Priyanka Kale FCIArb a construction lawyer, on adjudication disputes.
Posted 14th Nov, 2024
We caught up with Priyanka Kale FCIArb a construction lawyer, on adjudication disputes.
“I started my career in alternative dispute resolution (ADR) by representing clients in negotiations for out of court settlements, mediations, and arbitration in India,” explains Priyanka. A master’s degree from Queen Mary University of London propelled her journey into international arbitration, and she hasn’t looked back since then. After completing an MSc in Construction law and Dispute Resolution from King’s College London, she joined a law firm in the UK.
Priyanka advises central government departments, local authorities, housing associations and charities on all aspects of construction and infrastructure projects. “My day-to-day varies, usually you’ll find me attending Teams calls or in-person meetings and drafting construction contracts. No day is similar – one day working on a highway project, and another day on a heat network project. All the contracts differ due to complexity, size, and value of the investment involved. Recently, we advised on a £100 million-pound innovation centre project.”
“My main responsibility as a construction lawyer is to flag any risks in a construction contract from the client’s perspective. I advise the client on mitigating these risks by proposing amendments, which are then negotiated in order to finalise the contract. We also handle any disputes that arise out of construction contracts,” she says.
One of the things she finds interesting about adjudication is the time-limit. “A decision has to be given in 28 days, with an extension of 14 days permitted with the consent of the party which started proceedings. This results in a cost-effective decision because of the short time period. Another interesting aspect about adjudication is that the decision is binding temporarily, only until there is a final determination of the dispute by legal proceedings such as arbitration. On the other hand, when an arbitration has commenced, you’re already on your way towards the final award.”
Trends
One of the prevalent trends in adjudication is ‘smash and grab’, explains Priyanka. “In a ‘smash and grab’, a a contractor may walk away with a sum amount on technical grounds, for example, that the employer has failed to serve a payment notice, or a payment notice has not been served on time. This is not based on proper valuation, and as a consequence, the employer will have to pay the sum claimed and then start true value adjudication to recover any overpayment.”
Another trend in adjudication is ‘serial adjucation’. She explains, “This is when a series of adjudications are filed by the same parties, in relation to the same construction contract. This is one of the ways to put pressure on the other party and wear them down.” One of the issues with serial adjudication is that if the same dispute or substanitally same dispute is referred to in a later adjudication, it can lead to incompatible decisions, she explains.
Predictions for 2025
“Adjudication is definitely a growing sector, at least in the construction industry. The Rt. Hon. Lord Justice Coulson famously described adjudication as the only game in town,” explains Priyanka.
There’s a lot of positive advancements in adjudication to look forward to, she says. “In 2025, we may see some disclosure requirements on adjudicators so as to prevent an appearance of bias. An adjudicator may be required to disclose any facts that concerns their relationship with the subject-matter or the parties.”
Another welcome change might be more diversity within the adjudication industry. “We will also see a rise in the number of female adjudicators with the several initiatives which stemmed from signing the Equal Representation in Adjudication pledge paying off.” Priyanka notes that having more women in senior roles in the construction industry which is traditionally male-dominated, is a gamechanger – inspiring the younger generation.
Career advice
“My favourite part of my job is knowing, that at the end of the day, our legal work achieves a social purpose of improving lives. For example, when we assist on an affordable housing project or assist with the public sector decarbonisation scheme, we are helping build new homes or reducing the carbon impact. Knowing that there is a positive impact gives me immense job satisfaction,” she explains.
For those who are starting their career in ADR, she recommends reaching out to senior colleagues for mentorship and advice. “Attending Ciarb workshops and events has helped me broaden my perspective and learn from other people’s experience and connect with an international professional network. Preparing for the award-writing exam as part of qualifying as a Fellow, enhanced my knowledge and practice of arbitration. It was followed by a peer interview conducted by distinguished dispute resolution practioners and a warm welcome by the Ciarb London Branch. With regard to adjudication, the Fellowship has opened doors to join the Ciarb’s Low Value Disputes panel, Ciarb’s presidential panel, and other global disputes panels.”