Not seeing eye to eye with someone? Need to find a solution without going to the courts? Dr. Stan Leasure, business law professor at Missouri State University, says alternative dispute methods might be your best bet.
“If you’re going to build me a house, we might realize that house-building is something that involves a lot of money and it’s complicated,” Leasure said. “You and I might agree before you ever start the house that if we do find ourselves in some sort of a dispute, we’re going to go to arbitration.”
How arbitration works
The decision to use arbitration can be made later as long as both parties agree.
“The arbitrator makes the decision of who wins, who loses, makes a decision as to what the remedies are going to be. And this arbitration system is binding,” he said.
Arbitration may be conducted by a panel including experts, he added.
“The arbitration is much simpler, much quicker, much cleaner, much cheaper, and it is possible for two businesses with a dispute to preserve their relationship in an arbitration setting,” Leasure said.