EXPERT DETERMINATION

Expert Determination is a simple means of binding dispute resolution. Unlike arbitration, Expert Determination is not governed by legislation. Expert Determination is a consensual process by which parties to a contract agree to refer matters in dispute to an independent person to decide. 

The principle attraction of Expert Determination is that it can provide a binding determination without involving many of the formalities that can beset arbitration and litigation. It also has the advantage of assisting in preserving business relationships where strictly adversarial proceedings may not.

The process is controlled by the parties themselves, who agree beforehand whether or not they will be bound by the decisions of the expert, who is an independent person with expertise relevant to the matters in dispute between the parties.

Expert Determination has become a popular method of resolving disputes in a number of industries involving qualitative or quantitative issues, or issues that are of a specific technical nature or specialised kind, because it is generally quick, inexpensive, informal and confidential. 

Expert Determination Model Clause

  If a dispute has already arisen and there is no agreement between the parties to refer the dispute to Expert Determination, the parties may enter into an agreement for those purposes and the following clause is recommended. The words in square brackets should...