Chapter 26
We suggest that the instructor go over the Table of Contents to Chapter 26. It
reveals the complexity of this topic and what lies ahead. Most importantly, the
students should see the difference between private systems (mediation and
arbitration) and public systems (litigation and mini–trials), those which aid the
parties to settle (mediation), those that resolve the dispute (arbitration and
litigation), those that involve private projects as opposed to public projects (state
and federal) and domestic and international processes.
This complexity might lead some instructors to omit this chapter. We believe
this would be a mistake. A student intending a future in the construction industry
should have at least a passing understanding of disputes resolution, including an
understanding of the applicable terminology.
Spend some class time parsing AIA Document B101–2007, Art. 8 and A201–
2007, Art. 15 for a general background for Chapter 26. There has been much
criticism of the complexity of those provisions. How would the student improve
this process?
A common feature of dispute resolution in the construction industry is for the
design professional to provide an initial assessment of a claim, whether from the
contractor or owner. The contractor is concerned that the a/e will not be objective
if its complaint implicates the design. One solution (chosen by the AIA) is to
create a new position: the IDM. (Section 26.5 notes this “solution” engenders its
If deemed too “legal” for the students, Sections 26.6 to 26.8 can be skipped.
That said, students should be able to relate to the facts of AT & T Mobility LLC v.
Concepcion in Section 26.7. Are students aware that a credit card agreement or
a cable service contract includes an arbitration provision? Would the student trust
such a dispute resolution mechanism?
With Section 26.9, the text returns to the nuts and bolts of the process. Again,
we believe a basic understanding is advisable for the student. For engineering
(and architectural) students do not skip Section 26.12, dealing with joinder and
consolidation. Would the student prefer any dispute with the owner be arbitrated