What Is Arbitration?

In Arbitration, the parties have some control over the process, but a neutral, third-party, known as a “Arbitrator,” decides the final outcome.

An Arbitrator works with people who are in conflict to help them resolve their legal disputes. The Arbitrator acts like a private judge and their role is to listen carefully to all sides, consider all the evidence that is presented, and then determine what has transpired between the parties, (“the facts of the case”).

Once the Arbitrator determines the facts of the case, the Arbitrator will then apply the law, (or some other dispute resolution mechanism chosen by the parties), to those facts in order to render a final decision that will be imposed upon the parties, and fully resolve their dispute. Most Arbitration decisions are both legally binding and non-appealable.

Arbitration can either occur with the Arbitrator and the parties on their own, (without lawyers), or with a lawyer present for each party in order to assist them with the process of providing their own testimony, cross-examining witnesses, and presenting evidence, as the Arbitration unfolds.

Although all of our Arbitrators are also legally trained as lawyers, in order for the process to remain fair and neutral, they must remain completely neutral and unbiased towards all of the parties involved.

What Exactly Does An Arbitrator Do?

An Arbitrator is “an independent person officially appointed to settle a dispute.”

Much like a judge in a courtroom, an Arbitrator will decide the final outcome of a dispute.  However, unlike a courtroom judge, the parties in an Arbitration maintain a significant amount of control over both the process by which evidence will be heard, and the metrics used by the Arbitrator when making his/her final decision.

In addition to this, unlike a courtroom that is completely open to the public, the Arbitration process is completely private and confidential.  This can be a significant advantage to parties who wish to keep their private matters out of the public view.

Who Is Arbitration Best Suited For?

Arbitration is appropriate for anyone who wishes to have their matters decided quickly and efficiently, in a forum that is completely private and confidential, and where they can maintain some control over the process that is involved in resolving their dispute. Cost is also a major factor when choosing Arbitration, due to the fact that Arbitration tends to be significantly less expensive, overall, than courtroom litigation.

Some of the areas that are particularly well suited for Arbitration are:

Is Arbitration Cost Effective?

Arbitration is extremely cost effective, when compared to courtroom litigation.

If you are attending Arbitration without a lawyer, (the most cost effective option), then you and the other people involved normally share the cost between one another. Splitting the arbitration expenses between the parties already cuts the overall cost of settlement in half, (at least!), when compared to each party having their very own lawyer.

Even if you choose to have a lawyer present, Arbitration is still a much less expensive option than courtroom litigation. This is because Arbitration is much faster, and much more efficient, overall.

Courtroom trials are extremely slow and time consuming.

Most trials are scheduled to take place over several weeks or even months. For each lawyer, a full day of a trial, including all the prep time that occurs before and after each day, plus morning, afternoon, and lunchtime breaks, normally lasts about 8 to 10 hours – and your lawyer will normally bill you their hourly rate for those full 8 to 10 hours. However, only four of those 8 to 10 hours are actually spent presenting your case to the Judge.

Arbitration, on the other hand, can often resolve the same types of issues in just a day or two, for what would otherwise take weeks, months, or even years(!!) in court.

Ask us how we can help you resolve your disputes, with a free, no-obligation, initial consultation.