WHAT IS EXPERT DETERMINATION?
Expert Determination is a simple means of binding dispute resolution. Unlike arbitration, Expert Determination is not governed by legislation. Expert Determination is a consensual process by which parties to a contract agree to refer matters in dispute to an independent person to decide.
The independent person has expertise relevant to the matters in dispute between the parties and is engaged to decide the disputed matters as an expert and not as an arbitrator.
The process is controlled by the parties themselves, who agree beforehand whether or not they will be bound by the decisions of the Expert.
For example, by party agreement, a determination may have effect as a recommendation to the parties or may be a binding decision akin to a judgment or adjudicator’s determination. Further, because the Expert’s authority is drawn from the agreement appointing him or her, the parties can be very specific about what they want the Expert to do or not to do.