As most construction sites are complex in nature and can involve a great many contracted individuals and teams of experienced professionals, the potential for dispute can be quite high.
Each day, developments in almost every major city across the U.S. are being carried out and in instances where disputes concerning build projects have arisen, construction mediation may be sought as an alternative to going to court.
Six Stages of Construction Mediation in Alabama
Cases that require mediation are generally grouped into residential or commercial construction cases, and institutional or specialized industrial construction cases. Regardless of which category the dispute falls into, an outcome hinges upon successfully navigating the following five stages:
- Opening statements: When negotiations are entered into each party is given the opportunity to present their grievances and frame their complaint.
- Joint Discussion: The mediator will then facilitate settlement talks towards a mutually beneficial outcome and will set aside this time to explore what issues are to be addressed.
- Private Caucuses: This stage can occur as many times as needed and is an opportunity for each party to meet with the mediator privately and to discuss the strengths and weaknesses of their position.
- Joint Negotiation: After the parties involved have exhausted all options moving forward, the mediator may bring them back together to negotiate directly.
- Closure: This is the end stage of construction mediation and if an agreement has not been met, the matter will go to arbitration for resolution. Otherwise a binding contract can be signed and agreed to by both parties.
As cases may involve hundreds of thousands of dollars, construction mediation offers many benefits and is a viable way for disputes to be resolved quickly and effectively in a civilized manner.