i-law

International Construction Law Review

A COMPARISON OF DISPUTE REVIEW BOARDS AND ADJUDICATION

JAMES P GROTON, ROBERT A RUBIN AND BETTINA QUINTAS1

The construction industry has always had a special need for mechanisms to resolve construction project disputes promptly. The two newest and most promising devices for providing “real time” dispute resolution on construction projects are the Dispute Review Board, developed in the United States, and the adjudication process, developed in England. This paper examines the characteristics of each of these processes, compares them, points out the differences between them, and attempts to evaluate their relative strengths and potential weaknesses.

1. BACKGROUND

Over one hundred years ago the construction industries in both the United States and the United Kingdom, because of the need to keep construction projects moving, and because of the vast potential for disputes and conflict on projects, developed a two-step process for resolving disputes at the project site: whenever a problem arose that the parties could not immediately resolve they would call on the project architect or engineer to make an objective ruling on the issue. If that ruling did not resolve the problem, the parties could then refer the issue to a relatively informal ad hoc arbitration process whereby an arbitrator promptly held a hearing and issued a binding decision. These two processes were designed to enable the parties to put problems behind them and move forward with the project.2
Although the combination of these traditional job site dispute resolution methods served the construction industry reasonably well for several generations, unfortunately during the past 30 years they have ceased to be as effective as they once were. For a number of reasons that will be discussed in a later section of this paper, architect/engineer (“A/E”) decisions are no longer given the weight that have traditionally been accorded to them; and prompt, informal ad hoc arbitrations to resolve discrete disputes are now practically unheard of. Instead, arbitrations today tend to be massive post-project proceedings that involve a host of disputes that have


[2001
The International Construction Law Review

276

The rest of this document is only available to i-law.com online subscribers.

If you are already a subscriber, click Log In button.

Copyright © 2024 Maritime Insights & Intelligence Limited. Maritime Insights & Intelligence Limited is registered in England and Wales with company number 13831625 and address 5th Floor, 10 St Bride Street, London, EC4A 4AD, United Kingdom. Lloyd's List Intelligence is a trading name of Maritime Insights & Intelligence Limited.

Lloyd's is the registered trademark of the Society Incorporated by the Lloyd's Act 1871 by the name of Lloyd's.