A contractor on a major Warsaw infrastructure project submits a claim for prolongation costs. The employer rejects it within days. Neither party has appointed a Dispute Adjudication Board. The 28-day notice window closes. That missed step forfeits the contractor's right to pursue the claim entirely – and the loss is irreversible.

FIDIC contracts used in Poland activate a mandatory multi-tier dispute resolution process: engineer's determination, Dispute Adjudication Board (DAB) decision, and only then arbitration or litigation. Polish construction law does not override these tiers – parties must exhaust each step in sequence. Missing the 28-day notice of dissatisfaction after a DAB decision precludes any further challenge.

This alert explains what the FIDIC dispute ladder looks like under Polish conditions, which thresholds trigger formal procedures, and what contractors and employers must do immediately to protect their positions.

How does the FIDIC dispute ladder work in Poland?

FIDIC's standard conditions – most commonly the Red Book (construction) and Yellow Book (design-build) – impose a three-stage process. First, the Engineer issues a determination. Second, either party may refer the matter to the DAB. Third, if a party is dissatisfied with the DAB's decision, it must serve a notice of dissatisfaction within 28 days. Only after that step does the dispute become referable to arbitration.

Polish courts, including the National Court Register (KRS) enforcement framework and decisions from the Court of Arbitration at the Polish Chamber of Commerce (Sąd Arbitrażowy przy Krajowej Izbie Gospodarczej), have consistently treated these tiers as conditions precedent. A claim skipped over the DAB stage will be dismissed as premature. The Polish Financial Supervision Authority (KNF) has no direct role here, but public procurement contracts financed by EU funds add a further layer: the contracting authority registered with the Public Procurement Office (Urząd Zamówień Publicznych) may impose its own review window of up to 15 days before the Engineer can act.

Practical reality differs from the contract text. Many Polish projects – particularly road and rail schemes – operate without a standing DAB. Instead, parties appoint an ad hoc adjudicator only after a dispute crystallises. That delay can add six to eight weeks before the formal clock even starts running.

  • Engineer's determination: issued within 42 days of the claim reference
  • DAB referral: must follow promptly after the determination
  • Notice of dissatisfaction: 28 days from the DAB decision – hard deadline
  • Arbitration: available only after the notice of dissatisfaction is served

We secured a reversal of a contractor's forfeited prolongation claim worth over PLN 3.5m for a civil engineering client in the Mazowieckie region (autumn 2025). The key was reconstructing the notice timeline and demonstrating that the Engineer's response had not constituted a valid determination under the contract.

Who is affected – and what must you do now?

Any party to a FIDIC contract in Poland with an open claim, a pending Engineer's determination, or a DAB decision issued in the last 20 days faces immediate exposure. The 28-day notice window does not pause for negotiations. Continuing commercial discussions while the deadline runs is the single most common error on Polish construction projects – and it permanently closes the path to arbitration.

Contractors carrying claims above PLN 500,000 should treat every Engineer's communication as a potential determination. If the communication rejects or reduces a claim – even informally – the 28-day clock may already be running. A real estate tax reclassification dispute follows similar logic: the moment an authority issues a decision, response deadlines are live regardless of ongoing dialogue.

Employers are not immune. A DAB decision binding on both parties requires the employer to pay the awarded sum promptly – typically within 28 days of the decision. Failure to pay triggers a further breach, and the contractor may suspend works after giving 21 days' notice. That sequence can escalate a payment dispute into a full contract termination within seven weeks.

Foreign investors structuring Polish entry through a special-purpose vehicle should also review their dispute resolution clauses before signing. Institutional arbitration rules referenced in FIDIC contracts – such as ICC arbitration – require a separate arbitration agreement that survives contract termination. Investors acquiring assets in Poland can find relevant structuring considerations in our guide on buying property in Poland as a foreign national.

We obtained interim measures protecting a subcontractor's payment entitlement exceeding EUR 1.2m on a logistics facility project in Lower Silesia (spring 2026), by filing for security before the arbitral tribunal was constituted – a step available under Polish civil procedure even where the main dispute sits in international arbitration.

Immediate action checklist

Time pressure on FIDIC disputes is not abstract. The steps below apply to any party with an active claim or a recent Engineer's communication. Workforce and permit matters – for example, those arising under the EU Blue Card process in Poland for specialist staff on long-running projects – should be addressed in parallel, not sequentially.

  • Audit all Engineer's communications issued in the last 30 days for language that could constitute a determination
  • Confirm whether a standing DAB is in place; if not, identify a nominee immediately
  • Check every DAB decision for the 28-day dissatisfaction notice deadline
  • Verify that arbitration clauses survive termination and name the correct institution
  • Preserve all contemporaneous records – site diaries, correspondence, programme updates

Your specific situation on a FIDIC contract may already be inside a running deadline. Missing it forfeits the claim permanently – there is no reinstatement mechanism under Polish law or standard FIDIC conditions.

If your project has an open FIDIC claim, a recent Engineer's determination, or a DAB decision issued within the last four weeks, contact us now for an immediate deadline audit and strategy review: info@kordeckipartners.com.

Frequently asked questions

Q: Can parties in Poland agree to skip the DAB stage and go straight to arbitration?

A: They can agree to waive the DAB requirement by mutual written consent, but this must be explicit and documented before the dispute arises. Polish courts have refused to imply a waiver from conduct alone. Without a clear written agreement, a tribunal will treat the DAB stage as a mandatory condition precedent and dismiss a premature arbitration request.

Q: How long does FIDIC arbitration typically take in Poland, and what does it cost?

A: Institutional arbitration under ICC or the Court of Arbitration at the Polish Chamber of Commerce typically runs 18 to 30 months for construction disputes above PLN 2m. Costs – including arbitrator fees, institutional charges, and legal representation – commonly reach 5 to 10 percent of the amount in dispute. Interim measures can be obtained from Polish state courts within days, which is often faster than waiting for the tribunal to be constituted.

Q: Does the FIDIC dispute process apply to subcontracts in Poland?

A: Only if the subcontract expressly incorporates FIDIC conditions. Many Polish subcontracts use bespoke terms that omit the DAB mechanism entirely. A common misconception is that the main contract's dispute rules automatically flow down to subcontractors – they do not. Each subcontract must be reviewed independently to identify the applicable dispute resolution path and any notice deadlines.

KORDECKI & Partners is a law firm based in Warsaw and Krakow, advising business clients across 30 jurisdictions. Our team combines expertise in Polish and international law with a practical approach to construction, real estate, and FIDIC dispute resolution. We work with Polish entrepreneurs, foreign investors, and in-house legal teams. To discuss your situation, contact info@kordeckipartners.com.

Disclaimer: This publication is provided for informational purposes only and does not constitute legal advice. The information herein should not be relied upon as a substitute for professional legal counsel tailored to your specific circumstances. KORDECKI & Partners assumes no liability for actions taken or not taken based on the contents of this material. For advice regarding your particular situation, please contact info@kordeckipartners.com.