When the parties are unable to come to an agreement, they may decide to proceed to arbitration. Arbitration results in a court-enforceable, binding decision rendered by a third party arbitrator, appointed by the parties. Arbitration may be initiated regardless of the amount of the claim. To best suit the needs of our members, we have two processes, based on the amount in dispute.
- In circumstances where the dollar value of a claim is less than $50,000 U.S., an Expedited Arbitration will take place where the DRC provides the parties with an abbreviated process.
While this process places strict time limits on the exchange of information, it is both fair and equitable when compared to the amount in dispute (less than $50,000).
- In circumstances where the dollar value of the claim is equal to or greater than $50,000 U.S., a hearing will be conducted as prescribed under the DRC’s Formal Arbitration Rules.
However, where both parties and the administrator agree, the expedited arbitration process can be used for claims that otherwise would default to this larger dollar value trigger.
In either case, DRC members will be able to draw from a roster of knowledgeable mediators/arbitrators that have been established by the DRC.
When a binding decision is rendered, the DRC staff monitors compliance. If a member fails to pay an arbitration award within the designated time-frame, the party in default will be terminated and the DRC will help to facilitate the registering of the award with the court.
The Dispute Resolution Rules govern the mediation and arbitration process. They outline step-by-step how to proceed with a claim, including statute of limitations, mediator/arbitrator appointments, submitting evidence, the fee schedule, and more.