Neutral Arbitrator

Definition

A neutral arbitrator is an impartial individual selected to resolve disputes between parties, not controlled by or biased in favor of any party involved in the arbitration.

Purpose

The purpose of a neutral arbitrator is to ensure fair and unbiased resolution of disputes by evaluating the evidence and arguments presented by the parties and making a binding decision.

Examples of Use

• Commercial Disputes: Used in commercial arbitration to resolve contractual disputes between businesses.
• Labor Disputes: In labor arbitration, a neutral arbitrator helps resolve conflicts between employers and employees or unions.
• International Arbitration: Neutral arbitrators are often used in international arbitration to settle disputes between parties from different countries.

Related Terms

• Arbitration: A method of dispute resolution where a neutral third party makes a binding decision.
• Mediation: A non-binding process where a mediator helps parties reach a voluntary settlement.
• Dispute Resolution: Various methods used to resolve conflicts and disputes, including arbitration, mediation, and litigation.

Notes

• Selection: The selection process for a neutral arbitrator typically involves both parties agreeing on an individual or using a third-party organization to appoint one.
• Binding Decision: The decision made by a neutral arbitrator is usually binding and enforceable, similar to a court judgment.