Which description is true about arbitration proceedings?

Which description is true about arbitration proceedings?

• A. The arbitrator makes a legally binding decision
• B. The decision is non-binding
• C. A jury decides the outcome
• D. Court approval is always required to enforce

Answer: (A)

Arbritration is a private dispute-resolution process where a neutral arbitrator or panel weighs the evidence and issues an award. That award is legally binding on the parties, much like a court judgment, and it can be enforced in the courts with only limited grounds to challenge it. There is no jury in arbitration—the decision comes from the arbitrator(s) rather than a jury. Courts usually come into play after the award is made, to recognize or enforce it, rather than to grant the decision initially. So the description that the arbitrator makes a legally binding decision captures how arbitration operates.

Arbritration is a private dispute-resolution process where a neutral arbitrator or panel weighs the evidence and issues an award. That award is legally binding on the parties, much like a court judgment, and it can be enforced in the courts with only limited grounds to challenge it. There is no jury in arbitration—the decision comes from the arbitrator(s) rather than a jury. Courts usually come into play after the award is made, to recognize or enforce it, rather than to grant the decision initially. So the description that the arbitrator makes a legally binding decision captures how arbitration operates.