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Resolving business disputes through arbitration

On Behalf of | Sep 20, 2023 | Business & Commercial

Even the most successful businesses may encounter disputes from time to time. Fortunately, there is an option for business owners to resolve these disputes outside of court through arbitration.

Common business disputes

One of the most common disputes happens when one party states that the other did not meet their contractual obligations. If the business has partners, they may disagree about how the business is managed, how profits are divided or how decisions are made.

Business owners may also have to collect debt from a customer who disagrees with how much they owe or may need to address product defect claims, false advertising or other issues involving the items they sell.

Business owners may have a dispute with their insurance company about policy coverage or denial of a claim. Finally, the business may have a dispute with neighboring properties over land use or environmental impact.

These are only some examples of disputes that can arise.


Arbitration is a method of alternative dispute resolution where the parties present their complaint to an impartial third party, called an arbitrator, who makes a binding decision. This means that it usually cannot be appealed.

There are several benefits of arbitration, including confidentiality, generally fewer costs than a traditional court process and it may be more time efficient.

During the arbitration, both parties can present evidence and documents to support their side. The arbitrator will consider the information submitted and decide the outcome. If one party does not follow the arbitrator’s decision, the other party may be able to resolve the issue in court.