What is an arbitration phrase? How does it affect defective drug lawsuits?
In defective drug cases, the client must prove that the drug caused injuries and that he or she was using the drug as it was meant to be used. Therefore, filing a lawsuit can be difficult for some claimants. Arbitration is an alternative to filing a claim and further straining the resources of the courts, which already are overburdened by many different types of claims.
How is an arbiter chosen?
An arbitrator must be chosen by both sides in a defective drug claim. Both sides will present a list of potential arbitrators, and candidates will be eliminated until an arbitrator is chosen. There are many people who come from years of working as attorneys or judges, and establish businesses in arbitration.
As an alternative, there are three major arbitration associations that can provide arbitrators. A fee is normally charged for arbitration services. Most of the time the fee is taken from the settlement, or what would have been the settlement.
Employing an arbitrator is preferable to filing a lawsuit for different reasons. The rules and proceedings for arbitration are usually very simple and the process goes by much quicker that in a lawsuit. Also, arbitration is done in private, and many times there is an agreement that the proceeding and all the events around it will be kept confidential.
Is an arbitration is more appealing for both parties?
A defective drug lawsuit can be expensive. Most of the major drug companies have usually have millions of dollars to defend themselves against these kinds of lawsuits. They may even have a legal team that works on this. That can be very difficult for an individual claimant to compete with.
Also, there is a lot of preparation that must go into these types of claims. It can be a lengthy, and expensive process to secure medical records, expert witnesses, a court date, and other necessary documents. Also, some people are not used to lawsuit proceedings and it may cause more stress and wear on individuals who are already having health challenges.
In arbitration, claimants meet face-to-face, which helps with negotiation proceedings. Arbitrators will try very hard to resolve issues with peace because they know that there is a higher chance of both sides conducting in a peaceful manner and a resolution being reached quickly. Also, a case that has been arbitrated is resolved in 475 days, on average, as opposed to a litigated claim which could take anywhere from a year and a half to three years.
Does a claimant have the option to go to court if they believe they didn't receive a fair decision?
A claimant may still be able to take their claim to court if the decision was unfavorable. However, many times these types of claims have binding arbitration clauses, meaning that the decision cannot be reversed. To be successful at a reversal, there must be a non-binding clause and the claimant must prove that the arbitrator was unethical due to a conflict of interest, corruption, or deceit.