Effective January 1, 2020
MEDIATION AND ARBITRATION
Fees shall be charged on an hourly basis starting at a minimum fee of $200.00 per hour depending on the complexity of the dispute, the number of Parties involved in the dispute, the expertise required of the CDRS Dispute Resolution Specialist(s) and on the geographic area in which the dispute resolution process will be conducted. If a binding arbitration requires a three-person panel or a mediation requires the services of multiple mediators, each ADR Specialist shall be compensated according to their individual fee requirements. CDRS usually does not charge any up-front or separate administrative fees as the CDRS administrative fees should be included in the hourly fees of the CDRS ADR Specialist. CDRS may charge additional administrative fees if there is an unusual amount of administrative time spent on the case as determined by CDRS. A minimum charge of five hours shall be charged for each case unless a prior written agreement has been executed with CDRS. Reimbursable costs and expenses, described below, shall be added to the hourly fees. Each case requires a non-refundable $450 filing fee at the time that a “Request for Dispute Resolution Services” is submitted to CDRS.
DISPUTE REVIEW BOARDS AND PARTNERING
Dispute Review Boards, Partnering and related ADR process agreements shall be negotiated for each project. Fees and related costs may vary according to whether the CDRS Dispute Resolution Specialist is a general member of the panel or is serving as the chair. The specific construction knowledge and experience required of the CDRS Dispute Resolution Specialist and the geographic location of the construction project will also determine the appropriate fees and related costs for the CDRS Dispute Resolution Specialist.
GENERAL CONTRACTOR FAST TRACK AGREEMENTS
Residential and commercial “Fast Track Agreements” shall be executed prior to the commencement of a construction project and shall require a non-refundable $350 filing fee. The filing fee shall be payable at the same time as the Fast Track Agreement is completed and signed. Each “Request for Dispute Resolution Services” that is subsequently filed that is related to the Fast Track Agreement will require a non-refundable $250 administrative fee.
The hourly fee for a CDRS Specialist who will serve as a construction expert in a mediation, arbitration, civil litigation or other dispute resolution proceeding shall be charged at a minimum of $150 per hour, depending on the complexity of the case, the specific construction knowledge and experience required of the CDRS Specialist and on the geographic area in which the dispute is located. Additional costs for travel and other related costs are covered below, and should be added to the fees for expert services. Each case will be charged a non-refundable $350 administrative fee at the time that a “Request for Expert Services is submitted to CDRS.
REIMBURSABLE COSTS AND EXPENSES
CHARGEABLE TIME - Chargeable time shall include, but
is not limited to: case review and preparation time, telephone calls,
pre-session meetings, jobsite visits, all time spent during the dispute
resolution session or while rendering professional services and all time spent
after an arbitration, med-arb, arb-med or binding mediation including jobsite
visits, post hearing review time and other related time needed to write the
final award or to render the final decision.
OUT OF POCKET EXPENSES - Any applicable reimbursable expenses which include but are not limited to: conference room(s) rental, long distance telephone charges, copying costs, special mailing costs, personal delivery fees, legal filing fees and other related expenses shall be fully reimbursable.
TRAVEL EXPENSES - Reimbursable travel expenses include airfare at coach rates and all taxis, shuttles or car rental expenses. If using a personal automobile, mileage will be reimbursed based upon current IRS rates from the residence or office of the CDRS Specialist to the location of the ADR process. Lodging costs incurred shall also be charged and are reimbursable. Meals shall be reimbursed on a per diem rate of $75 per day. Travel time from the home or office of the ADR Specialist shall be billed at a rate equal to one-half (1/2) of the regular hourly rate. Overnight stays required before or after an ADR process shall be billed at a rate of $450 per overnight stay.
CANCELLATION OR POSTPONEMENT CHARGES - Any scheduled ADR process that is cancelled more than 22 days in advance of the scheduled ADR process date shall receive a 75% deposit refund less applicable administrative and ADR Specialist charges incurred to date. Any scheduled ADR process that is cancelled between 8 and 21 days in advance of the scheduled ADR process date shall receive a 50% deposit refund less applicable administrative and ADR Specialist charges incurred. Any scheduled ADR process that is cancelled less than 8 days in advance of the scheduled date shall receive a 25% deposit refund less applicable administrative and ADR Specialist charges incurred. If the session is permanently cancelled or postponed for more than 60 days, all time and expenses of CDRS and the CDRS ADR Specialist that have accumulated and all prepaid expenses such as airfare expenses, non-refundable meeting room rentals, etc. are also fully chargeable to the parties and are to be considered reimbursable expenses and shall be deducted from any refunds. If a case is cancelled prior to the involvement of a mediator or arbitrator, the parties will be responsible for administrative charges from CDRS.
PARTIES RESPONSIBILITIES RELATED TO COSTS - Unless a construction contract or other written agreement specifies the allocation of dispute resolution fees and costs, both parties shall share the cost of the dispute resolution process equally although personal attorneys and witnesses or specialists are the direct responsibility of each party and their fees and expenses shall be the responsibility of the individual parties.
LATE CHARGES - Any outstanding balances that are not paid within 30 days of the date of invoice shall be charged a 1 ½% monthly late charge until the outstanding balance has been paid in full.
OTHER RELATED INFORMATION – Please review the CDRS
applicable mediation, arbitration or DRB rules and procedures for other
information related to fees and costs. Please be advised that Advisory Opinions,
Mediation Settlement Agreements and Arbitration Awards, Expert opinions, etc.
may experience a delay in their issuance due to non-payment of fees and costs as
specified in the applicable rules and procedures.
(NOTE: APPLICABLE GROSS RECEIPTS TAXES OR OTHER APPLICABLE STATE TAXES SHALL BE ADDED TO ALL FEES AND APPLICABLE CHARGES)