Supreme Court Issues Rules on Expedited Procedures in the First-Level Courts

Following the enactment of Republic Act No. 11576, which expanded the jurisdictional amount cognisable by the First Level Courts in civil cases to PhP2 million, the Supreme Court promulgated the Rules on Expedited Procedures in the First Level Courts ("Rules") on 1 March 2022. The First Level Courts include the Metropolitan Trial Courts, the Municipal Trial Courts in Cities, the Municipal Trial Courts, and the Municipal Circuit Trial Courts. The Rules are intended to harmonise the Revised Rules on Summary Procedure and the Revised Rules on Small Claims Cases.

Cases which fall under Summary Procedure

The Rules contain an enumeration of the cases which now fall under Summary Procedure:

1. Forcible entry and unlawful detainer where the attorney’s fees awarded, if any, shall not exceed PhP100,000;
2. All civil actions except probate proceedings, admiralty and maritime actions, and small claims cases where the plaintiff’s claim does not exceed PhP2 million, exclusive of interest, damages, attorney’s fees, litigation expenses and costs;
3. Complaints for damages where the claim does not exceed PhP2 million, exclusive of interests and costs;
4. Cases for enforcement of barangay amicable settlement agreements and arbitration awards where the money claim exceeds PhP1 million;
5. Cases solely for revival of judgment, by motion or by action, of a First Level Court; and
6. The civil aspect of a violation of Batas Pambansa 22 or the Bouncing Checks Law ("BP No. 22"), if no criminal action has been instituted for the violation.

An appeal from any judgment, final order, or final resolution of a case which falls under the Summary Procedure may be taken to the Regional Trial Court ("RTC") exercising jurisdiction over the territory. The RTC's judgment on the appeal shall be final, executory, and unappealable.  

The following criminal cases shall also be governed by the Rule on Summary Procedure:

1. violations of traffic laws, rules and regulations;
2. violations of the rental law;
3. violations of municipal or city ordinances;
4. violations of BP No. 22; and
5. all other criminal cases where the penalty prescribed by law for the offence charged is imprisonment not exceeding one year, or a fine not exceeding PhP50,000.00, or both.

For offences involving damage to property through criminal negligence, the Rules will also apply where the imposable fine does not exceed PhP150,000. The Revised Guidelines for Continuous Trial of Criminal Cases has also been adopted with respect to arraignment and pre-trial.

Small Claims cases

Meanwhile, Small Claims cases now involve:

1. an action that is purely civil in nature for the payment or reimbursement of a sum of money arising from a contract of lease, loan and other credit accommodations, contract of services, or contract of sale of personal property excluding the recovery of personal property, unless it is made the subject of a compromise agreement between the parties, where the claim does not exceed PhP1 million; or
2. the enforcement of barangay amicable settlement agreements and arbitration awards where the money claim does not exceed PhP1 million.

Streamlining court processes

The Rules provide for several amendments with the intention of accelerating court processes. Similar to the 2019 Amendments to the 1997 Rules of Civil Procedure, the Plaintiff in Small Claims cases may also be authorised to serve the summons upon the Defendant. Where a defendant resides or holds business outside the judicial region, the hearing shall be set not more than 60 calendar days from the filing of the Statement of Claim. The Rules also allow for service of court issuances and filings by either the plaintiff or the defendant in Small Claims cases to made through email, facsimile, and other electronic means. Notices may likewise be served through mobile phone calls, short messaging service (SMS), or instant messaging ("IM") software applications.

To ensure early resolution of Small Claims cases, the Rules also mandate the allotment of at least one hearing day every week which shall be devoted to Small Claims, with at least five cases scheduled per hearing day. Additionally, hearings through videoconferencing have been permitted using a Court-prescribed videoconferencing platform, alternative videoconferencing platforms or even through IM applications with video call features. Lawyers, who are not themselves parties to the Small Claims case, are still prohibited from representing the parties.

The Rules are set to take effect on 11 April 2022, following its publication in newspapers of general circulation. However, the Rules have not been made applicable to those cases which are pending with the first level and second level courts.