In construction dispute resolution, what does "arbitration" involve?

Arbitration in construction dispute resolution involves a submission of the dispute to a neutral third party, known as an arbitrator, who is tasked with making a binding decision based on the evidence and arguments presented by the parties involved. This process is typically less formal than a court trial and allows the parties to select an arbitrator with specific expertise in construction or related fields, which can lead to a more informed and effective resolution of the dispute.

Arbitration is often preferred in the construction industry because it can be quicker and less costly than traditional litigation, and it allows for a more private resolution process. Additionally, the parties generally agree beforehand to abide by the arbitrator's decision, which provides clarity and finality. In contrast, other options such as a hearing before a judge or a formal legal trial would involve a more public and potentially lengthy legal process, while a public vote by stakeholders does not represent a formal mechanism for resolving disputes in a legal context.