RICS and SCCA working together on KSA standards for dispute resolution in the built environment
RICS and the Saudi Center for Commercial Arbitration (SCCA) sign a MoU in Saudi Arabia to encourage the use of alternative dispute resolution
The Royal Institution of Chartered Surveyors (RICS) and the Saudi Center for Commercial Arbitration (SCCA) have called their newly signed Memorandum of Understanding (MoU) as a significant development for dispute resolution related to the built environment in Saudi Arabia.
The two organisations hope their co-operation can help develop new standardised approaches that will save both time and money for the construction sector in the Kingdom.
In a statement revealing the new agreement, the new partners said they will now work to encourage the use of “Alternative Dispute Resolution and in particular, mediation in the built environment sector which will enhance the growth, confidence and investment in the construction and real estate sectors.”
“All the local and international stakeholders participating in the Kingdom’s significant development in the build environment – including major infrastructure, commercial and housing projects – demand appropriate mechanisms to manage and rapidly resolve any conflicts that may arise,” said Dr Hamed Merah, CEO, SCCA.
“SCCA and our partners at RICS are working together to ensure that all businesses operating in the Kingdom and beyond have access across the nation to the very best processes, services and practitioners for the optimal, professional mediation and arbitration they require.”
According to the release, both organisations will collaborate to promote local and international standards with regards to the built environment (land, real estate, construction and infrastructure) in relation to disputes. Using these relevant industry standards improves the transparency and stability of the market, contributing to the growth of stronger economies and improved confidence for investors.
The SCCA will also now add RICS’ Panel of Mediators to their Mediator Roster for its new COVID-19 Emergency Mediation Program (EMP), a low-cost programme to help parties resolve their disputes swiftly and amicably resulting in an enforceable bond (title).
“This MoU represents a great opportunity for RICS and SCCA to work together to drive growth and transparency in the Kingdom, further attracting local, regional and global investors,” added Robert Jackson, managing director, RICS EMEA. “Construction and real estate are crucial sectors for Saudi Arabia, and the work SCCA does is now more important than ever in the COVID-19 and post COVID-19 recovery. We are delighted to be able to collaborate with them to provide a standardized, trusted, robust and economically beneficial approach to resolving disputes in the country. It is in the interests of all stakeholders and the wider KSA economy to be able to resolve disputes in a cost effective and timely manner that allows projects to be delivered on time and programme.”
Construction projects today are fast-paced, complex and involve a multitude of parties, creating numerous flash points at which issues can arise, said the two organisations: “It is essential they are identified and resolved in a manner that maintains relationships and facilitates growth of the market in the long run.”
