Construction Contracts Act - Agreeing on an Adjudicator
The Construction Contracts Act (“the Act”) only applies to contracts as set out in section 7.
Section 26 (1) of the Act states that to apply to have a payment dispute adjudicated under the Act a party to the contract must prepare a written application for adjudication and serve it on each other party to the contract within 28 days after the dispute arising or within the time period as provided by section 37 (2) (b) of the Construction Contracts Act.
The parties must serve the written application for adjudication on either;
(a) A registered adjudicator as prescribed by section 38 of the Act which the parties have agreed to appoint; or
(b) An agreed prescribed appointer as prescribed by the Construction Contracts Regulations 2004, who will then appoint a registered adjudicator to adjudicate the payment dispute.
If the parties do not agree on either a registered adjudicator or a prescribed appointer then the party applying to have the payment dispute adjudicated may choose a prescribed appointer from those as prescribed by the Construction Contracts Regulations 2004.
List of prescribed appointers;
1. The Australian Institute of Building
2. The Australian Institute of Quantity Surveyors
3. Electrical and Communications Association of Western Australia (Union of Employers)
4. The Institute of Arbitrators and Mediators Australia
5. Master Builders Association of Western Australia (Union of Employers)
6. The Royal Australian Institute of Architects
7. Australian Institute of Project Management
8. RICS Dispute Resolution Service
This list is taken from the Government Building Commission website which is; http://www.buildingcommission.wa.gov.au/bid/Find_Appointer.aspx
The website provides more detail about the prescribed appointers, their expertise and the fees involved in using each appointer.
It is up to you whether you decide to have the appointer specified in the Terms and Conditions. Having a prescribed appointer would possibly cut down the potential for disagreements between yourself and the other party in regard to choosing a registered adjudicator as well stopping another party being able to choose prescribed appointer without your consent. You do not have to have the Master Builders Association of Western Australia as your prescribed appointer; you can choose anyone from the list above.
