What Is Arbitration?
Arbitration is a well-established method of alternative dispute resolution (ADR). Along with other forms of ADR, arbitration is commonly used to settle legal disputes out of court.
An arbitral hearing may include a single arbitrator or a tribunal (multiple arbitrators), usually an odd number. At the hearing, each party will be given the opportunity to present their case to the arbitrator (individual third party). After listening to both sides, the arbitrator will then make their ruling. Unlike mediation, arbitration rulings are generally just as binding and final as court rulings.
Can Anyone Choose To Arbitrate?
Arbitration is usually only an option if both parties agree to it. This “agreement” to arbitrate can be made in the present or it may be included as a clause in a written contract.
What Are The Benefits Of Arbitration?
There are many advantages to using arbitration as a means of dispute resolution. Arbitration is an option that is commonly preferred over going to trial because it allows for a more streamlined, efficient claims process.
Additional benefits include:
- Fairness: The disputing parties usually agree on the arbitrator (a neutral third party) to ensure an impartial and fair decision is reached.
- Privacy: Arbitral hearings are held in private usually at an arbitrator’s office or an attorney’s office and remain completely confidential, unlike trial proceedings, which are open to the public.
- Flexibility: Arbitral hearings can be scheduled at the convenience of both parties.
- Cost: Arbitration is usually a more cost-conscious option than litigation.
- Speed: Disputes are often settled much quicker with arbitration because the process is more simplified.
At The Law Offices of Peter F. Ferracuti, P.C., we provide a comfortable, supportive environment for individuals working through conflict throughout Illinois. We are knowledgeable, objective and discreet.