1. Arbitration vs. Litigation: An Unintentional Experiment.
- Author
-
Cruz, Jeffrey R.
- Subjects
ARBITRATION (Administrative law) ,ACTIONS & defenses (Law) ,BUSINESS enterprises ,CONTRACTORS ,BREACH of contract ,LEGAL evidence ,STATE courts - Abstract
The article focuses on the choice between arbitration and litigation regarding disputes. It is stated that arbitration is better for subcontractors and litigation is better for contractors. One should arbitrate when his case is strong on the facts, but weak on the law. In this case two cases are being discussed. One case is from New Jersey, regarding a dispute related to faults in designing of plant and the payment due, between the contractor and the owner of the firm. Another case is from New York State, regarding a dispute related to wrongful termination of contract from the owner's side resulting in a loss to the contractor. The contract in this case was not containing an arbitration clause, so it was headed to state court. Both the cases are different in their controversial amounts. The New Jersey case started with a simple demand for arbitration. while the New York case the litigation had a more tortuous beginning. The proceedings related to the cases continued for a couple of years.
- Published
- 2005