ARBITRATION

Dispute Resolution in Relation to Framework Agreements in Zimbabwe

Framework agreements and Call-Off Contracts in Zimbabwe are governed by the Procurement and Disposal of Public Assets Act [Chapter 22:23] and the Public Procurement and Disposal of Public Assets (General) Regulations, 2018.

Generally, all framework agreements in Zimbabwe have a provision which deals with dispute resolution in respect of each particular framework entered into. More often than not in public procurement contracts or Framework Agreements in Zimbabwe, the dispute resolution clause is FAGP 19.1 which generally provides as follows:

“19.1 In the case of a dispute arising out of, or in connection with this Framework Agreement, the Parties shall, in good faith, make every reasonable effort to communicate and cooperate with each other with a view to amicably resolving the dispute.

19.2 Where parties have exhausted the process described in FAGP 19.1, the parties may, by mutual agreement, nominate and refer the dispute to an adjudicator / mediator to assist in the resolution of the dispute. Parties will meet their own costs with such a referral and split the costs of the adjudicator/mediator. In appointing the adjudicator/mediator parties should agree whether or not the adjudicator’s / mediator’s decision is to be final.”

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