1. FABRIKAM
WHY MEDIATE, ADJUDICATE OR
ARBITRATE?
L a i n a C h a n – 2 S e l b o r n e C h a m b e r s

2. FABRIKAM
What are the
interests of
commercial
parties?
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3. FABRIKAM
Certainty and
Speed of
Dispute
Resolution
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4. FABRIKAM
Arbitration –
THE PROS
• NY convention
• Cross Border Contracts
• Confidentiality
• Corrupt / non workable court
systems
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5. FABRIKAM
THE PROS
• Enforceable in 159 states
• Follow the Assets
• Final and binding
• Jurisdictional error;
• Public policy grounds
• Fraud.
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6. FABRIKAM
TIME and COST –
Does arbitration
deliver?
Prague Rules
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7. FABRIKAM
Adjudications
• East Coast Model
• West Coast Model
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8. FABRIKAM
FINAL and BINDING
• Denial of natural justice and jurisdictional error:
• Kirk v Industrial Relations Commission of NSW (2010) 239 CLR 531
• Chase Oyster Bar Pty Ltd v Hamo Industries Pty Ltd (2010) 78 NSWLR
393
• Non- Jurisdictional errors:
• Maxcon Constructions Pty Ltd v Vadasz [2018] HCA 5 (SA)
• Shade Systems Pty Ltd Probuild Constructions (Aust) Pty Ltd (No 2)
[2018] HCA 4
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9. FABRIKAM
Recommendations
of Murray Report
East Coast Model!
Unfair contract terms to be
voided
Cascading Statutory trusts.
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10. FABRIKAMFABRIKAM
The Changes
- Building and Construction Industry
Security of Payment Amendment Bill
2018 passed Parliament 21
November 2018
- Building Industry Fairness (SOP) Act
2017 QLD
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11. FABRIKAM
Mediation
• Certainty
• Speed
• Non financial outcomes
• Increasing size of the pie
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