02/28/2026
Building a house? I have some legal advice. Hidden in your contract may be an arbitration provision. That's not always a bad thing, but watch out for this: an arbitration provision that names CONSTRUCTION ARBITRATION ASSOCIATES as your arbitrator. DON'T SIGN THIS CONTRACT until your builder agrees that the arbitrator will be mutually agreed upon if there's actually a dispute. If they won't agree, find another builder. The majority of builders want to do quality work and won't mind using a different arbitrator.
CAA is a notoriously builder-friendly arbitrator. Its arbitrators are not lawyers--they're construction-industry folks who formed an arbitration company, and they provide these form contracts to builders. They lack the procedural knowledge that a judge or an attorney in that role should have, and that often works to a homeowner's disadvantage if you're already in the unlucky position of having a dispute with your builder.