Dispute resolution clauses

 

The parties to any business or commercial relationship have an opportunity to include clear and concise dispute resolution provisions in their contracts, which can assist with resolving any dispute quickly, efficiently and cost-effectively, and potentially preserve the contractual relationship.

A dispute resolution clause is one of the most vital provisions in any contract. It allows the parties to agree within the contract the process to be followed in the event a dispute arises. Multi-tiered dispute resolution clauses are increasingly used by businesses, enterprises and organisations across all sectors to place a contractual obligation on the parties to first engage in negotiation and mediation, as a pre-condition to arbitration or litigation. 

Dispute resolution clauses are particularly important during the COVID-19 (novel coronavirus) pandemic where the courts and tribunals are facing unprecedented backlogs and delays as a result of social distancing restrictions. 

Our model dispute resolution clauses – a multi-tiered clause and an arbitration clause – are suitable for inclusion in a wide range of contracts across many different sectors. If the nature of the contract and the likely nature of any dispute that might arise could be important in determining how the dispute resolution clause should be drafted, it is important to obtain legal advice before using our model clauses.

Squaring Circles

PHILOSOPHICAL MEANING – to see equally in four directions – up, down, in and out
METAPHORICAL MEANING – attempting anything that seems impossible

Squaring Circles

PHILOSOPHICAL MEANING – to see equally in four directions – up, down, in and out
METAPHORICAL MEANING – attempting anything that seems impossible