The Construction Adjudication Process Step by Step
Notice of Adjudication
The process starts with a notice of adjudication: a short document identifying the dispute, the parties, and the redress being sought. It has to be precise. A notice that’s too broad or too vague can be challenged on jurisdictional grounds before the dispute is even heard on its merits, which is why we treat drafting it as the single most important step in the whole process.
Appointment of the Adjudicator and Referral Notice
Once the notice is served, an adjudicator is appointed, usually within days, either by agreement or through a nominating body named in the contract. The referring party then serves a referral notice setting out the full case, including supporting documents and evidence, within seven days of the original notice. This is a tight turnaround, and it’s where thorough early preparation pays off.
Response and the Adjudicator’s Decision
The responding party typically has a short window, often as little as seven to fourteen days, to serve a full response addressing both the substance of the claim and any jurisdictional objections. The adjudicator then has 28 days from referral to issue a binding decision, extendable by agreement. Throughout, we advise on strategy and draft every submission so your position is as strong as the timetable allows.
Challenging Jurisdiction and Enforcing an Adjudicator’s Decision
A jurisdictional challenge might argue that:
- the adjudicator was wrongly appointed
- more than one dispute was improperly referred together
- the contract itself doesn’t provide a right to adjudicate in the way claimed (or at all)
These arguments can succeed, but they’re narrow and courts scrutinise them closely, so we’re honest about the real prospects before advising you to raise one, rather than raising one simply to buy time.
Where a party refuses to comply with a decision, the usual route is enforcement through the Technology and Construction Court, which generally takes a robust pay now, argue later approach to adjudication decisions. We act in enforcement proceedings for parties on both sides: those seeking to enforce a decision in their favour, and those with a genuine, arguable basis to resist enforcement. Outcomes in litigation are never guaranteed, and we’ll always give you a candid assessment of your prospects rather than false reassurance.
Funding Construction Adjudication: Fixed Fees, CFA and DBA Options
We offer a range of funding arrangements for construction disputes, including fixed fees for defined stages of adjudication and, in some cases, Conditional Fee Arrangements (CFAs, commonly known as No Win No Fee) or Damages-Based Agreements (DBAs), where you pay an agreed percentage of what’s recovered instead of hourly fees. These arrangements are only available for some adjudication disputes, subject to case assessment and our funding criteria, and are typically limited to disputes valued over £5,000 with strong prospects of success. We’ll talk you through what’s realistic for your dispute at the outset, so there are no surprises on cost once you’ve instructed us.
Related Construction Law Services
Adjudication often sits alongside other construction disputes we handle regularly. If your dispute concerns an interim application or late payment, a disputed final account, or withheld retention, we can advise on the best route to recovery, whether that’s adjudication, direct negotiation or litigation. If you need advice before a dispute has crystallised, our construction contract advice service covers drafting and reviewing contracts to avoid disputes in the first place. You can see our full range of construction law services for more detail.
Frequently Asked Questions
What Is Construction Adjudication and What Is Its Purpose?
Construction adjudication is a statutory or contractual process that lets either party to a construction contract refer a dispute to an independent adjudicator for a binding decision, usually within 28 days. Its purpose is to keep cashflow moving on projects by resolving payment and contractual disputes quickly, without waiting for lengthy litigation or arbitration. It is not available for every construction contract and you should seek legal advice if you are unsure whether you have the right to adjudicate.
How Long Does Construction Adjudication Take?
Adjudication typically takes around six weeks from start to finish. The adjudicator must reach a decision within 28 days of the referral notice, extendable by 14 days with the referring party’s agreement or longer if both parties agree.
Do Both Parties Have to Agree to Adjudication?
No. In most cases, either party to a construction contract has a statutory right to refer a dispute to adjudication at any time, and the other party cannot refuse to take part. This is one of the key features that distinguishes adjudication from arbitration, which generally requires both parties’ agreement to that specific process. However, it is important to note that not every construction contract is covered by the statutory adjudication regime.
Can I Sue My Builder for Breach of Contract?
Yes, if a builder has breached the terms of your contract, you can bring a claim for breach of contract through the courts, separately from or instead of adjudication. Which route makes more commercial sense depends on the value, complexity and urgency of your dispute, and we can advise on the best option for your circumstances.
Is an Adjudicator’s Decision Final?
An adjudicator’s decision is binding on an interim basis and must be complied with immediately, but it isn’t necessarily final. Either party can still refer the same dispute to litigation or arbitration for a final determination, though in practice many adjudication decisions are never revisited because of the cost of doing so.
What Should I Do if I’ve Received a Notice of Adjudication?
Act immediately. You typically have only days to assess the notice, consider any jurisdictional challenge, and prepare a response addressing the claim in full. Speak to a specialist construction solicitor as early as possible, since the statutory timetable doesn’t allow for delay once the process has started.
What Is the Difference Between Adjudication and Arbitration?
Adjudication is a fast, statutory process that either party can start without the other’s agreement, producing a decision that’s binding on an interim basis within around 28 days. Arbitration is a more formal, usually contractually agreed process that produces a final and binding award, but typically takes considerably longer and more closely resembles litigation in scope.
Who Pays the Adjudicator’s Fees and Legal Costs?
The adjudicator’s own fees are usually apportioned between the parties, often with the losing party bearing the larger share, depending on the adjudicator’s directions. Each party generally bears its own legal costs in adjudication, unlike litigation, since cost-shifting provisions are rarely available.
Acting Quickly in a Construction Adjudication Can Protect Your Commercial Position
Whether you’re referring a dispute or responding to a notice, the pace of adjudication means the preparation you do in the first few days often decides the outcome.
We act for contractors, subcontractors, developers and employers across England and Wales from our base in Brighton, bringing specialist litigation experience to disputes that need a fast, commercially realistic response rather than a generalist’s first attempt. We won’t promise an outcome before we’ve seen your case, but we will give you an honest view of where you stand and what your options are.
Contact Helix Law today for a no-cost, no-obligation initial conversation about your adjudication. Our specialist adjudication team have decades of experience in matters like yours, and we would love to help you.