Mediation Agreement (Philippines)
MEDIATION AGREEMENT
Alternative Dispute Resolution Act of 2004 (Republic Act No. 9285), Chapter 3
This Mediation Agreement ("Agreement") is entered into on [Agreement Date] by and between:
FIRST PARTY: [First Party Name], with address at [First Party Address]; AND
SECOND PARTY: [Second Party Name], with address at [Second Party Address].
1. AGREEMENT TO MEDIATE
1.1 The Parties hereby agree to submit the following dispute to mediation: [Dispute Description].
1.2 The mediator shall be: [Mediator].
1.3 Mediation sessions shall be conducted at: [Mediation Venue].
1.4 The costs of mediation, including the mediator's fees, shall be [Cost Allocation].
2. MEDIATION PROCESS
2.1 The Parties agree to participate in mediation in good faith and to attend all scheduled mediation sessions personally or through duly authorized representatives with full authority to negotiate and bind their respective principals.
2.2 The mediator shall have no authority to impose a decision on the Parties. The mediator's role is to facilitate communication and assist the Parties in identifying options for resolution under Section 3(q) of Republic Act No. 9285.
2.3 Either Party may withdraw from mediation at any time by written notice to the mediator and the other Party.
3. CONFIDENTIALITY
3.1 All communications, proposals, admissions, and information shared during mediation proceedings are strictly confidential under Section 9 of Republic Act No. 9285 and Rule 17 of the Special Rules of Court on ADR (A.M. No. 07-11-08-SC, 2009).
3.2 No Party shall introduce any mediation communication as evidence in any subsequent arbitral, judicial, or quasi-judicial proceeding.
3.3 The mediator may not be compelled to testify in any proceeding regarding communications made during mediation.
4. SETTLEMENT
4.1 If the Parties reach a settlement, the terms shall be reduced to a written Settlement Agreement or Compromise Agreement signed by all Parties.
4.2 The settlement agreement may be submitted to the appropriate court for approval as a judgment on compromise under Rule 17 of the Rules of Court and Section 17 of Republic Act No. 9285, making it immediately enforceable by writ of execution.
IN WITNESS WHEREOF, the Parties have signed this Mediation Agreement on the date first written above.
[First Party Name]
First Party
[Second Party Name]
Second Party
First Party
________________
Signature
Second Party
________________
Signature
What Is a Mediation Agreement (Philippines)?
A Mediation Agreement in the Philippines documents how the parties have resolved their differences and the obligations each takes on under the settlement.
A Mediation Agreement in the Philippines is distinct from a Settlement Agreement or Compromise Agreement in that the mediation agreement merely commits the parties to the process — not to any specific outcome. The mediator has no power to impose a decision; the mediator's role is to support communication and assist the parties in identifying options under Section 3(q) of RA 9285. If the mediation results in a settlement, the parties then execute a separate Settlement Agreement or Compromise Agreement documenting the agreed terms.
The two principal forms of mediation in the Philippines are: (1) Court-Annexed Mediation (CAM) under A.M. No. 11-1-6-SC-PHILJA — mandatory for most civil cases filed before the Regional Trial Courts, Metropolitan Trial Courts, and Municipal Trial Courts before the pre-trial conference, conducted at Philippine Mediation Centers; and (2) Private Mediation — voluntary mediation conducted outside the court system through private mediators or institutions such as the PDRCI Mediation Center or the Export and Domestic Market Resource Center of the Department of Trade and Industry (DTI) under RA 9285.
Under Section 13 of RA 9285, if mediation results in a settlement, the parties may request the mediator to prepare the settlement agreement. When submitted to and approved by the court under Section 17 of RA 9285, the settlement has the same effect as a compromise judgment under Rule 17 of the Rules of Court — immediately executory without the need for appeal.
The legal framework governing the Mediation Agreement (Philippines) in Philippines draws on several key statutes and regulatory bodies. Under Philippine law, the Civil Code of the Philippines (Republic Act No. 386) governs contractual obligations. The Revised Corporation Code (Republic Act No. 11232) regulates corporate entities through the Securities and Exchange Commission (SEC). The Labor Code of the Philippines (Presidential Decree No. 442) and Department of Labor and Employment (DOLE) govern employment matters. The Data Privacy Act of 2012 (Republic Act No. 10173) and the National Privacy Commission (NPC) protect personal data. The Bureau of Internal Revenue (BIR) administers tax obligations under the National Internal Revenue Code. Parties executing a Mediation Agreement (Philippines) in Philippines should confirm the document reflects current law, including any amendments enacted since the original drafting date. The Revised Corporation Code (RA 11232, 2019) sets the foundational requirements.
When Do You Need a Mediation Agreement (Philippines)?
A Mediation Agreement in the Philippines is needed whenever parties want to initiate private mediation for an existing dispute without filing a court case, or to govern the terms of a mediation process that has been agreed upon outside the court-annexed mediation system.
A Mediation Agreement is needed when business partners in a Philippine general or limited partnership under the Civil Code (Articles 1767-1867) disagree on management decisions, profit distributions, or dissolution terms, and want to resolve the dispute confidentially through a neutral mediator before considering arbitration or litigation.
A Mediation Agreement is needed when landlords and tenants under a commercial lease agreement governed by the Civil Code (Articles 1642-1688) have disputes over rental arrears, property damage, or lease renewal terms, and prefer the cost-efficient mediation process over filing an unlawful detainer case before the Metropolitan Trial Court.
A Mediation Agreement is needed in family property disputes — including partition of co-owned property under Articles 484-501 of the Civil Code — where family relationships make the adversarial court process destructive and where a mediated settlement preserves ongoing family relationships.
A Mediation Agreement is needed for labor-management disputes between a certified labor union and management under the Labor Code (PD 442, Article 261) referred to voluntary arbitration or preventive mediation under the National Conciliation and Mediation Board (NCMB), which operates under Department Order No. 40-03 (2003) and its amendments.
A Mediation Agreement is needed when parties to a pending court case want to attempt settlement through the Philippine Mediation Center (PMC) before the pre-trial conference under A.M. No. 11-1-6-SC-PHILJA, formalizing their commitment to engage in good faith mediation. The agreement sets the ground rules — confidentiality, conduct of sessions, and authority of party representatives.
Parties in Philippines should prepare a Mediation Agreement (Philippines) proactively rather than waiting for a dispute to arise. Courts interpret agreements based on the written terms rather than oral representations. Under Philippine law, the Civil Code of the Philippines (Republic Act No. 386) governs contractual obligations. The Revised Corporation Code (Republic Act No. 11232) regulates corporate entities through the Securities and Exchange Commission (SEC). The Labor Code of the Philippines (Presidential Decree No. 442) and Department of Labor and Employment (DOLE) govern employment matters. The Data Privacy Act of 2012 (Republic Act No. 10173) and the National Privacy Commission (NPC) protect personal data. The Bureau of Internal Revenue (BIR) administers tax obligations under the National Internal Revenue Code. Where the transaction involves regulated activities, prior approval from the relevant authority may be required before execution.
What to Include in Your Mediation Agreement (Philippines)
A valid Mediation Agreement for the Philippines under Republic Act No. 9285 and A.M. No. 01-10-5-SC-PHILJA must contain the following essential elements.
Parties and Representatives: Full legal names and addresses of all parties, plus the names and authority of party representatives who will attend mediation sessions. Representatives must have authority to negotiate and bind their principals — corporate representatives must carry a Secretary's Certificate under the Revised Corporation Code (RA 11232, Section 23) confirming their authority to settle.
Appointment of Mediator: Name the mediator or state the process for selecting the mediator (e.g., mutual agreement within 5 days of signing; or selection from the PDRCI Mediators Panel; or designation by the Philippine Mediation Center under A.M. No. 01-10-5-SC-PHILJA). State any required qualifications — a PMC-accredited mediator for court-annexed mediation must be trained under the PMC Mediator Accreditation Program.
Description of the Dispute: A summary of the dispute submitted for mediation, including the approximate amount in controversy and whether any case is pending before any court or government agency.
Good Faith Participation: A commitment by both parties to participate in mediation in good faith — attending sessions, disclosing relevant information, and authorizing their representatives to settle. Under Section 10 of RA 9285, a party who fails to appear for mediation without justifiable cause may be ordered by the court to pay costs.
Confidentiality: A confidentiality clause under Section 9 of RA 9285 and Rule 17 of the Special Rules of Court on ADR (A.M. No. 07-11-08-SC) prohibiting disclosure of any information shared during mediation — including proposals, admissions, and the fact of mediation itself — in any court or arbitral proceedings. This is the mediation privilege that makes mediation a safe forum for candid settlement discussions.
Costs: Allocation of mediation fees and mediator compensation. For private mediation through PDRCI, mediator fees are agreed directly with the mediator. For PMC court-annexed mediation, filing fees are set by the Supreme Court schedule.
Effect of Settlement: Specify that any settlement reached shall be reduced to writing and signed by all parties, and that it may be submitted to court for approval as a compromise judgment under Rule 17 of the Rules of Court and Section 17 of RA 9285.
Additional compliance elements for a Mediation Agreement (Philippines) used in Philippines include: Under Philippine law, the Civil Code of the Philippines (Republic Act No. 386) governs contractual obligations. The Revised Corporation Code (Republic Act No. 11232) regulates corporate entities through the Securities and Exchange Commission (SEC). The Labor Code of the Philippines (Presidential Decree No. 442) and Department of Labor and Employment (DOLE) govern employment matters. The Data Privacy Act of 2012 (Republic Act No. 10173) and the National Privacy Commission (NPC) protect personal data. The Bureau of Internal Revenue (BIR) administers tax obligations under the National Internal Revenue Code. Forms-legal.com provides this template as a starting point for Philippines-compliant documentation.
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Forms Legal. (2026). Mediation Agreement (Philippines) (Philippines) [Legal document template]. Forms Legal. https://forms-legal.com/philippines/business/contracts/mediation-agreement-philippines
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title = {Mediation Agreement (Philippines) (Philippines)},
year = {2026},
howpublished = {\url{https://forms-legal.com/philippines/business/contracts/mediation-agreement-philippines}},
note = {Free legal document template. Based on Revised Corporation Code (RA 11232, 2019)}
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Frequently Asked Questions
Mediation is mandatory before trial for most civil cases in the Philippines under two distinct systems. First, the Katarungang Pambarangay Law (Sections 399-422 of the Local Government Code, Republic Act No. 7160) requires barangay conciliation and mediation before the Lupong Tagapamayapa for most civil and criminal disputes between residents of the same city or municipality involving amounts up to PHP 400,000 (in Metro Manila and cities) or PHP 200,000 (in municipalities). Cases filed in court without the required barangay certification of non-settlement are dismissed for failure to comply with a condition precedent. Second, Court-Annexed Mediation (CAM) under A.M. No. 11-1-6-SC-PHILJA is mandatory for all civil cases before the Regional Trial Courts and Metropolitan Trial Courts after the filing of the last pleading and before the pre-trial conference. Parties must attend CAM at the Philippine Mediation Center before the judge conducts the pre-trial. If CAM fails, the case proceeds to Judicial Dispute Resolution (JDR) before a different judge before trial.
Mediation is confidential in the Philippines under Section 9 of the Alternative Dispute Resolution Act of 2004 (Republic Act No. 9285) and Rule 17 of the Special Rules of Court on ADR (A.M. No. 07-11-08-SC). Section 9 provides that information obtained in mediation proceedings — including mediation communications, documents prepared specifically for mediation, and the fact that settlement discussions occurred — is privileged and confidential and may not be disclosed in any arbitral, judicial, or quasi-judicial proceeding. A mediator may not be compelled to testify in any proceeding about the content of mediation communications. The confidentiality privilege survives the conclusion of mediation whether or not it results in settlement. Under Section 9(d) of RA 9285, parties may agree in writing to lift confidentiality, but such waiver must be explicit. Court-annexed mediation proceedings at the Philippine Mediation Centers are similarly confidential under the PMC guidelines (A.M. No. 01-10-5-SC-PHILJA), and mediators are bound by a strict code of conduct that prohibits disclosure of mediation communications.
In private mediation under a Mediation Agreement governed by Republic Act No. 9285, if a party refuses to participate, the mediation fails and the other party may proceed to arbitration (if an arbitration agreement exists) or file a court case. The refusing party cannot be compelled by a Philippine court to participate in private mediation, as mediation requires the voluntary participation of all parties under Section 3(q) of RA 9285. However, the refusing party may face contractual consequences if the Mediation Agreement contains a good faith participation clause. For court-annexed mediation (CAM) under A.M. No. 11-1-6-SC-PHILJA, a party who fails to appear for mediation without good cause may be subject to sanctions under Section 6 of the CAM Guidelines, including being held in contempt of court and being required to pay the costs of mediation. For barangay mediation under the Katarungang Pambarangay Law (RA 7160, Section 408), non-appearance before the Lupong Tagapamayapa may result in the Lupon Chairman certifying the case for court filing, and the non-appearing party may face criminal charges for violation of the Local Government Code.
Mediation and arbitration in the Philippines are both alternative dispute resolution mechanisms under the Alternative Dispute Resolution Act of 2004 (Republic Act No. 9285), but they differ fundamentally in process and outcome. In mediation, a neutral mediator facilitates communication and negotiation between the parties but has no power to impose a decision — the outcome depends entirely on the parties' voluntary agreement under Section 3(q) of RA 9285. In arbitration, the arbitrator or arbitral tribunal hears evidence from both parties and renders a binding award under Sections 22-33 of RA 9285, enforceable by the courts like a final judgment. Mediation preserves party autonomy and is typically faster (1-5 sessions) and less expensive than arbitration; it also preserves ongoing business or personal relationships better than the adversarial arbitration process. However, because mediation is non-binding until a settlement is reached, it may result in no resolution if one party refuses to settle. The typical ADR escalation clause in Philippine contracts provides for mediation first, followed by arbitration if mediation fails, and finally litigation before the Regional Trial Court as a last resort.
Mediator qualifications in the Philippines depend on the type of mediation. For Philippine Mediation Center (PMC) court-annexed mediation under A.M. No. 01-10-5-SC-PHILJA, a mediator must complete the PMC Mediator Accreditation Training (40 hours basic training plus practical assessments), be at least a college graduate, and be of good moral character. PMC mediators are lawyers, social workers, professionals, and community leaders who have undergone accreditation by the Supreme Court-PHILJA (Philippine Judicial Academy). For PDRCI mediation under the PDRCI Mediation Rules (2020), a mediator must be on the PDRCI Panel of Mediators and meet the qualifications set by PDRCI — typically a professional with at least 10 years of experience in the relevant industry plus completed mediation training. For CIAC arbitration involving mediation under the CIAC Rules (2020), mediators must be CIAC-accredited and have engineering or construction industry expertise. For private mediation without institutional affiliation, any person agreed upon by the parties may serve as mediator under Section 5 of RA 9285, subject only to the requirement that the mediator disclose any conflicts of interest.
This template is provided for informational purposes only and does not constitute legal advice. Laws vary by jurisdiction and change over time. Consult a qualified attorney for advice specific to your situation.Full disclaimer
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