Mediation Operational Guidelines Proposed

8/4/2019 Mediation Operational Guidelines Proposed

1/37

PROCESSES involving the

Conduct of Mediation Hearing

Operational Guidelines


2/37


3/37

I. Rationale

Republic Act 9520, in conjunction with the AlternativeDispute Resolution or ADR Law of 2004, emphasizesthe installation and preferential option towards the

use of Mediation as better alternative to litigation. Itseeks to draw a win-win solution while preservingvalued relationship in the Cooperative.

One of the major areas where Mediation is sought foris on conflict between members and the office

pertaining payment of their loan obligation.Delinquency is not a laughing matter for it remains amajor threat to any cooperative.


4/37

I. Rationale

However, there is no clear cut guidelinespertaining its conduct particularly oncollection of sum of money especially that it

is now made part of the Coops collectionpolicy to seek mediation hearing first beforeresorting to litigation.

Hence, this operational guidelines is soughtfor to provide the processes towards moreefficient and effective mediation run.


5/37

II. Objectives

1. To establish processes involving preparatory

phase, actual and post conduct of the

mediation hearing;

2. To institutionalized its implementation.


6/37

III. Definition of Terms

Mediation is an alternative dispute resolutioninvolving three parties, namely: requesting party,responding party and the neutral third party

known as Mediator; Mediator an accredited person either by the

Authority or by OCCCI. He/she must haveundergone the necessary training of at least 40-

hour classroom sessions and 40-hour practicumas attested by Senior Mediator/Trainor, and musthave passed the written and practicum revalida.


7/37


Senior Mediator refers to a recognized mediator ofthe CDA and official trainer of OCCCI MediationProgram who oversees the on-going process foraccreditation of full pledge in-house mediators;

Mediator-in-Training refers to an apprentice who hasnot complied all the requirements for a full in-housemediator;

Mediation Hearing refers to an official conduct of themediation process involving any cases which havebeen certified by the Con-Med Coordinator, endorsedby the Area Manager/CEO and duly approved by theCon-Med Committee Chair.


8/37


Mediation Run refers to mediation en masseinvolving collection sum of money conducted inthe branch.

Con-Med Coordinator A staff duly appointed bythe CEO to coordinate all mediation relatedactivities.

Con-Med Committee - composed of three

members who are appointed by the board tooversee the implementation, reporting andformulation of program, among others.


9/37

III. General Provisions

1. All collection cases must be subject to the in-house mediation hearing before resort tolitigation;

2. The Conciliation-Mediation Committeedispense the following function as specified CDAmemorandum: Formulate and develop the Conciliation-Mediation

Program and ensure that it is properly

implemented; Monitor Conciliation-Mediation operations (entry of

new cases, status of pending cases, performance ofConciliation-Mediation);


10/37


Submit semi-annual reports to the CDA writtenfifteen (15) days after the end of every semester;

Accept and File Evaluation Reports;

Submit recommendations for improvements tothe Board of Directors ; and

Recommend to the Board of Directors anymember of the cooperative for Conciliation-

Mediation Training as Cooperative Conciliator-Mediator.


11/37


3. The Chief Executive Office shall appoint onestaff to perform the functions of the Con-MedCommittee Coordinator with the following

functions:1. Receive complaints and assist the disputing parties in

reducing their complaints in writing;

2. Confirm parties request to participate in Conciliation-Mediation;

3. Assist parties in the selection of a Conciliator-Mediator;4. Monitor and report on the outcome of Conciliation-

Mediation conducted by pool conciliator-mediators;


12/37

III. General Provision

5. Receive and file the conciliator-mediators form;

6. Submit to the committee the monthly reportsummarizing status of all cases processed and theresults of the evaluation of the Conciliation-Mediation

process;

7. Facilitate the issuance of the Certificate of Non-Settlement from any failed or refused Conciliation-Mediation;

8. Monitor and fill-up the documents on theConciliation-Mediation process;

9. Send communication to the disputants; and

10.Maintain an updated list of Conciliator-Mediator;


13/37

IV. General Provision

4. In the case of a mediation hearing involvingany case, not limited to, collection sum of money,a mediator-in-training who have alreadyundergone 16-hours classroom learning and 8mock-up cases and 3 collection cases may handlea mediation hearing.

5. In the case of mediation run, all mediation-in-training and senior-mediator-in-training who have

undergone at least 32 hours classroom sessionsand 20 cases may handle the program under thesupervision of the Senior Mediator.


14/37

IV. General Provision

6. Mediation fees. Whenever mediationhearing or run is sought for, both therequesting and the responding parties shall

be required to pay P100 mediation fee tocover expenses and the on-going training ofOCCCI in-house mediators.

7. In every Mediation Hearing or Run, officialreceipt must be within reach to cover actualor on-sight payments.


15/37

IV. SPECIFIC PROVISIONS ONMEDIATION HEARING


16/37

IV.A. Mediation Hearing

1. Before the Mediation Hearing

a. Any member/s of the cooperative that has a complaintconstituting a dispute of these Guidelines may file saidcomplaint before the Coordinator

b. A non-member may file a complaint before theCoordinator provided it is determined by theConciliation-Mediation Committee that the dispute, ifremained directly affect the operations of thecooperative.

c. However, if the complaint filed is against any member ofthe Conciliation-Mediation Committee, the Board ofDirectors shall constitute among them a Conciliation-Mediation Committee for that purpose.


17/37


d. The complaints shall be in writings using the prescribed formwhich shall be made available in all branches;

e. The Con-Med Committee Mediator shall appoint Con-Med pointperson who shall accept all complaints and performs thefunctions as specified below;

(1) The Con-Med Committee Coordinator shall conduct preliminaryconference to confirm the parties interest to enter intoConciliation-Mediation.

(2) A Notice of Conference shall be in writing and signed by theSecretary of the committee. The Notice shall indicate the venue,time, and date of the conference.

(3) If one or all parties do not appear in the scheduled conference, theCoordinator shall send another Notice for the parties to appear onthe next scheduled conference. Failure to appear without validcause shall be construed as Refused Conciliation-Mediation. Hence,a Certificate of Non-Settlement shall be issued.


18/37


f. Choice of a mediator. The con-med committeecoordinator shall made available the list ofmediators within the area for both parties tochoose from. They must both agree on whoshall mediate their case;

g. The Con-Med Committee Coordinator shall thenschedule the Mediation Hearing.

h. The Venue for the Mediation Hearing may takeplace inside office where privacy due to theconfidential nature of the process shall beassured else a different venue may be set;


19/37


2.Actual Mediation Hearing

a. The Con-Med Committee Coordinator shallprovide all the documents needed in the hearing

in the following order: 1.Agreement to mediate in triplicate copy

2. Mediation Tracking Form in two copies

3. Compromise/Settlement Agreement Form triplicate copy

4. Certificate of Non-settlement triplicate copy

5. Mediation Report Form two copies

6. Evaluation Form two copies


20/37


3.After the Mediation Hearing

a. The mediator shall turn-over to the Con-

Med Committee Coordinator all documents; b. The Con-Med Committee Coordinator shall

then file/forward all documents, to wit:

Agreement to mediate: 1 for the branch file, 1 for

the responding party, 1 for the Con-Med

Committee Coordinator


21/37


Mediation Tracking Form: 1 for the branch, 1 for theMCC Coordinator, 1 for the responding party ifmediation hearing is re-set

Compromise Agreement: 1 for the branch inside the

credit file, 1 for the responding party, 1 for the MCCCoordinator

Certificate of non-settlement: 1 for each of theparties, 1 for MCC Coordinator

Mediation Report Form: 1 for MCC Coordinator and

1 for CDA Accomplished Evaluation Form: 1 copy for MCC

Coordinator


22/37


C. The MCC coordinator shall submit

summative report to the MCC Secretary

containing the following: outcome of the

mediation: # of cases heard, # of cases settled

or not settled, outright payments made,

amount of balances of accounts with

settlement, overall rating of each participatingmediators and others as may be required


23/37

IV. SPECIFIC PROVISIONS ONMEDIATION RUN


24/37

IV. B. Mediation Run

1. Before Mediation Run.

1. A Branch who wishes to avail Mediation Runshall do the following:

1. Prepare the list of accounts for mediation with thefollowing priority category: Charge-off accounts,Matured accounts, past-due accounts over 30 days,past-due less than 30 days based on the collectionpolicy.

2. Forward his request to CEO through the AM usingprescribed format which contains the name of theborrower, address, account #, amount approved,outstanding balance, past due amount, otherreceivables such as IR;


25/37

IV. B. Mediation Run

1. Before Mediation Run

3. The AM shall be responsible in forwardingapproved request to the MCC Coordinator who

shall then coordinate with MCC Secretary forsigning of mediation notice.

4. Signed notices shall be forwarded to the branchMMC point person for distribution to the

concerned individuals.5. The request for mediation run shall be done at

least 15 days before the scheduled run, the lettershall be sent and confirmation is sought 10 days

before the actual run;


26/37

IV.A. Mediation Run

2. Choice of a mediator. Unlike the Mediation hearing,

the mediation run shall be based on the availability of

the mediators on-sight. Thus, the MCC

Coordinator/Point Person shall make it sure thatthere is no lull in the entry of disputants;

3. Venue of the Mediation Run. Preferably the venue

shall be in private area where confidentiality can be

observed. Among possibly settings could be: ParishCenter, Covered Court, Private function Area.


27/37

IV.A. Mediation Run

4. Ratio Between Requesting Party and Mediator must be

observed at 1:1 plus 2 and the Senior Mediator. This means

that if there are 5 staff assigned as disputant only 7 mediators

shall be sent. The first 5 shall be the primary, the other 2 shall

be replacement to provide break.5. Drum Beating for Maximum Attendance. 10 days before the

Mediation Run, the Branch put banner/streamer with the

Caption: OCCCI Settlement Day through the Mediation Run

Dont Miss it! Then write the Date, Time and Venue. Forinquiries call _________________.


28/37

IV.A. Mediation Run

6. Major requirements.

1. For an effective Mediation Run, the branch management shall

have trained their assigned disputants on the their BATNA

(best alternative to negotiated agreement);

2. All disputants must be oriented on handling all casesdepending: hence, briefing 3 days before the actual

Mediation Run must be made.

3. BATNA to WATNA. All options in the form of demands must

be assigned in priority:- Example: # 1. Full payment, # 2. Payment of cash on-sight

plus 50% of


29/37

IV.A. Mediation Run

6. Major requirements.

4. BATNA and WATNA must be pre-approved by the Area Manager prior to

Mediation Run;

5. Short module on negotiation skills must have been conducted by the

Branch Manager to his/her staff to strengthen their interest.

6. The following shall be prepared and made available during the mediation

run:

1. Credit File duly assigned with reference number;

2. Post payment ledger of the account at least based on end of the

month. For example, if the account is due on July 10, the post payment

ledger must be for July 31 to give allowance if payment is given after the

due date.

3. Coop deposits Data for possible off-setting against savings first, CBU

last.

4. Prepared computation for possible re-structuring and the likes.


30/37

IV.A. Mediation Run

2.Actual Mediation Run

a. The Con-Med Committee Coordinator shallprovide all the documents needed in the hearing

in the following order: 1.Agreement to mediate in triplicate copy

2. Mediation Tracking Form in two copies

3. Compromise/Settlement Agreement Form triplicate copy

4. Certificate of Non-settlement triplicate copy 5. Mediation Report Form two copies

6. Evaluation Form two copies


31/37

IV.A. Mediation Run

3.After the Mediation Hearing

a. The mediator shall turn-over to the Con-

Med Committee Coordinator all documents; b. The Con-Med Committee Coordinator shall

then file/forward all documents, to wit:

Agreement to mediate: 1 for the branch file, 1 for

the responding party, 1 for the Con-Med

Committee Coordinator


32/37

IV.A. Mediation Run

Mediation Tracking Form: 1 for the branch, 1 for theMCC Coordinator, 1 for the responding party ifmediation hearing is re-set

Compromise Agreement: 1 for the branch inside the

credit file, 1 for the responding party, 1 for the MCCCoordinator

Certificate of non-settlement: 1 for each of theparties, 1 for MCC Coordinator

Mediation Report Form: 1 for MCC Coordinator and

1 for CDA Accomplished Evaluation Form: 1 copy for MCC

Coordinator


33/37

IV.A. Mediation Run

C. The MCC coordinator shall submit

summative report to the MCC Secretary

containing the following: outcome of the

mediation: # of cases heard, # of cases settled

or not settled, outright payments made,

amount of balances of accounts with

settlement, overall rating of each participatingmediators and others as may be required.


34/37

RESPONSIBILITIES


35/37

Responsibilities

1.It shall be the responsibility of the CEO toappoint MCC Coordinator and Branch PointPerson as part of the implementation of theMediation Process;

2.It shall be the responsibility of the MCCCoordinator to: send duly accomplish letter from MCC secretary to

the responding party ;

collate all reports from MCC point person and toreport the outcome of the Mediation Hearing/Run;

coordinate with the Area Manager and the SeniorMediator involving Mediation Run.


36/37

Responsibilities

3.It shall be the responsibility of the Branch

Manager to:

send the request, train his/her staff and to

organize the mediation run

prepare budget for the mediation run and to

observe simple meals


37/37

SANCTION

Mediation Operational Guidelines Proposed

Documents