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    Adjudication, Mediation and Arbitration for Construction Disputes

    5 min read·Reviewed June 2026
    By SiteKiln Editorial TeamFirst published 21 Jun 2026
    Contracts & Disputes

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    South Africa has no statutory adjudication. Your right to refer a construction dispute to an adjudicator comes entirely from your contract, so if the contract does not provide for it, it does not exist. The good news: the standard forms (JBCC, NEC, GCC) all build in tiered dispute resolution, and SA courts now enforce adjudicators' determinations robustly on a "pay now, argue later" basis. Here is how each route works and when to use it.‍‌​​​‌‌‌​‌​​‌​​​​‌​‌‌​​‌​​​​​​‌​​‍

    Where your rights come from

    The standard forms typically stack the steps: negotiation, then mediation, then adjudication, then arbitration as the final tier. Read your dispute clause before a dispute starts, because the clause dictates the referral deadlines, who appoints the adjudicator, and whether the final stop is arbitration or court.

    Adjudication under JBCC

    Under the JBCC suite the dispute clause is clause 30. The shape of it:

    • Either party may refer a dispute in writing, and an adjudicator is appointed by agreement, failing which by a nominating body such as the Association of South African Quantity Surveyors.
    • The adjudicator decides within 28 days of the referral, extendable by agreement.
    • The determination is immediately binding on the parties and must be implemented.
    • A party that disagrees must deliver a notice of dissatisfaction within 10 days. Miss that window and the determination becomes final and binding.
    • The challenge route is arbitration, not court, unless the parties agree otherwise.

    Adjudication under NEC

    NEC contracts use Option W1 or W2. Disputes go to an adjudicator named in the Contract Data, who decides within 28 days (extendable to 42 with consent). The decision binds the parties unless and until it is revised by amicable settlement or an arbitral award.

    GCC

    The GCC also provides for adjudication ahead of arbitration, but the exact GCC adjudication timelines were not independently confirmed for this guide. Work off the dispute clause in your own signed GCC document rather than any generic day count.

    Courts enforce determinations: Pro-Khaya

    SA courts have adopted a strongly pro-enforcement stance:

    • A determination is enforceable even if the adjudicator got the law wrong.
    • Courts will not reopen the merits. Intervention is reserved for jurisdictional overreach, fraud, collusion or manifest injustice.
    • The paying party must pay now and argue later.
    • Enforcement is by ordinary application to the High Court.

    The anchor case is Pro-Khaya Construction CC v City of Cape Town (Western Cape High Court, 15 August 2025). The City failed to deliver its notice of dissatisfaction within the 10-day window, the determination became final and binding, and the Court enforced it without examining the merits. The lesson cuts both ways: diarise the dissatisfaction deadline the day a determination lands, whether you won or lost.

    Mediation

    Mediation is non-binding and cheap relative to everything else, and most standard forms require an amicable-resolution step before adjudication. There is no construction mediation statute; the process runs on the contract and the rules of the chosen institution, commonly the Arbitration Foundation of Southern Africa (AFSA). For a dispute where the relationship still matters, mediation first is usually worth a few weeks.

    Arbitration versus court

    • Governing law. Domestic arbitration runs under the Arbitration Act 42 of 1965 (text on SAFLII); court litigation under the Magistrates' Courts Act and Superior Courts Act.
    • Speed and cost. Arbitration is usually faster than court but you pay the arbitrator and the lawyers, so it is expensive. Court fees are lower, but most contested matters still need a lawyer.
    • Decision-maker. Arbitration lets you put the dispute before a construction expert (a quantity surveyor, engineer or construction lawyer). In court you get whichever magistrate or judge is allocated.
    • Finality. An arbitration award is final and can be made an order of court. Court judgments can be appealed.

    For a small subbie, arbitration is rarely cost-effective for debts under about R500,000. The practical route for a mid-sized dispute is adjudication first, then enforcement through the courts if the determination is ignored (see Chasing Unpaid Invoices for the court ladder).

    Worked example

    Zanele's plastering subcontract (R320,000, NEC4 with Option W1) finishes on time, but the main contractor disputes R80,000 of her final account. She refers the R80,000 to the adjudicator under Option W1. The adjudicator decides within 28 days that she is owed R70,000. The main contractor does not pay, and does not challenge the decision. Zanele applies to the High Court to enforce the determination. The court orders payment plus costs, and the contractor pays rather than face a warrant of execution.

    Common mistakes

    • Assuming adjudication is a legal right. It is contractual. A bare quote-and-handshake job has no adjudication clause, so your route is a letter of demand and court.
    • Missing the notice of dissatisfaction window. Ten days under JBCC. After that, the determination is final, as the City of Cape Town learned in Pro-Khaya.
    • Re-arguing the merits at enforcement. Courts will not listen. If you lost, your remedy was the dissatisfaction notice and arbitration.
    • Choosing arbitration for a small debt. The fees can eat the claim. Scale the forum to the money.
    • Skipping the contract's tiered steps. Referring straight to arbitration when the clause requires mediation or adjudication first can get your referral thrown out.

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