The American Arbitration Association, which is the International Centre for Dispute Resolution, has gone ahead and released a new artificial intelligence tool for construction, the organization went on to announce on November 3, 2025.
The new artificial intelligence tool for construction is going to be limited to two-party and documents-only construction cases, as per the announcement. The AAA has also noted that the human oversight is a major part of the process, right from the two parties who would be involved, who are going to review and also validate the responses by the tool to their submissions to a human arbitrator who is going to check the final product and then issue an award.
The construction industry goes on to demand outcomes that are fast and fair as well as clear, therefore making it an excellent launchpad when it comes to this solution, said the chief operations and revenue officer at AAA-ICDR, Frank Rossi, in the release. He added that they are indeed reshaping the expectations for what is possible when it comes to dispute avoidance as well as resolution.
Once established as well as tested in the construction domain, the AAA-ICDR will then expand this artificial intelligence tool to more industries, case types, and higher-value claims. The group also looks forward to adding more features like cross-border elements and multi-party proceedings, as well as cultural nuances.
The managing partner at law firm Zetlin & De Chiara and also an arbitrator with the AAA-ICDR, Michael Vardaro, told Construction Dive that the tool goes on to represent a major milestone when it comes to arbitration.
According to Vardaro, they have got the guidelines; however, this happens to be the first time that one of the organizations has gone on to come out and say that they are going to embrace this technology, and here is how they are going to do it.
The tool could as well be especially helpful across situations where the two parties require to take a decision fast so as to avoid stymying a project that’s under progress, which apparently indeed is a net benefit for both the groups, said Vardaro. Interestingly, that decision would also be reviewable later on.
It is well to be noted that the AAA-ICDR anticipated 20% to 25% time savings throughout the overall process, confirmed Rossi.
Throughout the construction industry, builders as well as contech firms have gotten engaged in an AI arms race in which the builders must either fight to go ahead and adopt the new tech faster as compared to their competitors or risk getting left behind. However, AI, when it comes to the legal field, has in the past had its share of high-profile snafus along with a growing tide of the so-called AI slop when it comes to court filings, reported The New York Times.
Vardaro went on to advise that it would indeed be a great idea to keep a close watch on the arbitration tool too. Part of that kind of mandated human oversight is to ensure that AI does not miss something so appalling that it goes on to affect the decision on arbitration.
As per Vardaro, broadly speaking, they are at the infancy of this, and who knows where one is going to be even only a year from now.