rule of procedure on small claims cases _ am no_ 08-8-7_sc

8/12/2019 Rule of Procedure on Small Claims Cases _ AM No_ 08-8-7_SC

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THE RULE OF PROCEDURE FOR SMALL CLAIMS CASES

2008 Sep 9

En Banc

A.M. No. 08-8-7-SC

RULE OF PROCEDURE FOR SMALL CLAIMS CASES EFFECTIE OCTOBER !" 2008

MANILA, PHILIPPINESSEPTEMBER 2008

Republic of the PhilippinesSupree !ourt

M"nil"

COMMITTEE ON THE REISION OF THE RULES OF COURT

!h"irperson!HIE# $%STI!E RE&NAT' S( P%N'

!o)!h"irperson$%STI!E MA( ALI!IA A%STRIA)MARTINE*

MebersSENI'R $%STI!E LE'NAR+' A( %IS%MBIN-$%STI!E A+'L#' S( A*!%NA$%STI!E +ANTE '( TIN-A$%STI!E MINITA .( !HI!')NA*ARI'$%STI!E ANT'NI' E+%AR+' B( NA!H%RA

!onsult"ntsSENI'R $%STI!E #LERI+A R%TH P( R'MER' /RET(SENI'R $%STI!E $'S%E N( BELL'SILL' /RET($%STI!E $'SE !( .IT%- /RET(

$%STI!E BERNAR+' P( PAR+' /RET($%STI!E R'ME' $( !ALLE$', SR( /RET(!A $%STI!E 'S!AR M( HERRERA /RET(

Assiste1 bATT&( THE'BEN $ER+AN !( 'R'SA

Secret"rATT&( +'%-LAS #( ANAMA

Asst( Secret"rMS( LI+A A( PILAPIL

RES'L%TI'N

Actin3 on the recoen1"tion of the !h"irperson, Technic"l 4or5in3 -roup, !oittee on Re6ision of

the Rules of !ourt, subittin3 for the consi1er"tion "n1 "ppro6"l of the !ourt the propose1 7The

Rule of Proce1ure for S"ll !l"is !"ses, the !ourt Resol6e1 to APPR'.E the s"e(


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The Rule sh"ll t"5e effect on 'ctober 9, 2008 follo:in3 its public"tion in t:o /2 ne:sp"pers of

3ener"l circul"tion(

Septeber ;, 2008(

RE&NAT' S( P%N'!hief $ustice

Republic of the PhilippinesSupree !ourt

M"nil"

LE'NAR+' A( %IS%MBIN- !'NS%EL' &NARES)SANTIA-'Associ"te $ustice Associ"te $ustice

/on offici"l le"6eANT'NI' T( !ARPI' MA( ALI!IA A%STRIA)MARTINE*Associ"te $ustice Associ"te $ustice

RENAT' !( !'R'NA !'N!HITA !ARPI' M'RALESAssoci"te $ustice Associ"te $ustice

A+'L#' S( A*!%NA +ANTE '( TIN-AAssoci"te $ustice Associ"te $ustice

MINITA .( !HI!')NA*ARI' PRESBITER' $( .ELAS!', $R(Associ"te $ustice Associ"te $ustice

ANT'NI' E+%AR+' B( NA!H%RA R%BEN T( RE&ESAssoci"te $ustice Associ"te $ustice

TERESITA $( LE'NAR+')+E !ASTR' ART%R' +( BRI'NAssoci"te $ustice Associ"te $ustice

RULE OF PROCEDURE FOR SMALL CLAIMS CASES

SE!TI'N 9( Title(


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:ho h"s file1 " countercl"i "3"inst pl"intiff@

/b +efen1"nt is the p"rt "3"inst :ho the pl"intiff h"s file1 " s"ll cl"is "ction( The ter

inclu1es " pl"intiff "3"inst :ho " 1efen1"nt h"s file1 " cl"i, or " person :ho replies to the

cl"i@

/c Person is "n in1i6i1u"l, corpor"tion, p"rtnership, liite1 li"bilit p"rtnership, "ssoci"tion,

or other uri1ic"l entit en1o:e1 :ith person"lit b l":@

/1 In1i6i1u"l is " n"tur"l person@

/e Motion e"ns " p"rts reCuest, :ritten or or"l, to the court for "n or1er or other "ction( It

sh"ll inclu1e "n infor"l :ritten reCuest to the court, such "s " letter@

/f -oo1 c"use e"ns circust"nces sufficient to ustif the reCueste1 or1er or other "ction, "s

1eterine1 b the u13e@ "n1

/3 Affi1"6it e"ns " :ritten st"teent or 1ecl"r"tion of f"cts th"t "re s:orn or "ffire1 to be

true(

SE!( D( Applic"bilit(


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cl"i co6ere1 b this Rule pursu"nt to Sec( D9F of Republic Act F9G0, other:ise 5no:n "s the Loc"l

-o6ernent !o1e of 9;;9(

SE!( ( !oenceent of S"ll !l"is Action(


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SE!( ;( +isiss"l of the !l"i(( !ountercl"is 4ithin the !o6er"3e of this Rule(


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tr"ns"ction or e6ent th"t is the subect "tter of the pl"intiffs cl"i@ /c 1oes not reCuire for

its "1u1ic"tion the oin1er of thir1 p"rties@ "n1 /1 is not the subect of "nother pen1in3 "ction,

the cl"i sh"ll be file1 "s " countercl"i in the Response@ other:ise, the 1efen1"nt sh"ll be b"rre1

fro suit on the countercl"i(

The 1efen1"nt " "lso elect to file " countercl"i "3"inst the pl"intiff th"t 1oes not "rise out of

the s"e tr"ns"ction or occurrence, pro6i1e1 th"t the "ount "n1 n"ture thereof "re :ithin the

co6er"3e of this Rule "n1 the prescribe1 1oc5et "n1 other le3"l fees "re p"i1(

SE!( 9D( Prohibite1 Ple"1in3s "n1 Motions(


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SE!( 98( Non)"ppe"r"nce of P"rties(


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the !ler5 of !ourt in the court 1oc5et for ci6il c"ses "n1 " cop thereof forth:ith ser6e1 on the

p"rties(

The 1ecision sh"ll be fin"l "n1 un"ppe"l"ble(

SE!( 2D( E=ecution(


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IN+I.I+%ALJJJ !'RP'RATI'NJJ JPARTNERSHIPJJJ S'LE PR'PRIET'RSHIP JJJ

NAME '# REPRESENTATI.E? JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ

A++RESS *IP !'+EJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ JJJJJJJJJ

2( Pl"intiff is suin3 1efen1"nt for?

!A%SE '# A!TI'NJJJJJ !ollection of Su of MoneJJJJJ +""3esJJJJJ !i6il "spect of !riin"l !"seJJJJJ Enforceent of B"r"n3" A3reeent

>( Pl"intiffs c"use of "ction "rose fro "n1 is e6i1ence1 b?

A!TI'NABLE +'!%MENTS A##I+A.ITSJJJJJ Proissor Note%n1ert"5in3 Ho: "n? JJJJJ

JJJJJ !ontr"ctA3reeentJJJJJ ReceiptJJJJJ 'thers

D( The princip"l obli3"tion of 1efen1"nts "ountin3 to PJJJJJJJJJJJJJJJJJJJJJ bec"e 1ue "n11e"n1"ble on JJJJJJJJJJJJJJ( Interest "t the r"te of JJJJJJ per "nnuper onth "ccrue1 on theprincip"l su 1ue fro such 1"te of 1ef"ult(

( +espite repe"te1 1e"n1s b pl"intiff, the l"test of :hich :"s on JJJJJJJJJJJJJJJ, 1efen1"nt h"sf"ile1 to p" the obli3"tion(

G( JJJJJ/" This cl"i h"s been referre1 to the "ppropri"te b"r"n3" "uthorities but no settleent :"sre"che1 bet:een the p"rties( A !ertific"te to #ile Action :"s issue1 to the pl"intiff, the ori3in"l of :hich is

"tt"che1 hereto(

JJJJJ/b The p"rties "re not co6ere1 b the b"r"n3" "n1"tor concili"tion process un1er the Loc"l-o6ernent !o1e of the Philippines(

Pr"er

4HERE#'RE, pl"intiff respectfull pr"s for u13ent to be ren1ere1 or1erin3 1efen1"nt to p"pl"intiff the "ount of PJJJJJJJJJJJJJJJJJJJJJJJJ, :ith interest "t the r"te of JJJJ per "nnuperonth, fro JJJJJJJJJJJ, until full p"i1(

JJJJJJJJJJJJJJJJJJJJJJJJJJJ@ JJJJJ20JJJ(PLA!E 4HERE #ILE+

PLAINTI##

#'RM 9)A)S!!


10/31

.ERI#I!ATI'N AN+ !ERTI#I!ATI'N '#N'N)#'R%M SH'PPIN-

I, JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ, of le3"l "3e, /N"e

JJJJJJJJJJJJJJJJJJJJ JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ, "n1 " resi1ent /citienship /ci6il st"tus

of JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ ,

"fter h"6in3 been 1ul s:orn to in "ccor1"nce :ith l":, hereb, 1epose "n1 s"?

9( Th"t I " the JJJJJJJJJJJJJJJJJ in the "bo6e)entitle1 c"se "n1 h"6e c"use1 thisJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ to be prep"re1@ th"t I re"1 "n1 un1erstoo1 its contents :hich "re true"n1 correct of o:n person"l 5no:le13e "n1or b"se1 on "uthentic recor1s@

2( Th"t I h"6e not coence1 "n "ction or procee1in3 in6ol6in3 the s"e issue in the Supree!ourt, the !ourt of Appe"ls or "n other tribun"l or "3enc@ th"t to the best of 5no:le13e, no such

"ction or procee1in3 is pen1in3 in the Supree !ourt, the !ourt of Appe"ls or "n other tribun"l or "3enc,"n1 th"t, if I shoul1 le"rn there"fter th"t " siil"r "ction or procee1in3 h"s been file1 or is pen1in3 beforethese courts or tribun"l or "3enc, I un1ert"5e to report th"t f"ct to the !ourt :ithin fi6e / 1"s therefro(

IN 4ITNESS 4HERE'#, I h"6e hereunto set h"n1 this JJJJJJJJJJJJ 1" ofJJJJJJJJJJJJJJJJJJ, 20 JJ(

JJJJJJJJJJJJJJJJJJJJJJJAffi"nt

S%BS!RIBE+ AN+ S4'RN to before e this JJJJJJJJJ 1" of JJJJJJJJJJJJJ, 20 JJJ (

N'TAR& P%BLI!

#'RM 2)S!!

REP%BLI! '# THE PHILIPPINESJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ

JJJJJJJJJJJJJJJJJJJJJJJJJJ,Pl"intiff,

6s( !i6il !"se No( JJJJJJJJJJJJJJJJ#or? JJJJJJJJJJJJJJJJJJJJJJJJ

JJJJJJJJJJJJJJJJJJJJJJJJJJ,+efen1"nt(


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=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

S%MM'NS

T'? JJJJJJJJJJJJJJJJJJJJ JJJJJJJJJJJJJJJJJJJJ JJJJJJJJJJJJJJJJJJJJ

-REETIN-S?

&ou "re hereb reCuire1, :ithin ten /90 1"s fro receipt of this Suons, to file :ith this !ourt "n1ser6e on pl"intiff, our 6erifie1 Response to the "tt"che1 St"teent of !l"i( The for of the reCuire1Response is "tt"che1 hereto(

&ou "re reCuire1 to subit :ith our Response copies of 1ocuents "s :ell "s "ffi1"6its of "n :itnessto st"n1 "s our e6i1ence in this c"se( &ou ust present the ori3in"l 1ocuents on the 1" of the he"rin3(

A otion to 1isiss is prohibite1 "n1 sh"ll not be entert"ine1(

&our f"ilure to respon1 :ithin the 90)1" perio1 :ill "uthorie the !ourt to ren1er u13ent b"se1 solelon the St"teent of !l"i(

4itness h"n1 un1er the se"l of this !ourt, this JJJJ 1" of JJJJJJ, 20JJJJ, "tJJJJJJJJJJJJJJJJJJJJJ, Philippines(

BRAN!H !LER '# !'%RT

#'RM >)S!!



6s( !i6il !"se No( JJJJJJJJJJJJJJ

#or? JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ,+efen1"nt(

=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

RESP'NSE

+efen1"nts respectfull "lle3es?


12/31

9( +efen1"nt "1its "ll the "lle3"tions in p"r"3r"phs JJJJJJJJ of the St"teent of !l"i(

2( +efen1"nt specific"ll 1enies "ll the "lle3"tions in p"r"3r"phsJJJJJJJJ of the St"teent of !l"i(

>( +efen1"nt opposes the 3r"nt of the pr"er in the St"teent of !l"i for the follo:in3 re"sons, "ssupporte1 b the "tt"che1 1ocuents "n1 "ffi1"6its?

/enuer"te 1efenses

D( As the St"teent of !l"i is b"seless, 1efen1"nt is entitle1 to the follo:in3 countercl"is? JJJJJ Actu"l +""3es of PJJJJJJJJJJJJJJJJJJJJJJ JJJJJ Mor"l +""3es of PJJJJJJJJJJJJJJJJJJJJJJ JJJJJ E=epl"r +""3es of PJJJJJJJJJJJJJJJJJJJJJ JJJJJ !osts of suit

Pr"er

4HERE#'RE, 1efen1"nt respectfull pr"s for u13ent to be ren1ere1 1isissin3 the St"teent of!l"i, "n1 3r"ntin3 the countercl"is, or1erin3 pl"intiff to p" 1efen1"nt the follo:in3 sus?

JJJJJ Actu"l +""3es of PJJJJJJJJJJJJJJJJJJJJJJ JJJJJ Mor"l +""3es of PJJJJJJJJJJJJJJJJJJJJJJ JJJJJ E=epl"r +""3es of PJJJJJJJJJJJJJJJJJJJJJ JJJJJ !osts of suit

+E#EN+ANT

/.ERI#I!ATI'N AN+ !ERTI#I!ATI'N'# N'N) #'R%M SH'PPIN-, if :ith perissi6e countercl"i

#'RM D)S!!



6s( !i6il !"se No( JJJJJJJJJJJJJJ#or? JJJJJJJJJJJJJJJJJJJJJJJ


=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

N'TI!E '# HEARIN-


13/31

'nce issues "re oine1 upon the filin3 of the 1efen1"nts Response, this c"se :ill be c"lle1 for$u1ici"l +ispute Resolution /$+R "n1 he"rin3 before the Presi1in3 $u13e of this !ourt onJJJJJJJJJJJJJJJJJJ "t JJJJJJJJJJJ(

#"ilure of the pl"intiff to "ppe"r "t the $+R "n1 he"rin3 sh"ll c"use the 1isiss"l of the St"teentof !l"i, "n1 the 1efen1"nt :ho "ppe"rs sh"ll be entitle1 to " u13ent on his countercl"i( 'n the otherh"n1, f"ilure of the 1efen1"nt to "ppe"r "t the $+R "n1 he"rin3 sh"ll c"use the !ourt to ren1er u13entb"se1 solel on the St"teent of !l"i(

A p"rt " not be represente1 b " l":er, but " "uthorie "n other represent"ti6e to "ppe"rin his beh"lf "n1 p"rticip"te in "ll the procee1in3s "s if the p"rt represente1 :ere present( #or this purpose,the reCuire1 "uthorit shoul1 be e6i1ence1 b "ccoplishin3 the "tt"che1 #or )S!! /Speci"l Po:er ofAttorne(

4ITNESS the H'N( JJJJJJJJJJJJJJJJJJJJJJJJJ, Presi1in3 $u13e of this !ourt, this JJJJ 1" ofJJJJJJJJJJJJJ, 20JJJ, "t JJJJJJJJJJJJJJJJJJJJJJJJJJ, Philippines(

BRAN!H !LER '# !'%RT

#'RM )S!!

SPE!IAL P'4ER '# ATT'RNE&

N'4 ALL MEN B& THESE PRESENTS?

I, JJJJJJJJJJJJJJJJJJJJJJJ, of le3"l "3e, sin3le"rrie1, :ith resi1ence "tJJJJJJJJJJJJJJJJJJJJJJJJJJJ 1o hereb "ppoint, n"e "n1 constituteJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ, li5e:ise of le3"l "3e, sin3e"rrie1, :ith resi1ence "tJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ "s true "n1 le3"l represent"ti6e to "ct for "n1 in n"e "n1

ste"1 "n1 to represent e 1urin3 the he"rin3 of !i6il !"se No( JJJJJJJJJJ, to enter into "ic"blesettleent, to subit to "ltern"ti6e o1es of 1ispute resolution "n1 to "5e "1issions or stipul"tions off"cts "n1 1ocuents :ithout further consult"tion fro e(

I hereb 3r"nt represent"ti6e full po:er "n1 "uthorit to e=ecute "n1 perfor e6er "ct necess"r toren1er effecti6e the po:er to coproise "s thou3h I self h"6e so perfore1 it "n1 hereb "ppro6in3 "llth"t he " 1o b 6irtue of these presents(

In :itness :hereof, I hereunto set h"n1 this JJJJJJ 1" of JJJJJJJJJJJJJJJJJJJJ, 20JJJJJJJ, "tJJJJJJJJJJJJJJJJ(

JJJJJJJJJJJJJJJJJJJJJJJJJJJJJPrincip"l

JJJJJJJJJJJJJJJJJJJJJA3ent

4itnesses? JJJJJJJJJJJJJJJJJJJJJJJJ JJJJJJJJJJJJJJJJJJJJJJJJJJJ

/A!N'4LE+-MENT


14/31

#'RM G)S!!

REP%BLI! '# THE PHILIPPINESJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ




=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

M'TI'N T' PLEA+ AS IN+I-ENT

JJJJJJJJJJJJJJJJJJJJJ, unto this Honor"ble !ourt, respectfull "lle3es th"t?

9( I " " resi1ent of JJJJJJJJJJJJJJJJJJJ@

2( M 3ross incoe "n1 th"t of ie1i"te f"il 1oes not e=cee1 JJJJJJJJJJJJJJJJJJ @

>( I 1o not o:n re"l propert :ith "n "ssesse1 6"lue of ore th"n /"ount "s pro6i1e1 in the Re6ise1Rules of !ourt, "s "en1e1 "s sho:n b the "tt"che1 !ertific"tion issue1 b the 'ffice of the!itMunicip"l Assessor "n1 the !itMunicip"l Tre"surers 'ffice@

D( +ue to fin"nci"l constr"int, I c"nnot "ffor1 to p" for the e=penses of " court liti3"tion "s I 1o not h"6e

enou3h fun1s for foo1, shelter "n1 other b"sic necessities@

( Shoul1 the court ren1er u13ent in f"6or, the "ount of the 1oc5et "n1 other le3"l fees :hich I:"s e=epte1 fro p"in3 sh"ll be " lien on the u13ent, unless the court or1ers other:ise(

4HERE#'RE, preises consi1ere1, it is respectfull pr"e1 th"t I be e=epte1 fro the p"ent of1oc5et "n1 other le3"l fees "s in1i3ent pursu"nt to Section 29, Rule > in rel"tion to Section 98, Rule 9D9 ofthe Re6ise1 Rules of !ourt(

'ther reliefs ust "n1 eCuit"ble un1er the preises "re li5e:ise pr"e1 for(

PLAINTI##

#'RM F)S!!


JJJJJJJJJJJJJJJJJJJJJJJJJJ,


15/31

Pl"intiff,



=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

M'TI'N #'R APPR'.AL '# !'MPR'MISE A-REEMENT

The p"rties respectfull "lle3e th"t?

9( Pl"intiff file1 this cl"i "3"inst 1efen1"nt for?

JJJJJJJJJJJJJ collection of su of one JJJJJJJJJJJJJ 1""3es JJJJJJJJJJJJJ ci6il "spect of criin"l c"se JJJJJJJJJJJJJ enforceent of b"r"n3" "3reeent

JJJJJJJJJJJJJ reco6er of person"l propert

2( The p"rties h"6e coe to "n "ic"ble settleent "n1 h"6e e=ecute1 " coproise "3reeent :ith thefollo:in3 ters "n1 con1itions(

/cop ters "n1 con1ition here

>( The p"rties "3ree th"t the "ppro6"l of this "3reeent b the !ourt sh"ll put "n en1 to this liti3"tion,e=cept for purposes of e=ecution in c"se of 1ef"ult(

4HERE#'RE, preises consi1ere1, the p"rties respectfull pr" th"t the court "ppro6e this "3reeent"n1 ren1er u13ent on the b"sis thereof(

JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ, 20JJJJJJJ(

JJJJJJJJJJJJJJJJJJJJJJJ JJJJJJJJJJJJJJJJJJJJJJJJPl"intiff +efen1"nt

#'RM 8)S!!/Motion for 6olunt"r 1isiss"l of the cl"i "n1 countercl"i

REP%BLI! '# THE PHILIPPINESJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ

JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ





16/31

=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

$'INT M'TI'N

Pl"intiff "n1 1efen1"nt, unto this Honor"ble !ourt, respectfull "lle3e th"t?

9( Pl"intiff "n1 1efen1"nt h"6e utu"ll "n1 6olunt"ril settle1 their cl"i "n1 countercl"i to the entires"tisf"ction of e"ch other@ "n1

2( The p"rties no lon3er h"6e " c"use of "ction "3"inst e"ch other(

4HERE#'RE, preises consi1ere1, pl"intiff "n1 1efen1"nt respectfull pr" th"t the pl"intiffsst"teent of cl"i "n1 1efen1"nts countercl"i incorpor"te1 in his response be 1isisse1(

'ther reliefs ust "n1 eCuit"ble un1er the preises "re li5e:ise pr"e1 for(


JJJJJJJJJJJJJJJJJJJJJJJJJJJJJ JJJJJJJJJJJJJJJJJJJJJJJJJJJJ

Pl"intiff +efen1"nt

To the Br"nch !ler5 of !ourt?

Ple"se subit the fore3oin3 otion for the consi1er"tion of the !ourt :ithout he"rin3 "n1 further"r3uent fro the p"rties(

JJJJJJJJJJJJJJJJJJJJJJJJJJ JJJJJJJJJJJJJJJJJJJJJJJJJPl"intiff +efen1"nt

N'TI!E '# HEARIN-

NAME '# +E#EN+ANT /I# #ILE+ B& PLAINTI##

NAME '# PLAINTI## /I# #ILE+ B& +E#EN+ANT

NAME '# !LER '# !'%RT(

Ple"se be notifie1 th"t the un1ersi3ne1 :ill subit the fore3oin3 otion for the consi1er"tion "n1"ppro6"l of the !ourt on JJJJJJJJJJJJJJJJJ "t JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ,20JJJJJJJ(

JJJJJJJJJJJJJJJJJJJJJJJJPl"intiff+efen1"nt

N'TI!E '# HEARIN-

NAME '# +E#EN+ANT


17/31

/I# #ILE+ B& PLAINTI##

NAME '# PLAINTI## /I# #ILE+ B& +E#EN+ANT

NAME '# !LER '# !'%RT(

Ple"se be notifie1 th"t the un1ersi3ne1 :ill subit the fore3oin3 otion for the consi1er"tion "n1"ppro6"l of the !ourt on JJJJJJJJJJJJJJJJJ "t JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ,20JJJJJJJ(

JJJJJJJJJJJJJJJJJJJJJJJJPl"intiff+efen1"nt

#'RM 90)S!!

REP%BLI! '# THE PHILIPPINES

JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ




=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

A-REEMENT

H"6in3 f"ile1 to resol6e the "tter throu3h $u1ici"l +ispute Resolution, pl"intiff "n1 1efen1"nt hereb"3ree th"t $u13e JJJJJJJJJJJJJJJJJ sh"ll continue :ith the he"rin3 on the inst"nt "tter "n1 hereb:"i6e their ri3ht to h"6e " 1ifferent u13e he"r the c"se(


JJJJJJJJJJJJJJJJJJJJJJJJJJJ JJJJJJJJJJJJJJJJJJJJJJJPl"intiff +efen1"nt

#'RM 99)S!!/Referr"l to p"irin3 u13e



18/31




=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

'R+ER

In 6ie: of the f"ilure of u1ici"l 1ispute resolution "n1 there bein3 no "3reeent fro the p"rties to letthe un1ersi3ne1 continue he"rin3 the inst"nt c"se, the recor1 of this c"se is tr"nsitte1 to the 'ffice of the!ler5 of !ourt for ie1i"te referr"l b the E=ecuti6e $u13e to the P"irin3 $u13e for he"rin3 "n1 1ecisionpursu"nt to Section 29 of the Rule of Proce1ure for S"ll !l"is !"ses(

S' 'R+ERE+(


JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ$%+-E

#'RM 92)S!!

REP%BLI! '# THE PHILIPPINESJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ

JJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ




=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

+E!ISI'N BASE+ 'N !'MPR'MISE A-REEMENT

Pl"intiff file1 this c"se "3"inst 1efen1"nt for JJJJJJJJJJJJJJJJJJJJJ in the "ount ofJJJJJJJJJJJJJJJJJJJJJJJJ(

+efen1"nt 1enie1 pl"intiffs cl"i on the 3roun1 of JJJJJJJJJJJJJJJJJ "n1 set up "countercl"i for JJJJJJJJJJJJJJJJJJJJJJJ(

The p"rties, ho:e6er, re"che1 "n "ic"ble settleent "n1 subitte1 to the court " coproise"3reeent, the ters "n1 con1itions of :hich "re "s follo:s?


19/31

It "ppe"rin3 th"t the "3reeent is not contr"r to l":, or"ls, 3oo1 custos, public or"l "n1public polic, "n1 pursu"nt to Articles 2028 "n1 20>F of the !i6il !o1e of the Philippines, the s"e ishereb APPR'.E+ "n1 A+'PTE+ "s the +ecision of this court(

The p"rties "re hereb or1ere1 to f"ithfull copl :ith the ters "n1 con1itions of the"3reeent(


JJJJJJJJJJJJJJJJJJJJJJJJ$%+-E

#'RM 9> S!!





=) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )=

+ E ! I S I ' N

This is " s"ll cl"is "ction for /st"te :hich of the cl"is or 1e"n1s belo: is the subect of the"ction file1?

O#or one o:e1 un1er "n of the follo:in3?9( !ontr"ct of le"se@2( !ontr"ct of lo"n@>( !ontr"ct of ser6ices@D( !ontr"ct of s"le@ or( !ontr"ct of ort3"3e@

#or 1""3es "risin3 fro?9( #"ult or ne3li3ence@2( u"si)contr"ct@ or


20/31

>( !ontr"ct@

The enforceent of " b"r"n3" "ic"ble settleent or "n "rbitr"tion ":"r1 in6ol6in3 " onecl"i co6ere1 b this Rule pursu"nt to Section D9F of Republic Act F9G0, other:ise 5no:n "s The Loc"l-o6ernent !o1e of 9;;9(

Pl"intiff "lle3es th"t /st"te "teri"l "lle3"tions "n1 pr"er in the St"teent of !l"i(

+efen1"nt "lle3es th"t /st"te re"sons for 1eni"l of the cl"i "n1 other "teri"l "lle3"tions in theResponse inclu1in3 countercl"is, if "n(

'n /1"te, both p"rties "ppe"re1 1urin3 the he"rin3 con1ucte1 b /st"te n"e of $u13e :hocon1ucte1 the $+R( St"te :hether p"rties "ppe"re1 person"ll or throu3h " speci"ll "uthorie1represent"ti6e(

!onsi1erin3 the f"ilure of the p"rties to "rri6e "t "n settleent of the 1ispute, this courtprocee1e1 :ith the he"rin3 of the c"se :hich :"s terin"te1 on JJJJJJJJJJJJJJJJJJ(

The issue to be resol6e1 b this court is :hetherJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJJ(

Pl"intiffs e6i1ence consists of? /st"te 1ocuents of pl"intiff, "ffi1"6its subitte1, if "n, "n1st"teents "1e b pl"intiff "n1 :itnesses un1er o"th 1urin3 the he"rin3(

+efen1"nts e6i1ence consists of? /st"te 1ocuents of 1efen1"nt, "ffi1"6its subitte1, if "n, "n1st"teents "1e b 1efen1"nt "n1 :itnesses un1er o"th 1urin3 the he"rin3(

This court fin1s th"t the cl"i of pl"intiff /or 1efen1"nt in " countercl"i is /st"te :hethereritorious or 1e6oi1 of erit un1er ArticleSection /st"te the "pplic"ble pro6isions of l": or pursu"nt toest"blishe1 urispru1ence /cite "pplic"ble urispru1ence( In this c"se, this court foun1 th"t /st"te first thef"ctu"l fin1in3s est"blishe1 b the e6i1ence "n1 then the le3"l conclusions(

4herefore, the /cl"icountercl"i is /3r"nte11enie1( This court or1ers

JJJJJJJJJJJJJJJJJJJJ to p" to JJJJJJJJJJJJJJJJJJJJJJJ the "ount of /st"te the onet"r ":"r1 or1""3es :ith interest of /if "pplic"ble un1er !i6il !o1e "n1or settle1 urispru1ence until full p"i1(

S' 'R+ERE+(/+"te of 1ecision(

/Si3n"turePresi1in3 $u13e

/or P"irin3 $u13e in the "bsenceof :ritten "3reeent of thep"rties th"t the c"se sh"ll be

he"r1 b the Presi1in3 $u13e:ho con1ucte1 the $+R

!op furnishe1?

All p"rties'ffice of the !ler5 of !ourt of JJJJJJJJJJJJ


21/31

RATI'NALE of the Propose1 Rule of Proce1ure for S"ll !l"is !"ses

A( Intro1uction

The ost si3nific"nt recurrin3 thee of e6er pro3r" for u1ici"l refor of the Supree !ourt is thepressin3 nee1 for " ore "ccessible, uch s:ifter "n1 less e=pensi6e 1eli6er of ustice(

%n1eni"bl, the slo: 3rin1 of the :heels of ustice is the result of " 6"riet of f"ctors, foreost of :hich isthe perenni"l con3estion of court 1oc5ets :hich h"s tr"nsfore1 court liti3"tion into " protr"cte1 b"ttle,th"t in6"ri"bl e=h"usts the tie, effort "n1 resources of p"rt)liti3"nts, especi"ll the poor( M"nstr"te3ies h"6e been 1e6ise1 to unclo3 he"6 court 1oc5ets, "n1 one such "ppro"ch is the use of "n1"torPre)tri"l "n1 Altern"ti6e +ispute Resolution ech"niss such "s e1i"tion, "rbitr"tion "n1 concili"tion(Another schee th"t h"s been :i1el use1 in "n forei3n le3"l sstes but :hich h"s et to be trie1 inthe Philippines is the s"ll cl"is c"se processin3 etho1 use1 b s"ll cl"is courts, often referre1 to "sthe 7Peoples !ourt, "s it coes ost 1irectl into cont"ct :ith the citienr of " uris1iction(

S"ll cl"is courts "re courts of liite1 uris1iction th"t he"r ci6il c"ses bet:een pri6"te liti3"nts( !ourts"uthorie1 to tr s"ll cl"is " "lso h"6e other u1ici"l functions, "n1 the n"e b :hich such " court is5no:n 6"ries b uris1iction? it " be 5no:n b such n"es "s count court or "3istr"tes court( S"llcl"is courts c"n be foun1 in Austr"li", !"n"1", Irel"n1, Isr"el, Ne: *e"l"n1, South Afric", Hon3 on3,

Sin3"pore, the %nite1 in31o "n1 the %nite1 St"tes(

B( The Histor "n1 the Refors of S"ll !l"is !ourt

9( In the %nite1 St"tes9

#or "lost " centur no:, s"ll cl"is courts h"6e pro6i1e1

" for of "ltern"ti6e 1ispute resolution /A+R in the %nite1 St"tes(

'ri3in"tin3 "roun1 9;92 or 9;9>, these courts :ere est"blishe1 pri"ril "s " e"ns for s"ll businessesto collect one fro borro:ers throu3h " process th"t :"s f"ster, less for"l, "n1 less e=pensi6e th"ntr"1ition"l ci6il liti3"tion(

#ollo:in3 the le"1 of the est"blishent of the initi"l s"ll cl"is court in "ns"s, %SA in 9;92 or 9;9>,e6er st"te in the %nite1 St"tes h"s cre"te1 soe for of " s"ll cl"is court sste(

Althou3h the fin"nci"l cl"is liits, etho1s of proce1ure, "n1 o6er"ll structure 6"r fro st"te to st"te,the concept is essenti"ll the s"e, i(e(, th"t rel"ti6el inor 1isputes, in6ol6in3 1oll"r "ounts th"t "reinsufficient to :"rr"nt processin3 the c"se throu3h the nor"l court proce1ure, ustif e=pe1itious "n1siplifie1 h"n1lin3(

The consuer ustice refor o6eents of the 9;G0s "n1 9;F0s brou3ht rene:e1 rese"rch "n1 interest inthe s"ll cl"is courts( This o6eent eph"sie1 the nee1 for refor of s"ll cl"is courts to f"cilit"tethe "1u1ic"tion of consuer 3rie6"nces(

Althou3h 7consuer ustice reforers :ere concerne1 th"t businesses "n1 corpor"tions :ere ore li5elto use "ttornes in s"ll cl"is courts thereb pl"cin3 ine=perience1 in1i6i1u"l 1efen1"nts "t "1is"16"nt"3e, stu1ies sho:e1 th"t 1efen1"nts :ith "n "ttorne :ere ore li5el to :in "3"inst pl"intiffsth"n unrepresente1 1efen1"nts, :here"s pl"intiffs :ithout "ttornes 1i1 ust "s :ell "s represente1 pl"intiffs"3"inst unrepresente1 1efen1"nts(

The result :"s "n "ppr"is"l of the nee1 to b"r "ttornes "n1 collection "3encies fro the s"ll cl"iscourts(


22/31

S"ll cl"is courts in the %nite1 St"tes "re often consi1ere1 courts of eCuit "n1 "re not necess"ril boun1b the letter of the l":( These courts h"6e fle=ibilit to use ore holistic "ppro"ches to proble sol6in3"n1 1ispute resolution th"n :h"t is tpic"l(

Most u13es "ct "ccor1in3 to :h"t "5es sense to the, e6en if this e"ns settin3 "si1e le3"l for"lities(Moreo6er, tr"1ition"l rules of e6i1ence "n1 court processes 1o not "ppl( The rules of s"ll cl"is courtseph"sie concili"tion "n1 pr"3"tis o6er :innin3, "n1 rules of e6i1ence "n1 ci6il proce1ure h"6e beensiplifie1 to "llo: "=iu "ccess to the courts b in1i6i1u"ls un"ble to "ffor1 "n "ttorne(

2( S"ll !l"is !ourts in !"n"1"2

All pro6inces in !"n"1" h"6e proce1ures for s"ll cl"is( In 3ener"l, there "re t:o 1ifferent o1els( Inost pro6inces, "s in British !olubi", Albert", "n1 ne: Bruns:ic5, s"ll cl"is courts oper"tein1epen1entl of the superior courts( In other uris1ictions, the s"ll cl"is courts "re either br"nches or1i6isions of the superior courts

The s"ll cl"is courts "re e"nt to be "n e"sier "n1 less e=pensi6e :" to resol6e 1isputes th"n in thesuperior courts( S"ll !l"is !ourt proce1ure is re3ul"te1 both b pro6inci"l le3isl"tion "n1 rules in ostpro6inces( It is siplifie1 "n1 less costl :ith no strict ple"1in3 reCuireents "n1 for"l 1isco6erprocess(

>( S"ll !l"is !ourts in En3l"n1 "n1 4"les>

#ro e"rl ties, En3l"n1 h"1 " tr"1ition of loc"l courts :here or1in"r en coul1 pursue ustice in thefor of ci6il cl"is :ithout the "i1 of l":ers( Soe :ere set up b loc"l st"tutes, others b custo( Theseloc"l courts coul1 not 5eep p"ce :ith the ch"n3es in societ brou3ht "bout b the In1ustri"l Re6olution( Bthe 98>0s, the 1ec"1e of 3re"t liber"l refor, there :"s " 3re"t public ":"5enin3 to the ur3ent nee1 forconstitution"l refor in the "1inistr"tion of ustice( The result :"s the !ount !ourts Act of 98DG,1escribe1 in its pre"ble "s "n 7Act #or The More E"s Reco6er of S"ll +ebts "n1 +e"n1s inEn3l"n1( It :"s initi"ll " poor "ns court( An1re: Aos, the first u13e "t M"rlebone !ount,1escribe1 re3ul"r liti3"nts "s bein3 7" 3re"t proportion of the poorer cl"sses, 3"inin3 their li6elihoo1s bbric5l"in3, 3"r1enin3 or other out of 1oor occup"tions "n1 :ho subsist upon cre1it in the :inter onths,"n1 copl"ints "3"inst :ho "re usu"ll issue1 in the suer onths( The count courts uris1iction for

cl"is brou3ht in contr"ct "n1 tort 3r"1u"ll incre"se1 fro Q0 in 9888 to Q,000 in 9;8D(

The purpose "n1 structure of the count court sste h"s in "n :"s re"ine1 the s"e since 98DG( The"i is still to "5e

ci6il ustice "6"il"ble loc"ll there "re no: 22> count courts in En3l"n1 "n1 4"les( The h"6econtinue1 to be responsi6e to the nee1s of s"ller c"ses :hich, "lthou3h s"ll in ters of their fin"nci"l6"lue, "re iport"nt to the liti3"nts in6ol6e1( Ho:e6er, recent 1ec"1es h"6e seen t:o "or ch"n3es inrel"tion to s"ll cl"is first, the intro1uction of " 1e1ic"te1 s"ll cl"is proce1ure in 9;F> "n1secon1l, the intro1uction of the !i6il Proce1ure Rules refors of 9;;8 :ith eph"sis on proportion"lit(

Since $"nu"r 9;;G, :hen the s"ll cl"is liit in En3l"n1 "n1 4"les :"s treble1 o6erni3ht to Q>,000,1istrict u13es h"6e been e=pecte1 to pl" the role of 7inter6entionist "n1 "ssist liti3"nts in presentin3 their

o:n c"ses person"ll "t s"ll cl"is he"rin3s(

Li5e "1u1ic"tors in other p"rts of the :orl1, 1istrict u13es in these countries h"6e been encour"3e1 tointer6ene to "n incre"sin3 e=tent "t s"ll cl"is he"rin3s( Such inter6entionis is, in1ee1, 6it"l "n1"lthou3h there " be :i1e 6"ri"tions bet:een uris1ictions in the etho1s th"t "re "1opte1 to 1e"l :iths"ll cl"is, the i1e" of the "1u1ic"tor freel enterin3 the "ren" of the 1ispute to "ssist unrepresente1liti3"nts is fun1"ent"l in "lost "ll "tters "bout s"ll cl"is(

D( S"ll !l"is Tribun"ls in Sin3"pore


23/31

The S"ll !l"is Tribun"ls in Sin3"pore h"6e been in oper"tion since 9 #ebru"r 9;8( The Tribun"lsh"6e fulfille1 "n inte3r"l role in pro6i1in3 the counit :ith "ccessible ustice for ci6il cl"is in6ol6in3s"ll "ounts( ."rious fe"tures "n1 pro3r"s h"6e been put in pl"ce to enh"nce "ccess to ustice for thecounit, b reo6in3 b"rriers such "s cost, 1el", 1ist"nce, tie "n1 incon6enience( The Tribun"ls,constitute1 "s p"rt of the Subor1in"te !ourts of Sin3"pore, :ere est"blishe1 for the pri"r purpose ofpro6i1in3 " Cuic5 "n1 ine=pensi6e "6enue for the resolution of s"ll cl"is "risin3 fro 1isputes bet:eenconsuers "n1 suppliers( There :"s " nee1 for " less e=pensi6e "n1 less for"l foru to 1e"l :ith suchs"ll cl"is( Hence, in 9;8, the S"ll !l"is Tribun"ls Act :"s p"sse1, :hich "uthorie1 the settin3 upof one or ore Tribun"ls to help consuers :ho h"6e cl"is of up to 2,000 rel"tin3 to 1isputes "risin3fro contr"cts for the s"le of 3oo1s or the pro6ision of ser6ices(

!( Intro1uction of the !oncept of S"ll !l"is !ourt in the Philippines

The i1e" of est"blishin3 S"ll !l"is !ourts in the Philippines :"s first propose1 to the Supree !ourtthrou3h " stu1 con1ucte1 in 9;;; b $ustice $osue N( Bellosillo, forer Senior Associ"te $ustice of theSupree !ourt( After obser6in3 s"ll cl"is courts "n1 inter6ie:in3 u13es of such courts in +"ll"s,Te="s, %nite1 St"tes in 9;;;, $ustice Bellosillo propose1 in " Report th"t courts c"n be est"blishe1 in thePhilippines to h"n1le e=clusi6el s"ll cl"is :ithout the p"rticip"tion of l":ers "n1 :here or1in"rliti3"nts c"n prosecute "n1 1efen1 " s"ll cl"is "ction throu3h re"1)"1e fors( He en6isione1 thes"ll cl"is courts "s "nother positi6e "ppro"ch, in "11ition to "n1"tor pre)tri"l, for sol6in3 court

con3estion "n1 1el"(G The stu1 "n1 report :"s subseCuentl en1orse1 for le3isl"ti6e "ction to Sen"tor#r"n5lin +rilon :ho l"ter fun1e1 " proect for this purpose(

At the re3ul"r session of the #ourteenth !on3ress, House Bill No( 2;29 entitle1 7An Act Est"blishin3S"ll !l"is !ourts :"s intro1uce1 b !on3ress"n $ose .( &"p( There"fter, on $ul >, 200F, Sen"teBill No( 800 entitle1 7Philippine S"ll !l"is !ourt Act :"s file1 b Sen"tor R"on A( Re6ill", $r( "n1,on Septeber >, 200F, the bill p"sse1 #irst Re"1in3 "n1 :"s referre1 to the !oittee/s on $ustice "n1Hu"n Ri3hts "n1 #in"nce( The s"e is still pen1in3 :ith these coittees "t present(

In 200F, the %nite1 St"tes A3enc for Intern"tion"l +e6elopent /%SAI+ ":"r1e1 " t:o)e"r 3r"nt to theAeric"n B"r Associ"tion) Rule of L": Initi"ti6e /ABA)R'LI to pursue u1ici"l refor "cti6ities in thePhilippines for the fisc"l perio1 'ctober 200F to Septeber >0, 200; ( In " letter to !hief $ustice Ren"toS( Puno 1"te1 'ctober 90, 200F, ABA)R'LI propose1 the est"blishent of s"ll cl"is pilot courts

"on3 first le6el courts in 1ifferent re3ions of the Philippines( The s"ll cl"is pilot court proect :"spropose1 b ABA to %SAI+ "fter consult"tion :ith 6"rious Supree !ourt offici"ls in conunction :iththe 2000 Action Pl"n for $u1ici"l Refor( Aon3 the critic"l issues bein3 "11resse1 b the AP$R "re c"secon3estion "n1 1el"( The con3estion of c"se 1oc5ets is centr"l to " ultitu1e of probles, either "s c"useor effect@ it is either the "nifest"tion or the source of other 1ifficulties( A11ressin3 this concern is thus "niper"ti6e8 :hich is :h present refors in u1ici"l sstes "n1 proce1ures h"6e inclu1e1 the follo:in3?

9( stre"linin3 proce1ur"l rules to eliin"te pro6isions th"t c"use 1el" "n1 perit 1il"tor t"ctics@

2( re)en3ineerin3 the uris1iction"l structure of the courts to ensure e"s 3eo3r"phic"l "ccess to the courtsp"rticul"rl b the poor liti3"nts@

>( ipro6in3 the c"se "n"3eent sste to:"r1 ore tr"nsp"renc, "ccount"bilit "n1 inte3rit of the

u1ici"l process "n1 for better efficienc@ "n1

D( stren3thenin3 of the e1i"tion ech"nis to proote e"rl 1ispute resolution n"tion:i1e(This in6ol6esthe institution"li"tion of court)"nne=e1 e1i"tion, "n1 the est"blishent of " Me1i"tion !enter tocontinu"ll onitor "n1 "ssess the perfor"nce of the sste "n1 pro6i1e tr"inin3 "n1 rese"rch(

Not:ithst"n1in3 the "bsence of " l": "t the present tie cre"tin3 s"ll cl"is courts in our countr, theSupree !ourt throu3h " pro3r" in p"rtnership :ith ABA)R'LI "n1 %SAI+, c"n proul3"te "n1ipleent " siplifie1 rule of proce1ure e=clusi6el for s"ll cl"is "n1 "ssi3n " cert"in nuber ofe=istin3 first le6el courts to t"5e co3ni"nce of s"ll cl"is( This 1oes not nee1 le3isl"ti6e "ction "s the


24/31

!ourt c"n 1esi3n"te se6er"l first le6el courts "ll o6er the countr to up)st"rt the pilot proect( Thus,pursu"nt to its rule)"5in3 po:er, the !ourt un1er the present !onstitution c"n "1opt " speci"l rule ofproce1ure to 3o6ern s"ll cl"is c"ses "n1 select pilot courts th"t :oul1 epo:er the people to brin3 suitsbefore the pro se to resol6e le3"l 1isputes in6ol6in3 siple issues of l": "n1 proce1ure :ithout the nee1for le3"l represent"tion "n1 e=tensi6e u1ici"l inter6ention( This sste :ill enh"nce "ccess to usticeespeci"ll b those :ho c"nnot "ffor1 the hi3h costs of liti3"tion e6en in c"ses of rel"ti6el s"ll 6"lue(9>It is en6isione1 th"t b f"cilit"tin3 the tr"ffic of c"ses throu3h siple "n1 e=pe1itious rules "n1 e"ns, our!ourt c"n ipro6e the perception of ustice in this countr, thus 3i6in3 citiens " rene:e1 7st"5e inpreser6in3 pe"ce in the l"n1( This is " hopeful ess"3e to our people th"t 7there is no nee1 to 1esp"ir forthere is 1eli6er"nce in l":@ th"t is " proise th"t h"s been fulfille1 b l": in the p"st@ it is " proise l"::ill "3"in fulfill in the future(9D

In +eceber 200F, the Supree !ourt est"blishe1 " Technic"l 4or5in3 -roup copose1 of the !ourtA1inistr"tor, the Pro3r" M"n"3eent 'ffice A1inistr"tor, selecte1 u13es "n1 other offici"ls of theSupree !ourt "n1 the Inte3r"te1 B"r of the Philippines to un1ert"5e the follo:in3 "cti6ities?

9( The 1e6elopent of Rules "n1 Proce1ures to Ipleent Pilot S"ll !l"is !ourts@

2( The est"blishent of !riteri" to Select Appropri"te Re3ions$u13es for Pilot S"ll !l"is !ourts "n1set Peso Liits for the S"ll !l"is !ourts@

>( Throu3h the Philippine $u1ici"l Ac"1e, the con1uct of tr"inin3 pro3r"s for $u13es "n1 theirpersonnel p"rticip"tin3 in the Pilot S"ll !l"is !ourts proect@ "n1

D( The eploent of 7$ustice on 4heels buses to l"unch pilot s"ll cl"is tribun"ls(

'n $une 2>, 2008, the Technic"l 4or5in3 -roup fin"lie1 its 1r"ft of " Rule of Proce1ure for S"ll !l"is!"ses( Hi3hli3hts of the Propose1 Rule "re the follo:in3?

I( The Rule 3o6erns the proce1ure in "ctions before the first le6el courts, i(e(, Metropolit"n Tri"l !ourts,Municip"l Tri"l !ourts in !ities, Municip"l Tri"l !ourts "n1 Municip"l !ircuit Tri"l !ourts /e=clu1in3Sh"ri" !ircuit !ourts for the p"ent of one :here the 6"lue of the cl"i 1oes not e=cee1 'neHun1re1 Thous"n1 Pesos /P900,000(00 e=clusi6e of interest "n1 costs(

E=pl"n"tor Note? The purpose of " s"ll cl"is process is to pro6i1e "n ine=pensi6e "n1 e=pe1itiouse"ns to settle 1isputes o6er s"ll "ounts( #or purposes of the proect, the "ount h"s been set for cl"isin6ol6in3 "ounts of not ore th"n P900,000(00(

The theor behin1 the s"ll cl"is sste is th"t or1in"r liti3"tion f"ils to brin3 pr"ctic"l ustice to thep"rties :hen the 1ispute1 cl"i is s"ll, bec"use the tie "n1 e=pense reCuire1 b the or1in"r liti3"tionprocess is so 1isproportion"te to the "ount in6ol6e1 th"t it 1iscour"3es " ust resolution of the 1ispute(The s"ll cl"is process is 1esi3ne1 to function Cuic5l "n1 infor"ll(

There "re no "ttornes, no for"l ple"1in3s "n1 no strict le3"l rules of e6i1ence( The s"ll cl"is courtsste is not " 7tpic"l inferior court( P"rties "re encour"3e1 to file s"ll cl"is court "ctions to resol6etheir inor 1isputes "s oppose1 to resortin3 to self)help or forcible e"ns to see5 their ree1( /P"ce 6(

Hillcrest Motor !o(, 9G9 !"l( Rptr( GG>, GGD !t( App( 9;80

II( This Rule "pplies to "ll "ctions th"t "re? /" purel ci6il in n"ture :here the cl"i or relief pr"e1 for bthe pl"intiff is solel for p"entreiburseent of " su of one, "n1 /b the ci6il "spect of criin"l"ctions, either file1 prior to the institution of the criin"l "ction, or reser6e1 upon the filin3 of the criin"l"ction in court, pursu"nt to Rule 999 of the Re6ise1 Rules of !riin"l Proce1ure( These cl"is or 1e"n1s" be?

"( #or one o:e1 un1er "n of the follo:in3?


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9( !ontr"ct of le"se@ 2( !ontr"ct of lo"n@ >( !ontr"ct of ser6ices@ D( !ontr"ct of s"le@ or ( !ontr"ct of ort3"3e@

b( #or 1""3es "risin3 fro?

9( #"ult or ne3li3ence@ 2( u"si)contr"ct@ or >( !ontr"ct@

c( Enforceent of " b"r"n3" "ic"ble settleent or "n "rbitr"tion ":"r1 in6ol6in3 one cl"is co6ere1b this Rule pursu"nt to Sec( D9F of Republic Act No( F9G0, other:ise 5no:n "s the 7Loc"l -o6ernent!o1e of 9;;9(

E=pl"n"tor Note? The 5in1s of c"ses th"t c"n be file1 in S"ll !l"is !ourt 6"r, but the c"se ust see5one onl( #or e="ple, " suit c"nnot be brou3ht in S"ll !l"is !ourt to force " person or business tofi= " 1""3e1 3oo1@ or to 1e"n1 fulfillent of " proise1 obli3"tion :hich is not purel for one, or tosee5 one to copens"te for p"in "n1 sufferin3( Soe of the 5in1s of c"ses :hich "re "llo:e1 "s s"ll

cl"is inclu1e the follo:in3?

9( Actu"l 1""3e c"use1 to 6ehicles, other person"l propert, re"l propert or person@

2( P"ent or reiburseent for propert, 1eposit, or one lo"ne1@

>( P"ent for ser6ices ren1ere1, insur"nce cl"i, rent, coissions, or for 3oo1s sol1 "n1 1eli6ere1@

D( Mone cl"i pursu"nt to " contr"ct, :"rr"nt or "3reeent@ "n1

( Purel ci6il "ction for p"ent of one co6ere1 b bounce1 or stoppe1 chec5(

III( A s"ll cl"is "ction is coence1 b filin3 :ith the court "n "ccoplishe1 "n1 6erifie1 St"teent of

!l"i in 1uplic"te, "ccop"nie1 b " !ertific"tion of Non)#oru Shoppin3, "n1 t:o /2 1ul certifie1photocopies of the "ction"ble 1ocuents subect of the cl"i, "s :ell "s the "ffi1"6its of :itnesses "n1other e6i1ence to support the cl"i( No e6i1ence sh"ll be "llo:e1 1urin3 the he"rin3 :hich :"s not"tt"che1 to or subitte1 to3ether :ith the !l"i, unless 3oo1 c"use is sho:n for the "1ission of"11ition"l e6i1ence(

I.( Pl"intiff " oin in " sin3le St"teent of !l"i one or ore sep"r"te s"ll cl"is "3"inst " 1efen1"nt"s lon3 "s the tot"l "ount cl"ie1, e=clusi6e of interest "n1 costs, 1oes not e=cee1 P900,000(00(

.( The pl"intiff sh"ll p" the prescribe1 fees upon filin3, unless "llo:e1 to liti3"te "s "n in1i3ent(

.I( #or purposes of this Rule? /" Pl"intiff is the p"rt :ho h"s file1 " s"ll cl"is "ction( The terinclu1es " 1efen1"nt :ho h"s file1 " countercl"i "3"inst " pl"intiff@

/b +efen1"nt is the p"rt "3"inst :ho the pl"intiff h"s file1 " s"ll cl"is "ction( The ter inclu1es "pl"intiff "3"inst :ho " 1efen1"nt h"s file1 " cl"i, or " person :ho replies to the cl"i@ /c Person is "nin1i6i1u"l, corpor"tion, p"rtnership, liite1 li"bilit p"rtnership, "ssoci"tion, or other entit@ /1 In1i6i1u"lis " n"tur"l person@ /e Motion e"ns " p"rts reCuest, :ritten or or"l, to the court for "n or1er or other"ction( It sh"ll inclu1e "n infor"l :ritten reCuest to the court, such "s " letter@ /f -oo1 c"use e"nscircust"nces sufficient to ustif the reCueste1 or1er or other "ction, "s 1eterine1 b the u13e@ "n1 /3Affi1"6it e"ns " :ritten st"teent or 1ecl"r"tion of f"cts th"t "re s:orn or "ffire1 to be true(


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/l Inter6entions(

KII( A6"il"bilit of #ors for the P"rties :ho sh"ll be "ssiste1 b !ler5 of !ourt(

KIII( The p"rties ust person"ll "ppe"r "t the he"rin3@ if un"ble, then throu3h " 1esi3n"te1 represent"ti6e:ho ust be 1ul "uthorie1 to enter into "n "ic"ble settleent(

KI.( Attornes "re not "llo:e1 "t the he"rin3, e=cept "s pl"intiff or 1efen1"nt( Ho:e6er this 1oes notpreclu1e the fro offerin3 their ser6ices in "ssistin3 the p"rt to " s"ll cl"is c"se to prep"re for thehe"rin3 or for other "tters outsi1e of the he"rin3( If the court 1eterines th"t " p"rt c"nnot properlpresent hisher cl"i or 1efense "n1 nee1s "ssist"nce, the court ", in its 1iscretion, "llo: "notherin1i6i1u"l, :ho is not "n "ttorne, to "ssist th"t p"rt upon the l"tters consent(

E=pl"n"tor Note? E=cept "s peritte1 b this section, no "ttorne sh"ll "ppe"r in " s"ll cl"is "ctione=cept :hen the l"tter sh"ll "int"in or 1efen1 "n "ction in "n of the follo:in3 c"p"cities?

/9 B or "3"inst hiself or herself@

/2 B or "3"inst " p"rtnership in :hich he or she is " 3ener"l p"rtner "n1 in :hich "ll the p"rtners "re"ttornes@ or

/> B or "3"inst " profession"l corpor"tion of :hich he or she is "n officer or 1irector "n1 of :hich "llother officers "n1 1irectors "re "ttornes(

Nothin3 in this section sh"ll pre6ent "n "ttorne fro 1oin3 "n of the follo:in3?

/9 Pro6i1in3 "16ice to " p"rt to " s"ll cl"is "ction, either before or "fter the coenceent of the"ction@ or

/2 Subittin3 "n "ffi1"6it "s " :itness for " p"rt in or1er to st"te f"cts of :hich he or she h"s person"l5no:le13e "n1 "bout :hich he or she is copetent to 1o so(

If the court 1eterines th"t " p"rt 1oes not spe"5 or un1erst"n1 En3lish or #ilipino sufficientl to

coprehen1 the procee1in3s or 3i6e testion, to the Cuestions of the court, if "n, "n1 nee1s "ssist"nce inso 1oin3, the court " perit "nother in1i6i1u"l /other th"n "n "ttorne to "ssist th"t p"rt( If the courtinterpreter or other copetent interpreter of the l"n3u"3e or 1i"lect 5no:n to the p"rt is not "6"il"ble to"i1 th"t p"rt in " s"ll cl"is "ction, "t the first he"rin3 of the c"se the court sh"ll postpone the he"rin3one tie onl to "llo: the p"rt the opportunit to obt"in "nother in1i6i1u"l /other th"n "n "ttorne to"ssist th"t p"rt( An "11ition"l continu"nces sh"ll be "t the soun1 1iscretion of the court(

K.( Non)"ppe"r"nce of P"rties( #"ilure of the pl"intiff to "ppe"r sh"ll be " c"use for the 1isiss"l of thecopl"int :ithout preu1ice( The 1efen1"nt :ho "ppe"rs sh"ll be entitle1 to u13ent on " perissi6ecountercl"i(

'n the other h"n1, f"ilure of the 1efen1"nt to "ppe"r sh"ll h"6e the s"e effect "s f"ilure to file " Responseun1er Section 92 of this Rule( This ho:e6er sh"ll not "ppl :here one of t:o or ore 1efen1"nts sue1

un1er " coon c"use of "ction "n1 :ho ple"1e1 " coon 1efense sh"ll "ppe"r "t the he"rin3(

#"ilure of both p"rties to "ppe"r sh"ll c"use the 1isiss"l :ith preu1ice of both the cl"i "n1countercl"i(

K.I( A reCuest for postponeent of " he"rin3 " be 3r"nte1 onl upon proof of the phsic"l in"bilit ofthe p"rt to "ppe"r before the court on th"t 1"te "n1 tie( E6er p"rt " "6"il of onl one /9postponeent(


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E=pl"n"tor Note? A p"rt " subit "n or"l or :ritten reCuest to postpone " he"rin3 1"te for 3oo1 c"use,"s follo:s?

/9 If the :ritten reCuest is in :ritin3, it " be "1e either b letter or on " for "1opte1 or "ppro6e1 bthe Supree !ourt@

/2 The reCuest sh"ll be file1 before the he"rin3 1"te "n1 "ccop"nie1 b proof of phsic"l in"bilit, unlessthe court 1eterines th"t the reCuestin3 p"rt h"s 3oo1 c"use to file the reCuest on the 1"te of he"rin3 itself@"n1

/> If the court fin1s th"t the interests of ustice :oul1 be ser6e1 b postponin3 the he"rin3, the court sh"ll1o so "n1 sh"ll notif "ll p"rties b "il on the s"e 1" of the ne: he"rin3 1"te, tie "n1 pl"ce(

This Section 1oes not liit the inherent po:er of the court to or1er postponeents of he"rin3s in strictl"ppropri"te circust"nces(

The postponeent fee of 'ne Hun1re1 Pesos /or "s pro6i1e1 in Rule 9D9, Re6ise1 Rules of !ourt, "s"en1e1 on Le3"l #ees sh"ll be ch"r3e1 "n1 collecte1 before the filin3 of " reCuest for postponeent "n1resche1ulin3 of " he"rin3 1"te(

K.II( $u1ici"l +ispute Resolution( At the he"rin3, the court sh"ll e=ert "ll efforts to encour"3e the p"rtiesto resol6e their 1ispute throu3h e1i"tion, concili"tion, e"rl neutr"l e6"lu"tion or "n other o1e of $+R(An settleent or resolution of the 1ispute sh"ll be re1uce1 into :ritin3, si3ne1 b the p"rties, "n1subitte1 to the court for "ppro6"l(

K.III( If $+R f"ils "n1 the p"rties "3ree in :ritin3 /#or 90)S!! th"t the he"rin3 of the c"se sh"ll bepresi1e1 o6er b the u13e :ho con1ucte1 the $+R, the he"rin3 sh"ll so procee1 in "n infor"l "n1e=pe1itious "nner "n1 terin"te1 :ithin one /9 1"(

Absent such "3reeent, /" in c"se of " ulti)s"l" court, the c"se sh"ll, on the s"e 1", be tr"nsitte1/#or 99)S!! to the 'ffice of the !ler5 of !ourt for ie1i"te referr"l b the E=ecuti6e $u13e to thep"irin3 u13e for he"rin3 "n1 1ecision :ithin fi6e / :or5in3 1"s fro referr"l@ "n1 /b in c"se of " sin3les"l" court, the p"irin3 u13e sh"ll he"r "n1 1eci1e the c"se in the court of ori3in :ithin fi6e / :or5in3

1"s fro referr"l b the $+R u13e(

E=pl"n"tor Note? In he"rin3s before the s"ll cl"is court, :itnesses sh"ll still be s:orn in( The u13esh"ll con1uct the he"rin3 in "n infor"l "nner so "s to 1o subst"nti"l ustice bet:een the p"rties( Theu13e sh"ll h"6e the 1iscretion to "1it "ll e6i1ence :hich " be of prob"ti6e 6"lue "lthou3h not in"ccor1"nce :ith for"l rules of pr"ctice, proce1ure, ple"1in3 or e6i1ence pro6i1e1 in the Rules of !ourt,e=cept th"t pri6ile3e1 counic"tions sh"ll not be "1issible( The obect of such he"rin3s sh"ll be to1eterine the ri3hts of the liti3"nts on the erits "n1 to 1ispense e=pe1itious ustice bet:een the p"rties(

An inter6entionist role b u13es in such he"rin3s is effecti6e in elicitin3 e6i1ence fro liti3"nts in person(It is seen b unrepresente1 p"rties "s " 7helpin3 h"n1 :hich the "ppreci"te, pro6i1e1 th"t u13es "6oi1the 1"n3er of "ppe"rin3 to be p"rti"l( B 1iscussin3 the f"cts of the c"se, u13es fin1 :h"t coon 3roun11oes e=ist bet:een the p"rties( This ten1s to n"rro: the 1ifferences bet:een the p"rties "n1 "5e the fin"l

u1ici"l 1ecision e"sier :here"s tr"1ition"l open court tri"ls, :ith the presence of l":ers "n1 the use ofcross)e="in"tion ten1 to pol"rie the p"rties, incre"se "nt"3onis "n1 hei3hten the 1ifferences(

In this re3"r1, Lor1 4oolf, -re"t Brit"ins c"se "n"3eent e=pert, h"s obser6e1?

7The role of the u13e in s"ll cl"is is not onl th"t of "n "1u1ic"tor( It is " 5e s"fe3u"r1 of the ri3hts ofboth p"rties( In ost c"ses, the u13e is effecti6el " substitute for " le3"l represent"ti6e( His 1ut is to"scert"in the "in "tters "t issue, to elicit the e6i1ence, to re"ch " 6ie: on the f"cts of the "tter "n1 to3i6e " 1ecision(


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In soe c"ses he " encour"3e the p"rties to settle( In 1oin3 so he shoul1 ensure th"t both p"rties h"6epresente1 the e6i1ence "n1 c"lle1 the :itnesses 3er"ne to their c"se "n1 th"t he h"s i1entifie1 "n1consi1ere1 "n issue of l": :hich is pertinent to the c"se in h"n1( He ust "lso hol1 the rin3 "n1 ensureth"t e"ch p"rt h"s " f"ir ch"nce to present his o:n c"se "n1 to ch"llen3e th"t of his opponent(9

The 5e u1ici"l s5ills in con1uctin3 such he"rin3s "re to "int"in " b"l"nce bet:een infor"lit "n1f"irness, to ensure " le6el pl"in3 fiel1 "n1 to protect the :e"5 "n1 the scrupulous( In pr"ctice, this is"chie6e1 b pre6entin3 interruptions "n1 p"rties t"l5in3 o6er e"ch other, "n1 "5in3 it cle"r th"t bothp"rties :ill h"6e plent of tie to s" "ll th"t the :ish before the en1 of the he"rin3(

KIK( +ecision( After the he"rin3, the court sh"ll, on the s"e 1", ren1er its 1ecision usin3 the forpro6i1e1( The 1ecision sh"ll ie1i"tel be entere1 b the !ler5 of !ourt in the court 1oc5et for ci6ilc"ses "n1 " cop thereof ser6e1 on the p"rties( The 1ecision is fin"l "n1 un"ppe"l"ble(

E=pl"n"tor Note? +espite the rel"ti6e infor"lit of the proce1ure, u13ents "re b"se1 upon " strict"pplic"tion of the subst"nti6e l": "n1 "n obecti6e u1ici"l "n"lsis of the f"cts( The u13e is 1ut)boun1 to3i6e the le3"l b"sis for the fin1in3s(

The prohibition "3"inst "ppe"ls "ssures ie1i"te "n1 s:ift ustice(

The ri3ht to "ppe"l is not " n"tur"l ri3ht nor " p"rt 1ue process(

It is erel " st"tutor pri6ile3e "n1 " proce1ur"l ree1 of st"tutor ori3in, " ree1 th"t " bee=ercise1 onl in the "nner "n1 in "ccor1"nce :ith the pro6isions of the l": "uthoriin3 such e=ercise(

The "pplic"ble pro6isions of the l": "llo:in3 "ppe"ls fro 1ecisions of the first le6el courts "re Sections>G "n1 >8 of B(P( Bl3( 92;, "s "en1e1, "lso 5no:n "s 7The $u1ici"r Reor3"ni"tion Act of 9;80(

The proce1ure on "ppe"l is subect to the liit"tions "n1 restrictions pro6i1e1 b this Act "n1 "n suchrules "s the Supree !ourt " here"fter prescribe( Sec( >G of B(P( Bl3( 92; pro6i1es "n inst"nce :hereinthe Supree !ourt " "1opt speci"l proce1ures, inclu1in3 c"ses :here "ppe"l " not be "llo:e1, to"chie6e "n e=pe1itious "n1 ine=pensi6e 1eterin"tion of p"rticul"r c"ses reCuirin3 su"r 1isposition(

KK( E=ecution( If the 1ecision is ren1ere1 in f"6or of the pl"intiff, e=ecution sh"ll issue upon otion /#or;)S!!(

En1notes?

9 7The Peoples !ourt E="ine1? A Le3"l "n1 Epiric"l An"lsis of the S"ll !l"is !ourt Sste, bBruce Tuc5er "n1 Monic" Her, S"n #r"ncisco L": Re6ie:, 4inter 200>(

2 en(:i5ipe1i"(or3:i5is"llJcl"isJcourt(

> 7S"ll !l"is He"rin3s? The Inter6entionist Role Pl"e1 b +istrict $u13es b $ohn B"l1:in, !i6il$ustice u"rterl, S:eet "n1 M"=:ell Liite1 "n1 !ontributors, $"nu"r 9F, 9;;8(

D See Note 2(

7The Sin3"pore S"ll !l"is Tribun"ls Accessible $ustice to the !ounit b !hon3 "h 4ei,p"per prep"re1 for the 2n1 Annu"l AI$A Tribun"ls !onference hel1 in S1ne, Austr"li" on 90 Septeber9;;;(

G 7A Mor"l Ren"iss"nce #or " L"stin3 Pe"ce, Speech 1eli6ere1 b Senior Associ"te $ustice $osue N(Bellosillo "s enote Spe"5er of the >r1 Annu"l N"tion"l Sein"r)!on6ention of the Philippine Tri"l$u13es Le"3ue, Inc( on the thee 7!h"pionin3 Pe"ce Throu3h $ustice, hel1 >) 'ctober 2002 "t PrincePl"" Hotel, B"3uio !it(


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F 7The Tot"lit of Refors for " Tr"nsfore1 $u1ici"r b #orer !hief $ustice Arteio .( P"n3"nib"n/ret(, The !ourt Sstes $ourn"l, +eceber 200, p( G;(

8 Action Pro3r" for $u1ici"l Refor /AP$R 2009)200G publishe1 b the Supree !ourt in Au3ust 2009,p( G(

; Ibi1(

90 Suppleent to AP$R, publishe1 b the Supree !ourt in 2009 "t p( 2)92(

99 See Note F "t p( 92(

92 See Note ; "t p( 2)9(

9> Meor"n1u #or the Honor"ble Ren"to S( Puno, !hief $ustice of the Supree !ourt, 1"te1 +eceber9;, 200F, fro !ourt A1inistr"tor *en"i1" N( Elep"o, Re? Propos"l to Est"blish " Pilot Proect on S"ll!l"is !ourts in #irst Le6el !ourts in the Philippines(

9D 7$ustice, Pe"ce "n1 +e6elopent? The Role "n1 Responsibilit of L":ers, Article b !hief $ustice

Ren"to S( Puno, The !ourt Sstes $ourn"l, M"rch 200G, .olue 99 No( 9, p( 2G(

9 See Note >, 20)>D "t !h"pter 2G(

TE!HNI!AL 4'RIN- -R'%P

H'N( *ENAI+A N( ELEPAN'

!ourt A1inistr"tor /Ret('ffice of the !ourt A1inistr"tor!h"irperson

A!A THELMA !( BAHIA'ffice of the !ourt A1inistr"tor.ice)!h"irperson

MebersA!A $'SE MI+AS P( MAR%E*!hief $u1ici"l St"ff He"1, 'ffice of the !hief $ustice!hief, Public Infor"tion 'ffice

$%+-E M&RA -( #ERNAN+E*RT!, Br"nch 98, M"nil"

$%+-E AN-ELENE MAR& %IMP')SALERT!, Br"nch 90G, ueon !it

$%+-E MARIA #IL'MENA +( SIN-HRT!, Br"nch 8, ueon !it

$%+-E -ERMAN' #RAN!IS!' +( LE-ASPI


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RT!, Br"nch >9, M"nil"

$%+-E LEL% P( !'NTRERASRT!, Br"nch D>, .ir"c, !"t"n1u"nes

MR( E+ILBERT' A( +A.IS!hief, Pro3r" M"n"3eent 'ffice

ATT&( 'RLAN+' B( !ARI'Philippine $u1ici"l Ac"1e

ATT&( S&-RI+ M( PR'MENTILLAPro3r" M"n"3eent 'ffice

ATT&( ALI!IA A( RIS'S).I+ALInte3r"te1 B"r of the Philippines

rule of procedure on small claims cases _ am no_ 08-8-7_sc

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