About arbitration

Independent, neutral consumer and commercial arbitration is an alternative legal route to resolving issues between consumers and companies outside the court system.

It is similar to litigation as it is a legal, binding process used to resolve disputes between two or more parties. The key difference is that arbitrators have more room within the law to make decisions that appease both (or all) sides.

Unique advantages over court actions

Those who routinely participate in arbitration believe that the process has a number of advantages over traditional court action. The following are a sample of these benefits:

• Privacy – Due to the confidential nature of arbitration hearings, these meetings are held privately. Members of the public, the media, and individuals not directly involved are not permitted to attend. Also, decisions made will not be directly accessible or published to those outside the process.
• Convenience – The parties control the times and places of the hearings to best suit their own schedules, the arbitrators, and witnesses.
• Choice of Arbitrator – Parties can select their own decision maker.
• Flexibility – The entire process can be segmented, streamlined, or simplified in response to the unique situation and circumstances.
• Efficiency – In general, arbitration can be heard before a traditional court proceeding. The arbitration process is also often shorter in length, preparation, and overall less demanding.
• Finality – Although the court has limited powers in arbitration, there is no right of appeal.

Is arbitration always appropriate?

Companies and/or consumers engaged in conflict often turn to arbitration because they consider it attractive. Choosing this path allows for increased confidentiality, a quicker path to resolution, and lower costs to all parties involved.

Although this method is an appropriate choice for many situations, it may not be right right choice if parties:

• Want the ability to lodge appeals
• Do not want to follow a formal procedure to resolve their dispute
• Want the decision/outcome released publicly