JURISPRUDENCE

1. Compromise has upon the parties the effect and authority of RES JUDICATA. In the barangay level,
WHERE NO REPUDIATION WAS MADE WITHIN 10 DAYS FROM THE AWARD, it attains the status of
FINALITY. Compromise has the same elements to that of CONTRACTS. REFORMATION IS THE REMEDY in
case the instrument DOES NOT PROPERLY STATE THE AGREEMENT.

2. Compromise is a contract whereby the parties, BY MAKING RECIPROCAL CONCESSIONS, AVOID A

LITIGATION or PUT AN END TO ONE ALREADY COMMENCED.

3. Judicial compromise may only be disturbed if it is TAINTED WITH THE VICES OF CONSENT OR FORGERY.
It is IMMEDIATELY FINAL. It must be BASED ON REAL CLAIMS, and should be ACTUALLY AGREED UPON IN
GOOD FAITH. Courts have NO POWER TO AMEND A JUDICIAL COMPROMISE for AUTONOMY OF
CONTRACTS MUST BE RESPECTED.

4. Compromise may only be executed AFTER A JUDICIAL COMPROMISE. If there is repudiation, the other
party MAY ENFORCE THE COMPROMISE UNDER THE LGC OR RULES OF COURT, or consider it RESCINDED
AND INSIST UPON THE ORIGINAL DEMAND. Compromise is NOT AN ADMISSION OF LIABILITY but merely
a RECOGNITION that there is a dispute and an impending litigation.

5. Where the parties are NOT ACTUAL RESIDENTS IN THE SAME CITY OR MUNICIPALITY OR ADJOINING
BARANGAYS, there is NO REQUIREMENT FOR THEM to submit to barangay conciliation.

6. The LUPON is the one tasked to enforce an amicable settlement WITHIN SIX MONTHS. After, it may
only be enforced THROUGH COURT ACTION.

7. Parties must appear in barangay conciliation proceedings PERSONALLY, UNASSISTED BY COUNSEL OR

REPRESENTATIVE.

8. EXCEPTIONS TO THE BARANGAY CONCILIATION PROCEEDINGS:

a. One party is the GOVERNMENT OR ANY SUBDIVISION

b. One party is a PUBLIC OFFICER and the dispute relates to his OFFICIAL FUNCTIONS

c. Dispute involves REAL PROPERTIES LOCATED IN DIFFERENT CITIES OR MUNICIPALITIES, UNLESS the
parties agree to submit their differences to amicable settlement BY THE APPROPRIATE LUPON

d. Complaint involving JURIDICAL ENTITIES

e. Parties who reside in BARANGAYS OF DIFFERENT CITIES OR MUNICIPALITIES, EXCEPT where the
barangays ADJOIN EACH OTHER and the parties agree to settle their disputes in an APPROPRIATE LUPON

f. Offenses with a MAXIMUM PENALTY OF MORE THAN ONE YEAR or a fine of MORE THAN 5,000 PESOS

g. NO PRIVATE OFFENDED PARTY OFFENSE

h. Legal action is NECESSARY like CRIMINAL CASES where the accused is UNDER CUSTODY, petitions for
HABEAS CORPUS, actions coupled with PROVISIONAL REMEDIES, and actions which may be BARRED BY
PRESCRIPTION

i. Disputes as DETERMINED BY THE PRESIDENT

j. Dispute arises from the COMPREHENSIVE AGRARIAN REFORM LAW

k. LABOR DISPUTES

l. Actions to ANNUL JUDGMENT UPON A COMPROMISE

9. For suit between family members to prosper, it is required that THERE WAS EARNEST EFFORTS TOWARD
A COMPROMISE BUT THE SAME HAVE FAILED. Family members include FATHER, MOTHER, CHILDREN,
OTHER DESCENDANTS OR ASCENDANTS, BROTHERS AND SISTERS WHETHER FULL OR HALF-BLOOD.

10. If the case falls under the RULES ON SUMMARY PROCEDURE, referral to the Lupon IS NO LONGER
NECESSARY.

11. Compromise agreement may be filed and recognized IN WHATEVER STAGES OF THE PROCEEDING.

12. Venues in barangay conciliation:

a. Actual residents of the SAME BARANGAY – THAT BARANGAY is the venue

b. Actual residents of DIFFERENT BARANGAYS WITHIN THE SAME CITY OR MUNICIPALITY – barangay
where the RESPONDENT OR RESPONDENTS RESIDE, at the option of the COMPLAINANT.

c. Dispute involving REAL PROPERTIES – barangay WHERE THE PROPERTY IS LOCATED.

d. Dispute in the workplace or school – barangay WHERE THE WORKPLACE OR INSTITUTION IS LOCATED

13. Prior recourse to barangay conciliation IS NOT JURISDICTIONAL. Failure to abide by the rule will cause
the case to be dismissed on the ground of FAILURE TO STATE A CAUSE OF ACTION. Subsequent issuance
of the certificate to file action CURES THE DEFECT ON THE CAUSE OF ACTION. Active participation with
knowledge of the said defect will have the effect of WAIVER.

14. Parties who are NOT INCLUDED IN THE COMPROMISE AGREEMENT ARE NOT BOUND.

15. An agreement to arbitrate which, ALTHOUGH WRITTEN IN ANOTHER INSTRUMENT, but nevertheless
included in the main contract is BINDING BETWEEN THE PARTIES, HEIRS, AND ASSIGNS.

16. Any stipulation that the arbitrators’ award or decision shall be FINAL IS VALID.

17. Foreign arbitral awards CONFIRMED ARE NOT JUDGMENTS OF A FOREIGN COURT BUT are enforced
as FINAL AND EXECUTORY DECISIONS OF PHILIPPINE COURTS.

18. In attempting to enforce a foreign arbitral award, CAPACITY TO SUE IS NOT A REQUIREMENT

19. Pendency of arbitral proceedings DOES NOT FORECLOSE RESORT TO PROVISIONAL RELIEFS.

20. Validity of the contract containing the agreement to arbitrate WILL NOT AFFECT THE APPLICABILITY
OF THE ARBITRATION CLAUSE due to the DOCTRINE OF SEPARABILITY. Validity of contracts cannot be the
subject of arbitration proceedings.