Parties to construction contracts should consider using arbitration to resolve disputes. Arbitration is an alternative to a lawsuit, and it is generally faster (and sometimes cheaper) than going to court. More importantly, though, parties in a construction dispute can hire an arbitrator with significant experience in the construction industry to better understand the issues.
Commercial construction projects are all different. The personnel, site conditions, and specifications are different each time, and using an arbitrator familiar with industry terms and project complexities can help. Moreover, parties generally need to avoid project delay. The average length of today’s lawsuit is well over one year, whereas construction arbitrations can be conducted on an expedited basis.
The American Arbitration Association (AAA) offers specific Construction Industry Arbitration Rules. Other programs are available for parties to use as well.
You can only arbitrate if both parties to the dispute agree upon arbitration. Please call one of the attorneys at Bamberger, Foreman, Oswald & Hahn, LLP if you need help in deciding whether arbitration is right for you, and how you can document an agreement to arbitrate in the event of a dispute.
Tags: American Arbitration Association, arbitration, commercial construction, construction disputes, Construction Industry Arbitration Rules