Arbitration is often resolved more quickly than litigation, but what about the process makes this possible?
According to Carol E. Heckman, a former judge, partner at Lippes Mathias, and an American Arbitration Association® arbitrator, the answer lies in arbitration’s structure, its flexibility, and the role experienced neutrals play in driving cases toward resolution.
Structure Brings Clarity and Keeps Cases Moving
In arbitration, structure plays a critical role in keeping disputes on track.
At the outset of a case, arbitrators establish a clear procedural framework, setting timelines for key steps like document exchange, hearings, and submissions. This creates a shared understanding of how the case will move forward and when major milestones will be reached.
Heckman emphasized the importance of setting expectations early through a defined process like this. “I carefully structure my initial scheduling order to take the parties’ input into account, but then I hold them to the scheduling order dates so that the proceeding is completed within 12 to 18 months,” she said.
A scheduling order outlines the key milestones in a case and keeps the parties aligned as the case progresses.
“This scheduling order at the outset provides the roadmap for all proceedings,” Heckman said.
This level of structure helps reduce uncertainty and avoid the delays that often occur in litigation, where timelines can shift, and proceedings may be extended over several years.
Flexibility Changes How Disputes Are Handled
While structure keeps cases moving, flexibility shapes how they move.
In court, proceedings are governed by strict procedural rules and formal evidentiary requirements that dictate what information can be presented and how. Arbitration allows for a more tailored approach.
“The parties are not constrained by the rules of evidence, and the proceedings are less formal,” Heckman said.
As a result, parties have greater control over how the process is structured — from the format of hearings to the presentation of information.
That flexibility also extends to where and how proceedings take place. Hearings can be conducted in person, remotely, or through a hybrid approach, allowing parties, counsel, and witnesses to participate without being physically present in a courtroom or hearing room.
This adaptability reduces logistical challenges and helps cases move forward more efficiently.
Finality Reduces Long-Term Uncertainty
Another defining feature of arbitration is finality.
“Appeals are very limited,” Heckman said.
Once a decision is issued, the dispute is typically resolved. Unlike litigation, where cases can move through multiple rounds of appeals over several years, arbitration is designed to bring closure.
For parties, that reduces not only time and cost, but also the uncertainty of whether a decision will be challenged or prolonged.
The Role of the Arbitrator in Driving Outcomes
The effectiveness of arbitration also depends on who oversees the process.
Unlike in court, where judges are assigned, arbitration usually allows parties to select a neutral with relevant experience and subject-matter knowledge.
“[The arbitrator] should be up to date on developments in the field and have a background in the area involved in the arbitration,” Heckman said.
Disputes can be decided by someone who understands the industry, the issues at stake, and the context surrounding the case. That familiarity can streamline proceedings, reduce the need for extensive explanation, and support more informed decision-making.
How Arbitration Works in Practice
Structure, flexibility, and finality shape how disputes move from start to finish, while the ability to select an experienced arbitrator influences how those disputes are managed and decided.
These features make arbitration not just faster than litigation, but more predictable, efficient, and aligned with how modern disputes need to be resolved.
See How Disputes Are Being Resolved Across Industries
Carol E. Heckman is also featured in this Wall Street Journal article examining how companies are resolving conflicts faster and more efficiently, outside the courtroom.