Adjudication

Adjudication is an adversarial process that allows Parties to present their dispute to an independent third Party for a decision. In an adjudication, the Claimant and the Respondent present their arguments and evidence to an industry professional (the “Adjudicator”), who will consider the evidence and make an interim binding decision on the merits of the case. If the Adjudicator orders a Party to pay the other Party, the payment must be made within ten days of the issuing of the Determination.

Interim adjudication is designed to:

• • help make sure that workers and businesses are paid on time for their work; and
  • help make sure payment disputes are addressed effectively and efficiently.

Some features of Adjudication are:

• • Adjudications are quick. After an Adjudicator receives the Claimant’s documents, the Adjudicator must render a Determination in 30 days;
  • Determinations are binding only until a decision is made in a subsequent proceeding. After the construction project is complete, either Party can then commence a proceeding in court or in arbitration;
  • Adjudications are cost-effective. Adjudications are less costly than arbitration and litigation;
  • Adjudication is available as a right. A Party to a construction contract can commence an adjudication without the other Party’s consent; and
  • The adjudication process is set by the Adjudicator, as opposed to the process being guided by a set of rules. The Parties can suggest a process to the Adjudicator for consideration, as outlined at Adjudication Process.