Delaying Tactics in Arbitration - Chapter 24 - AAA Handbook on Arbitration Practice
Alain Frécon has more than 30 years of experience with commercial and corporate transactions and international litigation. A member of the Minnesota State Bar and a qualified neutral under Rule 114, Minnesota General Rules of Practice, he has been serving as an arbitrator since 1976. He serves on the American Arbitration Association training faculty and is a mediator and arbitrator on the AAA panel for commercial, international and large, complex cases. He also serves on the panel of CPR and the ICC. He can be reached at Alain@freconlaw.com and at 612-338-6868.
Originally from: AAA Handbook on Arbitration Practice
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No one likes it when a party uses delaying tactics to stall the normal course of an arbitration, whether it is an ad hoc (i.e., self-administered) or an administered proceeding. It is generally assumed that the respondent is the most likely party to seek to delay the arbitration, arguably because it would benefit from a postponement of the outcome. However, experience teaches that this is not the exclusive privilege of respondents. Claimants have reasons of their own to instigate delay. Since arbitration is a voluntary process created by the parties for their own benefit, there is little doubt that one or both parties can exert enough control over the process to slow it down. A party may have a variety of reasons for doing so.
Fortunately, delaying tactics are rarely abused to the point of totally defeating the arbitration process. There are several reasons for this. First, parties generally do not want to increase the costs of arbitration. Second, their attorneys know that lengthy delays may cause confusion and prevent the arbitrator from focusing on the crucial issues and facts of the case. Third, arbitrators have the power to minimize delay through effective management.2 Well-trained, experienced arbitrators are more likely to have the skills necessary to curb a party's inclination to delay the process.
This chapter examines purposeful delaying tactics and when they are used. Then it addresses what arbitrators can do to minimize or eliminate these delays.