Ever since the implementation of Construction Industry Payment and Adjudication Act 2012 (CIPAA), CIPAA has become a popular alternative dispute resolution to resolve payment dispute. The contractors and consultants will often time resort to CIPAA Adjudication to recover the outstanding payment / fees.
But one may ask what are the benefits / advantages of resorting to CIPAA Adjudication Proceeding compared to arbitration and litigation then?
The CIPAA Adjudication mechanism has the following practical advantages / benefits:
1. Expeditious Process
2. High Success Rate
3. All Conditional Payment Clause is void
4. Direct Payment from Principal
Suspension of Work is not a breach of contract
5. Pay Now, Argue Later!
6. No positive counterclaim from Respondent