Proceedings COBRA 2010 The Construction, Building and Real Estate Research Conference of the Royal Institution of Chartered Surveyors, Dauphine Université, Paris, 2-3 September 2010 (2010)

A framework for the application of Dispute Resolution Boards in

Revista : Proceedings of The Construction, Building and Real Estate Research Conference of the Royal Institute
Tipo de publicación : Conferencia No A* ni A

Abstract

In Chile, the main mechanisms used to resolve contractual conflicts in construction projects are
arbitration and litigation. Although the Dispute Review Board (DRB) mechanism has been used
internationally with success for more than 30 years, it has been rarely applied in domestic contractual
conflicts. A study was carried out to find out the reasons restricting the application of this mechanism
in Chile and to propose an implementation framework for it, adapted to the reality of the domestic
construction industry. This is deemed necessary due to the fact that both arbitration and litigation are
not producing good results for involved parties in contractual conflicts. The study was based on
literature research and interviews to professionals with recognized expertise in this topic who provided
their opinions about the application of the DRB mechanism in Chile and validated the proposed
methodology. The paper concludes that the main barriers for the implementation of the DRB
mechanism are the lack of knowledge of it, lack of experience in using it and change resistance. In
addition, it was found that there is a high potential for the application of DRB but this is subject to the
perceived benefits of the mechanism.