LAWFUEL – The Legal News Wire: NEW YORK, June 04, 2007 — The American Arbitration Association (AAA), the world’s leading provider of conflict management and dispute resolution services, announced on June 01, 2007 the launch of its Home Construction Arbitration Rules and Mediation Procedures, a new set of rules implemented specifically for residential construction. As the AAA’s residential construction caseload continues to grow, these rules have been put in place to better address issues and disputes between builders and home owners. The rules incorporate the principles of the Consumer Due Process Protocol, a set of principles which establish clear benchmarks for conflict resolution processes involving consumers.
“The home construction rules are the first of its kind, designed specifically for home construction disputes,” said India Johnson, senior vice president, American Arbitration Association. “These rules will provide both parties with fair and cost-effective mediation and/or arbitration of their dispute with processes in place that result in significant cost and time savings as compared to traditional litigation.”
Home Construction Arbitration Rules and Mediation Procedures at a Glance
• Rules are designed specifically for home construction disputes.
• Neutrals serving in these disputes are construction and real estate law experts.
• Claims filed by homeowner signatories to the contract, for purpose of the arbitration, are considered one claimant or one counterclaimant.
• The AAA offers fast, convenient online claim filing through our AAA WebFile® service. In addition to filing claims, clients can make payments, perform online case management, access rules and procedures, electronically transfer documents, select Neutrals, use a case-customized message board and check the status of their case.
• Rules also include a Glossary, a checklist for preparing for a mediation or preparing for an arbitration, a checklist for filing your demand for arbitration, and useful tips for both mediation and arbitration.
• There is no filing fee to initiate a mediation or a fee to request the AAA to invite parties to mediate.
• Rules provide the parties with a hearing by an impartial arbitrator who will make a ruling (award) that is binding.
• Claims and Counterclaims are divided into Levels so that the process can fit the size of the claim—saving time and money for all concerned.
o Level 1 Claims — No claim or counterclaim exceeds $10,000. For Level 1 claims, either party can opt to file their claim in Small Claims Court if the claim or counterclaim is within the jurisdictional limits of such court.
o Level 2 Claims — Claims or counterclaims are greater than $10,000 but not more than $75,000.
o Level 3 Claims — Claims or counterclaims are greater than $75,000 or are non-monetary.
• Varied arbitration options including documents only hearings, telephone and in-person hearings are available.
To view a copy of the Home Construction Arbitration Rules and Mediation Procedures, please visit www.adr.org and click on “Rules Updates.”
About the American Arbitration Association
The global leader in conflict management since 1926, the American Arbitration Association is a not-for-profit, public service organization committed to the resolution of disputes through the use of arbitration, mediation, conciliation, negotiation, democratic elections and other voluntary procedures. In 2006, more than 137,000 cases were filed with the Association in a full range of matters including commercial, construction, labor, employment, insurance, international and claims program disputes. Through 29 offices in the United States, Ireland and Mexico, the AAA provides a forum for the hearing of disputes, rules and procedures and a roster of impartial experts to resolve cases. Find more information online at www.adr.org.
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