Adjudication Process
Once an Adjudicator is appointed, the Adjudicator will inform the Parties of the steps to be followed in the adjudication process. The Adjudicator will conduct the adjudication in the manner they determine appropriate, in accordance with section 25 of the Prompt Payment and Adjudication Regulation. Some adjudications may require a hearing by videoconference, some may involve an on-site inspection or assistance from an expert, and some may proceed only with documents. Factors Adjudicators may consider when deciding on the appropriate process include:
the amount in dispute;
whether an oral hearing is necessary to determine facts; and
whether an on-site inspection is necessary.
Pre-Designed Adjudication Processes
Even though the Adjudicator will set the process, the Parties may want to suggest a process to the Adjudicator. To assist the Parties and Adjudicators, ADACC has set out two Pre-Designed Adjudication Processes that the Parties may choose to recommend to the Adjudicator and/or that the Adjudicator may choose to set. One of the two Pre-Designed Adjudication Processes takes place in-writing only, while the second provides Parties with an oral hearing (by videoconference or teleconference).
The Claimant may indicate a preferred process in the Notice of Adjudication. Similarly, the Respondent may indicate a preferred process on the Response to Notice of Adjudication or earlier.
The Parties may also recommend that the Adjudicator design the adjudication process without being guided by the Pre-Designed Adjudication Processes.
Fees for Pre-Designed Adjudication Processes
The Adjudication Fee for Pre-Designed Adjudication Processes will be set in accordance with the Schedule of Fees unless the Parties and the Adjudicator mutually agree to another fixed or hourly fee and notify ADACC in writing within two days of the Adjudicator being appointed to adjudicate the matter. If there is no agreement on the Adjudication fee, the Adjudication fee will be as set out in the Schedule of Fees.
The two Pre-Designed Adjudication Processes are as follows:
Step 1: Claimant files Notice of Adjudication.
Step 2: Adjudicator is appointed by ADACC (on agreement of the Parties or otherwise).
Step 3: The Adjudicator convenes a teleconference with the Parties to discuss the adjudication process and submission of the Parties’ materials.
Step 4: The Claimant delivers its Notice of Adjudication, a copy of the contract or subcontract and copies of all documents which it intends to rely on in the adjudication limited to eight pages (the “Claimant’s Documents”). The Claimant also provides a written submission setting out the basis for its claim, limited to two pages.
Step 5: The Respondent delivers its Response to Notice of Adjudication and copies of all documents which it intends to rely on in the adjudication limited to eight pages. The Respondent also provides a written submission setting out the grounds on which it disputes the Claimant’s claim, limited to two pages.
Step 6: The Adjudicator provides the Notice of Determination and Order within 30 days of receipt of the Claimant’s Documents.
Step 7: ADACC provides a Certified Order to the Parties.
Step 1: Claimant files Notice of Adjudication.
Step 2: Adjudicator is appointed by ADACC (on agreement of the Parties or otherwise).
Step 3: The Adjudicator convenes a teleconference with the Parties to discuss the adjudication process and submission of the Parties’ materials.
Step 4: The Claimant delivers its Notice of Adjudication, a copy of the contract or subcontract and copies of all documents which it intends to rely on in the adjudication limited to 15 pages (the “Claimant’s Documents”). The Claimant also provides a written submission setting out the basis for its claim, limited to five pages.
Step 5: The Respondent delivers its Response to Notice of Adjudication and copies of all documents which it intends to rely on in the adjudication limited to 15 pages. The Respondent also provides a written submission setting out the grounds on which it disputes the Claimant’s claim, limited to five pages.
Step 6: Oral hearing takes place by teleconference or videoconference.
Step 7: The Adjudicator provides the Notice of Determination and Order within 30 days of receipt of the Claimant’s Documents.
Step 7: ADACC provides a Certified Order to the Parties.
If the Adjudicator chooses not to use a Pre-Designed Adjudication Process, the Adjudicator may set a customized process. A sample customized process is as follows:
Step 1: Claimant files Notice of Adjudication.
Step 2: Adjudicator is appointed by ADACC (on agreement of the Parties or otherwise).
Step 3: The Adjudicator convenes a teleconference with the Parties to discuss the adjudication process and submission of the Parties’ materials. The adjudication process may include: an on-site inspection, the assistance of an expert and/or an oral hearing by teleconference or videoconference.
Step 4: The Claimant delivers its Notice of Adjudication, a copy of the contract or subcontract and copies of all documents which it intends to rely on in the adjudication in compliance with any page limits directed by the Adjudicator (the “Claimant’s Documents”). The Claimant also provides its written submission (if any) in compliance with any page limits directed by the Adjudicator.
Step 5: The Respondent delivers its Response to Notice of Adjudication and copies of all documents which it intends to rely on in the adjudication in compliance with any page limits directed by the Adjudicator. The Respondent also provides its written submission (if any) in compliance with any page limits directed by the Adjudicator.
Step 6: Steps in the process set by the Adjudicator take place (for example, an oral hearing or on-site inspection).
Step 7: The Adjudicator provides the Notice of Determination and Order within 30 days of receipt of the Claimant’s Documents.
Step 8: ADACC provides a Certified Order to the Parties.
Powers, Duties and Functions of Adjudicator
Pursuant to section 25(1) of the Prompt Payment and Adjudication Regulation, the Adjudicator has the following powers in conducting an adjudication:
issue directions to the parties involved in the adjudication;
obtain information through independent research;
conduct on-site inspections of the subjects that the adjudicator considers necessary;
obtain assistance from construction industry professionals.
Also, the Adjudicator may extend, one or more times, any deadline in the adjudication process to a maximum of 10 calendar days if (a) the Adjudicator considers it necessary, or (b) the Parties to the Adjudication agree and the Adjudicator consents.
The Adjudicator must inform ADACC of any extensions of any deadlines in the adjudication process. This can be done by email to authority@adacc.ca.
An Adjudicator may refer any matter to the court if the Adjudicator does not have the jurisdiction to hear the matter or where, in the opinion of the Adjudicator, the court is the more appropriate forum for hearing the matter, pursuant to section 33.6(2) of the Prompt Payment and Construction Lien Act.
The Act also provides, in section 33.6(3), that an Adjudicator may refuse to hear a dispute if, in the opinion of the Adjudicator, the dispute is frivolous or vexatious.
