Alert: AAA Construction Industry Rules Update

cc811cc3-aaa-color-web-lowres_08r01u08r01u000000The American Arbitration Association has made some needed updates to their Construction Industry Arbitration and Mediation Rules, effective July 1, 2015.  Among the changes listed at their website are:

  • A mediation step for all cases with claims of $100,000 or more (subject to the ability of any party to opt out).
  • Consolidation and joinder time frames and filing requirements to streamline these increasingly involved issues in construction arbitrations.
  • New preliminary hearing rules to provide more structure and organization to get the arbitration process on the right track from the beginning.
  • Information exchange measures to give arbitrators a greater degree of control to limit the exchange of information, including electronic documents.
  • Availability of emergency measures of protection in contracts that have been entered into on or after July 1, 2015.
  • Enforcement power of the arbitrator to issue orders to parties that refuse to comply with the Rules or the arbitrator’s orders.
  • Permissibility of dispositive motions to dispose of all or part of a claim or to narrow the issue in a claim.

Many of these changes are necessary and both give some emphasis to mediation (something near to my heart) and give the neutral more enforcement power that before.  Of course, this is just a brief set of bullets from AAA, I recommend that you get the full rules (linked from the site linked above) and discuss any contractual ADR provisions or these rules with an experienced construction attorney.

As always, I welcome your comments below.  Please subscribe to keep up with this and other Construction Law Musings.

Termination, Warranty Claims and Back Charges

Originally posted 2012-09-28 09:00:09. Republished by Blog Post PromoterFor this week’s Guest Post Friday here at Musings, we welcome Jim Fullerton.  Jim is the President of the law firm of Fullerton & Knowles, P.C., which has attorneys licensed in Virginia, Maryland, Pennsylvania, and the District of Columbia, is a Martindale Hubbell Peer Rated Lawyer AV®…

How Do You Get to the Five Year Mark? Some Practical Advice

For this week’s Guest Post Friday here at Construction Law Musings, we would like to welcome back (again) Sean Lintow Sr. of SLS Construction & Building Solutions. Sean has over 20 years working directly in the trenches in the construction arena. Since moving to Illinois, the focus of his business has shifted to helping builders,…

When Is Mandatory Arbitration Not Mandatory?

I have discussed my views on mandatory mediation in construction contracts at other places here at Musings and also discussed how the contract is king here in Virginia.  A recent Charlottesville, Virginia Circuit Court case combined these two concepts to allow a subcontractor to proceed straight to litigation despite various ADR provisions in the contract…

Value Added Design – Go Green

Originally posted 2011-05-20 09:00:19. Republished by Blog Post PromoterFor this weeks Guest Post Friday here at Construction Law Musings, we welcome Charles Hendricks, AIA, CSI, LEED AP.  Charles (@thegainesgroup on Twitter) is an architect at The Gaines Group, PLC. This architectural and design firm was named the “best green designers” in 2008 by the Virginia Sustainable Building…

About musings

I am a construction lawyer in Richmond, Virginia, a LEED AP, and have been nominated by my peers to Virginia's Legal Elite in Construction Law on multiple occasions. I provide advice and assistance with mechanic's liens, contract review and consulting, occupational safety issues (VOSH and OSHA), and risk management for construction professionals.

Please join the conversation!

Read More About Construction Law Musings»