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A New AAA Study Confirms that Arbitration is Faster to Resolution Than Court – And the Difference Can be Assessed Monetarily

Date: June 1, 2017  /  Author: John P. Ahlers  /  Categories: Out of the Ordinary, Alternative Dispute Resolution (ADR), Construction News and Notes, Memorable Quotes, Rants and Raves, Delay Claims, Damages, Claims  /  Keywords: A New AAA Study Confirms that Arbitration is Faster to Resolution Than Court – And the Difference Can be Assessed Monetarily 1  /  Comments (0)

There has been a perception among some litigators that arbitration is more expensive than court due to several factors.  Among them:

  • The “upfront” costs are higher in that filing fees for arbitration exceed those in court.  Arbitrators are paid, whether hourly or a flat rate, and the three arbitration panels can become very expensive.
  • Some arbitration clauses preserve statutory discovery rights, basically defeating the advantage of a simplified arbitration process.  Discovery wars are extremely expensive.  Depositions are the most costly of discovery, and in arbitration, as opposed to court, depositions are limited or do not exist.
  • Some arbitration clauses integrate the statutory rules of civil procedure, making arbitration almost equivalent to litigation.  These types of clauses do the parties no favors