Intellectual Property Code with the 2020 Revised Rules of Procedure for Intellectual Property Rights Cases

Section 1

Within five (5) calendar days after the period for availing of, or compliance with, any of the modes of discovery prescribed in Rule 5 hereof, whichever comes later, the handling court shall immediately issue a notice setting the case for pre-trial and directing the parties to submit their respective pre-trial briefs. The notice of pre-trial shall include the dates respectively set for: a) Pre-trial; b) Court-Annexed Mediation; and c) Judicial Dispute Resolution, if necessary. The parties shall file with the court and furnish each other copies of their respective pre-trial briefs in such manner as to ensure receipt by the court and the other party at least five (5) calendar days before the date set for the pre-trial. The parties shall set forth in their pre-trial briefs, among other matters, the following: a) A concise statement of the case and the reliefs prayed for; b) A summary of admitted facts and proposed stipulation of facts; c) The main factual and legal issues to be tried or resolved; d) The propriety of referral of factual issues to an expert or committee of experts under Section 4 of Rule 17; e) The documents or other object evidence to be marked, stating the purpose thereof; f) The names of the witnesses, and the summary of their respective testimonies; g) A brief statement of points of law and citation of authorities; h) Requests for closed door hearings in cases involving trade secrets, undisclosed information and patents; and i) Such other matters as may aid in the just and speedy disposition of the case.

Section 2

Before the pre-trial, the court shall require the marking of documentary or object evidence by the branch clerk of court or any authorized court personnel. During the pre-trial, the court shall, with its active participation, ensure that the parties consider in detail all of the following: a) The possibility of an amicable settlement; b) Facts that need not be proven, either because they are matters of judicial notice, or expressly or deemed admitted; c) The possibility of obtaining stipulations and admissions of facts and documents; d) Objections to the admissibility of testimonial, documentary and other evidence; e) Simplification of the issues; and f) Such other matters as may aid in the speedy and summary disposition of the case.

Section 3

The pre-trial shall be terminated not later than thirty (30) calendar days after its commencement.

Section 4

On the day of the termination of the pre-trial, the court shall issue a pre-trial order, which shall recite in detail the matters taken up. The order shall include: a) An enumeration of the admitted facts; b) The minutes of the pre-trial conference; c) The legal and factual issue/s to be tried; d) The applicable law, rules, and jurisprudence; e) The evidence marked; f) The specific trial dates for continuous trial, which shall be within the period provided by these Rules; g) The case flowchart to be determined by the court, which shall contain the different stages of the proceedings up to the promulgation of the decision and the use of time frames for each stage in setting the trial dates; h) A statement that the one-day examination of witness rule and most important witness rule under A.M. No. 03-1-09-SC (Guidelines for Pre-Trial) shall be strictly followed; and i) Any of the following statements: i. That the court shall render judgment immediately upon termination of the pre-trial, such as judgment on the pleadings or summary judgment under the Rules of Court; ii. That the court shall require submission of position papers under Section 7 herein; iii. That the court shall conduct clarification hearings under Section 8 herein; iv. That the court shall refer the case to an expert or committee of experts under Section 4 of Rule 17 herein; or v. That the court shall conduct trial. Postponement of presentation of the parties' witnesses at a scheduled date is prohibited, except if it is based on acts of God, force majeure or duly substantiated physical inability of the witness to appear and testify. The party who caused the postponement must still terminate the presentation of its evidence within the remaining dates previously agreed upon. Should the opposing party fail to appear without valid cause stated in the next preceding paragraph, the presentation of the scheduled witness will proceed with the absent party being deemed to have waived the right to interpose objection and conduct cross-examination. The contents of the pre-trial order shall control the subsequent proceedings, unless modified before trial to prevent manifest injustice.

Section 5

On the day of the termination of the pre-trial, the court shall refer the parties for mandatory court-annexed mediation. The period for court-annexed mediation shall not exceed thirty (30) calendar days and is non-extendible. If the court-annexed mediation failed and only if the judge of the court to which the case was originally raffled is convinced that settlement is still possible, the case may be referred to another court for judicial dispute resolution (JDR). The JDR shall be conducted within a non-extendible period of fifteen (15) calendar days from notice of the JDR court of the failure of the court-annexed mediation. The period for judicial dispute resolution shall not exceed fifteen (15) calendar days and is non-extendible. If judicial dispute resolution fails, trial before the original court shall proceed on the dates agreed upon. All proceedings during the court-annexed mediation and the judicial dispute resolution shall be confidential.

Section 6

The failure of the plaintiff to submit a pre-trial brief within the specified period or to appear in the pre-trial, court-annexed mediation and, if necessary, judicial dispute resolution, shall be cause for the dismissal of the complaint with prejudice, unless otherwise ordered by the court. The defendant who submits a pre-trial brief and who appears during the pre-trial shall be entitled to a judgment on the counterclaim unless the court requires evidence ex parte for a judgment. Any cross-claim shall be dismissed. The failure of the defendant to submit a pre-trial brief within the specified period or to appear in the pre-trial, court-annexed mediation and, if necessary, judicial dispute resolution shall be a cause for the dismissal of the counterclaim. The plaintiff who submits a pre-trial brief and who appears during the pre-trial shall be entitled to a judgment on the complaint unless the court requires evidence ex parte for a judgment.

Section 7

If the case is to be submitted for decision on the basis of position papers, the court, in the Pre-Trial Order, shall direct the parties to file their respective position papers, setting forth the law and the facts relied upon by them and other evidence on the factual issues defined in the order, or, if so desired, the respective draft decisions of both parties, within a non-extendible period of thirty (30) calendar days from receipt of the order. No reply or rejoinder position paper shall be allowed.

Section 8

If there are matters to be clarified, the court shall include in the Pre-Trial Order the schedule of clarification hearing or hearings, which must commence within thirty (30) calendar days from the termination of the pre-trial, and be completed not later than fifteen (15) calendar days thereafter. At least three (3) calendar days before the scheduled clarification hearing, the parties may submit questions which the court, in its discretion, may propound.

Section 9

If the court deems it necessary to hold trial, the court shall include in the Pre-Trial Order the schedule of hearings, which shall begin within sixty (60) calendar days from the termination of the pre-trial or the clarification hearing/s, whichever is later. The trial shall be completed not later than sixty (60) calendar days from the date of the initial trial, excluding the period when the case is referred to an expert or committee of experts under Section 4 of Rule 17.