Metro Iloilo Water District v · G.R. 238322

Petitioner: Metro Iloilo Water District
Respondent: Flo Water Resources [Iloilo]
Citation: G.R. No. 238322
Court: Supreme Court
Division: Third Division
Ponente: Zalameda, J.
Decided: October 13, 2021

Summary

MIWD and Flo Water disputed payment obligations under a bulk water supply contract when infrastructure limitations prevented full delivery of contracted volumes. The ad hoc arbitral tribunal ruled the contract was 'take or pay,' ordering MIWD to pay P164,542,623.75 for undelivered water. MIWD's appeal via Rule 43 was dismissed by the CA as improper remedy for challenging ad hoc arbitral awards. The Supreme Court affirmed, distinguishing commercial arbitration from quasi-judicial proceedings and emphasizing that Rule 43 appeals are unavailable for ad hoc tribunal awards formed by contractual consent. The Court exercised judicial restraint, refusing to relitigate factual determinations absent grave abuse of discretion, and upheld the monetary award against the government water district.

Statutes applied

Civil Code, Art. 1186

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By Intellegal Editorial Board · October 13, 2021

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