Resolve Your Construction Arbitration Issues with Experienced Attorneys
Understand the Pros and Cons of Arbitration in the Construction Industry
Many building and construction contracts that are written today include an “arbitration clause.” This clause is used to anticipate any disputes that may arise and outlines that both sides must submit their dispute for arbitration before an organization such as the American Arbitration Association (AAA) or JAMS. It is a common assumption that construction arbitration is a more cost-effective and less time-consuming option than a trial, but unfortunately, this is not always the case. Each case is different and in some instances it is better to arbitrate than to litigate but there are also cases that are better to litigate than arbitrate. Unfortunately you typically have to make a decision on arbitration at the time you draft your contract, not once the project has already begun and the particulars of the disputed issues are known.
At the law firm of Kushnick Pallaci PLLC, we understand the rules and procedures of the AAA and Arbitration and handle construction arbitration matters for clients. We work with clients in prosecuting and defending arbitrations, but we also advise our clients during contract formation on the advantages and disadvantages of including arbitration provisions in those contracts.
If you are dealing with construction arbitration proceedings, or are forming a construction contract and have questions about construction arbitration proceedings, contact us at Kushnick Pallaci PLLC, to schedule a free initial consultation.
What is Arbitration?
Arbitration is a form of “alternate dispute resolution” that is common in the construction industry. Unlike litigation, arbitration does not take place in a Court. The case is decided by an arbitrator, not a jury or judge. While the arbitrator may be a retired judge, he or she doesn’t have to be. In fact, an arbitrator does not even have to be an attorney and, in construction arbitration, the arbitrator often is not an attorney but, rather, someone familiar with the construction industry.
At the end of the arbitration the arbitrator renders an award. Except in certain limited circumstances, an arbitration award cannot be overturned by a Court.
Reasons to Avoid Arbitration
It is commonly believed by many in the construction industry that mediation or arbitration is a faster, cheaper and more preferable option than litigation in construction defects or construction law disputes. Unfortunately, without focused and experienced counsel, the arbitration process can be unpredictable, time consuming and expensive.
Arbitration may be time consuming and expensive for those who are unfamiliar with the process. Avoiding arbitration may be the best approach in your case, but if arbitration is unavoidable, you will need an experienced lawyer to protect your rights. Our firm will develop a strategy that is right for you and will guide you through the process so that it is as efficient and effective as possible.
Contact us at Kushnick Pallaci PLLC at 631-752-7100 or toll free at 1-888 – 587 – 4529 to schedule a free initial consultation.