Master Builders KwaZulu-Natal – Dispute Resolution Unit
The Association has established a Dispute Resolution Unit. The reason for this is due to the following factors:
Instances of disputes are rising at an alarming rate due to the current economy.
Costs of arbitration and legal fees are exorbitant. Number of disputes between main contractors and subcontractors
The impact of the dispute on the success of the project.
The current time period from notification of the dispute as per the contractual requirements to the receipt of the award from the arbitrator.
The following process will be followed in order to mitigate the above mentioned problems:
The rules to be applied will the Summary Procedure.
Both parties need to confirm their acceptance of the voluntary process and agree to be bound by the outcome.
There will predetermined calendar dates, when the disputes will be heard by the arbitrator.
A deposit will be paid to the Association by both parties.
No legal representation allowed and therefore each party would present their own arguments and supporting documentation. The award will be made within five working days of the hearing.
Independent arbitrator
The Association trusts that this initiative will be supported by all parties within the built environment in order that the initial concept of arbitration introduced many years ago can be reinstated. The current situation that many disputes end up in arbitrations with high costs negates the original reason that arbitration was the preferred method of resolving building disputes.