Simplified Arbitration Service - Rural Rent Review Disputes

RICS has developed a low-cost, quick and easy arbitration procedure to help rural landlords and tenants resolve disputes.

The Agriculture Act 2020 allows tenants to request landlord consent to vary the terms of their tenancy to (i) enable them to access sources of funding and/or (ii) to comply with a statutory duty. The Act also provides a mechanism for resolving disputes that may arise following the making of such a request.

If a request leads to disagreement, the Act says that the tenant or landlord can apply for the appointment of a dispute resolver (an arbitrator, mediator or independent expert) to help resolve the dispute.

The RICS Simplified Arbitration Service is a service for rural landlords and tenants who are in dispute following a request made by the tenant under the terms of the Act.

Why use the RICS Simplified Arbitration Service?

The RICS Simplified Arbitration Service is:

• A much more informal and relaxed procedure for dealing with disputes compared to courts and traditional approaches to arbitration. 
• An uncomplicated and straightforward process, which still allows both parties reasonable opportunity to have their say. 
• Speedy and low-priced. The parties will know how long it is going to take to get a decision, and how much they will have to pay.

Application and Fees

Either party can apply to RICS to appoint an arbitrator for them.

There is an application fee of £195 for the appointment of an arbitrator. This is payable to RICS by either party.

Both parties must agree to use the RICS Simplified Arbitration Service (SAS).

RICS arbitrators will use a fixed timetable and costs regime, which encourages them to reach a decision within 28 days, at a maximum cost to each party of £2,000.

As long as parties abide by the SAS procedural rules (see Simplified Arbitration Service Information Guide), the arbitrator will only charge for 3 days’ work at £1,000 (plus vat) per day. If the parties choose to have a heading/meeting, the arbitrator may charge an additional fee up to £1,000.

These costs will be shared equally by the parties, and each party will pay their own costs regardless of the outcome.