Arbitration Submission Agreement Template for the Philippines

An Arbitration Submission Agreement is a specialized legal document that enables you to resolve existing disputes through arbitration rather than pursuing lengthy court proceedings. When you and another party have a conflict that has already emerged, this agreement provides a structured pathway to settlement while avoiding the complexities and delays of traditional litigation. The document serves as a mutual commitment to alternative dispute resolution, establishing the terms and conditions under which your dispute will be arbitrated.

When do you need this document?

You should consider using an Arbitration Submission Agreement when you have an active dispute with another business entity, partner, or contractor that requires resolution. This document is particularly valuable in commercial disagreements involving contract breaches, partnership disputes, joint venture conflicts, or professional service disagreements. Unlike arbitration clauses written into contracts before disputes arise, this agreement addresses conflicts that have already materialized and need immediate attention. You may find this document essential when both parties recognize that court litigation would be too costly, time-consuming, or potentially damaging to ongoing business relationships. It's also commonly used when international companies operating in the Philippines need to resolve disputes while maintaining compliance with both local and international arbitration standards.

Key legal considerations

When drafting your Arbitration Submission Agreement, you must carefully define the scope of the dispute being submitted to arbitration, ensuring all relevant issues are clearly identified and included. The agreement should specify the number of arbitrators, their qualifications, and the selection process, as this directly impacts the legitimacy and enforceability of any resulting award. You need to establish clear procedural rules, including timelines for submissions, evidence presentation, and hearing schedules. The document must include provisions for arbitrator fees, administrative costs, and how these expenses will be allocated between parties. Additionally, you should address confidentiality requirements, the governing law for substantive issues, and the seat of arbitration, which determines the procedural law that will apply to your proceedings.

Legal requirements in Philippines

Under Philippine law, your Arbitration Submission Agreement must comply with the Alternative Dispute Resolution Act of 2004 (Republic Act No. 9285) and the Special Rules of Court on Alternative Dispute Resolution. The agreement must be in writing and signed by all parties to be legally enforceable. You must ensure that the dispute falls within the scope of arbitrable matters under Philippine law, as certain disputes involving public policy or criminal matters cannot be arbitrated. The document should reference applicable institutional rules if you choose to conduct arbitration under organizations like the Philippine Dispute Resolution Center Inc. If your dispute involves international elements, you must consider the Philippines' obligations under the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, which ensures that arbitral awards will be recognized and enforced across international borders.