Part 3: Types of Disputes Suitable for Arbitration
Overview of Disputes Ideal for Arbitration Arbitration is particularly well-suited for a variety of disputes, especially those arising in the construction industry. This section provides an overview of the types of disputes that are ideal for arbitration and why they are better suited for this form of dispute resolution. Contract Disputes One of the most common types of disputes in the construction industry involves contracts. These disputes can arise over the interpretation of the laws governing construction contracts, contract terms, performance obligations, and the scope of work. Arbitration is ideal for contract disputes because it allows parties to choose an arbitrator with specific expertise in construction contracts, providing a basis for a more informed and reasonable determination. Payment Issues Disputes over payment are another frequent occurrence in the construction industry. These issues can involve delayed payments, non-payment, or disputes over the amount due. Arbitration provides a faster and more efficient resolution to these issues compared to litigation in the courts, which can be both lengthy and costly. The private nature of arbitration also helps maintain business relationships by resolving disputes discreetly. Delays and Scheduling Construction projects are often subject to factors which extend the construction timeline, due to circumstances which