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20 Constr. Litig. [1] (2011)

handle is hein.aba/cstrul0020 and id is 1 raw text is: 













-  mConstruction Litigation Committee

           http://apps.americanbar.org/Iitigation/committees/construction
                                     SUMMER   2011 VOL.20 NO.1


Interpreting the Federal Arbitration Act:

  May an Arbitrator Issue a Prehearing,

                 Nonparty Subpoena?

            By  Lisa Colon  Heron   and  Justin  S. Wales


Lisa Colon      The age-old tenet that time equals
  Heron         money  is never truer than when
speaking of litigation. As the costs associated with liti-
gation have skyrocketed, alternative dispute resolution
has become the favored method of resolving cases in
the construction industry. The rationale underlying al-
ternative dispute resolution is that, by allowing parties
to contract themselves out of the courtroom, we allow
them to avoid all of the inefficiencies that go along with
being inside the courtroom. We are, in other words,
allowing the parties to contract the right to control their
case. Arbitration promises such control and has become
the standard method of resolving construction disputes.


Through  a streamlined discovery           Justin S.
process, accelerated hearing sched-         Wales
ule, and the ability to have a case heard by arbitrators
sophisticated in the disputed subject matter, arbitration
offers the parties involved a cheaper, more efficient
alternative to traditional litigation.
   A problem arises when a nonparty possesses infor-
mation needed  by a party to develop its case. Imag-
ine a scenario common to construction disputes: A
property owner hires a general contractor to complete
a large-scale renovation project on an existing office
building. The general contractor hires subcontractors
                                   Continued on page 11


Unresolved Legal Issues with

  Modified Total Cost Claims

  By Jeffrey  P. Aiken  and  Michael   D. Aiken


Jeffrey R       The modified total cost (MTC) claim
  Aiken
                has developed case by case without
a comprehensive assessment of several key issues that
affect its utility and applicability in the face of other
established principles of construction law. This article
generally traces the different approaches to the MTC


                                          Michael D.
claim under state and federal law,          Aiken
and then explores some of the more
problematic issues not yet authoritatively discussed in
either forum. Because an MTC claim is truly nothing
more than a modified version of a total cost claim, it is
                                   Continued on page 14


1 - Published in Construct!, Volume 20, Number 1, Summer 2011. D 2011 by the American Bar Association. Reproduced with permission. All rights reserved. This information or any portion thereof may
not be copied or disseminated in any form or by any means or stored in an electronic database or retrieval system without the express written consent of the American Bar Association.

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