Construction
Arbitration
Many contractors today are choosing arbitration clauses in their
contracts for two very good reasons.
First, arbitration provides a quicker decision-making process
than does our backed-up court system. Courts can take months or
years to even schedule a case. Arbitration, on the other hand,
can be completed in just weeks.
The second reason experienced contractors choose arbitration is
because arbitration will provide an arbitrator who he is
experienced in the construction industry. That is probably the
most important factor.
Contractors who have had a lawyer as a client know they can be
one of the most difficult clients. Perhaps it is just in the
nature of a lawyer to question not only everything in the
contract but to question everything you do during the project as
well. Now, where do you think judges come from? They are
lawyers!
Whether the case is being decided only by a judge, or by a jury,
a contractor often has about as good a chance as does an auto
mechanic.
An arbitrator however, is not a push over. Often times the
arbitrator comes out of the building inspection field. These are
not necessarily the friends of contractors but they do know
construction. They do know what acceptable standards in
construction are. They do know what the wording, phrases and
clauses of standard construction agreements mean. This is why
four out of five contractors would rather go to arbitration then
to court.
The person or entity with whom you are contracting usually,
readily agrees to arbitration when you explain the speed with
which a decision can be reached.
Construction arbitration can be obtained from the American
Arbitration Association (AAA) and the Better Business Bureau
(BBB).
You can purchase any of our forms or agreements at the Catalog page.