Arbitration and Mediation:

Arbitration and Mediation in the building and construction industry can take place where the provisions of the Building and Construction Industry Security of Payment Act 1999 (NSW) do not apply. Under the Act, the process of resolving a dispute relating to construction contracts, is the process of “Adjudication”. For more information, visitors are advised to see our section on Adjudication in the building and construction industry.

Arbitration and Mediation are processes intended to resolve a dispute between parties under the principles of alternative dispute resolution. The purpose and intention is generally to avoid the costly and time consuming processes of court litigation and allow a less formal, more streamlined and efficient manner of reaching an agreement between parties to a dispute. There are subtle differences between the Mediator and the Arbitrator. These will depend on the circumstances and the context of the dispute.

• An Arbitrator is usually a neutral person chosen to resolve the dispute without recourse to court litigation. The Arbitrator’s judgment is usually considered final and binding. Arbitrators can be sought where there is some complicated case needing attention, or where particular expertise necessary. An Arbitrator is therefore more often than not obtained for large, important cases. Essentially, the Arbitrator is an impartial party who considers the claims and counter-claims of the parties and reaches a determination based on the evidence presented before him; and
• A Mediator is selected to resolve a dispute between persons of group of persons. The Mediator’s authority does not extend to issuing final and binding judgments. The Mediator’s objective is to facilitate dialogue or to build a bridge of communication between the disputing parties so that a resolution can be possible. The Mediator’s services are sought where there is a minor case in which a dispute can be resolved through facilitated discussions. Essentially, the Mediator does not make any final binding decisions. His role is to be the catalyst for the parties to reach their own agreed upon resolution.

Obviously, depending on the nature and magnitude of the dispute, parties may choose to go to either arbitration or mediation to seek resolution. There are costs associated with each, and these will depend on any relevant fee scales that apply to the chosen path of alternative dispute resolution. Legal advice from a Mediation Solicitor or an Arbitration Solicitor may assist in deciding which path a party in dispute may wish to pursue. The alternative dispute resolution law team at Navado is comprised of legal practitioners who have experience in civil litigation and commercial litigation. They will have available, a large body of legal resources to consider the facts of each matter and make a studied recommendation what method of dispute resolution may be most appropriate for a given situation.

If you require assistance with an arbitration or mediation matter, you may wish to contact our firm by telephone on (02) 9233 4048 or email to info@navado.com.au and make an appointment to see one of our solicitors. 

This webpage (and any material or wording appearing on this webpage) is provided for general information purposes only and does not constitute any Legal Advice. It does not take into account your objectives, your instructions or all of the relevant facts and/or circumstances. Navado accepts no responsibility to any person who relies on the information provided on this website. We further refer you to our Disclaimer.