1. The parties shall make all reasonable efforts to resolve their dispute by amicable negotiations and agree to provide, without prejudice, open and timely disclosure of relevant facts, information, and documents to facilitate these negotiations.

  2. Should the Contractor disagree with the opinion given in paragraph GC 3.21.03 (v), with respect to any part of the claim, the Engineer shall enter into negotiations with the Contractor to resolve the matters in dispute. Where a negotiated settlement cannot be reached and it is agreed that payment cannot be made on a Time and Material basis in accordance with clause GC 7.10, Payment for Extra work, the parties shall proceed in accordance with clause GC 3.21.05, Mediation, or subsection GC 3.21.08, Arbitration.

GC 3.21.05 Mediation

  1. If a claim is not resolved satisfactorily through the negotiation stage noted in clause GC 3.21.04, Negotiations, within a period of 30 Days following the opinion given in paragraph GC 3.21.03 (v), and the Contractor wishes to pursue the issue further, the parties may, upon mutual agreement, utilize the services of an independent third party mediator.

  2. The mediator shall be mutually agreed upon by the Owner and Contractor.

  3. The mediator shall be knowledgeable regarding the area of the disputed issue. The mediator shall meet with the parties together or separately, as necessary, to review all aspects of the issue. In a final attempt to assist the parties in resolving the issue themselves prior to proceeding to arbitration the mediator shall provide, without prejudice, a non-binding recommendation for settlement.

  4. The review by the mediator shall be completed within 90 Days following the opinion given in paragraph GC 3.21.03 (v).

  5. Each party is responsible for its own costs related to the use of the third party mediator process. The cost of the third party mediator shall be equally shared by the Owner and Contractor.

GC 3.21.06 Payment

  1. Payment of the claim shall be made no later than 30 Days after the date of resolution of the claim or dispute.

GC 3.21.07 Rights of Both Parties

  1. It is agreed that no action taken under subsection GC 3.21, Claims, Negotiations, Mediation, by either party shall be construed as a renunciation or waiver of any of the rights or recourse available to the parties, provided that the requirements set out in this subsection are fulfilled.