Face Challenges Confidently

The Benefits Of Arbitration Versus Litigation In Court

Monday, July 10th, 2023
two men in dress shirts with a focus on them shanking hands

When someone has wronged you, it can be tempting to take them to court and sue them for every penny they’re worth, especially when it comes to your business. However, litigation has several disadvantages: it’s expensive, time-consuming, nerve-racking, and highly antagonistic. Consider alternative dispute resolution, especially arbitration, if you’re looking for a more civil (and less stressful) way to resolve a dispute.

Below, we’ll discuss the benefits of arbitration versus filing a lawsuit in court and why it may be the better option for your case.

What Is Arbitration?

Arbitration is an out-of-court resolution process under the guidance of a neutral third party. During arbitration, both parties will discuss their issues and try to reach a mutually acceptable agreement. However, unlike a trial, there’s no jury to contend with and convince. Instead, a panel of lawyers or a retired judge will hear your case and give a decision. It’s much less stressful, and you’re in far greater control of your case.

Why Choose Arbitration Over Traditional Litigation?

Here are a few reasons arbitration can be a smart choice for businesses and individuals involved in litigation.

It’s more affordable

Trials can be expensive, with attorney fees often totaling tens or hundreds of thousands of dollars. Arbitration is a viable option if you’re looking for an affordable way to settle your case while still working with an experienced attorney. There are no pre-trial processes to worry about, and lawyers won’t have to spend time verifying a witness’s subject matter expertise.

It takes less time

Lawsuits are anything but fast. Litigation can take anywhere from 23 to 30 months, which means it could be well over a year before a case settles or goes to trial. An arbitration proceeding, on the other hand, can wrap up in about six to seven months.

Arbitration is much faster because it’s not affected by courtroom delays. Instead, it is streamlined by a small panel of arbitrators that keep the case moving with tighter deadlines. The process involves a shorter discovery phase, too. If you opt for litigation, the discovery process alone could take several months.

It allows for more privacy

In a trial, you’ll have to air your problems before a judge and a panel of jurors, and doing so can be quite intimidating. Many court filings can also be acquired as public records as well. An arbitration hearing is far more private. It only involves you, the other party, and a few neutral third parties.

Arbitration is the better choice if your case has anything to do with intellectual property, trade secrets, or other confidential information. This option allows you to protect any information you don’t want leaking to the public, as well.

It’s a more cooperative process

When you head to the courtroom, the goal is to beat your opponent however you can. Arbitration is a far more civil process. Instead of having a winner-takes-all mindset, opposing parties go into arbitration to find a mutually agreeable solution to their dispute.

Going through a trial can stir up bad blood between you and the other party. If you’d like to keep a good working relationship with the other party, it’s wise to skip the trial and try arbitration instead.

It allows you to tell the whole story

In a trial, the judge only allows evidence they think is important to your case. This can be frustrating because while you may think a piece of evidence matters, the judge might not agree. Arbitration has different rules for evidence. Speak with your attorney about everything you may need to provide and make sure that you know all of the rules moving forward in your case.

You can find a skilled and experienced attorney

Many attorneys can handle litigation in a courtroom, but arbitration and mediation attorneys often have more experience. They know which types of evidence will best suit your needs, when to file a request for arbitration, how to evaluate the other party’s evidence, and how to respond to the other party. Even if you don’t have experience with litigation or arbitration, you won’t have to worry if you hire the right attorney.

Contact Brown & Fortunato, P.C., for Help With Your Case

Whether you need to initiate litigation or would like the best defense, contact the Litigation Team at Brown & Fortunato, P.C. We’ll be happy to assist you and ensure that you can take the proper steps moving forward. You can call us at (833) 228-6300 or contact us by Email to learn more about our Practice Areas.