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Building bridges

13 November 2015 / Martin Burns
Issue: 7676 / Categories: Features , Profession
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The use of arbitration to resolve construction & engineering disputes is back in fashion, says Martin Burns

The low point for the UK construction and engineering arbitration sector occurred on 1 May 1998. It was the day the Housing Grants, Construction and Regeneration Act 1996 came into force, and adjudication started on its inexorable rise to become the pre-eminent method to determining contract disputes.

The decline of arbitration & rise of adjudication

In the years that followed, the number of arbitrations fell off a cliff while adjudication flourished. In 1995, the Royal Institution of Chartered Surveyors (RICS) appointed around 400 construction arbitrators; in 1998, only about 40 arbitrators were appointed, compared to 23 adjudicators. Last year, 10 arbitrators were appointed by RICS compared to nearly 900 adjudicators.

The decline in the popularity of arbitration actually began long before adjudication came on the scene. Even in the 1980s the process of arbitrating disputes had become inordinately slow and immensely expensive. Parties, particularly those that were involved in low-value disputes about relatively unsophisticated issues, had become disenfranchised from

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MOVERS & SHAKERS

Gibson Dunn—London partner promotions

Gibson Dunn—London partner promotions

Firm grows international bench with expanded UK partner class

Shakespeare Martineau—six appointments

Shakespeare Martineau—six appointments

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Myers & Co—Jess Latham

Myers & Co—Jess Latham

Residential conveyancing team expands with solicitor hire

NEWS
One in five in-house lawyers suffer ‘high’ or ‘severe’ work-related stress, according to a report by global legal body, the Association of Corporate Counsel (ACC)
The Legal Ombudsman’s (LeO’s) plea for a budget increase has been rejected by the Law Society and accepted only ‘with reluctance’ by conveyancers
Overcrowded prisons, mental health hospitals and immigration centres are failing to meet international and domestic human rights standards, the National Preventive Mechanism (NPM) has warned
Two speedier and more streamlined qualification routes have been launched for probate and conveyancing professionals
Workplace stress was a contributing factor in almost one in eight cases before the employment tribunal last year, indicating its endemic grip on the UK workplace
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