Legal Question in Construction Law in Colorado

Re: DeNovo Litigation & Merit Binding Arbitration

Morning,

I assume you mean the CDOT selection form 1378. As a general matter, if you select merit binding arbitration that means any disputes shall be shall be governed by the modified version of AAA�s Construction Industry Arbitration Rules.

If you select de novo litigation, that means your dispute will proceed in district court under the Colorado Rules of Civil Procedure.

Now, in theory, the arbitration could be cheaper, but that really depends on the arbitrator and other issues. Also AAA fees and the arbitrator fees are ones that you will not pay in district court litigation. You may also be required to exhaust administrative remedies prior to either dispute resolution form.

Ultimately, it is difficult if not impossible to advise you on this matter without further understanding of your project, your business, the possible risks and review of the contract. Contact an attorney for review and assistance.