Arbitration is a non-judicial process for the settlement of disputes where an independent third party - an arbitrator - makes a decision that is binding.
The role of an arbitrator is similar to that of a judge, though the procedures can be less formal and an arbitrator is usually an expert in their own right.
The are many advantages to arbitration:
- the process can be tailored to suit parties’ particular needs
- arbitrators can be chosen for their expertise
- it is confidential
- it can be speedier and cheaper than court
- there are limited grounds of appeal
- arbitral awards are binding and enforceable through the courts.