This article is for general information in the Philippine setting and is not legal advice.
1) What “quitclaims” and “waivers” usually mean (Philippine usage)
In everyday Philippine legal practice:
- Quitclaim commonly refers to a document where a person acknowledges receipt of consideration (often money) and releases, relinquishes, or “quits” any claim against another. In labor cases, it often appears as a “quitclaim and release” after payment of separation pay, backwages, or a settlement.
- Waiver is a broader concept: a person intentionally gives up a right (known to them), either fully or partially. Examples include waiver of inheritance rights, waiver of a claim in a dispute, or waiver of rights under a contract.
A single document may be titled “Quitclaim and Waiver,” “Release and Waiver,” or “Waiver, Quitclaim, and Renunciation,” but the title is less important than the substance.
2) Why notarization matters
Many quitclaims and waivers are notarized because notarization:
- turns a private writing into a public document (with evidentiary advantages in court),
- helps prove authenticity and due execution, and
- is often required in practice for documents intended for government offices (e.g., registries, banks, agencies) or for settlement documentation.
Notarization does not automatically make a quitclaim/waiver fair, valid, or enforceable; it mainly strengthens proof that the signatory personally appeared, was identified, and executed the document.
3) The short answer: who pays the notarial fee?
There is no single Philippine law that automatically assigns notarial fees to one side for all quitclaims and waivers.
In most situations, who pays is decided by:
- Agreement of the parties (written or verbal),
- The underlying contract/practice (e.g., buyer pays certain closing costs), and
- Custom of the transaction type (labor, real estate, estate settlement, litigation settlement, etc.).
Practical default (when nothing is agreed)
If the document is silent and no clear practice applies, the most common default is:
- The person who requests/needs the notarization pays, or
- The parties split the cost if both benefit equally.
That’s a practical norm, not a strict legal rule.
4) What the notarial fee actually covers
Notarial charges usually relate to:
- the act of notarization (acknowledgment/jurat),
- document complexity and length,
- number of signatories,
- number of copies requiring notarization,
- travel/“mobile notary” arrangements (often charged separately), and
- administrative requirements (entries in the notarial register, competent evidence of identity, etc.).
A notary public may refuse to notarize if requirements are not met, and may also decline if acceptable fee arrangements are not made—subject to professional responsibility rules.
5) Is there a fixed notarial fee schedule in the Philippines?
In practice, fees vary widely by city/province and by document type, and you will see different “usual rates” in different places.
Some localities have informal benchmarks; some government-related notarizations may follow internal policies. But for private practice, market-based professional fees are common, and they can differ significantly.
Key point for “who pays”: because fees vary, allocating them is typically treated like any other transaction cost—negotiable unless a specific deal structure dictates otherwise.
6) Common allocation by context (Philippine practice)
A) Labor quitclaims and waivers (employee–employer)
This is the most common “quitclaim” scenario.
Typical practice
Often, the employer pays the notarial fee, especially if:
- the employer prepared the document,
- the quitclaim is a requirement before release of final pay/benefits, or
- the employer chooses the notary.
Why this is common
- Labor authorities and courts scrutinize quitclaims; fairness and voluntariness matter. If an employee is made to shoulder costs to get paid, it can look coercive in some fact patterns (not automatically illegal, but potentially problematic).
But it can be different
- If the employee independently requests notarization (rare in true quitclaim settings), they may pay.
- In negotiated settlements, fees may be split or embedded in the settlement amount.
Labor-related settlements sometimes involve or are filed with the Department of Labor and Employment or its offices; the document’s integrity and voluntariness matter more than the fee allocation itself.
B) Real estate and property-related quitclaims/waivers
Examples:
- waiver of rights in a property dispute,
- quitclaim between co-owners,
- waiver of rights in a deed of assignment scenario,
- release of claims to clear title issues.
Typical practice
The party who benefits most from having a notarized quitclaim (often the buyer/transferee or the party clearing title) commonly pays.
In many property transactions, “closing costs” are negotiated; often:
- buyer pays documentary/registration-related costs and incidentals (which may include notarization),
- seller pays taxes like capital gains tax in sale contexts (though allocation can be negotiated),
- but a quitclaim is not always a “sale,” so the surrounding deal matters.
Important caution A “quitclaim” that effectively transfers ownership can trigger tax and registration issues (e.g., potential scrutiny by the Bureau of Internal Revenue and requirements at the Land Registration Authority / Register of Deeds). The notarial fee is usually the smallest cost compared to possible taxes and registration fees—so parties frequently allocate it as part of broader closing-cost negotiations.
C) Estate settlement: waiver of inheritance / waiver of rights
Examples:
- heirs execute waivers in favor of one heir,
- waiver in extrajudicial settlement arrangements,
- renunciation of hereditary rights.
Typical practice
- If one heir is “buying out” or consolidating rights, that heir often pays the notarization as part of consolidation costs.
- If waivers are mutual or part of a shared settlement, heirs often split notarial expenses.
- If a waiver is executed to comply with a family arrangement, the family may pay from the estate funds (where appropriate and agreed).
Caution Waivers/renunciations can have complex effects (including potential tax implications). Notarization is often required for documents submitted to registries or used to support title transfers.
D) Litigation or dispute settlement: waiver/release in compromise
Examples:
- settlement agreements with mutual releases,
- waiver of claims in exchange for payment.
Typical practice
Often split equally, unless:
- one party pays as part of settlement sweetener, or
- the paying party controls documentation and notarization.
Courts may require filing of compromise agreements in some cases; parties typically decide who bears documentation expenses.
E) Banking, lending, and corporate settings
Examples:
- personal waivers, releases, quitclaims required by banks,
- corporate dispute releases, shareholder waivers.
Typical practice
- The party needing the document for compliance (often the borrower/client or the party seeking approval) pays, unless the institution absorbs costs as part of service.
7) Drafting: the best way to avoid disputes is to state it
Because there’s no universal default rule, the cleanest approach is a simple clause such as:
- “Notarial expenses and incidental costs for this Quitclaim/Waiver shall be borne by [Party].”
- “Notarial fees shall be shared equally by the parties.”
- “The cost of notarization shall be deducted from the settlement amount.” (be careful: this can look coercive in labor scenarios depending on facts)
If you are the party who wants the quitclaim/waiver, stating this upfront avoids last-minute refusal to sign.
8) Can the “wrong” party paying affect validity?
Generally, payment of notarial fees by itself does not automatically invalidate a quitclaim or waiver.
However, payment can be one fact among many in assessing fairness and voluntariness—especially for:
- labor quitclaims, where courts closely examine whether the employee freely consented and received a reasonable amount, and
- situations where a vulnerable party claims coercion or lack of informed consent.
If the arrangement is perceived as oppressive (e.g., “you won’t get paid unless you sign, and you must pay notarization too”), it may strengthen arguments about undue pressure, depending on the full circumstances.
9) Notarial compliance issues that matter more than who pays
Regardless of who shoulders the fee, a quitclaim/waiver can run into trouble if notarization is defective. Common pitfalls include:
- No personal appearance of the signatory before the notary.
- Inadequate competent evidence of identity.
- Notary notarizing a document with blank spaces or incomplete terms.
- Notary notarizing outside their lawful territorial commission or in violation of notarial rules.
- “Pre-signed” documents brought for notarization without the signer present.
These issues can undermine the document’s status as a public document and raise ethical and legal consequences.
10) Practical takeaways (Philippine context)
- No single rule: The Philippines does not impose a one-size-fits-all rule on who pays notarial fees for quitclaims/waivers.
- Default in practice: The requesting/benefiting party often pays, unless the parties split it.
- Labor norm: Employers often shoulder notarization for employee quitclaims to avoid fairness concerns.
- Best practice: Put the allocation in writing in the document or settlement terms.
- Validity focus: Courts and agencies care more about voluntariness, fairness, consideration, and proper notarization than about which pocket paid the notary.
11) Sample “fee allocation” provisions (ready-to-use)
Option 1 (one party pays): “Notarial fees and incidental expenses for the notarization of this Quitclaim and Waiver shall be borne solely by __________.”
Option 2 (split): “The parties shall share equally the notarial fees and incidental expenses for the notarization of this Quitclaim and Waiver.”
Option 3 (embedded in settlement): “The notarization costs shall be shouldered by __________ and shall be deemed included in the total settlement amount stated herein.”
12) One last caution: “quitclaim” is not a magic eraser
In Philippine practice, quitclaims and waivers are not automatically enforceable just because they are notarized. They are often upheld when:
- the signatory acted voluntarily,
- the consideration is reasonable and actually received, and
- there is no fraud, intimidation, or unconscionable disadvantage.
Notarization strengthens proof of execution—but it doesn’t substitute for substantive fairness.