Court-Annexed Mediation in the Philippines: How It Works Under RA 9285

Court-annexed mediation is a mediation process conducted under the auspices of the court, after the court has acquired jurisdiction over the dispute. In the Philippines, it is recognized by Republic Act No. 9285, the Alternative Dispute Resolution Act of 2004, which defines the term and treats it as distinct from voluntary mediation. The process lets parties settle their case with the help of a neutral mediator while the case is pending in court. If they reach an agreement, the settlement may be enforced; if not, the case returns to the court for adjudication.

What is court-annexed mediation?

Under the definition in Republic Act No. 9285, court-annexed mediation is "any mediation process conducted under the auspices of the court, after such court has acquired jurisdiction of the dispute."

Two elements stand out:

1. The court already has jurisdiction. The case has been filed and is pending before a court.
2. The mediation is conducted under the court's auspices. It is not a purely private arrangement between the parties.

This distinguishes it from court-referred mediation, which Republic Act No. 9285 defines as mediation ordered by a court to be conducted in accordance with the agreement of the parties when an action is prematurely commenced in violation of such agreement.

How is it different from voluntary mediation?

Republic Act No. 9285 places voluntary mediation and court-annexed mediation in different chapters. Chapter 2 of the law expressly states that its provisions "shall cover voluntary mediation, whether ad hoc or institutional, other than court-annexed."

The reason is structural. Court-annexed mediation operates within a pending case, so the Supreme Court governs it through its own rules. Republic Act No. 9285 itself recognizes this, stating that the law is without prejudice to the adoption by the Supreme Court of any ADR system, such as mediation, "as a means of achieving speedy and efficient means of resolving cases pending before all courts in the Philippines which shall be governed by such rules as the Supreme Court may approve from time to time."

In short: the statute defines court-annexed mediation and preserves the Supreme Court's authority over the procedure; the detailed mechanics come from the rules the Supreme Court issues.

What is mediation, exactly?

The law defines mediation as "a voluntary process in which a mediator, selected by the disputing parties, facilitates communication and negotiation, and assists the parties in reaching a voluntary agreement regarding a dispute."

The mediator is the person who conducts the mediation. The mediator does not decide the case. Decision-making authority rests with the parties. Republic Act No. 9285 states that the policy of the law is to foster "prompt, economical and amicable resolution of disputes in accordance with principles of integrity of determination by the parties, and the policy that the decision-making authority in the mediation process rests with the parties."

Who may participate, and may a party bring a lawyer?

A party may designate a lawyer or any other person to provide assistance in the mediation. Under Section 14 of Republic Act No. 9285, any waiver of this right must be made in writing by the party waiving it, and a waiver of participation or legal representation may be rescinded at any time.

The parties are also free to agree on the place of mediation. Failing such agreement, the place shall be any place convenient and appropriate to all parties.

Is what happens in mediation confidential?

Yes. Information obtained through mediation is privileged and confidential. Under the principles set out in Republic Act No. 9285:

• A party, a mediator, or a nonparty participant may refuse to disclose, and may prevent another person from disclosing, a mediation communication.
• Confidential information is not subject to discovery and is inadmissible in any adversarial proceeding, whether judicial or quasi-judicial.
• Parties, mediators, counsel, nonparty participants, and support personnel such as secretaries and clerks may not be compelled to disclose confidential information obtained during mediation.
• A mediator may not be called to testify to provide information gathered in mediation.

The law also provides exceptions. For example, there is no privilege if the mediation communication is in an agreement evidenced by a record authenticated by all parties, or if it is a threat or statement of a plan to inflict bodily injury or commit a crime of violence. A mediator may not make a report, assessment, evaluation, recommendation, or finding about the mediation to a court or agency that may rule on the dispute, except in limited situations — such as where the mediation occurred or has terminated, or where a settlement was reached.

What happens if the parties settle?

A settlement agreement following successful mediation is prepared by the parties, with the assistance of their respective counsel, if any, and by the mediator. The parties and their counsel sign it, and the mediator certifies that the contents were explained to the parties in a language known to them.

If the parties wish, they may deposit the settlement agreement with the appropriate Clerk of a Regional Trial Court of the place where one of the parties resides. If enforcement becomes necessary, a party may file a petition with the same court, and the court shall proceed summarily to hear the petition, in accordance with the rules of procedure the Supreme Court may promulgate.

The parties may also agree in the settlement agreement that the mediator shall become a sole arbitrator for the dispute and treat the settlement agreement as an arbitral award, enforceable under the Arbitration Law.

Frequently asked questions

Is court-annexed mediation mandatory in the Philippines? Republic Act No. 9285 defines court-annexed mediation and leaves the procedure to the rules approved by the Supreme Court. Whether a case is referred to mediation, and at what stage, depends on those rules and on the court's directives in the case.

Can a mediator decide my case? No. Mediation is a voluntary process in which the mediator facilitates communication and negotiation and assists the parties in reaching a voluntary agreement. Decision-making authority rests with the parties.

What if no settlement is reached? The mediation ends without a settlement agreement, and the case continues before the court for adjudication.

Practical takeaways

• Court-annexed mediation is mediation conducted under the auspices of the court, after the court has acquired jurisdiction over the dispute.
• It is distinct from voluntary mediation, which Republic Act No. 9285 covers separately, and from court-referred mediation, which arises when an action is prematurely commenced in violation of an agreement to mediate.
• A party may bring a lawyer or another person to assist in the mediation; any waiver of that right must be in writing and may be rescinded at any time.
• Mediation communications are privileged and confidential, subject to the exceptions stated in the law.
• A settlement agreement may be deposited with the Clerk of a Regional Trial Court and enforced through a summary petition if a party fails to comply.

Primary sources

The rules discussed above are drawn from the following primary sources, as published in the Official Gazette and the national statute book.

• REPUBLIC ACT NO. 9285 - AN ACT TO INSTITUTIONALIZE THE USE OF AN ALTERNATIVE DISPUTE RESOLUTION SYSTEM IN THE PHILIPPINES AND TO ESTABLISH THE OFFICE FOR ALTERNATIVE DISPUTE RESOLUTION, AND FOR OTHER PURPOSES

• REPUBLIC ACT NO. 643 - AN ACT TO AMEND SECTION NINETY OF REPUBLIC ACT NUMBERED TWO HUNDRED AND NINETY-SIX, OTHERWISE KNOWN AS THE JUDICIARY ACT OF NINETEEN HUNDRED AND FORTY-EIGHT, AND SECTION ONE OF RULE NINETY-THREE OF THE RULES OF COURT IN THE PHILIPPINES.

This article is general information and not legal advice. For your specific situation, consult a lawyer or ask ASG Legal AI.