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    Commencement of Arbitral Proceedings

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    Michael Lagundi
    The document discusses the commencement and procedures for domestic arbitration in the Philippines. It begins by stating that commencement is generally determined by any prior arbitration agreement, similarly to international arbitration. It then provides specific rules for domestic arbitration: it can be commenced by demand for arbitration if there is a prior agreement or according to an institutional arbitrator's rules if there is no prior agreement. The document also outlines qualifications for arbitrators, procedures for appointment and challenge of arbitrators, and procedures for an arbitrator's failure to act.

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    Commencement of Arbitral Proceedings

    Uploaded by

    Michael Lagundi
    118 views3 pages
    The document discusses the commencement and procedures for domestic arbitration in the Philippines. It begins by stating that commencement is generally determined by any prior arbitration agreement, similarly to international arbitration. It then provides specific rules for domestic arbitration: it can be commenced by demand for arbitration if there is a prior agreement or according to an institutional arbitrator's rules if there is no prior agreement. The document also outlines qualifications for arbitrators, procedures for appointment and challenge of arbitrators, and procedures for an arbitrator's failure to act.

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    Commencement of Arbitral Proceedings

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    The document discusses the commencement and procedures for domestic arbitration in the Philippines. It begins by stating that commencement is generally determined by any prior arbitration agreement, similarly to international arbitration. It then provides specific rules for domestic arbitration: it can be commenced by demand for arbitration if there is a prior agreement or according to an institutional arbitrator's rules if there is no prior agreement. The document also outlines qualifications for arbitrators, procedures for appointment and challenge of arbitrators, and procedures for an arbitrator's failure to act.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    118 views3 pages

    Commencement of Arbitral Proceedings

    Uploaded by

    Michael Lagundi
    The document discusses the commencement and procedures for domestic arbitration in the Philippines. It begins by stating that commencement is generally determined by any prior arbitration agreement, similarly to international arbitration. It then provides specific rules for domestic arbitration: it can be commenced by demand for arbitration if there is a prior agreement or according to an institutional arbitrator's rules if there is no prior agreement. The document also outlines qualifications for arbitrators, procedures for appointment and challenge of arbitrators, and procedures for an arbitrator's failure to act.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 3

    Commencement of Arbitral Proceedings

    (Sec. 5[a], Arbitration Law; Article 5.20, IRR)

    In general, the commencement of arbitral proceedings is determined by the prior arbitration


    agreement between the parties. Up to that extent, there is similarity between international
    commercial arbitration and domestic arbitration on the commencement of arbitral proceedings.

    The following are the specific rules for the commencement of domestic arbitration:

    1. In an institutional arbitration where there is no prior arbitration agreement, it is


    commenced in accordance with the arbitration rules of the institutional arbitrator.

    2. In an ad hoc arbitration where there is a prior arbitration agreement, it is commenced


    upon the delivery by the claimant to the respondent of a demand for arbitration. The
    demand for arbitration shall be in any form and shall state the name, address and
    description of each of the parties; the description of the nature and circumstances of
    the dispute giving rise to the claim; the relief sought including the amount of the claim;
    the relevant agreements including the arbitration agreement, a copy of which shall be
    attached; and the appointment of the arbitrators and/or demand to appoint.

    Where there is no prior arbitration agreement, it is initiated by one party through a


    demand upon the other to submit their dispute to arbitration, and arbitration is deemed
    commenced upon the agreement by the other party to submit the dispute to
    arbitration. The demand shall also require the respondent to name his arbitrator within
    a period which shall not be less than fifteen (15) days from receipt of the demand.

    Arbitrators and Arbitral Tribunals


    (Articles 5.9 to 5.14, IRR; Sections 8, 9, 10, 11 and 13, Arbitration Law)

    I. Number of Arbitrators
    - Unless the parties have agreed otherwise, there shall be three (3) domestic
    arbitrators for domestic arbitration.

    II. Qualifications and Disqualifications


    An arbitrator must:
    1. Be of legal age;
    2. Be in full enjoyment of his civil rights; and
    3. Know how to read and write.

    No person shall serve as an arbitrator in any proceeding if:


    1. He is related by blood or marriage within the sixth degree to either party to the
    controversy;
    2. He has or has had financial, fiduciary or other interest in the controversy or
    cause to be decided, or in the result of the proceeding;
    3. He has personal bias which might prejudice the right of any party to fair and
    impartial award; or
    4. He has been selected to act as champion or to advocate a partys cause.

    Pualengco, April S. Page 1


    III. Procedure for the Appointment of Arbitrators
    - The parties in a domestic arbitration are free to agree on the procedure for the
    appointment of arbitrators except that, in order to prevent undue advantage, an
    agreement or clause giving a party the power to choose more arbitrators than the
    other is VOID. The parties may, however, agree to empower the arbitrators already
    appointed to select and appoint additional arbitrators who shall sit with the original
    arbitrators.

    - If there is no agreement for the appointment, the following are the default rules:
    1. Appointment by the parties
    2. Default appointment by appointing authority
    3. Request for appointment
    4. Acceptance of appointment
    5. Oath of arbitrators

    IV. Grounds for Challenge


    1. Circumstances exist that give rise to a justifiable doubt as to his impartiality or
    independence;
    2. He does not possess the qualifications provided for under the law or agreed to
    by the parties;
    3. He is disqualified to act as an arbitrator*; or
    4. He refuses to respond to questions by a party regarding the nature and extent
    of his professional dealings with a party or his counsel.*

    - The third (disqualification) and fourth (refusal to answer) grounds are not provided
    for in the rules on international commercial arbitration but are provided for in the
    rules on domestic arbitration based on Section 10 of R.A. No. 876.

    V. Procedure for the Challenge


    - The general rule is that the procedure that is agreed upon by the parties for
    challenging an arbitrator shall be applied. In default thereof, the procedure that
    shall govern shall be the paragraphs (b), (c), (f), (d), (g), (h), (i), (k), (o), (n), (p) of Art.
    5.12 of the IRR and Section 11 of the Arbitration Law.

    VI. Procedure in Case the Arbitrator Fails to Act


    - As in the case of international commercial arbitration, if an arbitrator in a domestic
    arbitration becomes de jure or de facto unable to perform his functions or fails to
    act without undue delay, his mandate terminates if:
    1. He withdraws, or
    2. The parties agree on the termination.
    - In order to facilitate the voluntary withdrawal of an arbitrator, the withdrawal will
    not carry with it the implication that the arbitrator involved accepted the existence
    or veracity of the ground for his termination.

    Pualengco, April S. Page 2


    - If the controversy remains, any party may request the appointing authority to
    decide on the termination of the arbitrator, which decision shall be immediately
    executor, and shall not be subject to motion for reconsideration or appeal.
    - The appointment of a substitute arbitrator, whether on account of a challenge
    procedure, or on account of his failure or impossibility to act, shall be governed by
    the same rules applicable in the appointment of the replaced arbitrator.

    Pualengco, April S. Page 3

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