Aguhayon, Regalado ADR

Balabag, Jay Erwin V. Saturday

Bugador, Erika Kristin N. 3:30 - 5:30 pm
Gando, Carla
Jamelo, Yukimari E.

1. A. Why is the implementation of ADR mechanisms considered a reform

measure in the Philippines?

— Implementation of ADR mechanisms is considered a reform

measure in the Philippines it addresses the long standing
issue of inefficiency and corruption of the judiciary
which diminishes the trust of the general public to the judges
and the court personnel. Solving this problem of delayed justice
will catapult the aim of judicial reform that is characterized by
judicial independence, integrity and effectiveness.

B. What are the more recognized / famous ADR mechanisms used in the
Philippines?

— The more recognized ADR mechanisms in the Philippines are

Compulsory Arbitration, Collective Bargaining, and Voluntary Arbitration.

2. What are the 5 cited causes for the reforms?

— A number of reasons have been given which discourage parties

from seeking redress through the courts, foremost of these
are:

(1) the costly and slow process of litigation;

(2) rigidity of procedural and technical rules;

(3) adversarial nature of our litigation system;

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 (4) inadequacy of legal solutions or frameworks for resolving
intricate and complex issues involved in commercial
transactions amidst tremendous developments in global
trade and information technology.

(5) the culture of the Filipinos that strongly values the preservation
of amicable relationship especially between parties
with a history of kinship and community ties.

3. Why is mediation considered a “case diversion mechanism”?

— Mediation is considered a “case diversion mechanism” as the

dispute is presented before a mediator, selected by the disputing parties,
who facilitates communication and negotiation and assists the parties, in
reaching the voluntary agreement regarding the dispute. Once the parties
agree on a settlement, the case is diverted and they no longer pursue court
litigation.

The diversion of pending court cases to Court Annexed Mediation

(CAM) and to Judicial Dispute Resolution (JDR) is plainly intended to put
an end to pending litigation through a compromise agreement of the
parties and solve the ever-pressing problem of court dockets congestion. It
is also intended to empower the parties to resolve their own disputes and
give practical effect to the State Policy expressly stated in the ADR Act of
2004, to wit: “to actively promote party autonomy in the resolution of
disputes or the freedom of the parties to make their own arrangement to
resolve disputes.”

4. Discuss the various ways when cases are diverted to mediation and at what
stage of the dispute mechanism?

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 — In the Philippines, when a case has already been filed in court,
the court may direct the parties to submit their dispute to the
Mediator, a neutral third party, who works with them to reach a
settlement of their controversy.
This is referred to as Court-annexed Mediation – a voluntary process
conducted under the auspices of the court by referring the
parties to the Philippine Mediation Center (PMC) Unit for
the settlement of their dispute pursuant to Section 2 (a)
of the 1997 Rules of Civil Procedure which requires the parties
to hold a pre-trial conference whereby the court shall
consider the possibility of an amicable settlement or of a submission
to alternative modes of dispute resolution.

Under the Supreme Court approved guidelines, the courts may refer
the following for mediation:
1. All civil cases, except those which by law may not be compromised
(Article 2035, New Civil Code);
2. Special proceedings for the settlement of estates;
3. The civil aspect of Quasi-Offenses under Title 14 of the Revised
Penal Code;
4. The civil aspect of criminal cases where the imposable penalty does
not exceed six years imprisonment and the offended party is a
private person; and
5. The civil aspect of theft (not qualified theft), estafa (not syndicated
or large scale estafa), and libel.

The trial court, after determining the possibility of an amicable

settlement or of a submission to alternative modes of dispute
resolution, shall issue an Order referring the case to the
Philippine Mediation Center (PMC) unit for mediation, and
direct the parties to proceed immediately to the PMC unit. The Order shall be
personally given to the parties during pre-trial. Copy of the
order, together with a copy of the Complaint and Answer/s,
shall be furnished the PMC Unit within the same date.

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 5. A. Why are mining, construction, agrarian, labor, land, insurance, and
consumer disputes considered “peculiar” within the ADR mechanism
paradigm?

— They are considered “peculiar” because administrative agencies

that have consumer protection agreements and public policy
agreement to protect public interest may either first have
mediation and arbitration as their original jurisdiction before
these bodies involve the court.

B. What do you think is/are the reasons for the peculiarity?

— The reason for the peculiarity is to let the parties involve enter
into arbitration agreement voluntarily over the dispute arising from or
connected with the contract before filing the dispute to court.