Clause for Arbitration under Rules for Expedited Arbitration of Construction Disputes

Standard Contractual Provisions

The International Institute for Conflict Prevention & Resolution (“the CPR Institute”) Rules for Expedited Arbitration of Construction Disputes are intended in particular for use in construction disputes and are designed to assure expeditious and economical conduct of proceedings and prompt resolution of disputes. The Rules may be adopted by using the following standard provisions recommended by the CPR Institute with such modifications as the Parties may agree. The Rules contemplate that the arbitral proceedings shall be complete within 100 days of the Pre-hearing Conference.

A. Pre-Dispute Clause: Standard

“Any dispute arising out of or relating to this contract, including the making, breach, termination or validity thereof, shall be finally resolved by arbitration in accordance with the International Institute for Conflict Prevention & Resolution Rules for Expedited Arbitration of Construction Disputes (the “Rules”), in the form in effect on the date of this agreement, by three neutral arbitrators, of whom each party shall appoint one with the third to be selected by agreement or appointment by the CPR Institute (unless the parties select one of the following options by affirmatively placing an “x” in the appropriate box below:

  • one neutral arbitrator to be appointed by the CPR Institute; or
  • three neutral arbitrators to be appointed by the CPR Institute).

The arbitration shall be governed by the Federal Arbitration Act, 9 U.S.C. §§ 1 et seq., and judgment upon the award rendered by the arbitrator(s) may be entered by any court having jurisdiction thereof. The place of the arbitration shall be _____________(insert city, state, if desired).”

B. The CPR Institute Arbitration Appeal Procedure

(Strike if not desired)

“Unless otherwise agreed by the parties, within 30 days of receipt by the parties of a final arbitration award in any arbitration arising out of or related to this agreement, an appeal may be taken from such final award under the CPR Institute Arbitration Appeal Procedure, currently in effect. Pursuant to such Procedure, the appeal shall be heard by three former federal judges who will apply the following grounds for appeal:

i) the award contains material and prejudicial errors of law of such nature that is does not rest on any appropriate legal basis;

ii) the award contains factual findings clearly unsupported by the record; or

iii) the award is subject to any of the enumerated grounds contained in Section 10 of the Federal Arbitration Act for vacating awards.

No appeal may be filed unless the arbitrators in the original arbitration were required by the parties to reach a decision in compliance with applicable law and issue a written award setting forth the factual and legal bases; and a record was made of all hearings and evidence in such original arbitration proceeding.

Unless otherwise agreed to by the parties and the appeal Tribunal, the appeal shall be conducted at the place of the original arbitration.”

C. Existing Dispute Submission Agreement: Standard

“We, the undersigned parties, hereby agree to submit to arbitration in accordance with the International Institute for Conflict Prevention & Resolution Rules for Expedited Arbitration of Construction Disputes (the “Rules”), in effect on the date of this agreement, the following dispute:

[Describe briefly]

We further agree that the above dispute shall be submitted to three neutral arbitrators, of whom each party shall appoint one with the third to be selected by agreement or appointment by the CPR Institute (unless the parties select one of the following options by affirmatively placing an “x” in the appropriate box below:

  • one neutral arbitrator to be appointed by the CPR Institute; or 
  • three neutral arbitrators to be appointed by the CPR Institute).

We further agree that we shall faithfully observe this agreement and the Rules and that we shall abide by and perform any award rendered by the arbitrator(s). The arbitration shall be governed by the Federal Arbitration Act, 9 U.S.C. §§ 1 et seq., and judgment upon the award may be entered by any court having jurisdiction thereof. The place of arbitration shall be _______(insert city, state, if desired).”

See Clause B, above, if parties wish to agree to use the CPR Institute Arbitration Appeal Procedure, as well, in their submission agreement.

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