{"id":890316,"date":"2016-07-26T10:51:27","date_gmt":"2016-07-26T16:51:27","guid":{"rendered":"https:\/\/www.myconstructionexpert.com\/blog\/?p=890316"},"modified":"2016-07-26T10:51:27","modified_gmt":"2016-07-26T16:51:27","slug":"latest-developments-in-arbitration-for-the-construction-law-practitioner","status":"publish","type":"post","link":"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/","title":{"rendered":"Latest Developments in Arbitration for the Construction Law Practitioner"},"content":{"rendered":"

Lionel M. Schooler | Jackson Walker<\/a> | July 14, 2016<\/p>\n

G. T. Leach Builders V. Sapphire V.P<\/em>.: Non-Signatories\u2019 Right to Compel Arbitration; Waiver of Right to Arbitrate<\/strong><\/p>\n

By far, the most recent, significant arbitration development for construction law practitioners was the Texas Supreme Court\u2019s decision in G. T.<\/em> Leach Builders v. Sapphire V.P.<\/em>, which reiterated the limits on compelling arbitration by non-signatories, and clarified what litigation conduct can trigger waiver of the right to compel arbitration<\/a>.<\/p>\n

Background of the Dispute<\/strong><\/p>\n

A luxury condominium project being constructed by a developer was damaged by a hurricane midway through construction.\u00a0The conduct of work on the project was covered under AIA Doc. Nos. A-111 and A-201.<\/p>\n

After attempting unsuccessfully to obtain insurance proceeds to cover its losses, the developer sued its insurance brokers, claiming that they allowed a builders\u2019 risk insurance policy to lapse prior to the hurricane.\u00a0Later, the insurance brokers designated as responsible third-parties, the general contractor, two subcontractors, an engineering contractor, and one of its principals.\u00a0 The developer then amended its pending claims to add as defendants all of those designated by the insurance brokers as responsible third-parties.<\/p>\n

Claims of the Parties<\/strong><\/p>\n

Thus, there were pending disputes between the developer and the general contractor, as well as between the developer and several subcontractors. The subcontractors claimed that the developer had agreed to arbitrate<\/a> its claims against them, as well as its claims against the general contractor.<\/p>\n

The agreement between the developer and the general contractor contained an arbitration clause<\/a>.\u00a0The general contractor moved to compel arbitration pursuant to the terms of that agreement, but only after submitting to the court, where the lawsuit was pending, pretrial motions for a continuance and partial relief, and participating in discovery for six months.\u00a0The other defendants (the insurance brokers and subcontractors) moved to compel arbitration on the basis of the same arbitration clause (to which they were not signatories), and on the basis of the terms of the subcontractor agreements with the general contractor (which the developer never signed).<\/p>\n

The lower courts denied all motions to compel arbitration.<\/p>\n

Conclusion<\/strong><\/p>\n

Recent cases have revealed the following developments in the arbitration of construction-related disputes:\u00a0 the extent to which non-signatories can compel arbitration; the waiver of the right to compel arbitration; the procedures and the timetable to be followed in adjudicating arbitrability; the extent to which an arbitration process can resolve the disposition of interplead funds; the impact of a prior award on a present dispute; and the limits of post-proceeding review of an arbitration award<\/a>.<\/p>\n

It is anticipated that courts will continue to grapple with the challenges presented by non-signatories seeking to compel arbitration by claims of waiver, attacks on the involvement of the neutral in the process, and the limits of post-proceeding review of an award, particularly a trial court\u2019s ability to interject additional relief into a judgment or otherwise attempt to revise the outcome of an award.<\/p>\n","protected":false},"excerpt":{"rendered":"

Lionel M. Schooler | Jackson Walker | July 14, 2016 G. T. Leach Builders V. Sapphire V.P.: Non-Signatories\u2019 Right to Compel Arbitration; Waiver of Right to Arbitrate By far, the most recent, significant arbitration development for construction law practitioners was the Texas Supreme Court\u2019s decision in G. T. Leach Builders v. Sapphire V.P., which reiterated… Continue reading Latest Developments in Arbitration for the Construction Law Practitioner<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[41,172],"tags":[42,27],"class_list":["post-890316","post","type-post","status-publish","format-standard","hentry","category-arbitration","category-construction-law-2","tag-arbitration-2","tag-construction-law","entry"],"jetpack_publicize_connections":[],"yoast_head":"\nLatest Developments in Arbitration for the Construction Law Practitioner - Advise & Consult, Inc.<\/title>\n<meta name=\"description\" content=\"The article concludes with a discussion of the latest changes to the American Arbitration Association\u2019s Construction Industry Rules\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Latest Developments in Arbitration for the Construction Law Practitioner - Advise & Consult, Inc.\" \/>\n<meta property=\"og:description\" content=\"The article concludes with a discussion of the latest changes to the American Arbitration Association\u2019s Construction Industry Rules\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/\" \/>\n<meta property=\"og:site_name\" content=\"Advise & Consult, Inc.\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Advise-Consult-Inc-126949043996790\/\" \/>\n<meta property=\"article:published_time\" content=\"2016-07-26T16:51:27+00:00\" \/>\n<meta name=\"author\" content=\"admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@adviseconsult\" \/>\n<meta name=\"twitter:site\" content=\"@adviseconsult\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/\"},\"author\":{\"name\":\"admin\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/0a11abe008083d5fb19c2b0feefe7bd7\"},\"headline\":\"Latest Developments in Arbitration for the Construction Law Practitioner\",\"datePublished\":\"2016-07-26T16:51:27+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/\"},\"wordCount\":493,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#organization\"},\"keywords\":[\"arbitration\",\"construction law\"],\"articleSection\":[\"Arbitration\",\"Construction Law\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/\",\"url\":\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/\",\"name\":\"Latest Developments in Arbitration for the Construction Law Practitioner - Advise & Consult, Inc.\",\"isPartOf\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#website\"},\"datePublished\":\"2016-07-26T16:51:27+00:00\",\"description\":\"The article concludes with a discussion of the latest changes to the American Arbitration Association\u2019s Construction Industry Rules\",\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/\"]}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#website\",\"url\":\"https:\/\/www.myconstructionexpert.com\/blog\/\",\"name\":\"Advise & Consult, Inc.\",\"description\":\"Construction Expert Witnesses\",\"publisher\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.myconstructionexpert.com\/blog\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#organization\",\"name\":\"Advise & Consult\",\"url\":\"https:\/\/www.myconstructionexpert.com\/blog\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.myconstructionexpert.com\/blog\/wp-content\/uploads\/2015\/11\/AC-Red-Logo.png\",\"contentUrl\":\"https:\/\/www.myconstructionexpert.com\/blog\/wp-content\/uploads\/2015\/11\/AC-Red-Logo.png\",\"width\":162,\"height\":75,\"caption\":\"Advise & Consult\"},\"image\":{\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/Advise-Consult-Inc-126949043996790\/\",\"https:\/\/x.com\/adviseconsult\",\"https:\/\/www.linkedin.com\/company-beta\/204526\/\",\"https:\/\/www.youtube.com\/user\/MrConstructionExpert\"]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/0a11abe008083d5fb19c2b0feefe7bd7\",\"name\":\"admin\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/b01e71b7acadd7657af782b7ad1a30cc?s=96&d=mm&r=pg\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/b01e71b7acadd7657af782b7ad1a30cc?s=96&d=mm&r=pg\",\"caption\":\"admin\"},\"sameAs\":[\"http:\/\/www.expertwitnessinconstruction.com\"]}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Latest Developments in Arbitration for the Construction Law Practitioner - Advise & Consult, Inc.","description":"The article concludes with a discussion of the latest changes to the American Arbitration Association\u2019s Construction Industry Rules","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/","og_locale":"en_US","og_type":"article","og_title":"Latest Developments in Arbitration for the Construction Law Practitioner - Advise & Consult, Inc.","og_description":"The article concludes with a discussion of the latest changes to the American Arbitration Association\u2019s Construction Industry Rules","og_url":"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/","og_site_name":"Advise & Consult, Inc.","article_publisher":"https:\/\/www.facebook.com\/Advise-Consult-Inc-126949043996790\/","article_published_time":"2016-07-26T16:51:27+00:00","author":"admin","twitter_card":"summary_large_image","twitter_creator":"@adviseconsult","twitter_site":"@adviseconsult","twitter_misc":{"Written by":"admin","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/#article","isPartOf":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/"},"author":{"name":"admin","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/0a11abe008083d5fb19c2b0feefe7bd7"},"headline":"Latest Developments in Arbitration for the Construction Law Practitioner","datePublished":"2016-07-26T16:51:27+00:00","mainEntityOfPage":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/"},"wordCount":493,"commentCount":0,"publisher":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/#organization"},"keywords":["arbitration","construction law"],"articleSection":["Arbitration","Construction Law"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/","url":"https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/","name":"Latest Developments in Arbitration for the Construction Law Practitioner - Advise & Consult, Inc.","isPartOf":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/#website"},"datePublished":"2016-07-26T16:51:27+00:00","description":"The article concludes with a discussion of the latest changes to the American Arbitration Association\u2019s Construction Industry Rules","inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.myconstructionexpert.com\/blog\/latest-developments-in-arbitration-for-the-construction-law-practitioner\/"]}]},{"@type":"WebSite","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#website","url":"https:\/\/www.myconstructionexpert.com\/blog\/","name":"Advise & Consult, Inc.","description":"Construction Expert Witnesses","publisher":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.myconstructionexpert.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#organization","name":"Advise & Consult","url":"https:\/\/www.myconstructionexpert.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.myconstructionexpert.com\/blog\/wp-content\/uploads\/2015\/11\/AC-Red-Logo.png","contentUrl":"https:\/\/www.myconstructionexpert.com\/blog\/wp-content\/uploads\/2015\/11\/AC-Red-Logo.png","width":162,"height":75,"caption":"Advise & Consult"},"image":{"@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/Advise-Consult-Inc-126949043996790\/","https:\/\/x.com\/adviseconsult","https:\/\/www.linkedin.com\/company-beta\/204526\/","https:\/\/www.youtube.com\/user\/MrConstructionExpert"]},{"@type":"Person","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/0a11abe008083d5fb19c2b0feefe7bd7","name":"admin","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.myconstructionexpert.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/b01e71b7acadd7657af782b7ad1a30cc?s=96&d=mm&r=pg","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/b01e71b7acadd7657af782b7ad1a30cc?s=96&d=mm&r=pg","caption":"admin"},"sameAs":["http:\/\/www.expertwitnessinconstruction.com"]}]}},"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p2ztG6-3JBW","jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/posts\/890316","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/comments?post=890316"}],"version-history":[{"count":1,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/posts\/890316\/revisions"}],"predecessor-version":[{"id":890317,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/posts\/890316\/revisions\/890317"}],"wp:attachment":[{"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/media?parent=890316"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/categories?post=890316"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myconstructionexpert.com\/blog\/wp-json\/wp\/v2\/tags?post=890316"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}