What are the Benefits of Arbitration for a Business Law Dispute?
Arbitration is a form of alternative dispute resolution (ADR) in which the parties agree to settle their case outside of a traditional courtroom. This is done by going before a private arbitrator, who will hear the dispute and issue a binding decision. Arbitration is used to resolve many different types of legal issues, including business law cases, contract disputes, consumer complaints, and labor issues. In this post, our experienced Miami arbitration attorneys highlight three advantages that arbitration has over litigation for business owners.
Three Advantages of Arbitration
- Arbitration is Faster than Litigation
It is no secret that the legal process can be frustratingly slow. For businesses that are looking to get a faster resolution to a legal dispute, arbitration offers a key advantage over litigation. As arbitration has fewer formalized procedural rules, the process is generally significantly faster than traditional litigation. If saving time is a key concern for your company, arbitration may be the best method available to resolve your issue.
- Arbitration is Cheaper than Litigation
Partially related to the fact that arbitration is a much faster process, arbitration also tends to be cheaper than traditional litigation. Once again, the informality eliminates some otherwise necessary legal hurdles. This can save businesses money on legal costs. Depending on the nature of your dispute, this may offer an advantage for your company.
- Arbitration Proceedings Can Be Kept Private
Finally, arbitration hearings are not part of the public record. This means that the specific details of the arbitration can generally be kept private. This confidentiality is a major benefit for some Florida businesses. If privacy is important to your company, you should strongly consider arbitration for your dispute.
Should You Arbitrate Your Business Law Dispute?
When it comes to weighing arbitration versus litigation, there is no easy answer. Ultimately, the decision of whether or not to arbitrate a dispute is one that must always be made on a case by case basis. In some circumstances, arbitration offers clear advantages. However, in other cases, your company will be far better off going through traditional litigation. Another factor that must be considered is the fact that your company may also be forced to deal with a mandatory arbitration clause that is in a contract that was signed. For the most part, mandatory arbitration provisions are enforced by Florida courts. However, there are some exceptions to that general rule. If you have specific questions regarding arbitration, you should consult with a Florida business law attorney who has experience handling all aspects of commercial arbitration cases.
Request Your Free Business Litigation Consultation Today
At Pike & Lustig, LLP, our South Florida business arbitration lawyers are standing by, ready to assist you with your legal case. To find out more about what we can do for you, please contact us today to get a free case evaluation. With offices in Miami and West Palm Beach, we represent business law clients throughout the region, including in Palm Beach Gardens, Riviera Beach, Delray Beach, and Jupiter.