FIDIC 2017 - dispute resolution procedure

An overall explanation of the procedures and mechanism for dispute resolution under FIDIC from a Danish perspective.

The provisions on dispute resolution under FIDIC are generally influenced by a global trend towards avoiding lengthy arbitration and seek disputes
solved by other means.

In December 2017, FIDIC released its revised editions of the FIDIC Conditions of Contract (second edition), introducing some amendments to the dispute resolution provision from the 1999-editions. The “avoidance of disputes” regime under FIDIC has to some extent been expanded in 2017 FIDIC.

A notable change in the 2017 FIDIC was that the previous provision on claims and disputes were divided into two separate clauses. With this change it was made clear that a claim is not the same as a dispute and vice versa, i.e. a claim is a request for an entitlement under the Contract, whereas a dispute arises if such claim is rejected or ignored.

But naturally a claim must be made before a dispute can arise. After a claim has been made, the dispute resolution procedure under the 2017
FIDIC can generally be described as consisting of the following components (steps):

  1. The Engineer’s determination
  2. The DAAB’s decision
  3. Arbitration

These steps are further described in the following short paper on the dispute resolution procedure.

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