Re: Proposed Amendments to Sections 2 and 8 of A.M. No. 08-8-7-SC or the Revised Rules of Procedure for Small Claims Cases

February 26, 2019

RE: PROPOSED AMENDMENTS TO SECTIONS 2 AND 8 OF A.M. NO. 08-8-7-SC OR THE REVISED RULES OF PROCEDURE FOR SMALL CLAIMS CASES

RESOLUTION

WHEREAS, in its 21 November 2000 Resolution in A.M. No. 08-8-7-SC, the Supreme Court approved the Rules of Procedure for Small Claims Cases, which took effect on 1 October 2008 and was implemented in twenty-two (22) pilot courts nationwide; HTcADC

WHEREAS, in its 18 March 2010 Resolution in A.M. No. 08-8-7-SC, the Court promulgated the Amended Rules of Procedure for Small Claims Cases and made it effective to all first level courts nationwide, the prominent feature of which included fixing the jurisdictional amount at One Hundred Thousand Pesos (P100,000.00);

WHEREAS, in Memorandum Order No. 32-2015 dated 11 August 2015, the Special Committee on Small Claims Cases (Committee) was created to "review the existing Rules of Procedure for Small Claims Cases to fulfill the Judiciary's objective of expediting trial and resolving cases effectively and efficiently'';

WHEREAS, in its 8 December 2015 Resolution in A.M. No. 08-8-7-SC, the Court, upon the recommendation of the Committee, its Chairperson and its Technical Working Group (TWG), approved the Revised Rules of Procedure for Small Claims Cases, which took effect on 1 February 2016, and increased the threshold amount from One Hundred Thousand Pesos (P100,000.00) to Two Hundred Thousand Pesos (P200,000.00);

WHEREAS, in its 19 July 2018 Resolution in A.M. No. 08-8-7-SC, the Court, upon the recommendation of the Chairperson of the Committee and the TWG, increased the threshold amount from Two Hundred Thousand Pesos (P200,000.00) to Three Hundred Thousand Pesos (P300,000.00) and amended Sections 2 and 8 of the Revised Rules of Procedure for Small Claims Cases;

WHEREAS, in his 18 February 2019 Memorandum addressed to the Honorable Chief Justice Lucas P. Bersamin, Court Administrator Jose Midas P. Marquez recommended that "the threshold amount of small claims cases in the Metropolitan Trial Courts (MeTCs) be increased from Three Hundred Thousand Pesos (P300,000.00) to Four Hundred Thousand Pesos (P400,000.00)" and "Sections 2 and 8, Revised Rules of Procedure for Small Claims Cases, be amended" for "a more consistent, streamlined application of procedural rules and speedier and more efficient disposition of money claims cases";

WHEREAS, in the same Memorandum, Court Administrator Marquez explained that as a result of the increase in the threshold amount from Two Hundred Thousand Pesos (P200,000.00) to Three Hundred Thousand Pesos (P300,000.00), "all actions for money claims filed before the Municipal Trial Courts in Cities, Municipal Trial Courts, and Municipal Circuit Trial Courts are now governed by the (Revised) Rules of Procedure for Small Claims Cases, since these courts have a jurisdictional limit of Three Hundred Thousand Pesos (P300,000.00)" while "money claims filed before the MeTCs, which have a jurisdictional ceiling of Four Hundred Thousand Pesos (P400,000.00), are governed either by the (Revised) Rules of Procedure for Small Claims Cases for claims up to Three Hundred Thousand Pesos (P300,000.00), or the Rules on Summary Procedure for claims above Three Hundred Thousand Pesos (P300,000.00)";

WHEREAS, Court Administrator Marquez reported that based on court statistics, "high compliance rates with the timelines laid down by the (Revised) Rules (of Procedure for Small Claims Cases) would indicate that increasing the threshold amount of small claims will not unduly burden the MeTCs";

WHEREAS, acting on the recommendation of Court Administrator Marquez, submitting for consideration and approval of the Court the proposed amendments to Sections 2 and 8 of the Revised Rules of Procedure for Small Claims Cases, the Court resolved to APPROVE the same, so as to read as follows:

SEC. 2. Scope. — These Rules shall govern the procedure in actions before the Metropolitan Trial Courts (MeTCs), Municipal Trial Courts in Cities (MTCCs), Municipal Trial Courts (MTCs), and Municipal Circuit Trial Courts (MCTCs) for payment of money where the value of claim does not exceed the jurisdictional amount of these courts under Republic Act No. (R.A.) 7691 (Four Hundred Thousand Pesos [P400,000.00] for the MeTCs and Three Hundred Thousand Pesos [P300,000.00] for the MTCCs, MTCs, and MCTCs), exclusive of interest and costs.

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SEC. 8. Joinder of Claims. — Plaintiff may join in a single statement of claim one or more separate small claims against a defendant provided that the total amount claimed, exclusive of interest and costs, does not exceed the jurisdictional amount of the concerned court under R.A. 7691 (Four Hundred Thousand Pesos [P400,000.00] for the MeTCs and Three Hundred Thousand Pesos [P300,000.00] forthe MTCCs, MTCs, and MCTCs).

The appropriate Small Claims forms are likewise amended to reflect the increased threshold amount of P400,000.00 for the MeTCs.

These amendments to Sections 2 and 8, and the relevant Small Claims Forms of the Revised Rules of Procedure for Small Claims Cases shall take effect on April 1, 2019, following its publication in two (2) newspapers of general circulation. aScITE

(SGD.) LUCAS P. BERSAMINChief Justice

(SGD.) ANTONIO T. CARPIOAssociate Justice

(SGD.) DIOSDADO M. PERALTAAssociate Justice

(SGD.) MARIANO C. DEL CASTILLOAssociate Justice

(SGD.) ESTELA PERLAS-BERNABEAssociate Justice

(SGD.) MARVIC M.V.F. LEONENAssociate Justice

(SGD.) FRANCIS H. JARDELEZAAssociate Justice

(SGD.) ALFREDO BENJAMIN S. CAGUIOAAssociate Justice

(SGD.) ANDRES B. REYES, JR.Associate Justice

(SGD.) ALEXANDER G. GESMUNDOAssociate Justice

(SGD.) JOSE C. REYES, JR.Associate Justice

(SGD.) RAMON PAUL L. HERNANDOAssociate Justice

(SGD.) ROSMARI D. CARANDANGAssociate Justice

Published in the Philippine Daily Inquirer on March 15, 2019.