ARBITRATION

Arbitration comes under the umbrella of Alternative Dispute Resolution (ADR) which resolves disputes outside the judiciary courts. The dispute will be decided by one or more persons (Arbitrators), which renders the 'Arbitration Award.'

Arbitration is different from Mediation. In mediation (unlike arbitration), parties are the architect of their own solution.

It is an Alternative Dispute Resolution method where the parties in dispute agree to have their case heard by a qualified arbitrator, arbitrators, “arbiters” or “arbitral tribunal.”

Arbitration is used because it is often much less expensive than litigation due to its less stringent procedural requirements.

Under the Federal Arbitration Act, decisions reached through arbitration are binding just like a court case is, and pursuing a claim through arbitration precludes parties from also raising it in the traditional court system.