1.

Arbitration
ALTERNATIVE DISPUTE 2. Mediation
3. Conciliation
RESOLUTION (ADR) 4.
5.
Neutral and Early Neutral Evaluation
Mini-trial
REVIEWER 6.
7.
Combination
Innominate ADR Form
ALTERNATIVE DISPUTE RESOLUTION
based on Reobeniol

 ADR ACT OF 2004 - RA 9285 An Act to Institutionalize  Classification of Forms of ADR

the Use of an Alternative Dispute Resolution System in
Philippines and to Establish the Office for Alternative Classification
Dispute Resolution, and for Other Purposes
Number of bilateral/bi-party multilateral/multi-
Parties party
 Salient Features of RA 9285 applying and incorporating
the UNCITRAL Model Number of simple complex
(Korea Techologies Co Ltd vs Lerma) Issues involved

Extent of the complete partial

1. The RTC must refer to arbitration in proper cases
conclusion
2. Foreign arbitral awards must be confirmed by the RTC
3. The RTC has jurisdiction to review foreign arbitral awards Role of evidence evidentiary/merit- non-evidentiary/
4. Grounds for judicial review different in domestic and foreign in the based non-merit based
arbitral awards proceedings
5. RTC decision of assailed foreign arbitral award appealable Pendency of a case-related independent
court case
 Lawyer’s Role
1. As integral part of the judicial sytem - contribute to the Applicable law domestic international foreign
promotion of ADR
Permanence of ad hoc institutional
2. As part of their duties to the court - assist in encouraging the ADR provider
parties to avail ADR
3. As part of their duties to their clients - explain the benefits of
ADR to them  Components of ADR
4. Play the role of ADR provider or practioner
1. contending parties
 What is ADR? 2. dispute or controversy
A system, using means and methods allowed by law and approved 3. form of adr
by the parties, for the purpose of resolving or facilitating the 4. adr provider or practitioner
resolution of disputes and controversies between them, in an
expeditious and speedy manner, without resorting to court  Subject Matters of ADR
adjudication.
All adversarial disputes and  controversies
Any process or procedure used to resolve a dispute or controversy,
exception:
other than by adjudication of a presiding judge of a court or an
1. civil status of a person
officer of a government agency which neutral third party
2. validity of marriage
participates to assist in the resolution of issues
3. jurisdiction of courts
4. future legitime
 Principles of ADR 5. criminal liability
6. those which by law, cannot be compromised
1. Promotion of party autonomy and self-determination in
the resolution of disputes
 Concluding Acts or Agreements
2. Recognition of ADR as an efficient tool and an alternative
1. Arbitral award
procedure for the resolution of cases
2. Mediated settlement agreement
3. Enlisting of private sector participation
3. compromise agreement
4. waiver or quitclaim
 Objectives and Benefits of ADR
1. Speedy and impartial justice
2. Declogging of court dockets
 ADR Providers and Practitioners
 act in a quasi-judicial capacity
 Features of ADR
 decisions or awards are reviewable in a special civil
1. a means used to resolve a dispute or controversy
action for certiorari under Rule 65 of the 1997 Rules of
2. utilizes means and methods allowed by law
CivPro
3. contractual in nature
4. avoids court trial
5. usually involves the participation of a neutral third party  What is Mediation?
A voluntaru process in which a mediator, selected by the disputing
parties, facilitates communication and negotiation, and assists  the
 Sources of ADR
parties in reaching a voluntary agreement regarding a dispute
1. Domestic laws and rules
2. Acts of the executive branch
Exlusions:
3. Decisions of the supreme court
1. court-annexed mediation : conducted under the auspices
4. International laws
of the court
5. General Principles of law and equity
2. court-referred mediation : mediation ordered by a court
to be conducted in accordance with the agreement of the
 Forms of ADR
 parties when an action is prematurely commenced in  Mediator
violation of such agreement Selected by the parties
3. conciliation conducted by the Pangkat ng Tagapagsundo May withdraw or may be compelled to withdraw when:
4. judicial dispute resolution : conducted by the judge of a 1. requested by the party/ies
pending case after a failed CAM 2. does not have the qualifications
3. impartiality is in question
4. continuation of process will evaluate ethical standards
 Classification of Mediation 5. safety of any one of the parties will be jeopardized
1. Non-evidentiary / Non-merit based 6. inability to provideeffective services
2. Institutional or ad hoc 7. conflict of interest
8. others - provided by IRR
 Place of Mediation
GR: parties’ agreement  Duties and Functions of Mediation
Default: any place convenient and appropriate to all parties Prior
**shall be held in private unless consented not a. On Competence: maintain and continually upgrade professional
competence
 Stages in Mediation b. On impartiality: make an inquiry re financial or personal
1. Opening statement of the mediator interest that may affect impartiality
2. Individual narration by the parties During
3. Exchange by the parties a. Confidentiality
4. Summary of issues b. ensure parties understand the nature and character
5. Generalization and evaluation of options c. encourage mutual respect between parties
6. Closure
**not obligatory
 Role of Counsel in Mediation
 Conclusion of Mediation 1. collaborate with other lawyers
1. by execution of MSA 2. encourage client to actively participate
2. by the withdrawal of any party from mediation 3. assist client to comprehend and appreciate process
3. by the written declaration of the mediator that any effort 4. confer and discuss with client the process
would not be helpful
 What is Arbitration?
a voluntary dispute resolution proces in which one or more
 Advantages of Mediation arbitrators, appointed in accordance with the agreement of the
1. Confidentiality parties or rules promulgated pursuant to ADR Act, resolve a
2. Prompt, economical and amicable resolution dispute by rendering an award
3. decision-making authority rests with the parties
 Arbitration vs Mediation
 Confidential and Privileged Nature of Mediation Arbitration Mediation
Communication
Privilege - A rule of law that either permits a witness to refrain arbitrator decides the dispute by parties decide and executes the
from giving testimony he otherwise could be expected to give, rendering an award MSA
or permits someone usually one of the parties to prevent the merit/evidence based non-merit based
witness from revealing certain information

Confidential Information - any info relative to the subject matter

of med or arb, expressly intended by the source not to be disclosed,
or obtained under circumstances that would create a reasonable
expectation on behalf of the source that the info shall not be
disclosed
1. expressly confidential
2. impliedly confidential
 Legal Effects of Confidential and Privileged Nature
1. participants may refuse to disclose and prevent another
to disclose
2. CI not subject to discovery and shall be inadmissable in
any adversarial proceeding
3. persons involved shall not be compelled to disclose CI
4. protection under ADR continues to apply even mediator
fails to act impartially
5. mediator may not be called to testify to provide info
Exceptions (Privilege does not attach to the following
communication)
1. those contained in an agreement evidence by a record
authenticated by all parties to the agreement
2. those available to the public or made in an open
3. threat or statement of plan to commit violence
4. intentionally used to plan, commit, conceal a crime
5. offered to prove or disprove abuse et al.
6. offered to prove or disprove claim or complaint of
misconduct
 Kinds of Arbitration
1. Compulsary - the process of settlement of labor disputes
by a government agency which has the authority to
investigate and to make an award which is binding on all
parties, and as a mode of arbitration where the parties
are compelled to accept the resolution of their dispute
through arbitration by a third party
1. Voluntary - involves the reference of a dispute to an
impartial body, the members of which are chosen by the
parties themselves, which parties freely consent in
advance to abide by the arbitral award issued after the
proceedings where both had the opportunity to be heard
 Classification of Arbitration
1. Domestic - the components of parties’ places of business ,
place of arbitration… are all located in the Phils
2. International
a. parties’ places of business is in different states
b. place of arb (AA), is outside the Phils
c. place where substantial part of the oblig is to be performed is
outside Ph
d. parties expressly agreed that the subj matter of AA relates to
more than 1 country
1. Foreign - arb is conducted outside the Phils
2. Commercial - covers matters arising from all
relationships of a commercial nature, whether
contractual or not
  Objectives of Arbitration: provide speedy and
inexpensive method of settling disputes

 Arbitration Agreement (Arbi Clause / Compromissoire)

Agreement by the parties to submit to an arbitration all or certain
disputes which have arisend or which may arise between them in
respect of a defined legal relationship, whether contractual or not. 

Modes of Submitting a Dispute to Arb

1. Agreement to submit - for future disputes
2. Submission agreement - existing dispute

Formal Requirement
1. in writing
2. subscribed by the parties or their reps

 Doctrine of Separability or Doctrine of Severability

 Arbitration Agreement is independent of the main contract even if
it is contained in an arb clause

 Judicial Review and Court Intervention

Judicial remedies an aggrieved party to an arbitral award may
take:
1. petition to issue an order to vacate the award on grounds
provided for in Sec 24 RA 876
2. petition for review (CA) under Rule 43
3. petition for certiorari under Rule 65

 Interim Measures in Arbitration (int measures of

protection or provisional reliefs
Ancillary remedies intended for the protection of the subject
matter of the dispute
1. preliminary injunction
2. appointment of receivers
3. detention of property
4. preservation of property
5. inspection of property

GR: IM are applied with and secured from the ArbTrib

Instances when ArbTrib cannot grant IM
1. AT not yet constituted
2. AT already constituted has  no power to act or is unable
to act effectively
**may apply for IM with a court

 International Commercial Arbitration

International
1. parties’ places of business - in different states
2. place of arb (AA)- outside Phils
3. place of substantial part of the oblig - outside Phils
4. parties expressly agreed - SM of the arb - relates to more
than one country

Commercial
1. covers matters arising from all relationships of a
commercial nature (contractual or not)

Rules on Receipt of Written Communications

GR: based on agreement
Default: delivered to the addressee personally / last know address

Waiver of Right to Object in ICA**

Place/Venue
GR: agreement
Default: Metro Manila

Commencement of ICA Proceedings

GR: agreement
Default: when a request to be referred to arbi is RECEIVED by
respondent