Ministry of Attorney General
Ministry of Municipal Affairs
99-59
For Immediate Release
Date: May 31, 1999

Province Announces Notice to Mediate Process
for Residential Construction Disputes

VICTORIA – New regulations introducing a Notice to Mediate process for residential construction disputes in the Supreme Court were announced today by Attorney General Ujjal Dosanjh and Municipal Affairs Minister Jenny Kwan.

The new process will allow any party involved in a residential construction dispute to compel other parties to participate in a pre-mediation organizational conference and in a mediation session.

"The use of mediation has grown tremendously in recent years as an effective way to resolve disputes," Dosanjh said. "This process is intended to help homeowners, builders and others involved in residential construction reach agreements on repairs to leaky buildings as well as other types of residential construction disputes."

In July, 1998, the Homeowner Protection Act was introduced to implement key recommendations of the Barrett Commission of Inquiry into the Quality of Condominium Construction in BC.

"The Barrett Commission was told about expensive and lengthy litigation between homeowners and builders trying to resolve leaky condo disputes," said Kwan. "By introducing the Notice to Mediate regulation we have given homeowners and builders an effective and less costly alternative to reach agreement on their disputes."

"If there ever was an area that could benefit from alternative dispute resolution, it is residential construction," said Nona Saunders, President of the Condominium Home Owners Association. "Homeowners with leaky buildings who are faced with expensive repair bills don’t need expensive legal bills too. The use of professional mediators will bring parties to the table and, we hope, lead to quicker resolutions of disputes at lower costs."

The Notice to Mediate process has been used more than 1,000 times since it was introduced in motor vehicle actions a year ago. So far, all issues were resolved in 72 per cent of the actions mediated. An additional 10 per cent were settled after delivery of a Notice, but before the mediation session. Dosanjh also announced that use of the Notice to Mediate process for motor vehicle actions is being expanded.

For more information about the Notice to Mediate process, consumers are invited to contact the Dispute Resolution Office of the Ministry of the Attorney General at (250) 387-6888 in Victoria or the Homeowner Protection Office at 1-800-407-7757.

- 30 -

Backgrounder attached:

Media Contacts:

Kate Thompson
Ministry of Attorney General
(250) 387-5008 (Victoria)
http://www.ag.gov.bc.ca

Erik Kaye
Ministry of Municipal Affairs
(250) 387-4089 (Victoria)
http://www.marh.gov.bc.ca

Jan Calkins
Homeowner Protection Office
(604) 646-7053
http://www.hpo.bc.ca

Ministry of Attorney General
Ministry of Municipal Affairs

Backgrounder

Notice to Mediate Process

Under the Notice to Mediate process, parties are required to attend a mediation session, but they are not required to settle the dispute. All parties to the mediation pay equally for the mediation unless they agree to make other arrangements.

The Ministry of the Attorney General’s Dispute Resolution Office, the Ministry of Municipal Affairs and the Homeowner Protection Office have worked closely to develop the new regulation and have consulted widely. The construction industry, homeowners, home warranty providers and members of the B.C. Branch of the Canadian Bar Association have all made comments on the draft regulation. There is widespread support for the use of a Notice to Mediate process for residential construction disputes.

Qualified mediators are available province-wide through the B.C. Mediator Roster or parties can obtain a mediator through other sources. The B.C. Mediator Roster can provide access to trained and experienced mediators who have agreed to abide by an established code of conduct. Training programs for those mediating residential construction disputes have already been offered by the Continuing Legal Education Society of B.C.

The Notice to Mediate process for motor vehicle actions is also being expanded. In all motor vehicle actions in the Victoria, Duncan, Nanaimo, Kelowna, Vancouver and New Westminster court registries, parties can use the process, regardless of when the actions were commenced. In actions commenced anywhere else in the province after Jan. 1, 1996, the parties can use the Notice to Mediate process.

Last Updated: November 25, 2003