Cebu City Council to request PBBM to establish construction arbitration office outside Metro Manila
CEBU CITY, Philippines — The Cebu City Council will request President Ferdinand “Bongbong’ Marcos, Jr. and the Department of Trade and Industry (DTI) to establish a Construction Industry Arbitration Commission (CIAC) branch office in the different regions of the country, including Cebu City.
This after the 16th City Council carried the motions filed by Majority Floor Leader Councilor Jocelyn Pesquera, in a privilege speech, during the Council’s regular session on Wednesday, August 10, 2022.
The City Council also agreed to asked the CIAC to accredit more arbitrators and mediators from the Provinces like the Province of Cebu and cities outside Manila, such as the cities of Cebu to handle cases within their own locality.
Pesquera, in her privilege speech, tackled the challenges local property owners, developers, and contractors face in resolving construction and contract disputes because there is no CIAC arbitration office or branch in Cebu.
CIAC, which was created thru the Presidential Decree no. 1746 issued by the late president Ferdinand Marcos, is an attached agency of the then Ministry, and now, DTI.
CIAC has the original, exclusive jurisdiction over disputes arising from or connected with contracts entered into by the parties involved in construction in the Philippines, whether the disputes arise from, before, or after the completion of the contract or after the abandonment or breach thereof.
Pesquera said that under the CIAC revised rule of procedure governing construction arbitration, any party to a construction contract desiring to avail of arbitration shall file its request for arbitration in the prescribed form and number of copies to the Secretariat of CIAC.
The location of the office of the Secretariat, which is in Metro Manila, Pesquera said, proved to be “detrimental” to the interest of the construction companies, property owners, developers, and even local government units, which are located in other parts of the country, such as Cebu City.
“These disputes may involve government or private contracts. The CIAC office is located in Makati City, Metro Manila and they do not have regional offices,” she said.
“So, kung naay mga kaso kabahin sa construction, apil na ang mga construction contracts that we have, ang kaso adto didto i-file sa Manila. Adto i-hear, and then, even ang kanang mag construct ka sa imong gamay nga balay (nga muingon ta’g socialized housing), kung naa kay problema sa imong contractor, adto nimo i-file in Metro Manila,” she added.
Pesquera said that there is a need for the said government entity to establish branches in other parts of the City, other than Metro Manila, so that their services will be available to all.
Without discussion, the Council carried Pesquera’s resolution. The Council also authorized the 16th City Council Secretary to furnish a copy of the said resolution to the Office of the President.
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