ARBITRATION

When you´re making a business deal, it´s always wise to read the small print i your contract. Companies often include mandatory arbitration clauses in their contract with suppliers and customers. This means that any disputes must be resolved through legal arbitration. Such a clause will usually specify whether a legal arbitration is legally binding or not. It may also include details such as the location for the arbitration and who pays attorney fees and court costs.

This is good for the Company, but it may not be good for you. Companies choose arbitration because it´s cheaper, faster and more flexible. But there may be a number of disadvantages to the consumer or supplier. 1. You waive your rights to have a judge and jury decide the case. 2. You may be required to pay prohibitive legal costs, and recovery of attorney fees may be unavailable.

3. The arbitration fórum may depend on the corporation for repeat business. This means they may have an incentive to rule in their favor. 4. There are limited avenues for appeal. Erroneous decisions cannot easily be overturned. 5. Awards may be fiercely fought, resulting in huge legal expenses.

Overturned erroneousprohibitive limited waive specify mandatory 1 Mary had no choice, paying the fine was __________ 2 The bank manager would not ____________ the fee 3 The decisión on the matter is final and can´t be___________________ 4This information is ______________ and must be corrected

Overturned erroneousprohibitive limited waive specify mandatory 5 The costs were so ____________ that Jacob couldn´t afford to pay 6 The number of Jobs available is____________, so finding a one is hard 7 The client did not____________ which lawyer he was calling for