Evolution of Construction Arbitration

Abstract

Arbitration is at the forefront of construction dispute resolution techniques in Palestine. This paper critically examines the historical development of arbitration and explains the recent evolution of construction arbitration in Palestine. This research depends on 12 semistructured interviews with senior arbitrators. It also draws on a thorough examination of relevant documents such as legal instruments, court cases, legislation, and arbitration clauses in standard forms of construction contracts. The study identifies the conditions that assisted the recent growth in the use of construction arbitration, such as the overhaul of legal infrastructure in the form of modern legislation governing arbitration procedure and court proceedings, the provision of contractual infrastructure in the form of widespread incorporation of arbitration clauses in construction contracts, the establishment of institutional infrastructure in the form of arbitration institutions, and the build-up of qualified construction arbitrators. The study also uncovers the barriers that preclude construction arbitration from reaching its next level and thriving, such as lengthy court enforcement proceedings, the reluctance of some international organizations to participate in arbitration seated in Palestine, and the relatively high arbitration costs.