What is the difference between business litigation and business arbitration?

Business litigation and business arbitration are two different dispute resolution methods that businesses in Massachusetts may use to settle disputes. Business litigation is a form of dispute resolution that involves using the court system to decide the outcome of a dispute. It is a legally binding process where a judge or jury hears evidence from both sides and makes a ruling, usually with one party paying money or providing other remedies to the other. Business arbitration is another form of dispute resolution where parties to a dispute agree to resolve it in private, in front of a neutral third-party arbitrator. This process is usually faster and less expensive than litigation, and the decision of the arbitrator is legally binding. However, parties to the dispute have less rights and protections than they do when they go to court. The main difference between business litigation and arbitration is that the former is resolved in court, leaving parties exposed to greater uncertainty and the potential for costly appeals, while the latter is a private resolution method in which a neutral party makes the final decision. Additionally, in litigation the parties have more legal rights and protections, as it is handled by the court, while in arbitration parties are subject to the terms of their agreement. Ultimately, it is important for businesses in Massachusetts to understand the implications of both dispute resolution methods before deciding which is best for their particular situation.

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What is the difference between business litigation and business arbitration?

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