Should I Resolve My Dispute By Arbitration? Part 2
Hopefully, you don’t find yourself entangled in a dispute, but when you do, you may have to decide between pursuing a lawsuit or alternative dispute resolution (ADR) services, depending on the clauses within your contract. Construction firms need to understand the pros and cons of each of these legal processes.
In this two-part article, the construction attorneys at Cotney Attorneys & Consultants are discussing four of the benefits construction firms can take advantage of when they feature an arbitration clause in their contracts. In the first part, we discussed how arbitration can save a construction business time and money. In this part, we will focus on the benefits of having the option to choose a specialist in your field that can act as the arbitrator.
Unfortunately, not all disputes can be resolved with ADR. In some cases, it may be in a construction business' best interest to pursue a lawsuit. If you require legal action, speak with a Nashville construction litigation attorney today.
3) Resolving Disputes With a Specialist
Although saving time and money are two extremely enticing benefits a construction firm always wants to enjoy, the greatest benefit to resolving a construction dispute through arbitration is, arguably, having the flexibility to select the arbitrator. In fact, because both parties in an arbitration are part of the selection process, this can be the first step towards reaching a compromise. When you select a knowledgeable arbitrator that has an in-depth understanding of the construction industry, this will at least ensure that the person making the final ruling is extremely familiar with the industry and knowledgeable of the issues that lead to the dispute. In contrast, a judge or jury may not have any experience assessing the details of a defective work dispute.
4) Resolving Disputes Privately
One of the most effective ways to quell a dispute with a valuable business partner is to attend arbitration as this is a private process. Not only will this prohibit the details involved in the dispute from becoming public record, but it can also be conducted in a controlled way so that only the parties involved in the dispute are aware of the proceedings. When you keep disputes a private matter, this can not only resolve the dispute without attracting any negative attention from the media or competitors but also help both parties potentially move forward in a positive way and maintain their business relationship.
Consult an Attorney For Contract Review
Although the arbitration process is not the perfect solution for all of your disputes, it’s commonly utilized for construction disputes on account of the previously listed benefits. Before you agree to a contract with an owner, consult a construction attorney for contract review. The attorneys at Cotney Attorneys & Consultants can ensure an arbitration clause is featured in your contract and draft specific requirements for this process to be utilized. You never want to waive your right to proceed with arbitration because you either failed to review your contract or didn’t follow the requirements within the binding agreement.
If you would like to speak with one of our Nashville construction litigation attorneys, please contact us today.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.