Fees and Retainers
Negotiating the Adjudication Fee
The Adjudication Fee will be set according to the Schedule of Fees. If the Parties and the Adjudicator unanimously agree to a different fee from the Schedule of Fees, they must notify ADACC in writing of their unanimous agreement to a different fee within two days of the Adjudicator being appointed to adjudicate.
How Does ADACC Calculate the Retainer?
The Retainer is calculated to cover the following fees and taxes:
If a fixed fee is being charged, the amount of the Retainer will be the fixed fee;
If an hourly rate is being charged, the amount of the Retainer for the Adjudication Fee will be the Adjudicator’s hourly rate multiplied by 60 hours;
A Filing Fee (please refer to the Schedule of Fees for further information). The Filing Fee is payable by the Claimant;
A Certification Fee (please refer to the Schedule of Fees for further information). Each Party will pay half of the Certification Fee; and
Estimated taxes.
Each Party will pay half of the Retainer.
FAQ: When must Parties pay the retainer?
The retainer must be paid within seven days after ADACC sends the retainer invoice to the Parties.
FAQ: What happens if a Party does not pay its share of the Retainer?
If the Retainer is not paid, the Adjudicator may resign and not release a Determination. If the Respondent does not pay its share of the Retainer, the Claimant may advance the Respondent’s share of the Retainer in order to allow the adjudication to proceed. The Adjudicator will apportion the costs of the adjudication in the Determination and, if fees are owing by the Respondent, the Adjudicator will order that the fees advanced by the Claimant be reimbursed by the Respondent. ADACC will provide information to Adjudicators about the payment of retainers by the Parties.
FAQ: Who is responsible for paying the cost of adjudications?
The Parties to an adjudication are responsible for an equal portion of the Adjudicator’s fees and expenses unless the Adjudicator orders otherwise (section 13(3) of the Prompt Payment and Adjudication Regulation. Each Party to the adjudication will be responsible for their own costs, unless the Adjudicator orders otherwise.
Asking ADACC to Set the Adjudication Fee
ADACC will set the fee in accordance with the Schedule of Fees, unless the Parties and the Adjudicator reach a unanimous agreement on a different fee and notify ADACC in writing of the new fee within two days of the Adjudicator being appointed to adjudicate. After the Adjudication Fee is set, the Adjudicator and the Parties will be sent the Retainer Invoices.
Additional Retainers
In some cases, where the Adjudicator is of the view that the standard amount usually requested for a Retainer will not cover the expected costs of the adjudication, the Adjudicator may request an additional amount for the Retainer.
For example, as the Retainer is calculated based on the Adjudicator’s hourly rate multiplied by 60 hours, if the Adjudicator believes that they will spend over 60 hours on the adjudication, then the Adjudicator should request (and collect) an additional amount for the Retainer. As another example, where the Adjudicator had set a Pre-Designed Adjudication Process for the adjudication, and where the Adjudicator and the Parties later determined that the process requires more work than was contemplated, the Parties and Adjudicator may agree to a higher fee, requiring a higher amount for the Retainer.
Adjudicators can request an additional retainer by contacting ADACC at authority@adacc.ca. The Filing Fee and Certification Fee will not be collected for additional retainers.
Invoicing ADACC
ADACC will attempt to collect retainers from the Parties and will pay Adjudicators on the 15th of the month after conclusion of the adjudication or after the fees are received, whichever is later.
