Construction Law

Construction Disputes and The Benefit of Arbitration Clauses featured image

Construction Disputes and The Benefit of Arbitration Clauses

Construction projects can be very complex and lengthy, involving a number of variables that often lead to disputes between contracting parties. In the absence of a written agreement within a contract for handling disputes, such indifferences often end up in litigation before the courts. Unfortunately, litigation has become a common means of dispute resolution proving to be extremely costly and time consuming for all parties involved. Additionally, construction disputes often involve subject matter that is beyond the experience of most jury members.

Contrary to litigation, an arbitration clause provides the ability for contracting parties to effectively and efficiently plan in advance how to handle disputes should they arise during the course of a construction project. A well-drafted arbitration clause can help disputing parties resolve construction contract disputes quickly and cost-effectively allowing construction projects to continue without major disruption. It is highly recommended to have a Tampa construction dispute attorney prior to entering a contract to review and ensure your are properly protected during a dispute.

Arbitration Clauses

Arbitration is an informal process where disputing parties submit their case to one or more impartial persons authorized to resolve the controversy, otherwise known as an arbitrator. After review and careful consideration of the dispute, the arbitrator renders a final and binding decision. This form of alternative dispute resolution is one that is often used within the construction industry, and highly favored among both federal and state levels.

Arbitration clauses simply state that disputes which arise among contracting parties will be settled by arbitration in accordance with specific procedures outlined in the Construction Industry Arbitration Rules and Mediation Procedures of the American Arbitration Association. Due to the complex nature of construction projects, costs, materials, technology and other specific requirements, standard arbitration clauses may not always be sufficient enough for every case. To ensure that a construction dispute is correctly and fairly resolved, it is wise to have your contract reviewed by an experienced construction dispute attorney in Tampa.

To speak with a qualified construction attorney, please contact us today. 

Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.