CIAC
CIAC
The CIAC shall have original and exclusive jurisdiction over disputes arising from, or connected with,
contracts entered into by parties involved in construction in the Philippines, whether the dispute arises
before or after the completion of the contract, or after the abandonment or breach thereof. These
disputes may involve government or private contracts. For the Board to acquire jurisdiction, the parties
to a dispute must agree to submit the same to voluntary arbitration.
The jurisdiction of the CIAC may include but is not limited to violation of specifications for materials and
workmanship; violation of the terms of agreement; interpretation and/or application of contractual time
and delays; maintenance and defects; payment, default of employer or contractor and changes in
contract cost.
Excluded from the coverage of this law are disputes arising from employer-employee relationships
which shall continue to be covered by the Labor Code of the Philippines.
The arbitral award shall be binding upon the parties. It shall be final and unappealable except on
questions of law which shall be appealable to the Supreme Court.
Commencement of Arbitral Proceedings ʹ The date when the Request for Adjudication is filed with the
CIAC shall, for all intents and purposes, be deemed to be the date of commencement of the
proceedings.
An arbitration agreement or a submission to arbitration shall be in writing, but it need not be signed by
the parties, as long as the intent is clear that the parties agree to submit a present or future controversy
arising from a construction contract to arbitration.
It may be in the form of exchange of letters sent by post or by telefax, telexes, telegrams or any other
mode of communication.
When Arbitration cannot Proceed ʹ Where the contract between the parties did not provide for
arbitration and the parties cannot agree to submit the dispute(s) to arbitration, the Claimants shall be
informed that the arbitration cannot proceed.
Non-Arbitrable Issues ʹ Claims for moral damages, exemplary damages, opportunity/business losses in
addition to liquidated damages, and fees are not arbitrable except when the parties acquiesce or
mutually agree to submit the same for arbitration and to abide by the decision of the arbitrator thereon.
Claims for unrealized expected profits (built-in in the contract price) and issues on rescission or
termination of a contract, however, are arbitrable.
General Qualification of Arbitrators ʹ The Arbitrators shall be men of distinction in whom the business
sector and the government can have confidence. They shall be technically qualified to resolve any
construction dispute expedientiy and equitably. The Arbitrators shall come from different professions.
They may include engineers, architects, construction managers, engineering consultants, businessmen
familiar with the construction industry and lawyers who are experienced in construction disputes.
Confidentiality of Proceedings ʹ The arbitration proceedings shall be considered confidential and shall
not be published except (i) with the consent of the parties, or (ii) when necessary in case where resort to
the Court is made under the Rules of Court.