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Arbitration is
a private judicial process which involves an independent person,
called an arbitrator, in hearing and deciding a dispute. The arbitrator
is agreed upon by the parties, or
may be appointed by the court if they cannot agree. The parties hand over
power to decide their dispute to the arbitrator. Arbitration is an alternative
to court action (litigation), and generally just as final and binding.
As a Judge, David L. Hodges has presided over hundreds of non-jury trials
during the last twenty years. There is no substitute for experience when
it comes
to knowing
how to conduct a trial efficiently, to get to the heart of the controversy,
and to rule promptly.
What are the advantages of arbitration?
The advantages which arbitration has over court action are:
- Privacy - An arbitration hearing is a private meeting - the media and
members of the public are not able to attend. The final decision is not
published or directly available to others.
- Informality - The adversary elements of an open court hearing are far
less evident in the less formal atmosphere of an arbitration. As a consequence,
arbitration produces fewer barriers to the resumption of good working
relationships.
- Choice of decision maker - For example, the parties can choose a technical
person as arbitrator, so the meaning of technical evidence will be readily
understood.
- Convenience - The hearings are arranged at times and places to suit
the parties, witnesses, and arbitrator.
- Flexibility - The procedures can be segmented, streamlined or simplified,
according to the circumstances.
- Efficiency - An arbitration can normally be heard sooner than it takes
to get court proceedings heard. Preparation should be less onerous, and
the hearing should be shorter.
- Finality - There is generally no right of appeal, although the court
has limited powers to set aside or remit an award.
A perceived disadvantage is that one or both of the parties to an arbitration
will pay for the arbitrator’s services, whereas the court system
provides a result without charging a fee. However, this should be more
than offset by the potential for increased efficiency in arbitration
to reduce the other costs involved.
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