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Arbitration

Phillip is a founding member of the Arbitrators and Mediators Institute of New Zealand (AMINZ).

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Being  a well established registered valuer Phillip is able to offer this service as arbitrator and third party expert determination. He also well versed in litigation issues. 

 

Phillip is a panel member of The Arbitrators and Mediators Institute of New Zealand to view his profile please click here.

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Areas of Expertise

Over the years Phillip has become one of the leading valuers for all forms of  dispute resolution.  In addition to formal appointments for arbitration and third party expert witness agreements, Phillip is well placed to offer valuation litigation advice. 

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Phillip has also undertaken mediation/facilitation assignments between valuers who are in disagreement to try to resolve issues prior to the need for more formal channels of resolution. 

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Phillip welcomes all enquiries from valuers, legal professionals, landlords and tenants alike. 

Dispute Lease Clause

The Law Association of New Zealand (formally The Auckland District Law Society) lease agreement specifically deals with the parties options if there is a disagreement over rental.  

 

If the parties or their professional advisors are unable to agree the current market rental under the older lease format there are two options. One of these options being arbitration under the Arbitration Act 1996. This act provides the machinery for the process and gives the parties clarity of necessary action. Under the Act parties are required to agree upon a sole arbitrator (sometimes also referred to as an umpire), or a panel of three arbitrators. 

 

The other option available to the parties under the older lease is that of expert determination by a third valuer. The appointed third valuer, provides a written decision that is final and binding after hearing points from both parties and their appointed valuers.

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The third option now available to the parties in the latest lease agreement is mediation. The use of mediation has been limited to date, with the parties generally being more familiar with arbitration or expert determination. All three options do have various measures to consider before embarking on a particular course of dispute resolution action. 

 

Phillip has been appointed as arbitrator and third party expert for a number of cases throughout New Zealand and is able to achieve timely resolutions.  If you wish to appoint Phillip as a third party expert, parties need to sign an appointment which will include an indemnity clause that provides a similar legal protection as an arbitrator receives under the Arbitration Act 1996.

 

 

What is Arbitration?

Almost all property related contracts have a dispute resolution clause for parties to resolve differences over the life of the contract. 

 

The predominant area of arbitration that involves valuers skilled in this discipline, is the settling of rental disputes.

 

The process of arbitration enables a third party (often a registered valuer) to settle a dispute so that the parties to the contract can continue their property or business relationship.

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In his role as arbitrator, Phillip is determined to make the process as seamless as possible for all associated parties. To commence proceedings, teleconferences are organised to decide on an agreed timetable and other necessary matters. 

 

The process of arbitration includes the exchange of evidence to which parties are able to submit rebuttals which highlight factual differences. This is followed up by an inspection of the property in addition to all comparable evidence provided by the individual parties. The arbitrator then chairs a hearing after which an interim decision (interim award) is made on the rental quantum. This interim decision will allow parties to make submissions on the payment of costs such as valuation fees, legal representation costs and/or arbitrators fee. Sometimes these costs are shared evenly but not always. Costs can be unevenly shared depending on individual party and hearing circumstances or a result that is considered as a "successful claim". 

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For more detail on the arbitration process please see our blog post here. 

Mediation and Facilitation

This specialist area of dispute resolution is increasingly being used for property value and/or rental disputes.

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All parties to a lease agreement can agree to mediation with the fallback option of arbitration. It is not an option where the mediator can automatically step into the role of arbitrator, were arbitration required. This option (mediation/arbitration) would need to be fully discussed with all concerned before proceeding. Mediation is where the parties come to the agreement with the assistance of the mediator. Arbitration is a determination by the arbitrator in the form of an award based on the evidence submitted and able to be cross examined. The mediation/arbitration option is not common and needs to be approached carefully.

 

Phillip offers the role of facilitator between two valuers, where the valuation difference between the parties does not warrant the cost of a third valuation opinion. Especially when the parties just require finalising of their dispute.

 

With the parties agreement, facilitation allows the valuers to outline the matters that support their opinion. The facilitator would test the respective opinions and encourage and assist the two valuers to jointly arrive at a settlement that can then be put in writing.

 

This process has also been referred to as evaluative mediation, however, the valuer facilitation would not usually include the parties, only the experts, and / or registered valuers. There is no reason why parties couldn't attend this process. If seriously considering this, it may be useful, if all parties wish to attend, to formally adopt a more traditional mediation approach. If all parties were in agreement on a dispute resolution process, they could tailor-make their format.

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Mediation and Facilitation

In February 2025 Minister Chris Penk announced a Public Works Act 1981 overhaul. One of the matters put forward was to the require Mediation for Compensation Disputes. That is to require that parties try to resolve disputes over compensation through mediation or alternative dispute resolution before going to the Land Valuation Tribunal. 

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Phillip is well placed with his knowledge of compensation under the Public Works Act as a registered valuer, to act as a mediator between parties. The mediation process has the benefit of the parties agreeing on a mediator of their choice. The mediation is likely to be a quicker option for finality rather than waiting for the Land Valuation Tribunal. This mediation process can be used for Public Works compensation, such as New Zealand Transport Agency and  Local Authority projects.

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For more details on the mediation process see our blog post here

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