What's a common misconception about the arbitration process that you've encountered, and how do you address it?

A common misconception about arbitration is that it always leads to a quicker resolution than traditional litigation. However, several factors, such as the complexity of the dispute requiring extensive review and procedural issues like disputes over interpretation, can contribute to delays. To address these challenges, parties can take proactive steps, such as carefully drafting arbitration agreements to clarify the scope of issues and establish streamlined procedures. Additionally, selecting arbitrators known for efficiency and establishing clear timelines can help keep the process on track. Open communication and cooperation between parties are also crucial for minimising delays, along with proactive resolution of scheduling conflicts. Overall, while delays in arbitration are definitely possible and do occur, parties can mitigate them to a certain extent by implementing strategic approaches in order to manage the dispute resolution process effectively.

Many lawyers and the general public are completely uninformed about the arbitration process and have no idea of the pros and cons of using arbitration as an alternate dispute resolution process. Arbitration is a process that is required by some laws and in many consumer contracts. However, it can also be agreed to by the parties as a means of resolving disputes rather than proceeding through the usual judicial process. The process of arbitration is set out in an arbitration agreement or contained as a separate section of a contract. Many consumer disputes are required by statute or contract to be resolved through arbitration. The parties can specify many elements of the process including how the arbitrator will be selected, number of arbitrators, specific experience of the arbitrator, location, governing law, key dates, how evidence will be introduced, procedural rules, number of days, appeal rights, costs, nature of the decision, confidentiality and scope of authority. In addition, the parties can specify that the rules and procedures of a particular arbitration organization may govern. In the United States many arbitrations are governed by the rules and procedures of the American Arbitration Association which has hundreds of qualified members who can be designated depending on areas of experience. In Canada organizations like ADR Chambers can be designated. A major advantage of arbitration over the judicial process is that the parties can agree on a fixed timetable for various steps in the process and thereby avoid the usual delays and backlogs in the judicial process. However, while the costs of the judicial process are borne by the courts, the costs of arbitration are paid for the parties or by order of the arbitrator in the arbitrator's decision. The arbitration agreement may specify that the arbitrator can assess costs and on what basis. Another advantage of arbitration is that the agreement may require that a class action cannot proceed through arbitration. As well, the arbitrator may be given exclusive jurisdiction to hear and decide jurisdictional and procedural motions, thereby eliminating scheduling delays and excessive costs. Without even realizing it, we are often agreeing to be bound by arbitration in certain disputes through car rental agreements, electronics purchases, employment contracts, bank documents, warranties, credit card disputes, parking lot receipts, hospital stays, and limitations of damage.

Arbitration though referred to as "Alternate Dispute Resolution" is often seen as a mere mechanism prior to seeking actual legal remedies before a court of law. The most common misconception clouding the minds of people concerning Arbitration is 'Whether it will yield a practical legal solution or just split the baby to keep the peace?" It is still believed that Arbitrators will not judge a case on its merit but will try to maintain peace by flushing out the truth. Another issue seen with Arbitration is whether the award will hold true or will easily be squashed aside by Courts. These issues lead to problems with making Arbitration a success.