UNIVERSITY OF SANTO TOMAS
ALTERNATIVE DISPUTE RESOLUTION
Republic Act No. 9285
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
STRATE POLICY
Q: What is the policy of the State in ADR?
A: 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 Resoluton (ADR) as an important means to achieve
speedy and impartial justice and declog court dockets.
Q: What is the Constitutional basis of ADR?
A:
ARTICLE XIII
LABOR
Section 3. XXX The State shall promote the principle of shared
responsibility between workers and employers and the
preferential use of voluntary modes in setling disputes, including
conciliation, and shall enforce their mutual compliance therewith
to foster industrial peace.
NOTE: The employers and employees are encouraged to go
ADR under the Consttuton for the purpose of obtaining
industrial peace.
Q: What is the legal basis of ADR? Give the Civil Code
provision.
A:
Art. 1306. The contracting parties may establish such
stipulations, clauses, terms and conditions as they may
deem convenient, provided they are not contrary to law,
morals, good customs, public order, or public policy. (1255a)
Q: What if the parties into a contract stipulating therein that
in the event of dispute arising from the same contract, they
are going to refer the case to the RTC of Manila. Are they
proper subjects of ADR?
A: No. The dispute to be covered by the ADR must be
resolved by an impartal third party who is neither a judge nor
an agent of the government. If it is the court that resolves the
dispute, such resoluton is excluded in the ADR.
Q: A and B entered into an agreement that in the event of
dispute, they will resolve the controversy through
arbitration. There was a breach of contract. Suppose the
parties invoked their agreement, what will the court do?
A:
1. The Court shall suspend the proceedings
2. The court shall direct the partes to go to ADR on the
basis of their contract or agreement
3. After the proceedings in the ADR and after rendering
of award, the arbitrator shall not refer the award to
the court for the partes to comply
Q: What is the nature of proceedings under ADR?
A: All proceedings under special proceedings.
DEFINITION OF TERMS AND CONCEPTS
Q: What is Alternative Dispute Resolution (ADR)?
A: It 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 offcer of a government
agency in which a neutral third party partcipates to assist in
the resoluton of issues, which includes arbitration,
mediation, conciliation, early neutral evaluation, mini-trial, or
any combination thereof.
Q: Who is an ADR provider?
Facultad de
Derecho Civil 1
A: It means institutions or persons accredited as mediator,
conciliator, arbitrator, neutral evaluator, or any person
exercising similar functons in any Alternative Dispute
Resoluton system.
NOTE: The partes are given the right to chose non-accredited
individuals to act as mediator, conciliator, arbitrator, or
neutral evaluator of their dispute.
Q: Who is an ADR Practitioner?
A: It shall refer to individuals acting as mediator, conciliator,
arbitrator or neutral evaluator.
Q: In what ways, ADR is implemented?
A:
1. Arbitraton
2. Mediation or conciliation
3. Mini-trial
4. Early Neutral Evaluation
Q: What is arbitration?
A: Arbitraton means a voluntary dispute resoluton process
in which one or more arbitrators, appointed in accordance
with the agreement of the partes, or rules promulgated
pursuant to ADR Act of 2004, resolve a dispute by rendering
an award.
Q: Who determines/chooses the particular way to be
utilized in resolving a dispute through the ADR?
A: The partes can implement the kind of dispute resolution
that they would like to avail of.
Q: Who is an arbitrator?
A: Arbitrator means the person appointed to render an
award, alone or with others, in a dispute that is the subject of
an arbitraton agreement.
Q: What is an award?
A: It means any partal or final decision by an arbitrator in
resolving the issue in a controversy.
Q: When is arbitration considered as commercial?
A: An arbitraton is "commercial” if it covers matter arising
from all relationships of a commercial nature, whether
contractual or not.
Q: Give the rule as regards the confidentiality of information
with regard to arbitration or mediation.
A: Any information, relative to the subject of mediation or
arbitraton, expressly intended by the source not to be
disclosed, or obtained under circumstances that would create
a reasonable expectaton on behalf of the source that the
information shall not be disclosed.
Q: What is included in the phrase “confidential
information?”
A: It shall include:
(1) communicaton, oral or written, made in a dispute
resoluton proceedings, including any memoranda,
notes or work product of the neutral party or non-
party partcipant;
(2) an oral or written statement made or which occurs
during mediation or for purposes of considering,
conductng, partcipating, initatng, contnuing of
reconvening mediation or retaining a mediator; and
(3) Pleadings, motons manifestatons, witness
statements, reports filed or submitted in an
arbitraton or for expert evaluation.
Q: What is Court-Annexed Mediation?
A: It means any mediation process conducted under the
auspices of the court, after such court has acquired
jurisdiction of the dispute.
Q: What are the purposes of a court-annexed mediation?
A:
1. To unclog the docket of the court
2. To shorten the proceedings
3. To help in the evaluation of elements
4. To bring the partes into a settlement
Illustraton:
Q: There is a court proceeding between A and B with regard
the accounting claim of A to B. Can the court direct the
parties to go to ADR in order to determine whether or not
the particular amount being claimed by A is correct?
A: In such case, the court may refer the parties. Since the
court will have to determine the actual amount which the
partes owe to each other, the court can direct the partes to
go to mediation to an annex court. The judge in such case will
be the judge of an annex court who is not the same judge
with whom the case was first filed. The 2 courts in such case
belongs to the same category or equal level.
Q: What is Court-Referred Mediation?
A: It 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.
Q: What is Early Neutral Evaluation?
A: It means an ADR process wherein partes and their lawyers
are brought together in an 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.
Q: What is Mediation?
A: It means a voluntary process in which a mediator, selected
by the disputng partes, facilitates communication and
negotiation, and assist the parties in reaching a voluntary
agreement regarding a dispute.
Q: Who is a Mediator?
A: It means a person who conducts mediation.
Q: What is Mini-Trial?
A: It means a structured dispute resoluton 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 partes seek a negotiated
settlement.
Q: What is the difference between mini-trial and early
neutral evaluation?
A:
MINI-TRIAL EARLY NEUTRAL
EVALUATION
There is a decision and from The resoluton is merely an
that decision the partes are advice; the parties may take
compelled to go a mediated such resoluton or not,
agreement. It will result in hence, not binding
the termination of the
mediation, hence, binding.
Q: Who is a non-party participant?
A: It means a person other than a party or mediator, who
partcipates in a mediation proceeding as a witness, resource
person or expert.
EXCEPTION TO THE APPLICATION OF THE ADR LAW
Q: What are the cases not covered by ADR?
A: The following cases are not covered by ADR?
A:
(a) labor disputes covered by Presidental Decree No.
442, otherwise known as the Labor Code of the
Philippines, as amended and its Implementng Rules
and Regulations;
(b) the civil status of persons;
(c) the validity of a marriage;
(d) any ground for legal separation;
(e) the jurisdicton of courts;
(f) future legitime;
(g) criminal liability; and
(h) those which by law cannot be compromised.
(i) Adopton (added by Atty. Palacios)
MEDIATION
CONDIDENTIALITY OF INFORMATION
Information obtained through mediation shall be privileged
and confidental. A party, a mediator, or a nonparty
partcipant may refuse to disclose and may prevent any other
person from disclosing a mediation communicaton.
GENERAL RULE (Section 9)
Information obtained through mediation proceedings shall be
subject to the following principles and guidelines:
(a) Information obtained through mediation shall be
privileged and confidental.
(b) A party, a mediator, or a nonparty partcipant may
refuse to disclose and may prevent any other
person from disclosing a mediation
communication.
Q: May the modes of discovery under the rules of court be
availed of to obtain information disclosed in mediation
proceedings?
A:
(c) Confidental 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.
Q: Who are the parties covered by the confidentiality rule?
A:
(d) In such an adversarial proceeding, the following
persons involved or previously involved in a
 mediation may not be compelled to disclose
confidental information obtained during mediation:
(1) the partes to the dispute;
(2) the mediator or mediators;
(3) the counsel for the partes;
(4) the nonparty partcipants;
(5) any persons hired or engaged in connecton
with the mediation as secretary, stenographer,
clerk or assistant; and
(6) any other person who obtains or possesses
confidental information by reason of his/her
profession.
Q: There is an on-going mediation proceedings, as a
consequence of that proceedings, a party filed a case in
court which involve the same issue, same parties that is the
subject of mediation. Then the parties subpoenaed the
mediator as a witness to testify about the mediation
proceedings, can the mediator testify?
A: No
Q: Can the mediator voluntarily testify?
A: No, because such situation will violate the rules on
confidentality
Q: Can this privilege arising from the confidentiality of
information in mediation proceedings be waived?
A: Yes. A privilege arising from the confidentality 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 confidentality of information may
likewise be waived by a nonparty partcipant if the
information is provided by such nonparty partcipant.
Q: What is the consequence of disclosure of such
confidential information by the parties covered by the rule?
A: A person who discloses confidental information shall be
precluded from assertng the privilege 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 representaton about a
mediation is precluded from assertng the privilege to the
extent that the communication prejudices another person in
the proceeding and it is necessary for the person prejudiced
to respond to the representaton of disclosure.
Q: The rule is that if a party has been prejudiced in that
situation, the recourse will be an objection as to the
presentation of evidence that is privileged. Suppose the
court did not sustain the objection, and allow the mediator
to continue his testimony, what will be the aggrieved party’s
recourse?
A: The court may allow the party the right to respond and
repudiate whatever testmony that was given by the
mediator (right to rebut or counter-testimony). He may also
file an acton for damages.
EXCEPTIONS
(a) There is no privilege against disclosure under Secton 9 if
mediation communicaton is:
a. in an agreement evidenced by a record
authentcated by all partes to the agreement;
b. 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;
c. a threat or statement of a plan to inflict bodily
injury or commit a crime of violence;
d. internationally used to plan a crime, attempt to
commit, or commit a crime, or conceal an
ongoing crime or criminal activity;
e. 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;
XPN to the XPN: This exception does not apply
where a child protecton matter is referred to
mediation by a court or a public agency
partcipates in the child protecton mediation;
f. sought or offered to prove or disprove a claim or
complaint of professional misconduct or
malpractice filed against mediator in a
proceeding; or
g. 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 if a court or administratve 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 communicaton is sought or offered in:
a. a court proceeding involving a crime or
felony; or
Facultad de
Derecho Civil 4
 b. 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.
NOTE: A mediator may not be compelled to provide evidence
of a mediation communicaton or testfy in such proceeding.
CONFLICT OF INTEREST
Mediator's Disclosure and Conflict of Interest
Q: What is the obligation of the Mediator before accepting a
mediation?
A: Before acceptng 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 mediaton and any existng or
past relationship with a party or foreseeable
partcipant in the mediation; and
2) disclosure to the mediation partes any such fact
known or learned as soon as is practcal before
acceptng a mediation.
Q: Can the mediator be asked to disclose his/her
qualifications?
A: Yes. At the request of a mediation party, an individual who
is requested to serve as mediator shall disclose his/her
qualificatons to mediate a dispute.
Q: Suppose that the proposed mediator did not disclose any
of the matters that he is supposed to disclose, and as a
consequence of that, he was appointed as a mediator,
immediately the parties knew such failure to disclose in the
middle of the mediation proceedings, what can the party
do?
A: The party can remove the mediator and substtute another
one. Failure of the party to remove the mediator means there
is a waiver.
Q: Can the parties ask the mediator to establish his
qualification?
A: At the request of a mediaton party, an individual who is
requested to serve as mediator shall disclose his/her
qualificatons to mediate a dispute.
Q: Who should determine the qualifications of the
mediator?
A: The partes on their agreement.
NOTE: The law does not require that a mediator shall have
special qualificatons by background or profession unless the
special qualificatons of a mediator are required in the
mediation agreement or by the mediation partes.
PARTICIPATION OF A LAWYER IN MEDIATION
Q: May a party ask the assistance of a lawyer in mediation
proceedings?
A: Yes. A party may designate a lawyer or any other person
to provide assistance in the mediation.
Q: May a party be legally represented by a foreign lawyer in
mediation proceedings?
A: (Please refer to International Commercial Arbitration
regarding legal representaton by a party)
PLACE OF MEDIATION
Q: Where should the Mediation be held?
A: The partes 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 partes.
ENFORCEMENT OF MEDIATED SETTLEMENT AGREEMENT
Q: How is a mediated settlement agreement prepared?
A: A settlement agreement following successful mediation
shall be prepared by the partes with the assistance of their
respectve counsel, if any, and by the mediator.
Q: Who are required to sign the agreement?
A: The parties and their respective counsels, if any, shall sign
the settlement agreement. The mediator shall certfy that
he/she explained the contents of the settlement agreement
to the partes in a language known to them.
Deposit of the Settlement Agreement
Q: Where should the settlement be deposited?
A: If the partes 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.
Q: How should the agreement be enforced?
A: Where there is a need to enforce the settlement MEDIATION ARBITRATION
agreement, a pettion may be filed by any of the partes with As to function
the same court, in which case, the court shall proceed Does not render an award The arbitrator acts as an out-
summarily to hear the pettion, in accordance with such rules but only arranges the facts to of-court judge and settles the
of procedure as may be promulgated by the Supreme Court. be negotiated so that the dispute extra-judicially.
partes can come to a He makes a determination of
Settlement agreement to be treated as an arbitral award compromise agreement. the facts to resolve a dispute
and the mediator acting as arbitrator He assists the partes in independently of the actual
reaching a mutually result desired by the partes.
Q: Can the settlement agreement be treated as an arbitral agreeable settlement of their
award? How? dispute through direct
negotiations.
A: The partes may agree in the settlement agreement that As to resolution
the mediator shall become a sole arbitrator for the dispute There is only mediation There is an arbitral award
and shall treat the settlement agreement as an arbitral award settlement. As a rule a
which shall be subject to enforcement under Republic Act No. mediator cannot make an
876, otherwise known as the Arbitraton Law. award but the mediation
settlement can be an award
provided that it is reduced
into writng signed by the
ARBITRATION partes and their counsel and
the mediator.
Q: What are the elements of arbitration?
Failure to comply with such
A: The elements or arbitraton are: mediation settlement will
a. The partes have mutually agreed to submit their give the right to the partes
dispute to selected persons whose determination is to go to court for the
to be accepted as a substtute for the judgment of a enforcement of that
court; mediation settlement.
b. There is an actual dispute or matter in controversy; Appointment of ADR Practitioners
and Appointed by the court Appointed by the partes if
c. The dispute or matter in controversy is capable of there is an agreement that
being referred to arbitraton. only one arbitrator shall
settle their dispute.
Q: How may the consent of the parties to arbitrate their
dispute be expressed? But in case where the partes
agrees to appoint each
A: The partes may SUBMIT to arbitraton any controversy arbitrator of their own
existng between them at the tme of the submission and choice, then the 2 appointed
which may be the subject of an acton. arbitrator will appoint a 3rd
arbitrator
Also, the partes to any contract may in such CONTRACT As to number of ADR practitioners
agree to settle by arbitraton a controversy thereafter arising Only 1 1-3 arbitrators
between them.
As to intervention of court
There is no need for There is a need for the court
Q: Distinguish an arbitrator from a mediator.
confirmation of court to confirm the arbitral award
A: An arbitrator acts as an out of court judge and settles
disputes extra-judicially. A mediator does not render an
award but only arranges the facts to be negotiated so parties
can come to a compromise agreement.

Q: Distinguish arbitration from mediation.

A:
 INTERNATIONAL COMMERCIAL ARBITRATION Adoption any other quasi-judicial body whether or not such
of the Model Law on International Commercial appearance is in relation to the arbitraton in which he
Arbitration appears.

Q: What is the governing law with regard to International CONFIDENTIALITY OF ARBITRATION PROCEEDINGS
Commercial Arbitration? (Applicable also in Domestic Arbitration)

A: International commercial arbitraton shall be governed by Q: What is covered by the confidentiality rule in arbitration
the Model Law on International Commercial Arbitraton (the proceedings? May the records of arbitration proceedings be
"Model Law") adopted by the United Nations Commission on published?
International Trade Law on June 21, 1985.
A:
COMMERCIAL ARBITRATION
GR: The arbitration proceedings, including the records,
Q: When is an arbitration considered as commercial? evidence and the arbitral award, shall be considered
confidental and shall not be published.
A: An arbitraton is "commercial" if it covers matters arising
from all relationships of a commercial nature, whether XPN:
contractual or not.
(1) with the consent of the partes, or
Q: What are the matters or transactions considered as (2) for the limited purpose of disclosing to the
commercial? court of relevant documents in cases where
resort to the court is allowed herein.
A: Relationships of a transactions include:
Q: Can the court in which the action or the appeal is pending
a. any trade transaction for the supply or exchange of issue a protective order or prohibit disclosure or
goods or services; information?
b. distributon agreements;
c. constructon of works; A: Yes. The court in which the action or the appeal is pending
d. commercial representaton or agency; may issue a protectve order to prevent or prohibit disclosure
e. factoring; of documents or information containing secret processes,
f. leasing, consultng; developments, research and other information where it is
g. engineering; shown that the applicant shall be materially prejudiced by an
h. licensing; authorized disclosure thereof.
i. investment;
j. financing; REFERRAL TO ARBITRATION (Applicable
k. banking; also in Domestic Arbitration)
l. insurance;
m. joint venture and other forms of industrial or Q: When should the court refer the parties to arbitration?
business cooperaton;
n. carriage of goods or passengers by air, sea, rail or A: A court before which an action is brought in a matter
road. which is the subject matter of an arbitraton agreement shall:

LEGAL REPRESENTATION IN INTERNATIONAL ARBITRATION a. If at least one party so requests not later that the
(Applicable also in Domestic Arbitration) pre-trial conference; or
b. Upon the request of both partes thereafter
Q: Give the rule with regard to the representation of a party
in international (as well as in mediation and domestic) refer the partes to arbitraton unless it finds that the
arbitration? May an alien represent a party in international arbitraton agreement is:
arbitration conducted in the Philippines?
a. null and void;
A: Yes. In international arbitraton conducted in the b. inoperatve; or
Philippines, a party may be presented by any person of his c. incapable of being performed
choice. Provided, that such representative, unless admitted
to the practice of law in the Philippines, shall not be Q: May the courts dismiss the action for arbitration motu
authorized to appear as counsel in any Philippine court, or proprio?

A: Yes, as a general rule, a court before which an action is
brought in a matter which si the subject of an arbitration
agreement shall, if a party so requests, refer the partes to
arbitraton. However, courts may dismiss an action for
arbitraton motu proprio if it finds that the arbitration
agreement is null and voud, inoperatve or incapable of being
performed.
CONSTITUTION OF THE ARBITRAL TRIBUNAL
Q: When is the arbitral tribunal deemed constituted?
A: The arbitral tribunal is deemed consttuted when the sole
arbitrator or the third arbitrator who has been nominated,
has accepted the nomination and written communicaton of
said nomination and acceptance has been received by the
party making request.
GRANT OF INTERIM MEASURE OF PROTECTION
(Applicable also in Domestic Arbitration)
Q: May the parties request for interim measure of
protection in arbitral proceedings? Where should the
request for interim measure of protection be made?
A: It is not incompatible with an arbitraton agreement for a
party to request:
a. Before constitution of the tribunal, from a Court an
interim measure of protecton and for the Court to
grant such measure.
b. After constitution of the arbitral tribunal and
during arbitral proceedings, a request for an interim
measure of protecton or modificaton thereof, may
be made with the arbitral tribunal or to the extent
that the arbitral tribunal has no power to act or is
unable to act effectvely, the request may be made
with the Court.
Q: In what instances may an interim measure of protection
be allowed?
A: An interim measure of protecton may be granted if
necessary:
i. to prevent irreparable loss or injury:
ii. to provide security for the performance of any
obligation;
iii. to produce or preserve any evidence; or
iv. to compel any other appropriate act or omission.
Q: How should the application for interim or provisional
relief be made? What is the form of such application?
A: Interim or provisional relief is requested by written
application transmitted by reasonable means to the Court or
arbitral tribunal as the case may be.
Q: What should be stated in the application?
A: It shall state the following facts:
a. the party against whom the relief is sought;
b. describing in appropriate detail the precise relief;
c. the party against whom the relief is requested;
d. the grounds for the relief; and
e. evidence supportng the request.
NOTE: The order shall be binding upon the partes.
Q: What is the effect if a party does not comply with the
order for interim or provisional relief?
A: A party who does not comply with the order shall be liable
for all damages resultng from noncompliance, including all
expenses, and reasonable attorney's fees, paid in obtaining
the order's judicial enforcement.
Q: What are the interim measures of protection available to
the parties in an arbitration proceeding?
A: Such interim measures may include but shall not be limited
to:
a. preliminary injucton directed against a party;
b. appointment of receivers or detenton;
c. preservation, inspecton of property that is the
subject of the dispute in arbitraton.
PLACE OF ARBITRATION
Q: Where should the arbitration be conducted?
A: The partes are free to agree on the place of arbitration.
Failing such agreement:
a. The place of arbitraton shall be in Metro Manila,
unless the arbitral tribunal, having regard to the
circumstances of the case, including the convenience
of the partes shall decide on a different place of
arbitraton.
b. The arbitral tribunal may, unless otherwise agreed
by the partes, meet at any place it considers
appropriate for consultaton among its members, for
hearing witnesses, experts, or the partes, or for
inspecton of goods, other property or documents.
LANGUAGE OF THE ARBITRATION
Q: What is the language to be used in arbitration
proceedings?

A: The partes are free to agree on the language or languages
to be used in the arbitral proceedings. Failing such
agreement:
a. the language to be used shall be English in
international arbitration; and
b. English or Filipino for domestic arbitration, unless
the arbitral tribunal shall determine a different or
another language or languages to be used in the
proceedings.
This agreement or determinaton, unless otherwise specified
therein, shall apply to any written statement by a party, any
hearing and any award, decision or other communicaton by
the arbitral tribunal.
The arbitral tribunal may order that any documentary
evidence shall be accompanied by a translation into the
language or languages agreed upon by the partes.
DOMESTIC ARBITRATION
Q: What is the law governing domestic arbitration?
A: Domestc arbitraton shall contnue to be governed by
Republic Act No. 876, otherwise known as "The Arbitration
Law.
ARBITRATION OF CONSTRUCTION DISPUTES
Q: What is the law governing arbitration of construction
disputes?
A: The arbitraton of constructon disputes shall be governed
by Executve Order No. 1008, otherwise known as the
Constitution Industry Arbitration Law.
Q: What is the coverage of EO No. 1008?
A: Constructon disputes which fall within the original and
exclusive jurisdicton of the Constructon Industry Arbitration
Commission (the "Commission") shall include those between
or among partes to, or who are otherwise bound by, an
arbitraton agreement, directly or by reference whether such
partes are:
a. project owner
b. contractor
c. subcontractor
d. quantty surveyor
e. bondsman or issuer of an insurance policy in a
constructon project.
Q: May an arbitrator act as mediator and a mediator act as
arbitrator?
A: Yes. By written agreement of the partes to a dispute, an
arbitrator may act as mediator and a mediator may act as
arbitrator. The partes may also agree in writng that,
following a successful mediation, the mediator shall issue the
settlement agreement in the form of an arbitral award.
Q: Under what instances can a foreign arbitrator or co-
arbitrator be appointed?
A: The Constructon Industry Arbitraton 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 constructon dispute in which one
party is an international party
(b) the person to be appointed agreed to abide by the
arbitraton 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.
Q: What is the effect if the dispute is filed in the RTC?
A: A regional trial court which a constructon dispute is filed
shall, upon becoming aware, not later than the pretrial
conference, that the partes had entered into an arbitraton
to be conducted by the CIAC, unless both partes, 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.
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.
 thereafter arising between them (arbitration
Appeal from Court Decisions on Arbitral Awards clause).

A decision of the regional trial court confirming, vacating, Q: Distinguish arbitration clause from submission clause.
setting aside, modifying or correctng an arbitral award may
be appealed to the Court of Appeals in accordance with the A:
rules of procedure to be promulgated by the Supreme Court.
ARBITRATION CLAUSE
Q: Where should the recognition and enforcement of an A clause in the contract
arbitration agreement or for vacation, setting aside, which says that in event of a
correction or modification of an arbitral award should be future dispute between the
made? partes, such dispute shall be
submitted to arbitraton.
A: It shall be filled with the regional trial court: When the contract is brought
to court, a party may request
(a) where arbitraton proceedings are conducted; the court to suspend the
(b) where the asset to be attached or levied upon, or proceedings and bring it to
the act to be enjoined is located; arbitraton and the award of
(c) where any of the partes to the dispute resides or arbitrator would then be
has his place of business; or brought to court for
(d) in the National Judicial Capital Region, at the opton recogniton and execution
of the applicant.
SUBMISSION CLAUSE
It is an agreement in writng
and subscribed by the
partes, and entered into if
they already have a present
dispute and there is no
arbitraton clause in their
contract.
Such admission for
arbitraton is deemed a
consent of the partes to the
jurisdicton of the RTC of the
province or city where any of
the partes reside, to enforce
such contract or submission.

Q: When should the notice of proceeding to parties be

made?
A: In a special proceeding for recogniton and enforcement of
an arbitral award, the Court shall send notce to the partes at
their address of record in the arbitraton, or if any party
cannot be served notce 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.
REPUBLIC ACT NO. 876
AN ACT TO AUTHORIZE THE MAKING OF ARBITRATION AND
SUBMISSION AGREEMENTS, TO PROVIDE FOR THE
APPOINTMENT OF ARBITRATORS AND THE PROCEDURE FOR
ARBITRATION IN CIVIL CONTROVERSIES, AND FOR OTHER
PURPOSES
Persons and matters subject to arbitration
Q: Under what instances may the party submit to
arbitration?
A: Two or more persons or partes may submit to the
arbitration of one or more arbitrators:
NOTE: Such submission or contract shall be valid, enforceable
and irrevocable, save upon such grounds as exist at law for
the revocation of any contract.
Q: What are the advantages of arbitration?
A:
1. The availability of experts on technical matters involved
in a dispute. There is an expert determination of the
questons of fact involved.
2. Speedier process of arbitraton in resolving a case
3. Less expenses on the part of the partes
4. Trade contracts or relationship between the partes are
not ruptured by arbitraton
5. Privacy is attained in arbitraton
6. Filial or friendly atmosphere
7. Flexibility of proceedings—arbitral proceedings are not
bound by the strict rules of evidence
Q: What is the form of arbitration agreement?
A: A contract to arbitrate a controversy thereafter arising
between the partes, as well as a submission to arbitrate an
existng controversy shall be in writing and subscribed by the
party sought to be charged, or by his lawful agent.

a. Any controversy existng between them at the tme
of the submission and which may be the subject of
an acton (submission clause); or
b. The partes to any contract may in such contract
agree to settle by arbitraton a controversy
Q: How should the arbitration be instituted?
A: An arbitraton shall be instituted by:
Submission of future controversy
 a) In the case of a contract to arbitrate future
controversies by the service by either party upon
the other of a demand for arbitration in accordance
with the contract.
Q: What should the demand set forth?
A: Such demand shall be set forth:
1. the nature of the controversy;
2. the amount involved, if any; and
3. the relief sought, together with a true copy of
the contract providing for arbitraton.
NOTE: The demand shall be served upon any party either in
person or by registered mail.
Appointment of Arbitrator
Single Arbitrator
In the event that the contract between the partes provides
for the appointment of a single arbitrator, the demand shall
be set forth a specific time within which the partes shall
agree upon such arbitrator.
Three arbitrators
If the contract between the partes provides for the
appointment of three arbitrators, one to be selected by each
party, the demand shall:
1. name the arbitrator appointed by the party making
the demand and;
2. shall require that the party upon whom the demand
is made shall within fifteen days afer receipt
thereof advise in writing the party making such
demand of the name of the person appointed by
the second party;
3. such notce shall require that the two arbitrators so
appointed must agree upon the third arbitrator
within ten days from the date of such notce.
Q: If a party defaults in answering the demand, what is the
remedy of the aggrieved party?
A:
b) In the event that one party defaults in answering the
demand, the aggrieved party may file with the Clerk
of the Court of First Instance having jurisdiction
over the parties, a copy of the demand for
arbitration under the contract to arbitrate, with a
notce that the original demand was sent by
registered mail or delivered in person to the party
against whom the claim is asserted.
Submission of an existing controversy
c) by the filing with the Clerk of the Court of First
Instance having jurisdiction, of the submission
agreement, setting forth the nature of the
controversy, and the amount involved, if any. Such
submission may be filed by any party and shall be
duly executed by both partes.
Hearing by Court
Q: In case of failure, neglect or refusal of another to comply
with the said agreement, what can the aggrieved party do?
A: He may petition the court for an order directing that such
arbitration proceed in the manner provided for in such
agreement.
NOTE: Five days notce in writng of the hearing of such
application shall be served either personally or by registered
mail upon the party in default.
If the finding be that no agreement in writng providing for
arbitraton was made, or that there is no default in the
proceeding thereunder, the proceeding shall be dismissed. If
the finding be that a written provision for arbitraton was
made and there is a default in proceeding thereunder, an
order shall be made summarily directng the partes to
proceed with the arbitraton in accordance with the terms
thereof.
Stay of civil action
Q: What is the effect to the court proceeding if any suit or
proceeding is brought upon an issue arising out of an
agreement providing for the arbitration thereof?
A: In such case, the court in which such suit or proceeding is
pending, upon being satisfied that the issue involved in such
suit or proceeding is referable to arbitraton, shall stay the
action or proceeding until an arbitration has been had in
accordance with the terms of the agreement.
Appointment of arbitrators
Q: How should the appointment of arbitrators be made?
A:
1. in accordance with the method of naming or
appointng the arbitrators/s described in the
contract for arbitraton or in the submission
contract;
 2. but if no method be provided therein the Court of
First Instance shall designate an arbitrator or
arbitrators.
Q: Under what circumstances can the CFI appoint an
arbitrator or arbitrators?
A:
a) If the partes to the contract or submission are
unable to agree upon a single arbitrator; or
b) If an arbitrator appointed by the partes is unwilling
or unable to serve, and his successor has not been
appointed in the manner in which he was appointed;
or
c) If either party to the contract fails or refuses to
name his arbitrator within fifteen days after receipt
of the demand for arbitraton; or
d) If the arbitrators appointed by each party to the
contract, or appointed by one party to the contract
and by the proper Court, shall fail to agree upon or
to select the third arbitrator.
NOTE: The court shall, in its discreton appoint one or three
arbitrators, according to the importance of the controversy
involved in any of the preceding cases in which the
agreement is silent as to the number of arbitrators.
Q: Can the arbitrators appointed decline? How should the
vacancy be filled?
A: Arbitrators appointed under this secton shall either accept
or decline their appointments within seven days of the
receipt of their appointments. In case of declination or the
failure of an arbitrator or arbitrators to duly accept their
appointments the partes or the court, as the case may be,
shall proceed to appoint a substtute or substtutes for the
arbitrator or arbitrators who decline or failed to accept his or
their appointments.
Appointment of additional arbitrators
Where a submission or contract provides that two or more
arbitrators therein designated or to be thereafter appointed
by the partes, may select or appoint a person as an
additonal arbitrator, the selecton or appointment must be in
writng. Such additonal arbitrator must sit with the original
arbitrators upon the hearing.
Qualifications of arbitrators
Q: What are the qualifications of the arbitrators to be
appointed?
A: Any person appointed to serve as an arbitrator:
a. must be of legal age;
b. in full-enjoyment of his civil rights; and
c. know how to read and write.
d. No person appointed to served as an arbitrator shall
be related by blood or marriage within the sixth
degree to either party to the controversy.
e. No person shall serve as an arbitrator in any
proceeding if he has or has had financial, fiduciary or
other interest in the controversy or cause to be
decided or in the result of the proceeding, or has any
personal bias, which might prejudice the right of any
party to a fair and impartal award.
NOTE: No party shall select as an arbitrator any person to act
as his champion or to advocate his cause.
Q: According to Dr. Palacios, what are the qualities to
consider in appointing an arbitrator?
A:
1. Persuasiveness, ability to convey ideas, knowledge;
2. Ability to fully adopt the position of his party;
3. Ability to convince other party to accept their
positon;
4. Party should be fully convinced that his arbitrator
works for him/her; and
5. Sense of equity, fairness, and justce
Discovery of any circumstances that may disqualify the
arbitrator
If, after appointment but before or during hearing, a person
appointed to serve as an arbitrator shall discover:
a. any circumstances likely to create a presumpton of
bias, or
b. which he believes might disqualify him as an
impartal arbitrator
the arbitrator shall immediately disclose such information to
the partes. Thereafter the partes may agree in writng:
a. to waive the presumptve disqualifying
circumstances; or
b. to declare the office of such arbitrator vacant. Any
such vacancy shall be filled in the same manner as
the original appointment was made.
Challenge of arbitrators
Q: Under what reasons may the arbitrators be challenged
(vis-à-vis their qualification)? When may the appointment of
the arbitrators be challenged?
A: An arbitrator maybe be challenged only if circumstances
exist that give rise to justfiable doubts as to his impartality
or independence or if he does not possess qualifications
agreed to by the partes. A party may challenge an arbitrator
appointed by him, or in whose appointment he has
partcipated, only for reasons of which he becomes aware
after the appointment has been made.
The arbitrators may be challenged only for the reasons
mentoned above which may have arisen after the arbitration
agreement or were unknown at the time of arbitraton.
Q: Where should the challenge be made? Should it be with
the arbitral tribunal or with the RTC?
A: The challenge shall be made before them. If they do not
yield to the challenge, the challenging party may renew the
challenge before the Court of First Instance of the province or
city in which the challenged arbitrator, or, any of them, if
there be more than one, resides.
Q: What is the effect of the challenging incident to the
arbitral proceedings?
A: While the challenging incident is discussed before the
court, the hearing or arbitration shall be suspended, and it
shall be contnued immediately after the court has delivered
an order on the challenging incident.
Q: What is the consequence of the arbitrator’s non-
performance of his functions?
A: His mandate terminates. The partes may request for his
termination.
Q: Distinguish de facto from de jure arbitrator.
A:
DE JURE DE FACTO
A person who took over the one who is legally appointed
arbitraton proceedings as by the partes
arbitrator without an express
consent of the partes.
If without objecton by the
partes, the actions of the de
facto arbitrator will be
sustained but if the partes
objected to it, his acton will
be withdrawn
Procedure by the arbitrators
Subject to the terms of the submission or contract, if any are
specified therein, are arbitrators selected as prescribed
herein must:
a. within five days after appointment if the parties to
the controversy reside within the same city or
province, or
b. within fifteen days after appointment if the parties
reside in different provinces,
set a time and place for the hearing of the matters submitted
to them, and must cause notice thereof to be given to each of
the partes.
Q: Can the hearing be postponed or adjourned?
A: Yes. The hearing can be postponed or adjourned by the
arbitrators only by agreement of the partes; otherwise,
adjournment may be ordered by the arbitrators upon their
own moton only at the hearing and for good and sufficient
cause.
NOTE: No adjournment shall extend the hearing beyond the
day fixed in the submission or contract for rendering the
award, unless the time so fixed is extended by the written
agreement of the partes to the submission or contract or
their attorneys, or unless the partes have contnued with the
arbitraton without objecton to such adjournment.
Q: What is the effect of the absence of any party to the
hearing?
A: The hearing may proceed in the absence of any party who,
after due notce, fails to be present at such hearing or fails to
obtain an adjournment thereof.
Q: Can an award be made solely on default of a party?
A: No. An award shall not be made solely on the default of a
party. The arbitrators shall require the other party to submit
such evidence as they may require for making an award.
Q: Who can represent a party to arbitration?
A: No one other than a party to said arbitration, or a person
in the regular employ of such party duly authorized in
writing by said party, or a practicing attorney-at-law, shall
be permitted by the arbitrators to represent before him or
them any party to the arbitration.
NOTE: Any party desiring to be represented by counsel shall
notfy the other party or parties of such intenton at least five
days prior to the hearing.
Q: Who can attend the arbitration proceedings?
A: Persons having a direct interest in the controversy which is
the subject of arbitraton shall have the right to attend any
hearing; but the attendance of any other person shall be at
the discreton of the arbitrators.
 Powers of an arbitrator
Q: What are the powers of an arbitrator?
A: The following are the powers of arbitrators:
a. To require any person to attend a hearing as a
witness;
b. To subpoena witnesses and documents when the
relevancy of the testimony and the materiality
thereof has been demonstrated;
c. To require the retrement of any witness during the
testimony of any other witness;
d. To take measures to safeguard and/or conserve any
matter which is the subject of the dispute in
arbitraton;
e. To render a fair, reasonable and impartal award;
f. To accept pleadings; and
g. To admit evidence
NOTE: All of the arbitrators appointed in any controversy
must attend all the hearings in that matter and hear all the
allegations and proofs of the partes; but an award by the
majority of them is valid unless the concurrence of all of
them is expressly required in the submission or contract to
arbitrate.
Hearing by the arbitrators
Arbitrators may, at the commencement of the hearing, ask
both partes for brief statements of the issues in controversy
and/or an agreed statement of facts. Thereafter the parties
may offer such evidence as they desire, and shall produce
such additonal evidence as the arbitrators shall require or
deem necessary to an understanding and determination of
the dispute.
Q: In hearing the parties and admitting their evidence, is the
tribunal bound by the Rules of Evidence?
A: The arbitrators shall be the sole judge of the relevancy and
materiality of the evidence offered or produced, and shall not
be bound to conform to the Rules of Court pertaining to
evidence.
Arbitrators shall receive as exhibits in evidence any document
which the partes may wish to submit and the exhibits shall
be properly identfied at the time of submission.
Q: Who shall take possession or custody of the evidence
submitted by the parties?
A: All exhibits shall remain in the custody of the Clerk of Court
during the course of the arbitraton and shall be returned to
the partes at the time the award is made.
NOTE: The arbitrators may make an ocular inspecton of any
matter or premises which are in dispute, but such inspection
shall be made only in the presence of all parties to the
arbitraton, unless any party who shall have received notce
thereof fails to appear, in which event such inspecton shall
be made in the absence of such party.
Time for rendering award
Unless the partes shall have stpulated by written agreement
the tme within which the arbitrators must render their
award, the written award of the arbitrators shall be rendered
within thirty days after the closing of the hearings or if the
oral hearings shall have been waived, within thirty days
after the arbitrators shall have declared such proceedings in
lieu of hearing closed. This period may be extended by
mutual consent of the partes.
Form and contents of award
Q: What should be the form and contents of an arbitral
award?
A: The arbitral award shall be made in writng and shall be
signed by the arbitrator or arbitrators. In arbitral proceedings
with more than one arbitrator, the signatures of the majority
of all members of the arbitral tribunal shall suffice, provided
that the reason for any omitted signature is stated. The
award shall state the reasons upon which it is based, unless
the partes have agreed that no reasons are to be given. The
award shall state its date and the place or arbitraton. After
the award is made, a copy signed by the arbitrators shall be
delivered to each party.
NOTE: In the event that the partes to an arbitraton have,
during the course of such arbitraton, settled their dispute,
they may request of the arbitrators that such settlement be
embodied in an award which shall be signed by the
arbitrators.
Q: Can the arbitrator act as a mediator in an arbitration
proceeding?
A: No. No arbitrator shall act as a mediator in any proceeding
in which he is actng as arbitrator.
Accordingly, unlike a mediator, arbitrators have the power
and authority to render an arbitral award.
Q: How may an arbitral award be confirmed?
A: At any time within one month after the award is made, any
party to the controversy which was arbitrated may apply to
the court having jurisdicton, as provided in secton twenty-
eight, for an order confirming the award. The court must
grant such order unless the award is vacated, modified or
corrected, as prescribed herein. Notce of such moton must
be served upon the adverse party or his attorney. A domestc
arbitral award shall be enforced in the same manner as final
and executory decisions of the RTC.
Vacating an award
Q: What are the grounds for vacating award?
A: In any one of the following cases, the court must make an
order vacatng the award upon the pettion of any party to
the controversy when such party proves affirmatively that in
the arbitraton proceedings:
a. The award was procured by corrupton, fraud, or
other undue means; or
b. That there was evident partality or corrupton in the
arbitrators or any of them;
c. That the arbitrators were guilty of misconduct in
refusing to postpone the hearing upon sufficient
cause shown, or in refusing to hear evidence
pertnent and material to the controversy;
d. that one or more of the arbitrators was disqualified
to act as such under secton nine hereof, and wilfully
refrained from disclosing such disqualificatons or of
any other misbehavior by which the rights of any
party have been materially prejudiced;
e. That the arbitrators exceeded their powers, or so
imperfectly executed them, that a mutual, final and
definite award upon the subject matter submitted to
them was not made.
Modifying or correcting an award
Q: What are the grounds for modifying or correcting an
award?
A: In any one of the following cases, the court must make an
order modifying or correcting the award, upon the
application of any party to the controversy which was
arbitrated:
a. Where there was an evident miscalculation of
figures, or an evident mistake in the descripton of
any person, thing or property referred to in the
award; or
b. Where the arbitrators have awarded upon a matter
not submitted to them, not affecting the merits of
the decision upon the matter submitted; or
c. Where the award is imperfect in a matter of form
not affectng the merits of the controversy, and if it
had been a commissioner's report, the defect could
have been amended or disregarded by the court.
Section 28. Papers to accompany moton to confirm, modify,
correct, or vacate award. - The party moving for an order
confirming, modifying, correctng, or vacatng an award, shall
at the tme that such moton is filed with the court for the
entry of judgment thereon also file the following papers with
the Clerk of Court;
(a) The submission, or contract to arbitrate; the
appointment of the arbitrator or arbitrators; and
each written extension of the tme, if any, within
which to make the award.
(b) A verified of the award.
(c) Each notce, affidavit, or other paper used upon
the application to confirm, modify, correct or vacate
such award, and a copy of each of the court upon
such application.
Appeal
An appeal may be taken from an order made in a proceeding
under this Act, or from a judgment entered upon an award
through certorari proceedings, but such appeals shall be
limited to questions of law.
Q: What are the remedies of the aggrieved party against an
arbitral award?
A: Under Artcle 2044 of the New Civil Code, the validity of
any stpulation on the finality of the arbitrators’ award or
decision is recognized. However, where the conditons
described in Articles 2038, 2039, and 2040 applicable to both
compromises and arbitratons are obtaining, the arbitrators’
award may be annulled or rescinded.
Consequently, the decision of the Arbitraton Committee is
subject to judicial review. The proper recourse of the
pettioner from the denial of its moton for reconsideration
by the Arbitraton Committee is to file either:
a. a moton to vacate the arbitral award with the RTC;
b. a pettion for review with the Court of Appeals under
Rule 43 of the Rules of Court; or
c. a pettion for certiorari under Rule 65 of the Rules of
Court.
The RTC will only have jurisdicton over an arbitral award in
cases of motons to vacate the same. Otherwise, as
elucidated herein, the Court of Appeals retains jurisdicton in
pettions for review or in pettions for certorari (Insular
Savings Bank vs. Far East Bank and Trust Company, 492 SCRA
145, 22 June 2006).
 UNCITRAL Model Law on International Commercial
Arbitration
Q: What is commercial arbitration?
A: It covers matters arising from all relatonships of a
commercial nature, whether contractual or not. Relationships
of a commercial nature include, but are not limited to, the
following transactions: any trade transaction for the supply or
exchange of goods or services; distributon agreement;
commercial representaton or agency; factoring; leasing;
constructon of works; consultng; engineering; licensing;
investment; financing; banking; insurance; exploitation
agreement or concession; joint venture and other forms of
industrial or business cooperation; carriage of goods or
passengers by air, sea, rail or road.
Q: When may the appointment of an arbitrator be
challenged? (see Sect. 11 of R.A. 876)
A: When a person is approached in connecton with his
possible appointment as an arbitrator, he shall disclose any
circumstances likely to give rise to justfiable doubts as to his
impartality or independence. An arbitrator, from the tme of
his appointment and throughout the arbitral proceedings,
shall without delay disclose any such circumstances to the
partes unless they have already been informed of them by
him.
An arbitrator may be challenged only if circumstances exist
that give rise to justfiable doubts as to his impartality or
independence, or if he does not possess qualificatons agreed
to by the partes. A party may challenge an arbitrator
appointed by him, or in whose appointment he has
partcipated, only for reasons of which he becomes aware
after the appointment has been made (Artcle 12 of
UNCITRAL).
Q: What is the form and contents of an arbitral award under
the Model Law (see Sec. 20 of R.A. 876)?
A: The award shall be made in writng and shall be signed by
the arbitrator or arbitrators. In arbitral proceedings with
more than one arbitrator, the signatures of the majority of all
members of the arbitral tribunal shall suffice, provided that
the reason for any omitted signature is stated. The award
shall state the reasons upon which it is based, unless the
partes have agreed that no reasons are to be given. The
award shall state its date and the place of arbitraton. The
award shall be deemed to have been made at that place.
After the award is made, a copy signed by the arbitrators
shall be delivered to each party (Artcle 31 of the Model Law).
Q: Can a foreign award be enforced in the Philippines under
the Rules of Court on the recognition and enforcement
judgment?
A: No. foreign arbitral awards are not like foreign court
judgments. They may be enforced under Sec. 44 of R.A 9285:
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.
NOTE: If the recogniton and enforcement of foreign awards
not covered by the New York Conventon, courts, may, on the
grounds of comity and reciprocity, recognize and enforce a
non-conventon award as a conventon award.
Q: What is the nature of the action for recognition and
enforcement of a foreign award? Where should it be filed?
A: Proceedings for recogniton and enforcement of an
arbitraton agreement or for vacaton, setting aside,
correcton or modificaton of an arbitral award, and any
application with a court for arbitraton 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 opton of the applicant (Secton 47 of R.A.
9285).
Grounds for refusing recognition or enforcement
Q: When may a foreign award be refused recognition and
enforcement in our jurisdiction?
A:
1. At the request of the party against whom it is
invoked, if that party furnishes to the competent
court where recogniton or enforcement is sought
proof that:
a. a party to the arbitraton agreement referred to in
artcle 7 was under some incapacity; or the said
agreement is not valid under the law to which the
partes have subjected it or, failing any indicaton
thereon, under the law of the country where the
award was made; or
b. the party against whom the award is invoked was
not given proper notce of the appointment of an
 arbitrator or of the arbitral proceedings or was
otherwise unable to present his case; or
c. the award deals with a dispute not contemplated by
or not falling within the terms of the submission to
arbitraton, or it contains decisions on matters
beyond the scope of the submission to arbitraton,
provided that, if the decisions on matters submitted
to arbitraton can be separated from those not so
submitted, that part of the award which contains
decisions on matters submitted to arbitraton may
be recognized and enforced; or
d. the compositon of the arbitral tribunal or the
arbitral procedure was not in accordance with the
agreement of the partes or, failing such agreement,
was not in accordance with the law of the country
where the arbitraton took place; or the award has
not yet become binding on the partes or has been
set aside or suspended by a court of the country in
which, or under the law of which, that award was
made; or
2. If the court finds that:
a. the subject-matter of the dispute is not capable of
settlement by arbitraton under the law of this State;
or
b. the recogniton or enforcement of the award would
be contrary to the public policy of this State (Artcle
36 of UNCITRAL Law).
WHEREAS, among the implementng agencies of the CIAP is
the Philippine Domestic Construction Board (PDCB) which is
specifically authorized by Presidental Decree No. 1746 to
"adjudicate and settle claims and disputes in the
implementaton of public and private constructon contracts
and for this purpose, formulate and adopt the necessary rules
and regulations subject to the approval of the President";
Policy of the state
Sec. 1. Title. This Executive Order shall be known as the
"Construction Industry Arbitration
Law".
Q: What is the policy of the law regarding the Philippine
construction industry?
A:
Sec. 2. Declaration of Policy. It is hereby declared to be the
policy of the State to encourage the early and expeditious
settlement of disputes in the Philippine construction
industry.
Creation of the Construction Industry Arbitration
Commission (CIAC)
Q: Which body has administrative supervision of the CIAC?

A: The CIAC shall be under the administrative supervision of

the Philippine Domestc Constructon Board (PDCB).
EXECUTIVE ORDER NO. 1008
C REATING AN ARBITRATION MACHINERY IN the local construction industry;
THE
CONSTRUCTION INDUSTRY OF THE PHILIPPINES
February 4,
1985
WHEREAS, the constructon industry provides employment to
a large segment of the national labor force and is a leading
contributor to the gross national product;

WHEREAS, it is of vital necessity that continued growth

towards natonal goals shall not be hindered by problems
arising from, or connected with, the constructon industry;

WHEREAS, there is a need to establish an arbitral machinery

to settle to such disputes expeditiously in order to maintain
and promote a healthy partnership between the government
and the private sector in the furtherance of natonal
development goals;

WHEREAS, Presidental Decree No. 1746 created the

Constructon Industry Authority of the Philippine (CIAP) to
exercise centralized authority for the optimum development
of the construction industry and to enhance the growth of
Sec. 3. Creation. There is hereby established in the CIAP a
body to be known as the Construction Industry Arbitration
Commission (CIAC). The CIAC shall be under the
administrative supervision of the Philippine Domestic
Construction Board (PDCB).

Jurisdiction of the CIAC

Q: State the jurisdiction of the CIAC.

A:

Sec. 4. Jurisdicton. The CIAC shall have original and exclusive

jurisdiction over disputes arising from, or connected with,
contracts entered into by partes involved in constructon in
the Philippines:

a. whether the dispute arises before or

b. after the completon of the contract, or
c. after the abandonment or breach thereof.
d. These disputes may involve government or
e. private contracts
Q: What is the requisite for the CIAC to acquire jurisdiction?
A: For the Board to acquire jurisdicton, the parties to a
dispute must agree to submit the same to voluntary
arbitraton.
Q: What matters may be covered by the jurisdiction of the
CIAC?
A: The jurisdicton of the CIAC may include but is not limited
to:
a. violaton of specificatons for materials and
workmanship;
b. violaton of the terms of agreement;
c. interpretaton and/or application of contractual tme
and delays;
d. maintenance and defects;
e. payment, default of employer or contractor and
changes in contract cost.
Q: What matter is excluded from the coverage?
A: Excluded from the coverage of this law are disputes arising
from employer-employee relationships which shall contnue
to be covered by the Labor Code of the Philippines.
Composition and functions of the CIAC
Q: Discuss the composition of the CIAC?
A:
Sec. 5. Compositon of the Board. The Commission shall
consist of:
a. a Chairman and
b. two (2) members, all to be appointed by the CIAP
Board upon recommendation by the members of the
PDCB.
Q: What are the functions of the CIAC?
A:
Sec. 6. Functions of the Commission. The Commission shall
perform, among others that may be conferred by law, the
following functions:
1) To formulate and adopt an arbitration program for
the construction industry;
2) To enunciate policies and prescribe rules and
procedures for construction arbitration;
3) To supervise the arbitration program, and exercise
such authority related thereto as regards the
appointment, replacement or challenging of arbitrators;
and
4) To direct its offcers and employees to perform such
functions as may be assigned to them from time to
time.
Compensation
Q: How are the members of the CIAC compensated?
A:
Sec. 7. Compensation of the Commission. The members of
1
the Commission shall receive such per diems [per day] and
allowances as may be fixed by the CIAP from time to time.
Term of offce
Q: What is the term of offce of the members of the CIAC?
A:
Sec. 8. Term. The term of offce of the members of the
Commission shall be six (6) years; provided, however, that
of the Commission members first appointed, the chairman
shall hold offce for six years; the other member for four (4)
years; and the third for two (2) years.
Q: What is the rule in case of vacancy?
A: The appointment to any vacancy in the Commission shall
only be for the unexpired porton of the term of the
predecessor.
Quorum, deliberations
Q: What constitutes quorum?
A: The presence of a majority of the members of the
Commission shall consttute a quorum for the transaction of
business (Sec. 9).
Q: How are the deliberations of the Commission be arrived?
A: The decisions of the Commission shall be arrived at by
majority vote (Sec. 10).
Secretariat
Q: What is the function of the CIAC Secretariat?
A:
Sec. 11. Secretariat. The Commission shall have a Secretariat
to be headed by an Executive Director who shall be
responsible for:
1
a specific amount of money that an organizaton gives an individual per day to cover
living and traveling expenses in connection with work done away from home
Facultad de
Derecho Civil 18

a. receiving requests for arbitraton, and other
pleadings,
b. for notfying the partes thereto; and,
c. for fixing and receiving filing fees, deposits, costs of
arbitraton, administratve charges, and fees.
d. It shall be the duty of the Executve Director to notfy
the partes of the awards made by the arbitrators.
NOTE: The Secretariat shall have among others a Publication
and a Training Division.
Q: Who shall have the authority to appoint?
A:
Sec. 12. Authority to appoint. The Commission is hereby
authorized to appoint the Executive Director, the
consultants, the arbitrators, as well as personnel and staff.
Authority to collect fees
Q: Does CIAC have the authority to collect fees?
A: Yes. The Commission is empowered to:
a. determine and collect fees, deposits, costs of
arbitraton, as well as administrative and other
charges as may be necessary in the performance of
its functons and responsibilities.
b. The CIAC is also authorized to use its receipts and
deposits of funds to finance its operatons subject to
the approval of the PDCB, the provisions of any law
to the contrary notwithstanding (Sec. 13).
Arbitrators (Sec. 14)
Q: How many arbitrators are required to settle a dispute?
A: Arbitrators. A sole arbitrator or three arbitrators may
settle a dispute (Sec. 14).
Q: What is the effect if the parties agree that the dispute
shall be settled by a sole arbitrator?
A: Where the parties agree that the dispute shall be settled
by a sole arbitrator, they may, by agreement, nominate him
from the list of arbitrators accredited by the CIAC for
appointment and confirmation (Sec. 14).
Q: What if they failed to agree as to the arbitrator?
A: If the partes fail to agree as to the arbitrator, the CIAC
taking into consideraton the complexities and intricacies of
the dispute/s has the opton to appoint a single arbitrator or
an Arbitral Tribunal (Sec. 14).
Q: What is the effect if the CIAC decides to appoint an
arbitral tribunal?
A: If the CIAC decides to appoint an Arbitral Tribunal, each
party may nominate one (1) arbitrator from the list of
arbitrators accredited by the CIAC for appointment and for
confirmation. The third arbitrator who is acceptable to both
partes confirmed in writng shall be appointed by the CIAC
and shall preside over the Tribunal (Sec. 14).
Qualities of arbitrator; non-permanent employment
Q: What are the qualities that an arbitrator shall possess?
A: Arbitraton shall be men of distncton in whom the
business sector and the government can have confidence
(Sec. 14).
Q: Are the arbitrators permanently employed by the CIAC?
A: They shall not be permanently employed with the CIAC.
Instead, they shall render services only when called to
arbitrate. For each dispute they settle, they shall be given
fees (Sec. 14).
Appointment of experts (Sec. 15)
Q: When can the CIAC appoint experts?
A: The services of technical or legal experts may be utlized in
the settlement of disputes if requested by:
a. any of the partes or
b. by the Arbitral Tribunal
c. both of the partes (Sec. 15)
Q: Is there a need to confirm the appointment of the
experts?
A: If the request for an expert is done by either or by both of
the partes, it is necessary that the appointment of the expert
be confirmed by the Arbitral Tribunal (Sec. 15).
Expenses
Q: Who shall shoulder the expenses for the services of an
expert?
A: Whenever the partes request for the services of an expert,
they shall equally shoulder the expert's fees and expenses,
half of which shall be deposited with the Secretariat before
the expert renders service. When only one party makes the
request, it shall deposit the whole amount required (Sec. 15).
Arbitration expenses (Sec. 16)
Q: What are included in the arbitration expenses?
A: Arbitraton expenses shall include:
1. filing fee;
2. administratve charges,
3. arbitrator's fees;
4. fee and expenses of the expert, and
5. others which may be imposed by the CIAC (Sec. 16).
Q: How are the administrative charges and the arbitrator’s
fees shall be computed?
A: The administrative charges and the arbitrator's fees shall
be computed on the basis of percentage of the sum in
dispute to be fixed in accordance with the Table of
Administrative Charges and Arbitrator's Fees (Sec. 16).
Deposit to cover arbitration expenses (Sec. 17)
Q: What should be the amount of the deposit?
A:
Sec. 17. Deposit to Cover Arbitraton Expenses. The CIAC
shall be authorized to fix the amount to be deposited which
must be equivalent to the expected arbitraton expenses. Xxx
Q: To whom shall the deposit be paid?
A: The deposit shall be paid to the Secretariat.
Q: When should the deposit be made?
A: Before arbitraton proceedings shall commence.
Q: Who shall make the payment?
A: Payment shall either be:
a. shared equally by the partes or
b. paid by any of them.
Failure to pay; effect
Q: What if one party fails to contribute his share in the
deposit?
A: If one party fails to contribute his share in the deposit, the
other party must pay in full.
Q: What if both parties fail to tender the required deposit?
A: If both partes fail to tender the required deposit, the case
shall be considered dismissed but the partes shall stll be
liable to pay one half (1/2) of the agreed administrative
charge.
Reports by the CIAC (Sec. 18)
Q: When should the CIAC make a report?
A: The Commission shall within three (3) months after the
end of the fiscal year, submit its annual report to the CIAP. It
shall, likewise, submit such periodic reports as it may be
required from time to time.
Finality of the awards (Sec. 19)
Q: What is the nature of an arbitral award made by the
CIAC?
A:
GR: The arbitral award shall be binding upon the parties. It
shall be final and inappealable
XPN: Except on questons of law which shall be appealable to
the Supreme Court.
Execution and enforcement of awards
Sec. 20. Executon and Enforcement of Awards. As soon as a
decision, order to award has become final and executory, the
Arbitral Tribunal or the single arbitrator with the occurrence
of the CIAC shall:
a. motu propio, or
b. on moton of any interested party
issue a writ of executon requiring any sheriff or other proper
officer to execute said decision, order or award.
Rule-making power (Sec. 21)
Sec. 21. Rule-Making Power. The CIAC shall formulate and
adopt necessary rules and procedures for construction
arbitraton.
Republic Act No. 9285
Alternative Dispute Resolution Act of 2004
CHAPTER 6 - ARBITRATION OF CONSTRUCTION DISPUTES
Q: What law governs the arbitration concerning the
construction disputes?
A:
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.
Facultad de
Derecho Civil 20
Q: Who has jurisdiction over the construction disputes?
A: Constructon disputes shall fall within the original and
exclusive jurisdicton of the Construction Industry Arbitration
Commission (Sec. 35).
Coverage of the law
Q: Under Sec. 35, discuss the coverage of the law?
A: It shall include those between or among partes to, or who
are otherwise bound by, an arbitraton agreement, directly or
by reference whether such partes are project owner,
contractor, subcontractor, quantty surveyor, bondsman or
issuer of an insurance policy in a constructon project.
Q: Who has jurisdiction in case the construction dispute is
one of a commercial nature?
A: The Commission shall contnue to exercise original and
exclusive jurisdicton over constructon disputes although the
arbitraton is "commercial" pursuant to Secton 21 of this Act.
SEC. 21. Commercial Arbitration. - An arbitration is "commercial" if it covers
matters arising from all relatonships of a commercial nature, whether
contractual or not. Relationships of a transactons: any trade transacton for
the supply or exchange of goods or services; distributon agreements;
constructon of works; commercial representation or agency; factoring;
leasing, consultng; engineering; licensing; investment; financing; banking;
insurance; joint venture and other forms of industrial or business
cooperation; carriage of goods or passengers by air, sea, rail or road.
Q: How are arbitrators chosen?
A:
SEC. 36. Authority to Act as Mediator or Arbitrator. - By
written agreement of the partes to a dispute, an arbitrator
may act as mediator and a mediator may act as arbitrator. xxx
Q: May the parties agree that the settlement be in the form
of an arbitral award?
A: The partes may also agree in writng that, following a
successful mediation, the mediator shall issue the settlement
agreement in the form of an arbitral award (Sec. 36).
Appointment of foreign arbitrator
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 co-arbitrator or chairman of a tribunal a person
who has not been previously accredited by CIAC.
Q: What are the requisites to allow the appointment of a
foreign arbitrator or co-arbitrator or chairman of a tribunal?
A: Provided, That:
1. the dispute is a constructon dispute in which one
party is an international party
2. the person to be appointed agreed to abide by the
arbitraton rules and policies of CIAC;
3. 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
4. the foreign arbitrator shall be of different nationality
from the international party.
Other applicable provisions
SEC. 38. Applicability to Construction Arbitration. - The
provisions of Sectons 17 (d) of Chapter 2, and Secton 28 and
29 of this Act shall apply to arbitraton of construction
disputes covered by this Chapter.
SEC. 17. Enforcement of Mediated Settlement Agreement. - The mediaton
shall be guided by the following operatve principles:
(d) The partes 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 Arbitraton Law,
notwithstanding the provisions of Executive Order No. 1008 for mediated
dispute outside of the CIAC.
SEC. 28. Grant of Interim Measure of Protection. –
a. It is not incompatble with an arbitration agreement for a party to
request, before constitution of the tribunal, from a Court an
interim measure of protecton and for the Court to grant such
measure. After constitution of the arbitral tribunal and during
arbitral proceedings, a request for an interim measure of
protection or modification thereof, may be made with the arbitral
tribunal or to the extent that the arbitral tribunal has no power to
act or is unable to act effectively, the request may be made with
the Court. The arbitral tribunal is deemed consttuted when the
sole arbitrator or the third arbitrator who has been nominated,
has accepted the nominaton and written communicaton of said
nominaton and acceptance has been received by the party
making request.
b. The following rules on interim or provisional relief shall be
observed:
1. Any party may request that provision relief be granted
against the adverse party:
2. Such relief may be granted:
(i) to prevent irreparable loss or injury:
(ii) to provide security for the performance
of any obligaton;
(iii) to produce or preserve any evidence; or
(iv) to compel any other appropriate act or
omission.
3. The order grantng provisional relief may be conditoned
upon the provision of security or any act or omission
specified in the order.
4. Interim or provisional relief is requested by written
application transmitted by reasonable means to the Court or
arbitral tribunal as the case may be and the party against
whom the relief is sought, describing in appropriate detail
the precise relief, the party against whom the relief is
requested, the grounds for the relief, and evidence
supportng the request.
 5. The order shall be binding upon the partes.
6. Either party may apply with the Court for assistance in
Implementing or enforcing an interim measure ordered by
an arbitral tribunal.
7. A party who does not comply with the order shall be liable
for all damages resulting from noncompliance, including all
expenses, and reasonable attorney's fees, paid in obtaining
the order's judicial enforcement.
SEC. 29. Further Authority for Arbitrator to Grant Interim Measure of
Protection. - Unless otherwise agreed by the parties, the arbitral tribunal
may, at the request of a party, order any party to take such interim measures
of protecton as the arbitral tribunal may consider necessary in respect of the
subject matter of the dispute following the rules in Secton 28, paragraph 2.
Such interim measures may include but shall not be limited to preliminary
injucton directed against a party, appointment of receivers or detention,
preservation, inspection of property that is the subject of the dispute in
arbitration. Either party may apply with the Court for assistance in
implementing or enforcing an interim measures ordered by an arbitral
tribunal.
Duty of the court to dismiss (Sec. 39)
Q: What is the duty of the court in case a construction
dispute has been filed before it?
A: A regional trial court which a constructon dispute is filed
shall, upon becoming aware, not later than the pretrial
conference, that the partes had entered into an arbitraton
to be conducted by the CIAC, unless both partes, 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 Secton 23 of
R.A. 876.
Confirmation of award
Q: What is the effect of a confirmed domestic arbitral
award?
A: A domestc arbitral award when confirmed shall be
enforced in the same manner as final and executory decisions
of the Regional Trial Court.
Q: What court has jurisdiction to confirm the award?
A: The confirmation of a domestc award shall be made by
the regional trial court in accordance with the Rules of
Procedure to be promulgated by the Supreme Court.
Q: Should the CIAC arbitral award be confirmed to be
executory?
A: A CIAC arbitral award need not be confirmed by the
regional trial court to be executory as provided under E.O.
No. 1008.
Vacation of award
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.
Q: Under Sec. 25 of RA 876, what are the grounds for the
modification of the award?
A: In any one of the following cases, the court must make an
order modifying or correctng the award, upon the
application of any party to the controversy which was
arbitrated:
1. Where there was an evident miscalculation of
figures, or an evident mistake in the descripton of
any person, thing or property referred to in the
award; or
2. Where the arbitrators have awarded upon a matter
not submitted to them, not affecting the merits of
the decision upon the matter submitted; or
3. Where the award is imperfect in a matter of form
not affectng the merits of the controversy, and if it
had been a commissioner's report, the defect could
have been amended or disregarded by the court.
4. The order may modify and correct the award so as to
effect the intent thereof and promote justce
between the partes.
B. FOREIGN ARBITRAL AWARDS
Recognition and enforcement
Q: What will govern the recognition and enforcement of
arbitral awards?
A: The New York Conventon shall govern the recogniton and
enforcement of arbitral awards covered by the said
Conventon (Sec. 42, Applicaton of the New York Conventon).
Q: Where should the recognition and enforcement of such
arbitral award be made?
A: The recogniton 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.
Requirements
Q: What are the requirements for the application of the
enforcement of the award?
A:
1. the party relying on the award or applying for its
enforcement shall file with the court the original or
authentcated copy of the award and
2. the arbitraton agreement
NOTE: 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.
3. The applicant shall establish that the country in
which foreign arbitraton award was made is a party
to the New York Conventon.
Q: What if the application is for the rejection or suspension
of the enforcement of the award?
A: If the application for rejecton 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.
Recognition and Enforcement of Foreign Arbitral Awards
Not Covered by the New York Convention
Q: What is the rule regarding the recognition and
enforcement of foreign arbitral awards not covered by the
New York Convention?
A:
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.
Q: May the court recognize enforce a non-convention award
as a convention award?
A: The Court may, grounds of:
a. comity and
b. reciprocity, recognize and enforce a non-conventon
award as a conventon award.
Foreign arbitral award not a foreign judgment (Sec. 44)
Q:What is the effect when a foreign arbitral award is
confirmed by a court of foreign country?
A: 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.
Q: How can a foreign arbitral award confirmed by the
regional trial court be enforced?
A: It shall be enforced in the same manner as final and
executory decisions of courts of law of the Philippines.
Rejection of a foreign arbitral award (Sec. 45)
Q: How can a party oppose the application for recognition
and enforcement of the arbitral award?
A: A party to a foreign arbitraton proceeding may oppose an
application for recogniton 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 Artcle V of the New York Conventon. Any
other ground raised shall be disregarded by the regional trial
court.
Q: Under the Article V of the New York Convention, what
are the grounds that can be raised for the opposition?
A:
1. Recogniton and enforcement of the award may be
refused, at the request of the party against whom it is
invoked, only if that party furnishes to the competent
authority where the recogniton and enforcement is sought,
proof that:
a. The partes to the agreement referred to in artcle II
were, under the law applicable to them, under some
incapacity, or the said agreement is not valid under
the law to which the partes have subjected it or,
failing any indicaton thereon, under the law of the
country where the award was made; or
b. The party against whom the award is invoked was
not given proper notce of the appointment of the
arbitrator or of the arbitration proceedings or was
otherwise unable to present his case; or
 c. The award deals with a difference not contemplated
by or not falling within the terms of the submission
to arbitraton, or it contains decisions on matters
beyond the scope of the submission to arbitraton,
provided that, if the decisions on matters submitted
to arbitraton can be separated from those not so
submitted, that part of the award which contains
decisions on matters submitted to arbitraton may
be recognized and enforced; or
d. The compositon of the arbitral authority or the
arbitral procedure was not in accordance with the
agreement of the partes, or, failing such agreement,
was not in accordance with the law of the country
where the arbitraton took place; or
e. The award has not yet become binding, on the
partes, or has been set aside or suspended by a
competent authority of the country in which, or
under the law of which, that award was made.
2. Recogniton and enforcement of an arbitral award may also
be refused if the competent authority in the country where
recogniton and enforcement is sought finds that:
a. The subject matter of the difference is not capable
of settlement by arbitraton under the law of that
country; or
b. The recogniton or enforcement of the award would
be contrary to the public policy of that country.
Appeal from court on decisions on arbitral awards
SEC. 46. Appeal from Court Decisions on Arbitral Awards. - A
decision of the regional trial court:
a. confirming,
b. vacatng,
c. setting aside,
d. modifying or correctng 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.
Q: What is required from the party who appeals from the
judgment of the court confirming an arbitral award?
A: 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. 46).
Venue and jurisdiction (Sec. 47)
Q: What is the character of the proceedings for the
recognition and enforcement of an arbitration agreement or
for vacation, setting aside, correction or modification of an
arbitral award?
A: Proceedings for recogniton and enforcement of an
arbitraton agreement or for vacaton, setting aside,
correcton or modificaton of an arbitral award, and any
application with a court for arbitraton assistance and
supervision shall be deemed as special proceedings.
Q: Where should the same be filed?
A: It shall be filled with the regional trial court:
a. where arbitraton proceedings are conducted;
b. where the asset to be attached or levied upon, or
the act to be enjoined is located;
c. where any of the partes to the dispute resides or
has his place of business; or
d. in the National Judicial Capital Region, at the opton
of the applicant.
Notice of proceeding to parties (Sec. 48)
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.
CONVENTION ON THE RECOGNITION AND ENFORCEMENT
OF FOREIGN ARBITRAL AWARDS
Article I
Q: State the application or scope of this convention?
A: This Conventon shall apply to the recogniton and
enforcement of arbitral awards made in the territory of a
State other than the State where the recogniton and
enforcement of such awards are sought, and arising out of
differences between persons, whether physical or legal. It
shall also apply to arbitral awards not considered as domestc
awards in the State where their recogniton and enforcement
are sought.
Q: What do you mean by arbitral awards under the
Convention?
A: It shall include not only awards made by arbitrators
appointed for each case but also those made by permanent
arbitral bodies to which the partes have submitted.
NOTE: When signing, ratfying or acceding to this Conventon,
or notfying extension under artcle X hereof, any State may
on the basis of reciprocity declare that it will apply the
Conventon to the recognition and enforcement of awards
made only in the territory of another Contractng State. It
may also declare that it will apply the Conventon only to
differences arising out of legal relationships, whether
contractual or not, which are considered as commercial
under the national law of the State making such declaraton.
Article II
Each Contractng State shall recognize an agreement in
writng under which the partes undertake to submit to
arbitraton all or any differences which have arisen or which
may arise between them in respect of a defined legal
relationship, whether contractual or not, concerning a subject
matter capable of settlement by arbitration.
Q: What does agreement in writing mean?
A: The term "agreement in writng" shall include an arbitral
clause in a contract or an arbitraton agreement, signed by
the partes or contained in an exchange of letters or
telegrams.
Q: When can the court refer the parties to arbitration?
A: The court of a Contractng State, when seized of an action
in a matter in respect of which the partes have made an
agreement within the meaning of this artcle, shall, at the
request of one of the parties, refer the partes to arbitraton,
unless it finds that the said agreement is:
1. null and void,
2. inoperatve or
3. incapable of being performed.
Article III
Each Contractng State shall recognize arbitral awards as
binding and enforce them in accordance with the rules of
procedure of the territory where the award is relied upon,
under the conditons laid down in the following artcles.
There shall not be imposed substantally more onerous
conditons or higher fees or charges on the recogniton or
enforcement of arbitral awards to which this Convention
applies than are imposed on the recogniton or enforcement
of domestc arbitral awards.
Article IV
Q: To obtain the recognition and enforcement mentioned in
the preceding article, what should the party applying for
recognition and enforcement, at the time of the application,
shall supply:
A:
(a) The duly authentcated original award or a duly
certfied copy thereof;
(b) The original agreement referred to in artcle II or a
duly certfied copy thereof.
NOTE: If the said award or agreement is not made in an
official language of the country in which the award is relied
upon, the party applying for recogniton and enforcement of
the award shall produce a translation of these documents
into such language. The translation shall be certfied by an
official or sworn translator or by a diplomatc or consular
agent.
Article V
Q: Under what instances can the recognition and
enforcement of the award be refused?
A: Recogniton and enforcement of the award may be
refused, at the request of the party against whom it is
invoked, only if that party furnishes to the competent
authority where the recogniton and enforcement is sought,
proof that:
(a) The parties to the agreement referred to in artcle II
were, under the law applicable to them, under some
incapacity, or the said agreement is not valid under the
law to which the parties have subjected it or, failing any
indicaton thereon, under the law of the country where
the award was made; or
(b) The party against whom the award is invoked was not
given proper notce of the appointment of the arbitrator
or of the arbitraton proceedings or was otherwise
unable to present his case; or
(c) The award deals with a difference not contemplated
by or not falling within the terms of the submission to
arbitraton, or it contains decisions on matters beyond
the scope of the submission to arbitraton, provided that,
if the decisions on matters submitted to arbitraton can
be separated from those not so submitted, that part of
the award which contains decisions on matters
submitted to arbitraton may be recognized and
enforced; or
(d) The compositon of the arbitral authority or the
arbitral procedure was not in accordance with the
agreement of the partes, or, failing such agreement, was
not in accordance with the law of the country where the
arbitraton took place; or
 (e) The award has not yet become binding on the partes,
or has been set aside or suspended by a competent
authority of the country in which, or under the law of
which, that award was made.
2. Recogniton and enforcement of an arbitral award may also
be refused if the competent authority in the country where
recogniton and enforcement is sought finds that:
(a) The subject matter of the difference is not capable of
settlement by arbitration under the law of that country;
or
(b) The recogniton or enforcement of the award would
be contrary to the public policy of that country.
UNCITRAL MODEL LAW ON
INTERNATIONAL COMMERCIAL
ARBITRATION
GENERAL PROVISIONS (Article 1)
Q: When is arbitration considered as international?
A: Arbitraton is international if:
a. the partes to an arbitraton agreement have, at the tme
of the conclusion of that agreement, their places of
business in different States; or
b. one of the following places is situated outside the State
in which the partes have their places of business:
i. the place of arbitraton if determined in, or pursuant
to, the arbitraton agreement;
ii. any place where a substantal part of the obligations
of the commercial relationship is to be performed or
the place with which the subject-matter of the
dispute is most closely connected; or
c. The parties have expressly agreed that the subject
matter of the arbitraton agreement relates to more than
one country.
Q: Where is the place of business if the party has more than
one place of business?
A: It is that which has the closest relationship to the
arbitraton agreement.
Q: What if the party has no place of business?
A: If a party does not have a place of business, reference is to
be made to his habitual residence.
DEFINITIONS AND RULES OF INTERPRETATION (Article 2)
Q: What is arbitration?
A: It means any arbitraton whether or not administered by a
permanent arbitral insttuton.
Q: What is arbitral tribunal?
A: It means the sole arbitrator or a panel of arbitrators.
Q: What is the rule of interpretation with regard to this law?
A:
1. In the interpretaton of this Law, regard is to be had
to its international origin and to the need to
promote uniformity in its application and the
observance of good faith;
2. Questons concerning matters governed by this Law
which are not expressly settled in it are to be settled
in conformity with the general principles on which
this Law is based.
Q: What are the factors to be considered?
A:
1. International origin;
2. Uniformity in application; and
3. Observance of good faith.
ARBITRATION AGREEMENT (Article 7)
Q: What is an arbitration agreement?
A: It is an agreement by the partes to submit to arbitration
all or certain disputes which have arisen or which may arise
between them in respect of a defined legal relationship,
whether contractual or not. An arbitraton agreement may
be in the form of an arbitraton clause in a contract or in the
form of a separate agreement.
Q: What is the form of such agreement?
A: It must be in writng.
Q: When is an agreement considered written?
A: An arbitraton agreement is in writng if its content is
recorded in any form, whether or not the arbitration
agreement or contract has been concluded orally, by
conduct, or by other means.
Arbitration Agreement
“Arbitration agreement” is an agreement by the partes to
submit to arbitraton all or certain disputes which have arisen
or which may arise between them in respect of a defined
legal relationship, whether contractual or not.
Q: When can a court acquire jurisdiction over the case?
When can it refer the parties to arbitration?
A: A court before which an action is brought in a matter
which is the subject of an arbitraton agreement shall, if a
party so requests not later than when submitting his fist
statement on the substance of the dispute, refers the partes
to arbitraton.
Q: Under what instances can the court set aside the
agreement?
A: If the Court finds that the agreement is:
1. Null and void;
2. Inoperatve; or
3. incapable of being performed (Artcle 8).
Q: Pending the determination of such issue, may the
arbitration proceedings commenced or continued?
A: Where an action referred to in paragraph (1) of this article
has been brought, arbitral proceedings may nevertheless be
commenced or contnued, and an award may be made, while
the issue is pending before the court.
R.A. No. 876
NOTE: In our arbitraton law, the court proceedings are
suspended:
Section 7. Stay of civil action. - If any suit or
proceeding be brought upon an issue arising out of an
agreement providing for the arbitration thereof, the court in
which such suit or proceeding is pending, upon being
satisfied that the issue involved in such suit or proceeding is
referable to arbitration, shall stay the action or proceeding
until an arbitration has been had in accordance with the
terms of the agreement: Provided, That the applicant, for
the stay is not in default in proceeding with such arbitration.
Interim measures by court
It is not incompatible with an arbitraton agreement for a
party to request, before or during arbitral proceedings, from
a court an interim measure of protecton and for a court to
grant such measure (Article 9).
COMPOSITION OF ARBITRAL TRIBUNAL (Article 10)
Q: What are the rules regarding the number of arbitrators?
A:
1. The parties are free to determine the number of
arbitrators.
2. Failing such determination, the number of
arbitrators shall be three.
Q: What is the disqualification in the appointment of
arbitrators?
A: No person shall be precluded by reason of his nationality
from acting as an arbitrator, unless otherwise agreed by the
partes (Article 11).
NOTE: The parties are free to agree on the procedure of
appointng the arbitrator or arbitrators.
Q: What are the rules in the appointment of arbitrators?
A:
Appointment of 3 arbitrators (Article 11)
In an arbitraton with three arbitrators, each party shall
appoint one arbitrator, and the two arbitrators thus
appointed shall appoint the third arbitrator; if a party fails to
appoint the arbitrator within thirty days of receipt of a
request to do so from the other party, or if the two
arbitrators fail to agree on the third arbitrator within thirty
days of their appointment, the appointment shall be made,
upon request of a party, by the court or other authority
specified in artcle 6;
Appointment of sole arbitrator (Article 11)
In an arbitraton with a sole arbitrator, if the partes are
unable to agree on the arbitrator, he shall be appointed,
upon request of a party, by the court or other authority
specified in artcle 6.
Q: Under what instances may a party request a court or
other authority to take the necessary measure?
A:
(a) a party fails to act as required under such procedure,
or
(b) the partes, or two arbitrators, are unable to reach
an agreement expected of them under such
procedure, or
(c) a third party, including an insttuton, fails to
perform any functon entrusted to it under such
procedure.
Q: Is the court decision subject to appeal?

A: No.
Q: What are the considerations in the appointment of
arbitrators?
A: The court or other authority, in appointng an arbitrator,
shall have due regard to any qualifications required of the
arbitrator by the agreement of the partes and to such
consideratons as are likely to secure the appointment of an
independent and impartal arbitrator and, in the case of a
sole or third arbitrator, shall take into account as well the
advisability of appointng an arbitrator of a nationality other
than those of the partes.
R.A. No. 876
Section 8. Appointment of arbitrators. - If, in the contract for
arbitration or in the submission described in section two, provision is made
for a method of naming or appointing an arbitrator or arbitrators, such
method shall be followed; but if no method be provided therein the Court
of First Instance shall designate an arbitrator or arbitrators.
The Court of First Instance shall appoint an arbitrator or arbitrators, as the
case may be, in the following instances:
(a) If the parties to the contract or submission are unable to agree
upon a single arbitrator; or
(b) If an arbitrator appointed by the parties is unwilling or unable to
serve, and his successor has not been appointed in the manner in which he
was appointed; or
(c) If either party to the contract fails or refuses to name his
arbitrator within ffteen days after receipt of the demand for arbitration; or
(d) If the arbitrators appointed by each party to the contract, or
appointed by one party to the contract and by the proper Court, shall fail to
agree upon or to select the third arbitrator.
(e) The court shall, in its discretion appoint one or three arbitrators,
according to the importance of the controversy involved in any of the
preceding cases in which the agreement is silent as to the number of
arbitrators.
(f) Arbitrators appointed under this section shall either accept or
decline their appointments within seven days of the receipt of their
appointments. In case of declination or the failure of an arbitrator or
arbitrators to duly accept their appointments the parties or the court, as
the case may be, shall proceed to appoint a substitute or substitutes for the
arbitrator or arbitrators who decline or failed to accept his or their
appointments.
Grounds for challenge (Article 12)
Q: What are the grounds for challenge of arbitrators?
A:
(1) When a person is approached in connecton with his
possible appointment as an arbitrator, he shall
disclose any circumstances likely to give rise to
justifiable doubts as to his impartiality or
independence. An arbitrator, from the time of his
appointment and throughout the arbitral
proceedings, shall without delay disclose any such
circumstances to the partes unless they have
already been informed of them by him.
(2) An arbitrator may be challenged only if
circumstances exist that give rise to justifiable
doubts as to his impartiality or independence, or if
he does not possess qualifications agreed to by the
parties. A party may challenge an arbitrator
appointed by him, or in whose appointment he has
partcipated, only for reasons of which he becomes
aware after the appointment has been made.
Challenge Procedure (Article 13)
The partes are free to agree on a procedure for challenging
an arbitrator.
Q: What is the procedure to be applied in case he parties fail
to agree on the procedure?
A: Failing such agreement, a party who intends to challenge
an arbitrator shall, within fifteen days after becoming aware
of the constitution of the arbitral tribunal or after becoming
aware of any circumstance referred to in artcle 12(2), send a
written statement of the reasons for the challenge to the
arbitral tribunal. Unless the challenged arbitrator withdraws
from his office or the other party agrees to the challenge, the
arbitral tribunal shall decide on the challenge.
Q: Which body has jurisdiction over the issue?
A: The arbitral tribunal shall rule on the challenge.
Q: What if the challenge was unsuccessful?
A: The challenging party may request, within thirty days after
having received notice of the decision rejecting the
challenge, the court or other authority specified in artcle 6 to
decide on the challenge, which decision shall be subject to no
appeal; while such a request is pending, the arbitral tribunal,
including the challenged arbitrator, may contnue the arbitral
proceedings and make an award.
Q: What is the effect of the challenge on the proceedings?
Should the arbitration proceedings be suspended?
A: No, the proceedings shall proceed and can make an award
(Artcle 13 (3)).
R.A. No. 876
Secton 11. Challenge of arbitrators. - The arbitrators
may be challenged only for the reasons mentoned in the
preceding secton which may have arisen after the arbitraton
agreement or were unknown at the time of arbitraton.
The challenge shall be made before them.
If they do not yield to the challenge, the challenging party
may renew the challenge before the Court of First Instance of
the province or city in which the challenged arbitrator, or, any
of them, if there be more than one, resides.
Q: Under our Arbitration Law, what is the effect of the
challenge on the arbitration proceedings?
A: While the challenging incident is discussed before the
court, the hearing or arbitraton shall be suspended, and it
shall be contnued immediately after the court has delivered
an order on the challenging incident.
Failure or impossibility to act (Art. 14)
If an arbitrator becomes de jure or de facto unable to
perform his functons or for other reasons fails to act without
undue delay, his mandate terminates if he withdraws from
his office or if the parties agree on the termination.
Otherwise, if a controversy remains concerning any of these
grounds, any party may request the court or other authority
specified in artcle 6 to decide on the termination of the
mandate, which decision shall be subject to no appeal.
Q: Does the withdrawal from offce of the arbitrator or if the
parties agree to terminate his/her mandate, mean
acceptance of the validity of the ground?
A: No.
Appointment of substitute arbitrator (Article 15)
Q: How is the substitute arbitrator to be appointed?
A: Where the mandate of an arbitrator terminates under
artcle 13 or 14 or because of his withdrawal from office for
any other reason or because of the revocation of his mandate
by agreement of the partes or in any other case of
termination of his mandate, a substtute arbitrator shall be
appointed according to the rules that were applicable to the
appointment of the arbitrator being replaced.
JURISDICTION OF ARBITRAL TRIBUNAL
Q: Which body has jurisdiction over the competence of the
tribunal vis-à-vis its jurisdiction? May the tribunal itself rule
on its own jurisdiction?
A: The arbitral tribunal may rule on its own jurisdiction,
including any objectons with respect to the existence or
validity of the arbitraton agreement.
Kompetenz Principle or Separability Principle
Q: What is the effect of the decision of the arbitral tribunal
regarding the contract on the arbitration clause? Does the
invalidation of the contract ipso jure invalidate the
arbitration clause?
A: An arbitraton clause which forms part of a contract shall
be treated as an agreement independent of the other terms
of the contract. A decision by the arbitral tribunal that the
contract is null and void shall not entail ipso jure the invalidity
of the arbitraton clause.
Q: When should the issue of jurisdiction be raised?
A: A plea that the arbitral tribunal does not have jurisdiction
shall be raised not later than the submission of the statement
of defense.
NOTE: A party is not precluded from raising such a plea by the
fact that he has appointed, or partcipated in the
appointment of, an arbitrator.
Q: When should the issue of the tribunal exceeding its scope
be raised?
A: A plea that the arbitral tribunal is exceeding the scope of
its authority shall be raised as soon as the matter alleged to
be beyond the scope of its authority is raised during the
arbitral proceedings. The arbitral tribunal may, in either case,
admit a later plea if it considers the delay justfied.
NOTE: The arbitral tribunal may rule on a plea referred to in
paragraph (2) of this artcle either as a preliminary question
or in an award on the merits. If the arbitral tribunal rules as a
preliminary queston that it has jurisdicton, any party may
request, within thirty days after having received notice of
that ruling, the court specified in artcle 6 to decide the
matter, which decision shall be subject to no appeal; while
such a request is pending, the arbitral tribunal may contnue
the arbitral proceedings and make an award.
INTERIM MEASURES AND PRELIMINARY ORDERS
Power of arbitral tribunal to order interim measures
(Article 17)
Unless otherwise agreed by the partes, the arbitral tribunal
may, at the request of a party, grant interim measures.
Q: What is an interim measure?
A: An interim measure is any temporary measure, whether in
the form of an award or in another form, by which, at any
tme prior to the issuance of the award by which the dispute
is finally decided, the arbitral tribunal orders a party to:
 (a) Maintain or restore the status quo pending
determination of the dispute;
(b) Take action that would prevent, or refrain from
taking action that is likely to cause, current or
imminent harm or prejudice to the arbitral process
itself;
(c) Provide a means of preserving assets out of which a
subsequent award may be satisfied; or
(d) Preserve evidence that may be relevant and material
to the resoluton of the dispute.
R.A 9285
SEC. 28. Grant of Interim Measure of Protecton. -
(a) It is not incompatble with an arbitration agreement for a party to
request, before consttuton of the tribunal, from a Court an interim measure
of protecton and for the Court to grant such measure. After constitution of
the arbitral tribunal and during arbitral proceedings, a request for an interim
measure of protection or modificaton thereof, may be made with the
arbitral tribunal or to the extent that the arbitral tribunal has no power to act
or is unable to act effectively, the request may be made with the Court. The
arbitral tribunal is deemed constituted when the sole arbitrator or the third
arbitrator who has been nominated, has accepted the nominaton and
written communicaton of said nominaton and acceptance has been
received by the party making request.
(b) The following rules on interim or provisional relief shall be observed:
(1) Any party may request that provision relief be granted against the
adverse party:
(2) Such relief may be granted:
(i) to prevent irreparable loss or injury:
(ii) to provide security for the performance of any obligaton;
(iii) to produce or preserve any evidence; or
(iv) to compel any other appropriate act or omission.
(3) The order grantng provisional relief may be conditioned upon the
provision of security or any act or omission specified in the order.
(4) Interim or provisional relief is requested by written application
transmitted by reasonable means to the Court or arbitral tribunal as the case
may be and the party against whom the relief is sought, describing in
appropriate detail the precise relief, the party against whom the relief is
requested, the grounds for the relief, and evidence supporting the request.
(5) The order shall be binding upon the partes.
(6) Either party may apply with the Court for assistance in Implementing or
enforcing an interim measure ordered by an arbitral tribunal.
(7) A party who does not comply with the order shall be liable for all
damages resultng from noncompliance, including all expenses, and
reasonable attorney's fees, paid in obtaining the order's judicial
enforcement.
Conditions for granting interim measures (Article 17. A)
Q: What are the conditions to be satisfed by the requesting
party before the interim measure be granted?
A:
(a) Harm not adequately reparable by an award of damages
is likely to result if the measure is not ordered, and such
harm substantally outweighs the harm that is likely to
result to the party against whom the measure is directed
if the measure is granted; and
(b) There is a reasonable possibility that the requestng
party will succeed on the merits of the claim. The
determination on this possibility shall not affect the
discreton of the arbitral tribunal in making any
subsequent determination.
Applications for preliminary orders and conditions for
granting preliminary orders (Article 17.B)
Unless otherwise agreed by the partes, a party may, without
notce to any other party, make a request for an interim
measure together with an application for a preliminary order
directing a party not to frustrate the purpose of the interim
measure requested.
The arbitral tribunal may grant a preliminary order provided it
considers that prior disclosure of the request for the interim
measure to the party against whom it is directed risks
frustratng the purpose of the measure.
Specific regime for preliminary orders (Article 17 C)
Immediately after the arbitral tribunal has made a
determination in respect of an application for a preliminary
order, the arbitral tribunal shall give notce to all partes of
the request for the interim measure, the application for the
preliminary order, the preliminary order, if any, and all other
communicatons, including by indicatng the content of any
oral communicaton, between any party and the arbitral
tribunal in relation thereto.
At the same tme, the arbitral tribunal shall give an
opportunity to any party against whom a preliminary order is
directed to present its case at the earliest practcable time.
The arbitral tribunal shall decide promptly on any objecton
to the preliminary order.
Q: What is the termination period of the preliminary order?
A: A preliminary order shall expire after twenty days from the
date on which it was issued by the arbitral tribunal. However,
the arbitral tribunal may issue an interim measure adoptng
or modifying the preliminary order, after the party against
whom the preliminary order is directed has been given notce
and an opportunity to present its case.
Q: Is the preliminary order subject to enforcement by the
court?
A: No, a preliminary order shall be binding on the partes but
shall not be subject to enforcement by a court.
Q: Does it constitute an award?
A: No, such a preliminary order does not consttute an award.
Interim measures:
Modification, suspension, termination (Article 17 D)
Q: May the court or tribunal modify. Suspend or terminate
an interim measure?
A: The arbitral tribunal may modify, suspend or terminate an
interim measure or a preliminary order it has granted, upon
application of any party or, in exceptonal circumstances and
upon prior notce to the parties, on the arbitral tribunal’s own
initatve.
Provision of security (Article 17 E)
Q: Is security required in case of provisional remedies?
A: The arbitral tribunal may require the party requestng an
interim measure to provide appropriate security in
connecton with the measure.
The arbitral tribunal shall require the party applying for a
preliminary order to provide security in connecton with the
order unless the arbitral tribunal considers it inappropriate or
unnecessary to do so.
Disclosure (Article 17 F)
Q: What is the rule on disclosure of material changes on the
circumstances for application of the provisional remedy?
A: The arbitral tribunal may require any party promptly to
disclose any material change in the circumstances on the
basis of which the measure was requested or granted.
The party applying for a preliminary order shall disclose to
the arbitral tribunal all circumstances that are likely to be
relevant to the arbitral tribunal’s determination whether to
grant or maintain the order, and such obligation shall
contnue untl the party against whom the order has been
requested has had an opportunity to present its case.
Thereafter, paragraph (1) of this artcle shall apply.
Costs and Damages (Article 17 G)
Q: What if the other party suffers damages as a
consequence of the provisional remedy?
A: The party requestng an interim measure or applying for a
preliminary order shall be liable for any costs and damages
caused by the measure or the order to any party if the
arbitral tribunal later determines that, in the circumstances,
the measure or the order should not have been granted. The
arbitral tribunal may award such costs and damages at any
point during the proceedings.
Recognition and enforcement of interim measures
(Article 17 H)
Q: What is the rule regarding the Recognition and
enforcement of interim measures?
A: An interim measure issued by an arbitral tribunal shall be
recognized as binding and, unless otherwise provided by the
arbitral tribunal, enforced upon applicaton to the competent
court, irrespectve of the country in which it was issued,
subject to the provisions of artcle 17.
NOTE: The party who is seeking or has obtained recognition
or enforcement of an interim measure shall promptly inform
the court of any termination, suspension or modificaton of
that interim measure.
Grounds for refusing recognition or enforcement
(Article 17 I)
Q: When may the recognition or enforcement of interim
measure be refused?
A: Recogniton or enforcement of an interim measure may be
refused only:
a. At the request of the party against whom it is invoked if
the court is satisfied that:
1. Such refusal is warranted on the grounds set forth in
artcle 36(1)(a)(i), (ii), (iii) or (iv); or
2. The arbitral tribunal’s decision with respect to the
provision of security in connecton with the interim
measure issued by the arbitral tribunal has not been
complied with; or
3. The interim measure has been terminated or
suspended by the arbitral tribunal or, where so
empowered, by the court of the State in which the
arbitraton takes place or under the law of which
that interim measure was granted; or
b. If the court finds that:
1. he interim measure is incompatible with the powers
conferred upon the court unless the court decides to
reformulate the interim measure to the extent
necessary to adapt it to its own powers and
procedures for the purposes of enforcing that
interim measure and without modifying its
substance; or
 2. Any of the grounds set forth in artcle 36(1)(b)(i) or
apply to the recogniton and enforcement of the
interim measure.
Q: May the court where the recognition or enforcement is
sought make that determination or review of the substance
of the interim measure?
A: Any determination made by the court on any ground in
paragraph (1) of this article shall be effectve only for the
purposes of the application to recognize and enforce the
interim measure. The court where recogniton or
enforcement is sought shall not, in making that
determination, undertake a review of the substance of the
interim measure.
Court-ordered interim measures
A court shall have the same power of issuing an interim
measure in relation to arbitraton proceedings, irrespective of
whether their place is in the territory of this State, as it has in
relation to proceedings in courts. The court shall exercise
such power in accordance with its own procedures in
consideraton of the specific features of international
arbitraton.
CONDUCT OF ARBITRAL PROCEEDINGS
Q: How should the parties be treated during the arbitral
proceedings?
A: The partes shall be treated with equality and each party
shall be given a full opportunity of presentng his case (Art.
18).
Q: What rules will govern the conduct of arbitral
proceedings?
A:
Determination of rules of procedure (Article 19)
1. Subject to the provisions of this Law, the partes are
free to agree on the procedure to be followed by the
arbitral tribunal in conductng the proceedings.
2. Failing such agreement, the arbitral tribunal may,
subject to the provisions of this Law, conduct the
arbitraton in such manner as it considers
appropriate. The power conferred upon the arbitral
tribunal includes the power to determine the
admissibility, relevance, materiality and weight of
any evidence.
Place of arbitration (Article 20)
Q: Where is the place of arbitration?
A:
1. The partes are free to agree on the place of
arbitraton.
2. Failing such agreement, the place of arbitraton shall
be determined by the arbitral tribunal having regard
to the circumstances of the case, including the
convenience of the partes.
NOTE: The arbitral tribunal may, unless otherwise agreed by
the partes, meet at any place it considers appropriate for
consultaton among its members, for hearing witnesses,
experts or the partes, or for inspecton of goods, other
property or documents.
Commencement of arbitral proceedings (Article 21)
Q: When does the arbitral proceeding commence?
A: Unless otherwise agreed by the partes, the arbitral
proceedings in respect of a partcular dispute commence on
the date on which a request for that dispute to be referred to
arbitraton is received by the respondent.
Language of the proceedings (Article 22)
Q: What should be the language of the proceedings?
A: The partes are free to agree on the language or languages
to be used in the arbitral proceedings. Failing such
agreement, the arbitral tribunal shall determine the language
or languages to be used in the proceedings. This agreement
or determination, unless otherwise specified therein, shall
apply to any written statement by a party, any hearing and
any award, decision or other communicaton by the arbitral
tribunal.
NOTE: The arbitral tribunal may order that any documentary
evidence shall be accompanied by a translation into the
language or languages agreed upon by the parties or
determined by the arbitral tribunal.
Statements of claim and defense (Art. 23)
Q: When should the claimant file his statement of claim?
A: Within the period of time agreed by the partes or
determined by the arbitral tribunal, the claimant shall state:
1. the facts supportng his claim,
2. the points at issue and
3. the relief or remedy sought,
Q: How about the respondent?
A: Within the period of time agreed by the partes or
determined by the arbitral tribunal, the respondent shall:
1. State his defense in respect of these partculars,
unless the partes have otherwise agreed as to the
required elements of such statements.
Q: May the parties submit documents?
A: The partes may submit with their statements all
documents they consider to be relevant or may add a
reference to the documents or other evidence they will
submit.
Q: May the parties amend or supplement his statement of
claim or defense?
A: Unless otherwise agreed by the partes, either party may
amend or supplement his claim or defense during the course
of the arbitral proceedings, unless the arbitral tribunal
considers it inappropriate to allow such amendment having
regard to the delay in making it.
Hearings and written proceedings (Article 24)
Q: What should be the form of the hearings?
A: Subject to any contrary agreement by the partes, the
arbitral tribunal shall decide whether:
a. to hold oral hearings for the presentaton of
evidence or for oral argument, or
b. whether the proceedings shall be conducted on the
basis of documents and other materials.
NOTE: However, unless the partes have agreed that no
hearings shall be held, the arbitral tribunal shall hold such
hearings at an appropriate stage of the proceedings, if so
requested by a party.
Q: What is the rule on notice?
A: The partes shall be given sufficient advance notce of any
hearing and of any meetng of the arbitral tribunal for the
purposes of inspecton of goods, other property or
documents.
All statements, documents or other information supplied to
the arbitral tribunal by one party shall be communicated to
the other party. Also any expert report or evidentiary
document on which the arbitral tribunal may rely in making
its decision shall be communicated to the partes.
Default of a party (Article 25)
Q: When may a party be declared in default?
A: Unless otherwise agreed by the partes, if, without
showing sufficient cause:
1. the claimant fails to communicate his statement of
claim in accordance with article 23(1), the arbitral
tribunal shall terminate the proceedings;
2. the respondent fails to communicate his statement
of defense in accordance with artcle 23(1), the
arbitral tribunal shall contnue the proceedings
without treating such failure in itself as an admission
of the claimant’s allegations;
3. any party fails to appear at a hearing or to produce
documentary evidence, the arbitral tribunal may
contnue the proceedings and make the award on
the evidence before it.
Expert appointed by arbitral tribunal (Article 26)
Q: May experts be appointed by the arbitral tribunal?
A: Unless otherwise agreed by the partes, the arbitral
tribunal:
a. may appoint one or more experts to report to it on
specific c issues to be determined by the arbitral
tribunal;
b. may require a party to give the expert any relevant
information or to produce, or to provide access to,
any relevant documents, goods or other property for
his inspecton.
NOTE: Unless otherwise agreed by the partes, if a party so
requests or if the arbitral tribunal considers it necessary, the
expert shall, after delivery of his written or oral report,
partcipate in a hearing where the parties have the
opportunity to put questons to him and to present expert
witnesses in order to testfy on the points at issue.
Court assistance in taking evidence (Article 27)
The arbitral tribunal or a party with the approval of the
arbitral tribunal may request from a competent court of this
State assistance in taking evidence.
The court may execute the request within its competence
and according to its rules on taking evidence.
CHAPTER VI. MAKING OF AWARD AND
TERMINATION OF PROCEEDINGS
Rules applicable to substance of dispute Article 28)
Q: What are the rules applicable to the substance of the
case?
A:
(1) The arbitral tribunal shall decide the dispute in
accordance with such rules of law as are chosen by
the parties as applicable to the substance of the
dispute. Any designaton of the law or legal system
of a given State shall be construed, unless otherwise
expressed, as directly referring to the substantve
law of that State and not to its conflict of laws rules.
(2) Failing any designaton by the partes, the arbitral
tribunal shall apply the law determined by the
conflict of laws rules which it considers applicable.
(3) The arbitral tribunal shall decide ex aequo et bono or
as amiable compositeur only if the partes have
expressly authorized it to do so.
(4) In all cases, the arbitral tribunal shall decide in
accordance with the terms of the contract and shall
take into account the usages of the trade applicable
to the transaction.
Decision-making by panel of arbitrators (Article 29)
Q: How should the panel of arbitrators decide on the case?
A: In arbitral proceedings with more than one arbitrator, any
decision of the arbitral tribunal shall be made, unless
otherwise agreed by the partes, by a majority of all its
members. However, questons of procedure may be decided
by a presiding arbitrator, if so authorized by the partes or all
members of the arbitral tribunal.
Settlement (Article 30)
Q: In case the parties, during the arbitration proceedings
settle the dispute, what is the effect of such settlement to
the proceedings?
A: If, during arbitral proceedings, the partes settle the
dispute, the arbitral tribunal shall terminate the proceedings
and, if requested by the parties and not objected to by the
arbitral tribunal, record the settlement in the form of an
arbitral award on agreed terms.
Q: When should the arbitral tribunal render an award?
A: An award on agreed terms shall be made in accordance
with the provisions of artcle 31 and shall state that it is an
award. Such an award has the same status and effect as any
other award on the merits of the case.
Form and contents of award (Article 31)
Q: What should be the form of the award?
A: The award shall be made in writing and shall be signed by
the arbitrator or arbitrators. In arbitral proceedings with
more than one arbitrator, the signatures of the majority of
all members of the arbitral tribunal shall suffce, provided
that the reason for any omitted signature is stated.
Q: Should the reasons for the award be stated?
A: The award shall state the reasons upon which it is based,
unless the parties have agreed that no reasons are to be
given or the award is an award.
Q: What else should be stated in the award?
A: The award shall state its date and the place of arbitration.
The award shall be deemed to have been made at that place.
NOTE: After the award is made, a copy signed by the
arbitrators in accordance with paragraph (1) of this article
shall be delivered to each party.
Termination of the proceedings (Article 32)
Q: When is the arbitral proceedings considered terminated?
A: The arbitral proceedings are terminated by the final award
or by an order of the arbitral tribunal.
Q: When should the arbitral tribunal issue an order for the
termination of the arbitral proceedings?
A: The arbitral tribunal shall issue an order for the
termination of the arbitral proceedings when:
(a) the claimant withdraws his claim, unless the
respondent objects thereto and the arbitral tribunal
recognizes a legitmate interest on his part in
obtaining a final settlement of the dispute;
(b) the parties agree on the termination of the
proceedings;
(c) the arbitral tribunal finds that the continuation of
the proceedings has for any other reason become
unnecessary or impossible.
Correction and interpretation of award; additional award
(Article 33)
Q: When may the party request the arbitral tribunal to
correct the award?
A: Within thirty days of receipt of the award, unless another
period of tme has been agreed upon by the partes:
a. A party, with notce to the other party, may request
the arbitral tribunal to correct in the award any
errors in computation, any clerical or typographical
errors or any errors of similar nature;
 b. If so agreed by the partes, a party, with notce to
the other party, may request the arbitral tribunal to
give an interpretation of a specific point or part of
the award.
If the arbitral tribunal considers the request to be justified, it
shall make the correcton or give the interpretaton within
thirty days of receipt of the request. The interpretaton shall
form part of the award.
Q: Can the arbitration tribunal correct the error on its own
initiative?
A: Yes, the arbitral tribunal may correct any error on its own
initatve within thirty days of the date of the award.
NOTE: Unless otherwise agreed by the partes, a party, with
notce to the other party, may request, within thirty days of
receipt of the award, the arbitral tribunal to make an
additional award as to claims presented in the arbitral
proceedings but omitted from the award. If the arbitral
tribunal considers the request to be justified, it shall make
the additonal award within sixty days.
CHAPTER VII. RECOURSE AGAINST AWARD Application
for setting aside as exclusive recourse against
arbitral award (Article 34)
Q: Under what instance may an arbitral award be set aside?
A: An arbitral award may be set aside by the court specified in
artcle 6 only if the party making the application furnishes
proof that:
a. The party making the application furnishes proof that:
(i) a party to the arbitraton agreement referred to in
artcle 7 was under some incapacity; or the said
agreement is not valid under the law to which the
partes have subjected it or, failing any indicaton
thereon, under the law of this State; or
(ii) the party making the application was not given
proper notce of the appointment of an arbitrator or
of the arbitral proceedings or was otherwise unable
to present his case; or
(iii) the award deals with a dispute not contemplated by
or not falling within the terms of the submission to
arbitraton, or contains decisions on matters beyond
the scope of the submission to arbitraton, provided
that, if the decisions on matters submitted to
arbitraton can be separated from those not so
submitted, only that part of the award which
contains decisions on matters not submitted to
arbitraton may be set aside; or
(iv) the compositon of the arbitral tribunal or the
arbitral procedure was not in accordance with the
agreement of the partes, unless such agreement
was in conflict with a provision of this Law from
which the partes cannot derogate, or, failing such
agreement, was not in accordance with this Law; or
b. the court finds that:
(i) the subject-matter of the dispute is not capable of
settlement by arbitration under the law of this State;
or
(ii) the award is in conflict with the public policy of this
State.
NOTE: An application for setting aside may not be made after
three months have elapsed from the date on which the party
making that application had received the award or, if a
request had been made under artcle 33, from the date on
which that request had been disposed of by the arbitral
tribunal.
Q: Can the court be given the opportunity to resume the
arbitral proceedings?
A: The court, when asked to set aside an award, may, where
appropriate and so requested by a party, suspend the setting
aside proceedings for a period of time determined by it in
order to give the arbitral tribunal an opportunity to resume
the arbitral proceedings or to take such other action as in
the arbitral tribunal’s opinion will eliminate the grounds for
setting aside.
CHAPTER VIII. RECOGNITION AND ENFORCEMENT OF
AWARDS
Recognition and enforcement (Article 35)
(1) An arbitral award, irrespective of the country in which it
was made, shall be recognized as binding and, upon
application in writng to the competent court, shall be
enforced subject to the provisions of this artcle and of
artcle 36.
(2) The party relying on an award or applying for its
enforcement shall supply the original award or a copy
thereof. If the award is not made in an official language
of this State, the court may request the party to supply a
translation thereof into such language.
Grounds for refusing recognition or enforcement (Article 36)
Q: When can the award be refused?
A: Recogniton or enforcement of an arbitral award,
irrespectve of the country in which it was made, may be
refused only:
 a. at the request of the party against whom it is
invoked, if that party furnishes to the competent
court where recognition or enforcement is sought
proof that:
b. a party to the arbitraton agreement referred to in
artcle 7 was under some incapacity; or the said
agreement is not valid under the law to which the
partes have subjected it or, failing any indicaton
thereon, under the law of the country where the
award was made; or
c. the party against whom the award is invoked was
not given proper notce of the appointment of an
arbitrator or of the arbitral proceedings or was
otherwise unable to present his case; or
d. the award deals with a dispute not contemplated by
or not falling within the terms of the submission to
arbitraton, or it contains decisions on matters
beyond the scope of the submission to arbitraton,
provided that, if the decisions on matters submitted
to arbitraton can be separated from those not so
submitted, that part of the award which contains
decisions on matters submitted to arbitraton may
be recognized and enforced; or
e. the compositon of the arbitral tribunal or the
arbitral procedure was not in accordance with the
agreement of the partes or, failing such agreement,
was not in accordance with the law of the country
where the arbitraton took place; or
f. the award has not yet become binding on the partes
or has been set aside or suspended by a court of the
country in which, or under the law of which, that
award was made; or
(b) if the court finds that:
(i) the subject-matter of the dispute is not capable of
settlement by arbitraton under the law of this State;
or
(ii) the recogniton or enforcement of the award would
be contrary to the public policy of this State.
Republic Act No. 9285
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
"Alternative Dispute Resolution Act of 2004."
CHAPTER 4 - INTERNATIONAL COMMERCIAL ARBITRATION
SEC. 19. Adoption of the Model Law on International
Commercial Arbitration
International commercial arbitraton shall be
governed by the Model Law on International Commercial
Arbitraton (the "Model Law") adopted by the United Nations
Commission on International Trade Law on June 21, 1985
(United Nations Document A/40/17) and recommended
approved on December 11, 1985, copy of which is hereto
attached as Appendix "A".
SEC. 20. Interpretation of Model Law
Q: How should the Model Law be interpreted?
A: In interpretng the Model Law, regard shall be had to:
a. its international origin and
b. to the need for uniformity in its interpretaton and
c. resort may be made to the travaux
preparatories and
d. the report of the Secretary General of the United
Nations Commission on International Trade Law
dated March 25, 1985 enttled, "International
Commercial Arbitraton: Analytcal Commentary on
Draft Trade identfied by reference number A/CN.
9/264."
SEC. 21. Commercial Arbitration
Q: When is arbitration considered as commercial?
A: An arbitraton is "commercial" if it covers matters arising
from all relationships of a commercial nature, whether
contractual or not.
Q: What are the relationships of a transaction covered?
A:
1. any trade transaction for the supply or exchange of
goods or services;
2. distributon agreements; constructon of works;
3. commercial representaton or agency;
 4. factoring; SEC. 24. Referral to Arbitration
5. leasing,
6. consultng; Q: When may the parties invoke the arbitration clause?
7. engineering;
8. licensing; A: A court before which an action is brought in a matter
9. investment; which is the subject matter of an arbitraton agreement shall,
10. financing;
11. banking; a. if at least one party so requests not later that the
12. insurance; pre-trial conference,
13. joint venture and b. or upon the request of both partes thereafter, refer
14. other forms of industrial or business cooperaton; the partes to arbitraton
15. carriage of goods or passengers by air, sea, rail or
road Q: What are the instances where the court may refuse the
invocation of the arbitration?
SEC. 22. Legal Representation in International Arbitration
A:
Q: What is the rule regarding the Legal Representation in 1. unless it finds that the arbitration agreement is null
International Arbitration? May a foreign lawyer be a and void,
representative? 2. inoperatve or
3. incapable of being performed.
A: In international arbitraton conducted in the Philippines, a
party may be presented by any person of his
choice. Provided, that such representative, unless admitted to
the practce of law in the Philippines, shall not be authorized SEC. 25. Interpretation of the Act
to appear as counsel in any Philippine court, or any other
quasi-judicial body whether or not such appearance is in Q: What is the rule in interpretation of this Act in
relation to the arbitraton in which he appears. connection with the policy of the law?

A: In interpretng the Act, the court shall have due regard to

SEC. 23. Confidential of Arbitration Proceedings
Q: May the arbitration proceedings be published?
A: The arbitraton proceedings, including the records,
evidence and the arbitral award, shall be considered
confidential and shall not be published
Q: What are the exceptions?
the policy of the law in favor of arbitraton.
Q: What is the rule in case of multiple parties?
A: Where acton is commenced by or against multple parties,
one or more of whom are partes who are bound by the
arbitraton agreement although the civil action may contnue
as to those who are not bound by such arbitration
agreement.

A: Except
SEC. 26. Meaning of "Appointing Authority
1. with the consent of the parties, or
2. for the limited purpose of disclosing to the court of Q: Who is an appointing authority?
relevant documents in cases where resort to the
court is allowed herein. Provided, however, that the
A: "Appointing Authority" as used in the Model Law shall
court in which the action or the appeal is pending
mean the person or insttuton named in the arbitration
may issue a protectve order to prevent or prohibit
agreement as the appointng authority; or the regular
disclosure of documents or information containing
arbitraton arbitraton insttuton under whose rules the
secret processes, developments, research and other
arbitraton is agreed to be conducted. Where the partes have
information where it is shown that the applicant
agreed to submit their dispute to insttutonal arbitraton
shall be materially prejudiced by an authorized
rules, and unless they have agreed to a different procedure,
disclosure thereof.
they shall be deemed to have agreed to procedure under
such arbitraton rules for the selecton and appointment of
arbitrators. In ad hoc arbitration, the default appointment of
an arbitrator shall be made by the National President of the
 Integrated Bar of the Philippines (IBP) or his duly authorized
representatve.
SEC. 27. What Functions May be Performed by Appointing
Authority
The functons referred to in Artcles 11(3), 11(4), 13(3) and
14(1) of the Model Law shall be performed by the Appointng
Authority, unless the latter shall fail or refuse to act within
thirty (30) days from receipt of the request in which case the
applicant may renew the application with the Court.
SEC. 28. Grant of Interim Measure of Protection
Q: May the court grant interim measures of protection in
favor of one party? From whom shall it be applied?
A:
a. It is not incompatible with an arbitraton agreement
for a party to request, before consttuton of the
tribunal, from a Court an interim measure of
protecton and for the Court to grant such measure.
b. After consttuton of the arbitral tribunal and during
arbitral proceedings, a request for an interim
measure of protecton or modificaton thereof, may
be made with the arbitral tribunal or to the extent
that the arbitral tribunal has no power to act or is
unable to act effectvely, the request may be made
with the Court.
Q: When is the arbitral tribunal deemed constituted?
A: The arbitral tribunal is deemed consttuted when the sole
arbitrator or the third arbitrator who has been nominated, has
accepted the nomination and written communicaton of said
nomination and acceptance has been received by the party
making request.
Q: What are the purposes of the interim measures?
A: Such relief may be granted:
1. to prevent irreparable loss or injury:
2. to provide security for the performance of any
obligation;
3. to produce or preserve any evidence; or
4. to compel any other appropriate act or omission.
NOTE: The order grantng provisional relief may be
conditoned upon the provision of security or any act or
omission specified in the order.
Q: What is the form of the application for the interim
measure?
A: Interim or provisional relief is requested by written
application transmitted by reasonable means to the Court or
arbitral tribunal as the case may be and the party against
whom the relief is sought, describing in appropriate detail the
precise relief, the party against whom the relief is requested,
the grounds for the relief, and evidence supportng the
request.
Q: How is the interim measure enforced?
A: Either party may apply with the Court for assistance in
Implementng or enforcing an interim measure ordered by an
arbitral tribunal.
Q: What if a party does not comply with the order?
A: A party who does not comply with the order shall be liable
for:
a. all damages resultng from noncompliance,
b. including all expenses, and
c. reasonable attorney's fees, paid in obtaining the
order's judicial enforcement.
SEC. 29. Further Authority for Arbitrator to Grant Interim
Measure of Protection
NOTE: Unless otherwise agreed by the partes, the arbitral
tribunal may, at the request of a party, order any party to
take such interim measures of protecton as the arbitral
tribunal may consider necessary in respect of the subject
matter of the dispute following the rules in Secton 28,
paragraph 2. Such interim measures may include but shall not
be limited to preliminary injucton directed against a party,
appointment of receivers or detenton, preservation,
inspecton of property that is the subject of the dispute in
arbitraton. Either party may apply with the Court for
assistance in implementng or enforcing an interim measures
ordered by an arbitral tribunal.
SEC. 30. Place of Arbitration
Q: Where is the place of arbitration?
A:
GR: The partes are free to agree on the place of
arbitraton.
XPN: Failing such agreement, the place of arbitraton shall be
in Metro Manila, unless the arbitral tribunal, having regard to
the circumstances of the case, including the convenience of
the partes shall decide on a different place of arbitraton.

NOTE: The arbitral tribunal may, unless otherwise agreed by

the partes, meet at any place it considers appropriate for
consultaton among its members, for hearing witnesses,
experts, or the partes, or for inspecton of goods, other
property or documents.

SEC. 31. Language of the Arbitration

Q: What is the rule as to the language of the arbitration?

A:

GR: The partes are free to agree on the language or

languages to be used in the arbitral proceedings.

XPN: Failing such agreement, the language to be used shall

be English in international arbitraton, and English or Filipino
for domestic arbitraton, unless the arbitral tribunal shall
determine a different or another language or languages to be
used in the proceedings. This agreement or determination,
unless otherwise specified therein, shall apply to any written
statement by a party, any hearing and any award, decision or
other communicaton by the arbitral tribunal.

NOTE: The arbitral tribunal may order that any documentary

evidence shall be accompanied by a translation into the
language or languages agreed upon by the partes or
determined in accordance with paragraph 1 of this secton.

REFERENCES

 UST Golden Notes 2008

 Marx Notes: Alternative Dispute Resolution
 UNCTRAL
 New York Convention