Arbitration is a conflict resolution process in which the two sides in disagreement hire a third party to come to a decision. Unless parties agree otherwise, arbitration provides a binding decision—much like a judge’s decision. Read on for answers to some of the most common questions about this process and how it can help you.

Arbitration FAQs Answered

How Is Arbitration Different From Mediation?

In most cases, the arbitration decision made by the third party is binding. Mediation, on the other hand, is a non-binding process in which the third party tries to help the two conflicting sides reach an agreement together. A mediator doesn’t have the authority to make binding decisions; an arbitrator does.

What Are The Pros & Cons?

Arbitration is usually faster, cheaper, and less formal than going to court. It offers a confidential, streamlined means to resolve a dispute. Arbitration can be adapted or customized to the needs and wishes of the parties but has limited grounds for appeal which can be an advantage or disadvantage depending upon your perspective. However, it doesn’t have the flexibility that comes with mediation. In mediation, parties can structure and agree to solutions that they may not be able to obtain in Court or arbitration. Mediation is faster, easier to schedule and parties retain control over the resolutions and outcomes.

Who Handles the Proceedings?

Arbitrations and mediations can be handled by the arbitrator or mediator through direct appointment. However, there are companies such as Dispute Prevention and Resolution, Inc. in Hawaii and the American Arbitration Association nationally which provide a useful resource for finding experienced, skilled arbitrators and mediators. When searching for professionals, consider their area of expertise, as well as their legal training and references from former customers, attorneys and clients.

Is Your Case Suited for Arbitration?

A wide range of cases can be subject to arbitration, from business issues to property disputes and employment discharge arguments. The best way to find out if arbitration might be a helpful solution for your case is to consult a professional. 

Need an arbitration expert in Honolulu, HI? Call Lou Chang. An independent mediator and arbitrator, he serves clients throughout the state, the western U.S., Guam and the Pacific. With more than 40 years of experience, he offers conflict resolution expertise in a wide range of areas, from contract, business, employment, construction, real estate to family business issues. Find out more about his background and services online. For an appointment to discuss your needs, call (808) 384-2468.