Revised Rules for Construction Arbitration

CIAC has original and exclusive jurisdiction over construction disputes in the Philippines
Covers disputes arising from government or private contracts before, during, or after contract completion or breach
Includes issues such as violations of contract terms, delays, damages, payment defaults, and contract cost changes
Parties must be bound by an arbitration agreement or agree to voluntary arbitration for jurisdiction
Disputes in employer-employee relations are excluded and fall under Labor Code
Jurisdictional challenges resolved by the arbitral tribunal without waiving rights through participation or motions

Request for Arbitration must be filed with CIAC Secretariat with proper copies
Claimants against government must show exhaustion of administrative remedies or unreasonable delay
Private claimants likewise must comply with preconditions or show justifiable reasons
Failure to comply may suspend proceedings pending compliance
Respondents receive complaint and request to answer within three days of filing
Arbitration proceedings commence upon filing of the Request for Arbitration

Arbitration clause or submission in construction contracts confers jurisdiction on CIAC even if another institution named
Arbitration agreement must be in writing but need not be signed; can be communicated through various means
Failure or refusal of respondent to arbitrate does not halt proceedings; arbitrators are appointed and evidence considered
Arbitration cannot proceed if no arbitration agreement or parties’ consent

Pleadings and documents must be in sufficient copies for arbitrators, parties, and Secretariat
Notices by registered mail or delivery acknowledged on actual or constructive receipt

Arbitration proceedings are confidential unless parties consent or court order arises
Confidentiality covers all communications, pleadings, evidence, and awards
Violations subject lawyers to administrative sanctions and possible disbarment
Other professionals face disciplinary actions by Professional Regulation Commission

Arbitrators must be men of distinction and technically qualified
Includes engineers, architects, construction managers, consultants, businessmen, and experienced lawyers
Must be CIAC-accredited except exceptions for common nominees and foreign arbitrators per conditions
Arbitrators serve only when called, not permanent employees
Immunity from civil liability except for bad faith, malice or gross negligence

Tribunal may be sole arbitrator or panel of three
Parties each nominate up to six CIAC-accredited arbitrators
Common nominees appointed; if none, CIAC appoints one arbitrator from each party’s list
Foreign arbitrators allowed if one party is international and nominee meets criteria
Arbitrators can be challenged and disqualified upon grounds such as relationship, bias, interest, or misconduct
Prior mediators barred from acting as arbitrators without consent

Held within 15 days of arbitrator appointment
Discuss amicable settlement, pleadings, evidence, issues, interim relief, appointment of experts, site inspection
Arbitrators introduce themselves and disclose conflicts at conference
TOR serves as pre-trial order with party information, claims, issues, arbitrators, venue, and fee arrangements
TOR signed by parties, counsels, and arbitrators within 5 days
Arbitration proceeds even without TOR based on pleadings

Venue, date, and time mutually agreed; arbitrators’ choice prevails if no agreement
Hearings recorded or stenographically noted, custody maintained by CIAC
Quorum of two arbitrators needed for hearing
Procedures emphasize speed, fairness, and full opportunity for evidence submission
Evidence may be documentary, testimonial, affidavits, site inspection allowed
Adjournment limited except for payment defaults
Hearings proceed in absence of a party with evidence submitted

Arbitrators may issue interim orders to enforce award, preserve property, minimize delays, provide security, or produce evidence
Interim relief may include injunctions or receivership
Court assistance available for enforcement

Award due within 30 days from case submission but not later than 6 months from TOR signing or preliminary conference
Award in writing, signed by arbitrators; dissenting opinions also signed
Contains issues, facts, discussion, and legal authority
Awards may formalize settlements or compromises
Costs of arbitration decided in award when agreed or non-monetary claims
Jurisdiction ends upon final award or completion of appellate process
Award copies provided upon full payment
Original award filed with Secretariat

Motion for correction allowed for clerical errors or mistakes in description within 15 days
Correction motion interrupts appeal period only for prescribed grounds
Motions for reconsideration or new trial prohibited

Proceedings recorded and kept securely by CIAC
Arbitrators control all proceedings for speed and fairness
Arbitrators decide only submitted issues without modifying contract terms
Interpret and apply rules within their powers; majority vote settles disputes on rules
Attendance of hearings limited to parties and interested persons, arbitrators control attendance
Failure to object to procedural irregularities constitutes waiver
Parties free to settle anytime during arbitration; expenses charged accordingly

Rules effective 15 days after publication and filing with National Administrative Register