Using an arbitrator to resolve disputes

Wednesday, July 30, 2008

If you live in a jurisdiction that allows for arbitrators to resolve conflicts between roommates or tenants and landlords, you likely don’t know what to expect from your hearing. Here is a quick guide to walk you though a typical arbitration hearing.

Most arbitration hearings aren’t as formal as a court proceeding, even though the ruling of the arbitrator is legally binding. You don’t have to wear a tie or a formal dress, but it is a good idea to do so. Once the hearing begins, both sides will have a chance to go over their situation with the arbitrator and interrupting the other person is considered rude and inappropriate. You won’t be allowed to cross examine each other, but you are allowed to bring witnesses to back up your story and if you have document evidence that backs up your claims, you are encouraged to bring as much as you have. In some cases, the arbitrator will take a short recess and then come back with a ruling, while other jurisdictions won’t render a ruling for days or even weeks. In almost all cases, there are no appeals and the ruling of the arbitrator is final.

So, should you look into using an arbitrator? If you have a financial dispute, it can be worth it. There is a cost to use an arbitrator in most jurisdictions, but it is usually $50 or less. It often costs significantly less than small claims court and can get a similar result.



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