Most construction contracts include an arbitration clause whereby the parties agree to resolve any potential disputes that may arise by using the services of an arbitrator.
Many forms of agreements require arbitration as per American Arbitration Association guidelines while some others require mediation.
An agreement to arbitrate may be made either in advance of a dispute (e.g., in the contract) or after the dispute has arisen. The California Arbitration Act and the Federal Arbitration Act enforce arbitration provisions in contracts. California courts and public policy favor the resolution of commercial disputes through arbitration "to promote judicial economy and to settle disputes quickly and fairly". Thus, courts will generally enforce such contractual provisions.
Construction disputes are often extremely complex, and arbitration may prove an arduous process; there are efficiencies, however, in part because discovery rules do not apply, proceedings are informal, and it is not necessary to follow formal rules of evidence.
Mr. Brown is a National Construction Panel Member for the American Arbitration Association mediator and arbitrator and an arbitrator for the State of California Office of Administrative Hearings (OAH).
He has performed arbitrations for the State Board of Contractor's State License Board and numerous other associations and public and private organizations.
For more information on our arbitration services, please contact us at 1-800-832-6946.
