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Arbitration program processes contractor disputes quickly, MCC reports 41‑day turnaround
Summary
Mediation and arbitration provider MCC told CSLB the board’s arbitration program averaged a 41‑day turnaround from filing to award last year, with about 410 awards totaling roughly $5 million; provider urged expanding voluntary arbitration limits and continued training for arbitrators.
Karen, president of MCC Arbitration Mediation and Affiliation Center (the CSLB arbitration provider), told the enforcement committee that the board’s arbitration program issued about 410 awards in 2024 totaling nearly $5 million. She said the program can accept electronic filings and conduct hearings remotely, which MCC credits for the program’s speed.
Karen said the program’s average turnaround is 41 days from receipt of a case to the award. “One of the stats we are most proud of is that there is currently a 41 day turnaround, from when we get the case in our doors... and when we turn around an award,” she told the committee.
MCC staff said arbitration is binding and private, can be less costly than court and often resolves disputes involving workmanship and unpaid balances. The provider said it seeks arbitrators with both legal and trade expertise and that participant evaluations average about 4.8 out of 5 on hearing quality.
Karen recommended increasing the voluntary arbitration award limit from $50,000 to a higher threshold — she suggested $100,000 — to make the program useful in higher‑value disputes. The provider also asked for continued training cooperation between MCC and CSLB so staff and arbitrators remain aligned on process and evidentiary expectations.
Board members and public commenters welcomed the program’s speed and suggested expanded outreach so homeowners and contractors are aware arbitration is an option before escalating to litigation.
