Question 1

What types of commercial disputes can be submitted to arbitration?

Accepted Answer

Potentially eligible matters include breach-of-contract claims, unpaid invoices, payment disputes, vendor and supplier disagreements, service-agreement disputes, partnership or business-owner conflicts, and disagreements about contractual performance. The arbitration agreement and applicable law determine whether a particular matter qualifies.

Question 2

Can a business use arbitration to resolve an unpaid invoice?

Accepted Answer

An unpaid invoice or payment dispute may be appropriate for arbitration when the parties have an applicable arbitration agreement or another valid legal basis for arbitration. The underlying contract, payment terms, and nature of the dispute must be reviewed.

Question 3

Do both businesses have to agree to arbitration?

Accepted Answer

In most cases, arbitration depends on a valid agreement between the relevant parties. A contract may contain an arbitration clause that applies to certain disputes. The clause’s scope, enforceability, and applicability to the particular claim must be evaluated.

Question 4

Can disputes between business partners or LLC members be arbitrated?

Accepted Answer

Some disputes involving ownership, management, distributions, contractual duties, or a business separation may be eligible. The operating agreement, partnership agreement, other governing documents, and applicable law are important in determining whether arbitration is available.

Question 5

Is arbitration confidential?

Accepted Answer

Confidentiality depends on the parties’ agreement, applicable rules, and governing law. Parties may be able to establish confidentiality procedures, but arbitration should not be described as automatically or absolutely confidential in every circumstance. Typically, arbitration is more confidential than traditional litigation.

Question 6

Is commercial arbitration faster than going to court?

Accepted Answer

Arbitration may offer more flexibility in scheduling and procedure than litigation, but timing depends on the complexity of the dispute, the parties’ cooperation, the evidence involved, and scheduling availability. No specific resolution timeline can be guaranteed.

Question 7

Can  the arbitrator award money damages?

Accepted Answer

Where authorized by the parties’ agreement and applicable law, an arbitrator may be able to award monetary relief or other remedies within the scope of the dispute. The available remedies depend on the contract, governing law, and issues properly submitted for decision.

Question 8

Is an arbitration decision binding?

Accepted Answer

An award is binding when the applicable agreement and law provide for binding arbitration. A court may confirm or enforce an eligible award, while challenges are generally limited to specific grounds established by law.

Question 9

Do I need an attorney for commercial litigation?

Accepted Answer

Parties may have the right to represent themselves, subject to applicable law and procedural requirements. Businesses should consider legal counsel when significant financial interests, complex contracts, or potential enforcement issues are involved. The arbitrator does not represent either party or provide legal advice.

Question 10

How do we start a commercial arbitration?

Accepted Answer

Begin by reviewing the contract or other document that may contain an arbitration clause. Then contact us with a general description of the dispute and the relevant agreement. The matter will need to be reviewed for eligibility, applicable procedures, fees, and potential conflicts before acceptance.

Commercial Disputes