What is Arbitration in a New York Personal Injury Lawsuit?

A personal injury claim can be resolved in a number of ways –
through an out-of-court settlement, a lawsuit that goes to trial, or through an
alternative dispute resolution process like mediation or arbitration. In New
York or New Jersey, arbitration may be mandated to settle a car accident claim
dispute with an insurance provider or other motorist. A personal injury lawyer
from Douglas & London can answer any questions you may have about this.

What is arbitration in a personal injury settlement?

This is a procedure in which a personal injury claim goes before one
or more arbitrators to resolve a dispute. The arbitrator is typically an
attorney with extensive experience in motor vehicle accident cases. In some
counties, there are two arbitrators— a “plaintiff” attorney and a “defense”
attorney. A case gets listed after the discovery phase of the case expires, at
which point a notice of the arbitration date and time is sent to your
attorney’s office.

What happens during the process of arbitration?

Arbitration takes place in a conference room at the Superior Court
where your case is filed. Attorneys for both plaintiff and defense will attend.
Each side submits packets of information for the arbitrator(s), which may
include: police reports, medical records, photographs, testimonies, and any
other information helpful to the case.

If liability is a focus of the hearing, plaintiffs can be asked to
provide testimony under oath and undergo attorney and arbitrator questioning.
Once the case has been presented, both parties leave the room while the
arbitrator(s) arrive at a value for the case. The final decision is issued in
writing and parties have up to 35 days to reject the award. Awards may due in
as little as 14 to 30 days from the close of hearing.

What is the difference between arbitration and mediation?

Arbitration and mediation are often mistakenly used
interchangeably, though they are two different processes. In mediation, both
parties retain the right to decide whether or not to agree to a particular
settlement. Mediators have no power to impose a resolution other than the power
of persuasion.

In arbitration, the arbitrator considers evidence and arguments before issuing a decision. A decision can be binding (meaning there is virtually no right of appeal) or non-binding (giving parties the opportunity to request a trial). A binding decision can be entered as a judgment in any federal or state court with jurisdiction, so it may be enforced like any other court ruling.

Are there any advantages or disadvantages of arbitration, from a
plaintiff’s perspective?

Both arbitration and mediation are more private, less expensive, quicker
to resolve, and more efficient than courthouse proceedings. Arbitration has no
monetary limits, which makes it preferable to small claims court, because you
are allowed to include pain and suffering damages. The rules of evidence are
not as strict and your legal team can have a say in which arbitrator gets
picked. Procedurally, you’ll be able to schedule a hearing much sooner than a
court case, and the payout typically arrives quicker.

Arbitration is a great deal if you’re the winner, but the loser’s right
to appeal in binding arbitration can be very limited. The American Arbitration
Association allows the arbitrator to change a final award if there are any
clerical, typographical, or computational errors. A modification must be
requested within 20 days after the final award is sent to the parties. The
other party has 10 days to respond, and the arbitrator will rule on the request
within 20 days.

If the arbitration is non-binding or if merits of the case and judgment are fiercely disputed, a rare appeal can be granted if all evidence and applicable law points to the fact that the arbitration result was irrefutably “arbitrary
and capricious.” The disputing side can fill out a Trial de Novo form to request a new trial before a judge. If granted, it will be as though the arbitration never occurred, with the arbitrator’s report and award sealed.

Contact us at Douglas & London for a free consultation

A New
York City personal injury lawyer is always an asset during
arbitration. The stronger the evidence presented before arbitration, the more
likely there will be a victory. At Douglas & London, we go the extra mile to
investigate, take depositions, and assemble irrefutable evidence. We have
extensive experience with all manners of personal injury dispute, whether
settlement, mediation, arbitration, or court trial.

We let you know upfront what to expect, given the facts
surrounding your case, and keep you informed throughout the entire process.
Call to schedule a free consultation. You pay nothing until we win.

Additional Resources:

1. https://www.lawyers.com/legal-info/research/standards-of-review-on-appeal.html
2. http://www.jdrllc.com/faqs/#:~:text=Mediation%3A%20The%20parties%20to%20the,than%20the%20power%20of%20persuasion.&text=Arbitration%3A%20The%20parties%20give%20the,the%20dispute%20to%20the%20arbitrator.
3. https://www.nycourts.gov/courthelp/AfterCourt/trialDeNovo.shtml
4. http://ww2.nycourts.gov/courts/7jd/courts/city/civil/arbitration.shtml
5. https://www.injuryclaimcoach.com/alternative-dispute-resolution-process.html
6. https://www.adr.org/sites/default/files/document_repository/AAA229_After_Award_Issued.pdf