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ADR Reviewer
Alternative Dispute Resolution Reviewer
Midterms.
APRIL 2, 2015YOURLADYLAWYER
ALTERNATIVE DISPUTE RESOLUTION
By. Atty. Gabriel Robeniol
Chapter 1: Introduction
Historical Rule:
Judicial and Legislative trends:
 Utilization of alternatie means and methods
implemented in or outside the court trial
system
Civil Code of the Philippines:
 30 August 1950
 Contains provisions of/or on compromise
arbitration.
 Encourages litigants to agree upon fair
compromise and authorize arbitration
19 June 1953
 Enactment of arbitration law
 Republic Act. 876
20 May 1965
 Convention on the recognition and
enforcement of foreign arbitration / arbitral
awards
Philippine law has acknowledged the
international arbitration as system of
setting commercial dispute.
UNCITRAL
 Model law which the Philippines committed
its adherence.
Judiciary Action
Response of Judiciary to the Problems of
Delay.
 Requirements of conducting pre-trial
conference
 Utilization on different modes of discovery
 Proscription against forum shopping
The supreme court encourages the
use of arbitration through Philippine
Mediation Commission or through
Judicial Dispute Resolution (JDR)
Legislative Action:
 Special domestic legislation passed the
prescription of arbitration, mediation and
conciliation.
 G:
 Labor Code of the Philippines
 National Labor Relations Commissions
Concerning:
 Unfair Labor Practice
 Termination of Employment
 Conditions of Employment
 Damages arising from E – E
 Level Arbitration
Executive Branch Contribution:
 CIAC – Construction Industry Arbitration
Commission – Enacted during 4 Feb 1985
concerning constriction dispute
 23 August 1998 – rules of procedure
governing construction arbitration
 19 November 2005 – CIAC revised rules of
procedure governing construction arbitration

 22 March 2010 – rules on ADR for dispute
between national government
agencies: amicable settlement dipute
THE ADR Act of 2004
 Dispute resolution law
 An act to institutionalize use of an alternative
dispute resolution system in the Philippines
and to establish the office for alternative
dispute resolution and for other purpose.
 28 April 2004
Philippines as the Venue of ICA
· RTC must refer to arbitration in
proper case
· Foreign Arbitral awards must be
confirmed by RTC
· The RTC has jurisdiction to
review foreign arbitral awards
· Grounds for judicial review
different in Domestic and Foreign
arbitral awards.
· RTC Decisions of assailed
foreign arbitral awards appealable: CA,
certiorari
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The Lawyer’s Role
 Contribute to the promotion of ADR
 Assist courts in encouraging the parties to
avail of alternative means of dispute
resolution
 Explain the benefits of the ADR system.
Chapter 2: Fundamentals of Alternative
Dispute Resolution
Alternative Dispute Resolution
 Expeditious and speedy manner
 Methods of resolving dispute outside the
court trial system
 Includes similar process in quasi – judicial
agencies
 Any process the used to resolve a dispute or
controversy
 Neutral third party
State Policy in ADR
 ADR act of 2004 declared the state policy
 Promote party autonomy resolution of
dispute
 Freedom of the party to choose or make
their own arrangement to resolve dispute
 Provides solutions that is less time
consuming, less confrontational procedure
of goodwill and lasting friendship
 Wave of the future in international
relationship
Principles of ADR
 Promotion of party autonomy and self –
determination in dispute resolution
 Recognition of ADR as an efficient tool and
an alternative procedure for the resolution of
cases
 Enlisting a private sector participation

Objectives and Benefits of ADR
 Speedy and impartial justice
 Declogging of court dockets.
Features of ADR
 ADR means used to resolve a dispute or
controversy
 Exceptions: intention is to cause delay or
suspend the proceeding
 ADR utilize means and methods allowed by
law
 ADR is contractual in nature
 ADR avoids court trial
 ADR usually involves the participation of
neutral third party
Sources of ADR
 Domestic Laws and Rules
Constitution
Civil Code
Arbitration Law
 Acts of the Executive Branch
 Decisions of the Supreme Court
 International Law : UNCITRAL
 General principle of Law and Equity
Forms of ADR
 Arbitration – arrangement of the and abiding
by the judgment or selected person in
dispute; binding between the parties
 Mediation – voluntary agreement between
the parties with the help of third person to
convince them to come into an agreement;
non binding between eh parties.
 Conciliation – conciliation of dispute in an
unantagonistic manner
 Neutral – lawyers are brought to present the
summary of the case
 Early – Neutral – availed of in pre – trial
case
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 Mini – trial – merits of the case ar argued in
front of a panel
 Any combination of the foregoing
 Any other ADR forms
Classification of Forms of ADR
 As to the number of parties:
 Bi – party – one or two parties
 Multi – Party – two or more
 AS to the number of issues involve:
 Simple – one issues involve
 Complex – two or more issues
 As to the extent of conclusion
 Complete – all issues involve is resolve
 Partial – only two or three issues involve are
resolved but not all
 As to the role of evidence in the proceedings
 Evidentiary
 Non – merit based
 As to the pendency of the court case
 Case – related – when there is a case
involved
 Independent
 AS to the applicable law
 Domestic – when the place of business and
arbitration is in the Philippines
 International – when the place of business
involved two states and arbitration is outside
the Philippines
 Foreign – when the place of business is
outside the Philippines and the arbitration is
outside the Philippines.
 As to the permanency of the ADR provider
 AD – HOC – temporary
 Institutional – permanent
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Components of ADR Chapter 3: Mediation under ADR Act of 2004

 Contending parties
 Dispute or controversy Mediation
 Form of ADR  Voluntary process in which a mediator is
 ADR provider or practitioner selected by the disputing parties
Subject matter of ADR  Facilitates communication and negotiation
 Adversarial dispute and controversy  Assist the parties in reaching voluntary
 Exception: agreement

 Civil Status of persons Court Annexed Mediated

 Validity of marriage and any other forms of  Mediation conducted under the auspices of

legal separation the court

 Jurisdiction of courts Court Referred Mediation

 Future legitime  Ordered by the court to be conducted by the

 Criminal Liability agreement of the parties

 In general which the law cannot be Mediator

compromise  Person conducting mediation

Basic Concepts of ADR Mediation Practitioner

 Concluding Acts or Arguments  Parties in mediation

 Arbitral Award – final decision of arbitration Non – Party participants

on awarding issue or controversy  Witness, resource person, or expert

 Mediated Settlement agreement – contract Classification of Mediation

executed by the parties  Non – evidentiary or non – merit based

 Compromise or compromise agreement – mediated

avoidance of litigation or to put an end to the  Focuses on facilitation or communication

one already existing and negotiation between the parties in

 Waiver or quitclaim – a statement encouraging to voluntarily settle dispute

renouncing any right or claim  Institutional

 ADR providers or practitioners  Administered and conducted by or under the

 Preferences of ADR rules of mediation institution

Office for ADR  Ad – Hoc

 ADR – agency attached to DOJ  Other than institutional

 Executive Director appointed by the

To be bound by the internal mediation
president upon recommendation of
secretary of justice and the administrative policies of such
institution
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Confidential Information
To have such rules govern the  Any information relative to the subject of
mediation of the dispute and for the mediation or arbitration
mediator  Expressly intended not to be disclosed
Expressly Confidential
Impliedly confidential
Place of Mediation  Creates reasonable expectations
Confidential Information Includes:
 Two disputing parties are free to agree the
 Communication
place\
 Oral or Written statements
 In the absence – default is convenient to
 Pleadings, motions, manifestations
and appropriate to all the parties
Legal effects of Confidential and privileged
Stages of Mediation
nature
 Opening statement of mediator
 A party may refuse to disclose
 Individual narration by the parties
 Not subject to discovery and inadmissible in
 Exchange by the parties
adversarial proceedings
 Summary issues
 People cannot be compelled to disclose
 Generalization and evaluation of options
information
 Closure
 Parties to the dispute
Mediation shall be held in private
 Mediation
Exceptions: Parties consented that there be
 Counsel for the parties
other persons
 Non – Party
 Secretary, stenographer, assistants
Closed and concluded
 Any persons who obtains information
 Execution of settlement agreement
 Continues even the mediator fialed to act
 Withdrawal of any party from mediation
impartially
 Written declaration
 Mediator may not be called to testify
Advantages of Mediation
Exceptions based on agreement, Nature of
 Confidentiality in Mediation Process
Proceedings, Crime or Social Justice
 Prompt, economical amicable dispute
 Contained in an agreement evidence by a
resolution
record authenticated by all parties to
 The decision making authority rest upon the
agreement
parties
 Made public or required by the courts to
Confidential and Privileged nature of
make it public
Mediation Communication
 A threat or statement of plan to inflict bodily
 All information of evidence is privileged and
injury
confidential in character
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 Communication on attempt to commit a Duties and Functions of Mediationr

crime  Prior to Mediation
 Used to approve or disprove neglect,  Upgrade professional competencies
abandonment or exploitation  Reasonable inquiry
 Used to sought or complaint against  During the Mediation
misconduct  Confidential
 Non party base agreement  Consent and self determination
Exceptions based on Public Policy  Promotion of respect and control of abuse
 Court proceeding involving a crime or felony and process
 Avoid liability on contracts arising from Mediator’s Cost and Fees
mediation  Ad Hoc – free to make their own
Limited use of External Evidence arrangement as to the mediation of cost and
 Only such portion of the communication fees
necessary for the application of the Mediated Settlement Agreement
exception can be admitted in evidence  Compromise Agreement
Privileged Mediation  Successful Mediation
 Bound by the confidential privileged Roles of counsel in Mediation
 Exception  Collaborative
 Termination of mediation  Encourage
 Settlement was reached  Assist
 Permitted to be disclosed  Confer
Waiver of Confidentiality Chapter 4: Arbitration in General
 Expressed Arbitration
 Implied  Process which one or more arbitrators
The Mediator appointed in accordance with the agreement
 OADR – list and freedom to select mediators of the parties
 It is the arbiter that decides the dispute and
Withdrawal Requirements renders an arbitral award to conclude in
 The party requested arbitral proceedings
 Lacks qualifications, training and experience Kinds of Arbitration
 Mediator’s impartiality is in question  Voluntary
 Violation of ethical standards  Reference of a dispute to an impartial body
 Safety will be jeopardized  Members are chosen by the parties
 Unable to provide effective services themselves
 Conflict of interest  Compulsary arbitration
 Other instances

 Settlement of labor dispute by the
government agency which has the authority
to investigate
 Domestic
 International
 Foreign
Same concept lang naman to nung nasa chapter
two na foreign domestic at international dapat
alam nyo nay un.
 Commercial Arbitration – matters arising
from all relationship of commercial in nature
Policy on Arbitration
 Speedy and inexpensive methods
Arbitrator
 Person appointed to render an award
 May use his own discretion in the
performance of his function
Arbitration agreement
 Agreement by the parties
 In respect of legal relationship
Essential elements
 Consent of the parties freely given
 Cause of consideration
 Lawful object
Two modes in submitting dispute
 Agreement to submit in arbitration
 Submission agreement
Arbitration Agreement
 Shall be in writing and subscribed by the
parties to be charged
 May be included in arbitration clause or
compromise
Arbitration Clause
 Must be liberally construed consistent with
the policy of encouraging alternative dispute
resolution method
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Doctrine of Separability
 Arbitration agreement is independent of the
main contact even if it contained in
Arbitration clause
Due process in Arbitral proceedings
 Principles of administrative due process
equally apply to arbitral proceedings
Judicial Review and Court intervention
 Proper RTC
 Review Court of Appeals Rule 43 ROC
 Certiorari proper court Rule 65 ROC
Interim Measures in Arbitration
 Allows the application of a party to a judicial
authority for interim conservatory
 Allows filing of provisional interim measures
with regular courts whenever the arbitral
tribunal has no power to act effectively
Chapter 5: International Commercial
Arbitration under the ADR Act of 2004 and its
IRR
International Commercial Arbitration
 Instances of Occurrence of International
Arbitration
 Parties and Places of business is in different
state
 Place of arbitration provided in the
agreement where parties have their
business is outside the Philippines
 Substantial part of obligation is to be
performed outside the Philippines
 Subject matter of agreement relates to more
than one parties
 Commercial Arbitration
 Commercial relationship in nature
 Contractual or not
 Foreign Arbitration

 International commercial arbitration is
outside the Philippines
Coverage of IRR Provisions of ICA
 Applicable only to international commercial
arbitration
 The rules of procedure for international
commercial arbitration provided for under
the ADR act or its IRR may also be applied
for international commercial arbitration
outside the Philippines if they are adopted
as rules of procedure by the parties in the
exercise of their privileged of party –
autonomy and self – determination
Default Rules
 provisions of the IRR
 Applicable only in the absence of or in
default contained in the ff: (1) an agreement
in force between the Philippines and other
state; (2) an agreement between the parties
on the applicable rules
Rules of Interpretation
 Interpretation of the ADR act
 due regard to the policy of law favouring
arbitration
 Interpretation of the model Law
 need for uniformity of its interpretation
 Interpretation of the IRR
 Same policy
 Party autonomy
 Freedom of the parties
 Reference to an agreement
 Rules applicable to claims and counter
claims
Rules of Receipt of Written Communication
in ICA
 The subject matter of the dispute may be
located in different stage
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Rules communication is deemed received
 Delivered to the address personally or at his
place of business, habitual residence or
mailing address
 If there is none, delivery by registered mail
or attempt to deliver to last know place of
business
Waiver of the Rights to Object in ICA
 Arbitration is different from mediation in that
the latter is not merit or evidence based and
therefore not procedurally driven
Limitations
 ADR act and its IRR is limited to the
application of rules on the waiver in the
mediation proceedings to wavier of
confidentiality and privilege only
 IRR expands the application of the rules on
waiver to include non – compliance with the
rules or requirements
Doctrine of Estoppel
 Objectives to non compliance with the rules
or any requirements under the arbitration
agreement must be raised without undue
delay or within the time prescribed therefore,
failing which, the right to object is deemed
waived
Estoppel in pais
 Happens when one, by his acts,
representation, or admissions, or by his own
silicon when he ought to speak out,
intentionally or culpable negligence, induces
another to believe certain facts to exist and
such belief in a manner that he will be
prejudiced if the former is permitted to deny
the existence of such facts

Confidentiality in ICA
General Rule
 In the case of mediation, proceedings,
records, evidence, and arbitral awards are
confidentia
Exceptions:
 Consent of the Parties
 Limited purpose of disclosing to the court
relevant documents in cases where resort to
the court is allowe
Due Process in ICA
 IRR mandates that the parties shall be
treated equally and shall be given full
opportunity
 Reasonable opportunity
Due Process
 Complied if parties are given opportunity to
be heard and present evidence
Place if ICA
 Default place – MANILA
 Place chosen by Parties
Commencement of ICA proceedings
 Date – requested by the parties
 Default date – date of request for that
dispute
Language in ICA
 Parties shall determine the language
 Default – English
Applicable Law in ICA
 Governing law generally is substantive law
Substantive Law
 Law or legal system applicable to complete
resolution of dispute
Conflicts of Law/Private International Law
 Part of municipal law or state which directs
courts and administrative agencies, when
confronted with a legal problem involving a
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foreign element, where they should apply a
foreign law
Appointing Authority in ICA
 He person or institution named in the
arbitration agreement
Functions
 Take necessary measurements
 Decide on the challenge
 Consider the qualifications
The default appointment of an arbitrator
shall be made by the National President of
the Integrated bar of the Philippines.
Arbitrators and Arbitral Tribunal in ICA
 Default number of arbitrators is three and is
due to their appointment
Default Procedure
 3 arbiter – each party shall appoint one
 Sole arbiter – shall be appointed by the
parties
 The decision of the appointing authority on
this matter shall be immediately executor
and shall not be subject to a motion for
reconsideration or appeal
Factors in Appointing Arbitrators
 Qualifications
 Considerations
 Advisability of appointing an arbitrator of a
nationality
Grounds for changeling an Arbitrator in ICA
 Impartiality
 Possession of the qualifications
Procedure for the challenge in ICA
 Default procedure

 Sending of written agreement 15 days after
becoming aware of the constitution of
arbitral tribunal
 The parties may request the appointing
authority within 30 days to challenge
tribunals
Procedure incase the Arbitrator fails to act in
ICA
 Mandates terminates
 Withdraws
 Parties agrees in the termination
Jurisdiction of Arbitral Tribunal in ICA
 Jurisdiction
 The right to act whether or the power to and
authority to hear and determine cause
Jurisdiction over subject matter
 Subject matter of the controversy is
conferred by law
Two Instances
 Lack of jurisdiction
 Excess of jurisdiction
Jurisdictional review of Jurisdictional Issue
 Consider challenge as preliminary question
 Defer resolution
Jurisdiction over the pArties
 Pre – causal agreement
Interim Measures in ICA
 Request shall be in writing transmitted by
reasonable means
 Relieve may be granted to prevent
irreparable loss, security, preserve
evidence, compel
Legal Representation in ICA
 A person may be represented by any person
of his choice
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Determination of Rules of Procedure
 Statement of claims
 Statement of Defence
 Default of the parties
 Amendment of claims or defences
 Hearings (1) court assistance in taking
evidence (2) subpoena (3) expert
 Conclusion / closure
Requisites for an Arbitral Award to be Final
 Rendition of the arbitral award
 Hearing on the qualification
 Expiration of the periods
Cost in ICA
 Fees on arbitral tribunal
 Travel
 Cost of expert advice
 Travel and other expenses of witness
 Cost for legal representation
 Fees and expenses of appointing authority
Correction and Interpretation of ICA award
 Quantification of the cause and the
determination of the party liable therefore or
the division between the parties
 Correction of typographical and similar
errors initiated by a parties
 Interpretation of the awards
 Correction of typographical error initiated by
the Arbitral Tribunal
 Additional award
Setting Aside an ICA AWARD
Requirements
 Default in the arbitration agreement
 Violation of due process
 Lack or excess of jurisdiction on the part of
the arbitral award
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 Violation of the arbitration agreement

Venue:
 RTC

Requirements
 Place of arbitration
 Assessed, reviewed or enjoinment is located
 Residence ir place of business
 NCR
Time for filing the petition for Setting Aside
 3 mos
 90 days

Recognition and Enforcement of Foreign

Arbitral Awards

Recognition
 Means by which a Philippine courts give
legal acknowledgment to a foreign arbitral
award
Confirmation
 Judicial affirmation of a domestic arbitral
award
Enforcement
 Execution and implementation