Adjudication

Adjudication in New Zealand

Adjudication is a new method for New Zealand to resolve building and construction disputes in a quick and efficient manner pursuant to the Construction Contracts Act 2002. Adjudication is relatively straightforward and intended to provide for the speedy resolution of disputes arising under a construction contract and thereby to improve cash flow within the construction industry.

Adjudication is where one party to a construction dispute refers the dispute to an adjudicator who provides a determination that is enforceable at Court.  The process takes as little as 6 weeks from start to finish and provides a cost effective and timely option for all parties involved in construction disputes  including home owners, builders, subcontractors and consultants.  

Adjudication has been popular in New Zealand since it come into effect and with the efficient and comprehensive service offered by Building Disputes Tribunal parties can take advantage of the adjudication process to resolve their disputes without it taking months (or years) for a dispute to be decided and without incurring the same level of costs as would be incurred in the more traditional forms of dispute resolution.