Adopting a Harmonized Arbitrators' Compensation Schedule for All Cases

October 30, 2007

CIAC RESOLUTION NO. 12-07

ADOPTING A HARMONIZED ARBITRATORS' COMPENSATION SCHEDULE FOR ALL CASES

WHEREAS, compensation for arbitrators, in general, is based on the following stages of arbitral proceedings and percentages of arbitrators' fees due prescribed in Annex A of CIAC Resolution No. 09-2006, as amended by CIAC Resolution No. 03-2007:

1st stage	(acceptance of appointment by the arbitrator up to TOR
	signing)	22%
2nd stage	(hearing)	38%
3rd stage	(drafting of award to execution)	40%

WHEREAS, on the other hand, for cases with motions to dismiss grounded on lack of jurisdiction which are granted, in effect terminating the proceedings even before a preliminary conference is held, the compensation prescribed for arbitrators under CIAC Resolution No. 09-2007 is 10% of arbitrator's fees;

WHEREAS, for cases jointly withdrawn and/or settled by compromise agreement (regardless of whether or not a judgment/award is rendered, based on the compromise agreement), arbitrators' compensation is based on the following schedule approved during the 44th CIAC Regular Meeting held on 24 February 1998: SACHcD

Stage of withdrawal/settlement	% of Arbitrators' Fee
— Appointment of Arbitrator/s	15%
— Executive session held	30%
— Preliminary Conference held	40%
— Terms of Reference (TOR) signed	50%
— Initial Hearing held	60%
— Second Hearing held & anytime before award	70%;

WHEREAS, the above schedule was amended under CIAC Resolution No. 03-2001 prescribing 70% of arbitrators' fees as compensation if the TOR was signed and a judgment, upon motion of the parties, is rendered based on a compromise agreement; and

WHEREAS, in keeping with its general policy of compensating arbitrators for actual services rendered and/or work performed, and to provide for a fair and unified schedule applicable to all cases, the Commission, in its 101st Regular Meeting held on 27 September 2007, agreed to revisit and harmonize its policies on arbitrators' compensation;

NOW, THEREFORE, WE THE UNDERSIGNED COMMISSIONERS, after due deliberations in the 102nd CIAC Regular Meeting and by virtue of the powers vested in us by law, HEREBY RESOLVE, as it is HEREBY RESOLVED, to adopt the following harmonized schedule of arbitrators' compensation for all cases, subject to deductions for absences at any stage of the proceedings pursuant to CIAC Resolution No. 09-2006, as amended by CIAC Resolution No. 03-2007:

		% of ARBITRATORS' FEES
STAGE OF PROCEEDINGS/	Regular	Cases with Motion	Cases jointly
Milestone	Cases	to Dismiss due to	withdrawn and/or
		lack of jurisdiction,	settled by
		if granted	compromise
			agreement
			Without	Award
			Award	rendered
1st Stage
- Executive session/s held	10%	10%	10%	10%
(at the discretion of the
Tribunal); and/or hearing on
motion to dismiss/withdraw
held; motion resolved
- Preliminary Conference held	5%	N.A.	5%	5%
- TOR signed	7%	N.A.	7%	7%
*Sub-Total	22%	10%	22%	22%
	––––	––––	––––	––––
2nd Stage
- Initial/full hearing held	19%	N.A.	19%	19%
- Subsequent hearings held/
reception of evidence/final
memoranda/draft decision	19%	N.A.	19%	19%
*Sub-Total	38%	N.A.	38%	38%
	––––	––––	––––	––––
3rd Stage
- Award rendered	40%	N.A.	N.A	10%
*Sub-Total	40%	N.A.	N.A.	10%
	––––	––––	––––	––––
TOTAL	100%	10%	60%	70%
	====	====	====	====

RESOLVED FURTHER, that the above percentages of arbitrators' fees be applied in the computation of administrative fees and Arbitration Development Fund (ADF) charges. The filing fee, however shall be paid in full regardless of the stage of the proceedings. Cases dismissed or withdrawn/settled which are subsequently re-filed shall be treated as entirely new cases without crediting arbitration fees paid for the previous cases. HScCEa

UNANIMOUSLY APPROVED.

Adopted: October 30, 2007

Date Filed: December 13, 2007

THE COMMISSION:

 

(SGD.) ISAAC S. DAVID	(SGD.) SAMSON C. LAZO
Member	Member

Published in the National Administrative Register, Vol. XVIII No. 4 (October-December 2007).