It is important to know when to arbitrate and when to litigate. Generally speaking, there are many advantages to choosing arbitration over litigation, but unfortunately arbitration is not always the best option.

Understanding your best move is critical to settling a dispute in your favor. According to FindLaw, arbitration is not the best option if it will cost more than litigation or if your particular case would benefit from the presence of a jury.

When is arbitration more expensive?

Usually, one of the stated pros of arbitration is that it can cost less than litigation. However, this is not the case 100% of the time. Arbitration can be very complex and some forms of arbitration can end up being more expensive than litigation.

A good example of this is a non-binding arbitration decision. If the arbitration is not binding, then it is possible that one party may decide to take the case to court if they are not happy with the results of arbitration. This can end up costing more money than just going with litigation in the first place.

How can a jury benefit me?

Keep in mind that if you choose to arbitrate your case rather than litigate, you are completely passing up on the benefits associated with having a jury of your peers. Particularly if you are an individual bringing a case against a corporation, it is possible that a jury may be more likely to see things from your perspective as opposed to the perspective of the corporation.

An arbitrator essentially acts as both judge and jury. This can be disadvantageous in certain situations.