Mediation vs Arbitration

The basic difference is that an arbitrator usually has the power to decide your case after hearing both sides out. The arbitration hearing can be less formal than a trial in court, but the arbitrator is in effect the judge for your case and will issue a decision. A mediator does not have any authority to decide your case. He or she is like a broker trying to put a deal together.

What is said at mediation is confidential. If no agreement is reached, neither side can use statements made in mediation in court when the case goes back there.

In arbitration, confidentiality of what is said is generally inapplicable since the idea of arbitration is that it will result in a decision, just not one by a judge or jury. Appeals from an arbitration decision are very limited and much of the evidence at arbitration, although presumably relevant to the arbitrator’s decision, will likely have no bearing on a court’s decision whether to uphold that decision. No surprise here – it usually will uphold that decision.

Arbitration is frequently used in commercial disputes, although mediation of commercial disputes has become more common than it once was.

Mediators generally have formal training and certification. They are usually lawyers, but other professions do their share of poaching. Arbitrators frequently have little or no formal training and are more likely to be persons who have extensive experience in the industry than to be lawyers.

Disclaimer: This blog is intended as general information and not as legal advice. Situations are different and may call for different remedies. To deal with a specific situation and make appropriate arrangements for representation and advice, call Kevin J. Waite or another attorney of your choice.