Part 1: The Revised Rules on Court-Annexed Mediation and since civil cases constitute only a small 16 percent of all
rcent of all cases
Judicial Dispute Resolution
On January 11, 2011, the Philippine Supreme Court approved
new guidelines to expand the coverage of court-annexed
mediation (CAM) and judicial dispute resolution (JDR)
[Guidelines]. The Guidelines were issued through Resolution
A.M. No. 11-1-6-SC-PHILJA .
The Guidelines adopted the policy of diverting court cases to
CAM and JDR to put an end to pending litigation through a
compromise agreement of the parties and thereby help solve the
ever-pressing problem of court docket congestion. While
recognizing that criminal cases may not be compromised, this
policy strongly indicates that the ultimate objective of CAM and
JDR is to end all litigation, not merely its civil aspect.
The Guidelines are empowers the parties to resolve their own
disputes and give practical effect to the State policy in Rep. Act
No. 9285 (The ADR Act of 2004) to actively promote party
autonomy in the resolution of disputes or the freedom of the
parties to make their own arrangement to resolve disputes (Sec.
2). The reference to RA 9285 is interesting because the Act does
not cover court-annexed mediation (Sec. 7). Moreover, the
mandatory nature of CAM and JDR and the restriction of the
parties ability to choose their mediators makes CAM and JDR
somehow inconsistent with the idea that in an alternative dispute
resolution system, the parties have the freedom to determine
how their dispute should be resolved.
Three stages of diversion
The Guidelines define three stages of court diversion, namely:
CAM, JDR and Appeals Court Mediation (ACM). Each was
previously covered by a separate Supreme Court issuance, which
somehow made it difficult to see that they were meant to
complement each other. The Guidelines now clarify that CAM,
JDR and ACM have the same objective and that they are merely
different stages of a comprehensive dispute resolution process
aimed at abating or ending court-docket congestion.
1. During CAM, the first stage of court diversion, the judge
refers the parties to the Philippine Mediation Center (PMC) for
the mediation of their dispute by trained and accredited
mediators.
2. If CAMfails, the second stage, called the JDR, is undertaken
by the JDR judge, acting as a mediator-conciliator-early neutral
evaluator.[1]
3. The third stage is during appeal, where covered cases are
referred to ACM.
Expanded jurisdiction
In addition to consolidating the existing CAM and JDR rules, the
Guidelines covers the civil aspect of less grave felonies
punishable by correctional penalties not exceeding six years
imprisonment, where the offended party is a private person.[2]
The purpose is for the court diversion process to achieve a
greater impact. The expansion to less grave offenses is needed
filed in court, while special proceedings constitute even a
smaller 7.6 percent. Since correctional penalties are intended for
rehabilitation and correction of the offender, there is no reason
why crimes punishable by correctional penalties may not be
compromised, as to their civil aspect. However, it is not clear if
the Guidelines applies to the civil aspect of criminal cases that
are governed by special laws, although punishable with
imprisonment not exceeding six years. In a strict sense, the term
less grave felonies applies to crimes under the Revised Penal
Code but not crimes governed by special laws.
Despite the non-mediatable nature of the principal action, like
annulment of marriage, other issues such as custody of children,
support, visitation, property relations and guardianship may be
referred to CAM and JDR to limit the issues for trial.
Role of lawyers
Finally, the Guidelines define the role of lawyers inCAMand
JDR as that of adviser and consultant to their clients. They are
encouraged to drop their combative role in the adjudicative
process and to give up their dominant role in judicial trials, in
order to allow the parties more opportunities to craft their own
agreement.
[1]The JDR judge acts as a mediator, neutral evaluator and/or
conciliator. As mediator and conciliator, he facilitates the
settlement discussions between the parties and tries to reconcile
their differences. As a neutral evaluator, he assesses the relative
strengths and weaknesses of each partys case, makes a non-
binding and impartial evaluation of the chances of each partys
success in the case, and persuades the parties to a fair and
mutually acceptable settlement of their dispute.
[2] The other cases subject to mandatory CAM/JDR are:
(1) All civil cases and the civil liability of criminal cases
covered by the Rule on Summary Procedure, including the civil
liability for violation of B.P. 22, except cases which may not be
compromised.
(2) Special proceedings for the settlement of estates.
(3) All civil and criminal cases filed with a certificate to file
action issued by the Punong Barangay or the Pangkat ng
Tagapagkasundounder the Revised Katarungang
Pambarangay Law.
(4) The civil aspect of Quasi-Offenses under Title 14 of the
Revised Penal Code.
(5) The civil aspect of estafa, theft and libel.
(6) All civil cases, probate proceedings, forcible entry and
unlawful, cases involving title to or possession of real property
or an interest therein, and habeas corpus cases decided by the
first level courts in the absence of the Regional Trial Court
judge, brought on appeal from the exclusive and original
jurisdiction granted to the first level courts.
CAM and JDR
The Guidelines divide judicial proceedings into two stages,
namely: (a) from the filing of a complaint up to the conduct of
CAM and JDR during the pre-trial stage; and (b) from the pre-
trial proper up to trial and judgment.
In both CAM and JDR, the court or any party may move to
sanction a party who fails to appear or any person who engages
in abusive conduct during the proceedings. Sanctions may
include censure, reprimand, contempt or requiring the absent
party to reimburse up to treble the cost of the appearing party.
A representative of a party who is unable to attend in person
must be fully authorized to appear, negotiate and enter into a
compromise without need of further approval by or notification
to the authorizing party. With respect to corporations,
partnerships, or other juridical entities, the representative must
also be a ranking corporate officer.
The Guidelines emphasize that both CAM and JDR are
confidential. Any information or communication made or
received is inadmissible as evidence in any other
proceeding. JDR judges and all court personnel or any other
person present during the proceeding are prohibited from
passing information obtained in the course of conciliation and
early neutral evaluation to the trial judge or to any other person.
CAM Procedure
Under the Guidelines, the CAM procedure is:
1. Upon filing the last pleading, the judge orders the parties to
appear before the PMC Unit.
2. The parties shall select an acceptable accredited mediator.
Otherwise, the mediator shall be chosen by lot.
3. The mediator starts the mediation and explains the mediation
process.
4. With the consent of both sides, the mediator may hold
separate caucuses and/or joint conferences with them.
5. If no settlement is reached at the end of the mediation period,
the case is returned to the referring judge.
6. The mediator has 30 days from the initial conference to
complete the mediation process, extendible for another 30 days
upon motion to be filed by the mediator, with the conformity of
the parties.
7. If full settlement is reached, the parties shall draft the
compromise agreement for approval by the court. If compliance
has been made, the court shall dismiss the case upon the
submission by the parties of a satisfaction of claim or a mutual
withdrawal of the case.
If partial settlement is reached, the parties will submit its terms
for appropriate action by the court, without waiting for
resolution of the unsettled part. The court will conduct JDR for
the unsettled part of the dispute.
JDR Procedure
Under the Guidelines, the JDR procedure is:
1. The JDR judge first refers the case to CAM but also pre-sets
the JDR conference not earlier than 45 days from the parties
first mediation appearance.
First-level courts such as Metropolitan Trial Courts and
Regional Trial Courts have 30 days from the first JDR
conference to complete the process. Second-level courts such as
Regional Trial Courts exercising its appellate jurisdiction have
60 days to complete the process.
In criminal cases where a settlement has been reached on the
civil aspect but the period of payment in accordance with the
terms of settlement exceeds one year, the case may be archived
upon motion of the prosecution, with notice to the other party
and with approval by the judge.
2. The judge to whom the case was assigned by raffle shall be
the JDR judge. He shall preside over the first stage and resolve
all incidents or motions filed during this stage. If the case is not
resolved during JDR, it shall be raffled to another judge for the
second stage. As a general rule, the JDR judge shall not preside
over the trial of the case. However, the parties may jointly
request in writing that the case be tried by the JDR judge.
3. In single-sala courts, the parties may file a joint written
motion requesting the court of origin to conduct the JDR and
trial. Otherwise the JDR will be conducted by the judge of the
pair court or, if none, by the judge of the nearest court at the
station where the case was originally filed. The result of the JDR
shall be referred to the court of origin for appropriate
action, e.g., approval of the compromise agreement or trial.
4. In areas where only one court is designated as a family court,
the parties may file a joint written motion requesting the family
court to which the case was originally raffled to conduct the JDR
and trial. Otherwise, the JDR shall be conducted by a judge of
another branch through raffle. If there is another family court in
the same area, the family court to whom the case was originally
raffled shall conduct JDR and, if no settlement is reached, the
other family court shall conduct the pre-trial proper and trial.
5. In areas where only one court is designated as
commercial/intellectual property/environmental court (special
court), unless otherwise agreed upon by the parties, the JDR
shall be conducted by another judge through raffle and not by
the judge of the special court. Wherethere is no settlement, the
judge of the special court shall be the trial judge. Any incident
or motion filed before the pre-trial stage shall be dealt with by
the special court that referred the case to CAM.
6. Cases may be referred to JDR even during trial, upon written
motion of one or both parties. The JDR judge may either be (a)
another judge through raffle in multiple-sala courts; or (b) the
nearest court (or pair court, if any) regardless of the level of the
latter court in single sala courts.
7. If the dispute is fully settled, the parties will submit the
compromise agreement for approval by the court. If there has
been compliance, the court shall dismiss the case upon What cases are excluded from mediation?
submission by the parties of a satisfaction of claims or a mutual
withdrawal of the parties respective claims and counterclaims. Cases which cannot be compromised are not included, like legal
separation or annulment of marriage.
In case of partial settlement, the compromise may be submitted
to the court for approval and rendition of a judgment upon Can I or the other party refuse mediation?
partial compromise, which may be immediately enforced by
execution. No. Once the court determines that your case is mediatable,
the parties are compelled to appear before the Philippine
In criminal cases, if settlement is reached on the civil aspect
Mediation Center (PMC) unit. If the complainant fails to appear
thereof, the parties shall submit the compromise agreement for
for mediation, the case may be dismissed. If the defendant is
appropriate action by the court. Action on the criminal aspect of
the case will be determined by the Public Prosecutor, subject to absent, the complainant may be allowed to present their side in
the appropriate action of the court. court without you. The court will then decide the case on the
basis of what was presented.
What is mediation?
How will I benefit mediation?
Mediation is a process of settling disputes with the assistance of
Mediation has been proven to be a faster and certainly less
an acceptable, impartial and neutral third party called a
expensive option for settling disputes. Settlements have
mediator. The mediator helps parties identify issues and
occurred in as little as one or two mediation sessions.
develop proposals to resolve their disputes. Once the parties
have arrived at a mutually acceptable arrangement, the
agreement becomes the basis for the courts decision on the
case.
Mediation also provides for a fair resolution of your case. By
jointly resolving the dispute, both parties can come up as
winners. But best of all, mediation has been proven to restore
relationships long disrupted by conflict. The process of
This form of mediation is also known as court-annexed
mediation tackles the roots of misunderstanding to help parties
mediation since the case has already been filed in court.
resolve their differences.
What is Judicial Dispute Resolution?
Where did this idea come from?
Judicial Dispute Resolution (JDR) is another innovation in the
Mediation is rooted in our historical experience, in the time
Philippine court system. When court-annexed mediation fails,
when disputing parties would bring their conflict to the village
the case is brought to the judge who then acts as a conciliator, a
elder for settlement. As a system, mediation can be found in
neutral evaluator and a mediator. The judge will try to mediate
many indigenous cultures.
the case. If the judges intervention as a mediator succeeds, the
case is concluded with a judgment based on a compromise. If
Does mediation replace the barangay system of
the dispute is still unresolved, then the case is referred to
justice?
another judge for trial. Both parties must now be prepared for
litigation.
No. Court-annexed mediation actually complements the
Barangay Justice System (Katarungang Pambarangay), probably
What cases are covered by mediation?
the most familiar mode of mediation in the country, in bringing
a speedy and fair resolution to disputes. In this system, the
All civil cases, settlement of estates and cases covered by the
barangay leaders act as mediators between disputing parties
Rule on Summary Procedure. Typical cases would be collection
within their constituency. The Barangay Justice System
of debts, ejectment of tenants in apartment dwellings, and
attempts to prevent the case from even going to court. Court-
inheritance disputes among family members.
annexed mediation begins when there is a failure to mediate in
the barangay level resulting in the filing of the dispute in court.
Cases cognizable by the Lupong Tagapamayapa under the
Mediation attempts to resolve the dispute without going into
Katarungang Pambarangay Law such as disputes between
adversarial proceedings. Courts will actually dismiss certain
neighbors of the same barangay over property.
cases which have not passed through the Katarungang
Pambarangay.
The civil aspect of Batas Pambansa 22, which covers the debts
paid through bouncing checks.
How effective is mediation?
The civil aspect of quasi-offenses under negligence like motor
In the pilot project on mediation conducted by the Philippine
vehicle accidents that has damaged the vehicle or injured
Judicial Academy (PHILJA), 85% of cases referred for mediation
passengers or pedestrians.
reached settlement. Surveys conducted after mediation also
revealed a high level of satisfaction among disputing parties in
the outcome of their case. Close to 100% of the parties involved
complied with the agreement reached in mediation.
How long will mediation take?
Parties are given 30 days for mediation sessions. The period
may be extended to another 30 days to allow you to reach a
compromise agreement.
How much will it cost me?
A mediation fee of P500.00 is collected by the Clerk of Court
upon the filing of certain pleadings in court. This fee will accrue
to the Mediation Fund for the training of mediators, payment of
mediators fees and other operating expenses of the Philippine
Mediation Center (PMC). The fee will be collected upon the
filing of the following pleadings:
IN CIVIL CASES:
Complaint
Answer with a mediatable counterclaim
IN CRIMINAL CASES:
Complaint/information for an offense falling under the
Katarungang Pambarangay Law
Complaint/information for violation of Batas Pambansa 22,
estafa and libel where damages are sought
Complaint/information for quasioffenses falling under Title 14
of the Revised Penal Code.
What happens when I cant afford mediation?
You can ask your lawyer to allow you to avail of court services
as a pauper litigant. If the court approves, then mediation is
free.
How is the confidentiality and privacy of my case
guarded in mediation?
Sessions are strictly private and confidential. This is to
encourage the needed openness and spontaneity for effective
communication in mediation. The mediator can not record the
proceedings in any manner other than taking down a few
personal notes for guidance. Even the trial court is not
furnished these notes. Any information from a mediation
session is in fact inadmissible in court. Mediators can not be
subpoenaed to reveal what happened during these sessions
either. All documents submitted by the parties will be returned
to them after mediation.
Court-annexed mediation
The Philippine Congress has shown interest in Court-Annexed
Mediation as an alternative mode of dispute resolution.
The previous report of its research service on the matter cited
the following:
1. Sec. 5, par. 5, Art. VIII, 1987 Constitution: Sec.5. The
Supreme Court shall have the following powers: x x x x (5)
promulgate rules concerning the protection and enforcement of
constitutional rights, x x x. Such rules shall provide a simplified
and expensive procedure for the speedy disposition of cases, x x
x.
2. Sec. 2 (a), Rule 18 of the 1997 Rules of Civil Procedure: Sec.
2. Nature and Purpose. The pre-trial is mandatory. The court
shall consider: (a) the possibility of an amicable settlement or of
a submission to alternative modes of dispute resolution; x x x.
3. Supreme Court Resolution, A. M. No. 02-2-17SC, April 16,
2002, pilot-testing the efficacy of mediation for settling cases
pending in the Court of Appeals as requested by the Philippine
Judicial Academy (PHILJA).
4. Supreme Court Resolution, A.M. No. 01-10-5-SC-PHILJA,
October 16,
2001 designating PHILJA as a component unit of the Supreme
Court for court-referred, court-related mediation cases, and
other forms of Alternative Dispute Resolution Mechanisms; and
adopting the Revised Guidelines for the Implementation of
Mediation Proceedings, the Standards and Procedures for
Accreditation of Mediators for Court Referred, the Court
Related Mediation Cases, and the Code of Ethical Standards
for Mediators.
5. Supreme Court Resolution, A.M. No. 99-01-SC-PHILJA,
October 19, 1999 pilot testing the efficacy of Mandatory
Mediation/Conciliation in the pilot areas of Mandaluyong City
and Valenzuela City.
6. Mediation is a process of resolving disputes with the aid of a
neutral person who help parties identify issues and develop
proposals to resolve their disputes. Unlike arbitration, the
mediator is not empowered to decide disputes.
7. Conciliation is the process of referring a dispute to a
commission of persons who are empowered to examine the
facts and to submit a report containing recommendations for
the settlement of the dispute: their recommendations or
proposals, however, do not have the bending effect of an award
or judgment, as is the case in arbitration.
8. Arbitration is the submission of a disputed matter for
decision to private, unofficial persons, selected in a manner
provided by law or agreement. There are two kinds, compulsory
or voluntary. Compulsory exists where the consent of one of
the parties is enforceable by statutory enactment (Labor Code)
either in a Court of law or before a justice of peace. Voluntary
where it is affected by mutual agreement of the parties by
means of a rule of court or otherwise.
9. In court-annexed mediation, the parties to a pending case are
directed by the court to submit their dispute to a neutral third
party (the Mediator), who works with them to reach a
settlement of their controversy. The Mediator acts as a
facilitator for the parties to arrive at a mutually acceptable
arrangement, which will be the basis for the court to render a
judgment based on a compromise.
10. The trial court, after determining the possibility of an
amicable settlement or of a submission to alternative modes of
dispute resolution, shall issue an Order referring the case to the
Philippine Mediation Center (PMC) unit for mediation and
directing the parties to proceed immediately to the PMC unit.
The Order shall be personally given to the parties during the re-
trial. Copy of the Order together with the copy of the complaint
and answers, shall be furnished the PMC Unit within the same
date.
11. The supervisor of the PMC Unit shall assist the parties select
a mutually acceptable mediator from a list of duly accredited
mediators and inform the parties about fees, if any, and the
mode of payment. If the parties cannot agree on a mediator,
then the supervisor shall assign the mediator. The trial court
shall immediately be notified of the name of the mediator, and
shall thereafter confirm the selection or appointment of the
mediator.
12. Mediation is a purely voluntary process. The parties or party
in mediation can call it off at any time when it does not seem to
be working and go back to the court and pursue litigation. In
noncompliance to agreements the party affected can
immediately apply for execution of the judgment or order to
the trial court that approved the compromise agreement.
13. At the Court of Appeals level, upon promulgation of
judgment based on a compromise agreement, the CA Division
Clerk of Court shall forthwith issue an entry of judgment and
remand the records of the case to the court of origin for
execution of judgment.
14. The mediation fee shall be a certain percentage of the filling
fee, to be paid separately from the filling fee, and in accordance
with the Level of Mediators and the schedules presented below,
generally equivalent to 20% of filling fee Before the start of the
mediation, 50% of the mediation fee shall be paid to the clerk
of court. Upon settlement of the case, the balance of the
mediation fee shall also be paid to the clerk of court. If no
compromise is reached, the down payment is forfeited. Under
Rule 141 of the 1997 Rules of Civil Procedure, an advance
mediation fee of P1,000.00 is immediately paid simultaneously
with the payment of the docket and filing fees and, in case of
appeals, upon payment of the appeal fee.
15. The Philippine Judicial Academy (PHILJA) was created by the
Supreme Court under Administrative Order No. 35-96 on March
16, 1996 and Republic Act No. 8557 (February 26, 1998).
16. In accordance with the guidelines set forth in Supreme
Court en banc Resolution in Adm. Matter No. O1-10-5-SC-
PHILJA, dated October 16, 2001, PHILJA was designated as the
component unit for court-referred, court-related mediation
cases, and other forms of Alternative Dispute Resolution; shall
direct and manage the Philippine Mediation Center (PMC),
initiating for this purpose the technical and management
assistance of appropriate and qualified organizations or
individuals, on such terms as may be stipulated in a
Memorandum of Agreement between PHILJA, through its
Chancellor, and such other organizations or individuals, subject
to ratification by the PHILJA Board of Trustees; shall supervise
and have operational control over PMC units and Mediation
Chapters with respect to court-referred, court-related
mediation cases through its Mediation Division, in coordination
with the Office of the Court Administrator (OCA); shall
determine, with the previous approval of the Supreme Court,
when to conduct annual and or semi-annual settlements week
or weeks, without prejudice to year-round mediation; was
directed to study and recommend the use of other forms of
court diversion or other modes of alternative dispute
resolution, and upon its approval, to implement the same in
accordance with such rules as may be promulgated by the
Supreme Court.
17. The Supreme Court en banc Resolution in Adm Matter No
01-10-5-SCPHILJA, dated October 16, 2001 approved and issued
the second revised guidelines on mediation. The following cases
are referable to mediation: a) All civil cases, settlement of
estates, and cases covered by the Rule on Summary Procedure,
except those which by law may not be compromised; b) Cases
cognizable by the Lupong Tagapamayapa under the
Katarungang Pambarangay Law; c) The civil aspect of BP 22
cases; and d) The civil aspect of quasi offenses under Title 14 of
the Revised Penal Code. (Note: At present, estafa and theft
cases are now mediatable. Other civil and criminal cases, upon
agreement of the parties, may also be referred to the PMC).
18. The trial court, after determining the possibility of an
amicable settlement or of a submission to alternative modes of
dispute resolution, shall issue an Order referring the case to the
Philippine Mediation Center (PMC) Unit for mediation and
directing the parties to proceed immediately to the PMC Unit.
The Order shall be personally given to the parties during the
pre-trial. Copy of the Order together with a copy of the
Complaint and Answer/s, shall be furnished the PMC Unit
within the same date.
19. Lawyers may attend the mediation proceedings and shall
cooperate with the Mediator towards the amicable settlement
of the dispute.
20. Basic notes on the Mediation Proceedings:
a) The Mediator shall be considered as an officer of the court.
b) A conference before the Mediator shall first be held with
both parties present. The mediator shall explain the mediation
proceedings stressing the benefits of an early settlement of the
dispute and shall attempt immediate settlement. If no
settlement is reached at this conference, the Mediator may,
with the consent of both parties, hold separate caucuses with
each party to enable the Mediator to determine their
respective real interests in the dispute. Thereafter, another
joint conference may be held to consider various options
proposed by the parties to the Mediator to resolve the
disputes.
c) The Mediator shall not record the proceedings in any
manner, but he may take down personal notes to guide him.
d) The Mediator shall submit to the trial court, which referred
the case to mediation, a status report on the progress of the
proceedings at the end of the mediation period.
e) The PMC shall not keep a file of mediation proceedings
except the report of the Mediator. All other records or
documents that have been submitted by the parties shall be
returned to them.
f) At the end of the thirty-day period allowed by the trial court,
if no settlement has been reached, the case must be returned
to the trial court for further proceedings, unless the parties
agree to further continue the mediation, in which case a last
extension of thirty (30) days may be granted by the trial court.
The mediation proceedings and all incidents thereto shall be
kept strictly confidential, unless otherwise specifically provided
by law, and all admissions or statements made therein shall be
inadmissible for any purpose in any proceeding.
21. Basic ethical principles applicable to all mediators:
a. A Mediator shall be candid, accurate, and fully responsible to
the trial court concerning his qualifications, availability, and all
other pertinent matters. A Mediator shall observe all
administrative policies, applicable procedural rules, and
statutes. A Mediator is responsible to the judiciary for the
propriety of his activities and must observe judicial standards of
fidelity and diligence.
b. Impartiality. The Mediator shall maintain impartiality toward
all parties. Impartiality means freedom from favoritism or bias
either by appearance, word or by action, and a commitment to
serve all parties as opposed to a single party. No time may a
Mediator meet with any of the parties to discuss a case
referred.
c. Competence. - A mediator shall maintain professional
competence in mediation skills, including but not limited to:
staying informed of and abiding by all statutes, rules, and
administrative orders relevant to the practice of mediation;and
regularly engaging in educational activities promoting
professional growth.
d. Conflict of Interest. The Mediator shall refrain from
participating in the mediation of any dispute if he/she perceives
that participation, as a Mediator will be a clear conflict of
interest.
e. Avoidance of Delays. A Mediator shall plan a work schedule,
refrain from accepting appointments when it becomes
apparent that completion of the mediation assignments cannot
be done in a timely and expeditious manner, and perform the
mediation services in such a way as to avoid delays.
f. Prohibition Against Solicitation or Advertising. A Mediator
shall not use, the mediation process to solicit, encourage, or
otherwise incur future professional services and financial gain
from either or both parties.
g. Prohibition Against Coercion. A Mediator shall not coerce or
unfairly influence a party into a settlement agreement and shall
not make substantive decisions for any party to a mediation
process.
h. Prohibition Against Misrepresentation. A Mediator shall not
intentionally or knowingly misrepresent material facts or
circumstances in the course of conducting a mediation.
i. A Balanced Process. A Mediator shall promote a balanced
process and shall encourage the parties to conduct the
mediation deliberations in a non-adversarial manner.
j. Mutual Respect. A Mediator shall promote mutual respect
among the parties throughout the mediation process.
k. Personal Opinion. While a Mediator may point out possible
outcomes of the case, under no circumstance may a Mediator
offer a personal or professional opinion as to how the trial
court, where the case has been filed, will resolve the dispute.
l. Disclosure of Fees. Except for his/her authorized fees, the
Mediator in Court-Referred Mediation shall not accept any
commission, gift or other similar forms or remuneration from
parties or their representatives.
m. Confidentiality. The Mediator shall treat information
revealed in mediation in strict confidentiality, except for the
following: (1) Information that is statutorily mandated to be
reported; (2) Information that, in the judgment of the Mediator
reveals a danger of serious physical harm either to a third
person or to himself/herself.
n. Role of Mediator in Settlement. The Mediator has the
responsibility to see to it that the parties consider and
understand the terms of the settlement.
o. The Mediator shall respect the relationship between
mediation and other professional disciplines including law,
medicine, science, accounting, mental health and social services
and shall promote harmony and cooperation between
Mediators and other professionals.
p. Pro Bono Service. A Mediator has a professional
responsibility to provide competent service to persons seeking
assistance including those unable to pay for such services. As a
means of meeting the needs of the financially disadvantaged, a
Mediator should provide mediation services pro bono or at a
reduced rate of compensation.

22. The Supreme Court in its resolution, A.M. No. 02-2-17-SC,

dated April 16, 2002, approved and allowed the pilot testing of
mediation proceedings in the Court of Appeals, as requested by
the Philippine Judicial Academy (PHILJA). Coverage:

1) Civil cases brought on ordinary appeal with:

i. Both appeal briefs filed; or

ii. Only the appellants brief filed; or

iii. With no appeal briefs filed but with memoranda

Exception:

i. Criminal cases

ii. Habeas corpus petitions

iii. Cases with pending application for restraining

orders/Preliminary injunctions, unless both parties consent to
Mediation

iv. Civil cases brought on ordinary appeal without the

appellants brief or memoranda

2) Labor cases;

3) Special civil actions; and

4) Other cases, e.g., high impact economic cases.

23. The Supreme Court in en banc Resolution A.M. No. 99-01-

SC-PHILJA Re: Recommendation No. C-12, proposing, To Pilot
Test the Efficacy of Mandatory Mediation/Conciliation, (Annex
C) dated October 19, 1999, approved and issued the amended
guidelines for the implementation of mediation/conciliation
proceedings in the pilot areas of Mandaluyong City and
Valenzuela City. Coverage:

a) Civil cases involving members of the same family within the

sixth civil degree of consanguinity or affinity, except those
which by law cannot be the subject of compromise, and civil
disputes between residents of the same municipality or city
cognizable by the Lupon Tagapamayapa in accordance with
Section 408, LGC (1991);

b) Collection cases based on creditor and debtor relationships;

c) Claims for civil damages; and

d) Disputes arising out of lessor-lessee tenant relationship.

Republic Act No. 9285 April 2, 2004
AN ACT TO INSTITUTIONALIZE THE USE OF AN
ALTERNATIVE DISPUTE RESOLUTION SYSTEM IN
THE PHILIPPINES AND TO ESTABLISH THE OFFICE
FOR ALTERNATIVE DISPUTE RESOLUTION, AND
FOR OTHER PURPOSES
Be it enacted by the Senate and House of
Representatives of the Philippines in Congress
assembled:
CHAPTER 1 - GENERAL PROVISIONS
SECTION 1. Title. - This act shall be known as the
"Alternative Dispute Resolution Act of 2004."
SEC. 2. Declaration of Policy. - it is hereby declared
the policy of the State to actively promote party
autonomy in the resolution of disputes or the freedom of
the party to make their own arrangements to resolve
their disputes. Towards this end, the State shall
encourage and actively promote the use of Alternative
Dispute Resolution (ADR) as an important means to
achieve speedy and impartial justice and declog court
dockets. As such, the State shall provide means for the
use of ADR as an efficient tool and an alternative
procedure for the resolution of appropriate cases.
Likewise, the State shall enlist active private sector
participation in the settlement of disputes through ADR.
This Act shall be without prejudice to the adoption by
the Supreme Court of any ADR system, such as
mediation, conciliation, arbitration, or any combination
thereof as a means of achieving speedy and efficient
means of resolving cases pending before all courts in
the Philippines which shall be governed by such rules
as the Supreme Court may approve from time to time.
SEC. 3. Definition of Terms. - For purposes of this Act,
the term:
(a) "Alternative Dispute Resolution System"
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;
(b) "ADR Provider" means institutions or
persons accredited as mediator, conciliator,
arbitrator, neutral evaluator, or any person
exercising similar functions in any Alternative
Dispute Resolution system. This is without
prejudice to the rights of the parties to choose
nonaccredited individuals to act as mediator,
conciliator, arbitrator, or neutral evaluator of
their dispute.
Whenever reffered to in this Act, the term "ADR
practitioners" shall refer to individuals acting as
mediator, conciliator, arbitrator or neutral
evaluator;
(c) "Authenticate" means to sign, execute or
adopt a symbol, or encrypt a record in whole or
in part, intended to identity the authenticating
party and to adopt, accept or establish the
authenticity of a record or term;
(d) "Arbitration" means 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;
(e) "Arbitrator" means the person appointed to
render an award, alone or with others, in a
dispute that is the subject of an arbitration
agreement;
(f) "Award" means any partial or final decision
by an arbitrator in resolving the issue in a
controversy;
(g) "Commercial Arbitration" An arbitration is
"commercial if it covers matter arising from all
relationships of a commercial nature, whether
contractual or not;
(h) "Confidential information" means any
information, relative to the subject of mediation
or arbitration, 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
information shall not be disclosed. It shall
include (1) communication, oral or written, made
in a dispute resolution proceedings, including
any memoranda, notes or work product of the
neutral party or non-party participant, as defined
in this Act; (2) an oral or written statement made
or which occurs during mediation or for
purposes of considering, conducting,
participating, initiating, continuing of
reconvening mediation or retaining a mediator;
and (3) pleadings, motions manifestations,
witness statements, reports filed or submitted in
an arbitration or for expert evaluation;
(i) "Convention Award" means a foreign arbitral
award made in a Convention State;
(j) "Convention State" means a State that is a
member of the New York Convention;
(k) "Court" as referred to in Article 6 of the
Model Law shall mean a Regional Trial Court;
(l) "Court-Annexed Mediation" means any
mediation process conducted under the
auspices of the court, after such court has
acquired jurisdiction of the dispute;
(m) "Court-Referred Mediation" means
mediation ordered by a court to be conducted in
accordance with the Agreement of the Parties
when as action is prematurely commenced in
violation of such agreement;
(n) "Early Neutral Evaluation" means an ADR
process wherein parties and their lawyers are
brought together early in a pre-trial phase to
present summaries of their cases and receive a
nonbinding assessment by an experienced,
neutral person, with expertise in the subject in
the substance of the dispute;
(o) "Government Agency" means any
government entity, office or officer, other than a
court, that is vested by law with quasi-judicial
power to resolve or adjudicate dispute involving
the government, its agencies and
instrumentalities, or private persons;
(p) "International Party" shall mean an entity
whose place of business is outside the
Philippines. It shall not include a domestic
subsidiary of such international party or a
coventurer in a joint venture with a party which
has its place of business in the Philippines.
The term foreigner arbitrator shall mean a
person who is not a national of the Philippines.
(q) "Mediation" means a voluntary process in
which a mediator, selected by the disputing
parties, facilitates communication and
negotiation, and assist the parties in reaching a
voluntary agreement regarding a dispute.
(r) "Mediator" means a person who conducts
mediation;
(s) "Mediation Party" means a person who
participates in a mediation and whose consent
is necessary to resolve the dispute;
(t) "Mediation-Arbitration" or Med-Arb is a step
dispute resolution process involving both
mediation and arbitration;
(u) "Mini-Trial" means a structured dispute
resolution method in which the merits of a case
are argued before a panel comprising senior
decision makers with or without the presence of
a neutral third person after which the parties
seek a negotiated settlement;
(v) "Model Law" means the Model Law on
International Commercial Arbitration adopted by
the United Nations Commission on International
Trade Law on 21 June 1985;
(w) "New York Convention" means the United
Nations Convention on the Recognition and
Enforcement of Foreign Arbitral Awards
approved in 1958 and ratified by the Philippine
Senate under Senate Resolution No. 71;
(x) "Non-Convention Award" means a foreign
arbitral award made in a State which is not a
Convention State;
(y) "Non-Convention State" means a State that
is not a member of the New York Convention.
(z) "Non-Party Participant" means a person,
other than a party or mediator, who participates
in a mediation proceeding as a witness,
resource person or expert;
(aa) "Proceeding" means a judicial,
administrative, or other adjudicative process,
including related pre-hearing motions,
conferences and discovery;
(bb) "Record" means an information written on a
tangible medium or stored in an electronic or
other similar medium, retrievable form; and
(cc) "Roster" means a list of persons qualified to
provide ADR services as neutrals or to serve as
arbitrators.
SEC. 4. Electronic Signatures in Global and E-
Commerce Act. - The provisions of the Electronic
Signatures in Global and E-Commerce Act, and its
implementing Rules and Regulations shall apply to
proceeding contemplated in this Act.
SEC. 5. Liability of ADR Provider and Practitioner. -
The ADR providers and practitioners shall have the
same civil liability for the Acts done in the performance
of then duties as that of public officers as provided in
Section 38 (1), Chapter 9, Book of the Administrative
Code of 1987.
SEC. 6. Exception to the Application of this Act. -
The provisions of this Act shall not apply to resolution or
settlement of the following: (a) labor disputes covered
by Presidential Decree No. 442, otherwise known as the
Labor Code of the Philippines, as amended and its
Implementing Rules and Regulations; (b) the civil status
of persons; (c) the validity of a marriage; (d) any ground
for legal separation; (e) the jurisdiction of courts; (f)
future legitime; (g) criminal liability; and (h) those which
by law cannot be compromised.
CHAPTER 2 - MEDIATION
SEC. 7. Scope. - The provisions of this Chapter shall
cover voluntary mediation, whether ad hoc or
institutional, other than court-annexed. The term
"mediation' shall include conciliation.
SEC. 8. Application and Interpretation. - In applying
construing the provisions of this Chapter, consideration
must be given to the need to promote candor or parties
and mediators through confidentiality of the mediation
process, the policy of fostering prompt, economical, and
amicable resolution of disputes in accordance with the
principles of integrity of determination by the parties,
and the policy that the decision-making authority in the
mediation process rests with the parties.
SEC. 9. Confidentiality of Information. - Information
obtained through mediation proceedings shall be
subject to the following principles and guidelines:
(a) Information obtained through mediation shall
be privileged and confidential.
(b) A party, a mediator, or a nonparty participant
may refuse to disclose and may prevent any
other person from disclosing a mediation
communication.
(c) Confidential Information shall not be subject
to discovery and shall be inadmissible if any
adversarial proceeding, whether judicial or
quasi-judicial, 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 in a mediation.
(d) In such an adversarial proceeding, the
following persons involved or previously
involved in a mediation may not be compelled to
disclose confidential information obtained during
mediation: (1) the parties to the dispute; (2) the
mediator or mediators; (3) the counsel for the
parties; (4) the nonparty participants; (5) any
persons hired or engaged in connection with the
mediation as secretary, stenographer, clerk or
assistant; and (6) any other person who obtains
or possesses confidential information by reason
of his/her profession.
(e) The protections of this Act shall continue to
apply even of a mediator is found to have failed
to act impartially.
(f) a mediator may not be called to testify to
provide information gathered in mediation. A
mediator who is wrongfully subpoenaed shall be
reimbursed the full cost of his attorney's fees
and related expenses.
SEC. 10. Waiver of Confidentiality. - A privilege
arising from the confidentiality of information may be
waived in a record, or orally during a proceeding by the
mediator and the mediation parties.
A privilege arising from the confidentiality of information
may likewise be waived by a nonparty participant if the
information is provided by such nonparty participant.
A person who discloses confidential information shall be
precluded from asserting the privilege under Section 9
of this Chapter to bar disclosure of the rest of the
information necessary to a complete understanding of
the previously disclosed information. If a person suffers
loss or damages in a judicial proceeding against the
person who made the disclosure.
A person who discloses or makes a representation
about a mediation is preclude from asserting the
privilege under Section 9, to the extent that the
communication prejudices another person in the
proceeding and it is necessary for the person prejudiced
to respond to the representation of disclosure.
SEC. 11. Exceptions to Privilege. -
(a) There is no privilege against disclosure
under Section 9 if mediation communication is:
(1) in an agreement evidenced by a
record authenticated by all parties to the
agreement;
(2) available to the public or that is
made during a session of a mediation
which is open, or is required by law to
be open, to the public;
 (3) a threat or statement of a plan to
inflict bodily injury or commit a crime of
violence;
(4) internationally used to plan a crime,
attempt to commit, or commit a crime, or
conceal an ongoing crime or criminal
activity;
(5) sought or offered to prove or
disprove abuse, neglect, abandonment,
or exploitation in a proceeding in which
a public agency is protecting the interest
of an individual protected by law; but
this exception does not apply where a
child protection matter is referred to
mediation by a court or a public agency
participates in the child protection
mediation;
(6) sought or offered to prove or
disprove a claim or complaint of
professional misconduct or malpractice
filed against mediator in a proceeding;
or
(7) sought or offered to prove or
disprove a claim of complaint of
professional misconduct of malpractice
filed against a party, nonparty
participant, or representative of a party
based on conduct occurring during a
mediation.
(b) There is no privilege under Section 9 if a
court or administrative agency, finds, after a
hearing in camera, that the party seeking
discovery of the proponent of the evidence has
shown that the evidence is not otherwise
available, that there is a need for the evidence
that substantially outweighs the interest in
protecting confidentiality, and the mediation
communication is sought or offered in:
(1) a court proceeding involving a crime
or felony; or
(2) a proceeding to prove a claim or
defense that under the law is sufficient
to reform or avoid a liability on a
contract arising out of the mediation.
(c) A mediator may not be compelled to provide
evidence of a mediation communication or
testify in such proceeding.
(d) If a mediation communication is not
privileged under an exception in subsection (a)
or (b), only the portion of the communication
necessary for the application of the exception
for nondisclosure may be admitted. The
admission of particular evidence for the limited
purpose of an exception does not render that
evidence, or any other mediation
communication, admissible for any other
purpose.
SEC. 12. Prohibited Mediator Reports. - A mediator
may not make a report, assessment, evaluation,
recommendation, finding, or other communication
regarding a mediation to a court or agency or other
authority that make a ruling on a dispute that is the
subject of a mediation, except:
(a) Where the mediation occurred or has
terminated, or where a settlement was reached.
(b) As permitted to be disclosed under Section
13 of this Chapter.
SEC. 13. Mediator's Disclosure and Conflict of
Interest. - The mediation shall be guided by the
following operative principles:
(a) Before accepting a mediation, an individual
who is requested to serve as a mediator shall:
(1) make an inquiry that is reasonable
under the circumstances to determinate
whether there are any known facts that
a reasonable individual would consider
likely to affect the impartiality of the
mediator, including a financial or
personal interest in the outcome of the
mediation and any existing or past
relationship with a party or foreseeable
participant in the mediation; and
(2) disclosure to the mediation parties
any such fact known or learned as soon
as is practical before accepting a
mediation.
(b) If a mediation learns any fact described in
paragraph (a) (1) of this section after accepting
a mediation, the mediator shall disclose it as
soon as practicable.
At the request of a mediation party, an individual who is
requested to serve as mediator shall disclose his/her
qualifications to mediate a dispute.
This Act does not require that a mediator shall have
special qualifications by background or profession
unless the special qualifications of a mediator are
required in the mediation agreement or by the mediation
parties.
SEC. 14. Participation in Mediation. - Except as
otherwise provided in this Act, a party may designate a
lawyer or any other person to provide assistance in the
mediation. A lawyer of this right shall be made in writing
by the party waiving it. A waiver of participation or legal
representation may be rescinded at any time.
SEC. 15. Place of Mediation. - The parties are free to
agree on the place of mediation. Failing such
agreement, the place of mediation shall be any place
convenient and appropriate to all parties.
SEC. 16. Effect of Agreement to Submit Dispute to
Mediation Under Institutional Rules. - An agreement
to submit a dispute to mediation by any institution shall
include an agreement to be bound by the internal
mediation and administrative policies of such institution.
Further, an agreement to submit a dispute to mediation
under international mediation rule shall be deemed to
include an agreement to have such rules govern the
mediation of the dispute and for the mediator, the
parties, their respective counsel, and nonparty
participants to abide by such rules.
In case of conflict between the institutional mediation
rules and the provisions of this Act, the latter shall
prevail.
SEC. 17. Enforcement of Mediated Settlement
Agreement. - The mediation shall be guided by the
following operative principles:
(a) A settlement agreement following successful
mediation shall be prepared by the parties with
the assistance of their respective counsel, if
any, and by the mediator.
The parties and their respective counsels shall
endeavor to make the terms and condition
thereof complete and make adequate provisions
for the contingency of breach to avoid conflicting
interpretations of the agreement.
(b) The parties and their respective counsels, if
any, shall sign the settlement agreement. The
mediator shall certify that he/she explained the
contents of the settlement agreement to the
parties in a language known to them.
(c) If the parties so desire, they may deposit
such settlement agreement with the appropriate
Clerk of a Regional Trial Court of the place
where one of the parties resides. Where there is
a need to enforce the settlement agreement, a
petition may be filed by any of the parties with
the same court, in which case, the court shall
proceed summarily to hear the petition, in
accordance with such rules of procedure as
may be promulgated by the Supreme Court.
(d) The parties may agree in the settlement
agreement that the mediator shall become a
sole arbitrator for the dispute and shall treat the
settlement agreement as an arbitral award
which shall be subject to enforcement under
Republic Act No. 876, otherwise known as the
Arbitration Law, notwithstanding the provisions
of Executive Order No. 1008 for mediated
dispute outside of the CIAC.
CHAPTER 3 - OTHER ADR FORMS
SEC. 18. Referral of Dispute to other ADR Forms. -
The parties may agree to refer one or more or all issues
arising in a dispute or during its pendency to other
forms of ADR such as but not limited to (a) the
evaluation of a third person or (b) a mini-trial, (c)
mediation-arbitration, or a combination thereof.
For purposes of this Act, the use of other ADR forms
shall be governed by Chapter 2 of this Act except where
it is combined with arbitration in which case it shall
likewise be governed by Chapter 5 of this Act.
CHAPTER 6 - ARBITRATION OF CONSTRUCTION
DISPUTES
SEC. 34. Arbitration of Construction Disputes:
Governing Law. - The arbitration of construction
disputes shall be governed by Executive Order No.
1008, otherwise known as the Constitution Industry
Arbitration Law.
SEC. 35. Coverage of the Law. - Construction disputes
which fall within the original and exclusive jurisdiction of
the Construction Industry Arbitration Commission (the
"Commission") shall include those between or among
parties to, or who are otherwise bound by, an arbitration
agreement, directly or by reference whether such
parties are project owner, contractor, subcontractor,
quantity surveyor, bondsman or issuer of an insurance
policy in a construction project.
The Commission shall continue to exercise original and
exclusive jurisdiction over construction disputes
although the arbitration is "commercial" pursuant to
Section 21 of this Act.
SEC. 36. Authority to Act as Mediator or Arbitrator. -
By written agreement of the parties to a dispute, an
arbitrator may act as mediator and a mediator may act
as arbitrator. The parties may also agree in writing that,
following a successful mediation, the mediator shall
issue the settlement agreement in the form of an arbitral
award.
SEC. 37. Appointment of Foreign Arbitrator. - The
Construction Industry Arbitration Commission (CIAC)
shall promulgate rules to allow for the appointment of a
foreign arbitrator or coarbitrator or chairman of a
tribunal a person who has not been previously
accredited by CIAC: Provided, That:
(a) the dispute is a construction dispute in which
one party is an international party
(b) the person to be appointed agreed to abide
by the arbitration rules and policies of CIAC;
(c) he/she is either coarbitrator upon the
nomination of the international party; or he/she
is the common choice of the two CIAC-
accredited arbitrators first appointed one of
whom was nominated by the international party;
and
(d) the foreign arbitrator shall be of different
nationality from the international party.
SEC. 38. Applicability to Construction Arbitration. -
The provisions of Sections 17 (d) of Chapter 2, and
Section 28 and 29 of this Act shall apply to arbitration of
construction disputes covered by this Chapter.
SEC. 39. Court to Dismiss Case Involving a
Construction Dispute. - A regional trial court which a
construction dispute is filed shall, upon becoming
aware, not later than the pretrial conference, that the
parties had entered into an arbitration to be conducted
by the CIAC, unless both parties, assisted by their
respective counsel, shall submit to the regional trial
court a written agreement exclusive for the Court, rather
than the CIAC, to resolve the dispute.
CHAPTER 7 - JUDICIAL REVIEW OF ARBITRAL
AWARDS
A. DOMESTIC AWARDS
SEC. 40. Confirmation of Award. - The confirmation of
a domestic arbitral award shall be governed by Section
23 of R.A. 876.
A domestic arbitral award when confirmed shall be
enforced in the same manner as final and executory
decisions of the Regional Trial Court.
The confirmation of a domestic award shall be made by
the regional trial court in accordance with the Rules of
Procedure to be promulgated by the Supreme Court.
A CIAC arbitral award need not be confirmed by the
regional trial court to be executory as provided under
E.O. No. 1008.
SEC. 41. Vacation Award. - A party to a domestic
arbitration may question the arbitral award with the
appropriate regional trial court in accordance with the
rules of procedure to be promulgated by the Supreme
Court only on those grounds enumerated in Section 25
of Republic Act No. 876. Any other ground raised
against a domestic arbitral award shall be disregarded
by the regional trial court.
B. FOREIGN ARBITRAL AWARDS
SEC. 42. Application of the New York Convention. -
The New York Convention shall govern the recognition
and enforcement of arbitral awards covered by the said
Convention.
The recognition and enforcement of such arbitral
awards shall be filled with regional trial court in
accordance with the rules of procedure to be
promulgated by the Supreme Court. Said procedural
rules shall provide that the party relying on the award or
applying for its enforcement shall file with the court the
original or authenticated copy of the award and the
arbitration agreement. If the award or agreement is not
made in any of the official languages, the party shall
supply a duly certified translation thereof into any of
such languages.
The applicant shall establish that the country in which
foreign arbitration award was made is a party to the
New York Convention.
If the application for rejection or suspension of
enforcement of an award has been made, the regional
trial court may, if it considers it proper, vacate its
decision and may also, on the application of the party
claiming recognition or enforcement of the award, order
the party to provide appropriate security.
SEC. 43. Recognition and Enforcement of Foreign
Arbitral Awards Not Covered by the New York
Convention. - The recognition and enforcement of
foreign arbitral awards not covered by the New York
Convention shall be done in accordance with procedural
rules to be promulgated by the Supreme Court. The
Court may, grounds of comity and reciprocity, recognize
and enforce a nonconvention award as a convention
award.
SEC. 44. Foreign Arbitral Award Not Foreign
Judgment. - A foreign arbitral award when confirmed
by a court of a foreign country, shall be recognized and
enforced as a foreign arbitral award and not a judgment
of a foreign court.
A foreign arbitral award, when confirmed by the regional
trial court, shall be enforced as a foreign arbitral award
and not as a judgment of a foreign court.

A foreign arbitral award, when confirmed by the regional

trial court, shall be enforced in the same manner as final
and executory decisions of courts of law of the
Philippines.

SEC. 45. Rejection of a Foreign Arbitral Award. - A

party to a foreign arbitration proceeding may oppose an
application for recognition and enforcement of the
arbitral award in accordance with the procedural rules to
be promulgated by the Supreme Court only on those
grounds enumerated under Article V of the New York
Convention. Any other ground raised shall be
disregarded by the regional trial court.

SEC. 46. Appeal from Court Decisions on Arbitral

Awards. - A decision of the regional trial court
confirming, vacating, setting aside, modifying or
correcting an arbitral award may be appealed to the
Court of Appeals in accordance with the rules of
procedure to be promulgated by the Supreme Court.

The losing party who appeals from the judgment of the

court confirming an arbitral award shall required by the
appealant court to post counterbond executed in favor
of the prevailing party equal to the amount of the award
in accordance with the rules to be promulgated by the
Supreme Court.

SEC. 47. Venue and Jurisdiction. - Proceedings for

recognition and enforcement of an arbitration
agreement or for vacation, setting aside, correction or
modification of an arbitral award, and any application
with a court for arbitration assistance and supervision
shall be deemed as special proceedings and shall be
filled with the regional trial court (i) where arbitration
proceedings are conducted; (ii) where the asset to be
attached or levied upon, or the act to be enjoined is
located; (iii) where any of the parties to the dispute
resides or has his place of business; or (iv) in the
National Judicial Capital Region, at the option of the
applicant.

SEC. 48. Notice of Proceeding to Parties. - In a

special proceeding for recognition and enforcement of
an arbitral award, the Court shall send notice to the
parties at their address of record in the arbitration, or if
any party cannot be served notice at such address, at
such party's last known address. The notice shall be
sent at least fifteen (15) days before the date set for the
initial hearing of the application.