Associated General Contractors of America

ConsensusDocs Updates 21 Contracts to Reflect Case Law, Industry Choices

The ConsensusDocs coalition announced important updates to the standard arbitration provisions in its agreements. Twenty-one revised contracts have been published. Revisions reflect the applicable statute of limitations from state law and how it should apply to arbitration. Currently, there is a split in some state laws interpreting this issue. The revised language also now contains a “savings clause” in case it is unclear whether a claim must go through arbitration or the courts.

Additionally, ConsensusDocs is revising its arbitration language regarding the application of arbitration rules and administration. The revised language empowers users to choose from an expanded arbitration menu that now specifies a consistent application of rules and administration, including the American Arbitration Association (AAA) and JAMS. This is the first time that JAMS has been explicitly listed in a standard construction contract.

”ConsensusDocs has made these revisions to proactively address a legal interpretation that is split in the states,” comments Brian Perlberg, ConsensusDocs executive director and counsel. “Rather than needlessly wait for an arbitrary revision cycle, the coalition is responding today. Keeping our documents current for today’s design and construction world avoids a long future of litigation and court decisions.”