An arbitrator is a third party who hears both sides of an argument and then makes an impartial decision. The decision announced by an arbitrator is often as binding as if it was announced by a judge.
The final decision of an arbitrator is called a ruling. The final decision of an arbitrator is called an award.
An arbitrator's decision and award can typically be appealed to the courts only in limited circumstances, such as if there was misconduct or bias on the part of the arbitrator, or if the decision violates public policy.
Decision of the arbitrator
Decision of the Arbitrator
Decision of the arbitrator
Decision of the arbitrator
Decision of the arbitrator
Decision of the arbitrator
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Non-binding arbitration
The source of an arbitrator's authority comes from the parties to the dispute being arbitrated. Both parties agree that their dispute will be settled through arbitration rather than through litigation and they enter into a contract promising that the arbitration will be binding they will abide by the decision of the arbitrator. If one party refuses to honor the arbitrator's decision, the other party can go to court and have the court enforce the arbitration decision, but it won't have to litigate the actual dispute all over again.
In binding arbitration, the parties contractually agree that they will be bound and abide by the decision of the arbitrator. In non-binding arbitration, each party is free to reject the decision of the arbitrator and either do nothing or take the matter to court.