Healthcare organizations integrate alternative dispute resolution (ADR) into their conflict-management programs to resolve disputes efficiently and privately.

Less adversarial than litigation, arbitration helps preserve commercial relationships in a field characterized by repeat business and intertwined dealings--the payor and provider sectors, medical device manufacturers and suppliers, pharmaceutical manufacturers, and equipment sales, leasing, and maintenance companies, to name a few.

The AAA aims to move even the most complicated, multi-faceted healthcare cases through arbitration fairly and cost effectively, with the goal of getting parties back to business.

Robust and flexible rules. Parties and their counsel have the choice of using the AAA Commercial Rules and Mediation Procedures or the more dedicated AAA Healthcare Payor Provider Arbitration Rules.

Decision makers with healthcare expertise. Parties may select from the specialized AAA National Healthcare Panel, the AAA Commercial Panel, or the Judicial Payor Provider Panel.

Inside counsel for healthcare plans and providers…
…find the AAA particularly valuable in administering their arbitrations given that parties to AAA healthcare disputes settle at a rate of 90% prior to award—and 24% incurred no arbitrator compensation cost.¹ Even those cases that went through to award were dispatched much quicker than those that went through the courts (see box).

AAA fees are transparent and available on its website, which leads to a more predictable arbitration cost.

Outside counsel for healthcare organizations…
…appreciate the AAA’s esteemed rules, specialized panels, executive oversight of cases, and transparent fees. By its nature, arbitration enables attorneys to control costs to help them maintain their own relationships with their clients.

Transactional attorneys…
…welcome that the AAA allows parties to customize their conflict-management process. Parties simply can insert the standard arbitration or mediation clause in their contract and if desired can further customize their clause with options that control for time and cost—and a host of other issues.

AAA Executive Oversight
The highly knowledgeable healthcare case-management team manages all procedural matters, allowing parties to focus on the substantive issues of their cases. It handles “back office” administrative issues and those that require immediate attention and/or high-level involvement, particularly when complex or thorny issues arise.

AAA Commercial Division Vice President Michelle Skipper leads the team. Prior to joining the AAA, she worked in the healthcare industry for 20 years in numerous administrative positions for health systems and private physician group practices.

Interested in more information about AAA healthcare arbitration?
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¹ 2017 AAA Healthcare Dispute Resolution infographic
² 2016 cases with claims or counterclaims over $75,000. Cases that went into abeyance or had only
   non-monetary claims or counterclaims were excluded.
³ Ibid.
⁴ 2016 U.S. District Court data from
   http://www.uscourts.gov/sites/default/files/data_tables/fjcs_c5_0331.2016.pdf