What is Arbitration?

Arbitration is one of the two most common methods of Alternative Dispute Resolution (ADR), with Mediation being the other. Like other forms of alternative dispute resolution, the parties involved resolve their dispute outside of the federal and state judicial systems rather than litigating it in court. Arbitration is the process by which an experienced legal professional hears a dispute and makes a ruling concerning the dispute.

Arbitration can also be either binding or non-binding. Binding arbitration is final and generally cannot be appealed. Non-binding arbitration is generally mandated by the courts and can be appealed. Arbitration has long been used in labor, construction, and securities regulation, but is now gaining popularity in other business disputes.

How Does Arbitration Work?

Arbitration involves a situation where all of the disputing parties choose a neutral third-party person (normally a licensed arbitration attorney or a judge) to act as an arbitrator. Each disputant will present his/her case to the arbitrator, who will then negotiate resolutions until an agreement is reached by all disputants. If the disputants cannot agree upon a single arbitrator, all the arbitrators will select yet another arbitrator to make up the arbitration panel. The arbitration panel will then conduct the negotiation and present resolutions until an agreement is reached by all disputants. Title 9 of the U.S. Code establishes Federal law for arbitration, and Thirty-five states have adopted the Uniform Arbitration Act as state law. This means that the arbitrator's or arbitrator panel's decision may be enforceable by both federal and state laws.

How are arbitrators selected?

Under the rules of the American Arbitration Association (AAA) or National Academy of Arbitration (NAA), arbitrators are selected by having each side strike any unacceptable arbitrators from a list of eight to twelve randomly selected names. These names come from a list of approved arbitrators with expertise in various fields. Potential arbitrators who are friends of either party or who are interested parties are ineligible.

Can I hire my own Arbitration Attorney

to act as an arbitrator?

Yes, you can choose to hire your own arbitration attorney from private sources rather than using the services of organizations like the AAA or the NAA. Are you looking to save money and resolve the matters in a fair and equitable manner for all parties involved? Do you need an arbitrator? Use the search form on this page to find a qualified arbitration lawyer to act as your arbitrator.

Frequently Asked Questions

• What Is Arbitration?
  Arbitration is referral of a dispute to one or more impartial persons (non­parties) for final and binding determination (resolution). When the decision is binding, this means that the parties … more
• Why Use Arbitration Instead Of Going To Court ("litigation")?
  The American Bar Association estimates that as many as 100 million Americans are shut out of the legal system due to the high cost of justice. In a 1999 survey, the National Center for State Courts … more
• How Do You Apply For Arbitration?
  Typically, to begin an arbitration, one party completes an arbitration claim form, files it with the arbitration administrator and pays and a filing fee, if any. The other party then responds. The … more
• What Is "Med-Arb" And Why Use It?
  "Med­Arb," short for "mediation­arbitration," is a two­step dispute resolution process that borrows from both methods of dispute resolution. Parties attempt to resolve their dispute in … more
• Are There Different Forms Of Arbitration? What Are The Differences?
  Arbitration can be either binding or non­binding. Binding arbitration is final and generally the outcome cannot be appealed. Non­binding arbitration is generally mandated by the courts and … more