PHILIPPINES Law and Practice Contributed by: Elaine A. Atienza and Bianca Georgia T. Paloma, Villaraza & Angangco
6.3 Timing of Applications for Interim Relief Applications for interim relief may be filed with the appropriate court at any stage of the proceedings, depending on the type of relief sought and the urgen- cy of the situation. In litigation, applications for TROs and writs of preliminary injunction are most commonly made at the outset of proceedings, simultaneously with the filing of the main action or shortly thereaf- ter. The applicant must show a clear legal right to be protected, a material and substantial invasion of that right, and the inadequacy of other remedies. TROs may be granted ex parte on the same day of applica- tion if the matter is of extreme urgency. Preliminary attachment applications are typically made before or simultaneously with the filing of the complaint, or at any time thereafter, up to and including the time before entry of judgment. In arbitration, interim relief from the courts may be applied for before the arbitra- tion is commenced, to preserve the subject matter or prevent dissipation of assets while the arbitral tri- bunal is being constituted, or at any point during the proceedings where the need arises. The Special ADR Rules expressly allow interim relief applications con- current with or subsequent to the filing of the request for arbitration. 6.4 Security for Costs Philippine procedural law does not have a comprehen- sive regime for security for costs equivalent to those found in common law jurisdictions. However, certain mechanisms exist that achieve similar objectives. Under the Rules of Court, a non-resident plaintiff who brings a suit may be required to file a bond to secure the payment of costs if ordered against the plaintiff. This is the closest equivalent to a formal security-for- costs regime in Philippine litigation. In arbitration, the ADR Act and the institutional rules of arbitral bodies confer discretion on the arbitral tribunal to order secu- rity for costs where there is a demonstrated risk that the claimant will be unable to satisfy a cost award. 6.5 Interim Injunctions Interim injunctions in the forms of TROs and writs of preliminary injunction are among the most frequently sought interim remedies in Philippine commercial and corporate litigation. They are particularly common in intra-corporate disputes, where shareholders or direc- tors seek to restrain the implementation of board res-
olutions, the holding of elections, or the transfer of assets pending resolution of the underlying dispute. To secure a writ of preliminary injunction, the applicant must establish: • a clear and unmistakable legal right to be pro- tected; • a material and substantial invasion of that right; • an urgent and paramount necessity for the writ to prevent serious damage; and • the absence of other adequate or sufficient rem- edies at law. A TRO may be granted ex parte without prior notice to the respondent in cases of extreme urgency, but it is effective for only 72 hours. To extend the TRO to 20 days, the applicant must give notice and the court must hold a summary hearing. A writ of prelimi- nary injunction requires a full hearing on notice to the respondent, and typically requires the filing of a bond to answer for any damages that may be suffered by the respondent if the injunction is later found to have Philippine courts allow a party to move for summary judgment under Rule 35 of the Rules of Court. Sum- mary judgment may be applied for by either the claim- ant or the defendant at any time before the case is submitted for decision, on the ground that the plead- ings, depositions, admissions and affidavits show that there is no genuine issue of material fact. 7. Mass Claims and Class Actions 7.1 Procedural Mechanisms Philippine procedural law recognises the class suit (also referred to as a class action or representative suit) as a mechanism for resolving disputes where the subject matter is of common or general interest to many persons, who are so numerous that it is imprac- ticable to join all of them individually as parties. Under Rule 3, Section 12 of the Rules of Court, a class suit may be maintained where: been improperly granted. 6.6 Summary Judgment • the subject matter of the controversy is one of common or general interest to many persons;
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