DRAFT

HOA RULES OF
PROCEDURE
FOR MEDIATION

Objectives of the Guide:

This guide has been prepared

to increase the understanding
of the public about the
procedures and benefits of
mediation and to encourage
them to avail of mediation
services when applicable.

Objectives of the Guide:

In the process, this guide ultimately
aims the association to maximize the
benefits of mediation by settling a
considerable number of minor
complainants which can be settled
among themselves instead of promptly
filing the said complaints to the
Housing and Land Use Regulatory Board
(HLURB). Hence, the HLURB can now
focus in more serious homeowners
association disputes.

Scope
These shall apply to all
complaints, grievances and
such other matters involving
homeowners association
disputes whether intraassociation or inter-association
which may be subject of
mediation.

Definition of Terms
Complaint means any allegation of
any act or omission which may
constitute as intra-association or
inter-association dispute filed by the
complainant against any member of
the association, its officers or
members of the Board of Directors or
by one association to another
association. The complaint may be
filed in a written form with the
Grievance Committee of the

 Federation refers to an
organization of homeowners
associations created and
registered to pursue common
goals beneficial to the
interests of the constituent
associations and members
thereof.

Grievance Committee
means a committee created
in accordance to the
associations by-laws that will
serve as a layer to lodge the
complaint of the
members/homeowners

The certification by the chair of the

Grievance Committee whether by
the association or by a federation
stating under oath that the parties
have been invited to participate
in the proceedings to settle the
dispute but that no amicable
settlement was reached is a
requirement to be attached in
the complaint before filing in
HLURB.

In the absence of a Grievance

Committee or refusal to issue
the certification, an affidavit
attesting to this fact shall be
made and further stating that
complainant has exhausted
administrative remedies.

Inter-association dispute
refers to a controversy
which arises out of the
relations between and
among two or more
associations.

 Intra-association dispute refers to a

controversy which arises out of the
relations between and among
members of the association; between
any or all of them and the association
of which they are members; and
between such association and the
State insofar as it concerns their
individual franchise or right to exist.
It refers also to a controversy which
is intrinsically connected with the
regulation of associations or dealing
with the internal affairs of such entity.

Mediation means voluntary

process in which a mediator
facilitates communication and
negotiation and assists the
parties in reaching a voluntary
agreement regarding a dispute.
Mediator means any trained
officer duly designated which is a
member of the Grievance
Committee, most preferably its
chairman , to conduct mediation

 Party means a person who participates

in a mediation and whose consent is
necessary to resolve a dispute.
Private caucus means a private meeting
with either party called by the mediator to
discuss issues.
Settlement agreement means mutual
concessions or the consensus arrived at by
the contending parties during the
mediation proceedings, reduced into
writing and signed by the parties and the
mediator.

 Settlement agreement means

mutual concessions or the
consensus arrived at by the
contending parties during the
mediation proceedings, reduced
into writing and signed by the
parties and the mediator.
Successful mediation means
the parties reached a settlement
agreement

Form of Complaint, Grievance

or Request for Assistance.
The complaint, grievance or
request for assistance subject of
mediation must be in a written
form in which the complaining
party shall indicate his address
and contact numbers and those
of the party complained of.

Subject of Mediation.
Controversies which involves
whether intra-association or
inter-association disputes
may be brought by the parties
for mediation except those
which by law may not be
compromised

THE MEDIATION
PROCESS

 Section 1. Initial Evaluation. Within 3

days from the receipt of the complaint,
the Grievance Committee shall evaluate
the same to determine whether:
(a) it is appropriate for mediation under
Section 5 of the preceding Rule (Subject
of Mediation)
(b) it is practicable for all the parties to
attend the mediation proceedings; and
(c) a need for emergency relief makes
referral to mediation impracticable.

Section 2.How conducted. After

the initial evaluation and
determination of practicality of the
complaint to undergo mediation
process, the Chairman of the
Grievance Committee shall facilitate
the mediation.
The mediator shall cause the service
of notice to all the parties to
attend the initial conference.

The initial conference shall be

conducted within 10 days
from the date of evaluation.
The parties may agree on the
schedule of subsequent
conferences if warranted, but
the mediation may not exceed
30 days from the initial
conference.

 During the initial conference, the parties

shall sign a mediation agreement
consenting to submit their dispute to
mediation.
If any of the parties fails to attend or
appear during the initial conference
despite due notice, the mediator shall
schedule another conference.
Failure of any of the party to appear
during the second setting shall be
sufficient ground for mediator to
terminate the mediation and to issue a
certification to that effect.

If no settlement is reached
within 30 calendar days from
the date of initial conference,
the mediator may close and
terminate the mediation
proceedings, unless there is a
written request from all parties to
extend the process. In no case
shall it exceed 30 days.

Section 3. Successful
mediation. If the parties
arrived into a settlement, it
must be reduced into
writing and copies thereof
shall be furnished to the
parties.

Section 4. Appeal to Federation.

In the event there is a failed
mediation within the associations
level, the parties may opt to bring
the matter to Federation in which
the association they belong is a
member thereto. If despite the
earnest effort the parties failed to
settle their differences, the
Federation will issue a
certification to that effect.

THE PARTIES
Section 1. Appearance of the
parties. The parties shall appear in
person. Failure of the parties to
personally appear during the
conference, they shall confer upon
their representatives the
necessary full authority or special
power of attorney to enter into a
mediation and sign agreements.

Section 2. Appearance
of legal counsel. The
presence of the counsel is
strictly not allowed unless
the lawyer or the counsel
himself is the party in the
dispute.

The Mediator

Section 1. Selection of
Mediator. The chairman of the
Grievance Committee shall act
as the mediator.
In the event the parties has
reasons to object as to whom
act as mediator, by agreement of
the parties, they may select
another one from the other
members of the Grievance
Committee.

 Section 2. Disclosure of Interest.

The mediator shall immediately
disclose to the parties all the
circumstances that are likely to
create an impression of bias or
prevent him from acting promptly.
If the parties, after such disclosure,
has reasons to object as to whom act
as mediator, by agreement of the
parties may select another one from
the other members of the Grievance
Committee. Otherwise, the mediation

Section 3. Duties.
1. The mediator shall facilitate the
negotiations between the parties
toward mutually acceptable solution
and
2. The mediator shall assist the parties in
drawing up any written settlement
agreement.
In no case the mediator shall make
any ruling or finding with respect to
the dispute even with the express
request of the parties involved.

Section 4. Mediation
Conference. The mediator
may conduct joint
conferences with all, or
private caucuses with each,
of the parties during the
mediation.
In no case he shall meet
with any party at any time

CONFIDENTIALITY
Section 1. Nature of Mediation.
The mediation proceedings and all its
incidents shall be kept strictly
confidential .
No transcript or formal record or audiorecordings shall be made part of the
proceedings. However, the mediator may
take down personal notes which shall not
form part of the records of the case and
which shall upon termination, be
immediately disposed of.
The mediator shall discuss the issues of
confidentiality with the parties. However, the
parties may opt to waive in writing the

CONFIDENTIALITY
The mediator may also not make a
report, assessment, evaluation,
recommendation, finding or any
communication regarding the mediation
to a court or any tribunal that make a
ruling to a dispute that is a subject of a
mediation except if it states that the
mediation occurred or terminated or
that a settlement was reached and
the issues discussed under the
preceding paragraph.

SETTLEMENT AGREEMENT
Section 1. Execution and enforcement
of settlement agreement. A settlement
agreement following successful mediation
shall be prepared and signed by the
parties with the assistance of the mediator.
The parties shall endeavor to make the
terms and conditions of the settlement
agreement complete and to stipulate
adequate provisions for the contingency
of breach and the possibility of
conflicting interpretation of the
provisions.

TERMINATION OF
PROCEEDINGS
Section 1. Withdrawal
of the parties. Any of the
parties may withdraw in
writing from the mediation
at any time during the
mediation proceedings.

TERMINATION OF PROCEEDINGS
Section 2. Grounds for
termination. The proceedings
shall terminate when:
(a) a party withdraws from
mediation;
(b) a written settlement agreement
is executed; and
(c) no settlement is reached.

Thank you