Few things strain a project like a certified payment that never arrives. The work is complete, and the invoices are approved, yet the money stays out of reach. Court litigation can take years, so many contractors, subcontractors and suppliers turn to arbitration, where a specialist decides the dispute and the award can be enforced.
Why Arbitration Suits Payment Disputes
Arbitration is the most widely used method of resolving construction disputes. Payment claims are document-heavy and technical, involving pay applications, variations, delay records and layers of subcontracts. A construction dispute arbitrator understands how a project’s paper trail becomes a claim for money.
Enforcement matters just as much. On international projects, an award can be enforced in many countries under the New York Convention, to which more than 170 states are party.
Protect Your Position First
Before any hearing, check the contract and the statutes that apply to it. Notice provisions and limitation periods can defeat an otherwise strong claim.
On US federal projects, liens cannot attach to government property, so the payment bond is the route to recovery. Under the Miller Act, suit may be filed no earlier than 90 days and no later than one year after the last work or materials were supplied. Second-tier subcontractors and suppliers must also give the prime contractor written notice within 90 days. State lien and prompt-payment rules differ, so confirm your deadlines early.
Then assemble the record: pay applications, change orders, correspondence, daily logs and certificates. In a payment claim, the contemporaneous record usually decides the case.
How the Arbitrator Gets You Paid
Once a claim is filed under the contract’s arbitration clause, the process is more structured and usually faster than court. Institutional rules matter here. The American Arbitration Association updated its Construction Industry Arbitration Rules effective 1 March 2024, the first revision since 2015. The threshold for a three-arbitrator panel rose to $3,000,000. Fast Track procedures apply to two-party cases where no claim or counterclaim exceeds $150,000. Confidentiality is now the default.
A skilled arbitrator narrows the issues, manages the timetable firmly, and issues a reasoned, enforceable award. In the United States, an award can be confirmed in court under the Federal Arbitration Act, generally within one year of the award. Once confirmed, it can be enforced like a judgment.
When the Money Is Stuck Elsewhere in the Chain
Non-payment is often a symptom of something wider, and the arbitrator you choose should be comfortable with that.
- Energy and power projects. Power plants, LNG terminals and renewable developments run on long, complex EPC contracts. Payment disputes there turn on variations, delay and completion certificates, which an energy dispute arbitrator handles routinely.
- Consortia. Large projects are often built by consortia, and a partner’s failure to fund can leave the contractor unpaid. A joint venture dispute arbitrator is suited to disputes over contributions, control and exit.
- Government employers. When a state or state entity refuses to pay, immunity, sovereign conduct and treaty protections can all arise. An investment treaty dispute arbitrator is essential here, because a contractor’s claim may also carry treaty implications.
Why an English Arbitrator in the USA Can Matter
Many cross-border construction contracts use English-law firms such as JCT, NEC and FIDIC or choose London as the seat. Parties in these disputes benefit from an arbitrator fluent in both English and American practice.
An English arbitrator in USA who is also qualified in New York and Washington, D.C., removes the need for translation between legal cultures. That is the profile of The International Arbitrator, a Solicitor of England and Wales and a member of the Chartered Institute of Arbitrators. He has acted as counsel in a multi-billion-dollar ICC construction arbitration and has experience across ICC, ICDR, UNCITRAL and ICSID proceedings.
The English framework has also been modernized. The substantive provisions of the Arbitration Act 2025 came into force on 1 August 2025 and apply to arbitrations commenced on or after that date. The Act gives arbitrators a default power of summary disposal for issues with no real prospect of success. It also makes the law of the seat govern the arbitration agreement unless the parties expressly agree otherwise. For a contractor chasing payment, summary disposal can shorten the road to an award.
Getting Paid Starts with the Right Decision-Maker
An unpaid invoice is a legal claim, and it can be recovered through the right process. Act within your contractual and statutory deadlines, build a clear record and choose an arbitrator with the sector knowledge and cross-border credentials the dispute needs.
