Jurisdiction(s):
United Kingdom

Related legal acts

Key definition

Disputes definition

What does Disputes mean? In legal practice, disputes are disagreements giving rise to potential legal rights and remedies between parties, addressed through dispute resolution including litigation, arbitration and ADR such as mediation and negotiation. The term is descriptive rather than a defined statutory concept; the substantive rights and procedures arise from statute and common law. Typical features include identification of the cause of action, applicable limitation periods, choice of jurisdiction and forum, compliance with pre-action protocols or pre-action correspondence, disclosure/discovery, evidence, settlement, costs and enforcement. Usage is broadly consistent across England & Wales, Scotland, Northern Ireland and Ireland, though civil procedure differs: CPR in England...

HGCRA 1996 (as amended by LDEDCA 2009): Application, Adjudication and Payment Regime, the Scheme and Key Exclusions in England, Wales and Scotland

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Practice notes

The need for legislation in the construction industry

Across the 1980s and into the early 1990s, the construction sector was beset by inefficiency, disputes and widespread insolvency, notably among contractors and sub‑contractors. In 1994, Sir Michael Latham was asked to produce a report on the difficulties facing the industry. In that study, titled ‘Constructing the Team’, Latham pinpointed two themes at the heart of the sector’s problems:

disputes
payment

Latham concluded the industry required a dedicated method of resolving disagreements that was easy to access, rapid and low‑cost, to curb the prevailing disputes culture. He also considered that safeguarding cash flow throughout every tier of the industry would cut contractor and sub‑contractor insolvency and support stable employment.

The HGCRA 1996

The legislative answer to Latham’s findings appeared in Part II of the Housing Grants, Construction and Regeneration Act 1996 (HGCRA 1996), passed in 1996 and commencing in May 1998. The HGCRA 1996 prescribes provisions on adjudication and payment that construction contracts are required to contain. Key matters to be aware of, explored further below, include:

the HGCRA 1996 was amended by Part_x000D_

Together, these measures targeted disputes and safeguarded cash flow throughout the construction industry at all levels as intended...

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Web page updated on 21/05/2026

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