Third party opinion and fixed-fee mediation procedures
Contents |
[edit] Introduction
Construction contracts usually provide for disputes to be dealt with by agreed dispute resolution procedures involving mediation, adjudication and arbitration. Often a combination of all three.
On 6 November 2014, The RIBA launched two new dispute resolution schemes intended as alternatives to more formal processes:
- Third party opinion.
- Fixed-fee mediation.
These are fast, low-cost schemes intended for the resolution of low-level disputes that might otherwise cause delays to projects.
[edit] Third party opinion
The third party opinion procedure is intended for the resolution of technical issues or issues such as valuation. It involves the selection of an independent professional to give an opinion on the dispute and to make a recommendation for settlement. It is appropriate where the parties genuinely wish to settle the dispute and is entered into by consent, it is not part of the contract terms.
Submissions are limited to the two sides of A4 form each party with a maximum of 10 sides of supporting documents. A 5 hour time limit is applied. If a settlement is reached, the parties sign a binding agreement. The procedure may be abandoned at any time.
[edit] Fixed-fee mediation
The fixed-fee mediation procedure is intended for low-value disputes (up to £15,000) that the parties have a genuine wish to settle, and which can be resolved quickly. Mediators are selected from a list maintained by the RIBA to assist negotiations between the parties. If a settlement cannot be reached by negotiation, the mediator may suggest a settlement, but this is only binding if the parties wish it to be. If a settlement is reached, the parties sign a binding agreement. Mediation may be abandoned at any time.
The parties each set out the nature of the dispute on a single side of a A4. Mediation is conducted by telephone for no more than an hour. There can be one or two hours of preparation depending on the amount in dispute.
[edit] Related articles on Designing Buildings Wiki
- Adjudication.
- Alternative dispute resolution legislation.
- Arbitration.
- Breach of contract.
- Causes of construction disputes.
- Conciliation.
- Contract claims.
- Dispute resolution boards.
- Expert witness.
- Housing Grants, Construction and Regeneration Act.
- Litigation.
- Mediation.
- Med-adjudication.
- Med-arbitration.
- RIBA.
- Scheme for Construction Contracts.
Featured articles and news
ECA support for Gate Safe’s Safe School Gates Campaign.
Core construction skills explained
Preparing for a career in construction.
Retrofitting for resilience with the Leicester Resilience Hub
Community-serving facilities, enhanced as support and essential services for climate-related disruptions.
Some of the articles relating to water, here to browse. Any missing?
Recognisable Gothic characters, designed to dramatically spout water away from buildings.
A case study and a warning to would-be developers
Creating four dwellings... after half a century of doing this job, why, oh why, is it so difficult?
Reform of the fire engineering profession
Fire Engineers Advisory Panel: Authoritative Statement, reactions and next steps.
Restoration and renewal of the Palace of Westminster
A complex project of cultural significance from full decant to EMI, opportunities and a potential a way forward.
Apprenticeships and the responsibility we share
Perspectives from the CIOB President as National Apprentice Week comes to a close.
The first line of defence against rain, wind and snow.
Building Safety recap January, 2026
What we missed at the end of last year, and at the start of this...
National Apprenticeship Week 2026, 9-15 Feb
Shining a light on the positive impacts for businesses, their apprentices and the wider economy alike.
Applications and benefits of acoustic flooring
From commercial to retail.
From solid to sprung and ribbed to raised.
Strengthening industry collaboration in Hong Kong
Hong Kong Institute of Construction and The Chartered Institute of Building sign Memorandum of Understanding.
A detailed description from the experts at Cornish Lime.
IHBC planning for growth with corporate plan development
Grow with the Institute by volunteering and CP25 consultation.
Connecting ambition and action for designers and specifiers.
Electrical skills gap deepens as apprenticeship starts fall despite surging demand says ECA.
Built environment bodies deepen joint action on EDI
B.E.Inclusive initiative agree next phase of joint equity, diversity and inclusion (EDI) action plan.
Recognising culture as key to sustainable economic growth
Creative UK Provocation paper: Culture as Growth Infrastructure.