As the legal system continues to see an increased caseload, many businesses are exploring alternative ways to resolve disputes. One such alternative is arbitration, which is being used more and more frequently as a substitute for traditional courtroom proceedings.
Arbitration is Inherently Flawed
Arbitration clauses are now a common component of many different types of contracts, from employment agreements to cell phone contracts. Essentially, agreeing to these clauses causes you to waive your right to file a lawsuit in court. Instead, you must resolve your claim through so-called “independent” arbitration, which replaces the judge and jury with one professional arbitrator.
- Arbitrators are generally paid for by the company. They are supposed to remain unbiased, but they know that ruling in favor of the company will often result in future work.
- Arbitration infringes on your rights. Individual arbitration clauses will prevent people from filing class-action lawsuits, making it tough to put a stop to illegal business practices.
- Arbitration rulings are final, and are insufficiently regulated. There are no federal requirements to report these cases, you cannot appeal the decision, and everything is confidential. What’s to stop an arbitrator from defying state or federal law in their ruling?
- Arbitration is frighteningly subjective. In these proceedings, there are no rules or regulations governing the standard of evidence a company needs to prove their case. It’s all up to the arbitrator (who the company pays for) and how they are feeling that day.
Countless Cases of Arbitration Failing Individuals
Some individuals are treated fairly in the arbitration process, regardless of the outcome of the ruling. However, many more have been denied their day in court due to these arbitration clauses. There are numerous examples of people who experienced serious pain and suffering, but could not properly pursue justice, including:
- A 94-year-old woman died from a head wound not properly treated by nursing home staff
- A woman who was injured after the brakes on her Honda failed
- The parents of an infant born with severe deformities, possibly due to medical malpractice
- A cruise ship employee who was drugged and raped by two coworkers