Arbitration: meaning, definitions and examples

Arbitration is a method used to resolve disputes where an independent third party, the arbitrator, makes a decision that is usually binding. It's often used in legal, commercial, or employment contexts.

• The company insisted on arbitration to settle the contract dispute.
• They chose arbitration to avoid a lengthy court battle.

Mediation involves a neutral third party, the mediator, who facilitates discussions between disputing parties to help them reach a voluntary and mutually agreeable resolution. It is collaborative and often used in community conflicts, workplace disputes, or family matters.

• They went through mediation to negotiate the terms of their divorce.
• Mediation helped the neighbors resolve their differences peacefully.

Conciliation is a process where a neutral third party helps the disputing parties reach a mutually acceptable agreement. It is more informal and flexible than arbitration. Conciliation is often used in family law, labor disputes, and consumer disputes.

• They decided to undergo conciliation to resolve their issues amicably.
• Conciliation helped the family avoid a bitter legal battle.

Arbitrament refers to the act of deciding a dispute or the decision itself. It's a less common, more formal term than arbitration, typically used in legal or historical texts.

• The arbitrament was final and binding on both parties.
• He awaited the arbitrament of the court.

Used in formal legal or business disputes where a neutral third party is brought in to make a binding decision.

• The two companies agreed to arbitration to resolve their contract dispute; Arbitration is often quicker and less expensive than going to court

Mostly used in sports or games, it indicates a final ruling made by a referee on the field or court.

• The referee's decision to award a penalty was highly controversial; Players must respect the referee's decisions during the match

Used in the context of sports, particularly baseball or cricket, where an umpire makes a judgment call during the game.

• The umpire called the runner out at home plate; Fans were upset with the umpire's call on the strike zone

Arbitration is used when two parties agree to let a neutral third party make a binding decision to resolve their conflict. It's commonly used in commercial and labor disputes.

• We decided to settle our contract disagreement through arbitration.
• The arbitration process was quicker and less costly than going to court.

This term is generally used in formal or legal discussions to describe various methods (such as mediation and arbitration) for settling disputes without litigation.

• Alternative dispute resolution can often lead to more amicable settlements.
• The court encouraged the parties to consider alternative dispute resolution.

ADR, short for Alternative Dispute Resolution, is a broad term that includes various methods like mediation, arbitration, and negotiation to resolve disputes outside of court. It's used to save time and costs associated with legal battles.

• Many companies now prefer ADR to avoid lengthy court cases.
• ADR mechanisms can include mediation, conciliation, and arbitration.