Subject matters for settlement

     The lupon of each barangay shall have authority to bring together the parties actually residing in the same city or municipality for amicable settlement of all disputes except:

1. Where one party is the government or any subdivision or instrumentality thereof;
2. Where one party is a public officer or employee, and the dispute relates to the performance of his pfficial functions;
3. Offenses punishable by imprisonment exceeding one year or a fine exceeding Five Thousand Pesos (Php5,000.00)
4. Offenses where there is no private offended party;
5. Where the dispute involves real properties located in different cities or municipalities unless the parties thereto agree to submit their differences to amicable settlement by an appropriate lupon;
6. Disputes involving parties who actually reside in barangays of different cities or municipalities, except where such barangay units adjoin each other and the parties thereto agree to subbmit their differences to amicable settlement by an appropriate lupon;
7. Such other classes of disputes which the President may determine in the interest of justice or upon the recommendation of the Secretary of Justice.

     The court in which non-criminal cases not falling within the authority of the lupon under RA. 7160 are filed may, at any time before trial, motu proprio refer the case to the lupon concerned for amicable settlement.