DRBs Down Under - Dispute Resolution Board Foundation

Foundation Forum
(continued from page 1)
Figure 1: Australian DRB projects by category 2
* Other DRB projects include: a port upgrade, sewerage and energy infrastructure, the construction
of a mall, and the construction of a fertilizer plant.
WHY HAS AUSTRALIA BEEN SLOW
TO FOLLOW THE GLOBAL DRB
TREND
The authors have identified four factors
that appear to be behind Australia’s initial
slow uptake of DRBs, namely: 3
1. Australia’s lack of familiarity
with DRBs;
2. Australia’s perception that DRBs are
only suitable for large-scale projects;
3. the absence of clauses relating to
DRBs in any Australian standard
form contract; and
4. Australia’s love affair with project
alliances.
Each of these is analysed below.
1. Lack of Familiarity
A survey conducted in 1998 of dispute
resolution practitioners in the Australian
construction industry found that only 29%
of respondents had any “familiarity” with
DRBs and only 9% had any “experience”
with the concept. This can be contrasted to
the 78% of respondents who were familiar
with expert determination, and the 92% of
respondents who were familiar with mediation
and arbitration. 4
Although this survey is now over a decade
old, there is anecdotal evidence that there
is still a very low level of awareness of the
concept in Australia. For example, the authors
have firsthand experience of presenting
papers on DRBs at construction law
conferences, only to discover that none, or
hardly any, of the conference delegates
have any knowledge or experience of this
DAP model.
2 Compiled using data from the Dispute Resolution Board Australasia.
3 For a more nuanced analysis of these factors, see, Gerber P and Ong B, ‘DAPs: When will Australia Jump on
Board’ (2011) 27(1) Building and Construction Law 4.
4 Trainer P, ‘Dispute avoidance and resolution in the Australian construction industry – part 1’ (1998) 17(1) Arbitrator 39.
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