Why construction firms are choosing mediation
It simplifies the dispute by focusing on the business priorities of both parties who are in control of the settlement terms.
Add BT as a preferred source
WHEN a landowner hires a contractor to design and build a project, it is standard practice for the contractor to engage several subcontractors, as well as suppliers, to assist in completing and delivering the project. With so many parties involved, it is not surprising that misunderstandings and disputes occur.
To manage contractual disputes in a timely and cost-effective manner, a growing number of businesses are turning to mediation, an informal method of dispute resolution facilitated by a neutral third party. The Singapore Mediation Centre saw 337 matters mediated last year, a 57 per cent increase from 2013. Of these, the construction industry saw 49 matters - nearly twice as many as any other industry.
Here are some reasons why construction firms are choosing mediation instead of taking their disputes to court.
Copyright SPH Media. All rights reserved.
