44 Questions
According to the text, who is responsible for paying the remuneration?
Both Parties equally
If the Parties agree to refer a matter to the DAB, can either Party consult the DAB without the agreement of the other Party?
No, neither Party can consult the DAB without agreement
When can the Parties appoint a replacement for a member of the DAB?
If both Parties agree or a member declines to act
Can the Employer or the Contractor terminate the appointment of a DAB member alone?
No, only the Parties can terminate by mutual agreement
When does the appointment of the DAB expire?
When the discharge referred to in Sub-Clause 14.12 becomes effective
What happens if a member of the DAB is unable to act?
The Parties must agree on a replacement
Can the Parties appoint a replacement for a member of the DAB if a member wishes to resign?
Yes, the Parties can appoint a replacement
According to the Conditions of Contract, who should not request advice from or consultation with the Member regarding the Contract?
The Engineer
What is one of the obligations of the Employer and the Contractor concerning the Member's involvement in arbitration?
To be responsible for compliance with the provision by the Employer's Personnel and the Contractor's Personnel
What is the Member prohibited from doing without prior agreement from the Employer, the Contractor, the Member, and the Other Members?
Being appointed as an arbitrator in any arbitration under the Contract
What is one of the conditions for the Member's availability to give advice and opinions on any matter relevant to the Contract?
The agreement of the Other Members (if any)
What is the responsibility of the Employer and the Contractor regarding the Member's involvement in arbitration?
To be liable for any claims for anything done or omitted in the discharge or purported discharge of the Member's functions
What is the Member prohibited from doing without prior written consent?
Treating the details of the Contract and all the DAB's activities and hearings as private and confidential
What is one of the General Obligations of the Employer and the Contractor concerning the Member?
To ensure the Member's availability for all site visits and hearings
What is one of the Conditions of Contract for the Member?
To become conversant with the Contract and with the progress of the Works
What is one of the obligations of the Employer and the Contractor concerning the Member's involvement in arbitration?
To be called as a witness to give evidence concerning any dispute before arbitrator(s) appointed for any arbitration under the Contract
What happens if the Parties fail to agree upon the appointment of the third member (to act as chairman) of the Dispute Adjudication Board (DAB) by the specified date?
The appointing entity or official named in the Appendix to Tender will appoint the third member of the DAB upon request of either or both of the Parties.
What is the responsibility of each Party in terms of paying the remuneration of the appointing entity or official if the DAB is appointed by the appointing entity or official?
Each Party shall be responsible for paying one-half of the remuneration of the appointing entity or official.
What is the time frame for the DAB to give its decision upon receiving a dispute reference?
Within 84 days after receiving the reference, or within a period proposed by the DAB and approved by both Parties.
What happens if the DAB fails to give its decision within the specified period after receiving a dispute reference?
Either Party may, within 28 days after this period has expired, give notice to the other Party of its dissatisfaction.
What is the requirement for attempting to settle a dispute amicably before commencing arbitration?
Both Parties shall attempt to settle the dispute amicably before the commencement of arbitration.
What is the language for communications defined in Sub-Clause 1.4 [Law and Language] for the arbitration process?
The language for communications defined in Sub-Clause 1.4 [Law and Language].
What power do the arbitrators have in the arbitration process?
The arbitrators have full power to open up, review, and revise any certificate, determination, instruction, opinion, or valuation of the Engineer, and any decision of the DAB, relevant to the dispute.
According to the text, what happens if a Party fails to comply with the DAB's decision?
The other Party may refer the failure to arbitration under Sub-Clause 20.6
When does the Dispute Adjudication Agreement take effect?
On the latest of specified dates including the Commencement Date defined in the Contract
What action can the Member take if they want to resign from the Dispute Adjudication Agreement?
Give not less than 70 days' notice of resignation to the Employer and the Contractor
What is a requirement for the Member when appointing the Member?
To be experienced in the work which the Contractor is to carry out under the Contract
What is a general obligation of the Member according to the text?
Not to have any financial interest in the Contract except for payment under the Dispute Adjudication Agreement
What does the Dispute Adjudication Agreement require regarding the Member's relationships?
To disclose any professional or personal relationships with any director, officer or employee of the Employer, the Contractor or the Engineer
What does the Member agree to regarding their independence?
To be impartial and independent of the Employer, the Contractor and the Engineer
What is the time frame for a party to give notice of dissatisfaction if the DAB fails to give its decision within the specified period after receiving a dispute reference?
28 days
When can arbitration commence in relation to the completion of the construction works?
Both before or after the completion of the construction works
What is the language for communications defined in Sub-Clause 1.4 [Law and Language] for the arbitration process?
Language defined in the contract
What happens if no notice of dissatisfaction is given within 28 days after the DAB's decision?
The decision becomes final and binding on both parties
What is the process for obtaining a DAB decision and the subsequent arbitration process outlined in?
The contract
What power do the arbitrators have in the arbitration process?
They have the power to review and revise any decision of the DAB relevant to the dispute
What is the requirement if a notice of dissatisfaction is given before commencing arbitration?
The parties must attempt to settle the dispute amicably before commencing arbitration
What is the time frame for the Employer and Contractor to give notice for the Dispute Adjudication Agreement (DAA) to be valid?
Within six months
What is the notice period required for the Member to resign from the Dispute Adjudication Agreement (DAA)?
70 days
What is the consequence of failing to comply with the DAB's decision if neither party gives notice of dissatisfaction within the stated period?
It can lead to arbitration
What must the Member disclose regarding their relationships with the Employer, Contractor, or Engineer?
Any relationships with them
What action can be taken if a dispute arises and there is no DAB in place?
The dispute may be referred directly to arbitration
What is the requirement for the Member's employment during the DAA?
Not employed by the Employer, Contractor, or Engineer without written agreement from all parties
What happens if a Party fails to comply with the DAB's decision?
It can lead to arbitration
Study Notes
Dispute Adjudication Agreement Summary
- The Dispute Adjudication Agreement (DAA) is a tripartite agreement between the Employer, Contractor, and the Member (DAB).
- The DAA takes effect upon the latest of specific dates and requires notice from both the Employer and the Contractor within six months to be valid.
- The employment of the Member is personal, and they can resign with a 70-day notice.
- The DAA cannot be assigned or subcontracted without prior written agreement from all parties involved.
- The Member must be impartial, independent, experienced in the work and language defined in the Contract, and have no financial interest in the Contract except for payment under the DAA.
- The Member must disclose any circumstances inconsistent with their impartiality and independence.
- The Member must not have any previous undisclosed employment with the Employer, Contractor, or Engineer and must disclose any relationships with them.
- The Member cannot be employed by the Employer, Contractor, or Engineer during the DAA, unless agreed in writing by all parties involved.
- The Member must comply with the annexed procedural rules and Sub-Clause 20.
- If neither party gives notice of dissatisfaction within the stated period, and the DAB's decision becomes final and binding, failure to comply can lead to arbitration.
- If a dispute arises and there is no DAB in place, the dispute may be referred directly to arbitration.
- Words and expressions not defined in the DAA have the meanings assigned to them in the Contract.
This summary provides an overview of the key provisions in the Dispute Adjudication Agreement (DAA) which is a tripartite agreement between the Employer, Contractor, and the Member (DAB). It covers the effective dates, notice requirements, conditions for the impartiality and independence of the Member, procedural rules, and the process for arbitration.
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