noun
arbitration
ar-bih-TRAY-shun/ˌɑːrbɪˈtreɪʃn/
Settlement of a dispute by a neutral third party.
The contract sends unresolved disputes to arbitration before an independent expert.
Etymology
The action of giving a decision first supplied a broader meaning of judgment or discretion. Arbitration then narrowed to deciding a dispute, specifically its settlement by a third party.
In context
An arbitration clause generally redirects that entire process into a private system instead You and the company present your case to a neutral third party an arbitrator whose decision is often final
More examples
- Both sides accepted the result of the arbitration.
- The union requested arbitration after talks broke down.
- Several arbitrations concerned the interpretation of the same clause.
Forms
arbitration · arbitrations
Similar words
- mediation
- Helps parties negotiate rather than producing an imposed ruling.
- litigation
- Resolves disputes through court proceedings rather than private arbitration.