Construction projects are almost always facing disputes and conflicts. Dispute review boards are formed at the time when contracts are signed before a construction project begins. These serve a key purpose in every project if you form them well on time.
This article aims to answer the queries you may have in your mind about the dispute review boards in construction projects.
Top frequently asked questions on DRB in construction
If you are about to begin your construction project, be sure of your project requirements. Do not miss out on hiring the experts and ensure the inclusion of all the necessary clauses that must be added to the contract. Following FAQs may ease your decision for you:
1. What is a Dispute board?
It is a process of avoiding and adjudicating the disputes that occur on the project site. These are very effective in solving disputes as these are selected by a collaborative decision of the contracting parties. There are often three members, and the members are usually construction claim consultants owing to their interdisciplinary experience.
2. How is a DRB set up?
There are always more than one signatory parties in a construction project’s contract. Each party selects one member, and then the third member is selected with a joint decision of those two appointees. The main purpose is to solve matters without any trouble. A balanced DRB can help assure that much.
3. Who is in the DRB?
Each party can select one member, but the question remains: who should they select? It is best practice to either select a lawyer or an expert witness who has enough experience in the construction industry. Such an expert will understand the technicalities of a certain project and situation on the ground.
4. How often do board members visit the site?
The key benefit of having a review board set up is that the members visit the site frequently to over the situation no matter how general. Keeping an oversight helps save the situation from worsening. Before the small issues become bigger, and the claims turn into consequential disputes, frequent site visits by the board members save the day.
How frequent should a site visit be? Well, it depends on the schedule and extent of a particular project. If it is a small project spanning a few months only, the visits need to be as frequent as seven to ten days.
5. How do DRB hearings occur?
It is an informal hearing, unlike an arbitration hearing. Each party presents their position papers to the other party as well as the board members a few days before the actual hearing takes place. In this way, the stance of each party is clear and transparent before each appears for the hearing.
What if no one respects DRB’s decision!
If none of the parties is respecting the decision of the DRB, you need the help of an expert consultant. These experts are neutral. As a project owner, you would want your project to complete on time. Thus, you would prefer that the disputes be solved as early as possible with the least amount of hassle.
In the booming construction industry of the UAE, consultants are hired beforehand for construction claims and disputes. If your project is located there, you can also take the services of Construction claims consultants Dubai based companies to ensure effective resolution of disputes!
Dispute review boards are an effective tool because they represent both the parties involved in a project. But they can become ineffective. In such cases, you need to hire professional consultants!