Arbitration Versus Litigation – Trade-offs To Consider In Determining The Best Place To Resolve Cases

In my practice I have tried cases in court as well as in arbitration. I am also an arbitrator and have held numerous hearings as both an individual neutral and as a member of a panel. I have often discussed with other lawyers whether arbitration or litigation is the best method for dispute resolution. My experience and perspective as an advocate and an arbitrator lead me to an inevitable answer: it depends. The prevailing perception of arbitration is that it is faster, cheaper, and more efficient than litigation. This is true, with some caveats.

In my experience as a litigator and an arbitrator, commercial cases take about nine months from initiation to completion, with some complex cases taking even longer. Disputes, whether in court or an arbitral forum, can be financially and sometimes emotionally taxing, and given the time differential between the two methods of dispute resolution, the opportunity to minimize this toll by reducing the length of a case should not