What is the difference between arbitration and litigation?

Arbitration and litigation are two different forms of resolving disputes. Arbitration is a private, out-of-court dispute resolution process in which a neutral third party called an arbitrator hears arguments from both sides of a dispute and makes a binding decision on the matter. Litigation, on the other hand, is the traditional process of resolving disputes in court. Arbitration is typically more cost-effective and less time-consuming than litigation. This form of dispute resolution does not involve costly court fees, lengthy process known as discovery, or extensive court proceedings. Additionally, the proceedings are typically private and confidential, as opposed to litigation, which is public. Another difference between arbitration and litigation is that the arbitrator has authority to make a binding decision on the matter, while a judge or jury in the court has the authority to order an award or penalty. This is important in securities arbitration law in Florida, as it allows both parties to have a say in the outcome of the dispute. Finally, arbitration is typically less adversarial than litigation. In arbitration, both sides can make their case in a focused setting with an arbitrator who is familiar with the law and the dispute. Litigation typically involves more aggressive tactics by lawyers on both sides, which can lead to prolonged proceedings and expensive costs. Overall, arbitration and litigation are two different processes for resolving disputes. While litigation involves an open courtroom and often aggressive tactics, arbitration occurs out-of-court in a more private and cost-effective process.

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What is the difference between arbitration and litigation?

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