Arbitration Definition

Arbitration: Building contracts and subcontracts often require disputes to be referred to arbitration instead of the courts.

The main problem with arbitration is that it can be difficult or impossible to join other parties into the proceedings (e.g. where an employer sues a contractor, the contractor may allege breaches of contract by a designer or subcontractor and wish to join them as co-defendants). For this reason Lawbuild omits arbitration clauses where possible.