Construction Dispute Lawyers

Yes, we offer free consultations to clients during which you will discuss your construction dispute with one of our expert lawyers to determine the scope of the issue, the solutions and how we may be able to assist in achieving the best outcome for you.

Our expert construction lawyers are experienced in both contentious (disputes) and non-contentious (contracts) and will be able to provide you with expert advice on your concerns. To book a Free Consultation call us on 0207 459 4037 today.

Yes, our team is well-versed in both domestic and international construction contracts and their complexities. Our law firm also has an exclusive partnership with Spencer West LLP (a leading international law firm with 20 offices across the world) so we can handle international construction disputes as well.

We prioritise efficient dispute resolution to minimise project delays, ensuring all parties reach a favourable agreement.

If want a fast and affordable solution to your construction dispute, please call us on 0207 459 4037 for a Free Consultation with our lawyers. 

Our expert construction legal team will represent and guide you through every stage of the litigation process, ensuring the best possible outcome in the Court claim; we will prepare your claim to succeed. Your legal team will comprise of expert construction lawyers and litigators, so you can rest assured that your construction dispute will have the best chance of success. Our firm has some of the best litigators in the country and your legal claim will be in safe hands. We are here to help you throughout, reassure you and answer any questions that you may have throughout.

Our fee structures are transparent and competitive, tailored to the specific needs of each case. We are a price transparent practise. We will offer a bespoke funding solution depending on your case and individual circumstances including offering fixed fees, no win no fee agreements and other types of litigation funding that may be suitable for you.

For more information about our fees and packages, please refer to our Funding page and schedule a Free Consultation to discuss your matter in further detail with one of our expert construction lawyers.

Yes, our construction lawyers provide solutions to both commercial and residential construction disputes.

Delays in construction projects can lead to increased costs and potential legal disputes including the risks of Liquidated & Ascertained Damages (LADs).

The contract will usually specify provisions for such scenarios, including potential compensations or penalties. It is essential to document all causes and effects of delays to ensure any claims or defences are substantiated.

Case Example: Client A’s project faced delays due to unforeseen ground conditions. Since their contract had a provision for such unforeseen events, we were able to negotiate additional time for completion without financial penalties.

Liquidated Damages (LDs) are pre-agreed sums stipulated in a construction contract between the client and the sub-contractor for example, representing the genuine pre-estimate of losses a party may incur due to specific breaches, usually relating to delays.

If the contractor fails to complete the project by the agreed deadline, the client can claim these damages without needing to prove actual losses; the amount is usually set out in the construction contract.

Case Example: In a project for Client A, the contractor delayed completion by five weeks. The construction contract contained an LD clause, enabling Client A to recover a set amount of £10,000 for each week of delay (which in this case was £50,000) without having to evidence actual financial loss.

If you have experienced delay in a construction project or if a client has asked for liquidated damages, please do not hesitate to contact us to schedule a Free Consultation with one of our expert construction dispute lawyers.

Building regulations ensure that buildings are safe, energy-efficient, and accessible. Regular consultations with approved inspectors or local authority building control during the design and construction phase will help ensure compliance. Our expert construction advisors can also review contracts and designs to ensure legal compliance.

Case Example: Client A planned to renovate a listed building. Our lawyers provided guidance on obtaining necessary permissions and ensuring that all works met current building and heritage regulations.

Assignment refers to the transfer of rights or benefits from one party (the assignor) to another (the assignee). In construction contracts, assignment often occurs when the original party wishes to transfer the benefits of a contract, like the right to claim for works done, to another party. However, typically, the obligations or liabilities under a contract cannot be assigned without the consent of all parties.

Case Example: Client A had a contractual right to receive certain specialised machinery for a project. Due to strategic decisions, Client A assigned this right to Client B, who then became entitled to receive the machinery directly from the supplier.

A Final Account mechanism outlines the settlement of all monetary transactions between the parties at the end of a construction contract. While it is standard to expressly include this in contracts, if omitted, the courts may imply such a mechanism if it is deemed customary in the specific circumstances or necessary for the contract’s business efficacy.

Case Example: Client A’s construction contract lacked a clear Final Account mechanism. However, when disputes arose regarding final payments, it can be argued that given industry practice and the nature of their project, such a mechanism should be implied, leading to a favourable settlement for Client A.

Retention refers to a percentage of the contract price (often 3-5%) withheld by the client to ensure the contractor properly completes the works and rectifies any defects. Half of the retention is usually released upon reaching practical completion, with the remainder released after the ‘defects liability period’, ensuring the contractor addresses any post-completion issues.

Case Example: Client A had concerns about potential post-completion issues in a large residential project. The retention clause in their contract allowed them to withhold a portion of the payment until the contractor rectified all identified defects, ensuring the project met agreed standards.

Avoiding retention disputes in construction contracts is vital for a smooth project delivery. These tips from our expert lawyers may assist to prevent retention disputes:

• Clear Contractual Terms: Ensure the retention clause in your contract is precisely worded, detailing the amount, duration, and conditions for release.
• Regular Communication: Maintaining open dialogue can prevent minor issues from escalating into significant disputes.
• Joint Bank Accounts: Consider a retention bond or a joint bank account to safeguard the retained sums, ensuring they are available when required.
• Timely Inspections: Prompt inspections can flag defects early, aiding in the timely release of retained amounts.
• Alternative Security: Explore alternatives like performance bonds or retention bonds as substitutes to cash retentions.

Case Example: Client A avoided potential disputes by placing the retention amount in a joint bank account. This built trust and enabled a seamless release of funds upon completion.

At Go Legal, our expert construction lawyers can advise on setting up such preventative measures effectively. If you are unsure about retentions, book a Free Consultation with our specialist construction lawyers today.

Adjudication is a quick dispute resolution method tailored for the UK construction industry. If you are in a disagreement, you can refer it to an independent adjudicator who provides a decision usually within 28 days. Our expert construction dispute lawyers can guide you through the adjudication process, ensuring your interests are protected.

If you have a construction legal issue or concern, please do not hesitate to contact us to schedule a Free Consultation.

Adjudications in the UK are primarily governed by the Housing Grants, Construction and Regeneration Act 1996. It was later revised by the Local Democracy, Economic Development and Construction Act 2009. Navigating these acts can be complex, but our construction lawyers are well-versed in all aspects of construction legislation.

We can assist if you are thinking about referring a dispute to adjudication, and also enforcement. Our expert construction lawyers have also recently written an article on Construction Adjudications 2023 reviewing the trends and possible reforms.

An adjudicator’s decision is interim-binding, requiring both parties to comply. However, it can be contested later through arbitration or litigation.

Case Example: Client A, after a dispute with their contractor, engaged our construction lawyers. Through adjudication, a favourable decision was secured for Client A. Although the contractor complied initially, they later sought court proceedings. With the expert representation of our lawyers, the adjudicator’s decision was upheld in court.

If you are facing a situation where an adjudicator’s decision affects your project, do not navigate it alone. Please call us for a Free Consultation with our expert construction lawyers. We will assess your situation, providing guidance tailored to your circumstances.

Adjudication is a swift and cost-effective method of resolving disputes in the construction industry. Unlike litigation, which involves court proceedings and can be prolonged and expensive, adjudication typically results in a decision within 28 days.

Arbitration, on the other hand, is a private method of dispute resolution, but can still be lengthier and more formal than adjudication. Each method has its pros and cons, and the best approach depends on the specifics of the dispute.

Case Example: Client A approached our lawyers after a construction dispute. While arbitration seemed like the suitable path, our experts assessed the situation and recommended adjudication for a quicker resolution. The issue was resolved in a month, saving Client A time and resources.

If you are unsure about which method to pursue, book a free consultation with our construction legal specialists. We will guide you through the best route tailored to your circumstances.

A party can refer a construction dispute to adjudication at any time, provided there is a written contract and the dispute has crystallised. You can read our article on when adjudication can be started and the requirements for referring a dispute to adjudication.

The beauty of adjudication is its flexibility – disputes can be referred during the construction project or even after its completion.

Case Example: Client B, midway through a construction project, faced contractual issues and unpaid payment applications. Our lawyers swiftly intervened, and the matter was referred to adjudication, ensuring minimal project delays; Client B was able to recover multi-million-pound sums quickly.

For a clear understanding of when you can utilise adjudication in your dispute, reach out to our construction law experts for a Free Consultation.

While the right to adjudication is statutory in UK construction contracts, parties are not confined solely to it. They can also use arbitration, litigation, or other alternative dispute resolution methods. However, the contract might prescribe a particular process must be followed before resorting to these methods. If so, that dispute resolution mechanism must be followed.that 

At Go Legal, we help clients understand the nuances of their contracts and the most effective approach to take for their unique situation.

An adjudicator does not necessarily need to be a lawyer. They can be a professional from the construction industry with expertise relevant to the dispute. However, they should possess knowledge of the adjudication process, construction law, and the specific issues being disputed. Institutions such as the Royal Institution of Chartered Surveyors (RICS) and the Chartered Institute of Arbitrators (CIArb) offer training and accreditation for adjudicators.

Our expert construction dispute resolution lawyers are members of CIArb and the Adjudication Society.

Case Example: In a technical dispute faced by Client C, our lawyers suggested an adjudicator with specific engineering expertise. This helped in making a more informed decision, leading to a favourable outcome for the client.

For clarity on selecting the right adjudicator for your dispute or understanding the adjudication process better, schedule a Free Consultation with our experienced construction lawyers today on 0207 459 4037.

Adjudication is designed to be a swift process. Once a party gives notice of their intent to refer a dispute to adjudication, an adjudicator is appointed, and the referring party has seven days to submit their case. The adjudicator then usually has 28 days from the referral to reach a decision. There can be extensions, but the entire process typically concludes within a few weeks.

Case Example: Client A approached our lawyers with an urgent construction issue. Thanks to our timely intervention and thorough preparation, the adjudication was resolved in just over a month, allowing Client A to move forward with minimal disruption.

For an in-depth understanding of the adjudication timeline tailored to your case, book a Free Consultation with our expert lawyers.

The evidence varies depending on the construction dispute but may include the construction contract, correspondence between parties, payment notices, expert reports, witness statements, and any other relevant documents. It is crucial to present a comprehensive yet concise case to the adjudicator.

Case Example: When Client B faced a dispute over payment delays, our expert lawyers meticulously compiled all relevant communications, invoices, and payment records to create a compelling case in the adjudication to make it easier for the adjudicator side with Client B.

Organising the right documents is pivotal for a strong case. Discuss your situation with our expert lawyers to ensure you are fully prepared and can give your adjudication the best prospects of success.

The adjudicator reviews all evidence, arguments, and documents presented by both parties. Based on this, they make an informed decision. This decision is temporarily binding. It is enforceable immediately but can be revisited later through litigation, arbitration, or agreement between parties.

Go Legal prides itself on guiding clients through the intricacies of the adjudicator’s decision-making and ensuring our clients are well-prepared for every potential outcome; please do not hesitate to call us for a Free Consultation today.

While the decision is binding, it is only temporarily so. Parties can challenge or appeal the adjudicator’s decision through subsequent litigation or arbitration. However, they must first comply with the decision unless they have agreed otherwise.

Uncertain about the implications of an adjudicator’s decision on your case? Schedule a free consultation with our expert lawyers to evaluate your next steps.

The costs of adjudication primarily consist of the adjudicator’s fees, which both parties are generally responsible for, unless the contract or the adjudicator decides otherwise. It is worth noting that while adjudication tends to be faster than litigation, it is essential to assess potential costs against the benefits.

At Go Legal, we provide clients with transparent cost estimates and potential outcomes to help them make informed decisions. Considering adjudication? Book a free consultation with our expert team to get a clear picture of potential costs.

If you have received a Notice of Adjudication, it is essential to act swiftly. Engage our expert construction lawyers quickly to understand your rights and obligations. Prepare to submit a response, generally within seven days, and gather all pertinent documents.

Case Example: Client A received a Notice of Adjudication and approached our expert lawyers. Our swift action and guidance ensured Client A effectively defended their position.

If you have been served with a Notice of Adjudication please call us for a Free Consultation.

A Payment Application is a formal request by a contractor or subcontractor seeking payment for work done within a specified period. It outlines the work completed, its value, and any additional costs or changes.

Disputes can arise when payment applications do not comply with the requirements or have been served late, or does not represent a true value of the work claimed. If you have a payment application dispute please call us for Free Consultation today.

Not all construction contracts mandate Payment Applications, but they are common in many, especially larger projects. The requirements around Payment Applications are usually outlined in the contract terms.

Whether you are drafting a new contract or navigating an existing one, our lawyers can advise on best practices concerning Payment Applications.

Payment Applications serve multiple purposes in the construction industry:

• Ensure the contractor is paid for completed work.
• Provide a clear record of work progress and associated costs.
• Offer transparency and reduce disputes between parties by setting expectations regarding payments.

Case Example: Client B, having disputes over unpaid invoices, approached our expert construction lawyers. By streamlining their Payment Application process, future disagreements were significantly reduced. We were able to recover over £3m for our client plus 100% of their legal costs from the debtor.

Unsure about Payment Applications in your construction project? Go Legal’s expert lawyers are here to help. Schedule your free consultation today.

Payment Applications frequency is generally set out in the construction contract. Common intervals are monthly, but it can vary based on project size, nature, and the agreement between parties.

At Go Legal, we advise clients on optimal payment frequencies when drafting or negotiating contracts to ensure regular cash flow and fair terms for all parties.

Case Example: When Client A faced cash flow challenges due to infrequent Payment Applications, our lawyers advised on contract renegotiation, leading to more favourable terms.

A Payment Application in construction typically includes:

• Description of completed work, date and associated costs.
• Value of materials supplied or on-site.
• Any additional costs or changes.
• Deductions, such as retentions or previous payments.
• A summary total.

Precision is key. Go Legal’s team ensures Payment Applications are detailed and compliant, reducing potential disputes. If you have any concerns or are unsure, please do not hesitate to contact us to arrange a Free Consultation today.

The contract usually specifies this timeframe. However, in the absence of stipulated terms, standard industry practices often apply, typically ranging from 7 to 28 days.

Timely responses can prevent disputes. Let our experienced construction legal team guide you through the complexities of Payment Applications and responses.

If disputed or rejected, the paying party should provide a “Pay Less Notice,” detailing the reasons for withholding payment. The parties can then negotiate, mediate, or, if necessary, resort to adjudication or litigation.

Case Example: Client B’s Payment Application for the sum of £200k was disputed. With our lawyer’s specialist intervention, a resolution was reached without costly litigation.

Allow Go Legal’s expert construction lawyers to assist. Contact us for a free consultation today to discuss your legal case with our lawyers today.

Under the UK’s Housing Grants, Construction and Regeneration Act 1996, a contractor or subcontractor can suspend work if not paid by the due date, provided they give a seven-day warning notice; this provision may have been amended in the contractual agreement therefore it is important to check the same.

Case Example: When Client D was not paid as per their Payment Application, our lawyers advised on the correct suspension process, ensuring legal compliance.

Yes, in the UK, the Housing Grants, Construction and Regeneration Act 1996 (as amended) sets out requirements for payment in construction contracts, including the right to stage payments and a mechanism for determining due dates and final dates for payment.

At Go Legal, our expert lawyers have vast experience in interpreting and applying this legislation to protect our clients’ interests.

Yes. If a party disagrees with an amount claimed, they can issue a ‘Pay Less Notice’, detailing the sum they believe is due and the reason for the difference. This must be done within a timeframe specified in the contract or as stipulated by statute.

Case Example: Client A received a disputed Payment Application. With our lawyer’s assistance, a clear and compliant Pay Less Notice was drafted, resulting in an amicable resolution.

Yes, there is a subtle difference. Payment Applications are typically submitted by contractors to request payment for work. Interim valuations, on the other hand, are assessments by the client, architect, or contract administrator of the value of work done to date. Typically, interim valuations are used by the client to issue a pay for less notice to the subcontractor.

Go Legal often aids clients in navigating the complexities between these two, ensuring clarity and preventing potential disputes.

A Pay Less Notice is used to inform the party submitting the Payment Application that the payer intends to pay less than the applied amount. It details the sum the payer believes to be due and the reason for the difference. It must be issued within the contractual or statutory timeframe.

Engaging with Go Legal can ensure that Pay Less Notices are appropriately issued or responded to, safeguarding your rights in any financial disagreement.

A Pay Less Notice is a formal notification that one party intends to pay less than the sum requested by the other party in a Payment Application. It provides a revised value and the basis for the calculation, ensuring transparency and a chance for resolution before the final date for payment.

Case Example: When Client B’s contractor issued a questionable Payment Application, our construction lawyers guided them through the Pay Less Notice process, ensuring clarity and a robust legal standing.

A Pay Less Notice is issued when one party (usually the employer or main contractor) intends to pay less than the amount applied for by the other party in a Payment Application. Reasons can range from disputes over the quality of work to disagreements over the valuation of works.

With complex scenarios often behind such notices, it is crucial to get guidance. Go Legal’s expert team is well-equipped to provide insights and aid resolution.

Under the Housing Grants, Construction and Regeneration Act 1996, if a party wishes to pay less than the amount requested, they must issue a Pay Less Notice detailing the amount they intend to pay and the reason for the reduction. This applies unless the contract specifically includes a different mechanism for such disputes.

Not sure about the nuances of your construction contract? Contact Go Legal for an expert review.

If a Pay Less Notice is not issued in time and in accordance with the contract or statutory requirements, the paying party may be obligated to pay the full amount applied for in the Payment Application.

Case Example: Client A faced substantial unexpected costs due to a missed Pay Less Notice. Go Legal stepped in, navigating a way forward and offering guidance on avoiding future pitfalls.

Yes. If a contractor disagrees with the contents or validity of a Pay Less Notice, they can challenge it, often leading to negotiations, adjudication, or other dispute resolution methods.

Go Legal has successfully represented both issuers and recipients of Pay Less Notices, ensuring their rights and interests are robustly defended.

A Pay Less Notice must clearly specify:

• The sum considered due by the party issuing the notice.
• The basis on which that sum is calculated.

Ensuring compliance and clarity in such notices is paramount. Go Legal’s team can draft or review your notices to ensure they meet all requirements.

Yes. The timeframe is either stipulated in the construction contract or, in its absence, falls under statutory requirements. Typically, it must be issued sufficiently in advance of the final date for payment.

Do not miss crucial deadlines; let Go Legal guide you through your contractual obligations.

Generally, a Pay Less Notice is issued in response to a specific Payment Application. If there are multiple Payment Applications for different stages of work and the payer wishes to pay less on several of them, separate Pay Less Notices should be issued for each.

A Withholding Notice was the term used prior to changes in the Construction Act in 2011. Now, the Pay Less Notice serves a similar purpose but is more broadly applicable, covering any amount the payer intends to withhold, not just for specific reasons.

Unsure about terminologies or processes? Let Go Legal demystify them for you.

If a party disagrees:

• Open Dialogue: Initially, a direct discussion with the issuer can resolve misunderstandings.
• Formal Dispute Resolution: They can consider adjudication, arbitration, or litigation to contest the notice.

Case Example: When Client A disputed a Pay Less Notice, our expert construction lawyers intervened, achieving a favourable settlement through negotiation in the sum of over £3m plus costs, saving time and money.

Technically, once issued, a Pay Less Notice stands as per its terms. However, parties can mutually agree to disregard or amend it. For any changes to be binding, they should be documented.

It is always wise to consult our construction legal advisors to understand the implications and potential pitfalls of such decisions.

To recover outstanding payments:

• Initial Reminder: Start with a formal written reminder.
• Negotiation: If disputes arise, open dialogue, or involve a mediator.
• Legal Means: Consider adjudication, arbitration, or litigation. As a last resort, insolvency proceedings might be initiated against a non-paying party.

At Go Legal, we have helped numerous construction companies recover their dues while safeguarding relationships.

Debt recovery in construction is often fraught with challenges:

• Lack of Contractual Terms: Sometimes agreements within the construction industry are conducts by oral agreement or gentleman’s handshakes, this may complicate matters.
• Complex Contractual Terms: Ambiguities or vague clauses can lead to disagreements.
• Multiple Parties Involved: Coordinating among contractors, sub-contractors, and suppliers can be cumbersome.
• Record Keeping Issues: Disputes can arise if there’s inadequate documentation of work done or materials supplied.
• Cash Flow Concerns: Some companies may delay payments due to their own financial issues.

Seeking expert advice from Go Legal can help mitigate these challenges, ensuring you navigate the recovery process effectively; please do not hesitate to call us to schedule your Free Consultation.

Yes, in the UK, the Housing Grants, Construction and Regeneration Act 1996 (often referred to as the Construction Act) provides key provisions on payment terms, including the rights and obligations of parties in the construction sector. Further changes were made in the Local Democracy, Economic Development and Construction Act 2009.

Understanding these regulations is vital. Go Legal’s expert construction lawyers are well-versed in these statutory provisions, ensuring you are always on the right side of the law.

There are several steps that you could use to pursue a debt recovery claim against an opponent within the construction industry:

• Written Reminders: Initiate with a formal letter detailing the amount owed, with associated invoices and contract terms.
• Legal Notice: If the debt remains unsettled, a legal notice might be necessary.
• Alternative Dispute Resolution: Consider mediation or adjudication to resolve disputes.
• Legal Proceedings: If necessary, escalate to litigation.

Case Example: When Client A faced difficulties recovering a significant amount, our lawyer’s intervention, starting from negotiation to formal proceedings, resulted in a successful recovery.

Yes. Alternative Dispute Resolution (ADR) methods like mediation, negotiation, and adjudication are often quicker and more cost-effective than traditional litigation. They also foster amicable resolutions, preserving business relationships.

Defective works refer to any aspect of a construction project that deviates from the contract’s stipulated standards, plans, or specifications. This could arise from materials that do not meet the quality standards, poor workmanship, or deviations from the original design, leading to structural or cosmetic issues.

Go Legal’s experienced team of lawyers can assist you in understanding contractual clauses relating to defect identification and remedies, ensuring you are protected.

Responsibility for defective works typically falls on the party whose obligation it was to ensure the quality of work as per the contract. This can be:

• The main contractor, if the defect arises from their work or that of their subcontractors.
• The designer or architect, if the defect results from flawed designs or specifications.
• The supplier, if the defect is due to inferior or faulty materials.

However, contracts may contain specific provisions and exceptions, so it is crucial to review your agreement. Go Legal’s expertise in construction law ensures you navigate these complexities effectively.

Common defects in construction projects include:

• Structural Issues: Such as cracks in the foundation or walls, and unstable roofs.
• Water Leaks: Resulting from poor roofing, defective plumbing, or inadequate waterproofing.
• Electrical and Mechanical Issues: Faulty wiring, ineffective HVAC systems, etc.
• Cosmetic Flaws: Such as poor finishes, misaligned fixtures, or paint issues.

Identification and documentation of defects are crucial for rectification and potential legal actions:

1. Regular Inspections: Engage a qualified surveyor or consultant to periodically inspect the works.
2. Photographic Evidence: Capture clear photos or videos of suspected defects.
3. Detailed Reports: Maintain detailed notes describing the defect, its location, and the date of identification.
4. Expert Opinions: For complex defects, seek opinions from specialists to understand the cause and remedy.
5. Contract Review: Refer to your contract for stipulated quality standards and compare them against the actual work.

Go Legal can guide you through the process of defect identification, ensuring all potential issues are addressed; please do not hesitate to call us today for a Free Consultation.

Upon discovering defective works, your legal rights typically include:

• Rectification: You have the right to demand that the contractor rectifies the defects at their own cost.
• Compensation: If the defects have led to additional costs or loss, you can seek compensation.
• Contract Termination: Depending on your contract, severe defects may grant you the right to terminate the contract.
• Withholding Payment: You may have the right to withhold payment until the defect is corrected.

It is essential to consult your construction contract as it might have specific provisions detailing your rights. Go Legal’s construction lawyers can assist in interpreting these clauses, ensuring you are well informed and protected.

Yes, you can generally seek compensation for any direct losses incurred due to defective works. This could include costs for rectification works, loss of use, or any financial losses arising from the delay.

Case Example: Client A approached our expert lawyers after incurring significant additional costs due to defective plumbing works. Our lawyers were able to successfully secured compensation covering the rectification costs and associated losses.

In the UK, for construction contracts, you generally have six years from the date of breach (or 12 years if the contract is executed as a deed) to bring a claim related to defective works. However, it is essential to act promptly upon discovering a defect to ensure your rights are preserved.

Several methods can be employed to resolve quality disputes:

• Direct Negotiation: Initiate a dialogue with the contractor to find an amicable solution.
• Mediation: Engage a neutral third-party mediator to facilitate a resolution.
• Contractual Mechanisms: Utilise any dispute resolution mechanisms outlined in your contract.
• Adjudication: A popular method in the construction industry, where an adjudicator provides a timely decision on the dispute.
• Litigation: If other methods fail, you can take the matter to court.

At Go Legal, we pride ourselves on guiding clients through these options, focusing on achieving the best outcomes with minimal disruption.

Arbitration is a private dispute resolution process where parties agree to have their dispute resolved by one or more independent third parties (arbitrators) rather than by a court. In construction disputes, parties often prefer arbitration due to its confidential nature, the ability to choose a specialist arbitrator, and the flexibility it offers in terms of procedure.

Case Example: When Client A had a significant disagreement over a construction project’s final account, our lawyers advised them to opt for arbitration. The case was swiftly and discreetly handled, allowing both parties to maintain their business relationship.

There are several advantages of arbitration when compared with litigation in construction disputes, including:

• Flexibility: Parties can tailor the process according to their needs, such as setting timelines or deciding procedural matters.
• Expertise: Arbitrators with specific expertise in construction can be selected, ensuring an informed decision.
• Confidentiality: Arbitration proceedings are private, unlike court trials which are typically public.
• Enforceability: Arbitral awards are recognised and enforceable in many jurisdictions globally due to conventions like the New York Convention.
• Cost & Time: Although not always the case, arbitration can be quicker and more cost-effective than prolonged court proceedings.

Whether arbitration is mandatory depends on the construction contract. If the contract includes an arbitration clause, then disputes must typically be resolved through arbitration. However, parties can also mutually agree on arbitration even if the contract initially does not provide for it. That said, parties are free to choose other dispute resolution methods like mediation, adjudication, or litigation if both concur.

Arbitrators are usually chosen by:

• Agreement between the Parties: Parties can mutually agree on a specific arbitrator.
• Nomination by a Recognised Institution: If parties can’t agree, institutions like the Royal Institution of Chartered Surveyors (RICS) or the London Court of International Arbitration (LCIA) can nominate an arbitrator.
• Appointing Authority: Some arbitration rules allow an external authority to appoint the arbitrator if parties cannot decide.

Typically, arbitrators for construction disputes have a legal background, though many also possess technical qualifications or significant experience in the construction industry.

Arbitration has several steps that require expert construction lawyers in order to navigate and provide you with the best prospects of delivering a successful outcome in your case, including:

1. Agreement to Arbitrate: Before anything can proceed, there must be an agreement between the parties to arbitrate, usually found in the form of an arbitration clause within the construction contract. If there is not a pre-existing agreement, parties can still mutually agree to go to arbitration after a dispute has arisen.
2. Notice of Arbitration: The party initiating the arbitration (the claimant) submits a notice to the other party (the respondent). This notice typically outlines the nature of the dispute, the relief sought, and the legal basis for the claim.
3. Selection of Arbitrator(s): Depending on the arbitration agreement, either a sole arbitrator will be chosen, or each party may select one arbitrator, with those two arbitrators then selecting a third. If parties cannot agree, an appointing authority or institution may choose the arbitrator(s). 
4. Submission of Pleadings: Both parties present their arguments, evidence, and legal basis for their position in a series of documents. This typically includes a statement of claim, a statement of defence, and possibly a counterclaim or reply.
5. Preliminary Hearing: A preliminary or procedural hearing may be conducted, setting out timelines, witness details, and other procedural matters.
6. Exchange of Evidence: Both parties disclose relevant documents and evidence they intend to rely on. This might also include witness statements, expert reports, and other pertinent documentation.
7. Main Hearing: During the hearing, both parties present their cases. This might involve witness cross-examinations, expert testimonies, and oral submissions. Arbitrators will ask questions to understand the issues better.
8. Award by the Arbitrator: After deliberating, the arbitrator or panel of arbitrators will issue a final award. This decision is binding and details the outcome and any compensation or action required.
9. Enforcement or Challenge: While the award is binding, in rare cases, a party might challenge the award in a court, based on very limited grounds. If a party fails to comply with the award, the other can seek enforcement, often supported by international conventions, making it enforceable in many countries.

Navigating the intricacies of the arbitration process requires adept legal expertise. Our expert construction lawyers have both the experience and acumen to guide and represent you throughout the process. If you are looking for a construction law firm to help with your arbitration dispute, call us for a Free Consultation today