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WWW.UKADJUDICATORS.CO.UK 
JULY 2019 NEWSLETTER 
 
1 | P a g e  
   
EDITORS’ COMMENTS 
The 2019 London Adjudication and Arbitration 
Conference  is  taking  place  at  12  Bloomsbury 
Square,  London  on  the  22  August  2019. 
Tickets  are  on  sale  and  UK  Adjudicator 
panellists will be able to purchase discounted 
tickets. If you haven’t used the link to get the 
subsidised tickets please do so as we will be 
stopping  sale  in  July  so  that  spaces  can  be 
released to others wanting to attend.  
Supporting  organisations  for  the  event  are 
being sought and currently we have speakers 
from  Keating,  Blake  Morgan,  Augusta 
Ventures, Ankura, Addleshaw Goddard, Clyde 
& Co, Corbett, Sense Studio, Aquila Forensics 
and  Fenwick  Elliot  confirmed  with  numerous 
others  expressing  an  interest  to  take  part 
from in the UK and overseas. Sponsorship and 
advertising  opportunities  are  highlighted  in 
the accompanying brochure. 
We have taken a table at the SCL South West 
lunch  on  the  11  October  2019  at  the  Bristol 
Marriott  Royal  Hotel,  College  Green,  Bristol 
BS1  5TA.  If  you  would  like  to  attend  please 
email Sean Gibbs to express your interest. 
  
 
 
 
 
The  Adjudication  Society  conference  takes 
place on Thursday, 7 November at the Hilton 
London  Metropole,  225  Edgware  Rd, 
Paddington, and London W21JU.  If you would 
like  to  join  others  for  dinner  at  a  venue 
nearby  afterwards  please  express  your 
interest so that we can gauge numbers. 
If you have any suggestions on ways we can 
improve our services, processes or would like 
to assist in promoting UK Adjudicators please 
do get in touch. 
As  always  we  encourage  you  to  submit 
articles, case notes and other matters related 
to  adjudication  and  dispute  boards  for 
publication in our newsletter. 
Sean  Gibbs  is  a  director  with  Hanscomb 
lntercontinental  and  is  available  to  sit  as  an 
arbitrator,  adjudicator,  mediator,  quantum 
expert and dispute board member. 
sean.gibbs@hanscombintercontinental.co.uk 
  
 
 
WWW.UKADJUDICATORS.CO.UK 
JULY 2019 NEWSLETTER 
 
2 | P a g e  
   
UK  LOW  VALUE  ADJUDICATION 
SCHEMES 
The CIC and TECSA both have draft low value 
adjudication schemes which will be rolled out 
in 2019.  It appears that  they will still  charge 
their  nomination  fee  but  that  costs  will  be 
capped in a series of bands. TECSA proposed 
bands are: 
Claim Value  Fee Cap 
Up to £10,000  £2,000 
£10,001 to 
£25,000 
£2,500 
£25,001 to 
£50,000 
£3,500 
£50,001 to 
£75,000 
£4,500 
£75,001 to 
£100,000 
£5,000 
 
The  CIC’s  proposed  claim  value  and  fee  cap 
are as follows: 
Claim Value  Adjudicator’s fee 
Up to £10,000  Up to £2,000 
£10,001 to 
£25,000 
Up to £3,500 
£25,001 to 
£50,000 
Up to £6,000 
Over £50,000  Negotiable 
 
The RICS have indicated they will also set up a 
low value scheme and have said the process 
will be aimed at disputes where claims are for  
 
 
The  CIC  are  out  for  consultation  on  their 
Scheme and we have attached the documents 
to the rear of the newsletter. Please do look 
at the proposal and provide your responses. 
 
 
 
 
SUPREME  COURT  GRANTS 
PERMISSION  FOR  APPEAL  IN  CASE 
OF S&T v GROVE 
S&T  (UK)  Ltd  (Appellant)  v  Grove 
Developments Ltd (Respondent) 
UKSC 2018/0222 
Neutral Citation No: [2018] EWCA Civ 2448 
Lord Wilson, Lord Lloyd‐Jones, Lord Sales 
Granted leave to appeal on the 22 May 2019. 
 
 
 
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WWW.UKADJUDICATORS.CO.UK 
JULY 2019 NEWSLETTER 
 
4 | P a g e  
   
ADJUDICATION SOCIETY 
 
  
ANNUAL CONFERENCE 2019 
Thursday, 7 November, 2019 9.30 for 10am 
The Society's Eighteenth Annual Conference 
will be held at the Hilton London 
Metropole,225 Edgware Rd, Paddington, 
London W21JU.   
SOCIETY  OF  CONSTRUCTION  LAW 
(UK) 
 
Cheltenham   
18th
 September 2019 at 5.30pm 
Design  Liability  &  Professional  Negligence  –
Contractors and Consultants perspectives 
Speaker:  Sian Mirchandani QC, 4 New Square  
Chair:  Sean Gibbs  
Venue:    Queens  Hotel,  The  Promenade, 
Cheltenham GL50 1NN   
 
FIDIC CONFERENCES 2019 
 
http://fidic2019.org/en   
3rd FIDIC Latin America Contract Users’ 
Conference, 10‐12 September 2019 
Main Conference: Wednesday 11 and 
Thursday 12 September 2019 
Workshops: Tuesday 10 September 2019 
Location: Hotel TBC, Mexico City, Mexico 
 5th FIDIC Africa Contract Users’ Conference, 
28‐31 October 2019  
Main Conference: Tuesday 29 and Wednesday 
30 October 2019 
Workshops: Monday 28 and Thursday 31 
October 2019 
Location: Avani Resort, Livingstone, Zambia 
 32nd FIDIC International Contract Users’ 
Conference, 2‐5 December 2019  
Main Conference: Tuesday 3 and Wednesday 
4 December 2019 
Workshops: Monday 2 and Thursday 5 
December 2019 
Location: Hotel TBC, London, UK 
  
 
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WWW.UKADJUDICATORS.CO.UK 
JULY 2019 NEWSLETTER 
 
6 | P a g e  
   
 
Please note that this is a newsletter 
and does not provide legal advice. 
Whilst every care has been taken in 
the  preparation  of  this  document, 
we  cannot  accept  any  liability  for 
any  loss  or  damage,  whether 
caused by negligence or otherwise, 
to any person using this document. 
Independent legal advice should be 
taken from a regulated lawyer. 
22 AUGUST 2019 - CIARB 12 BLOOMSBURY SQUARE, LONDON WC1A 2LP
2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE
HANSCOMB INTERCONTINENTAL, 5 CHANCERY LANE , LONDON
www.hanscombintercontinental.com
VENUE 	
CIARB 12 Bloomsbury Square, London WC1A 2LP
2019 LONDON ADJUDICATION
& ARBITRATION CONFERENCE
22 AUGUST 2019
22 AUGUST 2019 - CIARB 12 BLOOMSBURY SQUARE, LONDON WC1A 2LP
2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE
CAPACITY: 140 ATTENDEES, 20 SPEAKERS
ADJUDICATION / DISPUTE BOARD TRACK WILL TAKE PLACE IN THE OLD LIBRARY
ROOM (LGF) 80 PERSONS
ARBITRATION TRACK WILL TAKE PLACE IN THE COUNCIL CHAMBER (GF) 80 PERSONS
COMPARARTIVE PRICE TABLE
Venue sponsor x 1 1600.00
Lunch sponsor x 1 1800.00
Refreshment sponsor x 1 1600.00
Drinks reception sponsor x 1 2400.00
Pen sponsor x 1 170 pens to be supplied by sponsor
Writing pad sponsor x 1 170 pads to be supplied by sponsor
Name badge sponsor x 1 240.00
USB sponsor 170 USB to be supplied by sponsor, with pa-
pers uploaded
Speakers dinner sponsor x 1 1000.00
Platinum sponsor x 1 2000.00
Gold sponsor x 1 1400.00
Silver sponsor x 1 950.00
Bronze sponsor x 3 500.00
Alternatively, one organisation could be the
sole sponsor.
10,000.00
Prices are quoted in £GBP and are subject to VAT at the prevailing rate.
Sponsorship only confirmed by receipt of payment.
We also invite proposals to suit your required budget and level of participation.
22 AUGUST 2019 - CIARB 12 BLOOMSBURY SQUARE, LONDON WC1A 2LP
2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE
VENUE x 1 £1600.00
Acknowledgment in all conference promotions, including flyers, invitations, emails and media
releases.
Brochure distribution to conference delegates.
Limited corporate signage allowed to be displayed
Opportunity to address delegates during conference
Will be thanked during conference and in presentation slides
LUNCH x 1 £1800.00
Acknowledgment in all conference promotions, including flyers, invitations, emails and media
releases.
Brochure distribution to conference delegates.
Limited corporate signage allowed to be displayed
Opportunity to address delegates during conference
Will be thanked during conference and in presentation slides
REFRESHMENT x 1 £1600.00
Acknowledgment in all conference promotions, including flyers, invitations, emails and media
releases.
Brochure distribution to conference delegates.
Limited corporate signage allowed to be displayed
Opportunity to address delegates during conference
Will be thanked during conference and in presentation slides
DRINKS RECEPTION x 1 £2400.00
Acknowledgment in all conference promotions, including flyers, invitations, emails and media
releases.
Brochure distribution to conference delegates.
Limited corporate signage allowed to be displayed
Opportunity to address delegates at start of drinks reception
Will be thanked during conference and in presentation slides
22 AUGUST 2019 - CIARB 12 BLOOMSBURY SQUARE, LONDON WC1A 2LP
2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE
SPEAKERS DINNER x 1 £1000.00
Acknowledgment in all conference promotions, including flyers, invitations, emails and media
releases.
Brochure distribution to conference delegates.
Limited corporate signage allowed to be displayed
Opportunity to address speakers at dinner
Will be thanked during conference and in presentation slides
PLATINUM x 1 £2000.00
Acknowledgment in all conference promotions, including flyers, invitations, emails and media
releases.
Tabletop display and brochure distribution to conference delegates.
Unlimited corporate signage allowed to be displayed
Opportunity to address delegates at opening of conference
May play videos at designated area (sponsor to provide all necessary equipment)
GOLD x 1 £1400.00
Acknowledgment in all conference promotions, including flyers, invitations, emails and media
releases.
Opportunity for tabletop display and brochure distribution to conference delegates
Unlimited corporate signage allowed to be displayed
May play videos at designated area (sponsor to provide all necessary equipment)
SILVER x 1 £950.00
Acknowledgment in all conference promotions, including flyers, invitations, emails, and media
releases.
Opportunity for brochure distribution to conference delegates.
Four pop up banners may be displayed at venue
BRONZE x 3 £500.00
Acknowledgment in all conference promotions, including brochures, invitations, emails, and media
releases.
Opportunity for brochure distribution to conference delegates.
One pop banner 1mx2m may be displayed at venue.
To discuss your exact requirements or to book packages please contact:
Sean Gibbs, Hanscomb Intercontinental, Eagle Tower, Cheltenham GL50 1TA
sean.gibbs@hanscombintercontinental.co.uk +447722643816
Construction Industry Council, 26 Store Street, London, WC1E 7BT
Tel. 020 7399 7400 Fax. 020 7399 7425
www.cic.org.uk
PRESS RELEASE
4 June 2019
CIC Consultation on Adjudication for Low Value Disputes
The Construction Industry Council (CIC) is developing a Low Value Disputes Model Adjudication Procedure
(LVD MAP) to provide a simple and cost-effective procedure to make adjudication more accessible for
SME’s and others involved in lower value claims. The CIC initiative is a response to growing construction
industry concerns about the increasing complexity and prohibitive costs of adjudication. The CIC LVD MAP
is aimed at disputes where claims are for £50,000 or less, and the issues in dispute are relatively
uncomplicated. The CIC LVD MAP is being developed by a Working Group drawn from key industry
bodies, including the Adjudication Society, CIC, CEDR, ICE and the RICS.
The CIC wishes to consult with the construction industry and other stakeholders to give everyone the
opportunity to make the CIC LVD MAP the best that it can be. The consultation offers interested parties an
opportunity to discuss and shape the CIC LVD MAP, and enable CIC to gauge the degree of industry
support for this initiative.
The CIC LVD MAP can be downloaded here.
Martin Burns RICS Head of ADR Research and Development and Chair of the CIC LVD MAP Working
Group says “The reality is that many smaller businesses are disillusioned with adjudication because it has
developed into a process often inordinately complicated and too expensive for dealing with disputes where
the sums claimed are £50,000 or less. The aim of the CIC LVD MAP is to provide SME’s who might not
otherwise use adjudication, with a simple, Construction Act compliant, timetable and procedure for low
value disputes. The CIC LVD MAP will be relatively low cost to use and parties will know from the outset
what the adjudicator’s fees will be.”
Niall Lawless, Chair of the CIC’s ADR Management Board says: “The CIC LVD MAP offers the construction
industry the opportunity to reinforce confidence in adjudication as a method for deciding straightforward low
value disputes.”
Your comments, opinions, suggestions, and views are valued, and should be sent to the CIC Registrar at
Adjudication@cic.org.uk. The consultation period ends on Friday 5 July 2019.
Ends
Construction Industry Council, 26 Store Street, London, WC1E 7BT
Tel. 020 7399 7400 Fax. 020 7399 7425
www.cic.org.uk
Notes to the editor
CIC is the representative forum for the professional bodies, research organisations and specialist business
associations for professional services providers in the construction industry. It provides a single voice for
professionals in all sectors of the built environment through its collective membership of 500,000 individual
professionals and 25,000 firms of construction consultants.
Press Contact Liz Drummond, ldrummond@cic.org.uk or 020 7399 7400
© Construction Industry Council I
CIC LOW VALUE DISPUTES MODEL
ADJUDICATION PROCEDURE
CONSULTATION DRAFT
An adjudication procedure for low value disputes
complying with the Housing Grants, Construction
and Regeneration Act 1996 as amended by Part 8
of the Local Democracy, Economic Development
and Construction Act 2009 (the “Construction Act”).
2 © Construction Industry Council
CIC Low Value Disputes Model Adjudication
Procedure
CIC 2019: An adjudication procedure for low value
disputes complying with the Housing Grants,
Construction and Regeneration Act 1996 as
amended by Part 8 of the Local Democracy,
Economic Development and Construction Act 2009
(the “Construction Act”).
All parties must rely exclusively upon their own skill and
judgment when making use of this document. Neither
the CIC nor any other contributor assumes any liability
to anyone for any loss of damage caused by any error or
omission whether such error or omission is the result of
negligence or any other cause. Any and all such liability
is disclaimed.
The CIC thanks Gillian Birkby, Martin Burns, Christian
Charles, Niall Lawless, John Munton, Timothy Willis and
Chi Wong for their work preparing the CIC Low Value
Disputes Model Adjudication Procedure.
© Copyright Construction Industry Council
Reproduction is authorised, provided it is without
amendment and the source is acknowledged.
© Construction Industry Council 3
CIC LOW VALUE DISPUTES MODEL
ADJUDICATION PROCEDURE
CONSULTATION DRAFT
An adjudication procedure for low value disputes complying with the
Housing Grants, Construction and Regeneration Act 1996 as amended by
Part 8 of the Local Democracy, Economic Development and Construction
Act 2009 (the “Construction Act”).
CIC Members
Association of Consultant Approved Inspectors
Association for Consultancy and Engineering
Association for Project Management
Association for Project Safety
Association for Specialist Fire Protection
British Approvals for Fire Equipment
Chartered Institute for IT
British Institute of Interior Design
Building Research Establishment
Building Services Research and Information Association
Chartered Association of Building Engineers
Chartered Institute of Architectural Technologists
Chartered Institution of Building Services Engineers
Chartered Institute of Building
Chartered Institution of Highways & Transportation
Chartered Institute of Plumbing and Heating Engineering
Construction Industry Research and Information Association
Ground Forum
Institution of Civil Engineers
Chartered Institution of Civil Engineering Surveyors
Institute of Clerks of Works and Construction Inspectorate
​
Institution of Engineering and Technology – Built Environment Sector
Institution of Fire Engineers
International Institute of Risk and Safety Management
Institute of Specialist Surveyors and Engineers
Institution of Structural Engineers
Institute of Workplace and Facilities Management
Local Authorities Building Control
Landscape Institute
National House-Building Council
Royal Institute of British Architects
Royal Institution of Chartered Surveyors
Royal Town Planning Institute
The Safety Assessment Federation
4 © Construction Industry Council
Purpose of the CIC LVD MAP
Scope
1.	An adjudication procedure for low value disputes complying with
the Housing Grants, Construction and Regeneration Act 1996 as
amended by Part 8 of the Local Democracy, Economic
Development and Construction Act 2009 (the “Construction Act”).
	Whereas the object of adjudication is to reach a fair, rapid and
inexpensive decision upon a dispute arising under the Contract,
there is evidence that Parties are deterred from using adjudication
because of the costs involved.
	The CIC LVD MAP sets out a streamlined adjudication procedure for
low value disputes, and by linking the Adjudicator’s fee to the
amount claimed provides certainty as to how much the Adjudicator
will be paid for making an Adjudicator’s Decision. By including an
outline timetable for the procedural stages it provides a flexible yet
simple to understand, approach to the key elements of the
adjudication process.
Definitions
2.	 In this MAP:-
	‘Adjudication’ is a process for resolving a dispute arising under the
Contract, whereby an independent Adjudicator decides the matter
within a defined timescale, usually 28 days.
	‘Adjudicator’ means the person appointed in accordance with this
procedure by the CIC or other participating Adjudicator
Nominating Bodies (ANBs), who will apply the LVD model
procedure, and who has the qualifications as set out in paragraph
41 below.
	‘Adjudicator’s Decision’ is the Adjudicator’s judgment on the
dispute, which is contractually binding until the dispute is
otherwise determined by arbitration or legal proceedings.
	‘Contract’ is the formal agreement between the disputing parties
for the carrying out of construction operations as defined in the
Construction Act.
	‘Adjudicator’s fees’ are the fees and disbursements charged by the
Adjudicator as set out in Schedule 1.
	‘Application fee’ is the fee charged by the Construction Industry
Council, or another participating Adjudicator Nominating Body for
appointing an adjudicator, at the request (application) of the
Referring Party. In the Adjudicator’s Decision, the Adjudicator shall
decide which Party shall bear this expense and in what proportion.
The list of participating Adjudicator Nominating Bodies is set out in
Schedule 2.
Meaning of terms used in the
CIC LVD MAP
© Construction Industry Council 5
	
‘Low Value Dispute (“LVD”)’ is where the amount claimed is
£50,000 or less.
	
‘Party’ means a party to the Contract. ‘Referring Party’ means
the Party who commences adjudication by giving a ‘Notice of
Adjudication’. ‘Responding Party’ is the other Party.
	
‘Notice of Adjudication’ is the first procedural step in adjudication
which gives the Adjudicator jurisdiction to decide matters in dispute.
	
‘Jurisdiction’ is an Adjudicator’s authority to make a decision.
	
‘Referral Notice’ is a keystone document and as the Referring
Party’s principal submission in adjudication, it should contain
everything you want the Adjudicator to consider.
	
‘Response’ is the Responding Party’s answer to the allegations set
out in the Referral Notice.
	
‘Reply to Response’ is the Referring Party’s answer to the
allegations set out in the Response. Its’ purpose is not to make
good any deficiencies in the Referral Notice.
3	 The Adjudicator shall act impartially.
4	The Adjudicator may take the initiative in ascertaining the facts
and the law. The Adjudicator may use their own knowledge
and experience. The adjudication shall be neither an
arbitration nor an expert determination.
5	The Adjudicator’s decision shall be binding until the dispute is
finally determined by legal proceedings, by arbitration (if the
contract provides for arbitration or the parties otherwise agree to
arbitration) or by agreement.
6	The Parties shall implement the Adjudicator’s decision within
7 days from the date of the decision or, if later, by the final date
for payment of any sum which the Adjudicator has decided should
be paid, whether or not the dispute is to be referred to legal
proceedings or arbitration.
Impartiality
The Adjudicator’s role
Decision binding in interim
Implementation of the
decision
6 © Construction Industry Council
Application
7 “The Parties agree that any Low Value Dispute arising from a
contract for the carrying out of construction operations may
be referred to adjudication in accordance with the CIC LVD MAP
current at the time the Notice of Adjudication is served.
8	This procedure will be adopted if the Parties have incorporated it
into the Contract by reference, the reference shall be deemed to
be to the edition current at the date of the Notice of Adjudication,
unless expressly stated otherwise in the Contract. Alternatively,
the Parties may agree to use this procedure on an ad-hoc basis
when a dispute arises.
9	If a conflict arises between this procedure and the Contract, unless
the Contract provides otherwise, this procedure shall prevail.
Appointment of the Adjudicator
10	Either Party may give notice at any time of its intention to refer a
dispute arising under the Contract to adjudication by giving a
written Notice of Adjudication to the other Party. The Notice of
Adjudication shall include a brief statement of the issues or issues
which it is desired to refer and the redress sought.
11	The Referring Party shall request the Construction Industry Council,
or another participating Adjudicator Nominating Body to nominate
an adjudicator within 5 days of receipt of the request. The request
shall be in writing, accompanied by a copy of the Notice of
Adjudication and the appropriate fee.
12	Prior to nomination by the Construction Industry Council, or
another participating Adjudicator Nominating Body the prospective
Adjudicator will confirm that they:-
	 • Have no current relationship towards either Party nor any
connection with the subject matter of the dispute.
	 • Have no conflict of interest.
	 • Will comply this procedure and charge to fees as set out in
Schedule 1.
	 • Would like to be nominated as Adjudicator.
13	Within 7 days of the Notice of Adjudication, the Referring Party
shall send the Adjudicator and the Responding Party the Referral.
14	Unless the Parties and the Adjudicator otherwise agree, the
Adjudicator shall be appointed on the terms and conditions set
out in the attached Agreement and shall be entitled to be paid the
fee as set out in Schedule 1 below.
Conflict
Notice of Adjudication
Appointment
Conflict of interest
Referral to the Adjudicator
Adjudicator’s terms and
conditions
Boilerplate LVD adjudication
clause
Application
© Construction Industry Council 7
15	If a Party objects to the appointment of a particular person as
adjudicator, that objection shall not invalidate the Adjudicator’s
appointment or any decision the Adjudicator may reach.
16	If the Adjudicator decides that the dispute is not suitable for
adjudication using the CIC LVD MAP, the Adjudicator will resign.
If the Adjudicator resigns the CIC LVD MAP will not be used by a
different Adjudicator to decide the same dispute. A non-exhaustive
list of factors which the Adjudicator may consider as demonstrating
a dispute is not suitable for adjudication using this procedure is set
out in the ‘Guidance on suitability’ in paragraph 49 below.
Conduct of the Adjudication
17	The Parties may choose to be assisted by lawyers or other
professional representatives at any stage of the Adjudication.
The Adjudicator will communicate directly with the Parties and
copy any Party representatives into such communication. Each
Party shall bear its own legal and other costs incurred in
connection with the adjudication.
18	Within 7 days of the Notice of Adjudication, the Referring Party
shall send the Adjudicator and the Responding Party the Referral
Notice. The Referral Notice is a statement of the Referring Party’s
case including a copy of the Notice of Adjudication, the Contract,
details of the circumstances giving rise to the dispute, the reasons
why it is entitled to the redress sought, and the evidence upon
which it relies. The Referral Notice should include an index which
sets out what documents are in the Referral Notice and where the
Adjudicator can find each document, or section of document.
19	The date of referral shall be the date on which the Adjudicator
receives the Referral Notice.
20	After receiving the Referral Notice, the Adjudicator shall, as soon
as reasonably practicable, confirm the date and the adjudication
timetable to the Parties in writing. Unless the Adjudicator directs
otherwise, the adjudication timetable will be as follows:-
	 • Based upon the Referral being received by the adjudicator
on Day 1.
	 • The Responding Party will respond to the Referral no later
than Day 14.
	 • If the Referring Party wishes to make any Reply to the Response,
it may do so in writing no later than Day 21.
	 • The parties will receive the Adjudicator’s Decision not later
than Day 28.
21	Day means a calendar day. Christmas Day, Good Friday or a day
which under the Banking and Financial Dealings Act 1971 is a bank
holiday in England and Wales or, as the case may be, in Scotland,
shall be excluded from the adjudication timetable.
Objection to appointment
Dispute not suitable
Party representation
Referral Notice – statement
of case
Date of referral
Adjudication timetable
Reckoning periods of time
8 © Construction Industry Council
22	The Adjudicator shall reach their decision within 28 days of the
date of referral, or such longer period as is agreed by the Parties
after the dispute has been referred. The Adjudicator may extend
the period of 28 days by up to 14 days with the consent of the
Referring Party.
23	The Adjudicator shall have complete discretion as to how to
conduct the adjudication, and shall establish the procedure and
timetable. The Adjudicator shall not be required to observe any
rule of evidence, procedure or otherwise, of any court or tribunal.
24	Whereas adjudications under this procedure should generally
be suitable for resolving on a documents only basis, and without
prejudice to the generality of the powers set out above, the
Adjudicator may:-
	
(i)

request a written response, further argument or counter
argument;
	
(ii)	 request the production of documents;
	
(iii)	limit the length or time for submission of any statement,
response or argument;
	
(iv)	proceed with the adjudication and reach a decision even if
a Party fails to comply with a request or direction of the
Adjudicator;
	
(v)	issue such further directions as the Adjudicator considers
to be appropriate.
25	Where the Adjudicator directs, or the Parties mutually agree that
they want to meet the Adjudicator, the Adjudicator will convene a
meeting and request the attendance of people whom he considers
could assist. The Adjudicator may meet and question the Parties
and their representatives, in addition the Adjudicator may meet the
parties separately. Where the Adjudicator meets the Parties he or
she will be paid the fee in accordance with Schedule 1.
26	Where the Adjudicator directs, or the Parties mutually agree that
the Adjudicator should visit the site, the Adjudicator will visit the
site. Where the Adjudicator visits the site the Adjudicator will be
paid the fee in accordance with Schedule 1.
27	The Parties shall comply with any request or direction of the
Adjudicator in relation to the adjudication.
28	The Adjudicator may open up, review and revise any certificate,
decision, direction, instruction, notice, opinion, requirement or
valuation made in relation to the Contract.
29	The Adjudicator may obtain legal or technical advice, provided
that the Adjudicator has first notified the Parties of their intention.
The Adjudicator shall provide the Parties with copies of any
written advice received.
Documents only
Meeting the Parties
Visit the site
Parties to comply
Power to open up certificates
Obtaining advice
Period for decision
Procedure
© Construction Industry Council 9
30	The Adjudicator shall decide the matters set out in the Notice of
Adjudication, together with any other matters which the Parties
and the Adjudicator agree shall be within the scope of the
adjudication.
31	The Adjudicator shall determine the rights and obligations of the
Parties in accordance with the law of the Contract.
32	The Adjudicator may resign at any time on giving notice in writing
to the Parties.
The decision
33	The Adjudicator shall reach their decision within the time limits in
paragraph 22 above and issue the decision as soon as possible
after that. The Adjudicator shall be required to give reasons unless
both Parties agree at any time that the Adjudicator shall not be
required to give reasons.
34	If the Adjudicator fails to reach or issue a decision in accordance
with paragraph 33 above, the Adjudicator shall not be entitled to
any fees or expenses (save for the cost of any legal or technical
advice subject to the Parties having been given a copy of such
advice).
35	The Adjudicator may in any decision direct the payment of such
simple or compound interest from such dates, at such rates and
with such rests, as the Adjudicator considers appropriate.
36	The Adjudicator may on their own initiative or on the application
of a Party correct his decision so as to remove a clerical or
typographical error arising by accident or omission. Any correction
of a decision must be made within 5 days of the delivery of the
decision to the Parties. As soon as possible after correcting
a decision in accordance with this paragraph, the Adjudicator must
deliver a copy of the corrected decision to each of the Parties.
Any correction of a decision forms part of the decision.
37	The Parties shall bear their own costs and expenses incurred in
the adjudication.
38	The Parties shall be jointly and severally liable for the Adjudicator’s
fees and expenses as set out in Schedule 1 below, including those
of any legal or technical advisor appointed under paragraph 29
above, but the Adjudicator may direct a Party to pay all or part of
the fees and expenses. Under English Law a general rule is that
costs follow the event, accordingly the Adjudicator shall apply that
norm when deciding which Party will pay the Adjudicator’s fees
and expenses. If the Adjudicator makes no such direction, the
Parties shall pay them in equal shares.
Matters to be determined
Adjudicator to apply the law
Resignation
The decision
Late decisions
Interest
Correction of errors
Costs
Adjudicator’s fees and
expenses
10 © Construction Industry Council
39	The Parties shall be entitled to the redress set out in the decision
and to seek summary enforcement, whether or not the dispute is
to be finally determined by legal proceedings or arbitration. No
issue decided by the Adjudicator may subsequently be referred for
decision by another adjudicator unless so agreed by the Parties.
40	In the event that the dispute is referred to legal proceedings or
arbitration, the Adjudicator’s decision shall not inhibit the right of
the court or arbitrator to determine the Parties’ rights or
obligations as if no adjudication had taken place.
Miscellaneous Provisions
41	 The CIC or other participating Adjudicator Nominating
	
Bodies (ANBs) will maintain a panel of qualified Adjudicators.
42	Unless the Parties agree, the Adjudicator shall not be appointed
arbitrator in any subsequent arbitration between the Parties under
the Contract. No Party may call the Adjudicator as a witness in any
legal proceedings or arbitration concerning the subject matter of
the adjudication.
43	The Adjudicator is not liable for anything done or omitted in their
discharge or purported discharge of their functions as adjudicator
(whether in negligence or otherwise) unless the act or omission is
in bad faith, and any employee or agent of the Adjudicator is
similarly protected from liability.
44	The Adjudicator is appointed to determine the dispute or disputes
between the Parties and their decision may not be relied upon by
third parties, to whom he shall owe no duty of care.
45	This procedure shall be interpreted in accordance with the law of
England and Wales.
Adjudicator qualifications
Adjudicator not to be
appointed arbitrator
Immunity of the Adjudicator
Reliance
Proper law
Enforcement
Subsequent decision by
arbitration or court
© Construction Industry Council 11
Schedule 1 – Adjudicator’s fees and expenses
46	 The Adjudicator’s fees and expenses will be fixed as set out below.
	
Claim value			 Adjudicator’s fee
	
Up to £10,000			 £2,000
	 £10,001 to £25,000		 £3,500	
£25,001 to £50,000		 £6,000
	
Over £50,000			Negotiable
47	Where the Adjudicator meets with the Parties, in addition to the
fee for acting as Adjudicator, the Adjudicator will be paid £1,000
plus reasonable travel expenses.
48	Where the Adjudicator visits the site, in addition to the fee for
acting as Adjudicator, the Adjudicator will be paid £1,000 plus
reasonable travel expenses.
49	A non-exhaustive list of factors which the Adjudicator may
consider as demonstrating a dispute is unsuitable for adjudication
using the CIC LVD MAP is where:-
	
•

The documents included in the Referral, the Response, or the
Reply to the Response exceed more than one A4 Lever Arch File.
	
•

The dispute is prima facia not suitable for the Adjudicator to make
a decision on a documents only basis.
	
•

There is any argument as to whether the parties have consented
to use the CIC LVD MAP.
	
•

The terms of the contract between the Parties are not easily
discernible.
	
•

There any challenges to the Adjudicator’s jurisdiction.
50	Where the Parties have a dispute where the claim exceeds
£50,000, they may choose to follow this procedure. In such
circumstance the prospective Adjudicator shall write to the
Parties setting out the basis of their proposed fees and expenses,
for the Parties agreement.
Schedule 2 Participating Adjudicator Nominating Bodies
51	 • Construction Industry Council (CIC)
	
• ANB One
	
• ANB Two
	
• ANB Three.
	
• ANB Four …
Adjudicator’s Fees and
Expenses
Meeting the Parties
Acting as Adjudicator Fees
Visit the site
Guidance on suitability
Disputes exceeding £50,000
List
12 © Construction Industry Council
FORM OF AGREEMENT
This agreement
is made the ………......……. day of …………………………..........………… 20 ...............
Between
1.	………………………………………………….………………………..............................…...……
	
	of……………………………………………………..............................................................
	…………………………………………………..............................................…....................
	 (the referring Party)
2.	………………………………………………….………………………..............................…...……
	
	of……………………………………………………..............................................................
	…………………………………………………..............................................…....................
	 (the other Party)
3. 	 ………………………………………………….………………………..............................…...……
	
	of……………………………………………………..............................................................
	…………………………………………………..............................................…....................
	 (the Adjudicator)
A dispute has arisen between the Parties under a contract between them
dated.................................... in connection with................................................
..................................................................................................................................
which has been referred to adjudication in accordance with the
CIC Low Value Disputes Model Adjudication Procedure (the
Procedure) and the Adjudicator has been requested to act.
The Parties and the Adjudicator agree that their rights and obligations
shall be as set out in and subject to the terms of this Agreement:
1. The adjudication shall be conducted in accordance with the
Procedure.
2. The Parties shall be jointly and severally liable to pay the
Adjudicator’s fees and expenses as set out in the schedule opposite
and in accordance with the Procedure.
© Construction Industry Council 13
3. The Adjudicator and the Parties shall keep the adjudication
confidential, except so far as is necessary to enable a Party to
implement or enforce the Adjudicator’s decision.
4. The Adjudicator may destroy all documents received during the
course of the adjudication 6 months after delivering their decision.
5. The Adjudicator shall not be liable for anything done or omitted in
the discharge or purported discharge of their functions as
adjudicator (whether in negligence or otherwise) unless the act or
omission is in bad faith, and any employee or agent of the
Adjudicator shall be similarly protected from liability.
6. This Agreement shall be interpreted in accordance with the law
of England and Wales.
Schedule
a. The Adjudicator shall be paid £................. in accordance with
Schedule1 – Adjudicator’s fees and expenses above.
b. The Adjudicator shall be reimbursed their reasonable expenses and
disbursements in respect of the cost of legal or technical advice
obtained in accordance with the Procedure, travelling, hotel and
similar expenses, room charges and other extraordinary expenses
necessarily incurred.
c. The Adjudicator is / is not* currently registered for VAT (where the
Adjudicator is registered for VAT, it shall be payable in accordance
with the rates current at the date the work is done).
Signed on behalf of the referring Party
.................................................................................................................................
Signed on behalf of the other Party
.................................................................................................................................
Signed by the Adjudicator
.................................................................................................................................
* delete as applicable
14 © Construction Industry Council
© Construction Industry Council 15
UK Adjudicators July 2019 Newsletter

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UK Adjudicators July 2019 Newsletter

  • 1.   WWW.UKADJUDICATORS.CO.UK  JULY 2019 NEWSLETTER    1 | P a g e       EDITORS’ COMMENTS  The 2019 London Adjudication and Arbitration  Conference  is  taking  place  at  12  Bloomsbury  Square,  London  on  the  22  August  2019.  Tickets  are  on  sale  and  UK  Adjudicator  panellists will be able to purchase discounted  tickets. If you haven’t used the link to get the  subsidised tickets please do so as we will be  stopping  sale  in  July  so  that  spaces  can  be  released to others wanting to attend.   Supporting  organisations  for  the  event  are  being sought and currently we have speakers  from  Keating,  Blake  Morgan,  Augusta  Ventures, Ankura, Addleshaw Goddard, Clyde  & Co, Corbett, Sense Studio, Aquila Forensics  and  Fenwick  Elliot  confirmed  with  numerous  others  expressing  an  interest  to  take  part  from in the UK and overseas. Sponsorship and  advertising  opportunities  are  highlighted  in  the accompanying brochure.  We have taken a table at the SCL South West  lunch  on  the  11  October  2019  at  the  Bristol  Marriott  Royal  Hotel,  College  Green,  Bristol  BS1  5TA.  If  you  would  like  to  attend  please  email Sean Gibbs to express your interest.             The  Adjudication  Society  conference  takes  place on Thursday, 7 November at the Hilton  London  Metropole,  225  Edgware  Rd,  Paddington, and London W21JU.  If you would  like  to  join  others  for  dinner  at  a  venue  nearby  afterwards  please  express  your  interest so that we can gauge numbers.  If you have any suggestions on ways we can  improve our services, processes or would like  to assist in promoting UK Adjudicators please  do get in touch.  As  always  we  encourage  you  to  submit  articles, case notes and other matters related  to  adjudication  and  dispute  boards  for  publication in our newsletter.  Sean  Gibbs  is  a  director  with  Hanscomb  lntercontinental  and  is  available  to  sit  as  an  arbitrator,  adjudicator,  mediator,  quantum  expert and dispute board member.  sean.gibbs@hanscombintercontinental.co.uk      
  • 2.   WWW.UKADJUDICATORS.CO.UK  JULY 2019 NEWSLETTER    2 | P a g e       UK  LOW  VALUE  ADJUDICATION  SCHEMES  The CIC and TECSA both have draft low value  adjudication schemes which will be rolled out  in 2019.  It appears that  they will still  charge  their  nomination  fee  but  that  costs  will  be  capped in a series of bands. TECSA proposed  bands are:  Claim Value  Fee Cap  Up to £10,000  £2,000  £10,001 to  £25,000  £2,500  £25,001 to  £50,000  £3,500  £50,001 to  £75,000  £4,500  £75,001 to  £100,000  £5,000    The  CIC’s  proposed  claim  value  and  fee  cap  are as follows:  Claim Value  Adjudicator’s fee  Up to £10,000  Up to £2,000  £10,001 to  £25,000  Up to £3,500  £25,001 to  £50,000  Up to £6,000  Over £50,000  Negotiable    The RICS have indicated they will also set up a  low value scheme and have said the process  will be aimed at disputes where claims are for       The  CIC  are  out  for  consultation  on  their  Scheme and we have attached the documents  to the rear of the newsletter. Please do look  at the proposal and provide your responses.          SUPREME  COURT  GRANTS  PERMISSION  FOR  APPEAL  IN  CASE  OF S&T v GROVE  S&T  (UK)  Ltd  (Appellant)  v  Grove  Developments Ltd (Respondent)  UKSC 2018/0222  Neutral Citation No: [2018] EWCA Civ 2448  Lord Wilson, Lord Lloyd‐Jones, Lord Sales  Granted leave to appeal on the 22 May 2019.     
  • 3.   TCC  JU June                  UDGEMEN ABB AB HVD (Midlands  EWHC 1647  Babcock  M Barrier  Coa 1659 (TCC) ( Circle  Not Rushcliffe  Group  [201 June 2019)  TC  Develop Anor v Inves EWHC 1432  UK Insuranc Services Ltd (27 June 201 Willow  Co Contractors  (TCC) (25 Ju NTS  DC v McLaren And  North (TCC) (28 Ju Marine  (Clyd atings  Ltd  (28 June 201 ttingham  Clinical  C 9]  EWHC  13 ments  (Sout stin Quay Ho (TCC) (10 Ju ce Ltd v Cari  [2019] EWH 19)  orp  S.À.R. Ltd  [2019] ne 2019)  WWW.UK JULY 20 n Constructio )  Ltd  [201 ne 2019)  e)  Ltd  v  H [2019]  EWH 9)  Ltd  v  NH Commissioni 315  (TCC)  ( th  East)  Ltd  ouse Ltd [201 ne 2019)  llion Special HC 1588 (TC L.  v  MT ]  EWHC  15 KADJUDICATO 019 NEWS on  19]  HS  HC  HS  ng  17  &  19]  list  CC)  TD  91  D  O D Sw Co aa ht ORS.CO.UK SLETTER  DRBF CON October 02 ‐ RBF  Regio weden  ontact Amy  avery@drb.o ttp://www.d FERENCES 04, 2019   onal  Confe Avery for re org  drb.org/even 3  S 2019    erence:  Sto egistration:  nts/calendar/     | P a g e     ockholm,  /   
  • 4.   WWW.UKADJUDICATORS.CO.UK  JULY 2019 NEWSLETTER    4 | P a g e       ADJUDICATION SOCIETY       ANNUAL CONFERENCE 2019  Thursday, 7 November, 2019 9.30 for 10am  The Society's Eighteenth Annual Conference  will be held at the Hilton London  Metropole,225 Edgware Rd, Paddington,  London W21JU.    SOCIETY  OF  CONSTRUCTION  LAW  (UK)    Cheltenham    18th  September 2019 at 5.30pm  Design  Liability  &  Professional  Negligence  – Contractors and Consultants perspectives  Speaker:  Sian Mirchandani QC, 4 New Square   Chair:  Sean Gibbs   Venue:    Queens  Hotel,  The  Promenade,  Cheltenham GL50 1NN      FIDIC CONFERENCES 2019    http://fidic2019.org/en    3rd FIDIC Latin America Contract Users’  Conference, 10‐12 September 2019  Main Conference: Wednesday 11 and  Thursday 12 September 2019  Workshops: Tuesday 10 September 2019  Location: Hotel TBC, Mexico City, Mexico   5th FIDIC Africa Contract Users’ Conference,  28‐31 October 2019   Main Conference: Tuesday 29 and Wednesday  30 October 2019  Workshops: Monday 28 and Thursday 31  October 2019  Location: Avani Resort, Livingstone, Zambia   32nd FIDIC International Contract Users’  Conference, 2‐5 December 2019   Main Conference: Tuesday 3 and Wednesday  4 December 2019  Workshops: Monday 2 and Thursday 5  December 2019  Location: Hotel TBC, London, UK    
  • 5.   SCL  IN 2020  The  So Internat to  6  N Zealand http://w         NTERNATI ociety  of  tional Confer November,  2 .  Further  d www.constru ONAL  CO Constructio rence is bein 2020,  in  A etails  can  b uctionlaw202 WWW.UK JULY 20 ONFERENC on  Law  9 ng held from uckland,  Ne be  found  at 20.com/scl20 KADJUDICATO 019 NEWS CE    9th   m 4  ew  t  :  0   Fr A In A Fo in re Co   ORS.CO.UK SLETTER  rom  10‐13 rbitration  C nternational  rbitration Co or full inform nformation  o eserve hotel  ongress web   May  20 entre  plays  Council  ongress in Ed mation on the on  how  to  r accommoda bsite www.icc 5  020,  the  host  to  th for  Com dinburgh.   e Congress, i register,  spo ation, please ca2020.scot     | P a g e     Scottish  he  XXVth  mmercial  including  onsor,  or  e visit the  .   
  • 6.   WWW.UKADJUDICATORS.CO.UK  JULY 2019 NEWSLETTER    6 | P a g e         Please note that this is a newsletter  and does not provide legal advice.  Whilst every care has been taken in  the  preparation  of  this  document,  we  cannot  accept  any  liability  for  any  loss  or  damage,  whether  caused by negligence or otherwise,  to any person using this document.  Independent legal advice should be  taken from a regulated lawyer. 
  • 7. 22 AUGUST 2019 - CIARB 12 BLOOMSBURY SQUARE, LONDON WC1A 2LP 2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE HANSCOMB INTERCONTINENTAL, 5 CHANCERY LANE , LONDON www.hanscombintercontinental.com VENUE CIARB 12 Bloomsbury Square, London WC1A 2LP 2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE 22 AUGUST 2019
  • 8. 22 AUGUST 2019 - CIARB 12 BLOOMSBURY SQUARE, LONDON WC1A 2LP 2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE CAPACITY: 140 ATTENDEES, 20 SPEAKERS ADJUDICATION / DISPUTE BOARD TRACK WILL TAKE PLACE IN THE OLD LIBRARY ROOM (LGF) 80 PERSONS ARBITRATION TRACK WILL TAKE PLACE IN THE COUNCIL CHAMBER (GF) 80 PERSONS COMPARARTIVE PRICE TABLE Venue sponsor x 1 1600.00 Lunch sponsor x 1 1800.00 Refreshment sponsor x 1 1600.00 Drinks reception sponsor x 1 2400.00 Pen sponsor x 1 170 pens to be supplied by sponsor Writing pad sponsor x 1 170 pads to be supplied by sponsor Name badge sponsor x 1 240.00 USB sponsor 170 USB to be supplied by sponsor, with pa- pers uploaded Speakers dinner sponsor x 1 1000.00 Platinum sponsor x 1 2000.00 Gold sponsor x 1 1400.00 Silver sponsor x 1 950.00 Bronze sponsor x 3 500.00 Alternatively, one organisation could be the sole sponsor. 10,000.00 Prices are quoted in £GBP and are subject to VAT at the prevailing rate. Sponsorship only confirmed by receipt of payment. We also invite proposals to suit your required budget and level of participation.
  • 9. 22 AUGUST 2019 - CIARB 12 BLOOMSBURY SQUARE, LONDON WC1A 2LP 2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE VENUE x 1 £1600.00 Acknowledgment in all conference promotions, including flyers, invitations, emails and media releases. Brochure distribution to conference delegates. Limited corporate signage allowed to be displayed Opportunity to address delegates during conference Will be thanked during conference and in presentation slides LUNCH x 1 £1800.00 Acknowledgment in all conference promotions, including flyers, invitations, emails and media releases. Brochure distribution to conference delegates. Limited corporate signage allowed to be displayed Opportunity to address delegates during conference Will be thanked during conference and in presentation slides REFRESHMENT x 1 £1600.00 Acknowledgment in all conference promotions, including flyers, invitations, emails and media releases. Brochure distribution to conference delegates. Limited corporate signage allowed to be displayed Opportunity to address delegates during conference Will be thanked during conference and in presentation slides DRINKS RECEPTION x 1 £2400.00 Acknowledgment in all conference promotions, including flyers, invitations, emails and media releases. Brochure distribution to conference delegates. Limited corporate signage allowed to be displayed Opportunity to address delegates at start of drinks reception Will be thanked during conference and in presentation slides
  • 10. 22 AUGUST 2019 - CIARB 12 BLOOMSBURY SQUARE, LONDON WC1A 2LP 2019 LONDON ADJUDICATION & ARBITRATION CONFERENCE SPEAKERS DINNER x 1 £1000.00 Acknowledgment in all conference promotions, including flyers, invitations, emails and media releases. Brochure distribution to conference delegates. Limited corporate signage allowed to be displayed Opportunity to address speakers at dinner Will be thanked during conference and in presentation slides PLATINUM x 1 £2000.00 Acknowledgment in all conference promotions, including flyers, invitations, emails and media releases. Tabletop display and brochure distribution to conference delegates. Unlimited corporate signage allowed to be displayed Opportunity to address delegates at opening of conference May play videos at designated area (sponsor to provide all necessary equipment) GOLD x 1 £1400.00 Acknowledgment in all conference promotions, including flyers, invitations, emails and media releases. Opportunity for tabletop display and brochure distribution to conference delegates Unlimited corporate signage allowed to be displayed May play videos at designated area (sponsor to provide all necessary equipment) SILVER x 1 £950.00 Acknowledgment in all conference promotions, including flyers, invitations, emails, and media releases. Opportunity for brochure distribution to conference delegates. Four pop up banners may be displayed at venue BRONZE x 3 £500.00 Acknowledgment in all conference promotions, including brochures, invitations, emails, and media releases. Opportunity for brochure distribution to conference delegates. One pop banner 1mx2m may be displayed at venue. To discuss your exact requirements or to book packages please contact: Sean Gibbs, Hanscomb Intercontinental, Eagle Tower, Cheltenham GL50 1TA sean.gibbs@hanscombintercontinental.co.uk +447722643816
  • 11. Construction Industry Council, 26 Store Street, London, WC1E 7BT Tel. 020 7399 7400 Fax. 020 7399 7425 www.cic.org.uk PRESS RELEASE 4 June 2019 CIC Consultation on Adjudication for Low Value Disputes The Construction Industry Council (CIC) is developing a Low Value Disputes Model Adjudication Procedure (LVD MAP) to provide a simple and cost-effective procedure to make adjudication more accessible for SME’s and others involved in lower value claims. The CIC initiative is a response to growing construction industry concerns about the increasing complexity and prohibitive costs of adjudication. The CIC LVD MAP is aimed at disputes where claims are for £50,000 or less, and the issues in dispute are relatively uncomplicated. The CIC LVD MAP is being developed by a Working Group drawn from key industry bodies, including the Adjudication Society, CIC, CEDR, ICE and the RICS. The CIC wishes to consult with the construction industry and other stakeholders to give everyone the opportunity to make the CIC LVD MAP the best that it can be. The consultation offers interested parties an opportunity to discuss and shape the CIC LVD MAP, and enable CIC to gauge the degree of industry support for this initiative. The CIC LVD MAP can be downloaded here. Martin Burns RICS Head of ADR Research and Development and Chair of the CIC LVD MAP Working Group says “The reality is that many smaller businesses are disillusioned with adjudication because it has developed into a process often inordinately complicated and too expensive for dealing with disputes where the sums claimed are £50,000 or less. The aim of the CIC LVD MAP is to provide SME’s who might not otherwise use adjudication, with a simple, Construction Act compliant, timetable and procedure for low value disputes. The CIC LVD MAP will be relatively low cost to use and parties will know from the outset what the adjudicator’s fees will be.” Niall Lawless, Chair of the CIC’s ADR Management Board says: “The CIC LVD MAP offers the construction industry the opportunity to reinforce confidence in adjudication as a method for deciding straightforward low value disputes.” Your comments, opinions, suggestions, and views are valued, and should be sent to the CIC Registrar at Adjudication@cic.org.uk. The consultation period ends on Friday 5 July 2019. Ends
  • 12. Construction Industry Council, 26 Store Street, London, WC1E 7BT Tel. 020 7399 7400 Fax. 020 7399 7425 www.cic.org.uk Notes to the editor CIC is the representative forum for the professional bodies, research organisations and specialist business associations for professional services providers in the construction industry. It provides a single voice for professionals in all sectors of the built environment through its collective membership of 500,000 individual professionals and 25,000 firms of construction consultants. Press Contact Liz Drummond, ldrummond@cic.org.uk or 020 7399 7400
  • 13. © Construction Industry Council I CIC LOW VALUE DISPUTES MODEL ADJUDICATION PROCEDURE CONSULTATION DRAFT An adjudication procedure for low value disputes complying with the Housing Grants, Construction and Regeneration Act 1996 as amended by Part 8 of the Local Democracy, Economic Development and Construction Act 2009 (the “Construction Act”).
  • 14. 2 © Construction Industry Council CIC Low Value Disputes Model Adjudication Procedure CIC 2019: An adjudication procedure for low value disputes complying with the Housing Grants, Construction and Regeneration Act 1996 as amended by Part 8 of the Local Democracy, Economic Development and Construction Act 2009 (the “Construction Act”). All parties must rely exclusively upon their own skill and judgment when making use of this document. Neither the CIC nor any other contributor assumes any liability to anyone for any loss of damage caused by any error or omission whether such error or omission is the result of negligence or any other cause. Any and all such liability is disclaimed. The CIC thanks Gillian Birkby, Martin Burns, Christian Charles, Niall Lawless, John Munton, Timothy Willis and Chi Wong for their work preparing the CIC Low Value Disputes Model Adjudication Procedure. © Copyright Construction Industry Council Reproduction is authorised, provided it is without amendment and the source is acknowledged.
  • 15. © Construction Industry Council 3 CIC LOW VALUE DISPUTES MODEL ADJUDICATION PROCEDURE CONSULTATION DRAFT An adjudication procedure for low value disputes complying with the Housing Grants, Construction and Regeneration Act 1996 as amended by Part 8 of the Local Democracy, Economic Development and Construction Act 2009 (the “Construction Act”). CIC Members Association of Consultant Approved Inspectors Association for Consultancy and Engineering Association for Project Management Association for Project Safety Association for Specialist Fire Protection British Approvals for Fire Equipment Chartered Institute for IT British Institute of Interior Design Building Research Establishment Building Services Research and Information Association Chartered Association of Building Engineers Chartered Institute of Architectural Technologists Chartered Institution of Building Services Engineers Chartered Institute of Building Chartered Institution of Highways & Transportation Chartered Institute of Plumbing and Heating Engineering Construction Industry Research and Information Association Ground Forum Institution of Civil Engineers Chartered Institution of Civil Engineering Surveyors Institute of Clerks of Works and Construction Inspectorate ​ Institution of Engineering and Technology – Built Environment Sector Institution of Fire Engineers International Institute of Risk and Safety Management Institute of Specialist Surveyors and Engineers Institution of Structural Engineers Institute of Workplace and Facilities Management Local Authorities Building Control Landscape Institute National House-Building Council Royal Institute of British Architects Royal Institution of Chartered Surveyors Royal Town Planning Institute The Safety Assessment Federation
  • 16. 4 © Construction Industry Council Purpose of the CIC LVD MAP Scope 1. An adjudication procedure for low value disputes complying with the Housing Grants, Construction and Regeneration Act 1996 as amended by Part 8 of the Local Democracy, Economic Development and Construction Act 2009 (the “Construction Act”). Whereas the object of adjudication is to reach a fair, rapid and inexpensive decision upon a dispute arising under the Contract, there is evidence that Parties are deterred from using adjudication because of the costs involved. The CIC LVD MAP sets out a streamlined adjudication procedure for low value disputes, and by linking the Adjudicator’s fee to the amount claimed provides certainty as to how much the Adjudicator will be paid for making an Adjudicator’s Decision. By including an outline timetable for the procedural stages it provides a flexible yet simple to understand, approach to the key elements of the adjudication process. Definitions 2. In this MAP:- ‘Adjudication’ is a process for resolving a dispute arising under the Contract, whereby an independent Adjudicator decides the matter within a defined timescale, usually 28 days. ‘Adjudicator’ means the person appointed in accordance with this procedure by the CIC or other participating Adjudicator Nominating Bodies (ANBs), who will apply the LVD model procedure, and who has the qualifications as set out in paragraph 41 below. ‘Adjudicator’s Decision’ is the Adjudicator’s judgment on the dispute, which is contractually binding until the dispute is otherwise determined by arbitration or legal proceedings. ‘Contract’ is the formal agreement between the disputing parties for the carrying out of construction operations as defined in the Construction Act. ‘Adjudicator’s fees’ are the fees and disbursements charged by the Adjudicator as set out in Schedule 1. ‘Application fee’ is the fee charged by the Construction Industry Council, or another participating Adjudicator Nominating Body for appointing an adjudicator, at the request (application) of the Referring Party. In the Adjudicator’s Decision, the Adjudicator shall decide which Party shall bear this expense and in what proportion. The list of participating Adjudicator Nominating Bodies is set out in Schedule 2. Meaning of terms used in the CIC LVD MAP
  • 17. © Construction Industry Council 5 ‘Low Value Dispute (“LVD”)’ is where the amount claimed is £50,000 or less. ‘Party’ means a party to the Contract. ‘Referring Party’ means the Party who commences adjudication by giving a ‘Notice of Adjudication’. ‘Responding Party’ is the other Party. ‘Notice of Adjudication’ is the first procedural step in adjudication which gives the Adjudicator jurisdiction to decide matters in dispute. ‘Jurisdiction’ is an Adjudicator’s authority to make a decision. ‘Referral Notice’ is a keystone document and as the Referring Party’s principal submission in adjudication, it should contain everything you want the Adjudicator to consider. ‘Response’ is the Responding Party’s answer to the allegations set out in the Referral Notice. ‘Reply to Response’ is the Referring Party’s answer to the allegations set out in the Response. Its’ purpose is not to make good any deficiencies in the Referral Notice. 3 The Adjudicator shall act impartially. 4 The Adjudicator may take the initiative in ascertaining the facts and the law. The Adjudicator may use their own knowledge and experience. The adjudication shall be neither an arbitration nor an expert determination. 5 The Adjudicator’s decision shall be binding until the dispute is finally determined by legal proceedings, by arbitration (if the contract provides for arbitration or the parties otherwise agree to arbitration) or by agreement. 6 The Parties shall implement the Adjudicator’s decision within 7 days from the date of the decision or, if later, by the final date for payment of any sum which the Adjudicator has decided should be paid, whether or not the dispute is to be referred to legal proceedings or arbitration. Impartiality The Adjudicator’s role Decision binding in interim Implementation of the decision
  • 18. 6 © Construction Industry Council Application 7 “The Parties agree that any Low Value Dispute arising from a contract for the carrying out of construction operations may be referred to adjudication in accordance with the CIC LVD MAP current at the time the Notice of Adjudication is served. 8 This procedure will be adopted if the Parties have incorporated it into the Contract by reference, the reference shall be deemed to be to the edition current at the date of the Notice of Adjudication, unless expressly stated otherwise in the Contract. Alternatively, the Parties may agree to use this procedure on an ad-hoc basis when a dispute arises. 9 If a conflict arises between this procedure and the Contract, unless the Contract provides otherwise, this procedure shall prevail. Appointment of the Adjudicator 10 Either Party may give notice at any time of its intention to refer a dispute arising under the Contract to adjudication by giving a written Notice of Adjudication to the other Party. The Notice of Adjudication shall include a brief statement of the issues or issues which it is desired to refer and the redress sought. 11 The Referring Party shall request the Construction Industry Council, or another participating Adjudicator Nominating Body to nominate an adjudicator within 5 days of receipt of the request. The request shall be in writing, accompanied by a copy of the Notice of Adjudication and the appropriate fee. 12 Prior to nomination by the Construction Industry Council, or another participating Adjudicator Nominating Body the prospective Adjudicator will confirm that they:- • Have no current relationship towards either Party nor any connection with the subject matter of the dispute. • Have no conflict of interest. • Will comply this procedure and charge to fees as set out in Schedule 1. • Would like to be nominated as Adjudicator. 13 Within 7 days of the Notice of Adjudication, the Referring Party shall send the Adjudicator and the Responding Party the Referral. 14 Unless the Parties and the Adjudicator otherwise agree, the Adjudicator shall be appointed on the terms and conditions set out in the attached Agreement and shall be entitled to be paid the fee as set out in Schedule 1 below. Conflict Notice of Adjudication Appointment Conflict of interest Referral to the Adjudicator Adjudicator’s terms and conditions Boilerplate LVD adjudication clause Application
  • 19. © Construction Industry Council 7 15 If a Party objects to the appointment of a particular person as adjudicator, that objection shall not invalidate the Adjudicator’s appointment or any decision the Adjudicator may reach. 16 If the Adjudicator decides that the dispute is not suitable for adjudication using the CIC LVD MAP, the Adjudicator will resign. If the Adjudicator resigns the CIC LVD MAP will not be used by a different Adjudicator to decide the same dispute. A non-exhaustive list of factors which the Adjudicator may consider as demonstrating a dispute is not suitable for adjudication using this procedure is set out in the ‘Guidance on suitability’ in paragraph 49 below. Conduct of the Adjudication 17 The Parties may choose to be assisted by lawyers or other professional representatives at any stage of the Adjudication. The Adjudicator will communicate directly with the Parties and copy any Party representatives into such communication. Each Party shall bear its own legal and other costs incurred in connection with the adjudication. 18 Within 7 days of the Notice of Adjudication, the Referring Party shall send the Adjudicator and the Responding Party the Referral Notice. The Referral Notice is a statement of the Referring Party’s case including a copy of the Notice of Adjudication, the Contract, details of the circumstances giving rise to the dispute, the reasons why it is entitled to the redress sought, and the evidence upon which it relies. The Referral Notice should include an index which sets out what documents are in the Referral Notice and where the Adjudicator can find each document, or section of document. 19 The date of referral shall be the date on which the Adjudicator receives the Referral Notice. 20 After receiving the Referral Notice, the Adjudicator shall, as soon as reasonably practicable, confirm the date and the adjudication timetable to the Parties in writing. Unless the Adjudicator directs otherwise, the adjudication timetable will be as follows:- • Based upon the Referral being received by the adjudicator on Day 1. • The Responding Party will respond to the Referral no later than Day 14. • If the Referring Party wishes to make any Reply to the Response, it may do so in writing no later than Day 21. • The parties will receive the Adjudicator’s Decision not later than Day 28. 21 Day means a calendar day. Christmas Day, Good Friday or a day which under the Banking and Financial Dealings Act 1971 is a bank holiday in England and Wales or, as the case may be, in Scotland, shall be excluded from the adjudication timetable. Objection to appointment Dispute not suitable Party representation Referral Notice – statement of case Date of referral Adjudication timetable Reckoning periods of time
  • 20. 8 © Construction Industry Council 22 The Adjudicator shall reach their decision within 28 days of the date of referral, or such longer period as is agreed by the Parties after the dispute has been referred. The Adjudicator may extend the period of 28 days by up to 14 days with the consent of the Referring Party. 23 The Adjudicator shall have complete discretion as to how to conduct the adjudication, and shall establish the procedure and timetable. The Adjudicator shall not be required to observe any rule of evidence, procedure or otherwise, of any court or tribunal. 24 Whereas adjudications under this procedure should generally be suitable for resolving on a documents only basis, and without prejudice to the generality of the powers set out above, the Adjudicator may:- (i) request a written response, further argument or counter argument; (ii) request the production of documents; (iii) limit the length or time for submission of any statement, response or argument; (iv) proceed with the adjudication and reach a decision even if a Party fails to comply with a request or direction of the Adjudicator; (v) issue such further directions as the Adjudicator considers to be appropriate. 25 Where the Adjudicator directs, or the Parties mutually agree that they want to meet the Adjudicator, the Adjudicator will convene a meeting and request the attendance of people whom he considers could assist. The Adjudicator may meet and question the Parties and their representatives, in addition the Adjudicator may meet the parties separately. Where the Adjudicator meets the Parties he or she will be paid the fee in accordance with Schedule 1. 26 Where the Adjudicator directs, or the Parties mutually agree that the Adjudicator should visit the site, the Adjudicator will visit the site. Where the Adjudicator visits the site the Adjudicator will be paid the fee in accordance with Schedule 1. 27 The Parties shall comply with any request or direction of the Adjudicator in relation to the adjudication. 28 The Adjudicator may open up, review and revise any certificate, decision, direction, instruction, notice, opinion, requirement or valuation made in relation to the Contract. 29 The Adjudicator may obtain legal or technical advice, provided that the Adjudicator has first notified the Parties of their intention. The Adjudicator shall provide the Parties with copies of any written advice received. Documents only Meeting the Parties Visit the site Parties to comply Power to open up certificates Obtaining advice Period for decision Procedure
  • 21. © Construction Industry Council 9 30 The Adjudicator shall decide the matters set out in the Notice of Adjudication, together with any other matters which the Parties and the Adjudicator agree shall be within the scope of the adjudication. 31 The Adjudicator shall determine the rights and obligations of the Parties in accordance with the law of the Contract. 32 The Adjudicator may resign at any time on giving notice in writing to the Parties. The decision 33 The Adjudicator shall reach their decision within the time limits in paragraph 22 above and issue the decision as soon as possible after that. The Adjudicator shall be required to give reasons unless both Parties agree at any time that the Adjudicator shall not be required to give reasons. 34 If the Adjudicator fails to reach or issue a decision in accordance with paragraph 33 above, the Adjudicator shall not be entitled to any fees or expenses (save for the cost of any legal or technical advice subject to the Parties having been given a copy of such advice). 35 The Adjudicator may in any decision direct the payment of such simple or compound interest from such dates, at such rates and with such rests, as the Adjudicator considers appropriate. 36 The Adjudicator may on their own initiative or on the application of a Party correct his decision so as to remove a clerical or typographical error arising by accident or omission. Any correction of a decision must be made within 5 days of the delivery of the decision to the Parties. As soon as possible after correcting a decision in accordance with this paragraph, the Adjudicator must deliver a copy of the corrected decision to each of the Parties. Any correction of a decision forms part of the decision. 37 The Parties shall bear their own costs and expenses incurred in the adjudication. 38 The Parties shall be jointly and severally liable for the Adjudicator’s fees and expenses as set out in Schedule 1 below, including those of any legal or technical advisor appointed under paragraph 29 above, but the Adjudicator may direct a Party to pay all or part of the fees and expenses. Under English Law a general rule is that costs follow the event, accordingly the Adjudicator shall apply that norm when deciding which Party will pay the Adjudicator’s fees and expenses. If the Adjudicator makes no such direction, the Parties shall pay them in equal shares. Matters to be determined Adjudicator to apply the law Resignation The decision Late decisions Interest Correction of errors Costs Adjudicator’s fees and expenses
  • 22. 10 © Construction Industry Council 39 The Parties shall be entitled to the redress set out in the decision and to seek summary enforcement, whether or not the dispute is to be finally determined by legal proceedings or arbitration. No issue decided by the Adjudicator may subsequently be referred for decision by another adjudicator unless so agreed by the Parties. 40 In the event that the dispute is referred to legal proceedings or arbitration, the Adjudicator’s decision shall not inhibit the right of the court or arbitrator to determine the Parties’ rights or obligations as if no adjudication had taken place. Miscellaneous Provisions 41 The CIC or other participating Adjudicator Nominating Bodies (ANBs) will maintain a panel of qualified Adjudicators. 42 Unless the Parties agree, the Adjudicator shall not be appointed arbitrator in any subsequent arbitration between the Parties under the Contract. No Party may call the Adjudicator as a witness in any legal proceedings or arbitration concerning the subject matter of the adjudication. 43 The Adjudicator is not liable for anything done or omitted in their discharge or purported discharge of their functions as adjudicator (whether in negligence or otherwise) unless the act or omission is in bad faith, and any employee or agent of the Adjudicator is similarly protected from liability. 44 The Adjudicator is appointed to determine the dispute or disputes between the Parties and their decision may not be relied upon by third parties, to whom he shall owe no duty of care. 45 This procedure shall be interpreted in accordance with the law of England and Wales. Adjudicator qualifications Adjudicator not to be appointed arbitrator Immunity of the Adjudicator Reliance Proper law Enforcement Subsequent decision by arbitration or court
  • 23. © Construction Industry Council 11 Schedule 1 – Adjudicator’s fees and expenses 46 The Adjudicator’s fees and expenses will be fixed as set out below. Claim value Adjudicator’s fee Up to £10,000 £2,000 £10,001 to £25,000 £3,500 £25,001 to £50,000 £6,000 Over £50,000 Negotiable 47 Where the Adjudicator meets with the Parties, in addition to the fee for acting as Adjudicator, the Adjudicator will be paid £1,000 plus reasonable travel expenses. 48 Where the Adjudicator visits the site, in addition to the fee for acting as Adjudicator, the Adjudicator will be paid £1,000 plus reasonable travel expenses. 49 A non-exhaustive list of factors which the Adjudicator may consider as demonstrating a dispute is unsuitable for adjudication using the CIC LVD MAP is where:- • The documents included in the Referral, the Response, or the Reply to the Response exceed more than one A4 Lever Arch File. • The dispute is prima facia not suitable for the Adjudicator to make a decision on a documents only basis. • There is any argument as to whether the parties have consented to use the CIC LVD MAP. • The terms of the contract between the Parties are not easily discernible. • There any challenges to the Adjudicator’s jurisdiction. 50 Where the Parties have a dispute where the claim exceeds £50,000, they may choose to follow this procedure. In such circumstance the prospective Adjudicator shall write to the Parties setting out the basis of their proposed fees and expenses, for the Parties agreement. Schedule 2 Participating Adjudicator Nominating Bodies 51 • Construction Industry Council (CIC) • ANB One • ANB Two • ANB Three. • ANB Four … Adjudicator’s Fees and Expenses Meeting the Parties Acting as Adjudicator Fees Visit the site Guidance on suitability Disputes exceeding £50,000 List
  • 24. 12 © Construction Industry Council FORM OF AGREEMENT This agreement is made the ………......……. day of …………………………..........………… 20 ............... Between 1. ………………………………………………….………………………..............................…...…… of…………………………………………………….............................................................. …………………………………………………..............................................….................... (the referring Party) 2. ………………………………………………….………………………..............................…...…… of…………………………………………………….............................................................. …………………………………………………..............................................….................... (the other Party) 3. ………………………………………………….………………………..............................…...…… of…………………………………………………….............................................................. …………………………………………………..............................................….................... (the Adjudicator) A dispute has arisen between the Parties under a contract between them dated.................................... in connection with................................................ .................................................................................................................................. which has been referred to adjudication in accordance with the CIC Low Value Disputes Model Adjudication Procedure (the Procedure) and the Adjudicator has been requested to act. The Parties and the Adjudicator agree that their rights and obligations shall be as set out in and subject to the terms of this Agreement: 1. The adjudication shall be conducted in accordance with the Procedure. 2. The Parties shall be jointly and severally liable to pay the Adjudicator’s fees and expenses as set out in the schedule opposite and in accordance with the Procedure.
  • 25. © Construction Industry Council 13 3. The Adjudicator and the Parties shall keep the adjudication confidential, except so far as is necessary to enable a Party to implement or enforce the Adjudicator’s decision. 4. The Adjudicator may destroy all documents received during the course of the adjudication 6 months after delivering their decision. 5. The Adjudicator shall not be liable for anything done or omitted in the discharge or purported discharge of their functions as adjudicator (whether in negligence or otherwise) unless the act or omission is in bad faith, and any employee or agent of the Adjudicator shall be similarly protected from liability. 6. This Agreement shall be interpreted in accordance with the law of England and Wales. Schedule a. The Adjudicator shall be paid £................. in accordance with Schedule1 – Adjudicator’s fees and expenses above. b. The Adjudicator shall be reimbursed their reasonable expenses and disbursements in respect of the cost of legal or technical advice obtained in accordance with the Procedure, travelling, hotel and similar expenses, room charges and other extraordinary expenses necessarily incurred. c. The Adjudicator is / is not* currently registered for VAT (where the Adjudicator is registered for VAT, it shall be payable in accordance with the rates current at the date the work is done). Signed on behalf of the referring Party ................................................................................................................................. Signed on behalf of the other Party ................................................................................................................................. Signed by the Adjudicator ................................................................................................................................. * delete as applicable
  • 26. 14 © Construction Industry Council