THE EXPERTS’ VIEWS ON FACTORS INFLUENCING THE EFFECTIVE IMPLEMENTATION OF STATUTORY ADJUDICATION

The fundamental drive behind the introduction of the statutory adjudication scheme is to improve cash flow within the construction industry and also to provide a swift and inexpensive means of resolving construction disputes. While cash flow is widely regarded as the lifeblood of the construction i...

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Main Authors: Modupe MEWOMO, Marthinus MARITZ
Format: Article
Language:English
Published: UJ Press 2017-08-01
Series:Journal of Construction Project Management and Innovation
Subjects:
Online Access:https://journals.uj.ac.za/index.php/JCPMI/article/view/142
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author Modupe MEWOMO
Marthinus MARITZ
author_facet Modupe MEWOMO
Marthinus MARITZ
author_sort Modupe MEWOMO
collection DOAJ
description The fundamental drive behind the introduction of the statutory adjudication scheme is to improve cash flow within the construction industry and also to provide a swift and inexpensive means of resolving construction disputes. While cash flow is widely regarded as the lifeblood of the construction industry, unfair payment practices remain a lingering issue affecting the delivery chain. Most often, contractors and subcontractors at the lower rung of the contractual chain face financial difficulties from main contractors who delay or refuse payment in the knowledge that court and arbitration proceedings are often too expensive and a slow remedy for the smaller contractors in particular. These oppressive acts, in many instances, have led to insolvency of the lower-chain players and, as such, generated serious concerns within the construction industry. Consequently, statutory adjudication was introduced in several countries globally to offer swift relief to the financially squeezed and cash-starved (sub)contractors. Similar legislation is about to be promulgated in the South African (SA) construction industry. This paper details the experts’ views on critical factors that can enhance the effective implementation of the statutory adjudication process in SA. Data were gathered through qualitative interviews with fifteen adjudication experts that have direct interaction with profound knowledge of the adjudication process in the United Kingdom (UK), Australia, Singapore and Malaysia. The findings reveal the influencing factors in the form of combinations of ‘enablers’ and ‘drivers’ upon which successful implementation of statutory adjudication and the realisation of the benefits it has to offer could be hinged.
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spelling doaj-art-f92c0a187a85476e809270a15e24d51e2025-01-08T06:11:36ZengUJ PressJournal of Construction Project Management and Innovation2223-78522959-96522017-08-017Supplement10.36615/jcpmi.v7iSupplement.142THE EXPERTS’ VIEWS ON FACTORS INFLUENCING THE EFFECTIVE IMPLEMENTATION OF STATUTORY ADJUDICATIONModupe MEWOMO0Marthinus MARITZ1Department of Construction Management and Quantity Surveying, Mangosuthu University of Technology, Umlazi, South AfricaDepartment of Construction Economics, University of Pretoria, Pretoria, South Africa The fundamental drive behind the introduction of the statutory adjudication scheme is to improve cash flow within the construction industry and also to provide a swift and inexpensive means of resolving construction disputes. While cash flow is widely regarded as the lifeblood of the construction industry, unfair payment practices remain a lingering issue affecting the delivery chain. Most often, contractors and subcontractors at the lower rung of the contractual chain face financial difficulties from main contractors who delay or refuse payment in the knowledge that court and arbitration proceedings are often too expensive and a slow remedy for the smaller contractors in particular. These oppressive acts, in many instances, have led to insolvency of the lower-chain players and, as such, generated serious concerns within the construction industry. Consequently, statutory adjudication was introduced in several countries globally to offer swift relief to the financially squeezed and cash-starved (sub)contractors. Similar legislation is about to be promulgated in the South African (SA) construction industry. This paper details the experts’ views on critical factors that can enhance the effective implementation of the statutory adjudication process in SA. Data were gathered through qualitative interviews with fifteen adjudication experts that have direct interaction with profound knowledge of the adjudication process in the United Kingdom (UK), Australia, Singapore and Malaysia. The findings reveal the influencing factors in the form of combinations of ‘enablers’ and ‘drivers’ upon which successful implementation of statutory adjudication and the realisation of the benefits it has to offer could be hinged. https://journals.uj.ac.za/index.php/JCPMI/article/view/142Dispute resolution, implementation, legislation, statutory adjudication, success factors
spellingShingle Modupe MEWOMO
Marthinus MARITZ
THE EXPERTS’ VIEWS ON FACTORS INFLUENCING THE EFFECTIVE IMPLEMENTATION OF STATUTORY ADJUDICATION
Journal of Construction Project Management and Innovation
Dispute resolution, implementation, legislation, statutory adjudication, success factors
title THE EXPERTS’ VIEWS ON FACTORS INFLUENCING THE EFFECTIVE IMPLEMENTATION OF STATUTORY ADJUDICATION
title_full THE EXPERTS’ VIEWS ON FACTORS INFLUENCING THE EFFECTIVE IMPLEMENTATION OF STATUTORY ADJUDICATION
title_fullStr THE EXPERTS’ VIEWS ON FACTORS INFLUENCING THE EFFECTIVE IMPLEMENTATION OF STATUTORY ADJUDICATION
title_full_unstemmed THE EXPERTS’ VIEWS ON FACTORS INFLUENCING THE EFFECTIVE IMPLEMENTATION OF STATUTORY ADJUDICATION
title_short THE EXPERTS’ VIEWS ON FACTORS INFLUENCING THE EFFECTIVE IMPLEMENTATION OF STATUTORY ADJUDICATION
title_sort experts views on factors influencing the effective implementation of statutory adjudication
topic Dispute resolution, implementation, legislation, statutory adjudication, success factors
url https://journals.uj.ac.za/index.php/JCPMI/article/view/142
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