Arbitration utilizes a neutral third party to hear a dispute between parties. The hearing is informal and the parties mutually select the arbitrator. The arbitrator is retained to decide how to settle the dispute and the decision is final and binding on the parties. Arbitration is more cost efficient and quicker than litigation but it is the arbitrator, not the parties, who renders the terms and conditions of the dispute resolution.
Although arbitration is sometimes conducted with one arbitrator, the most common procedure is for each side to select an arbitrator. Then, those two arbitrators select a third arbitrator, at which point the dispute is presented to the three chosen arbitrators. Decisions are made by majority vote.
Since Arbitration is the private, judicial determination of a dispute, by an independent third party, an arbitration hearing may involve the use of an individual arbitrator or a tribunal. A tribunal may consist of any number of arbitrators though some legal systems insist on an odd number for obvious reasons of wishing to avoid a tie. One and three are the most common numbers of arbitrators. The disputing parties hand over their power to decide the dispute to the arbitrator(s). Arbitration is an alternative to court action (litigation), and generally, just as final and binding (unlike mediation, negotiation and conciliation which are non-binding).
Classifications of Arbitration 1. Commercial Arbitration is the most common of disputes. Just as it sounds, it is a dispute between two commercial enterprises. 2. Consumer Arbitration surrounds disputes between a consumer and a supplier of goods or services. 3. Labor Arbitration involves the settlement of employment related disputes. Advantages of Arbitration like Choice of Decision Maker, Efficiency, Privacy, Convenience, Flexibility, Finality and limited Appeal make it the most preferred choice of dispute resolution in commercial matters. We have a specialized Arbitration wing, created to bring down the time period for dispute resolution, and offer a procedurally simple and time-bound arbitration, in adherence with the strictest rules of transparency and accountability. The primary aim is to resolve commercial disputes in accordance with strict procedural guidelines, time-frames and in an economical manner. We have a panel of arbitrators and legal experts, accredited to some of the world’s biggest names in International and Domestic Commercial Arbitration.