGE OF THE ARBITRATION
GR: (RA 9285, sec. 21)
The parties are free to agree on the
language or languages to be used in the
arbitral proceedings.
EXCEPTION:
Failing such agreement, the
language to be used shall be:
1. English- in international arbitration
2. English or Filipino- in domestic
arbitration
LIMITATION ON PARTY
AUTONOMY
NOTE:
Unless the arbitral tribunal shall
determine a different or another
language/s to be used in the
proceedings.
This agreement shall apply to any
written statements by a party, any
hearing and any award, decision or other
communication by the arbitral tribunal.
The tribunal may order that any
documentary evidence shall be
accompanied by a translation into
language/s agreed by the parties.
APPOINTENT OF EXPERTS
Labor dispute
Civil status of a person
Validity of marriage
Any ground for legal separation
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5.
6.
7.
8.
NON-PARTIES TO ARBITRATION
AGREEMENT
1. Domestic Arbitration
2. International Arbitration
Distinction between the two
International arbitration if:
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a. If an arbitrator becomes de
jure or de facto unable to
perform his/her function
PRIVACY AND CONFIDENTIALITY
PLACE/SEAT OF ARBITRATION
EXCEPTION:
If no agreement, the tribunal will
determine such place having with
regards to the circumstance of the case
and the convenience of the parties
(Model, art. 20)
If no agreement, the place shall be
in metro manila, UNLESS the tribunal
decide on the different place, having
regard to the circumstances of the case
and the convenience of the parties (IRR,
4.20 a)
SHCEME OF LEAST COURT
INTERVENTION/MINIMUM
COURT INTERVENTION
GR:
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confidential information
participated in an ADR
proceedings; and
d. The time, date and place when
the ADR proceedings took place.
Notice (Special, Rule 10. 6)
There must be notice shall be
made to the opposing parties
Comment/Opposition (Special, Rule 10.
7)
The comment/opposition must be
filed within fifteen (15) days from service
of the petition.
The comment/opposition may be
accompanied by a written proof that:
1. information is not confidential
2. the information was not obtained
during an ADR proceeding
3. there was a waiver of
confidentiality; or
4. the petitioner/movant is precluded
from asserting confidentiality
Court action (Special, Rule 10. 8)
If the court finds the petition or
motion meritorious, it shall issue an order
enjoining a person or persons from
divulging confidential information.
NOTE:
Principles of confidentiality
applicable to ADR.
1. Confidential information shall not
be subject to discovery and shall
be inadmissible in any adversarial
proceeding, whether judicial or
quasi judicial
2. However, evidence or information
that is otherwise admissible or
subject to discovery does not
become inadmissible or protected
from discovery solely by reason of
its use therein.
Relief against court action: (Special,
Rule 10. 9)
The order enjoining a person or
persons from divulging confidential
information shall be immediately
executory and may not be enjoined while
the order is being questioned with the
appellate courts.
If the court declines to enjoin a
person or persons from divulging
confidential information, the petitioner
may file a motion for reconsideration or
appeal.
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1. Legal age
2. Full-enjoyment of his civil rights
3. Able to read and write
Disqualification
Appointing authority
Shall mean, the person or
institution named in the arbitration
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