Commercial dispute resolution

Commercial dispute resolution: adjudication

Guide

Adjudication, as with other methods of alternative dispute resolution, is actively encouraged by the courts. It is commonly used in the construction industry.

Parties to construction contracts have rights under the law to refer a dispute arising under a construction contract to adjudication. This right to refer a dispute arising under certain types of contracts to adjudication cannot be excluded by either party.

The adjudication will be heard by a qualified adjudicator, who will decide the case within 28 days. That decision is binding on a temporary basis, but either party may then refer the dispute for determination by arbitration or litigation.

To enforce an adjudicator's judgment, the claimant must apply to the High Court for recovery and enforcement of the award. The adjudicator has a duty to act impartially, adopt fair procedures and give proper and balanced consideration to both parties. The only grounds available to contest the High Court's enforcement of an adjudicator's decision will be to challenge the jurisdiction of the adjudicator or the manner in which the adjudication was conducted.

The parties will respectively pay their own costs, and the adjudicator will decide which party should pay its fees and expenses.

The Adjudicator Nominating Body provides further information.