Written by attorneys · grounded in primary & secondary sources — see below
A method of dispute resolution involving one or more neutral third parties agreed upon by the disputing parties whose decision is binding on them.
Sources & Authorities
How it applies
Common Examples
6
Judge Serving as Arbitrator
Judge Ramirez agreed to arbitrate a contract dispute between Azure Solutions and Ashford Manufacturing after both companies requested his services. The state bar filed a complaint alleging that the judge violated the prohibition on performing arbitration functions outside official duties. The disciplinary panel found a violation because no statute expressly authorized the judge to serve in that capacity.
Lawyer Representing Former Arbitration Party
Attorney Patel previously served as arbitrator in a commercial dispute between Aether Technologies and Alliance Holdings. Patel later sought to represent Aether in related litigation against Alliance. The court disqualified Patel because the lawyer had participated personally and substantially in the arbitration without obtaining written informed consent from all parties.
Select any source to read its text and confirm it supports the definition.
Cases
Statutes
Federal Rules
Uniform Acts
Model Codes
Restatements
Casebooks
Lawyer Acting as Arbitrator
Lawyer Torres agreed to serve as arbitrator in a partnership dissolution between Adam Anderson and Aaron Adams. Torres explained to both parties that the role was that of a neutral decision-maker rather than an advocate. The arrangement complied with the rule defining service as a third-party neutral to include arbitration.
Class Arbitration Waiver Enforced
Customers signed cell-phone contracts with AT&T that required individual arbitration and prohibited class proceedings. After a dispute over sales tax charges arose, the customers attempted to pursue a class action in court. The Supreme Court held that the Federal Arbitration Act preempted state law invalidating the class-arbitration waiver.
AT&T Mobility LLC v. Concepcion131 S. Ct. 1740 (2011)
Executive Order Halting Arbitration
Steel-mill owners and unions had submitted wage disputes to arbitration under existing collective-bargaining agreements. The President issued an order seizing the mills and directing that arbitration proceedings cease. The Supreme Court invalidated the seizure as exceeding presidential authority absent congressional authorization.
Youngstown Sheet & Tube Co. v. Sawyer343 U.S. 579 (1952)
Cruise Contract Arbitration Clause
Passengers purchased tickets containing a clause requiring arbitration of all disputes in Florida. After an injury occurred during the voyage, the passengers sued in their home state. The Supreme Court upheld enforcement of the arbitration provision under general principles of contract law.
Carnival Cruise Lines, Inc. v. Shute499 U.S. 585 (1991)
Common questions
Frequently Asked
5
When may a judge serve as an arbitrator?+
A judge may serve as an arbitrator only when expressly authorized by law. The prohibition prevents judges from performing functions outside their official duties that could create conflicts or undermine judicial impartiality.
Supporting sources
What conflict arises when a lawyer later represents a party after serving as arbitrator?+
A lawyer who participated personally and substantially as an arbitrator is disqualified from representing anyone in connection with that matter unless all parties give informed consent confirmed in writing. The rule protects the integrity of the arbitration process and prevents misuse of confidential information gained during service.
Supporting sources
How does the Model Rules define a lawyer serving as arbitrator?+
A lawyer serves as a third-party neutral when assisting non-clients to resolve a dispute. Service as an arbitrator falls within this definition and triggers duties to inform unrepresented parties that the lawyer is not representing them.
Supporting sources
Does the Federal Arbitration Act preempt state rules against class arbitration waivers?+
Yes. The Act requires enforcement of arbitration agreements according to their terms, including provisions that prohibit classwide arbitration. State laws invalidating such waivers are preempted because they stand as obstacles to the accomplishment of the federal statute's objectives.
Supporting sources
What constitutes an arbitration agreement under uniform acts?+
An arbitration agreement is a contract that subjects a dispute, including family-law matters, to resolution by an arbitrator whose award binds the parties. The agreement must be in writing and may limit the arbitrator's authority to make certain awards.
Supporting sources
384 U.S. 436 (1966)Evidence
…influence he can have on the accused. Obviously there is no warrant in the Fifth Amendment for thus installing counsel as the arbiter of the privilege. In sum, for all the Court's expounding on the menacing atmosphere of police interrogation procedures, it has failed to supply any foundation for the conclusions it draws…