Settlement Agreements. (Rule 1.

1)

THE PHILIPPINE JUDICIARY HISTORY OF THE SC TOUR THE SC

The provisions of the Rules of Court that are applicable to the proceedings enumerated in Rule 1.1 of the Special ADR Rules have either been included and incorporated in the latter or specifically referred to therein. In connection with the said proceedings, the Rules of Evidence shall be liberally construed to achieve the objectives of the Special ADR Rules. (Rule 22)

The Special ADR Rules do not apply to Court-Annexed Mediation, which shall be governed by issuances of the Supreme Court. (Rule 2.5)

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All proceedings under the Special ADR Rules are special proceedings. (Rule 1.2)

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Considering its procedural character, the Special ADR Rules shall be applicable to all pending arbitration, mediation, or other ADR forms covered by the ADR Act, unless the parties agree otherwise. The Special ADR Rules, however, may not prejudice or impair vested rights in accordance with law. (Rule 24.1)

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Benchmark Online October 2009

SC Promulgates Special ADR Rules
By Gleo Sp. Guerra

Timely and In Keeping with the Times The Special ADR Rules contain provisions that acknowledge new practices and technology, such as filing and service by electronic means [Rule 1.7 (c)] and Online Dispute Resolution (Rule 25).

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Starting October 30, 2009, after their requisite publication, the Special Rules of Court on Alternative Dispute Resolution (Special ADR Rules) will take effect. Drafted by the Supreme Court Sub-Committee on Rules of Alternative Dispute, the Special ADR Rules were approved last September 1. Anticipated Since the ADR Act of 2004 The SCs Special ADR Rules have been anticipated since the passage of RA 9285, the Alternative Dispute Resolution Act of 2004 (ADR Act), calling for the SC to promulgate rulesto govern the following situations: the summary hearing of a petition to enforce a settlement agreement deposited with the appropriate clerk of a regional trial court of the place where one of the parties resides [sec. 17 (c)]; the confirmation of a domestic arbitral award made by a regional trial court (sec. 40); the questioning of an arbitral award with the appropriate regional trial court by a party in a domestic arbitration only on those grounds enumerated in Section 25 of RA 876, the Arb itration Law (sec. 41); the filing for recognition and enforcement of arbitral awards under the United States Convention on the Recognition and Enforcement of Foreign Arbitral Awards (the New York Convention) with a regional trial court (sec. 42); the recognition and enforcement of foreign arbitral awards not covered by the New York Convention (sec. 43); the opposition to an application for recognition and enforcement of an arbitral award filed by a party to a foreign arbitration proceeding only on those grounds enumerated under Article V of the New York Convention (sec. 45); an appeal to the Court of Appeals of a decision of the regional trial court confirming, vacating, setting aside, modifying, or correcting an arbitral award (sec. 46); and the posting of a counter-bond equal to the amount of the award in favor of the prevailing party by a losing party who appeals from the judgment of the court confirming an arbitral award. (Id.) Policy and Coverage The Special ADR Rules, reiterating what is stated in the ADR Act, declares thatit is the policy of the State to actively promote the use of various modes of ADR and to respect party autonomy or the freedom of the parties to make their own arrangements in the resolution of disputes with the greatest cooperation of and the least intervention from the courts. To this end, the objectives of the Special ADR Rules are to encourage and promote the use of ADR, particularly arbitration and mediation, as an important means to achieve speedy and efficient resolution of disputes, impartial justice, curb a litigious culture, and to de-clog court dockets. Courts shall intervene only in the cases allowed by law or the Special ADR Rules. (Rule 2.1) In situations where no specific rule is provided under the Special ADR Rules, the court shall resolve such matter summarily and be guided by the spirit and intent of the Special ADR Rules and the ADR Laws (referring to the whole body of ADR laws in the Philippines). (Rule 1.13) The Special ADR Rules govern the following cases: a) Relief on the Issue of Existence, Validity, or Enforceability of the Arbitration Agreement; b) Referral to ADR; c) Interim Measures of Protection; d) Appointment of Arbitrator; e) Challenge to Appointment of Arbitrator; f) Termination of Mandate of Arbitrator; g) Assistance in Taking Evidence; h) Confirmation, Correction or Vacation of Award in Domestic Arbitration; i) Recognition and Enforcement or Setting Aside of an Award in International Commercial Arbitration; j) Recognition and Enforcement of a Foreign Arbitral Award; k) Confidentiality/Protective Orders; and l) Deposit and Enforcement of Mediated Settlement Agreements. (Rule 1.1)

Not only is their promulgation timely considering the increasing globalization of commerce and trade, the same also augurs the development of a solid body of jurisprudence on ADR. (AM No. 97-11-08-SC)

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