Adr Alaras Notes 2023 (Complete Coverage)

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● Confidentiality means that whatever is mentioned during ADR will not leave

ADR ALARAS LECTURE NOTES confines of the meeting


S.Y. 2022 - 2023 ● “Kompetenz-Kompetenz”: when there are issues raised, the arbitral tribunal is
DISCLAIMER: the screenshots from class lectures are still Justice Alaras’ intellectual deemed to be the first option or first body to resolve the issue
property and I claim no right to them; the blue texts are the only personal notes
CENTURY OLD CASES:
JAN 16 NOTES

● Problem with the case is that defendant should have gone through arbitration
muna instead of now claim for no jurisdiction
The State cannot compromise criminal cases (except for very specific cases which often focus ○ Dapat ipaforward mo for arbitration
on the payment of money) ○ Court CANNOT DISMISS the case, can only raise it to arbitration
○ Factual issues to be handled by arbitration and legal issues by court
● NOTE: but even if it gets forwarded to arbitration then later gets raised to the
court, the court still has to go through what was settled in the arbitration before
approving it and adopt it as the court’s judgment ON THE MERITS!!!! (on the
merits!!!!)

● “Kung ako tatanong sa bar ito tatanungin ko:


○ PARTY AUTONOMY & CONFIDENTIALITY”
● Kung walang party autonomy and the parties are not given the option to settle the
issue, bakit ka pa maga-ADR
● ARBITRATION vs. ADJUDICATION
○ ARBI - arbitrations decide the case
■ Because they receive evidence and review it before rendering
judgment based on said evidence
○ MEDI - mediators facilitate/assist the parties to talk and by themselves
decide the case
○ ARBI - usually lawyers
○ MEDI - experts in the field (e.g. engineers in construction disputes)

● What the FACTS ARE!!! Not the issues

● Altho CIAC is the original and exclusive body to resolve construction issues
● Arbitrators only ADJUDICATE (decide)
● They do not perform adversarial functions (hindi sila yung nag-aaway)
● Usually minimum 3 arbitrators (need to be odd number to break the tie)
● Q: Can the parties make their own rules?
○ ANS: YES, provided they agree to the rules
● Even gov’t agencies go thru arbitration & State encourages these gov’t agencies to
find out how to resolve it (as opposed to going straight to President)
JAN 23 NOTES

2 WAYS ADR CONDUCTED


1. Arbitration
2. Mediation

ARBITRATION
● may parties sa arbitration na nagtatanggap ng evidence (similar to a court)
● in mediation, there are parties who will choose one mediator who will help them
decide COMMERCIAL ARBITRATION
● COMMONALITY: they mainly deal with issues of facts
○ “accused wore a red shirt” (factual issue)
○ Question of whether the man in the red shirt killed the victtim (could be
a factual or legal question)
■ If used a knife and stabbed him, then you would have known
he killed the person (homicide or murder) → issues of law
■ But identifying the person who wore red → issue of fact
● In ADR, so long as there are still factual issues existing, then arbitration/mediation

● This definition is not a definition of function; but rather a definition of


ENUMERATION (NOTE: this enumeration CAN BE EXPANDED)
● NOTE: Arbitration is civil and commercial lang (walang criminal arbitration)
PARTY AUTONOMY [IMPT!!!!]
● Court Annexed Mediation (CAM)
○ When you file a case that gives way to mediation, it will not go to trial
immediately.
○ If it’s one of those issues in court that allows for mediation, di muna trial
○ Allows parties to talk to each other and come up with some kind of
settlement BEFORE judge steps in and settles the dispute [basta legal]
● Pag nakita ng defendant na yung evidence wala siyang panlaban, or nakita ng
plaintiff na tama yung defense against his case, would you still continue with the
case? NO
○ If you see it’s no longer feasible, best way is to break free and settle asap
● CENTRAL DOCTRINE IN ARBITRATION
● And that right to enter into some form of formal dispute resolution instead of
● You can choose what law to apply, territory, how much to be paid, how long, etc.
going through trial is basically PARTY AUTONOMY
○ HOW IS IT PARTY AUTONOMY?
■ You do not choose the judge or the details
■ Mediator in CAM will see if issue is just a misunderstanding
between the parties or an error in math or computation, thus
giving the parties the right to settle and dismiss the case on
their own

● The Compromise Agreement is the contract between the parties


● You assist the court in declogging the court dockets
● Pwede kang mag enter into contract na di na kayo magcocourt and hanggang
arbitration lang kayo and di mo macecertiorari yun
○ Pag gumawa kayo ng Compromise Agreement, that’s created and
drafted by the parties and the court will look at it and see if there are any
violations of law, public policy, etc. If wala namang illegal, it will be
treated as judgment on the merits and final na
○ What if you do not agree? Tinanong kayo ng court kung anong gusto
niyong mangyari tapos ngayon sasabihin mo na you don’t agree?
■ Pag trial, you assign errors in an appeal and allege that the
judge committed an error in the judgment of the case, pero
pag based on compromise agreement, wala kang maaassign na
error in judgment kasi kayo rin nag agree doon.

* MISSED A SLIDE HERE HEHE SURI

● Technically still expensive


○ Arbitration is not usually in one specific place (you might need to hire a
place pa until it is finished), unlike in court na punta ka lang
○ Among other expenses
CONFIDENTIALITY TRAVAUX PREPARATOIRES

● They don’t have the records of the arbitration mismo, just the final decision
● UN created the MODEL LAW (which is a skeleton of what to do and what you
need in arbitration)

* even mediators don’t keep records

● Aralin niyo nalang sa Privacy Law


KOMPETENZ-KOMPETENZ [TINANONG SA BAR] SEVERABILITY / SEPARABILITY CLAUSE
● Should have the competence to know if they have jurisdiction over the dispute ● Separability of ARBITRATION CLAUSE
● You’ll know you’ll will go thru ADR agad because of the Arbitration Clause
○ Might be a one-liner, might be a long ass paragraph longer than the
contract itself
■ Lalo na sa construction issues!!!! Kasi one-by-one you
determine how long yung arbitration, gaano kamahal, etc.
● It allows you to separate the Arbitration Clause from the contract itself
○ WHY? The move to annul the contract itself WILL NOT ANNUL THE
ARBITRATION CLAUSE (separability

● DEFINITION WAS ASKED @ BAR

● The idea is for the arbitration clause to exist until everything is finished
● If there is nothing in the contract that provides closure, especially for nitty gritty
details that need to be resolved, pasok yung arbitration
● Di pa natatanong pero bet ni Justice itanong sana

● WHY IS THERE AN ARBITRATION CLAUSE?


○ To determine what the liability of the parties will be
INTERIM MEASURE OF PROTECTION (I.M.P.) *skinip slides after
● All the possible remedies that you can have to settle disputes
● EXAMPLE: injunction, TRO, attachment, etc (available IMP in ADR) SELECTION OF ARBITRATORS
● You can select arbitrators (kung gusto mo pogi edi pogi)

● Similar to your provisional remedies in court


○ ANCILLARY TO MAIN ACTION ● # of arbitrators will depend on your ability to pay (they have their own set of fees)
JAN 30 NOTES ● How to conduct mediation/arbitration is YOUR CHOICE
BEFORE = there was no formal law that has covered the whole ADR • Now, we promote the inclusion of an ADR provision
● ONLY HAD FEW SPECIFIC LAWS: ● “In case of dispute, before the parties shall file a case in court, they shall go
○ Construction Agency Arbitration Commission Law - only mandated that through alternative dispute resolution”
any issue in a construction contract has to co through CAAC before a ● Declogs court dockets; promotes speedy, efficient, and impartial justice
case is filed before any court or tribunal (because of effect of stoppage,
slow down, etc. of any construction project whether private or public)

RA 9285 (ADR Act of 2004)


● Only an amalgamation of a lot of the guidelines, cases, executive orders that we
have and international conventions that we follow
○ ALTERNATIVE DR - in the international sense
■ Because not the primary
■ But ADR veers from that
■ It’s an alternative to primary dispute resolution (filing a case)
○ APPROPRIATE DR - it is the best among the CHOICES that you have

● Settlement is not just Rule 18 (Pre-Trial) of Civ Pro


● neutral third party ● Even government branches have ADR
● early neutral evaluation 10:35 ○ EXAMPLE: DOJ, executive branch, LGUs, etc.
○ In PH, we have a combination of BOTH ○ OADR sa government - Atty. Aglobes (also a Bedan)
• Courts are not required to monitor mediation/arbitration ● NOTE: YOU CANNOT HAVE ADR IN QUESTIONS OF LAW
● Because of LIBERAL INTERPRETATION IN FAVOR OF ADR ○ Only questions of fact (e.g. if tama yung boundary)
● STATE SANCTIONS
○ You cannot just ignore ADR NOTE: just because you pick the arbitrators does not necessarily mean that the ruling will be
in favor of you.

● Arbitral award favorable to both is the best case scenario


● May mga arbitration na for specific purpose lang, meron ring continuous

If you file a case in court, you will take a long time. So you go to an arbitrator and since they
are engineers, alam nila yung mga problema they don’t have to study anymore. They already
know the outcome based on the evidence you present and can decide agad. Sa court aaralin
pa ng judge/justice
● That’s why you should get an arbitrator who is knowledgeable and not just
friendly
● Odd numbered arbtirators to break the tie (kahit isa lang)
● But number will really depend on how much you can pay
● Kinda expensive nga lang
○ Really lucrative
○ Remember the quo warranto proceedings against Justice Sereno.
Pinagawayan kung saan nanggaling yung 35M sa SALN niya. Ang
chika, may time na UP Professors nagprotest sa SALN and kasama siya
doon sa nag protest kaya di siya nagfile. Yung P35M in Singaporean
Dollars yung kinita niya as arbitrator in ONE ARBITRATION CASE (sa
Singapore nga lang lmao)
● NOTE: QUESTION OF FACT vs. QUESTION OF LAW MIGHT BE ASKED!!!
○ NEXT Q: What can be settled in ADR

* Only a matter of ENFORCING A CONTRACT


● INSTITUTIONAL - you go under their jurisdiction and they arrange for arbitration
without you needing to do anything else. They ask what your problem is, who you
choose to be your arbitrator based on their list, and they provide the time and place
for arbitration as well as the stenographer; basically uupo ka lang tapos mag
aattend ng arbitration
○ A bit expensive but easier
● AD HOC - you have the whole freedom to choose your own arbitrator
● SPECIAL - arbitration in a particular field (altho meron ding INSTITUTIONAL na
for a particular field, e.g. investments)
ADVANTAGES
* SKIPPED #4
● seat will be based on convenience
● If arbitration only based on documents and no need ocular, kahit saan basta may
internet tsaka easy access to documents

*skipped this part


NOTE:
● UNCITRAL (New York Convention) for commercial arbitrations;
○ UN encouraged member-parties to share whatever documents they can
use or spare to the UNCITRAL which can be used by other member
countries to fashion their own arbitration proceedings
● ICSID (Washington Convention)
● NOTE RE MODEL LAW: there is now an UNCITRAL 2009 (need to update)
FEB 6 NOTES

● Not exclusive to ADR but seen in ADR mostly


● mandatory na yung may ADR PROVISION mga commercial contracts
○ and if you have an ADR provision, matik na na may container
contract/severability clause

Del Monte v. CA (brushed thru case title and facts so couldn’t screenshot)

● BEFORE, multiplicity of suits did not exist and you could file cases in different
places (Cebu & Northern Luzon) and wait until cases decided and just pick what is
favorable to you. So pagakyat sa appeal, hilo ang appellate court
● Arbitration, notwithstanding the fact it can be separated, is ALWAYS considered a
contract by and of itself
● HAGUE CONVENTION deals with:
○ Apostille, and
● Trend right now that separate agreement then a separate agreement on arbitration ○ Treatment and Adoption of Children
● EXAMPLE: construction contract. Each part of that contract can be subjected to ● Countries had problem with disagreement re how to determine if a document is
dispute (manipis ang kahoy, manipis ang dingding, etc). Would you invalidate the official
whole contract? NO. Continue with the contract then remedy those parts that can ○ So they came up with the APOSTILLE, which is a certification from the
be remedied government to certify that document is legit and notarized/filed with so
○ Kung ang problema lang yung grounds, hindi ibig sabihin na mali na and so
buong bldg ● The moment you show that document to a different state, such state can rely on
● Part of mediation & arbitration is the CREATION OF CONTRACTS that apostille to know it’s official
○ Thus needs to be REAL, ORIGINAL, and AUTHENTIC ● BUT NOTE: a Certified True Copy does not necessarily mean it’s TRUE
● Q: What if parties from different parts of the world? How to authenticate??? ○ Can still be questioned
○ ANS: see highlighted part

● Arbitration - parang trial


○ Tatanggap ng evidence and magkaka “trial” then render a reward
● Mediation - parties will just talk on simple terms, look for common grounds, and
come up with common settlement
○ COMPROMISE AGREEMENT yung ending
● NOTE: voluntariness to mediation/arbitration is agreement to the PROCESS of
● PRIMA FACIE EVIDENCE ONLY OF ISSUANCE + EXISTENCE + DUE arbitration or mediation, but not necessarily to the award/agreement
EXECUTION ● NOTE: you can have even number arbitrators, preferred lang na odd pero di
○ BUT, validity can still be questioned mandatory
○ BUT DEFINITELY, they need to be paid appropriately

● NOTE: commercial contracts continuously evolving kaya no finite definition for


commercial arbitration (definition by exclusion ata??)
● RE CONFIDENTIALITY: person who conducts JDR will not be the one to decide it
○ To protect the parties in case they don’t want to reveal something
○ Can object on ground that something subject to JDR
● FACILITATIVE: thru Q&A, arbitrators try to solicit info from parties about their
story and how they feel about it
○ Defendants sometimes don’t understand the content of their complaints
(too technical with a lot of legal terms)
○ There’s a chance that what you’re reading is different from what you
hear, not because the lawyer is lying, but because everything is
transformed to legalese
○ “Di ko naman gustong palayasin, gusto ko lang naman magbayad siya”
○ Mediators merely LISTEN, REPEAT, and CLARIFY
○ You just facilitate for them to talk
■ “Ah yan lang pala hinihingi mo sa’kin. Kaya kong bayaran
yan bigyan mo lang ako 3 buwan.”
● EVALUATIVE: mediators will now explain to the parties what the cases are and
tell them their chances of winning in the case
○ “Ayon sa complaint niyo at mga sinumita niyong dokumente, pwedeng
pruwebahan ang pagkautang. Kayo naman, defendant…”
● TRANSFORMATIVE: usually takes a longer period of time (e.g. collective
bargaining agreements)
● Altho office of ADR at the DOJ will soon to become a LINE AGENCY (now
looking for trainees)
○ A lot of government agency disputes go to OADR, and not to the Office
of the President kaagad
● CAM & JDR = before managed by PMC
● PHILJA = teaching arm of the SC that teaches judges, justices, etc. re new
resolutions
○ They are not, however, responsible for training private mediators
○ Private Mediators mas malaki kita
■ PERO Central Bank mas mataas kita lmao
● Pwede ka pa mapadala sa States para lang mag aral
● Melyonz
● Med-Arb = present in LABOR (usually mga assembly line issues lol)
○ It’s a 2-step arbitration process
■ After mediation, may kulang so they go to arbitration
■ ANG PROBLEMA, arbitrator mag dedecide and you don’t
necessarily get what you want. You only get what is needed.
So ang mangyayari, kung ayaw niyo parin yung result ng
award, mediation ulit

● NOTE: Filipino companies can have their disputes resolved ABROAD, even if
subject of dispute is in the Philippines
○ Rules can be ANY country’s rules (magic of International Commercial
Arbitration)
○ BUT, under Rules of PH Laws need to follow PH laws parin (ata??)
+++ (skipped end of enumeration; check codal nalang)

● NOTE: di ilalagay kung ano yung decision sa mediation, ilalagay lang na may
mediation na naganap and it was successful; but no particulars
● CAUCUS: when unable to reach a settlement, mediators will call parties together
and talk to them SEPARATELY
○ So EARLY NEUTRAL EVALUATION
○ Will tell one party na “you are bound to lose/win” then do the same to
the other (off-record arbitration)
○ Trying to settle FOR THE LAST TIME

● Very very active ang arbitration sa PH


● Solgen din very active sa arbitration

● If may issue of fact + issue of law, mag mini-trial sa issue of fact


● WALA NANG APPEAL APPEAL SA ARBITRATION
○ XCP: if may mali si arbitrator (corrupt, wrong application of law)
■ But cannot appeal on factual findings
● BUT YOU CAN OPPOSE
● LIMITS OF ARBITRAL JURISDICTION = Can only rule on issues of FACTS, not STOPPED AT: Arbitration Agreement
law NEXT WEEK: we will have class and tatapusin coverage
FEB 13 NOTES FEB 20 NOTES
Party + Short lecture (late suri; only have screenshots of end part)
* Rule 18 on Court Annexed Mediation

* Akin to Suspension ● ADR IS AVAILABLE EVEN DURING TRIAL


* Based on RA 876 (see below) ● If during trial nakita mo na na yung sinasandalan mo na factual basis ay hindi
* Institutional arbitration can resolve matters in the matter of weeks naman pala tama and the only way you can resolve the issue in your favor is to
● Faster admit liability and reduce liability, YOU CAN GO TO ARBITRATION
● Easier ○ Anything to de-clog dockets of court and allow parties to resolve issues
● Di mo na need mag present expert witness kasi expert na yung mediator (yun nga themselves
lang medjo mahal tapos cash down agad) ● EVEN AFTER PRE-TRIAL BASTA ON THE FACTS (and not on questions of law)
● Similar to mediation
● DIFFERENCE: mediator is the sitting judge
○ Dati: issue yung jurisdiction ng judge (idk why)
○ Judge is better able to persuade parties due to moral ascendancy
● No presentment of evidence BECAUSE NOT A TRIAL
○ Judge just facilitates communication and mediation
○ Vs. Arbitrator that can receive evidence and come up with
conclusion/decision
● Writ of Habeas Corpus = Justice Hernando in ponentia released Atty. Gigi Reyes
Sentinel Star JD Juan Poce Enrile on the premise of the BA(R)KER TEST (US
Jurisprudence)
○ IMPORTANT FOR BAR!!!!
● RULE 49

* dapat daw nag stay of proceeding muna sila tapos arbitration


* MeTC kasi nag unlawful detainer tapos inaffirm ng RTC and CA which is mali pero medjo
bago-bago pa yung arbitration at the time
● PARTY AUTONOMY so pwede ka appoint authority
● BUT you cannot force payment
○ Paano kung di afford or di kaya bayaran? You can constitute it as a LIEN
(ibabawas sa makukuha mo yung pang arbitration)
● Q: SINO MAG AAPPOINT kung wala kayong inagree sa Arbitration Clause?
○ ANS: ???
● Philippine Dispute Resolution Company Inc usual institutional arbitrator

● Ad Hoc if walang institution pinili

● Priority is still that parties appoint their own arbitrators (bc Party Autonomy)
● If walang mapili, pwede tanong sa court
● What if they do not appoint an arbitrator within the period of time allotted?
○ Interim Measure of Protection

Sec. 28 *didn’t get to screenshot; check codal nalang


* pwede may ex parte interim measure of protection in certain cases
● very very prevalent now ang ADR sa quasi-judicial bodies
○ Marami nang exec and admin agencies that also have disputes
● HOWEVER, it is NOT a quasi-judicial body
○ IT IS A CREATURE OF CONTRACT
● ADR walang appeal (ish)
○ XCP when it violates public policy
■ Idea of public policy is something that promotes a particular
law. It’s not often a matter of legislation, but more an issue of
the executive to issue something as a matter of public policy.
It’s a means of trying to IMMEDIATELY & SWIFTLY attend to
the emergency needs of a country
○ So technically may review policy siya, pero not based on legal issue, but
rather, based on the integrity of the arbitrator
MARCH 6 NOTES

* when you select an arbitrator, other party CAN CHALLENGE selection (but limited, ofc)

● Has adjudicatory function (NOT ADVERSARIAL)


● Hindi yung arbitrator yung aaway; sila yung tribunal a.k.a sila lang magdedecide.
Still on you to defend yourself
○ Difference sa court is that arbitrator is already (ideally) an expert in the
field, so no need to bring in an expert witness anymore
● Quasi-Judicial bodies created by law have specific duties and responsibilities put
* will continue here next meeting (Transcendental Importance vis-a-vis Bright-Line Rule)
down by law; but arbitral tribunals are CREATED BY CONTRACT (creature of
contract)
● Pimentel case: application of the Bright-Line Rule that overruled Transcendental
Importance @ SC

● IMPT!!! Bright-Line Rule might be asked daw because Transcendental


Importance always asked (altho so far di pa natatanong)
● IMPT!! MOST LIKELY WILL BE ASKED

● CAN AVAIL BEFORE OR DURING PROCEEDINGS


● NOTE: need to pay Attachment Bond
● FOOTNOTE: Parlade, Custodio O. ADR ACT OF 2004, 2004 ed. Pp. 180-181
● TLDR: BAWAL MAG TRO KUNG MAY NATIONAL GOV’T PROJECT

● IF YOU FOLLOW BUSAN CASE, di dapat i-TRO yung passport, BUT THEY
FAILED TO PROVE THAT THE E-PASSPORT PROJECT IS A NATIONAL
GOVERNMENT PROJECT
● Despite privilege to grant TROs, the court still follows RA 9285??? that you cannot
issue TRO on national projects (except SC)
● IMPORTANT ENUMERATION FOR MIDTERMS & FINALS!!!!!!!
* scrolled thru; didn’t get to sc the rest
● IMPT!!! FAVORITE DAW ITANONG SA EXAM
● IMPT NOTE: MOTION FOR RECON MUNA BAGO MAG CERTIORARI
Next meeting:
WILL START WITH petition for review (p.82)
MARCH 13 NOTES ■ Why to enforce?
● Because arbitral award is a creation of contract
● You create a contract and its execution and
implementation is not dictated by law.
● The parties themselves must voluntarily agree to
enact or follow the contract
■ What if one of the parties refuses to comply with the arbitral
award/contract?
● If contract created by law → go to the court and ask
for writ of execution
● Sa arbitral award → Writ of Execution din!!!!
○ Because now under court authority once
recognized and granted (via Petition for
Recognition of Arbitral Award)
■ NOTE: NEED NG PETITION
FOR RECOG PARA MAKA
WRIT OF EXECUTION
■ In the same manner that you can have the arbitral award
● One of the complaints against ADR is the lack of judicial remedies recognized and executed, you can simultaneously also have it
○ When parties agree to enter into arbitration, that becomes the contract vacated (kung ayaw mo sundin)
between the 2 of them (and thus the law between the 2 of them) ● Summons ba ipapadala? Need ba ng jurisdiction ng
○ Arbitrators adjudicate as a panel and not individually and paying for the court?
services of an arbitrator does not assure that that arbitrator will rule in ○ Truth of the matter, need NOTIFY LANG
your favor (di ka sigurado) ○ Kasi alam niya naman na may arbitral
○ Once nagdecide na ang arbitration tribunal and di na nag appeal or award na need sundin, eh di niya sinunod
apply for remedy ang parties, decision will become final and executory ■ Unlike Summons na di mo alam
immediately and will not be subject to appeal after that anymore → ppl may hahabol sa’yo
have problem with the fact it’s executory agad and bawal na appeal after ■ Summons can be sent but will
● CAN WE NOT LOOK FOR A REMEDY? technically just be notice and
○ Everything the court decides naman may remedy won’t necessarily give
○ Petitioner, or the person party to arbitration, is not prevented from jurisdiction
seeking a sort of appeal or situation wherein they can ask the arbitral ● Pag may summons, papafile ka ng Comment
award be reconsidered ● Pwedeng mag file ng Counterclaim tapos papa-
● REMEDY #1: Petition to Vacate Award as Special Proceeding vacate mo yung award for XYZ reason
○ Presupposes that you are already entitled to the arbitral tribunal and via ● REMEDY #2: Petition for Review (R43)
special proceeding have it enforced ○ For example, when Petition to Vacate was denied
■ CA is still the proper body
■ Still rules for Q of F/L/mixed F or L
■ Can still receive evidence to try questions of fact
● REMEDY #3: Petition for Certiorari (R65)
○ Different from MR/appeal
■ R65 = basis is GADALEJ which is appealable to SC
○ Question of LAW ONLY
■ Cannot raise issues or questions of fact anymore
○ Ginagawa ng ibang lawyers iraraise sa SC na “the courts decided so
gravely wrong on the issues of fact that they abused their jurisdiction” →
they equate it to lack of jurisdiction
■ Because jurisdiction is something the courts can decide on
even on appeal
■ Kahit gaano katama si judge or gaano kaganda yung decision,
pwede mo iakyat yun if wala siyang jurisdiction (walang
jeopardy, balik ka umpisa)
○ Anything that amounts to lack of jurisdiction is ALWAYS A QUESTION
OF LAW

● May arbitral award ka, presumption is susundin mo


● Di na kailangan magfile ng kaso kasi kontrata na yan sa inyo
● What could be the remedy once Petition to Vacate filed?
○ Can file Answer with Counterclaim to oppose petition to vacate
○ Can file a case (Counterclaim to Recognize the Arbitral Award)
● Where file? RTC (jurisdiction over special proceedings)
● Arbitration tribunal is a SPECIALIZED COURT
○ Can’t vacate on ground that there were errors of fact/law/f+l

● Kasi yung special proceedings, nagagawa mo sa RTC


● So nagdecide na ang RTC whether to recognize or vacate, akyat mo sa CA
○ Decision of CA can go on appeal to CA
○ Or pag Quasi-Judicial Agency, appeal via R43

● NOTE: once you are lawyers, sundin mo TO THE LETTER


○ Or mamimiligro kang madismiss
○ Binibigyan nalang ng time to comply nila Justice pero sa iba dismiss
*DID NOT GET CASE TITLE (SCROLLED THRU TITLE)

More scrolling…

* AFTER THIS POINT SUPER FAST SCROLLING SO DI NA NASCREENSHOT LAHAT


WELP :(((
● There are examples under R65 (enumerated)
● IMPT: NO APPEAL OR ANY PLAIN, SPEEDY, OR ADEQUATE REMEDY

● Third party can ask to be impleaded, but this is an arbitral tribunal created by
TWO PARTIES and concerns only THEM so parties CANNOT IMPLEAD A
THIRD PARTY WITHOUT THIRD PARTY’S CONSENT
○ cannot simply include third party na di part of contract
● FUNCTUS OFFICIO NA

● NOTE: arbitration decisions of arbitrators who are questionable MAY STILL BE ● PARLADE = Father of ADR
REVIEWED BY THE COURTS ○ FOOTNOTE: Parlade, Custodio O. & Montes, Cristina A.
INTERNATIONAL & DOMESTIC ARBITRATION, 2011 ed., pp. 269-270
● Di nag-iiba ang INTERNATIONAL COMMERCIAL ARBITRATION sa domestic
arbitration
● BUT DIFFERENT ANG INTERNATIONAL FOREIGN ARBITRATION
○ EXAMPLES:
■ use of natural resources
■ Determination of boundaries
● Mabubuhay ang arbitral tribunal hangga’t sinasabi nila
● SITUATION ONE: contract states that tribunal’s life ends March 13, 2023
○ Pag hindi pa tapos tribunal, wala silang magagawa
○ Expired parin
○ Parties can extend or make do with what they have
● SITUATION TWO: continue to exist until purpose is impossible to accomplish/
accomplished/ agreement terminated

● 3 TYPES
● Interlocutory → issue resolved does not in any way terminate the case
● Scrolled thru the last bit
● NOTE: MOTION FOR RECON MAY BE FILED

● IMPT!!!! ITO YUNG SUMMARY


● Qualifications = is he really a doctor/engineer/etc
● Discretion = if biased
● etc
*scrolled thru (check codal nalang)
● Arbitration is nowhere near court trials
○ Parties uusap para mag-ayos ayon sa kanilang terms, ebidensiya,
procedure na gusto, etc.
○ Same principle in domestic and international arbitration

● CANNOT IMPLEAD THIRD-PARTY

○ Can only be joined in arbitration if HE VOLUNTARILY JOINS

● Foreign Arbitral Award not part of coverage… scrolled back to Domestic


Arbitration
● DALAWA LANG ANG ARBITRATION = if not international, it is domestic
○ WALANG ARBITRATION SA CRIMINAL ACTS

● Once domestic arbitration, courts cannot simply intervene


○ YOU HAVE TO SEEK THE COURT’S INTERVENTION
○ No motu proprio action
● These are different ways to determine if domestic or international ang arbitration
● EXAMPLE: Office in Makati but perform business in Pampanga (furniture
business) SUMMARY OF DOMESTIC ARBITRATION BY JUSTICE:
○ Purpose is not to LIMIT the parties as to where arbitration can be
conducted, but to determine WHERE THE ARBITRATION CAN BE
CONDUCTED

● (i) TL;DR: STIPULATED VENUE


APR 17 NOTES

***MIDTERM EXAM***

COVERAGE:
Everything until Judicial Remedies
• if you choose to have Int’l Arbitration in the PH, PH laws shall apply
• If you choose to arbitrate outside place of business, does not necessarily convert
arbitration to international arbitration
• Settlement of Investment Disputes - also look into questions of law
o Arbitration is a CONTRACT
o Because contract, it is the law between the parties and you cannot simply
say you do not want to follow it
• There are arbitral tribunals that REQUIRE that if you choose to secure arbitration
via their institution, anything resolved is final and executory (no review anymore)
• NATIONALITY OF ARBITRATOR NOT RELEVANT IN DISTINCTION
BETWEEN DOMESTIC AND INTERNATIONAL ARBITRATION

• RESIDUAL TEST OF INTERNATIONALITY → catch-all provision


• IF HE DOES NOT DISCLOSE, DOON MO LANG ICHA-CHALLENGE
o “DOUBT” PALANG PWEDE MO NA I-CHALLENGE
o We file cases based on probable cause (NOT PRIMA FACIE)
• YOU CAN CHALLENGE EVEN IF YOU ARE THE ONE WHO APPOINTED HIM
o Because arbitrator is still an independent party
o Can be based on grounds found after appointment
Civil Case Search Warrants: Zaisse Contre Facon (related to Commercial law)
• In crim cases, you issue search warrants, BUT THERE ARE SEARCH WARRANTS
THAT MAY BE APPLICABLE IN CIVIL CASES
• Emphasis on “WITHOUT UNDUE DELAY, HIS MANDATE TERMINATES
• KINDS OF ARBITRATION AGREEMENT IMPORTANT FOR EXAM AND
FOR BAR!!! WILL DEFINITELY BE ASKED
o JUSTICE MARIO LOPEZ FOR BAR 2024

• HINDI PWEDE ORAL AGREEMENT


*SCROLL SCROLL SCROLL KASI TAPOS NA DAW TO

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SCROLL SCROLL SCROLL AGAIN :(((((((


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• NOTE: there can be a challenge in middle of arbitration based on conflict in


between OR EVEN AFTER arbitration
• SIGNED BY MAJORITY LANG NEED (not necessarily unanimous)
• no need to indicate reason (but parties can agree to put reason)

• NOTE: ARBITRAL TRIBUNAL ang mag issue ng Order of Termination


• “DOMESTIC ARBITRAL AWARD” → means that award ready to be enforced
o :. parties must VOLUNTARILY COMPLY with arbitral award
▪ No need for court to interfere na • Confirmation of Award is a SPECIAL PROCEEDING (only need notice)
▪ Parang if bumili ka ng kotse di mo na kailangan yung korte na o Summons not necessary because jurisdiction already conferred
iconfirm yung sale. Di na. Rekta na
o ENFORCED IN SAME MANNER AS A “FINAL AND EXECUTORY
DECISION”
▪ FILE IT WITH RTC (only for Confirmation of Arbitral Award)
• But no need confirmation award if they both comply
• NEED LANG CONFIRMATION AWARD IF THE
OTHER PARTY REFUSES TO COMPLY WITH
THE AWARD!!!!!
APR 24 CLASS NOTES

CONSTRUCTION INDUSTRY ARBITRATION COMMISSION (CIAC)

• Why is there a need for arbitration in construction disputes?


o Lots of stopped construction due to arbitration disputes and not because
of money issues (that’s why need arbitration para masettle ng mas
mabilis)
o Nanigas na yung semento, yung buhangin naubos na, yung clinearing
niyo nagkadamo na ulit
▪ Time is one of the important elements in construction
o And you need EXPERTS (technical experts, engineers, etc.) and not
lawyers when it comes to construction disputes
• EXECUTIVE ORDER 1008 (Martial Law era legislation)
• Take note of the definition of “construction” → really wide scope
• “WITH COURTS LIMITED TO A SUPPORTIVE ROLE” → sa execution nalang ang o Paint jobs
court o Papaclearing ng damo
o Excavation and erection
• NOTE: labor disputes not covered under CIAC
• NOTE: jurisdiction is over the DISPUTE and not over the contract
*scroll scroll scroll
WESTERN MINOLCO CORPORATION v. COURT OF APPEALS and
GREGORIAN MINING COMPANY, G.R. No. L-51996. November 23, 1988.
law.

LM POWER ENGINEERING CORPORATION v. CAPITOL INDUSTRIAL


CONSTRUCTION GROUPS, INC., G.R. No. 141833 [March 26, 2003], 447
PHIL 705-717
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• VERY VERY POSSIBLE TO BE ASKED @ BAR!!!!
• NEW CASE
• CAN APPEAL CIAC TO THE COURT OF APPEALS
• You’re allowed to appoint foreign arbitrators
• missed letter a :((((((( check codal nalang

• not enough to just allege; must be supported by evidence

• didn’t get to screenshot first part sorry


*scroll scroll scroll
• pero nung unang panahon pa ‘to
* “TERMS OF REFERENCE” → will eventually replace “pre-trial conference”

• We will discuss Appellate Jurisdiction next week

MAY 1, 8, & 15
NO CLASS
MAY 22 [LAST DAY]
(Notes from other class + only the highlighted parts of discussion in our class)
***FINAL EXAM***

COVERAGE:
• CIAC
• Arbitration Commission
• JDR

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