What is the difference between arbitration and litigation?

Arbitration and litigation are two different ways of settling disputes. Arbitration is an alternative to traditional court proceedings. In arbitration, two parties present their case to a neutral third-party, called an arbitrator. The arbitrator reviews the evidence and makes a decision, which is legally binding on the parties involved. Litigation, on the other hand, is the traditional form of dispute resolution used in courts. In litigation, a case is brought before a judge who hears both sides and decides. Unlike arbitration, the decision reached in a litigation case is the final determination, and any ruling made by the judge is legally binding. Arbitration is often preferred over litigation because it is faster, more private, and less expensive. In arbitration, both parties can agree on the arbitration process and can resolve the dispute in a matter of weeks or months. Because the proceedings are typically private and confidential, the parties also have greater control over the outcome. Furthermore, there are usually fewer attorneys’ fees, court costs and other expenses associated with arbitration when compared to a traditional court setting. In the state of Virginia, there are specific laws and regulations that govern both arbitration and litigation proceedings. Before beginning the dispute resolution process, it is important to understand the differences between arbitration and litigation, as well as the particular laws that govern each in the state of Virginia.

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What is the difference between arbitration and litigation?

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