NZ Building Answers

What is adjudication under the Construction Contracts Act?

Updated May 2026

Short answer

Adjudication under the Construction Contracts Act 2002 is a fast, binding dispute-resolution process specifically for construction contracts. Either party can refer the dispute to an adjudicator. The adjudicator gives a decision within ~28 working days (extendable). The decision is binding and enforceable through the courts — though it can be challenged for jurisdictional fraud.

Source: Construction Contracts Act 2002. Updated May 2026.

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Key facts

  • Available to either party under any construction contract
  • No cap — works for any-size contract
  • Decision usually within ~28 working days
  • Binding and enforceable like a court judgment
  • Fees paid by the parties — adjudicator allocates costs
  • Doesn't require legal representation, but most parties get advice

When to use adjudication vs Disputes Tribunal

Disputes Tribunal: money under $60k, no lawyers, simple.

CCA adjudication: any size, binding, often used for ongoing-build disputes (a payment claim is in dispute and the builder is threatening to stop). Faster than court but more formal than the Tribunal.

Many homeowners default to the Tribunal because it's free; adjudication is right for higher-stakes or ongoing-build situations.

How to start

Serve a 'Notice of Adjudication' on the other party. Within 5 working days, the adjudicator is appointed (by the Building Disputes Tribunal or another nominating body). Both sides submit, the adjudicator decides.

The biggest practical advantage: the adjudicator's decision is enforceable immediately. The other party can challenge it later but they have to pay first.

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Related questions

Sources: Construction Contracts Act 2002; Building Disputes Tribunal — buildingdisputestribunal.co.nz. General information for NZ homeowners, not legal advice. Building rules change and vary by council, so confirm critical details on the official source before acting. Last updated 2026-05.