Question & AnswerQ&A (EXECUTIVE ORDER NO. 1008)
The title of Executive Order No. 1008 is the "Construction Industry Arbitration Law."
The law declares the policy of the State to encourage the early and expeditious settlement of disputes in the Philippine construction industry.
The Construction Industry Arbitration Commission (CIAC) is created under the Construction Industry Authority of the Philippines (CIAP) to handle construction industry disputes.
The CIAC has original and exclusive jurisdiction over disputes arising from or connected with contracts entered into in the Philippine construction industry, whether government or private contracts, subject to the parties agreeing to submit the dispute to voluntary arbitration.
No, disputes arising from employer-employee relationships are excluded and continue to be covered by the Labor Code of the Philippines.
The Commission consists of a Chairman and two (2) members appointed by the CIAP Board upon recommendation by the members of the Philippine Domestic Construction Board (PDCB).
The CIAC formulates and adopts arbitration programs, enunciates policies and rules for construction arbitration, supervises the arbitration program, and directs its officers and employees regarding arbitration functions.
The term of office for members is six (6) years, with staggered terms for the initial appointees of six, four, and two years respectively.
Arbitrators can be a sole arbitrator or a panel of three arbitrators. The parties may nominate arbitrators from an accredited list. If parties fail to agree, CIAC appoints arbitrators. A third arbitrator, who acts as the presiding arbitrator, is appointed by CIAC with the consent of both parties.
Arbitration expenses include filing fees, administrative charges, arbitrator fees, and expert fees if any. The CIAC fixes the amount to be deposited before arbitration begins, shared equally by parties or paid fully by one side if the other fails to pay. Failure to pay may lead to dismissal but with payment of half the administrative fee still required.
Yes, the arbitral award is final and binding upon the parties, and is not appealable except on questions of law, which may be appealed to the Supreme Court.
The CIAC, through the Arbitral Tribunal or single arbitrator, can issue writs of execution for awards that are final and executory, directing sheriffs or other proper officers to enforce the award.
Yes, the CIAC has rule-making power to formulate and adopt necessary rules and procedures for construction arbitration.