CONSTRUCTION MEDIATION: GLOBAL EXPERIENCE FOR ALTERNATIVE DISPUTE RESOLUTION IN THE MODERNISATION OF MULTI-APARTMENT RESIDENTIAL BUILDINGS

Modernisation of multi-apartment buildings is one of the steps towards achieving the goals of sustainable urban development. Modernisation of buildings and construction in general causes many disputes between the condominium, co-owners and other stakeholders, especially approval and financial issues. Such disputes are usually interpersonal rather than legal or legislative. In this regard, litigation is impractical or not at all within the competence of the courts. Modernisation, as an architectural, engineering, constructing and the process of urban development in general, is not an obligation and is a manifestation of desire of communities and a goal of the country, therefore the dispute resolution on this issue requires a special and innovative approach. Mediation is almost the only one way to resolve disputes between condominiums and co-owners on issues of modernisation and further operation and maintenance. If for many countries in the world construction mediation, although a relatively new concept, is already widely used in practice, then in Ukraine this method of dispute resolution is little known and not widespread. This method has proven its effectiveness in practice, because it is quick and simple in contrast to the litigation, which can suspend or delay construction for a very long time. Mediation helps parties reach agreement on any issue. Modernisation is an important and necessary step, at the same time controversial and difficult, due to the need for co-financing of the project by the co-owners of the house. Disputes between the parties are not only obstacles for project implementation and development but also endangers the achievement of achieving the goals of urban sustainable development. The larger project the more controversial issues arise that need to be resolved: not only financial, coordination and legislation but also compliance of norms and rules of non-government organisations or foundations that finance the program. Implementation of global mediation experience in modernisation and urban planning will help to more effectively and easily develop construction processes and dispute resolution between stakeholders of the project. The research and implementation of this issue is an important step on the way to improving the processes of modernisation of multi-apartment building, construction and urban planning.