Use of arbitration by construction companies

Construction activities are intrinsically complex the result of many variables and a large amount of information involved which makes it difficult to manage risks and predict conflicts which can turn into a dispute. Contracts which are instruments of agreement and regulate the actions of the agents and are signed for the realisation of projects are often poorly drafted and create fertile ground for disputes and lawsuits which generate losses for the agents and stakeholders involved. State justice is slow due to the backlog of cases and high costs. As an alternative federal law 9307/96 instituted arbitration a form of private dispute resolution created with the intention of being quick low-cost and confidential. The aim of this work is to analyse the frequency and conditions of use of arbitration in construction contracts to identify the advantages and disadvantages that a construction company will have in using it in order to suggest actions aimed at increasing its use by construction companies.