How does an arbitration process work?
Arbitration is an alternative to settling disputes in court. It is a form of dispute resolution that takes place outside of the court system. In Texas, arbitration proceedings take place before an arbitrator or arbitrators chosen by the parties involved. The arbitrator will listen to both sides of the dispute and then render a decision. The arbitration process usually begins when parties enter into an agreement which stipulates that any disputes arising from the agreement will be settled through arbitration. The agreement will specify the rules and procedures of the arbitration. Both parties will then present their case to the arbitrator in a hearing. The arbitrator will then listen to both sides of the dispute and review any evidence presented and apply the applicable law to the facts of the case. After considering all evidence, the arbitrator will render an arbitration award that will be binding on both parties. The arbitration award can be enforced in a court of law. Texas also allows for arbitration awards to be appealed if there is an error of law. Appeals of arbitration awards are handled by the courts in a similar manner to appeals of court decisions. Arbitration is often a quicker and less expensive method of dispute resolution than litigation. It also often allows for creative resolutions outside of the court system that may not be available in court.
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