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3 J. Int'l Trade L. & Pol'y 3 (2004)

handle is hein.journals/jitlp3 and id is 1 raw text is: 

JOURNAL OF INTERNATIONAL TRADE LAW & POLICY


                          EXPERT DETERMINATION:

        A  SUITABLE DISPUTE RESOLUTION TECHNIQUE FOR

    OFFSHORE CONSTRUCTION PROJECT DISPUTES? PART II.


Margaret   J Hughes*


ABSTRACT


There is a current perception that dispute is an unavoidable feature of any contract for the
construction or conversion of offshore units. Allocation of design responsibility amongst several
parties, coupled with vessels' increasing technological complexity and the tight timeframes within
which building work must usually be completed, provide fertile ground for disputes to develop.
Contracting parties therefore normally make contractual provision for a means of resolving any
dispute which might arise.

This article, which has been published in two parts, considers the suitability of expert determination
- the means by which parties to a contract jointly instruct a third party to decide an issue in a
manner  not subject to the laws of arbitration - for resolution of the particular types of dispute
arising in offshore construction.

Part 1 of this article set the analysis in context by firstly examining the nature of a typical offshore
construction contract. The particular contractual features that influence the development of
disputes were outlined, and consideration was given to the wider factors affecting the selection of
an appropriate dispute resolution process. Traditional approaches within the offshore industry to
choice of dispute resolution mechanism were then examined together with current pressures which
are today, encouraging the use of alternative dispute resolution methods. Finally, the key features
of expert determination were identified and the growing use of the technique was briefly reviewed.

Part 2, below, focuses on the effectiveness of expert determination for resolution of offshore
construction project disputes. Enforcement of a contractual agreement to use expert determination
and enforcement of an expert's eventual decision are both analysed, and the grounds on which an
expert's decision may be subject to challenge are also investigated. The article concludes with an
overall assessment of the suitability of the technique for resolution of offshore construction project
disputes.













*MA (Hons), MBA, LLM. Part I of this article appeared in Volume 2, issue 2.


3


VOLUME 3 NO. 1 JUNE2004

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