Having addressed the C5 Infrastructure Conference in Qatar last month on the new and innovative Conflict Avoidance Panels (CAPs) service that RICS Dispute Resolution Service has developed, RICS MENA announced today that Dr. John Fletcher, Global Director of Dispute Resolution Services at RICS, will again next month host a workshop at The Big 5 Saudi Construction show in Jeddah where he will address the same issues.
RICS Dispute Resolution Service has developed the new and innovative Conflict Avoidance Panels (CAPs) service with Transport for London (TfL) and all its major delivery partners, including Laing O'Rourke, Costain, Taylor Woodrow and BAM. The CAP mechanism has, to date, been written into £7 billion worth of contracts in upgrades and infrastructure development on the London Underground. CAPs is a relatively new concept to the region and a different concept to the traditional contract Dispute Boards and RICS is keen to help the market recognise and utilise the most up-to-date approach to the rapidly developing field of Dispute Avoidance (as opposed to Dispute Resolution) internationally .
The purpose of the CAP procedure is to:
• Promote open and honest communication between the Client and the project delivery partners and in particular between Client and Contractors
• Identify possible disputes early so as to mitigate risks and protect the reputations of the Client and the Contractors
• Encourage compromise, where possible, and to avoid matters escalating into formal dispute resolution procedures such as adjudication, arbitration or litigation
• Demonstrate genuine willingness by the Client and the Contractor to prevent the need, wherever possible, for expensive drawn-out litigation
• It ensures that the CAP members are quality assured professionals with a range of professional and dispute resolution skills and are used only as and when required compared to the fixed costs associated with traditional Dispute Avoidance Boards
• Mitigate risk of project cost and time overruns
Implementation of the TfL CAP followed an extensive consultation process with RICS, TfL and the contractors in which they agreed:
• The identity of panel members
• The process including:
• Right to invoke the services of the CAP
• Procedures
• Objective timetable and flexibility
• Evidence - submissions, documents, experts
• Status of recommendation
• Service level agreement between RICS and the Client: Where RICS facilitates the appointments impartiality and by selecting CAP members most suited to each type of potential dispute/conflict
• CAP contracts between the Client and Contractors (mostly standard NEC with CAP provisions inserted) although adoption of the CAP can be independent from the main form of project contract
Under the terms of the service, RICS will respond to applications from the Client and/or a Contractor and refer individual members for appointments to CAPs after undertaking checks to ensure the people referred are:
• Appropriately qualified to deal with the particular issue(s) on which the parties require a recommendation or recommendations
• Free from conflicts of interest and are seen to be independent
• Available as and when needed by the parties and are able to undertake the role within a timescale required by the parties
• Appropriately monitored on their performance and routinely undergo quality monitoring checks
• Up-to-date in their specialist areas of expertise and undertake appropriate CPD
• Subject to independent complaints handling procedures
The RICS TfL CAP service has, since October 2014, already been appointed to make recommendation on matters valued at approximately £400 million.
As Saudi Arabia improves its regulatory environment and industry standards, there has been significant growth and development in both the construction and property sectors and as a result of RICS engagement with KSA Government bodies (and to support this growth) there is increased demand for standards, appropriately qualified professionals and an increased need to ensure projects are delivered on time and to budget and CAPS will play a key role in enabling this.
"We have many chartered members operating in the market and are witnessing strong member growth and The Saudi Big 5 offers us an ideal platform to showcase our product and service offering to a highly targeted audience within the Saudi market"
Robert Jackson, RICS MENA Director
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For more information please contact:
Maryanne Sacks
RICS Communications Manager, MENA
Tel : +971 (0)4 375 3075
Email: msacks@rics.org
About RICS
The Royal Institution of Chartered Surveyors, RICS, promotes and enforces the highest professional qualifications and standards in the development and management of land, real estate, construction and infrastructure. Our name promises the consistent delivery of standards - bringing confidence to the markets we serve. We accredit 118,000 professionals and any individual or firm registered with RICS is subject to our quality assurance. With offices covering the major political and financial centres of the world, our market presence means we are ideally placed to influence policy and embed professional standards. We work at a cross-governmental level, delivering international standards that will support a safe and vibrant marketplace in land, real estate, construction and infrastructure, for the benefit of all.
© Press Release 2015
