Arbitration Law

Arbitration is a form of alternative dispute resolution. It is different from mediation, where a neutral person assists in communication between disputing parties to help them in reaching a mutually acceptable agreement. It is the legal alternative to litigation (any form of legal action brought before a court). Arbitration is used as a form of dispute settlement in several areas where negotiations and resolving disputes are necessary.?

Labor contract arbitration is an example of how labor unions call for arbitration as an alternative to strikes to resolve disputes over workers' disagreements with their companies. Disputes over hourly wages, benefits, and other worker rights are often resolved through arbitration. This method of coming to terms between labor and employer has been used over the years by such organization as the United Steelworkers of America, the Amalgamated Clothing Workers of America, and Major League Baseball.?

In the Securities industry, securities arbitration is the method of resolving disputes between brokerage firms, as well as between firms and their customers. Because arbitration is usually less expensive, less time consuming, and less formal than litigation, it is also the preferred method for resolving conflicts whenever possible.

Once all parties involved have been informed of the conflict involving them, an agreement can be made to resolve it through arbitration. Parties must decide whether the arbitration will be binding or non-binding. Next, the arbitrator or arbitrators are chosen from a list of available arbitrators. Arbitrators work for a fee, which the parties must share. A hearing time is then set and conducted. It is at this hearing that the parties present their respective sides of the issue. After all the evidence has been submitted, the arbitrator considers all the evidence, carefully reviews it, and then makes an arbitrators award based upon these facts. After this issue, the prevailing party may have it issued as an enforceable order of the Court.

Unless the rules of the arbitration state otherwise, an award given in arbitration is final, so technically, there is no appeals process. The losing party may, however, oppose the winners petition for confirmation and to bring an action to vacate. It is, however, unusual for courts to vacate arbitration awards. Arbitration can have its drawbacks, and there are no guarantees that it will be an absolutely fair process. In a binding arbitration, you are pretty much stuck with the decision of the arbitrator, so do decide carefully before agreeing to this process.

Other examples of the use of the arbitration process include the following:

Auto Insurer disputes
Construction Contracts
Employment Contracts
Health Insurance Claims
Pre-Printed Contracts (such as new car contracts)
Enforcement of Contracts
Other Contracts (as in the following example)

The most publicized examples of the above might be in a case where a professional athlete requests arbitration to settle an outstanding contract dispute with his teams management. The pro wants more money, the team doesn't want to pay it, but both parties agree to abide by the arbitrators decision. The ruling is binding, and once the decision is made public we really don't hear any more about it until the contract comes up for renewal the next time.

Arbitration attorneys specialize in private dispute resolution rather than in costly court proceedings. This form of settlement between parties is less formal, is often much more cost effective, and settlements between parties can often be carried out in a more timely fashion. Arbitrations and mediations are commonly carried out by Securities lawyers, Corporate and Business lawyers, Investment lawyers, and lawyers specializing in real estate law, to name a few.?

We hope you have found this information helpful. We have provided the following link in addition to the information here.

http://law.freeadvice.com/litigation/arbitration/

http://www.lawyers.com/lawyers/A~1001557~GOO/ARBITRATION+AND+MEDIATION.html