Ask the Lawyer: Are arbitration clauses in contracts desirable?
Q: I am told that having an arbitration clause is helpful in our contracts because it is cheaper and faster to arbitrate, but several have told me “don’t believe it!” Who’s right? – G.C., Long Beach A: One of the rationales for arbitration clauses is that a jury trial will probably be avoided. google_ad_client = ‘pub-2905054723170537’; // substitute your client_id (pub-number) google_ad_channel = ‘6331884817’; google_ad_output = ‘js’; google_max_num_ads = ‘3’; google_ad_type = ‘text’; google_feedback = ‘on’; It can be quite time consuming and costly to seat a jury, prepare jury instructions, and many are apprehensive about so-called “runaway juries.” Another rationale in favor of arbitration is that you are just about done when the award is made, and you will avoid common court dates and delays. Also, these days arbitration clauses are being crafted to try to leave no stone unturned. Thus, if you want to be able to conduct discovery, you can put that in the arbitration clause. If you w
