The document provides information on the legal retainer review process conducted by the Commission on Audit (COA) in the Philippines. It discusses the historical background and COA issuances regarding the prohibition of government agencies hiring private lawyers and requiring legal services to be handled by the Office of the Solicitor General or Office of Government Corporate Counsel. It also outlines the twin requirements of prior written approval from these legal offices and from COA before a government agency can hire private legal counsel. Guidelines from the Office of the Solicitor General on deputizing private lawyers are also presented.
The document provides information on the legal retainer review process conducted by the Commission on Audit (COA) in the Philippines. It discusses the historical background and COA issuances regarding the prohibition of government agencies hiring private lawyers and requiring legal services to be handled by the Office of the Solicitor General or Office of Government Corporate Counsel. It also outlines the twin requirements of prior written approval from these legal offices and from COA before a government agency can hire private legal counsel. Guidelines from the Office of the Solicitor General on deputizing private lawyers are also presented.
The document provides information on the legal retainer review process conducted by the Commission on Audit (COA) in the Philippines. It discusses the historical background and COA issuances regarding the prohibition of government agencies hiring private lawyers and requiring legal services to be handled by the Office of the Solicitor General or Office of Government Corporate Counsel. It also outlines the twin requirements of prior written approval from these legal offices and from COA before a government agency can hire private legal counsel. Guidelines from the Office of the Solicitor General on deputizing private lawyers are also presented.
The document provides information on the legal retainer review process conducted by the Commission on Audit (COA) in the Philippines. It discusses the historical background and COA issuances regarding the prohibition of government agencies hiring private lawyers and requiring legal services to be handled by the Office of the Solicitor General or Office of Government Corporate Counsel. It also outlines the twin requirements of prior written approval from these legal offices and from COA before a government agency can hire private legal counsel. Guidelines from the Office of the Solicitor General on deputizing private lawyers are also presented.
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Slide 1
CONFERENCE/WORKSHOP on COAs Quasi- Judicial Function
February 7-8, 2017
Old SAADO, COA Slide 2
Legal Retainer Review
Historical Background - The following prefatory statement of COA Circular 86-255 dated April 2, 1986 speaks of the origin of LRR -
It has come to the attention of this Commission that notwithstanding
restrictions or prohibitions on the matter under existing laws, certain government agencies, instrumentalities, and government-owned and/or controlled corporations, notably government banking and financing institutions, persist in hiring or employing private lawyers or law practitioners to render legal services for them and/or to handle their legal cases in consideration of fixed retainer fees, at times in unreasonable amounts, paid from public funds. In keeping with the retrenchment policy of the present administration, this Commission frowns upon such a practice. Slide 3
Legal Retainer Review
Law Offices of the Government
The Office of the Solicitor General (OSG), an independent
and autonomous office attached to the Department of Justice is vested by law as the principal law officer and legal defender of the government. ( Chapter 12, Title III, Book IV, Executive Order No. 292)
Office of the Government Corporate Counsel (OGCC) acts
as the principal law office of all GOCCs, their subsidiaries, other corporate offsprings and government acquired assets corporations (Chapter 3, Title III, Book IV, EO No. 292) Slide 4
Legal Retainer Review
Prohibiting GOCCs from referring their
cases and legal matters to the OSG, Private Legal Counsel or Law Firms and directing the GOCCs to refer their cases and legal matters to the OGCC, unless otherwise authorized under certain exceptional circumstances (MC No. 9 s. 1998 dated August 27, 1998, Issued by Pres. Joseph E. Estrada) Slide 5
Legal Retainer Review
COA Issuances 1. COA Cir. No. 86-255 dated April 2, 21986 (Signed solely by then Chairman Teofisto T. Guingona, Jr.)
Subject: Inhibition against employment
by government agencies and instrumentalities, including government- owned or controlled corporations, of private lawyers to handle their legal cases Slide 6
Legal Retainer Review
COA Issuances 2. COA Circular No. 95-011 dated December 4, 1995 Subject: Prohibition against employment by government agencies and instrumentalities, including government- owned or controlled corporations, of private lawyers to handle their legal cases Slide 7
Legal Retainer Review
COA Issuances 2. COA Circular No. 95-011 Pursuant to COAs Constitutional mandate to promulgate accounting and auditing rules and regulations
public funds shall not be utilized for payment of the services of a
private legal counsel or law firm to represent government agencies in court or to render legal services for them. In the event that such legal services cannot be avoided or is justified under extraordinary or exceptional circumstances, the written conformity and acquiescence of the Solicitor General or the Government Corporate Counsel, as the case may be, and the written concurrence of the Commission on Audit shall first be secured before the hiring or employment of a private lawyer or law firm. Slide 8
Legal Retainer Review
COA Issuances 2. COA Circular No. 95-011 Municipality of Pililla, Rizal vs. Court of Appeals, et. al., G.R. No. 105909, June 28, 1994:
"Under the above-provision (Section 1683 of the Revised Administrative Code), complemented by Section 3, Republic Act No. 2264, the Local Autonomy Law, only the Provincial Fiscal and the Municipal Attorney can represent a Province or Municipality in their lawsuits. The provision is mandatory. The municipality's authority to employ a private lawyer is expressly limited only to situations where the Provincial Fiscal is disqualified to represent it. Slide 9
Legal Retainer Review
COA Issuances 3. COA Circular No. 98-002 dated June 9, 1998 Incorporating the letter dated January 27, 1997 of then Solicitor General Silvestre H. Bello III.
Excludes LGUs in the OSGs authority to deputize private
lawyers. Section 481 of RA 7160, it is the legal officer of a municipality who must handle its legal affairs, including representation in court. In the absence thereof, the Provincial Legal Officer. Slide 10
Legal Retainer Review
With respect to local government units, only in those
instances provided in par. 3(1), Section 481 of R.A. 7160, which states, thus:
"x xx x: Provided, That, in actions or proceedings where a
component city or municipality is a party adverse to the provincial government or to another component city or municipality, a special legal officer may be employed to represent the adverse party;"
may public funds be utilized as payment for the services of a
private legal counsel or law firm." Slide 11
Legal Retainer Review
RULE VIII ORIGINAL CASES FILED DIRECTLY WITH THE COMMISSION PROPER Section 1. Original Jurisdiction. - The Commission Proper shall have original jurisdiction over: xxx b) request for concurrence in the hiring of legal retainers by government agency; xxx (2009 RRPC)
Hiring of Legal Retainer A request for concurrence of the
Commission in the hiring of legal retainer shall be filed with the Office of the General Counsel who shall evaluate the same and issue the written concurrence or denial thereof in behalf of the Commission. A request for reconsideration or appeal therefrom shall be cognizable by the Commission Proper. Slide 12
Legal Retainer Review
The Twin-Requirement in the hiring of private
lawyers as counsels:
1. Prior written conformity and acquiescence of the
Solicitor General or the Government Corporate Counsel, as the case may be; and
2. Written concurrence of the Commission on Audit
Slide 13
Legal Retainer Review
GUIDELINES OSG Memorandum Dated December 15, 2015 Subject: Revised Guidelines on Deputation of Private Lawyers and Special Attorneys
Original Deputation, Documentary Requirements:
a. Curriculum Vitae b. MCLE Certificate for the current compliance period; c. IBP Certificate of Good Standing for the current year; d. Copy of the Proposed Contract of Service (for private law years and law firms only); and e. The letter request for deputation of private counsel must also state the reason of the need to engage their services. Slide 14
Legal Retainer Review
Renewal of Deputation a. Updated MCLE Certificate, if applicable; b. IBP Certificate of Good standing for the current year; c. Status Report of Cases previously handled, if any; and d. Copy of the Proposed Contract of Service. Slide 15
Legal Retainer Review
Hiring of private lawyers as technical consultants for the
government or client agency: No need for the requisite prior written conformity and acquiescence of the OSG, provided that: a. the technical consultants services pertain exclusively and are limited to purely technical matters; b. under the terms and and conditions of the Proposed Contract of Service, such technical consultant is prohibited from rendering legal services to the government or client agency concerned c. the government or client agency concerned shall secure a clearance from the SolGen that his prior written conformity and acquiescence for the hiring of such technical consultant is not required.
Slide 16
Legal Retainer Review
Legal Services shall mean any activity, in and out of court, that requires the application of law, legal procedure, knowledge, training and experience. The term shall also include giving notice or rendering any kind of service, which device or service requires the use in any degree of legal knowledge or skill. (Cayetano vs. Monsod, G.R. No. 100113, Sept. 3, 1991)
Slide 17
Legal Retainer Review
The OSG, not being the lawyer of LGUs cannot
deputize private lawyers to handle LGU cases [COA Circular 98-002; OSG vs. CA, 725 SCRA 469, 478- 479 (2014); Municipality of Pililla, Rizal v. CA, 233 SCRA 484 1994)]
All requests for deputation, original or for renewal,
must be sent to, and received by, the OSG prior to the effectivity of the period stated in the Proposed Contract of Service as no retroactive deputation shall be allowed. Slide 18
Legal Retainer Review
Additional Documentary Requirements -
Certificate of Availability of Funds (CAF)
Accomplishment Report on previous contract period Comment/recommendation of the ATL/SA and the RD/CD Slide 19
