The Marinduque provincial government has filed a petition before the Supreme Court challenging a Court of Appeals ruling that upheld a 25-percent contingency fee, equivalent to about $25 million, for its former private counsel in the Marcopper mining settlement.
An excerpt from the appellate court’s resolution described the fee as “reasonable, valid, and binding” and ordered the province to pay Salazar Ernile Defensor & De Mata Law Offices, or SEDALAW.
The ruling stemmed from an Agreement for Legal Services dated 23 March 2022 between the law firm and the provincial government.
The Court of Appeals held that the law firm’s charging lien was separate from the settlement amount to be delivered to the province. It also ruled that the 25-percent share could not be considered public funds and that the settlement proceeds could be garnished.
In a written response to the DAILY TRIBUNE, the provincial government described the fee as “excessive and unreasonable,” arguing that compensation should instead reflect the reasonable value of services actually rendered.
The province subsequently confirmed that it had filed a petition before the Supreme Court. However, it did not provide the filing date, case number or a copy of the petition.
The documents made available did not establish whether the Supreme Court had issued any order affecting the enforcement of the appellate court’s ruling.
According to the provincial government, the 25-percent fee arrangement was incorporated into an ordinance passed by the previous Sangguniang Panlalawigan on 30 May 2025.
Provincial Legal Officer Benedict Cartagena formally contested the claim during a Court of Appeals hearing on 27 April 2026, the province said.
The dispute concerns the $100-million Marcopper mining settlement and the amount that will ultimately be available for environmental rehabilitation and communities affected by the mining disaster.
Asked about the remaining legal or administrative requirements for releasing a $50-million portion held in escrow, the provincial government declined to disclose the specific arrangements, citing advice from its lawyers.
“On the advice of our legal counsel, the Provincial Government cannot discuss the specific requirements and arrangements concerning the release of the escrowed settlement funds at this time,” it said.
The province did not provide a timetable for the release of the funds or a final breakdown of the amounts intended for rehabilitation and affected communities.
“We are pursuing the available legal remedies to protect the interests of Marinduque and the communities affected by the mining disaster,” it said.
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