NCJ Number
93978
Journal
Advances in Consumer Research Volume: 6 Dated: (October 1978) Pages: 460-465
Date Published
1978
Length
6 pages
Annotation
This paper describes and evaluates the National Council of Better Business Bureaus' experience with consumer arbitration. Consumer arbitration appears to have great potential for becoming a satisfactory dispute-resolving mechanism for both consumers and business.
Abstract
Better Business Bureaus (BBBs) resort to consumer arbitration only if efforts at conciliation or mediation have failed. BBBs try conciliation first, turning to mediation only if this effort fails. The arbitration process commences when one party serves notice to the other party through the (BBB) tribunal of a desire to submit an existing dispute to an arbitrator. The other party must accept in order for arbitration to proceed. BBB then submits a list of arbitrators to the parties. The arbitrator hears the case and writes an opinion, which is binding. Seldom do parties challenge the awards in court, which can be done only on very narrow grounds. Arbitration is economical, informal, convenient, flexible, and relatively confidential when compared to the court system. Not all complaints are appropriate for arbitrations -- for example, instances of clear-cut legal violations, cases where dollar stakes are exceptionally high, or situations where either party appears to want the right to go before court to set legal precedent or collect additional damages. Six tables and 22 references are included.