• webadmin8462

CHOM 407

Updated: Dec 18, 2020

 29 July 2005


MEMO TO : All Clearing Banks/Institutions


SUBJECT : ARBITRATION FEE ADJUSTMENTS


 29 July 2005


MEMO TO : All Clearing Banks/Institutions


SUBJECT : ARBITRATION FEE ADJUSTMENTS


1. At its meeting held on 28 June 2005, the Board approved for implementation by management the upward

adjustments of the various types of fees payable to Members of the Arbitration Committee for services rendered in

the resolution of cases submitted for arbitration, as follows:


TYPE OF FEE NEW FEE PREVIOUS FEE DATE LAST AMENDED

P3,000.00 – Member of Committee N O N E N. A.

---------------------------------------------------------------------------------------------------------------------------------

Acceptance Fee P5,000.00 – Sole Arbitrator N O N E N. A.

--------------------------------------------------------------------------------------------------------------------------------------------------------

P3,000.00 – per session of not more than four P2,000.00 – Nov. 1998

(4) hours, with an additional Member of

P1,000.00 for every hour or Committee/

fraction thereof thereafter; for each Law Member

Committee Member/Law Member

-----------------------------------------------------------------------------------------------------------------------------------

Appearance Fee P5,000.00 – per session of not more than four P2,000.00 – Nov. 1998

(4) hours, with an additional Sole Arbitrator

P1,000.00 for every hour or fraction

thereof thereafter; for a Sole

Arbitrator

----------------------------------------------------------------------------------------------------------------------------------------------------------

Decision P10,000.00, except where Decision is based N O N E N. A.

Drafting Fee Upon Compromise Agreement

----------------------------------------------------------------------------------------------------------------------------------------------------------

Motion for P10,000.00 N O N E N. A.

Reconsideration

(MR) Resolution

Drafting Fee

-----------------------------------------------------------------------------------------------------------------------------------------------------------


2. Explanatory Notes:


a) Acceptance Fee. This adopts the recommendation of Arbitration Oversight Committee (AOC). Rationale

advanced is that this provides an incentive for invited arbitrators/law members to accept appointment to

an Arbitration Committee, or to act as Sole Arbitrator. This recognizes, too, that accepting arbitrators/ law

members need to study the cases and prepare for initial conferences.



CHOM No. 407

Page - 2 -

_______________


b) Appearance Fee. This adopts the adjustment that the Executive Committee had earlier approved for

Arbitrators serving in a Committee. As discussed in the AOC Meeting of 14 June 2005, inasmuch as the Sole

Arbitrator serves alone (though assisted by the Law Member), he/she should be entitled to a higher

Appearance Fee. The Law Member, however, is paid a uniform minimum fee of P3,000.00 per session,

whether he/she serves in a Committee or with a Sole Arbitrator.


Entitlement is for every appearance of not more than four (4) hours. Any period of time in excess thereof

entitles the serving Arbitrator/Law Member to an additional P1,000.00 per hour or fraction thereof in excess.


The total monthly Appearance Fees shall be charged to the parties on a monthly basis, each party to the

submission to arbitration sharing pro-rata with any opposing party/ies; provided, however, that should the

Decision provide a different distribution of fee-sharing, the fees, as already charged and collected, shall be

accordingly adjusted.

c) Decision Drafting Fee. A uniform fee of P10,000.00 is paid for drafting Decisions. The cost here for shall

be shouldered by the losing party, or by both parties pro-rata whenever the Decision awards pro-rata sharing

of the amount in dispute, or in such other sharing distribution as the Committee or the Sole Arbitrator may

otherwise award.


d) Motion for Reconsideration (MR) Resolution Drafting Fee. A uniform fee of P10,000.00 is paid for drafting MR

Resolutions. The cost herefor shall be shouldered by the losing party, or by both parties pro-rata whenever

the MR Resolution awards pro-rata sharing of the amount in dispute, or in such other sharing distribution as

the Board may otherwise award.


3. Effectivity of the new rates shall commence on 01 August 2005 and shall apply to Committee Member(s)

appearances/attendance, henceforth, in cases still on-going and pending decisions prior to this date, enforceable

until revised by the Board.


4. Please be guided accordingly.


CHOM.407.ARBITRATION FEE ADJUSTMENTS
.pdf
Download PDF • 18KB