Conflict Avoidance, management and dispute resolution

Question 1

What are the common causes of conflict

Answer 1

The most common cause is in relation to failure to comply with a contractual obligation. This usually shows in payments of rent and service charge and differing interpretations of lease clauses

Question 2

How do you avoid a conflict

Answer 2

Ensure leases are clear and concise
Managing all parties and ensuring regular communication
Being clear and transparent during negotiations
Keeping good records of communication

Question 3

What are the 3 main processes to resolve a dispute

Answer 3

Negotiation
Mediation which is a 3rd party intervention and does not bind either party to a decision
Adjudicative process which a 3rd party provides outcome through litigation or arbitration

Question 4

What is ADR

Answer 4

Alternative Dispute Resolution - this falls outside of litigation which makes the process quicker, cost less and confidential. Methods include
Mediation

Arbitration

Independent Expert Determination

Question 5

Explain Mediation

Answer 5

• 3rd party
• Conducted without prejudice
• no authority to make a decision
• RICS Guidance Note in Mediation 2014

Question 6

Explain Arbitration

Answer 6

• Can order a hearing or request written representations
• will specialize in subject
• Fast and cost effective
• Arbitration Act 1996

Question 7

Explain Independent Expert Determination

Answer 7

• Appointed by both parties or by RICS
• Is an expert
• Bound by the decision
• RICS Guidance Note in Independent Expert Determination 2016