What must a good arbitration agreement contain?

• Introduction.
• Scope of the arbitration agreement.
• Seat of the arbitration.
• Governing law of the arbitration agreement.
• Choice of rules.
• Language.
• Number and appointment of arbitrators.
• Specifying arbitrator characteristics.

• Work with the Right Arbitrator.
• Know What to Expect.
• KISS.
• Prepare a Compelling Opening Statement.
• Make Your Move Sooner Rather Than Later.

What are the three pillars of arbitration?

Section 1 of the Act sets forth the three main principles of arbitration law viz. (i) speedy, inexpensive and fair trial by an impartial tribunal; (ii) party autonomy; and (iii) minimum court intervention.

What makes an arbitration agreement binding?

Arbitration agreements require that persons who signed them resolve any disputes by binding arbitration, rather than in court before a judge and/or jury. What is binding arbitration? Binding arbitration involves the submission of a dispute to a neutral party who hears the case and makes a decision.

What voids an arbitration agreement?

The issue or dispute is not covered by a valid arbitration agreement, such as when there is an issue the parties did not agree to arbitrate; The arbitration was tainted by fraud; and/or. Misconduct on the part of the arbitrator that affected their decision.

What makes an arbitration agreement unenforceable?

This law provides that arbitration agreements are generally valid and enforceable. The major exception to this provision is that the arbitration agreement is not enforceable if it violates the general law of contracts – which applies to all contracts under the law of the state that governs the agreement.

Who does arbitration favor?

Arbitration Often Favors Large Companies and Employers

Unfortunately, arbitration often works in favor of the more powerful party such as a large company or employer.

What are the 4 stages of arbitration?

There are five main stages to the arbitration process: (i) initial pleadings; (ii) panel selection; (iii) scheduling; (iv) discovery; (v) trial prep; and (vi) final hearing.

What are the core values of arbitration?

The key principles of international arbitration are: 1) that the parties have agreed, in writing, to submit their disputes to arbitration; 2) that the arbitrators are impartial and independent; 3) that the arbitral award is final and binding on the parties; and 4) that arbitration proceedings are confidential.

What are the sins of arbitration?

Townsend identifies seven deadly sins of an arbitration clause: equivocation, inattention, omission, over-specificity, unrealistic expectations, litigation envy, overreaching.

What cases can not be arbitrated?

Some types of cases can not be arbitrated. Most matters that involve family law, immigration law or criminal law cannot be arbitrated, because the parties cannot enter into an agreement on those matters without restriction.

Are there rules of evidence in arbitration?

2023 California Rules of Court

All evidence must be taken in the presence of the arbitrator and all parties, except where any of the parties has waived the right to be present or is absent after due notice of the hearing. (Subd (a) amended effective January 1, 2004.)

How do you write an arbitration clause?

In turn, the standard LCIA arbitration clause reads as follows: “Any dispute arising out of or in connection with this contract, including any question regarding its existence, validity or termination, shall be referred to and finally resolved by arbitration under the LCIA Rules, which Rules are deemed to be ...

What is the main objective of arbitration?

Main objective of Arbitration and Conciliation Act, 1996

It provides that the arbitral tribunal has to give reasons for its arbitral award. To ensure that the arbitral tribunal remains within the limits of its jurisdiction. To minimize the supervisory role of courts in the arbitral process.

What is the AAA Code of Ethics for arbitration?

Arbitrators should conduct themselves in a way that is fair to all parties and should not be swayed by outside pressure, public clamor, and fear of criticism or self-interest. They should avoid conduct and statements that give the appearance of partiality toward or against any party.

What are the hallmarks of arbitration?

One of the key hallmarks of the arbitration process is confidentiality. The parties are open to agree in the arbitration agreement provisions regarding the confidentiality of the proceedings and the resulting arbitral award.

Are arbitration decisions final?

While parties are not required to have an attorney to participate in arbitration, arbitration is a final, legally-binding process that may impact a party's rights. As such, parties may want to consider consulting an attorney at any time before, during, or after the arbitration.

Is arbitration a win win situation?

Where the goal of mediation is a “win-win” solution, arbitration results in a “win-lose” solution because one of the parties prevails just as would happen in a trial. Arbitrators decide on damage awards and, sometimes, on whether attorney's fees are warranted.

How long does an arbitration take?

It usually takes several months for parties to do the necessary discovery and other work to prepare for an arbitration. The hearing itself will last anywhere from one day to a week or more. IS THE PROCESS CONFIDENTIAL? The proceedings are private and not open to the public.

What is the average arbitration settlement?

On average, consumers won more money through arbitration ($68,198) than in court ($57,285). Arbitration disputes were resolved on average faster (299 days) than in litigation (429 days).

Who goes first in arbitration?

In most cases, the party that started the arbitration initially by filing a claim will present their case first and the opposing party will then have an opportunity to present their defense, but the arbitrator will ultimately decide the order.

Can I still sue if I signed an arbitration agreement?

In some instances, you may be able to sue if you signed a valid arbitration agreement. While courts generally favor arbitration agreements, they will allow you to file a lawsuit if you didn't understand your rights or your claims fall outside of the scope of the arbitration provision.