Arbitration Attorneys
Experienced legal representation for arbitration matters across all 50 states.
About Arbitration
Arbitration is a form of alternative dispute resolution in which parties agree to submit their dispute to one or more neutral arbitrators who render a binding or non-binding decision outside of the traditional court system. Governed primarily by the Federal Arbitration Act at the federal level and the Uniform Arbitration Act in most states, arbitration has become one of the most widely used mechanisms for resolving commercial, consumer, employment, and international disputes. Arbitration proceedings are typically administered by organizations such as the American Arbitration Association, JAMS, or the International Chamber of Commerce, each of which maintains procedural rules that govern how cases are initiated, conducted, and decided.
The arbitration process shares some features with litigation but operates with significantly more flexibility. Parties may select their arbitrators, which allows them to choose decision-makers with expertise in the subject matter of the dispute. Discovery is generally more limited than in court proceedings, which can reduce costs and accelerate resolution. Hearings are less formal than trials, and the rules of evidence are applied more loosely. Arbitrators issue written awards that are enforceable in court, and judicial review of arbitration awards is extremely limited under the Federal Arbitration Act. Courts will vacate an arbitration award only in narrow circumstances, such as fraud, corruption, evident partiality of the arbitrator, or the arbitrator exceeding the scope of authority.
Arbitration clauses are ubiquitous in modern contracts, appearing in employment agreements, consumer terms of service, construction contracts, financial services agreements, and international commercial contracts. The enforceability of these clauses has been the subject of extensive litigation, with the U.S. Supreme Court consistently upholding a strong federal policy favoring arbitration under the Federal Arbitration Act. However, arbitration has also faced criticism regarding fairness in contexts where consumers or employees are required to arbitrate disputes with large corporations, leading to ongoing legislative and judicial debates about the appropriate scope of mandatory arbitration.
Why You Need an Arbitration Attorney
Arbitration affects millions of Americans whether they realize it or not. Studies estimate that over 60 million workers are subject to mandatory arbitration agreements, and virtually every consumer who signs up for a credit card, cellphone service, or online platform agrees to arbitration clauses buried in the terms of service. Understanding arbitration is essential because it determines where and how you can resolve disputes, often waiving the right to a jury trial and class action participation.
For businesses, arbitration offers significant advantages including confidentiality, the ability to select knowledgeable arbitrators, faster resolution compared to litigation, and finality due to the very limited grounds for appealing an arbitration award. For individuals, the calculus is more complex. While arbitration can be faster and less expensive for smaller claims, critics argue that mandatory arbitration provisions in adhesion contracts give corporations an unfair structural advantage by eliminating the threat of class action litigation and creating repeat-player advantages with arbitration providers.
Common Arbitration Cases
Commercial Contract Arbitration
Resolving disputes between businesses arising from supply agreements, licensing deals, joint ventures, and other commercial relationships governed by arbitration clauses.
Employment Arbitration
Adjudicating workplace disputes including wrongful termination, discrimination, harassment, and wage claims under mandatory arbitration provisions in employment agreements.
Consumer Arbitration
Handling disputes between consumers and companies regarding products, services, billing practices, or warranty claims governed by arbitration clauses in consumer agreements.
Construction Arbitration
Resolving disputes over construction defects, delays, cost overruns, and contract performance between owners, contractors, subcontractors, and design professionals.
International Arbitration
Adjudicating cross-border commercial disputes under international arbitration rules, often involving parties from different countries with different legal systems.
Securities Arbitration
Resolving disputes between investors and brokers or brokerage firms through FINRA arbitration, addressing claims of unsuitable investments, churning, and unauthorized trading.
Insurance Arbitration
Determining coverage disputes, claim valuations, and policy interpretation issues through arbitration provisions commonly found in insurance policies.
Labor Arbitration
Adjudicating grievances arising under collective bargaining agreements between unions and employers, including disciplinary actions and contract interpretation disputes.
Typical Arbitration Case Timeline
Demand or Clause Activation
1-4 weeksFiling a demand for arbitration or responding to an arbitration demand, including identification of claims, selection of the administering organization, and payment of initial filing fees.
Arbitrator Selection
2-6 weeksReviewing arbitrator candidates, conducting conflicts checks, and selecting the arbitrator or panel through the forum's selection process, which typically involves ranking and striking candidates.
Preliminary Hearing & Scheduling
2-4 weeksThe arbitrator conducts an initial conference to establish the procedural schedule, including discovery deadlines, motion practice, and the hearing dates.
Discovery & Preparation
2-6 monthsConducting limited discovery, including document exchanges, interrogatories, and depositions as permitted by the arbitrator. Discovery in arbitration is typically narrower than in litigation.
Arbitration Hearing
1-10 daysPresenting evidence, examining witnesses, and making legal arguments before the arbitrator. Hearings may be conducted in person, by video, or on documents alone for smaller claims.
Award
30-60 days after hearingThe arbitrator issues a written award, which may include a reasoned explanation. The award is final and binding, with very limited grounds for judicial review or appeal.
Know Your Rights
- You have the right to challenge the enforceability of an arbitration clause if it is unconscionable, was procured by fraud, or violates applicable law.
- You have the right to select a neutral arbitrator and to object to any arbitrator who has a conflict of interest or evident partiality.
- You have the right to present evidence, call witnesses, and make legal arguments during the arbitration hearing.
- Under the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021, you have the right to opt out of mandatory arbitration for sexual assault and harassment claims.
- You have the right to have the arbitration award confirmed and enforced by a court, making it equivalent to a court judgment.
- You have the right to seek vacatur of an arbitration award in narrow circumstances, including fraud, arbitrator corruption, or the arbitrator exceeding their authority.
- You have the right to representation by an attorney in arbitration proceedings.
What to Look for in an Arbitration Attorney
When selecting an attorney for arbitration, prioritize experience with the specific arbitration forum that will govern your case, whether that is the American Arbitration Association, JAMS, FINRA, or another provider. Each forum has its own procedural rules, fee structures, and arbitrator rosters, and familiarity with these nuances can significantly impact your case. Ask the attorney about their experience serving as an arbitrator, as attorneys who have sat on the other side of the table often bring valuable perspective to case presentation and strategy. Inquire about their track record in arbitration proceedings, including the types of disputes they have handled and the outcomes achieved. A strong arbitration attorney should understand both the strategic advantages and limitations of the arbitration process, including the very limited ability to appeal unfavorable awards. For cases involving arbitration clause disputes, look for an attorney experienced in the Federal Arbitration Act and relevant state arbitration law, as threshold questions about the enforceability and scope of arbitration clauses can be case-determinative.
Questions to Ask Your Arbitration Attorney
- 1Is the arbitration clause in my contract enforceable, and are there grounds to challenge it if I would prefer to litigate in court?
- 2Which arbitration forum and rules will govern the proceeding, and how do they affect our strategy?
- 3What are the estimated total costs for the arbitration, including arbitrator fees, forum fees, and attorney fees?
- 4How should we approach arbitrator selection to get the most favorable panel for our case?
- 5What discovery will be available in arbitration, and how does the more limited discovery process affect our ability to build the case?
- 6What are the chances of a favorable outcome, and how does the very limited right to appeal an arbitration award affect our risk assessment?
Understanding Arbitration Legal Costs
Arbitration costs include several components. Filing fees with the AAA range from $250 for consumer claims to several thousand dollars for large commercial disputes, with fees often allocated between the parties according to the forum's rules. Arbitrator compensation is a significant cost, typically ranging from $300 to $800 per hour or $2,000 to $6,000 per hearing day, depending on the arbitrator's experience and the forum. Attorney fees are generally billed hourly, with rates comparable to litigation counsel. A straightforward two-party commercial arbitration may cost $30,000 to $100,000 in total, while complex multi-party international arbitrations can cost millions. Consumer arbitration costs are often subsidized by the company under forum rules, with consumers paying only modest filing fees. Many employment arbitration agreements require the employer to bear the arbitration forum costs beyond a nominal filing fee.
Key Legal Terms
Video Resources
These videos are provided for informational purposes only. The attorneys and organizations featured are not affiliated with or endorsed by Northwind Law.
What Is Arbitration?
Wall Street Journal
Forced Arbitration: Last Week Tonight with John Oliver
LastWeekTonight
Arbitration vs Mediation vs Litigation
Lex Animata
Frequently Asked Questions About Arbitration
Citations & Sources
- [1]The American Arbitration Association administers over 200,000 cases annually across commercial, consumer, employment, and construction disputes. — American Arbitration Association
- [2]More than 60 million American workers are subject to mandatory arbitration agreements as a condition of employment. — Economic Policy Institute
- [3]The Federal Arbitration Act, 9 U.S.C. Sections 1-16, establishes the legal framework for arbitration agreements and the enforcement and vacatur of arbitration awards in the United States. — Cornell Law Institute, Legal Information Institute
- [4]The U.S. Supreme Court has repeatedly held that the FAA reflects a liberal federal policy favoring arbitration agreements, including in consumer and employment contexts. — AT&T Mobility LLC v. Concepcion, 563 U.S. 333 (2011)
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