Flashcards in Dispute Resolution Boards (DRBs) Deck (3)
What are DRBs?
Panels of experts knowledgable about the project and provide interim solutions in a quick and effective manner
They make recommendations rather than binding decisions
An effective dispute avoidance, resolution and management system for contractual disputes on medium / large scale projects
Purpose = to save money, ensure the project is delivered on time and on budget, and help maintain relationships
Usually exist throughout duration of contract, and can be referred to at any time by any one of the Parties for a recommendation / determination of the dispute referred.
What are the advantages of DRBs?
Understanding - DRB involved with project throughout = ‘hands on’ knowledge of every aspect of project
Gives decision quickly (in some cases, as quickly as 30 days after the formal request)
Confidentiality – Any disputes and decisions = confidential
Expertise – members of the DRB = selected for their knowledge and expertise before dispute has arisen
Flexibility – Parties can agree procedure in advance and agree any changes to it during course of the project
Prevention of Disputes – existence of Board can prevent disputes escalating and avoid frivolous claims
When a dispute arises, the Board will have a much better understand than a Tribunal, for example, which would only be appointed after a dispute has arisen