Dear Attorney,

Good day! I hope this letter finds you well. I am writing to inquire about the typical notarial fees associated with an Extra-Judicial Settlement (EJS) in the Philippines. Your guidance on this matter would be greatly appreciated, as I wish to understand the relevant laws and fee structures.

Kindly provide a comprehensive explanation of the factors influencing the cost, the regulations governing notarial acts, and any other relevant details that may aid in understanding this process. Your expertise would be invaluable in clarifying these matters.

Thank you for your time and assistance.

Sincerely,
A Concerned Citizen

Understanding Notarial Fees for an Extra-Judicial Settlement (EJS) in the Philippines

Extra-Judicial Settlement (EJS) is a legal process used to distribute the estate of a deceased person among heirs without resorting to judicial intervention. This procedure is governed by the provisions of the Civil Code of the Philippines and the Rules of Court. Notarial fees form a crucial part of the process, ensuring compliance with legal formalities.

The Role of the Notary Public in an EJS

A notary public is a licensed lawyer authorized to perform certain legal acts, primarily administering oaths and authenticating legal documents. In the context of an EJS, the notary public ensures the following:

Authentication of the Document: The notary verifies the identity of the parties involved and affirms their voluntary participation in the settlement.
Compliance with Legal Requirements: The notarization ensures that the EJS complies with legal standards, making the document admissible in court and enforceable by law.
Public Interest Protection: The notarization process helps prevent fraud and ensures the document reflects the genuine intent of the parties.

Legal Framework Governing Notarial Fees

Notarial fees in the Philippines are regulated by the 2004 Rules on Notarial Practice and other pertinent laws. The key provisions include:

Prohibition of Overcharging: Rule VIII, Section 2 of the Notarial Rules mandates that notarial fees must be reasonable and commensurate with the nature of the notarial act.
Agreement on Fees: Parties may negotiate the notarial fee, provided it complies with legal standards.
Role of the Integrated Bar of the Philippines (IBP): The IBP has issued recommended schedules for notarial fees to standardize costs and prevent overcharging.

Average Notarial Fees for an EJS

While the exact notarial fee varies depending on the circumstances, common factors influencing the cost include:

Complexity of the Document: More complex settlements may require higher fees due to the additional time and expertise involved.
Value of the Estate: The size and value of the estate often influence the fee, as larger estates may involve more intricate details.
Location of the Notary Public: Fees may vary depending on regional economic conditions and customary rates.
Additional Services: Notarial acts that involve additional services, such as drafting the EJS or conducting due diligence, may incur higher fees.

On average, notarial fees for an EJS range between ₱5,000 to ₱10,000, though this can be higher for extensive or high-value estates.

Requirements for Notarization of an EJS

To properly notarize an EJS, the following documents and conditions must be satisfied:

EJS Document: The written agreement detailing the division of the estate among heirs.
Death Certificate of the Deceased: Proof of death is required to establish the basis for the settlement.
Proof of Ownership of Assets: Titles, tax declarations, or other documents proving ownership of the estate’s properties.
Tax Clearance: Certification that estate taxes have been paid.
Personal Identification: Valid IDs of all heirs or parties involved.
Publication Requirement: The EJS must be published in a newspaper of general circulation once a week for three consecutive weeks, as required under Philippine law.

Steps in the Notarization Process

Preparation of the EJS: The document must be meticulously prepared, detailing the properties and their distribution.
Execution by Heirs: All heirs must sign the document in the presence of the notary public.
Verification by the Notary Public: The notary confirms the identities of the signatories and their consent to the settlement.
Notarial Act: The notary affixes their signature and seal, completing the notarization process.

Importance of Reasonable Notarial Fees

Reasonable notarial fees are essential for the following reasons:

Accessibility: Excessive fees could make legal services inaccessible to many Filipinos.
Integrity of the Process: Proper fees ensure that notaries can maintain high standards of professionalism.
Protection Against Exploitation: Clear guidelines prevent unscrupulous practices, protecting clients from being overcharged.

Legal Recourse for Overcharging

If a notary public charges excessive fees, the aggrieved party may:

File a Complaint with the IBP: The IBP investigates complaints against notaries for unethical practices.
Seek Redress in Court: Civil remedies may be pursued if the overcharging constitutes a breach of contract or fraud.
Request Refunds: The notary may be ordered to refund any excess charges.

Conclusion

Understanding the notarial fees for an EJS is crucial for ensuring compliance with legal standards and protecting the rights of the parties involved. While the cost may vary, transparency and adherence to the law are vital in upholding the integrity of the process. Should there be any doubt regarding fees or procedures, consulting a qualified attorney is always advisable.