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Arbitration

Arbitration, concerning auto accidents, is a form of alternative dispute resolution that typically is more cost effective than litigation through the courts. In the event of a dispute regarding damages resulting from driving, two parties may enter into arbitration to resolve any disputes, as well as establish monetary damage awards. When engaging in arbitration, both parties will agree to the arbitrator's decision, and in turn, both parties are legally bound to follow through with any judgment. Arbitration is typically a method insurance companies utilize in lieu of costly and timely court proceedings concerning civil cases stemming from auto accidents.

Fast Facts

  • Commonly, mediation in some form or another is attempted prior to entering into arbitration to resolve outstanding disputes.
  • Arbitration decisions are commonly binding, with limited opportunity to void the decision of an arbitrator.

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