Evaluation and Improvement of Arbitration Procedures in the Engineering Arbitration Center in the Gaza Strip

Disputes in construction industry are normal and sometimes cannot be avoided. There are many methods to resolve disputes and arbitration is one of these methods. Arbitration is considered one of recently regulated dispute resolution methods in construction in the Gaza Strip. This study aims to evaluate and improve the Engineering Arbitration Center (EAC) procedures in the Gaza Strip. This aim achieved by exploring the acceptance level of construction parties, identifying strengths and weaknesses in EAC arbitration procedures and then suggesting improvements. In this research the current EAC engineering arbitration procedures in the Gaza Strip is investigated and compared to an international and regional arbitration institutions. Fifty questionnaires were distributed to dispute parties in arbitrated cases in EAC. Results of 34 questionnaires of respondents and 10 interviews with arbitration experts concluded that: It is found that costs and time of arbitration in EAC are not satisfying by disputants. It is also found that arbitration fees are preferred to be paid commensurately with the value of claims which are awarded to each of the dispute parties with a minimum must be paid by each dispute party. Respondents of the questionnaire preferred when forming arbitral tribunal that each of the dispute parties choose an arbitrator from the list of names of arbitrators determined by EAC, then the parties agree to the arbitral tribunal president in the case of three arbitrators. It is found that the main obstacles of arbitration extent are: lack of sufficient awareness of the dispute parties in principles and procedures of arbitration, not to promote members of the EAC by experts in the field of arbitral justice and lack of commitment of one of the dispute parties to cover the financial obligations required for EAC. It is found that there are high level of acceptance with arbitration procedures in EAC as 91% of respondents will reconsider EAC for resolution in future disputes. This study recommended that the arbitration procedures in EAC should be evaluated periodically for improvements and the website of the EAC should be activated and developed to publish articles about EAC efforts, services and arbitration magazine should be issued periodically. It is also recommended that EAC should cooperate with Palestinian Union of Contractors to conduct workshops and seminars to increase the contractors awareness of arbitration. Training courses for adopted arbitrators in EAC and new arbitrators should be conducted and focusing on means and techniques to make arbitration less costly for the dispute parties. Finally arbitration clauses to arbitrate any dispute at EAC should be contained in local construction contracts