CHOM 406

Updated: Dec 18, 2020

 20 June 2005


MEMO TO : All Clearing Banks/Institutions


SUBJECT : AMENDMENTS TO THE ARBITRATION RULES OF PROCEDURES (ARP)


1. Pursuant to Resolution No. 13-2005 of the Board of Directors, adopted on 22 April 2005, certain identified Sections

of the PCHC Arbitration Rules of Procedure are hereby amended as indicated by underscoring in Annex A hereof.


2. For ease of reference, following are Highlights of the Amendments to the Arbitration Rules:


a) SEC. 3 -A measure was installed to forestall delaying tactics at the preliminary conference stage.


b) SEC. 4 -Reworded so that the President may now designate any qualified incumbent or retired senior bank

officer, and/or any duly accredited attorney-at-law to sit as Substitute Arbitrator and/or Law Member

respectively, whenever the designated Arbitrator and/or Law Member is unavailable for any hearing

and such unavailability would cause a lack of quorum to proceed with a scheduled hearing Case-amount

that shall be heard by a Sole Arbitrator is raised to P1.0 million from P300,000.00 or less


c) SEC. 7 -Now provides that the parties shall be represented at the hearings by any duly authorized officer

knowledgeable of the facts of the case and the issues involved. The assistance of legal counsel at

hearings is now optional.


d) SEC. 8 -Deals with the postponement or resetting of hearings and imposing penalties accordingly


Likewise, a party who fails repeatedly to appear at the preliminary conference or resetting thereof and/or

at any of the scheduled hearings may be non-suited or considered as in default.


e) SEC. 10 -Deals with the procedures in filing and/or non-filing of Motion for Reconsideration and now prescribing

a filing fee therefor.


 f) SEC. 13 -Now stipulates that “should any of the litigants elevate the case at hand to the trial courts, all expenses

incurred by the PCHC relative to the court litigation shall be chargeable to the party who loses the case in

court:

3. The applicability of the affected Sections shall be as follows:


a) Section 3 amendment shall be prospective in application; provided, where an arbitration case is currently in its

preliminary conference stage, the requirement for a written document of Lawyer’s Authority therefor

shall apply.


b) Section 4 amendments are applicable to ongoing cases in arbitration and all new cases; provided, the paragraph

pertaining to the new threshold of jurisdiction of the Sole Arbitrator (i.e. up to PESOS: One Million) shall

not apply to ongoing cases.


c) Section 7 amendment is immediately applicable.


d) Section 8 amendments are likewise immediately applicable.


e) Section 10 amendments shall be prospective in application only insofar as the Reconsideration Fee is concerned.

Hence, any pending Motion for Reconsideration shall not be subject to the Reconsideration Fee required

hereunder.


f) Section 13 amendment shall apply to all Petitions for Review currently pending in the trial courts.


4. Resolution No. 13-2005 shall be effective immediately, subject only to the provisos specified in item 3 above.


5. For information and guidance.


CHOM.406
.AMENDMENTS TO THE ARBITRATION R
Download AMENDMENTS TO THE ARBITRATION R • 26KB