Dispute Avoidance and Resolution Boards
Understanding How DARBs Differ from Traditional Dispute Resolution
DARB vs. traditional ADR
A DARB is not simply another name for arbitration or mediation. It is a separate process designed to help prevent disputes from escalating, while preserving the option to use mediation, arbitration, or other dispute resolution methods if needed.
The key differences include:
DARB
- Established at the start of a project
- Focused on preventing disputes
- Board becomes familiar with the project over time
- Regular site visits or project meetings
- Supports project continuity and collaboration
Traditional ADR
- Begins after a dispute arises
- Focused on resolving disputes
- Neutral appointed after conflict develops
- Structured around a single dispute
- Often used after positions have hardened
Resolve Issues Early and Keep Projects Moving
Why use a DARB?
Prevent costly disputes: Address issues early before they escalate into larger conflicts.
Preserve working relationships: Support collaboration and productive communication throughout the project.
Bring construction expertise: Board members bring experience across construction law, engineering, architecture, project management, and contracting.
Maintain neutrality: Independent experts provide impartial recommendations grounded in the project’s facts and context.
Reduce disruption and cost: Proactive issue resolution can help avoid the expense and delay of formal proceedings.
How a DARB Works Across the Project Lifecycle
The process
1. Establish the Board
The contract establishes the Board under the AAA-ICDR DARB Rules.
2. Define participation
Owners and general contractors typically participate. Subcontracts may be added by the general contractor.
3. Stay engaged
The Board holds regular site visits or virtual meetings to remain familiar with the project.
4. Raise concerns early
Parties bring issues to the Board as they arise.
5. Review the issue
The Board hears both sides in an informal setting.
6. Receive a recommendation
The Board issues a binding or nonbinding recommendation.
Independent Administration that Supports a Fair, Consistent Process
Why AAA administration matters
AAA provides the structure and administrative support needed to administer a DARB efficiently, allowing project teams and Board Members to focus on resolving issues.
AAA can help:
- Assist the parties in selecting qualified Board Members
- Coordinate meetings and notices
- Distribute minutes and recommendations
- Manage board member fees and expenses
Experienced Neutrals with Deep Construction Knowledge
Panel
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Frequently Asked Questions
FAQs
What is the difference between a DARB and arbitration?
A DARB is established at the beginning of a project and is designed to help parties avoid or address issues early. Arbitration is typically used after a dispute has already arisen.
When is a DARB established?
A DARB is established through the project contract at the outset of the engagement.
How does the Board stay informed?
The Board meets regularly with the parties and becomes familiar with the project through site visits or virtual meetings.
Can the Board issue binding decisions?
The DARB may issue binding or nonbinding recommendations, depending on the parties’ agreement and the structure of the process.
What if the issue is not resolved through the DARB?
If a DARB recommendation does not fully resolve the matter, the parties may still use mediation, arbitration, or other dispute resolution methods.
Why use AAA-ICDR to administer the process?
The AAA-ICDR provides rules, procedures, administrative support, panelist selection assistance, meeting coordination, documentation support, and fee administration.