OCA CIRCULAR NO. 137-2009, October 07, 2009

For the information and guidance of all concerned, the Supreme
Court En Banc, in a Resolution dated August 28, 2009, in A.M. No. 08-I
I-7-SC, (Re: Request of National Committee on Legal Aid to Exempt Legal
Aid Clients From Paying Filing, Docket and Other Fees), APPROVED the Rule on the Exemption From the Payment of Legal Fees of the Clients of the National Committee on Legal Aid and of the Legal Aid Offices in the Local Chapters of the Integrated Bar of the Philippines [A.M. NO. 08-I1-7-SC (IRR)], the pertinent provisions thereof are quoted as follows:

ARTICLE I
Purpose

Section 1. Purpose, — The Rule is issued for the
purpose of enforcing the right of free access to courts by the poor
guaranteed under Section 11, Article III of the Constitution. It is
intended to increase the access to justice by the poor by exempting from
the payment of legal lees incidental to instituting an action in court,
as an original proceeding or on appeal, qualified indigent clients of
the NCLA and of the legal aid offices in local IBP chapters nationwide.

ARTICLE II
Definition of Terms

Section 1. Definition of important terms. —
For purposes of this Rule and as used herein, the following terms shall
be understood to be how they are defined under this Section:

(d) “Legal fees” refers to the legal fees imposed under Rule
141 of the Rules of Court as a necessary incident of instituting an
action in court either as an original proceeding or on appeal. Tn
particular, it includes filing or docket fees, appeal fees, fees for
issuance of provisional remedies, mediation fees, sheriffs fees,
stenographer’s fees (that is fees for transcript of stenographic notes)
and commissioner’s fees;

ARTICLE II
Coverage

Section 1. Persons qualified for exemption from payment of legal fees. —
Persons who shall enjoy the benefit of exemption from the payment of
legal fees incidental to instituting an action in court, as an original
proceeding or on appeal, granted under this Rule shall be limited only
to clients of the NCLA and the chapter legal aid offices.

The said clients shall refer to those indigents qualified lo
receive free legal aid service from the “NCLA and the chapter legal aid
offices. Their qualifications shall be determined based on the tests
provided in this Rule.

Section 2. Persons not covered by the Rule. — The
following shall be disqualified from the coverage of this Rule. Nor may
they be accepted as clients by the NCLA and the chapter legal aid
offices.

(a)	Juridical persons; except in cases covered by developmental legal aid or public interest causes involving juridical entities which are non-stock, non-profit organizations, non-governmental organizations and people’s organization whose individual members will pass the means test provided in this Rule;
(b)	Persons who do not pass the means and merit tests;
(c)	Parties already represented by a counsel de pane:
(d)	Owners or lessors of residential lands or buildings with respect to the filing of collection or unlawful detainer suits against their tenants; and
(e)	Persons who have been clients of the NCLA or chapter legal aid office previously in a case where the NCLA or chapter legal aid office withdrew its representation because of a falsity in the application or in any of die affidavits supporting the said application

ARTICLE IV
Tests of Indigency :

Section 1. Tests for determining who may be clients of the NCLA and the legal aid offices in local IBP chapters.
– The NCLA or the chapter legal aid committee, as the case may he,
shall pass upon requests for legal aid by the combined application of
the means and merit tests and the consideration of other relevant
factors provided for in the following sections.

Section 2. Means test; exception. – (a)
This test shall be based on the following criteria: (i) the applicant
and that of his immediate family must have a gross monthly income that
does not exceed an amount double the monthly minimum wage of an employee
in the place where the applicant resides and (ii) he does not own real
property with a fair market value as stated in the current tax
declaration of more than Three Hundred Thousand (P300,000.00) Pesos.

In this connection, the applicant shall execute an affidavit of
indigency (printed at the back of the application form) stating that he
and his immediate family do not earn a gross income abovementioned, nor
own any real property with the fair value aforementioned, supported by
an affidavit of a disinterested person attesting to the truth of the
applicant’s affidavit. The latest income tax return and/or current tax.
declaration- if any, shall be attached to the applicant’s affidavit. –

(b) The means test shall not be applicable to applicants who
fall under the developmental legal aid program such as overseas workers,
fisherfolk, farmers, laborers, indigenous cultural communities, women,
children and other disadvantaged groups.

Section 3. Merit Test. — A
case shall be considered meritorious if an assessment of the law and
evidence at hand discloses that the legal service will be in aid of
justice or in the furtherance thereof, taking into consideration the
interests of the party and those of society. A case fails this test if,
after consideration of the law and evidence presented by the applicant,
it appears that it is intended merely to harass or injure the opposite
party or to work oppression or wrong.

ARTICLE VIII
Effectivity

Section 1. Effectivity. – The Rule shall become effective after fifteen days following its publication in a newspaper of general circulation.

The Rule was published in the September 12, 2009 issue of the Philippine Daily Inquirer.

October 7, 2009