Arbitration Of Commercial Construction Disputes
Arbitration involves an independent expert deciding a dispute by examining the material facts and documents put forward by the parties. It is usually a far quicker, more cost-effective and more flexible process than court proceedings.
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What Is Arbitration?
Compared with adjudication, arbitration is more like contested court proceedings. It takes longer and the process is more formal. The advantage is it produces a binding and enforceable decision that can be challenged only in limited circumstances.
While the full costs of an arbitration will be higher than adjudication, it’s quite common for an arbitration to settle before the full costs of the process have been incurred. That’s why some companies choose to commence arbitration over adjudication.
Checklist Before Commencing Arbitration
1. Has Arbitration Been Agreed?
Arbitration can only be used if both parties have agreed to it. Either there will be an arbitration clause in the construction contract or the parties will subsequently have agreed to use arbitration to resolve their dispute.
2. Is There A Clear Dispute?
As with adjudication, before an arbitration can begin, you must be able to say that there is a dispute that has “crystallised”. What does that mean? One party has put forward its position and the other has expressly rejected it. Alternatively, enough time has passed that it can be inferred they have rejected it.
3. What Does The Contract Say About Procedure?
Some arbitration clauses require the parties to follow particular procedural rules – for example, the JCT: Construction Industry Model Arbitration Rules (CIMAR), or the rules laid down by either the International Chamber of Commerce (ICC) or the London Court of International Arbitration (LCIA).
Our Construction Arbitration Specialists
Our specialist construction solicitors have helped numerous clients resolve their construction disputes through arbitration.
Our commercial construction team is headed up by Anthony Galvin. With a background in construction, Anthony has a keen appreciation of how the sector functions on a commercial level and is highly experienced in dealing with all areas of construction disputes, particularly those centring on contractual payments. He has many years’ experience in arbitration and other methods of dispute resolution and has succeeded in obtaining millions of pounds for his construction clients.
Altion Law are specialists in advising and representing parties on commercial construction contracts, claims and disputes.
For a confidential and free discussion, call us today on 01908 414990. Alternatively, email us at Hello@altion-law.co.uk or complete our Free Enquiry Form and we will call you back.
Mediation Of Commercial Construction Disputes
Mediation allows companies to bring to an end, or avoid completely, the stress and uncertainty of adversarial proceedings such as litigation or arbitration. Rather than spending months – potentially years – at loggerheads, locked in a long-running dispute, parties who choose to mediate are able to get back quickly to what they do best.
What Is Mediation?
Mediation is a confidential negotiation that’s facilitated by an independent third party, the mediator. It’s a way for parties to resolve their disputes amicably. A mediation takes place in a “without prejudice” environment, which means that anything that is said cannot be referred to as evidence in court, arbitration or adjudication proceedings.
The mediation process is far more flexible than adjudication, arbitration or litigation. Unlike court proceedings or other more formal forms of alternative dispute resolution, mediation gives parties greater scope to discuss and put to bed any differences they may have.
How Does Mediation Work?
A mediator will be someone neutral, with no ties to either party. Their role is not to make a decision, give advice, or judge the dispute. Instead, by facilitating constructive discussions, they help the parties to reconcile their differences and work towards resolving their dispute.
The mediator or mediation services company will be appointed on the agreement of all participants.
A mediation will normally take place at the offices of one party’s solicitors or at a neutral venue. There will need to be a room for each party as well as a room where joint discussions can be held. In some circumstances, mediation can be conducted remotely, although in-person meetings may allow for a more collaborative environment.
Who Pays For Mediation?
The parties will split the cost of the mediator’s fees and (if relevant) the venue hire. As many disputes can be resolved in a day, mediation allows the parties to make considerable savings in terms of time, energy, and legal expenses.
Our Construction Mediation Advocates
Altion Law has years of experience in representing and advising parties at mediation. With a background in construction, Anthony Galvin’s understanding of how the sector works on a commercial level means he is well placed to see beyond the narrow legal issues.
Anthony is highly experienced in dealing with all areas of construction disputes, particularly those centring on contractual payments. He has many years’ experience in mediation and other methods of dispute resolution and has succeeded in obtaining millions of pounds for his construction clients.
Altion Law are specialists in advising and representing parties on commercial construction contracts, claims and disputes.
For a confidential and free discussion, call us today on 01908 414990. Alternatively, email us at Hello@altion-law.co.uk or complete our Free Enquiry Form and we will call you back.
