2.6 Conflic Avoidance, Management & Dispute Resolution Procedure Flashcards
How can you avoid conflict in the first instance?
-Clearly state the responsibilities of each party
-Clear and continuous communication
-Put everything in writing
-Follow company procedure and policy
-Follow RICS standards
Causes of disputes?
Commercial disagreements.
Unclear and conflicting drawing/specs.
Teams under pressure.
Unclear scope of service.
What are the main forms of ADR?
Negotiations
Mediation
Adjudication
What is the TCC?
Technology and Construction Court - handles cases less than £250k for disputes about building, engineering and surveying.
What is mediation?
A neutral third-party facilitates discussions with goal of reaching a settlement. The power to settle remains with the parties. This process is non-binding.
What is conciliation?
Similar to mediation. A conciliator provides a “recommendation”. Also not binding.
What is adjudication?
Provides a fast working solution so parties can resume with work. The finding is binding with no appeal.
What is the adjudication process?
-Parties serve notice of intention to refer dispute to adjudication.
-To prevent voiding the adjudication, the referring party must its Referral(statement of case) within 7 days of the notice.
-Within the 7 day period the referring party must obtain the adjudicator.
-The adjudicator must set out a timetable for referral response.
-Adjudicator must make a decision with 28 days of the referral.
Who pays for the Adjudication?
Both parties agree within the contract but the adjudicator can decide.
What is arbitration?
Formal, non-court alternative to resolve disputes. Arbitrator makes a binding decision.
Advantages of arbitration?
-Private.
-Speed.
-Arbitrator can have relevant experience.
-Decision can be enforced as a judgement in court.
Disadvantages of arbitration?
-Parties bear the costs of both the arbitrator and venue.
-Limited appeal rights.
-May be uneconomical if the disputed amount is small.
What is litigation?
A party brings the claim to civils court. The nature and severity will determine the court it is heard in.
Advantages of litigation?
Judge can impose sanctions for non-compliance, hastening compliance.
Judge can order interim relief why final judgement is pending.
If errors of fact or law are made, defined rights of appeal are there.
Disadvantages of litigation?
-Great cost.
-Potentially long period before judgement.
-Public proceeding.
-Judgement is subject to appeal.
