Focus on the benefits of adjudication

News Article

In this edition of our Commercial newswire, we focus on how adjudication can benefit businesses allied to the construction sector:

Adjudication, whether under the Housing Grants, Construction and Regeneration Act 1996 or pursuant to the specific terms of a construction contract, can be a quick, efficient and cost effective way to resolve disputes in the construction industry. Disputes are determined by an Adjudicator, who in most cases will be an experienced construction lawyer or an independent construction professional. The Adjudicator’s decision is binding upon the parties.

For the party referring a dispute, the 28 day timescale allows for a speedy resolution which protects cash flow and minimises disruption and delay on site, provided the referral is carefully drafted so as to avoid any successful challenges. For the party responding, it is vital that the issues raised by the referral are mastered quickly so as to ensure that a comprehensive response that advances all available arguments on jurisdiction and merits can be submitted within the seven-day response window.

Palmers Solicitors Construction Law Team have the experience and skills to aide clients through the process and in conjunction with Crown Office Chambers (a specialist set of Construction and Engineering Barristers) we are able to offer a fixed fee adjudication scheme so that you know the precise costs that will be incurred.

The opposite will include the following:

For a referring party:

  • Advice on merits and strategy.
  • Drafting Notice of Adjudication, Referral Notice and Reply (if required).
  • Reviewing and drafting Witness Statements.
  • Correspondence with the other party and the Adjudicator.
  • Attendance and representation at any Hearing directed by the Adjudicator (limited to hearings of one day or less).

For a responding party:

  • Advice on merits and strategy.
  • Drafting Notice of Response and Rejoinder (if required).
  • Reviewing and drafting Witness Statements.
  • Correspondence with the other party and the Adjudicator.
  • Attendance and representation at any Hearing directed by the Adjudicator (limited to hearings of one day or less).

Exclusions:

The costs of Adjudication are usually not recoverable from the other side even if successful, however, whilst enforcement of an Adjudicator’s award is excluded from this fixed fee scheme, the costs associated with enforcement of an Adjudicator’s award are usually recoverable.

For more information please contact Palmers’ Partner and Head of our Construction team, Adam Davis.