Is Arbitration Effective for Commercial Real Estate and Lease Disputes?

If you have become involved in a dispute regarding real estate or a commercial lease, you may be very worried about the amount of time and expense that are going to be involved, not to mention the stress that usually accompanies a legal battle. The case at hand may be regarding breach of contract for a commercial lease, or perhaps a real estate deal that went bad. And whether you have been involved in a court case before or not, you probably know enough to be aware that these issues can sometimes drag on into what seems like eternity, with resolution not met for months or in some cases, years.

Your Contract May Include an Arbitration Clause

In researching the contract for the project, deal, or lease in question, however, you may realize there is a dispute resolution clause that calls for arbitration. Unless you are dealing with a massive corporation with financial resources far out of your league, you may find that arbitration will suit you much better than heading into litigation.

Arbitration Offers Many Benefits, Especially When the Parties are on Equal Footing

While arbitration is not quite as casual as mediation, it offers so many benefits to parties who are committed to finding a resolution to their legal problem. And that is the most important element: those involved in the dispute must be ready to participate fully in the process, working together to find a resolution—whether than perceiving the steps involved as battle. This can be particularly well-suited to a smaller and less adversarial case that may be involved in a situation where a tenant has broken a commercial lease or has broken their contract in some way.

Arbitrators Guide as Well as Analyze & Decide

The arbitrator is agreed on by all parties involved, and in some cases, may even involve several different individuals who work together in a panel to analyze the evidence and decide the case. If the case is specialized, such as in a real estate dispute, the arbitrator chosen may have an extensive background in that area and be knowledgeable about the laws associated with it. They can guide the parties in coming to an agreement or settlement, and then are responsible for putting it in writing for signatures; otherwise, they are expected to put their determination of the case in writing as the arbitration closes. This is usually considered to be binding, unless both parties agree to withdraw before the arbitrator has issued a decision.

If you are dealing with a lease issue or a home purchase that is in question, arbitration can be beneficial due to greater ease in scheduling outside of the clogged court system. Along with that, the process is usually much more affordable.

Attorney Shane Coons is highly skilled in all methods of ADR, to include mediation, arbitration, and California’s judicial reference system. If you have a legal issue and want to learn more about the best alternative dispute resolution process for your case, please call Shane Coons now at 949-333-0900 or email us at Shane.Coons@seclawoffices.com.

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Is Arbitration Effective for Commercial Real Estate and Lease Disputes?

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