What is expert determination in construction?

Expert Determination in Construction: A Comprehensive Overview

Expert determination is a consensual process used in construction disputes where parties agree to submit their dispute to an independent expert with specialized knowledge and expertise in the technical aspects of the construction industry. This article provides a comprehensive overview of expert determination, its purpose, benefits, and its role in resolving construction disputes.

Definition

Expert determination, also known as expert adjudication or expert appraisal, is a dispute resolution mechanism that involves the appointment of an independent expert to decide on technical issues or valuation disputes in the construction industry. The expert, chosen by the parties, possesses specific knowledge and expertise relevant to the subject matter of the dispute.

Purpose

Expert determination is commonly employed in construction disputes that involve complex technical issues or valuation disputes where liability has already been determined. It allows parties to obtain a resolution tailored to the specific technical aspects of their dispute, providing a more efficient and effective means of resolving complex construction-related conflicts.

Flexibility

One of the key advantages of expert determination is its flexibility. The process enables parties to bypass traditional legal proceedings and directly engage an expert, eliminating the need for a judge or arbitrator. By selecting an expert with direct knowledge and expertise in the specific technical issues involved in the dispute, the parties can benefit from a more targeted and efficient resolution process.

Quick and Cost-Effective

Expert determination is generally faster and less expensive compared to arbitration or litigation. The process typically has shorter timeframes for reaching a decision and involves fewer procedural formalities. As a result, parties can save time and costs associated with lengthy litigation or arbitration proceedings, making expert determination an attractive option for resolving construction disputes.

Confidentiality

Expert determination proceedings are typically conducted in private, ensuring a higher level of confidentiality compared to court proceedings. The confidential nature of expert determination allows parties to maintain the privacy of their dispute, sensitive technical information, and confidential business details, which may be crucial in construction-related matters.

Limited Grounds for Appeal

Unlike arbitration or litigation, the grounds for appealing an expert’s decision in expert determination are significantly limited. This feature provides finality to the dispute resolution process, as parties have limited options for challenging or appealing the expert’s decision. The limited grounds for appeal contribute to the efficiency and efficacy of expert determination in construction disputes.

In conclusion, expert determination is a consensual process in construction disputes that allows parties to resolve complex technical issues efficiently and effectively. It offers flexibility, tailored expertise, cost-effectiveness, confidentiality, and finality. By leveraging the specialized knowledge and expertise of an independent expert, construction parties can achieve a swift and targeted resolution to their disputes.

Sources:

1. Leveraging Expert Determination | Exponent
2. Expert Determination of Construction Disputes: The Pros and Cons | Fenwick Elliott
3. Expert determination – Construction Law Made Easy

FAQs

What is expert determination in construction?

Expert determination in construction is a consensual process where parties submit their construction dispute to an independent expert with specialized knowledge and expertise in the technical aspects of the construction industry. The expert’s decision is binding on the parties.

When is expert determination commonly used in construction disputes?

Expert determination is commonly used in construction disputes that involve complex technical issues or valuation disputes where liability has already been determined. It provides a more efficient means of resolving disputes by focusing on the specific technical aspects of the construction industry.

How does expert determination offer flexibility compared to traditional legal proceedings?

Expert determination offers flexibility by allowing parties to bypass traditional legal proceedings and directly engage an expert. This eliminates the need for a judge or arbitrator and allows parties to select an expert with direct knowledge and expertise in the specific technical issues involved in the dispute.

What are the benefits of expert determination in construction disputes?

Expert determination offers several benefits in construction disputes, including:

• • Efficiency: It is generally quicker and less expensive compared to arbitration or litigation.

• • Confidentiality: Expert determination proceedings are typically confidential, providing a more private dispute resolution option compared to court proceedings.

• • Tailored expertise: Parties have the freedom to select an expert with direct knowledge and expertise in the specific technical issues involved in the dispute.

• • Finality: Unlike arbitration or litigation, there are very limited grounds for appealing an expert’s decision, providing finality to the dispute resolution process.

How does expert determination contribute to cost-effectiveness in construction disputes?

Expert determination is generally more cost-effective compared to arbitration or litigation. It involves shorter timeframes for reaching a decision and fewer procedural formalities, resulting in savings in terms of time and costs associated with lengthy legal proceedings.

Can expert determination be used for resolving all types of construction disputes?

Expert determination is particularly suitable for construction disputes that involve complex technical issues or valuation disputes where liability has already been determined. However, it may not be suitable for disputes that require legal interpretation or involve broader legal issues beyond technical matters.

How is the expert’s decision reached in expert determination?

The expert’s decision in expert determination is reached based on their expertise and specialized knowledge. The expert will review the evidence and submissions provided by the parties, conduct any necessary investigations or inspections, and provide a reasoned decision that is binding on the parties.

What is the role of expert determination in the dispute resolution landscape?

Expert determination serves as an alternative dispute resolution mechanism in construction disputes, offering a more focused and efficient resolution process compared to traditional legal proceedings. It provides parties with a specialized and binding decision from an independent expert, contributing to the overall effectiveness and efficiency of the construction dispute resolution landscape.