Refure V. Adair Homes Case Summary

Alternative Dispute Resolution
The case selected is a construction defect case, Haynes v. Adair Homes, Inc. The case was lastly filed in the Court of Appeals of The State of Oregon. Hynes v. Adair Homes was initially filed in the Clackamas County Circuit Court. The plaintiffs Paul and Renee Haynes contracted with the defendant Adair Homes, Inc. for the construction of their home. After completion of the house, they discovered extensive water in the underfloor crawlspace. Ponding water in the crawlspace then led to mold inside the structure. Haynes filed a suit against Adair for breach of contract and negligence (law.justia.com, n.d.).
As an employee of Adair Homes, I would inform my supervisor that the case would first be filed in the county
circuit court. In this case, the complaint would first be filed in the county circuit court where the home was constructed. If the verdict rendered from the case was not to the satisfaction of either party, the case could be appealed in The Court Of Appeals of the State of Oregon. Some construction defect cases even make it as far as The Oregon Supreme Court. It would be advisable for Adair Homes, Inc. to plan for the case going through all three courts. With that said, Adair Homes should have an arbitration clause written into every contract entered, and on the line that the clause is written it should have a line for the client to initial that they have read and agree to the clause. This would be, in addition to the printed name, and signature at the end of the contract between Adair Homes and the client.
For Adair Homes, there is only one benefit of going through traditional litigation, and that is the having the ability to appeal the circuit court decision. Furthermore, it is the same for the plaintiffs Paul and Renee Haynes the only benefit is the chance for appeal. In this case, alternative dispute resolution would have made more sense to both parties involved. This is due to the high costs of going through several trials and length of time it takes to get a resolution (Cheeseman, 2013).
If alternative dispute resolution was the chosen path in this case, the Oregon Construction Contractors Board (CCB) offers mediation and arbitration for a $50.00 processing fee.
First, a pre-complaint notice must be filed with the CCB. The pre-complaint notice that is sent to the contractor must have all of the following information date; contractor’s name, contractor’s address, a statement that the plaintiff plans to file a complaint with the CCB, and the plaintiff’s name. The pre-complaint must be sent to the contractors name and address that is on record with the CCB. Moreover, the pre-complaint must be sent certified mail to the contractor. At this time, the contractor can respond and correct the items of issue in the pre-complaint (Oregon Construction Contractors Board, n.d.).
If there is not a resolution from the pre-complaint notice, the CCB will send an expert to the place of the grievance. Each complaint is processed by a dispute analyst. In many cases, an investigation takes place. A field investigator reviews conditions and attempts to help the parties reach a compromise settlement of their dispute. More often than not, the parties agree to a settlement that resolves the complaint (Oregon Construction Contractors Board,
n.d.).
If the parties do not enter into a settlement or if the contractor breaches the settlement agreement, the dispute analyst will instruct the complainant to take the complaint to arbitration or file it in circuit court. The filing location will depend on the contract between the contractor and the plaintiff; most contractors have arbitration clauses in their contracts. The CCB will give the complainant information about the requirements that are needed by the CCB to maintain access to the contractor’s surety bond (Oregon Construction Contractors Board, n.d.). References
Oregon Construction Contractors Board. (n.d.). http://www.oregon.gov/ccb/Pages/consumer_help.aspx