ARBITRATION INFORMATION

INITIATING THE ARBITRATION PROCESS

NOTE: SHOULD THE HOME INSPECTION AGREEMENT BETWEEN THE PARTIES SPELL OUT A SPECIFIC PROCESS INCLUDING PAYMENT FOR THE ARBITRATION PROCESS, THAT SPECIFIED PROCESS SHALL BE FOLLOWED.     

If you are looking to arrange for the binding arbitration process, you will need to fill out two documents to commence the arbitration process:  The “Home Inspection Request for Arbitration Services” (PDF) and the “Home Inspection Agreement to Arbitrate”  (PDF).  Both documents can be located by simply clicking on the underlined document here in this paragraph or you can locate them at the end of this Home Inspection Arbitration Information section.

HOME INSPECTION REQUEST FOR ARBITRATION SERVICES:

1. Fill out the first section of the Request form putting your name in as the “Claimant”. Please complete all of the information requested including the name and contact information of your attorney, should you have retained an attorney. Email addresses are essential as CDRS communicates almost entirely through email.

2. Fill out the second section of the Request form putting the name of the “Respondent” and their contact information. Please complete all of the information requested including the name and contact information of the Respondent’s attorney, if you have the appropriate information. Email addresses are essential as CDRS communicates almost entirely through email.

3. Please submit the Request along with a check, payable to CDRS, for $450.00 as specified at the end of the Request form ($600.00 in NJ, CA or MD). You can write one check, payable to CDRS, for $725.00 ($800.00 in CA, NJ and MD) that will include ½ of the required filing fee and 1/2 of the $500.00 arbitration fee as requested in the Home Inspection Agreement to Arbitrate or you can remit only the filing fee. (CDRS will be billing the respondent for $725.00 ($800.00 in CA, NJ and MD) to cover half of the minimum costs of the arbitration process if the Parties have agreed to share the costs of the arbitration process on an equal basis unless the Pre-Inspection Agreement specifies an alternate method of handling the costs of the arbitration process.) Please be certain to copy the opposing party with any information submitted to CDRS as only information that is shared with the opposing party can be submitted to the arbitrator for their review and consideration.

4. Please send a copy of the Pre-Inspection Agreement to CDRS with your request for the arbitration process.

5. If there is no agreement to arbitrate in the Pre-Inspection Agreement, please also fill out and send to CDRS the “Home Inspection Agreement to Arbitrate” copying the opposing party. If the Pre-Inspection Agreement between the parties specifies binding arbitration as the process to follow to settle all disputes, it is not necessary for the Agreement to Arbitrate to be submitted to CDRS.

AFTER FILLING OUT BOTH DOCUMENTS AS SPECIFIED ABOVE, SEND THE ORIGINAL DOCUMENTS TO CDRS ALONG WITH THE $725.00 FEE, PAYABLE TO CDRS, TO COVER 1/2 OF THE FILING FEE AND ARBITRATION FEE. KEEP A COPY OF BOTH DOCUMENTS FOR YOUR RECORD. A COPY OF THESE FORMS MUST BE SENT TO THE RESPONDENT BY CERTIFIED OR REGISTERED MAIL, RETURN RECEIPT REQUESTED AND OBTAINED, OR BY SERVICE AS AUTHORIZED FOR THE COMMENCEMENT OF A CIVIL ACTION AS STIPULATED IN THE LOCAL ARBITRATION STATUTES OR LAWS IN THE JURISDICTION OF RECORD. 

HOME INSPECTION ARBITRATION PROCESS INFORMATION

After sending your documents and fees to CDRS, an Arbitrator will be assigned to the case. CDRS will send out a letter to the parties indicating that CDRS has opened the arbitration case. Usually, CDRS allows the parties to develop their own “Discovery Schedule” including suggesting dates to hold the arbitration hearing.

Should the parties request that the arbitration hearing be now scheduled, CDRS will request that the Arbitrator provide a few dates approximately 60 days in the future, when the Arbitrator could come to the residence in question to conduct the arbitration hearing. Those dates will be forwarded to both parties for them to select which dates will be convenient for them. You will be asked to rank the dates that work for you in order of preference. Hopefully, at least one of those dates will be convenient for both parties. If there are two or more dates that are convenient for both parties, the date that has the highest ranking by the Parties will be selected. If both Parties cannot agree on a date to hold the arbitration hearing, new dates will be obtained from the Arbitrator and will again be sent to the Parties for their approval until the Parties have agreed on a date. If the Parties cannot agree on a date to hold the arbitration, after a reasonable time has passed, as determined by CDRS, the CDRS Senior Case Administrator will select a date and will notify the Parties of that date.

After the Parties have agreed on a date to hold the arbitration hearing or have been notified of the date of the hearing by CDRS, CDRS will send out an official “Notice of Arbitration” that will specify when, where and at what time the arbitration hearing will be conducted. The Notice of Arbitration, in addition to the information concerning the arbitration hearing, will specify a date prior to the arbitration hearing date, for the parties to submit to CDRS any information, contracts, photos, inspection reports, estimates or any other information that you would like the Arbitrator to review prior to the arbitration. That information must be sent to CDRS via email and one copy must be sent to the other Party to the dispute.

After the arbitration has been completed, the Arbitrator will render his/her Arbitration Award and will forward that Award to CDRS within thirty (30) days of the arbitration hearing. That Arbitration Award will be binding on both Parties and will only be subject to appeal on very limited procedural reasons as specified in the Federal Arbitration Act. The Parties may request a clarification of the Arbitration Award according to the CDRS Arbitration Rules and Procedures.

In the event that one of the Parties does not comply with the Arbitration Award, the Arbitration Award can be enforced in any court of competent jurisdiction. 

Additional information on the arbitration process can be found in the About Arbitration section of the CDRS website.

PLEASE CALL CDRS ON OUR TOLL-FREE NUMBER 888-930-0011 IF YOU SHOULD HAVE ANY QUESTIONS OR CONCERNS RELATED TO THE HOME INSPECTION ARBITRATION PROCESS.

HOME INSPECTION ARBITRATION FEES SUMMARY

Home Inspection Request for Arbitration Services……………$450.00 ($600.00 in CA, NJ and MD)

Home Inspection Agreement to Arbitrate Minimum fee that covers up to four hours of arbitrator time…………………………………..…………...........................$1,000.00

TOTAL HOME INSPECTION ARBITRATION FEES……………………………….$1,450.00

NOTE:  EACH PARTY SHALL BE RESPONSIBLE FOR ½ OF THE TOTAL FEES UNLESS THE PARTIES HAVE MADE OTHER PAYMENT ARRANGEMENTS OR AS SPECIFIED IN THE PRE-INSPECTION AGREEMENT