Construction Fast Facts

Did You Know. . .

That parties who don't choose AAA arbitration as a binding dispute resolution option in the new AIA and ConsensusDOCS contract documents face some risks?

Both the "2007 Update to AIA Contract Documents" and the new ConsensusDOCS offer a number of ADR options. While the AAA is one of those choices, parties who want the effectiveness and the speed of AAA arbitration must affirmatively choose such option in the new contract documents.

Parties and their attorneys using the new construction contract documents should be aware of the seven risks of not choosing AAA arbitration.

Risk #1: Your client's case could end up in litigation, awaiting trial for two years or more.

Risk #2: Your client won't benefit from AAA services to help resolve construction cases in a median time frame of 10 months.

Risk #3: You could get a judge or neutral who knows little about construction issues.

Risk #4: You may not get an arbitrator who is an engineer, an architect or a builder.

Risk #5: You could pay through the nose for hidden administrative fees.

Risk #6: You won't have the tools to customize clauses in your contract.

Risk #7: You may not get a provider that will offer you support, every step of the way.

To read more about the seven risks, click here.

For more information about the AAA construction rules and services, click here, or contact customer service at 1.800.778.7879 or by e-mail at Websitemail@adr.org.

For other Construction Fast Facts, click here.