Advantages of Arbitration Over Traditional Litigation

Arbitration for Business Disputes

If your business has a legal dispute with another party, you may be wondering if arbitration is a good idea. Assuming it’s an option, you should explore the advantages this alternative dispute resolution method offers. The New York business lawyers of Rosenbaum & Taylor are here to advise you on the benefits of arbitration.

Our law firm can represent you during arbitration just as we can represent you in litigation. Here, we take a closer look at this unique approach to resolving business disagreements.

What Is Arbitration?

Arbitration is a form of alternative dispute resolution, or ADR, that can settle legal matters outside of court. It occurs when the parties to a dispute agree to allow an arbitrator to hear and decide the issue. Unlike mediation, in which the mediator cannot make a decision for the parties, the arbitrator can decide the outcome.

Arbitration may be binding or not. A binding decision is legally enforceable by the court and only appealable in very narrow cases. In non-binding arbitration, the arbitrator’s decision is only final if both parties accept it.

What Are Some Advantages of Arbitration?

To better understand how the arbitration process works, consider a few potential advantages versus litigation.


Arbitration generally saves the parties substantial time, for several reasons. First, the rules of evidence are often relaxed. Also, the parties don’t have to worry about getting their case scheduled on a crowded court docket. Finally, when deciding the case, the arbitrator may not have to spend time writing out a detailed order. This is known as a bare-bones award.

Subject-Matter Expertise

Because the parties choose their arbitrator, they may select someone who understands the specific issues involved in the dispute. For instance, if your case concerns intellectual property rights, you can use an arbitrator with experience in this area. Conversely, in court, judges and juries may have to spend considerable time being educated on such matters by expert witnesses.

Lower Legal Fees

Since arbitration generally takes less time, this usually translates to lower legal fees. If a case is litigated in court, there may be all manner of procedural steps and delays. There are pleadings to file, motions to file and be heard, and discovery to conduct. Your New York business law attorney can explain more about possible cost savings in your legal matter.

Can an Attorney Represent My Business During Arbitration?

You can, and should, have a New York business law attorney represent your organization during arbitration.

An attorney will not only understand the nature of the legal dispute but will be aware of how arbitration works. It may also be possible to negotiate a settlement with the opposing party during arbitration. Finally, if grounds to appeal exist or the arbitrator’s decision is non-binding, your lawyer can advise what to do next.

Have Questions About Arbitration? We Have Answers

Arbitration is not available in every New York business legal dispute. But where it is an option, you and your business should give it serious consideration. Our firm can provide you with more details about arbitration and represent your interests during this process. We can also explain whether litigation may be a better choice for handling your case.

Either way, you can count on Rosenbaum & Taylor’s seasoned legal counsel. Reach out to us today.

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