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Beware Arbitration Clause

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Saturday, December 10, 2005

Beware Arbitration Clause

[Regarding the Dec. 4, 6 and 7 articles on the Construction Contractors

Board,] I've attended each of the Construction Claims Task Force meetings,

including the Dec. 2 meeting at which the Contractors Board presented.

By its own statistics, of the 2,202 complaints the board received in fiscal

2005, it did not address 704 because of " lack of jurisdiction. " That's one

third.

The board minutes for Sept. 27 note that " more and more contractors are

circumventing the CCB dispute resolution section system by putting an

arbitration

clause in their contracts. "

The CCB has neither jurisdiction nor the ability to track and report on a

builder's poor record where binding-arbitration clauses exist. Furthermore,

binding arbitration means that consumers have no access to either a jury or the

CCB bond.

The CCB Web site should report which builders have it in their contracts,

what arbitrator they use, and a strong warning about what that means -- which is

that the only person who can hold this builder accountable is probably his

golfing buddy.

RENEE HAYNES

Oregon Representative,

Homeowners

Against Deficient Dwellings, Inc. _www.HADD.com_ (http://www.HADD.com)

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If I can be of any assistance on this issue, feel free to contact me. I worked

for the American Arbitration Association for 5 years and I have an MS in

Conflict Analysis and Resolution, so I have some experience with the field,

although primarily with labor arbitration and mediation.

-Haley

snk1955@... wrote:

Saturday, December 10, 2005

Beware Arbitration Clause

[Regarding the Dec. 4, 6 and 7 articles on the Construction Contractors

Board,] I've attended each of the Construction Claims Task Force meetings,

including the Dec. 2 meeting at which the Contractors Board presented.

By its own statistics, of the 2,202 complaints the board received in fiscal

2005, it did not address 704 because of " lack of jurisdiction. " That's one

third.

The board minutes for Sept. 27 note that " more and more contractors are

circumventing the CCB dispute resolution section system by putting an

arbitration

clause in their contracts. "

The CCB has neither jurisdiction nor the ability to track and report on a

builder's poor record where binding-arbitration clauses exist. Furthermore,

binding arbitration means that consumers have no access to either a jury or the

CCB bond.

The CCB Web site should report which builders have it in their contracts,

what arbitrator they use, and a strong warning about what that means -- which is

that the only person who can hold this builder accountable is probably his

golfing buddy.

RENEE HAYNES

Oregon Representative,

Homeowners

Against Deficient Dwellings, Inc. _www.HADD.com_ (http://www.HADD.com)

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