Question

What is the role of an Arbitrator in dispute resolution?

• A. To compromise a dispute between the parties outside the court
• B. To represent one party in the dispute
• C. To adjudicate on the dispute
• D. To enforce court orders

Hint:

In dispute resolution, the role of an arbitrator is similar to a judge, but the process occurs outside the court, and the arbitrator's decision is binding.

Answer 1

The Correct Option is C

An arbitrator is a neutral third party in a dispute resolution process. The primary role of the arbitrator is to adjudicate or make decisions about the dispute based on the evidence and arguments presented by the parties. Unlike a mediator, an arbitrator makes a binding decision, which is enforceable under law. Arbitrators do not represent one party or enforce court orders.

Answer 2

Role of an Arbitrator in Dispute Resolution:
An arbitrator is a neutral third party appointed to resolve a dispute between two or more parties outside the traditional court system. Arbitration is a form of alternative dispute resolution (ADR), and the arbitrator plays a central role in ensuring a fair, efficient, and legally binding outcome.

Key Functions of an Arbitrator:
- To adjudicate on the dispute: The primary role of an arbitrator is to hear the facts, examine the evidence, and render a decision (called an arbitral award) based on the merits of the case and the applicable law or agreed rules.
- Maintain impartiality: An arbitrator must remain neutral and fair to both parties throughout the proceedings.
- Manage the proceedings: The arbitrator sets the timeline, directs the hearing process, and ensures that the parties comply with procedural requirements.
- Interpret and apply contractual terms: In commercial disputes, arbitrators often interpret the terms of the contract and apply them to the facts of the case.

Legal Standing of the Arbitrator's Decision:
The decision made by an arbitrator, known as an arbitral award, is legally binding and enforceable in a court of law under the Arbitration and Conciliation Act, 1996 in India. It has the same effect as a court judgment, subject to limited grounds for challenge.

Advantages of Arbitration:
- Faster and more flexible than court litigation
- Confidential process
- Parties can choose subject-matter experts as arbitrators

Conclusion:
The role of an arbitrator is to adjudicate on the dispute by conducting fair hearings, interpreting the applicable laws or agreements, and delivering a binding decision, thereby facilitating efficient and effective resolution of conflicts outside the traditional judiciary.