8/3/2019 RA 9585

1/4

REPUBLIC ACT NO. 9285ALTERNATIVE DISPUTE RESOLUTION ACT OF 2004

ALTERNATIVE DISPUTE RESOLUTION(ADR) SYSTEM any process orprocedure used to resolve a dispute orcontroversy, other than by adjudicationof a presiding judge of a court or anofficer of a government agency, in whicha neutral third party participates toassist in the resolution of issues, whichincludes arbitration, mediation,conciliation, early neutral evaluation,mini-trial, or any combination thereof.

This Act shall be withoutprejudiceto the adoption by the SupremeCourt of any ADR system, such asmediation, conciliation, arbitration,or any combination thereof as ameans of achieving speedy andefficient means of resolving casespending before all courts in thePhilippines which shall be governedby such rules as the Supreme Courtmay approve from time to time.

This Act shall not be interpreted torepeal, amend or modify thejurisdiction of the KatarungangPambarangay.

The provisions of this Act shall notapply to resolution or settlement ofthe following:

a. Labor disputes covered bythe Labor Code, as amendedand its Implementing Rulesand Regulations;

b. The civil status of persons;c. The validity of marriage;d. Any ground for legal

separation;e. The jurisdiction of courts;f. Future legitime;g. Criminal liability; andh. Those which by law cannot

be compromised.

FORMS OF ALTERNATIVE DISPUTERESOLUTION UNDER THIS ACT:

1. Mediation;

2. Arbitration;

3. Referral of Dispute toother ADR Forms such as but notlimited to:

a. The evaluationof a third person;b. Mini-trial;c. Mediation-arbitration; ord. A combinationthereof

Confidentiality of Information. Anyinformation obtained through mediationand arbitration proceedings shall beprivileged and confidential unless thesame is waived or is expressly exceptedby this Act from such privilege.

MEDIATION

A voluntary process in which a mediator,selected by the disputing parties,facilitates communication andnegotiation, and assist the parties in

reaching a voluntary agreementregarding a dispute.

The term mediation shall includeconciliation.

The parties are free to agree on theplace of mediation. Failing suchagreement, the place of mediationshall be any place convenient andappropriate to all parties.

This Act does not require that a

mediator shall have specialqualifications by background orprofession unless the specialqualifications of a mediator arerequired in the mediation agreementor by the mediation parties.

An agreement to submit a dispute tomediation by any institution shallinclude an agreement to be boundby the internal mediation andadministrative policies of suchinstitution. In case of conflict

8/3/2019 RA 9585

2/4

between the institutional mediationrules and the provisions of this Act,the latter shall prevail

A settlement agreement following

successful mediation shall beprepared by the parties with theassistance of their respectivecounsel, if any, and by the mediator.

If the parties so desire, they maydeposit such settlement agreementwith the appropriate Clerk of theRegional Trial Court of the placewhere one of the parties resides.Where there is a need to enforce thesettlement, a petition may be filedby any on the parties with the same

court, in which case, the court shallproceed summarily to hear thepetition, in accordance with suchrules of procedure as may bepromulgated by the Supreme Court.

ARBITRATION

A voluntary dispute resolution process inwhich one or more arbitrators,appointed in accordance with theagreement of the parties or rulespromulgated pursuant to this Act,resolve a dispute by rendering an award.

A. INTERNATIONAL COMMERCIALARBITRATION

Commercial Arbitration An arbitrationis commercial if it covers mattersarising from all relationships of acommercial nature, whether contractualor not.

International Commercial Arbitration

shall be governed by the Model Lawon International CommercialArbitration adopted by the UnitedNations Commission on InternationalTrade Law.

A court before which an action isbrought in a manner which is thesubject matter of an arbitrationagreement shall, if at least one partyso requests not later than the pre-trial conference, or upon the requestof both parties thereafter, refer the

parties to arbitration unless it findsthat the arbitration agreement isnull and void, inoperative orincapable of being performed.

The parties are free to agree on theplace of arbitration. Failing suchagreement, the place of arbitrationshall be in Metro Manila, unless thearbitral tribunal, having regard tothe circumstances of the case,including the convenience of theparties shall decide on a differentplace of arbitration.

DOMESTIC ARBITRATION

Domestic Arbitration shall continue

to be governed by RA No. 876,otherwise known as The ArbitrationLaw as amended by this Chapter.

B. ARBITRATION OF CONSTRUCTIONDISPUTES

The arbitration of constructiondisputes shall be governed by EO No.1008, otherwise known as theConstruction Industry ArbitrationLaw.

Construction disputes which fallwithin the original and exclusivejurisdiction of the ConstructionIndustry Arbitration Commission(CIAC) shall include those betweenor among parties to, or who areotherwise bound by, an arbitrationagreement, directly or by referencewhether such parties are projectowner, contractor, subcontractor,quantity surveyor, bondsman orissuer of an insurance policy in a

construction project.

The CIAC shall continue to exerciseoriginal and exclusive jurisdictionover construction disputes althoughthe arbitration is commercial.

By agreement of the parties to adispute, an arbitrator may act asmediator and a mediator may act asarbitrator. The parties may alsoagree in writing that, following asuccessful mediation, the mediator

8/3/2019 RA 9585

3/4

shall issue the settlement agreementin the form of an arbitral award.

A Regional Trial Court to which a

construction dispute is filed shall,upon becoming aware, not later thanthe pretrial conference, that theparties had entered into anarbitration to be conducted by theCIAC, unless both parties, assisted bytheir respective counsel, shallsubmit to the RTC a writtenagreement exclusive for the Court,rather than the CIAC, to resolve thedispute.

C. JUDICIAL REVIEW OF ARBITRAL

AWARDS

1. Domestic Awards

A domestic arbitralaward, when confirmed, shall beenforced in the same manner asfinal and executory decisions ofthe RTC.

The confirmation ofdomestic award shall be made bythe RTC.

A CIAC arbitral awardneed not be confirmed by theRTC to be executory.

2. Foreign Arbitral Awards

The recognition andenforcement shall be filed withthe RTC.

A decision of the RTCconfirming, vacating, settingaside, modifying or correcting anarbitral award may be appealedto the Court of Appeals.

The losing party who

appeals a judgment confirmingthe arbitral award shall berequired by the appellate courtto post counterbond executed infavor of the prevailing partyequal to the amount of theaward.

Venue and Jurisdiction

Proceedings for recognition andenforcement of an arbitrationagreement or for vacation, settingaside, correction or modification ofan arbitral award, and anyapplication with a court for

arbitration assistance andsupervision shall be deemed asspecial proceedings and shall filedwith the RTC:

i. Where the arbitrationproceedings are conducted;ii. Where the asset to beattached or levied upon, or theact to be enjoined is located;iii. Where any of theparties to the dispute residesor has his place of business; or

iv. In the National JudicialCapital Region, at the optionof the applicant.

MINI-TRIALA structured dispute resolution methodin which the merits of the case areargued before a panel comprising seniordecision makers with or without thepresence of a neutral third person afterwhich the parties seek a negotiated

settlement.

MEDIATION-ARBITRATION

A step dispute resolution processinvolving both mediation and arbitration.

8/3/2019 RA 9585

4/4