Special Rules of Court on Alternative Dispute Resolution

Rule 17

The request for dismissal of the civil action and referral to arbitration shall be through a verified motion that shall (a) contain a statement showing that the dispute is a construction dispute; and (b) be accompanied by proof of the existence of the arbitration agreement. If the arbitration agreement or other document evidencing the existence of that agreement is already part of the record, those documents need not be submitted to the court provided that the movant has cited in the motion particular references to the records where those documents may be found. The motion shall also contain a notice of hearing addressed to all parties and shall specify the date and time when the motion will be heard, which must not be later than fifteen (15) days after the filing of the motion. The movant shall ensure receipt by all parties of the motion at least three days before the date of the hearing.

Rule 17

The court shall hear the motion only once and for the purpose of clarifying relevant factual and legal issues.

Rule 17

Upon receipt of the motion to refer the dispute to arbitration by CIAC, the other party may file an opposition to the motion on or before the day such motion is to be heard. The opposition shall clearly set forth the reasons why the court should not dismiss the case.

Rule 17

If the other parties fail to file their opposition on or before the day of the hearing, the court shall motu proprio resolve the motion only on the basis of the facts alleged in the motion. After hearing, the court shall dismiss the civil action and refer the parties to arbitration if it finds, based on the pleadings and supporting documents submitted by the parties, that there is a valid and enforceable arbitration agreement involving a construction dispute. Otherwise, the court shall proceed to hear the case. All doubts shall be resolved in favor of the existence of a construction dispute and the arbitration agreement.

Rule 17

An order dismissing the case and referring the dispute to arbitration by CIAC shall be immediately executory.

Rule 17

The court shall not decline to dismiss the civil action and make a referral to arbitration by CIAC for any of the following reasons: a. Not all of the disputes subject of the civil action may be referred to arbitration; b. Not all of the parties to the civil action are bound by the arbitration agreement and referral to arbitration would result in multiplicity of suits; c. The issues raised in the civil action could be speedily and efficiently resolved in its entirety by the Court rather than in arbitration; d. Referral to arbitration does not appear to be the most prudent action; or e. Dismissal of the civil action would prejudice the rights of the parties to the civil action who are not bound by the arbitration agreement. The court may, however, issue an order directing the inclusion in arbitration of those parties who are bound by the arbitration agreement directly or by reference thereto pursuant to Section 34 of Republic Act No. 9285. Furthermore, the court shall issue an order directing the case to proceed with respect to the parties not bound by the arbitration agreement.

Rule 17

If the parties manifest that they have agreed to submit all or part of their dispute pending with the court to arbitration by CIAC, the court shall refer them to CIAC for arbitration.

Rule 17

A Regional Trial Court before which a construction dispute is filed shall, upon becoming aware that the parties have entered into an arbitration agreement, motu proprio or upon motion made not later than the pre-trial, dismiss the case and refer the parties to arbitration to be conducted by the Construction Industry Arbitration Commission (CIAC), unless all parties to arbitration, assisted by their respective counsel, submit to the court a written agreement making the court, rather than the CIAC, the body that would exclusively resolve the dispute.