Barriers for implementing dispute review board (DRB) method to Sri Lankan construction industry

Abstract

In Sri Lanka, dispute resolution methods in construction contracts are Negotiation, Mediation, Adjudication, and Arbitration. Although the Dispute Review Board (DRB) method has been successfully used internationally for more than 30 years, it has rarely been applied in domestic contractual disputes. Thus, this research was conducted to identify the barriers hindering the implementation of the Dispute Resolution Board (DRB) mechanism in the Sri Lankan construction industry and to provide recommendations to overcome these barriers. This research was deemed necessary because the current dispute resolution methods could not effectively resolve contractual conflicts. Despite introducing DRB through Dispute Adjudication Boards (DAB), its potential benefits have not been fully realised in Sri Lanka. To achieve the purpose of the study, a comprehensive literature review was conducted first, and then a preliminary survey to identify the barriers to the implementation of DRB in the Sri Lankan construction industry. Subsequently, a questionnaire was administered to 44 professionals engaged in client and contracting organisations. The research findings revealed that the main barriers to the implementation of the DRB mechanism are unawareness of the concept of DRB, clients considering DRB as a burden and hassle for them, additional costs to be incurred, and lack of experience. Accordingly, the study recommends increasing the awareness of the DRB at the national level with the support of authorities to utilise it as a valuable alternative for resolving disputes in the Sri Lankan construction industry.