Expert determination

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Expert determination is a historically accepted form of dispute resolution invoked when there is not a formulated dispute in which the parties have defined positions that need to be subjected to arbitration, but rather both parties are in agreement that there is a need for an evaluation.

Process

Expert determination is described as a procedure by which the parties to a dispute (e.g. technical, scientific, or business dispute [1] ) appoint an independent and neutral expert to determine the dispute in private. Like arbitration, it allows trade secrets and other sensitive information to be kept out of the public domain. The expert will be a person with specialist or technical knowledge relevant to the dispute. [2] His experience and professional knowledge are expected to help solve the dispute since legal arbitrators or the arbitral tribunal are often unable to resolve technical issues even with the help of expert witnesses. [3] Unlike arbitration, not all of the evidence an expert considers must be presented at a hearing in the presence of the parties. [4]

The practice itself is well established where complex legal institutions either have not developed, or are unavailable, such as tribal societies and criminal organisations.

In the context of modern jurisprudence, the word "expert" appears first in Bottomley v Ambler 1878 38 LT 545, this was however used ambiguously also referring to arbitrators having the qualification of expert. The first mention that distinguishes specifically against the practise of arbitration, and introduces the formula "as an expert and not as an arbitrator" was in Dean v. Prince 1953 Ch. 590 at 591 (misquoted) and subsequently on appeal in the year 1954 1 Ch. 409 at 415. In Contract Law, the parties are free to include a forum selection clause appointing a special referee to resolve specialised but disputed factual issues between them.

The so-called dispute boards, which are commonly used in resolving construction contract disputes, are considered a specialized form of expert determination. [5]

Related Research Articles

Arbitration, in the context of the law of the United States, is a form of alternative dispute resolution. Specifically, arbitration is an alternative to litigation through which the parties to a dispute agree to submit their respective evidence and legal arguments to a third party for resolution. In practice, arbitration is generally used as a substitute for litigation. In some contexts, an arbitrator has been described as an umpire.

<span class="mw-page-title-main">Mediation</span> Dispute resolution with assistance of a moderator

Mediation is a negotiation facilitated by a third-party neutral. It is a structured, interactive process where an impartial third party, the mediator, assists disputing parties in resolving conflict through the use of specialized communication and negotiation techniques. All participants in mediation are encouraged to actively participate in the process. Mediation is a "party-centered" process in that it is focused primarily upon the needs, rights, and interests of the parties. The mediator uses a wide variety of techniques to guide the process in a constructive direction and to help the parties find their optimal solution. A mediator is facilitative in that they manage the interaction between parties and facilitates open communication. Mediation is also evaluative in that the mediator analyzes issues and relevant norms ("reality-testing"), while refraining from providing prescriptive advice to the parties. Due to its voluntary nature, a person cannot be compelled to use mediation to resolve their dispute. However, a suggestion from the Court may be difficult to resist.

<span class="mw-page-title-main">Permanent Court of Arbitration</span> Intergovernmental organization

The Permanent Court of Arbitration (PCA) is a non-UN intergovernmental organization headquartered at the Peace Palace, in The Hague, Netherlands. Unlike a judicial court in the traditional sense, the PCA provides administrative support in international arbitrations involving various combinations of States, State entities, international organizations and private parties. The cases span a range of legal issues involving territorial and maritime boundaries, sovereignty, human rights, international investment, and international and regional trade. The PCA is constituted through two separate multilateral conventions with a combined membership of 122 Contracting Parties. The PCA is not a United Nations agency, but has been a United Nations observer since 1993.

The American Arbitration Association (AAA) is a non-profit organization focused in the field of alternative dispute resolution, providing services to individuals and organizations who wish to resolve conflicts out of court, and one of several arbitration organizations that administers arbitration proceedings. The AAA also administers mediation and other forms of alternative dispute resolution. It is headquartered at the Equitable Building in New York City.

Online dispute resolution (ODR) is a form of dispute resolution which uses technology to facilitate the resolution of disputes between parties. It primarily involves negotiation, mediation or arbitration, or a combination of all three. In this respect it is often seen as being the online equivalent of alternative dispute resolution (ADR). However, ODR can also augment these traditional means of resolving disputes by applying innovative techniques and online technologies to the process.

The Uniform Domain-Name Dispute-Resolution Policy (UDRP) is a process established by the Internet Corporation for Assigned Names and Numbers (ICANN) for the resolution of disputes regarding the registration of internet domain names. The UDRP currently applies to all generic top level domains, some country code top-level domains, and to all new generic top-level domains.

<span class="mw-page-title-main">Forum selection clause</span> Contract clause which requires disputes to be resolved in a given manner or court

In contract law, a forum selection clause in a contract with a conflict of laws element allows the parties to agree that any disputes relating to that contract will be resolved in a specific forum. They usually operate in conjunction with a choice of law clause which determines the proper law of the relevant contract.

<span class="mw-page-title-main">Arbitration clause</span> Contract clause requiring parties to resolve disputes via arbitration

In contract law, an arbitration clause is a clause in a contract that requires the parties to resolve their disputes through an arbitration process. Although such a clause may or may not specify that arbitration occur within a specific jurisdiction, it always binds the parties to a type of resolution outside the courts, and is therefore considered a kind of forum selection clause.

International arbitration is arbitration between companies or individuals in different states, usually by including a provision for future disputes in a contract.

An arbitration award is a determination on the merits by an arbitration tribunal in an arbitration, and is analogous to a judgment in a court of law. It is referred to as an 'award' even where all of the claimant's claims fail, or the award is of a non-monetary nature.

<span class="mw-page-title-main">Arbitration</span> Method of dispute resolution

Arbitration is a formal method of dispute resolution involving a neutral third party who makes a binding decision. The third party neutral renders the decision in the form of an 'arbitration award'. An arbitration decision or award is legally binding on both sides and enforceable in the courts, unless all parties stipulate that the arbitration process and decision are non-binding.

<span class="mw-page-title-main">Chartered Institute of Arbitrators</span> Professional organisation

The Chartered Institute of Arbitrators is a professional organisation representing the interests of alternative dispute resolution (ADR) practitioners. Founded on 1 March 1915, it was granted a royal charter by Queen Elizabeth II in 1979.

<span class="mw-page-title-main">Arbitral tribunal</span> Panel convened to resolve a dispute by way of arbitration

An arbitral tribunal or arbitration tribunal, also arbitration commission, arbitration committee or arbitration council is a panel of unbiased adjudicators which is convened and sits to resolve a dispute by way of arbitration. The tribunal may consist of a sole arbitrator, or there may be two or more arbitrators, which might include a chairperson or an umpire. Members selected to serve on an arbitration panel are typically professionals with expertise in both law and in friendly dispute resolution (mediation). Some scholars have suggested that the ideal composition of an arbitration commission should include at least also one professional in the field of the disputed situation, in cases that involve questions of asset or damages valuation for instance an economist.

Alternative dispute resolution (ADR), or external dispute resolution (EDR), typically denotes a wide range of dispute resolution processes and techniques that parties can use to settle disputes with the help of a third party. They are used for disagreeing parties who cannot come to an agreement short of litigation. However, ADR is also increasingly being adopted as a tool to help settle disputes within the court system.

Buckeye Check Cashing, Inc. v. Cardegna, 546 U.S. 440 (2006), is a United States Supreme Court case concerning contract law and arbitration. The case arose from a class action filed in Florida against a payday lender alleging the loan agreements the plaintiffs had signed were unenforceable because they essentially charged a higher interest rate than that permitted under Florida law.

Prima Paint Corp. v. Flood & Conklin Mfg. Co., 388 U.S. 395 (1967), is a United States Supreme Court decision that established what has become known as the "separability principle" in contracts with arbitration clauses. Following an appellate court ruling a decade earlier, it reads the 1925 Federal Arbitration Act (FAA) to require that any challenges to the enforceability of such a contract first be heard by an arbitrator, not a court, unless the claim is that the clause itself is unenforceable.

United States Arbitration Association (USADR) is an alternative dispute resolution organization headquartered in Denver, Colorado. USADR offers mediation to parties who have filed for arbitration through USADR's national forum.

Disputes between consumers and businesses that are arbitrated are resolved by an independent neutral arbitrator rather than in court. Although parties can agree to arbitrate a particular dispute after it arises or may agree that the award is non-binding, most consumer arbitrations occur pursuant to a pre-dispute arbitration clause where the arbitrator's award is binding.

Henry Schein, Inc. v. Archer & White Sales, Inc., 586 U.S. ___ (2019), was a case decided by the Supreme Court of the United States on January 8, 2019. The case decided the question of whether a court may disregard a valid delegation of arbitrability—a contract provision stating that an arbitrator should decide whether a dispute is subject to arbitration—when the argument in favor of arbitration is "wholly groundless." In a unanimous (9-0) opinion written by Justice Brett Kavanaugh, the court sided with petitioner Henry Schein, Inc., holding that the "wholly groundless" exception to arbitrability violates the Federal Arbitration Act, and therefore a valid delegation of arbitrability should be honored even if a court believes the argument for arbitration to be "wholly groundless." It was Justice Kavanaugh's first Supreme Court opinion.

Madeline Kimei is a Tanzanian legal expert, arbitrator and mediator practicing commercial and corporate law. She currently serves as President of the Tanzania Institute of Arbitrators (TIArb). She is considered the first woman in Tanzania to start an online platform dealing with dispute resolution called iResolve which she launched in 2015. She is specialized in providing corporate and commercial legal support, counsel for domestic and international arbitration, commercial mediation and dispute management specialist.

References

  1. Tan, Joyce (2018). WIPO Guide on Alternative Dispute Resolution (ADR) Options for Intellectual Property Offices and Courts. WIPO. p. 29.
  2. "Bates Wells & Braithewaite's Guide to Expert Determination Advocates for International Development" (PDF). Archived from the original (PDF) on 2013-10-29. Retrieved 2013-10-28.
  3. International Form of Contract. Warwickshire: IChemE. 2007. p. 95. ISBN   978-0-85295-510-9.
  4. "Purchase Price Adjustment Clauses And Expert Determinations: Legal Issues, Practical Problems And Suggested Improvements" (PDF). New York City Bar Association. Retrieved 10 July 2021.
  5. Kajkowska, Ewelina (2017-03-23). Enforceability of Multi-Tiered Dispute Resolution Clauses. Bloomsbury Publishing. ISBN   978-1-5099-1042-7.