Arbitrator

Definition

An arbitrator is a neutral third party who is appointed to resolve disputes outside of the court system, typically in an arbitration setting. The arbitrator listens to both sides, reviews evidence, and makes a binding decision, known as an award, which the parties are required to follow. This process offers a more private and often faster resolution compared to traditional litigation.

5 Must Know Facts For Your Next Test

1. Arbitrators are often chosen based on their expertise in the subject matter of the dispute, which can lead to more informed decisions compared to a court setting.
2. The arbitration process is generally less formal than court proceedings, allowing for more flexible procedures and rules.
3. Arbitrators have the authority to decide on procedural matters and evidence admissibility, shaping how the arbitration unfolds.
4. The decisions made by arbitrators are usually difficult to appeal, making the process quicker and more efficient for resolving disputes.
5. International arbitration has become increasingly popular for resolving cross-border disputes, with established rules and institutions that facilitate these processes.

Review Questions

• How does the role of an arbitrator differ from that of a judge in traditional court proceedings?
  • The role of an arbitrator differs from that of a judge primarily in the context of formality and authority. While judges operate within a strict legal framework with established procedures, arbitrators have more flexibility in determining how to conduct proceedings and make decisions. Arbitrators can tailor the arbitration process to fit the specific needs of the parties involved, allowing for a more customized approach to dispute resolution.
• What factors influence the selection of an arbitrator in international arbitration cases?
  • The selection of an arbitrator in international arbitration cases is influenced by several factors including the arbitrator's expertise in the relevant field, their reputation for impartiality, and their familiarity with the legal systems involved. Additionally, parties may consider language proficiency and cultural understanding when choosing an arbitrator to ensure effective communication and minimize misunderstandings during the arbitration process.
• Evaluate the effectiveness of arbitration as a means of resolving disputes in comparison to traditional litigation.
  • Arbitration is often seen as an effective means of resolving disputes due to its speed, cost-effectiveness, and confidentiality compared to traditional litigation. The streamlined nature of arbitration allows for quicker resolutions, which can save parties time and money. Additionally, because arbitration proceedings are private, sensitive information does not become public record. However, one downside is that the limited grounds for appeal can sometimes leave parties feeling dissatisfied with the outcome if they believe an error was made. Overall, arbitration can be an advantageous alternative for many types of disputes.

Related terms

Arbitration: A method of resolving disputes where an impartial third party, known as an arbitrator, makes a binding decision after hearing arguments and evidence from both sides.

Mediation: A form of alternative dispute resolution where a neutral third party helps the parties reach a mutually acceptable solution, but does not make a binding decision.

Binding Arbitration: A type of arbitration where the parties agree in advance to accept the arbitrator's decision as final and enforceable in a court of law.