PHILIPPINES Law and Practice Contributed by: Ricardo Ma P G Ongkiko, John Christian Joy A Regalado and Ma Patricia B Paz-Jacoba, SyCip Salazar Hernandez & Gatmaitan
No 876 or the UNCITRAL Model Law. The nationality and professional qualification of an arbitrator are not grounds to challenge an arbitrator unless the parties have specified the arbitrator’s nationality and/or pro - fessional qualification in their arbitration agreement. An arbitrator may be challenged if circumstances exist that give rise to justifiable doubts as to their impartial - ity or independence, or if they do not possess quali - fications agreed to by the parties. A party may chal - lenge an arbitrator appointed by them, or in whose appointment they have participated, only for reasons of which they become aware after the appointment has been made. 4.5 Arbitrator Requirements Any person appointed to serve as an arbitrator must be of legal age, in full enjoyment of his/her civil rights and able to read and write. If the following circum - stances are present, a person cannot be appointed as arbitrator: • he/she is related by blood or marriage within the sixth degree to either party to the controversy; • he/she has or has had a financial, fiduciary or other interest in the controversy, the cause to be decided or the result of the proceeding; or • he/she has any personal bias that might prejudice the right of any party to a fair and impartial award. Arbitrators must disclose any circumstances likely to give rise to justifiable doubts as to their impartiality or independence. From the time of their appointment and throughout the arbitral proceedings, an arbitrator shall disclose any such circumstances to the parties without delay unless they have already been informed of these circumstances by the arbitrator.
• the existence or validity of the arbitration agree - ment; or • the fulfilment of any condition precedent before filing a request for arbitration. Philippine courts must enforce the policy on judicial restraint and give the arbitral tribunal the first oppor - tunity to rule upon issues of jurisdiction and compe - tence. Unless the court concludes (on no more than a prima facie basis) that the arbitration agreement is null and void, inoperative or incapable of being performed, the court must suspend the action before it and refer the parties to arbitration pursuant to the arbitration agree - ment. 5.2 Circumstances for Court Intervention The courts may address the issue of an arbitral tribu - nal’s jurisdiction: • immediately after the arbitral tribunal makes a pre - liminary determination of such issue; or • at the enforcement stage, when the party against which an award is issued contests the award on the ground of the arbitral tribunal’s lack of jurisdic - tion. Before the commencement of arbitration, the court action is limited to a prima facie determination of the existence, validity and enforceability of the arbitra - tion agreement. Under the Special ADR Rules, when a court is asked to rule upon issues affecting an arbi - tral tribunal’s competence or jurisdiction, the court is mandated to exercise judicial restraint and defer to the competence or jurisdiction of the arbitral tribunal by allowing the arbitral tribunal the first opportunity to rule upon the issue of its competence or jurisdiction. 5.3 Timing of Challenge As Philippine courts must follow the principle of judi - cial restraint, parties have the right to challenge the jurisdiction of an arbitral tribunal only after the arbitral tribunal makes such a determination. The challenge may be filed:
5. Jurisdiction 5.1 Challenges to Jurisdiction
An arbitral tribunal has the first opportunity or compe - tence to rule on whether it has jurisdiction to decide a dispute submitted to it, including any objections that a party may have concerning:
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