What are the advantages of securities arbitration?
Arbitration has a number of advantages. Arbitration is generally less time consuming and less expensive than court, due to the fact that deposition discovery and motions practice is rare in arbitration. Pre-hearing procedures are more limited in arbitration than in court, and arbitrations are typically resolved in 12 to 18 months as opposed to 18 months to two years or more for court cases. However, unlike court, formal rules of evidence and procedure are inapplicable, and therefore the process is often more streamlined and less contentious. Many arbitration hearings are resolved in less than two full days of hearing time.
